Home prices in 45 of the largest housing markets are expected to fall another 4.2 percent before they hit bottom in March, according to First American CoreLogic’s LoanPerformance Home Price Index. By October 2010, prices are expected to be heading upward again by about 1 percent compared to 2009. The report warned that this progress could be jeopardized by an increasingly large “shadow inventory” of homes owned by banks but not yet on the market. The problem is particularly acute in Michigan and Ohio cities, the report said. It projected a 12.7 percent further decline in values in Detroit, an 11.4 percent decline in most of the rest of southeast Michigan, and a 6.3 percent fall in Cleveland.
The report expects the strongest recoveries next year in California cities. These include:
San Francisco, up 5.7 percent
Los Angeles, 5 percent
San Diego, 4.7 percent
Sacramento, 4.6 percent
Source: Inman News (12/21/2009)
Thursday, December 24, 2009
Friday, December 18, 2009
More Foreclosures to Come
More than 1.7 million homeowners were verging on foreclosure this fall, making it likely that these houses will soon end up on the market one way or the other, driving down overall housing values.
"We're going to be dealing with high levels of distressed (sales) in the marketplace for at least a couple of years," says Mark Fleming, chief economist of researcher First American CoreLogic, which has been studying the problem.
Some real estate practitioners say they fear that this onslaught is coming. "We've been in recovery mode for most of the year. How many foreclosures do they have to dump on the market to affect that? I don't know," says Deborah Farmer, owner of StarLight Realty in Tampa, Fla. "Any house priced under $225,000 will be affected by a large increase in foreclosures in this market."
Source: Associated Press, Alan Zibel (12/17/2009)
"We're going to be dealing with high levels of distressed (sales) in the marketplace for at least a couple of years," says Mark Fleming, chief economist of researcher First American CoreLogic, which has been studying the problem.
Some real estate practitioners say they fear that this onslaught is coming. "We've been in recovery mode for most of the year. How many foreclosures do they have to dump on the market to affect that? I don't know," says Deborah Farmer, owner of StarLight Realty in Tampa, Fla. "Any house priced under $225,000 will be affected by a large increase in foreclosures in this market."
Source: Associated Press, Alan Zibel (12/17/2009)
Friday, December 11, 2009
Do it yourself Solar Panels
Lowe’s, the home-improvement chain, will begin selling do-it-yourself, 40-pound solar panels nationwide for $895 each. The panels are designed by Akeena Solar, Inc., based in Los Gatos, Calif. Akeena says installation is doable for a novice, but applying for government and utility permits might take some expertise. “You put solar panels on your roof without a permit, bad things (will) happen to you," said Jeff Wolfe, CEO of solar installer groSolar. "The utility could shut off the power." Akeena panels produce 175 watts of electricity, enough to power a flat-screen TV. Most purchasers will want more than one. Lowe’s also is offering software that allows homeowners to use their home computers to monitor the performance of each panel.
Source: Associated Press, Chris Kahn (12/10/2009)
Source: Associated Press, Chris Kahn (12/10/2009)
The time to Buy is now!
Mortgage Rates Creep Back Up
After last week's decrease to a record 4.71 percent, interest on 30-year fixed mortgages rose to 4.81 percent this week, Freddie Mac reported. While the Federal Reserve's effort to purchase $1.25 trillion in mortgage-backed securities issued by Fannie Mae, Freddie Mac, and Ginnie Mae has helped keep rates attractive, Freddie Mac chief economist Frank Nothaft says they rose because a favorable unemployment report pushed long-term bond yields up slightly. With the Fed program projected to end in March, the Mortgage Bankers Association forecast in October that 30-year fixed mortgages will rise to 5.4 percent next year, increase to 6 percent in 2011, and hit 6.3 percent in 2012. Source: Inman News (12/11/2009)
With rates on the rise and anxious sellers ready to unload this Winter may well prove to be the bottom of the Galveston Real Estate Market.
After last week's decrease to a record 4.71 percent, interest on 30-year fixed mortgages rose to 4.81 percent this week, Freddie Mac reported. While the Federal Reserve's effort to purchase $1.25 trillion in mortgage-backed securities issued by Fannie Mae, Freddie Mac, and Ginnie Mae has helped keep rates attractive, Freddie Mac chief economist Frank Nothaft says they rose because a favorable unemployment report pushed long-term bond yields up slightly. With the Fed program projected to end in March, the Mortgage Bankers Association forecast in October that 30-year fixed mortgages will rise to 5.4 percent next year, increase to 6 percent in 2011, and hit 6.3 percent in 2012. Source: Inman News (12/11/2009)
With rates on the rise and anxious sellers ready to unload this Winter may well prove to be the bottom of the Galveston Real Estate Market.
Wednesday, December 9, 2009
Home Values Have Been Stabilizing
U.S. homes lost $489 billion in value during the first 11 months of 2009. That’s significantly less than the $3.6 trillion lost during 2008 and evidence that home values are stabilizing, says Zillow.com, online real estate research firm.
Properties in 48 of the 154 markets tracked by Zillow rose in value this year, but Zillow’s Chief Economist Stan Humphries believes prices could decline again in 2010. “We believe that demand will come under downward pressure as mortgage rates creep back up after the first quarter and that housing supply will experience upward pressure as the volume of foreclosures continues to remain high. Both these factors will challenge the recent stabilization of home prices,"
Humphries said in a statement.Areas where home prices rose the most in 2009 were:
Boston
Providence
Denver, Colo.
Atlanta, Ga.
Rochester, N.Y.
Areas where homes continued to lose the most value:
Los Angeles
Chicago
New York
Miami-Fort Lauderdale
PhoenixSource: Zillow.com (12/0920/09)
Properties in 48 of the 154 markets tracked by Zillow rose in value this year, but Zillow’s Chief Economist Stan Humphries believes prices could decline again in 2010. “We believe that demand will come under downward pressure as mortgage rates creep back up after the first quarter and that housing supply will experience upward pressure as the volume of foreclosures continues to remain high. Both these factors will challenge the recent stabilization of home prices,"
Humphries said in a statement.Areas where home prices rose the most in 2009 were:
Boston
Providence
Denver, Colo.
Atlanta, Ga.
Rochester, N.Y.
Areas where homes continued to lose the most value:
Los Angeles
Chicago
New York
Miami-Fort Lauderdale
PhoenixSource: Zillow.com (12/0920/09)
IRS SETS NEW RULES FOR TAX CREDIT
The IRS has spelled out guidelines for eligibility for the home buyer credit when co-borrowers purchase a property.
When a home-owning parent of an adult child co-signs for a mortgage and both names appear on the note, the IRS says that under some circumstances, the first-time home buyer can qualify for the whole amount. The IRS says the parent doesn’t qualify for any portion of the credit, but if the child hasn’t owned a home during the three years preceding the current purchase and can qualify based on income, he or she can be allocated the entire $8,000 credit.
When unmarried individuals co-purchase a home and only one of them is eligible for the credit, then the full $8,000 can be allocated to the eligible buyer.
Source: Washington Post Writers Group, Kenneth R. Harney (12/04/2009)
When a home-owning parent of an adult child co-signs for a mortgage and both names appear on the note, the IRS says that under some circumstances, the first-time home buyer can qualify for the whole amount. The IRS says the parent doesn’t qualify for any portion of the credit, but if the child hasn’t owned a home during the three years preceding the current purchase and can qualify based on income, he or she can be allocated the entire $8,000 credit.
When unmarried individuals co-purchase a home and only one of them is eligible for the credit, then the full $8,000 can be allocated to the eligible buyer.
Source: Washington Post Writers Group, Kenneth R. Harney (12/04/2009)
Saturday, December 5, 2009
30 Year Rates Hit Record Low
The average interest rate for 30-year mortgages has fallen to the lowest level since Freddie Mac began compiling its weekly survey in 1971, declining to 4.71 percent this week from 4.78 percent a week ago.
Rates also were more attractive for 15-year fixed loans, which fell from 4.29 percent to 4.27 percent, but many consumers may not have qualified for them because they now face higher credit standards from lenders.
Still, the Mortgage Bankers Association's index of application demand, which rose 2.1 percent on a seasonally adjusted basis during Thanksgiving week from the previous week, shows that consumers were looking to take advantage of mortgage rates at a historic low.
Source: USA Today, Stephanie Armour (12/04/09)
Rates also were more attractive for 15-year fixed loans, which fell from 4.29 percent to 4.27 percent, but many consumers may not have qualified for them because they now face higher credit standards from lenders.
Still, the Mortgage Bankers Association's index of application demand, which rose 2.1 percent on a seasonally adjusted basis during Thanksgiving week from the previous week, shows that consumers were looking to take advantage of mortgage rates at a historic low.
Source: USA Today, Stephanie Armour (12/04/09)
Saturday, November 28, 2009
Tax Credit Quandaries Answered
Daily Real Estate News November 25, 2009
The complexity of new home buyer tax credits leaves potential buyers with many questions. Here are answers to some of the most confusing:
How does a current home owner qualify for the $6,500 credit?
Buyers must have lived in their homes for at least five out of the last eight years. The home they buy must become their primary residence, but buyers don’t have to sell their previous home. They can use the previous home as a rental or a second home and still claim the credit.
Does the new home have to be more expensive than the one the buyer currently owns?
No. It is fine to use it to downsize. If the property sells for more than $800,000, the buyers don’t qualify.
Can buyers who are building a new home claim the credit?
Yes, although the contract must be in place by April 30 and the buyer must move in by July 1.
Can buyers claim the credit if they purchase a home from a relative?
No. The legislation prohibits taxpayers from claiming the credit if the sale is between “related parties,” including parent, grandparent, child, or grandchild.
Source: USA Today, Sandra Block (11/24/2009)
The complexity of new home buyer tax credits leaves potential buyers with many questions. Here are answers to some of the most confusing:
How does a current home owner qualify for the $6,500 credit?
Buyers must have lived in their homes for at least five out of the last eight years. The home they buy must become their primary residence, but buyers don’t have to sell their previous home. They can use the previous home as a rental or a second home and still claim the credit.
Does the new home have to be more expensive than the one the buyer currently owns?
No. It is fine to use it to downsize. If the property sells for more than $800,000, the buyers don’t qualify.
Can buyers who are building a new home claim the credit?
Yes, although the contract must be in place by April 30 and the buyer must move in by July 1.
Can buyers claim the credit if they purchase a home from a relative?
No. The legislation prohibits taxpayers from claiming the credit if the sale is between “related parties,” including parent, grandparent, child, or grandchild.
Source: USA Today, Sandra Block (11/24/2009)
Friday, November 13, 2009
Pending Home Sales Rise for Record Eight Straight Months
Pending home sales rose again, marking eight consecutive monthly gains – the longest streak since measurement began in 2001, according to the National Association of Realtors®.
The Pending Home Sales Index,* a forward-looking indicator based on contracts signed in September, rose 6.1 percent to 110.1 from a reading of 103.8 in August, and is 21.2 percent higher than September 2008 when it stood at 90.9. The gain from a year ago is the largest annual increase on record, and the index is at the highest level since December 2006 when it was 112.8.
Lawrence Yun, NAR chief economist, said the momentum is understandable. “What we’re witnessing is a rush of first-time buyers trying to beat the expiration of the tax credit at the end of this month,” he said. “Home values will stabilize sooner rather than over-correcting. That, in turn, will mean wealth stabilization for the vast number of middle-class families and lay the foundation for a durable economic recovery.”
