Tag - Housing Market

ArriveHome Launches Real Estate App with REcolorado, Giving Home Shoppers the Fastest Way to See a Property for Sale

ArriveHome Launches Real Estate App with REcolorado, Giving Home Shoppers the Fastest Way to See a Property for Sale

GREENWOOD VILLAGE, Colo./ Sept. 22, 2017 (StlRealEstate.News) — ArriveHome LLC, a real estate technology company, and REcolorado, the provider of the top home search site REcolorado.com and largest multiple listing service (MLS) in Colorado, today announced the launch of the new ArriveHome app for iOS and Android mobile devices. Additionally, the two companies announced a partnership that will give REcolorado’s 22,000 subscribers exclusive access to the app.

ArriveHome is a first-of-its-kind home search app that that gives prospective homebuyers the fastest way to access a real estate agent and tour a home for sale in their desired neighborhood. By showing “live” locations of real estate agents within the app’s map, homebuyers can select a home, pick a nearby agent, and see the home immediately.

“In today’s competitive housing market, time is of the essence. ArriveHome is excited to work with REcolorado to deliver an all new home buying experience, that makes seeing a home as quick and simple as requesting a ride with a smartphone,” said Jeffrey Narlinger, ArriveHome co-founder. “With ArriveHome, home shoppers see available agents who are “live” on the app in their desired neighborhood and waiting for their request, or they can use the app to work more efficiently with their existing agent.”

Using ArriveHome, home shoppers can see customer reviews of agents, read the agent profiles, and watch video profiles of the agents. Then, the home shopper can find agents who are immediately available and within minutes of a home they are interested in viewing. To immediately contact the agent, they can shoot agent’s a quick text or give them a call, all while inside the app.

REcolorado provides listing information to ArriveHome directly from the MLS. This means home shoppers can see the latest homes that hit the market, view a home’s features, and connect with a real estate agent in real time to see the home immediately. If consumers have a relationship with a real estate agent, the app lets them track their agent’s location and availability.

“REcolorado is committed to bringing new and innovative technology tools to the market that streamline the process of bringing agents and consumers together, while providing up-to-the-minute information,” said Staci Wood, vice president and chief product officer of REcolorado. “ArriveHome gives agents the tool they need to reach active home shoppers, connect immediately to potential leads, and instantly respond to requests. This maximizes the agent’s time and efficiency by driving real-time location and availability connections, which will result in a dramatic shift in the current real estate home search process.”

Today’s home shoppers want to see homes immediately. According to a recent study conducted by the National Association of REALTORS®, 94 percent of home buyers said response time was very important. The same study found that 88 percent of home buyers expect a response from their agent within one hour, and 42 percent of buyers expect an instant response from their agent.

In addition to being a platform for instant responses, ArriveHome is a cost-effective marketing tool for agents. Unlike many other home searching apps, ArriveHome’s service-based platform is driven by agent activity and not an agent’s ad campaign, which provides more transparency for everyone.
In Colorado, ArriveHome is exclusively available to REcolorado subscribers on iPhone and Android. ArriveHome’s full-time development team is constantly making upgrades and enhancements to the platform. Nationwide expansion plans for ArriveHome are already taking shape as the company forms partnerships in additional markets.

SOURCE: REcolorado

For Least Valuable U.S. Homes, Housing Crisis Recovery Lagging

For Least Valuable U.S. Homes, Housing Crisis Recovery Lagging

SEATTLE/Sept. 21, 2017 (StlRealEstate.News) — Median home values are reaching new peaks in more than half of the nation’s largest housing markets, but a closer look at which homes are regaining value reveals an uneven recovery in the biggest markets.

 More than 50 percent of U.S. homes have reached or surpassed the value they reached during the housing boom period, according to the August Zillow® Real Estate Market Reporti, but the types of homes that are recovering are not the same, particularly in the most populated places. In 24 of the nation’s largest 35 markets, the homes in the bottom third of the market are least likely to have recovered the value lost when the housing bubble burst.

Detroit has seen one of the least balanced recoveries following the Great Recession. Nearly two-thirds of the most expensive homes in Detroit have regained the value lost when the market collapsed. The typical top-tier home value in Detroit is $284,800, higher than it was during the housing bubble. In comparison, homes in the bottom third have only regained 33.7 percent of their lost value, and are now worth a median of $53,000. Only 10.6 percent of these homes have fully returned to their peak values.

As homes are often the most expensive asset someone owns, the recovery contributes to the growing wealth gap across the country. Household incomes show a similar pattern of inequality, according to newly released Census dataii. The median household income across the United States increased in 2016, but those in the top 20 percent of earners took home more than half of the overall income.

“The housing market as a whole is moving at a steady clip, with high demand and low inventory combining to maintain strong home value appreciation,” said Zillow Chief Economist Dr. Svenja Gudell. “Most new construction has been at the higher end of the market, so demand for the limited supply of entry-level homes is pushing up their values, but these homes also lost more value when the bubble burst. Many of these homeowners are still waiting to see their homes come back to where they were about 10 years ago. Even as headline numbers show an overall recovery, there are still thousands of Americans struggling to bounce back from the housing bust.”

The median home value in the U.S. rose 6.9 percent over the last year to a Zillow Home Value Indexiii of $201,900. Seattle is the only major U.S. market where home values rose at a double-digit annual pace, up 12.4 percent since last August to a median home value of $453,100. Tampa home values rose 9.3 percent, and the median home is worth $187,400.

