Archive for December 2017

The Friday File: I wish to take this opportunity to thank you all for your interest in my daily economics blog. All of you enrich my life in many ways; I am deeply appreciative. I wish you and yours the very best in 2018. May it be a year of full employment, outstanding decisions and…

In 1963, Mile 47 Camp, northeast of Valdez, Alaska was buried by 78 inches of snow during the 24 hours ending 2/9/63, tops in the US. Next is Silver Lake, Colorado, which received 75.8 inches of snow in the 24-hour period ending 4/15/21. The latest state to break a 24-hour record; Connecticut! On 2/8/13, 36…

While November newly built single-family sales were 733,000 on an annualized adjusted basis, the best level since 7/07, and up 17.5% from October, don’t break out the champagne. Sales were up 17.6% because October sales were revised down by 61,000. Moreover, sales are up in part because multifamily activity is declining, and a higher percentage…

As tight as the affordable rental housing market is, it’ll worsen. The Republican tax plan lowers the corporate tax rate from 35% to 21% and lowers taxes on pass-throughs. These changes will reduce the value of tax credits used to build low income-housing, thus reducing the number of affordable units built by 15% or 14,000…

The Friday File: Inflation, as measured by the Christmas Price Index, based on purchasing all items in “The Twelve Days of Christmas,” rose 0.7% in 2017 and cost $34,559. The costliest item, seven swans-a-swimming at $13,125, unchanged from 2016. Five gold rings rose the most, 10%, and cost $825. In a good sign for housing,…

In the District of Columbia, 17.3% of all houses are worth more than $1,000,000. California follows at 13.6%, with Hawaii in third at 13.5%. Rounding out the top six are New York at 7%, Massachusetts at 5.2%, and Connecticut at 4.5%. No other state exceeds 4%. At the other end, 0.8% of homes in Alaska…

November existing housing sales rose to a seasonally adjusted annualized rate of 5.81 million, tops since 12/06! But, curb your enthusiasm! Inventory levels, which were already painfully low at 1.8 million, fell to just 1.67 million. They are 9.7% lower Y-o-Y, and have declined Y-o-Y for 30 straight months; a miniscule 3.4-month supply. This will…

While total household net worth in 17Q3 hit a record $96.9 trillion, if ranked by net worth, households below the 85% percentile remain worse off than before the Great Recession! Thus, mean net worth of roughly $700,000 is at a record, while median net worth of $100,000 remains well below the 2007 peak of $140,000.…

While the final draft of the Republican tax-code rewrite improves its treatment of housing, the gains are superficial. This is because the standard deduction is being doubled, making itemizing largely irrelevant. And, while state and local income taxes will remain deductible, the deduction is capped at $10,000 including property taxes! Therefore, in areas with high…

The Friday File: Tonight is the fourth night of Hanukkah, or Festival of Lights, and the 2,184th time this holiday is being celebrated. The tallest menorah, or candelabra, was 60 feet high, weighed 37,500 lbs, and was located in Latrun, Israel. The largest number of simultaneously spinning dreidels for at least 10 seconds is 820…