The Primary Mortgage Market Survey® (PMMS) revealed on November 1st by Freddie Mac shows continued lowered interest rates, dipping below last week’s rates. This is good news if you are a Cobb County home owner hoping to sell your home.

Combining those low rates with news of Freddie Mac’s announcement that delegation agreements have been signed with mortgage insurance companies allowing Freddie Mac servicers to approve short sales more easily, may create even more sales than expected in the coming winter months and keep homes at risk of foreclosure available to Cobb County home buyers, too.

Senior Vice President of Servicing and REO at Freddie Mac, Tracy Mooney, is excited about the news as it will allow distressed Cobb County sellers to avoid foreclosure by making short sales a reasonable alternative. “We applaud the nation’s mortgage insurers for committing to work with us and our servicers to help more borrowers obtain short sales and other foreclosure alternatives,” she said. “By paving the way for more borrowers to avoid foreclosure, today’s announcement will support the housing recovery and help reduce taxpayer losses.”

Eligible buyers can currently lock in rates averaging 3.39% (.7 points) on a 30 year fixed rate mortgage or a 2.70% (.7 points) on a 15 year fixed rate loan as reported in the PMMS. The 5-year Treasury-indexed hybrid adjustable rates averaged 2.74% (.6 points) and the 1-year Treasury-indexed adjustable rates logged in at 2.58% (.4 points), showing consistent downward trends across the board.  Interested?  Talk to one of my Preferred Lenders for more details.

If you are a Cobb County home owner looking for a way to avoid foreclosure and are interested in a short sale, now is the time to sell your home. Contact me to discuss the new options made available with these announcements. I’d like to help in any way I can.  To find out more about the Freddie Mac announcement on short sales, click here.

The West Cobb County housing market has seen tremendous changes over the last 8 months.  As usual, the media is slow to publish the positive trends that we are seeing in the market, and especially in the Cobb County housing market.  It used to be that I had houses for sale but couldn’t find buyers.  Now the tables are turned and we have buyers who can’t find houses.

Around the first of the year, buyers (including local, national and international investors) realized that a combination of historically low interest rates (4% or lower) and low home prices was too good to pass up.  As of the end of June, home sales in West Cobb County were up 18.8%.  In fact, West Cobb’s home sales have been up 6 consecutive quarters so it appears that this is sustainable growth.

Another great indicator of improvement is that we are seeing increased number of sales in all price ranges under $500,000 whereas in the preceding quarters most of the improvement was in the under $200,000 price range.

Despite the increase in number of homes sold, home prices continue to feel the downward pressure from sales of foreclosure properties and short sale properties.  This is especially evident in the under $100,000 price range where 77% of all homes sales were distressed and the $100k-$200k price range where 40% of all homes sold were distressed.  Overall, 47% of homes sold in West Cobb were distressed.  

The median homes sales price dropped 4% primarily because of the significant increase in number of homes sold under $100,000.  In my opinion, we will not witness substantial price appreciation until the market has fewer distressed homes for sale.

Another good sign that the market is improving is that it is taking fewer days for homes to sell.   On average, homes are going under contract in 84 days – which is a 29% decrease over last year.  And, when a home is listed at the correct price it is, on average, going under contract in just 24 days.  If the listing requires a price reduction to get an offer it takes, on average 187 days to get a contract.

Homes that are aggressively priced are experiencing multiple offers and, oftentimes, are selling for more than the list price.  In fact, in the second quarter nearly 1 out of every 5 transactions in Atlanta were for more than the list price.  I called on one listing last month that had 42 offers!  We have investors looking to buy homes that have to make up to 10 offers before the “win” the bid on a property.  There truly are some amazing deals in the marketplace but based on the current demand the window of opportunity is closing fast.

The Atlanta and Cobb County markets have seen significant improvement in months of supply.    According to the National Association of Realtors, when there is a 6 – 7 months supply of homes for sale it is considered a “balanced” market.  If there are less than 6 months of housing inventory (based on the current rate of home sales) then it is considered a seller’s market.  Essentially what this means is that there are more buyers than there are homes for sale.

As of the end of June, it is considered a “seller’s market” in all price categories under $500,000.

For homeowners who have been reluctant to list their home due to the slow market they may now want to try to list and take advantage of the current supply/demand shift while they have less competition and a better advantage.    Also, the effect of distressed properties on selling prices for all properties has been somewhat offset by the lower inventory, so this could be a better time to sell than in many recent periods.

