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Tag: New York City Real Estate

City Life May Be Healthier Than In The Suburbs


Some people are drawn to urban locations and all of the perks of city life. Others, value the extra space and privacy that the suburbs provide. Whichever side of the debate you’re on, you may not have considered the benefits of one over the other from a health perspective. Fortunately, researchers from Oxford University and the University of Hong Kong have. Their findings may surprise you. That’s because, after looking at health outcomes of people who lived in cities compared to those who live in less densely populated areas, the research found city dwellers were healthier than their suburban counterparts. The reason is simple. People who live in the suburbs are more likely to need a car to get from place to place, while in urban areas residents tend to be able to walk to their destination. Chinmoy Sarkar, a co-author of the study, thinks there’s a way to have the best of both worlds. He told the Thomson Reuters Foundation that, with the help of policy makers, “we can plan multifunctional, attractive neighborhoods that promote physical activity, promote social interaction, and shield from negatives such as pollution and feeling unsafe.†More here.

Sunlit brick building with fire escapes under a clear blue sky.

List Ranks Top Cities For Trick-Or-Treating


If you have kids – or have ever been one yourself – you know that Halloween is an important time of year. The opportunity to amass large quantities of free candy is irresistible to most kids. Combine that with the chance to dress up in costume and parade through the streets and Halloween becomes one of the year’s most anticipated days. Because of this, Zillow ranks the best cities for trick-or-treating each year. Their rankings are based on home values, the share of population under 10 years old, and single-family home density. This year, five of the top 10 cities are in California, with San Francisco topping the list. Of course, much of that has to do with higher home values in the West, but kids in Los Angeles, Sacramento, San Jose, and Long Beach can look forward to a happy Halloween this year. Other cities that made the top 10 included Philadelphia, Baltimore, Washington D.C., Milwaukee, and Seattle. But regardless of where you are, Dr. Svenja Gudell, Zillow’s chief economist, says there’s a surefire way to tell the best local neighborhoods for trick-or-treating. “These are places we think will have plenty of candy and lots of young kids running around from door to door,†Gudell says. “If you don’t live in one of these cities, look for areas that are getting into the Halloween spirit with decorations and lots of costumed kids.†More here.

Close-up of a bright orange pumpkin with a dark stem.

Mortgage Rates Rise To Three Month High


Average mortgage rates moved higher last week, according to new data from the Mortgage Bankers Association. Their Weekly Applications Survey found rates up across all loan categories, including 30-year fixed-rate loans with both conforming and jumbo balances, loans backed by the Federal Housing Administration, and 15-year fixed-rate loans. Mortgage rates are now at their highest point since July. Joel Kan, an MBA economist, told CNBC the increase was due to positive economic news. “Data released last week, on balance suggested continued strong economic growth,†Kan said. “In combination with hawkish comments from some Fed officials, this pushed rates up. The 30-year fixed rate increased 4 basis points to reach its highest level since July.†But though rates did move upward, it’s important to remember that they’re still well below what’s been considered normal historically. Which is likely why last week’s rate increase didn’t cause a big drop in demand for mortgage applications among potential home buyers. In fact, demand was virtually unchanged from the previous week. The MBA’s weekly survey has been conducted since 1990 and covers 75 percent of all retail residential mortgage applications. More here.

Scrabble tiles spelling 'MORTGAGE' on wooden surface.

Potential Home Buyers Feel More Optimistic


Each month, Fannie Mae surveys Americans to get a feel for how people view the housing market, home prices, mortgage rates, and whether or not it’s a good time to buy or sell a home. According to the most recent results of their Home Purchase Sentiment Index, the end of summer coincided with a boost in optimism among potential home buyers, especially current renters. In fact, the increase in respondents who said they felt now was a good time to buy a house helped push the overall index to an all-time high. Doug Duncan, Fannie Mae’s chief economist, says the rise in optimism mirrors the decline in participants who feel home prices will continue to climb. “Details in the survey showed a meaningful pickup in the good time to buy component, especially from renter respondents,†Duncan said. “Additionally, perceptions of easing inventory helped boost the net share saying that now is a good time to buy, which is consistent with less bullish home price appreciation sentiment during the month.†In short, Americans feel like home price increases are beginning to slow, which makes this fall a good time to buy a home. More here.

A wristwatch on a wooden surface with the text 'Is It Time To Buy?'.

Vast Majority Of Renters Say They Want To Buy


Recent data from Fannie Mae shows a large majority of current renters intend to one day buy a house. In fact, just 18 percent of surveyed renters said they plan to remain renters forever. So what are some of the obstacles renters face when thinking about whether or not they should begin taking steps toward homeownership? Well, the upfront costs of buying a home were the top answer, with 45 percent of respondents citing coming up with money for a down payment and closing costs as the obstacle that keeps them from buying. However, an almost equal amount said they were most concerned about their credit. Other answers included insufficient income, too much debt, confusion about the buying process, and job security. In short, current renters want to buy but are worried they aren’t financially secure enough to become homeowners. And, though that is a legitimate concern, Fannie Mae also points out that their pervious research has shown many potential home buyers overestimate the size of the down payment they’ll need and are unaware of many of the programs available to help first-time home buyers reach their goal of becoming homeowners. More here.

Palm tree and houses under a clear blue sky at sunset.

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.

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.

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