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Home builder confidence

Posted by Mehran Aram on Thu, Jun 20, 2019 @ 16:06 PM

A slight gain in the confidence levels among home builders in the U.S. last month, was undone by a 2 point decline in June. Rising construction costs have long been cited as the major reason builders have been weary. Confidence levels are measured according to The National Association of Home Builders’ index.

“While demand for single-family homes remains sound, builders continue to report rising development and construction costs,” said NAHB Chairman Greg Ugalde.

In addition to grappling with rising costs, a shortage of skilled labor has also depressed confidence levels among the nation’s home builders. Despite this month’s drop, the index’s component measuring future conditions remains positive with a reading of 70.

Today, conforming no-point 30-year fixed mortgage rates are averaging 3.875 percent and 15-year rates are near 3.375 percent.

Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.

Topics: Construction, Home Builders, single family homes, Mortgage rates, National Association of HomeBuilders, condo, condominium, Home Builder Confidence, Home Construction

Condo and townhome sales surge in San Diego

Posted by Mehran Aram on Sun, Jun 16, 2019 @ 07:06 AM

San Diego County saw closed sales of condominiums and townhomes shoot up seven percent from April to May according to the Greater San Diego Association of Realtors. This unusually large increase comes as the sales pace for single-family homes remained relatively unchanged.

Attached property sales climbed 7.3 percent in total from 983 in April to 1,055 in May. The price of a townhome or condominium grew 3.3 percent to a median price of $434,000 as of last month.

Meanwhile, single-family home sales in San Diego were flat, increasing 0.7 percent on a month-over-month basis and price rose just 1.2 percent. Compared to last year, sales of single-family homes are down 7.1 percent in the region.

Today, conforming no-point 30-year fixed mortgage rates are averaging 3.875 percent and 15-year rates are near 3.375 percent.

Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.

Topics: home sales, San Diego County, San Diego, Greater San Diego Association of Realtors, single family homes, Mortgage rates, San Diego Housing Market, condo, San Diego Home Sales, San Diego Housing, Property Sales

One in four home purchases made with cash

Posted by Mehran Aram on Wed, Feb 6, 2019 @ 05:02 AM

Purchasing a home with cash is on the slide nationally compared to the peak years of 2011 and 2012 but there are still pockets around the country where all-cash transactions are growing at a rapid pace. According to ATTOM Data Solutions’ Year-End 2018 Home Sales Report, released last week, over a quarter of home sales last year were completed without a mortgage.

Nationwide, cash sales for 2018 accounted for 27.8 percent of single-family home and condo purchases, unchanged from 2017 but still well above the pre-recession average of 18.7 percent.

San Diego is one of just 20 metropolitan areas where cash sales rose by double digits over the past year with a 10 percent gain.

Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 4.375 percent, 15-year rates are near 3.75 percent and the 5-year ARM is averaging 4.25 percent.

Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.

Topics: San Diego, cash purchase, Single Family Home, Mortgage rates, condo, condominium