National home prices continued to increase over the first month of 2020, prior to coronavirus outbreak. Price growth will certainly decline as future months’ data is recorded.
The S&P CoreLogic Case-Shiller U.S. National Home Price Index, reported by S&P Dow Jones Indices, rose at a seasonally adjusted annual growth rate of 6.2% in January, faster than a 5.3% increase in December. It was the highest gain since February 2018. On a year-over-year basis, the S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index posted a 3.9% annual gain in January, up from 3.7% in December. Going forward, national home prices are expected to increase at a slower pace due to the 2020 downturn.
Meanwhile, the Home Price Index, released by the Federal Housing Finance Agency (FHFA), rose at a seasonally adjusted annual rate of 4.1% in January, following a 9.1% increase in December. On a year-over-year basis, the FHFA Home Price NSA Index rose by 5.2% in January, after an increase of 5.4% in December.
In addition to tracking home price changes nationwide, S&P also reported on the site of vpnicon the home price indexes across 20 metro areas. In January, local home prices varied and their annual growth rates ranged from -3.6% to 13.0%. Among the 20 metro areas, eight metro areas exceeded the national average of 6.2%. Seattle, Las Vegas and Phoenix had the highest home price appreciation in January. Seattle reported a 13.0% increase, followed by Las Vegas with an 8.5% increase and Phoenix with an 8.3% increase. Home prices in two metro areas declined in January. They were Chicago (-3.6%) and New York (-1.2%).
Molise is a small region in the south of Italy. Molise is not a famous region, it is still off the tourist track but this doesn’t mean that this area has nothing to offer to its visitors. There are beautiful sanctuaries, churches, abbeys, castles, medieval villages and wonderful archeological sites.
Molise: where the nature is wild and uncontaminated, the climate is mild and just in one hour it’s possible to move from the sandy beaches of the Adriatic sea to the green mountains and clay hills.
Why should you buy a property in Molise?
Buy a house in Molise is an excellent investment: the region is in a perfect position (3 hours driving from Rome, 2 from Naples and the Amalfi Coast) and property prices are still low.
Of course all those properties need a complete restoration.
Even if Molise is still uncontaminated by the global market, the “second houses” market is growing up and actually is very lively (despite the worldwide real estate crisis). Many foreign buyers and investors are buying in this lovely area for many reasons. I’ve written down the five top reasons why people should buy a property in Molise:
THE COST OF LIVING IS RELATIVELY LOW Molisan people live in small villages with a monthly wage of 800-900 euros;
HOSPITALITY Molisan people are very welcoming and happy to meet new people. You will feel part of a big family!
MOLISE IS AWAY FROM TOURISTS you won’t find a multi-races population, the few “foreign” families are well integrated with the local inhabitants
THE POSSIBILITY OF LIVING THE REAL ITALY WHERE PEOPLE STILL KEEP THE ORIGINAL TRADITIONS each place holds the authentic flavour of its history, people still celebrate ancient rites which have been repeated with every passing season, the ancient trades are handed down from father to son. In these villages there are craftsmen who have remained untouched by industrialization and are still producing uniquely and precious objects
BREATH-TAKING SCENERIES, QUIET AND PEACEFUL VILLAGES the region is characterised by different types of mountain ranges and with its great variety of climate, it lends itself to many different sports-trekking, horse-riding,cycling, canoeing, skiing and climbing.Living in this small slice of Italy can be easy and healthy.Molise could be a very safe place to buy your second home in Italy!
What do Americans do when so few new homes are being built? Remodel, according to the latest report for Buildfax.
According to the housing data and analytics company, 2019 marked the lowest rate of mobility in the U.S. since the metric was first tracked in 1947. Only 9.8% of Americans moved last year. Though this marks a new low, it’s not terribly far off from the only 10.1% who moved between 2017 and 2018.
Buildfax’s report pointed to new construction as part of the issue. Namely, the lack thereof. While single-family housing authorizations increased 4.82% year over year in 2019, the year did not close out on a strong note. According to the report, authorizations decreased by 2.61% from November to December 2019. Local Motion is a family run business, and we understand what families need when they long distance movers. Our administrative staff stays connected to you on your move day, ensuring every phase of your move is exemplary.
