I don’t blog much about my landlord experiences, but a conversation I recently had with an investor from St. Louis (with 30+ years of real estate investing experience) inspired this post. We were talking about our philosophy regarding landlording and it was a breath of fresh air to speak with someone who shared a similar perspective.
Before I go into my unconventional thoughts, it may be helpful for me to disclose a few things:
We have not owned (and have no future plans to own) rental properties in war zones – low income neighborhoods, yes. War zones, no.
We’ve had both deadbeat tenants (had to evict them) and wonderful tenants
We’ve had both Section 8 tenants and non-Section 8 tenants. Our preference is to have Section 8 tenants who are responsible for a healthy percentage of their monthly rent.
So here’s my take on being a landlord — and I can tell you by the looks of the neighborhood of our most recently purchased rental property (as well as from conversations with the leaders within the neighborhood), that these thoughts are unconventional:
I’m a firm believer that you reap what you sow. If I choose to be an excellent landlord, I will attract and keep excellent tenants. To me, being an excellent landlord means:
Rule #1: Treating my tenants like human beings instead of an income stream — showing that I care about their well-being, comfort, and safety in my home (this rule applies regardless of whether the tenant is receiving government assistance or not — doesn’t matter). Doing small things like sending holiday cards or leaving a voicemail to say hello every once in awhile!
Rule #2: Ensuring that the home looks nice — just because my tenant may be a Section 8 tenant, I will not assume that the person will treat my home in a sloppy manner. I present a home in excellent condition and expect excellence in maintenance from my tenants. If I present a home in sloppy condition, my tenant has no reason to believe that I have any pride in the condition of the home and may show the same blatant disregard.
Rule #3: Being willing to do select low-cost upgrades within the home as the tenant proves to be an excellent one — simple things like decent window treatments or a low-cost security system
Rule #4: Providing instructions on home ownership/maintenance — giving tips on things that a tenant may not know how to deal with if they’ve never lived in a home before
Rule #5: Refusing to be a completely “hands off” landlord even with a property management company in place — I need to know not only that business is being handled the way I want it to be handled, but also that my tenants are being treated with respect.
Even when the Housing inspector came to our property before the tenant moved in, she commented on how nice the home was and how any tenant would be lucky to stay there. It’s not like we did much special to the place…we made sure it was clean and in nice condition! What does that tell you about how many other landlords in the area are treating their properties/tenants?
My husband and I have plans to make a significant difference in one or two lower income neighborhoods in our county over the next 10 years and the great news is that we’ll do well (financially) by doing good (for others). It’s a win-win!
Anyway, that’s all I wanted to share. Never forget that you reap what you sow.
More Than 15,000 Additional Homes Were Listed for Sale in January Within 27 Major U.S. Housing Markets
Dennis Norman
January marked the first time in 18 months that more homes were listed “for sale” compared to the previous month, with an additional 15,000 homes, or a 2.9 percent increase, listed for sale compared to December according to the January Housing Inventory Index, a survey of Multiple Listing Service (MLS) listed homes in 27 major U.S. housing markets conducted by ZipRealty.
Other highlights from ZipRealty’s January Housing Inventory Index include:
The number of home listings year-over-year remains down 22.3 percent, with 163,000 fewer homes on the market.
The combined number of MLS-listed single family homes and condos within the 27 major U.S. markets surveyed in January totaled 567,265, up from 551,447 in December.
Markets in California showed significant jumps in inventory in January with month-over-month increases of 10.1 percent in the San Francisco Bay Area, 8 percent in Orange County, 4.5 percent in Los Angeles, and 6.5 percent in San Diego.
Baltimore was one of only two markets where the number of homes listed for sale decreased, at a modest 1.9 percent. In Miami there was a minor decrease of .05 percent.
The average median list price of $258,634 was relatively flat in January, down 1 percent (or $2,521).
