Realty Reality: November 2009

Wednesday, November 25, 2009

IRS Fall 2009 Statistics of Income Bulletin Now Available

For all you number crunchers out there, the IRS announced the release of the fall 2009 issue of the Statistics of Income Bulletin, featuring data on 143 million individual income tax returns filed for tax year 2007.

Full Bulletin

Visit my web site for real estate services and support: LawrenceYerkes.com [NJ/PA]

and visit Besthomes-NJ.com to find the latest New Jersey Real Estate property listings (Residential, Commercial, Multi-Family, Farm, Land, Investment).

Tuesday, November 24, 2009

IRS: First-Time Homebuyer Credit Extended to April 30, 2010

Some Current Homeowners Now Also Qualify

The Worker, Homeownership, and Business Assistance Act of 2009, that went into effect Nov. 6, extends the deadline for qualifying home purchases from Nov. 30, 2009, to April 30, 2010. Additionally, if a buyer enters into a binding contract by April 30, 2010, the buyer has until June 30, 2010, to settle on the purchase.

The maximum credit amount remains at $8,000 for a first-time homebuyer –– that is, a buyer who has not owned a primary residence during the three years up to the date of purchase.

But the new law also provides a “long-time resident” credit of up to $6,500 to others who do not qualify as “first-time homebuyers.” To qualify this way, a buyer must have owned and used the same home as a principal or primary residence for at least five consecutive years of the eight-year period ending on the date of purchase of a new home as a primary residence.

For all qualifying purchases in 2010, taxpayers have the option of claiming the credit on either their 2009 or 2010 tax returns. (Source: IRS.gov)

More details...

Sunday, November 15, 2009

Renters Often Unlikely Victims of Foreclosure

When the foreclosure crisis first hit the U.S., many individuals and families living in rental housing were evicted without notice after the property they called home entered foreclosure. Often those tenants, who had been paying their rent on time, had no idea the property was in delinquency or facing foreclosure until they received notice to evict.

At a forum today during the 2009 REALTORS® Conference & Expo, a panel of experts discussed the impact, liability and ethical issues of foreclosure on single-family and multifamily rental housing to the property owners, managers and tenants. Data from the National Low Income Coalition show that nearly 40 percent of families facing foreclosure are renters.

“Realtors® build communities and are working to reduce the impacts of foreclosure on all community members – homeowners and renters alike,” said National Association of Realtors® (NAR) President Charles McMillan. “Our goal is to help keep people in their homes, but if a sale can’t be avoided, it’s important that rights of renters are protected as much as the owners.”

According to panelist Charles Achilles, vice president of legislation and research for the Institute of Real Estate Management, a new law signed into effect in May 2009 by President Obama, “The Helping Families Save Their Homes Act of 2009,” included provisions to protect tenants from eviction after their rental property enters foreclosure.

Under the new law, tenants must be given 90 days notice prior to eviction. Depending on state law, tenants are allowed to stay in the property through the end of their lease with two exceptions – if the new owner wants to occupy the property as a personal residence, or if no current lease is in place or there is a lease but state law allows the lease to be terminated at any time upon notice. Even under these exceptions, tenants must be given 90 days notice.

Achilles said a number of states have existing laws protecting tenants; however, the new law preempts existing state laws, unless the state’s law offers renters greater protection. The provisions of the law expire December 31, 2012.

Panelist Stan Mullin of California Real Estate Receiverships in Newport Beach, Calif., said there are many potential liabilities and ethical issues facing tenants and property managers during foreclosure.

Mullins said receiverships are incredibly beneficial and are used during disputes between two parties. Receiverships are appointed by the court and play an important role in protecting the property and the interests of the all parties.

According to Mullins, the benefit of real estate receiverships is that they work with the owners, tenants and property managers to ensure the property doesn’t become neglected and help all parties come to an agreement on the course of action. Receiverships typically last several months, but can extend for more than a year, until the loan is modified or the property is sold.