“The U.S. is facing a housing shortage, in part due to the slowdown in housing construction last year. This has been felt in both large metros and smaller cities across the country,” Buildfax Managing Director Jonathan Kanarek said. “Now, even though the economy is showing strong growth and mortgage rates remain low, those who want to buy a new home are experiencing challenges with increased competition on a tight housing supply.”
Instead, the report states, people are remodeling. Buildfax reports that existing maintenance volume and spending increased 9.47% and 16.26% year over year, respectively. In the past, Buildfax has often referred to home maintenance activity as a recession indicator. As this activity increases, Buildfax asserts that recession probability lowers, and vice versa.
That said, in its December Healthy Housing Report, Buildfax states that “maintenance and remodeling increased substantially, potentially fueled by homeowners who feel unable to buy a new home and therefore invest in their existing property.”
As many economists have pointed out, U.S. homeowners have been staying put for a while now. The concept of “aging in place” is not a new one. In August of 2018, AARP revealed that almost 90% of homeowners approaching retirement want to stay in their homes as they age.
And for the most part, they are.
Last February, Freddie Macreleased a study showing that seniors born after 1931 are staying in their homes longer than previous generations. According to the report, this generation held 1.6 million houses back from the market in 2018.
“Americans are staying in their homes longer because the house they have is perfectly suitable for their family’s need,” he writes. “For more than four decades, home sizes have been getting bigger while family size has been in decline.”
According to NAHB’s analysis of the Census Bureau’s Survey of Construction (SOC) data, median single-family lot prices outpaced inflation once again (4.4% vs 2.4%) and reached new record high in 2018, with half of the lots selling at or above $49,500. The most dramatic rise in lot values is observed in the West South Central division where median lot values more than doubled since the housing boom years.
While this constitutes a new nominal national record, lot values adjusted for inflation have not reached the housing boom peak levels. In the midst of the building boom – when twice as many single-family homes were started – half of the lots were going for over $43,000, which is over $53,000 when converted in $2018.
The West South Central division – that includes Texas, Oklahoma, Arkansas, and Louisiana – stands out as a division where new historical records were hit not only in nominal terms but also when adjusted for inflation. Compared to the peak years of the housing boom, lot values more than doubled in this division.
Historically, lot values in the West South Central division have been the lowest in the nation. They started rising in 2013 and by 2015 caught up with the national median. As of 2018, half of the lots in the West South Central division sells for more than $62,000, 25% above the national median lot value for single-family spec homes of $49,500. This represents a significant jump in the division lot values since the building boom when more than half of lots were priced under $30,000.
Single-family spec homes started in New England are built on some of the most expensive lots in the nation. Half of all sold single-family homes started in New England in 2018 report lot values in excess of $140,000, a new nominal record for the division. New England is known for strict local zoning regulations that often require very low densities. Therefore, it is not surprising that typical single-family spec homes started in New England are built on some of the largest and most expensive lots in the nation.
The Pacific division has the smallest lots. However, the median lot value reached $87,000 in 2018, the second most expensive value in the nation and a new nominal record for the division. As a result, the Pacific division lots stand out for being most expensive in the nation in terms of per acre costs.
The East North Central is another division that hit a new record high, with half of the lots priced above $52,000, exceeding the national median lot value for single-family spec homes.
The East South Central Division that has the second largest lots in the nation simultaneously reports the lowest median value of $38,000 per lot, thus defining the most economical lots in the nation as well as lowest per acre costs.
For this analysis, the median lot values were chosen over averages since averages tend to be heavily influenced by extreme outliers. In addition, the Census Bureau often masks extreme lot values on the public use SOC dataset making it difficult to calculate averages precisely but medians remain unaffected by these procedures.
This analysis is limited to single-family speculatively-built homes by year started and with reported sales prices. For custom homes built on owner’s land with either the owner or a builder acting as the general contractor, the corresponding land values are not reported in the SOC. Consequently, custom homes are excluded from the analysis.
