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California, New Jersey and Illinois Again Dominate List of Vulnerable Housing Markets
Chicago and New York City Areas Remain Most Exposed to Potential Downturns in Second Quarter of 2022; Other More-At-Risk Markets Scattered Around Nation; South Region Continues to be Less Vulnerable IRVINE, Calif. - Sept. 15, 2022 -- ATTOM, a leading curator of real estate data nationwide for land and property data, today released a Special Housing Risk Report spotlighting county-level housing markets around the United States that are more or less vulnerable to declines, based on home affordability, unemployment and other measures in the second quarter of 2022. The report shows that New Jersey, Illinois and inland California continued to have the highest concentrations of the most-at-risk markets in the second quarter – with the biggest clusters in the New York City and Chicago areas. Southern and midwestern states remained less exposed. The second-quarter patterns – based on gaps in home affordability, underwater mortgages, foreclosures and unemployment – revealed that New Jersey, Illinois and California had 33 of the 50 counties most vulnerable to potential declines. The 50 most at-risk included nine in and around New York City, six in the Chicago metropolitan area, and 13 spread through northern, central and southern California. The rest of the top 50 counties were scattered across the U.S., including three in the Philadelphia, PA, metro area. At the other end of the risk spectrum, the South and Midwest had the highest concentration of markets considered least vulnerable to falling housing markets. "The Federal Reserve has promised to be as aggressive as it needs to be in order to get inflation under control, even if its actions lead to a recession," said Rick Sharga, executive vice president of market intelligence at ATTOM. "Given how little progress has been made reducing inflation so far, the Fed's actions seem more and more likely to drive the economy into a recession, and some housing markets are going to be more vulnerable than others if that happens." Counties were considered more or less at risk based on the percentage of homes facing possible foreclosure, the portion with mortgage balances that exceeded estimated property values, the percentage of average local wages required to pay for major home ownership expenses on median-priced single-family homes, and local unemployment rates. The conclusions were drawn from an analysis of the most recent home affordability, equity and foreclosure reports prepared by ATTOM. Unemployment rates came from federal government data. Rankings were based on a combination of those four categories in 575 counties around the United States with sufficient data to analyze in the second quarter of 2022. Counties were ranked in each category, from lowest to highest, with the overall conclusion based on a combination of the four ranks. See below for the full methodology. The ongoing wide disparities in risks throughout the country comes during a time when the U.S. housing market faces headwinds that threaten to slow down or end an 11-year surge in home prices. Sales of both existing and new homes have declined as mortgage rates have almost doubled to 6 percent over the past year, and inflation remains near a 40-year high. However the most recent risk gaps do not suggest an imminent fall in housing markets anywhere in the nation. Home prices have risen more than 10 percent in most of the country over the past year, with new highs hit in the vast majority of metropolitan-area markets. That has kept homeowner equity and home-seller profits rising. Those numbers have continued to improve as demand, buoyed by increasing household formation by young adults and rising wages has continued to outpace an historically tight supply of properties for sale. Amid that mixed scenario, home affordability is worsening, lender foreclosures on delinquent mortgages are up and the number of home sales is slowing, with local housing markets heading into that uncertain future facing significant differences in risk measures. Most-vulnerable counties clustered in the Chicago, New York City and Philadelphia areas, along with sections of California Thirty-one of the 50 U.S. counties considered most vulnerable in the second quarter of 2022 to housing market troubles (from among 575 counties with enough data to be included in the report) were in the metropolitan areas around Chicago, IL; New York, NY; and Philadelphia, PA, as well as in California. California markets on the list were mostly inland, away from the coast. The top 50 counties included two in New York City (Kings and Richmond counties, which cover Brooklyn and Staten Island), seven in the New York City suburbs (Bergen, Essex, Ocean, Passaic, Sussex and Union counties in New Jersey and Rockland County in New York) and six in the Chicago metropolitan area (Cook, Kane, Kendall, McHenry and Will counties in Illinois and Lake County, IN). The three in the Philadelphia, PA, metro area that were among the top 50 most at-risk in the second quarter were Philadelphia County, along with Camden and Gloucester counties in New Jersey. Elsewhere, California had 13 counties in the top 50 list: Butte County (Chico), Humboldt County (Eureka), Shasta County (Redding) and Solano County (outside Sacramento) in the northern part of the state; Fresno County, Kings County (outside Fresno), Madera County (outside Fresno), Merced County (outside Modesto), San Joaquin County (Stockton) and Tulare County (outside Fresno) in central California, and Kern County (Bakersfield), Riverside County and San Bernardino County in the southern part of the state. Counties most at-risk continue to have higher levels of unaffordable housing, underwater mortgages, foreclosures and unemployment Major home ownership costs (mortgage payments, property taxes and insurance) on median-priced single-family homes consumed more than one-third of average local wages in 35 of the 50 counties that were most vulnerable to market problems in the second quarter of 2022. The highest percentages in those markets were in Kings County (Brooklyn), NY (102.9 percent of average local wages needed for major ownership costs); Riverside County, CA (67.6 percent); Rockland County, NY (outside New York City) (66.2 percent); Richmond County (Staten Island), NY (61.8 percent) and San Joaquin County (Stockton), CA (58.7 percent). Nationwide, major expenses on typical homes sold in the second quarter required 31.5 percent of average local wages. At least 7 percent of residential mortgages were underwater in the second quarter of 2022 in 23 of the 50 most at-risk counties. Nationwide, 5.9 percent of mortgages fell into that category. Those with the highest underwater rates among the 50 most at-risk counties were Rockland County, NY (outside New York City) (19.2 percent of mortgages were underwater); Lake County, IN (outside Chicago, IL) (18.9 percent); Peoria County, IL (17.6 percent); Philadelphia County, PA (16.1 percent) and Saint Clair County, IL (outside St. Louis, MO) (16.1 percent). More than one in 1,000 residential properties faced a foreclosure action in the second quarter of 2022 in 40 of the 50 most at-risk counties. Nationwide, one in 1,559 homes were in that position. Foreclosure actions have risen since the expiration last July of a federal moratorium on lenders taking back properties from homeowners who fell behind on their mortgages during the early part of the Coronavirus pandemic that hit in 2020. They are expected to continue increasing over the coming year. The highest rates in the top 50 counties were in Cuyahoga County (Cleveland), OH (one in 365 residential properties facing possible foreclosure; Cumberland County, NJ (outside Philadelphia, PA) (one in 373); Warren County, NJ (outside Allentown, PA) (one in 455); Camden County, NJ (outside Philadelphia, PA) (one in 462) and Saint Clair County, IL (outside St. Louis, MO) (one in 470). The June 2022 unemployment rate was at least 7 percent in 35 of the 50 most at-risk counties, while the nationwide figure stood at 3.5 percent. The highest levels among the top 50 counties were in Tulare County, CA (outside Fresno) (11.7 percent); Merced County, CA (outside Modesto) (11.5 percent); Kern County (Bakersfield), CA (11.3 percent); Kings County, CA (outside Fresno) (10.9 percent) and Kings County (Brooklyn), NY (10.8 percent). Counties less at-risk concentrated in South and Midwest Twenty-five of the 50 counties least vulnerable to housing-market problems from among the 575 included in the second-quarter report were in the South, while another 14 were in the Midwest. Just five were in the West and six in the Northeast. Tennessee had six of the 50 least at-risk counties, including three in the Nashville metropolitan area (Davidson, Rutherford and Williamson counties), while Wisconsin had five – Brown County (Green Bay), Dane County (Madison), Eau Claire County, La Crosse County and Winnebago County (Oshkosh). Another four were in Arkansas: Benton County (Rogers), Craighead County (Jonesboro), Sebastian County (Fort Smith) and Washington County (Fayetteville). Counties with a population of at least 500,000 that were among the 50 least at-risk included King County (Seattle), WA; Travis County (Austin), TX; Salt Lake County (Salt Lake City), UT; Wake County (Raleigh), NC, and Cobb County (Marietta), GA. Least-vulnerable counties have more-affordable homes along with lower levels of underwater mortgages, foreclosure activity and unemployment Major home ownership costs (mortgage payments, property taxes and insurance) on median-priced single-family homes consumed more than one-third of average local wages in just 24 of the 50 counties that were least vulnerable to market problems in the second quarter of 2022. The lowest percentages in those markets were in Sebastian County (Fort Smith), AR (16.5 percent of average local wages needed for major ownership costs); Potter County (Amarillo), TX (16.5 percent); Sullivan County (Kingsport), TN (21.5 percent); Winnebago County (Oshkosh), WI (22.8 percent) and Craighead County (Jonesboro), AR (23.3 percent). Less than 5 percent of residential mortgages were underwater in the second quarter of 2022 (with owners owing more than their properties are worth) in 30 of the 50 least-at-risk counties. Those with the lowest rates among those counties were Chittenden County (Burlington), VT (1.3 percent of mortgages were underwater); Williamson County, TX (outside Austin) (1.4 percent); Williamson County, TN (outside Nashville) (1.5 percent); Travis County (Austin), TX (1.8 percent) and Wake County (Raleigh), NC (1.9 percent). More than one in 1,000 residential properties faced a foreclosure action during the second quarter of 2022 in none of the 50 least at-risk counties. Those with the lowest rates in those counties were Fayette County (Lexington), KY (one in 48,714 residential properties facing possible foreclosure); Chittenden County (Burlington), VT (one in 36,543); Missoula County, MT (one in 27,271); Johnson County (Overland Park), KS (one in 20,973) and Williamson County, TN (outside Nashville) (one in 15,189). The June 2022 unemployment rate was more than 5 percent in just two of the 50 least-at-risk counties. The lowest rates among the top 50 counties were in Cache County (Logan), UT (2.4 percent); Sarpy County, NE (outside Omaha) (2.8 percent); Hamilton County, IN (outside Indianapolis) (2.8 percent); Shelby County, AL (outside Birmingham) (2.8 percent) and Forsyth County, GA (outside Atlanta) (2.9 percent). Report methodology The ATTOM Special Coronavirus Market Impact Report is based on ATTOM's second-quarter 2022 residential foreclosure, home affordability and underwater property reports, plus June 2022 unemployment figures from the U.S. Bureau of Labor Statistics. (Press releases for affordability, foreclosure and underwater-property reports show the methodology for each.) Counties with sufficient data to analyze were ranked based on the second-quarter percentage of residential properties with a foreclosure filing, the percentage of average local wages needed to afford the major expenses of owning a median-priced home and the percentage of properties with outstanding mortgage balances that exceeded their estimated market values, along with June 2022 county unemployment rates. Ranks then were added up to develop a composite ranking across all three categories. Equal weight was given to each category. Counties with the lowest composite rank were considered most vulnerable to housing market problems. Those with the highest composite rank were considered least vulnerable. About ATTOM ATTOM provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation's population. A rigorous data management process involving more than 20 steps validates, standardizes, and enhances the real estate data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 30TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through flexible data delivery solutions that include bulk file licenses, property data APIs, real estate market trends, property reports and more. Also, introducing our newest innovative solution, that offers immediate access and streamlines data management – ATTOM Cloud.
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Redfin Reports Nearly One-Third of U.S. Homes Are Bought With Cash, Well Above Pre-Pandemic Levels
For buyers taking out loans, the share of homes purchased using FHA and VA loans are both up slightly from record lows as the market cools down SEATTLE -- Nearly one-third (31.4%) of U.S. home purchases were paid for with all cash in July, according to a new report from Redfin, the technology-powered real estate brokerage. That's near the eight-year high reached in February and up from 27.5% a year earlier. The share of all-cash purchases jumped in early 2021 during the pandemic-driven homebuying frenzy and has remained elevated since then. All-cash purchases are prevalent with today's affluent buyers largely because mortgage rates have doubled from a year ago, reaching 6% in mid-September. Buyers who don't use loans avoid high interest payments that exacerbate home prices, which remain near record highs even as the housing market slows. All-cash purchases jumped in popularity last year because they allowed buyers to stand out among fierce competition: Bidding-war rates reached record highs in early 2021 due to sub-3% mortgage rates and remote work driving homebuyer demand. Remote work has also given more Americans the option to use all cash, as it allowed a record share of homebuyers to relocate, often from expensive to affordable parts of the country. U.S. home values have skyrocketed since the start of the pandemic, which means Americans who sell a home in a pricey place like San Francisco may use equity to pay cash in a more affordable area like Las Vegas. Investors are also contributing to the all-cash boom. Real estate investors bought up a record share of the U.S. housing stock in the fourth quarter of last year, and their share has remained above pre-pandemic levels since then. About three-quarters of investor home purchases are made with cash. All-cash purchases are most prevalent in Long Island, NY and Florida Three of the five metro areas with the highest share of all-cash purchases are in Florida, partly because the state is home to a lot of affluent buyers. But Long Island, NY–which includes the Hamptons–is home to the highest share of cash buyers, with two-thirds (66.5%) of home purchases made in cash in July. Next come West Palm Beach (56.4%), Jacksonville (45.5%), Milwaukee (45.3%) and Fort Lauderdale (43.3%). A trio of expensive West Coast markets have the lowest share of all-cash purchases, partly because high prices make it more challenging to pay in cash: Oakland, CA (15.1%), San Jose, CA (16%) and Seattle (16.7%). Washington, D.C. (17.5%) and Pittsburgh (17.8%) round out the bottom five. FHA loans are somewhat more popular than they were at the height of the market, but less prevalent than before the pandemic Even though all-cash purchases are at an eight-year high, most home purchases use loans. Conventional loans are by far the most common type, followed by Federal Housing Administration (FHA) and Veterans Affairs (VA) loans. More than eight in 10 (81.3%) of home sales that used a mortgage in July took out a conventional loan, down slightly from 81.9% a year earlier and down from the record high of 83.8% set in April. Roughly 12% of home sales that used a mortgage in July took out an FHA loan, flat from a year earlier but up from the all-time low of 10.4% in the spring. And 6.8% used a VA loan, up slightly from 6.2% a year earlier but up from the record low of 5.4% in spring 2021. "The spike in interest rates is pricing some buyers out of the market, but it's also helping some buyers get into the market because there's less competition," said Tampa Redfin agent Eric Auciello. "A lot of buyers who were repeatedly outbid earlier this year are having their offers accepted, including those using FHA loans, those with smaller down payments and ones that include inspection and financing contingencies. In 2021, hardly any buyers used FHA loans. The story is completely different now, as low down payments are no longer an automatic deal breaker for sellers." But FHA loans are still much less prevalent than they were pre-pandemic; about 17% of mortgaged purchases used them in 2019. That's partly because even though the market has cooled and FHA buyers are less likely to face competition, homes are still quite expensive: The typical U.S. home that sold in July cost about 8% more than a year earlier. That means a lot of the people who would use an FHA loan–lower-income, first-time homebuyers–are priced out of the market. VA purchases are about as popular as before the pandemic; roughly 7% of mortgaged purchases used them in 2019. Read the full report, including charts, methodology and additional metro-level data, here. About Redfin Redfin is a technology-powered real estate company. We help people find a place to live with brokerage, instant home-buying (iBuying), rentals, lending, title insurance, and renovations services. We sell homes for more money and charge half the fee. We also run the country's #1 real-estate brokerage site. Our home-buying customers see homes first with on-demand tours, and our lending and title services help them close quickly. Customers selling a home can take an instant cash offer from Redfin or have our renovations crew fix up their home to sell for top dollar. Our rentals business empowers millions nationwide to find apartments and houses for rent. Since launching in 2006, we've saved customers more than $1 billion in commissions. We serve more than 100 markets across the U.S. and Canada and employ over 6,000 people.
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The Best Time to Buy a Home is the Week of Sept. 25, According to Realtor.com
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Millennial and Gen Z Renters Have Inflation Rates Above 11%, Compared with 8.5% For the Typical American
Inflation is hitting young renters hard because the cost of rent and other expenses has increased much faster than their incomes SEATTLE -- Millennials who took on a new rental lease in July saw their overall cost of goods and services increase 11.6% year over year, substantially higher than 8.5% for the U.S. population as a whole. The personal inflation rate for Gen Z renters taking on a new lease came nearly as high at 11.3%, according to a new report from Redfin, the technology-powered real estate brokerage. That's largely due to soaring rental costs, with asking rents up 13.5% year over year in July. While rental price increases have slowed after skyrocketing in 2021, asking rents are roughly 25% higher than they were before the pandemic. Millennials and Gen Zers allocate more than one-quarter of their income to housing, the largest chunk of all spending categories. "Inflation is hitting young renters hard because not only have prices of everything from food to fuel soared, but so have rental prices," said Redfin Senior Economist Sheharyar Bokhari. "Homeowners are forking over more money at the grocery store and the gas pump, but at least the number on their mortgage statement isn't going up every month. Combine high rental prices with student loan debt and relatively low incomes, and it's difficult for millennials and Gen Z renters to put money into savings, retirement accounts and down-payment funds to eventually buy a house. They may also have higher interest rates on debt, which cuts further into their potential savings." While inflation has cut into the budgets of most Americans, it's more severe for younger generations. Gen Zers overall have an inflation rate of 9.2% and millennials clock in at 9.6%. That's lower than the 11%-plus rates specifically for members of those generations who rent, but it's higher than 8.5% for the general population. Inflation is also more severe for renters overall, who tend to be young. The price of goods and services rose 9.2% year over year in July for all renters. Less than half (48.5%) of millennials own their home, and while official data isn't available for Gen Zers, the rate is likely significantly lower. That's compared with homeownership rates near 80% for baby boomers and 70% for Gen Xers. Older generations tend to have lower personal inflation rates partly because they're more likely to own their homes and earn money from rising equity rather than spend money on rent. Inflation is particularly difficult for Gen Z adults to grapple with because they typically have relatively low entry-level incomes and don't own many assets—but they're still bearing the brunt of rising costs. Inflation is also having an outsized impact on millennials, as older millennials have been playing financial catch-up since starting their careers during the Great Recession and younger ones are early in their careers with fewer savings and lower incomes. Gen Zers have just 2% of their income left over after paying for housing and other necessities Incomes for both Gen Zers and millennials have increased 9.7% from 2020 to 2022—but expenses rose much more, about 17%. Costs increasing faster than incomes have left young Americans without much disposable income. For the typical Gen Z adult, just 1.9% of their $40,953 median income is left over after accounting for housing payments and other expenses including food and transportation. That's down from 7.7% of their income in 2020. While that technically leaves just a sliver of their income for discretionary spending, many Gen Z adults—which includes those who are college aged—live with their parents and/or receive financial help from them. The typical millennial has about 26% of their income left over after accounting for housing payments and other expenses, down from 30% in 2020. These figures are higher for millennials mostly because they earn more money. The typical millennial income of $85,233 is more than double the typical Gen Z income. If the typical Gen Zer saved all of their disposable income, they would have just $766 at the end of the year. Millennials would have $21,959. At that rate, it would take millennials four years to save enough for a 20% down payment for the median-priced U.S. home ($413,000). It would theoretically take Gen Zers more than 100 years to save at that rate, but that figure isn't realistic because we expect the youngest workers' incomes to grow as they age. Four in 10 (39%) recent or current first-time homebuyers didn't buy a home sooner because of the high cost of rent, according to an August Redfin survey. The high cost of rent was the most commonly cited obstacle, ahead of other obstacles including debt and pandemic-related financial setbacks. Nearly 80% of the respondents to this question were millennials or Gen Zers. "The combination of expensive housing, high inflation and relatively low incomes have forced many young renters to save money in creative ways," Bokhari said. "Some are living with their parents or roommates longer than they would like, and others are moving to more affordable areas." Young renters in Seattle, Miami and New York are hit hardest by inflation Seattle Gen Zers who signed a new lease in June—the most recent month for which data is available—saw prices of goods and services rise 17.1%, the highest inflation rate of the 21 metros in this analysis and substantially higher than the 10.1% overall June Seattle inflation rate. The metros included in this analysis are ones for which metro-level inflation data is available. Next comes Miami, where members of Gen Z signing a new lease in June had an inflation rate of 14.2%, compared with 10.6% for the metro overall. Rounding out the top three is New York, where Gen Zers taking on a new lease in July have an inflation rate of 12.8%, nearly double the metro's overall rate of 6.5%. The list is the same for millennials, with those signing a new lease in Seattle experiencing 16.8% inflation, followed by 14% in Miami and 12.6% in New York. That's partly due to quickly increasing rental costs in those three coastal metros. Seattle and New York are both among the 10 metros with the fastest-rising rents in July, with the typical asking rents increasing 22% year over year to $3,157 in Seattle and 23% to $4,209 in New York. Miami asking rents rose 18% to $3,068. To read the full report, including a chart, metro-level table, and methodology, click here. About Redfin Redfin is a technology-powered real estate company. We help people find a place to live with brokerage, instant home-buying (iBuying), rentals, lending, title insurance, and renovations services. We sell homes for more money and charge half the fee. We also run the country's #1 real-estate brokerage site. Our home-buying customers see homes first with on-demand tours, and our lending and title services help them close quickly. Customers selling a home can take an instant cash offer from Redfin or have our renovations crew fix up their home to sell for top dollar. Our rentals business empowers millions nationwide to find apartments and houses for rent. Since launching in 2006, we've saved customers more than $1 billion in commissions. We serve more than 100 markets across the U.S. and Canada and employ over 6,000 people.
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Bargaining Power is Back; 92% of Recent Sellers Accepted Buyer-Friendly Terms
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Realtor.com's 2022 Hottest ZIP Codes in America: Historic New England is the Newest Homebuying Hotspot
Realtor.com® now provides "Hot Market Insights" on listings in areas with fast-selling homes and high buyer demand SANTA CLARA, Calif., Aug. 16, 2022 -- One of America's most historic regions is its newest homebuying hotspot, with New England ZIPs representing over half of 2022's top 10 list in the eighth annual Realtor.com® Hottest ZIP Codes Report released today. In these ZIPs, homes sold in just over a week (8 days) and received nearly four times (3.7) more buyer views than a typical U.S. listing1. To help buyers better understand if they're shopping in a hot market, Realtor.com® now provides "Hot Market Insights" on listings that show how fast homes in that neighborhood are selling and how popular they are compared to other properties in the area and across the country. A key theme of this year's wicked-hot ranking is demand from out-of-ZIP home shoppers, driven by factors including relative affordability and convenient travel to big East Coast cities. The 2022 Hottest ZIP Codes in America, in rank order, are: 14618 Brighton, N.Y. 03062 Nashua, N.H. 43085 Worthington, Ohio 03038 Derry, N.H. 04062 Windham, Maine 18017 Bethlehem, Penn. 37604 Johnson City, Tenn. 03106 Hooksett, N.H. 02760 North Attleboro, Mass. 04210 Auburn, Maine "With rising inflation and mortgage rates squeezing monthly housing budgets, this year's determined buyers are breathing new life into competition for homes in historic areas like New England. Our 2022 Hottest ZIPs ranking illustrates how many Americans are redefining their priorities to achieve homeownership while building their careers, by trading downtown life for relatively affordable areas with reasonable part-time commutes to big cities," said Danielle Hale, Chief Economist for Realtor.com®. "Even as the housing market resets, home shoppers in the competitive Hottest ZIPs may need to take extra measures to win. It all starts with understanding the local market, and buyers can use Realtor.com®'s Hot Market Insights to arm themselves with knowledge that will be key to success when deciding where, when and how to make an offer." With the launch of Realtor.com®'s "Hot Market Insights" announced today, the "neighborhood" section of property listings on Realtor.com® will now show homebuyers if they are shopping in a hot market. Home shoppers can click the button to learn more about the local housing market, including how fast homes are selling and how many more views they get compared to others in the area and in the U.S. These insights are updated each month, to provide buyers with a timely view of the competition they're likely to face. Key trends driving homebuying demand in the 2022 Hottest ZIPs Many Americans are feeling the strain on their finances due to the whirlwind of economic shifts that have occurred so far in 2022, including mortgage rate hikes. Combined with record-high home prices, rising affordability challenges are forcing many buyers to get creative if they want to beat the competition without breaking their budgets. Home shoppers are doing just that in the 2022 Hottest ZIP Codes, with nine of the top 10 making the list for the first time in the ranking's eight-year history, including eight northeastern ZIPs making their debut. Six of these newcomers are located in New England, offering buyers a balance of new opportunities with historic charm. On average across the top 10, 13.4% of homes were built before 1939, compared to just 11.6% nationwide. New England is a hot new homebuying destination for big city transplants Many of the top 10's new entries are attracting home shoppers looking to relocate from high-priced big cities on the East Coast, based on migration patterns among prospective buyers viewing Realtor.com® listings. In the first half of the year, at least one big East Coast city – Boston, New York and D.C. – was among the top five sources of buyers viewing listings in all 10 of the hottest ZIPs. Buyers in these major metros are exploring ZIPs further away than in prior years, enabled by more widespread adoption of remote work. Even for those with hybrid schedules, many of this year's hottest ZIPs provide the perfect combination of relative housing affordability and a reasonable part-time commute to big city business hubs. From all six New England ZIPs on the list, Boston can be reached in 2.5 hours or less. ZIP Spotlight – No. 2 03681 Nashua, N.H.: At No. 2 on the 2022 list, Nashua is located just 42 miles from Boston, or within a 1.5 hour commute. In the first six months of 2022, listings in the ZIP attracted more viewers from Boston (38%) than from local buyers (32%). The influx of demand is fueling competition for homes in Nashua, where listings received 4.6 times more views and sold 23 days faster than the typical U.S. home (7 vs. 40 days) in the first half of this year. As a result, the ZIP's supply of active listings was down 26.9% year-over-year by June. Affordability challenges drive demand in relatively small ZIPs offering high-value homes As a result of rising inflation and higher costs for housing and everyday expenses, homebuyers have set their sights on areas that offer good bang for their buck, making value a key theme among this year's hottest ZIPs. Controlling for home size, the average price per square foot in the top 10 was 8.7% lower than in their surrounding metro areas in June. Among the ZIPs on this year's list, the average asking price ($432,000) was 4.0% lower than the U.S. median listing price in June ($450,000). At the same time, driven by the rise in demand, home prices across the hottest ZIPs grew at a faster year-over-year pace (+18.6%) than listing prices nationwide (16.9%). ZIP Spotlight – No. 8 03106 Hooksett, N.H.: Coming in at No. 8 on this year's list is Hooksett, N.H., located just 59 miles away from Boston. While Hooksett's median listing price ($482,000) was higher than the U.S. median as of June, it is considerably more affordable than in the Boston metro area ($759,000). Additionally, Hooksett homes tend to have more square footage (2,008, on average) than the typical U.S. listing (1,887). These price trends are likely attracting East Coast urbanites looking for value, with 26.5% of Hooksett's listings viewers coming from Boston in the first half of 2022. Aspiring millennial homeowners are financially prepared for success in the hottest ZIPs Now aged between 25 and 44 years-old, millennials are a key cohort of aspiring homeowners, whether first-time or repeat buyers. This generation is ready and willing to pursue homebuying opportunities in the hottest ZIPs, where they have the advantage of strong financial qualifications. Millennials are entering the top 10 with incomes that are higher than the national averages among those aged 25-34 ($83,782 vs. $70,510) and aged 34-45 ($100,966 vs. $89,365). On average, buyers in the hottest ZIPs are well-qualified with higher credit scores (742 vs. 728) and larger down payments (15.0% vs. 14.2%) compared to the typical U.S. home shopper. Millennials' strong financial footing is paying off when it comes to achieving homeownership in the top 10. In fact, a higher share of millennials have successfully become homeowners in these ZIPs (57.1%), on average, than in the U.S. overall (51.3%). ZIP Spotlight – No. 1 14618 Brighton, N.Y.: Topping this year's ranking with its debut is ZIP 14618 located in the Rochester metro area., which has now been represented on the list by other ZIPs for three years in a row. The rising popularity of Rochester ZIPs like 14618 may be partly due to buyers' success in the area. Compared to the U.S. averages, ZIP 14618's homeownership rates are higher among millennials (56.9% vs. 51.3%) and overall (70.8% vs. 65.2%). Local buyers also have strong qualifications, with a typical down payment of 15.7% and credit score of 745, as well as a higher median income than the U.S. average ($106,150 vs. $72,465). 2022 Hottest ZIP Codes in America – Top 50 Housing Metrics   Methodology Realtor.com® analyzed listings data on over 29,000 ZIP codes to determine its Hottest ZIP Code rankings, which are based on January-June 2022 averages of: 1) demand, as measured by unique viewers per property on Realtor.com®; 2) the pace of the market as measured by the number of days a listing remains active on Realtor.com®; limited to one ZIP Code per metropolitan area and ZIP Codes with at least 15 active listings each month. Time frames for metrics not factored into the ranking as noted, e.g. listing price trends based on June 2022 data. Note: The markets where Realtor.com®'s "Hot Market Insights" are featured on listings and neighborhoods on its website may vary from the 2022 Hottest ZIP Codes, due to methodology differences such as time frames (monthly data updated each month vs. Jan.-June 2022 data). About Realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 25 years ago, and today through its website and mobile apps offers a marketplace where people can learn about their options, trust in the transparency of information provided to them, and get services and resources that are personalized to their needs. Using proprietary data science and machine learning technology, Realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, Realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp (Nasdaq: NWS) (Nasdaq: NWSA) (ASX: NWS) (ASX: NWSLV) subsidiary Move, Inc. For more information, visit Realtor.com.
