Recent Updates
- US: FHFA HPI (Nov), S&P Case Shiller HPI (Nov)
- US: Richmond Fed Manufacturing & Service Sector Survey, Philadelphia Fed Nonmanufacturing Business Outlook (Jan)
- IMF: IMF World Economic Outlook (Jan 2021)
- Mexico: Service Sector, Retail & Wholesale Trade (Nov)
- more updates...
Economy in Brief
Texas Manufacturing Activity Weakens Further During January
The Dallas Fed reported that its Texas Manufacturing Outlook Survey General Business Activity Index fell to 7.0 during January...
Chicago Fed National Activity Index Improves During December
The Federal Reserve Bank of Chicago's National Activity Index increased to 0.52 during December...
German IFO Gauge Weakens Again
The IFO climate diffusion gauge fell to -0.6 in January...
U.S. Existing Home Sales Edge Up in December; 2020 Sales Are Highest Since 2006
The NAR reported that sales of existing homes rose 0.7% (22.2% y/y) during December...
Composite PMIs...the Best of Times; the Worst of Times-Really?
PMI data now rank observations on their range of values since December 2016...
Viewpoints
Commentaries are the opinions of the author and do not reflect the views of Haver Analytics.
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% |