In many ways 2006 was the non-year for real estate. The National Association of Realtors(R) reported that sales will be down in 2006 about 9 percent from 2005, a record setting year.Many markets waited for spring market which was disappointing. Markets then believed buyers would re-group in summer,and buyers were a no-show. Fall and last market hopes were dashed when fall came and went, with plenty of traffic at open houses, but few contracts.
Pent-up demand from a lackluster 2006 should drive buyers back to market. But, these savvy buyers will be on the lookout for realistic prices and seller give-backs. Most buyers will tell you point-blank that their income gains in the last five years have not matched rises in home home prices. Real estate markets won't bounce back until home sellers realize as prices go up, the pool of buyers shrinks proportionately. Buyers with a home to sell will include a home-sale contingency, so sellers should be prepared to accept one.
Inventory levels will remain in the six to seven moth range. Listing leftover's from 2006, will roll into 2007. The leftovers are either un-realistic sellers whose pricing is from the "froth years" or their homes haven't been updated to keep up with the stiff competition and time-starved buyers.
Mortgage rates will remain in the 5.5% to 7% range. Historically low, but low rates by themselves haven't motivated buyers to write real estate contracts in 2006.
Foreclosures will rise. Risky loans such as Interest-Only, Option ARM's and 100% financing will tap out buyers whose used these "appreciation-oriented" mortgages.
Prices will drop 4-10% before leveling off in the majority of non-seller's markets. Homes that are priced right and are in good condition which offer features and finishes that buyers demand, will sell close to list price in moderate market times. Flat or negative appreciation.
Florida, Arizona, California and Washington D.C., will have unstable markets. Until sellers get a reality-oriented wake-up call markets in these locales will sputter and hiccup.
Ten states posted solid sales gains in the second quarter of 2006 versus 2005. Reported the National Association of Realtors(R). The gains ranged from an impressive 48% in Alaska to a low of 5.3 percent in Georgia. The other eight states included Arkansas, Texas, North and South Carolina, Vermont, Tennessee, New Mexico, and Wyoming.
Residential real estate will return to being viewed as shelter and housing and trend away from being viewed as a speculative investment.
Janno have been writing articles for nearly 2 years. Come visit his blogs more often for tips and advice that helps people with the interest for wyoming foreclosures and great passion and knowledge for foreclosure listings and all the different options & providers available in the market today. Find out for more info also here wyomingforeclosures.org
Sunday, November 14, 2010
Wednesday, November 10, 2010
The Truth Behind the Housing Numbers
The recent headlines have trumpeted a rebound in the American housing market. According to the Associated Press, July's 7.2 percent increase in home sales was the biggest month-to-month jump in the last ten years. But before breathing a sigh of relief and checking Zillow for increased home values, it might be a good idea to look at the story behind the new and improved numbers.
A big chunk of the recent increase is first-time home buyers taking advantage of the tax credit. One third of recent home sales are due to the $8000 incentive for first-time home buyers, which will end in November. Another third of the recent sales across the nation are actually foreclosures. According to a recent report on NBC news, home prices overall are down 23 percent in the last year, largely due to the number of foreclosures across the country.
NBC news broke down the numbers even further, showing that the biggest surge in home sales are for homes under $100,000. While sales of homes in this price range rose an impressive 39 percent in the last month, sales for homes over $250,000 are actually down. In fact, the higher the price tag the fewer homes are selling.
Better numbers in several sectors of the economy, including housing, have led Federal Reserve Chairman Ben Bernanke to announce that the U.S. economy is on the verge of recovery. He said at a Federal Reserve conference in Wyoming that "the prospects for a return to growth in the near term appear good." Not a resounding endorsement of the world economy, but certainly keeping to the more positive tone he has taken lately.
According the Associated Press, Bernanke continues to stress the importance of freeing up consumer credit, stating this is the key to any kind of long term economic recovery. However, banks continue to be careful with lending to consumers. Mortgage defaults remain at an all time high--which brings us back to the housing numbers. While foreclosures continue to less of a factor in Austin as they are in other parts of the country, they are taking a toll on the economy as a whole.
As the latest housing numbers have indicated, foreclosures are great for bargain hunters but bad for the housing sector and the overall economy. It only takes one foreclosure in a neighborhood to skew the assessment of overall home values in that area. Mortgage defaults that lead to foreclosures cost banks a significant amount of money. The banks in turn raise rates on credit cards and fees to recoup some of these losses, along with making fewer loans overall.
