Conforming and FHA Loans
30-Year Fixed 4.250% 4.433%
30-Year Fixed FHA 4.250% 5.087%
15-Year Fixed 3.625% 3.943%
5-Year ARM 2.875% 3.126%
5-Year ARM FHA 2.750% 2.948%
Larger Loan Amounts in Eligible Areas – Conforming and FHA
30-Year Fixed 4.375% 4.508%
30-Year Fixed FHA 4.250% 5.032%
5-Year ARM 3.250% 3.211%
Jumbo Loans – Amounts that exceed conforming loan limits
30-Year Fixed 4.875% 5.012%
5-Year ARM 3.750% 3.388%
*rates courtesy of Wells Fargo
Friday, October 29, 2010
Sunday, September 26, 2010
Investor Words: Define Capitulation*
Capitulation: The sale of a security at a loss for the specific purpose of moving funds from the sale into a less risky investment. Capitulation refers to investors "giving up" on a particular security. Value investors often review such sales of securities, since the value of the underlying security could be inherently higher than what the share price currently is. Technical traders might view the low price as a potential bottom of a cycle.
**from Investor Words
**from Investor Words
Wednesday, September 22, 2010
Something Positive Re: Real Estate in the Wall Street Journal
10 Reasons To Buy a Home
By Brett Arends, The Wall Street Journal
Enough with the doom and gloom about homeownership.
Sure, maybe there's more pain to come in the housing market. But when Time magazine starts running covers that declare "Owning a home may no longer make economic sense," it's time to say: Enough is enough. This is what "capitulation" looks like. Everyone has given up.
After all, at the peak of the bubble five years ago, Time had a different take. "Home Sweet Home," declared its cover then, as it celebrated the boom and asked: "Will your house make you rich?"
But it's not enough just to be contrarian. So here are 10 reasons why it's good to buy a home.
1. You can get a good deal. Especially if you play hardball. This is a buyer's market. Most of the other buyers have now vanished, as the tax credits on purchases have just expired. We're four to five years into the biggest housing bust in modern history. And prices have come down a long way– about 30% from their peak, according to Standard & Poor's Case-Shiller Index, which tracks home prices in 20 big cities. Yes, it's mixed. New York is only down 20%. Arizona has halved. Will prices fall further? Sure, they could. You'll never catch the bottom. It doesn't really matter so much in the long haul.
Where is fair value? Fund manager Jeremy Grantham at GMO, who predicted the bust with remarkable accuracy, said two years ago that home prices needed to fall another 17% to reach fair value in relation to household incomes. Case-Shiller since then: Down 18%.
2. Mortgages are cheap. You can get a 30-year loan for around 4.3%. What's not to like? These are the lowest rates on record. As recently as two years ago they were about 6.3%. That drop slashes your monthly repayment by a fifth. If inflation picks up, you won't see these mortgage rates again in your lifetime. And if we get deflation, and rates fall further, you can refi.
3. You'll save on taxes. You can deduct the mortgage interest from your income taxes. You can deduct your real estate taxes. And you'll get a tax break on capital gains–if any–when you sell. Sure, you'll need to do your math. You'll only get the income tax break if you itemize your deductions, and many people may be better off taking the standard deduction instead. The breaks are more valuable the more you earn, and the bigger your mortgage. But many people will find that these tax breaks mean owning costs them less, often a lot less, than renting.
4. It'll be yours. You can have the kitchen and bathrooms you want. You can move the walls, build an extension–zoning permitted–or paint everything bright orange. Few landlords are so indulgent; for renters, these types of changes are often impossible. You'll feel better about your own place if you own it than if you rent. Many years ago, when I was working for a political campaign in England, I toured a working-class northern town. Mrs. Thatcher had just begun selling off public housing to the tenants. "You can tell the ones that have been bought," said my local guide. "They've painted the front door. It's the first thing people do when they buy." It was a small sign that said something big.
5. You'll get a better home. In many parts of the country it can be really hard to find a good rental. All the best places are sold as condos. Money talks. Once again, this is a case by case issue: In Miami right now there are so many vacant luxury condos that owners will rent them out for a fraction of the cost of owning. But few places are so favored. Generally speaking, if you want the best home in the best neighborhood, you're better off buying.
6. It offers some inflation protection. No, it's not perfect. But studies by Professor Karl "Chip" Case (of Case-Shiller), and others, suggest that over the long-term housing has tended to beat inflation by a couple of percentage points a year. That's valuable inflation insurance, especially if you're young and raising a family and thinking about the next 30 or 40 years. In the recent past, inflation-protected government bonds, or TIPS, offered an easier form of inflation insurance. But yields there have plummeted of late. That also makes homeownership look a little better by contrast.
7. It's risk capital. No, your home isn't the stock market and you shouldn't view it as the way to get rich. But if the economy does surprise us all and start booming, sooner or later real estate prices will head up again, too. One lesson from the last few years is that stocks are incredibly hard for most normal people to own in large quantities–for practical as well as psychological reasons. Equity in a home is another way of linking part of your portfolio to the long-term growth of the economy–if it happens–and still managing to sleep at night.
8. It's forced savings. If you can rent an apartment for $2,000 month instead of buying one for $2,400 a month, renting may make sense. But will you save that $400 for your future? A lot of people won't. Most, I dare say. Once again, you have to do your math, but the part of your mortgage payment that goes to principal repayment isn't a cost. You're just paying yourself by building equity. As a forced monthly saving, it's a good discipline.
9. There is a lot to choose from. There is a glut of homes in most of the country. The National Association of Realtors puts the current inventory at around 4 million homes. That's below last year's peak, but well above typical levels, and enough for about a year's worth of sales. More keeping coming onto the market, too, as the banks slowly unload their inventory of unsold properties. That means great choice, as well as great prices.
10. Sooner or later, the market will clear. Demand and supply will meet. The population is forecast to grow by more than 100 million people over the next 40 years. That means maybe 40 million new households looking for homes. Meanwhile, this housing glut will work itself out. Many of the homes will be bought. But many more will simply be destroyed–either deliberately, or by inaction. This is already happening. Even two years ago, when I toured the housing slump in western Florida, I saw bankrupt condo developments that were fast becoming derelict. And, finally, a lot of the "glut" simply won't matter: It's concentrated in a few areas, like Florida and Nevada. Unless you live there, the glut won't have any long-term impact on housing supply in your town.
Thank you, Brett Arends, for giving us some hope and some solid reasons to buy!
By Brett Arends, The Wall Street Journal
Enough with the doom and gloom about homeownership.
Sure, maybe there's more pain to come in the housing market. But when Time magazine starts running covers that declare "Owning a home may no longer make economic sense," it's time to say: Enough is enough. This is what "capitulation" looks like. Everyone has given up.
After all, at the peak of the bubble five years ago, Time had a different take. "Home Sweet Home," declared its cover then, as it celebrated the boom and asked: "Will your house make you rich?"
But it's not enough just to be contrarian. So here are 10 reasons why it's good to buy a home.
1. You can get a good deal. Especially if you play hardball. This is a buyer's market. Most of the other buyers have now vanished, as the tax credits on purchases have just expired. We're four to five years into the biggest housing bust in modern history. And prices have come down a long way– about 30% from their peak, according to Standard & Poor's Case-Shiller Index, which tracks home prices in 20 big cities. Yes, it's mixed. New York is only down 20%. Arizona has halved. Will prices fall further? Sure, they could. You'll never catch the bottom. It doesn't really matter so much in the long haul.
Where is fair value? Fund manager Jeremy Grantham at GMO, who predicted the bust with remarkable accuracy, said two years ago that home prices needed to fall another 17% to reach fair value in relation to household incomes. Case-Shiller since then: Down 18%.
2. Mortgages are cheap. You can get a 30-year loan for around 4.3%. What's not to like? These are the lowest rates on record. As recently as two years ago they were about 6.3%. That drop slashes your monthly repayment by a fifth. If inflation picks up, you won't see these mortgage rates again in your lifetime. And if we get deflation, and rates fall further, you can refi.
3. You'll save on taxes. You can deduct the mortgage interest from your income taxes. You can deduct your real estate taxes. And you'll get a tax break on capital gains–if any–when you sell. Sure, you'll need to do your math. You'll only get the income tax break if you itemize your deductions, and many people may be better off taking the standard deduction instead. The breaks are more valuable the more you earn, and the bigger your mortgage. But many people will find that these tax breaks mean owning costs them less, often a lot less, than renting.
4. It'll be yours. You can have the kitchen and bathrooms you want. You can move the walls, build an extension–zoning permitted–or paint everything bright orange. Few landlords are so indulgent; for renters, these types of changes are often impossible. You'll feel better about your own place if you own it than if you rent. Many years ago, when I was working for a political campaign in England, I toured a working-class northern town. Mrs. Thatcher had just begun selling off public housing to the tenants. "You can tell the ones that have been bought," said my local guide. "They've painted the front door. It's the first thing people do when they buy." It was a small sign that said something big.
