Monday, August 31, 2009
Tuesday, August 25, 2009
First-Time Buyer Tax Credit Extension Possible
Bills to extend the maximum $8,000 tax credit for first-time home buyers, which expires Nov. 30, are pending in both the U.S. House and the Senate.
Sen. Christopher J. Dodd, a Connecticut Democrat and chairman of the Senate Banking, Housing, and Urban Affairs Committee, is co-sponsor of a bill with Georgia Republican Sen. Johnny Isakson that would raise the credit amount to a maximum of $15,000.
Senate Majority Leader Harry M. Reid of Nevada favors an extension of the current credit. He was quoted by the Las Vegas Sun saying, "It's something we can get done."
Odds are that the credit will be extended and broadened to cover all buyers next year, but the chances of the amount increasing aren’t as good, observers say.
Source: Washington Post Writers Group, Kenneth R. Harney (08/22/2009)
Sen. Christopher J. Dodd, a Connecticut Democrat and chairman of the Senate Banking, Housing, and Urban Affairs Committee, is co-sponsor of a bill with Georgia Republican Sen. Johnny Isakson that would raise the credit amount to a maximum of $15,000.
Senate Majority Leader Harry M. Reid of Nevada favors an extension of the current credit. He was quoted by the Las Vegas Sun saying, "It's something we can get done."
Odds are that the credit will be extended and broadened to cover all buyers next year, but the chances of the amount increasing aren’t as good, observers say.
Source: Washington Post Writers Group, Kenneth R. Harney (08/22/2009)
Existing Homes Selling Fast - Record Fast
The volume of home re-sales has been on the upswing for four consecutive months.
NEW YORK (CNNMoney.com) -- Sales of existing homes rose in July for the fourth consecutive month, lending support to economists who argue a recovery is near.
Sales of previously owned single-family homes were up 7.2% compared with June and 5% from July 2008, The National Association of Realtors (NAR) reported Friday. The monthly gain was the largest on record for existing-home sales, which NAR has tracked since 1999.
"The housing market has decisively turned for the better," said Lawrence Yun, NAR's chief economist. "A combination of first-time buyers taking advantage of the housing stimulus tax credit and greatly improved affordability conditions are contributing to higher sales."
July home sales hit an annualized rate of 5.24 million proprieties, marking the first breach of the 5 million annualized rate mark since last September, when they hit 5.1 million. Since then, they have stayed in a very narrow range, bouncing between between January's low of 4.49 million and October's high of 4.94 million.
The July performance far exceeded expectations: A consensus of real estate experts had forecast sales of 5 million.
Low prices
Of course, homes should be selling. Prices have fallen more than 32% from their peaks, set in the summer of 2006. Plus, mortgage rates near historic lows makes the cost of purchasing a home lower than they've been in nearly 20 years.
0:00 /3:11Home Depot sees housing recovery
"In some recovering markets like San Diego, Las Vegas, Phoenix and Orlando, the demand for foreclosed and lower priced homes has spiked, and a lack of inventory is becoming a common complaint," Yun said.
Overall though, the national inventory rose by more than 7% to 4.09 million units. That will continue to keep prices low, according to Mike Larson, a housing analyst with Weiss Research.
"There's a bifurcation of the market," he said. "There's excess supply putting downward pressure on prices and people respond to the lower prices by buying homes."
Housing is its most affordable in many years, he pointed out. "Falling prices is not part of the problem, they're part of the solution," he said.
Hurting home sales have been stubborn increases in job losses. More than 6.7 million jobs have been lost since the beginning of 2008.
That's one reason why Robert Dye, a senior economist for PNC Financial Services (PNC, Fortune 500), is keeping his optimism in check.
"I wouldn't go overboard on this number," he said. "The economy is still healing and will continue to run into some bumps. But it does bode very well for the future and shows buyer confidence is increasing."
There is one potential bump, however: The looming end of the first-time homebuyers credit. The credit gave first-time homebuyers an up to $8,000 refund on their taxes if they close on a deal before Dec. 1. That credit has been motivating buyers, and when it expires, demand could dry up.