Annual rent appreciation grew for the fourth consecutive month, with rents increasing 1.9 percent from last August to a Zillow Rent Indexiv of $1,430.

Limited inventory leaves few options for buyers. Nationally there were 12.6 percent fewer homes available in August 2017 than there were in August 2016. San Jose and San Diego saw the biggest annual declines in inventory, down 59.4 percent and 37.2 percent respectively.

Mortgage ratesv on Zillow ended August at 3.62 percent, near the lowest level of the month. Rates moved steadily lower throughout the month after starting at a high of 3.72 percentvi. Zillow’s real-time mortgage rates are based on thousands of custom mortgage quotes submitted daily to anonymous borrowers on the Zillow Mortgages site and reflect the most recent changes in the market.

Zillow
Zillow® is the leading real estate and rental marketplace dedicated to empowering consumers with data, inspiration and knowledge around the place they call home, and connecting them with the best local professionals who can help. In addition, Zillow operates an industry-leading economics and analytics bureau led by Zillow’s Chief Economist Dr. Svenja Gudell. Dr. Gudell and her team of economists and data analysts produce extensive housing data and research covering more than 450 markets at Zillow Real Estate Research. Zillow also sponsors the quarterly Zillow Home Price Expectations Survey, which asks more than 100 leading economists, real estate experts and investment and market strategists to predict the path of the Zillow Home Value Index over the next five years. Launched in 2006, Zillow is owned and operated by Zillow Group, Inc. (NASDAQ: Z and ZG), and headquartered in Seattle.

Zillow is a registered trademark of Zillow, Inc.

i The Zillow Real Estate Market Reports are a monthly overview of the national and local real estate markets. The reports are compiled by Zillow Real Estate Research. For more information, visit www.zillow.com/research/. The data in Zillow’s Real Estate Market Reports are aggregated from public sources by a number of data providers for 928 metropolitan and micropolitan areas dating back to 1996. Mortgage and home loan data are typically recorded in each county and publicly available through a county recorder’s office. All current monthly data at the national, state, metro, city, ZIP code and neighborhood level can be accessed at www.zillow.com/local-info/ and www.zillow.com/research/data.
ii https://www.census.gov/library/publications/2017/demo/p60-259.html
iii The Zillow Home Value Index (ZHVI) is the median estimated home value for a given geographic area on a given day and includes the value of all single-family residences, condominiums and cooperatives, regardless of whether they sold within a given period. It is expressed in dollars, and seasonally adjusted.
iv The Zillow Rent Index (ZRI) is the median Rent Zestimate® (estimated monthly rental price) for a given geographic area on a given day, and includes the value of all single-family residences, condominiums, cooperatives and apartments in Zillow’s database, regardless of whether they are currently listed for rent. It is expressed in dollars.
v Mortgage rates for a 30-year fixed mortgage
vi Monthly high occurred on August 1st

SOURCE: Zillow

US stocks wobble after Fed announcement, but close higher

US stocks wobble after Fed announcement, but close higher

September 20, 2017 (AP)(StlRealEstate.News)–U.S. stock indexes overcame an afternoon wobble to close mostly higher Wednesday after the Federal Reserve said it would start reducing its huge bond portfolio next month and was still on track to raise interest rates later this year.

The central bank’s announcement drove bond yields higher, lifting shares in banks and other financial companies. Banks benefit from higher bond yields because it means they can charge higher interest rates on loans.

High-dividend stocks like utilities and household goods makers fell. Income-seeking investors find those stocks less appealing when bond yields move higher.

“The announcement was pretty much in line with what was expected,” said David Chalupnik, head of equities at Nuveen Asset Management. “So far, the market is taking it in stride, but I don’t know if it should. This will slowly impact growth.”

The Standard & Poor’s 500 index inched up 1.59 points, or 0.1 percent, to 2,508.24. The Dow Jones industrial average rose 41.79 points, or 0.2 percent, to 22,412.59. The modest gains nudged both indexes to record highs, extending a run of milestones that stretches back to last week

The Nasdaq composite lost 5.28 points, or 0.1 percent, to 6,456.04. The Russell 2000 index of smaller-company stocks added 5.02 points, or 0.4 percent, to 1,445.42.

Trading on Wall Street had been mostly subdued this week ahead of the Fed’s announcement.

Fed policymakers decided to leave the central bank’s short-term benchmark interest rate between 1 percent and 1.25 percent, but also said they still expect to increase the rate one more time this year and three times in 2018, if persistently low inflation rebounds.

The Fed has modestly raised the rate four times since December 2015 after keeping it at a record low for seven years after the 2008 financial crisis.

In addition, the Fed said it will begin to gradually unwind its $4.5 trillion balance sheet next month. The portfolio primarily consists of government and mortgage-backed bonds. The move will gradually increase long-term borrowing rates.

The prospect of another Fed rate hike this year at a time when the U.S. economy is growing modestly and may slow somewhat from the impact of hurricanes Harvey and Irma, could be bad news for stocks the next few weeks, Chalupnik said.

“At least over the near term, probably between now and the end of October, the market is at risk,” he said. “And it’s at risk because of lower economic numbers, higher interest rates and earnings that, on an individual-company basis, could disappoint if they were impacted by hurricanes Harvey and Irma.”

Following the announcement, bond prices slumped, sending the yield on the 10-year Treasury note to 2.27 percent from 2.25 percent late Tuesday.