NAR estimates approximately 3 million renters are now financially well-qualified to buy a median-priced home. “As long as buyers do not overstretch and stay well within their budget, a sizable pent-up demand can be tapped among financially qualified potential buyers,” Yun said. “Although the tax credit is greatly reviving the existing home market, new-home sales may continue to struggle as home builders hold back production to drive down inventory. In addition, there remains an ongoing credit crunch for construction loans.”
The Pending Home Sales Index in the Northeast slipped 2.0 percent to 83.6 in September but remains 16.9 percent above September 2008. In the Midwest the index rose 8.1 percent to 98.2 in September and is 17.8 percent higher than a year ago. In the South, pending home sales increased 4.9 percent to an index of 109.7 and is 22.8 percent above September 2008. In the West the index jumped 10.2 percent to 143.8 and is 23.7 percent above a year ago.
Yun added that strong near-term reports should not be overstated. “We’re clearly not out of the woods because an excess of homes remains on the market despite recent improvements,” he said. “Although current inventory is getting closer to price equilibrium, foreclosures will continue to enter the pipeline. An extended and expanded tax credit would help absorb this incoming inventory.”
The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.
# # #
*The Pending Home Sales Index is a leading indicator for the housing sector, based on pending sales of existing homes. A sale is listed as pending when the contract has been signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing.
The index is based on a large national sample, typically representing about 20 percent of transactions for existing-home sales. In developing the model for the index, it was demonstrated that the level of monthly sales-contract activity from 2001 through 2004 parallels the level of closed existing-home sales in the following two months. There is a closer relationship between annual index changes (from the same month a year earlier) and year-ago changes in sales performance than with month-to-month comparisons.
An index of 100 is equal to the average level of contract activity during 2001, which was the first year to be examined as well as the first of five consecutive record years for existing-home sales.
A forecast for housing and the economy will be released November 13 at 11 a.m. PST at the 2009 REALTORS® Conference & Expo in San Diego. Existing-home sales for October will be reported November 23 and the next Pending Home Sales Index will be on December 1; release times are 10 a.m. EST.
Information about NAR is available at www.realtor.org. This and other news releases are posted in the News Media section. Statistical data, tables and surveys also may be found by clicking on Research.
NAR at a Glance
© Copyright NATIONAL ASSOCIATION of REALTORS® Headquarters: 430 North Michigan Avenue, Chicago, IL 60611
DC Office: 500 New Jersey Avenue, NW, Washington, DC 20001-2020 I 1-800-874-6500
The Pending Home Sales Index,* a forward-looking indicator based on contracts signed in September, rose 6.1 percent to 110.1 from a reading of 103.8 in August, and is 21.2 percent higher than September 2008 when it stood at 90.9. The gain from a year ago is the largest annual increase on record, and the index is at the highest level since December 2006 when it was 112.8.
Lawrence Yun, NAR chief economist, said the momentum is understandable. “What we’re witnessing is a rush of first-time buyers trying to beat the expiration of the tax credit at the end of this month,” he said. “Home values will stabilize sooner rather than over-correcting. That, in turn, will mean wealth stabilization for the vast number of middle-class families and lay the foundation for a durable economic recovery.”
NAR estimates approximately 3 million renters are now financially well-qualified to buy a median-priced home. “As long as buyers do not overstretch and stay well within their budget, a sizable pent-up demand can be tapped among financially qualified potential buyers,” Yun said. “Although the tax credit is greatly reviving the existing home market, new-home sales may continue to struggle as home builders hold back production to drive down inventory. In addition, there remains an ongoing credit crunch for construction loans.”
The Pending Home Sales Index in the Northeast slipped 2.0 percent to 83.6 in September but remains 16.9 percent above September 2008. In the Midwest the index rose 8.1 percent to 98.2 in September and is 17.8 percent higher than a year ago. In the South, pending home sales increased 4.9 percent to an index of 109.7 and is 22.8 percent above September 2008. In the West the index jumped 10.2 percent to 143.8 and is 23.7 percent above a year ago.
Yun added that strong near-term reports should not be overstated. “We’re clearly not out of the woods because an excess of homes remains on the market despite recent improvements,” he said. “Although current inventory is getting closer to price equilibrium, foreclosures will continue to enter the pipeline. An extended and expanded tax credit would help absorb this incoming inventory.”
The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.
# # #
*The Pending Home Sales Index is a leading indicator for the housing sector, based on pending sales of existing homes. A sale is listed as pending when the contract has been signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing.
The index is based on a large national sample, typically representing about 20 percent of transactions for existing-home sales. In developing the model for the index, it was demonstrated that the level of monthly sales-contract activity from 2001 through 2004 parallels the level of closed existing-home sales in the following two months. There is a closer relationship between annual index changes (from the same month a year earlier) and year-ago changes in sales performance than with month-to-month comparisons.
An index of 100 is equal to the average level of contract activity during 2001, which was the first year to be examined as well as the first of five consecutive record years for existing-home sales.
A forecast for housing and the economy will be released November 13 at 11 a.m. PST at the 2009 REALTORS® Conference & Expo in San Diego. Existing-home sales for October will be reported November 23 and the next Pending Home Sales Index will be on December 1; release times are 10 a.m. EST.
Information about NAR is available at www.realtor.org. This and other news releases are posted in the News Media section. Statistical data, tables and surveys also may be found by clicking on Research.
NAR at a Glance
© Copyright NATIONAL ASSOCIATION of REALTORS® Headquarters: 430 North Michigan Avenue, Chicago, IL 60611
DC Office: 500 New Jersey Avenue, NW, Washington, DC 20001-2020 I 1-800-874-6500
Thursday, November 12, 2009
Low Prices Draw Investors Back to Market
Real estate investors are moving back into the market, according to a new survey from Move.com. According to the Move.com survey, 12.1 percent of home buyers today plan to buy a home as an investment property, compared to 5.6 percent in March 2009. The survey found that 15.8 percent of those interested in investment property were men and 8.1 percent were women and 52.6 percent of the investment buyers were between ages 35 to 49.
Of the 25.3 percent of buyers who are focusing on foreclosure properties, 42 percent regard the purchase they are considering an investment and don’t plan to live in the property themselves; 13.2 percent plan to rent out the property; 11.3 percent are going to fix up the property and resell it; and 17.4 percent plan to house a family member until the property can be sold profitably.
Of the 9.8 percent of buyers who say that they plan to purchase and live in a property in the next two years, 5.4 percent plan to purchase in the next 12 months; 48.3 percent are first-time buyers; 52.8 percent are women, and 44.1 percent are men.Buyers of investment and personal property say they are motivated by these factors:
Prices are as low as they will go, 23.6 percent
Foreclosure prices are a bargain, 18.7 percent
Great selection of homes for sale in their target community, 21.2 percent
Concerned interest rates will rise, 14.2 percent
Source: Move.com (11/11/2009)
Of the 25.3 percent of buyers who are focusing on foreclosure properties, 42 percent regard the purchase they are considering an investment and don’t plan to live in the property themselves; 13.2 percent plan to rent out the property; 11.3 percent are going to fix up the property and resell it; and 17.4 percent plan to house a family member until the property can be sold profitably.
Of the 9.8 percent of buyers who say that they plan to purchase and live in a property in the next two years, 5.4 percent plan to purchase in the next 12 months; 48.3 percent are first-time buyers; 52.8 percent are women, and 44.1 percent are men.Buyers of investment and personal property say they are motivated by these factors:
Prices are as low as they will go, 23.6 percent
Foreclosure prices are a bargain, 18.7 percent
Great selection of homes for sale in their target community, 21.2 percent
Concerned interest rates will rise, 14.2 percent
Source: Move.com (11/11/2009)
Saturday, November 7, 2009
Obama Signs Extended Tax Credit into Law
Expected to contribute approximately $22 billion to the economy, Congress overwhelmingly passed a bipartisan measure this week extending the $8,000 home buyer tax credit to April 30, 2010.
The legislation, which is part of a larger bill that also extends unemployment benefits, was signed into law by President Obama today. More people are now eligible to take advantage of the law, which includes a $6,500 tax credit for buyers who are current home owners and have lived in their home for five of the past eight years.
Income limits for eligible home buyers were also expanded to $125,000 for single buyers and $225,000 for couples, up from $75,000 for individuals and $150,000 for couples. Qualifying home prices are capped at $800,000.
NAR's Government Affairs Division has compiled facts on the changes made to the current tax credit.
Sources: NAR and The Associated Press, Julie Hirschfeld Davis (11/06/2009)
The legislation, which is part of a larger bill that also extends unemployment benefits, was signed into law by President Obama today. More people are now eligible to take advantage of the law, which includes a $6,500 tax credit for buyers who are current home owners and have lived in their home for five of the past eight years.
Income limits for eligible home buyers were also expanded to $125,000 for single buyers and $225,000 for couples, up from $75,000 for individuals and $150,000 for couples. Qualifying home prices are capped at $800,000.
NAR's Government Affairs Division has compiled facts on the changes made to the current tax credit.
Sources: NAR and The Associated Press, Julie Hirschfeld Davis (11/06/2009)
Thursday, November 5, 2009
Tax Credit may be extended prior to expiration
Senate May Approve Tax Credit Wednesday. The U.S. House and Senate are close to an agreement to extend the home buyer tax credit due to expire at the end of this month.
The Senate is expected to vote Wednesday while the House could approve it later in the week – likely before Friday when the monthly report on the unemployment rate will be released. The measure that is slated to pass would cover homes under contract by April 30.
Also, anyone taking the credit from a home purchased in 2010 would be able to take the credit when they pay their 2009 taxes. First-time home buyers would be eligible for $8,000, but purchasers don’t have to be first-time buyers. Anyone who has owned a home for at least five years could get a $6,500 credit on a new residence.
Income limitations rise under the new plan with individuals earning up to $125,000 a year and couples earning up to $225,000 eligible. People who earn more would be eligible for smaller credits.
Source: The New York Times, Jackie Calmes (11/4/2009)
The Senate is expected to vote Wednesday while the House could approve it later in the week – likely before Friday when the monthly report on the unemployment rate will be released. The measure that is slated to pass would cover homes under contract by April 30.
Also, anyone taking the credit from a home purchased in 2010 would be able to take the credit when they pay their 2009 taxes. First-time home buyers would be eligible for $8,000, but purchasers don’t have to be first-time buyers. Anyone who has owned a home for at least five years could get a $6,500 credit on a new residence.
Income limitations rise under the new plan with individuals earning up to $125,000 a year and couples earning up to $225,000 eligible. People who earn more would be eligible for smaller credits.
Source: The New York Times, Jackie Calmes (11/4/2009)
Friday, October 30, 2009
Home Buyer Tax Credit
Homebuyer Credit Gets New Life
Key lawmakers in the Senate have tentatively agreed to extend the existing $8,000 tax credit for first-time home buyers and also offer a new $6,500 credit for existing homeowners who have lived in their current residence for a consecutive five-year period in the past eight years.
Home buyers must be under contract by April 30, 2010, and close before July 1.
House Democrats have expressed concern about the cost of the tax credit for the government, and allegations of abuse have resulted in an IRS probe of the program.
Source: Wall Street Journal, Corey Boles and John D. McKinnon (10/29/09)© Copyright 2009 Information Inc.
