Thursday, April 29, 2004

Mortgage Bankers Association (MBA) reports on home loans

The MBA reports that real estate home loan applications for for the week ending April 23 (for home purchases) were up while real estate home loan applications for refinances were down.

In addition, the MBA reports that "The average contract interest rate for 30-year fixed-rate mortgages increased to 6.01 percent from 5.84 percent from one week earlier."

To read the press release, go here.

Wednesday, April 28, 2004

California Association of Realtors (C.A.R. reports on home sale prices

The California Association of Realtors reports the following:

"The median price of an existing home in California in March increased 22 percent and sales increased 4 percent compared to the same period a year ago."

The median home price for the state of California in March 2004 was $428,280. In March of 2003, it was $351,130. This represents an increase of 22 percent.

In addition, the C.A.R. reports that "Statewide home resale activity increased 4 percent from the 567,610 sales pace recorded in March 2003."

The inventory of single family detached homes available for sale is 1.6 months as of March 2004. (C.A.R. states that "The index indicates the number of months needed to deplete the supply of homes on the market at the current sales rate.")

In addition, C.A.R. states "The median number of days it took to sell a single-family home was 26 days in March 2004, compared to 30 days (revised) for the same period a year ago."

To read the press release, go here.

Sunday, April 25, 2004

California Housing Prices reach new high!
..... are you surprised?

DataQuick reports that "the median home and condominium price in California rose 21.7 percent from $290,000 to an unprecedented $353,000 during the year-over-year period ended in March. "

And, "Meanwhile, sales jumped 16.4 percent from 48,250 last March and 39 percent from 40,400 in February to a record 56,150. Experts attribute the gains between February and March to a supply-and-demand imbalance, noting that the frenzy will continue as the summer approaches. Marin County recorded the highest median of $672,000; while Los Angeles County posted the largest gain--29.3 percent, which landed the market at a median home price of $375,000."


Read the press release of the National Association of Realtors here.

Friday, April 23, 2004

What about rising interest rates?

Signals are pointing to the possibility that interest rates may start to rise. How will it affect the home buyer?

CNN Money reports that "All things being equal, home prices could suffer when rates go up. After all, buyers who could afford a $1,400 monthly payment on a $250,000 mortgage when rates are 5.5 percent may not be willing to pay as much for a house if rates go to 7 percent, in which case the monthly payment would be $1,660. "

We are hearing a lot of buyers express concern that if interest rates begin to rise, they may pull out of the market or certainly scale back what they are intending to purchase.

This will be an interesting subject to watch!

For the complete text of the CNN Money article, gohere .

Wednesday, April 21, 2004

Mortgage Bankers report on home loans

The Mortgage Bankers Association has reported that for the week ending April 16th the purchase home loan applications remain steady and refinance home loan applications declined slightly.

The M.B.A. reports "The average contract interest rate for 30-year fixed-rate mortgages increased to 5.84 percent from 5.77 percent from one week earlier, with points increasing to 1.36 from 1.33 the previous week (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans."

To read the entire press release, please go here.

Monday, April 19, 2004

Multiple offers!

In our real estate market, multiple offers on new listings are the norm. Many times the listing specifies that the seller will look at offers on a certain day and time. How do you compete?

The seller will look at all offers. Your offer will include a price, and terms. You will want to discuss your offer strategy with your realtor. And, your realtor should be able to guide you through the multiple offer process. Each offer and seller is different. You will want to find out as much as possible about the seller's situation, and how you can match their desired terms (closing date, etc). Many times this can be the difference in the seller's decision.

In this real estate market you can be the successful buyer - even in a multiple offer situation!

Saturday, April 17, 2004

Mortgage rates increase - mortgage applications decrease

It should come as no surprise that with an increase in home mortgage rates, the demand for mortgages would go down. That's exactly what has happened.

The Mortgage Bankers Association reports that both the purchase and the home refinance loan applications fell for the week ending April 9th, with interest rates rising slightly in that same period being blamed for the lessened activity.

The Mortgage Bankers Association states that "The average contract interest rate for 30-year fixed-rate mortgages increased to 5.77 percent from 5.75 percent from one week earlier, with points increasing to 1.33 from 1.27 the previous week (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans."

