Citing data from the American Community Survey, The NAHB’s Eye on Housing says the median age of owner-occupied homes in the U.S. is 39 years. They say this aging housing stock is signaling a growing remodeling market, as older structures will need to add new amenities, and repair/replace older components. They also point out that residential construction continues to fall behind in the number of new homes built. Indeed… “New construction added nearly 5.4 million units to the national stock from 2010 to 2019, accounting for only 7% of owner-occupied housing stock in 2019. Owner-occupied homes constructed between 2000 and…
Author: Brad Beckett
Brad Beckett
Director of Education & Outreach, National Real Estate Investors Association
The Wall Street Journal is reporting (reposted on realtor.com) that mortgage applications fell to their lowest level in 22 years during the first week of June. They say this is another sign that the U.S. housing market is “coming back to Earth” after a red-hot, two-year stretch. Citing data from the Mortgage Bankers Association, they say mortgage applications dropped 6.5% in the week ending June 3 (the 4th consecutive week of declines) along with refinance & purchase activity falling 6% and 7%, respectively. In addition they report that the Federal Reserve Bank of Atlanta says a median American household needed…
According to the ATTOM Data’s Q2 2022 Vacant Property and Zombie Foreclosure Report, there were 1.3 million (1,304,007) residential properties in the United States sitting vacant, representing 1.3%, or one in 76 homes, across the nation. Taking a deep dive into that data reveals those zip codes with the highest zombie foreclosure rates among zips with at least 1k residential properties and 100 of them facing possible foreclosure. Interestingly, several zip codes are in Cleveland, Ohio. “The incidence of zombie-foreclosures tends to be higher in cases where the foreclosure process has dragged on for many months and sometimes even for…
According to the latest CoreLogic Home Price Insights (HPI) report, home prices nationwide, including distressed sales, increased 20.9% year-over-year in April. On a month-over-month basis, home prices increased by 2.6% in April compared with March. CoreLogic’s HPI Forecast predicts home prices will increase on a year-over-year basis by 5.6% from April 2022 to April 2023. “The record growth in home prices is a result of a scarcity of for-sale inventory coupled with eager buyers who want to purchase before mortgage rates go higher. Buyers who closed on their home in April had locked in their mortgage rate in February or…
On a recent episode of Real Estate Underground (Connecticut REIA), host Ed Matthews talks with Brendan Chisholm about his successful journey into real estate investing and how you don’t need a massive pile of cash to successfully invest in real estate. Indeed… “Go to college, they said. Get a good job and you’ll be all set, they said. Brendan Chisholm was where a lot of us were. He has a good education and a good job. He tried jumping into the stock market gambling machine and didn’t enjoy the ride. He soon realized he was looking for a more stable,…
The U.S. Bureau of Labor Statistics is reporting that the Consumer Price Index for All Urban Consumers (CPI-U) was up 1% in May, 2022. However, the all items index was up 8.6% for the 12 months ending in May – the largest 12-month increase since December, 1981. “The increase was broad-based, with the indexes for shelter, gasoline, and food being the largest contributors. After declining in April, the energy index rose 3.9 percent over the month with the gasoline index rising 4.1 percent and the other major component indexes also increasing. The food index rose 1.2 percent in May as…
According to the latest Yardi Matrix Multifamily Report, the average U.S. multifamily rents in May increased $19 to another all-time high of $1,680 (up 13.9% year-over-year). Yardi says multifamily rents continue to defy gravity…Indeed. “…Decelerating economic growth and concerns about gas prices and inflation have not eroded multifamily demand much nor slowed down the upward climb of rents…” Click here to read the full report at Yardimatrix.com.
When it comes time to sell that recent flip, or even just maintaining value and appearance, good curb appeal is essential. Today’s infographic from Keeping Current Matters reminds us that landscaping and small updates can go a long way in boosting your property’s curb appeal. As always, stay safe and have a Happy Friday!!! Hat tip to Keeping Current Matters.
What are the top U.S. cities for starter homes? The folks over at StorageCafe took a look at over 100 cities and ranked them across more than 20 factors including home values for 2-bedroom homes, 5-year sales activity involving properties averaging 1,700 square feet or less, mortgage rates, incomes and cost of living, to come up with the best areas and cities for first-time homebuyers. They define starter homes (aka entry-level homes) as being smaller and more affordable properties, and are often specifically targeted at first-time homebuyers. They are normally around 1,700 square feet or less, generally have 2 bedrooms,…
A recent report on Bankrate.com reminds us that the acronym BRRRR is not a signal that it’s cold, but rather a strategy that many investors may know well; Buy, Rehab, Rent, Refinance, Repeat. Bankrate says the BRRRR method requires some advanced-level real estate expertise, but the thinking behind it is simple: Increase the value of distressed or older properties to make them attractive enough to rent, then leverage that appreciation to continue acquiring more properties for more rental income. They say that, if done right, the BRRRR method is a pathway to collecting passive income and building a large portfolio…
