diana olick ison in san a for us tonight.a waters and theirwant to get out of rental apartment and into a larger single family home. >> we have beenooking online for what we want to buy or rent and this is up our alley. >> it is a brandew community built entirely as rentals. aile some builders will sell few to investors at rentals, it is one of the gatedy rental o projects. >> about 93% of the apartment stock consists of studios, one and twobedrooms, few three bedrooms. we saw a growing need out of the downturn to pvide three and four bedroom homes for the nt 's society. >> he is taking the vertical apartment model and turning it horizontal, offering three and four bedroom homes with two car garages but including high-end amenities like a gym, common areas, a dog park and washing station. the rents are comparable to nearby apartments and the maintenance is o all site, lowering costs for ahv. wolf says he does not intend to sell the homes any time soon. long term ve in the cash flow game. so if you hold these properties for te

diana olick has the details. >> reporter: a surprise jump on home sales in june, gaining from a yearor the first time in 17 months according to realtors. pending sales are signed contracts to buyg exist home so an indicator of closings in july and august. sales were stronger across the nation but particularly in the west where home prices have bee moderating the most. in fact, prices in see a little are lower than year ago according to the latest s&p schiller report, the first city to see ain drop 2012. clearly lower mortgage rates are helping. the average rate on a 30-yr fixed mortgage stood at 4.29% on may 1st and endedune at 3.81% according to mortgage news daily. that had to help with affordability, but home prices are still high and the supply oo s for sale, which had been gaining earlier this year, is underressure again. builders are still not putting up enough entry lel mes, but d.r. horton is seeing big gains with the help of its cheaper express brand. the company reported strong quarterly earnings. horton chairman donald r. horton called the spring selling season, qte, solid

diana olick h some surprising new numbers. >> mortgage rates have been on a roller c but now they are sitting at the bottom of the track and that's a bigor opportunityecause rowers. the average rate on the 30-year fixed hit a low at 3.73%. it was around 5% a year ago. at today's rate just over 8 million borrowers can refinance and lnter theirest rates by at least 75 basis points. that's the largest group sin 2016, according to black knight. it's also a jump of more than 6 million eligible borrowers since last november. how much can t average borrower save? about $266 per month. most borrowers tend to refinance afterer s years, but those who took out their mortgages last year could benefit most, about 1.5 million ofthem. not surprise morioage applicns to refinance were up last week according to the mortgage bankersn. associat while refinancing can lower monthly payments, it's also an opportunit to take cash out of your home, but very few people are doing that. home equity levels areri very hh t now, but borrowers took out just 4 billion collectively. that was the lowest amount in four

diana olick has the details and the strategies. >> reporter: after a year of perfect for the northernnia home, frank and his wife finally found it, and so did six other buyers. >> we knewe were going to have to come in pretty hot, and that's what we did. >> reporter: they waved all contingencies and even offered a bit more than what they thought the hse was worth which was risky. >> if the appraisal did not come back at a priceimilar tohat we paid for it, we would have ts pay the cout of pocket which we didn't want to do. >> reporter: bidding wars like this had been slowing dramatically thanks to more listings nationally. just 12% of offers written by redfin faced a bidding war in june, down fromea 52% a ago. now the supply of homes for sale is not growih as m and housing demand is rising as more rates sink. so bidding wars are coming it is especially competitive in more moderately-priced markets like oklahoma city,on ric memphis, buffalo and whatlanta, e supply is now significantly lower than a year ago. >> a lot of our clients looking for what everybody else is looking ter. >> repor

as diana olick tells us it is not just about higher construction cost but lower demand from chinese buyersorter: wes yuwn one home in southern california and one in new jersey, but he is now pulling back from buying more. >> translator: the trade war makes everyone, because we're immigrants, we are hesitant, a little scared to invest more political the situation. >> reporter: for several years the chinese have been the largest international buyers of u.s. real estate, but their numbers are now shrinking due to th tradear. in the first quarter of this year chinese buyer inquiries for u.s. properties on a chinese real estate site were down 27.5% from a year ago while they were up for propeies in canada, the uk and australia. inquiries have been down in four of the last five quarters. the ceo calls it the trump effect, a combination of se anti-chiolitical rhetoric, a clamp down on visa processing and tariffs. it is also hurting demand from chinese students and their falies, especially in california. >> students come to america, they very -- they -- to ameri spirit, america lifestyle. but afte

