Comparing 2024 Housing Data to 2011. Some surprising insights!

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These Cities Score High for Renter Appeal link

• Charleston, SC topped the list due to its strong local economy, affordability, lower cost of living, and career opportunities. The city's spacious apartments, quality schools, abundant green spaces, and active social life boosted its ranking.

• Atlanta, GA, known for its career-focused mindset and numerous entrepreneurship opportunities, also offers a lower cost of living than the national average. The city has large, high-end apartments and various social involvement opportunities.

• Sarasota, FL is praised for its perfect work/life balance, while McKinney, TX ranks high for its low cost of living and small-town feel. Scottsdale, AZ and Gilbert, AZ lead in the West, with Boise, Denver, and Salt Lake City also ranking well.

Apartments Taking Longer to Rent link

• The national rental vacancy rate has been steady at 6.6% for the past nine months, the highest since 2021. This suggests an ongoing oversupply in the rental market.

• Redfin reports that renters need an income of $66,120 to afford the median-priced apartment, which is $11,408 more than what the typical U.S. renter earns. This affordability gap is contributing to the slower rental absorption rate.

• Less than 50% of newly constructed apartments in Q4 2023 were rented within three months, a drop from 60% the previous year. This marks the lowest rate of absorption apart from the pandemic period in early 2020.

Housing affordability reaches lowest point in more than three decades: link

• Housing affordability declined by 9% year-over-year, driven by a 5.9% increase in nominal home prices and a 0.6% rise in the 30-year fixed mortgage rate. This marks the worst affordability in over three decades.

• Despite steady job growth and a 4.1% increase in hourly wages, affordability remains constrained. If current trends continue, affordability will be 45% worse than in February 2022.

• West Virginia saw the highest year-over-year increase in the Real House Price Index at 23.2%, followed by Illinois (16%) and Rhode Island (15.6%). Memphis led among metros with an 18% increase.

The health of the housing market: Comparing 2024 data to 2011 link

• Underwater homes have drastically decreased from 23.1% in 2010 to 1.8% in 2024. This improvement provides a cushion for homeowners during potential economic downturns, reducing the risk of foreclosures.

• Days on market for home sales have significantly improved from over 100 days in 2011 to just 24 days in 2024. This indicates a healthier housing market with quicker transactions despite low home sales.

• New listings have plummeted from 396,955 in 2011 to 70,606 in 2024. This drop reflects the impact of a previous credit bust and the current market's tighter conditions.

U.S. National Industrial Trends  

This Asset Class is on Track for a $275B Investment Shortage.

This Market Emerges as a HOT Industrial Performer

This is the Most Overvalued Housing Market in the US 

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Style or ran out of money?

Link to the listing

That's all, folks.

Cheers,

Vidit

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