Buyers and Sellers See Spring Buying Season Blooming into Summer: Survey

 

topStories Tuesday, May 27, 2014
Buyers and Sellers See Spring Buying Season Blooming into Summer: Survey
Prudential Real Estate, an HSF Affiliates LLC real estate brokerage network, recently released the results of its first quarter Consumer Outlook Survey indicating that consumers’ perception of the residential real estate market is increasingly positive. And, following a long, tough winter, …Read More >

Applications for New Home Purchases Increased in April 2014

 

topStories Saturday, May 24, 2014
Applications for New Home Purchases Increased in April 2014
The Mortgage Bankers Association’s (MBA) Builder Application Survey (BAS) data for March 2014 shows mortgage applications for new home purchases increased by 5 percent relative to the previous month. This change does not include any adjustment for typical seasonal patterns. By product type, conventional loans composed 68.4 percent of loan applications, …Read More >

Existing-Home Sales Pick Up in April

 

topStories Friday, May 23, 2014
Existing-Home Sales Pick Up in April
Existing-home sales increased for the first time this year in April, while inventory meaningfully increased and home price growth moderated, according to the National Association of Realtors® Monthly sales gains in the West and South offset a modest decline in the Midwest while the Northeast was unchanged. Total existing-home sales, which are completed transactions that include single-family homes, townhomes, …Read More >

NAR Member Survey Shows Rise in REALTOR(R) Income and Sales Volume

 

topStories Thursday, May 22, 2014
NAR Member Survey Shows Rise in REALTOR(R) Income and Sales Volume
Reflecting the 11.5 percent growth in home prices last year, income and sales volume jumped for the third year in a row, according to the 2014 National Association of REALTORS® Member Profile. The survey also found an increase in new and younger members to NAR in 2013. …Read More >

Institutional investors, led by private-equity giants

 

Some of the country’s richest, and savviest financiers have created a
multibillion-dollar
industry over the past year and a
half.

Institutional investors, led by private-equity giants
Blackstone LLC
and Colony
Financier Inc., have fire-housed money into
the traditionally mom-and-pop business
of buying discounted single-family
houses, renovating them, and then renting them out.

In the past year,
deep-pocketed investors have scooped up tens of thousands of
distressed
properties.

Learn more about this shift in real estate, and see where
institutional investors
are planting billions and billions of
dollars.

Read
the Full Comprehensive Article here

Cash Is King

 

In 17 of the largest U.S. cities, 32 percent of homes purchased so far in 2014 were paid for with all cash. All-cash purchases have been at this level – or even higher – since 2011. The rise in all-cash purchases began in 2007 as the housing bubble popped, and cash purchases accounted for nearly a third of all purchases by 2011. Tighter mortgage lending standards, investor purchases and fewer homes on the market have all contributed to keeping that rate high.

Percentage of all-cash buyers from 2000 to 2014

Percentage of all-cash buyers from 2000 to 2014

The largest percentages of homes purchased without a mortgage are at the low and high ends of the market. As home prices get into the upper echelon, all-cash purchases become more likely. Miami, Las Vegas, Chicago and Phoenix have the highest percentage of all-cash purchases, while Washington, D.C., Denver, Baltimore and Portland have the lowest percentage.

Percentage of all-cash home purchases across U.S. metros, by price range

Percentage of all-cash home purchases across U.S. metros, by price range

All-Cash Purchases Less Common In $200,000 to $600,000 Homes

The good news for homebuyers in large metro areas who don’t have a stash of cash is that these all-cash purchases are less common in the middle price range, from $200,000 to $600,000. With over 50 percent of purchases falling in that range, it means that a large group of homebuyers will be a bit less likely to face all-cash offers. In this middle range of home prices, Washington, D.C. (15%), Denver (16%), Baltimore (14%), Portland, Ore. (18%) and Boston (20%) had the lowest percentage of all-cash buyers.

Financed Purchases Not Back to 2000 Levels

In 2000, across the 17 metros, there were 800,000 home purchases financed with a mortgage. By 2011, that number had plummeted to 440,000 and had only recovered to 520,000 in 2013. And while interest rates today are still appealing, tighter lending standards mean less-qualified buyers who don’t have hundreds of thousands of dollars saved up have not entered or re-entered the housing market. Mel Watt, the overseer of Fannie and Freddie (who back the majority of new mortgage loans), recently said we should be making more credit available to homeowners. But there is a sliver of good news: Financed home purchases have been on the rise since 2011, while all-cash purchases remained flat from 2012 to 2013. If this trend continues, financed buyers will face fewer situations where they are competing against all-cash buyers.

All-cash and financed home purchase volume from 2000 to 2013

All-cash and financed home purchase volume from 2000 to 2013

The post Cash is Still King in

Housing Supply and Demand Continue to Yield Unexpected Results

 

topStories Wednesday, May 21, 2014
Housing Supply and Demand Continue to Yield Unexpected Results
Freddie Mac recently released its U.S. Economic and Housing Market Outlook for May, showing that regular supply and demand forces continue to produce unexpected results as the housing recovery readies to shift into a higher gear during the spring home buying season. The complete …Read More >

Celebs, VIPs and the Super Rich: How to become a Successful REALTOR(R) to the Stars

 

topStories Tuesday, May 20, 2014
Celebs, VIPs and the Super Rich: How to become a Successful REALTOR(R) to the Stars
Here at Great Spaces, we highlight the best of the best: lavish, magnificent properties owned by celebrities and other filthy rich clientele. Let’s face it: gawking at homes of the rich and famous that we will never be able to afford is (regrettably) a guilty pleasure we all enjoy. Whether recently sold or just hitting the market, Great Spaces has been …Read More >

Applications for New Home Purchases Increased in April 2014

 

topStories Saturday, May 17, 2014
Applications for New Home Purchases Increased in April 2014
The Mortgage Bankers Association’s (MBA) Builder Application Survey (BAS) data for March 2014 shows mortgage applications for new home purchases increased by 5 percent relative to the previous month. This change does not include any adjustment for typical seasonal patterns. By product type, conventional loans composed 68.4 percent of loan applications, …Read More >