5. You'll get a better home. In many parts of the country it can be really hard to find a good rental. All the best places are sold as condos. Money talks. Once again, this is a case by case issue: In Miami right now there are so many vacant luxury condos that owners will rent them out for a fraction of the cost of owning. But few places are so favored. Generally speaking, if you want the best home in the best neighborhood, you're better off buying.
6. It offers some inflation protection. No, it's not perfect. But studies by Professor Karl "Chip" Case (of Case-Shiller), and others, suggest that over the long-term housing has tended to beat inflation by a couple of percentage points a year. That's valuable inflation insurance, especially if you're young and raising a family and thinking about the next 30 or 40 years. In the recent past, inflation-protected government bonds, or TIPS, offered an easier form of inflation insurance. But yields there have plummeted of late. That also makes homeownership look a little better by contrast.
7. It's risk capital. No, your home isn't the stock market and you shouldn't view it as the way to get rich. But if the economy does surprise us all and start booming, sooner or later real estate prices will head up again, too. One lesson from the last few years is that stocks are incredibly hard for most normal people to own in large quantities–for practical as well as psychological reasons. Equity in a home is another way of linking part of your portfolio to the long-term growth of the economy–if it happens–and still managing to sleep at night.
8. It's forced savings. If you can rent an apartment for $2,000 month instead of buying one for $2,400 a month, renting may make sense. But will you save that $400 for your future? A lot of people won't. Most, I dare say. Once again, you have to do your math, but the part of your mortgage payment that goes to principal repayment isn't a cost. You're just paying yourself by building equity. As a forced monthly saving, it's a good discipline.
9. There is a lot to choose from. There is a glut of homes in most of the country. The National Association of Realtors puts the current inventory at around 4 million homes. That's below last year's peak, but well above typical levels, and enough for about a year's worth of sales. More keeping coming onto the market, too, as the banks slowly unload their inventory of unsold properties. That means great choice, as well as great prices.
10. Sooner or later, the market will clear. Demand and supply will meet. The population is forecast to grow by more than 100 million people over the next 40 years. That means maybe 40 million new households looking for homes. Meanwhile, this housing glut will work itself out. Many of the homes will be bought. But many more will simply be destroyed–either deliberately, or by inaction. This is already happening. Even two years ago, when I toured the housing slump in western Florida, I saw bankrupt condo developments that were fast becoming derelict. And, finally, a lot of the "glut" simply won't matter: It's concentrated in a few areas, like Florida and Nevada. Unless you live there, the glut won't have any long-term impact on housing supply in your town.
Thank you, Brett Arends, for giving us some hope and some solid reasons to buy!
Monday, September 13, 2010
Pending Home Sales Rise
Following a sharp drop in the months immediately after expiration of the home buyer tax credit, pending home sales have modestly risen, according to the National Association of Realtors®.
The Pending Home Sales Index,* a forward-looking indicator, rose 5.2 percent to 79.4 based on contracts signed in July from a downwardly revised 75.5 in June, but remains 19.1 percent below July 2009 when it was 98.1. The data reflects contracts and not closings, which normally occur with a lag time of one or two months.
Lawrence Yun, NAR chief economist, cautioned that there would be a long recovery process.
“Home sales will remain soft in the months ahead, but improved affordability conditions should help with a recovery,” he said. “But the recovery looks to be a long process. Home buyers over the past year got a great deal, and buyers for the balance of this year have an edge over sellers. For those who bought at or near the peak several years ago, particularly in markets experiencing big bubbles, it may take over a decade to fully recover lost equity.”
Yun added, “Affordability could reach a generational high in the second half of this year because of rock-bottom mortgage interest rates, helped partly by the Fed’s very accommodative monetary policy. The loan underwriting standards are tighter, but home buyers can improve their chances of getting a loan by staying well within their budget.”
The Pending Home Sales Index,* a forward-looking indicator, rose 5.2 percent to 79.4 based on contracts signed in July from a downwardly revised 75.5 in June, but remains 19.1 percent below July 2009 when it was 98.1. The data reflects contracts and not closings, which normally occur with a lag time of one or two months.
Lawrence Yun, NAR chief economist, cautioned that there would be a long recovery process.
“Home sales will remain soft in the months ahead, but improved affordability conditions should help with a recovery,” he said. “But the recovery looks to be a long process. Home buyers over the past year got a great deal, and buyers for the balance of this year have an edge over sellers. For those who bought at or near the peak several years ago, particularly in markets experiencing big bubbles, it may take over a decade to fully recover lost equity.”
Yun added, “Affordability could reach a generational high in the second half of this year because of rock-bottom mortgage interest rates, helped partly by the Fed’s very accommodative monetary policy. The loan underwriting standards are tighter, but home buyers can improve their chances of getting a loan by staying well within their budget.”
Friday, August 27, 2010
Rates* are LOW....refi or purchase, now's the time!
Conforming and FHA Loans
30-Year Fixed | 4.375% | 4.559%
30-Year Fixed FHA | 4.500% | 5.233%
15-Year Fixed | 3.750% | 4.069%
5-Year ARM | 3.000% | 3.252%
5-Year ARM FHA | 3.250% | 3.074%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed | 4.500% | 4.634%
30-Year Fixed FHA | 4.500% | 5.178%
5-Year ARM | 3.375% | 3.337%
Jumbo Loans – Amounts that exceed conforming loan limits
30-Year Fixed | 5.125% | 5.264%
5-Year ARM | 4.250% | 3.652%
*courtesy of Wells Fargo
30-Year Fixed | 4.375% | 4.559%
30-Year Fixed FHA | 4.500% | 5.233%
15-Year Fixed | 3.750% | 4.069%
5-Year ARM | 3.000% | 3.252%
5-Year ARM FHA | 3.250% | 3.074%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed | 4.500% | 4.634%
30-Year Fixed FHA | 4.500% | 5.178%
5-Year ARM | 3.375% | 3.337%
Jumbo Loans – Amounts that exceed conforming loan limits
30-Year Fixed | 5.125% | 5.264%
5-Year ARM | 4.250% | 3.652%
*courtesy of Wells Fargo
Monday, August 23, 2010
Rates in the News, According to Freddie Mac
Mortgage Rates Fall to Fresh Lows, Freddie Mac Says*
Mortgage rates have set record lows for the eighth time in nine weeks, and the bargain-basement rates are prompting homeowners to file the most home-refinancing applications in 15 months.
The average rate offered on a 30-year fixed home loan fell this week to 4.42%, down from 4.44% last week, Freddie Mac reported Thursday. The latest figure is the lowest since the giant mortgage buyer began its rate survey in 1971.
Savvy borrowers with strong credit and down payments often can get slightly better deals if they shop around. The rock-bottom interest costs boosted refinance activity last week to its highest level since May 2009, according to a weekly report on loan applications from the Mortgage Bankers Assn.
But demand for loans to purchase homes remained sluggish, as it has been since federal home-purchase tax credits expired in the spring. Just 18.6% of last week's mortgage applications were filed to buy homes, the trade group said.
*courtesy of Landover Mortgage
Mortgage rates have set record lows for the eighth time in nine weeks, and the bargain-basement rates are prompting homeowners to file the most home-refinancing applications in 15 months.
The average rate offered on a 30-year fixed home loan fell this week to 4.42%, down from 4.44% last week, Freddie Mac reported Thursday. The latest figure is the lowest since the giant mortgage buyer began its rate survey in 1971.
Savvy borrowers with strong credit and down payments often can get slightly better deals if they shop around. The rock-bottom interest costs boosted refinance activity last week to its highest level since May 2009, according to a weekly report on loan applications from the Mortgage Bankers Assn.
But demand for loans to purchase homes remained sluggish, as it has been since federal home-purchase tax credits expired in the spring. Just 18.6% of last week's mortgage applications were filed to buy homes, the trade group said.
*courtesy of Landover Mortgage
Friday, August 20, 2010
Rates for this weekend.....Holy Cow!
Conforming and FHA Loans
30-Year Fixed |4.500% | 4.686%
30-Year Fixed FHA | 4.500% | 5.233%
15-Year Fixed | 3.750% | 4.069%
5-Year ARM | 2.875% | 3.209%
5-Year ARM FHA | 3.125% | 3.016%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed | 4.625% | 4.760%
30-Year Fixed FHA | 4.625% | 5.309%
5-Year ARM | 3.250% | 3.293%
Jumbo Loans – Amounts that exceed conforming loan limits
30-Year Fixed | 5.125% | 5.264%
5-Year ARM | 4.250% | 3.652%
30-Year Fixed |4.500% | 4.686%
30-Year Fixed FHA | 4.500% | 5.233%
15-Year Fixed | 3.750% | 4.069%
5-Year ARM | 2.875% | 3.209%
5-Year ARM FHA | 3.125% | 3.016%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed | 4.625% | 4.760%
30-Year Fixed FHA | 4.625% | 5.309%
5-Year ARM | 3.250% | 3.293%
Jumbo Loans – Amounts that exceed conforming loan limits
30-Year Fixed | 5.125% | 5.264%
5-Year ARM | 4.250% | 3.652%
Friday, July 30, 2010
Rates* for this weekend....Did You EVER Think We'd See 4's??