For buyers, the supply/demand relationship has, at least temporarily, shifted to the seller’s advantage.  If that should continue, fast action and realistic offers will be necessary for buyers to capitalize on still low prices for available properties.  The good news is that prices are still historically low and interest rates are too, so the if the right properties is found, this is a very good time to be in the market.

Success Strategies for Sellers

• Choose to factor in the impact of distressed properties competing for buyers in your price range and location when setting initial listing price.
• Re-evaluate market trends continuously to re-assess pricing choice – avoid chasing the market.
• Choose to work with a REALTOR® that knows how to properly present your home in its best light through professional staging and photography and state-of-the art technology and Internet marketing.

Success Strategies for Buyers

• Evaluate the history of the listing to determine the motivation of the seller.  Making a low offer on a desirable property will most likely result in missing out on a great opportunity.  Conversely, making too high of an offer on a home that has been listed for a long period of time could result in paying too much.
• About 40% of the listings on most public websites (i.e Zillow, Trulia, Realtor.com) are no longer on the market – and it takes up to 7 days for new listings to hit these sites.  Work with a REALTOR that can provide you up-to-the-minute new listing reports so that you don’t miss out on a great opportunity.
• Be prepared to move quickly.  Have a preapproval letter from a reputable lender or proof of funds letter.  Basically, “if you sleep on it…you might not sleep in it!”

For market information more specific to your home or your buying needs feel free to call Connie Carlson at 678-631-1812 or email her at Connie@LivingInCobb.com.

This report provided by:

Connie Carlson, Associate Broker

Keller Williams Realty

678-631-1812

eMail: Connie@LivingInCobb.com

On the web:  www.LivingInCobb.com

Market Data Provided By: Chartmaster Services, LLC

RealValuator is a program that I have access to that scours hundreds of websites and public documents to track foreclosures before, during and after they are on the market.  These Cobb County Foreclosure Market reports are a great way to see a snap shot of real estate activity in a Cobb County.  Today, I have broken down the data to give you a snapshot of what is happening in the West Cobb County Foreclosure Market.  Specifically we will look at West Marietta Foreclosures, Powder Springs Foreclosures, Kennesaw Foreclosures, Acworth Foreclosures, and Smyrna/Vinings Foreclosures.  Basically, all of the property west of Interstate 75. Today’s Cobb County Foreclosure report focuses on properties with a price range between $50,000 and $2,500,000.

West Cobb County Foreclosure Market Report December 2011

The major trend to notice is the steady decrease in REO sales (244 sales), as compared to the steady amount of Market Sales (1,108 sales). With nearly a 4 to 1 margin, this is an indication that the market is getting closer to a correction where banks are moving less inventory, and the market is set to drive the inventory price.

This is great news for West Cobb home owners because it is an indication that the downward price pressures that we have seen for the last 4 to 5 years may be coming to an end.  In my opinion, lower priced homes are going to experience recover sooner because there is higher demand for these homes and less inventory than the Cobb County homes for sale above $250,000.  If you are in the market to buy a home and you were thinking about pursuing a good foreclosure deal, I recommend you get off your rump and give me a call.  The good deals are becoming fewer and fewer and they are selling faster and faster!!!

YES!  I WANT TO FIND A GOOD COBB COUNTY FORECLOSURE DEAL!  THEN START YOUR SEARCH HERE

5th Reason Why Now is the Best time to buy a home in Cobb County or Atlanta or anywhere. (stay tuned in the weeks to come for Four More Reasons)

Want to receive a Free eBook explaining all Seven Reasons to Buy a Home?  Click Here for details.

Search For Great Homes in Cobb County, Georgia

Find Foreclosures in Marietta, Georgia

6th Reason Why Now is the Best time to buy a home. (stay tuned in the weeks to come for Five More Reasons)

Want to receive a Free eBook explaining all Seven Reasons to Buy a Home?  Click Here for details.

Search For Great Homes in Cobb County, Georgia

Find Foreclosures in Marietta, Georgia

7th Reason Why Now is the Best time to buy a home.

Want to receive a Free eBook explaining all Seven Reasons to Buy a Home?  Click Here for details.

