ARAMCO Report - The Mother of ALL Mortgage Blogs!

ARAMCO Report - Wednesday April 15, 2015

Posted by The Aramco Group on Wed, Apr 15, 2015 @ 16:04 PM

Homebuilder Confidence Up, Mortgage Applications Down

Homebuilders nationwide have more confidence in the sellers’ market for single-family homes in April 2015 than they did in March. According to the results from the Home Builders Index (HBI)—which is released every month by the National Association of Home Builders (NAHB) and Wells Fargo—the national index went up 4 points in April to 56 points from 52 last month. That is much higher than the tie for the survey’s record low of 9 points in December 2008, recorded during the recession. Homebuilders with on-the-ground knowledge have been responding to the survey since 1985, and they give a score (0-100) based on current home sales, expected sales in the next six months, and on current homebuyer traffic.

Even as builders have greater optimism about the housing market, the number of people applying for mortgages dropped 2.3 percent in the week ending on April 10th compared to one week earlier — due to rates for non-FHA 30-year mortgages inching higher.

Conforming no point 30-year fixed rates average 3.75 percent while 15-year rates average 3.0 percent.  

For more information on a home purchase, refinance, or a reverse mortgage, visit our website at Aramco.Biz or call me at (877) 700-0942. This is Mehran Aram with today's ARAMCO Report.

Ask Mehran Aram

Topics: 30 year fixed rates, National Association of Home Builders, Mortgage applications, Home Builders, Wells Fargo, Home Builders Index, HBI, NAHB, home selling, builders

ARAMCO Report - Monday March 23, 2015

Posted by The Aramco Group on Mon, Mar 23, 2015 @ 15:03 PM

Homebuilding continues to trail pre-recession levels even though the economy is gaining steam and consumer demand for new homes is high. This is according to research by the National Association of Home Builders (NAHB).  The housing collapse following 2008 forced skilled construction workers into other industries, and 67 percent of housing developers reported that labor availability was their top concern in 2015. 57 percent also worried about lot availability. This stands in blunt contrast to 2011 when only 13 percent and 21 percent of builders were concerned about the availability of labor and lots, respectively. There is a bright spot: the percentage of developers concerned that buyers would not qualify for a mortgage has dropped from 67 percent to 45 percent in the last two years. That represents the sector’s growing confidence in the consumer economy that influences the demand for homes.

Conforming no point 30 year fixed mortgage rates average 3.75 percent with 15-year rates averaging 3 percent.

For more information on a home purchase, refinance, or a reverse mortgage, visit our website at Aramco.Biz or call me at (877) 700-0942. This is Mehran Aram with today's ARAMCO Report.

Ask Mehran Aram

Topics: confidence, economic growth, National Association of Home Builders, Construction, labor, lots, economic data, builders, availability