Recent Updates
- US: Monthly Treasury Statement, Consumer Prices (Mar)
- US: Philadelphia Fed State Coincidence Indexes (Feb)
- US: Housing Affordability Detail (Feb)
- Blue Chip: Blue Chip Economic Indicators (Apr)
- Kosovo: HICP (Mar)
- more updates...
Economy in Brief
Housing Affordability Rises in February Boosted by Lower Rates
Housing affordability increased in February to its highest rate since late 2016...
Over 10% of the U.S. Labor Force Filed Initial Jobless Claims in the Last Three Weeks
Initial jobless claims declined slightly to 6.606 million in the week ending April 4...
U.S. Producer Prices Weaken as Energy Prices Decline
The Producer Price Index for final demand eased 0.2% (+0.7% y/y) during March...
Wholesale Inventories and Sales Decline Ahead of the Coronavirus
Wholesale inventories fell 0.7% (-1.3% y/y) during February...
German Trade Surplus Explodes and European Policy Implodes
The surplus in February 2020 hit €21.58b...
by Tom Moeller February 14, 2020
The National Association of Realtors reported that its Fixed Rate Mortgage Housing Affordability Index fell 1.2% m/m (+10.4% y/y) to 161.8 in December from 163.7 in November. It was the lowest level of affordability since August and remained well below the all-time high of 213.3 reached in January 2013.
In December, monthly principal and interest payments increased to $1,030 from $1,016 in November.
and rose to 15.5% of income. The median sales price increased 8.0% y/y to $277,000. Median family income continued to increase, rising to $79,970, up 3.3% y/y. The effective mortgage interest rate edged up three basis points to 3.78% in December, but remained below the 4.99% recorded in November of 2018.
The Housing Affordability Index equals 100 when median family income qualifies for an 80% mortgage on a median-priced existing single-family home. A rising index indicates an increasing number of buyers can qualify for a mortgage to purchase the median-priced home. Data on Home Affordability can be found in Haver's REALTOR database. Interest rate data can be found in the WEEKLY and DAILY databases.
| Housing Affordability | Dec | Nov | Oct | Dec Y/Y | 2019 | 2018 | 2017 |
|---|---|---|---|---|---|---|---|
| Fixed Rate Housing Affordability Index | 161.8 | 163.7 | 163.3 | 10.4% | 157.4 | 147.8 | 159.1 |
| Payment as a Percent of Income | 15.5 | 15.3 | 15.3 | 17.1 | 15.9 | 16.9 | 15.7 |
| Principal and Interest Payment | $1,030 | $1,016 | $1,013 | 8.0% | $1.044 | $1,079 | $967 |
| Median Sales Price (Existing Single Family Home) | $277,000 | $274,100 | $273,800 | $256,400 | $272,333 | $259,458 | $247,508 |
| Monthly Fixed Mortgage Rate | 3.78% | 3.75% | 3.74% | 4.99% | 4.04% | 4.72% | 4.20% |
| Median Family Income | $79,970 | $79,824 | $79,425 | 3.3% | 3.2% | $3.4% | 4.0% |