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Home buyers with lower credit scores pay an extra $104,000 in mortgage costs
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The Wall Street Journal and Realtor.com Release Summer 2022 Emerging Housing Markets Index Report
Elkhart-Goshen, Ind., rises to No. 1 amid local economic recovery, declining unemployment and a highly competitive market with homebuyers seeking affordability and quality of life NEW YORK and SANTA CLARA, Calif., July 26, 2022 -- The Wall Street Journal and Realtor.com today released the WSJ/Realtor.com Summer 2022 Emerging Housing Markets Index, which revealed Elkhart-Goshen, Ind., is now the No. 1 emerging market in America. The index analyzes key housing market data, as well as economic vitality and lifestyle metrics, to surface emerging housing markets that offer a high quality of life and are expected to see future home price appreciation. The 2021 inaugural spring, summer, fall and 2022 winter and spring reports captured sweeping real estate market trends amid an uneasy economy, decreasing unemployment numbers and return-to-office efforts, more Americans traveling and a highly competitive market with homebuyers returning to larger cities. Within a dynamically changing landscape, the summer 2022 index shines a light on a noticeable flight to affordability and higher quality of life. The top of the list is populated with housing markets displaying solid economic fundamentals, in-demand amenities and lifestyle options, along with a critical dose of affordable homes. The index also identifies markets that we believe are good areas in which to purchase a home for homeowners and investors alike, with expectations of price appreciation complementing vibrant and diverse communities. The Top 20 Emerging Housing Markets for Summer 2022 are: Elkhart-Goshen, Ind. Burlington, N.C. Johnson City, Tenn. Fort Wayne, Ind. Billings, Mont. Raleigh, N.C. Rapid City, S.D. North Port-Sarasota-Bradenton, Fla. Topeka, Kan. Visalia-Porterville, Calif. Fort Collins, Colo. Durham-Chapel Hill, N.C. Santa Cruz-Watsonville, Calif. Boulder, Colo. Huntsville, Ala. Vallejo-Fairfield, Calif. Eureka-Arcata-Fortuna, Calif. Jefferson City, Mo. Elizabethtown-Fort Knox, Ky. Colorado Springs, Colo. Key Trends Among the Spring 2022 Top 20 Emerging Housing Markets Affordability, Availability and Quality of Life Lead Summer Housing Despite high market demand, the latest index reveals prospective homebuyers are either pursuing affordable housing or high quality of life in areas where options are more abundant. Twelve of the markets had a median home listing price near or below the national median during the second quarter of 2022, led by Topeka, Kan. and Jefferson City, Mo., with median listing prices just over $200,000. The summer 2022 index shows young professionals and growing families are looking for better work-life balance, along with a lower cost of living. To find that, they are looking in areas with more homes for sale. On average, across the top 20 markets in our index, active listing counts were up by 33.2% year-over-year and the number of newly-listed homes was up by 11.1%, compared to the national active listing growth rate of 4.9% and new listing growth rate of 4.0%. Growing Local Economies Boost Buying Power As we saw in the spring 2022 report, the summer index’s top-ranked housing markets have diversified economies and low unemployment, a prerequisite for a healthy housing market—16 out of the top 20 metros boast unemployment rates at or below the national 3.6% average. The top metros offer a wide range of job opportunities, higher wages and shorter work commutes at a time when the cost of gasoline reached new highs. Despite surging inflation, consumers also maintained an active pace of retail and travel spending, thanks to slightly higher than average wages. Active and Outdoor Lifestyles are the New Benefit Metros like Durham-Chapel Hill, N.C., Fort Collins, Colo. and Elizabethtown-Fort Knox, Ky., offer access to outdoors amenities but are still within driving distance from larger cities. Despite a slightly lower vacation profile than the spring index, the summer index’s top 20 markets offer an active outdoor lifestyle. Whether it’s access to mountains in North Carolina, Tennessee, Colorado or Montana, or beach destinations like California or Florida, top emerging markets provide residents with easy access to the outdoors. Mid-sized Cities Lead the Emerging Pack The summer index continues to highlight mid-sized cities. Amid rising costs of living and relatively stagnant wages across industries, the index indicates a move toward middle-class jobs in mid-size Midwestern markets. The top 20 metros averaged a population of 402,000 people. Nine out of the top 20 cities have populations below the 250,000 threshold, including this quarter’s leading metro, Elkhart-Goshen, Ind. City Spotlight: Elkhart-Goshen, Ind. The index’s top emerging housing market is Elkhart-Goshen, Ind. Industry manufacturers including Jayco, Keystone and Conn-Selmer—in addition to regional healthcare and local service providers—are based in Elkhart-Goshen, contributing to one of the lowest unemployment rates among index metros (1.6%). Who’s In and Who’s Out Twelve of the summer 2022 index top markets have appeared in previous index rankings, most notably Elkhart-Goshen, Ind., and all of the top nine were ranked in the spring 2022 index. Among the repeat markets are coastal vacation destinations like North Port-Sarasota-Bradenton, Fla. and Santa Cruz-Watsonville, Calif. Eight markets fell off the spring 2022 list but remained in the top 50 metros. Spring 2022’s top-ranked Santa Rosa, Calif. and Cape Coral-Fort Myers, Fla. dropped out of the top 20, falling to spots 105 and 69 respectively. With the exception of Columbia, Mo. and Yuma, Ariz., the markets that fell off the top 20 tend to be more expensive vacation destinations. Methodology The ranking evaluates the 300 most populous core-based statistical areas, as measured by the U.S. Census Bureau, and defined by March 2020 delineation standards for eight indicators across two broad categories: real estate market (50%) and economic health and quality of life (50%). Each market is ranked on a scale of 0 to 100 according to the category indicators, and the overall index is based on the weighted sum of these rankings. The real estate market category indicators are: real estate demand (16.6%), based on average unique viewers per property; real estate supply (16.6%), based on median days on market for real estate listings, median listing price trend (16.6%). The economic and quality of life category indicators are: unemployment (6.25%); wages (6.251%); regional price parities (6.25%); the share of foreign born (6.25%); small businesses (6.25%); amenities (6.25%), measured as per capita "everyday splurge" stores in an area; commute (6.25%); and estimated effective real estate taxes (6.25%). Note: The Summer 2022 index is using a 12-month average for the real estate market indicators. About The Wall Street Journal The Wall Street Journal is a global news organization that provides leading news, information, commentary and analysis. The Wall Street Journal engages readers across print, digital, mobile, social, podcast and video. Building on its heritage as the preeminent source of global business and financial news, the Journal includes coverage of U.S. & world news, politics, arts, culture, lifestyle, sports, and health. It holds 38 Pulitzer Prizes for outstanding journalism. The Wall Street Journal is published by Dow Jones, a division of News Corp (Nasdaq: NWS, NWSA; ASX: NWS, NWSLV). About Realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 25 years ago, and today through its website and mobile apps offers a marketplace where people can learn about their options, trust in the transparency of information provided to them, and get services and resources that are personalized to their needs. Using proprietary data science and machine learning technology, Realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, Realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today’s on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. For more information, visit Realtor.com.
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Texas home builders are being 'whiplashed,' says US No. 1 agent
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Down Payment Resource releases Q2 2022 Homeownership Program Index
More U.S. homebuyer assistance programs are introduced during a quarter of difficult homebuying conditions ATLANTA, Ga., July 19, 2022 -- Down Payment Resource (DPR), the nationwide database for U.S. homebuyer assistance programs, today announced findings from its latest Homeownership Program Index (HPI). The firm's analysis of 2,273 homebuyer assistance programs in its DOWN PAYMENT RESOURCE® database revealed that the net number of homebuyer assistance programs increased by 1.6% from Q1 to Q2 2022. This marks the third consecutive quarter the number of homebuyer assistance programs has grown. Down Payment Resource Q2 2022 Homeownership Program Index Key Findings The Q2 2022 HPI examined a total of 2,273 homebuyer assistance programs that were active as of July 5, 2022. Key findings are as follows: The net number of homebuyer assistance programs increased. The number of programs increased by 35 Q2 2022. Among them were five nationwide or multi-state programs and 12 statewide programs. Assistance for first mortgages, combined down payment and closing cost support, community second mortgages and deed restriction programs were also added. Support for manufactured homes increased again. For the third consecutive quarter the number of programs that support manufactured home purchases have increased. 625 programs now support manufactured home loans, up from 594 in Q1 2022. Programs offering veteran exemptions grew. The number of programs that waive first-time homebuyer requirements for veterans increased from 176 to 184 (4.5%) this quarter. "Despite a slight increase in the number of inactive and suspended programs, our analysis indicates that opportunities for homebuyer assistance are continuing to grow," said DPR CEO Rob Chrane. "With inflation reaching 40-year highs, aggressive interest rate hikes and limited housing inventory, connecting consumers with financial support for down payment and closing costs is more important than ever. In this especially challenging housing market, program providers are finding creative ways to help qualified homebuyers overcome economic obstacles and achieve the long-term financial benefits of homeownership." Further analysis of the Q2 2022 HPI findings, including infographics and examples of many of the programs described in this release, can be found on DPR's website here. View a complete, state-by-state list of homebuyer assistance programs here. Methodology Published quarterly, DPR's HPI surveys the funding status, eligibility rules and benefits of U.S. homebuyer assistance programs administered by state and local housing finance agencies, municipalities, nonprofits and other housing organizations. DPR communicates with over 1,200 program providers throughout the year to track and update the country's wide range of homeownership programs, including down payment and closing cost programs, Mortgage Credit Certificates and affordable first mortgages, in the DOWN PAYMENT RESOURCE® database. About Down Payment Resource Down Payment Resource (DPR) is a nationwide database of down payment assistance and affordable lending programs. The company tracks funding status, eligibility rules, benefits and more for approximately 2,200 programs in 11 categories. Its award winning technology helps the housing industry connect more homebuyers to the down payment help they need. DPR has been recognized by Inman News as "Most Innovative New Technology" and the HousingWire Tech100™. DPR is licensed to Multiple Listing Services, Realtor Associations, lenders and housing counselors across the country. DPR's subscription based service, Down Payment Connect, helps agents and loan officers match buyers to available programs. For more information, please visit DownPaymentResource.com.
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Realtor.com 2022 Forecast Update: Real Estate Gets a Refresh from the Frenzy
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Down Payment Resource analysis finds that 33% of declined mortgage applications are declined for reasons addressable with homebuyer assistance
Analysis highlights profound opportunity to improve homeownership accessibility with homebuyer assistance programs ATLANTA, Ga., June 7, 2022 -- Down Payment Resource (DPR), the nationwide database for U.S. homebuyer assistance programs, today announced findings from an analysis showing that a substantial share of mortgage loan applications are both declined for reasons that can be addressed with homebuyer assistance and eligible for homebuyer assistance programs. Methodology Findings were derived by analyzing HMDA data for tens of thousands of declined purchase mortgage loan applications representing $3.7 billion in volume furnished by mortgage lenders. Loan applications declined for either insufficient cash-to-close or disqualifying debt-to-income (DTI) ratios were categorized as potentially recoverable with homebuyer assistance. Homebuyer assistance eligibility for this group of applications was determined by running loan application data — including location, home price, loan amount, income and homeownership history — through the DOWN PAYMENT RESOURCE® database. Matching assistance programs were then applied to each loan to determine how applying homebuyer assistance to eligible declined loan files would have impacted loan-to-value (LTV) ratios. Key Findings Key findings are as follows: A large share of declined loan files were eligible for homebuyer assistance. 33% of all declined purchase mortgage loan applications were declined for either insufficient cash-to-close or disqualifying DTI ratios and also eligible for homebuyer assistance at the time of declination. The large share of loans potentially recoverable with homebuyer assistance highlights a significant, low-cost opportunity for lenders to increase purchase volume. Declined loan applications were typically eligible for multiple programs. On average, declined loan applications were eligible for 10 homebuyer assistance programs, indicating there are often multiple options available to homebuyers financing with homebuyer assistance. Many declined loans could have been recovered with homebuyer assistance. Applying homebuyer assistance to eligible declined loan applications would have reduced LTV by an average of 5.85%, making many of the loan applications recoverable. Lowering LTV can open the door to better and more affordable first mortgage scenarios, including conventional (rather than FHA) financing, reduced mortgage insurance costs and better interest rates. "In light of National Homeownership Month and the state of the housing market, it is important for the mortgage industry to reflect on ways it can improve financing outcomes for homebuyers," said DPR CEO Rob Chrane. "Our analysis definitively shows that homebuyer assistance programs are the most promising pathway to homeownership for a sizable share of the homebuyer population. Yet, homebuyer assistance programs are seldom offered as an option. It is my hope that this information will help lenders better serve their communities by showing that qualified homebuyers who need down payment assistance are not a niche market, but a major market that continues to grow." About Down Payment Resource Down Payment Resource (DPR) is a nationwide database of down payment assistance and affordable lending programs. The company tracks funding status, eligibility rules, benefits and more for approximately 2,200 programs in 11 categories. Its award-winning technology helps the housing industry connect more homebuyers to the down payment help they need. DPR has been recognized by Inman News as "Most Innovative New Technology" and the HousingWire Tech100™. DPR is licensed to Multiple Listing Services, Realtor Associations, lenders and housing counselors across the country. DPR's subscription-based service, Down Payment Connect, helps agents and loan officers match buyers to available programs. For more information, please visit downpaymentresource.com.
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Pricey suburbs top Zillow's list of most popular markets this year
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Home buyers may find less competition near city centers for the first time in years
Suburbs are generally seeing home values grow more than urban areas, indicating more competition SEATTLE, May 18, 2022 -- For the first time since the Great Recession, buyers may have an easier time buying a home in the city than in nearby suburbs this home shopping season. That's because homes in the suburbs recently have been appreciating faster than urban homes, a new Zillow analysis shows, indicating stronger demand and fiercer competition. While competition is strong in most of the country, there are pockets of opportunity for home buyers. Home values in suburban ZIP codes have been growing faster than those in urban areas since July 2021. The typical home in the suburbs gained $66,490 in value in the past year, compared to $61,671 for the typical urban home. That is a reversal from previous norms and from the first 15 months of the pandemic. From January 2013 — about the time when home values began to recover following the housing crash — through June 2021, urban homes were generally gaining value more quickly. "In the beginning of the pandemic, home values in urban areas generally outpaced suburban areas, counter to what many expected during the rush for more space," said Zillow economist Nicole Bachaud. "And while urban home value gains have continued to accelerate, the suburbs are even hotter, showing just how strong demand is for limited suburban inventory. That could mean competition for homes will be lighter near city centers this home shopping season, something we haven't been able to say for nearly a decade. That's not to say shopping for a home in the city will be a leisurely affair, but any sliver of opportunity for buyers is welcome in this market." Faster home value growth in the suburbs comes as remote work has changed the U.S. housing landscape. Research from the National Bureau of Economic Research found the shift to remote work is responsible for more than half of the gain in U.S. home prices since late 2019, and that the evolution of remote work is likely to have a major impact on the future path of home values. To be sure, urban real estate has seen incredible growth, as well. This is not a case of housing in the suburbs gaining value at the expense of urban real estate; rather, it's something akin to one world-class sprinter edging out another. And there are signs that demand may be shifting back in favor of urban homes. In each of the first three months of this year, the gap between annual home value growth in the suburbs and in urban areas has shrunk. Annual suburban home value growth outpaced urban home value growth by about $7,250 in December, but only by about $4,820 in March. The shift has been more pronounced in a few metro areas where suburban home values grew especially fast compared to urban home values in 2021: San Francisco, Columbus, Seattle and Boston. This may reflect home buyers reacting to employers' return-to-office plans, realizing that the cost savings of a move to the suburbs are not as big as they once were, or sensing that competition may not be as stiff for homes in urban parts of the metro. Nashville and Raleigh are two notable counterexamples. In both metros, urban home values rose more than those in the suburbs in 2021. However, after the first three months of 2022, those positions have been reversed. In the year ending March 2022, the typical suburban home in Nashville gained $7,350 more than the typical urban home, and in Raleigh, the typical suburban home gained about $9,800 more. This could signal a shift in demand in these markets, with home shoppers searching for more-affordable options in the suburbs, especially as mortgage rates keep rising. In today's hot sellers market, buyers should consider Zillow's tips to win a competitive bid. Hiring the right local agent and embracing new real estate technology for a speed advantage can help during the home search. Securing mortgage pre-approval and using strategies such as submitting an offer before the offer review date can help an offer stand out. *Table ordered by market size About Zillow Group Zillow Group, Inc. (NASDAQ: Z and ZG) is reimagining real estate to make it easier to unlock life's next chapter. As the most visited real estate website in the United States, Zillow® and its affiliates offer customers an on-demand experience for selling, buying, renting or financing with transparency and ease. Zillow Group's affiliates and subsidiaries include Zillow®,, Zillow Premier Agent®, Zillow Home Loans™, Zillow Closing Services™, Trulia®, Out East®, ShowingTime®, Bridge Interactive®, dotloop®, StreetEasy® and HotPads®. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org).
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'HomeJab Curve' shows real estate remains seasonal, despite tight inventory and the impact of COVID-19
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Women could afford 18% more of the housing market if they made as much money as men
The pay equity gap is slowly shrinking, and closing the home value gap as it does so. SEATTLE, March 30, 2022 -- A new Zillow study shows how severe an impact the gender pay gap is for women in the housing market. An additional 18% of the U.S. housing market is affordable to men but is out of reach to women. This gap in access can be as wide as 22% of the housing market depending on the industry they work in. The analysis combined income data from the U.S. Census Bureau with Zillow housing data to estimate how much of the market is affordable to women and men. The study examined a number of job sectors and regions and found that across the country, women can afford far fewer homes than men without being considered cost burdened. "This study shows how severely the gender pay gap limits women in the housing market, but that's only the start of a compounding impact," said Zillow economist Nicole Bachaud. "Owning a home represents the dominant form of wealth building for most Americans. So not only are women starting from behind, but they're falling even further behind with each passing day as homes build equity." The impact of income inequality on housing affordability differs by industry. For example, women who work in the utilities industry have more homes available to them (71.1% of the market) than women working in all other industries analyzed. Women working in the leisure and hospitality industry can only afford 9.6% of the market. Men in both industries can afford 9–10 percentage points more of the market than women. In all 13 job categories analyzed nationally, men can afford more of the housing stock than women. Regionally, gender disparities by industry can become even more severe. In Denver, for example, women working in the financial services industry can reasonably afford fewer than one in five (19.1%) homes in the area, while men can expect to afford more than two-thirds (71.1%). In Portland, Oregon, the numbers for the financial industry stand at 13.9% of the market available to women and 66.0% to men. Equal Pay Day — which symbolizes how far into a new year a woman making a typical salary needs to work to make the same amount of money as a man making a typical salary in the previous calendar year — shows that the pay equity gap is slowly shrinking. This year, Equal Pay Day fell on March 15, nine days earlier than it did in 2021 and 16 days earlier than in 2020. Simultaneously, the home value gap for women is also narrowing. Homes owned by female-headed households, although still below the value of those owned by male-headed households and of median home values overall, have crept closer to parity over the past decade. "The drive to eliminate pay inequity and other biases in the workplace needs to come from senior leaders with clear and measurable goals," said Bachaud. "Taking actions like regularly evaluating salaries or reevaluating other HR benefits and policies to attract and retain women could help reduce disparities." While the tide is starting to turn, there remains much work to do to achieve pay equity, especially when taking race into account. For Asian American and Pacific Islander women, Equal Pay Day (relative to the typical pay for white men) is May 3; for Black women, it's September 21; for Native American women, it's November 30;, and for Latina women, it's December 8. Differences in Incomes and Housing Affordability by Gender and Job Sector About Zillow Group Zillow Group, Inc. (NASDAQ: Z and ZG) is reimagining real estate to make it easier to unlock life's next chapter. As the most visited real estate website in the United States, Zillow® and its affiliates offer customers an on-demand experience for selling, buying, renting or financing with transparency and ease. Zillow Group's affiliates and subsidiaries include Zillow®, Zillow Offers®, Zillow Premier Agent®, Zillow Home Loans™, Zillow Closing Services™, Zillow Homes, Inc., Trulia®, Out East®, ShowingTime®, Bridge Interactive®, dotloop®, StreetEasy® and HotPads®. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org).
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Let the Countdown to Realtor.com Listapalooza Begin! April 10-16 Is the Best Week to List a Home in 2022
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Middle-income Households Gain $2.1 Trillion in Housing Wealth in a Decade
WASHINGTON (March 9, 2022) -- Homeownership is widely recognized as the leading source of net worth among families. Housing wealth itself is primarily achieved by price appreciation gains, and the nation has seen home prices accelerate at a record pace during the course of the last decade. A new study from the National Association of Realtors® – Housing Wealth Gains for the Rising Middle-Class Markets – examines the distribution of housing wealth between 2010 and 2020 across income groups and in 917 metropolitan or micropolitan areas. NAR found that during those 10 years, nearly 980,000 middle-income households became homeowners. Within that timeframe, total housing wealth for this income group surged by $2.1 trillion. "Owning a home continues to be a proven method for building long-term wealth," said Lawrence Yun, NAR chief economist. "Home values generally grow over time, so homeowners begin the wealth-building process as soon as they make a down payment and move to pay down their mortgage." From 2010 through 2020, 529 of 917, or 58%, of metropolitan and micropolitan areas gained middle-income homeowners. NAR identifies these locations as rising middle-income class housing markets, i.e., markets that saw the largest increase in middle-class owner-occupied housing units in 2020 compared to 2010. The top 10 rising middle-income housing markets, with at least 50,000 more middle-income homeowner households, were Phoenix-Mesa-Scottsdale (103,690), Austin-Round Rock (61,323), Nashville-Davidson-Murfreesboro-Franklin (55,252), Dallas-Fort Worth-Arlington (53,421), Houston-The Woodlands-Sugarland (52,716), Atlanta-Sandy Springs-Roswell (48,819), Orlando-Kissimmee-Sanford (35,063), Portland-Vancouver-Hillsboro (34,373), Seattle-Tacoma-Bellevue (31,284) and Tampa-St. Petersburg-Clearwater (28,979). NAR defines a middle-class homeowner as one earning an income of over 80% to 200% of the area median income. "Middle-income households in these growing markets have seen phenomenal gains in price appreciation," said Yun. "Given the rapid migration and robust job growth in these areas, I expect these markets to continue to see impressive price gains." As of the fourth quarter of 2021, the largest price gains (as a percent of the purchase price) over the preceding decade were in Phoenix-Mesa-Scottsdale (275.3%), Atlanta-Sandy Springs (274.7%), Las Vegas-Henderson-Paradise (251.7%), Cape Coral-Fort Myers (233.9%) and Riverside-San Bernardino-Ontario (207.6%). Nationally, a homeowner who purchased a typical single-family existing home 10 years ago at the median sales price of $162,600 is likely to have accumulated $229,400 in housing wealth. Of this wealth gain, 86% can be attributed to price appreciation, with the median single-family existing-home sales price rising at an annual pace of 8.3% from the fourth quarter of 2011 through the fourth quarter of 2021. A small percentage of U.S. markets did record a decrease in middle-income homeowner households over the past decade, including New York-Newark-Jersey City (-100,214), Los Angeles-Long Beach-Anaheim (-73,839), Chicago-Naperville-Elgin (-34,420), Boston-Cambridge-Newton (-28,953), Detroit-Warren-Dearborn (-25,405) and Philadelphia-Camden-Wilmington (-22,129). Nevertheless, some markets saw housing wealth rise as home prices climbed, such as the Los Angeles metro area ($164.5 billion) and the New York metro area ($59.4 billion). "These escalating home values were no doubt beneficial to homeowners and home sellers," said Yun. "However, as these markets flourish, middle-income wage earners face increasingly difficult affordability issues and are regrettably being priced out of the home-buying process." While housing wealth grew among all income groups, low- and middle-income households ultimately received a smaller share of the gains. NAR found that of the $8.2 trillion amassed in housing wealth from 2010 through 2020, high-income homeowners claimed roughly 71% of all wealth accumulation. Among middle-income homeowners, total housing wealth jumped by $2.1 trillion, or 26% of the housing wealth gains, with nearly 980,000 additional middle-income homeowner households. Among low-income homeowners, housing wealth rose by $296 billion, or 4% of the housing wealth gain. Low-income homeowners comprised a smaller fraction of all homeowners in 2020, at just 27.2%. This is down from 38.1% in 2010, with nearly 5.8 million fewer lower-income households that were homeowners from 2010 through 2020. There were 979,143 more middle-income homeowners over this decade, but they consisted of a smaller fraction of homeowners in 2020, at 43%, from 45.5% in 2010. High-income homeowners made up a larger portion of owners, at 29.8%. This is an increase from 16.4% in 2010 and is 11.1 million more high-income households in 2020 compared to 2010. Since the Great Recession, the homeownership rate has declined across all income groups, with the largest drop among the middle-income homeownership rate, which fell from 78.1% to 69.7%. Low-income households observed homeownership rates fall, but to a smaller degree – two percentage points – while high-income households saw declines at four percentage points. "Homeownership is rewarding in so many ways and can serve as a vital component in achieving financial stability," said NAR President Leslie Rouda Smith, a Realtor® from Plano, Texas, and a broker associate at Dave Perry-Miller Real Estate in Dallas. "Now, we must focus on increasing access to safe, affordable housing and ensuring that more people can begin to amass and pass on the gains from homeownership." The National Association of Realtors® is America's largest trade association, representing more than 1.5 million members involved in all aspects of the residential and commercial real estate industries.
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Nearly 1 in 3 Homebuyers Is Looking to Relocate, an All-Time High
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U.S. Homeownership Rate Experiences Largest Annual Increase on Record, Though Black Homeownership Remains Lower Than a Decade Ago, NAR Analysis Finds
Hispanic American homeownership is at an all-time high and above 50% for the first time WASHINGTON (February 23, 2022) -- The U.S. homeownership rate climbed to 65.5% in 2020, up 1.3% from 2019 and the largest annual increase on record. More Americans are likely to own a home now than during any year following the Great Recession (65.4% homeownership rate in 2010); however, Black Americans continue to face significant obstacles along the path to homeownership, according to the National Association of Realtors®. The homeownership rate for Black Americans – 43.4% – trails behind that of a decade ago (44.2% in 2010). Conversely, White Americans (72.1%), Asian Americans (61.7%) and Hispanic Americans (51.1%) all achieved decadelong highs in homeownership in 2020, with the rate for Hispanic Americans setting a record and reaching above 50% for the first time. NAR's 2022 Snapshot of Race and Home Buying in America report examines homeownership trends and challenges by race and location to explain current racial disparities in the housing market. Using data from the 2021 Profile of Home Buyers and Sellers, the report looks at the characteristics of who purchases homes, why they purchase, what they purchase and the financial background for buyers based on race. "As the gap in homeownership rates for Black and White Americans has widened, it is important to understand the unique challenges that minority home buyers face," said Jessica Lautz, NAR vice president of demographics and behavioral insights. "Housing affordability and low inventory has made it even more challenging for all buyers to enter into homeownership, but even more so for Black Americans." Housing affordability has eroded for many consumers since the start of the pandemic due to the combination of record-high home prices and record-low inventory. Since 2019, home prices have spiked 30% – or about $80,000 for a typical home, while housing inventory has declined to under one million units available for sale. Approximately half of all homes currently listed for sale (51%) are affordable to households with at least $100,000 income. Nationwide, nearly half of all Asian households annually earn more than $100,000. However, 35% of White households, 25% of Hispanic households and only 20% of Black households have incomes greater than $100,000. NAR's analysis found that the most affordable states for Black households to purchase a home are Maryland, West Virginia, Kansas, Ohio and Indiana. Conversely, the least affordable states for Black households are Utah, Oregon, California, Nevada and Rhode Island. In terms of renter households, half of Black Americans spend more than 30% of their monthly income on rent. Almost three out of 10 Black renter households (28%) and one in five White renter households (20%) are severely cost-burdened – defined as spending more than 50% of monthly income on rent. Nationwide, NAR estimates that 47% of White renter households and 36% of Black renter households can afford to buy a typical home when comparing the qualifying income to purchase a home and the median income of renter households. "Black households not only spend a bigger portion of their income on rent, but they are also more likely to hold student debt and have higher balances," Lautz added. "This makes it difficult for Black households to save for a down payment and as a result, they often use their 401(k) or retirement savings to enter homeownership." Black households (41%) are more than twice as likely as Asian households (18%) and nearly twice as likely as White households (22%) to have student loan debt. Approximately a quarter of Hispanic households (26%) reported having student loan debt. The median student loan debt for Black households ($45,000) exceeded that of Hispanic ($35,500), White ($30,000) and Asian ($24,400) households. Student debt is often a major impediment for prospective home buyers in saving for a down payment. Black and Hispanic applicants (7% each) were rejected for mortgage loans at greater rates than White and Asian applicants – 4% and 3%, respectively. Black Americans (14%) and Hispanic Americans (12%) were at least twice as likely than White Americans (6%) to tap into their 401(k) or pension funds as a down payment source for a home purchase. Such actions can diminish future wealth growth. Conversely, almost four out of 10 White Americans (38%) used the funds from the sale of their primary residence to serve as a down payment for a home compared to only 25% of Hispanic, 21% of Black and 16% of Asian Americans. The study noted that for those who said they witnessed or experienced discrimination in a real estate transaction, nearly a third of Black respondents (32%) said they faced stricter requirements because of their race. That compares to 19% of White respondents, 16% of Hispanic respondents and 4% of Asian respondents. Approximately one-third of Black and White home buyers (32% each) and almost a quarter of Hispanic home buyers (23%) said they witnessed or experienced discrimination with the type of loan product offered. Approximately seven in 10 White Americans (69%) said they purchased a home in a neighborhood where the majority of the residents were of the same race. However, about a quarter of Hispanic Americans (26%) and less than a fifth of Black (17%) and Asian Americans (15%) said the same. NAR is working to ensure Realtors® are active leaders in the fight to close the racial homeownership gap. NAR serves on the steering committee of the Black Homeownership Collaborative, whose seven-point plan aims to increase Black homeownership by a net 3 million by 2030. NAR has also stepped up the real estate industry's efforts to end bias and discrimination. Its "ACT" plan emphasizes "Accountability, Culture Change, and Training" to advance fair housing in the industry. NAR's interactive training platform, Fairhaven, puts real estate professionals in simulated situations where discrimination in a real estate transaction can occur. Also, NAR's implicit bias video and classroom trainings offer strategies to help Realtors® override biases in their daily interactions. To increase the nation's housing inventory, NAR is advocating that all levels of government include funding for affordable housing construction; preserve, expand and create tax incentives to renovate distressed properties; convert unused commercial space to residential units; and encourage and incentivize zoning reform. Moreover, expanding new-home construction by an additional 550,000 units a year for 10 years would create 2.8 million new jobs and generate more than $400 billion in economic activity. NAR and the Rosen Consulting Group's Housing is Critical Infrastructure: Social and Economic Benefits of Building More Housing report examines the causes of America's housing shortage and provides a range of actions that can effectively address this longtime problem. View NAR's Snapshot of Race & Home Buying in America report here. The National Association of Realtors® is America's largest trade association, representing more than 1.5 million members involved in all aspects of the residential and commercial real estate industries.
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Homebuying Competition Kicks Off 2022 with the Fastest-Moving January Ever
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Record-High Prices and Record-Low Inventory Make It Increasingly Difficult to Achieve Homeownership, Particularly for Black Americans
NAR and Realtor.com identify most affordable housing markets for Black households WASHINGTON (February 7, 2022) -- The surging residential real estate market of the last two years led to record-high home prices and record-low inventory. This simultaneous "double trouble" has made it increasingly difficult for consumers, particularly Black Americans, to achieve homeownership, according to a new analysis from the National Association of Realtors and Realtor.com. The Double Trouble of the Housing Market report examines the impact that rapidly escalating home prices and diminishing housing inventory has on housing affordability. Unlike previous affordability research and indices, NAR and Realtor.com® considered affordability for all income groups, accounted for the affordability of homes currently available for sale instead of homes that have already sold and provided affordability data by race for the 100 largest U.S. metro areas. Nationally, more than 400,000 fewer affordable homes are available for sale for households earning $75,000 to $100,000 when compared to the start of the pandemic (245,300 in December 2021 vs. 656,200 in December 2019). For that same income group, there's one affordable listing available for every 65 households, a significant drop in availability from one affordable listing for every 24 households in 2019. The total home valuation across the country is estimated to have risen by $8.1 trillion from the first quarter of 2020 through the end of 2021. However, this sizable increase in real estate values was not accompanied by a rise in homeownership as the ownership rate remained at approximately 65%. "The housing wealth gain has been sizable over the past two years," said NAR Chief Economist Lawrence Yun. "However, due to the ongoing inventory shortage and rising interest rates, homeownership attainment will become especially challenging unless drastically more housing supply is available." For households with higher incomes, some expensive metro areas – San Francisco, San Jose, Washington, D.C., for example – surprisingly are more affordable than before the start of the pandemic due to increasing incomes and lower mortgage rates. Since 2019, household incomes rose 15% and 13%, respectively, in San Jose and San Francisco. However, while some households in these markets can afford to buy a greater share of homes, fewer options exist as a result of the record-low inventory. For example, households earning $100,000 to $125,000 in the San Francisco metro area can afford to buy 180 fewer homes now compared to December 2019. For households in San Francisco earning $125,000 to $150,000, there are about 300 fewer affordable homes available than in December 2019. "In general, an increase in salary makes housing more affordable to a buyer. But due to the reductions in inventory over the last few years, today's buyers in large tech markets can actually afford a smaller number of homes than they could two years ago, despite an uptick in wages," said Realtor.com® Chief Economist Danielle Hale. "The low inventory challenge is particularly acute for some racial and ethnic groups who have faced greater hurdles to homeownership stemming from, among other things, lower incomes as a group." A significant and persistent racial homeownership gap exists in America. Since 2017, the annual homeownership rate for White Americans has remained comfortably above 70%; however, the homeownership rate for Black Americans has been slightly above 40% – nearly 30 percentage points lower. NAR and Realtor.com® analyzed housing affordability by racial group to help explain the differences in homeownership. Nationwide, 35% of White households and only 20% of Black households have incomes greater than $100,000. Approximately half of all homes currently listed for sale (51%) are affordable to households with at least $100,000 income and substantial variances in affordability exist by metro area. "Moreover, the homeownership rate has been around 50% for all households in the expensive metro markets, such as Los Angeles and San Francisco, and therefore it's becoming nearly impossible to afford a home, especially for Black households," Yun added. "At the same time, there are affordable markets that still provide opportunities to achieve homeownership as inventory at affordable price points is reasonably available." NAR and Realtor.com® also identified the top 10 most affordable housing markets for Black households. In alphabetical order, the markets are Akron, Ohio; Baltimore, Md.; Birmingham, Ala.; Dayton, Ohio; Detroit, Mich.; McAllen, Texas; Memphis, Tenn.; St. Louis, Mo.; Toledo, Ohio; and Youngstown, Ohio. In these metro areas, Black households can afford to buy homes roughly in proportion to their income distributions. To increase the nation's housing inventory, NAR is advocating that all levels of government include funding for affordable housing construction; preserve, expand and create tax incentives to renovate distressed properties; convert unused commercial space to residential units; and encourage and incentivize zoning reform. Moreover, expanding new-home construction by an additional 550,000 units a year for 10 years would create 2.8 million new jobs and generate more than $400 billion in economic activity. NAR and the Rosen Consulting Group's Housing is Critical Infrastructure: Social and Economic Benefits of Building More Housing report examines the causes of America's housing shortage and provides a range of actions that can effectively address this longtime problem. View The Double Trouble of the Housing Market report here. About NAR The National Association of Realtors® is America's largest trade association, representing more than 1.5 million members involved in all aspects of the residential and commercial real estate industries. About Realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 25 years ago, and today through its website and mobile apps offers a marketplace where people can learn about their options, trust in the transparency of information provided to them, and get services and resources that are personalized to their needs. Using proprietary data science and machine learning technology, Realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, Realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. For more information, visit Realtor.com.
