Appraisal Buzz

NOVEMBER 6, 2024

Key Findings: Although average mortgage rates are much higher, 45% of buyers who have purchased a home in the past year report having a rate below 5%. The most common way buyers have secured below-market rates is through special financing offers from sellers or home builders.

Buyers 370

Buyers Marketing Sellers Loan Officers 370

Housing Wire

SEPTEMBER 5, 2024

That’s according to a new survey from Mphasis Digital Risk, which revealed that 42% of prospective buyers said a 5% rate would get them back in the market. We’re getting closer to homebuyers’ comfort zone of low-6%, high-5% rates, and September’s anticipated Fed cuts should help buyer sentiment. from this peak.

Buyers 470

Buyers Marketing Mortgage Real Estate Agent 470

Housing Wire

AUGUST 14, 2024

If homes are priced appropriately and marketed well, buyers will make offers. The buyer] got a deal,” Weinstein said of the $600,000 purchase price. This has taken power away from sellers, who now face a shortage of potential buyers. The buyers who are in the market are shopping for the usual reasons.

Buyers 410

Buyers Housing Market Marketing Sellers 410

Housing Wire

FEBRUARY 13, 2024

Lower rates are likely to make homeownership accessible to more buyers and it should prompt some potential sellers who are locked in at a rate of 3% or less to list. In Birmingham, ERA King Real Estate agent Anna-Maria Ellison said that even without lower mortgage rates, she is seeing buyers return to the market. “It

Construction 384

Construction Supply Chain Inventory Agents 384

Housing Wire

FEBRUARY 23, 2024

In December 2023, a startling rumor started to spread on social media — that large institutional buyers had purchased 44% of the available homes on the market in 2023, leaving policymakers concerned with the potentially predatory grip of these entities. HousingWire lead analyst Logan Mohtashami immediately debunked the claim.

Buyers 397

Buyers Investors Real Estate Insurance 397

Housing Wire

NOVEMBER 29, 2023

Cutting prices is one of several mechanisms homebuilders have employed to keep buyers interested since rates began skyrocketing. Home construction New home construction ramped up early in the pandemic but moderated as interest rates ticked up and mortgage rates followed.

Construction 398

Construction Finance Inventory Development 398

Housing Wire

JANUARY 23, 2024

For what felt like a moment in time, buyers enjoyed the luxury of being incredibly picky, carefully selecting what felt like their dream homes in a market that had shifted towards more favorable conditions. The changing tides Previously, buyers were able to look for over a month, as average days on market continued to climb.

Real Estate Agent 437

Real Estate Agent Real Estate Buyers Agents 437

Housing Wire

AUGUST 15, 2023

With strong demand and limited options for existing homes, many homebuyers are turning to new construction. Mortgage applications for new construction home purchases increased 35.5% in July on a year-over-year basis, according to the Mortgage Bankers Association (MBA) Builder Application Survey (BAS) data.

Construction 368

Construction Mortgage Inventory Buyers 368

Appraisal Buzz

JUNE 14, 2024

Buyers today are facing many of the realities of a hot market even though few homes are changing hands,” said Elijah de la Campa, Senior Economist at Redfin. And with so few homes for sale, buyers in some markets are getting into bidding wars, which is helping push home prices to record highs.”

Sellers 435

Sellers Buyers New Listings Mortgage 435

Housing Wire

DECEMBER 23, 2024

When mortgage rates decline, sales improve, but it becomes more challenging for builders and buyers when rates rise. This situation poses a risk to construction labor in 2025. Is 2025 the first year we start losing residential construction jobs? I wrote about why this presents a housing recession risk for the Federal Reserve.

Construction 514

Construction Inventory Mortgage Development 514

Housing Wire

MARCH 16, 2023

The pace of new construction had been picking up over the past two years. Completions have outpaced starts since July 2022 and that will likely continue to put downward pressure on the number of single-family homes under construction. Despite the month-over-month increase, housing starts were still down 18.4% year over year.

Buyers 441

Buyers Construction Finance Housing Market 441

Housing Wire

FEBRUARY 24, 2023

The backlog of new construction homes continues to emerge into the market just in time for the spring shopping season,” Nicole Bachaud, Zillow ’s senior economist, said in a statement. Many home builders are offering incentives to buyers, sweetening the deal just enough to bump sales from the month prior.” months in December.

