WASHINGTON – Dec. 14, 2007 – Hundreds of thousands of minority and moderate-income home buyers would become eligible to get low-rate, low-down-payment mortgages insured by the federal government under an agreement struck yesterday in the Senate.
The measure, which had been held up by a lone senator, Republican Tom Coburn of Oklahoma, is expected to get a full floor vote today or Monday. It would greatly expand the Federal Housing Administration’s mortgage insurance program that helps people with questionable credit get low-interest home loans.
The delay of the bill drew the ire of the Bush administration and House lawmakers on both sides of the aisle, as the pressure increased on the federal government to address the worsening mortgage crisis. The House passed its version in September, 348 to 72.
The legislation aims to draw people away from subprime loans, which offer low “teaser” rates that can jump as high as 11 percent after two or three years. By the summer of 2010, about 600,000 people with such loans are expected to lose their homes because they will not be able to make the higher monthly payments.
FHA Commissioner Brian Montgomery said his agency’s program could “fill the void” as the subprime market continues to unravel.
“A lot of people who went the subprime route should have come to FHA,” Montgomery said. “Sadly, some of them are coming to us now after” their interest rates have reset.
The FHA typically insures mortgages of about $130,000 for qualified home buyers, who are required to make a down payment equal to only 3 percent of their loan amount. About a third of its customers are minorities. Most earn about $55,000 a year.
The Senate bill would lower the down payment requirement to 1.5 percent and allow the FHA to insure mortgages up to $417,000, which would broaden its reach to more-expensive housing regions such as the Washington area, said four congressional aides who spoke on condition of anonymity in advance of the Senate vote.
Last year, the FHA got nearly 680,000 applications from home buyers. This year, it is on pace to receive 1.4 million, as exotic and adjustable-rate loans have fallen out of favor among lenders.
The FHA, part of the Department of Housing and Urban Development, does not rely on public funds to provide mortgage insurance and covers its costs by charging a fee to home buyers, normally about 1 percent of their mortgage amount. The Senate bill would raise the ceiling on that fee to 3 percent. FHA officials said the higher fee would allow them to charge more to less-credit-worthy borrowers.
The FHA rarely offers insurance for adjustable-rate mortgages. “We back the 30-year-fixed rate, garden variety, plain vanilla mortgage,” Montgomery said. “No one has ever called the FHA and said, ‘I don’t understand my mortgage.’ “
Last week, the Bush administration announced a plan that would freeze subprime mortgage rates for homeowners for five years to give them time to refinance before their rates reset. The FHA insurance program offers an easy option for these homeowners to refinance, administration officials have said.
The bill was opposed by Coburn, who was concerned it would encourage risks by the FHA, one of his aides said. He also was unhappy over the lack of debate – Senate Democrats wanted to hold a quick vote on the matter. By yesterday, one of his top aides said, Coburn’s concerns had been allayed.
Coburn “is grateful that congressional leaders have given him the opportunity to debate this bill on the floor,” said John Hart, a spokesman for the senator.
The bill should pass by a wide margin, another aide on the Senate Banking Committee said. “The road has been paved for final passage,” the aide said.
Copyright washingtonpost.com, David Cho
Friday, December 14, 2007
Sunday, November 11, 2007
Tuesday, November 6, 2007
Just the facts...
In this day of information overload, it's easy to feel like we know more than we really do. I often hear people say: "I know your seller bought the house in 2004 for ______ amount". Yes, this public information is easy to find. I always give the tax info with the amount a seller paid to my buyers when we look at property. This is merely a starting point and often doesn't tell the entrire story. Have you considered a possible, second mortgage, often even a third mortgage? Many homes have a HELOC in addition to second and third mortgages. I think buyers just assume that every seller is trying to make a "killing" with every sell. This is often NOT the case. Some sellers are walking away with ZERO but at least they didn't have to bring money to the table!! Facts. Make sure your REALTOR always gives you as much info as possible.
My cream puff at 12641 Ashglen Dr continues to be shown like crazy. I am going to reduce the price and take away the closing cost offer. We are going to start an ad campaign and I thought it was time to price it below the comparable properties that have closed in the last 45 days. Call if you'd like to look before the price change becomes advertised.
BUYERS MARKET!!! It's time to buy today.
My cream puff at 12641 Ashglen Dr continues to be shown like crazy. I am going to reduce the price and take away the closing cost offer. We are going to start an ad campaign and I thought it was time to price it below the comparable properties that have closed in the last 45 days. Call if you'd like to look before the price change becomes advertised.
BUYERS MARKET!!! It's time to buy today.
Wednesday, October 31, 2007
Halloween Horror Story??
I've posted this before, but this is definitely worth repeating on Halloween!!
I continually hear people say that their realtor bugged them for weeks to get them to list their house with them. They finally agreed to list it and they never saw the realtor again!! I'm not exaggerating! Check out this story....
