Housing Market: California Home Sales And Prices Expected To Rise In 2013 At Slower Rate Due To Effects Of “Underwater Borrowers”

5 10 2012

When will the housing market be “corrected?”The housing recovery in California is expected to continue through to 2013, but the market won’t be “corrected” until as far off as 2017, according to the California Housing Market Forecast released by the CALIFORNIA ASSOCIATION OF REALTORS.

  • Homes sales and prices are expected to keep rising, but lower-than-normal inventory levels and underwater mortgages are key hindrances to a faster recovery, according to Leslie Appleton-Young, chief economist with the CALIFORNIA ASSOCIATION OF REALTORS®.
  • Home sales are forecasted to rise 1.3 percent to 530,000 units next year, based on the projected tally of 523,300 units this year. That’s a slower growth than that of 2011 to 2012, which is roughly 5 percent.
  • The momentum in prices also is expected to carry through to 2013, a result of pent-up demand for a limited housing supply. The median price could rise 5.7 percent to $335,000 in 2013. That’s lower than the projected price growth from 2011 to 2012, an estimated 11 percent. The state has a 3.2 months’ worth of housing inventory, significantly lower than the 16 months’-plus supply of saw roughly four years ago.
  • “Pent-up demand from first-time buyers will compete with investors and all-cash offers on lower-priced properties, while multiple offers and aggressive bidding will continue to be the norm in mid- to upper-price range homes,” said Appleton-Young in the report.
  • Appleton-Young says what underwater borrowers throughout the state will do — be it selling or holding — will have a big effect on next year’s housing recovery.
  • Other things to watch next year that will have a bearing on the housing market include: policies related to the state,local and federal governments; and housing and monetary policies, Appleton-Young said.

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Categories : Bank-Owned, California, Financing, Foreclosures, Home Sales, Home Values, Housing Market, Purchases, Realtors, REO's, Shadow Inventory, Statistics, Surveys

California Home Sales And Prices Move Higher In July; Prices Near Four-Year High

21 08 2012


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Categories : California, Home Sales, Home Values, Homes, Housing Market, Statistics

Housing Market: National Association Of Realtors (NAR) Reports June 2012 Home Price Improvements Due To Fewer Distressed Properties; First-Time Homebuyers Account For 32% Of Purchases

14 08 2012

Lawrence Yun, NAR chief economist, said the bigger story is lower inventory and the recovery in home prices. “Despite the frictions related to obtaining mortgages, buyer interest remains solid. But inventory continues to shrink and that is limiting buying opportunities. This, in turn, is pushing up home prices in many markets,” he said. “The price improvement also results from fewer distressed homes in the sales mix.”

  • Distressed homes3 – foreclosures and short sales sold at deep discounts – accounted for 25 percent of June sales (13 percent were foreclosures and 12 percent were short sales), unchanged from May but down from 30 percent in June 2011. Foreclosures sold for an average discount of 18 percent below market value in June, while short sales were discounted 15 percent. “The distressed portion of the market will further diminish because the number of seriously delinquent mortgages has been falling,” said Yun.
  • First-time buyers accounted for 32 percent of purchasers in June, compared with 34 percent in May and 31 percent in June 2011. “A healthy market share of first-time buyers would be about 40 percent, so these figures show that tight inventory in the lower price ranges, along with unnecessarily tight credit standards, are holding back entry level activity,” Yun said.

For more:  http://www.realtor.org/node/4785


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Categories : Delinquencies, Economic Statistics, Foreclosures, Home Sales, Home Values, Homes, Housing Market, Purchases, Realtors, REO's, Statistics

California Housing Market: Pending Home Sales Increase In May 2012 While Distressed Property Sales Fall To 41% Of Total Sales

28 06 2012

C.A.R.’s Pending Home Sales Index rose to 128.8 in May compared with 115.8 a year earlier.  Pending home sales also posted double-digit gains compared with the previous year for the fourth consecutive month. Additionally, the share of distressed sales continued to decline from year-ago levels, signaling a return of non-investors to the housing market.

  • The share of equity sales – or non-distressed property sales – compared with total sales improved further in May.  The share of equity sales rose to 59.3 percent in May, up from 55.8 percent in April.  Equity sales made up 51 percent of all sales in May 2011.
  • Likewise, shares of REOs and short sales sold statewide decreased in May, with the share of REO sales dropping the most markedly from a year ago.  The combined share of all distressed property sales fell to 40.7 percent in May, down from April’s 44.2 percent and from 49 percent in May 2011.
  • The share of short sales declined in May to 19.4 percent, down from 20.6 percent in April and from 20.3 percent a year ago.
  • Of the distressed properties, the share of REO sales declined further in May to 21 percent, down from 23.2 percent in April and 28.4 percent in May 2011.
  • The available supply of REOs for sale continued to tighten in May, with the Unsold Inventory Index declining from a 2-month supply in April 2012 to 1.5 months in May 2012.

