Monthly Archives: September 2022

Realtor.com reports 13.9% price increase | Armonk Real Estate

The U.S. housing market is offering home shoppers more options this fall than in 2021, as inventory increased 26.9% year-over-year in September, according to the Realtor.com® Monthly Housing Trends Report released today. While yearly listing price growth remained in the double-digits in September (+13.9%), the pace continued to moderate, suggesting that a rise in relatively affordable for-sale homes could be in store for buyers in the final months of 2022.

“Home prices have been remarkably resilient so far this year, considering the impact that inflation and climbing rates are having on buyers’ budgets. Recent data does show some deceleration in listing prices, and a seasonal pull back that is typical of this time of year. On the flip side, this cooling is likely one reason why fewer sellers entered the market in September,” said Danielle Hale, Chief Economist for Realtor.com®. “For homeowners deciding whether to make a move this year, remember that listing prices – while lower than a few months ago – remain higher than in prior years, so you’re still likely to find opportunities to cash-in on record-high levels of equity, particularly if you’ve owned your home for a longer period of time. And for prospective buyers grappling with affordability, you may have more bargaining power than you realize, particularly in areas where time on market is rising.”

September 2022 Housing Metrics – National

MetricChange over Sept. 2021Change over Sept. 2019
Median listing price13.9% (to $427,000)36.7 %
Active listings26.9 %-40.2 %
New listings-9.8 %-11.6 %
Median days on market7 days (to 50 days)-16 days

Inventory improvements hold steady even as new sellers hit pause
The U.S. supply of active listings remained higher than last year in September, but improvements failed to accelerate over last month as newly listed homes continued to drop. With higher rates resulting in less demand and fewer home salesseller sentiment continues to decline and impact homeowner plans to list. Still, today’s buyers have significantly more options than during the worst of the inventory crunch of the previous two years. This is especially true in many southern and western markets, where competition has cooled compared to the COVID frenzy.

  • Nationally, the inventory of homes actively for sale on a typical day in September increased 26.9% (+155,000) year-over-year, holding on par with the August pace (+26.9%). Newly-listed homes were down 9.8% year-over-year, a slight improvement over last month’s rate of decline (-13.0%).
  • Compared to last year, inventory increased in 36 out of 50 of the largest metros, led by markets in the West (+64.2%) and South (+57.5%): Phoenix (+167.3%), Raleigh, N.C. (+166.1) and Nashville, Tenn. (+125.3%).
  • In September, active listings dropped year-over-year in just one region, the Northeast (-6.0%). New listings declined from September 2021 levels in all four regions, led by the Northeast (-17.2%) and followed by the Midwest (-14.0%), West (-12.2%) and South (-3.9%).
  • Among the 50 largest U.S. metros, just eight saw the number of new sellers increase over September 2021 levels: New Orleans (+119.3% as last year was impacted by Hurricane Ida), Nashville. (+19.6%), Tampa, Fla. (+9.2%), Dallas (+9.1%), Birmingham, Ala. (+6.1%), Houston (+3.6%), San Antonio (+2.9%) and Raleigh (+2.0%).

Home price growth continues to moderate but remains in the double-digits
In September, national home listing prices increased at a faster September pace than in any prior year in our data’s history, despite continuing to moderate from June’s peak growth rate. Driven by the combination of still-high listing prices and climbing mortgage rates, a typical monthly mortgage payment was 70% higher in September compared to a year ago. As a result of these cost pressures, recent home sales data indicates that some home shoppers are putting plans on pause, giving those who remained in the market more power to negotiate price reductions in September.

