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More Than 3 in 5 Home Listings Are Now ‘Stale’ As Record-High Costs Dampen Demand

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More homes are sitting on the market for at least 30 days without going under contract, as homebuying demand falters in the face of high housing costs More than three in five (61.9%) homes that were on the market in May had been listed for at least 30 days without going under contract, according to a new report from Redfin (redfin.com), the technology-powered real estate brokerage. That’s up from 60% one year earlier and roughly 50% two years earlier. The share of homes sitting on the market for at least one month has been increasing year over year since March, when growth in new listings accelerated but demand from buyers remained tepid, as it has been since mortgage rates started rising in 2022. More homes for sale paired with slow demand means that less-desirable listings are piling up, leaving some of them without a buyer. This is according to an analysis of Redfin’s housing-market data, which goes back through 2012. The inventory data in Redfin’s report includes homes that were on the market for at least 30 days, or at least 60 days, without going under contract and were actively listed on the final day of the month. Stubbornly high mortgage rates and record-high home prices have priced out many homebuyers, tempering demand even at a time of year when the housing market is typically warming up. The average 30-year fixed mortgage rate is 6.99%, more than double the pandemic-era low and just slightly below October 2023’s two-decade high of 7.8%. The median U.S. monthly housing payment is just about $30 shy of its record high. Redfin agents report that move-in ready homes in desirable neighborhoods are still selling quickly, but listings that don’t fit that bill are starting to pile up in some parts of the country. Two in five listings are sitting on the market for 60 days or more Two in five (40.1%) homes that were on the market in May had been listed for at least two months without going under contract. That’s unchanged from a year earlier and up from 27.8% two years earlier. The share of homes sitting on the market for at least 60 days was essentially flat year over year in both April and May. Before that, the metric had posted annual declines since last September. The share of homes sitting for at least 60 days is likely to start increasing next month so long as mortgage rates stay high, according to Redfin economists. Metro-level highlights: Unsold inventory, May 2024 The share of inventory sitting on the market for 30-plus days is growing fastest in Dallas. Just over 60% of Dallas listings that were on the market in May had been listed for at least 30 days, up from 53% a year earlier. Next come three Florida metros: Fort Lauderdale (75.5%, up from 68.2%), Tampa (68.7%, up from 61.9%) and Jacksonville (69.2%, up from 62.9%). Inventory is growing stale fast in Texas and Florida largely because those states are building far more homes than anywhere else in the country, contributing to rising supply, and because some homebuyers are nervous about the increasing prevalence of natural disasters. On the other end of the spectrum, the share of homes sitting on the market for at least 30 days has declined most in Seattle (41.2%, down from 50.5%), Las Vegas (55.9%, down from 63.9%) and San Jose, CA (34.4%, down from 42.2%). To view the full report, including charts and additional metro-level data, please visit: https://www.redfin.com/news/stale-inventory-may-2024 Contacts Redfin Journalist Services:Angela Cherrypress@redfin.com Author admin View all posts

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Largest source of publicly aggregated, real-time rental comps covers 28m units and includes floor plan granularity, amenities and concessions Markerr, a leader in data and AI for real estate, announces the launch of RealRent Comps, a new product delivering unique insight into rental markets for investors, owners, operators and property managers. Integrated within Markerr Data Studio, RealRent Comps provides unprecedented coverage, timeliness and granularity to comps analysis, setting new standards for investment and operational decision-making in the industry. Markerr clients are actively leveraging RealRent Comps to power a range of decisions across the asset life cycle including pricing, asset management, rent optimization and acquisitions and underwriting. RealRent Comps, accessible via Markerr Data Studio, not only provides advanced search and analytical capabilities but also utilizes Markerr’s broad data network to enhance our proprietary comps algorithm. This algorithm leverages machine learning to analyze key property and unit attributes, enabling clients to quickly identify and rank competitive properties. By integrating comprehensive, daily updated data at the floor plan level, users can make informed pricing decisions and evaluate investment potential with greater accuracy and insight. “Implementing Markerr’s data has allowed us to build out proprietary analytics and insight to make data driven decisions at granular levels,” said Charlie Garner, Principal, Fulton Peak Capital LLC. “We are excited to expand our relationship with Markerr with the addition of RealRent Comps, which will further enhance our real-time and innovative decision making.” The introduction of RealRent Comps arrives at a time