The post Housing Market to Spike in 2023 and 2024, Report Suggests appeared first on theprimarymarket.com.
]]>In its recent Housing Market Indicators report, the think tank estimated that home prices would rise 2.9% year-over-year in June; up from the 2.1% increase recorded the previous month. In July, AEI expects a 4% rise from the previous year. Home prices are expected to jump by 6% over the course of 2023 and a further 7% in 2024.
“This is largely due to historically low supply, cooling yet still strong job numbers, low levels of foreclosures in most areas of the country, work from home, and continuing home price arbitrage opportunities,” the AEI explained.
According to the Mortgage Bankers Association, the current housing market is the most unaffordable in history. Since the pandemic, house prices have surged by 44%, with over 75% of homes on the market proving too expensive for the middle class, according to a report from the National Association of Realtors and Realtors.com.
The post Housing Market to Spike in 2023 and 2024, Report Suggests appeared first on theprimarymarket.com.
]]>The post Home Prices in U.S. Close to All-Time High Due to Depressed Supply appeared first on theprimarymarket.com.
]]>According to the report, the median home sale price in the U.S. for June came at $426,056. This was only 1.5% below the record of $432,397 that was set in May 2022.
On the other hand, there were 1,318,154 homes on the market in June, which represents a 15% drop compared to the same period in 2022 and represents an all-time low. The new listings have been particularly scarce at 450,000 units, declining by more than 30% compared to last year.
Redfin’s Chief Economist Daryl Fairweather says that the housing market remains “hot” despite the fact that there aren’t many sales taking place. A total of 404,331 homes were sold in June, which constitutes a 19.8% drop compared to the same month of last year.
“Sellers are getting multiple offers if their home is priced well and in a desirable area even though there aren’t a lot of buyers out there. That’s because house hunters have so few homes to choose from,” Fairweather concluded.
The post Home Prices in U.S. Close to All-Time High Due to Depressed Supply appeared first on theprimarymarket.com.
]]>The post China Home Prices Hit New Low in June appeared first on theprimarymarket.com.
]]>Reuters calculations, based on National Bureau of Statistics (NBS) data, found that June’s price change even fell below the 0.1% rise in May. Compared to June last year, prices remained relatively unchanged as well, also falling from a 0.1% increase in May.
Despite governmental efforts to support the market, China’s property sector continues to struggle since it first entered crisis mode. Local governments, regulators, and the central government in Beijing all announced a slew of measures over the past few months to aid the flailing sector, however, these have had minimal effect. Comprising a quarter of China’s total economy, the property sector remains heavily relied upon.
Among those measures that have been implemented are extended financial support for developers as well as incentives for home buyers. Ultimately, a lack of market confidence and extended periods of flailing demand have erased all hopes of an economic recovery in the near term.
The post China Home Prices Hit New Low in June appeared first on theprimarymarket.com.
]]>The post Home Prices Rise for Third Straight Month in April appeared first on theprimarymarket.com.
]]>The S&P CoreLogic Case-Shiller US National Home price index increased by 0.5% in April on a seasonally adjusted basis. The index that tracked the 20 largest U.S. metros showed that prices in these areas rose 0.9% in April compared to the previous month, thereby beating the expected 0.35% as stipulated by economists surveyed by Bloomberg.
“The U.S. housing market continued to strengthen in April 2023,” Craig J. Lazzara, managing director at S&P DJI commented. “Home prices peaked in June 2022, declined until January 2023, and then began to recover.”
Around the same time, the Federal Housing Finance Agency reported that average US home prices grew 0.7% month over month in April on a seasonally adjusted basis, thereby corroborating what the S&P index claimed.
Miami, Chicago, and Atlanta were the cities with the largest price increases, gaining 5.2%, 4.1%, and 3.5%, respectively. Seattle and San Francisco were on the other end of the equation, with price drops of 12.4% and 11.1% respectively.
The post Home Prices Rise for Third Straight Month in April appeared first on theprimarymarket.com.
]]>The post London Home Prices Fall as Rates Discourage Buyers appeared first on theprimarymarket.com.
]]>Asking prices in London declined by 1.6% compared to the previous month. In contrast, prices on a national scale remained relatively unchanged, standing 1.1% higher than the previous year.
The decline in prices has been largely driven by a fall in buyer interest, particularly as interest rates continue to rise. Mortgage rates have continued to rise off the back of speculation that the Bank of England will continue to raise interest rates in an effort to cool inflation.
Standing at 6.01%, the two-year fixed-rate home loan is at its highest level since December. The average five-year fixed-rate home loan is at 5.67%, having crossed 5.5% last week for the first time since January.