  • The U.S. median listing price was $427,000, up 13.9% year-over-year. However, listing prices declined from June’s peak median ($449,000) and annual growth rate (+18.2%).
  • Nationally, the share of homes having their price reduced grew to 19.5% from 11.0% last September, and also climbed higher than typical 2017 and 2019 levels (18.7%).
  • Among the 50 largest U.S. metros, southern and midwestern markets (+11.8%, on average) led the charge in yearly listing price growth in September, with the biggest increases registered in Miami (+28.3%), Memphis, Tenn. (+27.3%), and Milwaukee (+27.0%). Listing prices declined in just two markets: New Orleans (-2.3%) and Pittsburgh (-0.8%).
  • Western metros posted the biggest gains in the share of listings with price reductions, led by Phoenix (+32.3 percentage points), Austin, Texas (+27.4 percentage points) and Las Vegas(+20.0 percentage points).

Time on market remains higher than last year but is still historically-fast
In September, a typical home spent more days on market than last year, after first hitting that milestone just last month. As inventory continues to rise this fall compared to last year, homebuyers have relatively more breathing room to make decisions. This was true of September time on market trends nationwide, as well as in all four regions and in the vast majority of U.S. metros. However, compared to historical norms in prior years, homes continue to sell at a faster pace so far in 2022.

  • The typical U.S. home spent 50 days on the market in September, up seven days year-over-year compared to an annual increase of four days in August, which marked the first increase since the early days of COVID. Nonetheless, time on market was still 18 days faster than the typical September 2017-2019 pace.
  • Homes spent longer on the market than last year across regions: The West, up 10 days; the South, up six days; the Northeast, up five days; and the Midwest, up five days.
  • Relative to the national pace, time on market slowed similarly across the 50 largest U.S. metros, on average, up seven days year-over-year to a median of 43 days. Among these markets, the biggest yearly time on market increases were in Austin (+23 days), Raleigh (+23 days), Phoenix (+17 days) and Las Vegas (+17 days).
  • In September, homes sold more quickly than last year in just five metros: New Orleans (-9 days, again reflecting the impact of Hurricane Ida last year), Richmond, Va. (-6 days), Miami (-2 days), Atlanta (-1 days) and Houston (-1 day).

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Mortgage rates average 6.7% | North Salem Real Estate

 Freddie Mac today released the results of its Primary Mortgage Market Survey®, showing that the 30-year fixed-rate mortgage (FRM) averaged 6.70 percent.

“The uncertainty and volatility in financial markets is heavily impacting mortgage rates,” said Sam Khater, Freddie Mac’s Chief Economist. “Our survey indicates that the range of weekly rate quotes for the 30-year fixed-rate mortgage has more than doubled over the last year. This means that for the typical mortgage amount, a borrower who locked-in at the higher end of the range would pay several hundred dollars more than a borrower who locked-in at the lower end of the range.”

Khater continued, “The large dispersion in rates means it has become even more important for homebuyers to shop around with different lenders.”

News Facts

  • 30-year fixed-rate mortgage averaged 6.70 percent with an average 0.9 point as of September 29, 2022, up from last week when it averaged 6.29 percent. A year ago at this time, the 30-year FRM averaged 3.01 percent.
  • 15-year fixed-rate mortgage averaged 5.96 percent with an average 1.3 point, up from last week when it averaged 5.44 percent. A year ago at this time, the 15-year FRM averaged 2.28 percent.
  • 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 5.30 percent with an average 0.4 point, up from last week when it averaged 4.97 percent. A year ago at this time, the 5-year ARM averaged 2.48 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.

NOTE: Freddie Mac is making a number of enhancements to the PMMS to improve the collection, quality and diversity of data used. Instead of surveying lenders, the weekly results will be based on applications received from thousands of lenders across the country that are submitted to Freddie Mac when a borrower applies for a mortgage. Additionally, we will no longer publish fees/points or adjustable rates. The newly recast PMMS will be put in place in November 2022, and the weekly distribution will be Thursdays at 12 p.m. noon ET.

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.

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.

