Should We Be Worried About Our Real Estate Investments?
by Clifford A. Hockley
As the stock market continues to respond nervously and yo-yo up an down, money market fund yields and 401K balances are shrinking, we are faced with the real question: where to put our funds to invest into the future?
Investors face many issues that continue to astound us, many related to real estate financing; let’s look at what has happened over the past few months.
The Bottom Line
We are in for 12 to 24 months of market reorganization. Those investors that have been sitting on their money will be able to find deals in many markets, especially in Nevada, California and Arizona. Local markets will have pockets of opportunity as properties with high vacancy rates will go back to banks.
The banks in turn will either liquidate the property or see if they can sell to the federal government.
Those investors who have not over-leveraged their investments will be able to sustain the vacancies. Those with too much leverage will need to create a method to negotiate with banks or bring in cash partners to reduce the risk.
So if you have money, you have 6 to 12 months to find some good deals, and hold onto them while the market improves. Simple demographics dictate that our population will continue to grow nationally, and that a strong market will return, albeit a more conservative highly regulated market.
Published: November 11, 2008 Realty Times http://realtytimes.com/rtpages/20081111_invest.htm
Thursday, December 18, 2008
Thursday, August 7, 2008
Aid for Buyers
Aid for buyersFirst-time home buyers are offered refundable tax credits of up to $7,500 for homes bought between April 9, 2008, and April 1, 2009.
Real Estate Outlook: Housing Bill Approved
by Kenneth R. Harney
With home sales and prices down and unsold inventory up in many areas, the real estate market could use a jolt of good news -- and Congress just provided it.
The massive, 690-page housing bill just approved on Capitol Hill has plenty of mortgage-related provisions in it, but it also has an important stimulus program designed to jump-start housing sales: It's a tax credit, effective immediately, that could cut up to $7,500 off the federal tax return of anyone who buys a house before the end of next June, when it expires.
Buyers have to be first-time purchasers, or renters who haven't owned a house anytime in the past three years. The "credit" is actually more like an interest free loan, repayable over 15 years. Single taxpayers can only qualify for a $3,750 maximum credit. But it still puts thousands of after-tax dollars of incentives into home purchases -- money that wasn't there before.
Starting this week, hundreds of thousands of potential buyers who've been on the sidelines can purchase a new or resale house and qualify for the credit. The National Association of Realtors estimates that up to two million sales could be stimulated by the credit in the coming 11 months, and the National Association of Home Builders anticipates a "multiplier effect" in the move-up segment of the market.
From Realty Times July 31, 2008 Read the entire article at:
http://realtytimes.com/rtpages/20080731_realestateoutlook.htm
Jim Lubinsky
Angela Williams
Jackie Cautela
Re/Max Affiliates
614-766-5330 ext 119
Real Estate Outlook: Housing Bill Approved
by Kenneth R. Harney
With home sales and prices down and unsold inventory up in many areas, the real estate market could use a jolt of good news -- and Congress just provided it.
The massive, 690-page housing bill just approved on Capitol Hill has plenty of mortgage-related provisions in it, but it also has an important stimulus program designed to jump-start housing sales: It's a tax credit, effective immediately, that could cut up to $7,500 off the federal tax return of anyone who buys a house before the end of next June, when it expires.
Buyers have to be first-time purchasers, or renters who haven't owned a house anytime in the past three years. The "credit" is actually more like an interest free loan, repayable over 15 years. Single taxpayers can only qualify for a $3,750 maximum credit. But it still puts thousands of after-tax dollars of incentives into home purchases -- money that wasn't there before.
Starting this week, hundreds of thousands of potential buyers who've been on the sidelines can purchase a new or resale house and qualify for the credit. The National Association of Realtors estimates that up to two million sales could be stimulated by the credit in the coming 11 months, and the National Association of Home Builders anticipates a "multiplier effect" in the move-up segment of the market.
From Realty Times July 31, 2008 Read the entire article at:
http://realtytimes.com/rtpages/20080731_realestateoutlook.htm
Jim Lubinsky
Angela Williams
Jackie Cautela
Re/Max Affiliates
614-766-5330 ext 119
Discount Brokers
Realty Viewpoint: Discount Broker Leaves Sellers Stranded
by Blanche Evans
Rumors were flying last week that Iggy's House, a discount broker, is out of business. If they're not, they sure are acting like it. According to one of their clients, Janice Dowden, of Burleson, Texas, they aren't returning phone calls or emails.
That's put her in an uncomfortable position. She hired Iggy's House to list her home for zero commission. Now she's got a contract and wants the listing changed in the MLS to Pending, so other Realtors will know the status and not waste their time or gas showing her house.