“Serious sellers need to list their home now, rather than wait for the spring, to capitalize on buyers looking to take advantage of the tax credit extension,” said ZipRealty President and CEO Patrick Lashinsky. “While the number of homes for sale is starting to increase, we are still seeing some markets with a shortage of homes for sale.”
Following is a snapshot of the housing inventory across the 27 metros that ZipRealty tracked in January 2010:
This post is from being re-inspired by Cole Haynes. He recently posted on my Facebook wall that he purchased some from my suggesting that I make in my Subject2 Investing E-book. I believe also that Chris Guthrie (forgive me if I spelled your last name wrong) has started using them due to my suggestion.
That got me thinking why in the hell I wasn’t using them anymore. This $100 bill business card (affiliate link) was by far my most effective marketing tool! I had several versions of them and you couldn’t compare them to any other form of marketing, period!
I think they were originally or still are targeted for MLM’ers and Cash Gifting (whatever that is, I really don’t even know) but they are so damn effective in real estate its not even funny. Who doesn’t pick up a $100 bill off the ground? You would! I would! I do!
Now, before I go into exactly how I used them, please don’t think this blog is even remotely going to turn into just another affiliate product pushing site because trust me, I used these things and they worked and I’m going to start using them again, if you choose not to, fine. I would appreciate you order through that link up there because if they’re going to pay someone, I might as well get some booze and hooker money out of it.
Here’s exactly how I used them:
Realtors:
Most realtors have never seen this before and they are in awe and shock when you hand them one. Use it as business card or a business card alternative. I would put on the back of it phrases like: Earn More Benjamins on Your Listings! , I Pay More Commissions and they would eat it up! This is one card they won’t just file away with the rest of the lame ‘ol cards. This will without a doubt open up even more conversations and more importantly, get you more deals whether they’re Sub2’s or Short Sales.
Bird Dogs:
Again, most bird dogs have never seen this before and the same thing for them, they’re in awe and amazement. They’re not going to forget you. You’re going to be the ‘$100 bill guy or gal’ in their head and they ‘re going to know exactly where your card is and call you before anyone else! Things I would put on the Bird dog cards: Learn How to Invest in Real Estate & Make More Money! , I Pay Higher Finder Fees as well as Bring Me a Deal and Add a Zero to This Bill. I remember I had other ones, I was always testing. I can’t remember exactly how all the ones I test were worded or how each of them did compared. These are the ones I remember now.
HomeOwners:
Now, this is where I really banked in! Forget all the low level response rates all of your other marketing techniques have. I assure you without a doubt 100% people will call you! When they see this awesome business card, the thought of throwing away your marketing piece will not cross their minds. Using phrases like: I’ll Pay Top Dollar For Your House! , Turn This Into Real Cash For Your House and Know Someone Who is Selling Their House? Get $100 Referral Just for Calling Me all work like a charm!
I really did have multiple cards I used. You certainly don’t have to. If I were going to suggest using one method, it would without a doubt be the homeowners one. Then start marketing for Realtors and Bird dogs.
I did a few different ways but they all saw amazing results! I would get a double window envelope. Have a handwritten font letter (really short in length because their focus is on the card) and have the address show up on the left window while I’d have a stick of glue, dot the glue stick on the right side of the letter and put the folded $100 bill there so when it was in the envelope it would show through. You think the homeowners not going to open that mail?
I remember someone telling me one time, they were worried about a mail carrier stealing the envelope because they saw the $100. I said that’s fine! They’re still going to keep my card, they just won’t tell me how the got it
The other way I would do it was use your standard cheapy envelope (the kind you can easily see through) and again, put a handwritten font letter in there (not the yellow letters stuff you see, just white so the light would shine through easier) and then fold the $100 bill over it so if and when they would put it up to the light to see whats in it, they would easily see the $100 bill and do you think they opened it? You betcha! I would get so many damn phone calls it got insane. The wifey had to call T-mobile and up our minutes to unlimited. I was hanging up on people (because they were mad they got duped LOL) but more importantly, I was analyzing more deals than I had time to.
