(Light at the end of the tunnel - slowly approaching) -My advice to anyone looking to get into the market - sooner then later. No one can tell what the bottom looks like, but it sure looks like it. I see banks streamlining their short sale and REO process. This progress enables the process to be more efficient. Stagnation of process and procedure killed the market in the midst of our crisis. I also see inventory moving fatser and I also see the down payment assistant programs going away. This means buyers will need to pony up with real cold hard cash. This is nothing new nor a surprise to everyone. The loan programs issued at the direction of Wall Street are giving way to [market correction forces at work] more conventional [safe-er] loans. This will cool us from the rapid market run ups. Real Estate has always been a safe long term investment and I can't imagine a better time for buying. I still believe my company offers the best loan in the business. Don't let all the doom and gloom keep you on the fence. Smart money buys low and sells high (remember that as cardinal rule 1). It may run counter intuitive for some people; and that is why only some people or currently not hurt by our present market condition. If I can be of any help to you michael@valleyfinance.com I am also facilitating Bank Homes to Market so I can help you access to inventory not yet to market plus other benefits only a private banker can offer. Click here to read more about the NEW HOUSING BILL.
New homes sold at an annualized pace of 530,000, exceeding the median forecast of 503,000 in a Bloomberg News survey – 07/25/2008. The report went on to add:The number of properties on the market dropped by the most in four decades, indicating builders are making some headway in clearing out inventories. The median sales prices last month decreased 2 percent from June 2007 to $230,900. These figures can be influenced by changes in the mix of sales at the regional level. For that reason, economists prefer price measures that track the same home over time. The supply of homes at the current sales rate fell to 10 months' worth from 10.4 months in May. There were 426,000 homes for sale at the end of June at an annual pace, the fewest since December 2004. The figure was down 5.3 percent from the prior month, the biggest decline since November 1963. A report yesterday from the National Association of Realtors showed existing home sales fell 2.6 percent to a 4.86 million annual rate, the lowest level in a decade. The median home price dropped 6.1 percent from June of last year. Concern over the ability of Fannie Mae and Freddie Mac, the largest U.S. purchasers of mortgages, to survive the meltdown in subprime lending has heightened the credit crisis and may push up mortgage rates and further curtail access to loans. U.S. foreclosure filings more than doubled in the second quarter from a year earlier as falling home prices left borrowers owing more on mortgages than their properties were worth. [Keep in mind the correction has began and with the inventory shrinking its a good sign of price stabilization we are currently seeing in some markets]