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Homebuyer's Agent Commission Rate Dips to 2.63%, the Lowest Since at Least 2017
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More than a third of recent movers say it's harder to find a house than a spouse
New Zillow survey finds most Americans enjoy home shopping more than dating SEATTLE, Feb. 2, 2022 -- Love is in the air this Valentine's Day, at least when it comes to home. A new survey from Zillow finds 80% of Americans say they love their home. However, finding a home is a lot more challenging in today's hypercompetitive and rapidly appreciating housing market. About one-third of recent movers (34%) say it's harder to find a house to buy than a spouse, yet most say shopping for a home is more enjoyable. Women are more likely than men to say shopping for a home is more enjoyable than dating; 62% compared to 39% of men. Some psychologists believe looking at for-sale listings can create a mood-boosting chemical reaction in the brain similar to the excitement of a romantic relationship, a phenomenon parodied on SNL. During the pandemic, a record number of users surfed Zillow to escape the stress of their lives and dream of the possibilities a move could bring. "The way we shop for homes is in many ways similar to the way we meet romantic partners," said Zillow home trends expert Amanda Pendleton. "Both involve wish lists, compromises and deal breakers, and much of the legwork happens online. But unlike dating apps, tools like interactive floor plans and virtual 3D home tours mean fewer home shoppers are disappointed when they see a home in person for the first time. Perhaps that's one reason this survey found that far more people think they'll be successful using an app to find a home to buy (76%) than to find a romantic partner (24%)." Another reason may be expectations. Most people (62%) say their wish list for a romantic partner is more difficult to satisfy than their wish list for a home (38%), and 61% say they have more deal breakers when it comes to choosing a partner. Two-thirds of Americans are more willing to compromise on qualities in a home to buy (67%) than qualities in a romantic partner (33%). Still, most people are romantics at heart, at least when it comes to their home. Nearly 3 in 4 Americans believe they could fall in love at first sight with a home (73%), while more than half believe they could fall in love at first sight with a person (54%). While 65% of singles would consider moving to improve their dating prospects, 84% say they would consider moving in order to buy a home. Once they find it, most people love their home (80%). The most common reasons people love their home are the memories associated with it (82%), and their home's location, neighborhood or neighbors (77%). Tools like Zillow's travel-time function, walk score and transit score can help shoppers choose a neighborhood they'll love. As with dating, finding "the one" in today's housing market may be tough, but shoppers can take steps to land their dream home with the right partners, preparation and persistence. About Zillow Group Zillow Group, Inc. (NASDAQ: Z and ZG) is reimagining real estate to make it easier to unlock life's next chapter. As the most visited real estate website in the United States, Zillow® and its affiliates offer customers an on-demand experience for selling, buying, renting or financing with transparency and nearly seamless end-to-end service. Zillow Home Loans™, our affiliate lender, provides our customers with an easy option to get pre-approved and secure financing for their next home purchase. Zillow recently launched Zillow Homes, Inc., a licensed brokerage entity, to streamline Zillow Offers transactions.
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U.S. Home Seller Profits Soar Again in 2021 as Prices Shoot to New Records
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Housing Markets at Risk from Pandemic Downturns Concentrated in New Jersey, Illinois and California
Chicago and New York City Areas Still Most At-Risk from Damage Connected to Coronavirus Pandemic in Fourth Quarter of 2021; Other Vulnerable Markets Again Mainly Along East Coast; West Region Outside Pockets of California Remain Least Exposed IRVINE, Calif. - Jan. 20, 2022 -- ATTOM, curator of the nation's premier property database, today released its fourth-quarter 2021 Special Coronavirus Report spotlighting county-level housing markets around the United States that are more or less vulnerable to damage from the ongoing Coronavirus pandemic still endangering the U.S. economy. The report shows that New Jersey, Illinois and parts of California had the highest concentrations of the most at-risk markets in the fourth quarter – with the biggest clusters still in the New York City and Chicago areas. The West, meanwhile, remained far less exposed outside of California. The fourth-quarter trends, which generally continued patterns from throughout the past year, revealed that New Jersey, Illinois and California had 31 of the 50 counties most vulnerable to the potential economic impact of the pandemic. The 50 most at-risk included eight counties in the Chicago metropolitan area, eight near New York City and seven sprinkled through northern, central and southern California. Elsewhere, the rest of the top 50 counties were scattered mainly along the East Coast, including two of Delaware's three counties and three counties in the Philadelphia, PA, metropolitan area. Outside of California, no other western counties made it into the top 50 during the fourth quarter of last year. On the contrary, the West region again had the highest concentration of markets considered least vulnerable to pandemic-related damage. Markets were considered more or less at risk based on the percentage of homes facing possible foreclosure, the portion with mortgage balances that exceeded estimated property values and the percentage of average local wages required to pay for major home ownership expenses on median-priced single-family homes. The conclusions were drawn from an analysis of the most recent home affordability, equity and foreclosure reports prepared by ATTOM. Rankings were based on a combination of those three categories in 575 counties around the United States with sufficient data to analyze in the third and fourth quarters of 2021. Counties were ranked in each category, from lowest to highest, with the overall conclusion based on a combination of the three ranks. See below for the full methodology. Disparities in pandemic-related risks to housing markets across the country remained in place during the fourth-quarter of last year even as a decade-long boom in the broader U.S. market continued roaring ahead. Prices climbed more than 10 percent in most of the nation last year, both because of and in spite of the ongoing pandemic that slowed or idled major sectors of the economy in 2020. Throughout the past year, a surge of buyers has flooded the housing market amid a combination of historically low home-mortgage rates and a desire by many to trade congested virus-prone areas for the perceived safety and larger space offered by a house or condominium. As they have chased a tight supply of homes choked further by the pandemic, prices have soared. Despite the continued price runups, a few signs of a possible market slowdown have emerged recently in the form of declining home affordability, slumping investor profits and rising inflation. The pandemic also remains a threat to the market as a third wave surges across the U.S. With that danger still looming, the risk of a downturn remained higher in the fourth quarter of 2021 in counties with some combination of three warning signs: housing that is unaffordable for average workers, higher levels of foreclosures and larger portions of homeowners who are underwater on their mortgages. "The U.S. housing market keeps powering on despite of the Coronavirus pandemic that's still raging across the country. Indeed, home prices keep rising in part because of the crisis," said Todd Teta, chief product officer with ATTOM. "Nevertheless, the virus remains a potent threat to the broader economy and the housing market, with some of the same counties we've seen in the past continuing to look vulnerable to potential downturns. No immediate warning signs hang over any one part of the country, but pockets are more vulnerable to the market taking a turn for the worse." Most-vulnerable counties clustered in the Chicago, New York City and Philadelphia areas, as well as Delaware and parts of California Twenty-eight of the 50 U.S. counties most vulnerable in the fourth quarter of 2021 to housing market troubles connected to the pandemic (from among 575 counties with enough data to be included in the report) were in the New York, NY, Chicago, IL, and Philadelphia, PA, metropolitan areas, as well as in Delaware and California. They included eight in Chicago and its suburbs (Cook, De Kalb, Du Page, Kane, Kendall, Lake, McHenry and Will counties) and eight in the New York City metropolitan area (Bergen, Essex, Hunterdon, Middlesex, Ocean, Passaic and Sussex counties in New Jersey and Rockland County in New York). The three in the Philadelphia, PA, area were Burlington, Camden and Gloucester counties in New Jersey. Kent County (Dover), DE, and Sussex County (Georgetown), DE, also were among the top 50 most at-risk in the fourth quarter. In other states, California had seven counties in the top 50 list: Butte County (Chico), El Dorado County (east of Sacramento), Humboldt County (Eureka) and Shasta County (Redding) in the northern part of the state; as well as Kern County (Bakersfield), Madera County (outside Fresno) and Riverside County (east of Los Angeles) in the central and southern sections of the state. Florida had also three among the top 50. They were Bay County (Panama City), Flagler County (Palm Coast) and Lake County (outside Orlando). Counties most at-risk have higher levels of unaffordable housing, underwater mortgages and foreclosures Major home ownership costs (mortgage payments, property taxes and insurance) on median-priced single-family homes consumed more than 30 percent of average local wages in 32 of the 50 counties that were most vulnerable to market problems connected to the virus pandemic in the fourth quarter of 2021. The highest percentages in those markets were in Rockland County, NY (outside New York City) (57.9 percent of average local wages needed for major ownership costs); El Dorado County, CA (east of Sacramento) (52.5 percent); Riverside County, CA (east of Los Angeles (52 percent); Bergen County, NJ (outside New York City) (47.6 percent) and Passaic County, NJ (outside New York City) (44.7 percent). Nationwide, major expenses on typical homes sold in the fourth quarter required 25.2 percent of average wages. At least 10 percent of residential mortgages were underwater in the third quarter of 2021 (the latest data available on owners owing more than their properties are worth) in 18 of the 50 most at-risk counties. Nationwide, 7.1 percent of mortgages fell into that category. Those with the highest underwater rates among the 50 most at-risk counties were Kennebec County (Augusta), ME (29.6 percent of mortgages underwater); Webb County (Laredo), TX (23.3 percent); Kankakee County, IL (outside Chicago) (19 percent); Saint Clair County, IL (outside St. Louis, MO) (18.3 percent) and Cumberland County (Fayetteville), NC (18.1 percent). More than one in 1,500 residential properties faced a foreclosure action in the fourth quarter of 2021 in 36 of the 50 most at-risk counties. Nationwide, one in 2,446 homes were in that position. (Foreclosure actions have risen over the past few months since the end of a federal moratorium on lenders taking back properties from homeowners who fell behind on their mortgages during the virus pandemic. The moratorium ended July 31 and foreclosures are expected to spike over the coming year.) The highest rates in the top 50 counties were in Saint Clair County, IL (outside St. Louis, MO) (one in 121 residential properties facing possible foreclosure); Camden County, NJ (outside Philadelphia, PA) (one in 606); Sussex County, NJ (outside New York City) (one in 709); Cumberland County, NJ (outside Philadelphia, PA) (one in 743) and Cook County (Chicago), IL (one in 757). Counties least at-risk spread throughout South, Midwest and West Forty-two of the 50 counties least vulnerable to pandemic-related problems from among the 575 included in the fourth-quarter report were in the South, Midwest and West. Just eight were in the Northeast. Oregon had eight of the 50 least at-risk counties, including three in the Portland metropolitan area (Multnomah, Washington and Yamhill counties), while Washington had four, including King County (Seattle) and Spokane County. Colorado had three, including two in the Denver metropolitan areas (Denver and Arapahoe counties). Also on the list of least-vulnerable counties were Blount and Knox counties in the Knoxville, TN, metro area; Erie and Niagara counties in the Buffalo, NY, metro area and Kent and Ottawa counties in the Grand Rapids, MI, area. Others among the top-50 least at-risk counties that had a population of 500,000 or more included Maricopa County (Phoenix), AZ; Hennepin County (Minneapolis), MN); Travis County (Austin), TX; Mecklenburg County (Charlotte), NC, and Suffolk County (Boston), MA. Lower levels of unaffordable housing, underwater mortgages and foreclosure activity in least-vulnerable counties Major home ownership costs (mortgage, property taxes and insurance) on median-priced single-family homes consumed less than 30 percent of average local wages in 35 of the 50 counties that were least at-risk from market problems connected to the virus pandemic in the fourth quarter of 2021. The lowest percentages among those counties were in Kenton County, KY (outside Cincinnati, OH) (16.1 percent of average local wages needed for major ownership costs); Washington County, PA (outside Pittsburgh) (16.6 percent); Saint Louis County (Duluth), MN (16.7 percent); Richmond City/County, VA (17.5 percent) and Madison County (Huntsville), AL (18 percent). More than 10 percent of residential mortgages were underwater in the third quarter of 2021 (with owners owing more than their properties are worth) in only one of the 50 least at-risk counties. Those with the lowest rates among those counties were Deschutes County, (Bend) OR (2 percent of mortgages underwater); Chittenden County (Burlington), VT (2 percent); Travis County (Austin), TX (2.2 percent); Maricopa County (Phoenix), AZ (2.4 percent) and Lane County (Eugene), OR (2.5 percent). More than one in 1,500 residential properties faced a foreclosure action during the fourth quarter of 2021 in none of the 50 least at-risk counties. Those with the lowest rates in those counties were Chittenden County (Burlington), VT (one in 69,734 residential properties facing possible foreclosure); Yamhill County, OR (outside Portland) (one in 39,069); Lane County (Eugene), OR (one in 32,522); Marion County (Salem), OR (one in 31,553) and Deschutes County (Bend), OR (one in 29,571). Report methodology The ATTOM Special Coronavirus Market Impact Report is based on ATTOM's fourth-quarter 2021 residential foreclosure and home affordability reports and third-quarter 2021 underwater property report. (Press releases for those reports show the methodology for each.) Counties with sufficient data to analyze were ranked based on the percentage of residential properties with a foreclosure filing during the fourth quarter of 2021, the percentage of average local wages needed to afford the major expenses of owning a median-priced home in the fourth quarter of 2021 and the percentage of properties with outstanding mortgage balances that exceeded their estimated market values in the third quarter of 2021. Ranks then were added up to develop a composite ranking across all three categories. Equal weight was given to each category. Counties with the lowest composite rank were considered most vulnerable to housing market problems. Those with the highest composite rank were considered least vulnerable. About ATTOM ATTOM provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation's population. A rigorous data management process involving more than 20 steps validates, standardizes, and enhances the real estate data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 20TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through flexible data delivery solutions that include bulk file licenses, property data APIs, real estate market trends, property reports and more. Also, introducing our newest innovative solution, that offers immediate access and streamlines data management – ATTOM Cloud.
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Realtor.com Forecasts the Best Markets for First-Time Homebuyers in 2022
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ShowingTime Data Reveals Impressive Year-Over-Year Demand Across the U.S. as Holiday Home Showing Traffic Heats Up
Led again by Seattle, listings in 13 markets across the country averaged double-digit showings CHICAGO, Dec. 21, 2021 -- The latest data from ShowingTime, the residential real estate industry's leading showing management and market stats technology provider, shows that home buyers continued aggressively shopping for homes throughout most of the U.S. in November, driving year-over-year gains in home showings in all regions according to the latest data from the ShowingTime Showing Index®. Seattle once again led all markets, averaging nearly 15 showings per listing, and was closely followed by Denver, which averaged 13 showings per listing. Orlando, Fla. was next with 12 showings per listing, and four more Florida cities – Miami, Port St. Lucie, Tampa and Sarasota – all averaged double-digit showings per listing. Burlington, Vt., Salt Lake City, Dallas, Manchester, N.H., Boulder, Colo. and Bridgeport, Conn. rounded out the list of top markets. "Showings traditionally lag during the holiday season, but the data we're seeing tells us that buyer demand remains strong," said ShowingTime Vice President & General Manager Michael Lane. "The fact that every region showed a year-over-year increase indicates that buyers are undeterred by the approaching holidays. It speaks to their desire to keep searching for their next home." Both the Midwest and Northeast regions saw 14 percent increases in year-over-year showing activity, with the South's 13.6 percent growth close behind. The West saw a more modest 3 percent boost in activity, with the U.S. overall seeing an increase of 12.5 percent in November. Of the cities on the list with double-digit showings, only Manchester, N.H. recorded a year-over-year decline in buyer activity. The ShowingTime Showing Index is compiled using data from more than six million property showings scheduled across the country each month on listings using ShowingTime products and services. It tracks the average number of appointments received on active listings during the month. About ShowingTime ShowingTime is the industry leader in home touring technology and a proud affiliate of Zillow Group, Inc. ShowingTime's technology and services simplify the tour scheduling process for buyers, sellers and agents across the industry. ShowingTime products are used in hundreds of MLSs representing more than one million real estate professionals across the U.S. and Canada.
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Leading Economic and Housing Experts Predict Multiple Fed Interest Rate Hikes, Slowing Inflation and Home Price Growth in 2022
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Looking for Space and Willing to Pay for It: Realtor.com Survey Shows Shifting Priorities for First-Time Homebuyers
These buyers are increasingly willing to up their budget and pay over asking price to land a home in this competitive market SANTA CLARA, Calif., Dec. 16, 2021 -- Millennials are settling down, starting families and looking for more space -- and they know that it won't come cheap. A new Realtor.com survey suggests shifting priorities among first-time homebuyers who are increasingly looking for flex space such as finished basements, guest rooms and guest houses. These home shoppers have also increased their budgets since the spring, and are more willing to bid over asking price and use other tactics to get ahead of the competition. Realtor.com® and HarrisX surveyed first-time homebuyers in spring 2021 and again in fall 2021 to understand how their priorities have shifted in a competitive housing market. The survey found that while more than a quarter of hopeful first-time homebuyers were unsuccessful at purchasing a home in 2021, 72% are aiming to buy in 2022. And after months of trying, home shoppers have a better understanding of what it will take to write a winning offer. "Despite a challenging year, aspiring first-time homebuyers are surprisingly optimistic about 2022," said George Ratiu, manager of economic research, Realtor.com. "They're looking at the new year as a fresh opportunity to make their dreams of owning a home come true and our survey suggests that they're armed with information and ready to compete for their first home." First-time homebuyers know what it takes to win Home sales are expected to hit their highest level in 16 years in 2022 according to the Realtor.com® 2022 Housing Market Forecast. In this fast-paced, competitive market there are a number of tactics that buyers can use to get ahead such as checking online listings every day, putting more than 20% down and making an offer quickly. In the spring, 79% of first-time homebuyers were planning to use these tactics to win a home, but that number jumped to 91% in the fall, indicating that buyers know what it takes to win. First-time homebuyers have also become more willing to offer over asking price. In the spring 39% said they would not pay over asking, but that number fell to 24% in the fall. In the fall, three percent of first-time buyers were willing to offer 30% over asking (in the spring, no respondents selected this option), which equates to more than $110,000 on a typical home -- a significant premium. Expanding budgets to match the market With the median home price in the U.S. hitting $380,000, many first-time homebuyers found that they needed to up their budget to land a home. In the spring, 75% of first-time shoppers were looking for a home at or below $350,000, but that number fell to 62% by the fall, as budgets increased. While those shopping in the $350,000 - $500,000 range held relatively steady, the number of first-time shoppers in the $500,000 - $750,000 range doubled, jumping from 6% in the spring to 13% in the fall. Staying closer to home During the pandemic, many people moved from cities to suburbs to find more space and affordability. As we head into 2022, survey respondents are planning to stay closer to their current location. First-time homebuyers planning to stay in their current city or town increased from 40% in the spring to 47% in the fall. Those planning to move to a different city or town within their state decreased from 42% in the spring to 36% in the fall. Those planning to move to a different state held relatively steady at 17% in the spring and 16% in the fall. "Our survey data suggests that many people have found the location they'd like to settle down in, and are now focused on landing the right home. And with more homes expected to hit the market in the coming months, there should be plenty of opportunity for prepared buyers to find their dream home," said Ratiu. Methodology: The survey was conducted online from Sept. 23 - Oct. 1, 2021 among 2,583 adults by HarrisX (which includes an oversample achieving 502 respondents buying a house for the first time in the next year). The sampling margin of error of this poll is +/- 1.9 percentage points for all respondents, and 4.4 percentage points for first-time homebuyers. The results reflect a nationally representative sample of U.S. adults. Results were weighted for age by gender, region, race/ethnicity, income, and the status of those first-time homebuyers where necessary to align them with their actual proportions in the population. About Realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 25 years ago, and today through its website and mobile apps offers a marketplace where people can learn about their options, trust in the transparency of information provided to them, and get services and resources that are personalized to their needs. Using proprietary data science and machine learning technology, Realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, Realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. For more information, visit Realtor.com.
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Realtor.com Forecasts the Top Housing Markets of 2022
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Realtor.com 2022 Housing Forecast Reveals a Whirlwind Year Ahead for Buyers, Especially First-Timers
2022 will be very competitive as home sales hit a 16-year high and trends like workplace flexibility enable more homebuyer success SANTA CLARA, Calif., Dec. 1, 2021 -- Americans will have a better chance to find a home in 2022, but will face a competitive seller's market as first-time buyer demand outmatches the inventory recovery, according to the Realtor.com 2022 Housing Forecast. Additionally, with listing prices, rents and mortgage rates all expected to climb while incomes rise, 2022 will present a mixed bag of housing affordability challenges and opportunities. "Whether the pandemic delayed plans or created new opportunities to make a move, Americans are poised for a whirlwind year of home buying in 2022. With more sellers expected to enter the market as buyer competition remains fierce, we anticipate strong home sales growth at a more sustainable pace than in 2021," said Realtor.com® Chief Economist Danielle Hale. "Affordability will increasingly be a challenge as interest rates and prices rise, but remote work may expand search areas and enable younger buyers to find their first homes sooner than they might have otherwise. And with more than 45 million millennials within the prime first-time buying ages of 26-35 heading into 2022, we expect the market to remain competitive." Realtor.com® forecasts strong 2022 home sales and competition, as first-time buyers overwhelm recovering inventory levels Realtor.com® forecasts 2022 home sales (+6.6% year-over-year) will hit their highest level in 16 years as buyers remain active and for-sale inventory begins to recover from recent steep declines. 2022 buyers will face a competitive seller's market, with record-high listing prices, fast-paced sales and limited for-sale home options as existing-home listings continue to lag behind pre-COVID levels. The new construction supply gap of 5.2 million new homes may shrink somewhat in 2022 as builders continue to ramp up production with a projected increase of 5% year-over-year. With prospective sellers planning to increasingly enter the market this winter, Americans can look forward to more opportunities to make a successful home purchase. Affordability will be a growing consideration as mortgage rates and home prices rise, but a growing economy, strong employment market and workplace flexibility will enable more home shoppers to successfully buy their first homes without breaking their budgets. Additionally, with rents forecasted to grow at a faster annual pace (+7.1%) than for-sale home prices (+2.9%) in 2022, homebuying may become the more affordable option, when compared to renting, in many markets. Despite the challenging market, the homeownership rate is expected to grow slightly in 2022 (65.8%). 2022 housing trends reflect new homebuying opportunities combined with the past decade of growing challenges Millennials fuel fierce first-time buying competition for limited inventory through 2025: Millennial housing demand has been rising for years, but the pandemic ignited a first-time buying frenzy as the decade-long housing shortage converged with new opportunities for young buyers to pursue their first homes. Recent survey data shows millennials account for over half (53%) of prospective buyers who plan to purchase their first home within the next year. Despite positive signs of inventory's return to growth in 2022, this first-time buyer demand is expected to outmatch both new and existing-home inventory. As a result, home shoppers will face fierce competition in 2022 – and for at least the next three years as millennials finish their first time buying years, the relatively smaller Gen Z population increasingly enters the housing market, and more older Americans begin downsizing for retirement. Housing affordability issues will be a mixed bag: While historically-low mortgage rates helped buyers better manage monthly housing costs in 2021, affordability will be an important consideration in 2022 as mortgage rates climb and home prices continue to rise 2.9%. However, a number of factors will help keep homeownership in reach for many buyers, including expected income growth of 3.3% by year end and declining unemployment, expected to drop from a projected 4.8% in the last three months of 2021 to 3.5% during the same time period in 2022. Additionally, with rental prices expected to surge in 2022 as they catch-up from below-average growth seen during COVID, many markets may offer more affordable monthly first-time buying costs relative to rents. Shifting workplace dynamics create new homebuying opportunities: From workplace flexibility to higher incomes, 2022 will see employees call the shots on issues that will play an increasingly important role in the housing market. As the economy grows and unemployment declines, bigger paychecks will enable buyers to compete even as housing costs rise, while more power to negotiate flexible workplace arrangements will allow home shoppers to explore lower-priced housing markets further from expensive city centers. In fact, recent survey data shows nearly one-in-five prospective sellers (19%) are looking to move because they no longer need to live near the office, up from just 6% in the spring. COVID compounds demand for more space – both inside and outside the home: Demand for more space has been a consistent trend throughout the pandemic and one that is expected to carry into 2022. With the number of Realtor.com® viewers of suburban home listings rising 42.1% since the onset of COVID, the suburbs will continue to be more popular than big urban metros as home shoppers search for relatively affordable and larger homes. Recent data suggests builders will account for buyer preferences for more space in their 2022 production plans as new single-family homes have begun to get larger. However, with demand expected to outpace new construction growth and the typical 2,000 square foot single-family home price still rising at a double-digit annual pace in October (+16.7%), buyers may have to sacrifice extra space in order to afford a home in their desired area. Homeowner diversity will play an increasingly important role in the market: With U.S. demographic diversity increasing in younger generations, populations like Hispanic Americans will play a growing role in the 2022 housing market. Although they are underrepresented among homebuyers relative to their share of the population, the number of hispanic home shoppers is rising at a faster pace than non-Hispanics. Additionally, as the majority of new hispanic homeowners fell in the critical first-time buyer category, the population will increasingly drive housing demand and impact the homeownership rate in 2022 and beyond. "Our Housing Forecast suggests that we're in store for another dynamic year of activity, but 2022 will also come with growing pains as we navigate the path forward from the height of the pandemic toward a new normal," said George Ratiu, Manager of Economic Research for Realtor.com®. "With most real estate markets expected to be competitive in 2022, it's important to remember that you're in the driver's seat of your real estate journey. The bottom line for buyers is to make sure you're comfortable with your timeline and budget – and especially for younger buyers making this massive financial decision for the first time. For sellers, take into account your local market conditions as well as the likely increase in the number of homes for sale, and price yours competitively. The good news is that sites like Realtor.com® provide more advanced digital real estate tools than ever before, including personalized matching to high-quality real estate agents in your local area, to help you chart the best path forward for you and your family." Homebuyers can use Realtor.com® tools like its affordability calculator to get a sense of how much they can afford in the 2022 housing market, as well as the Realtor.com® app to set up personalized searches and price alerts on new listings matching their criteria. Additionally, sellers can use Realtor.com® resources like My Home and Seller's Marketplace to explore multiple home valuations, instant offers from Opendoor, the Knock Home Swap™ for those buying a next home at the same time, and more. Realtor.com® 2022 Housing Forecast – 100 Largest U.S. Metros (in alphabetical order) Methodology Realtor.com®'s model-based forecast uses data on the housing market and overall economy to estimate values for these variables in the year ahead. About Realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 25 years ago, and today through its website and mobile apps offers a marketplace where people can learn about their options, trust in the transparency of information provided to them, and get services and resources that are personalized to their needs. Using proprietary data science and machine learning technology, Realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, Realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. For more information, visit Realtor.com.
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34% of Recent Movers Live in Single-Income Households, Up From 29% Before the Pandemic
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Americans Are Willing to Get Ghoulish to Snag a Home in This Monsterish Market, According to Realtor.com Survey
One third of Americans would live with a friendly ghost if it means being able to afford their dream home in the current market SANTA CLARA, Calif., Oct. 26, 2021 -- In the most hair-raising housing market the country's ever seen, Americans aren't spooked by the prospect of living with things that go bump in the night. According to Realtor.com's annual Halloween survey, ghostly happenings and nightmarish neighbors are all fair game if it means being able to afford their dream home in the current market. The survey of 2,583 U.S. adults, conducted online in Sept. 2021 by HarrisX, found that Americans are willing to live not only with a ghost, but also with other ghoulish going-ons. Almost one third (30%) would be willing to live with a friendly ghost. Twenty percent would live in a home where a murder has taken place. 17% would live in a haunted house, and that jumps to 46% if they're able to get the haunted home at a discounted price. Plus, they're willing to have nightmarish neighbors, with 30% of survey respondents saying they would live next to a cemetery, while one quarter (25%) say they would live next door to a haunted house. "In today's ultra-competitive housing market, buyers are looking for a break," said Realtor.com® Deputy News Editor Clare Trapasso. "The majority are willing to consider homes that are rumored to be haunted, especially if they can get these properties at a discount. Nearly half of those surveyed would live in a haunted house if they can get a good discount, which to many buyers is more than half off of the market price." Those looking to buy in the next 12 months are even more open to living with spooky spirits, especially if that means they can get their new home for less. 63% are willing to live in a haunted house at a discounted price, with most looking for a discount that's more than 20% off market price. Americans are also open to living in a home where a murder has taken place, but they're looking for a discount here too. Three quarters (75%) say they'd require a discount to buy a home where someone was murdered, with most (69%) wanting more than 10% off market price. Some want even more money off: one quarter (24%) would need a discount of more than 50% to buy a home where someone was murdered. For those willing to live in creepy quarters, they'll be in good company. Almost one third (30%) of Americans say they've lived in a house they believed was haunted. Fifty-four percent of those looking to sell their home within the next 12 months have lived in a house they believed was haunted. Buyers should look out for spooky signs before they move in. About one quarter (27%) of Americans who've lived in a house they believe was haunted say they learned the house was haunted before moving in (and still moved in), while 73% only learned the house was haunted after moving in. Mostly, they believe their house was haunted due to strange noises (58%), the feel of certain rooms (44%) and shadows (42%). Other reasons include feeling touched (37%), pet behavior (37%), items moving (35%), hot/cold spots (34%), ghost sightings (33%), lights turning on/off (31%) and levitating objects (12%). "Homebuyers who are concerned about a home's past should be sure to ask questions and do some research before they buy a new house. Only a few states require sellers to inform house hunters if someone died on the property. Some people who find themselves living in a home they believe to be haunted turn to specialists -- like paranormal investigators, spiritual healers, and even church-sanctioned religious leaders," said Trapasso. Methodology: This survey was conducted online within the U. S. from Sept. 23 - Oct. 1 among 2,583 adults by HarrisX. The sampling margin of error of this poll is plus or minus 1.9 percentage points. The results reflect a nationally representative sample of U.S. adults. Results were weighted for age by gender, region, race/ethnicity, income. About Realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, Realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, Realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit Realtor.com.
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The 5 Most Haunted Cities in the U.S.
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October Is Ripe for Homebuyers According to Analysis from ATTOM on Historical Home Sales
Buyers willing to close in October avoid prices well above market value; Analysis narrows in on best days to buy nationwide and best months to buy at the state level IRVINE, Calif. - Oct. 7, 2021 -- ATTOM, curator of the nation's premier property database, today released its annual analysis of the best time of the year to buy a home, which shows that the month of October, as well as the winter months, offer homebuyers the best deals – fetching lower premiums than other months of the year. According to the analysis, buyers who close in October will get the best deal compared to the spring buying season. While the premium is still above market value, homebuyers are only dealing with a 2.9% premium, as opposed to the month of May, when homebuyers are experiencing an 11.5% premium. This analysis of more than 33 million single family home and condo sales over the past eight years is evidence of the continuation of a hot sellers' market (see full methodology below). The analysis also looked at the best days to buy at the national level (December) and best months to buy at the state level. Best Days to Buy Nationally, days that fall in December offer the lowest premium for homebuyers. With December 5th seeing a 1.6% premium, December 26th a 2% premium, January 6th a 2.2% premium, November 9th a 2.3% premium and December 31st a 2.4% premium. A far cry from the month of May, where May 23rd and 27th offer a 17.4% premium, May 20th a 16.6% premium, May 16th a 15.6% premium and May 19th a 15.4% premium. Best Months to Buy by State According to the study, the states realizing the biggest discounts below full market value were Delaware (-7.9% in February); Tennessee (-7% in January); New Jersey (-4.9% in February); Maryland (-4.8% in November); and Ohio (-4.8% in January). Methodology For this analysis ATTOM looked at any calendar day in the last eight years (2013 to 2020) with at least 10,000 single family home and condo sales. There were 362 days (including leap year data) that matched this measure, with the four exceptions being Jan. 1, July 4, Nov. 11 and Dec. 25. To calculate the premium or discount paid on a given day, ATTOM compared the median sales price for homes with a purchase closing on that day with the median automated valuation model (AVM) for those same homes at the time of sale. About ATTOM ATTOM provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation's population. A rigorous data management process involving more than 20 steps validates, standardizes, and enhances the real estate data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 20TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through flexible data delivery solutions that include bulk file licenses, property data APIs, real estate market trends, and more. Also, introducing our latest solution, that offers immediate access and streamlines data management – ATTOM Cloud.
