Housing Mortgage Market Review
The Housing Mortgage Market Review came out this month – you can see the original at http://www.pmi-us.com/PDF/may_10_pmi_hammr.html
Home sales rose in March. The main reasons given are the homebuyer tax credit, rebound from the bad weather during the winter months and a better outlook for jobs and demographics.
I expect that April sales looked good as well, though I am doubtful that this will continue into May. Since the homebuyer tax credit ended in April, I expect that May sales will have fallen. I also think that the continued turmoil in Europe is going to have an affect in the overall economy here and that will affect house sales.
It is also expected that house prices and interest rates will remain unchanged through this year.
The chart that I found most interesting showed the percentage of mortgages that are ‘seriously delinquent’ (pg 5). The trendlines on this chart show that more and more mortgages are headed into foreclosure – a trend which will definately hold down the housing prices in the future.
