REI INK

RE/MAX NATIONAL HOUSING REPORT FOR JULY 2024

  • by
  • Comment Off
  • 147 views

Home Sales Rise 3.8% While Prices Dip, Inventory Grows July home sales rebounded 3.8% from June while the median sales price dropped for the first time this year across the 51 metro areas surveyed. The median price of $425,000 was $5,000 – or 1.2% – lower than June’s. Compared to one year ago, July home sales were up 6.7% and the median sales price increased 3.7%. Inventory, meanwhile, was up 1.8% over June and 36.7% year over year. This happened despite a 9.4% decline in new listings from June, though new listings were up 7.1% from July 2023. Summer buying patterns could have been the reason for an increase in some regional home sales. In Chicago, IL, home sales increased 3.9% from June – closely mirroring the national average. Mike Opyd, Senior Vice President with RE/MAX Premier in Chicago says July is historically a busy month, “July was a relatively busy month as people were trying to get into homes before August when the end of summer vacations take place and school starts. With rates trending downward over the last few months, July lined up nicely for buyers to take advantage, which led to a slight increase in sales.” Amy Lessinger, President of RE/MAX, LLC, said, “July’s real estate activity is a promising sign of market resilience. Inventory bounced back after the historic lows of recent years, giving buyers far more options – even with the recent declines in new listings. As the industry prepares to adapt to several new changes in business practices, home buyers and sellers should look for a trusted advisor with the skills, knowledge and experience to guide them.” Other metrics of note: Highlights and local market results for July include: New Listings In the 51 metro areas surveyed in July 2024, the number of newly listed homes was down 9.4% compared to June 2024, and up 7.1% compared to July 2023. The markets with the biggest decrease in year-over-year new listings percentage were Coeur d’Alene, ID at -7.9%, Cleveland, OH at -7.2%, and Houston, TX at -5.2%. The markets with the biggest year-over-year increase in new listings percentage were Providence, RI at +37.3%, Honolulu, HI at +25.2%, and Nashville, TN at +24.3%. New Listings:5 Markets with the Biggest YoY Increase Market Jul 2024 Jul 2023 Year-over-Year % Change Providence, RI 1,656 1,206 +37.3 % Urban Honolulu, HI 1,007 804 +25.2 % Nashville, TN 5,069 4,078 +24.3 % Las Vegas, NV 3,798 3,131 +21.3 % Baltimore, MD 6,018 4,986 +20.7 % Closed Transactions Of the 51 metro areas surveyed in July 2024, the overall number of home sales was up 3.8% compared to June 2024, and up 6.7% compared to July 2023. There were only two markets with decreases in year-over-year sales percentages, they were Bozeman, MT at -14.5% and Raleigh, NC at -2.0%. The markets with the biggest increase in year-over-year sales percentage were Burlington, VT at +19.8%, Dover, DE at +18.8%, and Providence, RI at +18.7%. Closed Transactions:5 Markets with the Biggest YoY Increase Market Jul 2024 Jul 2023 Year-over-Year % Change Burlington, VT 254 212 +19.8 % Dover, DE 202 170 +18.8 % Providence, RI 1,381 1,163 +18.7 % Trenton, NJ 381 322 +18.3 % Birmingham, AL 1,367 1,170 +16.8 % Median Sales Price – Median of 51 metro area pricesIn July 2024, the median of all 51 metro area sales prices was $425,000, down 1.2% compared to June 2024, and up 3.7% from July 2023. The markets with the biggest year-over-year decrease in median sales price were Bozeman, MT at -8.6%, Dallas, TX at -2.2%, and Raleigh, NC at -1.3%. The markets with the biggest year-over-year increase in median sales price were Burlington, VT at +13.4%, Milwaukee, WI at +11.8%, and Providence, RI at +11.1%. Median Sales Price:5 Markets with the Biggest YoY Increase Market Jul 2024 Jul 2023 Year-over-Year % Change Burlington, VT $499,000 $440,000 +13.4 % Milwaukee, WI $380,000 $340,000 +11.8 % Providence, RI $489,000 $440,000 +11.1 % New York, NY $635,000 $575,000 +10.4 % Trenton, NJ $485,000 $439,500 +10.4 % Close-to-List Price Ratio – Average of 51 metro area pricesIn July 2024, the average close-to-list price ratio of all 51 metro areas in the report was 99%, down compared to 100% in both June 2024 and July 2023. The close-to-list price ratio is calculated by the average value of the sales price divided by the list price for each transaction. When the number is above 100%, the home closed for more than the list price. If it’s less than 100%, the home sold for less than the list price. The metro areas with the lowest close-to-list price ratio were Miami, FL at 94%, Coeur d’Alene, ID at 96%, followed by a tie between Tampa, FL and New Orleans, LA at 97%. The metro areas with the highest close-to-list price ratios were Hartford, CT at 106%, San Francisco, CA at 104%, followed by a tie between Manchester, NH and Trenton, NJ at 103%. Close-to-List Price Ratio:5 Markets with the Lowest Close-to-List Price Ratio Market Jul 2024 Jul 2023 Year-over-Year Difference* Miami, FL 94.4 % 95.1 % -0.7 pp Coeur d’Alene, ID 96.4 % 97.6 % -1.2 pp New Orleans, LA 96.9 % 97.0 % 0.0 pp Tampa, FL 97.3 % 98.0 % -0.7 pp Orlando, FL 97.5 % 98.2 % -0.7 pp *Difference displayed as change in percentage points Days on Market – Average of 51 metro areasThe average days on market for homes sold in July 2024 was 36, up two days compared to the average in June 2024, and up five days compared to July 2023. The metro areas with the lowest days on market were Baltimore, MD at 11, Washington D.C. at 13, and Philadelphia, PA at 14. The highest days on market averages were in Fayetteville, AR at 73, San Antonio, TX at 68, and Coeur d’Alene, ID at 64. Days on market is the number of days between when a home is first listed in an MLS and a sales contract is signed. Days on Market:5 Markets with the Highest Days on Market Market Jul 2024 Jul 2023 Year-over-Year % Change Fayetteville, AR 73 68 +8.1 % San Antonio, TX 68 54 +26.0 % Coeur d’Alene, ID 64 59 +9.0 % Bozeman, MT 61 44 +39.5 % Des Moines, IA 60 50 +21.3 % Months’ Supply of Inventory – Average of 51 metro areasThe number of homes for sale in July 2024 was up 1.8% from June 2024 and up 36.7% from July 2023. Based on the rate of home sales in July 2024, the months’ supply of inventory was 2.2, up from 2.1 in June 2024, and up from 1.7 in July 2023. In July 2024, the markets with the lowest months’ supply of inventory were a three-way tie

