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Greetings!
The interesting thing about real estate market trends is that what's true today could easily be passe tomorrow. It may be hard to believe, but in the near future - once our economy recovers and buyers return to the market - we'll actually be facing a housing shortage. Read on to find out why, and how this may affect you...
I'm continuing to hold one Home Buyers' Workshop each month. I held one last Saturday, and the next will be on November 5. Take a look at my landing page for further details. Please spread the word to anyone you know who may be considering buying. Additional details are below.
As always, feel free to forward this e-newsletter to friends, colleagues, or family members.
Don't forget to check out my other informational resources on my blog, Facebook page, YouTube channel, and website!
Best,
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 The Impending Housing Shortage
The housing market is predicted to face a shortage of new homes in the near future. Although foreclosures have flooded the market in many areas, other places will face reduced inventory in a few years when the economy has recovered and buyers return to the market.
More People in the Market for a Home
According to a recent study from the Joint Center for Housing Studies at Harvard University, population growth over the next decade will create a demand for nearly 1 million new homes per year.*
As the quote about says, the amount of privately-owned housing units that have begun the construction process (housing starts) in 2010 is 600,000 - well below normal replacement levels.** Builders have kept housing starts below 1 million annually since 2007.*
Builders Will Be Slow to Respond
Construction ground to a halt when the housing bubble burst a few years ago, leaving developments unfinished and companies bankrupt. In the past, home builders have been able to meet the increased demand that follows economic downturns; however, current challenges may prevent this readiness in the future. Due to the economic climate, it has been difficult for builders to secure financing. Additionally, many haven't been preparing land for development as they have during previous downturns. As a result, builders will be slow to respond to the increased demand for homes in the future.***
What Does It Mean for the Market?
- Tighter Markets. Although you may be able to get a great deal on a home now, a limited supply will drive prices up and tighten markets around the country. Experts predict that prices will increase up to four points faster than inflation in all non-distressed markets.
- If you live in a non-distressed market, construction will respond to demand more quickly than in other markets. These markets had fewer foreclosures and an existing inventory of seven months.
- Restrictions may make it difficult for you to secure credit. While experts fear that restrictive credit standards will dampen recovery, in reality these standards are similar to the ones in place before the bubble. However, there is fear that these restrictions will keep low-to moderate-income families from buying homes.
Sources:
* State of the Nation's Housing Report, Joint Center for Housing Studies, Harvard University, 2011
** CNN Money, November 2, 2010
*** CNN Money, June 15, 2010
**** Wall Street Journal, June 4, 2011
***** National Association of Home Builders
©2011 Buffini & Company. All rights reserved. Used by permission.
LGK SEPTEMBER E-REPORTS |
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Free Home Buyer Workshops
This past Saturday, I held the second of three free home buyer workshops scheduled for this fall.
The next workshop will be held on:- Saturday morning, NOVEMBER 5
REGISTER
Location: RE/MAX Realty Advisors office, 320 Washington St., Norwell (2nd floor)
Time:
10:15 - 10:30am - Registration
10:30 - 11:15am - Workshop
11:15 - 11:30am - Q & A
Light refreshments will be served.
Looking to avoid making serious home-buying mistakes in your home purchase?
Take the guesswork out of home buying in our current market by doing your homework before you begin viewing potential homes or condos.
Here are just a few of the points I'll be covering:
- What to expect in the first face-to-face meeting with a Realtor
- Why you should have a written pre-approval for your mortgage
- How to begin the search
- How to identify the homes you actually want to view
- How to structure and negotiate your Offer
- What the steps are in moving through the Offer process (including inspections, legal review, mortgage commitment, home insurance, closing date)
- When to schedule a final walk-through
- What to expect at the closing
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Tapping Into Our Local Talent
Once again, I'm featuring a clip from my ongoing video series dubbed "Tapping Into Our Local Talent" in which I interview local experts.
I'm pleased to present you with the next video in the series highlighting investment planner Barbara Case, Senior Vice President of Moors & Cabot Investments.
Barbara provides comprehensive investment planning to help her clients attain financial independence and achieve their goals. She teaches them the concept of preparing for critical financial events that could happen at any time, such as losing one's job or planning for retirement. She helps people build and preserve wealth - at any age.
