This Week in Real Estate: Oct. 10, 2016

image001
The summer housing market saw high demand next to rising home prices, but don’t expect Fall to bring any relief according to new data This Week in Real Estate from Realtor.com. In fact, analysts believe it could bring the hottest Fall in a decade. Below are a few highlights from the first week of October that influence our business:

* NAR Forecasts Heated Housing Market in 2017. Predictions from the National Association of Realtors, the Mortgage Bankers Association, Fannie Mae and Freddie Mac show that home sales are going to heat up in 2017, according to a blog by NAR. NAR predicted existing home sales will reach 6 million in 2017, an increase from this year’s forecast of 5.8 million, according to the blog. MBA predicted home sales will reach 5.75 million and Fannie and Freddie Forecast home sales will come in at 6.2 million.
Full Story…  http://www.housingwire.com/articles/38205-nar-forecasts-heated-housing-market-in-2017?eid=322520585&bid=1549805

* FBR: Mortgage Lending Set For Best Quarter Since 2007. Less than one month ago, the analysts of FBR & Co. predicted that 2016 could prove to be the best year for mortgage lending since 2013, but a new report from those same analysts suggests that 2016 could be even stronger than they predicted. Driving FBR’s increased projection is a strong 3rd quarter, which could prove to be the best for mortgage lending since the 4th quarter of 2007. In the new report, FBR analysts state that they currently estimate that mortgage originations will top $600 billion in the third quarter, topping their previous estimate of $565 billion. If mortgage originations do indeed exceed $600 billion, that would mean that the 3rd quarter of 2016 is the best quarter for mortgage lending in nearly nine years. And with a stronger than expected 3rd quarter boosting 2016’s originations, FBR’s analysts are now projecting 2016’s total origination volume to top $2 trillion, an increase from the $1.9 trillion they projected last month. The analysts noted that the trailing four-quarter purchase average jumped to $241 billion, the highest level since the 3rd quarter of 2007.
Full Story…  http://www.housingwire.com/articles/38222-fbr-mortgage-lending-set-for-best-quarter-since-2007?eid=322520585&bid=1549805

* CoreLogic Expects Home Prices to Peak in 2017. “Home prices are now just 6% below the nominal peak reached in April 2006,” said CoreLogic Chief Economist Frank Nothaft. “With prices forecasted to increase 5% over the next year, prices will be back to their peak level in 2017.” The HPI Forecast shows that home prices will increase by 5.3% annually by August 2017, and increased 0.4% from August to September. The CoreLogic HPI Forecast is a projection of home prices using the CoreLogic HPI and other economic variables. Values are derived from state-level forecasts by weighting indices according to the number of owner-occupied households for each state. “Housing values continue to rise briskly on stronger fundamental and investor-fueled demand, as well as lack of adequate supply,” said CoreLogic President and CEO Anand Nallathambi.
Full Story…  http://www.corelogic.com/about-us/news/corelogic-us-home-price-report-shows-prices-up-6.2-percent-year-over-year-in-august-2016.aspx

Have a productive week!

Jason
 

Leave a Reply

*

©2016 BHH Affiliates, LLC. An independently operated subsidiary of HomeServices of America, Inc., a Berkshire Hathaway affiliate, and a franchisee of BHH Affiliates, LLC. Berkshire Hathaway HomeServices and the Berkshire Hathaway HomeServices symbol are registered service marks of HomeServices of America, Inc. Equal Housing Opportunity.