Panelist Gabe del Rio of Community HousingWorks in San Diego shared information on several successful initiatives to help owners and tenants during the foreclosure process, including free foreclosure prevention counseling and more than 50 community homeownership clinics that provide education, one-on-one legal and foreclosure counseling, and review of real estate and lending documents. To date, the clinics have helped more than 3,500 consumers.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.

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Home Composting

Home composting can be an easy way for your household to make a direct positive impact on the environment. According to the Environmental Protection Agency (EPA), food residuals and yard trimmings account for 24% of the municipal solid waste stream in the United States. The EPA estimates that 56.9 percent of yard trimmings were recovered for composting or grasscycled in 2000, a significant increase from the 12 percent recovery rate in 1990.

What is Compost?

Composting, nature's own way of recycling, is the controlled decomposition of organic material such as leaves, twigs, grass clippings, and vegetable food waste. Compost is the soil amendment product that results from proper composting.

Natural composting, or biological decomposition, began with the first plants on earth and has been going on ever since. As vegetation falls to the ground, it slowly decays, providing minerals and nutrients needed for plants, animals, and microorganisms. Mature compost, however, includes the production of high temperatures to destroy pathogens and weed seeds that natural decomposition does not destroy.

Where to Compost?

Composting can be practiced in most backyards in a homemade or manufactured composting bin or simply an open pile (some cities do require enclosed bins). Businesses, schools, and other facilities can also easily compost. Contact your city or county government for information about free composting workshops and discounted or free composting bins.

Homemade bins can be constructed out of scrap wood, chicken wire, snow fencing or even old garbage cans (with holes punched in the sides and bottom).

Manufactured bins include turning units, hoops, cones, and stacking bins. These can be purchased from retail or mail-order businesses. Take the time to consider your options and then select a bin that best fits your needs.

What to Compost:

Eggshells
Coffee grounds and filters
Fruits and vegetables
Cardboard rolls
Grass clippings
Tea bags
Cotton rags
Dryer and vacuum cleaner lint
Houseplants
Leaves
Hair and fur
Hay and straw
Nut shells
Sawdust
Wood chips
Wool rags
Yard trimmings

What Not to Compost:

Black walnut tree leaves or twigs
Why? Releases substances that might be harmful to plants

Coal or charcoal ash
Why? Might contain substances harmful to plants

Dairy products (e.g., butter, egg yolks, milk, sour cream, yogurt)
Why? Create odor problems and attract pests such as rodents and flies

Diseased or insect-ridden plants
Why? Diseases or insects might survive and be transferred back to other plants

Fats, grease, lard, or oils
Why?Create odor problems and attract pests such as rodents and flies

Meat or fish bones and scraps
Why? Create odor problems and attract pests such as rodents and flies

Pet wastes (e.g., dog or cat feces, soiled cat litter)
Why? Might contain parasites, bacteria, germs, pathogens, and viruses harmful to humans

Yard trimmings treated with chemical pesticides
Why? Might kill beneficial composting organisms

Using Compost

It can take anywhere from 14 days to 12 months to produce your finished compost. The time it takes can vary widely depending on the materials and methods used. The point at which the compost is ready varies based on how the compost will be used. In general, though, compost is ready when dark and crumbly and mostly broken down with a pleasant, earthy, soil-like smell to it. For most uses it is acceptable to have some recognizable pieces of leaves or straw remaining.

Finished compost can be applied to lawns and gardens to help condition the soil and replenish nutrients. Compost, however, should not be used as potting soil for houseplants because of the presence of weed and grass seeds.

Friday, November 13, 2009

Commercial Real Estate Market Continues to Suffer from Credit Crunch

A severe ongoing credit crunch in commercial real estate lending is hampering recovery, according to a commercial market update at the 2009 REALTORS® Conference & Expo. NAR Chief Economist Lawrence Yun shared insights into the commercial markets and the current lending environment during the “Economic Issues and Commercial Real Estate Business Trends Forum” here today.

