September/October 2016 Market Pulse

A glimpse at the current state of the housing market.

September 14, 2016

Jobs are growing and interest rates remain low, but tight inventory in many parts of the country continues to drive home prices up, hurting affordability, especially for first-time buyers, who can’t tap home sale proceeds to come up with a down payment. Sellers, meanwhile, are reporting faster sales, with homes averaging 36 days on the market, down from 42 days a year ago.

 

 

 

Tougher Time for First-Time Buyers

The median income of first-time home buyers continues to be high enough to qualify for financing, but the margin has been narrowing over the past three years. If the trend continues due largely to escalating home prices, obtaining a mortgage will become much harder for new purchasers.
Source: NAR Research

Lawrence Yun
Chief Economist and Senior Vice President of Research at the National Association of REALTORS®

Yun oversees and is responsible for a wide range of research activity for the association including NAR’s Existing Home Sales statistics, Affordability Index, and Home Buyers and Sellers Profile Report. He regularly provides commentary on real estate market trends for its 1.3 million REALTOR® members.

Dr. Yun creates NAR’s forecasts and participates in many economic forecasting panels, among them the Blue Chip Council and the Wall Street Journal Forecasting Survey. He also participates in the Industrial Economists Discussion Group at the Joint Center for Housing Studies of Harvard University. He appears regularly on financial news outlets, is a frequent speaker at real estate conferences throughout the United States, and has testified before Congress. Dr. Yun has appeared as a guest on CSPAN’s Washington Journal and is a regular guest columnist on the Forbes website and The Hill, an “inside the beltway” publication on public affairs.

Dr. Yun received his undergraduate degree from Purdue University and earned his Ph.D. from the University of Maryland at College Park.