Marty Millner

Archive for the 'Real Estate News' Category

Yardley, Newtown, Bucks County Real Estate update

Newtown house inventory vs days on the market

We are definitely in the dog days of summer, here in Bucks County.

I just got back from a very nice, long weekend in Chicago. 

For today’s post, lets look at a couple of charts that show inventory and average days on the market for homes in Yardley and Newtown.

What do the charts show?

Basically, in both Newtown and Yardley, the average days on the market has been trending lower, for the past 90 days.

In Yardley, the number of houses on the market seems to have peaked in early July, and is now trending lower.  It will be interesting to see what happens in the fall, which contrary to what a lot of people think, is actually the second busiest real estate time of the year, after the spring market.

In Newtown, inventory appears to still be on the upward trend. 

I suspect, in both Yardley and Newtown, we are seeing homes coming on the market, but there are still not a great deal of buyers.  Becuase of the new listings, the average days on the market, is a bit lower.  This all translates to market dynamics that still favor buyers.

Although interest rates are at unbelievably low rates, and show no signs of increasing in the near future,  in my view, the pace of sales has slowed down since the spring, which is normal, for this time of the year.

Yardley homes on the market vs days on the market

So, if you are looking to sell, price your home realistically.  Houses are selling, but only those that are priced competitively.

Buyers, lots of choices, and lots of competition for your dollars.

If you need an evaluation of the value of your home, please call me at 215-519-1399.

Real Estate Buyers & Sellers, in Bucks County..what do they think?

Yardley, Newtown, Bucks County real estate review

We read all the time, statistics about real estate from all  over the country.

Real estate is, and always has been, local.  It is local, sometimes even down to neighborhood by neighborhood.

I always track statistical information about real estate in Yardley, Newtown, Lower Makefield Township, Upper Makefield Township, and many of the communities that I serve. 

People ask me every single day, how is the market?  I can answer that question, based on how carefully I track statistics, as well as from my own personal experiences in representing buyers and sellers.

So, here is a brief look at a couple of interesting real estate charts, for Yardley and Newtown.

If you look at the charts, you will see that after falling a bit, during the 90 day review period, inventory levels are increasing in both Yardley and Newtown.  As you would expect, with more houses on the market, it is taking longer to sell.  Average days on the market is also increasing. 

Houses can and do sell.  It is all about the price.  These charts make a compelling case for wanting to be sure that if you are interested in selling, you must price your house correctly. 

If you have questions, please feel free to contact me.

Inventory and days on the market for 19067

Will new federal short sale guidelines, help the process?

Many buyers that I work with, when searching for homes in Yardley, Newtown, and all over Bucks County, eventually run into a house that they want to see, and we find out that the house is being sold as a, “short sale“.

For those not familiar with what a short sale is, a short sale basically happens when a seller owes more on a house, than what the house is worth.  For example, if a seller in Yardley, owes 300,000 on their mortgage, and the house is worth 250,000, the mortgage on the house can not be satisfied with the sale price.  The seller would have to bring money to closing, in order to sell the house.  If the seller did not have the resources to do that, the only way the house could be sold, is through a, “short sale”.   The bank would have to agree to accept less than the full amount owed on the mortgage.

In the markets that I focus on in Bucks County,  we have fewer distressed property sales, than in many parts of the country.

However, I do encounter short sales, frequently. 

In general, working with banks on short sales, has been extremely frustrating.  As a generalization, the banks often take an unreasonable amount of time to make a decision.  In many cases, the decisions they make, don’t make sense, from a  market perspective.  I had a client make an offer on a short sale, many months ago, on a house in Yardley Boro, and the bank refused to neogtiate the offer.  The house sat on the markaet for many more months, and the bank eventually sold the house for about 50,000 less than what they turned down! 

For the average buyer, buying short sale properties, is usually extremely stressful.  As I mentioned earlier, the process often takes longer.  In addition, the banks generally sell the house in its current condition, which means that a buyer can make the sale contingent on a home inspection, but the bank will not agree to fix anything.

I have been amazed at how dificult most banks make it, to deal with short sales.

This video outlines some new, federal guidelines on short sales, that will take effect in April. 

I wonder if this will help?

What are the top 10 home repair tips, for home owners in Yardley, Newtown & Bucks County.

I write this post from my home in Yardley, Pa,  Bucks County, waiting for the arrival of the third major snow storm of the season.  I came across this wonderful video, that details the top ten home repair tips, for home owners in Yardley, Newtown and all over Bucks County.  Hope that you find this video helpful.

Upper Makefield Township, Bucks County, 2009 real estate year in review

On my last post, I took a detailed look at what happend in 2009 in Lower Makefield Township real estate market.

Today, we are going to check out the results from 2009, in Upper Makefield Township real estate market.

Here is what the real estate market looked like, as we finished 2009, in Upper Makefield Township.

Inventory in Upper Makefield Township

There were 101 homes for sale, as of the end of 2009, in Upper Makefield. This compared with an inventory of 134, as of the end of 2008. There were 113 homes for sale, at the end of November, 2009. This represents a decline in inventory of 24.6%, from the end of last year. Normally, that is a good sign for sellers.

Pricing Trends in Upper Makefield

The average price of a home for sale in Upper Makefield, at the end of 2009, was 1.43 million. At the end of 2008, the average price of a home for sale, was 1.59 million. This represents a decline of 9.8% in list pricing.

There were 72 homes that sold in 2009, and they sold at an average of 88% of the asking price. 71 homes sold in 2008, and they sold at an average of 91% of the asking price.

Summary;

Inventory levels are down and unit sales are modestly, up. Probably the most telling statistic is that at the current sales pace, there is a 16.8 momnth supply of homes in inventory. We consider a balanced market when there is approximately a 6 month supply. You can clearly see that there is a strong, buyers market in Upper Makefield Township, at the current time.

