Homebuyers getting less than 5% rate

The Real Estate Professional’s Secret Weapon - Land id™

• Discover extensive nationwide private parcel & ownership data

• Create & share powerful, interactive maps of any property

• Mobile Apps: Find property data on the go

Try Free For 7 Days Today

New here? Join the newsletter (it's free).

Housing Market Trends in October link

• The number of homes actively for sale continues to be elevated compared with last year, growing by 29.2%, a twelfth straight month of growth, and is now highest since December 2019.

• The total number of unsold homes, including homes that are under contract, increased by 22.5% compared with last year.

• Home sellers increased their listing activity in October, with 4.9% more homes newly listed on the market compared with last year, but this was sharply down from last month as mortgage rates rose to two month highs. 

• September’s increase in new listings is strongly correlated with a rise in pending listings across the largest U.S. markets in October, such as Seattle, Boston, and San Diego.

• The median price of homes for sale this October was flat compared with last year, at $424,950, however, the median price per square foot grew by 2.1%, indicating that the inventory of smaller and more affordable homes continues to grow in share.

• Homes spent 58 days on the market, the slowest October in five years. This is eight days more than last year and three more days than last month.

• The share of listings with price cuts was unchanged from last year, with 18.6% of sellers cutting prices in the month of October.

• Home prices in swing states mirror home prices in red states much more than blue states since the last election, tending to be about 30-40% less expensive than blue states on a per square foot basis but 10-20% more expensive than red states.

Typical U.S. homebuyer more likely to be older, single and a woman link

• The median age for a U.S. homebuyer hit 56, driven by younger buyers being priced out and older owners leveraging home equity. First-time buyers now average 38 years old.

• Single women now make up about 20% of buyers, compared to just 8% for single men, marking a notable demographic shift.

• High costs have pushed the share of first-time buyers to 24%, a record low, while median incomes needed for first-time purchases rose by $26,000 to $97,000 over two years.

Home sales are up over last year link

• The median age for first-time homebuyers in the U.S. has risen to 38, an all-time high, up three years from 2023. This shift is largely due to rising home prices and the need for higher incomes and larger down payments.

• First-time buyers made up only 24% of home sales, a drop from 32% last year and the lowest percentage recorded since 1981. Housing shortages, high rent, and competition with wealthier buyers make entering the market harder for younger adults.

• A lack of affordable housing has intensified the issue, with a nationwide shortage of 4 million homes pushing prices higher. Despite slight increases in construction, high demand and limited supply continue to exert pressure on home prices.

Class A Retail Spaces in High Demand as National Chains Seek Smaller Footprints link

• Retail has strengthened significantly over the last six months, with rental growth and better yield positioning in multiple markets. Oxford Economics reports rental growth returning in many areas after years of stagnation, with stock per capita down as incomes recover.

• Class A centers are attracting more high-credit national chains, often displacing smaller local tenants who cannot match the security packages. Local businesses are being pushed to prove concepts in less desirable locations before moving up to prime spaces.

• National chains are experimenting with smaller spaces that blend in-store and online shopping, making them attractive to landlords needing tenants with strong finances. Smaller retailers still play a critical role in many centers by drawing loyal shoppers that enhance overall foot traffic.

Apartment Supply Peaks in Houston

• Houston delivered over 25,000 apartment units by mid-2024, marking its highest annual total since the 1980s. By the third quarter, annual deliveries declined slightly to 24,900 units, with further reductions expected in coming years.

• Annual supply in Houston has averaged around 16,700 units from 2014 to 2024, almost double the previous decade's average of 9,200 units. This trend will reverse, with projected annual deliveries dropping to around 13,400 units in the next three years, eventually falling below 10,000 by late 2026.

• Among Houston’s submarkets, Katy led with over 3,000 units completed last year, surpassing completion volumes in major markets like Greensboro, Pittsburgh, and Memphis. Other submarkets, including Rosenberg/Richmond and Spring/Tomball, also had high completion rates, with over 2,000 units each.

Latest CBRE Multifamily Trends Report

Malls Are Getting Attractive

Why Californians are moving to Arizona

Latest Opportunity Zones Trends

An interesting trend amongst those who fled to the suburbs during the Pandemic.

List of Proptech Startups That Just Got Funded

Who Spends the Most Time on Social Media?

What do you think the inside looks like?

Link to the listing

That's all folks. Let me know what you think of the email. Quite a lot went into it. If these emails aren't for you anymore, you can unsubscribe here.

Cheers,

Vidit

Instagram

P.S - Read past newsletters here