June Existing-Home Prices Rise Again, Sales Down with Constrained Supply

WASHINGTON (July 19, 2012) - Existing-home prices continued to show gains but sales fell in June with tight supplies of affordable homes limiting first-time buyers, according to the National Association of Realtors®.

Total existing-home sales¹, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, declined 5.4 percent to a seasonally adjusted annual rate of 4.37 million in June from an upwardly revised 4.62 million in May, but are 4.5 percent higher than the 4.18 million-unit level in June 2011.

Lawrence Yun, NAR chief economist, said the bigger story is lower inventory and the recovery in home prices. "Despite the frictions related to obtaining mortgages, buyer interest remains solid. But inventory continues to shrink and that is limiting buying opportunities. This, in turn, is pushing up home prices in many markets," he said. "The price improvement also results from fewer distressed homes in the sales mix."

According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to a record low 3.68 percent in June from 3.80 percent in May; the rate was 4.51 percent in June 2011; recordkeeping began in 1971.

The national median existing-home price² for all housing types was $189,400 in June, up 7.9 percent from a year ago. This marks four back-to-back monthly price increases from a year earlier, which last occurred in February to May of 2006. June's gain was the strongest since February 2006 when the median price rose 8.7 percent from a year prior.

Distressed homes³ - foreclosures and short sales sold at deep discounts - accounted for 25 percent of June sales (13 percent were foreclosures and 12 percent were short sales), unchanged from May but down from 30 percent in June 2011. Foreclosures sold for an average discount of 18 percent below market value in June, while short sales were discounted 15 percent. "The distressed portion of the market will further diminish because the number of seriously delinquent mortgages has been falling," said Yun.

NAR President Moe Veissi, broker-owner of Veissi & Associates Inc., in Miami, said there's been a steady growth in buyer interest. "Buyer traffic has virtually doubled from last fall, while seller traffic has risen only modestly," he said. "The very favorable market conditions are helping to unleash a pent-up demand, which is why housing supplies have tightened and are supporting growth in home prices. Nonetheless, incorrectly priced homes will not attract buyers."

Total housing inventory at the end June fell another 3.2 percent to 2.39 million existing homes available for sale, which represents a 6.6-month supply⁴ at the current sales pace, up from a 6.4-month supply in May. Listed inventory is 24.4 percent below a year ago when there was a 9.1-month supply.

First-time buyers accounted for 32 percent of purchasers in June, compared with 34 percent in May and 31 percent in June 2011. "A healthy market share of first-time buyers would be about 40 percent, so these figures show that tight inventory in the lower price ranges, along with unnecessarily tight credit standards, are holding back entry level activity," Yun said.

All-cash sales edged up to 29 percent of transactions in June from 28 percent in May; they were 29 percent in June 2011. Investors, who account for the bulk of cash sales, purchased 19 percent of homes in June, up from 17 percent in May; they were 19 percent in June 2011.

Single-family home sales declined 5.1 percent to a seasonally adjusted annual rate of 3.90 million in June from 4.11 million in May, but are 4.8 percent above the 3.72 million-unit pace in June 2011. The median existing single-family home price was $190,100 in June, up 8.0 percent from a year ago.

Existing condominium and co-op sales fell 7.8 percent to a seasonally adjusted annual rate of 470,000 in June from 510,000 in May, but are 2.2 percent higher than the 460,000-unit level a year ago. The median existing condo price was $183,200 in June, which is 6.9 percent above June 2011.

Regionally, existing-home sales in the Northeast dropped 11.5 percent to an annual pace of 540,000 in June but are 1.9 percent above June 2011. The median price in the Northeast was $253,700, down 1.8 percent from a year ago.

Existing-home sales in the Midwest slipped 1.9 percent in June to a level of 1.02 million but are 14.6 percent higher than a year ago. The median price in the Midwest was $157,600, up 8.4 percent from June 2011.

In the South, existing-home sales declined 4.4 percent to an annual pace of 1.73 million in June but are 5.5 percent above June 2011. The median price in the South was $165,000, up 6.6 percent from a year ago.

Existing-home sales in the West fell 6.9 percent to an annual level of 1.08 million in June and are 3.6 percent below a year ago. The median price in the West was $233,300, up 13.3 percent from May 2011. Given tight supply in both the low and middle price ranges in this region, sales in the West are stronger in the higher price ranges.

The National Association of Realtors®, "The Voice for Real Estate," is America's largest trade association, representing 1 million members involved in all aspects of the residential and commercial real estate industries.

