ScottSorensonRealEstate.Com
NEW YORK – Dec. 21, 2012 – Shrinking inventories of homes for sale, which have helped drive prices higher this year, may reverse course next year, economists say.
Rising prices are likely to persuade more people to sell and builders to add more homes, which would expand supplies.
In recent years, with prices nationally down more than 30 percent from their 2006 peaks, the only people selling were people who had to sell, says economist Paul Diggle at Capital Economics. But prices have been rising, up 6.3 percent in October compared with a year earlier, CoreLogic says. More increases are likely next year.
Supplies of homes for sale are “close to a low point now,” Diggle says and will “probably turn around over the next year.”
That will help keep a check on prices. Still, Capital Economics predicts prices will rise 5 percent next year. Economists surveyed by market watcher Zillow foresee a 3.1 percent jump.
The housing market continued to show signs of strengthening in November, with existing home sales climbing to its highest level in three years, the National Association of Realtors reported Thursday.
Total sales of existing homes rose 5.9 percent in November to a seasonally adjusted annual rate of 5.04 million, up 14.5 percent from a year ago, NAR said.
Yet, the most important number in the monthly report dealt with the supply of homes for sale, says economist Patrick Newport of IHS Global Insight. Supplies have fallen to the lowest in more than seven years, based on the current pace of sales. NAR reported the supply fell to 4.8 months in November, down 38 percent from January 2011. Realtors consider a six-month supply to be a balanced market between buyers and sellers.
More people will likely step up to sell next year, assuming prices continue to rise, Newport says. “A lot of people have just been waiting.”
Phoenix, which leads the nation with a 25 percent rise in October prices year-over-year, saw its supply of active listings hit a low in June, then expand until December. That’s a normal seasonal pattern for Phoenix, but more ordinary sellers are also likely tapping into rising prices, says Mike Orr, real estate expert at Arizona State University.
A recent survey also points to more sellers. Fannie Mae’s November National Housing Survey showed the share of consumers who say now is a good time to sell a home jumped 5 percentage points in November to 23 percent. That’s the highest level since the survey began in June 2010.
Real estate website Trulia, with Harris Interactive, also recently surveyed homeowners and found that 22 percent of current homeowners said they’re at least somewhat likely to sell their homes next year.
Those most likely to sell are people who bought after 2009 and have seen prices rise, the survey showed. They will likely include “flippers” who buy distressed homes, fix them, then resell, says Trulia economist Jed Kolko.
Supplies of homes for sale have been tightening, given stronger sales and a reluctance among people to sell while prices were weak. Also, fewer distressed properties have been coming to market as the foreclosure crisis slowly abates.
© Copyright 2012 USA TODAY, a division of Gannett Co. Inc., Julie Schmit
Monday, December 24, 2012
Thursday, December 20, 2012
Fla.’s housing market continues upswing in November
ScottSorensonRealEstate.com
ORLANDO, Fla. – Dec. 20, 2012 – Closed sales, pending sales, median prices and average prices rose in Florida’s housing market in November, while the inventory of homes and condos for sale shrunk, according to the latest housing data released by Florida Realtors®.
“The sizzle is back,” said 2012 Florida Realtors President Summer Greene, describing the state of Florida’s real estate market. “With home sales strongly trending up and the supply of homes for sale drying up, the market is hot. And we expect these trends to continue into 2013 with the jobs market improving, low mortgage rates continuing and consumer confidence getting stronger.” Greene is regional manager of Better Homes and Gardens Real Estate Florida 1st in Fort Lauderdale.
Statewide closed sales of existing single-family homes totaled 17,072 in November, up 24.4 percent compared to the year-ago figure, according to data from Florida Realtors Industry Data and Analysis department and vendor partner 10K Research and Marketing. Closed sales typically occur 30 to 90 days after sales contracts are written.
Meanwhile, pending sales – contracts that are signed but not yet completed or closed – for existing single-family homes last month rose 45.8 percent over the previous November. The statewide median sales price for single-family existing homes in November was $150,000, up 11.2 percent from a year ago.
According to the National Association of Realtors® (NAR), the national median sales price for existing single-family homes in October 2012 was $178,700, up 10.9 percent from the previous year. In California, the statewide median sales price for single-family existing homes in October was $341,370; in Massachusetts, it was $287,000; in Maryland, it was $239,802; and in New York, it was $209,000.
The median is the midpoint; half the homes sold for more, half for less. Housing industry analysts note that sales of foreclosures and other distressed properties continue to downwardly distort the median price because they generally sell at a discount relative to traditional homes.
Looking at Florida’s year-to-year comparison for sales of townhome-condos, a total of 8,079 units sold statewide last month, up 18.3 percent compared to November 2011. Meanwhile, pending sales for townhome-condos in November increased 30 percent compared to the year-ago figure. The statewide median for townhome-condo properties was $112,000, up 23.1 percent over the previous year. NAR reported that the national median existing condo price in October 2012 was $177,500.
The inventory for single-family homes stood at a 5.1-months’ supply in November; inventory for townhome-condo properties was at a 5.3 months’ supply, according to Florida Realtors. Industry analysts note that a 5.5-months’ supply symbolically represents a market balanced between buyers and sellers.
“Particularly striking in this market is the degree to which prices have risen,” said Florida Realtors Chief Economist Dr. John Tuccillo. “This might be expected to be the case for median prices as investors absorb the inventory at the lower end of the market, but average prices are up dramatically as well – and that suggests we’re seeing real appreciation occur in the marketplace, another sign of how solid Florida’s real estate recovery has become.”
The interest rate for a 30-year fixed-rate mortgage averaged 3.35 percent in November 2012, down from the 3.99 percent averaged during the same month a year earlier, according to Freddie Mac.
To see the full statewide housing activity report, go to Florida Realtors website and click on the Research page; then look under Latest Housing Data, Statewide Residential Activity and get the November report. Or go to Florida Realtors Media Center (http://media.floridarealtors.org/ and download the November 2012 data report PDF under Market Data.
ORLANDO, Fla. – Dec. 20, 2012 – Closed sales, pending sales, median prices and average prices rose in Florida’s housing market in November, while the inventory of homes and condos for sale shrunk, according to the latest housing data released by Florida Realtors®.
“The sizzle is back,” said 2012 Florida Realtors President Summer Greene, describing the state of Florida’s real estate market. “With home sales strongly trending up and the supply of homes for sale drying up, the market is hot. And we expect these trends to continue into 2013 with the jobs market improving, low mortgage rates continuing and consumer confidence getting stronger.” Greene is regional manager of Better Homes and Gardens Real Estate Florida 1st in Fort Lauderdale.
Statewide closed sales of existing single-family homes totaled 17,072 in November, up 24.4 percent compared to the year-ago figure, according to data from Florida Realtors Industry Data and Analysis department and vendor partner 10K Research and Marketing. Closed sales typically occur 30 to 90 days after sales contracts are written.
Meanwhile, pending sales – contracts that are signed but not yet completed or closed – for existing single-family homes last month rose 45.8 percent over the previous November. The statewide median sales price for single-family existing homes in November was $150,000, up 11.2 percent from a year ago.
According to the National Association of Realtors® (NAR), the national median sales price for existing single-family homes in October 2012 was $178,700, up 10.9 percent from the previous year. In California, the statewide median sales price for single-family existing homes in October was $341,370; in Massachusetts, it was $287,000; in Maryland, it was $239,802; and in New York, it was $209,000.
The median is the midpoint; half the homes sold for more, half for less. Housing industry analysts note that sales of foreclosures and other distressed properties continue to downwardly distort the median price because they generally sell at a discount relative to traditional homes.
Looking at Florida’s year-to-year comparison for sales of townhome-condos, a total of 8,079 units sold statewide last month, up 18.3 percent compared to November 2011. Meanwhile, pending sales for townhome-condos in November increased 30 percent compared to the year-ago figure. The statewide median for townhome-condo properties was $112,000, up 23.1 percent over the previous year. NAR reported that the national median existing condo price in October 2012 was $177,500.
The inventory for single-family homes stood at a 5.1-months’ supply in November; inventory for townhome-condo properties was at a 5.3 months’ supply, according to Florida Realtors. Industry analysts note that a 5.5-months’ supply symbolically represents a market balanced between buyers and sellers.
“Particularly striking in this market is the degree to which prices have risen,” said Florida Realtors Chief Economist Dr. John Tuccillo. “This might be expected to be the case for median prices as investors absorb the inventory at the lower end of the market, but average prices are up dramatically as well – and that suggests we’re seeing real appreciation occur in the marketplace, another sign of how solid Florida’s real estate recovery has become.”
The interest rate for a 30-year fixed-rate mortgage averaged 3.35 percent in November 2012, down from the 3.99 percent averaged during the same month a year earlier, according to Freddie Mac.
To see the full statewide housing activity report, go to Florida Realtors website and click on the Research page; then look under Latest Housing Data, Statewide Residential Activity and get the November report. Or go to Florida Realtors Media Center (http://media.floridarealtors.org/ and download the November 2012 data report PDF under Market Data.
Friday, December 14, 2012
TIGHT INVENTORY ALLOWS HOMEOWNERS TO SELL
ScottSorensonRealEstate.Com
Naples, FL (December 14, 2012) - Inventory levels continue to
decline while the overall median closed price rose 14 percent, and the overall
closed sales increased 6 percent for the 12-months ending November 2012,
according to a report released by the Naples Area Board of REALTORS® (NABOR®),
which tracks home listings and sales within Collier County (excluding Marco
Island).
Brenda Fioretti, Managing Broker
at Prudential Florida Realty stated, "For property owners who wanted to
sell but did not think the market was conducive to that outcome, the current
trends and tight real estate inventory allow for the possibility that scenarios
may have changed in their favor either through increased equity, improving
Florida economic conditions, property values trending up, or historically low
interest rates."
