Today’s Housing Market News – May 17, 2024

Welcome to today’s roundup of the latest news in the real estate sector! From transformative changes in housing market regulations to innovative tools for finding off-campus housing, our coverage spans crucial updates that could impact how you buy, sell, or rent properties. Whether you’re interested in the economic forecasts affecting home prices, or seeking insights into local housing trends, our articles provide comprehensive analysis and expert opinions to help you stay informed. Dive into today’s stories to understand the dynamics of the real estate market and make well-informed decisions.

NAHB/Wells Fargo Housing Market Index (HMI) | NAHB

The NAHB/Wells Fargo Housing Market Index (HMI) provides valuable insights into the single-family housing market. This monthly survey asks NAHB members to rate market conditions for new home sales in the present and the next six months, as well as the traffic of prospective buyers. The HMI is a weighted average of three component indices: Present Single-Family Sales, Single-Family Sales for the Next Six Months, and Traffic of Prospective Buyers.

Each index is seasonally adjusted and weighted to maximize correlation with housing starts in the following six months. The HMI ranges from 0 to 100, offering a comprehensive view of market conditions. Stay updated on the latest developments in the housing industry and explore the rewards of building homes and communities that people love.

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Major changes to housing market ahead

A landmark settlement with the National Association of Realtors is bringing significant changes to the housing market. Starting in August, new rules will impact how you buy or sell a house, particularly regarding who pays the fees for agents representing buyers and sellers. Buyers will now need to have a conversation about compensation before attending an open house, as the cost traditionally borne by sellers may no longer be assumed. The settlement aims to address allegations of collusion and antitrust behavior, leading to a transformation of the industry. However, concerns remain about the potential impact on home prices and the accessibility of services for buyers with limited resources. To learn more about these changes and their implications, visit the National Association of Realtors’ website.

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Seton Hall Launches New Off-Campus Housing Listing Site for Students and Employees

Seton Hall University is excited to announce the launch of a new off-campus housing listing site in collaboration with Off-Campus Partners. This platform provides students, faculty, and staff in the South Orange, Nutley, and Newark, New Jersey areas with a comprehensive database of rental properties, apartments, and homes available in the local area. Users can easily search for housing options based on their preferences, including location, price range, and amenities.

The platform aims to streamline the housing search experience and offers additional resources such as neighborhood guides, rental affordability calculators, roommate matching services, and safety tips for living off-campus. Seton Hall University is committed to providing safe, affordable, and convenient housing options for its community members both on and off-campus.

The new off-campus housing listing site is now live and accessible to the Seton Hall community. To start searching for off-campus housing options, visit the platform here and sign up with your PirateNet credentials.

U.S. Economic, Housing and Mortgage Market Outlook – May 2024 – Freddie Mac

The U.S. economy experienced a moderation in economic growth at the beginning of 2024, with the rate of Real Gross Domestic Product (GDP) growth slowing to 1.6% in Q1 2024 compared to 3.4% in Q4 2023. This deceleration was driven by slower growth in consumption expenditures, net exports, and government consumption expenditures. The labor market also showed signs of cooling, with nonfarm payroll employment increasing by 175,000 in April, down from 315,000 in March. Despite these trends, the U.S. economy continues to perform relatively well compared to other advanced economies.

In the housing market, total home sales declined in March due to rising mortgage rates, particularly impacting existing home sales. However, new home sales grew as buyers opted for new homes in the face of limited inventory and rising prices. Homebuilder confidence remained steady, but housing construction experienced some moderation. House prices continued to rise due to low supply and high demand.

Mortgage rates ticked up in April, leading to a decline in mortgage activity. Refinance activity decreased, and purchase applications were also down. The homeownership rate remained relatively stable, but tight inventory and higher interest rates posed challenges for the market.

Looking ahead, higher interest rates are expected to weigh on future economic growth, resulting in a lower rate of growth in 2024 and 2025. However, a recession is not anticipated in the baseline scenario. Mortgage rates are projected to remain elevated, impacting affordability and purchase originations. Despite these challenges, housing demand is expected to remain high due to favorable demographics. However, risks from inflation and limited inventory could affect the market.

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Housing prices in Florida, Texas will get ‘more affordable’: Redfin CEO | Fox Business

Redfin CEO Glenn Kelman discusses the impact of the Federal Reserve’s inflation fight on the housing industry and homebuyers. He highlights that the handling of rate cuts by the Federal Reserve will play a crucial role in housing market affordability. Despite elevated mortgage rates predicted for 2024, Kelman suggests that buyers entering the market now will likely get a better price compared to those buying in the future when rates come down. He also notes a shift in markets as potential buyers pull back from states like Texas and Florida, but expects people to step back in once prices come down in those states. Kelman emphasizes that building more houses in states with a better regulatory environment for new construction, such as Florida and Texas, is a positive sign for increased affordability and population movement. Read more for insights into the housing market and expert analysis.

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Are home prices dropping? Search by zip code to see values in your area – Washington Post

Many first-time home buyers are facing challenges as they try to enter the U.S. housing market, which continues to experience rising prices. Since 2019, home prices have surged by 54%, with a more steady increase of 5.8% in the past year. Factors such as high interest rates, low inventory, and years of price jumps pose ongoing difficulties for Americans looking to buy homes. However, there are variations in prices depending on location. To explore how the market value of the average home has changed in your area, search by zip code. While affordability remains a concern, recent data suggests a leveling off of prices and a more balanced market. Stay informed about the latest trends in the housing market and discover how your area is being affected.

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