Across the board, mortgage rates are edging closer to the 14-year highs reached at the end of 2022, while threatening to cross 6% for the first time since 2001.
The post London Home Prices Fall as Rates Discourage Buyers appeared first on theprimarymarket.com.
]]>The post Home Prices Rise for Second Straight Month appeared first on theprimarymarket.com.
]]>The S&P CoreLogic Case-Shiller U.S. National Home Price index rose 0.4% in March. The index uses data on properties that have been sold at least twice in the past so as to calculate the changes in each property’s value more accurately.
According to the index, housing values in the 20 largest metros in the U.S. showed rose by 0.5% over the last month on a seasonally adjusted basis. This is a 1.10% decrease compared to the same period last year. Analysts surveyed by Bloomberg expected to change on a monthly basis and a 1.60% decline on an annual basis.
Miami proved to be the city with the steepest price rise of 7.7%, followed by Tampa and Charlotte, where housing prices rose by 4.8% and 4.7% respectively. In contrast, Seattle experienced a price decline of 12.4%, followed by San Francisco with an 11.2% drop.
The post Home Prices Rise for Second Straight Month appeared first on theprimarymarket.com.
]]>The post Housing Market Affordability Expected to Remain Low, Experts Warn appeared first on theprimarymarket.com.
]]>Bankrate mortgage analyst Jeff Ostrowski claimed that while mortgage rates and home prices may be able to drop in price marginally in the coming months, no significant drop can be expected over the next two years. This is because the Federal Reserve is expected to keep interest rates high, thereby putting upward pressure on mortgage rates. Ostrowski forecast mortgage rates to float between 5% and 6% over the next year.
Redfin deputy chief economist Taylor Marr agreed with this sentiment, predicting that mortgage rates would ease to approximately 6% by the end of the year. “It feels like prices aren’t really changing much and interest rates aren’t changing much,” Marr admitted. “We’ve been describing it sort of like a game of musical chairs, where most participants are just in their seats, and once people start to get up out of their seats, that’s where there will be affordable housing opportunities.”
The post Housing Market Affordability Expected to Remain Low, Experts Warn appeared first on theprimarymarket.com.
]]>The post Economists Expect U.S. Home Prices to Decrease By 10% This Year appeared first on theprimarymarket.com.
]]>Since hitting their post-pandemic high in the second quarter of 2022, housing prices have been constantly coming down. According to data from Redfin, the median U.S. home price in March was $400,706; a 3.3% decline on an annual basis. This is also an 8% decline from peak pricing in May 2022.
Abbey Omodunbi, PNC Bank Senior Economist, stated that a decline in demand and excess supply are expected to drive down prices this year.
“Financial conditions will likely tighten in 2023,” Omodunbi observed. “We do expect the Fed to raise the Fed funds rate by a quarter of a percentage point going into the meeting in two weeks. And also after the bank failures in March, many banks are likely to be more cautious. So we might see some tighter lending standards.”
The post Economists Expect U.S. Home Prices to Decrease By 10% This Year appeared first on theprimarymarket.com.
]]>The post Domestic U.S. Home Sales Decline in March appeared first on theprimarymarket.com.
]]>Existing home sales fell to 4.44 million, a decline of 2.4% compared to February and a 22% fall from March last year. According to FactSet, economists were expecting 4.5 million home sales for the month.
The number of homes readily available for purchase on the market rose by 1% from February to 980,000 properties. This marks a 5.4% increase from March of 2022. The national median home price for March 2023 was $375,000; a decline of 0.9% from March 2022.
Although the median home price was on the decline, mortgage rates continued to rise in March. By the second week of March, the 30-year mortgage hit 6.73%
The post Domestic U.S. Home Sales Decline in March appeared first on theprimarymarket.com.
]]>The post New Home Prices In China Hit 9-Year High appeared first on theprimarymarket.com.
]]>Data from the China Index Academy showed that prices rose by 0.02% in March after February’s flat reading. The firm added that 41 Chinese cities reported housing price increases, compared to just 26 in February.
“Growth in Chinese contracted property sales value turned positive in January-February 2023 on the back of an increase in average selling price, but a sustainable recovery of the property sector remains uncertain,” Moody’s said in a research note addressing the recent uptick in prices.
Extensive COVID lockdowns as a result of the government’s zero-COVID policy meant that many developers were unable to finish construction projects. While sales have rebounded since the zero-COVID policy was dialed back in December, consumer confidence has not yet been restored to its highest levels.
The post New Home Prices In China Hit 9-Year High appeared first on theprimarymarket.com.
