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Mortgage rates dropped again this week, according to Bankrate’s national survey.

The average rate on 30-year fixed mortgages plummeted to 6.88 percent this week, down from 7.21 percent the previous week, according to Bankrate’s weekly national survey of large lenders.

The average rate on 30-year home loans topped 8 percent as recently as October. The sharp drop in mortgage rates came after the Federal Reserve said last week that it expects three rate cuts in 2024. The Fed’s long-awaited pivot was spurred by a number of factors, including a slowing job market and signs that the central bank’s ongoing war on inflation is working.

Meanwhile, yields on 10-year Treasury bonds, an informal benchmark for 30-year mortgage rates, have dropped from 5 percent to less than 4 percent in recent weeks.

The Fed doesn’t directly control mortgage rates, but it plays a pivotal role. The central bank sets policy that affects the cost of home loans. At the conclusion of its latest meeting on Dec. 13, the Federal Open Markets Committee decided to leave rates unchanged. Now, economists say, it appears that the central bank is done raising rates.

“Slower inflation and financial markets anticipating the potential end of the Fed’s hiking cycle are both behind the recent decline in rates,” says Joel Kan, deputy chief economist at the Mortgage Bankers Association.

The sharp drop in mortgage rates eases the housing affordability squeeze. It also bodes well for a housing market that has been sluggish since 2022. “These lower rates will bring both active buyers and sellers into the market, eager to get out ahead of the traditionally busier spring market,” says Lisa Sturtevant, chief economist at Bright MLS, a listing service in the mid-Atlantic region.

What happened to mortgage rates this week

The 30-year fixed mortgages in this week’s survey had an average total of 0.32 discount and origination points. (Discount points are a way for borrowers to reduce the mortgage rate, while origination points are fees a lender charges to create, review and process your loan.)

Over the past 52 weeks, the benchmark 30-year fixed-rate mortgage averaged 6.99 percent. A year ago, the 30-year fixed-rate mortgage was 6.63 percent. Four weeks ago, that rate was 7.66 percent. The 30-year fixed-rate average for this week is 0.61 percentage points higher than the 52-week low of 6.27 percent.

As for other types of loans:

How mortgage rates affect home affordability

The national median family income for 2023 is $96,300, according to the U.S. Department of Housing and Urban Development, and the median price of an existing home sold in November 2023 was $387,600, according to the National Association of Realtors. Based on a 20 percent down payment and a mortgage rate of 6.88 percent, the monthly payment of $2,038 amounts to 25 percent of the typical family’s monthly income.

The sharp rise in mortgage rates over the past two years has squeezed affordability and sparked a slowdown in home sales. First-time buyers are especially challenged by this market. Home prices haven’t fallen significantly, and values are unlikely to decline, given the shortage of homes for sale.

“Higher mortgage rates have a dual impact on the housing market: reducing affordability for buyers and strengthening the rate lock-in for sellers,” says Odeta Kushi, deputy chief economist at First American. “The combination of reduced affordability and increased strength of the rate lock-in effect is likely to continue to suppress home sales because you can’t buy what’s not for sale, even if you can afford it.”

Reflecting the affordability squeeze, the median household income for homebuyers jumped to $107,000 in 2023 from $88,000 last year, according to the National Association of Realtors’ 2023 Profile of Home Buyers and Sellers.

Will mortgage rates go down?

Economists expected to see mortgage rates decrease by the end of 2023, but the strength of the U.S. economy has thrown a wrinkle into those predictions. Now, though, things finally seem to be cooling, especially 10-year Treasury yields.

Mortgage rates are also chained to inflation, a metric the Fed has been moving to control. At its September and November meetings, the central bank opted to keep rates unchanged. While the Fed doesn’t directly set fixed mortgage rates, it does set the tone of the interest-rate environment — and as the central bank has boosted its policy rate from zero in early 2022 to a range of 5.25 percent to 5.5 percent now, mortgage rates have followed suit.

“There is room for mortgage rates to fall further,” Sturtevant says. “The gap between the 10-year Treasury yield and the 30-year fixed rate mortgage rate is historically around 180 basis points. While the gap has narrowed somewhat, the 30-year mortgage rate remains 280 basis points higher than the bond yield.”

Learn more about where rates could be headed in our December 2023 mortgage rate forecast.

