*The weighted average FICO credit score in the 1st quarter for a single family home was a sterling 748. The origination loan to value was 71%, and there were just 4% of homes with a loan to value above 95%. The percentage of buyers with a debt-to-income ratio above 43% — typically the point where lenders get skittish — was 29%. However, if home prices dip, these numbers will shift too. (Marketwatch)
Rent Deflation? Yup, it may have already started. After surging 11.4% over the past 12 months, the median national rent for a 1-bedroom apartment rose just 0.5% in June compared to a month earlier, while the median two-bedroom rent fell 2.9%. The decline in prices for 2-bedrooms is the “most significant drop we’ve seen since pre-pandemic times. Massive surges in pricing are often unsustainable and usually auto-correct back to a more realistic level. The media LOVES big numbers - makes great headlines - without providing full context. Rent is about 40% of the core consumer price index (CPI).(Bloomberg)
