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Net Immigration and Household Formation

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Net Immigration and Household Formation

CalculatedRisk by Bill McBride
Feb 10, 2023
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Net Immigration and Household Formation

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A key theme has been that household formation surged during the pandemic and has slowed recently. This surge in household formation increased demand for homeownership and for rental units - pushing up both house prices and rents.

The recent slowdown in household formation has lowered demand, and we are already seeing this with falling asking rents.

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