Home prices continue to rise increasing 1.9% from the previous quarter. According to the Federal Housing Finance Agency, May has marked the seventh consecutive quarterly price rise in the purchase-only, seasonally adjusted index rate. From the first quarter of 2012 to the first quarter of 2013, home prices have increased by 6.7%. The principal economist of FHFA, Andrew Leventis said, “the housing market has stabilized in many areas and homebuilding activity has strengthened in recent quarters.” More here
According HSH’s Weekly Mortgage Rates Radar, mortgage rates have inched up from last week. 30-year fixed-rate mortgages rose 0.07% from last week, averaging 3.68% this week while conforming 5/1 Hybrid Adjustable Rate Mortgage rates also jumped 3 basis points averaging 2.62%. The vice president of HSH.com, Keith Gumbinger said, “after reaching lows for the year just four weeks ago, and despite plenty of mixed economic signals, 30-year fixed mortgage rates have quickly moved back to near this year’s highs.” More here
The housing market continues to improve, helping many home-improvement retailers gain more revenue as more consumers invest in home projects. Home Depot Inc, the largest home improvement retail store in the United States posted their first-quarter profit showing their net income had increased by 18% to $1.23 billion. As home prices rise, more homeowners and homebuyers are gaining enough confidence to begin housing projects and spend more money on home improvements. More here
According to Fannie Mae’s economic outlook the economy is expected to grow as the year continues and the housing market improves. The housing market is expected to continue building the economy well into 2014, according to many experts. The chief economist for Fannie Mae, Doug Duncan said,”our May forecast predicts that the second half of 2013 will be a little stronger than the first half, despite the slowdown during the past couple of months.” More here
According to Freddie Mac, mortgage rates have increased. A recent survey reported that mortgage lenders have been offering 30-year fixed-rate loans at an average of approximately 3.51% showing signs of a more stable economy. Consumer retail sales grew in April when many experts had forecasted a decline in retail sales and mortgage delinquencies continued to fall. Additionally, 15-year fixed-rate mortgages averaged 2.69% this week and according to a study from Mortgage Grader brokerage, closed home loans used for purchase only jumped 15% from January 2013. More here
According to the National Association of Home Builders index, housing market confidence has increased 3 points from April to May averaging around 44 points. The chairman of the building association, Rick Judson said, “builders are noting an increased sense of urgency among potential buyers as a result of thinning inventories of homes for sale, continuing affordable mortgage rates and strengthening local economies.” Additionally, the current-sales index gained 4 points this month and future expectation of home sales also increased 1 point, reaching its highest average since early 2007. More here
Mortgage applications fell slightly last week from the previous week as home purchase filings and refinancing slowed down. According to the Mortgage Bankers Association, mortgage applications decreased by 7.3%, but experts suggest that many times after a boost in mortgage activity levels will drop slightly. Additionally, mortgage applications are still 10% higher than levels seen this time last year, proving that the housing market is still making strides toward recovery. Average 30-year fixed-rate mortgages with a conforming loan balance jumped .08% while the average 30-year fixed-rate mortgage with a jumbo loan balance increased .09% last week. More here
According to the National Association of Realtors, United States housing affordability has increased to historically high levels in 2013′s first quarter. 73.7% of new and existing homes sold in the first three months of the year were considered affordable for Americans earning a median income. Housing affordability is subject to change based on geological location and market size. Rick Judson, NAHB Chairman said, “thanks to very favorable mortgage rates and prices, housing affordability has remained quite high over the past four years.” More here
The housing market continues to recover and spread to more areas as home prices in many metropolitan cities experienced their largest gain year-over-year in over seven years. The median closing price has increased by 11.3% for existing single-family housing, averaging around $176,600 for the first quarter of 2013 according to the National Association of Realtors. Additionally, the median home prices posted for 150 metropolitan cities showed that 133 metros report continued annual gains this year. More here
According to Freddie Mac’s weekly survey, 35-year fixed mortgages increased from 3.35% to 3.42% this week. The housing market is gaining more strength as it marches further into 2013 with low mortgage rates, more home sales, and construction starts and completions on the rise. Additionally, 15-year fixed mortgages averaged around 2.61%. Low mortgage rates have encouraged many Americans to consider buying homes or refinance their existing loans. More here