Key lawmakers in the Senate have tentatively agreed to extend the existing $8,000 tax credit for first-time home buyers and also offer a new $6,500 credit for existing homeowners who have lived in their current residence for a consecutive five-year period in the past eight years.
Home buyers must be under contract by April 30, 2010, and close before July 1.
House Democrats have expressed concern about the cost of the tax credit for the government, and allegations of abuse have resulted in an IRS probe of the program.
Source: Wall Street Journal, Corey Boles and John D. McKinnon (10/29/09)© Copyright 2009 Information Inc.
Tuesday, October 20, 2009
Practitioners Say Luxury Market Is Up
Below is an exerpt form Daily Real Estate News. I found this interesting since we have also noticed an uptick in the higher end market. Whereas the homes values discussed below are generally 1 mil and above our indicator is that homes in the $500,000 and $600,000 range are now being sold. To me this is another sign that the Galveston Real Estate market will be on the upswing in 2010.
The luxury home market is picking up, according to real estate practitioners all over the country. This trend is strictly anecdotal – no hard data yet. In fact, the National Association of REALTORS® say sales of homes priced above $2 million fell 39.1 percent in August compared to the previous year.
But Barbara Feldman, vice president with Saunders & Associates in Long Island, N.Y.’s community of Bridgehampton, says, "We've seen a significant upturn in activity in the last four to six weeks.”
And Charleston, S.C., associate Pat Broghamer with RE/MAX Advanced Realty, says buyers are “making investments in beach homes.
”Kevin Schmidtchen, an associate with Sotheby's International Realty in Santa Barbara, Calif., echoes the sentiment: "We've started to see a fair amount more pending and closed sales here in just the last two to three months."
Source: Investor’s Business Daily, Kathleen Doler (10/15/2009)
The luxury home market is picking up, according to real estate practitioners all over the country. This trend is strictly anecdotal – no hard data yet. In fact, the National Association of REALTORS® say sales of homes priced above $2 million fell 39.1 percent in August compared to the previous year.
But Barbara Feldman, vice president with Saunders & Associates in Long Island, N.Y.’s community of Bridgehampton, says, "We've seen a significant upturn in activity in the last four to six weeks.”
And Charleston, S.C., associate Pat Broghamer with RE/MAX Advanced Realty, says buyers are “making investments in beach homes.
”Kevin Schmidtchen, an associate with Sotheby's International Realty in Santa Barbara, Calif., echoes the sentiment: "We've started to see a fair amount more pending and closed sales here in just the last two to three months."
Source: Investor’s Business Daily, Kathleen Doler (10/15/2009)
Monday, October 19, 2009
Things Condo Buyers Should Consider
Buyers who are considering the purchase of a condominium should inspect the health of the home owner’s association before they close. The seller should provide the buyer all financial documents relating to the association in time for an attorney for the buyer to review them before closing.
Here’s some advice from Leonard Baron, professor of finance at San Diego State University, about the information that the seller should consider:
Here’s some advice from Leonard Baron, professor of finance at San Diego State University, about the information that the seller should consider:
- Does the association budget include money for operating expenses such as water, lights, elevator maintenance, and landscaping?
- Is there extra money set aside in a reserve fund for long-term maintenance? If there is an outside reserve study, that should be provided. If not, there should be adequate money in the reserves right now to cover 50 percent of the estimated cost of repairs over the next 30 years.
- Do the condo’s expenses exceed revenues due to a high foreclosure rate or other reasons that owners’ debts go unpaid?
- If there is a shortfall, does the association have a plan besides cutting back on services for making it up?
Source: The Wall Street Journal, June Fletcher (10/17/2009)
Thursday, October 15, 2009
Congress Debating the Tax Credit
Congress is considering expanding and extending the $8,000 first-time homebuyer tax credit, which expires Nov. 30. More than 1.8 million home buyers will have used the credit by the end of November, including an estimated 355,000 who wouldn’t have bought a home without it, according to the National Association of REALTORS® and other analysts.
Mark Zandi, chief economist for MoodysEconomy.com, is among those in favor of extending the credit. Zandi would also make it available to all homebuyers. "The most fundamental argument for the credit is that nothing works in the economy if housing is falling," Zandi said. "[The credit] is a good insurance policy. It's vital to stem the housing price declines.
"Opponents argue that the tax credit is too expensive and doesn’t help enough people. Extending the credit through the end of 2010 and making it available to single filers earning up to $150,000 and joint filers earning up to $300,000 would cost an estimated $16.7 million. Some in Congress propose using unspent money from the $787 billion stimulus bill to pay for it.
Source: CNNMoney.com, Les Christie (10/14/2009)
Mark Zandi, chief economist for MoodysEconomy.com, is among those in favor of extending the credit. Zandi would also make it available to all homebuyers. "The most fundamental argument for the credit is that nothing works in the economy if housing is falling," Zandi said. "[The credit] is a good insurance policy. It's vital to stem the housing price declines.
"Opponents argue that the tax credit is too expensive and doesn’t help enough people. Extending the credit through the end of 2010 and making it available to single filers earning up to $150,000 and joint filers earning up to $300,000 would cost an estimated $16.7 million. Some in Congress propose using unspent money from the $787 billion stimulus bill to pay for it.
Source: CNNMoney.com, Les Christie (10/14/2009)
Wednesday, October 14, 2009
Homeownership Still A Good Investment
The American dream of homeownership is still a good bet, financial advisors say firmly.
Despite the downturn in the last couple of years, homes have still appreciated an average of 4 percent a year since World War II. Plus, it’s a leveraged investment; a 10 percent down payment yields a 1,000 percent return if the price of the home doubles.
There are also valuable intangibles. Owning a home provides independence, security, community, and a roof over the owner’s head. No one can say that about investing in stock.
Source: Associated Press, Dave Carpenter (10/12/2009)
Despite the downturn in the last couple of years, homes have still appreciated an average of 4 percent a year since World War II. Plus, it’s a leveraged investment; a 10 percent down payment yields a 1,000 percent return if the price of the home doubles.
There are also valuable intangibles. Owning a home provides independence, security, community, and a roof over the owner’s head. No one can say that about investing in stock.
Source: Associated Press, Dave Carpenter (10/12/2009)
Monday, October 12, 2009
Are you going to miss out?
There is a strong sense of urgency brewing. Buyers who have been sitting on the sidelines are preparing to pounce. The indicators are strong that the 2010 Galveston Real Estate market will surpass the 2009 Real Estate market by leaps and bounds.
Why? How do we know this? It is a simple matter of data. In the last 3 months the number of months to sell a home on the West End of Galveston has decreased from 23 to 21.
There are currently 20 West End Second Homes (discretionary) pending. These homes range in price from $109,000 to $1,300,000.
While the higher end Real Estate market (above 500,000) continues to suffer we are experiencing an increase in buyer activity. 1/4 of the West End pending sales will close at $500,000 and better.
All of this activity is occurring during our "off" season. The buyers continue to peruse the inventory as indicated by Prudential's internet activity reports.
The momentum is growing. As the stock market continues to climb and Houston's economy continues to grow so will Galveston's Real Estate market.
Are you going to miss the bottom of Galveston's Real Estate market? Will you be the one next year wishing you had taken advantage of motivated sellers, low interest rates, and 2004 real estate market prices?
The season begins again in March. Why not beat the rush???
Why? How do we know this? It is a simple matter of data. In the last 3 months the number of months to sell a home on the West End of Galveston has decreased from 23 to 21.
There are currently 20 West End Second Homes (discretionary) pending. These homes range in price from $109,000 to $1,300,000.
While the higher end Real Estate market (above 500,000) continues to suffer we are experiencing an increase in buyer activity. 1/4 of the West End pending sales will close at $500,000 and better.
All of this activity is occurring during our "off" season. The buyers continue to peruse the inventory as indicated by Prudential's internet activity reports.
The momentum is growing. As the stock market continues to climb and Houston's economy continues to grow so will Galveston's Real Estate market.
Are you going to miss the bottom of Galveston's Real Estate market? Will you be the one next year wishing you had taken advantage of motivated sellers, low interest rates, and 2004 real estate market prices?
The season begins again in March. Why not beat the rush???
Wednesday, October 7, 2009
A Historic Time to Buy
Young people just starting to invest and buying their first homes are potentially the winners in this recession. First-time homebuyers, most between the ages of 25 and 45, accounted for about 45 percent of home sales from January through July 2009, according to the National Association of REALTORS®
"This is a historic time," says George Jaramillo, a 35-year-old business analyst in Atlanta, who recently bought three homes, two of them foreclosures. "It's a great opportunity to make some great gains in the future."
A study by investment company T. Rowe Price points out that investing when prices are low can result in amazing gains. For instance, between 1970 and 1990, the annualized rate of return for the S&P 500 was 11.5 percent.
"We need to be shouting from the rooftops that this is not the time to get out of the market if you're young," says Christine Fahlund, a senior financial planner with T. Rowe Price. "This is the time to be in the market.
"Source: The Associated Press, Chip Cutter (10/05/2009)
"This is a historic time," says George Jaramillo, a 35-year-old business analyst in Atlanta, who recently bought three homes, two of them foreclosures. "It's a great opportunity to make some great gains in the future."
A study by investment company T. Rowe Price points out that investing when prices are low can result in amazing gains. For instance, between 1970 and 1990, the annualized rate of return for the S&P 500 was 11.5 percent.
"We need to be shouting from the rooftops that this is not the time to get out of the market if you're young," says Christine Fahlund, a senior financial planner with T. Rowe Price. "This is the time to be in the market.
"Source: The Associated Press, Chip Cutter (10/05/2009)
Monday, October 5, 2009
Will that extra bath payoff?
Bathroom Upgrades Pay Off
More than 80 percent of new single-family homes have at least two bathrooms, which occupy an average of 300 square feet of floor space, or 12 percent of the total area, according to a study by the National Association of Home Builders.
The home builder’s study reports a major return on value for extra bathrooms: "When the number of bathrooms is approximately equal to the number of bedrooms, an additional half-bath adds about 10 percent to the home's value, and one additional bath adds about 19 percent."
A mid-range bathroom remodel, which costs $10,500 on average nationwide, repays a home buyer at least 100 percent of the outlay when the property is sold, the home buyer study concludes.
Source: Chicago Tribune, Mike McClintock (09/21/2009)
More than 80 percent of new single-family homes have at least two bathrooms, which occupy an average of 300 square feet of floor space, or 12 percent of the total area, according to a study by the National Association of Home Builders.
The home builder’s study reports a major return on value for extra bathrooms: "When the number of bathrooms is approximately equal to the number of bedrooms, an additional half-bath adds about 10 percent to the home's value, and one additional bath adds about 19 percent."
A mid-range bathroom remodel, which costs $10,500 on average nationwide, repays a home buyer at least 100 percent of the outlay when the property is sold, the home buyer study concludes.
Source: Chicago Tribune, Mike McClintock (09/21/2009)
Thursday, September 24, 2009
$8,000 tax credit is the stimulus for the housing market
Analysis: Tax Credit Adds 357,000 Buyers
A study estimates that 357,000 buyers have been motivated so far by the $8,000 First-Time Homebuyer Tax Credit.The study by Campbell Surveys, a division of Campbell Communications, calculated the figure by comparing the number of first-time homebuyers before and after the tax credit was instituted. The percentage of first-time buyers rose from 32 percent in January and February to 43 percent for the rest of the year – except July when the rate fell to 42 percent. Campbell’s Research Director Thomas Popik pointed out that this survey mirrors the numbers calculated by the National Association of REALTORS® and those from Moody’s Economy.com.The data supports legislative efforts in both the U.S. House and Senate to extend the tax credit.