Barbara seeks long-term relationships with her clients, since investing is a long-term process. Just as a doctor looks at a patient's medical history, she looks at a client's financial history before she gives advice.
For more information, contact Barbara at 617-314-0345, or visit her website at www.barbaracase.net.
Click on the video below to watch her interview.
 | Tapping Into Our Local Talent:
Barbara Case of Moors & Cabot Investments |
My goal throughout this video project has been to let the public know about available options and to help business experts I trust to grow their businesses.
If you know of someone who could benefit from the knowledge or services of one of the local experts interviewed, please forward the video links to them. The videos are also posted on my blog, Facebook page, and YouTube Channel. Tune in regularly to see our latest episode.
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 Connie White has worked as a full-time Realtor for over 20 years. During her career, she's earned the following certifications: ABR (Accredited Buyer Representative) and CDPE (Certified Distressed Property Expert - meaning she's a certified expert in helping homeowners facing short sales).
Connie has been affiliated with RE/MAX (an international organization) since 1990. Her motto is: "Delivering Excellence" - Your South Shore Realtor for Single-Family, Condos, Multi-Family, Oceanfront, Luxury, and Distressed Properties.
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320 Washington Drive
Norwell, Massachusetts 02061
RE/MAX Realty Advisors
(617) 697-5566 |
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Featured Property |
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21 Silver Brook Lane,
Norwell, MA |
Truly a gem! This gracious 2,092 sq.ft. 2-bedroom townhouse gives attention to detail throughout. Features include:
- Open foyer
- Formal living room (gas fireplace, built-ins, hardwood floors)
- Formal dining room (tray ceiling & stately columns)
- Spacious kitchen (step-saving work area, stainless steel appliances & pantry)
- Sun room for reading
- Sun-drenched 1st-floor office
- Master suite (walk-in closet, master bath
- Guest bedroom
- Family-media room in partially-finished basement
21 Silver Brook Lane
Norwell, MA 02061
$579,900
Virtual Tour
Click here to view additional photos and listing details.
__________
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| Useful Resources | |
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Visit my website |
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Home Buyer Workshop |
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In the News...
Short Sales Soar 19%
in 2nd Quarter |
Short sales of pre-foreclosure properties jumped 19% in the second quarter, even as sales of bank-owned foreclosures declined and overall distressed sales were flat. A total of 102,407 pre-foreclosure homes - in default or scheduled for auction - sold to third parties in the second quarter, an increase of 19% from the previous quarter but still down 12% from the second quarter of 2010. Pre-foreclosure sales accounted for 12% of all sales, the same percentage as in the first quarter but up from 10% of all sales in the second quarter of 2010. Pre-foreclosures, which are often sold via short sale, had an average sales price nationwide of $192,129, a discount of 21% below the average sales price of non-foreclosure homes. That discount increased from 17% in the previous quarter and 14% in the second quarter of 2010. Pre-foreclosures sold in the second quarter took an average of 245 days to sell after receiving the initial foreclosure notice, down from an average of 256 days in the first quarter - following three straight quarters of increases in the average time to sell pre-foreclosures. Read more on my blog. __________ |
| The American Dream Lives On |
You wouldn't guess it by looking at the current economic environment and forecast, but there's good news looming on the real estate front:
A recent survey shows that the American dream is still very much intact in the minds of American adults, the majority of whom believe home ownership is an important part of that dream.
* 80% of those surveyed were planning at least one additional home purchase in their lifetime.
* Around 65% of Gen Nexters (ages 18 to 34) said home ownership is still part of their American dream - even while acknowledging concerns over down payment, qualifying for a mortgage, and job stability.
* The suburban McMansion trend is dying, as the majority of both Baby Boomers and Gen Nexters prefer to own an urban home.
* The homes that people will want in the future will look different than today's housing stock.
Read more on my blog. |
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Pitfalls of Selling Your Home Yourself
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Sellers:
Do you know the pitfalls of selling your house on your own?
It may be tempting to try to save a few bucks, but there are some potential dangers you should be aware of. Click here or on the video above to learn more. |
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