Tag Archives: South Salem NY Realtor

New home sales decline 1.9% | South Salem Real Estate

Sales of new single-family houses in the United States declined 1.9 percent to a seasonally adjusted annual rate of 563,000 in October of 2016, compared to market expectations of a 0.3 percent rise. Figures for the previous month were revised down by 19,000 to 574,000. New Home Sales in the United States averaged 651.70 Thousand from 1963 until 2016, reaching an all time high of 1389 Thousand in July of 2005 and a record low of 270 Thousand in February of 2011. New Home Sales in the United States is reported by the U.S. Census Bureau.

United States New Home Sales

 

 

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

Mortgage rates at 3.47% | South Salem Real Estate

Oct 13, 2016) – Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), showing average fixed mortgage rates following Treasury yields and moving higher.

News Facts

  • 30-year fixed-rate mortgage (FRM) averaged 3.47 percent with an average 0.6 point for the week ending October 13, 2016, up from last week when they averaged 3.42 percent. A year ago at this time, the 30-year FRM averaged 3.82 percent.
  • 15-year FRM this week averaged 2.76 percent with an average 0.6 point, up from last week when they averaged 2.72 percent. A year ago at this time, the 15-year FRM averaged 3.03 percent.
  • 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.82 percent this week with an average 0.4 point, up from last week when it averaged 2.80 percent. A year ago, the 5-year ARM averaged 2.88 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.

“This week the 10-year Treasury yield continued its climb as an increasing number of financial market participants foresee a December rate hike after a series of positive economic data releases. The 30-year fixed-rate mortgage moved up 5 basis points to 3.47 percent in this week’s survey, the first increase in one month. Even though we’ve seen economic activity pick up, consumer price inflation and implied inflation expectations remain below the Federal Reserve’s 2 percent target.”

Sales of new homes up | South Salem Real Estate

Sales of new single-family houses in the United States surged 12.4 percent to a seasonally adjusted annual rate of 654,000 in July of 2016. It is the highest figure since October of 2007 and much better than market expectations of 580,000. Figures for June were revised down by 10,000 to 582,000. New Home Sales in the United States averaged 652.45 Thousand from 1963 until 2016, reaching an all time high of 1389 Thousand in July of 2005 and a record low of 270 Thousand in February of 2011. New Home Sales in the United States is reported by the U.S. Census Bureau.

United States New Home Sales

 

Will Sellers Step up the Plate in 2016? | South Salem Real Estate

“It is important to recognize that 2016 is shaping up to be the best year in recent memory to sell. Supply remains very tight, so inventory is moving faster. Given the forecast that price appreciation will slow in 2016 to a more normal rate of growth, delaying will not produce substantially higher values, and will also see higher mortgage rates on any new purchase,” wrote Realtor.com Chief Economist Jonathan Smoke recently.

Should his sage advice to sellers fall on deaf ears, 2016 could produce one of the most miserable housing market in years.  After seven years of struggle, the issue no longer is demand, it’s supply. Anemic inventories are artificially driving up prices that keep first-time buyer trapped in rentals, which as expect to soar again this year.

Home sales prices have risen between 15 and 20 percent over the past three seasons, depending on which series you believe.  We’re less than 18 months away from reaching a national median sales price that’s higher than the very highest peak at the very top of the housing bubble in 2006.

Frozen stiff without enough equity to sell for nearly decade, owners at last have made it to the light at the end of the tunnel.  They can sell and cash out.  They can refi or take out a HELOC and stay put.  Moreover, with experts predicting that sale prices will moderate in 2016 to 4-5 percent appreciation from 6 percent as the market slow down to catch, this could be the perfect year to sell.

With the clock ticking on the opening of the 2016 season, now is the time potential sellers are making up their minds to sell or not.

Fannie Mae

In Fannie Mae’s December Home Purchase Sentiment Index, fewer than half of respondents said it’s a good time to sell (49 percent) and 41 percent said it’s a bad time to sell.  Not exactly a strong endorsement but at least movement in the right direction.  The best thing about the findings was that in November the sentiment to sell was even lower—48 percent said it was a good time and percent and 44 percent said it was a bad time.

 2016-01-07_13-11-01In December less than half of Fannie Mae’s survey sample said it’s a good time to sell.

The net percentage of respondents who say it is a good time to sell a house rose after falling for two months in a row – rising 4 percentage points to a net 8 percent positive at the end of the year.  Not much of an improvement over last year.

“Brightening economic prospects, if sustained, should stimulate demand for homeownership. However, continuing upward pressure on rental prices and constrained housing supply, particularly for starter homes, may mean prospective first-time home buyers could face affordability constraints,” said Fannie Mae’s Doug Duncan.

 

2016-01-07_12-51-57

 Twenty percent 0f Trulia’s sample of consumers said 2016 will he a better year to sell than 2015, and 36 percent more than in 2014.