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Natural Disaster Threats Are Now Front and Center for Homebuyers
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NAR Identifies America's Top 10 Commercial Office Markets of 2021
Association's latest commercial real estate report released during inaugural C5 Commercial Real Estate Summit in New York City NEW YORK (September 27, 2021) -- The National Association of Realtors identified the top 10 commercial office markets as of the third quarter of 2021 in its monthly Commercial Market Insights report released Monday. In alphabetical order, the markets are as follows: Austin, Texas Boise, Idaho Chattanooga, Tennessee Daytona Beach, Florida Miami, Florida Myrtle Beach, South Carolina Omaha, Nebraska Palm Beach, Florida Provo, Utah San Antonio, Texas NAR analyzed 390 commercial real estate markets and found a robust recovery with positive net absorption and strengthening rents across the multifamily, industrial and retail property markets as economic production rebounds to pre-pandemic levels. The apartment and industrial sectors, specifically, are reporting historically low vacancy rates, while retail has undergone a more gradual recovery as consumers continue their return to brick-and-mortar shopping. The office sector, however, continues to struggle, as absorption rates and rents have declined and many occupied spaces remain largely void of workers. Positive indicators have been noted in small- and medium-sized metropolitan areas, which are seeing increases in office occupancy rates that outperform most large cities and the national average. "Even as the economy makes a steady recovery, the one sector still lagging behind has been the office market," said NAR Chief Economist Lawrence Yun. "Work-from-home flexibility looks to be the defining shift of the new post-pandemic economy. "Despite the overall challenges, however, some local markets are bucking the trend with more office occupancy and rising rents. A combination of strong in-migration and relatively lower cost of doing business is driving these growth markets." NAR unveiled the top office markets today as part of its inaugural C5 Summit in New York City. C5 – Commercial. Connect. Commerce. Capital. Community. – brings together commercial investors and influential industry leaders, including commercial brokers and developers, state and local Realtor® associations, economic development corporations, government officials, REITs, and domestic and international investors. "C5 is the nation's top gathering of commercial real estate and economic development professionals," said NAR President Charlie Oppler, a Realtor® from Franklin Lakes, N.J., and the CEO of Prominent Properties Sotheby's International Realty. "Commercial real estate plays a vital role in stimulating the economy and revitalizing communities. Whether it's sales, property management, financing or development, C5 will help facilitate important investment and partnership opportunities." View NAR's latest Commercial Markets Insights report here. The National Association of Realtors® is America's largest trade association, representing more than 1.5 million members involved in all aspects of the residential and commercial real estate industries.
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Student Loan Debt Holding Back Majority of Millennials from Homeownership
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CFPB Report: Renters at Risk as COVID-19 Safety Net Ends
Stimulus Checks and Other Payment Relief Linked to Renters' Financial Stability WASHINGTON, D.C. -- The Consumer Financial Protection Bureau (CFPB) today released a report warning that millions of renters and their families may suffer previously avoided economic harms of the COVID-19 pandemic as federal and state relief programs end. The report, "Financial conditions for renters before and during the COVID-19 Pandemic," finds that some government relief efforts likely helped maintain the financial stability of renters and their families, suggesting that many may be at risk as those programs expire. The report, which compared homeowners and renters, found that, on average, renters' economic conditions were significantly more responsive to relief measures such as stimulus payments and changes in unemployment benefits. When these programs end, renters and their families may be at heightened risk. The findings in today's report will help inform the CFPB's ongoing work to support renters and their families. "Today's report confirms that renters, when compared to homeowners, are more likely to be Black or Hispanic, more likely to have lower incomes, and more likely to be women. They are also at particular risk of falling further behind as the nation recovers from the economic impacts of COVID," said CFPB Acting Director Dave Uejio. "Past recessions and depressions have seen communities of color and low-income communities of all races and ethnicities left behind when the broader economy recovers. We cannot repeat that history. The CFPB is committed to helping renters and their families thrive. We must amplify and protect the modest gains renters made during the pandemic to ensure this nation's full and equitable recovery from COVID-19." Using the CFPB's Making Ends Meet survey and consumer credit data, CFPB researchers found that financial conditions faced by renters and homeowners were divergent before the pandemic, with renters generally experiencing more financial vulnerability than homeowners. Renters therefore had more to gain from some pandemic relief efforts than homeowners. They also could have more to lose from the termination of relief. Comparing renters and homeowners, researchers found: Compared to homeowners, renters are more likely to be Black or Hispanic, are younger, and have lower incomes. Prior to the pandemic, average credit scores among renters were 86 points lower than those of homeowners with a mortgage, and 106 points lower than those homeowners who reported paying no mortgage. Renters' Financial Well-Being Scores were nearly 8 points lower than those of homeowners with a mortgage, and more than 13 points lower than homeowners who reported paying no mortgage. Renters' debt obligations also differed considerably from those of homeowners before the pandemic. In June 2019, renters were more likely than homeowners to have student debt and to have used some form of alternative financial service, such as payday, pawn shop, or auto-title loans. During the pandemic, despite poor labor market conditions, renters' financial conditions, on average, appeared to improve as much as, or more than, those of homeowners. Renters' credit scores grew by 16 points during the pandemic, compared to 10 points for mortgagors and 7 points for other homeowners, for example. However, renters' credit scores, though improved, remained substantially below those of homeowners, even accounting for the modest improvements of renters' credit scores. Renters' financial conditions throughout the pandemic have been more responsive to changes in government financial assistance than those of homeowners. Delinquency, credit card use, and credit card debt among renters rose and fell in conjunction with stimulus payments and changes in federal unemployment benefits, while homeowners' delinquency, credit card use, and credit card debt remained comparatively stable. Among renters, some credit outcomes among groups who qualified for targeted pandemic relief appeared to be more responsive to policy changes than those among other groups. For example, credit scores among renters with student debt leapt 40 points during the first months of the pandemic. Additionally, delinquency rates among renters with children saw a considerable decline following stimulus payments during the pandemic (dropping from 42.1% to 34.4%), perhaps reflecting that stimulus payments could be larger depending on the presence of children in the family. As government pandemic financial supports end, renters are in danger of falling further behind the broader national recovery. Renters represent over 30% of U.S. households, and their welfare is critical to the welfare of the larger economy and the communities in which we live. As part of its work to support an equitable economic recovery, the CFPB has reminded credit reporting agencies and furnishers of their obligations to report rent payments and evictions accurately. Accurate reporting is now even more essential with the new mortgage underwriting process announced by Fannie Mae last week, which will add rental payments to the evaluation process for mortgage qualification and approval. The CFPB will use today's report to inform how best to support an equitable recovery for renters and all Americans. Read the CFPB's full report, "Financial conditions for renters before and during the COVID-19 Pandemic." The Consumer Financial Protection Bureau (CFPB) is a 21st century agency that helps consumer finance markets work by making rules more effective, by consistently and fairly enforcing those rules, and by empowering consumers to take more control over their economic lives. For more information, visit www.consumerfinance.gov
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The Best Home Buying Deals of The Year Are Here, According to Realtor.com
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U.S. Home Price Index Annual Growth Reaches All-Time High in July, CoreLogic Reports
Areas with lower population density remain in high demand; lead the way in price growth IRVINE, Calif., September 7, 2021 -- CoreLogic, a leading global property information, analytics and data-enabled solutions provider, today released the CoreLogic Home Price Index (HPI) and HPI Forecast for July 2021. With mortgage rates remaining near record lows, the ongoing challenges of persistent demand and constricted supply continue to put upward pressure on home prices. A recent CoreLogic survey of consumers looking to buy homes shows that, on average, 65.8% of respondents across all age cohorts strongly prefer standalone properties compared to other property types. Given the widespread demand, and considering the number of standalone homes built during the past decade, the single-family market is estimated to be undersupplied by 4.35 million units by 2022. "Home price appreciation continues to escalate as millennials entering their prime home buying years, renters looking to escape skyrocketing rents and deep pocketed investors drive demand," said Frank Martell, president and CEO of CoreLogic. "On the supply side, it is also the result of chronic under building, especially of affordable stock. This lack of supply is unlikely to be resolved over the next 5 to 10 years without more aggressive incentives for builders to add new units." Top Takeaways: Nationally, home prices increased 18% in July 2021, compared to July 2020. This is the largest 12-month growth in the U.S. index since the series began (January 1976 – January 1977). On a month-over-month basis, home prices increased by 1.8% compared to June 2021. In July, appreciation of detached properties (19.7%) was again the highest measured since the inception of the index and nearly double that of attached properties (11.6%) as prospective buyers continue to seek more living space and lower density communities. Home price gains are projected to slow to a 2.7% increase by July 2022, as ongoing affordability challenges deter some potential buyers and an expected uptick in new for-sale listings cause a slowdown in home price growth. In July, home prices rose sharply in the west with Twin Falls, Idaho, experiencing the highest year-over-year increase for a third consecutive month at 39.8%. Bend, Oregon, ranked second with a year-over-year increase of 37.1%. At the state level, Idaho and Arizona again led the way with the strongest price growth at 33.6% and 28.4%, respectively. Utah also had a 25.7% year-over-year increase as home buyers seek out more affordable locations with lower population density and attractive outdoor amenities. "July's annual home price growth was the most that we have ever seen in the 45-year history of the CoreLogic Home Price Index," said Dr. Frank Nothaft, chief economist at CoreLogic. "This price gain has far exceeded income growth and eroded affordability. In the coming months this will temper demand and lead to a slowing in price growth." Methodology The CoreLogic HPI™ is built on industry-leading public record, servicing and securities real-estate databases and incorporates more than 45 years of repeat-sales transactions for analyzing home price trends. Generally released on the first Tuesday of each month with an average five-week lag, the CoreLogic HPI is designed to provide an early indication of home price trends by market segment and for the "Single-Family Combined" tier, representing the most comprehensive set of properties, including all sales for single-family attached and single-family detached properties. The indices are fully revised with each release and employ techniques to signal turning points sooner. The CoreLogic HPI provides measures for multiple market segments, referred to as tiers, based on property type, price, time between sales, loan type (conforming vs. non-conforming) and distressed sales. Broad national coverage is available from the national level down to ZIP Code, including non-disclosure states. CoreLogic HPI Forecasts™ are based on a two-stage, error-correction econometric model that combines the equilibrium home price—as a function of real disposable income per capita—with short-run fluctuations caused by market momentum, mean-reversion, and exogenous economic shocks like changes in the unemployment rate. With a 30-year forecast horizon, CoreLogic HPI Forecasts project CoreLogic HPI levels for two tiers — "Single-Family Combined" (both attached and detached) and "Single-Family Combined Excluding Distressed Sales." As a companion to the CoreLogic HPI Forecasts, Stress-Testing Scenarios align with Comprehensive Capital Analysis and Review (CCAR) national scenarios to project five years of home prices under baseline, adverse and severely adverse scenarios at state, metropolitan areas and ZIP Code levels. The forecast accuracy represents a 95% statistical confidence interval with a +/- 2% margin of error for the index. About Market Risk Indicator Market Risk Indicators are a subscription-based analytics solution that provide monthly updates on the overall "health" of housing markets across the country. CoreLogic data scientists combine world-class analytics with detailed economic and housing data to help determine the likelihood of a housing bubble burst in 392 major metros and all 50 states. Market Risk Indicators is a multi-phase regression model that provides a probability score (from 1 to 100) on the likelihood of two scenarios per metro: a >10% price reduction and a ≤ 10% price reduction. The higher the score, the higher the risk of a price reduction. About the Market Condition Indicators As part of the CoreLogic HPI and HPI Forecasts offerings, Market Condition Indicators are available for all metropolitan areas and identify individual markets as "overvalued", "at value", or "undervalued." These indicators are derived from the long-term fundamental values, which are a function of real disposable income per capita. Markets are labeled as overvalued if the current home price indexes exceed their long-term values by greater than 10%, and undervalued where the long-term values exceed the index levels by greater than 10%. About the CoreLogic Consumer Housing Sentiment Study 3,000+ consumers were surveyed by CoreLogic via Qualtrics. The study is an annual pulse of U.S. housing market dynamics concentrated on consumers looking to purchase a home, consumers not looking to purchase a home, and current mortgage holder. The survey was conducted in April 2021 and hosted on Qualtrics. The survey has a sampling error of ~3% at the total respondent level with a 95% confidence level. About CoreLogic CoreLogic is a leading global property information, analytics and data-enabled solutions provider. The company's combined data from public, contributory and proprietary sources includes over 4.5 billion records spanning more than 50 years, providing detailed coverage of property, mortgages and other encumbrances, consumer credit, tenancy, location, hazard risk and related performance information. The markets CoreLogic serves include real estate and mortgage finance, insurance, capital markets, and the public sector. CoreLogic delivers value to clients through unique data, analytics, workflow technology, advisory and managed services. Clients rely on CoreLogic to help identify and manage growth opportunities, improve performance and mitigate risk. Headquartered in Irvine, Calif., CoreLogic operates in North America, Western Europe and Asia Pacific. For more information, please visit www.corelogic.com.
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CoreLogic Investor Homebuying Report Shows Slowing Purchase Activity Amid Shifting Market Dynamics: A Decade in Review
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Buying a Starter Home is More Affordable than Renting in Nearly Half of the Biggest U.S. Metros
The U.S. median rental price grew 9.8% year-over-year to $1,607 - 15.5% higher than monthly starter home payments in 24 of the 50 largest U.S. metros SANTA CLARA, Calif., Aug. 26, 2021 -- As rents continue to hit new highs and mortgage rates remain low, buying a starter home now costs less per month than renting a similar-sized unit in 24 of the 50 largest U.S. metros, according to the Realtor.com® Monthly Rental Report released today. The top markets where it's more affordable to buy a starter home versus rent one include: Birmingham, Ala. (33.1% lower), St. Louis, Mo. (29.4% lower), Pittsburgh (27.7% lower), Orlando (25.9% lower) and Cleveland (25.7% lower). Nationally, rents continued rising at an unusually fast pace in July, up 9.8% over last year and 12.2% since 2019. All unit sizes tracked by Realtor.com® posted rent gains and hit new highs: Two-bedrooms at $1,802 (+10.9%), one-bedrooms at $1,495 (+9.5%) and studios at $1,315 (+5.6%). "Rents hit new highs in 40 of the 50 largest U.S. metros this July and grew at an almost double-digit pace – the fastest yearly rate we've seen in the last 18 months," said Realtor.com® Chief Economist Danielle Hale. "Sky-high rents and historically low interest rates have made the monthly cost to buy a starter home lower than renting one in nearly half the markets across the U.S. While this is good news for first-time buyers in these metros, there are plenty of other factors to consider when deciding whether to become a homeowner, including making sure it's the right time for you and your family. But if the monthly costs have been holding you back, data suggests it's worth exploring in many markets, and although it's still hard to find entry-level homes, we are seeing more smaller homes coming on the market." Hale added, many of July's highest rent gains were seen in secondary markets where rental demand has exploded during COVID, driven in part by remote work enabling employees to escape crowded, expensive big cities – at least temporarily. With the future of remote work uncertain for many Americans, first-time homebuyers saw less of a frenzy than renters in a number of July's highest-priced rental markets. This has helped keep monthly starter home costs an average 15.5% ($216) lower than rents in nearly half of the 50 largest U.S. metros. (See methodology below.) First-time homebuying is relatively more affordable in hot rental markets In the top 10 metros that favored first-time homebuying over renting in July, monthly starter home payments were an average 24.3% lower than rents, driven in part by lower median listing prices ($192,000) than the national average ($297,000). The types of starter homes for sale also play a key role in monthly payments, with active inventory in these buyer-friendly metros including nearly two times the share of single-family starter homes (56.1%) than in condo-heavy markets that favor renting. In July, the top 10 markets that favored buying over renting were: Birmingham, Ala. (33.1% lower), St. Louis, Mo. (29.4% lower), Pittsburgh (27.7% lower), Orlando (25.9% lower), Cleveland (25.7% lower), Tampa (22.9% lower), Baltimore (20.5% lower), Indianapolis (20.4% lower), Virginia Beach (19.2% lower) and Riverside, Calif. (18.5% lower). Many of these metros also posted sizeable rent gains over last year in July, led by Riverside (+29.7%), where the median rental price of $2,230 was 18.5% ($413) higher than starter home payments, at $1,817 per month. Even with the surge in prices, Riverside rents were relatively lower than in nearby Los Angeles ($2,742), making the metro an attractive option to big city renters looking to save during COVID. Compared to Los Angeles, first-time homebuyers in Riverside saw 51.5% lower asking prices and nearly three times the share of single-family starter homes, at 75.1% of entry-level inventory in July. Renting beats out buying in big tech cities with rents yet to recover from COVID Typically some of the nation's most expensive housing markets, big tech hubs largely favored renting over buying a starter home in July, partly attributed to higher condo HOA fees. Among 0-2 bedroom homes in these top 10 cities, over seven-in-ten (71%) were condos, on average, compared to 58% nationwide, while median HOA fees of $334 among homes that had this fee were 27% higher than the U.S. median ($263). Seven of the top 10 markets where monthly starter home costs were higher than rents are tech-heavy areas, including: Austin, at 79.2% higher; San Jose, at 47.5% higher; San Francisco, at 44.4% higher; Seattle, at 44.2% higher; Boston, at 40.9% higher; Los Angeles at 39.4% higher; and New York, at 32.0% higher. While rental prices have surpassed pre-COVID levels in the majority of U.S. markets, rents in many of the biggest tech cities have yet to catch up to historical peaks. Among the 50 largest U.S. markets, the only four where rents declined from last year in July were all big tech hubs: New York (-6.1%), Boston (-3.7%), San Francisco (-2.9%) and Chicago (-1.4%). Leading the list of metros that favor renting by a wide margin, at $1,228 higher monthly starter home costs than rents, Austin is currently one of the nation's most competitive housing markets. While costs like median HOA fees are relatively lower in Austin compared to other big tech cities, at $104 versus $1,222 in New York, first-time homebuyers are competing for limited affordable options, with 0-2 bedroom home inventory down 59% year-over-year and prices up 17.5% to a median $431,000 in July. "Emerging tech hubs like Austin have seen a surge in housing demand in recent years as more Silicon Valley companies have opened or expanded offices in these areas. Relocating employees, including many millennials, can see their housing dollars go much further, with rental costs roughly half as high as in San Francisco and San Jose and starter home costs more than a third lower. With growth expected to continue in Austin, there's a premium on real estate, but California transplants may find that relative affordability creates first-time homebuying opportunities," Hale said. Realtor.com®July 2021 Rental Data - Top 10 Markets that Favor Buying Over Renting Realtor.com®July 2021 Rental Data - Top 10 Markets that Favor Renting Over Buying Realtor.com®July 2021 Rental Data - 50 Largest Metropolitan Areas Methodology Rental data as of July 2021. Rental units include apartment communities as well as private rentals (condos, townhomes, single-family homes). All units were studio, 1-bedroom, or 2-bedroom units. National rents were calculated by averaging the medians of the 50 largest metropolitan areas. The monthly cost of buying a home was calculated by averaging the median listing prices of studio, 1-bed, and 2-bed homes, weighted by the number of listings, in each housing market. Memphis for sale data was excluded while inventory data is under review. Monthly buying costs assume a 5% down payment, with a mortgage rate of 2.87%, and include taxes, insurance and HOA fees. Typical market-level monthly HOA fees were included in the overall monthly cost of buying, and the median was not conditional on the presence of an HOA fee. This means that the typical HOA fee included reflects both the fees themselves as well as the prevalence of HOA fees in the cost of local starter homes. All else equal, areas where more homes have HOA fees will reflect a higher HOA fee inclusion. About Realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, Realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, Realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit Realtor.com.
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Three Quarters of Millennials Would Consider a 3D Printed Home, According to Realtor.com Survey
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Opportunity Zone Redevelopment Areas Still Reaping Benefits of National Home-Price Boom in Second Quarter 2021
Median Values Again Rise Annually By At Least 15 Percent in Half of Zones; Opportunity Zone Price Spikes Remain on Par with Those Outside of Zones IRVINE, Calif. - Aug. 12, 2021 -- ATTOM, curator of the nation's premier property database, today released its second-quarter 2021 Opportunity Zones report analyzing qualified low-income zones established by Congress in the Tax Cuts and Jobs Act of 2017 (see full methodology below). In this report, ATTOM looked at 5,236 zones across the United States with sufficient sales data to analyze, meaning they had at least five home sales in the second quarter of 2021. The report found that median single-family home prices increased from the second quarter of 2020 to the second quarter of 2021 in 75 percent of Opportunity Zones and rose by at least 15 percent in about half of them. Price patterns in Opportunity Zones continued to roughly track trends in other areas of the U.S., even surpassing them in some ways, much as they did in the first quarter of this year. Home values in Opportunity Zones did continue to lag well behind the national median of $305,000 in the second quarter of 2021. About three-quarters of the zones with enough data to analyze had typical second-quarter prices below the national figure. Some 39 percent also still had median prices of less than $150,000 in the second quarter of this year. But that was down from 47 percent a year earlier as values inside some of the nation's poorest communities kept surging ahead with the broader national housing market, despite the Coronavirus pandemic remaining a threat to the U.S. economy. Even as the national economy was gradually recovering during the Spring of 2021 from the economic damage that came after the pandemic hit early last year, the impact continued to hit hardest in lower-income communities that comprise most of the zones targeted for tax breaks designed to spur economic redevelopment. Nevertheless, Opportunity Zones largely kept pace with national home-price trends as increases roughly paralleled the nationwide boom now in its 10th year. Opportunity Zones are defined in the Tax Act legislation as census tracts in or along side low-income neighborhoods that meet various criteria for redevelopment in all 50 states, the District of Columbia and U.S. territories. Census tracts, as defined by the U.S. Census Bureau, cover areas that have 1,200 to 8,000 residents, with an average of about 4,000 people. "Housing markets kept chugging along in some of the nation's poorest neighborhoods during the second quarter of this year in another sign that the decade long home-price boom across the nation knows pretty much no boundaries. Values kept rising inside specially designated Opportunity Zones at around the same rate as they did in other areas even as the Coronavirus pandemic continued causing economic hardship," said Todd Teta, chief product officer with ATTOM. "For sure, property values in Opportunity Zones remain depressed. But the price spikes there not only suggest that those communities are a very viable option for households priced out of more-upscale neighborhoods. They also indicate the ongoing potential for the economic revival that underpins the Opportunity Zone tax breaks." High-level findings from the report include: Median prices of single-family houses and condominiums rose from the second quarter of 2020 to the second quarter of 2021 in 2,901 (75 percent) of the Opportunity Zones with sufficient data to analyze and increased in 2,916 (64 percent) of the zones from the first quarter to the second quarter of this year. By comparison, median prices rose annually in 81 percent of census tracts outside of Opportunity Zones and quarterly in 70 percent of them. (Of the 5,236 Opportunity Zones included in the report, 3,850 had enough data to generate usable median prices in the second quarters of both 2020 and 2021; 4,577 had enough data to make comparisons between the first quarter of 2021 and the second quarter of 2021). Measured year over year, median home prices rose at least 15 percent in the second quarter of 2021 in 2,011 (52 percent) of Opportunity Zones with sufficient data. Prices rose that much during that time period in 51 percent of other census tracts throughout the country. Opportunity Zones did even better when comparing areas where prices rose at least 25 percent from the second quarter of 2020 to the second quarter of 2021. Measured year over year, median home prices rose by that level in 1,366 (35 percent) of Opportunity Zones but in only 30 percent of census tracts elsewhere in the country. Typical home values in four of every 10 Opportunity Zones increased annually in the second quarter of 2021 by more than the 22-percent increase in the overall national single-family median home price during that time period. Among states with at least 20 Opportunity Zones, those with the largest percentage of zones where median prices rose, year over year, during the second quarter of 2021 included New Hampshire (median prices up, year over year, in 95 percent of zones), Massachusetts (94 percent), Idaho (91 percent), Utah (90 percent) and Arizona (89 percent). Of all 5,236 zones in the report, 2,021 (39 percent) still had median prices in the second quarter of 2021 that were less than $150,000 and 914 (17 percent) had medians ranging from $150,000 to $199,999. The total percentage of zones with typical values below $200,000 was down from 65 percent in the second quarter of 2020 to 56 percent in the second quarter of 2021. Median values in the second quarter of 2021 ranged from $200,000 to $299,999 in 1,081 Opportunity Zones (21 percent) while they topped the national median of $305,000 in 1,183 (23 percent). The Midwest continued in the second quarter of 2021 to have the highest portion of Opportunity Zone tracts with a median home price of less than $150,000 (63 percent), followed by the South (45 percent), the Northeast (41 percent) and the West (6 percent). Median household incomes in 88 percent of Opportunity Zones were less than the medians in the counties where they were located. Median incomes were less than three-quarters of county-level figures in 56 percent of zones and less than half in 16 percent. Report methodology The ATTOM Opportunity Zones analysis is based on home sales price data derived from recorded sales deeds. Statistics for previous quarters are revised when each new report is issued as more deed data becomes available. ATTOM compared median home prices in census tracts designated as Opportunity Zones by the Internal Revenue Service. Except where noted, tracts were used for the analysis if they had at least five sales in the second quarter of 2021. Median household income data for tracts and counties comes from surveys taken the U.S. Census Bureau (www.census.gov) from 2015 through 2019. The list of designated Qualified Opportunity Zones is located at U.S. Department of the Treasury. Regions are based on designations by the Census Bureau. Hawaii and Alaska, which the bureau designates as part of the Pacific region, were included in the West region for this report. About ATTOM ATTOM provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation's population. A rigorous data management process involving more than 20 steps validates, standardizes, and enhances the real estate data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 20TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through flexible data delivery solutions that include bulk file licenses, property data APIs, real estate market trends, and more. Also, introducing our latest solution, that offers immediate access and streamlines data management – ATTOM Cloud.
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Realtor.com's 2021 Hottest ZIP Codes in America Are Hotter Than Ever Before
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Homeowner Equity Surges Across U.S. During Second Quarter in Yet Another Sign of a Healthy Housing Market
Eight Times More Properties are Equity-Rich Across U.S. Than Seriously Underwater; Portion of U.S. Homes Considered Equity-Rich Up to 34 Percent; Seriously Underwater Properties Down to 4 percent IRVINE, Calif. -- Aug. 5, 2021 -- ATTOM, curator of the nation's premier property database, today released its second-quarter 2021 U.S. Home Equity & Underwater Report, which shows that 34.4 percent of mortgaged residential properties in the United States were considered equity-rich in the second quarter, meaning that the combined estimated amount of loans secured by those properties was no more than 50 percent of their estimated market value. The portion of mortgaged homes that were equity-rich in the second quarter of 2021 – one in three – was up from 31.2 percent in the first quarter of 2021 and from 27.5 percent in the second quarter of 2020. The report also shows that just 4.1 percent of mortgaged homes, or one in 24, were considered seriously underwater in the second quarter of 2021, with a combined estimated balance of loans secured by the property at least 25 percent more than the property's estimated market value. That was down from 5.2 percent of all U.S. properties with a mortgage in the prior quarter and 6.2 percent, or one 16 properties, a year ago. Across the country, 48 states saw equity-rich levels increase and seriously underwater percentages decrease from the first quarter to the second quarter 2021. Every state saw equity-rich levels rise and the seriously underwater portion drop compared to the second quarter of 2020. The improvements at both ends of the equity scale were the largest in two years and provided yet another sign that the United States housing market has resisted damage to the broader economy brought about by the Coronavirus pandemic that hit early last year. As the economy has gradually recovered in 2021, the housing market boom has continued for a 10th straight year, with gains across most measures. Equity increases in the second quarter came as the median home prices nationwide rose 11 percent, quarterly, and 22 percent year over year, during the months running from April through June of 2021. Median vales rose up at least 15 percent annually in a majority of metro-area markets around the country. Those ongoing price runups have boosted equity because the increases have widened the gap between what homeowners owe on their mortgages and the value of their properties. Prices have continued rising over the past year as rock-bottom interest rates and a desire to escape virus-prone areas have led to a bubble of home buyers largely untainted by the pandemic's financial damage. Those buyers have been chasing a declining supply of properties for sale throughout the past year, resulting in elevated demand and soaring values. "The huge home-price jumps over the past year that helped millions of sellers earn big profits also kicked in big-time during the second quarter for other owners who saw their typical equity improve more than at any time in the last two years. Instead of the virus pandemic harming homeowners, it's helped create conditions that have boosted the balance sheets of households all across the country," said Todd Teta, chief product officer with ATTOM. "There are still a lot of questions hanging over the near future of the U.S. housing market, with some connected to how well the economy keeps recovering from the pandemic, and some not. We'll keep watching those closely, though for now, there are few assets that keep on giving so much as homeownership." Western and northeastern states show biggest improvement in equity-rich share of homes Nine of the 10 states with the biggest gains in the share of equity-rich homes from the first quarter of 2021 to the second quarter of 2021 were in the West and Northeast. States with the biggest increases included Arizona, where the portion of mortgaged homes considered equity-rich rose from 16.3 percent in the first quarter of 2021 to 39.7 percent in the second quarter, Massachusetts (up from 25.3 percent to 41.7 percent), New Hampshire (up from 20.4 percent to 36.1 percent), Rhode Island (up from 21 percent to 36.4 percent) and Delaware (up from 10.5 percent to 25.2 percent). States where the share of equity-rich homes decreased or went up the least from first to the second quarter of this year were Maryland (down from 23.5 percent to 23.2 percent), West Virginia (remained at 19.8 percent), Nebraska (up slightly from 27 percent to 27.1 percent), Alaska (up slightly from 22.5 percent to 22.9 percent) and Montana (up slightly from 40.4 percent to 40.8 percent). South and West show largest declines in underwater properties Seven of the 10 states with the biggest declines from the first quarter of 2021 to the second quarter of 2021 in the percentage of mortgaged homes considered seriously underwater were in the South and West. They included Tennessee (share of mortgaged homes seriously underwater down from 10.1 percent to 4.4 percent), Alabama (down from 12.1 percent to 6.6 percent), Delaware (down from 9.9 percent to 4.6 percent), Alaska (down from 7 percent to 3.1 percent) and Nebraska (down from 8.6 percent to 5 percent). States where the percentage of seriously underwater homes rose or declined the least from the first to the second quarter of 2021 were West Virginia (up from 10.3 percent to 11.7 percent), New Hampshire (up from 2.4 percent to 2.5 percent), Hawaii (down from 2.5 percent to 2.3 percent), New York (down from 3.3 percent to 3.1 percent) and Utah (down from 2.2 percent to 1.9 percent). Largest shares of equity-rich homes still in West; smallest in Midwest and South The West again had far higher levels of equity-rich properties than other regions in the second quarter of 2021. Seven of the top eight states with the highest levels in the second quarter were in the West, led by Idaho (54.2 percent of mortgaged homes were equity-rich), California (53.8 percent), Vermont (53.3 percent), Washington (49.4 percent) and Utah (45.5 percent). Fourteen of the 15 states with the lowest percentages of equity-rich properties in the second quarter of 2021 were in the Midwest and South, led by Louisiana (17.1 percent), Illinois (18.4 percent), Oklahoma (19.6 percent), West Virginia (19.8 percent) and Alabama (21.2 percent). Among 106 metropolitan statistical areas with a population greater than 500,000, nine of the 10 with the highest shares of mortgaged properties that were equity-rich in the second quarter of 2021 also were in the West. They were led by San Jose, CA (69.4 percent equity-rich); San Francisco, CA (64.9 percent); Los Angeles, CA (57.9 percent); Boise, ID (57.4 percent) and San Diego, CA (54.3 percent). The leader in the Northeast region was Boston, MA (43.9 percent), while Austin, TX, again led the South (52.3 percent) and Grand Rapids, MI, continued to top the Midwest (37.2 percent). The 15 metro areas with the lowest percentages of equity-rich properties in the second quarter of 2021 were in the Midwest and South, led by Baton Rouge, LA (13.5 percent of mortgaged homes were equity-rich); Columbia, SC (16.2 percent); Little Rock, AR (17.5 percent); Akron, OH (18.3 percent) and Tulsa, OK (18.4 percent). All but one of the 106 metro areas analyzed (99 percent) showed an increase in levels of equity-rich homes from the first quarter of 2021 to the second quarter of 2021 while all 106 improved year-over- year. Top equity-rich counties still clustered in San Francisco area Among 1,536 counties that had at least 2,500 homes with mortgages in the second quarter of 2021, 17 of the top 20 equity-rich locations were in the West region. The highest concentration again was in the San Francisco Bay area of California. Counties with the highest share of equity-rich properties were San Mateo County, CA (outside San Francisco) (74 percent equity-rich); Santa Clara County (San Jose), CA (70.2 percent); Dukes County (Martha's Vineyard), MA (67.5 percent); Nantucket County, MA (66.4 percent) and Alameda County (Oakland), CA (66.2 percent). Counties with the smallest share were Cumberland County (Fayetteville), NC (6.8 percent); Hoke County, NC (outside Fayetteville) (8.9 percent); Kanawha County (Charleston), WV (9 percent); Vernon Parish, LA (outside Alexandria) (9.2 percent) and Ascension Parish, LA (outside Baton Rouge) (9.4 percent). At least half of all properties equity-rich in almost 1,200 zip codes Among 8,255 U.S. zip codes that had at least 2,000 residential properties with mortgages in the second quarter of 2021, there were 1,172 where at least half of all homes with a mortgage were equity-rich. Forty-seven of the top 50 were in California, again clustered in the San Francisco Bay area. They were led by zip codes 94024 in Los Altos, CA (83.5 percent of mortgaged properties were equity-rich); 94116 in San Francisco, CA (81.4 percent); 94707 in Berkeley, CA (81.2 percent); 94306 in Palo Alto, CA (80.6 percent) and 94122 in San Francisco, CA (80.4 percent). Highest seriously underwater shares still in South and Midwest The 10 states with the highest shares of mortgages that were seriously underwater in the second quarter of 2021 were in the South and Midwest, led by Louisiana (12.2 percent underwater), West Virginia (11.7 percent), Illinois (9 percent), Arkansas (8.8 percent) and Iowa (8.4 percent). The smallest percentages were in the West, led by California (1.4 percent), Washington (1.5 percent), Oregon (1.6 percent), Arizona (1.7 percent) and Utah (1.9 percent). Among 106 metropolitan statistical areas with a population greater than 500,000, those with the largest shares of mortgages that were seriously underwater in the second quarter of 2021 were Baton Rouge, LA (12.7 percent); Toledo, OH (10.3 percent); Youngstown, OH (9.6 percent); Akron, OH (9.6 percent) and New Orleans, LA (9.4 percent). Among the 106 metro areas, 101 (95 percent) showed a decrease in levels of seriously underwater properties from the first to the second quarter of 2021; just five (5 percent) showed an increase. Seriously underwater rates dropped, year over year, in all 106. At least 25 percent of residential properties seriously underwater in just 33 zip codes Among 8,255 U.S. zip codes that had at least 2,000 homes with mortgages in the second quarter of 2021, there were only 33 locations where at least 25 percent of all properties with a mortgage were seriously underwater. The largest number of those zip codes were in Cleveland, OH; Akron, OH; Toledo, OH and St. Louis, MO. The top five zip codes with the largest shares of seriously underwater properties in the second quarter were 25705 in Huntington, WV (56.1 percent of mortgaged homes were seriously underwater); 44110 in Cleveland, OH (52.6 percent); 71730 in El Dorado, AR (52.4 percent); 44105 in Cleveland, OH (48.4 percent) and 44112 in Cleveland, OH (46.7 percent). Report methodology The ATTOM U.S. Home Equity & Underwater report provides counts of properties based on several categories of equity — or loan to value (LTV) — at the state, metro, county and zip code level, along with the percentage of total properties with a mortgage that each equity category represents. The equity/LTV is calculated based on record-level loan model estimating position and amount of loans secured by a property and a record-level automated valuation model (AVM) derived from publicly recorded mortgage and deed of trust data collected and licensed by ATTOM Data Solutions nationwide for more than 155 million U.S. properties. The ATTOM Home Equity and Underwater report has been updated and modified to better reflect a housing market focused on the traditional home buying process. ATTOM found that markets where investors were more prominent, they would offset the loan to value ratio due to sales involving multiple properties with a single jumbo loan encompassing all of the properties. Therefore, going forward such activity is now excluded from the reports in order to provide traditional consumer home purchase and loan activity. About ATTOM ATTOM provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation's population. A rigorous data management process involving more than 20 steps validates, standardizes, and enhances the real estate data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 20TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through flexible data delivery solutions that include bulk file licenses, property data APIs, real estate market trends, and more. Also, introducing our latest solution, that offers immediate access and streamlines data management – ATTOM Cloud.