The NABOR® November report
provides annual comparisons of single-family home and condominium sales (via
the SunshineMLS), price ranges, and geographic segmentation and includes an
Overall Market summary. The NABOR® November sales statistics are presented in
chart format, with these overall (single-family and condominium units)
specifics:
- The overall median closed price increased 14 percent from
$175,000 at the end of November 2011 to $200,000 for the 12-month period ending
November 2012.
- Overall pending sales increased 6 percent from 10,057 units
to 10,667 units for the 12-month period ending November 2012. Overall pending
sales increased 20 percent in the $500,000 to $1 million category, from 960
units to 1,153 units, and increased 11 percent in the $1 million to $2 million
category, from 429 units to 478 units, for the 12-month period ending November
2012.
- Pending sales increased 100 percent in the $2 million plus
category from 16 units in November 2011 to 32 units in November 2012.
- Overall inventory decreased by 15 percent, from 7,625 listed
properties in November 2011 to 6,518 in November 2012. Pending sales with
contingent contracts are included in the overall inventory number.
-The average DOM (Days on the Market) increased overall from
168 days in November 2011 to 181 days in November 2012.
- Overall pending sales in the Naples coastal area increased 14
percent from 1,801 units to 2,045 units, and closed sales increased 10 percent,
from 1,640 units to 1,804 units, for the 12-month period ending November
2012.
"We have been in a
relatively stable market year-round," said Wes Kunkle, Managing Broker of
Weichert, Realtors on the Gulf. "Many buyers are coming down earlier than
in past years and we are finding that they often prefer to go to contract
before they return north for the holidays. In the past, they would leave and
make a purchase decision after they went back up north. The tight inventory has
resulted in a greater sense of urgency. This, plus the market remaining strong
is positive news for the real estate industry."
To view the entire report, visit www.NaplesArea.com
The Naples Area Board of
REALTORS® (NABOR®) is an established organization (Chartered in 1949) whose
members have a positive and progressive impact on the Naples Community. NABOR®
is a local board of REALTORS® and real estate professionals with a legacy of
nearly 60 years serving 4,000 plus members. NABOR® is a member of the Florida
Realtors and the National Association of REALTORS®, which is the largest
association in the United States with more than 1.3 million members and over
1,400 local board of REALTORS® nationwide. NABOR® is structured to provide programs
and services to its membership through various committees and the NABOR® Board
of Directors, all of whose members are non-paid volunteers.
The term REALTOR® is a registered
collective membership mark which identifies a real estate professional who is a
member of the National Association of REALTORS® and who subscribe to its strict
Code of Ethics.
Monday, November 19, 2012
Fla.’s housing market continues positive trends in Oct. 2012
ScottSorensonRealEstate.Com
ORLANDO, Fla. – Nov. 19, 2012 – Pending sales, closed sales and median prices rose, while the inventory of homes and condos for sale dropped in Florida’s housing market in October, according to the latest housing data released by Florida Realtors®.
“With Thanksgiving just around the corner, we have a lot to be thankful for here in Florida,” said 2012 Florida Realtors President Summer Greene, regional manager of Better Homes and Gardens Real Estate Florida 1st in Fort Lauderdale. “The state’s latest unemployment rate fell to 8.5 percent, the lowest in nearly four years – and combined with the momentum of the housing market, it clearly shows that Florida is on a positive path and has been for months. Pending sales, closed sales and prices are trending up.”
Statewide closed sales of existing single-family homes totaled 17,779 in October, up 25.3 percent compared to the year-ago figure, according to data from Florida Realtors Industry Data and Analysis department and vendor partner 10K Research and Marketing. Closed sales typically occur 30 to 90 days after sales contracts are written.
Meanwhile, pending sales – contracts that are signed by not yet completed or closed – of existing single-family homes last month rose 56.7 percent over the previous October. The statewide median sales price for single-family existing homes in October was $145,000, up 9 percent from a year ago.
According to the National Association of Realtors® (NAR), the national median sales price for existing single-family homes in September 2012 was $184,300, up 11.4 percent from the previous year. In California, the statewide median sales price for single-family existing homes in September was $345,000; in Massachusetts, it was $294,900; in Maryland, it was $244,357; and in New York, it was $225,000.
The median is the midpoint; half the homes sold for more, half for less. Housing industry analysts note that sales of foreclosures and other distressed properties continue to downwardly distort the median price because they generally sell at a discount relative to traditional homes.
Looking at Florida’s year-to-year comparison for sales of townhomes-condos, a total of 8,252 units sold statewide last month, up 16.4 percent compared to October 2011. Meanwhile, pending sales for townhome-condos in October increased 47.1 percent compared to the year-ago figure. The statewide median for townhome-condo properties was $107,000, up 20.2 percent over the previous year. NAR reported that the national median existing condo price in September 2012 was $181,000.
The inventory for single-family homes stood at a 5.2-months’ supply in October; inventory for townhome-condo properties was also at a 5.2-months’ supply, according to Florida Realtors. Industry analysts note that a 5.5-months’ supply symbolically represents a market balanced between buyers and sellers.
“Once again, everything that should be going up in the market is going up, and everything that should be going down is going down,” said Florida Realtors Chief Economist Dr. John Tuccillo. “As impressive as the year-over-year gains for October are, far more impressive are year-to-date gains of 2012 over 2011. They indicate the depth and resilience of this recovery.”
The interest rate for a 30-year fixed-rate mortgage averaged 3.38 percent in October 2012, down from the 4.07 percent averaged during the same month a year earlier, according to Freddie Mac.
To see the full statewide housing activity report, go to Florida Realtors website and click on the Research page; then look under Latest Housing Data, Statewide Residential Activity and get the October report. Or go to Florida Realtors Media Center and download the October 2012 data report PDF under Market Data.
© 2012 Florida Realtors®
ORLANDO, Fla. – Nov. 19, 2012 – Pending sales, closed sales and median prices rose, while the inventory of homes and condos for sale dropped in Florida’s housing market in October, according to the latest housing data released by Florida Realtors®.
“With Thanksgiving just around the corner, we have a lot to be thankful for here in Florida,” said 2012 Florida Realtors President Summer Greene, regional manager of Better Homes and Gardens Real Estate Florida 1st in Fort Lauderdale. “The state’s latest unemployment rate fell to 8.5 percent, the lowest in nearly four years – and combined with the momentum of the housing market, it clearly shows that Florida is on a positive path and has been for months. Pending sales, closed sales and prices are trending up.”
Statewide closed sales of existing single-family homes totaled 17,779 in October, up 25.3 percent compared to the year-ago figure, according to data from Florida Realtors Industry Data and Analysis department and vendor partner 10K Research and Marketing. Closed sales typically occur 30 to 90 days after sales contracts are written.
Meanwhile, pending sales – contracts that are signed by not yet completed or closed – of existing single-family homes last month rose 56.7 percent over the previous October. The statewide median sales price for single-family existing homes in October was $145,000, up 9 percent from a year ago.
According to the National Association of Realtors® (NAR), the national median sales price for existing single-family homes in September 2012 was $184,300, up 11.4 percent from the previous year. In California, the statewide median sales price for single-family existing homes in September was $345,000; in Massachusetts, it was $294,900; in Maryland, it was $244,357; and in New York, it was $225,000.
The median is the midpoint; half the homes sold for more, half for less. Housing industry analysts note that sales of foreclosures and other distressed properties continue to downwardly distort the median price because they generally sell at a discount relative to traditional homes.
Looking at Florida’s year-to-year comparison for sales of townhomes-condos, a total of 8,252 units sold statewide last month, up 16.4 percent compared to October 2011. Meanwhile, pending sales for townhome-condos in October increased 47.1 percent compared to the year-ago figure. The statewide median for townhome-condo properties was $107,000, up 20.2 percent over the previous year. NAR reported that the national median existing condo price in September 2012 was $181,000.
The inventory for single-family homes stood at a 5.2-months’ supply in October; inventory for townhome-condo properties was also at a 5.2-months’ supply, according to Florida Realtors. Industry analysts note that a 5.5-months’ supply symbolically represents a market balanced between buyers and sellers.
“Once again, everything that should be going up in the market is going up, and everything that should be going down is going down,” said Florida Realtors Chief Economist Dr. John Tuccillo. “As impressive as the year-over-year gains for October are, far more impressive are year-to-date gains of 2012 over 2011. They indicate the depth and resilience of this recovery.”
The interest rate for a 30-year fixed-rate mortgage averaged 3.38 percent in October 2012, down from the 4.07 percent averaged during the same month a year earlier, according to Freddie Mac.
To see the full statewide housing activity report, go to Florida Realtors website and click on the Research page; then look under Latest Housing Data, Statewide Residential Activity and get the October report. Or go to Florida Realtors Media Center and download the October 2012 data report PDF under Market Data.
© 2012 Florida Realtors®
Friday, November 16, 2012
SINGLE FAMILY HOME MEDIAN CLOSED PRICE
SINGLE FAMILY HOME MEDIAN CLOSED
PRICE
RISES IN ALL ZIP CODES
Condo Market Remains Strong
Naples, FL (November 16, 2012) -
The single family home median closed price rose 10 percent overall with
increases in all zip codes for the 12-months ending October 2012. In addition,
the condominium median closed price increased 4 percent in all zip codes for
the same time period, according to a report released by the Naples Area Board
of REALTORS® (NABOR®), which tracks home listings and sales within Collier
County (excluding Marco Island).
Brenda
Fioretti, Managing Broker at Prudential Florida Realty stated, "The
overall Median Closed price of $197,000 is the highest we have seen since July
2009 and in combination with our low inventory, has continued a trend in the
Naples area with the move away from a 'buyers' market to a solid 'buyers and sellers'
market."