Yun said the recent severe economic downturn and high unemployment continue to impact commercial real estate markets. “The commercial real estate market continues to struggle in this difficult economy, with rising vacancy rates and falling rents,” said Yun. “Commercial transactions and sales are down across the country from the virtual lack of available credit – banks are not lending and mortgage-backed securities are virtually nonexistent. The government needs to take action to relieve some of the lending pressure.”

According to Yun, the commercial real estate market price movement of the past 10 years closely mimicked the rise and subsequent fall of the residential housing market, even though commercial underwriting standards were far more prudent than those of residential subprime and other risky mortgage loans. Yun said in the current market the federal government is not backing commercial loans as it is for the residential home market.

While commercial REIT equity issuance increased recently because of positive increases in the U.S. stock market, the flow of capital into the commercial real estate market remains weak because lenders remain very reluctant to lend, said Yun. Data from Real Capital Analytics shows that the largest source of financing for commercial projects under $5 million is currently local and regional banks, which helped fund nearly 48 percent of recent transactions. Yun said there are many small regional banks that weren’t involved in risky lending in recent years and aren’t suffering from large amounts of loan defaults like some of the larger banks.

The lack of credit has also led to a dramatic increase in seller-financed transactions. This type of financing previously accounted for less than 1 percent of transactions; recently this number has jumped to nearly 13 percent.

Like the residential housing market, commercial defaults have dramatically increased among all property types, especially the retail and multifamily sectors – and Yun predicts that defaults will continue to rise for the next six to 12 months.

Yun estimates that $800 to $850 billion in commercial loans will mature in the next 2 years and will require refinancing. “Policymakers need to step in and address some of the continuing lending problems in the commercial real estate market by developing policy or regulations to help facilitate the refinancing of these large, looming commercial loans,” said Yun.

Yun ended his presentation with a prediction that the commercial real estate market could see more weakness before lending and transaction activity improves in mid- to late 2010.

“Despite all of the challenges in the market, I expect to see some modest improvement in commercial lending to small business owners and commercial projects next year as banks become more stable,” said Yun. “This could happen even sooner if the Federal Reserve stepped in with clearer rules and guidelines about refinancing commercial loans.”

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.

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Thursday, November 12, 2009

Kitchen Appliance Buying Guide

New space-aged appliances have the American kitchen looking more and more like the bridge of a science-fiction spaceship. High tech innovations, upgrades to energy efficiency, sleek style enhancements and lowering prices all make new kitchen appliances appealing to a number of different types of consumers.

Home owners: Revitalizing your kitchen doesn’t necessarily require an expensive, full-scale remodeling project. Upgrading individual kitchen appliances can help refresh the style of the entire room while also enhancing your cooking experience. Obtaining financing on individual appliances is also easier than getting a home equity line of credit or other loan for a full-on remodeling project.

Sellers: In a slower housing market, making cost-conscious home improvements increases the likelihood of selling at or near your asking price. Which appliance is oldest or showing its age the most? Are there any common appliances that your kitchen lacks, such as a dishwasher? By focusing your spending on one major item of need, your home just might appeal to a wider range of buyers.

Buyers: When considering two otherwise comparable homes, typically the one with new kitchen appliances and furnishings will carry the higher asking price. You can certainly choose the newer kitchen, but you will essentially be paying part or all of the cost of that remodel, a remodel that may include stylistic touches you don’t care for and furnishings or appliances that are now available at cheaper market prices. As an alternative, buyers should consider the possibility of buying an older kitchen and upgrading some or all of the kitchen appliances with brand new models. Whether you’re looking to upgrade one appliance or re-do a whole kitchen’s worth of equipment, this buying guide will serve as an excellent primer.

Dishwashers

Of all kitchen appliances, dishwashers take more than their fair share of abuse. A new replacement dishwasher is welcome upgrade for almost any kitchen. If you are currently sink-and-sponging all of your dishes clean, you’ll find that a new dishwasher is time-saving and environmentally friendly (modern dishwashers use less water to clean dishes than hand-washing).

Style/Capacity: Dishwashers come in a number of different alignments and capacities. The right dishwasher for your kitchen will depend on the space you have available, the load needs for your household and the individual style of your kitchen.

