Author: Brad Beckett

We have had several posts about where Americans are moving and in what numbers, but a recent article in the Wall Street Journal (and then posted on Realtor.com) examines new data that suggest fewer Americans are moving to seek job opportunities.  According to data from the U.S. Census Bureau, 3.5 million people relocated for a new job in 2017.  That number is 10% lower than in 2015 and continues to trend lower as the population actually increases. “Experts cite a number of factors that in some periods have kept people in one place, including a depressed value for their home…

The U.S. Government is reporting that privately owned housing starts in July were at a seasonally adjusted annual rate of 1,168,000, which is 0.9% above June’s revised figure.  However, July’s number is 1.4% lower than July, 2017’s rate.  Single-family housing starts in July were at a rate of 862k, which is also 0.9% above June’s revised figure.  The 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 1,311,000, which is 1.5% above the June’s revised rate and is 4.2% higher…

According to New York Fed’s most recent Quarterly Report on Household Debt, Americans’ total household debt has risen for the past 16 quarters and the total is now $618 billion higher than the previous peak of $12.68 trillion, in Q3 of 2008.  In addition, overall household debt is now 19.2% above the post-financial-crisis low reached during Q2 of 2013. The report is based on data from the New York Fed’s Consumer Credit Panel, a nationally representative sample of individual- and household-level debt and credit records drawn from anonymized Equifax credit data.  The New York Fed also issued an accompanying blog…

Conventional Mortgage rates can be like a moving target (click here to see what they are today).  Failure to lock in that great rate of the moment might cost you thousands over the life of the loan.  Today’s infographic from Keeping Current Matters gives us a quick snapshot of the average interest rate and mortgage payments over the last four decades.  They also remind us that current rates are still well below the historic norm!  Happy Friday!!! Hat Tip to Keeping Current Matters.

Local Market Monitor, a National REIA preferred vendor, recently released their National Economic Outlook for August, 2018 where they share their thoughts on developments taking place in the U.S. economy.  Interestingly, they find “the high level of consumer spending a bit disturbing” and suspect it might have been built on borrowed money & credit cards. National Economic Outlook – August 2018 August 14, 2018 By Ingo Winzer I normally don’t pay much attention to the Gross Domestic Product. I’m not an economist and how you can accurately estimate the output of as large and complicated an economy as the US to…

Every area has them…..empty “big box” stores.  Whether they were a Walmart or a Kroger’s there’s usually one thing for certain;  they generally sit empty for a long time and are often eyesores to the community.  A recent article in Texas’ San Antonio Express-News discusses an unlikely use for these shuttered spaces (that has also generated some controversy) as detention centers for illegals. While this is certainly one way to repurpose a nonproducing asset, it was completely unforeseen: “According to a special warranty deed, Walmart placed restrictions on the property forbidding the space from being used as a grocery store,…

The American Society of Civil Engineers recently released their 2017 Infrastructure Report Card where they give an overall grade of D+ to America’s infrastructure.  The quadrennial report provides a comprehensive assessment of the nation’s 16 major infrastructure categories from the ASCE’s Infrastructure Report Card.  They use simple A-F grades (like a school report card) that examine current infrastructure conditions and needs, assigning grades and making recommendations to raise them.  As could be expected from a professional group of civil engineers, there is a whole lot of room for improvement.  Indeed… “Our nation is at a crossroads. Deteriorating infrastructure is impeding…

We have had several posts about rent control and its harmful unintended consequences, and now this:  The Wall Street Journal (as reposted by Realtor.com) is reporting that Freddie Mac (in a new twist in controlling rent increases) is launching a new program that will offer lower-cost financing to owners who agree to cap rent increases for the life of their loans.  While similar to “rent control” it differs dramatically in that it is a voluntary arrangement between the private owner and the lender.  The program launched in early August and is available nationwide.   Eligible properties start with at least 50% of…

According to a recent report from the NAHB’s Eye on Housing, the median age of owner-occupied homes was 37 years, which is 6 years more than it was just a few short years ago.  The NAHB attributes this to modest gains in residential construction over the past ten years.  We see it as an opportunity to fix-n-flip, especially in this tight market with low inventory driving up prices. “This aging housing stock signals a growing remodeling market, as old structures normally need to add new amenities, or repair/replace old components. Rising home prices also encourage home owners to spend more…

A new report from Trulia says that, nationwide, buying a home is 26.3% cheaper than renting.  Of course this all depends on the particular area, however their study also shows that for the first time in five years renting has come out best in two West Coast metros: San Jose and San Francisco, CA.  Both of these locales have soaring home values and flattened rents.  They also point out that in a few other areas (like Honolulu and Seattle) the savings from buying a home has dissipated, leaving home buying with a slight advantage. “To be sure, in most places,…