Zonda chief economist Ali Wolf says the U.S. housing market is going through a “historic affordability shock,” with many markets experiencing home price appreciation between 50% and 70% compared with 2019. During an appearance with Bloomberg’s Taylor Riggs and BNN’s John Erlichman on “Bloomberg Markets,” Wolf said home price appreciation, coupled with higher mortgage rates and “economic angst,” is contributing to a slowdown in the housing market.

Wolf also discussed the housing market shifting to be more buyer-friendly, the impact of Federal Reserve policy decisions on affordability, housing starts activity, and continued supply chain and labor concerns.