Pending Home Sales
Top Real Estate Headlines for Week Ending: December 3rd
December 3, 2010 by WelcomeHomeNWI · 2 Comments
Thanksgiving, Black Friday and Cyber Monday have come and gone. The holiday spirit is in full swing as families throughout Northwest Indiana have begun to display their holiday decorations. For those of you who desire to buy a home or refinance your home before the New Year, let’s take a minute to review what the top real estate and mortgage healdines were this week according to the National Association of Realtors.
- Commercial Real Estate Prices Show Gains
Commercial property values are showing signs of a strong recovery, up more than 30 percent from the 2009 lows, according to Green Street Advisors. - Deficit Reduction Commission Endorses Plan
The bipartisan commission voted in support of the plan for spending cuts and tax changes, but fell short of a super majority that would automatically put the measure in front of Congress. - Foreclosure Crisis Slowing Sales
Data from ForeclosureRadar shows that sales of distressed properties are declining, in part due to investors walking away from deals. - NAR: Commercial Real Estate Stabilizing
A steady improvement in the economy should lead to modest growth in the commercial real estate sector next year. - Strong Rebound in Pending Home Sales
NAR’s forward-looking index jumped more than 10 percent in October from September. - Buyers Show Growing Interest in Tiny Houses
As the economic realities of the “new normal” set in, consumers seem to be thinking smaller when it comes to their residences. - 8 Factors for Standing Out in Real Estate
Start with strong ethics, end with strong contacts. - New-Home Sales Slide
Sales of new houses dropped more than 8 percent in October, according to the U.S. Department of Commerce. - Boulder, Colorado, Is Smartest U.S. City
Six of the 10 brainiest places have populations under one million, according to Portfolio.com study. - Mortgage Regulator Defends Two-Track Process
Edward DeMarco, acting director of the Federal Housing Finance Agency, said lenders should continue to pursue foreclosures against borrowers while simultaneously trying to rework their loan terms.
These were the top real estate and mortgage headlines for the week ending December 3, 2010.
Want to know how these national real estate headlines could impact you right here locally in Northwest Indiana? Subscribe to this blog, Today’s Real Estate Reality, and let our collective years of real estate experience in Northwest Indiana guide you to an informed and successful real estate transaction today.
Pending Home Sales
Top Real Estate Headlines for Week Ending: November 5th
November 5, 2010 by WelcomeHomeNWI · 1 Comment
The weekend is just a blink away. Before we get lost in our weekend affairs, let’s take a minute to review what the top real estate and mortgage healdines were this week according to the National Association of Realtors.
- Golder: Stand Up for Home Ownership
“It’s time to tell the world that home ownership is still the heart of the American Dream,” 2010 NAR President Vicki Cox Golder told a packed ballroom of real estate practitioners in New Orleans. - September Pending Home Sales Slip 1.8%
Tight credit and appraisals coming in below a negotiated price continue to constrain the market, but there appears to be a pent-up demand that eventually will be unleashed as banks resolve their issues with foreclosures. - Fed’s Aggressive Policy Sparks Critics
After the Federal Reserve announced Wednesday that it intended to buy $600 billion in Treasury securities through June, critics warned of inflation and other unintended results. - 30-Year Mortgage Rates Inch Up
For the third straight week, 30-year mortgage rates continued their upward climb. The average 15-year rate for the week ended Nov. 4 was 3.63 percent. - How Election Results Impact Real Estate
Among other things, 10 of the 12 state attorneys general on the executive committee that have been heading the foreclosure probe lost their re-election bids and won’t be returning to office. What does this mean for real estate? - Why Reverse Mortgages Are Popular
Changes to legislation and the housing market are making this financing option attractive for home owners. - You’re Refinancing Again?
