The Week in Review Wilmington NC January 25 2009

The Week in Review

…..your Wilmington Connection

January 25, 2009

Back to warmer temperatures…thank goodness the whole city shut down with maximum of 2 inches of snow. Weather is back to normal here. The real estate market has been seeing some big movement. I had 4 showings on just one property and a multi offer on one….is this the real estate market we are hearing about? Hmm I dont think so.

 

Obama and the Troubled Asset Relief Program

As Congress and the new Obama administration consider additional initiatives for the Troubled Asset Relief Program, the NATIONAL ASSOCIATION OF REALTORS® is continuing its push for a comprehensive U.S. strategy that will stimulate home sales, prevent foreclosures, and restore confidence in the housing market.

“The housing sector is at the core of the current economic crisis,” NAR President Charles McMillan said. “A renewed, revitalized and robust housing market is essential to generating commerce and helping families build wealth and stability. We are eager to see this happen and look forward to working with the Obama administration and Congress to quickly implement housing stimulus efforts.” 

 

 

The proposed Monkey Junction annexation area just got bigger, and Alford’s – a Carolina Beach Road fixture – is now in it. That news left store owner Jack Alford Jr., who didn’t learn of it until Thursday morning, less than thrilled.

“I didn’t ask for it,” Alford said. “It don’t matter though, does it?”

The city’s latest annexation plan includes 218 more acres, mainly commercial and residential areas that border the west side of Carolina Beach Road. It also includes a commercial stretch just east of South College Road and north of Piner Road.

The total annexation area now includes about 1,040 acres and about 3,900 people, according to city estimates.

At its Feb. 3 meeting, City Council is expected to consider a resolution of intent to annex the area. That would start the long annexation process. Barring lawsuits or other delays, it is currently slated to take effect in mid-2010.

City leaders have long said they planned to annex the area around Monkey Junction and released a map last year showing the proposed boundaries.

But recently, after a survey of the area, city officials learned that land annexed voluntarily in 1997 – land that isn’t connected to the existing city limits – lies between the northern and southern parts of the proposed annexation area.

The 1997 area stretches all the way from Carolina Beach Road to South College Road and includes the roads themselves, an important detail found by surveyors.

 

NAR supports Chairman Barney Frank’s proposal, H.R. 384, the TARP Reform and Accountability Act, introduced earlier this month. This bill contains key components of NAR’s Housing Stimulus Plan, including enacting a mortgage buy-down program to reduce interest rates below prevailing rates, increasing foreclosure prevention and mitigation efforts, and providing needed liquidity to the residential and commercial mortgage markets to ensure that financing is available.

 

Home Buyer Tax Credit

 If all home buyers become eligible for a tax credit without a repayment feature, it could result in an additional 555,000 home sales – enough to meaningfully draw down excess housing inventory, according to the National Association of Realtors^®.

An evaluation of options for a home buyer tax credit by NAR shows wide ranging implications and benefits. A full credit to all buyers means an additional 2.22 million households would meet the income requirements for purchasing a home, but only one in four of those households would actually make a purchase.¹

Under the current $7,500 first-time home buyer tax credit, which must be repaid over 15 years, 264,000 households meet the purchase requirements. Using the same assumptions, with plans to hold their home for a median 10 years, it would mean only 66,000 additional sales.²

Lawrence Yun, NAR chief economist, said NAR is advocating a tax credit for any home purchase meeting qualifying underwriting standards.

until next week in The Week in Review

Tina

Monkey Junction Annexation

The Week in Review Wilmington NC January 18, 2009

The Week in Review

…..your Wilmington Connection

January 18, 2009

Cold this week in Wilmington. Brrrrr…The Real estate market has been dragging a bit…but on a high note there has been a lot more activity these last two weeks than we have seen in the last 2 months. I hope this is a sign that buyers have taken on board that this is the best time as any with the interest rates at the lowest they have been in 50 years.

