With remote and hybrid workstyles bolstered by the continuing pandemic, demand for office space continues to be on the decline except in secondary cities.
The intense multi-bidding seen during the summer is simmering down, due in part to a seasonal decline, but also because first-time buyers are stepping away due to the lack of affordable homes.
The U.S. Census Bureau has released a new experimental Monthly State Retail Sales (MSRS) data product that combines monthly retail trade survey data, administrative data, and third-party data that features modeled state-level retail sales.
Housing market activity this August declined 2.0% from July 2021, and weakened 1.5% from August 2020.
According to the finance mortgage provider Freddie Mac, the 30-year fixed mortgage rate rose slightly to 2.88% from 2.86% the previous week. NAR forecasts the 30-year fixed mortgage rate to reach 3.5% by mid-2022.
Total housing starts and housing permits made decent gains in August compared to the month prior, but the focus was on multifamily units.
Homeownership is a key pathway to building wealth and narrowing the racial income and wealth inequality gap. Housing wealth (equity) accumulation takes time, and is built up by price appreciation and paying off the mortgage.
Retail sales recorded a seasonally adjusted total of $618.7 billion in August 2021, a 0.7% increase from July.
NAR expects rates to inch higher, reaching 3.5% by mid-2022 as the Fed will likely start reducing its bond purchases before the end of the year and raising interest rates in mid-2022.
Over the last 12 months consumer prices rose 5.3% compared to 5.4% in both July and June 2021.
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