2012 Housing Market Finishes Strong

January 18, 2013 by · Comments

home-sales-upWithout question, 2012 was the long hoped-for turnaround year for the housing market. The RE/MAX National Housing Report shows a broad recovery across the country, with both home sales and prices rising almost every month of the year. For December, the number of home sales was up 3.8% and the median price of those homes rose 7.6%. Throughout the year, a favorable combination of record low interest rates, affordable prices and a shrinking inventory created opportunities that many consumers could not resist. The inventory of homes for sale fell each month of the year, ending the year at a level 29.1% below the inventory of December 2011. A reduced inventory helped home prices rise, but also made it difficult for many buyers to find the home of their dreams. The New Year should see the same trends continue.

“We can finally say that the worst of the housing crisis is now behind us, as 2012 saw dramatic increases in both sales and prices, with home buyers and sellers coming back to the market in numbers we’ve been anticipating for years,” said Margaret Kelly, CEO of RE/MAX, LLC. “The market started 2012 with a great surge, and we’re hoping that 2013 will be even stronger. We’re not completely out of the woods, but we’re well on the way to a solid and sustainable recovery.”

This is an excerpt from the RE/MAX National Housing Report; read the full two-page report here.

 

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A Happy Ending

January 31, 2012 by · Comments

I recently received an email with a photo attachment from Kelly Berkley with RE/MAX Results in Eden Prairie, MN.  Her positive words and outlook on the current housing market were a nice reminder that, even though some national reports on the housing market and its recovery are glum, dreams are coming true daily and happy endings are a reality.  I thought you might also like to see it:

“This young, newlywed couple could only afford a small, small mortgage payment. (“Find us a house that is cheaper than rent” said the buyers!).   They both work full time, and go to school almost full time. With a down payment in the bank, the search began.  This little jewel of a cottage was found, negotiations were firm and quick, and they moved in before Halloween.   Their first new purchase was a big bag of candy to pass out to the little costumed trick-or-treaters!

Foreclosed properties can have a  happy ending, and this is a fine example.

This entry level segment of my my market will never make me rich. But these two have a ton of friends, and have already sent me 2 referrals.  Working with sweet, solid young people is a great pleasure.  They learned patience, endurance, and an entire semester of economics, business, and savings and loan procedures.  They in turn teach their friends, and so on, and so on.  They are the future.  They are a wonderful part of my sphere of influence.  They also happen to be my son and his precious bride.”

Thanks for sharing, Kelly!  If you have a positive story to share, email me at pr@remax-nc.net.

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Housing Market Rebound Seen in 2012

January 11, 2012 by · Comments

housingoutlook_0RE/MAX Agents See a Recovering Housing Market in the New Year

The U.S. housing market will continue a slow recovery in 2012, led by stabilizing home prices and increasing sales.  Those are among the key findings of a year-end survey of one thousand RE/MAX real estate agents who say housing’s vital signs are gaining strength.  The quarterly RE/MAX Market Insights survey provides analysis of the national housing market from the perspective of active RE/MAX agents around the country.

Improving numbers

The majority of RE/MAX agents surveyed say housing prices will stay the same, or increase in 2012. Projections are the strongest for the Southern U.S. where 49.6% say prices will stabilize and 26.7% anticipate an increase. Agents in the Northeast see the biggest challenges, with 47.5% concluding that prices will decrease, 44.6% expecting prices to remain at 2011 levels, and only 7.9% anticipating an increase.

Nationwide, RE/MAX agents reported a 10.7% increase in their home sales in 2011, and project an increase of 29.3% in 2012. Asked to measure the strength of home sales, 62.1% of agents predict good to very good sales in 2012. Survey results are also available in an online infographic.

“A sense that home prices and sales are improving indicates that the housing market is positioned for a gradual recovery in 2012,” said RE/MAX Chief Executive Officer Margaret Kelly. “These agents have the best perspective on industry trends since they average more home sales than agents with any other national firm.”

