For those of you keeping up with the discussions about the static vegetation line in Emerald Isle NC, here is the latest, from our Emerald Tidings, monthly magazine. Now is a great time to be looking at these properties from an investment standpoint. Rented solid for the season and into the fall, priced right, and potential for significant appreciation as these changes go into place.
Call or email if we can help, you can see those properties that are on the market at our websites, yournelsonadvantage.com or macnelson.com, and enter into the MLS from either.
Article from the Island Review, July 2008 Issue.
Commission Considers Changes to Static Vegetation Line As reported previously in Emerald Tidings, the NC Coastal Resources Commission, the policy making body for coastal development in North Carolina, is currently considering amendments to their rules to allow for the potential retirement of the "static vegetation line" used in areas where the beach has been nourished. Under current CRC rules, the "static vegetation line" is established at the location of the actual first line of stable vegetation just prior to the construction of a beach nourishment project. This line is then used to determine oceanfront setbacks in perpetuity. The result is that lots and structures that are nonconforming (i.e., not buildable or re-buildable) will remain non-conforming in perpetuity, even if the actual first line of stable vegetation has migrated toward the ocean following a beach nourishment project. In Emerald Isle, the area most impacted by the current CRC rules is the eastern two miles of oceanfront between the Indian Beach town line and Pier Pointe condominiums. All structures and lots in this area are behind a "static vegetation line," and nearly all will be nonconforming in perpetuity - meaning that existing structures cannot be reconstructed if they become damaged more than 50% and that any existing vacant lots cannot be built upon. The CRC has been discussing possible amendments to the "static vegetation line" rules for nearly two years and appears to have reached some consensus on proposed changes to the rules. The proposed rules changes would allow a local community to petition the CRC to retire the "static vegetation line" and revert to using the actual first line of stable vegetation to determine oceanfront building setbacks. In order to gain CRC approval to retire the "static vegetation line," a community would need to submit a 30-year beach maintenance plan that identifies sand sources and funding sources to insure that the beach will be properly maintained in the future. It is important to note that the proposed changes would still require a new structure to meet the setback (60 feet in eastern Emerald Isle) from the actual first line of actual stable vegetation and that new structures would be limited to 2,500 heated square feet (86% of the existing oceanfront structures in eastern Emerald Isle are less than 2,500 square feet). The CRC has received extensive stakeholder input on this issue already and has scheduled several additional public hearings at various locations along the coast in the coming weeks to gain additional input on the proposed amendments. Public hearings will be held in Surf City on July 7, Carolina Beach on July 8, Supply on July 14, and Beaufort on July 15. A final public hearing will be held at the CRC's regular meeting in Raleigh on July 24, after which a decision could be made on the new rules. Interested citizens are encouraged to attend one of these public hearings to express their views on this matter. If the new rules are approved in July, the town would then begin work on a 30-year beach maintenance plan to submit to the CRC at a future meeting. It is likely that the development of the plan will take up to six months and the plan could be submitted for CRC consideration in early 2009. The town is optimistic that it can devise a reasonable plan that will be supported by the citizens of Emerald Isle and the CRC. If that plan is ultimately approved, new construction could begin on the oceanfront in eastern Emerald Isle by mid-2009. Again, it is important for property owners to recognize that: 1) the town's plan must be approved by the CRC, 2) that any new structures must be able to meet the 60-foot oceanfront setback from the actual first line of stable vegetation and 3) that the size of new structures would be limited to 2,500 heated sq. ft. For more information on this issue, please contact Dr. Jeffrey Warren, NC Division of Coastal Management, at jeff.warren@ ncmail.net or 919-733-2293, ext 241, or Frank Rush, Town Manager, at 252-354-3424 or frush@emeraldisle-nc.org.