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eyeonhousing.org

Case Shiller prices rise only 16.1% | South Salem Real Estate

  • The 10-City composite rose 14.9% year over year, down from 17.4% in June.
  • The 20-City composite gained 16.1%, down from 18.7% in the previous month.
  • Tampa, Miami and Dallas saw the highest annual gains among the 20 cities in July, with increases of 31.8%, 31.7% and 24.7%, respectively.
A 'for sale' sign is displayed outside a single family home on September 22, 2022 in Los Angeles, California.

A ‘for sale’ sign is displayed outside a single family home on September 22, 2022 in Los Angeles, California.

U.S. home prices cooled in July at the fastest rate in the history of the S&P CoreLogic Case-Shiller Index, according to a report released Tuesday.

Home prices in July were still higher than they were a year ago, but cooled significantly from June gains. Prices nationally rose 15.8% over July 2021, well below the 18.1% increase in the previous month, according to the report.

The 10-City composite, which tracks prices in major metropolitan areas such as New York and Boston, climbed 14.9% year over year, down from 17.4% in June. The 20-City composite, which adds regions such as the Seattle metro area and greater Detroit, gained 16.1%, down from 18.7% in the previous month. July’s year-over-year gains were lower compared with June in each of the cities covered by the index.

“July’s report reflects a forceful deceleration,” wrote Craig J. Lazzara, managing director at S&P DJI in a release, noting the difference in the annual gains in June and July. The 2.3 percentage point “difference between those two monthly rates of gain is the largest deceleration in the history of the index.”

Tampa, Florida, Miami and Dallas saw the highest annual gains among the 20 cities in July, with increases of 31.8%, 31.7% and 24.7%, respectively. Washington, D.C., Minneapolis and San Francisco saw the smallest gains, but were still well above year-ago levels.

Another recent report from the National Association of Realtors showed home prices softening dramatically from June to July. Prices usually fall during that time, due to the strong seasonality of the housing market, but the decline was three times the average decline historically.

The share of homes with price cuts reached about 20% in August, the same as in 2017, according to Realtor.com.

“For homeowners planning to list, today’s market is significantly different than the one from even 3 weeks ago,” said George Ratiu, senior economist and manager of economic research at Realtor.com.

Home prices are dropping because affordability has weakened dramatically due to fast-rising mortgage rates. The average rate on the popular 30-year fixed mortgage started this year around 3%, but by June had briefly surpassed 6%. It remained in the high 5% range throughout July and is now edging toward 7%, making the average monthly payment about 70% higher than it was a year ago.

“As the Federal Reserve continues to move interest rates upward, mortgage financing has become more expensive, a process that continues to this day. Given the prospects for a more challenging macroeconomic environment, home prices may well continue to decelerate,” Lazzara said.

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cnbc.com

Northeast existing home sales fall 13.7% | Waccabuc Real Estate

Key Highlights

  • Existing-home sales decreased for the seventh straight month to a seasonally adjusted annual rate of 4.80 million. Sales tailed off 0.4% from July and 19.9% from the previous year.
  • The median existing-home sales price rose 7.7% from one year ago to $389,500.
  • After five successive monthly increases, the inventory of unsold existing homes dwindled to 1.28 million by the end of August, or the equivalent of 3.2 months at the current monthly sales pace.
EHS Housing Snapshot Infographic 09-21-2022

See and share this infographic.

WASHINGTON (September 21, 2022) – Existing-home sales experienced a slight dip in August, marking the seventh consecutive month of declines, according to the National Association of REALTORS®. Month-over-month sales varied across the four major U.S. regions as two regions recorded increases, one was unchanged and the other posted a drop. On a year-over-year basis, however, sales fell in all regions.

Total existing-home sales,1 https://www.nar.realtor/existing-home-sales, completed transactions that include single-family homes, townhomes, condominiums and co-ops, notched a minor contraction of 0.4% from July to a seasonally adjusted annual rate of 4.80 million in August. Year-over-year, sales faded by 19.9% (5.99 million in August 2021).

