Housing Trends Update
is derived from the
Campbell/InsideMortgage FinanceMonthly Survey of Real Estate MarketConditions
It is based on a nationalsurvey of more than1,500 real estate agentseach month and providesup-to-date intelligenceon home sales andmortgage usage patternsthroughout the UnitedStates
Housing Trends Update
Housing Trends Update is published monthly and is available only to real estate agents who are part of the Campbell/Inside Mortgage Finance monthly survey panel.For information on joining the panel contact John Campbell at Campbell Surveys.
Copyright © 2010 by Campbell Surveys
First-Time Homebuyers StartedTo Exit Housing Market in April
First-time homebuyers started to exit the housing market in April, ahead of expectations, according to the latest Campbell/Inside Mortgage Finance MonthlySurvey of Real Estate Market Conditions.The closely-watched survey found that 43.4% of April’s home purchasetransactions were attributable to first-time homebuyers, a significant drop fromMarch’s figure of a huge 48.2%.For the winter months of January to March, first-time homebuyer participationhad been growing at a rapid clip; this month’s data represents a clear reversal in thetrend. First-time homebuyers have until June 30 to close transactions and qualify fora tax credit of up to $8,000.Previously, the first-time homebuyer tax credit was due to expire on November30, 2009, but Congress extended the deadline and expanded eligibility to currenthomeowners.Current homeowners made up the slack from first-time homebuyers, expandingtheir participation from 33.5% in March to 38.7% in April. The tax credit for currenthomeowners is up to $6,500.“We were surprised to see the early decline in first-time homebuyerparticipation,” commented Thomas Popik, research director for Campbell Surveys.“When tax credit was expected to expire last November, we saw a peak of first-timehomebuyers in October. Now the first-time homebuyer peak appears to haveoccurred not one month, but two months early.”
Campbell/Inside Mortgage Finance’s
Homebuyer Participation by Type
First-timehomebuyers sawtheir share of thehome purchasemarket tumble by asurprisingly large5% between Marchand April.
Source: Campbell/Inside Mortgage Finance Monthly Survey of Real Estate Market Conditions
Jul-09 Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10First-Time HomebuyerCurrent HomeownerInvestor