Read More

CoreLogic 2024 Wildfire Risk Report Finds More Than 2.6 Million Homes at Moderate to High-Risk of Wildfire Damage

  • by
  • Comment Off
  • 178 views

Additional study shows mitigation tactics can lead to 75% reduction of expected loss per property Natural disasters are becoming more intense as a result of changing weather patterns and wildfires are no exception. The 2024 CoreLogic Wildfire Risk Report found more than 2.6 million homes across 14 states are at moderate to very high risk of wildfire damage during the 2024 wildfire season, with a total reconstruction cost of $1.3 trillion. With those figures as a backdrop, the report also highlights the importance of mitigation techniques, both on an individual property and community wide basis—which have benefits for both homeowners and insurers. The western United States has the greatest wildfire risk with three states comprising 70% of the risk. The following states having the highest number of homes at moderate or greater risk of wildfire exposure: These states face an elevated level of risk because of the high number of homes in undeveloped areas, or with exposure to Wildland-Urban Interface, where homes are near wildlife such as trees, vegetation and other flammable materials. The Los Angeles metropolitan area leads the nation with the highest number of homes at risk, with more than 245,000 homes with moderate or greater risk of wildfire, representing a total reconstruction value of $186.6 billion although not all homes that experience a loss in a wildfire scenario will be a total loss. “In recent years, we’ve seen wildfires occur in unexpected places, reinforcing the need to understand the risk landscape and take mitigation action. Both insurers and consumers have a role to play to ensure adequate protection,” said Jon Schneyer, CoreLogic’s director of catastrophe response. “These numbers may seem overwhelming, but research shows that mitigation efforts make a real difference in potential losses from wildfires. The good news is there are actions people can take to lessen the risk.” Effective mitigation strategies There have been multiple devastating wildfires in recent years that have highlighted the need for individuals and communities to take mitigation action. For example, the Camp Fire of 2018 decimated more than 90% of the town of Paradise, California. A recent collaborative study with the Town of Paradise, Milliman, Inc, and CoreLogic found combining individual home- and community-level mitigation strategies led to a 75% reduction in expected loss per property in high-risk areas like Paradise, which can also lead to lower insurance premiums. Effective mitigation is a combined effort between communities and individuals. Some mitigation tactics for individuals include: Community-level mitigation efforts include: Additional mitigation tactics can be found through Insurance Institute for Business & Home Safety’s (IBHS) Wildfire Prepared Home Program™ at wildfireprepared.org. To learn more about wildfire risk and prevention, read the full 2024 Wildfire Risk Report. Contacts Robin WachnerCoreLogicnewsmedia@corelogic.com