“The housing sector is the most sensitive to and experiences the most immediate impacts from the Federal Reserve’s interest rate policy changes,” said NAR Chief Economist Lawrence Yun. “The softness in home sales reflects this year’s escalating mortgage rates. Nonetheless, homeowners are doing well with near nonexistent distressed property sales and home prices still higher than a year ago.”

Total housing inventory2 registered at the end of August was 1,280,000 units, a decrease of 1.5% from July and unchanged from the previous year. Unsold inventory sits at a 3.2-month supply at the current sales pace – identical to July and up from 2.6 months in August 2021.

“Inventory will remain tight in the coming months and even for the next couple of years,” Yun added. “Some homeowners are unwilling to trade up or trade down after locking in historically-low mortgage rates in recent years, increasing the need for more new-home construction to boost supply.”

The median existing-home price3 for all housing types in August was $389,500, a 7.7% jump from August 2021 ($361,500), as prices ascended in all regions. This marks 126 consecutive months of year-over-year increases, the longest-running streak on record. However, it was the second month in a row that the median sales price retracted after reaching a record high of $413,800 in June, the usual seasonal trend of prices declining after peaking in the early summer.

Properties typically remained on the market for 16 days in August, up from 14 days in July and down from 17 days in August 2021. Eighty-one percent of homes sold in August 2022 were on the market for less than a month.

First-time buyers were responsible for 29% of sales in August, consistent with July 2022 and August 2021. NAR’s 2021 Profile of Home Buyers and Sellers – released in late 20214 – reported that the annual share of first-time buyers was 34%.

All-cash sales accounted for 24% of transactions in August, the same share as in July, but up from 22% in August 2021.

Individual investors or second-home buyers, who make up many cash sales, purchased 16% of homes in August, up from 14% in July and 15% in August 2021.

Distressed sales5 – foreclosures and short sales – represented approximately 1% of sales in August, essentially unchanged from July 2022 and August 2021.

According to Freddie Mac, the average commitment rate(link is external) for a 30-year, conventional, fixed-rate mortgage was 5.22% in August, down from 5.41% in July. The average commitment rate across all of 2021 was 2.96%.

Realtor.com®‘s Market Trends Report(link is external) in August shows that the largest year-over-year median list price growth occurred in Miami (+33.4%), Memphis (+25.8%) and Milwaukee (+25.0%). Phoenix reported the highest increase in the share of homes that had their prices reduced compared to last year (+30.9 percentage points), followed by Austin (+24.8 percentage points) and Las Vegas (+24.4 percentage points).

Single-family and Condo/Co-op Sales

Single-family home sales decreased to a seasonally adjusted annual rate of 4.28 million in August, down 0.9% from 4.32 million in July and down 19.2% from the previous year. The median existing single-family home price was $396,300 in August, up 7.6% from August 2021.

Existing condominium and co-op sales were recorded at a seasonally adjusted annual rate of 520,000 units in August, up 4.0% from July and down 24.6% from one year ago. The median existing condo price was $333,700 in August, an annual increase of 7.8%.

“In a sense, we’re seeing a return to normalcy with the homebuying process as it relates to home inspections and appraisal contingencies, as those crazy bidding wars have essentially stopped,” said NAR President Leslie Rouda Smith, a REALTOR® from Plano, Texas, and a broker associate at Dave Perry-Miller Real Estate in Dallas. “In an ever-changing market, REALTORS® help consumers successfully manage the complexities of buying or selling homes.”

Regional Breakdown

Existing-home sales in the Northeast grew 1.6% from July to an annual rate of 630,000 in August, down 13.7% from August 2021. The median price in the Northeast was $413,200, an increase of 1.5% from the previous year.

Existing-home sales in the Midwest fell 3.3% from the prior month to an annual rate of 1,160,000 in August, retreating 15.9% from August 2021. The median price in the Midwest was $287,900, up 6.6% from the previous year.

