The Mortgage Bankers Association showed mortgage applications in the US in the third week of May slumping 4.6%. The 30-year fixed rate increased to 6.69 percent, the highest level since March. The Refinance Index decreased 5 percent from the previous week and was 44 percent lower than the same week one year ago. Homeowners still have reduced incentive as borrowers face an ongoing affordability challenge and a low inventory problem. Mortgage Bankers Association for the week ending May 19, 2023. “Since rates … Continue reading “US Mortgage Applications Fall 4.6% With Mortage Rates Highest Since March”
US Mortgage Applications Jump 6.3% With Refinancing Applications Surging 10%
The Mortgage Bankers Association showed mortgage applications in the US in the first week of May jumped 6.3%. Applications to refinance a home loan surged 10% and those applying to buy a home rose 4.8%. The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($726,200 or less) dropped by 2bps to 6.48%, the lowest in three weeks, still homeowners still have reduced incentive as borrowers face an ongoing affordability challenge and a low inventory problem. Mortgage Bankers Association … Continue reading “US Mortgage Applications Jump 6.3% With Refinancing Applications Surging 10% “
US New Home Sales Rose 9.6% in March Helped by Tight Supply of Existing Homes for Sale
New home sales increased 9.6% month-over-month in March to a seasonally adjusted annual rate of 683,000 units (consensus 630,000) from a downwardly revised 623,000 (from 640,000) in February. New home sales activity is being helped by the tight supply of existing homes for sale. Sales activity edged up for the fifth time in the past six months, though revisions have been part of that. On a year-over-year basis, new home sales were down 3.4%. We have seen in the weekly … Continue reading “US New Home Sales Rose 9.6% in March Helped by Tight Supply of Existing Homes for Sale”
US Existing Home Sales Fell 2.4% In March, Inventory for Sale Extremely Tight
US existing home sales from the National Association of Realtors declined 2.4% month-over-month in March to a seasonally adjusted annual rate of 4.44 million (consensus 4.50 million) versus a downwardly revised 4.55 million (from 4.58 million) in February. Sales were down 22.0% from the same period a year ago. Inventory of existing homes for sale remains extremely tight, due partially to the strength of the labor market (and ability to work remotely) and affordability with mortgage rates. February was the … Continue reading “US Existing Home Sales Fell 2.4% In March, Inventory for Sale Extremely Tight”
US New Home Sales Rose 1.1% in February as Median Home Prices Bounce
New home sales increased 1.1% month-over-month in February to a seasonally adjusted annual rate of 640,000 units (consensus 650,000) from a downwardly revised 633,000 (from 670,000) in January. On a year-over-year basis, new home sales were down 19.0%. Sales activity edged up for the fourth time in the past five months, though revisions have been part of that. We have seen in the weekly mortgage applications reports that the pullback in mortgage rates spurred some renewed demand among home buyers. … Continue reading “US New Home Sales Rose 1.1% in February as Median Home Prices Bounce”
US Existing Home Sales Soar 14.5% In February, First Rise in Over Twelve Months
US existing home sales from the National Association of Realtors rose 14.5% month-over-month in February to a seasonally adjusted annual rate of 4.58 million (consensus 4.2 million) versus an unrevised 4.0 million in January. Existing home sales had fallen twelve straight months prior to February, the longest stretch since 1999, and the lowest level since November of 2010. Total sales in February were down .0% from one year ago. All regions experienced year-over-year declines. The median existing-home price for all housing types … Continue reading “US Existing Home Sales Soar 14.5% In February, First Rise in Over Twelve Months”
US New Home Sales Rose 7.2% in January as Median Home Prices Fall
New home sales in January rose +7.2% m/m vs. +0.7% estimate. Noticeably they were revised up to +7.2% in prior month (rev up from +2.3%). The median new home price fell by 0.7% y/y to $427,500: the first decline since August 2020. Months’ supply fell from 8.7 to 7.9. On a year-over-year basis, new home sales were down 19.4%. We have seen in the weekly mortgage applications reports that the pullback in mortgage rates spurred some renewed demand among home … Continue reading “US New Home Sales Rose 7.2% in January as Median Home Prices Fall”
US New Home Sales Rose 2.5% in December as Lower Mortgage Rates Spur Some Buying
New home sales increased 2.3% month-over-month in December to a seasonally adjusted annual rate of 616,000 units (consensus 614,000) from a downwardly revised 602,000 (from 640,000) in November. On a year-over-year basis, new home sales were down 26.6%. We have seen in the weekly mortgage applications reports that the pullback in mortgage rates has spurred some renewed demand among home buyers. Reality is though with rates over 6.2%, inflation high- and real-income lower affordability and supply pressures remain for many … Continue reading “US New Home Sales Rose 2.5% in December as Lower Mortgage Rates Spur Some Buying”
US Existing Home Sales fell 1.5% In December, Down for Eleventh Straight Month
US existing home sales from the National Association of Realtors fell 1.5% month-over-month in December to a seasonally adjusted annual rate of 4.02 million (consensus 4.20 million) versus an unrevised 4.43 million in November. That is the eleventh straight month that existing home sales have fallen, the longest stretch since 1999, and the lowest level since November of 2010. Total sales in December were down 34.0% from one year ago. All regions experienced year-over-year declines. The median existing-home sales price climbed … Continue reading “US Existing Home Sales fell 1.5% In December, Down for Eleventh Straight Month”
High Mortgage Rates Saw Cancellations Jump 68% for Homebuilder KB Homes in Q4
Homebuilder KB Homes reported worse than expected fiscal fourth quarter 2022 earnings after the market Wednesday. KBH missed EPS by $0.38 and also missed on revenues. Results were “sharply lower demand stemming from higher mortgage interest rates, inflation and other macroeconomic and geopolitical concerns.” Net orders decreased 80% yr/yr to 692. The company guided FY23 revenue inline. KBH shares were down 2.1% after hours. It has been a difficult time for home buyers and home builders alike with sliding home … Continue reading “High Mortgage Rates Saw Cancellations Jump 68% for Homebuilder KB Homes in Q4”