CS: Price Increases Slow in April

From Bloomberg:

Home Prices in 20 U.S. Cities Rose at Slower Pace in April

Home prices in 20 U.S. cities rose at a slower pace than forecast in the year ended in April as declining affordability put a lid on appreciation.

The S&P/Case-Shiller index of property values increased 10.8 percent from April 2013, the smallest 12-month gain in more than a year, after rising 12.4 percent in March, the group reported today in New York. The median projection of 25 economists in a Bloomberg survey called for an 11.5 percent year-over-year increase in April.

Sellers’ ability to ask ever-higher prices has diminished as smaller wage gains make it difficult for some prospective buyers to qualify for financing. Cheaper properties, an easing of credit standards and employment opportunities accompanied by faster income growth would help brighten the outlook for residential real estate.

“It’s a movement toward a more normal market,” Scott Anderson, chief economist at Bank of the West in San Francisco, said before the report. “We’re seeing a normalization of the market going forward.”

All 20 cities in the index showed a year-over-year gain, led by an 18.8 percent increase in Las Vegas and an 18.2 percent advance in San Francisco. Cleveland showed the smallest year-over-year increase, with prices rising 2.7 percent.

Slower price appreciation and borrowing costs that have fallen since the start of the year will help support sales. The average rate on a 30-year, fixed mortgage was 4.17 percent in the week ended June 19 compared to 4.53 percent in the period ended Jan. 2, according to Freddie Mac in McLean, Virginia.

“Near-term economic factors favor further gains in housing: mortgage rates are lower than a year ago, the Fed is expected to keep interest rates steady until mid-2015 and the labor market is improving,” index committee chairman David Blitzer said in a statement. “However, housing is not back to normal.”

Marianne Lake, chief financial officer for JPMorgan Chase & Co. in New York, called 2014 “a transition year” for housing and mortgage markets. Most owners have refinanced into lower rates and demand for purchase financing is weaker than it once was, she said at a June 11 conference.

“The combination of refi burnout as well as slow purchase improvement has led to the smallest production market in over 14 years,” Lake said. “Income growth isn’t where it needs to be, but we are still expecting that to be recovering over the course of the next several years.”

This entry was posted in Demographics, Economics, Employment, Housing Recovery, National Real Estate. Bookmark the permalink.

28 Responses to CS: Price Increases Slow in April

  1. The Original NJ ExPat says:

    feisty baby!

  2. The Original NJ ExPat says:


  3. Transfuse the Cadaver says:

    Another day in hell.

  4. chicagofinance says:


  5. chicagofinance says:

    The End Is Nigh (Degenerate Gambler Edition):
    Not everyone was mad at Luis Suarez for biting Giorgio Chiellini during Uruguay’s World Cup match against Italy on Tuesday.
    One Norwegian man won $5,600 thanks to Suarez’s habit of sinking his teeth into his opponents.
    According to Afterposten, Norway’s largest newspaper, Thomas Syversen took a chance on the 175-to-1 odds that Suarez would bite someone during the match.
    “This is probably the sickest game I’ve handed in, not to mention the sickest game I’ve won,” Syversen told Afterposten (the quote was then translated).
    Sick, indeed.

  6. Michael says:

    This filter is awful….thank you spam bots

  7. Phoenix says:


  8. NJGator says:

    Vigoda > Eli Wallach

  9. Fast Eddie says:

    “It’s a movement toward a more normal market,” Scott Anderson, chief economist at Bank of the West in San Francisco, said before the report. “We’re seeing a normalization of the market going forward.”

    LOL! Sure, it’s a move towards a normal market. Paying 650K for a sh1t bag is normal.

  10. Fast Eddie says:


    You beat me to the punch.

  11. Fast Eddie says:

    “Income growth isn’t where it needs to be, but we are still expecting that to be recovering over the course of the next several years.”

    Don’t hold your breath, Sweetie.