50 years! So if you are planninng on buying anytime soon you would be crazy not to do it now!

In the last six months 1,276 homes have sold and 726 listings have expired. With only 1,276 homes sold in the last 6 months, that would mean we have approximately have 12.8 , so wouldn’t you think that sellers would be very motivated to sell?

Contact me if you are ready to look at some homes, or if you are planning on selling and would like to find out what your home is worth ?

 

Obama Inauguration Spurs Hopes for Housing

Brokers are optimistic that the change in administration next week will have an impact on the extremely sluggish housing market, according to a “Housing Beat” survey of its members by Leading Real Estate Companies of the World(r). Over three fourths of those responding felt that the changing of the guard will have a moderate to significant influence.

Mortgage rates drop below 5%

 

Rates on 30-year mortgages set a record for a fifth straight week by dropping to below 5 percent, the lowest mark since Freddie Mac started tracking the data in 1971.

Mortgage rates have been dropping since late November, when the Federal Reserve said it was going to pump money into the banking system by buying $500 billion in mortgage-backed securities to get banks to lend more money and perhaps aid the ailing U.S. housing market.

Freddie Mac reported Thursday that average rates on 30-year fixed mortgages dropped to 4.96 percent this week from the previous record low of 5.01 percent established last week. It was the 11th straight weekly drop, and way below the rate of 5.69 percent at the same time last year.

Circle B Trailer Park residents face loss of homes to development

The owner of the 8-acre Circle B property, Circle Properties LLC, wants to build a six-building, 144-unit apartment complex, Cardinal Crossing.

Last July, Circle B Properties and Biltmark Construction, the builder, sent one-page letters to the residents informing them that the companies are “exploring the possibility” of redeveloping the site.

“Many details remain to be worked out, but if we obtain the needed approvals, and if the project is otherwise viable, you will be given notice to remove your trailer from the premises,” the letter stated, adding that their “best guess” for that notice would be between June and September 2009.

The next step for developers is to ask City Council to rezone the property from regional business district to multi-family residential – medium high density. A public hearing and vote are slated for the council’s Feb. 3 meeting.The project has the backing of Wilmington city planners, as well as the Planning Commission, which unanimously endorsed it earlier this month.

until next week in The Week in Review

Tina

The Week in Review Wilmington NC January 11 2009

The Week in Review

….your Wilmington Connection

January 11, 2009

Currently in Wilmington there are 2589 Homes on the Market. 8% of these are under contract, just a little over 200 homes. Currenlty the average list to sell price is 94%. The price range of $700,000 and above are looking at 35 months worth of inventory. That means if nothing comes on the market in that price range this is how long it will take to sell these homes. Thinking of selling your home? There are two things that are most important. Pricing and an agent that knows how to market your home on the internet. Let me know if you have any questions or would like to sit down and talk about this.

If you are a buyer the world is your oyster now, dont wait to long though there are talks of the interest rates going up again. Email me and lets find out what your needs are.

 

Condo developers apply to work in the Intracoastal Waterway

The company planning to build two 135-foot-tall condo towers near Oak Island has submitted an application with the Army Corps of Engineers to work in the Intracoastal Waterway.

The application is the next step in the permitting process for the project, and the company hopes to have all permits in 45 days, said Steve Saieed, consultant for Oak Island Property Holdings LLC.

“All we’re trying to do is just complete our permit process,” he said.

Oak Island Property Holdings LLC has plans to build a marina and dry-stack boat storage facility on Oak Island’s mainland where the former Sandy’s restaurant and dock now stand.

The project also includes the two high-rise condominium buildings and three smaller buildings in Brunswick County territory.

But how soon ground will break on the project depends on when the slumping housing market rebounds.

Saieed said he is hoping to start construction on the marina in a year and the condos by 2011.

NAR Offers Clarification on the Required Size of a Down Payment for a Mortgage

There is some misinformation in the media lately about the required size of a down payment for a mortgage in today’s market, and the blog world is abuzz with misperceptions. Not all so-called experts are knowledgeable in this area, and some experts are being misunderstood.

