Latest news with #HannahJones
Yahoo
6 days ago
- Business
- Yahoo
U.S. Birth Rate Slump Raises Red Flags for Future Housing Market
U.S. birth rates have fallen to 1980s levels despite a population increase of 108 million people, an eyebrow-raising new report from John Burns Research and Consulting shows. There were 3.6 million births in 2024, according to the Centers for Disease Control and Prevention, the same as in 1983. This, despite the significant population increase. And the fertility rate has dropped to 1.6 babies per woman, according to the CDC's National Center for Health Statistics, putting the U.S. on par with most European countries. What low birth rates mean for housing trends 'The most immediate effect will be fewer bedrooms needed for children, while the longer-term impact will be slower growth in potential renters and homebuyers,' John Burns economist Eric Finnigan tells While seven bedrooms might be the new four for select and wealthy enclaves, the average American will be downsizing. 'Today's housing market is out of reach for many would-be buyers, which has shifted demand towards smaller, more affordable homes,' agrees senior economic research analyst Hannah Jones. 'Additionally, younger generations may prefer homes in more central, walkable locations, and these areas tend to offer smaller homes.' While empty nesters and retirees will number 14 million-plus of the homebuyer segment by 2034, the typical entry level buyer, ages 30 to 44, will only number 3 million, according to the John Burns report. Not only that, 73% of recent buyers did not have a child under the age of 18 in their home, the highest share recorded. National Association of Realtors® deputy chief economist said that buyers with children are at an all-time low. 'So, they may not need that three-bedroom, two-bath home. They may really want a two-bedroom, one-bath home, and that's not necessarily the inventory that's out there,' she says. Additionally, the low birth rate will be a boon for landlords as more people rent and for much longer. 'Americans are waiting significantly longer to purchase homes,' says Finnigan. The typical first-time homebuyer is now 38 years old, compared with 33 only five years ago, and an average of 31 from 1993 to 2018, says the John Burns report. Of course, waiting longer to buy a house isn't all because of fewer babies to house. The skyrocketing costs of homeownership—from the national median list price being an eye-popping $440,950, to the soaring price of insurance, utilities, and property taxes, and to stubbornly high interest rates—has a lot to do with it as well. What Americans are doing instead This delayed homeownership creates increased rental demand, with 72% of renters now age 30 or older—an all-time high, says the John Burns report. 'Renting is an increasingly favorable option, especially as buying a home remains prohibitively expensive. It is more affordable to rent than to buy in the vast majority of large U.S. metros, tipping the scales towards a renting preference,' says Jones. Buyers who are in the market for homes are looking for smaller, older housing stock that will be more affordable and match more with their small-family lifestyles. New construction tends to build larger. For the second quarter of 2025, the median square footage of a new construction home is 2,044 and for existing homes it's 1,794 square feet, according to data. In the first four months of 2025, newly constructed home sales numbers decreased over 20% per month, according to Cotality data. New homes now make up 12% of all home sales, a decline from 16% in early 2024. This shift is reflected in prices; since 2023, existing homes have appreciated 11%, but new homes have only appreciated 6%, Cotality data show. And beyond buying older homes, Americans are buying and thinking smaller. After all, no need for that gargantuan McMansion with only 1.6 kids. Buyers are asking for homes of 2,076 square feet in 2023 versus 2,260 square feet two decades ago, says a NAR poll. 'This trend toward a smaller size is even apparent in new builds,' says the Cotality report. 'Years of rising costs—for homeowners and for homebuilders—have weighed on home square footage.' The size of newly constructed homes fell 10 square feet per year over the last five years, according to Cotality's analysis. Savvy homebuilders will give the people what they want. Unlike a lot of builders that focus on larger homes to maximize their profit, HHHunt Homes doesn't shy away from starter homes. The builder's single-family Kinwick community homes in Richmond, VA, begin at a relatively small 1,270 square feet and max out at 2,943 square feet. 