New York Archives

Will Low Inventory Affect Your Home Search?

If youâ€™ve followed the housing market at all this year, youâ€™ve likely heard something about inventory. Inventory refers to the number of homes available for sale. This year, itâ€™s been lower than usual. And, when for-sale inventory is low and buyer demand is high â€“ as itâ€™s been this year â€“ prices rise and sellers hold most of the negotiating power. In many markets, that has been the story this year. However, according to a new analysis from Trulia, whether or not low inventory will affect a buyerâ€™s home search depends on where that buyer is looking and what kind of home theyâ€™re looking to buy. For example, starter homes had the largest drop in inventory last year, falling 10.7 percent. On the opposite end of the spectrum, the number of high-end homes for sale only fell 3.7 percent. Naturally, that means a first-time buyer looking for an affordable home may have fewer homes to choose from than a luxury home buyer. However, it also depends on where you live. According to Truliaâ€™s analysis, markets in the Southwest and Southeast have generally been adding enough homes for sale to keep up with buyer demand. In fact, Truliaâ€™s research shows double-digit increases in the number of homes for sale in some markets, especially in states like Florida and California. That could be an indication that weâ€™ll see inventory begin to improve in more markets next year. MoreÂ here.

Mortgage Lenders Say Easier Credit Ahead

Mortgage lenders surveyed by Fannie Mae in November say credit standards across all loan types eased during the previous three months and should continue to over the next quarter. The fourth quarter 2016 Mortgage Lender Sentiment Survey found lenders concerned about recent mortgage rate increases but generally optimistic about the availability of mortgage credit. Looser credit is good news for prospective home buyers who may be concerned that they wonâ€™t be able to qualify for a mortgage, as it generally means lending requirements become more lenient. But despite credit standards loosening, Doug Duncan, Fannie Maeâ€™s senior vice president and chief economist, says the recent spike in mortgage rates presents a challenge after years of interest rates hovering just above record lows. â€œRates could slowly unwind in coming quarters, reversing some of the expected decline in volume,â€ Duncan said. â€œHowever, the potential normalization of interest rates after a sustained period of strong refinancing volumes presents the biggest business challenge facing mortgage lenders in some time.â€ In other words, thereâ€™s no telling if rates will stay up but, if they do, it could affect the number of Americans entering the mortgage market in the coming months. MoreÂ here.

Top Tips For Selling Your House Quickly

Selling a house can be an emotional experience. On the one hand, youâ€™re moving and eager to get started on a new and exciting chapter of your life. On the other, youâ€™re leaving a place where youâ€™ve made memories and developed attachments. So the last thing you want, once youâ€™ve put your home on the market, is to find it isnâ€™t popular with buyers. But how can you make sure your house attracts qualified buyers who are ready to make an offer? Among the tips experts often offer home sellers, pricing it right always tops the list. Prospective home buyers are, first and foremost, looking for something that fits their budget. After all, itâ€™s going to be easier for a buyer to bend on whether or not their new home has granite countertops in the kitchen than it will be for them to stretch their budget an extra $50,000. If youâ€™re in no rush, price your home high and see what happens. However, if you want to move more quickly, price it to sell. Other less obvious tips include making sure youâ€™ve got great photographs. These days, buyers are bound to browse available homes online. Make sure, when they find yours, it looks as good as it can. Donâ€™t underestimate the power of great images. You can also put your best foot forward with a fresh coat of paint, a serious decluttering, and the removal of pet paraphernalia. MoreÂ here.

Mortgage Rates Continue Climb Upward

Though they didn’t move much, average mortgage rates were up again last week, according to the Mortgage Bankers Association’s Weekly Applications Survey. The survey found rates increased from one week earlier for loans backed by the Federal Housing Administration and 30-year fixed-rate mortgages with both jumbo and conforming balances. Mortgage rates were down slightly for 15-year fixed-rate loans. Increasing rates continue to have a negative effect on refinance demand – which is generally more sensitive cialis generique to rate fluctuation. In fact, the refinance index fell 4 percent from the week before, while demand for loans to buy homes dropped 3 percent. At this time last year, refinance demand was 12 percent higher than it is now. Purchase applications, on the other hand, are still outperforming last year’s numbers, rising 2 percent higher than they were during the same week last year. The number of Americans requesting applications to buy homes may be falling because of higher mortgage rates, though it’s also likely due to a lower-than-normal number of homes available for sale and prices that have returned to their pre-crash peaks in many markets. The MBA’s weekly survey has been conducted since 1990 and covers 75 percent of all retail residential cialis generique mortgage applications. More here.

Sales Of New Homes Surge In July

New numbers released by the U.S. Census Bureau and the Department of Housing and Urban Development show sales of new single-family houses up 12.4 percent in July from the month before. The improvement puts new home sales at a nine-year high. Rebounding strength in the housing market has analysts optimistic about the future. Millan Mulraine, deputy chief economist at TD Securities in New York, told Reuters that the residential real estate market is now one of the economyâ€™s strongest sectors. â€œA very rosy picture is beginning to emerge on the housing market, pointing to sustained buoyancy in the sectorâ€™s recovery, which remains one of the few bright spots for the U.S. economy,â€ Mulraine said. But though sales have been strong, the number of homes being built still lags behind other housing measures, which tempers some of the optimism surrounding this yearâ€™s solid sales performance. Still, Julyâ€™s gain pushed new home sales 31.3 percent higher than they were at the same time last year and beat economistsâ€™ expectations by nearly 75,000. Economists surveyed prior to the release forecast sales to fall in July. Also in the report, the median sales price of new houses sold in July was $294,600; the average sales price was $355,800. MoreÂ here.

Down Payment Savings By The Day

Coming up with a down payment can be a struggle, especially for first-time buyers. That’s because – unlike repeat buyers who can use the sale of their current house to help fund their new home – first timers have to come up with the money the old fashioned way. That means, saving it – which can sometimes be an obstacle for younger buyers. A new report from realtor.com takes a look at just how much you’d need to set aside each day in order to save up the average down payment in each of the country’s 15 largest metro areas. To calculate this, they took the median listing price and average down payment in each area, then figured out how much you’d need to save each day over 5 and 10 year periods. For example, to save the average down payment on a median-priced home in the New York metro area, you’d have to save $19.49 every day for 10 years. On the other hand, saving the same amount each day would be enough to come up with a down payment in Phoenix in just 5 years. But what if you don’t have $20 to put away each and every day? Well the article recommends things like putting aside tax refunds and work bonuses, picking up a weekend job, or cutting back on spending. More here.

Are First-Time Home Buyers Ready To Buy?

Results from a recent survey conducted by Genworth Mortgage Insurance at the 2016 Mortgage Bankers Association Secondary Conference in New York found that the vast majority of mortgage professionals are expecting the number of first-time home buyers to grow in the near future. In fact, nearly 80 percent said the share of first timers active in the market will either continue at current levels or increase by at least three percentage points. That would be an encouraging sign for the housing market, as the percentage of first-time buyers has lagged in recent years. However, with affordability conditions still favorable in many markets and an increasing number of millennials reaching average home-buying age, industry insiders expect to see climbing demand among younger Americans. Rohit Gupta, Genworthâ€™s president and CEO, said the mortgage industry has to be prepared to support these buyers. â€œTo support this demand, we must stay true to the great strides we have made in improving underwriting quality, making private capital available, and expanding the availability of prudent and affordable low down payment mortgages,â€ Gupta said. â€œUnder these circumstances, it is important that all industry participants continue to work to ensure we have an accessible, efficient, and innovative environment for new mortgage originations.â€ MoreÂ here.