Accessory dwelling units (ADUs) are defined as secondary, self-contained housing units located on the same lot as a primary single-family home. In other words, guest houses, in-law apartments, garage apartments, and carriage houses. In most cases, these dwellings include a bathroom, kitchenette, living area, and a separate entrance. They're also increasingly popular among Americans living in regions where population growth and cost-of-living is on the rise. In fact, according to a newly released study from Freddie … [Read more...]

According to the Mortgage Bankers Association's Weekly Applications Survey, average mortgage rates fell again last week, with rates down for 30-year fixed-rate mortgages with conforming loan balances, loans backed by the Federal Housing Administration, and 15-year fixed-rate loans. Rates for jumbo loans were flat from the week before. The drop in rates led to a 12 percent increase in refinance activity. Purchase demand, on the other hand, was down for the week, though still 16 percent higher than last year at the … [Read more...]

When there are more home buyers than there are homes for sale, prices rise. Mostly, that's because buyers have to compete with each other for available homes by offering to pay more than the seller is asking. But while competition and bidding wars are good for home sellers, it can cause stress for buyers. That's why home shoppers in today's market need to be prepared. In most metros, buyer demand is high while the inventory of homes for sale is low. That means, a lot of hopeful home buyers are facing competition. … [Read more...]

According to the Mortgage Bankers Association's Weekly Applications Survey, demand for loans to buy homes is now 33 percent higher than it was at the same time last year. The improvement comes after another week-over-week increase. It also comes during a week when mortgage rates hit an all-time survey low. Joel Kan, MBA's associate vice president of economic and industry forecasting, says coronavirus news kept rates down. “Mortgage rates declined to another record low as renewed fears of a coronavirus resurgence … [Read more...]

Buying a home takes a while. But though the process takes several weeks, you won't necessarily have a lot of time to deliberate once you've found a house you like. In most cases, you have to make an offer quickly or you'll risk losing the home to another buyer. That's because, in the current market, inventory is low. The number of homes for sale was already lower than normal before the coronavirus and, since the onset of the pandemic, it's fallen further. So, when you've found a house that fits your budget and … [Read more...]

Sales of previously owned homes fell in May, according to new numbers from the National Association of Realtors. Completed transactions were down 9.7 percent from the month before and 26.6 percent below last year at the same time. It was the third consecutive month of decreasing sales since the coronavirus' first impact in March. But despite the declines, Lawrence Yun, NAR's chief economist, is optimistic that things will rebound soon. “Sales completed in May reflect contract signings in March and April – during … [Read more...]

Without credit, buying a house becomes much more difficult. After all, not many of us have enough money in the bank to be able to write a check for a couple hundred thousand dollars. And, if you can't pay cash, you'll need a loan. Which is why your credit score is so important. It's one of the ways a lender gets a feel for your financial habits and how responsible you are with your money. In short, your credit score will affect, not only the terms of the loan and your interest rate, but whether or not you even … [Read more...]

If you want to know how the housing market is doing, ask a home builder. Their livelihood depends on knowing what, where, and when people are ready to buy a home. So they're generally a pretty good indicator of where things are headed. That's why the National Association of Home Builders conducts a monthly survey asking builders to score the market on a scale where any number above 50 indicates more builders view conditions as good than poor. In June, their Housing Market Index surged 21 points to 58. Robert Dietz, … [Read more...]

A new weekly measure of housing market health from the National Association of Realtors' consumer website compares current traffic, price, new listing, and time on market trends to where they were in January, before the coronavirus' impact. According to the most recent results, the index improved 1 point last week and is now at 88.8, 11.2 points below the baseline of 100. The index shows home prices are continuing to increase while time on market is beginning to fall. In short, home buyers are returning faster than … [Read more...]

According to the Mortgage Bankers Association's Weekly Applications Survey, purchase activity continued to climb last week, rising 5 percent from the week before. The improvement marks eight consecutive weeks of increases and puts demand for loans to buy homes 13 percent higher than they were last year at the same time. Joel Kan, MBA's associate vice president of economic and industry forecasting, says low mortgage rates and pent-up demand are the driving forces behind the rebound. “Fueled again by low mortgage … [Read more...]