"Just like with the cash-for-clunkers program, we run the risk of a letdown as the program runs its course," Dye said.
Where homes are selling
Regionally, the strongest market was the Northeast, where sales soared by 13.4% to an annualized rate of 930,000. That was 3.3% higher than last July. The median price of homes sold during the month was $236,700, off 15% from last year.
Midwest sales rose 10.9% to a 1.22 million rate, 8% higher year-over-year. Prices there have sunk 5.9% over the past 12 months to a median of $157,200.
In the South, sales were up 7.1% from June and 5.4% from last July to a rate of 1.95 million. Price have dropped 7.1% to $164,500 over the past 12 months.
The only region reporting a slip in sales was the West, where they fell 1.7% to a rate of 1.13 million. That was ahead of last July, however, by 1.8%. The median price there was $202,300, a whopping 28% below what is was a year ago.
First Published: August 21, 2009: 10:19 AM ET
Money.cnn.com
NEW YORK (CNNMoney.com) -- Sales of existing homes rose in July for the fourth consecutive month, lending support to economists who argue a recovery is near.
Sales of previously owned single-family homes were up 7.2% compared with June and 5% from July 2008, The National Association of Realtors (NAR) reported Friday. The monthly gain was the largest on record for existing-home sales, which NAR has tracked since 1999.
"The housing market has decisively turned for the better," said Lawrence Yun, NAR's chief economist. "A combination of first-time buyers taking advantage of the housing stimulus tax credit and greatly improved affordability conditions are contributing to higher sales."
July home sales hit an annualized rate of 5.24 million proprieties, marking the first breach of the 5 million annualized rate mark since last September, when they hit 5.1 million. Since then, they have stayed in a very narrow range, bouncing between between January's low of 4.49 million and October's high of 4.94 million.
The July performance far exceeded expectations: A consensus of real estate experts had forecast sales of 5 million.
Low prices
Of course, homes should be selling. Prices have fallen more than 32% from their peaks, set in the summer of 2006. Plus, mortgage rates near historic lows makes the cost of purchasing a home lower than they've been in nearly 20 years.
0:00 /3:11Home Depot sees housing recovery
"In some recovering markets like San Diego, Las Vegas, Phoenix and Orlando, the demand for foreclosed and lower priced homes has spiked, and a lack of inventory is becoming a common complaint," Yun said.
Overall though, the national inventory rose by more than 7% to 4.09 million units. That will continue to keep prices low, according to Mike Larson, a housing analyst with Weiss Research.
"There's a bifurcation of the market," he said. "There's excess supply putting downward pressure on prices and people respond to the lower prices by buying homes."
Housing is its most affordable in many years, he pointed out. "Falling prices is not part of the problem, they're part of the solution," he said.
Hurting home sales have been stubborn increases in job losses. More than 6.7 million jobs have been lost since the beginning of 2008.
That's one reason why Robert Dye, a senior economist for PNC Financial Services (PNC, Fortune 500), is keeping his optimism in check.
"I wouldn't go overboard on this number," he said. "The economy is still healing and will continue to run into some bumps. But it does bode very well for the future and shows buyer confidence is increasing."
There is one potential bump, however: The looming end of the first-time homebuyers credit. The credit gave first-time homebuyers an up to $8,000 refund on their taxes if they close on a deal before Dec. 1. That credit has been motivating buyers, and when it expires, demand could dry up.
"Just like with the cash-for-clunkers program, we run the risk of a letdown as the program runs its course," Dye said.
Where homes are selling
Regionally, the strongest market was the Northeast, where sales soared by 13.4% to an annualized rate of 930,000. That was 3.3% higher than last July. The median price of homes sold during the month was $236,700, off 15% from last year.
Midwest sales rose 10.9% to a 1.22 million rate, 8% higher year-over-year. Prices there have sunk 5.9% over the past 12 months to a median of $157,200.
In the South, sales were up 7.1% from June and 5.4% from last July to a rate of 1.95 million. Price have dropped 7.1% to $164,500 over the past 12 months.
