The share of new construction homes on the market rises to a record high. The value of the housing market as a whole has doubled since the early 2010s. Home price appreciation continues to climb. One of the largest AMCs in America continues its acquisition spree. Incenter Appraisal Management and McKissock Learning partner to host several desktop valuation training webinars. Read on for more appraisal news.
One-third of houses for sale are new construction, an all-time high
According to a new report from Redfin News, “The share of newly built single-family homes on the market is at a record high as builders try to keep up with surging homebuyer demand fueled by low mortgage rates, low inventory and remote work.” Redfin states, “More than one-third (34.1%) of U.S. single-family homes for sale in December were new construction, up from 25.4% a year earlier and the highest share on record.” The three cities with the biggest share of newly built homes on the market are Houston, Minneapolis, and San Antonio.
In 10 years, the housing market has doubled
“$43 trillion: that is the new value of the housing market as a whole, now double what it was since the lows of the post-recession market and the corresponding building slump of the early 2010s,” reports DS News. “According to Zillow, the housing market gained $6.9 trillion in value in 2021,” hitting the $40 trillion mark in June. “For reference, the market hit the $10 trillion mark in 1994, the $20 trillion mark in 2004, and $30 trillion in July 2017.” The article cites strong demand, record-low inventory, and increasing property values as reasons for the swift increase to $43 trillion in the latter half of last year.
Home price appreciation up 18.5%, projected to continue
This article from the MReport reports a continuing upward trend in annual home appreciation. Citing newly released data from CoreLogic, the article states, “Price appreciation averaged 15% for the full year of 2021, up from the 2020 full year average of 6%. Home price growth in 2021 started off at 10% in Q1, steadily increasing and ending the year with an increase of 18% for Q4.” Home prices nationwide increased 18.5% year-over-year in December 2021. The CoreLogic HPI Forecast projects that the national 12-month growth will steadily slow over the course of 2022.
Class Valuation continues its acquisition spree
According to this story by HousingWire, “Class Valuation, one of the largest appraisal management companies in America, just made another acquisition.” It announced last week “that it has acquired fellow Detroit-based AMC Metro-West and its subsidiary Valuation Link.” The AMC said this acquisition will “fit into its larger strategy of fusing tech tools such as automation and 3D measurements to help clear the well-documented capacity issues in appraisal.”
Incenter Appraisal Management and McKissock Learning form desktop valuation training partnership
With Fannie Mae and Freddie Mac accepting desktop appraisals beginning in March 2022, Incenter Appraisal Management and McKissock Learning announced last week that they will jointly sponsor several webinars for appraisers seeking to master new remote inspection/desktop appraisal solutions. Sign up for the next webinar training session, Desktop Property Inspections with RemoteVal on Monday, February 28, 2022. Or check our Pro-Series page for subsequent dates.