Investors also bid up shares in banks and other financial companies, which led the gainers. Zions Bancorporation climbed 70 cents, or 1.6 percent, to $45.11. Raymond James Financial rose $1.15, or 1.4 percent, to $82.32.

The Fed statement also sent the dollar higher against other currencies. The dollar rose to 112.38 yen from 111.50 yen on Tuesday. The euro weakened to $1.1885 from $1.1997.

Technology companies were among the biggest decliners. Qorvo slid $4, or 5.4 percent, to $70.32. Adobe Systems also slumped. The business software company posted solid quarterly results, but investors were concerned about the performance of its cloud business. The stock lost $6.64, or 4.2 percent, to $149.96.

Traders also sold off several packaged food companies after General Mills’ latest quarterly results fell short of Wall Street’s expectations. The cereal maker slid $3.21, or 5.8 percent, to $52.17. Kellogg fell $1.15, or 1.7 percent, to $64.72, while Campbell Soup lost 81 cents, or 1.7 percent, to $46.51.

Bed Bath and Beyond plunged 15.9 percent after the home goods retailer reported that its latest quarterly sales at stores open at least a year, a key metric for retailers, fell short of analysts’ forecasts. The stock lost $4.29 to $22.74.

Investors also weighed new data on the U.S. housing market that showed sales of previously occupied homes fell 1.7 percent in August. Over the past 12 months, U.S. home sales have risen only 0.2 percent. The report from the National Association of Realtors pulled down homebuilder shares. CalAtlantic Group fell the most, shedding 97 cents, or 2.7 percent, to $34.60.

Energy companies rose along with the price of crude oil. Chesapeake Energy added 15 cents, or 3.7 percent, to $4.19.

Benchmark U.S. crude added 93 cents, or 1.9 percent, to settle at $50.41 a barrel on the New York Mercantile Exchange. Brent crude, used to price international oils, gained $1.15, or 2.1 percent, to $56.29 a barrel in London.

Wholesale gasoline was little changed at $1.66 a gallon. Heating oil added 3 cents to $1.81 a gallon. Natural gas declined 3 cents to $3.09 per 1,000 cubic feet.

Among metals, gold gained $5.80 to $1,316.40 an ounce. Silver rose 6 cents to $17.33 an ounce. Copper held steady at $2.97 a pound.

Markets overseas were mixed Wednesday.

In Europe, Germany’s DAX rose 0.1 percent, while the CAC 40 in France added 0.1 percent. The FTSE 100 index of leading British shares was flat. In Asia, Japan’s Nikkei 225 added 0.1 percent and South Korea’s Kospi slipped 0.2 percent. Hong Kong’s Hang Seng index added 0.4 percent. Australia’s S&P/ASX 200 fell 0.1 percent.

By ALEX VEIGA ,  AP Business Writer

We Buy Homes Celebrates Six Years in Business

We Buy Homes Celebrates Six Years in Business

Washington, DC/September 19, 2017 (PRWEB) (StlRealEstate.News)– We Buy Homes is now in its sixth year, and business is as robust as ever. The company gives homeowners with unwanted property a chance to sell it “As Is” for cash. Offers are provided in as little as seven minutes over the phone, and closing is in a matter of days. With We Buy Homes, that means no Realtors fees, no long waiting times in the market, and absolutely no renovations or repairs for homeowners.

This progressive business model has been a boon to all sorts of homeowners in Maryland, Virginia and Washington, DC. From the family that has to relocate quickly for a job, to the divorcing couple that no longer wants the family home, from the downsizing senior to the couple in debt looking to leverage their biggest asset – We Buy Homes has a solution that works for all of these situations, and more.

Thanks to providing Americans in Maryland, Virginia and Washington, DC with a real, viable option for selling home “As Is”, We Buy Homes has realized rapid growth. The company is buying five times as many homes in its sixth year than it did in its first, showing a snowball effect of exponential growth.

More importantly, however, the growth is sustainable. Processes and technologies at the company’s core mean it is more than able to handle this rapid influx of sales. Employee morale is high as everyone in the company sees the results of their hard work, and sees homeowners getting the cash they need without having to repair or renovate their homes. Productivity within the company is at an all-time peak.

Also sky high is the customer satisfaction rate. At a whopping 92 percent, customers are proving over and over that they love what We Buy Homes does for them, and they appreciate the fast and easy process.

Those living in Virginia, Maryland or the District of Columbia and wanting a quick home sale should visit webuyhomes-inc.com/get-an-offer/ to get a competitive cash offer, fast closing, and the ability to quickly move on with their busy lives with cash in hand.

About We Buy Homes
We Buy Homes is a cash-for-home company that purchases houses in any condition. If necessary, the company then renovates the home and prepares it for sale. The aim of We Buy Homes is to provide a fast and easy way for property owners to divest themselves of homes they no longer want or need, and to help those who do not want to engage in costly renovations or rely on the unstable housing market for a sale. We Buy Homes is proud to improve the real estate values in the communities in which it operates.

California housing market defies tight inventory as sales and median price propel higher, C.A.R. report

California housing market defies tight inventory as sales and median price propel higher, C.A.R. report

LOS ANGELES/ Sept. 18, 2017 (StlRealEstate.News) — California’s housing market defied gravity as existing home sales and median home price registered increases on both a monthly and an annual basis in August, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) said today.

 Closed escrow sales of existing, single-family detached homes in California remained above the 400,000 benchmark for the 17th consecutive month and totaled a seasonally adjusted annualized rate of 427,630 units in August, according to information collected by C.A.R. from more than 90 local REALTOR® associations and MLSs statewide. The statewide sales figure represents what would be the total number of homes sold during 2017 if sales maintained the August pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales.

