real estate news

Homebuyer traffic remained tepid in April, as confidence sits relatively low; however, distressed properties are becoming more attractive to investors.

Credit Suisse recently reported in a monthly survey that buyer traffic decreased slightly during the first month of spring. The company attributes this fluctuation to a profound importance of value.

Buyers — both investors and occupants — continue to focus on finding value, which presents challenges from sellers in most markets, according to the report.

Every month Credit Suisse surveys a nationwide network of real estate agents about current trends in the housing market. In April, the company received about 1,000 responses. Analysts calculate an index with levels about 50 representing positive trends and below 50 representing negative trends.

The National Association of Realtors reported recently that distressed properties are in high demand and driving a nationwide increase in existing home sales. According to the trade group, 39% of all first-quarter transactions involved distressed homes or condos.

Home and Commercial Inspections in the Columbia SC area is our specialty! Every year we help hundreds of clients save tens of thousands of dollars, by responsibly finding and exposing conditions that threaten property, value and safety. To learn how we may be able to serve you, please click and read, or call 803-261-5810.

Recent news has highlighted the severity of the renewed downturn in prices of single-family homes, but Capital Economics says although condominiums will not escape altogether, over the next year or so condo prices are likely to fall by less than their single-family counterparts.

According to a market analysis released recently by the research firm, demand for condos is currently stronger than demand for single-family homes.

Since January 2009, existing-condo sales as a share of all existing-home sales have risen from 10 percent to 13 percent due to cash buyers and investors, who currently drive the housing market. These buyers traditionally favor condos over single-family homes for rental income.

In addition, the lower delinquency rate in the condo market suggests that, in the coming years, fewer foreclosed properties will support the supply of condos.

During the housing boom, condo prices rose by 120 percent compared with the 105 percent rise in single-family home prices. During the housing bust, though, Capital Economics says while condo prices fell by 25 percent, house prices have plunged 32 percent.

According to the FDIC, in the fourth quarter of 2010, 1.1 percent of real estate loans secured against multi-family properties were three or more monthly payments behind compared with 2.4 percent for single-family homes.

Home and Commercial Inspections in the Columbia SC area is our specialty! Every year we help hundreds of clients save tens of thousands of dollars, by responsibly finding and exposing conditions that threaten property, value and safety. To learn how we may be able to serve you, please click and read, or call 803-261-5810.

Fewer Americans are having trouble paying their mortgages now compared to a year ago, according to a new Harris Interactive poll.

About 22% of those surveyed last month said they had difficulty making their mortgage payments, down from 29% a year earlier. Additionally, 21% of respondents believed they were “under water” on their mortgage, meaning the outstanding balance is higher than the home is worth, according to the report. That’s down three percentage points from last year.

The findings seem to reflect an improving job market, with more jobs and lower unemployment. March’s unemployment rate fell to 8.8% from 8.9% in February while the U.S. economy added 216,000 jobs, the U.S. Labor Department said recently. In March 2010, the unemployment rate was 9.7%.

But the news isn’t all good. Another reason for the decline in struggling homeowners is that some of those who had been having trouble keeping up their payments last year have since sold or lost their homes through foreclosure. Of those polled, 66% said they had a mortgage, down from 69% in Harris’s year-ago survey.

After all, the U.S. housing market is still in flux. The median home price is February was $156,100, down 5.2% from a year earlier, while so-called distressed homes — houses sold at a discount — accounted for 39% of February sales, according to the National Association of Realtors.

“These findings are consistent with other Harris Poll data on the economy that show a very modest, but, still painfully slow, recovery from the recession,” Harris Interactive said in a statement. “Many millions of people are still hurting badly even if the numbers are slightly better than they were last year.”

Home and Commercial Inspections in the Columbia SC area is our specialty! Every year we help hundreds of clients save tens of thousands of dollars, by responsibly finding and exposing conditions that threaten property, value and safety. To learn how we may be able to serve you, please click and read, or call 803-261-5810.

Existing-home sales, or completed residential real estate transactions for properties including single-family homes, townhouses, condos and co-ops, showed a renewed decline last month.

February’s number of existing-home sales dropped 9.6% to 4.88 million when compared to 5.4 million in January.  Sales were down 2.8% year-over-year as well, from 5.02 million sales in February of 2010. The decline comes after three months of steady gains, with November 2010 through January 2011 demonstrating positive sales growth from 4.64 million transactions to 5.4 million.

Given the tighter credit hurdles potential homebuyers must jump through to acquire mortgages these days, all cash is accounting for more and more home purchases. 33% of February’s existing-home sales were all-cash deals (up from 32% in January and 27% last February) — a record number.

First time homebuyers made 34% of February purchases and investors made 19%. Repeat homebuyers made up a mere 14% of the rest of the market.

Home and Commercial Inspections in the Columbia SC area is our specialty! Every year we help hundreds of clients save tens of thousands of dollars, by responsibly finding and exposing conditions that threaten property, value and safety. To learn how we may be able to serve you, please click and read, or call 803-261-5810.

Our February 2011 Home Inspections Newsletter is now online…

Click Here to Read Now

Home and Commercial Inspections in the Columbia SC area is our specialty! Every year we help hundreds of clients save tens of thousands of dollars, by responsibly finding and exposing conditions that threaten property, value and safety. To learn how we may be able to serve you, please click and read, or call 803-261-5810.