By CHUCK GREEN
Home affordability has been a popular topic for the past few years as prices rose and interest rates shot up. First-time homebuyers have complained that they need to spend more to get less than their parents did and industry leaders say they are somewhat right.
Andrew Lokenauth, publisher of BeFluentInFinance.com, said that last year the median home price was $428,700 and that with a 20% down payment of $85,740, the mortgage amount would be $342,960. This would require 34.2% of the median household income of $79,900 to cover the monthly principal and interest payments, he said.
Lokenauth noted that in 1950, the median home price was $7,400. With 20% down, the mortgage amount would be $5,920, requiring…
By KIMBERLEY HAAS
Distressed homeowners who get behind on their mortgage bills are avoiding foreclosure.
The Mortgage Bankers Association’s National Delinquency Survey was released last week and it showed that delinquencies increased in the third quarter to a rate of 3.62%, up 25 basis points from the second quarter and 17 basis points from a year ago.
Marina Walsh, MBA’s vice president of industry analysis, said that despite the increase, later-stage delinquencies – those 90 days or more past due – declined to the lowest level since the first quarter of 2020.
“The decline in later-stage delinquencies, along with a foreclosure starts rate of 0.14% – which is well below the historical quarterly average of 0.40% – suggest that distressed…
By CHUCK GREEN
The housing market has been slowing down due to interest rate hikes, but that likely won’t stop officials from pushing further in their fight against inflation. And average American homebuyers and sellers will be affected by their decisions as affordability continues to be a concern nationwide.
Last week, the Federal Reserve Board voted to hold interest rates steady at their monthly policy meeting, keeping the federal funds rate target range between 5.25% and 5.5%.
Chairman Jerome Powell said in his remarks that despite the pause, “We are prepared to raise rates further if appropriate, and we intend to hold policy at a restrictive level until we are confident that inflation is moving down sustainably toward our objective.”…
By NICOLE MURRAY
Bidding begins this week on a historic castle in Waco, Texas, that was renovated by “Fixer Upper” stars Chip and Joanna Gaines.
Back in 2019, the dynamic duo began renovations on Cottonland Castle and documented their progress on their show “Fixer Upper: The Castle,” which aired in 2022.
“This castle is one of the most impressive properties in the entire Waco, Central Texas, area, and I’ve wanted it for two decades now. The plan for the castle is to bring this beautiful property back to its original state,” Chip Gaines said in a trailer for the program.
The show highlights the couple’s successes and struggles.
“One of the biggest things is, ‘How do we make this feel…
By KIMBERLEY HAAS
Although the market is slow now, there will eventually be a point when homeowners let go of their low interest rates and move.
Selma Hepp, chief economist at CoreLogic, said it is just a matter of time.
Hepp was speaking during an economic forecast panel at the National Association of Real Estate Editors conference in Las Vegas last week. During her presentation, she said although the housing market varies throughout the country, it has been a disappointing spring season.
“Most all markets at this point are showing declines in home sales, but some markets are showing much larger declines in home sales than others,” Hepp said.
She said part of the reason for that is homeowners feel…
By KIMBERLEY HAAS
As the commercial real estate market continues to change, office space is down, but not out, according to an economist who says a majority of companies are still committed to having a place where the “secret sauce” of their business is created.
Richard Barkham, global chief economist for CBRE in Dallas, said it may take up to nine years for the office market to fully recover but it is important to remember that not all of that sector has been badly hit by drops in value.
Barkham said that a large portion of the vacancies are in a minority of the stock, with 80% of the rise in vacancies in 10% of office buildings.
The office buildings…
By CHUCK GREEN
As the traditional spring homebuying season begins, a lack of inventory, high interest rates, and economic uncertainty due to banking troubles have dominated the news. So what can people expect?
Rick Sharga, president and CEO of CJ Patrick Company in California, told The Mortgage Note that it’s “unlikely to be a banner period for home sales. Extremely low inventory of homes for sale coupled with poor affordability are likely to keep sales activity fairly weak, even though seasonal trends usually see sales and prices increase during the spring and summer months.”
Although the second quarter is typically the peak season for home sales, that has been disrupted in recent years, noted Sharga.
“This seasonal trend didn’t happen…
Veterans in Texas are being offered extended homebuying benefits from Competitive Home Lending, the company announced.
Buyers applying for a VA loan through CHL can qualify for a wholesale VA mortgage rate.
Wholesale rates are typically between 25 and 50 basis points lower than retail rates. This gives veterans the opportunity to buy a more expensive home without increasing their purchase price.
CHL has lowered its credit score requirements for veterans to as low as 500, offering 100% financing.
“Competitive Home Lending recognizes the sacrifice and service of our Veterans and wants to do everything possible to make homeownership more accessible for them,” said Raul Hernandez, Mortgage Broker of Competitive Home Lending.
CHL is also offering VA one-time close construction…
By KIMBERLEY HAAS
Craving some sunshine? You are not alone as the migration to the Sun Belt continues past the pandemic.
Data from U-Haul and North American Van Lines shows that the Carolinas, Florida, and Texas were among the top inbound states for migration last year. That trend is expected to continue.
And as the state of North Carolina sees an influx of new residents, the coastal city of Wilmington has been attracting accolades. It was listed as the second best place to live in North Carolina by Forbes Advisor last fall, coming in after Raleigh, the state’s capital.
In January, the median listing home price in Wilmington was $435,700, trending up 18.1% year-over-year. The median home sold price was…
By KIMBERLEY HAAS Homelessness has risen for individuals and people with disabilities, according to the 2022 Annual Homeless Assessment Report released on Monday by officials at the U.S. Department of Housing and Urban Development. Homelessness among single individuals increased by 3.1%. The number of people with disabilities experiencing homelessness for long periods of time increased by 16% between 2020 and 2022. The report found 582,462 people were experiencing homelessness on a single night in January 2022. States with the highest numbers of people who were homeless in 2022 include California (171,521), New York (74,178), Florida (25,959), Washington (25,211), and Texas (24,432). Officials say the Biden-Harris Administration is working to reverse the post-2016 trend of rising homelessness. Their goal is to…
