Pending home sales rise in February

On March 28, 2011, in Gay Las Vegas, Las Vegas Housing Market, by Gay Real Estate Agent in Las Vegas

The Pending Home Sales Index, a forward-looking indicator, rose 2.1 percent to 90.8, based on contracts signed in February, from 88.9 in January. The index is 8.2 percent below 98.9 recorded in February 2010. The data reflects contracts and not closings, which normally occur with a lag time of one or two months. Lawrence Yun, […]

The Pending Home Sales Index, a forward-looking indicator, rose 2.1 percent to 90.8, based on contracts signed in February, from 88.9 in January. The index is 8.2 percent below 98.9 recorded in February 2010. The data reflects contracts and not closings, which normally occur with a lag time of one or two months.

Lawrence Yun, NAR chief economist, says it’s important to look at the broader trend. “Month-to-month movements can be instructive, but in this uneven recovery it’s important to look at the longer term performance,” he said. “Pending home sales have trended up very nicely since bottoming out last June, even with periodic monthly declines. Contract activity is now 20 percent above the low point immediately following expiration of the home buyer tax credit.”

Yun notes there could have been some weather impact in the February data. “All of the regions saw gains except for the Northeast, where unusually bad winter weather may have curtailed some shopping and contract activity.”

The PHSI in the Northeast fell 10.9 percent to 65.5 in February and is 18.4 percent below a year ago. In the Midwest, the index rose 4.0 percent in February to 81.1 but is 15.9 percent below February 2010. Pending home sales in the South increased 2.7 percent to an index of 100.3 but are 5.3 percent below a year ago. In the West, the index rose 7.0 percent to 105.6 and is 0.6 percent higher than February 2010.

“We may not see notable gains in existing-home sales in the near term, but they’re expected to rise 5 to 10 percent this year with the economic recovery, job creation, and excellent affordability conditions providing confidence to buyers who’ve been on the sidelines,” Yun said.

If you would like to start your own Las Vegas home Search click here! Or if you would like a specific search based on your criteria, please contact Felipe Crook at 1-866-589-1646.

Felipe Crook

Realty ONE Group

8395 Sunset Road, Ste 190

Las Vegas, NV 89113

Felipe@felipecrook.com

1-866-589-1646

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Existing home sales dip in February Nationally

On March 21, 2011, in Las Vegas Housing Market, by Gay Real Estate Agent in Las Vegas

Existing-home sales dropped 9.6 percent to a seasonally adjusted annual rate of 4.88 million in February from an upwardly revised 5.40 million in January, and are 2.8 percent below the 5.02 million pace in February 2010. Lawrence Yun, NAR chief economist, expects an uneven recovery. “Housing affordability conditions have been at record levels and the […]

Existing-home sales dropped 9.6 percent to a seasonally adjusted annual rate of 4.88 million in February from an upwardly revised 5.40 million in January, and are 2.8 percent below the 5.02 million pace in February 2010.

Lawrence Yun, NAR chief economist, expects an uneven recovery. “Housing affordability conditions have been at record levels and the economy has been improving, but home sales are being constrained by the twin problems of unnecessarily tight credit, and a measurable level of contract cancellations from some appraisals not supporting prices negotiated between buyers and sellers,” he said. “This tug and pull is causing a gradual but uneven recovery. Existing-home sales remain 26.4 percent above the cyclical low last July.”

A parallel NAR practitioner survey shows first-time buyers purchased 34 percent of homes in February, up from 29 percent in January; they were 42 percent in February 2010.

Cash Is King
All-cash sales were a record 33 percent in February, up from 32 percent in January; they were 27 percent in February 2010. Investors accounted for 19 percent of sales activity in February, down from 23 percent in January; they were 19 percent in February 2010. The balance of sales was to repeat buyers.

