Americans are fixated on owning their dream homes despite the current housing market trends, a new survey from the PenFed Credit Union National Mortgage Survey revealed.
Over the next two years 37 percent of adults and 52 percent of millennials are expecting to buy a home. The study also found that while 95 percent of current homeowners like their homes, 54 percent of the owners would still like to renovate their home.
“Americans are undeterred when it comes to owning their dream home and we are finding that for many that means renovating their current homes,” said Craig Chapman, vice president of mortgage sales and business development, PenFed. “At PenFed our second trust loans are up and we expect to end the year with a 20 percent increase over last year. Like many industry experts we expect this increase to continue.”
Additionally, 48 percent of residents who currently do not own a home will be actively house-hunting over the next couple of years. However, common misconceptions around mortgages have become apparent as 65 percent of homeowners didn’t shop around for a mortgage.
In other real estate news:
- CoreLogic’s monthly Loan Performance Insights Report found that in July 2018, 4.1 percent of mortgages nationally were in some phase of delinquency. This number represents a 0.6 percentage point decline from July 2017’s 4.7 percent in the overall delinquency rate. The foreclosure rate for July is the lowest it has been in 12 years.
- The Mortgage Bankers Association Weekly Mortgage Applications survey found that mortgage applications fell by 1.7 percent on a seasonally-adjusted basis from one week earlier, ending Oct. 5, 2018. The rise of rates following the recession, as the average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances experienced a record high uptick, rising above 5 percent and to its highest since February 2011.
- National Association of Realtors President Elizabeth Mendenhall issued an appraising statement in respect to the Senate’s vote to pass S. 3021, America’s Water Infrastructure Act of 2018. “America’s Water Infrastructure Act of 2018 ensures the U.S. Army Corps of Engineers can continue providing vital economic and environmental services to property owners across this country. Overall, this legislation supports U.S. economic development and the real estate industry by investing in natural disaster and flood control protections; by securing clean, sustainable drinkable water for everyone in America; and by maintaining waterways and ports that help us transport goods across the country,” said Mendenhall.
- Keller Williams has expanded its franchise countries with the addition of Trinidad and Tobago. The new master franchise in the dual-island Caribbean nation is preparing to launch its first office before the end of 2018 and is currently establishing operations. With another Keller Williams launch in the Argentina Region and an expansion of over 200 agents in the Colombia region, Keller Williams has 21 market centers and more than 750 agents within nine countries across Central and South America.
- Redfin announced that former Amazon senior behavioral economist Daryl Fairweather has joined the team as the new chief economist. Fairweather will be responsible for a team of economists and data scientists who are obligated to provide reports on real estate market, homeownership, and the economic trends of home sales. As chief economist, Fairweather will work regularly with Redfin business leaders and agents across the country in deciphering the actions and mindset of homebuyers and sellers.