  • Methodology

    The Bankrate.com national survey of large lenders is conducted weekly. To conduct the National Average survey, Bankrate obtains rate information from the 10 largest banks and thrifts in 10 large U.S. markets. In the Bankrate.com national survey, our Market Analysis team gathers rates and/or yields on banking deposits, loans and mortgages. We’ve conducted this survey in the same manner for more than 30 years, and because it’s consistently done the way it is, it gives an accurate national apples-to-apples comparison. Our rates differ from other national surveys, in particular Freddie Mac’s weekly published rates. Each week Freddie Mac surveys lenders on the rates and points based on first-lien prime conventional conforming home purchase mortgages with a loan-to-value of 80 percent. “Lenders surveyed each week are a mix of lender types — thrifts, credit unions, commercial banks and mortgage lending companies — is roughly proportional to the level of mortgage business that each type commands nationwide,” according to Freddie Mac.

Source: finance.yahoo.com

Apache is functioning normally

The entire state of South Carolina holds a prominent place in U.S. history. A prime location for battles during both the American Revolution and the Civil War, the entire state was practically torn down and rebuilt.

Today, with a thriving economy and plenty of opportunities in the tourism industry South Carolina combines its own style with plenty of luxury along the coast.

South Carolina average rent prices

With strong local economies throughout the state and a healthy combination of affordable and quality housing — living in South Carolina has plenty of upsides.

The average cost of a one-bedroom apartment in the state is $1,246; only up 0.2 percent over last year. This tiny increase keeps housing in even the cheapest places to live in South Carolina at an affordable rate aligned with the national average.

The cheapest cities in South Carolina for renters

Whether you’re looking to live in the Lowcountry and feast on the best food and freshest seafood or you are looking for a restful spot a little further north, South Carolina has it all at a reasonable price.

With plenty of southern hospitality and over 2,800 miles of coastline, living here can feel like you’re on a permanent vacation.

If it’s time to make the Palmetto State your new home but you’re worried about breaking the bank, start your search with the 10 cheapest places to live in South Carolina.

10. Beaufort

  • Average 1-BR rent price: $1,191
  • Average rent change in the past year: -0.14 percent

Located on Port Royal Island, right off the coast of South Carolina’s mainland, Beaufort stands out thanks to its architecture. Concentrated mostly in the historic downtown district, you’ll find beautiful antebellum mansions perfectly preserved.

This little harbor town offers up affordable housing for year-round residents, but Beaufort also draws in a healthy bunch of tourists thanks to its assortment of hotels, bed and breakfasts, restaurants and scenery.

You could easily plan a day that involved dolphin watching, a long walk on the beach, a museum and finally a delicious Lowcountry seafood dinner.

A popular destination for retirees to call home, the city’s proximity to Savannah, Charleston and Hilton Head make it a convenient place to live even if you commute into a larger city for work.

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9. Greenville

  • Average 1-BR rent price: $1,166
  • Average rent change in the past year: 10.81 percent

For a home within South Carolina’s Upcountry, consider Greenville. Situated in the foothills of the Blue Ridge Mountains, the city caters to all ages and walks of life. The downtown area features one-of-a-kind shops and boutiques alongside many art galleries and museums. There’s also no shortage of excellent outdoor activities to keep you busy.

The number of parks and green spaces, alongside the busy city center, gives Greenville an urban/suburban mix. You can spend one day sitting in a coffee shop or shopping until you drop, and the next at Falls Park on the Reedy with its 32 acres next to downtown.

Another perk of living in Greenville is its access to great weekend getaways. About an hour’s drive will get you to Great Smoky Mountains National Park. As part of the Appalachian Mountain range, this national park offers spectacular, tree-lined views, fresh air and a peaceful break from the daily grind.

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8. Blythewood

Photo source: Blythewood Town Hall / Facebook
  • Average 1-BR rent price: $1,152
  • Average rent change in the past year: 14.17 percent

Close enough to earn the designation as a suburb of Columbia, the town of Blythewood has its own historic charm. Steeped in southern hospitality and tradition, you’ll experience a close and diverse community who come together to celebrate the city’s interests including agriculture, horses and the arts. Even baseball gets taken pretty seriously here, according to locals.

Its location also enables it to provide small-town living without the loss of access to a big city. As a result, Blythewood attracts a lot of families who find the local parks, library and seasonal farmer’s market are all great places to let the kids run free while connecting with the community.

Live music also plays a role in bringing the community together, and a few annual events invite the whole town out to enjoy the weather and each other. These include a yearly Beach Bash, an official 4th of July celebration, the IPRA championship rodeo and a butterfly festival.

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7. Mauldin

  • Average 1-BR rent price: $1,126
  • Average rent change in the past year: 20.58 percent

Full of places to eat and places for families to play, you’ll find Mauldin nestled in the heart of upstate South Carolina. A safe and comfortable community, there are beautiful homes and well-maintained neighborhoods to pick from.

