Some Housing Markets Hot Again, According to ZipRealty Q4 2009 ‘Home Hunter Report’

February 2nd, 2010

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RISMEDIA, January 29, 2010—While some of the “hottest” real estate markets in the country- those where homes are selling most above their list prices- continue to be distressed areas dominated by heavily discounted prices, Q4 2009 revealed some notable exceptions. In two higher priced zip codes in California’s Berkeley and the Los Angeles suburb of Tarzana, and three zip codes in the greater Dallas-Fort Worth area not dominated by distressed listings, homes sold on average well above asking price in Q4, according to ZipRealty’s quarterly Home Hunter Report.

These are just some of the highlights revealed by ZipRealty’s recently released report which identifies where home sellers are fetching the highest offers compared to their asking prices among 33 markets the brokerage serves.

Highlights from the ZipRealty Q4 2009 Home Hunter Report, which also identifies which cities nationwide are most highly searched online, include:

-Phoenix was 2009’s most popular city in the country for online home hunters, according to the volume of the total number of home searches on www.ZipRealty.com throughout the year.

-Homes in Berkeley’s 94703 zip code sold for an average of 107.86% of list price in Q4. The average home sale price for the zip code was $538,626 for the same period. Homes in the Tarzana district of Los Angeles’ 91356 zip code sold for an average of 107.30% of list price in Q4, with an average sale price of $653,722 for the same period. In Q3 2009, homes in the Tarzana zip code had commanded only 93.55% of list price.

-Texas claimed three of the country’s “hottest” markets in Q4 for the first time. Homes in Fort Worth’s 76135 zip code sold for an average of 134.65% of asking price in Q4, while homes in the upscale Dallas bedroom community of Rowlett (75089) commanded on average 110.81% of asking price. Zip code 76001 in Arlington, Fort Worth’s largest suburb, also entered the top ten list this quarter.

-All of the five remaining cities on the Top 10 “Hottest Markets” list are also located in California, including: Sacramento (95832); San Lorenzo (94580); Oakland (94621); Palmdale (93591); and San Bernardino (92405).

On the cold end of the spectrum, Florida zip codes continue to dominate those areas selling at a discount, where sellers are accepting on average 70 to 85 cents on the dollar. Florida zip codes selling most below asking price based on sales-to-list price ratio include: Deland (32720); Orlando (32827); Largo (33773); Delray Beach (33483); Naples (34102); Miami’s Coral Gables (33134); and Boca Raton (33496). Zip codes 75203 in Dallas, 19132 in Philadelphia and 60022 in Glencoe, Ill., join the Florida zip codes as the country’s coldest.

“For more than a year now we’ve been seeing distressed areas with heavily discounted properties dominate the ‘hot’ markets where homes fetch more than the asking price, and it’s a great sign that we’re now starting to see higher-priced areas going over asking price, too,” said Leslie Tyler, vice president and chief home hunter for ZipRealty. “These hot micro-markets across California and Dallas-Fort Worth point to the continued stabilization happening in different areas nationwide.”

Phoenix Dominates Nation’s Most Popular Cities for Home Hunters in 2009
According to ZipRealty, the Phoenix area was by far the most popular for homebuyers in all of 2009, according to the volume of the total number of home searches on www.ZipRealty.com throughout the year. Areas where home prices have dropped significantly since 2007, including Phoenix, Southern Florida and Las Vegas, generated the most home hunter interest throughout the year. The most popular cities for home searches in all of 2009 were:

1. Phoenix
2. Scottsdale (Phoenix metro)
3. Orlando
4. Summerlin (Las Vegas community)
5. Chandler (Phoenix metro)
6. Mesa (Phoenix metro)
7. Gilbert (Phoenix metro)
8. Henderson – Green Valley (Las Vegas metro)
9. Atlanta
10. Kissimmee (Orlando metro)

“We’ve seen incredible buyer interest throughout 2009 in homes perceived as bargains in the Phoenix area from across the country, and even from ’snow-birds’ looking for winter retreats from Canada,” Tyler explained. “Meanwhile, buyers and sellers in Southern Florida still seem to be waiting for the bottom of the market.”

For more information, visit www.ziprealty.com.

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DFW Home Foreclosure Filings Rise To Record High

November 3rd, 2009

Home foreclosure filings in the Dallas-Fort Worth area have risen to a record high, with more than 5,500 properties facing forced sale next month.

The number of houses threatened with foreclosure in May rose 25 percent from a year earlier, breaking all previous records, according to statistics released Thursday by Addison-based Foreclosure Listing Service.

Worsening economic conditions have caused more homeowners to fall behind in their mortgage payments. But analysts with Foreclosure Listing Service say the biggest reason for the increase in postings in the last few months has been moratoriums on foreclosures put in place by many mortgage lenders.

“They have been reposting many of these properties every month because of the moratoriums,” said George Roddy, Foreclosure Listing Service president. “They have no choice but to continue posting the properties for foreclosure while they negotiate with the borrowers.”

