The Federal Reserve’s Beige Book tracks economic activity across the country based on reports from the Fed’s 12 districts. The report focuses on a number of economic sectors, including manufacturing, consumer spending, agriculture, employment, banking, and real estate. According to the most recent release, residential real-estate activity improved in many areas, while remaining steady or softening in others. Home sales remain largely above year-ago levels, though there was some slowing as the summer sales season wrapped up. Increasing demand, declining levels of inventory, and rising new-home construction were cited by the report as the reason behind continuing home price increases, though prices are increasing at a slower pace now than in early 2013. Lower residential mortgage activity was also reported in many district but several saw better credit quality as delinquencies decline and fewer problem loans are reported. More here and here.