The real estate industry is lobbying Congress to get an extension on the first-time buyers' tax credit, because many industry analysts are predicting a plunge in the housing numbers after November. "I would not be at all surprised to see a dip at the end of the year once the tax credit expires," Robert Dye, senior economist with PNC Financial Services Group, told the AP.
Austin continues to weather this long recession better than the rest of the country, but let's hope the story behind the national numbers gets better.
Ali have been writing articles for nearly 2 years. Come visit his blogs more often for tips and advice that helps people with the interest for wyoming foreclosures and great passion and knowledge for foreclosure listings and all the different options & providers available in the market today. Find out for more info also here wyomingforeclosures.org
A big chunk of the recent increase is first-time home buyers taking advantage of the tax credit. One third of recent home sales are due to the $8000 incentive for first-time home buyers, which will end in November. Another third of the recent sales across the nation are actually foreclosures. According to a recent report on NBC news, home prices overall are down 23 percent in the last year, largely due to the number of foreclosures across the country.
NBC news broke down the numbers even further, showing that the biggest surge in home sales are for homes under $100,000. While sales of homes in this price range rose an impressive 39 percent in the last month, sales for homes over $250,000 are actually down. In fact, the higher the price tag the fewer homes are selling.
Better numbers in several sectors of the economy, including housing, have led Federal Reserve Chairman Ben Bernanke to announce that the U.S. economy is on the verge of recovery. He said at a Federal Reserve conference in Wyoming that "the prospects for a return to growth in the near term appear good." Not a resounding endorsement of the world economy, but certainly keeping to the more positive tone he has taken lately.
According the Associated Press, Bernanke continues to stress the importance of freeing up consumer credit, stating this is the key to any kind of long term economic recovery. However, banks continue to be careful with lending to consumers. Mortgage defaults remain at an all time high--which brings us back to the housing numbers. While foreclosures continue to less of a factor in Austin as they are in other parts of the country, they are taking a toll on the economy as a whole.
As the latest housing numbers have indicated, foreclosures are great for bargain hunters but bad for the housing sector and the overall economy. It only takes one foreclosure in a neighborhood to skew the assessment of overall home values in that area. Mortgage defaults that lead to foreclosures cost banks a significant amount of money. The banks in turn raise rates on credit cards and fees to recoup some of these losses, along with making fewer loans overall.
The real estate industry is lobbying Congress to get an extension on the first-time buyers' tax credit, because many industry analysts are predicting a plunge in the housing numbers after November. "I would not be at all surprised to see a dip at the end of the year once the tax credit expires," Robert Dye, senior economist with PNC Financial Services Group, told the AP.
Austin continues to weather this long recession better than the rest of the country, but let's hope the story behind the national numbers gets better.
Ali have been writing articles for nearly 2 years. Come visit his blogs more often for tips and advice that helps people with the interest for wyoming foreclosures and great passion and knowledge for foreclosure listings and all the different options & providers available in the market today. Find out for more info also here wyomingforeclosures.org
What Happens After Foreclosure? A Guide For Homeowners
What happens after foreclosure depends on whether you live in a state that has a Redemption Period.
This is the time after the house has been auctioned to the highest bidder that the homeowner has to buy it back for the auction price. The time varies by state. In some places, it is as little as 3 days. In other states, it is a full year.
If your state has a Redemption Period, you will be able to use the time to raise the money to buy back the home. You may also be able to stay in the home for the entire length of the Period without making any payments.
The states with Redemption Periods are:
o Alabama - 1 year
o Alaska - 1 year
o Arkansas - 1 year
o California - 1 year
o Conneticut (based on court decree)
o Idaho - 1 year
o Illinois - 3 months
o Iowa - 20 days
o Kansas - 1 year
o Kentucky - 1 year
o Maine - 90 days
o Michigan - 30-36 days
o Minnesota - 6 months
o Mississippi - 30 days
o Missouri - 1 year
o New Jersey - 10 days
o New Mexico - 30 days
o North Dakota - 6 months to 1 year depending on circumstances
o Oregon - 6 months
o South Dakota - 30 days or more
o Tennessee
o Vermont - 6 months to 1 year
o Wisconsin - 1 year
o Wyoming 30 days or more
So, what happens after foreclosure if you live in a state that has such a policy is that you have some time to buy back the property.
If you do not live in a Redemption Period state, or if it has expired, what happens after foreclosure is that you will be forced from your home.
Sometimes, you can get the purchaser to give you "key money" to leave the premises quickly and to leave the property in good condition. In many cases, ex-homeowners destroy the property before they leave. The buyer knows it is worth their while to induce you to leave nicely.
