Posts from November, 2018

Is Fear of Homeowners Trapped by Low Mortgage Rate Justified?

November 30, 2018 by Zelman & Associates

According to Freddie Mac’s weekly survey, the effective rate for a 30-year fixed rate mortgage bottomed at approximately 3.30% in late-2012. From 2012-17, the rate was below 4.00% in 208 out of 313 weeks, or 66% of the time. With the latest ...

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Filed Under | macro housingmortgage rates

Halfway Through 2018, Births Reverse Surprising Decline of 2017

November 30, 2018 by Zelman & Associates

In 2007, there were an estimated 4.32 million births, according to data from the Center for Disease Control, ranking as the largest annual total in the history of the country. Since that time, births have declined each year through 2017 aside ...

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Filed Under | demographicsmillennials

Can We Trust What Senior Loan Officers are Telling the Fed?

November 16, 2018 by Zelman & Associates

Once a quarter, the Federal Reserve conducts a survey of senior loan officers at large domestic banks and U.S. branches of foreign banks. The results of the October 2018 survey were just released, with approximately 65-70 responses received ...

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Filed Under | construction lendingmacro housing

Some Fascinating Conclusions as Home Affordability Concerns Come into Focus

November 16, 2018 by Zelman & Associates

Over the last year, home price appreciation has averaged roughly 5.5% across the country while the typical 30-year fixed mortgage rate has expanded by almost exactly 100 basis points. A simple calculation results in the average monthly mortgage ...

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Filed Under | affordabilitymortgage

Want Your Adult Child to Move Out? Find Them Love

November 02, 2018 by Zelman & Associates

According to the American Community Survey (ACS) conducted by the Census Bureau, 14.2% of 25-34 year olds lived with their parents or grandparents in 2006. That ratio has increased every year since. The most significant annual increases were ...

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Filed Under | demographicsmillennials

With the Fed in Focus, What Can We Learn from Historical Actions?

November 02, 2018 by Zelman & Associates

Thus far in 2018, the average 30-year fixed mortgage rate has increased approximately 50 basis points year over year, putting the year on pace to have the highest borrowing cost since 2010. According to Google Trends, an index tracking how ...

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Filed Under | macro housingmortgage rates

Homeownership Rises Again as Single-Family Living Taking Share

November 02, 2018 by Zelman & Associates

Over the last year, multi-family starts have accounted for 29% of all starts, close to the decade-to-date share at 31%. With this being notably higher than 20% in the 1990s and from 2000-09, clients often inquire as to whether we believe this ...

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Filed Under | apartmentshomeownershipsingle-family rental