Its proximity to Greenville, only about 15 minutes away, means there are lots of opportunities to take advantage of larger city amenities without necessarily living in the city. You’ll also have access to more jobs with Greenville so close.

For those looking for some respite after a long week commuting — not five minutes away from Mauldin’s city center, you’ll find the Lake Conestee Nature Park. This 400-acre park is home to a variety of wildlife so get ready to spot deer, a raccoon or even a river otter when hiking.

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6. Duncan

Photo source: Town of Duncan, SC / Facebook
  • Average 1-BR rent price: $1,032
  • Average rent change in the past year: 15.64 percent

A growing community, Duncan has that small-town feel but with easy access to other, more urban areas of the state. Attracting a younger crowd, as one of the cheapest places to live in South Carolina, the city really does have a lot to offer.

With a BMW manufacturing plant nearby, there are no shortages of jobs. Other key employers in Duncan within the area include Adidas, Chick-fil-A and Spartanburg Regional Healthcare System.

If you’re looking for outdoor fun — make sure to visit Shipwreck Cove. This pirate-themed water park lets you slide down spiraling water slides or float along a lazy river. There’s even a kiddie area for the little ones. It’s a little something special that goes beyond a casual hike or trip to a local playground.

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5. Greer

  • Average 1-BR rent price: $1,017
  • Average rent change in the past year: 9.70 percent

Another spot within the picturesque foothills of the Blue Ridge Mountains, Greer is one of the state’s fastest-growing cities. Natural beauty is everywhere you look — from the lakes to the mountains.

An exciting place to call home, most of the retail, dining, entertainment and professional services are within 12 square blocks in Greer’s Central Business District. You’ll also find plenty of community festivals throughout the year varying from live music in the park during the summer and Oktoberfest in the fall.

A few major employers call Greer home, helping provide plenty of job opportunities for locals. Here you’ll find the headquarters for Mitsubishi Polyester Film. You’re also not far from Michelin North America and the BMW manufacturing plant when you live here either.

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4. Rock Hill

  • Average 1-BR rent price: $984
  • Average rent change in the past year: 7.68 percent

Only 20 minutes south of Charlotte in North Carolina, the South Carolina town of Rock Hill blends historic charm with modern development. Rated one of the best places to live in the state, you get a quiet place to call home with access to plenty of economic opportunity in the bigger city down the road.

Living here, your central landmark is the Civitas statues. The four, 22-foot-tall sculptures sit in front of City Hall and represent the key themes of Rock Hill — Gears of Industry, Flame of Knowledge, Stars of Inspiration and Lightning Bolt of Energy.

When not admiring the statues, the rest of the city turns its attention to industry, the outdoors and education. It’s home to Winthrop University and 31 parks. This includes Cherry Park with 68-acres of hiking trails, manicured gardens and a large playground.

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3. Columbia

  • Average 1-BR rent price: $983
  • Average rent change in the past year: -6.93 percent

As the state capital, Columbia is a creative hub that combines old and new with nature, community and lots of shopping, eating and drinking. A true southern town, there are more than enough activities to pick from when planning out a day.

For a cultural experience, check out the Columbia Museum of Art with 26 different galleries containing treasures that date back up to 5,000 years.

When you need a dose of wildlife and plants, head to the Riverbanks Zoo and Garden. You’ll find nearly 2,000 animals from around the world and a 70-acre botanical garden.

To unwind, Riverfront Park is a great place to hike and bike. You can even get a little history lesson by exploring an old pump house from the Columbia Canal and Water Works.

If a more collegiate experience is on your mind, Columbia is home to the University of South Carolina, Columbia International University and a few other colleges.

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2. Elgin

  • Average 1-BR rent price: $976
  • Average rent change in the past year: 12.86 percent

Another laid-back, suburban gem within the state, Elgin is one of the cheapest places to live in South Carolina.

The city’s claim to fame takes place on the first Saturday in December —this is the day of the annual Catfish Stomp, where you can try some of the best catfish ever while enjoying live music and a parade.

The rest of the year, there’s no shortage of fresh food, especially if you visit the Kershaw County Farmers Market. Everything from fruits and veggies to meat, eggs and baked goods go up for sale every Saturday morning.

With more of a rural feel, Elgin also boasts beautiful countryside and refreshing landscapes. Make sure to visit White Pond for some time in undisturbed nature.

Find apartments for rent in Elgin
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1. Spartanburg

  • Average 1-BR rent price: $823
  • Average rent change in the past year: -5.38 percent

Topping our list of the cheapest places to live in South Carolina, Spartanburg is so much more than affordable housing and virtually no traffic. It’s a vibrant city, packed with all the amenities. Living here gives you easy access to the beautiful Blue Ridge Mountains alongside plenty of art, culture, festivals and history.

