Morning Briefing: Home prices up 5.4 per cent

by Steve Randall30 Mar 2016
Home prices up 5.4 per cent
Home prices year-over-year have increased by 5.4 per cent according to the S&P/Case-Shiller HPI. The 20-city composite was up 5.7 per cent while the 10-city composite rose 5.1 per cent. Seasonally adjusted increases were 0.5 per cent (national), 0.8 per cent (10-city) and 0.7 per cent (20-city).

Among the 20 cities, Portland led the way with an 11.8 per cent year-over-year price increase, followed by Seattle with 10.7 per cent, and San Francisco with 10.5 per cent.

“Home prices continue to climb at more than twice the rate of inflation,” says David M. Blitzer, Managing Director and Chairman of the Index Committee at S&P Dow Jones Indices. “The low inventory of homes for sale - currently about a five-month supply – means that would-be sellers seeking to trade-up are having a hard time finding a new, larger home.”

Blitzer said there are signs that low supply is being addressed by increased housing starts but in the meantime there is another issue for would-be buyers: “Financing continues to be a concern for some potential purchasers, particularly young adults and first time home buyers. The issue is availability of credit for people with substantial student or credit card debt.”
 
Wrong house demolished, Google Maps blamed
A demolition crew in Texas tore down the wrong house after locating it on Google Maps. KERA News reports that the team from Billy L. Nabors were dispatched to demolish a duplex damaged by a tornado in Cousteau Drive, Rowlett but the app took them to Calypso Drive instead.

The property that was mistakenly torn down also had tornado damage and the owner had originally considered demolition but opted for repairs instead. Circumstances have meant that she will now have to revert to Plan A. Google said that it has corrected the error in the app. KERA did not receive comment from Nabors. 
 
Real estate firms among best companies to work for
Fortune’s ‘100 Best Companies to Work For’ includes some of the construction and real estate sectors’ biggest names. Camden Property Trust is the highest placed in our industry with a number 9 ranking overall; another Houston-based firm, David Weekley Homes is at number 17; Pennsylvania’s Power Home Remodeling is 59th; PCL Construction of Denver comes in at 60; and TD Industries, based in Dallas, is 65th. The annual list was topped by Google.

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