AgentMarkets & Economy

Oil price slump could be a drag on home prices in Wyoming, North Dakota, Alaska

Fannie Mae: Labor markets weaker in states with higher oil industry concentrations

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

Takeaways: Home prices may fall over the next five years in oil-producing states due to lower oil prices. In the 1980s, Texas home prices fell by double digits even as home prices rose 32 percent nationally. Some states may be less at risk depending on the diversification of their economy and advancements in production technology. Declining oil prices are usually welcome news for consumers, but the news that they may contribute to declining house prices will not be good news to homeowners in some states, according to Fannie Mae’s latest edition of Housing Insights. The government-sponsored enterprise’s report, “House Price Risks in Oil-Producing States: Repeat of the 1980s?” predicts that over the next five years, house price growth will “drag,” partly due to this past year’s oil price decline in 10 oil-producing states. That prediction is related to what happened in the 1980s, when most Americans enjoyed lower gas prices, but others in certain states...