Making a living as a realtor, which has never been easy, is becoming increasingly difficult. A record numbers of them are scrambling to broker a dwindling number of available properties in a hot market as housing prices continue to rebound from recession-era lows. Membership in the National Association of Realtors topped 1.3 million in 2017, its highest level since the real estate market bubble burst a decade ago (the association's members are called realtors). At the same time, however, the supply of homes for sale has contracted for more than two years as millennials, now the largest generation, enter their prime home-buying years. According to real estate brokerage firm Redfin, 607,836 homes were for sale in February, down from 754,160 in September 2017. Not surprisingly, tight supplies are pushing up prices. Real median home prices surged 29 percent between 2000 and 2016 and remain on a tear. Data from Redfin shows median home prices were $286,000 in … [Read more...] about A booming housing market has realtors in a bind
Housing market bubble
Investors cooling on housing market
(MoneyWatch) Rising home prices appears to be discouraging some real estate investors from putting money in the sector. The number of investment properties purchased last year fell 2.1 percent to 1.21 million, from 1.23 million in 2011, according to the National Association of Realtors. These institutional investors also make up a smaller number of overall home buyers, dropping to 24 percent in 2012, from 27 percent the previous year. Still, while that figure is shrinking, investment buyers still make a larger-than-normal percentage of home sales. "Investors have been very active in the market over the past two years, attracted mostly by discounted foreclosures that could be quickly turned into profitable rentals," said Lawrence Yun, chief economist for the trade group, in a statement. "With rising prices and limited inventory, notably in the low price ranges, investors are likely to step back in coming years." Investor purchases have helped clear these homes from the market, … [Read more...] about Investors cooling on housing market
The housing market’s one problem could be a doozy
WASHINGTON - U.S. home sales are climbing. Prices are rising, too. So the outlook for the housing market is golden, right? Not entirely. A series of reports released Tuesday pointed to potential cracks in the foundations of America's residential real estate market. On the one hand, job growth and low mortgage rates have fueled demand and boosted sales to levels that were last glimpsed in the waning months of the housing bubble nine years ago. Those gains could spur more construction and additional spending on furniture and renovations that could help lift the economy. Yet the number of homes for sale has fallen. With demand for homes up and supply down, prices have risen faster than incomes. Because many homes have become unaffordable for would-be buyers, further gains may be unsustainable. "The real takeaway from the numbers is that despite demand being high, the future is looking somewhat muted for homebuyers," said Ralph McLaughlin, chief economist at the real … [Read more...] about The housing market’s one problem could be a doozy
Rising housing market lifts builders, home goods retailers
NEW YORK - A new report from the U.S. that showed Americans are snapping up homes at a pace not seen since the housing bust-fueled recession pushed the trading of shares of all companies affiliated with the sector into overdrive Tuesday. The Commerce Department reported that new home sales jumped 16.6 percent last month to a seasonally adjusted rate of 619,000, up from a revised total of 531,000 in March. A mix of steady job gains and historically low mortgage rates are bringing more Americans back into a housing market even as rising prices put many properties out of range. Sales of existing homes, which make up 90 percent of the housing market, rose in April for a second straight month to an annual pace of 5.45 million, a figure consistent with a solid economy. That's the highest level since January 2008, when the U.S. was teetering into the worst economic downturn since the Great Depression. While there has been talk about the possibility of a second housing bubble bursting as it … [Read more...] about Rising housing market lifts builders, home goods retailers
“Red-hot housing market” missing one thing: Houses for sale
Last Updated Apr 25, 2017 9:23 PM EDT SAN FRANCISCO -- In today’s sizzling housing market, the first challenge for prospective buyers like Lisa Swelha is simply finding houses for sale. “Inventory is just so low right now that we just don’t have very many things to go look at that are suited,” Swelha said.Buying a home in 2017? Here’s what to expectHow will U.S. home prices fare in 2017?Across the country, there is a rush to buy. In 2011, houses for sale were on the market an average 84 days. This year, it’s just 45 days.“We have more buyers currently than we do homes for sale -- supply and demand -- you have a strong seller’s market,” Swelha’s real estate agent, Cindy Wilson, says.In Point Richmond, California, where Wilson has listings, prices have almost recovered from their steep fall in 2008. Nationally, prices in February were up 5.8 percent, the sharpest rise in more than two-and-a-half years.Sharp spikes … [Read more...] about “Red-hot housing market” missing one thing: Houses for sale