Published in Realty Times July 7, 2008.
Read the entire article at:
http://realtytimes.com/rtpages/20080707_realtyviewpoint.htm
MLS only and other discount brokerages provide a very limited service. The program may fit a few unique situations, but is very risky for most sellers.
We have a client attempting to move to Columbus from the northeast Ohio area who listed with a discount MLS service. They are very disappointed. They requested a broker tour of their home and no one at the listing company is responding to them.
You only get what you pay for. Be very careful when signing a listing agreement. If you don’t understand what you are signing or it seems “too good to be true” DON’T SIGN!
Local activity
As of July 18, 2008
Single family homes on the market 14,610
Average days on market 119
Closed sales single family YTD 9,872
Average days on market closed 108
Source: Columbus Board of Realtors MLS listings
Days on market has decreased slightly in the past 2 weeks. Number of sales to current active listings suggests a 10.4 month inventory.
RE/MAX Affiliates
The Lubinsky Team
Jim Lubinsky, Angela Williams & Jackie Cautela
614-766-5330 x119
by Blanche Evans
Rumors were flying last week that Iggy's House, a discount broker, is out of business. If they're not, they sure are acting like it. According to one of their clients, Janice Dowden, of Burleson, Texas, they aren't returning phone calls or emails.
That's put her in an uncomfortable position. She hired Iggy's House to list her home for zero commission. Now she's got a contract and wants the listing changed in the MLS to Pending, so other Realtors will know the status and not waste their time or gas showing her house.
Published in Realty Times July 7, 2008.
Read the entire article at:
http://realtytimes.com/rtpages/20080707_realtyviewpoint.htm
MLS only and other discount brokerages provide a very limited service. The program may fit a few unique situations, but is very risky for most sellers.
We have a client attempting to move to Columbus from the northeast Ohio area who listed with a discount MLS service. They are very disappointed. They requested a broker tour of their home and no one at the listing company is responding to them.
You only get what you pay for. Be very careful when signing a listing agreement. If you don’t understand what you are signing or it seems “too good to be true” DON’T SIGN!
Local activity
As of July 18, 2008
Single family homes on the market 14,610
Average days on market 119
Closed sales single family YTD 9,872
Average days on market closed 108
Source: Columbus Board of Realtors MLS listings
Days on market has decreased slightly in the past 2 weeks. Number of sales to current active listings suggests a 10.4 month inventory.
RE/MAX Affiliates
The Lubinsky Team
Jim Lubinsky, Angela Williams & Jackie Cautela
614-766-5330 x119
State of Housing
Realty Viewpoint: New Housing Report: Rocky Road Or Reboom?
by Blanche Evans
The annual State of the Nation's Housing 2008 has just been released by the Joint Center for Housing Studies of Harvard University. Abandoning the upbeat tone of last year's report, the market analysis bluntly says that the economy can go one of two ways -- a severe recession that will take housing with it, or a mild recession which will allow housing to strongly rebound.
Realty Times July 24, 2008, Blanche Evans. Read the entire article at:
http://realtytimes.com/rtpages/20080624_realtyviewpoint.htm
According to a recently read book “Black Swan” the author strongly criticizes projections and forecasts as mostly being wrong. Looking back, most real estate economists were forecasting 2008 to put real estate back on track with recent years. Now they are saying that will take place in 2009 or maybe 2010. Bottom line – no one really knows.
Locally:
There are 14,590 single family homes in the Columbus Board of Realtors MLS active listings as of July 24, 2008. That number is up from a month ago.
The number of “days on market” is currently 120, down from prior months in the high 120’s.
Considering buying? This is a great time to get a good deal.
Have a home to sell? If you are also going to be buying, you can make up the lower sale price of your current home on the home you buy. Especially attractive if you are buying up from to a higher price range.
Jim Lubinsky
Angela Williams
Jackie Cautela
Re/Max Affiliates
614-766-5330 ext 119
by Blanche Evans
The annual State of the Nation's Housing 2008 has just been released by the Joint Center for Housing Studies of Harvard University. Abandoning the upbeat tone of last year's report, the market analysis bluntly says that the economy can go one of two ways -- a severe recession that will take housing with it, or a mild recession which will allow housing to strongly rebound.
Realty Times July 24, 2008, Blanche Evans. Read the entire article at:
http://realtytimes.com/rtpages/20080624_realtyviewpoint.htm
According to a recently read book “Black Swan” the author strongly criticizes projections and forecasts as mostly being wrong. Looking back, most real estate economists were forecasting 2008 to put real estate back on track with recent years. Now they are saying that will take place in 2009 or maybe 2010. Bottom line – no one really knows.
