Tag Archives: Bedford Hills Real Estate for Sale

Mortgage rates average 4.14% | Bedford Hills Real Estate

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

News Facts

  • 30-year fixed-rate mortgage (FRM) averaged 4.14 percent with an average 0.5 point for the week ending March 30, 2017, down from last week when it averaged 4.23 percent. A year ago at this time, the 30-year FRM averaged 3.71 percent.
  • 15-year FRM this week averaged 3.39 percent with an average 0.4 point, down from last week when it averaged 3.44 percent. A year ago at this time, the 15-year FRM averaged 2.98 percent.
  • 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.18 percent this week with an average 0.4 point, down from last week when it averaged 3.24 percent. A year ago, the 5-year ARM averaged 2.90 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.

“The 10-year Treasury yield remained relatively flat this week. The 30-year mortgage rate fell 9 basis points to 4.14 percent, another significant week-over-week decline. Despite recent mortgage rate fluctuation, new home sales far exceeded expectations in February and jumped 6.1 percent to an annualized rate of 592,000.”

Average Boston-area rent falls for the first time in almost 7 years | Bedford Hills Real Estate

Boston, Mass - 06/20/2016 - Construction workers work on the Pierce apartment under construction at corner of Boylston and Brookline Streets in Boston, Mass, June 20, 2016. (Keith Bedford/Globe Staff)

After years of going up, rents in Boston’s super heated real estate market may have finally reached a peak.

Data released Thursday show that apartment rental prices fell slightly at the end of 2016 — the first drop since 2010 — amid a surge of new buildings that have opened in Boston and neighboring cities such as Cambridge, Chelsea, and Somerville.

The decline was modest, just 1.7 percent — or $36 a month on the average lease of $2,038, according to the rental-tracking firm Reis Inc. But it was the latest and clearest sign that the flood of construction in Boston is putting a lid on prices, at least at the upper end of the market.

“When you put that much supply on the market, you’re going to disrupt the equilibrium,” said Sue Hawkes, chief executive of Collaborative Cos., a real estate marketing firm in Boston. “That’s what’s happening.”

During the first nine months of 2016, more than 5,100 apartments, most renting for top dollar, opened in the heart of the Boston area. Another 7,200 are under construction in Boston alone, according to city figures.

While rents may no longer be uniformly escalating, city apartments remain unaffordable for many people, something unlikely to change over the next few years.

Only New York City and San Francisco have higher average rents than Boston.

Still, the expanding supply of rental units is clearly having an effect on the balance of supply and demand, according to Hawkes.

That means renters —at least well-heeled ones — can be choosers for a change.

To woo tenants, some landlords of new luxury buildings are offering free rent for a month or more, covering brokers’ fees and dangling gift cards or other goodies in front of prospective tenants.

But those kinds of perks aren’t available to the majority of renters, especially outside of the immediate Boston area. In parts of the region where there hasn’t been as much construction, rents continue to climb — in some places, far faster than in the market as a whole.

In Malden, for instance, rents are up 5 percent over the last year, according to separate data from the website ApartmentList.com.

Rents in Allston/Brighton and Mission Hill have climbed about 8 percent over the same period, said Ishay Grinberg, president of the Somerville-based website RentalBeast.

“People are getting priced out of downtown,” Grinberg said. “But all it’s doing is pushing rents up higher in areas that may have been slightly less desirable a couple of years ago.”

Over the last year, large apartment buildings have opened up in Chelsea and Quincy, Jamaica Plain, and Dorchester. In Brighton, a wave of new projects is getting underway, and renting at a brisk clip.

In November, Hamilton Co. opened a 49-unit building on Malvern Street in Allston, with two-bedroom units starting at $2,500 a month — less than half the going rate at new complexes in the Seaport District. It was nearly full in a week.

“That’s a very good sign for a working-class building,” said Hamilton’s president, Carl Valeri.

But the demand is also leading to a surge in land and construction prices in Boston’s outer neighborhoods. That’s putting financial pressure on projects that are aiming for a modest price point. If developers believe they won’t hit their projected rents when they open in two years, they might pull back on construction projects, said Travis D’Amato, a broker who specializes in multifamily investments at the real estate firm JLL.

