Sales of existing homes in the U. S. took a big leap in October increasing far more than had been predicted. The National Association of Realtors reported that existing home sales increased by 10.1% to an annual rate of 6.1 million up from 5.54 million in September. Some economists had predicted only a 2.3% increase. This is in contrast to the recent report showing new construction figures were at a low point for the past six months.
The Wall Street Journal reported that of those sales, “30% were distressed, which includes foreclosures. That compares to a range of 45% to 50% in months during late 2008 and early 2009.”
The Multiple Listing Service reports that in October 2008 there were 1,327 pending residential sales and in October 2009 there were 2,295. In Snohomish County there were 503 pending residential sales in October 2008 compared to 975 in October 2009. These are sizeable increases to be sure. The tax credit is helping to spur these sales across the country and in our area. Sales are also being helped by lower prices and very attractive mortgage rates.
Check out my inspirational blog at http://mrpdoesafewwords.blogspot.com/
And my fishing blog at http://themrpblog.blogspot.com/
For all kinds of useful tools and information go to my webpage at HomeProResults.com
Friday, November 27, 2009
Thursday, November 19, 2009
The Local Real Estate Market
The Northwest Multiple Listing Service reports that there was whopping 63% increase in pending sales during October 2009 compared to October 2008. Many people would attribute this to the tax credit though there are certainly other important factors weighing in here. (See the previous post about interest rates.)
The NWMLS reports that in October there were 9,344 new listings of single family homes and condominiums added to inventory. That is the fewest number added since December 2008. Remember that in December 2008 we were buried in snow.
At the end of October there were 38,159 active listings in the NWMLS database; that is a drop of 17.4 percent from the same month a year ago.
For the four-county Puget Sound area (King, Snohomish, Pierce, and Kitsap) inventory has shrunk 20%. Excluding condos the inventory of single family homes has dropped 22% in the four-county area. The lowest median sales price, $136,000, for single family homes and condos combined, was in Grays Harbor County. The highest was in San Juan County with a median sales price of $454,250.
For the month of October the average price for a closed sale of a single family home in King County was $421,521 and the median price was $349,950. In Snohomish County the average price was $304,444 and the median price was $280,000. In the report King County showed 12,321 active listings and Snohomish County showed 5,171 active listings.
The NWMLS reports that in October there were 9,344 new listings of single family homes and condominiums added to inventory. That is the fewest number added since December 2008. Remember that in December 2008 we were buried in snow.
At the end of October there were 38,159 active listings in the NWMLS database; that is a drop of 17.4 percent from the same month a year ago.
For the four-county Puget Sound area (King, Snohomish, Pierce, and Kitsap) inventory has shrunk 20%. Excluding condos the inventory of single family homes has dropped 22% in the four-county area. The lowest median sales price, $136,000, for single family homes and condos combined, was in Grays Harbor County. The highest was in San Juan County with a median sales price of $454,250.
For the month of October the average price for a closed sale of a single family home in King County was $421,521 and the median price was $349,950. In Snohomish County the average price was $304,444 and the median price was $280,000. In the report King County showed 12,321 active listings and Snohomish County showed 5,171 active listings.
The National Real Estate Market
It has been said that there is no such thing as a “national real estate market”. There certainly is some truth to that if we compare sales in Forks, Washington to Manhattan, Los Angeles, Green Bay, Detroit, Portland, or Washington D.C. Of course Forks has vampires which skews the value of homes. I know there are those who would say that there are vampires in Washington D. C. too, but let’s not go there. America is a great country, through it all, we are indeed.
Even though there is no such thing as a national real estate market there are still interesting statistics out there. According to Paul Bishop, Vice President of Research for the National Association of Realtors, 47% of home buyers this past year were first time buyers. That statistic surpasses the previous high reached in 1991. He said, “These buyers are critical to housing and general recovery economic recovery (because) they absorb inventory, free existing owners to make a trade and stimulate related goods and services…”
In September the Wall Street Journal reported that “more than half of U.S. residential mortgages are being made by just three large banks…Wells Fargo, Bank of America, and J. P. Morgan Chase…Treasury-backed entities are guaranteeing about 85% of new mortgages, while the Fed buys 80%of the securities into which these taxpayer-backed mortgages are packaged.”
The article goes on to say that, “While big banks are originating lots of mortgages, they are selling nearly all of them to Fannie Mae and Freddie Mac…Banks have no desire to keep the most common mortgage on their books.”
The Fed has a $1.25 trillion program being used to buy Fannie Mae and Freddie Mac securities. Most of that money has been spent. When it is spent there is likely to be a jump in interest rates.
Rates are currently at an incredible low point; it’s a tremendous time to be a buyer! While it is still a buyer’s market, it is also a good time to be a seller. It really is. Correct pricing and a thorough, proactive, marketing plan will make all difference for today’s seller.
