Housing Tides Index™ June 2017

Housing Data Shows Improvement as Mortgage Delinquencies and Foreclosures Fall to New Lows

FOR IMMEDIATE RELEASE

U.S. housing markets strengthened marginally this month as the Housing Tides Index rose to 72.3 from 71.8 in May. This represents a modest improvement over the Index value of 70.0 in June 2016, and 26 of the 41 metropolitan areas tracked recorded higher Index scores this month when compared to one year ago.

June 15, 2017, DENVER

 

  • Black Knight Financial Services (BKFS) recently reported that the mortgage delinquency rate fell to 3.62% in March, and a review of historical U.S. mortgage delinquency data provided by the Federal Reserve Bank of St. Louis shows that this is the lowest rate of mortgage delinquency since late 2007. This continues the trend of mortgage market normalization, though delinquencies have not yet fallen to their pre-recession level of less than 3% of borrowers delinquent. On a similar note, BKFS reported a fall in the foreclosure rate to 0.88% of all mortgages, which is also a multi-year low. However, considerable differences in foreclosure rates remain among U.S. states. States with a judicial foreclosure process where proceedings must go through a court still have far higher foreclosure rates; judicial states New York and New Jersey had rates over 2.5% in March per the BKFS report, while non-judicial states Colorado and California recorded foreclosure rates of 0.2% and 0.3%, respectively.
  • After falling at the end of 2016, median asking rents for two-bedroom units have risen in two straight months according to latest data from Zillow. Still, with the asking rate at $1,575 per month nationally in April, rents remain below the peak of $1,750 seen June 2014. We expect rent price increases to ease in the near term given the high number of rental units under construction (U.S. Federal Reserve data show 612.1k housing units in buildings with five or more units under construction in April, the highest total since late 1974).
  • However, despite the large number of apartments approaching completion, upward pressure on rental prices should continue due to persistent tightness and rising prices in the for-sale market. Real estate brokerage Redfin reported that housing supply edged up slightly to 3.1 months of supply nationally in April while the median sales price reached a new high of $280k. 26 of the 41 metro areas tracked by the Tides team set new highs for nominal post-recession median sales price in April.
  • The Federal Housing Finance Agency reported that the U.S. effective mortgage interest rate for loans closed decreased to 4.1% in April after peaking at 4.4% in February. As such, mortgage interest rates are higher than the recent low of 3.72% seen just prior to the presidential election, though rates remain favorable when compared to the historical norm.
  • Single-family housing permits fell sharply in aggregate across the metro areas we track, totaling just 35,600 in April after reaching 40,100 in March. Multi-family permits increased in April, totaling 24,200, but the six-month moving average fell slightly to a rate of 23,500 permits per month.

Highlighting the Ten Healthiest U.S. Housing Markets – June, 2017

Click here to view the complete Housing Tides Index of the top 41 U.S. markets.

Media Exclusive! Housing Tides Media Monthly Pulse

Subscribe to our email service exclusively created for media that delivers an updated infographic depicting the latest monthly Housing Tides Index, the complete Index as it appears in the Housing Tides Report, and a brief executive summary. All content can be shared in print and digital publications, with attribution to the Housing Tides Report.

Members of the media can subscribe to the Housing Tides Media Monthly Pulse here.

For deeper insights into the Housing Tides Index, read our most recent blog discussing the indicators which are necessary to assessing market health.

About Housing Tides

Housing Tides (“Tides”) is the only monthly report that provides a comprehensive measure and aggregated understanding of the health of the U.S. housing and home building industry. Designed to take the guesswork out of the vast amount of forecasting information published about this sector, Tides is a sophisticated report that delivers city-specific, updated information when market conditions change. It is the only report that uses natural language processing and machine learning to correctly understand and synthesize large volumes of data, making it more comprehensive, balanced, and reliable than any other report of its kind. For further information, please visit housingtides.com and connect on Twitter, Facebook and LinkedIn.

Housing Tides is proudly partnered with IBM Watson®.

###

Media Contact:

Hannah Finch
970-556-0203
hannah.finch@housingtides.com

 

For the original version on PRWeb visit:

http://www.prweb.com/releases/2017/06/prweb14409912.htm

EnergyLogic, Thrive Home Builders and USGBC Strengthen Their Synergy by Completing the First Two LEED v4 Certified Single-Family Model Homes in Westminster, Colorado

Through the new Department of Energy Zero Energy Ready Home Alternative Compliance Pathway (DOE ZERH ACP), two of Thrive Home Builders Hyland Village model homes achieved LEED Silver certification, raising the bar and bringing something new to a compact, mixed-use development community.