diana olick explains. >> it is about supply.have been in a housi shortage for the past several years which meant as demand rose prices did as well. this year we started to see more listings and prices easing, but it may be short lived. supply isro expected to again this fall and potentially hit a new low according to realtor.com. inventory gains began to slow this year from 6.4% growth in january to 5.8% in february. gaino continued slow throughout the spring and supply was up just 2.8% annually in june. it is now expected to flatten over the next three months and could hit its first decline in october of this year. course, all real estate is local. the housing shortage is worsening in smaller, more affordable markets like oklahoma city, memphis, leigh, richmond and pittsburgh according to redfin. but in pricier markets where demand hasle f off like seattle, san jose, denver, chicago and boston, the suppl of homes is increasing. a looming shortage could help homebuilders but they still need build er lower prices or more entry-le

i'm diana olick in washington. >>> coming up, closing the gap.ompanies are doing to get moreomen into the male-dominated cybersecurity industry. ♪ ♪ ♪ >>> we've reported extensively on the gender gap in the workplace, especially in the tech indust but it is even greater in the cybersecurity sector. thats apsomething defense companies are trying to close. kayla tausche is back with us tonight, this time from the pentagon. ♪ >> all right. now we'rer. working toget >> mariah kenny didn't always want to be a cybersecurity expert. >> taught a course ony cybersecurnd so i took that. super interesting. i only understood half of it. >> she works at crowdstrike, the company hired byc the democ party to play defense against russia. she graduated in may with a degree in computer science andv led the uity of virginia to win two cyber contests. the competent is sponsored by r raytheon and federal agencies. the winners get face time with tential employers. it is part of a growing effort by companies and the government to woo new workers, especially women which

for "nightly business report", i'm diana olick in washington. >>> cheryl young joins us to talk about outlook for housing market the rest of the year. she is senior economist at truly. cheryl good to see you again. thanks for joining us tonight. >> thanks for having me. >> home prices have been going up but you are sensing a slow down in that price increase, yes? >> that's right. since the beginning of the year, and i think what we're goi to e through the rest of this year, is that continued slowdown in price appreciation. we're not talking about price dropping yet, but we are seeing a slowdown a possibly a flattening through the rest of the year. >> even with interest rates going lower -- mortgage rates at thist, two-year lows point. is it because demand is going to go down or what is going on there? >> no, that's right. mortgage rates are low and that's going to help drive demand. itoing to bring more people back into the market as mortgage rates go down and stay down, but what we're seeing is that we've really hit sort of an affordability ceiling. price growth has far outstripped w

diana olick is in washington to explain. pose it was only a matter of time before amazon reached into the space >> no question, deirdre. amazon and realogy are providing a portal to agents and offering $5,000 worth of free amazon home services and products. potential homebuyers can now go on amazon's turnkey portal they are then taken to a realtyy page where they're contacted by a realogy agent. then amazon home services steps back in with $5,000 worth of free services like painting, cleaning, hanging your tv, as well as products like the ring doorbell, of course installed by amazon it's a strategy designed to booth sales for both amazon and rea realogy. >> we need to evolve the consumer experience of the transaction. it's not just about helping people get into a house with the right agent. it's about the power of amazon home services and a fully equipped smart home be ready for them when they're ready to move in >> realogy's stock surged on the stock this morning newcomers in the market, like r redfin and others, rely on hig

joining me is valerie, a national reporter for the "wall street journal," and our own diana olick.ome a lot of people take note at what it looks like this move from millennials into the burbs. >> after the great recession and the economic downturn, the cities were booming. the thought was people wanted to be able to walk to work and live closer to downtown life, but what we have seen in the last couple years is a flock to the suburbs, especially by millennials. they're 23 to 38 years old now so they're somewhat belatedly, many of them, able to start a household, get married, start a family, and do what their parents and grandparents did, which is move to the suburbs >> diana, as you said, there might be a desire for home ownership that's driving some of this, but there's also a huge affordability issue that's still creating a lot of renters who wouldn't normally be renters here, right? i right, and they're still renting in apartments or looking to single family rentals i don't think it's a shift in the demographics millennials moving to the suburbs. it's the same percentage as were