'We are listening to the community and what they need,' HHHunt Homes' marketing manager Cara Munsey tells 'The smaller and more affordable homes are what people want.' Jones agrees. 'New construction has shifted towards smaller, more affordable homes as builders look to capture shifting buyer preferences and affordability constraints,' she says. 'Many metro areas are exploring zoning changes to allow for more densely built housing, which would also shrink the typical size of newly built homes.' Older, smaller homes on the market Smaller turnkey homes priced affordably in hot markets won't be active for long. Take this two-bedroom, fully remodeled 920-square-foot house in Fresno, CA, listed at $200,000 in a market where the median price tag is $469,917. It took less than two weeks to find a buyer. The agent, Enrique Ruiz-Sanchez of Rise Realty, tells that the house had 80 showings in two weeks, 10 offers, and sold for $70,000 above-ask. 'Price below market, get the bids going, that's my strategy,' he says. 'If you saw a Mercedes on sale for $10, you'd want to buy it, wouldn't you?' What's accounting for the low birth rate? Americans are worried about multiple factors in terms of having children, including finances, health insurance, parental leave and affordable child care, Karen Guzzo, director of the Carolina Population Center at the University of North Carolina, told the Associated Press. 'Worry is not a good moment to have kids,' she said. Women are also bearing their first child much later than in years past, with the average starting age being 30. Mothers in the 1970s and early 1980s typically had their first child in their early to mid-20s, says the John Burns report. 'This trend is connected to more women attending college and getting married later,' says Finnegan, the report's author. Birth rates also slowed rapidly during the pandemic, before experiencing a mini-baby-boom in 2022, then declining again. Concerned by the slowing birth rates, the Trump administration has floated the idea of reduced costs for in vitro fertilization and a cash bonus for baby birthers. But polls say these so-called solutions ignore the fundamental fears over long-term child care costs, according to a survey by The Associated Press-NORC Center for Public Affairs Research. Related Articles EXCLUSIVE: Humble 'Fisherman's Shack' on Nantucket Sells for $2 Million Just Days After Listing $850K Nantucket 'Shack' That Looks Set To Plunge Into the Sea Is the Week's Most Popular Home Newly Constructed $19.2M Waterfront Nantucket Home That Sold Last Year May Be Demolished: 'It Seems Like It's Kind of a Waste' Solve the daily Crossword
Miami Herald
21-07-2025
- Business
- Miami Herald
A New England city was just named the hottest US housing market again
Not unlike a drink cooler on a scorching summer day, the hottest metros in the U.S. real estate market are mostly trying to maintain their temperature in generally uncomfortable conditions. The residential housing market continues to show signs of softening amid an uncertain economic outlook for the remainder of 2025. Don't miss the move: Subscribe to TheStreet's free daily newsletter While qualified buyers still face 30-year mortgage rates hovering between 6-7% and elevated post-pandemic home prices, the macro dynamics are swinging away from sellers in many areas of the country. However, that's not exactly the case in the Northeast, where median list prices were up slightly in June compared to flat or declining averages in the South, West, and Midwest. June housing data revealed the inventory of homes climbed 28.9% year-over-year, now sitting north of one million active listings. While that's still 13% below pre-pandemic levels, it continues a trend dating back to late 2023. Sellers have been understandably slow to adjust to expectations after a recent seller-friendly run, but nationwide price cuts, median days on market and delistings were on the rise in June. Zillow's Market Heat Index still points to an overall neutral market, so things vary by region. Related: Nearly 95% of homebuyers in this major US city want to move away With demand holding steady as buyers seek more affordability outside of major metros, prices are still growing modestly in New England, as well as the upper Midwest. But that's not the case everywhere. "Despite this demand, only three of the nation's 50 largest metropolitan areas remain affordable for the typical household, highlighting the ongoing challenges around housing affordability," Realtor's Hannah Jones wrote. Already