Most home buyers need a loan to buy a house, which makes access to credit a potentially important factor in the home buying process – even if it isn’t as closely followed as the ups-and-downs of home prices and mortgage rates. The Mortgage Bankers Association follows access to credit, though, and its monthly Mortgage Credit Availability Index gives potential borrowers a look at whether lending standards are loosening or tightening. In September, the index fell 0.5 percent on a scale where any decline indicates standards have tightened. Joel Kan, MBA’s vice president and deputy chief economist, says economic uncertainty has credit restrained. “Mortgage credit availability tightened slightly in September as lenders remained cautious in this uncertain economic environment,” Kan said. According to Kan, there was a decline in some loan programs for cash-out refinances and jumbo loans but the government index saw an increase due to more VA streamline refinances. (source)

Home builders have a unique perspective on the housing market. After all, their success depends on being able to know what buyers want, where they want it, and when. That’s why the National Association of Home Builders’ monthly Housing Market Index – which measures builder confidence in the market for newly built, single-family homes – is a closely watched barometer of market health. If builders feel good about their prospects, chances are the market is in good shape. The index is scored on a scale where any number above 50 indicates more builders view conditions as good than poor. In October, it saw its second-consecutive monthly improvement, rising to 43 from 41 the month before – with the index component measuring expectations for the next six months up four points to 57. Carl Harris, NAHB’s chairman, says builders feel good about 2025. “While housing affordability remains low, builders are feeling more optimistic about 2025 market conditions,” Harris said. (source)

Fannie Mae’s Economic and Strategic Research Group releases a monthly outlook forecasting what the group believes is ahead for the economy and housing market. In October, the group says the economy is stronger than expected and should slow less than previously thought. The housing market, on the other hand, still depends a lot upon whether – and when – current homeowners decide to move. Doug Duncan, Fannie Mae’s senior vice president and chief economist, says affordability levels hinge on homeowners. “The timing of the long-expected pick-up in home sales activity, as well as a further moderation in home price appreciation, will depend in part on the willingness of current homeowners to relinquish their low mortgage rates by offering their homes for sale,” Duncan said. “Of course, continued strong homebuilding activity will also play a significant role as the shortage of national housing stock remains the primary impediment to affordability.” In other words, as more homes become available for sale – both old and new – buyers will begin to see better deals. (source)

Demand for mortgage applications slowed last week from one week earlier, according to new data from the Mortgage Bankers Association. The MBA’s Weekly Applications Survey found application demand down 17 percent week-over-week as average mortgage rates continued to move higher after several late-summer declines. Joel Kan, MBA’s vice president and deputy chief economist, says rates were up for the third straight week. “Mortgage rates moved higher for the third consecutive week, with the 30-year fixed rate increasing to … its highest level since August,” Kan said. Rates were up across all loan categories, including 30-year fixed-rate loans with both conforming and jumbo balances, loans backed by the Federal Housing Administration, 15-year fixed-rate loans, and 5/1 ARMs. Still, even at a two-month high, rates remain significantly lower than they were earlier this year. The MBA’s weekly survey has been conducted since 1990 and covers 75 percent of all retail residential mortgage applications. (source)

It’s election season again and America’s pundits and prognosticators are scouring the polls attempting to predict the outcome. But while there’s a lot of talk about the candidates and their positions, there is one potential factor that doesn’t get as much airtime: interstate movers. That’s right. Americans moving from one state to another could affect the results of this and future elections, according to a new analysis from the National Association of Realtors’ consumer website. Danielle Hale, the website’s chief economist, says even small changes can have an impact. “As more people move across state lines, their voting habits could have the potential to sway election outcomes, especially in crucial swing states, where even small changes in the electorate can tip the scales,” Hale said. Alaska, Colorado, Illinois, Minnesota, New York, and Ohio are among the states the report pinpoints as possibly having a changed electorate since 2020. (source)

The typical home buyer calculating the costs of homeownership doesn’t spend as much time thinking about insurance premiums as they do mortgage rates and home prices. After all, the cost of homeowners insurance is relatively small when compared to the big-ticket items buyers have to consider. Still, after recent storms in the Southeast, homeowners insurance is becoming a hot topic. Mostly, Americans are concerned about the availability and cost of insurance in areas affected by severe weather – which, of course, is everywhere at one time or another. According to a recently conducted survey, 23 percent of respondents believe their insurance premiums will rise as a result of recent storms and 13 percent say they believe it will be harder for them to get insurance at all. Of course, due to the hurricanes, those numbers were higher in the South, where 32 percent said they believe they’ll see higher premiums and 20 percent said they worry they’ll be unable to get insurance. Wherever you are, though, it’s worth thinking about, especially if you’re a soon-to-be buyer calculating the potential costs of owning a home. (source)

There are going to be necessary touchups, fixes, and upgrades anytime you sell a house. If you’re lucky, they’ll mostly be cosmetic, easily resolved, and affordable. After all, it’s never fun putting money into a house you’re about to leave. That’s why it should come as a relief to potential sellers that there’s one job anyone can do to improve their home’s curb appeal – and it costs nothing. So what it is it? Well, six in 10 recently surveyed real estate agents said a messy yard decreases a property’s value – and not by a little. In fact, those agents said it could drop a property’s value by 20 percent or more. That means the easiest and cheapest way to get your home ready to sell is to clear the yard of trash, discarded building materials, extra cars, and overgrown landscaping. Regardless of the market you’re in, keeping your home’s exterior neat and clean is the easiest and cheapest way to make a good first impression on buyers. (source)