House prices might plunge 20% in the hottest US markets – and the slump could hammer the wider economy, top investor says

Source: Markets Insider — 

House prices could plummet 20% in some US cities as soaring mortgage rates scare off buyers, Peter Boockvar has said.

Bleakley Advisory’s chief investor endorsed the Dallas Federal Reserve’s grim forecast in a CNBC interview on Wednesday.

“In certain markets for sure, particularly the hot ones,” he replied, when asked about the regional central bank’s outlook.

Boockvar noted that home prices have soared 40% in the past two years alone, and climbed more between 2013 and 2022 than they did between 1998 and the peak of the housing bubble in 2007.