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Alabama residential sales in September increase 11%; 76% of local markets experience YOY sales gain!!

By | Ashley

As Reported by Alabama Center for Real Estate (ACRE)

Published: Friday, October 24, 2014, 10:48 AM     Updated: Friday, October 24, 2014, 10:53 AM

This is super news for our State. Please enjoy this read and call me for all of your Real Estate needs. Team Ashley looks forward to working for you!

Alabama residential sales totaled 3,957 units in September, an increase in sales growth of 11.1 percent from the same period a year earlier and 201 units above of our monthly forecast. September joins June and July as the only months in 2014 where sales have eclipsed last year. Nationally, sales were off 1.7 percent in September from the prior year. See more details of how Alabama compares to the broader US market here.

The YTD Alabama sales forecast through September projected 35,170 closed transactions while the actual sales were 34,169 units, a 2.8 percent cumulative variance. YTD sales through September have been sluggish in most markets across the State but remain 2.4 percent above the 2013. Sales were up 3.3 percent in the third quarter compared to 2013.

Across Alabama, 76 percent of local markets reported positive sales growth compared to last September. In comparison, this figure was 64 in August and 48 percent in July. This figure also remains at 54 percent when taking into account total YTD sales compared to 2013.

Pricing: While the return of more consistent year-over-year sales gains is encouraging news, the lead story in 2014 relates to pricing. The Center shared in earlier reports that pricing represents the primary indicator that still had the greatest upside in the future. At least through September, this has come to fruition as the YTD median sales price is up in 19 of 25 or 76 percent of local markets. While this is good news for the market, as prices increase, sales (the typical lead story) attributable to investors bargain hunting will diminish the ability of this “buyer profile” to push the sales needle in the future. Distressed sales continue to significantly diminish as a percentage of total sales across the US, a trend most market watchers content will continue in the future.

To read the article in it’s entirety, please click on the following link.

http://blog.al.com/acre/2014/10/alabama_residential_sales_in_s.html

Thank you for visiting my website. Please make sure you browse my current listings while you are here. I have properties in ALL price ranges!

 

Lee County area residential sales in August improve 25% from prior year; YTD sales up 6%

By | Ashley | No Comments

 

Please enjoy this exciting read on the real estate market improvement and call me TODAY for all of your Real Estate needs! Team Ashley welcomes the opportunity to work for you!

Reported By Alabama Center for Real Estate (ACRE) 
on September 25, 2014 at 8:53 AM

Monthly Sales: Lee County residential sales totaled 142 units in August, a significant improvement in sales growth of 24.6 percent from the same period a year earlier. August sales were 7 units above our monthly forecast. The year-to-date sales forecast through August projected 996 closed transactions while actual closings were 1,009 units.

Supply: The Lee County housing inventory in August was 820 units, a decrease of 7.4 percent from August 2013 and 40.8 percent from the month of August inventory peak in 2010 (1,385 units).

August inventory in Lee County also decreased by 1.8 percent from the prior month. This direction is consistent with historical data indicating that August inventory on average (’09-’13) decreases from the month of July by 4.0 percent.

The inventory-to-sales ratio in August was 5.8 months of housing supply. Restated, at the August sales pace, it would take 5.8 months to absorb the current inventory for sale. The market equilibrium (balance between supply and demand) is considered to be approximately 7 months during the month of August. This represents the first local market in Alabama that can be officially labeled a seller’s market. The last time the market experience 5.2+/- months of housing supply was August 2006 when it was 5.3 months.

Demand: Residential sales decreased by 11.3 percent from the prior month. This direction is consistent with seasonal historical data indicating that August sales on average (’09-’13) decreases from the month of July by 30.0 percent.

Existing single family home sales account for 51 percent (down from 61% in Aug’13) of total sales while 25 percent (same as Aug’13) were new home sales and 24 percent (up from 13% in Aug’13) were condo buyers.

Pricing: The Lee County median sales price in August was $174,200, a 4.3 percent decrease from last August. The higher than normal of condo sales may have skewed, in this case, lowered the August median sales price. The August median price slipped 7.0 percent compared to the prior month. Historical data (’09-’13) indicates that the August median sales price traditionally decreases from the month of July by .1 percent. Pricing can fluctuate from month-to-month as the sample size of data (closed transactions) is subject to seasonal buying patterns so a broader lens as to pricing trends is appropriate and we recommend contacting a local real estate professional for additional market pricing information.

Industry Perspective: “The August National Housing Survey results lend support to our forecast that 2015 will likely not be a breakout year for housing,” said Doug Duncan, senior vice president and chief economist at Fannie Mae. “The deterioration in consumer attitudes about the current home buying environment reflects a shift away from record home purchase affordability without enough momentum in consumer personal financial sentiment to compensate for it. To date, this year’s labor market strength has not translated into sufficient income gains to inspire confidence among consumers to purchase a home, even in the current favorable interest rate environment. Our third quarter Mortgage Lender Sentiment Survey results, to be released later this month, are expected to show whether mortgage demand from the lender perspective is in line with consumer housing sentiment.”