“We are at an inflection point in the market,” D’Amato said. “If construction costs continue to rise and rents don’t continue to rise, we could see some slowdown in development.”

So far, there’s little evidence of that happening.

A number of major projects in outlying neighborhoods — such as the 650-unit Washington Village development near Andrew Square — are poised to get underway later this year.

More proposals, such as a plan to build 680 graduate student-oriented apartments on the grounds of St. Gabriel’s Monastery in Brighton, are going through the city’s approval process.

If those projects come to fruition, rents should eventually flatten in the outlying neighborhoods, just as they appear to be doing downtown, said Sheila Dillon, the city’s housing chief.

“What’s playing out is, really, exactly what we want,” Dillon said. “We want to see investors continue to build housing, and that’s taking pressure off the existing housing stock.”

Meanwhile, the market for high-end living downtown will soon face more tests.

Two huge rental buildings, 832 units in all, are set to open this spring in the Seaport.

In addition, a 585-unit complex in the South End is under construction, and a 45-story apartment tower is planned to break ground soon atop the Government Center Garage.

Builders who have recently launched downtown apartment projects say they’re not worried. Avalon North Station, a 38-story tower that opened in November, has leased 85 of its 503 units. That’s an impressive showing, especially during the holidays, said Scott Dale, senior vice president of development for the developer, Avalon Bay.

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http://www.bostonglobe.com/business/2017/01/05/average-boston-area-rent-falls-for-first-time-almost-years/2JMoK39bFND08wKhQT2BnM/story.html?s_campaign=email_BG_TodaysHeadline&s_campaign=

U.S. new home sales jump to four-month high | Bedford Hills Real Estate

New U.S. single-family home sales rose more than forecast to a four-month high in November, likely as expectations of higher mortgage rates drew buyers into the market.

Other data on Friday showed consumer sentiment holding at near a 13-year high this month as Americans anticipated that a stronger economy would create more jobs.

The Commerce Department said new home sales increased 5.2 percent to a seasonally adjusted annual rate of 592,000 units last month.

Economists polled by Reuters had forecast single-family home sales, which account for about 9.5 percent of overall home sales, rising 2.1 percent to a 575,000-unit rate last month.

New home sales, which are derived from building permits, are volatile on a month-to-month basis and subject to large revisions. Sales were up 16.5 percent from a year ago.

Separately, the University of Michigan said its consumer sentiment index edged up to a reading of 98.2 from 98 earlier this month. That was the highest reading since January 2004.

The U.S. dollar .DXY pared gains and was trading lower against a basket of currencies after the data. Prices of U.S. Treasuries were trading higher while U.S. stock indexes were mixed.

Mortgage rates have been rising rapidly in the wake of Donald Trump’s victory in the Nov. 8 U.S. presidential election, which economists say could be pulling procrastinators into the market in fear of further increases in borrowing costs.

Trump’s plan to boost infrastructure spending and cut taxes is expected to stoke inflation. A report on Wednesday showed sales of previously owned homes rose to near a 10-year high in November.

INVENTORY RISE

Since the election, the interest rate on a fixed 30-year mortgage has increased more than 70 basis points to an average of 4.30 percent, the highest level since April 2014, according to data from mortgage finance firm Freddie Mac.

Mortgage rates are likely to rise further after the Federal Reserve raised its benchmark overnight interest rate last week by 25 basis points to a range of 0.50 percent to 0.75 percent. The U.S. central bank forecast three rate hikes for next year.

Higher borrowing costs come at a time when house price increases are outstripping wage gains, which could make purchases unaffordable for many first-time buyers.

