Salients Points: The residential real-estate market is weathering the U.S. economic slowdown. Single family starts rose at the highest rate this year, while apartment construction slumped. Building permits climbed to the highest level since September 2008 on lower prices and record-low mortgage rates. Overall starts in May declined 13 percent in the Midwest, 20 percent in
READ MORE... →Salient to Investors: Mexico last month passed China to become the US’s second-largest trade partner after Canada. Mexico is Texas’ No. 1 trade partner, and the ports of Laredo, El Paso and Houston rank among Mexico’s top five trading partners. One-third of the content of Mexico’s exports are made in the
READ MORE... →Salient to Investors: Florida ’s jobless rate has fallen more than in 42 counterparts in the past two years, the extra yield on its muni-bonds has dropped 25 percent this year over the average AAA security Peter DeGroot at JPMorgan Chase says the yield spread will narrow more amid declining unemployment and climbing home sales.
READ MORE... →The percent of men aged 25-34 living at home with parents has risen to near 20 percent in 2011 versus 14 percent in 2005. The percent of women aged 25-34 living with their parents rose to 1o percent in 2011 versus 8 percent in 2005. The unemployment rate for men 25-34 saw a
READ MORE... →Salient to Investors: Home equity in the first quarter rose to the highest level since 2008 as homeowners refinance to pay down principal. Half the mortgages refinanced in the fourth quarter reduced loan size, a record.Predictions: About 23 percent of mortgage holders are underwater on their loans. Predictions: Median forecast
READ MORE... →Southern California home prices rise to highest level in 20 months as sellers are more willing to make deals so they can buy more desirable properties at low mortgage rates and relatively low property-tax bases. The share of higher priced homes’ rose to its highest share since July 2010, while distressed deals fell to the lowest share since March 2008.
READ MORE... →Salient to Investors: Private-equity and institutional funds cannot find enough low-cost foreclosed homes as the supply has fallen and prices have recovered. U.S. home prices are 35 percent below the 2006 peak. Demand for rentals is growing, homeownership is at the lowest level since 1997. Bulk sales may be delayed by political pressure to monitor the properties.
READ MORE... →NAR said foreign buyers bought $82.5 billion of U.S. homes in the 12 months through March 2012, or 4.8 percent of the $928.2 billion market, versus $66.4 billion a year earlier. Arizona, California, Florida and Texas were 51 percent of the foreign purchases, Canadians 24 percent, Chinese 11 percent, Mexicans 8 percent, India and the U.K. each 6 percent of purchases. Foreign buyers paid
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