People Believe Homes Prices Will Go Up

Such is the indignant refrain heard across Greater Fargo Moorhead

and country from homeowners unable to get a grip on real estate reality.

Increasingly bullish on prices, homeowners are haggling with their real estate agents over the value of homes, a new survey finds.

More than 77 percent of agents and brokers surveyed by HomeGain during the second quarter reported having disputes over homeowners believing the recommended listing price just didn't do justice to the true value of their properties.

Sellers to Buyers: Stop With the Lowball Offers!

Home buyers who are looking for big discounts on housing nowadays are finding that their lowball offers are no longer sticking with sellers, and that their offers are getting a flat-out “no” when they’re way below the asking price.

"Right off the bat, buyers say, 'I want a steal,' and I tell them they have to wipe that word out of their vocabulary," says Jackie Smith, a real estate agent in Florida’s Broward and Palm Beach counties.

"People come in, and they think the market is 2008 or 2009, when sellers were desperate, they're not desperate. Not at all."

What qualifies as a lowball offer? Randy Bianchi, co-owner of Paradise Properties of Florida in West Palm Beach, Fla., says that sellers generally consider lowball offers to be less than 90 percent of their asking price.  Buyers, on the other hand, he says tend to say offers of 80 percent to 85 percent of the list price are reasonable.

An Unusual Secret Weapon? Boost a Home Price by $7k

Many critics have long-argued that Walmart’s “always low prices” often stretches to nearby home prices too. When the big-box discount retailer comes to town, some residents have protested, saying that the store had the potential to lower home values close by.

It was dubbed the “Walmart Effect,” and over the years it has made a lot of residents oppose proposed Walmarts coming to town.

But a new study finds that Walmart can actually give nearby home values a little lift.

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Trim Your Remodeling Costs: 4 Ways to Save

1. Don’t change plumbing or electrical configurations. Keep your plumbing fixtures and electrical work where they’re at. Instead of moving the plumbing or electrical all over the room, Case recommends for remodelers to “think about supplementing and extending your existing wiring instead of ripping it out and starting over,” which can be much more costly.

2. Find savings in materials. “The cost of cabinets, counters, fixtures, paneling, etc. can constitute up to 70 percent of your remodeling budget,” Case Remodeling notes in its blog. “While labor costs may be hard to reduce, the choice of materials is within your control.” For example, solid surfaces can look similar to marble, and granite tiles may be an option over stone to curb costs.

Americans expect 1.4% increase in home prices: Fannie Mae

Most Americans interviewed by Fannie Mae believe home prices will increase at least 1.4% over the next 12 months, the government-sponsored enterprise said. Fannie Mae interviewed approximately 1,000 survey respondents for its May National Housing Survey.

34% of those who responded — the highest level since March 2011 — said home prices will rise over the course of the next 12 months. In addition, 41% of respondents believe home mortgage rates will likely go up over the course of the next year, an increase from the previous month.

Are you selling a house or a "home"?

Before putting your house on the market, you should be thinking about WHAT you are actually trying to sell or even more importantly, what you should be trying to sell. Are you selling a house OR a home? There is a slight, but important difference!

Home sellers and agents usually fall into two different groups. One group tries to sell houses and the other group tries to sell homes and the latter group, in my opinion, is more successful in reaching their sales goals. Why? Because selling homes is more than just selling a house. Selling homes also means selling the life style of the house. This is where the emotional connection happens.

Most home buyers in today’s market are savvy and have already have done their homework. This might include researching different properties, comparing the basic details of the homes, and of course, viewing photos online (a big reason to stage the homes and have them professionally photographed). Also, they might even have driven by your house couple of times before deciding to actually come in to see the home for themselves. This is why curb appeal is so important and why we help our clients get this part of their home presentation just right.

Easy Steps to Stage Your Closets

Most sellers are highly embarrassed when I ask to see their closets, and personally, I wouldn’t want anyone to look into my closets either. When you are getting your house ready to sell, cleaning out the closets is an important step, but it doesn’t need to be difficult.

Here is a step by step guide to getting your closet ready to show:

1. Don’t panic. While you probably have many closets in your home, there are only a couple that matter; your master bedroom closet (no matter how small it is), your entryway or mudroom closet, and your kitchen pantry (technically a closet). While the buyer may check out your other closets as well, don’t focus on those, just make sure nothing will fall on them when they open the door.

Housing Starts Post New Gains, Signs of Healing

Builders broke ground on more homes last month as housing starts jumped 2.6 percent nationwide in April over March, the Commerce Department reported this week. The single-family sector saw a 3 percent increase in housing starts in April, while multifamily construction projects saw a 3.2 percent rise.

"April's increase in housing production comes on top of strong upward revisions to the previous month's data, and is an encouraging sign that we are returning to a gradual, upward trend that should continue in the year ahead as builders respond to improving demand for new homes in certain markets," Barry Rutenberg, chairman of the National Association of Home Builders, said in a statement. "Unfortunately, overly restrictive lending conditions for builders and buyers are slowing the pace of this trend considerably."

U.S. home prices could rise 4% a year, forecast says – USATODAY.com

Average U.S. home prices — down by a third since 2006 and still falling — will rise almost 4% a year for the next five years, according to a new forecast.

Market watcher Fiserv sees prices stabilizing by summer's end and then climbing, quickly in some places until gains taper off. The forecast is based on an analysis of leading home price indexes. Investors will drive much of the momentum, as they are now in cities such as Las Vegas and Phoenix. First-time and trade-up buyers will eventually follow.