24” Built-In – The most common installation, the 24” fits under a kitchen counter and has space for 10-16 place settings. Washers in this size have the widest range of features, options and prices.

Compact 18” Built-In – These smaller-capacity models are ideal for smaller kitchens or households with 1 to 2 occupants. The smaller capacity results in more efficient loads.

Portable – Portable dishwashers connect to the kitchen faucet, and can be stored out of the way when not in use. Available in both 18” and 24” configurations, they have the benefits of standard dishwashers with portable flexibility.

Two-Drawer Washers – Two-drawer setups allow for increased efficiency and flexibility. Each drawer can be operated separately, or they can be run simultaneously. The ability to run two different cycles at once allows for fle, while single-drawer usage allows for increased efficiency when washing smaller loads.

Energy efficiency: The overall efficiency of dishwashers has been greatly improved over the last decade. New dishwashers use less energy and water, saving you money in the long run. Models with the ENERGY STAR label exceed federal energy standards by 25% or more.

Stationary vs. adjustable racks: While most dishwashers have preset rack spaces, those with adjustable configurations allow provide greater flexibility when loading large or irregularly shaped dishes.

Delayed start: Many models allow you to set a delay on the load start time. By running the dishwasher during off-peak hours, you can take advantage of cheaper utility periods. Such units also allow you to maintain a quieter kitchen during the day.

Noise insulation: More insulation around the tub will reduce dishwasher noise, so check for units with thicker insulation.

Built-in food disposers: Many newer models feature food disposers that grind up food particles and flush them out with waste water, preventing food specks from being re-deposited on your dishes.

Cleaning Capabilities: Wash arms with smaller spray holes provide more scrubbing power. In addition, many dishwashers are equipped with multiple tiers and washer arms to better dislodge caked-on food.

Cycle types: in addition to regular wash cycles, many dishwashers allow specialty cycles designed to tackle specific dishes such as pots and pans, crystal, and fine china.

Finish and style: Dishwashers now come in a wide variety of materials, colors and finishes to better match your kitchen décor. Some unites come with fitted wood paneling to perfectly match your cabinetry, while others accommodate fully customizable front panels for an even more unique look.

Ranges and Ovens

Today’s range and oven combinations help can help everyone from the novice cook to the amateur chef create amazing meals in shorter times and with easier cleanup. When shopping for ranges and ovens, you should consider the size and design of your kitchen, the types of foods you most commonly cook, and the kinds of features that could make food preparation in your home easier.

Installation Type: Three basic styles of ranges are available. The range that best suits your kitchen will depend both on the kitchen design and the space/location available for the range unit itself.

Freestanding – Ranges with finished sides and a backsplash. Electric freestanding units typically have controls located on the backsplash, while gas models will have the controls located on the front.

Slide-in – These ranges have a built-in look with no backsplash, and controls located in front.

Drop-in – Drop-in models also blend seamlessly with the existing cabinetry, and may require custom cabinet modification for a tight fit.

Power Source: Aside from some exotic specialty models, most range and oven combo units fall into one of three power sources:

Natural Gas – Gas ranges provide a wide range of cooking power and precise cooktop heat controls.

Electricity – Electric ranges are energy efficient, and electric ovens are known for even, high quality cooking.

Dual-Fuel – These models feature a gas cooktop with electric oven. Such units require a higher initial investment, but combine the heating power of gas cooktops with the even cooking of electric ovens.

Cooking Surface: Both gas and electric range tops are available in a variety of cooking surfaces, including:

Coil – A common burner type in electric ranges that provides economical heat.
Ceramic-glass cook tops- Use radiant heat and are available in electric and some high-end gas ranges.

Open Burner – Common standard amongst gas ranges.

Sealed burner – An advanced gas range cooktop, sealed burners with upswept surfaces make cleaning easy.

