Tag Archives: Mt Kisco Homes

Pending home sales fall 31% | Mt Kisco Real Estate

Key Highlights

  • Pending home sales dropped for the fourth straight month, down 10.2% from August.
  • Month-over-month, contract signings pulled back in all four major U.S. regions.
  • Pending sales decreased in all regions compared to one year ago.

Pending home sales trailed off for the fourth consecutive month in September, according to the National Association of Realtors. All four major regions recorded month-over-month and year-over-year declines in transactions.

The Pending Home Sales Index (PHSI),* www.nar.realtor/pending-home-sales, a forward-looking indicator of home sales based on contract signings, slumped 10.2% to 79.5 in September. Year-over-year, pending transactions slid by 31.0%. An index of 100 is equal to the level of contract activity in 2001.

“Persistent inflation has proven quite harmful to the housing market,” said NAR Chief Economist Lawrence Yun. “The Federal Reserve has had to drastically raise interest rates to quell inflation, which has resulted in far fewer buyers and even fewer sellers.”

Yun noted that new home listings are down compared to one year ago since many homeowners are unwilling to give up the rock-bottom, 3% mortgage rates that they locked in prior to this year.

“The new normal for mortgage rates could be around 7% for a while,” Yun added. “On a $300,000 loan, that translates to a typical monthly mortgage payment of nearly $2,000, compared to $1,265 just one year ago – a difference of more than $700 per month. Only when inflation is tamed will mortgage rates retreat and boost home purchasing power for buyers.”

Pending Home Sales Regional Breakdown

The Northeast PHSI descended 16.2% from last month to 64.2, a decline of 30.1% from September 2021. The Midwest index retracted 8.8% to 80.7 in September, down 26.7% from one year ago.

The South PHSI faded 8.1% to 97.0 in September, a drop of 30.0% from the prior year. The West index slipped by 11.7% in September to 62.7, down 38.7% from September 2021.

The National Association of Realtors® is America’s largest trade association, representing more than 1.5 million members involved in all aspects of the residential and commercial real estate industries.

# # #

*The Pending Home Sales Index is a leading indicator for the housing sector, based on pending sales of existing homes. A sale is listed as pending when the contract has been signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing.

Pending contracts are good early indicators of upcoming sales closings. However, the amount of time between pending contracts and completed sales is not identical for all home sales. Variations in the length of the process from pending contract to closed sale can be caused by issues such as buyer difficulties with obtaining mortgage financing, home inspection problems, or appraisal issues.

The index is based on a sample that covers about 40% of multiple listing service data each month. In developing the model for the index, it was demonstrated that the level of monthly sales-contract activity parallels the level of closed existing-home sales in the following two months.

An index of 100 is equal to the average level of contract activity during 2001, which was the first year to be examined. By coincidence, the volume of existing-home sales in 2001 fell within the range of 5.0 to 5.5 million, which is considered normal for the current U.S. population.

NOTE: Existing-Home Sales for October will be reported on November 18. The next Pending Home Sales Index will be on November 30. All release times are 10 a.m. Eastern.

Information about NAR is available at nar.realtor. This and other news releases are posted in the newsroom at nar.realtor/newsroomStatistical data in this release, as well as other tables and surveys, are posted in the “Research and Statistics” tab.

InfographicPending Home Sales: September 2022


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Northeast new home sales fall 15.6% | Mt Kisco Real Estate

A brief decline in mortgage rates helped to boost new home sales in August but sales are expected to move lower in the months ahead as rates have since moved higher and builder sentiment continues to fall due to declining housing affordability and ongoing supply chain bottlenecks.

Sales of newly built, single-family homes in August increased 28.8% to a 685,000 seasonally adjusted annual rate from an upwardly revised reading in July, according to newly released data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. New home sales are down 14% on a year-to-date basis despite the August upturn. Additionally, as sales cancellation rates increase, it is important to keep in mind that the Census data do not incorporate cancellation data. According to recent NAHB surveys, new home sales cancellations were approximately 25% in late August.