Wednesday, June 25, 2008
Condominium Owners .. Article of Interest
Those of you owning property on Emerald Isle, that has common area, such as town homes or condominiums, duplexes or triplexes .. you might want to read this . Emerald Isle real estate is cranking up, it is a great season, and if you've not got your property on the market and are thinking about doing so, now is the time. Interest in condominiums has increased significantly over the last month, and we should see this interest reflected in the number of condos sold within the next 30-60 days. At Connect to the Coast, we'll keep you posted. Remember to go to our website, YourNelsonAdvantage.com to see the latest info and newsletter.
Daily Real Estate News June 24, 2008A Commonly Missed Tax Break Condominium or cooperative residents often miss the fact that upgrades to the common areas of communities can affect the amount of tax an owner pays when the home is sold.If the property is a principal residence and the owner has lived in it for two of the previous five years before the sale, a big chunk of the profit is already exempt from federal tax — $250,000 for a single person and $500,000 for a married couple. But the seller will owe taxes on any profit beyond that, and he will owe taxes on the whole amount if the property isn’t a primary residence.A proportional share of the amounts spent by the condo or cooperative association on improvements to the property — not simple maintenance — can be added to the amount paid for the property, or in tax lingo, “the basis.” The basis is subtracted from the sales price to determine any taxable profit.“It surprises me that many community association owners are not aware of this tax benefit. Particularly for older home owners who have watched real estate profit build up over many years and now have a profit of more than $500,000, every dollar of capital improvements they can document is valuable,” says Benny L. Kass, real estate attorney.Source: The Washington Post, Benny L. Kass
Daily Real Estate News June 24, 2008A Commonly Missed Tax Break Condominium or cooperative residents often miss the fact that upgrades to the common areas of communities can affect the amount of tax an owner pays when the home is sold.If the property is a principal residence and the owner has lived in it for two of the previous five years before the sale, a big chunk of the profit is already exempt from federal tax — $250,000 for a single person and $500,000 for a married couple. But the seller will owe taxes on any profit beyond that, and he will owe taxes on the whole amount if the property isn’t a primary residence.A proportional share of the amounts spent by the condo or cooperative association on improvements to the property — not simple maintenance — can be added to the amount paid for the property, or in tax lingo, “the basis.” The basis is subtracted from the sales price to determine any taxable profit.“It surprises me that many community association owners are not aware of this tax benefit. Particularly for older home owners who have watched real estate profit build up over many years and now have a profit of more than $500,000, every dollar of capital improvements they can document is valuable,” says Benny L. Kass, real estate attorney.Source: The Washington Post, Benny L. Kass
Wednesday, March 12, 2008
Loans - the changing times...
We've noticed at Nelson Advantage that qualifying and obtaining the desired loan has become a much more difficult feat than just a year ago. Here is an example of how the loan picture has changed....
Questions regarding North Carolina Coastal real estate? Give us a call!
Daily Real Estate News March 12, 2008Lending Standards Will Stay TightThe loan a borrower qualifies for on Monday is likely to be out of reach on Tuesday because lenders are changing the rules hourly, industry observers say.For those who can meet the rapidly changing lending standards, the plan announced Tuesday by the Federal Reserve to loosen credit by providing $200 billion to the financial services sector should make plenty of money available at lower interest rates, says David Wyss, chief economist at Standard & Poor’s.Last year a borrower could get complete financing on a $300,000 home with a mortgage alone or in combination with a home equity loan or line of credit. Today, that same borrower likely needs $60,000 for a down payment, plus a credit score higher than 680."Credit is the gateway right now," says Dan Green, a certified mortgage planning specialist and author of TheMortgageReports.com. "Weak credit is cost prohibitive."Source: The Associated Press (03/11/2008)
Questions regarding North Carolina Coastal real estate? Give us a call!