 

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http://www.marketbeat.com/stories.aspx?story=http%3a%2f%2ffeeds.reuters.com%2f~r%2freuters%2fbusinessNews%2f~3%2f96u5-iu_kio%2fus-usa-economy-idUSKBN14C1NI

Homeownership Rate Edges Up | Bedford Hills Real Estate

According to the Census Bureau’s Housing Vacancy Survey (HVS), the U.S. homeownership rate rose to 63.5% in the third quarter 2016, reversing the downward trend of homeownership rate nationwide. It is 60 basis points higher than the rate in the second quarter 2016, which is largely driven by the increase in the millennial and 65+ homeownership rates.

Compared to the peak at the end of 2004, the homeownership rate has steadily decreased by 5.7 percentage points and remains below the 25-year average rate of 66.2%.
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The millennial homeownership rate increased by 1.1% after reaching its own historically lowest level of 34.1% in the second quarter 2016. It suggests that millennials are gradually returning to the housing market.

Compared to a year ago, homeownership declined among all age groups except for those ages 35 to 44 and over 65 since a year ago. The homeownership rate for 44-45 age group decreased from 69.9% in the third quarter of 2015 to 69.1%, which is the largest drop among all age groups.

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The nonseasonally adjusted homeowner vacancy rate remained low at 1.8% in the third quarter 2016. At the same time, the national rental vacancy rate held at 6.8%, around the historical lowest level ever since 1990s.
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The HVS also provides a timely measure of household formations – the key driver of housing demand. Although it is not perfectly consistent with other Census Bureau surveys (Current Population Survey’s March ASEC, American Community Survey, and Decennial Census), the HVS remains a useful source of relatively real-time data.

The housing stock-based HVS revealed that the number of households increased to 118.6 million for the third quarter 2016. This is 1.2 million higher than a year ago and sustains gains recorded at the end of 2015. Growth in household formations will spur rental housing demand first, and ultimately, home sales.

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http://eyeonhousing.org/2016/10/homeownership-rate-edges-up/

Builder Confidence Remains Solid in October | Bedford Hills Real Estate

Builder confidence in the market for newly constructed single-family homes remained on firm ground in October, declining two points to a level of 63 on the National Association of Home Builders/Wells Fargo Housing Market Index (HMI).

hmi_oct

Despite the decline, the HMI now stands at its second-highest level in 2016, a sign that the housing recovery continues to make solid progress. However, builders in many markets continue to express concerns about shortages of lots and labor. Mortgage rates remain low and the HMI index measuring future sales expectations has been over 70 for the past two months. These factors will sustain continued growth in the single-family market in the months ahead.

Derived from a monthly survey that NAHB has been conducting for 30 years, the NAHB/Wells Fargo Housing Market Index gauges builder perceptions of current single-family home sales and sales expectations for the next six months as “good,” “fair” or “poor.” The survey also asks builders to rate traffic of prospective buyers as “high to very high,” “average” or “low to very low.” Scores for each component are then used to calculate a seasonally adjusted index where any number over 50 indicates that more builders view conditions as good than poor.

Two of the three HMI components posted losses in October. The component gauging current sales conditions dropped two points to 69 and the index charting buyer traffic fell one point to 46. Meanwhile, the index measuring sales expectations in the next six months rose one point to 72.

 

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http://eyeonhousing.org/2016/10/builder-confidence-remains-solid-in-october/

Mortgage rates average 3.54% | Bedford Hills Real Estate

Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), showing average fixed mortgage rates increasing to their highest level since late June.

News Facts

  • 30-year fixed-rate mortgage (FRM) averaged 3.54 percent with an average 0.5 point for the week ending November 3, 2016, up from last week when it averaged 3.47 percent. A year ago at this time, the 30-year FRM averaged 3.87 percent.
  • 15-year FRM this week averaged 2.84 percent with an average 0.5 point, up from last week when they averaged 2.78 percent. A year ago at this time, the 15-year FRM averaged 3.09 percent.
  • 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.87 with an average 0.4 point, up from last week when it averaged 2.84 percent. A year ago, the 5-year ARM averaged 2.96 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.

“A jump last week in the PCE — the price index tracked most closely by the Fed — raised the prospect that inflation might not be completely dead after all. Investors reacted by driving the yield on the 10-year Treasury to its highest point since June. The 30-year mortgage rate jumped 7 basis points to 3.54 percent, the largest 1-week increase in over six months.”

