“If you look across the U.S. economy right now, there are only a handful of industries looking at 20-30% growth over the next 4-5 years, and housing is one of those.” – John Burns @CNN Money
“News from the housing sector is more positive, with various indicators showing continued momentum toward a sustainable, long-term recovery. Notably, home prices are inching back into positive territory on a year-over-year basis. Results from our September National Housing Survey also show consumers’ home price change expectations have remained positive for nearly a year.” – Fannie Mae Chief Economist
Fannie Mae’s October Economic and Housing Outlook is confident on housing recovery momentum. The Economic and Strategic Research wing expects total home sales to rise approximately 9% this year from last year’s depressed levels, and total forecast refinance originations are $1.8 trillion in 2012, a 20% increase from last year.
The US Census Bureau reported an extremely positive trend, a 15% increase in Housing Starts for the month of September 2012. That is 34.8% increase on the year-over-year basis to a rate of 872,000 homes and 82% increase from 2009 bottom levels. Single-family housing starts are at an annual rate of 603,000, a 42.9% increase on the year-over-year basis.
THE NAHB HOUSING MARKET INDEX
The NAHB Housing Market Index climbed to 41, its highest level since 2006. The index is a sign of increased Builder Confidence. The index continued to improve for Midwest, West, and South and remained unchanged for Northeast regions of the country.
MEDIAN HOME PRICES
According to September 2012 Real Estate Data report released by the National Association of Realtors, the national median existing-home price for all housing types was $183,900 in September, up 11.3% from a year ago. The median age of inventory decreased by 11.21% compared to one year ago. Total housing inventory at the end September fell 3.3% to 2.32 million existing homes available for sale. According to the NAR chief Economist, the lower inventories and higher median list prices suggest that the housing market ending the 2012 home-buying season is in better shape than it was a year ago.
The median list prices in HomeUnion® cash flow zones are listed as follows – it is to be noted that certified quality properties from HomeUnion® are selling at well below market prices:
September US Retail Sales jumped 1.1% and Industrial production increased by 0.4%.
Manufacturing output increased by 0.2%, utilities by 1.5% and mining output by 0.9% in September.
According to a report released by AOL Real Estate, a Bloomberg survey shows that the Federal Government policies have clearly helped mortgage lenders like JP Morgan Chase, Wells Fargo, US Banc Corp and Bank of America and these four players are supposed to report $10.8 billion in profits in the third quarter. Consumers refinanced $305 billion of home loans from July through September.