New homes have experienced the same record price appreciation that the overall market has seen in the past two years. In June, the annual appreciation for new home prices was 17%, which is only slightly below 20% for existing homes1. To develop a more complete picture of the overall market, we must also look at the number of sales — and those tell a different tale.
CoreLogic©, a leading global property information, analytics and data-enabled solutions provider, today released its latest Single-Family Rent Index (SFRI), which analyzes single-family rent price changes nationally and across major metropolitan areas. Single-family rent prices remain elevated, up 13.4% from one year earlier, but have continued to relax compared with growth seen earlier this year. This deceleration could be partially due to worries over an impending economic slowdown, even though the job market added 528,000 positions in July, returning the employment rate to its level prior to the COVID-19 outbreak
Peak apartment rent growth is almost certainly now in the rearview mirror, as nearly all measures of rent growth showed deceleration between June and July. But that’s not to say it’s bargain shopping time, as rent growth remains elevated – and likely will throughout the remainder of 2022. Nationally, effective asking rents ticked up 0.8% between June and July. That amounted to only about one-third the monthly increase seen in July 2021, yet still ranked above any other July (aside from 2021) in the last decade. The deceleration was expected, and aligns with RealPage’s forecasts going into 2022.
The CoreLogic Loan Performance Insights report features an interactive view of our mortgage performance analysis through May 2022. Measuring early-stage delinquency rates is important for analyzing the health of the mortgage market. To more comprehensively monitor mortgage performance, CoreLogic examines all stages of delinquency as well as transition rates that indicate the percent of mortgages moving from one stage of delinquency to the next.
The CoreLogic Home Price Insights report features an interactive view of our Home Price Index product with analysis through June 2022 with forecasts through June 2023. CoreLogic HPI™ is designed to provide an early indication of home price trends. The indexes are fully revised with each release and employ techniques to signal turning points sooner. CoreLogic HPI Forecasts™ (with a 30-year forecast horizon), project CoreLogic HPI levels for two tiers—Single-Family Combined (both Attached and Detached) and Single-Family Combined excluding distressed sales.
Demographic tailwinds, economic growth potential and relative affordability have long driven developers to Texas. The past two years were no exception, despite economic strife resulting from a worldwide pandemic. Texas construction totals made up about 19% of all apartment construction in the nation, as of mid-2022. Similarly, Texas property trades made up about 19% of all sales volumes across the country during that time. What’s more significant: Texas makes up less than 9% of the total U.S. population.
Year-over-year comparisons are part of operating apartments, but … this is a year when year-over-year comparisons were inevitably going to be unfavorable. Remember: We’re comparing against 2021, which will likely go down as the strongest year on record by the time of all of us retire. That’s important context when monitoring your leasing traffic. It’s more than likely down compared to 2021. Nationally, guest card volumes in U.S. apartments were down 17% in 2nd quarter 2022 compared to the same time in 2021.
ATTOM, a leading curator of real estate data nationwide for land and property data, today released its second-quarter 2022 U.S. Home Sales Report, which shows that profit margins on median-priced single-family home and condo sales across the United States hit another new record of 55.5 percent following the largest quarterly gain in a decade.
Welcome to the August 2022 Apartment List National Rent Report. Our national index rose by 1.1 percent over the course of July, a slightly slower rate of growth than we observed last month. So far this year, rents are growing more slowly than they did in 2021, but faster than they did in the years immediately preceding the pandemic. Over the first seven months of 2022, rents have increased by a total of 6.7 percent, compared to an increase of 12.0 percent over the same months of 2021. Year-over-year rent growth currently stands at 12.3 percent, but has been trending down since the start of the year from a peak of 18 percent.
During the first six months of the year, the value of commercial and multifamily construction starts in the top 20 metropolitan areas of the U.S. increased 24% from 2021, according to Dodge Construction Network. Nationally, commercial and multifamily construction starts increased 18% year-to-date. In the top 10 metro areas, commercial and multifamily starts rose 28% in the first six months of 2022 compared to that of 2021.
