New Lease listing in Downtown LA $2,000/mo

May 7, 2013 By Leave a Comment


Brettany Harrison | Coldwell Banker Residential | (626) 272-0816
460 S Spring St Apt 502, Los Angeles, CA
Beautiful updated modern one bedroom condo w/ washer, dryer and 1 parking spot- Rowan Building
1BR/1BA Condo
$2,000/month
Bedrooms 1
Bathrooms 1 full, 0 partial
Sq Footage 720
Parking None
Pet Policy Cats, Dogs
Deposit $2,000

DESCRIPTION
This beautiful 1 bedroom loft that sits on the 5th floor of a Los Angeles historic landmark with 180 degree views of Los Angeles. With wood floors throughout, this urban place is perfect for someone looking to be in the middle of hip n trendy little soho. Offered is 24 hour security, spa and lounge room for studying or relaxing. Pets allowed! Being in the heart of downtown LA, you are very close to fabulous restaurants, entertainment and shopping all around. Call this loft your home today!
Los Angeles
see additional photos below
RENTAL FEATURES
- Living room - Dishwasher - Dryer
- Garbage disposal - Microwave - Refrigerator
- Stainless steel appliances - Washer - Central A/C
- Cable-ready - High-speed internet - Controlled access
- Doorman - Elevator - Secured entry
- Wheelchair access - Hardwood floor - Spa


COMMUNITY FEATURES
- Barbecue area - Covered parking - New property
- Vintage building    



LEASE TERMS
*Long term lease is desired.

*$2,000.00 Per Month

*$2,000.00 Security Deposit (Increased with pet)

*$35 Application Processing Fee

*Will work with Credit Issues, no Evictions

* Every Applicant over the age of 18 needs to apply

* Available for move IMMEDIATE move in

ADDITIONAL PHOTOS

Photo 7

Kitchen

Bedroom

Common Area – Lounge

Common Area – Lounge

Common Area – Lounge

Photo Common Area – Loung
Contact info:
Brettany Harrison
Coldwell Banker Residential
DRE Lic#01814189
(626) 272-0816

Posted: May 2, 2013, 11:11am PDT

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March home prices see biggest yearly gain in 7 years: CoreLogic

May 7, 2013 By 2 Comments

NEW YORK | Tue May 7, 2013 8:02am EDT

(Reuters) – Home prices rose in March, marking the biggest annual increase in seven years, in the latest sign of strength for the recovering housing market, a report from CoreLogic showed on Tuesday.

CoreLogic’s (CLGX.N) home price index jumped 1.9 percent from the previous month and accelerated by 10.5 percent compared to March last year.

That was the biggest year-over-year increase since March 2006, CoreLogic said.

Prices were even stronger excluding distressed sales, rising 2.4 percent from February and 10.7 percent from the year before. Distressed sales include homes that are in danger of foreclosure and properties that have already been seized by lenders.

Home prices have been rising since last year, helped by investor demand and tighter inventory. The top five states with the biggest gains in prices were Nevada, California, Arizona, Idaho and Oregon.

Prices likely continued to rise in April, CoreLogic said, though at a slower pace. Prices are seen rising 1.3 percent for the month and 9.6 percent on an annual basis.

(Reporting by Leah Schnurr; Editing by Richard Chang)

Courtesy of your Arcadia Real Estate Agent

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Look For Improvements In The Real Estate Market In 2013

March 7, 2013 By Leave a Comment

Published March 7, 2013

Home Prices Improving March 2013

The previous couple years’ doom and gloom outlook is looking like it is turning more upbeat and robust for the rest of 2013.

Home Prices Climb Nearly 10% Over Past Year

In fact, a recently released report by CoreLogic stated that home prices were up 9.7 percent from one year previously.

That kind of increase is a very good sign that the momentum may be building for a strong real estate market this year.

Many other economic experts are predicting that things might be improving this year, including increases in both home prices and sales.

Here are some of the ways that these positive changes may impact home buyers and sellers this year.

For Buyers:

Attractive Financing Options

Interest rates could remain at the lowest levels they have been in years, which can make purchasing a home more affordable.

Stiffer Competition

More buyers will be competing for the homes that are available which could mean bidding wars on homes with more than one interested party.