To read the article in it’s entirety, please follow the link below.

http://blog.al.com/acre/2014/09/lee_county_area_residential_sa_9.html

Make sure you take the time to view my listings while you are on my site.  We have something for every buyer!

Lee County Area Residential Sales in June Improve 10% from Prior Year!!

By | Ashley

This is super news for Lee County, folks! Please enjoy this exciting read and call me TODAY for all of your Real Estate needs! Team Ashley welcomes the opportunity to work for you! We will get her SOLD!

Reported By Alabama Center for Real Estate (ACRE)
on June 24, 2014 at 7:45 AM, updated June 24, 2014 at 7:48 AM

Monthly Sales: Lee County residential sales totaled 186 units in June, a significant improvement in sales growth of 10.1 percent from the same period a year earlier. June sales were the best on record for the month and were 28 units above our monthly forecast. The year-to-date sales forecast through June projected 689 closed transactions while actual closings were 707 units.

Supply: The Lee County housing inventory in June was 884 units, a decrease of 8.4 percent from June 2013 and 41.8 percent from the month of June inventory peak in 2010 (1,519 units).

June inventory in Lee County also decreased by 1.4 percent from the prior month. This direction is consistent with historical data indicating that June inventory on average (’09-’13) decreases from the month of May by 4.6 percent.

The inventory-to-sales ratio in June was 4.8 months of housing supply. Restated, at the June sales pace, it would take 4.8 months to absorb the current inventory for sale. The market equilibrium (balance between supply and demand) is considered to be approximately 6 months during the month of June. This represents the first local market in Alabama that can be officially labeled a seller’s market. The last time the market experience 4.8+/- months of housing supply was June 2006.

Demand: Residential sales increased by 10.1 percent from the prior month. This favorable direction is consistent with historical data indicating that June sales on average (’09-’13) increases from the month of May by 8.7 percent.

Existing single family home sales account for 59 percent (up from 51% in June’13) of total sales while 23 percent (down from 29% in June’13) were new home sales and 18 percent (down from 20% in June’13) were condo buyers.

To read the article in it’s entirety, please follow the link below.

http://blog.al.com/acre/2014/07/lee_county_area_residential_sa_7.html

Make sure you take the time to view my listings while you are on my site.  We have something for every  buyer!

Lee County area residential sales in May improve 20% from prior year!

By | Ashley

This is super news for Lee County, folks! Please enjoy this exciting read and call me TODAY for all of your Real Estate needs!

Reported By Alabama Center for Real Estate (ACRE)
on June 24, 2014 at 7:45 AM, updated June 24, 2014 at 7:48 AM

Monthly Sales: Lee County residential sales totaled 169 units in May, a significant improvement in sales growth of 19.9 percent from the same period a year earlier. May sales were 26 units above our monthly forecast. The year-to-date sales forecast through May projected 531 closed transactions while actual closings were 521 units.

Supply: The Lee County housing inventory in May was 897 units, a decrease of 9.8 percent from May 2013 and 40.8 percent from the month of May inventory peak in 2010 (1,516 units).

May inventory in Lee County increased by 1.1 percent from the prior month. This direction is consistent with historical data indicating that May inventory on average (’09-’13) increases from the month of April by 1.2 percent.

The inventory-to-sales ratio in May was 5.3 months of housing supply. Restated, at the May sales pace, it would take 5.3 months to absorb the current inventory for sale. The market equilibrium (balance between supply and demand) is considered to be approximately 6 months during the month of May. This represents the first local market in Alabama that can be officially labeled a seller’s market. The last time the market experience 5.3 months of housing supply was August 2006.

Demand: Residential sales increased by 34.1 percent from the prior month. This favorable direction is consistent with historical data indicating that May sales on average (’09-’13) increases from the month of April by 22.7 percent.

Existing single family home sales account for 50 percent (up from 57% in May’13) of total sales while 24 percent (same as May’13) were new home sales and 16 percent (down from 19% in May’13) were condo buyers.

Pricing: The Lee County median sales price in May was $178,500, a 9.5 percent increase from last May. In addition, the May median price improved 4.5 percent compared to the prior month. Historical data (’09-’13) indicates that the May median sales price traditionally increases from the month of April by 4.1 percent. Pricing can fluctuate from month-to-month as the sample size of data (closed transactions) is subject to seasonal buying patterns so a broader lens as to pricing trends is appropriate and we recommend contacting a local real estate professional for additional market pricing information.

To read the article in it’s entirety, please follow the following link:

http://blog.al.com/acre/2014/06/lee_county_area_residential_sa_6.html

Down Payment Funds Looking for Buyers!

By | Ashley

As Written & Reported By:

 

download

June 16, 2014

Home buyers seeking assistance paying their down payments are better off in Southern real estate markets than elsewhere, according to a new survey and analysis by Down Payment Resource (DPR).