New example of a “list em and leave em” real estate company
Wednesday, May 02, 2007JANESVILLE, Wis. — A couple checking out a house for sale were shocked to discover the 55-year-old homeowner dead in her bed. Authorities said foul play was not suspected. Real estate agent Linda Chabucos-Galow stood in the dining room while Justin and Colleen McKeen walked through a house Monday night. Before long, she heard Colleen McKeen scream."I thought, 'What's wrong?' Maybe it was a dead mouse or something," Chabucos-Galow said.But then she peered into the bedroom and saw the body of Linda L. O'Leary.
An autopsy determined O'Leary had been dead for two to three weeks, Rock County Coroner Jenifer Keach said Wednesday. The cause of death remained under investigation, but the woman appeared to have died of natural causes and no foul play was suspected, Keach said.
Gale Kent, the Coldwell Banker First United Realty agent who listed the house, said it was for sale "for a while."Chabucos-Galow said she had noticed a faint odor but thought it was from the mess in the house or the countertop full of dishes.After seeing the body, she said she told the couple: "'We need to leave. This is not right. We need to get out of here.'
"I rest my case! If you want to list your house with someone that will communicate with you---give me a call! I look forward to hearing from you.
I continually hear people say that their realtor bugged them for weeks to get them to list their house with them. They finally agreed to list it and they never saw the realtor again!! I'm not exaggerating! Check out this story....
New example of a “list em and leave em” real estate company
Wednesday, May 02, 2007JANESVILLE, Wis. — A couple checking out a house for sale were shocked to discover the 55-year-old homeowner dead in her bed. Authorities said foul play was not suspected. Real estate agent Linda Chabucos-Galow stood in the dining room while Justin and Colleen McKeen walked through a house Monday night. Before long, she heard Colleen McKeen scream."I thought, 'What's wrong?' Maybe it was a dead mouse or something," Chabucos-Galow said.But then she peered into the bedroom and saw the body of Linda L. O'Leary.
An autopsy determined O'Leary had been dead for two to three weeks, Rock County Coroner Jenifer Keach said Wednesday. The cause of death remained under investigation, but the woman appeared to have died of natural causes and no foul play was suspected, Keach said.
Gale Kent, the Coldwell Banker First United Realty agent who listed the house, said it was for sale "for a while."Chabucos-Galow said she had noticed a faint odor but thought it was from the mess in the house or the countertop full of dishes.After seeing the body, she said she told the couple: "'We need to leave. This is not right. We need to get out of here.'
"I rest my case! If you want to list your house with someone that will communicate with you---give me a call! I look forward to hearing from you.
Jacksonville FL Real Estate Improving?
After spending the past 3 days looking at homes from St. Johns County all the way to the Northern most end of Duval County, I am beginning to think that the market has picked up! I was pleasantly surprised to see that several of the homes we were interested in had gotten contracts in just the past 4 or 5 days. I'm not sure exactly what this means because I don't know what the homes "closed" at. I won't know what the homes sold for until they actually close in a few weeks. I also heard from several Realtors that I scheduled showing appointments with, that they have had a LOT of activity on their listings. I wonder if this means that we truly have finally bottomed out? I will say this, there continues to be new listings posted every night in MLS, and the prices continue to drop on homes already on the market. I don't know if the influx of new listings is just seasonal, or if it's people "testing the market" again. I'm anxious to see the numbers in a couple of weeks. When I find out what the homes sold for, I'll pass the info along to you. In the meantime, please take a minute to look at my listing on Ashglen Drive. I have a VERY MOTIVATED seller that is going to kill me if I don't hurry up and sell her home! Won't you help save a Realtor???
Tuesday, October 16, 2007
34 S 26th Avenue Jacksonville Beach, FL 32250
This beautiful South Jacksonville Beach home has been completely refurbished from top to bottom. Including all new siding, new insulation, new paint, new roof, new tile floors, new plumbing, new kitchen appliances, new decks, new lighting and more! This home is located on a quiet, one-way street and is just steps to the beach!! The master retreat has a balcony with a great ocean view. Call today to schedule your private showing. Ronda Densford, REALTOR (904) 241-2386
12641 Ashglen Drive N Jacksonville, FL 32224
This 3/2 home is in a lovely deed restricted community near UNF, FCCJ, Town Center, the Beaches, JT Butler, 9A and all of Jacksonville! New landscaping completed October. Irrigation system, owned alarm system, new central air, like new carpet, fresh paint, move in ready. Motivated seller will pay up to $3000 of buyers closing costs with approved offer. Call today and schedule your private showing. $215,000.00
Sunday, October 7, 2007
Always Read the Fine Print No More Tricks-Only Treats
The Feds feel compelled to rescue some of the people that got caught up in the SubPrime lending schemes. The reduction in the prime rate appears to be helping those that are trying to get a loan, but I'm not sure how much it's really going to help those that are in danger of being foreclosed on. The "tiny print" of the "fix" the Feds are proposing, is unsettling at best. The borrower must be current on their loan and have equity in their home. The problem is this: (1) they are late on their payments, that's why they're in danger of going into foreclosure (2) they bought the house with 100% financing, thus, zero equity. In fact, worst case scenario: they are upside down!! My gosh this is complicated and sad. I don't think that I could get into that foreclosure business. They say you can actually HELP a homeowner that's in trouble by negotiating with the lenders and buying them some time to get their affairs in order. They can try to negotiate the amount they owe on the house enabling them to sell it without going into foreclosure. BUT, to me anyway, the bottom line is that a family is losing their home. I'm too much of a softie to be able to handle all of that!! One school of thinking is that some of these people went into these loans knowing they shouldn't. After attending a LOT of closings, I think that it would be very easy for an unscrupulous lender to pull one on a borrower!!! That's why it's SO important that you have a GOOD REALTOR that has personal contacts to use as lenders and as always: READ THE FINE PRINT and have your REALTOR read the fine print too!
