Banner
Menu

Tag: Bronx Property Management

Index Finds Homes Have Become More Affordable


ATTOM Data Solutions’ Q3 2017 U.S. Home Affordability Index looks at how affordable homes are based on the percentage of average wages needed to make a monthly payment on a median-priced house in 406 counties across the country. According to the results, affordability conditions improved, compared to the previous quarter, in 60 percent of all analyzed counties. That’s an encouraging trend for anyone thinking about buying a home this fall, as it means buyers can expect to find more favorable conditions than they did over the summer. Daren Blomquist, ATTOM’s senior vice president, said the improvement was brought on by decreasing interest rates. “Falling interest rates in the third quarter provided enough of a cushion to counteract rising home prices in most U.S. markets and provide at least some temporary relief for the home affordability crunch,†Blomquist said. “More sustainable relief for the affordability crunch, however, will need to be some combination of slowing home price appreciation and accelerating wage growth.†For example, since hitting bottom in 2012, home prices have risen 73 percent, while average weekly wages have only improved 13 percent over the same time period. More here.

Red 'Home For Sale' sign against a partly cloudy sky.

Mortgage Rates Moved Slightly Higher Last Week


According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates increased last week across most loan categories, including 30-year fixed-rate loans with conforming loan balances of $424,100 or less. Though the rate increases were small compared to the week before, they keep rates higher than they were last year at this time. Joel Kan, an MBA economist, told CNBC that mortgage rates rose based on recent economic news. “Rates moved higher over the course of last week, at least partially due to signs of stronger economic growth,†Kan said. “Four of the five mortgage rates that we track increased.†Still, despite the fact that rates are higher than one year ago, they remain well below historical averages and offer favorable terms to potential home buyers. Because of this, demand for home purchase loans is still five percent higher than last year at the same time, although refinance activity – which is more sensitive to rate fluctuations – has fallen year-over-year. The MBA’s weekly survey covers 75 percent of all retail residential mortgage applications. More here.

A winding road sign on a suburban street in autumn.

Green Home Construction Increasingly Common


Green-home features are becoming more popular among home buyers and it’s led to an increasing number of builders who say they’re incorporating green features into the homes they build. For example, the National Association of Home Builders’ Green Multifamily and Single Family Homes 2017 SmartMarket Brief surveyed builders to find out how many were using green-building techniques. According to their findings, one third of builders said green building makes up more than 60 percent of their portfolio. And the expectation is that the number should continue to rise in coming years. Granger MacDonald, NAHB’s chairman, says green homes are here to stay. “These findings show that green building has become an established part of the residential construction landscape,†MacDonald says. “It is no longer a niche business; our members recognize the value of building green and are incorporating these elements into their standard business practices.†The increased interest is being driven by consumers who value things like energy efficiency and are looking for homes that create a healthier environment. Because of this, as awareness of these features grows, so will demand. More here.

Partially constructed building with exposed wooden framework under clear sky.

What Americans Say Is The Ideal Down Payment


The results of a new survey show Americans prefer a 10 percent down payment when buying a house. The 2017 Mortgages In America Survey found it was the most popular option among young, middle aged, and older home buyers when asked to choose among down payments up to 30 percent. And it lines up pretty well with actual data. In fact, the average down payment in 2016 was 11 percent, with borrowers under the age of 35 putting down something closer to 8 percent. But, though Americans clearly prefer it, lower down payments come with tradeoffs. For one, if you put less money down upfront, you may have to pay private mortgage insurance, which can add to your monthly mortgage payment. Which means, though home buyers have options and won’t necessarily have to put 20 percent down on the house they’re buying, it is always a good idea to save up as much as possible, so you have a substantial amount to invest in your home. It’ll make you a more attractive buyer to home sellers, in addition to helping keep your mortgage payment more affordable. More here.

Close-up of Benjamin Franklin on a US $100 bill.

Inventory Of New Homes Rises In August


The number of new homes available for sale at the end of August was 3.6 percent higher than the previous month, according to new data from the U.S. Census Bureau and the U.S. Department of Housing and Urban Development. The improvement brings inventory to its highest level since May 2009. That’s encouraging news for home buyers, as a lack of homes for sale has been the primary factor pushing prices higher in many markets. As more new homes are built, however, buyers will have more homes to choose from and the extra supply will help moderate price increases and balance out the market. Still, despite the good news, the latest residential sales report also shows the number of new homes sold last month down 3.4 percent. According to Robert Dietz, the National Association of Home Builders’ chief economist, the decline may’ve been due to the recent hurricanes – and they may continue to affect upcoming data. “We may see more volatility in the next few months as communities affected by the recent hurricanes experience construction delays and other economic disruptions,†Dietz said. More here.

Newly constructed house with green exterior and a three-car garage.

