Tag Archives: Bedford Corners NY Homes

Bedford Corners NY Homes

San Francisco’s housing market may have peaked | Bedford Corners Real Estate

The signs and numbers are already lining up.

According to Federal Housing Finance Agency data on our glorious Housing Bubble 2, house prices are doing what they’ve been doing for years: they’re surging. In the first quarter, they rose 6.0% year-over-year.

“The steep, multi-year rise in U.S. home prices continued in the first quarter,” explained FHFA Deputy Chief Economist Andrew Leventis on Wednesday. So house price are going up everywhere. Well, not everywhere.

In the once hottest metropolitan statistical area where house prices have surged in the double digits for years – San Francisco, Redwood City, and the city of South San Francisco which make up the tip of the Peninsula – was the sole exception: there, house prices fell 2.5% in Q1 year-over-year.

It was the first decline since Q2 2011, when the last housing bust ended. This chart shows the year-over-year percentage change per quarter of the FHFA’s House Price Index (HPI). Note how many times prices increased between 10% and 20%-plus:US San Francisco house price changes FHFA 2017 Q1Wolf Street

The HPI is based on data from mortgages that lenders have sold to Fannie Mae and Freddie Mac or that were guaranteed by them. These mortgages are capped – for the San Francisco area, at $636,150. In San Francisco itself, the median house price is about $1.35 million and the median condo price about $1.1 million, according to Paragon Real Estate  in San Francisco. With a 20% down-payment, the home could be priced at $800,000 to qualify. I know buyers who made a much bigger down payment – given how little their money earns at the bank – to get a conforming mortgage because they wanted to benefit from the lower rates.

This is what the index looks like, including the ominous kink at the top, the first such sharp kink since the end of Housing Bubble 1:

US San Francisco house prices FHFA 2017 Q1Wolf Street

In terms of price movements, how close is the HPI to the median price?

  • During Housing Bubble 1, the HPI double-peaked in Q3 2006 and Q2 2007. By comparison, the median price in San Francisco (as opposed to the larger area the HPI covers) peaked in November 2007.
  • The HPI plunged 23% and bottomed out in Q2 2011. The median price in San Francisco plunged 27% and bottomed out in Q1 2012.
  • The HPI then soared 83% to peak in Q4 2016. The median price in San Francisco soared over 100% – and stalled in early 2016…

“Stalled” may be too optimistic a term. Paragon Real Estate notes that the three-month moving average of the February-April median price of condos was about flat year-over-year with 2016 and 2015; so two years of essentially no movement. And house prices fell from the same period in 2016.

So the turning points of the HPI were leading indicators of turning points in the median price in San Francisco, though the HPI’s movements were less steep, plunging a little less during the bust, and soaring a little less during the boom. Now San Francisco’s housing market is into the next phase.

CoreLogic’s data corroborates the lumpy nature of the San Francisco housing market; the median price in April for all types of homes dropped 4% year-over-year to $1.3 million, with sales volume dropping 12%.

And here may be part of the reason for the lumpiness in the housing market: The construction boom has been throwing thousands of new housing units – all condos and apartments – on the market every year in recent years, and will continue to do so, just as employment growth, according to California’s Employment Development Department, has slowed down sharply:

US San Francisco employment 2017 04Wolf Street

Note that the “labor force” is based on the number of residents in San Francisco; “employment” is based on the number of jobs in San Francisco, including those jobs filled by people who commute into the city.

The labor force in San Francisco fell to 559,100 in April, the lowest since June 2016 and up only 4,500 year-over-year. This is the crucial indicator for housing demand. Employment fell to 543,900 – essentially flat in 2017 and up 7000 year-over-year. So far in 2017, year-over-year employment increases ranged from 5,000 to 8,700 jobs per month. This might sound like a lot, but…

  • The year-over-year increases in January-April 2016 ranged from 12,900 to 17,000 a month.
  • The year-over-year increases in January-April 2015 ranged from 21,100 to 22,800 a month.

This chart shows the monthly employment gains and losses on a year-over-year basis going back to 2009. Note the sharp decline in gains that started in early 2015:

US San Francisco employment growth_2017 04Wolf Street

Even as employment gains are tapering off, thousands of condos and apartments have come on the market and continue to come on the market every year as a result of a historic construction boom, with new towers sprouting like mushrooms in certain parts of the City. Almost all of them are high-end. So in addition to the market facing a dose of supply-and-demand reality, it also faces a problem of affordability, with not enough people making enough money even in the tech sector to buy or rent at those dizzying levels.

