November 01, 2011 / Avondale, Featured Properties, Murray Hill, Ortega, Real Estate News, Riverside, San Marco / Author: beth / Comments: (0)
With the price of real estate falling 31% and interest rates at 4% or better, waiting to buy real estate is a “no brainer”. Although prices may fall still, it is predicted to be a insignificant drop and may be off set by a rise in interest rates. So, why are buyers waiting?
If you are interested in investing in Jacksonville real estate, Traiditons Realty can help. We have quailified sales people with real world knowledge of Jacksonville’s neighborhoods. If you are looking to gain more profit through investing in real estate or ready to buy your own happy home, we offer valuable experience to help in the quickly changing markets of today’s economy. Read more below.
Bargains abound: What are buyers waiting for?
NEW YORK – Oct. 28, 2011 – With low home prices and ultra-low interest rates, the housing market now offers “perhaps the best deals of a generation,” notes a recent article by Bloomberg Businessweek.
Since the housing boom of 2006, home prices have fallen about 31 percent. Also, mortgage rates have been hovering at record lows for the past few weeks – in the 4 percent range or even lower on 30-year fixed-rate mortgages, according to Freddie Mac’s mortgage market survey.
“It’s hard to see the possibility of losing on a home purchase right now, with these mortgage rates,” says economist Dean Baker. “Prices may go lower, but not by much.”
The article notes the following scenario: Buying a $300,000 home with a 4 percent mortgage rate and a 20 percent down payment would mean a $1,145 monthly payment. The Mortgage Bankers Association recently predicted that home prices may fall another 3.5 percent by mid-2012, but mortgage rates will increase by a half-point. Under that same loan scenario, a home would sell for $289,000 while the monthly mortgage bill would be $1,171 – only a $26 difference.
For those who can qualify for a mortgage, “playing the waiting game” won’t result in much gain, Nariman Behravesh, chief economist at IHS in Englewood, Colo., told Bloomberg Businessweek.
Source: “Crazy Home Deals Await the Creditworthy,” Bloomberg Businessweek (Oct. 24, 2011)
© Copyright 2011 INFORMATION, INC. Bethesda, MD (301) 215-4688
November 01, 2011 / Avondale, Featured Properties, Murray Hill, Ortega, Real Estate News, Riverside, San Marco / Author: beth / Comments: (0)
The high rate of homes going into foreclosure has been in the news for years, but now mortgage lenders are taking action. They are making short sales of homes easier to complete, because short sales may be more financially advantageous than foreclosures for all involved . Homeowners looking to sell and those in the market for Jacksonville real estate should be aware of the implications of this development. Short sales in Jacksonville are now easier to come by and can benefit buyers and sellers. A short sale happens when a lender allows a homeowner to sell a house for less than what the homeowner still owes on it. A seller who opts for a short sale over foreclosure may have to wait less time before buying another house and may avoid legal consequences or complications as well as further credit damage arising from foreclosure. For buyers, a short sale means a better chance of buying a desired house that may not have been an option otherwise. It also may mean buying the house at below market value.
If you are looking to buy or sell Jacksonville real estate, Traditions Realty has the capabilities and knowledge to manage all of your needs. We have realtors that are certified short sales specialists and can help you to avoid foreclosure. Traditions also handles all aspects of homes for rent in Jacksonville. If your involvement as a buyer or seller in a short sale leaves you scrambling for a temporary home or tenant, our agents are here to help. Read more below.
CHICAGO – Oct. 21, 2011 – Are short sales getting easier? Some homeowners are reporting that banks are now not only more willing to consider a short sale, but are even offering incentives to complete a short sale. For example, a homeowner in Chicago says his lender approved his short sale and then gave him a $20,000 check after the deal was finalized for selling the home as a short sale instead of letting it sink into foreclosure.
Lenders accepting a lower mortgage payoff from an underwater seller traditionally isn’t thought of an easy transaction to complete. Lenders weren’t so willing a few years ago. But as the number of Americans underwater on their mortgages grow, more lenders are reconsidering as they try to avoid the extra costs incurred to their bottom-lines that a foreclosure can cause.
For 2011, short sales accounted for about 8 percent of total home sales, and rose 7 percent over 2010 totals, according to CoreLogic data. Short sales are up by 59 percent year-over-year in Illinois, 32 percent in Michigan, and 19 percent in Arizona alone, according to CoreLogic.
