8 Metros Where List Prices Are on the Rise

A number of housing markets nationwide have been seeing modest increases in median list prices. In the last year alone, median national list prices ticked up 6.82 percent year over year in February, according to Realtor.com data of 146 metro markets. And a number of markets have seen increases in just one month by 3 or 4 percent.

The following are the eight metro areas that saw the highest median list price increases from January to February:

1. San Jose, Calif.
Month-over-month increase: 4.20 percent
Median list price: $468,888

2. Washington, D.C.-Md.-Va.-W.Va.
Month-over-month increase: 4.17 percent
Median list price: $384,950

3. Detroit
Month-over-month increase: 3.92 percent
Median list price: $84,900

4. Corpus Christi, Texas
Month-over-month increase: 3.89 percent
Median list price: $165,700

5. San Francisco
Month-over-month increase: 3.77 percent
Median list price: $611,700

6. Punta Gorda, Fla.
Month-over-month increase: 3.35 percent
Median list price: $185,000

7. Atlanta
Month-over-month increase: 3.27 percent
Median list price: $154,900

8. Phoenix, AZ
Month-over-month increase: 3.23 percent
Median list price: $146,000

And where have median list prices fallen the most in the last month? Iowa City, Iowa, where median list prices have declined 4.95 percent, and Toledo, Ohio, where list prices dropped 4.31 percent from January to February, according to Realtor.com data.

More Cities Join 'Improving' Housing Market List

The National Association of Home Builders’ list of improving housing markets nearly doubled this month, as more cities showed signs of a rebound with their real estate markets.

The list now contains 76 improving markets, up from 41 in December, according to NAHB’s and First American’s Improving Markets Index, a monthly gauge that measures a city’s improvements in housing permits, employment, and housing prices for at least six months. 

"The fact that the list of improving housing markets nearly doubled this month shows that a significant, positive trend is developing, and is even more relevant when you consider the expanding geographic distribution of the list — which now includes 31 states and the District of Columbia," NAHB Chairman Bob Nielsen said in a statement. 

These cities were added to the list in January: 

• Florence, Ala.
• Tuscaloosa, Ala.
• Fayetteville, Ark.
• Denver, Col.
• Greeley, Col.
• Bridgeport, Conn.
• New Haven, Conn.
• Cape Coral, Fla.
• Jacksonville, Fla.
• Punta Gorda, Fla.
• Honolulu, Hawaii
• Ames, Iowa
• Des Moines, Iowa
• Dubuque, Iowa
• Elkhart, Ind.
• Indianapolis, Ind.
• Lafayette, Ind.
• Lake Charles, La.
• Worcester, Mass.
• Grand Rapids, Mich.
• Lansing, Mich.
• Monroe, Mich.
• Minneapolis, Minn.
• Columbia, Mo.
• Joplin, Mo.
• Fargo, N.D.
• Manchester, N.H.
• Cincinnati, Ohio
• Oklahoma City, Okla.
• Tulsa, Okla.
• Corvallis, Ore.
• Erie, Pa.
• Philadelphia, Pa.
• Chattanooga, Tenn.
• Clarksville, Tenn.
• Nashville, Tenn.
• College Station, Texas
• Dallas, Texas
• Victoria, Texas
• Madison, Wisc.

To view a complete list of all 76 metro areas on the Improving Markets Index CLICK HERE. 

Phoenix Residential Market Report Summary ~ Time To Buy Is NOW!!

This data includes single family detached homes, patio homes, condos, and townhomes provided by the Arizona Multiple Listing Service. The monthly charts above are based on trailing twelve monthly averages from December 2010 to November 2011 which shows the total activity in the Phoenix Metropolitan real estate market over a twelve month period. The yearly charts above are based on a yearly average for 2005 to 2010 but a trailing twelve month average from December 2010 to November 2011 for the year 2011. Without the trailing twelve month average for the year 2011, the charts would be substantially skewed and would not portray an accurate view of the market on an annual basis.