The August new home sales data indicate two important factors about the future path of single-family home building. There remains significant, unmet structural demand for housing (that is, a mismatch between the number of potential households and available housing). However, in the short-run the cyclical impacts of higher interest rates are the primary factor determining actualized, market demand for housing. Together, these factors point to ongoing weakness for single-family housing in the coming quarters, followed by a rebound in 2024 as interest rates eventually ease.

New single-family home inventory remained elevated at an 8.1 months’ supply. The count of homes available for sale, 461,000, is up 24.6% over last year. Of this total, only 49,000 of the new home inventory is completed and ready to occupy. The remaining have not started construction or are currently under construction. Inventories of new homes should fall in the months ahead as single-family permitting and construction starts slow.

Reflecting gains for construction costs, the median new home price in August was $436,800, up 8.2% from a year ago. This is a diminished growth rate as a growing number of builders cut prices due to slackening demand. According to survey data collected with the NAHB/Wells Fargo HMI, 24% of builders reported reducing home prices in September, up from 19% last month. Importantly, for housing affordability conditions, a year ago 25% of new home sales were priced below $300,000. In August, this share fell to just 12%.

Regionally, on a year-to-date basis, new home sales fell in all four regions, down 15.6% in the Northeast, 24.5% in the Midwest, 10.8% in the South and 16.7% in the West.

read more…

eyeonhousing.org

Building materials prices up 19% | Mt Kisco Real Estate

According to the latest Producer Price Index (PPI) report released today by the Bureau of Labor Statistics, the prices of goods used in residential construction ex-energy (not seasonally adjusted) climbed 0.5% in April, following upwardly revised increases of 1.9% and 2.4% in March and February, respectively. This adds up to an 4.9% increase in building materials prices since the start of 2022. Year-over-year, building materials prices are up 19.2% and have risen 35.6% since the start of the pandemic.

The price index of services inputs to residential construction registered a similar increase, rising 0.9% in April. However, the index was upwardly revised for March, causing the monthly increase to jump from 3.2% to 6.8% over the month. As a result, the price index of services used in home building (including trade services, transportation and warehousing) has climbed 13.3% since the start of the year. Year-over-year, the index has increased 18.1% and is up 45.6% since the start of the pandemic.

Softwood Lumber

The PPI for softwood lumber (seasonally adjusted) declined 15.6% in April following a downwardly revised 5.4% increase in March and a 2.5% gain in February. As a result, the index is down 8.9% over the first four months of 2022. Since reaching its most recent trough in September 2021, prices have risen 60.4%.

Steel Products

Steel mill products prices (NSA) climbed 2.4% in April–the first monthly increase since December 2021. Nonetheless, the first four months of 2022 have been positive for the cost of derivative steel products after increasing 128.0% in 2021.

Ready-Mix Concrete

The PPI for ready-mix concrete (RMC) resumed its upward trend after a small decline in March (-0.2%) as prices rose 1.3% (SA) in April. The index has climbed 8.9% year-over-year and is 12.6% higher than the January 2021 reading.

Gypsum Products

The PPI for gypsum products (SA) was flat in April. Year-over-year, the prices of gypsum products are 17.8% higher and have increased 23.5% since January 2021.

read more…

eyeonhousing.org

Slowing Fourth Quarter Sales Did Not Derail Record 2021 Housing Market | Mt Kisco Real Estate

WHITE PLAINS—Residential sales in 2021 in the counties served by OneKey MLS, Inc. reached a historic peak. This, despite a slowing of sales in the fourth quarter in all areas served by OneKey MLS with the exception of Bronx County.

Arguably, some of the slowdown can be attributed to the dearth of inventory in the counties north of New York City, while the “Bronx Tale” is more closely aligned to a return of buyers to the New York City market.

While the view of the market in terms of units sold and dollar volume is a positive one, it was a frustrating arena for many buyers who lost homes to higher bidders and for the practitioners dealing with client frustration and disappointment.

