December 2011 Real Estate News
Just in time for the holidays: The Kennedy Group is offering a great “break away” day at the beautiful Arizona Grand Resort. For anyone who lists their home with us before the end of the year we will give either two rounds of golf at the fabulous Phantom Horse golf club, or two massages and all-day access to the Arizona Grand Spa facilities – or a combination of both! Know of anyone thinking about selling their home? Please pass this offer along to them, or let us know and we’ll be happy contact them directly. _____________________________________________________________ What’s the Buzz? Latest available market statistics continue to show that things are far better than 12 months ago, which is quite encouraging. Even more encouraging is the fact that Pending Home Sales in October rose by more than 10% over September – the largest month-over-month increase we’ve seen in nearly a year! Add to that the fact that 3rd quarter sales in Arizona were 22.5% higher than 3rd quarter 2010, and we’re definitely seeing a positive trend here. Now, if we could just get the prices up… More “buzz” this month:
Market Summary (from The Cromford Report) Although pending home sales rose dramatically in October, closed sales dropped by 4.2% to 7,563. Sales have been slowly trending downward since June – but so has inventory (fewer homes to buy = fewer homes sold). On the other hand, October sales (7,563) were 14.7% above the October 2010 figure of 6,593. Available inventory rose 1.2% in October to 27,266, breaking the previous eight month streak of declining total inventory. The slight increase in October is only a minimal deviation from the overall downward trend line of the previous 12 months, and 53% below the record decade high of 58,178 in total inventory in October 2007. The period from January 2002 through May 2004 is now considered by many to have been the Valley’s last “normal” market. During that period the average total inventory was 26,727. This figure is right in line with the current total inventory, hinting that another of the Valley’s real estate metrics has righted itself. Sales prices did not follow the upward motion seen in the September. Instead they remained singularly lackluster, with the median falling 2.5% to $112,000 and the average falling 1.1% to $153,400. Half of the gains seen in September sales prices were lost in the October figures, continuing the flat trend line of 2011. Meanwhile, median list prices rose again this month by 6.1% to $139,000, continuing September’s welcome upward tilt. Likewise, the average list price rose 9.1% to $229,900. This is encouraging since pricing has remained stubbornly resistant to rebound, despite improvement of other metrics over the past year. Please keep us in mind with all your Real Estate needs. Referrals are the lifeblood of our business and we are always looking for new buyers and sellers, so if you know of anyone planning to buy or sell a home, we would appreciate you pointing them our way!
In this edition:
Pending Sales Increase May Point to Budding Market Recovery DS NEWS – The National Association of Realtors’ (NAR) pending home sales index reported strong positive movement over the month of October, rising 10.4 percent from September. The index, which measures sales contracts but not closings, is also 9.2 percent above its rate a year ago. Click here for complete article. Housing Market Bottom? CNBC – New single-family home sales rose slightly in October and the supply of homes on the market fell to its lowest level since April of last year, showing some healing in the battered housing sector. The Commerce Department said Monday that sales edged up 1.3 percent to a seasonally adjusted 307,000-unit annual rate. And according to “Fast Money” trader Jon Najarian, those numbers are a sign that the housing market should soon turn around. Click here for complete article. Multiple Signs Point to Real Estate Rebound RIS-MEDIA – The past few weeks have showcased numerous signals that the real estate market is on the rise. Recently, we have reported statistics pointing to an industry turnaround, including a 15 percent rise in housing starts in September; a surge in builder confidence in October, an increase in mortgage applications and a slew of regional market improvements across the country. Click here for complete article. Investor Sales Surge RIS-MEDIA – Low home prices and strong demand for rental properties are causing a surge in investor buying, driving up the market share of homes purchased by investors. According to the latest Campbell/Inside Mortgage Finance HousingPulse Tracking Survey, investor purchases hit 22.3 percent of closed transactions for the month of October, up from just 19.6 percent as recently as July. For the past three months, investor participation has exceeded 20 percent, continuing a long-term trend of increased investor interest in the housing market. Click here for complete article. Now might be the best time ever to buy a home Wall Street Journal – Now could be the best time in history to buy a home. Presuming, of course, you have the money and the credit to do so. The average rate on a 30-year fixed mortgage hit record lows last week, down to 4.01%, according to Freddie Mac. Click here for complete article. Refinance program starts this month azCentral.com – Details on how to apply for the federal government's expanded refinancing program, which could help thousands of Arizona homeowners underwater on their mortgages by lowering their monthly payments, won't be available until sometime in December, according to new information from a spokesman for the U.S. Department of Housing and Urban Affairs. Click here for complete article.
U.S. averages as of December 1, 2011: 30 yr. fixed: 4.02% 15 yr. fixed: 3.37 % 30 yr. jumbo: 4.64% Merry Christmas!
|
||
Mortgage Rates