Housing Recovery Impacts Other Industries

two construction workers at job siteHave you ever stopped to consider all it takes to make a house a home? Aside from building materials, homes are filled with thousands of items that are either vital or just nice to have. Furthermore, they all had to come from somewhere, which is why the health of a nation’s housing market directly and severely impacts its overall economy.

Just think of these ordinary components and their origins: solid surface counter tops  upholstery fabric, hardwood floors, appliances, bathroom fixtures, doors and windows. How about the garden sod, trees, shrubs, bulbs, outdoor furniture and bubbling fountain that makes your yard so pleasant? Exactly! It all had to come from somewhere. Not only was it designed, cultivated, created or manufactured, someone had to get it to you, possibly install it and then what about the individual who helped you choose it in the first place? Also, there are likely several service providers employed by you to take care of things like the HVAC system, appliances, and more. From manufacturers, to designers, delivery personnel and retailers, the business of real estate creates and affects millions of jobs. That is why it is linked forever hand and hand with the economy! [Read more...]

Demand for Housing Increases

sold sign in front of homeThere are some very interesting things taking place in the nation’s major real estate markets. Many areas that suffered high foreclosure rates and huge depreciation rates in home prices are experiencing genuine turnaround, with demand for housing climbing quickly.

A recent report on home inventories generated by the National Association of Realtors indicated that the number of homes for sale is the lowest it has been since 1999. This is even true in states where the housing crisis was a serious matter, such as California, Arizona, and Florida. The well-known real estate listing website Zillow noted that in Sacramento, CA, the number of property listings was down in the y-o-y analysis in January 2013 by 60 percent. Zillow also confirmed that property listings are down 23 percent for the entire United States.

Those in the housing and finance industries cite a number of factors that have reduced the inventory of available homes throughout the country, which has severely driven up the demand. Due to the Great Recession, construction of new homes virtually came to a standstill. Foreclosed upon homes and short sales were snapped up by investors and the continuing low mortgage rates were a big incentive for qualified buyers to commit to home purchases. The Mortgage Bankers Association reported in early April that “distressed sales are down and conventional sales are up.” [Read more...]

Cincinnati OH Real Estate Update

When it comes to searching for real estate in “The Queen City” of Cincinnati, potential home buyers will be glad to know that there are some great deals to be had. The only downside right now is that, like much of the nation, Cincinnati’s inventory is shrinking as demand revs up. That means buyers may need to make stronger offers and be patient as they are likely going to be competing against one another for homes. Fortunately, prices are still affordable in Cincinnati and with mortgage rates remaining low, now could be a very good time to purchase or refinance a home in Ohio. [Read more...]

Central California Cities Dominate List of Best Places to Sell a Home

California state flagIf you’re a California homeowner and thinking about putting your place on the market, you’ll be glad to know that the Golden State was recently recognized as having some of the most robust housing markets in the nation – particularly in the central part of the state.

In CNN Money’s list of the “5 Best Markets to Sell a Home,” California cities dominated with four out of five markets being located in “The Land of Sunshine and Opportunity.” Opportunity is right, particularly in the real estate realm, with rising home values and strong demand helping to fuel the state’s economic recovery.

CNN Money named Oakland as the top ranking market for selling a home, with the median list price at a whopping $419,000. Average days on the market for this real estate hot spot was a mere 14 days, indicating that demand for housing is strong and inventory may be slim. Due to this demand, many homeowners in Oakland are receiving multiple offers and even selling at above asking price. [Read more...]

Stockton, CA Real Estate Update

for sale by ownerLooking for your next home in Stockton, CA? Before you jump into the real estate market in “California’s Sunrise Seaport,” take a look at the following information. We’ve gathered some figures from public data to help you get a rough idea of how the market looks, how it has changed and what you can expect to pay for a home in this Central Valley city.

Estimated Median Home Value: $140,600
Change Since Last Year: +16.6%

Stockton home values, while not nearly as high as in some other California markets, are continuing on their upward path. As of April 2013, the estimated median value for a home in Stockton was $140,600 – up 16.6% from the same time last year. That figure also represents a quarter-over-quarter increase of 6.8% and a 2.9% increase month-over-month. [Read more...]

Is Fear of Real Estate Subsiding?

little girl drawing with sidewalk chalkWith the major highs and dramatic lows that the U.S. real estate market has seen in recent years, it’s no wonder people are hesitant about buying or selling homes. After all, it wasn’t that long ago that home prices plummeted and foreclosures choked communities across the nation. Fortunately, things turned around. Prices once again began to rise, inventory slimmed down and other economic factors, like employment, began to improve. But do these signs of safety really signify the end of the crisis? Most experts would say yes. Even if we aren’t completely out of the woods, things are undoubtedly better now that they were five years ago. And as things continue to get better, the fear of real estate seems to be fading out. [Read more...]

Buying in a Market with Low Home Inventory

colorful suburban housesLow home inventory got you down? Finding it tough to snag your dream home when three other people already put in offers? You’re not alone.

Currently, the U.S. real estate market is recovering from the housing crisis as home values are starting to climb and demand increases. Unfortunately, we’re also experiencing an inventory shortage, which means buyers are facing certain challenges as they enter today’s market.