Tuesday, September 11, 2007
More dismal news for those with ARM mortgages
I'm hesitant to post an article like this but felt like I might miss something in the translation. The info in the article is sobering. The bottom line appears to be that those with ARM's are having a lot of trouble getting permanent financing on their loans that are resetting. Not only that, but now the folks qualified for a loan that WASN'T subprime, no longer qualify for that same loan! What does this mean for you? It just confirms that it's truly a buyers market in Jacksonville. These homeowners will need to get out from under the new payments in a BAD way. Call me today and let's go look at some houses!
Mortgage brokers say one-third of clients failed to close in August
Loan fundings not always the cause of cancellations, survey finds
Tuesday, September 11, 2007
By Matt Carter
Inman News
A new survey of mortgage brokers reveals that one in three prospective home buyers who had signed purchase and sale agreements in August ended up cancelling.
August was a turbulent month for mortgage lenders, as many investors stopped buying securities backed by home loans because of fears of rising delinquencies and defaults.
Not all of the cancellations reported in the survey of 1,744 mortgage brokers by Campbell Communications Inc. were the result of problems funding loans.
Some deals fell through because buyers could not get approved for a loan or withdrew their offer. In other cases the lender did not honor a loan commitment, went bankrupt or stopped funding loans. Interest-rate changes killed some deals, and sellers backed out of others...
But survey designer Thomas Popik of Geosegment Systems did say mortgage brokers reported that about one-third of all subprime mortgage applications -- both purchase and refinance -- were declined in August. A "much lower" percentage of prime conforming and prime jumbo loans were turned down, Popik said.
Popik said 56 percent of subprime borrowers who had signed purchase and sale agreements in August saw those deals fall through for various reasons, compared with a cancellation rate of 21 percent for prime borrowers.
"In general, what's happening in the marketplace is the subprime borrowers are having trouble getting approved, and the prime borrowers are holding back from the transactions, perhaps because they think they might get a slightly better deal later on," Popik said.
When Campbell Communications surveyed real estate agents in 2004 -- when the housing boom was in full swing -- only 4 percent of home purchase closings failed for mortgage-related reasons.
While 33 percent of prospective buyers saw their closings fall through in August, "the flip side is that most people who had planned on buying a new home … were still able to close on those transactions," Popik said. "Whether that situation will persist through the fall and into next year is another question entirely."
A more troubling statistic, perhaps, was the survey's finding that 57 percent of borrowers facing interest-rate resets on their adjustable-rate mortgages (ARM) were unable to refinance. That could push up delinquencies and defaults if those borrowers are unable to manage higher monthly payments.
The problem was more acute for subprime ARM borrowers -- 64 percent were unable to refinance. But 50 percent of those seeking prime conforming mortgages were also unable to move into new loans, the survey found.
The most common issues for subprime borrowers seeking to refinance were the lack of subprime loan programs, and FICO scores that excluded them from other programs, the survey found. Prime borrowers found property appraisals and loan-to-value (LTV) ratios were impediments to refinancing.
Mortgage brokers surveyed said LTVs for prime jumbo loans had tightened substantially, averaging 90 percent, with the minimum acceptable FICO score averaging 679.
Mortgage brokers say one-third of clients failed to close in August
Loan fundings not always the cause of cancellations, survey finds
Tuesday, September 11, 2007
By Matt Carter
Inman News
A new survey of mortgage brokers reveals that one in three prospective home buyers who had signed purchase and sale agreements in August ended up cancelling.
August was a turbulent month for mortgage lenders, as many investors stopped buying securities backed by home loans because of fears of rising delinquencies and defaults.
Not all of the cancellations reported in the survey of 1,744 mortgage brokers by Campbell Communications Inc. were the result of problems funding loans.
Some deals fell through because buyers could not get approved for a loan or withdrew their offer. In other cases the lender did not honor a loan commitment, went bankrupt or stopped funding loans. Interest-rate changes killed some deals, and sellers backed out of others...
