Daily Gold Market Report

2024 Housing Market Downturn:
Prices Fall and Buyers Hesitate

(USAGOLD – 1/17/2024) The gold market is facing challenges in gaining positive momentum, while robust consumption in December maintains support for healthy economic activity. Gold is trading at $2018.73, down $9.71. Silver is trading at $22.63, down 29 cents. Median house prices have fallen nearly 9% since June 2022, indicating a nationwide trend. Despite a decline to a median of $410,000, housing remains unaffordable for many, exacerbated by high mortgage rates. “Redfin’s homebuyer demand index paints a sobering picture for 2024, showing a 9% year-over-year decrease and a staggering 40% drop from 2022 levels. Google Trends data reveals that the search interest in “homes for sale” is at an index level of 47, nearly half of the levels witnessed in the peak pandemic home-buying boom of 2021,” Toni Grzunov of isoldmyhouse.com reports. Could the continued decrease in housing prices revive interest among buyers, or does it indicate deeper issues in the market? As homebuilders reduce prices aggressively, is it possible for their methods to guide traditional home sellers, or are new homes and existing homes on divergent paths? As 2024 unfolds, the real estate market stands at a pivotal point. It remains to be seen if the willingness of sellers to lower prices will create a more equitable and affordable market environment.