Karen Reeber's Real Estate Blog | Farmington Hills MI | First Time Home Buyers, Short Sales, Housing Market, Relocation, Foreclosures, Homes for Sale
| Follow My Blog |
Direct: (248)-730-0451
RE/MAX New Trend
From 5/17/2009- 5/23/2009. 17 listed homes went under contract and/or sold in Farmington Hills last week from $16,200 to $349,000, 9 of which were bank owned or otherwise distressed sales.
31 new listings came on the market last week from $29,900 to $999,999, 9 of which are bank owned homes or otherwise distressed properties.
And, for the rental market, 4 homes recorded as being rented over the last week by an agent. Overall, 8 more homes were added to the rental market by an agent.
We all think that we know what Memorial Day is all about; however, many of us don’t truly give this day the respect and reverence that it deserves. I wanted to know more about how this day actually came about so I looked it up on Wikipedia and found out some facts that I never knew about.
Originally called Decoration Day, Memorial Day is a remembrance for all those who have died in our nation’s service. Memorial Day was officially proclaimed on May 5th 1868 by General John Logan, a national Commander of the Grand Army of the Republic in his General Order number 11. It was first observed on May 30th, 1868 when flowers were placed on the graves of Union and Confederate soldiers at Arlington National Cemetery.
Memorial Day is now observed by most states on the last Monday of May. Moina Michael conceived the idea to wear red poppies on Memorial Day to honor those who have died serving the nation during war. The VFW became the first veteran organization to sell red poppies shortly before Memorial Day in 1922.
Memorial Day is about reconciliation. It’s about honoring those who gave their lives.
In December 2000, there was a resolution passed to help re-educate and remind Americans about what Memorial Day is supposed to be about. This resolution is called the “National Moment of Remembrance”. It asks that all Americans pause at 3:00 in the afternoon (local time) and give a moment to remember and respect the lives that this day stands for.
The freedoms that we still have, which would include owning real estate, we have because of the many who have given their all.
While weaker than expected economic data pushed mortgage rates lower last week, concerns about the coming supply of debt needed to pay for government programs moved mortgage rates higher this week, leaving rates nearly unchanged over the past two weeks.
This week, the economic data had little impact, but mortgage rates moved higher for a variety of other reasons. The Treasury announced a huge $101 billion in auctions next week, meaning additional supply for the market to absorb. Compounding the problem, the UK was placed on the watch list on Thursday for a possible downgrade of the credit rating for its debt, due to its high level of government debt. A lower credit rating implies greater risk, pushing yields higher. Investors are now concerned that the US also may be at risk of a downgrade. Finally, there was hope that the Fed would step up its asset purchases, but the Fed held steady its level of Treasury and mortgage-backed security (MBS) buying this week, disappoint ing many investors.
The housing data released this week was mixed. While April Housing Starts and Building Permits fell to record lows, the weakness came from multi-family units. Construction of single-family homes actually rose 3% from March, its second consecutive monthly increase. In addition, the National Association of Home Builders (NAHB) may confidence index rose to the highest level since September 2008.
Last week, the Secretary of the Department of Housing and Urban Development (HUD) announced that home buyers would be able to use the $8,000 first-time home buyer tax credit for down payments on FHA loans through the use of bridge loans. HUD also posted the information on its website (HUD Mortgagee Letter 09-15). Since then, HUD has completely removed the information from its website. While no official explanation has been given, it appears that HUD and the IRS need more time to research the details of the program before moving forward.
Next week, there will be Treasury auctions on Tuesday, Wednesday, and Thursday. Existing Home Sales and New Home Sales will come out on Wednesday and Thursday, respectively. Durable Orders, an important indicator of economic activity, will be released on Thursday. The Chicago PMI national manufacturing index is scheduled for Friday, along with the first revision to first quarter Gross Domestic Product (GDP). Consumer Confidence and Consumer Sentiment will round out the economic reports. Mortgage markets will be closed on Monday for Memorial Day.
From 5/10/2009- 5/16/2009. 29 listed homes went under contract and/or sold in Farmington Hills last week from $29,900 to $605,000, 20 of which were bank owned or otherwise distressed sales.
38 new listings came on the market last week from $29,900 to $699,000, 4 of which are bank owned homes or otherwise distressed properties.
And, for the rental market, 6 homes recorded as being rented over the last week by an agent. Overall, 5 more homes were added to the rental market by an agent.
After several weeks of improving economic forecasts, weaker than expected economic data this week tempered some of the optimism for a near-term recovery, which was favorable for mortgage markets. Tame inflation data and sustained Fed purchases of mortgage-backed securities (MBS) also helped. As a result, mortgage rates fell moderately during the week.