Construction 459

Construction Contracts Buyers Development 459

Housing Wire

JUNE 6, 2023

Demand from the buyer side has remained steady or increased, however, and new home builders have responded to inventory shortages by increasing speculative inventory production, according to the Federal Reserve Beige Book, released Wednesday. The modest price growth in the Boston area marks a trend reversal from the preceding few months.

Real Estate 453

Real Estate Inventory Construction New Listings 453

Housing Wire

SEPTEMBER 25, 2024

Current home price data shows that affordability remains one of the biggest challenges for buyers today, particularly when coupled with persistently high interest rates. Given what is indicated in the National Association of REALTORS report on international transactions, it may not be the buyer you expect.

Investors 398

Investors Construction Real Estate Inventory 398

Housing Wire

APRIL 25, 2023

Buyers have begun to adjust to the elevated mortgage rate levels, especially in areas where home prices have adjusted downwards to compensate,” Kelly Mangold, the principal of RCLCO Real Estate Consulting , said in a statement. On a year-over -year basis, however, new home sales are still down 3.4%. This represents 7.6

Construction 429

Construction Inventory Buyers Real Estate 429

Housing Wire

FEBRUARY 29, 2024

This has the potential to add even more economic pressure for prospective buyers looking for homes in these parts of the country, the analysis stated. Fewer homes under construction and falling permits mean dwindling options for future buyers, adding more pressure to a market already strained by tight supply,” Point2 said.

Inventory 418

Inventory Supply Chain Construction Buyers 418

Housing Wire

MARCH 1, 2024

Both buyers and sellers are coming back to the market,” Fischer said. From a seller’s standpoint it may make a bit more sense to sell now, so we are creating some more inventory and buyer are taking advantage of lower rates and more stable home prices.” Very few new construction homes are going up in our area,” Diamond said.

Housing Market 430

Housing Market Marketing Inventory Construction 430

Housing Wire

JANUARY 3, 2025

These green building benefits associated with modular construction do not come with the dreaded green cost premium even though recent research shows that developers are willing to pay an average 10% more on construction costs if it allows their business to shift towards a more circular and sustainable business model.

Development 379

Development Real Estate Construction Investors 379

Housing Wire

NOVEMBER 19, 2024

According to the data, we know that builders have the potential to boost sales by offering lower rates to attract buyers. A lower Fed funds rate can assist with land purchases and apartment construction, but that process would take considerable time before we see any development. Builders, as we know, are not charitable organizations.

Construction 529

Construction Mortgage Development Buyers 529

Housing Wire

DECEMBER 19, 2023

New construction rose to a seasonally adjusted annual rate of 1,560,000, according to the U.S. Single-family building activity drove November residential construction activity. Single-family building activity drove November residential construction activity. But permits for future construction fell 2.5% from October.

Construction 419

Construction Mortgage Development Buyers 419

Appraisal Buzz

NOVEMBER 1, 2024

According to a new Redfin research, in Q3 of this year, an estimated 28% of single-family homes for sale nationwide were newly constructed, the lowest percentage in three years. Census reports that in September 2024, sales of newly constructed single-family houses increased 6.3% Overall construction has slowed. a year ago.

Construction 370

Construction Inventory Real Estate Agent Agents 370

Housing Wire

AUGUST 2, 2024

Job gains in July were most notable in industries like health care (55,000 jobs), transportation and warehousing (14,000 jobs), and construction (25,000 jobs), a positive for the housing industry. Overall, for the past year, the construction sector has added an average of 19,000 jobs per month.

Marketing 487

Marketing Mortgage Construction Transportation 487

Housing Wire

MARCH 8, 2023

This resulted in the gap between single family home construction and household formation growing to 6.5 Cooling buyer demand and builder confidence led to slower single-family construction and a shift in builder focus to multi-family last year,” Hannah Jones, Realtor.com’s economic data analyst, said in a statement.

Housing Market 456

Housing Market Marketing Inventory Construction 456

Housing Wire

MAY 16, 2023

The NAHB/HMI report is based on a monthly survey of NAHB members, in which homebuilders are asked to rate both current market conditions for the sale of new homes and expected conditions for the next six months, as well as traffic of prospective buyers of new homes. That share from 2000-2019 was a 12.7%

Construction 432

Construction Inventory Buyers Real Estate 432

Appraisal Buzz

JUNE 14, 2024

The key is to tailor the financial solutions to meet the needs of various borrowers, including first-time home buyers, those who are looking to move up, and buyers willing to purchase fixer-uppers. That is a significant increase from the 13% average between 2000-2019 in new construction.