If you’re on the hunt for your next dream home, here are a few tips on buying when inventory is slim.

Be Patient
Some buyers feel like they’re rushed to purchase a home. Whether they’re trying to time it with their rental lease expiration, hoping to take advantage of rock bottom interest rates or they’ve sold their old home and want to avoid long-term renting, buyers sometimes find it hard to wait it out. But being patient can have its benefits. You never know – the coming months could bring in more favorable real estate options, or you may find a home you love even more than the ones you’ve seen so far. [Read more...]

Short Sales Dominated in 2012

Sold sign in front of home

Home sales have risen in nearly all regional markets, according to data from the NAR.

Last year proved to be an interesting time for the real estate world. Home sales began to increase, along with home values and buyer demand, while foreclosure rates started dropping and inventory slimmed down. The end of 2012 brought forth new hope for a strong market, and for the first time since the start of the housing crisis, the dreaded shadow inventory of distressed homes was kept at bay. All of this was due in large part to the major boom in short sales. Short sales are homes offered at a discount in order to avoid foreclosure. The seller and the mortgage lender agree to a discounted price, usually because the seller has one or more financial hardships (unemployment, death of a spouse, etc.).

According to data from RealtyTrac, which tracks foreclosure rates across the U.S., there were three times as many short sales as there were foreclosure sales in 2012. Foreclosures only accounted for 11 percent of all sales, which was down from 13 percent in 2011. Meanwhile, short sales rose 5 percent year-over-year, accounting for 32 percent of all home sales.

Daren Blomquist, spokesman for RealtyTrac, expressed his opinions on the recent shift in a February article from CNNMoney. He remarked that while there has been a favorable decline in the “most disruptive sales,” i.e. bank-owned foreclosures, there are still a lot of distressed sales.

Short sales are typically regarded to be more beneficial to banks than foreclosures, as they usually sell for a lower discount. During the fourth quarter of 2012, the average discount for foreclosures was 39 percent while the average discount for short sales was 23 percent. By agreeing to a short sale, banks could, theoretically, take a less substantial loss. [Read more...]

How to Find a Good Real Estate Attorney

Mortgage application with set of house keys.When you buy a home, there are likely several people with whom you’ll do business: Your real estate agent, the home inspector, the home appraiser, and the lender’s representative, to name a few. Another real estate professional you may need to work with is the real estate attorney. Oftentimes, home buyers hire a real estate attorney to help them navigate the legalities of a real estate transaction. Investors in particular, who sometimes purchase multiple properties in a single year, can greatly benefit from a qualified real estate attorney. But even if you’re a first-time home buyer, having the knowledge and expertise of an attorney can be a major help.

Before you hire a real estate attorney, there are a few things you should keep in mind. First of all, finding a good real estate attorney may take a little digging. Don’t wait until the last minute and rush to find phone numbers online. Instead, start asking around for referrals well ahead of time, so you’ll have the opportunity to meet with a few before deciding.

Referrals can be your best friend when it comes to finding professional services. Ask people in your office, church, neighborhood or circle of friends. If you’re into social networking, make a post on Facebook or LinkedIn asking for local recommendations. Once you’ve rounded up a handful of names and contact info, then start setting up consultations.

Once you begin sifting through your list of referrals, you should start evaluating each attorney the minute you begin interacting with their office. Here are a few things to be mindful of:

[Read more...]

Best Places to Buy A Cabin

Mountain log home.Unlike a traditional home, living in a cabin opens the door to all sorts of wonderful possibilities. Whether you settle into a secluded hilltop hideaway deep in the woods or prefer a rustic lakefront lodge, cabin life provides opportunities that likely don’t exist elsewhere. There are some breathtaking locations across the country where adventurous house hunters can track down the cabin of their dreams. Here’s a look at a few of those places:

Pigeon Forge, TN

Imagine waking up to a sunrise over the majestic Smokey Mountains. That is something the lucky few have been doing in Pigeon Forge for eons. Entrenched in scenic beauty, Native American and Colonial history, this little town is known as, “The Center of Fun in the Smokies.” Just 5 miles from the Great Smokey Mountains National Park, Pigeon Forge is also home to a variety of dining, entertainment, and shopping venues, such as Dollywood. Acres of trail-filled forests and the peaceful Little Pigeon River provide the perfect mix for hikers, mountain bikers, and wildlife enthusiasts. For some reason residing in a cabin just feels right here, especially considering those pioneers of the 1700s who settled the area. Curious about cabins in Pigeon Forge? Check out this one from Trulia: 1655-S-Mountain-View-Rd-Pigeon-Forge-TN-37876

Here a nice short video from HousePlansandMore on some cabin designs:

 

Saluda, NC

This is one of those hidden gems where you can truly kick back and experience the tranquility of small-town life. Centrally located between Asheville and the Greenville-Spartanburg, SC metro area, tiny Saluda is a world away. It saw its heyday in the late 1800s thanks to the construction of the Southern Railroad line. Back then, 3,000 visitors passed through these parts daily. Today Saluda is home to just under 1000 permanent residents.

[Read more...]