The only region reporting a slip in sales was the West, where they fell 1.7% to a rate of 1.13 million. That was ahead of last July, however, by 1.8%. The median price there was $202,300, a whopping 28% below what is was a year ago.
First Published: August 21, 2009: 10:19 AM ET
Money.cnn.com
Y-O-Y Condo Home Sales Rise For First Time Since 2005
Washington, D.C.--For the first time in five years, existing-home sales have increased for four months in a row, according to the National Association of Realtors (NAR). It is also the first time since November 2005 that sales are higher that the previous year.
Existing condominium and co-op sales jumped 12.5 percent to 630,000 units in July from 560,000 in June, and are 5.9 percent above the 595,000-unit level a year ago.
Overall existing-home sales, including single-family, townhomes, condominiums and co-ops, rose 7.2 percent to 5.24 million units in July from a level of 4.89 million in June, and are 5.0 percent above the 4.99 million-unit pace in July 2008. The last time sales rose for four consecutive months was in June 2004, and the last time sales were higher than a year earlier was November 2005.
Lawrence Yun, NAR chief economist is encouraged. “The housing market has decisively turned for the better. A combination of first-time buyers taking advantage of the housing stimulus tax credit and greatly improved affordability conditions are contributing to higher sales,” he says.
The median existing condo price for example was $178,800 in July, down 18.9 percent from July 2008.
The monthly sales gain was the largest on record for the total existing-home sales series dating back to 1999. “Because price-to-income ratios have fallen below historical trends, there are more all-cash offers. In some recovering markets like San Diego, Las Vegas, Phoenix, and Orlando, the demand for foreclosed and lower priced homes has spiked, and a lack of inventory is becoming a common complaint,” Yun says.
According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to 5.22 percent in July from 5.42 percent in June; the rate was 6.43 percent in July 2008.
An NAR practitioner survey showed first-time buyers purchased 30 percent of homes in July, and that distressed homes accounted for 31 percent of transactions.
NAR President Charles McMillan, a broker with Coldwell Banker Residential Brokerage in Dallas-Fort Worth, said the first-time buyer tax credit is working. “In addition to first-time buyers, we’re also seeing increased activity by repeat buyers. While many entry-level buyers are focused on the discounted prices of distressed homes, they’re also freeing some existing owners to sell and make a move,” he says.
Total housing inventory at the end of July rose 7.3 percent to 4.09 million existing homes available for sale, which represents a 9.4-month supply at the current sales pace, which was unchanged from June because of the strong sales gain.
The national median existing-home price for all housing types was $178,400 in July, which is 15.1 percent lower than July 2008. Distressed properties continue to weigh down the median price because they typically sell for 15 to 20 percent less than traditional homes.
Published: August 21, 2009
By Anuradha Kher, Online News Editor
www.multihousingnews.com
Existing condominium and co-op sales jumped 12.5 percent to 630,000 units in July from 560,000 in June, and are 5.9 percent above the 595,000-unit level a year ago.
Overall existing-home sales, including single-family, townhomes, condominiums and co-ops, rose 7.2 percent to 5.24 million units in July from a level of 4.89 million in June, and are 5.0 percent above the 4.99 million-unit pace in July 2008. The last time sales rose for four consecutive months was in June 2004, and the last time sales were higher than a year earlier was November 2005.
Lawrence Yun, NAR chief economist is encouraged. “The housing market has decisively turned for the better. A combination of first-time buyers taking advantage of the housing stimulus tax credit and greatly improved affordability conditions are contributing to higher sales,” he says.
The median existing condo price for example was $178,800 in July, down 18.9 percent from July 2008.
The monthly sales gain was the largest on record for the total existing-home sales series dating back to 1999. “Because price-to-income ratios have fallen below historical trends, there are more all-cash offers. In some recovering markets like San Diego, Las Vegas, Phoenix, and Orlando, the demand for foreclosed and lower priced homes has spiked, and a lack of inventory is becoming a common complaint,” Yun says.
According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to 5.22 percent in July from 5.42 percent in June; the rate was 6.43 percent in July 2008.