]]>The post Housing Market to Spike in 2023 and 2024, Report Suggests appeared first on theprimarymarket.com.
]]>In its recent Housing Market Indicators report, the think tank estimated that home prices would rise 2.9% year-over-year in June; up from the 2.1% increase recorded the previous month. In July, AEI expects a 4% rise from the previous year. Home prices are expected to jump by 6% over the course of 2023 and a further 7% in 2024.
“This is largely due to historically low supply, cooling yet still strong job numbers, low levels of foreclosures in most areas of the country, work from home, and continuing home price arbitrage opportunities,” the AEI explained.
According to the Mortgage Bankers Association, the current housing market is the most unaffordable in history. Since the pandemic, house prices have surged by 44%, with over 75% of homes on the market proving too expensive for the middle class, according to a report from the National Association of Realtors and Realtors.com.
The post Housing Market to Spike in 2023 and 2024, Report Suggests appeared first on theprimarymarket.com.
]]>The post Home Prices in U.S. Close to All-Time High Due to Depressed Supply appeared first on theprimarymarket.com.
]]>According to the report, the median home sale price in the U.S. for June came at $426,056. This was only 1.5% below the record of $432,397 that was set in May 2022.
On the other hand, there were 1,318,154 homes on the market in June, which represents a 15% drop compared to the same period in 2022 and represents an all-time low. The new listings have been particularly scarce at 450,000 units, declining by more than 30% compared to last year.
Redfin’s Chief Economist Daryl Fairweather says that the housing market remains “hot” despite the fact that there aren’t many sales taking place. A total of 404,331 homes were sold in June, which constitutes a 19.8% drop compared to the same month of last year.
“Sellers are getting multiple offers if their home is priced well and in a desirable area even though there aren’t a lot of buyers out there. That’s because house hunters have so few homes to choose from,” Fairweather concluded.
The post Home Prices in U.S. Close to All-Time High Due to Depressed Supply appeared first on theprimarymarket.com.
]]>The post China Home Prices Hit New Low in June appeared first on theprimarymarket.com.
]]>Reuters calculations, based on National Bureau of Statistics (NBS) data, found that June’s price change even fell below the 0.1% rise in May. Compared to June last year, prices remained relatively unchanged as well, also falling from a 0.1% increase in May.
Despite governmental efforts to support the market, China’s property sector continues to struggle since it first entered crisis mode. Local governments, regulators, and the central government in Beijing all announced a slew of measures over the past few months to aid the flailing sector, however, these have had minimal effect. Comprising a quarter of China’s total economy, the property sector remains heavily relied upon.
Among those measures that have been implemented are extended financial support for developers as well as incentives for home buyers. Ultimately, a lack of market confidence and extended periods of flailing demand have erased all hopes of an economic recovery in the near term.
The post China Home Prices Hit New Low in June appeared first on theprimarymarket.com.
]]>The post Home Prices Rise for Third Straight Month in April appeared first on theprimarymarket.com.
]]>The S&P CoreLogic Case-Shiller US National Home price index increased by 0.5% in April on a seasonally adjusted basis. The index that tracked the 20 largest U.S. metros showed that prices in these areas rose 0.9% in April compared to the previous month, thereby beating the expected 0.35% as stipulated by economists surveyed by Bloomberg.
“The U.S. housing market continued to strengthen in April 2023,” Craig J. Lazzara, managing director at S&P DJI commented. “Home prices peaked in June 2022, declined until January 2023, and then began to recover.”
Around the same time, the Federal Housing Finance Agency reported that average US home prices grew 0.7% month over month in April on a seasonally adjusted basis, thereby corroborating what the S&P index claimed.
Miami, Chicago, and Atlanta were the cities with the largest price increases, gaining 5.2%, 4.1%, and 3.5%, respectively. Seattle and San Francisco were on the other end of the equation, with price drops of 12.4% and 11.1% respectively.
The post Home Prices Rise for Third Straight Month in April appeared first on theprimarymarket.com.
]]>The post London Home Prices Fall as Rates Discourage Buyers appeared first on theprimarymarket.com.
]]>Asking prices in London declined by 1.6% compared to the previous month. In contrast, prices on a national scale remained relatively unchanged, standing 1.1% higher than the previous year.
The decline in prices has been largely driven by a fall in buyer interest, particularly as interest rates continue to rise. Mortgage rates have continued to rise off the back of speculation that the Bank of England will continue to raise interest rates in an effort to cool inflation.
Standing at 6.01%, the two-year fixed-rate home loan is at its highest level since December. The average five-year fixed-rate home loan is at 5.67%, having crossed 5.5% last week for the first time since January.
