Author: Brad Beckett

The U.S. government is reporting that sales of new single-family houses in July, 2019 were 12.8% lower than June’s revised rate but were 4.3% higher than in July, 2018.  The median sales price of new houses sold in July was $312,800 and the average sales price was $388k.  The seasonally-adjusted estimate of new houses for sale at the end of July was 337k representing a 6.4 months supply at the current sales rate. Click here to read the full report at the U.S. Census Bureau.

Did you know that a Trader Joe’s or an ALDI near your property might increase its ROI?  This is according to ATTOM Data’s recent Grocery Store Battle analysis that looked at how living near a Trader Joe’s, a Whole Foods or an ALDI can affect your home’s value – or flipping ROI!    Interestingly, for investors they found that properties near an ALDI are an investor’s cornucopia with an average gross flipping ROI of 62%, compared to those near a Whole Foods which had an average gross flipping ROI of 35% and Trader Joe’s at 31 percent. The average gross…

According to the latest Mortgage Bankers Association (MBA) National Delinquency Survey, mortgage delinquencies increased 11 basis points from the first quarter of 2019 and 17 basis points from one year ago.  The delinquency rate for mortgage loans on one-to-four-unit residential properties increased to a seasonally adjusted rate of 4.53% of all loans outstanding at the end of the second quarter of 2019.  The foreclosure inventory rate came in at 0.9%  at the end of Q2, which was the lowest since the fourth quarter of 1995.  In addition, they point out that on a year-over-year basis, total mortgage delinquencies increased for…

Have you ever thought about turning obsolete buildings into climate controlled self-storage?  That subject was tackled in a recent episode of the Rental Property Owner & Real Estate Investor podcast.   Host Brian Hamrick interviews Scott Krone, the managing partner of Coda Management Group, a company that teams up with investors to purchase and convert undervalued warehouse space into climate controlled Self-Storage Facilities.  Scott explains how the adaptive re-use of commercial space can be turned into an asset class that is very attractive & extremely profitable.  He explains the process of converting old warehouse space into self-storage, including his typical…

A recent report from the Wall Street Journal (reposted by Realtor.com) says that U.S. mortgage debt reached a record in Q2, exceeding a peak last seen in 2008.   Data from the Federal Reserve Bank of New York show that mortgage balances were up $162 billion to $9.406 trillion.  The previous high water mark was $9.294 trillion back in Q3 of 2008. The article also pointed out that total household debt has been on the rise since mid-2013 rising 1.4% in the first quarter to $13.86 trillion, marking the 20th consecutive quarter of increases.  Indeed… “The big picture is that when…

The Tax Foundation is reporting that in FY 2016, property taxes accounted for 31.5% of total state & local tax collections in the U.S – more than any other source of tax revenue.  However, they do rightly point out that property tax collections vary widely per state along with their rates.  And, as we’ve posted on before, some states rely heavily on an income tax (versus property taxes) and some don’t even have one at all.  With that all in mind, the Tax Foundation ran the numbers to see the places that collect the most in property taxes.  So who…

Local Market Monitor, a National REIA preferred vendor, recently released their National Economic Outlook for August, 2019 where they share their thoughts on developments taking place in the U.S. economy. National Economic Outlook – August 2019 August 15, 2019 By Ingo Winzer The data on Gross Domestic Product for the second quarter are as unenlightening as always. The 2.1 percent annualized growth over the first quarter was a combination of heavy consumer spending, cuts in company inventories, a drop in exports, and strong government spending. The previous quarter it was poor consumer spending, higher inventories, and higher exports. Go figure. The…

According to the latest Yardi Matrix, U.S. multifamily rents rose in July, coming in at $1,469 with year-over-year growth increasing to 3.4% (up 10 basis points from June).  Yardi says multifamily rents continued their impressive and consistent performance but cautions that there is potential for market volatility and slower growth.  Indeed… Click here to read the full report at Yardimatrix.com.

The U.S. Department of Housing and Urban Development (HUD) recently announced a proposed rule amending HUD’s interpretation of the Fair Housing Act’s disparate impact standard.  National REIA has been following this issue closely and will work to keep members updated as this proposal moves forward.  Below is the media release issued by HUD on 8/16/19. HUD PROPOSES REVISED ‘DISPARATE IMPACT’ RULE New proposed disparate impact rule more appropriately reflects 2015 Supreme Court ruling WASHINGTON – The U.S. Department of Housing and Urban Development (HUD) today published a proposed rule to amend the HUD interpretation of the Fair Housing Act’s disparate…

The U.S. government is reporting that privately‐owned housing starts in July were at a seasonally adjusted annual rate of 1,191,000, which is 4% lower than July’s revised estimate.  Single‐family housing starts in July were at a rate of 876k, which is 1.3% higher than June’s revised figure.   July’s rate for units in buildings with five units or more was 303k.  Privately‐owned housing units authorized by building permits in July were at a seasonally adjusted annual rate of 1,336,000, which is 8.4% above the June’s revised rate.  However, it is 1.5% higher than July, 2018. Single‐family authorizations were at a rate…