Did You Know? There is anecdotal evidence to support that houses with names attract broader attention, especially in vacation spots. (WSJ)
Did You Know? In Texas and Florida, two states without an income tax, more than 50% of the government’s revenue comes from its cut of what residents and tourists spend in stores, restaurants and bars. With the coronavirus raging, bars shuttered, and nearly 2 million residents out of work, Texas' sales-tax revenue is tumbling, leaving the government poised to draw down the savings it built up when the economy was still booming. With high unemployment and business closings cutting into tax collections, states are facing budget shortfalls of some $435 billion through 2021. Texas’s sales-tax collections in June dropped 6.5% from a year earlier to $2.7 billion, following a 13.2% drop in May. The many States may need federal assistance. (Bloomberg)
Did You Know? Over 15,000 U.S. restaurants have permanently closed during the coronavirus pandemic. California, Texas, New York, and Florida have seen the highest number and percentage of closings. Indoor dining has been halted at nearly 90,000 restaurants across the US, according to the National Restaurant Association. I see a day in our future when this returns AND I see an explosion of new, creative restaurants opening in more affordable spaces with a better chance of being profitable! Opportunity awaits.... (WSJ)
Did You Know? Homebuyer demand and an already strong refinance market pushed mortgage application volume up 4.1% last week, the Mortgage Bankers Association said. Refinance application volume was up 5% for the week, 122% higher than a year ago. Mortgage lending is set to reach $3.14 trillion this year, the highest since 2003, as the annual average rate for a 30-year fixed home loan falls to a record low of 3.2%. Next year, rates are heading even lower. In 2021, the annual average rate probably will fall to 2.8%, the lowest ever recorded. The Federal Reserve is set to purchase $40 billion a month in mortgage-backed securities, coupled with the expectations that “margins” – meaning the difference in the yields for 10-year Treasury yield and mortgage bonds – will continue to shrink as the lending industry adjusts to doing business amid the COVID-19 pandemic. (Housingwire)
Did You Know? Demand, the number of new pending sales over the prior month, increased from 2,975 to 3,050, an additional 58 pending sales, up 3% in two weeks. This is the highest demand reading since June 2015, and the highest July level since 2012. It also is the smallest two-week gain since demand turned around at the end of April. Demand is reaching a height for 2020 and will level off soon. Expect demand to remain strong through August when school resumes and housing transitions into the Autumn Market. Housing will still be robust, fueled by record-low mortgage rates, just not as strong as today.
Orange County Demand Year Over Year
Prior 30 Day Pendings Snapshot
