According to the National Association of Realtors, the number of U.S. homes listed for sale saw the largest decline in 13 months, primarily due to the increase in mortgage rates, the inability of builders to supply demand and the overall cost of the average home nationwide.
Inventory shortages nationwide are having a significant negative impact on the number of transactions, including those new home listings, which also fell 23% from 2022, representing the 10th consecutive month of double-digit declines.
According to the Mortgage Bankers Association, the average rate for the popular 30-year fixed mortgage fell for the third straight week to 6.73% from 6.77%.
Applications to refinance homes also decreased from the prior week by 2% and were down 40% from the same week in 2022.
On the application front, there was a 2% increase of applications for the week but still were down by 32% year-over-year.
Even though the market is somewhat stabilized in terms of week-to-week purchases and listings, the higher interest rates are still keeping many first-time buyers at bay.
The number of mortgage applications to purchase newly-built homes increased by 17% this past May as compared with May 2022. Also single-family housing starts surged by 18.5% in May as compared with April according to the U.S. Census.
If you have any questions about this information or title insurance, please contact Ralph Aponte: 732.914.1400.
Counsellors Title Agency, www.counsellorstitle.net, founded in 1996, is one of New Jersey’s most respected title agencies, serving all 21 New Jersey counties with title insurance, clearing title, escrow, tidelands searches, and closing and settlement services for commercial or industrial properties, waterfront properties and marinas, condominiums, townhouses or residential single-family homes. Counsellors Title also features its own Attorney Settlement Assistance Program™ [ASAP], which is an individual resource customized to fit the needs specifically of real estate attorneys, including, Documentation, Preparation, Disbursement of Funds, Attendance at Closing, HUD Preparation or Post-Closing Matters.
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