A strong and sustained job recovery, years of net domestic in-migration even during the pandemic, and the relative affordability of rental housing in these markets compared to other markets are drawing workers, businesses, and retirees.
December 2021's pending home sales pace declined 3.8% from the previous month and fell 6.9% from a year ago.
Mortgage rates didn’t change much this week after moving upwards for the last 5 straight weeks. The 30-year fixed mortgage rate fell to 3.55% from 3.56% the previous week.
The economy (gross domestic production) expanded at a stronger annualized pace of 6.9% in the fourth quarter. Today's GDP number is a crucial indicator that shows the economy is on a path towards full employment.
In 2020, the share of young adults aged 25 to 34 living at home grew to the highest share recorded since 1960. Regardless of the reason, living with family may provide a benefit to potential first-time home buyers.
The fraction of buyers who are waiving appraisal and inspection contract contingencies has been trending downwards in recent months, with REALTORS® saying that 19% of buyers waived the inspection contingency in December 2021, down from 27% in July, and 21% waived the appraisal contingency, down from 29% in June.
In spite of the increased spread of the omicron variant in the closing weeks of 2021, retail property fundamentals continued to improve. In Q4 2021, retail net absorption was close to the year's high (recorded in Q3 2021) as vacancy decreased to a pre-pandemic low and asking rents for retail space increased.
Housing market activity in December fell 4.6% month-over-month. However, 6.12 million existing homes were sold in 2021, the highest level since 2006.
Florida is arguably the hottest commercial real estate market in 2021 Q4, boasting eight of the top 15 commercial real estate markets.
Mortgage rates surged for the third straight week of the new year, with the 30-year fixed mortgage rate rising to 3.56% from 3.11% in the last week of 2021, a 45-basis point (0.45%) increase in less than a month.
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