Featured Properties for Sale

NEW LISTING!

3270 E Camelback RD 110 Phoenix, AZ 85018 $95,000

Super swanky, awesome 2 bedroom, 2 bathroom condo in amazing location! Tucked in between Arcadia and the Biltmore, this home is close to everything! Home is light and bright and offers tile and pergo floor throughout, spacious rooms and two totally remodeled bathrooms. Community offers nice grassy areas, views of Camelback Mountain, and includes AC in hoa dues. Pre-approved short sale with Bank of America's Co-op program. Hurry on this one!

NEW LISTING!

8038 E. Lariat Lane Scottsdale, AZ 85255 $550,000
Beautiful North Scottsdale home on a large lot!!

http://8038elariatlane.epropertysites.com/

Beautiful North Scottsdale home on a large lot with lots of privacy! Home features a great split bedroom floorplan and lots of updates. New within the last 6 years: travertine flooring in all the right places, granite countertops in kitchen, stainless steel appliances, and completely remodeled master bathroom including sauna/steam shower. Large master suite has large walk in closet and door to the huge covered patio that leads to easy maintenance yard with pebbletec pool. Both AC units are newer and have air purification systems. Also, plantation shutters throughout, mountain views, 3 car garage with extra storage and more! Check out video tour in photos section and make an appointment to see your new home today!

 NEW LISTING!

1630 W Rockwood Phoenix, AZ 85027 $99,900

Great value on this 4 bedroom home with a pool!

http://1630wrockwooddrive.epropertysites.com/

All rooms are good sized and tile in all the right places. Good sized lot with storage sheds and fenced in pool. Newer AC and Roof!!! Just needs a little personal touch to make this home really shine. 2 loans (Wells Fargo and Specialized Loan Servicing) and everything has already been started.

NEW LISTING!

8055 E Thomas Road  Scottsdale, AZ  85251 $49,900

Great opportunity own in Scottsdale for under $50k

http://8055ethomasroadb103.epropertysites.com/

One bedroom condo close to Old Town, 101 freeway, shopping malls, restaurants, ASU & much more! Unit has been updated, including fresh paint, new tile flooring and new carpet, mirrored closet doors, tile countertop, new dishwasher and microwave. Located near the laundry facilities, large pool and tennis courts. All appliances included and a normal sale!! Hurry to take advantage of this great value!

4836 N 74th ST Scottsdale, AZ 85251 $169,100

HIGHLY SOUGHT AFTER, CONTEMPORARY COMMUNITY! Tri-level, vaulted ceilings, light and bright! Split floorplan with dual masters - top floor has expansive deck with unobstructed views of Camelback Mountain. First floor master is large and has multiple closets. 20 foot ceilings in living room, fireplace. Loft area perfect for office? EXTREMELY unique floorplan, perfect for the creative at heart! Two car garage. COVETED location, walk to all that Old Town Scottsdale has to offer, minutes to Fashion Square and the 101. Community pool for those hot summer days. Small community, these rarely come available. Bank approved short sale!

Featured Properties for Rent!

New Listing!!

8787 E Mountain View Road #1074 Scottsdale, AZ 85258

Oversized first floor, one bdrm in McCormick Ranch

http://8787emountainviewroad1074.epropertysites.com/

WHIRLPOOL APPLIANCES, MAPLE CABINETS, GRANITE COUNTERTOPS, BRUSHED NICKEL BATH/KITCH HARDWARE and LIGHT FIXTURES! NEUTRAL TONED CARPETING and GORGEOUS TILE in all the right places. Great GREENBELT view! Short walk to 1 of 3 pools in the community. Fireplace encased with tile in the living room and a PRIVATE, COVERED patio. 4x7 storage unit located on the patio. 18+ miles of BIKE and MULTI-USE TRAILS, SHOPPING, RESTAURANTS, SCC, and 101 are in close proximity.

New Listing!!

8260 E Arabian Trail Scottsdale, AZ

PRICE REDUCED! Condo in McCormick Ranch!

http://8260earabiantrail.epropertysites.com/

Oversized one bedroom condo on first floor in coveted McCormick Ranch! Good sized living room with ceiling fan, upgraded and contemporary kitchen with track lights and granite-looking counters. Newer cabinets, light and bright. All appliances included, brushed nickel fixtures. Large bedroom, plenty of room! One covered parking spot, covered patio looks out on to courtyard/greenbelt area. Community has two pools, spa, clubhouse workout room. Water, sewer, & trash included. This will not last!

