National Housing Market Summary 2nd Quarter 2017
HUD’s Office of Policy Development and Research has released its analysis of the national housing market with second quarter statistics for 2017. The report contains updates on production, marketing, housing performance, homeownership, and affordability; provides comparisons with previous quarters; and places the data in a larger historical context. The analysis indicates that the housing market recovery showed less progress during the second quarter of 2017.
- Construction starts on single-family homes were down 2 percent from the first quarter of 2017 and up 9 percent from the previous year. Multifamily housing starts were down 16 percent from the first quarter and the previous year.
- Purchases of new single-family homes were down 1 percent from the first quarter of 2017 and up 9 percent from the previous year. Home prices appreciated by 1.6 percent, the same rate as the previous quarter.
- The NAR Composite Housing Affordability Index decreased from 160.2 in the first quarter of 2017 to 151.3, indicating a decline of 6 percent in the ability to purchase a median-priced home. HUD’s Rental Affordability Index decreased by 5 percent from the previous quarter to 112.6.
- The overall mortgage delinquency rate fell from 4.71 percent in the first quarter of 2017 to 4.24 percent, the lowest level since 2000. Foreclosure starts fell by 1 percent from the first quarter and 19 percent over the last year.
- The U.S. homeownership rate increased from 63.6 percent in the first quarter to 63.7 percent.