Choose your path
Mississippi Gov. Tate Reeves on June 25 signed SB 2430, legislation that requires any civil lawsuits filed against appraisers, valuation firms, appraisal management companies or lenders to be done so within five years of when “the appraisal was relied upon or utilized by an intended user” or within three years of when the cause of action occurred, whichever is sooner.
The demand for family-oriented rental housing isn’t being met as developers increasingly focus on young millennials, according to the report “Family Renter Housing: A Response to the Changing Growth Dynamics of the Next Decade” released June 22 by the Urban Land Institute. However, the segment is expected to skyrocket as millennials start families, creating plenty of incentive for developers and investors.
Sales of existing homes fell in May for the third consecutive month, dropping 9.7% from April, the National Association of Realtors reported June 22. Sales were down in all regions, with the greatest drop reported in the Northeast where existing-home sales were 29.9% lower than a year earlier.
Single-family home building permits rose nearly 12% in May, while the share of builders cutting home prices dropped from 22% in April to 15% in May, the National Association of Home Builders reported June 24. When builders did cut their prices, it was by an average of 5%, compared with 7% in April.
Mortgage rates remained relatively unchanged during the past week, and the low rates continue to elevate purchase demand, Freddie Mac reported June 25 in its Primary Mortgage Market Survey. Freddie noted that purchase demand recovered from the economic turmoil caused by the coronavirus pandemic in only 10 weeks, while the recovery following the Great Recession took 10 years.
The Appraisal Institute regrets the passing of the following Designated Members, as reported to Appraiser News Online in June.
The increased interest in suburban living in the wake of the coronavirus pandemic is expected to be a short-term reaction to a global issue, while large cities will be the long-term choice for both commercial and residential uses, according to the June Economic Outlook from the UCLA Ziman Center for Real Estate, GlobeSt.com reported June 25.
The coronavirus pandemic has caused the hospitality sector to experience its biggest performance decline in history, but an economic turnaround is expected next year with a return to pre-crisis levels in the second half of 2022, according to real estate firm CBRE Hotels, MBA NewsLink reported June 19. Occupancy levels for U.S. hotels this year are expected to average only 41%.
The luxury home sector is rebounding, and the New York metro area took the lead in May, Realtor.com reported June 25. With New York City still considered a coronavirus hotbed, buyers are seeking million-dollar properties beyond the boroughs, with interest shifting to the Hamptons, Connecticut and New Jersey. Palm Springs, California, is also seeing an uptick in luxury buyers.
Sales of newly built homes rose 16.6% between April and May, and were 12.7% higher than May 2019, according to data from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau, the National Association of Home Builders reported June 23. The NAHB said the data is confirmation that housing is leading the economic recovery.
Pop up content here.