The national housing market is dealing with an issue of supply and demand right now and it’s impacting both buyers and sellers.

Specifically, the national housing market has too few people selling their homes compared with the number of people who want to buy homes, according to a recent report from Standard & Poor’s/Case Shiller.

This is consequently driving home prices up, which in some cases is making available homes for sale unaffordable to buyers.

It’s certainly a unique situation and one that both home buyers and home sellers are going to need to learn how to navigate in the coming months.

Recent National Housing Market Activity Explained

Here’s what we know based on the recent Standard & Poor’s/Case-Shiller 20-city index:

• Last year saw a 13.4 percent jump in the average price of a home sold.
• Average prices nationally are expected to increase by single digits this year.
• The gains are expected to be the strongest in those cities with strong job growth, including Seattle and Austin.
• Meanwhile, lenders are beginning to ease barriers for those with less-than-ideal credit, meaning that these home buyers could find it easier to qualify for a mortgage and buy a home.
• Currently there are about five months worth of homes on the market, compared with 5.9 months in 2012 and 8.3 months in 2011.
• Part of the explanation of low housing inventory is the fact that about 19 percent of home owners remain underwater on their mortgages, which may deter some sellers from listing because their sales price may be less than what they owe.
• And an additional 37 percent are “effectively underwater,” which means that their sale would not be enough to cover the cost of listing their home as well as putting a down payment on a new home.
• But luckily, warmer weather, job growth and a more robust economy are expected to help encourage more home owners to list their properties this spring.

Experts also believe that the rise in home prices will help the problem correct itself. After all, as sales prices continue to rise, it will lure more home owners to list their properties.

This in turn could lead to more listings, which might ease the bidding wars among buyers and help lower sales prices to make them more affordable.

And That’s Paramount to First-Time Home Buyers

After all, this segment of the market really fuels market growth and promotes overall market health.

But right now, these first-time home buyers are buying fewer homes because of lack of affordability. For instance, they purchased 1.5 million homes in 2013, which is about 500,000 fewer than they would have typically, on average.

Still, that situation appears to be improving as well, albeit slowly. For instance, about 738,000 people ages 25 to 34-year-old found jobs in the past year, meaning they will have more disposable income and financial power to buy their own home

Add to that the fact that mortgage companies have eased their lending standards slightly to reach a larger audience and you have the right conditions for a greater housing market recovery.

Keeping An Eye on the National Housing Market for You!

We hope you found the above information helpful as a home buyer or home seller. We definitely believe that one of the surefire ways to have a successful outcome on the local housing market is to stay informed about what’s going on at the national level.

Check back again here soon for further updates. For now, we hope you have a great day!

Sometimes property owners are faced with the question, “Do I sell or rent my home?”  The answer depends  upon the current real estate market, home equity, (The difference between market value and mortgage value on    the home) and the property owner’s goals or circumstances. Read the rest of this entry

If you’re currently trying to sell your property in the Hilton Head Area, great news: it’s about to get very, very busy for you and I.  That’s because national real estate experts are projecting that this spring will see even more home buying activity than is already expected for this time of year. Read the rest of this entry

Great News...about the Hilton Head Area.  We have put together a list of recent awards and accolades with links to these articles.  It is our hope that these will inspire you to make a trip or send an  inquiry to us or your REALTOR about the great properties and awesome place we live in.  138 properties sold since March 1st just on the Island and we will try to save you a seat!  Read the rest of this entry

Corelogic just released some exciting news from the national housing market: Home prices are back on the rise!

The real estate data provider reported that home prices increased 0.9 percent in January after falling 0.1 percent in December.

And this is indicative of a larger trend, Corelogic reported. After all, over the last 12 months, prices have actually risen a total of 12 percent, which is the biggest year-over-year gain in over eight years!

Home sellers are sure to be encouraged by this recent development because it means that they have a better chance of getting the price they want for their property.

Housing Market Gaining Strength, According to Recent Data

Here’s an overview of recent activity on the national housing market:

• Although home prices increased, total home sales actually dropped in January. The National Association of Realtors reported that sales dropped to their lowest level in 18 months.
• However, the total number of available homes for sale remained low, which is why experts believe prices increased, at least in part.
• The average rate on a 30-year mortgage showed a 1 percent year-over-year increase, which means that home buying costs are a little higher.
• Meanwhile, builders started working on 16 percent fewer homes in January when compared to December. That marks the second straight month for decline.
• Despite recent increases, national home prices are still 17 percent lower than when they were at the peak of the housing market bubble in April 2006.
• In three states (Louisiana, Nebraska and Texas), prices have set highs. Meanwhile, in 19 additional states, prices are within 10 percent of their peaks.
• Those states with the largest year-over-year price gains in January were: Nevada (up 22.2 percent), California (up 20.3 percent), Oregon (up 14.3 percent), Michigan (up 13.7 percent) and Georgia (up 13.4 percent).
• Mississippi was the only state to show declines in home prices.

