Dr. Benahmed is a senior vice president and a portfolio manager in the Newport Beach office, focusing on housing, mortgage and asset-backed securities. Prior to joining PIMCO in 2010, he was a vice president on the fixed income analytics team at Wilshire Associates, managing development projects related to fixed income portfolio management tools. He has 15 years of investment experience and holds a Ph.D. in mechanical engineering from the University of California, Los Angeles and a diplome d'ingénieur from Ecole Polytechnique in Paris.
The dearth of homes for sale has underpinned the housing market’s surprising resilience and may further lift home prices despite reduced affordability.
Although affordability remains an obstacle, recent data offer reasons to be more constructive as broader conditions still appear supportive of home prices.
We expect further weakening in U.S. home prices, although not a sharp decline, as higher mortgage rates pressure affordability and induce many homeowners not to move.