Interview: How Is Spring Season Housing Demand?

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Today on the radio show Lykken on Lending, host David Lykken and I spoke  about the state of the U.S. housing market.

My participation  starts at the 40:00 mark

http://www.blogtalkradio.com/lykkenonlending/2017/04/03/4-3-17-logan-mohtashami-reveals-spring-season-demand

To illustrate some of the points made on the broadcast, I am posting a this chart.

1. Purchase Application Data

One of the reasons why I expected flat growth in 2017 is that I didn’t believe we could repeat the 25% year over year growth we saw in the heat months of 2016.  As I expected, this year we are seeing growth between  0.1% -6%. Purchase applications are still growing but we are only back to 1998 levels with 165 Million people working, unemployment claims at 44 years lows, job openings at 5.6 million and rates below 5% since early 2011. Demographics for housing will improve in a few more years.

From Calculated Risk: 
http://www.calculatedriskblog.com/2017/03/mba-mortgage-applications-decrease.html

MBAMar292017

The housing market, so far,  is outperforming my estimates for this year, as I describe in my previous articles listed here:

Articles to go over that

Strong Pending Home Sales Bust the Low Inventory Myth

https://loganmohtashami.com/2017/03/29/strong-pending-home-sales-bust-the-low-inventory-myth/

Existing Home Sales Look Excellent

https://loganmohtashami.com/2017/03/22/existing-home-sales-look-excellent/

The April fool joke article here, mocking the Great American Recession bears of 2009-2017

The United States Is Close To A Recession 
https://loganmohtashami.com/2017/04/01/the-united-states-is-close-to-a-recession/

 

Logan Mohtashami is a financial writer and blogger covering the U.S. economy with a specialization in the housing marketLogan Mohtashami is a senior loan officer at AMC Lending Group,  which has been providing mortgage services for California residents since 1987. Logan also tracks all economic data  daily on his own facebook page https://www.facebook.com/Logan.Mohtashami