Housing prices surged as housing inventories dropped to historically low levels in the first two years following the onset of the pandemic. In our Economic Letter, “Pandemic-Era Demand Squeezed Housing Inventories”, we find that the decline in housing inventories during these years was driven by an exceptionally high demand for housing rather than a low supply.
Watch our Economic Letter video with John Mondragon, research advisor, to learn more about the shifts in housing demand during and since the pandemic.
Related:
The views expressed here do not necessarily reflect the views of the management of the Federal Reserve Bank of San Francisco or of the Board of Governors of the Federal Reserve System.
About the Authors
John Mondragon is a research advisor in the Economic Research Department of the Federal Reserve Bank of San Francisco. Learn more about John Mondragon
Adam Shapiro is a vice president in the Economic Research Department of the Federal Reserve Bank of San Francisco. Learn more about Adam Shapiro
Valeska Fresquet Kohan is a research associate in the Economic Research Department of the Federal Reserve Bank of San Francisco.