Source: HousingWire.com, Austin Kilgore (09/22/2009)
A study estimates that 357,000 buyers have been motivated so far by the $8,000 First-Time Homebuyer Tax Credit.The study by Campbell Surveys, a division of Campbell Communications, calculated the figure by comparing the number of first-time homebuyers before and after the tax credit was instituted. The percentage of first-time buyers rose from 32 percent in January and February to 43 percent for the rest of the year – except July when the rate fell to 42 percent. Campbell’s Research Director Thomas Popik pointed out that this survey mirrors the numbers calculated by the National Association of REALTORS® and those from Moody’s Economy.com.The data supports legislative efforts in both the U.S. House and Senate to extend the tax credit.
Source: HousingWire.com, Austin Kilgore (09/22/2009)
Monday, September 21, 2009
Good News for Interest Rates
Fed Unlikely to Raise Rates The Federal Reserve is likely to keep interest rates near zero when it ends its two-day meeting on Wednesday, say economic researchers. It is also predicted that the Fed will not slowdown its lending and bailout programs.Peter Morici, professor of economics at the University of Maryland, says, "The Fed normally anticipates the recovery by raising rates, taking away the punch bowl just as the party gets interesting. But this is not a normal recovery. It's tepid and weak.
"Source: CNNMoney.com, David Goldman (09/21/2009)
"Source: CNNMoney.com, David Goldman (09/21/2009)
Wednesday, September 16, 2009
Extending the Housing Tax Credit
Daily Real Estate News September 16, 2009
Economists: Extend the Housing Tax Credit More than 40 percent of all home buyers in 2009 will qualify for the federal tax credit, costing the government about $15 billion, twice the original estimate, but most housing experts applaud the policy and favor expanding it.Now the decision is up to Congress.Mark Zandi, chief economist for Moody’s Economy.com, believes that the credit should be expanded to all homebuyers, even investors, through summer of 2010. “The risks of not doing something like this are too great,” he said. “I don’t think the coast is clear.”James Glassman of JPMorgan Chase also favors expanding the credit but continuing to limit it to first-time buyers.Industry members who are lobbying for the extension are optimistic and say they believe an extension will be approved in some form. “There will be a lot of water under the bridge, a lot of compromise, between now” and a final bill, said Richard A. Smith, chairman of the Business Roundtable’s Housing Working Group.
Source: The New York Times, David Streitfeld (09/15/2009)
Economists: Extend the Housing Tax Credit More than 40 percent of all home buyers in 2009 will qualify for the federal tax credit, costing the government about $15 billion, twice the original estimate, but most housing experts applaud the policy and favor expanding it.Now the decision is up to Congress.Mark Zandi, chief economist for Moody’s Economy.com, believes that the credit should be expanded to all homebuyers, even investors, through summer of 2010. “The risks of not doing something like this are too great,” he said. “I don’t think the coast is clear.”James Glassman of JPMorgan Chase also favors expanding the credit but continuing to limit it to first-time buyers.Industry members who are lobbying for the extension are optimistic and say they believe an extension will be approved in some form. “There will be a lot of water under the bridge, a lot of compromise, between now” and a final bill, said Richard A. Smith, chairman of the Business Roundtable’s Housing Working Group.
Source: The New York Times, David Streitfeld (09/15/2009)
Monday, September 14, 2009
7 Tips for First Time Home Buyers
Daily Real Estate News September 14, 2009
7 Tips for First-Time Home Buyers
A year after the financial collapse of 2008, the housing market is very different than it was before the foreclosure crisis.Here are seven bits of wisdom from economists and financial planners for anyone contemplating a home purchase today:
Source: The New York Times, Ron Lieber (09/12/2009)
7 Tips for First-Time Home Buyers
A year after the financial collapse of 2008, the housing market is very different than it was before the foreclosure crisis.Here are seven bits of wisdom from economists and financial planners for anyone contemplating a home purchase today:
- Old-fashioned basics are more important than ever. The safest way to purchase a home is to put down 20 percent on a fixed-rate, 30-year (or less) mortgage.
- Don’t become overconfident about income growth. Even though buyers in their 20s and 30s will likely see their incomes grow more quickly than previous generations, it is important to act sensibly when borrowing.
- Anyone contemplating adding children to the family should calculate whether they could live on one income because having both halves of a couple work may turn out to be impractical.
- Include a maintenance budget. Even new homes need upkeep and repairs.
- Buyers who can't afford their dream home now should opt for a starter home where they can save money each month for what they really want.
- Consider a property that can be expanded and improved down the road when money is available.
- No two buyers are the same, but they should all feel confident with the loan they enter into, no matter the size of the mortgage.
Source: The New York Times, Ron Lieber (09/12/2009)
Saturday, September 5, 2009
Is turning that languishing property into a rental the right move?
More Sellers Turn to Rentals More people are becoming landlords in an economy where selling a home can be challenging.The nation’s second-largest home insurer, Allstate Corp., says the number of homeowners converting their homeowners insurance to landlord policies rose 27 percent in the first quarter of 2009.Jim Bass of Jim Bass Real Estate Group in Frederick, Md., says he has begun offering property-management services for absent owners, many of whom are convinced it will be easier to sell in a couple of years.Holding on probably isn’t the best answer, says economist Edward Leamer, director of the UCLA Anderson Forecast. Leamer suggests negotiating a short sale instead. “Better to take your losses and move on.”Another factor to consider is whether renting will reduce or eliminate the value of the capital-gains tax exclusion. Federal tax law requires living in the home at least two of the previous five years to qualify for the full capital-gains tax exclusion when the house is sold. Of course, if there is no profit to be had, then this isn’t a problem.
Source: The Wall Street Journal, M.P. McQueen (09/02/2009)
Source: The Wall Street Journal, M.P. McQueen (09/02/2009)
Wednesday, September 2, 2009
Tips for Seller Financing
5 Steps to Financing a Sale
Selling a home and helping the buyer finance may be a good option to getting a house sold, experts say. Yet it is imperative that the seller thoroughly investigate the buyer’s finances before agreeing to the deal.
Here are some important initial steps to take:
Investigate the buyer by asking him to fill out a Uniform Residential Loan Application.
Get bankruptcy details by checking out the case through Public Assess to Court Electronic Records (PACER), a service of the U.S. Judiciary.
Pull the buyer’s credit report and eviction and criminal history via http://www.american-apartment-owners-association.org/tenant-screening/.
Insist on 20 percent down or offer a contract for deed, which only confers full ownership rights after the home is paid off.
Consider offering a lease-option with part of the payment going toward the purchase price, which gives the buyer time to repair his credit before seeking conventional financing.
Source: The Wall Street Journal, June Fletcher (08/28/2009)
Selling a home and helping the buyer finance may be a good option to getting a house sold, experts say. Yet it is imperative that the seller thoroughly investigate the buyer’s finances before agreeing to the deal.
Here are some important initial steps to take:
Investigate the buyer by asking him to fill out a Uniform Residential Loan Application.
Get bankruptcy details by checking out the case through Public Assess to Court Electronic Records (PACER), a service of the U.S. Judiciary.
Pull the buyer’s credit report and eviction and criminal history via http://www.american-apartment-owners-association.org/tenant-screening/.
Insist on 20 percent down or offer a contract for deed, which only confers full ownership rights after the home is paid off.
Consider offering a lease-option with part of the payment going toward the purchase price, which gives the buyer time to repair his credit before seeking conventional financing.
Source: The Wall Street Journal, June Fletcher (08/28/2009)
Internal Revenue Service plans Audits
Audits Planned for High Mortgage Deductions
The Internal Revenue Service plans to step up its reviews of taxpayers who take the mortgage interest deduction and target some for audit.
The Treasury inspector general for tax administration released a memo Monday announcing plans for the review, pointing out that there are thousands of homeowners who paid more than $20,000 in mortgage interest in 2005 who either failed to file a tax return or reported income that was less than would have been required to pay their mortgage and other basic living expenses.
The move is not without its critics.
"We shouldn't presume that these struggling families are tax cheats just because they continue to make their mortgage payments despite losing their income," says Rep. Charles Boustany (R–La.), the top minority member of the House Oversight Subcommittee.
Source: The Wall Street Journal, Martin Vaughan (09/01/2009)
The Internal Revenue Service plans to step up its reviews of taxpayers who take the mortgage interest deduction and target some for audit.
The Treasury inspector general for tax administration released a memo Monday announcing plans for the review, pointing out that there are thousands of homeowners who paid more than $20,000 in mortgage interest in 2005 who either failed to file a tax return or reported income that was less than would have been required to pay their mortgage and other basic living expenses.
The move is not without its critics.
"We shouldn't presume that these struggling families are tax cheats just because they continue to make their mortgage payments despite losing their income," says Rep. Charles Boustany (R–La.), the top minority member of the House Oversight Subcommittee.
Source: The Wall Street Journal, Martin Vaughan (09/01/2009)
Saturday, August 29, 2009
REALTOR® Designations
Just what do all those initials mean and why should I care?
Below is a list of designations and certifications recognized by the National Association of Realtors:
ABR - Accredited Buyer Representative
CRS® - Certified Residential Specialist®
green - the NAR sustainable property designation
GRI - Graduate REALTOR® Institue
RSPS - Resort & Second-Home Property Specialist Certification
SRES® - Seniors Real Estate Specialist
CRE - Counselor of Real Estate
CIPS - Certified International Property Specialist
When evaluating your Real Estate needs and who may best serve those needs the above designations can assist you in choosing your REALTOR®. Individual REALTORS® who have earned a designation have chosen to further their education in specialty areas to better serve their buyers and sellers thus giving credibility to the services they provide.
For further information on the designations and certificates go to http://www.realtor.org/education
Below is a list of designations and certifications recognized by the National Association of Realtors:
ABR - Accredited Buyer Representative
CRS® - Certified Residential Specialist®
green - the NAR sustainable property designation
GRI - Graduate REALTOR® Institue
RSPS - Resort & Second-Home Property Specialist Certification
SRES® - Seniors Real Estate Specialist
CRE - Counselor of Real Estate
CIPS - Certified International Property Specialist
When evaluating your Real Estate needs and who may best serve those needs the above designations can assist you in choosing your REALTOR®. Individual REALTORS® who have earned a designation have chosen to further their education in specialty areas to better serve their buyers and sellers thus giving credibility to the services they provide.
For further information on the designations and certificates go to http://www.realtor.org/education
Thursday, August 27, 2009
More Good News
Daily Real Estate News | August 27, 2009 |
Dallas Fed Chief Says Worst is Over
The recession is over and the economy is no longer in freefall, says Richard W. Fisher, president and chief executive of the Federal Reserve Bank of Dallas.
Fisher says the worst is certainly over for the residential housing market. "The way the math works, I call it the Johnny Mercer effect," he says, referring to the singer- songwriter who wrote the lyric: “Accentuate the positive, eliminate the negative. …"
“When you start to eliminate the negative, you get a little positive momentum."
Meanwhile, Richmond Federal Reserve President Jeffrey Lacker offered similar sentiments, saying that the housing market had begun to improve five months ago and was no longer a drag on economic growth.
