U.S. Economic News
August 21, 2019
U.S. Economic Indicators
Existing home sales rose 2.5% to a seasonally adjusted annual rate of 5.42 million in July and are up 0.6% compared to a year ago. NAR notes that falling mortgage rates are nudging buyers into the market, though the supply of affordable homes remains low. NAR Report
U.S. News
According to the Wall Street Journal, strict lending requirements for home loans put in place after the financial crisis are beginning to erode, making it easier for homebuyers with low credit scores or high debt levels to receive a loan. Borrowers took out $45 billion of unconventional loans in 2018, the most in a decade, leading some analysts to worry that competition for customers is causing lenders to overly loosen standards. WSJ
The Financial Times reports that the U.S. and Japan are rushing to finalize a preliminary trade deal to partially relieve both countries from the commercial tensions weighing on the world economy. The agreement will likely involve Japan further opening its agricultural market to American goods in exchange for exemptions on auto tariffs and other industrial levies. FT