As you can see from the first chart above, Cromford Market Index, the first time home buyer tax credit created a great deal of demand in the market similar to the real estate boom from 2004 to 2006. When the government withdrew the first time home buyer tax credit on April 30, 2010, the average sold price and number of transactions decreased and the average days on market increased. Currently, the residential real estate market is experiences another buying frenzy that is caused without government intervention or relaxed mortgage underwriting standards. Consumers are jumping into the real estate market because market statistics are indicating the market has hit bottom and investors can purchase homes at rock bottom prices where they can rent the homes out to receive a 10% to 15% or more return on investment. Due to the current oversupply of homes on the market, real estate prices have not increased significantly but as you can see from Chart #2 the shadow inventory everyone is afraid of is decreasing. Once the supply of homes is purchased real estate prices will start to increase at a faster pace and then it will be too late to buy. Since January 2011, the average sold price has increased approximately +1.8% (up from last month), the average days on market have decreased approximately -18.0% (down from last month) and the number of transaction has increased approximately +10.5% (down from last month). It should be noted that approximately +35% of all transaction are cash purchases either by investors or homeowners due to tighter lending requirements. The volume of REO purchases since January is down -26.1% and the volume of short sale is up +44.9%. The volume of REO purchases are shrinking due to the increased volume of trustee sales and existing supply of inventory is getting absorbed at a faster rate.        

  

The number of Notice of Trustee Sales is currently experiencing a decline due to the declining number of adjustable rate mortgages coming due and from more lending institutions working harder on helping people stay in their homes. The number of foreclosures “notices” entering the market is expected to continue its decline throughout 2012 due to the exhaustion of adjustable rate mortgages created between 2003 to 2007. The percentage of third party purchases (other than banks taking back as REO) has increased substantially since the beginning of 2011 where we are currently at 50% of all purchases are from third parties. The percentage might appear to be a low number but the last time we experienced this volume of purchase was back in August 2006. The real estate market has reached a level of equilibrium where demand is equal to supply and all buyers are rushing into the market to take advantage of low prices. Once the supply of residential homes is exhausted and demand continues to rise, real estate prices will begin to rise (depends on the sustained level of demand). Time to buy is NOW!! Give us a call to discuss your best competitive strategy, NOW!!

20 Cities Added to Improving Housing Market List

More cities were added to this month’s Improving Markets Index, which was created earlier this year by the National Association of Home Builders and First American. The index identifies cities that are showing improvement in housing permits, employment, and home prices for at least six consecutive months.

The latest index results is “very much in keeping with the latest government housing data and our own builder surveys, which have shown modest signs of improvement in certain individual markets where employment is gaining and distressed properties are not as numerous," NAHB Chief Economist David Crowe said in a statement. "These gradual improvements are now becoming evident not just in small, energy-producing metros that have previously dominated the [index], but also in several larger markets and areas with more diverse economies."

The 20 new metro areas added to this month’s list are: 

• Ann Arbor, Mich.
• Athens, Ga.
• Boulder, Col
• Phoenix, AZ
• Canton, Ohio
• Charleston, W.V.
• Danville, Va.
• Fort Wayne, Ind.
• Grand Forks, N.D.
• Jackson, Miss.
• Kingsport, Tenn.
• Laredo, Texas
• Lincoln, Neb.
• Muncie, Ind.
• Muskegon, Mich.
• San Jose, Calif.
• Scranton, Pa.
• Toledo, Ohio
• Washington, D.C.
• Winchester, Va.

Meanwhile, nine markets were taken off the list in December -- mostly due to softening in housing prices. The nine markets removed from the list in December are: Alexandria, La.; Fairbanks, Alaska; Hinesville, Ga.; Houma, La.; Jonesboro, Ark.; Lima, Ohio; Pine Bluff, Ark.; Sumter, S.C.; and Waco, Texas. 

To see the complete list of all 41 metro areas on the improved housing market list, visit the National Association of Home Builders web site. 

PHOENIX REAL ESTATE MARKET REPORT - JULY 2011

Phoenix Real Estate Market Report Summary

This data includes single family detached homes, patio homes, condos, and townhomes provided by the Arizona Multiple Listing Service. The monthly charts above are based on trailing twelve monthly averages from August 2010 to July 2011 which shows the total activity in the Phoenix Metropolitan real estate market over a twelve month period. The yearly charts above are based on a yearly average for 2005 to 2010 but a trailing twelve month average from August 2010 to July 2011 for the year 2011. Without the trailing twelve month average for the year 2011, the charts would be substantially skewed and would not portray an accurate view of the market on an annual basis.

