- Weekly: **Unemployment Initial Claims Data have been revised**
- US: Housing Starts by State and Region (Feb)
- CPB World Trade Monitor (Jan)
- CPB World Trade Monitor (Jan)
- France: Registered Unemployed & Job Vacancies (Feb)
- US: Household Employment for States and Regions (Feb)
- US: Wholesale Trade Revisions, Advance Durable Goods (Feb)
- Manufacturing Survey - Markit US (Flash - Mar), Composite Survey - US (Flash - Mar), Services Survey - US (Flash - Mar)
- more updates...
Economy in Brief
Correction to Unemployment Insurance Weekly Claims
The Department of Labor has issued a correction to yesterday's annual revision to seasonally adjusted weekly unemployment claims...
EMU PMIs Are Off to the Races...Farewell Mediocrity?
The PMI rankings for the manufacturing and service sector PMIs in the EMU are suddenly off the chart...
U.S. New Home Sales Improve While Prices Decline
Sales of new single-family homes increased 6.1% (12.8% y/y) during February to 592,000 units (AR)...
Kansas City Federal Reserve Factory Index Strengthens; Expectations Surge
The Kansas City Fed reported that its index of regional manufacturing sector business activity increased to 20 during March...
U.S. Initial Unemployment Insurance Claims Rise
Initial claims for unemployment insurance increased to 258,000 (-3.0% y/y) during the week ended March 18...
U.K. Retail Looks Less Bulletproof
For the most part, the assessments embodied in the March survey from the UK's CBI are being taken as being upbeat...
by Tom Moeller June 10, 2016
The National Association of Realtors reported that the Composite Index of Home Affordability declined 4.5% during April to 162.4, the lowest level since August. The index was 24.3% lower than its peak in January 2014. During the last ten years, there has been a 62% correlation between the affordability index level and the y/y change in existing single-family home sales.
Strong home sales, which are near the highest level since early-2007, have been accompanied by higher prices. The median sales price of an existing home strengthened 4.8% (6.2% y/y) to $233,700, the highest level since June. The price rise was accompanied by an average mortgage rate of 3.89%, little changed m/m and the lowest level in nearly three years. Together, principal & interest payments rose to $881, or 15.4% of median income. That percentage compared to a low of 11.7% early in 2013.
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 more buyers can afford to enter the home-buying market. Data on Home Affordability can be found in Haver's REALTOR database. Interest rate data can be found in the WEEKLY and DAILY databases.
To Reshore or Not to Reshore, That Is the Question from the Federal Reserve Bank of Atlanta is available here.
|Housing Affordability||Apr||Mar||Feb||Apr Y/Y||2015||2014||2013|
|Median Sales Price (Existing Single Family Home)||$233,700||$223,100||$213,600||6.2%||$221,350||$207,125||$195,933|
|Monthly Mortgage Rate||3.89%||3.87%||4.04%||3.95%||4.03%||4.30%||4.00%|
|Principal and Interest Payment||$881||$839||$820||5.5%||$849||$820||$750|
|Median Family Income||$68,665||$68,509||$68,405||2.3%||$67,507||$65,910||$64,030|
|Payment as a Percent of Income||15.4||14.7||14.4||14.9||15.1||14.9||14.0|