Owners who refinanced just a year ago might be looking to do it again while rates continue to drop. - Housing Starts Rise in September
The U.S. Commerce Department reports that increased spending in commercial projects helped push construction spending up. - Consumers Put Credit Card Debt Ahead of Mortgage
A Mortgage Bankers Association panel discussed the shifting priorities of borrowers who now believe paying down credits cards is more important than paying their home loan. - 3 New Anti-Foreclosure Strategies
Critics of the government’s Home Affordable Modification Program offer fresh proposals to slow foreclosures. - Minority Home Ownership Drops Steeper
While the overall rate of home ownership slipped just 0.7 percent year over year, a much more pronounced slide occurred among the nation’s minorities.
These were the top real estate and mortgage headlines for the week ending November 5, 2010.
Want to know how these national real estate headlines could impact you right here locally in Northwest Indiana? Subscribe to this blog, Today’s Real Estate Reality, and let our collective years of real estate experience in Northwest Indiana guide you to an informed and successful real estate transaction today.
Pending Home Sales
Top Real Estate Headlines for Week Ending: October 8th
October 9, 2010 by WelcomeHomeNWI · 1 Comment
The weekend is finally here. Before you run off to the Chicago Marathon let’s pause for a moment to review what the top real estate and mortgage headlines were this week according to the National Association of Realtors.
- Another Gain for Pending Home Sales
Pending Home Sales Index rose for the 2nd consecutive month, thanks to low rates and affordable prices. - Regulators to Banks: Review Foreclosures
The Office of the Comptroller of the Currency has told seven big banks to review their procedures in light of problems at other banks. - 3 Tips for Negotiating Short Sales
Kathy Mehringer, who educates real estate agents on short sales, offers her 3 best tips for working with lenders on these complex transactions. - Mortgages Hit Lowest Levels Since 1950s
The last time borrowers could get rates this low, every tv was black and white and Americans liked Ike. - Foreclosure Reviews Could Lead to Costly Delays
If documentation is found to be incomplete, legal challenges could arise. - 4 Ways to Ramp Up Your Marketing
Get ideas on how you can enhance your marketing to expand your reach to buyers and sellers. - Fed Chair: Government May Buy More Debt
Federal Reserve Chair Ben Bernanke suggested that the Fed is likely to buy more debt, which could further drive down rates on mortgages, corporate financing and other loans. - Most- and Least-Promising Metros for Investors
See which U.S. metropolitan areas were ranked as the best and worst places for real estate investment. - How to Reach the Millennials
The millennial generation is a growing segment of buyers in today’s market. But they have different views about home ownership, and they also communicate differently than previous generations. Are you talking their talk? - Good Neighbor Award Finalist Jim Arnhold
Virginia practitioner harnesses land for charity, giving disabled children a chance to thrive through horseback riding. - HUD Has Loans for Out-of-Work Borrowers
The U.S. Department of Housing and Urban Development will offer $50,000 loans to unemployed borrowers who are at least three months behind on their payments, but have a reasonable likelihood of being able to resume payments within two years. - Helmsley Mansion Sells at Deep Discount
The Greenwich, Conn., estate of the late hotel magnates Leona and Harry Helmsley sold for $35 million after being listed in 2008 for $125 million.
These were the top real estate and mortgage headlines for the week ending October 8, 2010.
Want to know how these national real estate headlines could impact you right here locally in Northwest Indiana? Subscribe to this blog, Today’s Real Estate Reality, and let our collective years of real estate experience in Northwest Indiana guide you to an informed and successful real estate transaction today.
Pending Home Sales
The Good News Behind May’s Pending Home Sales Report
July 2, 2010 by James K Barath, CMPS · Leave a Comment
The Pending Home Sales Index plunged in May 2010, just one month after the expiration of the federal home buyer tax credit program.
The Pending Home Sales Index is now at a record-low level.
A “pending home sale” is an existing home under contract to sell, but not yet closed. According to the National Association of Realtors®, 80 percent of homes under contract close within 60 days.
Because of this timeline, we can expect the summer’s Existing Home Sales to be weak, too. With fewer homes going under contract, fewer homes can close.
On the surface, May’s Pending Home Sales Index looks like terrible news for housing. It just might be if you’re a seller. But, the story reads differently if you’re a buyer. Just consider the market conditions.
