Wednesday, July 23, 2008

Housing stimulus package update

There is a housing stimulus package circulating through Congress now. Here is a general overview of the bill. First, there is a tax credit proposal that should lead one million more families to purchase a home. This will decrease the number of foreclosures and the surplus of inventory on the market. Second, more FHA products are being proposed, especially aimed toward helping first-time homebuyers. It will eliminate the higher down payment that is required if a home is located in a "declining market."

Sunday, July 20, 2008

bad market?

I have great news!

I'm in the top 10% of individual agents in my office for the second quarter of 2008!

Even better yet, I am one of 5 agents out of about 85 who is having a better first half of 2008 than 2007!

I was really excited to see that. :-)

Thursday, July 17, 2008

Housing market update from NAR's chief economist

The chief economist of the National Association of Realtors, Lawrence Yun believes that in many places, the housing market will turn around by the end of this year. He blames the current problems on subprime loans. "It had gotten to the point where anybody who showed up at the door got a loan," he says. Fifty-three percent of foreclosed homes are those acquired by subprime loans. The markets with the highest percentage of subprime loans saw the greatest price inflation, then the greatest depreciation.

Yun predicts that sales will pick up in the second half of 2008 because:
  • Improving affordability
  • FHA to become prevalent at low rates
  • Jumbo loans improving
  • Revisiting the "declining market" policy
  • Economy expected to improve
  • Permanently higher GSE and FHA loan limits are possible
  • Possible enactment of a homebuyer tax credit

He says that the home sales activity has stabilized, however it is now at the same level as in 1998. This current level is unsustainable because the population has increased by 25 million, 13 million new jobs have been created, and the market has higher home prices, but lower interest rates. The vast middle America is under priced based on the fundamentals of income and mortgage rates. Within 5 years 99% of the population will see higher values than they do today.

Wednesday, July 9, 2008

Realtor Care Day 2008




About 500 Realtors volunteered their time on 24 different community service projects throughout central Ohio. They received $23,000 in financial contributions and an additional $24,000 in donated labor and materials to make a difference! The Northwest Area Realty Association cleaned up 2745 Camden Road. Look at these before and after photos!