Author: Brad Beckett

According to recent report from Zillow, renters spent a cumulative of $4.5 trillion on rent during the 2010s.  In fact, they point out that in 2019, renters spent more than $512 billion on housing – the most of any year in this decade. Not surprising, metro New York renters spent the most in 2019 and throughout the decade, followed by Los Angeles and San Francisco. “While the total amount of rent paid has increased each year this decade, that trend is by no means immutable,” said Zillow Group Economist Joshua Clark. “With rental appreciation expected to decrease in the coming…

One of the key drivers of a home’s sale price is the quality of the local school system.  Interestingly, recent analysis from the National Association of Realtors illustrates the positive relationship between public school enrollment and rising house prices.  They say that over the last 7 years, counties with increased public school enrollment  experienced higher price appreciation, than those that did not.  The graph below shows the positive relationship between public school enrollment and housing prices.  Indeed… “Across the country, hallways and classrooms are full of activity. More than three-fourths of the school-aged population, 48.2 million students, were enrolled in…

According to EllieMae’s latest Origination Insight Report, interest rates rose for the first time in 2019, increasing to 3.97%, up from 3.94% in October.  In addition, the percentage of adjustable rate mortgages also increased for the first time in 2019, rising from 5.0% in October to 5.3%  in November. The percentage of refinances dropped back below 50%, falling from 51% in October to 49% in November. “Interest rates rose for the first time in 2019, and as expected we are seeing the percentage of adjustable rate mortgages rise and the percentage of refinances taper off,” said Jonathan Corr, President and…

Just before slipping (slithering?) out of town for their annual Christmas break, Congress passed (and subsequently signed by the President) the $1.4 trillion Further Consolidated Appropriations Act that will fund the federal government for the rest of FY 2020.  However, sneakily tucked into that measure was something that will cause investors to take notice:  the SECURE Act (Setting Every Community Up for Retirement Enhancement).   The bill had already passed the House back in April, 2019 but had been languishing in the Senate until it was amended into this fast-tracked funding bill. National REIA partner Equity Trust pointed out that “the…

The National Association of Realtors is reporting that existing home sales were down 1.7% in November, however both the Northeast and Midwest regions both reported growth.  The median existing-home price for all housing types was $271,300, up 6.2% from November, 2018 – marking 93 straight months of year-over-year gains.  Total inventory at the end of November was 1.64 million units, down approximately 7.3% from October and down 5.7% from one year ago.  Total unsold inventory was at a 3.7-month supply at the current sales pace. Properties remained on the market for around 38 days in November. Lawrence Yun, NAR’s chief…

The U.S. government is reporting that privately‐owned housing starts in November were at a seasonally adjusted annual rate of 1,365,000.  This figure is 3.2% above October’s revised estimate of and is 13.6% higher than November.  Single‐family housing starts in November were at a rate of 938k, which is 2.4% higher than October’s revised figure.  November’s rate for units in buildings with five units or more was 404k.  Privately‐owned housing units authorized by building permits in November were at a seasonally adjusted annual rate of 1,482,000.  This figure is 1.4% higher than October’s revised rate and is 11.1% higher than November,…

If you haven’t got your Christmas shopping done by now you’d better get cracking! In the meantime, here’s a handy graphic about the origins of Santa Claus and how the current incarnation of him came to be.  We truly hope you have a safe & happy holiday season as well as a Merry Christmas!  And of course, Happy Friday!!! Hat tip to degreeresearch.org.

End of year statistics from the U.S. Department of Labor’s Occupational Safety and Health Administration’s (OSHA) showed a significant increase in the number of inspections and a record amount of compliance assistance to further their mission of workplaces free of hazards.  Under the Occupational Safety and Health Act of 1970, employers are responsible for providing safe and healthful workplaces for their employees. OSHA’s role is to help ensure these conditions for America’s working men & women by setting and enforcing standards, and providing training, education and assistance. The full release is listed below: OSHA Enforcement and Compliance Increases in 2019…

As part of their recent 2020 State Business Tax Climate Index, the Tax Foundation calculated state & local taxes on real and personal property, net worth, and asset transfers.  The property tax component accounted for 16.6% of each state’s overall Index score.  Taking that data, they put together a ranking of all 50 states to see which state had the best business tax climate and which had the worst. They rightly point out that property taxes impose one of the most substantial state & local tax burdens most businesses face.  Indeed… “Property taxes matter to businesses for several reasons. First,…

According to the latest CoreLogic Homeowner Equity Report, U.S. homeowners with mortgages (64% of all properties) have seen their equity increase by nearly $457 billion since Q3 2018 – representing a 5.1% increase, year over year.  In addition, the total number of mortgaged residential properties with negative equity decreased 4% from Q2 2019 to 2 million homes, or 3.7% of all mortgaged properties.  The CoreLogic Homeowner Equity Insights report, is published quarterly with coverage at the national, state and Core Based Statistical Area (CBSA)/Metro level and includes negative equity share and average equity gains. The report features an interactive view…