"Increasing pressure" but a moderate slowdown for housing, says Harvard report

Rising interest rates and increasing energy costs put the squeeze on the housing boom in 2005, says a new report from Harvard University's Joint Center for Housing Studies. More people are stretching to be able to purchase a home and afford the mortgage, but the housing market continues to benefit from strong job growth, a recovering rental market, good home price appreciation, and other factors. "As long as these positive forces remain in place, the current slowdown should be moderate," says the Joint Center's The State of the Nation's Housing 2006. For those not already familiar with it, the Joint Center's annual report is an excellent overview of the housing market and the demographic, economic, and political forces that shape it.

Share Your Opinion. (0 posts)

Real Estate Market Soaring Amongst eBay Buyers and Sellers

From the islands of Hawaii to the snow capped Colorado mountains and even the sunshine state of Florida, eBay's marketplace is becoming a hub among real estate moguls. As a benefit to the buyers, competitive pricing and a wide selection of homesites are available throughout the real estate category. Sellers, on the other hand, have access to a world of customers who are looking for a place to build their dream home, vacation getaway or simply to be used as an investment.

In the past, owner financing was a term used to describe a real estate transaction from person to person. Now, it's a common phrase that is used to describe the internet real estate market. An increasing number of real estate companies and owners now offer fixed interest rates, no credit check and no application to any buyer who promises to make timely payments. When entering into an owner financing agreement, a written contract will be signed by both parties and will document such things as payment amount, number of payments, purchase price, interest rate, etc.

The most important thing to consider when participating in any real estate transaction is that a legal deed will be provided at the conclusion of the final payment. With owner financing, the deed will generally remain in the sellers name until the new buyer has fulfilled the contract. Every buyer should make sure that the deed is free and clear of any liens, foreclosures, etc. In addition, the issue of any potential back taxes should be addressed. Most reputable real estate sellers will disclose the information but, if not, the buyer needs to ask.

Purchasing real estate online can be scary and some may find it a unique way to do business but, for those who have found the experience to be positive, they wouldn't hesitate to return to the bidding block for their next real estate purchase. If at all possible, the potential buyer should arrange to view the property or, at the very least, request detailed photos. Site unseen is a questionable way to make a large purchase but, for some, it may be the only way to own the homesite of their dreams. Individuals with past credit problems who would otherwise be denied a loan will likely benefit from owner financing due to the fact that every buyer receives the same fixed interest rate for the life of the loan and no credit check is performed. Individuals with irregular income or those who have difficulty obtaining a traditional loan are learning the benefits of purchasing real estate online.

With a conventional loan, the down payment is typically 10-20% of the total purchase price. But, many eBay real estate sellers allow buyers to actually bid on the down payment. The final bid amount for the down payment is then deducted from the total due and the number of monthly payments are calculated accordingly. For years, buyers have enjoyed bidding on jewelry, collectibles, clothes and other merchandise. These days, they are often found bidding on down payments, land and even homes

About the Author

Mark Kenny is an eBay expert who specialises in launching eBay related online businesses. You can see his selection of Turnkey websites at: http://www.Trading-Web-Solutions.com or check out his recommended eBay site at http://www.auctionresourcenetwork.info

A good listing service will also have customer support to answer your questions, and around the clock access to the latest foreclosure listings all around the country.

Westchester Spotlight

A good mix of economic news

NAR's Pending Home Sales Index for July was released today, showing signed contracts on homes for sale down 16.0 percent from July 2005. Accompanied by another report today of a slowdown in home construction and last week's existing home sales report for July, the Pending Sales Index provides further evidence that our record-breaking housing market is beginning to calm down. ...The index shows existing-home sales should continue to ease after a stronger-than-expected decline in July, but are likely to flatten in the months ahead," said NAR Chief Economist David Lereah.

More signs of a slowing market

The housing market continued to cool off in recent weeks, with May existing home sales decreasing a slight 1.2 percent from April. "There's now a clear pattern of slower home-sales activity in many higher cost markets, which are more sensitive to rises in interest rates, and higher home sales in moderately priced areas which have experienced job growth," said NAR chief economist David Lereah. In areas hit hardest by the slowdown, sellers are having to readjust their expections as homes are taking longer to sell and local inventories build up, making price reductions and incentives a more common sight. And with interest rates on the way up, "things are likely to get worse for sellers before they get better," predicts Bloomberg News.

Share Your Opinion. (0 posts)