Bronx County had the largest percentage increase in residential sales at 61.4% year-over-year with 2,553 units sold as compared to 1,582 sales for 2020. Total residential sales in the counties to the north were more in line with each other with Rockland County leading the group with an increase of 19.3% (3,631 units compared to 3,044 units in 2020); Westchester, a close second at 19.1% (11,855 units compared to 9,955 units for 2020); followed by Orange County with a 16% increase (5,406 residential sales compared to 4,662 sales in 2020); Putnam experienced a 10.6% increase over 2020 (1,605 units compared to 1,451) and Sullivan County had a 9.6% increase for 2021 (1,393 compared to 1,271 in 2020).

Sales of single-family residential units increased across the board with Bronx County sales increasing an eye-opening 45.8% (716 units vs. 491 units for 2020). The median price of a single-family residence in Bronx County increased 8.5% to $575,000. The largest percentage price increase for a single-family home occurred in Sullivan County with a 25.3% increase to $244,400 from $195,000 in 2020. Notably, Westchester County, with the highest prices in the region, had the smallest percentage increase in median price for the year at 6.1% ($780,000 as compared to $735,000 in 2020) and actually experienced a slight decrease (-0.8%) in median price for the fourth quarter. This may be indicative of price increases beginning to moderate.

Orange County has seen consistent increases in the single-family median price with a year-over-year increase of 16.5% ($367,000 compared to $315,000 in 2020). Orange County single-family home sales increased by 11.2 % for the year to 4,444 units (compared to 3,996 in 2020) despite a drop of 20.7% in the fourth quarter.

In Rockland County the single-family median sale price increased 12% to $560,000 (from $500,00 in 2020) and Putnam County saw its single-family median price rise 15.8% to $440,000 (from $380,000 in 2020).

In terms of percentages, condominium, multi-family (2-4 family), and in Westchester County, co-op sales as well, all outpaced the increases in single-family units and, in most instances, the percent of median price increase. In Westchester County, where co-op sales lagged in 2020, they increased 36.3% to 2,129 units (from 1,562 in 2020). Affordability is the most prevalent reason for these choices particularly in view of the price increases in single-family dwellings. For many suburban purchasers, condos and co-ops represent a means to build equity to purchase a single-family residence.

When focusing solely on the fourth quarter residential sales numbers, they reflect a return to the more typical seasonality in the market, which disappeared in the fourth quarter of 2021. While there were significant decreases in the number of residential sales in all counties, except the Bronx, when comparing the 2021 fourth quarter to the 2020 fourth quarter sales, it is important to remember that the fourth quarter 2020 sales were fueled by a surge in buying activity in the second half of 2020 once COVID-19 restrictions were lifted. A more realistic comparison would be to the fourth quarters of 2019 and 2018, and the 2021 fourth quarter residential sales numbers were significantly higher than either of those two years.

Indicators such as days on market were down significantly in all market areas. Homes selling close to or at list price and above list price were a relatively common event. Lack of inventory continues to be a problem with no meaningful resolution on the near horizon. With the Fed tightening monetary policy it is expected that mortgage rates will begin a steady rise in 2022. However, despite these headwinds, the real estate market in the New York City and greater suburban area, including the lower Hudson Valley, have shown remarkable resiliency in the last year and a half, and we expect a strong real estate market to continue into 2022.

With the exception of the second quarter of 2020, the real estate market has been an anomaly outperforming the economy. Sales and prices have enjoyed a trajectory which is likely unsustainable going forward, however the economy of the Hudson Valley continues to improve and grow more vibrant, which bodes well for real estate. It is likely that price increases will moderate and additional product will come on the market, which will sustain a strong market in the near term.

HGAR/OneKey® MLS 2021 Fourth Quarter Residential Real Estate Sales Report

Data provided by OneKey MLS, one of the largest Realtor subscriber-based MLS’s in the country, dedicated to servicing more than 46,310 real estate professionals that serve Manhattan, Westchester, Putnam, Rockland, Orange, Sullivan, Nassau, Suffolk, Queens, Brooklyn, and the Bronx. OneKey MLS was formed in 2018, following the merger of the Hudson Gateway Multiple Listing Service and the Multiple Listing Service of Long Island.

realestateindepth.com/news/

Mortgage rates average 2.98% | Mt Kisco Real Estate

Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), showing that the 30-year fixed-rate mortgage (FRM) averaged 2.98 percent.

