Jupiter Florida Real Estate Broker

According to the 2013 NAR Survey of Home Buyers and Sellers:

‘When buyers were asked where they first learned about the home they purchased, 43 percent said the Internet; 33 percent from a real estate agent; 9 percent a yard sign or open house; 6 percent from a friend, neighbor or relative; 5 percent from home builders; 2 percent directly from the seller; 1 percent a print or newspaper ad; and less than 1 percent from other sources.’

This is the big question posed as for Buyers, Sellers and us as Realtors it affects where we allocate our advertising resources.

Note that by placing the property in the MLS for Realtors (33%) which is then used to populate the vast majority of internet sites (43%) though the internet data exchange (IDX) systems and placing a sing in the yard (9%) we have 85% market coverage.

By: Chris Ryder

When the economy picks up the feds wills top QE2 and this will add at least a point to mortgages…

Average U.S. rates on fixed mortgages declined this week after two weeks of increases

Mortgage buyer Freddie Mac said Thursday that the average rate on the 30-year loan fell to 4.22 percent from to 4.35 percent last week. The average on the 15-year fixed mortgage dipped to 3.27 percent from 3.35 percent.

Rates had spiked over the summer and reached a two-year high in July on speculation that the Federal Reserve would slow its bond purchases later this year. But the Fed held off in September and now appears poised to wait at least a few more months to see how the economy performs. The bond purchases are intended to keep long-term interest rates low.

Mortgage rates tend to follow the yield on the 10-year Treasury note. They have stabilized since September and remain low by historical standards.

Still, mortgage rates are nearly a full percentage point higher than in the spring. The uptick has contributed to a slowdown in home sales. The National Association of Realtors said sales of existing homes fell 3.2 percent in October, the second straight monthly decline.

To calculate average mortgage rates, Freddie Mac surveys lenders across the country on Monday through Wednesday each week. The average doesn’t include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount.

The average fee for a 30-year mortgage was unchanged at 0.7 point. The fee for a 15-year loan also was steady at 0.7 point.

The average rate on a one-year adjustable-rate mortgage held at 2.61 percent. The fee was unchanged at 0.4 point.

Despite the recent slowdown in the housing recovery, Federal Reserve policymakers last month said they still expected to dial down their easy-money policy within a few months, according to meeting minutes released Wednesday.

Fed officials also debated whether to pull back the bond-buying program even before the job market shows clear improvement if concerns about its costs and risks increase.

Policymakers said they could “slow the pace of purchases at one of its next few meetings,” depending on the economy, according to minutes of the Oct. 29-30 meeting.

The Fed is buying $85 billion a month in Treasury bonds and mortgage-backed securities in an effort to hold down long-term interest rates and stimulate economic and job growth. Financial markets had expected the Fed to begin to taper the purchases in September, but the Fed put off the move amid weaker economic reports and the looming budget showdown in Congress.

The Fed’s decision to maintain the level of bond purchases in October was widely expected, in part because the government shutdown delayed the release of economic reports. Fed policymakers also said “the housing sector slowed somewhat in recent months, and (budget cuts and tax increases were) restraining economic growth,” according to the minutes.

Still, Fed officials “considered scenarios” under which they might taper the purchases “before an unambiguous further improvement” in the job outlook “was apparent.”

For example, the Fed has discussed the risks of eventual high inflation and of bubbles forming in markets, such as junk bonds, as low rates drive investments to riskier assets.

If the Fed’s policymaking committee trimmed the purchases before the outlook substantially improved because of rising costs, it “would need to communicate (that) effectively” the minutes say.

Even more critically, the Fed said “it might well be appropriate to offset the effects of reduced purchases by” taking other steps that could boost growth.

The Fed, for instance, has discussed lowering the threshold unemployment rate for when it would consider raising a key short-term interest rate, changing it from a 6 percent unemployment rate goal to 6.5 percent. That interest rate has been near zero.

Last month, the minutes show, “a couple” of policymakers favored reducing the threshold, but others noted that might raise concerns about the Fed’s “commitment to the thresholds.”

In a research note, Barclays Capital economist Peter Newland said the minutes “added to the sense that Fed policymakers are laying the groundwork.

Florida’s housing market continued its upswing in October 2013, with more closed sales, higher median prices, more new listings and a stabilizing supply of homes for sale, according to the latest housing data released by Florida Realtors®.

“Florida’s economy continues to improve, and that’s good news for the housing market,” says 2013 Florida Realtors President Dean Asher, broker-owner with Don Asher & Associates Inc. in Orlando. “October marks 23 months in a row that statewide median sales prices rose year-over-year for both single-family homes and for townhouse-condo properties. Last month, the median days on market (the midpoint of the number of days it took for a property to sell) was 46 days for single-family homes and 48 days for townhouses and condos. That means 50 percent of homes on the market in Florida sell in less than two months.

“On average, sellers received about 94 percent of their asking price in October. Interested home sellers are paying attention to this positive trend and entering the market, which in turn is helping to stabilize inventory levels.”

Statewide closed sales of existing single-family homes totaled 18,728 in October, up 6.5 percent compared to the year-ago figure, according to data from Florida Realtors Industry Data and Analysis department in partnership with local Realtor boards/associations. Closed sales typically occur 30 to 90 days after sales contracts are written.

