housing market Archives - The Georgia Star News

Investors Flee the Housing Market in Troubling Sign for the Economy

November 25, 2022November 24, 2022 Georgia Star News Staff

Investors bought 30% fewer homes in the third quarter of 2022 compared to the same time period last year, as high borrowing costs pressured investors out of the housing market, according to real estate brokerage Redfin Tuesday.

Besides a brief plunge in the second quarter of 2020 in response to the beginning of the coronavirus pandemic, the decline was the steepest since 2008, and surpassed the 27.4% overall decline in home purchases nationwide, Redfin reported. The pandemic ultimately boosted demand for homes in suburban areas, sending investors on buying spree as they raised rents in those areas, in some cases by double digits, The Wall Street Journal reported Tuesday.

Commentary: America’s Housing Market Is in Trouble

October 3, 2022October 2, 2022 Admin

Which direction is the housing market going? To discern that requires understanding exactly where we are now, and how we got here. These are valuable points to ponder since Americans’ homes are often their most valuable asset and largest store of wealth, and those homes are hemorrhaging.

Commentary: The Biden Bust Could be Coming to a Neighborhood Near You Soon

July 8, 2022July 8, 2022 Georgia Star News Staff

For many readers, the above title will conjure up memories of the 2008 housing crash caused by the proliferation of subprime mortgages and the subsequent tsunami of defaults. But a better corollary for the coming Biden bust is the Carter crash that occurred three decades earlier. During the final two years of Carter’s term, sales of existing and new homes collapsed because the Fed was forced to raise interest rates sharply to get double-digit inflation under control. This, in turn, produced double-digit mortgage rates that priced millions of potential buyers out of the market.

Home Sales Surged to 15-Year High in 2021

January 22, 2022January 21, 2022 Georgia Star News Staff

U.S. existing home sales soared to a 15-year high in 2021 fueled by low interest rates and remote work, which boosted a competitive housing market, the National Association of Realtors (NAR) announced Thursday.

Home sales totaled 6.12 million in 2021, representing an 8.5% increase from 2020 and the highest level since 2006, according to the NAR. The inventory of unsold homes as of December 2021, 910,000, the lowest figure since January 1999.

Home Prices at 45-Year High, Pricing Many Buyers out of the Market

December 24, 2021December 23, 2021 The Center Square

Home prices are at a 45-year high, pricing many buyers out of an historic seller’s market, new data published by CoreLogic show.

Annual home prices were 18% higher in October of this year than they were last October, and were also the highest recorded in the 45-year history of a Home Price Index published by the global property company.

Home Prices Soar in Third Quarter as Housing Market Remains Hot

November 13, 2021November 12, 2021 Georgia Star News Staff

Median home prices surged in the third quarter of 2021 in almost every housing market in the U.S., the National Association of Realtors said in a report Wednesday.

The median price of a single-family home increased in 182 out of the 183 markets tracked by the National Association of Realtors (NAR). Prices grew by 10% from the previous year in 78% of the 182 markets.

Zillow to Shut Down House-Flipping Business, Lay Off 2,000 Workers After Disastrous Earnings

November 8, 2021November 7, 2021 Georgia Star News Staff

Zillow is closing down its home buying and selling business and laying off 25% of its workforce after the online real estate company missed its third-quarter earnings estimate.

The company announced in a statement attached to its earnings report Tuesday that it would be shutting down its Offers program, which buys and sells houses, after the company reported a net loss, partly due to failures in its Offers division. Zillow attributed the change to its inability to accurately forecast the housing market.

Housing Prices Hit Highest Rate of Growth Ever Recorded

July 4, 2021July 3, 2021 Georgia Star News Staff

Home prices reached record highs in April as the housing market continued to boom, with home prices in areas around cities climbing at the fastest rate on record.

Average home prices in metropolitan areas, measured by the S&P CoreLogic Case-Shiller National Home Price Index, rose 14.6% between April 2020 and April 2021, according to an analysis released Tuesday. The increase is the highest annual rate of housing price growth the index has measured, according to The Wall Street Journal.

Housing Prices Hit Record Highs, Up 23 Percent as Buyers Struggle

June 25, 2021June 24, 2021 Georgia Star News Staff

A modern home with a light blue roof and matching siding

House prices are at their highest point ever as the housing market continues to boom, leaving some buyers struggling to afford a home, according to a real estate group.

The median existing-home price topped $350,000 for the first time in May, a 23.6% increase from a year earlier, according to a Tuesday report from the National Association of Realtors (NAR). While existing-home sales fell 0.9% from April to May, prices continued to increase as supply struggled to meet demand.

A combination of home buyers leaving cities, low interest rates, and constrained housing supply has caused prices to skyrocket, according to a report from Redfin. While the market has benefited sellers, some buyers have been priced out, the The Wall Street Journal reported.

Lumber Futures Drop After Sustained Rise, Signaling Potential Price Drop for Consumers

June 21, 2021June 20, 2021 Georgia Star News Staff

Lumber futures plunged further this week, seeing a price drop that hit 20% in a sign that the lumber market may finally reverse course from its dizzying price spike that occurred over the last few months.

The reversal was likely driven in part by a drop in homebuilding, which was down nearly 10% last month; general home repair also saw a similar decline.

Lumber manufacturers over the past several months have also been producing record levels of supply in response to the price surge.

Housing Inventory Remains Sharply Down, Fueling Months-Long, White-Hot Real Estate Market

April 5, 2021April 4, 2021 Admin

Housing inventory in the U.S. remains significantly low, driving a white-hot market in which buyers continue to resort to aggressive buying tactics such as inspection-free transfers and hugely inflated offering prices.

Data from the Federal Reserve show housing inventory began declining last summer before dropping sharply in October. From over 1,550,000 units in May of last year, the Fed says stock has dropped to just above 1,000,000.