Rise in February Pending Home Sales

According to the National Association of REALTORS®, pending home sales increased in February with notable regional variations.

The numbers are based off of the Pending Home Sales Index, a forward-looking indicator.

February hit 90.8 percent, up from 88.9 in January.

Although this month-to-month trend is promising, NAR Chief Economist Lawrence Yun said that it is more important to look at the broader trend for housing recovery.

“Month-to-month movements can be instructive, but in this uneven recovery it’s important to look at the longer term performance. Pending home sales have trended up very nicely since bottoming out last June, even with periodic monthly declines.”

- Lawrence Yun, NAR Chief Economist

Yun also said we may not see notable gains in existing home sales in the near-term. However, numbers are expected to rise 5 to 10 percent this year with the economic recovery, job creation, and excellent affordability rasing buyer confidence.

Interested in buying or selling your home? Contact us today for more information!

Source: REALTOR® Magazine | Full Story

Rent Vs. Own Rate to Flip in 2011?

Experts predict the ratio of renters to homeowners in major U.S. cities will take a major turn during 2011, putting the two categories on more equal footing.

As a result of a somewhat dismal housing market in recent years, rentals across major U.S. cities have surged while the number of homeowners have dwindled. However, with home prices expected to fall by anywhere from 15 to 30 percent this year, experts predict buying will become superior to renting sometime in 2011.

This, coupled with expectations of rising rental rates this year, could spell a positive 2011 for the hosuing market.

A complete list of price to rent ratios in major U.S. cities can be found by clicking the “Full Article” link below. For more information on the differences between renting and buying a home, contact us today!

Source: CNN Money | Full Article

This Month in Real Estate Video – December 2010

December’s “This Month in Real Estate” video has been released. This month’s edition focuses on the recent drop in For Sale By Owner listings across the nation and the National Association of Realtor’s explanation of why this may be the case. Access the video by clicking on the “Play” button below.

 

For more information on the state of the real estate market, contact us today!

Capitalizing on Lower Interest Rates

Although much of the year has seen record-low mortage interest rates, recent increases could have a profound impact on potential homebuyers.

According to a recent REALTOR® Magazine report, the average rate for a 30-year fixed mortgage increased from 4.46 percent to 4.61 percent last week.

Many industry experts believe that homebuyers will begin purchasing more rapidly as interest rates increase in order to avoid higher payments in the future.

For more information on buying or selling a home, contact us today!

Source: REALTOR® Magazine | Full Article

Thinking of Remodeling? You May Want to Think Again

A recent CNN Money article reveals only 60% of remodeling costs in 2010 will be recouped by homeowners, a number down from its 2009 counterpart.

With the return on investment being lower this year, it is more important than ever that sellers put their money into the right place if they do decide to remodel. NAR Chief Economist Lawrence Yun suggests sellers focus their efforts on their home’s exterior.

“In today’s buyers market, given the large inventory, where people have so much selection, it’s important to have the exterior catch the eye so they’re willing to step inside.”

~ Lawrence Yun

 The article also outlines several steps homeowners can take to spruce up their homes in a cost-effective manner. See the link below for full details. For more information on buying or selling your home, please contact us!

Source: CNN Money | Full Article