Key Points: Comparing the pace of home sales today to past decades without considering the growing number of households is misleading. Existing-home sales as a percentage of total households have declined to early 1990s levels, just above 3 percent, and well below the long-run average of 4.1 percent. The number of new-home sales as a percentage of ... Read More ›

Key Points: Affordability started the year poorly, but preliminary February data shows some improvement due to lower mortgage rates, slower price appreciation, and rising incomes. Price growth, a key driver of affordability trends, is a function of supply and demand dynamics in the housing market, which can be measured in months' supply. Months' ... Read More ›

Key Points: National affordability improved on an annual basis in December. If mortgage rates ease to 6.5 percent by the end of the year, income growth trends lower but remains positive, and nominal house price growth moderates, affordability will improve a modest 2 percent by the end of the year. Even with a potential 2 percent improvement by ... Read More ›

Key Points: Affordability fell by 4 percent on a month-over-month basis, the second consecutive month of decline. Yet affordability remains improved on an annual basis. Housing supply has increased nationally and in 49 of the top 50 markets we track on a year-over-year basis. As more homes are listed for sale, the power dynamics can shift in favor ... Read More ›

Key Points: Affordability fell by 2.6 percent on a month-over-month basis, snapping a four-month streak of improving affordability. House-buying power declined by more than $14,000 due to the increase in mortgage rates since October. If the average mortgage rate decreases to the year-end consensus industry forecast of 6.2 percent and annual house ... Read More ›

Key Points: National affordability improved on an annual basis for the second consecutive month yet remains low historically. In deciding whether to rent or own, it’s important to remember the wealth-building power of equity accumulation. Even homeowners who bought at the height of the housing boom in 2006 have gained $169,000 in equity, while ... Read More ›