Think about that next time you do a marketing campaign! I haven’t used them in a while and shame on me! They really do work and I’m upset with myself for slacking on that. You could use this in so many ways! Non-Owner Occupied properties, landlords. You name it! Just come up with a catchy slogan and you’re golden. You don’t have to worry about them not seeing your card because again, who wouldn’t?
There was a single time I was invited to some small investor group to speak in Kansas City 2 years ago and when I went, I was dropping these on the ground everywhere! The plane, the restaurant (gotta get some KC BBQ) and the airport while waiting for my red eye flight back home. Its so fun, drop a few and see how long it takes for someone to pick them up!
Would you pick one up if you saw it on the ground? Would you open your mail if you saw one in your envelope?
Home Loan Applications Jump 21.0 Percent Last Week.
Dennis Norman
The Mortgage Bankers Association (MBA) released its weekly mortgage applications survey for the week ending January 29, 2010. The report showed the MBA Purchase Index (a measure of the volume of loan applications related to a home purchase) increased 21.0 percent from the week before and the four-week moving average for the index is up 7.6 percent.
Homeowners taking advantage of near record-low interest rates and refinancing their existing mortgages continue to dominate the mortgage application activity this week, with refinances making up 69.2 percent of loan applications for the week. ARM’s continue to be unpopular among borrowers and only make up 4.5 percent of new mortgage loans.
Interest rates and fees for the week:
30 year fixed-rate mortgage interest rates decreased slightly to 5.01 percent from 5.02 percent the previous week, with fees increasing to 1.04 percent from 1.00 percent on loans that are 80 percent of the value of the home.
15 year fixed rate mortgage interest rates decreased to 4.33 percent from 4.34 the previous week, with fees increasing to 1.17 percent from 1.14 percent on loans that are 80 percent of the value of the home.
One-year ARM interest rates decreased to 6.7 percent from 6.84 percent with fees increasing to 0.34 percent from 0.33 percent for loans that are 80 percent of the value of the home.
December’’s pending home sales index (seasonally adjusted) was 96.6 (the index is based upon 100.0 being equal to the average level of sales activity in 2001 which we could call the last “normal” year) which was a 1.0% increase in the index from November and an increase of 10.9 percent from the year before.
December’’s not-seasonally adjusted index index was at 64.0, a 18.1 percent decrease from November and a 10.5 percent increase from a year ago.
Oh yeah, now that I have given my take on things, you can see what Lawrence Yun, the chief economist for NAR, has to say about it:
With the nation awash in vacant properties, a significant number of landlords now say they are willing to consider applicants with poor credit. But lowering criteria just to sign a lease is as unwise as ever, cautions Tracey Benson, president of The National Association of Independent Landlords.
“Remember, taking unnecessary chances led to this financial meltdown in the first place. People who dodged the bullet should stay the course,” Benson says. “Banks haven’t eased up on their lending standards, so neither should landlords.”
The U.S. Department of Commerce released a report showing the sale of New Homes in December were at a seasonally adjusted annual rate of 342,000, a 7.6 percent decrease from the revised November rate of 370,000 and is 8.6 percent below a year ago.
My Mantra
As has been my long-running mantra, I don’t like “seasonally adjusted” numbers and “rate” of sales. Why, for one I can’t figure out how in the world they compute the numbers. Second, I just don’t think discussing the “rate” of new home sales paints a realistic picture of the market. I think this holds especially true when we have artificial forces affecting the housing market such as tax credits and other incentives. This can create unseasonal bursts or declines in sales that don’t really have anything to do with the underlying fundamentals of the housing market.
Effect of tax credits on homebuyers like kid’s “sugar-rush”?
