Rochester Housing Prices Rise

A recent report released by the Brookings Institution says that our area ranks as one of the best performing metro areas in the nation. Housing prices, in particular, among other criteria analyzed in the report, not only rose 3.1 percent in the second quarter of 2009 but also rank us 9th in the nation. I honestly believe that this is positive proof that our local economy is on the upswing and that perhaps in 2010 the real estate market will begin to experience some level of normalcy.

Lawrence Yun at National Association of Realtors Speaks About Disappearing Buyer Hesitation

After four years of declines, home sales on a national basis finally appear to be turning around. Closed sales, which have risen three straight months, and pending contracts, up for five straight months, are at levels above normal spring and summer increases.

First-time buyers in particular have stepped up to take advantage of deeply discounted prices, low mortgage rates, and the buyer tax credit. In a few markets, the rebound has been quite heated, with sales doubling from year-ago levels. In some cases there's even multiple bidding—though mostly over foreclosed and other distressed properties. Nonetheless, it's clear that buyers are returning.

What's more, home prices and mortgage payments in relation to income are comfortably below historical levels, at least in many markets. That suggests home prices have overcorrected downward.

Some markets, as a result, could experience a snap back in home prices, with price gains in the high single digits or low double digits, compared with historical average annual price appreciation of 4 percent. Houston, Denver, and San Diego are among the markets on track to have better-than-average price gains in the next two years.

Still, the housing market is far from being out of the doldrums.

The economic rebound will be one of the most tepid we've ever seen. Consumers are being extra cautious, saving more to pump up their depleted retirement accounts. The unemployment rate in 2010 is expected to be at around 10 percent. The federal budget deficit will force up mortgage rates next year, though not alarmingly.

But because consumers' view of home values is fundamentally changing, the momentum of rising home sales will likely continue in 2010. Buyers are no longer hesitant about home purchases on the fear of further price declines. And that sets the stage for a steady release of pent-up housing demand.

Rochester Real Estate Prices on the Rise!

According to the Local Market Monitor (Click the title of this post for the article), Rochester, NY is one market where real estate prices are expected to rise. Many buyers have been motivated to enter the local market by the $8000 tax credit. The news that prices are on the rise should motivate more buyers who are still on the fence. The is great news!

Its Memorial Day Weekend

Another Summer about to begin! Hooray!! I tilled my vegetable garden so that’s ready. I bought annuals for the pots and beds. My seedling veggies are begging to be planted … I’m ready to go and it looks like its going to be a gorgeous weekend to get the gardening chores done.

But wait, Memorial Day weekend wouldn’t be complete without the inaugural igniting of the grill. I’m planning Italian sausage, Zwiegle’s white hots, hamburgers, potato salad and an ice cold beer – just one! And lots of fun with family and friends.

One additional thought as we get ready to start our Summer … lets not forget our Freedom (capitalization intentional). On this Memorial Day, and on all of those yet to come, please take a minute to quietly reflect on the lives given for this invaluable privilege. Too often we take it for granted and ample evidence suggests we shouldn’t.

Have a safe and wonderful holiday weekend!

Carmen Joins ReMax Realty Group

On Friday, May 1st, I joined the Mark Siwiec team at ReMax Realty Group in Pittsford. I am looking forward to being a resourceful agent to both my clients and colleagues at ReMax.

WOW! Market Activity Picks-Up!

I don’t know where the local media gets its information from but anecdotal evidence from my colleagues at other brokerages and my own experience suggests that local market activity is on a huge upswing.

The spring market is usually busy but I think what we are seeing is that protracted buyer fence-sitting is over. There is finally the realization that the bottom was reached months ago and this pent-up demand is being unleashed all at once. Also, information about the $8,000 first-time homebuyer tax credit has begun to saturate the marketplace.

So, buyer demand, economic stimuli, continued low mortgage interest rates, and bottom of the market retail pricing is causing a major improvement in the Rochester real estate market. How long will this last? That remains to be seen but for now it’s feast, not famine!

Has The Internet Replaced Your Realtor - Part 2

The internet allows us the ability to reach a staggering audience and is an appeal to owners who want to sell their home. “If I can advertize my home on the internet and if nearly 90% of buyers start their search there why do I need a Realtor?” Well, because selling real estate involves much more than advertizing! Selling a home is not easy. The process can be expensive and real estate transactions can be complex, often requiring disclosures, inspections, mortgage documents, insurance policies, deeds, and multipage settlement statements. A knowledgeable expert is necessary to help prepare the best deal, and avoid delays or costly mistakes. A Realtor provides many value added services that the internet cannot which result in a greater selling price and less time on the market.

When it comes down to the nitty-gritty, “for sale by owner” real estate is on the market because the seller (51% according to the National Association of Realtors) wants to avoid paying the brokerage fee. Also, according to NAR, however, using a Realtor to sell is likely to yield a third more in sale price.

A Realtor has the skills required to properly price real estate for a sale. Sure, the seller has knowledge about the community and may even have information about comparable sales but a Realtor is best suited to assess the current market conditions and price the property accordingly.

When a property is marketed with the help of a Realtor, the seller can be assured that prospects are pre-qualified for affordability and to ensure that the home will meet their needs. Prospects are usually shown the property by the Realtor or a colleague and the seller can be reasonably sure that unscrupulous people are not going through their home.

Once an interested buyer is identified, there are many negotiating factors that a Realtor is skilled to navigate. These factors can include selling price, financing, terms, date of possession, and inclusion or exclusion of repairs, furnishings or fixtures.

One’s home is a place where they live and a place to which they have an emotional attachment. Selling that home can be a very emotional process. A Realtor can help by being an objective voice to keep the seller focused and on task. Let’s face it, you might sell a couple of homes in your lifetime. A Realtor will be involved in hundreds and maybe thousands of transactions during their career. Having this kind of expertise on your side is essential and something the internet cannot provide.