| Katonah NY Real Estate Report | RobReportBlog | ||
| 2013 | 6 months ending 7/5 | 2012 | |
| 48 | Sales | 47 | |
| $727,000.00 | median sold price | $670,000.00 | |
| $275,000.00 | low sold price | $209,000.00 | |
| $7,000,000.00 | high sold price | $4,000,000.00 | |
| 3261 | average size | 3016 | |
| $286.00 | ave. price per foot | $278.00 | |
| 175 | ave days on market | 208 | |
| $990,356.00 | average sold price | $858,238.00 | |
| 89.67% | ave sold to ask | 94.50% |
Katonah sales up 2% – Prices up 8.5% | RobReportBlog | Katonah Real Estate.
A sharp rise in mortgage rates is threatening to slow the momentum that has driven the housing market sharply higher in the past year.
Rates on a 30-year fixed mortgage have spiked in the past two months as the Federal Reserve signaled the coming end of a massive bond-buying program designed to stimulate the economy by keeping rates low.
Someone who today takes out a $220,000 loan — the median sale price for a traditional home in the Twin Cities — will pay at least $100 per month more on the mortgage than someone who locked in an interest rate on May 1.
“It’s been a pretty impressive increase in rates,” said Keith Gumbinger, vice president of HSH.com, a mortgage information firm. “If that increases monthly payments by, give or take, 10 to 15 percent, it wouldn’t be unreasonable to see sales back off by perhaps that much.”
U.S. home prices were up 12 percent in May from a year earlier, and Twin Cities prices were up 14.8 percent, in part thanks to demand fueled by rock-bottom interest rates. Since home purchases often translate into sales of garden hoses, lawn mowers and washing machines, as well as construction jobs, the likelihood that rates will continue to rise should temper economic growth.
The irony is that what’s driving up rates is, ultimately, an improving economy. Rates are as low as they are because the Federal Reserve has been buying $85 billion in mortgage-backed securities per month, a program known as quantitative easing that’s meant to stimulate borrowing.
The Fed’s purchases create demand for mortgage-backed securities and so drive down interest rates for borrowers. The strategy has been effective. Rates for 30-year mortgages were as low as 3.3 percent in November, a number that inspires awe in anyone who took out a mortgage in decades past.
But rates started to rise in mid-May when Fed Chairman Ben Bernanke first hinted in a Congressional hearing that the economy might be strong enough for the central bank to contemplate slowing its asset purchases. After a Bernanke news conference on June 19, rates on a 30-year fixed mortgage rose from 4 percent to 4.6 percent in five days, while the stock market faltered.
Surging interest rates could slow housing’s recovery | StarTribune.com.
A new survey of the oldest baby boomers–people born in 1946–finds this group even more likely than they were five years ago to keep living where they are rather than move as part of retirement.
The poll in late 2012 of 1,003 of the so-called “oldest boomers,” including 447 who also were surveyed in 2007, found 82% aren’t planning any future moves. That’s up from 75% in the 2007 survey, conducted at about the time the housing market collapsed. Survey results have a margin of error of plus/minus 3.2 percentage points.
“Of the oldest boomers who did move or are planning a move, more than half (53%) chose to downsize into a smaller home,” said Amy Goyer, who wrote the report on behalf of MetLife’s Mature Market Institute. “Just 16% plan to or have moved to an active adult community, significantly up from 9% in 2008. The oldest boomers have most likely raised their families, as moving (or planning) to a larger home is down to just 4% in 2012 from 12% in 2008. Almost a quarter (23%) said they had plans or had moved to an ‘other’ situation in 2012 (down from 37% in 2008)—perhaps some of these families are living in multigenerational households.”
Later in her report, Goyer said the survey results point to the need for aging in place options, “including community infrastructure, home and community-based services, transportation, technology and smart home design/modification options that not only make it possible to remain at home throughout the aging process, but to also beautify and add value to the home and community for all ages.”
About 93% of these oldest boomers own their home, with an average value of $254,000. Four out of 10 have paid off their mortgages, but 8% are upside-down, owing more on their loan than the home is worth, the survey found. As for income, 58% said they’re taking in less than before retirement, but only 20% reported a decreased standard of living and 18% said their standard went up. One possible reason why: One-third had received an inheritance, with the average value reported in 2012 reaching $110,000.