Here is the raw data, the ACTUAL new homes sold- no fluff, no “adjusting”
23,000 new homes sold in December, an 11.5 percent decrease from November’s 26,000 new homes sold and also a 11.5 percent decrease from December 2008 when there were 26,000 new homes sold
52 percent (12,000) of the new homes sold were in the South region- a decrease of 14.2 percent from November’s 14,000 new homes sold
the west region had 5,000 new homes sold the same as the month before.
the Midwest had 3,000 new homes sold, a 40 percent decrease from November’s sales of 5,000 homes.
The Northeast was the only region with an increase in sales. Decmebers sales of 3,000 homes was a 50 percent increase from November’s 2,000 new homes sold.
374,000 new homes sold in 2009 which is a 22.9 percent decrease from 2008 when there were 485,000 new homes sold.
All four regions saw fewer home sales in 2009 than 2008.
Midwest decrease of 22.9 percent
South decrease of 24.` percent
West decrease of 23.7 percent
Northeast decrease of 11.4 percent
Median sale price of new homes in the US in December was $221,300.
For the new homes sold in the US in December the median time they have been on the market for sale is 13.9 months.
Inventory of new home in US at end of December is 234,000 which translates into a 10.2 month supply.
So how accurate was my predicion for 2009?
For some time I have been predicting new home sales for 2009 would end up around 385,000 – 395,000…In November I pinned the number down at 390,000…I was feeling somewhat optimistic because of the tax credits. It looks like I was a little too optimistic and was off by 16,000 homes or 4.2 percent….I guess not too bad for an amateur…
My prediction for 2010
With everything going on in our economy, elections this year, etc, it is really hard to predict what will happen in the new home market. Having said that, I will say that I don’t see 2010 being worse than 2009, unless interest rates increase significantly during the year or unemployment does not improve. Abset those two events I am going to predict that 2010 will be just slightly better than 2009 and come in at 380,000 – 400,000 homes sold.
The Justice Department today announced a settlement of a lawsuit alleging that those involved in the design and construction of two multifamily housing complexes in Davenport, Iowa, violated the Fair Housing Act. The complexes at issue are Kimberly Ridge Manor and Jersey Ridge Manor.
The case began when the Davenport Civil Rights Commission filed fair housing complaints with the U.S. Department of Housing and Urban Development (HUD). After investigating, HUD referred the matter to the Justice Department, which filed the lawsuit in September 2009. Under the settlement, which must still be approved by the U.S. District Court for the Southern District of Iowa, the defendants will pay all costs related to making the complexes accessible to persons with disabilities and pay up to $40,000 to compensate individuals harmed by the inaccessible housing. The settlement also requires all the defendants to undergo training on the requirements on the Fair Housing Act and to provide periodic reports to the government.
“Accessible housing is not just a civil right for individuals with disabilities, it is a basic necessity,” said Thomas E. Perez, Assistant Attorney General for the Civil Rights Division. “This settlement ensures that persons with physical disabilities have an equal opportunity to live in and visit these complexes.”
“Designing accessible housing is a simple step that can have a big impact on the lives of persons with disabilities,” said Nicholas A. Klinefeldt, U.S. Attorney for the Southern District of Iowa. “We are committed to the principle that all Americans, including those with disabilities, deserve the opportunity to enjoy fair housing in their community.”
“Ensuring that homes are designed and built to provide access for people with disabilities is the law. Today’s settlement demonstrates what can be done when government and private actors work together to enforce the law and produce results,” stated John Trasvina, HUD Assistant Secretary for Fair Housing & Equal Opportunity.
The defendants responsible for payments and retrofits are Portzen Construction Inc., GNZ Properties Inc. and Sodarock Properties LLC. In addition, defendants Design Center Associates Inc. and Jerry L. Anderson are responsible for funding the retrofits. The retrofits include creating accessible routes to building entrances, providing accessible parking for residents and guests, widening inaccessible narrow doorways, and reconfiguring bathrooms and kitchens to accommodate persons who use wheelchairs.