Read More

FoxyAI Partners with Auction.com to Elevate Real Estate Auction Analytics with Advanced AI Integration

  • by
  • Comment Off
  • 152 views

AI-Driven Insights to Optimize Property Listings and Pricing Strategies FoxyAI, a B2B PropTech innovator in real estate visualization and property intelligence, is proud to announce its collaboration with Auction.com, the nation’s leading online marketplace focused exclusively on the sale of residential bank-owned and foreclosure properties via online auctions and live auction events. This collaboration marks a significant advancement in the use of AI technology to optimize property marketing and enhance the overall real estate process. Auction.com will leverage FoxyAI’s award-winning Condition Score, Quality Score, Image Quality Score, Room Classification, and Scene Classification models into its analytics platform. This integration aims to refine the accuracy of property listings and provide additional insight by assessing the condition of properties with unparalleled precision. Additionally, this collaboration enables Auction.com to analyze past sales data, identifying opportunities to improve their sale strategies. Vin Vomero, CEO of FoxyAI, highlighted the importance of this collaboration, stating, “We are excited to work with Auction.com, a company that shares our focus and commitment to AI integration. Their dedication to test cutting edge technology to benefit their platform aligns perfectly with our mission at FoxyAI.” Descriptions of Auction.com-deployed FoxyAI models: This engagement underscores the growing importance of AI in the real estate sector. It offers enhanced tools and insights that drive more informed decision-making and improved outcomes for all stakeholders involved. For more information, please contact sales@foxyai.com. SOURCE FoxyAI

Read More

U.S. Housing Market Nears $50 Trillion in Value as Number of Trillion-Dollar Metros Doubles