The facts:

An individual may be required to put down 20 percent based on that person’s financial situation. But that is not an across-the-board requirement for all borrowers. A borrower who puts down less than 20 percent is required to obtain mortgage insurance. Even in a declining market, a borrower is required to make at least a 5 or 10 percent down payment. FHA requires a 3.5 percent down payment by borrowers, so long as they meet a 31 percent housing cost-to-income ratio. In other words, anyone who stays within their budget and who can afford a 3.5 percent down payment (even with family help) can become a homeowner.

PLEASE NOTE: FHA market share has grown roughly tenfold in the past year to an estimated 30 percent of new mortgage originations.

 

….until next week in The Week in Review

Tina

The Week in Review Wilmington NC January 4, 2009

 

 

The Week in Review

…..your Wilmington Connection

January 4, 2009

Another year is over and a new one beginning. I sincerely hope all
turned out the way you wished for in 2008.

May all the dreams in your eyes and all the desires in your heart
blend together to give you the most spectacular 2009.

Real Estate in Wilmington. The average sales price has been $243,445 and the list versus sales ratio has dropped a tad to 94% with an average of 146 days on the market. Thinking of selling your home. Try the free market analysis .

 

NC is The Fourth fastest Growing State in US, Census Report Shows

North Carolina’s population rose 2 percent during the past year, making it the nation’s fourth fastest growing state – and the most rapidly growing of any state east of Texas, a new report shows.

The state gained almost 181,000 residents from July 2007 to July 2008, according to the report released Monday by the U.S. Census Bureau. With a 2008 population of 9.2 million, North Carolina remains the nation’s 10th largest state.

While the new figures don’t reflect any changes during the past five months, when the economy registered its sharpest declines, they do show the state’s growth rate is slowing. From 2006 to 2007, the state’s population increased 2.17 percent.

NC ranked Second Best Business Climate

Ease of transportation is one of the things considered in ranking North Carolina as the second best business climate in the country.

According to a recent survey done by development counselors international, North Carolina ranks behind Texas as the most desirable business climate.

Executives cite a strong labor market, low operating costs, and a pro-business climate as the main influences on their rankings.

Billy King of Wilmington Industrial Development says businesses can take advantage of those same qualities right here in the Cape Fear area.

“I think our diversity in the size and the types of businesses that we help recruit and help expand has served our region very well,” said King.

The survey says the perception about a location’s business climate often plays a crucial role in site selection, and where companies invest money and create jobs.

For the last 10 years, North Carolina has ranked in the top five business climates.

This may be the year you really want to file your income tax returns early.

For first-time homebuyers, it’s a chance to get your hands on up to $7,500 via a tax credit approved by Congress last year.

It offer a stimulus to those who have spent their last dollar to buy a home. That $7,500 could help pay for furniture, pay off credit card debt or replenish savings.The tax credit is actually a no-interest loan that must be paid back over a 15-year period.

There is a way to tap into the equivalent of the tax credit sooner than when you file your 2008 or 2009 tax return.

Prospective homebuyers who believe they qualify for the tax credit are permitted to reduce their income tax withholding, according to the National Association of Home Builders tax credit Web site – www.FederalHousingTaxCredit.com.

Reducing tax withholding (up to the amount of the credit) will enable the future homebuyer to accumulate cash by raising his/her take-home pay. This money can then be applied to the down payment. Buyers should adjust their withholding amount on their W-4 via their employer or through their quarterly estimated tax payment.

What homes qualify?

Any home purchased by an eligible first-time homebuyer will qualify for the credit, provided that the home will be used as a principal residence and the buyer has not owned a home in the previous three years. This includes single-family detached homes, attached homes like townhouses and condominiums, manufactured homes (also known as mobile homes) and houseboats, according to the National Association of Home Builders.

...until next week in The Week in Review

Tina