Homes With Negative Equity are Decreasing

Also recently, Core Logic reported that a total of 4 million U.S. homes returned to positive equity in 2013.

This means that the total number of mortgaged residential properties in the country is now at 42.7 million!

Meanwhile, roughly 6.5 million homes (or about 13.3 percent of all mortgaged homes in the country), still had negative equity by the end of 2013.

The decrease in homes with negative equity is another piece of good news for home sellers because it means that home prices throughout the community will be on the rise!  And that is sure to affect the price they can get for their own property.

Your One-Stop Shop for National Real Estate News

Check back to our website on April 1 for more pertinent national real estate news that affects you.

After all, one of the keys to ensuring a successful outcome on the local housing market is to enter it as an informed and prepared buyer or seller.

Hilton Head Island real estate   offers cycles.  There is a time to buy and a time to sell and based on   my 28 years of experience  and expertise a land buying cycle is upon us.    I know the cycles…let me explain.

On July 15, 2013 I e-mailed my friend   Sam, who also works with Hilton Head Properties, with my intent to send out   an e-blast in July 2013, referring to lots selling. Well, this was put aside   and did not make my subject list because timing was just a bit too early. I   found these e-mails in a stack of papers on my desk, read them, and said,   ” Now is the time to buy land on the Island!”

The reason it did not go out was it was all but impossible to get financing, so it was not a liquid investment.  I knew this would change, and probably soon. Evidence of this was you could put a house on a lot and the value of the land shoots up because financing was readily available.   But land by itself just sat on the market without financing.  Fast forward to today and financing is now available for land purchases.  What does this mean?

 Buyers can now purchase land at   historically low values.  Land prices have dropped to   “compelling” as a result of home selling during the recession for   less than the replacement cost of the bricks and mortar.  Now as home   values increase or are restored to value on the Island and inventories have   started decreasing purchasers are once again looking at land.  And there   is simply not enough to go around.  Most everything has gotten run back   up from the bottom of the crash (stocks, homes, condos, etc), but there are   still deals to be had in land. That’s my story and I’m sticking to   it…”

IT IS NOT TOO LATE! Banks have   started lending on vacant lot’s again and lot’s are selling. Supply is falling and demand is rising. I estimate 50% of our lot inventory is OLD   Inventory and Unbelievable Prices – 40% to 60% off of their highs.

Land has historically produced   amazing returns on these leveraged investments. Land is easy to maintain and offers options including hold, trade, sell or build. However, many customers   buy land NOW to build what they want in the future, trade for a villa, or at some point in the future sell land to buy what they want. They get a foot in the door the easy way.  The early bird get the worms so I hope you will   call or e-mail me soon. Listed are only a few best buys. Why?

E-mail or call me and I will share with you – numbers do not lie. Looking forward to hearing from you and   seeing you soon.

“Buy land, they are not  making anymore…especially on an Island that is 97% developed.” – Tad  Segars

MLS: 323602    List Price: $149,750

Description: Location! 6th Row! Baby steps away from beach! Listen to the waves lapping the sugar sand & smell the salt air. Price is The Best Buy! Shop the rest. New homes all around. Private street, yet short walk to beach, tennis, park, dining, & world class Westin Resort. Freedom! No HOA, yet million dollar neighborhood! This location was valued at $575,000 in 2005, unbelievable buy!

MLS: 314010  List Price: $229,900

Description: Ocean Oriented! Walk or bike to beach. Enjoy the convenience of central island location and quick access to Chaplin Park amenities (tennis, soccer fields, dog park, etc.) Corner lot.

Contact Tad Segars for more information on these properties today..

Office: 843-785-7111 x 3

Cell: 843-338-1244

Fax: 866-842-3270

tad@tadsegars.com

www.tadsegars.com

Home buying fervor has driven home prices to their largest annual gain since 2005, according to a recent article in the Wall Street Journal.

Evidently, home buyer interest – fueled by low mortgage rates as well as reduced inventories – helped drive prices up in 2013.

Now, experts are saying that home buyers and home sellers can expect price gains to level off in the wake of the home buying frenzy.

Key Statistics For National Home Buyers or Sellers

According to the Standard & Poor’s/Case-Shiller price index, U.S. home prices increased 11.3 percent year-over-year during the fourth quarter.

Meanwhile, the Case-Shiller index that measures home prices in 20 major metropolitan areas reported that prices increased 13.4 percent during that same period of time.

And another index, which is calculated by the Federal Housing Finance Agency, reported that prices increased 7.7 percent, to an eight-year high.