  • by
  • Comment Off
  • 95 views

Redfin reports there are now eight metros, up from four a year ago, where the total value of homes topped $1 trillion The total value of U.S homes gained $3.1 trillion over the past 12 months to reach a record $49.6 trillion, according to a new report from Redfin (redfin.com), the technology-powered real estate brokerage. In percentage terms, the total value of the U.S. housing market grew 6.6% year over year. Zooming out further, the total value of U.S. homes has more than doubled in the past decade, climbing nearly 120% from $22.7 trillion in June 2014. “The value of America’s housing market will likely cross the $50 trillion threshold in the next 12 months as there are not enough homes being listed to push prices down,” said Redfin Economics Research Lead Chen Zhao. “Mortgage rates have started falling, but many potential sellers and buyers are waiting to make a move, meaning we are likely to continue seeing a pattern where prices slowly tick up. That’s great news for the millions of American homeowners who see their equity rising, but first-time buyers are going to keep finding it tough to find an affordable home.” New construction was another factor driving the overall increase in market valuation. Redfin’s analysis examined the Redfin Estimate for roughly 97.6 million homes, compared to 96.8 million homes a year earlier. New Jersey metros close to New York City recorded the largest jumps in value Thirteen major metros posted double-digit percentage gains in total property value over the last year, led by relatively-affordable New Jersey metros within commuting distance of New York, where property is more expensive. The value of properties in New Brunswick, NJ rose 13.3% to $582.6 billion, while Newark, NJ climbed 13.2% to $406.2 billion. Anaheim, CA (up 12.1% to $1.1 trillion), Charleston, SC (up 11.8% to $188.9 billion) and New Haven, CT (up 11.8% to $91 billion) rounded out the five metros with the highest gains. Cape Coral, FL was the only metro to record a fall in total home value, dropping 1.6% to $204.2 billion. Sun Belt metros—especially those in Texas—grew slower than those in other regions, with New Orleans (up 0.8% to $128.2 billion), Austin, TX (up 1.9% to $392.8 billion), North Port, FL (up 2.1% to $251.8 billion) and Fort Worth, TX (up 2.3% to $293.7 billion) rounding out the bottom five metros. Anaheim, Chicago, Phoenix and Washington, D.C. reach trillion-dollar status The number of metros where the total value of homes topped $1 trillion grew to eight—doubling from four a year ago—with Anaheim, CA, Chicago, Phoenix and Washington, DC, joining New York, Los Angeles, Atlanta and Boston in the trillion-dollar club. San Diego and Seattle look like they will join them in the next 12 months if home values keep increasing at a similar pace. It’s worth noting that while San Francisco’s aggregate home value is roughly $700 billion, when combined with neighbors Oakland, CA, and San Jose, CA, the combined Bay Area housing market is worth nearly $2.5 trillion. Likewise, the combined Dallas ($734 million) and Fort Worth, TX ($294 million) metro area also surpasses the $1 trillion mark. Total value of suburban homes reaches $30 trillion, but rural home values rising the fastest Rural home values outpaced those in urban areas and the suburbs, jumping 7% year over year to $7.8 trillion. The total value of homes in urban areas rose 6% to $10.3 trillion, while the value of homes in the suburbs cracked the $30 trillion mark for the first time, increasing 6.8% to $30.1 trillion. There are around 57 million homes in the suburbs, compared to 22 million in urban areas and 21 million in rural areas. The total value of millennial-owned homes rises more than 20% The total value of homes owned by millennials rose 21.5% year over year to $8.6 trillion in the first quarter of 2024—the most recent period for which generational data is available—nearly four times as fast as any other generation. The increase is partly due to the overall growth in home prices, but also because millennials are now the largest generation by population and have reached an age and financial position where they make up a larger share of the homebuying market. Around two-thirds of the mortgages taken out in 2023 were issued to homebuyers under the age of 45. Meanwhile, the total value of homes owned by the Silent Generation fell for the fifth straight quarter, dropping 1.6% to $4.6 trillion. The value of homes owned by baby boomers increased 6.1% to $19 trillion, while Gen X home values rose 5.9% to $13.6 trillion. Asian neighborhoods experience largest increase in home value After falling in 2022-2023, the total value of homes in neighborhoods that are majority Asian bounced back over the past 12 months, rising 9% to $1.4 trillion. The increased value is being caused by price growth in West Coast cities—where many Asian neighborhoods are located. In comparison, majority white neighborhoods experienced a 6.6% increase in value to $39.4 trillion, while majority Black neighborhoods saw a 5.4% increase in value to $1.4 trillion. The value of homes in majority Hispanic neighborhoods increased 6.4% to $2 trillion. To view the full report, including charts, additional metro-level data and methodology, please visit: https://www.redfin.com/news/housing-market-value-june-2024

