Bluebid Buzz: September 21
The Bluebid Buzz is a regular summary of housing market news and data driving our decision-making at Bluebid Homes.
Here's the Buzz for the week of September 21, 2023…
Home sales are down, interest rates have ticked back up, a jump in mortgage applications signals demand on deck, and slowing new-home construction won't help the inventory crunch.
According to the National Association of Realtors, existing home sales dropped 15.3% annually in August. The group says sales improved in the Midwest, were unchanged in the Northeast, and slipped in the South and West.
Mortgage Bankers Association says mortgage applications increased 5.4% last week, despite the 30-year fixed mortgage rate edging back up to 7.31% - its highest level in 4 weeks.
A majority of buyers on our platform at this stage in its evolution are searching for single family homes in Massachusetts, and a new report from the Warren Group shows single family sales down 23.6% annually in the Commonwealth. The biggest culprit? Lack of inventory.
CNN writes that housing starts, a measure of new-home construction, last month dropped to its lowest level since June 2020.
Boston.com provided readers with an updated breakdown of the Massachusetts housing market. Of particular interest to our team is their inventory chart for 2004-2023. While it's not pretty - especially if you're a buyer in Greater Boston - it shines a spotlight on the need for what we're building at Bluebid. 99.7% of homes in Massachusetts don't appear on traditional listing services. At a time when many owners are reluctant to subject themselves to the pressure of published days on market, we recently announced our inventory has surpassed 1,600 off-market listings. Would you like to privately explore selling? You can claim your home on our platform to begin fielding confidential buyer inquiries.
Have a great week.
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.