News in end use

According to the S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index, which covers all nine U.S. Census divisions, home prices experienced a 13.2% annual gain in March 2021, up from 12% in the previous month. The 10-City Composite annual increase came in at 12.8%, up from 11.7% in the previous month.

The latest Mortgage Banker Association’s (MBA) Forbearance and Call Survey reports that the total number of loans now in forbearance decreased by 3 basis points from 4.22% of servicers’ portfolio volume in the prior week to 4.19% as of May 16, 2021. According to MBA’s estimate, 2.1 million homeowners are in forbearance plans.

The Conference Board, a non-partisan, not-for-profit think tank founded in 1916, released today (5-25-21) their Consumer Confidence Index® (CCI) for May 2021. The CCI held steady in May following gains in April and a strong monthly gain in March. The Index now stands at 117.2 (1985=100), down slightly from 117.5 in April.

On Friday (5-21-21), the Canadian Dollar rose against its U.S. counterpart as investors worries about U.S. inflation eased, while Canadian domestic data showed retail sales climbing in March and the Canadian Dollar moving close to a six-year high — established earlier in the week and completing its eighth straight weekly advances.

According to Redfin, the Seattle-based technology-powered real estate brokerage, 50% of homes sold during the four weeks ending May 16, 2020 sold above their listing price. Year-over-year, this is an increase of 23 percentage points. During the four-week period, prices hit a record high of $352,975 and were up 24% year over year, also a record.

On Thursday (5-20-21), Canadian financial regulators confirmed a new benchmark qualifying rate for uninsured borrowers would become effective on June 1, 2021. This occurred after the central bank earlier issued it strongest comments yet on the country’s red-hot housing market. Consultations with lenders over the move were launched in April.

The National Association of Realtors® (NAR) is reporting that total existing home sales — which are completed transactions for single-family homes, townhomes, condominiums and co-ops — declined in April for the third consecutive month, down -2.7% below March, to a seasonally adjusted rate at 5.85 million homes. Year-over-year sales are up 33.9% (4.37 million in April 2020).

Fannie Mae’s Economic and Strategic Group (ESR) has revised several of its 2021 forecasts. A full month of sub 3% mortgage rates, ongoing housing market supply constraints, and a 300% increase in lumber pricing over the past 15-months prompted the forecast revision.

Statistic Canada (StatsCan) is reporting that new home prices at the national level increased 1.9% in April. Prices were up in 22 of the 27 census metropolitan areas surveyed. Continuing increases in construction costs pushed home prices higher in April. In Q1 of 2021, single-family home costs increased by 6.8%, while townhouses rose 6.9%.

According to Redfin, the Seattle-based technology powered real estate brokerage, the national median home-sale price hit a record high in April of $370,528 — up 22% year-over-year. April 2021 set other new records as well.