Be sure to take this into consideration before making your offer, and have a licensed real estate professional representing you in your purchase negotiations.

Great Home Prices

Housing remains affordable in many areas of the country. Although home prices are rising, the cost of real estate is well below what it was ten years ago.

And For Sellers:

Marketing Is Vital

Working with a skilled property professional is imperative to ensure the best advertising and marketing for your listing.

Real estate agents have access to the Multiple Listing Service (MLS), which is where other agents and buyers look for properties that are listed and available for purchase.

Contract Negotiations Prevalent

Multiple offers will become more commonplace. Do your research on how to best handle contract negotiations.

Maximize Your Selling Price

Make sure you get the most for your home. Know what other properties are selling for in your neighborhood, and consider hiring a designer to stage your home for showing.

With the Greenville real estate market shifting, both buyers and sellers need to be aware of how the changes could affect them.

Whether you’re looking for your dream house or wanting to get the highest return on your home for sale, a great next step would be speaking with a qualified real estate professional.

 

Courtesy of your Arcadia Real Estate Agent

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Is It Time To Buy Your New Home in the 2013?

February 25, 2013 By Leave a Comment
  • by Tom Royce
  • February 22, 2013

aseriousstill1The past 5 years have not been fun for real estate agents and builders. Being constantly on the defensive while trying to motivate buyers and sellers to move, lending standards that the Pope would be intimidated by, and an appraisal system that is suffering from post traumatic stress disorder has not helped ones digestive system.

Let’s face it, TUMS could have made a fortune sponsoring the National Association of Realtors.

But are the hard times in our rear view mirror? Take a look at this excerpt from the National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI):

In all, 74.9 percent of homes sold between the beginning of October and end of December were affordable to families earning the U.S. median income of $65,000. This was up nearly a percentage point from the 74.1 percent of homes sold that were affordable to median-income earners in last year’s third quarter.

“The most recent housing affordability data should be encouraging to many prospective home buyers, because it shows that homeownership remains within reach of median-income consumers even as most local markets appear to be on a recovery path,” said NAHB Chairman Rick Judson, a home builder from Charlotte, N.C.  He noted that the most recent reading of the NAHB/First American Improving Markets Index found that 259 out of 361 metros currently qualify as improving, including representatives from all 50 states and the District of Columbia.via the NAHB

Now we all know real estate is about the local market, but these numbers will help the national confidence and psyche when it comes to taking that next step. 259 out of 361 markets improving? That is fantastic news.

Then add the low interest rates so affordability is improved, sellers that are more realistic in their pricing, and we may have something going on here…

Nothing is worse than blowing smoke about something you are selling, and real estate agents (not to mention the National Association of Realtors) do not have the best reputation when it comes to being as upfront with their clients. But when you have a great product at a great price combined with a market that is enthused, selling homes becomes much more pleasant.

I have been pretty pessimistic watching the real estate world the past few years, but even I am thinking that we may sell our house this year and buy in our new town.

And if I am happy, you know things are looking up.

 

Courtesy of your Arcadia Real Estate Agent

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11 Breakfast In Bed Ideas for Valentine’s Day

February 12, 2013 By Leave a Comment

Valentine’s Day is coming and at Coldwell Banker we definitely believe in breakfast in bed.

Whether you love or despise Valentine’s day truth is breakfast is “the most important” meal of the day, so why not make breakfast on February 14th  special for a loved one in your life. Here are 11 super sweet ideas:

Cocoa Kissed Red Velvet Pancakes 

redvelvetpancakes 300x300 11 Breakfast In Bed Ideas for Valentines Day

Egg in the Basket 

eggsinabasket 300x280 11 Breakfast In Bed Ideas for Valentines Day

Chocolate Chip Scones 

scones 300x198 11 Breakfast In Bed Ideas for Valentines Day

Perfect Heart-Shaped Pancakes 

heartshapedpancakes 300x297 11 Breakfast In Bed Ideas for Valentines Day

Healthy Whole Wheat Cranberry Applesauce Muffins 

muffins 199x300 11 Breakfast In Bed Ideas for Valentines Day

Red Velvet Crepes 

crepe 300x199 11 Breakfast In Bed Ideas for Valentines Day

Valentine Smoothie (Strawberry Banana) 

smoothie 300x292 11 Breakfast In Bed Ideas for Valentines Day

Heart Cinnamon Rolls 

cinnamon 200x300 11 Breakfast In Bed Ideas for Valentines Day

Heart Shaped French Toast

frenchtoast 290x300 11 Breakfast In Bed Ideas for Valentines Day

Hot Chocolate with Marshmallow Hearts 

hot chocolate 11 Breakfast In Bed Ideas for Valentines Day

…and finally what says I Love You more than Heart Shaped Bacon?!

