HARRY'S COLUMN

HOME SALES SURGE IN THE WEST

For the sixth consecutive month, pending home sales increased in the Western U.S., according to NAR Chief Economist Lawrence Yun. This increase is in sharp contrast to the decline in pending home sales in the Northeast and in the Midwest.

NAR's pending home sales index increased 3.2% from June to July and was up 12% from a year ago, according to Yun. The index, based upon contracts signed but not closed, is at its highest level since June 2007.

One of the factors that drove this increase was the first-time home buyers tax credit of $8,000. If this tax credit is extended into 2010, it should continue to encourage home purchases. Bills pending in both houses would extend the credit for another year and Senate Banking Committee Chairman Sen. Chris Dodd, D-Conn is co-sponsoring a bill by Sen. Johnny Isacson, R-Ga., that would increase the maximum amount of the credit to $15,000.

WSJ SAYS THE housing market HAS RARELY LOOKED BETTER

 In his column in the Wall Street Journal, Sept 2, 2009, James B. Stewart, a columnist for SmartMoney magazine, states: 

 "The data suggest that real estate prices hit bottom some time during the second quarter, and have now begun to rise ..Clearly, prices are no longer in free-fall. That means if you've been sitting on the fence, it's time to act. .I can't imagine a better time to buy than now"

I couldn't have said it better, myself.

I'M FROM THE GOVERNMENT AND I'M HERE TO HELP YOU !!

Last week we attended a day-long presentation sponsored by the Department of Housing and Urban Development, US Government, explaining the new federal regulations regarding Good Faith Estimates and HUD-1. The good news is that, starting on January 1, 2010, Buyers will be better protected against last-minute surprises at closings. The bad news is that:

1.     Because of the additional paperwork involved, lenders will probably increase their fees, and,

2.     Because of the strictness of the new regulation, the possibility exists that Buyers and/or Sellers might have to re-close on what should have been a "done-deal". (Imagine a Seller, waiting in his new city for the moving van containing all of his  furniture, being notified that funds to pay the movers would not be available until a new closing is scheduled).

It's true that, in the past, too many closings have been marred with last-minute charges and/or fees that resulted in bad feelings, postponement or even cancellation of the closing. The new regulations will hold all parties (Buyers, Sellers, Lenders and Title Companies) accountable for meeting deadlines and providing firm Good Faith Estimates in a timely manner, so that Buyers and Sellers will know exactly what to expect at the closing.

 The bottom line for Buyers and Sellers is that utilizing the services of a professional, experienced Realtor who has good working relationships with dependable, local lenders and title companies will still be the key to successful closings.

 I would be honored to serve as your broker for all of your residential real estate needs.

And, if you know of anyone who is moving in or out of the Pikes Peak region, remember that, with over 35 years of providing relocation services to clients throughout the country, I am uniquely qualified to assist them with the relocation process, including buying and/or selling their homes on both ends of their move. 

 LATEST LOCAL STATISTICS

 Although local sales in August were up, both the average and the median prices of homes sold during the month of August declined slightly. We attribute this decline to two factors. First, local Sellers are finally facing the current market realities and are pricing their listings accordingly. Secondly, the typical first-time Buyer, i.e. the Buyer who is using the First-Time Buyer Tax Credit, is usually in the market for a lower-priced home. Click here to see the complete August statistics for our area.   

JOKE OF THE WEEK

A short history of health care:

1 A.D.      - I don't feel so good !!  Oh, that's too bad ! Here, eat this root.

1000 A.D. - That root is heathen, say this prayer.

1700 A.D. - That prayer is superstition, drink this potion.

1800 A.D. - That potion is just snake oil, swallow this pill.

1950 A.D. - That pill is old fashioned and ineffective, take this antibiotic.

2000 A.D. - That antibiotic is artificially produced and not organic. Here, eat this root.

2009 A.D. - That root has been banned by the FDA. Fill out this form in triplicate, get in line and, in about three months, the government will let you know if you qualify for treatment.

 

2010 A.D.  -  I don't feel so good !! Oh, that's too bad ! Here's the phone. Call your congressman.