Daily Real Estate News March 12, 2008Lending Standards Will Stay TightThe loan a borrower qualifies for on Monday is likely to be out of reach on Tuesday because lenders are changing the rules hourly, industry observers say.For those who can meet the rapidly changing lending standards, the plan announced Tuesday by the Federal Reserve to loosen credit by providing $200 billion to the financial services sector should make plenty of money available at lower interest rates, says David Wyss, chief economist at Standard & Poor’s.Last year a borrower could get complete financing on a $300,000 home with a mortgage alone or in combination with a home equity loan or line of credit. Today, that same borrower likely needs $60,000 for a down payment, plus a credit score higher than 680."Credit is the gateway right now," says Dan Green, a certified mortgage planning specialist and author of TheMortgageReports.com. "Weak credit is cost prohibitive."Source: The Associated Press (03/11/2008)
Monday, February 18, 2008
Positive News for Jumbo Loans ...
Money.........http://money.cnn.com/2008/02/15/real_estate/jumbo_mortgage.fortune/index.htm?postversion=2008021808
The positive news - at least for those seeking a smaller jumbo mortgage - is that Congress feels your pain. As part of the economic stimulus bill signed by President Bush last week, the limit for Fannie and Freddie mortgages will be temporarily raised from $417,000 to $729,750.
The positive news - at least for those seeking a smaller jumbo mortgage - is that Congress feels your pain. As part of the economic stimulus bill signed by President Bush last week, the limit for Fannie and Freddie mortgages will be temporarily raised from $417,000 to $729,750.
Wednesday, January 23, 2008
More Info On New Set Back Rules
This sounds like positive progress, larger structure being considered plus excluding covered porches, take a look, and give them your input! Looks like the final decision might be delayed a bit from my earlier expectations, but they are going in the RIGHT direction!
Beachfront building rule delayed
by Shannon Kemp
NEWS-TIMES
NEW BERN — The state’s Coastal Resource Commission voted Friday to again put beachfront building setback rules back up for a public hearing.
During the meeting at the Sheraton Hotel and Marina, the commission had the opportunity to vote on setback rules that deal with the size of structures rather than their use. But because changes have been made to the rules since the last public hearing held last year, the CRC voted to obtain more public comment.
Commissioner Bill Peele made the motion to send the rule to public hearing. His fellow commissioner Joan Weld was supportive of the move.
She said there was a need for more public information and input. Ms. Weld said she felt the commission, as well as other coastal agencies, needed to make it easier for the public to get to public hearings on the big coastal issues.
“The last one was held in Greenville … I think it should have been held somewhere on the coast,” she said.
The tentative date for a public hearing is set for May with a July adoption and the rules going into effect either in August or September.
The commission did vote on minor changes to the proposed rules, including taking covered porches out of the equation for total square footage of a structure and changed road rules to include them as infrastructure.
In North Carolina, setbacks for oceanfront structures are measured from the first line of stable vegetation and extend 30 times the annual erosion rate to a particular development. For North Carolina, the annual erosion rate is 2 feet, making the minimum setback 60 feet.
However, setback rules were made in the 1970s and seem to be in need of an update since there were no houses that exceeded 7,000 square feet back then, said an N.C. Division of Coastal Management (DCM) representative.
The proposed rules will allow setbacks to increase gradually and not all in one big jump, said Jeff Warren, a coastal hazards analyst with DCM.
The minimum setback is proposed to remain at 30 times the annual erosion rate for structures less than 5,000 square feet but increases, at seven additional increments, with the maximum setback at 90 times the erosion rate for 100,000-square-foot structures.
“We’re not saying you can’t build them (large structures), just build it farther from the ocean,” Mr. Warren said.
He also said that while some felt the commission should not be dabbling in the issue of floor size and that it should be left up to the towns, it was well within the commission’s jurisdiction to base the rules on square footage.
In addition to setbacks, the commission also discussed static vegetation line regulations. While the two go hand-in-hand, the commission voted on the proposed changes to the static line definitions because they were not substantial changes. The vegetation line is set just before a town undergoes a beach nourishment project which pumps the shore line with needed sand.