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Categories : Bank-Owned, Defaults, Delinquencies, Economic Statistics, Housing Market, Purchases, REO's, Reports, Statistics

Housing Market Recovery Dependent On Reduction Of “Oversupply Of Distressed Homes” (Video)

10 09 2011

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Categories : Bank-Owned, Defaults, Delinquencies, Financing, Foreclosures, Housing Market, Investors, Mortgage Industry, Purchases

U.S. Home Sales Fell 0.8% In June To Annual Rate Of 4.77 Million Homes As First-Time Homebuyers Fall To 31% Of Total And Purchase Cancellations Rise To Record 16% As Appraisals Come In Low

20 07 2011
  • Home sales fell 0.8% in June to a seasonally adjusted annual rate of 4.77 million homes
  • Economists say that 6 million homes per year represent a healthy housing market
  • The sales pace is behind last year’s 4.91 million homes sold — the weakest sales in 13 years
  • Sales have fallen in four of the past five years
  • A record number of homebuyers who signed contracts canceled deals last month, approximately 16%
  • First-time buyers fell to a very low 31% of purchase transactions (they represent 50% in a health market)
  • Declining home prices have kept many people from selling their houses and taking new jobs in growing areas
  •  They have also made people feel less wealthy and that has reduced the consumer spending that drives about 70 percent of economic activity
  • Bigger down payments, tougher lending rules, high debt and a shortage of desirable starter homes are keeping many would-be buyers away
  • Even some with good credit and enough money for a down payment are holding off because they are worried home prices will keep falling

For more:  http://finance.yahoo.com/news/Home-sales-fell-in-June-fewer-apf-154260181.html?x=0&sec=topStories&pos=1&asset=&ccode=


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Categories : Economic Statistics, First-Time Homebuyer, Home Values, Housing Market, Mortgage Industry, Purchases, Statistics

Fannie Mae Releases “Home Price Change Peak-To-Current” As Of March 31, 2011; Nevada, Florida And Arizona All Suffer Over 50% Price Drops

17 05 2011

  • Top %: State/Region Home Price Decline Rate percentage from applicable peak in that state through March 31, 2011
  • Bottom %: Percent of Fannie Mae single-family conventional guaranty book of business by unpaid principal balance as of March 31, 2011
  • Note: Regional home price decline percentages are a housing stock unit-weighted average of home price decline percentages of states within each region.
  • CLICK ON ”FANNIE MAE”  ON CHART ABOVE TO VIEW ENTIRE REPORT

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Categories : Economic Statistics, Fannie Mae, Home Sales, Housing Market, Mortgage Industry, Statistics, Surveys

Home Prices In California Decline 4.9% Statewide In Past Twelve Months To March 2011 On Heavy Distressed Home Sales And Loss Of Federal Tax Credit

21 04 2011

 

  • The statewide median price of an existing, single-family detached home sold in California increased 5.4% in March compared with February to $286,010
  • But prices declined 4.9% compared with March 2010’s median price of $300,900
  • The decline in prices year over year is attributed to an increase in distressed sales
  • It is clear that prices and sales in 2010 benefitted from the federal home buyer tax credit
  • The pace of sales for the first three months of this year is in line expectations for all of 2011, according to C.A.R.

March 2011 County Sales and Price Activity
Regional and Condo Sales Data Not Seasonally Adjusted

March-11 Median Price of Existing Single-Family Homes
State/Region/County Mar-11 Feb-11   Mar-10   MTM% Chg YTY% Chg
CA SFH (SAAR) $286,010 $271,320   $300,900 r 5.4% -4.9%
CA Condo/Townhomes $232,130 $236,360   $263,310 r -1.8% -11.8%
Los Angeles Metropolitan Area $272,600 $266,830   $280,160   2.2% -2.7%
Inland Empire $172,730 $174,040   $177,910   -0.8% -2.9%
S.F. Bay Area $487,060 $444,020   $498,980 r 9.7% -2.4%
               
