housing and labor market trends: nevada · asking rent and vacancy rate in reno . quarterly ....
TRANSCRIPT
HOUSING AND LABOR MARKET TRENDS: NEVADA
Community Development Research Federal Reserve Bank of San Francisco
June 2013
National Trends
7% 11%
16%
8%
15%
8% 8% 8% 8% 8%
12%
10%
15%
9%
10%
8% 15% 13%
3% 7%
22% 19%
8%
19% 7%
12% 6%
5%
13% 8%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Short Sale
Move-In Ready REO
Damaged REO
Proportion of Distressed Property Transactions—April 2013 3 Month Moving Average
Perc
ent o
f Tot
al T
rans
actio
ns
Composition of distressed sales by geography
Source: Campbell/Inside Mortgage Finance HousingPulse Monthly Survey of Real Estate Market Conditions April 2013
Neighborhood stabilization: concerns over investor purchases of distressed properties
Source: Campbell/Inside Mortgage Finance HousingPulse Monthly Survey of Real Estate Market Conditions April 2013
18% 33% 29%
50% 19%
48%
35%
37% 63%
18%
35%
13%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
DamagedREO
Move-In ReadyREO
Short Sale Non-Distressed
Current Homeowner First-Time Homebuyer Investor
Perc
ent
of P
rope
rty
Type
Who Is Buying Properties?─April 2013 3 Month Moving Average
Financing for home purchases
Source: Campbell/Inside Mortgage Finance HousingPulse Monthly Survey of Real Estate Market Conditions April 2013
26%
11%
76% 18% 47%
2%
22%
14%
6%
5% 7%
29% 21%
15%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Current Homeowners First-Time Homebuyers Investors
All Other Financing
VA
Fannie/Freddie
FHA
Cash
Perc
ent
of B
uyer
-Sid
e Tr
ansa
ctio
ns
Financing for Homebuyers─April 2013 3 Month Moving Average
Nevada Trends
Unemployment rate in Nevada coming down, but still higher than U.S.
Source: Bureau of Labor Statistics
0
4
8
12
16
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Recession
Une
mpl
oym
ent R
ate
United States
Nevada
Nevada house prices trending up
Source: Federal Housing Finance Agency (formerly OFHEO)
FHFA
Hou
se P
rice
Inde
x 20
00=
100
90
130
170
210
250
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
FHFA House Price Index (formerly OFHEO) (2000 = 100, quarterly)
United States
Nevada
Las Vegas and Reno prices trending up
Source: Federal Housing Finance Agency (formerly OFHEO)
FHFA
Hou
se P
rice
Inde
x 20
00=
100
80
100
120
140
160
180
200
220
240
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
FHFA House Price Index (formerly OFHEO) (2000 = 100, quarterly)
Las Vegas
Reno
Carson City
Mortgage delinquencies and number of loans in foreclosure remain stable
Source: Mortgage Bankers Association, National Delinquency Survey
0
40,000
80,000
120,000
2005 2006 2007 2008 2009 2010 2011 2012 2013
Num
ber o
f Mor
tgag
es
Loans in Foreclosure All Mortgages Past Due
Nevada’s consumer debt delinquency rate is falling, but still well above national average
0%
5%
10%
15%
20%
2006 2007 2008 2009 2010 2011 2012 2013
Consumer Debt Delinquency Rate
U.S.
Nevada
Note: Delinquency status of 90+ days past due or worse. Excludes first mortgage. Source: FRBNY Consumer Credit Panel
Rents continue to rise as vacancies fall in Las Vegas
0%
6%
12%
18%
$760
$800
$840
$880
2008 2009 2010 2011 2012 2013
Vacancy Rate A
skin
g Re
nt
Asking Rent and Vacancy Rate in Las Vegas Quarterly
Asking Rent Vacancy Rate
Source: Reis, Inc. Asking rent is calculated by first determining the average rent for each unit size, and then calculating a weighted average based on the number of units in each size category.
Reno rents increase as vacancy rate continues to decline
0%
4%
8%
12%
$825
$850
$875
2008 2009 2010 2011 2012 2013
Vacancy Rate A
skin
g Re
nt
Asking Rent and Vacancy Rate in Reno Quarterly
Asking Rent Vacancy Rate
Source: Reis, Inc. Asking rent is calculated by first determining the average rent for each unit size, and then calculating a weighted average based on the number of units in each size category.
Maps
Nevada Data Maps
Areas Affected by Concentrated Foreclosures April 2013
Source: Lender Processing Services Inc. Applied Analytics & FRBSF Calculations
Source: Lender Processing Services Inc. Applied Analytics & FRBSF Calculations
Nevada Data Maps
Areas at Risk of Additional Foreclosures April 2013
Las Vegas Data Maps
Areas Affected by Concentrated Foreclosures April 2013
Source: Lender Processing Services Inc. Applied Analytics & FRBSF Calculations
Source: Lender Processing Services Inc. Applied Analytics & FRBSF Calculations
Las Vegas Data Maps
Areas at Risk of Additional Foreclosures April 2013
Reno Data Maps
Areas Affected by Concentrated Foreclosures April 2013
Source: Lender Processing Services Inc. Applied Analytics & FRBSF Calculations
Areas at Risk of Additional Foreclosures April 2013
Source: Lender Processing Services Inc. Applied Analytics & FRBSF Calculations
Reno Data Maps
Conclusions
For More Information: FRBSF Community Development Website
Links to other resources and research on foreclosure trends and mitigation strategies
All publications, presentations available on our website
Conference materials also posted shortly after events
http://www.frbsf.org/community/