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Realtor.com Investor Report: Top Markets Where Investors Are Impacting the Inventory Crunch
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Realtor.com Survey Shows With Only Weeks Until School Starts, More Than a Third of College Students Still Haven't Finalized Fall 2021 Housing Plans
35% of college students say they cannot afford to rent an apartment in their college town SANTA CLARA, Calif., July 28, 2021 -- Thirty-five percent of college students headed to school this fall say they cannot afford to rent an apartment in their college town and 19% say their parents are helping them pay rent this year when they didn't need help last year, according to a new Realtor.com® survey released today. When asked what's impacting their struggles, 44% blame the overall real estate market in their college town. "The shortage of affordable housing inventory in the U.S. pushed prices to record-highs and forced more prospective homebuyers into the rental market in June, driving the U.S. median rent price to a new high of $1,575, an 8.1% increase year-over-year," said Realtor.com® Economist George Ratiu. "In addition, many university towns have become attractive destinations for retirees and remote workers, further adding pressure on local real estate markets. With the uncertainty brought about by COVID compounding the rising prices and lower inventory, students are facing a more challenging housing market in their college towns than ever before." Danny (21), a college student in Illinois said, "The rent is incredibly high from where we are and they know they'll get away with it because they know we'll pay it… we're literally in a cornfield in the middle of Illinois. There's no reason that there needs to be rent this high." While finances are playing a significant role in housing plans for this year, so is timing. Thirty percent of students delayed confirming fall 2021 housing due to a lack of certainty about their school holding in-person classes. Those delays have had a ripple effect with 34% of college students not having finalized their housing for fall and 22% of those students saying they waited too long to secure on-campus housing and now it's full, forcing them to change their plan. Despite the challenges, students are eager to get back to school. Half of those who lived at home last year are planning to move out for the fall, but they're really having to pound the pavement to find the right fit. Nearly 40% of those planning to live off-campus and away from home said they looked at 6 or more listings in person while searching for a place to live and over 30% said finding an apartment this year was much harder than last year. Nearly a quarter said the places they looked at rented very fast because there was so much competition. "With speed a necessity for searchers in the fast-paced market, tailoring your home or rental search to listings close to campus will help keep you focused," said Realtor.com® housing and lifestyle expert, Lexie Holbert. "Our school search filter lets you search listings around schools of all levels, including universities, to find rentals and for-sale properties near campus. It also lets you save the search and set an alert, so you'll know when something matching your search criteria hits the market." "There's multiple people going for the same house and it's super competitive, almost to the point where people will gatekeep their agents' information," said Kayla (19), a college student in Eugene, Ore. "We've been looking since a little bit before Thanksgiving of 2020. We looked probably until mid April. We were waking up literally every morning and searching... and then just go back in later in the afternoon and check again," said Owen (19), a college student in Bozeman, MT. Financial challenges aren't just impacting students' ability to find housing but how students will live this year too. Fifty-one percent of students say they have adjusted their living situation in order to save money with 21% moving home to save money, 13% taking on more roommates and 10% choosing to live in lower quality accommodations to save money. Methodology: Realtor.com® commissioned JUV to conduct a national survey of students planning to attend college in the fall of 2021. This survey was conducted online within the United States from July 12 - July 17, 2021. The survey was conducted among 501 young adults who are current college students or recent graduates by JUV Consulting. The sampling margin of error of this poll is 4%. About Realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, Realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, Realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit Realtor.com®.
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Illinois, Florida and New Jersey Dominate Markets Most at Risk from Damage Related to Coronavirus Pandemic
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Wall Street Journal and Realtor.com Release Summer 2021 Emerging Housing Markets Index Report
Second quarterly report includes new data points on real estate taxes, and surfaces 13 new markets in the top 20, with Billings, MT, coming in at number one. NEW YORK and SANTA CLARA, Calif., July 20, 2021 -- The Wall Street Journal and Realtor.com today released the WSJ/Realtor.com Summer 2021 Emerging Housing Markets Index. The index ​analyzes key housing market data, as well as economic vitality and lifestyle metrics, to surface emerging housing markets that offer a high quality of life and are expected to see future home price appreciation. The Top-20 Emerging Markets for Summer 2021 are: Billings, Mont. Coeur d'Alene, Idaho Fort Wayne, Ind. Rapid City, S.D. Raleigh, N.C. Portland-South Portland, Maine Waco, Texas Johnson City, Tenn. Bangor, Maine Huntsville, Ala. Topeka, Kan. Jefferson City, Mo. Elkhart-Goshen, Ind. Colorado Springs, Colo. Eureka-Arcata-Fortuna, Calif. Springfield, Ohio Manchester-Nashua, N.H. Concord, N.H. Burlington, N.C. Elizabethtown-Fort Knox, Ky. Beginning this quarter, the index's methodology will include real estate tax data to offer a more comprehensive look at property ownership in each city. Areas with higher effective real estate taxes are ranked lower, while areas with lower effective real estate taxes are ranked higher. The addition of this metric generally boosted the ranking of areas in the South and West and caused many metro areas in the Northeast and Midwest, as well as Texas and Alaska, to be ranked lower. Taking a Deeper Dive Into the Top Markets: Returning Markets: The list saw 7 repeat markets among the top 20 including last quarter's number one spot, Coeur D'Alene, ​ID, and the new number one market, Billings, MT. Biggest Movers: Three markets among the top 20 jumped roughly 100 spots from last quarter. The biggest mover, Huntsville, AL, shot up 214 spots this quarter. Unemployment Improved: Across the 300 markets, unemployment dropped from 6.3% on average in the first quarter to 5.5% on average in the second quarter. Several of the returning top markets saw even stronger improvements. Smaller Markets Continue to Rank Well: Similar to last quarter, the top 20 emerging housing markets list is dominated by smaller markets. The average population size among the top 20 was just over 300,000, placing them overwhelmingly in the smaller half of the top markets. The largest market on the list is Raleigh, NC, which with a population of 1.4 million, is slightly smaller than last quarter's largest market that made the top 20, Austin, TX (2.2 million). Hot Real Estate Markets, but Affordable Home Prices Mean Room to Rise: The top 20 markets have a median listing price of $349,900 compared with a median of $361,900 in the top 300 largest U.S. markets. These lower prices mean that there is more room for home prices to grow, with prices in the top-20 areas increasing 13.7% year over year compared with 8.0% on average among all 300 areas evaluated. Markets Falling Out of the Top-20: In general, the markets that fell out of the top 20 didn't fall far. Nine of the 13 are still within the top 50, 11 of 13 are within the top 60, and 12 of 13 are within the top 100. The addition of real estate taxes to the index was not helpful for Madison, WI, which dropped 22 spots in the ranking due to that inclusion, alone. Read the full report here. Methodology: The ranking evaluates the 300 most populous core-based statistical areas, as measured by the U.S. Census Bureau, and defined by March 2020 delineation standards for eight indicators across two broad categories: real estate market (50%) and economic health & quality of life (50%). Each market is ranked on a scale of 0 to 100 according to the category indicators, and the overall index is based on the weighted sum of these rankings. The real estate market category indicators are: real estate demand (16.6%), based on average unique viewers per property; real estate supply (16.6%), based on median days on market for real estate listings, median listing price trend (16.6%). The economic and quality of life category indicators are: unemployment (6.25%); wages (6.251%); regional price parities (6.25%); the share of foreign born (6.25%); small businesses (6.25%); amenities (6.25%), measured as per capita "everyday splurge" stores in an area; commute (6.25%); and estimated effective real estate taxes (6.25%). About The Wall Street Journal The Wall Street Journal is a global news organization that provides leading news, information, commentary and analysis. Published by Dow Jones, The Wall Street Journal engages readers across print, digital, mobile, social, and video. Building on its heritage as the preeminent source of global business and financial news, the Journal includes coverage of U.S. & world news, politics, arts, culture, lifestyle, sports, and health. It holds 38 Pulitzer Prizes for outstanding journalism. About Realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, Realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, Realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit Realtor.com®.
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Housing-Market Competition Has Eased Slightly, But 7 in 10 Buyers Still Face Bidding Wars
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Top 5 Best Days to Sell a Home Occur in May, According to New ATTOM Analysis
Home sales over last ten years prove spring and summer months offer best premiums; Home sellers on average realize 8.8 percent premium above market value IRVINE, Calif. - May 4, 2021 -- ATTOM Data Solutions, curator of the nation's premier property database, today released its annual analysis of the best days of the year to sell a home, which shows that the months of May and June offer the greatest home seller premiums – with ten of the best days to sell in the month of May alone. According to this most recent analysis of 40.1 million home sales from 2011-2020, home sellers selling in the late spring and early summer are realizing the biggest premiums – on average 13.4 percent above estimated market value in May and 11.7 percent above in June. The analysis looked at any calendar days in the last ten years with at least 10,000 single family home and condo sales. (See full methodology below.) "As home sellers continue to enjoy an extended sellers' market, moving full steam ahead from the momentum gained over the last ten years, the month of May is particularly poised to garner the greatest sale premiums," said Todd Teta, chief product officer with ATTOM Data Solutions. "Among the top five days fetching the biggest home seller premiums, May 23 is the best day of the year to sell a home, producing a premium of 19.3 percent above market value." Best Months to Sell The analysis also presents a more high-level view, showcasing how seller premiums faired throughout each month of the year. The months realizing the biggest home seller premiums include: May (13.4 percent); June (11.7 percent); July (11.2 percent); April (9.2 percent); August (8.9 percent); March (8.6 percent); February (8.2 percent); September (7.5 percent); January (6.6 percent); November (6.4 percent); October (5.8 percent); and December (5.8 percent). Methodology For this analysis ATTOM Data Solutions looked at any calendar days in the last ten years (2011 to 2020) with at least 10,000 single family home and condo sales. There were 362 days (including leap year data) that matched this criteria, with the four exceptions being Jan. 1, July 4, Nov. 11 and Dec. 25. To calculate the premium or discount paid on a given day, ATTOM compared the median sales price for homes with a purchase closing on that day with the median automated valuation model (AVM) for those same homes at the time of sale. About ATTOM Data Solutions ATTOM Data Solutions provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation's population. A rigorous data management process involving more than 20 steps validates, standardizes and enhances the data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 20TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through flexible data delivery solutions that include bulk file licenses, property data APIs, real estate market trends, marketing lists, match & append and introducing the first property data delivery solution, a cloud-based data platform that streamlines data management – Data-as-a-Service (DaaS).
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Help Is on the Way for Hopeful Homebuyers, According to Realtor.com Survey
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Thinking of Selling Your Home? There May Be No Better Time Than Now
Nationally, the week of April 18-24 is the best time to list your home this year, according to a new realtor.com analysis SANTA CLARA, Calif., April 15, 2021 -- In today's market where homes are selling fast, often above asking and even sight unseen, it may not seem like there is actually a "best" time to list your house for sale. However, earlier in the year is generally better, and according to national market trends, sellers who list their home next week, April 18-24, should see more buyer interest, less competition from other sellers, a faster sale and a higher listing price, according to realtor.com's 2021 Best Time to List analysis released today. To determine the optimum time to list, realtor.com® looked at competition from other sellers, median listing prices, time it takes to sell, likelihood of price reductions and interest from buyers measured by views per property on realtor.com®. Because of COVID's disruption to the market in 2020, the analysis included 2018-2019 listing data. "Unlike 2020 when COVID upended the spring home-buying season and pushed buyer interest to later in the year, this year's housing market is following more typical seasonal trends," said realtor.com® Chief Economist Danielle Hale. "With half as many homes available for sale this year than last, sellers are well positioned for a quick sale at top dollar. However, for most sellers listing sooner rather than later could really pay off with less competition from other sellers and potentially a higher sale price. They'll also avoid some big unknowns lurking later in the year, namely another possible surge in COVID cases, rising interest rates and the potential for more sellers to enter the market." What makes the week of April 18 stand out? The short answer is it's the optimal time for high prices, robust buyer demand, low competition from other sellers and a quick home sale. Higher price: Homes listed next week typically sell for 2% higher than the average week and 10.4% higher than the start of the year. If 2021 follows the typical seasonal trend, a median priced home listed next week could sell for $7,500 above the average week and $36,000 more than the start of the year. Strong buyer demand: Homes listed this week typically get 11% more views on realtor.com® than the average week throughout the year. Less competition: Homeowners who listed during this week in 2018 and 2019 saw 5% fewer sellers on the market compared to the average week throughout the year. Faster sale: Historically, homes listed during this week sold 14.1% faster than the average week. In 2021 terms, this would translate to selling in just 59 days, eight days faster than homes listed in other weeks, on average. In addition to the historical data, homeowners wondering whether now is the right time to sell, may want to consider some potential housing market shifts on the horizon that could lessen their current advantage. Rising mortgage rates, which realtor.com® is forecasting will reach 3.4% by the end of the year, could dampen buyer demand later in the home-buying season. Additionally, improved vaccination rates will also likely bring more sellers back to the market, adding more inventory to the mix and increasing competition for sellers. "It's a seller's market right now, but you still need to ensure your home makes a great first impression, especially if you want to get the best price for your place," said Rachel Stults, deputy editor for realtor.com®. "The key is zeroing in on what buyers want. In the wake of the COVID-19 pandemic, buyers are looking for more space — or flexible space they can transform into what they need. Home offices and lush outdoor spaces also have become extremely important. If you have these things, make sure you highlight them. "It's also crucial to make sure your home is move-in ready: Do repairs and upgrades now, before you put your home on the market. Transform your space into something turnkey, because buyers don't want to wait to move in," she added. For homeowners considering a sale, realtor.com® offers its Sellers Marketplace, which includes estimated home valuations of what your home is worth as well as information on selling options. The best week to list varies from market to market When taking local market trends into account in the 50 largest U.S. metros, the best week to list varies by locale throughout March, April and May. But for the biggest group of markets, 13, the best week to put your home on the market is the week of April 18, which is followed by the week of March 28, with 11 markets. The markets where it's best to list the week of April 18, include: Buffalo, N.Y.; Cleveland; Columbus; Detroit; Grand Rapids, Mich.; Indianapolis; Nashville, Tenn.; New Orleans; Providence, R.I.; Riverside, Calif.; Rochester, N.Y.; Sacramento, Calif.; San Francisco and St. Louis. See the full market breakdown of below times to list below. Best Week to List - 50 Largest Metropolitan Areas Methodology Listing metrics (e.g. list prices) from 2018-2019 were measured on a weekly basis, with each week compared against a benchmark from the first week of the year. Averaging across the years yielded the "typical" seasonal trend for each metric. Percentile levels for each week were calculated along each metric (prices, listings, days on market, etc.), and were then averaged together across metrics to determine a Best Time to List score for each week. Rankings for each week were based on these Best Time to List scores. About realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit realtor.com®.
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Bloomington, Ill., is the Best Market for First-Time Home Buyers
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Homeownership Remains Affordable for Average Workers Across Majority of U.S. Despite Price Spikes
Average Wage Above Level Needed To Afford Typical Home in First Quarter of 2021; Historic Affordability Improved in First Quarter In About Half of U.S. Housing Markets; National Median Home Price Up 18 Percent Over First Quarter of 2020 IRVINE, Calif. - Apr. 1, 2021 -- ATTOM Data Solutions, curator of the nation's premier property database, today released its first-quarter 2021 U.S. Home Affordability Report, showing that median home prices of single-family homes and condos in the first quarter of this year were more affordable than historical averages in 52 percent of counties with enough data to analyze. That was down from 63 percent of counties in the first quarter of 2020 and 95 percent during the same period five years ago. But rising wages and falling mortgage rates still compensated for near-20 percent spikes in home prices over the past year, helping to keep median home prices affordable for average wage earners around the country. The report determined affordability for average wage earners by calculating the amount of income needed to meet monthly home ownership expenses — including mortgage, property taxes and insurance — on a median-priced home, assuming an 80 percent down payment and a 28 percent maximum "front-end" debt-to-income ratio. That required income was then compared to annualized average weekly wage data from the Bureau of Labor Statistics (see full methodology below). The 80-percent down payment criterion marks an update to ATTOM's affordability analysis, which now shows smaller portions of income needed to afford home ownership than recent reports. Compared to historical levels, median home prices in 287 of the 552 counties analyzed in the first quarter of 2021 were more affordable than past averages. That was down from 349 of the same group of counties in the first quarter of 2020, a trend that came during a 12-month period when the national median home price shot up 18 percent, to $278,000, in the first quarter of 2021. Yet, with workplace pay rising and home mortgage rates continuing to hit historic lows, major expenses on a median-priced home nationwide still consumed just 23.7 percent of the average wage across the country in the first quarter of 2021. That figure was up from 22 percent in first quarter of 2020 and from 19.7 percent five years ago. But it remained well within the 28 percent standard lenders prefer for how much homeowners should spend on those major expenses. Those mixed trends – homes remaining affordable but not quite as much as they have historically – happened amid a surge over the past year of home buyers who largely escaped the economic damage caused by the recent worldwide Coronavirus pandemic. As those home seekers pursued a dwindling supply of homes for sale, prices shot up – just not enough to significantly outweigh the benefits of increased wages and average mortgage rates that sat below 3 percent. "The past year certainly has been an odd one for the U.S. housing market. Home prices surged at a remarkable pace even as the virus pandemic damaged the U.S. economy, which dropped historical affordability levels. But average workers untarnished by the pandemic were still able to afford the typical home because wages and rock-bottom interest rates worked to their favor in a big way," said Todd Teta, chief product officer with ATTOM Data Solutions. "Much remains uncertain about the housing market in 2021. A lot will depend on how well the broader U.S. economy recovers from the pandemic and whether there are still many more buyers looking to escape congested neighborhoods most prone to the virus, pushing prices even higher. But for now, our data shows that average workers are able to manage the costs associated with rising values." Among the 552 counties in the report, 327 (59 percent) had major home-ownership expenses on typical homes in the first quarter of 2021 that were affordable for average local wage earners, based on the 28-percent guideline. The largest of those counties were Cook County (Chicago), IL; Harris County (Houston), TX; Dallas County, TX; Bexar County (San Antonio), TX, and Wayne County (Detroit), MI. The most populous of the 225 counties where major expenses on median-priced homes were unaffordable for average local earners in the first quarter of 2021 (41 percent of the counties analyzed) were Los Angeles County, CA; Maricopa County (Phoenix), AZ; San Diego County, CA; Orange County, (outside Los Angeles), CA and Miami-Dade County, FL. Home prices up at least 10 percent in two-thirds of country Median home prices in the first quarter of 2021 were up by at least 10 percent from the first quarter of 2020 in 360, or 65 percent, of the 552 counties included in the report. Counties were included if they had a population of at least 100,000 and at least 50 single-family home and condo sales in the first quarter of 2021. Among the 42 counties with a population of at least 1 million, the biggest year-over-year gains in median prices during the first quarter of 2021 were in Wayne County (Detroit), MI (up 24 percent); Suffolk County, NY (outside New York City) (up 20 percent); Bronx County, NY (up 19 percent); Maricopa County (Phoenix), AZ (up 19 percent) and Harris County (Houston), TX (up 18 percent). Counties with a population of at least 1 million that had the smallest year-over-year increases (or price declines) in the first quarter of 2021 were New York County (Manhattan), NY (down 2 percent); Santa Clara County (San Jose), CA (up 7 percent); Hennepin County (Minneapolis), MN (up 7 percent); Kings County (Brooklyn), NY (up 8 percent) and Orange County, CA (outside Los Angeles) (up 8 percent). Price appreciation up more than wage growth in almost 90 percent of markets Home price appreciation outpaced average weekly wage growth in the first quarter of 2021 in 474 of the 552 counties analyzed in the report (86 percent), with the largest counties including Los Angeles County, CA; Cook County (Chicago), IL; Harris County (Houston), TX; Maricopa County (Phoenix), AZ and San Diego County, CA. Average annualized wage growth outpaced home price appreciation in the first quarter of 2021 in only 78 of the 552 counties in the report (14 percent), including Santa Clara County (San Jose), CA; New York County (Manhattan), NY; Honolulu County, HI; San Francisco County, CA and Suffolk County (Boston), MA. Less than 28 percent of wages needed to buy a home in six of every 10 markets Major ownership costs on median-priced homes in the first quarter of 2021 consumed less than 28 percent of average local wages in 327 of the 552 counties analyzed in this report (59 percent). Counties requiring the smallest percent were Schuylkill County, PA (outside Allentown) (6.3 percent of annualized weekly wages needed to buy a home); Bibb County (Macon), GA (8.3 percent); Fayette County, PA (outside Pittsburgh) (8.4 percent); Macon County (Decatur), IL (9.9 percent) and Robeson County, NC (outside Fayetteville) (10.6 percent). Among the 42 counties in the report with a population of at least 1 million, those where home ownership typically consumed less than 28 percent of average local wages in the first quarter of 2021 included Wayne County (Detroit), MI (12.2 percent); Philadelphia County, PA (14.1 percent); Cuyahoga County (Cleveland), OH (14.4 percent); Fulton County (Atlanta), GA (19.4 percent) and Franklin County (Columbus), OH (19.5 percent). A total of 225 counties in the report (41 percent) required more than 28 percent of annualized local weekly wages to afford a typical home in the first quarter of 2021. Those counties that required the greatest percentage of wages were Kings County (Brooklyn), NY (75.7 percent of annualized weekly wages needed to buy a home); Marin County, CA (outside San Francisco) (75.5 percent); Santa Cruz County, CA (69.9 percent); Monterey County, CA, (outside San Francisco) (68.1 percent) and Maui County, HI (65.9 percent). Aside from Kings County, NY, counties with a population of at least 1 million where home ownership consumed more than 28 percent of average annualized local wages in the first quarter included Orange County, CA (outside Los Angeles) (57.7 percent); Queens County, NY (56.3 percent); Nassau County, NY (outside New York City) (53.5 percent) and Alameda County (Oakland), CA (51.6 percent). Average wages needed to afford median-priced home exceed $75,000 in less than 15 percent of markets Annual wages of more than $75,000 were needed in the first quarter of 2021 to afford the typical home in just 75, or 14 percent, of the 552 markets in the report. The highest annual wages required to afford the typical home were in New York County (Manhattan), NY ($247,802); San Mateo County (outside San Francisco), CA ($230,848); Marin County (outside San Francisco), CA ($218,830); San Francisco County, CA ($212,892) and Santa Clara County (San Jose), CA ($207,691). The lowest annual wages required to afford a median-priced home in the first quarter of 2021 were in Schuylkill County, PA (outside Allentown) ($10,089); Fayette County, PA (outside Pittsburgh) ($12,957); Bibb County (Macon), GA ($13,708); Robeson County, NC (outside Fayetteville) ($14,133) and Cambria County, PA (east of Pittsburgh) ($16,251). Slight majority of housing markets more affordable than historic averages Among the 552 counties analyzed in the report, 287 (52 percent) were more affordable in the first quarter of 2021 than their historic affordability averages, down from 63 percent of the same group of counties that were more affordable historically in the first quarter of 2020. Counties with a population of at least 1 million that were more affordable than their historic averages (indexes of more 100 are considered more affordable compared to historic averages) included New York County (Manhattan), NY (index of 128); Montgomery County, MD (outside Washington, D.C.) (121); Cook County (Chicago), IL (114); King County (Seattle), WA (110) and Santa Clara County (San Jose), CA (108). Counties with the best affordability indexes in the first quarter of 2021 included Schuylkill County, PA (outside Allentown) (index of 195); Macon County (Decatur), IL (188); Fayette County, PA (outside Pittsburgh) (171); Calcasieu Parish (Lake Charles), LA (149) and Bibb County (Macon), GA (146). Among counties with a population of at least 1 million, those where the affordability indexes improved the most from the first quarter of 2020 to the first quarter of 2021 were New York County (Manhattan), NY (index up 14 percent); Santa Clara County (San Jose), CA (up 7 percent); Orange County, CA (outside Los Angeles) (up 3 percent); Kings County (Brooklyn), NY (up 3 percent) and Hennepin County (Minneapolis), MN (up 2 percent). Slightly fewer than half of markets less affordable than historic averages Among the 552 counties in the report, 265 (48 percent) were less affordable than their historic affordability averages in the first quarter of 2021, up from 37 percent in the first quarter of last year. Counties with a population greater than 1 million that were less affordable than their historic averages (indexes of less than 100 are considered less affordable compared to their historic averages) included Wayne County (Detroit), MI (index of 78); Dallas County, TX (81); Tarrant County (Fort Worth), TX (82); Harris County (Houston), TX (83) and Maricopa County (Phoenix), AZ (86). Counties with the worst affordability indexes in the first quarter of 2021 were Canyon County, ID (outside Boise) (index of 67); Grayson County, TX (outside Dallas) (72); Ada County (Boise), ID (74); St. Louis City/County, MO (75) and Bonneville County (Idaho Falls), ID (76). Counties with a population of least 1 million residents where affordability indexes decreased the most from the first quarter of 2020 to the same period in 2021 included Wayne County (Detroit), MI (index down 11 percent); Harris County (Houston), TX (down 11 percent); Dallas County, TX (down 8 percent); Bronx County (down 8 percent) and Oakland County, MI (outside Detroit) (down 8 percent). Report Methodology The ATTOM Data Solutions U.S. Home Affordability Index analyzes median home prices derived from publicly recorded sales deed data collected by ATTOM Data Solutions and average wage data from the U.S. Bureau of Labor Statistics in 552 U.S. counties with a combined population of 245.7 million. The affordability index is based on the percentage of average wages needed to pay for major expenses on a median-priced home with a 30-year fixed rate mortgage and an 80 percent down payment. Those expenses include property taxes, home insurance, mortgage payments and mortgage insurance. Average 30-year fixed interest rates from the Freddie Mac Primary Mortgage Market Survey were used to calculate the monthly house payments. The report determined affordability for average wage earners by calculating the amount of income needed for major home ownership expenses on a median-priced home, assuming a loan of 20 percent of the purchase price and a 28 percent maximum "front-end" debt-to-income ratio. For example, the nationwide median home price of $278,000 in the first quarter of 2021 required an annual wage of $52,523, based on a $222,400 loan and monthly expenses not exceeding the 28 percent barrier — meaning households would not be spending more than 28 percent of their income on mortgage payments, property taxes and insurance. That required income was less than the $61,984 average wage nationwide based on the most recent average weekly wage data available from the Bureau of Labor Statistics, making a median-priced home nationwide unaffordable for average workers. About ATTOM Data Solutions ATTOM Data Solutions provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation's population. A rigorous data management process involving more than 20 steps validates, standardizes and enhances the data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 9TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through *flexible data delivery solutions that include bulk file licenses, property data APIs, real estate market trends, marketing lists, match & append and introducing the first property data delivery solution, a cloud-based data platform that streamlines data management – Data-as-a-Service (DaaS).