If you do not leave, then the buyer can bring an eviction notice against you. When the occupant is a foreclosed homeowner, generally they only have 3 days after an eviction notice for you to leave.
In this case, you will have an eviction as well as a foreclosure on your record. This makes it extremely difficult to rent after you loose your home.
So, what happens after foreclosure is that you may or may not have a Redemption Period. Then you will be forced to leave the home.
Glaiza have been writing articles for nearly 2 years. Come visit his blogs more often for tips and advice that helps people with the interest for wyoming foreclosures and great passion and knowledge for foreclosure listings and all the different options & providers available in the market today. Find out for more info also here wyomingforeclosures.org
This is the time after the house has been auctioned to the highest bidder that the homeowner has to buy it back for the auction price. The time varies by state. In some places, it is as little as 3 days. In other states, it is a full year.
If your state has a Redemption Period, you will be able to use the time to raise the money to buy back the home. You may also be able to stay in the home for the entire length of the Period without making any payments.
The states with Redemption Periods are:
o Alabama - 1 year
o Alaska - 1 year
o Arkansas - 1 year
o California - 1 year
o Conneticut (based on court decree)
o Idaho - 1 year
o Illinois - 3 months
o Iowa - 20 days
o Kansas - 1 year
o Kentucky - 1 year
o Maine - 90 days
o Michigan - 30-36 days
o Minnesota - 6 months
o Mississippi - 30 days
o Missouri - 1 year
o New Jersey - 10 days
o New Mexico - 30 days
o North Dakota - 6 months to 1 year depending on circumstances
o Oregon - 6 months
o South Dakota - 30 days or more
o Tennessee
o Vermont - 6 months to 1 year
o Wisconsin - 1 year
o Wyoming 30 days or more
So, what happens after foreclosure if you live in a state that has such a policy is that you have some time to buy back the property.
If you do not live in a Redemption Period state, or if it has expired, what happens after foreclosure is that you will be forced from your home.
Sometimes, you can get the purchaser to give you "key money" to leave the premises quickly and to leave the property in good condition. In many cases, ex-homeowners destroy the property before they leave. The buyer knows it is worth their while to induce you to leave nicely.
If you do not leave, then the buyer can bring an eviction notice against you. When the occupant is a foreclosed homeowner, generally they only have 3 days after an eviction notice for you to leave.
In this case, you will have an eviction as well as a foreclosure on your record. This makes it extremely difficult to rent after you loose your home.
So, what happens after foreclosure is that you may or may not have a Redemption Period. Then you will be forced to leave the home.
Glaiza have been writing articles for nearly 2 years. Come visit his blogs more often for tips and advice that helps people with the interest for wyoming foreclosures and great passion and knowledge for foreclosure listings and all the different options & providers available in the market today. Find out for more info also here wyomingforeclosures.org
Wednesday, November 3, 2010
How Long Does Foreclosure Take?
First of all, most lenders will not begin foreclosure proceedings until a borrower is 3-6 months behind on their payments. Although missing a single payment is a default under the terms of most loan documents, lenders have neither the time nor the desire to foreclose on borrowers who have missed one payment. The process will be initiated when it becomes clear that the debt can no longer be serviced. This post deals with the timing of a foreclosure once your lender has started the process and has instituted a foreclosure action against your property.
The speed with which a bank can foreclose on a borrower varies based on state law. There are basically two different types of jurisdictions for foreclosure purposes: power of sale jurisdictions and judicial foreclosure jurisdictions. In over half the states, the prevailing method of foreclosure is non-judicial power of sale foreclosure. What does this mean? If you have entered into a deed of trust with your mortgage lender, your deed is held by a Trustee pending full payment of your note. In the event you fail to make your mortgage payments the trustee has authority to sell your home at auction. Power of sale foreclosure can occur much more quickly than judicial foreclosure because the trustee vested with the power of sale does not need court oversight to sell the property. The trustee will give Notice of a public foreclosure sale and then sell the distressed property to the highest bidder. A court will usually not oversee the process. If a default has occurred the trustee is permitted to go through with the foreclosure sale after a relatively short notice period (usually two to three months from the date foreclosure proceedings are instituted). If you live in a power of sale Jurisdiction, your mortgage lender can complete the foreclosure process in two to three months. Today, 29 states (Alabama, Alaska, Arizona, California, Colorado, the District of Columbia, Georgia, Hawaii, Idaho, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nevada, New Hampshire, North Carolina, Oregon, Rhode Island, South Dakota, Tennessee, Texas, Utah, Washington, West Virginia and Wyoming) allow foreclosure by the power of sale
Judicial foreclosure is available in every state and is the required method of foreclosure in many states. Judicial foreclosure jurisdictions require a court to oversee the foreclosure process. Like power of sale jurisdictions, all interested parties must receive notice of the foreclosure sale. Judicial foreclosure proceedings can take a year or more to be completed . The requirement that the lender foreclose through the court system slows down the process considerably. While either method of foreclosure can be successfully challenged by an attorney, the court oversight of judicial foreclosure allows more procedural leverage to slow down aggressive lenders.
