Mortgage rates surged for the fourth straight week, rising to 4.67% from 3.76% in the first week of March 2022, significantly increasing borrowing costs for buyers.
With differences in buying power, family situations, and priorities, home buyers from different generations are purchasing very different homes.
Prices of multifamily properties and industrial properties rose at the strongest pace by over 10% year-over-year while sales prices on retail and office properties rose at a modest pace of less than 5%.
February 2022’s pending home sales pace declined 4.1% last month and fell 5.4% from a year ago.
The 30-year fixed mortgage rate surged to 4.42% from 4.16% the previous week. With rates having increased by 1.2% since the beginning of the year, the typical homebuyer needs to spend $250 more every month to be able to purchase a home.
The retail vacancy rate declined throughout 2021 and ended Q4 2021 at 4.7%, down from the previous quarter's 4.8%. Retail vacancy as of Q1 2022 is down to 4.5%.
Buyer competition intensified in February 2022, with an average of nearly five offers for every home sold.
Mortgage rates jumped above 4% to their highest level since April 2019, with the 30-year fixed mortgage rate rising to 4.16% from 3.85% the previous week.
Retail sales recorded a seasonally adjusted total of $658.1 billion in February, an increase of 0.3% from January 2022.
At the national level, housing affordability fell in January compared to the previous month, and the monthly mortgage payment increased by 3.4%.
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