Tetro Team's Atlanta Real Estate Blog

Housing and Economic Forecast Points to Rising Activity

Dawn Tetro — Thu, 19 May 2011 15:50:09 +0000

Home sales are expected to stay on an uptrend through 2012, although the performance will be uneven with mortgage constraints weighing on the market, according to experts at a residential real estate forum today at the REALTORS® Midyear Legislative Meetings & Trade Expo here. Lawrence Yun, NAR chief economist, said existing-home sales have been underperforming by historical standards and will rise gradually but unevenly. “If we just hold at the first-quarter sales pace of 5.1 million, sales this year would rise 4 percent, but the remainder of the year looks better,” Yun said. “We expect 5.3 million existing-home sales this year, up from 4.9 million in 2010, with additional gains in 2012 to about 5.6 million — that’s a sustainable level given the size of our population.” Mortgage interest rates should rise gradually to 5.5 percent by the end of the year and average 6.0 percent in 2012 — still relatively affordable by historic standards. “A huge volume of cash sales, supported by the recovery in the stock market, show that smart money is chasing real estate. This implies that there could be a sizeable pent-up demand if mortgages become more readily accessible for qualified buyers,” Yun said. “The problem isn’t with interest rates, but with the continuation of unnecessarily tight credit standards that are keeping many creditworthy buyers from getting a loan despite extraordinarily low default rates over the past two years.” Yun said that if credit requirements returned to normal, safe standards, home sales would be 15 to 20 percent higher. He added that some parents are buying homes with cash for their children, and offering them loans which provide better returns than bank accounts or CDs. Yun projects the Gross Domestic Product to grow 2.5 percent this year and 2.7 percent in 2012, adding 1.5 million to 2 million jobs yearly over the next two years. The unemployment rate should decline to 8.8 percent by the end of 2011 and average 8.6 percent next year, returning to a normal level of 6 percent around 2015. Housing starts are forecast to rise but remain below long-term trends, reaching 603,000 in 2011, up from 595,000 last year, and continue growing to 908,000 in 2012. New-home sales are seen at a record low 320,000 this year, rising to 487,000 in 2012. “A recovery in new homes will be slow because of the extra price discount in the existing home market,” Yun noted. In March, the typical new single-family home cost $53,300 more than an existing home. Inflation appears to be relatively modest for now, with the Consumer Price Index rising 2.9 percent this year. “We’ll be closely watching the impact of fuel costs on consumer spending and inflation — that would slow economic growth, job creation and home sales,” Yun said. Apartment rents are trending up, and are likely to rise at faster rates as vacancies decline. Following the correction in home prices, it has now become more affordable to buy in most of the country. “Twice as many renters had enough income to buy a home in 2010 in comparison with 2005, so we have a much larger pool of financially qualified renters,” Yun said. “Rising rents and excellent housing affordability conditions will encourage potential buyers who’ve been on the sidelines.” Yun expects the median existing-home price to remain near $170,000 over the next two years, which would mark four consecutive years of essentially no meaningful price change. Frank Nothaft, chief economist at Freddie Mac, holds similar views on the outlook. “Economic activity will accelerate this year — there will be no double dip in the economy,” he said. Nothaft is more optimistic on job growth, expecting 2.0 million to 2.5 million jobs created in 2011 with unemployment dropping to 8.4 percent by the end of the year. Nothaft expects the 30-year fixed-rate mortgage to trend up to 5.25 percent by the end of the year, and for home sales to rise 5 percent. “National home price indices are close to a bottom and prices are likely to bottom sometime this year,” he said. Refinancing activity in 2011 will be only half of what it was last year. “As a result, banks may become more willing to lend to home buyers,” Nothaft said. The National Association of REALTORS®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.1 million members involved in all aspects of the residential and commercial real estate industries. Courtesy of Realty Times

Buyers Bypass “Fixer Uppers” Want Move-in Ready

Dawn Tetro — Wed, 04 May 2011 14:21:58 +0000

Daily Real Estate News | May 3, 2011 | Share
Buyers Bypass ‘Fixer-Upper,’ Want Move-in Ready
More buyers are shunning “as-is” properties in favor of homes that are in move-in condition, according to real estate professionals and recent surveys.

For example, a Coldwell Banker survey recently found that 87 percent of first-time buyers say they desire a “move-in” ready home.

