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Lakewood Home Values Are Up Too!

by The Apples Team

October marks the 12th consecutive month of monthly home value increases, according to Zillow, which reported a 1.1 percent increase over the month.

Home values were up even higher on an annual basis, climbing 4.7 percent over the year and representing the greatest increase since September 2006.

Home values now stand at $155,400, according to Zillow.

“Those dubious about the durability of the housing recovery will point to the large role that investors are playing in the recovery, or to the large number of foreclosures yet to hit the market, as factors to be wary of,” said Stan Humphries, chief economist at Zillow.

“But the bottom line is that homes are more affordable now than at any time in recent memory, and buyers are seizing this opportunity,” he continued.

Chicago was the only one of the 30 largest metro areas Zillow measures to experience a monthly decline in home values in October.

On an annual basis, four of the 30 metros experienced value declines.

The metros measuring the highest annual value increases in October include Phoenix (22.3 percent), San Jose, California (11.4 percent), Denver (10.4 percent), San Francisco (9.5 percent), and Miami-Ft. Lauderdale (8.8 percent).

Zillow reported another positive sign for the housing market: decreasing foreclosures. Foreclosures declined 0.8 percent in October, and the annual decrease was even greater—1.9 percent.

In October, 5.57 out of every 10,000 homes were in some stage of foreclosure.

Looking forward, Zillow anticipates “increasing numbers of potential buyers entering the market as the broader economy continues to recover and household formation picks up further.”

“We’re hopeful that negotiations over the ‘fiscal cliff’ don’t derail this momentum,” Humphries said.


 

 

 

Lakewood California - Is It becoming a Seller's Market?

by The Apples Team

 

Is a Sellers' Market Emerging in California?
 

A sellers' market appears to be emerging in some areas in California. The California Association of Realtors® (C.A.R.) said Thursday that favorable home prices and record-low interest rates are making the market competitive to the point that nearly six of ten houses are receiving multiple offers. C.A.R. made the comments as it released results of its 2012 Annual Housing Market Survey.

Fifty-seven percent of home sales featured multiple offers in 2012, the highest in at least the past 12 years. Each home that received a multiple officer received an average of 4.2 compared to 3.5 offers in 2011. Lower priced homes and distressed properties - bank-owned real estate (REO) and short sales - had more multiple offers than market sales, seven out of ten compared to one-half.

Competition has led to higher prices and 41 percent of homes sold at the asking price, the highest portion since 2005 and up from a long-run average of 32 percent. Homes also sold faster with market sales taking 32 days on average compared to 67 days in 2011 and REOs in 30 days compared with 50 days last year. Short sales still take longer than other sales because of the complexity of the process but the number has been cut to 90 days from 141.

Nearly a third of all homebuyers paid with all cash in 2012 and 16 percent of buyers bought for investment purposes. International buyers made up 5.8 percent of the buyers with the largest numbers coming from China, Canada, India, and Mexico.

Seventy-seven percent of buyers were purchasing a primary residence and 40 percent of those who were first-time buyers bought either an REO property or a short sale, down from 44.3 percent last year primarily because of a shortage of inventory in those categories.

Very few home buyers have a second mortgage, probably reflecting tighter lending standards. The share of home sales with second mortgages has dropped from 43.4 percent in 2006 to 1.8 percent in 2012.

"Well-qualified buyers are recognizing the once-in-a-generation opportunity to purchase a home in California and are jumping into the market," said C.A.R. President LeFrancis Arnold. "However, the fierce market conditions have forced many buyers to compete with all-cash offers and investors, setting off multiple offers and bidding wars, making it even more difficult for first-time buyers to become homeowners."

C.A.R. has conducted its market survey since 1981, mailing it to a random sample of 15,000 Realtors throughout the state. This survey seeks information about the Realtor's most recent sales transaction that closed in the second quarter of 2012.

by Jann Swanson

 

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Contact Information

Apples Team
Berkshire Hathaway HomeServices California Properties
11409 E. Carson Street
Lakewood CA 90715
562-884-1863 / 562-221-2794
562-900-6761
Fax: 562-809-0841

Angie BRE# 01292393, Kathy BRE# 00853237, Cathy BRE# 01255708

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