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.

Does Education Really Lead To Greater Earning Power?

By Odeta Kushi on September 13, 2019

Whether it’s parents shuttling their children off to elementary school or students starting their final year of college, back-to-school season is here. We generally spend a minimum of 12 years as a student, more if you pursue a college degree. Along the way, we’re told that education is critical to your ability to earn a decent living.

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Topics: Millennials Education Homeownership

Where Do Renters Have An Edge In The Pursuit Of Homeownership?

By Odeta Kushi on September 5, 2019

Traditional measures of affordability can be misleading to potential first-time home buyers because they compare overall median household income with the income required to purchase a median-priced home. However, median household income includes existing homeowner households, which have significantly higher median income than renter households,...

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Topics: Housing Affordability Homeownership First-Time Home Buyer Outlook Report

What Does Increasing Tenure Length Mean For The Housing Market?

By Mark Fleming on August 20, 2019

The housing market essentially reached its potential in July 2019, as actual existing-home sales were 0.05 percent above the market’s potential. Existing-home sales in 2019 are running at a pace similar to 2015, even though rates have fallen and household income has increased this year. Housing market potential benefitted from a 10.6 percent...

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Topics: Interest Rates Federal Reserve Homeownership Potential Home Sales

Dispelling The Myth Of The 20 Percent Down Payment

By Odeta Kushi on August 6, 2019

Since hitting a low point of 63 percent in 2016, the homeownership rate has rebounded, largely driven by millennial households purchasing their first homes. Many surveys, like one by Bank of the West, indicate that millennials are no different from previous generations – they view homeownership as a main tenet of the American Dream.

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Topics: Millennials Affordability Homeownership

Why Lower Mortgage Rates Have Not Closed The Housing Market Performance Gap

By Mark Fleming on July 19, 2019

The housing market underperformed its potential in June 2019, as actual existing-home sales were 1.5 percent below the market’s potential. The market potential for existing-home sales increased 1.1 percent compared with May, according to our Potential Home Sales model.

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Topics: Interest Rates Federal Reserve Homeownership Potential Home Sales

How Has The Housing Market Changed Since The End Of The Great Recession?

By Odeta Kushi on July 3, 2019

June marked the 10-year anniversary of the end of the Great Recession. Amid Independence Day celebrations, assessing how the American dream of homeownership has fared since the recession can provide helpful context for the health of today’s housing market. We have assembled a set of housing metrics and compared their values today with what...

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Topics: Homeownership Progress Index Real House Price Index Affordability Homeownership