Latest Stories

Existing Home Sales in January Fall 4.9%
In January 2025, U.S. existing home sales declined by 4.9%, reaching an annual rate of 4.08 million units. High mortgage rates and rising home prices continue to challenge affordability, despite a 3.5% increase in housing inventory. The median home price climbed to $396,900, up 4.8% year-over-year, while homes remained on the market for an average of 41 days. (Read More)

Homebuyers Gain Leverage Amid Increased Supply
As housing supply grows, buyers are gaining more leverage, with sale prices averaging 2% below listing prices. New listings increased by 5% compared to last year, while demand softened due to high mortgage rates. Some markets, like Austin and Charleston, are seeing sellers lower prices and offer concessions to close deals. However, move-in-ready homes in prime locations remain competitive. (Read More)

Banks Show Resilience Against Commercial Real Estate Loan Risks
Despite concerns over commercial real estate (CRE) loan risks, a recent S&P Global Ratings report suggests banks are better positioned than expected. While challenges remain, the likelihood of widespread financial instability from CRE loans has decreased. Some banks with high CRE exposure have seen their credit outlooks improve from negative to stable. (Read More)
 

Key Terms and Concepts:

• Inventory Levels – The number of available homes or properties for sale in a given market. Higher inventory typically gives buyers more options and bargaining power, while low inventory can drive up prices due to scarcity.

• Market Correction – A temporary decline in property values after a period of rapid growth, helping to stabilize housing prices and bring them in line with economic fundamentals.

• Commercial Real Estate (CRE) Loans – Loans issued to businesses for purchasing, developing, or refinancing income-generating properties such as office buildings, retail centers, and multifamily apartments. These loans are a key indicator of market stability and bank exposure.

Local Deal of The Week

Altera Fund Acquires 10-Property Medical Office Portfolio From NHP For $108 Million

The transaction involved a medical office portfolio consisting of 10 properties located across the states of Arizona, Illinois, Massachusetts, Texas, and Tennessee. The total sale price of the portfolio was $108,000,000, which translates to a pricing per square foot of $360. The total square footage of the portfolio amounts to 300,000 square feet. (Read More)

Summary of transaction details:

• Property Type: Medical Office
• Transaction Amount: $108,000,000
• Buyer: Altera Fund
• Seller: NHP
• Financing: Capital One Bank
• Market: Arizona, Illinois, Massachusetts, Texas & Tennessee

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