Foreclosures Jump 15 Percent

Mortgage & REITS

Average going rates as of Aug 19 2024

Numbers as of Aug 19 2024 closing

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🏛️ Economic Rundown

Goldman Sachs Lowers Probability of US Recession

• Goldman Sachs has lowered the chances of the U.S. falling into a recession in the next 12 months to 20% from 25%, following reassuring data on retail sales and jobless claims.

• The Wall Street bank said that it had raised its probability of a U.S. recession to 25% after July data showed unemployment rising to the highest since October 2021.

• Goldman said it expects a 25-basis-point interest-rate cut by the Federal Reserve in September, barring weaker-than-expected jobs data, which could trigger a 50-basis-point reduction.

🎢 Stock Exchange

S&P 500 Rallies 6% Amid Positive Economic Data

• S&P 500 Gains Over 6%: After a steep decline in early August, the S&P 500 rebounded more than 6%, driven by positive retail sales and inflation data, signaling renewed investor confidence in a potential soft landing for the U.S. economy.

• Volatility Index Retreats Rapidly: Wall Street's "fear gauge," the Cboe Volatility Index, has decreased sharply from four-year highs, reflecting a quick return to market stability as economic slowdown fears ease.

• Tech Stocks Lead Recovery: Chipmaker Nvidia surged over 20%, with the Philadelphia Semiconductor Index gaining 14%, as investors renewed their bets on tech stocks amid improving economic outlooks.

🎙️ RE Spotlight

U.S. Foreclosures Jump 15 Percent Month Over Month In July

• Foreclosures Surge 15% in July 2024: ATTOM reports 31,929 U.S. properties with foreclosure filings, including default notices, auctions, and bank repossessions—a 15% increase from June and a slight 0.2% rise from July 2023.

• Top States for Foreclosures: Delaware recorded the highest foreclosure rate with one in every 2,214 housing units affected, followed by Nevada (1 in 2,245) and Utah (1 in 2,289). Major metros like Provo, UT, and Macon, GA, also faced significant spikes.

• California, Florida, and Texas Dominate Foreclosure Starts: In July 2024, lenders initiated 21,870 foreclosure processes, up 18% from June. California led with 2,342 starts, trailed by Florida (2,339) and Texas (2,222), indicating growing economic pressures in key states.

More People Are Moving In Than Out of Fire- and Flood-Prone America

• In 2023, high-fire-risk U.S. counties saw a net inflow of 63,365 people, driven largely by migration to Texas. California, however, experienced a net outflow in high-fire-risk areas, indicating increasing awareness of wildfire risks.

• Texas saw a net inflow of 30,156 people into its high-fire-risk counties, accounting for 36.1% of the national inflow to such areas. Notably, Texas experienced 7,102 wildfires in 2023, second only to California, and has the highest number of homes in the Wildland Urban Interface, which are particularly vulnerable to wildfires.

• Florida's high-flood-risk counties saw a net inflow of 68,564 people, despite rising awareness of flood risks and increased insurance costs. Six Florida counties, including Brevard and Sarasota, were among the top 10 high-flood-risk counties by net inflow.

🏰 State Zone

Miami Real Estate Market Defies National Trends with Record Growth in May 2024

• 6% Surge in Single-Family Home Sales: Miami-Dade County saw a 6% year-over-year increase in single-family home sales in May 2024, continuing its growth streak amid a cooling national market.

• $533,955 Home Equity Gains: Homeowners in Miami-Dade earned nearly twice the national average in equity over the past 15 years, underscoring the region's long-term investment value.

• 43.7% Spike in Active Listings: Despite a significant 43.7% year-over-year increase in active listings, Miami's inventory remains 33.9% below historical averages, reflecting sustained demand.

🏕️ Niche-RE

City Council Approves Major Bronx Rezoning Aimed at Creating 7,000 Homes

The Bronx's recent rezoning, approved by the City Council, paves the way for up to 7,000 new apartments near four upcoming Metro-North stations. Despite prioritizing access to mass transit, the plan now includes parking mandates due to local City Council member Kristy Marmorato's insistence, resulting in 582 fewer housing units. This compromise highlights the ongoing tension between car dependency and urban density in New York City's development strategies. The $500 million investment in local infrastructure underscores the Adams administration's commitment to balancing growth with community needs.

👉 More Stories

• Two local developers are planning projects that would add hundreds of residential units to the already booming West Loop while repurposing unused commercial space through warehouse-to-apartment conversions.

• Commercial Real Estate Marketplaces Are Increasingly Becoming Pay-To-Play.

• US manufacturers hit by soaring property insurance costs

🖼️ Chart-Tastic

👾 Interesting in Social

The new CEO of $SBUX “will be able to live in his home in Southern California and can commute to Starbucks’s head office on a corporate jet”

🌍 Dwelling of the Day

1898 Victorian, Queen Anne home.

Full Listing

And…that's a wrap on this edition!

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