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Showing posts with label real estate market. Show all posts
Showing posts with label real estate market. Show all posts
Monday, June 4, 2012
The best priced property in the exclusive Liberty subdivision
Tuesday, April 17, 2012
Monday, February 6, 2012
Tuesday, April 19, 2011
1439 Snowberry, Allen, Texas
Call me today for your private viewing of this home. Priced to sell quickly! 972-254-2011
Wednesday, November 24, 2010
Thursday, April 15, 2010
Wednesday, September 23, 2009
Monday, June 1, 2009
Friday, February 13, 2009
Thursday, January 15, 2009
Mortgage Applications Rise as Refinancing Jumps
Mortgage Applications Rise as Refinancing Jumps
U.S. mortgage applications jumped in the first full week of 2009 as record low interest rates spurred the greatest demand for home refinancing loans in over 5-1/2 years, data from an industry group showed on Wednesday.
Low mortgage rates, however, have yet to fuel demand for loans to purchase homes.
The Mortgage Bankers Association said its seasonally adjusted index of mortgage applications, which includes both purchase and refinance loans, for the week ended Jan. 9 increased 15.8 percent to 1,324.8, the highest reading since the week ended July 11, 2003, when it reached 1,358.2.
Thirty-year mortgage rates have dropped dramatically since the Federal Reserve unveiled a plan in late November to buy as much as $500 billion of mortgage securities backed by Fannie Mae [FNM 0.66 -0.03 (-5.06%) ], Freddie Mac [FRE 0.65 -0.05 (-6.56%) ] and Ginnie Mae.
The program also entails buying up to $100 billion of debt issued by Fannie Mae, Freddie Mac and the Federal Home Loan Banks.
The refinance share of applications increased to 85.3 percent from 79.8 percent the previous week, the highest level since the MBA started conducting its survey in 1990.
Spencer Rascoff, chief operating officer at Zillow.com, an online real estate service company based in Seattle, said loan requests to his company are up more than 200 percent from just two months ago, with loan requests on pace to hit about 25,000 in January and loan quotes on pace to hit 200,000.
"Many experts agree that rates will stay relatively low for at least the next few months since the federal government is now committed to buying mortgage-backed securities to keep borrowing costs low," Rascoff said on Tuesday.
"But the future of rates isn't certain, so locking in these low rates now is a smart move," he said.
Borrowing costs on 30-year fixed-rate mortgages, excluding fees, averaged 4.89 percent, down 0.18 percentage point from the previous week, the lowest level recorded in the MBA's survey's history.
Interest rates were well below year-ago levels of 5.77 percent.
"Our business has definitely increased dramatically in the past few weeks with rates dropping," Melissa Cohn, chairman and chief executive CEO of Manhattan Mortgage Company in New York, said on Tuesday.
Cohn said the telephones at her company have been ringing off the hook and while the company has not hired additional staff, it has retained as many people as possible.
"We are just working twice as hard to handle the increased volume," she said.
Meanwhile, though, the MBA's seasonally adjusted purchase index fell 14.1 percent to 295.8.
The four-week moving average of mortgage applications, which smoothes the volatile weekly figures, was up 10.8 percent.
Weekly Refinancing Activity Surges
The prospect of affordable home financing has provided a glimmer of hope for the U.S. economy with the housing market in the worst downturn since the Great Depression.
Mortgages
30 yr fixed 5.09% 5.25%
30 yr fixed jumbo 6.79% 6.91%
15 yr fixed 4.73% 4.95%
15 yr fixed jumbo 5.73% 5.83%
5/1 ARM 5.71% 5.16%
5/1 jumbo ARM 5.84% 5.10%
The Mortgage Bankers seasonally adjusted index of refinancing applications jumped 25.6 percent to 7,414.1, the highest reading since the week ended June 27, 2003, when it reached 8,599.1.
The adjustable-rate mortgage share of activity increased to 1.1 percent, up from 0.9 percent the previous week.
Fixed 15-year mortgage rates averaged 4.63 percent, down from 4.67 percent the previous week.
Rates on one-year ARMs decreased to 5.89 percent from 5.90 percent.
Copyright 2009 Reuters. Click for restrictions.
U.S. mortgage applications jumped in the first full week of 2009 as record low interest rates spurred the greatest demand for home refinancing loans in over 5-1/2 years, data from an industry group showed on Wednesday.
Low mortgage rates, however, have yet to fuel demand for loans to purchase homes.
The Mortgage Bankers Association said its seasonally adjusted index of mortgage applications, which includes both purchase and refinance loans, for the week ended Jan. 9 increased 15.8 percent to 1,324.8, the highest reading since the week ended July 11, 2003, when it reached 1,358.2.
Thirty-year mortgage rates have dropped dramatically since the Federal Reserve unveiled a plan in late November to buy as much as $500 billion of mortgage securities backed by Fannie Mae [FNM 0.66 -0.03 (-5.06%) ], Freddie Mac [FRE 0.65 -0.05 (-6.56%) ] and Ginnie Mae.
The program also entails buying up to $100 billion of debt issued by Fannie Mae, Freddie Mac and the Federal Home Loan Banks.
The refinance share of applications increased to 85.3 percent from 79.8 percent the previous week, the highest level since the MBA started conducting its survey in 1990.