NOTE: The statistic above is a national statistic. In Las Vegas, cash sales were 54%! Why are investors flocking to our market? Because there is inherent value in our homes in the valley! Start your Las Vegas Home Search HERE!The national median existing-home price for all housing types was $156,100 in February, which is 5.2 percent below February 2010. Distressed homes – sold at discount – accounted for a 39 percent market share in February, up from 37 percent in January and 35 percent in February 2010. “The decline in price corresponds to the record level of all-cash purchases where buyers – largely investors – are snapping up homes at bargain prices,” Yun explained. “We’d be seeing greater numbers of traditional home buyers if mortgage credit conditions return to normal.”

NAR President Ron Phipps said buyers should look into loan availability as soon as they decide they want to buy. “Despite very affordable mortgage interest rates, credit remains a challenge – buyers should check their personal credit, and mortgage availability in their area,” he said. “REALTORS® are an excellent resource to learn about all of the marketplace factors, but in this tight credit environment it’s important to learn up front what a lender might be willing to offer as well as specific programs that might be available in your location.”

Total housing inventory at the end of February rose 3.5 percent to 3.49 million existing homes available for sale, which represents an 8.6-month supply at the current sales pace, up from a 7.5-month supply in January.

According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage rose to 4.95 percent in February from 4.76 percent in January; the rate was 4.99 percent in February 2010.

Single-family home sales fell 9.6 percent to a seasonally adjusted annual rate of 4.25 million in February from 4.70 million in January, and are 2.7 percent below the 4.37 million pace in February 2010. The median existing single-family home price was $157,000 in February, which is 4.2 percent below a year ago.

Existing condominium and co-op sales dropped 10.0 percent to a seasonally adjusted annual rate of 630,000 in February from 700,000 in January, and are 3.1 percent lower than the 650,000-unit level one year ago. The median existing condo price was $150,400 in February, down 11.1 percent from February 2010.

Performance by Region
Existing-home sales in the Northeast fell 7.2 percent to an annual pace of 770,000 in February and are 8.3 percent below February 2010. The median price in the Northeast was $230,200, down 9.5 percent from a year ago.

Existing-home sales in the Midwest dropped 12.2 percent in February to a level of 1.01 million and are 9.0 percent lower than a year ago. The median price in the Midwest was $122,000, which is 5.4 percent below February 2010.

In the South, existing-home sales fell 10.2 percent to an annual pace of 1.84 million in February but are unchanged from February 2010. The median price in the South was $134,600, down 3.9 percent from a year ago.

Existing-home sales in the West declined 8.0 percent to an annual level of 1.26 million in February and are 2.4 percent below a year ago. The median price in the West was $190,000, which is 5.2 percent below January 2010.

Felipe Crook

Realty ONE Group

8395 Sunset Road, Ste 190

Las Vegas, NV 89113

Felipe@felipecrook.com

1-866-589-1646

Banks are starting to fix foreclosures in Vegas

On March 16, 2011, in Las Vegas Foreclosures, by Gay Real Estate Agent in Las Vegas

What? You mean a house that looks pretty sells for more money?!  I’m shocked!  FINALLY some of these banks are getting that concept.  Only took 3 years of depressed prices and tons of foreclosures to get them to learn that. More banks are investing thousands of dollars to fix up foreclosures in trying to spur […]

What? You mean a house that looks pretty sells for more money?!  I’m shocked!  FINALLY some of these banks are getting that concept.  Only took 3 years of depressed prices and tons of foreclosures to get them to learn that.

More banks are investing thousands of dollars to fix up foreclosures in trying to spur sales and appeal to a broader buying pool. Banks have inherited plenty of foreclosed homes that have everything from water damage, mold, broken windows, and missing plumbing fixtures.

But while banks used to be hesitant to invest much money in fixing up these homes, more real estate pros say that banks are heeding their suggestions for repairs and seeing the benefits of how a little investment can make these properties more sellable. As such, they are paying for new paint and carpet, refinishing damaged floors, replacing old windows, and repairing leaky roofs.