Kathy
Zorn, Broker/Owner of Florida Home Realty added, "We continue to see the
overall median price trend upward slowly and steadily."
The
NABOR® October report provides annual comparisons of single-family home and
condominium sales (via the SunshineMLS), price ranges, and geographic
segmentation and includes an Overall Market summary.
The
NABOR® October sales statistics are presented in chart format, with these
overall (single-family and condominium units) specifics:
- The overall median closed
price increased 11 percent from $177,000 at the end of October 2011 to $197,000
for the 12-month period ending October 2012.
- Overall pending sales
increased 21 percent in the $500,000 to $1 million category, from 947 units to
1,149 units, for the 12-month period ending October 2012. Overall pending sales
increased 17 percent in the $1 million to $2 million category, from 418 units
to 490 units, for the 12-month period ending October 2012.
- Overall inventory decreased
by 13 percent, from 7,325 listed properties in October 2011 to 6,409 in October
2012. Pending sales with contingent contracts are included in the overall
inventory number.
- The average DOM (Days on the
Market) fell in all price segments except in the $0 - $300,000 price zone,
resulting in a one percent increase from 169 days on the market in October 2011
to 170 days on the market in October 2012.
- Overall pending sales in the
Naples coastal area increased 14 percent from 1,783 units to 2,037 units, and
closed sales increased 10 percent, from 1,615 units to 1,776 units, for the
12-month period ending October 2012.
The
result of the inventory decline from 12,157 in February 2007 to 6,409 in
October 2012 is that buyers, in many cases, are desperate for inventory,"
said Jo Carter, President of Jo Carter & Associates. Plus, homes are
selling more quickly, as shown by the average Days on the Market decreasing in
every price category above the $300,000 range. Therefore pricing remains
crucial."
To view
the entire report, visit www.NaplesArea.com
The
Naples Area Board of REALTORS® (NABOR®) is an established organization
(Chartered in 1949) whose members have a positive and progressive impact on the
Naples Community. NABOR® is a local board of REALTORS® and real estate
professionals with a legacy of nearly 60 years serving 4,000 plus members.
NABOR® is a member of the Florida Realtors and the National Association of
REALTORS®, which is the largest association in the United States with more than
1.3 million members and over 1,400 local board of REALTORS® nationwide. NABOR®
is structured to provide programs and services to its membership through
various committees and the NABOR® Board of Directors, all of whose members are
non-paid volunteers.
The term
REALTOR® is a registered collective membership mark which identifies a real
estate professional who is a member of the National Association of REALTORS®
and who subscribe to its strict Code of Ethics.
View the October 2012 Statistics
Sunday, October 21, 2012
PENDING HOME SALES INCREASE 12 PERCENT
| PENDING
HOME SALES INCREASE 12 PERCENT THIRD QUARTER ScottSorensonRealEstate.Com
Contacts:
Brenda Fioretti, NABOR Media Relations Committee Chairman, (239) 595-6219
Marcia Albert, NABOR Director of Marketing, (239) 597-1666
Naples, FL (October 19, 2012) - A 12 percent jump in overall
pending sales marked the third quarter of Naples Area real estate, as
compared to the third quarter 2011. In addition, overall pending sales for
September 2012 increased 22 percent compared to September 2011, according to
a report released by the Naples Area Board of REALTORS® (NABOR®), which
tracks home listings and sales within Collier County (excluding Marco
Island).
"The Naples area has just
moved from a buyers' market to a buyers' and sellers' market with tremendous
opportunities for both," stated Brenda Fioretti, NABOR Media Relations
Chairman and Managing Broker of Prudential Florida Realty.
Cindy Carroll, Vice President
of Carroll & Carroll Real Estate Appraisers & Consultants stated,
"More inventory would be helpful to the market. Resale inventory
continues to decline despite the fact that new home building has
returned."
John Steinwand, President of
Naples Realty Services commented, "The single family home market is very
hot. Pending sales of single family homes in the $500,000 to $ 1million
category had a rousing increase of 15 percent from third quarter 2011 to
third quarter 2012, and closed sales were up 4 percent for the same time
period. The strong activity contributes to the inventory levels falling below
3,000 for single family homes."
The third quarter report
provides quarterly comparisons of single-family home and condo sales (via the
SunshineMLS), price ranges, geographic segmentation and includes an overall
market summary. An overall summary combines the statistics for both single
family and condominium properties.
The statistics are presented in
chart format, along with the following statistics for third quarter 2012
compared to third quarter 2011:
The NABOR® September sales
statistics are presented in chart format, with these overall (single-family
and condominium units) specifics:
"In the $500,000 to $2
million price categories for the third quarter, there was an increase in
pending and closed sales. The robust third quarter in these price categories
is very encouraging," said Steve Barker, Advising Broker for Naples
Realty LLC.
As Brenda Fioretti stated, "Now is the time for sellers and
buyers to take action. With interest rates at an all time low and with Naples
values increasing, it is a perfect opportunity for sellers and buyers to
achieve their real estate goals. Whether you are a seller, first-time
homebuyer, investor, second or vacation homebuyer, move-up buyer or someone
who has decided that it is time to downsize, it is the time to take advantage
of current market conditions and the American Dream of Homeownership."
To view the entire report,
visit www.NaplesArea.com
The Naples Area Board of
REALTORS® (NABOR®) is an established organization (Chartered in 1949) whose
members have a positive and progressive impact on the Naples Community.
NABOR® is a local board of REALTORS® and real estate professionals with a
legacy of nearly 60 years serving 4,000 plus members. NABOR® is a member of
the Florida Realtors and the National Association of REALTORS®, which is the
largest association in the United States with more than 1.3 million members
and over 1,400 local board of REALTORS® nationwide. NABOR® is structured to
provide programs and services to its membership through various committees
and the NABOR® Board of Directors, all of whose members are non-paid
volunteers.
The term REALTOR® is a
registered collective membership mark which identifies a real estate
professional who is a member of the National Association of REALTORS® and who
subscribe to its strict Code of Ethics.
|
Friday, September 14, 2012
DWINDLING INVENTORY DRIVES HOME PRICES UP
ScottSorensonRealEstate.Com
Naples, FL (September 14, 2012) -
The Naples area real estate median closed price increased a remarkable 10
percent for the 12-month period ending August 2012, according to a report
released by the Naples Area Board of REALTORS® (NABOR®), which tracks home
listings and sales within Collier County (excluding Marco Island).
Brenda Fioretti, NABOR Media
Relations Chairman and Managing Broker of Prudential Florida Realty said,
"At the NABOR Economic Summit held this past April, Dr. Lawrence Yun,
chief economist of the National Association of REALTORS® predicted that he
'would not be surprised to see a 10 percent increase in home prices in
southwest Florida by December.' Well, the Naples area median home price just
reached a 10 percent increase in less than four short months, just as Dr. Yun
predicted."
Cindy Carroll, Vice President of
Carroll & Carroll Real Estate Appraisers & Consultants in Naples
stated, "We are beginning to see the results of the inventory decline
coupled with the increased median closed price. Looking at the inventory
statistics it is interesting to note that in less than eight months, we reached
an overall inventory of 6,043 in August 2012 from 7,860 in January 2012. The
last time we saw the inventory this low was in 2005."
The NABOR® August report provides
annual comparisons of single-family home and condominium sales (via the
SunshineMLS), price ranges, and geographic segmentation and includes an overall
market summary.
The August sales statistics are
presented in chart format, with these overall (single-family and condominium
units) specifics:
- The overall median closed price
increased 10 percent, from $176,000 to $194,000, for the 12-month period
ending August 2012.
- Overall pending sales increased
16 percent in the $500,000 to $1 million category, from 939 units to 1,091
units, for the 12-month period ending August 2012. Overall pending sales
increased 10 percent in the $1 million to $2 million category, from 424
units to 466 units, for the 12-month period ending August 2012.
- Overall inventory decreased by 13
percent, from 6,930 in August 2011 compared to 6,043 in August 2012.
Pending sales with contingent contracts are included in the overall
inventory number.
- The average DOM (Days on the
Market) decreased by six percent, from 178 days on the market in August
2011 to 167 days on the market in August 2012.
- Overall pending sales in the
Naples coastal area increased 10 percent from 1,779 units to 1,950 units,
and closed sales increased 9 percent, from 1,586 units to 1,732 units, for
the 12-month period ending August 2012.
"The strong numbers clearly
reflect the economic model of Supply and Demand. As inventory decreases and
demand for homes remains high, we are observing an increase in prices. The
statistics from the last three months have capped off a strong summer. The
Naples area is no longer as seasonal as it used to be," said Mike Hughes,
Vice President and General Manager of Downing-Frye Realty.
"It is important to remember
that the increase in prices can vary from zip code to zip code and neighborhood
to neighborhood, so it very beneficial for people to consult a REALTOR®,"
said Coco Waldenmayer, Managing Broker of Engel & Völkers.
"The market is shifting to
higher priced properties," commented Ernesto Velasquez of United Real
Estate. "The number of sales under $300,000 decreased which indicates
increased values of real estate and market advancement."
To view the entire report, visit
http://www.NaplesArea.com Market Statistics Report of Naples
Thursday, August 23, 2012
Housing Studies at Harvard University
ScottSorensonRealEstate.Com
The Joint Center for Housing Studies at Harvard University in their annual State of the Nation’s Housing Report summarized the current market in these terms:
“Housing markets are showing signs of reviving. While still in the early innings of a housing recovery, rental markets have turned the corner, home sales are strengthening, and a floor is beginning to form under home prices. With new home inventories at record lows, unless the broader economy goes into a tailspin, stronger sales should further stabilize prices and pave the way for a pickup in single-family housing construction over the course of 2012…”
What’s even more striking is that its managing director stated in the report that inventories of new, single-family homes in March were at their lowest point in nearly a half century. This means that it would take less than six months to sell all of it. A five-to-six-month period is considered a balanced market.