“It is not a change in how we do business or how we define the vegetation line … there are additional words in there for clarification. Overall, the definition remains the same,” Mr. Warren said.
One change that seemed to please some coastal town residents was a change in a 2,000-square-foot limitation for any construction that has received a static line exemption. The board voted to change the limitation from 2,000 square feet to 2,500 square feet.
This means if a house that received a static line exemption received more than 50-percent damage because of natural hazards, it can be rebuilt up to 2,500 square feet.
Mr. Warren said coastal management staff felt 2,000 square feet was the overall size of residential buildings on the coast right now and a size more easily moved. However, he said some towns felt 2,000 square feet was too small by today’s standards.
Bill Morrison from Pender County said he was glad of the commission made the change from 2,000 to 2,500 square feet.
“There is a definite need because 2,000 square feet is too small,” he said.
Frank Rush, town manager from Emerald Isle, said he was pleased with the direction the board is going in and pleased of the increase to 2,500 square feet as well.
“I’m happy they took our concerns seriously,” he said.
Pine Knoll Shores Town Manager, Brian Kramer, said he had been concerned that homeowners be allowed to rebuild their homes at the same square footage if something were to happen to the home.
“Our concern is how homeowners in Pine Knoll Shores who lose their house will have the ability to replace that home on the same footprint, the same square footage.
“We aren’t interested in promoting the development of condominiums or large development on the ocean front, simply single-family residential rebuilding homes – assuming, of course, the static vegetation line hasn’t moved,” he said.
Mr. Kramer said Pine Knoll Shores was supportive of the commission, “but if the rules are so stringent that they reduce the ability of the homeowners to rebuild homes, it’s something we are concerned about.”
Mr. Kramer said he was interested in the concept of a grandfather clause and whether the commission would consider such a clause.
Mr. Warren did bring the issue of grandfathering to the commission, saying it was a concern from some coastal towns, but no decision was made on the issue.
Talks concerning setback regulations began in 2006 when the current state of the coast was addressed. In light of rising sea levels, development pressures and natural pressures on the coast, the commission was asked if setback rules should be addressed.
In July 2007 draft language was written and sent to a public hearing stage, which ran from Nov. 1, 2007 to Dec. 31, 2007.
“There was no setback rule in 1978 but there was one in 1979. It’s safe to say while many may not like it, they are used to the setback,” Mr. Warren said.
Beachfront building rule delayed
by Shannon Kemp
NEWS-TIMES
NEW BERN — The state’s Coastal Resource Commission voted Friday to again put beachfront building setback rules back up for a public hearing.
During the meeting at the Sheraton Hotel and Marina, the commission had the opportunity to vote on setback rules that deal with the size of structures rather than their use. But because changes have been made to the rules since the last public hearing held last year, the CRC voted to obtain more public comment.
Commissioner Bill Peele made the motion to send the rule to public hearing. His fellow commissioner Joan Weld was supportive of the move.
She said there was a need for more public information and input. Ms. Weld said she felt the commission, as well as other coastal agencies, needed to make it easier for the public to get to public hearings on the big coastal issues.
“The last one was held in Greenville … I think it should have been held somewhere on the coast,” she said.
The tentative date for a public hearing is set for May with a July adoption and the rules going into effect either in August or September.
The commission did vote on minor changes to the proposed rules, including taking covered porches out of the equation for total square footage of a structure and changed road rules to include them as infrastructure.
In North Carolina, setbacks for oceanfront structures are measured from the first line of stable vegetation and extend 30 times the annual erosion rate to a particular development. For North Carolina, the annual erosion rate is 2 feet, making the minimum setback 60 feet.
However, setback rules were made in the 1970s and seem to be in need of an update since there were no houses that exceeded 7,000 square feet back then, said an N.C. Division of Coastal Management (DCM) representative.
The proposed rules will allow setbacks to increase gradually and not all in one big jump, said Jeff Warren, a coastal hazards analyst with DCM.