More than 40 percent of the current foreclosure postings Dallas County are repeats.

While the number of foreclosure filings has ballooned in recent months, the actual volume of houses sold on the courthouse steps by lenders has fallen, Roddy said.

“The average is between 30 percent and 40 percent of all properties posted are actually foreclosed on each month,” he said. “But it’s been down in the high teens or low 20s.

“There has obviously been a lot of pressure on lenders not to foreclose during the last few months.”

But for many troubled homeowners, those delays may now be over. Some lenders have recently announced that they are lifting the self-imposed moratoriums.

“I think the floodgates are going to open,” Roddy said.

The biggest increase in May postings was in Collin County, where the number of homes posted for foreclosure jumped 45 percent and topped 700 for the first time.

In Dallas County, foreclosure postings for next month’s sale are up 15 percent from May 2008.

Through the first five months of 2009, more than 24,000 home foreclosure filings were recorded in the four-county Dallas-Fort Worth area, Foreclosure Listing Service said Thursday. That’s up 11 percent from the same period of 2008.

For all of last year, more than 50,000 D-FW area foreclosure postings were recorded – 17 percent higher than 2007 and a record.

So far, lender efforts to restructure home loans and keep owners in their homes have met with limited success. And a loan modification program supported with government funds is just getting under way.

On Wednesday, the U.S. Treasury Department identified the first six major mortgage companies that will receive up to $10 billion to help troubled borrowers.

“We know that job loss is the primary reason that people are losing their homes today,” said Ted Wilson, a housing analyst with Residential Strategies Inc.

More 30,000 jobs were lost in the D-FW at the end of February compared with a year earlier, according to the latest statistics.

Since then, other local companies have announced layoffs.

“I think there is a definite correlation between the announced layoffs and the foreclosure postings,” Wilson said.

Economist James Gaines of Texas A&M University’s Real Estate Center said he isn’t surprised by increases in D-FW foreclosures.

“The economy is catching up with us and especially some of the more dicey financing going on several years ago,” Gaines said.

“Lenders are getting nervous also from reports of declining home values in the Dallas area, some of which is being caused by the foreclosure sales.”

By STEVE BROWN/ The Dallas Morning News

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Luxury Martket Jumbo Loan Crunch

October 10th, 2009

Sales are much weaker for lower-priced luxury homes, those in the range of $1 million to $3 million, because the credit crunch is making it more difficult for buyers in that market to qualify for loans. That hangs up sellers in that market who want to trade up. “Though they may not require a mortgage themselves, [they] might be waiting to sell a $1 million or $2 million home and are depending on other buyers to move up,” Goodwin said.
With home prices fluctuating across all ranges, BusinessWeek.com decided to test your ability to guess how much houses are listed for in this uncertain real estate market. We created an interactive quiz that includes properties that list from $350,000 to more than $50 million.
Moore-Moore said the ultra-high-end market—generally above $5 million—has remained robust because rich buyers are looking for trophy homes and the supply is limited. Even in weak markets like Las Vegas, luxury condos on the Strip are in high demand, she said. The same is true of Beverly Hills in California and Palm Beach in Florida.
She expects fewer buyers from the financial industry and more foreign buyers in coming months as problems on Wall Street increase. Citigroup (C), facing losses related to subprime-related debt, is expected to lay off thousands more workers. And layoffs are under way at Goldman Sachs Group (GS), Merrill Lynch (MER), Bear Stearns (BSC), and Morgan Stanley (MS).
“When you get into the luxury market, it’s not about square footage multiplied by X dollars,” she said. “It’s about the amenities and the unique features.”

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Prepared to Sell

October 1st, 2009

How attractive does your home look when viewed from the street? How is your curb appeal? This is the first impression buyers have of your home. Here are a few tips you should do before you put your home on the market.

•Freshen up the home with paint and flowers

•Keep your lawn groomed and green; trim all trees, hedges, and bushes.

•Make sure the walk path to your front door is clear on any debris.

•Once you get the buyers in the door, they need to visualize themselves   living here with their furniture.

•Keep the areas clean, fresh and polished.

•Get rid of any clutter in all living spaces, including kitchen, bedrooms, and also closets ….

•Get rid of the clutter. Clutter is not pleasing to the eye. Remember to keep countertops and tabletops clear.

Contact me for more tips on selling your home.

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How to Effectively Negotiate in a Negotiating Market

September 20th, 2009

In Real Estate, the negotiation process to some may seem like a wretched task, but can be stimulating when you are prepared and have a good strategy for your negotiations. Think of your strategy as your master plan, but remember your strategy is only as strong as the tactics you use, which are the tools for implementing your negotiation.  Over the next few weeks I will walk you through what I feel are the five steps to negotiate effectively, starting with:

Determine Your Target Price

 
All effective negotiations starts before you actually sit down at the table. Have a target price in mind prior to the negotiation process and make sure your price is reasonable. Also, balancing your desire to own the property with market price and value fundamentals.

Article provided by Jeannetta Collier

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