The National Association of Realtors' Pending Home Sales Index is considered a good indicator of future home sales because it measures contract signings rather than closings. Generally speaking, contracts to buy are signed weeks before a sale is closed, which means a drop in the number of signed contracts will most likely show up as a decline in home sales the following month. In April, the NAR's index fell 3.9 percent, indicating that home sales will soon slow. The reasons for this are obvious: Spiking mortgage … [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 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. It was the second consecutive week mortgage rates declined. But though rates fell, it didn't lead to an increase in demand for loans to buy homes. In fact, the MBA's purchase index was … [Read more...]

Home buyer preferences are usually pretty consistent. What home shoppers are looking for in a house or neighborhood doesn't change all that much from year to year. But, while that's typically true, the pandemic caused a shift in what buyers are looking for and, two years after its initial onset, the effects are becoming more clear. One recent example can be seen in an analysis of home-price growth and inventory levels in more than 1,000 cities nationwide. The analysis – which aimed to pinpoint the country's most … [Read more...]

Homeownership has many benefits. It also comes with a fair amount of responsibilities. Among them, maintenance is a big one. It's up to you to keep your home in good shape, fix things when they break, and make sure mechanical systems are in working order. Of course, you can hire contractors to do the work, but finding good, affordable help can be challenging and the costs definitely add up. So when shopping for a home to buy, it's also good to have an idea of how handy you are around the house. Being able to handle … [Read more...]

Affordability is a hot topic these days. After two years of rapid home price growth and the recent spike in mortgage rates, prospective home buyers are increasingly wondering about the cost. That's natural. When affordability conditions change quickly, it can lead to uncertainty. So what should home buyers expect in the coming months? Fannie Mae's Economic and Strategic Research Group has answers. According to their latest outlook, the group believes the housing market is headed for a slowdown in sales and … [Read more...]

Homes for sale continue to sell quickly, according to new numbers from the National Association of Realtors. Data from April shows 88 percent of homes sold during the month were on the market less than 30 days and the typical property was on the market just 17 days. Lawrence Yun, NAR's chief economist, says the housing market is a little unusual right now. “The market is quite unusual as sales are coming down, but listed homes are still selling swiftly ...” Yun said. It's true. Home sales in April fell 2.4 percent … [Read more...]

According to the Mortgage Bankers Association's Weekly Application Survey, average mortgage rates fell last week. Rates were down from one week earlier 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. But despite the decline, demand for mortgage applications also fell, with both refinance and purchase activity slowing from the week before. Joel Kan, MBA's associate vice president … [Read more...]

Home builders are a reliable barometer of housing market health, since their business depends on being able to anticipate buyers' needs. That's why the National Association of Home Builders' monthly Housing Market Index – which measures builder confidence – is a closely watched industry metric. The index is scored on a scale where any number above 50 indicates more builders view conditions as good than poor. In May, the index fell for the fifth straight month, dropping to 69. Though still a positive result, it's an … [Read more...]

The standards lenders use to determine whether or not a borrower is approved for a loan aren't fixed. That means there are times when it's easier to get a mortgage and times when it's more difficult. Because of this, the Mortgage Bankers Association tracks mortgage credit availability from month to month. An increase in the MBA's index indicates that standards are loosening, while a decline means they've tightened. According to the most recent results, mortgage credit availability tightened in April. Joel Kan, … [Read more...]

One of the primary benefits of owning a home is equity. Put simply, equity is the difference between what you owe on your mortgage and what your home is worth. Which means, you build it as you pay down your loan each month. It also grows when your home's value increases. It's homeownership's main financial benefit and, these days, homeowners have more of it than ever. In fact, according to ATTOM Data Solutions' most recent U.S. Home Equity & Underwater Report, nearly half of all mortgaged residential properties … [Read more...]