The August sales figure was up 1.5 percent from the 421,460 level in July and up 1.3 percent compared with home sales in August 2016 of a revised 422,190. Year-to-date sales are running 2.7 percent ahead of last year’s pace, but have curtailed since the first quarter.

“While August’s strong housing market performance is encouraging, it’s really a tale of two markets. Despite sales growth across all segments of the market, lower-priced homes are particularly inventory constrained, which leads to weaker sales growth, faster rising prices, and fierce competition for the few homes that are listed,” said C.A.R. President Geoff McIntosh. “These homes are selling faster than historically and for top dollar, adversely impacting entry-level buyers who are already struggling to afford to buy their very first home.”

The statewide median price reached its highest level in a decade and remained above the $500,000 mark for the sixth straight month. The median price rose 2.9 percent from $549,460 in July to $565,330 in August and climbed 7.2 percent from the revised $527,490 recorded in August 2016. The median sales price is the point at which half of homes sold for more and half sold for less; it is influenced by the types of homes selling, as well as a general change in values.

“A shortage of available homes for sale continues to stoke robust growth in home prices,” said C.A.R. Senior Vice President and Chief Economist Leslie-Appleton-Young. “August marked the third straight month that the median price gained 7 percent or more year-over-year, indicating that prices are not only growing, but are accelerating into the end of the year. For the most inventory constrained segment of the market – the bottom 20 percentile – home prices rose even higher with a double-digit gain (10.7 percent).”

Other key points from C.A.R.’s August 2017 resale housing report include:

  • All of the major regions experienced robust month-to-month and annual gains, with Inland Empire jumping 8.2 percent from a year ago, the San Francisco Bay Area rising 6.5 percent, and the Los Angeles metro region increasing 4.4 percent from August 2016.
  • San Francisco overtook San Mateo as the most expensive market in the state.
  • With consistent home price growth, even the most affordable markets are facing rising prices. California is no longer home to a single county with a median price below $200,000, and only 10 of 58 counties have a median price lower or equal to the national median price of $258,300.
  • Statewide active listings continued to decline, dropping 11.9 percent from a year ago.
  • With strong sales growth and little new inventory to replenish the housing supply, C.A.R.’s Unsold Inventory Index fell from 3.2 months in July to 2.9 months in August. The index measures the number of months needed to sell the supply of homes on the market at the current sales rate. The index stood at 3.4 months in August 2016.
  • Housing supply remained tight throughout the state as every single county in both the San Francisco Bay Area and Southern California saw a reduction in unsold inventory, as did most parts of the Central Coast and Central Valley.
  • The median number of days it took to sell a single-family home was 18 days compared with 16 days in July and 28 days in August 2016.
  • C.A.R.’s sales price-to-list price ratio* was 99.5 percent statewide in August, 100 percent in July, and 98.9 percent in August 2016. At the county level, San Francisco had the highest ratio at 114.8 percent and Mono had the lowest at 93.8 percent.
  • The average price per square foot** for an existing, single-family home statewide was $268 in August, $270 in July, and $250 in August 2016.
  • San Francisco had the highest price per square foot in August at $871/sq. ft., followed by San Mateo ($863/sq. ft.), and Santa Clara ($668/sq. ft.). Counties with the lowest price per square foot in August included Siskiyou and Lassen (both at $129/sq. ft.), Kern ($135/sq. ft.), and Tulare ($136/sq. ft.).
  • Mortgage rates declined further in August as the 30-year, fixed-mortgage interest rate averaged 3.88 percent in August, down from 3.97 percent in July but was up from 3.44 percent in August 2016, according to Freddie Mac. The five-year, adjustable-rate mortgage interest rates ticked down in August to an average of 3.15 percent from 3.22 percent in July but was up from 2.74 percent in August 2016.

Note:  The County MLS median price and sales data in the tables are generated from a survey of more than 90 associations of REALTORS® throughout the state, and represent statistics of existing single-family detached homes only. County sales data are not adjusted to account for seasonal factors that can influence home sales.  Movements in sales prices should not be interpreted as changes in the cost of a standard home. The median price is where half sold for more and half sold for less; medians are more typical than average prices, which are skewed by a relatively small share of transactions at either the lower-end or the upper-end. Median prices can be influenced by changes in cost, as well as changes in the characteristics and the size of homes sold.  The change in median prices should not be construed as actual price changes in specific homes.

*Sales-to-list price ratio is an indicator that reflects the negotiation power of home buyers and home sellers under current market conditions. The ratio is calculated by dividing the final sales price of a property by its last list price and is expressed as a percentage. A sales-to-list ratio with 100 percent or above suggests that the property sold for more than the list price, and a ratio below 100 percent indicates that the price sold below the asking price.

**Price per square foot is a measure commonly used by real estate agents and brokers to determine how much a square foot of space a buyer will pay for a property. It is calculated as the sale price of the home divided by the number of finished square feet.  C.A.R. currently tracks price-per-square foot statistics for 39 counties.

Leading the way…® in California real estate for more than 110 years, the CALIFORNIA ASSOCIATION OF REALTORS® (www.car.org) is one of the largest state trade organizations in the United States with more than 190,000 members dedicated to the advancement of professionalism in real estate. C.A.R. is headquartered in Los Angeles.

