Tag Archives: survey

Rates Continue to Fall Hitting New Lows Amid Economic Concerns

Just when it seemed like rates could not fall any further, Freddie Mac reported fixed mortgage rates sunk even further for the week ending May 10.

The 30-year fixed-rate mortgage averaged 3.83 percent (0.7 point), down slightly from last week’s average of 3.84 percent. A year ago at this time, the 30-year was 4.63 percent.

The 15-year fixed also moved downward, ending at 3.05 percent (0.7 point) this week. Last week it averaged 3.07 percent, and last year at this time it was 3.82 percent.

The 5-year ARM dropped to 2.81 percent (0.5 point) compared to 2.85 percent last week and 3.41 percent a year ago at this time.

The 1-year ARM moved up to 2.73 percent (0.5 point). Last week the 1-year ARM averaged 2.70 percent and 3.11 percent a year ago…

Read the rest of DSNews.com’s article here: “Rates Continue to Fall Hitting New Lows Amid Economic Concerns”.

American are becoming more optimistic about homeownership

New Prudential Real Estate Poll: Americans Increasingly Optimistic About Homeownership

Prudential Real Estate, a Brookfield Residential Property Services company…released a new national survey showing that Americans are significantly more optimistic about homeownership than they were a year ago. According to the second-annual Prudential Real Estate Outlook Survey, a full 60 percent of Americans have favorable views toward the real estate market. That’s up 8 points since last year.Prudential

The survey shows that signs of increasing optimism are widespread:

  • With interest rates at historically low levels, 96 percent agree or somewhat agree that now is a good time to buy.
  • A full 70 perce3nt of respondents have some degree of confidence that property values will improve over the next two years; with an 8 point increase in those very confident or confident compared to last year.
  • 63 percent believe that real estate is a good investment despite the recent market volatility; that’s up 11 points from last year.

The survey confirms that despite the recession, homeownership remains a central part of the American Dream. Eight in 10 respondents said homeownership is very important to them; only 15 percent said the economic downturn made homeownership less important….

Read the rest of this article here: “New Prudential Real Estate Poll: Americans Increasingly Optimistic About Homeownership.”

Americans More Optimistic About Housing, Economy

Americans’ concerns over housing and the economy are subsiding, according to Fannie Mae’s National Housing Survey from February.

An improving job market is a big part of what’s behind Americans feeling more confident about the housing market and the direction of the economy, according to the survey.

“The pickup in the pace of hiring over the past few months has helped soothe consumer concerns, lifting their moods regarding their personal finances, the direction of the economy, and their views on the housing market,” says Doug Duncan, chief economist of Fannie Mae. “As a result, we’ve seen more potential for economic upside, creating a more balanced near-term outlook.”

The survey found that 28 percent of Americans expect home prices to increase over the next 12 months while 53 percent say prices will likely stay the same. Fifteen percent say they expect home prices to decline.

Meanwhile, the majority of those surveyed see rental prices continuing to increase over the next year.

Sixty-five percent of those surveyed say that if they were going to move they’d buy their next home; 29 percent say they would rent.

With low mortgage rates and falling home prices, 70 percent of those surveyed say now is a good time to purchase a home. Also, more Americans surveyed say now is a good time to sell, rising to 13 percent in February, which is the highest level in more than a year but still low by historic standards.

Overall, Americans expressed more confidence about their personal financial situation, with only 12 percent saying they expected their personal financial situation to worsen in the next 12 months — which is the lowest number in more than a year.

Source: Fannie Mae 

This article is by RealtorMag.org

Proposed Bill to Speed Up Short Sale Process and Prevent Foreclosure

We all know short sales are not so “short”–but this proposed bill outlined by DSNews.com’s article may speed up the process, while also preventing foreclosure.
 
To avoid losing homes to foreclosure due to long response times for short sale transactions, three senators introduced legislation to speed up the short sale process.  
 
Senators Lisa Murkowski (R-Arkansas), Scott Brown (R-Massachusetts), and Sherrod Brown (D-Ohio) proposed the bill addressing the issue of short sales timelines on February 17. A short sale is a real estate transaction where the homeowner sells the property for less than the unpaid balance with the lender’s approval.
 
“There are neighborhoods across the country full of empty homes and underwater owners that have legitimate offers, but unresponsive banks,” said Murkowski. “What we have here is a failure to communicate. Why don’t we make it easier for Americans trying to participate in the housing market, regardless of whether the answer is ‘yes,’ ‘no’ or ‘maybe?’”
 
