Daily Archives: July 2, 2013

US home prices rise in May by most in 7 years | Armonk Homes

U.S. home prices jumped 12.2 percent in May from a year ago, the most in seven years. The increase suggests the housing recovery is strengthening.

Real estate data provider CoreLogic said Tuesday that home prices rose from a year ago in 48 states. They fell only in Delaware and Alabama. And all but three of the 100 largest cities reported price gains.

Prices rose 26 percent in Nevada to lead all states. It was followed by California (20.2 percent), Arizona (16.9 percent), Hawaii (16.1 percent) and Oregon (15.5 percent).

CoreLogic also says prices rose 2.6 percent in May from April, the fifteenth straight month-over-month increase.

Steady hiring and low mortgage rates have encouraged more Americans to buy homes. Greater demand, a limited number of homes for sale and fewer foreclosures have pushed prices higher. Prices are still 20 percent below the peak reached in April 2006, according to CoreLogic.

Sales of previously occupied homes topped the 5 million mark in May for the first time in 3 ½ years. And the proportion of those sales that were ‘‘distressed’’ was at the lowest level in more than four years for the second straight month. Distressed home sales include foreclosures and short sales. A short sale is when a home sells for less than what is owed on the mortgage.

Home sales are expected to increase in the coming months. That’s because the number of people who signed contracts to buy homes rose in June to the highest level since December 2006. There’s generally a one- to two-month lag between a signed contract and a completed sale.

One worry is that higher mortgage rates could slow the housing recovery. Still, rates remain low by historical standards. And increases in rates could boost home sales. That’s’ because many Americans may act to lock in the lower rates before they rise further.

A survey by the University of Michigan released last week found more Americans believe it is a good time to buy a home because both rates and prices are just starting to rise.

Rates have been trending higher for two months. And the average rate on a 30-year fixed mortgage leapt to 4.46 percent last week, according to mortgage buyer Freddie Mac. That’s the highest in two years and a point more than a month ago.

Mortgage rates surged after Federal Reserve chairman Ben Bernanke said last month that the Fed could scale back its bond buying later this year and end it next year if the economy continued to strengthen. The bond purchases have kept long-term rates down.

Mortgage Rate Rise Drives Sales | North Salem Real Estate

Pending home sales rose in May to the highest level since late 2006, possibly driven by buyer fears that mortgage rates will rise further.

The Pending Home Sales Index from the National Association of Realtors, based on contract signings, increased 6.7 percent to 112.3 in May from a downwardly revised 105.2 in April, and is 12.1 percent above May 2012 when it was 100.2; the data reflect contracts but not closings.

Contract activity is at the strongest pace since December 2006 when it reached 112.8; pending sales have been above year-ago levels for the past 25 months.

Existing-home sales are projected to increase 8.5 to 9.0 percent, reaching about 5.07 million in 2013, the highest in seven years; it would be slightly above the 5.03 million total recorded in 2007.

The PHSI in the Northeast was unchanged at 92.3 in May but is 14.3 percent above a year ago. In the Midwest the index jumped 10.2 percent to 115.5 in May and is 22.2 percent higher than May 2012. Pending home sales in the South rose 2.8 percent to an index of 121.8 in May and are 12.3 percent above a year ago. The index in the West jumped 16.0 percent in May to 109.7, but with limited inventory is only 1.1 percent above May 2012.

 

RealEstateEconomyWatch.com » Mortgage Rate Rise Drives Sales » Print.

Fourteen Major Markets Top Peak Prices | Mt Kisco Real Estat

Another measure of the strength of the housing recovery has found that April prices have pushed 14 major markets, including Omaha, Denver and Pittsburgh, over the peak prices they reached during the housing boom. Four, all in Texas, have reached new price levels twice as high as their previous peaks.

 

According to a new Rebound Report by Homes.com which is based on the site’s Local Market Index, a price performance summary on repeat sales of properties in the U.S. utilizing home pricing data from several sources.  The April Local Market Index found that single-family properties gained in all of the top 100 markets, improving from previous reporting periods.

 

The 14 markets that have made more than a 100 percent rebound are an increase from nine that topped their peak values in March.  With the exception of Denver and Pittsburgh, the markets that have exceeded their peak values are in the South, Southwest or Midwest.  All of the markets that have doubled their peak values are in Texas.  Most of them experiences price increases during the boom lower than the national median.

 

Price Percentage over Peak

 

1.San Antonio     233.11

 

2.Houston           223.49

 

3.Austin                   219.74

 

4.Dallas                   203.26

 

5.Oklahoma City    199.40

 

6.McAllen          184.12

 

7.Tulsa                  179.03

 

8.El Paso                  133.01

 

9.Omaha                  113.20

 

10.Little Rock          110.58

 

11.Pittsburgh          105.89

 

12.Wichita                  104.94

 

13.Baton Rouge  104.10

 

14.Denver                  101.72

“The latest round of report findings supports a growing confidence in the housing market. With home prices posting the strongest gains in seven years, the Rebound Report is another indicator of a positive turn. In one month alone, we have seen five new markets reach recovery,” said Brock MacLean, executive vice president of Homes.com. “Adding to that momentum, all top 100 markets recorded gains for the first time, indicating the recovery continues to build across the country.