Spend one day visiting the Cowpens National Battlefield, the next day shopping in locally-owned stores and the next fishing on Lake Bowen.

The city also has a huge cultural presence with a designed cultural district downtown. Here you can walk through blocks of art galleries and studios, music venues, breweries, coffee shops, museums and libraries. You can easily get your fill of the arts with just a day’s stroll.

Among the family-friendly fun, outdoor activities, lively nightlife and more, you’ll also find a decent number of college students. Spartanburg is home to seven colleges and universities — making academia a major economic driver for the city.

Find apartments for rent in Spartanburg
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The most expensive places to live in South Carolina

It’s no surprise that the most expensive places to live in South Carolina are some of the state’s most well-known cities. Areas like Charleston and Mount Pleasant draw in large numbers of tourists each year, while other places on the list are popular suburbs. Check out where else in South Carolina may test your budget just a little when it comes to paying rent.

Methodology

Rent prices are based on a rolling weighted average from Apartment Guide and Rent.’s multifamily rental property inventory as of May 2021. Our team uses a weighted average formula that more accurately represents price availability for each unit type and reduces the influence of seasonality on rent prices in specific markets.

We excluded cities with insufficient inventory from this report.

The rent information included in this article is used for illustrative purposes only. The data contained herein do not constitute financial advice or a pricing guarantee for any apartment.

Source: rent.com

Apache is functioning normally

Mortgage rates dropped again this week, according to Bankrate’s national survey.

The average rate on 30-year fixed mortgages plummeted to 6.88% this week, down from 7.21% the previous week, according to Bankrate’s weekly national survey of large lenders.

The average rate on 30-year home loans topped 8% as recently as October. The sharp drop in mortgage rates came after the Federal Reserve said last week that it expects three rate cuts in 2024. The Fed’s long-awaited pivot was spurred by a number of factors, including a slowing job market and signs that the central bank’s ongoing war on inflation is working.

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Meanwhile, yields on 10-year Treasury bonds, an informal benchmark for 30-year mortgage rates, have dropped from 5% to less than 4% in recent weeks.

The Fed doesn’t directly control mortgage rates, but it plays a pivotal role. The central bank sets policy that affects the cost of home loans. At the conclusion of its latest meeting on Dec. 13, the Federal Open Markets Committee decided to leave rates unchanged. Now, economists say, it appears that the central bank is done raising rates.

“Slower inflation and financial markets anticipating the potential end of the Fed’s hiking cycle are both behind the recent decline in rates,” says Joel Kan, deputy chief economist at the Mortgage Bankers Association.

The sharp drop in mortgage rates eases the housing affordability squeeze. It also bodes well for a housing market that has been sluggish since 2022. “These lower rates will bring both active buyers and sellers into the market, eager to get out ahead of the traditionally busier spring market,” says Lisa Sturtevant, chief economist at Bright MLS, a listing service in the mid-Atlantic region.

What happened to mortgage rates this week

The 30-year fixed mortgages in this week’s survey had an average total of 0.32 discount and origination points. (Discount points are a way for borrowers to reduce the mortgage rate, while origination points are fees a lender charges to create, review and process your loan.)

Over the past 52 weeks, the benchmark 30-year fixed-rate mortgage averaged 6.99%. A year ago, the 30-year fixed-rate mortgage was 6.63%. Four weeks ago, that rate was 7.66%. The 30-year fixed-rate average for this week is 0.61 percentage points higher than the 52-week low of 6.27%.

As for other types of loans:

—The 15-year fixed-rate mortgage was 6.21%, down from 6.57% from a week ago.

—The 5/6 adjustable-rate mortgage (ARM) was 6.95%, down from 7.1% a week ago.

—The 30-year fixed-rate jumbo mortgage was 6.93%, down from 7.19% a week ago.

How mortgage rates affect home affordability

The national median family income for 2023 is $96,300, according to the U.S. Department of Housing and Urban Development, and the median price of an existing home sold in November 2023 was $387,600, according to the National Association of Realtors. Based on a 20% down payment and a mortgage rate of 6.88%, the monthly payment of $2,038 amounts to 25% of the typical family’s monthly income.

The sharp rise in mortgage rates over the past two years has squeezed affordability and sparked a slowdown in home sales. First-time buyers are especially challenged by this market. Home prices haven’t fallen significantly, and values are unlikely to decline, given the shortage of homes for sale.

“Higher mortgage rates have a dual impact on the housing market: reducing affordability for buyers and strengthening the rate lock-in for sellers,” says Odeta Kushi, deputy chief economist at First American. “The combination of reduced affordability and increased strength of the rate lock-in effect is likely to continue to suppress home sales because you can’t buy what’s not for sale, even if you can afford it.”