The DPR’s June Home Ownership Program Index analyzed 1,654 programs available nationwide. Across Down Payment Resource’s databank, nationally, 90 percent of programs are funded with the greatest number of programs available in the South.

. The Index measures home ownership programs available across the country and the percentage of funded programs. DPR, the nation’s only search engine for home buyer programs, aggregates the benefits and eligibility requirements for programs including down payment assistance, grants, affordable first mortgages, and tax credits.

To read the article in it’s entirety: please visit the following link:

http://www.realestateeconomywatch.com/2014/06/southern-down-payment-funds-looking-for-buyer

Enjoy. It’s a solid read. Remember, whether you are in the market to list or sell, Team Ashley is READY to WORK for  you! Call me today for an appointment!

Purchasing Condos in Auburn

By | Ashley | No Comments

The Lee County Association of REALTORS hosted a Professional Update today at the new REALTOR building. The topic was condos! Auburn loves condos, and we have plenty to sell, so this was some very useful information! The panel of professionals included Nancy Davis – Davis Law Firm, Molly Wilson – Wilson Appraisals, and Barry Jones and Jane Perry – WR Starkey Mortgage.

As always, these professionals had great information and advice to offer to the Lee County agents, and I would like to pass along some of this information to you – in the event that you may purchase a condo in Auburn in the near future. Below are a few pointers that I found interesting and important when it comes to a condo purchase.

1. As a purchaser of a condo, ALWAYS request and READ a copy of the condo documents, the plat, and the condo association budget, so you are aware of what financial obligations you may have in the future.
2. Prior to making an offer on a condo, be sure to know what type of financing is available for the condominium complex – Conventional and FHA financing is only available for approved condo complexes through various lenders. It is extremely important to know if the condo complex you are purchasing is approved and through what lender. Approval for a conventional or FHA warrantable condo can take up to 60 days, and just because a condo was approved in previous years doesn’t mean that it is approved today. FHA requires that condos go through the approval process every two years. See my notes below concerning warrantable condos and financing!
3. All lenders are required now to request that the purchaser of a condo provide evidence of interior content insurance. This is not the same as renter’s insurance. It covers, from stud to stud, the amount of money it would take to re-construct the interior of the unit if there were a disaster. It is recommended to purchase this insurance through the same insurance provider as the condo association uses for exterior insurance.
4. As a condo purchaser, be aware of whether or not you are purchasing a true condo or a land condo. A land condo requires that all of the home owners take care of additional items in the development, such as roads, sidewalks, etc., because they are owned by the condo, not the city.
5. When receiving a condo appraisal, know that the appraiser is expected to use comparables within 90 days of the sale, and that the measurements are walk to wall on the interior, not the exterior. Also, the appraisal may oftentimes be required to use comparables that are outside of the development so don’t let that be a surprise!
6. Lastly, know that the lending environment for condos is a little different these days. Condo approval can take up to 60 days with various lenders, and the lender will have to work with the condo management company to ensure that all proper documentation is provided. Expect 60-90 days for a closing on a condo that is not yet approved for conventional or FHA financing.
A note on financing and warrantable condos:
Many condo purchasers in Auburn, AL are purchasing for a child to attend school. In this instance, “kiddie condo” loans are favorable. This is a loan where the child is on the loan as the primary residence, and the parents are also borrowers on the loan. The child does not have to have credit history in this instance. I recommend speaking with one of my listed preferred lenders for more information on these loans.
There are three types of loans for condos: Conventional, FHA, and VA. VA only approves condos on an as needed basis, one at a time, so the approval process for a VA loan will begin upon submitting the contract to the lender, and lender will work with the management company to provide the proper documentation. Once again, remember this can be timely.
Conventional loans for condos are backed by FANNIE MAE. They can be 5% down for a primary residence, 10% down for a second home, or 20% down for an investment property. FANNIE MAE has very specific guidelines for condo approval, in order to provide a condo loan. There is a “Homeowners Association Certification” form that the condo association manager must fill out in order to get condo approval for a conventional loan, and this is done on a case by case basis for the lender. FHA, on the other hand approves condo complexes for all lenders, but they are required to renew their approval every two years. FHA condo approval can be submitted by a lender, a condo manager, or a condo association. Once FHA approves a condo for a loan, it is approved for all lenders in the designated time period (2 years). FHA requires 3.5% down for the condo loan and is the best option for the “kidde condo” type loan.

Of course, all of this information is subject to change with today’s volatile market, but as of today, this is valid information. Any of this can be verified with Barry Jones at WR Starkey Mortgage (he’s on my preferred lender list).

I look forward to helping you list and buy condos this coming spring and summer! There are plenty to chose from, and between now and then, many of the our local agents, including myself, will be working with Barry to gain FHA approval for the majority of condo developments throughout Auburn!

The data relating to real estate for sale on this web-site comes in part from the Internet Data Exchange Program of Lee County Association of REALTORS. Information is deemed reliable but is not guaranteed.

This IDX solution is (c) Diverse Solutions 2020.