Author: Brad Beckett

Local Market Monitor, a National REIA preferred vendor, recently released their monthly National Economic Outlook where they share their thoughts on developments taking place in the U.S. economy. National Economic Outlook By Ingo Winzer March, 2023 The number of jobs in February was 2.9 percent higher than last year, normally an indicator of strong economic growth, but the increase was 3.3 percent in January, 3.5 percent in December. The rate of improvement is slowing down, which probably means that we’re still counting pandemic recovery jobs as new jobs, and we don’t really know how weak or strong the economy is.…

The National Association of Realtors is reporting that existing home sales were up 14.5% in February to a seasonally-adjusted annual rate of 4.58 million (down 22.6% year over year).  Total housing inventory at the end of February was 980k units, the same as January but up 15.3% from one year ago.  Unsold inventory sits at a 2.6-month supply at the current sales rate with properties remaining on the market for around 34 days.  The median existing-home price for all housing types in January was $363k, down 0.2% from one year ago.  The NAR said that February snapped a 12-month slide…

A recent report from the NAHB’s Eye on Housing says the market value of owner-occupied real estate decreased $0.07 trillion from $43.57 trillion in Q3 2022 to $43.50 trillion in Q4 2022.  The Eye on Housing says as home prices begin to decrease from pandemic highs, households’ real estate asset value fell for the first time since the first quarter of 2012.  In addition, Real estate secured liabilities of households’ balance sheets, i.e., mortgages, home equity loans, and HELOCs, increased over the fourth quarter from $12.36 trillion to $12.52 trillion, a 1.25% quarterly increase. Click here to read the full…

Bloomberg Law has reported that a federal judge in Texas has issued a preliminary injunction against the Biden administration’s waters of the US rule (aka WOTUS). However, the injunction only applies to the states of Texas and Idaho.  The injunction was issued on the day before the rule took effect for the rest of the country on Monday, March 20, 2023. The EPA and Army Corps’ interpretation of the Clean Water Act to include all interstate waters without “any limiting principle” raises “serious” federalism questions, [Judge] Brown wrote. “The rule is likely to irreparably harm Texas and Idaho for intruding…

According to the latest Yardi Matrix Multifamily Report, the average U.S. multifamily rents were $1,702 in February, the same as January’s figure.  Yardi says year-over-year growth continued its downward slide, and is now 4.8% nationally, down 70 basis points from the previous month and the lowest level in nearly two years. Click here to read the full report at Yardi.

The U.S. government is reporting that privately‐owned housing starts in February were at a seasonally adjusted annual rate of 1,450,000, which is 9.8% higher than January’s revised number but is 18.4% lower than one year ago.  February’s rate for units in buildings with five units or more was 608k.  Privately‐owned housing units authorized by building permits in February were at a seasonally adjusted annual rate of 1,524,000, which is 13.8% above January’s revised number.  Authorizations of units in buildings with five units or more were at a rate of 700k in February. Click here to read the full report at…

Today’s infographic from the Visual Capitalist ranks the economic output of the top 15 U.S. cities from New York City to Minneapolis, using data from the U.S. Bureau of Economic Analysis.   Interestingly, America’s metropolitan areas account for roughly 90% of U.S. economic output, however, they do point out that the economic center of gravity within the is shifting from traditional centers of power towards booming cities in the South & West. Hat tip to the Visual Capitalist.

The U.S. Bureau of Labor Statistics is reporting that the Consumer Price Index for All Urban Consumers (CPI-U) was up 0.4% in February, 2023.  The all items index was up 6% for the 12 months ending in February.  Interestingly, the BLS says The index for shelter was the largest contributor to the monthly all items increase, accounting for over 70% of the increase. Click here to read the full report at the Bureau of Labor Statistics.

It might be a little apropos considering the developing banking crisis as we post this;  a recent report from Bankrate.com says an uncertain economy is affecting how Americans are able to save for emergencies. In fact, they say that nearly half (49%) of Americans have less savings (39%) or no savings (10%) compared to a year ago.  The data comes from their Bankrate’s yearly emergency savings report which also examines  whether people have more credit card debt or emergency savings, and if they’re prioritizing paying down debt or building their emergency savings. “It is quite stunning that such a high…

A recent analysis from the Associated General Contractors said construction employment climbed in 45 states (and D.C.) from January 2022 to January 2023 with 42 states adding construction jobs between December and January alone.  Not surprisingly, Texas added the most jobs over the year (34,800 jobs), followed by Florida (23,600 jobs), New York (21,900 jobs), and Tennessee (14,000 jobs). “The construction industry has been adding jobs nearly everywhere in the past year even as homebuilding slowed…Most nonresidential contractors continue to report little letup demand and would like to hire even more workers if they were available.”   Said Ken Simonson, the…