housing analysis: FOMC Noted Retail Sales In March Reached Highest Lvl Since September Of 12' - 05/01/14 09:34 AM
The FOMC of the Federal Reserve released its customary statement after its meeting concluded April 30.
FOMC members said that the economy is improving after a winter lull caused by poor weather. The national unemployment rate remains high, although some improvement in labor markets was reported. Fiscal policy is restraining economic growth, although FOMC said that the restraint is diminishing.
FOMC Monitors Inflation, Further Reduces Asset Purchases:
The FOMC statement reflected members' concerns about the inflation rate remaining below its goal of two percent, and said that this could eventually impact economic recovery. The Fed expects inflation to approach its goal … (0 comments)

housing analysis: Warmer Weather Brings In The Buyers, Is There Inventory? - 04/30/14 05:05 AM
After three consecutive months of decline, the S&P Case-Shiller 20-City Composite Index remained nearly unchanged in February. Year-over-year home prices rose by 12.90 percent in February as compared to 13.20 percent in January.
20 Percent Below Their 2006 Pre-recession Peak:
Analysts note that in spite of recent slowdowns in home prices, the year-over-year rates of home price growth remain close to peak price growth attained in 2006. National home prices remain approximately 20 percent below their 2006 pre-recession peak.
13 cities posted lower rates of price gains in February. The Case-Shiller 10 and 20 city indices showed year-over-year price gains of … (0 comments)

housing analysis: Existing Home Sales Show Improvement In The Northeast And Midwest Region - 04/25/14 07:42 AM
March sales of existing homes exceeded expectations at a seasonally adjusted annual rate of 4.59 million sales according to the NAR. Analysts projected that existing home sales would reach 4.55 million based on February's reading of 4.50 million sales.
The pace of existing home sales declined by 0.20 percent as compared to February's reading.
Headwinds Cause Slower Pace Of Home Sales:
Analysts cited poor winter weather and rapidly rising home prices as factors that kept buyers away, although the Northeast and Midwest regions reported improvements in home sales in March. NAR said that the national average home price increased to $198,500, … (0 comments)

housing analysis: Just How Sustainable Is The Micro Housing Trend? - 04/17/14 05:33 AM
Something that the Europeans have been doing for decades has finally made its way over the Atlantic Ocean to North America: the trend is called micro housing, and it's turned into an entirely new way of living.
With micro housing, we're beginning to do away with oversize condos and even detached homes, learning to live in a more minimalistic manner and curbing our hoarding habits for good.
The affordability of micro housing is making it possible even for young adults and students to purchase their homes in the city centers across North America. But one must ask, is the micro housing … (1 comments)

housing analysis: Four Places To Look For Tax Deductions In Your Home - 04/15/14 09:55 AM
Paying your income taxes each year leave your wallet a bit thin? There may be money hiding in your home that lessens your tax burden. Here are four places to look:
1. Home-Office Deduction:
If you work from home, you could qualify for a home-office deduction. Taking the deduction can be a bit complicated; so many people who qualify don't claim the exemption. An estimated 26 million Americans have home offices, but only 3.4 million claim them on their tax return.
Perhaps that's why the Internal Revenue Service attempted to simplify the process in 2013.
The write-off takes into account depreciation, … (0 comments)

housing analysis: S & P Case-Shiller Shows Home Prices Down For Third Consecutive Month. - 03/28/14 03:44 AM
Harsh winter weather conditions contributed to home prices falling in January. The S&P Case-Shiller 20-City composite index reported that home prices dropped by 0.10 percent in January, but after seasonal adjustments, home prices increased by 0.80 percent in January as compared to December. 12 of 20 cities posted declines in home prices in January.
There's no cause for alarm, as year-over-year home prices increased by 13.20 percent as compared to year-over –year readings of 13.40 percent in December and 13.70 percent in November. David Blitzer, chair of the S&P Dow Jones index committee, said "The housing market is showing signs of … (0 comments)

housing analysis: NAHB Housing Market Index Ticks Upward. - 03/20/14 07:19 AM
Spring is here, and the National Association of Home Builders Housing Market Index (NAHB HMI) thawed slightly in March.
The current reading of 47 is one point higher than for February, but still indicates pessimism among a majority of builders surveyed. Analysts expected a March reading of 50.
The gauge of builder confidence stayed near its lowest level since May.
March's NAHB HMI reading remained below the benchmark reading of 50, which indicates that an equal number of builders are positive about housing market conditions as those who are negative.
A reading over 50 indicates that more builders are positive than … (0 comments)