But survey designer Thomas Popik of Geosegment Systems did say mortgage brokers reported that about one-third of all subprime mortgage applications -- both purchase and refinance -- were declined in August. A "much lower" percentage of prime conforming and prime jumbo loans were turned down, Popik said.
Popik said 56 percent of subprime borrowers who had signed purchase and sale agreements in August saw those deals fall through for various reasons, compared with a cancellation rate of 21 percent for prime borrowers.
"In general, what's happening in the marketplace is the subprime borrowers are having trouble getting approved, and the prime borrowers are holding back from the transactions, perhaps because they think they might get a slightly better deal later on," Popik said.
When Campbell Communications surveyed real estate agents in 2004 -- when the housing boom was in full swing -- only 4 percent of home purchase closings failed for mortgage-related reasons.
While 33 percent of prospective buyers saw their closings fall through in August, "the flip side is that most people who had planned on buying a new home … were still able to close on those transactions," Popik said. "Whether that situation will persist through the fall and into next year is another question entirely."
A more troubling statistic, perhaps, was the survey's finding that 57 percent of borrowers facing interest-rate resets on their adjustable-rate mortgages (ARM) were unable to refinance. That could push up delinquencies and defaults if those borrowers are unable to manage higher monthly payments.
The problem was more acute for subprime ARM borrowers -- 64 percent were unable to refinance. But 50 percent of those seeking prime conforming mortgages were also unable to move into new loans, the survey found.
The most common issues for subprime borrowers seeking to refinance were the lack of subprime loan programs, and FICO scores that excluded them from other programs, the survey found. Prime borrowers found property appraisals and loan-to-value (LTV) ratios were impediments to refinancing.
Mortgage brokers surveyed said LTVs for prime jumbo loans had tightened substantially, averaging 90 percent, with the minimum acceptable FICO score averaging 679.
Prices Continue to Drop
Prices in the Jacksonville area continue to drop. It's been subtle in some areas, and "in your face" in others. I'm beginning to wonder how appraisers are managing! There aren't hardly any comps to use because sales have been super slow! MLS continues to show numerous drops in price every single day.
How low will it go??? I'll keep you posted...
How low will it go??? I'll keep you posted...
Friday, August 31, 2007
Buyers Market in Jacksonville! Interest Rates Lower!
Not only are there a gazillion houses on the market, the interest rates continue to DROP. This is amazing! If you have good credit and a down payment, now is the time to buy your dream house. Sellers are absolutely giving buyers ANYTHING they want. I've heard about Plasma TV's, furniture, closing costs and all kinds of things being thrown in the pot when contracts are written! Good grief. What the heck are you waiting for? Call me today 904-241-2386 or 904-885-9907 and let's get out there and get you a house AND a riding lawn mower (or whatever it is you need) and close the deal!
NEWS ITEM:
Rates on 30-year mortgages drop to the lowest point in 3 months
Mortgage Rate Trend Index
If mortgage industry experts polled by Bankrate.com are right, mortgage rates will decline over the next 30 to 45 days. While 23 percent expect no change, 77 percent foresee a decline and none predict an increase.WASHINGTON – Aug. 31, 2007 – Rates on 30-year mortgages fell this week to the lowest level in three months.Freddie Mac, the mortgage company, reported Thursday that 30-year, fixed-rate mortgages averaged 6.45 percent. That was down from 6.52 percent last week and was the lowest level since the week of May 31, when rates stood at 6.42 percent.The moderation provides welcome news for prospective homebuyers, many of whom are finding it harder to obtain loans as lenders tighten up on borrowing standards in the face of rising loan delinquencies.Rates in other mortgage categories were mixed last week.Rates on 15-year fixed-rate mortgages, a popular choice for refinancing, averaged 6.12 percent, down from 6.18 percent last week.
NEWS ITEM:
Rates on 30-year mortgages drop to the lowest point in 3 months
Mortgage Rate Trend Index
If mortgage industry experts polled by Bankrate.com are right, mortgage rates will decline over the next 30 to 45 days. While 23 percent expect no change, 77 percent foresee a decline and none predict an increase.WASHINGTON – Aug. 31, 2007 – Rates on 30-year mortgages fell this week to the lowest level in three months.Freddie Mac, the mortgage company, reported Thursday that 30-year, fixed-rate mortgages averaged 6.45 percent. That was down from 6.52 percent last week and was the lowest level since the week of May 31, when rates stood at 6.42 percent.The moderation provides welcome news for prospective homebuyers, many of whom are finding it harder to obtain loans as lenders tighten up on borrowing standards in the face of rising loan delinquencies.Rates in other mortgage categories were mixed last week.Rates on 15-year fixed-rate mortgages, a popular choice for refinancing, averaged 6.12 percent, down from 6.18 percent last week.
Monday, July 30, 2007
This Story is Worth Repeating!
This is a post worth repeating:
I continually hear people say that their realtor bugged them for weeks to get them to list their house with them. They finally agreed to list it and they never saw the realtor again!! I'm not exaggerating! Check out this story....