9990 N Scottsdale Road Scottsdale, AZ 85253 $1,500
Prime location *FURNISHED* gated community!

http://9990nscottsdaleroad2047.epropertysites.com/

Prime location in gated community minutes from everything! Fully furnished & tastefully decorated with new Berber carpeting, ceramic tile, & new Kitchen appliances. LR features a microfiber couch and two arm chairs, TV w/ DVD. Master w/ queen pillow top mattress, dresser, walk in closet, full bath. 2nd bedroom w/ 2 single beds, large closet & full bath. Large capacity Washer/Dryer. Walk to California Pizza Kitchen, Yoga/Pilates, Macaroni Grill, DQ, Total Wine, Natural Organic Foods, BevMo, CVS, New York City Bagel, Jersey Mikes Subs, Desert Sportsman Adventures, & much more. Very popular area and community, hurry! Seasonal rate $2300, summer rate includes first $100 of electric.

4600 N 68th St. #374 Scottsdale, AZ 85251 $850

Beautiful Condo Close to Old Town!!

http://4600n68thst374.epropertysites.com/

***AVAILABLE 8/15/11.***** Owner has given this condo a makeover! Freshly painted, updated furniture, new tile! FULLY FURNISHED, beautiful 1 bedroom unit. Southwest decor for the Arizona enthusiast. Next to FASHION SQUARE MALL, WALKING DISTANCE to Old Town with many SHOPS AND RESTAURANTS. NEW SLEEPER SOFA - CAN SLEEP 4. Off season rate does not include electric. 

Fun Facts & Tips

Back to School Tips this August!

Making the First Day Easier

• Remind your child that she is not the only student who is a bit uneasy about the first day of school. Teachers know that students are anxious and will make an extra effort to make sure everyone feels as comfortable as possible.
• Point out the positive aspects of starting school: It will be fun. She'll see old friends and meet new ones. Refresh her positive memories about previous years, when she may have returned home after the first day with high spirits because she had a good time.
• Find another child in the neighborhood with whom your youngster can walk to school or ride with on the bus.
• If you feel it is appropriate, drive your child (or walk with her) to school and pick her up on the first day.

Backpack Safety

• Choose a backpack with wide, padded shoulder straps and a padded back.
• Pack light. Organize the backpack to use all of its compartments. Pack heavier items closest to the center of the back. The backpack should never weigh more than 10 to 20 percent of your child’s body weight.
• Always use both shoulder straps. Slinging a backpack over one shoulder can strain muscles.
• If your school allows, consider a rolling backpack. This type of backpack may be a good choice for students who must tote a heavy load. Remember that rolling backpacks still must be carried up stairs, and they may be difficult to roll in snow.

Traveling To and From School

Review the basic rules with your youngster:

School Bus

• If your child’s school bus has lap/shoulder seat belts, make sure your child uses one at all times when in the bus. If your child’s school bus does not have lap/shoulder belts, encourage the school to buy or lease buses with lap/shoulder belts.
• Wait for the bus to stop before approaching it from the curb.
• Do not move around on the bus.
• Check to see that no other traffic is coming before crossing the street.
• Make sure to always remain in clear view of the bus driver.
• Children should always board and exit the bus at locations that provide safe access to the bus or to the school building.

Car

• All passengers should wear a seat belt and/or an age- and size-appropriate car safety seat or booster seat.
• Your child should ride in a car safety seat with a harness as long as possible and then ride in a belt-positioning booster seat. Your child is ready for a booster seat when she has reached the top weight or height allowed for her seat, her shoulders are above the top harness slots, or her ears have reached the top of the seat.
• Your child should ride in a belt-positioning booster seat until the vehicle's seat belt fits properly (usually when the child reaches about 4' 9" in height and is between 8 to 12 years of age). This means that the child is tall enough to sit against the vehicle seat back with her legs bent at the knees and feet hanging down and the shoulder belt lies across the middle of the chest and shoulder, not the neck or throat; the lap belt is low and snug across the thighs, and not the stomach.
• All children younger than 13 years of age should ride in the rear seat of vehicles. If you must drive more children than can fit in the rear seat (when carpooling, for example), move the front-seat passenger’s seat as far back as possible and have the child ride in a booster seat if the seat belts do not fit properly without it.
• Remember that many crashes occur while novice teen drivers are going to and from school. You should require seat belt use, limit the number of teen passengers, do not allow eating, drinking, cell phone conversations or texting to prevent driver distraction; and limit nighttime driving and driving in inclement weather. Familiarize yourself with your state’s graduated driver license law and consider the use of a parent-teen driver agreement to facilitate the early driving learning process. For a sample parent-teen driver agreement, see www.healthychildren.org/teendriver

Bike

• Always wear a bicycle helmet, no matter how short or long the ride.
• Ride on the right, in the same direction as auto traffic.
• Use appropriate hand signals.
• Respect traffic lights and stop signs.
• Wear bright color clothing to increase visibility.
• Know the "rules of the road."