Spencer Rascoff, chief operating officer at Zillow.com, an online real estate service company based in Seattle, said loan requests to his company are up more than 200 percent from just two months ago, with loan requests on pace to hit about 25,000 in January and loan quotes on pace to hit 200,000.
"Many experts agree that rates will stay relatively low for at least the next few months since the federal government is now committed to buying mortgage-backed securities to keep borrowing costs low," Rascoff said on Tuesday.
"But the future of rates isn't certain, so locking in these low rates now is a smart move," he said.
Borrowing costs on 30-year fixed-rate mortgages, excluding fees, averaged 4.89 percent, down 0.18 percentage point from the previous week, the lowest level recorded in the MBA's survey's history.
Interest rates were well below year-ago levels of 5.77 percent.
"Our business has definitely increased dramatically in the past few weeks with rates dropping," Melissa Cohn, chairman and chief executive CEO of Manhattan Mortgage Company in New York, said on Tuesday.
Cohn said the telephones at her company have been ringing off the hook and while the company has not hired additional staff, it has retained as many people as possible.
"We are just working twice as hard to handle the increased volume," she said.
Meanwhile, though, the MBA's seasonally adjusted purchase index fell 14.1 percent to 295.8.
The four-week moving average of mortgage applications, which smoothes the volatile weekly figures, was up 10.8 percent.
Weekly Refinancing Activity Surges
The prospect of affordable home financing has provided a glimmer of hope for the U.S. economy with the housing market in the worst downturn since the Great Depression.
Mortgages
30 yr fixed 5.09% 5.25%
30 yr fixed jumbo 6.79% 6.91%
15 yr fixed 4.73% 4.95%
15 yr fixed jumbo 5.73% 5.83%
5/1 ARM 5.71% 5.16%
5/1 jumbo ARM 5.84% 5.10%
The Mortgage Bankers seasonally adjusted index of refinancing applications jumped 25.6 percent to 7,414.1, the highest reading since the week ended June 27, 2003, when it reached 8,599.1.
The adjustable-rate mortgage share of activity increased to 1.1 percent, up from 0.9 percent the previous week.
Fixed 15-year mortgage rates averaged 4.63 percent, down from 4.67 percent the previous week.
Rates on one-year ARMs decreased to 5.89 percent from 5.90 percent.
Copyright 2009 Reuters. Click for restrictions.
Monday, January 12, 2009
Local market from my perspective
From Thanksgiving to the end of January, the Real Estate Market has typically been very slow. This year is no exception.
Not to say that I haven't been selling, just selling a lot less than I normally do. The economy overall has been taking a pounding. Enough to shut down car manufacturers for short time periods which I never thought would happen.
When buyers are cautious about buying a sweater, television or even a car, can you imagine their thoughts about buying a house? We are all in this market together so I'm sure you understand where I'm coming from.
The good news for our market is #1. House prices in our market have not taken a beating. Are we down a little in value? Sure. But it is a slight correction and our home prices are stable and sound and have paved the way for #2. We have a strong job market. Business is moving out of high priced areas and coming to places where cost of living is much less. Dallas is the 3rd strongest market right now behind Seattle and Houston. #3. Business relocation will continue to bring new buyers into our market and builders have slowed with oversupply. This should start healing the balance between supply and demand.
Call me and lets talk your real estate needs through. Thanks JJ.
Not to say that I haven't been selling, just selling a lot less than I normally do. The economy overall has been taking a pounding. Enough to shut down car manufacturers for short time periods which I never thought would happen.
When buyers are cautious about buying a sweater, television or even a car, can you imagine their thoughts about buying a house? We are all in this market together so I'm sure you understand where I'm coming from.
The good news for our market is #1. House prices in our market have not taken a beating. Are we down a little in value? Sure. But it is a slight correction and our home prices are stable and sound and have paved the way for #2. We have a strong job market. Business is moving out of high priced areas and coming to places where cost of living is much less. Dallas is the 3rd strongest market right now behind Seattle and Houston. #3. Business relocation will continue to bring new buyers into our market and builders have slowed with oversupply. This should start healing the balance between supply and demand.
Call me and lets talk your real estate needs through. Thanks JJ.
Friday, January 9, 2009
Citi Reaches Agreement on home loans
WASHINGTON (AP) -- Democratic lawmakers have reached a deal with Citigroup Inc. on a plan to let bankruptcy judges alter home loans in an effort to prevent foreclosures and urged other lenders to follow suit.
The lawmakers aim to attach the plan to President-elect Barack Obama's economic stimulus legislation, and said Thursday the change in bankruptcy law could ease the foreclosure crisis that has dragged the economy into the worst recession in decades.
The compromise between Citigroup and Sens. Richard Durbin of Illinois, Charles Schumer and Christopher Dodd of Connecticut, would be limited to loans made before the bill is signed. Obama has said he backs the concept.
Schumer said he received calls Thursday from several banks - which he did not name - indicating their potential interest in supporting the idea.
"This is a breakthrough day," the senior senator from New York said in a news conference on Capitol Hill. "We've been stymied because the banking industry opposed this simple provision, which is key to getting a floor to the housing market."
In a letter to lawmakers, New York-based Citigroup's chief executive, Vikram Pandit, said the change to bankruptcy law "will serve as an additional tool to the extensive home-retention programs already in place to help at-risk borrowers."
The so-called "cramdown" proposal has been backed by Democrats over the past year as a potential solution to the foreclosure crisis. Consumer advocates and Democrats say it would prod the lending industry to be more aggressive about modifying loans because of the looming threat of having a bankruptcy judge involved.
