It’s Busy with Big Bear Real Estate Sales!!!
The month of March was busier than the first two months of the year. We had total sales of 54 homes and inventory of approximately 950 active homes on the market. April has kicked off with a surge in buyers, due to the drop in interest rates. (Averaging 4.8%) Most buyers arrive at our office with a pre-qualification letter from their lenders. ALL buyers are looking for a deal, they are looking at properties in all price brackets and when they find a property, they offer a lower price.
Tap into the Feds!!!
- posted in Big Bear Homes & Land, Big Bear Real Estate, How To's, Tips
Below is a list as to what potential buyers may tap in too. This federal help will continue to stimulate the housing market. As I have mentioned in previous newsletters, overall in Big Bear, we have been busy with 'smart money" buyers. And they are all looking for a deal! It is importatnt to stay on track and allow us to market your home. I am anticipating a brisk market as we enter into spring and summer. Tradionally, the summer months are busy. As the stock markets continue to faulter, buyers are looking in speciality areas to invest in, hence, Big Bear Lake. Below, please review what buyers could benefit from
The Economic Recovery Package
- posted in Big Bear Homes & Land, Big Bear Real Estate, Tips
Below is a news bulletin from our California Association of Realtors President, Jim Liptick. It sounds promising, and will help home sales throughout California. On January 28th, the U.S. House of Representatives passed H.R. 1, the Economic Recovery Package, by a 244 to 188 vote. Amid all the negative economic news we're hearing on a daily basis, this is good news, as the bill contains a number of issues critical to REALTORS® and the industry, including extending all 2008 Metropolitan Statistical Areas' (MSAs') Fannie Mae, Freddie Mac, and FHA loan limits through the end of this year.The extension prevents an MSA's 2008 loan limit from being reduced in 2009 for Fannie Mae, Freddie Mac and the FHA.
Happy New Year – Big Bear Market Year End Stats/Projectings
- posted in Big Bear Homes & Land, Big Bear Real Estate
Now that 2008 is behind us, and all the final sales numbers have arrived, we are looking forward to a new start, and a new real estate season for 2009. We have had more buyers and escrows open in the past week, than we have had in a long time. Looking back on sales and statistic's for 2008, the following information is interesting as compared to years past; Sold Residential Units in 2008:
Real Estate and Financial Markets
- posted in Big Bear Homes & Land, Big Bear Real Estate
The real estate and financial markets are quite a mess right now. Just when buyer activity began to pick up in the first 2 weeks of September, the rapidly unfolding crisis in the financial markets quieted our lead generation momentum dramatically. The nation's credit crunch had started to show some signs of relief recently due to an increase in mortgage applications with declining interest rates, and government bailout of Fannie Mae and Freddie Mac.
“Just Another Manic Monday”
- posted in Big Bear Homes & Land
"JUST ANOTHER MANIC MONDAY..." The Bangles. And last week wasn't just another manic Monday, as the markets were wild the entire week. During the past two months in the stock market, there have been 19 trading days with a 3% move. It had previously taken 6 years to see 19 days with a 3% move. Bonds and home loan rates began the week with a strong rally on news that the world's largest Bond Fund, PIMCO, raised its stake in Mortgage-Backed Securities to its highest in over seven years. Also helping Bonds and home loan rates break above important technical levels were poor earning reports by companies like DuPont, Texas Instruments, Merck, Wachovia, and Boeing.
Home Loan Rates Improving
- posted in Big Bear Real Estate, Tips
August 2008 "EVERY DAY YOU MAY MAKE PROGRESS." Winston Churchill. And after recent weeks of progressing in a down direction, Bonds and home loan rates finally managed to make some progress in the right direction last week, with home loan rates improving by .125% from where they began. The biggest newsmaker occurred when President Bush signed into law HR 3221, the "Housing and Economic Recovery Act of 2008," which is a sweeping $300 Billion rescue plan to help struggling homeowners avoid foreclosure, and to boost confidence in the sluggish housing market.
Home Lender Rates Moving Lower
- posted in Big Bear Homes & Land
Courtesy of Gregg Mullery Newsletter
"IT'S A BEAUTIFUL THING, DIVING INTO THE COOL CRISP WATER." Olympic Gold Medalist Dawn Fraser. Diving may be a beautiful sport at the Olympics, but it's not a beautiful thing to watch in the Bond market. And that's exactly what happened last week, as Bonds dove to their worst levels so far this year.
So what caused this belly flop to occur? Once again, inflation was the big culprit. While Bonds and home loan rates did begin the week in rally mode after the Federal Reserve announced that it authorized Fannie Mae and Freddie Mac to borrow directly from the Central Bank if they need additional capital, this confidence boost in the markets was short lived on the heels of important inflation reports.
On Tuesday, the Producer Price Index (PPI) report, which measures prices of goods at the wholesale level, revealed that the year-over-year PPI soared in June, marking the highest year-over-year rate since 1981. Also on Tuesday, the Retail Sales report, which measures the total receipts of retail stores, showed that retail sales increased much less than forecast. This may mean that the boost in sales received from the tax rebates may already be fading as consumers are focusing on paying for essentials...something that Wednesday's news seemed to confirm.
What was Wednesday's news? The important Consumer Price Index (CPI) report, which measures prices paid by consumers like us. It showed that prices overall are up 5% from a year ago, the biggest year-over-year rise since 1991. This probably comes as no surprise as you look at your own monthly expenses, particularly the amount you're likely spending these days on groceries and at the gas pump.
Bond prices and home loan rates continued to worsen through the week as no other news or reports could help them shift course. With inflation and tough overhead technical resistance proving to be strong competitors against any improvement, home loan rates generally ended the week around .375 percent worse than where they began.
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Forecast for the Week
Inflation was the big newsmaker last week, and the news this coming week will be focused on the housing market, as both New and Existing Home Sales Reports will be released. It won't be much of a surprise to see some continued sluggishness in the nation's overall housing market.
Also this week will come a look at Durable Goods Orders, which is simply a measure of how many "durable" or non-disposable goods have been purchased during the previous month. Durable goods are those products which are expected to last longer than three years, such as televisions, golf clubs, furniture, office equipment, and cars. With consumables like food and energy taking such a bite out of most people's budget, it will be interesting to see the level of buying for these types of items...it wouldn't be surprising to see it at somewhat low levels. Additionally, a look at Consumer Sentiment will arrive, with a read on how positive - or not - consumers are feeling about their current and future economic conditions.
Remember when Bond prices move higher, home loan rates move lower...and vice versa. And this week, Bond prices took a very steep dive indeed, causing home loan rates to worsen. The chart below shows how Bonds were pushed sharply lower by the news of the week, and an inability to defeat a strong overhead ceiling of resistance at the 200-day Moving Average. If this week's news isn't Bond friendly, Bond prices could continue their dive lower, and cause home loan rates to worsen further still...but some negative economic news could pull money out of Stocks and into Bonds, give Bonds a boost higher, and help home loan rates regain some lost ground.
