Just How Is The Housing Sector Strong?
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10 Reasons Supporting The Strength Of The Housing Sector
1. 38% of all homes are paid off nationwide (Per US Census Bureau). In Colorado it is 29.2% or one out of every 3.5 homes are owned free and clear per CDOLA.
2. Another 26% of homes purchased in October were paid in full with cash. Those purchased with a mortgage had a credit score of 723
3. October 2022, Colorado made the “bottom 5” states with a 2.05% 30 day mortgage delinquency rate, less than 0.5% off the all time record low. (Blackknight Mortgage Monitor)
4. 2.91% of all homes with a mortgage nationwide are in delinquency. (Blackknight)
5. 0.35% of all homes are in foreclosure nationwide
6. Americans are still sitting on $1.7T excess cash (Axios) supporting a strong economy
7. NAR lists the current inventory at 1.22 million, still below 2019 and half the historical normal of 2 million to 2.5 million.
8. 77% of older adults want to age in place (AARP)… reverse mortgages will continue to let them and put pressure on limited inventory
9. Redfin continues to show strong investment purchase numbers.. . 17.5% all purchases in Q3 ’22.. showing their hold on inventory. This is down from 19.5% showing “investors pulling back”.. however, it is still up from the 15% pre-pandemic.
10. 86% of all mortgages are locked Under 5%; 65% are locked under 4%. Keeping sellers (i.e. would be buyers) locked into their homes with low rates and low mortgage payments; again.. keeping inventory low. In Colorado.. 91.8% of our homes are locked in UNDER 5%! WOW
Courtesy of Nicole Rueth, One Trust Home Mortgage
For the complete story please visit Nicole Rueth’s blog
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