Stepping out of my comfort zone!

Recently, I decided to step out of my comfort zone. And, when I say step, I mean step…as in dance. For those that have seen me in Zumba, you know that coordination is not my friend. My feet and arms do not play nicely together.

So, in an effort to challenge myself, I decided to take a Salsa class! What the heck was I thinking??? So far, I’ve had a few classes and I gotta say, I’m not half bad! In all fairness, it’s primarily because we have focused only on foot work, no arms yet.

I’m having fun, challenging myself and working on my rhythm. It’s all good! Let’s see if I feel the same way in a few weeks when the moves get tougher! Stay tuned!!

Meanwhile, always dance like nobody is watching, and if they are, who cares!!!

Onto the market update…

Home prices continue to rise, and November’s 0.4 percent increase was well received. Prices from the same time last year are higher by 6.5 percent. These solid gains come on the heels of the revised increase of 0.6 percent for October. With the housing market gaining 7.0 percent in 2017, and the belief that growth will continue well into 2018, more and more buyers are jumping into the market. Even Millennials, who have represented a small percentage of home buyers, are increasing their interest in homeownership. This is placing even more strain on housing inventory and is likely to push the rate of appreciation even higher in the coming months.

Existing Home Sales:

My comment about pressure on home prices due to inventory shortages is verified by the latest existing home sales report. The December numbers show sales fell 3.6 percent to an annualized rate of 5.570 million. November was very strong with a rate of 5.780 million, which is the highest number since the home purchase expansion after the housing meltdown in 2008. Home supply is the only reason for the decline in this data. Supply dropped 11.4 percent all the way down to 1.480 million homes. Translation…this is a 3.2 month’s supply, which is 3 tenths less than November.

New home Sales:

The 9.3 percent decline in December new home sales is very deceiving. This decline is actually the fourth best rate of new home sales since the recession. The decline appeared because the prior month was actually the strongest reading since the 2008 housing crisis. Supply of new homes is fairing slightly better than existing homes sales with inventory at a supply rate of 5.7 months.

Next week’s potential market moving reports are:

  • Tuesday January 30th – S&P Corelogic Case-Shiller Home Price Index, Consumer Confidence
  • Wednesday January 31st – MBA Mortgage Applications, ADP Employment Report, Pending Home Sales, FOMC Meeting Announcement
  • Thursday February 1st – First Time Jobless Claims, Construction Spending
  • Friday February 2nd – National Employment Situation, Factory Orders, Consumer Sentiment

As your mortgage and real estate professional, I am happy to assist you with any information you may need regarding mortgage or real estate trends. I welcome the opportunity to serve you in any way I possibly can. Please feel free to reach me at 661-618-1789.