Greenway Mortgage Blog

Blog

MarketMinute | How are rates impacting home price growth?

May 31

6:28

AM

Category | Markets in a Minute

Revised Q1 GDP data showed slower economic growth than initially reported, as spending and inflation moved lower.

Unemployment benefits ticked higher to 219K, but underlying strength in the labor market still showed signs of persisting.

The Fed reported "slight or modest" economic expansion in most regions since April. Businesses grew "somewhat more pessimistic."

Housing News

The FHFA index showed sharply slowing house price growth in March, likely as rising mortgage rates weighed on demand.

Pending home sales fell to a 4-year low in April, down in all regions compared to both the previous month and last year.

Weekly mortgage demand dropped to a 3-month low last week. Purchase apps fell 1% for the week and 10% year over year.

MarketMinute | Inventory is up, but is it enough?

May 24

4:33

AM

Category | Markets in a Minute

According to minutes from last month's Fed meeting, officials believe current policy is restrictive enough to bring inflation down further.

May's PMI measure of private sector economic health topped estimates to hit its highest level since April 2022, led by the services segment.

New claims for unemployment benefits fell last week, as labor market strength continued to support the economy.

Housing News

Sales of previously owned homes fell 1.9% from March to April and at the same rate year over year.

First-time buyers were back in April, accounting for 33% of sales, up from 29% a year ago. Cash buyers represented 28% of transactions.

Total housing inventory at the end of April was up 9% month to month and 16% year over year but was still at just a 3.5-month supply.

MarketMinute | Home Sale Profits Are Up

May 17

5:56

AM

Category | Markets in a Minute

Consumer inflation data for April was slightly better than expected after coming in higher for 3 consecutive months, a good sign for rates.

Retail sales were unexpectedly flat in April, down from last month's 0.6% increase, an indicator that consumer spending may be losing momentum.

Jobless claims were slightly lower last week, but continuing claims — the number of people receiving benefits — rose to 1.79 million.

Housing News

Fewer homeowners are investing in renovations. After peaking in late 2022, the Leading Indicator of Remodeling Activity has steadily fallen.

Despite falling rates, purchase mortgage apps were down 2% for the week and 15% year over year.

Home sale profits have risen along with values. In 2023, nearly 8% of home sales yielded profits exceeding $500K, compared with about 3% in 2019.

MarketMinute | A better week for rates and apps

May 10

4:09

AM

Category | Markets in a Minute

The DJIA stretched its winning streak to 6 straight sessions this week, closing above 39K points for the first time in 5 weeks.

This year, consumers will borrow an estimated $334 billion through "buy now, pay later" loans, which often are not reported to credit agencies.

The May jobs report showed 175K new jobs in April, a 6-month low. Labor market declines open the door for the Fed to cut rates sooner in 2024.

Housing News

According to the New York Fed, renters put the probability of ever owning a home at a record low of 40.1%, a decrease from 44.4% a year ago.

NAR reports home prices trended up in 205 of 221 metro areas during the first quarter, with 30% experiencing double-digit gains.

Rates dipped last week, causing refinance apps to increase 5% for the week. Purchase apps rose 2% but were 17% lower than a year ago.

MarketMinute | Fed Rate Actions and Home Price Movement

May 3

5:58

AM

Category | Markets in a Minute

The Fed kept its policy rate unchanged at this week's FOMC meeting but kept alive hopes for at least one rate cut this year.

Job openings fell to a 3-year low in March, and fewer people quit their jobs. Declining labor market conditions could be good for rates.

Consumer confidence dropped to a 21-month low in April, falling for the 3rd straight month amid concerns about the cost of food and gas.

Housing News

The FHFA House Price Index climbed at a faster than expected 1.2% rate for the month in February, reversing a 0.1% decline in January.

Construction spending fell unexpectedly in March, though the acute housing shortage supports continuing activity.

The share of ARM applications rose to 7.8% of mortgage demand last week. Purchase apps fell 2% for the week and 14% from a year ago.