But the lending industry has battled fiercely against the idea, arguing it would force lenders to hike mortgage rates because they would have to charge more for loans that could be altered later by a judge.
"This would hurt the housing market at the exact time we're trying to stimulate it," said Scott Talbott, chief lobbyist at the Financial Services Roundtable, which represents large banks and insurance companies.
To qualify, borrowers would need to demonstrate that they have asked their lender for a loan modification before filing for bankruptcy.
Currently, a 1993 Supreme Court decision bars judges from altering first mortgages on primary homes, though such changes are allowed on loans for vacation homes, motorcycles, boats and other kinds of property.
Consumer advocates say that is unfair, while mortgage lenders contend it benefits the vast majority of borrowers who don't fall into bankruptcy because it keeps mortgage credit for primary residences cheap.
Other attempts by the government to deal with the surge in foreclosures over the past two years haven't made much of a dent in the problem.
A federal program, dubbed Hope for Homeowners, was intended to let 400,000 troubled homeowners swap risky loans for conventional 30-year fixed-rate loans with lower rates. But the early results have been disappointing, with fewer than 400 applications since the program's launch on Oct. 1.
In an interview earlier this week, a lobbyist for the mortgage industry vowed to keep the bankruptcy judge plan out of the economic recovery bill.
"We think that's an unwise move that could delay the stimulus package," said Francis Creighton, the Mortgage Bankers Association's chief lobbyist.
In a speech Thursday at George Mason University outside Washington, Obama asked Congress to work with him "day and night, on weekends if necessary" to pass an economic revival plan within the next few weeks so that it can be ready for his signature shortly after he takes office on Jan. 20
Obama promised to rewrite financial regulations and pledged to launch "a sweeping effort to address the foreclosure crisis so that we can keep responsible families in their homes."
The lawmakers aim to attach the plan to President-elect Barack Obama's economic stimulus legislation, and said Thursday the change in bankruptcy law could ease the foreclosure crisis that has dragged the economy into the worst recession in decades.
The compromise between Citigroup and Sens. Richard Durbin of Illinois, Charles Schumer and Christopher Dodd of Connecticut, would be limited to loans made before the bill is signed. Obama has said he backs the concept.
Schumer said he received calls Thursday from several banks - which he did not name - indicating their potential interest in supporting the idea.
"This is a breakthrough day," the senior senator from New York said in a news conference on Capitol Hill. "We've been stymied because the banking industry opposed this simple provision, which is key to getting a floor to the housing market."
In a letter to lawmakers, New York-based Citigroup's chief executive, Vikram Pandit, said the change to bankruptcy law "will serve as an additional tool to the extensive home-retention programs already in place to help at-risk borrowers."
The so-called "cramdown" proposal has been backed by Democrats over the past year as a potential solution to the foreclosure crisis. Consumer advocates and Democrats say it would prod the lending industry to be more aggressive about modifying loans because of the looming threat of having a bankruptcy judge involved.
But the lending industry has battled fiercely against the idea, arguing it would force lenders to hike mortgage rates because they would have to charge more for loans that could be altered later by a judge.
"This would hurt the housing market at the exact time we're trying to stimulate it," said Scott Talbott, chief lobbyist at the Financial Services Roundtable, which represents large banks and insurance companies.
To qualify, borrowers would need to demonstrate that they have asked their lender for a loan modification before filing for bankruptcy.
Currently, a 1993 Supreme Court decision bars judges from altering first mortgages on primary homes, though such changes are allowed on loans for vacation homes, motorcycles, boats and other kinds of property.
Consumer advocates say that is unfair, while mortgage lenders contend it benefits the vast majority of borrowers who don't fall into bankruptcy because it keeps mortgage credit for primary residences cheap.
Other attempts by the government to deal with the surge in foreclosures over the past two years haven't made much of a dent in the problem.
A federal program, dubbed Hope for Homeowners, was intended to let 400,000 troubled homeowners swap risky loans for conventional 30-year fixed-rate loans with lower rates. But the early results have been disappointing, with fewer than 400 applications since the program's launch on Oct. 1.
In an interview earlier this week, a lobbyist for the mortgage industry vowed to keep the bankruptcy judge plan out of the economic recovery bill.
"We think that's an unwise move that could delay the stimulus package," said Francis Creighton, the Mortgage Bankers Association's chief lobbyist.
In a speech Thursday at George Mason University outside Washington, Obama asked Congress to work with him "day and night, on weekends if necessary" to pass an economic revival plan within the next few weeks so that it can be ready for his signature shortly after he takes office on Jan. 20
Obama promised to rewrite financial regulations and pledged to launch "a sweeping effort to address the foreclosure crisis so that we can keep responsible families in their homes."
Tuesday, January 6, 2009
Economic and Market Watch Report 2nd Quarter 2008
Click here to veiew the best numbers regarding our North Texas Real Estate Information System Economci and Market Watch Report for the 2nd Quarter for 2008.
If you should have questions regarding this important information, please feel free to call. Like every year, the market takes a slow down from Thanksgiving to the end of January.
If you should have questions regarding this important information, please feel free to call. Like every year, the market takes a slow down from Thanksgiving to the end of January.