It is important for consumers to understand that they have rights in the fight against foreclosure. Power of sale jurisdictions allow for your property to be sold outside of court supervision but they still require you receive adequate notice of the sale and that your property be sold for a reasonable price. Hiring an experienced foreclosure defense attorney in a judicial foreclosure jurisdiction could buy you months while you fight back against the bank. Bankruptcy, although a last resort, will stop a foreclosure dead in its tracks due the Automatic Stay that freezes all creditor collection actions the minute a case is filed. I have filed many bankruptcy cases for clients the night before their home was scheduled to be sold at auction and had the process stopped. Chapter 13 bankruptcy may allow you to stay in your home while getting caught up on mortgage arrearages that have spiraled out of control. You have options and there is help available, but remember if you are in a power of sale jurisdiction and have executed a deed of trust with your lender, the foreclosure process can be completed in a matter of months.
Gladys have been writing articles for nearly 2 years. Come visit his blogs more often for tips and advice that helps people with the interest for wyoming foreclosures and great passion and knowledge for foreclosure listings and all the different options & providers available in the market today. Find out for more info also here wyomingforeclosures.org
The speed with which a bank can foreclose on a borrower varies based on state law. There are basically two different types of jurisdictions for foreclosure purposes: power of sale jurisdictions and judicial foreclosure jurisdictions. In over half the states, the prevailing method of foreclosure is non-judicial power of sale foreclosure. What does this mean? If you have entered into a deed of trust with your mortgage lender, your deed is held by a Trustee pending full payment of your note. In the event you fail to make your mortgage payments the trustee has authority to sell your home at auction. Power of sale foreclosure can occur much more quickly than judicial foreclosure because the trustee vested with the power of sale does not need court oversight to sell the property. The trustee will give Notice of a public foreclosure sale and then sell the distressed property to the highest bidder. A court will usually not oversee the process. If a default has occurred the trustee is permitted to go through with the foreclosure sale after a relatively short notice period (usually two to three months from the date foreclosure proceedings are instituted). If you live in a power of sale Jurisdiction, your mortgage lender can complete the foreclosure process in two to three months. Today, 29 states (Alabama, Alaska, Arizona, California, Colorado, the District of Columbia, Georgia, Hawaii, Idaho, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nevada, New Hampshire, North Carolina, Oregon, Rhode Island, South Dakota, Tennessee, Texas, Utah, Washington, West Virginia and Wyoming) allow foreclosure by the power of sale
Judicial foreclosure is available in every state and is the required method of foreclosure in many states. Judicial foreclosure jurisdictions require a court to oversee the foreclosure process. Like power of sale jurisdictions, all interested parties must receive notice of the foreclosure sale. Judicial foreclosure proceedings can take a year or more to be completed . The requirement that the lender foreclose through the court system slows down the process considerably. While either method of foreclosure can be successfully challenged by an attorney, the court oversight of judicial foreclosure allows more procedural leverage to slow down aggressive lenders.
It is important for consumers to understand that they have rights in the fight against foreclosure. Power of sale jurisdictions allow for your property to be sold outside of court supervision but they still require you receive adequate notice of the sale and that your property be sold for a reasonable price. Hiring an experienced foreclosure defense attorney in a judicial foreclosure jurisdiction could buy you months while you fight back against the bank. Bankruptcy, although a last resort, will stop a foreclosure dead in its tracks due the Automatic Stay that freezes all creditor collection actions the minute a case is filed. I have filed many bankruptcy cases for clients the night before their home was scheduled to be sold at auction and had the process stopped. Chapter 13 bankruptcy may allow you to stay in your home while getting caught up on mortgage arrearages that have spiraled out of control. You have options and there is help available, but remember if you are in a power of sale jurisdiction and have executed a deed of trust with your lender, the foreclosure process can be completed in a matter of months.
Gladys have been writing articles for nearly 2 years. Come visit his blogs more often for tips and advice that helps people with the interest for wyoming foreclosures and great passion and knowledge for foreclosure listings and all the different options & providers available in the market today. Find out for more info also here wyomingforeclosures.org
Subscribe to:
Posts (Atom)