Tag Archives: Home Sales

Gains in home prices and sales surged in May, while inventory increased for the second straight month, according to Redfin. In May, home prices surged 17.4 percent year-over-year, while prices in all 19 markets tracked showed yearly gains. At the same time, home sales climbed by 15.8 percent from April to May, reaching their highest level since January 2010. Although for-sale housing inventory decreased 21.9 percent year-over-year, Redfin reported inventory inched up by 4.3 percent from April to May.

Builder confidence surged eight points in June to 52, its highest reading since March 2006, the National Association of Home Builders (NAHB) reported Monday. It was the first positive (above 50) reading for the association’s Housing Market Index (HMI) since April 2006. Two of the three components of the index--builder assessment of current sales and of sales six months in the future--were also positive. The current sales index rose eight points to 56, and the future sales index jumped nine points to 61.

In May, the median price for a home in California rose year-over-year for the 15th straight month, climbing to highest level since April 2008, DataQuick reported. At $340,000, the median price was up 4.9 percent from April and up 25.9 percent from May 2012.

The recovery should pick up the pace as it heads into the year's second half, according to Fannie Mae's Economic & Strategic Research Group. Based on data for Q1 and predicted numbers for Q2, Fannie Mae expects gross domestic product (GDP) to grow at an average 1.8 percent for the first half of the year. GDP growth is then expected to push past 2.5 percent in 2014, ""boosted largely by tailwinds from the strengthening housing market,"" said Doug Duncan, chief economist for Fannie Mae.

When seeking a new home, minorities face subtle discrimination that could increase costs or prolong their home search, according to a report released Tuesday by the Department of Housing and Urban Development (HUD). While HUD's report reveals a downward trend in ""the most blatant forms of discrimination,"" such as refusing to meet with minority buyers, HUD found less obvious forms of discrimination persist. Among the types of discrimination studied, ""[m]ost important, minority homeseekers are told about and shown fewer homes and apartments than whites,"" HUD said.

Reports of strong home price gains drove confidence in the housing market up to record levels in May, Fannie Mae reported. According to the GSE's May 2013 National Housing Survey, Americans expressed record confidence in price gains, with 55 percent--a survey high--saying they believe prices will go up in the next year. In addition, the average 12-month home price change expectation was 3.9 percent, the highest level in the survey's history and a leap over April's 2.7 percent forecast.

The pace at which home prices are rising should moderate later this year, with home prices forecast to rise by 8 percent this year then increase by another 4 percent in 2014, according to an analysis from Capital Economics. Although the research firm agrees with analysts who have warned recent home price gains are not sustainable, housing bubble concerns were described as ""premature."" Unlike other projections, the firm also doesn't expect to see a swift increase in mortgage rates over the next year.

Asking prices are rising at an especially fast pace in the least affordable housing markets, according to Trulia. Nationally, asking prices increased 9.5 percent year-over-year in May, but in the ten least affordable metros, asking prices spiked 16.3 percent during the same time period. Among the least affordable markets, seven were in California. Honolulu was found to be the least affordable metro, where 74 percent of monthly household income is used to pay a mortgage.

Fixer-upper homes might be the solution for potential buyers who are having trouble with snagging a good deal in this low-inventory environment. According RealtyTrac's estimate, there are more than 51,000 of these discounted properties. To help buyers narrow down their search, RealtyTrac ranked the top 15 cities for fixer-uppers. Detroit, Michigan reigned as the best city to buy a fixer-upper. In the Motor City, RealtyTrac found there are 3,773 banked-owned properties built before 1960 that cost under $100,000.

When it comes to homeownership, the three largest ethnic groups in the nation share similar visions and attitudes, according to a survey from Better Homes and Gardens Real Estate. The survey included three groups--Caucasians, African-Americans, and Hispanics--with 400 respondents represented for each group. When asked about location, the majority of respondents from each group showed a preference for suburbs, with 59 percent of African Americans in this category, 55 percent of Caucasians, and 50 percent of Hispanic Americans.