The Sold-to-List Price Ratio, one of the leading market indicators for predicting home prices, is helping analysts predict home prices in markets with varying economic condition, shortages of available housing inventory and its impact on home prices. Pro Teck Valuation Services’ May Home Value Forecast (HVF) Update analyzes the Honolulu, Tucson, San Francisco, and Chicago metro areas to determine how the indicator has been useful from a historical perspective and in current market conditions.
The supply of foreclosed homes and REOs has been shrinking by 20 percent or more for the past few years and now a noted columnist covering mortgages reports foreclosures have probably already peaked and now are in decline.
A new analysis of institutional investor purchases in Atlanta over the past year found that hedge funds are driving up prices and depleting inventories, yet they are still able to buy properties for less than the market rate.
The number of homes for sale in April inched 1.6 percent higher than in March, the first month-over-month inventory increase since June 2010, according to the April RE/MAX National Housing Report.
In the several California markets that have seen soaring prices and historically low inventory levels during this spring buying season, a flood of new listings drove inventories up. The increasing inventories are helping to moderate price increases in the hot markets. In Sacramento, for example, list prices actually declined on a monthly basis.
Home prices are rising at double digit rates. Inventories are at historic lows. Two out of five applicants for a purchase mortgage are rejected. Yet nearly three quarters of Americans say it’s a good time to buy a home.
More than 100 forecasters in a national survey said they expect the home values to reach an average of 5.4 percent year-over-year and that current Federal Reserve policies post some risk of re-inflating the housing bubble.
No matter what neighborhood you reside in, Boston is an expensive city. With so many awesome things to offer, it makes sense that this city is one of the most expensive in the country to live in. Median rent in Boston in 2012 was $1,881 according to a Boston.com article. Finding affordable housing in Boston can be tough, but it’s far from impossible.
The number of homes listed for sale today is lower than it’s been in a decade. Home buyers are scouring Web sites for property listings and when they find a home they like, they often find themselves in an expensive, stressful bidding war. What they don’t know is that they’re not seeing as many as 15 to 20 percent of the homes for sale in their markets.
Perhaps the greatest advantage of a short sale to beleaguered homeowner facing default and foreclosure is the opportunity to move on with life and put the bad debt behind them as quickly as possible. That advantage is shrinking as short sales take longer to sell than foreclosures.
Obama’s budget could provide tax relief to investors from overseas who want to invest in American real estate. Obama has long discussed the need for investment in infrastructure from both the public and private sector, and he believes that inflows from overseas could bring in some of the capital he would like to see.
While reverse mortgages have helped thousands of homeowners, changes are in store as the result of losses suffered by the Federal Housing Administration, which guarantees most reverse mortgages. As a result, reverse mortgages are going to be less generous in years to come. FHA recently announced major changes to the popular loan program.
How real estate has changed in just a few months! For six years, real estate professionals have struggled to get buyers back into the market with advertising campaigns, incentives, and the willingness to suffer social abuse for proclaiming the housing depression to be a great time to buy a home.
Last month the New Republic published a provocative article on hedge funds and real estate investing (Your New Landlord Works on Wall Street) by former TV producer David Dayen. He said out loud what many people have been whispering.