Special offer

Summit, NJ - Positive Signs in the Real Estate Market

By
Real Estate Sales Representative with Coldwell Banker Residential Brokerage

Silver Lining for Real Estate in '08

•Ø       In his outlook for 2008, Laurence Yun, the chief economist for National Association of Realtors®, sees a shift from greedy speculators to serious homeowners. 2008 will be a year of opportunity where there will be serious, healthy business. Furthermore, Yun predicted that the market returns to normal by 2009.

•Ø       According to Yun, one of the biggest mistakes that reporters make is talking about national trends. Nationally, 2007 was the fifth best year ever on record. Home prices declined about 1.5 percent after a 50 percent run up in prices.

•Ø       2008 represents the best window that buyers will have to find excellent deals with excellent financing. Get the word out there. If they wait, prices and interest rates will be higher and the reluctant buyer may be forced out of the market.

-- "Positive News for Realtors in ‘08," by Bernice Ross, Inman News (registration required), Dec. 21, 2007.

Buyers: Don't Try to Time the Market

•Ø       Assuming you can figure out the ideal time to buy - that is, when prices have hit not only hit a trough but are on the verge of rebounding - by the time you find the house you want, line up the financing and close the deal, the "best" time may have already passed.  

•Ø       Start looking around in different areas where you may be interested in living to get a sense of what the market is like and where it may be headed. The national housing market is really a collection of many local markets, and the prospects can vary considerably from one locale to the next, depending on such factors as how hot the market got, the local employment picture and the volume of inventory and potential foreclosures.

-- "Ask the Expert: Timing the Housing Market," by Walter Updegrave, CNNMoney.com, Dec. 27, 2007.

Foreign Investment in U.S. Real Estate

Sales of luxury homes have been strong and "with the value of the U.S. dollar low and real estate prices dropping, it isn't hard to imagine foreigners taking bigger positions in properties here as part of their overall portfolios. At the first blush of renewed energy, the real estate market will bounce back."

-- Thomas Kostigen of Marketwatch, "Spotting Market Bottoms in 2008, Strategies for Home Sellers," by Lauren Baier Kim, RealEstateJournal.com, Jan. 1, 2008.

Mortgage Rates Fall

The benchmark 30-year fixed-rate mortgage fell 17 basis points, to 6.14 percent, according to the Bankrate.com national survey of large lenders. The benchmark 15-year fixed-rate mortgage fell 21 basis points, to 5.76 percent. The benchmark 1-year adjustable-rate mortgage fell 6 basis points, to 6.1 percent. The 30-year jumbo, for mortgages of more than $417,000, fell 10 basis points, to 7.2 percent.

-- "Rates Fall on First Economic Report of 2008," by Holden Lewis, Bankrate.com, Jan. 3, 2008.

Going "Green" Adds Value to Homes

In a market where selling homes has recently become more challenging, features that make houses stand out from the pack provide an extra advantage against competitors. "Home buyers are looking for added value in every purchase they are making. They either want an awesome price or extras - such as those extras found in a more energy-efficient house."

-- Laura Zambratto, associate broker with Daniel Gale Sotheby's International Realty in Cold Spring Harbor, N.Y., "Builders, Brokers See Sales Edge in 'Green' Homes," by Laura Koss-Feder, Newsday, Dec. 28, 2007.

Interested in Learning More about the Summit, NJ Area - Click Below

www.MichaelPennisi.com

Comments (1)

Bill Gillhespy
16 Sunview Blvd - Fort Myers Beach, FL
Fort Myers Beach Realtor, Fort Myers Beach Agent - Homes & Condos
We are seeing a maeked increase in the number of folks showing up at open houses, walk-ins, requests for showings, etc.  Keep your fingers crossed.
Feb 04, 2008 05:20 AM