Electric Range Features:

Energy efficient burners with selectable sizes.
Warming zones to keep food hot and fresh
“Hot surface” safety indicator lights
Gas Range Features:
Simmer and high-output burners
Pilotless ignition
Re-igniting burners
Dedicated griddle space

Ventilation options: Most ranges come equipped with standard overhead or “hood” ventilation, but some units utilize downdraft exhaust, eliminating the need for overhead ventilation equipment.

Oven Heating Type: New innovative heating systems have dramatically changed the cooking options available to consumers.

Conventional – Operating on either electricity or gas, conventional ovens feature one heating element for baking and roasting, and another for broiling.

Convection/European Convection – In addition to the standard bake and broil elements in the oven, a third heating element is located in the back of the oven near the fan.

Trivection – These ovens combine conventional, convection and microwave heating to create optimum cooking results in minimal time.

Oven Features: Some of the most popular oven features available today include
Self cleaning cycle.

Adjustable oven racks
Electronic controls and “auto-off” functionality.
Large display windows and strong interior lights
Warming drawers to keep food hot and fresh.
RefrigeratorsUsually the largest appliance in the kitchen, the refrigerator plays a central role in day to day cooking and kitchen use. Finding the right model for your household is a matter of evaluating space needs, style preferences and desired functionality.

Capacity/Size: Full-size refrigerators come in a wide variety of capacities. Large, family-sized units can feature upwards of 26 cubic feet of space. Two people generally need eight to ten cubic feet of fresh food storage. For each additional member of the household, add an extra foot to foot and a half of storage space

Configuration: Several different refrigerator designs are available, each of which offer their own advantages.

Top Mount -The freezer compartment is on top with the refrigerator located below. This is the most common design, and provides a spacious interior.

Bottom Mount - The freezer compartment is located underneath the refrigerator, often in a slide-out drawer. Commonly-used fridge items are easier to access without bending down. The refrigerator compartment may use either a single door or French door design.

Side by Side - The refrigerator and freezer compartments are adjacent. Both frozen and refrigerated foods are within easy reach, but the design may not accommodate larger items such as frozen pizzas or turkeys.

Compact Models - Scaled-down versions designed to fit into tight spaces or underneath counters. Though they have smaller capacities, they are ideal for dorm rooms, basements, offices or family rooms

Energy efficiency: Refrigerator units manufactured in the last few years are vastly more efficient than older models. Energy-efficient models help reduce utility bills. Models with electronic controls and digital displays make setting precise temperatures even easier, and many refrigerators feature advanced temperature regulation systems.

Adjustable shelves: The adjustability of shelving varies from model to model. Some allow you to move shelves up or down without being removed, while others provide the flexibility to adjust both the height and depth of any shelf.

Icemakers/ water dispensers: Icemakers have become a common feature, and the best are those that are integral to the door, leaving more space in the main freezer compartment for food. Many water dispensers also incorporate a water filtration unit.

Individual storage bins/crispers controls: Many fridges now allow you to customize the humidity and temperature settings for each storage and crisper bin, ideal for those who purchase a lot of fresh fruits and vegetables.

Reversible doors: Refrigerators with reversible doors allow customization for right-or-left handed access. These can also be useful for kitchens where the fridge area is tight against a wall or cabinet.

Style and finish: Ideally your refrigerator will be with you for many years, so it is important to pick a style that will match your kitchen design and compliment your changing tastes. Stainless-steel finishes are very popular, albeit slightly more expensive. Black, white, and bisque are the most common refrigerator colors, and trim kits are available that can make a freestanding unit appear more like a built-in model.

Microwave Ovens

If you use your microwave for more than just preheating or thawing, it might be time to upgrade your current model. Today’s latest versions come with a wide variety of settings and features that can let you cook entire meals in mere minutes.

Size: Microwaves now come in a variety of sizes and power levels. Choose a size that best fits both your counter/cabinet space and the sizes of cookware that you typically use in the microwave.