Reflecting the affordability squeeze, the median household income for homebuyers jumped to $107,000 in 2023 from $88,000 last year, according to the National Association of Realtors’ 2023 Profile of Home Buyers and Sellers.

Will mortgage rates go down?

Economists expected to see mortgage rates decrease by the end of 2023, but the strength of the U.S. economy has thrown a wrinkle into those predictions. Now, though, things finally seem to be cooling, especially 10-year Treasury yields.

Mortgage rates are also chained to inflation, a metric the Fed has been moving to control. At its September and November meetings, the central bank opted to keep rates unchanged. While the Fed doesn’t directly set fixed mortgage rates, it does set the tone of the interest-rate environment — and as the central bank has boosted its policy rate from zero in early 2022 to a range of 5.25% to 5.5% now, mortgage rates have followed suit.

“There is room for mortgage rates to fall further,” Sturtevant says. “The gap between the 10-year Treasury yield and the 30-year fixed rate mortgage rate is historically around 180 basis points. While the gap has narrowed somewhat, the 30-year mortgage rate remains 280 basis points higher than the bond yield.”

Methodology

The Bankrate.com national survey of large lenders is conducted weekly. To conduct the National Average survey, Bankrate obtains rate information from the 10 largest banks and thrifts in 10 large U.S. markets. In the Bankrate.com national survey, our Market Analysis team gathers rates and/or yields on banking deposits, loans and mortgages. We’ve conducted this survey in the same manner for more than 30 years, and because it’s consistently done the way it is, it gives an accurate national apples-to-apples comparison. Our rates differ from other national surveys, in particular Freddie Mac’s weekly published rates. Each week Freddie Mac surveys lenders on the rates and points based on first-lien prime conventional conforming home purchase mortgages with a loan-to-value of 80%. “Lenders surveyed each week are a mix of lender types — thrifts, credit unions, commercial banks and mortgage lending companies — is roughly proportional to the level of mortgage business that each type commands nationwide,” according to Freddie Mac.

Source: gmtoday.com

Apache is functioning normally

Since Ashley Morrill of “Maine Cabin Masters” launched her home decor line in August, business has been building as fast as some of the structures on the renovate-a-wreck reality TV show.

Now, the home decor line has added holiday-themed tea towels and ornaments, as well as a watercolor serving tray, loon totes, and two new pillow covers — a pine cone and a new lobster design. 

Rustic County is inspired by Morrill’s love of nature, floral designs and Maine, she says.

Courtesy / Rustic County

Ashley Morrill

Morrill told Mainebiz the difference between her products and those in big-box stores is that many of her products are limited editions. At this point, they are all designed by Morrill and anything purchased from Rustic County will be something she has had a hand designing. 

“The response to our Rustic County product launch has been overwhelmingly positive, and I’m touched by the support and the fantastic response from our fans,” said Morrill. “I’m excited to introduce our new products, just in time for the holidays, to help people make their homes feel cozy and festive during this special time of the year.”

“And, of course, I’m introducing new products that are a tribute to my home state of Maine, so people can bring some rustic cabin chic to their homes, no matter where they live.”

Morrill said she has more designs coming, and many are Maine-focused. The company is using its social media presence to gauge what the public wants. 

“The company has been steadily growing,” said Morrill. “Just like with any new business, it takes time to work out the kinks and learn what works and what doesn’t.”

Since it first aired in 2017, “Maine Cabin Masters” has been one of the highest-rated shows on the Magnolia Network and among the many reality shows focusing on home construction and design.

In addition to Morrill, the show stars her brother, contractor Chase Morrill, and her carpenter husband, Ryan Eldridge. Their business is based in Manchester.

Source: mainebiz.biz

Apache is functioning normally

As we approach Christmas day, we can only hope that the Federal Reserve now realizes their fear of 1970s-style inflation created a rate-hike cycle that disproportionately impacted the U.S. housing market and that they need to be pro-housing again.

Even with all the drama we have dealt with in 2022-2023, the housing market stayed intact and never broke. Let’s look at the tracker for the week before Christmas and see what the forward-looking data  looks like before we open presents. 

Weekly housing inventory data

We are near the end of the year, which means the seasonal decline in housing inventory will take hold until we find the seasonal bottom in inventory in 2024. However, one thing is sure: from 2020 to 2023 we never saw credit-stressed home sellers. We never saw the Airbnb crash that dominated some of the housing headlines in 2023. While inventory levels are still too low for my taste, it’s good that we are not at 2022 levels when we only had 240,194 total active single-family listings for Americans to buy. 