Another year, another apartment. Last summer, Rosie O’Donnell dropped $8 million—well, $8,095,087.50, to be precise—on a duplex penthouse at 130 West 12th Street, part of St. Vincent’s Hospital that was converted into condos. Less than a year later, O’Donnell has redecorated the 4BR/3BA (which comes with a 429-square-foot private terrace) all classy-like, with lots of art, colorful carpets, and inventive light fixtures. A tipster reports that two weeks ago she threw it back on the market, now asking $10,950,000. The Nyack, N.Y. resident and her wife Michelle Rounds welcomed a baby girl in January, bringing the progeny total to five, so perhaps they’re upgrading for a pied-a-terre with more bedrooms. If a buyer bites for that price, the straight-talking comedian, LGBT rights activist, and gay cruise pioneer will have pocketed a 35 percent profit over one year. Not too shabby.
Plus, the buyer will get to live next door to Theory CEO Andrew Rosen, whopurchased the other PH not long after O’Donnell. He has a bigger terrace, but you know, make nice and he might let you use it. Both Rosen and Rosie bought their places for above ask, which bodes well for her flip.
Rosie O’Donnell Tries To Flip Village Penthouse, Asks $11M – Celebrity Real Estate – Curbed NY.
The Katonah-Lewisboro Support Staff Association (KLSSA) will soon have a new health plan. In an agreement with the Board of Education, the staff will shift from the current self-insured health plan to the New York State Health Insurance Program. (NYSHIP). The new plan will go into effect on July 1 and continue until June 30, 2015.
The school district will realize a savings of roughly $1 million per year with the change. This switch of health insurance provider is similar to the one agreed to by the Katonah-Lewisboro District Teachers’ Association about a month ago.
Included in the agreement with the Staff Association is a two-year freeze in the step schedule. This too will be an economy for the district, saving approximately 0.75 percent of total salaries. A base increase of 1.75 percent for the 2013-14 school year and 2014-15 school year is included in the agreement.
“The tone of negotiations was consistently professional and productive,” said Board of Education President Mark Lipton. “On behalf of the board and the community, I want to thank the KLSSA for their preparation and collaboration in creating an agreement that balances the needs of its members, while responding to the financial realities of our district.”
“The Executive Board of the KLSSA, as well as the membership, are pleased that we were able to come to equitable terms with the school district,” said its president, Jeani Granelli. “During these economically trying times, it can be difficult to balance the financial resources of the school district with the needs of our membership. We thank the BOE for working collaboratively with us to reach this [agreement].”
Kat-Lewisboro BOE, Support Staff Association Approve Contract | The Bedford Daily Voice.
We’ve written before about the wealth gap between whites and people of color — a divide that’s only grown wider over the past half decade. And since so much of Americans’ household wealth is wrapped up in homes, a significant amount of that wealth gap has been chalked up to an array of barriers to homeownership for people of color.
Here’s another sobering data point to that end: A new study has found that blacks, Latinos and Asians looking for homes were shown fewer housing options than whites who were equally qualified. And fewer options meant higher housing costs.
The study, conducted by the Department of Housing and Urban Development and the Urban Institute (a nonpartisan think tank in Washington) used a method called “pair testing.” Two people — one person of color and one white person — called and then visited a real estate office to ask about an available property for rent or sale. Both of the pair testers told real estate agents that they had about the same income, assets and employment. Both testers were greeted politely and given appointments to look at properties. But whites were told about and shown more units. They were also more likely to be offered lower rent than their testing partners.
According to the study, the problem wasn’t regional but national. The researchers said they did this more than 8,000 times in 28 different metropolitan regions.
Here’s how their findings broke down:
Black renters learned about 11 percent fewer rental units, and black homebuyers were shown about a fifth fewer homes.
Asian renters learned about 7 percent fewer rental units, and Asian homebuyers saw about a fifth fewer homes.
Latino renters learned about 12 percent fewer units. (Interestingly, the study found that there was not a statistically significant difference in the way whites and Latino homebuyers were treated.)