 

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http://www.businessinsider.com/san-franciscos-housing-market-may-have-peaked-2017-5

 

Mortgage rates average 4.16% | Bedford Corners Real Estate

Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), showing average fixed mortgage rates moving higher for the seventh consecutive week.

News Facts

  • 30-year fixed-rate mortgage (FRM) averaged 4.16 percent with an average 0.5 point for the week ending December 15, 2016, up from last week when it averaged 4.13 percent. A year ago at this time, the 30-year FRM averaged 3.97 percent.
  • 15-year FRM this week averaged 3.37 percent with an average 0.5 point, up from last week when it averaged 3.36 percent. A year ago at this time, the 15-year FRM averaged 3.22 percent.
  • 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.19 percent this week with an average 0.4 point, up from last week when it averaged 3.17 percent. A year ago, the 5-year ARM averaged 3.03 percent.

Average commitment rates should be reported along with average fees and points to reflect the total upfront cost of obtaining the mortgage. Visit the following link for the Definitions. Borrowers may still pay closing costs which are not included in the survey.

Quote
Attributed to Sean Becketti, chief economist, Freddie Mac.

“As was almost-universally expected, the FOMC closed the year with its one-and-only rate hike of 2016. The consensus of the committee points to more rate hikes in 2017. However, the experience of this year combined with the policy uncertainty that accompanies a new Administration suggests a wait-and-see outlook.

“This week’s mortgage rate survey was completed prior to the FOMC announcement. The 30-year mortgage rate rose 3 basis points on the week to 4.16 percent. The MBA’s Applications Survey posted drops in both refinance and purchase applications, registering the impact of recent mortgage rate increases. If rates continue their upward trend, expect mortgage activity to be significantly subdued in 2017.”

Electric out from area storm | Bedford Real Estate

Dear NYSEG Customer,

As a result of several rounds of lightning, severe wind and heavy rain beginning last evening, we’re currently reporting approximately 8,000 customers without power in our Brewster Division (parts of Westchester, Putnam and Dutchess counties). The outage count is down from a peak of more than 15,000 early this morning.

Easy ways to stay informed:

  • Report outages, view estimated restoration time and more by going to mobile-friendly Outage Central, or call our electricity emergency line at 1.800.572.1131.

  • Sign up to receive NYSEG Outage Alerts by text message, email, or voice message.

Our local crews and support personnel have been working since the outset and we are continuing to bring in additional resources – including line and tree crews – from across the state.

As we continue to respond to downed wires incidents to ensure public safety, we expect to have 90% of the original storm-related outages restored by 1 p.m. tomorrow.
For the latest outage counts; outage locations by county, municipality and streets/roads; and estimated restoration times (as they are available), visit Outage Central.

 

If your power is interrupted go toNYSEG’s Outage Central. Report outages and view estimated restoration times and outage maps at Outage Central from your computer or smart phone.
How we restore power: Our first priority is your safety. In the case of a large interruption, we first repair the main facilities (transmission lines, substations) that bring electricity to your neighborhood. Learn more by clicking here.
If someone in your household uses electrically powered life-sustaining equipment enroll in our program at 1.800.572.1111 to be updated on power restoration efforts if the duration of an outage extends beyond 24 hours.
To report a life-threateningelectricity emergency, call us at1.800.572.1131 or call 911. To report a natural gas emergency or if you smell a natural gas odor, call us at1.800.572.1121 or call 911.
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Is the Lack of Credit Crippling Local Housing Recoveries? | Bedford Corners Real Estate

A new report from Pro Teck Valuation Services’ Home Value Forecast suggests that the availability of credit in local markers influences local housing recoveries and accounts for dramatic differences in home prices.

HVF looked at regular average sold prices versus total mortgage trends in San Francisco and Detroit and found that in San Francisco, buyers have averaged 20+% down over the last 14 years to create loan to value ratios between 67 and 82 percent.  In Detroit buyers have averaged LTVs between 86 and 101 percent.  Collateral Analytics, Pro Teck’s partner in Home Value Forecast, found that San Francisco home prices are at an all-time high while Detroit is still trying to return to pre-crash levels, suggesting a direct relationship between LTVs, one of the critical factors determining mortgage approvals, and higher prices.  Conversely, higher LTVs in Detroit may make it more difficult buyers to get financing.

