By KIMBERLEY HAAS A realtor who works in Florida says he has represented a number of buyers in the past two years that moved to the Sunshine State for more than its warm weather. They were escaping COVID pandemic restrictions, John Alestra, who works at Agile Group Realty in Tampa, said in a recent interview with The Mortgage Note. “A lot of the feedback I got from folks, a lot of it was just they didn’t want to deal with their states. They saw how they handled the pandemic. They wanted to make that move to a state where they felt they could live their lives a little more freely,” Alestra said. Alestra said they missed the basic life they…
Even as the housing market is rapidly cooling, homeowner equity rose again in Q3, according to ATTOM Data’s Q3 2022 Home Equity & Underwater Report. The report found that 48.5% of mortgaged residential properties were considered equity-rich, up from 48.1% in Q2 and from 39.5% a year earlier. This is a slower increase than previous quarters, but still the 10th quarter of gains. “Even though home price appreciation has slowed down dramatically in recent months, homeowners have continued to build equity,” said Rick Sharga, executive vice president of market intelligence at ATTOM. At least half of mortgagees in twenty states are now equity-rich, compared to only seven states at the same time last year. In total, 94.3% of all mortgage…
First-time homebuyers are fewer and older than ever before, according to new data from the National Association of Realtors. NAR’s 2022 Profile of Home Buyers and Sellers found that the share of first-time homebuyers fell to its lowest point in the data’s history, while their median age rose to 36 years old, the highest point. NAR has been compiling this data since 1981. First-timers made up only 26% of all buyers, down from 34% last year. Their median age rose from 33 a year ago, while the typical repeat homebuyer’s age rose from 56 to 59, also a record high. The median expected home tenure for a first-time buyer was 18 years, yet another record and up 8 years since…
By KIMBERLEY HAAS With the average mortgage rate hitting over 7% for the first time in 20 years, people are talking about what the 2023 housing market will look like. Freddie Mac reported Thursday that their Primary Mortgage Market Survey found the 30-year fixed-rate mortgage averaged 7.08%, up from 6.94% the week prior. A year ago at this time, the 30-year FRM averaged 3.14%, and in 2021, existing-home sales hit 6.12 million, their highest level since 2006. Zillow’s Home Value and Sales Forecast now calls for 5.2 million existing home sales in 2022, up slightly from September’s expectations for 5.1 million sales following a better-than-expected August. The outlook from there is cloudier and recent declines in mortgage applications and pending home…
Home price growth cooled again in September, increasing only 11.4%, according to CoreLogic’s Home Price Index. This is the fifth month of lower YOY growth. Two-thirds of American metros saw at least some month-over-month declines as well, contributing to a 0.5% national decrease from August. Southeastern states continued to see higher price appreciation than other areas. Florida topped the list for the eighth straight month with 23% growth, followed by South Carolina (+17.6%) and Tennessee (+17.4%). Washington, D.C. ranked last with only 1.8% appreciation. “The rapid increase in prices during the COVID-19 pandemic caused many U.S. housing markets to reach completely unaffordable levels for potential local homebuyers,” said Selma Hepp, interim Lead of the Office of the Chief Economist at…
Mortgage loan application volume ticked down again, the sixth straight week of declines, according to the Mortgage Bankers Association’s weekly survey. The adjusted Market Composite Index, a measure of mortgage loan application volume, dropped by a mild 0.5% as mortgage rates cooled off, dropping to 7.06%. The adjusted purchase index fell 1%, while the unadjusted purchase index decreased by 2% and was 41% lower YOY. “Apart from the ARM loan rate, rates for all other loan types were more than three percentage points higher than they were a year ago. These elevated rates continue to put pressure on both purchase and refinance activity and have added to the ongoing affordability challenges impacting the broader housing market, as seen in the…
Rocket Companies has rolled out a rewards program that allows consumers to get points towards various transactions across Rocket’s platforms, the company announced. In its first phase, consumers will be able to use Rocket Rewards on closing costs when financing a home through Rocket Mortgage. “Rocket Companies is known for delivering exceptional client service and the introduction of Rocket Rewards continues that trend – showing our appreciation for clients by offering incentives at various points throughout their financial journey,” said Jay Farner, Vice Chairman and CEO of Rocket Companies. Home shoppers need to create an account and visit the rewards page. New clients will get a 7,500-point welcome bonus, or $75, which can be used on closing costs. More points…
Homes are staying on the market longer but are still selling faster than they did in the fall of 2019, according to a new analysis from Zillow. The typical home that switched to “pending sale” in September did so after 19 days, up from the pandemic’s record lows, but 10 days faster than in September 2019. Homes are also staying on the market with a median of 54 days in October, up 45% YOY. “Buyers are still out there and willing to buy when they find the right home at the right price, which will provide a floor for the price declines we are currently seeing. But sellers need to do things right to attract the attention of these buyers…
This Halloween, mortgage brokers have more to fear than your typical ghosts and ghouls. Some economists say the market is rebalancing, while others say the housing slowdown is more severe than a correction. “Last year, sellers could seemingly list their home at any price and see multiple offers roll in above list price within days,” said Senior Economist Nicole Bachaud of Zillow. “Now, buyers have some negotiating power, and sellers are under pressure. Buyers are still out there and willing to buy when they find the right home at the right price, which will provide a floor for the price declines we are currently seeing.” Either way, mortgage brokers are facing a seriously spooky situation: dwindling home sales, decades-high interest rates,…
By KIMBERLEY HAAS Leaders at an online marketplace that connects property investors to homeowners selling as-is say their platform gives both parties more certainty during the process. People who have houses that are vacant, damaged from natural disasters, or have structural issues can be sold on the Sundae marketplace, but any number of potential sellers may benefit from the company’s services, according to Shaun Greer. Greer is the Senior Vice President of Revenue at Sundae. He recently sat down for an interview with The Mortgage Note. Greer said they have about 22,000 investors who are interested in purchasing “homes that need love.” “What Sundae does is partners with the homeowner and says, ‘Hey, we are going to get you the…
