Residential Housing

September 2018

How to ruin a good thing!  Look to raise interest rates and impose tariffs on important inputs to the housing sector.  While there is a slowing down, the overall market is still strong compared to recent years but our forecasts for next years are being dampened as these influences water down the red-hot housing market.

Interested in learning more about what we are seeing and our forecasts, then click here to talk to us today.

Existing Home Sales ChartExisting Home Sales Prices Chart


Price goes up – Demand goes down.  Those areas with greatest price inflation are experiencing the biggest declines in existing home sales.  West region has seen biggest price increases (+4.8% in August) and existing sales are down -7.4%.  Lack of existing homes for sale, combined with too expensive new homes to move to, are keeping sales in the negative range, with no expectation of turning around.

5/1 ARM Chart


ARM’s approaching 4.0% and are forecasted to continue to rise into 2019.

Mortgage Chart


Back up over 4.5% after a prolonged period of averaging around 4.0%.  Increased rates combined with higher new and existing home prices are making an impact on affordability.