Housing Analyst Famous for Pre-Crash Warnings Is Concerned Again
- Zelman says market is at or near peak with corrections coming
- Price gains are unsustainable, inflated by investors, she says
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Ivy Zelman, the housing analyst famous on Wall Street for calling the top of the market in 2005, less than two years before the collapse, sees warning signs once again.
After a historic run-up in values during the pandemic, housing in the U.S. is at -- or near -- the peak, she says. She’s cautioning clients that overheated areas with heavy concentrations of investors, including Phoenix, are likely to face “corrections.” A modest rise in 30-year mortgage rates, even to 4%, would bring demand to a halt, according to Zelman.