Locally:
There are 14,590 single family homes in the Columbus Board of Realtors MLS active listings as of July 24, 2008. That number is up from a month ago.
The number of “days on market” is currently 120, down from prior months in the high 120’s.
Considering buying? This is a great time to get a good deal.
Have a home to sell? If you are also going to be buying, you can make up the lower sale price of your current home on the home you buy. Especially attractive if you are buying up from to a higher price range.
Jim Lubinsky
Angela Williams
Jackie Cautela
Re/Max Affiliates
614-766-5330 ext 119
Wednesday, June 11, 2008
Global Insight Market Performance
Press Release GLOBAL INSIGHT, Inc. - 2008
84% of the Nation's Housing Market Declines in the First QuarterOnce Overvalued Markets Hardest Hit by Plunging Prices
Waltham, MA 2 June 2008 - Global Insight, the world's leading company for economic and financial analysis and forecasting, today released the first quarter 2008 update of the U.S. housing valuation analysis, House Prices in America, showing that single-family home prices fell for the third straight period, dropping at a steep 6.7 % annualized rate. Nationwide, 262 housing markets out of 330 in the study - the overwhelming majority of the nation's housing markets - experienced declines, accounting for 84% of all housing units and 89% of real estate value.
Read the entire article at:
http://www.globalinsight.com/PressRelease/PressReleaseDetail12748.htm
Locally:
We can find anything we want with statistics and you can view them as negative / positive / neutral.
Since Central Ohio has not seen major double digit “annual appreciation rates” we also don’t seem to be experiencing double digit declines. The inventory is large and number of days on market is above average, based on the past several years (some local market areas and price ranges are still performing much better than the Central Ohio average ie. Dublin $250-350,000).
Comparing 1st quarter 2008 to last quarter 2007 and to 1st quarter 2007:
Average sale price % change Average days on market
1Q 2008 $156,718 - 6.9 4Q 2007 110
- 7.4 1Q 2007
4Q 2007 $168,334 103
1Q 2007 $169,297 108
source: Columbus Board of Realtors MLS – single family detached homes as of June 5, 2008
The fallacy of the using average sale price to compare periods is that more “lower priced homes” may have sold in the most recent period making the average sale price lower, even if the true sale price of most homes sold did not decline. Most all indices and reported data is based on the “average sale price”.
The above are only indicators and should not to be taken as accurate representations of the change in your home’s value.
Jim Lubinsky
Angela Williams
Jackie Cautela
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
84% of the Nation's Housing Market Declines in the First QuarterOnce Overvalued Markets Hardest Hit by Plunging Prices
Waltham, MA 2 June 2008 - Global Insight, the world's leading company for economic and financial analysis and forecasting, today released the first quarter 2008 update of the U.S. housing valuation analysis, House Prices in America, showing that single-family home prices fell for the third straight period, dropping at a steep 6.7 % annualized rate. Nationwide, 262 housing markets out of 330 in the study - the overwhelming majority of the nation's housing markets - experienced declines, accounting for 84% of all housing units and 89% of real estate value.
Read the entire article at:
http://www.globalinsight.com/PressRelease/PressReleaseDetail12748.htm
Locally:
We can find anything we want with statistics and you can view them as negative / positive / neutral.
Since Central Ohio has not seen major double digit “annual appreciation rates” we also don’t seem to be experiencing double digit declines. The inventory is large and number of days on market is above average, based on the past several years (some local market areas and price ranges are still performing much better than the Central Ohio average ie. Dublin $250-350,000).
Comparing 1st quarter 2008 to last quarter 2007 and to 1st quarter 2007:
Average sale price % change Average days on market
1Q 2008 $156,718 - 6.9 4Q 2007 110
- 7.4 1Q 2007
4Q 2007 $168,334 103
1Q 2007 $169,297 108
source: Columbus Board of Realtors MLS – single family detached homes as of June 5, 2008
The fallacy of the using average sale price to compare periods is that more “lower priced homes” may have sold in the most recent period making the average sale price lower, even if the true sale price of most homes sold did not decline. Most all indices and reported data is based on the “average sale price”.
The above are only indicators and should not to be taken as accurate representations of the change in your home’s value.
Jim Lubinsky
Angela Williams
Jackie Cautela
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
Websites for MLS Search
Realty Viewpoint: Research Study Of Online Competitors Still Relevant
by Blanche Evans
In August 2007 a little known study by eVOC Insights was published that compared online real estate sites such as RealEstate.com, Realtor.com, Trulia.com and Yahoo! Real Estate, among others. While some findings might be outdated nearly nine months later, others are spot on -- namely that making it easier for consumers to find homes should be the goal of any real estate site.
