Inventory and first-time buyers won’t bounce back until 2024, according to Zillow’s Home Price Expectations Survey. The survey polled a panel of housing experts who said they anticipate for-sale inventory levels will take two years to climb back to pre-pandemic levels. Total inventory fell from a monthly average of just 1 million in 2021 and early 2022 figures aren’t looking any better, both down from 1.6 million units in 2018 and 2019. The largest group of Zillow’s respondents (38%) expect inventory to reach 1.5 million units or more in 2024, though the second largest group (36%) predicted 2023. “Inventory and mortgage rates will determine how far and how fast home prices will rise this year and beyond,” said Zillow senior…
Mortgage loan application volume plummeted by 8.1% last week, the Mortgage Bankers Association’s (MBA) weekly survey shows. The adjusted Market Composite Index, a measure of mortgage loan application volume, dropped by 8.1%%. The adjusted purchase index fell 2%, while the unadjusted purchase index fell 1% and was 12% lower YOY. The refinance index fell a whopping 14% and was down 54% YOY. Refinances made up 44.8% of total applications. Mortgage interest rates jumped by 23 basis points last week, their largest weekly increase since March 2020, due to the Fed’s interest rate hike and the expectation of fewer MBS purchases, Mike Fratantoni, MBA’s Senior Vice President and Chief Economist, noted. “With mortgage rates now at 4.5%, compared to rates at…
The average American has now lived 13.2 years in their home, up from 2012’s 10.1 years but down from 2020’s 13.5-year record, Redfin reported. The report notes that last year’s high migration rates contributed to the downturn from 2020’s peak, though Americans continue aging in place, keeping the average inflated. One-third of U.S. household heads were at least 65 years old in 2019. Housing analysts are already thinking about the changing face of the market as that number grows. Rising rents, stock shortages, and the number of homeowners who refinanced are also likely keeping people in their homes longer. “Homeowner tenure may have already peaked, or the decline in 2021 could be a blip before it climbs back up,” said…
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…
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 Kimberly Haas For people who are interested in finding out if their home or future home is haunted, there is a website for that. Roy Condrey, who has experience as a project manager at a software company, lives in South Carolina and is the founder and president of DiedInHouse.com. On his social media pages, Condrey and his team post information about some of the more notable houses throughout the nation, including houses where there has been paranormal activity and/or violent deaths. “The Victorian” in Gardner, Mass., was featured on the Died In House Facebook page on Oct. 27. “The S.K. Pierce Mansion, a.k.a ‘The Victorian’ in Gardner, Mass. where a man was reported to have burned to death in…
A Zillow analysis of the age, sex, race, and income of home buyers over the last decade revealed demographics might have more to do with the sizzling housing market than the pandemic. Millennials and baby boomers have been on a path to face off in the housing market since before the pandemic due to retirement trends and Millennials entering their 30s, typical homebuying years. Though Millennials are currently the most impactful force in the housing market, Boomers are currently gaining. The median buyer age rose from 40 to 44 between 2009 and 2019. The share of recent buyers who are over 60 years old rose 47% from 2009 to 2019, while the share of buyers ages 18–39 dropped 13%. Lack…