The Joint Center for Housing Studies at Harvard University in their annual State of the Nation’s Housing Report summarized the current market in these terms:
“Housing markets are showing signs of reviving. While still in the early innings of a housing recovery, rental markets have turned the corner, home sales are strengthening, and a floor is beginning to form under home prices. With new home inventories at record lows, unless the broader economy goes into a tailspin, stronger sales should further stabilize prices and pave the way for a pickup in single-family housing construction over the course of 2012…”
What’s even more striking is that its managing director stated in the report that inventories of new, single-family homes in March were at their lowest point in nearly a half century. This means that it would take less than six months to sell all of it. A five-to-six-month period is considered a balanced market.
Wednesday, August 22, 2012
Fla.’s housing market continues positive track in July 2012
ScottSorensonRealEstate.Com
ORLANDO, Fla. – Aug. 22, 2012 – Pending sales, closed sales and median prices rose, while the inventory of homes and condos for sale dropped in Florida’s housing market in July, according to the latest housing data released by Florida Realtors®.
“Florida’s real estate recovery is on solid ground,” said 2012 Florida Realtors President Summer Greene, regional manager of Better Homes and Gardens Real Estate Florida 1st in Fort Lauderdale. “Since May 2011, pending sales have increased every month for both existing single-family homes and for townhome-condo properties. In July, pending sales were up more than 42 percent for existing single-family homes and 26 percent for townhouse-condo units, compared to a year ago. Home prices are on the rise in many markets, while the inventory of homes for sale is down. Florida’s housing market is growing stronger and stronger.”
Pending sales refer to contracts that are signed but not yet completed or closed; closed sales typically occur 30 to 90 days after sales contracts are written.
Statewide closed sales of existing single-family homes totaled 17,420 in July, up 9.8 percent compared to the year-ago figure, according to data from Florida Realtors Industry Data and Analysis department and vendor partner 10K Research and Marketing. The statewide median sales price for single-family existing homes last month was $148,000, up 7.8 percent from July 2011.
According to the National Association of Realtors® (NAR), the national median sales price for existing single-family homes in June 2012 was $190,100, up 8 percent from the previous year. In California, the statewide median sales price for single-family existing homes in June was $320,540; in Massachusetts, it was $325,000; in Maryland, it was $268,910; and in New York, it was $220,000.
The median is the midpoint; half the homes sold for more, half for less. Housing industry analysts note that sales of foreclosures and other distressed properties continue to downwardly distort the median price because they generally sell at a discount relative to traditional homes.
Looking at Florida’s year-to-year comparison for sales of townhomes/condos, a total of 7,779 units sold statewide last month, up 2.8 percent from those sold in July 2011. The statewide median for townhome-condo properties was $102,000, up 10.9 percent over the previous year. NAR reported the national median existing condo price in June 2012 was $183,200.
Last month, the inventory for single-family homes stood at a 5.3-months’ supply; inventory for townhome-condo properties was at a 5.4-months’ supply, according to Florida Realtors. Industry analysts note that 5.5-months’ supply symbolizes a market balanced between buyers and sellers.
“We really need to recognize that over the past year, we have seen a market reversal, from a clear buyers’ market to a neutral market to one that is verging on a sellers’ market,” said Florida Realtors Chief Economist Dr. John Tuccillo. “This is a precursor to price growth. Our MLS (Multiple Listing Service) numbers confirm this in that both median and average prices have been trending up. Florida Realtors’ soon-to-be-launched price index, based on all sales, is showing the same sort of behavior in that price drops ended in 2009 and are now showing signs of moving up.”
The interest rate for a 30-year fixed-rate mortgage averaged 3.55 percent in July 2012 – significantly lower than the 4.55 percent average during the same month a year earlier, according to Freddie Mac.
To see the full statewide housing activity report, go to Florida Realtors website at www.floridarealtors.org, and click on the Research page; then look under Latest Housing Data, Statewide Residential Activity and get the July report. Or go to Florida Realtors Media Center at http://media.floridarealtors.org/ and download the July 2012 data report PDF under Market Data at: http://media.floridarealtors.org/market-data.
ORLANDO, Fla. – Aug. 22, 2012 – Pending sales, closed sales and median prices rose, while the inventory of homes and condos for sale dropped in Florida’s housing market in July, according to the latest housing data released by Florida Realtors®.
“Florida’s real estate recovery is on solid ground,” said 2012 Florida Realtors President Summer Greene, regional manager of Better Homes and Gardens Real Estate Florida 1st in Fort Lauderdale. “Since May 2011, pending sales have increased every month for both existing single-family homes and for townhome-condo properties. In July, pending sales were up more than 42 percent for existing single-family homes and 26 percent for townhouse-condo units, compared to a year ago. Home prices are on the rise in many markets, while the inventory of homes for sale is down. Florida’s housing market is growing stronger and stronger.”
Pending sales refer to contracts that are signed but not yet completed or closed; closed sales typically occur 30 to 90 days after sales contracts are written.
Statewide closed sales of existing single-family homes totaled 17,420 in July, up 9.8 percent compared to the year-ago figure, according to data from Florida Realtors Industry Data and Analysis department and vendor partner 10K Research and Marketing. The statewide median sales price for single-family existing homes last month was $148,000, up 7.8 percent from July 2011.
According to the National Association of Realtors® (NAR), the national median sales price for existing single-family homes in June 2012 was $190,100, up 8 percent from the previous year. In California, the statewide median sales price for single-family existing homes in June was $320,540; in Massachusetts, it was $325,000; in Maryland, it was $268,910; and in New York, it was $220,000.
The median is the midpoint; half the homes sold for more, half for less. Housing industry analysts note that sales of foreclosures and other distressed properties continue to downwardly distort the median price because they generally sell at a discount relative to traditional homes.
Looking at Florida’s year-to-year comparison for sales of townhomes/condos, a total of 7,779 units sold statewide last month, up 2.8 percent from those sold in July 2011. The statewide median for townhome-condo properties was $102,000, up 10.9 percent over the previous year. NAR reported the national median existing condo price in June 2012 was $183,200.
Last month, the inventory for single-family homes stood at a 5.3-months’ supply; inventory for townhome-condo properties was at a 5.4-months’ supply, according to Florida Realtors. Industry analysts note that 5.5-months’ supply symbolizes a market balanced between buyers and sellers.
“We really need to recognize that over the past year, we have seen a market reversal, from a clear buyers’ market to a neutral market to one that is verging on a sellers’ market,” said Florida Realtors Chief Economist Dr. John Tuccillo. “This is a precursor to price growth. Our MLS (Multiple Listing Service) numbers confirm this in that both median and average prices have been trending up. Florida Realtors’ soon-to-be-launched price index, based on all sales, is showing the same sort of behavior in that price drops ended in 2009 and are now showing signs of moving up.”
The interest rate for a 30-year fixed-rate mortgage averaged 3.55 percent in July 2012 – significantly lower than the 4.55 percent average during the same month a year earlier, according to Freddie Mac.
To see the full statewide housing activity report, go to Florida Realtors website at www.floridarealtors.org, and click on the Research page; then look under Latest Housing Data, Statewide Residential Activity and get the July report. Or go to Florida Realtors Media Center at http://media.floridarealtors.org/ and download the July 2012 data report PDF under Market Data at: http://media.floridarealtors.org/market-data.
Wednesday, July 4, 2012
After Years of False Hopes, Signs of a Turn in Housing
ScottSorensonRealEstate.Com
WASHINGTON — Announcements of a housing recovery have become a wrongheaded rite of summer, but after several years of false hopes, evidence is accumulating that the optimists may finally be right.
Justin Sullivan/Getty Images
A house in San Francisco that has been sold. Pending home sales are increasing along with sale prices, and construction companies are clearing lots and raising frames for new homes.
The housing market is starting to recover. Prices are rising. Sales are increasing. Home builders are clearing lots and raising frames.
Joe Niece, a real estate agent in the Minneapolis suburb of Eden Prairie, said he recently concluded a streak of 13 consecutive bidding wars over homes that his clients wanted to buy. Each sold above the asking price.
“I just had a home that wasn’t supposed to go on the market for two weeks sold before it even went on the market,” Mr. Niece said. “It’s definitely a lot different than what we saw” during the last few summers
Tuesday, July 3, 2012
Lack of inventory causing a buying frenzy?
ScottSorensonRealEstate.Com
WASHINGTON – July 3, 2012 – A big drop in inventories of for-sale homes across the nation has led to a buying frenzy in some sought-after neighborhoods, real estate professionals report. A gradual gain in home prices is also following suit, they say.
Last week, the National Association of Realtors® (NAR) reported an increase in pending home sales in every region in the country. The number of contracts signed in May for existing homes jumped 13 percent from a year ago, according to NAR.
NAR projects a 3 percent nationwide rise in existing-home prices this year and a 5.7 percent rise next year.
But more buyers are discovering a shrinking supply of homes on the market. New construction has slowed dramatically – to record lows – the last few years. A backlog of distressed homes has not yet hit the market. And many homeowners are waiting to list their homes for sale until prices rise more.
“In the Atlanta area, we are 40 percent below where inventory was this time last year,” Debra Bradley, managing broker for Coldwell Banker Residential Brokerage in Buckhead, Ga., told Forbes.com “Generally, inventory goes up this time of year, not down.”
Inventories of for-sale homes appear to be lowest for less expensive properties, which investors and first-time homebuyers often buy, real estate professionals report.
