Market Conditions
Market Conditions
Remodeling Spending To Tick Up Through Mid-2025
The Leading Indicator of Remodeling Activity report says things will trend up after a modest downturn
NAHB
NAHB: Remodelers Face Challenges and Opportunities
Remodelers face a uniquely strong market yet remain challenged by codes and costs
NAHB
NAHB Announces Action Plan for Housing Affordability
Six of the proposed 10 action items are important to residential remodelers
Market Conditions
Metros with the Highest and Lowest Remodel ROI
First-time homebuyers can find fixer-upper listings priced between 5 to 10% lower than move-in ready homes. The high return on investment of these projects shows that remodeling remains a strong option to navigate the current housing market
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Group urges regulators to create standards for mortgage-servicing industry
A group of analysts, academics and investors signed a letter urging regulators to create nationals standards for the mortgage servicing industry, the Wall Street Journal reported.
Rising mortgage rates cause surge in first-time buyers
Rising mortgage interest rates have reignited first-time home buyers’ interest in purchasing a home over the last several months, UPI reported. The rates for 30-year fixed-rate mortgages began to rise from record lows this fall, increasing from 4.17 percent to 4.83 percent between November and December.
Americans maintain positive attitude about homeownership
Despite the recent housing crisis, most Americans still desire to own a home, but their attitudes may not line up with financial realities, CNN reported. A survey by Fannie Mae found that more 51 percent of people polled said the housing crisis did not change their desires to buy a home. Twenty-seven percent said that they were even more likely to buy because of the crisis.
Construction material prices rise nearly five percent since last year
Construction material prices have risen in the last year, while finished-building price indexes remained flat, adding additional financial stress to builders and contractors already facing the effects of high unemployment. An analysis by the Associated General Contractors of America reported that material prices rose 0.5 percent in November and 4.8 percent in the last year. The producer price indexes rose 0.4 percent in November, and 3.5 percent in the last year.
Report: Mortgage modification program won’t meet goals
New congressional report says program will fall well short of original target
NAHB survey: Builder confidence remains flat
Builder confidence in new single-family homes remained flat in December, according to the National Association of Homebuilders (NAHB)/Wells Fargo Housing Market Index. The index remained at 16, the same as in November.
Negative equity drops for third straight quarter
The number of residential properties with mortgages in negative equity in the U.S. dropped in the third quarter of 2010, marking the third quarter in a row the rate has decreased. CoreLogic reported that 10.8 million, or 22.5 percent, of residential properties were in negative equity at the end of the third quarter.
Increase in foreclosures expected in 2011
Foreclosures are expected to peak in 2011, but the long-term forecast is improving, according to a report by the Wall Street Journal. According to Rick Sharga of RealtyTrac, an online marketplace for foreclosed properties, the number of foreclosures in 2011 will top both 2009 and 2010, which had 900,000 and 1.2 million bank repossessions, respectively.
Bank of America restarts nearly 16,000 foreclosures
Bank of America Corp. announced that it restarted nearly 16,000 foreclosure cases last week, according to a report by the Wall Street Journal. The bank’s foreclosure attorneys prepared 7,800 new affidavits for cases in states the require court approval for foreclosures, and lifted holds on 8,000 cases in states that do not need court approval. The bank froze 102,000 foreclosure sales earlier this year.
IHS Global forecasts flat construction spending next year
IHS Global, a firm specializing in economic and financial information, predicts that construction spending in 2011 will be flat, according to its Fourth Quarter U.S. Construction Briefing. Although overall spending fell 8.3 percent in 2010, the report predicts that gains in the residential and commercial sectors will help it level.