They hope to extend the foreclosed homes’ appeal past traditional investors and professional rehabbers. For example, home buyer would have trouble securing a mortgage on homes that lenders deem “uninhabitable” because of needed repairs.

The banks interest in fixing up these properties also can help the overall real estate market because the foreclosed properties can sell at a higher price.

Real estate agents say they are making more suggestions to banks on how to spruce up the properties. First, they identify the target customer for a property. For example, if the home will likely appeal to owner-occupant, agents may recommend fixes such as paint to $25,000 kitchen remodel.

In Las Vegas, the amount of foreclosures that need to be fixed up I would say are about 50%. Half of the bank owned homes will require new carpet and paint to bring it up to speed. The foreclosure properties that are in mint condition are usually snatched up very quickly. Many of the buyers I work with are suprised when I say that, because they keep hearing in the media that the amount of foreclosures in Las Vegas are astounding. We DO have a lot of homes on the market, but over 50% of our total inventory are short sales. These short sales take on average 90 days to get a response from the bank, and only 34% of these short sales close with the first buyer. With so many of the homes for sale in short sale, many buyers are looking to move in quicker which means they end up looking at foreclosures and regular sellers. Foreclosures in Las Vegas make up 20% of all the homes on the market, which makes a lot of buyers looking at a small number of homes.

If you are interested in doing a foreclosure search, you can start below, or give me a call directly at 1-866-589-1646.

 

Felipe Crook

Realty ONE Group

8395 Sunset Road, Ste 190

Las Vegas, NV 89113

Felipe@felipecrook.com

1-866-589-1646

Las Vegas Housing Market Stats for February

On March 9, 2011, in Las Vegas Housing Market, by Gay Real Estate Agent in Las Vegas

Here are the latest numbers for the Las Vegas housing Market for February 2011. There are some good signs in these numbers, but we still have a way to go before we can consider calling our market a recovery. SFR Sold Volume: February’s reported sales volume of 2,591 units is the best February of the […]

Here are the latest numbers for the Las Vegas housing Market for February 2011. There are some good signs in these numbers, but we still have a way to go before we can consider calling our market a recovery.

SFR Sold Volume:

February’s
reported sales volume of 2,591 units is the best February of the past 7
years that I have been collecting data for my clients. This was a 3.3%
increase over January, and an 8.4% increase compared to February of last
year. Based on the historical trends as seen on the attached SFR volume
graph, March has always shown a significant increase in closed SFR
activity.

SFR Average Sold Price:

February
‘s average sales price dropped -0.5% from January 2011, and -7.1% from
same month last year. Most housing analysts predict a further decline in
Las Vegas housing prices as foreclosures and short sales, or homes sold
for less than the principal balance, continue to dominate the market.
In conjunction with prices falling, the percentage of cash buyers has
risen, reaching 53.8 percent in February.

SFR Inventory:

At
the end of February the SFR “available” units (only those without
offers) stood at 12,019 units. This is a -3.6% decline over the January
units, and a +50.7% increase over February of 2010. When including
pending and contingent to this “available unit” number, the total rises
to 22,307. This is a +1.3% increase over January, and when compared to
February of 2010, a +10.1% increase for available units.

SFR ‘Sold’ Dollar Value:

February’s
total SFR dollar value for the 2,591 SFR units was $405,069,742. This
was a +2.8% increase compared to January 2011, but was a +0.7% increase
compared to the February 2010 total dollar value.

Please check out Hubble Smiths article on the Las Vegas Real Estate Market in todays Las Vegas Review Journal: http://www.lvrj.com/business/home-sales-prices-rebound-in-february-117596943.html

If
there is any additional information you would like to have feel free to
let me know and I will do what I can to accommodate your request. Also, If you are interested in searching for properties just like a real estate agent, start your free search for all available properties on the MLS below. You can save you favorite properties, and get notified of new ones as they come on the market.

Felipe Crook

Realty ONE Group

8395 Sunset Road, Ste 190

Las Vegas, NV 89113

Felipe@felipecrook.com

1-866-589-1646