As you can see from the first chart above, Cromford Market Index, the first time home buyer tax credit created a great deal of demand in the market similar to the real estate boom from 2004 to 2006. When the government withdrew the first time home buyer tax credit on April 30, 2010, the average sold price and number of transactions decreased and the average days on market increased. Currently the residential real estate market is experiences another buying frenzy that is caused without government intervention or relaxed mortgage underwriting standards. Consumers are jumping into the real estate market because market statistics are indicating the market has hit the bottom and investors can purchase homes at rock bottom prices where they can rent the homes out to receive a 10% to 15% or more return on investment. Due to the current oversupply of homes on the market, real estate prices have not increased significantly but once the supply of homes are purchased real estate prices will start to increase at a faster pace (Chart #2 shows supply). Since January 2011, the average sold price has decreased approximately -2.3% (down from last month), the average days on market have decreased approximately -13.5% (down from last month) and the number of transaction has increased approximately +30.7% (up from last month). It should be noted that the month of June experienced 12,190 transaction of which 5,728 transaction were bank owed (up 85.4% since January) and 3,028 transactions were short sales (up 120.2% since January.    

  

The number of Notice of Trustee Sales is currently experiencing a decline due to the declining number of adjustable rate mortgages coming due and from more lending institutions working harder on helping people stay in their homes. The number of foreclosures “notices” entering the market is expected to continue its decline in late 2011 and early 2012 due to the exhaustion of adjustable rate mortgages created between 2003 to 2007. The percentage of third party purchases (other than banks taking back as REO) has increased substantially since the beginning of this year where we are currently at 40% of all purchases are from third parties. The percentage might appear to be a low number but the last time we experience this volume of purchase was back in August 2006. The real estate market has reached a level of equilibrium where demand is equal to supply and all buyers are rushing into the market to take advantage of low prices. Once the supply of residential homes are exhausted and demand continues to rise, real estate prices will begin to rise (depends on the sustained level of demand). Time to buy is NOW!!

PHOENIX REAL ESTATE MARKET REPORT - JUNE 2011

Phoenix Real Estate Market Report Summary

This data includes single family detached homes, patio homes, condos, and townhomes provided by the Arizona Multiple Listing Service. The monthly charts above are based on trailing twelve monthly averages from July 2010 to June 2011 which shows the total activity in the Phoenix Metropolitan real estate market over a twelve month period. The yearly charts above are based on a yearly average for 2005 to 2010 but a trailing twelve month average from July 2010 to June 2011 for the year 2011. Without the trailing twelve month average for the year 2011, the charts would be substantially skewed and would not portray an accurate view of the market on an annual basis.

As you can see from the first chart above, Cromford Market Index, the first time home buyer tax credit created a great deal of demand in the market similar to the real estate boom from 2004 to 2006. When the government withdrew the first time home buyer tax credit on April 30, 2010, the average sold price and number of transactions decreased and the average days on market increased. Currently the residential real estate market is experiences another buying frenzy that is caused without government intervention or relaxed mortgage underwriting standards. Consumers are jumping into the real estate market because market statistics are indicating the market has hit the bottom and investors can purchase homes at rock bottom prices where they can rent the homes out to receive a 15% to 20% or more return on investment. Due to the current oversupply of homes on the market, real estate prices have not increased significantly but once the supply of homes are purchased real estate prices will start to increase at a faster pace (Chart #2 shows supply). Since January 2011, the average sold price has increased approximately +1.1% (up from last month), the average days on market have decreased approximately -7.2% (down from last month) and the number of transaction has increased approximately +90.7% (up substantially from last month). It should be noted that the month of June experienced 12,190 transaction of which 5,728 transaction were bank owed (up 85.4% since January) and 3,028 transaction were short sales (up 120.2% since January.    

   

The number of Notice of Trustee Sales is currently experiencing a decline due to the declining number of adjustable rate mortgages coming due and from more lending institutions working harder on helping people stay in their homes. The number of foreclosures “notices” entering the market is expected to continue its decline in late 2011 and early 2012 due to the exhaustion of adjustable rate mortgages created between 2003 to 2007. The number of trustee’s deeds issued at the foreclosure auctions was on a steep incline but it has recently tapered off which means the competition for trustee properties is decreasing. According to the above market statistics, the demand for trustee sale foreclosures is decreasing due to the great deal of competition that was experienced over the last three months but the demand for REO properties is increasing. The real estate market has reached a level of equilibrium where demand is equal to supply and all buyers are rushing into the market to take advantage of low prices. Once the supply of residential homes are exhausted and demand continues to rise, real estate prices will begin to rise (depends on the sustained level of demand). Time to buy!!