“We’re starting to see that servicers and lenders are viewing short sales as a better alternative than they had in the past,” says Daren Blomquist, spokesman for RealtyTrac. “Some of that relates to the fact that it’s getting harder to foreclose. There are additional requirements in terms of paperwork and requirements that states and judges are imposing.”
Short sales can still be complex and lengthy – they can take up to nine months to close and even after that, there’s no guarantee it’ll end successfully. “In general, it is a totally different type of transaction,” says Mike Cuevas, a real estate professional at Exit Realty in Chicago. “You’re not only selling a house, you’re negotiating debt.”
Source: “Why it can Pay to try a Short Sale; Lenders may be Viewing Short Sales as a Better Alternative,” MarketWatch (Oct. 20, 2011)
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September 21, 2011 / Avondale, Featured Properties, Murray Hill, Ortega, Real Estate News, Riverside, San Marco, Uncategorized / Author: beth / Comments: (0)
VA loans, always a god deal for veterans, got another boost due to the Restoring GI Bill Fairness Act of 2011 with the lowering of funding fees. Although Reservist/National guard members are not receiving as much of a decease, they will seeing a downward change in the fees for their VA loans also. With NAS Jax, Mayport, Kingsbay and all the other military facilities around town, Jacksonville houses a large number of VA qualified home buyers. Traditions Realty LLC can help military personnel find the home of their dreams. Let us help you find a home with a good location and all the amenities you desire. With a VA loan and a buyer’s market, you may find affording the home of your dreams is not as difficult as you think. Read more below.
The Department of Veterans Affairs has announced lower VA loan funding fees for active duty, Guard and Reserve veterans effective October 1, 2011.
According to a VA circular posted at VA.gov, “For loans closed on or after October 1, 2011, the fee for subsequent use loans with less than 5 percent downpayment and subsequent use regular refinance loans will be 2.8 percent for both active duty Servicemembers, Veterans, and persons qualifying based solely on service in the Reserves or National Guard.”
The changes in the VA loan funding fee are prompted by legislation. According to the VA, “This change is due to passage of Public Law 112-26, Restoring GI Bill Fairness Act of 2011.” Additionally, “Funding fees for loans other than subsequent use will also change for loans closed on or after October 1, 2011. These fee changes were already set to change based on previous legislation.”
Here is a list of the changes to the VA loan funding fees. In some cases the active duty, Guard and Reserve fees are the same, and in other cases active duty members pay a lower VA loan funding fee than their Guard/Reserve counterparts. Some changes go into effect on October 1, 2011 and are not scheduled (at the time of this writing) to change again, while others will be lowered even more in coming years as described here.
VA Loan Funding Fees:
Down payment less than 5 percent:
October 1, 2004 until October 1, 2011
Active Duty – 2.15%
Guard/Reserve – 2.40%
On or after October 1, 2011 changed to:
Active Duty – 1.40%
Guard/Reserve – 1.65%
At least 5 percent but less than 10 percent down payment:
- Before October 1, 2011
Active Duty – 1.50%
Guard/Reserve – 1.75%
On or after October 1, 2011 changed to:
Active Duty – 0.75%
Guard/Reserve – 1.00%
10 percent or more down payment:
Before October 1, 2011
Active Duty – 1.25%
Guard/Reserve 1.50%
On or after October 1, 2011 changed to:
Active Duty – .50%
Guard.Reserve .75%
Second or subsequent use VA loan funding fees are the same for both active, Guard and Reserve as follows:
Less than 5 percent down payment:
- October 1, 2007 until October 1, 2011
3.30%
- October 1, 2011 until October 1, 2012
2.80%
- October 1, 2012 until October 1, 2013
2.15%
- On or after October 1, 2013 changed to:
1.25%
At least 5 percent but less than 10 percent down payment
- Before October 1, 2011
Active Duty – 1.50%
Guard/Reserve – 1.75%
On or after October 1, 2011 changed to:
Active Duty – 0.75%
Guard/Reserve – 1.00%
10 percent or more down payment
- Before October 1, 2011
Active Duty – 1.25%
Guard/Reserve – 1.50%
– On or after October 1, 2011 changed to:
Active Duty – 0.50%
Guard/Reserve – 0.75%
September 15,2011 Joe Wallace
September 01, 2011 / Avondale, Featured Properties, Murray Hill, Open Houses, Ortega, Press Releases, Real Estate News, Riverside, San Marco / Author: beth / Comments: (0)
Despite signs of a national economy that is not quite in the clear, Jacksonville’s rental housing market is going strong. Nationally, the rental vacancy rate has declined in the second half of this year. A lack of confidence in the housing market is causing those looking for homes to consider rental housing instead of buying homes. Whether you are currently a Jacksonville real estate owner or are looking to buy real estate in Jacksonville, Traditions Realty can help you to take advantage of this situation.
