Chicago, IL (PRWEB) April 23, 2014
On Wednesday, April 23rd, the U.S. Census Bureau announced a disappointing decline in new homes sales for March. However, DQnews.com released a very positive weekly "National Home Sales Snapshot" which reminded lenders, like Peoples Home Equity that the U.S. housing environment is quickly improving.
New home sales reached a 6 month low in March as the housing metric declined -14.47% from February. The U.S. Census Bureau announced on Wednesday that new home sales declined from 449,000 in February to just 384,000 in March, the lowest recorded for 2014. New home sales have not been reported this low since September when sales reported at 403,000. The four month average in sales declined from 443.75 thousand to 428.75. Unfortunately, the negative housing news did not end with new home sales. Weekly mortgage applications also decline by -3.3% for the week ending on April 18th, as shown on TradingEconomics.com. This decline in applications follows a previous surge of 4.3%. Lenders are waiting to see 2 consecutive weeks of applications to really feel like real estate is heating up.
Despite the disappointment in sales and applications, Peoples Home Equity reminds readers that DQnews, a high quality information solutions provider, gave a very uplifting home sale report on April 17th. According to the latest “National Home Sale Snapshot” from DQnews, weekly home sales have increased for the past 4 weeks! This news gives a high probability that the next time new home sales are announced, they will be positive for April. In addition, home prices were reported to have risen for the past 5 weeks giving current homeowners an incentive to sell their homes and subsequently buy and move into a new home (increasing new home sales data). Real estate on a national level is entering a seasonally strong period, more weight should be given to the present change of home sales and prices rather than what happened a month ago. Prospective readers should pay attention to these data points at mortgage rates react to the present rather than the past. Since the present is improving mortgage rates may continue to rise. Peoples Home Equity encourages all prospective mortgage applicants to sign up for a home loan before purchasing a property becomes less affordable.
If interested in securing a competitive, lower rate mortgage, consider speaking with a Peoples Home Equity loan officer today details at: 262-563-4026