home sales: effects of the tax credit
- 06/16/10 02:30 AM
Below are two graphs showing the market since the end of the tax credit. The bigger watch item is the inventory climb. Which I would have expected, yet the market would be better if it leveled and did not go higher. The fallings sales were absolutely expected, yet stronger than you would think based on the fall in interest rates making purchasing less expensive. We should wash out the effect of the tax credit by the end of august and here in Yellowstone county see the markets actually performance without subsidy.
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home sales: looking at different indicators
- 06/15/10 02:16 AM
By a factor of two, Billings produces the most gambling revenue in the state of montana. I would venture that since the populationof Billings is not "double" of all the other major cities the factor that gets Billings to those numbers is all the inbound traffic to come and shop and spend time here. I would guess the real nervous person in the mix would be the banker that lent money based on past revenue. Value of a financial item tends to drop in relation to the income it produces very similar to the bad loans in real estate.
3rd2009 … (0 comments)
home sales: top ten riskest real markets
- 06/14/10 03:18 AM
According to the mortgage insurance company below is the list of the 10 most risky real estate markets per their analysis the ten markets below basically have a 100% chance their price will be lower in the coming year. Anit' recovery grand PMI's U.S. Market Risk Index(SM) uses economic, housing, and mortgage market factors, such as home price appreciation, employment, affordability, excess housing supply, interest rates, and foreclosure activity in assessing the risk of price declines in that nation's MSAs. Risk scores translate directly into a probability (ranging from zero to 100) that the price of homes in a given MSA … (4 comments)
home sales: rent as compared to owning
- 06/13/10 04:44 AM
thought it might be interesting to show what the average cost of owning a home in Yellowstone county as compared to renting the average home. this i the most current figures the home for rent number comes from analyzing over 1500 homes fro rent this year 2010 and the average sales priced home using 20% of the payment for taxes and insurance. what you can really see is the effect of the lower interest rates on ownership.
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home sales: price level changes around the state
- 06/13/10 03:55 AM
Below is chart from the federal finance agency showing what they consider the year of year price by quarter the information is obtained from loans originated by Fannie and Freddie. They only do the report for MSA's so fro Montana that means Billings, Missoula and Great Falls. I also ran Las Vegas, Miami and Boise, Denver comparisons so you can see why you are glad to be in Billings Montana Percent Change in FHFA MSA-Level House Price Indexes (All Transactions Index, 2010Q1)
home sales: housing price changes comparisions
- 06/12/10 03:04 AM
below is a chart from the federal housing fiance agency which shows a comparison year over year by quarter what has happened in pricing of housing. since Montana has only three msa that is the information presented below. quarterly house price indexes for single-family detached properties using data on conventional conforming mortgage transactions obtained from the Federal Home Loan Mortgage Corporation (Freddie Mac) and the Federal National Mortgage Association (Fannie Mae) Percent Change in FHFA MSA-Level House Price Indexes (All Transactions Index, 2010Q1)
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home sales: tax credita and the rental market
- 06/12/10 01:52 AM
below are two charts showing the impact of the tax credit on the rental market. 1st is the cost to rent has gone down as renters (first time home buyers) have purchased a home. this is classic economic event when you increase the availability of something in a free market the price will go down. which is what the second graph shows is the availability of apartments for rent. through the natural growth of the population of Yellowstone county apartment availability should start to go down later this summer of early fall.
home sales: fha changes affecting borrowers
- 06/11/10 11:58 AM
here is a list of changes fha is in the process of making thta will affect a purchasers ability to buy a home Announced FHA Policy Changes: Mortgage insurance premium (MIP) will be increased to build up capital reserves and bring back private lending The first step will be to raise the up-front MIP by 50 bps to 2.25% and request legislative authority to increase the maximum annual MIP that the FHA can charge. If this authority is granted, then the second step will be to shift some of the premium increase from the up-front MIP to the annual MIP. This … (0 comments)
U.S. Foreclosure Market Data by State - May 2010 … (0 comments)
home sales: markets response to tax credit ending
- 06/11/10 02:25 AM
below is a graph showing the relationship of pending sales to active properties fro sale. what it shows is the impact on the market of the tax credit expiring.. traditionally buyers come into the market 30 to 180 days ahead of purchasing a home, so what the data shows is that we should have less buyers in the market through august. of course is just in time for the markets normal slow down in the fall. it will be interesting to see how it plays out.
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home sales: new requirements of fannie mae
- 06/11/10 02:16 AM
thought i would pass this information along since as you go through the sales process and trying to second guess timing of closing this is another layer that lenders might have to go through so your "approved" loan just might end up with a delay. this is a new requirement What is the purpose of pre-funding reviews?