A broad look at the housing market shows:
- Home supplies are rising in most markets
- Home sales are falling in most markets
- Mortgage rates are at all-time lows
In other words, in most markets, more sellers are competing for fewer buyers, and the “winning” buyers are financing their homes at the lowest rates in history.
It’s an excellent time to be a home buyer in Portage Indiana.
Pending Home Sales
Pending Home Sales Data Shows Great Deals Harder To Find
June 3, 2010 by James K Barath, CMPS · 1 Comment
The Pending Home Sales Index shot higher in April as low mortgage rates and a soon-to-expire federal tax credit spurred home buying in Hobart Indiana and across the county.
A “pending home sale” is a home that’s under contract to sell but not yet closed.
Region-by-region, April’s pending home sales varied versus March’s data:
- Northeast Region: +29.5%
- Midwest Region : +4.1%
- South Region : -0.6% (after a +15.9% posting in March)
- West Region : +7.5%
On an annual basis, the Pending Home Sales Index is higher by 22 percent.
April marks the third straight month that pending home sales are up and today’s buyers should take note. This is because, according to the National Association of Realtors®, 80% of homes under contract close within 60 days.
In other words, May and June’s existing home sales data should be similarly strong, causing the Lake County Indiana real estate market to gently shift in favor of sellers. In fact, already, we’re seeing home resales touch multi-year highs while new home supplies fall to multi-year lows.
All of it tends to push home prices higher while simultaneously reducing buyer negotiation leverage. That, coupled with the high probability of higher mortgage rates ahead, means that finding “deals” will get tougher for the average home buyer.
In looking at the housing market data, it appears that the best month in which to have bought a home this year was February. The next best time may be right now.
Talk to your real estate agent if you’re planning to buy a home this year. It may be sensible to move up your time frame a few months.
Pending Home Sales
Will March Pending Home Sales Lead to Higher Home Prices
May 5, 2010 by James K Barath, CMPS · Leave a Comment
The Pending Home Sales Index moved higher in March as home sales were spurred by low mortgage rates and an expiring tax credit.
A “pending home” is a property that is under contract to sell, but not yet closed.
March marks the second straight month in which the Pending Home Sales Index improved after a series of weak showings this past winter.
March showed a 5 percent increase over the month, but the Pending Home Sales Index is still off its October 2009′s peak. October 2009 is a comparable period to March 2010 in that it marked the 1-month deadline before the home buyer tax credit’s initial expiration date. The credit was later extended to April 2010, of course.
That said, March’s surge in sales is being felt on the street.
Home buyers in Highland Indiana no doubt noticed the change in activity. Around the country, anecdotally, multiple offer situations were more common last month and “right-priced” homes tended to go under contract quickly.
The increase in March’s Pending Home Sales is diminishing the nation’s home supply which, in turn, should cause prices to rise in most markets — including Lake County Indiana.
Today’s buyers should consider making an offer sooner rather than later. Looking at the data, it appears the best time to have found a “deal” on a home may have been in February.
Pending Home Sales
Up…Up…and Away! Pending Homes Sales Soar in February
April 6, 2010 by James K Barath, CMPS · Leave a Comment
As expected, the Pending Home Sales shot higher in February, boosted by the federal home buyer tax credit’s April 30 deadline.
Versus the month prior, February’s index rose 8 percent but remains well off the highs set last October.
For today’s home buyers and seller in Northwest Indiana, the Pending Home Sales Index is an important measurement. This is because a “pending home” is a property that is under contract to sell, but not yet closed.
According to the National Association of Realtors®, 80% of homes under contract close within 60 days, historically. Therefore, a higher Pending Sales figure in February projects that April’s Existing Home Sales will be higher, too.
If you’re a home buyer today in Chesterton, Crown Point, Dyer, Highland, Munster, Portage, Schererville or Valparaiso, no doubt you’ve noticed the extra market activity.