At an annual rate of 2,130,000 in August, existing-home sales in the South were identical to July but down 19.3% from one year ago. The median price in the South was $356,000, an increase of 12.4% from August 2021.

Existing-home sales in the West expanded 1.1% compared to last month to an annual rate of 880,000 in August, down 29.0% from this time last year. The median price in the West was $602,900, a 7.1% increase from August 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.

Mortgage rates average 6.29% | Cross River 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 6.29 percent.

“The housing market continues to face headwinds as mortgage rates increase again this week, following the 10-year Treasury yield’s jump to its highest level since 2011,” said Sam Khater, Freddie Mac’s Chief Economist. “Impacted by higher rates, house prices are softening, and home sales have decreased. However, the number of homes for sale remains well below normal levels.”

News Facts

  • 30-year fixed-rate mortgage averaged 6.29 percent with an average 0.9 point as of September 22, 2022, up from last week when it averaged 6.02 percent. A year ago at this time, the 30-year FRM averaged 2.88 percent.
  • 15-year fixed-rate mortgage averaged 5.44 percent with an average 1.0 point, up from last week when it averaged 5.21 percent. A year ago at this time, the 15-year FRM averaged 2.15 percent.
  • 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 4.97 percent with an average 0.4 point, up from last week when it averaged 4.93 percent. A year ago at this time, the 5-year ARM averaged 2.43 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.

NOTE: Freddie Mac is making a number of enhancements to the PMMS to improve the collection, quality and diversity of data used. Instead of surveying lenders, the weekly results will be based on applications received from thousands of lenders across the country that are submitted to Freddie Mac when a borrower applies for a mortgage. Additionally, we will no longer publish fees/points or adjustable rates. The newly recast PMMS will be put in place in November 2022, and the weekly distribution will be Thursdays at 12 p.m., noon, ET.

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.

Mortgage refinancings drop 83% | Katonah Real Estate

Mortgage applications decreased 0.8% last week from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending Sept. 2, 2022, the MBA announced on Sept. 7. The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances increased to 5.94% last week.

The Market Composite Index, a measure of mortgage loan application volume, decreased 0.8% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 2% compared with the previous week. The Refinance Index decreased 1% from the previous week and was 83% lower than the same week one year ago. The seasonally adjusted Purchase Index decreased 1% from one week earlier. The unadjusted Purchase Index decreased 3% compared with the previous week and was 23% lower than the same week one year ago.

“Mortgage rates moved higher over the course of last week as markets continued to re-assess the prospects for the economy and the path of monetary policy, with expectations for short-term rates to move and stay higher for longer,” said Mike Fratantoni, MBA Senior Vice President and Chief Economist.

He continued, “With the 30-year fixed rate rising to the highest level since mid-June, application volumes for both purchase and refinance loans dropped. Recent economic data will likely prevent any significant decline in mortgage rates in the near term, but the strong job market depicted in the August data should support housing demand. There is no sign of a rebound in purchase applications yet, but the robust job market and an increase in housing inventories should lead to an eventual increase in purchase activity.”

The refinance share of mortgage activity increased to 30.7% of total applications from 30.3% the previous week. The adjustable-rate mortgage (ARM) share of activity remained unchanged at 8.5% of total applications.

The FHA share of total applications increased to 13.3% from 13.0% the week prior. The VA share of total applications decreased to 10.8% from 11.1% the week prior. The USDA share of total applications remained unchanged at 0.6% from the week prior.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($647,200 or less) increased to 5.94% from 5.80%, with points increasing to 0.79 from 0.71 (including the origination fee) for 80% loan-to-value ratio (LTV) loans. The effective rate increased from last week.

The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $647,200) increased to 5.46% from 5.32%, with points decreasing to 0.4 from 0.48 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.

The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 5.61% from 5.57%, with points decreasing to 1.06 from 1.09 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.

The average contract interest rate for 15-year fixed-rate mortgages increased to 5.23% from 5.10%, with points increasing to 0.86 from 0.82 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.

