Credit Scores Hit Record High – According to the economics group at Moody’s Analytics, credit scores among U.S. consumers surged to a record high this spring reaching an average credit score nationwide of 700. That is the highest average since FICO began tracking such data in 2005. Additionally, the share of borrowers considered among the riskiest borrowers hit a record low. “Higher scores lead to more available credit,” says Cris deRitis, senior director in the economics group at Moody’s Analytics. “We’d see more activity in terms of loan approvals and credit-card approvals, more spending, and that would have a ripple effect across the economy, increasing aggregate demand for goods and services.”
Mortgage Rates Hit Lowest Averages of the Year – Freddie Mac reported that mortgage rates dipped to their lowest averages of the year last week. “As we predicted, the 30-year mortgage rate fell 7 basis points in a delayed reaction to last week’s sharp drop in Treasury yields,” says Sean Becketti, Freddie Mac’s chief economist.
Why Housing is on Track for a Good Year – According to Freddie Mac’s monthly Outlook report for May, low mortgage rates and strong job growth are giving the housing market one of its best years in decades. Freddie economists expect home sales to top 6 million in 2017. “Despite weak economic growth, housing got off to a good start in 2017 because low mortgage rates have given the spring home-buying season a pleasant surprise,” says Sean Becketti, Freddie Mac’s chief economist. “With home sales, housing starts, and home values up, 2017 is shaping up to be the best year for housing in over a decade.”
Renters Admit They Favor Homeownership – According to the latest SCE Housing Survey conducted by the Federal Reserve Bank of New York, 72 percent of renters “prefer” or “strongly prefer” to own a home rather than rent one.Nearly 56 percent of renters view homeownership as a “good investment,” the survey showed. The majority of renters favor homeownership, despite expressing concerns about their ability to one day afford a home. However, they do believe it’s getting easier to qualify for a mortgage.