Many builders have completed LEED certifications, but this newest alternative pathway enables production builders to use the Environmental Protection Agency’s ENERGY STAR® and Indoor airPLUS programs, as well as the DOE ZERH program as tools to achieve LEED certification.

As the largest Zero Energy Ready home builder in Colorado, Thrive Home Builders has achieved well-deserved recognition for focusing on areas beyond traditional energy efficiency such as materials and resources, location and transportation, and occupant health and comfort. LEED v4 is a tool that allows Thrive Home Builders to bring its various programs together into one holistic certification that will easily be recognized by consumers, as well as easily identified homes in the Hyland Village community recognized for building above and beyond standard code requirements.

“LEED has made significant inroads in the commercial sector, but has yet to catch up in the single-family home world,” said EnergyLogic’s Principal and Director of Builder Relations, Robby Schwarz. “LEED’s commitment to create a program that is not only meaningful but also is workable in the production home building environment should be applauded. EnergyLogic is pleased to contribute to the development of this new avenue for homes to be certified under the LEED for Homes program.”

“Thrive has been the perfect partner to work with, as their commitment to sustainable construction for their buyers aligns perfectly with what EnergyLogic and the LEED for Homes program are trying to achieve,” said EnergyLogic’s Schwarz.

Thrive Home Builders CEO Gene Meyers relates that Thrive has been excited about the possibility of building LEED-certified homes for a long time. “With this new certification path, the U.S. Green Building Council (USGBC) has paved the way for large-scale adoption of the LEED program in residential home construction, and we intend to lead the way in that adoption.”

USGBC is committed to transforming the way buildings are designed, constructed and operated through LEED — the top third-party verification system for sustainable structures around the world. Every day USGBC is helping to advance spaces that are better for the environment and healthier for us to live, work and play. Through its community network, continuous collaboration with industry experts, market research publications, and LEED professional credentials, USGBC remains a key driving force in the green building sector.

“The USGBC has achieved a remarkably high level of public awareness for the LEED program due to the inroads they’ve made in large-scale commercial construction projects. With this new certification path, there’s now a practical way for production homebuilders like ourselves to certify significant numbers of homes in the program,” said Thrive’s Myers.

“The residential sector is responsible for 21 percent of U.S. carbon dioxide emissions, making it a real contributor to climate change,” said Mahesh Ramanujam, president and CEO of USGBC. “LEED-certified homes like Thrive’s Hyland Village model homes are a measurable and impactful way individuals can make a difference for the environment, and this project serves as an example to the community of the benefits of doing good by living well.”

About EnergyLogic

Berthoud, Colorado-based EnergyLogic is a software and building consulting company that provides expert resources, education, and support to new home builders and energy raters involved in the construction of high‐performance homes. EnergyLogic serves as a resource to other organizations that are influential in creating energy-efficient housing across America and also built the system that analyzes and detects fraud in all of the country’s residential energy ratings. For more information, visit nrglogic.com, and connect on Twitter, Facebook, and LinkedIn.

About Thrive Home Builders

Thrive Home Builders has been a leader in the design and construction of energy-efficient homes since 1993. Founder Gene Myers is recognized as a pioneer in zero energy building, and the company is repeatedly recognized by industry associations for its sustainable construction of single family homes and rowhomes. The company continues to lead the homebuilding industry into the next frontier by building well-crafted homes that promote both energy-efficiency and homeowners’ wellness. Its award-winning, DOE Certified Zero Energy Ready and Zero Energy homes are available throughout Denver and its suburbs. For more information, visit thrivehomebuilders.com.

About the U.S. Green Building Council

The U.S. Green Building Council (USGBC) is committed to a prosperous and sustainable future through cost-efficient and energy-saving green buildings. USGBC works toward its mission of market transformation through its LEED green building program, robust educational offerings, an international network of local community leaders, the annual Greenbuild International Conference & Expo, the Center for Green Schools and advocacy in support of public policy that encourages and enables green buildings and communities. For more information, visit usgbc.org, and connect on Twitter, Facebook and LinkedIn.

For the original version on PRWeb, visit: http://www.prweb.com/releases/2017/03/prweb14158919.htm

Housing Tides Index™ May 2017

Housing Health Falls for Second Straight Month as Supply Decreases Further

FOR IMMEDIATE RELEASE

U.S. housing and homebuilding market health declined again as the Housing Tides Index™ fell to 71.7 in May from 72.4 in April. The Index still indicates improved conditions from its year-ago value of 70.5.