“This is absolutely the story of this market. It seems buyers will pay a premium, engage in a bidding war, and even overpay just to avoid buying a ‘project’ house,” says Beth Freed of Terrie O’Connor REALTORS® in Ridgewood, N.J.

As such, real estate pros are advising their sellers to fix up their homes for quicker sales. “There is no question homes that have been spruced up for the market sell quicker,” says Kate Conover with RE/MAX in Saddle River, N.J.

That doesn’t mean major, costly renovations that sellers won’t likely get back on the sale price either, she says. Instead of a major kitchen or bath renovation, just repainting the home or removing the clutter can go a long way in freshening up a home. Also, don’t forget about curb appeal: Freshen up the flowerpots, trim the bushes, and paint the front door, if it’s starting to show wear and tear.

Also with buyers wanting “move-in” ready homes, real estate pros say it’s crucial that sellers address any major maintenance and safety issues—such as leaky roofs—before the home even goes on the market.

Source: “Home Buyers Shun ‘Fixer-Uppers,” RISMedia (May 2, 2011)

A Steal of a Deal – House for Sale in Johns Creek , Northview HS!

Dawn Tetro — Fri, 25 Feb 2011 18:53:14 +0000

This Brick and Frame foreclosure is an unbelievably great deal for Johns Creek! Home is one of the most desirable floor plans, 3000 + sf, 4 bedrooms, 2.5 baths, valulted Family Room, huge kitchen, built-in bookcases on either side,of the fireplace, fenced yard and so much more. This stunning home sold below market in 2007 for $309,000 due to relocation . Average price for this floorplan at that time was easily in mid 300′s. Initial bank offering in late 2010 was $282k now at $214k ……Run! Don’t Walk! This home is located in a fabulous swim/tennis community and in the highly desirable , top performing Northview high school district! Call me for an appointment to see: 404-216-0884.

Crooked Creek Country Club Sales Activity 9/1/10 to 2/25/11

Dawn Tetro — Fri, 25 Feb 2011 18:18:26 +0000

Crooked Creek is a Swim & Tennis community built around a private golf club and located in Milton, Georgia in North Fulton County. The community is home to over 640 families and the largest community in Milton. Crooked Creek exudes the quiet Milton lifestyle and some of the best schools in Atlanta-metro with access to all the best of North Fulton. Located conveniently within 10 minutes from downtown Alpharetta, the fabulous new Verizon Amphitheater at Encore Park, the new high-end Prospect Park retail development, multiple parks, athletics facilities and GA 400 makes it an idyllic place to call home.

There are currently 37 homes for sale, 3 pending sale, and 14 that have sold since september 1, 2010.

Of the 37 currently available for sale, the highest price is $995,000 and the lowest price is $349,000.

Of the homes sold since 9/1/10, the highest sold price was $665,000 and the lowest sold price was $354,000.

Average list price for this period was $532, 892

Average Sales price for this period was $474,278

Average Days on Market: 101 days.

The Difference Between Pre-Qualification and Pre-Approval

Dawn Tetro — Fri, 11 Feb 2011 19:08:20 +0000

Pre-qualification is the first step in obtaining mortgage financing. A potential borrower answers a few questions to provide the loan consultant with a quick snapshot of the borrower’s income, existing debt, accumulated savings and whether or not there is a co-borrower. Signature(s) allow the loan consultant to run a credit report and begin to determine what loans are good candidates for this particular client. However, there are literally thousands of loan programs available. It is important for the loan professional to know the long-term financial objectives of the prospective homeowner.

Pre-approval is a written documentation that proves the borrower has full support of a lender. It means the form 1003 Uniform Residential Loan Application has been completed and reviewed by an underwriter. Based on the borrower’s income, debt ratio and savings, the underwriter will provide a dollar amount this borrower is eligible for. Now the borrower has the convenience of shopping for a home in the price range agreed upon by the lender.

Pre-approval allows potential homeowners to shop as cash buyers, and that means negotiating power. Sellers will take an offer from a pre-approved shopper much more seriously and may even accept a lower bid because they know the financing is in place and the deal is secure.

Is now the time to buy?

Dawn Tetro — Thu, 10 Feb 2011 22:19:33 +0000

Clark Howard is saying it well, that there are terrific bargains out there right now and these ideal conditions for buying will not be here too much longer.