Realtor.com came out on top in a number of key metrics -- site traffic, brand recognition, property selection, search results, and home descriptions. Over half of short-term buyers preferred Realtor.com and Trulia was second in popularity. When it came to name recognition, Zillow was number two among consumers.
Published April 29, 2008 in Realty Times
Read the entire article at:
http://realtytimes.com/rtpages/20080429_realtyviewpoint.htm
To search all homes and condos for sale in the Columbus Ohio market and see daily updated listings visit
REAFFILIATES.COM/JLUBINSKY
There you can search on many different criteria and the information is current, unlike most other sites which do not update daily.
If you want to receive daily email updates of new listings fitting your criteria, contact me by email or phone.
Jim Lubinsky & Angela Williams
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
by Blanche Evans
In August 2007 a little known study by eVOC Insights was published that compared online real estate sites such as RealEstate.com, Realtor.com, Trulia.com and Yahoo! Real Estate, among others. While some findings might be outdated nearly nine months later, others are spot on -- namely that making it easier for consumers to find homes should be the goal of any real estate site.
Realtor.com came out on top in a number of key metrics -- site traffic, brand recognition, property selection, search results, and home descriptions. Over half of short-term buyers preferred Realtor.com and Trulia was second in popularity. When it came to name recognition, Zillow was number two among consumers.
Published April 29, 2008 in Realty Times
Read the entire article at:
http://realtytimes.com/rtpages/20080429_realtyviewpoint.htm
To search all homes and condos for sale in the Columbus Ohio market and see daily updated listings visit
REAFFILIATES.COM/JLUBINSKY
There you can search on many different criteria and the information is current, unlike most other sites which do not update daily.
If you want to receive daily email updates of new listings fitting your criteria, contact me by email or phone.
Jim Lubinsky & Angela Williams
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
Current State of the Market 5-23-08
Realty Viewpoint: Real-time Housing Index Says Falling Prices Easing
by Blanche Evans
The Real-Time Housing Market Report shows an interesting trend. Housing prices are down a little over half a percent. That's no surprise, but out of 25 markets, only seven fell in asking price. That's a big improvement over March when listing prices fell 2.7 percent.
Read the entire article at:
http://realtytimes.com/rtpages/20080512_realtyviewpoint.htm
Locally:
The Columbus Board of Realtors MLS system as of May 21, 2008 shows “average days on market for single family detached” homes at 123 days. That is down from 129 DOM for prior months.
In addition, the Board reported that the first quarter of 2008 saw a slight decline in number of sold homes. In the month of April 2008 the number of closed sales was 1,548 vs 1,778 in 2007. Average sale price April 2008 was $162,005 vs $174,722 in 2007.
The spring and early summer of 2007 was still a very strong period. That made 2007 look like a good year. The second half of 2007 was very slow and that continued into early 2008.
Based on my recent conversations with other Realtors, title companies and lenders, the buying activity had picked up in April this year. We should see that activity reflected in closed sales for May and June.
We are all very optimistic that Central Ohio has turned the corner and will be improving throughout this year. Several specific market segments already show significant improvement. Dublin City for example has an average of 89 days on market for sold homes.
It’s a great time to buy a home!!
Jim Lubinsky & Angela Williams
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
by Blanche Evans
The Real-Time Housing Market Report shows an interesting trend. Housing prices are down a little over half a percent. That's no surprise, but out of 25 markets, only seven fell in asking price. That's a big improvement over March when listing prices fell 2.7 percent.
Read the entire article at:
http://realtytimes.com/rtpages/20080512_realtyviewpoint.htm
Locally:
The Columbus Board of Realtors MLS system as of May 21, 2008 shows “average days on market for single family detached” homes at 123 days. That is down from 129 DOM for prior months.
In addition, the Board reported that the first quarter of 2008 saw a slight decline in number of sold homes. In the month of April 2008 the number of closed sales was 1,548 vs 1,778 in 2007. Average sale price April 2008 was $162,005 vs $174,722 in 2007.
The spring and early summer of 2007 was still a very strong period. That made 2007 look like a good year. The second half of 2007 was very slow and that continued into early 2008.
Based on my recent conversations with other Realtors, title companies and lenders, the buying activity had picked up in April this year. We should see that activity reflected in closed sales for May and June.
We are all very optimistic that Central Ohio has turned the corner and will be improving throughout this year. Several specific market segments already show significant improvement. Dublin City for example has an average of 89 days on market for sold homes.
It’s a great time to buy a home!!
Jim Lubinsky & Angela Williams
The Lubinsky Team
Re/Max Affiliates
614-766-5330 ext 119
Subscribe to:
Posts (Atom)