when much of the industry is moving away from rental data sources aggregated via private data sharing and call centers. RealRent Comps provides clients with critical insight into rent trends, comps, pricing and concessions while mitigating risk from private data shared via “give and get” data aggregation models. In creating the RealRent dataset, Markerr has developed a sophisticated and comprehensive approach to public data aggregation. By integrating data from diverse sources including marketplaces, aggregators, originators, community websites, and authoritative government datasets, Markerr ensures RealRent data is complete, accurate and timely. This rich mix of data, ranging from asking rental rates by floorplan to detailed property features, unit mix, concessions and availability, underpins RealRent’s ability to offer real estate professionals, investors, and analysts a multifaceted view of the rental landscape. Andrew Jenkins, Chief Product Officer at Markerr, highlighted the company’s commitment to integrating advanced data science with practical real estate business applications. “Markerr RealRent Comps is steering pivotal decisions among top real estate industry leaders. The integration of AI with our publicly-sourced rental data empowers our client with critical rental insights that dramatically improve strategic decision-making while mitigating risk.” Jenkins noted. Markerr RealRent Comps is immediately available to clients. About Markerr:Markerr is at the forefront of the real estate industry, offering innovative data products that empower investors to thrive in multifamily real estate investments. Leveraging real-time data, advanced machine learning, and generative AI, Markerr enables clients to gain a competitive edge and make more confident, efficient decisions. Trusted by leading institutional real estate owners and operators worldwide, Markerr is supported by top investors including RET Ventures, Pretium, and Bridge Investment Group. Visit www.markerr.com for further details. SOURCE Markerr CONTACT: shlomo.morgulis@antennagroup.com Author admin View all posts

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CoreLogic®, a leading global property information, analytics and data-enabled solutions provider, released the Homeowner Equity Report (HER) for the first quarter of 2024. The report shows that U.S. homeowners with mortgages (which account for roughly 62% of all properties) saw home equity increase by 9.6% year over year, representing a collective gain of $1.5 trillion and an average increase of $28,000 per borrower since the first quarter of 2023. This brought total net homeowner equity to more than $17 trillion at the end of Q1 2024. U.S. homeowners with a mortgage continued to see healthy annual equity gains in the opening quarter of 2024. As one of the nation’s most expensive states with perpetually high housing demand, California homeowners saw the largest equity gain in the country at $64,000, with those in the Los Angeles metro area netting $72,000 year over year. Most of the other large equity gains were concentrated in the Northeast, including New Jersey ($59,000), a state that has ranked in the top three for annual appreciation in CoreLogic’s monthly Home Price Insights report since last fall. “With home prices continuing to reach new highs, owners are also seeing their equity approach the historic peaks of 2023, close to a total of $305,000 per owner,” said Dr. Selma Hepp, chief economist for CoreLogic. “Importantly, higher prices have also lifted some 190,000 homeowners out of negative equity, leaving only about 1.8% of those with mortgages underwater.” “Home equity is key to mortgage holders who have seen other homeownership costs soar, including insurance, taxes and HOA fees, as a source of financial buffer,” Hepp continued. “Also, low amounts of negative equity are welcomed in markets that have shown price weaknesses this spring, such as Florida (1.1% of homes underwater) and Texas (1.7% of homes underwater) — both of which are below the national rate — as further price declines could drive more homeowners to lose their equity.” Negative equity, also referred to as underwater or upside-down mortgages, applies to borrowers who owe more on their mortgages than their homes are currently worth. As of the first quarter of 2024, the quarterly and annual changes in negative equity were: Because home equity is affected by home price changes, borrowers with equity positions near (+/- 5%), the negative equity cutoff, are most likely to move out of or into negative equity as prices change, respectively. Looking at the first quarter of 2024 book of mortgages, if home prices increase by 5%, 111,000 homes would regain equity; if home prices decline by 5%, 153,000 properties would fall underwater. The next CoreLogic Homeowner Equity Report will be released in September 2024, featuring data for Q2 2024. For ongoing housing trends and data, visit the CoreLogic Intelligence Blog: www.corelogic.com/intelligence. Source: CoreLogic Author admin View all posts