The minimum setback is proposed to remain at 30 times the annual erosion rate for structures less than 5,000 square feet but increases, at seven additional increments, with the maximum setback at 90 times the erosion rate for 100,000-square-foot structures.
“We’re not saying you can’t build them (large structures), just build it farther from the ocean,” Mr. Warren said.
He also said that while some felt the commission should not be dabbling in the issue of floor size and that it should be left up to the towns, it was well within the commission’s jurisdiction to base the rules on square footage.
In addition to setbacks, the commission also discussed static vegetation line regulations. While the two go hand-in-hand, the commission voted on the proposed changes to the static line definitions because they were not substantial changes. The vegetation line is set just before a town undergoes a beach nourishment project which pumps the shore line with needed sand.
“It is not a change in how we do business or how we define the vegetation line … there are additional words in there for clarification. Overall, the definition remains the same,” Mr. Warren said.
One change that seemed to please some coastal town residents was a change in a 2,000-square-foot limitation for any construction that has received a static line exemption. The board voted to change the limitation from 2,000 square feet to 2,500 square feet.
This means if a house that received a static line exemption received more than 50-percent damage because of natural hazards, it can be rebuilt up to 2,500 square feet.
Mr. Warren said coastal management staff felt 2,000 square feet was the overall size of residential buildings on the coast right now and a size more easily moved. However, he said some towns felt 2,000 square feet was too small by today’s standards.
Bill Morrison from Pender County said he was glad of the commission made the change from 2,000 to 2,500 square feet.
“There is a definite need because 2,000 square feet is too small,” he said.
Frank Rush, town manager from Emerald Isle, said he was pleased with the direction the board is going in and pleased of the increase to 2,500 square feet as well.
“I’m happy they took our concerns seriously,” he said.
Pine Knoll Shores Town Manager, Brian Kramer, said he had been concerned that homeowners be allowed to rebuild their homes at the same square footage if something were to happen to the home.
“Our concern is how homeowners in Pine Knoll Shores who lose their house will have the ability to replace that home on the same footprint, the same square footage.
“We aren’t interested in promoting the development of condominiums or large development on the ocean front, simply single-family residential rebuilding homes – assuming, of course, the static vegetation line hasn’t moved,” he said.
Mr. Kramer said Pine Knoll Shores was supportive of the commission, “but if the rules are so stringent that they reduce the ability of the homeowners to rebuild homes, it’s something we are concerned about.”
Mr. Kramer said he was interested in the concept of a grandfather clause and whether the commission would consider such a clause.
Mr. Warren did bring the issue of grandfathering to the commission, saying it was a concern from some coastal towns, but no decision was made on the issue.
Talks concerning setback regulations began in 2006 when the current state of the coast was addressed. In light of rising sea levels, development pressures and natural pressures on the coast, the commission was asked if setback rules should be addressed.
In July 2007 draft language was written and sent to a public hearing stage, which ran from Nov. 1, 2007 to Dec. 31, 2007.
“There was no setback rule in 1978 but there was one in 1979. It’s safe to say while many may not like it, they are used to the setback,” Mr. Warren said.
Tuesday, January 8, 2008
Emerald Isle NC Local Interest Rates!
30 year fixed, as low as 5.5% is being quotes locally today, January 8th!
Top10 Reasons to Buy Real Estate, Now!
OK, Interest Rates are low, inventory is plentiful, prices are reasonable, if you are in the market for purchasing property in Emerald Isle or the Coastal Mainland of NC, now could be the right time to start looking in earnest. Here are some of the reasons why, as Paul Pastore writes:
The Top Ten Reasons It's a Great Time To Buy Real Estate!
by Paul Pastore
Selection, selection, selection. There are about 57,000 resale homes on the market in Maricopa county(Phoenix). Regardless of the price range a buyer desires, there are plenty of houses from which to choose. Just a few years ago the resale inventory dropped below 5,000 units. A buyer was forced to make compromises if they were going to locate the home of their dreams. There is a great selection of attached homes, condos, and townhouses. You can find large lots, small lots, and a lot that will accommodate your boat or RV. There are lots of options in this market.
