According to the Mortgage Bankers Association's Weekly Applications Survey, average mortgage rates were mostly flat during the final two weeks of December. Rates 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 saw little movement from the week before. But, while rates were relatively unchanged, they remained at their highest level since April 2021, which – along with the holiday season – slowed demand for mortgage … [Read more...]

The housing market typically slows down at the end of the year. The reasons for this aren't difficult to understand. Between harsher weather and the holidays, not a lot of people have moving on their mind during the month of December. But while the market has been experiencing a typical seasonal slowdown, it remains hot when compared to pre-pandemic levels. For example, a look at recently released numbers shows that the number of homes for sale with an accepted offer within one week was nearly double what it was … [Read more...]

If you're like most Americans, your monthly mortgage payment will be among your biggest bills. That's why it's important for prospective home buyers to crunch the numbers before shopping for a house. Knowing how much you can comfortably afford will help you avoid buying a house that causes you financial stress. And these days, that's a factor. The pandemic has led to more economic uncertainty and it has a lot of us thinking about our bills. For example, in one recent survey, nearly 50 percent of participants said … [Read more...]

Buying a home has become less affordable over the past year. Home prices have surged as buyer demand outpaced the inventory of homes for sale. But while homeownership has gotten less affordable, it's still within the average Americans' financial means, according to a new report from ATTOM Data Solutions. Their fourth-quarter 2021 U.S. Home Affordability Report found that the cost of owning a median-priced home now consumes about 25 percent of the average national wage of $65,546. That's within the 28-percent … [Read more...]

The National Association of Realtors' Pending Home Sales Index tracks the number of contracts to buy homes that are signed each month. Because it tracks contract signings, not closings, it can be a good indicator of future home sales. In November, the index found pending sales down 2.2 percent from the month before. Lawrence Yun, NAR's chief economist, says home buying conditions are challenging right now but relief may be on the way. “There was less pending home sales action this time around, which I would ascribe … [Read more...]

These days, housing market conditions are fairly easy to understand. There are fewer homes for sale and, because of that, home prices continue to rise. It's simple supply and demand. When there are fewer homes for buyers to choose from, the ones that are available go for a higher price. But while that's been the case for a while now, the most recent S&P Case-Shiller Indices – considered the leading measure of U.S. home prices – offers some encouraging news. The index found that, while prices are still climbing, … [Read more...]

New-home sales surged in November, rising 12.4 percent from the month before, according to new numbers from the U.S. Census Bureau and the Department of Housing and Urban Development. The increase pushed sales to their highest level since April. Combined with the recently reported increase in existing-home sales, the improvement is further evidence that buyer demand remains high, even at a time of year when home sales typically slow due to winter weather, fewer listings, and the holidays. But while winter usually … [Read more...]

According to the Mortgage Bankers Association's Weekly Applications Survey, average mortgage rates fell to a four-week low last week. Rates were down for loans backed by the Federal Housing Administration and 30-year fixed-rate mortgages with both conforming and jumbo balances. The decline helped push refinance activity up 2 percent from the week before. But while refinancing homeowners were more active, home buyers weren't. In fact, demand for loans to buy homes fell 3 percent from one week earlier. Joel Kan, … [Read more...]

In November, the typical home for sale was on the market just 18 days, according to new numbers from the National Association of Realtors. That's down from 21 days in November 2020 but unchanged from the month before. Overall, 83 percent of homes sold in less than a month. The numbers are evidence that the lack of available inventory means home buyers continue to face a challenging, fast-paced market. In fact, the NAR found there was only a 2.1-month supply of existing homes available for sale in November. A … [Read more...]

Home buyers faced a lot of competition this year. Elevated demand and fewer homes available for sale meant interested buyers had to be ready for a bidding war or risk losing a good house to a better prepared buyer. This was certainly true during the spring and summer markets. In fact, according to one measure, 74.6 percent of offers faced competition in April. Fortunately, though, that was the peak. And, as the summer market turned to fall, buyer competition began to slow. By October, the number of offers that saw … [Read more...]