Friday, December 19, 2008
Message from Gov. Perry, Lt Gov. Dehurst, Speaker Craddick
Perry, Dewhurst and Craddick: Texas has economic edge 04:30 PM CST on Tuesday, December 16, 2008
Over the past several weeks, the news has been dominated by the worldwide financial crisis and the federal government's response, best described as wildly throwing borrowed money at problems, piling debt on top of debt.
In the midst of this turmoil stands Texas, a state with a remarkably durable economy that has led the nation in exports for six years, is home to more Fortune 500 companies than any other and created half the new jobs in the U.S. over a recent 12-month period.
Inquiring minds that want to know how we got here need look no further than the team approach we have taken to creating a fertile climate for economic development in Texas. When contemplating where to locate a company (and the jobs and investment that go with it), business owners are increasingly drawn to our state's low taxes, sensible regulatory climate and a legal system that protects them from frivolous lawsuits.
Imagine the financial situation our country would be in had the federal government applied the same principles that have made Texas the envy of the nation. America's current circumstances are not unlike those Texas faced in
2003 when we had to solve a $10 billion deficit. Rather than raise taxes or ask for a handout, we balanced the state budget the same way any family or business must: by bringing spending in line with income. Our common-sense solution was certainly unpopular in some quarters, but our willingness to choose the tougher course of action has clearly paid dividends with respect to our state's economic strength.
The unique spirit of teamwork among our three offices has extended through the years into other successful efforts, including overhauling our state's workers' compensation system, implementing innovative job creation vehicles like the Texas Enterprise Fund and investing in research and innovation through the Texas Emerging Technology Fund. In the months to come, we are committed to exploring the full range of options for funding our state's growing infrastructure needs. As teammates, we're not averse to butting heads, but we do so from a place of honest respect in the interest of improving the state we love so much.
The upcoming legislative session provides another opportunity to build on the foundations we established in past years and continue improving the quality of life in Texas. Surely, we face many challenges along the way, including unnecessary meddling by the federal government and costly mandates imposed by Congress. Our plan is to keep working together.
In the upcoming legislative session, we will remain focused on keeping the wheels of the Texas economy turning and Texans working. That includes greater efforts to ensure more deserving young people can afford college and that their education prepares them for an increasingly high-tech workplace.
We must also explore ways to further streamline our regulatory environment so we don't kill off companies already weakened by these tough times.
Our state's future economic viability also depends on our ability to provide Texas families, businesses, churches and schools the energy they need. We will strengthen our state's position as an energy leader with an all-of-the-above approach including nuclear, fossil fuels, wind, solar and more. These deliberate steps, shaped by careful planning, spirited debate and a shared passion for our state, will keep Texas moving forward.
We firmly believe our state's number one resource is Texans. Our job is to provide them an environment that encourages their success then get out of their way so they can do what Texans do best: work hard, take risks and create jobs. As leaders, but more importantly as Texans, we remain united in our efforts to maintain our economic edge and enhance the future prosperity of our great state.
Texas Gov. Rick Perry, Lt. Gov. David Dewhurst and Speaker of the House Tom Craddick co-authored this commentary.
Over the past several weeks, the news has been dominated by the worldwide financial crisis and the federal government's response, best described as wildly throwing borrowed money at problems, piling debt on top of debt.
In the midst of this turmoil stands Texas, a state with a remarkably durable economy that has led the nation in exports for six years, is home to more Fortune 500 companies than any other and created half the new jobs in the U.S. over a recent 12-month period.
Inquiring minds that want to know how we got here need look no further than the team approach we have taken to creating a fertile climate for economic development in Texas. When contemplating where to locate a company (and the jobs and investment that go with it), business owners are increasingly drawn to our state's low taxes, sensible regulatory climate and a legal system that protects them from frivolous lawsuits.
Imagine the financial situation our country would be in had the federal government applied the same principles that have made Texas the envy of the nation. America's current circumstances are not unlike those Texas faced in
2003 when we had to solve a $10 billion deficit. Rather than raise taxes or ask for a handout, we balanced the state budget the same way any family or business must: by bringing spending in line with income. Our common-sense solution was certainly unpopular in some quarters, but our willingness to choose the tougher course of action has clearly paid dividends with respect to our state's economic strength.
The unique spirit of teamwork among our three offices has extended through the years into other successful efforts, including overhauling our state's workers' compensation system, implementing innovative job creation vehicles like the Texas Enterprise Fund and investing in research and innovation through the Texas Emerging Technology Fund. In the months to come, we are committed to exploring the full range of options for funding our state's growing infrastructure needs. As teammates, we're not averse to butting heads, but we do so from a place of honest respect in the interest of improving the state we love so much.
The upcoming legislative session provides another opportunity to build on the foundations we established in past years and continue improving the quality of life in Texas. Surely, we face many challenges along the way, including unnecessary meddling by the federal government and costly mandates imposed by Congress. Our plan is to keep working together.
In the upcoming legislative session, we will remain focused on keeping the wheels of the Texas economy turning and Texans working. That includes greater efforts to ensure more deserving young people can afford college and that their education prepares them for an increasingly high-tech workplace.
We must also explore ways to further streamline our regulatory environment so we don't kill off companies already weakened by these tough times.
Our state's future economic viability also depends on our ability to provide Texas families, businesses, churches and schools the energy they need. We will strengthen our state's position as an energy leader with an all-of-the-above approach including nuclear, fossil fuels, wind, solar and more. These deliberate steps, shaped by careful planning, spirited debate and a shared passion for our state, will keep Texas moving forward.
