CHICAGO--(BUSINESS WIRE)--Mesirow Financial’s Chief Economist declares “The Great Recession delayed, but did not destroy, dreams of home ownership.” Diane Swonk explains that fundamental changes will combine to support the housing market this year. Higher pay for some will make a difference. “Entry-level wages for new college graduates, in particular, are expected to rise,” according to Swonk. “Improvements in credit scores as a result of a stronger labor market and the return of nonbank lenders should work together to ease mortgage market conditions.”
Swonk cites new data from Fannie Mae on the expanding ranks of unregulated, subprime mortgage lenders but calls that “a vote of confidence in housing, not a return to the Wild West of lending that precipitated the subprime housing crisis.” Moreover, Swonk believes the U.S. economic model depends on first-time home buyers coming back in numbers. For more, read the latest issue of Themes on the Economy. Archived issues can also be found at mesirowfinancial.com.
Mesirow Financial is a diversified financial services firm headquartered in Chicago. Founded in 1937, it is an independent, employee-owned firm with approximately 1,200 employees globally. With expertise in Investment Management, Global Markets, Insurance Services and Consulting, Mesirow Financial strives to meet the financial needs of institutions, public sector entities, corporations and individuals. For more information about Mesirow Financial, visit its website at mesirowfinancial.com.