Mortgage Tech Demo Day

In a half-day format, technology companies will demo their platforms and answer questions. You can tune in for the whole demo day, or strategically drop in on sessions to learn about specific solutions.

DOJ v. NAR and the ethics of real estate commissions

Today’s HousingWire Daily features the first-ever episode of Houses in Motion. We discuss the Department of Justice’s recent move to withdraw from a settlement agreement with the NAR.

Hopes for generational investment in housing fade in DC

Despite a Democratic majority, the likelihood of a massive investment in housing via a $3.5 trillion social infrastructure package appears slim these days. HW+ Premium Content

Road to the one-click mortgage

This white paper will outline how leveraging a credential-based data provider can save money for lenders, reduce friction for borrowers, speed time to close, and overall bring lenders one step closer to a one-click mortgage.

Real Estate

Freddie Mac: August forecast shows affordability hinders growth

Supply and demand deter prospective homebuyers

Home sales growth is expected to slow through the remainder of the year, as a lack of affordability and supply contribute to a continual slowdown, according to Freddie Mac’s August Forecast.

During the second quarter of 2018, the U.S. economy grew at its fastest pace within the last four years, according to the report. However, housing activity played a limited role in this growth.

New home construction, existing-home sales and sales of new homes declined last quarter, due to homebuilder challenges including limited inventory and steady price gains, according to Freddie Mac.

Furthermore, recent data collected from the National Association of Home Builders/Wells Fargo Housing Opportunity Index revealed housing affordability has now reached a 10-year low in the second quarter of 2018.

Freddie Mac Chief Economist Sam Khater said the housing market hit some speed bumps this summer, as pricy homes and mortgage rates continue to hinder prospective homebuyers.

Khater said these challenges were predominantly seen in expensive markets out West, where demand and sales were dampened due to weakening affordability.

The forecast predicts inventory constraints will ease with a moderate rise in housing starts, but still expects market conditions to remain relatively unchanged.

Freddie Mac said that limited inventory is continuing to impact home sales and prices. Home sales are predicted to modestly increase to 6.14 million, according to the forecast.

Mortgage rates are expected to average 4.6% for the rest of 2018. Slower home sales growth and decreasing refinance activity are expected to cause single-family first-lien mortgage originations to fall 8% to $1.66 trillion this year.

Lastly, the labor market and the U.S. economy are expected to climb 2.8% this quarter and 2.7% this year, ultimately increasing consumer spending and business investment.

“The good news is that the economy and labor market are very healthy right now, and mortgage rates, after surging earlier this year, have stabilized in recent months, Khater said. “These factors should continue to create solid buyer demand, and ultimately an uptick in sales, in most parts of the country in the months ahead.”

Most Popular Articles

How the Delta variant may impact the housing market

How should you look at data on the housing market to tell if things are returning to normal? HousingWire’s lead analyst answers. HW+ Premium Content

Jul 29, 2021 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please