Real Estate Monthly, Vol. 2, Iss. 2

REAL ESTATE MONTHLY

VOLUME 2, ISSUE 2
FEBRUARY 3, 2017

THE START OF 2017

dolrhousnestgrn600x399The year is just starting off and it’s starting with a bang.  Although since we are only one month into the year no trends can be established for the year but looking how it is starting their is a good probability that the real estate market will remain strong. Measuring the start of the Elkhart County market sales were down compared to the end of 2016 but that is a normal trend.  But, the number of sales were the second most for the start of the year in the last 10 years while listings were the lowest for January in the last 10 years.  The average days a house was one the market matched the rate seen in May of 2016 and was less than all but two months in 2015.  That means, in the last 10 years, only 10 months have had shorter days on market.  Likewise, the median sales price was as high or higher last month  than only 10 months in the last 10 years.  The translation?  Sellers that enter the market early this year are likely to see fast sales with a higher than normal sales prices.  March is the month that listings begin to significantly increase, which increases the competition a seller faces.  If you are looking to sell then it is a phenomenal time to get into the market.


Kosciusko County Market


December


Closings:
75 ⇧ 19% Y:Y


Median Closing Price:
$131,999 — Y:Y


Median Days on Market:
40 ⇧ 14% Y:Y


New Listings:
33 ⇩ 27% Y:Y


Inventory: 
384 ⇩ 23% Y:Y


Sales / List Price:
97% ⇧ 2% Y:Y


Seller’s Market

Elkhart County Market


December


Closings:
139 ⇩ 14% Y:Y


Median Closing Price:
$145,000 ⇧ 21% Y:Y


Median Days on Market:
31 ⇩ 20% Y:Y


New Listings:
84 ⇩ 1% Y:Y


Inventory: 
637 ⇩ 14% Y:Y


Sales / List Price:
96% — Y:Y


Sellers’ Market


The market update is the most current available due to data reporting and analytics by the state reporting board.



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Are You Getting the Home Tax Deductions You’re Entitled To?

Here are the tax tips you need to get a jump on your returns. Read

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7 Tips for Staging Your Home

Make your home warm and inviting to boost your home’s value and speed up the sale process. Read

Visit houselogic.com for more articles like this.

© Copyright 2017 NATIONAL ASSOCIATION OF REALTORS®


Did You Know?

Punxsutawney Phil’s predictions are recorded in the Congressional Records of our National Archive.



Trump’s First Housing Move Tanks Mortgage Applications 3.2%

From CNBC / Diana Olick

Most notable was a 13 percent drop in FHA applications — a direct result of the Trump administration reversing a cut in the FHA’s annual mortgage insurance premium just hours after the inauguration. That cut was the last major policy act of the Obama administration and would have decreased monthly payments for thousands of new, lower-income borrowers. FHA applications increased immediately after the cut was announced, and lenders have reported that many of those have also been withdrawn.

The Trump administration’s nominee for secretary of Housing and Urban Development, Ben Carson, said he wanted to examine the cut further, along with the fiscal health of the FHA’s insurance fund, and make sure a cut in premiums wouldn’t increase taxpayer risk.

“Following the decision to suspend a proposed decrease in the FHA mortgage insurance premium, FHA refinance applications dropped more than 25 percent, while FHA purchase applications fell almost 6 percent,” said Michael Fratantoni, chief economist for the MBA.

Adding to overall borrower costs last week was the first jump in mortgage rates of 2017. The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($424,000 or less) increased to its highest level since December, 4.39 percent, from 4.35 percent, with points increasing to 0.34 from 0.30 (including the origination fee) for 80 percent loan-to-value ratio loans.

Applications to refinance a home loan fell 1 percent for the week, seasonally adjusted but are nearly 32 percent below year-ago levels. Refinance volume dipped below 50 percent of overall applications and hit its lowest since July 2015. Mortgage rates jumped decisively following the presidential election, pulled back slightly at the start of the new year and are now heading higher once again.

Mortgage applications to purchase a home fell a steeper 6 percent for the week and are just 2 percent higher than a year ago. Home price gains continue to increase, and affordability is weakening across the nation, but demand for housing is rising.

“We do expect that home sales will grow this year relative to 2016, although lack of inventory remains a constraint in many markets,” Fratantoni said.

Mortgage rates haven’t moved much this week, but the potential for volatility is rising, given more economic data out later this week and the first meeting of the year of the Federal Reserve policymaking committee. The meeting ends Wednesday.

“Although there’s essentially no chance that the Fed will hike rates at this meeting, investors will nonetheless look for clues about the Fed’s thinking based on subtle changes in the text of the statement,” wrote Matthew Graham, chief operating officer of Mortgage News Daily.




eho-mls If your property is currently listed for sale or lease, this is not intended as a solicitation of that listing.

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