NAR released its latest pending home sales index figure last week and for the second month in a row the index is up. But more than that, the index has broken 100. This is significant because the only time since the housing boom collapsed that the index has broken 100 is when the home owner tax credit was in effect. The fact that the index has returned to that level a year since the credit has been in effect means the housing market is strengthening completely on its own, without any stimulus.

NAR Chief Economist Lawrence Yun is upbeat about 2012 because in a number of areas indicators are pointing upward. Not only are home sales up but housing starts are up and home prices are stabilizing in many markets and heading up in some. In areas where they’re still down, the declines aren’t that great. More fundamentally, broader U.S. economic signs are looking positive, including the all-important jobs picture. About 100,000 job are being created a month, and that could rise to 150,000—still not a quick enough pace to get us back to where we were before the downturn but the headwinds are in the right direction.

This information was gathered fromt he National Association of Realtors Blog, for the full article click the link below:

http://speakingofrealestate.blogs.realtor.org/2012/01/03/2012-home-sales-positives-on-many-fronts/

The Michigan Supreme Court has reversed an appeals court ruling that had sent shockwaves throughout the Michigan real estate industry for the last few months. The Michigan Supreme Court said Wednesday that it is legal for Mortgage Electronic Registration Systems to foreclose by advertisement when a loan is defaulted. In a 4-3 decision, the Supreme Court said MERS has a sufficient interest in the debt and, thus, acted properly under Michigan law.

I will post more information as it becomes available!

Data gathered from Bloomberg Business Week..........

Michigan’s economy is recovering from the recession at the second-fastest pace in the U.S., lifted by reviving carmakers and local manufacturers, according to a new Bloomberg index that tracks the pace of state growth.

The home to the U.S. automobile industry was topped only by North Dakota, where an oil boom is raising incomes and boosting government coffers at the nation’s quickest rate. California, Massachusetts and Illinois round out the top five in the Bloomberg Economic Evaluation of States Index, which uses data on real estate, jobs, taxes and stock prices to gauge the growth rate in 50 states and the District of Columbia.

Fifteen states are showing signs of economic stress, even after the 18-month recession ended in June 2009, according to BEES data comparing the 12 months ended June 30 with the year- earlier period. In New Jersey, which ranked 48th, mortgage delinquency rose by the most in the nation; Bank of America Corp.’s stock price is weighing on North Carolina, the index’s worst performer; and New Mexico is being buffeted by falling home prices in eight of the past nine quarters.

For the full article please follow the link: 

http://www.businessweek.com/news/2011-11-02/michigan-surpassing-48-states-shows-autos-drive-u-s-recovery.html

GREAT NEWS.............Sleeping Bear Dunes voted 'The Most Beautiful Place in America'.

http://abcnews.go.com/Travel/best_places_USA/sleeping-bear-dunes-michigan-voted-good-morning-americas/story?id=14319616

Below is a link with Real Estate statistics for December 2010 for Grand Traverse, Benzie, Leelanau, Antrim, and Kalkaska counties.  Make sure you compare counties and look at the different price points that have sold based on the county.  Interesting comparisons!!

Link to December 2010 Real Estate Statistics

FHA Short Sale Rules

With so many short sales taking place it’s important for you to know when a buyer will be eligible for a new FHA loan.  Here are the new guidelines issued in January 2010:

 Short Sales

 Borrowers with a short sale are not eligible for a new FHA loan:

• if the short sale was done on a principal residence just to take advantage of a declining market and they purchased a similar or superior property at a reduced price within a reasonable commuting distance OR
• for 3 years from the date of the pre-foreclosure sale or date that FHA paid the claim from the short sale (FHA loans only) if borrowers were in default at the time of the short sale. 

Borrowers are eligible for a new FHA loan if

• the proceeds from the short sale serve as payment in full AND

• all mortgage payments were made within the month due for the 12 months preceding the short sale AND
• all installment debt for same period was paid within month due OR

• the following exception applies:
  • default due to circumstances beyond borrower’s control AND
  • borrower had previous good credit history prior to default trigger event. 

Here is a 2009 Year-End Sold Market Report from the Traverse Association of Realtors.  These statistics include Grand Traverse, Leelanau, Benzie, Antrim, and Kalkaska Counties. 

The report shows the number of home sales in Grand Traverse County was slightly down from last year, but overall total sales increased by 194 units.  The average selling price is down from $200,358 to $174,101 and the number of days on the market is holding at 180 days.  The highest number of units sold was in the $120,000 - $139,999 price range.  The First Time Home Buyer Tax Credit has attracted many first-time home-buyers and has helped increase sales in these price ranges.

In November 2009, the first-time home buyer tax credit was expanded and extended. It could be the boost you have been waiting for to get you on the path to your new or next home. 

Current home owners tax credit allows for 10% of the purchase price up to $6,500

This tax credit is available to current home owners who have lived in their principal residence for at least five consecutive years during the past eight years, and enter into a contract to purchase a new primary residence on or before April 30, 2010.

For more information call or email me at any time!

231-620-3395 or conniekroll@c21northland.com

The bill to extend the Home Buyer Tax Credit until April 30, 2010 has been signed by President Obama. The bill also expands the tax credit to include a provision for existing homeowners.   This is great news for both sellers and buyers!

Click on the link below for details! 

side-by-side comparison

Congress has passed a bill that includes an amendment to extend and expand the home buyer tax credit. This bill will be sent to President Obama for his signature.The legislation would extend the $8,000 homebuyer tax credit to contracts signed by April 30 and closed by June 30. The controversial credit, which many say has boosted home sales in recent months, was set to expire after Nov. 30.

The bill also creates a $6,500 credit for those who buy a home after living in their current house at least five years. That measure would apply to contracts signed by April 30 and closed by June 30. The current credit defines a first-time home buyer as someone who has not owned a residence within the past three years.

The credit would be available only for the purchase of principal residences priced at $800,000 or less.

The bill would raise the adjusted gross income cap to $125,000 for single filers and $225,000 for joint filers. The amount of the credit currently begins to phase out for taxpayers whose adjusted gross income is more than $75,000, or $150,000 for joint filers.

This great news!!!  I will keep you posted as we learn more!