Read More

OPPORTUNITY ZONE HOME PRICES CONTINUE RIDING WAVE OF GAINS ACROSS U.S. DURING SECOND QUARTER OF 2024

  • by
  • Comment Off
  • 147 views

Median Home Values Increase in More Than Half of Opportunity Zones Targeted for Economic Redevelopment;  Price Trends Inside Those Zones Continue to Closely Follow National Market Patterns;  Some Measures in Opportunity Zones Again Outpace Nationwide Improvements ATTOM, a leading curator of land, property, and real estate data, released its second-quarter 2024 report analyzing qualified low-income Opportunity Zones targeted by Congress for economic redevelopment in the Tax Cuts and Jobs Act of 2017. In this report, ATTOM looked at 3,904 zones around the United States with sufficient data to analyze, meaning they had at least five home sales in the second quarter of 2024. The report found that median single-family home and condo prices increased from the first quarter of 2024 to the second quarter of 2024 in 61 percent of Opportunity Zones around the country with enough data to measure. They were up annually in 62 percent of the zones analyzed. Amid a nationwide price surge during the annual Springtime home buying season, median prices inside nearly half of the zones analyzed shot up more than 10 percent quarterly and annually. Those trends, in and around low-income neighborhoods where the federal government offers tax breaks to spur economic revival, continued a long-term pattern of home values inside Opportunity Zones moving parallel to broader nationwide shifts for at least the last three years. That pattern has remained in place regardless of whether prices have surged, grown modestly or ticked downward. The second-quarter price spikes were mixed, raising fortunes more so in higher-priced Opportunity Zones, while benefiting fewer of the very lowest-priced neighborhoods. Nevertheless, the broad picture remained one of ongoing economic strength, or limited weakness, inside some of the country’s most distressed communities compared to other markets around the country. By a few measures, Opportunity Zones price trends even showed signs, yet again, of doing somewhat better than the nation as a whole during the second quarter of 2024. For example, increases in median home-values outpaced national gains in a slightly larger portion of zones than elsewhere. “The trickle-down impact of the extended housing market boom across the U.S. continues to uplift many neighborhoods in need, revealing their economic potential,” said Rob Barber, CEO of ATTOM. “This pattern is especially evident in Opportunity Zones as house hunters priced out of more-expensive areas turn to places they can afford. While gains inside these zones vary, many are experiencing price increases, demonstrating the momentum necessary to attract the investments that the Opportunity Zone model is designed to generate.” Opportunity Zones are defined in the Tax Act legislation as census tracts in or alongside low-income neighborhoods that meet various criteria for redevelopment in all 50 states, the District of Columbia and U.S. territories. Census tracts, as defined by the U.S. Census Bureau, cover areas that have 1,200 to 8,000 residents, with an average of about 4,000 people. Amid economic limitations, most Opportunity Zones still had typical home values that fell well below those in other markets around the nation in the second quarter of 2024. Median second-quarter prices inside 80 percent of the zones were less the U.S. median of $365,000. That was about the same portion as in earlier periods over the past three years. In addition, median prices remained under $200,000 in almost half the zones. High-level findings from the report: Media Contact:Megan Huntmegan.hunt@attomdata.com Data and Report Licensing:datareports@attomdata.com SOURCE ATTOM

Read More

Frustration Evident in Consumer Housing Sentiment

  • by
  • Comment Off
  • 106 views

Only 17% Say It’s a ‘Good Time’ to Buy, Despite Known Aspiration to Own The Fannie Mae Home Purchase Sentiment Index® (HPSI) decreased 1.1 points in July to 71.5, as an overall lack of affordability continues to hamstring consumer sentiment toward the housing market. This month, only 17% of consumers indicated that it’s a good time to buy a home, down from 19% in June, while the share believing it’s a good time to sell decreased from 66% to 65%. The shares expecting home prices to rise versus fall over the next 12 months converged but remain some distance apart at 41% and 21%, respectively. Twenty-nine percent of consumers expect mortgage rates to decrease over the next 12 months, while 31% expect them to increase. The full index is up 4.7 points year over year. “While we’re seeing signs that affordability may be improving in certain parts of the country as supply slowly comes online, household incomes remain stretched relative to would-be mortgage or rent payments, and our latest survey once again reflects real consumer frustration with the housing market,” said Doug Duncan, Fannie Mae Senior Vice President and Chief Economist. “Our recently published Mortgage Understanding Study reaffirmed what we’ve long known: that a significant majority of consumers want to own a home. However, 82% told us in July that it’s a ‘bad time’ to buy, a share that’s remained consistent since January 2023, and these particular respondents continue to point to elevated prices and mortgage rates as the primary reasons for that belief. Meanwhile, there seems to be little expectation among the general population that homebuying conditions will improve in the near future: More consumers than not see home prices rising further; and slightly more consumers think mortgage rates will increase, rather than decrease, over the next 12 months.” Duncan continued: “We’re currently forecasting home price growth to decelerate through next year and mortgage rates to average 6.2 percent by the fourth quarter of 2025 – and, like consumers, we continue to view affordability as the primary constraint to home sales activity. One data point we think bears monitoring: The share of respondents who say they would rent, rather than buy, on their next move has been trending slowly upward of late. Right now, it’s difficult to tell if this reflects simple buyer fatigue or a greater sense of disenchantment with the market, but we think it could have important implications should the trend continue.” Home Purchase Sentiment Index – Component Highlights Fannie Mae’s Home Purchase Sentiment Index (HPSI) decreased 1.1 points in July to 71.5. The HPSI is up 4.7 points compared to the same time last year. Read the full research report for additional information. SOURCE Fannie Mae

Read More