Home Construction Starts Fuel Economic Growth

CNNMoney surveyed a large group of economists and over half agreed that the housing market is fueling the economy this year and promoting further growth. Keith Hembre, Chief economist at Nuveen Asset Management, a company offering institutional investment expertise said, “Homebuilding activity will likely remain the strongest growing component of the economy in 2013.” Home sales showed the largest gain in 5 years last year while home construction starts jumped to the highest levels since the recession. More here

Home-Price Index Shows Largest Gain Since 2006

National home prices experienced the largest increase since 2006 at the end of last year according to the S&P Dow Jones. The Case-Shiller and S&P Dow price-index showed home prices climb 5.9% last year in their 10-city index, while the 20-city index showed an annual gain of 6.8%. David Blitzer, the Chairman of the Index Committee at S&P Dow Jones said, “Home prices ended 2012 with solid gains.” More here

December Home Prices Jump 5.8%

According to the latest home-price index from Lender Processing Services, home prices on average increased to $207,000 in December 2012, a 5.8% jump from the previous year. The Lender Processing Services survey included 16,000 U.S. zip codes. The company also learned that out of the five major U.S states, four saw higher home prices from 2011. Home prices increased 0.1% from November to December 2012, a 0.1% gain. More here

Positive Home Equity Rates Expected To Grow

More homeowners are building home equity according to a new report from Zillow. A decreasing number of homeowners owe more than their homes are worth this year, and the numbers are expected to drop even lower throughout 2013. Last year almost 2-million homeowners reached home equity in 2012, and 2013 has been forecasted to look even more productive with nearly 1 million more to add. Delinquency rates also dropped to 7.09 by the end of 2012. More here

Homebuyers Increase Demand

Existing home sales in January  increased 0.4% from last month and 9.1% from last year. The number of available homes dropped 4.9% from December and experienced a significant decrease from last year at 25.3%. Homebuyers have caused the lowest supply of housing since 2005, good news for a demanding housing market. The National Association of Realtors chief economist,  Lawrence Yun said, “buyer traffic is continuing to pick up, while seller traffic is holding steady.” More here

Single-Family Housing Units Soar

Future home-building permits have increased to a 4 1/2 year high and single-family units have soared to the highest level seen since the middle of 2008. In comparison, multi-family unit housing has started the month of January slightly sluggish according to the Commerce Department, but single-family units are making up for whatever loss the housing market may experience, helping continue to grow the market and remain on the right track. More here

Housing Market Holds Bright Future

According to the United States 2nd-best performing home-building supply company, Brookfield Residential Properties Inc, America is just at the beginning of the housing market recovery, making way for a positive future. Interest rates remain low, and home-building stocks have increasingly grown while the job market continues to show improvement. The President of Baskin Financial Services, David Baskin, said,”no surprise, new homes are being built again and prices are recovering in some of the depressed markets.” More here

Foreclosure Rates Down 28% From Last Year

Experts are expecting foreclosure rates to continue to dwindle down and eventually reach a point where they will no longer be a threat to the recovering economy. Foreclosure rates have dropped over the previous two years, and new foreclosure rates have decreased 28% from last year. RealtyTrac released their most recent report showing that in January new foreclosure initiation rates dropped 11%. More here

Loan Remods May Increase

A large number of loans that go through a remodification process do it 30 months after the last modification, according to research conducted by the Barclays Securitised Research Team. Barclays found that prime loan remods have a higher performance level than loan subprime remods, as the second re-modification is usually not an easy process for the consumer. The report said, “as bank loans get transferred to Ocwen and Nationstar servicing, the rate of remods will likely go up.” More here

Homebuilder and Lumber Industries Lead Housing Market Stock

According to Morningstar, an independent company providing investment research, the lumber industry has jumped to 74% while home improvement stores came in at 55%. Homebuilders reached 77% taking the lead in the housing stock market last year. Michael Magiera, Manager at Manning and Napier, a real estate investing firm, suggested that last year’s positive trends were the housing markets come-back from the slump we saw during the recession. More here