Bluebid Buzz: March 9
As a benefit to the homeowners and homebuyers using our platform, 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 March 9, 2023…
The housing market normally has a sense of optimism about it as spring approaches. Economists are divided on whether a housing recovery has begun, however, as investors brace for more rate hikes from the Federal Reserve. Conflicting data points and disagreements aside, one thing is certain - supply shortages continue to limit the overall market.
Even as rates march higher (again), CNBC shares that total mortgage applications rose 7.4% last week.
Yahoo says the small recovery in demand still signals many borrowers are waiting on the sidelines. Compared to the same week last year, mortgage applications are down 42%.
Redfin found there were half as many affordable homes for sale in 2022 when compared to 2021.
HousingWire writes that the gap between single family home construction and household formation has grown to 6.5 million. Seriously.
Realtor.com published what it calls a “brutally honest” spring housing preview, and the company forecasts the availability of homes for sale will continue to be the the market's primary constraint.
Inventory remains tight in most markets, but Goldman Sachs says via Fox Business that supply is now overwhelming demand in Austin, Phoenix, San Francisco, and Seattle.
Closer to home, the Boston Globe reports buyers don’t have much to choose from because owners aren’t selling. That’s where Bluebid comes in. Since launching in Boston, we are ~90% of the way to our initial goal of 1,000 homes on platform. For reference, recent data shows only 5,238 active listings in Massachusetts. Bluebid Homes offers owners an opportunity to test the market privately and without published days on market. Many are clearly responding, and all market participants stand to benefit.
Have a great week.