Market update and projections 8/24/2011

Our Market Projections are holding fairly steady. With all the ups and downs of the current market, our projections for real estate are unchanged. The only thing that is uncertain is how quickly banks will release the pent up foreclosure. There is one thought that the mortgage companies will slowly release this "Shadow inventory" onto the market, this would bring about a slower processing of the inventory, but may also not impact pricing as dramatically I, on the other hand, would rather rip off the band-aid and have all of the foreclosure (shadow inventory) come onto the market at once. This would impact pricing, because each home sold at foreclosure pricing will be a comparable for every "normal" sale home. But this method would speed up or shorten the time for market recovery. The faster we can move the shadow inventory through the market, the faster we can have a healthier market.
Until it happens, we are not sure what the banks have planned. But the results will roughly be the same. This fall and winter (through the 1st quarter of 2012) home prices will drop,sccording to a vast number of economic sources, anywhere from 3 to 4.5 percent. If the band-aid is ripped off, the the end of the 1st quarter 2012, prices should begin to rise through-out the year from 1.5 to 2 percent. Should the "Shadow Inventory" be leaked out, by the end of the 3rd quarter, prices should rise about 2-2.5 percent. Each method will lead to, it is speculated, a three year trend in rising home prices. But in order to get to the increase, we must 1st weed through the forclosures.
This is a great time to buy. With very low priced homes and Mortgage rates at a 40 year low. We anticipate a lot of buying traffic.

Community Events

At Coldwell Banker West Shell, we have opportunity to service all aspects of the community. Yes, our primary focus is home sales – that’s the driver of our business, but it also enables us to utilize the relations that business generates to do so much more.
We have one more game left for the season, at the Great American Ball Park, selling “Split the Pot” tickets for the Red’s Community Fund. Yesterday we sold over $3700 in tickets. The money goes to support Little League baseball in Cincinnati. We are on track to break our record from last year.
But we have another project, which our company is involved in and each office is responsible for their share. On September 24th, we will have a Gala event title “A Night in the Wild”. The money raised will be split in several ways. A portion will go toward the Coldwell Banker Foundation, which supports several charitable organizations – such as “Pro-Kids, Habitat for Humanity, The Fine Arts Fund, as well as others. Another portion of the proceeds will go to the Cincinnati Zoo; each office is Sponsoring an animal. Ours is Rizzo the polar bear. We will be taking donations ( www.anightinthewild.org ) we ask that you vote for Rizzo- a dollar a vote. There will also be sponsorship levels, which we would gladly accept. Your business would also be highlighted and featured at the event. Each office will also have raffle items. The other portion of the proceeds will go to a charity chosen by the office with the most votes. Our office has chosen The Junior League’s “Kids in the Kitchen”, which fights childhood obesity through education and hands on training. We look forward to your support and participation. I will be posting a flyer with more information, shortly.

Lifting is hard, but it makes you stronger

I work for a company that makes you lift the heavy things. As a matter of fact it is the focus and not something you do only when you have to. Sometimes this is what I like least about working here. Things that are hard to do are hard to do. As a matter of fact, I don't know anyone who loves to do it, but as any great lifter could tell you, the results are very satisfying. Our President, Joe King, is fond of saying "I want us to be tomorrow's real estate company today". This is a tall order, this is the heavy stuff. Sure it is not that difficult to achieve certain feats of strength once, but the hard part of "tomorrow's real estate company today." is that tomorrow is always the future. In order to keep up with tomorrow, we must do the heavy lifting, today. But the results that we are achieving, for tomorrow, are well worth the push and the strain today. We have become far stronger in all areas of our business, marketing,technology,organizationally, community/charitable involvement and most of all - agent development. None of this has been easy, but the results look really good on us.

Cost vs. Value Report Holds Valuable Appraiser Insight

Cost vs. Value Report Holds Valuable Appraiser Insight

NAR Market overview

CBWS Anderson East Regional
A good market overview from the NAR: http://goo.gl/tBkqI
June Existing-Home Sales Slip on Contract Cancellations, but Prices Stabilize
www.realtor.org
Existing-home sales eased in June as contract cancellations spiked unexpectedly, although prices were up slightly, according to the National Association of Realtors®...

Quick market update

Currently,in our area, home prices are holding fairly steady and will most likely do so for the next 2 months. Until the mortgage companies unleash the back log of foreclosures (caused by the "robo signing" debacle). This hold up has reduced the number of "lender involved" properties on the market, by roughly 25%. When these come onto the market , and at what pace, property values will drop another few percent. This, according to the majority of economists, will happen this fall. Home sellers should price their homes to sell now - they may not see the same values, again, for 2 years.
This fall will be "The" best time, perhaps in generations, to buy a home. Prices will definitely be at their lowest and interest rate will still be around historic lows. We expect a buyer frenzy, as wll as a great time for investors.
About the middle of the first quarter of 2012, will bring about the end of this market and the begining of next. We should begin to see an uptick in prices, which if all goes as economists predict, will continue until sometime in 2015.
It is necessary that we finish this correction. It is also worthy to note, as prices begin to "tick up" late winter/early spring of next year, they will be comming in off their lowest point...they will be comming off the bottom.
The people who buy this fall, if they hold onto their homes for 3-5 years, should see good appreciation. What has come down, will go back up. and once it is up, it will not do so forever.
Take advantage of the market, but I advise buying a house to be a home and not an investment. This fall will be a great time to buy that home.

Positive comments from Diamond Jim Watson

This is so nice to see.