Part 2/10:
Traveling through Florida recently, I observed a homebuilding site prominently displaying a 0% down sign. What awaited me was a surprising sight: 22 homes constructed but unsold, priced between $280,000 and $330,000. Such indicators hint towards a concerning trend, reminiscent of past market failures. Nationwide data shows that builders currently have around 500,000 homes for sale—the highest inventory levels since the previous housing crisis, highlighting a significant surplus. As supply builds, one must ponder the inevitable downward pressure this surplus will exert on home prices.