Prospective home buyers who’ve been waiting for affordability conditions to improve may be in luck. According to the latest Purchase Applications Payment Index from the Mortgage Bankers Association, the typical mortgage payment applied for by borrowers in July was 1.3 percent lower than the previous month. In fact, the national median payment fell to $2,140 – with payments for lower-payment mortgages down to $1,444. Edward Seiler, MBA’s associate vice president, housing economics, and executive director, Research … [Read more...]

When mortgage rates began rising from all-time lows a few years back, the number of Americans looking for a loan started to fall. But, according to new numbers from ATTOM Data Solutions, there was a bit of a borrower boom during the second quarter of this year. In fact, residential lending activity increased 23.2 percent from the previous quarter. Rob Barber, ATTOM's CEO, says it was the biggest boost in years. “The mortgage industry got one of its biggest boosts in years during the second quarter, supported by a … [Read more...]

The National Association of Realtors’ Pending Home Sales Index tracks the number of contracts to buy homes signed each month. Because contract signings precede closings, the index is considered a good indicator of future existing-home sales. In July, pending sales slowed 5.5 percent from the month before, pushing the number of signed contracts 8.5 percent below last year at the same time. Lawrence Yun, NAR’s chief economist, says buyers may be in a holding pattern. “A sales recovery did not occur in midsummer,” Yun … [Read more...]

According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates fell last week from one week earlier. Rates were down for 30-year fixed-rate loans with conforming loan balances, loans backed by the Federal Housing Administration, 15-year fixed-rate loans, and 5/1 ARMs. Jumbo loans saw a slight increase. Joel Kan, MBA’s vice president and deputy chief economist, says it was the fourth consecutive week of declines. “Mortgage rates declined for the fourth consecutive week, with the … [Read more...]

Home prices are still rising, according to the latest numbers from the S&P Case-Shiller Home Price Indices. S&P's National Home Price Index – which covers all nine U.S. census divisions – reported a 5.4 percent year-over-year gain through the end of June. But that's down from the previous month when prices were up 5.9 percent from the year before - which means home prices are still rising but they're showing signs of deceleration. Brian D. Luke, head of commodities, real & digital assets at S&P, … [Read more...]

Home buyers are watching the housing market closely, waiting for affordability to improve before making their move. Any drop in mortgage rates seems to inspire a wave of buyers looking to take advantage of the improvement. The latest new home sales numbers from the U.S. Census Bureau and the Department of Housing and Urban Development are the latest evidence of that. In July, new home sales reached the highest level in more than a year, spiking 10.6 percent from the month before and climbing 5.6 percent higher than … [Read more...]

Sales of previously owned homes increased 1.3 percent in July, breaking a four-month streak of monthly declines, according to new numbers from the National Association of Realtors. The improvement, while modest, was welcome. Lawrence Yun, NAR’s chief economist, says conditions are beginning to get better for buyers. “Despite the modest gain, home sales are still sluggish,” Yun said. “But consumers are definitely seeing more choices, and affordability is improving due to lower interest rates.” It’s true. Mortgage … [Read more...]

Fannie Mae’s Economic and Strategic Research Group releases a monthly outlook covering its expectations for the economy and housing market. In its most recent release, the group revised its forecast for home sales through the end of the year, predicting fewer than before. But with mortgage rates falling and the inventory of homes for sale rising, the news has been good for buyers. So why the revision? Mark Palim, Fannie Mae’s vice president and deputy chief economist, says home buyers remain reluctant. “On its … [Read more...]

According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates fell again last week. Rates were down from the week before for 30-year fixed-rate loans with both conforming and jumbo balances and loans backed by the Federal Housing Administration. It was the third consecutive weekly decline. Despite the improvement, however, demand for mortgage applications was also down week-over-week. Mostly, the decrease was due to a drop in refinance activity, which slowed after a significant … [Read more...]

The number of homes valued at $1 million or more is now more than twice what it was pre-pandemic, according to a new analysis of the luxury home market. The data shows that 8.5 percent of homes in America are worth more than $1 million, up from 7.6 percent last year and 4 percent pre-pandemic. The increase should come as no surprise, given the recent rise in home prices. Price increases spiked during the pandemic-era buyer boom and have only begun to slow over the past year. Those increases pushed home values … [Read more...]