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The mortgage rate lock-in didn’t start in 2022

Housing Wire

After an initial rush to get to market in Q2 2022, new listings volume fell precipitously. In July 2022, new listings volume per week dropped from 90,000 at the end of June to approximately 74,000 just after the July 4th holiday. That’s a swing of 17% fewer sellers in just a matter of days.

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How housing credit is shaping housing inventory

Housing Wire

Since most sellers are buyers, inventory should be stable if demand is stable. This is what happened post 2010: The millennials started to buy homes in 2013 and they finance 90% of those homes. So you can see why we have so few stressed sellers. Demographics also play a role here.

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The awesome power of high mortgage rates

Housing Wire

Bad for sellers Prospective home sellers may not notice incremental changes in mortgage rates. percentage points—sellers take notice. Facing these realities, many would-be sellers decide to stay put. This is clear in the chart below, which shows the year-over-year percent change in the four-week average of new listings.

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Are we seeing a mortgage rate lockdown?

Housing Wire

Typically we have a natural set of new listings each year; inventory rises in the spring and summer and then falls in the fall and winter. It wasn’t the rate move that caught my attention — it was the new listing data. As you can see below, that sharp move to 6.25% caused new listing data to stall at first.

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A sub-7% mortgage rate brings holiday cheer

Housing Wire

Meanwhile, new listing activity also inched up slightly in recent weeks, another good sign for homebuyers who have more options. One LO said he quoted an FHA borrower at 5.7%. A promising winter market Business for the mortgage industry has picked up considerably since Thanksgiving, with homebuyers jumping on lower rates.

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Prices for luxury homes soared in the first quarter 

Housing Wire

A surge in new listings of luxury homes was not enough to curb the price growth associated with rising demand. New listings of luxury homes soared 18.5% During the three months ending Feb. 29, nearly half (46.8%) of luxury homes sold were purchased in cash, up from 44.1% during the same period a year ago. year over year.

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Why are existing home prices rising when sales are still so low?

Housing Wire

In an interview today with Yahoo Finance , I discussed how home prices are still rising this year. From NAR : The median existing home price for all housing types in March was $393,500, an increase of 4.8% from the previous year ($375,300). All four U.S. regions registered price gains.

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