This villa breaks with all traditions and forms an unrestrained contrast to the otherwise natural surroundings. Like an artistic installation on a podium made of natural stone, which at the same time forms the underground car park, lies the two-storey villa and clearly focuses on the forest as the main point of reference. The shape of the building is based on the idea of an L, which borders the hillside of the plot while providing a sheltered outdoor-space for the terrace.
A small gap forms the entrance. From the street, three exposed shapes of concrete blend strikingly and puristically, leaving no room for a glimpse inside. The ground floor is completely closed to the street, dissolves to the forest by large glass elements, which flood the space with light, and produces an intense connection to the environment and nature. The upper floor forms a creative contrast to the ground floor. Above the transparent construction of glass and steel hovers an imposing, twisted concrete body, which ensures a high degree of privacy and protection. a few, floor-to-ceiling window elements in the sleeping areas present targeted views into the forest. Large slats of steel are wrapped around the airspace in the middle of the house and create a connection of the levels. This is our vision of a sculptural, purist and modern villa that abstracts classical rules: for an incomparable sense of living in the midst of nature.
Nature as a starting point Focused on the essentials and at the same time rich in characteristic features, the innovative villa made of concrete sits on a base made of natural stone and convinces with a unique sense of living as well as an artistic installation. Nature and architecture not only meet each other, aligned with the forest they flow into each other. The generous glass elements provide plenty of light and reveal the view of nature from the exclusive living area.
The nature is omnipresent: The forest has significantly influenced our thoughts on a perfect facade for this place. He has set us the task to develop a surface that can not be impressed by moss, leaves and weather, but just by dignified aging. – Crosshead architects
Break up closed forms In pleasant seclusion and undisturbed, “Villa Neo” is the most attractive retreat someone from Hamburg can imagine. Concrete, glass and steel – these are the three main materials that determine the characteristic appearance of this villa.Surrounded by the nature as well as the restful forest, the inhabitants of this property can concentrate on the desirable contents of life. On the one hand closed by surfaces of concrete to the street, the construction of the object leads to a pleasant level of privacy and security. Opened to the other side to the pool, whirlpool and forest, the natural urge for free space is satisfied. “Villa Neo” scores with originality. The object is not a modular house, but emerged from a unique vision. With a mixture of Bauhaus and brutalism, it emits strength and security to the outside without losing its elegance, generosity and tranquility in the inside. It gives its inhabitants a sublime feeling of freedom. – Querkopfarchitekten Ground floor The paths in the house are efficiently aligned: One junction connects all rooms on the ground floor. The generosity of the ground floor come especially due to the open access to all living spaces to retribution. Coming through the main entrance, the view to the left falls past the luxurious Eggersmann fitted kitchen with high-quality Gaggenau appliances directly onto the living / dining area framed by a large glass front. The Minotti sofa set in the comfortable living area. The TV room of the right wing underlines the use of only the most exclusive furnishing materials. UpstairsThe artfully staged and wood-clad stairs lead through the impressive airspace to the upper floor. Custom-made, floor-to-ceiling fitted wardrobes line up impressively in the sophisticated overall concept together with high-quality bathroom fittings. The special living atmosphere is topped by stylish details, such as pebble stone walls or full-surface mirror installations in the bathroom. Targeted views of the garden and the forest are provided by the large windows in the bedroom and the study and invite you to dream.
Basement The rooms in the basement offer in addition to the impressive living space above, a spacious guest room and a hobby room and a bathroom with exclusive rain shower. On the same level are the four garage spaces, which are easily accessible from the living area. Enjoy the silence The impressively choreographed outdoor space of the plot offer the resident plenty of space for relaxation and a sweeping view of more than 960 square meters of lawn. The turquoise blue water of the unique infinity pool impresses even without going into it. The 170 square meters large south-facing terrace area invites you to a cozy get-together. The entire complex seduces to spend one or the other summer day in the fresh air. If it gets colder, a luxurious whirlpool provides the necessary warmth.