bacon 200x300 11 Breakfast In Bed Ideas for Valentines Day

 

Courtesy of your Arcadia Real Estate Agent

 

 

 

 

 

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10 Steps to Finding Your First Rental

February 6, 2013 By Leave a Comment

Apt. for rent

When you’re looking for an apartment for the first time, it can be overwhelming. The best way not to panic is to break the process down into 10 sequential steps. The timeline will mostly depend on how long it will take you to save the upfront cash you’ll need, but after the money is in the bank, you should be in your own place in no time.

Determine your price range

There are two common ways to do this: You can divide your monthly take-home income by three. (For example, if you take home $1,800 a month after taxes, you could afford a place that costs up to $600 per month.) Or divide your annual gross income (before taxes and other deductions) by 40. (For example, if you made $40,000 a year, you could afford a place that cost up to $1,000 per month.) Either way gives you a rough idea of your maximum budget.

Start saving

Before long, you’ll need to put down a security deposit (usually equal to one month’s rent), plus the first month’s rent. And that doesn’t even include application fees and credit-check fees you may be charged. So start saving now, particularly because moving itself can cost anywhere from $200-$2,000, depending on the distance of the move and how much you do yourself.

Check your credit

Management companies will be checking your credit once you start applying. You don’t want to be caught flat-footed, so check if there are any blemishes on your report at the free Annual Credit Report website, which is sponsored by the federal government. If you have great credit, you have nothing to worry about. If your credit has blemishes, you may need to ask a friend, parent or relative if they would be willing to serve as your co-signer on a lease. In any case, be ready to explain your low score to potential landlords and what you are doing to fix it.

Settle on a neighborhood

Whether you’re moving crosstown or across the country, the best way to decide on a neighborhood is to visit. Also, ask friends who already live in the neighborhood what they think. Another thing to consider is affordability — we’d all love to live in SoHo, but most of us can’t afford it. In other words, be realistic. To determine the cost of a neighborhood, go online to see what an average 1- or 2-bedroom runs. A good rule of thumb is that at least a third of the listings in your neighborhood of choice should be within your budget. If it’s any fewer than that, you’re going to have limited options.

Start looking

Find listings online, but also remember to network among friends and colleagues, respond to “For Rent” signs you see in-person and cold-call management companies that have appealing buildings. If the rental market in your chosen city is really tight, you may need to use a broker. That will typically cost one month’s rent, so to move in you’ll need to have three months of rent in cash. Ouch! Also, be wary of red flags. If you know a particular landlord or management company is involved in poor practices, don’t even bother looking at their places.

Another word of advice: If something seems too good to be true, it probably is. When dealing with a potential landlord, the conversation should be respectful and straightforward. And remember to always Google the address of the building as a final precaution.

Put in an application

Once you find a great place, don’t get cold feet. If it’s within your budget, in a neighborhood you love and with a solid management company, then apply. If your credit score is good — or you have a co-signer lined up — you’re likely to get it!

Sign the lease

Your lease is a contract, so make sure you understand it. Often, if you have issues with certain points on the lease, you can alter or discuss them with the management company before signing. So read the lease carefully. A few things to look out for: the penalty for breaking the lease early, the policy for fixing issues with the apartment, how much notice you must give if you want to renew and the rules for getting your security deposit back.

Transfer/set up your utilities

Call the utility companies at least a week in advance, so you have a buffer in case you need to schedule an appointment. Other things to think about: You should get renter’s insurance before you move in, and you should also change your address with the USPS. Depending on where you’re moving, you may also need to register for parking stickers, change your driver’s license (if you’re changing states) and get a local library card.

