RE Rundown (7/9/20)

Homebuyer mortgage demand spikes 33% as rates set another record low

Despite the record-low ⬇️ supply of homes for sale, mortgage applications to purchase a home spiked ⬆️ 33% from a year ago (per the Mortgage Bankers Association’s index). Buyers are getting the help they need, but the bigger question is how long this will last.

Housing Rebound During Pandemic Exposes The Wealth Divide

People with low-income jobs in industries like services and hospitality were more severely affected by coronavirus shutdowns, and it’s showing the housing market 🏠. High-income homebuyers are taking advantage of low mortgage rates, while things have only gotten worse for low-income workers.

Consumers, especially renters, are feeling much better about buying a home

According to the Fannie Mae survey, the share of consumers who think it’s a good time to buy a home increased ↗️ from 52% to 61% from last month. Many still believe it’s a bad time to sell 👎, but the recent rebound in home purchase activity left consumers optimistic.

Foreign Home Buying Dries Up, Easing the Way for Domestic Buyers

The uncertainty surrounding the pandemic has scared away many foreign investors 😟. Homeowners in major coastal cities like New York and LA may be disappointed, but local buyers can let out a sigh of relief 😅.

The Most Valuable Cities in America Ranked

A refresher on where major cities stand in their residential real estate value, per LendingTree. New York, LA, San Francisco, Chicago, and D.C make the top 5. New York’s $2.8 trillion value just edges the UK’s GDP in 2019 🤯.