“It’s different today for a buyer in the market,” says Rick Davidson, Century 21 Real Estate chief executive. “They might not find that deal of the century that they may have expected to find.”
Several housing markets are now reporting multiple offers and bidding wars surfacing, due to the lack of inventory.
“Most houses below $250,000 priced realistically are attracting large numbers of offers in a short time, and many exceed the asking price,” says Mike Orr, director of the Center for Real Estate Theory and Practice at the W. P. Carey School of Business.
Industry insiders appear less concerned about the shadow inventory of distressed homes that have yet to hit the market.
“It’s not being let out to the market in bulk,” Beth Butler, president of ONE Sotheby’s International Realty in Miami, told Forbes.com. “It’s coming slowly, and it’s not seriously impacting the market one way or the other. Truth be told, we could use the inventory!”
Source: “The Housing Market’s Latest Problem: Lack Of Inventory,” Forbes.com (June 28, 2012)
WASHINGTON – July 3, 2012 – A big drop in inventories of for-sale homes across the nation has led to a buying frenzy in some sought-after neighborhoods, real estate professionals report. A gradual gain in home prices is also following suit, they say.
Last week, the National Association of Realtors® (NAR) reported an increase in pending home sales in every region in the country. The number of contracts signed in May for existing homes jumped 13 percent from a year ago, according to NAR.
NAR projects a 3 percent nationwide rise in existing-home prices this year and a 5.7 percent rise next year.
But more buyers are discovering a shrinking supply of homes on the market. New construction has slowed dramatically – to record lows – the last few years. A backlog of distressed homes has not yet hit the market. And many homeowners are waiting to list their homes for sale until prices rise more.
“In the Atlanta area, we are 40 percent below where inventory was this time last year,” Debra Bradley, managing broker for Coldwell Banker Residential Brokerage in Buckhead, Ga., told Forbes.com “Generally, inventory goes up this time of year, not down.”
Inventories of for-sale homes appear to be lowest for less expensive properties, which investors and first-time homebuyers often buy, real estate professionals report.
“It’s different today for a buyer in the market,” says Rick Davidson, Century 21 Real Estate chief executive. “They might not find that deal of the century that they may have expected to find.”
Several housing markets are now reporting multiple offers and bidding wars surfacing, due to the lack of inventory.
“Most houses below $250,000 priced realistically are attracting large numbers of offers in a short time, and many exceed the asking price,” says Mike Orr, director of the Center for Real Estate Theory and Practice at the W. P. Carey School of Business.
Industry insiders appear less concerned about the shadow inventory of distressed homes that have yet to hit the market.
“It’s not being let out to the market in bulk,” Beth Butler, president of ONE Sotheby’s International Realty in Miami, told Forbes.com. “It’s coming slowly, and it’s not seriously impacting the market one way or the other. Truth be told, we could use the inventory!”
Source: “The Housing Market’s Latest Problem: Lack Of Inventory,” Forbes.com (June 28, 2012)
Thursday, June 28, 2012
NAR: Pending sales at two-year high
ScottSorensonRealEstate.Com
WASHINGTON – June 27, 2012 – Pending home sales bounced back in May, matching the highest level in the past two years and well above year-ago levels, according to the National Association of Realtors® (NAR). Every region saw monthly and annual gains.
NAR’s Pending Home Sales Index (PHSI), a forward-looking indicator based on contract signings, rose 5.9 percent to 101.1 in May from 95.5 in April; and it’s 13.3 percent above May 2011 when it was 89.2. The data reflect contracts but not closings.
The index also reached 101.1 in March, which is the highest level since April 2010, though at that time, buyers were rushing to beat the deadline for the homebuyer tax credit.
“The housing market is clearly superior this year compared with the past four years,” said Lawrence Yun, NAR chief economist. “The latest increase in home contract signings marks 13 consecutive months of year-over-year gains. Actual closings for existing-home sales have been notably higher since the beginning of the year, and we’re on track to see a 9 to 10 percent improvement in total sales for 2012.”
The national median existing-home price is expected to rise 3.0 percent this year and another 5.7 percent in 2013.
The PHSI in the Northeast increased 4.8 percent to 82.9 in May and is 19.8 percent above May 2011. In the Midwest, the index rose 6.3 percent to 98.9 in May and is 22.1 percent higher than a year ago. Pending home sales in the South increased 1.1 percent to an index of 106.9 in May and are 11.9 percent above May 2011. In the West the index jumped 14.5 percent in May to 108.7 and is 4.8 percent stronger than a year ago.
Pending home sales could be even higher, but low inventory could be holding back sales in some areas – a relatively new challenge.
“If credit conditions returned to normal, and if we had more inventory, especially in the lower price ranges, more people would become successful buyers,” Yun said. “In an environment of historically favorable housing affordability conditions, it’s frustrating to see some consumers thwarted in the process.”
Low inventory results partly from underwater homeowners who are unwilling to list their homes, which would require a lengthy short sale process or additional cash to complete the transaction. NAR estimates 85 percent of homeowners have positive equity, with 15 percent underwater.
“Low inventory can be cured by increasing new home construction,” Yun says. He projects housing starts to rise by 26 percent this year and another 50 percent in 2013.
“If housing starts do not rise in a meaningful way over the next two years due to the difficulty in getting construction loans, and barring an unexpected shift in the economy, the steady shedding of inventory could lead to shortages where home prices could get bid up close to 10 percent in 2013,” Yun said.
WASHINGTON – June 27, 2012 – Pending home sales bounced back in May, matching the highest level in the past two years and well above year-ago levels, according to the National Association of Realtors® (NAR). Every region saw monthly and annual gains.
NAR’s Pending Home Sales Index (PHSI), a forward-looking indicator based on contract signings, rose 5.9 percent to 101.1 in May from 95.5 in April; and it’s 13.3 percent above May 2011 when it was 89.2. The data reflect contracts but not closings.
The index also reached 101.1 in March, which is the highest level since April 2010, though at that time, buyers were rushing to beat the deadline for the homebuyer tax credit.
“The housing market is clearly superior this year compared with the past four years,” said Lawrence Yun, NAR chief economist. “The latest increase in home contract signings marks 13 consecutive months of year-over-year gains. Actual closings for existing-home sales have been notably higher since the beginning of the year, and we’re on track to see a 9 to 10 percent improvement in total sales for 2012.”
The national median existing-home price is expected to rise 3.0 percent this year and another 5.7 percent in 2013.
The PHSI in the Northeast increased 4.8 percent to 82.9 in May and is 19.8 percent above May 2011. In the Midwest, the index rose 6.3 percent to 98.9 in May and is 22.1 percent higher than a year ago. Pending home sales in the South increased 1.1 percent to an index of 106.9 in May and are 11.9 percent above May 2011. In the West the index jumped 14.5 percent in May to 108.7 and is 4.8 percent stronger than a year ago.
Pending home sales could be even higher, but low inventory could be holding back sales in some areas – a relatively new challenge.
“If credit conditions returned to normal, and if we had more inventory, especially in the lower price ranges, more people would become successful buyers,” Yun said. “In an environment of historically favorable housing affordability conditions, it’s frustrating to see some consumers thwarted in the process.”
Low inventory results partly from underwater homeowners who are unwilling to list their homes, which would require a lengthy short sale process or additional cash to complete the transaction. NAR estimates 85 percent of homeowners have positive equity, with 15 percent underwater.
“Low inventory can be cured by increasing new home construction,” Yun says. He projects housing starts to rise by 26 percent this year and another 50 percent in 2013.
“If housing starts do not rise in a meaningful way over the next two years due to the difficulty in getting construction loans, and barring an unexpected shift in the economy, the steady shedding of inventory could lead to shortages where home prices could get bid up close to 10 percent in 2013,” Yun said.
Wednesday, June 27, 2012
Existing-Home Sales Constrained by Tight Supply in May, Prices Continue to Gain
ScottSorensonRealEstate.Com
WASHINGTON (June 21, 2012) - Limited supplies of housing inventory held back existing-home sales in May, but sales maintained a strong lead over year-ago levels and home prices are on a sustained uptrend in all regions, according to the National Association of Realtors®.
Total existing-home sales1, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, declined 1.5 percent to a seasonally adjusted annual rate of 4.55 million in May from 4.62 million in April, but are 9.6 percent above the 4.15 million-unit pace in May 2011.
Lawrence Yun, NAR chief economist, said inventory shortages in certain areas have been building all year. "The slight pullback in monthly home sales is more likely due to supply constraints rather than softening demand. The normal seasonal upturn in inventory did not occur this spring," he said. "Even with the monthly decline, home sales have moved markedly higher with 11 consecutive months of gains over the same month a year earlier."
There are broad-based shortages of inventory in the lower price ranges in much of the country except the Northeast, and in the West supply is extremely tight in all price ranges except for the upper end. "Realtors® in Western states have been calling for an expedited process to get additional foreclosed properties onto the market because they have more buyers than available property," Yun added. Widespread inventory shortages also are found in much of Florida.
Total housing inventory at the end of May slipped 0.4 percent to 2.49 million existing homes available for sale, which represents a 6.6-month supply2 at the current sales pace; there was a 6.5-month supply in April. Listed inventory is 20.4 percent below a year ago when there was a 9.1-month supply. Unsold inventory has trended down from a record 4.04 million in July 2007; supplies reached a cyclical peak of 12.1 months in July 2010.
"The recovery is occurring despite excessively tight credit conditions and higher downpayment requirements, which are negating the impact of record high affordability conditions," Yun said.
According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage declined to a record low 3.80 percent in May from 3.91 percent in April; the rate was 4.64 percent in May 2011; recordkeeping began in 1971.
