Existing-home sales rose again in September according to a recent report by NAR (National Association of Realtors®), affirming that the recovery is under way.
Closed transactions of condos, single family homes, townhouses and co-ops rose 10% over last month, but remain below the figures for 2009. There is speculation this figure might be skewed because of the introduction of the First-Time-Home-Buyer programs and tax credits that started during this period last year.
Lawrence Yun, NAR’s chief economist, was quoted as saying “A housing recovery is taking place but will be choppy at times depending on the duration and impact of a foreclosure moratorium. But the overall recovery direction should be a gradual rising trend in home sales with buyers responding to historically low mortgage interest rates and very favorable affordability conditions.”.
Freddie Mac puts the 30 year conventional loan commitment rate (new loans) below last month.
Good news for the Yuba Sutter area! While the national median resale home price is 2.4% lower than this time last year with Distressed homes (short sales and foreclosures) accounting for about 35% of the sales, our prices have risen slightly. Our REOs (bank owned sales) have been a bit higher, between 40% and 50% on the average. To follow our area sales trends check out the Weekly Yuba-Sutter Real Estate Report published each Monday at http:YubaSutterHomeBuys.com and click the Discussions & News tab. You can also find it by clicking the <Hot News> button at Yuba Sutter homes and Loans.
NAR President Vicki Cox Golder, like many of us, thinks that opportunities abound in today’s market. Interest rates are about 1/2 what they were 10 years ago. Home prices are about 22% lower than 5 years ago on the national level. Our market is seeing prices closer to 30-35% lower than the unsustainable peak caused by the bidding wars of the 2005 era.
Monthly payments to own a home now are historically low. Right now, a qualified family can own a 3 bedroom 1500 sq. foot home for less than $475.00 per month! And that’s not a fixer-upper. That is a nice $120,000 home. Interested? Contact us today to see if you qualify.
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