Author: Ted Ihde

When Americans talk about inflation, most would be referring to the inflation they face at the consumer level. Which would be, prices Americans are paying everyday when they go shopping. While the Producer Price Index does not specifically measure inflation at the retail level – i.e.: at the consumer level – the Producer Price Index serves as a very effective overall inflation indicator. This is so because as the cost of goods and services increase for businesses at the wholesale level – such as, increases in materials costs for home builders – those increases in costs that builders incur at the wholesale level are then often passed on to consumers at the retail level. Leading to the more widely talked about consumer inflation.

In the United States, the Producer Price Index measures the average change over time in the prices domestic producers receive for their output. Whereas “retail” constitutes prices reflected through the sale of goods and services to the public for their own consumption – not for resale – the Producer Price Index measures the cost of goods and services at the wholesale level. Each month, the Producer Price Index is published by the Bureau of Labor Statistics. Typically, the Producer Price Index is released by the Bureau of Labor Statistics the second full week of each month.

Steps taken by a municipality in the municipslity’s progression towards revitalization in Redevelopment Areas – progression, coupled to a redevelopment plan emanating from city hall – often starts off with city council passing a resolution. Following a resolution, the planning board then might construct a Redevelopment map. With a Redevelopment map formulated – and upon notification to the public of a scheduled hearing – the planning board could then potentially adopt a Redevelopment resolution. The adopted Redevelopment resolution could recommend the establishment of a Redevelopment Area within the municipality. There is quite a bit more technical minutiae to this process, needless to say. Yet, in summarily-simplified terms, this is how we can thus arrive at the designation of a Redevelopment Area within a municipality.

The original Kansas City Chief was not a NFL football player. The original Kansas City Chief never played for the Kansas City Chiefs. The original Kansas City Chief was Kansas City’s then two-term mayor, Harold Roe Bartle. Mayor Bartle, the 47th mayor of Kansas City, Missouri. Harold Roe Bartle. a gentleman who, at the time he became Kansas City’s mayor in 1956, was well-known as an in-demand public speaker, donning up to 200 speaking engagements annually.

The 2-1 interest rate buydown provides home buyers with an opportunity to qualify for a home mortgage with a larger loan balance when they purchase their home at the outset. While at the same time, enabling the home buyer to potentially purchase a larger home. Or a home with more features. In summary, a home buyer can purchase a larger home, a home buyer can purchase a more expensive home, and/or a home buyer can purchase a home with more “bells and whistles”…each benefit made possible for the home buyer through their wise use of the 2-1 interest rate buydown.

Credit spreads consist of the purchase of – then the simultaneous sales of – contracts within the same asset classes. Credit spreads are not always so easily predictable. Then too, mortgage rates are not necessarily nor definitively so easily predictable either. Although the general direction mortgage rates will end up heading can rather accurately be predicted.

When Americans talk about inflation, most would be referring to the inflation they face at the consumer level. Which would be, prices Americans are paying everyday when they go shopping. And while the Producer Price Index does not specifically measure inflation at the retail level – i.e.: at the consumer level – the Producer Price Index serves as a very effective overall inflation indicator. This is so because as the cost of goods and services increase for businesses at the wholesale level, those increases in costs that businesses incur at the wholesale level are then often passed on to consumers at the retail level. Leading to the more widely talked about, consumer inflation.

The 2-1 buydown is a real estate financing technique…an attractive home loan provision whereby funds are set aside in an escrow account at the closing, for the benefit of the buyer. These escrowed buydown funds permit the home buyer to “buy down” the interest rate on their home loan…as the buyer’s interest rate is “bought down” for the two-year period. 

Housing starts for privately owned homes surpassed the 2-million threshold in 2005. Housing starts for privately-owned homes fell just short of 2 million during the prior year, in 2004. At that point in time, the market had been absorbing just about 2 million new homes a year.

In 2021, the market absorbed 1.7 million new permits for privately owned homes, while the market also took on 1.6 million new privately owned homes which had been built. The 1.7 million new permits, and the 1.6 million new housing starts…each total representing annual figures which were three-hundred thousand fewer (permits) and four-hundred thousand fewer (housing starts) than the market absorbed 16 years earlier.

The Producer Price Index measures the average change over time in the prices domestic producers receive for their output. Whereas “retail” constitutes prices reflected through the sale of goods and services to the public for their own consumption – not for resale – the Producer Price Index measures the cost of goods and services at the wholesale level. Each month, the Producer Price Index is published by the Bureau of Labor Statistics. Typically, the Producer Price Index is released by the Bureau of Labor Statistics the second full week of each month.