EXISTING HOME AND CONDO SALES UP

May 2009 – Just released sales figures show another increase in existing sales. We are now in a trend. Also, for the first time in many months, the statewide median sales price in May for existing homes and  condos rose over the previous month’s figure.

Existing home sales rose 16 % last month with a total of 13,921 homes sold statewide compared to 12,044 home sold in May 2008. Statewide existing home sales rose 6.2% over April 2009. Condo sales are up 21% over last year and 3.8 over April 2009. We are beginning to see prices firm with Florida’s median sales price for existing homes last month at $144,400.00 a year ago it was $203,800.00, giving us a 29% decrease year over year. 

The federal home credit of $8,000.00 and low interest rates have inspired buyer’s to move forward even in uncertain times. Many of these sales are bank owned, short sale (pre-foreclosures) or relocation properties. Seller’s who need to sell and have realistic prices on their properties. These sales and purchases have forced the median price down and are now the new appraisal amounts. You won’t see a V shape recovery in housing, it will be a L.  

If were not at the bottom it sure feel like it but that could all change if interest rates continue to creep up. That will stop the present momentum.

Guidelines for Summer Moves

It’s that time of year again, schools out and the housing market is warming up. Long distance moves are up 38% over last year with 60% of the moves for financial reasons.  Moving for family reasons are up 10%  to 28% of total moves.  Moving is stressful even for the most seasoned relocation family. Here are a few tips to keep down your costs and keep your sanity.

START EARLY – Allow plenty of time to get estimates from movers. It takes time to get estimates from different companies, compare, and make a decision.  Start 45 days prior to your move to ensure the best choices are available to you.

BE PREPARED – If  you are doing your own packing  get supplies and start packing. Not finishing on time and leaving work for the moving company can result in additional costs.

BE CAREFUL – Choosing a mover can be confusing. Comparing estimates from different companies that might reflect different items, terms, and coverage can add considerable time to the process. Compare apples to apples, then prices and terms will be easier to understand.

MOVING  TIPS – email Liz DeAmbrose at   homenet@gte.net for a free brochure.

What is HAP?

HAP is the Home Owner’s Assistance Program. HAP has been expanded under the new law signed in to effect by the President last month. HAP has been around for years providing assistance to military personel who have been transferred due to base closures. When a base closes it has an adverse effect on local housing. The federal government has expanded the program because of the current severe down turn in housing across the county. The program will included military and federal employees who have purchased homes before May of 2006 and are now forced to sell. The expansion will end 2012. 

It will take the regulators about 90 days to write the changes needed to implement the  program. Applications have already started coming in even though the guidelines haven’t been written. We will keep you updated as there are many military and federal employees living in the New Tampa and Wesley Chapel areas.

MORTGAGE RATES RISE FOR SECOND STRAIGHT WEEK

June 10, 2009, the weekly average rate borrowers were quoted on Zillow Mortgage Marketplace for 30-year fixed mortgages (www.zillow.com) increased last week to 5.48 up from 5.25% the week prior, according to the Zillow Morgage Rate Monitor. Meanwhile, rates for 15-year fixed mortgages rose to 4.95% from 4.78%, and 5-1 adjustable rate mortgages rose to 4.62% from 4.48% the prior week.

Don’t price yourself out of the housing market as interest rates rise. If you are thinking of buying or selling this is the time.

The 30-year fixed mortgage rate varied by state. Florida mortgage rates were the lowest, at 5.44%  and Massachusetts the highest at 5.55%. California led the states last week with most originated loans in the country.

Good New For Renters

Last week President Barack Obama signed a new housing law. As part of that law the federal government has now given renters of foreclosed homes protection. Until the law was enacted, there had been no national protections for any of these households.  The law allows tenants to remain in their foreclosed rentals through the end of their lease and then 90 days after that before being forced to vacate by the lender. Renters without leases will have 90 days, a significant improvement over what most received before which was almost no notice at all.

Many sellers move out of their homes and into apartments before their FICO scores go down and are unable to rent an apartment or home. They then turn around and rent out their home to unsuspecting renters who don’t know that the sellers have stopped paying their mortgage.  All notices of non payment are going to the seller’s new address. The renter has no idea that foreclosure proceedings are in progress. The owner of the home pockets the rent money.  Beware before you rent, call our office and we can check the legal records of the address to see if there is a pending foreclosure.

New Tampa Sale Number for May 2009

Tampa Palms  – 25 closed sales (clearly the leader)

Tampa Palms active listings – 123,  with 78 single family and the balance town homes and condos

Hunters Green – 2 closed sale, one of which was bank owned.

Active listings – 48,  31 singled family, 17 town homes and condos

Arbor Green – 13 sold

Active listings – 30, 29 single family and one town home (Lennar)

Cory Lakes – 1 the worst

Acive listing all single family 47

West Meadows – 4 sold

Active listings 29, 25 single family, 4 villas

Richmond Place – 5 sales

Active listings – 6

Pebble Creek – 11 sold

Active listings – 19, 13 single family, 6 town homes

Cross Creek – 7 sold

Active listings 30, 24 single family, 6 town homes

Live Oak – 7 sold

Active listings – 30, 24 single family 6 town homes

Seven Oaks – 9 sold

Active Listings – 44 all single family

Pending Home Sales Rise 6.7% for April

Pending home sales for April were the highest per month percentage increase in eight years. The National Association of Realtors released their numbers Tuesday morning announcing April sales surged 6.7% exceeding expectations.  This would indicate that June and July sales should be significantly higher then previously anticipated. Those three months traditionally generate the highest sales during the year.  Sales were 3% higher than this period last year and this is the third straight month of gains in a row.  The big boost comes from low interest rates coupled with the $8,000.00 tax credit. Florida now has authorized buyers to apply for a short term loan of $8,000.00 to be used at time of closing. The loan would be paid back the following year when the purchaser receives his tax credit check from the federal government.