Traditions is your source for both homes for sale and homes for rent in Jacksonville. Interest rates are currently low, and it is a great time to buy a home.
If you are in the market, we will work with you to find your dream home. We can also help list your home for rent or find the rental housing property that is just right for you. Read more below.
Fannie: Dark clouds loom but no recession
WASHINGTON – Aug. 23, 2011 – The economy was hit by a barrage of disappointing news during the last month, which led to a downgrade in the overall macro economic forecast released today by Fannie Mae’s Economics & Mortgage Market Analysis Group.
While the August 2011 Economic Outlook does not forecast a double dip recession, it finds that the chance of a double-dip recession is roughly equivalent to a coin toss. For all of 2011, economic growth is expected to downshift to 1.4 percent from 3.1 percent in 2010. Growth is expected to pick up in 2012, but only to about 2.0 percent, compared to the 3.1 percent projected in the July forecast.
“Key factors … have revealed that we have a bigger hole to dig out of, which explains the consumer angst over the lack of employment growth,” says Fannie Mae Chief Economist Doug Duncan. “Moreover, European financial market and fiscal policy turmoil, coupled with the U.S. debt ceiling debate, have hit on consumer confidence, which is at recessionary levels.”
Duncan says Americans are clearly worried about global, big-picture concerns.
“Housing has moved into second position behind general economic concerns among consumers, which is demonstrated in our National Housing Survey results,” Duncan says. “Our July data shows that 70 percent of Americans think the economy is on the wrong track, up from 60 percent a year ago. In turn, despite historically low interest rates, consumers are still saying they don’t see this as a good time to go out and borrow money to buy a house.”
Housing activity is expected to weaken along with the overall economy due to a renewed decline in business and consumer confidence, and a weaker jobs forecast.
One exception is the rental housing market. The rental vacancy rate (the share of rental housing that is vacant and for rent) plunged from 9.7 percent to 9.2 percent in the second quarter of 2011, and is now at its lowest rate in nine years. A lower rate of homeownership suggests that a rising share of households have gone from owning to renting.
© 2011 Florida Realtors®
August 11, 2011 / Avondale, Featured Properties, Murray Hill, Ortega, Real Estate News, Riverside, San Marco / Author: beth / Comments: (0)
The Jacksonville real estate market is gearing up for some major changes, and smart real estate buyers are taking advantage of the situation. Much of the rest of the country is already experiencing a rising House Price Index, which is showing a month-to-month increase for the first time in more than a year. You can get in on lower property prices right now. Traditions Realty will help you to buy Jacksonville real estate before the Florida House Price Index follows the current trend.
A rise in the Florida House Price Index will be opportune for those who already own Jacksonville real estate and plan to sell. In the meantime, Traditions handles homes for rent in Jacksonville and can help you to get the most out of your investment. Whatever your current situation, it does not pay to sit around and wait – act now! Read more below
FHFA House Price Index rises 0.8% in April
WASHINGTON – June 22, 2011 – House prices rose 0.8 percent on a seasonally adjusted basis from March to April, according to the Federal Housing Finance Agency’s (FHFA) monthly House Price Index. It was the first month-to-month price increase since May 2010.
The previously reported 0.3 percent decrease in March was revised to a 0.4 percent decrease. For the 12 months ending in April, U.S. prices fell 5.7 percent, and the U.S. index is 19.3 percent below its April 2007 peak and roughly the same as the January 2004 index level.
The FHFA monthly index is calculated by using the purchase price of houses sold to or guaranteed by Fannie Mae or Freddie Mac.
