The US Census Bureau reported on Thursday that privately‐owned housing starts in May were at a seasonally adjusted annual rate of 1,549,000; this is -14.4% below the revised April estimate of 1,810,000 and is -3.5% below the May 2021 rate of 1,605,000. Single-family housing starts in May were at a rate of 1,051,000.
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Canadian Home Sales Slow Further in May 2022
The Canadian Real Estate Association reported on Tuesdaythat national homes sales recorded over Canadian MLS® Systems declined by -8.6% between April and May. This builds on a larger drop recorded in April, leaving monthly activity at pre-COVID levels recorded in the second half of 2019 and only slightly above the 10-year average.
Mortgage Rates Surge Higher in the Week Ending June 16, 2022
Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending June 16, 2022. The PMMS reports that the 30-year fixed-rate mortgage averaged 5.78% with an average 0.9 point, up from last week when it averaged 5.23%. This is the largest one week increase since 1987.
Weekly Jobless Claims Inch Lower in the Week Ending June 11, 2022
The U.S. Department of Labor is reporting that an additional 229,000 Americans (seasonally adjusted) made their initial filing for unemployment benefits during the week ending on Saturday, June 11, 2022. This is a decline of 3,000 from the previous week’s revised level. The 4-week moving average was 218,500.
Canadian Housing Starts Trend Lower in May 2022
According to the Canada Mortgage and Housing Corporation, the trend in housing starts in May were at 254,727 units, down from April’s reported 257,833 units. The trend measure is a six-month average of the monthly seasonally adjusted annual rates (SAAR) of housing starts.
Mortgage Applications Jump 6.6% in the Week Ending June 10, 2022
According to data from the Mortgage Bankers Association’s Weekly Mortgage Application Survey, for the week ending June 10, 2022, the Market Composite Index (a measure of mortgage loan application volume) increased 6.6% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index increased 17.0%.
Builder Confidence Slips for Sixth Consecutive Month in June 2022
The National Association of Home Builders/Wells Fargo Housing Market Index (HMI) reported on Wednesday that builder sentiment in the market for newly built single-family homes fell 2 points lower in June to a reading of 67. This is the sixth consecutive month that builder sentiment has declined, and it is at its lowest level since June 2020.
Mortgage Delinquency Rates Declined Further in March 2022
According to CoreLogic’s latest loan performance report, which was released on Tuesday, approximately 2.7% of all mortgages in the U.S. were delinquent in March—a new historic low for the report. Year-over-year, it is a decline of -2.2% from the 4.9% posted in March of 2021. All 50 states posted annual declines.
Producer Price Index for Final Demand Edges 0.8% Higher in May 2022—Up 10.8% Year-Over-Year
The Bureau of Labor Statistics reported today that the Producer Price Index for final demand, seasonally adjusted, increased 0.8% in May. This rise followed advances of 0.4% in April, 1.6% in March, 1.1% in February, and 1.2% in January. On an unadjusted basis, final demand prices moved up 10.8% for the 12 months ending in May.
Realtor.com Updates its 2022 Home Buying Forecast
Realtor.com has updated its 2022 home buying forecast to better account for rising inflation and mortgage rates. The update predicts that home inventory will grow double-digits above 2021, which in turn will offer buyers a better-than-expected chance of finding a home. The forecast anticipates a summer break from the intense pace of home sales.