Stats from the Multiple Listing Service
bottom of cycle"
KIRKLAND, Wash. (March 5, 2012) – With spring on the horizon and consumer confidence on the rise, members of Northwest Multiple Listing Service are reporting positive gains in activity. Pending sales for February increased more than 27 percent from a year ago, more sellers are listing their homes, and brokers are reporting an uptick in multiple offers.
"Buyers are beginning to realize that we may have seen the bottom of this real estate market," remarked Frank Wilson, branch managing broker at John L. Scott Real Estate in Poulsbo and a member of the Northwest MLS board of directors. "Waiting to buy may only result in paying a higher interest rate, having fewer houses to choose from, or finding that sellers do not need to give up as much as they have in the past," he added.
Brokers reported 7,623 pending sales during February, the highest volume since August when they notched 7,632 mutually accepted offers. Last month’s tally jumped 27.4 percent from twelve months ago, with 20 of the 21 counties in the MLS service area reporting double-digit gains.
Within King County, pending sales were particularly robust in the Lake Forest Park/Kenmore neighborhoods (up 73 percent), Kent (up 61 percent), Burien/Normandy Park (up 58 percent) and central Seattle (up 56 percent). The northeast portion of Snohomish County also experienced strong sales (up 63 percent from a year ago).
"The only thing tempering this from being a hot, thriving market are the short sales and foreclosed properties which represent about one-third of the transactions," Wilson commented.
J. Lennox Scott, CEO and chairman of John L. Scott Real Estate, said the combination of job growth and historic low interest rates is creating a seller’s market through the mid-price ranges and contributing to surging activity close to job centers. "It’s a special moment in time in real estate history," he observed, adding "We have a backlog of qualified buyers looking for homes to purchase."
Buyers have fewer homes to consider compared to a year ago, with inventory down 22.5 percent area-wide. At month end, there were 25,510 active listings in the Northwest MLS database; a year ago, there were 32,922 homes and condos listed for sale.
The selection compared to twelve months ago is down sharply in both King County (off 32.3 percent) and Snohomish County (down 38.2 percent). Measured by months of supply, Snohomish has about 2.1 months while King is slightly better at 2.3 months. (Five to six months of supply is considered to be a balanced market, with less than that presumed to be a seller’s market.)
Northwest MLS brokers added 7,390 new listings to inventory during February, about 400 fewer than the same month a year ago.
Asking prices are comparable to a year ago. System-wide, the median asking price for the current inventory of single family homes and condominiums is $249,900, about $5,000 below the year-ago median figure of $254,950 (down 1.98 percent). Six counties (Ferry, Grant, King, Mason, Snohomish, and Whatcom) reported higher median listing prices in February than 12 months ago.
Northwest MLS members reported 3,846 closed sales last month, up about 25 percent from the year-ago total of 3,080 completed transactions.
Selling prices continued to slip, but the decline was under 9 percent for the first time in nearly a year. The area-wide median price for last month’s closed sales of single family homes and condominiums (combined) was $218,944, down about 8.8 percent from the year-ago figure of $240,000.
For single family homes only (excluding condominiums), prices were down about 7.7 percent from a year ago. Last month’s closed sales fetched a median sales price of $229,000, which compares to the year-ago price of $248,000. Five counties (Clallam Ferry, Grant, Lewis and San Juan) reported year-over-year price increases.
Commenting on the market around Kitsap County, where prices dipped nearly 11 percent, Wilson said he expects prices to "stabilize and even reverse as we move further into 2012." With 4.3 months of supply in that county, he believes the market is tilting toward sellers. "We continue to see more multiple offer situations on homes that come on the market correctly priced," he stated.
Wilson also pointed to recently released consumer confidence numbers as a positive indicator. He noted The Conference Board Consumer Confidence Index posted sizeable improvements in February, approaching levels last seen a year ago.
In a statement accompanying the latest report, Lynn Franco, director of The Conference Board Consumer Research Center, said consumers were more optimistic about the short-term outlook than they were a month ago. "Consumers are considerably less pessimistic about current business and labor market conditions than they were in January. And, despite further increases in gas prices, they are more optimistic about the short-term outlook for the economy, job prospects, and their financial situation," she declared.
Nationally, the overall direction for the housing market is positive, according to analysts with the National Association of Realtors (NAR). Its latest figures show the past few months of contract activity are the highest in more than four years outside of the home buyer tax credit impact. In comments accompanying the latest figures, NAR suggested the market isn’t as strong as it could be because of overly restrictive lending standards and contract cancellations due in part to appraised values coming in below a negotiated price.
Northwest Multiple Listing Service, owned by its member real estate firms, is the largest full-service MLS in the Northwest. Its membership includes more than 22,000 real estate brokers. The organization, based in Kirkland, Wash., currently serves 21 counties in Washington state.
Where to get those cool Black and White Archive Photos of your Home
Beacon Hill Housing Update Feb, 2012
How Soon can I Qualify for a Mortgage after Bankruptcy?
- Conventional Loan: 4 year time period from either the discharge or the dismissal.
- FHA / VA Loan: 2 year time period from the discharge of the bankruptcy.
- Conventional Loan: 2 years from the discharge date or 4 years from the dismissal date.