facing lagging construction and the largest supply gap among the four major U.S. regions, the Northeast also saw the slowest inventory growth in June (+17.6%). Those underlying factors are keeping agents especially busy in the greater New England area. For the second consecutive month, Springfield, Massachusetts - home of the Naismith Memorial Basketball Hall of Fame - was named the hottest U.S. market in June 2025 report. It was the city's fifth appearance in the top spot. More News: Moody's drops 2-word warning on housing marketFormer Warren Buffett exec makes bold real estate betDave Ramsey has blunt advice on bankruptcy for Americans buying a home now Situated 95 miles west of Boston and 27 miles north of Hartford, Connecticut, Springfield is nestled in southwestern Massachusetts and is home to nearly 155,000 people, approximately one-fourth the population of the capital city. Springfield also remains below the national average in median days on market (23 compared to 53 nationally) and median list price ($373,000 compared to $440,950 nationally in June). Amherst Town-Northampton (No. 6) and Worcester (No. 12) also represented Massachusetts high on the list, both with median list prices in the mid-500s. In total, 13 of the top 20 hottest markets were located in the Northeast, including Hartford (CT), Rochester (NY), Concord (NH), Manchester (NH), Norwich (CT), Binghamton (NY), Lancaster (PA), Erie (PA), Providence (RI), and Reading (PA). Related: Top 5 states where foreign buyers are scooping up US real estate The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
CBS News
18-07-2025
- Business
- CBS News
Pittsburgh is the only U.S. city where it's cheaper to buy a home than rent, report says
Pittsburgh is the only city where it's cheaper to buy a home than rent, according to a new report. says renting is more affordable than buying in 49 of the 50 largest U.S. cities, except for Pittsburgh. According to June rental report, leasing a median home in Pittsburgh cost $1,473 last month, which is well below the national median asking rent of $1,711. Meanwhile, purchasing a starter home in the Steel City costs $1,362 a month. Economists said they got that figure by assuming a 9% down payment with a 30-year fixed mortgage, before tacking on HOA fees, taxes and homeowners insurance. Buying over renting in Pittsburgh will result in a monthly savings of $111, which seems like a pretty good deal when you consider that in 49 of 50 top metros, buying a starter home costs $908 more than renting one in June. "Pittsburgh remains one of the most affordable places in the U.S. to live and to buy a home," senior economic research analyst Hannah Jones said on the website. "It's the only major market where buying a home is cheaper than renting, and one of just three large metros where a median-income household can afford a median-priced home." says since 2019, home prices in Pittsburgh have gone up about 31% while rents have jumped about 40%, pushing the cost of renting beyond the cost of buying.
Axios
15-07-2025
- Business
- Axios
NWA's manor-style homes are pricier, harder to find
The hottest homes on the market aren't the showiest — they're the ones buyers can still afford, finds. Why it matters: In today's expensive market, fierce competition for cheaper homes is driving up their prices. By the numbers: Median asking prices for English-inspired and Mediterranean homes were the highest in Northwest Arkansas, and each accounted for a smaller share of local listings than other styles. Nationally, median asking prices for colonial and traditional homes, some of the most affordable styles, jumped 5.6% in May from a year earlier. That's the biggest increase of any architectural style researchers analyzed. The other side: Sprawling Mediterranean-style homes, common in costly areas like Los Angeles and Miami, saw prices flatten. The big picture:"In general, higher-price home styles have appreciated less than lower-priced styles in the past year, a nod to economic and policy uncertainty as well as the rising cost of ownership," Hannah Jones wrote in the report. Reality check: No matter the look, home prices have soared since the pandemic. The median U.S. home sold in the first quarter cost roughly $417,000 — 33% more than in 2019, according to federal data. The average selling price for a single-family home during the second half of 2024 in Benton County was $449,750. It was $402,322 in Washington County. Zoom in: Colonial and traditional style homes, including the ever-present farmhouse, made up around half of all single-family listings in May.
