If You’re Trying To Sell Your #Home, You Will Be Thrilled By This Chart

Source: BusinessInsider.com

With today’s update of Existing Home SalesCalculated Risk has updated the always-useful chart showing how many months of household inventory remains on the market.

The important line here is the red line: Months of housing supply on the market.

The months of supply is down to 5.4 months, which is down from last month, and sharply down from a year ago.

Everybody who is trying to sell their house should be thrilled that the balance between sellers and buyers is coming back into balance.

Says Nomura, with respect to today’s housing news:

The housing data revealed today are quite positive, reflecting the sustained recovery in the housing market that began earlier this year. Housing data for the months of November and December might reflect a slowdown mainly due to Hurricane Sandy. This slowdown would be temporary as people look to rebuild their homes that were destroyed during the hurricane and as transactions affected by Sandy are completed.

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US #HOUSING STARTS SURGE TO 894K

Source: BusinessInsider.com

WOW:

Nice number!

Housing starts for the month surged to 894K, well above the 840K that was expected, and nicely above last month’s 872K annualized rate.

This is consistent with the surge in homebuilder sentiment that we got yesterday.

This is the highest level since June 2008.

Earlier:

Big datapoint of the day: Housing starts.

Analysts are expecting 840K (annualized) down from 872K last month.

Hurricane Sandy may be a factor.

As we’ve been writing lately, the creation of new houses and households is becoming a major positive tailwind for the economy.

 

#Mortgage Rates Fall into Record-Breaking Territory #realestate

DAILY REAL ESTATE NEWS | FRIDAY, NOVEMBER 16, 2012

Fixed-rate mortgages dropped to new all-time lows this week, pushing homebuyer affordability even higher for those who can qualify.

“Fixed mortgage rates eased this week to record lows on indicators of higher consumer confidence and wholesale prices,” Frank Nothaft, Freddie Mac’s chief economist says.

The following are the national averages with mortgage rates reported by Freddie Mac for the week ending Nov. 15:

  • 30-year fixed-rate mortgages: averaged a new low of 3.34 percent, with an average 0.7 point. The previous record low was 3.36 percent, set the week of Oct. 4. A year ago, 30-year rates averaged 4 percent.
  • 15-year fixed-rate mortgages: averaged a new low of 2.65 percent, with an average 0.7 point. Its previous record low was 2.66 percent, set during the week ending Oct. 18. A year ago, 15-year rates averaged 3.31 percent.
  • 5-year adjustable-rate mortgages: averaged 2.74 percent, with an average 0.6 point, rising slightly from last week’s 2.73 percent average. Last year at this time, 5-year ARMs averaged 2.97 percent.
  • 1-year ARMs: averaged 2.55 percent, with an average 0.3 point, dropping from last week’s 2.59 percent average. A year ago, 1-year ARMs averaged 2.98 percent.

Source: Freddie Mac

#Foreclosure Discounts Vanishing #realestate #phoenix

DAILY REAL ESTATE NEWS | TUESDAY, NOVEMBER 20, 2012

Foreclosure discounts have nearly dried up due to low inventory levels, according to the latest housing reports.

The average discount nationwide for foreclosure properties has fallen to 7.7 percent, according to Zillow research. In some parts of the country, there is no foreclosure discount when compared to other sales.

“The smallest foreclosure discount is found in places where competition for homes is so high, people there are willing to pay the same amount for a foreclosure re-sale that they would for a non-distressed home simply to take advantage of historic affordability,” says Stan Humphries, Zillow’s chief economist.

The smallest foreclosure discounts can be found in:

  • Las Vegas (0%)
  • Phoenix (0%)
  • Sacramento, Calif. (0.7%)
  • Riverside, Calif. (1.8%)
  • San Diego (2.4%)
  • Miami-Ft. Lauderdale (2.9%)
  • Los Angeles (4.2%)
  • San Francisco (4.7%)

Meanwhile, the places with the largest foreclosure discounts are:

  • Pittsburgh, Pa. (27.8%)
  • Cleveland (25.8%)
  • Cincinnati (20.2%)
  • Baltimore (20%)
  • New York City (15.5%)

Zillow: Fewer underwater homeowners in #Phoenix #realestate #eastvalley

Source: BizJournals.com

About 45 percent of homeowners in Maricopa and Pinal counties — or 352,444 homes — were underwater during the third quarter, a 13 percent-drop from the two previous quarters when slightly more than half were underwater, the report said.

Underwater, or negative equity, is when a homeowner owes more on their mortgage than their home’s present assessed value. Zillow calculates the negative equity rate as the percentage of all mortgaged homes in an area that are underwater.

One of the highest negative equity rates in the Valley was in the south Phoenix ZIP code of 85043, where 74 percent of homeowners were underwater in the third quarter; about 40 percent of those homeowners were underwater by a whopping 200 percent.

While that’s significantly higher than the Valleywide average, it’s still a notable decline from when the area posted a 81 percent negative equity rate in the second quarter, the report said.

Metro Phoenix’s underwater rate during the third quarter was fifth-highest in the nation, based on Zillow’s analysis of the top 30 largest metropolitan areas.

The highest negative equity in that time frame was Las Vegas’s staggering 63 percent, down from 68.5 percent in the previous quarter.

Atlanta trailed behind in second place with 50.4 percent of mortgaged homes underwater, versus last quarter’s 54.4 percent, and was followed by Orlando’s 47.7 percent, down from 51.9 percent, and Riverside, Calif.’s 47.3 percent, down from 51.2 percent.

Despite the quarter-over-quarter improvements, the aforementioned metro areas, including Phoenix, are far worse off than the rest of the nation, the report said.

The nationwide negative equity rate for the third quarter was 28.2 percent, or slightly more than 14 million underwater homeowners. That’s down from the previous quarter’s 31 percent negative equity, or 15.3 million homeowners, the report said.

Zillow officials attributed the negative equity decline to an increase in mortgage refinances and rising home values in recent months, but cautioned there are still hurdles to overcome.

“While we’re moving in the right direction, a substantial number of homes are still locked up in negative equity, unable to enter the existing re-sale market despite the desires of their owner,” Stan Humphries, Zillow’s chief economist, said in the report. “The housing market has found real momentum of its own, but is not immune from shocks to the broader economy. If negotiations centered on resolving the fiscal cliff don’t inspire confidence in investors and consumers alike, recent home value gains – and, as a result, falling negative equity rates – could stall.”