Morning Roundup (1/3/2022)– Migration From Cities, Affordability Down In November

Good Morning! Today is Monday, January 3. We hope you had a wonderful holiday and wish you the best in 2022!
For today’s newsletter, we had Scott Kimbler look into the migration from U.S. metros to suburban and rural areas.


Is It A Trend Or Here To Stay? Metros See Migration From Cities: Metros are seeing a migration away from urban areas, and those watching this trend say landlords shouldn’t hold their breath hoping a younger generation of renters will replace them.


Affordability Reaches 13 Year Milestone: In Q4 2021, median-priced single-family homes were less affordable in 77% of U.S. counties analyzed by ATTOM Data Solutions, a 13-year high, the company found.


New Record For Home Prices: The median home sale price rose 14.6% year over year to a new all-time high of $361,171 during the four-week period ending December 26 as the number of homes for sale fell to a record low, according to Redfin.


New Year, New Laws: California and Connecticut are allowing qualified property owners to add extra housing units by splitting their lots, converting their homes into duplexes, or converting a basement, attic, or garage into a dwelling unit.


Homeowners Ready To Renovate: Zillow found that 72% of homeowners will consider at least one home improvement project in the coming year, especially adding space and remodeling bathrooms.


HUD Settles In California Allegations: HUD reached a settlement with Southern California housing providers over allegations of discrimination against applicants with limited English proficiency.


Pending Home Sales Fall: Pending home sales fell in all four U.S. regions in November, down after a month of gains, according to the National Association of Realtors.


Rates “Moving Sideways”: Mortgage rates averaged 3.11% in the final week of 2021, “moving sideways” despite Omicron fears. “This is because incoming economic data suggests that the economy remains on firm ground, particularly cyclical industries like manufacturing and housing. Moreover, low interest rates and high asset valuations continue to drive consumer spending,” said Sam Khater, Freddie Mac’s Chief Economist.


REITs Raking It In: REITs had a huge 2021, as industrial and self-storage drove values higher this year, but some predict 2022 won’t prove as lucrative.


Mortgage Borrowing Record: Mortgage lenders issued $1.61 trillion in purchase loans in 2021, up slightly from $1.48 trillion in 2020 and above the previous record of $1.51 trillion in 2005.


Case-Shiller National Home Price Index: U.S. home-price growth slowed for the second straight month in October, an indication that the hot housing market may be starting to cool, according to the Case-Shiller National Home Price Index.