THE MENSER REAL ESTATE GROUP BLOG
Good News for Homebuyers
The inventory shortage, high prices and rising interest rates have finally bitten.
Single-family home sales fell sharply by 16.6% in April to a seasonally adjusted annualized rate of 591,000, according to the latest Census Bureau data.
That was the slowest rate of sales since April 2020 during the earliest days of the COVID-19 pandemic, offering respite for buyers that the market is cooling.
What’s more, new home sales in March were revised downward significantly from 763,000 to 709,000, the Census Bureau said.
“The new home sales report released today by the Census Bureau clearly points to a housing market that has turned,” said Doug Duncan, chief economist at Fannie Mae.
Mortgage rates have risen 200 basis points since the end of 2021, putting pressure on existing home sales, mortgage applications, and homebuilder confidence, he said.
‘A sharper downturn in residential investment is now underway, and we will likely be revising downward our near-term home sales forecast.
Doug Duncan, chief economist at Fannie “However, today’s new home sales report is the sharpest indicator yet, with sales coming in well below both our own and consensus expectations,” Duncan said.
”The sales pace in April was similar in level to the slowdown that occurred the last time the Federal Reserve engaged in a tightening regimen in 2018,” he added.
”A sharper downturn in residential investment is now underway,” the Fannie Mae FNMA economist said, adding that he’ll revise downward his own sales projections.
A separate report released last Tuesday by Realtor.com suggested that people are prepared to buy and sell homes at ”more approachable price points.”
George Ratiu, senior economist and manager of economic research at Realtor.com, said the report “offers hope” for seller-buyers.
The Dow Jones Industrial Index DJIA, S&P 500 SPX and Nasdaq Composite COMP all closed higher on Friday, ending eight straight weeks of declines.
If you’ve been waiting for the prices to take a downturn, now is your time! With our lock and shop program you can lock in your interest rate while shopping for your home! Call me, I’d love to help you get your loan process started! Scott Rojo, United Wholesale Lending, 916-548-3942.
May 2022 - Luxury Market Report for Placer County
View the real estate market data for Placer County California luxury homes for May 2022.
May 2022 - Luxury Market Report for Sacramento County
View the real estate market data for Sacramento County California luxury homes for May 2022.
Big Reforms from Fannie Mae and Freddie Mac
Fannie Mae and Freddie Mac are implementing big reforms aimed at helping disadvantaged communities become homeowners and making sure homebuyers of color stay owners.
The initiative from the two federally backed home mortgage companies announced last Wednesday is the most sweeping overhaul since the housing crash in 2008. Some of the big-ticket items exclusively reviewed by USA TODAY include assistance with down payments, reserve funding for homeowners' emergencies and Fannie Mae and Freddie Mac are also rolling out a new credit reporting system that factors rent payments into creditworthiness scores, one of the biggest systemic barriers experts say keep renters of color from being able to purchase a The three-year strategy also laid out plans to increase fairness in the underwriting process, address appraisal disparities in multifamily housing, and finance permanent supportive housing programs primarily geared at providing housing for people experiencing homelessness.
Help is on the way
As part of the effort, Freddie Mac is expected to issue $3 billion in affordable housing bonds this year.
By 2024, Freddie Mac wants to fund the construction of 30,000 new multifamily units that allow credit-building for renters, accept housing choice vouchers and are designed inclusively for people with disabilities. They want to make the credit-building program available to 300,000 units.
The lender also wants to finance loan offerings in underinvested communities and neighborhoods at risk of losing affordability.
The announcement from Fannie Mae and Freddie Mac comes as median home prices and rents across the country skyrocket.
In the first quarter of this year, the median price of a home reached a record $428,000, according to the Federal Reserve Economic Data database, known as FRED.
Rent year-over-year increases have soared 90% across the nation, the most recent analysis by Rent.com found. In some markets, such as Austin and Oklahoma City, rents have shot up more than 112%, two years after a pandemic recession put nearly 40 million people at risk for eviction.
A majority of Americans also believe it's a bad time to buy a house for the first time since 1978.
According to a new poll by Gallup, only 30% of U.S. adults said it was a good time to purchase a home, driven by an annual inflation rate that accelerated to 8.5% in March and interest rates for 30-year fixed mortgages that climbed above 5%, up from 3% in 2020.
Taken together, everyday Americans are looking for relief in a priced-out housing market that has exacerbated inequities.
If you’re interested in more information, I’m here to help. Call Scott Rojo at 916-548-3942.
Folsom Rodeo - July 1 - July 3
Friday
July 1
Saturday
July 2
Sunday
July 3
It's the 60th anniversary of the Folsom Pro Rodeo! In addition to wild rodeo action, the Folsom Pro Rodeo offers high-flying motocross, colorful Painted Ladies horse team showing off their skills to music, a silver dollar dig for those under 8 to hit the jackpot, nightly fireworks, and much, much more. It is a family-friendly event designed to celebrate American heritage and the nation's birthday!
Gates open at 6:00 PM and the Rodeo action starts at 7:15 PM.
Cost:
GENERAL ADMISSION - $29
FAMILY PACK OF FOUR TICKETS - $99
RESERVED ADMISSION - $39
CORRAL SEATING - $59 - Includes two beverages
GENERAL ADMISSION RODEO TICKETS - are also available at Handley's Western Wear and Lee's Feed! PLUS, if you purchase $75 of Wrangler merchandise at Handley's, Lees Feed, or Boot Barn locations - you'll receive a voucher for a FREE General Admission rodeo ticket!
FYI - PLEASE LEAVE THE FOLLOWING AT HOME:
1. Strollers are not allowed in the arena area. Bayside Church will be sponsoring a stroller "corral" just outside the gates.
2. Dogs/pets
3. Weapons (including concealed permitted guns)
4. Personal water bottles/outside food and beverages. A factory-sealed unopened bottle of water is allowed.
5. Noisemakers or posters/signs
6. No stadium chairs
El Dorado Hills Town Center Summer Concerts
Thursdays, June 16th - September 8th
7PM - 9PM
It is our favorite time of year again; concert season in El Dorado Hills! Below you will find a list of dates and bands. The event is held each Thursday (with exception of June 30th, it will be moved to Saturday, July 2nd, in celebration of Independence Day) at the Steven Young Amphitheater, near the pond. Make sure to get there early if you plan to dine at a nearby restaurant. If you plan to picnic, don’t forget to bring chairs or a blanket. These events are fun for the entire family!
DATES / BANDS
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Michael Furlong
Salute to Tom Petty -
Riff Raff
A High Voltage Tribute to AC/DC -
El Dorado Hill’s annual 4th of July Celebration - 6:00-11:00 pm
6:00-9:30 pm - Kids Zone (powered by Hands4Hope)
6:00-9:30 pm - Live Music in the Theater Plaza
8:00-11:00pm - Freedom Concert by Big Crush (10 piece Dance Band) in the Steven Young Amphitheater
9:30 pm - Fireworks by Pyro Spectaculars
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Mania
The Live Beatles Experience -
One of These Nights
Songs of the Eagles -
Joy & Madness
with Special Guest Shane Q -
Catch a Wave
The Beach Boys Show -
Island of Black & White
Rock, Reggae & Blues -
Kalimba
The Spirit of Earth, Wind & Fire -
CCSeger
Tribute to Bob Seger & CCR -
Nathan Owens
Motown & Soul Review(FYI, This is Stephani’s husband Ben’s favorite cover band!!)
-
Folsom Lake Symphony
-
Apple Z
Dance party music
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