November 21, 2022
by: Aimee Hartwig Real Estate
The Census Bureau and the Department of Housing and Urban Administration reported This Week in Real Estate that both housing starts and permits declined 4.2% and 2.4% in October from September, respectively. They are 8.8% and 10.1% lower than a year ago, respectively. The 30-year fixed-rate mortgage averaged 6.6% in the week ending November 17, down 47 basis points the week before, marking the largest weekly drop since 1981. Mortgage applications increased for the first time in seven weeks, according to the Mortgage Bankers Association. For the third report in a row the National Association of Realtors reported total inventory has decreased. NAR lists the current inventory at 1.22 million, while historical norms are between 2 million and 2.5 million.
“If mortgage rates can get down toward 5%, we can see some stabilizing in the housing data that is working from a much lower bar now. This is the way to get out of the housing recession that started in June. .”National Association of Realtors