Conforming and FHA Loans
30-Year Fixed (product) | 4.500% (rate) | 4.686% (APR)
30-Year Fixed FHA | 4.500% | 5.233%
15-Year Fixed | 3.875% | 4.195%
5-Year ARM | 3.125% | 3.378%
5-Year ARM FHA | 3.250% | 3.074%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed | 4.500% | 4.634%
30-Year Fixed FHA | 4.625% | 5.309%
5-Year ARM | 3.625% | 3.508%
Jumbo Loans – Amounts that exceed conforming loan limits
30-Year Fixed | 5.125% | 5.264%
5-Year ARM | 4.125% | 3.688%
*courtesy of Wells Fargo
30-Year Fixed (product) | 4.500% (rate) | 4.686% (APR)
30-Year Fixed FHA | 4.500% | 5.233%
15-Year Fixed | 3.875% | 4.195%
5-Year ARM | 3.125% | 3.378%
5-Year ARM FHA | 3.250% | 3.074%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed | 4.500% | 4.634%
30-Year Fixed FHA | 4.625% | 5.309%
5-Year ARM | 3.625% | 3.508%
Jumbo Loans – Amounts that exceed conforming loan limits
30-Year Fixed | 5.125% | 5.264%
5-Year ARM | 4.125% | 3.688%
*courtesy of Wells Fargo
Wednesday, July 7, 2010
Coldwell Banker Gets National Recognition for You Tube Channel
COLDWELL BANKER REAL ESTATE WINS COMMUNICATOR CREATIVE EXCELLENCE AWARD FROM INTERNATIONAL ACADEMY OF VISUAL ARTS
Brand’s ‘On Location’ YouTube Channel Honored in Real Estate Website Category
PARSIPPANY, N.J., (July 7, 2010) – The International Academy of the Visual Arts has named Coldwell Banker On Location, the brand’s YouTube channel, a recipient of this year’s Communicator Awards for Creative Excellence in the real estate website category. The category honors the best site for the sale or rental of residential or commercial property.
“We were the first national real estate brand to add streaming video to our website. Today, our agents across the globe have posted more than 15,000 videos to our On Location channel,” said Mike Fischer, chief marketing officer for Coldwell Banker Real Estate LLC. “The most exciting part of On Location is that we have only just begun – there’s a lot more to come.”
On Location has been rated among the top 10 most-viewed brand channels on YouTube. In April, just 11 months after launching On Location, Coldwell Banker announced it had received over 1 million views. The site was launched in May 2009 and was produced in collaboration with FD Kinesis.
“Home buyers would much rather see a home than only read about it,” Fischer said. “Our On Location videos empower them to get a feel for a home, a community or a real estate professional that they could not get from photos or a text description alone. Equally important are the home sellers who are now expecting video to be a part of marketing their property.”
With thousands of entries received from across the United States and around the world, the Communicator Awards is one of the largest and most competitive awards program honoring the creative excellence for communications professionals. The Communicator Awards are judged and overseen by the International Academy of the Visual Arts, an invitation-only body consisting of top-tier professionals from acclaimed media, advertising and marketing firms.
About Coldwell Banker®Since 1906, the Coldwell Banker® organization has been a premier provider of full-service residential and commercial real estate. Coldwell Banker is the oldest national real estate brand in the United States and today has a network of more than 98,000 agents working in more than 3,600 offices in 50 countries and territories. The Coldwell Banker brand is known for creating innovative consumer services as recently seen by being the first national real estate brand to augment its web site www.coldwellbanker.com for smart phones, the first to create a iPhone application and the first to fully harness the power of video in real estate listings, news and information through its Coldwell Banker On LocationSM YouTube channel. The Coldwell Banker system is a leader in specialty markets such as resort, new homes and luxury properties through its Coldwell Banker Previews International® marketing program.
Brand’s ‘On Location’ YouTube Channel Honored in Real Estate Website Category
PARSIPPANY, N.J., (July 7, 2010) – The International Academy of the Visual Arts has named Coldwell Banker On Location, the brand’s YouTube channel, a recipient of this year’s Communicator Awards for Creative Excellence in the real estate website category. The category honors the best site for the sale or rental of residential or commercial property.
“We were the first national real estate brand to add streaming video to our website. Today, our agents across the globe have posted more than 15,000 videos to our On Location channel,” said Mike Fischer, chief marketing officer for Coldwell Banker Real Estate LLC. “The most exciting part of On Location is that we have only just begun – there’s a lot more to come.”
On Location has been rated among the top 10 most-viewed brand channels on YouTube. In April, just 11 months after launching On Location, Coldwell Banker announced it had received over 1 million views. The site was launched in May 2009 and was produced in collaboration with FD Kinesis.
“Home buyers would much rather see a home than only read about it,” Fischer said. “Our On Location videos empower them to get a feel for a home, a community or a real estate professional that they could not get from photos or a text description alone. Equally important are the home sellers who are now expecting video to be a part of marketing their property.”
With thousands of entries received from across the United States and around the world, the Communicator Awards is one of the largest and most competitive awards program honoring the creative excellence for communications professionals. The Communicator Awards are judged and overseen by the International Academy of the Visual Arts, an invitation-only body consisting of top-tier professionals from acclaimed media, advertising and marketing firms.
About Coldwell Banker®Since 1906, the Coldwell Banker® organization has been a premier provider of full-service residential and commercial real estate. Coldwell Banker is the oldest national real estate brand in the United States and today has a network of more than 98,000 agents working in more than 3,600 offices in 50 countries and territories. The Coldwell Banker brand is known for creating innovative consumer services as recently seen by being the first national real estate brand to augment its web site www.coldwellbanker.com for smart phones, the first to create a iPhone application and the first to fully harness the power of video in real estate listings, news and information through its Coldwell Banker On LocationSM YouTube channel. The Coldwell Banker system is a leader in specialty markets such as resort, new homes and luxury properties through its Coldwell Banker Previews International® marketing program.
Friday, July 2, 2010
Extension of the Homebuyer Tax Credit....
Extension of the Homebuyer Tax Credit Passed By Congress
Congress has passed an extension of the Homebuyer Tax Credit closing deadline, the Homebuyer Assistance and Improvement Act (H.R. 5623). The extension applies only to transactions that have ratified contracts in place as of April 30, 2010 that have not yet closed. The new closing deadline for eligible transactions is September 30, 2010. There will be no gap between June 30 and the date the President signs the bill into law. For more information, visit Realtor.org.
Congress has passed an extension of the Homebuyer Tax Credit closing deadline, the Homebuyer Assistance and Improvement Act (H.R. 5623). The extension applies only to transactions that have ratified contracts in place as of April 30, 2010 that have not yet closed. The new closing deadline for eligible transactions is September 30, 2010. There will be no gap between June 30 and the date the President signs the bill into law. For more information, visit Realtor.org.
Monday, June 28, 2010
Homebuyer Tax Credit Extension???
Possible September 30th, 2010 Extension to Home Buyer Credit as Builders and Home Owners Struggle to Complete Home Transactions by the current June 30 2010 Tax Credit Deadline.
The U.S. Senate has approved a provision to H.R. 4213 (a jobs and tax bill) to extend incentives for first-time home buyers. The provision to extend the home buyer credit would give buyers an extra three months to close on their house. H.R. 4213 in it’s entirety still needs to be approved by the Senate (still under debate as of 6/28), before returning to the House for a final vote. Only when the bill is signed into law by the President, will the home buyer credit extension be official. Until then, home buyers must close by July 1st 2010 to qualify for the credit.
The U.S. Senate has approved a provision to H.R. 4213 (a jobs and tax bill) to extend incentives for first-time home buyers. The provision to extend the home buyer credit would give buyers an extra three months to close on their house. H.R. 4213 in it’s entirety still needs to be approved by the Senate (still under debate as of 6/28), before returning to the House for a final vote. Only when the bill is signed into law by the President, will the home buyer credit extension be official. Until then, home buyers must close by July 1st 2010 to qualify for the credit.