  • Last year, according to Altos Research, the seasonal peak for housing inventory was Oct. 28. This year’s peak was Nov. 17.
  • Weekly inventory change: (Dec.15-22): Inventory fell from 538,767 to 528,601
  • Same week last year (Dec. 16-23): Inventory fell from 522,869 to 508,777
  • The inventory bottom for 2022 was 240,194
  • The inventory peak for 2023 so far is 569,898
  • For context, active listings for this week in 2015 were 1,013,245

One of my concerns with higher mortgage rates was that we could see another new leg lower in new listings data, which wouldn’t be good for housing because most sellers are homebuyers. This got tested in 2023 with 8% mortgage rates; not only did that not happen, but the new listing data was very stable, meaning it was forming a bottom. This is a big Merry Christmas gift for the housing market. Months ago on CNBC, I talked about how we should see some growth in this data in the second half of the year we have! 

However, the key to this data line is that we want to see real year-over-year growth in the spring of 2024 — back to levels of 2021 and 2022. Historically speaking, 2021 and early 2022 were the two lowest ever in new listings data. But once rates went above 6%, since July of 2022, we were treading for 17 months at a new low. For us to have a functioning marketplace, we need new listing data to get back to 2021 and 2022 levels, which means more sales can happen in 2024 This will be something I am rooting for in 2024.

New listings data for the last week in the last several years:

  • 2023: 36,897
  • 2022: 31,794
  • 2021: 35,834

Traditionally, one-third of all homes will have price cuts before they sell. When mortgage rates rise and demand decreases, more homes see price cuts. However, even with mortgage rates reaching 8% this year, we trended below 2022 levels the entire time. We are ending the year with almost 1.5% lower mortgage rates and the price cut percentage data below 2022 levels.

Price cut percentages this week over the last few years:

  • 2023: 36%
  • 2022: 40%
  • 2021: 25%

Mortgage rates and the 10-year yield

Considering the fireworks we had two weeks ago, last week was very tame. Not too much movement on the 10-year yield or mortgage rates. Mortgage rates started the week at 6.65% and ended at 6.68%. We had a lot of interesting economic data, especially the PCE inflation data running at roughly 2% growth using the 3- and 6-month averages. However, last week saw little volatility on the 10-year yield. Next we have the final week of trading with some big bond market auctions happening. We might see some decent movement in the bond market next week.

Purchase application data

This will be the last purchase application update for the year as the MBA takes the holiday week off and we will report the holiday period in the new year. Traditionally, I tell people to ignore the last few weeks of the year as most people are getting ready for Christmas and New Years so volume always falls. However, with that said, last week saw a mild decline of 0.6% on a week-to-week basis, making the year-to-date count 23 positive and 24 negative, with two flat prints. 

Considering that mortgage rates rose from 5.99% to 8.03% and we might have more positive weekly purchase application prints than negative weekly prints this year speaks volumes. The housing market is working from a low bar in sales, but that roughly 4 million core homebuyers stayed steady in 2023. Total home sales should be near 5 million even with the massive home price gains and higher mortgage rates.

The week ahead: Bond auctions and home prices

It will be a quiet week for economic reports; we will have a few home price index reports and some sizable bond auctions that can potentially move the bond market in a holiday trading week.

I want to wish you a happy holiday and a Merry Christmas. I know it’s been rough for the housing market this year with a deficient volume of existing home sales and loan originations. We should have a better 2024 and my 2024 forecast will come out on Jan. 1, 2024. Until then, enjoy the holidays with your family and remember: the housing market took it on the chin for two years and it bent with the lowest sales levels in history when accounting for the civilian workforce, but it didn’t break, and neither did any of you reading this. 

Source: housingwire.com

Apache is functioning normally

Mortgage rates stayed below 7% for the second week in a row, a welcome relief after a 17-week streak of above-7% rates. This week’s dip is the largest weekly drop since November 2022.

The 30-year, fixed mortgage rate averaged 6.67% for the week ending Dec. 21, according to Freddie Mac‘s Primary Mortgage Market Survey. That’s down from last week’s 6.95% and up from 6.27% the same week a year ago. Meanwhile, HousingWire’s Mortgage Rates Center showed Optimal Blue’s average 30-year fixed rate on conventional loans at 6.68% on Thursday. 

“Lower rates are bringing potential homebuyers who were previously waiting on the sidelines back into the market and builders already are starting to feel the positive effects,” Sam Khater, Freddie Mac’s chief economist, said in a statement. “A rise in homebuilder confidence, followed by new home construction reaching its highest level since May, signals a response to meet heightened demand as current inventory remains low.”

