Monthly Archives: February 2014

U.S. Negative Equity Rate Dips Below 20 Percent in Q4 | Bedford Hills Real Estate

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Today, Zillow released the fourth quarter Negative Equity Report. Nationally, the share of homeowners with a mortgage that are underwater, owing more on their home than their home is worth, has dropped below 20 percent for the first time in years.

As home values have continued to rise over the past year, millions of underwater homeowners have come up for air and are finally able to put their home on the market. This increase in inventory should, in turn, help create a more balanced home shopping season than we’ve seen in the past few years, with buyers having more choice and perhaps less competition.

According to the most recent numbers, nearly 10 million people were underwater on their mortgage in the fourth quarter 2013, collectively owing $657 billion more than their homes are worth. But the number of underwater homeowners is slowly but surely receding. Almost 3.9 million U.S. homeowners were freed in 2013, and the negative equity rate fell to 19.4 percent at the end of the fourth quarter, from 27.5 percent at the same time in 2012.

Nationwide, the negative equity rate is expected to fall to 17.2 percent by the end of 2014, signaling further stabilization of the market and likely freeing up even more inventory.

 

http://homes.yahoo.com/news/u-negative-equity-rate-dips-below-20-percent-050552127.html

Buying your own home? Read this first | Bedford NY Real Estate

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It seems nothing can stop Americans from wanting to buy their own homes. It’s almost as if the credit crisis didn’t happen, even though not too long ago we were bombarded daily with stories about crashing prices, underwater mortgages and home foreclosures. It was an American nightmare, not the American Dream.

But if you think about the emotional and economic reasons people want to buy instead of rent, it’s not so hard to understand. As a financial advisor, I meet many potential first-time homebuyers who cite these reasons for wanting to buy: —”Why should I pay a landlord when I can put the money toward building equity in something myself?”

—”Paying rent is like throwing money away.” —”I don’t trust the stock market. I’d rather put money in real estate.” —”Renting feels like a temporary situation. I want to put down roots and nest.” —”I want to be able to remodel my home in any way I want, with no restrictions from landlords.” What I usually do at this point in the conversation is a back-of-the-envelope analysis of what it would look like for my client to buy a home. The key components of the analysis involve money saved and money earned. (Read more: Roth IRA a better way to pay for college?)

Home sales are at the lowest level in two years. CNBC’s Diana Olick explains what role the “unusually disruptive weather” played in the slumping numbers.

Comprehend your costs How much is saved for the down payment, closing costs and cash reserves? The best scenario involves putting 20 percent down. With 20 percent down, the borrower can receive gifts of up to 100 percent of the down payment with no private mortgage insurance (PMI). PMI can add several hundred dollars to the monthly payment. However, many first-time homebuyers are cash-constrained. Some may qualify for a Federal Housing Administration (FHA) loan, which requires only 3.5 percent down. Many end up putting 10 percent down, which requires PMI and only 5 percent of the down payment can be a gift. Closing costs are approximately 2 percent of the purchase price and include title insurance, escrow fees and appraisal fees. There may be a local transfer tax due on the purchase.

 

 

http://homes.yahoo.com/news/buying-your-own-home–read-this-first-185149044.html

Before You Buy, Try That Mortgage on for Size | Bedford Corners NY Homes

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f you’re a future homebuyer, you might have used one of those “How much mortgage can I afford?” calculators online. These calculators typically gather information like your down payment amount, credit score range, monthly or annual income and debts.

Then, they’ll spit out an estimate of what a bank might lend you mortgage-wise.

These calculators work primarily by figuring out your debt-to-income ratio and then how much you can afford to pay for your monthly mortgage payment. This is similar to how banks decide how much to lend you.

The typical bank limit on monthly mortgage payments is about 28 percent of your gross monthly income. Therefore, the bank thinks you can devote up to 28 percent of your household income to your mortgage payment and expenses (including taxes, insurance and association dues).

Banks will also typically allow a total debt-to-income ratio of up to around 36 percent. This means that your mortgage, credit card payments, student loan payments and car payments shouldn’t exceed 36 percent of your total monthly income. (Note that if your other debt payments are already at 15 percent of your monthly income, you only have 21 percent of your income to devote to your mortgage, regardless of the 28 percent rule.)

So when you put your current income and expenses into a house affordability calculator, it will tell you how much you can afford to pay for your home per month. Then, based on factors such as estimated interest rate, tax payments, insurance payments and available down payment, it’ll tell you how much house, in total, you can afford.

 

 

http://news.yahoo.com/buy-try-mortgage-size-134343468.html

5 Ways to Sell Your Home Faster This Spring | Armonk NY Homes

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A polar vortex may still have much of the country singing the winter blues, but real estate experts say it’s not too early to prep for – the busy spring and summer selling season.

Sellers who get their homes listed early in the season actually have a better shot at closing a deal and doing so at a better price. While peak season varies by region, home asking prices peak nationally in May and inventory peaks in the summer – but buyers tend to start searching for homes as early as March, according to Trulia data.