New example of a “list em and leave em” real estate company
Wednesday, May 02, 2007JANESVILLE, Wis. — A couple checking out a house for sale were shocked to discover the 55-year-old homeowner dead in her bed. Authorities said foul play was not suspected. Real estate agent Linda Chabucos-Galow stood in the dining room while Justin and Colleen McKeen walked through a house Monday night. Before long, she heard Colleen McKeen scream."I thought, 'What's wrong?' Maybe it was a dead mouse or something," Chabucos-Galow said.But then she peered into the bedroom and saw the body of Linda L. O'Leary.
An autopsy determined O'Leary had been dead for two to three weeks, Rock County Coroner Jenifer Keach said Wednesday. The cause of death remained under investigation, but the woman appeared to have died of natural causes and no foul play was suspected, Keach said.
Gale Kent, the Coldwell Banker First United Realty agent who listed the house, said it was for sale "for a while."Chabucos-Galow said she had noticed a faint odor but thought it was from the mess in the house or the countertop full of dishes.After seeing the body, she said she told the couple: "'We need to leave. This is not right. We need to get out of here.'
"I rest my case! If you want to list your house with someone that will communicate with you---give me a call! I look forward to hearing from you.
I continually hear people say that their realtor bugged them for weeks to get them to list their house with them. They finally agreed to list it and they never saw the realtor again!! I'm not exaggerating! Check out this story....
New example of a “list em and leave em” real estate company
Wednesday, May 02, 2007JANESVILLE, Wis. — A couple checking out a house for sale were shocked to discover the 55-year-old homeowner dead in her bed. Authorities said foul play was not suspected. Real estate agent Linda Chabucos-Galow stood in the dining room while Justin and Colleen McKeen walked through a house Monday night. Before long, she heard Colleen McKeen scream."I thought, 'What's wrong?' Maybe it was a dead mouse or something," Chabucos-Galow said.But then she peered into the bedroom and saw the body of Linda L. O'Leary.
An autopsy determined O'Leary had been dead for two to three weeks, Rock County Coroner Jenifer Keach said Wednesday. The cause of death remained under investigation, but the woman appeared to have died of natural causes and no foul play was suspected, Keach said.
Gale Kent, the Coldwell Banker First United Realty agent who listed the house, said it was for sale "for a while."Chabucos-Galow said she had noticed a faint odor but thought it was from the mess in the house or the countertop full of dishes.After seeing the body, she said she told the couple: "'We need to leave. This is not right. We need to get out of here.'
"I rest my case! If you want to list your house with someone that will communicate with you---give me a call! I look forward to hearing from you.
Media Blitz
I have been amazed and a tad discouraged by all of the media hype about the real estate market. I think they have painted such a gloomy picture that it really doesn't matter what is happening....people believe what they read! The market here at the Beach continues to sputter along with a little activity here and there. I guess compared to the rest of the city, we're rocking!
I finally sold my client from Wisconsin a house! The Julington Creek area in Northern St Johns county continues to have a HUGE inventory of homes on the market. Unlike other areas, the prices appear to be staying somewhat stable. I think it has everything to do with the incredible school system they have. We were delighted to find the house in time to get enrolled in school.
A few new listings have appeared on the market here in Selva Marina, and a few have expired and been removed from the market.
Are you looking for a bargain? Call me today and I'll get busy and find you a "steal". It is truly a buyers market. Let's get busy!
I finally sold my client from Wisconsin a house! The Julington Creek area in Northern St Johns county continues to have a HUGE inventory of homes on the market. Unlike other areas, the prices appear to be staying somewhat stable. I think it has everything to do with the incredible school system they have. We were delighted to find the house in time to get enrolled in school.
A few new listings have appeared on the market here in Selva Marina, and a few have expired and been removed from the market.
Are you looking for a bargain? Call me today and I'll get busy and find you a "steal". It is truly a buyers market. Let's get busy!
Tuesday, June 19, 2007
Just when I thought things might be getting better in the Jacksonville real estate market...
This was in the Jacksonville Business Journal daily update:
Jacksonville Business Journal - 3:41 PM EDT Tuesday, June 19, 2007
There is a two in five chance that home prices will be lower in Jacksonville in two years, according to figures from PMI Mortgage Insurance Co.
The company's 2007 U.S. Market Risk Index ranks the 50 largest metropolitan statistical areas in the country according to the likelihood that prices will drop in the next two years. The rankings are based on home price appreciation, per capita household income and mortgage rates.
Jacksonville's score of 394 translates into a 39.4 percent chance prices will be lower in 2009. Four Florida MSAs -- West Palm Beach, Orlando, Fort Lauderdale and Tampa -- have a better than 50 percent chance of prices being lower in two years.
Jacksonville's score was No. 22 in the rankings of the top 50 MSAs, in part because appreciation of home prices went from 22 percent in the first quarter of 2006 to 7 percent a year later.