Obstacles remain

The major obstacles to the housing recovery cited by agents include sagging consumer confidence, followed by lack of economic growth, unemployment, concerns of more price declines and bank procedures.

Agents report that 52% of closings were significantly delayed in 2011, with bank procedures cited as the cause in 23% of the cases, followed by financing and appraisals. For sales that were canceled, bank procedures again was the leading reason, while financing, sales price and appraisals also were factors.

The majority of agents say such delays and cancellations were higher in 2011, than in 2010.

Buyers and sellers more realistic

Asked to grade buyers and sellers on how realistic they are about home prices, RE/MAX agents gave both groups a B-. That compares with a C+ for buyers and a C- for sellers at the start of 2011.

Common misconceptions reported by RE/MAX agents are sellers thinking their home is still worth as much as it was four or five years ago before the housing slump, and buyers believing that extremely low offers will eventually be accepted.

“It’s certainly a positive trend that buyer and seller perceptions are changing to adjust to current conditions,” Kelly said. “Those who are misinformed and try to time the market, rather than address immediate housing needs, can lose valuable opportunities.”

Other findings of the RE/MAX Market Insights survey, conducted Dec. 7-19 among randomly selected agents, include:

• Market bottoming out: Thirty-nine percent said their markets have already hit bottom; 34% say prices will stop dropping in 2012; 27% says prices will reach their lowest point in 2013 or beyond.

• What government can do to help housing market recover: 1) Streamline short-sale process; 2) Focus on job creation; 3) Increase refinancing help for underwater home owners; 4) Standardize lending practices; 5) Release foreclosed properties more aggressively.

• Five most common buyer incentives that agents are seeing: 1) Reduce sales price; 2) Pay closing costs; 3) Make repairs; 4) Buy home warranty; 5) Pay origination fees or points.

• Distressed sales: RE/MAX agents project that 20.3% of their home sales in 2012 will consist of foreclosures and short sales. That compares with 17.1% in 2011 and 15% in 2010.

RE/MAX agents have sold more real estate in the U.S. than any other company since 1998. They averaged 13.1 sales per agent in 2010. To find an agent or view homes for sale, go to www.remax.com.

Online survey of 1,004 U.S. RE/MAX agents specializing in residential real estate, conducted in December 2011.   ©2012 RE/MAX, LLC. Each office independently owned and operated.

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“This Market is Trying Hard to Stabilize Itself”

December 20, 2011 by · Comments

home-sales-upNovember home sales were 8.1% higher than sales in November 2010, according to The RE/MAX Monthly Housing Report, a survey of housing data from 53 metropolitan areas. November is the 5th consecutive month to show a year-over-year sales increase. At the same time, the number of homes for sale, or inventory, continued to fall for the 17th straight month. November home prices were 1.4% higher than October, making the 5th month in 2011 that prices have risen month-to-month. However, home prices remained 4.2% lower than prices in November last year.

“This market is trying hard to stabilize itself with home sales significantly stronger than one year ago, even though we are entering the holiday season when sales traditionally decline,” said Margaret Kelly, CEO of RE/MAX, LLC. “With sales trending higher and inventory falling, we would expect the result to be rebounding prices when we enter the stronger selling season next spring and summer.”

Read the complete RE/MAX National Housing Report.

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ADMINISTRATION PLAN HELPS HOMEOWNERS REFI

October 25, 2011 by · Comments

atc_balloonRE/MAX Supports Efforts to Curb Foreclosures

The Obama Administration announced plans Monday to assist struggling homeowners, providing hope for those who haven’t been able to refinance because their home values are underwater. The restructuring could curb foreclosures, especially in hard hit markets like Las Vegas where Obama delivered his housing proposal.

The movement has drawn praise from many including one of real estate’s most prominent leaders, RE/MAX Chairman and Co-Founder Dave Liniger. Liniger has been influential in government policy-making and has been an outspoken proponent of housing initiatives and reform in Washington, D.C. He applauds the administration’s move through executive means calling it “the right action at the right time.”