. ♪ >>> home builder confidence climbing slightly in july, but still lower year over year diana olickoins me to break down the numbers hi, diana. >> just a one-point gain for builder confidence in july to 65 that's below the july 2018 reading of 68. now, anything above 50 is considered positive, but you would think confidence would be gaining more given the increasing shortage of existing homes for sale and of course lower mortgage rates the average on the 30-year fixed fell sharply at the end of may, continued lower in june, and held steady in the first weeks of july, right around 3.8% now of the nahb index's three components, current sales conditions and expectations, each rose to 72 and 71 respectively buyer traffic was also up one point to 48, but still in negative territory and a note from the chief economist at nahb, the current low mortgage rate interest environment should get more buyers off the sideline, but they remain hesitant due to affordability concerns builders continue to blame high prices on their high costs for land, labor, and materials joe. >> okay, diana thank you

diana olick, jason del ray, good luck with the podcast. >> thank you so much. >>> the nasdaq is making a bet on sports gambling as it looks for new ways to expand its business we'll have the details. >>> plus, from the bachelorette to flipping homes with a twist, cnbc's cash pad premiers tonight. you don't have to wait that long, the show's two stars join us live straight ahead . >>> welcome back to "the exchange." here are some of the biogen is jumping after strong earnings, boosted by sales of its multiple sclerosis drug. shares up nearly 4% as a result. stanley black and decker also jumping after reporting better than expected earnings per share. the stock is on pace for its best day since 2015. it's up more than 4% and sherwin williams up more than 7% on pace for its best day since january of 2017. the paint maker reported an 18% jump in earnings year on year, said u.s. sales rose 5%, and you can see the big move in their shares today now over to sue herera for a cnbc news update. >> hello kelly, hello everyone by a 90-8 vote, the senate has confirmed army veteran and former defens

diana olick joins us now with more of those details. >> in the first quarter of this year, chinese buyer for u.s. properties on a chinese real estate site were down 27.5% from a year ago, while they were up for properties in canada, the uk, and australia. they call it, quote, the trump effect a combination of anti-chinese political rhetoric, a clamp down on visa processing, and tariffs. it's also hurting demand from chinese students, especially in california where we spoke to one chinese investor >> students come to america, they feel close to america's spirit, america's lifestyle, but after the trade war, they have to go back they have to go back to china, to go back to their country. so they stop to invest in properties >> it's also getting harder for chinese citizens to get their money out of the country, especially to buy u.s. properties kelly. >> wow, and as you said, you know, the chinese had also said, i guess students they were looking at as maybe a leverage point in trade talks if the students come back, you're talking about a chain of families and money in those areas. >> that'

. >>> morgan applications data out moments ago, diana olick has the numbers. >> melissa, the mortgaged down last week so there wasn't a lot of incentive to make a moment. the volume was essentially flat, down 0.1% for the week, but 41% higher than the same week one year ago and that's thanks to lower mortgage rates boosting the refinance the market it decreased 1% for the week, but were 93% higher than the same week one year ago, because rates last year were considerably higher. the average on the 30 year fixed with conforming loan balances increased to 4.07% from 4.06%. that's for loans with the 20% down payment that is 72 basis points lower than a year ago. more damage applications to buy a home were up 1% for the week and 10% higher compared to a year ago purchase demand is stronger this year thanks to lower mortgage rates. but supply is still very weak especially for affordable homes. the number of homes for sale nationally fell slightly in june compared with a year ago the first annual decline in inventory since last september that's according to redmond. back to you. >> thank yo