Compact - 18” wide x 12” high x 14” deep (less than .8 cubic feet capacity), 500-800 watts power;

Midsize - 20” wide x 12” high x 14”deep (.8 – 1.2 cubic feet capacity), 800-1000 watts power;

Large/full-size - are 20” wide x 12” high x 20” deep (.8 – 1.2 cubic feet capacity), over 1000 watts power

Built-in microwave spaces: Over-the range models are full size ovens designed to be placed above the stovetop, including a vent feature. These microwaves free up counter space and place the microwave at a convenient eye level. If your kitchen features a built-in microwave area for, make sure to accurately measure the space when comparing models, including some buffer room.

Convection: New combination microwave/convection ovens let you cook in either microwave only, convection only, or combination convection/microwave mode. The convection feature crisps and browns foods in ways that microwave cooking alone cannot.

Turntable: Turntables rotate food for more even cooking, and can be removed for easy cleanup.

Noise: If possible, test out the noise output of several models. Some powerful models can be fairly loud.

The article is taken from one of our recent Newsletters that was e-mailed to all registered subscribers, via our RE/MAX of New Jersey web site.

Visit my web site for real estate services and support: LawrenceYerkes.com [NJ/PA]

and visit Besthomes-NJ.com to find the latest New Jersey Real Estate property listings (Residential, Commercial, Multi-Family, Farm, Land, Investment).

Tuesday, November 10, 2009

Existing-Home Sales Surge in Many States in Third Quarter, Metro Prices Moderating

Most states continued to experience rising existing-home sales in the third quarter, with prices moderating in many metro areas, according to the latest survey by the National Association of Realtors®(NAR).

Total state existing-home sales, including single-family and condo, increased 11.4 percent to a seasonally adjusted annual rate1 of 5.30 million units in the third quarter from 4.76 million units in the second quarter, and are now 5.9 percent above the 5.01 million-unit pace in the third quarter of 2008.

Sales increased from the second quarter in 45 states and the District of Columbia; 28 states and D.C. saw double-digit gains. Year-over-year sales were higher in 32 states and D.C.

Lawrence Yun, NAR chief economist, said the tax credit is a significant factor. “We can’t underestimate just how powerful a catalyst the first-time home buyer tax credit has been for the housing sector,” he said. “It’s given buyers the confidence they needed to get off the fence and take advantage of extremely affordable housing conditions. The buying conditions this year are the most favorable on record dating back to 1970, but the tax credit is allowing buyers to set aside any reservations about waiting for a better deal.”

During the third quarter, 123 out of 153 metropolitan statistical areas2 reported lower median existing single-family home prices in comparison with the third quarter of 2008, while 30 areas had price gains.

The national median existing single-family price was $177,900, which is 11.2 percent below the third quarter of 2008; the median is where half sold for more and half sold for less. Distressed sales – foreclosures and short sales – accounted for 30 percent of transactions in the third quarter, which continued to weigh down median home prices because they sell at a discount relative to traditional homes.

“The decline in the national median price has moderated recently, and a shrinking supply of unsold inventory suggests we are getting closer to price stabilization in many areas, but we need a steady stream of financially qualified buyers to further reduce inventory and get us to a self-sustaining market,” Yun said. “Foreclosures will continue to come on the market, but rising sales from the expanded tax credit should stabilize home prices by next spring and help to stem future foreclosures.”

According to Freddie Mac, the national average commitment rate on a 30-year conventional fixed-rate mortgage rose to 5.16 percent in the third quarter from a record low 5.03 percent in the second quarter, but was dramatically lower than the 6.32 percent average rate in the third quarter of 2008.

The biggest sales gain between the second and third quarters was in North Dakota, up 42.3 percent; followed by Rhode Island which rose 26.5 percent; and Pennsylvania, up 25.6 percent.

The largest single-family home price increase in the third quarter was in the Cumberland area of Maryland and West Virginia at $122,100, up 19.2 percent from the third quarter of 2008. Next was the Davenport-Moline-Rock Island area of Iowa and Illinois, where the median price increased 14.3 percent to $115,600, followed by Oklahoma City, at $144,100, up 9.1 percent from a year ago.