“The problems in the housing market have to be addressed to further economic recovery and it means taking aggressive action. We can’t wait,” said Liniger, who has met with government and industry officials throughout the year. “This type of reform is crucial in getting help for diligent borrowers, giving homeowners who have a chance to reduce their payments and save their homes the means to do so. We can’t afford a higher inventory of homes on the market right now. Something needs to be done and this will certainly help.”

The new program outlined by the Administration would expand the Home Affordable Refinance Program (HARP) to borrowers who are making on-time payments on their current loans regardless of how much their home value has dropped. Previously the program was available only to borrowers whose mortgages were no greater than 125 percent of the value of their homes. The loans must be owned or guaranteed by Fannie Mae or Freddie Mac.

“These are important steps that will help more homeowners refinance at lower rates, save consumers money and help get folks spending again,” Obama said in his speech. The administration hopes the move will curb foreclosures, thereby also helping home values slowly recover.

According to RealtyTrac®, September marked the 12th straight month where foreclosure activity decreased on a year-over-year basis. But, October’s report showed one in every 213 U.S. households with a foreclosure filing in the third quarter of 2011.

To find out more about the restructuring of HARP, see the HARP Fact Sheet.

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Looking for Some Good News?

August 20, 2011 by · Comments

home-sales-upHome sales are UP!  The National Housing Report from RE/MAX Headquarters (which looks at housing statistics from 53 major metros) and the Monthly Housing Report from RE/MAX North Central (which looks at the Twin Cities and Milwaukee metros’ housing markets) were distributed to the media earlier this week and they each show positive home sales for July when compared to July 2010!  Month-over-month comparisons weren’t nearly as favorable but some economic instabilities (i.e. the Minnesota state shutdown and the debt ceiling debate) no doubt hindered it a bit.  But regardless, the good news should be shared so go ahead, download the reports and spread the good word!

National Housing Report    /    Twin Cities Housing Report    /    Milwaukee Housing Report

Remember:

Feel free to use data from these report in your newsletters and promotional materials – just be sure to reference the RE/MAX National Housing Report, or the RE/MAX North Central Monthly Housing Report with data compiled by MAAR or GMAR, as your source.

 

 

 

 

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RE/MAX Monthly Housing Reports Now Available

May 19, 2011 by · Comments

RE/MAX North Central Regional Reports:

The Twin Cities and Milwaukee metro housing markets are gaining momentum.  As the latest RE/MAX Monthly Housing Reports show, the indicators are trending up and April may just be the start of what could be a very positive summer market!  Click the links below to view the full reports:

RE/MAX North Central Milwaukee Metro Housing Report

RE/MAX North Central Twin Cities Housing Report

 

(The RE/MAX North Central Monthly Housing Reports for the Twin Cities and Milwaukee Metro for April 2011 highlight housing statistics provided by the MLS and gathered on behalf of the Minneapolis Area Association of REALTORS® and the Greater Milwaukee Association of REALTORS®.  The reports have been distributed to Twin Cities and Milwaukee area publications and broadcast stations and are now available for download.)

RE/MAX World Headquarters National Housing Report:

Home sales for April were nearly unchanged from the high levels seen in March in the RE/MAX National Housing Report. Nearly a quarter of the transactions in April were investors, who may believe that prices have bottomed and interest rates will soon be heading higher. Inventory levels continue to fall and home prices were up 2.2% from March, marking the third month in a row that prices have risen in 2011. Perhaps due to several economic concerns, sales activity did not push higher in April, but with increasing investor activity, consumers may follow and jump in as summer approaches.

Click here to view the full RE/MAX National Housing Report.

(Feel free to use this data in your newsletters and promotional materials; just be sure to reference the RE/MAX National Housing Report as your source.)

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RE/MAX September National Housing Report Available

October 18, 2010 by · Comments

The RE/MAX National Housing Report for September is now available!  This report is a national summary which includes data from 55 cities across the country.  To view the summary, click here.  Feel free to use this data in your newsletters and promotional materials; just be sure to reference the RE/MAX National Housing Report as your source.

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