We firmly believe our state's number one resource is Texans. Our job is to provide them an environment that encourages their success then get out of their way so they can do what Texans do best: work hard, take risks and create jobs. As leaders, but more importantly as Texans, we remain united in our efforts to maintain our economic edge and enhance the future prosperity of our great state.
Texas Gov. Rick Perry, Lt. Gov. David Dewhurst and Speaker of the House Tom Craddick co-authored this commentary.
Thursday, October 30, 2008
Dallas Fort Worth homes will hold their values
By STEVE BROWN / The Dallas Morning Newsstevebrown@dallasnews.com
One of the biggest worries for today’s homebuyer is the continued drop in home prices.
While cheaper housing costs are appealing, many consumers fret that prices will keep falling after they buy.
Texans shouldn’t be so concerned, according to a new report by the Center for Economic and Policy Research and the National Low Income Housing Coalition.
The analysis of the 100 largest U.S. home markets shows that Dallas-Fort Worth homebuyers are more likely to preserve home equity during the next four years.
Houston, D-FW and San Antonio are among the tops in the country in this forecast.
The study is based on a purchase of homes priced at 75 percent of the median price, which is about $150,000 in D-FW. The home purchase is financed at between 6 and 8 percent interest.
By 2012, the purchaser of a mid-priced home in Houston, D-FW and San Antonio will have, on average, more than $80,000 in equity in the house, the researchers predict.
While such forecasts are often academic, the trend it highlights toward higher home equity here is important. Almost a third of the metropolitan areas in the report are forecast to see a net decline in home equity during the same period.
The study concludes that home prices in “many communities have yet to hit bottom and significant price declines must be reckoned with.”
The remaining downside is worst in regions of the country that saw big run-ups in home prices before the current decline.
The researchers warn that it would be a mistake for governments to try and stop the current housing market correction and “maintain what are historically unprecedented high home prices.”
The positive outlook for Texas home equity growth isn’t a surprise to Mark Dotzour, top economist with Texas A&M University’s Real Estate Center.
“It confirms that there never was a price bubble in any Texas city and consequently the likelihood of equity increase is higher,” Dr. Dotzour said. “I find it interesting that their policy decision is to recommend that government allows prices to continue to fall.”
Median preowned home prices have fallen by between 2 percent and 3 percent in North Texas since peaking in mid-2007.
During the last year, nationwide home sales prices have dropped by more than 15 percent.
WHERE'S THE EQUITY?
Forecast of average home equity a buyer of a home priced at 75 percent of the median price could see during the next four years. From a comparison of 100 largest U.S. housing markets.
GREATEST INCREASES
McAllen
$90,795
Houston
$82,735
Dallas-Fort Worth
$81,338
San Antonio
$81,308
Rochester, N.Y.
$78,947
SHARPEST DECLINES
San Jose
-328,394
San Francisco
-226,489
Los Angeles
-168,069
Bridgeport, Conn.
-164,671
Oxnard, Calif.
$148,076
One of the biggest worries for today’s homebuyer is the continued drop in home prices.
While cheaper housing costs are appealing, many consumers fret that prices will keep falling after they buy.
Texans shouldn’t be so concerned, according to a new report by the Center for Economic and Policy Research and the National Low Income Housing Coalition.
The analysis of the 100 largest U.S. home markets shows that Dallas-Fort Worth homebuyers are more likely to preserve home equity during the next four years.
Houston, D-FW and San Antonio are among the tops in the country in this forecast.
The study is based on a purchase of homes priced at 75 percent of the median price, which is about $150,000 in D-FW. The home purchase is financed at between 6 and 8 percent interest.
By 2012, the purchaser of a mid-priced home in Houston, D-FW and San Antonio will have, on average, more than $80,000 in equity in the house, the researchers predict.
While such forecasts are often academic, the trend it highlights toward higher home equity here is important. Almost a third of the metropolitan areas in the report are forecast to see a net decline in home equity during the same period.
The study concludes that home prices in “many communities have yet to hit bottom and significant price declines must be reckoned with.”
The remaining downside is worst in regions of the country that saw big run-ups in home prices before the current decline.
The researchers warn that it would be a mistake for governments to try and stop the current housing market correction and “maintain what are historically unprecedented high home prices.”
The positive outlook for Texas home equity growth isn’t a surprise to Mark Dotzour, top economist with Texas A&M University’s Real Estate Center.
“It confirms that there never was a price bubble in any Texas city and consequently the likelihood of equity increase is higher,” Dr. Dotzour said. “I find it interesting that their policy decision is to recommend that government allows prices to continue to fall.”
Median preowned home prices have fallen by between 2 percent and 3 percent in North Texas since peaking in mid-2007.
During the last year, nationwide home sales prices have dropped by more than 15 percent.
WHERE'S THE EQUITY?
Forecast of average home equity a buyer of a home priced at 75 percent of the median price could see during the next four years. From a comparison of 100 largest U.S. housing markets.
GREATEST INCREASES
McAllen
$90,795
Houston
$82,735
Dallas-Fort Worth
$81,338
San Antonio
$81,308
Rochester, N.Y.
$78,947
SHARPEST DECLINES
San Jose
-328,394
San Francisco
-226,489
Los Angeles
-168,069
Bridgeport, Conn.
-164,671
Oxnard, Calif.
