Study: Road to Housing Recovery will be ‘Longer and Bumpier’

first_img Data Provider Black Knight to Acquire Top of Mind 2 days ago Affordability Home Prices Housing Chartbook refinancing Wells Fargo Economics Group 2014-06-11 Colin Robins Governmental Measures Target Expanded Access to Affordable Housing 2 days ago in Daily Dose, Featured, Headlines, Market Studies, News Subscribe Servicers Navigate the Post-Pandemic World 2 days ago The Best Markets For Residential Property Investors 2 days ago Share Save The Week Ahead: Nearing the Forbearance Exit 2 days ago Previous: HUD Settlement Creates Housing Opportunities for People with Disabilities Next: Job Growth Outpacing New Home Construction Servicers Navigate the Post-Pandemic World 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Related Articles Demand Propels Home Prices Upward 2 days agocenter_img Demand Propels Home Prices Upward 2 days ago  Print This Post June 11, 2014 1,452 Views Sign up for DS News Daily Tagged with: Affordability Home Prices Housing Chartbook refinancing Wells Fargo Economics Group Colin Robins is the online editor for DSNews.com. He holds a Bachelor of Arts from Texas A&M University and a Master of Arts from the University of Texas, Dallas. Additionally, he contributes to the MReport, DS News’ sister site. Data Provider Black Knight to Acquire Top of Mind 2 days ago About Author: Colin Robins Study: Road to Housing Recovery will be ‘Longer and Bumpier’ The Wells Fargo Economics Group released its Housing Chartbook for May 2014. The group found that most markets are finding themselves “wildly out of balance” from inflated home prices driven by investor purchases, as well as exceptionally tight inventories that are well ahead of any improvement in demand.The group said that the “lack of a rebound in home sales this spring has reinforced our view that there was more than harsh winter weather behind the recent slide in home sales and mortgage applications.” The group notes that the road to housing recovery will be longer—and much bumpier—than expected.Housing demand is still reeling from last spring’s spike in mortgage rates. The Wells Fargo Economics Group commented that a 70-basis point rise in mortgage rates coupled with a 6.2 percent rise in prices resulted in a 17.1 percent jump in monthly principal and interest payments. Payments on an existing home, irrespective of a slight dip in home prices, have risen 11.9 percent. Consumer confidence in purchasing a new home within six months fell in May to 4.9 percent, below the 12-month moving average of 5.7 percent.Overall economic growth will also hamper housing growth, according to the group from Wells Fargo. Real GDP is expected to rise just 2.0 percent in 2014, with new home sales and single-family housing starts expected to rise much more slowly. The group forecasts that new home sales will climb 8.4 percent to 465,000 units, while single-family housing starts will climb 10.9 percent. New home prices will moderate, rising just 2.6 percent to $276,000 in 2014.Refinancing activity is also expected to slow down. “The refinancing share of mortgage activity rose to 52.2 percent, up from 48.7 in early May, which was the lowest share since July 2009. Recent gains in refinancing activity are not sustainable, however, as rates will eventually increase,” the group said. Mortgage applications also are down, falling in five of the past six weeks.Housing starts continued to improve, rising for the third consecutive month in April and nearly offsetting the December and January weather-related drop. The improvement might be short-lived, however, as the level of permits is running well below starts. Permits rose just 0.3 percent in April, which will restrain future completions, further limiting inventory and exacerbating problems with affordability.Existing home sales rallied slightly in April, up 1.3 percent after three consecutive months of decline. Distressed sales accounted for 15 percent of activity and all-cash transactions edged slightly higher to 18 percent. First-time home buyers have risen from recent lows, but remain well short of long-term trends. Easing of credit conditions and inventory remain the key factors for near-term sales, but the group doesn’t believe that credit conditions will ease up in the coming months. The Best Markets For Residential Property Investors 2 days ago Home / Daily Dose / Study: Road to Housing Recovery will be ‘Longer and Bumpier’last_img read more

Murray Reaches Qatar Open S’final

first_imgAnd Australia’s Nick Kyrgios was beaten 6-2 6-2 by Jack Sock at the mixed teams Hopman Cup, in the tie between Australia and the United States.Kyrigos was defeated in under an hour and later pulled out of the mixed doubles event with a knee problem.His injury comes less than two weeks before the Australian Open – the first Grand Slam of the year in Melbourne.Elsewhere yesterday, British number one Johanna Konta continued her good start to 2017 by reaching the semi-finals of the Shenzhen Open in China.The world number 10 defeated Kristyna Pliskova of the Czech Republic, ranked 60th, 6-4 6-7 (11-13) 6-3.Her next opponent will be another Czech, Katerina Siniakova, who beat Serbian Nina Stojanovic 6-3 6-4.Konta is now the highest-ranked player left in the event after world number three Agnieszka Radwanska’s exit.The Polish top seed was beaten 6-2 3-6 6-0 by American world number 39 Alison Riske, who will face Camila Giorgi of Italy in the last four.Konta looked in control early on against her opponent – the twin sister of world number six Karolina Pliskova – as she took the first set with a single break of serve.Neither player could force a break point in the second set and in the resulting tie-break Konta wasted two match points before the big-serving Pliskova levelled the match on her fifth set point.But Konta stayed firm in the final set, claiming the break and reaching the semi-final on her fifth match point.“I am very happy to have extended my stay here,” she said.“She is one of the best servers on tour so I knew I was going to have a hard time on her service games. I was very happy I was able to get that break in the third and see it out in the end.”Share this:FacebookRedditTwitterPrintPinterestEmailWhatsAppSkypeLinkedInTumblrPocketTelegram Andy Murray progressed to the Qatar Open semi-finals by beating Spain’s Nicolas Almagro 7-6 (7-4) 7-5.The top seed was broken in his opening service game by 31-year-old Almagro, ranked 44th in the world, but recovered to take the first set tie-break.The pair exchanged breaks early in the second set before Murray prevailed.Murray will face either Jo-Wilfried Tsonga or Tomas Berdych in the semis and, if he progresses, could meet Novak Djokovic in Saturday’s final.Djokovic, whom Murray replaced as world number one in November, beat veteran Radek Stepanek 6-3 6-3 in their quarter-final to book a meeting with Fernando Verdasco of Spain in the last four.Elsewhere, Britain’s Aljaz Bedene beat Slovakia’s Martin Klizan to reach the quarter-finals of the Chennai Open in India.last_img read more