Housing Affordability Drops As Home Prices Rise

Housing Affordability Drops As Home Prices Rise

Median home prices rose at least 10% in the fourth quarter of 2020,  significantly impacting housing affordability for many prospective homebuyers. Of the 499 counties surveyed in Attom Data Solutions’ Home Affordability Index, 275 (55%) experienced this increase in prices. By comparison, home prices were up 43% in the fourth quarter of 2019. Home prices for single-family homes have experienced steady increases over the past few quarters. According to the National Association of Realtors, in the penultimate quarter of 2020, the median price for an existing single-family home was $313,500. This was up…continue reading →

Digital Closing Helpful but Chinks Remain

Remote online notarization (RON) has been on a high since the pandemic hit the town. Digital closings have allowed the housing industry to operate in times of social distancing and lack of in-person contact. However, Kimberly Smathers, Snapdoc’s Head of Information Security and Compliance stated during National Mortgage News Digital Mortgage conference’s panel discussion that the growth in this new design could lead to resource-constrained new products. "Are there enough engineers to create the product?" she asked. "Is there a rigorous security process built into how that product is developed? I think that you…continue reading →

Nonbank Mortgage Firms Increase Hiring Rate

The payrolls of the nonbank mortgage bankers and brokers cumulatively increased by roughly 2% on the monthly chart and 9% on the yearly chart, divulges the latest report of the Bureau of Labor Statistics. While the expectations were rather mute, given the traditionally lackluster buying numbers in fall, many nonbank mortgage houses are hiring at a decent rate, believing that it is the time to execute ambitious plans. For instance, Mr. Cooper proposes to hire 2,000 employees. AmeriSave Mortgage Corp. is looking for the same number of recruits. As early as in July, Freedom…continue reading →

More than Half U.S Properties Involved in Bidding Wars

Five times more U.S properties went into bidding wars in August, compared to the same month last year, says a Redfin data. Squeezed inventory has led to a hike in buyer demand which has seen as many as 54.5% properties undergoing a series of increasing price bids. In some of the metro areas, as many as 65% properties were involved in such wars.  “The market is on fire. There just isn't enough on the market to supply the huge demand for homes. A lot of military buyers are trying to take advantage of…continue reading →

While the Economy is Falling, Home Prices Keep Rising. Here’s why.

National Association of Realtor's (NAR) existing home sales report for April 2020 reported that the Median Sales Price rose a staggering 7.4% year-on-year. April's increase marks 98 straight months of year-on-year increase. Even a more recent data (for the week ending May 15, 2020) from Altos Research shows that the Median Sales Price is still increasing. This, when 38 million Americans have lost their jobs and the unemployment rate is at the highest levels since the Great Depression of 1933, mostly due to Covid-19 pandemic (see chart below). It seems that all the…continue reading →

Existing Home Sale Report for the Month of October

Existing-home sales in the Midwest and the South have registered an uptick for the month of October, says the National Association of Realtors’s (NAR) housing stat. Sales in the North and the West, on the other hand, have suffered a decline. All four regions have, however, sold more homes compared to the numbers they sold a year ago. Total existing-home sales (single-family homes, townhomes, co-ops, and condos) have come up to 5.46 million in October, a rise from September’s 5.38 million (calculations based on seasonally adjusted annual rate). This marks an increase of…continue reading →

Existing Home Sale Report for the Month of September

Existing-home sales in the Northeast, the Midwest, the West, and the South have all come down for the month of September, says the National Association of Realtors’s (NAR) housing stat. Three out of the four regions (except the Midwest) have, however, sold more homes compared to the numbers they sold a year ago. Total existing-home sales (single-family homes, townhomes, co-ops, and condos) have come down from 5.49 million in August to 5.38 million in September (calculations based on seasonally adjusted annual rate) marking a downtick of 2.2%. The decline notwithstanding, the year-over-year overall…continue reading →

New FHA Condo Rule Poised to Turn FHA Financing on its Head

Less than 10,000 condo projects out of the estimated 150,000-160,000 such projects across the country are approved for FHA financing. In the light of this stat, any guideline that opens up 20,000 to 60,000 condo units for FHA financing each year is a guideline worth getting ecstatic about. Precisely why the FHA’s longed-for condominium rules update (the Final Rule)- coming into effect on 15th October 2019- is happy tidings. Now certain specific individual condominium units can benefit from FHA financing (through spot approval) even if the condominium complexes or buildings in which the…continue reading →

Austin Real Estate Market: Housing Demand Encouraging, Inventory Stretched

Play it any way you like it but Austin is not in a real estate bubble. Its property market is encouragingly poised. Housing demand is just where you would like to see it and inventory is pretty stretched. While the Austin market is not as big as Houston or Dallas, it has witnessed a near 100% spurt in home prices over the last 10 years. Austin Board of Association of REALTORS data Based on data plucked from the Austin Board of Association of REALTORS, HomesUSA.com has conducted an analysis that says new homes…continue reading →

Existing Home Sale Report for the Month of August

Existing-home sales in the Northeast, the Midwest, and the South have registered second consecutive month of growth, says the National Association of Realtors’s (NAR) housing stat. Only the West has exhibited a decline in the number of existing homes sold in August. Total existing-home sales (single-family homes, townhomes, co-ops and condos) rose from 5.42 million in July to 5.49 million in August (calculations based on seasonally adjusted annual rate). Year-over-year overall sales have seen a spike of 2.6%. Despite looming economic certainty, buyers are finding the prevailing interest rates irresistible, if the statement…continue reading →