On right-priced homes, multiple offer situations are more common; sales prices are settling closer to listing price; days on market is falling. These are the signs of a buyer-heavy market. It drives home supplies down and home prices up.
It’s a good time to be a seller, in other words. Especially as buyer activity looks poised to peak.
When the home buyer credit faced its last expiration in November 2009, we saw a pattern of buyers rushing to beat the deadline. There’s no reason to expect that won’t happen again. And as it does, Pending Home Sales should continue to climb. Average home sale prices should rise.
Home buyers may find it smart to go under contract sooner rather than later. Pending Home Sales is a warning shot. Higher home sales figures are ahead.
Contact James K Barath in Northwest Indiana to Qualify for Your FREE FHA Home Loan Approval Today!
Pending Home Sales
Pending Home Sales Tank, Actual Home Sales Should Rise
March 5, 2010 by James K Barath, CMPS · Leave a Comment
Fewer homes went under contract in January as the housing market continues to limp through the winter months.
According to the National Association of Realtors®, the Pending Home Sales Index fell to its lowest level in 3 quarters this January. By contrast, in October 2009, the index had touched a 3-year high.
The Pending Home Sales Index measures the number of homes that have gone under contract to sell, but have yet to close nationwide. It’s compiled using data from more than 100 regional listing services and 60-plus brokerages — the sample set encompasses 20 percent of all home resales in a given month.
Economists have come to rely on the Pending Home Sales Index because of its high correlation to actual home sales. 80% of all home marked “pending” close within 60 days. Many of the rest close within 120.
Therefore, when we see Pending Home Sales show weakness like it did in January, we can infer that home resales will remain weak through the spring.
But will they really?
- Fewer sales should drag down home prices, bringing more buyers into the market
- Mortgage rates are still very low, but are poised to rise in just a few weeks
- The home buyer tax credit requires buyers to be in contract by April 30, 2010
In other words, there’s a confluence of factors that could lead to a rush of sales around the country over the next two months, reversing the housing market’s recent momentum.
Contact James K Barath in Northwest Indiana to Qualify for Your FREE FHA Home Loan Approval Today!
Pending Home Sales
Pending Home Sales Up – Stronger Spring Market Ahead
February 3, 2010 by James K Barath, CMPS · Leave a Comment
The Pending Home Sales Index rose slightly in December, climbing 1 percent from November.
A Pending Home Sale is a home that is under contract to sell, but not yet sold. It’s a figure compiled by the National Association of Realtors® using sales data from over 100 regional listing services and more than 60 large brokerages around the country.
Because each pending sale is a true measure of sales activity, the Pending Home Sales Index is purported to be the most reliable forward-looking indicator for housing in Northwest Indiana.
Recent data supports this hypothesis.
After Pending Home Sales plunged 16 percent in November, Existing Home Sales fell by 17 percent in December. Based on the most recent Pending Sales Index, therefore, we can expect January’s closed sales to be similarly level.
For home buyers in Chesterton, Crown Point, Highland, Munster, Portage, Saint John, Schererville and Valparaiso , this is all a bit of good news. Home prices are based on the supply-and-demand balance that exists between buyers and sellers in Northwest Indiana. When buyers outnumber sellers, like they did through most of 2009, home supplies dip and, in fact, the national home inventory nearly halved during the 12 months ending November 2009.
With fewer homes for sale, multiple-offer situations were commonplace and home values rose as result.
Activity has since slowed, however, and fewer buyers are in today’s market. The supply-and-demand equation has shifted back some. In December, home supplies rose for the first time in 7 months and January will likely show the same.
The net result: Home buyers have more homes from which to choose and that can create negotiation leverage for better prices and better concessions.
With mortgage rates still low in Northwest Indiana and a looming deadline on the homebuyer’s tax credit, market activity should be strong between now and April. Take your time and bid right. And when you’re ready, be ready. The best deals likely won’t last.
Contact Benchmark Mortgage in Northwest Indiana to Qualify for Your FREE FHA Home Loan Approval Today!
