ru - Residential Update

September 2022

Appraisal Foundation Extends 2020-21 USPAP Through 2023

The Appraisal Foundation’s Appraisal Standards Board announced Aug. 11 that the current edition of the Uniform Standards of Professional Appraisal Practice will be extended for an additional year. The 2020-2021 USPAP will now be effective until Dec. 31, 2023.

September 2022

VA Accepting Some Desktop, Exterior-only Appraisals

The Department of Veterans Affairs announced July 27 that it will allow desktop and exterior-only appraisals for some transactions in response to high demand for appraisal services and limited availability of appraisers in certain areas. The change took effect July 27, and is expected to reduce delays and address a longstanding shortage of VA appraisers.

September 2022

US Needs 4 Million More Apartments by 2035, Research Shows

Nearly 4.3 million new apartments will be needed across the U.S. by 2035 to meet housing demand, according to research released July 28 by the National Multifamily Housing Council and the National Apartment Association. Currently, there is a shortage of around 600,000 units, and the number of affordable apartments — those with rents less than $1,000 per month — has declined by 4.7 million between 2015-20.

September 2022

FHFA to Create Advisory Committee on Affordable, Equitable, Sustainable Housing

The Federal Housing Finance Agency announced Aug. 23 its intent to create a Federal Advisory Committee on Affordable, Equitable and Sustainable Housing that will provide advice on regulatory and policy changes. The committee also will provide input on barriers to access to housing.

September 2022

Fed Plans Further Rate Increases Despite Reduced Inflation

The Federal Reserve expects that slowing inflation will reduce the pace of interest rate increases, but monetary policy will continue to tighten until price pressures are fully broken, Reuters reported Aug. 11. The next rate increase is expected in September, and the targets of 3.9% for year-end and 4.4% by end of 2023 still stand.

September 2022

Housing Activity to Drop Through 2023 Due to Rate Increases, Home Prices: Fannie Mae

Home sales are expected to decline 16.2% this year, and mortgage originations are projected to total $2.47 trillion for 2022 — down from $4.47 trillion last year — and then drop to $2.29 trillion in 2023, Fannie Mae’s Economic and Strategic Research Group reported Aug. 22. The downgraded forecast is based on both outsized home prices and rapidly expanding mortgage rates.

September 2022

The South Boasts Most Affordable Beach Towns for Homebuyers, Data Shows

Port Arthur, Texas, topped the list of the nation’s most affordable beach towns, with homes there averaging just $65 per square foot, Property Shark reported Aug. 4. The South boasts the largest number of affordable beach towns, claiming nine of the top 10 spots on the list; Bowers, Delaware, is the outlier.

September 2022

Nearly 63,000 Home Purchase Agreements Canceled in July: Redfin Data Reveals

Around 63,000 home purchase agreements fell through in July, equal to 16.1% of properties under contract, Redfin reported Aug. 16. That’s the largest amount since March and April 2020, and up 12.5% from a year ago.

September 2022

Institutional Investment in Single-family Rental Homes Continues to Grow: Yardi

Institutional investors are expected to continue focusing on single-family rental properties during the next few years, having already committed $60 billion during the past year, Yardi Matrix reported Aug. 1. The number of institution-owned single-family rentals in the U.S. stands at around 700,000.