With a full economic calendar, the biggest surprise this week was the unexpectedly weak Retail Sales report. Retail Sales account for about 70% of economic activity, and many investors were hopeful that the report would lend support to the idea that the economy is poised to turn higher. Instead, a moderate decline in the monthly data caused investors to question how quickly the economy will rebound. For mortgage markets, weaker economic activity is good news, since it generally means lower inflation. The monthly inflation reports released this week showed that inflation is not a concern in the short-term. The April Consum er Price Index (CPI) was unchanged from March, and Core CPI inflation rose at a moderate 1.9% annual rate.
The Secretary of the Department of Housing and Urban Development (HUD) announced this week that home buyers will be allowed to use the $8,000 first-time homebuyer tax credit for down payments on purchases financed by FHA loans. FHA will allow approved lenders, nonprofits, and government agencies to advance the funds in the form of bridge loans that buyers would use for down payments. Buyers would repay the loans after they receive their tax refunds. The FHA will release more details on the program soon.
It will be a light week for economic data. The FOMC minutes from the April 29 Fed meeting will be released on Wednesday. These detailed notes on the discussion at the meeting often reveal additional insight into the Fed’s actions. Housing Starts will come out on Tuesday. The only other reports will be Leading Indicators and the Philly Fed index on Thursday. Mortgage markets will close early on Friday for Memorial Day weekend.
Some people can live in a community all of their lives and not know some of the true trivia facts. I thought I would make this a fun blog and just list some of the more interesting things that the residents may or may not know.
Test your knowledge and see if you know the following facts:
Facts provided through Wikipedia.
Not just cleaning as usual. Weather is getting nicer and we need to attend to preparing the things we use for spring and summer (like air conditioning) and putting to bed the things for winter (like heating systems).
If you are handy you can do things like check coils, filters, etc. If not, you might want to hire someone to come in and inspect the air conditioning before you need to run it for the warmer weather. A professional can also check the furnace, clean out where appropriate, advise on helping you keep it in good condition for longer operating life. Sprinkler systems might also be left to a professional to come out and inspect for broken heads, etc.; and, get turned on after they have been blown out for the winter months.
Window washing is also something to help brighten your home. Having clean windows outside during the winter months is tough (even though you can keep them clean on the inside). The job may not be pleasant but the results are very rewarding when your windows are squeeky clean and you can see everything clearly.
Screens should also be attended to. You can replace damaged ones if necessary; but, rips or tears in the screening material itself are easy to repair.
If you are a true “do it yourselfer”, there are many internet sites that can help with directions and explanations. Your local hardware store or Lowes or Home Depot usually have people that can help you with problems that you cannot figure out; or, at least, direct you to where you can find your answers.
The month of May brings us better weather so we can start enjoying (and taking care of) our homes on the outside as well as on the inside.
Increased optimism about the pace of an economic recovery helped the stock market and hurt bond markets this week. As a result, mortgage rates ended the week a little higher. Mortgage rates are being pressured by concerns that an economic rebound will bring increased inflation sooner than recently thought. In addition, large Treasury auctions are adding significant supply to the market, forcing yields higher. Fortunately, foreign investors remain active buyers and Fed purchases continue at a strong pace.
Comments from Fed Chief Bernanke and generally stronger than expected economic data fueled upward revisions to the consensus economic forecast this week. In Tuesday’s testimony to Congress, Bernanke offered his most optimistic economic outlook since the recession began. He expects economic activity to “bottom out, then to turn up later this year”. He warned that the labor market may recover very slowly, but he expects that the Unemployment Rate will peak below 10%. He pointed to the decline in mortgage rates as a successful outcome of Fed programs and suggested that there have been signs that the housing market may be near a bottom. Housing sector data released during the week supported his view. Pending Home Sales, a leading indicator for the housing market, rose 3%, and Construction Spending posted gains as well.
In a typical economic recovery, the labor market is one of the last areas to turn around, and the pattern is expected to hold this year. The April Employment report showed that the economy lost -539K jobs, which was a large number but fewer than expected. The Unemployment Rate rose to 8.9% from 8.5% in March. The consensus outlook is that a pickup in the job market will lag an improvement in the overall economy by several months.
The most significant economic data next week will be the monthly inflation reports. The Producer Price Index (PPI) focuses on the increase in prices of “intermediate” goods used by companies to produce finished products and will come out on Thursday. The Consumer Price Index (CPI), the most closely watched monthly inflation report, will come out on Friday. CPI looks at the price change for those finished goods which are sold to consumers. In addition, Retail Sales on Wednesday and Industrial Production on Friday will provide important indications of economic activity. Retail Sales account for about 70% of economic activity. The Trade Balance, the Empire State index, and Consumer Sentiment will round out a busy week
Avg. Sales Price: $180,101
Avg. Days on Market: 128 *From final list
Free Market Alerts Get local reports delivered to you
- Copyright © 2010 Inside Real Estate, LLC