May 11, 2017, DENVER –This week marks the release of the May Housing Tides Report™, featuring an update to the Housing Tides Index™, an objective and sophisticated approach to quantifying and comparing the health of U.S. housing markets. The Index value suggests that market health remains on solid ground despite the persistent mismatch between housing supply and demand.

Understanding the health of a housing market and its relationship to other top markets requires an aggregated, comprehensive view of the industry. The Housing Tides Index provides a succinct monthly measure of market health across the top 41 U.S. markets. Referencing 18 market indicators ranging from unemployment rates and housing permits to rental vacancy and mortgage foreclosure rates, the Tides Index helps users understand exposure at a deeper level than is currently possible.

 

  • The fall in housing supply constituted the biggest movement among Index variables this month, as Redfin reported a decrease to just 2.9 months of supply at the current sales rate. This is tied with December 2016 for the tightest supply of housing on record since Redfin data began in 2010. Note that although the total number of homes listed for sale improved to 707k month-over-month, this increase was outpaced by a sharp increase in the rate of sales, pushing the months-of-supply measure lower. Substantial variation across local markets remains, but 40 of the 41 metropolitan areas tracked by Housing Tides show less than six months of supply, which is widely agreed upon as a healthy, balanced level.
  • Last month we highlighted the construction unemployment rate which had reached a 22-month high of 9.4% in January. As expected, latest data from the Bureau of Labor Statistics show industry unemployment dropped to 8.8% in February as homebuilders ramped up operations to begin the warm-weather construction season. The improvement in this metric partially offsets the negative effect of the decrease in housing supply on the Index.
  • Zillow reported a fall in asking rents for two-bedroom units to $1,500 per month in February, and January’s figure was upwardly revised to $1,545 per month. Census data show rental vacancy remained near 7% in the first quarter, suggesting stability in rental prices in coming months. Availability of rental units and moderating rent costs are beneficial to prospective homebuyers that have been deterred by tight housing supply and rising home prices in recent years.
  • The median home sales price increased to $273k in March, up 4.5% month-over-month. The median sales price has increased 7.5% since March 2016, though home prices remain lower than the peak of $277k seen in June 2016. Extreme tightness in housing supply should continue this trend in the near future, and we wouldn’t be surprised to see home prices surpass last year’s peak as the summer proceeds.
  • The Consumer Confidence Index fell to 120.3 from its multi-year high of 124.9 in March, but the current level continues to indicate considerably optimistic consumer outlook in historical context. In a press release The Conference Board explained that “Looking ahead, consumers were somewhat less optimistic about the short-term outlook for business conditions, employment, and income prospects. Despite April’s decline, consumers remain confident that the economy will continue to expand in the months ahead.”
  • Single-family housing permits rose sharply in March, increasing more than 30% month-over-month. The Census Bureau reports 40,100 permits approved across the 41 metro areas we track, which is the highest total since June 2006. Multi-family permit approvals increased in March, but the six-month moving average fell to 23,900 permits per month.
  • Highlighting the Ten Healthiest U.S. Housing Markets – May, 2017:

  • Click here to view the complete Housing Tides Index of the top 41 U.S. markets.

    Media Exclusive! Housing Tides Media Monthly Pulse

    Subscribe to our email service exclusively created for media that delivers an updated infographic depicting the latest monthly Housing Tides Index, the complete Index as it appears in the Housing Tides Report™, and a brief executive summary. All content can be shared in print and digital publications, with attribution to the Housing Tides Report.

    Members of the media can subscribe to the Housing Tides Media Monthly Pulse here.

    About Housing Tides

    Housing Tides™ (“Tides”) is the only monthly report that provides a comprehensive measure and aggregated understanding of the health of the U.S. housing and home building industry. Designed to take the guesswork out of the vast amount of forecasting information published about this sector, Tides is a sophisticated report that delivers city-specific, updated information when market conditions change. It is the only report that uses natural language processing and machine learning to correctly understand and synthesize large volumes of data, making it more comprehensive, balanced, and reliable than any other report of its kind. More information is available at http://www.housingtides.com.

    Housing Tides is proudly partnered with IBM Watson®.

###

Media Contact:

Hannah Finch
970-556-0203
hannah.finch@housingtides.com

 

For the original version on PRWeb visit:

http://www.prweb.com/releases/2017/04/prweb14239653.htm

EnergyLogic is in the news, helping to support the importance of the ENERGY STAR® program

EnergyLogic was happy to participate in Grace Hood’s Story on the importance of the ENERGY STAR® program. Grace Hood is an Energy and Environment Reporter with Colorado Public Radio. ENERGY STAR is on the list of 49 programs proposed to be cut within the Environmental Protection Agency.