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Now May Be the Best Time to Save Thousands on a Lease in the Nation's Largest Tech Hubs, According to Realtor.com Rental Report
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Millennials Dominate Buying Market, Generation Z Now Active Buyers, Says NAR Report
WASHINGTON (March 16, 2020) -- The popularity of multigenerational homes increased over the last year, as a rising number of homebuyers purchased larger residences compared to prior years, including millennials who continue to make up the largest share of homebuyers at 37%. This finding is revealed in the National Association of Realtors®' most recent study on the characteristics of homebuyers, the 2021 Home Buyers and Sellers Generational Trends report.1 Millennials have been the largest share of buyers since NAR's 2014 report. The most recent data shows that 82% of younger millennials and 48% of older millennials were first-time homebuyers, more than other age groups. According to the study, during the last year, 18% of homebuyers between the ages of 41 to 65 purchased a multigenerational home – a home that will house adult siblings, adult children, parents or grandparents. "There are a variety of reasons why large families and extended families are opting to live together, one of which is that it's a great way to save money," said Jessica Lautz, NAR's vice president of demographics and behavioral insights. "Also, in light of the pandemic, many grandparents and older relatives found that being under a single roof – quarantining with family rather than away – worked out better for them." Homebuyers ages 75 to 95 were the second most likely to purchase a multigenerational home, and were most likely to purchase senior-related housing, at 27%. With inventory levels being alarmingly low in recent years and even dropping to record-low levels last year, a number of would-be homebuyers consequently had difficulties finding adequate housing options. Nearly six in 10 homebuyers between the ages of 22 to 40 said just finding the right property was the most challenging step in the buying process. More than half of all homebuyers (53%) cited finding the right property as the most difficult step. Twenty-eight percent of homebuyers between the ages of 22 to 30 – those who make up younger millennial buyers – lived with parents, relatives or friends before purchasing. This is higher than any other generation. Living with family first tends to allow flexibility toward saving for a downpayment and finding a home, given the low housing inventory. Twenty percent of homebuyers between the ages of 22 to 30 were unmarried, a decline from 21% from a year ago. Additionally, 22% of homebuyers between the ages of 66 and 74 were single women. "Single women remain a large buying force," said Lautz. "A number of divorced women and those who were recently widowed purchased a home without the help of a spouse or roommate." In terms of buyer characteristics, 19% of older boomers – buyers between the ages of 66 and 74 – and 18% of Generation Xers – buyers ages 41 to 55 – were most likely to purchase a new home to prevent having to do renovations or avoid plumbing or electricity problems, and these buyers prioritized having the ability to choose and customize design features. Seventeen percent of buyers who are part of the silent generation – those between the ages of 75 to 95 – purchased newly-built homes. These buyers were least likely to compromise in their home search and least likely to purchase a detached single-family home. As is always the case in real estate, location proved to be an important component among buyers. Fifty-four percent of homes purchased by homebuyers ages 31 to 40 – older millennials – were located in a suburb or subdivision. Out of this age group, 69% said the quality of the neighborhood influenced their neighborhood selection. That sentiment was shared by buyers ages 22 to 30 to the tune of 65%. However, an even stronger factor among this 22-to-30 age bracket was "convenience to workplace," as 74% cited that when deciding on a neighborhood, proximity to where they worked was imperative. "The younger millennials overwhelmingly answered that they prefer to live closer to work, as many don't want a long commute and this was evident in their buying habits," said Lautz. "Additionally, both of these groups also placed a high value on being close to family and friends as 57% said that dynamic factored into what neighborhood they ultimately chose." Lautz added that older boomers and those in the silent generation were similarly heavily influenced by a desire to be close to family and friends. Forty-seven percent of both generations cited this as a factor in neighborhood selection. Older boomers (35%) and the silent generation (36%) also valued their neighborhood being close to areas in which they could shop, and both groups (28% and 31%, respectively) stated that proximity or convenience to a health care facility was an influential factor in choosing a neighborhood. Among all sellers, the most commonly cited reason for wanting to sell their residence was a desire to move closer to friends and family (15%), followed by the home being too small (14%) and a change in family situation (12%). In the midst of the pandemic, the usefulness of virtual tours skyrocketed, especially among 22- to 40-year-old buyers. "Homebuying aside, this segment of the population was already accustomed to doing research online," said Lautz. "So, to see them really embrace virtual tours and virtual open houses was a given, nonetheless, real estate agents are the top information source, and the data shows these buyers ultimately used agents to purchase a home." Out of all buyers, 88% cited a real estate agent as an information source they used during their home search, but that share rises to 91% among younger millennial buyers ages 22 to 30. Two percent of all buyers and sellers were from Generation Z. "Buyers used all tools available to them – whether it be a mobile device, yard sign or an online video – but at some point, nearly all buyers turned to an experienced agent to assist with the transaction," said Lautz. "This is especially true among younger millennial consumers as they are likely first-time buyers and need help navigating the market and all steps involved in the process." Buyers from all generations – more than half (51%) – primarily wanted their agent's help to find the right home to buy. Homebuyers also called on agents to help with brokering the terms of their sale and to aid with price negotiations. According to the NAR report, the oldest and youngest age groups, those 66 and older, as well as those ages 22 to 30, were more likely to want their agent's assistance with paperwork. In terms of selling and consistent across all age groups, nine in 10 home sellers worked with an agent to sell their home. "Realtors® continue to be an integral part of both the homebuying and the home selling process," said NAR President Charlie Oppler, a Realtor® from Franklin Lakes, N.J., and the CEO of Prominent Properties Sotheby's International Realty. "Buyers and sellers should understand that we can assist with every part of the real estate transaction, from finding or listing a property, securing a loan and sorting through the exhaustive paperwork." The largest share of all home sellers were baby boomers, at 43%. Sellers aged 55 and younger often upgraded to a larger and more expensive home while staying relatively close to their prior home. Sellers 56-years and older regularly purchased a similarly-sized home, but less expensive than the home they sold by moving farther. Overall, sellers stayed in their previous home for a median of 10 years before selling, with a median of six years among sellers ages 31 to 40, and a median of 16 years among sellers 66 and older. Recently sold homes were generally on the market for a median of three weeks. Lautz explained that homes moved off the market so quickly because of the ongoing home inventory shortage. The limited supply of houses for sale also contributed to sellers being able to recoup so much on their transactions, according to Lautz. Sellers made a median of $66,000 in equity from their sale. Methodology NAR mailed a 131-question survey in July 2020 using a random sample weighted to be representative of sales on a geographic basis to 132,550 recent homebuyers. Respondents had the option to complete the survey via hard copy or online; the online survey was available in English and Spanish. A total of 8,212 responses were received from primary residence buyers. After accounting for undeliverable questionnaires, the survey had an adjusted response rate of 6.2%. The sample at the 95% confidence level has a confidence interval of plus-or-minus 1.08%. The recent homebuyers had to have purchased a primary residence home between July 2019 and June 2020. All information is characteristic of the 12-month period ending July 2020 with the exception of income data, which are for 2019. The National Association of Realtors® is America's largest trade association, representing more than 1.4 million members involved in all aspects of the residential and commercial real estate industries.
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More than 200,000 New Listings Are Missing from U.S. Housing Market, According to Realtor.com February Housing Report
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Home Price Increases in Opportunity Zone Redevelopment Areas Keeping Pace with Nationwide Gains
Median Prices Rise Annually in Fourth Quarter of 2020 in Three-Quarters of Opportunity Zones; Median Values Jump At Least 10 Percent in Almost Two-Thirds of Zones; Prices Go Up at Roughly the Same Pace as Increases Outside of Zones IRVINE, Calif. - Feb. 18, 2021 -- ATTOM Data Solutions, curator of the nation's premier property database, today released its fourth-quarter 2020 special report analyzing qualified low-income Opportunity Zones established by Congress in the Tax Cuts and Jobs act of 2017 (see full methodology below). In this report, ATTOM looked at 3,588 zones around the United States with sufficient sales data to analyze, meaning they had at least five home sales in the fourth quarter of 2020. The report found that median home prices increased from the fourth quarter of 2019 to the fourth quarter of 2020 in 77 percent of Opportunity Zones with sufficient data and rose by more than 10 percent in nearly two-thirds of them. Those percentages were roughly the same as in areas of the U.S. outside of Opportunity Zones. With prices remaining well below average in most Opportunity Zones, about 38 percent of the zones with enough data to analyze still had median prices of less than $150,000 in the fourth quarter of 2020. However, that was down from 46 percent a year earlier as prices inside some of the nation's poorest communities rolled ahead with broader market, defying troubles flowing from the 2020 Coronavirus pandemic that slowed or idled significant sectors of the U.S. economy. The pandemic's impact generally has hit hardest in lower-income communities that comprise most of the zones targeted for tax breaks designed to spur economic redevelopment. Housing markets inside Opportunity Zones continued to benefit from the nation's nine-year price boom. Opportunity Zones are defined in the Tax Act legislation as census tracts in or along side low-income neighborhoods that met various criteria for redevelopment in all 50 states, the District of Columbia and U.S. territories. Census tracts, as defined by the U.S. Census Bureau, cover areas with 1,200 to 8,000 residents, with an average of about 4,000 people. "The country's long run of home-price increases continues to leave no part of the housing market untouched, boosting fortunes from the wealthiest to the poorest parts of the United States. The latest evidence is the fourth-quarter 2020 data showing prices going up in Opportunity Zone neighborhoods at around the same rate, and sometimes more, than in more well-off communities," said Todd Teta, chief product officer with ATTOM Data Solutions. "No doubt, prices remain substantially lower in Opportunity Zones, but the fact that they often rose by double-digit percentages in Q4 is significant. Not only does it show market strength, but it also suggests that many distressed communities are ripe for the redevelopment that the Opportunity Zone tax breaks are designed to promote." High-level findings from the report include: Median prices of single-family homes and condos rose from the fourth quarter of 2019 to the fourth quarter of 2020 in 77 percent of Opportunity Zones with sufficient data to analyze and increased in 58 percent of the zones from the third to the fourth quarters of 2020. By comparison, median prices rose annually in 79 percent of census tracts outside of Opportunity Zones and quarterly in 58 percent of them. (Of the 3,588 Opportunity Zones included in the report, 3,183 had enough data to generate usable median prices in the fourth quarters of both 2019 and 2020; 3,179 had enough data to make comparisons between the third and fourth quarters of 2020). Measured year over year, median home prices rose more than 10 percent in the fourth quarter of 2020 in 1,945 (61 percent) of Opportunity Zones with sufficient data to analyze. That price increase occurred in 56 percent of other census tracts throughout the country with sufficient data. A wider gap emerged when looking at areas where prices rose at least 25 percent from the fourth quarter of 2019 to the fourth quarter of 2020. Measured year over year, median home prices rose by that level in 1,098 (34 percent) of Opportunity Zones and 24 percent of census tracts elsewhere in the country. States with the largest percentage of zones with median prices that rose, year over year, during the fourth quarter of 2020 included Utah (median prices up, year over year, in 89 percent of zones), Oregon (86 percent), Washington (85 percent), Arizona (85 percent) and Connecticut (84 percent). Of all 3,588 zones in the report, 1,356 (38 percent) had a median price in the fourth quarter of 2020 that was less than $150,000 and 598 (17 percent) had medians ranging from $150,000 to $199,999. The total percentage of zones with typical values below $200,000 was down from 64 percent in the fourth quarter of 2019. Median values in the fourth quarter of 2020 ranged from $200,000 to $299,999 in 837 Opportunity Zones (23 percent) while they were at least $300,000 in 797 (22 percent). The Midwest continued to have the highest portion of Opportunity Zone tracts with a median home price of less than $150,000 (59 percent), followed by the South (49 percent), the Northeast (40 percent) and the West (6 percent). Median household incomes in 89 percent of Opportunity Zones were less than the medians in the counties where they were located. Median incomes were less than three-quarters of county level figures in 59 percent of zones and were less than half in 16 percent. Report methodology The ATTOM Data Solutions Opportunity Zones analysis is based on home sales price data derived from recorded sales deeds. Statistics for previous quarters are revised when each new report is issued as more deed data becomes available. ATTOM Data Solutions compared median home prices in census tracts designated as Opportunity Zones by the Internal Revenue Service. Except where noted, tracts were used for the analysis if they had at least five sales in the fourth quarter of 2020. Median household income data for tracts and counties comes from surveys taken by the U.S. Census Bureau (www.census.gov) from 2015 through 2019. The list of designated Qualified Opportunity Zones is located at U.S. Department of the Treasury. Regions are based on designations by the Census Bureau. Hawaii and Alaska, which the bureau designates as part of the Pacific region, were included in the West region for this report. About ATTOM Data Solutions ATTOM Data Solutions provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation's population. A rigorous data management process involving more than 20 steps validates, standardizes and enhances the data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 20TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through flexible data delivery solutions that include bulk file licenses, property data APIs, real estate market trends, marketing lists, match & append and introducing the first property data delivery solution, a cloud-based data platform that streamlines data management – Data-as-a-Service (DaaS).
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Goodbye City Life: Rising Rents Match Homebuying Hotspots
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Buyers on Notice: Act Quickly and Be Prepared to Pay Up, According to Realtor.com January Housing Report
2021 kicks off with record low inventory and rising home prices, foreshadowing a competitive home-buying season SANTA CLARA, Calif., Feb. 4, 2021 -- If January provides any insight into what to expect this spring, home shoppers are in for another fiercely competitive home-buying season with record low inventory pushing prices higher and homes selling more quickly, according to the realtor.com® Monthly Housing Trends Report released today, which shows buyers returning to the market in earnest at the start of the year. "Demand for housing was already strong coming into the year and we don't see that slowing down with millennials reaching prime home-buying age, and many remote workers still in the market for more space," said realtor.com® Chief Economist Danielle Hale. "At the same time, sellers failed to materialize in January, which has pushed the number of homes for sale to new lows and suggests that our new normal of rising prices and brisk sales is here to stay at least through the first half of the year. Those thinking of getting into the market this spring should brace themselves for a competitive season, especially in the market for existing homes." Strong buyer demand and a lack of sellers push inventory to new lows The number of homes for sale in the U.S. in January was down 42.6% year-over-year, a new low that translated into 443,000 fewer homes for sale compared to the same time a year ago. Active listings also fell below 600,000 for the first time since realtor.com® began tracking the metric in 2012. Despite an uptick in sellers toward the end of December, newly listed homes were down 23.2% nationally year-over-year in January. This is a marked contrast from single-family construction trends for new homes which have seen 20% or greater year-over-year increases in both starts and permits in each of the last four months. Housing inventory in the 50 largest U.S. metros overall declined by 41.8% over last year in January, up from December's 38.6% decline. New listings in the 50 largest U.S. metros were down 17.3% year-over-year with Cleveland, Jacksonville, Fla. and Memphis, Tenn. registering the largest drops at 37.1%, 36.9% and 32.6%, respectively. Of the 50 largest metros, two Northern California markets -- San Jose and San Francisco -- and Denver saw an increase in the number of newly listed homes at 24.8%,14.4%, and 1.8%, respectively. Homes sell fast with Virginia Beach, Va., Sacramento and Birmingham, Ala., leading the decline in days on market The typical U.S. home spent 76 days on the market in January, 10 days less than last year. The decline in days on market slowed compared to December 2020, when homes sold 13 days more quickly than the previous year. In the 50 largest U.S. metros, the typical home spent 60 days on the market -- 12 days less on average, compared to January 2020. Homes saw the greatest decline in time spent on the market in Virginia Beach (-27 days); Sacramento (-24 days), and Birmingham, Ala. (-22 days). Only two markets -- New York (+11 days) and Miami (+5 days) -- saw time on market increase compared to the previous year. Home listing prices continue to go up, up, up The median national home listing price grew by 15.4% over last year to $346,000 in January, higher than December's growth rate of 13.4%. The nation's median listing price per square foot was up 17.5% in January compared to last year. Listing prices in the nation's 50 largest metros grew by an average of 10.9% from a year ago with listing prices increasing the most -- 16.8% -- in the Northeast. Prices jumped 12.3% in the West, 10.4% in the Midwest and 8.0% in the South year-over-year. At the metro level, Austin, Texas, (+30.2%), Rochester, N.Y., (25.9%), and Los Angeles (+22.4%) posted the highest year-over-year median list price growth in January. Miami (-3.2%), and Minneapolis (-0.4%) were the only top 50 metros to see listing prices decline year-over-year in January. Metros With the Largest Decline in Active Listings *Some data for Pittsburgh, Seattle and San Diego has been excluded due to data quality. About realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit realtor.com.
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East Coast Housing Market Continues to Dominate Areas Most Vulnerable to Coronavirus Impact
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Is the Beach So Last Year?
Realtor.com report: "Snowbirds" typically searching for sun are favoring nearby ski towns more than ever as they look to escape closer to home SANTA CLARA, Calif., Jan. 15, 2021 -- Searches of homes in ski towns were up nearly 36% year-over-year in the fourth quarter of 2020, according to a new report from realtor.com®. Much of the increased demand is coming from residents of cold weather, Northern states, often referred to as Snowbirds, as they search for homes with outdoor recreation options closer to home during pandemic. "Historically, residents of the Midwest and Northeast have shown a preference for warmer cities, and contributed to much of the out-of-state demand in homes in sunny states, such as Florida," said realtor.com® Chief Economist Danielle Hale. "This year, we found that Snowbirds' interest in ski towns increased more than interest from other areas across the country. It's not surprising. Americans are increasingly searching for getaways that are within driving distance. Skiing is done outdoors and generally at a distance from others, making it a relatively safe sport during the pandemic. Many of these areas offer year-round outdoor activities, making them summer destinations as well." The analysis examined the home searches of residents from 10 "Snowbird" markets to nearly 200 resort-linked ski towns. It found residents of eight of these markets -- Boston; Chicago; Columbus, Ohio; Indianapolis; New York; Philadelphia; Providence, R.I. and Minneapolis -- were showing record interest in ski towns. The exceptions were Baltimore and Detroit, where searches for ski towns were still up year-over-year, but lower than the rest of the U.S. market overall. Views to ski towns from residents of Snowbird metros were up 44.5% in the fourth quarter year-over-year, higher than the 35.7% increase recorded nationwide. Overall, the top 10 ski towns that showed the greatest increase in home shopper interest from Snowbirds averaged a 127% increase in searches in the fourth quarter of 2020 compared to last year. Seven of the 10 top ski towns seeing the largest percentage increase in searches were located in Northeast and Midwest. Ranked in order of percentage increase, the top 10 ski towns in the fourth quarter of 2020 were: 1. Union Dale, Pa. Increase in searches (y/y): 225% Median list price: $185,000 Home to Elk Mountain Ski Resort, which offers 180 skiable acres and 27 trails, Union Dale is an alternative to the more touristy Poconos. It is less than a three-hour drive from both Philadelphia and New York City and just over 30 minutes from Scranton, Pa., the setting for the popular television sitcom, The Office. Scranton is one of the largest cities in Pennsylvania, giving Union Dale residents nearby access to water activities on Lake Scranton, minor league baseball and a vibrant art and restaurant scene. 2. Choteau, Mont. Increase in searches (y/y): 143% Median list price: $174,500 On the path between the Glacier and Yellowstone National Parks at the foot of the Rocky Mountain Front, Choteau provides a small town feel and a wide range of recreational activities from exploring ancient paleontology sites to golfing, hiking, boating, fishing and hunting. Ear Mountain, Freezout Lake and the Teton River are just a few of the area's scenic attractions. Teton Pass Ski Resort, about 20 miles north of Choteau, offers skiing and snowboarding. Great backcountry skiing and snowboarding are also nearby. 3. North Creek, N.Y. Increase in searches (y/y): 132% Median list price: $272,000 Home to the Gore Mt. Ski Center, North Creek is a mecca for outdoor activities, including downhill and backcountry skiing and snowshoeing in the winter and whitewater rafting, hiking, biking, fishing and camping in warmer months. North Creek is located near Lake George and is a four-drive from New York City. Owned by the State of New York and operated by Olympic Regional Development Authority, the Gore Mountain ski area has been expanded in recent years, which has resulted in an influx of private investment in new businesses as well as several new housing developments. 4. Eden, Utah Increase in searches (y/y): 122% Median list price: $1,190,000 Situated along the Ogden River at an elevation of 4,941 feet, downtown Eden is just 30 minutes from Salt Lake City and three world-class ski resorts -- Snowbasin, Powder Mountain and Nordic Valley. Its small town charm includes historic 25th Street, which is lined with shops and restaurants. At the end of 25th Street is Union Station, which houses a vintage car museum, art gallery and a collection of historical trains. In addition to skiing and snowboarding in the winter, Eden offers year-round outdoor activities, including golfing, hiking and biking trails. 5. Windham, N.Y. Increase in searches (y/y): 118% Median list price: $692,000 Windham is located in the Catskill Mountains, just 2.5 hours north of New York City, making it a perfect weekend getaway. It's known for Windham Mountain Resort, with ski trails, terrain parks and a mountain bike park. Area trails include the multi-use Windham Path, passing streams and a covered bridge, and the Escarpment Trail to the summit of Windham High Peak. The Five State Lookout offers far-reaching views of the Hudson River Valley and surrounding mountain ranges. 6. Boone, Iowa Increase in searches (y/y): 113% Median list price: $165,000 Named for the youngest son of Daniel Boone, this Central Iowa town is located about 40 miles north of Des Moines. The town grew rapidly following the arrival of the railroad in 1866, which easily connected it to Chicago to the east, Omaha to the west, St. Louis to the south and Minneapolis to the north. Today, Boone's close proximity to the Des Moines River and abundant parks makes it a good destination for outdoor activities year-round. In addition to hiking at Ledges State Park and skiing, snowboarding and tubing at Seven Oaks, the Boone & Scenic Valley Railroad's dinner train is a great way to enjoy a meal while viewing the changing of the leaves. 7. Otis, Mass. Increase in searches (y/y): 113% Median list price: $402,000 Otis is located in the Berkshires in western Massachusetts. Known for outdoor activities like hiking and water sports, as well as cultural experiences, the Berkshires is a two-hour drive from Boston and only three hours from New York City. This picturesque town is nestled along several lakes and ponds along the slopes of the Berkshire Range. Otis is home to Otis Range, a family-friendly ski resort, several campgrounds and forest preserves, and is a great starting point for hiking with the Taconic, Appalachian and Berkshire ranges all in the vicinity. 8. Lakeside, Mont. Increase in searches (y/y): 105% Median list price: $972,500 The cozy town of Lakeside lines the northwest shores of Flathead Lake at the base of Blacktail Mountain. It is just south of Kalispell and about two hours north of Missoula and is known for entertaining tourists who come to visit the Flathead area and Glacier National Park. Lakeside offers four seasons and something for everyone, including skiing the slopes of Blacktail Mountain and sailing and boating on Flathead Lake as well as biking, camping and horseback riding and a lively cultural and restaurant scene. 9. Paoli, Ind. Increase in searches (y/y): 103% Median list price: $135,000 Home to Paoli Peaks Mountain Resort, the town of Paoli is about 100 miles south of Indianapolis. Paoli was first settled in the early 1800s and holds the distinction of playing a role in the Underground Railroad. Today, Paoli is a close knit community that offers residents a suburban rural mix. In addition to skiing, snowboarding and tubing, Paoli is close to French Lick, which is known for its historic mineral springs. 10. Boyne Falls, Mich. Increase in searches (y/y): 100% Median list price: $321,700 Named for the falls on the nearby Boyne River, this small northern Michigan community is nestled along Lake Charlevoix, which has been named by USA Today as one of the Best Lakes in America. Surrounded by a rolling countryside, Boyne Falls is home to several ski resorts and recreation areas that offer four seasons of outdoor recreation from downhill and cross country skiing, snow biking, snowshoeing and ice skating at Boyne Mountain to golf, ziplining and biking. Nearby Deer Lake offers canoeing, swimming and boating. Methodology: Realtor.com® analyzed search activity to 180 towns with populations of at least 1,000 people and at least one ski resort. Towns are defined by ZIP code and will not match municipal boundaries. The analysis also was narrowed to explore searches from residents of 10 Snowbird metros, which are defined as Northeast and Midwest markets with the highest search traffic to warmer-climate vacation or second home markets. About realtor.com® Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit realtor.com.
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Realtor.com Top Housing Markets: Tech Hubs and State Capitals Will Dominate 2021
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Realtor.com 2021 Housing Forecast: Sellers Will Get Top Dollar as Buyers Struggle with Affordability
2021 is full of wildcards including COVID-19 and the possibility of a double dip recession SANTA CLARA, Calif., Dec. 2, 2020 -- Amid COVID-19 uncertainty, 2021 will be a robust sellers market as home prices hit new highs (+5.7%) and buyer competition remains strong, according to the realtor.com 2021 housing forecast released today. Inventory is expected to make a slow but steady comeback, which will give buyers some relief. However, increasing interest rates and prices will make affordability a challenge throughout the year. "The 2021 housing market will be much more 'normal' than the wild swings we saw in 2020. Buyers may finally have a better selection of homes to choose from later in the year, but will face a renewed challenge of affordability as prices stay high and mortgage rates rise," said realtor.com® Chief Economist, Danielle Hale. "With less cash and no home equity, millennial and Gen Z first-time buyers will be impacted the most by rising home prices and interest rates. While waiting until the fall or winter months of 2021 may mean more home options to choose from, buyers who can find a home to buy earlier in the year will likely see lower prices and mortgage rates." Realtor.com® 2021 Housing Market Forecast Realtor.com® forecasts mortgage rates will continue to hover near 3% then slowly rise to 3.4% by the end of the year. Home sales are expected to increase 7% and new construction will increase 9% over the previous year. However, the strength of the 2021 housing market is highly dependent on the containment of COVID-19 pandemic and staving off a double dip recession. What 2021 will be like for buyers? Buyers will find some relief in 2021 as more homes hit the market, but many will struggle with affordability as home prices continue to rise. Mortgage rates will slowly rise toward 3.4% and will no longer help offset the record breaking prices. Additionally, the time it takes to sell a home will slow from late 2020's frenzy, but fast sales will remain in many parts of the country, which will be particularly difficult for first-time buyers learning the ins and outs of homebuying. What will 2021 be like for sellers? Sellers will continue to hold the upper hand throughout 2021 as the number of buyers in the market outweighs the number of homes for sale. Home prices won't grow as fast as they did in 2020, but steady increases will continue to push home prices to new highs. Additionally, sellers can expect their home to sell relatively quickly in 2021, so having their next home lined up will be key. Many sellers are also buyers themselves, so they will struggle with the same issues when it comes to purchasing their next home. Forecast key 2021 housing trends Millennials continue to drive the market while Gen-Z become market players - The largest generation in history, millennials, will continue to shape the housing market as they outnumber Gen-X and Baby Boomers. Older millennials will likely be trade-up buyers while the larger, younger segment of the generation age into their key home buying years. Meanwhile, Gen-Z will begin to make their presence known in 2021 as they compete with younger millennials for entry-level homes. The oldest members of Gen-Z will turn 24 in 2021 and their impact on the market will only continue to grow from here. Affordability becomes a growing obstacle - Buyers in 2020 received a huge boost in affordability as mortgage rates pushed to new lows throughout the year, however, a lack of inventory and strong demand drove prices up, erasing most of the boost. As mortgage rates are no longer able to counteract rising home prices, affordability will be tested for buyers across the board in 2021. Home price increases are expected to slow as affordability gets stretched throughout the year. Buyers will need to act with a sense of urgency if they want to lock in a low rate before home prices increase even more in 2021. Inventory will begin the slow road toward recovery - A lack of homes for sale has plagued the U.S. housing market for the last five years. The problem only intensified in 2020, in large part due to an estimated shortfall of nearly 4 million newly constructed homes heading into the year, as well as sellers pulling back due to COVID-19. The number of homes for sale is expected to slowly rebound in 2021, but the road to recovery will be long because the market has to make up for multiple years of declines. Additional homes hitting the market will offer buyers some relief in 2021, but it won't be enough to tip the scales in favor of buyers. As inventory slowly begins to replenish and buyer demand for homes remains steady, sellers will continue to be in the driver's seat. Suburbs will shine if remote work stays around - As COVID-19 lockdowns gripped many of the nation's largest cities, buyers flocked to nearby suburbs in search of increased space. Now, more and more workers are finding the freedom to work remotely. This has sparked intense interest in suburban homes, further exaggerating a trend that had been slowly emerging over the last couple of years. The big question is what demand will look like once a coronavirus vaccine is widely available. If companies require workers to return to the office, demand may wane. Conversely, if companies commit long-term to remote work, demand for these homes could see an additional boost in 2021. Wildcards that could shake things up in 2021 COVID-19 - The deck is stacked with wildcards for 2021. The most impactful will be the U.S.'s ability to control and contain the spread of COVID-19 as well as distribute a vaccine. Additional lockdowns and quarantines could put a dent in housing inventory and sales, slowing the market and putting increased pressure on buyers. Conversely, if a vaccine is rolled out quickly, it could lead to better than expected sales and a strong increase for home prices and inventory. Either way, COVID-19 will have a large impact on the U.S. housing market in 2021. Double dip recession - The possibility of a double dip recession is still in play for 2021. As the U.S. continues in a K-shape recovery, a gap is widening between those with and without jobs as well as industries recovering well versus those seeing continued lack of business. In the short term, this could lead to less consumer spending which could more broadly impact businesses and economic growth. In the long term, this could impact the U.S. housing market as "would-be" buyers disappear from the market, cooling demand and driving down home prices. The current question is how long the K-shape can diverge before the impact begins to cascade into the broader economy and other previously less-affected sectors such as housing. 2021 Metro Housing Forecast (Top 100) About realtor.com® Realtor.com® makes buying, selling and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit realtor.com®.
