Berkshire Hathaway HomeServices Northwest Real Estate Federal Way & Puyallup

It goes without saying that the country, and the world, is navigating unprecedented circumstances. While the issues before us are very real and demand an intentional approach to healthy precautionary measures, life continues, which means there are customers that still have real estate needs that require a trusted advisor as a guide through the process more than ever before. The Mortgage Bankers Association reported  This Week in Real Estate   that mortgage applications rose 55% last week from the prior week and refinances rose to an almost 11-year high.  Below  are a few highlights from the  second week of March  that influence our business:   *  COVID-19 Beginning to Affect Real Estate, But It’s Not All Bad News .   The National Association of Realtors (NAR) conducted a flash survey on March 9 and 10 among its members to find how their customers were reacting .  Realtors reported that there has been only minimal cha...

The labor market started the new year with a solid gain as the number of residential construction jobs realized the largest growth in the past twelve months while the unemployment rate still hovers around a 50-year low. As jobs go so goes consumer confidence. According to Fannie Mae’s Home Purchase Sentiment Index  This Week in Real Estate  the net share of Americans who say it is a good time to buy is 14 points higher than in January of 2019 .  Below  are a few highlights from the  first week of February  that influence our business: *  A Strong Start for 2020 .   The labor market started the new year with a solid gain. Total payroll employment increased by 225,000 and the unemployment rate was 3.6% in January; still near a 50-year low. Employment in the overall construction sector increased by 44,000 in January. The number of residential construction jobs increased by 20,200 in January. It marks the largest gain in the past tw...

According to Freddie Mac  This Week in Real Estate  first-time homebuyers, generation Z homebuyers and single female homebuyers have taken full advantage of the fifty-year low in unemployment and low mortgage rates. Forty-Six percent (46%) of all loans Freddie Mac has purchased this year came from first-time homebuyers, while there has been a 200% and 500% increase in Gen Z and single female homebuyers, respectively.  Below  are a few highlights from the second week of October that influence our business: *  Labor Costs Likely to Push Home Prices Higher.  In an article in CoreLogic's Insights blog, Nothaft quotes National Association of Home Builder (NAHB) figures that say about 60 percent of a new home's sales price reflects the construction costs of the home. The major components of building costs are those associated with purchasing and preparing a lot, acquiring permits and inspections, hiring labor and buying materials. ...

While American’s average credit score has never been better as reported by FICO  This Week in Real Estate , conversations swirl around the notion of interest rates dropping to zero following the President’s ask of the Federal Reserve.  Below  are a   few highlights from the  second week  of  September  that influence our business : *  Could Mortgage Rates Really Drop to Zero.  President Donald Trump has called on the U.S. Federal Reserve to drop interest rates to zero, or even negative, at its next meeting on September 17. That has sparked several discussions this week on how that could impact the housing market .  For one, that could mean cheaper mortgages for home buyers, housing analysts say. While the Fed’s benchmark rate does not have a direct influence on mortgage rates, it does often influence them. “If the federal rates go down to zero, mortgage rates could drop from 3.56% for a 30-year fixed-rate loan, as...

The Federal Reserve Bank of New York reported  This Week in Real Estate  that mortgage debt reached a record high in the second quarter. Despite the higher debt loads the report found the percentage of mortgage balances that are current is at its highest level of the current expansion, fueled by tighter lending standards and more prudent consumer behavior.  Below  are a few highlights from the  second week  of  August  that influence our business : *  Single-Family Starts Continue Improvement in July.  A ccording to estimates from the U.S. Housing and Urban Development and Commerce Department, the pace of single-family construction continued to improve in July. After reaching a post-winter low annualized rate of 814,000 in April, single-family starts expanded to an 876,000 pace in July, a 1.3% gain over the revised June estimate. However, single-family starts remain 3.3% lower on a year-to-date basis due to slower ...

Here are four reasons to consider buying today instead of waiting. 1. Prices Will Continue to Rise CoreLogic’s  latest  U.S. Home Price Insights  reports that home prices have appreciated by 3.7% over the last 12 months. The same report predicts that prices will continue to increase at a rate of 4.8% over the next year. Home values will continue to appreciate. Waiting may no longer makes sense. 2. Mortgage Interest Rates Are Projected to Increase Freddie Mac’s  Primary Mortgage Market Survey  shows that interest rates for a 30-year fixed rate mortgage have started to level off around 4.3%. Most experts predict that rates will rise over the next 12 months. The Mortgage Bankers Association, Fannie Mae, Freddie Mac, and the National Association of Realtors  are in unison, projecting rates will increase by this time next year. An increase in rates will impact YOUR monthly mortgage payment. A year from now, your housing expense will increase if a ...

According to a report from CoreLogic  This Week in Real Estate ,   as the pace of home price appreciation has decelerated so too has the percentage of homes selling at or above asking price. At the end of Q1 this year the percentage of homes selling at or above list price was 31.1% compared to 40% in Q2 2018.  Below  are a   few highlights from the  last week  of  May  that influence our business : *  Share of Homes Selling at or Above List Price Returning to Normal Levels.  Ten years after the financial crisis, the national CoreLogic Home Price Index (HPI®) has exceeded its pre-crisis peak and continues to grow but at a slower pace. With home prices reaching many homebuyers’ budget limits, the share of homes selling at or above list price has returned to normal levels. The share of homes selling at or above list price has returned to early 2000 levels. In Q2 2018 that share peaked at more than 40% of total sa...