The housing market has a pattern to it. Typically, it starts to get busier in early spring and continues to build through the summer. But, then in fall, when the school year starts and the weather cools, the housing market slows down a bit. That's why September is said to be the best month to buy a house. It has the higher inventory levels of the summer market but with fewer interested buyers and less competition. This year, though, that's changed. Like everything else, the coronavirus has thrown off the market's … [Read more...]

The National Association of Realtors' Pending Home Sales Index tracks the number of signed contracts to buy homes each month. The index is a good indicator of future home sales numbers, since contract signings precede closings by several weeks. According to the most recent release, pending sales hit an all-time high in August, rising 8.8 percent over the month before and 24.2 percent over last year at the same time. It marks the fourth consecutive month of positive contract activity. Lawrence Yun, NAR's chief … [Read more...]

According to the Mortgage Bankers Association's Weekly Applications Survey, average mortgage rates fell to another all-time survey low last week. Rates were down for 30-year fixed-rate mortgages with both conforming and jumbo balances and mortgages backed by the Federal Housing Administration. But despite the drop, overall mortgage application demand fell week-over-week. In fact, it was down nearly 5 percent from the week before. Joel Kan, MBA's associate vice president of economic and industry forecasting, says, … [Read more...]

If you're trying to calculate how much house you can afford, the most commonly cited rule is that your mortgage payment should be no more than 28 percent of your monthly wages. And while everyone's situation and finances are different, it's a pretty good gauge. That's why ATTOM Data Solutions uses it when putting together their quarterly affordability report. By comparing average wages and the monthly payment on a median-priced home – including taxes and insurance – they can estimate how affordable homes are in … [Read more...]

When there are more buyers than homes for sale, it can be difficult to find a home without compromising on your wish list. Maybe, for example, you wanted an extra fourth bedroom but have to settle for three. Or you can't find a home with as much outdoor living space as you hoped. Or you're having trouble finding something in your price range. Expanding your search area is one way to increase the odds you find a place that fits your needs. And a growing number of buyers are doing it. In fact, according to one recent … [Read more...]

In early spring, when coronavirus shutdowns began, few would've predicted that the summer housing market would be as hot as it turned out to be. Buyer demand rebounded quickly and home sales numbers surpassed year-before levels sooner than anyone could've expected. However, though the housing market's rebound is undoubtedly good news, there is another side to the story. Put simply, home buyers returned to the market before sellers and the resulting imbalance drove already low inventory levels even lower. And … [Read more...]

New residential construction is vital to keeping the housing market balanced. After all, there's no easier way to increase the number of homes for sale than to build more homes. And, in today's market, where inventory is low and demand is high, new home construction is more important than ever. If home builders build enough homes to narrow the gap between supply and demand, it'll help give buyers more choices and keep prices from rising too quickly. That's why the National Association of Home Builders' monthly … [Read more...]

New numbers from the National Association of Realtors show contract signings up for the third straight month. Contract activity rose 5.9 percent in July and is now 15.5 percent higher than the same time last year. The new data is more evidence that the housing market has experienced a V-shaped recovery, with summer sales numbers proving buyers have returned in big numbers following the coronavirus lockdowns that kept them at bay this spring. And, according to Lawrence Yun, NAR's chief economist, home sales would be … [Read more...]

The S&P Case-Shiller Home Price Indices have been tracking home prices for more than 30 years and are considered among the leading measures of U.S. home values. According to the latest release – which contains data through the end of June – home prices are up 4.3 percent over last year at the same time. But while prices continue to increase, they are doing so at a slower pace. In fact, June's increase was flat from the month before and both the 10- and 20-City Composites saw declines. Craig J. Lazzara, managing … [Read more...]

Before the coronavirus' onset in mid-March, most industry analysts were forecasting a hot housing market this year. Buyer demand was up and the inventory of homes for sale was lower than normal. Inevitably, that combination would lead to homes selling quickly, competition among buyers, bidding wars, and price increases. But then the pandemic took hold and many economists pulled back and adjusted their outlook for what seemed like it'd be an enormous obstacle for hopeful home buyers and sellers this year. … [Read more...]