Source: The Dallas Morning News, Brendan Case (08/26/2009); Danville Register & Bee (08/26/2009)
Dallas Fed Chief Says Worst is Over
The recession is over and the economy is no longer in freefall, says Richard W. Fisher, president and chief executive of the Federal Reserve Bank of Dallas.
Fisher says the worst is certainly over for the residential housing market. "The way the math works, I call it the Johnny Mercer effect," he says, referring to the singer- songwriter who wrote the lyric: “Accentuate the positive, eliminate the negative. …"
“When you start to eliminate the negative, you get a little positive momentum."
Meanwhile, Richmond Federal Reserve President Jeffrey Lacker offered similar sentiments, saying that the housing market had begun to improve five months ago and was no longer a drag on economic growth.
Source: The Dallas Morning News, Brendan Case (08/26/2009); Danville Register & Bee (08/26/2009)
Saturday, August 22, 2009
$8,000 First Time Home Buyer Tax Credit
As part of its plan to stimulate the U.S. housing market and address the economic challenges facing our nation, Congress has passed legislation that grants a tax credit of up to $8,000 to first-time home buyers.
Here is more information about how the 2009 First-Time Home Buyer Tax Credit can help prospective home buyers become part of the American dream.
Latest news: NAR Research First-Time Home Buyer Tax Credit Webinar: September 3, 2009
Who Qualifies?
First-time home buyers who purchase homes between January 1, 2009 and December 1, 2009.
To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase.
Which Properties Are Eligible?
The 2009 First-Time Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.
How Much Will the Credit Be?
The maximum allowable credit for home buyers is $8,000. Each home buyer’s tax credit is determined by two factors:
The price of the home—the credit is equal to 10% of the purchase price of the home, up to $8,000.
The buyer's income—single buyers with incomes up to $75,000 and married couples with incomes up to $150,000—may receive the maximum tax credit.
If the Buyer(s)’ Income Exceeds These Limits, Can He/She Still Get a Credit?
Yes, some buyers may still be eligible for the credit.
The credit decreases for buyers who earn between $75,000 and $95,000 for single buyers and between $150,000 and $170,000 for home buyers filing jointly. The amount of the tax credit decreases as his/her income approaches the maximum limit. Home buyers earning more than the maximum qualifying income—over $95,000 for singles and over $170,000 for couples are not eligible for the credit.
Will the Tax Credit Need to Be Repaid?
No. The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during the three-year period, the credit will be recouped on the sale.
© Copyright NATIONAL ASSOCIATION of REALTORS® | Headquarters: 430 North Michigan Avenue, Chicago, IL 60611
DC Office: 500 New Jersey Avenue, NW, Washington, DC 20001-2020 I 1-800-874-6500
Here is more information about how the 2009 First-Time Home Buyer Tax Credit can help prospective home buyers become part of the American dream.
Latest news: NAR Research First-Time Home Buyer Tax Credit Webinar: September 3, 2009
Who Qualifies?
First-time home buyers who purchase homes between January 1, 2009 and December 1, 2009.
To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase.
Which Properties Are Eligible?
The 2009 First-Time Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.
How Much Will the Credit Be?
The maximum allowable credit for home buyers is $8,000. Each home buyer’s tax credit is determined by two factors:
The price of the home—the credit is equal to 10% of the purchase price of the home, up to $8,000.
The buyer's income—single buyers with incomes up to $75,000 and married couples with incomes up to $150,000—may receive the maximum tax credit.
If the Buyer(s)’ Income Exceeds These Limits, Can He/She Still Get a Credit?
Yes, some buyers may still be eligible for the credit.
The credit decreases for buyers who earn between $75,000 and $95,000 for single buyers and between $150,000 and $170,000 for home buyers filing jointly. The amount of the tax credit decreases as his/her income approaches the maximum limit. Home buyers earning more than the maximum qualifying income—over $95,000 for singles and over $170,000 for couples are not eligible for the credit.
Will the Tax Credit Need to Be Repaid?
No. The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during the three-year period, the credit will be recouped on the sale.
© Copyright NATIONAL ASSOCIATION of REALTORS® | Headquarters: 430 North Michigan Avenue, Chicago, IL 60611
DC Office: 500 New Jersey Avenue, NW, Washington, DC 20001-2020 I 1-800-874-6500
Tuesday, August 11, 2009
What is a Short Sale?
Something I am asked almost on a daily basis is "what is a short sale?" What it definitely is not is a "quick sale". Based on experience, many short sales take minimum 90 days if not 6 months to a year to close - if it ever does.
In basic terms, a short sell is when a lender allows an owner to sell a property for less than is owed to the lender. The discounted loan is then "written off" by the lender and the borrower is issued a 1099 from the lender for the discounted amount.
The theory of a short sale is that the seller will not have as big a hit on their credit report if a loan is discounted versus allowing the property to go into foreclosure. For the lender there is a cost savings associated with a short sale versus a foreclosure.
There are numerous problems with the entire short sale process. First, the lenders have not standardized a short sale process thus every lender has different rules. This is part of the reason the process takes as long as it does. The documentation a lender may require is not always the same thus the REALTOR® must endure a pain staking learning curve with each lender in order to finalize a complete package for submittal.
Second, lenders order Broker Price Opinions (BPO) instead of Appraisals to determine the value of a property. Broker Price Opinions are generated by Brokers while Appraisals are generated by Appraisers. Some REALTORS® are adept at creating a BPO but there are many who are not and the process is unregulated. Some BPO's submitted to lenders are just inaccurate. I have also had REALTORS® tell me that the lender "made them" change the value on the BPO after it was submitted.
The third issue is negotiating with the lender before the property ends up in foreclosure. Foreclosures are processed on the first Tuesday of every month. Thus if a property is in the final stages of foreclosure then it is possible an offer can be sitting on a short sale negotiator's desk but the property is now in the hands of the foreclosure department.
This very scenario has happened more than once. In one particular incident an offer was sitting on the short sale negotiator's desk the Monday before the date of the foreclosure. The negotiator could not find the attorney to stop the foreclosure. The property was foreclosed upon and then ended up selling for less than the short sale offer.
Short sales may sound like a deal to a buyer but the truth is that at times the buyer ends up paying more for a property than it is truly worth or they end up spending time and money on a property that they never end up owning because of the inadequacies of the short sale process.
The key for a buyer is to work with a REALTOR® who knows the local market. A good REALTOR® can tell you if a property is a good deal or not. There are many motivated sellers in this market who may be willing to sell for much less than the asking price - or a short sale asking price. You just need to ask.
Sellers, always ask the REALTOR® how many short sales they have completed successfully before hiring them. This one question may save you a lot of time and headache later on down the road.
In basic terms, a short sell is when a lender allows an owner to sell a property for less than is owed to the lender. The discounted loan is then "written off" by the lender and the borrower is issued a 1099 from the lender for the discounted amount.
The theory of a short sale is that the seller will not have as big a hit on their credit report if a loan is discounted versus allowing the property to go into foreclosure. For the lender there is a cost savings associated with a short sale versus a foreclosure.
There are numerous problems with the entire short sale process. First, the lenders have not standardized a short sale process thus every lender has different rules. This is part of the reason the process takes as long as it does. The documentation a lender may require is not always the same thus the REALTOR® must endure a pain staking learning curve with each lender in order to finalize a complete package for submittal.
Second, lenders order Broker Price Opinions (BPO) instead of Appraisals to determine the value of a property. Broker Price Opinions are generated by Brokers while Appraisals are generated by Appraisers. Some REALTORS® are adept at creating a BPO but there are many who are not and the process is unregulated. Some BPO's submitted to lenders are just inaccurate. I have also had REALTORS® tell me that the lender "made them" change the value on the BPO after it was submitted.
The third issue is negotiating with the lender before the property ends up in foreclosure. Foreclosures are processed on the first Tuesday of every month. Thus if a property is in the final stages of foreclosure then it is possible an offer can be sitting on a short sale negotiator's desk but the property is now in the hands of the foreclosure department.
This very scenario has happened more than once. In one particular incident an offer was sitting on the short sale negotiator's desk the Monday before the date of the foreclosure. The negotiator could not find the attorney to stop the foreclosure. The property was foreclosed upon and then ended up selling for less than the short sale offer.
Short sales may sound like a deal to a buyer but the truth is that at times the buyer ends up paying more for a property than it is truly worth or they end up spending time and money on a property that they never end up owning because of the inadequacies of the short sale process.
The key for a buyer is to work with a REALTOR® who knows the local market. A good REALTOR® can tell you if a property is a good deal or not. There are many motivated sellers in this market who may be willing to sell for much less than the asking price - or a short sale asking price. You just need to ask.
Sellers, always ask the REALTOR® how many short sales they have completed successfully before hiring them. This one question may save you a lot of time and headache later on down the road.
Monday, July 27, 2009
3 Real Estate Tax Breaks
3 Tax Breaks to Take in 2009
The passage of the Emergency Economic Stabilization Act of 2008 (H.R. 1424) last fall extended several tax benefits for commercial properties.
April 2009
1. The 15-year straight-line depreciation cost recovery period for leasehold improvements placed in service after Dec. 31, 2008, has been extended through 2009.
2. Deductions for energy-efficient upgrades in commercial buildings (not apartments) have been extended through 2013. Deductions are up to $1.80 per square foot for buildings achieving a 50 percent use reduction.
3. The cost of environmental remediation can still be deducted rather than capitalized for property placed in service after Dec. 31, 2007; this is extended through 2009.
The passage of the Emergency Economic Stabilization Act of 2008 (H.R. 1424) last fall extended several tax benefits for commercial properties.
April 2009
1. The 15-year straight-line depreciation cost recovery period for leasehold improvements placed in service after Dec. 31, 2008, has been extended through 2009.
2. Deductions for energy-efficient upgrades in commercial buildings (not apartments) have been extended through 2013. Deductions are up to $1.80 per square foot for buildings achieving a 50 percent use reduction.
3. The cost of environmental remediation can still be deducted rather than capitalized for property placed in service after Dec. 31, 2007; this is extended through 2009.
Sunday, July 26, 2009
LyondellBassell Bike Around the Bay
LyondellBasell Bike Around the Bay 2009
will be held
October 10th and 11th.
LyondellBasell Bike Around the Bay is a fun, two-day, 150 mile bicycle ride around Galveston Bay
showcasing the natural beauty of the bay and benefiting the Galveston Bay Foundation.
Over 250 volunteers volunteered at LyondellBasell Bike Around the Bay 2007.
After Hurricane Ike interrupted the ride in 2008, over 350 volunteers rallied and helped create “Clean Up Around the Bay 2008,”
which benefitted Galveston Island State Park, Virginia Point Peninsula Preserve, and the Anahuac National Wildlife Refuge.
NOW WE NEED YOUR HELP AGAIN!
Currently, we need of groups of volunteers that are interested in coordinating a breakpoint.
Groups of 10-20 volunteers will help set-up, manage, and take-down rest areas where riders stop for drinks, snacks, bike support, etc.
Volunteers are needed from 7:00am-5:00pm with most shifts running 3-6 hours.
ALL VOLUNTEERS WILL RECEIVE A FREE LyondellBasell Bike Around the Bay 2009 T-SHIRT!
If you would like to participate, please send an e-mail to jmintzer@galvbay.org or call 281-332-3381 ext. 207 by August 21 and we’ll send you a registration packet.
Thank you! We hope you can make it!
