Daily Newsletter: Rents Are Rising 4 Times Faster Than They Did in 2020

Imagine paying $1500/month for rent in 2021 and getting a renewal letter for $2079. That's the reality for those living in the metropolitan area where rental prices are accelerating the fastest according to the Single-Family Rent Index (SFRI) released today month by CoreLogic. While the 38.6% seen in Miami was by far the highest annual change, other metros were nonetheless well above 2020's levels. In fact, rental prices are now appreciating more than 4 times faster compared to 2020's average (12.6% vs 2.6% in 2020). Keep in mind that the "4 times faster" comparison is a bit misleading because we're taking the very hottest month and comparing it to an average of 12 months. If we instead simply use the latest month of 2020 as a baseline, the thesis becomes something more like "rental price appreciation remains in double digit territory." Specifically, December's year-over-year change was 12.0% compared to January's 12.6%. One notable shift over the past several months has been the ability of the "attached" home sector (condos/townhomes) to match the pace of the detached single family residence. Rent price appreciation has been broad-based as well, with both low and mid tier homes at 12% and 12.2% respectively. Not pictured in the chart above, middle-priced tiers led the charge with both "lower-middle" (75%-100% of regional median) and "higher-middle" (100%-125% of regional median) coming in at 13.3% and 13.4% respectively.

March 15, 2022 Download our Mobile App: Download our Mobile App: Housing News Rents Are Rising 4 Times Faster Than They Did in 2020 Imagine paying $1500/month for rent in 2021 and getting a renewal letter for $2079. That's the reality for those living in the metropolitan area where rental prices are accelerating the fastest according to the Single-Family Rent Index (SFRI) r... (read more) MBS Commentary MBS Live Morning: How Much Higher do Rates Need to Go Before Finding Support? Coming off of yesterday's gigantic selling spree, bonds caught a break in the overnight session after briefly hitting even higher highs (10yr topped out at 2.169%). Given the oversold technicals and strong overnight volume, we can hold out some... (read more) Rob Chrisman eClosing, AI, Portfolio, and Non-QM Products; Conforming Updates At the Ides of March, inflation is pervasive. Today rumors are swirling that Tom Brady ended his retirement because of not being able to afford to retire given the price of gasoline (more in Capital Markets section below), and I head to the home of H... (read more) Mortgage Rates Mortgage Rates Explode Higher. Anything Quoted Before Right Now is LONG Gone 30 Yr. Fixed Rate 4.42% +0.01% Rate Change Points Mortgage News Daily 30 Yr. Fixed 4.42% +0.01 0.40 15 Yr. Fixed 3.74% +0.02 0.00 30 Yr. FHA 3.88% 0.00 0.00 30 Yr. Jumbo 3.86% +0.01 0.00 5/1 ARM 3.80% -0.20 1.00 Updates Daily - Last Update: 3/15 15 Yr. Fixed Rate 3.74% +0.02% Rate Change Points Freddie Mac 30 Yr. Fixed 3.85% +0.09 0.80 15 Yr. Fixed 3.09% +0.08 0.80 5/1 Yr. ARM 2.97% +0.06 0.30 Updates Weekly - Last Update: 3/10 Rate Change Points Mortgage Bankers Assoc. 30 Yr. Fixed 4.09% -0.06 0.44 15 Yr. Fixed 3.39% -0.08 0.46 30 Yr. Jumbo 3.79% -0.09 0.39 Updates Weekly - Last Update: 3/9 MBS / Treasuries MBS Live Morning: How Much Higher do Rates Need to Go Before Finding Support? UMBS 30YR 3.5 101.00 -0.02 Price / Yield Change MBS UMBS 3.5 101.00 -0.02 UMBS 4.0 103.09 +0.03 GNMA 3.5 101.89 -0.05 GNMA 4.0 103.17 +0.09 Pricing as of: 3/15 5:21PM EST 10 Year US Treasury 2.1455 +0.0036 Price / Yield Change US Treasury 2 YR Treasury 1.851 -0.014 5 YR Treasury 2.105 +0.009 7 YR Treasury 2.161 +0.006 10 YR Treasury 2.146 +0.004 30 YR Treasury 2.481 0.000 Pricing as of: 3/15 5:21PM EST Latest Video Could the Fed actually hike us into a recession? The Fed looks stuck between a rock and a hard place, says former Citigroup ... The 2pm Bond Report - March 15, 2022 CNBC Fed Survey: 33% of respondents see probability of U.S. recession Around the Web Reuters U.S. Senate approves bill that would make Daylight Savings Time permanent in 2023 Reuters First-time U.S. home buyers feeling 'defeated' by soaring prices, rising rates CNBC Forecasters sees growing chance of a recession as Fed hikes rates this year to fight inflation Reuters Biden's Fed nominee Raskin withdraws -New Yorker CNBC Here's everything the Fed is expected to do at its meeting this week CNBC The Federal Reserve is expected to raise rates, but unique challenges could slow its pace Reuters Analysis-With Raskin on thin ice, Biden may pick a moderate for Fed regulatory job Redfin Demand For Vacation Homes Drops to Lowest Level in Nearly Two Years CNBC Inflation is costing U.S. households nearly $300 more a month. Heres how to adjust your budget CNBC Wholesale inflation climbed 0.8% in February, slightly lower than expectations Calculated Risk Blog Second Home Market: South Lake Tahoe in February Calculated Risk Blog 3rd Look at Local Housing Markets in February Reuters Nasdaq leads decline on Wall St, with interest rates in focus

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