eing debt free in retirement is unlikely to be experienced by most Americans, if their own predictions are accurate.
More than two thirds (68%) of respondents to a survey by creditcards.com say they are not confident that they will ever pay down all of their debts with 30% saying they will never achieve debt freedom and 38% unsure of when or if they will. Almost a third are confident of clearing their debts within 9 years.
Despite the impact on homebuyers of the tax reforms, economists attending this week’s NAHB International Builders’ Show in Florida are confident it will benefit the housing market. That’s because they predict that the positive impact for businesses will mean a boost for the economy and for jobs, handing the housing market new entrants and confident consumers.
There was a slowdown in mortgage applications last week as the holidays and weather conspired to dampen demand. The Mortgage Bankers Association’s survey of mortgage bankers, commercial banks, thrifts and other lenders slipped 2.8% on a seasonally adjusted basis for the week ending December 29, compared with two weeks earlier; on an unadjusted basis there was a 42% drop.
Much has been written about the needs and demands of Millennial homebuyers but the next generation is now getting into the market. Generation Z were born after 1995, but even in their early 20s, this cohort is already considering homeownership.
Mortgage credit risk increased between the third quarter of 2016 and the same period this year. CoreLogic says that its Housing Credit Index was 111.1, an 18 point rise from a the 93.1 seen in Q3 2016. However, this means that it remained within the index’s benchmark range of 90-120.
Fannie Mae and Freddie Mac have separately announced that they are suspending evictions during the holiday season between Dec. 18 and Jan. 2.
Fannie Mae said the suspension will apply to single-family and two- to four-unit properties. Families will be allowed to remain in their homes during the period. However, legal and administrative proceedings for evictions may continue.The moratoriums last until Jan. 2
Homeowners with mortgages saw an overall gain of $766 billion in their home equity during the second quarter from the year-ago period, or an increase of 10.6%, according to the second-quarter home equity analysis released by CoreLogic. On average, the year-over-year gain is $12,987 for each homeowner. The biggest increases were seen in Western states as higher home prices drove equity gains. Homeowners in Washington saw average home equity gains of about $40,000, while California homeowners gained an avera
Struggling first-time buyers have needed almost $6,000 more in the fall of 2017 than they did a year ago, as the median down payment reached a record high. ATTOM Data Solutions says that in the third quarter of 2017, the median down payment was $20,000, up from $18,161 in the second quarter of 2017 and up from $14,400 in Q3 2016.
The Fed’s latest increase in interest rates will have little near-term impact according to LendingTree’s chief economist.Tendayi Kapfidze says that mortgage rates for 30-year FRMs should remain in the range of 3.5%-4.5% for 2018 due to influences from around the world.
The third quarter of 2017 saw a resurgence of the commercial/multifamily mortgage sector with a rise of $45.4 billion to $3.11 trillion.The 1.5% increase saw all four major investor groups increase their holdings, including CMBS, reversing almost a decade of quarterly decline for the sector, the Mortgage Bankers Association reports.