SOURCE: CALIFORNIA ASSOCIATION OF REALTORS

Student Debt Delaying Millennial Homeownership by 7 Years

Student Debt Delaying Millennial Homeownership by 7 Years

WASHINGTON/ Sept. 18, 2017 (StlRealEstate.News) — Despite being in the prime years to buy their first home, an overwhelming majority of millennials with student debt currently do not own a home and believe this debt is to blame for what they typically expect to be a seven-year delay from buying.

This is according to a new joint study on millennial student loan debt released today by the National Association of Realtors® and nonprofit American Student Assistance®, https://www.nar.realtor/reports/student-loan-debt-and-housing-report. The survey additionally revealed that student debt is holding back millennials from financial decisions and personal milestones, such as adequately saving for retirement, changing careers, continuing their education, marrying and having children.

NAR and ASA’s new study found that only 20 percent of millennial respondents currently own a home, and that they are typically carrying a student debt load ($41,200) that surpasses their annual income ($38,800). Most respondents borrowed money to finance their education at a four-year college (79 percent), and slightly over half (51 percent) are repaying a balance of over $40,000.

Among the 80 percent of millennials in the survey who said they do not own a home, 83 percent believe their student loan debt has affected their ability to buy. The median amount of time these millennials expect to be delayed from buying a home is seven years, and overall, 84 percent expect to postpone buying by at least three years.

“The tens of thousands of dollars many millennials needed to borrow to earn a college degree have come at a financial and emotional cost that’s influencing millennials’ housing choices and other major life decisions,” said Lawrence Yun, NAR chief economist. “Sales to first-time buyers have been underwhelming for several years now1, and this survey indicates student debt is a big part of the blame. Even a large majority of older millennials and those with higher incomes say they’re being forced to delay homeownership because they can’t save for a down payment and don’t feel financially secure enough to buy.”

According to Yun, the housing market’s lifecycle is being disrupted by the $1.4 trillion of student debt U.S. households are currently carrying2. In addition to softer demand at the entry-level portion of the market, a quarter of current millennial homeowners said their student debt is preventing them from selling their home to buy a new one, either because it’s too expensive to move and upgrade, or because their loans have impacted their credit for a future mortgage.

Millennial homeowners who can’t afford to trade up because of their student debt end up staying put, which slows the turnover in the housing market and exacerbates the low supply levels and affordability pressures for those trying to buy their first home,” added Yun.

Repaying student debt is influencing career choices, life milestones and retirement savings

In addition to postponing a home purchase, the survey found that student debt is forcing millennials to put aside several additional life choices and financial decisions that contribute to the economy and their overall happiness. Eighty-six percent have made sacrifices in their professional career, including taking a second job, remaining in a position in which they were unhappy, or taking one outside their field. Furthermore, more than half say they are delayed in continuing their education and starting a family, and 41 percent would like to marry but are stalling because of their debt.

Even more concerning, according to Yun, is that it appears many millennials are putting saving for retirement on the backburner because of their student debt. Sixty-one percent of respondents at times have not been able to make a contribution to their retirement, and nearly a third (32 percent) said they were at times able to contribute but with a reduced amount.

“Being unable to adequately save for retirement on top of not experiencing the wealth building benefits of owning a home is an unfortunate situation that could have long-term consequences to the financial well-being of these millennials,” said Yun. “A scenario where only those with minimal or no student debt can afford to buy a home and save for retirement is not an ideal situation and is one that weakens the economy and contributes to widening inequality.”

A better understanding of college costs is needed

The financial pressures many millennials with student debt are now experiencing appear to somewhat come from not having a complete understanding of the expenses needed to pay for college. Only one-in-five borrowers indicated in the survey that they understood all of the costs, including tuition, fees and housing.

“Student debt is a reality for the majority of students attending colleges and universities across our country. We cannot allow educational debt to hold back whole generations from the financial milestones that underpin the American Dream, like home ownership,” said Jean Eddy, president and CEO at ASA. “The results of this study reinforce the need for solutions that both reduce education debt levels for future students, and enable current borrowers to make that debt manageable, so they don’t have to put the rest of their financial goals on hold.”

Realtors® are actively working with consumers and policy leaders to address the growing burden student debt is having on homeownership,” President William E. Brown, a Realtor® from Alamo, California. “We support efforts that promote education and simplify the student borrowing process, as well as underwriting measures that make it easier for homebuyers carrying student loan debt to qualify for a mortgage.”

In April 2017, ASA distributed a 41 question survey co-written with NAR to 92,419 student loan borrowers (ages 22 to 35) who are current in repayment. A total of 2,203 student loan borrowers completed the survey. All information is characteristic of April 2017, with the exception of income data, which is reflective of 2016.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing more than 1.2 million members involved in all aspects of the residential and commercial real estate industries.

1According to NAR’s annual Profile of Home Buyers and Sellers, the percent share of first-time buyers in the past three years is 33 percent, which is below the long-term historical average of near 40 percent.
2According to 2017 research on student debt from Experian.

Information about NAR is available at www.nar.realtor. This and other news releases are posted in the “News, Blogs and Videos” tab on the website. Statistical data in this release, as well as other tables and surveys, are posted in the “Research and Statistics” tab.

SOURCE: National Association of Realtors

Renter Demand for Houses Puts Upward Pressure on Prices

Renter Demand for Houses Puts Upward Pressure on Prices

SEATTLE/ Sept. 12, 2017 (StlRealEstate.News) — Rental houses have been in high demand since the housing market crashed, but a lack of supply has made renting those homes more expensive. According to a new Zillow® analysis, the median monthly rent for single-family homes is rising faster than the median monthly rent for apartments.

