November 2019
In November, the Federal Reserve reduced its benchmark rate for the third time this
year. This action was widely anticipated by the market. Mortgage rates have
remained steady this month and are still down more than 1 percent from last year at
this time. Residential new construction activity continues to rise nationally. The U.S.
Commerce Department reports that new housing permits rose 5% in October to a
new 12-year high of 1.46 million units.
New Listings were up 16.7 percent to 1,171. Pending Sales increased 9.2 percent to
1,007. Inventory grew 11.3 percent to 3,266 units.
Prices moved higher as Median Sales Price was up 12.2 percent to $187,679. Days
on Market decreased 13.3 percent to 52 days. Months Supply of Inventory was up
7.7 percent to 2.8 months, indicating that supply increased relative to demand.
While many economic signs are quite strong, total household debt has been rising
for twenty-one consecutive quarters and is now $1.3 trillion higher than the previous
peak of $12.68 trillion in 2008. While delinquency rates remain low across most debt
types (including mortgages), higher consumer debt loads can limit future household
spending capability and increase risk if the economy slows down.
Information courtesy of CMLS*