Persons who believe they may have been harmed by the lack of accessible housing at one of the complexes involved in this matter should contact the Justice Department at 1-800-896-7743, and select menu option 9992.
The federal Fair Housing Act prohibits discrimination in housing based on race, color, religion, national origin, sex, disability and familial status. Individuals who believe that they may have been victims of housing discrimination should call the Housing Discrimination Tip Line (1-800-896-7743) or email the Justice Department at fairhousing@usdoj.gov. Such persons may also contact HUD at 1-800-669-9777.
Fair housing enforcement is a priority of the Civil Rights Division. More information about the Civil Rights Division and the laws it enforces is available at http://www.justice.gov/crt.
Top 20 Cities Are From California, Florida, Nevada and Arizona; Utah, Illinois, Oregon, Idaho Cities Indicate Foreclosure Problem Is Spreading.
Today RealtyTrac® released its year-end 2009 Metropolitan Foreclosure Market Report which shows that cities in four Sun Belt states accounted for all top 20 foreclosure rates in 2009 among metro areas with a population of 200,000 or greater, but foreclosure activity showed signs of spreading into previously insulated areas as unemployment became more of a driving factor.
California accounted for nine of the top 20 metro foreclosure rates, followed by Florida with eight, Nevada with two and Arizona with one. The highest-ranked metro area outside of those four states was in Boise City-Nampa, Idaho, which ranked No. 24 with 4.66 percent of its housing units receiving at least one foreclosure notice in 2009.
“While it was expected that cities from states with the highest levels of foreclosure activity would top the charts, there is evidence that we’re entering a new wave of foreclosures, driven more by unemployment and economic hardship than what we’ve seen over the past few years,” said James J. Saccacio, chief executive officer of RealtyTrac. “Areas like Provo, Utah; Fayetteville, Ark.; Portland, Ore.; and Rockford, Ill., all posted foreclosure rates above the U.S. average in 2009. And markets like Honolulu, Minneapolis and Seattle saw foreclosure activity increase at more than twice the national pace over the past 12 months — although all three of those markets still had 2009 foreclosure rates that were at or below the U.S. average.”
Top 10 metro foreclosure rates
Las Vegas posted the nation’s highest metro foreclosure rate for the year, with more than 12 percent of its housing units receiving a foreclosure notice in 2009 — more than five times the national average. Las Vegas reported a quarter-over-quarter decline in foreclosure activity in the fourth quarter — as did all the other metro areas with foreclosure rates ranking among the top 10 for 2009.
With 11.87 percent of its housing units receiving a foreclosure notice in 2009, Cape Coral-Fort Myers, Fla. documented the second highest metro foreclosure rate. Other Florida cities in the top 10 were Orlando-Kissimmee at No. 7 (8.17 percent), Port St. Lucie at No. 9 (7.58 percent), and Miami-Fort Lauderdale-Pompano Beach at No. 10 (7.16 percent).
Merced, Calif., registered the nation’s third highest metro foreclosure rate, with more than 10 percent of its housing units receiving a foreclosure notice in 2009. Other California cities in the top 10 were Riverside-San Bernardino-Ontario at No. 4 (8.80 percent), Stockton at No. 5 (8.62 percent), and Modesto at No. 6 (8.53 percent).
The Phoenix-Mesa-Scottsdale metro area in Arizona documented the nation’s eighth highest metro foreclosure rate in 2009, with more than 8 percent of its housing units receiving a foreclosure notice during the year.
Even in Tough Times, 77 Percent of Americans View Homeownership as a Part of Their Own Personal American Dream
A national survey released yesterday by Trulia shows that many Americans feel that President Barack Obama has not lived up to the hope he created during his campaign and his first 30 days in office. In Trulia’s latest American Dream survey conducted online on its behalf by Harris Interactive from January 19-21, 2009 President Barack Obama scored considerably lower marks on the topic of restoring the American dream of home ownership compared to a survey conducted February 20-24, 2009 after his first 30 days in office.