now, on pending home sales for june, we're going to turn to diana olick. a. >> a nice beat pending home sales 2.8% up in june compared to may, 1.6% higher annually that finally breaks a losing streak year over year. sales had been lower for 17 straight months according to the national association of realtors pending home sales measured signed contracts to buy existing homes, so they are an indicator of closed sales one to twop months out clearly lower mortgage rates are helping. average rate of 30-year fixed 4.29 and ended june at 3.8% according to mortgage news daily. that had to help with affordability but prices are high regionally sales higher in june from may and higher everywhere but in the west they were most strong that's where prices have been moderating as well back to you guys. >> diane olick, thank you very much. >>> our roadmap for the hour is going to start with china trade tensions the president sounding off as the two countries resume negotiations. >> plus it's day one of the fed's two-day meeting. we'll look ahead to powell's big decision w

. >> thank you very much diana olick. good morning, everybody. welcome back to "squawk box.a pretty good open. dow was up 100 points, almost got to s&p 5003k settling back a touch. earnings are a big story pretty good. >> roadmap for the hour starts there. earnings rally, a boost from coca-cola and united technologies we'll break down the numbers for you. >> the art of the budget deal. what this two-year deal means for investors. >> in just a few moments we're going to hear from ceo of coca-cola on that company's earnings as we said, stock up strongly this morning. >> speaking of coke, got some big earnings movers, three dow components report today, coke, utx beating estimates in aics maked bag for travelers. earnings fell a bit short but revenues ahead lockheed, hasbro, biogen beating across the board harley the outlier cutting motorcycle shipments and operating margin we did, in fact, coke had its highest gap up on earnings since 2015. >> yeah. haven't seen a move like this. also haven't seen 6% organic revenue growth from coke they up their organic revenue forecast we'll

contribute to the true economy let's head national association of home builders housing market index diana olicktails on that. diana. >> rick, builder confidence for single family homes rose one point to 65 in july. that's below july 28 reading of 68 anything above 50 is considered positive this is despite a growing shortage of existing homes for sale and lower mortgage rates. the average on the 30-year fix fell sharply end of may and continued lower in june, held steady first week of july, right around 3.8 according to mortgage news daily indexes componentss sales conditions and expectations each rose one point to 72 and 71 respectively buyer traffic also up one point to 48, although that one still in negative territory. a note from nahb economist current low interest rate environment should be getting more buyers off the sidelines but they remain hesitant due to affordability concern. builder sentiment highest in the west, lowest in the midwest. back to you guys. >> thank you for that. appreciate it. chorus growing against facebook's libra in the past week alone, the president has spoken out a

united technologies and josh lipton has details on potential app de apple deal in the works and diana olick. kayla, let's start with you. >> wilf, they're expected to negotiate since the g20 with sources saying the talks will take place between the start of congressional recess this friday and china's august 1st holiday some reports say u.s. officials will leave monday. the talks are looking for compromise on two front, president trump wants china to buy agricultural products in exchange for relaxing the business ban for huawei. longer term the white house will dial back tariffs if china codifies this deal into law. now, recently white house officials have signaled even though president trump is inclined toward a deal, that latter item getting china to make this a law and legally binding could take several months and they're trying now to shift the focus of the conversation here in washington to the new nafta for the next couple of months, wilf >> kayla, thank you so much. either way it helped markets get to session highs in the final hour, just off them, up 170 points on the dow. earnings

diana olick is here with why >> well, morgan, we thought as millennials grew up that apartment demandut we have not seen that yet. apartment demand actually spiked, up 11% from a year ago that in turn pushed rents up an average 3% nationally to $1390 per month. all according to real page, a real estate software and analytics company. despite the rent increase, a record 82% of renters still say renting is more affordable than owning, according to freddie mack that's up dramatically from a year ago >> i think millennials ultimately aspire to have homes, but i think it's still the american dream, but i call it the dream deferred it's deferred because of student loans, the lack of having a large amount of equity >> he says he does not think the apartment market is overbuilt because demand is coming from both millennials and downsizing baby boomers back to you. >> diana olicki, thank you. >>> switching focus. elizabeth warren's wealth tax sparking a bill war in the democratic party robert frank has the details >> well, it all started when larry summers, the former treasury secretary and ob