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Rent Declines Accelerate in Tech Hubs as Remote Work Prompts the Desire for More Space
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Northeastern Housing Markets Remain Most at Risk of Economic Impact from Coronavirus Pandemic
Most Vulnerable Counties in Third Quarter of 2020 Concentrated in States Running from Connecticut through Maryland; New York City, Baltimore, Washington, D.C. and Now Philadelphia Among Areas with Clusters of High-Risk Counties; Midwest Joins the West as Regions Less at Risk of Housing-Market Problems IRVINE, Calif. -- Oct. 8, 2020 -- ATTOM Data Solutions, curator of the nation's premier property database and first property data provider of Data-as-a-Service (DaaS), today released its third-quarter 2020 Special Report spotlighting county-level housing markets around the United States that are more or less vulnerable to the impact of the Coronavirus pandemic. The report shows that pockets of the Northeast and Mid-Atlantic regions were most at risk in the third quarter – with clusters in the New York City, Baltimore, Philadelphia and Washington, D.C. areas – while the West and now Midwest are less vulnerable. The report reveals that Connecticut, New York, New Jersey, Pennsylvania, Maryland and Delaware had 32 of the 50 counties most vulnerable to the economic impact of the pandemic in the third quarter. They included five suburban counties in the New York City metropolitan area, four around Washington, D.C., four around Philadelphia, PA, four around Baltimore, MD, and seven of Connecticut's eight counties. The only four western counties among the top 50 were in northern California and Hawaii, while Illinois had the only six in the Midwest. Another eight were loosely scattered across five southern states – Florida, Louisiana, North Carolina, Texas and Virginia. Third quarter trends generally continued from those found in the first and second quarters of 2020, but with different concentrations around several major metropolitan areas. The number of counties among the top 50 most at-risk was down from 11 to five in the New York City area, and from eight to three in the Chicago, IL, area, but up from two to four in the Baltimore region. Markets are considered more or less at risk based on the percentage of homes currently facing possible foreclosure, the portion of homes with mortgage balances that exceed the estimated property value, and the percentage of local wages required to pay for major home ownership expenses. The conclusions are drawn from an analysis of the most recent home affordability index, equity and foreclosure reports prepared by ATTOM. Rankings are based on a combination of those three categories in 487 counties around the United States with sufficient data to analyze. Counties were ranked in each category, from lowest to highest, with the overall conclusion based on a combination of the three ranks. See below for the full methodology. The findings come as the national housing market has largely staved off the effect of the virus pandemic. While home values have dipped in some areas of the nation, counties generally have seen prices rise 7 percent to 15 percent since the third quarter of 2019. But the market remains exposed due to high unemployment and other damage that has spread through the United States economy as the virus has surged throughout the country this year. "The U.S. housing market continues to show remarkable resilience during a time of widespread economic trouble and high unemployment stemming from the virus pandemic. But amid continued price gains, pockets around the country face greater risk of a fall, especially in and around the Northeast," said Todd Teta, chief product officer with ATTOM Data Solutions. "There is much uncertainty ahead, especially if another virus wave hits. We will continue to closely monitor home prices and sale patterns to see if, how and where the pandemic starts rattling local markets." Most vulnerable counties clustered around New York City, Baltimore, Philadelphia, Washington, D.C, and Chicago. Twenty of the 50 U.S. counties most at-risk in the third quarter of 2020 from housing-market troubles connected to the pandemic (among the 487 counties with sufficient data) were in the metropolitan statistical areas around New York, NY; Philadelphia, PA; Baltimore, MD; Washington, D.C., and Chicago, IL. They included five in the New York City suburbs (Bergen, Essex, Passaic and Sussex counties in New Jersey, along with Orange County, NY) and four around Philadelphia (Burlington, Camden and Gloucester counties in New Jersey, plus Bucks County, PA). Another four counties found most at risk are in the Baltimore metro area: Anne Arundel, Baltimore, Carroll and Howard counties. The three around Chicago are Lake, McHenry and Will counties. Seven of Connecticut's eight counties also are in the top 50, including Fairfield, Litchfield, Middlesex, New Haven, New London, Tolland and Windham counties. The only western counties among the top 50 most at risk from problems connected to the Coronavirus outbreak in the third quarter of 2020 were Humboldt County (Eureka), CA; Butte County (Chico), CA; Shasta County (Redding), CA, and Hawaii County, HI. Florida also had three counties in the top 50: Charlotte County (outside Fort Myers), Flagler County (outside Daytona Beach) and Highlands County (Sebring). Higher levels of unaffordable housing, underwater mortgages and foreclosure activity in most-at-risk counties Major home ownership costs (mortgage, property taxes and insurance) consumed more than 30 percent of average local wages in 35 of the 50 counties that were most vulnerable to market problems connected to the virus pandemic in the third quarter of 2020. The highest percentages were in Bergen County, NJ (outside New York City) (51 percent of the average local wage required for major ownership costs); Passaic County, NJ (outside New York City) (50 percent); Comal County, TX (outside San Antonio) (48 percent); Carroll County, MD (outside Baltimore) (46 percent); and Hawaii County, HI (46 percent). Among all counties in the report, major expenses on the median-priced home typically consumed 32 percent of the average local wage. At least 15 percent of mortgages were underwater in the second quarter of 2020 (the latest data available on owners owing more than their properties are worth) in 37 of the 50 most at-risk counties. Nationwide, 13 percent of mortgages fell into that category. Those with the highest underwater rates were Cumberland County (Vineland), NJ (34 percent); Saint Clair County, IL (outside St. Louis, MO) (33 percent); Lackawanna County (Scranton), PA (31 percent); Monroe County, PA (outside Wilkes-Barre) (30 percent) and Madison County, IL (outside St. Louis, MO) (29 percent). More than one in 2,500 residential properties faced a foreclosure action in the second quarter of 2020 (the latest available data) in 36 of the 50 most at-risk counties. Nationwide, about one in 4,449 homes were in that position. (Foreclosure actions have dropped about 80 percent this year amid a foreclosure moratorium on banks taking back properties from homeowners behind on their mortgages.) Those with the highest rates were in Saint Tammany Parish, LA (outside New Orleans) (one in 755 properties facing possible foreclosure); Tazewell County, IL (outside Peoria) (one in 816); Madison County, IL (outside St. Louis, MO) (one in 875); Saint Clair County, IL (outside St. Louis, MO) (one in 1,007) and Kent County (Dover), DE (one in 1,069). "While it's unlikely that we'll see a return to the historically high levels of foreclosure activity we saw during the Great Recession, it's a near-certainty that the number of defaults will increase once the foreclosure moratoria have been lifted, and the CARES Act forbearance program expires," said Rick Sharga, executive vice president of RealtyTrac, an ATTOM Data Solutions company. "It's also likely that foreclosures will be concentrated in markets where there's a dual-trigger – for example, stubbornly high unemployment rates, and homeowners who are underwater on their loans." Counties least at-risk concentrated in Colorado, Indiana, Missouri, Texas and Wisconsin Twenty-five of the 50 least-vulnerable counties from among the 487 included in the third-quarter report were in Colorado, Indiana, Missouri, Texas and Wisconsin. The largest populated counties included Tarrant County (Fort Worth), TX; Travis County (Austin), TX; Marion County (Indianapolis), IN; Denver County, CO, and Arapahoe County, CO (outside Denver). Others among the 50 least at-risk counties with a population of at least 500,000 included Middlesex County, MA (outside Boston); Hennepin County (Minneapolis), MN; Fairfax County, VA (outside Washington, DC); Mecklenburg County (Charlotte), NC, and Wake County (Raleigh), NC. Lower levels of unaffordable housing, underwater mortgages and foreclosure activity in less-vulnerable counties Major home ownership costs (mortgage, property taxes and insurance) consumed less than 30 percent of average local wages in 28 of the 50 counties that were least at-risk from market problems connected to the virus pandemic in the third quarter of 2020. The lowest percentages were in Winnebago County (Oshkosh), WI (20 percent of the average local wage required for major ownership costs); Marion County (Indianapolis), IN (20 percent); Macomb County, MI (outside Detroit) (21 percent); Saint Clair County, MI (outside Detroit) (21 percent) and Benton County (Rogers), AR (21 percent). At least 15 percent of mortgages were underwater in the second quarter of 2020 (with owners owing more than their properties are worth) in only one of the 50 least at-risk counties. Those with the lowest rates were Chittenden County (Burlington), VT (3 percent); Washington County, WI (outside Milwaukee) (4 percent); Travis County (Austin), TX (5 percent); Multnomah County (Portland), OR (5 percent) and Boulder County, CO (5 percent). More than one in 2,500 residential properties faced a foreclosure action in the second quarter of 2020 in none of the 50 least at-risk counties. Those with low foreclosure rates included Davidson County (Nashville), TN (one in 50,975 properties facing possible foreclosure); Sheboygan County, WI (one in 50,939); Potter County (Amarillo), TX (one in 49,656); Suffolk County (Boston), MA (one in 47,605) and Washoe County (Reno), NV (one in 38,791). Report methodology The ATTOM Data Solutions Special Coronavirus Market Impact Report is based on ATTOM's second-quarter 2020 residential foreclosure and underwater property reports and third-quarter 2020 home affordability report. (Press releases for those reports show the methodology for each.) Counties with sufficient data to analyze were ranked based on the percentage of *properties with a foreclosure filing during the second quarter of 2020, the percentage of properties with outstanding mortgage balances that exceeded estimated market values in the second quarter of 2020 and the percentage of average local wages need to afford the major expenses of owning a median-priced home in the third quarter of 2020. Ranks then were added up to develop a composite ranking across all three categories. Equal weight was given to each category. Counties with the lowest composite rank were considered most vulnerable to housing market problems. Those with the highest composite rank were considered least vulnerable. About ATTOM Data Solutions ATTOM Data Solutions provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation's population. A rigorous data management process involving more than 20 steps validates, standardizes and enhances the data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 9TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through flexible data delivery solutions that include bulk file licenses, property data APIs, real estate market trends, marketing lists, match & append and introducing the first property data delivery solution, a cloud-based data platform that streamlines data management – Data-as-a-Service (DaaS).
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Rental Beast September Market Report: Conversation with Brian Horrigan, Chief Economist at Loomis Sayles
September 23, 2020 -- In conjunction with our regular monthly Market Report, Rental Beast interviewed Brian Horrigan, Chief Economist at Loomis Sayles, a Boston-based investment management firm with more than $310 billion in assets under management, to discuss economic trends and COVID-driven real estate developments. Rental Beast spoke with Horrigan on the 19th anniversary of the September 11th attacks, and Horrigan draws enlightening parallels between the economic conditions following 9/11, and today's COVID pandemic. Horrigan explains that 9/11 permanently changed the way airport security is handled. Similarly, he expects the pandemic to have long-term effects on where we work and where we live. Although COVID-19 restrictions will eventually ease, Horrigan expects many companies will adopt a permanent hybrid work from home model. "Extended lockdowns forced millions of employees to experience working from home for the first time, and many workers found that a work from home model resulted in both more productive working hours, and the ability to spend more time with family and pursuing other interests," says Horrigan. "Even after restrictions are eased, many employees may not want to return to pre-pandemic routines and will make future real estate decisions without considering proximity to the office." Since mid-March, Rental Beast's Rental Inquiry data has shown renters moving away from urban centers to the suburbs. Horrigan emphasizes that, for millennials in their prime family formation years, the pandemic has highlighted the risks of urban living. Horrigan comments on the rise in millennial-driven suburban living, saying, "Even before the onset of the COVID-19 pandemic, many millennials left cities in search of suburban affordability and space. And, with the spike in urban violence, fear of COVID-19 contagion, and concern of future outbreaks, the number of millennials interested in non-urban living options will continue to rise." However, Horrigan is careful to point out, "This is not all bad news for urban centers. Cities will need to re-define themselves, and we may see more commercial projects pivot towards residential activity in order to address major pre-pandemic issues, including poor housing availability and affordability." But, as developers look ahead to new projects, a lack of available land near city centers will push development further away from major metro areas. If Horrigan's theory plays out, a combination of more work from home opportunities and millennial-driven suburban development may result in more affordable housing options in urban centers. While much of the resale and rental market is, in Horrigan's words, "Go, go, go," homeownership and rentals in city cores have been compromised. He emphasizes that it took most cities decades to develop the levels of safety and vibrancy needed to attract and keep residents. "COVID is dramatically changing these dynamics. Major cities will need years to repair the damage done." Rental Beast's August 2020 data reflects slowing interest in the urban rental market. In this report, we evaluate exclusive data from five major U.S. cities: Atlanta, Boston, Chicago, Miami, and Philadelphia. We track year-over-year (YOY) changes in Rental Inquiries and Rental Concessions in each city to gain a picture of market conditions. Rental Inquiries Rental Inquiry Volume Continues to Fall in Most Markets Rental Inquiries are prospective tenants actively seeking to rent an available property in our database. Rental Inquiry volume typically follows a predictable seasonal pattern—Rental Beast data from previous years show a high volume of Rental Inquiries during the summer months, as renters hoping to move in the fall begin their apartment search. Departures from such patterns serve as powerful, quantifiable early indicators of a shift in the rental marketplace and are more powerful predictors of future transactional activity than traditional rental information, such as average rent. Rental Beast monitors all inquiries to available listings on the Rental Beast website and listings syndicated to our partner sites including Facebook Marketplace and Realtor.com. August was yet another month of high anxiety for renters. Americans continued to process powerful economic and social factors, including the expiration of the CARES Act, ongoing confusion about school re-opening plans, numerous social reform protests, amped up messaging ahead of the U.S. presidential election, and, of course, the continued effects of COVID-19. In August, Rental Inquiries were down YOY in three out of five markets surveyed. Boston, Miami and Atlanta all recorded significant YOY declines, while Chicago and Philadelphia registered YOY increases: Chicago and Philadelphia registered positive YOY Rental Inquiry results, with gains of 144% and 32%, respectively. Despite health, economic, and social challenges, August represented the 4th consecutive month of positive YOY Rental Inquiry results in Chicago. Rental Beast had the opportunity to discuss the state of the Chicagoland rental market with Chicago real estate leader and CEO of Exit Strategy Realty, Nick Libert. Libert, who has a successful track record of working with both homebuyers and renters, explains that due to historically low interest rates more Chicagoans are considering homeownership, many for the 1st time. This desire for homeownership has driven his 2020 business to record levels. However, a key factor in the growth of the for-sale market is job security. Conversely, some clients must adjust their housing plans due to layoffs. Libert shares that some clients who were in the market to buy a home decided to rent due to recent furloughs. Other potential homebuyers choose to continue renting in pursuit of better deals on home prices—Libert adds that many of his clients who may be financially positioned to purchase a home are choosing to rent, waiting for lower home prices while the economic fallout from COVID-19 persists. For three of the past four months, Philadelphia recorded positive YOY Rental Inquiries as the city of Brotherly Love continues to benefit from renters moving out of NYC in pursuit of more space and lower costs. August represents the eighth consecutive month that both Boston and Miami reported negative YOY Rental Inquiry rates—down 65% and 62%, respectively. Atlanta also reported a 53% decline, continuing the city's nearly year-long trend of negative YOY Rental Inquiries. Like most major metros, many of Boston's large office complexes sit empty as companies re-think their real estate needs. While the shift to virtual models by Boston's universities and large corporate employers has dampened rental demand, Horrigan is optimistic that Boston will recover more quickly. "Unlike many other cities across the US, Boston crime-rates have remained relatively low, suggesting a smoother road to recovery." Like Boston, Miami recorded negative YOY Rental Inquiry rates, as tourism continues to suffer under COVID-19 restrictions. Rental Concessions Rental Concessions Settle in Some Markets While Remaining Prevalent in Others Rental Concessions are compromises landlords make to original rent terms in the hope of filling a vacancy more quickly. Rental Concessions can include monetary compensation, a discount, or various goods and services. For August, Rental Concessions dropped in Philadelphia, Chicago, and Atlanta, while Boston and Miami registered YOY increases: Throughout August, anxious landlords and tenants hoped for guidance from Congress about new rent relief measures. Absent further guidance, landlords continued to slow the pace of Rental Concessions with the following YOY declines: Philadelphia (-99%), Chicago (-54%), and Atlanta (-14%). "Lawmakers in Congress and the Administration need to come back to the table and work together on comprehensive legislation that protects and supports tens of millions of American renters by extending unemployment benefits and providing desperately needed rental assistance," said Doug Bibby, National Multifamily Housing Council President. Boston & Miami landlords continue to offer Rental Concessions to prospective tenants. Boston Rental Concessions were up 99% YOY for August, while Miami posted a 82% YOY increase. Pre-COVID, Boston landlords rarely offered Rental Concessions. However, landlords have quickly adjusted to reduced demand by offering high concessions. Ishay Grinberg, Rental Beast's founder and CEO, comments, "As a landlord, I want to make sound financial decisions while still attracting the best residents. I don't want to lower rents, because it will be very difficult to raise them to market value later. Offering Rental Concessions strikes the right balance—they help landlords fill vacancies, and tenants benefit from some financial relief." About Rental Beast Rental Beast is a SaaS platform that simplifies the leasing process with an end-to-end platform and maintains a highly accurate database of over eight million off-MLS rental properties. With active listings in 19 markets across the United States, and 5 additional markets opening within the next 30 days, Rental Beast's Data Services Group tracks various rental trends in its markets across the nation.
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Remote Work to Drive Home Purchase Decisions in the Next Six Months
More than half of those currently working from home are doing so because of COVID SANTA CLARA, Calif., July 29, 2020 -- Many families quickly adjusted their current living space to accommodate working from home, but those who expect the change to be permanent are likely to pull the trigger on a new home purchase in the next six months, according to a realtor.com® HarrisX survey of active home shoppers released today. Of the 2,000 home shoppers surveyed in June who plan to purchase a home in the next year, 63 percent of those currently working from home indicated their decision to buy a new house was a result of their ability to work remotely. Nearly 40 percent of those who said remote work was fueling their search expected to purchase a home within four to six months, and 13 percent said changes related to COVID prompted their desire to purchase a new home. Having a home office is very important for people who work remotely, but not at the exclusion of more conventional features. Over 20 percent of respondents who are buying because of remote work say that having a home office is important to them and a home office was the most chosen new home feature. Similar to overall home buyers, the five next most popular features were a garage, a quiet location, an updated kitchen, a large backyard, and an open floor plan. "The ability to work remotely is expanding home shoppers' geographic options and driving their motivation to buy, even if it means a longer commute, at least in the short term," said realtor.com® Senior Economist George Ratiu. "Although it's too early to tell what long-term impact the COVID-era of remote work will have on housing, it's clear that the pandemic is shaping how people live and work under the same roof." Today's remote work snapshot According to the data, nearly 40 percent of currently employed respondents are currently working from home as a result of COVID. Thirty-five percent of respondents were remote employees before COVID happened and 28 percent are still going into their place of employment. When given the choice of working remotely or in an office setting 52 percent of remote workers indicated they prefer to work from home. Interestingly, 39 percent prefer to work in an office setting and 9 percent said it makes no difference to them. Accommodating remote work at home With entire families at home, finding a quiet place for work or school has been challenging for many. Fifty percent of respondents do the majority of their work in a home office. Fifteen percent work in their bedroom, 13 percent in the living room, 12 percent at the kitchen table and 7 percent move from room to room depending on where their family is. In order to accommodate work from home, 45 percent of respondents converted a room in their home to an office. Thirty-six percent created a home office space and 28 percent updated their existing office space with a new monitor, chair, etc. Only 7 percent have not made any accommodations or already had a good office set up at home. Majority of respondents anticipate some aspect of remote work in the future With many companies and schools pushing back return dates, especially as new COVID outbreaks continue to increase across certain regions of the country, 53 percent anticipated that they will be working in an office full-time. Approximately one in five, 22 percent, of those surveyed expect a mix of in-office and remote work, while 14 percent responded they don't anticipate ever returning to the office. Flexibility also seemed an option among survey respondents, with 63 percent indicating that their employer will be open to remote work in some capacity. Of these respondents, 40 percent stated that their employer permitted a mix of office and remote work and 16 percent said their employer permitted remote work entirely. Only 37 percent indicated they are required to be in the office full time. Of those stating that they will resume going into the office either full or part time, 40 percent anticipated it would be within the next three months, while 46 percent thought it would be within the next three to six months. Thirteen percent thought they would return in 2021 and 2 percent said never. For more information about realtor.com's remote work survey, please click here. About realtor.com® Realtor.com® makes buying, selling and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit realtor.com.
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Realtor.com Launches Weekly Housing Recovery Index
Data shows housing recovery remains strong despite social unrest SANTA CLARA, Calif., June 11, 2020 -- COVID-19 and economic headwinds have led to unprecedented disruptions in the U.S. real estate market. In order to track the impact of these events, realtor.com today announced the launch of its Housing Recovery Index, which shows that despite continued COVID cases and the large scale protests that took place the week ending June 6 -- the U.S. housing market continues to recover even in cities experiencing civil unrest. The proprietary index leverages a weighted average of realtor.com® search traffic, median list prices, new listings, and median time on market and compares it to the January 2020 market trend, as a baseline for pre-COVID market growth. The overall index is set to 100 in this baseline period. The higher a market's index value, the higher its recovery and vice versa. For the week ending June 6, the realtor.com® Housing Market Recovery Index was 88.8 nationwide, 11.2 points below the January baseline and up 1.0 point over the prior week. The slight increase in this week's overall index represents a 5.7 point increase over the 83.1 low point in the index, which occurred during week ending May 2. "By combining online search activity along with price and supply dynamics, the index functions as a robust leading indicator of housing activity, and a symptom gauge as we move toward healthier market conditions," Javier Vivas, director of economic research for realtor.com®. This week's index reading also reveals the recovery trend was not impacted in the 11 markets that saw the largest number of protests the week ending June 6. On average, these markets saw their recovery index increase 0.7 points over the prior week, ending May 30. When compared to other similar sized markets with reportedly less civil unrest, there was no evidence that the protests had an impact on housing recovery. Of the 11 markets, 6 areas saw slight increases in their weekly recovery index: Atlanta (+1.5 points) Chicago (+4.7 points) Cleveland (+3.3 points) Los Angeles (+0.2 points) Minneapolis (+0.3 points) New York (+4.9 points) Five saw a slight decrease in their weekly recovery index: Dallas (-2.0 points) Louisville, Ky (-2.1 points) Raleigh (-0.7 points) St. Louis (-0.9 points) Washington, D.C. (-1.1 points). Key Housing Metrics for the Week Ending June 6:   "The general sentiment from consumer surveys is that now is not a good time to sell a home because of COVID, economic uncertainty, and social unrest, but the data is saying the opposite," said Danielle Hale, chief economist for realtor.com. "Home prices are back to their pre-COVID pace and we're seeing listings spend slightly less time on the market than last week. But the housing market still needs more sellers in order to meet the surge in demand. Looking forward, if we don't get the inventory we need, we'll see prices rise even more and homes sell faster later this summer." New listings: Nationwide, the size of declines held mostly steady this week, dropping 21 percent over last year, which is a slight improvement over last week and a significant improvement when compared to early May's 30 percent declines year-over-year. This week's index shows new listings are 12.7 points below their January recovery baseline. Sellers have started June on the right foot, and the following weeks will indicate whether there will be enough supply to boost home sales this summer, nationwide and in all large markets. The continued declines in newly listed properties mean the full wave of spring sellers has yet to return to the market. However, recovery could be on the horizon as more than half (56 of 99) of large metros continue to see smaller declines this week, including New York, Boston and San Francisco. Asking prices: Price gains fully caught up to pre-COVID pace increasing 4.3 percent in the week ending June 6, compared to 4.4 percent the first two weeks of March. This week's index shows home prices are 0.7 points above the January recovery baseline. The mix of homes for-sale has reverted back toward pricier properties, and demand for entry-level properties has been reignited. Price gains have accelerated rapidly in recent weeks with inventory on the decline and buyer interest on the rise. Locally, 89 of 100 metros saw asking prices increase over last year. Total Active Listings: Sellers are still playing catch up during what's normally the busiest part of the season, and the availability of homes for sale remains well below seasonal levels. Total active listings declined 25 percent compared to a year ago as the lack of sellers is currently outweighing the extra time homes spend on the market. Signs, such as improved home purchase sentiment over last month, are pointing to rising home buyer interest and seller confidence, setting up a pick-up in sales activity in the summer months. Time on market: While homes are still sitting more than two weeks longer on the market than this time last year, this week's data shows the trend may be reverting back toward recovery. The week ending June 6 saw the first weekly decline in time on market since mid-March, with days on market one day faster than last week. It could still take a few more weeks for time on market to reach pre-COVID levels, since the pace of sales component of the recovery index remains 30.1 points below the January recovery baseline, but this week's data shows the first, important step toward recovery. For more information about the index report, please visit: https://www.realtor.com/research/housing-market-recovery-index/ For the latest weekly housing trends and index data, please visit: Index Housing trends About realtor.com® Realtor.com® makes buying, selling and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit realtor.com.
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Nearly 3 in 4 Realtors This Week Report Sellers Haven't Lowered Listing Prices to Attract Buyers, Suggesting Calmness and No Panic Selling by Homeowners
WASHINGTON (April 23, 2020) -- Nearly 3 in 4 Realtors currently working with sellers this week -- 74% -- reported their clients haven't reduced listing prices to attract buyers, according to a new survey from the National Association of Realtors. This suggests interested home sellers are remaining calm and avoiding panic selling during the uncertain economic environment brought about by the coronavirus pandemic. "Consumers are mostly abiding by stay-in-shelter directives, and it appears the current decline in buyer and seller activity is only temporary, with a majority ready to hit the market in a couple of months," said NAR Chief Economist Lawrence Yun. "The housing market faced an inventory shortage before the pandemic. Given that there are even fewer new listings during the pandemic, home sellers are taking a calm approach and appear unwilling to lower prices to attract buyers during the temporary disruptions to the economy." NAR's latest Economic Pulse Flash Survey – conducted April 19-20, 2020 – asked members how the coronavirus outbreak has impacted the residential and commercial real estate markets. Several highlights include: More than a quarter of Realtors® – 27% – said they were able to complete nearly all aspects of transactions while respecting social distancing. The most common technology tools used to communicate with clients are e-signatures, social media, messaging apps and virtual tours. Residential tenants are facing rent payment issues, but many delayed payment requests are being accommodated. Forty-seven percent of property managers reported being able to accommodate tenants who cannot pay rent, a 6% increase from a week ago. Nearly a quarter of individual landlords – 24% – said the same, unchanged from last week. NAR also today released its 2020 Animal House: Pets in the Home Buying and Selling Process report, which analyzes Realtor® recommendations and actions taken by home buyers and sellers to best accommodate their pets and present their homes in the best light. Several highlights include: More than 4 in 10 U.S. households – 43% – would be willing to move to better accommodate their pets, demonstrating that this is a priority among consumers. Almost 1 in 5 recent home buyers – 18% – said it was very important that their new neighborhood is convenient to a vet or near outdoor space for their pets. A majority of Realtors®' clients – 68% – said a community's animal policy influenced their decision to rent or buy. "As households in the U.S. pursue comfort, companionship, and home entertainment, animal shelters were cleared out in many cities," said Jessica Lautz, NAR vice president of demographics and behavioral insights. "These pet adoptions could lead to future home sales as families seek to accommodate the best living spaces for their four-legged family members." View NAR's 2020 Animal House: Pets in the Home Buying and Selling Process report. View NAR's Economic Pulse Flash Survey full report. View NAR's Weekly Housing Market Monitor here. The National Association of Realtors® is America's largest trade association, representing more than 1.4 million members involved in all aspects of the residential and commercial real estate industries.
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NAR Survey Finds Nearly Half of Realtors Say Home Buyer Interest Has Decreased Due to the Coronavirus Outbreak
WASHINGTON (March 19, 2020) -- Nearly half of Realtors -- 48% -- said home buyer interest has decreased due to the coronavirus outbreak, according to a new survey from the National Association of Realtors. That percentage tripled from a week ago when it stood at 16%. Almost seven in 10 Realtors -- 69% -- said there's no change in the number of homes on the market due to the coronavirus outbreak, down from 87% a week ago. "The decline in confidence related to the direction of the economy coupled with the unprecedented measures taken to combat the spread of COVID-19, including major social distancing efforts nationwide, are naturally bringing an abundance of caution among buyers and sellers," said NAR Chief Economist Lawrence Yun. "With fewer listings in what's already a housing shortage environment, home prices are likely to hold steady. The temporary softening of the real estate market will likely be followed by a strong rebound once the economic 'quarantine' is lifted, and it's critical that supply is sufficient to meet pent-up demand." NAR's latest Economic Pulse Flash Survey – conducted March 16-17, 2020 – asked members questions about how the coronavirus outbreak, including the significant declines in stock market values and mortgage interest rates, has impacted home buyer and seller interest and behavior as well as new commercial clients who want to lease and purchase property. With respect to the coronavirus, several highlights of the member survey include: 45% of members said the stock market correction and lower mortgage rates roughly balanced out, noting no significant change in buyer behavior. The majority of members, 61%, reported no change in sellers removing homes from the market, down from 81% a week ago. Four in 10 members said home sellers have not changed how their home is viewed while it remains on the market. One week ago, nearly eight in 10 members – 77% – said the same. More than half of commercial members, 54%, have seen a decline in leasing clients, up from 18% of commercial members last week. Eighty-three percent of commercial buildings have changed practices, with the most common being offering more hand sanitizer, more frequent building cleanings, and increasing numbers of tenants working remotely. View NAR's Economic Pulse Flash Survey full report here. The National Association of Realtors® is America's largest trade association, representing more than 1.4 million members involved in all aspects of the residential and commercial real estate industries.
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Exclusive Podcast Interview with NAR Chief Economist on Coronavirus Impact
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Housing Shortage Leads to Intense Competition Among Homebuyers
Survey of more than 500 Redfin agents shows increase in bidding wars across U.S. markets SEATTLE, Feb. 24, 2020 -- A majority of offers submitted by Redfin agents faced competition in January, according to a survey of more than 500 agents across the nation in a new report from Redfin, the technology-powered real estate brokerage. Competition is spiking hard and early in 2020, and agents are reporting a flood of buyers as home supply sits at its lowest point in seven years, leading to a severe housing shortage in many areas. "Low mortgage rates have brought buyers back to the housing market, but a lack of listings means buyers are having to compete with one another to secure a sale and lock in a mortgage rate," said Redfin chief economist Daryl Fairweather. "This competition pushes up prices, which means that even though buyers can get a good deal on a mortgage now they are often paying a higher sticker price." The San Francisco Bay Area had the highest rate of competition, with agents estimating that more than 90% of the time there were multiple offers on homes their clients were bidding on—despite the fact that the median home price there is still well above $1 million. Of the 24 markets where Redfin received a significant volume of responses from agents, homebuyers in all but five faced competition more often than not. The area that seemed least prone to competition was Greenville, SC. In the Bay Area, the most competitive market in January, buyers are going to extreme lengths to win a home. "After missing out on one home due to a bidding war, my clients were much more aggressive on their next offer," said Redfin San Jose agent Jennifer Tollenaar. "In order to beat 24 other offers, they put 50% down, wrote a great letter to the sellers and removed all contingencies. This was on a home with a purchase price of over $1.7 million." "In Phoenix, inventory is so low right now that one of my clients has run into bidding wars with more than 10 offers for three weekends in a row," said Arizona Redfin agent Thomas Wiederstein. "Offering well above listing price isn't enough in today's market. You have to do that, plus waive contingencies just to have your offer considered by sellers." The most shocking story of competition came from Redfin Portland agent Meme Loggins, whose clients recently made an offer that was $8,000 above the home's $275,000 list price. "Ours was the second offer the sellers had received. Two days later we were competing with 30 other offers. This bidding frenzy took place on a mobile home that was pretty far out of the metro area and not even in great condition. It's getting crazy out there!" It's not just the West Coast that's seeing competition explode. In Philadelphia, even homes that have been on the market for months are suddenly attracting bidding wars. "One home I recently helped my clients win had been on the market since June and hadn't been reduced in price since November," said Redfin Philadelphia agent Brenda Beiser. "When we looked at it in mid-January the agent told me there had been six other appointments the day before. By the time our offer went in that evening they had received two other offers." A number of other Redfin agents shared similar stories of experiencing multiple offers in January on homes that had been on the market for months. This recurring theme is indicative of just how many buyers have suddenly come into the market, but without a corresponding increase in listings of homes for sale. To read the full report, please visit: https://www.redfin.com/blog/homebuyer-competition-report-january-2020. About Redfin Redfin is a technology-powered real estate brokerage, combining its own full-service agents with modern technology to redefine real estate in the consumer's favor. Founded by software engineers, Redfin has the country's #1 brokerage website and offers a host of online tools to consumers, including the Redfin Estimate, the automated home-value estimate with the industry's lowest published error rate for listed homes. Homebuyers and sellers enjoy a full-service, technology-powered experience from Redfin real estate agents, while saving thousands in commissions. Redfin serves more than 90 major metro areas across the U.S. and Canada. The company has helped customers buy or sell homes worth more than $115 billion.
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Migrants Out of Expensive West Coast Metros Flocked to Portland, Oregon in Q4 2019
Affordable stalwarts Phoenix, Sacramento, Las Vegas and Atlanta continued to dominate the list of top migration destinations SEATTLE, Feb. 7, 2020 -- Twenty-six percent of home searchers looked to move to another metro area in the fourth quarter of 2019, compared to 25% during the same period last year, according to a new report from Redfin (www.redfin.com), the technology-powered real estate brokerage. This ties the all-time high for the national share of home-searchers looking to relocate that was set in the third quarter of 2019. The latest migration analysis is based on a sample of more than 1 million Redfin.com users who searched for homes across 87 metro areas from October through December. Moving In — Top U.S. Metros Attracting the Most Migrants Portland, Oregon regained a spot in the top 10 list of metro areas with the highest net inflow of Redfin users, coming in at seventh after falling out of the list in Q1 of 2019. Nashville was also a new addition to the top 10 this month at number 10. San Diego and Charlotte both fell out of the top 10. Phoenix moved back into the number one spot in the fourth quarter after slipping to third place in the third quarter. Boston's reign at number one was short-lived: after one quarter at the top it fell to ninth place. At just $400,000, Portland has one of the most affordable median home prices among major West Coast cities, which makes it an attractive location for inbound residents from other more expensive cities across the west coast such as San Francisco (median price $1.32 million), Seattle($572,500) and Los Angeles($649,000). "The ability to work remotely is a huge factor in people relocating, especially within the same time zone," said Portland Redfin agent Megan Warren. "I just met with a homebuyer who is moving here from Oakland in the spring. Working remotely is allowing him to sell his condo in a less desirable part of the Bay Area for over $500,000 and buy a serious upgrade in space, safety, and neighborhood in the Portland area." Moving Out — U.S. Metros Losing the Most Migrants Some of the most expensive areas in the country dominated the list of metros facing negative migration. New York, San Francisco, Los Angeles and Washington, D.C., were among the cities with the greatest number of people looking to move away in the fourth quarter. "The current inventory crunch really started building in the fourth quarter, pushing home prices in the expensive coastal cities back up after a slight reprieve earlier in the year," said Redfin chief economist Daryl Fairweather. "As price increases begin to gain steam again in these areas, we're predicting that migration to more affordable areas will increase, which in turn will begin to drive prices up there, as well." To read the full report, please visit: https://www.redfin.com/blog/q4-2019-housing-migration-report About Redfin Redfin is a technology-powered real estate brokerage, combining its own full-service agents with modern technology to redefine real estate in the consumer's favor. Founded by software engineers, Redfin has the country's #1 brokerage website and offers a host of online tools to consumers, including the Redfin Estimate, the automated home-value estimate with the industry's lowest published error rate for listed homes. Homebuyers and sellers enjoy a full-service, technology-powered experience from Redfin real estate agents, while saving thousands in commissions. Redfin serves more than 90 major metro areas across the U.S. and Canada. The company has helped customers buy or sell homes worth more than $85 billion.