For the nine Census Divisions tracked during the March-April period, seasonally adjusted monthly price changes ranged from -1.3 percent in the Mountain Division to +2.2 percent in the New England Division.
Florida, which is in the South Atlantic division, was one of only three to show a price drop with -0.2 percent.
© 2011 Florida Realtors®
August 11, 2011 / Avondale, Featured Properties, Murray Hill, Ortega, Real Estate News, Riverside, San Marco / Author: beth / Comments: (0)
Are we too close to the issues of today’s economy? Are local investors missing the big picture? While the news at home is focused on the debt ceiling and the economy, international investors are pouring money into Florida real estate. The goal -acquiring prime properties at discount prices. The payoff-if you’re buying at half the price of the bubble, you have the potential to go up 60 to 70 percent in the next five years. While those of us living through it are fondly reminiscing on “the good ole days”, others still view the United States as the safest country to invest.
If you are looking to invest in Jacksonville Florida’s real estate market, we here at Traditions Realty can help. Traditions Realty is a full service company offering sales and property management. We can help you find investment properties, give you a true market value for the rental, obtain a tenant, and manage the property during the holding period. Choose an experienced agent with real world knowledge of Jacksonville’s most popular areas and lowest vacany rates. Read more below.
Offshore investors snapping up Fla. real estate
MIAMI (AP) – Aug. 8, 2011 – Offshore investors are flocking to Florida’s distressed real estate prices as major companies with ties to Hong Kong, Spain, Argentina and Malaysia are snapping up properties sensing the local market has bottomed.
International companies can park their investment and position themselves for the next development cycle, said Tere Blanca, president and chief executive officer of Miami-based Blanca Commercial Real Estate.
“Acquiring prime properties at discount prices in the height of the market was not achievable. Whomever has deep liquidity and can be nimble and act when opportunities arise can acquire properties at what we consider to be solid pricing,” he said, according to the Daily Business Review.
Stephan Gietl of Austria and his partner Fernando Levy-Hara, of Argentina, have purchased 307 South Florida condo units for $40 million since 2009. The duo has sold most of the units, mainly to international investors. Levy-Hara says the units yield between 5 and 6 percent profit per year after maintenance fees and property taxes.
“With the potential appreciation, if you’re buying at half the price of the bubble, you have the potential to go up 60 to 70 percent in the next five years,” he said.
As Americans worry about the economy and debt ceiling, international investors still perceive the U.S. as “the most reliable country in the world,” said Andrew Hellinger, chief executive of Coral Gables-based Hellinger & Penabad.
“We are a country where you can place your money for investment and know it’s safe.”
South Florida’s most notable recent deals have ties to investors with connections to major international companies.
Swire Properties, part of Hong Kong-based real estate and airline owner Swire Pacific, bought 2.15 acres in Miami at $14 million, along with the $13.1 million acquisition of Eastern Bank’s headquarters.
In May, Malaysia-based Genting Group paid $236 million for the Miami Herald’s headquarters. Genting, which also owns 50 percent of Norwegian Cruise Lines, plans to build nearly 7 million square feet of hotel, convention and restaurant space. Genting executives cited Florida’s growing population, budding Miami tourism and a likely nonstop flight from Asia to Miami International Airport as motivating the deal.
Agave Holdings, with ties to the owner of Jose Cuervo tequila, paid First Bank Puerto Rico $30.55 million for a project in Coral Gables.
Espacio USA, the American arm of Spanish real estate company Inmobiliaria Espacio, is about to close on its second office building. The company paid $31.52 million for another office building last year, with renovations running more than $1 million.
Brazilians have led the Miami condo market resurgence, accounting for 9 percent of unit purchases among international buyers of Miami single-family homes and condos, according to the Miami Association of Realtors.
“The feeling in Brazil is certain aspects of their real estate and economy make U.S. real property a relative bargain,” said Richard Goldstein, of Bilzin Sumberg. “In other countries like Venezuela, the currency is not as much of a factor. Political instability is a factor; they want a safe haven for their money.”