The average contract interest rate for 5/1 ARMs increased to 4.81% from 4.78%, with points increasing to 0.88 from 0.61 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.

The survey covered more than 75% of all U.S. retail residential mortgage applications and has been conducted weekly since 1990. Respondents included mortgage bankers, commercial banks, and thrifts.

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realestateindepth.com/news/

Mortgage rates average 5.89% | Bedford Hills Real Estate

Freddie Mac today released the results of its Primary Mortgage Market Survey, showing that the 30-year fixed-rate mortgage (FRM) averaged 5.89 percent.

“Mortgage rates rose again as markets continue to manage the prospect of more aggressive monetary policy due to elevated inflation,” said Sam Khater, Freddie Mac’s Chief Economist. “Not only are mortgage rates rising but the dispersion of rates has increased, suggesting that borrowers can meaningfully benefit from shopping around for a better rate. Our research indicates that borrowers could save an average of $1,500 over the life of a loan by getting one additional rate quote and an average of about $3,000 if they get five quotes.”

News Facts

30-year fixed-rate mortgage averaged 5.89 percent with an average 0.7 point as of September 8, 2022, up from last week when it averaged 5.66 percent. A year ago at this time, the 30-year FRM averaged 2.88 percent.
15-year fixed-rate mortgage averaged 5.16 percent with an average 0.8 point, up from last week when it averaged 4.98 percent. A year ago at this time, the 15-year FRM averaged 2.19 percent.
5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 4.64 percent with an average 0.4 point, up from last week when it averaged 4.51 percent. A year ago at this time, the 5-year ARM averaged 2.42 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.

Case-Shiller index shows continued deceleration for home price growth in June | Bedford Real Estate

In San Jose, Calif., the typical homeowner gains $99.81 in equity per working hour.

The S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index, which covers all nine U.S. census divisions, reported an 18% annual gain in June, down from 19.9% in May. The 10-City Composite and 20-City Composite annual indices both posted increases lower than the previous month in June, at 17.4% and 18.6% year-over-year growth, respectively.

“Year-over-year deceleration in home price growth, like we saw in today’s home price report, needs to keep happening for the coming months,” says Zonda chief economist Ali Wolf. “The rapid rise in home prices over the past couple years combined with higher mortgage rates have pushed buyers to their limit. Slowing home price growth is critical for a more healthy and sustainable housing market.”

According to the index, Tampa, Florida (+35%), Miami (+33%), and Dallas (+28.2%) reported the highest year-over-year gains in home prices among the 20 cities analyzed in June. Only one of the 20 cities, Chicago, reported higher price increases in the year ending June 2022 compared with the year ending May 2022.

“Relative to May’s 19.9% gain (and April’s 20.6%), prices are clearly increasing at a slower rate,” says Craig Lazzara, managing director at S&P Dow Jones Indices. “This pattern is consistent with our 10-City Composite (up 17.4% in June vs. 19.1% in May) and our 20-City Composite (up 18.6% in June vs. 20.5% in May). It’s important to bear in mind that deceleration and decline are two entirely different things, and that prices are still rising at a robust clip.”

According to Lazzara, June’s growth rate for all three composite indices are “at or above the 95th percentile of historical experience.” The 10.6% year-to-date increase in the National Composite index is the fifth largest increase during the same period in the last 35 years.

Before seasonal adjustment, the U.S. National Index posted a 0.6% month-over-month increase in June, while the 10-City and 20-City Composites both posted increases of 0.4%. Thirteen cities reported price increases before and after seasonal adjustments on a month-over-month basis.

“We’ve noted previously that mortgage financing has become more expensive as the Federal Reserve ratchets up interest rates, a process that continued as our June data were gathered,” Lazzara says. “As the macroeconomic environment continues to be challenging, home prices may well continue to decelerate.”

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builderonline.com/data-analysis/