Residential financing demand, home prices climb across country
Posted on Thursday, July 31, 2014 at 8:13:50 AM
The U.S. housing market's recovery has been up and down over the past several months, but recent industry reports indicate that a number of conditions - including residential financing demand and home prices - are on the way up.
According to Fannie Mae's Mortgage Lender Sentiment Survey, consumer interest in mortgages has increased from the first quarter of 2014 to the second. While growth is only expected to be modest for the remainder of the year, it should continue.
"These results are broadly in line with other major indicators released recently, including the pickup in home sales in May, and also support our expectations of a steady but unspectacular rebound for housing during the second half of this year," said Doug Duncan, senior vice president and chief economist at Fannie Mae.
He added that the lender survey offers valuable insight into the current market for all those involved.
In addition, Black Knight Financial Services reported that U.S. home prices are climbing as well, now only 11 percent below peak levels last experienced in 2006. Compared to April, prices ticked up 0.9 percent on a monthly basis. Rhode Island led the way with the biggest month-over-month price gain, at 1.5 percent. Massachusetts clocked in at 1.3 percent.