Housing markets

Federal Reserve Governor Christopher Waller said longer-run structural issues will continue to put upward pressure on home prices and rents even as the central bank begins a campaign to raise borrowing costs.

Sales of new U.S. homes fell in February for a second month, suggesting high prices and rising mortgage rates may be keeping prospective buyers on the sidelines.

The company is currently listing houses at prices that are 17% higher than it acquired them for.

Shrinking inventory of homes for sale and higher demand motivated by rising mortgage rates spurred buyers into action, the company found.

Contract closings decreased 7.2% in February from the prior month to an annualized 6.02 million, figures from the National Association of Realtors showed Friday.

The builder reported better-than-expected quarterly orders as the record shortage of existing-home listings pushed buyers toward newly built properties.

All indicators show that the renting market is heating up, as would-be buyers of houses increasingly turn to rentals because they can’t find — and can’t afford — their dream houses.

Value can be found despite concurrent double-digit increases in both home values and rent rates in some of these cities.

CoreLogic reported a 19.1% rise in annual appreciation but also noted that several of today’s hot markets are overvalued or at risk of declines.

Mortgage companies can open doors to homeownership for more minorities by incorporating low-down-payment financing options; closing cost credits; down-payment assistance; diverse, in-market sales teams ready to provide access and support; and more, writes the chair of the Mortgage Bankers Association.

Sales of new U.S. homes retreated in January after a flurry of purchases at the end of 2021, indicating a jump in mortgage rates may be starting to restrain demand.

Before the pandemic, the sprawling architecture and physical distance from neighbors, bars and restaurants seemed out of step with city-obsessed millennials. That’s changed.

Rising interest rates are likely to further slow the rate of appreciation, the Federal Housing Finance Agency said in its quarterly Home Price Index report.

The monthly mortgage payment for homes in the median asking price range hit a new high, up 31% from before the pandemic, according to Redfin.

Sales of previously owned homes unexpectedly increased to a one-year high as buyers rushed in ahead of a surge in mortgage rates, further depleting tight inventories to a record low.

New U.S. home construction fell in January for the first time in four months, indicating pandemic-related labor absences and winter weather tempered recent progress on building activity.

The buyers spent an average of $433K per house and paid cash in three of every four purchases, Redfin reported.

Remote workers and young families fleeing coastal cities for the Sun Belt during the pandemic spurred double-digit increases in housing costs and squeezed supply.

These cities offer lucrative tech job markets, affordable listings and rising real estate equity.