NAHB’s Remodeling Market Index (RMI) was 60 in the final quarter of 2014, indicating widespread confidence among remodelers that the market was improving compared to the previous quarter. The RMI and each of its components lies on a scale of 0 to 100, where a number above 50 indicates that more remodelers report market activity has improved (compared to the prior quarter) than report it has deteriorated.
The overall RMI averages ratings of current remodeling activity with indicators of future remodeling activity. The current market conditions component of the RMI increased to 60 from 57 in the previous quarter. The readings for all subcomponents, including large additions and small remodels as well as maintenance and repair, also saw increases.
The RMI’s future market conditions index also increased, to 60 from 58 in the previous quarter. All four of its subcomponents—calls for bids, amount of work committed for the next three months, backlog of jobs and appointments for proposals—increased from the previous quarter’s reading.
The RMI shows that, even with some weakness in existing homes sales and house prices earlier in the year, remodelers remain optimistic that markets are improving as 2014 closes. This is consistent with NAHB’s view that the remodeling market will show gradual improvement going forward.
Six years ago, homebuilders and Realtors were facing brutal business conditions: millions of Americans were losing their jobs and homes.
As 2015 begins, hiring is strong and economic indicators are pointing up. Could this be the year when the housing market finally breaks out of its tepid recovery and takes off?
Economists see several reasons why 2015 might be a banner year for homebuying — and not just in San Francisco and Miami.
They also see One Big Factor that potentially could block a buying binge.
Before considering that possible downer, let’s first look at the upside:
Employers are hiring again.
When companies are hiring, would-be homebuyers feel more confident about taking on mortgage debt.
During the recession, companies kept slashing positions, sending the unemployment rate soaring to 10 percent and frightening potential homebuyers. But job growth has been strong lately, with employers adding 321,000 jobs in November. The unemployment rate has tumbled to 5.8 percent.
As that good news sinks in, optimism is rising. The Conference Board’s latestConsumer Confidence Index shows confidence is running 19.5 percent higher than a year ago.
Home prices just took a breather, which helps.
From January to October, home prices rose 4.5 percent nationally, according to the latest S&P/Case Shiller Home Price Index. That gain was subdued compared with October 2013, when home prices jumped 11 percent higher than the previous year.
The youngest group of mortgage borrowers posted the lowest mortgage delinquency rate, falling to 2.34% at the end of the second quarter, according to a new report from TransUnion.
“Mortgage delinquency rates continue to drop and we are seeing this decline across all age groups,” said Steve Chaouki, head of financial services for TransUnion.
However, it is important to note that this age group also makes up the smallest portion of mortgage accounts, only representing 4.16%.
(source TransUnion: click for larger image)
Overall, the mortgage delinquency rate declined for the 10th consecutive quarter, decreasing to 3.46% at the end of Q2 2014. This is down nearly 20% in the last year.
“Overall, the improvements in the mortgage delinquency rate can be attributed to a number of factors. These include the clearing of severely delinquent accounts through foreclosure as well as a lower rate of new delinquencies from post-recession vintages, which generally are of significantly higher credit quality and have experienced much better performance than mortgages originated before the recession,” Chaouki said.
Owning a home has long been associated with success, stability, and work ethic. An investment in your future, purchasing a home is one of your more significant financial decisions. It’s a decision two out of every three Americans have made in recent years.
, housing markets, community and school ratings, and crime statistics are only a few of the factors that may weigh into the decision to buy a home. This week, the 30-year fixed mortgage rate is 4.33 percent, and next week this rate will likely change.
While finding the right home that will earn you a decent return on your investment is essential, perhaps even more critical is the need to find a home you can afford. HSH recently published a report on the annual salary required to purchase a home in 27 different metropolitan areas. Based on this report and other supplemental data, let’s see where you can afford to buy at the median home price.