WASHINGTON (June 21, 2012) - Limited supplies of housing inventory held back existing-home sales in May, but sales maintained a strong lead over year-ago levels and home prices are on a sustained uptrend in all regions, according to the National Association of Realtors®.
Total existing-home sales1, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, declined 1.5 percent to a seasonally adjusted annual rate of 4.55 million in May from 4.62 million in April, but are 9.6 percent above the 4.15 million-unit pace in May 2011.
Lawrence Yun, NAR chief economist, said inventory shortages in certain areas have been building all year. "The slight pullback in monthly home sales is more likely due to supply constraints rather than softening demand. The normal seasonal upturn in inventory did not occur this spring," he said. "Even with the monthly decline, home sales have moved markedly higher with 11 consecutive months of gains over the same month a year earlier."
There are broad-based shortages of inventory in the lower price ranges in much of the country except the Northeast, and in the West supply is extremely tight in all price ranges except for the upper end. "Realtors® in Western states have been calling for an expedited process to get additional foreclosed properties onto the market because they have more buyers than available property," Yun added. Widespread inventory shortages also are found in much of Florida.
Total housing inventory at the end of May slipped 0.4 percent to 2.49 million existing homes available for sale, which represents a 6.6-month supply2 at the current sales pace; there was a 6.5-month supply in April. Listed inventory is 20.4 percent below a year ago when there was a 9.1-month supply. Unsold inventory has trended down from a record 4.04 million in July 2007; supplies reached a cyclical peak of 12.1 months in July 2010.
"The recovery is occurring despite excessively tight credit conditions and higher downpayment requirements, which are negating the impact of record high affordability conditions," Yun said.
According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage declined to a record low 3.80 percent in May from 3.91 percent in April; the rate was 4.64 percent in May 2011; recordkeeping began in 1971.
Home prices rise in nearly all major U.S. cities
ScottSorensonRealEstate.Com
WASHINGTON (AP) – June 26, 2012 – Home prices rose in nearly all major U.S. cities in April from March, further evidence that the housing market is slowly improving even while the job market slumps.
The Standard & Poor’s/Case-Shiller home price index shows increases in 19 of the 20 cities tracked. That’s the second straight month that prices have risen in a majority of U.S. cities.
And a measure of national prices rose 1.3 percent in April from March, the first increase in seven months.
San Francisco, Washington and Phoenix posted the biggest increases. Prices fell 3.6 percent in Detroit, the only city to record a drop.
The month-to-month prices aren’t adjusted for seasonal factors. Still, prices in half of the cities are up over the past 12 months.
Prices are increasing as other parts of the housing market are strengthening. Sales of new and previously occupied homes are up over the past year, in part because mortgage rates have plunged to the lowest levels on record. Builders are more confident and are starting to build more homes.
The S&P/Case-Shiller monthly index covers roughly half of U.S. homes. It measures prices compared with those in January 2000 and creates a three-month moving average. The April figures are the latest available.
Its measure of home prices for all 20 cities fell 1.9 percent over the 12 months ending in April. That suggests weaker markets continue to weigh on national prices.
But other measures show home prices have risen nationally over the past year. CoreLogic, a private firm, calculates that prices rose 1.1 percent nationally in the 12 months ending in May. Federal Housing Finance Agency, which oversees mortgage giants Fannie Mae and Freddie Mac, says prices have increased 3 percent in the 12 months ending in April.
Recent data indicate that the housing market has started to recovery more than five years after the bubble burst.
Greater interest from buyers is boosting builders’ confidence. In May, builders requested the highest number of permits to build homes and apartments in three and a half years.
The supply of homes for sale remains extremely low, which has helped stabilized prices. The inventory of previously occupied homes is back down to levels last seen in 2006. And there were 145,000 new homes for sale in May. That’s only slightly higher than in April, which was the lowest supply on records dating back to 1963.
Despite the modest gains in housing, the broader economy has weakened in recent months. Employers have added an average of only 73,000 jobs a month in April and May. That’s much lower than the average of 226,000 added in the first three months of this year. Some economists worry that the sluggish job market could weigh on home sales just as the housing market is flashing signs of recovery.
WASHINGTON (AP) – June 26, 2012 – Home prices rose in nearly all major U.S. cities in April from March, further evidence that the housing market is slowly improving even while the job market slumps.
The Standard & Poor’s/Case-Shiller home price index shows increases in 19 of the 20 cities tracked. That’s the second straight month that prices have risen in a majority of U.S. cities.
And a measure of national prices rose 1.3 percent in April from March, the first increase in seven months.
San Francisco, Washington and Phoenix posted the biggest increases. Prices fell 3.6 percent in Detroit, the only city to record a drop.
The month-to-month prices aren’t adjusted for seasonal factors. Still, prices in half of the cities are up over the past 12 months.
Prices are increasing as other parts of the housing market are strengthening. Sales of new and previously occupied homes are up over the past year, in part because mortgage rates have plunged to the lowest levels on record. Builders are more confident and are starting to build more homes.
The S&P/Case-Shiller monthly index covers roughly half of U.S. homes. It measures prices compared with those in January 2000 and creates a three-month moving average. The April figures are the latest available.
Its measure of home prices for all 20 cities fell 1.9 percent over the 12 months ending in April. That suggests weaker markets continue to weigh on national prices.
But other measures show home prices have risen nationally over the past year. CoreLogic, a private firm, calculates that prices rose 1.1 percent nationally in the 12 months ending in May. Federal Housing Finance Agency, which oversees mortgage giants Fannie Mae and Freddie Mac, says prices have increased 3 percent in the 12 months ending in April.
Recent data indicate that the housing market has started to recovery more than five years after the bubble burst.
Greater interest from buyers is boosting builders’ confidence. In May, builders requested the highest number of permits to build homes and apartments in three and a half years.
The supply of homes for sale remains extremely low, which has helped stabilized prices. The inventory of previously occupied homes is back down to levels last seen in 2006. And there were 145,000 new homes for sale in May. That’s only slightly higher than in April, which was the lowest supply on records dating back to 1963.
Despite the modest gains in housing, the broader economy has weakened in recent months. Employers have added an average of only 73,000 jobs a month in April and May. That’s much lower than the average of 226,000 added in the first three months of this year. Some economists worry that the sluggish job market could weigh on home sales just as the housing market is flashing signs of recovery.
Monday, June 18, 2012
Inventory of unsold homes lowest in 5 years
ScottSorensonRealEstate.Com
SANTA ANA, Calif. – June 18, 2012 – CoreLogic’s monthly report on home sales, released last week, finds that the level of unsold inventory hit its lowest point in five years.
CoreLogic analysts say negative equity has become a positive force in the real estate marketing. Homeowners who owe more on the mortgage than the currently value of their home choose not to sell right now. That has increased selling prices by limiting the number of homes on the market.
Key findings include:
• The Home Price Index (HPI), including distressed sales, posted two consecutive months of year-over-year increases in April 2012 – the first such increase since the summer of 2010 when the housing market was benefitting from tax credits.
• Single-family construction activity increased 2.3 percent in April, and it’s up 25 percent over the last six months.
• Months’ supply of unsold homes fell to just more than six months in April 2012 and is currently at the lowest level in more than five years.
• As the flow of REOs has slowed over the last 18 months, negative equity has become a positive force in real estate markets by restricting supply in the face of increasing demand.
• The housing market has transitioned from pricing dynamics driven by economic weakness and high shares of distressed sales to one of restricted supply, which will likely exist for some time to come – a reason for optimism in many hard hit markets.
A complete copy of the June CoreLogic MarketPulse report is available online.
SANTA ANA, Calif. – June 18, 2012 – CoreLogic’s monthly report on home sales, released last week, finds that the level of unsold inventory hit its lowest point in five years.
CoreLogic analysts say negative equity has become a positive force in the real estate marketing. Homeowners who owe more on the mortgage than the currently value of their home choose not to sell right now. That has increased selling prices by limiting the number of homes on the market.
Key findings include:
• The Home Price Index (HPI), including distressed sales, posted two consecutive months of year-over-year increases in April 2012 – the first such increase since the summer of 2010 when the housing market was benefitting from tax credits.
• Single-family construction activity increased 2.3 percent in April, and it’s up 25 percent over the last six months.
• Months’ supply of unsold homes fell to just more than six months in April 2012 and is currently at the lowest level in more than five years.
• As the flow of REOs has slowed over the last 18 months, negative equity has become a positive force in real estate markets by restricting supply in the face of increasing demand.
• The housing market has transitioned from pricing dynamics driven by economic weakness and high shares of distressed sales to one of restricted supply, which will likely exist for some time to come – a reason for optimism in many hard hit markets.
A complete copy of the June CoreLogic MarketPulse report is available online.
Homes no longer yours for a steal
ScottSorensonRealEstate.Com
WASHINGTON – June 18, 2012 – It’s not something that economists routinely track, but it provides a rough sense of what’s happening in local real estate markets. Call it the lowball index.
A year ago, according to researchers at the National Association of Realtors (NAR), one out of 10 members surveyed in a monthly poll complained about lowball offers on houses listed for sale. In the latest survey – conducted during March among a sample of 4,500 agents and brokers across the country and not yet released – there were hardly any. Instead, the focus of volunteered comments has shifted to declining inventory levels – fewer houses available to sell – and multiple offers on well-priced listings.
A lowball offer typically involves a contract submitted to a seller where the price proposed by the purchaser is 25 percent or more below list. Lowballs increase sharply when there’s a glut of properties available, asking prices are out of sync with local economic realities, and values are depressed or uncertain. Buyers figure: Hey, why not? Maybe I’ll get lucky.
