Provo Utah 2nd Turnaround Housing Markets

Provo Utah 2nd Turnaround Housing Markets
Kiplinger Personal Finance recently singled out 12 metro areas’ housing markets as faring the best in 2012. Kiplinger attributed strengthening economies, below-average unemployment rates, and increasing buyer confidence as turning these metros into seller’s markets.  Big Milestone in Homebuilder Confidence is at its highest level in seven years

Sales Spike in 19 Major Metros in May

Sales Spike in 19 Major Metros in May
Home Prices: Gains in home prices and sales surged in May, while inventory increased for the second straight month, according to Redfin’s most recent housing market report based on 19 markets across the country.

In May, home prices surged 17.4 percent year-over-year, while prices in all 19 markets tracked showed yearly gains, the brokerage found. From April to May, prices increased 4.3 percent. 

National housing indicators are being led by strong regional markets experiencing key growth, as seller supply begins to respond to consumer demand mirroring on a micro scale, indicating a slower but steady national trend towards sustainable market recovery. As the spring homebuying season transitions into summer, some regions across the nation are seeing month-over-month inventories replenishing above usual seasonal patterns as sellers begin to respond to pent up demand. Utah rank 7th in the fastest growing economies by State.

Are Mortgage Rates Too Low ?

Are Mortgage Rates Too Low ?
To Threaten the Recovery: The recent rise in mortgage rates is not enough to pose any real threat to the housing recovery, but that’s not to say the increase doesn’t come with any risk, according to a recent analysis from Capital Economics.

 Freddie Mac’s most recent survey showed the 30-year fixed rate is almost back at 4 percent, while the Mortgage Banker Association reported the 30-year was up to 4.15 percent, the highest since March 2012. Foreclosure Sales in West Down in May Likely to Increase in June

30-Year Mortgage Rates Climb Near 4% Range

850K Borrowers Rise Out of Negative Equity in Q1

Significant improvements in home values helped lift 850,000 borrowers out of negative equity in the first quarter, CoreLogic reported. 

'The negative equity burden continues to recede across the country thanks largely to rising home prices,' says Anand Nallathambi, president and CEO of CoreLogic.

“The impressive home price gains of 2012 and the beginning of 2013 have had a big impact on the distribution of residential home equity,” said Dr. Mark Fleming, chief economist for CoreLogic. “During the past year, 1.7 million borrowers have regained positive equity. 

30-Year Mortgage Rates Climb Near 4% Range. Are 4 percent mortgage rates the new norm?

Inventory Situation Improves in June

Inventory Situation Improves in June

Compared to Start of 2013: While the number of for-sale listings nationwide remains down from last year, June saw a promising lift compared to the start of this year, Zillow revealed in a new report.

The overall number of listings on Zillow was down 12.2 percent year-over-year at the start of June, an improvement from the 17.5 percent shortfall recorded in January—in other words, Zillow explained, the inventory of for-sale homes has improved 5.3 percentage points year-to-date (controlling for seasonality).

Monthly Increase in REOs Drives Up Foreclosure Activity in May

Long-Lost Equity

Long-Lost Equity

More Home Owners Regain: 

Rising home prices are helping to propel more home owners back into positive equity. About 850,000 residential properties returned to positive equity during the first quarter of 2013, according to new data released by CoreLogic. That brings the total to 1.7 million borrowers who have regained positive equity in the past year. 

In total, 39 million residential properties now have positive equity.  You Should Own, Not Rent: 

Builders Don't Fear Housing Bubble

Builders Don't Fear Housing Bubble
Home prices are rising rapidly in many markets, but Pacific Coast Builders Confidence attendees name two main factors that should quell fears of a new bubble.

“The ultimate reality check is affordability,” Ara Hovnanian, chief executive of homebuilding giant K. Hovnanian Enterprises, told The Wall Street Journal.

Home prices soared during the housing boom, making homes less affordable for families earning the median income. The National Association of REALTORS®’ affordability index fell to 107.6 in 2006—often considered the height of the housing bubble. But following the housing crash, housing affordability rose (the higher the index, the greater the affordability). In 2008, the index climbed to 137.8, and reached a high of 193.2 in 2012, according to NAR.  Inventory on the Rise as Sellers Gain Confidence