The full text of the press release is here.

Thursday, April 15, 2004

U.S. Census reports we're moving less!

The U.S. Census reports that Americans are moving at the slowest rate in 50 years. The report is here.

The report also stated "In 2003, however, 19 percent of all moves were to a different state, up from 16 percent in 1994."

Why did people move? The report says "Among people who changed residence between 2002 and 2003, most (51 percent) moved for housing-related reasons, then family reasons (26 percent) and work-related reasons (16 percent)."

The statistics by region are: "Between 2002 and 2003, the Midwest and the Northeast experienced net losses of about 100,000 people in domestic migration, while both the South and the West showed net gains (125,000 and 74,000, respectively). "

Interesting statistics indeed!

Tuesday, April 13, 2004

Condo sales strong

It is increasing apparent that sales of condominiums and townhouses are strong, as home buyers turn to them as affordable housing. The price of single family homes is very high in our area.

If you need help as a home buyer or home seller, turn to your local Realtor for advice and counseling. Your Realtor can help you!

Sunday, April 11, 2004

Mortgage rates go up!

"Interest on 30-year mortgages hit 5.79 percent this week, while 15-year rates surged from 4.84 percent to 5.12 percent, according to Freddie Mac.

The one-year adjustable mortgage rate rose as well, moving up from 3.46 percent to 3.65 percent. The current 30-year rate is the highest since early January, when it reached 5.87 percent. "

Source: The Washington Post (04/09/04)
and Realtor.org

Friday, April 09, 2004

Property taxes are due!

Remember, your second installment property taxes are due April 10th! This covers the January 1 to June 30 half of the year!

April is Fair Housing Month

The Department of Housing and Urban Development (HUD) celebrates April as Fair Housing Month.

Thursday, April 08, 2004

Mortgage Bankers Association reports on real estatealoan applications

The Mortgage Bankers Association reports that loan applications for home purchases has increased, while applications for refinances has decreased.

The Mortgage Bankers Association also reports on interest rates as follows:
"The average contract interest rate for 30-year fixed-rate mortgages increased to 5.75 percent from 5.49 percent from one week earlier, with points decreasing to 1.27 from 1.29 the previous week (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans."
and
"The average contract interest rate for 15-year fixed-rate mortgages increased to 5.03 percent from 4.75 percent one week earlier, with points increasing to 1.40 from 1.31 the previous week (including the origination fee) for 80 percent LTV loans. "

For the full report, click here

Tuesday, April 06, 2004

Own real estate with your IRA (Individual Retirement Account)

Did you know you can own real estate through your IRA? Not many people do. You don't actually own the real estate ... your IRA does.

In order to accomplish this, you must set up your IRA with a company that understands this type of transaction. You can even buy rental property and have the rental amount paid to your IRA!

To learn more about owning real estate through your IRA, go here.

Sunday, April 04, 2004

New listing! Prime Shadow Hills horse property!

We have a new listing - 10422 Mc Broom Street in Shadow Hills. This 8.6 acre property presents an amazing opportunity! The property has frontage along both Wheatland Avenue and McBroom Street (address is also known as 10510 Wheatland Ave.). It is an outstanding developers dream, possible horse ranch or land for estate extraordinaire! What a sublime retreat, featuring awesome mountain views and privacy galore! There is a small home currently on property with detached garage, both to be sold in 'as is' condition with no repairs, no termite work to be done. Bring all reasonable offers.

Contact us for further information, including a color brochure.


Friday, April 02, 2004

The National Association of Realtors reports decline in mortgage applications

Is this a trend? The National Association of Realtors (NAR) reports that "The Mortgage Bankers Association reported a 2.1 percent dip in its loan application index for the week ended March 26—the second consecutive week of decline."

and further, "Purchase-loan applications were down 1.1 percent from the previous week, while refinancing requests slipped 2.6 percent. Just a couple of weeks ago, application volume reached its highest level in eight months."

Perhaps it is that the supply of homes is low, so that there are not many homes being sold. And, as for refinance requests, our guess is that many people have already completed the refinance of their home loans, so that refinances are slowing down.

What do you think? Email us and let us know!