Search For Great Homes in Cobb County, Georgia

Find Foreclosures in Marietta, Georgia

Find out What  Living In Cobb County is Like?

West Cobb & Oakleigh Subdivision  - Housing Market Report

In West Cobb, after several positive market changes in the first half of 2010, signs of decline occurred again during the last half of the year. The effect of Federal Government stimulus actions during 4Q 2009-2Q 2010 have now expired, producing an apparent lapse in what had previously appeared to be the possible start of a recovery.

Even so, there were mixed indications of market direction in West Cobb such as the following:

Number of Sales

• • -6.1% lower YTD December, 2010 compared to the same period in 2009
  • 4Q 2010 down by -13.3% compared to 4Q 2009
  • Foreclosure percentage up slightly to 28.8% of 4Q 2010 sales, +5.6 percentage points above in 4Q 2009
  • Foreclosures were 48.5% of 4Q 2010 sales in the <$200K price range
  • Adding short sale transactions to foreclosures brings the portion of distressed sales to 40.6% of total 4Q 2010 sales
• Sales Prices
  • Median was lower again by -8.0% in 4Q 2010 compared to 4Q 2009
• Days on Market
  • 136 Days – flat compared to 4Q 2009
• Supply
  • Somewhat higher than in December, 2009 with11.0 months’ supply in December, 2010.

Several characteristics of this market changed during 4Q 2010.

Government homebuyer incentive programs likely caused an artificial uplift in many market measurements during the first half of 2010.  A result of that may be shown in a decline in sales following the expiration of the most recent stimulus programs.  Incentives may have caused some West Cobb buyers to move purchases forward in the year to take advantage of the incentive.

• The median number of days it takes to get a contract on a home remains high even though we are comparable with the 4^th quarter last year.
• More than 11 months of active listings exists when a balanced market is considered to be about 6 to 7 months supply.  Supply is extremely high in the higher price ranges for both new and resale properties.
• Distressed property sales represented more than 4 of every 10 sales, forcing prices lower and longer days to contract for non-foreclosure properties.
• The downturn in the second half of 2010 was somewhat exaggerated by the disruption of normal seasonal patterns resulting from the government purchase incentive programs.  However, even allowing for distortion, there were some troubling signs of market weakness in the degree of decline for some measures.  Limiting factors still exist in the economy that will take more time to turn around.  High unemployment, stagnant wages and high levels of foreclosure and short sale activity, may continue to combine to keep pressure on the market for some time to come.

Relevance to Sellers:
When viewing early 2010 market performance, Sellers should be mindful of the effect that buyer incentives created in the market.  That stimulus artificially boosted sales results through the first half of 2010, and likely moved some sales ahead as buyers hurried to take advantage of these incentives.  Lower median sales prices returned during the third and fourth quarters showing that buyer price resistance is still very high and suggesting that trying to price homes above market value will not likely be successful.

• Market-priced West Cobb properties continued to sell well at a median of 96.8% of their original listing price, within a median of 32 days on market, compared to a median of 76.7%  and 187 days for initially overpriced properties which made up 91% of listings in 4Q 2010.

Relevance to Buyers:

• Builders are offering more attractive pricing and buyer incentives to work off their smaller new home inventory.  New home median sales prices fell by -13.8% while resale homes were down by -11%.
• Properties that have been listed multiple times may indicate more highly motivated sellers resulting in greater discounts from list prices.
• Foreclosure, short sale properties and those that have been price-reduced may set up a more favorable negotiating environment for buyers, causing anxious sellers to negotiate away more of their listing price.

Distressed Property Sales around Oakleigh

According to statistics provided by RealValuator, in the last 12 months, 28% of home sales in Cobb County were bank owned properties.  Within a one-mile radius of Oakleigh Subdivision, foreclosure sales were considerably lower than Cobb County at an average 12.5% of all home sales.

As of March 8, 2011, RealValuator showed that there were 62 homeowners within one-mile of Oakleigh Subdivision that had received a foreclosure notice (they were behind on their mortgage).  There are an additional 21 homes that are currently in foreclosure and may, or may not be, on the market.  These homes represent what is called “shadow inventory”.  They represent actual and potential foreclosed properties that are going to be coming on the market – hence, putting additional downward pressure on our home values.