$148,076
Friday, October 10, 2008
New listings down
-J.J.'s opinion- Fewer homes on the market with shorter days on the market is a start to correcting our Dallas area housing market -end opinion-
The Dallas area has had one of the largest drops in home listings in the country in recent months, according to a new report.
Altos Research and Real IQ said Wednesday that during the last three months, the number of homes for sale in the Dallas area declined more than 9 percent.
Nationwide, home sales listings fell more than 4 percent on average in the research firm's 21-city comparison.
"While inventories have continued to slowly decline, they remain at historically high levels," Stephen Bedikian, partner and research director for Real IQ, said in the report. "The result is that prices remain under pressure in most markets.
"Until we see large and sustained declines in inventory, we're not going to see a market bottom."
That's less the case in Dallas, where home listings dropped 9.2 percent in the last three months, according to the report. Only Seattle, with 9.3 percent, has seen a bigger decline in the number of homes for sale.
Local statistics show the drop in pre-owned homes for sale may be even steeper. MLS listings fell 15 percent from a year earlier, according to September numbers.
And the number of vacant new homes on the market was down more than 25 percent from the peak.
But hard-hit housing markets are still seeing increases in the number of homes for sale. Listings rose last month in Phoenix, Philadelphia, Charlotte, N.C., and Boston, Altos Research reports.
And in 19 of the 26 markets the research firm tracks, it now takes more than 100 days on average to sell a home. The worst case is in Miami, where it takes six months on average to find a buyer.
The Dallas area has one of the shortest times in the country at 96 days, according to Altos.
Average home listing prices here were flat, according to the report, while they were down about 3 percent nationally in the last three months.
HOME LISTING INVENTORY
Percent change during previous three months.
BIGGEST DECLINES
Seattle: -9.3%
Dallas: -9.2%
Austin: -7.7%
Detroit: -7.3%
San Francisco: -7.3%
SOURCE: Altos Research and
The Dallas area has had one of the largest drops in home listings in the country in recent months, according to a new report.
Altos Research and Real IQ said Wednesday that during the last three months, the number of homes for sale in the Dallas area declined more than 9 percent.
Nationwide, home sales listings fell more than 4 percent on average in the research firm's 21-city comparison.
"While inventories have continued to slowly decline, they remain at historically high levels," Stephen Bedikian, partner and research director for Real IQ, said in the report. "The result is that prices remain under pressure in most markets.
"Until we see large and sustained declines in inventory, we're not going to see a market bottom."
That's less the case in Dallas, where home listings dropped 9.2 percent in the last three months, according to the report. Only Seattle, with 9.3 percent, has seen a bigger decline in the number of homes for sale.
Local statistics show the drop in pre-owned homes for sale may be even steeper. MLS listings fell 15 percent from a year earlier, according to September numbers.
And the number of vacant new homes on the market was down more than 25 percent from the peak.
But hard-hit housing markets are still seeing increases in the number of homes for sale. Listings rose last month in Phoenix, Philadelphia, Charlotte, N.C., and Boston, Altos Research reports.
And in 19 of the 26 markets the research firm tracks, it now takes more than 100 days on average to sell a home. The worst case is in Miami, where it takes six months on average to find a buyer.
The Dallas area has one of the shortest times in the country at 96 days, according to Altos.
Average home listing prices here were flat, according to the report, while they were down about 3 percent nationally in the last three months.
HOME LISTING INVENTORY
Percent change during previous three months.
BIGGEST DECLINES
Seattle: -9.3%
Dallas: -9.2%
Austin: -7.7%
Detroit: -7.3%
San Francisco: -7.3%
SOURCE: Altos Research and
Friday, October 3, 2008
Wednesday, October 1, 2008
Study: Dallas-Fort Worth has lowest risk of home price declines
11:11 AM CDT on Wednesday, October 1, 2008
By STEVE BROWN / The Dallas Morning News
stevebrown@dallasnews.com
The Dallas-Fort Worth area is tops in the latest forecast of future home values.
The North Texas cities were ranked as the least likely in the country to experience a sustained home price decline in mortgage insurance giant PMI Group’s newest report.
The D-FW area has less than a 1 percent chance of having lower home prices in two years, according to PMI Group’s new home price risk study.
The California-based insurer ranks about 50 U.S. cities based on the likelihood of home price declines.
All of Texas’ major markets were at the bottom of PMI’s ranking which was released Wednesday.
“Texas is looking better than anybody else,” said PMI economist David Berson. “The economy is dong much better in Texas than other places.
“And you didn’t get the huge run-up in prices that needs to be worked off.”
Even so, home prices in North Texas are down about 2.5 percent from a year ago, according to the latest estimate from Standard & Poor’s Case-Shiller Index.
But the PMI study takes a longer view, predicting where home prices will be in 24 months.
The insurer’s new risk assessment warns that there is almost a 100 percent chance that home prices in markets including Fort Lauderdale, Riverside, Calif. and Orlando will be lower in two years. Big home price declines are also likely in many other Florida, California and Nevada markets.
“This down cycle in housing is very different from those in the past,” said PMI spokesman Nate Purpura. “Typically, employment tanks and foreclosure follow. “In this cycle the foreclosures came first, then the unemployment, and now we’re hitting a second wave of foreclosures brought on by the unemployment,” he said.
“It’s essentially a double-whammy in the housing market and we’re likely still somewhere in the mid-point.”