“The wide range of market performance and reversals around the country, ranging from double-digit gains to double-digit losses in both sales and prices, underscores just how local real estate truly is,” Yun said. “The wide changes and mix of numbers also indicates a market in transition, hopefully to one that is becoming more balanced and stable.”

Median third-quarter metro area single-family home prices ranged from a very affordable $61,400 in the Saginaw-Saginaw Township North area of Michigan to $566,000 in the San Jose-Sunnyvale-Santa Clara area of California. The second most expensive area in the third quarter was San Francisco-Oakland-Fremont at $538,100; followed by the Anaheim-Santa Ana-Irvine area of California at $498,800.

Other affordable markets include the Youngstown-Warren-Boardman area of Ohio and Pennsylvania at $70,700, and Lansing-East Lansing, Mich., at $86,600.

In the condo sector, metro area condominium and cooperative prices – covering changes in 55 metro areas – showed the national median existing-condo price was $178,000 in the third quarter, down 15.4 percent from the third quarter of 2008. Four metros showed annual increases in the median condo price and 51 areas had declines.

The metros experiencing condo price gains were San Diego-Carlsbad-San Marcos, at $215,100, up 13.3 percent; followed by the Cincinnati-Middletown area, up 2.0 percent to $119,700; the Toledo, Ohio, area, where the median price of $130,400 rose 1.7 percent from the third quarter of 2008; and the Indianapolis area at $114,400, up 0.8 percent.

Metro area median existing-condo prices in the third quarter ranged from $67,600 in Las Vegas-Paradise, Nev., to $432,800 in San Francisco-Oakland-Fremont. The second most expensive reported condo market was New York-Wayne-White Plains at $297,500, followed by Boston-Cambridge-Quincy at $293,700.

Other affordable condo markets include Reno-Sparks, Nev., at $81,300 in the third quarter, and Jacksonville, Fla., at $91,600.

Regionally, existing-home sales in the Northeast surged 16.7 percent in the third quarter to a pace of 930,000 units and are 6.9 percent higher than a year ago.

The median existing single-family home price in the Northeast declined 9.4 percent to $244,500 in the third quarter from the same quarter in 2008. The best price gain in the region was in Buffalo-Niagara Falls, N.Y., where the median price of $119,700 rose 4.8 percent from the third quarter of 2008; followed by Manchester-Nashua, N.H., at $237,600, up 2.6 percent; and the Pittsburgh area, where the median price rose 1.5 percent to $124,600.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.

# # #

NOTE: Data tables for both metro area home prices and state existing-home sales are posted at:www.realtor.org/research/research/metroprice. For areas not covered in the tables, please contact the local association of Realtors®.

Monday, November 02, 2009

Pending Home Sales Rise for Record Eight Straight Months

Pending home sales rose again, marking eight consecutive monthly gains – the longest streak since measurement began in 2001, according to the National Association of Realtors®(NAR).

The Pending Home Sales Index,* a forward-looking indicator based on contracts signed in September, rose 6.1 percent to 110.1 from a reading of 103.8 in August, and is 21.2 percent higher than September 2008 when it stood at 90.9. The gain from a year ago is the largest annual increase on record, and the index is at the highest level since December 2006 when it was 112.8.

Lawrence Yun, NAR chief economist, said the momentum is understandable. “What we’re witnessing is a rush of first-time buyers trying to beat the expiration of the tax credit at the end of this month,” he said. “Home values will stabilize sooner rather than over-correcting. That, in turn, will mean wealth stabilization for the vast number of middle-class families and lay the foundation for a durable economic recovery.”

NAR estimates approximately 3 million renters are now financially well-qualified to buy a median-priced home. “As long as buyers do not overstretch and stay well within their budget, a sizable pent-up demand can be tapped among financially qualified potential buyers,” Yun said. “Although the tax credit is greatly reviving the existing home market, new-home sales may continue to struggle as home builders hold back production to drive down inventory. In addition, there remains an ongoing credit crunch for construction loans.”