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Residential Loans Down Another 7 Percent, to Smallest Level Since 2000; Total Lending Activity Off Almost 70 Percent in Three Years; Purchase, Refinance and Home-Equity Lending All Decrease ATTOM, a leading curator of land, property, and real estate data, released its first-quarter 2024 U.S. Residential Property Mortgage Origination Report, which shows that 1.28 million mortgages secured by residential property (1 to 4 units) were issued in the United States during the first quarter, representing a 6.8 percent decline from the previous quarter. The drop-off marked the 11th in the last 12 quarters, to the lowest level since 2000. The latest decline left total residential lending activity down 4.8 percent from a year earlier and 69.3 percent from a high point hit in 2021. It came amid another period of rising mortgage interest rates and elevated home prices unaffordable to significant portions of American households, on top of low supplies of homes for sale. Ongoing decreases in lending activity during the first quarter resulted from losses in all major categories of residential lending. Purchase-loan activity went down another 9.9 percent quarterly, to about 565,000, while refinance deals dipped downward by 1.9 percent, to 491,000. Home-equity credit lines slipped 9 percent, to 222,000. Measured monetarily, lenders issued $405.6 billion worth of residential mortgages in the first quarter of 2024. That was down 4.8 percent from the fourth quarter of 2023 and 4.5 percent from the first quarter of last year. The varying paces of change among different loan types helped reduce the portion of all residential mortgages represented by purchase lending for the third straight quarter while pushing the refinance component upward. Still, purchase loans were the most common form of mortgages around the U.S. in early 2024, comprising more than 40 percent, followed by refinance packages and home-equity lending. “There is reason to hope that we will see something of a turnaround when second-quarter data comes in, given the jump in lending activity that happened during the peak home-buying season of 2023,” said Rob Barber, CEO at ATTOM. “But with little sign that interest rates are coming down, which could fire up refinance and HELOC lending, or that supplies of homes for sale are going up, any increase is likely to be limited.” Home-mortgage lending took another hit in the early months of 2024 as average interest rates for 30-year fixed loans rose close to 7 percent (it has since increased). That continued to push up home ownership costs at a time when near-record home prices in most of the country already were unaffordable, or a significant financial stretch, for average wage earners. Purchase lending was further eroded amid counts of homes for sale that were less than half the levels seen five years ago. Total lending activity down in two-thirds of nationBanks and other lenders issued a total of 1,277,899 residential mortgages in the first quarter of 2024, down from 1,371,344 in the fourth quarter of 2023. The fallback continued a three-year run of declines that was broken only by a spike in the second quarter of last year. The latest total also was down annually from 1,343,010 in the first quarter of 2023, and from a recent high point of 4,165,204 hit in the first quarter of 2021. A total of $405.6 billion was lent to homeowners and buyers in the first quarter of this year, which was down from $426.1 billion in the prior quarter and down from $424.6 billion in the first quarter of 2023. The latest figure stood at less than one-third of the recent peak of $1.29 trillion hit in 2021. Overall lending activity dipped lower from the fourth quarter of last year to the first quarter of this year in 125, or 69 percent, of the 182 metropolitan statistical areas around the U.S. that had a population of 200,000 or more and at least 1,000 total residential mortgages issued in the first quarter of 2024. Total lending also remained down from the first quarter of 2023 in 118, or 65 percent, of the metro areas analyzed. It was off by at least 5 percent annually in almost half of those markets. The largest quarterly decreases were in St. Louis, MO (total lending down 40.5 percent from the fourth quarter of 2023 to the first quarter of 2024); Buffalo, NY (down 29.9 percent); Albany, NY (down 28.6 percent); Syracuse, NY (down 27.4 percent) and Pensacola, FL (down 25.6 percent). Aside from St. Louis and Buffalo, metro areas with a population of least 1 million that had the biggest decreases in total loans from the fourth quarter of 2023 to the first quarter of 2024 were Minneapolis, MN (down 21.2 percent); Hartford, CT (down 18.2 percent) and Honolulu, HI (down 16.3 percent). The biggest quarterly increases among metro areas with a population of at least 1 million came in Tucson, AZ (total lending up 15.2 percent from the fourth quarter of 2023 to the first quarter of 2024); Phoenix, AZ (up 14.9 percent); Birmingham, AL (up 8.8 percent); Virginia Beach, VA (up 8.6 percent) and Memphis, TN (up 8.3 percent). Purchase mortgages slump throughout U.S. but remain top loan typeLoans issued to home buyers fell back in the first few months of 2024 for the third straight quarter after a surge of about 25 percent in the Spring of last year. The latest total of 564,598 dropped from 626,759 in the fourth quarter of 2023. It was also down 12.3 percent from 643,988 a year earlier and almost two-thirds from a high point of 1,516,377 hit in the Spring of 2021. The $214.8 billion dollar volume of purchase loans in the first quarter of 2024 was down 6.7 percent from $230.2 billion in the fourth quarter of 2023 and 7.8 percent from $233.1 billion in the first quarter of last year. Residential purchase-mortgage originations decreased quarterly in 132 of the 182 metro areas in the report (73 percent) and annually in 77 percent of those markets. The largest quarterly decreases were in Wichita, KS (purchase loans down 66.5 percent from the fourth quarter of 2023 to the first quarter of 2024); Mobile AL (down 54.2 percent); St. Louis, MO (down 45.3 percent); Manchester, NH (down 39 percent) and Buffalo, NY (down 38.3 percent). Aside from St. Louis and Buffalo, the biggest quarterly decreases in metro areas with a population of at least 1 million in the first

