Real Estate News
Two views on what the Fed’s latest interest-rate hike means for real estate
Two economists expressed concerns about the real estate industry in the wake of the Federal Reserve’s decision this week to raise interest rates by three-quarters of a percent.
The 30-year fixed mortgage rate climbed to 6.29% from 6.02% the previous week, according to Freddie Mac. At that rate, the monthly mortgage payment on a $400,000 loan would be about $2,470, compared to $1,660 a year ago when rates were closer to 3%, according to the National Association of Realtors®.
“Rising mortgage rates typically lead to lower mobility rates over time,” said Nadia Evangelou, senior economist and director of forecasting for NAR. “Owners may be locked into their existing homes as mortgage rates rise, and the 3% rates from last year may not be back anytime soon.”
Lower mobility rates can shrink housing inventory, which remains low, Evangelou said.
“While the nation is suffering from a severe housing shortage, lower mobility can make housing inventory even tighter and cause home prices to continue to escalate,” she said. “However, homeowners should consider that they have already accumulated substantial equity in the last couple of years. The median-priced home is worth about $80,000 more than in 2020 and $200,000 more than in 2012. In the meantime, homes will continue to appreciate as prices are not expected to drop due to the low housing supply.”
Ruben Gonzalez, chief economist at Keller Williams, expects rates may continue to rise and a slower rate of home sales will continue into 2023.
“Rising mortgage rates have continued to slow housing market demand, resulting in slowing sales and slower home price appreciation,” he said. “We expect existing home sales to finish the year down nearly 20 percent and for the slower pace of home sales to persist into the beginning of 2023.
Courtesy of Chicago Agent Magazine
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Arizona State Fair September 28th- October 30th- Arizona State Fair and Colisuem-For more than a century, the Arizona State Fair has been a gathering place for residents from the far corners of the state. Guests come here to enjoy the richness and diversity of communities, to honor the past, celebrate the current and explore the future. Get out of your daily routine, and immerse yourself in a wonderland of amusement right in your backyard.The Arizona State Fair is a family tradition across many generations. Filled with cute animals, blue ribbons, fried food, and all the fun carnival rides you can imagine.
Four Peaks October Fest at Tempe Beach Park October 7th-9th-Celebrate German-style with three days of live music, brats, and beer and extra fun like dachshund races, keg tappings, karaoke, carnival rides and more.
Gold Rush Music Festiveal October 7th-9th-Phoenix Raceway-Step into a world of bright lights and wild west spectacle as Goldrush: Neon Dreams takes over Phoenix Raceway. Featuring Kaskade, Bob Moses, Tokimonsta and more.
Spooky Science -October 3rd-31st-Arizona Science Center-Boo! Arizona Science Center will become bewitched with bats, black cats, bones and more bizarre beasts from October 3 through October 31 during Spooky Science, our signature Halloween event. With four levels of thrilling themes, daring demonstrations and mysterious activities, these spell-binding activations are sure to inspire, educate and entertain Guests of all ages about the science of Halloween. All Spooky Science activities are included with general admission to the Science Center. Additional tickets are required for the Irene P. Flinn Giant Screen Theater, Dorrance Planetarium and featured exhibition. Children under 3 are always FREE.
Maricopa Home and Garden Show October 14th-16th, West World Scottsdale-The Maricopa County Home & Garden Show, the largest home show in the Southwest, returns to WestWorld of Scottsdale Friday, Oct. 14 through Sunday, Oct. 16 featuring hundreds of home improvement vendors, tiny homes, holiday lighting, unique copper skillets and kitchen accessories, and seminars by local pros! Wander through the Tiny Homes Street of Dreams to get an exclusive tour inside a wooden yurt, a shipping container converted into a bar, a ModHous dome and more! Come out and be inspired by local businesses and companies all in one location for three days.
A Taste of Italy & Music Festival October 15th and 16th, Scottsdale Waterfront-The City of Scottsdale invites you to experience the Taste of Italy & Music Festival Oct. 15 and 16, 2022. Two days of entertainment along with your favorite Italian food vendors — pasta, pizza, panini, cannoli, gelato, espresso and more — plus new ones to discover. The event will also include music and entertainment on two stages, VIP Lounge, plenty of seating and umbrellas so you can enjoy all we have to offer. Children 12 and under are always free.
Rodgers and Hammerstein's Oklahoma October 18th-23rd-ASU Gammage Auditorium-Over 75 years after Rodgers & Hammerstein reinvented the American musical, this is OKLAHOMA! as you’ve never seen or heard it before – reimagined for the 21st century. Stripped down to reveal the darker psychological truths at its core, Daniel Fish’s production tells a story of a community circling its wagons against an outsider, and the frontier life that shaped America. Upending the sunny romance of a farmer and a cowpoke, this OKLAHOMA! allows the classic musical – and our country – to be seen in a whole new light. Funny and sexy, dark and jolting, “this is the OKLAHOMA! that was there all along.” (New York Magazine) The Daily Beast says “Forget your traditional idea of OKLAHOMA! Daniel Fish’s daring, brilliant, utterly absorbing re-interpretation is dark and different—brilliantly so.”
Hocus Pocus in Concert Live to Film, October 28th-30th, Symphony Hall Phoenix-Accidentally brought back to life in Salem on Halloween night, three witches, known as the Sanderson sisters, attempt to steal the life essence from the town’s children so they can have eternal life – it’s Hocus Pocus! Join The Phoenix Symphony for this magical Halloween romp through Salem. Follow Max, Allison, and Dani as they match wits with the legendary Sanderson sisters. The film stars Bette Midler (Winifred), Sarah Jessica Parker (Sarah), Kathy Najimy (Mary), Omri Katz (Max), Thora Birch (Dani), and Vinessa Shaw (Allison). The Phoenix Symphony plays the score as the film is shown on the screen above the stage.
Discovery Days at Taliesin West October 29th-30th, Taliesin West-Looking for an extra special Halloween weekend activity for the whole family? Look no further! Taliesin West invites you to uncover the exciting world of art, architecture, and nature at Discovery Days. From live music and dance performances to demonstrations on preservation techniques and crafts for the whole family, come spend the day discovering the history and lasting impact of Frank Lloyd Wright. In this all-ages, immersive experience of the architect’s winter home and studio, you’ll learn about objects from our historic collections and can even see an Ikebana demonstration, or the art of Japanese flower arranging. While Discovery Days are free to the public, food and drink will be available for purchase from visiting food trucks. Halloween costumes are encouraged!