Home Sales Vault to 18-month High as Supply Improves

As a sign of strength in the housing market ahead of the spring selling season, U.S. home re-sales surged to their highest level in 18 months in March as more homes came on the market.  Existing home sales increased 6.1 percent to an annual rate of 5.19 million units in March, the highest level since September 2013. The percent rise was the largest since December 2010. Last month's sales outpaced economists' expectations for a 5.03 million-unit rate. Source: Reuters
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Average US Rate on 30-Year Mortgage Edges up to 3.67 Percent

According to AP: Average long-term U.S. mortgage rates rose slightly this week but remained close to historically low levels with the spring home-buying season underway.

Mortgage giant Freddie Mac said Thursday the national average for a 30-year fixed-rate mortgage edged up to 3.67 percent from 3.66 percent last week.

The average rate for a 15-year mortgage, popular with homeowners who refinance, rose to 2.94 percent from 2.93 percent last week.

Fannie Mae Offers Homepath First Time Buyer Education Program

Up to Three Percent Closing Cost Assistance Available Upon Completion of Online Education Course

Fannie Mae (FNMA/OTC) announced the HomePath^®Ready Buyer^™ program, qualifying first-time homebuyers to receive up to three percent of the purchase price in closing cost assistance toward the purchase of a HomePath property, upon completion of an online homebuyer education course.  On a
$150,000 home, this could result in up to $4,500 in savings for the buyer.

WHY HOMEOWNERSHIP IS NOT MOTIVATING RENTERS

Zillow found that most home buyers would be paying less per month to own a home than to rent after two years. The highest break-even horizons were in Los Angeles at 5.1 years, Washington, D.C., at 4.2 years, and San Diego at 3.8 years. But while rents are soaring, and mortgage rates are still historically low, many are not pursuing homeownership due to student debt, lack of ability to save with high rent, and tight mortgage credit availability. In addition, supply is not keeping pace with surging demand. It is hoped that rising prices will persuade those who may be on the fence about listing their homes to do so in the coming months, leading to closer parity between supply and demand.


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Huge Resale Housing Shortage in Certain Areas of Los Angeles - Time to Broaden Your Horizons

One area where I've lived and sold homes for sellers and buyers for many years is experiencing an enormous resale housing shortage. In the Los Angeles Realtor world, we call this region Area 19. Most of you know it as Miracle Mile and/or Beverly Center Grove. It actually comprises both. Area 19 is bounded roughly between Melrose Ave. to the north all the way down to Pico Blvd. to the south and La Cienega to the west and La Brea to the east.

Area 19 is pretty damn huge.

Early this morning, when I ran a search for all ACTIVE single family homes for sale in just area 19, the MLS showed only twenty-seven listings. TWENTY-SEVEN homes for sale in one of the