Copyright © 2011 The Associated Press. Information from: Daily Business Review, http://www.dailybusinessreview.com
August 11, 2011 / Avondale, Featured Properties, Murray Hill, Ortega, Press Releases, Real Estate News, Riverside, San Marco / Author: beth / Comments: (0)
The Pentagon Federal Credit Union Foundation’s Dream Makers program is helping military members to achieve their goals of home ownership. It is offering $5,000 grants for military real estate buyers to put toward closing costs and down payments. The program is open to active service members and veterans who are planning on buying a home for the first time, and it is the perfect opportunity to buy Jacksonville real estate. Traditions Realty can help Jacksonville military real estate buyers to make the most of the grants they receive and to find their dream homes.
At Traditions, we understand that a career in the military may mean a lot of time spent away from home, but that should not prevent you from becoming a Jacksonville real estate owner. Instead, you can make a wise investment that can generate income. We make listing homes for rent in Jacksonville easy. Take advantage of the Dream Makers’ grant for military real estate buyers and make your Jacksonville real estate dream a reality. Read more below.
New grant for military first-time home buyers
WASHINGTON – July 27, 2011 – A new program offers financial assistance to first-time homebuyers who are veterans or active-duty military members. The Pentagon Federal Credit Union Foundation, a nonprofit national organization, offers the program through its Dream Makers program.
Active duty personnel, veterans, retired members of the military and employees of the U.S. Department of Defense and the Department of Homeland Security may be eligible for a grant up to $5,000 to use toward downpayments and closing costs if buying their first home. The grants can be applied to a mortgage issued by any financial institution.
“Members of the military often put off buying a home early in their careers because they’re moving around the country a lot,” says Kate Kohler, chief operating officer for the PenFed Foundation. “We want to make sure they have resources to add immediate equity into their home when they decide to buy.”
Requirements:
Military affiliation – (active duty, reserve, National Guard or veteran) – a Department of Defense employee or a Department of Homeland Security employee.
First-time homebuyer or not owned a home for the last three years; or a home has been lost through divorce or disaster.
Gross household income, including allowances, used to qualify for a mortgage loan is a maximum of $55,000 per year, or 80% of a community’s median income based on family size.
To view eligibility requirements, visit www.pentagonfoundation.org/dreammakers.
Source: “Veterans and Active Duty Can Get Financial Help When Buying Their First Home,” Pentagon Federal Credit Union Foundation (July 25, 2011)
© Copyright 2011 INFORMATION, INC. Bethesda, MD (301) 215-4688
June 20, 2011 / Avondale, Featured Properties, Murray Hill, Ortega, Real Estate News, Riverside, San Marco / Author: beth / Comments: (0)
With all the issues concerning the real estate market of today, you might be surprise to find that 75% of Americans still feel that buying a house is in their plans for the future. Home ownership has been part of the American dream for so long that even faced with the bad press and declining market it seems like the smart thing to do. And why not? Interest rates have hit new lows. Short sales and foreclosures have driven the prices down to all time low market values.
If you are interested in a home for sale in Jacksonville FL, call Traditions Realty. We can help you determine value in today’s market so that you can make a decision based on current data. Realtors with Traditions Realty have real world experience in buying and selling single family homes, investment and commercial properties. Read more below.
75% of Americans support homeownership
WASHINGTON – June 15, 2011 – Nearly three out of four American voters believe that it’s reasonable and appropriate for the federal government to provide tax incentives to promote homeownership, a sentiment that cuts across partisan and regional lines across the country, according to a recent poll conducted on behalf of the National Association of Home Builders (NAHB).
Further, an overwhelming majority of respondents oppose eliminating the mortgage interest deduction and would be less likely to support a candidate for Congress who wants to do away with this vital tax incentive.
“Despite the current housing downturn, Americans still see homeownership as a core value and key building block,” says Celinda Lake, president of Lake Research Partners, which conducted the survey along with Public Opinion Strategies. “The bottom line: The bipartisan consensus outside the Beltway is that owning a home remains an essential part of the American Dream, and voters would strongly oppose any efforts by lawmakers to increase barriers to homeownership.”
Two thousand likely 2012 voters were surveyed from May 3 through May 9. Among the poll’s key findings:
• 73 percent of all respondents – both owners and renters – believe the federal government should provide tax incentives to promote homeownership. This support for housing runs strong among all party affiliations, with 79 percent of Democrats, 71 percent of Republicans and 68 percent of Independents agreeing.
