April’s existing-home sales slipped for the third consecutive month, falling 2.4% from March to a seasonally adjusted rate of 5.61 million, the National Association of Realtors (NAR) reported. Sales were down 5.9% year-over-year, with each of the four major regions seeing declines. The median price for existing homes of all types was $391,200, up 14.8% YOY. This is the 122nd consecutive month of YOY price growth, the longest-running streak on record. “Higher home prices and sharply higher mortgage rates have reduced buyer activity. It looks like more declines are imminent in the upcoming months, and we’ll likely return to the pre-pandemic home sales activity after the remarkable surge over the past two years,” said Lawrence Yun, NAR’s chief economist. Housing…
Good Morning! Today is Thursday, April 21. Russia test-launched a new intercontinental missile that it said could carry several nuclear warheads. The federal government charged 21 people in Medicare fraud schemes, including selling fake vaccine cards and test results. The Mortgage Note Reports “Plenty Of Fuel In The Tank”: Monthly mortgage payments on the typical U.S. home are 19.5% higher than they were three months ago, but demand just keeps growing. Existing Home Sales: Existing-home sales fell for the second straight month in March, down 2.7% from the prior month and 4.5% from a year ago. And in other mortgage and housing news… Blend Layoffs: Mortgage tech company Blend has laid off 10% of its workforce. BOA Settlement: HUD signed a Conciliation Agreement with Bank of America to resolve…
Good Morning! Today is Friday, April 15. A judge ordered the suspect in the Brooklyn subway shooting to be detained until his trial. Elon Musk made a bid to buy Twitter for about $43 billion. The company’s board is considering a plan to thwart him. A Russian warship sank in the Black Sea. The Mortgage Note Reports “Early Signs Of A Slowdown”: Home sales dropped by 4% last month and 8% YOY, closing out the hottest March ever with signs of a potential cooldown. Historic Rates: Mortgage rates averaged 5% for the first time in a decade last week. Spread The Word: Do you enjoy our newsletter? Share this email with a friend so they can visit our website and…
Good Morning! Today is February 3, 2022. The U.S. is deploying 3,000 more troops to Eastern Europe. The Army said it would immediately discharge unvaccinated soldiers. Jeff Zucker resigned as the president of CNN over a romantic relationship with an executive. The Mortgage Note Reports Millennial Domination: Despite challenging conditions for first-time homebuyers, Millennials make up a majority of homebuyers in most of the US’s largest metros, especially Denver, Seattle, and Boston. Home Value Record: December 2021 saw a record annual surge in U.S. home value led by Austin, TX, which saw total home values equivalent to the 2020 GDP of Ecuador. And in other mortgage and housing news… Love In The Air: A survey from Zillow found 34% of…
Good Morning! Today is Friday, January 28. Economic output in the U.S. grew 5.7% over the past year, the biggest annual increase in decades. Biden told Ukraine’s president that the U.S. was ready to respond forcefully to any Russian aggression. A federal judge revoked Gulf of Mexico oil and gas leases, ruling the Biden administration failed to consider climate change when it sold them. The Mortgage Note Reports Predicting The Future: Higher interest rates will be a big issue for homebuyers in 2022. Will they drive down mortgage business? Rates Settle: After weeks of steadily rising, interests rates stayed steady last week, averaging 3.55%. Black Knight: Forbearance exits rose for the second week in a row, up by 19,000 plans…
Good Morning! Today is Tuesday, January 18. China’s economy grew by only 4% in Q4 2021, worrying the international community. Communications to Tonga are still fraught after a volcanic eruption in the Pacific, hampering aid. Airlines warned of grounded flights this week if AT&T and Verizon deploy more 5G technology, which they say interferes with altitude readings. And in mortgage and housing news… Is Home Ownership More Affordable Than Renting? A report released this month suggests that despite rising home prices it is more affordable to own a median-priced home than to rent a three-bedroom property in a majority of the United States, but it all depends on where you live. Slumping Home Sales: December homes sales saw their largest…
December was a hot month for homebuyers, but supply couldn’t keep up with demand. Monthly home sales saw their largest decline since the beginning of the pandemic, according to Redfin. Month-over-month sales fell 3.6%, the largest drop since May 2020, and were down 11% year-over-year (YOY), the largest annual decline since June 2020. The drop was the result of continuing stock shortages. Active listings declined 19% YOY, reaching a record low. New listings dropped 13%, down annually in 82 of the 88 metro areas Redfin tracks. In addition, home prices were up 15% YOY, marking the 17th straight month of double-digit price increases. “Home sales are slumping, but not for lack of demand,” said Redfin Chief Economist Daryl Fairweather. “There…
By KIMBERLEY HAAS It may be the week before Christmas, but that doesn’t mean potential homebuyers aren’t out searching for their perfect piece of real estate. Lewis Esposito, a licensed real estate professional at RE/MAX Preferred in West Chester, Pennsylvania, says buyers don’t want to wait until the new year and when asked if realtors are showing houses this week, he said if clients see a home they like then showings are being offered. “If you have a buyer, they’ll tend not to want to wait until after the new year. If they see something, they’ll jump on it,” Esposito said. Esposito, who works in the suburbs of Philadelphia, said he has a few clients who are holding off until…
By SCOTT KIMBLER The House version of President Biden’s “Build Back Better” plan includes about $170 billion for affordable housing and people are asking what that means. Biden’s spending plan includes $65 billion to preserve and rebuild public housing and another $15 billion to help build or preserve more than 150,000 rental properties for lower-income families. It’s part of the administration’s goal to build or preserve 1 million affordable homes. The bill is almost certain to change drastically in the U.S. Senate. But if the housing policies remain unchanged, what would this spending splurge mean for the overall housing market, at a time when prices are high and supply is low? The Mortgage Note spoke with Tom Smith, Ph.D. of…
A typical home spent just one week on the market before going under contract, according to a new report from the National Association of Realtors. Their annual Profile of Home Buyers and Sellers — “real estate’s definitive guide on home buyer and seller trends” — reported on the pace of home sales between July 2020 and June 2021. By comparison, the average in 2012 was eleven weeks. “Buyers moving quickly during the pandemic, coupled with all-time-low inventory, led to a decline in time on market to the shortest ever recorded, which was just one week,” said Jessica Lautz, vice president of demographics and behavioral insights at NAR. “Only a quarter of home sellers offered incentives to entice potential buyers, down from…