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U.S. Homeowners Four Times as Likely to Be Equity-Rich Than Seriously Underwater
Equity-rich Properties in Fourth Quarter of 2019 Comprise 27 Percent of All Mortgaged Homes; Highest Equity Levels Remain in San Francisco Bay Area IRVINE, Calif. -- Feb. 6, 2020 -- ATTOM Data Solutions, curator of the nation's premier property database and first property data provider of Data-as-a-Service (DaaS), today released its fourth-quarter 2019 U.S. Home Equity & Underwater Report, which shows that 14.5 million residential properties in the United States were considered equity-rich, meaning that the combined estimated amount of loans secured by those properties was 50 percent or less of their estimated market value. The count of equity-rich properties in the fourth quarter of 2019 represented 26.7 percent, or about one in four, of the 54.5 million mortgaged homes in the U.S. That percentage was unchanged from the third quarter of 2019. The report also shows that just 3.5 million, or one in 16, mortgaged homes in the fourth quarter of 2019 were considered seriously underwater, with a combined estimated balance of loans secured by the property at least 25 percent more than the property's estimated market value. That figure represented 6.4 percent of all U.S. properties with a mortgage, down slightly from 6.5 percent in the prior quarter. "Homeownership continued boosting household balance sheets across the United States in the fourth quarter of 2019, as people paying off mortgages were much more likely to be in equity-rich territory than seriously underwater. That marked yet another sign of how much the country has benefited from an eight-year housing-market boom," said Todd Teta, chief product officer with ATTOM Data Solutions. "Some big gaps in equity levels persist between regions and market segments. But as home values keep climbing, financial resources keep building for homeowners, which provides them with leverage to make home repairs, help their children through college or take on other major expenses." Highest equity-rich shares all in the Northeast and West The top 10 states with the highest share of equity-rich properties in the fourth quarter of 2019 were all in the Northeast and West regions, led by California (42.8 percent equity-rich), Vermont (39.2 percent), Hawaii (38.8 percent), Washington (35.4 percent) and New York (35.1 percent). States with the lowest percentage of equity-rich properties were Louisiana (13.6 percent equity-rich), Oklahoma (14.9 percent), Illinois (15.3 percent), Arkansas (16.3 percent) and Alabama (16.5 percent). Among 107 metropolitan statistical areas analyzed in the report with a population greater than 500,000, those with the highest shares of equity-rich properties were San Jose, CA (65.9 percent equity-rich); San Francisco, CA (57.5 percent); Los Angeles, CA (47.8 percent); Santa Rosa, CA (45.9 percent) and Honolulu, HI (39.3 percent). The leader in the Northeast region was Boston, MA, (35.6 percent) while Dallas, TX, led the South (36.5 percent) and Grand Rapids, MI, led in the Midwest (27.4 percent). Metro areas with the lowest percentage of equity-rich properties were Baton Rouge, LA (10.8 percent equity-rich); Little Rock, AR (13.4 percent); Tulsa, OK (13.7 percent); Columbia, SC (13.9 percent) and Akron, OH (14.6 percent). Top equity-rich counties concentrated in California Among the 1,467 counties with at least 2,500 properties with mortgages in the fourth quarter of 2019, 11 of the top 25 equity-rich locations were in California. Counties with the highest share of equity-rich properties were San Mateo, CA (73.6 percent equity-rich); San Francisco, CA (70.1 percent); Santa Clara (San Jose), CA (66.9 percent); San Juan, WA (63.5 percent) and Alameda County, CA (outside San Francisco) (57.7 percent). More than half of all properties were equity-rich in 451 zip codes Among 8,262 U.S. zip codes with at least 2,000 properties with mortgages in the fourth quarter of 2019, there were 451 zip codes where at least half of all properties with a mortgage were equity rich. The top 25 were all in California, with most in the San Francisco Bay area. They were led by zip codes 94116 in San Francisco (82.6 percent equity-rich), 94040 in Mountain View (81.7 percent), 94122 in San Francisco (80.6 percent), 94112 in San Francisco (80.1 percent) and 94087 in Sunnyvale (79.5 percent). Highest seriously underwater shares in the South and Midwest The top 10 states with the highest shares of mortgages that were seriously underwater in the fourth quarter of 2019 were all in the South and Midwest, led by Louisiana (16.8 percent seriously underwater), Mississippi (16.0 percent), West Virginia (13.9 percent), Iowa (13.5 percent) and Arkansas (12.9 percent). Among 107 metropolitan statistical areas analyzed in the report with a population greater than 500,000, those with the highest share of mortgages that were seriously underwater included Youngstown, OH (16.2 percent); Baton Rouge, LA (15.9 percent); Scranton, PA (15 percent); Cleveland, OH (13.7 percent) and Akron, OH (13.4 percent). More than 25 percent of all properties were seriously underwater in 149 zip codes Among 8,262 U.S. zip codes with at least 2,000 properties with mortgages in the fourth quarter, there were 149 zip codes where at least a quarter of all properties with a mortgage were seriously underwater. The largest number of those zip codes were in the Cleveland, OH; Philadelphia, PA; Milwaukee, WI; Rockford, IL, and St. Louis, MO, metropolitan statistical areas. The top five zip codes with the highest share of seriously underwater properties were 71446 in Leesville, LA (65.7 percent seriously underwater); 44110 in Cleveland, OH (59.6 percent); 08611 in Trenton, NJ (58.7 percent); 53206 in Milwaukee, WI (58.6 percent) and 44105 in Cleveland, OH (54.2 percent). About ATTOM Data Solutions ATTOM Data Solutions provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation's population. A rigorous data management process involving more than 20 steps validates, standardizes and enhances the data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 9TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through flexible data delivery solutions that include bulk file licenses, property data APIs, real estate market trends, marketing lists, match & append and introducing the first property data delivery solution, a cloud-based data platform that streamlines data management – Data-as-a-Service (DaaS).
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Redfin Ranks the Hottest Neighborhoods to Watch in 2020
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A Millennial Sized Problem Stands in Front of Gen Z Homebuyers
Gen Z is ready to buy, but competition remains fierce SANTA CLARA, Calif., Jan. 22, 2020 -- The oldest members of Gen Z are beginning to enter the homebuying stage of their lives, but they will have to compete with the might of the millennial generation for the nation's depleted inventory of entry level homes. Gen Z, the oldest of whom turned 22 in 2019, currently make up 2 percent of mortgages, according to realtor.com's Fourth Quarter 2019 Generation Propensity Report, but that number will continue to grow as the generation ages and their earning potential increases. "Gen Z is entering the housing market under the radar, but at a projected 65-million strong, they are going to begin making some major waves," according to realtor.com®'s Senior Economist George Ratiu. "However, as the young generation launches into homeownership, it is facing strong headwinds, including competition from millennials, many of whom are entering homeownership later in life, and a marketplace largely devoid of entry-level options." According to a survey conducted in 2018 by realtor.com®, 40 percent of Gen Z members stated they want to own their own home by the age 25. As the oldest cohort of Gen Z approaches that age, realtor.com®'s recent analysis shows they are starting to steadily increase their share of national home purchases. "With major generational transitions taking place across a housing landscape clouded by lack of new construction and a shortage of inventory, young Americans' preference for homeownership is a ray of sunshine," added Ratiu. "It stands in contrast to the rhetoric of the past decade, cataloging young people as the 'renter generation,' and provides ample evidence that a significant ramp-up in affordable new home building is needed to meet the growing demand." Depleted entry-level inventory With a lack of homes priced under $200,000 being built or available for-sale, Gen Z, those born between 1997 and 2012, will find it increasingly difficult to find a home within their price range. During the fourth quarter of 2019, the median purchase price of a home by Gen Z was $160,600. Then in December, the inventory of homes priced below $200,000 decreased by 18.1 percent year-over-year, according to realtor.com®'s December Monthly Trends Report. Although Gen Z increased their median purchase price by 11 percent over the past year, they are still many years away from catching up to millennials both in life stages and housing budgets. In order to find homes within their budget, Gen Z is turning toward smaller Midwestern and Southern markets that boast higher affordability. Toledo, Ohio; Grand Rapids, Mich.; and Wichita, Kan., were the top three metros where Gen Z had the largest share of homeownership. The top 10 Gen Z markets had a combined median listing price of $224,500, which is 25 percent less expensive than the nation's median listing price of $300,000. Top 10 Generation Z Housing Markets Gen Z will be competing with millennials for years to come The largest cohort of the millennial generation turns 30-years-old in 2020 and they are hitting the housing market in full force. At the end of the fourth quarter of 2019, millennials made up the largest generational segment of homebuyers, growing their share of home purchase mortgages to 48 percent. Millennials (born between 1981 and 1996) began entering the market at the height of the housing market crash in 2008 and the subsequent recession. Additionally, the generation found itself saddled with massive student loan debt, which caused many to delay their goals of homeownership, but that is all in the past. Now, as Gen Z begins to enter the market they are facing increased competition from millennials who patiently waited to purchase a home. At the moment, Gen Z and millennials have differing preferences on where to buy a home. Of the markets on Generation Z's top 10 list, only Grand Rapids, Mich., and Baton Rouge, La., appeared on the top 10 list for millennials. Larger and trendier markets such as San Francisco, Boston, and Denver were the most different between the generations. All three markets made it to the top 20 markets for millennials but ranked between 81 and 98 for Generation Z, most likely due to high housing prices shutting out Gen Z buyers. As Gen Z turns their interest toward larger metros in the future, competition between the generations is likely to increase, but at the moment, the two generations have a different focus, according to the realtor.com® analysis. Methodology The Report on Loan Originations by Age and Generational Groups is based off of a realtor.com® analysis of a sample of residential mortgage loan originations from Optimal Blue. The top market rankings were calculated using a group's mortgage origination share. The generational groups are defined as follows: Millennials: born between 1981 and 1996 Generation Z: born between 1997 and 2012 About realtor.com® Realtor.com® makes buying, selling and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit realtor.com®.
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Redfin Ranks the Most Competitive Neighborhoods of 2019
Neighborhoods in Grand Rapids, MI; Tacoma, WA; Minneapolis and the Bay Area Rank Highest for the Year SEATTLE -- Bay Area neighborhood White Oaks is the most competitive neighborhood of the year for homebuyers, according to a new report from Redfin, the technology-powered real estate brokerage. Alger Heights in Grand Rapids, MI and East Arlington in Boston rounded out the top three competitive neighborhoods. "While neighborhoods in the Bay Area and Boston are still among the most competitive in the country, robust competition for homes in Grand Rapids, Minneapolis and Tacoma neighborhoods signals the desirability of more affordable areas," said Redfin chief economist Daryl Fairweather. "An influx of buyers from more expensive neighborhoods contributes to competition in these affordable neighborhoods, especially because they can make higher offers than local residents when they sell their previous homes." The report is based on 2019 rankings from Redfin's Compete Score, which uses a combination of proprietary Redfin data and data from local multiple listing services to determine how difficult it is for buyers to win a home in individual neighborhoods and cities. Below are the most competitive U.S. neighborhoods based on an average of monthly stats from January through November 2019. Of the 10 Bay Area neighborhoods among the most competitive in the country, half are in Oakland. Although the median sale price in Oakland is more than double the national median—$720,000 versus $312,000 for the typical home in the U.S. in November—it's still well below that of San Francisco ($1.4 million) and San Jose ($1.1 million). Oakland Redfin agent Katy Polvorosa said the area has been particularly hot this year, partly because it's more affordable than neighboring parts of the Bay Area. "I've heard a lot of people say the Bay Area housing market is cooling this year, but I'm seeing the opposite in Oakland," Polvorosa said. "I'm writing offers that are seeing aggressive competition. Homes that are move-in ready and priced right typically receive offers within 12 to 14 days. The Oakland market is so hot that sellers are still expecting and receiving offers that waive contingencies." Although the Bay Area is still home to plenty of competitive neighborhoods, homebuyers are gravitating toward more affordable inland metros as housing markets in coastal job centers have become more expensive. In the third quarter of 2019, 26% of Redfin.com home searchers looked to move to another metro area, with affordable places like Sacramento, Phoenix and Las Vegas as popular destinations. The appearance of two neighborhoods in Grand Rapids on this year's ranking of most competitive neighborhoods is an example of the trend of migration away from more expensive metros. "Affordability plus quality of life are big draws to the Grand Rapids area. I've worked with buyers from Chicago, California, Hawaii and other expensive parts of the country who are looking here because they can get so much more bang for their buck," said local Redfin agent Shellie Silva, who moved to Grand Rapids from San Diego three years ago. "Homes in neighborhoods with price points below $275,000, like Alger Heights and Creston, are prone to bidding wars and they tend to sell quickly because they're even more affordable that some other parts of Grand Rapids." In Alger Heights, nearly 67% of homes sold for above list price and the typical home was on the market for one week before going under contract so far this year. And in Creston, 59.3% of homes sold for above list price and the typical home went under contract in just six days. To read the full report, including methodology, please visit: https://www.redfin.com/blog/most-competitive-neighborhoods-2019. About Redfin Redfin is a technology-powered real estate brokerage, combining its own full-service agents with modern technology to redefine real estate in the consumer's favor. Founded by software engineers, Redfin has the country's #1 brokerage website and offers a host of online tools to consumers, including the Redfin Estimate, the automated home-value estimate with the industry's lowest published error rate for listed homes. Homebuyers and sellers enjoy a full-service, technology-powered experience from Redfin real estate agents, while saving thousands in commissions. Redfin serves more than 90 major metro areas across the U.S. and Canada. The company has helped customers buy or sell homes worth more than $85 billion.
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Buying a Home Is More Affordable than Renting in 53 Percent of U.S. Housing Markets
Renting More Affordable Mainly in Suburban and Urban Counties; Home Price Gains Outpacing Wages in 66 Percent of U.S. Markets IRVINE, Calif. - Jan. 9, 2020 -- ATTOM Data Solutions, curator of the nation's premier property database and first property data provider of Data-as-a-Service (DaaS), today released its 2020 Rental Affordability Report, which shows that owning a median-priced, three-bedroom home is more affordable than renting a three-bedroom property in 455, or 53 percent, of the 855 U.S. counties analyzed for the report. However, the analysis shows a split between different-sized markets, with ownership more affordable mainly in lightly populated counties and renting more affordable in more populous suburban or urban areas. The analysis incorporated recently released fair market rent data for 2020 from the U.S. Department of Housing and Urban Development, wage data from the Bureau of Labor Statistics along with public record sales deed data from ATTOM Data Solutions in 855 U.S. counties with sufficient home sales data (see full methodology below). "Home ownership is a better deal than renting for the average wage earner in a slim majority of U.S. housing markets. However, there are distinct differences between different places, depending on the size and location from core metro areas," said Todd Teta, chief product officer with ATTOM Data Solutions. "For sure, either buying or renting is a financial stretch or out of reach for individual wage earners throughout most of the country in the current climate. But with interest rates falling, owning a home can still be the more affordable option, even as prices keep rising." Renting more affordable than buying in nation's most populated counties Renting is more affordable than buying a home in 94, or 69 percent, of the 136 counties in the report that have a population of at least 500,000 or more. Renting is the more affordable option in 36 of the 43 counties with a population of at least 1 million or more (84 percent) — including Los Angeles County, CA; Cook County (Chicago), IL; Harris County (Houston), TX; Maricopa County (Phoenix), AZ and San Diego County, CA. Other markets with a population of more than 1 million where it is more affordable to rent than buy include counties that surround or are inside of New York City; Dallas, TX; Seattle, WA; Las Vegas, NV; San Jose, CA; San Francisco, CA; San Antonio, TX and Boston, MA. Counties with a population of at least 1 million, where buying a home is more affordable than renting, were Miami-Dade County, FL; Broward County, FL; Wayne County (Detroit), MI; Philadelphia County, PA; Hillsborough County (Tampa), FL; Cuyahoga County (Cleveland), OH and Allegheny County (Pittsburgh), PA. Least affordable rental markets in California, Colorado, Hawaii The report shows that renting a three-bedroom property requires an average of 37.6 percent of weekly wages across the 855 counties analyzed for the report. The least affordable markets for renting are Santa Cruz County, CA (82.1 percent of average wages needed to rent); Marin County, CA (outside San Francisco) (75.3 percent); Park County, CO (southwest of Denver) (74.3 percent); Honolulu County, HI (74.2 percent) and Kauai County, HI (73.7 percent). Counties with a population of at least 1 million, where rents consume the highest percentage of average wages, include Kings County (Brooklyn), NY (65.3 percent); Orange County, CA (outside Los Angeles) (64.7 percent); San Diego County, CA (59.6 percent); Contra Costa County, CA (outside San Francisco) (58.4 percent) and Queens County, NY (57.4 percent). Most affordable rental markets in Tennessee, New York, Alabama, Ohio The most affordable markets for renting are Roane County, TN (west of Knoxville) (20.1 percent of average wages needed to rent); Steuben County, NY (south of Rochester) (22.2 percent); Madison County (Huntsville), AL (22.4 percent); Greene County, OH (outside Dayton) (23.0 percent) and Sangamon County (Springfield), IL (23.2 percent). Among counties with a population of 1 million or more, those most affordable for renting are Allegheny County (Pittsburgh), PA (24.3 percent); Cuyahoga County (Cleveland), OH (25.6 percent); Fulton County (Atlanta), GA (26.2 percent); Oakland County, MI (outside Detroit) (26.6 percent) and Wayne County (Detroit), MI (27.5 percent). Home prices rising faster than rents in 67 percent of markets Median home prices rose faster than average fair-market rents in 575 of the 855 counties analyzed in the report (67.3 percent), including Harris County (Houston), TX; San Bernardino County, CA (outside Los Angeles); Bexar County (San Antonio), TX; Wayne County (Detroit), MI and Philadelphia County, PA. Average rents rose faster than median prices in 280 counties (32.7 percent), including Los Angeles County, CA; Cook County (Chicago), IL; Maricopa County (Phoenix), AZ; San Diego County, CA and Orange County, CA (outside Los Angeles). Home prices rising faster than wages in 66 percent of markets Median home prices rose faster than average weekly wages in 567 of the 855 counties analyzed in the report (66.3 percent), including Harris County (Houston), TX; Maricopa County (Phoenix), AZ; Miami-Dade County, FL; Riverside County, CA (outside Los Angeles) and Queens County, NY. Average weekly wages rose faster than median home prices in 288 counties (33.7 percent), including Los Angeles County, CA; Cook County (Chicago), IL; San Diego County, CA; Orange County, CA (outside Los Angeles) and Kings County (Brooklyn), NY. Wage growth outpacing rent growth in 57 percent of markets Wages rose faster than average fair market rents in 484, or 56.6 percent, of the counties analyzed in the report including Harris County (Houston), TX; San Bernardino County, CA (outside Los Angeles); Bexar County (San Antonio), TX; Wayne County (Detroit), MI and Philadelphia County, PA. Average rents rose faster than average wages in 371, or 43.4 percent, of counties in the report, including Los Angeles County, CA; Cook County (Chicago), IL; Maricopa County (Phoenix), AZ; San Diego County, CA and Orange County, CA (outside Los Angeles). Methodology For this report, ATTOM Data Solutions looked at 50th percentile average rental data for three-bedroom properties in 2020 from the U.S. Department of Housing and Urban Development, along with Q2 2019 average weekly wage data from the Bureau of Labor Statistics (most recent available) and January-November (YTD) 2019 home price data from ATTOM Data Solutions publicly recorded sales deed data in 855 counties nationwide. Rental affordability is average fair market rent for a three-bedroom property as a percentage of the average monthly wage (based on average weekly wages). Home buying affordability is the monthly house payment for a median-priced home (based on a 3 percent down payment plus mortgage payment, property tax, homeowner's insurance and private mortgage insurance) as a percentage of the average monthly wage. About ATTOM Data Solutions ATTOM Data Solutions provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation's population. A rigorous data management process involving more than 20 steps validates, standardizes and enhances the data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 9TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through flexible data delivery solutions that include bulk file licenses, APIs, real estate market trends, marketing lists, match & append and introducing the first property data delivery solution, a cloud-based data platform that streamlines data management – Data-as-a-Service (DaaS).
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Fourth Quarter Good Time to Buy and Sell Home, Realtor Survey Says
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Home Purchase Sentiment Jumps
Fannie Mae's 2019 Home Purchase Sentiment Index (HPSI) increased in November to its highest level since March, 2018. And it's also likely that mortgage rates will remain low next year, according to experts. Also in 2020, Fannie Mae and Freddie Mac will let mortgage borrowers nationwide take out home loans over $500,000. This will be the fourth consecutive year that the conforming loan limit has increased. Whether or not this is good for the affordability crisis in many markets is discussed on realtor.com. Home Purchase Sentiment Index Here are some of the conclusions from the Fannie Mae report: "Looking ahead, we continue to expect a steady but modest pace of growth in home purchase activity," said Doug Duncan, Senior Vice President and Chief Economist, Fannie Mae. Findings Summary Good/Bad Time to Buy: The percentage of Americans who say it is a good time to buy increased this month from 57% to 61%, while the percentage who say it is a bad time to buy decreased from 36% to 29%. As a result, the net share of Americans who say it is a good time to buy increased 11 percentage points and is the highest it's been since March 2018. Good/Bad Time to Sell: The percentage of Americans who say it is a good time to sell decreased this month from 67% to 66%, while the percentage who say it's a bad time to sell remained flat at 26%. As a result, the net share of those who say it is a good time to sell fell 1 percentage point. Home Price Expectations: The percentage of Americans who say home prices will go up in the next 12 months increased this month from 41% to 44%, while the percentage who said home prices will go down decreased from 14% to 10%. The share who think home prices will stay the same increased from 39% to 40%. As a result, the net share of Americans who say home prices will go up increased 7 percentage points. Mortgage Rate Expectations: The percentage of Americans who say mortgage rates will go down in the next 12 months decreased this month from 12% to 11%, while the percentage who say mortgage rates will go up increased from 37% to 39%. The share who think mortgage rates will stay the same decreased from 44% to 42%. The net share of Americans who say mortgage rates will go down over the next 12 months fell 3 percentage points. Job Concerns: The percentage of Americans who say they are not concerned about losing their job in the next 12 months remained flat at 86%, while the percentage who say they are concerned also remained flat at 14%. As a result, the net share of Americans who say they are not concerned about losing their job did not change. Household Income: The percentage of Americans who say their household income is significantly higher than it was 12 months ago remained the same at 28%, while the percentage who say their household is significantly lower decreased from 12% to 10%. The percentage who say their household income is about the same increased from 59% to 60%. As a result, the net share of those who say their household income is significantly higher than it was 12 months ago increased 2 percentage points. To view the original post, visit the iHomeFinder blog.
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CoreLogic Reports U.S. Overall Delinquency Rate Lowest for a September in at Least 20 Years
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Redfin Reveals the Housing Markets that Changed the Most This Decade
Fort Lauderdale, Las Vegas, and San Francisco are among the U.S. metros that experienced the most dramatic housing shifts since 2010 SEATTLE, Dec. 20, 2019 --  Fort Lauderdale, Las Vegas, San Francisco, Salt Lake City, and Nassau County, NY experienced the most dramatic housing shifts since 2010, according to a new report from Redfin, the technology-powered real estate brokerage. "The housing market is ending the decade in a vastly different place than it began," said Redfin chief economist Daryl Fairweather. "In 2010, the market was in the middle of its greatest downturn in history: Home values were plummeting and the share of mortgages in delinquency was at an all time high. Heading into 2020, home values have recovered along with the economy, and now many parts of the country are grappling instead with new challenges like high home prices and a lack of homes for sale." Highest percent increase in home prices: Fort Lauderdale Florida was one of the epicenters of the foreclosure crisis and experienced some of the biggest declines in home values leading up to 2010. But as the sunshine state recovered from the housing crash, home values also increased, leading to the nation's largest post-crisis recovery. In Fort Lauderdale, the median home price increased 161% from $106,000 at the beginning of 2010 to $278,000 at the end of 2019. The median home price has more than doubled this decade in Orlando (+127%) and Miami (+106%) as well. Biggest contrast between increase in home prices and decline in incomes: Las Vegas Las Vegas, where incomes fell dramatically during the great recession and haven't yet fully recovered, saw the biggest divergence between home prices and incomes. In Las Vegas, the median home price increased at an average annual rate of 14.1% over the decade, while the median income declined at an average annual rate of 0.4%. As incomes fell, residents could no longer afford to own a home, which caused a simultaneous decline in the homeownership rate from 59% in 2010 to a low of 52% in 2016, followed by a slight increase to 53% as of 2017. Even though the homeownership rate remains low, demand from investors looking to rent out or flip homes has supported high home price growth. Largest dollar value jump in home prices: San Francisco Eight out of the nation's top 10 metros for home price increases in dollar value were in California. In San Francisco, the median home price increased $711,000—from $698,000 at the beginning of 2010 to $1.4 million by the end of 2019. Two main factors led to San Francisco's large price gains: a booming job market and a lack of homes for sale. By 2015, the unemployment rate in San Francisco was just 3.7% compared to 5.3% for the nation. By October, 2019, the city's unemployment rate was 1.9%. At the same time, there are not enough housing units for all the workers in San Francisco, a reality true across California where home prices have risen dramatically in the last decade. Steepest drop in home supply: Salt Lake City Inventory declined by 77% in Salt Lake City over the course of the decade, due to the fact that Salt Lake City homeowners are staying in their homes longer than usual. The typical Salt Lake City homeowner had spent 23 years in their home in 2019, versus 15 years in 2010. The number of homes for sale declined this decade in 95% of the markets we analyzed. The decline in homes for sale has made homebuying much more competitive than it was at the beginning of the decade. Currently, one in three Salt Lake City homes sell for above list price, compared to less than one in four homes at the start of the decade. Greatest decline in days on market: Long Island's Nassau County In Nassau County, the median time it takes to sell a home dropped by about four months—124 days—over the course of the decade. At the beginning of 2010 it typically took 180 days to sell a home; it now takes just 56 days. "During the housing crash there were a lot of short sales in Long Island, which are very difficult to close. I don't see that at all anymore," said Redfin agent Peggy Papazaharias. "In the last several years, prices sky-rocketed in Manhattan, which pushed many homebuyers to consider Long Island, and now demand is very strong." To read the full report, including additional metro-level data on housing market changes, please visit: https://www.redfin.com/blog/housing-markets-that-changed-this-decade. About Redfin Redfin is a technology-powered real estate brokerage, combining its own full-service agents with modern technology to redefine real estate in the consumer's favor. Founded by software engineers, Redfin has the country's #1 brokerage website and offers a host of online tools to consumers, including the Redfin Estimate, the automated home-value estimate with the industry's lowest published error rate for listed homes. Homebuyers and sellers enjoy a full-service, technology-powered experience from Redfin real estate agents, while saving thousands in commissions. Redfin serves more than 90 major metro areas across the U.S. and Canada. The company has helped customers buy or sell homes worth more than $85 billion.
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Median Home Prices Still Unaffordable for Average U.S. Wage Earners in Q4 2019
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Could January be the New April for Home Shopping?
A new realtor.com analysis says "yes" in 20 large metro areas SANTA CLARA, Calif., Dec. 18, 2019 -- Historically, April launched the kickoff of the home shopping season as buyers would come out of their winter hibernation looking for their new home. However, the spring shopping season now starts in January for many of the nation's largest markets, according to new research released today by realtor.com. The analysis is based on average monthly views per listing on realtor.com® from 2015 to 2019. In 2015, the peak month for average views per listing on realtor.com® was April, while January lagged behind by a substantial 16 percent. In contrast, for 2019, the month of January fell 1 percent below February for most monthly views per listing on realtor.com®. And January surged to the top in 20 of the 100 largest metro areas, including New York, Los Angeles, Chicago, Dallas, Houston, Seattle, San Francisco, Atlanta, San Jose, Calif., and Denver. In 2018, that was true for just three of the top 100 metros. "As shoppers modify their strategies for navigating a housing market that has become more competitive due to rising prices and low inventory, the search for a home is beginning earlier and earlier," said realtor.com® Senior Economist George Ratiu. "With housing inventory across the U.S. expected to reach record lows in 2020, we expect to see this trend continue into the new year." As of November, the number of homes for sale across the country was down 9.5 percent year-over-year. Additionally, the inventory of entry-level homes priced below $200,000 shrunk by an astonishing 16.5 percent year-over-year. The shift to January's newfound popularity does not mean that the other prime spring months have become less competitive. Realtor.com® data shows that views per listing used to ramp up into spring, but now competition starts high in January and stays high. For example, in 2018, March, the most competitive month, had 21 percent more views per listing than the least competitive month, January. In 2019, that gap between most-and least-competitive months narrowed to a difference of just six percent. What used to be a lopsided bias for April is now a feverish search starting in January, staying consistently competitive across the first four months of the year as hopeful homebuyers look for just the right home. Locally, Seattle had the greatest spike in home shopping in January 2019, with views per property 32 percent higher than the next-highest month. McAllen-Edinburg-Mission, Texas; San Francisco; Atlanta; and San Jose, Calif. metros rounded out the top five markets where January was the most competitive month in 2019. Top Markets Where January was the Most Competitive Month in 2019 Methodology Views per listing are defined as the average monthly page views per property listed for sale on realtor.com®, cited here at the national and metro area levels. About realtor.com® Realtor.com®, The Home of Home Search, offers the most MLS-listed for-sale listings among national real estate portals, and access to information, tools and professional expertise that help people move confidently through every step of their home journey. Through its Opcity platform, realtor.com® uses data science and machine learning to connect consumers with a real estate professional based on their specific buying and selling needs. Realtor.com® pioneered the world of digital real estate 20 years ago, and today is a trusted resource for home buyers, sellers and dreamers by making all things home simple, efficient and enjoyable. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit realtor.com®.
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Redfin Unveils the Most Bikeable U.S. Cities of 2020
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Expect Continued Economic Growth, Slower Real Estate Price Gains and Small Chance for Recession in 2020, According to Group of Top Economists
WASHINGTON (December 11, 2019) -- A group of top economists arrived at a consensus 2020 economic and real estate forecast today at the National Association of Realtors' first-ever Real Estate Forecast Summit. The economists who gathered at NAR's Washington, D.C. headquarters expect the U.S. economy to continue expanding next year while projecting real estate prices will rise and reiterating that a recession remains unlikely. These economists predicted a 29% probability of a recession in 2020 with forecasted Gross Domestic Product growth of 2.0% in 2020 and 1.9% in 2021. The group expects an annual unemployment rate of 3.7% next year with a small rise to 3.9% in 2021. When asked if the Federal Open Market Committee will change the federal funds rate in 2020, 69% of the economists said they expect no change, while 31% expect the committee will lower the rate next year. The average annual 30-year fixed mortgage rates of 3.8% and 4.0% are expected for 2020 and 2021, respectively. Annual median home prices are forecasted to increase by 3.6% in 2020 and by 3.5% in 2021. "Real estate is on firm ground with little chance of price declines," said NAR's Chief Economist Lawrence Yun. "However, in order for the market to be healthier, more supply is needed to assure home prices as well as rents do not consistently outgrow income gains." Apartment rents are expected to rise 3.8% and 3.6%, respectively, in 2020 and 2021. According to the group of economists, annual commercial real estate prices will climb 3.6% in 2020 and 3.4% in 2021. "Residential and commercial real estate investment remains attractive as we approach the start of a new decade," said NAR President Vince Malta, broker at Malta & Co., Inc., in San Francisco, CA. "Increased home building can serve as a stimulator for the overall economy, and we strongly encourage more homes to be built as buyer demand remains strong." The 2019 NAR Real Estate Forecast Summit consensus forecasts are compiled as averages of the responses of 14 leading economists who participated during the summit. The survey was conducted from December 2-5, 2019. The National Association of Realtors® is America's largest trade association, representing more than 1.4 million members involved in all aspects of the residential and commercial real estate industries.
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