According to the study, Los Angeles County had the second-lowest vacancy rate at 3.2 percent, down 10.6 percent. On average, renters countywide paid an average of $1,435 per month and had the largest rate of increase at 2.86 percent. The vacancy rate for Orange County was also at 3.2 percent, down 12.4 percent; and the Inland Empire was 3.6 percent, down 17.3 percent. The sharp rise in demand is being primarily driven by deteriorating home affordability, according to Richard Green, director of the Lusk Center and co-author of the study. Despite marked improvements in employment and the overall economy, the rapid increase in home prices and interest rates are pricing first-time homebuyers out of the local market, Green said.
For the original version including any supplementary images or video, visit http://losangeles.cbslocal.com/2013/09/24/housing-market-revival-to-push-socal-rent-prices-higher/
Is There a Bubble in the U.K. Housing Market?
Revenues were also better than expected at $1.6 billion, versus analyst estimates for $1.56 billion. KB Home ( KBH ) also reported better-than-expected earnings this morning. The company reported quarterly earnings of $0.30 per share, topping the $0.21 analysts were expecting. I think the housing market can tolerate higher interest rates, since homebuilders will just have to adjust home prices a bit to accommodate for the higher rates, but the real threat remains the jobs market. Job growth and income growth are going to be the key factors which ultimately determine the fate of the housing market. Until we see a big return of jobs and higher wages, the housing recovery is going to be in jeopardy.
For the original version including any supplementary images or video, visit http://www.marketintelligencecenter.com/articles/334837
Is the housing recovery in danger?
Housing Market? Tweet Email Play Sept. 25 (Bloomberg) Bank of America Merrill Lynch Fixed Income Strategist John Wraith discusses the U.K. Housing Market with Anna Edwards and Mark Barton on Bloomberg Televisions Countdown. (Source: Bloomberg)
For the original version including any supplementary images or video, visit http://www.businessweek.com/videos/2013-09-25/is-there-a-bubble-in-the-u-dot-k-dot-housing-market