No Bidding Wars. In 2005 we had one client that made an offer on ten homes. They lost the first nine to the 'feeding frenzy' that existed. Other buyers bid the properties up substantially from the original listing price. There were escalation clauses where buyers authorized their agents to outbid other offers by thousands of dollars. There is no competitive bidding in this buyer's market.
You can make an offer. A few years ago when you made an offer, the only question was how high above the list price could the buyer reach in hopes of being the best offer on the table. Today the sell price list vs. price ration is about 96%. A seller will not be insulted if you 'make them an offer they can't refuse'.
Patience is tolerated. In the hot seller's market that existed everything was rushed. Find a house before other buyers did. Hurry up and make the offer. Today a buyer can take their time. Look at several homes and think about your decision for a few hours.
Due diligence is welcomed. In this market a buyer is encouraged to obtain a home inspection, termite inspection, and appraisal. In 2005 many buyers waived these contingencies in order gain an advantage with multiple offers.
There are plenty of specs. In the not too distant past buyer had to 'play games' if they wanted a new home. There were lotteries and waiting lists in order to obtain new construction. Some buyers slept in their cars in order to get to the head of the lines. R.L. Brown estimates that builders have thousands of specs ready for immediate occupancy.
Repair requests are welcomed. After a buyer completes a home inspection, they are allowed to submit a repair request to the seller. In the past a seller might insist the home was sold 'as is'. Many times, there were back-up buyers waiting for a primary buyer to upset the seller whose home was increasing in value almost daily.
Few, if any investors. It is estimated that one third of all sales in 2005 were to investors. These non-owner occupied buyer caused the market to inflate and affordability to decline. Mortgage fraud became commonplace. It's a great time to buy without having to compete with hundreds of prospective landlords.
Location, location, location. Today's buyers can find homes closer to work. In the past buyers flocked to Maricopa and Queen Creek in order to find affordable homes. In this market, reasonably priced homes are within biking or walking distance to schools, rapid transit lines, and relatives.
Real Financing is available. The 'wink, wink' zero down, no doc, adjustable, sub-prime loans are gone. Fixed rates are back. FHA financing, first time homeowner bond programs, special loans for teachers, and police officers are back in business. It's a great time to buy real estate!
The Top Ten Reasons It's a Great Time To Buy Real Estate!
by Paul Pastore
Selection, selection, selection. There are about 57,000 resale homes on the market in Maricopa county(Phoenix). Regardless of the price range a buyer desires, there are plenty of houses from which to choose. Just a few years ago the resale inventory dropped below 5,000 units. A buyer was forced to make compromises if they were going to locate the home of their dreams. There is a great selection of attached homes, condos, and townhouses. You can find large lots, small lots, and a lot that will accommodate your boat or RV. There are lots of options in this market.
No Bidding Wars. In 2005 we had one client that made an offer on ten homes. They lost the first nine to the 'feeding frenzy' that existed. Other buyers bid the properties up substantially from the original listing price. There were escalation clauses where buyers authorized their agents to outbid other offers by thousands of dollars. There is no competitive bidding in this buyer's market.
You can make an offer. A few years ago when you made an offer, the only question was how high above the list price could the buyer reach in hopes of being the best offer on the table. Today the sell price list vs. price ration is about 96%. A seller will not be insulted if you 'make them an offer they can't refuse'.
Patience is tolerated. In the hot seller's market that existed everything was rushed. Find a house before other buyers did. Hurry up and make the offer. Today a buyer can take their time. Look at several homes and think about your decision for a few hours.
Due diligence is welcomed. In this market a buyer is encouraged to obtain a home inspection, termite inspection, and appraisal. In 2005 many buyers waived these contingencies in order gain an advantage with multiple offers.