While rents for both houses and apartments have slowed significantly over the past year, median rent for houses rose 1.3 percent annually to a monthly rent payment of $1,404, but median rent for apartments rose 0.5 percent, to a monthly rent payment of $1,551.

 There are fewer single-family homes to rent than a decade ago. When the housing market crashed, investors scooped up many single-family homes lost to foreclosure and turned them into rentals. Almost 20 percent of all single-family homes across the U.S. were rented in 2016, up from 13.5 percent 10 years prior.

Meanwhile, rentals are in increasingly high demand because many aspiring homeowners don’t have enough money to buy a home. A 20 percent down payment on a typical U.S. home costs more than two-thirds of the median household income, but can cost up to 180 percent of the median household income in pricier housing markets like San Jose and Los Angeles.

According to the 2017 Zillow Group Consumer Housing Trends Reporti (ZGR) coming out this fall, 45 percent of all recent renters consider renting a single-family home, but just 28 percent actually ended up renting one. The report also found that half of all buyers with children at home consider renting instead of buying during their home search, and according to the Census Bureau, 40 percent of families with children still living at home are rentersii.

In half of the 50 largest U.S. metros, median rent for houses is rising faster than median rent for apartments. The most extreme example of this trend is in Portland, Ore., New Orleans and Chicago.  In Portland, monthly rent for houses is rising at almost 4.5 percent annually, but monthly rent for apartments is falling. Over the past year, median rent for Portland apartments fell just over 1 percent, to a monthly payment of $1,536. Median rent for Chicago apartments is also falling, while rent for houses is rising just over 1 percent annually.

“When the market crashed, many families lost homes they owned during the foreclosure crisis, and now may not be able to afford to buy another as home prices rise,” said Zillow Chief Economist Dr. Svenja Gudell. “Those who want to buy are finding it difficult to find the right one, or may need a bit more time to come up with a down payment, but still want the advantage of space that single-family residences often provide. This, coupled with the foreclosure crisis turning millions of homeowners into renters, is a big reason why demand for single-family rental homes has risen over the last few years. Even though rental homes are in high demand, apartment living remains an attractive option for many young renters who want to be close to work and amenities, like restaurants and grocery stores.”

Generation X rentersiii (ages 38-52) are significantly more likely to rent a single-family home than any other home type. Just over 40 percent of Generation X renters rent a single-family home, compared to 25 percent of millennials (ages 18-37) and just 10 percent of Silent Generation renters (ages 73 and over)iv.

Single-family rental homes are a popular choice among Generation X, but millennial and Silent Generation renters are more apt to rent an apartment. Over 50 percent of millennials and 62 percent of Silent Generation rentersv surveyed in Zillow’s 2017 Consumer Housing Trends Report currently rent an apartment.

About Zillow

Zillow is the leading real estate and rental marketplace dedicated to empowering consumers with data, inspiration and knowledge around the place they call home, and connecting them with the best local professionals who can help. In addition, Zillow operates an industry-leading economics and analytics bureau led by Zillow’s Chief Economist Dr. Svenja Gudell. Dr. Gudell and her team of economists and data analysts produce extensive housing data and research covering more than 450 markets at Zillow Real Estate Research. Zillow also sponsors the quarterly Zillow Home Price Expectations Survey, which asks more than 100 leading economists, real estate experts and investment and market strategists to predict the path of the Zillow Home Value Index over the next five years. Launched in 2006, Zillow is owned and operated by Zillow Group, Inc. (NASDAQ: Z and ZG), and headquartered in Seattle.

Zillow and Zestimate are registered trademarks of Zillow, Inc.

The 2017 Zillow Group Report on Consumer Housing Trends is the largest-ever survey of U.S. home buyers, sellers, owners and renters. The full 2017 Zillow Group Report – which examines the characteristics, aspirations and priorities of more than 13,000 U.S. residents aged 18 to 75 about their homes – will be released this fall.
ii According to the U.S. Census Bureau, American Community Survey, 2015.
iii Renters who moved into their home in the past year.
iv According to the 2017 Zillow Group Consumer Housing Trends Report coming out this fall.
v Renters who moved into their home in the past year.
vi The Zillow Rent Index (ZRI) is the median Rent Zestimate® (estimated monthly rental price) for a given geographic area on a given day, and includes the value of all single-family residences, condominiums, cooperatives and apartments in Zillow’s database, regardless of whether they are currently listed for rent. It is expressed in dollars.
vii National number is from 2016. The latest data available at the metro level is from 2015.

SOURCE: Zillow

Quicken Loans Study Shows Consumers Continue to Be Too Optimistic with Anticipated Home Value

Quicken Loans Study Shows Consumers Continue to Be Too Optimistic with Anticipated Home Value

DETROIT/Sept. 12, 2017 (StlRealEstate.News) — Appraisals continued to lag homeowner expectations in August, although the difference between appraiser and owner opinions has narrowed. Quicken Loans’ National Home Price Perception Index (HPPI), which compares homeowners’ initial estimates and appraisers’ opinions of home values, showed that appraised values were 1.35 percent lower than homeowners’ expectations in August. This is compared to July when there was a 1.55 percent difference.

While perceptions of home values vary, the values themselves are constantly changing. Home values ticked up 0.19 percent in August, according the Quicken Loans’ National Home Value Index. When viewed annually, values rose an average of 2.64 percent compared to August 2016.