Want An Efficient Colorado Home? The Program That Certifies That May Face Cuts

Denver is ground zero for Colorado’s construction boom, especially when it comes to building to accommodate a swelling population. In a North Denver development called Midtown, construction workers are still putting finishing touches on Energy Star-rated homes, a program that’s existed since 1995.

There’s many elements invisible to most people: special building materials and features help these new homes achieve up to 30 percent energy savings. Steve Eagleburger, who works for an independent company named EnergyLogic, is someone who reviews and certifies some of those unseen elements. Today, he’s checking a home to make sure the attic is insulated.

“This one is not insulated at all,” Eagleburger notes before moving on to the next thing — a checklist of dozens of items.

EnergyLogic CEO Steve Byers said this home won’t get the Energy Star seal of approval until the builder fixes the insulation and any other issues his company has flagged.

“The Energy Star brand has brand recognition on par with Coke and Pepsi,” said Byers said. “This is a very successful program. I don’t know what more one could want out of a government program.”

Read the full Colorado Public Radio story here

Housing Tides Index™ April 2017

Market Health Increases in 33 of the Top 41 Local U.S. Markets

FOR IMMEDIATE RELEASE

The Housing Tides Index™ fell to 72.4 in April, down 1.1 points from March. April’s score is the lowest Index value in the past six months, though only 0.1 point lower than April of 2016.

April 13, 2017, DENVER – This week marks the release of the April Housing Tides Report™, featuring an update to the Housing Tides Index™, an objective and sophisticated approach to quantifying and comparing the health of U.S. housing markets. At 72.4, the Index shows the U.S. housing market remains strong even with a rise in the construction sector unemployment rate and tight housing supply.

Understanding the health of a housing market and its relationship to other top markets requires an aggregated, comprehensive view of the industry. The Housing Tides Index provides a succinct monthly measure of market health across the top 41 U.S. markets. Referencing 18 market indicators ranging from unemployment rates and housing permits to rental vacancy and mortgage foreclosure rates, the Tides Index helps users understand exposure at a deeper level than is currently possible.

 

  • The construction unemployment rate rose to 9.4% in January, up considerably from a 4.5% rate in June 2016. It’s difficult to reconcile the reported construction unemployment rate with the tales of labor scarcity coming from the industry in recent years, though part of the disconnect may be due to the grouping of workers into the larger construction supersector; for instance, there may be a relative surplus of unskilled laborers and a simultaneous shortage of skilled tradespersons, a distinction that isn’t made in the overall rate.
  •     Median asking rents for two-bedroom units increased nationally in January to $1,536 per month, contributing in part to the fall in this month’s Index value. Moreover, asking rents increased in 37 of the 41 major metropolitan areas covered by Housing Tides.
  •     Housing inventory remains below our healthy target of six months of supply, and with only 678k homes on the market in February this represents just four months of supply at the current sales rate. For-sale inventory is down 12.9% from February 2016 when there were over 100k more homes on the market.
  •     The U.S. unemployment rate fell to 4.9% in February after increasing to 5.1% in January. We interpret this level of unemployment as balanced between supporting wage growth while enabling employers to find needed workers.

Highlighting the Ten Healthiest U.S. Housing Markets – April, 2017:

Click here to view the complete Housing Tides Index of the top 41 U.S. markets.

Media Exclusive! Housing Tides Monthly Pulse

Subscribe to our email service exclusively created for media that delivers an updated infographic depicting the latest monthly Housing Tides Index, the complete Index as it appears in the Housing Tides Report™, and a brief executive summary. All content can be shared in print and digital publications, with attribution to the Housing Tides Report.

Members of the media can subscribe to the Housing Tides Monthly Pulse here.

About Housing Tides

Housing Tides™ (“Tides”) is the only monthly report that provides a comprehensive measure and aggregated understanding of the health of the U.S. housing and home building industry. Designed to take the guesswork out of the vast amount of forecasting information published about this sector, Tides is a sophisticated report that delivers city-specific, updated information when market conditions change. It is the only report that uses natural language processing and machine learning to correctly understand and synthesize large volumes of data, making it more comprehensive, balanced, and reliable than any other report of its kind. More information is available at http://www.housingtides.com.

Housing Tides is proudly partnered with IBM Watson®.

###

Media Contact:

Hannah Finch
970-556-0203
hannah.finch@housingtides.com

 

For the original version on PRWeb visit:

http://www.prweb.com/releases/2017/04/prweb14239653.htm