Showing posts with label Housing Market. Show all posts
Showing posts with label Housing Market. Show all posts

Monday, July 27, 2009

Athens GA Homes, Market, and Trends

We find that as of today there are 2,091 homes in Athens Georgia for sale on Trulia as well as 231 homes in the "pre-foreclosure," auction, or bank-owned stages of the foreclosure process. This 9:1 Ratio of non-distressed sales inventory to distressed sales is relatively low compared to Atlanta, Georgia as a whole, and the nation.

According to Trulia the average list price for homes for sale in Athens was $228,829 for the week ending Jul 22, 2009, which was a gain of about 1.5 percent, or $3,000 for the current week.

Quick Statistics from the Athens Multiple Listing Service regarding 80 sales in the past 30 Days show the following;


Statistics
(81 listings)
LowHighAverageMedianTotal
List Price$12,000$639,000$162,708$138,000$13,179,349
Selling Price$8,000$624,000$155,823$131,500$12,465,845
List/Sold(%)66.67%109.08%95.46%96.39%--
Days on Market22999178114--



What seems most interesting is that the "Step Up Buyers" are still not to be found. In July of 2008 there were 105 Homes sold in Athens, GA and 32 of those (or 30.4 percent) were over $200,000. Thus far in July of 2009 we see this figure of homes sold over $200,000 reduced to 15.3 percent and the number of homes sold decreased to 78 this year. This of course will lower average and median sales prices, but it does not indicate a "price fallout," per se, but a majority of homes sold in that "first time home buyer" price point.

Comparatively speaking it has been a good month. We are still seeing a slight decrease year over year towards the end of July in the numbers of homes sold in Athens. The positive is that on actual sales we are seeing Sellers get a high percentage of List/Sales price.


Tuesday, July 14, 2009

Home Sales are Up for Two Consecutive Months

Posted on by hankbailey

According to Inman News, housing inventory levels fell from April to May (down to 9.6 months) across the nation. Most people in the industry consider four to six-months supply of homes a good balance between supply and demand.Sales of existing homes were up 2.4 percent last month according to the NAR, and we have now seen for the first time since 2005 that sales have increased in two consecutive months.

“Distressed properties accounted for 33 percent of sales, down from 45 percent in April and just over half in March, but continue to “downwardly distort” the median home price,” the NAR said.

“In the past month, stories of appraisal problems have been snowballing from across the country with many contracts falling through at the last moment,” NAR Chief Economist Lawrence Yun said in a statement. “There is danger of a delayed housing market recovery and a further rise in foreclosures if the appraisal problems are not quickly corrected.”

If you are a buyer in our market, these are probably the best buying conditions in 30 years! If you would like to search the Athens MLS with MapTracks please take a look at listings in our “Classic City” today! On this web MLS search solution you can search every listing on the Georgia MLS for the Greater Athens area or in your Georgia town!

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“Pending Home Sales” Show an Increase; Housing Affordability Improves

The Pending Home Sales Index, an index based upone properties under contract for sale in April rose almost seven percent to 90.3 from March says the NAR.

victorian house

NAR chief economist Lawrence Yun said, “Buyers are responding to very favorable market conditions. Housing affordability conditions have been at historic highs, but now the $8,000 first-time buyer tax credit is beginning to impact the market,” he said. “Since first-time buyers must finalize their purchase by November 30 to get the credit, we expect greater activity in the months ahead, and that should spark more sales by repeat buyers.”

NAR President Charles McMillan said that there are numerous buyer assistance programs at this time to interested home buyers and especially to first time home buyers. “Some states are offering bridge loans that allow first-time buyers to use the tax credit for down payment and closing costs, but there are many other local government and nonprofit programs available to buyers, depending on location,” he said.

unclesamhatwithmoney“Just last week, HUD announced that qualifying buyers can use the tax credit for closing costs on FHA loans, to buy down the interest rate or make a larger down payment. Buyers who are wondering about their options should contact a REALTOR, who can advise consumers on the housing assistance programs and resources available in a given area,” according to Yun.

NAR’s Housing Affordability Index is still in record territory. According to the NAR, “The affordability index rose to 174.8 in April from an upwardly revised 171.9 in March, which makes it the second-highest monthly reading on record after peaking at 176.9 in January of this year. The HAI is a broad measure of housing affordability using consistent values and assumptions over time, which examines the relationship between home prices, mortgage interest rates and family income.

A median-income family, earning $60,900, could afford a home costing $296,800 in April with a 20 percent down payment, assuming 25 percent of gross income is devoted to mortgage principal and interest. Affordability conditions for first-time buyers with the same income and small down payments are roughly 80 percent of that amount. The affordable price was well above the median existing single-family home price in April, which was $169,800.”

If you are a buyer in our market, these are probably the best buying conditions in 30 years! If you would like to search the Athens MLS with MapTracks please take a look at listings in our “Classic City” today! On this web MLS search solution you can search every listing on the Georgia MLS for the Greater Athens area or in your Georgia town!

Monday, July 13, 2009

Okay, Okay, Athens, GA Housing is Low Risk, according to the Realtor

“Okay, Okay, Athens, GA Housing is Low Risk, according to the Realtor.” I have had this said of my optimism quite frequently in the past year. I sell Real Estate, even capitalize the words like they are some deity, so I am biased. Well here comes PMI to the rescue. You know PMI. You might even pay them each month for the security and benefit of your mortgage company.

PMI (private mortgage insurance) combines their risk management expertise and financial strength to serve as support of the mortgage finance system. This support protects lenders in the event of borrower default. Theoretically speaking, through protecting mortgage lenders from credit losses, PMI helps to ensure mortgages are available to all qualified homebuyers.

Streetscape_night_6320

For those of you getting ready to buy your first home, in many cases when you cannot put down 20 percent on a home, lenders may permit a smaller down payment and purchase mortgage insurance, which you as the borrower in turn pay as part of your monthly payment. Special rules and conditions may apply for first time home buyers not to have this additional cost during this period of recession in order to stimulate the housing sector. Ask your lender if this applies to you.

What I want to focus on in this column however is how PMI applies research, analytics, risk management, and loss mitigation to assist lenders faced with potential foreclosures.

In Athens, GA on the most recent report, PMI Proprietary Market Research shows on page three that the Athens market is LOW per the index rank. The study shows that based upon where you buy a home, the pricing for that PMI premium you pay each month is dependent on how risky they feel your market is at the present. For example, Athens had an index value as of Q1 ‘09 of 27.8. Other cities around the state of Georgia were Macon, GA at 57.6, Gainesville 63.2, Atlanta 80.7, Savannah 83.3, and Dalton 97.2.

Downtown_Athens

Dalton was the highest Georgia city in terms of the risk of borrower default. Any cities over 70 were HIGH risk. 99.9 was the highest rating a city could obtain.

This report shows not only risk ratings, but appreciation in recent quarters, affordability, and unemployment. For example, Atlanta had an unemployment rate in the 12.3 percent as compared to Athens at 6.9 percent. The affordability index for Savannah is at 114.8 as compared to Athens at 121.37. This means that Athens is comparatively more affordable a market than Savannah as of Q1 ‘09.

This is a great tool and should offer encouragement and direction for homeowners in the Greater Athens area, but also to people looking to relocate to Georgia.

If you are a buyer in our market, these are probably the best buying conditions in 30 years! If you would like to search the Athens MLS with MapTracks please take a look at listings in our “Classic City” today! On this web MLS search solution you can search every listing on the Georgia MLS for the Greater Athens area or in your Georgia town!

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all photos courtesy of the Athens Convention and Visitors Bureau