• 71 percent of voters oppose proposals to eliminate the mortgage interest deduction, and 63 percent oppose efforts to reduce it. A majority also oppose eliminating the deduction for interest paid on home equity loans, ending the deduction for interest paid on a second home, limiting the deduction for those earning more than $250,000 per year or capping the deduction for homeowners with mortgages over $500,000.
• By a more than two-to-one margin (57 percent to 26 percent), voters said they would be less likely to vote for a candidate who supports eliminating the mortgage interest deduction. These figures held firm across the political spectrum, with 63 percent of Republicans, 56 percent of Independents, 55 percent of Democrats and 61 percent of tea party supporters saying they would be less likely to support a candidate who favored killing the deduction.
• Even when told that getting rid of the mortgage interest deduction would help ease the federal budget deficit, 65 percent of voters opposed any proposal to abolish the housing tax provision. This strong consensus cuts across partisan lines, with 69 percent of Republicans, 69 percent of Independents and 59 percent of Democrats opposing eliminating the deduction.
• Saving for a downpayment and closing costs is the biggest barrier to homeownership.
• Among voters who are aware of proposals under consideration by Washington policymakers to raise the downpayment requirements for a home loan, 92 percent believe it will make it more difficult to buy a home. Six federal agencies are proposing a national standard to require a minimum 20 percent downpayment, which would be opposed by households most likely to be affected – mortgage holders and renters ages 18 to 54. Among voters in these age groups, 59 percent of renters and 58 percent of those holding a mortgage oppose adding that obstacle to buying a home.
• 81 percent of voters agree on the need to promote policies that encourage homeownership in order to rebuild the middle class and 83 percent believe that a strong housing industry will provide more jobs and strengthen the economic health of local communities.
• 75 percent of voters say that owning a home is the best long-term investment they can make.
• 73 percent of voters who do not now own a home say that it is a goal of theirs to eventually buy a home.
• An even greater percentage of homeowners – 95 percent – say they’re happy with their decision to own a home and believe that owning a own home is important.
© 2011 Florida Realtors®
June 01, 2011 / Avondale, Featured Properties, Murray Hill, Ortega, Press Releases, Real Estate News, Riverside, San Marco / Author: beth / Comments: (0)
If you have been thinking more seriously about investing in Jacksonville property lately, you are not alone. In Florida and around the country, people are gaining confidence in the economy and the housing market. A recent survey by Fannie Mae shows that although still cautious in taking on new financial responsibilities, many Americans view real estate as a wise investment.
Investing in Jacksonville real estate may be the ideal option for you if you are hesitant to trust stocks or other investments. Associates at Traditions Realty are here to be your partners in everything having to do with Jacksonville real estate. Whether you are considering investing in Jacksonville property, looking to put your new investment up for rent or seeking homes to rent in Jacksonville, get in touch with Traditions to make the process a pleasant one. Read more below.
Housing survey: Uptick in consumer attitudes
WASHINGTON – May 11, 2011 – Fannie Mae’s latest national housing survey finds that Americans expressed more cautious optimism during the first quarter of 2011 than in the fourth quarter of 2010, but they continue to lack confidence in the overall strength of the housing market and economic recovery.
The First Quarter 2011 Fannie Mae National Housing Survey polled homeowners and renters between January 2011 and March 2011. Findings were compared to similar surveys conducted throughout 2010 and December 2003.
The survey found that Americans’ newfound optimism about home prices, the economy and personal finances is balanced by concerns about rising household expenses.
Despite consumer caution, however, 57 percent of Americans still believe that buying a home has a lot of potential as an investment, and rank homeownership higher than other investments, such as buying stocks and putting money into an IRA or 401(k) plan.
“Uncertainty regarding the improving labor market, expectations of little home price and interest rate movement, and rising household expenses has left consumers feeling less financially secure and translates into weak mortgage demand,” says Doug Duncan, vice president and chief economist of Fannie Mae. “While we have seen indications of improving economic activity in recent months – especially the strengthening of private sector employment – consumers’ attitudes improved only marginally, and in some areas not at all, from a year ago, reflecting the continued unevenness and uncertainty of this recovery.”
Survey results
• 33% of Americans believe the economy is on the right track, up four percentage points from the fourth quarter of 2010 but virtually unchanged from January 2010 (31%).
