As I continue to put the finishing touches on a special summer edition of my quarterly newsletter Club Karma, I wanted to quickly share some updates with you.
"Home-Buyer 101" is back! This summer I will be teaming up with my preferred lender, Trevor Reese of Wells Fargo Home Mortgage, to host round table discussions for First-Time Home Buyers, (as well as repeat Purchasers), who are interested in learning more about the process of buying a home in today's market. FHA guidelines, declining values, record low rates, and the $8,000 tax credit have all changed the way the process works, so this will help empower potential buyers with useful information.
If you or anyone you know is interested in learning more about these topics, or would like to join us at a public, (or private), discussion, contact me anytime at (206) 799-2318 or tikirobs@yahoo.com. We will also discuss Seller strategies, so if you're planning on selling in the future, this discussion will benefit you as well. Now on to some stats:
For the third month in row, news continues to be positive from the Northwest Multiple Listing Service. Pending sales were up 21.5% in the Puget Sound from the same time 12 months ago, and up 3.5% from April's totals. This, combined with some long overdue summer-like weather has improved consumer confidence, continuing to fuel a positive shift in housing.
In addition, inventory is down about 20% from last year, which bodes well for eventual price stabilization in our area. As inventory continues to shrink and sales continue to increase, common sense tells us prices should soon begin to stabilize, (although short sales and foreclosures continue to effect property values...especially in South King County where they make up nearly 25% of the market).
On the national scene, most of the financial trends have been positive, (despite sobering unemployment numbers). I'll dive deeper into this in the newsletter, but the good news is that even though the unemployment rate continues to increase, (now above 9% nationally), the number of new jobless claims has declined for several weeks in a row. (Historically, this is a positive sign that the Recession is nearing an end). -Learn the historical significance of this in a previous Blog Post: May Market Update.
Finally, the $8,000 tax credit for 1st time homebuyers continues to spur sales in the $400,000 and under price range. Recently it was announced that FHA will soon make this credit available for buyers to use a down payment for their purchase. Details have yet to be released, but this announcement has excited many people who need down payment assistance, or who simply prefer to use the credit towards a purchase, rather than receive it after closing.
Let's hope the M's get back on track this week, and that the Huskies continue to sign more big name recruits.
More detailed information and summer fun are on the way in the newsletter...Aloha, Rob