Even though there is no such thing as a national real estate market there are still interesting statistics out there. According to Paul Bishop, Vice President of Research for the National Association of Realtors, 47% of home buyers this past year were first time buyers. That statistic surpasses the previous high reached in 1991. He said, “These buyers are critical to housing and general recovery economic recovery (because) they absorb inventory, free existing owners to make a trade and stimulate related goods and services…”
In September the Wall Street Journal reported that “more than half of U.S. residential mortgages are being made by just three large banks…Wells Fargo, Bank of America, and J. P. Morgan Chase…Treasury-backed entities are guaranteeing about 85% of new mortgages, while the Fed buys 80%of the securities into which these taxpayer-backed mortgages are packaged.”
The article goes on to say that, “While big banks are originating lots of mortgages, they are selling nearly all of them to Fannie Mae and Freddie Mac…Banks have no desire to keep the most common mortgage on their books.”
The Fed has a $1.25 trillion program being used to buy Fannie Mae and Freddie Mac securities. Most of that money has been spent. When it is spent there is likely to be a jump in interest rates.
Rates are currently at an incredible low point; it’s a tremendous time to be a buyer! While it is still a buyer’s market, it is also a good time to be a seller. It really is. Correct pricing and a thorough, proactive, marketing plan will make all difference for today’s seller.
Tuesday, November 17, 2009
On the Nightstand
Here begins the weekly naming of a book that is worthy of a place on your nightstand (and, in my humble opinion, needs to be on the top……)
“The Impossible Will Take a Little While” by Paul Rogat Loeb, ed. The subtitle is ‘a citizen’s guide to hope in a time of fear’. Local writer Loeb has compiled an impressive collection of writings aimed at balancing the incredible weight of hopelessness that our media doles out on a daily basis. This is a ‘dipper’, read a bit – skip around – the ending is as good as the beginning.
These book reviews are provided to me by amazing and beautiful wife, Katy.
“The Impossible Will Take a Little While” by Paul Rogat Loeb, ed. The subtitle is ‘a citizen’s guide to hope in a time of fear’. Local writer Loeb has compiled an impressive collection of writings aimed at balancing the incredible weight of hopelessness that our media doles out on a daily basis. This is a ‘dipper’, read a bit – skip around – the ending is as good as the beginning.
These book reviews are provided to me by amazing and beautiful wife, Katy.
Tax Credit FAQ's
Here are some answers to frequently asked questions regarding the new Homebuyer Tax Credit.
Click the image and it will open in a full screen.
Click the image and it will open in a full screen.
Tax Credit Changes
This past Wednesday the U. S. House of Representatives passed legislation concerning the Homebuyer Tax Credit. The Senate approved it on Thursday, and the President signed the bill into law on Friday. This is of course tremendous news for first time homebuyers! Its also great news for people purchasing a different home. There is now a $6,500 credit available to some purchasers. To be sure, its an exciting time to be a home buyer.
Here is a summary of the changes from the National Association of Realtors, Government Affairs Division.
Click the image and it will open up in a full screen.
Here is a summary of the changes from the National Association of Realtors, Government Affairs Division.
Click the image and it will open up in a full screen.
Welcome
Welcome to the Jim Pankiewicz Real Estate Blog. As your agent I mean to “Make Rain”. “Making Rain” for you means that when I work for you I will take good care of you. From our first contact to closing your transaction, I want you to feel like I am your personal advocate. It is important to me that you have up to date information about the marketplace, home values, effective marketing tools for selling your home, the process of buying and selling, and financing. I want you to know that I cared about you personally.
In this blog there will be useful information about the real estate market in both King and Snohomish County. Over time there will also be information about all aspects of being both a buyer and seller of real estate.
Oh heck, that’s a good start but there needs to be more than that so there will be posts about all kinds of other things including hobbies, pets, activities, and some reflection on life. On a weekly basis there will also be short book reviews provided by The World’s Greatest Wife. My wife, Katy, is the librarian at Shorecrest High School where she publishes a book review each week for her staff. She has graciously allowed me to use her reviews here on Real Estate Rainmaker. I am looking forward also to contributions for this blog from my customers and clients.
Time will tell what else will appear here. I believe you will find the Jim Pankiewicz Real Estate Blog useful when you are ready to buy or sell a home. I believe you will find it useful on other levels as well. And I hope you will also find it engaging on a personal level.
In this blog there will be useful information about the real estate market in both King and Snohomish County. Over time there will also be information about all aspects of being both a buyer and seller of real estate.
Oh heck, that’s a good start but there needs to be more than that so there will be posts about all kinds of other things including hobbies, pets, activities, and some reflection on life. On a weekly basis there will also be short book reviews provided by The World’s Greatest Wife. My wife, Katy, is the librarian at Shorecrest High School where she publishes a book review each week for her staff. She has graciously allowed me to use her reviews here on Real Estate Rainmaker. I am looking forward also to contributions for this blog from my customers and clients.
Time will tell what else will appear here. I believe you will find the Jim Pankiewicz Real Estate Blog useful when you are ready to buy or sell a home. I believe you will find it useful on other levels as well. And I hope you will also find it engaging on a personal level.
Subscribe to:
Posts (Atom)