“CLARKONOMICS: It doesn’t matter what publication you pick up, there’s one bad number after another after another in the mortgage market. According to the Commerce Department, the sales rate for homes last year is the lowest on record since records started being kept 47 years ago! Then I also heard a Dow Jones reports that of the 28 major metro areas, every single one had a decline in home values at the end of 2010!!

The combination of anemic sales rates and declining prices creates fear and anxiety. A large numbers of home are vacant for a variety of reasons. But I will tell you the problems mean opportunity. I’ve been a buyer of distress real estate during the downslide of the last couple years. Looking back now, I see I was actually too early getting in the game. But I’m not upset because the opportunity of owning over time remains so positive.

We’ve reached a buyer’s strike and sellers are starting to capitulate in price. Looking at Realtor.com, I noticed that listing after listing said “price reduced” no matter whether I was looking at high-end mansions or entry-level townhomes. Sellers are finally coming to recognize that if you want a buyer, you’d better offer a really good price.

I recall the great deals people scored in the late 1980s during the regional depression in the Mountain States following the savings and loan crisis. In Denver, people bought office buildings at a total cost per square foot that was less than tenants might pay per square foot for rent in a year now.

Meanwhile, on the financing front, interest rates have inched up from their recent historic lows…but they still remain very favorable. The opportunity is there. If you are afraid to buy, I don’t want you to say, “I wish I would have done it in 2011.” Does that mean recovery will come in 2012? I have no idea. But the opportunity right now is extraordinary.”

Perimeter Church to host Town Hall Meeting with Johns Creek Mayor John Bodker Thursday 12/16/10!

Dawn Tetro — Mon, 13 Dec 2010 18:47:34 +0000

Mark your calenders! We have a wonderful opportunity coming up to join Mayor Mike Bodker at a town hall meeting at Perimeter Church, on the corner of Old Alabama and Medlock Bridge Rd, on Thursday, Dec. 16, at 7 p.m. Called “Conversations with the Community,” the meeting will focus on priorities within the community, challenges in the current economy and the upcoming legislative session. However, all subjects are welcome.

Participants are invited, though not required, to submit questions beforehand to Mike.Bodker@JohnsCreekGA.gov.

The church is located at 9500 Medlock Bridge Road. For more information, call 678-512-3324.

Hope to see you there!!!

Georgia Perimeter College offers 3 year Accelerated BBA

Dawn Tetro — Mon, 13 Dec 2010 18:44:27 +0000

Great news for those students hoping to save time and possibly money! GPC, in a joint venture with Georgia Southwestern State University is offering the state’s first three-year accelerated BBA Degree in Management or Accounting! What I also love about this is that much of the program is available online!! It is not an easy program and summer courses are necessary, but it is a fantastic opportunity for our Georgia students!!

Perimeter Church in Johns Creek offers Networking or Counseling for the Unemployed

Dawn Tetro — Mon, 13 Dec 2010 18:31:57 +0000

If you know of anyone who is seeking employment or is in a job they feel is not ideal for them, our wonderful community church offers counseling and networking events once a month. The details are posted below:

Crossroads Career Ministry meets on the third Monday of every month at 6:30 p.m. at Perimeter Church for networking. One-on-one coaching is available.

If you are unemployed or seeking new opportunities, come join us for this no-cost event and bring a friend.

Hotline is (678) 405-2432.

Phone: 678-405-2432

More Info: http://www.perimeter.org/crossroads

Location Details

Perimeter Church
9500 Medlock Bridge Rd
Johns Creek GA 30097 US

Location Phone: 678-405-2000

Johns Creek Annual Light Show 12/1/10 thru 1/2/11

Dawn Tetro — Mon, 13 Dec 2010 18:07:03 +0000

The 9th Annual Holiday Light Show at Technology Park/Johns Creek features nearly 1 mile of displays along Hospital Parkway. It is something our family has come to enjoy on a regular basis and thus has become a new tradition. If you have the chance, don’t miss it.

The show is free to the public and runs through January 2, 2011. The show is sponsored by Johns Creek Owners Association, Emory Johns Creek Hospital and Suwanee EMC.

Bring your family and friends to share in the festivities. The light show also is conveniently located near our excellent Johns Creek retail shopping centers, so you can get some holiday shopping in to boot! The Christmas spirit is alive and well in Johns Creek!!!!

http://activerain.com/blogsview/2017362/holiday-light-show-at-technology-park-johns-creek-all-day-12-1-10-1-2-11