Trulia

Trulia’s housing predictions survey showed real positive change as consumers recognized 2016 is a significantly better climate to sell than 2015 was. Some 20 percent said it will be better than 2015 to sell and 14 percent said it 2015 would he better than 2014, for a net gain of 36 percent in two years, more than a third of consumers.

 

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http://www.realestateeconomywatch.com/2016/01/will-sellers-step-up-the-plate-in-2016/

Will Sellers Step up the Plate in 2016? | South Salem Real Estate

“It is important to recognize that 2016 is shaping up to be the best year in recent memory to sell. Supply remains very tight, so inventory is moving faster. Given the forecast that price appreciation will slow in 2016 to a more normal rate of growth, delaying will not produce substantially higher values, and will also see higher mortgage rates on any new purchase,” wrote Realtor.com Chief Economist Jonathan Smoke recently.

Should his sage advice to sellers fall on deaf ears, 2016 could produce one of the most miserable housing market in years.  After seven years of struggle, the issue no longer is demand, it’s supply. Anemic inventories are artificially driving up prices that keep first-time buyer trapped in rentals, which as expect to soar again this year.

Home sales prices have risen between 15 and 20 percent over the past three seasons, depending on which series you believe.  We’re less than 18 months away from reaching a national median sales price that’s higher than the very highest peak at the very top of the housing bubble in 2006.

Frozen stiff without enough equity to sell for nearly decade, owners at last have made it to the light at the end of the tunnel.  They can sell and cash out.  They can refi or take out a HELOC and stay put.  Moreover, with experts predicting that sale prices will moderate in 2016 to 4-5 percent appreciation from 6 percent as the market slow down to catch, this could be the perfect year to sell.

With the clock ticking on the opening of the 2016 season, now is the time potential sellers are making up their minds to sell or not.

Fannie Mae

In Fannie Mae’s December Home Purchase Sentiment Index, Fewer than half of respondents in Fannie Mae’s survey of consumers said it’s a good time to sell (49 percent) and 41 percent said it’s a bad time to sell.  Not exactly a strong endorsement but at least movement in the right direction.  The best thing about the findings was that in November the sentiment to sell was even lower—48 percent said it was a good time and percent and 44 percent said it was a bad time.

 

read more…

 

http://www.realestateeconomywatch.com/2016/01/will-sellers-step-up-the-plate-in-2016/

Realtor.com, Airbnb partner to let homebuyers test-drive the neighborhood | South Salem Homes

Realtor.com and Airbnb have teamed up to allow potential homebuyers to “live like a local” by experiencing a specific neighborhood before purchasing.

Visitors to realtor.com will be able to book accommodations nationwide on Airbnb ranging from single-family homes to condos, lofts and other properties located near their desired neighborhood.

“This collaboration with Airbnb reinforces our commitment to giving consumers unparalleled insight to make informed real estate decisions,” said Ryan O’Hara, chief executive officer of Move. “Our relationship with Airbnb—a company that helps millions of people feel at home in communities around the world—allows us to reduce some of the unknown factors associated with relocating to a new community. It is what we mean when we say realtor.com puts the ‘real’ in real estate.”

“We’re pleased to team up with realtor.com to encourage and support the home buying process,” said Chip Conley, head of global hospitality & strategy at Airbnb. “As we offer a variety of unique accommodations in neighborhoods across the country, we’ll be able to allow potential homeowners the special opportunity to experience those neighborhoods as if they already live there – before making the decision to buy.”

Consumers who visit realtor.com to look at homes in new neighborhoods can select the option to “Airbnb before buying.”

 

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http://www.housingwire.com/articles/34291-realtorcom-airbnb-partner-to-let-homebuyers-test-drive-the-neighborhood

Mortgage Loan Rates Drop for Third Consecutive Week | South Salem Real Estate

The Mortgage Bankers Association (MBA) released its report on mortgage applications Wednesday morning. The report noted a week­over­week increase of 0.4% in the group’s seasonally adjusted composite index for the week ending April 3, following an increase of 4.6% for the week ending March 20.

Mortgage loan rates decreased on all types of loans last week. On an unadjusted basis, the composite index increased by 1% week­over­week.

The seasonally adjusted purchase index increased 7% compared to the week ended April 3. The unadjusted purchase index also rose by 7% for the week and is now 12% higher year­over­year.

The MBA’s refinance index decreased 3% week­over­week, and the percentage of all new applications that were seeking refinancing slipped from 60% to 57%, its lowest level since last October.

The MBA’s chief economist noted: Purchase mortgage application volume last week increased to its highest level since July 2013, spurred on by still low mortgage rates and strengthening housing markets.

Purchase volume has increased for three straight weeks now on a seasonally adjusted basis. Adjustable rate mortgage loans accounted for 5.5% of all applications, down from 5.6% in the prior week.

The FHA share of all applications rose from 12.8% a week ago to 13.2%, and the VA share increased from 10.5% to 10.7%.

