Skip to content Sitemap

ATTOM – nearly 1.5 million vacant US homes in Q3 2018 represent 1.52% of all single family homes and condos

–  Foreclosures Hazard Risk Most Recent Articles Single Family Rental

–  Vacant Home Rate Down from 1.58% in Q3 2017

–  10,000 Vacant “Zombie” Foreclosures Down From More Than 44,000 in 2013

ATTOM Data Solutions, curator of the nation’s premier property database, today released its 2018 Vacant Property and Zombie Foreclosure Report, which shows that nearly 1.5 million (1,447,906) US single family homes and condos were vacant at the end of Q3 2018, representing 1.52% of all homes nationwide — down from 1.58% in 2017. The report also found that there were 10,291 vacant “zombie” foreclosures homes nationwide at the end of Q3 2018, representing 3.38% of all homes actively in the foreclosure process. The number of zombie foreclosure homes was down from 14,312 a year ago, and the zombie foreclosure rate was down from 4.18% a year ago. “The number of vacant foreclosures is now less than one-fourth of the more than 44,000 in 2013 when we first began tracking these zombie homes,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. “Policy solutions such as land banks designed to mitigate the ripple effects of vacant properties on neighborhoods and cities have had a substantial impact, and a booming housing market in many areas of the country is lifting all boats. There are still high concentrations of zombie homes and other vacant homes in some local markets and submarkets, but those high concentrations are becoming fewer and farther between.”

States with the highest share of vacant homes were Tennessee (2.65%), Kansas (2.50%), Oklahoma (2.49%), Mississippi (2.47%), and Indiana (2.45%). Among 153 metropolitan statistical areas analyzed in the report, those with the highest share of vacant homes were Flint, Michigan (6.99%); Youngstown, Ohio (3.80%); Beaumont-Port Arthur, Texas (3.71%); Myrtle Beach, South Carolina (3.70%); and Mobile, Alabama (3.69%). Among 405 US counties analyzed in the report, those with the highest share of vacant homes were Baltimore City, Maryland (7.83%); Genesee County (Flint), Michigan (6.99%); Saint Louis City, Missouri (5.93%); Bibb County (Macon), Georgia (5.73%); and Wayne County (Detroit), Michigan (5.60%). Among the 15,957 US zip codes analyzed in the report, 217 zip codes with a combined population of more than 2.8 million posted a vacant home rate of at least 10% at the end of Q3 2018. Zip codes with the highest vacant home rate at the end of Q3 2018 were led by 46402 in Gary, Indiana (31.41% vacant); 48505 in Flint, Michigan (31.17%); 46409 in Gary Indiana (28.92%); 46407 in Gary, Indiana (28.59%); and 29928 in Hilton Head Island, South Carolina (26.38%).

ADP job growth of 227,000 highest in eight months

Hiring remains strong across the US with private sector employment increasing by 227,000 jobs in October, according to the ADP National Employment Report®. Analysts were expecting 189,000 jobs would be added during the month. The most jobs were trade/transportation/utilities where 61,000 positions were added. Forty-thousand jobs were created in the leisure/hospitality category and 36,000 jobs were added in professional/business services. The US October payroll increase was the highest since February 2018. ADP revised the September payroll additions to 218,000 from 230,000. Despite a significant shortage in skilled talent, the labor market continues to grow,” said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute. “We saw significant gains across all industries with trade and leisure and hospitality leading the way.  We continue to see larger employers benefit in this environment as they are more apt to provide the competitive wages and strong benefits employees desire.” On Friday, the government will release its October payrolls report, which will offer an in-depth look at the labor market, including job additions, the unemployment rate, the labor participation rate and wage growth.