Saturday, June 19, 2010
Rates Today*
Conforming and FHA Loans | Rate | APR
30-Year Fixed | 4.750% | 4.939%
30-Year Fixed FHA | 4.750% | 5.497%
15-Year Fixed | 4.125% | 4.447%
5-Year ARM | 3.500% | 3.594%
5-Year ARM FHA | 3.250% | 3.150%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed | 4.750% | 4.886%
30-Year Fixed FHA | 4.750% | 5.442%
5-Year ARM | 3.875% | 3.679%
Jumbo1 Loans – Amounts that exceed conforming loan limits
30-Year Fixed | 5.500% | 5.643%
5-Year ARM | 4.625% | 3.954%
* courtesy of Wells Fargo
30-Year Fixed | 4.750% | 4.939%
30-Year Fixed FHA | 4.750% | 5.497%
15-Year Fixed | 4.125% | 4.447%
5-Year ARM | 3.500% | 3.594%
5-Year ARM FHA | 3.250% | 3.150%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed | 4.750% | 4.886%
30-Year Fixed FHA | 4.750% | 5.442%
5-Year ARM | 3.875% | 3.679%
Jumbo1 Loans – Amounts that exceed conforming loan limits
30-Year Fixed | 5.500% | 5.643%
5-Year ARM | 4.625% | 3.954%
* courtesy of Wells Fargo
Tuesday, June 15, 2010
Rates Today*
30 year fixed (Conventional): 4.75%
15 year fixed (Conventional): 4.0%
7 year Fixed ARM (Conv): 3.75%
30 year fixed (JUMBO): 5.25% (Up to 80%)
* courtesy of MetLife
15 year fixed (Conventional): 4.0%
7 year Fixed ARM (Conv): 3.75%
30 year fixed (JUMBO): 5.25% (Up to 80%)
* courtesy of MetLife
Monday, June 14, 2010
In the News.....
Banks Trim Emergency Borrowing From Fed*
Banks borrowing from the Federal Reserve's emergency lending program over the past week fell to the lowest point in more than two years, further evidence that credit markets are improving.
The Fed said that banks averaged $105 million in borrowing for the week ended on Wednesday. That was the lowest borrowing since it averaged $23 million for the week ended March 12, 2008, before the credit crisis struck with full force.
Loans from the central bank's emergency lending program, known as the discount window, had surged to a high of $110 billion a day during the height of the financial crisis in the fall of 2008. At the time, banks found their customary sources of credit frozen. The $105 million average borrowing for the week ended Wednesday was down from an average of $678 million in borrowing for the previous week.
With financial and economic conditions improving, the Fed has been winding down its special lending programs. The largest of these efforts is a $1.25 trillion program to purchase mortgage-backed securities issued by Fannie Mae and Freddie Mac in an effort to lower mortgage rates and provide a boost to the depressed housing market. The new report showed that those holdings averaged $1.11 trillion daily for the week ended Wednesday, up by $138 million from the average for the previous week.Some economists have worried that mortgage rates would start rising once the Fed's purchases of mortgage-backed securities end. But Fed officials have stressed that even after new purchases end, the central bank will be holding a sizable portfolio of these types of securities that will continue to provide support for the mortgage market.
*courtesy of Landover Mortgage
Banks borrowing from the Federal Reserve's emergency lending program over the past week fell to the lowest point in more than two years, further evidence that credit markets are improving.
The Fed said that banks averaged $105 million in borrowing for the week ended on Wednesday. That was the lowest borrowing since it averaged $23 million for the week ended March 12, 2008, before the credit crisis struck with full force.
Loans from the central bank's emergency lending program, known as the discount window, had surged to a high of $110 billion a day during the height of the financial crisis in the fall of 2008. At the time, banks found their customary sources of credit frozen. The $105 million average borrowing for the week ended Wednesday was down from an average of $678 million in borrowing for the previous week.
With financial and economic conditions improving, the Fed has been winding down its special lending programs. The largest of these efforts is a $1.25 trillion program to purchase mortgage-backed securities issued by Fannie Mae and Freddie Mac in an effort to lower mortgage rates and provide a boost to the depressed housing market. The new report showed that those holdings averaged $1.11 trillion daily for the week ended Wednesday, up by $138 million from the average for the previous week.Some economists have worried that mortgage rates would start rising once the Fed's purchases of mortgage-backed securities end. But Fed officials have stressed that even after new purchases end, the central bank will be holding a sizable portfolio of these types of securities that will continue to provide support for the mortgage market.
*courtesy of Landover Mortgage
Monday, April 26, 2010
Buyer's Bonus from Coldwell Banker
COLDWELL BANKER EXTENDS BENEFITS OF HOME BUYER TAX CREDIT WITH ‘BUYER BONUS’ SALES EVENT*
Thousands of Sellers to Offer Credit Up to $8,000 from May 1 Until July 31, 2010
PARSIPPANY, N.J. (April 26, 2010) — Coldwell Banker Real Estate LLC today announced the launch of its Buyer Bonus Sales Event, a national promotion intended to build on the momentum of the soon-to-expire federal homebuyer tax credit.
In a recent survey of Coldwell Banker Real Estate professionals, nearly half indicated that they had worked with home buyers who would have missed out on the home buyer tax credit in November of last year had it not been extended. In addition, while 34 percent cite the current tax credit extension (expiring April 30) as the primary reason their customers are currently for searching for a home, 28 percent said that they feel the limitations of this credit will prohibit some buyers from taking advantage of the credit.
That is why on May 1, 2010, immediately following the expiration of this government initiative, home sellers participating in the Coldwell Banker Buyer Bonus Sales Event will offer a credit of 3 percent (up to $8,000), when part of an accepted offer, of their home’s purchase price to buyers who sign a contract before July 31, 2010. There is no deadline for a closing date.
“The federal government did its part to encourage millions of Americans to achieve their dream of home ownership with the help of the home buyer tax credit,” said Jim Gillespie, president and chief executive officer for Coldwell Banker Real Estate LLC. “As the credit expires, Coldwell Banker Real Estate is encouraging buyers who haven’t found a home yet to continue looking, while bringing a new audience of home buyers who were unable to qualify for the tax credit into the market. We are confident that this private sector solution will represent a significant step toward continued recovery of the housing market.”
“The Buyer Bonus Sales Event will allow participating Coldwell Banker home sellers to essentially extend the benefits of the credit,” said Gillespie. “Without restrictions such as household income caps, the Coldwell Banker Buyer Bonus Sales Event allows for greater participation for all homebuyers. And our sellers have a unique opportunity to allow their home to stand out from the competition in their marketplace.”
Participating homes will typically be identified by Buyer Bonus Sales Event yard sign riders and tagged as a Buyer Bonus home online at www.coldwellbanker.com. While searching for a home online, home buyers can simply check the box labeled “Buyer Bonus Sales Event” to find participating properties nearby.
All home sellers who take part in the Buyer Bonus Sales Event will receive broad marketing support from Coldwell Banker Real Estate LLC, including:
• National television commercials beginning May 1, 2010; extensive online advertising
• Promotion on http://www.coldwellbanker.com
• Updates on the event to be shared on Coldwell Banker Facebook and Twitter pages and the Coldwell Banker blog, Blue Matter;
• A video posting to the Coldwell Banker On Location channel highlighting the practical value of $8,000.
*Press release from Coldwell Banker
About Coldwell Banker Real Estate LLC®Since 1906, the Coldwell Banker® organization (www.coldwellbanker.com) has been a premier full-service real estate provider. The Coldwell Banker system has more than 3,300 residential real estate offices and nearly 97,000 sales associates in 49 countries and territories. The Coldwell Banker system is a leader in the industry in residential and commercial real estate, and in niche markets such as resort, new home and luxury property through its Coldwell Banker Previews International® division. Coldwell Banker Real Estate LLC is a subsidiary of Realogy Corporation, a global provider of real estate and relocation services. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. Each office is independently owned and operated.
Thousands of Sellers to Offer Credit Up to $8,000 from May 1 Until July 31, 2010
PARSIPPANY, N.J. (April 26, 2010) — Coldwell Banker Real Estate LLC today announced the launch of its Buyer Bonus Sales Event, a national promotion intended to build on the momentum of the soon-to-expire federal homebuyer tax credit.
In a recent survey of Coldwell Banker Real Estate professionals, nearly half indicated that they had worked with home buyers who would have missed out on the home buyer tax credit in November of last year had it not been extended. In addition, while 34 percent cite the current tax credit extension (expiring April 30) as the primary reason their customers are currently for searching for a home, 28 percent said that they feel the limitations of this credit will prohibit some buyers from taking advantage of the credit.
That is why on May 1, 2010, immediately following the expiration of this government initiative, home sellers participating in the Coldwell Banker Buyer Bonus Sales Event will offer a credit of 3 percent (up to $8,000), when part of an accepted offer, of their home’s purchase price to buyers who sign a contract before July 31, 2010. There is no deadline for a closing date.
“The federal government did its part to encourage millions of Americans to achieve their dream of home ownership with the help of the home buyer tax credit,” said Jim Gillespie, president and chief executive officer for Coldwell Banker Real Estate LLC. “As the credit expires, Coldwell Banker Real Estate is encouraging buyers who haven’t found a home yet to continue looking, while bringing a new audience of home buyers who were unable to qualify for the tax credit into the market. We are confident that this private sector solution will represent a significant step toward continued recovery of the housing market.”