--
Julie MintzerDirector of Community ProgramsGalveston Bay Foundation17330 Highway 3 Webster, TX 77598Office: (281) 332-3381 x 207Fax: (281) 332-3153www.galvbay.org
will be held
October 10th and 11th.
LyondellBasell Bike Around the Bay is a fun, two-day, 150 mile bicycle ride around Galveston Bay
showcasing the natural beauty of the bay and benefiting the Galveston Bay Foundation.
Over 250 volunteers volunteered at LyondellBasell Bike Around the Bay 2007.
After Hurricane Ike interrupted the ride in 2008, over 350 volunteers rallied and helped create “Clean Up Around the Bay 2008,”
which benefitted Galveston Island State Park, Virginia Point Peninsula Preserve, and the Anahuac National Wildlife Refuge.
NOW WE NEED YOUR HELP AGAIN!
Currently, we need of groups of volunteers that are interested in coordinating a breakpoint.
Groups of 10-20 volunteers will help set-up, manage, and take-down rest areas where riders stop for drinks, snacks, bike support, etc.
Volunteers are needed from 7:00am-5:00pm with most shifts running 3-6 hours.
ALL VOLUNTEERS WILL RECEIVE A FREE LyondellBasell Bike Around the Bay 2009 T-SHIRT!
If you would like to participate, please send an e-mail to jmintzer@galvbay.org or call 281-332-3381 ext. 207 by August 21 and we’ll send you a registration packet.
Thank you! We hope you can make it!
--
Julie MintzerDirector of Community ProgramsGalveston Bay Foundation17330 Highway 3 Webster, TX 77598Office: (281) 332-3381 x 207Fax: (281) 332-3153www.galvbay.org
Saturday, July 25, 2009
Galveston Home Sales Data
The chart above is taken from the Real Estate Center at Texas A&M University. The gray bars show the 2009 sales as compared to 2008 (blue) and 2007 (yellow). While we are not currently breaking any records it is obvious residential sales have increased tremendously in June as compared to the first 5 months of the year. Indications are July will fall short of June but there are still 6 days to go!Sunday, July 12, 2009
Galveston Real Estate Market shows improvement
The Galveston Real Estate market has shown improvement since April 2009. The chart below depicts the median price has shown a dramatic increase over the last 3 months.
Wednesday, April 8, 2009
2009 1st Quarter Real Estate Sales Stats on Galveston Island
Island Wide 1st quarter single family sales are down 64% as compared to the same period in 2008. The number of units sold fell 9% while the average sales price has fallen from $296,392 to $116,612. A majority of the reduction is reflective of "in town" Ike damaged homes selling for as low as $9/sq ft.
An analysis of Galveston "In Town" sales shows a rise in the number of homes sold by 29 units. The averages sales price has fallen from 161,901 to 96,102. A majority of the sales are flooded homes selling "As Is".
Galveston West End homes sales are down by 39 units (64%). The volume is down $22,509,000 (84%). The average sales price is down 54% from 441,906 to 202,150.
What does all this mean? There is not a better time to buy on Galveston Island.
An analysis of Galveston "In Town" sales shows a rise in the number of homes sold by 29 units. The averages sales price has fallen from 161,901 to 96,102. A majority of the sales are flooded homes selling "As Is".
Galveston West End homes sales are down by 39 units (64%). The volume is down $22,509,000 (84%). The average sales price is down 54% from 441,906 to 202,150.
What does all this mean? There is not a better time to buy on Galveston Island.
Tuesday, April 7, 2009
Jumbo Loans
Jumbo Loans Getting Easier to Find.
For nearly a year, it has been almost impossible for buyers of homes selling for more than $417,00 in most parts of the country and up to $729,750 in pricier areas to find jumbo mortgages to pay for them.Now that appears to be changing. Bank of America recently began offering a 30-year fixed rate jumbo at less than 6 percent. "We decided it was time to really go after that market," says Vijay Lala, a product management executive for the bank.Other banks, including Wells Fargo, J.P. Morgan Chase, GMAC, ING Direct and Citibank are following suit, said Guy Cecala, publisher of Inside Mortgage Finance.Borrowers for jumbos should be prepared for a complex process and should shop aggressively for the best rate, Cecala says.Source: The Wall Street Journal, Amy Hoak (04/04/2009)
For nearly a year, it has been almost impossible for buyers of homes selling for more than $417,00 in most parts of the country and up to $729,750 in pricier areas to find jumbo mortgages to pay for them.Now that appears to be changing. Bank of America recently began offering a 30-year fixed rate jumbo at less than 6 percent. "We decided it was time to really go after that market," says Vijay Lala, a product management executive for the bank.Other banks, including Wells Fargo, J.P. Morgan Chase, GMAC, ING Direct and Citibank are following suit, said Guy Cecala, publisher of Inside Mortgage Finance.Borrowers for jumbos should be prepared for a complex process and should shop aggressively for the best rate, Cecala says.Source: The Wall Street Journal, Amy Hoak (04/04/2009)
Sunday, March 22, 2009
Custom Canal Home
4 Bedroom/ 3 full & 2 half Bath / 4,629 sq. ft.Custom canal home built by prestigous Island builder Doug Leboeuf. Canal cul-de-sac location offers Southern views down canal & Bay Views to the North. Oak wood finishes & flooring. Travertine flooring in wet areas. Professional grade appliances. Wet Bar w/wine cooler down. Dry Bar w/frig up. 2 Master Suites. Phone w/paging system. Elevator. Central Dehumidifier. Screened Patio. Storm Shutters. Enclosed entry rear of home. Custom cabinets/closets/storage rooms. Ask for list of amenities.
Tuesday, March 17, 2009
300 new trees coming to Galveston
FOR IMMEDIATE RELEASE
Turning Over a New Leaf: Galveston’s Push
to Rebuild, Recover, and … Replant!
Galveston, Texas
March 16, 2009
Ike certainly dealt the Island a blow, but with spring in the air the City of Galveston is
taking steps to replace many of the trees and plants that were damaged by the hurricane’s
salty tidal surge. On Saturday, March 28th, volunteers will plant nearly 300 trees
throughout the Island. Working closely with the Texas Forestry Service, Texas
Department of Transportation, and the National Arbor Day Foundation, the City has
organized this reforestation effort to replant trees in the esplanades along Broadway and
25th Street as well as within in several city parks.
Hurricane Ike’s fury uprooted 32 of the historic live oaks that line Galveston’s main
streets. Since last September, City officials have worked closely with the Texas Forest
Service and Texas A&M University to save the remaining trees along the grand
esplanades. Nearly 100 years old, these oaks were planted after the 1900 Storm as an
integral part of the Island’s original reforestation. They are contributing features to
Galveston’s historic landscape.
In addition, the National Arbor Day Foundation has donated 5,000 seedlings for residents
to plant on their properties! The main seedling distribution point will be Ball High
School, 4115 Avenue O. City officials will be handing out seedlings in conjunction with
the Galveston Community Recovery Committee’s last public open house meeting. The
seedlings will be given away on a first-come-first-serve basis.
The City wishes to thank the many sponsors who made this event possible: Texas
Forestry Service; Texas Department of Transportation; City of Galveston; Texas A&M
University at Galveston; Clean Galveston; Keep Houston Beautiful; Houston Galveston
Area Council (H-GAC); National Arbor Day Foundation (NADF); Houston Area Urban
Forestry Council (HAUFC); International Society of Arboriculture - Texas Chapter (ISAT);
Apache Oil; Rodeo Houston; Boyer; and Christison Landscape.
###
Press Release
For information:
Alicia Cahill
Public Information Officer
(409) 797-3546
cahillali@cityofgalveston.org
This release is also located on the City of
Galveston’s website under the News heading.
Please visit www.cityofgalveston.org
Turning Over a New Leaf: Galveston’s Push
to Rebuild, Recover, and … Replant!
Galveston, Texas
March 16, 2009
Ike certainly dealt the Island a blow, but with spring in the air the City of Galveston is
taking steps to replace many of the trees and plants that were damaged by the hurricane’s
salty tidal surge. On Saturday, March 28th, volunteers will plant nearly 300 trees
throughout the Island. Working closely with the Texas Forestry Service, Texas
Department of Transportation, and the National Arbor Day Foundation, the City has
organized this reforestation effort to replant trees in the esplanades along Broadway and
25th Street as well as within in several city parks.
Hurricane Ike’s fury uprooted 32 of the historic live oaks that line Galveston’s main
streets. Since last September, City officials have worked closely with the Texas Forest
Service and Texas A&M University to save the remaining trees along the grand
esplanades. Nearly 100 years old, these oaks were planted after the 1900 Storm as an
integral part of the Island’s original reforestation. They are contributing features to
Galveston’s historic landscape.
In addition, the National Arbor Day Foundation has donated 5,000 seedlings for residents
to plant on their properties! The main seedling distribution point will be Ball High
School, 4115 Avenue O. City officials will be handing out seedlings in conjunction with
the Galveston Community Recovery Committee’s last public open house meeting. The
seedlings will be given away on a first-come-first-serve basis.
The City wishes to thank the many sponsors who made this event possible: Texas
Forestry Service; Texas Department of Transportation; City of Galveston; Texas A&M
University at Galveston; Clean Galveston; Keep Houston Beautiful; Houston Galveston
Area Council (H-GAC); National Arbor Day Foundation (NADF); Houston Area Urban
Forestry Council (HAUFC); International Society of Arboriculture - Texas Chapter (ISAT);
Apache Oil; Rodeo Houston; Boyer; and Christison Landscape.
###
Press Release
For information:
Alicia Cahill
Public Information Officer
(409) 797-3546
cahillali@cityofgalveston.org
This release is also located on the City of
Galveston’s website under the News heading.
Please visit www.cityofgalveston.org
Sunday, March 1, 2009
Galveston City Council Meetings can be found on streaming video
Are you like me and would love to watch the city council meetings but do not subscribe to Comcast nor have time to attend the 6 to 8 hour meeting? I found out just this a.m. that you can watch it at http://www.guidrynews.com/ via streaming video. The link is right on the front page! The city council in their wisdom is not advertising the fact this has been available since December 18. The hours I could have saved had I only known. Read the article below taken directly from http://www.guidrynews.com/. Thank you Jim Guidry!
Galveston County
Remarks to Galveston City Council
by Jim GuidryThursday, February 26, 2009
These remarks were prepared for delivery to Galveston City Council:
Mayor Thomas and Members of City Council.
I am Jim Guidry, co-owner of Guidry News Service with my wife Lynda. We are currently headquartered in Galveston City Council District 3 at 1818 Church.
GuidryNews.com has been posting Streaming Video recordings of Galveston City Council meetings, which are accessible on any computer connected to the Internet, since December 18, at no cost to the City of Galveston.
We decided to provide this service because of the severe budget problems caused to the city by Hurricane Ike. You had budgeted for an elaborate system of live and archived streaming video of the city council meetings, but were forced to abandon that project this year, because of Ike. I hope that the city council will choose to provide the service in the FY 2010 Budget.
Lynda and I believe that it is important that the video be provided online so that Galveston residents who have been forced to live off the island until their properties are restored can follow your deliberations.
Also, residents who remain on the island have had budget problems themselves because of Hurricane Ike and many no longer subscribe to Comcast; and thus, cannot follow the city council meetings from their homes.
While many residents have expressed appreciation for this service, that has not been the case here at City Hall.
