According to the National Association of REALTORS®, pending home sales increased 8% in May over April and are up 13.1% from just one year ago. And a Pending Home Sales Index of 114.7 was the highest reading for May since 2005! NAR’s newsroom has all the details.
You may have heard that the Bay Area is experiencing a population decline for the first time in what seems like decades of consistent growth. According to early Census data, our regional population shrunk by 0.6% in 2020, and we’re down 0.8% from the peak of just two years ago.
As you can see, the biggest dip was right here in Santa Clara County, which dropped more than 15,000 residents last year alone. It’s no secret that the rising costs of housing are driving a population shift out of the Bay Area. But it’s yet to be seen how long this trend will hold.
The average cost of flood insurance in California is $779 per year through the National Flood Insurance Program. But, as you can see from this chart, average premiums can vary significantly by region — and more than 100% among some of the 10 largest cities in the state!
Have you heard? Airbnb and the real estate analytics gurus RealPage have announced an exclusive collaboration on a home sharing app that will make it easier for renters to sublet their apartments and make money while giving property owners a share of the action. It’s called Migo, and it could be a gamechanger for the real estate industry. Learn more from Forbes.
We are in the midst of a global economic re-awakening, with at least 56 nations currently experiencing inflation above 4%. As a point of comparison, the U.S. inflation rate in 2008 was 3.84%; but it has risen as high as 11% in 1974 and 13.55% in 1982!
So, what causes inflation? There are three types: demand-pull inflation – when the demand for goods and services increases quicker than production capacity; cost-push inflation – the result of an increase in the cost of production and labor; and built-in inflation – driven by standard cost of living increases.
Of course, there are two sides to every coin. Just as inflation may have a negative impact on renters and those without a lot of assets, it can help homeowners and landlords access additional wealth as their property values rise.