“The Buyer Bonus Sales Event will allow participating Coldwell Banker home sellers to essentially extend the benefits of the credit,” said Gillespie. “Without restrictions such as household income caps, the Coldwell Banker Buyer Bonus Sales Event allows for greater participation for all homebuyers. And our sellers have a unique opportunity to allow their home to stand out from the competition in their marketplace.”
Participating homes will typically be identified by Buyer Bonus Sales Event yard sign riders and tagged as a Buyer Bonus home online at www.coldwellbanker.com. While searching for a home online, home buyers can simply check the box labeled “Buyer Bonus Sales Event” to find participating properties nearby.
All home sellers who take part in the Buyer Bonus Sales Event will receive broad marketing support from Coldwell Banker Real Estate LLC, including:
• National television commercials beginning May 1, 2010; extensive online advertising
• Promotion on http://www.coldwellbanker.com
• Updates on the event to be shared on Coldwell Banker Facebook and Twitter pages and the Coldwell Banker blog, Blue Matter;
• A video posting to the Coldwell Banker On Location channel highlighting the practical value of $8,000.
*Press release from Coldwell Banker
About Coldwell Banker Real Estate LLC®Since 1906, the Coldwell Banker® organization (www.coldwellbanker.com) has been a premier full-service real estate provider. The Coldwell Banker system has more than 3,300 residential real estate offices and nearly 97,000 sales associates in 49 countries and territories. The Coldwell Banker system is a leader in the industry in residential and commercial real estate, and in niche markets such as resort, new home and luxury property through its Coldwell Banker Previews International® division. Coldwell Banker Real Estate LLC is a subsidiary of Realogy Corporation, a global provider of real estate and relocation services. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. Each office is independently owned and operated.
Friday, April 16, 2010
Rates for this weekend....*
Conforming and FHA Loans
30-Year Fixed 5.000% 5.191%
30-Year Fixed FHA 5.125% 5.897%
15-Year Fixed 4.250% 4.573%
5-Year ARM 3.750% 3.601%
5-Year ARM FHA 3.500% 3.343%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed 5.125% 5.264%
30-Year Fixed FHA 5.125% 5.840%
5-Year ARM 4.000% 3.643%
Jumbo Loans – Amounts that exceed conforming loan limits
30-Year Fixed 5.500% 5.643%
5-Year ARM 5.125% 4.059%
* courtesy of Wells Fargo
30-Year Fixed 5.000% 5.191%
30-Year Fixed FHA 5.125% 5.897%
15-Year Fixed 4.250% 4.573%
5-Year ARM 3.750% 3.601%
5-Year ARM FHA 3.500% 3.343%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed 5.125% 5.264%
30-Year Fixed FHA 5.125% 5.840%
5-Year ARM 4.000% 3.643%
Jumbo Loans – Amounts that exceed conforming loan limits
30-Year Fixed 5.500% 5.643%
5-Year ARM 5.125% 4.059%
* courtesy of Wells Fargo
Wednesday, April 14, 2010
Singles in the Suburbs: Latest Trend in Real Estate
SINGLES IN THE SUBURBS: COLDWELL BANKER REAL ESTATE CONSUMER SURVEY UNCOVERS TRENDS AMONG THE NEW WAVE OF HOME BUYERS
PARSIPPANY, N.J. (April 14, 2010) – With low home prices, interest rates and government tax incentives for first-time home buyers, Coldwell Banker Real Estate brokers and agents are seeing an influx of singles walking through the door. For greater insight into this demographic, Coldwell Banker Real Estate conducted a national online survey of more than 1,000 single homeowners in April 2010 on what factors played into their decision to purchase a home. While conventional wisdom may be that most singles are buying bachelor or bachelorette pads downtown, surprisingly, Coldwell Banker found that the majority of single homeowners (52 percent) it surveyed chose suburbia over urban or rural areas.
“We are finding the current housing environment to be the ideal marketplace for many people who may have never considered buying a home before, such as singles and other first-time buyers,” said Diann Patton, the Coldwell Banker Real Estate consumer specialist. “They can afford much more house for their money than they may have been able to in previous years. Many are recognizing that a mortgage payment on a house can actually be the same or less than what they would spend on rent.”
According to the Coldwell Banker Real Estate survey, over half (53 percent) of single homeowners reported that they purchased a home because it was more cost effective than renting in their area. However, more than just financial analysis contributed to their decision. The desire for independence played a role for more than one-third of single homeowners (35 percent) according to the same survey.
“Owning a home is such a monumental way to achieve independence,” said Patton. “It’s inspiring to see so many individuals accomplish this life goal.”
Below are additional key findings from the April 2010 Coldwell Banker Real Estate single homeowner survey:
Finding good deals is important, but so are modern amenities and outside space.
• 68 percent of single homeowners purchased a home that was below their price range, rather than the most expensive home they could afford.
• Meanwhile, modernized home updates and appliances and having a yard and outside space were rated as the most desirable features in a home over lesser considerations like space for entertaining.
Some may have flown the coop, but others get help from their parents.
• Of the 13 percent of single homeowners who own their home jointly with another person, almost half (49 percent) made the purchase with their parents.
Singles hunt for homes that are close to work and their family.
• Fifty-five percent have less than a 30-minute commute to their office or work from home, and 40 percent live less than 30 minutes or even in the same neighborhood as their parents or extended family. In fact, an additional 12 percent live with at least one family member.
Single women may be more likely to think of growing their family than single men.
• More single women (27 percent) said that the number of bedrooms was the most desirable feature in a home, than did men (18 percent).
Single and ready to … bargain hunt.
• Singles don’t shy away from foreclosures – especially single men. Thirty-eight percent would currently consider purchasing a foreclosed / short sale home, compared to 29 percent of single women.
Methodology: In April 2010, Coldwell Banker Real Estate conducted a national online survey and received responses from 1,050 single homeowners across the United States.
About Coldwell Banker®Since 1906, the Coldwell Banker® organization has been a premier provider of full-service residential and commercial real estate. Coldwell Banker is the oldest national real estate brand in the United States and today has a network of nearly 97,000 agents working in more than 3,300 offices in 49 countries and territories. The Coldwell Banker brand is known for creating innovative consumer services as recently seen by being the first national real estate brand to augment its web site www.coldwellbanker.com for smart phones, the first to create an iPhone application featuring international listings and the first to fully harness the power of video in real estate listings, news and information through its Coldwell Banker On LocationSM YouTube channel. The Coldwell Banker system is a leader in specialty markets such as resort, new homes and luxury properties through its Coldwell Banker Previews International® marketing program.
###
PARSIPPANY, N.J. (April 14, 2010) – With low home prices, interest rates and government tax incentives for first-time home buyers, Coldwell Banker Real Estate brokers and agents are seeing an influx of singles walking through the door. For greater insight into this demographic, Coldwell Banker Real Estate conducted a national online survey of more than 1,000 single homeowners in April 2010 on what factors played into their decision to purchase a home. While conventional wisdom may be that most singles are buying bachelor or bachelorette pads downtown, surprisingly, Coldwell Banker found that the majority of single homeowners (52 percent) it surveyed chose suburbia over urban or rural areas.
“We are finding the current housing environment to be the ideal marketplace for many people who may have never considered buying a home before, such as singles and other first-time buyers,” said Diann Patton, the Coldwell Banker Real Estate consumer specialist. “They can afford much more house for their money than they may have been able to in previous years. Many are recognizing that a mortgage payment on a house can actually be the same or less than what they would spend on rent.”
According to the Coldwell Banker Real Estate survey, over half (53 percent) of single homeowners reported that they purchased a home because it was more cost effective than renting in their area. However, more than just financial analysis contributed to their decision. The desire for independence played a role for more than one-third of single homeowners (35 percent) according to the same survey.
“Owning a home is such a monumental way to achieve independence,” said Patton. “It’s inspiring to see so many individuals accomplish this life goal.”
Below are additional key findings from the April 2010 Coldwell Banker Real Estate single homeowner survey:
Finding good deals is important, but so are modern amenities and outside space.
• 68 percent of single homeowners purchased a home that was below their price range, rather than the most expensive home they could afford.
• Meanwhile, modernized home updates and appliances and having a yard and outside space were rated as the most desirable features in a home over lesser considerations like space for entertaining.
Some may have flown the coop, but others get help from their parents.
• Of the 13 percent of single homeowners who own their home jointly with another person, almost half (49 percent) made the purchase with their parents.
Singles hunt for homes that are close to work and their family.
• Fifty-five percent have less than a 30-minute commute to their office or work from home, and 40 percent live less than 30 minutes or even in the same neighborhood as their parents or extended family. In fact, an additional 12 percent live with at least one family member.