“Despite the re-acceleration of economic growth, the recent bond rally drove mortgage rates down for the second consecutive week,” said Sam Khater, Freddie Mac’s Chief Economist. “These low mortgage rates, combined with the tailwind of first-time homebuyers entering the market, means that purchase demand will remain strong into next year. However, affordability pressures continue to be an ongoing concern for homebuyers.”

News Facts

  • 30-year fixed-rate mortgage averaged 2.98 percent with an average 0.7 point for the week ending November 10, 2021, down from last week when it averaged 3.09 percent. A year ago at this time, the 30-year FRM averaged 2.84 percent.
  • 15-year fixed-rate mortgage averaged 2.27 percent with an average 0.6 point, down from last week when it averaged 2.35 percent. A year ago at this time, the 15-year FRM averaged 2.34 percent.
  • 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.53 percent with an average 0.4 point, down slightly from last week when it averaged 2.54 percent. A year ago at this time, the 5-year ARM averaged 3.11 percent.

The PMMS® is focused on conventional, conforming, fully amortizing home purchase loans for borrowers who put 20 percent down and have excellent credit. Average commitment rates should be reported along with average fees and points to reflect the total upfront cost of obtaining the mortgage. Visit the following link for the Definitions. Borrowers may still pay closing costs which are not included in the survey.

Freddie Mac makes home possible for millions of families and individuals by providing mortgage capital to lenders. Since our creation by Congress in 1970, we’ve made housing more accessible and affordable for homebuyers and renters in communities nationwide. We are building a better housing finance system for homebuyers, renters, lenders, investors and taxpayers. Learn more at FreddieMac.com, Twitter @FreddieMac and Freddie Mac’s blog FreddieMac.com/blog.

New homes material prices rising 26% | Mt Kisco Real Estate

post published last week discussed how record numbers of builders were reporting on broad-based shortages of building materials and products.  The source of the information was the May survey for the NAHB/Wells Fargo Housing Market Index (HMI).  The same survey asked the HMI panel of single-family builders how total material costs for the same house have changed over the past 12 months.

The most comment response (checked by 28.0 percent of builders) was that materials costs increased by 20 to 29.99 percent.  However, 15.9 percent indicated that costs increased by 30 to 39.99 percent, 5.9 percent indicated 40 to 49.99 percent, and 15.2 percent even indicated that their costs had increased by 50 percent or more.

On average, the 12-month increase in material costs for the same house was 26.1 percent.  Historically, NAHB has included the material cost question on its HMI questionnaire six times since 2012.  The 2021 figure of 26.1 percent is the highest the average 12-month cost increase has been over that span—by a wide margin.  The previous record was 6.1 percent recorded in 2017.

Material availability and costs are one of several factors, including the cost of regulation and a general shortage of construction labor, limiting the supply of housing, particularly for the entry-level market where additional inventory is badly needed.

read more…

eyeonhousing.org

Case-Shiller home prices up 9.5% | Mt Kisco Real Estate

In November, national home prices continued to rise at a fast pace, fueled by strong demand and low inventory. All 19 major markets saw double-digit growths in home prices.

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 18.3% in November, following a 21.9% increase in October. It marks the fourth consecutive month of double-digit growth in home prices. On a year-over-year basis, the S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index posted a 9.5% annual gain in November, up from 8.4% in September. It is the fastest pace of home price appreciation since February 2014. Strong demand, low interest rates and tight inventory together pushed home prices to new highs amid the COVID-19 pandemic.

Meanwhile, the Home Price Index, released by the Federal Housing Finance Agency (FHFA), rose at a seasonally adjusted annual rate of 12.9% in November, following a 19.3% increase in October. On a year-over-year basis, the FHFA Home Price NSA Index rose by 11.0% in November, after an increase of 10.3% in October. It confirmed rapid growth in home prices for this month.

In addition to tracking national home price changes, S&P reported home price indexes across 19 metro areas in November (Detroit metro area data was missing in November 2020 because there are not a sufficient number of records for the month of November for Detroit).