2015-09-24_12-10-59

2015-09-24_12-11-49

 

The median LTV levels for closed mortgages in August was 80 for conventional purchase loans and 96 for FHA purchase loans, according to Ellie Mae.

The HVF authors also examined the Phoenix-Mesa-Scottsdale CBSA and found that LTV levels vary from neighborhood to neighborhood within the metro area. The HVF update reported that in Scottsdale, average home prices have been rebounding steadily since 2011 and now are 20 percent below all-time highs after dropping 37.5 percent. Apache Junction, AZ, another city within the CBSA, is still 36 percent below its all-time high. At the height of the housing crisis, homes in Apache Junction lost more than half their value. The community also had more homeowners with high LTV loans foreclosed, leading to a steeper drop in home prices and a slower recovery.

 

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http://www.realestateeconomywatch.com/2015/09/is-the-lack-of-credit-crippling-local-housing-recoveries/

Existing Home Sales fall 4.8% | Bedford Corners Real Estate

Existing Home Sales in the United States fell 4.8 percent to a seasonally adjusted annual rate of 5310 Thousand in August from a downwardly revised 5580 Thousand in July of 2015. It is the lowest figure since April, below market expectations. The median sale price went up 4.7% yoy and the months’ worth of supply rose 0.3 to 5.2. Existing Home Sales in the United States averaged 3842.52 Thousand from 1968 until 2015, reaching an all time high of 7250 Thousand in September of 2005 and a record low of 1370 Thousand in March of 1970. Existing Home Sales in the United States is reported by the National Association of Realtors.

United States Existing Home Sales

 

Actual Previous Highest Lowest Dates Unit Frequency
5310.00 5480.00 7250.00 1370.00 1968 – 2015 Thousand Monthly
SA
Existing Home Sales occurs when the mortgage is closed. Mortgage closing usually takes place 30-60 days after the sales contract is closed. . This page provides the latest reported value for – United States Existing Home Sales – plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. Content for – United States Existing Home Sales – was last refreshed on Monday, September 21, 2015.

 

Calendar GMT Reference Actual Previous Consensus Forecast (i)
2015-07-22 03:00 PM Jun 5.49M 5.32M(R) 5.4M 5.2M
2015-08-20 03:00 PM Jul 5.59M 5.48M 5.44M 5.4M
2015-09-21 03:00 PM Aug 5.31M 5.58M 5.53M 5.4M
2015-10-22 03:00 PM Sep 5.6M
2015-11-23 03:00 PM Oct 5.6M
2015-12-22 03:00 PM Nov 5.5M

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http://www.tradingeconomics.com/united-states/existing-home-sales

 

