What the Historic Mortgage Rate Drop Means for Affordability

By Mark Fleming on July 27, 2020
As the coronavirus pandemic continues to wreak havoc on global and domestic economies, housing has thus far proven resilient, managing a V-shaped recovery from the low point reached in April. The strong rebound is largely a result of two dynamics that existed before the pandemic and have continued or even gained strength in the last few months. Read More

Interest Rates Real House Price Index Affordability

Will Low Mortgage Rates Prevent Decline in Affordability this Summer?

By Mark Fleming on June 30, 2020
The economic fallout and impacts to the housing market from the pandemic appeared to peak in April. The number of existing-home sales fell 18 percent relative to March, housing starts fell 26 percent, and the supply of homes available for sale approached record lows. While historically low mortgage rates made it more affordable for those with ... Read More

Interest Rates Real House Price Index Affordability

Why Housing Overvaluation is Not as Prevalent as Many Believe

By Mark Fleming on May 22, 2020
In March, data began to reveal the depth of the impact from the pandemic on the housing market. The number of existing-home sales fell 8.5 percent relative to February, and the number of new listings continued to dwindle. While historically low mortgage rates make it more affordable for those with stable incomes to buy a home, tightening credit ... Read More

Interest Rates Real House Price Index Affordability

Has House Price Appreciation Reached a Tipping Point?

By Mark Fleming on April 27, 2020
As the coronavirus outbreak continues to affect the domestic and global economy, the housing market has shown that it is not immune to its impact. In March, the number of existing-home sales fell 8.5 percent relative to February, and the number of new listings continued to dwindle. While mortgage rates have fallen due to the current economic ... Read More

Interest Rates Real House Price Index Affordability

Why the Housing Market May Weather Coronavirus Impact Better Than the Great Recession

By Mark Fleming on March 31, 2020
As we are all too aware, the coronavirus outbreak has taken hold of the domestic and global economy. The housing market is not immune to its impact but may be in a better position than many believe. Recent data shows that weekly unemployment claims soared to a record, which will, in turn, work to depress household incomes and consumer confidence. ... Read More

Interest Rates Real House Price Index Affordability

Where Wages Grow, Affordability Follows

By Mark Fleming on February 24, 2020
As 2019 came to a close, potential home buyers received a year-end gift as affordability improved relative to one year ago. Two of the three key drivers of the Real House Price Index (RHPI), household income and mortgage rates, swung in favor of increased affordability in December. Read More

Interest Rates Real House Price Index Affordability