Construction spending rises in US

Construction spending in the U.S. rose very slightly in May because the outlay for private residential construction projects I recorded its biggest decline in seven months, a sign that the severe weather continues to affect the economy.

Construction spending rose 0.1% to an annual rate of 945.700 billion, said Tuesday the Commerce Department.

The construction spending data for January was revised to show a decline of 0.2% instead of the previously reported increase of 0.1%.

Economists polled by Reuters had forecast that expenditure on construction remain flat in May.

Prices recorded sharp jump in U.S. real estate and stabilizes

The U.S. inflation accelerated to the fastest pace since early 2013 and the housing market is stabilizing, reflecting the recovery in the country is saying after weak start to the year.

The Labor Department reported that consumer prices rose 0.4% in May, the biggest gain since February last year. The figure was above expectations of 0.2%.

The rise was driven by food prices, which rose 0.5%, the biggest increase since August 2011 and the fifth consecutive monthly rise.

In annual terms, the CPI 2.1%, increased the biggest jump since October 2012, after having climbed 2% of the previous month. This was the first consecutive advance 2% since early 2012.

The so-called core CPI, which does not consider the prices of food and energy, grew 0.3%, the highest variation in nearly three years. In the twelve months to May this index increased 2%, the biggest gain in fifteen months.

The rise in inflationary pressures should ease the members of the Federal Reserve who had expressed concern that the rate was well below the target of 2%.

“Inflation in the U.S. is in a nice place, not too hot and not too cold,” he told Bloomberg Mulraine Millan, deputy head of research and strategy at TD Securities USA. “The disinflationary stress we’ve had in the last two or three years is over.”

In any case, the price index of personal consumption expenditures-the measurement of inflation preferred by the issuing entity-is still below target.

back to normal

Yesterday housing data, which showed a stabilization after cooling in boreal winter is also met.

The Commerce Department reported that initial construction totaled 1 million units last month, in line with analyst estimates. Thus, for the second consecutive month this measurement exceeded 1 million barrier after the rate of 1.07 million in April.

Construction of single-family homes fell 5.9% from 664,000 to 625,000 units, while multifamily properties work as condominiums and apartments, fell 7.6% to 376 thousand.

Three of the four regions of the nation experienced a fall in this category, led by a contraction of 25.2% in the Northeast. The exception was the South, which posted a 7.3% increase in the initial construction.

Meanwhile, building permits, which serve as a barometer for future construction, fell 6.4% to an annualized pace of 991,000. Experts cast down from 1059000-1050000.

The decline was due to the collapse of 19.5% to 372,000 units in multifamily applications. Single-family projects, which represent the majority of the market, expanded 3.7% to 619,000, its highest level since November. “The real estate industry is well,” he told Bloomberg Brian Jones, senior U.S. economist at Societe Generale. “Demand is improving,” he said.

Fed would raise rates sooner than the market believes

The Fed will probably begin to raise interest rates before they consider investors, according to a Bloomberg survey.

55% of experts believe that Eurodollar futures, the contract interest rate in the short term more actively traded in the world, are underestimating the pace of monetary tightening.

Conrad DeQuadros, senior economist at RDQ Economics, said that investors in these contracts are assuming slower than the Fed hikes rates speed.

The options on these contracts show a 47% probability that the benchmark rate, currently between zero and 0.25% is 0.75% or less by the end of 2015. The end of 2016, the probability of it being 2% or lower is 54%.
Three months ago, members of the central bank predicted that rates would rise to 1% by the end of next year and 2.25% in two and half years.

The Federal Open Market Committee today published an update of its economic projections after its monetary policy meeting.

Meanwhile, 54% of respondents said that political analysts or most important communication Fed action this year will brighten your exit strategy. Strategy that allows the bank balance is reduced as assets mature was adopted in 2011. Then the Fed would raise rates then gradually sell assets, focusing on mortgage-backed securities.

But a year ago the strategy began to change when former central banker Ben Bernanke said that the majority of staff supported not sell the real estate debt portfolio. Instead, assets gradually decline as the bonds mature.

Sales of existing homes in April to rebound in the American Union: NAR

Sales of existing homes rose in April in the U.S. and the supply of properties on the market also increased, suggesting that the housing sector is recovering strength.

The National Association of Realtors (NAR, for its acronym in English) reported that home sales rose 1.3 percent to an annual rate of 4.65 million units, the second increase in sales in nine months.

Economists had expected a figure at 4.68 million units.

The housing prices recorded solid gains in U.S.

The housing prices rose 10.9 % in March from a year earlier , the biggest gain of this type in seven years, according to an index that tracks housing prices in 20 U.S. cities.

The Case-Shiller index of Standard & Poor’s , released Tuesday , showed that all 20 cities had reported annual growth for the third consecutive month, the latest sign that the reduced inventories and increased demand for housing has led to an increase in housing prices after several years of declines.

There are already signs that the appreciation of housing prices is on track to continue its rapid pace in the coming months as the inventory of homes for sale has remained low and buyer urgency has increased , driven by increased confidence consumer and mortgage rates hovering near historic lows .