- FHA / VA Loan: Acceptable with 12 month acceptable payment history of the bankruptcy and permission from the court. Credit Must be reestablished outside the bankruptcy.
- Conventional Loan: 5 year time period from the most recent dismissal or discharge date required for borrowers with more than one bankruptcy filing within the past 7 years.
- FHA / VA Loan: Same
- Conventional Loan: 3 year time period from the most recent discharge or dismissal date.
- FHA Loan: 3 year time period from the completion date.
- VA Loan: 2 year time period from the completion date. Borrower must have reestablished good credit.
- Conventional Loan: 2 years for 80% LTV/CTV or 4 years for 90% LTV / CLTV or 7 years for LTV per standard guidelines.
- FHA Loan: 3 year time period from completion date.
- VA Loan: 2 year time period from the completion date. Borrow must re-establish good credit.
- Same as Deed in Lieu
- Conventional Loan: 2 years for 80% max LTV / CLTV or 4 years for 90% max LTV / CLTV or 7 years for qualifying per standard guidelines.
- VA Loans: No seasoning required so long as the following guidelines are met: 1. The borrower has no lates on previous mortgage. 2. The borrower has not entered into any agreement with the previous lender or servicer that obligates them to repay any amount associated with the short sale, including a deficiency judgment.
- FHA Loans: 1. Borrowers are not eligible for a new FHA mortgage if they pursued a short sale agreement on his or her principal residence simply to: take advantage of declining market conditions and purchase a similar or superior property within a reasonable commuting distance. 2. Borrowers are considered eligible for a new FHA insured mortgage if they were current on their mortgage and other installment debts at the time of the short sale of their previously owned property, and the proceeds from the short sale serve as payment in full. If the borrower was in default on their mortgage at the time of the short sale, are not eligible for a new FHA insured mortgage for three years from the date of the pre-foreclosure sale.
Hopefully that provides you with some helpful guidelines. If you find yourself in the situation of needing to consider any of these options feel free to give me a call. I have worked with several people facing foreclosure and short sale and can at least get you pointed in the right direction.
Ballard Real Estate Review
From Sunset Hill, to Crown Hill, Blue Ridge to Whittier Heights, Ballard residents want to know what the housing market is doing. So here you go. The following data is taken from the NW Multiple Listing Service.
Overall the story for Ballard is not bad. Housing prices have yet to make a comeback, but activity is strong and considerably better then Seattle and King County as a whole.
Ballard Days On Market - Days on Market (DOM) is a measure of how long on average it is taking for Ballard homeowners to get a potential buyer to make an offer.
Ballard Now - 35
Ballard 1 Year Ago - 91
Seattle Now - 79
King County Now - 98
The most recent number for Ballard of is considerably better then that for Seattle as a whole and better still then King County. Also compared to last year Ballard is much improved
Median Price - This price is the best suggestion of overall price appreciation or depreciation.
Ballard Now - $380K
Ballard 1 Year Ago - $379
Seattle Now - $350
King County Now - $332
These numbers should not come as a surprise. Ballard has always out priced Seattle and King County as a whole. What is encouraging is that while Seattle and King county have depreciated roughly 10% each over the past year, Ballard has remained stable. Still not great news for Ballard Home owners who would like to see appreciation, but much better then loosing value.
So overall a brighter picture for Ballard home owners. Values are not yet going up, but much more stable then the surrounding area. Also, homes are selling much faster. Hopefully the trend continues and next year we can start talking about price appreciation.
For more information about Ballard click below where you can find:
Craig's List Scam
In the current climate of an internet scam around each corner, it’s not hard to believe that there is a new Craig’s List scam to be aware of. This one is directed at potential renters using for sale information from the internet. When your home is for sale, all kinds of information about the home is available on line. Details, photos, even tax information is all out there for all to see. Obviously that is what you want. Buyers want to see pretty pictures of your home and find out all the information they can. The problem is that the information is also available to criminals looking to make a quick buck.
Some criminal element is gathering information about homes that are for sale and creating their own Craig’s List ads. The ads purport to offer the homes for rent. They list fake names of the listing agent or property manager. The homes are offered well below fair rent. As a result they are getting many responses to both the listed e-mail address and the phone number. When you call the supposed property manager to get information about the “rental” they are asking for credit card information so that they can run a background and credit check. Needless to say the criminals are then charging up the credit cards and then disappear.
In some really scary instances, owners who are still in the homes for sale, have had potential “renters” show up at the house asking all kinds of questions believing that the houses are for rent.
To be fair, Craig’s List is doing all they can to curtail this activity. If you flag a particular ad, they will investigate it and pull it off if it seems suspicious. The criminals however are staying one step ahead by posting so many ads at a time, that it is nearly impossible to catch all of them.
It seems redundant, but be careful when you are out there shopping for anything. Never give out your credit card information by e-mail or over the phone unless you know who you are talking to. Anyone who is looking to rent a unit will be happy to meet you to show you through and accept a check or cash for the credit and background check.
If you have your home for sale or recently for sale, and think you are the target of the scam, immediately flag the ad on Craig’s List. They will pull the ad and investigate. If you are looking to rent and smell a rat, give me a call or do your own investigation. If the rent seems rally low and they are demanding credit card information immediately to secure your application, I would beware. As with most things trust your gut. If it feels too good to be true it probably is.
Be safe.
