Archive for the ‘Market Conditions’ Category

Zestimate Guesstimate

Wednesday, October 22nd, 2014

MissedAccording to Zillow’s own research, Zillow’s median margin of error in Iowa is 5.8%. This doesn’t sound like much until one thinks through this statistic. The median, by definition, is that one half of the homes will sell outside the 5.8% range. What does this look like in practice? The average sales price of a home in Ames is approximately $200,000. Lets assume for example that Zilow’s Zestimate for a residential home is $200,000. According to Zillow, there is a 50% chance that the sales price will be between $188,400 and $211,600. The total range is $23,200. Conversely, Zillow acknowledges that their Zestimate has a 50% chance of being wrong by more than 5.8%. It is equally likely that the actual sales price might be outside their stated range. Therefore the actual sales price could easily be $185,000 as it might be $215,000? Who knows? We know!! What confidence can this Zestimate give a home seller or a home buyer? By Zillow’s own admission, this is precisely why a Hunziker & Associates Realtor is required. We know the market.

Real Estate is Back

Friday, March 15th, 2013

RealEstateIsBack_bright _mm.eps

Source: http://www.realestate.com/advice/real-estate-market-is-back/

Ames home prices up 4%

Monday, March 11th, 2013

HomePriceIndexYoYIn the most recent 12 month period, average home prices in Ames have increased exactly 4.0%. The average number of days on the market shows homes are selling 19% faster.

Nationwide home prices, including distressed sales, climbed 9.7 percent year-over-year (YoY) in January, according to CoreLogic’s latest home price report. This is the eleventh straight monthly rise, and it’s the biggest gain since April 2006.

http://www.bullfax.com/?q=node-corelogic-home-prices-are-climbing-fastest-pace-april-2

 

Mortgage delinquency rate at a 4 year low

Tuesday, February 26th, 2013

The housing market continues to become more stable and solid across the U.S. Homeowners who have fallen behind on their mortgage payments is now at a 4 year low.

Read the Des Moines Register article.

5 Reasons You Should List Your House Today

Monday, January 28th, 2013

From our friends at the KCM Blog…

“Many homeowners are waiting until the Spring ‘buying season’ to list their homes for sale. …These are five good reasons why you should consider listing your house today instead of waiting.

1.) Demand Is High

Homes are selling at a pace not seen since 2007. The most recent Existing Home Sales Report by the National Association of Realtors (NAR) showed that annual sales in 2012 increased 9.2% over 2011. There are buyers out there right now and they are serious about purchasing.

2.) Supply Is Low

The monthly supply of houses for sale is at its lowest point (4.4 months) since May of 2005. The current month’s supply is down 21.6% from the same time last year. Historically, inventory increases dramatically in the spring. Selling now when demand is high and supply is low may garner you your best price.

3.) New Construction Is Coming Back

Over the last several years, most homeowners selling their home did not have to compete with a new construction project ………. read the full post.

4.) Interest Rates Are Projected to Inch Up

The Mortgage Bankers’ Association has projected mortgage interest rates will inch up approximately one full point…………read the full post.

5.) Timelines Will Be Shorter

The dramatic increase in transactions caused many challenges to the process of buying or selling a home in 2012……………read the full post.”

 

Friday, January 11th, 2013

 

Trulia: Asking Prices Up 5.1% in 2012

Wednesday, January 9th, 2013

From Trulia….

“The Trulia Price Monitor and the Trulia Rent Monitor are the earliest leading indicators of how asking prices and rents are trending nationally and locally. They adjust for the changing mix of listed homes and therefore show what’s really happening to asking prices and rents. Because asking prices lead sales prices by approximately two or more months, the Monitors reveal trends before other price indexes do. With that, here’s the scoop on where prices and rents are headed…”

Read the article

Monday, December 17th, 2012

Source: http://www.desmoinesregister.com/article/20121216/BUSINESS/312160024/?odyssey=nav|head&gcheck=1&nclick_check=1

Mortgage Rates Hit 3.34%

Friday, November 16th, 2012

Housing Starts at 4 Year High

Monday, October 22nd, 2012

From Bloomberg Businessweek

“Beginning home construction jumped last month to an 872,000 annual rate, the fastest since July 2008 and exceeding all forecasts in a Bloomberg survey of economists, Commerce Department figures showed today in Washington. An increase in building permits may mean the gains will be sustained.

“It’s no longer a question of whether the industry is rebounding,” Larry Sorsby, chief financial officer of Red Bank, New Jersey-based Hovnanian Enterprises Inc. (HOV), the best-performing homebuilding stock this year, said in a telephone interview today. “There is clear evidence that we have bounced off the bottom and are in the midst of a recovery.””

Read the article