housing analysis: Highest Year-Over-Year Increase In Home Prices Since 2005. - 03/12/14 06:02 AM
Two major indicators of home price trends showed a slowing momentum for home prices in December. The S&P Case Shiller 10 and 20 city indices reported that of 20 cities tracked, home prices were lower in December than for November.
Case-Shiller’s seasonally adjusted month-to month reading showed that home prices rose by 0.8 percent as compared to 0.90 percent in November.
David Blitzer, chairman of the index committee at S&P Dow Jones Indices, said that “Gains are slowing from month-to-month and the strongest part of home price recovery may be over.” He also noted that seasonally adjusted data was showing a … (0 comments)

housing analysis: Case Shiller Price Index Shows That It's A Buyers Market. - 03/12/14 05:01 AM
Two major indicators of home price trends showed a slowing momentum for home prices in December. The S&P Case Shiller 10 and 20 city indices reported that of 20 cities tracked, home prices were lower in December than for November.
Case-Shiller's seasonally adjusted month-to month reading showed that home prices rose by 0.8 percent as compared to 0.90 percent in November.
David Blitzer, chairman of the index committee at S&P Dow Jones Indices, said that "Gains are slowing from month-to-month and the strongest part of home price recovery may be over." He also noted that seasonally adjusted data was showing a … (0 comments)

housing analysis: Existing Home Sales Lowest Since 2012! - 03/12/14 04:33 AM
Sales of existing homes fell by 5.10 percent in January according to the National Association of REALTORS.
Pre-owned home sales slowed to a seasonally-adjusted annual rate of 4.62 million homes against an expected reading of 4.65 million and December's reading of 4.87 million existing homes sold.
Rising home prices are reducing the number of affordable homes and a shrinking inventory of available homes were said to be underlying causes to January's slump in existing home sales.
Severe winter weather also contributed to lower sales.
January's reading was the lowest for existing home sales since July of 2012. The national inventory of … (0 comments)

housing analysis: Case-Shiller Price Index Shows Highest Year-Over-Year Gains Since 2006 - 01/15/14 05:39 AM
The Case-Shiller 10 and 20-City Home Price Indices for October were released on December 31. Although home prices in most cities continued to show year-over-year gains, the pace of home price appreciation is expected to slow in 2014.
Year-over-year increases have been in double digit territory since March 2013, but month-to-month readings suggest that the rate of increasing home prices is slowing.
According to David Blitzer, Chairman of the Index Committee at S&P Dow Jones Indices, "...the monthly numbers show that we are living on borrowed time and the boom is fading."
The 10 and 20 city indices are showing that … (0 comments)

housing analysis: New Home Sales Show Healthy Year-Over-Year Increase - 01/13/14 10:10 AM
The holiday season and winter weather slowed home sales in November. Last week, the NAR reported that sales of existing homes had slumped to their lowest level in nearly a year, but this was not unexpected.  
Short supplies of available homes and rising mortgage rates have increased pent-up demand for homes have kept some buyers on the sidelines.
Improvement In The Labor Market:
4.90 existing homes were sold in November; this was lower than the 5.13 million existing homes sold in October, as well as lower than expectations of 5.00 million existing home sales in November.
Existing home sales for … (0 comments)

housing analysis: Housing Market Index Shows Builder Confidence Up 23 Percent Year-Over-Year - 01/10/14 08:16 AM
According to the National Association of Homebuilders/Wells Fargo Homebuilders Market Index for December, builder confidence recovered in with a reading of 58. This surpassed both expectations of 56 and last month's reading of 54.
Analysts noted that builder confidence has steadied after the government shutdown. December's reading was the highest in four months. Dave Crowe, NAHB chief economist, said that his organization was expecting a "gradual improvement in the housing recovery" in 2014.
Any reading above 50 indicates that more builders are confident about overall housing market conditions than not.
Builder Confidence - Highest Reading Since 2005:
Pent-up demand for housing … (0 comments)