"The market's changing tide doesn't mean it is a bad time to buy or own a house, but it is a reminder that home ownership is a long-term investment," said Mark Milner, chief risk officer for PMI. "For buyers, in many areas it's a much friendlier market than it was even a year ago."
40% Chance of Lower Home Prices
Jacksonville Business Journal - 3:41 PM EDT Tuesday, June 19, 2007
There is a two in five chance that home prices will be lower in Jacksonville in two years, according to figures from PMI Mortgage Insurance Co.
The company's 2007 U.S. Market Risk Index ranks the 50 largest metropolitan statistical areas in the country according to the likelihood that prices will drop in the next two years. The rankings are based on home price appreciation, per capita household income and mortgage rates.
Jacksonville's score of 394 translates into a 39.4 percent chance prices will be lower in 2009. Four Florida MSAs -- West Palm Beach, Orlando, Fort Lauderdale and Tampa -- have a better than 50 percent chance of prices being lower in two years.
Jacksonville's score was No. 22 in the rankings of the top 50 MSAs, in part because appreciation of home prices went from 22 percent in the first quarter of 2006 to 7 percent a year later.
"The market's changing tide doesn't mean it is a bad time to buy or own a house, but it is a reminder that home ownership is a long-term investment," said Mark Milner, chief risk officer for PMI. "For buyers, in many areas it's a much friendlier market than it was even a year ago."
I would say it is definitely a buyers market!! The interest rates continue to creep up...and then they creep back down!! If you're considering buying a home--give me a call. I'll be happy to help.
Saturday, June 9, 2007
Better think twice about waiting to buy!
Rates on 30-year mortgages jump
Mortgage Rate Trend Index Rates will continue to rise over the next 30 to 45 days, say 58 percent of the mortgage experts polled by Bankrate.com. Only 16 percent say rates will fall; the remaining 26 percent predicting little change.
WASHINGTON – June 8, 2007 – Rates on 30-year mortgages rose for a fourth straight week, hitting the highest level in 10 months, as bond markets responded to strong employment growth.Mortgage giant Freddie Mac reported Thursday that 30-year, fixed-rate mortgages averaged 6.53 percent this week. That was up sharply from 6.42 percent last week and represented the highest point for 30-year mortgages since they averaged 6.55 percent on Aug. 10.
I think the rates are going to continue to rise in the coming months. If you're sitting on the fence right now, thinking about buying---I think you'd better consider making your move! Call me today and we'll talk about making an offer on one of those over-priced houses out there on the market. We might get lucky and find a REALLY motivated seller!
Mortgage Rate Trend Index Rates will continue to rise over the next 30 to 45 days, say 58 percent of the mortgage experts polled by Bankrate.com. Only 16 percent say rates will fall; the remaining 26 percent predicting little change.
WASHINGTON – June 8, 2007 – Rates on 30-year mortgages rose for a fourth straight week, hitting the highest level in 10 months, as bond markets responded to strong employment growth.Mortgage giant Freddie Mac reported Thursday that 30-year, fixed-rate mortgages averaged 6.53 percent this week. That was up sharply from 6.42 percent last week and represented the highest point for 30-year mortgages since they averaged 6.55 percent on Aug. 10.
I think the rates are going to continue to rise in the coming months. If you're sitting on the fence right now, thinking about buying---I think you'd better consider making your move! Call me today and we'll talk about making an offer on one of those over-priced houses out there on the market. We might get lucky and find a REALLY motivated seller!
Wednesday, June 6, 2007
Buyers Market in Jacksonville!
...NAR lowers expectations for home sales, prices
Forecast calls for 1.3% drop in median existing-home prices
Wednesday, June 06, 2007Inman News
The National Association of Realtors again lowered its forecast for 2007 existing-home sales today, following a downward adjustment last month, and also lowered expectations for home prices.
Existing-home sales are expected to fall 4.6 percent this year to 6.18 million, compared with 6.48 million in 2006, with new single-family home sales dropping 18.2 percent and housing starts dropping 20.4 percent. Housing starts for single-family units are expected to decline 23 percent this year compared to 2006. From Inman News
This news really surprises me! After attending class at NEFAR for the past 2 days, I was hearing all kinds of optimism from other agents. I think if you're representing buyers, you are loving this market! For those of us that also have listings, it's not all that fun....
To be continued...
Forecast calls for 1.3% drop in median existing-home prices
Wednesday, June 06, 2007Inman News
The National Association of Realtors again lowered its forecast for 2007 existing-home sales today, following a downward adjustment last month, and also lowered expectations for home prices.
Existing-home sales are expected to fall 4.6 percent this year to 6.18 million, compared with 6.48 million in 2006, with new single-family home sales dropping 18.2 percent and housing starts dropping 20.4 percent. Housing starts for single-family units are expected to decline 23 percent this year compared to 2006. From Inman News
This news really surprises me! After attending class at NEFAR for the past 2 days, I was hearing all kinds of optimism from other agents. I think if you're representing buyers, you are loving this market! For those of us that also have listings, it's not all that fun....