  12. All Hype says:

    RIP Tuco Benedicto Pacífico Juan María Ramírez

  13. Libturd in the City says:

    RIP the E train. NJ Transit finally gets me in on time and then my E-train breaks down. There’s no winning. It also sucks to work in Rock Center, though I do have a pretty sweet office.

  14. NJGator says:

    Lib – You think it sucks now? Wait until the tourists invade during holiday season to see the Radio City Christmas Spectacular. It’s enough to make any sane, rational New Yorker say “Bah, Humbug.”

  15. phoenix says:

    Aereo loses Supreme Court battle.
    Not paying for cable for the one show I watch.
    Time to set up the slingbox again until that is banned.

  16. Anon E. Moose says:

    There’s a Snicker’s commecial begging to be made from this Suarez deal.

    Hungry? Not going anywhere for 90+ minutes?

  17. Street Justice says:

    By Robin Wilson-Glover/The Star-Ledger
    Email the author | Follow on Twitter
    on June 25, 2014 at 10:27 AM, updated June 25, 2014 at 11:26 AM

    CHERRY HILL — A NJ woman with serious commuter anxiety is suing her former employer after her bosses wouldn’t change her work schedule so she could avoid rush hour.

    According to a report in the Courier-Post Andrea DeGerolamo of Berlin “began to feel great anxiety and depression, which was especially aggravated by crowded roadways experienced during the heavy traffic of rush hour,” the suit says.

    Her medical condition qualified her as being disabled, according to the legal papers.

    She took a medical leave in August 2012, and when she returned in November 2012, she asked if she could come to work after the morning rush and leave before the evening rush. According to her suit, such a request was reasonable given her disability.

    The company obliged her request, but changed her job, making it more clerical. DeGerolamo objected. On May 17 she was fired, according to the news report.

    DeGerolamo’s lawsuit, filed in federal court in Camden, claims that Fulton Financial’s actions violated the state’s Law Against Discrimination. She is seeking unspecified financial damages.

    Neither her attorney or Fulton Financial’s was available for comment, according to the report.

  18. Street Justice says:

    Maybe this lady is on to something….who can I sue?

    NJTransit, DOT, my employer,….Heck, I should sue the person who crashed their car and had to be extracted from it by the fire department causing a 3 mile backup.

  19. joyce says:

    arrive later AND leave earlier

  20. joyce says:

    nice try lady

  21. Michael says:

    That says it all….scam! Arrive late and leave late lady!!

    joyce says:
    June 25, 2014 at 12:08 pm
    arrive later AND leave earlier

  22. Comrade Nom Deplume, a.k.a. Captain Justice says:
  23. Comrade Nom Deplume, a.k.a. Captain Justice says:
  24. Juice Box says:

    Speaking of cops this story is hilarious – The elusive Mr. Prawo Jazdy


  25. joyce says:

    On the brink of war, both supporters and critics of United States policy on Iraq agree on the origins, at least, of the haunted relations that have brought us to this pass: America’s dealings with Saddam Hussein, justifiable or not, began some two decades ago with its shadowy, expedient support of his regime in the Iraq-Iran war of the 1980’s.

    Both sides are mistaken. Washington’s policy traces an even longer, more shrouded and fateful history. Forty years ago, the Central Intelligence Agency, under President John F. Kennedy, conducted its own regime change in Baghdad, carried out in collaboration with Saddam Hussein.

    The Iraqi leader seen as a grave threat in 1963 was Abdel Karim Kassem, a general who five years earlier had deposed the Western-allied Iraqi monarchy. Washington’s role in the coup went unreported at the time and has been little noted since. America’s anti-Kassem intrigue has been widely substantiated, however, in disclosures by the Senate Committee on Intelligence and in the work of journalists and historians like David Wise, an authority on the C.I.A.

  26. Libturd at home says:

    And Christie wins. I love our politicized courts. It’s about as fair as shooting craps with loaded dice. Baa. Baa.

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