Severe Weather Slows Pending Home Sales


When a contract to buy a house is signed, the sale is considered pending until the mortgage process plays out and the deal is closed. Because there are usually a few weeks in between the time an offer is accepted and the sale is finalized, pending sales are a good indicator of where existing-home sales are headed in the coming months. That’s why the National Association of Realtors Pending Home Sales Index tracks contract signings – as a way of forecasting what’s ahead for the housing market. In August, the index showed a 2.6 percent decline from the month before. Lawrence Yun, NAR’s chief economist, says the recent hurricanes have something to do with the drop and it may ultimately mean home sales fall slightly below last year’s level. “The supply and affordability headwinds would have likely held sales growth just a tad above last year, but coupled with the temporary effects from Hurricanes Harvey and Irma, sales in 2017 now appear will fall slightly below last year,†Yun said. “The good news is that nearly all of the missed closings for the remainder of the year will likely show up in 2018, with existing sales forecast to rise 6.9 percent.†More here.

A 'Sale Pending' sign displayed on a property lawn.

Economic Optimism Drives Demand For Homes


A new survey from the National Association of Realtors shows Americans are optimistic about their economic situation and increasingly think now is a good time to buy or sell a home. The quarterly survey found a spike in both the number of current renters who think now is a good time to buy a house and homeowners who say it’s a good time to list their house. In fact, among current homeowners, the number who said it was a good time to sell hit a record high. Lawrence Yun, NAR’s chief economist, says the optimism is largely driven by economic conditions. “Jobs are plentiful, wage growth is finally showing signs of life, home values are up considerably in the past five years and the stock market is at record highs,†Yun said. “The economy is not perfect, and growth overall is still sluggish, but the financial health of the typical household looks as healthy as it has since the recession.†The survey’s results also show increasing positivity among Americans about their personal financial situation and their outlook for the next six months.

A bright red house with a large tree under a partly cloudy sky.

Mortgage Lenders Say Credit Is Easier To Get


Whether or not you qualify for a loan depends, in some part, to how available mortgage credit is at the time. If lending standards are tight, you may have a harder time obtaining a mortgage than you would during another time when standards are looser. For example, following the housing crash, qualifying for a loan became more difficult for borrowers whose financial situation didn’t meet new, stricter guidelines. However, those same borrowers, before the crash, may have had an easier time getting a loan due to looser standards. Because of this, Fannie Mae conducts a quarterly survey of senior mortgage executives to get an idea of whether or not credit is tightening or loosening. According to their most recent survey, the net share of lenders who reported easing credit standards over the prior three months reached a new survey high. Doug Duncan, Fannie Mae’s chief economist, says it’s the continuation of a trend that started late last year. “Lenders further eased home mortgage credit standards during the third quarter, continuing a trend that started in late 2016,†Duncan said. “Lenders’ comments suggest that competitive pressure and more favorable guidelines for GSE loans have helped to bring about more easing of underwriting standards for those loans.†This is good news for prospective home buyers, as it means you’ll have a better chance of qualifying for a loan to buy a house. More here.

Close-up of a U.S. quarter dollar coin among pennies.

What’s An Uneven Market Mean For Buyers?


Since the housing crash and financial crisis, a slow and steady recovery has taken place. Home prices, for example, have been rising now for a few years and, in some markets, have surpassed their previous peaks. But though there has been progress, there is an unevenness about the recovery. For example, the higher end of the housing market has rebounded much quicker than the lower end has. And, according to Zillow chief economist, Dr. Svenja Gudell, it’s led to some disparity between the two ends of the housing market. “Most new construction has been at the higher end of the market, so demand for the limited supply of entry-level homes is pushing up their values, but these homes also lost more value when the bubble burst,†Gudell says. “Many of these homeowners are still waiting to see their homes come back to where they were about 10 years ago.†So what does this all mean? It means limited supply will lead to more competition for the entry-level homes that are available. But, as demand pushes home prices higher, there may also be more current homeowners deciding to sell their starter homes in search of something bigger. As that happens, prices will level off and there will be more choices for buyers looking for an affordable, entry-level home. More here.

A green house under a clear blue sky with tall trees.

Buyer Demand High As Summer Winds Down


There is no shortage of Americans who want to buy homes. In fact, buyer demand has been high all year. But despite growing interest in homeownership, home sales have not had a breakthrough year. Why is that? Well, according to Lawrence Yun, the National Association of Realtors’ chief economist, it has to do with inventory. “Steady employment gains, slowly rising incomes, and lower mortgage rates generated sustained buyer interest all summer long, but unfortunately, not more home sales,†Yun said. “Sales have been unable to break out because there are simply not enough homes for sale.†In fact, the latest numbers show home sales in August were just 0.2 percent above where they were one year earlier. But what that means for hopeful home shoppers this fall depends on where you live. For example, sales were up 10.8 percent in the Northeast and 2.4 percent in the Midwest, which indicates that conditions may be more favorable for buyers in those regions than other locations. Buyers also should be prepared to move quickly, as the NAR’s most recent data shows more than half the homes sold in August were on the market for less than a month. More here.

A close-up of a 'For Sale' sign with a blurred background.

Thank you for your upload