An NAR practitioner survey showed first-time buyers purchased 30 percent of homes in July, and that distressed homes accounted for 31 percent of transactions.
NAR President Charles McMillan, a broker with Coldwell Banker Residential Brokerage in Dallas-Fort Worth, said the first-time buyer tax credit is working. “In addition to first-time buyers, we’re also seeing increased activity by repeat buyers. While many entry-level buyers are focused on the discounted prices of distressed homes, they’re also freeing some existing owners to sell and make a move,” he says.
Total housing inventory at the end of July rose 7.3 percent to 4.09 million existing homes available for sale, which represents a 9.4-month supply at the current sales pace, which was unchanged from June because of the strong sales gain.
The national median existing-home price for all housing types was $178,400 in July, which is 15.1 percent lower than July 2008. Distressed properties continue to weigh down the median price because they typically sell for 15 to 20 percent less than traditional homes.
Published: August 21, 2009
By Anuradha Kher, Online News Editor
www.multihousingnews.com
Monday, August 24, 2009
Luxury Home Tour by Trolley
For Release
Contact: Tricia Fox (312) 446-7373
triciafox@gcchicago.com
Chicago, August 23, 2009. All aboard! Sunday, August 23rd marked the first Luxury Home Tour by Trolley, a new marketing effort by the Tricia Fox Group of Keller Williams Luxury Homes. Prospective buyers come by the Keller Williams Gold Coast office, 676 N. Michigan Avenue, and – off they go with knowledgeable professional Realtors to tour the condos or homes on the tour. This week the lucky participants visited: #3605 at 100 E. Huron, a 2880 sf 3BR/3BA at Chicago Place at 700 N. Michigan Avenue; then #2904 at 530 N. Lake Shore, a penthouse 2000 sf 3BR/3BA, then a New York Style Duplex overlooking the Millennium Park in the Cultural Mile at 310 S. Michigan, also a 3BR/4BA – and, finally, several new homes in the brand new Trump Chicago! Prices ranged from $995 to over $2.6m. Participants’ comments included, “Great use of our time!” “We learned a lot, saw even more, and enjoyed the company and treats”!
“This is a fun and informative way to see a lot of options in a short amount of time and allows us to discuss real estate here in the Gold Coast,” says Tricia Fox, President, Tricia Fox Ltd. “I believe that this is the year to buy in Chicago. Great inventory, motivated sellers, low interest rates and government incentives all combine to make this the year to buy!”
To jump on board to see all the “best of the best” condos in the Gold Coast, potential buyers are invited to text or call 312-446-7373 or e-mail triciafox@gcchicago.com.
“While others may be discouraged about the housing market,” says Ms. Fox, “we find the Luxury Home Market in Chicago to be alive and well and thriving. In fact, in our Gold Coast market niche, The Tricia Fox Group recently turned in a stellar 2008 year with sales totaling $70 million, their second best year ever. This year the Group has already sold and listed properties valuing over $40mm in Trump Chicago alone. And the group is bullish on the remainder of the year!” All aboard!!
Contact: Tricia Fox (312) 446-7373
triciafox@gcchicago.com
Luxury Home Tour by Trolley
Eases Logistics for Buyers and Sellers
Eases Logistics for Buyers and Sellers
Chicago, August 23, 2009. All aboard! Sunday, August 23rd marked the first Luxury Home Tour by Trolley, a new marketing effort by the Tricia Fox Group of Keller Williams Luxury Homes. Prospective buyers come by the Keller Williams Gold Coast office, 676 N. Michigan Avenue, and – off they go with knowledgeable professional Realtors to tour the condos or homes on the tour. This week the lucky participants visited: #3605 at 100 E. Huron, a 2880 sf 3BR/3BA at Chicago Place at 700 N. Michigan Avenue; then #2904 at 530 N. Lake Shore, a penthouse 2000 sf 3BR/3BA, then a New York Style Duplex overlooking the Millennium Park in the Cultural Mile at 310 S. Michigan, also a 3BR/4BA – and, finally, several new homes in the brand new Trump Chicago! Prices ranged from $995 to over $2.6m. Participants’ comments included, “Great use of our time!” “We learned a lot, saw even more, and enjoyed the company and treats”!