Meanwhile, pending sales – contracts that are signed but not yet completed or closed – for existing single-family homes last month rose 3.4 percent over the previous October, and new listings increased 16.4 percent. The statewide median sales price for single-family existing homes last month was $169,000, up 16.6 percent from the previous year. The median is the midpoint; half the homes sold for more, half for less.

According to the National Association of Realtors (NAR), the national median sales price for existing single-family homes in September 2013 was $199,300, up 11.4 percent from the previous year. In California, the statewide median sales price for single-family existing homes in September was $428,810; in Massachusetts, it was $325,000; in Maryland, it was $256,672; and in New York, it was $230,000.

Looking at Florida’s year-to-year comparison for sales of townhouse-condos, a total of 8,598 units sold statewide last month, up 3.1 percent from October 2012. Meanwhile, pending sales for townhouse-condos last month eased slightly, down 3.6 percent compared to the year-ago figure, but new listings rose 9.8 percent. The statewide median price for townhouse-condo properties in October was $130,000, up 22.1 percent over the previous year.

Florida’s housing market continued to improve in third quarter 2013 with more closed sales, higher median prices, more pending sales and a stabilizing supply of homes for sale compared to the same quarter in 2012, according to the latest housing data released by Florida Realtors®.

“Data from the third quarter of 2013 shows that Florida’s housing market continues to grow and gain strength,” said 2013 Florida Realtors President Dean Asher, broker-owner with Don Asher & Associates Inc. in Orlando. “The housing sector is vital to the state’s economy, and Realtors across the state are reporting increased activity in their markets.

“At 7.0 percent, Florida currently has a lower unemployment rate than the nation, according to the August unemployment figures (the latest state data available.) More jobs will provide more stability for future growth in the state’s housing market and overall economy.”

Statewide closed sales of existing single-family homes totaled 60,661 in 3Q 2013, up 17.3 percent compared to the year-ago figure, according to data from Florida Realtors Industry Data and Analysis department in partnership with local Realtor boards/associations. Closed sales typically occur 30 to 90 days after sales contracts are written.

Meanwhile, pending sales – contracts signed but not yet completed or closed – for existing single-family homes rose 17.9 percent in the third quarter compared to the same period last year. The statewide median sales price for single-family existing homes in 3Q 2013 was $175,000, up 18.6 percent from the same quarter a year ago. The median is the midpoint; half the homes sold for more, half for less.

Looking at Florida’s year-to-year comparison for sales of townhouse-condos, a total of 27,200 units sold statewide in the third quarter, up 11.3 percent from the same three-month period in 2012. Pending sales for townhouse-condos in 3Q 2013 increased 12.4 percent compared to a year ago, while the statewide median for townhouse-condo properties was $130,000, up 23.8 percent over the same quarter last year.

In 3Q 2013, the median days on market (the midpoint of the number of days it took for a property to sell that month) was 48 days for single-family homes and 54 days for townhouse-condo properties.

“What’s remarkable for the third quarter data is that all metro areas in Florida show year-over-year increases in both prices and sales for single-family homes, and year-over-year increases in sales for condo-townhome properties,” says Florida Realtors Chief Economist Dr. John Tuccillo. “Inventories have begun to pick up a little bit, which may be consistent with cash sales declining as a percentage of overall sales. We’re alert to the fact that it may signal a trend.

Fla.’s foreclosure rate again No. 1, but that’s OK

No, seriously it is as we need to clear the courts of the backlog of foreclosures.

Florida reclaimed the title of America’s foreclosure capital last month, but it’s partly because of a positive development: Lenders are taking more homes to foreclosure auctions, the real estate analytics firm RealtyTrac says.

A rush of home investors has created a strong market for foreclosed homes, which is encouraging lenders to sell them through clerk of court auctions, RealtyTrac says. Eventually that should help lenders clear out their huge backlog of homes in foreclosure and those banks already have repossessed.

Florida previously ranked second to Nevada in foreclosures, but the Sunshine State pulled ahead of Nevada in October, according to RealtyTrac, which lists foreclosed homes for sale. One in every 332 homes in Florida last month received some type of foreclosure filing, whether it was an initial foreclosure notice, a notice of court auction or a repossession by a lender. Nevada’s foreclosure rate was 1 in 407 homes.

The Tampa-St. Petersburg-Clearwater area ranked fifth in the country in foreclosures among large metropolitan areas last month, with 1 in 302 homes getting some kind of foreclosure filing.

Things might not be as bad locally as those national rankings suggest.

First, Florida always looks bad in foreclosure rankings because foreclosures here have to wind their way through the court system; some other states have speedier, nonjudicial foreclosures. Those states have cleared their backlog of foreclosures, RealtyTrac Vice President Daren Blomquist said.

Lenders also seem to be more willing to sell homes in foreclosure lately instead of allowing foreclosures to linger in the court system. In Florida, the number of notices of foreclosure sale – in which lenders schedule a foreclosure auction through the clerk of court – reached a three-year high in October, Blomquist said. Lenders filed 11,606 notices of foreclosure sale in Florida last month.