December 26, 2018
Volume was extremely light across the mortgage industry on Monday (as expected) with under $300 mil in total originations trading hands on the day. We have a very light economic calendar this am and a return to normal tomorrow with jobless claims, new home sales and consumer confidence numbers being released. Today the S&P Corelogic Case-Shiller Home Price index was released showing home prices up 5.48% YOY (graph below). Home prices in the US are growing at the slowest pace in two years (graph 2) which could be a good thing for first time home buyers looking to get into housing and is more aligned with wage growth, however affordability is still a struggle across many markets and demographics. The slowing of home appreciation is the latest sign in a housing market that seems to have cooled considerably as home sales and new construction have slowed considerably as well.
FirstBank Capital Markets Group