News & Opinions
The latest news and insights from Hanley Wood’s outspoken experts and key thought-leaders throughout the residential and commercial design and construction industry.
William D. Cohan / The Atlantic / September 19, 2013
The Blackstone Group and other members of the fast-money crowd have a risky new strategy for investing in real estate—this time as landlords.
For more than a generation now, like it or not, Wall Street’s financial engineering has helped determine whether the average American can buy a home. Once upon a time—before Wall Street stuck its nose under the mortgage tent—the formula for homeownership was pretty simple: if the neighborhood banker thought you would pay it back, you had a pretty good chance of getting a 30-year mortgage. The local touch gave both parties the incentive
Robert Dietz / NAHB / September 23, 2013
While the sources of finance for new home sales have changed noticeably since the start of the Great Recession, cash sales remain more common for existing homes compared to new construction.
According to data from the Census Bureau’s Quarterly Sales by Price and Financing, the onset of the housing crisis in 2007 led to a decline in the share of new home sales due to conventional mortgage financing and increases in the shares due to mortgages backed by the Federal Housing Administration (FHA) and the Department of Veteran’s Affairs (VA), as well as cash purchases.
For the second quarterRead More
Joshua J. Miller / NAHB / September 20, 2013
According to a recent report by the Census, married couples with children account for only 19.6% of all households in the U.S. The new figure represents a drop of 4.5 percentage points from 2000 when 24.1% of all households in the U.S. were married couples with children. The share of total households in 1970 was 40.3%.
As the share of households that include married couples with children decreased, one-person households and other household types rose. The share of one-person households increased from 17.1% in 1970 to 27.5% in 2012.
The dramatic decline in married households with childrenRead More
John McManus / BIG BUILDER / September 20, 2013
Even as another round of bids is expected within the next two weeks for the prized five-company home building operation–Weyerhaeuser Real Estate Company–word from industry insiders is that a company has emerged with an inside track on a deal.
Brookfield Residential, whose parent company Brookfield Asset Management Inc. sold it Longview Timber holdings to Weyerhaeuser Co. for $2.65 billion, including assumption of debt, may turn around and use proceeds to acquire Weyerhaeuser’s home building operations, using a seldom-used deal structure that would spare the sellerRead More
Jonathan Smoke / Hanley Wood / September 20, 2013
Earlier this week the National Association of Realtors reported that existing home sales were up in August over July when most economists were expecting a decline. Instead, the pace of sales in August was at the highest level since February 2007. Let me make one more important historical comparison. If we exclude 2002-2006 from our data set because of the abnormal level of activity in the heart of the housing boom, there have only been 5 other months in history (going back to 1968) that existing single-family home sales have been higher: January and February 2007, August and December 2001,Read More