The purpose of the pre-funding review is to validate the accuracy of the loan information and identify gaps in the process or additional training needs. The pre-funding review process should include controls or checks that test the accuracy of the loan data to … (0 comments)
home sales: federal reserve comments on housing
- 06/10/10 02:05 AM
From the latest fed beige book report on the economy and it's comments on housing Residential real estate activity improved since the last report. Most Districts noted an increase in home sales and construction prior to the April 30th deadline for the homebuyer tax credit, with contacts in many of these Districts also indicating a corresponding slowing in activity in May. Tight credit, the elevated inventory of homes available for sale, and the "shadow inventory" of foreclosed properties on banks' balance sheets held back residential development in the New York, Cleveland, Atlanta, and Chicago Districts. Commercial real estate activity generally remained … (0 comments)
home sales: tax credita and the market
- 06/09/10 01:35 AM
Just in case your were wondering how the housing market was going to respond to no tax credits any more Mortgage Brokers Association: Mortgage Purchase Applications decline 35% over last four weeks The purchase index has collapsed following the expiration of the tax credit suggesting home sales will fall sharply too. This is the lowest level for the purchase index since February 1997.
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home sales: makert stats thu may 2010
- 06/08/10 01:22 AM
You can see the effect of the tax credit in the four major metrics of the housing market. 1st is thew closed sales up 16% from last year. 2nd is pending sales a month after the credit expires down 12% 3rd. is active properties up 14% from last year and 4th the most dramatic is the single family building permits issued in Billings Down 86%. when you factor in that this time of year permits are normally headed up you really get the feel for the impact the tax credit has had on the housing market.
We continue to receive questions about changes FHA made to the condominium approval process which took effect December 7, 2009. Briefly, we: Modified the 50% owner occupancy requirement to allow the exclusion of vacant and tenant‐occupied REOs from the calculation Reduced the pre‐sale requirement from 50% to 30% of the total units Increased the FHA concentration limit from 30% to 50% Relating to site condos, condominium project approval is not required Detailed information is contained in Mortgagee Letters 2009‐46A and 2009‐46B. Also, in response to industry concerns, we recently posted a waiver … (0 comments)
home sales: homes sales in yellowstone county
- 06/03/10 03:35 AM
TO CONTRAST THE SINGLE FAMILY PERMIT NUMBERS AND CHECK ON THE PERFORMANCE OF THE HOME MARKET OVERALL HERE ARE HOME SALES AND PRICES IN YELLOWSTONE COUNTY. WE CAN SEE THE THAT DEMAND REMAINS, YET AT A SUBDUED LEVEL, WHEN YOU FACTOR IN HISTORICALLY LOW INTEREST RATES AND THE TAX CREDITS AVAILABLE. ADDITIONAL FACTORS I BELIEVE CONTRIBUTE TO "SOFT" ACTIVITY INDICATORS ARE EMPLOYMENT AND POPULATION NUMBERS FOR YELLOWSTONE COUNTY (WHICH ARE POSITIVE). THE FLIP SIDE OF THE COIN IS THAT IT DOES SHOW THE STABILITY OF THE YELLOWSTONE COUNTY ECONOMY AND SHOULD FORECAST CONTINUED STABLE PRICING, ALBEIT AT LOWER LEVELS THAN PEAK … (1 comments)
home sales: Building permit numbers Billings
- 06/03/10 02:49 AM
TO SEE HOW MUCH THE "TAX CREDITS" AFFECTED BUILDERS PLANS AND DIRECTION OF CONSTRUCTION FOR THE SUMMER I THOUGHT IT MIGHT BE USEFUL TO LOOK BACK A COUPLE OF YEARS AND SEE HOW THE MONTH OF MAY USUALLY PERFORMED. WHILE I WOULD NOT EXPECT THE NATIONAL PERMIT NUMBERS TO FALL QUITE AS FAR AS BILLINGS THE NUMBERS FROM BILLINGS DO NOT PORTEND WELL FOR THE NATIONAL PERMIT NUMBERS TO RELEASED FOR MAY TOWARDS THE JUNE. IF THE NATIONAL PERMIT NUMBERS FALL JUST 20% INSTEAD OF THE 86% THE BILLINGS PERMITS FELL IT WILL PUT THEM IN COMPETITION FOR THE LOW … (0 comments)
home sales: the effects of foreclosure abatement
- 06/02/10 02:27 AM
you can see the effectives of foreclosures programs run by the government. Based on the information below it has been very effective in lengthening the process to create a longer time period of pain in the housing cycle. Foreclosure procedures have been initiated against 1.7 million households.-Average borrower in foreclosure has been delinquent for 438 days before eviction;-This is up from 251 days in January 2008.-More than 650,000 households had not paid in 18 months.-19 percent of those homes, the lender had not even begun to take action to repossess the property - double the rate a year earlier.
Below are two graphs showing the market since the end of the tax credit. The bigger watch item is the inventory climb. Which I would have expected, yet the market would be better if it leveled and did not go higher. The fallings sales were absolutely expected, yet stronger than you would think based on the fall in interest rates making purchasing less expensive. We should wash out the effect of the tax credit by the end of august and here in Yellowstone county see the markets actually performance without subsidy.
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