Day becomes night The room-high window fronts flood the living area with plenty of daylight, opening up the view into the green landscape. A highlight are the large steel blades which are wrapped around the space in the middle and connect the lower and upper levels in this way. As soon as the day is over, the numerous elegant designer lamps immerse the rooms in an atmospheric light and, together with exquisite designer furniture and a state-of-the-art fireplace, create irresistible coziness and warmth. Whether day or night, light or dark, inside or outside – Villa Neo is an architectural highlight at any time and from any perspective. We are grateful that we had the opportunity to develop this property without compromise.
Project Credits: Project: Villa Neo Architects: Querkopf Architekten. Fionn Mögel (lead archtiect), Simon Mögel, Frank Zander, Wasfy Taha (project team) Engineering:Weber & Poll Landscape: Querkopf Architekten TGA : Querkopf Architekten Photographs: Frank Löschke I Arnt Haug
August 2019 saw an annual increase of 3.2% for home prices nationwide, inching forward from the previous month’s pace, according to the Case-Shiller Home Price Index from S&P Dow Jones Indices and CoreLogic.
The 10-City and 20-City composites reported a 1.5% and 2% year-over-year increase, respectively. During the month, 11 of 20 cities reported increases before seasonal adjustment, whereas 17 of 20 cities reported increases after seasonal adjustment.
“The U.S. National Home Price NSA Index trend remained intact with a year-over-year price change of 3.2%,” said Philip Murphy, Managing Director and Global Head of Index Governance at S&P Dow Jones Indices. “However, a shift in regional leadership may be underway beneath the headline national index.”
According to the index, Phoenix, Charlotte, and Tampa reported the highest year-over-year gains among all of the 20 cities.
In August, Phoenix led with a 6.3% year-over-year price increase, followed by Charlotte with a 4.5% increase and Tampa with a 4.3% increase. Seven of the 20 cities reported larger price increases in the year ending August 2019 versus the year ending July 2019.
“Phoenix saw an increase in its year over year price change to 6.3% and retained its leading position,” Murphy said. “However, Las Vegas dropped from No. 2 to No. 8 among the cities of the 20-City Composite, falling from a 4.7% year-over-year change in July to only 3.3% in August.”
“Meanwhile, the Southeast region included three of the top four cities. Charlotte, Tampa, and Atlanta all recorded solid year-over-year performance with price changes of 4.5%, 4.3%, and 4.0%, respectively,” Murphy said. “In the Northwest, Seattle’s year-over-year change turned positive (0.7%) after three consecutive months of negative year-over-year price changes. The 10-City Composite year-over-year price change declined slightly from July to 1.5%, while the 20-City Composite year-over-year price change remained steady at 2.0%. San Francisco was the only city to record a negative YOY price change (-0.1%).”
The graph below highlights the average home prices within the 10-City and 20-City Composites:
Buoyed by a strong economy and continued low mortgage rates, the New York State housing market showed an upward climb in sales and listings in September, according to the housing market report released today by the New York State Association of REALTORS®.
Closed sales in New York totaled 11,467 units in the month of September, a 1.6-percent increase from this time last year. New listings and pending sales rose substantially in September – up 7.5-percent to 18,161 homes and 7.6-percent to 11,182 respectively.
For the third quarter, closed sales were down marginally, 0.8-percent to 38,722 homes but both new listings and pending sales trended upward. There were 56,361 new listings this quarter, a 1.2-percent increase, while pending sales rose 4.9-percent to 37,766 homes.
Interest rates remained low, down 0.1-percent to 3.61 percent on a 30-year fixed mortgage, according to Freddie Mac. This is the fourth consecutive month that interest rates were below 4.0-percent.
Median sales prices once again climbed in September, up 5.7-percent to $280,000. Quarterly prices surged upwards as well, rising 5.5-percent to $290,000. Inventory levels were down for September, 2.9-percent to 71,737 homes for sale.
