Seasonally adjusted annual rate of home sales was 497,000 in June 2013, according to The Commerce Department, which said sales rose 8.3% on an year-over-year basis.
Speculation is that rising interest rates may have had a hand in this as people who had been thinking about buying a home may have moved faster because mortgage were rising during the month. This explanation concurs with my theory about continued rising home prices during the remainder of 2013.
The inventory levels for new homes is also tight, which is similar to existing home sales. USAToday, a national newspapaer, reports inventory of new homes would sell out in 3.9 months at the pace of sales during June 2013. The tight supplies are believed to be contributing to higher prices for new homes. I suspect a similar phenominon for sales of exisitng homes as has been discussed in previous posts.
I take an analytical approach to buying, selling and leasing real estate. I work with families, people looking for a rental home, a second home, investors, etc. As a Realtor, I am aware of trends in the domestic market, as well as in the local markets throughout South Florida. If you are thinking of selling or buying a home, please feel free text me or call me at 561-247-3550.
For free home searches, please text me your name, e-mail address and phone number or visit my Web-site at http://homes.MYsouthFLrealestate.com
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Member of Who's Who in Luxury Real Estate
Lang Realty
561-247-3550
An Analytical Approach To Buying, Selling and Leasing Real Estate
http://MYsouthFLrealestate.com
The greatest compliment you can give is the referral of your friends and loved ones
Boca Raton FL real estate for sale and surrounding areas including real estate properties for sale in: Belle Glade, Boca Raton, Boynton Beach, Bryant, Canal Point, Dania, Deerfield Beach, Delray Beach, Fort Lauderdale, Hallandale, Hialeah, Hobe Sound, Hollywood, Indiantown, Jupiter, Key Biscayne, Lake Harbor, Lake Worth, Loxahatchee, Miami, Miami Beach, North Miami Beach, North Palm Beach, Opa Locka, Pahokee, Palm Beach, Palm Beach Gardens, Pembroke Pines, Pompano Beach, South Bay, West Palm Beach, Lang Realty
Showing posts with label new home. Show all posts
Showing posts with label new home. Show all posts
Wednesday, July 24, 2013
Wednesday, April 13, 2011
Homes For Sale: Reasons To Be Optimistic About US Housing Market: Part II
Another reason to be more optimistic about the US Housing market is affordability of purchasing a home. The theory is as buying a home becomes more affordable when compared with renting, Americans will be lured back to the real estate market.
Home prices declined about 30% nationwide since 2006 and some of the hardest hit markets fell as much as 55%. The dramatic price reduction logically assumes homes are more "affordable" then they were a few years ago.
A recent study by Deutche Bank measures affordability in two ways: share of income Americans pay to own a home; and the cost of owning versus renting.
The analysis shows homeowners now pay 9.8% of thier income in after-tax mortgage, tax and insurance; this compares with 17.2% at the peak in 2007.
Also, the study found that in 28 out of 54 major housing markets it's now cheaper to pay a mortgage and other major costs than to rent the same home. In the distressed US markets, the study found owning a home costs less than renting by a wide margin. For example, it is 34% less to own a home than renting in Atlanta, according to Deutche Bank. In Miami, the study states, the average rent is $1,031 per month versus $856 per month it costs to carry a ranch house or stucco cottage as an owner.
The recent increase in investors that I am working with seems to indicate there is a spread between rents and the cost to own.
If you are thinking of selling or buying a home, or require more information, please feel free to contact me. Please text me your e-mail address to the number below and I will provide information requested.
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Lang Realty
561-247-3550
Boca Raton FL real estate for sale and surrounding areas including real estate properties for sale in: Belle Glade, Boca Raton, Boynton Beach, Bryant, Canal Point, Dania, Deerfield Beach, Delray Beach, Fort Lauderdale, Hallandale, Hialeah, Hobe Sound, Hollywood, Indiantown, Jupiter, Key Biscayne, Lake Harbor, Lake Worth, Loxahatchee, Miami, Miami Beach, North Miami Beach, North Palm Beach, Opa Locka, Pahokee, Palm Beach, Palm Beach Gardens, Pembroke Pines, Pompano Beach, South Bay, West Palm Beach, Lang Realty
Home prices declined about 30% nationwide since 2006 and some of the hardest hit markets fell as much as 55%. The dramatic price reduction logically assumes homes are more "affordable" then they were a few years ago.
A recent study by Deutche Bank measures affordability in two ways: share of income Americans pay to own a home; and the cost of owning versus renting.
The analysis shows homeowners now pay 9.8% of thier income in after-tax mortgage, tax and insurance; this compares with 17.2% at the peak in 2007.
Also, the study found that in 28 out of 54 major housing markets it's now cheaper to pay a mortgage and other major costs than to rent the same home. In the distressed US markets, the study found owning a home costs less than renting by a wide margin. For example, it is 34% less to own a home than renting in Atlanta, according to Deutche Bank. In Miami, the study states, the average rent is $1,031 per month versus $856 per month it costs to carry a ranch house or stucco cottage as an owner.