Single women may be more likely to think of growing their family than single men.
• More single women (27 percent) said that the number of bedrooms was the most desirable feature in a home, than did men (18 percent).
Single and ready to … bargain hunt.
• Singles don’t shy away from foreclosures – especially single men. Thirty-eight percent would currently consider purchasing a foreclosed / short sale home, compared to 29 percent of single women.
Methodology: In April 2010, Coldwell Banker Real Estate conducted a national online survey and received responses from 1,050 single homeowners across the United States.
About Coldwell Banker®Since 1906, the Coldwell Banker® organization has been a premier provider of full-service residential and commercial real estate. Coldwell Banker is the oldest national real estate brand in the United States and today has a network of nearly 97,000 agents working in more than 3,300 offices in 49 countries and territories. The Coldwell Banker brand is known for creating innovative consumer services as recently seen by being the first national real estate brand to augment its web site www.coldwellbanker.com for smart phones, the first to create an iPhone application featuring international listings and the first to fully harness the power of video in real estate listings, news and information through its Coldwell Banker On LocationSM YouTube channel. The Coldwell Banker system is a leader in specialty markets such as resort, new homes and luxury properties through its Coldwell Banker Previews International® marketing program.
###
Monday, February 22, 2010
Is Grandma Moving In? Multi-Generational Homes, a Trend in Real Estate
Coldwell Banker Survey Identifies Multi-Generational Homes As a Trend in Real Estate**
37 Percent of Coldwell Banker Real Estate Professionals Surveyed Have Seen More Families Looking for Homes that Accommodate Multiple Generations
PARSIPPANY, N.J. (Feb. 22, 2010) – Family reunions are taking on a new meaning in the real estate market. According to a recent survey by Coldwell Banker Real Estate LLC among its network of real estate professionals, in the last 12 months, 37 percent of sales professionals surveyed noted an increase in homebuyers looking to purchase homes to accommodate more than one generation of their family. In addition, almost 70 percent of Coldwell Banker sales agents believe that economic conditions may cause greater demand for multi-generational homes in their market during the next year.
Furthermore, the Coldwell Banker® January 2010 survey respondents cited financial drivers as the No. 1 reason why home buyers or sellers are moving into a house with other generations of their family (39 percent). Twenty-nine (29) percent said that health care issues are the primary reason, and six percent cited a strong family bond as the main factor.
“While saving money is certainly an incentive for buying a home that accommodates multiple generations, the benefits go beyond just financial reasons,” said Diann Patton, Coldwell Banker Real Estate Consumer Specialist. “With two or three generations living under one roof, families often experience more flexible schedules, quality time with one another and can better juggle childcare and eldercare.”
Communicating with family members and consulting with their real estate professional is key, as well. “Talk to everyone involved and determine how comfortable the family members are about sharing bathrooms, office space or common areas, and let that guide your search,” Patton advises. “All of these topics are incredibly important in finding the right kind of home to fit the family – like one that has four bathrooms or one that has three.”
Helpful Hints:
• Sellers with “mother in-law suites” or additional spaces that could accommodate a family interested in a multi-generational living arrangement should highlight this aspect of the home. Whether it’s a garage apartment or refurbished basement, this separate space can help one home stand apart from the others on its block.
• Buyers must be clear about their exact needs. Some families may just want an extra bedroom or two for family members, while others require areas with a separate kitchen, entrance, handicap accessibility or even a larger garage for additional cars. Desired location may also be influenced by proximity to local hospitals, senior centers or other important activities to family members.
• Extended families purchasing a home together should consider signing a written contract outlining everything from finances to chores and childcare. Each family should assess their situation individually and find a plan that works best for them.
Methodology: Coldwell Banker Real Estate conducted a national online survey on trends regarding multi-generational home buyers and sellers in January 2010. The survey yielded responses from 2,360 Coldwell Banker real estate professionals across the United States.
About Coldwell Banker Real Estate®Since 1906, the Coldwell Banker® organization (www.coldwellbanker.com) has been a premier full-service real estate provider. The Coldwell Banker system has more than 3,300 residential real estate offices and nearly 100,000 sales associates in 49 countries and territories. The Coldwell Banker system is a leader in the industry in residential and commercial real estate, and in niche markets such as resort, new home and luxury property through its Coldwell Banker Previews International® division. Coldwell Banker Real Estate LLC is a subsidiary of Realogy Corporation, a global provider of real estate and relocation services. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. Each office is independently owned and operated.
** courtesy of Coldwell Banker
37 Percent of Coldwell Banker Real Estate Professionals Surveyed Have Seen More Families Looking for Homes that Accommodate Multiple Generations
PARSIPPANY, N.J. (Feb. 22, 2010) – Family reunions are taking on a new meaning in the real estate market. According to a recent survey by Coldwell Banker Real Estate LLC among its network of real estate professionals, in the last 12 months, 37 percent of sales professionals surveyed noted an increase in homebuyers looking to purchase homes to accommodate more than one generation of their family. In addition, almost 70 percent of Coldwell Banker sales agents believe that economic conditions may cause greater demand for multi-generational homes in their market during the next year.
Furthermore, the Coldwell Banker® January 2010 survey respondents cited financial drivers as the No. 1 reason why home buyers or sellers are moving into a house with other generations of their family (39 percent). Twenty-nine (29) percent said that health care issues are the primary reason, and six percent cited a strong family bond as the main factor.
“While saving money is certainly an incentive for buying a home that accommodates multiple generations, the benefits go beyond just financial reasons,” said Diann Patton, Coldwell Banker Real Estate Consumer Specialist. “With two or three generations living under one roof, families often experience more flexible schedules, quality time with one another and can better juggle childcare and eldercare.”
Communicating with family members and consulting with their real estate professional is key, as well. “Talk to everyone involved and determine how comfortable the family members are about sharing bathrooms, office space or common areas, and let that guide your search,” Patton advises. “All of these topics are incredibly important in finding the right kind of home to fit the family – like one that has four bathrooms or one that has three.”
Helpful Hints:
• Sellers with “mother in-law suites” or additional spaces that could accommodate a family interested in a multi-generational living arrangement should highlight this aspect of the home. Whether it’s a garage apartment or refurbished basement, this separate space can help one home stand apart from the others on its block.
• Buyers must be clear about their exact needs. Some families may just want an extra bedroom or two for family members, while others require areas with a separate kitchen, entrance, handicap accessibility or even a larger garage for additional cars. Desired location may also be influenced by proximity to local hospitals, senior centers or other important activities to family members.
• Extended families purchasing a home together should consider signing a written contract outlining everything from finances to chores and childcare. Each family should assess their situation individually and find a plan that works best for them.
Methodology: Coldwell Banker Real Estate conducted a national online survey on trends regarding multi-generational home buyers and sellers in January 2010. The survey yielded responses from 2,360 Coldwell Banker real estate professionals across the United States.
About Coldwell Banker Real Estate®Since 1906, the Coldwell Banker® organization (www.coldwellbanker.com) has been a premier full-service real estate provider. The Coldwell Banker system has more than 3,300 residential real estate offices and nearly 100,000 sales associates in 49 countries and territories. The Coldwell Banker system is a leader in the industry in residential and commercial real estate, and in niche markets such as resort, new home and luxury property through its Coldwell Banker Previews International® division. Coldwell Banker Real Estate LLC is a subsidiary of Realogy Corporation, a global provider of real estate and relocation services. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. Each office is independently owned and operated.
** courtesy of Coldwell Banker
Tuesday, February 16, 2010
Fourth Quarter Existing-Home Sales Surge in Most States
Wow! Homes are selling, and not just here in Portland. We're seeing the changes in our neighborhoods, looks like it's across the country too.
"Strong gains in existing-home sales were the predominant pattern in most states during the fourth quarter, with many more metro areas seeing prices rise from a year earlier, according to the latest survey by the National Association of Realtors ®.
Sales increased from the third quarter in 48 states and the District of Columbia; 32 states saw double-digit gains. Year-over-year sales were higher in 49 states and D.C.; all but three states had double-digit annual increases.
Total state existing-home sales, including single-family and condo, jumped 13.9% to a seasonally adjusted annual rate of 6.03 million in the fourth quarter from 5.29 million in the third quarter, and are 27.2% above the 4.74 million-unit level in the fourth quarter of 2008.
Distressed property (bank owned, etc) accounted for 32% of fourth quarter transactions, down from 37% a year earlier.
Lawrence Yun, NAR chief economist, said the first-time home buyer tax credit was the dominant factor. “The surge in home sales was driven by buyers responding strongly to the tax credit combined with record low mortgage interest rates,” he said. “With inventory levels trending down over the past 18 months, we expect broadly balanced housing market conditions in much of the country by late spring with more areas showing higher prices.”
*courtesy of Landover Mortgage
"Strong gains in existing-home sales were the predominant pattern in most states during the fourth quarter, with many more metro areas seeing prices rise from a year earlier, according to the latest survey by the National Association of Realtors ®.
