I just receive this email mortgage update from Chris Smith, president of Capstone Mortgage and thought I would pass it along as I found the content relevant and interesting.

Real Estate Headlines Hurry Up and Close to Get the Homebuyer Tax Credit Be proactive and prepare for the unexpected. The next few weeks are crucial for homebuyers who need to close on a house before the end of June to claim the federal homebuyer tax credit. Here are tips to make sure you get to the closing table on time. Market Watch (5/31/10) Facts & Figures U.S. Average Weekly Mortgage Rates (1 Year) Source: mortgagenewsdaily.com Economy Growing Slowly but Steadily Recent data suggest that the recovery is more broad-based and self-sustaining, and perhaps even stronger than anticipated. Washington Post (6/5/10) Real Estate Outlook: Sales Promising Consumers have growing confidence in the economy and their own incomes. Homebuyers no longer fear further price declines – and that's a crucial turning point in the cycle.  Yahoo Real Estate (5/31/10) Building a Home Is a Bargain These Days  Builders, designers, and architects say now is a great time to build a new custom home or remodel an existing one. Investor’s Business Daily (05/27/10)

Anyone have an interest in collaborating on the MyAgentBook site?  Perhaps partnering with another related site? 

Well, everything goes in cycles, what goes down must come up…..

There have been signs of a bounce back in the housing market in the Metro West area of Boston for quite awhile but the most recent activity is virtually unmistakable.  Last week in Lexington, several new single family listings hit the market with a BANG!  Last weekend was a weekend of multiple offers.  WOW!  On one new listing there were 13 offers!

There is no doubt that any buyer that is standing on the sidelines waiting for the market to “hit bottom” or who may be looking for a bargain, it is starting to become very clear that that time has passed.  If you are hoping to buy in the near future, therefore, it is time to get going and get prepared.  Be ready to act quickly and aggressively in this housing market.

Start your search!  Be ready to hop right in when the “right” house presents itself to you.  If a competitive situation presents itself you will have to act decisively.  Put your best offer in right away…..Highest with the most favorable terms to the seller.  Keep in mind you will likely have to go over the asking price!  Good Luck!  Here are recent statistics from the MLS pin system for Lexington and the surrounding towns as of 2/16/2010:

Lexington

Single Family Listings: 105     Average List Price: $1,248,609     Average Market Time: 166.09

Bedford

Single Family Listings: 24     Average List Price: $668,174     Average Market Time: 81.83

Concord

Single Family Listings: 65     Average List Price: $1,401,248     Average Market Time: 151.34

Winchester

Single Family Listings: 57     Average List Price: $1,226,158     Average Market Time: 175.82

Arlington

 Single Family Listings: 38     Average List Price: $586,167     Average Market Time: 139.05

I received this invite to a webinar this Thursday which looks great!  Whether you are interested in investing yourself or working with client investors- it really should be informative!

I recently closed on a transaction that had been under agreement for quite some time due to title issues.  Really good thing for the Buyers!  Had they closed on time they would not have been able to take advantage of the expansion of the tax credit which now provides for a $6500. tax credit for current homeowners.  What was interesting as we approached the closing is that there was little information related to the date that the homeowners could begin taking advantage of the tax credit.  There were SO many sources out there that stipulated that the current homeowner tax credit only applied to properties which closed on or after December 1st.  There were no extensions available to these buyers and they met the residency and income guidelines.   HOLD ON A MINUTE!!  In actuality, the credit became available as soon as President Obama signed it into law.  Therefore, buyers who closed after November 6th are indeed eligible.  Providing, ofcourse, that they meet the other guidelines; income limits, purchase price, primary resident of home they are selling for 5 of the last 8 years.  I found that the most straightforward explanation of the tax credits are located on The Massachusetts Association of Realtors website.   This is a great reference that all of us should have at the ready!

According to the Wall Street Journal, Mortgage-Aid Plan Gets Tepid Results, the loan modifications predicted by the government have fallen well below the expected number of four million.  There are all sorts of Banking explanations that have been cited by the leaders of many of the top banks and promises made to increase the effort to increase the number of loan modifications thus allowing homeowners to keep their homes and avoid further costly foreclosures.  Okay, all of this seems to identify a problem but really doesn't bring about an effective solution.  From being out in the field, it would seem to me that the largest number of troubled homeowners can not pay their current mortgages nor CAN THEY QUALIFY FOR A MODIFICATION!!  Obviously, there needs to be income to qualify for a modification!  Problem is many, if not most, of these homeowners have fallen upon tough times through job losses or business downturns.  They need job assistance and income to pay ANYTHING toward their housing payments!

Unfortunately, the problem lies more in the job market than the housing market in my opinion and until BOTH sides seem to show further signs of improvement there won't be real progress made!

It is great to be able to tout good housing news although some economists continue to say "not so fast".  The Wall Street Journal cites statistics supporting housing stablization.  HOORAY!  but there are many that believe that the market still has adjustments ahead and that the housing market must be supported primarily by good news on the employment front.  I am continuing to hear of deals falling through because of job losses on the part of would be home buyers.  I have to believe that many of you are seeing the same thing out there.  If you couple that with the foreclosure rates, which are continuing to rise, are we really out of the woods?

In short, value seems to be the key and has been for quite sometime.  If homes are priced to reflect value and opportunity then the buyers are circling and in many case locally we are seeing multiple offer scenarios playing out.  Good News!  For now, we'll take it and see where it goes from here.

The statistics relating to deliquent prime mortgages is particularly interesting.  The Wall Street Journal cites a significant increase in deliquent prime mortgages while there is some slowing in subprime foreclosure starts.  Are we all ready for phase II?  It would seem as though an influx to the  marketplace of prime mortgage foreclsoures may provide more bank owned properties and short sales in the median price ranges.  Does anyone else think that might be the case?