If you could use an additional $10,000 to $50,000 in free money to pay off debts or invest into your future, then this is the most important letter you’ll ever read.

You are certainly aware that the real estate market is hotter right now than it’s ever been in American history. And of course, it won’t stay this high for long as there are several factors that are going into the over-inflated house prices.

We all remember how high the home prices climbed until 2008 when they came crashing down, causing millions of homeowners mortgage balance that was much higher than their homes newly deflated value.

The current crazy prices have been extremely profitable for the owners wise enough to cash out at the peak in values. But worth nothing to the owners that just sit in their home and wait on values to adjust back down again.

The REAL Reasons That Home Prices Are So High

The pandemic has caused positive and negative changes all over the world. And for every action, there’s a reaction. There’s a large number of reasons that home values have climbed so high and here are just a few of the main reasons, all having to do with supply and demand:

• Foreclosure Moratorium - When the pandemic started, a lot of people couldn’t pay their mortgage payments so the government blocked foreclosure filings against homeowners. Millions of homeowners that would’ve usually sold their home have been able to stay in it for over a year with little to no mortgage payments being made. This drastically shortens available home inventory because the normal flow of “distressed owners” were not liquidating their properties.

• Eviction Moratorium - The government also halted tenant evictions in early 2020. There are millions of single-family homes that investors would often be selling, putting more inventory into the market. This is true from the starter home price ranges, all the way up to luxury level executive houses. Many of those have remained out of the market, occupied by tenants that won’t leave and won’t pay. This again drastically reduces inventory.

• Low Interest Rate Mortgages - With ridiculously low interest rates, it has flooded the market with interested homebuyers that are bidding against each other due to the demand being so much higher than the supply. Interest rates are now starting to creep up so the prices will soften as it prices some out of the market.

• Nursing Homes - Obviously nobody was moving to nursing homes during the pandemic and most nursing homes wouldn’t accept anyone until we have a vaccine and a large percentage of the population is vaccinated. This represents a large number of homeowners that would usually be selling their home to move to assisted living. Those homes have NOT been placed on the market. This shortens available home inventory by a large number. A smaller number of homes for sale causes more people to compete for the limited supply.

These four issues have caused supply to dwindle and demand to skyrocket. Combining that with the fact that so many families are now working and schooling from home, it creates more demand for them to find a home with an extra bedroom, office area or “zoom room”. This puts millions more home buyers in the market to have bidding wars against the rest of the potential buyers.