Bluebid Buzz: June 22
I share a regular summary of housing market news and data driving our decision-making here at Bluebid Homes. We call it the Bluebid Buzz.
Disclaimer: Views expressed here are my own and not the views of my coworkers or anyone else. I am not a financial advisor, investment advisor, or housing expert. I’m just a guy who cares deeply about saving the American Dream of homeownership.
Here's the buzz for the week of June 22, 2023…
This week saw mortgage rates down slightly, application volume marginally higher, homebuilding activity surging, and depressed existing home inventory (again).
Yahoo Finance says it's official: The traditionally hot spring homebuying season didn't come to fruition in 2023, and the continuing inventory shortage is bolstering home prices.
The Mortgage Bankers Association observed the 30-year fixed mortgage rate declining for the third consecutive week to 6.73%, while loan application volume increased 0.5% on a seasonally adjusted basis from one week earlier.
Redfin reports there were fewer homes for sale in May than any other month on record, as many owners feel trapped by mortgage rates.
Despite homes for sale dropping, Forbes shares that the amount of new home construction saw a three-decade high in May, surging 21.7% from April.
Zillow writes that the United States needs 4.3 million more homes for sale or rent. While there were 15.6 million vacant homes at last count, only 3.7 million of them were available for rent or sale. I believe this data screams inefficient marketplace design, as millions of inhabitable homes sit empty - despite a bevy of qualified buyers. While plenty of work remains, Bluebid Homes has made great progress in removing friction from the experience of engaging with buyers. We're showing we can tap dormant supply in a big way, and we won't stop.
Have a great week.