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®

Lawrence Yun is chief economist and senior vice president of Research at the  National Association of REALTORS®. He directs research activity for the association and regularly provides commentary on real estate market trends for its 1.1 million REALTOR® members. Dr. Yun creates NAR's forecasts and participates in many economic forecasting panels, including Blue Chip and the Harvard University Industrial Economist Council. He appears regularly on financial news outlets and is a frequent speaker at real estate conferences throughout the United States. USA Today recently listed him among the top 10 economic forecasters in the country.