Forebearance Falls

The number of loans in forbearance just fell to their lowest level since mid-April.

 

This is good news for the real estate market.

 

Less and less people are seeking payment relief on their mortgages.

 

The number of loans currently in forbearance stands at 7.16%.

 

This news coincides with the U.S. Unemployment Rate falling to it’s lowest level in 5 months as more people are getting their jobs back.

 

The economy has added back roughly half of the 22.2 million jobs that were lost in March and April of this year.

waterfall

Posted on September 12, 2020 at 6:00 am
Tammy Fisher | Category: Housing Market, Loveland Real Estate, Loveland Real Estate Agent, Real Estate Market | Tagged , , ,

Rebound

The Case-Shiller Home Price Index tracks appreciation in the 20 largest real estate markets across the U.S.

 

Their most recent quarterly report was just released this week.

 

Metro Denver prices are up over last year by 3.89% which is just slightly higher than the average of the 20 markets.

 

It is interesting to see how the 20 locations have performed since the pre-Great Recession housing peak.

 

Turns out that Denver has done the best out of all the markets.

 

Since 2008, Denver home prices have appreciated 64.9%.  Second-best is Dallas at 55.5% and Seattle is third at 41.2%.

 

Believe it or not, there are markets where average home prices have still not returned to their 2008 levels.

 

Las Vegas is 14.5% below 2008 and Chicago is 12.8% below.

 

These numbers are another indicator of the long-term health and performance of the Front Range market.

basketball

At Windermere Real Estate we are taking Safer at Home and Social Distancing very seriously.  Our people are following our Safe Showings protocol, staying connected to their clients, and providing help wherever needed.

Posted on August 7, 2020 at 4:04 pm
Tammy Fisher | Category: Home Prices, Housing Market, Larimer County Real Estate, Loveland Real Estate, Real Estate Market | Tagged , , ,

A Historic Rebound for the Housing Market

A Historic Rebound for the Housing Market

Pending Home Sales increased by 44.3% in May, registering the highest month-over-month gain in the index since the National Association of Realtors (NAR) started tracking this metric in January 2001. So, what exactly are pending home sales, and why is this rebound so important?

According to NAR, the Pending Home Sales Index (PHS) is:

“A leading indicator of housing activity, measures housing contract activity, and is based on signed real estate contracts for existing single-family homes, condos, and co-ops. Because a home goes under contract a month or two before it is sold, the Pending Home Sales Index generally leads Existing-Home Sales by a month or two.”

In real estate, pending home sales is a key indicator in determining the strength of the housing market. As mentioned before, it measures how many existing homes went into contract in a specific month. When a buyer goes through the steps to purchase a home, the final one is the closing. On average, that happens about two months after the contract is signed, depending on how fast or slow the process takes in each state.

Why is this rebound important?

With the COVID-19 pandemic and a shutdown of the economy, we saw a steep two-month decline in the number of houses that went into contract. In May, however, that number increased dramatically (See graph below):A Historic Rebound for the Housing Market | Keeping Current MattersThis jump means buyers are back in the market and purchasing homes right now. Lawrence Yun, Chief Economist at NAR mentioned:

“This has been a spectacular recovery for contract signings and goes to show the resiliency of American consumers and their evergreen desire for homeownership…This bounce back also speaks to how the housing sector could lead the way for a broader economic recovery.”

But in order to continue with this trend, we need more houses for sale on the market. Yun continues to say:

“More listings are continuously appearing as the economy reopens, helping with inventory choices…Still, more home construction is needed to counter the persistent underproduction of homes over the past decade.”

As we move through the year, we’ll see an increase in the number of houses being built. This will help combat a small portion of the inventory deficit. The lack of overall inventory, however, is still a challenge, and it is creating an opportunity for homeowners who are ready to sell. As the graph below shows, during the last 12 months, the supply of homes for sale has been decreasing year-over-year and is not keeping up with the demand from homebuyers.A Historic Rebound for the Housing Market | Keeping Current Matters

Bottom Line

If you decided not to sell this spring due to the health crisis, maybe it’s time to jump back into the market while buyers are actively looking for homes. Reach out to a local real estate professional to determine your best move forward.

https://www.keepingcurrentmatters.com/2020/07/01/a-historic-rebound-for-the-housing-market/

 

Posted on July 22, 2020 at 6:00 am
Tammy Fisher | Category: Ecomony, Home Ownership, Housing Market, Northern Colorado Real Estate, Real Estate Market | Tagged , , , ,

Is the Economic Recovery Already Underway?

Is the Economic Recovery Already Underway?

The Wall Street Journal just released their latest monthly Survey of Economists. In an article on the findings, they reported:

“The U.S. economy will be in recovery by the third quarter of this year, economists said in a survey that also concluded the labor market will fare better than previously expected following the effects of the coronavirus pandemic.”

Clearly, the latest jobs report from the U.S. Bureau of Labor Statistics confirmed the labor market is outperforming expectations, as it revealed that 2.5 million jobs were added. Directly before the release, experts forecasted that we would lose over 8 million jobs.

A second revelation indicating the economy is already about to turn around was also somewhat unexpected. More than 9 out of 10 economists surveyed believe the recovery has already begun this quarter or will begin in the third quarter. Here are the results of the survey question asking when the recovery will begin:Is the Economic Recovery Already Underway? | Keeping Current Matters The survey also asked what type of recovery the economists expect.

More than 8 out of 10 believe it will be a form of a ‘V’ recovery:

  • A true ‘V’ with a sharp drop and a sharp rebound
  • A ‘Nike Swoosh’ with a sharp drop and a more gradual recovery, coined after the company’s logo

Some experts, possibly concerned about a second wave of COVID-19, call for a ‘W’ recovery – a double dip recession.

Others call for a ‘U’ with a prolonged bottom.

A very small percentage project the dreaded ‘L’ recovery, which is no recovery at all for the foreseeable future (think of the Great Recession).

Here’s the breakdown:Is the Economic Recovery Already Underway? | Keeping Current Matters

Bottom Line

Though we still have a long and difficult journey ahead, it appears the worst for both the economy and the unemployment situation may be in our rearview mirror.

https://www.keepingcurrentmatters.com/2020/06/17/is-the-economic-recovery-already-underway/

Posted on July 16, 2020 at 6:00 am
Tammy Fisher | Category: Ecomony, Housing Market, Unemployment | Tagged , , ,

The Housing Market Is Positioned to Help the Ecomony Recover

The Housing Market Is Positioned to Help the Economy Recover [INFOGRAPHIC] | Keeping Current Matters

Some Highlights

  • Expert insights are painting a bright future for housing when the economy bounces back – and it will.
  • We may be facing challenging economic times today, but the housing market is poised to help the economy recover, not drag it down.
  • Connect with your trusted real estate advisor today, to make sure you’re informed and ready when it’s time to make your move.

https://www.keepingcurrentmatters.com/2020/04/03/the-housing-market-is-positioned-to-help-the-economy-recover-infographic/

Posted on April 13, 2020 at 7:00 am
Tammy Fisher | Category: Home Buying, Housing Market, Northern Colorado Real Estate, Real Estate Market | Tagged , , ,