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.
Closed Sales increased 8.4 percent for single-family homes and 6.2 percent for condos. Pending Sales increased 19.6 percent for single-family homes and
11.3 percent for condos. Inventory increased 0.9 percent for single-family homes but decreased 4.3 percent for condos.
The Median Sales Price was up 1.7 percent to $240,000 for single-family homes and 9.0 percent to $147,200 for condos. Days on Market decreased
12.4 percent for single-family homes but increased 14.9 percent for condos. Supply decreased 4.0 percent for single-family homes and 7.5 percent for
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.