“Those most serious and severe door-slamming kinds of discrimination aren’t happening so frequently,” said Margery Turner of the Urban Institute. “But it’s disappointing to conduct a study on housing discrimination in 2012 and find that it still persists.”
The researchers also found that “minority homeseekers whose ethnicity is more readily identifiable” were more likely to be discriminated against.
For People Of Color, A Housing Market Partially Hidden From View | WWNO.
Photo giant Instagram has been a steadfast favorite for budding and professional photographers from around the world. The real estate community has had a colorful presence among the photos in the Instagram community, many of whom create large followings, close deals, lead generate and connect with other local residents. From listing photos, community landmarks and hot spots, the creative filters give agents a social edge, and can even show off their creative branding with their followers, creating a visual brand.
Today the announcement came that Instagram has integrated video in its latest update, allowing users to create up to 15 seconds of video, with the availability of its filter tools, video stabilization and social sharing. It is a strategic move to keep and capture its large user base, as well as sway current Vine app users away from their six-second GIF-creation platform.
It still remains to be seen, but based on the Twitter chatter, many in the social sphere are excited about the features to Instagram, as many already have quite a following on the platform. Real estate marketers might find this easier to work into their photographic workflow, as well as have some new creative ideas on how to use video to market themselves or their communities. The brilliant connections that photography can inspire now has a 15-second bigger chance in video.
Jay Thompson, director of social media and industry outreach of Zillow, noted, “I’m sure there will be “InstaVideos” of listings flooding the Interwebs soon, but does 15 seconds really do a home justice? Now if one were to get creative, I can see some cool uses for sharing community stuff. Could be a catchy and fun way to show off certain community aspects.”
It will be interesting to see how this plays out, and if Vine will be considered a tight competitor or stand on its own. Vine hasn’t quite taken off in the real estate community as a viable real estate marketing platform, but Instagram may force users to decide.
– See more at: http://www.inman.com/next/photo-giant-instagram-integrates-video-brings-exciting-new-element-to-real-estate/#sthash.N24K8jG2.dpuf
Photo giant Instagram integrates video, brings exciting new element to real estate | Inman News.
Although the era of low mortgages rates are beginning to dwindle away, the housing market is still projected to keep recovering, an article in CNN Money said.
The article explains that higher mortgage rates will not derail the housing market for three reasons.
First, interest rates alone do not drive up home prices, with additional factors like unemployment factoring in.
Additionally, investors armed with cash played a large part in the recovery by buying a lot of foreclosed properties with cash, foregoing the need for a mortgage.
Meanwhile, mortgage rates are still low historically.
Rates are close to what they were in Spring 2012, and people thought the rates were amazingly low then, the article said.
Increasing mortgage rates will not ruin the housing recovery | HousingWire.
Designed in a Mediterranean style typical of homes in the area, the 10,000-square-foot villa is located at the end of a long gated driveway, reported Zillow.
It was built in 1982 but has been remodeled since, with a total of 9 bedrooms, 9.5 baths, a large pool, cabana and championship-size tennis court. The grounds, spanning 2.48 acres, include expansive lawns, gardens and a duck pond. The property also provides direct access to Will Rogers State Historic Park horse trails and polo fields, according to Zillow.
Arnold Schwarzenegger sells former Pacific Palisades home | HousingWire.
U.S. home prices continued their upward trajectory in April, rising 0.7% from March, according to data from the latest FNC Residential Price Index. The gain in April marks the largest price appreciation since June 2012, due largely to rising demand in the spring and summer.
More credit availability, interest rates that remain low despite quickly rising and low home prices are driving forces behind the housing recovery. Rising interest rates have most likely drawn out additional pent-up demand.
Foreclosure activity continued to decline, with distressed sales making up only 16% of total home sales, down from 17.8% in March and 21.6% a year earlier, FNC noted.
When analyzing non-distresses properties in the 100 largest metropolitan areas, the FNC 100-MSA composite index reveals that April home prices increased faster when compared to previous months.
Year-over-year, home prices rose 4.6% in April. For months, the indices have been revised downward, resulting in more moderate annual price accelerations.
Of the component markets tracked by the FNC 30-MSA composite index, 25 showed higher prices in April, with home prices up 1.0% or more in nearly a third of the markets.
