Category: Buying

25 Jun 2010

Summer Is Here – What’s Next For Residential Housing?

As the historic residential “spring market” comes to a close and we enter the transition period following the expiration of the tax credits, I am often asked questions such as, “where does the real estate market stand?” and “what is next in the recovery plan?

Let’s look at the first half of 2010 to understand what we can expect moving forward.

Overall, the trends have been very favorable in 2010.  I can best illustrate what is happening by examining one of our regions. In May, 2,537 homes were sold and the average closing price was $212,454.  This was the largest number of closings and the second highest average sales price in the past 12 months.  This is indeed good news and is reflective of most of the Carolinas.

24 Jun 2010

Making the American Dream a Reality

Carl Sandburg told us that “nothing happens unless first we dream”.  A fundamental dream that is as American as apple pie is the dream of owning a home. 

That dream just got a boost earlier this month with the launch of a workforce housing program that will educate the public about affordable housing options.  It will also prepare REALTORS to lead the way when they complete a Workforce Housing Certificate Program.

Why put a program like this in place? The bottom line is that it just makes sense!

First time home buyers accounted for almost half of all home sales in 2009 and are projected to be the fastest growing segment of the housing market through 2012.  When we help our everyday heroes, like police, firefighters and school teachers join the ranks of homeowners we are building communities, stabilizing our neighborhoods and putting their dreams within reach.

21 Jun 2010

Why is Now the Time to Buy?

If you are in the market for a home or are thinking about purchasing a home…let me tell you now is the time to buy.  Interest rates are at a 25-year low and the inventory of homes available is high, which means the advantage lies with the buyer. So there is a perception that buying a home in today’s market can be an easy decision if you have a steady job, good credit and don’t have a home to sell.

Let’s take a closer look at that statement.

Historically, we could win on both sides of the transaction because America’s housing values were appreciating.  Within the past three year’s however, we have seen depreciation creep in, especially where acute price increases were enjoyed.  Like the stock market, we are recalculating our market values to reflect the new norm.

14 Jun 2010

What’s Up with the Upper End Market?

There has been a lot of conversation recently about the first time homebuyer’s tax credit and its effects on the market. But what about the upper end of the market, specifically homes priced at $750,000 and above?

To understand the current status, we need to review what impacts buyers and sellers in this part of the market:

  • Ability to get mortgages
  • Inventory of homes on the market
  • Consumer confidence

While the same 3 factors affect all buyers and sellers regardless of price point these trends affect the high-end buyer a little differently. Let’s take a look at how this group specifically has been affected.

10 Jun 2010

Taking a Look at the Triad

I’m often asked how the real estate market is doing in the Triad Region.  In fact, one person recently commented that if the real estate market is improving, then everything thing else will too.  Housing normally leads the economy and I have to say the last 60 days have been fun again!   The first quarter was a promising start for 2010 real estate sales in the Triad market. March was especially strong and the federal government’s tax credits helped stimulate more April sales.

For those who are trying to sell their home, just remember that selling a home is dependent upon numerous conditions, especially price and maintenance. If your home is priced correctly and is in great condition, it will take approximately 4 months to sell a house in the Triad.  The average number of days your home will spend on the market will also slowly decline as the spring market continues to accelerate.

7 Jun 2010

What Does Quality of Life Mean To You?

The long term health of a real estate market is impacted by several factors. Previously, I discussed the importance of supply and demand. Another factor that plays an equally important role is quality of life. Unlike supply and demand, quality of life is not objective.   What does it really mean?  How would you measure it?  How could it be impacted positively or negatively?

A recent survey from Portfolio answered all of these questions by comparing the performance of the country’s 67 largest metro areas in 20 statistical categories.  The highest scores went to well-rounded markets with healthy economies, moderate costs of living, light traffic, impressive housing stocks, and high powered education systems.  And…drum roll please….

Raleigh, NC ranks #1 and Charlotte, NC ranks #16.  Our only 2 qualifying metros and they are both in the top 20.

2 Jun 2010

How to Keep Score of Your Credit

Understanding how credit scores are determined has always been a mystery to me and in asking others about it, I realized that most people feel the same way. It is absolutely amazing to me that we know so little about something that has such a significant impact on our lives.

In an attempt to make Nancy Drew proud, I decided it was time to see what I could find out. I was only more frustrated after searching the internet as the information was overwhelming and inconsistent.  More confused than ever, I decided to attend a class on the topic.

Here’s what I learned…

Credit scores, also known as Beacon scores, are the main indicator used by lenders to determine your credit worthiness. The specifics on how your credit score is determined are as follows:

26 May 2010

To Market! To Market!

“How is the market doing?”  If I had a dime for every time someone asked me that … Over the past 24 months that seems to be the question on everyone’s mind.  I am happy to report that the market is recovering.

The health of any real estate market is based on the principle of supply and demand.  Supply and demand is generally impacted by three factors:  the availability of jobs in the market, consumer confidence, and the cost of home-ownership.  Moving one step above that is that fact that all real estate markets impact one another, especially in an area like the Carolina’s where many people relocate from other parts of the country.  If you can’t sell your house where you currently live, then you most likely can’t purchase in your new location.  Or if you have to sell for less where you currently live, then you might have to purchase differently in your new location.

25 May 2010

Oh to Be in the Carolinas in the Morning!

Sitting back and reflecting on the real estate industry, I am amazed at all that we have been through. There is no denying that over the past decade, we have lived through some extreme highs and extreme lows together. That being said, if we take a step back to examine the real estate market since 1950, it is clear that we are continuing to see forward progress. Today, we are adjusting and recalculating from a 5-year hiatus, which is why I felt the need for the Allen Tate Company to create a blog where myself and my Allen Tate team members can share with you information about home ownership. This is a very important topic to us and is one that covers buying and selling homes, mortgages and insurance, relocation and renovation as well as the state of national, regional and local housing markets.

As the sun rises on the residential housing market in America, there is an extra ray of light shining on the place I call home.

The I-40/85/77 corridor has been named among one of the strongest metropolitan areas in the country. In a nutshell, the Carolinas represent a region poised for unparalleled growth and attention. Why is this, you may ask? I attribute it to the economic diversity of our job clusters, climate (who could possibly say no to this weather?!), pro business attitudes, work ethic, quality of life, and cost of living to name just a few.

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