Interest rates on mortgages increased over the summer, and lenders are still holding back on loans, but the cause of the surge in all-cash home sales is a cause for concern for the long-term health of the housing market.
A new report by RealtyTrac includes data showing that all-cash purchases accounted for 42.1 percent of all residential sales in the United States in December, up from about 20 percent at the beginning of 2013.
Julia Zhu, reporting the news of the data, quotes Daren Bloomquist, vice president, of RealtyTrac, to discuss the implications of the trend, which is described as a “red flag” for the housing market: “"It's like we put the fate of the housing market in the hands of the wealthy few…Hopefully we can see the number of cash buyers go down. That's what we need to see for long-term recovery."
FULL STORY: An Astonishing Share Of Homebuyers Are Paying All Cash
In Sign of Improving U.S. Housing Sector, Building Permits Hit 5-Year High
New data from the Commerce Department reveals that more than 1 million residential building permits were issued last month. Though construction activity has reached a 5-year high, economists caution that other data indicates rates are slowing.
What’s in a Name? Investors vs. Speculators
We don’t often make a clear distinction between investors and speculators, which makes it harder to identify harmful behavior — and to find solutions for it.
Fannie Mae Economists Predict Slow Housing Market in 2025
A December report forecasts a continued “lock-in effect” due to high mortgage rates and a low production of multifamily housing.
Rethinking Redlining
For decades we have blamed 100-year-old maps for the patterns of spatial racial inequity that persist in American cities today. An esteemed researcher says: we’ve got it all wrong.
Planetizen Federal Action Tracker
A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.
California High-Speed Rail's Plan to Right Itself
The railroad's new CEO thinks he can get the project back on track. The stars will need to align this summer.
US Senate Reverses California EV Mandate
The state planned to phase out the sale of gas-powered cars by 2035, a goal some carmakers deemed impossible to meet.
Trump Cuts Decimate Mapping Agency
The National Geodetic Survey maintains and updates critical spatial reference systems used extensively in both the public and private sectors.
Washington Passes First US ‘Shared Streets’ Law
Cities will be allowed to lower speed limits to 10 miles per hour and prioritize pedestrians on certain streets.
Urban Design for Planners 1: Software Tools
This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.
Planning for Universal Design
Learn the tools for implementing Universal Design in planning regulations.
City of Camden Redevelopment Agency
City of Astoria
Transportation Research & Education Center (TREC) at Portland State University
Regional Transportation Commission of Southern Nevada
Toledo-Lucas County Plan Commissions