Money Market

July 22, 2020

Press Release: Q2 2020 Buyer Purchasing Power Index rises due to historically low interest rates

The California Buyer Purchasing Power Index (BPPI) figure was +10.5 in June 2020. This positive figure tells us a homebuyer with the same income is able to borrow 10.5% more today than a year ago. The BPPI figure has remained positive throughout 2019-2020 as a result of ...

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July 17, 2020

Current market rates July 17, 2020

The average 30-year fixed rate mortgage (FRM) rate descended to another record low in the week ending July 17, 2020, now at 2.98%.The 15-year FRM rate also decreased to 2.48%. FRM rates have descended to historic lows due to efforts to stimulate lending during today’s unstable economic ...

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July 7, 2020

National Market Update Week of July 6, 2020

National Market Update

The National Association of Realtors Pending Home Sales index of contracts signed on existing homes surged 44.3% in May, its biggest gain since 2001. All regions were up, though the overall index is still down a smidge annually.

The NAR chief economist: “The outlook has significantly ...

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June 22, 2020

Spotting appraisal deficiencies

number 2 pencil

For home sales contingent on financing, the appraisal has the potential to derail the entire sale — or validate the price, cinching mortgage approval.

When an appraisal comes in below the price the buyer and seller agree to, this is known as a low appraisal. The mortgage lender will not ...

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June 15, 2020

National Market Update Week of June 15, 2020

The Mortgage Bankers Association pegged purchase applications up for the eighth straight week, coming in 13% higher than a year ago, noting “the recovery in the purchase market continues to gain steam.”

On a deep dive since March, Fannie Mae’s Home Purchase Sentiment Index finally turned higher ...

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June 9, 2020

Will home prices remain inflated in 2020, despite the recession?

supply and demand signs

As job losses pile on and home sales slow, it’s becoming clear that California real estate professionals have a front row seat to the 2020 recession.

31% fewer home sales occurred in April 2020 compared to the same month a year earlier, translating to a significant drop of 12,000 ...

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May 18, 2020

National Market Update Week of May 18, 2020


The housing market nationally is picking up. Zillow reports new listings grew 5.9% week-over-week, with the hard hit highest price tier up 8%. New listings are still down annually, but have gained now three weeks in a row.

Also growing smaller are the year-over-year declines ...

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April 20, 2020

National Market Update Week of April 20, 2020


March Housing Starts fell 22.3%, their biggest monthly drop since 1984, as builders cut activities, uncertain about buyer demand, supply chains, and social distancing with work crews. Here's more on COVID-19's effect on the report.

Yet the year began so well, starts are still ...

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April 13, 2020

National Market Update Week of April 13, 2020


Mortgage rates are now near historical lows. Freddie Mac's latest Primary Mortgage Market Survey reports the national 30-year fixed mortgage rate is almost a full percentage point lower than a year ago.

In spite of the slowdown, deals are getting done thanks to technology. 34 ...

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April 7, 2020

National Market Update Week of April 6, 2020


While we wait for our miracle, the index of contracts signed on existing homes, Pending Home Sales, rose 2.4% in February, up now two months in a row. This bodes well for existing home sales closing in March and April.
In addition to Fannie Mae ...
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