Is the foreclosure crisis finally fading?

WASHINGTON – Feb. 13, 2012 – Foreclosures decreased by 8.4 percent – or 130,000 – in 2011, according to research by CoreLogic.

“The pace at which properties are entering foreclosure is slowing,” Mark Fleming, chief economist with CoreLogic, told CNNMoney. “(Even though) servicers nationwide stepped up the rate at which they were able to process distressed assets.”

So why are foreclosures dropping?

For one, lenders are more cautious. Homes are entering the foreclosure process more slowly as lenders carefully scrutinize paperwork before processing a foreclosure after getting into big trouble for mishandling some foreclosures in recent years.

Also, with today’s stricter credit conditions, lenders are choosier about approving loan applicants, reserving approvals for mostly low-risk borrowers with a lower chance of default and foreclosure.

Banks are also doing more loan modifications to prevent foreclosures. And when a home does land in foreclosure, banks try to process them faster or encourage a short sale.

“This is the first time in a year that REO sales (those of bank-owned properties) have outpaced completed foreclosures,” Fleming says. There were 103 sales of bank-owned homes for every 100 homes in foreclosure inventory in December 2011. That’s compared to November 2010 when there were 94 REO sales for every 100 in the foreclosure process.

Source: “Homes in Foreclosure Decline by 130,000,” CNNMoney (Feb. 8, 2012)

© Copyright 2012 INFORMATION, INC. Bethesda, MD (301) 215-4688

WASHINGTON – Jan. 30, 2012 – The National Association of Realtors® conducts a monthly study on Realtors outlooks about the housing market, and the Realtors Confidence Index for single-family home sales in December increased to 31.6 from November’s 30.4. However, it increased 7.1 points in one year – since December 2010 – when it was 24.5. Overall, the Index has shown a slowly improving market outlook.

The index for townhouses was 18.5 in December down slightly down from November’s 18.7. A year earlier, however, it was 12.6. The index for condos also decreased to 14.3 from November’s 15.3, but one year earlier it was only 10.3.

The index also measured Realtors’ outlooks by region. Overall, the West had the highest outlook at 35.0, but the South – which includes Florida – came in second at 33.3. One year earlier, the South’s index stood at 25.1.

Overall, 55 percent of Realtors surveyed expect prices to rise over the next year, an increase from 50 percent only one month earlier; and 7 percent of Realtors expect prices to rise 5 percent or more compared to November’s 6 percent. On the flip side, 38 percent of Realtors expect prices to fall, but that’s less than the 43 percent who said the same thing one month earlier.

In an analysis, NAR Chief Economist Lawrence Yun said 2012 kicks off with “a significant amount of good news. … Existing home sales in December were up from a year ago. Pending sales – that is, contract signings – were 5 percent ahead of a year ago. Housing inventory – the number of homes available for sale – has declined (both for existing and newly built homes). Housing affordability continues at record high levels.”

Yun says that one major problem still hangs over the housing market, however: Many middle-class buyers have been shut out of the market because they cannot obtain a mortgage.

“Loan qualifications have become so strict since 2009 that only borrowers with super-high credit scores and spotless credit history are able to obtain mortgages,” Yun says. According to one-third of the Realtors surveyed, access to credit was the most important factor limiting clients’ ability to buy a home.

© 2012 Florida Realtors®

Mobile real estate trends in 2012

Top Producer’s new customer relationship management system runs on the HTML5 mobile platform, and Realtor.org will be rolled out with an HTML5-based responsive design this month. Web sites with responsive design automatically adjust the screen size based on the visitor’s device – which Mark Lesswing, senior vice president and chief technology officer at the National Association of Realtors, says is less expensive than developing separate native apps for different mobile platforms.

However, other panelists said consumers – particularly millennials – prefer native apps and place a high value on user experience. Even so, brokers should ensure they have mobile sites before working on other aspects of their mobile strategy.

Panelists added that small brokers should partner with vendors to purchase technology, rather than spend time and money developing technology in-house.

Source: Inman News (01/18/12) Brambila, Andrea V.

© Copyright 2012 INFORMATION, INC. Bethesda, MD (301) 215-4688

Thank you for the nice comments, I appreciate it!

I am thrilled to begin 2012 with positive energy and thoughts to bring in the new year.  After having an AMAZING 2011 in our real estate market, I am looking forward to this year being even better.

I was recently informed that I am the Number One Individual Agent at Coldwell Banker United, Destin for 2011.  I am honored to have received this recognition after transferring my licence to Coldwell Banker United in January 2011.  I also earned my Previews Certification which is very exclusive to Coldwell Bankers top agents.

Last year was very important in our real estate community.  After years of an economic downfall, we can finally say that our market has turned.  Destin’s sales volume was up 8% in 2011 and Coldwell Banker was up 100%.

We have always had, in our opinion, the “Most Beautiful Beaches” and in 2011 it was confirmed when Good Morning America nominated Destin as “One of the the Most Beautiful Beaches in the County”.

I am so proud to represent my clients and I love to help people to find their dream home, whether it be their primary residence or an investment property.

My clients come first!  Customer Service is the basis of my business and without it, I would close my doors.  I believe in protecting my clients interests in every way.

I am wishing, hoping and praying for 2012 to be a Safe, Blessed and Happy New Year for all.

Andrea

Stay tuned for Destin Florida’s best Real Estate, Events and Local Information right here on Andrea Farrell’s blog.