Newsletter - 11/28/2022
Week of November 21, 2022 in Review
A smorgasbord of news was released ahead of Thanksgiving, including an update on new home sales, jobless claims, the Fed and recession chatter. Read on for these stories:
- New Home Sales Better Than Expected in October
- Initial Jobless Claims Hit a Three-Month High
- Will the Fed Slow Its Pace of Rate Hikes?
- Should Strong Retail Sales Quiet Recession Chatter?
New Homes Sales Better Than Expected in October
New Home Sales, which measure signed contracts on new homes, rose 7.5% in October to a 632,000-unit annualized pace, coming in much better than the 5.5% decline that was expected. There was a negative revision to September’s sales that made…
Newsletter - 11/21/2022
Week of November 14, 2022 in Review
Home sales and home construction cooled in October, while wholesale inflation data gave Bonds a boost. Here are the key headlines.
- Low Housing Inventory Remains Supportive of Home Prices
- Construction of Homes Continues to Slow
- Builder Confidence Drops for Eleventh Consecutive Month
- Wholesale Inflation Cooler Than Estimated
- Continuing Jobless Claims Continue to Creep Higher
Low Housing Inventory Remains Supportive of Home Prices
Existing Home Sales fell 5.9% from September to October to a 4.43 million unit annualized pace, per the National Association of Realtors (NAR). This was slightly stronger than expectations looking for a 7% decline. Sales…
What a difference just a few months can make. As the year comes to a close, the red-hot housing market has been brought to its knees by soaring mortgage interest rates.
- “Seattle, Phoenix, San Francisco could all see 20% price drops.”
- Wolf, of Zonda, expects prices could fall by 15% nationally over the next year
- “A really important thing to remember is housing is cyclical,” says Wolf. “We came from a massive run-up in prices, sales, demand in the housing market, and now it’s contracting. This is not new.”
- Nationally, home list prices rose 40.6% in just over two years’ time
- So, a 10%, 15%, or even 20% drop over a two-year span isn’t as significant as it might seem at first.
Newsletter - 11/14/2022
Week of November 7, 2022 in Review
October brought cooler than expected consumer inflation, which boosted both Stocks and Bonds when the data was reported on Thursday. Meanwhile, Jobless Claims continue to tick higher. Read on for these key headlines and more.
- Consumer Inflation Cooler Than Estimated in October
- Inflation Remained a Top Problem for Many Small Businesses Last Month
- Rising Continuing Jobless Claims Suggests Slower Pace of Hiring
- The Scoop on Key Auctions
Consumer Inflation Cooler Than Estimated in October
The Consumer Price Index (CPI), which measures inflation on the consumer level, showed that inflation increased by 0.4% in October, coming in lower than estimates. On an…
Newsletter - 11/07/2022
Week of October 31, 2022 in Review
Even though the Fed hiked rates as expected, the markets were volatile after comments from Fed Chair Jerome Powell. In the labor sector, there was more to job growth in October than the headlines suggested.
- Fed Hikes Rates as Expected, Yet Press Conference Roils Markets
- Headline Jobs Number Not What It Seems
- Private Sector Payrolls Beat Expectations, But Hiring “Not Broad Based”
- Continuing Jobless Claims Continue to Rise
- Home Price Forecasts Still Meaningful for Wealth Creation
Fed Hikes Rates as Expected, Yet Press Conference Roils Markets
As expected, the Fed hiked its benchmark Fed Funds Rate by an aggressive 75 basis points at its meeting last…
“As for the interest rate ‘elephant in the room,’ the time has come for buyers and sellers to revisit financing methods from previous markets,”
- “Mortgage programs are offering below-market rates with various buydown options – something we have not seen for years!”
- Buydowns, adjustable-rate loans, carrying back second deeds of trust, and closing cost allowances as possible options.
- Sellers need to be “laser focused on price and condition
- “What your neighbor’s house sold for six months ago has very little bearing on your home’s value today.”
- This is the new normal until interest rates go down.”
KIRKLAND, Washington (November 7, 2022) – Brokers with Northwest Multiple Listing…
Newsletter - 10/31/2022
Week of October 24, 2022 in Review
Home sales continued to cool in September while consumer inflation needs to cool further. Find out more about these stories, along with the latest news on home price appreciation, GDP and Jobless Claims.
- Consumer Inflation Needs Cooling
- Signed Contracts on Existing Homes Fall for Fourth Consecutive Month
- After August’s Uptick, September New Home Sales Fall
- Annual Home Price Appreciation Declines But Remains Strong
- GDP Turns Positive in the Third Quarter … For Now
- Latest Jobless Claims Signal Slower Pace of Hirings
Consumer Inflation Needs Cooling
The Fed’s favorite measure of inflation, Personal Consumption Expenditures (PCE), showed that headline…
It’s the witching month once again, and as Halloween approaches, now’s the time to tell tales of ghosts, goblins, and ghouls. But some scary stories aren’t fake — and real estate professionals have some of the creepiest real-life anecdotes.
Anything can happen when you’re out in the field, and we’ve heard horrifying tales of vacant properties where “someone’s home,” ghostly figures in listing photos, and ghastly encounters during home tours.
- I had a first-time home buyer with a limited budget, and we found a small Cape Cod that was completely redone from top to bottom and being offered at an incredible price. This home showed like brand-new: new drywall, doors, windows, roof, carpeting, kitchen, and baths. My clients were so excited as
2022 Study: More Than Half of Buyers Would Purchase a Haunted Home in a Competitive Market October 10, 2022 by Jaime Dunaway-Seale
As Americans spend less time at home in 2022, fewer people believe they’ve lived in a haunted house. Among those who have not shared a house with ghosts, however, two-thirds (67%) believe it’s possible for a home to be haunted.
Read on to discover how Americans’ beliefs in the supernatural have changed and how that affects their home-buying preferences in a still-competitive market.
REAL HAUNTED HOUSE STATISTICS
- About one-fourth of Americans (24%) believe they’ve lived in a real haunted house, down from the 44% who said the same in 2021, when they spent more time at home during the