Home buyers have heard it all before: There aren't enough homes on the market, prices are rising rapidly, and builders aren't putting up enough new abodes. Sorry, buyers. It's not likely to get better in 2018.
Builders are expected to put up more new construction in the year ahead—but the rate of building is likely to slow, according to several housing economists who spoke on Tuesday at the International Builders Show. The show is hosted by the National Association of Home Builders in Orlando, FL....
Phoenix Film Festival
The Phoenix Film Festival will screen more than 175 feature films and shorts. Attendees will be a part of screenings; Q&A sessions with producers, director and talent; enjoy world-class entertainment; an impressive silent auction and more....
Historically, the choice between renting or buying a home has been a tough decision
Looking at the percentage of income needed to rent a median-priced home today (28.9%) vs. the percentage needed to buy a median-priced home (15.7%), the choice becomes obvious.
Every market is different. Before you renew your lease again, find out if you can put your housing costs to work by buying this year!...
On track for strongest year since housing crisis
Housing starts increased in January, starting 2018 off at a strong pace; however, it is unclear if that pace will continue.
Privately owned housing starts came in at a seasonally adjusted annual rate of 1.33 million in January, according to the latest release from the U.S. Census Bureau. This is up 9.7% from the revised December estimate of 1.21 million, and up 7.3% from last year’s 1.24 million....
The price of any item is determined by the supply of that item, as well as market demand. The National Association of REALTORS (NAR) surveys “over 50,000 real estate practitioners about their expectations for home sales, prices and market conditions” for their monthly REALTORS Confidence Index....
Recently, Freddie Mac published an Insight Report titled Nowhere to go but up? How increasing mortgage rates could affect housing. The report focused on the impact the projected rise in mortgage rates might have on the housing market this year....
CoreLogic’s latest Equity Report revealed that 675,000 US homeowners regained positive equity in their homes in 2017. This is great news for the country, as 95.1% of all mortgaged properties are now in a positive equity situation.
“U.S homeowners with mortgages (roughly 63% of all the properties) have seen their equity increase by a total of $908.4 billion since the fourth quarter 2016, an increase of 12.2%, year over year.”
Price Appreciation = Good News for Homeowners
Frank Nothaft, CoreLogic’s Chief Economist, explains:
“Home-price growth has been the primary driver of home-equity wealth creation. The CoreLogic Home Price Index grew 6.2 percent during 2017. The largest calendar-year increase since 2013. Likewise, the average growth in home equity was more than $15,000 during 2017, the most in four years.”
He also believes this is a great sign for the market in 2018, saying:
“Because wealth gains spur additional consumer purchases, the rise in home-equity wealth during 2017 should add more than $50 billion to U.S. consumption spending over the next two to three years.”
This is great news for homeowners! But, do they realize that their equity position has changed?
A study by Fannie Mae suggests that many homeowners are not aware that they have regained equity in their homes as their investment has increased in value. For example, their study showed that 23% of Americans still believe their home is in a negative equity position when, in actuality, CoreLogic’s report shows that only 4.9% of homes are in that position (down from 6.3% in Q4 2016).
The study also revealed that only 37% of Americans believe that they have “significant equity” (greater than 20%) when in actuality, 83% do!