Mortgage Spike and Builder Get Good News

Written By Phil Buoscio

  

 

In the latest residential construction news, building material prices have seen a significant slowdown in their rate of increase, according to the Producer Price Index. In 2023, the median price level of building materials rose by just 1.3 percent, a marked contrast to the 15 percent hike witnessed in 2022. Monthly increases in building materials prices averaged 0.2 percent in 2023, significantly lower than the 1.5 percent seen in 2021 and 0.7 percent in 2022.

The National Association of Home Builders reports that while homebuilders are facing challenges in sourcing more sophisticated supplies, builder confidence has risen for the third straight month in February, signaling a cautiously optimistic outlook for the housing market. However, persistent weakness in real estate remains as mortgage rates continue to impact the industry. Homebuilders are closely monitoring future rate cuts by the Federal Reserve, anticipating potential improvements in the housing market.

 

Mortgage Applications Increase
In the week ending January 12,

2024, mortgage applications surged by 10.4 percent compared to the previous week. The Market Composite Index exhibited a 10.4 percent increase on a seasonally adjusted basis, with a notable 26 percent rise on an unadjusted basis. The Refinance Index saw an 11 percent boost from the previous week and marked a 10 percent increase compared to the same week in the previous year.

Phil Buoscio

A future-driven Realtor who's lived in Chicago all his life and understands its neighborhoods, trends, and people. He was part owner of a large Brokerage who downsized to start his own Brokerage in 2006. This allowed him to have pursue a more enjoyable, focused approach with fewer clients and specialize with clients of Income Property, Green Renewable New Construction Development.

A committed Environmental Activist who was the Catalyst for the first LEED Certified USBGC line of Speculative Homes in Chicago +PLUSHOUSE.

To further lead our transition to clean energy he also leads a Solar installation team Brokering Solar on the POWUR platform. Since the first LEED home he sold in 2016 with Solar he has not looked back from pushing for solar and highly efficient homes.

With an extensive background in remodeling as a General Contractor and New Construction Broker(having overseen the design and sales of over 30 developments), he is a great asset to any developer who is considering a project in or around Chicago. He knows the market now, and that each builder must be future-driven to stay ahead of the market.

Phil understands the construction trades, building codes, and zoning laws to help his clients envision possibilities and limitations that impact the value of a property in the long run.

Phil is an income property specialist as well and has represented some of the larger independent landlords in Chicago in acquisitions and sales. He oversees his own highly profitable income portfolio of over 40 units in ten properties.

Phil has personally closed over 200 million in sales personally since 2001 in over 800 transactions and has been the Top Broker in Chicago's Pilsen neighborhood over the last 22 years.

https://myrealtorphil.com
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