Housing starts fell dropped a lot further than forecasted, declining to a seasonally adjusted annual rate of 1,060,000 in October, the largest monthly decline since February. And according to a chief economist, housing demand is only expected to decrease in the future.
“Not only do owners of formerly distressed homes have damaged credit for an extended time, but to purchase again, mortgages must now be obtained amidst an abundance of new, more stringent credit restrictions,” said Piegza.
Jobless claims plummeted by 19,000 filings to 284,000 for the week ended July 19, the lowest level for initial claims since Feb. 18, 2006. But it's what is hidden behind the numbers that is important to note.
Mark your calendar. First quarter earnings season is just days away with Wells Fargo and JPMorgan Chase leading the way. And while there was a lot of optimism, early indicators don’t show much support for it.
Several reports were released Tuesday that implied continued success for home prices in the U.S. — a sure sign that the housing market is back on its feet. The Federal Housing Administration home price index and the Standard & Poor’s/Case-Shiller HPI, both came out with relatively positive data.
Brickman takes to helm of one of the largest mortgage companies in the U.S. today, and while times at the government-sponsored enterprise are filled with uncertainty, Brickman sees nothing but excitement for the future of Freddie Mac.
When buying a home, many Americans consider a 20% down payment to be the norm, the ideal amount of money to put down to get a conventional mortgage with no private mortgage insurance and to keep monthly payments reasonably affordable.