April Newsletter

Real Estate Agent with J.C. Ryan Realty


Joseph Cannella
April 2007
Real Estate Update
Copyright 2007 Realty Times
All Rights Reserved.

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Rates Remain Stable
      In Freddie Mac's results of its Primary Mortgage Market Survey the 30-year fixed-rate mortgage (FRM) averaged 6.16 percent for the week ending March 29, 2007, unchanged from the previous week. Last year at this time, the 30-year FRM averaged 6.35 percent.
      "Despite concerns about possible spillovers from the troubles in the subprime market, rates on 30-year fixed-rate mortgages remain stable. The ample liquidity provided by Freddie Mac in the conventional conforming mortgage market has

Mortgage Rates
Source: Realty Times

U.S. averages as of March 29, 2007:

30 yr. fixed:   6.16%
15 yr. fixed:   5.86%
1 yr. adj:        5.43%

helped keep rates down, supporting affordability and aiding in the ultimate recovery of the housing market," said Frank Nothaft, Freddie Mac vice president and chief economist.

Give Your Kitchen A Boost

    Most experts agree it is not always cost-efficient to remodel a kitchen in anticipation of selling. There are ways to make your kitchen sparkle before you put your home on the market. Repair leaky faucets and remove stains from the kitchen counters and sink. Clean the interior of your oven and dishwasher, as someone is sure to open them. Dirty appliances can convey an impression that will extend to the rest of the house. "Before taking out walls or committing a lot of money, you have to ask, does it need a facelift or major surgery," said Jason Feldman, director of style, innovation, and design for Home Depot.
     "There's no point in replacing cabinets or making structural changes if all that's needed are a few cosmetic improvements."

Property Assessments Increasingly Online

    Around the country local assessors and property tax offices are placing real estate records online, such items as property size, plot location, assessed valuation, and current taxes. Such sites raise a question: Is this data a substitute for the comparative market analysis (CMA) done by your REALTOR®?
     Tax assessments and CMAs both look at real estate data, each has value, but each are very different. Tax assessments in different communities nationwide are typically updated every one to three years. A CMA will reflect current sales and your Realtor will discuss homes for sale but not yet sold -- homes which nevertheless compete for buyer interest and attention and may impact local pricing patterns.

Spring Sales Set To Bloom, Says NAR
    While all the numbers aren't in yet, local Realtors are reporting that their winter inventory overhang is selling. Buyers are starting to respond to continuing low interest rates, falling prices and smorgasbord inventories in buyer's markets across the country. Could these robins be heralding a spring comeback in housing?
     Existing homes should fare well, but new homes will lag, says National Association of Realtors Chief Economist, David Lereah.
     "After reaching what appears to be the bottom in the fourth quarter of 2006, we expect existing-home sales to gradually rise all this year and well into 2008," he said. "New-home sales should continue to slide, but we look for that sector to turn around later in the year. When you put it all together, home sales may appear weak in comparison with the record surge in 2005, but they will be sustained at historically high levels that are in line with long-term demand." NAR believes that mortgage rates will rise this year, but well below the original forecasts for 2006 at 7%. The 30-year fixed-rate mortgage is forecast to rise to 6.7% by the second half of the year.  "Mortgage rates remain favorable, and a gradual rise means potential buyers have some time to weigh purchase decisions," Lereah said. "When existing-home supplies become more balanced between buyers and sellers this spring, we'll see some modest price gains."

Equal Housing
Joseph Cannella
972-467-8295 Direct

Coldwell Banker Jane Henry
2710 W. FM 544
Wylie, TX 75098

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