When a contract to buy a home is signed, the sale isn’t yet final. But most contract signings result in closed sales a few weeks later, which is why they’re considered a good indicator of where home sales numbers may be headed. The National Association of Realtors tracks contract signings each month with its Pending Home Sales Index. According to the most recent results, the index found contract signings down in December, falling 5.5 percent month-over-month after four consecutive months of gains. Lawrence Yun, … [Read more...]

According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates were up and down last week. Rates for 30-year fixed-rate loans with conforming balances were unchanged from one week earlier, while rates for loans backed by the Federal Housing Administration and 15-year fixed-rate loans fell. Rates for jumbo loans and 5/1 ARMs both increased. With rates relatively steady, demand for loans to buy homes was also flat, though refinance activity fell 7 percent. Joel Kan, MBA’s vice … [Read more...]

The most recent S&P Case-Shiller U.S. National Home Price Index found prices 3.8 percent higher than last year at the same time. The year-over-year gain was slightly better than the previous month’s annual increase of 3.6 percent. But despite the bump, Brian D. Luke, CFA, head of commodities, real & digital assets, says home price increases have slowed. “With the exception of pockets of above-trend performance, national home prices are trending below historical averages,” Luke said. “Markets in New York, … [Read more...]

Sales of newly built, single-family homes rose 3.6 percent in December, according to new numbers from the U.S. Census Bureau and the Department of Housing and Urban Development. The improvement pushed new home sales 6.7 percent higher than they were one year earlier and comes after an upward revision of November’s results. In other words, the new home market continues to make gains despite the seasonal patterns, elevated mortgage rates, and higher home prices which should be suppressing sales. That’s good news for … [Read more...]

New numbers from the National Association of Realtors show sales of previously owned homes rose 2.2 percent in December from one month earlier. The improvement pushed sales to their strongest pace since February 2024 and led to the largest year-over-year gain since June 2021. Regionally, sales increased everywhere but the Midwest, which saw a 1 percent month-over-month decline. Lawrence Yun, NAR’s chief economist, says existing-home sales have defied typical seasonal patterns. “Home sales in the final months of the … [Read more...]

The housing market is in a holding pattern, according to the latest forecast from Fannie Mae’s Economic and Strategic Research Group. Market conditions are improving – but slowly. As a result, home buyers remain hesitant even though price increases have calmed and there are more homes for sale. Mark Palim, Fannie Mae’s senior vice president and chief economist, says market conditions aren’t likely to change much this year but there is a silver lining. “Due to lock-in effect and affordability constraints, we … [Read more...]

According to the Mortgage Bankers Association’s Weekly Application Survey, average mortgage rates saw a slight decline last week from the week before. Rates were down for 30-year fixed-rate loans with both conforming and jumbo balances and loans backed by the Federal Housing Administration, while rates for 15-year fixed-rate loans were flat, and 5/1 ARMs saw a week-over-week increase. Mike Fratantoni, MBA’s senior vice president and chief economist, says demand for mortgage applications improved. “Mortgage … [Read more...]

Deciding how many bedrooms you’d like in your next home isn’t always just about your family’s sleeping arrangement. Bedrooms, after all, can be converted into many uses. Home offices, for example. Perhaps that’s why Americans now have more extra bedrooms than they’ve ever had before. A new report from the National Association of Realtors’ consumer website found the number of extra bedrooms in the U.S. hit 31.9 million in 2023. That’s more than four times the number of extra bedrooms reported in 1980. Back then, … [Read more...]

According to Fannie Mae’s most recent Home Price Index, home prices accelerated in the fourth quarter of 2024 after slowing the previous two quarters. The year-over-year acceleration was slight but highlights the delicate balancing act the housing market faces in 2025. Mark Palim, Fannie Mae’s senior vice president and chief economist, says the market is caught between competing factors. “The housing market in 2025 faces a difficult balance act, with a notable decline in mortgage rates likely needed to help unwind … [Read more...]

The National Association of Home Builders surveys builders each month to gauge their confidence in the market for newly built, single-family homes. Survey responses are scored on a scale where any number above 50 indicates more builders view conditions as good than poor. In January, the NAHB’s Housing Market Index rose one point from the previous month to 47. Robert Dietz, NAHB’s chief economist, says the market is facing offsetting factors. “NAHB is forecasting a slight gain for single-family housing starts in … [Read more...]