 

RealEstateEconomyWatch.com » Fourteen Major Markets Top Peak Prices » Print.

NAHB to Critic: We’re Right for Wanting Lead-Paint Rule Reform | South Salem Real Estate

NAHB Remodelers chairman Bill Shaw sent the following to REMODELING today regarding a letter to the editor from Wayne Baruch that we entitled: “Why NAHB, Inhofe Are Wrong About Lead-Paint Rule.”

In response to Wayne Baruch’s letter published in this magazine on June 21, Mr. Baruch does not understand the reasonableness of the opt-out provision that the National Association of Home Builders (NAHB) supports and I testified to Congress about. Since the regulatory process began, NAHB has been involved in making this workable for remodelers but most importantly crafting a rule that protects children and pregnant women from lead hazards.

The bills NAHB supports, S. 484 and H.R. 2093, would reinstate the opt-out, permit emergency renovations to help families after disasters, and allow remodelers to correct paperwork errors.

The removal of the opt-out provision dismantles everything that the EPA included in its original 2008 RRP rule to ensure that it would not be overly costly to small businesses and inadvertently places home owners and their families at risk of exposure to lead.

As the costs of complying with the rule without an accurate lead test are revealed, homeowners balk at the price and opt to do the work themselves or not at all – both of which increase the chances of lead exposure if lead paint is present.

As many professional remodelers who comply with the rule can attest, they are being underbid by ‘fly-by-night’ contractors who are not certified or properly trained. Consumers who hire these contractors are risking the health of their family. This serves neither those rule-abiding remodelers like the people who attend Mr. Baruch’s RRP classes nor the intent of the rule.

The unavailability of an accurate test kit, which EPA promised by September 2010, is a major problem. NAHB has urged EPA to support the introduction of an accurate test kit for years because the current EPA approved test kit has such a high percentage of false positives that many projects are being completed under the RRP guidelines when in fact no lead exists. This puts an additional and unnecessary financial burden on the consumer and contractor and leads to the risky scenario involving untrained, fly-by-night contractors or DIY demolition.

Under the rule, if a pre-1978 home is tested and the results indicate there is no presence of lead-based paint, the contractor can bypass RRP compliance. NAHB supports this reasonable component to the rule, but it also hinges on the existence of an accurate testing kit.

 

NAHB to Critic: We’re Right for Wanting Lead-Paint Rule Reform – Lead-Safe Practices, Legislation, Remodeling – Remodeling Magazine.

5 ways to exceed your ultrawealthy sellers’ expectations | Waccabuc Real Estate

You’re about to go on a listing appointment for a multimillion-dollar property. What expectations will the sellers have and how will you meet them?

Most luxury clients expect much more from their agent than just posting pretty pictures of their property on the MLS and on various online sites where you syndicate your listings. What will it take for you to win the listing and get it sold?

1. Move from closing the prospect to creating a unique customer experience

Luxury sales were once based on controlling the prospect and expertly telling them what to do. Closing is an essential part of any sales process. Today’s luxury clients are smarter, well researched and tech savvy. They expect to control the process. Your role first and foremost is to provide them with the specific information they will need to make the best decision regarding their sale or purchase.

Going beyond this minimum level of service will require you to do much more. Find out what matters to your client, and structure her customer experience around what matters to her.

For example, many ultrawealthy clients are collectors. If your client collects vintage dolls, spend an hour reading up on this topic. Then, if you are showing this client property, ask questions that focus on how well the rooms where the collectibles will be displayed fit the client’s needs. This type of detailed focus on your client’s personal interests will make you stand out from competitors and earn you plenty of referrals as well.

– See more at: http://www.inman.com/2013/07/01/5-ways-to-exceed-your-ultrawealthy-sellers-expectations/#sthash.OtEsf0hu.dpuf

 

5 ways to exceed your ultrawealthy sellers’ expectations | Inman News.

The Power of Simple Writing | Cross River Realtor

The art of simplicity is making its mark as minimalist design principles are being seen in product design, web and even writing.The Power of Simple Writing

Social networks such as Twitter, Pinterest and Instagram have shown us that the skill of keeping it simple can be a key to success. Apple’s product design genius is not in how many buttons you can cram onto a device but is solved by the question “can I do it with just one button?

Less is more.

Keeping it simple takes time and effort. Stripping something back to its essence requires thought and effort. It means wrangling, wrestling and removing unnecessary words.

There is a quote that is attributed to Blaise Pascal and also Mark Twain that I have never forgotten.

I would have written a shorter letter but I didn’t have the time

I remember attending grammar classes and struggled with the the rules and regulations. To overcome my resistance I resorted to writing in a conversational style.

It worked.

Grammar is complex. Conversation is simple. Write as you speak and that simple power will work its magic

What does the power of simple writing mean?

