According to the Mortgage Bankers Association's Weekly Applications Survey, average mortgage rates increased again last week, moving higher 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. The increases continue the recent upward trend that has rates headed higher just as the spring home buying season gets underway. Fortunately, though, it doesn't seem to have slowed buyers. Mike Fratantoni, MBA's senior vice … [Read more...]

In order to buy a house, you have to be approved to borrow enough money to pay for it. After all, not many of us have a couple hundred thousands dollars in cash lying around. So most buyers, before they start their home search, will have to talk to a lender to see whether they qualify for a mortgage. But the standards used to determine whether or not a buyer's qualified aren't fixed. There are times when getting a mortgage is harder and others when it's easier. Because of this, the Mortgage Bankers Association's … [Read more...]

Last year's housing market was fast-paced and competitive. Buyer demand was elevated, and available listings often had multiple offers after hosting a steady stream of interested home shoppers. So what should we expect this spring, as the sales season kicks into gear? According to one recent analysis of home showings, maybe more of the same. The analysis – which looked at the number of home tours per available listing in markets across the country – found that the number of markets averaging double-digit showings … [Read more...]

The National Association of Realtors' Pending Home Sales Index measures the number of contracts to buy homes signed each month. Because it tracks signings and not closings, the index is a good indicator of future sales of existing homes. In February, it was down 4.1 percent, marking the fourth consecutive month transactions fell. Lawrence Yun, NAR's chief economist, says the reason for the decline is simple. “Pending transactions diminished in February mainly due to the low number of homes for sale,” Yun said. … [Read more...]

There are a couple of reasons new home sales are important to watch. First, they account for just over 11 percent of all home sales. Secondly, they're a leading indicator, since they are counted when a contract to buy is signed, rather than at closing. In other words, you can get a good feel for what's ahead for the housing market by paying attention to new home sales. In February, according to numbers from the U.S. Census Bureau and the Department of Housing and Urban Development, sales slowed, dropping 2 percent … [Read more...]

According to the Mortgage Bankers Association's Weekly Applications Survey, average mortgage rates moved higher last week. Rates were up 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. Mike Fratantoni, MBA's senior vice president and chief economist, says he expects rates to trend higher throughout 2022. “MBA's new March forecast expects mortgage rates to continue to trend higher through the course of 2022,” … [Read more...]

Homeownership has its perks. Among them, it's a financial investment. When home prices rise, homeowners benefit. And last year, homeowners benefited in a big way. In fact, according to one new analysis, home values rose higher than the median income in 25 of 38 of the metropolitan areas included in the study. In other words, homeowners gained more in equity than the median worker made in income. Home appreciation even topped $100,000 in 11 of those cities. In San Jose, for example, the typical home grew $229,277 in … [Read more...]

In an interconnected world, events in other countries have an effect on our economy. That's certainly the case these days, according to Fannie Mae's Economic and Strategic Research Group's latest monthly outlook. According to the group, the Russian invasion of Ukraine, along with existing supply-chain issues, has caused considerable downside risks to the U.S. economy and housing market. Fortunately for home buyers and sellers, though, Doug Duncan, Fannie Mae's senior vice president and chief economist, says the … [Read more...]

Sales of previously owned homes fell in February, according to the National Association of Realtors. Sales were down 7.2 percent from the month before and 2.4 percent from last year at the same time. There were a number of factors that likely contributed to the decline, including higher mortgage rates and a lower than normal number of homes for sale. But while challenges remain, there are signs a better balanced market may be on the way. Lawrence Yun, NAR's chief economist, says inventory is beginning to improve. … [Read more...]

The housing market needs more homes. They are plenty of buyers but not enough houses for sale. That leads to higher prices and more competition for available listings. Fortunately, though, new home construction is expected to increase this year and, according to newly released numbers from the U.S. Census Bureau and the Department of Housing and Urban Development, it already has. Their February new residential construction report shows the number of homes that began construction during the month was 22 percent … [Read more...]