S.F. Bay Area              
Alameda $480,250 $458,060   $476,560   4.8% 0.8%
Contra-Costa (Central County) $567,310 $516,670   $587,690   9.8% -3.5%
Marin $826,700 $632,580   $790,620   30.7% 4.6%
Napa $332,610 $354,760   $351,560   -6.2% -5.4%
San Francisco $679,770 $606,560   $720,390   12.1% -5.6%
San Mateo $695,000 $623,000   $800,000   11.6% -13.1%
Santa Clara $561,500 $525,250   $590,000   6.9% -4.8%
Solano $193,480 $191,790   $211,540   0.9% -8.5%
Sonoma $325,910 $315,340   $359,050   3.4% -9.2%
Southern California              
Los Angeles $282,170 $286,220   $290,000 r -1.4% -2.7%
Orange County $523,610 $496,540   $550,420 r 5.5% -4.9%
Riverside County $201,520 $203,630   $201,100   -1.0% 0.2%
San Bernardino $130,690 $131,470   $137,590   -0.6% -5.0%
San Diego $383,620 $367,770   $393,600   4.3% -2.5%
Ventura $443,920 $389,650   $444,890   13.9% -0.2%
Central Coast              
Monterey $260,000 $239,950   $245,000   8.4% 6.1%
San Luis Obispo $362,700 $328,750   $377,680 r 10.3% -4.0%
Santa Barbara $422,730 $380,000   $381,820 r 11.2% 10.7%
Santa Cruz $475,950 $451,000   $525,000   5.5% -9.3%
Central Valley              
Fresno $138,120 $141,360   $150,960   -2.3% -8.5%
Kern (Bakersfield) $129,900 $125,000   $136,000   3.9% -4.5%
Kings County $137,270 $154,000   $154,290   -10.9% -11.0%
Madera $133,530 $149,230   $146,000   -10.5% -8.5%
Merced $115,290 $117,270   $108,080   -1.7% 6.7%
Placer County $253,750 $269,670   $292,210   -5.9% -13.2%
Sacramento $168,250 $168,800   $183,330   -0.3% -8.2%
San Benito $247,500 $285,000   $275,610   -13.2% -10.2%
Tulare $121,950 $120,340   $145,140   1.3% -16.0%
Other Counties in California              
Amador $170,000 $200,000   $186,000   -15.0% -8.6%
Butte County $222,370 $190,000   $250,000   17.0% -11.1%
Humboldt $250,000 $238,890   $270,650   4.7% -7.6%
Lake County $94,170 $123,330   $155,000   -23.6% -39.2%
Mariposa And Tuolumne $154,440 $187,500   $204,690   -17.6% -24.5%
Mendocino $192,500 $200,000   $295,000   -3.8% -34.7%
Shasta $154,810 $162,110   $175,500   -4.5% -11.8%
Siskiyou County $112,500 $140,000   $150,000   -19.6% -25.0%
Tehama $125,000 $83,330   $132,860   50.0% -5.9%
             

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Categories : Bank-Owned, Condominiums, Defaults, Federal Government, Home Sales, Homes, Mortgage Industry, Purchases, Statistics

“Renovation Lending Institute” Housing Market Update: HUD Reports That Home Sales And Housing Prices Remain Weak And Struggling “To Regain Stable Footing” In March 2011

4 04 2011

 

“There’s no question that this month’s figures show a troubling dip in home sales and housing prices,” said HUD Assistant Secretary Raphael Bostic.

“…these statistics clearly show that housing markets across the country continue to struggle to regain stable footing. We must remain steadfast in our efforts to support homeowners and communities in ways to help advance market stabilization and a transition towards health.”

  • Housing market remains fragile as data through February paint a mixed picture of recovery. Home prices remain weak under continued strain from foreclosures and distressed home sales, according to CoreLogic data now available in the Housing Scorecard. Mortgage delinquencies continued a downward trend compared to early 2010 and foreclosure starts and completions remain below peak. However, as lenders review internal procedures related to foreclosure processing, many foreclosure actions have been delayed. The decline is likely to be temporary as lenders eventually revise and resubmit foreclosure paperwork in the coming months.

For more:  http://portal.hud.gov/hudportal/HUD?src=/press/press_releases_media_advisories/2011/HUDNo.11-050


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Categories : Defaults, Delinquencies, Economic Statistics, Federal Government, FHA, Home Sales, Homes, Housing Market, HUD, Mortgage Industry, Purchases

California Housing Market In Feb 2011: 56% Of Total Home Sales Are “Distressed” With REO Properties At 33%; Median Sales Price For REO Properties Is $199,000, Almost 50% Less Than “Non-Distressed” Home Prices

25 03 2011

Distressed housing market data:

  • The total share of all distressed property types sold statewide increased in February to 56 percent
  • This wa up from 54 percent in January and up from 55 percent in February 2010
  • The total share of REO (real estate-owned) sales was 33 percent in February, up from 32 percent in December
  • This was down from 36 percent in February 2010
  • The total share of short sales increased to 23 percent in February, up from 22 percent in January
  • This was up from 19 percent in February 2010
  • The statewide median price of non-distressed properties sold in February was $370,000
  • This was $95,000 or 34.5 percent higher than the short sale median price of $275,000 recorded in February
  • The February2011 REO median price was $199,900 or 53% of median price of non-distressed homes

For more:  http://www.car.org/newsstand/newsreleases/febpending/


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Categories : California, Defaults, Delinquencies, Federal Government, Financing, Foreclosures, Home Sales, Mortgage Industry, Realtors, The 203k Guy

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