Economic Center Blog
Welcome to the First American Economic Center Blog, a top source for the latest housing market research and analysis driven by Chief Economist Mark Fleming.

How Can Housing Affordability Improve During Periods Of Economic Decline When House Prices Rise

By Mark Fleming on September 28, 2020

Affordability improved in July as two of the three key drivers of the Real House Price Index (RHPI), household income and mortgage rates, swung in favor of increased affordability, outpacing the rise in nominal house price appreciation. The average 30-year, fixed mortgage rate fell by 0.75 percentage points and household income increased 5.5...

Read More

Topics: Interest Rates Real House Price Index Affordability

Housing Market Potential Reaches Highest Level Since 2007

By Mark Fleming on September 21, 2020

Since hitting a low point during the initial stages of the pandemic, the only major industry to display immunity to the economic impacts of the coronavirus is the housing market. Housing has experienced a strong V-shaped recovery and is now exceeding pre-pandemic levels. This is largely because the economic distress from the pandemic has...

Read More

Topics: Interest Rates Potential Home Sales tenure

How Rising House Prices Could Impact Down Payment Size

By Odeta Kushi on September 17, 2020

After hitting a low point in the spring, the housing market has rebounded strongly during the pandemic. Historically low mortgage rates have fueled demand and increased home buyers’ purchasing power amid an ongoing housing supply shortage. The widening imbalance between housing supply and demand has pushed house prices higher. Some now fear...

Read More

Topics: Affordability Homeownership

Interview With HousingWire: Economics Of The Housing Market’s Recovery And What’s Next

By FirstAm Editor on September 10, 2020

First American Deputy Chief Economist Odeta Kushi was interviewed on HousingWire’s Housing News podcast earlier this month and discussed her perspective on the forces powering the housing market’s V-shaped recovery and what may be in store for the rest of the year.

Read More

Topics: Housing In The News

The Silver Lining For Cities With The Most Homeowner Distress

By Odeta Kushi on September 3, 2020

Based on our analysis last month, a wave of foreclosures similar to levels seen during the Great Recession is unlikely to occur despite the continuing economic hardship caused by the COVID-19 pandemic. Homeowners are in a much better position to weather this crisis, in part because household equity is near a three-decade high, negating one of...

Read More

Topics: Affordable housing Homeownership

Where Housing Affordability Is Declining The Most

By Mark Fleming on August 24, 2020

The coronavirus pandemic continues to wreak havoc on global and domestic economies, yet housing has thus far managed an impressive V-shaped recovery. Housing’s strong rebound has been driven by several factors that existed before the coronavirus outbreak but have continued or even gained strength amid the pandemic. Mortgage rates are even lower...

Read More

Topics: Interest Rates Real House Price Index Affordability