Tag Archive for ‘housing economics’

Interest for New Homes Strengthens

Higher interest rates have led millions of existing homeowners with mortgages under 4% to postpone plans to list their homes for sale, and for many prospective buyers, that supply vacuum has left newly built homes as the only game in town.  That is the backdrop behind the strengthening of interest for new homes. According to the latest Housing Trends Report,… Read More ›

Housing Demand Slows on Higher Rates and Prices

Mortgage rates’ slow –but steady– march upwards combined with the return of home price gains are doing what they are predicted to:  slow housing demand.  According to the latest Housing Trends Report, the share of adults with plans to purchase a home within a year dropped to 15% in the second quarter of 2023, down from a record high of… Read More ›

Housing Affordability Posts Solid Gain but Still Much Lower from a Year Ago

Solid nominal wage gains (unadjusted for inflation) combined with lower mortgage rates and home prices helped to boost housing affordability in the first quarter of 2023, but ongoing building material supply chain issues and expected cooling of wage growth signal ongoing concerns for affordability conditions in the year ahead. According to the NAHB/Wells Fargo Housing Opportunity Index (HOI), 45.6% of… Read More ›

Housing Affordability Expectations Improve

Relatively lower interest rates (compared to fall 2022), slowing growth in home prices, and builder incentives are making an impact on buyers’ affordability expectations.  In the first quarter of 2023, 73% of buyers reported being able to afford less than half the homes for-sale in their markets, down from a record high of 87% in the final quarter of 2022. … Read More ›

Housing Availability Expectations See Mild Improvement

After souring significantly in the final quarter of 2022, buyers’ expectations of housing availability edged up slightly in the first quarter of 2023, with 26% expecting the home search to get easier in the months ahead, just ahead of the 24% a quarter earlier.  Despite the mild improvement, buyers’ perceptions of housing availability remain well below their level in the… Read More ›

Popularity of New Homes Stalls

Interest for new home construction was essentially unchanged between the final quarter of 2022 and the first quarter of 2023, as the share of prospective buyers looking to buy a newly built home barely edged from 20% to 21%. Meanwhile, the share interested in existing homes dropped from 39% to 37% during this period, while the share with no particular… Read More ›

30% of Adults Work from Home at Least 2 Days a Week

Findings from a recent national poll* that reveal 30% of American adults typically work from home at least two days a week could offer clues to the long-term financial health and value of commercial office space in the United States. How this share evolves over time, whether it drops due to employers tightening work-from-home policies or it grows due to… Read More ›