Credit News | Bedford Corners Real Estate

Some Great Ways to Take Advantage of an “Average to Good” or “Excellent” Credit Score
For those who achieve an “average to good” FICO score (660 and above) or an “excellent” score (740 and above), there are many ways to take advantage of this achievement by opening new doors for opportunity and savings. As a real estate/financing professional, you can share these tips with your client base to bring value added and allow your clients to do further business with you.
Here are some things those with great credit can take advantage of (but must be aware of the potential downsides):
● Transferring Credit Card Balances
Many credit cards can charge an exorbitant interest rate, and these rates coupled with debt can lead to large payments and wasted money. In fact, the average credit card debt in the US is currently over $6,500. Fortunately, those with great credit are eligible for a method to pay debt off rather quickly and easily. People with great credit should be eligible for a 0 percent interest rate on balance transfers, which essentially allows one to transfer credit card debt from a high interest card to a no interest account for a certain time period.
It’s important to note a few things when considering this option:
– Some of these cards will slap on a 3% fee for transferring balances, and you should make sure to find a card that doesn’t charge this fee.
– Opening new credit reduces your average age of credit which will drop your credit scores.  Do not open new cards if you plan on applying for a mortgage or loan  within 2 years since scores may drop substantially after opening new credit.  Make sure the cards you open are done strategically and not often.
●​ Credit Card Upgrades
High FICO scores will also make consumers eligible for the best credit card offerings. Many of the cards offered to those above a 660 score have better benefits, rewards, and perks unavailable to others. In addition, these cards often offer sign-on bonuses.  Clearly if your scores are above a 740 the perks are even better.   However, consumers have to make sure that they follow our tips when opening a new card in order to maintain their score (see the tips here) and should contact us with any questions.
●​ Home Refinance
Those with great credit can also take advantage of historically low home interest rates. With a higher FICO score, many can lock in a much better rate for their mortgage. Even a small improvement in interest rates can lead to savings in the hundreds of thousands over the life of a mortgage.
●​ Negotiating better interest rates or transfer offers with current credit cards
If you have existing cards and have excellent credit scores you can ask the creditor for lower interest rates or transfer offers on your existing cards.  This is great if you don’t want to reduce your scores by opening new credit.
● ​Requesting limit increases on current cards
The higher your credit limits the more leeway you have to charge without reducing your credit scores.  Since balance-to-limit ratios on revolving credit (credit cards) must be under 10% for the best score increases, it is great to have high limits.  Calling your creditor and asking for a limit increase can help your scores.  The creditor will pull your credit reports and scores for approval so the scores can drop a little from the inquiry.  If you have had many third party inquiries during the year it could drop scores significantly and it might be best to wait a year from the latest third party review.
Do you have any credit questions?
Tracy Becker, President
155 White Plains Road
Suite 200
Tarrytown, NY 10591
or  (toll free) 866-388-9400
F :(914) 524-5014 ​​

February Existing Homes Rise | Bedford Corners Real Estate

Sales of existing homes rose 1.2% in February to a seasonally adjusted annual rate of 4.88 million, the National Association of Realtors reported Monday. The gain was below expectations. Economists polled by MarketWatch had expected the sales rate to increase to 4.94 million in February from 4.82 million in January. Existing home sales remain soft, having been stuck below 5 million unit rate for two-and-a-half years. The median sales price of used homes hit $202,600 in February, up 7.5% from the year-earlier period. This is the biggest gain in a year. February’s inventory was 1.89 million existing homes for sale, a 4.6-month supply at the current sales pace. The number of homes available for sale was down 0.5% from the year-earlier period.

 

read more..

 

http://www.foxbusiness.com/markets/2015/03/23/february-existing-homes-rise-to-488-million-rate-but-stay-below-expectations/

Most renters are not ready (or willing) to buy | Bedford Corners Real Estate

The rent may be too damn high, but it’s not enough to turn most renters into buyers.

The gap between rental costs and household income is widening to “unsustainable levels” in many parts of the country, new research published Monday by the National Association of Realtors found, “and the situation could worsen unless new home construction meaningfully rises.” In the last five years, a typical rent rose 15% while the income of renters grew by only 11%, the study found. The top markets where renters have seen the highest increase in rents since 2009 are New York (51%), Seattle, (32%), San Jose, Calif., (26%), Denver, (24%) and St. Louis. (22%).

“Many of the metro areas that have experienced the highest rent increases are popular to millennials because of their employment opportunities,” Lawrence Yun, NAR’s chief economist said in a statement. “With a stronger economy and labor market, it’s critical to increase housing starts for entry-level buyers or else many will face affordability issues if their incomes aren’t compensating for the gains in home prices.”

But most renters are reluctant to buy. Only 12% of current renters say they plan to buy a home within the next year, according to the latest “Housing Confidence Index” published last week by real-estate company Zillow, although this was up 25% on the previous year. On a scale of 1 to 100, with a reading of more than 50 indicating general confidence, the housing confidence index rose to 70.6 in January 2015, up 4.4 points over the previous year.

 

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http://www.marketwatch.com/story/most-renters-are-not-ready-or-willing-to-buy-2015-03-14

Move Quickly through the Mortgage Approval Process before Rates Climb | #BedfordCorners Real Estate

If you’ve got the itch to ditch your landlord and take the leap to homeownership, mortgage rates are still low by historical standards. But beware because they are expected to begin creeping higher throughout the year.

“The cost of renting is really high right now. Rents have been rising and rising,” says Lawrence Yun, chief economist at the National Association of Realtors. “Renters are getting squeezed, and some want to convert to ownership.”.

