Rising mortgage rates and inflation in the wider economy caused housing demand to drop sharply in June, forcing home prices to cool down.Home prices are still higher than they were a year ago, but the gains slowed at the fastest pace on record in June, according to Black Knight, a mortgage software, data and analytics firm that began tracking this metric in the early 1970s. The annual rate of price appreciation fell two percentage points from 19.
While home prices are still reportedly increasing, to the dismay of many aspiring buyers, experts believe this trend will not continue forever. In fact, there are signs that the housing market is already slowing down, as sales for new and existing homes have started to drop.Dennis McGill, director of research at housing market research and analysis firm Zelman & Associates, told Newsweek that he believes that the housing market
WASHINGTON (Reuters) - The U.S. Treasury said on Wednesday that it will allow state, local and tribal governments more flexibility to use COVID-19 rescue funds to boost the supply of affordable housing, including permission to issue direct long-term project loans.The changes for the $350 billion State and Local Fiscal Relief Fund program are aimed at filling a financing gap for affordable housing projects, allowing them to be more easily develope
Housing affordability is becoming a bigger obstacle in the housing market. Homes were 80% more expensive in June than they were in 2019. Read more from NAR’s latest housing report. Pending home sales fell in June as surging mortgage rates and record-high home prices are making home buyers more cautious in moving forward. The median existing-home price hit an all-time high in June ($416,000). Homes were 80% more expensive in June than they were
NEW YORK, July 25 (Reuters) - With the Federal Reserve set to jack up interest rates again this week, Wall Street is on alert for signs of recession, and recent housing data suggests the sector may be a harbinger of a cooling economy.Homebuilder stocks, sales and mortgage data show that previously booming housing market is falling back to earth amid a broader economic cooldown.Surging mortgage rates, exacerbated by Fed hikes this year, have begun
WASHINGTON, July 26 (Reuters) - Sales of new U.S. single-family homes dropped to their lowest level in just over two years in June, the latest sign that rising mortgage rates, combined with higher prices, were dampening demand for housing.New home sales tumbled 8.1% to a seasonally adjusted annual rate of 590,000 units last month, the lowest level since April 2020, the Commerce Department said on Tuesday. May's sales pace was revised down to 642,
As the seller’s market wanes, negotiations can include mortgage-rate buydowns, seller financing and repair credits. Scott Weber and his real estate agent had a focused and disciplined strategy for finding his family a good deal in the city of La Verne.All hands-on deck. Scour the market for homes matching his family’s wants and needs. Only make offers on properties sitting on the market for at least 30 days. Make low offers.Just four sho
The Federal Reserve is expected to raise its key benchmark rate this coming week. What impact could it have on mortgage rates? Mortgage rates rose slightly this week ahead of the Federal Reserve’s highly anticipated meeting next Tuesday, when it is expected to increase its benchmark rate by up to a full percentage point. What impact could that have on mortgage rates ahead?“Even though the upcoming rate hike will be more aggressive, it’s exp
Nearly every region of the country saw a major decline in real estate transactions last month as more buyers are priced out of the market, new NAR data shows. Prices for existing homes climbed to a record high in June, continuing at a breakneck pace with double-digit-percentage annual increases. The median price for an existing home rose to $416,000 last month, up 13.4% compared to a year earlier, the National Association of REALTORS® reported W
Danielle Hale on home prices, inventory and more. If you feel a bit of whiplash hearing the varying takes on the housing market right now, you’re not alone. Home prices are still rising — but not as much! Mortgage rates are generally up — but recently they’ve held below 6%! (See the lowest mortgage rates you can get now here.) There are bidding wars galore — but not everywhere! That’s why MarketWatch Picks created a series w
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