Last week: NASCAR had a squeaker at the finish line, Donald and Hillary broke out of the pack and Britain braced for a vote on club membership. Coming up: America Saves Week and lots of housing data, including Redfin’s Demand Index. Also: Dodgy village watchmen and the world’s first green ghost town.
Ugly numbers. As you digest this week’s housing news, here’s a reminder that the market is notoriously difficult to measure. The housing-industrial complex has thousands of rules and there’s vast potential for error. A recent study found that sale prices were overstated in 6.25 percent of home transactions. Real Estate Economy Watch has a good summary. The study’s authors call out Stamp’s Law of Statistics, which says that governments make decisions based on data, but too often forget that that data is collected from the village watchman, “and he says whatever he damn well pleases.”
It’s still not over. Some housing markets still haven’t emerged from the housing collapse. After getting the OK from Congress, Treasury last week rolled out another $2 billion to help homeowners and blighted communities under the Hardest Hit program. Neighborhoods in California, Illinois and Ohio are eligible for the biggest pots of aid.
The R word. The energy glut has pushed Alaska, North Dakota, West Virginia and Wyoming into recession, Bloomberg reports.
A glimmer of good news for Flint. Clean water remains elusive, but the relocated farmer’s market has brought fresh produce to a lot more people, Next City reports.
Economic roundup. Homebuilders were down in the dumps this month. On the plus side, researchers from the Federal Reserve Bank of New York noted that house prices are rising but mortgage debt isn’t. Homeowners these days aren’t leveraged to the hilt.
Bad-guy roundup. A “brazen, predatory scheme” in California.
While we’re on the subject. Be careful when you buy a house, please. There’s no end to the potential pitfalls. Do your research and meet with a housing counselor or someone in the business you trust before committing. And read this New York Times report on contracts for deeds to get a taste of what can go wrong.
A net-zero city! Not. They had big plans to build a green city outside Abu Dhabi. They failed.
Save the date. Brookings and the Center for American Progress ponder mobility in separate events Feb. 23. Redfin & Friends ponder Seattle’s Future Feb. 24. HomeAdvisor ponders housing’s labor shortage Feb. 26.
What you missed last week on Redfin Research:
Housing Supply is Dwindling. Here’s What That Means For You
Cheap Oil Means Cheap Gas–And Cheap Mortgages. Here’s Why
Mortgage Rates are Looking Good