“Buyers wake up from hibernation before sellers do,” says Trulia housing analyst Jed Kolko. “Sellers who list earlier may get higher prices and face less competition.”

 

 

http://finance.yahoo.com/news/5-ways-sell-home-faster-180600658.html

Average 30-year US mortgage rate up to 4.37 pct | Bedford Corners NY Homes

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Average U.S. rates on fixed mortgages rose for a third straight week as new data showed a surprisingly strong pace of new-home sales last month. Rates still remain near historically low levels.

Mortgage buyer Freddie Mac said Thursday the average rate for the 30-year loan increased to 4.37 percent from 4.33 percent last week. The average for the 15-year mortgage rose to 3.39 percent from 3.35 percent.

A report Wednesday from the Commerce Department boosted expectations that the spring home buying season will be solid enough to lift the overall economy.

Sales of new homes rebounded in January to the fastest rate in more than five years. The strength in purchases followed a slowdown that had been linked to higher mortgage rates and severe winter weather.

Mortgage rates have risen about a full percentage point since hitting record lows roughly a year ago. The increase was driven by speculation that the Federal Reserve would reduce its $85 billion-a-month bond purchases. Deeming the economy to be gaining strength, the Fed proceeded last month with planned reductions of its bond purchases, which have helped keep long-term interest rates low.

To calculate average mortgage rates, Freddie Mac surveys lenders across the country between Monday and Wednesday each week. The average doesn’t include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount.

 

http://news.yahoo.com/average-30-us-mortgage-rate-4-37-pct-152646289–finance.html

Bedford Could Get Snow Showers Thursday, Major Storm Sunday | Bedford NY Real Estate

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Winter’s firm grip on Westchester County will be as strong as ever through next week.

Thursday will be marked by a frigid wind chills with gusts as high as 30 to 32 miles per hour and a high temperature between 28 and 30 degrees, according to the National Weather Service. There is a chance of afternoon snow showers.

Frigid cold will then set in with overnight lows near zero and wind chills between 10 and 12 degrees below zero.

After a sunny and cold day Friday with a high between 18-20, there is a chance of snow showers Saturday and the potential exists for a major winter storm from Sunday evening into Monday evening.

While it is too early to predict the storm’s impact, Accuweather.com has projected a possible accumulation of up to 6 inches.

The long-range forecast shows temperatures struggling to top the freezing mark through the end of next week.

 

 

http://bedford.dailyvoice.com/news/westchester-could-get-snow-showers-thursday-major-storm-sunday

Down to Earth Farmers Market | Pound Ridge NY Homes

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1840’s Dinner Inspired by Oscar Nominated, 12 Years a Slave;                         Sale on Pasture-Raised Meats & More February 27-March 5th, 2014 Down to Earth Markets
MAM w greens
What’s New and On Special This Week
Beef Sirloin Tip Roasts                                     SALE: $2 OFF/lb Reg. $12.75/lb; Now $10.75/lb. Kiernan Farm Beef Knuckle Bones                                     SALE: $1.75 OFF/lb Reg. $3.75/lb; Now $2.00/lb. Kiernan Farm
Gluten Free Dinner Rolls                                     Meredith’s Bread 		Pork Nitrate Free Smoked Ham Shanks/Hocks                                     SALE: $2 OFF/lb Reg. $7/lb; Now $5/lb. Kiernan Farm
Click on a Market to see all vendor and event details…

    Westchester County
Mamaroneck Winter                                     Saturdays, 9:00 am-1:00 pm St. Thomas Episcopal Church                                     168 West Boston Post Road (at Mount Pleasant Ave) Ossining Winter
Saturdays, 9:00 am-1:00 pm At the corner of Spring & Main                                     in downtown Ossining		Headed to the city soon? Visit a Down to Earth                                     Farmers Market in NYC!
                                                 Stay tuned to all market happenings via our Down to Earth Markets Facebook page                           and follow us on Twitter @DowntoEarthMarkets
An American Food Story, Sourced from a Down to Earth Farmers Market
foodgriotdinner

 

 

Chefs prepare to serve dinner inspired by Anne Northup’s 1840s cooking One of the fascinating things about shopping at the farmers market is that we never know who we are going to meet. Our Park Slope market recently led us to Tonya Hopkins, a woman known as “The Food Griot”. Self-described as “an American food storyteller”, Hopkins uses the name the Food Griot to recall the West African legacy of traveling poets, musicians, and                        storytellers who maintain a tradition of oral history.
Recently, Hopkins, together with Executive Chef Heather W. Jones and alumnae from the Institute of Culinary Education prepared a dinner after the style of Anne Northup, the wife of Northup portrayed in the Oscar-nominated movie, 12 Years a Slave. The dinner was served at the historic Morris-Jumel Mansion in NYC, where Anne cooked as a free woman of color during the time her husband was in captivity. Her culinary talents were much sought after.