Conduct a walk-through

During the walk-through, you need to document any pre-existing problems you find with the apartment, so that you’re not held liable. This means testing everything from the burners on the stove to the quality of the carpet to the functioning of the refrigerator. If anything’s off, document it. If the landlord needs to fix something, get it in writing. This is the best way to protect yourself, your future home and your security deposit.

Make the move

If you’re moving long distance, schedule movers several weeks in advance (prime dates book up quickly). If you’re finally moving out from your parent’s basement, they’ll probably help you pack up the station wagon and drive you! In any case, start packing early: It takes longer than you think, and if you’re not totally packed when the movers arrive, you’re courting disaster. Also, label your boxes and make sure you have staples such as toilet paper, light bulbs and cleaning supplies at the ready. You’ll need them right away when you move in.

This may all seem like a lot, but if you break it down step by step, finding and moving to a new apartment becomes very manageable. And nothing beats that great feeling you’ll have when you first walk into own apartment.

Find Rentals on The Peral Group

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Common surprises in real estate negotiation

January 28, 2013 By Leave a Comment

When contingencies are involved, expect the unexpected

BY DIAN HYMER, MONDAY, JANUARY 28, 2013.

Inman News®

<a href="http://www.shutterstock.com/pic.mhtml?id=22697938" target="_blank">Underwater minefield</a> image via Shutterstock.Purchase offers usually aren’t accepted as written. Commonly, buyers and sellers engage in the equivalent of a tennis match, counter offering back and forth until they meet a mutually agreeable purchase contract. At this point, you might be inclined to think the negotiation phase of the transaction is over.

That may have been the case decades ago. But the home sale process has become more complicated over the years. Today, it might be more appropriate to say that the negotiations are over when the transaction closes. That is, if there aren’t any after-closing issues, like a leaky roof that wasn’t disclosed that could require more negotiation.

After a purchase contract is signed — including all the addenda and counteroffers — it is said to be ratified. A ratified contract is binding on both parties and usually can’t be unilaterally changed by one party without agreement from the other party. Any modification to a ratified purchase contract needs to be in writing. Verbal agreements to sell real estate are not binding.

Most purchase contracts include contingencies that provide buyers a time period to comply with certain parts of the transaction. The most common contingencies are for inspections and investigations, loan approval, appraisal of the property, and the sale of another property.

Usually, if the buyers use their best efforts to satisfy these contingencies but are unable to do so, they can withdraw from the contract without penalty and have their good faith deposit returned to them.

You should fully understand any purchase offer you sign as well as the impact of the buyers removing or not removing contingencies before you sign the contract. Not all contingencies contain the same language.

For example, some inspection contingencies give the sellers the right to remedy a defect; others allow the buyers to withdraw from the contract for any reason at the end of the inspection contingency period. Any questions should be directed to a real estate attorney.

HOUSE HUNTING TIP: Even though the ratified contract is legally binding on both the buyer and seller, circumstances can change during the transaction that may result in renegotiation. The most common occurs when the buyers’ inspection contingency is due. If buyers’ inspections reveal new information about the property, the buyers may agree to remove the inspection contingency but only if the sellers repair defects or contribute financially to repairs.

This puts the contract in limbo and requires good faith negotiation to salvage the transaction. Otherwise, the buyers and sellers agree in writing to cancel the contract. The sellers put their home back on the market and the buyers look for another home to buy.

Not all buyers renegotiate the contract when the inspection contingency is due. If the sellers have provided presale inspection reports and thorough disclosures before the buyers made an offer, it’s less likely that the buyers will make further requests from the sellers.

Another trigger for further negotiations can occur when an appraisal ordered by the buyers’ lender values the property at a price that’s lower than the purchase contract price. The effect of this is that the buyers’ lender will lend less than it said it would before the appraisal was done.

The buyers could ask for another appraisal, withdraw from the contract or try to negotiate a solution with the sellers. This might mean that the buyers agree to put more cash down, or they could ask the sellers to lower the purchase price, or a combination of the two. The goal is to reach a price that will work with the lower loan amount.

Buyers who feel they overpaid for the property may be more inclined to request a reduction to the appraised value and hold firm at that price.

