Sales of previously owned homes slipped 1.5 percent in December, according to newly released numbers from the National Association of Realtors. The decline is the 11th consecutive monthly decrease and puts sales 34 percent lower than where they were at the same time one year earlier. But while home sales have obviously suffered during a period of rising mortgage rates and high home prices, Lawrence Yun, NAR's chief economist, expects things will pick up soon. “December was another difficult month for buyers, who … [Read more...]

According to the Mortgage Bankers Association's Weekly Applications Survey, average mortgage rates fell last week. In fact, rates were down from the week before across all loan categories, including 30-year fixed-rate loans with both conforming and jumbo balances, loans backed by the Federal Housing Administration, 15-year fixed-rate loans, and 5/1 ARMs. Mike Fratantoni, MBA's SVP and chief economist, says rates are now at their lowest level since last September. “Mortgage rates are now at their lowest level since … [Read more...]

A lot changed when the COVID-19 pandemic began in early 2020. But while some of those changes – like remote work or the rise of grocery delivery services – made perfect sense, others weren't as clear. Take the housing market, for example. Home buying demand skyrocketed during the pandemic. But why? What about a global pandemic would lead Americans to become more interested in buying a home? The initial explanation offered was that the pandemic caused us to spend more time at home, which resulted in people wanting … [Read more...]

Lending standards aren't fixed. That means, depending on market conditions, getting approved for a mortgage can be easier at times and more difficult at others. Because of this, the Mortgage Bankers Association tracks mortgage credit availability each month. Any increase in its Mortgage Credit Availability Index indicates that standards are loosening and potential borrowers will have an easier time obtaining a mortgage. A decline means the opposite and indicates lenders are tightening standards. In December, the … [Read more...]

When the housing market was at its peak, home sellers had the advantage. It wasn't uncommon for a homeowner with an attractive listing to receive multiple offers from interested buyers. Put simply, it was a sellers' market. These days, things have obviously changed. Higher mortgage rates and more challenging affordability conditions mean home sellers have to work a little harder to entice potential buyers. It's leading more of them to offer buyers concessions. But what are concessions? Well, they can be a lot of … [Read more...]

Inventory has been one of the housing market's primary problems for years now. Too few available homes for sale, combined with an elevated number of buyers, pushed home prices higher and caused affordability issues, bidding wars, and frustration for home shoppers. But new numbers from the National Association of Realtors' consumer website show the market beginning to balance after years of imbalance. In fact, the number of active homes for sale in December was 54.7 percent higher than it was at the same time the … [Read more...]

According to the Mortgage Bankers Association's Weekly Applications Survey, average mortgage rates fell across all loan categories last week. Rates were down from the week before for 30-year fixed-rate loans with both conforming and jumbo balances, loans backed by the Federal Housing Administration, 15-year fixed-rate loans, and 5/1 ARMs. Joel Kan, MBA's vice president and deputy chief economist, says the drop led to a boost in loan demand. “Mortgage rates declined last week as markets reacted to data showing a … [Read more...]

Where you live is a reflection of what's important to you. Which is to say, when making a move, you're generally looking at areas that have, or are close to, things you value. That's what one recent survey of movers found when asking participants what motivated their move. The survey found that the top motivation was a desire to live closer to family, with 35 percent of respondents naming it as the reason behind relocating. The second most popular answer was a new job or company transfer, which was cited by 33 … [Read more...]

Home buyers were feeling a little more optimistic as 2022 came to a close, according to the most recent results of Fannie Mae's monthly Home Purchase Sentiment Index. The survey – which asks Americans whether they think now is a good time to buy or sell a home, where they think mortgage rates and home prices are headed, and how secure they feel financially – found a rising number of respondents who said they think now is a good time to buy a home. In fact, the survey found an 8 percent month-over-month net increase … [Read more...]

During the pandemic, the housing market favored home sellers. Prices spiked as demand from buyers soared. Hopeful home shoppers faced competition, bidding wars, and the likelihood that the home they wanted would receive multiple offers and sell to a competing buyer. Last year, though, things changed. Now, many of the hottest pandemic housing markets are turning for buyers, with the number of homes available for sale growing significantly in 80 of the 100 largest markets, according to one recent analysis. With fewer … [Read more...]