Categories: Good Info to Know
| Posted: February 25, 2010
| Comments Off on More Good News. We Are 3rd!
Builder Magazine reports – “Now that the housing recovery is nearly upon us–most economists expect a full-fledged recovery to begin this year–it’s time to figure out which markets will be the front-runners. Based on last year’s performance, especially the level of building permits pulled in the fourth quarter, it’s already clear that some markets are poised to grow at a faster pace this year than others in 2010.”
The magazine reports that the Charlotte market ranked as the 3rd healthiest housing market in the US! In fact, much of the Carolinas is well positioned for recovery. 7 of the top 20 markets were in the Carolinas. The reasons for our high ranking include projected job growth and income growth.
Read the complete story here.
Categories: Buying a Home
| Posted: January 27, 2010
| Comments Off on Cheap and Effective Ways to Get Your Home Sold
You are waiting for your home to sell so you can take advantage of the great home prices today. You must make your home as marketable as possible.
Several websites are offering their take on how to get your home sold. We compiled three which we thought hit the target with realistic suggestions that can make a difference and can be done for a reasonable amount of money.
US News and World Report – 10 Ways to Boost Your Home’s Sale Price by Spring. It is written for a national audience but we believe their ideas do have local appeal.
About.com – How to Prepare Your House for Sale. A practical look at some the things you just overlook because you live there.
Kiplinger.com – 6 Ways to Stage Your House for Less than $1000. This one assumes you have already moved out and maybe you have. There are some good photos of before and after staging.
Categories: Good Info to Know
| Posted: December 16, 2009
| Comments Off on Role of Housing in Recession Cycles (This is Technical Stuff)
Housing plays a substantial role in the U.S. economy. One method of measuring the impact of housing in the economy is to calculate the total amount of capital exchanged in home construction, remodeling, and fees associated with the buying and selling process. Together, this sum is known as the residential fixed investment (RFI). The RFI has averaged 4.8% of the U.S. gross domestic product (GDP) since record keeping began in 1947. If you add household-related investments, furnishings and rents to the RFI, the contribution of housing to GDP has averaged about 21% since 1947.
Housing is considered a leading indicator of economic cycles. The housing market will slow in advance of a recession, indicating an economic contraction. Conversely, the housing market tends to expand before the end of a recession. RFI often turns positive one-to-two quarters prior to the end of a recession. In six out of the last nine recessions since 1947, RFI turned positive during or before the final quarter of the contraction.
Most recently, RFI peaked at 6.3% of GDP in the fourth quarter of 2005, the highest level since 1951. RFI fell to 2.4% of GDP in the second quarter of 2009, dipping below the previous low of 3.2% set in the third quarter of 1982. On the rebound, GDP turned positive for the first time in a year in the third quarter of 2009. The RFI increased to 2.5% of GDP. So the current RFI pattern follows the majority of contractions since 1947: RFI was increasing during the first quarter of GDP growth leading out of the current recession.
The latest report for new home sales showed a 6.2% monthly increase. That left the inventory of new homes for sale at the lowest level in nearly four decades. Look for builders to start building soon and the most important component of the RFI — home construction — to increase. (Evans Coghill Homes is building more homes already)
This blog is courtesy of Eric Storm, Prospect Mortgage (803) 517-8791.