THE CLOSING: If the sellers won’t agree, the transaction will fail.

Dian Hymer, a real estate broker with more than 30 years’ experience, is a nationally syndicated real estate columnist and author of “House Hunting: The Take-Along Workbook for Home Buyers” and “Starting Out, The Complete Home Buyer’s Guide.”

 

Courtesy of your Arcadia Real Estate Agent

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10 Banks Agree to Pay $8.5B for Foreclosure Abuse

January 7, 2013 By Leave a Comment

By Associated PressJan. 07, 2013
 Follow @TIME

(WASHINGTON) — Ten major banks and mortgage companies agreed Monday to pay $8.5 billion to settle federal complaints that they wrongfully foreclosed on homeowners who should have been allowed to stay in their homes.

The banks, which include JPMorgan Chase, Bank of America and Wells Fargo, will pay billions to homeowners to end a review process of foreclosure files that was required under a 2011 enforcement action. The review was ordered because banks mishandled people’s paperwork and skipped required steps in the foreclosure process.

Under the new settlement, people who were wrongfully foreclosed on could receive from $1,000 up to $125,000. Failing to offer someone a loan modification would be considered a lighter offense; unfairly seizing and selling a person’s home would entitle that person to the biggest payment, according to guidelines released last summer by the Office of the Comptroller of the Currency. Monday’s settlement was announced jointly by the OCC and the Federal reserve.

The agreement covers up to 3.8 million people who were in foreclosure in 2009 and 2010. Of those, about 400,000 may be entitled to payments, advocates estimate.

About $3.3 billion would be direct payments to borrowers, regulators said. Another $5.2 billion would pay for other assistance including loan modifications.

The companies involved in the settlement also include: Citigroup, MetLife Bank, PNC Financial Services, Sovereign, SunTrust, U.S. Bank and Aurora. The 2011 action also included GMAC Mortgage, HSBC Finance Corp. and EMC Mortgage Corp.

The deal “represents a significant change in direction” from the original, 2011 agreements, Comptroller of the Currency Thomas Curry said in a statement.

Banks and consumer advocates had complained that the loan-by-loan reviews required under the 2011 order were time consuming and costly without reaching many homeowners. Banks were paying large sums to consultants who were reviewing the files. Some questioned the independence of those consultants, who often ruled against homeowners.

Curry said the new deal meets the original objectives “by ensuring that consumers are the ones who will benefit, and that they will benefit more quickly and in a more direct manner.”

“It has become clear that carrying the process through to its conclusion would divert money away from the impacted homeowners and also needlessly delay the dispensation of compensation to affected borrowers,” Curry said.

Some consumer advocates said that the agreement lets banks off the hook for payments that could have ended up being much higher.

“It’s another get out of jail free card for the banks,” said Diane Thompson, a lawyer with the National Consumer Law Center. “It caps their liability at a total number that’s less than they thought they were going to pay going in.”

Leaders of a House oversight panel asked regulators for a briefing on the proposed settlement on Friday. Regulators agreed to brief committee staff after the settlement was announced on Monday.

– By DANIEL WAGNER

 

Courtesy of your Arcadia Real Estate Agent

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Housing gains boost Fed’s money easing as rally spurs growth

December 6, 2012 By Leave a Comment
In this Feb. 8 photo, two workers carry a window for a home under construction in a new subdivision by Toll Brothers in Yardley, Pa. A revival in the U.S. housing market is amplifying the impact of the Federal Reserve's efforts to spur the world's largest economy.

In this Feb. 8 photo, two workers carry a window for a home under construction in a new subdivision by Toll Brothers in Yardley, Pa. A revival in the U.S. housing market is amplifying the impact of the Federal Reserve’s efforts to spur the world’s largest economy. / ALEX BRANDON/AP
Written by
Jeff Kearns and Shobhana Chandra
Bloomberg News

A revival in the U.S. housing market is amplifying the impact of the Federal Reserve’s efforts to spur the world’s largest economy.

Home values boosted by record-low mortgage rates are helping improve the finances of both households and banks. That’s easing the flow of credit, providing a further boost to the housing market and the economy, say economists at Bank of America Corp. and Deutsche Bank AG.