Despite some indicators of economic headwinds, annual gains in employment at the metro level are still climbing. According to the latest release from the Bureau of Labor Statistics (BLS), eight of the top 10 markets for annual job gains in June added to their annual totals from the month before. All of May’s top 10 markets returned in June, with the first eight in the same order and only two changing places. New York continues to lead the nation in annual gains with 415,500 jobs added to their economy, 12,500 more than May’s annual tally but down almost 200,000 jobs from the strong post-pandemic lockdown recovery figures in 2021.
Household composition refers to the group of individuals who live together in a household, and how they relate to one another. Historically, changes in household composition have been fairly gradual and reflect cultural and economic shifts that unfold over generations. But the household shifts that resulted from the COVID-19 pandemic were rapid, and have had a dramatic effect on housing affordability.
By now, the continuous records set in Fall 2022 pre-lease season sound familiar. As of June, pre-lease occupancy in the core 175 universities tracked by RealPage is higher than in any other previous June, and rent growth is at an all-time high. As of June, 86.2% of beds at the RealPage 175 were pre-leased for the Fall 2022 academic year. That marks the highest ever June reading, and stands above several recent July readings, according to data from RealPage Market Analytics. The month-over-month increase (about 670 basis points) showed continued momentum, even as late-season demand runs out of runway
ATTOM, a leading curator of real estate data nationwide for land and property data, today released its Midyear 2022 U.S. Foreclosure Market Report, which shows there were a total of 164,581 U.S. properties with foreclosure filings — default notices, scheduled auctions or bank repossessions — in the first six months of 2022. That figure is up 153 percent from the same time period a year ago but down just one percent from the same time period two years ago.
After the uncertainty brought by the global pandemic for the last two years, the student housing industry can now be summed up in two words: impressive performance. Considerable demand has propelled pre-lease rates to record levels across the core 175 universities tracked by RealPage. After the pandemic-stunted performance in Fall 2020, Fall 2021 picked up a considerable amount of late season pre-lease demand in June, July and August.
The CoreLogic Loan Performance Insights report features an interactive view of our mortgage performance analysis through April 2022. Measuring early-stage delinquency rates is important for analyzing the health of the mortgage market. To more comprehensively monitor mortgage performance, CoreLogic examines all stages of delinquency as well as transition rates that indicate the percent of mortgages moving from one stage of delinquency to the next.
ATTOM’s just released Q2 2022 U.S. Home Affordability Report shows that median-priced single-family homes and condos were less affordable in Q2 2022, compared to historical averages in 97 percent of U.S. counties. The report noted that figure was up from 69 percent in Q2 2021, to the highest point since 2007 – just before the housing market crashed during the Great Recession of the late 2000s.
Numerous indicators suggest that conditions in the red-hot U.S. apartment sector are finally moderating. But is it a true slowdown similar to the magnitude seen in the for-sale housing market? Not yet. Rents are still growing substantially and vacancies remain few. Renters signing a new lease in June paid 19.2% more than previous occupants of the same units. That’s a tick above the previous high set one month earlier, and likely could end up as the peak growth rate – as it marked the first time in 2022 where trade-out rents didn’t jump up significantly from one month to the next.
Although the real estate market showed signs of receding in Q4 2021, investors resumed their buying spree in early 2022. Investors made 28.1% of all single-family purchases in February, a record high according to CoreLogic’s data that goes back to 2011. March registered similarly high figures, with an investor share of 27.9%. Figure 1 depicts this bounce back in investor interest with investor share of home purchases rising nearly 5 percentage points from December (21.8%) to January (26.6%).
While 2021 was a banner year for the overall housing market, it proved particularly strong for luxury home purchases. Sales of luxury homes — defined as homes priced at or above $2 million — jumped 72% in 2021 compared to the year prior and 116% when compared to 2019. Although all price segments within the luxury home market saw a substantial jump, the largest increase occurred for homes priced between $10 and $20 million, a segment which was up 89% in 2021.