To be continued...
Friday, May 25, 2007
More depressing real estate news in Jacksonville
...A day after the U.S. Commerce Department reported a surge in the sale of new homes across the country, FAR reported that sales of existing single-family homes in the first quarter of 2007 fell 26 percent in Florida, while the median price dropped 3 percent to $237,000.
In Jacksonville, sales dropped 14 percent from the first quarter of last year and the median price edged up 1 percent to $199,500.
Sales were down by at least 9 percent in 19 of the 20 markets tracked by FAR. Jacksonville was one of only six markets that saw an increase in the median price, with none more substantial than the 4 percent increase in Tallahassee.
In the condominium market, things were even worse. The median price of an existing condo in Jacksonville dipped 7 percent to $152,300, and sales were down 23 percent from the first quarter a year ago. Sales were down 30 percent statewide and the median price was up less than 1 percent to $210,800...
This info was provided by FAR (FL Association of Realtors) and the Jacksonville Business Journal.
I think the numbers speak for themselves. There are pockets of town that have faired much, much worse...some not hit quite as hard. Overall though, the air continues to seeeeep out of the bubble. In fact, there's not much air left in that ol bubble. To be continued...
In Jacksonville, sales dropped 14 percent from the first quarter of last year and the median price edged up 1 percent to $199,500.
Sales were down by at least 9 percent in 19 of the 20 markets tracked by FAR. Jacksonville was one of only six markets that saw an increase in the median price, with none more substantial than the 4 percent increase in Tallahassee.
In the condominium market, things were even worse. The median price of an existing condo in Jacksonville dipped 7 percent to $152,300, and sales were down 23 percent from the first quarter a year ago. Sales were down 30 percent statewide and the median price was up less than 1 percent to $210,800...
This info was provided by FAR (FL Association of Realtors) and the Jacksonville Business Journal.
I think the numbers speak for themselves. There are pockets of town that have faired much, much worse...some not hit quite as hard. Overall though, the air continues to seeeeep out of the bubble. In fact, there's not much air left in that ol bubble. To be continued...
A little more gas on the fire...
"...Mortgage giant Freddie Mac reported Thursday that 30-year, fixed-rate mortgages averaged 6.37 percent nationwide this week, up from 6.21 percent last week. It was the highest level for 30-year mortgages since they averaged 6.40 percent the week of Oct. 26.Analysts said the second consecutive weekly increase in 30-year mortgage rates after they had been unchanged or fallen for a month reflected concerns in financial markets that inflation worries will keep the Fed from cutting rates in coming months."Stronger than expected consumer confidence and recent comments from members of the Fed raised some inflation concerns in the market, causing it to lower expectations of a Fed rate cut this year," said Frank Nothaft, Freddie Mac's chief economist."
Maybe this is the impetus needed to make some buyers get off the fence. With interest rates rising, NOW may be the time to make that offer on a home you've been looking at! It could mean saving a LOT of money on a monthly note if you can lock in rates now and maybe make a low offer on a property that's been on the market for a while. At least a low offer will start the communication process.
Maybe this is the impetus needed to make some buyers get off the fence. With interest rates rising, NOW may be the time to make that offer on a home you've been looking at! It could mean saving a LOT of money on a monthly note if you can lock in rates now and maybe make a low offer on a property that's been on the market for a while. At least a low offer will start the communication process.
Wednesday, May 23, 2007
Jacksonville Homes For Sale 34 S 26th Ave 32250
This is one of my favorite listings! I'd love to show it to you at your convenience. Just give me a call and I'll be happy to meet you there.
34 South 26th Ave Jacksonville Beach, FL
This beautiful beach home is just steps to the ocean. It has been completely refurbished, including: new paint, new roof, new appliances, new tile, new lighting fixtures, new pulmbing fixtures, new siding, new insulation, and much more! This home is now like new. Listed at $895,000 MLS #350763
Monday, May 14, 2007
Proof that the Real Estate Picture is being sugar coated
I have been watching our own little world right here in Jacksonville. The press releases and the information that I kept hearing just didn't match up with what I was reading right on our own MLS! I knew the national story was bleak too after spending countless hours in newsgroups and doing research. I came across this article and thought it was finally giving some concrete numbers to the dreary picture I have been seeing. See if you don't find the article below VERY credible.
Closing Data: We purchase and compile actual home closing data for approximately 181 counties across the country, which captures the counties where about 55 percent of the U.S. population lives and a significant percentage of all of the counties where the large home builders are active. This data shows that sales have fallen 22 percent if you compare sales over the last 12 months to the prior 12 months. On a straight year-over-year comparison, the decline is much more.
Mortgage Bankers Association (MBA) Data: The MBA seasonally adjusted purchase application index, which is a measure of the number of people filling out loan applications to buy a home, is down 18 percent from its peak in September 2005. With presumably more applications being filled out by borrowers who now have to shop around for a loan, how could sales have fallen by less than 18 percent?