The recent increase in investors that I am working with seems to indicate there is a spread between rents and the cost to own.
If you are thinking of selling or buying a home, or require more information, please feel free to contact me. Please text me your e-mail address to the number below and I will provide information requested.
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Lang Realty
561-247-3550
Boca Raton FL real estate for sale and surrounding areas including real estate properties for sale in: Belle Glade, Boca Raton, Boynton Beach, Bryant, Canal Point, Dania, Deerfield Beach, Delray Beach, Fort Lauderdale, Hallandale, Hialeah, Hobe Sound, Hollywood, Indiantown, Jupiter, Key Biscayne, Lake Harbor, Lake Worth, Loxahatchee, Miami, Miami Beach, North Miami Beach, North Palm Beach, Opa Locka, Pahokee, Palm Beach, Palm Beach Gardens, Pembroke Pines, Pompano Beach, South Bay, West Palm Beach, Lang Realty
Saturday, September 25, 2010
August New Homes Sales Still Slow In US
Annual sales of new homes in the United States were only 288,000 in August 2010. Sales were down 29% from a year earlier and were relatively unchanged on a sequential basis. This was the second lowest sales amount for the month of August on record. The median sales price of $204,700 was down 1.2% from August 2009 and the lowest amount since December 2003.
Sales of new homes increased by 54% in the Western portion of the US and they were up 15% in the Northeastern US during August 2010. However, this was offset by a 26% drop in the Midwest and an 11% decline in the South.
Foreclosures and other distressed properties (i.e., short sales), have been putting a damper on pricing and unit sales of new homes. As a result, builders are cutting back on adding new inventory to the market. Although home construction is up 25% from the bottom in April 2009, it is 75% below the peak new construction that took place in January 2006.
The number of unsold new homes in the US was 206,000 in the US as of August 2010. Experts believe this is about 8.6 months worth of supply. Therefore, it seems unlikely that construction will ramp up during the next six to nine months.
What does this mean to those looking to buy a home now?
It is still a buyer's market. Those looking for a new home have many options and can be choosy. However, for the best deals, home buyers should be focused on distressed properties.
If you are looking to buy, sell, rent or invest in the South Florida real estate market, please feel free to contact me.
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Lang Realty
561-989-2100
http://michaelfriedman.rmlsfl.mlxchange.com/?Page=7395217 <--property search link to cut and paste into your Web browser
Boca Raton FL real estate for sale and surrounding areas including real estate properties for sale in: Belle Glade, Boca Raton, Boynton Beach, Bryant, Canal Point, Dania, Deerfield Beach, Delray Beach, Fort Lauderdale, Hallandale, Hialeah, Hobe Sound, Hollywood, Indiantown, Jupiter, Key Biscayne, Lake Harbor, Lake Worth, Loxahatchee, Miami, Miami Beach, North Miami Beach, North Palm Beach, Opa Locka, Pahokee, Palm Beach, Palm Beach Gardens, Pembroke Pines, Pompano Beach, South Bay, West Palm Beach, Lang Realty
Sales of new homes increased by 54% in the Western portion of the US and they were up 15% in the Northeastern US during August 2010. However, this was offset by a 26% drop in the Midwest and an 11% decline in the South.
Foreclosures and other distressed properties (i.e., short sales), have been putting a damper on pricing and unit sales of new homes. As a result, builders are cutting back on adding new inventory to the market. Although home construction is up 25% from the bottom in April 2009, it is 75% below the peak new construction that took place in January 2006.
The number of unsold new homes in the US was 206,000 in the US as of August 2010. Experts believe this is about 8.6 months worth of supply. Therefore, it seems unlikely that construction will ramp up during the next six to nine months.
What does this mean to those looking to buy a home now?
It is still a buyer's market. Those looking for a new home have many options and can be choosy. However, for the best deals, home buyers should be focused on distressed properties.
If you are looking to buy, sell, rent or invest in the South Florida real estate market, please feel free to contact me.
Michael Friedman
Realtor, Certified Distressed Property Expert (CDPE)
Lang Realty
561-989-2100
http://michaelfriedman.rmlsfl.mlxchange.com/?Page=7395217 <--property search link to cut and paste into your Web browser
Boca Raton FL real estate for sale and surrounding areas including real estate properties for sale in: Belle Glade, Boca Raton, Boynton Beach, Bryant, Canal Point, Dania, Deerfield Beach, Delray Beach, Fort Lauderdale, Hallandale, Hialeah, Hobe Sound, Hollywood, Indiantown, Jupiter, Key Biscayne, Lake Harbor, Lake Worth, Loxahatchee, Miami, Miami Beach, North Miami Beach, North Palm Beach, Opa Locka, Pahokee, Palm Beach, Palm Beach Gardens, Pembroke Pines, Pompano Beach, South Bay, West Palm Beach, Lang Realty
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