HOW RISKY IS THE HOUSING MARKET?
Markets with the most and least risk of a home price decline, based on price appreciation, economic growth and affordability according to PMI Group, one of the country's largest mortgage insurance firms. An index of 100 means there is a 100 percent chance of home prices being lower in that area in two years.
MOST RISKY
Fort Lauderdale, Fla. 99.5
Riverside-San Bernardino, Calif. 99.5
Orlando-Kissimmee, Fla. 99.4
Miami 99.0
LEAST RISKY
Fort Worth-Arlington Less than 1
Dallas-Plano-Irving Less than 1
Houston-Sugar Land-Baytown Less than 1
Pittsburgh Less than 1
San Antonio Less than 1
By STEVE BROWN / The Dallas Morning News
stevebrown@dallasnews.com
The Dallas-Fort Worth area is tops in the latest forecast of future home values.
The North Texas cities were ranked as the least likely in the country to experience a sustained home price decline in mortgage insurance giant PMI Group’s newest report.
The D-FW area has less than a 1 percent chance of having lower home prices in two years, according to PMI Group’s new home price risk study.
The California-based insurer ranks about 50 U.S. cities based on the likelihood of home price declines.
All of Texas’ major markets were at the bottom of PMI’s ranking which was released Wednesday.
“Texas is looking better than anybody else,” said PMI economist David Berson. “The economy is dong much better in Texas than other places.
“And you didn’t get the huge run-up in prices that needs to be worked off.”
Even so, home prices in North Texas are down about 2.5 percent from a year ago, according to the latest estimate from Standard & Poor’s Case-Shiller Index.
But the PMI study takes a longer view, predicting where home prices will be in 24 months.
The insurer’s new risk assessment warns that there is almost a 100 percent chance that home prices in markets including Fort Lauderdale, Riverside, Calif. and Orlando will be lower in two years. Big home price declines are also likely in many other Florida, California and Nevada markets.
“This down cycle in housing is very different from those in the past,” said PMI spokesman Nate Purpura. “Typically, employment tanks and foreclosure follow. “In this cycle the foreclosures came first, then the unemployment, and now we’re hitting a second wave of foreclosures brought on by the unemployment,” he said.
“It’s essentially a double-whammy in the housing market and we’re likely still somewhere in the mid-point.”
HOW RISKY IS THE HOUSING MARKET?
Markets with the most and least risk of a home price decline, based on price appreciation, economic growth and affordability according to PMI Group, one of the country's largest mortgage insurance firms. An index of 100 means there is a 100 percent chance of home prices being lower in that area in two years.
MOST RISKY
Fort Lauderdale, Fla. 99.5
Riverside-San Bernardino, Calif. 99.5
Orlando-Kissimmee, Fla. 99.4
Miami 99.0
LEAST RISKY
Fort Worth-Arlington Less than 1
Dallas-Plano-Irving Less than 1
Houston-Sugar Land-Baytown Less than 1
Pittsburgh Less than 1
San Antonio Less than 1
Friday, September 26, 2008
Dallas housing market: Nations strongest market
With news of the Federal Reserve rate cut, anxieties about a declining housing market and a possible recession are spreading across the country. The good news for Dallasites is that the Dallas housing market is the strongest of any major city in the United States.
A recent PMI Group study reported that the risk of U.S. housing price declines remained low in many areas of the South, Midwest and Northwest. Among the 50 largest metropolitan statistical areas, Texas cities were the lowest and most stable in risk outlook during 2007.
Home prices in Dallas have avoided the speculative bubble that rapidly drove so much of America's real estate to record prices and record unsold inventory levels. To this point, home prices in the Dallas area increased a steady 17% over the last five years, while the U.S. averaged an extreme 53.5% increase during the same time period, according to the Office of Federal Housing Enterprise Oversight. Inevitably, the rest of the country now suffers from rising mortgage foreclosures, falling housing prices and weekly real estate auctions.
Dallas has consistently outpaced the rest of the country on nearly every important economic stability indicator and is currently running counter to national housing trends. There are three reasons why.
First, prices have remained stable in Dallas because the Metroplex has both favorable zoning regulations and an ample land supply, factors that allow the market to keep up with demand. Few restrictions and land availability give builders easy access to enter or leave the market depending on changing market conditions. This competition has proven to be highly responsive to the market and therefore effective in creating price and supply stability.
A second factor that supports the continued housing demand and stable home prices is that Dallas continues to experience a robust job market. For a city's housing growth to be stable and healthy, the demand must be reflective of internal job and income growth. Texas is adding jobs at the rate of almost 250,000 per year -- nearly double the rates of Florida, Arizona and New York. The Dallas metro area alone added more than 90,000 jobs last year, leading the nation as one of the top 10 cities in employment growth. An influx of jobs, incomes and availability of living space helps keep new and used house prices in the Metroplex safe from excessive price increases and corrections.
The third reason Dallas has avoided the current housing crisis is its physical location, central to both U.S. coasts and Mexico. The Dallas/Fort Worth International Airport, mild climate and prime location have helped attract diverse industries and a number of major corporate relocations. The Texas economy is one of the most diverse in the country, with major players in key long-term growth sectors, notably transportation, aerospace and defense, financial services, high-tech electronics, retail and wholesale trade.
