Monday, January 29, 2024 / by Richard Eimers
By Christopher Rugaber
A soft landing – inflation falling back to the Fed’s target without a recession – could make it easier for the Fed to cut its key interest rates.
WASHINGTON — The Federal Reserve’s preferred inflation gauge cooled further last month even as the economy kept growing briskly, a trend sure to be welcomed at the White House as President Joe Biden seeks re-election in a race that could pivot on his economic stewardship.
Friday’s government report showed that prices rose just 0.2% from November to December, a pace consistent with pre-pandemic levels and barely above the Fed's 2% annual target. Measured from a year earlier, prices increased 2.6%.
Excluding volatile food and energy costs, so-called “core” prices rose just 0.2% from month to month and 2.9% from a year earlier — the smallest such rise since March 2021. Economists consider core prices a better gauge of the likely path of inflation.
The latest ...
Thursday, January 25, 2024 / by Richard Eimers
In 2023, the real estate market faced challenges, witnessing a decline in home sales due to higher borrowing costs and soaring home prices, marking the steepest slowdown since the 2008 recession. Aspiring homebuyers found themselves priced out of the market, while hesitant sellers held back, resulting in a notable drop in listings.
Relief in Sight
There's optimism on the horizon as the Federal Reserve, in December, signaled an end to interest rate hikes and hinted at a potential 0.75% rate cut in the coming year. Although mortgages don't mirror the federal funds rate directly, they typically follow the same trend, hinting at the possibility of more affordable home loans.
Home Prices Stability
Despite high mortgage rates, U.S. property values ended 2023 higher, with some regions experiencing appreciation while others saw declines. Analysts attribute this to a nationwide housing shortage, emphasizing the delicate balance between low demand and low supply. Forecasts for 2024 vary, but ...
Thursday, December 21, 2023 / by Richard Eimers
Discover the opulent world of rock-and-pop icon Rod Stewart as he lists his magnificent Beverly Hills estate for $70 million. This 28,500-square-foot mansion, nestled in the prestigious North Beverly Park neighborhood, offers unparalleled luxury.
Luxurious Features: The expansive great room boasts a hand-painted bar, French doors leading to a covered patio, and Versailles-like decor, designed by renowned architect Richard Landry. Indulge in the gourmet kitchen, tea room, and stunning den, complemented by intricate marble floors and ornate molding.
Enjoy a screening theater, tennis court, and outdoor spaces with fireplaces and barbecue, perfect for gatherings.
Elegant Living Spaces:
The primary suite features a spacious sitting area, balcony, and dual bathrooms with distinct aesthetics.
Global Icon's Farewell:
Rod Stewart, with over 250 million records sold worldwide, is bidding farewell in style, currently on a farewell tou ...
Monday, December 18, 2023 / by Richard Eimers
By Jessica Lautz
NAR also said 2024 will see stronger sales activity, calling it great news for buyers and sellers.
CHICAGO – For the first time since August, interest rates for a 30-year fixed mortgage have dropped below 7%, hitting 6.95% this week. This brings the monthly mortgage payment for a home priced at $400,000 to $2,118. This is down from a recent high this Autumn of 7.79% and yields a monthly savings of $183 and $2,196 annually for the same $400,000 home.
The Fed indicated yesterday they will hold the Fed Funds Rate steady for now and cut rates three times in 2024. This is all welcome news for potential home buyers and sellers, as mortgage interest rates will decrease. NAR forecasts that mortgage interest rates will average 6.3% in 2024.
While the lock-in effect of higher mortgage rates has stalled the real estate market in 2023, the momentum is moving in the right direction for stronger sales activity in 2024. Will it be a traditional Spring real estate market ...
Monday, September 11, 2023 / by Richard Eimers
However, the 30-year fixed-rate mortgage remains near the 22-year high it hit three weeks ago. Last week, it was 7.18%.
LOS ANGELES (AP) – The average long-term U.S. mortgage rate fell again this week but remains near the 22-year high it hit three weeks ago, offering little relief for house hunters facing persistently high prices and a near-historic low number of homes for sale.
Mortgage buyer Freddie Mac said Thursday that the average rate on the benchmark 30-year home loan fell to 7.12% from 7.18% last week. A year ago, the rate averaged 5.89%.
The average rate on 15-year fixed-rate mortgages, popular with those refinancing their homes, fell to 6.52% from 6.55% last week. A year ago, it averaged 5.16%, Freddie Mac said.
High rates can add hundreds of dollars a month in costs for borrowers, limiting how much they can afford in a market already unaffordable to many Americans. They also discourage homeowners who locked in low rates two years a ...