Stumbled on a nice chart on NYT below using S&P/Case-Shiller data on Seattle and 19 other US cities. The takeaway is Seattle lagged rest of country by about 8 months on the way down and has been lagging the rest of country a few months in the recovery (for Seattle, things started getting less bad in April versus January for the 20 city average).
Let us all bow our heads and give thanks for the chart below.
More seattle condo charts here. Before you OD on pumpkin pie and Bailey's, keep in mind that prices are still pretty soft so buyers may be doing more toasts then sellers. At least deals are getting done and the market is clearing again.
Happy Thanksgiving and see you in a few days :-)
Yes, it's long overdue but I recently set up a basic FB fan page and Twitter feed. The Twitter feed is just a feed of all my posts. The FB Fan page also has all new posts and all the standard community features.
If that's how you like your condo news, have at it. Otherwise, feel free to ignore until all this social media mumbo jumbo blows over ;-)
There's a whole lotta data up in D&S's recent article on apartment ROI. The article suggests most apartment investors, even in the worst of times, still made money (4% CAGR) though that's probably because they hold property for a >10 years. Yep, these are serious Investors, not flippers a few years out of college.
According to D&S, the folks who bought an apartment in 2007-8 will likely be underwater for 4-6 years so if you're an investor, be happy renting your apartment out for several years before you can realize significant appreciation or try and sell next year and redeploy the capital elsewhere.
In short, buyers these days should look at real estate as a long term investment, especially those who bought at the top of the market.
See the full article here.
Despite the skeptics' view (myself included) that bulk buying was more complicated than it was worth, it looks like folks at The Decatur and Eleven Eleven East Pike are getting some traction. So far, they are reporting 20 home sales out of their 30 units released from both projects. The second phase of 21 homes from the Decatur has also been released.
October 2009 numbers are in...and the recovery is in full effect.
Even our favorite bear reader, MD, will have to call this glass half full.
- Pending sales were up 73% over October of 2008 and up almost 25% versus September 2009.
- Closed sales were up 12% over October 2008 and up about 5% versus September 2009.
- Median prices were up 4% over October 2008 and up around 15% versus September 2009.
Congrats to buyers and sellers. Buyers, you should feel confident you're not trying to catch a falling dagger and know that the market is already moving up (not just going to move up). Sellers, the buyers are coming back (though don't get greedy, just sell for what the market will bear).
The legislation to extend the first time home buyer tax credit beyond its November 30 deadline and expand it to a wider group of home buyers was approved by Congress this week and signed by President Obama yesterday. Here are some of the highlights of the expanded and extended tax credit benefits:
- The $8,000 tax credit will be extended for first time home buyers (who have not owned a primary home for the last 3 years prior to purchase) for sales contracts entered into by April 30, 2010 and closed by June 30, 2010.
- The bill also includes a new $6,500 tax credit for current home owners who have been residing in their primary home for five years out of the last eight years. The sales contracts need to be entered into by April 30, 2010 and closed by June 30, 2010.
- The income eligibility limits to claim the full credit amount for both groups of home buyers have been raised from $75,000 (single taxpayers) and $150,000 (married taxpayers filing a joint return) to $125,000 for dividuals and $225,000 for married couples. The new income limits are only applicable to purchases occuring after November 6, 2009.
- Qualifying home prices are capped at $800,000.
More information available here.
Marselle Condos has released new pricing for some of their homes on the 2nd and 3rd floors. 20 homes were sold last month and 13 homeowners have already moved in. According to the site agent, 50% of their homes are priced under $300,000. The developer is also throwing in no homeowner dues till January 2011. They have financing available requiring a 5% down payment and no PMI as well.
Ruby in Eastlake has also recently reduced prices on some of their homes. The price drop is 14%-35%. Ruby is over 60% sold and FHA approved.