“We’re in the very early stages of a reinforcing cycle,” said Michelle Meyer, a New York-based senior economist at Bank of America, the second-biggest U.S. lender by assets. “The Fed has been quite impactful.”

Meyer predicts monthly housing starts could exceed 1 million at an annual rate by the end of 2013, compared with 894,000 in October.Residential construction may add to economic growth this year for the first time since 2005, boosting gross domestic product by 0.3 percentage point, said Deutsche Bank’s Joseph LaVorgna. That contribution may double next year and reach 1 percentage point when related industries such as furnishings and remodeling are added, he said.

“The one thing missing from this economic recovery was a healthy contribution from housing, and we might finally be on the cusp of that,” said LaVorgna, chief U.S. economist for Deutsche Bank in New York, who predicts GDP may grow about 2.5 percent in 2013. “Housing is going to be integral to the economy. We’re assuming it continues to do some of the heavy lifting.”

The Fed in September announced it would buy $40 billion a month in mortgage-backed securities in its third round of so- called quantitative easing.

The central bank’s purchases of housing debt have helped drive borrowing costs to all-time lows. The average fixed rate on a 30-year mortgage was 3.32 percent last week, close to the prior’s week’s 3.31 percent that was the lowest on record, according to Freddie Mac.

U.S. home prices jumped 6.3 percent in October from a year earlier, the biggest increase since June 2006, data provider CoreLogic Inc. said today.

Combined sales of new and existing dwellings climbed to a 5.16 million annual pace in October, up 40 percent from July 2010, which was the lowest since comparable data began in 1999. The S&P/Case-Shiller index of home prices in 20 cities climbed 3 percent in September from a year earlier, the biggest gain since July 2010.

‘An Accelerator’

“Monetary policy is working,” said Yelena Shulyatyeva, a U.S. economist at BNP Paribas SA in New York. “What we’ve seen is a very robust housing recovery this year, particularly in prices. It’s kind of an accelerator for other sectors of the economy, consumption in particular.”

Stronger demand is boosting sales at builders such as Toll Brothers Inc., the largest U.S. luxury-home builder, which today said revenue jumped 48 percent to $632.8 million in the three months ended Oct. 31, while net contracts signed surged 75 percent.

The Standard & Poor’s Supercomposite Homebuilding Index, which includes Toll Brothers and PulteGroup Inc. among its 11 members, has climbed 77 percent this year, compared with a 12 percent increase for the broader S&P 500 Index. PulteGroup, up 171 percent this year, is the biggest gainer in the S&P 500.

The benchmark gauge of U.S. equities slumped 0.1 percent to 1,407.84 as of 3 p.m. in New York. The yield on the 10-year Treasury note retreated 0.01 percentage point to 1.61 percent

“If we can get ourselves into a positive, virtuous circle here with rising house prices, rising construction, improving employment, I think that part of that process will be easing of mortgage-lending conditions,” Fed Chairman Ben S. Bernanke said Nov. 20 in response to audience questions after a speech in New York.

The central bank’s efforts “are having the desired effects” by reducing mortgage rates, San Francisco Fed President John Williams said in a Nov. 14 speech, and the housing rebound “should be a key driver of economic growth.”

To be sure, housing is “far from being out of the woods,” in Bernanke’s words. Sales and prices are below pre-crisis levels, and about 20 percent of borrowers owe more than their homes are worth, Bernanke said in Nov. 15 speech in Atlanta. Residential investment now accounts for 2.5 percent of nominal GDP, down from a peak of 6.3 percent in 2005.

Hurdles Remain

Builders sold fewer new homes than forecast in October and purchases were revised down for the prior month, showing the industry still faces hurdles such as an unemployment rate that’s stuck around 8 percent three years into the economic recovery.

Williams last month said the central bank will probably start buying $45 billion a month of Treasuries next year in addition to the current $40 billion of debt purchases. The policy-setting Federal Open Market Committee meets Dec. 11-12.

“The unemployment rate remains unacceptably high,” New York Fed President William C. Dudley said in a speech yesterday.

Still, for those with jobs, low interest rates are a boon. Among them are Danny and Pat Yorkovich, who decided to buy a bigger house after 18 years in their current residence. They signed a contract on a new, three-bedroom ranch-style home in Charlotte, North Carolina, in November.