Builder Data: The nation's two largest home builders, D.R. Horton and Lennar, are reporting that orders have declined 27 percent to 37 percent year-over-year. D.R. Horton and Lennar have dropped prices significantly in many markets to generate sales, while the resale market has not. How could their sales have fallen more than the resale market, even if new-home communities tend to be in fringe areas?
Realogy Corp. Data: Realogy, which is the parent company of Century 21, Coldwell Banker and ERA, participated in roughly 1.9 million brokerage-related transactions in 2006 compared with 2.3 million in 2005, representing a year-over-year decline of 18 percent nationwide.
2005-2006 NAR State Data: The National Association of Realtors state data does show sharp year-over-year corrections in major states: 28 percent drop in Florida, 24 percent drop in California, and a 28 percent drop in Arizona. Our data, however, shows the sales have probably dropped by 34 percent, 27 percent and 38 percent, respectively. The national numbers include some large states where sales volumes have not corrected substantially, such as in Texas and Ohio, but we believe these markets are not very healthy for other reasons. Interestingly, our calculations were tracking very closely with NAR data through 2005, as illustrated above. We did investigate NAR methodology and have found absolutely no reason to believe that the NAR is intentionally misleading anyone, as some have suggested.
New-Home Data: The Census Bureau calculation of new-home data does not calculate sales net of cancellations, and cancellations are running much higher than normal right now, which is why the sales numbers overestimate actual sales. The preponderance of evidence shows that the housing market in vibrant areas where home building is prevalent has corrected much more than some people believe it has.
In summary, we believe that the Fed should know that the housing market correction has been quite steep and is also not showing signs of bottoming out, as evidenced by all of the above information, as well as significant additional research we have conducted. While the Fed has far more to consider than housing, it should know that the housing market could sure use some lower interest rates to help achieve stability soon.
John Burns is the founder of Real Estate Consulting in Irvine, Calif., which monitors changes in real estate market conditions and provides consulting services, including strategic planning, market research and financial analysis. He can be reached at jbrec@realestateconsulting.com.
Thank you John, for giving me some new, updated info.
Closing Data: We purchase and compile actual home closing data for approximately 181 counties across the country, which captures the counties where about 55 percent of the U.S. population lives and a significant percentage of all of the counties where the large home builders are active. This data shows that sales have fallen 22 percent if you compare sales over the last 12 months to the prior 12 months. On a straight year-over-year comparison, the decline is much more.
Mortgage Bankers Association (MBA) Data: The MBA seasonally adjusted purchase application index, which is a measure of the number of people filling out loan applications to buy a home, is down 18 percent from its peak in September 2005. With presumably more applications being filled out by borrowers who now have to shop around for a loan, how could sales have fallen by less than 18 percent?
Builder Data: The nation's two largest home builders, D.R. Horton and Lennar, are reporting that orders have declined 27 percent to 37 percent year-over-year. D.R. Horton and Lennar have dropped prices significantly in many markets to generate sales, while the resale market has not. How could their sales have fallen more than the resale market, even if new-home communities tend to be in fringe areas?
Realogy Corp. Data: Realogy, which is the parent company of Century 21, Coldwell Banker and ERA, participated in roughly 1.9 million brokerage-related transactions in 2006 compared with 2.3 million in 2005, representing a year-over-year decline of 18 percent nationwide.
2005-2006 NAR State Data: The National Association of Realtors state data does show sharp year-over-year corrections in major states: 28 percent drop in Florida, 24 percent drop in California, and a 28 percent drop in Arizona. Our data, however, shows the sales have probably dropped by 34 percent, 27 percent and 38 percent, respectively. The national numbers include some large states where sales volumes have not corrected substantially, such as in Texas and Ohio, but we believe these markets are not very healthy for other reasons. Interestingly, our calculations were tracking very closely with NAR data through 2005, as illustrated above. We did investigate NAR methodology and have found absolutely no reason to believe that the NAR is intentionally misleading anyone, as some have suggested.
New-Home Data: The Census Bureau calculation of new-home data does not calculate sales net of cancellations, and cancellations are running much higher than normal right now, which is why the sales numbers overestimate actual sales. The preponderance of evidence shows that the housing market in vibrant areas where home building is prevalent has corrected much more than some people believe it has.
In summary, we believe that the Fed should know that the housing market correction has been quite steep and is also not showing signs of bottoming out, as evidenced by all of the above information, as well as significant additional research we have conducted. While the Fed has far more to consider than housing, it should know that the housing market could sure use some lower interest rates to help achieve stability soon.
John Burns is the founder of Real Estate Consulting in Irvine, Calif., which monitors changes in real estate market conditions and provides consulting services, including strategic planning, market research and financial analysis. He can be reached at jbrec@realestateconsulting.com.
Thank you John, for giving me some new, updated info.
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