Lower rates will have a positive impact on affordability, Lisa Sturtevant, chief economist at Bright MLS, said in a statement. Bright MLS forecasts the average on a fixed-rate mortgage rate to fall to 6.5% by mid-year and to decline further to 6.2% by the end of next year. With a rate of 6.2%, the typical monthly payment on a loan for a $400,000 home would be about $2,700, down from $3,000 with a 7.5% rate.

Another obstacle? Lack of inventory

The scarcity of available homes has kept home prices elevated. In 2023, many first-time homebuyers had to delay their home-buying plans as they scrambled to save enough money for a downpayment. They often had to bid on multiple houses before being successful, Sturtevant said. Some prospective homebuyers were simply priced out of the market.

“While declining rates is a positive for homebuyers, the lack of inventory—both because of a deficit of new construction and because existing homeowners are remaining in the homes longer—will continue to be a challenge in 2024,” Sturtevant said.  

Source: housingwire.com

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Orlando has it all.

The housing and rental markets in Orlando reflect the ever-changing landscape of living in this popular city known for its massive tourist attractions, many pristine lakes and an undeniably strong economy. The following insights, derived from Rent. and Redfin, provide a comprehensive view of the Orlando housing market for anyone interested in entering the scene.

Rental market in Orlando

The rental market in Orlando has seen significant fluctuations. As of 2023, the average rent for apartments in Orlando ranges between $1,669 and $2,060, with studio apartments averaging $1,717. The rates vary for one-bedroom and two-bedroom apartments, standing at $1,669 and $2,060, respectively. In nearby areas like Celebration and Kissimmee, the average rent for one-bedroom apartments is around $1,594 and $1,595.

Housing market in Orlando

The housing market in Orlando is notably active and competitive. Houses often receive multiple offers, with many selling for around 3% above the list price. The median sale price for homes in Orlando is approximately $327,500, marking a 14.9% increase from the previous year. This rapid pace indicates a strong demand, with homes selling in about 12 days on average.

Market impacts

Understanding the interplay between the rental and housing markets in Orlando is crucial for a comprehensive analysis of the city’s real estate dynamics. These markets influence each other in several ways.

Impacts of the rental market on the housing market

  • Investment attraction: A strong rental market in Orlando creates an attractive opportunity for real estate investors. High demand for rentals, coupled with rising rent prices, makes purchasing properties for rental purposes appealing. This can lead to increased competition in the housing market, potentially driving up home prices.
  • Housing supply and demand: As rental prices rise, some renters may consider purchasing homes, either to escape escalating rents or as an investment opportunity. This shift can increase demand in the housing market, particularly for more affordable homes, potentially leading to price increases.
  • Market sentiment: The strength of the rental market can be a barometer for the overall health of the real estate market. A strong rental market often indicates strong demand for housing in general, reflecting positively on the housing market.

Impacts of the housing market on the rental market

  • Homeownership affordability: As home prices rise, homeownership may become less affordable for a segment of the population. This can lead to increased demand for rental properties, as those priced out of buying may have no alternative but to rent.
  • Rental supply: When the housing market is booming, and home prices are high, investors might be more inclined to sell their properties rather than rent them out, potentially reducing the supply of rental homes and driving up rental prices.
  • Economic factors: The state of the housing market is often tied to broader economic conditions. For instance, a booming housing market might reflect a strong local economy, which can attract more people to Orlando, increasing demand for rental properties.

Neighborhood-specific dynamics

The interaction between the rental and housing markets can vary significantly across different neighborhoods in Orlando. Factors like proximity to major employment centers, schools, tourist attractions and transportation infrastructure can distinctly influence the supply and demand dynamics in both markets.

  • Tourist areas: In neighborhoods close to Orlando’s many tourist attractions, short-term rentals might be more prevalent, affecting both the availability and pricing of longer-term rentals and residential properties.
  • Suburban vs. urban areas: Suburban areas might see different trends compared to urban areas. For example, families might prefer suburban neighborhoods for homeownership, while urban areas might have a higher demand for rental properties due to a younger demographic or proximity to employment centers.

The rental and housing markets in Orlando are interdependent, with changes in one often impacting the other. Neighborhood-specific factors further complicate this relationship, making localized market analysis essential for understanding real estate trends in Orlando.

Cost of living considerations

  • Food costs: Grocery expenses in Orlando are slightly above the national average by 3.2%. The average monthly grocery spending in Florida ranges between $266 and $300.
  • Utility costs: Orlando’s utility costs are 4.7% below the national average. The city’s humid subtropical climate necessitates continuous air conditioning, especially in summer. The estimated monthly energy costs are around $151.74.
  • Transportation: Orlando’s transportation costs are 4.6% above the national average. The city is not very walkable, with a Walk Score of 35, necessitating reliance on cars. Public transportation options include the LYNX Bus Service, with affordable fares and passes.