The current survey found that 37 percent of Americans gave President Obama a grade of “D” or “F” on the decisions he’s made towards restoring the American dream of home ownership compared to only 22 percent in the February 2009 survey. Additionally, 54 percent gave him a grade of “A” or “B” in February 2009 compared to only 37 percent in January 2010. Despite these lower grades, and the troubles that have continued to plague the U.S. housing market, the survey found that the “American Dream” of homeownership continues to be alive and well with more than three out of four Americans considering owning a home as a part of achieving their personal American dream.
“I am thrilled to see that the American dream of homeownership is alive. If the dream had died we would be in a lot of trouble,” said Pete Flint, CEO and co-founder of Trulia. “Everyone realizes there is no easy fix and we have a long road ahead. Until there is a reversal in unemployment and the growing number of home foreclosures, the U.S. real estate market will continue to see significant volatility. I agree with the results of our survey that job creation and job security have to be the President’s top priority.”
President Obama’s Report Card
Democrats currently rate President Obama’s performance higher than Republicans, but both downgraded the President’s performance in the January 2010 survey compared to the survey Trulia conducted in February 2009. The current survey shows that “A” ratings from Democrats decreased by 19 percentage points and a 3 percentage point decrease from Republicans. Additionally, “F” ratings from Democrats increased by 3 percentage points and by 13 percentage points from Republicans.
Jan. 2010 Grades
Republican
Democrat
All Adults
“A”
2%
19%
11%
“B”
10%
43%
26%
“C”
24%
25%
26%
“D”
27%
7%
16%
“F”
37%
6%
22%
Feb. 2009 Grades
Republican
Democrat
All Adults
“A”
5%
38%
21%
“B”
18%
42%
33%
“C”
31%
14%
24%
“D”
21%
3%
10%
“F”
24%
3%
12%
Priorities Going Forward
Democrats and Republicans agree on the areas President Obama needs to focus on in 2010 to stabilize the U.S. real estate market. Creating jobs and job security continues to be at the top of the list with 62 percent of adults referencing it as a key priority for the President. With foreclosures reaching record levels in 2009 and expected to grow even more this year, it’s not surprising that 45 percent of adults included this as an important area of focus. Rounding out the top three priorities for President Obama is bringing/keeping low interest rates at 39 percent. Only 27 percent of Americans surveyed believe extending the home buying tax credit through the end of 2010 should be a key initiative to help stabilize the housing market.
Jan 2010 Focus
Republican
Democrat
All Adults
Create Jobs & Job Security
58%
65%
62%
Reduce Foreclosures
37%
54%
45%
Lower/Keep Low Interest Rates
43%
43%
39%
Extend Home Buying Tax Credit Through 2010
24%
32%
27%
Other
14%
4%
11%
This sentiment was also echoed on Trulia Voices Community, with many users feeling that President Obama tried to do too much, and that the key to fixing the economy and housing market will be to focus on creating new jobs and job security.
Positive and Negative Views
The majority of Americans surveyed were unaffected by the events that have transpired during the past year in the housing market, with 60 percent saying their view towards homeownership is unchanged. Slightly more of those surveyed have a more pessimistic than positive outlook with 21 percent saying they have at least a somewhat more negative view towards owning a home compared to 20 percent having at least a somewhat more positive view.
Survey Methodology
The Trulia American Dream housing study is conducted online periodically by Harris Interactive on behalf of Trulia. Harris Interactive® fielded this current study on behalf of Trulia from January 19-21, 2010 via its QuickQuerySM online omnibus service, interviewing a nationwide sample of 2,232 U.S. adults age 18 years or older, of whom 1,523 were homeowners and 614 were renters, and 702 were Democrats and 601 were Republicans. Results were weighted as needed for age, sex, race/ethnicity, education, region and household income. Propensity score weighting was also used to adjust for respondents’ propensity to be online. No estimates of theoretical sampling error can be calculated; a full methodology is available.