The Pending Home Sales Index in the Northeast slipped 2.0 percent to 83.6 in September but remains 16.9 percent above September 2008. In the Midwest the index rose 8.1 percent to 98.2 in September and is 17.8 percent higher than a year ago. In the South, pending home sales increased 4.9 percent to an index of 109.7 and is 22.8 percent above September 2008. In the West the index jumped 10.2 percent to 143.8 and is 23.7 percent above a year ago.

Yun added that strong near-term reports should not be overstated. “We’re clearly not out of the woods because an excess of homes remains on the market despite recent improvements,” he said. “Although current inventory is getting closer to price equilibrium, foreclosures will continue to enter the pipeline. An extended and expanded tax credit would help absorb this incoming inventory.”

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.

# # #

*The Pending Home Sales Index is a leading indicator for the housing sector, based on pending sales of existing homes. A sale is listed as pending when the contract has been signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing.

The index is based on a large national sample, typically representing about 20 percent of transactions for existing-home sales. In developing the model for the index, it was demonstrated that the level of monthly sales-contract activity from 2001 through 2004 parallels the level of closed existing-home sales in the following two months. There is a closer relationship between annual index changes (from the same month a year earlier) and year-ago changes in sales performance than with month-to-month comparisons.

An index of 100 is equal to the average level of contract activity during 2001, which was the first year to be examined as well as the first of five consecutive record years for existing-home sales.
A forecast for housing and the economy will be released November 13 at 11 a.m. PST at the 2009 REALTORS® Conference & Expo in San Diego. Existing-home sales for October will be reported November 23 and the next Pending Home Sales Index will be on December 1; release times are 10 a.m. EST.

Information about NAR is available at www.realtor.org. This and other news releases are posted in the News Media section. Statistical data, tables and surveys also may be found by clicking on Research.

Sunday, November 01, 2009

Real Estate Cyber Tips - November 2009

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TRICK#1

SHARE YOUR FILES WITH EASE!
Sure, it’s happened to you -- you need to get a large file or a bunch of photos to a friend, associate or Grandpa. But your email provider bounced the message with the files attached because the big files exceed its protocols. And you’ve tried some of the services that let you send big files but it's often a big hassle. This neat service lets you set up a folder on your desktop at home plus folders on any other computers you use –or even on your iPhone. Getting files from one computer (or phone) to the other is as simple as dragging a file between folders on your computer. You can also get access to all of your files when you are on the road (even without your computer) from your on-line folder set up with this service. And Grandpa can see your photos instantly!What's really neat is that this great service has lots of additional bells and whistles --- and it’s yours to use without cost!
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TRICK#2

NEVER FORGET ANOTHER BIRTHDAY!
Oh, the pain of it! You just forgot a birthday or other special event that is very important to someone close to you! With this valuable service that should never happen again. You’ll receive an e-mail reminder well before any special event you choose. There is no limit to the number of events you can choose and no charge for the reminder service. Of course you will also have access to a wide range of greeting cards and other services at a modest cost!With 52 million members they must be doing something right!
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GREAT PLACES!

GREAT PLACE #1

FIND THE TICKETS YOU WANT!
Do you have a "must see" event coming to town – a great play—the sporting event of the century – a "can't miss" concert? Then you need to stop by this ticket/event search engine!The numbers change from day to day, but generally at any one time you can search in the range of 11 million tickets to over 30,000 separate events. Once you find the tickets of your dreams you can chose you seats and purchase the tickets directly from the ticketing site.These folks take away the time and grief of traipsing all over the web by centralizing your search to this one great place.
Click Here for This Great Place

GREAT PLACE #2

PBS VIDEO AT YOUR FINGERTIPS!
If you are a fan of the Public Broadcasting System (PBS) (or want to be) then this is a very worthwhile place to visit. Frontline -- Masterpiece Theater –Nova -- American Masters -- this great place has full length videos at your fingertips – on demand! You can watch your favorite shows and catch any episodes you may have missed -- all on your schedule. You can also send your favorites to friends and post them to social networks.And best of all it’s all on the house!
Click Here for This Great Place

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