“The interest rates were good,” said Danny Yorkovich, 44, who works as an office manager. “We didn’t owe anything on the home we had, and had been saving up and waiting for the right time to purchase.”

New-home sales ripple through the economy as buyers spend an average of $8,000 on household items, including furniture, appliances and landscaping, according to David Crowe, chief economist for the Washington-based National Association of Home Builders.

That’s benefiting companies like Atlanta-based Home Depot Inc., the largest U.S. home-improvement retailer, and Lowe’s Cos., the second-biggest, which both reported higher third- quarter profit as sales rose. Shares of Home Depot have climbed 53 percent this year, while Mooresville, North Carolina-based Lowe’s is up 40 percent.

Even those who aren’t moving are spending more on furnishing and remodeling, according to Robert Niblock, chief executive officer of Lowe’s.

“The bottoming of home values gives that homeowner psychological permission to spend on their homes again,” Niblock said in a Nov. 19 telephone interview.

Cutting Debt

Household finances are improving, putting consumer demand on a stronger footing. Americans have cut debt by $1.37 trillion from the peak in 2008, according to Federal Reserve Bank of New York data. Household indebtedness shrank by $74 billion to $11.31 trillion during the third quarter.

Lending tied to real estate is reviving. After six years of declines, home equity lines of credit will rise 30 percent to $79.6 billion in 2012, the highest level since the start of the financial crisis in 2008, according to Moody’s Corp.

The Fed’s record easing policy is “a very big part” of why banks are becoming more inclined to make home loans, Bernanke said Nov. 20.

The benefits of lower borrowing costs and the housing industry’s improvement are starting to accrue for both the broader economy and the Fed’s monetary policy, according to Guy Berger, a Stamford, Connecticut-based U.S. economist at RBS Securities Inc., one of the 21 primary dealers authorized to trade directly with the Fed.

“Housing is gumming up the economy and financial markets less than it was,” Berger said. “The housing market’s improvement does give a little bit more bang to the buck.”

 

Courtesy of you Pasadena Real Estate Agent

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Pending Home Sales Index Leaps To Multi-Year High

December 3, 2012 By Leave a Comment

Published November 30, 2012

Pending Home Sales IndexHomes were sold at a furious pace last month.

According the National Association of REALTORS® (NAR), the Pending Home Sales Index rose 5.2 percent in October, crossing the benchmark 100 reading, and moving to 104.8.

It’s a 5-point improvement from September’s revised figure and the highest reading April 2010 — the last month of that year’s federal home buyer tax credit.

October also marks the 18th consecutive month during which the index showed year-to-year gains.

As a housing market metric, the Pending Home Sales Index (PHSI) differs from most commonly-cited housing statistics because, instead of reporting on what’s already occurred, it details what’s likely to happen next.

The PHSI is a forward-looking indicator; a predictor of future sales. It’s based on signed real estate contracts for existing single-family homes, condominiums, and co-ops. Later, when the contract leads to a closing, the “pending” home sale is counted in NAR’s monthly Existing Home Sales report.

Historically, 80 percent of homes under contract, and thus counted in the Pending Home Sales Index, will go to settlement within a 2-month period, and a significant share of the rest will close within months 3 and 4. The PHSI is a predictor of Existing Home Sales.

Regionally, the Pending Home Sales Index varied in October 2012 :

  • Northeast Region : 79.2; +13 percent from October 2011
  • Midwest Region : 104.4; +20 percent from October 2011
  • South Region : 117.3; +17 percent from October 2011
  • West Region : 105.7; +1 percent from October 2011

A Pending Home Sales Index reading of 100 or higher denotes a “strong” housing market.

Of course, with rising home sales comes rising home values. 2012 has been characterized by strong buyer demand amid falling housing supplies. It’s one reason why the Case-Shiller Index and the FHFA’s Home Price Index are both showing an annual increase in home prices. Plus, with mortgage rates low as we head into December, the traditional “slow season” for housing has been anything but.

The housing market in Greenville is poised to end 2012 with strength. 2013 is expected to begin the same way.

Jobs

 COURTESY OF YOUR NUMBER ONE ARCADIA REAL ESTATE AGENT
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