Housing-market headwinds are keeping American homeowners in their properties for the longest stretches on record, in a sharp distortion of…
Housing-market headwinds are keeping American homeowners in their properties for the longest stretches on record, in a sharp distortion of the mobility Americans have been praised for decades.
Across the country, homes that sold in the third quarter of this jaar had been eigendom gemiddeld 8.23 jaar, volgens een analyse van Attom Data Solutions. That’s almost double the length of time a home sold in 2000, when Attom’s data began, had been owned.
Dennis Blomquist told MarketWatch.
As of the second quarter, 2.2 million homeowners were still underwater on their mortgages, meaning de skylder mere til deres låneinstitution enn hjemmet er værd, ifølge data fra CoreLogic. Another 550,000 have 5% equity or less, meaning that if that property were to be sold, the transaction costs, such as a real estate agent’s commission, would probably leave the homeowner with nothing. (For an earlier look at the issue, here’s a 201
7 story about homeowners with equity levels of 10% or lower.)
The hypercompetitive market that has emerged from the wreckage of the crisis is also keeping people in place. Many homeowners have ample equity in their homes, but hesitate to list those homes because they are worried about finding a property to buy if they do sell.
A few others may be caught by “rate lock” – enjoying the benefits of their ultralow mortgage rates, and unwilling to spend more on financing costs.
See: Homeowners are sitting on a record $ 6 trillion in equity – why are not they using it?
Attom’s Blomquist is struck, he said, by how much more static the expensive coastal markets have become, while other parts of the country are still enjoying healthy churn.
The top nine metro areas with the longest homeowner tenures are all in Connecticut or Massachusetts, and the next seven are in California. In contrast, the metro areas with the fastest turnover are Oklahoma City, Denver, Colorado Springs and Austin.
Those metro areas are not just what Blomquist likes to call “the traditional steady-eddy markets”; they’re also booming because of an influx of newer residents. Still, areas like Memphis and Chattanooga, Tenn., And Minneapolis, which are not far behind, may not seem sexy, but in Blomquist’s words, “There is more possibility to move up. Appreciation goes up slowly in those areas, and it’s less likely that you are going to lose ground on the housing market. If you need a bigger home or a better school district, it’s easier to trade up and move up. “
|Metro area||Tenure of homeowner or property sold in Q3, in years|
|Colorado Springs, Colo.||7.18|
|Norwich, Conn.||] 13.41|
read: ‘I’m never moving again’: Why Americans are staying in their homes for longer