The mortgage application volume for new home purchases in the U.S. was up 19 percent on a year-over-year basis in January and the seasonally adjusted pace of sales, which had dropped 11.5 percent in December, rebounded 16.9 percent, based on loan application data from the Mortgage Bankers Association.

That being said, the average loan size for new home purchases, which is correlated with pricing, ticked down a (1) percent last month and was nominally lower than at the same time last year, with inventory levels ticking and over 40 percent higher than prior to the pandemic, and within a few percent of a 15-year high, despite continued misreporting of “supply constraints.”

One thought on “New Home Sales Activity Gains, Average Loan Size Slips”
  1. I thought this was a pretty interesting stat. From A brutal reckoning for real estate agents: Many won’t survive the housing crunch, fifth ‘graph:

    …agents with less than two years of experience earned a median gross income of just $8,800 in 2021, research from the National Association of Realtors found. But daunting statistics like that didn’t stop a wave of hopeful dealmakers from testing the waters earlier in the pandemic, when booming home prices promised hefty commission checks. The number of Realtors grew by more than 156,000 in the combined years of 2020 and 2021, according to the NAR, and peaked at a record high of 1.6 million in October.

    Later on in the piece is says “Just as the housing market goes through booms and busts, so do the ranks of real-estate agents.” And of course, S.F.’s economy in general is more prone than most others to booms and busts.

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