Sales increased from the third quarter in 48 states and the District of Columbia; 32 states saw double-digit gains. Year-over-year sales were higher in 49 states and D.C.; all but three states had double-digit annual increases.
Total state existing-home sales, including single-family and condo, jumped 13.9% to a seasonally adjusted annual rate of 6.03 million in the fourth quarter from 5.29 million in the third quarter, and are 27.2% above the 4.74 million-unit level in the fourth quarter of 2008.
Distressed property (bank owned, etc) accounted for 32% of fourth quarter transactions, down from 37% a year earlier.
Lawrence Yun, NAR chief economist, said the first-time home buyer tax credit was the dominant factor. “The surge in home sales was driven by buyers responding strongly to the tax credit combined with record low mortgage interest rates,” he said. “With inventory levels trending down over the past 18 months, we expect broadly balanced housing market conditions in much of the country by late spring with more areas showing higher prices.”
*courtesy of Landover Mortgage
Monday, January 25, 2010
Rent Vs. Buy: In Today's Market**
Over the past ten years, the cost of rental housing in the U.S. has increased an average of 3.5% per year. If that trend continues, that means that an apartment or
home renting for $1,000 per month will cost more than $1,300 a month in ten years. If you rent the same home for ten years, the total amount you would pay for rent
will equal $140,777!
Year / Monthly Rent* / Total Annual Rent
1 / $1,000 / $12,000
2 / $1,035 / $12,420
3 / $1,071 / $12,855
4 / $1,109 / $13,305
5 / $1,148 / $13,770
6 / $1,188 / $14,252
7 / $1,229 / $14,751
8 / $1,272 / $15,267
9 / $1,317 / $15,802
10 / $1,363 / $16,355
Total Rent Paid Over Ten Years = $140,777
*avg. increase 3.5% per year
VERSUS
Homeownership
As an example, let’s look at a $200,000 home. Unlike your rental unit, your home usually appreciates over time. Instead of assuming average growth, we assume
that prices are flat in the first year of ownership and pick up, but only slightly, in the second year. In the third year of ownership, your home has appreciated to a modest $210,858. After ten years, assuming a return to an average 4.5 percent appreciation rate*, your $200,000 home will be worth $286,948. Not only do you earn a rate of return on your original purchase price, you also get a return on any
subsequent appreciation.
* Average price appreciation from 1970 to 2008 was 6.0%
Homeownership Builds Wealth for Households
The Federal Reserve Board estimates that homeowners’ net worth has ranged between 31 and 46 times more than that of renters in the years 1998 to 2007. In 2007, the
median net worth for homeowners was $234,200 compared to $5,100 for renters. Even though that difference will surely narrow as a result of house price declines since 2007, homeowners will likely still have substantially greater net worth than renters.
How do you build up your net worth? As a homeowner, you build wealth in two ways: through paying down the principle on your mortgage and through those “appreciating returns” on your home.
We know how your $200,000 home could be worth $286,948 in ten years. In addition, you are paying down the principal on your mortgage. Remember that $200,000 you borrowed at 5.5 percent over 30 years – that debt amount is decreasing every month and every year as you make payments.
Year / Home Price / Mortgage Debt / Net Worth
1 / $200,000 / $187,441 / $12,559
2 / 201,200 / 184,737 / 16,463
3 / 210,858 / 181,880 / 28,977
4 / 220,346 / 178,863 / 41,483
5 / 230,262 / 175,675 / 54,587
6 / 240,624 / 172,308 / 68,316
7 / 251,452 / 168,750 / 82,701
8 / 262,767 / 164,992 / 97,775
9 / 274,591 / 161,022 / 113,570
10 / 286,948 / 156,828 / 130,120
**courtesy of National Associateion of Realtors
home renting for $1,000 per month will cost more than $1,300 a month in ten years. If you rent the same home for ten years, the total amount you would pay for rent
will equal $140,777!
Year / Monthly Rent* / Total Annual Rent
1 / $1,000 / $12,000
2 / $1,035 / $12,420
3 / $1,071 / $12,855
4 / $1,109 / $13,305
5 / $1,148 / $13,770
6 / $1,188 / $14,252
7 / $1,229 / $14,751
8 / $1,272 / $15,267
9 / $1,317 / $15,802
10 / $1,363 / $16,355
Total Rent Paid Over Ten Years = $140,777
*avg. increase 3.5% per year
VERSUS
Homeownership
As an example, let’s look at a $200,000 home. Unlike your rental unit, your home usually appreciates over time. Instead of assuming average growth, we assume
that prices are flat in the first year of ownership and pick up, but only slightly, in the second year. In the third year of ownership, your home has appreciated to a modest $210,858. After ten years, assuming a return to an average 4.5 percent appreciation rate*, your $200,000 home will be worth $286,948. Not only do you earn a rate of return on your original purchase price, you also get a return on any
subsequent appreciation.
* Average price appreciation from 1970 to 2008 was 6.0%
Homeownership Builds Wealth for Households
The Federal Reserve Board estimates that homeowners’ net worth has ranged between 31 and 46 times more than that of renters in the years 1998 to 2007. In 2007, the
median net worth for homeowners was $234,200 compared to $5,100 for renters. Even though that difference will surely narrow as a result of house price declines since 2007, homeowners will likely still have substantially greater net worth than renters.
How do you build up your net worth? As a homeowner, you build wealth in two ways: through paying down the principle on your mortgage and through those “appreciating returns” on your home.
We know how your $200,000 home could be worth $286,948 in ten years. In addition, you are paying down the principal on your mortgage. Remember that $200,000 you borrowed at 5.5 percent over 30 years – that debt amount is decreasing every month and every year as you make payments.
Year / Home Price / Mortgage Debt / Net Worth
1 / $200,000 / $187,441 / $12,559
2 / 201,200 / 184,737 / 16,463
3 / 210,858 / 181,880 / 28,977
4 / 220,346 / 178,863 / 41,483
5 / 230,262 / 175,675 / 54,587
6 / 240,624 / 172,308 / 68,316
7 / 251,452 / 168,750 / 82,701
8 / 262,767 / 164,992 / 97,775
9 / 274,591 / 161,022 / 113,570
10 / 286,948 / 156,828 / 130,120
**courtesy of National Associateion of Realtors
Saturday, January 23, 2010
Villebois, Award-Winner Yet Again....
We're in the news in Vegas....Kudos to Costa Pacific for developing this concept and winning!
"NAHB Names the Nationals Gold Award Winners
Awards Recognize Excellence in New Home Sales, Marketing and Design
COMMUNITY OF THE YEAR GOLD AWARDS
Community of the Year (Suburban)
Villebois
Wilsonville, Ore.
Builder: Costa Pacific Communities
Marketing Director: Rudy Kadlub"
for more details: http://www.buildersshow.com/news_details.aspx?newsID=10264§ionID=1753
"NAHB Names the Nationals Gold Award Winners
Awards Recognize Excellence in New Home Sales, Marketing and Design
COMMUNITY OF THE YEAR GOLD AWARDS
Community of the Year (Suburban)
Villebois
Wilsonville, Ore.
Builder: Costa Pacific Communities
Marketing Director: Rudy Kadlub"
for more details: http://www.buildersshow.com/news_details.aspx?newsID=10264§ionID=1753
Friday, January 22, 2010
Rates* for this weekend....crept up a bit....lock yours soon!
Product Interest Rate APR
Conforming and FHA Loans
30-Year Fixed 5.000% 5.191%
30-Year Fixed FHA 5.500% 6.245%
15-Year Fixed 4.375% 4.700%
5-Year ARM 3.875% 3.564%
5-Year ARM FHA 3.875% 3.401%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed 5.125% 5.264%
30-Year Fixed FHA 5.250% 5.924%
5-Year ARM 4.125% 3.606%
Jumbo Loans – Amounts that exceed conforming loan limits
30-Year Fixed 5.750% 5.895%
5-Year ARM 5.000% 3.930%
* courtesy of Wells Fargo
Conforming and FHA Loans
30-Year Fixed 5.000% 5.191%
30-Year Fixed FHA 5.500% 6.245%
15-Year Fixed 4.375% 4.700%
5-Year ARM 3.875% 3.564%
5-Year ARM FHA 3.875% 3.401%
Larger Loan Amounts in Eligible Areas – Conforming and FHA.
30-Year Fixed 5.125% 5.264%
30-Year Fixed FHA 5.250% 5.924%
5-Year ARM 4.125% 3.606%
Jumbo Loans – Amounts that exceed conforming loan limits
30-Year Fixed 5.750% 5.895%
5-Year ARM 5.000% 3.930%
* courtesy of Wells Fargo
Tuesday, January 19, 2010
No More 90-Day Waits on Foreclosed Properties?