Harris Interactive® also fielded the February 2009 survey on behalf of Trulia from February 20-24, 2009 via its QuickQuery(SM) online omnibus service, interviewing a nationwide sample of 2,076 U.S. adults age 18 years or older, of whom 1,418 were homeowners and 595 were renters, and 732 were Democrats and 573 were Republicans . Results were weighted as needed for age, sex, race/ethnicity, education, region and household income. Propensity score weighting was also used to adjust for respondents’ propensity to be online. No estimates of theoretical sampling error can be calculated; a full methodology is available
Zip Realty’s “Home Hunter” Report for 4th quarter 2009 shows some housing markets heating up.
While some of the “hottest” real estate markets in the country — those where homes are selling most above their list prices — continue to be distressed areas dominated by heavily discounted prices, a report issued by ZipRealty revealed some notable exceptions. In two higher priced ZIP codes Continue reading Some Housing Markets Getting Hot Again
This morning the S&P/Case-Shiller Index report for November was released showing that home prices in their 10 city and 20 city composite indexes decreased 0.2 percent from October. The indexes include the major metropolition areas in the U.S. (details for metros included are in chart that follows).
NAR’s “seasonally-adjusted” numbers show sales down 16.7 percent for the month…2009 finishes with 5,156,000 homes sold…My projection for the year was 5,143,000 homes….missed it by 13,000 (2/10 of 1 percent) hmm..not bad for a “non-economist”
Kevin Miller, 55, of Fairfield, pleaded guilty in United States District Court today to one count of conspiracy to commit mail fraud and one count of obstruction of an investigation for his role in a real estate investment fraud scheme between 2005 and 2008 that defrauded approximately 80 victims out of approximately $7.3 million. Continue reading Fairfield Man Pleads Guilty to Role in $7.3 Million Real Estate Investment Scam
FHA Announces Policy Changes to Address Risk and Strengthen Finances
This week FHA announced policy changes that are going to help them shore up their finances but will make it more difficult and/or costly for buyers to purchase your homes.
In a report issued today by First American CoreLogic national home prices continue to decline with their HPI (Loan Performance Home Price Index) declining by 5.7 percent in November 2009 compared with the year before. If you take the distressed sales out (foreclosures, short sales, etc) the nation decline in HIP for the same period was 5.1 percent. Continue reading U.S. Home prices continue to decline
Last month the U.S. House of Representatives passed H.R. 4173, the “Wall Street Reform and Consumer Protection Act of 2009″, which contained a provision that would “sunset”, or put an end to, the Home Valuation Code of Conduct, which, since it went into effect back in May of last year has been controversial to say the least.
Average price cut for homes drops to 11 percent off original price…discount increases to 15 percent off original price for homes priced above $2,000,000.
The foreclosure rate in the U.S. for the month of November, 2009 was 3.09 percent, a 77.6 percent increase from November, 2008 when the rate was 1.74 percent according to a report by First American CoreLogic.
In an effort to “stabilize home values and improve conditions in communities where foreclosure activity is high” FHA just announced a temporary waiver of requirements of 24 CFR 203.37a(b)(2). For those of you that don’t have your copy of the Code of Federal Regulations handy, this is referring to what is generally known as the “anti-flipping” rule which (with a few exceptions) prohibited a lender from making an FHA-insured loan on a home owned by the seller for less than 90 days. Continue reading FHA Waives Anti-Flipping Rule
I’m currently experiencing an increased amount of free time throughout my day. I recently posted Outsourcing My Life where you can see some of the reasoning behind why.
My most active email is with Yahoo and I haven’t really complained about it. It’s a free service and regardless if people think a business email loses its status symbol by using a free service like Yahoo or Gmail, I continued Continue reading 3 Ways to Start Outsourcing Your Email
December’s foreclosure actions mark tenth straight month of over 300,000 notices and drive the 2009 total to over 3.9 Million notices on over 2.8 Million properties.