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Citing Unaffordability, 86% of Consumers Say It’s a Bad Time to Buy a Home The Fannie Mae Home Purchase Sentiment Index® (HPSI) decreased 2.5 points in May to 69.4 as the component measuring consumer attitudes toward homebuying conditions fell markedly, reaching an all-time survey low. This month, only 14% of consumers indicated that it’s a good time to buy a home, down from 20% last month, while the share believing it’s a good time to sell fell from 67% to 64%. Meanwhile, consumers continue to believe affordability will remain tight for the foreseeable future, as respondents believe that, on net, home prices and mortgage rates will go up over the next year. Among the positives from the survey: A growing share of respondents, now 20%, indicated that their household income is significantly higher than it was a year ago. The full index is up 3.8 points year over year. “Consumer sentiment toward housing declined from its recent plateau, as an increasing share of consumers struggle to find the positives in the current housing market,” said Doug Duncan, Fannie Mae Senior Vice President and Chief Economist. “While many respondents expressed optimism at the beginning of the year that mortgage rates would decline, that simply hasn’t happened, and current sentiment reflects pent-up frustration with the overall lack of purchase affordability. This is most clearly evidenced by our ‘good time to buy’ component falling to a new survey low this month. On the other hand, homeowners’ perception of home-selling conditions declined only slightly and remains largely positive after a steady increase over the last few months. This suggests to us that, despite the so-called ‘lock-in effect,’ some homeowners may increasingly want or need to sell their homes for a myriad of non-financial reasons, which may lead to an increase in listings in the near future. As our latest forecast notes, we expect improvements to housing inventory will lead to slightly increased sales activity through the end of the year.” Home Purchase Sentiment Index – Component Highlights Fannie Mae’s Home Purchase Sentiment Index (HPSI) decreased 2.5 points in May to 69.4. The HPSI is up 3.8 points compared to the same time last year. Read the full research report for additional information. Detailed HPSI & NHS FindingsFor detailed findings from the Home Purchase Sentiment Index and National Housing Survey, as well as a brief HPSI overview and detailed white paper, technical notes on the NHS methodology, and questions asked of respondents associated with each monthly indicator, please visit the Surveys page on fanniemae.com. Also available on the site are in-depth special topic studies, which provide a detailed assessment of combined data results from three monthly studies of NHS results. SOURCE Fannie Mae Author admin View all posts

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The merger gives real estate investors access to a robust technology platform Brown Gibbons Lang & Company (BGL) announced the merger of Mynd, the company transforming how investors find, finance, lease, manage, and sell SFR properties, with Roofstock, a leading real estate services and investment platform specializing in the single-family rental (SFR) sector. BGL’s Real Estate & Property Technology investment banking team served as the exclusive financial advisor to Mynd in the transaction. The specific terms of the transaction were not disclosed. Headquartered in Oakland, California, Mynd is a tech-enabled real estate company serving the $85+ billion property management and real estate investment market. Powered by a proprietary, all-in-one digital platform and local listing and property management experts, Mynd aims to simplify the entire investment journey for both first-time and veteran investors, allowing more Americans access to the single-family residential sector as a way to build intergenerational wealth. Founded in 2016, with operations in more than 25 markets across the U.S., Mynd is backed by top venture capitalists, including Lightspeed, Canaan, Jackson Square, and QED. This merger gives real estate investors access to a robust technology platform, deep data insights to inform their buying and selling decisions, and a property management system built specifically for SFR to ensure their units are leased, well maintained, and generating strong returns. Headquartered in Oakland, California, Roofstock is a provider of Real Estate Investment as a Service (REIaaS) for investors in the $5 trillion SFR sector across the entire investment lifecycle. Its proprietary data, technology, and integrated services help investors maximize opportunities across the U.S. and realize substantial returns. Founded in 2015, Roofstock is backed by a blue-chip roster of venture capital investors, including Khosla Ventures, Bain Capital Ventures, Lightspeed Venture Partners, Canvas Ventures, and SoftBank Vision Fund 2. SOURCE Brown Gibbons Lang & Company Author admin View all posts