Taxation

Florida has no state income tax, with a sales tax rate of 6%. In Orlando, an additional 0.5% is added for Orange County, bringing the combined sales tax rate to 6.5%.

Earning requirements

To comfortably afford the average rent in Orlando, an annual income of about $71,160 is suggested, based on the convention that rent should not exceed 30% of income. However, variations in rent across different neighborhoods offer flexibility for different income levels.

Orlando’s housing market

Orlando’s housing market is dynamic and competitive, reflecting the city’s appeal and growing economy. Orlando’s rental market, while varied, requires a significant income to comfortably afford the average rent prices.

Overall, Orlando continues to be an attractive location with a strong housing market, offering a range of options for residents with diverse financial capabilities. If you’re ready to settle down in a sweet place in Orlando, you’ve come to the right place.

Source: rent.com

Apache is functioning normally

In terms of window architecture, floor-to-ceiling windows are now the go-to choice for homeowners and property developers looking to land that million-dollar look.

Floor-to-ceiling windows flood the room with daylight and make it appear visually larger — while opening the home to the outdoor spaces, mimicking the Cali indoor-outdoor living vibe.

And while floor-to-ceiling windows have been a huge hit for years, real estate series like Selling Sunset have brought them back into the limelight, with homeowners looking to replicate the bright and airy feel of million-dollar homes featured on the hit reality show.

Especially since they are a relatively inexpensive way to give your apartment or house a very special touch.

This is partly because they let in a lot of natural daylight and partly because certain types of floor-to-ceiling windows are relatively inexpensive — for the value they bring — and yet very well insulated. However, they come with a very wide range of design options, and we’re here to walk you through some of your options.

Can I install a floor-to-ceiling window in my house?

In principle, floor-to-ceiling windows can be installed anywhere where the structure allows it.

It doesn’t matter whether it’s a new build or an old building.

However, the costs for such a construction project need to be examined individually in existing properties, as additional costs may arise, for example, if ceiling-supporting measures are necessary. Therefore, you should definitely have your construction project checked by a structural engineer first.

What are some of the advantages and disadvantages?

The greatest advantage is certainly the ability to flood the home with natural light.

Photo credit: Olga_Ionina / Shutterstock

However, it is advisable to ensure that privacy protection is installed for particularly sunny days or evenings that can be used when necessary.

The large, see-through glass surfaces bring the outdoors in and have the ability to make your interior space appear visually larger. Especially in summer, large sliding doors will make the transition to the terrace appear seamless, creating a kind of indoor-outdoor feeling that is indescribably beautiful.

This turns the terrace into an extended living room.

In winter, particularly large windows that can be opened have the advantage that they allow for particularly effective cross-ventilation. Open the window wide for a few minutes, and the whole space will get aired out. And this is done without losing much of the heat stored in the inner walls of the house.

In addition, large windows let in warm sunlight at low outside temperatures, providing a little support for your heating and thus allowing you to reduce heating costs slightly.

When choosing a floor-to-ceiling window, make sure that the window has a good thermal insulation coefficient to be protected against outside temperatures in summer and winter.

» Note: Floor-to-ceiling windows are also particularly popular in upper floors. If you are pursuing such a construction project, it is mandatory to install fall protection and use laminated safety glass.

What types of floor-to-ceiling windows are there, and where can I buy them?

You can let your imagination run wild here. Whether arched windows, floor-to-ceiling windows that are divided in two, tiltable or non-tiltable windows in all widths and heights – anything is possible.

Photo credit: Alona Gross on Unsplash

Besides the shape, the equipment of the windows also plays a big role. Here it is recommended to invest in a well-insulated window-frame construction. The relatively small additional acquisition costs quickly pay for themselves through the heating costs saved.

» Tip: The best price-performance ratio is achieved with plastic windows. As long as the design of your desired window allows it, you will get a durable and robust product with a plastic window that will flood your home with natural light for many years.

In addition, modern plastic windows are recyclable and can be returned to the production cycle after their service life.

Nowadays, it is possible to buy floor-to-ceiling windows online. Take advantage of the opportunity to order directly from the manufacturer without intermediaries.

This way, you always get the lowest price. The manufacturer’s dealer network can usually be found on the producer’s website, so you can get advice from a professional nearby. Especially when it comes to the order dimensions and specifications of the window, as a layperson, it is better to play it safe.

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Source: fancypantshomes.com