Move My Realty - Real Estate News

A bill was approved this week by the US House of Representatives that would cut the cost of upfront mortgage insurance fees on FHA loans for first-time home buyers who take part in housing counseling.  The new bill requires new home buyers to complete a housing counseling program about maintaining homeownership to be eligible for a 25-basis-point discount on their FHA mortgage insurance loan.  While the bill still needs Senate approval and the president's signature, it could be improve financial literacy for first-time-buyers while providing an incentive discount.

Source: “New Bill Slashes FHA Mortgage Insurance for First-Time Homebuyers,” HousingWire (July 10, 2019)
Posted by Ron Mastrodonato on July 15th, 2019 1:33 PM
 

ORLANDO, Fla. – July 21, 2016 – Florida's housing market reported higher median prices and fewer days to a contract in June, according to the latest housing data released by Florida Realtors®. Closed sales of single-family homes statewide totaled 27,086 last month – slightly higher (0.4%) than the June 2015 level of 26,973 closed sales.

"Florida's housing market is experiencing tight supply and pent-up demand," said 2016 Florida Realtors®President Matey H. Veissi, broker and co-owner of Veissi & Associates in Miami. "That's affecting the pace of sales and putting pressure on statewide median prices. Florida's economic growth, rising jobs outlook and acclaimed quality of life continue to draw new residents eager to call the Sunshine State home."

Home sellers continued to get more of their original asking price at the closing table in June: Sellers of existing single-family homes received 96.3 percent (median percentage) of their original listing price, while those selling townhouse-condo properties received 94.6 percent (median percentage).

The statewide median sales price for single-family existing homes last month was $225,000, up 10.8 percent from the previous year, according to data from Florida Realtors research department in partnership with local Realtor boards/associations. The statewide median price for townhouse-condo properties in June was $164,000, up 8.6 percent over the year-ago figure.

In June, statewide median sales prices for both single-family homes and townhouse-condo properties rose year-over-year for the 55th month in a row, Veissi noted. The median is the midpoint; half the homes sold for more, half for less.

Accordingto the National Association of Realtors®(NAR), thenational median sales price for existing single-family homes in May 2016 was $241,000, up 4.6 percent from the previous year thenational median existing condo price was $229,600.In California, the statewide median sales price for single-family existing homes in May was $518,760; in Massachusetts, it was $353,000; in Maryland, it was $282,257; and in New York, it was $212,500.

Looking at Florida's townhouse-condo market, statewide closed sales totaled 10,506 last month, down 2.6 percent compared to June 2015. Closed sales data reflected fewer short sales and cash-only sales in June: Short sales for townhouse-condo properties declined 43.2 percent while short sales for single-family homes dropped 37.2 percent. Closed sales may occur from 30- to 90-plus days after sales contracts are written.

"Much of 2016's slowdown in sales growth is due to the dwindling inventory of distressed properties throughout Florida," said Florida Realtors®Chief Economist Brad O'Connor. "In June of last year, about 20 percent of sales across all property types were of the distressed variety. This June, by contrast, only 10 percent of sales were distressed. These declines are not due a lack of demand, but rather, a clear lack of supply. Florida's distressed properties continue to slowly but surely work their way through the pipeline.

"If distressed properties are taken out of the equation, sales growth among non-distressed properties – the traditional market – remains quite strong. Non-distressed single-family home sales were up 13 percent year-over-year in June, while non-distressed sales of townhouses and condos rose by 7.6 percent."

Inventory was at a 4.3-months' supply in June for single-family homes and at a 6-months' supply for townhouse-condo properties, according to Florida Realtors.

According to Freddie Mac, the interest rate for a 30-year fixed-rate mortgage averaged 3.57 percent in June 2016, a significant drop from the 3.98 percent average recorded during the same month a year earlier.

Florida Realtors Media Centerand look under Latest Releases, or download the June data report PDFs under Market Data.Realtors also have access to local market stats (password protected) on Florida Realtors' website.

© 2016 Florida Realtors®

Posted in:General
Posted by Ron Mastrodonato on July 22nd, 2016 12:27 PM

Making additional payments toward the principal of your mortgage will do three things for the homeowner: save interest, build equity and shorten the term on fixed rate mortgages.

These things should be beneficial enough to justify the extra payments but another huge advantage is available to those who have private mortgage insurance on their loan. Mortgage insurance rates vary but can range from seventy-five to two hundred dollars a month on a $200,000 mortgage.

Lenders are required to automatically terminate mortgage insurance when the principal balance reaches 78% of the original value of the property. It is important for homeowners to monitor their balance because sometimes lenders may inadvertently fail to terminate the coverage.

Mortgage insurance is a necessary but expensive requirement for many people who are limited to a down payment of less than 20%. Eliminating the need for it can save thousands of dollars over time.

Posted in:General
Posted by Ron Mastrodonato on September 30th, 2015 11:05 AM
According to a recent article on RISMedia.com consumers are looking for favorably on the current selling climate. This may be a sign of an uptick in the existing home supply. To read the full article head over to RISMedia.
Posted in:General
Posted by Ron Mastrodonato on August 17th, 2015 11:26 AM
Freddie Mac says mortgage rates are looking stable in the improving housing market. The latest survey shows lenders offering 30-year fixed-rate home loans at an average rate of 4.02% which is up from 4% last week. 

Read the full article at www.rismedia.com
Posted in:General
Posted by Ron Mastrodonato on July 7th, 2015 11:25 AM

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