The NAR expects 30-year, fixed-rate mortgages to average 3.80 percent in the first quarter. However, mortgage rates are forecast to start inching higher throughout the year. The NAR forecasts an average 4 percent rate in the second quarter, 4.3 percent in the third quarter and 4.7 percent in the fourth quarter.

Economic forces, including an improving U.S. labor market and faster economic growth, are conspiring to push mortgage rates higher this year. “The Federal Reserve is likely to raise short-term interest rates in the summer, which will be a signal for the rest of the market for rates to go higher,” Yun says.

“There’s a window of opportunity for buying and refinancing at crazy-low rates, but it’s closing,” says Gina Pogol, loan expert at Charlotte, North Carolina-based LendingTree.

If this is the year you want to sign on the dotted line and become a homeowner, experts have several suggestions to help you move quickly through the mortgage approval process.

The overall lending environment remains stringent, and the best mortgage rates will be awarded to those with higher credit scores. Your credit score is a three-digit number generated using information on your credit report, and generally, the higher it is, the better. Here’s what you need to do to get the best rates.

Mind your credit score. “Minimum credit scores required by lenders have steadily dropped, and mortgage insurers’ underwriting guidelines have also loosened a bit, but it’s still a little tough,” Pogol says. “Average FICOs of applicants approved for home loans continue to come down, but they’re still hovering around the 700 mark. Unfortunately, three-fourths of U.S. consumers have scores lower than 700.”

What’s an ideal credit score? “To get the best rate, strive for above 740. That is the benchmark for A-plus lending,” says Jeannie Meronk, assistant vice president and mortgage loan officer at First State Bank of Illinois.

Visit your lender before you hit the open houses. Create a game plan that makes sense for your budget. It pays to talk to a lender about what you can afford and qualify for before you fall in love with a home outside your price range.

“It is really important from a budget standpoint to be shopping in the right price range,” Meronk says.

Just because you qualify for a certain loan amount doesn’t mean that is what you should spend. Consider your monthly budget, and determine what level of monthly payment feels comfortable. Remember that there will be other costs relating to homeownership, including property taxes, maintenance and unexpected repairs.

Also know that most sellers won’t take an offer seriously unless you have been preapproved for a loan. “Preapproval means actually applying for a loan, having your credit checked and your income documented. Preapproved means that as long as the property meets the lender’s requirements, you can close,” Pogol says.

Don’t make any changes to your financial picture. Once you’ve been preapproved, this is not the time to open new credit cards, change jobs, transfer large sums of money or make big-ticket purchases using credit. “Once you are preapproved, don’t apply for any new credit. If you go ahead and finance furniture, it can mess up the amount that you were preapproved for,” Meronk says.

If you are fortunate enough to have a parent, in-law or relative who is willing to gift you some or all of your intended down payment, be sure to talk with your lender about this. You will need to document this properly with a letter for your lender.

If you are thinking of buying a rental property, however, gift money can’t be used toward a down payment. It only can be used for a primary residence, according to Meronk.

If you are self-employed, expect to jump through more hoops. Be prepared to provide two years’ worth of tax returns. If your income fluctuated from one year to the next, underwriters will average the income from the two years. Also, underwriters will look at your income after your business deductions have been taken.

“It often comes as a surprise to self-employed applicants that their gross income isn’t counted by underwriters. It’s their taxable income that’s used. So if you write off every meal and every vacation as a business expense, that comes off the top of your income,” Pogol says.

 

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http://money.usnews.com/money/personal-finance/articles/2015/03/03/

Old Riverdale Home Yearns for the Countryside | Bedford Corners Real Estate

Although it was constructed in 1901 as a carriage house, this Riverdale building now acts as a 5BR, 3.5BA modern-day Bronx estate. Okay, “estate” might be too strong of a descriptor, but the home at 5450 Palisades Avenue sits on a half-acre lot and has a rather bucolic past; that is, well before it was picked up by a former Deputy Commissioner of Counter-Terrorism of the NYPD in 2006 for $2.3 million. Now asking $2.43 million, the home still shows traces of its former life as a carriage house through its high, beamed ceilings and three street-facing garage doors.

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http://ny.curbed.com/archives/2015/02/09/114yearold_riverdale_home_yearns_for_the_countryside.php