• 42% of respondents expect their personal finances to improve over the next year (up by 2 percentage points from the fourth quarter of 2010), compared with 44% in January 2010.
• 40% say that current monthly household expenses are significantly higher than twelve months ago, up from 34% in the previous quarter and 31% in January 2010.
• While the number of Americans who perceive homeownership as a safe investment has been declining (from 83% in 2003 to 66% in first quarter of 2011), 57% still believe that buying a home has a lot of potential as an investment.
• Nearly twice as many underwater borrowers (27%) think it’s okay to walk away from a mortgage if they face financial distress than in January 2010.
• 44% of homeowners believe that the value of their home today is worth 20% or more than what they originally paid for it, declining from 46% in June 2010 and 51% in January 2010.
• 30% expect home prices to strengthen over the next year, up four percentage points from the fourth quarter of 2010 but virtually unchanged from a year ago.
• 59% of Generation Y Americans (ages 18-34) expect their personal financial situation to improve over the next year, compared to 49% among Generation X (ages 35-44) and 37% among baby boomers (ages 45-64).
• Fewer African-Americans think the economy is on the right track (44% in the first quarter of 2011 versus 51% in the previous quarter), and they are less optimistic about their personal finances (61% expect their finances to get better over the next year compared to 67% in the fourth quarter of 2010).
• Only 13% of adults age 65-plus think it will be easier for the next generation to purchase a home than it was for them, compared with 28% of Generation Y Americans.
• Nearly one in four (23%) mortgage borrowers say they are underwater, compared with 30% in January 2010.
• Only 31% of underwater borrowers think they have sufficient savings (compared to 42% in June 2010, and 43% of all mortgage borrowers).
• 46% of underwater borrowers say they are stressed about their ability to make payments on their debt (versus 35% in June 2010, and 33% of all mortgage borrowers).
© 2011 Florida Realtors®
May 04, 2011 / Avondale, Murray Hill, Ortega, Real Estate News, Riverside, San Marco / Author: beth / Comments: (0)
If you are thinking about selling a house in Jacksonville, now is a terrific time to consult with Traditions Realty. Right now in Jacksonville, as in the rest of Florida, it is a good time to sell. Although prices are low, sellers are in control of the market, because investors will agree to prices that other buyers may not and will buy with cash. At Traditions, we can help you make the most of the Jacksonville real estate market.
This situation means there are an abundant amount of homes for rent in Jacksonville, as well. When investors buy Jacksonville real estate, they rent out the homes while awaiting an upswing in the market. This benefits renters by increasing availability and options. Whether you are considering selling a house or finding homes for rent in Jacksonville, Traditions is here to help. Read below.
Is this really a buyer’s market?
WASHINGTON – April 27, 2011 – With falling home prices and higher inventories, most of the public views real estate as a “buyer’s market,” in which buyers hold more of the control and sellers will accept lower offers just to sell.
Not so fast, say buyers and sellers. More buyers are finding the sellers in the driver’s seat.
Buyer Young Hammack gave up looking for homes for a while after being outbid on three properties in California. “It’s a false buyer’s market,” Hammack says. “If you think prices are cheap, wait until you start putting offers in.”
Many sellers may be unable or unwilling to lower their home prices – mostly because they may be underwater on their mortgage – so buyers are increasingly finding lower offers than list price denied. Buyers, on the other hand, may be reluctant to agree to a deal if they don’t feel like they are getting it at a deep discount, industry insiders say.
Traditional buyers also are finding even buying a foreclosure can be difficult as they’re increasingly outbid by investors willing to pay cash.
“There’s a shortage of attractive inventory,” says Glenn Kelman, chief executive of Redfin Corp. “Customers just keep getting outbid on the houses that they want.”
Real estate professional Steve Capen with Keller Williams Realty in St. Petersburg, Fla., says that the homes most in demand among buyers often don’t require much repair work and are located in good school districts and choice neighborhoods near transit hubs.
“What’s selling is the cream of the crop, and they sell fast,” Capen says. “If it’s not cream of the crop, it’s getting hammered.”
Source: “Buyers’ Market? Stressed Sellers Say Not So Fast,” The Wall Street Journal online (April 25, 2011)
© Copyright 2011 INFORMATION, INC. Bethesda, MD (301) 215-4688