Yahoo
13-07-2025
- Business
- Yahoo
Home Values Are Surging in These 10 Cities as Demand Heats Up
While home value growth has slowed nationally, there are pockets in the Midwest and Northeast that continue to see astonishing double-digit growth—and they are not necessarily where you might expect. 'The Northeast and the Midwest are home to some of the hottest markets in the country,' says Selma Hepp, chief economist at Cotality. Decatur, IL, leads the nation with annual home sales price growth of 12.4%, according to property data firm Cotality's latest home price index insights report, which analyzed median sales prices for May. And West Virginia sees no fewer than three markets with double-digit price growth on the top 10 list. Driving superior growth in the top markets are affordability, continued demand, and scarcity of inventory. 'The variation in home price growth is largely driven by the availability of homes for sale,' says the report. Markets that saw continued demand without corresponding rebounds in inventory saw the highest surge in prices. 'Affordable markets across the country continue to garner attention from home shoppers,' affirms Hannah Jones, senior economic research analyst at 'Increased demand has driven up competition and pushed home prices higher in these markets while other well-supplied, higher-priced markets have seen home prices level off or even fall. Home supply in the Midwest and Northeast continues to struggle to keep up with buyer demand, which has kept upward pressure on home prices.' 'What we're seeing is the flight to affordability and how growing demand in previously overlooked or stagnant markets is now pushing pricing upward,' of Corcoran, who was the first female broker to be cast on Bravo's 'Million Dollar Listing New York,' tells At the state level, Illinois had the highest annual home price growth, up 6.4% year over year. It's followed by Rhode Island, New Jersey, Wyoming, and Connecticut, which all continue to record more than triple the national rate of price growth. Midwest markets such as Indianapolis, Kansas City, MO, and Knoxville, TN, and markets surrounding the New York metro, continue to outpace their pre-pandemic trends in May. The Midwest is due to affordability, and the New York City outer-suburbs are due to their proximity to the urban center. Still, these hot markets don't signal an overall hotness in prices. Nationwide, year-over-year price growth dipped to 1.8% in May 2025, down from 5% price growth last May and the slowest since winter 2012. High interest rates and home prices are pulling sales trajectories downward. 'While the national home price index continues to move up, the rate at which it's climbing has slowed considerably,' says Hepp. These are the markets with the most price growth year over year: Price growth: 12.4% Median list price: $149,900 Situated around Lake Decatur and the Sangamon River, the community offers plenty of opportunities for water sports such as fishing, boating, and waterskiing. It also boasts a 1,300-acre park for hiking, biking, and running. Price growth: 12% Median list price: $150,000 Just 45 minutes away from Pittsburgh, this market is popular with commuters looking for a more rural vibe and more bang for their buck, as that bigger city has a much larger median price tag of $250,000. Price growth: 11.9% Median list price: $327,000 Just a 2.5-hour commute to Minneapolis, the small port city on Lake Superior is known for its summer destination sandbar Park Point, where billionaire Kathy Cargill made headlines last year after buying up multiple properties on the longest freshwater sandbar for well over their value, then reportedly changing her mind about her plans for the area after significant backlash. Price growth: 10.6% Median list price: $369,900 Just an hour from Albany and huddled on the Hudson River, Glens Falls has a historic and walkable downtown area. Don't confuse it with Glen Falls, in the Catskills. 'It makes sense that a small, post-industrial city like Glens Falls that has robust older housing stock, a quaint downtown, and proximity to amazing destinations like Lake George and Saratoga Springs is seeing price growth right now,' says Jordan. Price growth: 10.6% Median list price: $165,000 Just an hour away from Indianapolis, this more affordable city is home to Ball State University. According to its community page, Muncie 'has become THE HOT real estate market in Indiana.' Price growth: 10.5% Median home price: $170,000 Nestled along the Ohio and Little Kanawha rivers, Parkersburg has a charming downtown area with plenty of shops, live events, craft breweries, and restaurants. Price growth: 10.4% Median home price: $187,450 Charleston is the state's capital and is known for a vibrant arts scene, museums, and its Capitol Market, which hosts dozens of food vendors in a former freight station. Price growth: 10.2% Median home price: $327,000 Located on the Long Island Sound and boasting its own beach at Seaside Park, Bridgeport is on the Amtrak line and has remained relatively affordable despite being a short commute to the famously expensive New York City metro suburbs of Greenwich and Stamford. Price growth: 10.2% Median home price: $469,000 Located at the confluence of the Clearwater and Snake rivers, Lewiston is named for famous explorers Lewis and Clark. Its proximity to the water offers plenty of opportunity for water sports and its dry, temperate climate makes it popular with outdoor enthusiasts. Price growth: 10.1% Median home price: $360,000 The other Lewiston on the list is the second most populous city in Maine, and is north of the most populous city, Portland, in the Maine Lakes and Mountains region. Middle-Class Americans Can Still Afford a Home in Kentucky Without Looking Too Hard Louisville's Housing Market Shines: Why It Ranks in the Top 10 for Affordable Homes Under $500K 10 Most Affordable States Where Solo Buyers Can Afford a Home—and Live Comfortably