Walking to School

• Make sure your child's walk to a school is a safe route with well-trained adult crossing guards at every intersection.
• Be realistic about your child's pedestrian skills. Because small children are impulsive and less cautious around traffic, carefully consider whether or not your child is ready to walk to school without adult supervision.
• If your children are young or are walking to a new school, walk with them the first week or until you are sure they know the route and can do it safely.
• Bright colored clothing will make your child more visible to drivers.
• In neighborhoods with higher levels of traffic, consider starting a “walking school bus,” in which an adult accompanies a group of neighborhood children walking to school.

Eating During the School Day

• Most schools regularly send schedules of cafeteria menus home. With this advance information, you can plan on packing lunch on the days when the main course is one your child prefers not to eat.
• Try to get your child's school to stock healthy choices such as fresh fruit, low-fat dairy products, water and 100 percent fruit juice in the vending machines. Each 12-ounce soft drink contains approximately 10 teaspoons of sugar and 150 calories. Drinking just one can of soda a day increases a child's risk of obesity by 60%. Restrict your child's soft drink consumption.

Brought to you By: HealthyChildren.com

 Community Leader of the Month

Don Ratliff with "YES I CAN PROJECT"

This past spring, I had the pleasure of staffing the Kids Basic in Phoenix
and it was an amazing experience for me and for the children who attended.

The work being done at the Kids Basic is very much in alignment with what I
want to do with the "YES I CAN" Project. Specifically, finding ways to help
children build confidence and self-esteem.

I was impressed by the tireless efforts of Mel Nutall and Jill Gerber (and
others) at the KIds Basic in May, and I made a commitment to them that I
would do whatever I could to help.

What came out of our discussion was the idea of creating scholarships for
the Kids Basic and making these scholarships available to children whose
parents would like them to attend, but might not be able to afford the cost
of the class.

And that's why I'm writing you today.

I'm hoping you will help me, help them, by making a tax deductible donation
to the "YES I CAN" Project.

100% of your donation will go to creating these scholarships.

The cost to sponsor 1 child is only $195, and donations in any amount are
gratefully accepted.

My goal is to raise the funds to create six scholarships ($1170)

If you are willing to help me, please go to
http://yesicanproject.org/KidsBasic/
where I have set up a secure Paypal donation button and make your tax
deductible donation.

From the bottom of my heart, thank you!

Pets of the Month:

Cat of the month: Sonora    

Birthday: 05/30/2009

Gender: Female

Breed: Domestic Medium Hair

More About Sonora...

Sonora is a stunning long-haired dilute calico who is looking for a second chance at a new beginning in life. She's new to the shelter and getting used to the surroundings so she will need some time and patience to help her feel secure in her new home. She'd love to have a cool bed or cat tower to lounge on and watch the world go by! Please come by and visit sweet Sonora and let her bring some sunshine into your life!

For Photos, more information or to adopt Sonora please visit http://aawl.org/adopt/cats/rhymes45190-0

Dog of the month: Romeo

Breed: Terrier, Pit Bull

Gender: Male

Birthday: 08/30/2010

Size: Large (46-65 lbs.)

About Romeo....

Lets begin our classic love story as I charm my way into your heart! My name is fitting as I have an outgoing personality that will win over even my enemies, except I have none because I am such a goofball!

I am a very energetic, wiggly boy who feels like a true companion when I am running along side you encouraging you to keep going that extra mile. I will thrive in an active family and home with older children as I need plenty of exercise.

I am toy crazy! I just cant get enough of all these fun, new things. A full toy box is what I dream of!

I must mention that as royalty, I do want to be the king of the castle and will do best as the only pet in the home. My sister and I get along well if your looking for a pair!

Lets start off on the right paw by enrolling in a basic obedience class together! It will give us a chance to bond and I can learn all the things legendary dogs need to know. If my name is Romeo, chances are someone will want to write a book about me so I want to live up to my character.

If you are looking to spoil one loving, boisterous boy, then hurry down and meet me today!

For Photos, more information or to adopt Romeo , please visit http://aawl.org/adopt/dogs/cheyenne51529