It is never good to have foreclosure sales in a neighborhood. And while these statistics are depressing, from the RealValuator reports that I ran on different areas of Cobb County, I can assure you that Oakleigh’s neighborhood is doing much better than other neighborhoods around Atlanta.

If you know of someone who is in trouble with their home, please advice them to call a REALTOR to discuss their options.  It is hard to fathom, but nearly 75% of all foreclosed upon homeowners never even tried to sell their home on them market.  As a Community, we need to work together to help our friends and neighbors avoid foreclosure by encouraging them to reach out to a local real estate professional.

As one of a number of Realtors who live and work in Oakleigh, I can assure you that we are all working hard to help maintain your home values.

Your Oakleigh Neighbor,

Connie Carlson

Keller Williams Realty

678-488-9646

www.LivingInCobb.com

Connie@LivingInCobb.com

FOR A LIST OF THE HOMES CURRENTLY AVAILABLE FOR SALE IN OAKLEIGH SUBDIVISION VISIT

www.OakleighHomesForSale.com

FEBRUARY-2011 Newsletter Housing Trends eNewsletter

Welcome to the most current Housing Trends eNewsletter. This eNewsletter is specially designed for you, with national and local housing information that you may find useful whether you’re in the market for a home, thinking about selling your home, or just interested in homeowner issues in general.

The Housing Trends eNewsletter contains the latest information from the National Association of REALTORS®, the U.S. Census Bureau and Realtor.org reports, videos, key market indicators and real estate sales statistics, a video message by a nationally recognized economist, maps, mortgage rates and calculators, consumer articles, plus local neighborhood information and more. Please click here to view the FEBRUARY-2011 Newsletter Housing Trends eNewsletter.

If you are interested in determining the value of your home, click the Home Evaluator link for a free evaluation report.

The cost of overpricing your home in a declining market is REAL!  For the last few years I have seen homeowner after homeowner lose money because they did not price their home correctly from the start.  In this video, I will show you the market statistics that prove this to be true for the Atlanta housing market.

In 4th Quarter 2010, homes in Atlanta went under contract, on average, in 120 days for about 84% of their original list price.  What is astonishing is the differences between homes that were priced correctly and those that required a price reduction to sell.  If the home owner priced the home correctly, they were, on average, under contract in 28 days.  Compare this to homes that were not priced correctly which took between 103 and 303 days to get a contract.  OUCH!  That is nearly a year!!!!

If you would like to know what you need to do to avoid losing money AND get your home sold in 30 days then send me an email at Connie@LivingInCobb.com or give me a call at 678-631-1812.

Information courtesy of Chart Master Services.

Did you know that pricing your West Cobb home at a lower price can actually help you make more money? Strange as it may sound, this is oftentimes the case here in West Cobb and Atlanta.

Here is what I know. We are experiencing a Buyer’s Market in West Cobb and Atlanta. In the fourth quarter of 2010 there were 10 sellers (supply) for every 1 buyer (demand)! Let me ask you a basic economics question…According to the Law of Supply and Demand, when supply exceeds demand what happens to prices?….they go down…exactly.

Because we are in a declining value market, it is more important than ever that you consult with an agent who is experienced in pricing homes. Why? Because if you miss the price you will end up losing even more money (and time) languishing on the market for up to a year (or more in the higher price ranges).

In this video, I will show you actual statistics showing the cost of overpricing. Please share your comments, concerns or opinions.

If you would like to know what you need to do to avoid losing money AND get your home sold in 30 days then send me an email at Connie@LivingInCobb.com or give me a call at 678-631-1812.

Information courtesy of Chart Master Services.

The median days on market of homes in West Cobb County, Georgia declined in 2010 compared to 2009 and 2008.  In my opinion there are four primary reasons that homes are selling faster.

1. Agents are either getting better a pricing
2. Homeowners are getting real about the value of their home
3. Banks are adding aggressively priced inventory to the market
4. Buyers are realizing the opportunities in the West Cobb market and are starting to buy more homes.

In this video, I will present the most current information available regarding Median Days on Market*in West Cobb. County, Georgia.  What are you seeing in your market?

If you would like to know, more specifically, how long it taking to sell homes in your neighborhood, call Connie at 678-631-1812 or send her an email at Connie@LivinginCobb.com

*Median Days on Market is the number of days it takes from the day it is listed with an agent to the day it goes under contract.

Information courtesy of Chart Master Services.