Across the board, mortgage rates are edging closer to the 14-year highs reached at the end of 2022, while threatening to cross 6% for the first time since 2001.
The post London Home Prices Fall as Rates Discourage Buyers appeared first on theprimarymarket.com.
]]>The post Home Prices Rise for Second Straight Month appeared first on theprimarymarket.com.
]]>The S&P CoreLogic Case-Shiller U.S. National Home Price index rose 0.4% in March. The index uses data on properties that have been sold at least twice in the past so as to calculate the changes in each property’s value more accurately.
According to the index, housing values in the 20 largest metros in the U.S. showed rose by 0.5% over the last month on a seasonally adjusted basis. This is a 1.10% decrease compared to the same period last year. Analysts surveyed by Bloomberg expected to change on a monthly basis and a 1.60% decline on an annual basis.
Miami proved to be the city with the steepest price rise of 7.7%, followed by Tampa and Charlotte, where housing prices rose by 4.8% and 4.7% respectively. In contrast, Seattle experienced a price decline of 12.4%, followed by San Francisco with an 11.2% drop.
The post Home Prices Rise for Second Straight Month appeared first on theprimarymarket.com.
]]>The post Housing Market Affordability Expected to Remain Low, Experts Warn appeared first on theprimarymarket.com.
]]>Bankrate mortgage analyst Jeff Ostrowski claimed that while mortgage rates and home prices may be able to drop in price marginally in the coming months, no significant drop can be expected over the next two years. This is because the Federal Reserve is expected to keep interest rates high, thereby putting upward pressure on mortgage rates. Ostrowski forecast mortgage rates to float between 5% and 6% over the next year.
Redfin deputy chief economist Taylor Marr agreed with this sentiment, predicting that mortgage rates would ease to approximately 6% by the end of the year. “It feels like prices aren’t really changing much and interest rates aren’t changing much,” Marr admitted. “We’ve been describing it sort of like a game of musical chairs, where most participants are just in their seats, and once people start to get up out of their seats, that’s where there will be affordable housing opportunities.”
The post Housing Market Affordability Expected to Remain Low, Experts Warn appeared first on theprimarymarket.com.
]]>The post Economists Expect U.S. Home Prices to Decrease By 10% This Year appeared first on theprimarymarket.com.
]]>Since hitting their post-pandemic high in the second quarter of 2022, housing prices have been constantly coming down. According to data from Redfin, the median U.S. home price in March was $400,706; a 3.3% decline on an annual basis. This is also an 8% decline from peak pricing in May 2022.
Abbey Omodunbi, PNC Bank Senior Economist, stated that a decline in demand and excess supply are expected to drive down prices this year.
“Financial conditions will likely tighten in 2023,” Omodunbi observed. “We do expect the Fed to raise the Fed funds rate by a quarter of a percentage point going into the meeting in two weeks. And also after the bank failures in March, many banks are likely to be more cautious. So we might see some tighter lending standards.”
The post Economists Expect U.S. Home Prices to Decrease By 10% This Year appeared first on theprimarymarket.com.
]]>The post Domestic U.S. Home Sales Decline in March appeared first on theprimarymarket.com.
]]>Existing home sales fell to 4.44 million, a decline of 2.4% compared to February and a 22% fall from March last year. According to FactSet, economists were expecting 4.5 million home sales for the month.
The number of homes readily available for purchase on the market rose by 1% from February to 980,000 properties. This marks a 5.4% increase from March of 2022. The national median home price for March 2023 was $375,000; a decline of 0.9% from March 2022.
Although the median home price was on the decline, mortgage rates continued to rise in March. By the second week of March, the 30-year mortgage hit 6.73%
The post Domestic U.S. Home Sales Decline in March appeared first on theprimarymarket.com.
]]>The post New Home Prices In China Hit 9-Year High appeared first on theprimarymarket.com.
]]>Data from the China Index Academy showed that prices rose by 0.02% in March after February’s flat reading. The firm added that 41 Chinese cities reported housing price increases, compared to just 26 in February.
“Growth in Chinese contracted property sales value turned positive in January-February 2023 on the back of an increase in average selling price, but a sustainable recovery of the property sector remains uncertain,” Moody’s said in a research note addressing the recent uptick in prices.
Extensive COVID lockdowns as a result of the government’s zero-COVID policy meant that many developers were unable to finish construction projects. While sales have rebounded since the zero-COVID policy was dialed back in December, consumer confidence has not yet been restored to its highest levels.
The post New Home Prices In China Hit 9-Year High appeared first on theprimarymarket.com.
]]>