“This is a fun and informative way to see a lot of options in a short amount of time and allows us to discuss real estate here in the Gold Coast,” says Tricia Fox, President, Tricia Fox Ltd. “I believe that this is the year to buy in Chicago. Great inventory, motivated sellers, low interest rates and government incentives all combine to make this the year to buy!”
To jump on board to see all the “best of the best” condos in the Gold Coast, potential buyers are invited to text or call 312-446-7373 or e-mail triciafox@gcchicago.com.
“While others may be discouraged about the housing market,” says Ms. Fox, “we find the Luxury Home Market in Chicago to be alive and well and thriving. In fact, in our Gold Coast market niche, The Tricia Fox Group recently turned in a stellar 2008 year with sales totaling $70 million, their second best year ever. This year the Group has already sold and listed properties valuing over $40mm in Trump Chicago alone. And the group is bullish on the remainder of the year!” All aboard!!
Monday, August 3, 2009
Keller Williams Ranked 1st Among Home Buyers
Daily Real Estate News | July 31, 2009 | Share Buyers, Sellers Rank Real Estate Companies
Coldwell Banker scored highest on the customer-service rankings among home sellers, and Keller Williams ranked first among home buyers in the annual J.D Power and Associates 2009 Home Buyer/Seller study.
The study measures customer satisfaction with the largest national real estate companies. The most significant factor is the buyer/seller experience with the practitioner. Other factors include overall experience with the office and satisfaction with special services offered, like referrals to inspectors and lawyers. Home sellers also rate marketing.
The 2009 Home Buyer/Seller Study includes more than 3,100 evaluations from 2,801 respondents who bought or sold a home between April 2007 and June 2008.
Among the related findings: Home sellers report that, on average, 3.2 open houses were conducted for their property in 2009, compared with 4.5 in 2008. Approximately 64 percent of home sellers used a Web site listing to market their home in 2009, up from 61 percent in 2008.
Here are the home buyer rankings on a 1,000-point scale. (The home buyer average score was 791.) Keller Williams, 806 Coldwell Banker, 801 RE/MAX, 798 Century 21, 795 Prudential, 781 ERA, 744 GMAC, 731
Here are the home seller rankings on a 1,000-point scale. (The home seller average score was 786.) Coldwell Banker, 815 Keller Williams, 801 RE/MAX, 784 Century 21, 770 Prudential, 753
(NOTE: ERA and GMAC were included in the study but not ranked due to a small sample size.)
Source: J.D. Power and Associates (07/30/2009)
Coldwell Banker scored highest on the customer-service rankings among home sellers, and Keller Williams ranked first among home buyers in the annual J.D Power and Associates 2009 Home Buyer/Seller study.
The study measures customer satisfaction with the largest national real estate companies. The most significant factor is the buyer/seller experience with the practitioner. Other factors include overall experience with the office and satisfaction with special services offered, like referrals to inspectors and lawyers. Home sellers also rate marketing.
The 2009 Home Buyer/Seller Study includes more than 3,100 evaluations from 2,801 respondents who bought or sold a home between April 2007 and June 2008.
Among the related findings: Home sellers report that, on average, 3.2 open houses were conducted for their property in 2009, compared with 4.5 in 2008. Approximately 64 percent of home sellers used a Web site listing to market their home in 2009, up from 61 percent in 2008.
Here are the home buyer rankings on a 1,000-point scale. (The home buyer average score was 791.) Keller Williams, 806 Coldwell Banker, 801 RE/MAX, 798 Century 21, 795 Prudential, 781 ERA, 744 GMAC, 731
Here are the home seller rankings on a 1,000-point scale. (The home seller average score was 786.) Coldwell Banker, 815 Keller Williams, 801 RE/MAX, 784 Century 21, 770 Prudential, 753
(NOTE: ERA and GMAC were included in the study but not ranked due to a small sample size.)
Source: J.D. Power and Associates (07/30/2009)
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