Santa Clarita Real Estate & Market Report: January 23, 2015: The stock market is likely to get a boost in the coming days and weeks as Europe engages in their version of an economic stimulus program.
As the United States had engaged in a massive bon buying program after the great recession, Europe is now doing the same after trying many other ways to stimulate their lagging economy without success.
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Housing in the U.S. continues to creep along in an ever so slightly upward trajectory. Home builders continue to report solid movement in the sector with the latest housing market index coming in at 57 in
January. December was revised upwardly to 58.
January is the 7th month in a row with a score of 50 or higher which is indicative of reasonable strength and growth. Despite increased building, buyer traffic seems to continue to remain weaker than most would like. Heading into the spring buying season however has many optimistic that more purchasers will be coming off the sidelines to purchase both new and existing homes.
A good sign for housing was in the housing starts report which picked up in December. The best part about the report is that the greatest and most notable strength was in the single-family component.
Santa Clarita Real Estate & Market Report
Housing starts increased 4.4 percent after previously declining by 4.5 percent in the month of November. Additionally single family permits rose 4.5 percent while multifamily permits dropped 11.8 percent. It is possible that this most recent report is the start of sustained single family growth. Reports over the next few months will tell the real picture.
Great news from the Federal Housing Finance Agency is that the purchase only house price index showed unexpected strength in October.
With a gain of 0.6 percent, after no change in September, this was a higher than anticipated jump as analysts forecast a 0.2 percent rise for October. From the same time last year the index is up 4.5 percent. This is 1/10th higher than September2019s 4.4 percent increase.
First time jobless claims have been inching higher in recent weeks. The recent upward trend is not pointing to a strong employment picture for the month of January.
Claims have been remaining close to the 300K mark which is not terrible or alarming, however the recent trend has some experts concerned about where we are headed. The stimulus program being launched in Europe may have a positive impact on U.S. employment if the markets react positively to Europe’s efforts.
Do you have a news tip? Call us at (661) 298-1220, or drop us a line at community@hometownstation.com.Next week’s potential market moving reports:
Tuesday January 27th – Durable Goods Orders, S&P Case-Shiller and New Home Sales
Wednesday January 28th – MBA Applications & FOMC Minutes
Thursday January 29th – First Time Jobless Claims and Pending Home Sales
Friday January 30th – GDP
As your mortgage professional, I am happy to assist you with any information you may need regarding mortgage or real estate trends. I welcome the opportunity to serve you in any way I possibly can. Please feel free to reach me at 661-505-4300.