Home Price Perception Index (HPPI)

A home’s value, or its perceived value, can influence whether the owner decides to sell the home, refinance or even access some of their equity. However, the HPPI shows not all homeowners understand their home’s current value. Nationally, appraisals in August were 1.35 percent lower than homeowners’ valuations. Regionally, value perceptions vary widely across the country, from home values being 3 percent higher than homeowners estimated in the West, to 3 percent lower than expected in the Midwest and Northeast. A 3 percent difference may seem small, but depending on the local market, it could make a significant impact on value. For instance, a homeowner in Denver may have upwards of $11,000 in additional equity they can access for home improvements or loan consolidation.

“One of the biggest lessons from the HPPI, is highlighting how regionalized real estate is,” said Bill Banfield, Quicken Loans Executive Vice President of Capital Markets. “Homeowners who have a better understanding of their local housing market can make more informed decisions about their home. After all, their house is not just where they live, but one of their bigger assets.”

Home Value Index (HVI)

Home values rose again in August, although at the slowest pace in 2017. The HVI, the only measure of home value changes based solely on appraisals, reported that home values increased 0.19 percent in August. Appraisals posted stronger growth when viewed at a year-over-year basis, increasing 2.64 percent. At a regional level, there was a slight downturn in home values in the South and East – dipping 0.52 percent and 0.58 percent, respectively. The Midwest and West regions each had rising appraisal values, increasing 0.16 percent and 1.34 percent.

“As the sun sets on the summer, some of the intense competition for housing also winds down,” said Banfield. “It’s important to focus on the annual numbers with the HVI. While there can be some monthly variations in the data, especially as seasons start to change, the annual numbers show healthy growth across the country.”

About the HPPI & HVI

The Quicken Loans HPPI represents the difference between appraisers’ and homeowners’ opinions of home values. The index compares the estimate that the homeowner supplies on a refinance mortgage application to the appraisal that is performed later in the mortgage process. This is an unprecedented report that gives a never-before-seen analysis of how homeowners are viewing the housing market. The HPPI national composite is determined by analyzing appraisal and homeowner estimates throughout the entire country, including data points from both inside and outside the metro areas specifically called out in the above report.

The Quicken Loans HVI is the only view of home value trends based solely on appraisal data from home purchases and mortgage refinances. This produces a wide data set and is focused on appraisals, one of the most important pieces of information to the mortgage process.

The HPPI and HVI are released on the second Tuesday of every month. Both of the reports are created with Quicken Loans’ propriety mortgage data from the 50-state lenders’ mortgage activity across all 3,000+ counties. The indexes are examined nationally, in four geographic regions and the HPPI is reported for 27 major metropolitan areas. All indexes, along with downloadable tables and graphs can be found at QuickenLoans.com/Indexes.

About Quicken Loans

Detroit-based Quicken Loans Inc. is the nation’s second largest retail home mortgage lender. The company closed more than $300 billion of mortgage volume across all 50 states between 2013 and 2016. Quicken Loans moved its headquarters to downtown Detroit in 2010, and now more than 17,000 team members from Quicken Loans and its Family of Companies work in the city’s urban core. The company generates loan production from web centers located in Detroit, Cleveland and Scottsdale, Arizona. The company also operates a centralized loan processing facility in Detroit, as well as its San Diego-based One Reverse Mortgage unit. Quicken Loans ranked “Highest in Customer Satisfaction for Primary Mortgage Origination” in the United States by J.D. Power for the past seven consecutive years, 2010 – 2017, and highest in customer satisfaction among all mortgage servicers the past four years, 2014 – 2017.

Quicken Loans was ranked #10 on FORTUNE magazine’s annual “100 Best Companies to Work For” list in 2017, and has been among the top-30 companies for the past 14 consecutive years. The company has been recognized as one of Computerworld magazine’s ‘100 Best Places to Work in IT’ the past 13 years, ranking #1 for eight of the past twelve years including 2017. The company is a wholly-owned subsidiary of Rock Holdings, Inc., the parent company of several FinTech and related businesses. Quicken Loans is also the flagship business of Dan Gilbert’s Family of Companies comprising nearly 100 affiliated businesses spanning multiple industries. For more information and company news visit QuickenLoans.com/press-room.

SOURCE: Quicken Loans

Texas home sales activity jumps in first half of 2017

Texas home sales activity jumps in first half of 2017 English

AUSTIN/ Sept. 8, 2017 (StlRealEstate.News) — Texas home sales volume, home prices and listings activity experienced strong gains in the first half of the year, according to the 2017 Texas Real Estate Midyear Review Report released today by the Texas Association of Realtors.

“The devastation brought on by Hurricane Harvey will affect real estate activity in many areas of the state for the remainder of this year,” said Vicki Fullerton, chairman of the Texas Association of Realtors. “Sales activity through the first half of the year had surpassed economic projections, with strong growth in sales activity and the number of homes on the market.”

Texas home sales jumped 5.5 percent compared to the first six months of 2016, with 166,256 homes sold throughout Texas between January and June 2017. Texas home prices also continued to rise steadily in the first half of the year. The median sales price increased 7.7 percent from the year prior to $221,800.

Jim Gaines, Ph.D., chief economist with the Real Estate Center at Texas A&M University, also cautioned that Hurricane Harvey will likely negatively impact housing market statistics for the remainder of 2017. “Houston’s housing market accounts for roughly 25 percent of the Texas housing market,” said Gaines, “and it could take months before the Houston area begins to enter the recovery phase and a few years before the impacted communities fully recover.”