 

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http://247wallst.com/housing/2015/04/08/mortgage-loan-rates-drop-for-third-consecutive-week/

U.S. Household Balance Sheet Improves Again | South Salem Real Estate

The balance sheet of U.S. households with real estate continues to improve – despite tight lending conditions – as increases in home prices continue. The real estate equity position of U.S. households (the difference between assets and liabilities) increased nearly 2.4% for the quarter according to NAHB tabulations of the fourth quarter Federal Reserve Flow of Funds.

The value household-owned real estate, including owner-occupied and second homes, totaled $20.6 trillion for the quarter. Total home mortgage debt outstanding stands at $9.4 trillion. The market value of real estate held by U.S. households increased $265 billion dollars during the quarter, while liabilities (home mortgages) remained virtually unchanged.

AssetLiability

Because the figures are not adjusted for inflation, it is useful to also examine the owners’ equity in real estate as a percentage of household real estate. The ratio is calculated by taking the aggregate equity position divided by the market value of owner-occupied real estate held by U.S. households. The higher the ratio the more favorable is the financial position of U.S. households with real estate. The current reading of 54.5% represents a significant improvement over the 39.1% registered as recently as the second quarter of 2011.

EquityPosition

The improvement in the balance sheet of U.S. households means fewer underwater homeowners, thereby unlocking housing supply and demand. This type of improvement in the balance sheet of U.S. households with real estate along with further improvements to job market could release pent-up housing demand.

 

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http://eyeonhousing.org/2015/03/u-s-household-balance-sheet-improves-again/

Mortgage Loan Rates Post Third Straight Weekly Rise | South Salem Real Estate

The Mortgage Bankers Association (MBA) released its report on mortgage applications Wednesday morning, noting a week-over-week decrease of 3.5% in the group’s seasonally adjusted composite index for the week ending February 20. That followed a drop of 13.2% for the week ending February 13. Mortgage loan rates increased on all five types of loans for the second consecutive week.

On an unadjusted basis, the composite index decreased by 12% week-over-week. The seasonally adjusted purchase index increased 5% compared to the week ended February 13. The unadjusted purchase index fell by 2% for the week and is now 2% lower year-over-year.

Home buying action is typically slow in January and February due to wintry weather. Home price increases have fallen sharply year-over-year, as Tuesday’s Case-Shiller home price index indicated. Interest rates are rising, likely in an effort to attract bond investors.

Adjustable rate mortgage loans accounted for 5.2% of all applications, down from 5.3% in the prior week.

The MBA’s refinance index decreased 8% week-over-week, and the percentage of all new applications that were seeking refinancing declined from 66% in the prior week to 62%.

The FHA share of all applications rose from 15.2% a week ago to 15.3%, and the VA share decreased from 8.0% to 9.6%.

The average mortgage loan rate for a conforming 30-year fixed-rate mortgage increased from 3.93% to 3.99%. The rate for a jumbo 30-year fixed-rate mortgage increased from 3.92% to 4.09%. The average interest rate for a 15-year fixed-rate mortgage increased from 3.24% to 3.28%.

 

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http://finance.yahoo.com/news/mortgage-loan-rates-post-third-123055690.html

What’s Happening to the Most Important Homes in Real Estate? | South Salem Real Estate

What’s really happening with homes in the bottom price tiers?

These are the most important homes in the entire real estate economy.  They are where the housing ladder begins: they are then entry point for new buyers, the starter homes that MUST be available and affordable for Millennials if the housing economy is to ever function again as it was meant to.  Until families ready to move up lists their starter homes, nothing is available to buy.

Reams have been written about tight credit stopping first time buyers but almost nothing about an equally serious problem. Homes on the lowest tier haven’t appreciated sufficiently for owners to sell—or even to make it possible for them to sell.

Despite the progress that has made since the housing crash, some 5.1 million homes, or 10.3 percent of all residential properties with a mortgage, were still in negative equity as of Q3 2014, according to CoreLogic.  Another 9.4 million had less than 20-percent equity (referred to as “under-equitied”), making it virtually impossible for them to sell or refinance.  That totals some 14.3 million homes or about 28 percent of homes with a mortgage are frozen in place.

A disproportionate number of lower cost homes are among this total, according to a new analysis from Black Knight Financial Services released this week. Black Knight’s latest Mortgage Monitor Report, based on data through the end of November 2014, found that home price recovery varies significantly for properties within different tiers of home values.  .A decade after the housing crash, some 85 percent of homes valued at less than $200,000 of no equity while 94 percent of homes valued at greater than $200,000 have equity.  Home price recovery for the lowest 20 percent of property values has lagged behind those it the top price tiers.

“We looked at HPI appreciation from pre-crisis peaks to today in the 10 states currently trailing the furthest behind their pre-crisis housing maximums,” said Barnes. “The data showed a clear difference in the levels of recovery among home price tiers. The Black Knight HPI separates home values for every geographical division into five equal tiers; those in the lowest 20 percent of home values have been lagging behind their higher-valued counterparts in recovery to pre-crisis peaks, sometimes considerably.

 

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http://www.realestateeconomywatch.com/2015/02/whats-happening-to-the-most-important-homes-in-real-estate/