Improving Housing List Mostly Holds Steady in May

One of the most battered housing markets during the housing crisis, plagued with a number of foreclosures and falling home prices, is on the mend, joining a list of improving housing markets in May, according to a newly released index by National Association of Home Builders/First American.

Phoenix was among 17 metro areas added to this month’s Improving Market Index. Also among some of the metro areas added this month were Bowling Green, Ky.; Bend, Ore.; and Lubbock, Texas.

ND’s per-capita income grows 78 percent, a dozen years bring prosperity to the Peace Garden state

FARGO — Thanks to strong growth in the agriculture and mining industries, particularly oil and gas production. North Dakota’s per-capita personal income has risen more than 78 percent since 2000, according to statistics released Friday by the federal government and the state Department of Commerce.  That’s more than double the 37.4 percent increase in per-capita income seen nationally, the U.S. Bureau of Economic Analysis reported.

Per-capita personal income in North Dakota in 2011 was $45,747, an increase of $20,155 since 2000, when per-capital personal income was $25,592, the BEA reported. “We are very pleased and proud that North Dakota, in the last 10 years, has gone from 38th in the nation to ninth in the nation in personal incomes,” Gov. Jack Dalrymple said in a news release. “That’s the proof our policies for economic growth are working.”  All of North Dakota’s industries have seen growth in the last decade, said Justin Dever, manager of the Office of Innovation and Entrepreneurship at the state Department of Commerce.  But it’s the oil and gas sectors of the mining industry and agriculture that have really pulled the wagon for the rest of the state, he said.

Rates at Record Lows - Market Like This: Theres NO better time than NOW to buy a home!!

Buying a home won't get much cheaper

NEW YORK (CNNMoney) -- Buying a home may never get any cheaper than this. Several housing experts are predicting that this year will be the last chance for bargain hunters to cash in on the best deals of the weak housing market.

With home prices down 34% nationally since 2006 and mortgage rates at historic lows, homes have never been more affordable -- but it won't stay this way for much longer. Stuart Hoffman, chief economist for PNC Financial Services (PNC, Fortune 500), said he expects home prices to flatten out by the third quarter and start climbing by next year. A number of factors will help bolster the housing market, he said, including a decline in the number of foreclosures and continued job growth. In addition, homebuyers will have better access to mortgages as they get their finances in order and improve their credit scores.

Some economists, like Trulia's Jed Kolko, expect home prices to pick up even more quickly. Trulia's data shows that the national average for asking prices already increased 1.4% in the first quarter of 2012, compared with the last three months of 2011.

Mortgage payments at lowest level in decades

North Dakota is One of the 5 States With the Lowest Foreclosure Rates

Annual Rate of Residential Property Foreclosures in the US is Falling

Since the start of the financial crisis in September 2008 there have been 3.5 million residential property foreclosures in the United States, according to the latest data from analytics company CoreLogic.

Overall there were 69,000 completed foreclosures in March 2012 compared to 85,000 in March 2011 and 66,000 in February 2012. The largest improvement in the last 12 months has been in the states of Nevada and Arizona.

In the first quarter of 2012, there were 198,000 completed foreclosures compared to 232,000 in the first three months of 2011, the data also shows.

Home Staging for Guys! Yes GUYS!

I mentioned "home staging" to a single dad who asked about selling his home this spring. The rest of the men in the group looked at me as if I were from Mars.

"That's great for the high rollers - the white wine and brie set," one of them said. "But what about people who serve hamburgers and beer and not watercress sandwiches?"

Home staging is not reserved for the rich - or for creative women. In fact, cleaning and clearing clutter are the two primary items on most Staging Tips for any market. And, guys, it doesn't take a genius woman to help you through the other tips on the list.

Stunned Home Buyers Find the Bidding Wars Are Back

A new development is catching home buyers off guard as the spring sales season gets under way: Bidding wars are back.

From California to Florida, many buyers are increasingly competing for the same house. Unlike the bidding wars that typified the go-go years and largely reflected surging sales, today's are a result of supply shortages.

"It's a little surprising because we thought bidding wars were done with," said Andy Aley, who is looking to buy his first home in Seattle's Beacon Hill neighborhood. The 31-year-old attorney was outbid this year when he offered up to $23,000 above the $357,000 listing price and agreed to waive inspections and other closing conditions.

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What are Bridge Loans?

Bridge loans are gaining in popularity. When a home buyer is buying another home before selling an existing home, two common ways to find the down payment for the move-up home is through financing either a bridge loan or a home equity loan (or home equity line of credit). Generally, a home equity loan is less expensive, but bridge loans contain more benefits for some borrowers. In addition, many lenders will not lend on a home equity loan if the home is on the market. Smart borrowers will compare the benefits between the two loans to determine which is a better fit for their particular situation and plan ahead before making an offer to purchase another home.

What Are Bridge Loans?

Bridge loans are temporary loans that bridge the gap between the sales price of a new home and a home buyer's new mortgage, in the event the buyer's home has not yet sold. The bridge loan is secured to the buyer's existing home. The funds from the bridge loan are then used as a down payment on the move-up home.

How Do Bridge Loans Work?

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Low-ball offers decline in some housing markets

WASHINGTON — It's not something that economists routinely track, but it provides a rough sense of what's happening in local real estate markets. Call it the low-ball index.

A year ago, according to researchers at the National Assn. of Realtors, 1 out of 10 members surveyed in a monthly poll complained about low-ball offers on houses listed for sale. In the latest survey — conducted during March among a sample of 4,500 agents and brokers across the country and not yet released — there were hardly any. Instead, the focus of volunteered comments has shifted to declining inventory levels — fewer houses available to sell — and multiple offers on well-priced listings.