Prices rose 1.4% in March compared to February and 0.3 % in February compared to January , a period in which sales volumes , and consequently growth rates – typically slow for winter weather U.S. Housing prices have not risen in the first quarter since 2006 , and the quarterly increase of 1.8 % this year was the highest for the period from January to March 2005.

Auctioned iconic designer Gianni Versace mansion

The luxurious villa in Miami Beach that Italian designer Gianni Versace was decorated kick made ​​25 million dollars ( mdd) . On September 17 , when the offering is made , it will announce the name of the new owner.

This Mediterranean mansion was built in 1930 by architect and philanthropist Alden Freeman , who “wanted to do with her tribute to the oldest house in the Western Hemisphere , the Alcazar de Colon in Santo Domingo” Dominican Republic , erected in 1510 by Diego Columbus, son of Christopher Columbus.

“There is nothing more iconic in Miami Beach Casa Casuarina ” said Jill Eber , a runner of luxury real estate in South Florida Coldwell Banker signature , after insisting that while the last owners made changes to develop the hotel worked there until now , “the spirit of Versace has seen and felt everywhere .”

The Versace family got rid of this property after the tragic death of fashion designer , who fired the serial murderer Andrew Cunanan on the doors of this house , in July 1997 , and in 2000 was bought by Peter Loftin for 19 million dollars.

“We have people who want to buy the house from all over the world, many have contacted us from Russia and South America,” he told AFP Adam D. Marshall , attorney for the owners of the Casa Casuarina , that problems between the partners decided to file for bankruptcy.

For now, all aspiring owners of this mansion , ornate marble and mosaics and located on the beach in the tourist street Ocean Drive Miami Beach, Florida ( southeast U.S. ) , ” want their identities are kept under confidentiality ” Marshall said.

“Nobody wants for the moment that your assets and financial power are known publicly ,” Marshall said.

The Mona Lisa of the property market

Casa Casuarina has 6,100 me2 where 10 rooms , 11 bathrooms, hardwood floors, and jellyfish sculptures of mythological frescoes two rooftop terraces with a privileged view of the beach and at the top , an observatory yet spread you need to lie down to see the stars : large cushions , beach chairs and a bar to reach .

Each of the spaces is decorated with furniture arranged in time Versace, even a bed of “super , super, super king” size room The Villa Suite, which once occupied the Italian fashion designer and has with a huge bathroom, ” walking closet ” made in fine woodworking and even a small terrace overlooking the sea.

One of the biggest attractions of the house is a pool of almost 17 meters long decorated with mosaics a 24K gold plated and tropical palms line edge , plus shade , shielding the open areas of the house of any paparazzi lenses .

Sales of existing homes rose in July to three-year highs

Sales of existing homes in the U.S. rose in July to its highest level in more than three years , suggesting that a sharp rise in the cost of borrowing is just having a limited recovery in the housing market impact.

The National Association of Realtors (NAR , for its acronym in English ) said sales of existing homes rose 6.5 % in July to an annualized rate of 5.39 million units.

The result far exceeded market expectations and represents the highest sales pace since November 2009, when expiring tax credit for homebuyers .

After being devastated by the financial crisis and recession of 2007-2009 , the U.S. housing market seemed to start to recover early last year, helped by sustained job creation and low interest rates . “The current housing market recovery has a solid foundation ,” said Lawrence Yun , NAR chief economist .

In July homebuyers seemed inmunesa a recent increase in lending rates . In fact, Yun believes some buyers might have rushed to prevent further increases , which are widely expected .

Banks have raised their rates on expectations of an acceleration of the U.S. economy and anticipating that the Federal Reserve to tighten monetary policy. Since early May, mortgage rates have risen by more than one percentage point for 30-year loans .

Last week, the average 30-year mortgage rate rose 12 basis points to 4.68 % , according to figures released Wednesday Hipotercarios Bankers Association figures .

Economists polled by Reuters had forecast a rise to a rate of 5.15 million units in July . Sales increased in all four major regions of the United States.

The housing market recovery , illustrated by an increase in prices and a reduction in inventories , is helping to prop up the economy , strengthening the finances of households and consumer spending .

The average price of a resale home soared 13.7 % compared to last year, to $ 213.500 . The inventory of unsold homes on the market increased by 5.6 %.

Malibu is the most expensive U.S. housing market, according to a study

A study released today by the real estate company Coldwell Banker found that the coastal area of Malibu in Southern California, is the most expensive residential area in the U.S. with an average home price of four bedrooms and two bathrooms over 2.1 million.

California dominated this annual list of which he liked a lot the top five and 13 of the 25 most expensive to buy a house in the U.S. are in that state locations.

Following figure Malibu Newport Beach, Saratoga , Los Gatos and San Francisco , with ratings of between 1.7 and 1.3 million respectively .

The report of this agent is done by reference to more than 52,000 properties with 4 bedrooms and two bathrooms in more than 1,900 housing markets in the country, which makes cities are outside the mansions where they proliferate , as Bel -Air , in the Los Angeles County .

Coldwell Banker also unveiled its ranking of most economical to live as a model using the same type of property, a classification that led Cleveland (Ohio ) where the average price is just over $ 63,000 , followed by Garfield Heights, Ohio areas also with $ 66,000.