Marketing 396

Marketing Renovations Construction Finance 396

Housing Wire

MAY 20, 2024

home construction at the onset of the pandemic. We have a fair amount of new-construction homes for sale, and thank goodness we do,” Nicole Dege, a Redfin Premier agent in Orlando, said in the report. Newly built homes have taken up an outsized portion of inventory since the pandemic for two main reasons, according to Redfin.

Construction 435

Construction Inventory Buyers Sellers 435

Housing Wire

SEPTEMBER 27, 2023

Fueling this increase is new construction, according to Divounguy, even though the 1.3% At the same time, builders also adapted to the needs of today’s home buyers who are navigating higher mortgage rates. After experiencing a temporary hiccup between July 2022 to January 2023, the U.S. Over the past year, the value of the U.S.

Housing Market 510

Housing Market Marketing Inventory Finance 510

Housing Wire

APRIL 9, 2024

Homebuilders are observing a rise in demand for homes that can accommodate natural aging from Gen X buyers. Gen X buyers are also more likely to have more financial means and control over their potential options, and are keeping access to necessary later-life services in mind when choosing where to live as they get older, the story explained.

Buyers 506

Buyers Construction Realtors Housing Market 506

Housing Wire

SEPTEMBER 26, 2023

“Homebuilders are still benefiting from very low inventory of existing homes for sale, which has driven more buyers to consider new construction,” Bright MLS Chief Economist Lisa Sturtevant said.

Inventory 489

Inventory Buyers Construction Sellers 489

Housing Wire

OCTOBER 26, 2022

The builders will pull back on construction when the supply is 6.5 When rates rose back in March, there was a considerable risk to the business model with many homes under construction. months of supply is still under construction 2.1 months of homes haven’t even started construction. When supply is 4.4

Construction 467

Construction Inventory Contracts Buyers 467

Housing Wire

AUGUST 16, 2022

Tuesday’s housing starts report clearly shows that homebuilders are going to be done with single-family construction until mortgage rates fall. If it wasn’t for solid rental demand boosting multifamily construction this year — 18% year to date —this data line would have looked much worse. months of supply but of that number, 6.22

Mortgage 533

Mortgage Construction Inventory Buyers 533

Housing Wire

SEPTEMBER 18, 2023

“The two-month decline in builder sentiment coincides with when mortgage rates jumped above 7% and significantly eroded buyer purchasing power,” said Alicia Huey, NAHB Chairman and a homebuilder from Birmingham, Alabama. With the lack of existing-home inventory, the new construction buyer mix also shifted.

Construction 463

Construction Buyers Housing Market Insurance 463

Appraisal Buzz

JUNE 25, 2024

approximately one-third (33.4%) of single-family houses listed for sale in the first quarter were recently constructed; this percentage is down from a record-high 34.5% The percentage of newly constructed homes in the market is still over twice that of pre-pandemic levels. In the U.S.,

Construction 396

Construction Inventory Buyers Sellers 396

Appraisal Buzz

NOVEMBER 25, 2024

“More inventory should shake loose in 2025, giving buyers a bit more room to breathe. A construction boom has eased pressure on rent prices, putting rent affordability on track to improve next year — that is, as long as wages continue to grow.” Many are also viewing renting as a longer-term lifestyle.

Housing Market 365

Housing Market Marketing Buyers Construction 365

Housing Wire

FEBRUARY 13, 2024

“Master-planned communities continue to attract buyers and outperform the overall new home market by offering a lifestyle, which elevates and links a collection of neighborhoods,” Ken Pearlman, managing principal at John Burns Research & Consulting, said in a statement.

Buyers 445

Buyers Design Construction Marketing 445

Appraisal Buzz

JANUARY 15, 2025

Homes like condos, townhouses and new construction single family homes in neighborhoods with ample amenities are more likely to have an HOA fee. of newly constructed homes listed on Realtor.com had a monthly homeowners association dues, compared to 37.1% In 2024, 69.9% of pre-existing properties. In 2024, only 33.6% of condos for sale.

HOA 370

HOA Construction Insurance Buyers 370

Housing Wire

JANUARY 19, 2023

High inflation has reduced consumers’ purchasing power, which has led to weakened sales and construction across all 12 Federal Reserve districts. Housing markets continued to weaken, with sales and construction declining across [all 12 Federal Reserve] districts,” according to the Federal Reserve Beige Book released on Wednesday.

Inventory 410

Inventory Housing Market Marketing Construction 410