Click on link for up to date market information!

Gail Wentzlaff — Tue, 24 Jun 2008 17:34:00 GMT

http://www.realtor.org/research/reinsights/forecast

The market is showing signs of recovery! Read this article from National Realtors Association!

Take time to read this!

Gail Wentzlaff — Wed, 12 Mar 2008 15:56:00 GMT

I found this article on MSN. Good information!

http://articles.moneycentral.msn.com/Banking/HomeFinancing/ForeclosureCrisisIsOverblown.aspx

Home Equtiy Article

Gail Wentzlaff — Mon, 25 Feb 2008 19:12:00 GMT

Here is another article that might be useful to some you! (It is to me!) http://articles.moneycentral.msn.com/Banking/HomeFinancing/LendersCutOffTheHomeEquityTap.aspx?GT1=10924

Market Conditions

Gail Wentzlaff — Fri, 22 Feb 2008 17:02:00 GMT

Check out this link to Realtor.org for an article about Market conditions by Lawrence Yun, NAR Chief Economist

http://www.realtor.org/reinsights.nsf/pages/forecast?opendocument

Check out this commentary from the National Assocation of Realtors!

Gail Wentzlaff — Wed, 20 Feb 2008 15:58:00 GMT

Economist's Commentary: February 14, 2008

The Forecast: the Housing Market This Year
By Lawrence Yun, NAR Chief Economist

Though the national headlines have been pounding out the news of a housing market meltdown, implosion, and collapse, all markets are not equal. In NAR’s latest metro price survey, roughly half of the country experienced a price increase. Upstate New York is one example. While folks in the area have been kicking through the snow, home prices in the final quarter of 2007 rose 9% in Buffalo, 8% in Rochester, and a whopping 15% in Binghamton. The Texas market has been also doing its two-step dance with Corpus Christi, Austin, and San Antonio experiencing price gains of 6%, 6%, 8%, respectively. Not to be outdone, Amarillo home prices soared 11% higher.

And yes, there were some areas that weren't dancing. Price declines are occurring no doubt, and quite notably in some coastal states and in markets with a high prevalence of subprime loans. Prices fell 13% in Cape Coral, 14% in Detroit, and 19% in Sacramento.

What the data clearly illuminate is that there are significant variations across markets. As real estate practitioners know very well, there are further measurable differences across neighborhoods within a metro market. No doubt, there are some people under great financial stress. Subprime products that should never have entered the marketplace have wreaked havoc on many communities around the country. Homeowners unable to meet payments are losing their homes and falling home values have cut the equity of those homeowners who make their mortgage payments on time. Investors taking a walk may not feel the same financial squeeze but they are getting hit on credit scores — that is, many investors using low documentation loans bought multiple properties and are now simply walking away from those properties in declining markets. The calculus was simple — heads I win and tails I don’t lose. Prices rise, get the profit. Prices decline, then walk away — and let the lenders take the loss.

But as I said, all markets are not equal. Many markets have solid fundamentals of very affordable home prices, solid job and wage gains, and limited new home construction to keep inventory in check. Madison, Kansas City, and Oklahoma City are just a few examples. These market have virtually no chance of prolonged significant price declines. Yet the constant message we hear of a major housing crisis in the media — perhaps the worst since the Great Depression — is raising fear among consumers.

As I travel around the country speaking with many REALTORS, I hear their side of the state of housing. Now, anecdotal information always should be read with caution. However, what does it mean when several REALTORS in Columbus, Ohio say they have never seen such an upturn in foot traffic in open houses after the New Year? One of them said he had over 30 visitors in January, when just a few months earlier had about only one or two onlookers. A similar buzz was evidence during my recent visits to Maryland, Virginia, and Arizona. What was lacking from the buzz was the actual eagerness to sign contracts. Buyers were looking — but unwilling to commit. In other words, the weakened confidence is evidently holding back buyers.

All markets are unequal in other ways. Consider a Microsoft engineer in Seattle with a great salary and a top-notch credit score. A good-sized home in an upper-middle class neighborhood is priced at about $800,000. A jumbo loan is required. But a jumbo loan in the current environment is very expensive. Fortunately relief is on the way. Congress and the White House have realized the unequal treatment of loans to some consumers and have now decided to raise the loan limits on FHA and GSE loans (albeit temporarily). As a result, by late spring, home sales on higher-priced homes will pick up.

As for the economy, it will be close but we will skirt recession. Job gains of around one million can be expected for all of 2008, though that would be down from the 2 million annual average gains over the past two years. Affordability will improve as well — NAR's housing affordability index is expected to rise from 113 in 2007 to 129 in 2008. Job gains and rising affordability conditions are the right combination to induce buyers into the marketplace.

The current market cycle is unique because of significant local market variations. It is also unique because of the buyer psychology factors — in spite of pent-up demand and improving affordability conditions. Our forecast is, therefore, more uncertain. Having said that, home sales in the second half of 2008 will be notably higher than in the first half of the year.

Finally, let me paraphrase Warren Buffet’s investment philosophy: when everyone is greedy, be scared and when everyone is scared, be brave. Now, I am not an investment counselor and I do not encourage people to buy simply based on this logic. Rather, if people have the financial capacity and are looking for a home for the long haul, the fear factor should be put aside. Current situations in many local markets present a golden opportunity in attaining the American Dream with historically low interest rates.

Top Ten: Information Provided on Realtor® Websites

Own property listings
Home buying & selling information
Mortgage calculators
Link to firm's Web site
Community info
School reports
Virtual tours
Links to local government sites
Current mortgage rates
Home valuation tools

Source: NAR 2007 Member Profile

For more Top Ten lists, click here >

Did You Know?

One-quarter of first-time buyers are single females who purchased their first home on a median income of $44,500.
Source: 2007 NAR Profile of Home Buyers and Sellers.

Member Savings

2007 NAR Profile of Buyer's Home Feature Preferences

Learn what today's home buyers look for in a home.

THE SKY IS NOT FALLING!

Gail Wentzlaff — Thu, 18 Oct 2007 18:55:00 GMT