MBA – mortgage applications down

Mortgage applications decreased 2.5% from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending October 26, 2018. The Market Composite Index, a measure of mortgage loan application volume, decreased 2.5% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 3% compared with the previous week. The Refinance Index decreased 4% from the previous week. The seasonally adjusted Purchase Index decreased 2% from one week earlier. The unadjusted Purchase Index decreased 2% compared with the previous week and was 0.4% lower than the same week one year ago. “The 30-year fixed-rate mortgage held steady over the week, but total applications decreased overall. Purchase applications inched backward from the previous week, as well as compared to one year ago – the first year-over-year decline in purchase activity since August,” said Joel Kan, AVP of economic and industry forecasts. “Purchase applications may have been adversely impacted by the recent uptick in rates and the significant stock market volatility we have seen the past couple of weeks. Additionally, the ARM share of applications increased to its highest level since 2017, but since this is a compositional measure, it was driven by a greater decrease in applications for fixed-term loans relative to the decrease in ARM applications.” The refinance share of mortgage activity decreased to 39.4% of total applications from 39.8% the previous week. The adjustable-rate mortgage (ARM) share of activity increased to 7.6% of total applications, the highest level since May 2017. The FHA share of total applications increased to 10.3% from 10.1% the week prior. The VA share of total applications decreased to 9.8% from 10.1% the week prior. The USDA share of total applications remained unchanged at 0.7% from the week prior.

Health care costs could plummet in Trump’s Medicare price revamp

HHS Secretary Alex Azar on the Trump administration’s plan to lower drug prices and efforts to stop the marketing and sale of e-cigarettes to teenagers.

President Trump is taking aim at “foreign free riding” by other nations and wants Americans to have the same benefits that produce lower drug prices, according to Department of Health and Human Services Secretary Alex Azar. The plan, unveiled by Trump in a speech last Thursday at the Department of Health and Human Services, calls for Medicare Opens a New Window.  to negotiate better deals with pharmaceutical companies. “Right now pharma is giving these discounts to other countries,” said HHS Secretary Alex Azar to FOX Business’ Stuart Varney on Tuesday. “And you know what we are doing? We are currently paying the list price plus a 6% markup in our program.” According to Azar, the new payment system would potentially save the American taxpayer and seniors billions in healthcare Opens a New Window.  “So we are just saying give us some of this, end this foreign freeriding off the backs of the American taxpayer and America’s seniors, and it will lead to $17 billion in savings over 5 years for the Medicare program and $3.4 billion of savings for America’s seniors,” he said. Azar said the savings will kick in by early 2020.

Rent just hit an all-time high

As it turns out, rents are still going up and just hit an all-time high, again. Earlier this week, the US Census Bureau reported that during the third quarter, the nationwide median asking rent topped $1,000 for the first time ever. According to the Census data, the median asking rent during the third quarter was $1,003, an increase of $52 over the second quarter and an increase of $91 over the same time period last year. That’s an increase of nearly 10% in just one year, which rents checked in at $912. The increase has been dramatic over the last few years. Just three years ago, the asking rent was a full $200 less per month than it is right now. As one might expect, the largest increase came in in the Northeast, where rents are among the highest in the nation. In the Northeast, the median asking rent rose from $1,134 in the second quarter to $1,210 in the third quarter. Interestingly, the third quarter total is actually less than it was during the first quarter, when the asking rent was $1,279. The largest year-to-date increase is actually in the South, where rents have climbed from $907 in the first quarter to $973 in the third quarter, an increase of $66. Rents in the West have also risen, from $1,345 in the first quarter to $1,382 in the third quarter, an increase of $37 this year. On the other hand, rents in the Midwest have fallen from $764 in the first quarter to $751 in the third quarter. So, despite falling in the Midwest and the Northeast, rents went up in the South and West, and all that added up to a $49 increase in rents this year. The rise in asking prices isn’t confined to rental units either. The median asking sales price for homes is going up as well. According to the Census data, the nationwide median asking sales price for a home rose to $206,400 during the third quarter, which marks the first time that figure has crossed $200,000. So there’s not much of a respite from the affordability issue in either renting or owning, and that’s bad news for renters, buyers, and everyone else (unless you’re a landlord or a seller, of course).

Posted by: pharbuck on October 31, 2018
Posted in: Uncategorized