ru - Residential Update

July 2020

Housing is Recovering; Economic Outlook Uncertain: Freddie Mac

An increase in homebuyer demand and a decrease in mortgage rates is expected to propel the housing sector forward this year, but the overall outlook is still uncertain due to concerns about the coronavirus and the nation’s fiscal policies, Freddie Mac reported June 16 in its Quarterly Forecast. Improvements in home price growth, sales and loan originations are expected next year.

July 2020

Homebuyer Interest in ‘Hot’ Suburbs Picks Up: Realtor.com

The suburbs of Columbia, South Carolina; Little Rock, Arkansas; and Greensboro, North Carolina, saw the greatest spikes in interest in May and were deemed the hottest markets as buyers seek to distance themselves from crowded urban centers amid the coronavirus pandemic, according to the Market Hotness report released June 17 by Realtor.com.

July 2020

FHFA Extends Through July Appraisal Loan Processing Flexibilities Offered by GSEs

The Federal Housing Finance Agency announced June 11 that it is extending until at least July 31 several loan origination flexibilities offered by Fannie Mae and Freddie Mac to assist borrowers during the ongoing COVID-19 pandemic. Alternative appraisals on purchase and rate term refinance loans are among the extended items.

July 2020

Renters Seeking Space and Affordability Could Alter Multifamily Sector, Study Shows

The residential rental sector could see significant changes due to the coronavirus pandemic as renters seek larger spaces and more affordable rents, move to less dense areas or leave the rental market altogether, according to the Multifamily Housing Renter Perspective Study released June 10 by insurance firm Assurant.

July 2020

7.4M Properties at Risk to Summer Storm Surge: CoreLogic

More than 7 million single-family homes and 250,000 multifamily residences along the Atlantic Seaboard and the Gulf Coast are at risk for storm damage this year, according to the Storm Surge Report from analytics firm CoreLogic, MBA NewsLink reported June 3. The reconstruction cost value could top $1.7 trillion for single-family homes and $95 billion for multifamily properties.

July 2020

Number of Buyers Interested in Single-family Homes Hits 4-year High, Redfin Reports

Online searches for single-family homes hit a four-year high during the past month as 36% of saved searches reveal buyers are looking for more space and privacy, online marketplace Redfin reported June 15. Tampa, Florida, saw the greatest increase in the share of buyers looking for single-family homes, followed by Las Vegas and Boston.

July 2020

Most Home Sellers Willing to Accept a Lower Purchase Price During COVID-19: Report

Nearly 70% of home sellers said they would accept a lower purchase offer to get to the closing table amid the coronavirus pandemic, with more than 80% of sellers expressing concern their homes won’t sell during a recession, financial firm LendingTree reported June 16. Additionally, 46% of would-be sellers said they have delayed listing their homes for sale.

July 2020

Mortgage Sector Off to Worst Start Since 2013: Bloomberg

The Federal Reserve has provided $688 billion to the mortgage sector since mid-March, but despite that assistance, the mortgage sector is off to its worst start in seven years, Bloomberg reported June 1. Contributing to the situation is higher than expected mortgage prepayments, increased forbearance and the Fed almost singlehandedly driving value and risk.

July 2020

Home Building Expected to Increase in Suburban Areas as Buyers Shift Priorities: NAHB

Home building in inner and outer suburbs and more rural areas, which was already on the rise before the coronavirus pandemic, is expected to increase as homebuyers shift their attention to properties in lower density areas and smaller towns that were less impacted by COVID-19, the National Association of Home Builders Reported June 2.

July 2020

Housing Demand, Home Prices Leading Factors in Housing Recovery: Realtor.com Survey

Buyer interest and home prices are now growing faster than pre-COVID-19 levels, but new supply and the rate of sales are still lagging but trending up, Realtor.com reported June 8 in its Housing Market Recovery Index. Housing markets in Boston, Denver and San Francisco have experienced the strongest recovery.