New York requires maintenance of zombie homes | Bedford Hills Real Estate

The state of New York is taking its fight against zombies homes to the next level, as the state announced a series of new regulations for mortgage lenders and servicers that aim to hold the companies “accountable” for the maintenance of abandoned foreclosures.

Earlier this year, New York Gov. Andrew Cuomo signed what the state called “sweeping” legislation to reform the state’s foreclosure process and address the state’s issues with zombie homes.

The state’s new laws impose a pre-foreclosure duty on banks and servicers to maintain zombie homes, creates an electronic registry of abandoned properties, and expedites foreclosure for vacant and abandoned properties to get them back on the market, among other requirements.

Cuomo’s office announced Tuesday what lenders and servicers will be required to do under the new laws and what punishment the companies will face if they don’t comply.

According to Cuomo’s office, the New York Department of Financial Services proposed a new regulation that mandates lenders and mortgage services report vacant and abandoned properties, in accordance with the state’s new laws.

Under the state’s new laws, lenders and mortgage servicers must complete an inspection of a property subject to delinquency within 90 days and must secure and maintain the property where the bank or servicer has a reasonable basis to believe that the property is vacant and abandoned, the NYDFS said.

Additionally, lenders and mortgage servicers will now be required to report all vacant and abandoned properties to the NYDSFS and submit quarterly reports detailing their efforts to secure and maintain the properties and any foreclosure proceedings.

According to the announcement, if the NYDFS determines that an abandoned or vacant house not “properly maintained” by the lender or mortgage servicer, the NYDFS will “exercise its authority” to hold the bank or mortgage servicer “accountable.”

According to the NYDFS, that means that lenders and servicers will face a civil penalty of $500 per day per property for violations of the new regulations.

“Under Governor Cuomo’s leadership, New York passed groundbreaking ‘zombie’ legislation that will provide real relief to communities all across the state,” NYDFS Superintendent Maria Vullo said. “DFS will take necessary and appropriate action to make sure this law is followed and those responsible are held accountable.”

These new laws and regulations aren’t the only steps undertaken recently by New York in its fight against zombie homes and neighborhood blight.

In July, New York Attorney General Eric Schneiderman announced a new program that will help New York’s city governments track and address zombie homes in their respective cities.

According to Schneiderman’s office, the Zombie Remediation and Prevention Initiative will provide $13 million in grants to local governments to fight zombie homes.

And earlier in July, New York City announced plans to launch a “first of its kind” program to buy a number of delinquent loans from the Federal Housing Administration as part of an effort to keep struggling homeowners from losing their homes to foreclosure.

 

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http://www.housingwire.com/articles/38149-new-york-announces-new-requirements-for-maintenance-of-zombie-homes?eid=311691494&bid=1541935

Riskiest areas see fewer homes insured as premiums rise | Bedford Hills Real Estate

As Florida and the Carolinas begin digging out from the from the record flooding and high winds that Hurricane Matthew delivered over the weekend, thousands of homeowner insurance claims are sure to follow.

The Consumer Federation of America, a Washington D.C.-based consumer advocacy group expects about 100,000 homeowners to file damage claims for as much as $7.5 billion from the Category 3 storm, though well short of the record claims made from the most severe storms such as Hurricane Katrina or Hurricane Andrew, where damage claims were more than $100 billion.

But if it turns out that fewer-than-expected insurance claims will be filed for damage, it may not just because Hurricane Matthew was a less-powerful storm than expected, it may be because far fewer homeowners are carrying property insurance.

That’s the analysis from Trulia.com, a San Francisco-based real estate research firm, which looked at homeowners’ insurance rates in some of the most hurricane-prone regions of the Southeast and mid-Atlantic, the so-called southernmost “Hurricane Alley” states comprised of Florida, Georgia and the Carolinas. The study also looked at Gulf Coast insurance rates including Texas. Hurricane insurance is often supplemental, but is typically required by mortgage lenders if the home is located in a storm-prone market like Florida.

