articles about “home sales”
Trulia’s Housing Barometer: Tighter Inventory Complicates the Recovery
Fewer sales and more delinquencies mean the housing market slips to just 32% back to normal, a new low for 2012
Each month, Trulia’s Housing Barometer charts how quickly the housing market is moving back to “normal.” We summarize three key housing market indicators: construction starts (Census), existing-home sales (NAR) and the delinquency-plus-foreclosure rate (LPS First Look). For each indicator, we compare this month’s data to (1) how bad the numbers got at their worst and (2) their pre-bubble “normal” levels.
In June 2012, construction starts improved, but existing home sales fell and the delinquency + foreclosure rate rose:
—Construction starts jumped. Starts rose in June to a 760,000 annualized rate, up 7% month-over-month and 24% year-over-year. Construction activity was especially strong in Texas and the Carolinas. Now, construction starts are 28% of the way back to normal.
—Existing home sales fell sharply, from 4.62 million in May to 4.37 million in June. Now, home sales are just 35% back to normal to from their worst point during the bust, down from 49% in May: they’re now much closer to their low of November 2008 than to their pre-bubble normal level. That’s a big slide. Tighter inventory, especially of distressed homes, held back sales.
—The delinquency + foreclosure rate went up. In June, 11.23% of mortgages were delinquent or in foreclosure, up from 11.08% in May. (LPS revised its historical data, which changed our barometer measure slightly.) The delinquency + foreclosure rate is 34% back to normal, down a bit from 36% in May.
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Not All Neighborhoods Created Equal (DC Edition)
To help celebrate Independence Day, we decided to look for the right mix of mansions and modest homes in our Nation’s Capital
So far we’ve looked at the mix of home prices in San Francisco and Boston. This month, we’re focusing our gaze on our nation’s capital – Washington, DC. Long synonymous with power and politics, the city designed by Pierre L’Enfant is home to the White House, the Capitol, the Lincoln Monument, and many, many Smithsonian museums. Attractions like these bring flocks of tourists and American history buffs year round, but what’s it like to live there? Are there any affordable neighborhoods where you can rub shoulders with DC elites (and we’re not just talking about the infamous “Real Housewives of DC”)?
If you’re hoping to live near the “DC Cupcakes” shop in Georgetown or be super close to iconic buildings like the Capitol Building and the Supreme Court in Capitol Hill, it might be a bit more difficult to find an affordable place. However, contrary to popular belief, you may actually find a steal in Dupont Circle, Adams Morgan or Logan Circle, granting you easy access to some of DC’s most famous attractions. But if you’re looking for a much more affordable, residential area, you might want to check out what’s east of the Anacostia River. When you’re looking at homes, it’s not just about the median prices in a neighborhood, it’s important to look a bit deeper at the mix of home prices on the market. It turns out that there’s something for everyone in our nation’s capital, whether you want to have the nicest house on the block or be surrounded by mansions.
0 commentsTrulia’s Housing Barometer: Recovery Hits A Plateau
Trulia's Chief Economist reviews May's construction starts, existing-home sales and the delinquency-plus-foreclosures rate to see how far away we are from a "normal" housing market.
Each month Trulia’s Housing Barometer charts how quickly the housing market is moving back to “normal.” We summarize three key housing market indicators: construction starts (Census), existing-home sales (NAR) and the delinquency-plus-foreclosure rate (LPS First Look). For each indicator, we compare this month’s data to (1) how bad the numbers got at their worst and (2) their pre-bubble “normal” levels.
All three indicators took a step backward in May 2012:
—Construction starts slid back for the month, but up for the year. Starts dropped from an upwardly revised 744,000 in April to 708,000 in May, a 4.8% month-over-month decline. But starts are up 28.5% year over year. Still, construction has a long way to go: starts are just 23% of the way back to normal.
—Existing home sales also decreased. Dropping from 4.62 million in April to 4.55 million in May, home sales are not quite halfway back (45%) to their normal level from their worst point during the bust.
—The delinquency + foreclosure rate ticked upward. (Remember, on this measure, lower is better.) In May, 11.32% of mortgages were delinquent or in foreclosure, inching up from 11.26% in April and 11.23% in March, though down from 12.07% a year ago. The delinquency + foreclosure rate is 36% of the way back to normal, ahead of starts but behind sales.
0 commentsTrulia’s Housing Barometer: Recovery Slowly, Steadily Pushes Ahead
Trulia's Chief Economist takes a monthly look at new construction starts, existing-home sales and the delinquency-plus-foreclosures rate to see how far away we are from a normal housing market.
Each month Trulia’s Housing Barometer charts how quickly the housing market is moving back to “normal.” We summarize three key housing market indicators: new construction starts (Census), existing-home sales (NAR) and the delinquency-plus-foreclosure rate (LPS First Look). For each indicator, we compare this month’s data to (1) how bad the numbers got at their worst and (2) their pre-bubble “normal” levels.
April data, released over the past few days, showed:
—Construction starts rose. Starts increased from an upwardly revised 699,000 in March to 717,000 in April. Since November starts have been in the 700,000 range. But starts are still the laggard of the housing recovery: they are just 23% of the way back to normal.
—Existing home sales also increased, from 4.47 million to 4.62 million. Home sales are nearly halfway back (49%) to their normal level from their worst point during the bust.
—The delinquency + foreclosure rate stagnated. (Remember, on this measure, lower is better.) In April, 11.26% of mortgages were delinquent or in foreclosure, versus 11.23% in March, which means that this measure remains 37% back to normal.
Averaging these three back-to-normal percentages together, the market is now 37% of the way back to normal, compared with just 20% back to normal a year ago.
Bottom line: Aside from a dip in March, the recovery is slowly but steadily pushing ahead.
Trulia’s Housing Barometer: Recovery Slips Backward in March
Trulia’s Chief Economist continues his monthly roundup of new construction starts, existing-home sales and the delinquency-plus-foreclosure rate to see how far away we are from a normal housing market.
What does a “normal” housing market look like, and how far away are we? To figure this out, each month Trulia’s Housing Barometer summarizes three key housing market indicators: new construction starts (Census), existing-home sales (NAR) and the delinquency-plus-foreclosure rate (LPS First Look). For each indicator, we compare this month’s data to (1) how bad the numbers got at their worst and (2) their pre-bubble “normal” levels.
March data, released over the past few days, showed:
—Construction starts slipped in March. The decline in annualized starts from 694,000 to 654,000 pushed starts from 21% of the way back to normal in February down to just 17% in March.
—Existing home sales also slipped, from 4.60 million to 4.48 million. Home sales fell from 48% of the way back to normal in February to 41% in March.
—The delinquency + foreclosure rate improved. (Remember, on this measure, lower is better.) In March, 11.23% of mortgages were delinquent or in foreclosure, versus 11.70% in February, which means that this measure improved from 32% back to normal in February to 37% in March. As we learned from Truila’s December 2011 consumer survey, this is key for consumer confidence: 47% of Americans said fewer defaults and foreclosures would give them confidence that the housing market is getting back on track – more than any other indicator of recovery.
Averaging these three back-to-normal percentages together, the market is now 32% of the way back to normal. That’s a bit lower than in January and February, when the market was 34% of the way back to normal, but still higher than it was in 2011. In fact, the market was only 23% of the way back to normal this time last year.
Bottom Line: The housing recovery is progressing, though it’s taken one step backwards after a few strides forward.
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