Here is a little background on this project.
Our first offer was to upload the video to GuidryNews.com at no cost to the City, if the City would provide an appropriate video file.
The City initially declined this offer because of the expense of converting the DVD recordings by Darrell John’s DLJ Productions. My webmaster said that he had software to accomplish this and we decided to move forward at our own cost.
Then we had a problem with timing. Darrell John said that he normally provides the DVDs to the City several days after the meeting, but said that he would accommodate us with speedier delivery if the city manager approved. We agreed to pay for "rush" delivery, which DLJ has been providing. It has been costing us from $75 to $125 per meeting, depending on the length of the meeting.
The DVD's of tonight's meeting will be converted to streaming video on Friday and we will have it posted Friday evening.
My reason for appearing before the city council this evening is two-fold.
I want to announce to the public watching on Channel 16 that this service is available at GuidryNews.com and they can tell their friends and neighbors who are living off the island or who do not have cable.
The second reason is to complain that the City of Galveston has refused to include an announcement of this service in the scroll on Channel 16 and also has refused to put a front page link to our free service on the City's website.
Alicia Cahill, the City's public information officer, first said that the agreement with Comcast would not permit such an announcement on Channel 16. Later she revised that to say it would violate city-adopted rules for use of the channel.
"The rules clearly state that advertising is prohibited," she said.
Well, this is not advertising. It is advising residents of Galveston about a service that is available.
The City also has refused to put a link to the Streaming Video on the front page of the City's website, presumably for the same reason.
Using that logic, the City could not advise evacuating residents to monitor KTRH Radio, which is now the city's official radio station, for emergency information during hurricanes.
This is one of those things that if it were not so serious, it would be silly.
Please review the current policy and add an announcement about the GuidryNews.com streaming video of city council meetings to the Channel 16 scroll and to the front page of the City's Website.
Thank you for your attention.
Listen to the actual presentation: RealPlayer MP3
Galveston County
Remarks to Galveston City Council
by Jim GuidryThursday, February 26, 2009
These remarks were prepared for delivery to Galveston City Council:
Mayor Thomas and Members of City Council.
I am Jim Guidry, co-owner of Guidry News Service with my wife Lynda. We are currently headquartered in Galveston City Council District 3 at 1818 Church.
GuidryNews.com has been posting Streaming Video recordings of Galveston City Council meetings, which are accessible on any computer connected to the Internet, since December 18, at no cost to the City of Galveston.
We decided to provide this service because of the severe budget problems caused to the city by Hurricane Ike. You had budgeted for an elaborate system of live and archived streaming video of the city council meetings, but were forced to abandon that project this year, because of Ike. I hope that the city council will choose to provide the service in the FY 2010 Budget.
Lynda and I believe that it is important that the video be provided online so that Galveston residents who have been forced to live off the island until their properties are restored can follow your deliberations.
Also, residents who remain on the island have had budget problems themselves because of Hurricane Ike and many no longer subscribe to Comcast; and thus, cannot follow the city council meetings from their homes.
While many residents have expressed appreciation for this service, that has not been the case here at City Hall.
Here is a little background on this project.
Our first offer was to upload the video to GuidryNews.com at no cost to the City, if the City would provide an appropriate video file.
The City initially declined this offer because of the expense of converting the DVD recordings by Darrell John’s DLJ Productions. My webmaster said that he had software to accomplish this and we decided to move forward at our own cost.
Then we had a problem with timing. Darrell John said that he normally provides the DVDs to the City several days after the meeting, but said that he would accommodate us with speedier delivery if the city manager approved. We agreed to pay for "rush" delivery, which DLJ has been providing. It has been costing us from $75 to $125 per meeting, depending on the length of the meeting.
The DVD's of tonight's meeting will be converted to streaming video on Friday and we will have it posted Friday evening.
My reason for appearing before the city council this evening is two-fold.
I want to announce to the public watching on Channel 16 that this service is available at GuidryNews.com and they can tell their friends and neighbors who are living off the island or who do not have cable.
The second reason is to complain that the City of Galveston has refused to include an announcement of this service in the scroll on Channel 16 and also has refused to put a front page link to our free service on the City's website.
Alicia Cahill, the City's public information officer, first said that the agreement with Comcast would not permit such an announcement on Channel 16. Later she revised that to say it would violate city-adopted rules for use of the channel.
"The rules clearly state that advertising is prohibited," she said.
Well, this is not advertising. It is advising residents of Galveston about a service that is available.
The City also has refused to put a link to the Streaming Video on the front page of the City's website, presumably for the same reason.
Using that logic, the City could not advise evacuating residents to monitor KTRH Radio, which is now the city's official radio station, for emergency information during hurricanes.
This is one of those things that if it were not so serious, it would be silly.
Please review the current policy and add an announcement about the GuidryNews.com streaming video of city council meetings to the Channel 16 scroll and to the front page of the City's Website.
Thank you for your attention.
Listen to the actual presentation: RealPlayer MP3
Wednesday, February 11, 2009
Post Ike Real Estate Sales
Since September 12th there have been 17 homes sell on the West End. 6 of these homes were in contract prior to Ike. There are currently 9 homes pending and there are an additional 212 homes listed for sale.
The homes have ranged in sales price from $40,000 to $910,000. The price per sq ft has been as low as $65 for a dry home in Sea Isle to as high as $297 for a beachfront home in Indian Beach.
Contact me if you would like specifics for your neighborhood.
The homes have ranged in sales price from $40,000 to $910,000. The price per sq ft has been as low as $65 for a dry home in Sea Isle to as high as $297 for a beachfront home in Indian Beach.
Contact me if you would like specifics for your neighborhood.
Sunday, February 8, 2009
22007 Zachary
3 Bedroom / 1 Bath / 904 sq. ft.Selling 'as is'. Just a little TLC needed on this adorable beach home which offers short walking distance to beach and wonderful beach and Gulf Views. Sold furnished, this home has made a good rental. You do not want to miss this opportunity to own a great family and/or beach home in Sea Isle where the amenities include a Marina, Restaurant, Swimming Pool, Play Ground, and more... The offer will be worked as a short sale.
8406 Cardamon
4 Bedroom / 2.5 Bath / 2534 sq. ft.Beautiful home on culdesac in nice subdivision near schools.
13414 Binnacle Way
3 Bedroom / 2 Bath / 1599 sq. ft.Looking for an affordable home in Laffite's Cove WITH a swimming pool? Spacious, yet simple floor plan with tons of natural light. Multiple decks looking over nature preserve, the swimming pool with flagstone deck, and, of course, the hot tub. Fully fenced and includes the barbeque grill. Don't miss the brand new roof!
11207 Reagor Way
3 Bedroom / 2.5 Bath / 1350 sq. ft.What a GEM in this rustic West End Beachside Community Close to Town. All bedrooms on the second level. The first floor is an open concept w/ combined kitchen, dining, & living along w/ a 1/2 bath. Pine floors on the first level, carpet on the stairs & second level. Granite countertops, stainless appliances & decorative lighting adorn the kitchen. Grass window shades cover impact windows throughout. 2 levels of decks offer incredible East views of the Gulf. Furniture is negotiable as well.
13603 Windlass Circle
4 Bedroom / 2 Bath / 2169 sq. ft.Beachy Canal Home in sought after Laffite's Cove. Large deck double Jet Ski and Boat Lift. Modern cabinets and light fixtures. Crown molding. Open floor plan. Large Patio area for entertaining and family gatherings.
4304 Flamingo Way
www.kellykelley.com
3 Bedroom / 2.5 Bath / 2100 sq. ft.One of a kind home w/ no adjacent property to the North for incredible views of the main canal & West Bay from not only the multiple decks surrounding the home but also the multiple windows most w/ electric shutters. Grand stone fireplace, Travertine floors, Granite countertops in bathrooms, Tumbled Marble countertops and Backsplash in kitchen are a few of the modern finishes. Slate, iron fencing, & landscaping surround the exterior of the property provide a private estate feel. New boat dock.
3611 Cove Lane
3 Bedroom / 2 Bath / 2352 sq. ft.Fun and inviting home near curve of canal in prestigous Laffite's Cove. Bay views from multiple decks. Entire 2nd floor made up of Master Suite with access to private deck. Suite large enough for separate sitting area. Combined kitchen/living/dining areas. Built-ins next to gas fireplace. Enclosed entry way with new carpet on stairs. Option of washer/dryer in house or in garage.
3611 Cove Lane
3 Bedroom / 2 Bath / 2352 sq. ft.Fun and inviting home near curve of canal in prestigous Laffite's Cove. Bay views from multiple decks. Entire 2nd floor made up of Master Suite with access to private deck. Suite large enough for separate sitting area. Combined kitchen/living/dining areas. Built-ins next to gas fireplace. Enclosed entry way with new carpet on stairs. Option of washer/dryer in house or in garage.
4102 Silver Reef
4 Bedroom / 3 Bath / 2400 sq. ft.Pirates Beach West new construction w/ Gulf Views down Green Belt & Bay views from North deck. Over 700 sq ft of decks. Finishes include decorative light fixtures, tile floors in living & wet areas, upgraded carpet in bedrooms, crown molding, granite countertops, gas range, stainless appliances, bead board cabinet fronts, gas log fireplace w/ built in cabinets on either side, tile shower & tub walls. Elevator shaft. Oversize lot with room for a pool.
22112 Cantina Drive
4 Bedroom / 3 Bath / 2469 sq. ft.New construction in newest section of Sea Isle. Prime canal lot as it offers views of the Gulf as well as the canal. Walking distance to beach. Finishes include granite countertops, fireplace, crown molding, ceramic tile, enclosed entry, jetted tub in master. Island kitchen with breakfast bar. Breakfast room offers great views of the canal. Den offers great Gulf Views.
Historical Beauty
3 Bedroom / 2.5 Bath / 2254 sq. ftNamed the Hemingway House as it is reminiscent of Hemingway's home in Key West. The picturesque view from the dining or den is of a brick garden w/ lush tropical landscaping. The room off the kitchen offers a fireplace for romantic dining, a sunny breakfast room, or a den for visiting while the chef cooks in the island kitchen. Upstairs the deck through the French Doors offers a view of the garden and at the front of the home is a deck for watching the Mardi Gras Parade.
Thursday, February 5, 2009
22319 Bay Vista
4 Bedroom / 3.5 Bath / 2350 sq. ft.2006 remodeled home on 2 Canal Front lots in beautiful Isla Del Sol. Bay views. North and South decks. Wide open canal. All new flooring, increased ceiling height, remodeled kitchen. Oversized deck. Great fishing - less than 5 minutes by boat to bay. Double boat lift. Community has private fishing pier and community boat ramp.
26723 Bay Water
4 Bedroom / 3.5 Bath / 3200 sq. ft.High quality construction with unique finishes. Unobstructed Bay Views and great Gulf Views in beautiful Pointe West - Galveston's newest Resort Destination. This home is meant to entertain - perfect for corporate gatherings. Great rental potential. All new landscaping.