There are plenty of specs. In the not too distant past buyer had to 'play games' if they wanted a new home. There were lotteries and waiting lists in order to obtain new construction. Some buyers slept in their cars in order to get to the head of the lines. R.L. Brown estimates that builders have thousands of specs ready for immediate occupancy.
Repair requests are welcomed. After a buyer completes a home inspection, they are allowed to submit a repair request to the seller. In the past a seller might insist the home was sold 'as is'. Many times, there were back-up buyers waiting for a primary buyer to upset the seller whose home was increasing in value almost daily.
Few, if any investors. It is estimated that one third of all sales in 2005 were to investors. These non-owner occupied buyer caused the market to inflate and affordability to decline. Mortgage fraud became commonplace. It's a great time to buy without having to compete with hundreds of prospective landlords.
Location, location, location. Today's buyers can find homes closer to work. In the past buyers flocked to Maricopa and Queen Creek in order to find affordable homes. In this market, reasonably priced homes are within biking or walking distance to schools, rapid transit lines, and relatives.
Real Financing is available. The 'wink, wink' zero down, no doc, adjustable, sub-prime loans are gone. Fixed rates are back. FHA financing, first time homeowner bond programs, special loans for teachers, and police officers are back in business. It's a great time to buy real estate!
Year End Stats on the Website
Take a look at the Nelson Advantage website to get some information about year end 2007 for the Emerald Isle and Coastal Mainland, Carteret County area and how it stacks up. The current Connect to the Coast newsletter will be posted by the end of the day as well and is always available on YourNelsonAdvantage.com.
Bottom line, in Emerald Isle, we saw home buying decrease consistently from 2005 levels throughout 2006 and through the first half of 2007, and then in the last 2 quarters of 2007, this trend began to reverse, and the coast saw an up tick in the number of properties being purchased, moving up above the 2006 levels.
The only conclusion we, at Nelson Advantage, draw from this is that possibly, the decline in buying has stopped, the market is beginning to normalize, and prices are stabilizing. I do not see the prices moving up in the near future, but believe we have seen the low. Still significantly above the pre 2005 levels, but down from the anticipated selling prices we saw at the end of 2005 and into 2006. Lots of course, are lagging, but should follow suit as home sales pick up. Would love some comments from others about this, and what they see for this year.
Bottom line, in Emerald Isle, we saw home buying decrease consistently from 2005 levels throughout 2006 and through the first half of 2007, and then in the last 2 quarters of 2007, this trend began to reverse, and the coast saw an up tick in the number of properties being purchased, moving up above the 2006 levels.
The only conclusion we, at Nelson Advantage, draw from this is that possibly, the decline in buying has stopped, the market is beginning to normalize, and prices are stabilizing. I do not see the prices moving up in the near future, but believe we have seen the low. Still significantly above the pre 2005 levels, but down from the anticipated selling prices we saw at the end of 2005 and into 2006. Lots of course, are lagging, but should follow suit as home sales pick up. Would love some comments from others about this, and what they see for this year.
Interest Rates - Cooperate!
Real estate rates dive overnight
30-year fixed rate at 5.57%; 10-year Treasury yield at 3.87%
Monday, January 07, 2008Inman News
Long-term mortgage interest rates were down again Friday, and the benchmark 10-year Treasury bond yield dipped to 3.87 percent.
The 30-year fixed-rate average sank to 5.57 percent, and the 15-year fixed rate slid to 5.11 percent. The 1-year adjustable rate was down at 5.38 percent.
The 30-year Treasury bond yield edged up to 4.38 percent.
Rates and bonds are current as of 7:15 p.m. Eastern Standard Time.
Mortgage rate figures are according to Bankrate.com, which publishes nightly averages based on its survey of 4,000 banks in 50 states. Points on these mortgages range from zero to 3.5.
