NAR's Remodeling Impact Report examines the reasons a homeowner remodels, the outcome of taking on projects, and the increase in happiness at project completion.
Inventory remains in tight supply, which means homes are still moving at a fast pace despite the recent rise in rates and home prices; the median days on the market is just 14 days.
According to Freddie Mac, the 30-year fixed mortgage rate rose to 5.55% from 5.13% the previous week. With rates are nearly three percentage points higher than a year ago, buyers need to spend about $720 more monthly for the median-priced home.
NAR released a summary of pending home sales data showing that July's pending home sales pace weakened 1.0% last month and fell 19.9% from a year ago. The last time the index was that low was April of 2020 during the pandemic, and the index was 71.6.
In July 2022, existing-home sales fell month-over-month for the sixth consecutive time, reaching a 4.81 million seasonally adjusted annual rate, and fell 20.2% from July 2021.
Construction starts of both single-family and multifamily housing units fell in July 2022.
The monthly mortgage payment increased by 5.3% in June 2022, compared to the prior month, while the median family income increased by 1.4%.
National median prices rose 14.2% year over year to $413,500, rising above $400,000 for the first time.
Some recent potential home buyers who were pushed out of the market may now be able to get back in and qualify for a mortgage.
Matt Christopherson, Senior Research Analyst, talks about the report's essential findings and main takeaways.
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