HUD Takes Action to Speed Resale of Foreclosed Properties to New Owners
In an effort to stabilize home values and improve conditions in communities where foreclosure activity is high, HUD Secretary Shaun Donovan Friday announced a temporary policy that will expand access to FHA mortgage insurance and allow for the quick resale of foreclosed properties. The announcement is part of the Obama administration commitment to addressing foreclosure.
With certain exceptions, FHA currently prohibits insuring a mortgage on a home owned by the seller for less than 90 days. This temporary waiver will give FHA borrowers access to a broader array of recently foreclosed properties.
"This change in policy is temporary and will have very strict conditions and guidelines to assure that predatory practices are not allowed," Donovan said.
The policy change will permit buyers to use FHA-insured financing to purchase HUD-owned properties, bank-owned properties, or properties resold through private sales. This will allow homes to resell as quickly as possible, helping to stabilize real estate prices and to revitalize neighborhoods and communities.
The waiver will take effect on February 1, 2010 and is effective for one year, unless otherwise extended or withdrawn by the FHA Commissioner. To protect FHA borrowers against predatory practices of "flipping" where properties are quickly resold at inflated prices to unsuspecting borrowers, this waiver is limited to those sales meeting the following general conditions:
NASDAQ
• All transactions must be arms-length, with no identity of interest between the buyer and seller or other parties participating in the sales transaction.
• In cases in which the sales price of the property is 20 percent or more above the seller's acquisition cost, the waiver will only apply if the lender meets specific conditions.
• The waiver is limited to forward mortgages, and does not apply to the Home Equity Conversion Mortgage (HECM) for purchase program.
Specific conditions and other details of this new temporary policy are in the text of the waiver, available on HUD's website (www.hud.gov).
In an effort to stabilize home values and improve conditions in communities where foreclosure activity is high, HUD Secretary Shaun Donovan Friday announced a temporary policy that will expand access to FHA mortgage insurance and allow for the quick resale of foreclosed properties. The announcement is part of the Obama administration commitment to addressing foreclosure.
With certain exceptions, FHA currently prohibits insuring a mortgage on a home owned by the seller for less than 90 days. This temporary waiver will give FHA borrowers access to a broader array of recently foreclosed properties.
"This change in policy is temporary and will have very strict conditions and guidelines to assure that predatory practices are not allowed," Donovan said.
The policy change will permit buyers to use FHA-insured financing to purchase HUD-owned properties, bank-owned properties, or properties resold through private sales. This will allow homes to resell as quickly as possible, helping to stabilize real estate prices and to revitalize neighborhoods and communities.
The waiver will take effect on February 1, 2010 and is effective for one year, unless otherwise extended or withdrawn by the FHA Commissioner. To protect FHA borrowers against predatory practices of "flipping" where properties are quickly resold at inflated prices to unsuspecting borrowers, this waiver is limited to those sales meeting the following general conditions:
NASDAQ
• All transactions must be arms-length, with no identity of interest between the buyer and seller or other parties participating in the sales transaction.
• In cases in which the sales price of the property is 20 percent or more above the seller's acquisition cost, the waiver will only apply if the lender meets specific conditions.
• The waiver is limited to forward mortgages, and does not apply to the Home Equity Conversion Mortgage (HECM) for purchase program.
Specific conditions and other details of this new temporary policy are in the text of the waiver, available on HUD's website (www.hud.gov).
Monday, January 18, 2010
More Home Showings, More Home...Sales?
Supra Lockbox Activity - Updated Through Week of Jan. 4-10
Numbers are up considerably in Oregon and Washington
When comparing the week of January 4 - January 10 with the week prior, the number of times an RMLS™ subscriber opened a Supra lockbox increased 45.8% in Washington and 67.5% in Oregon*.
* courtesy of RMLS
Numbers are up considerably in Oregon and Washington
When comparing the week of January 4 - January 10 with the week prior, the number of times an RMLS™ subscriber opened a Supra lockbox increased 45.8% in Washington and 67.5% in Oregon*.
* courtesy of RMLS
Thursday, January 14, 2010
Helping Haiti....Coldwell Banker Reaches Out
Join Realogy’s Disaster Relief Efforts for People of Haiti*
Realogy Corporation, parent company of Coldwell Banker, today announced a campaign to raise funds through the Realogy Charitable Foundation to support the victims of the catastrophic earthquake that devastated Haiti on Jan. 12. The Realogy Charitable Foundation will distribute all funds raised by employees, franchisees, sales associates, vendors, partners, friends of Realogy and the general public directly to the American Red Cross International Response Fund.
“Our hearts go out to the people of Haiti, and we want to do all we can to support the international relief efforts in the wake of this natural disaster,” said Richard A. Smith, president and CEO of Realogy Corporation. “We invite all those who are able to donate to give whatever they can to help the American Red Cross provide the assistance that is so desperately needed.”
The Realogy Charitable Foundation is a 501(c)(3) public charity supporting the philanthropic and volunteer activities of Realogy Corporation and its family of companies. The Foundation is incorporated in Delaware and its tax ID is 20-0755090.
To make a donation to the American Red Cross International Response Fund through the Realogy Charitable Foundation, paste the following URL into your browser http://www.events.org/realogycares. This portal is a secure online donation system that allows any individual to use a credit card/debit card or electronic check. All gifts are tax-deductible to the extent allowable by law, and individuals should consult their tax professional to determine the amount they can claim as a tax deductible contribution.
*courtesy of Coldwell Banker
Realogy Corporation, parent company of Coldwell Banker, today announced a campaign to raise funds through the Realogy Charitable Foundation to support the victims of the catastrophic earthquake that devastated Haiti on Jan. 12. The Realogy Charitable Foundation will distribute all funds raised by employees, franchisees, sales associates, vendors, partners, friends of Realogy and the general public directly to the American Red Cross International Response Fund.
“Our hearts go out to the people of Haiti, and we want to do all we can to support the international relief efforts in the wake of this natural disaster,” said Richard A. Smith, president and CEO of Realogy Corporation. “We invite all those who are able to donate to give whatever they can to help the American Red Cross provide the assistance that is so desperately needed.”
The Realogy Charitable Foundation is a 501(c)(3) public charity supporting the philanthropic and volunteer activities of Realogy Corporation and its family of companies. The Foundation is incorporated in Delaware and its tax ID is 20-0755090.
To make a donation to the American Red Cross International Response Fund through the Realogy Charitable Foundation, paste the following URL into your browser http://www.events.org/realogycares. This portal is a secure online donation system that allows any individual to use a credit card/debit card or electronic check. All gifts are tax-deductible to the extent allowable by law, and individuals should consult their tax professional to determine the amount they can claim as a tax deductible contribution.
*courtesy of Coldwell Banker
Monday, January 4, 2010
Rates on the Rise?
Hm. Curious what you think...will rates be heading up this year?
Fed: Regulation 1st defense against speculation*
Stronger regulation is the best way to prevent financial speculation from getting out of hand and throwing the economy in a new crisis, Federal Reserve Chairman Ben Bernanke said Sunday.But he didn't rule out higher interest rates to stop new speculative investment bubbles from forming.
Important Markets
Critics blame the Fed for feeding that speculative boom in housing by holding interest rates too low for too long after the 2001 recession.
But Bernanke, in a speech to the American Economic Association's annual meeting in Atlanta, defended the central bank's actions. Extra-low rates were needed to get the economy and job creation back to full throttle after the Sept. 11 attacks and accounting scandals that rocked Wall Street, he said.
Bernanke said the direct links were weak between super-low interest rates and the rapid rise in house prices that occurred at roughly the same time. The stance of interest rates during that period "does not appear to have been inappropriate," he said.
Still, the enormous economic damage from the housing bust — the longest and deepest recession since the 1930s and double-digit unemployment — shows how important it is to guard against a repeat, Bernanke said.
*courtesy of Landover Mortgage
Fed: Regulation 1st defense against speculation*
Stronger regulation is the best way to prevent financial speculation from getting out of hand and throwing the economy in a new crisis, Federal Reserve Chairman Ben Bernanke said Sunday.But he didn't rule out higher interest rates to stop new speculative investment bubbles from forming.
Important Markets
Critics blame the Fed for feeding that speculative boom in housing by holding interest rates too low for too long after the 2001 recession.
But Bernanke, in a speech to the American Economic Association's annual meeting in Atlanta, defended the central bank's actions. Extra-low rates were needed to get the economy and job creation back to full throttle after the Sept. 11 attacks and accounting scandals that rocked Wall Street, he said.
Bernanke said the direct links were weak between super-low interest rates and the rapid rise in house prices that occurred at roughly the same time. The stance of interest rates during that period "does not appear to have been inappropriate," he said.
Still, the enormous economic damage from the housing bust — the longest and deepest recession since the 1930s and double-digit unemployment — shows how important it is to guard against a repeat, Bernanke said.
*courtesy of Landover Mortgage
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