Average days on the market for all price levels, is 111 days. For homes priced between 1-3 million, the average days on market are considerably longer, and the supply is measured in years!  82% of the 72 homes that sold this year, were priced below 1 million!  55% of the current inventory, is priced above 1 million. Specifically, based on the current rate of sales for homes over a million, there is a 4.3 year supply! 13 homes sold over 1 million in 2009, which represents 1.08 per month.

It is particularly telling that the average sale price in 2009, was 762,000 yet the average price for the current inventory, is 1.43 million!

It is evident that there is a lot of competition in Upper Makefield, especially at the higher price levels. It is critically important, that you price your house correctly, if you intend to sell.

As always, I welcome your thoughts and comments on any of this information. I will review additional communities, in future posts.

So you have an underground oil tank in Yardley, Lower Makefield Township, Newtown, Upper Makefield Township, Bucks County, Pa.

I represented a seller on a house that closed in Lower Makefield Township, recently, that was heated with oil, and had a tank burried in the ground. 

Real Estate property tax appeal update, Bucks County, Pa.

Over the past several months, I have posted a number of articles on real estate property tax appeals, in Yardley, Newtown, Upper Makefield, Lower Makefield, and all over Bucks County.

I have pointed out how easy the process is, and how most appeals actually succeed. 

There was another article in the Bucks County Courier Times, this morning, that addressed the outcome of the appeals, throughout the County this past year, and the overall effect on tax revenues.

As noted in the story, the overall value of property in Bucks County declined by approximately 40 million, according to the board of assessment report.  This is the first time in at least 35 years that the overall value declined. 

The municipalities that were coping with the largest reduction, are Upper Makefield, Northampton and Buckingham, among others.  There were more than 5100 appeals filed this past year, which was an all time record for appeals. 

According to the assessment board report, about 80% of the appeals were granted.  For those who appealed successfully, you will see the change in your 2010 real estate property tax bills, which will arrive in the spring.  As I have pointed out in my posts, it is a relatively easy process to file an appeal.  You merely download an appeal form from the county website, and submit it to the County Board of Assessment.   You will be given a hearing date, and you must appear at the hearing, with data supporting your position, that your property assessment should be lowered.

Appeals for 2011, will be accepeted from January 1, 2010 through August 1, 2010.

If you have any questions about the process or would like suggestions and/or help, please contact me.  See the chart below for the municipalities who lost the most, in the appeals process.

Home Buyer tips for saving for your first home

It can be one of the hardest things to do — save money for your first home. But now, more than ever, there’s incentive to buy. Government housing tax credits have been extended and that’s sparking buyers’ interest.

Reports show that U.S. homes sales increased 10 percent in October to the highest level since February 2007. The tax credit, less expensive homes, and lower mortgage rates are being credited. However, while the government is helping to support the purchasing of a home, many Americans still can’t afford to buy one.

So how do you get in a position to buy a home? For some the process can seem nearly impossible. First-time homebuyers are often fearful they’ll never be able to accumulate a down payment now that stricter guidelines are being enforced for taking out home loans.

Look over your finances and see where things can be cut back a little. For instance, maybe you have a gym membership that you really use only a few times a month; does that justify having it? Another big area to find savings, especially for single people, is the dining out category. Some people spend an enormous amount of money eating out, if you really want to save, take a look at the car you’re driving. Well, if you’re trying to save for your retirement or trying to save for a house and you go out and buy a $30,000 car by taking out an auto loan—you can’t afford it.  What you’re doing is borrowing against future income to be able to drive a car that’s more expensive than what you can really afford.

People spend an enormous amount of money on things like sporting events and while I understand their passion, if they’re trying to save for a home, something must go. “I’m not saying to cut it all out but how about cutting half of it out. It comes down to trade-offs.” Another trade-off might be to watch some of the events on TV rather than go to them. This brings us to the point of seeking savings in your utility bills by bundling cable, Internet, phone or maybe even cutting down to the bare essentials of channels. Shop around for services and see if you can combine them under one company and get discounts for doing so.

Have you checked your cell phone bill lately? A lot of times those charges add up very quickly. People are wasting an enormous amount of money in this area because of the Web surfing, the down loads, and the text messaging.

The bottom line is saving for a home is a very personal experience—what one person is willing to give up another person may not. If you keep your goal set on purchasing that home then you’ll find the effort to get there is not nearly as difficult and you’re likely to find that there are more places to cut costs than you realize.

National Real Estate Update-Nationwide housing affordability up!

Nationwide housing affordability, bolstered by affordable interest rates and low house prices, hovered for the third consecutive quarter near its highest level since the series was first compiled 18 years ago, according to the National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI) released today.

The HOI showed that 70.1 percent of all new and existing homes sold in the third quarter of 2009 were affordable to families earning the national median income of $64,000, down slightly from a near-record 72.3 percent during the previous quarter and up from 56.1 percent during the third quarter of 2008.

 ”At a time when housing is at its most affordable, we applaud the recent actions taken by Congress and President Obama to stimulate housing by extending the federal tax credit beyond its Nov. 30 deadline and expanding it to a wider group of eligible home buyers,” said NAHB Chairman Joe Robson, a home builder from Tulsa, Okla. “With interest rates now lower than last quarter, the tax credit will encourage even more home buyers to enter the market and help stabilize housing and the economy by creating new jobs, stimulating home sales, reducing foreclosures, cutting excess inventories and stabilizing home prices.”

It is a great time locally, to take advantage of these programs.  Please email or call me if you have any questions or would like to take advantage of the federal tax credit or low interest rates.