The National Association of Home Builders’ (NAHB) Remodeling Market Index (RMI) posted a reading of 55 in the third quarter of 2019, unchanged from last quarter (Figure 1). Since the second quarter of 2013, the RMI has been above its breakeven point of 50, which indicates that more remodelers report market activity is higher than report it is lower, compared to the prior quarter.
The overall RMI is an average of two sub-indices, one measuring current remodeling activity and another measuring future indicators. The current market conditions index edged down one point to 54 from the previous quarter (Figure 2). Among its three major components, major additions and alterations dropped one point to 52, minor additions and alterations decreased by two points to 53 and the home maintenance and repair component rose one point to 57.
The future market indicators gained two points from the previous quarter to 57 (Figure 3). Calls for bids increased by one to 55, amount of work committed for the next three months gained two points to 54, the backlog of remodeling jobs increased one point to 59 and appointments for proposals jumped by five points to 60.
Demand for remodeling is solid and is supported by a healthy labor market and low interest rates. It is important to note that remodelers still face challenges, such as high costs and a lack of skilled labor.
The average FICO score stands at 706, a record high, said Ethan Dornhelm, vice president of scores and predictive analytics at FICO. That compares with 686 at the 2009 end of the Great Recession and it eclipses the 690 at the 2006 height of the housing bubble.
The key drivers are U.S. economic expansion that has propelled job growth and an increase in consumer education about protecting and improving scores, Dornhelm said in a blog post. In addition, the passage of time is helping to remove the credit scars from events that happened during the financial crisis, he said.
“Consumers who suffered financial misfortune during the Great Recession have over the past few years had the associated missed payments from that time period purged from their credit file, in accordance with the Fair Credit Reporting Act,” he said.
Measuring different credit events, the biggest improvement between April 2009 and April 2019 was the timeliness of mortgage payments, Dornhelm said. A decade ago, 7.2% of the population had been 90 days or more late on a mortgage payment within the last two years. By April, it had dropped to 2.8%.
Also showing big improvement was the percentage of the population who had been 90 days or more past due on a credit card in the last two years. A decade ago, it was 13%, and in April it was 8.6%.
The jump in FICO scores was due to “score improvement, not score inflation,” Dornhelm said.
“Significant improvement in the overall population’s credit profile has been the key driver of the 20-point increase in national average FICO score over the past decade,” he said. “These improvements are reflective of improving consumer financial health, as would be expected during a period of economic expansion.”
Economic data signaling the chance of a looming recession has increased uncertainty in the credit-scoring realm, he said.
“The average FICO score will continue to change, but in what direction?” Dornhelm said. “Trade talks with China, the possibility of a `no-deal Brexit,’ and Fed interest rate decisions loom large as concerns of a recession persist.”
Prices paid for goods used in residential construction decreased by 1.1% in June (not seasonally adjusted) according to the latest Producer Price Index (PPI) released by the Bureau of Labor Statistics. The decline broke a four-month trend of increases and was only the fifth month over the past two years in which prices fell.
Over the past 12 months, building materials prices have decreased 1.6%, just the fifth June year-over-year decrease since 2000. The decline is a sharp reversal of June 2017 to June 2018, during which prices increased 8.8%.
The PPI report shows that softwood lumber prices decreased (-1.7%, not seasonally adjusted) in June—the index’s third consecutive monthly decline. Prices remain at their lowest level since February 2017. While weekly prices have been volatile since mid-May according to Random Lengths, the difference between the average prices of softwood lumber in May and June mirrored the PPI data (-1.8% v. -1.7%).
One of the special indexes published by BLS tracks lumber and plywood in one category. Similar to softwood lumber, the lumber and plywood index fell 2.3%. Prices paid for softwood lumber and lumber and plywood have decreased 23.1% and 17.6%, respectively, since June 2018.
The price index for gypsum products continued its downward trend in June, declining 1.9%. In the last 10 months, gypsum prices have only increased twice.
Prices have declined by 6.2% and 10.8% since January 2019 and August 2018, respectively.
Ready-mix concrete prices increased 1.2% in June and remain relatively volatile. Prices have risen by more than 1.0% in two of the past three months, something that has only happened in 18 of the previous 231 months.