The legislation, also known as the Prompt Notification of Short Sale Act, will require a written response from a lender no later than 75 days after receipt of the written request from the buyer.
 
The lender’s response to the buyer must specify acceptance, rejection, a counter offer, need for extension, and an estimation for when a decision will be reached. The servicer will be limited to one extension of no more than 21 days.
 
The bill will also…
 
Read the rest of this article by DSNews.com here: “Proposed Bill to Speed Up Short Sale Process and Prevent Foreclosure“.

8 new-home trends for 2012

A recent article by MSN Real Estate focused on a survey by the National Association of Business Economics, covering new-home building trends in 2012.  Read further to get the gist of the article, and head on over to MSN’s website for more details.

The housing industry has taken a beating these past few years, but a glimmer of hope is on the horizon. Housing starts are expected to increase 10% in 2012, according to a survey by the National Association of Business Economics.

Not surprisingly, though, the Great Recession curtailed many of the extravagances that buyers desired before things went south. Homebuyers want different things from their homes today. The watchword is flexibility — things such as rooms that serve multiple purposes and homes that can accommodate either “boomerang” children or aging parents.

We talked to homebuilders and industry watchers to find out what will be behind the front doors of homes built in 2012. How do these features compare to your wish list?

Easy access

  • Single-story homes
  • Grab bars in the bathroom
  • Fewer stairs and more ramps

A bigger garage — for more than just cars

  • To accommodate storage and avoid clutter
  • “Man caves” — additional family area

The ‘resource center’

  • Fewer rooms dedicated to one purpose
  • Nooks for household work or homework areas

Homes within homes

  • About one-third of American adults are living in the same household with another generation
  • Increase in dual master suites / apartments

Really ‘green’ homes

  • Greater energy efficiency
  • Solar panels to power the house

Home plans that fit today

  • Direct access to laundry areas/rooms
  • Large pantries off the garage for bulk items from warehouses
  • Drop zones for keys, mail, cell phones

The house that flows

  • Open floor plan — increases the perceived size
  • Great rooms opening to the outdoor areas

Infill is in

  • “Infill” homes within existing towns
  • Emphasizes affordability, public transportation access, job centers

 

All of this information is from MSN Real Esate’s article. Read more of this article by Christopher Solomon, of MSN Real Estate here: “8 New-Home Trends for 2012.”

Thirty-Year Fixed-Rate Matches All-Time Low

Fixed mortgage rates started the year at or near their all-time record lows, according to market data published by Freddie Mac Thursday.

The GSE reports the interest rate on a 30-year fixed mortgage averaged 3.91 percent (0.8 point) for the week ending January 5, 2012. That’s down from 3.95 percent the previous week and matches the record low set just two weeks earlier.

This marks the fifth consecutive week the 30-year rate has come in below the 4.00 percent mark. To put things into perspective, last year at this time, it was averaging 4.77 percent.

The 15-year fixed-rate averaged 3.23 percent (0.8 point) in Freddie Mac’s survey this week, down from 3.24 percent the week prior.

The current average rate on a home loan with a 15-year fixed term is just two basis points above its all-time low of 3.21 percent, which was hit in two weeks during the month of December. A year ago, the average 15-year rate was at 4.13 percent.

Frank Nothaft, Freddie Mac’s chief economist, attributed the declines seen among fixed rates to recent data reports which indicate the housing market and manufacturing industry are showing signs of improvement.

“Pending existing home sales in November jumped 7.3 percent, nearly five times greater than the market consensus forecast, to its strongest pace since April 2010,” Nothaft noted.

“In addition,” he said, “construction spending rose 1.2 percent in November, supported by the residential sector which exhibited its fourth consecutive monthly increase. Similarly, manufacturing expanded in December at the fastest pace in six months.”

Freddie Mac’s report shows the 5-year adjustable-rate mortgage (ARM) came in at 2.86 percent (0.7 point) this week, down from 2.88 percent. This time last year, the 5-year ARM was averaging 3.75 percent.

The GSE’s survey puts the 1-year ARM at 2.80 percent (0.6 point). It was the only loan product included in the GSE’s study to head higher, up from 2.78 percent last week. Flip the calendar back 12 months, and the 1-year ARM was averaging 3.24 percent.

This article is from DSNews.com: “Thirty-Year Fixed-Rate Matches All-Time Low.”