You don't need to be an economist to understand supply and demand. It's a pretty simple concept. When supply is low and demand is high, prices rise. That's what's been happening in the housing market. Home prices have been increasing because a lot of people want to buy a house but there aren't a lot of homes available to buy. Fortunately, though, there's reason to believe the inventory crunch that's pushed prices higher may be starting to ease. According to a new report from the National Association of Realtors' … [Read more...]

Figuring out how much your down payment will be and where it'll come from is a big part of getting ready to buy a house. Whether you're using money from the sale of your current home or saving from scratch, you have to have an idea of how much you'll have available. Naturally, how much you'll need depends on the specific house you're hoping to buy and the terms of your loan. But what does the typical down payment look like these days? Well, according to one recent analysis, the median down payment on single-family … [Read more...]

According to the Mortgage Bankers Association's Weekly Applications Survey, average mortgage rates increased last week from one week earlier. Rates were up across all loan categories, including 30-year fixed-rate loans with both conforming and jumbo balances, loans backed by the Federal Housing Administration, and 15-year fixed-rate loans. Higher rates didn't have much effect on mortgage applications demand, however. In fact, applications were down less than 1 percent. Joel Kan, MBA's associate vice president of … [Read more...]

When there are fewer homes available for sale, those that are on the market receive more interest. After all, it's easier to get buyers interested in your home, if there aren't many others to see. That's the case these days. Simply put, it's a good time for homeowners who want to sell. How good? Well, according to one recent report, very good. The analysis looked at the average number of home showings per listing in January, which is a pretty accurate way to measure current buyer demand. What they found was – even … [Read more...]

There are more millennial home buyers in the housing market than ever before. The generation – roughly defined as those born between 1981 and 1996 – is now reaching, or just past, the age of the typical first-time home buyer. In fact, in 2021, they made up 67 percent of first-time home purchase applications. So what are these buyers looking for in a house? Well, according to one recent analysis, a lot of the same things older buyers want. For example, millennials say they want a house in a safe area, near good … [Read more...]

Buying a home is a process. There are several steps between the day you're approved to borrow and the day you get keys to your new home. Among them, having an offer accepted and signing the contract to buy is a big one. Barring something unforeseen, it means you're a few weeks away from closing on your house and getting ready to move. That's why, after the contract is signed, the home's sale is considered pending. It's also why the National Association of Realtors tracks pending sales each month, because they're a … [Read more...]

Affordability is a top concern for today's home buyers. Mortgage rates have risen recently and home prices continue to climb. But while it may seem like buyers haven't gotten any good news lately, the most recent new residential construction report from the U.S. Census Bureau and the Department of Housing and Urban Development contains some encouraging signs. The report found that, in January, permits to build new, single-family homes rose 6.8 percent from the month before. And, because spiking home prices are … [Read more...]

According to the Mortgage Bankers Association's Weekly Applications Survey, average mortgage rates increased again last week, moving up across all loan categories. Rates were higher than one week earlier for 30-year fixed-rate loans with both conforming and jumbo balances, loans backed by the Federal Housing Administration, and 15-year fixed-rate loans. For the most part, the increases were small but still enough to slow mortgage application demand. In fact, refinance activity fell 16 percent from the week before, … [Read more...]

By now, just about everyone knows home prices rose in 2021. Even if you weren't shopping for a home last year, you probably came across a headline or news story covering the accelerated pace of price increases. What you may not know, though, is just how high they climbed. New numbers from the S&P Case-Shiller Home Price Indices give us a better idea. According to their most recent release, prices nationwide posted an 18.8 percent increase last year. Craig J. Lazzara, managing director at S&P, says it was … [Read more...]

Each month, Fannie Mae's Economic and Strategic Research Group releases an outlook covering the housing market and overall economy. The group looks at economic growth and policy, home prices, mortgage rates, and sales expectations. In February, their outlook addresses housing affordability and the likelihood that the market will slow from last year's frenetic pace. According to the release, they foresee home sales and price increases moderating in 2022. In fact, the group projects home price growth of 7.6 percent … [Read more...]