housing analysis: The Low Down On The HUD-1 Settlement Statement - 12/11/13 08:12 AM
When preparing for a closing on your refinance or home purchase, one of the documents you will be provided with a few days before closing is a HUD-1 Form. This form provides you with valuable information about your loan.
While at first, this three page document may seem intimidating, if you understand what you see in each section, it is not as confusing as you might think. Let's break down the various parts of the HUD-1 and talk about what they mean.
Loan Information:
On the first page of your HUD1, you will see your loan information at the top. This … (0 comments)

housing analysis: Case Shiller Price Index Shows A Spike In Home Prices In The West - 12/03/13 03:53 AM
According to the S&P Case-Shiller 10-and 20-City Housing Market Indices for September, home prices grew at an average of 13.30 percent year-over-year and achieved the highest growth rate for home prices since February 2006.
On a month-to month basis, home prices are slowing in most areas with 19 cities included in the S&P 20-City Housing Market Index showing lower rates of growth in home prices. September's average month-to-month growth rate was 1.0 percent for the 20-City HMI as compared to 0.90 percent in August, and 1.90 percent posted earlier in 2013.
Home prices increased by 0.70 percent in September for the … (0 comments)

housing analysis: Get The Low Down On Pending And Existing Home Sales This Month - 11/27/13 03:35 AM
The National Association of REALTORS reported Monday that pending home sales dropped by -0.60 percent in October after falling at a revised rate of -4.60 percent in September. According to Lawrence Yun, chief economist for NAR, 17 percent of real estate agents reported delays in loan closings due to the government shutdown in early October.
Lenders were unable to verify borrower income through the IRS, which was closed during the shutdown. October was the fifth consecutive month with fewer pending home sales reported.
Homeowners who owe more on their mortgages than their homes are waiting to sell, and recent spikes in … (0 comments)

housing analysis: Housing Market Index Shows Builder Confidence Remains Above 50 - 11/22/13 04:13 AM
The National Association of Home Builders released its Housing Market Index  for November on Monday. This month's HMI reading was 54 against expectations of a reading of 55. October's reading was also 54 after being downwardly revised.
Readings over 50 generally indicate that a majority of builders surveyed are confident in current housing market conditions, but the current pause came after two months of decline in home builder confidence. While the short term index readings are lower than in past months, the HMI is currently 20 percent higher than last year.
David Crowe, chief economist for NAHB said that "the fact … (0 comments)

housing analysis: What You Should Know About Pending Home Sales This Month - 10/29/13 08:23 AM
Pending home sales fell in September by -5.60 percent, and were 1.20 percent lower year-over-year. This is the first time in more than two years that pending home sales have fallen below year-earlier readings. September's reading was below August's reading of -1.60 percent.
The National Association of REALTORS®, which released the report, expects lower home sales for the fourth quarter of 2013 and flat sales into 2014. NAR provided good news in its forecast of 10 percent growth in existing home sales in 2013 as compared to 2012.
A spike in mortgage rates in August coupled with rapidly rising home prices … (1 comments)

housing analysis: Why Should One Consider Refinancing Their Mortgage Now? - 10/25/13 06:25 AM
Refinancing a mortgage is a golden opportunity to lock in today's low interest rate for the next 15 or 30 years. While interest rates now are still low, there's a good chance they will be heading up in the coming months.
The Fed won't maintain the current bond purchasing level forever, and just as rates spiked in September when the Fed hinted the bond purchasing would change, rates will spike even more when purchasing levels actually do change.
As interest rates remain very low for 30-year and 15-year mortgages, homeowners can benefit greatly from a refinance. Several types of people in … (1 comments)

housing analysis: The Government Shutdown And Its Effect On Existing Home Sales - 10/23/13 07:54 AM
Existing home sales for September fell by 1.90 percent from August's revised reading of 5.39 million sales to 5.29 million sales. Economists had expected 5.30 million sales for September, so a slow-down in existing home sales had been anticipated.
The National Association of REALTORS cited higher home prices and mortgage rates as factors contributing to fewer sales of previously owned homes.
Home Prices Easily Outpaced Income Growth:
According to Lawrence Yun, NAR's chief economist, home prices "easily outpaced income growth." Consequently, affordability has fallen to a five-year low. Mr. Yun also indicated that a government shutdown was expected to affect home sales in … (0 comments)