The number of homes on the market also grew significantly statewide in the first half of the year, with active listings increasing 5.9 percent year-over-year to 99,398 active listings. This uptick in housing stock has helped lead to a much-needed increase in housing inventory, which ended at 4.1 months in June 2017.

This is only the second time in three years that Texas housing inventory levels have surpassed 4.0 months, although this is still well below the 6 to 6.5 months of inventory the Real Estate Center at Texas A&M University estimates as a balanced housing market. Texas homes spent approximately the same length of time on the market in the first half of 2017: an average of 58 days.

Chairman Fullerton concluded, “Realtors across Texas are stepping up and coming together with other community leaders to drive cleanup efforts and bring relief where it is needed most. The Texas Association of Realtors has already distributed more than $1 million through the Realtors Disaster Relief Fund to Texans impacted by Hurricane Harvey. Realtors and many local Realtor associations are also assisting in hands-on relief efforts in areas that were affected by this devastating storm so we can rebuild our communities.”

About the Texas Real Estate Midyear Review Report
Data for the Texas Real Estate Year in Review Report is provided by the Data Relevance Project, a partnership among the Texas Association of REALTORS® and local REALTOR® associations throughout the state. Data analysis is provided by the Real Estate Center at Texas A&M University. The report provides annual real estate sales data from a statewide perspective and for 25 metropolitan statistical areas in Texas. To view the report in its entirety, visit TexasRealEstate.com.

About the Texas Association of REALTORS®
With more than 110,000 members, the Texas Association of REALTORS® is a professional membership organization that represents all aspects of real estate in Texas. We advocate on behalf of Texas REALTORS® and private-property owners to keep homeownership affordable, protect private-property rights, and promote public policies that benefit homeowners. Visit TexasRealEstate.com to learn more.

SOURCE: Texas Association of REALTORS

West Coast Home Sellers Cashing In the Most on Record Home Values

West Coast Home Sellers Cashing In the Most on Record Home Values

SEATTLE/Sept. 6, 2017 (StlRealEstate.News) — Holding onto your home for a long period of time over the last decade meant a serious return on investment, especially in some of the nation’s hottest housing markets. According to a new Zillow® analysisi, Oakland, Calif. and Portland, Ore. top the list of cities where home sellers saw the greatest return.

 In Oakland, the typical seller in 2016 sold their home for an average of $590,000 after living in it for just over seven years, which is 78 percent more than what they initially paid. In Portland, the typical 2016 seller sold for about $145,000 more than what they paid nine years earlier, a 65 percent gain.

Nationally, it’s financially advantageous to buy a home rather than rent if you plan on living in it for at least two years and one month, but staying much longer than that has really paid off. U.S. homeowners who lived in their home for about 7 ½ years gained almost $40,000 on the sale of their home — 24 percent more than what they initially paid.

The housing market recovery has sent home values roaring higher in the past several years, especially in West Coast cities that are attracting people with well-paying jobs. Despite the opportunity to cash in on record-high home values, some homeowners choose not to sell because they don’t want to become buyers in a competitive market.

Low inventory and strong demand are driving up home values in these popular markets, making it difficult for aspiring buyers to find a home, but providing a good opportunity for homeowners looking to sell.

“The housing market can change a lot in 10 years, and you see that reflected in this top 10 list,” said Zillow Chief Economist Dr. Svenja Gudell. “Buying a home is one of the biggest financial decisions people will make in their lifetime, and it really paid off for sellers in these cities. Every city on this list has been growing extremely fast over the past decade, with the majority passing peak home value hit during the housing bubble. It’s extremely difficult to time the market, but if you’re a longtime homeowner in one of these cities, you could potentially see a great return on your investment.”

Among Zillow’s top 10 list, three cities have home values growing in the double-digits. In Seattle, home values rose 15.5 percent year-over year, the fastest growing among the list, followed by Boston and Sacramento, Calif.

Zillow

Zillow is the leading real estate and rental marketplace dedicated to empowering consumers with data, inspiration and knowledge around the place they call home, and connecting them with the best local professionals who can help. In addition, Zillow operates an industry-leading economics and analytics bureau led by Zillow’s Chief Economist Dr. Svenja Gudell. Dr. Gudell and her team of economists and data analysts produce extensive housing data and research covering more than 450 markets at Zillow Real Estate Research. Zillow also sponsors the quarterly Zillow Home Price Expectations Survey, which asks more than 100 leading economists, real estate experts and investment and market strategists to predict the path of the Zillow Home Value Index over the next five years. Launched in 2006, Zillow is owned and operated by Zillow Group, Inc. (NASDAQ: Z and ZG), and headquartered in Seattle.

Zillow is a registered trademark of Zillow, Inc.

i Zillow analyzed the 50 largest U.S. cities looking for places where home sellers saw the greatest return on their investment. In order to be included in Zillow’s analysis, data needs to be available on at least 60 percent of home sale transactions. If 40 percent of transaction data is missing, the city was not included in the analysis. Among the 50 largest U.S. cities, 17 cities did not meet this threshold and were not included. As a result, 33 of the largest 50 U.S. cities were ranked.
ii The difference between purchase price and sale price without adjusting for carrying costs and transaction costs.
iii The Zillow Home Value Index (ZHVI) is the median estimated home value for a given geographic area on a given day and includes the value of all single-family residences, condominiums and cooperatives, regardless of whether they sold within a given period. It is expressed in dollars, and seasonally adjusted.

SOURCE: Zillow