Receding expectations for the Federal Reserve to lower interest rates in the coming months are keeping US mortgage rates around 7%, more than double what they were three years ago. This prolonged high-rate environment is slowly but surely transforming the housing market. “Homeownership is becoming less of a middle-class dream and more of an aspirational
Prices continue to rise due to this spring’s lower-than-usual inventory. The slight silver lining for buyers is that mortgage rates have decreased slightly. The median U.S. home sale price reached a record $387,600 during the four weeks ending May 19, up 4% from a year earlier. Weekly average mortgage rates dipped to 7.02% from a
The share of houses for sale that are brand new is hovering at nearly double the pre-pandemic rate. In the first quarter, 33.4% of single-family homes for sale in the U.S. were newly built. This figure is essentially unchanged from a year earlier but down slightly from a record-high 34.5% two years ago. Despite the
April Housing Costs Fuel Core Inflation Despite Signs of Moderation Housing expenses remained high in April, primarily driving up core inflation. The shelter component of the Consumer Price Index (CPI), comprising mainly rent and homeowners’ equivalent rent (OER), saw a 0.4% increase, consistent with March. Over the past year, shelter costs rose by 5.5%, the
California properties located near wildfire-prone areas have experienced much slower appreciation compared to other regions. The state is currently facing a significant home insurance crisis, with numerous companies either withdrawing from the market or reducing coverage in areas susceptible to wildfires. In May 2023, major insurers State Farm and Allstate announced they would no longer
The journey to stabilize the U.S. housing market faces hurdles, with a modest recovery in home sales and inventories countered by high mortgage rates impacting affordability. Despite increased listings, pending home sales only rose slightly, around 5% to 7% higher than last year through March 2024. Examining broader housing indicators reveals consistent trends, indicating the
Time’s ticking for Californians aiming to buy their first home with a little financial boost this year. The California Dream for All program, a hit since its launch last year, is set for a comeback on April 3. It offers first-time buyers a chance to shave up to 20% off their down payment costs, with
In 1978, California passed Proposition 13, a major change to real estate tax law. It set a cap on property taxes at 1% of a property’s assessed value and limited yearly increases to no more than 2%. This was done to keep property owners from facing huge tax increases when property values shot up. Proposition
In California’s buzzing real estate market, staying alert is key because, alongside genuine deals, there are scams waiting to trap unwary buyers and renters. With its attractive property market, California draws in not just people looking to buy or rent but also scammers aiming to take advantage. It’s crucial to be aware and cautious, as
Are you considering getting into the California vacation property market? Well, you’re looking at one of the most lively real estate sectors in the US. With its sunny beaches, sprawling vineyards, and snow-capped mountains, California is a dream destination for millions of tourists, but it’s also a gold mine for potential investors. In this article,
