Home prices in many U.S. markets hit bottom in the third quarter, but some large metropolitan areas, particularly in Florida, are still in trouble, according to data from Local Market Monitor.
The real estate analytics company said home price data may be skewed because of recent halts of foreclosure sales as servicers reviewed possible documentation problems.
Local Market Monitor reported a "definite bottom" in Southern California, specifically the San Francisco Bay area, where the average home price stands at $642,159, a 17% drop from the peak in the third quarter of 2006. Analysts forecast that price to hold over the next year and possibly increase 1% over the next two years.
Home prices in Washington, D.C., Minneapolis, Honolulu and Boston also bottomed out in the third quarter.
The biggest drop over the next year is set to occur in the Daytona Beach, Fla. area, where Local Market Monitor said prices should drop another 11%. A number of other Sunshine State cities — Jacksonville, Lakeland, Ocala, Orlando and Cape Coral — should all see prices drop by 5% or more over the next year.
"Our 12 month forecast is still very modest, because the job situation is still weak, but it won't be a surprise if home prices in these markets actually do better," according to the report.
Local Market Monitor reported three Texas areas, Austin, Forth Worth and Dallas, have seen good job growth and "have the potential to beat forecasted price increases over the next year."
-Housing Wire, Dec. 10th, 2010
Showing posts with label Real Estate Investor News. Show all posts
Showing posts with label Real Estate Investor News. Show all posts
Friday, December 10, 2010
Friday, June 4, 2010
Housing Prices Improve 6.8%
House prices rose 6.8% in May 2010 from last year. A report from real estate data provider Clear Capital states that this is the largest yearly increase since July 2006.
Last year Clear Capital reported a 19.3% drop in May house prices from the previous year.
"We continue to see sustained price growth throughout much of the country with yearly price gains reflecting the housing recovery off of last year's lows," said Alex Villacorta, senior statistician at Clear Capital. "The expiration of the tax credit at the end of April has certainly contributed to the growth of prices we are observing and as more sales close before the June 30 deadline we expect that markets across the country will continue to see strengthening of prices."
The amount of REO properties on the market appears to be declining, too, according to Clear Capital. The national REO saturation rate dropped 27.8%, down from 41.7% last year.
"This dramatic shift in price trends reflects the unprecedented volatility over the last couple of years and the delicate state of local real estate markets around the country," Villacorta said.
Last year Clear Capital reported a 19.3% drop in May house prices from the previous year.
"We continue to see sustained price growth throughout much of the country with yearly price gains reflecting the housing recovery off of last year's lows," said Alex Villacorta, senior statistician at Clear Capital. "The expiration of the tax credit at the end of April has certainly contributed to the growth of prices we are observing and as more sales close before the June 30 deadline we expect that markets across the country will continue to see strengthening of prices."
The amount of REO properties on the market appears to be declining, too, according to Clear Capital. The national REO saturation rate dropped 27.8%, down from 41.7% last year.
"This dramatic shift in price trends reflects the unprecedented volatility over the last couple of years and the delicate state of local real estate markets around the country," Villacorta said.
Monday, January 18, 2010
Flipping Rule is Waived!
HUD announced that beginning February 1, 2010, they are waiving the 3 month flipping rule.
As of this writing, it will stay in effect for one year.
Below are the details of the lift on the FHA rule.
This waiver is limited to those sales meeting the following general conditions:
1. All transactions must be arms-length, with no identity of interest between the buyer and seller or other parties participating in the sales transaction.
2. In cases in which the sales price of the property is 20 percent or more above the seller's acquisition cost, the waiver will only apply if the lender meets specific conditions.
3. The waiver is limited to forward mortgages, and does not apply to the Home Equity Conversion Mortgage (HECM) for purchase program.
Details can be found at: http://www.hud.gov/offices/hsg/sfh/waivpropflip2010.pdf
As of this writing, it will stay in effect for one year.
Below are the details of the lift on the FHA rule.
This waiver is limited to those sales meeting the following general conditions:
1. All transactions must be arms-length, with no identity of interest between the buyer and seller or other parties participating in the sales transaction.
2. In cases in which the sales price of the property is 20 percent or more above the seller's acquisition cost, the waiver will only apply if the lender meets specific conditions.
3. The waiver is limited to forward mortgages, and does not apply to the Home Equity Conversion Mortgage (HECM) for purchase program.
Details can be found at: http://www.hud.gov/offices/hsg/sfh/waivpropflip2010.pdf
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