Market Seems To Be Improving In Skagit County Washington
Market Seems To Be Improving In Skagit County Washington
Existing-home sales fell in January to the lowest level in a year-and-a-half, but ongoing inventory shortages continue to lift prices in much of the U.S., according to the National Association of REALTORS®. Total existing-home sales, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, dropped 5.1 percent to a seasonally adjusted annual rate of 4.62 million in January from 4.87 million in December, and are also 5.1 percent below the 4.87 million-unit pace in January 2013. Last month's level of activity was the slowest since July 2012, when it stood at 4.59 million. Lawrence Yun, NAR chief economist, said unusual weather is playing a role. "Disruptive and prolonged winter weather patterns across the country are impacting a wide range of economic activity, and housing is no exception," he said. "Some housing activity will be delayed until spring. At the same time, we can't ignore the ongoing headwinds of tight credit, limited inventory, higher prices and higher mortgage interest rates. These issues will hinder home sales activity until the positive factors of job growth and new supply from higher housing starts begin to make an impact." The median existing-home price for all housing types in January was $188,900, up 10.7 percent from January 2013. Distressed homes -- foreclosures and short sales -- accounted for 15 percent of January sales, compared with 14 percent in December and 24 percent in January 2013. Eleven percent of January sales were foreclosures, and 4 percent were short sales. Foreclosures sold for an average discount of 16 percent below market value in January, while short sales were discounted 13 percent. Total housing inventory at the end of January rose 2.2 percent to 1.90 million existing homes available for sale, which represents a 4.9-month supply at the current sales pace, up from 4.6 months in December. Unsold inventory is 7.3 percent above a year ago, when there was a 4.4-month supply. A supply of 6.0 to 6.5 months represents a rough balance between buyers and sellers. According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage slipped to 4.43 percent in January from 4.46 percent in December; the rate was 3.41 percent in January 2013. NAR President Steve Brown, co-owner of Irongate, Inc., REALTORS® in Dayton, Ohio, said that in addition to disruptive weather, higher flood insurance rates are impacting the market in areas designated as flood zones, which account for roughly 8 to 9 percent of sales. "Thirty percent of transactions in flood zones were cancelled or delayed in January as a result of sharply higher flood insurance rates," he said. "Since going into effect on October 1, 2013, about 40,000 home sales were either delayed or canceled because of increases and confusion over significantly higher flood insurance rates. The volume could accelerate as the market picks up this spring." Congress is considering legislation to halt new flood insurance rates so the Federal Emergency Management Agency can complete an affordability study and determine the full impact of the law. The median time on market for all homes was 67 days in January, down from 72 days in December and 71 days on market in December 2013. Short sales were on the market for a median of 150 days in January, while foreclosures typically sold in 58 days and non-distressed homes took 66 days. Thirty-one percent of homes sold in January were on the market for less than a month. First-time buyers accounted for 26 percent of purchases in January, down from 27 percent in December and 30 percent in January 2013. This is the lowest market share for first-time buyers since NAR began monthly measurement in October 2008; normally, they should be closer to 40 percent. All-cash sales comprised 33 percent of transactions in January, up from 32 percent in December and 28 percent in January 2013. Individual investors, who account for many cash sales, purchased 20 percent of homes in January, compared with 21 percent in December and 19 percent in January 2013. Seven out of 10 investors paid cash in January. Single-family home sales fell 5.8 percent to a seasonally adjusted annual rate of 4.05 million in January from 4.30 million in December, and are 6.0 percent below the 4.31 million-unit pace in January 2013. The median existing single-family home price was $188,900 in January, up 10.4 percent from a year ago. Existing condominium and co-op sales were unchanged at an annual rate of 570,000 units in January, and are 1.8 percent above a year ago. The median existing condo price was $188,700 in January, which is 13.0 percent above January 2013. Regionally, existing-home sales in the Northeast declined 3.1 percent to an annual rate of 620,000 in January, and are also 3.1 percent below January 2013. The median price in the Northeast was $241,100, up 6.6 percent from a year ago. Existing-home sales in the Midwest dropped 7.1 percent in January to a pace of 1.04 million, and are 8.8 percent below a year ago. The median price in the Midwest was $140,300, which is 7.6 percent higher than January 2013. In the South, existing-home sales declined 3.5 percent to an annual level of 1.95 million in January, but are 1.6 percent higher than January 2013. The median price in the South was $161,500, up 9.4 percent from a year ago. Existing-home sales in the West dropped 7.3 percent to a pace of 1.01 million in January, and are 13.7 percent below a year ago. Sales in the West are attenuated by tight inventory in many areas, pushing the median price to $273,500, up 14.6 percent from January 2013. The National Association of REALTORS®, "The Voice for Real Estate," is America's largest trade association, representing 1 million members involved in all aspects of the residential and commercial real estate industries.
Author:Ed Finlan Phone: 360-661-4593 Dated: April 17th 2014 Views: 5,358 About Ed: I have been fascinated with real estate & its potential to grow wealth my whole life and have been a...
About Ed Finlan Group - Keller Williams Western Realty
Ed Has been fascinated with real estate & its potential to grow wealth his whole life and has been a real estate investor since he was in his early 20's.
Ed has a background in Construction & Real Estate Appraisal and will use these as well as his interpersonal skills to help you find your dream home, a piece of property to build your dream home or help you sell your home or property. He is also here to help you with your real estate investment needs no matter what level of investor you are.
Ed grew up in the Arlington, WA area and moved to the Skagit Valley in the late 80's. He was a Law Enforcement Officer for about 10 years as a K9 handler while at the same time assisting in his family's custom home building business. After being injured and leaving Law Enforcement he continues t o help in his families construction business and has also worked in sales and appraisal. He is married with a blended family consisting of 2 children and 2 step-children as well as a new grandson. He enjoys home brewing and wine making and is very active as a soccer referee.
Experienced in all aspects of construction and building as well as design & development.
Several years of residential home appraisal experience.
Highly skilled negotiator.
Familiar with all area's of Whatcom, Skagit, Snohomish & Island Counties.
Thoroughly versed in all aspects in home selling and buying.
Customer service friendly.
Knowledgeable about Real Estate Investing
Areas of Expertise:
Residential-Buyers and Sellers
For Sale By Owner assistance
Selling homes that other agents could not sell
Buying at the trustee (foreclosure) sale
Locating properties that have a good cap rate and cash flow for investment
Locating properties that have a good potential to rehab & resell (flip) for investment