The median price for a two-bedroom apartment in Manhattan is $1.8 million, according to StreetEasy’s active listings. In popular Brooklyn neighborhoods, the median price is about a million less, at $899,000, but there’s plenty available for much less. For our latest Price Points round-up we found the 10 best two-bedroom apartments for around $675,000. Most are in Brooklyn, but Manhattan has its fair share (the other three boroughs, as expected, have even cheaper offerings). First up, there’s a “penthouse” apartment in a 12-unit building on Parkville Avenue in Kensington, Brooklyn. It has an open kitchen next to the living room with French doors opening onto a private balcony. The master bedroom has an en suite bath, and the second bedroom comes with a Queen-sized Murphy bed. There’s also a full second bathroom, and a private rooftop terrace. Asking price is $675,000, and common charges are $198.
Here are five of the biggest events coming up in Westchester.
1. Aoife O’Donovan at Katonah’s Caramoor, Saturday, April 12 at 8 p.m.
Aoife O’Donovan is widely known as the lead singer of alt-bluegrass/string band Crooked Still, as a member of the folk noir trio Sometymes Why, and as the vocalist on the GRAMMY winning album The Goat Rodeo Sessions with Yo-Yo Ma, Chris Thile, Edgar Meyer and Stuart Duncan. She will be visiting the Caramoor for a special solo acoustic performance. $15, $35, $45, $55. 149 Girdle Ridge Road.
2. Greenburgh Nature Center’s Spring Celebration and Egg Hunt, Sunday, April 13 from 11 a.m. to 3 p.m.
Visit the Greenburgh Nature Center barnyard to meet their furry and feathered friends. Families will be able to take a tour with a naturalist to discover signs of spring from the forest to the pond to the Great Lawn, make seasonal crafts, and search for eggs in an egg hunt. Egg hunts and other fun activities will run continuously throughout the day. 99 Dromore Road.
3. Les Ballets Trockadero at Harrison’s SUNY Purchase, Saturday, April 12 at 8 p.m.
This all-male corps de ballet defies convention and cliché of classical ballet and proves that men can dance en pointe without hurting themselves too badly. These men are among the finest, classically trained dancers. Enjoy the beauty of ballet, and the proof that classical ballet can be totally hilarious. $49.50 – 70. 735 Anderson Hill Road.
4. Grow Your Own Bitters at Mount Pleasant’s Stone Barns Center, Saturday, April 12 from 1 p.m. to 3 p.m.
Master the art of bitters-making with expert Brad Thomas Parsons, author of Bitters: A Spirited History of a Classic Cure-All. Parsons will be taking seasonal crops, fresh from local farms, and turning them into bitters. He’ll also be sharing cocktail ideas and sending you home with your own batch of farm-fresh bitters. Ages 21 and up. $22.50 – $25. 630 Bedford Road.
5. One Night Only: The National Comedy Theatre at the White Plains Performing Art Center, Saturday, April 12, 8 p.m.
The National Comedy Theatre, New York’s acclaimed improvisational comedy show, is coming to the WPPAC for one night. Similar in style to “Whose Line is it Anyway,” the comedians will be performing a series of games and scenes all based on audience suggestions. $25. 11 City Place.
For many buyers, looking for a new home can be a challenge. As agents, we see homes daily and are well-trained on how to see past the superficial problems and see a home for its potential. But when clients are looking for the home in which they plan on building their lives, it can be hard to envision how a home could truly be ‘mine.’ Many people choose to remodel and stage their homes prior to putting it on the market, but then there are the vast majority of people who choose to sell their beloved home “as-is.”
While a turn-key home is ideal for people who want to move right in and make no changes, there are those “time warp” homes that are actually incredible gems that just need a little polishing.
Love these tips? Share this information with current clients and your prospective buyers. Download the handout to include in your marketing materials and to help buyers throughout their home buying journey!
As you walk your clients through their house hunt, here are 9 things about a for-sale home that you should remind clients to ignore in order to keep them from passing on a what could be the perfect home for them.