The federal government adopted the Housing and Community Development Act in 1977, and the Community Reinvestment Act (CRA) portion was designed to prompt lending institutions to provide mortgages for low- and moderate-income Americans. The underlying reasoning for the CRA was to discourage discriminatory lending practices that inhibited low-income communities and neighborhoods. Over the years, its regulations have been revised to improve effectiveness. During the early 1990s, upwards of five … [Read more...]
NAHB: Housing Market Index Rises 1 Point in July
Home Builder sentiment rose one point in July according to the National Association of Home Builders Housing Market Index. 2019 builder confidence in housing market condition continued to fall short of 2018 levels. July's Housing Market Index reading of 65 was one point higher than June's reading. Component readings also rose one point each. Builder confidence in current housing market conditions rose to 72; the reading for builder confidence in market conditions for the next six months rose to … [Read more...]
Case-Shiller: Annual Home Price Growth Slows for 13th Consecutive Month
Case-Shiller's 20-City Home Price Index for April showed further declines in home price growth with 2.50 percent year-over-year home price growth as compared to March home price growth of 2.60 percent. New York City home prices held steady month-to-month and Seattle, Washington's home prices were unchanged year-over-year after posting 13 percent home price growth in 2018. The top three cities with the highest rates of year-over-year home price growth were Las Vegas, Nevada with 7.10 percent … [Read more...]
Federal Reserve Raises Short-Term Interest Rates
After prolonged speculation by economic analysts and news media, the Federal Open Market Committee of the Federal Reserve raised short-term interest rates for the first time in seven years. Committee members voted to raise the target federal funds rate to a range of 0.25 to 0.50 percent from a range of 0.00 to 0.25 percent to be effective December 17. The good news about the Fed's decision is that the Central Bank had enough confidence in improving economic conditions to warrant its decision. … [Read more...]