To ensure that strong housing trends continue here, proactive steps have been initiated that keep our city's housing supply aligned with new consumer demands. For example, the Uptown housing landscape now accommodates buyers with many new housing options. Twenty years ago, few condos or high-end rentals were offered because there was inadequate infrastructure to support demand. As demand increased, zoning expanded to permit much higher densities with a mix of commercial, rental and retail properties in the area, transforming Uptown into an exciting urban experience.
Dallas developers have demonstrated real responsiveness to the needs of the market. Condo ownership and high-end apartment rentals are now a convenient alternative to single-family homes. Baby boomers who want to downsize and young adults who want to be close to Dallas' cultural offerings are creating a need for new development opportunities.
The Dallas residential market, especially for condominiums, is still emerging: Dallas is the fourth largest city in the country, but only the 16th largest condominium market. Condominiums typically account for 7.7% of the housing stock in the top 50 U.S. markets. In Dallas, however, they represent only 4.4% of available housing.
Condos eventually will be one of the strongest sectors in the marketplace, but the housing slowdown has affected the middle-market condo and luxury condo market, although some of the slowdown appears to be psychological.
Condos selling for less than $400,000 have been affected by the tightening mortgage supply, but decreasing rates should provide some relief. Condos priced at $650,000 to more than $1 million also have slowed as buyers sit on the sidelines. Drexel Development Co. continues to sell about three condos a month, compared to four a month in 2007.
Dallas, by virtue of its robust job growth, land resources and location, has avoided the major housing problems that beset other U.S. cities and can leverage continued economic success by viewing its land as a reusable resource and evolving its housing market to keep up with changing lifestyle demands.
EDELMAN is president of Drexel Development Co., which builds luxury apartments and condominiums.
A recent PMI Group study reported that the risk of U.S. housing price declines remained low in many areas of the South, Midwest and Northwest. Among the 50 largest metropolitan statistical areas, Texas cities were the lowest and most stable in risk outlook during 2007.
Home prices in Dallas have avoided the speculative bubble that rapidly drove so much of America's real estate to record prices and record unsold inventory levels. To this point, home prices in the Dallas area increased a steady 17% over the last five years, while the U.S. averaged an extreme 53.5% increase during the same time period, according to the Office of Federal Housing Enterprise Oversight. Inevitably, the rest of the country now suffers from rising mortgage foreclosures, falling housing prices and weekly real estate auctions.
Dallas has consistently outpaced the rest of the country on nearly every important economic stability indicator and is currently running counter to national housing trends. There are three reasons why.
First, prices have remained stable in Dallas because the Metroplex has both favorable zoning regulations and an ample land supply, factors that allow the market to keep up with demand. Few restrictions and land availability give builders easy access to enter or leave the market depending on changing market conditions. This competition has proven to be highly responsive to the market and therefore effective in creating price and supply stability.
A second factor that supports the continued housing demand and stable home prices is that Dallas continues to experience a robust job market. For a city's housing growth to be stable and healthy, the demand must be reflective of internal job and income growth. Texas is adding jobs at the rate of almost 250,000 per year -- nearly double the rates of Florida, Arizona and New York. The Dallas metro area alone added more than 90,000 jobs last year, leading the nation as one of the top 10 cities in employment growth. An influx of jobs, incomes and availability of living space helps keep new and used house prices in the Metroplex safe from excessive price increases and corrections.
The third reason Dallas has avoided the current housing crisis is its physical location, central to both U.S. coasts and Mexico. The Dallas/Fort Worth International Airport, mild climate and prime location have helped attract diverse industries and a number of major corporate relocations. The Texas economy is one of the most diverse in the country, with major players in key long-term growth sectors, notably transportation, aerospace and defense, financial services, high-tech electronics, retail and wholesale trade.
To ensure that strong housing trends continue here, proactive steps have been initiated that keep our city's housing supply aligned with new consumer demands. For example, the Uptown housing landscape now accommodates buyers with many new housing options. Twenty years ago, few condos or high-end rentals were offered because there was inadequate infrastructure to support demand. As demand increased, zoning expanded to permit much higher densities with a mix of commercial, rental and retail properties in the area, transforming Uptown into an exciting urban experience.
Dallas developers have demonstrated real responsiveness to the needs of the market. Condo ownership and high-end apartment rentals are now a convenient alternative to single-family homes. Baby boomers who want to downsize and young adults who want to be close to Dallas' cultural offerings are creating a need for new development opportunities.
The Dallas residential market, especially for condominiums, is still emerging: Dallas is the fourth largest city in the country, but only the 16th largest condominium market. Condominiums typically account for 7.7% of the housing stock in the top 50 U.S. markets. In Dallas, however, they represent only 4.4% of available housing.
Condos eventually will be one of the strongest sectors in the marketplace, but the housing slowdown has affected the middle-market condo and luxury condo market, although some of the slowdown appears to be psychological.
Condos selling for less than $400,000 have been affected by the tightening mortgage supply, but decreasing rates should provide some relief. Condos priced at $650,000 to more than $1 million also have slowed as buyers sit on the sidelines. Drexel Development Co. continues to sell about three condos a month, compared to four a month in 2007.
Dallas, by virtue of its robust job growth, land resources and location, has avoided the major housing problems that beset other U.S. cities and can leverage continued economic success by viewing its land as a reusable resource and evolving its housing market to keep up with changing lifestyle demands.
EDELMAN is president of Drexel Development Co., which builds luxury apartments and condominiums.
Wednesday, September 17, 2008
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