Here’s another reason to use Facebook at work. The social media giant launches “Facebook at Work” on Monday, a new business-messaging tool that will represent the first time it charges for its services.

Overall, the U.S. Census noted that in 2014, 94.7% of homeowner households that had outstanding mortgage obligations had property insurance. The property insurance rate however dropped to 75.5% of those homeowner households that did not have any mortgage.

While property insurance is typically required by banks to protect their investment while the mortgage is being paid, Trulia’s data shows that many homeowners are dropping insurance once the mortgage is extinguished, primarily due to cost.

The percentage of Miami households reporting that they had homeowners’ property insurance fell to 78% in 2014 down from 90% in 2006, according to U.S. Census data cited by Trulia. Tampa-St. Petersburg, Fla., saw the steepest drop in insured homes, to 79% in 2014 from 92% in 2006, Trulia said.

Nationally, the number of insured homes fell to 89.2% from 94.1% eight years ago. Almost all major southeastern U.S. metros had insured rates below the national average, Trulia said.

On a national basis, Trulia noted that premiums have climbed on average more than 28%, with 10 of the 25 most expensive markets for homeowners insurance in the Southeast.

 

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Sales of previously owned homes decline | Bedford Hills Real Estate

United States Existing Home Sales  1968-2016 

Sales of previously owned houses in the United States declined 0.9 percent to a seasonally adjusted annual rate of 5330 thousand in August of 2016. It is the second consecutive decline, missing market expectations of a 1.1 percent gain. Sales of single family homes shrank 2.3 percent which those of condos increased 10.5 percent. The average price fell 1 percent and the months’ worth of supply went down to 4.6. Existing Home Sales in the United States averaged 3868.24 Thousand from 1968 until 2016, 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
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http://www.tradingeconomics.com/united-states/existing-home-sales

 

Marcel Breuer-Designed House Hits The Market | Bedford Hills Real Estate

A three-bedroom, two-bathroom single-family house designed by Marcel Breuer was quietly listed by ReeceNichols in June, according to real estate firm’s website. The asking price for the Snower Residence at 6701 Belinder Ave. in Mission Hill’s, Kan., is $925,000.

Completed in 1954, the polygonal residence features an open floor plan atop a cantilever base, a now-ubiquitous structural design element that Breuer first championed in furniture design and later in architecture. The Bauhaus alum also designed the home’s interior, much of which remained intact when the residence was purchased by Rob Barnes and Karen Bisset in 2013, according to the Kansas City Star. Furnishings include a Herman Miller rocking chair designed by Charles and Ray Eames and Ludwig Mies van der Rohe’s Barcelona Sofa for Knoll Furniture (below). The couple installed a new roof, refinished the cedar-plank ceilings, and repainted the exterior to its original blue and orange hues.

The current owners restored the living room's cedar-plank ceilings and kept much of Breuer's furnishings, including Mies' Barcelona Sofa (left.)
ReeceNicholsThe current owners restored the living room’s cedar-plank ceilings and kept much of Breuer’s furnishings, including Mies’ Barcelona Sofa (left.)
A bedroom in the Snower Residence with Breuer's signature sliding windows and an Eames Rocking Chair (right.)
ReeceNicholsA bedroom in the Snower Residence with Breuer’s signature sliding windows and an Eames Rocking Chair (right.)

According to ReeceNichols’ website, Robert Snower asked Breuer to design a house that would stand alone among the sea of his Ranch-style neighbors. “Of course I am asking the impossible,” wrote Snower, who first saw Breuer’s residential work in the 1952 edition of House and Home Magazine. “[My wife and I] hope for a house which we will consider exceedingly handsome, yet which will not too seriously offend what in our opinion are duller eyes than our own. Most of the newer houses around here fit the description of what I believe are called ‘Sunset Ranch Homes,’ ” a variation of the Colonial Ranch style that was popular at the time. “This we do not want.” Snower owned the home until his death in 2013.

 

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http://www.residentialarchitect.com/projects/marcel-breuer-designed-house