Chicago, IL (PRWEB) February 19, 2014
The housing data has continued to disappoint Peoples Home Equity this week. On Wednesday, February 19th, weekly mortgage applications, monthly building permits, and housing starts all upset market expectations.
Weekly mortgage applications posted a -4.1% decline today for the week ending on February 14th. This was the worst decline since the first week of January. As shown in TradingEconomics.com the forecast was for a mild -1.37% decline in weekly applications, but Wednesday’s decline was troublesome. The unusually cold winter mixed with higher mortgage rates seems to be taking quite a toll on prospective loan applicants.
Other disappointing news related to monthly building permits and housing starts which respectively saw -5.4% and -16% declines. Building permits declined for the 3rd consecutive month returning to their pace not seen since the end of 2012 and beginning of 2013. Housing starts posted the largest decline in over 2 years. However, one must remember that housing starts jumped 22.5% in November 2013.
Peoples Home Equity thinks there is a real slow down in housing but fully expects a rebound during the summer. Prospective home buyers should take advantage of the current slowdown while rates remain relatively lower than a month ago.
This Friday’s existing home sales will be a major data point that can enlighten the spirits of both home buyers and lenders. Peoples Home Equity remains optimistic about the upcoming existing home sales report as December reports was an increase over November's. A new uptrend may be revealed this Friday.
Please contact Peoples Home Equity loan officer today for mortgage details at: (855)-897-0300