So what does “keeping it simple” mean for writing and content as a blogger and online publisher.

It means:

1. Simple words

Words do not need to be 3 or 4 syllables. In fact a single syllable word can be much more powerful in its impact

2. Simple stories

Want to get a point across? Use a simple story. It will be far more memorable than a complex paragraph as it will tap into the power of emotions and memory.

3. Simple structure

Keep the writing structure simple with bullet points and sub-titles and your key elements will stand out. People will thank you for that.

4. Simple in length

Keep your sentences short and don’t use more than 3 or 4 together. Writing for the web means designing it for skimming and scanning

5. Simple headline

Simple powerful headlines that capture the essence of your article are compelling. Often though we want to write a headline that search engines love and want to index. The challenge between simplicity and optimizing for Google is a constant tension point.

6. Simple to understand

Sometimes we forget that we are writing for a global audience and using simple words is appreciated by those who do not have English as their first language.

7. Simple to implement

If you are offering “How to’s” when writing online then create simple steps that lead people by the hand and show them how to do something one step at a time. They will love you.

8. Simple image

If you are wanting to add some impact to the words then also use simple but iconic images. This sometimes takes effort, neurons and creativity.


Read more at http://www.jeffbullas.com/2013/07/02/the-power-of-simple-writing/#5o3CCzU6gDHYVzwT.99 

The Power of Simple Writing – Jeffbullas’s Blog.

How New York City Renters Are Getting Screwed By Taxes | Bedford Hills Real Estate

 

Tax%20rates%20on%20apartment%20buildings.jpg
[Via Business Insider.]

Josh Barro took property tax data from the Lincoln Institute of Land Policy and broke it down for Business Insider, showing just how high the taxes levied on New York City rental buildings are, especially compared with other high-rent cities. And though we don’t know exactly how much of that is passed on the renters themselves, general wisdom is that it’s a lot. Now for some fun facts: Of the 50 largest cities in the U.S., only Detroit has a has a higher tax rate on apartment buildings. And just think about how much more New York real estate costs—but then, when you compare New York solely to other high-rent cities (where median rents exceeded $1,000 in 2011), New York still comes out on top in the tax department. This is not a contest we want to win.

Check out this other graph, which shows that owner-occupied homes and small apartment buildings are taxed at much lower rates than walk-up rentals and apartment buildings with elevators. “Our tax rates on owner-occupied homes are actually some of the lowest among large cities. But who can afford to buy here?” Barro asks.

Screen%20Shot%202013-07-01%20at%2011.35.36%20AM.png
[Via Business Insider.]

So we know that rental buildings get taxed more than rental buildings in other cities and 6.4 times owner-occupied homes, but how much is really passed on to renters? In Boston, a study showed that landlords take care of 85 percent of the burden, but in New York it’s likely that more of the cost is shouldered by tenants paying inflated rents, mostly because apartment supply here is more limited and there needs to be some kind of incentive for landlords not to convert their buildings to co-ops or condos.

“Rent control does shield many New York renters from the burden of property tax increases. But that doesn’t help market-rate tenants like me. And tax abatements for new rental buildings are tied to requirements to set aside affordable units; again, the benefit of the abatement does not flow through to tenants paying market rate,” Barro concludes. “Living in New York is crazy expensive. Partly, that’s for reasons outside the control of policymakers. But one reason is this hidden tax on renters that New York has decided, uniquely among large cities, to impose. It’s a big mistake.”

How New York City Renters Are Getting Screwed By Taxes – The Rent Is Too Damn High – Curbed NY.

Rosie O’Donnell Tries To Flip Village Penthouse, Asks $11M | Katonah Real Estate

Another year, another apartment. Last summer, Rosie O’Donnell dropped $8 million—well, $8,095,087.50, to be precise—on a duplex penthouse at 130 West 12th Street, part of St. Vincent’s Hospital that was converted into condos. Less than a year later, O’Donnell has redecorated the 4BR/3BA (which comes with a 429-square-foot private terrace) all classy-like, with lots of art, colorful carpets, and inventive light fixtures. A tipster reports that two weeks ago she threw it back on the market, now asking $10,950,000. The Nyack, N.Y. resident and her wife Michelle Rounds welcomed a baby girl in January, bringing the progeny total to five, so perhaps they’re upgrading for a pied-a-terre with more bedrooms. If a buyer bites for that price, the straight-talking comedian, LGBT rights activist, and gay cruise pioneer will have pocketed a 35 percent profit over one year. Not too shabby.

Floorplan%20-%20130%20West%2012th%20Street%20PH11A.jpg

Plus, the buyer will get to live next door to Theory CEO Andrew Rosen, whopurchased the other PH not long after O’Donnell. He has a bigger terrace, but you know, make nice and he might let you use it. Both Rosen and Rosie bought their places for above ask, which bodes well for her flip.

 

Rosie O’Donnell Tries To Flip Village Penthouse, Asks $11M – Celebrity Real Estate – Curbed NY.