December 7, 2023
The 30-year fixed-rate mortgage averaged near 7 percent this week, down from nearly 7.80 percent just six weeks ago. When rates began to rapidly drop, purchase applications rebounded initially, but this improvement in demand diminished in the last week. Although these lower rates remain a welcome relief, it is clear they will have to further drop to more consistently reinvigorate demand.
Information provided by Freddie Mac.
For Week Ending November 25, 2023
Down payments reached a new high recently, as rising interest rates, elevated sales prices, and increased competition have led homebuyers to put more money down when purchasing a home. According to Realtor.com, buyers made an average down payment of 14.7% of the purchase price and a median down payment of $30,400 on primary residences in the third quarter of the year, surpassing the previous high of 14.1% in Q2 2022. In doing so, buyers paid 78.2% more as a down payment in Q3 2023 compared to Q1 2020, when the median down payment was $17,000.
IN THE TWIN CITIES REGION, FOR THE WEEK ENDING NOVEMBER 25:
FOR THE MONTH OF OCTOBER:
All comparisons are to 2022
Click here for the full Weekly Market Activity Report. From MAAR Market Data News.
November 30, 2023
Market sentiment has significantly shifted over the last month, leading to a continued decline in mortgage rates. The current trajectory of rates is an encouraging development for potential homebuyers, with purchase application activity recently rising to the same level as mid-September when rates were similar to today’s levels. The modest uptick in demand over the last month signals that there will likely be more competition in a market that remains starved for inventory.
Information provided by Freddie Mac.
For Week Ending November 18, 2023
U.S. home seller profits continue to rise, with profit margins on median-priced single-family home and condo sales climbing to 59% in the third quarter of the year, up from 56.6% in the second quarter of 2023, according to ATTOM’s Q3 2023 U.S. Home Sales Report. Typical profit margins increased from the second quarter to the third quarter of 2023 in 85 of 155 metropolitan statistical areas analyzed, although profits were down year-over-year in 103, or 66%, of those metro areas.
IN THE TWIN CITIES REGION, FOR THE WEEK ENDING NOVEMBER 18:
FOR THE MONTH OF OCTOBER:
All comparisons are to 2022
Click here for the full Weekly Market Activity Report. From MAAR Market Data News.
November 22, 2023
Mortgage rates continued to decrease heading into the Thanksgiving holiday. In recent weeks, rates have dropped by half a percent, but potential homebuyers continue to hold out for lower rates and more inventory. This dynamic is reflected in the latest data showing that existing home sales have fallen to a thirteen-year low.
Information provided by Freddie Mac.
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