Based on the latest survey results, that sort of strategy is not a winning move in many communities this spring. In fact, in local markets where inventories are tight and competition for homes rising, realty agents say that buyers looking to steal houses by lowballing their offers are ending up at the back of the line – their contracts either rejected out of hand or countered close to the original asking price.
In high-demand, high-cost markets that have rebounded from recession slumps, sellers are now firmly in control; they pay scant attention to lowballers. Jayne Esposito, an agent with Coldwell Banker Residential Brokerage in Los Gatos, Calif., says that multiple offers are “the rule, not the exception,” in her area, and many transactions end up with final contract prices higher than the listing. “Sure, I’ve had a few buyers try to lowball and they wouldn’t listen,” she said in an interview, “but that didn’t work out well for them.”
Similar trends are under way in more moderately priced markets. Wes Neal, an agent at Prudential Olympia in Olympia, Wash., said “lowball offers are down a lot because we’re seeing more homes come on the market that are more realistically priced” – sellers have absorbed the hard lessons of the recession years about what the market can bear. Even when buyers submit shockingly low bids, sellers no longer are so insulted they send the contract back without a counter-offer. Now they negotiate aggressively and the final number ends up close to the original asking price.
For example, Neal said, a buyer recently came in with a bottom-fishing offer of $150,000 on a house listed for $250,000. Though the seller was irritated, after a series of negotiations the lowball buyer settled for a final price of $230,000.
Outside Washington, D.C., in the Northern Virginia suburbs, well-priced houses in good locations move fast, sometimes pulling in multiple offers within 48 hours of listing, says Chris Ann Cleland, an agent with Long & Foster Realtors. Sellers who encounter the occasional outrageous lowball offer reminiscent of the recession years tell listing agents “don’t even bother” with them. After all, there’s an excellent chance there will be a realistic offer shortly – maybe more than one.
In the suburbs south of Chicago, Judy Orr, an agent with Classic Realty Group in Orland Park, Ill., says lowball frequency and efficacy depend on the specific neighborhood or town. “We still see them, and we try to work with them” in communities where prices are soft and the impacts of tough economic times persist, she said. Elsewhere, though lowball offers are down, she urges sellers to stick with it and negotiate. Recently a lowballer came in $40,000 below the asking price. Through negotiations with the buyer, Orr managed to close the gap to just $2,000 below asking.
Marnie Matarese, an agent with J Wood Realty in Sarasota, Fla., said that while lowball offers are far fewer this spring, some out-of-town buyers still appear to be under the impression that all Florida real estate remains depressed. They insist on submitting offers that make no sense in today’s environment. But Matarese has no problem with this – “You can’t blame a buyer for trying to get a good deal,” she says, but the fact remains: They usually risk losing the house.
The take-away here: Rolling lowballs at sellers may have been an effective approach between 2008 and early 2011. But in 2012’s environment – at least in rebounding markets – it could be counterproductive if you truly want to buy.
Update: Following a recent column on FHA’s controversial tightening of rules on collection accounts, the agency postponed the effective date of the policy change to July 1 from April 1.
WASHINGTON – June 18, 2012 – It’s not something that economists routinely track, but it provides a rough sense of what’s happening in local real estate markets. Call it the lowball index.
A year ago, according to researchers at the National Association of Realtors (NAR), one out of 10 members surveyed in a monthly poll complained about lowball offers on houses listed for sale. In the latest survey – conducted during March among a sample of 4,500 agents and brokers across the country and not yet released – there were hardly any. Instead, the focus of volunteered comments has shifted to declining inventory levels – fewer houses available to sell – and multiple offers on well-priced listings.
A lowball offer typically involves a contract submitted to a seller where the price proposed by the purchaser is 25 percent or more below list. Lowballs increase sharply when there’s a glut of properties available, asking prices are out of sync with local economic realities, and values are depressed or uncertain. Buyers figure: Hey, why not? Maybe I’ll get lucky.
Based on the latest survey results, that sort of strategy is not a winning move in many communities this spring. In fact, in local markets where inventories are tight and competition for homes rising, realty agents say that buyers looking to steal houses by lowballing their offers are ending up at the back of the line – their contracts either rejected out of hand or countered close to the original asking price.
In high-demand, high-cost markets that have rebounded from recession slumps, sellers are now firmly in control; they pay scant attention to lowballers. Jayne Esposito, an agent with Coldwell Banker Residential Brokerage in Los Gatos, Calif., says that multiple offers are “the rule, not the exception,” in her area, and many transactions end up with final contract prices higher than the listing. “Sure, I’ve had a few buyers try to lowball and they wouldn’t listen,” she said in an interview, “but that didn’t work out well for them.”
Similar trends are under way in more moderately priced markets. Wes Neal, an agent at Prudential Olympia in Olympia, Wash., said “lowball offers are down a lot because we’re seeing more homes come on the market that are more realistically priced” – sellers have absorbed the hard lessons of the recession years about what the market can bear. Even when buyers submit shockingly low bids, sellers no longer are so insulted they send the contract back without a counter-offer. Now they negotiate aggressively and the final number ends up close to the original asking price.
For example, Neal said, a buyer recently came in with a bottom-fishing offer of $150,000 on a house listed for $250,000. Though the seller was irritated, after a series of negotiations the lowball buyer settled for a final price of $230,000.
Outside Washington, D.C., in the Northern Virginia suburbs, well-priced houses in good locations move fast, sometimes pulling in multiple offers within 48 hours of listing, says Chris Ann Cleland, an agent with Long & Foster Realtors. Sellers who encounter the occasional outrageous lowball offer reminiscent of the recession years tell listing agents “don’t even bother” with them. After all, there’s an excellent chance there will be a realistic offer shortly – maybe more than one.
In the suburbs south of Chicago, Judy Orr, an agent with Classic Realty Group in Orland Park, Ill., says lowball frequency and efficacy depend on the specific neighborhood or town. “We still see them, and we try to work with them” in communities where prices are soft and the impacts of tough economic times persist, she said. Elsewhere, though lowball offers are down, she urges sellers to stick with it and negotiate. Recently a lowballer came in $40,000 below the asking price. Through negotiations with the buyer, Orr managed to close the gap to just $2,000 below asking.
Marnie Matarese, an agent with J Wood Realty in Sarasota, Fla., said that while lowball offers are far fewer this spring, some out-of-town buyers still appear to be under the impression that all Florida real estate remains depressed. They insist on submitting offers that make no sense in today’s environment. But Matarese has no problem with this – “You can’t blame a buyer for trying to get a good deal,” she says, but the fact remains: They usually risk losing the house.
The take-away here: Rolling lowballs at sellers may have been an effective approach between 2008 and early 2011. But in 2012’s environment – at least in rebounding markets – it could be counterproductive if you truly want to buy.
Update: Following a recent column on FHA’s controversial tightening of rules on collection accounts, the agency postponed the effective date of the policy change to July 1 from April 1.
Wednesday, June 13, 2012
Homebuyers find market isn’t what they expected
ScottSorensonRealestate.Com
LOS ANGELES – June 13, 2012 – A shortage of “move-in ready” homes and bidding wars over houses in good condition are leaving potential buyers scrambling to find a home to buy, according to media reports.
Housing inventories have shrunk nationwide, leaving home shoppers with fewer options. Bidding wars are back, and in some markets the shortage is prompting buyers to try to bid on homes even before they are listed, reports The Los Angeles Times.
In April, the number of for-sale homes was 2.5 million, which marks the lowest number for an April since 2006, according to National Association of Realtors®’ (NAR) housing data.
“The sharp drop in inventory along with rock-bottom interest rates have helped stabilize even some of the hardest-hit markets, including the Southland, Las Vegas, Phoenix and Miami,” The Los Angeles Times reports. “Some real estate professionals are concerned that the lack of inventory might turn off potential buyers, stifling the recent recovery in home sales.”
While buyers are suddenly feeling a sense of urgency, sellers are feeling they can wait, says Glenn Kelman, chief executive of Redfin.
Meanwhile, investors are snatching up bank-owned properties at bargains, new construction remains at historic lows, and homeowners are taking a “wait-and-see-approach” before they list their homes. That’s left many buyers scrambling to find a property.
Some homeowners are hesitant to sell, held back by negative equity and waiting for more of a bounce-back in home prices before they list.
"With the downturn, it seems like there are a lot of people who have been waiting in the wings to pounce, and because the rates are low, there is just a lot more competition," says one LA-area home shopper, Eddie David, who says he and his wife have been outbid on three different properties recently. "We tried to get in on a couple other homes, and even though it had been just a week or two weeks, it was just too late."
More details of story.
LOS ANGELES – June 13, 2012 – A shortage of “move-in ready” homes and bidding wars over houses in good condition are leaving potential buyers scrambling to find a home to buy, according to media reports.
Housing inventories have shrunk nationwide, leaving home shoppers with fewer options. Bidding wars are back, and in some markets the shortage is prompting buyers to try to bid on homes even before they are listed, reports The Los Angeles Times.
In April, the number of for-sale homes was 2.5 million, which marks the lowest number for an April since 2006, according to National Association of Realtors®’ (NAR) housing data.
“The sharp drop in inventory along with rock-bottom interest rates have helped stabilize even some of the hardest-hit markets, including the Southland, Las Vegas, Phoenix and Miami,” The Los Angeles Times reports. “Some real estate professionals are concerned that the lack of inventory might turn off potential buyers, stifling the recent recovery in home sales.”
While buyers are suddenly feeling a sense of urgency, sellers are feeling they can wait, says Glenn Kelman, chief executive of Redfin.
Meanwhile, investors are snatching up bank-owned properties at bargains, new construction remains at historic lows, and homeowners are taking a “wait-and-see-approach” before they list their homes. That’s left many buyers scrambling to find a property.