In November, all 19 metro areas reported positive home price appreciation and their annual growth rates ranged from 9.1% to 27.7%. Among all the 19 metro areas, seven metro areas exceeded the national average of 18.3%. New York, Seattle and Boston had the highest home price appreciation. New York led the way with a 27.7% increase, followed by Seattle with a 22.4% increase and Boston with a 21.9% increase.

read more…

eyeonhousing.org/2021/01/

Existing home sales jump to 14-year high, as prices set another record | Mt Kisco Real Estate

  • Sales of existing homes rose 2.4% to a seasonally adjusted annualized rate of 6.0 million units, according to the National Association of Realtors.
  • Sales were 10.5% higher compared with August 2019. This is the highest sales pace since December 2006, before the Great Recession. 
  • Tough competition has the market moving very quickly. It took just 22 days to sell a home in August, matching the fastest on record.
A home for sale is seen in Santa Monica, California.

A home for sale is seen in Santa Monica, California.

After a record-setting July, the housing market still shows no sign of cooling off.

Sales of existing homes rose 2.4% to a seasonally adjusted annualized rate of 6 million units, according to the National Association of Realtors. Sales were 10.5% higher compared with August 2019. This is the highest sales pace since December 2006, before the Great Recession.

Sales were hampered only by lack of supply. There were 1.49 million homes for sale at the end of August, down 18.6% annually to a 3.0-month supply. The number of homes for sale when sales were last this robust, in 2006, was more than double the current supply.

That tight supply pushed the median price of an existing home sold in August to a record high of $310,600. That is up 11.4% annually. In the third quarter of this year the housing wealth will have increased by $1.5 trillion from the second quarter.

“The imbalance of supply and demand will hurt affordability soon. Once that appears it will hinder home ownership rates,” said Lawrence Yun, chief economist for the Realtors. 

Tough competition has the market moving very quickly. It took just 22 days to sell a home in August, matching the fastest on record.

Mortgage rates set several record lows in August, which only added to the fierce competition for housing. Low rates also kept the heat on home prices, as they give buyers additional purchasing power.

Regionally, sales were strongest in the Northeast, rising 13.8% month to month. Sales were 1.4% higher in the Midwest and 0.8% higher in both the South and West. The Northeast saw some of the strictest shutdown rules early in the coronavirus pandemic, so the recovery now may be making up for that.  

Sales of newly built homes, which are counted by signed contracts, not closings, jumped 36% annually in July. Builders are benefiting from the tight supply of existing homes for sale, as well as for the new consumer demand for higher-tech homes in suburban and rural locations.

Strong demand is expected to continue into the usually slower fall months, but there may be a brief drop in the numbers because of the various natural disasters across the nation.

“In early September, new housing supply took a hit from the wildfires and hurricanes, and sales activity weakened. But because the impact of natural disasters has been more supply-oriented than demand-oriented, prices are expected to remain high,” said Danielle Hale, chief economist at realtor.com. “The combination of high prices and low supply is going to continue to make finding a home an even more difficult task than it already is.”

read more…

https://www.cnbc.com/2020/09/22/existing-home-sales-jump-to-14-year-high-as-prices-set-another-record.html

Mortgage rates average 3.01% | Mt Kisco Real Estate

Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), showing that the 30-year fixed-rate mortgage (FRM) averaged 3.01 percent.

“While housing demand continues to rebound, the month-long swoon in economic activity has caused the 10-year Treasury benchmark to drop. In the short-term, this means the demand will continue on the back of near record low mortgage rates,” said Sam Khater, Freddie Mac’s Chief Economist. “However, the most recent consumer spending data has been pointing to slow growth since mid-June. The concern is that the pause in economic activity will cause unemployment to remain elevated which will lead to longer-term labor market distress.”

