For those of you who have been following the trend of Tallahassee foreclosures and the bevy of short sales in Tallahassee, you will want to know that Fannie Mae has introduced several new and updated policies regarding bankruptcy, foreclosures, short sales, and principal residency conversion in a document titled Fannie Mae Announcement 08-16.
If you click on the link to the Fannie Mae Announcement 08-16, you will find the details on these changes. I have written this blog as a brief summary in an effort to point out a significant occurrence at Fannie Mae and what might be a huge market influencer in the next six months.
The biggest issue addressed...
While our current subscribers know that the Tallahassee Real Estate Blog features articles including charts, graphs and analysis of the Tallahassee real estate market, I also try to include anything that relates to real estate nationwide and occasionally I feature something that is unique to Tallahassee, but not necessarily real estate.
Today is a day for unique.
And I mean UNIQUE!
My friend needs some help from us, so I decided to sponsor a contest. A really cool (but not “real estate cool”) contest that will solicit your creative genius.
You see, this friend of mine is a genius. He has invented a fishing net that will enable users to store away the net when they are not using it and yet rapidly retrieve it for when it is needed.
But he needs...
Just over three months ago, I wrote a blog article in the Tallahassee Real Estate Blog
that examined the relationship between Home Prices and Interest Rates in determining the time to buy a home. It has been the source of numerous comments and debates in several real estate forums on the Internet.
If you refer back to that article, I suggested that future rising interest rates would make a cheaper house less affordable. While I figured that it was highly likely home prices would be falling, I knew that rising interest rates would leave most buyers with higher monthly payments. Sure enough, mortgage interest rates are rising, as you can see in the chart below.
So, even if you are not thinking about buying a Tallahassee home, you might want to look into refinancing your home. Back in April, I wrote a blog titled When Should A Mortgage Be Refinanced? This could be a good reference to review before contacting a real estate...
There has been some debate lately in the Tallahassee real estate market regarding how one would measure appreciation rates of homes in a given real estate market. Some people like to think that you compare the median home price in our market today with the median home price from a year ago, and that will show you the current appreciation.
O.K. I'm out of big words.
I believe that the median home price cannot be used to measure appreciation because the median home itself does not remain constant. It's not saying an apple a year ago cost $.29, and today it costs $.32, therefore it appreciated. You see, last year, after the end of the boom market, the median home size in Tallahassee might have been 2,000 square feet. Now that prices are dropping, but interest rates are so good, buyers might be choosing to spend the same amount of money but just purchase "more house for the money!" This year's median home size could be 2,100 square feet. That means that we could...
This is our fourth consecutive month of offering our free Tallahassee Housing Report
. The purpose is to provide useful information about Tallahassee Housing
by showing supply and demand across all price ranges in Leon County. This is the most comprehensive report that you will find on supply and demand in Tallahassee because it brings in more sources than just the Tallahassee Board of Realtors Multiple Listing Service (MLS).
So here it is again, the Tallahassee Housing Report. We hope you continue to provide feedback to us on this report so that we can improve it each month. If you have any questions on how to read the report, please comment below. Our goal is to make this a user-guided resource for now and well into the future.
We encourage you to download this report and take some time getting to understand it’s very useful...
Finally, the May figures are in for the Tallahassee real estate market
. Unfortunately, sales of homes in Tallahassee were down 34.5% in May of 2008 versus May of last year. But some good news does seem to be on the way.
If you regularly check our continuously updated information on Tallahassee real estate, you might have noticed that our 30-day inventory trend has moved to "reducing," while our 60-day is getting close to zero! This is BIG NEWS! We cannot expect this market to turn until we see inventories begin to fall.
Tallahassee Real Estate Inventory Report 30 Day Trend
Tallahassee Real Estate Inventory Report 60 Day Trend
If you would like to see the full Tallahassee...
Back during the days of the boom in the Tallahassee real estate market, we had people contract to buy a home in Tallahassee with no intent of owning it for any real period of time. These investors are known as "real estate speculators" and they have no intention of being in the market for a long time. They write a contract on a property, close on it, and then find buyers to whom they "flip" the property for a quick profit. Some are even able to sell the property before they even have to close on it for themselves.
Great booming real estate markets always create opportunities for flipping homes, but what happens is that this creates a "feeding frenzy" in the market, causing prices to shoot up faster than would happen without the speculators.
Well, five-years ago, lenders decided that it was too risky being involved in the end-deal of these flips. The Federal Housing Administration established a rule to deter these flipping speculators which imposed a 90-day waiting period before a home could...
We are about to complete the first six months of the Tallahassee Real Estate Blog
! How time flies...
You might be surprised to find that the visitors to the Tallahassee Real Estate Blog
come from all over the world. Just this morning, I checked and found some interesting results. The maps below represent the source of visitors. The darker the green color, the more visitors that came from that location.
As you can tell, most of the visitors come from the U.S., and most of them come from Florida. But I did not expect to find that 107 countries and every State has sent visitors to the Tallahassee Real Estate Blog in just 6 months! Additionally, who would have guessed that the most active States would not be our neighboring states, but rather California and New York! I guess the world really is shrinking.
Part of our success in drawing people from all over the world is the result of our...
You might not be aware of an important decision that the United States Senate will be considering in the next few days. This decision will determine whether or not housing consumers will be able to get fair, safe and affordable mortgage credit, which of course is a major part of the health of the national housing market.
Current loan limit increases for FHA, Freddie Mac, and Fannie Mae are due to expire at year's end. There is a major push by many groups to make these loan limits permanent in order to restore investor confidence and stabilize mortgage markets and the entire economy as well.
While this is definitely national news, it also hits us close to home in the Tallahassee real estate market. You see, many Tallahasseans have relied on these government insured loans over the past twenty years (and longer, but before my time...). Except for the boom market years of 2004-2006, these were the typical loan programs that we saw utilized in our sales in the Tallahassee real estate market.
So, what can you do? Send a letter to your...