Wednesday, February 4, 2009
Damage Assessment Map Sea Isle to the West
The city updates the damage assessment map from Sea Isle to the West End of the Island:
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_Sea_Isle_West.pdf
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_Sea_Isle_West.pdf
Damage Assessment Map from 75th to 103rd
The city updates damage assessment map from 75th St to 103rd:
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_75_to_103.pdf
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_75_to_103.pdf
Damage Assessment Map 103rd to Spanish Grant
The city updates the damage assessment map from 103rd St to Spanish Grant:
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_103_to_Spanish_Grant.pdf
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_103_to_Spanish_Grant.pdf
Damage Assessment Map Spanish Grant to State Park
The city updates the damage assessment map from Spanish Grant to State Park:
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_Spanish_Grant_to_State_Park.pdf
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_Spanish_Grant_to_State_Park.pdf
Damage Assessment Map 50th St. to 75th St.
City updates damage assessment maps from 50th to 75th Street.
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_50_to_75.pdf
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_50_to_75.pdf
Damage Assessment Map East to 25th Street
The city has updated the damage assessment map from the East End of the Island to 25th St:
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_25_East.pdf
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_25_East.pdf
Damage Assessment Map for 25th to 50th Street
City updates damage assessment map for 25th to 50th St.: http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_25_to_50.pdf
Damage assessment maps Jamaica Beach to Sunset Cove
The city has posted the update damage assessment map Jamaica Beach to Sunset Cove:
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_JB_to_Sunet_Cove.pdf
http://cityofgalveston.org/_private/newstool/newsdoc/Damage_Assessment_Map_JB_to_Sunet_Cove.pdf
Tuesday, February 3, 2009
Beachside Jewel
4 Bedroom / 3 Bath / 2629 sq. ft.This home is full of quality finishes. Gulf Views from multiple decks. Storage room ground level and elevator shaft. Combination tile and wood flooring including Master. Carpet in other bedrooms. Master bath with jetted tub, beautiful tile countertops, custom cabinets, painted dome ceiling over tub. Rich cabinetry throughout the home. Granite countertops. Gas log fireplace. Crown molding, Plantation shutters, Winebar, Comes fully furnished.
22621 Bay Point Drive
3 Bedroom / 3.5 Bath / 2942 sq. ft.AMENITIES GALORE! Fabulous bayfront views on 2 lots, breathtaking sunsets, furnished, third floor cupola. Elevator, electric blinds, full video security system, sprinkler system, mosquito misting spray system...much more... Primary living on elevated 1st level. Second level contains 1/2 bath with beautiful vanity and access to 3rd floor Cupola. The cupola has many possible uses as it contains a wet bar with electric range, dorm size refrigerator, mounted TV, and amazing views Gulf to Bay.
13514 Moyenne Place
4 Bedroom / 4.5 Bath / 3546 sq. ft. New Construction by well known builder Jeff Nesmith w/ his signature stained glass picture door & ceiling treatments. Other features include impact windows, 2nd floor game room, granite countertops, breakfast bar and separate kitchen island, wet bar w/icemaker and wine cooler, large walk-in closets w/ built-ins, stainless appliances, each bedroom has its own bathroom, room for a pool, boat house, & Bay Views with immediate access. Adjacent Lot 13 is also available for sale.
www.KellyKelley.comSaturday, January 31, 2009
3406 Windlass Court
4 Bedrooms / 4.5 Baths / 2910 sq. ft.Lovely canal home on best canal in prestigious Laffite's Cove. Bay views from decks. Every bedroom has its own bath room. Large closets in every room. Plenty of room for pool and lots of patio space with outdoor bar area. Electric shutters a plus.
360 Degree Water Views from Developer's Custom Home
4 Bedroom / 3.5 Bath / 3506 sq. ft.
From the minute you arrive to the semi-circular driveway you know why the builder/Sunset Cove Developer chose this lot for his personal home. There are water views from every angle! The double level decks on the South side of the home offer the Gulf of Mexico's warm southerly breezes all year round. The North decks offer sunsets which make you understand the subdivision's name. Would you prefer to sit next to the water? Check out the faboulous patio with outdoor shower and Summer Kitchen which includes an outdoor bar made of petrified sandstone skirted in real bamboo. As we enter the home from the ground level we are escorted to the first level by an elevator chaise found only in your most prestigous homes. At the first level we find beautiful quarter sewn oak floors with an accurate inlaid compass at the foot of the stairs. Hop Scotch pattern tile is found in the kitchen, utility room, and bathrooms. Shaw-Mirabeaux China Doll stain master carpet is in all bedrooms. The kitchen boasts commercial Jenn Aire appliances, antiqued custom job built cabinets, and a faux finished vent hood. The high end granite countertops are carried throughout the home in all wet areas. The utility room is none too shabby either with high end washer/dryer and ice maker. The view alone will make you do laundry everyday. The dining room built in doll china cabinet is a piece of artwork all by itself. From the dining room we enter the 1st floor living area where we find a gas log fireplace with a faux finished stone face. 10 foot ceilings are found throughout the home with custom crown molding and custom trimmed windows. The entire home and deck area has state of the art audio. You will also find a security system with color recording cameras located around the perimeter of the home. The home is also wired for internet and satellite via the subdivision's high speed fiber optic network. On the second floor we find a 2nd living area which functions as a Theater room with surround sound and a wet bar. The home has a total of 4 bedrooms; 2 on the first level and 2 on the 2nd. One of the first floor bedrooms doubles as an office. The oversize master includes a sitting area in front of beautiful bay windows offering views of the Gulf of Mexico. 2 large walk in closets with built-ins and a master bath with all the necessary finishes proves this is a home built for luxury living at its best. With the right offer the furnishings with few exclusions will be included.
3410 Windlass Court
Unique property located on 2 canalfront lots in Prestigous Laffite's Cove. Bay views from over 1400 sq ft of deck space. Electronic SMART Home includes features for automatic turning on lights, pool, water features, etc. Summer kitchen, Infiniti Edge Pool, Double Boat slip, extra room & bath on ground floor not included in sq ft. 2 bedrooms/Living area up & down make it a perfect home for large families. Multiple entertainment & shelving built ins. Generous amt of storage. Electric shutters.
Friday, January 16, 2009
Galveston Community Recovery Committee
Last night a historic event occured in Galveston, Texas. It is the first of a 3 month event that we hope Galveston never has to endure again. One facet of our charge is to determine the community concerns for the future of Galveston including prevention of the aftermath of what Galveston is currently living post hurricane Ike.
The event I am alluding to is the first meeting of the entire Galveston Community Recovery Committee, formally the Long Term Community Recovery Committee. I am one of 300 members of this committee and am excited about the opportunities the GCRC has in forming the vision for Galveston's future.
If you are interested in following Galveston's recovery you may do so at the official recovery website: http://recoverygalveston.com/. The public is invited and encouraged to attend the public meetings, the first will be held at Weiss Middle School, January 21 from 5:30 - 7:30 p.m. The address for Weiss is 7100 Stewart Rd, Galveston.
I'll be there and I look forward to hearing your vision for Galveston's future.
The event I am alluding to is the first meeting of the entire Galveston Community Recovery Committee, formally the Long Term Community Recovery Committee. I am one of 300 members of this committee and am excited about the opportunities the GCRC has in forming the vision for Galveston's future.
If you are interested in following Galveston's recovery you may do so at the official recovery website: http://recoverygalveston.com/. The public is invited and encouraged to attend the public meetings, the first will be held at Weiss Middle School, January 21 from 5:30 - 7:30 p.m. The address for Weiss is 7100 Stewart Rd, Galveston.
I'll be there and I look forward to hearing your vision for Galveston's future.
Friday, January 9, 2009
Laffite's Cove 2008 Real Estate Sales
Laffite's Cove out paced all other subdivisions on Galveston's West End for 2008. The average sales price for a home rose 32% and sales volume rose 24%. The average sales price for a lot dropped 1% according to the MLS however there was at least 1 lot sale that occured outside the MLS that would have increased the average sales price had it been recorded.
A home in Laffite's Cove remains a sound investment.
To see a summary of the sales stats for Laffite's Cove
http://kellykelley.com/files/images/11670/pdf/11231331076.htm
Other subdivision sales information can be found at:
http://kellykelley.com/communities.php
A home in Laffite's Cove remains a sound investment.
To see a summary of the sales stats for Laffite's Cove
http://kellykelley.com/files/images/11670/pdf/11231331076.htm
Other subdivision sales information can be found at:
http://kellykelley.com/communities.php
Sunday, January 4, 2009
2008 Sales Stats for Galveston Real Estate
For Galveston Real Estate sales, the 2008 year ended behind 2007 with a 4th quarter dip resulting from Hurricane Ike and the slumping economy.
Overall, residential sales on Galveston were down 16% in volume and 23% in units with the average sale ending on the upside at $287,121. That is an increase of 9% from the average residential sale for 2007.
Land sales were down 41% in volume and 38% in number of units with the average sales price falling to $153,408. That is a 4% decrease from the average land sale for 2007.
The multi-family sector took the biggest hit with an 82% reduction in volume and a 79% reduction in number of units sold. The average sales price fell 24% to $94,000.
The condo market actually rose in 2008 as the Emerald By The Sea came to a completion, many of which were recorded in the MLS. While the number of condo units sold show a 2% decrease we also know that Pallisade Palms condos also came to a completion and those closings are not recorded in the MLS. The volume of condo closed sales rose 17% and the average sales price rose 20% to 207,269.
Overall, total sales on Galveston Island as compared to 2007 are down 25% in number of units and 18% in Volume.
Residential sales on the West End, vacation and second homes, out sold In Town homes, primary homes, by $67,079,981 or by 63%. However by unit count there was only a difference of 10 homes sold. Thus the average sales price on the West End is $410,600 an increase in 2008 of 14% over 2007. The average sales price for an In Town home dropped 11% to $158,704.
The average sales price for in town homes will continue to decrease as homes are sold "as is" post Ike.
I suspect the average sales price for the West End will continue to appreciate as the inventory has decreased 30% and most homes are being restored being they are sold.
At the beginning of each month I will post the overall sales report for Galveston Island. At my website, www.kellykelley.com, you can find the individual subdivision reports under the communities tab then select the name of the West End subdivision you are interested in.
Overall, residential sales on Galveston were down 16% in volume and 23% in units with the average sale ending on the upside at $287,121. That is an increase of 9% from the average residential sale for 2007.
Land sales were down 41% in volume and 38% in number of units with the average sales price falling to $153,408. That is a 4% decrease from the average land sale for 2007.
The multi-family sector took the biggest hit with an 82% reduction in volume and a 79% reduction in number of units sold. The average sales price fell 24% to $94,000.
The condo market actually rose in 2008 as the Emerald By The Sea came to a completion, many of which were recorded in the MLS. While the number of condo units sold show a 2% decrease we also know that Pallisade Palms condos also came to a completion and those closings are not recorded in the MLS. The volume of condo closed sales rose 17% and the average sales price rose 20% to 207,269.
Overall, total sales on Galveston Island as compared to 2007 are down 25% in number of units and 18% in Volume.
Residential sales on the West End, vacation and second homes, out sold In Town homes, primary homes, by $67,079,981 or by 63%. However by unit count there was only a difference of 10 homes sold. Thus the average sales price on the West End is $410,600 an increase in 2008 of 14% over 2007. The average sales price for an In Town home dropped 11% to $158,704.
The average sales price for in town homes will continue to decrease as homes are sold "as is" post Ike.
I suspect the average sales price for the West End will continue to appreciate as the inventory has decreased 30% and most homes are being restored being they are sold.
At the beginning of each month I will post the overall sales report for Galveston Island. At my website, www.kellykelley.com, you can find the individual subdivision reports under the communities tab then select the name of the West End subdivision you are interested in.
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