More News You Can Use

Here’s what else real estate analysts recently reported about the national housing market:

• Home priced decreased 0.1 percent from November to December in the 20-city index.
• That marked the second straight monthly decline.
• Experts noted that the monthly declines during the fourth quarter were actually the smallest for that period in eight years.
• Meanwhile, in January, sales of previously owned homes dropped 5.1 percent from a year earlier, according to the National Association of Realtors.
• Home builders across the country reported increased profits in recent months. For instance, Luxury builder Toll Brothers said it saw a 21 percent year-over-year increase in its average sales price during the quarter ending in January.
• However, the builder also reported that new contracts for homes during that same quarter decreased 6 percent year-over-year.
• Meanwhile, all 20 cities reported annual gains last year, including Las Vegas with the largest at 25.5 percent and San Francisco following close behind with 22.6 percent.
• Across the US, home prices have increased 21 percent after bottoming out in early 2012.
• Home prices, which dropped 35 percent between 2006 and 2012, now are 21 percent below their previous peak.
• Now, home prices are at the levels they were in mid-2004.

Experts say that the rising home prices are good in one sense, although they may also curb home buyer activity as homes become increasingly less affordable.

Still, in the long run, the leveling out of price gains is a good thing because it means a more stable and robust housing market.

Your National Real Estate Experts

We hope you stop by our blog again soon to get the latest information on national housing market activity.

We’re your national real estate experts and we’re here to help you make an informed decision on the market as a buyer or seller!

If you are getting the HEEBEE JEEBEES from all the snow, the shoveling, the traffic delays and the cold…check out Jet Blues new fares from Boston and New York.  If you are flying from these areas to Savannah-Hilton Head, visit Jet Blues airfare here.  If you are flying in from someplace else, check out HipMunk as they find some incredible airfare deals.  Of course, we have some corporate deals at some of Hilton Head’s best resorts.  E-mail us, we will find a home, villa or oceanfront that you will love.

Changes are afoot on the national housing market that suggest that this year is going to increasingly favor the home seller. And that means buyers will likely be paying more for real estate in 2014.

According to a recent news article, the National Association of REALTORS® recently reported that nearly 5.1 million homes sold last year, which is the highest rate it’s been since 2006.

Meanwhile, values are rising as home sellers grow increasingly tired of selling their home for “cheap.”

Although this is resulting in longer Days on the Market averages, it also means that home prices are rising.

A Look Back at 2013 Activity

Here’s an overview of national real estate activity, according to December data:

• From January to December 2013, there were 4.87 existing home that were sold on a seasonally-adjusted annualized basis.
• That figure is one percent higher from the month before.
• For 2013 overall, there were 5.09 million home sales, which is a nine percent increase from the year before.
• What’s more, that figure is the highest reading it’s been since 2006.
• Meanwhile, home builders reported increased buyer foot traffic. In fact, they said the activity had reached a 7-year high.
• And by December 2013, the home supply was down to 4.6 months. This means that if activity stayed the same, all available homes for sale would be sold in that time frame.
• The latest report also revealed that homes are not selling as quickly as the year before.
• While 28 percent of homes sold in 30 days or less, the Median Days on the Market actually increased substantially, from 16 to 72 days.
• In fact, Days on the Market has been steadily increasing for the last seven months.
• Here’s another thing to note: home prices have increased more than 20 percent in some regional housing markets over the last year, in part because of bidding wars.
• In December, foreclosed homes had a median Days on Market of 67 days.

A Look Ahead to 2014

Experts predict that cold weather in December and January may have created even more pent-up home buyer demand, which could bode well for housing market activity in the coming months as temperatures warm up.

Experts are also saying that while home sales have slowed over the last several months, competition is greater than ever.

This is aided by the fact that home sellers are feeling more confident than ever. They’re no longer worried about whether their home will ever sell, they’re worried about getting the best price possible for their home.

Thus, many have raised their list prices to values that they think are reasonable instead of pricing them undervalue in an effort to attract buyers.

While this might slow the momentum a little (and thus lead to longer Days on the Market), the long-term effect will be that prices will rise as buyers realize this is not a passing trend.

Your #1 Source for National Real Estate News

Please check out our website again soon to receive national real estate market updates and see how recent activity may affect your efforts as a buyer or seller.

We love creating great marketing, selling property and having fun on Hilton Head Island.  Thanks to all the agents that attended the International Paleo Cuisine Tasting at 17 Firethorn Lane.  Although the final count has not been confirmed, we had over 300 virtual visitors and almost 100 local Hilton Head REALTORS in attendance…even with the rain.  It is our hope that one of these agents brings the buyer for this incredible home , wins the free iPad…or both!  Thanks for coming out. Read the rest of this entry