Telecommuting driving house prices in US

San Francisco House

According to experts, homes are now worth 24% more, computing the time span from November 2019 to November 2021. Telecommuting has a lot to do with this growth.

The information was revealed, after a two-year investigation, by the Federal Reserve Bank of San Francisco, in the United States, which commissioned the now-published study.

Telecommuting drove more than half of the increase in U.S. housing and rental prices during the coronavirus pandemic and will likely drive up costs and inflation in the future, according to a report released Monday by the bank.

Indicate the specialists, according to Rt, that the study details that housing prices rose 24% over a period from November 2019 to November 2021. The transition to telecommuting because of the covid-19 pandemic has been a key driver of the recent increase in housing prices.

Thus, according to estimates, more than 60% of the price increase is attributable to the increase in telecommuting during the pandemic, a trend that persists, as 30% of work is still performed from home.

This suggests that the fundamentals of housing demand have changed, so that the persistence of telecommuting is likely to affect the future trajectory of real estate prices and inflation, experts said.

Finally, it should be considered that US inflation in August reached 8.3 % annually, compared to the estimated 8.1 %. Experts predict that by the end of 2022 a “severe, long and ugly” recession will begin in the country and worldwide.

These are the states where it is most expensive to buy a home in the U.S.

According to a study, the most expensive place is Hawaii, while the cheapest is Iowa.

The United States has several areas where it can be more expensive or cheaper to buy a home, always taking into account all the expenses that can increase the budget of a new home.

A study by ranked the states in the country where it is most expensive to cover the monthly costs of a home, adding mortgages, taxes, utilities and other expenses.

The data were determined by calculating a mean percentage of income and were ranked from highest to lowest.

The most expensive place to live in the United States is in Hawaii, where a home can cost as much as $615,300, where a median income of $99,800 is required and 35.15% of the amount is needed to afford the home.

The states that follow the island paradise are California, Oregon, Washington and Colorado. In California alone, the home price is $505,000, and the approximate monthly mortgage payment is $2,399. In Oregon the home price is $312,000.

According to the National Association of Realtors, used home sales were down 0.4% to an annual rate of 4.80 million units last month, the lowest level since 2015, excluding the pandemic stage.

Interest rate increases have weakened the U.S. housing market.

Among the five states where it is cheapest to buy a home are: Iowa, Indiana, Ohio, Ohio, Nebraska and Kansas.

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About the Author: Jose Vilagro

Jose Vilagro has written for many online Spanish publications in the past. Jose has now joined our team. He specializes in Technology, and Business related news.