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Mortgage rates hit lowest level since February 2023 link

• The average rate for 30-year fixed-rate mortgages fell to 6.29%, the lowest since February 2023. This decrease is driven by cooling inflation, a slowing job market, and an anticipated Federal Reserve rate cut.

• Mortgage demand increased by just 1.4% for the week, showing that lower rates haven't significantly spurred buyers. Refinance applications are up 106% from last year, but they remain historically low due to many homeowners having sub-5% rates.

• Applications for home purchases rose 2% for the week but are still 3% lower than a year ago. Despite falling rates, affordability and limited inventory continue to hinder home-buying decisions.

US Household Net Worth Climbs to Record on Home Values, Stocks link

• U.S. household net worth grew by 1.7% in Q2 2024, reaching a record $163.8 trillion. This growth was primarily fueled by real estate, which contributed $1.75 trillion, marking the highest increase in a year.

• Stock market gains added $662 billion to household wealth, driven by optimism about corporate earnings and possible Federal Reserve interest rate cuts. Despite this increase in wealth, many households face financial strain due to inflation and slower wage growth.

• Business debt increased at an annualized rate of 3.8%, while consumer non-mortgage credit grew by 1.6%. Mortgage debt rose at a 3% pace, and state and local government debt grew by 6%, the highest rate since 2007.

Retail Distress: Bankruptcies & Store Closures So Far in 2024 link

• The retail CMBS special servicing rate has risen to 10.92%, significantly higher than the overall rate of 8.46%. This increase of over 150 basis points reflects the distress caused by store closures among key retail tenants.

• Big Lots is planning to close 550 stores, nearly 40% of its locations, as it faces declining demand and stiff competition from eCommerce. Despite heavy promotions with discounts up to 50%, it has struggled to maintain profitability amidst a struggling middle-class consumer base.

• LL Flooring and Conn's HomePlus have filed for bankruptcy, with LL Flooring closing 200+ stores and Conn's ceasing operations entirely. These closures signify the financial strain on home improvement and furniture retailers due to inflation, high mortgage rates, and shifting consumer behaviors.

NYC Apartment Renters Get Some Relief From Record-High Prices link

• Manhattan's median rent for new leases in August fell to $4,245, a 3.5% decrease from the same month last year. This marks the third annual decline in four months, hinting at a slight market cooldown after record highs in 2023.

• Rental prices in Brooklyn and Northwest Queens also dropped, with median rents decreasing by 5.2% and 9.2%, respectively. This shift offers more choices for renters as increased "churn" in the market leads to higher inventory.

• Despite the recent decline, Manhattan's median rent remains 21% higher than pre-pandemic levels in August 2019. Additionally, 20% of renters are still paying above the landlord's asking price, indicating persistent demand.

Huge majority of Dallas Fort Worth renters don't care about high-end amenities, new survey shows link

• A survey found that 82% of Dallas-Fort Worth renters are "utilitarian," prioritizing basics like rental costs (32%) and safety (27%) over amenities. Only 11% see perks like gyms and walking trails as their top priority.

• Location and space are more crucial, with 31% of renters citing space allocation as the most important factor, while 30% prefer location. Pet-friendliness and amenities were listed as a priority by less than 5% of renters.

• Despite the low emphasis on amenities, some developers continue to include them to add value. They believe features like coworking spaces, fitness centers, and high-end touches can help create a community feel and set properties apart.

What’s the buzz with Light Industrial Properties?

Over 50% of business leaders plan to expand their office footprint in the next five years,

Top 10 Counties with Greatest Number of Bank Owned Properties

Homeowners just gained equity everywhere except in these 3 states

List of Proptech Startups That Just Got Funded

The Countries Most Affected by Trump’s Potential Immigration Policies

The deal with container homes?!

Link to the listing

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Vidit

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