News Facts

  • 30-year fixed-rate mortgage averaged 3.01 percent with an average 0.8 point for the week ending July 23, 2020, up slightly from 2.98 percent. A year ago at this time, the 30-year FRM averaged 3.75 percent.  
  • 15-year fixed-rate mortgage averaged 2.54 percent with an average 0.7 point, up from last week when it averaged 2.48 percent. A year ago at this time, the 15-year FRM averaged 3.18 percent.  
  • 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.09 percent with an average 0.3 point, up slightly from last week when it averaged 3.06 percent. A year ago at this time, the 5-year ARM averaged 3.47 percent.

Average commitment rates should be reported along with average fees and points to reflect the total upfront cost of obtaining the mortgage. Visit the following link for the Definitions. Borrowers may still pay closing costs which are not included in the survey.

New York real estate market sees steep rise in listings | Mt Kisco Real Estate

After a difficult few months, New York City’s real estate market is bouncing back.

This week, after the city entered phase 2 of its reopening, contract activity increased 41%, reaching the highest numbers since the end of March, when the country shut down due to the coronavirus outbreak. New listings also increased 57% since last week, reaching a level not seen since March 2, according to data compiled by UrbanDigs.

Though listings are down 36% from this time last year, brokers are confident the slump in the market is temporary — and on its way out. “This is a remarkable recovery from the entire second quarter,” said Garrett Derderian, the CEO of GS Data Services.

“What we’re seeing is a lot of concern, but also a lot of pent-up demand,” Jason Haber of Warburg Realty told ABC News.

Derderian’s data shows the median list price of $1,395,000 is up 5% from this time last year, while the average price-per-foot is down just 3% to $1,560.

“What this tells us on a high level is the recovery on the listing side has started to take hold and is looking like the V-shape that was anticipated earlier this year,” he said.

The same can be said for the Seattle and Miami markets, the latter which has actually seen an increase in property trades compared to last year, as many in the Northeast — particularly in the hard hit tri-state area — continue to relocate to Florida.

Kolderal/Getty ImagesA residential street is seen in New York City.A residential street is seen in New York City.Kolderal/Getty Images

There have been 217 contracts signed in Manhattan since June 1, a decrease of 71% from this time last year. But this should not come as a surprise, given that the city just opened for in-person showings Monday.

Data sets put together by Derderian and Jesse Kent, the CEO of real estate public relations agency Derring-Do, show that prices have not gone down substantially despite the crisis.

“There has been wide speculation that prices were going to decline 10 to 20% in NYC real estate investments, but as of now, that is simply not the case,” said Derderian. “In fact, there may be a silver lining for the Manhattan housing market as workers may want to rely less on public transit and walk to work. This could bode well for many parts of Manhattan and result in price increases depending on the neighborhood and price point. The same is true for downtown Brooklyn and the immediate surrounding neighborhoods.”

If prices do go down, it will likely be in July, once there is more movement in the market.

Mark Lennihan/AP, FileIn this May 12, 2020 photo, a storefront displays “For Rent” signs in the window in the Red Hook neighborhood of the Brooklyn borough of New York.In this May 12, 2020 photo, a storefront displays “For Rent” signs in the window in the Red Hook neighborhood of the Brooklyn borough of New York.Mark Lennihan/AP, File

Another thing that makes brokers optimistic is that the buyers who are currently looking seem to be fully committed.

“There are two types of people: short-term buyers who will likely not invest during the pandemic, and those who see the near-future potential and are looking to invest in the long term,” Haber said.

“Because there’s so much unknown right now, the profile of the buyer is someone who believes in New York long term,” said Michael J. Franco, from real estate broker Compass.

Even while the market appears to be recovering, Warburg Realty’s Bill Kowalczuk explained that the process of viewing and buying has changed due to the coronavirus.

Not only does a potential buyer have to schedule a viewing 24 hours in advance, but they have to wear personal protective equipment, sign a stack of forms acknowledging the health risks they’re taking and keep from touching any surfaces while inside the property (the agent has to open all cabinets and doors).

The documents potential clients must sign prior to attending a viewing include a limitation of liability form and a health questionnaire screening form. Though they’re not required by law, all Real Estate Board of New York members are asked to give them to their customers to ensure their safety.

Fueled by people’s eagerness to move forward, Kowalczuk said he expects a boom of market activity in the next six weeks.

read more…

abcnews.go.com/business