This morning RealtyTrac® released its year-end U.S. Foreclosure Market Reporttm for the year 2009.
Nation’s Fifth-Largest Housing Developer to Retrofit Record Number of Apartments for People With Disabilities, Create National Accessibility Fund
Dennis Norman
Today, the National Fair Housing Alliance (NFHA) and its member fair housing organizations in Atlanta, Ga., Melbourne, Fla., and Napa and Marin, Calif., announced a landmark agreement with the A.G. Spanos Companies to increase housing accessibility for people with disabilities. Under the agreement, the nation’s fifth largest builder of residential real estate will retrofit properties in Arizona, California, Colorado, Georgia, Florida, Kansas, Missouri, Nevada, New York, North Carolina, and Texas at an estimated cost of $7.4 million. Continue reading Landmark Civil Rights Agreement Will Increase Housing Accessibility Across Country
Home-buyers mortgage activity increases from week before…down from a month ago though
Dennis Norman
The Mortgage Bankers Association (MBA) released its weekly mortgage applications survey for the week ending January 8, 2010. The report showed the MBA Purchase Index (a measure of the volume of loan applications related to a home purchase) increased 14.3 percent from the week before and the four-week moving average for the index is down 6.4 percent.
Lower List Prices and Fewer Price Reduced Homes Point to More Realistic Seller Pricing in December 2009
According to a report issued by ZipRealty there were 17,741 fewer homes listed for sale in December with reduced prices which represents a decline of 7.1 percent compared to November. This data is from a monthly survey of Multiple Listing Services (MLS) in 27 major U.S. markets conducted by the national online real estate brokerage ZipRealty. Continue reading Fewer homes on market with reduced prices in December
It’s not surprising, that according to Zip Realty foreclosures and short sales dominated the U.S. housing market last year and were the driving force for the real estate roller coaster ride of 2009.
The Mortgage Bankers Association (MBA) today released its Commercial Real Estate/Multifamily Finance Quarterly Data Book for the third quarter of 2009. Though technically the third quarter likely marked the end of the recession, strains on various parts of the commercial/multifamily real estate market continue to be felt.This analysis focuses on the overall state of the economy and the resulting impacts on real estate fundamentals, mortgage origination’s, mortgage debt outstanding and mortgage performance in the third quarter. Continue reading Commercial/Multifamily Real Estate Market Continues to Feel Effects of Economic Downturn
So what am I talking about? The pending home sales data that was released by the National Association of REALTORS today, of course. Actually I could be referring to any data on the housing market whether new home sales, foreclosure rates, interest rates, existing home sales or inventories of homes for sale. Continue reading Let’s play ’spin the data’
The author and owner of this site are providing the information on this web site for general information only. The information on this site does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind nor should it be construed as such. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action on this information, you should consult a qualified professional adviser to whom you have provided all of the facts applicable to your particular situation or question. None of the tax information on this web site is intended to be used nor can it be used by any taxpayer, for the purpose of avoiding penalties that may be imposed on the taxpayer. The information is provided as is, with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose
Other highlights from ZipRealty’s January Housing Inventory Index include:
Homeowners taking advantage of near record-low interest rates and refinancing their existing mortgages continue to dominate the mortgage application activity this week, with refinances making up 69.2 percent of loan applications for the week. ARM’s continue to be unpopular among borrowers and only make up 4.5 percent of new mortgage loans.
the “rate” of new home sales paints a realistic picture of the market. I think this holds especially true when we have artificial forces affecting the housing market such as tax credits and other incentives. This can create unseasonal bursts or declines in sales that don’t really have anything to do with the underlying fundamentals of the housing market.
A national survey released yesterday by 
While some of the “hottest” real estate markets in the country — those where homes are selling most above their list prices — continue to be distressed areas dominated by heavily discounted prices, a report issued by 
Recent Comments