Some homeowners are hesitant to sell, held back by negative equity and waiting for more of a bounce-back in home prices before they list.
"With the downturn, it seems like there are a lot of people who have been waiting in the wings to pounce, and because the rates are low, there is just a lot more competition," says one LA-area home shopper, Eddie David, who says he and his wife have been outbid on three different properties recently. "We tried to get in on a couple other homes, and even though it had been just a week or two weeks, it was just too late."
More details of story.
Friday, May 25, 2012
MEDIAN PRICES CONTINUE TO CLIMB
www.ScottSorensonRealEstate.Com
Naples, FL (May 25, 2012) -
Prices and optimism in the Naples Area housing market continue to climb. For
the fifth consecutive month, the overall median prices have increased. We are
seeing several signs of improvement for the Naples real estate market, according
to a report released by the Naples Area Board of REALTORS® (NABOR), which
tracks home listings and sales within Collier County (excluding Marco Island).
The median closed price increased 22 percent overall in April 2012 compared to
April 2011. This coupled with the fact that inventory continues to decline
reflects the strength of the Naples market.
"Further highlighting the
positive statistics is the fact that a remarkable 78 percent of closed sales
were in the traditional transactions category," said Steve Barker,
Supporting Broker with Amerivest Realty. "Traditional sales are at the
highest level since we started tracking them in 2009."
Mike Hughes, Vice President and
General Manager of Downing-Frye Realty, Inc., agreed by stating, "The
majority of business is traditional. In addition, inventory in all the
geographic areas we track is down an average of 13 percent in April 2012
compared to April 2011."
Dr. Shelton Weeks, Director of
the Lucas Institute for Real Estate Development & Finance at Florida Gulf
Coast University remarked, "The biggest thing about these statistics is
the increase in traditional sales which has reached the high 70th percentile
for April 2012. This is really big, possibly more important than price increase
and stability in the market. It shows the market is clearing and healing
itself."
The April report provides annual
comparisons of single-family home and condominium sales (via the SunshineMLS),
price ranges, geographic segmentation and includes an overall market summary.
The April sales statistics are
presented in chart format, together with these Overall (single-family and
condominium units) specifics:
- The overall median closed price
increased 22 percent from $185,000 in April 2011 to $226,000 in April
2012.
- Overall pending sales increased
20 percent in the $500,000 to $1 million category from 895 pending sales
to 1,070 pending sales for the 12-month period ending April 2012.
- Overall inventory dropped by 13
percent from 8,214 in April 2011 compared to 7,130 in April 2012.
- Overall closed sales increased 14
percent in the $500,000 to $ 1 million category from 760 units to 869, and
rose 13 percent in the $1 million to $2 million category from 343 units to
389 for the 12-month period ending April 2012.
- The average DOM (Days on the
Market) decreased 30 percent in the $1 million to $2 million category from
345 days on the market in April 2011 compared to 241 in April 2012.
- Overall pending sales in the
Naples Beach area increased 14 percent from 1,675 to 1,913 and closed
sales increased 17 percent from 1,437 to 1,678 for the 12-month period
ending April 2012.
Jo Carter, President of Jo Carter
& Associates, Inc. said, "The upper-end condos are selling, and
selling faster. Closed sales of condos in the $1 million to $2 million category
increased 28 percent and those in the $2 million plus category increased 20
percent for the 12 month ending April 2012 compared to April 2011. The average
days on the market for both categories decreased 24 percent and 30 percent,
respectively, for the 12-month ending April 2012 compared to April 2011."
Ernesto Velasquez of United Real
Estate remarked, "The majority of homes in foreclosure are being bought by
investors at the under $300,000 range. Therefore, approximately three out of
every four sales are traditional with only one being distressed."
Cindy Carroll, of Carroll &
Carroll stated, "Inventory in the $300,000 category and below is
disappearing because rising value is pushing it up into higher price
ranges."
To view the entire report, visit http://www.NaplesArea.com
The Naples Area Board of
REALTORS® (NABOR®) is an established organization (Chartered in 1949) whose
members have a positive and progressive impact on the Naples Community. NABOR®
is a local board of REALTORS® and real estate professionals with a legacy of
nearly 60 years serving 4,000 plus members. NABOR® is a member of the Florida
Realtors and the National Association of REALTORS®, which is the largest
association in the United States with more than 1.3 million members and over
1,400 local board of REALTORS® nationwide. NABOR® is structured to provide
programs and services to its membership through various committees and the
NABOR® Board of Directors, all of whose members are non-paid volunteers.
The term REALTOR® is a registered
collective membership mark which identifies a real estate professional who is a
member of the National Association of REALTORS® and who subscribe to its strict
Code of Ethics.
Monday, May 14, 2012
The 15 'Happiest Seaside Towns' in the USA
By Kitty Bean Yancey, USA TODAY
What would you say is the "Happiest Seaside Town" in the USA?
Well, it's Kiawah Island, S.C., according to Coastal Living
Magazine's new rankings.
The list was compiled using a complicated formula involving editors' picks,
the Gallup Healthways Well-Being Index, sunny days, beach quality, low crime,
commute time, education of residents and other factors. The other waterfront
places where life is supposedly a smiley face:
2. Naples, Fla.
3. Sausalito, Calif.
4. Lake Bluff, Ill.
5. Tiburon, Calif.
6. Laguna Beach, Calif.
7. Half Moon Bay, Calif.
8. Chatham, Mass.
9. Jupiter, Fla.
10. Lahaina, Hawaii
11. Marblehead, Mass.
12. Stinson Beach, Calif.
13. Cohasset, Mass.
14. Duxbury, Mass.
15. Solomons Island, Md.
Monday, April 30, 2012
In Recovery? Local, national experts say Collier real estate market on the rebound
NAPLES —New normal. Reset button. Return of common sense.
Talk to real estate insiders and experts about the market in Southwest Florida and these terms are bound to come up.
"The downturn we saw ... it was unprecedented," said Bill Poteet, president of the Naples Area Board of Realtors. "Up until then, Naples had been pretty much bulletproof through most recessions."
Everyone knows what happened instead. The rapid descent of Southwest Florida's housing industry into chaos has been well-documented, as has the flood of short sales and distressed properties that defined the market in 2009 and 2010.
After a promising 2011-12 tourist season turned out even better than expected, local market-watchers are saying the real estate market in Collier County is officially back on the mend — save a couple of caveats. With a presidential election approaching, and uncertainty in gas prices and income tax rates — particularly among upper-income brackets — there remain factors that could slow the recovery of the real estate market.
"It's a mini-recovery," John Tucillo, chief economist for Florida Realtors, said during an April 13 economic summit at NABOR. "And we have a long way to go."
On a whole, however, Realtors in Southwest Florida sound decidedly more upbeat — and less reserved in their enthusiasm — this spring than in recent memory.
"Yes, we feel very optimistic," said Phil Wood, president and CEO of John R. Wood Realtors. "The fact that unemployment is improving gradually all over the country, the fact that Naples and Southwest Florida usually lead the country out of the recession because it is such a desirable area — that all gives us reason for optimism."
The complete article about Naples Recovery. ScottSorensonRealEstate.Com
Talk to real estate insiders and experts about the market in Southwest Florida and these terms are bound to come up.
"The downturn we saw ... it was unprecedented," said Bill Poteet, president of the Naples Area Board of Realtors. "Up until then, Naples had been pretty much bulletproof through most recessions."
Everyone knows what happened instead. The rapid descent of Southwest Florida's housing industry into chaos has been well-documented, as has the flood of short sales and distressed properties that defined the market in 2009 and 2010.
After a promising 2011-12 tourist season turned out even better than expected, local market-watchers are saying the real estate market in Collier County is officially back on the mend — save a couple of caveats. With a presidential election approaching, and uncertainty in gas prices and income tax rates — particularly among upper-income brackets — there remain factors that could slow the recovery of the real estate market.
"It's a mini-recovery," John Tucillo, chief economist for Florida Realtors, said during an April 13 economic summit at NABOR. "And we have a long way to go."
On a whole, however, Realtors in Southwest Florida sound decidedly more upbeat — and less reserved in their enthusiasm — this spring than in recent memory.
"Yes, we feel very optimistic," said Phil Wood, president and CEO of John R. Wood Realtors. "The fact that unemployment is improving gradually all over the country, the fact that Naples and Southwest Florida usually lead the country out of the recession because it is such a desirable area — that all gives us reason for optimism."
The complete article about Naples Recovery. ScottSorensonRealEstate.Com
Thursday, April 26, 2012
March pending home sales rise, market recovering
WASHINGTON (April 26, 2012) – Pending home sales increased in March and are well above a year ago, another signal the housing market is recovering, according to the National Association of Realtors® (NAR).
The Pending Home Sales Index (PHSI), a forward-looking indicator based on contract signings, rose 4.1 percent to 101.4 in March from an upwardly revised 97.4 in February, and it’s 12.8 percent above March 2011 when it was 89.9. The data reflects contracts but not closings.
The index is now at the highest level since April 2010 when it reached 111.3.
“First quarter sales closings were the highest first quarter sales in five years,” says Lawrence Yun, NAR chief economist. “The latest contract signing activity suggests the second quarter will be equally good. The housing market has clearly turned the corner. Rising sales are bringing down inventory and creating much more balanced conditions around the county, which means home prices will be rising in more areas as the year progresses.”
The PHSI in the Northeast slipped 0.8 percent to 78.2 in March but is 21.1 percent above March 2011. In the Midwest, the index declined 0.9 percent to 93.3 but is 16.9 percent higher than a year ago.
Pending home sales in the South rose 5.9 percent to an index of 114.1 in March and are 10.6 percent above March 2011. In the West, the index increased 8.7 percent in March to 108.0 and is 9.0 percent above a year ago.
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