Thinking about buying real estate at the coast, give me a call, and let's see what is on the market. Not only have the rates dropped, but sellers have become more realistic about prices. There are some wonderful deals, ocean side for under $500,000...ocean view for just over $600,000....water view and access for under $500,000 .... give me a call!!
30-year fixed rate at 5.57%; 10-year Treasury yield at 3.87%
Monday, January 07, 2008Inman News
Long-term mortgage interest rates were down again Friday, and the benchmark 10-year Treasury bond yield dipped to 3.87 percent.
The 30-year fixed-rate average sank to 5.57 percent, and the 15-year fixed rate slid to 5.11 percent. The 1-year adjustable rate was down at 5.38 percent.
The 30-year Treasury bond yield edged up to 4.38 percent.
Rates and bonds are current as of 7:15 p.m. Eastern Standard Time.
Mortgage rate figures are according to Bankrate.com, which publishes nightly averages based on its survey of 4,000 banks in 50 states. Points on these mortgages range from zero to 3.5.
Thinking about buying real estate at the coast, give me a call, and let's see what is on the market. Not only have the rates dropped, but sellers have become more realistic about prices. There are some wonderful deals, ocean side for under $500,000...ocean view for just over $600,000....water view and access for under $500,000 .... give me a call!!
Thursday, January 3, 2008
...and more promising news about the coming year
This article matches what we've been seeing and feeling at the coast. I think the best way to describe it is that prices seem to have stopped falling, as buyers begin to take a look at what is out there, priced reasonably.
What do you think?
NAR NEWS
Home Sales Rise in Sign of Market Stabilization
Existing-home sales rose slightly in November, indicating an improvement in housing in the wake of mortgage disruptions earlier this year, NAR says. Total existing-home sales, including single-family, townhomes, condominiums and co-ops, rose 0.4 percent to a seasonally adjusted annual rate of 5 million units from an upwardly revised pace of 4.98 million in October. "Near term, existing-home sales should continue to hover in a narrow range, just as they have since September, and that's good news because it'll be a further sign that the housing market is stabilizing," says Lawrence Yun, NAR chief economist. "Mortgage interest rates are near historic lows and the most current data shows decelerating price declines, along with a modest reduction in the number of homes on the market." Disruptions in mortgage availability and pricing peaked in August, which caused sales to slow in subsequent months.
What do you think?
NAR NEWS
Home Sales Rise in Sign of Market Stabilization
Existing-home sales rose slightly in November, indicating an improvement in housing in the wake of mortgage disruptions earlier this year, NAR says. Total existing-home sales, including single-family, townhomes, condominiums and co-ops, rose 0.4 percent to a seasonally adjusted annual rate of 5 million units from an upwardly revised pace of 4.98 million in October. "Near term, existing-home sales should continue to hover in a narrow range, just as they have since September, and that's good news because it'll be a further sign that the housing market is stabilizing," says Lawrence Yun, NAR chief economist. "Mortgage interest rates are near historic lows and the most current data shows decelerating price declines, along with a modest reduction in the number of homes on the market." Disruptions in mortgage availability and pricing peaked in August, which caused sales to slow in subsequent months.
Wednesday, January 2, 2008
2008 and what's in store
"According to NAR Research, there is significant pent-up housing demand that will begin to be unleashed into the marketplace in 2008. Many markets will see rising home sales and strengthening home prices. We believe that the worst of the credit problems are behind us. Great news for consumers and REALTORS®!"
Maybe some good news coming. This quote came from the National Assoc of Realtors website, and we've seen an uptick in activity at the coast of North Carolina as well. What do you all think? Are we seeing a turn in this market? Will house prices stablize this year at the coast? I think so. There are many indications that this is happening.
Maybe some good news coming. This quote came from the National Assoc of Realtors website, and we've seen an uptick in activity at the coast of North Carolina as well. What do you all think? Are we seeing a turn in this market? Will house prices stablize this year at the coast? I think so. There are many indications that this is happening.
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