Tag Archives: united-states
US pending home sales up for fourth month in a row, latest index shows
Pending home sales in the United States rose in April for the fourth straight month and reached their highest level in nine years, according to the latest data. This rise was led by the Northeast and Midwest, but all four major regions saw increases in April, according to the pending home sales index from the National Association of Realtors. The forward looking indicator based on contract signings increased 3.4% to 112.4 in April from a slight upward revision of 108.7 in March and is now 14% above April 2014, the largest annual increase since September 2012. The index has now increased year on year for eight consecutive months and is at its highest level since May 2006 when it was 112.5. According to Lawrence Yun, NAR chief economist, the steady gains in contract activity each month this year highlight the fact that buyer demand is strong. ‘Real estate agents are saying foot traffic remains elevated this spring despite limited, and in some cases severe, inventory shortages in many metro areas,’ he said. ‘Home owners looking to sell this spring appear to be in the driver's seat, as there are more buyers competing for a limited number of homes available for sale. As a result, home prices are up and accelerating in many markets,’ he added. Following April's decline in existing home sales, Yun expects a rebound heading into the summer, but the likelihood of meaningful gains will depend on a much needed boost in inventory and evidence of moderating price growth now that interest rates have started to rise. ‘The housing market can handle interest rates well above 4% as long as inventory improves to slow price growth and underwriting standards ease to normal levels so that qualified buyers, especially first time buyers, are able to obtain a mortgage,’ explained Yun. After falling four straight months, the index in the Northeast bounced back solidly, up 10.1% to 88.3 in April, and is now 9.4% above a year ago. In the Midwest the index increased 5% to 113 in April, and is 13.3% above April 2014. Continue reading
US home sales up to highest rate for 18 months, latest data shows
Existing home sales in the United States jumped in March to their highest annual rate in 18 months, while unsold inventory showed needed improvement, according to the latest index. Data from the National Association of Realtors shows that this growth was led by the Midwest, but all major regions experienced strong sales gains in March and are above their year on year sales pace. Total existing home sales, which are completed transactions that include single family homes, town homes, condominiums and co-ops, increased 6.1% to a seasonally adjusted annual rate of 5.19 million in March from 4.89 million in February, the highest annual rate since September 2013. Sales have increased year on year for six consecutive months and are now 10.4% above a year ago, the highest annual increase since August 2013. March's sales increase was the largest monthly increase since December 2010. According to Lawrence Yun, NAR chief economist, the housing market appears to be off to an encouraging start this spring. ‘After a quiet start to the year, sales activity picked up greatly throughout the country in March,’ he said. ‘The combination of low interest rates and the ongoing stability in the job market is improving buyer confidence and finally releasing some of the sizable pent-up demand that accumulated in recent years,’ he explained. Prices are also climbing steadily. The median existing home price for all housing types in March was $212,100, which is 7.8% above March 2014. This marks the 37th consecutive month of year on year price gains and the largest since February 2014 when it was 8.8%. ‘For sales to build upon their current pace, home owners will increasingly need to be confident in their ability to sell their home while having enough time and choices to upgrade or downsize. More listings and new home construction are still needed to tame price growth and provide more opportunity for first-time buyers to enter the market,’ said Yun. The percent share of first time buyers was 30% in March, marking the third time since last March that the first time buyer share was at or above 30%. First time buyers represented 29% of all buyers last month compared to 30% in March 2014. All cash sales were 24% of transactions in March, down from 26% in February and down considerably from a year ago when they were 33%. Individual investors, who account for many cash sales, purchased 14% of homes in March, unchanged from last month and down from 17% in March 2014. Some 70% of investors paid cash in March. Distressed sales, that is foreclosures and short sales, amounted to 10% of sales in March, down from 11% in February and 14% a year ago. Some 7% of March sales were foreclosures and 3% were short sales. Foreclosures sold for an average discount of 16% below market value in March, similar to the 17% recorded in in February while short sales were also discounted 16%, up from 15% in February. Properties… Continue reading
Brazilians search the most for property in Miami, new research shows
Potential buyers from Brazil are leasing investment interest in the Miami real estate market which leads the United States in international property sales. It again led all foreign countries searching for South Florida real estate on the Miami Association of Realtors website in February 2015. The South American country, which topped all global consumers searching Miamire.com in the same period last year, has regularly ranked among Miami’s top foreign buyers. According to the association the distinction is significant considering Miami has the highest concentration of foreign born residents of any major US city and leads the nation in international real estate sales. In 2014, Brazilians registered 11% of all South Florida international real estate deals. Brazil had the third most property transactions in Miami and Broward Counties among all global consumers, trailing only Venezuela at 16% and Argentina at 12%. Brazilians spend the most on South Florida properties among foreign buyers, paying an average of $495,000. On average, Miami’s international buyers paid $444,000 per purchase, compared to $245,000 state wide. ‘Miami is an international city with world-class amenities, and that’s a big draw for Brazilians,’ said Christopher Zoller, 2015 residential president of the Miami Association of Realtors. ‘Typically, the Brazilians moving to South Florida are upper middle class families who want to enjoy their prosperity earned in Brazil as professionals and entrepreneurs,’ he added. A breakdown of the February figures shows that after Brazil the next most popular nationality searching for property was Colombians, followed by Venezuelans, then Canadians and then Indians. Searches from Argentina, the UK, Russia, the Philippines and Italy completed the top 10. When it comes to domestic searches, the most came from California, followed by Georgia, then Texas, New York, Illinois, Michigan, Pennsylvania, Virginia, Ohio and North Carolina. Nationally, Miami is consistently one of the top markets for foreign countries searching for property in the US In February Miami ranked as a top five market for 12 of 20 foreign nations searching for real estate on Realtor.com and Realtor.com International. Miami registered as a top market for real estate consumers in Canada, Germany, Brazil, Mexico, France, Italy, Netherlands, Russian Federation, Spain, Sweden, Switzerland and South Africa. Continue reading
