Local Market Insight

According to MRIS statistics calculated January 04, 2013, in the Baltimore Metro Area:

New Listings were down in December 27.7 % from the previous month and down a half percent from the previous year.

New Pendings were down 16.2 % from the previous month and up 9.3 % over the previous December.

Closed Sales were down 3.6 % from the previous month and up 12.7 % over December 2011.

The median sold price was $235,000, up 2.2 % over Nov. 2012 and up 6.9 % over the stats from December 2011.

Active Listing are down over both comparitive time frames, Average Days on the Market are down slightly compared to last month and down a bit more compared to last year plus the Average Sold to Old List Price Ratio is creaping up over last year and holding steady over last month. (All good news relative to the Baltimore region in general.)

For Howard County, MD, Monthly Market Statistics for December 2012 (compared to Dec. 2011):

Sold Dollar Volume is up 15.75 %.
Average Sold Price is down 2.87 %.
Median Sold Price is up 1.45%.
Units Sold is up 19.17 %.
Average Days on the Market is down 22.12 %.
Average List Price for Solds is down 4.35 %
Average Sold Price to Old List Price Ratio is up 1.82 %.
Ratio of Average Sold Price to Average Old List Price is up 2.39 %.
Attached Average Sold price is down 1.96 %.
Detached Average Sold Price is up 3.14 %.
Attached Units Sold is up 45.33 %.
Detached units Sold is up 2.54 %.

Inventory:

Active Listings are down 33.82 %.
New Listings are down 22.91 %.
New Under Contracts are up 32.69 %.
New Contingents remained the same (no increase or decrease).
New Pendings increased 18.28 %.
All Pendings are up 29.05 % last month over the previous December.

Financing:

No Assumptions.
29 Cash Sales.
139 Conventional Sales.
37 FHA financed Sales.
8 other.
No owner financed Sales.
17 VA financed Sales.

Days On Market (SOLD):

0 (days):    4  properties sold
1-10:        44  "
11-20:      27  "
21-30:      17  "
31-60:      34  "
61-90:      25  "
91-120:    18  "
121-180:  26  "
181-360:  27  "
361-720:    6  "
721+:         1  "

If you want more detail relative to types of homes sold in different price categories or would like this sent to you when the numbers come out next month for January, just email me at Kangrga@mris.com and I will forward you the report from REALESTATE BUSINESS INTELLIGENCE(rbi), an MRIS Company.

Brain Rules and the Market

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Provided to you Exclusively by Ida S. Reis, CMPS®       Ida S.  Reis, CMPS® Mortgage Originator NMLS ID # 195307 Primary Residential Mortgage, Inc. Cell: 410-707-9235 Fax: 443-384-3893 E-Mail: ireis@primeres.com Website: www.idareis.com

 

For the week of Jan 14, 2013 --- Vol. 11, Issue 2

 

 

In This Issue

 

 

Last Week in Review: The economic report calendar was quiet, but there was still plenty of news to move the markets. Forecast for the Week: A full slate of economic reports is ahead, with news on consumer sentiment and spending, inflation, manufacturing and housing. View: Interruptions at work can hinder productivity, maybe even more than you think. Check out these tips below and be sure to share them with colleagues, clients, friends and family.

 

Last Week in Review

 

 

All's quiet on the economic report front. And while there was little economic report news during the first full week of January, the markets still had plenty of other news to digest. Read on for details. The only economic report to note last week was Thursday's Weekly Initial Jobless Claims Report. Initial Jobless Claims rose by 4,000 in the latest week to 371,000. This was above expectations and the highest number in a month. While the recently released Jobs Report for December showed that the labor market is continuing to improve, though at an anemic pace, it's also important that we see these weekly initial jobless claims numbers continue to decline. Also in the news last week, Fannie Mae reported that its national housing survey showed that 43% of those consumers polled feel that home prices will rise in 2013. However, 20% said that their financial situations will deteriorate this year due to the debt ceiling worries and the rise in taxes. And in news overseas, European Central Bank President Mario Draghi said that he sees further risks to the region's economic outlook. So what does this mean for home loan rates? Stocks did reach five-year highs last week--at the expense of Bonds and home loan rates--after the Fiscal Cliff deal was reached and investors felt that the pace of economic growth would increase due to the deal passing. However, uncertainty both here at home (due to the debt ceiling worries) and overseas (due to the continuing debt crisis in Europe) means that investors will likely continue to see our Bond market as a safe haven for their money. This could ultimately benefit Bonds--and home loan rates, which are tied to Mortgage Bonds--in the process. The bottom line is that home loan rates remain near historic lows, meaning now is a great time to consider a home purchase or refinance. Let me know if I can answer any questions at all for you or your clients.

 

Forecast for the Week

 

 

After last week's quiet economic report calendar, this week's calendar heats up. Retail Sales will be released on Tuesday and investors will look to see if consumers opened their wallets during the holiday shopping season. We'll get a double dose of inflation news this week, with the wholesale-measuring Producer Price Index on Tuesday and the Consumer Price Index on Wednesday. Housing Starts and Building Permits will be reported on Thursday along with Weekly Initial Jobless Claims. We'll also see a double dose of manufacturing news, with the Empire State Index on Tuesday and the Philly Fed Index released on Thursday. To close out the week, the Consumer Sentiment Report will be released on Friday. Remember: Weak economic news normally causes money to flow out of Stocks and into Bonds, helping Bonds and home loan rates improve, while strong economic news normally has the opposite result. The chart below shows Mortgage Backed Securities (MBS), which are the type of Bond that home loan rates are based on. When you see these Bond prices moving higher, it means home loan rates are improving -- and when they are moving lower, home loan rates are getting worse. To go one step further -- a red "candle" means that MBS worsened during the day, while a green "candle" means MBS improved during the day. Depending on how dramatic the changes were on any given day, this can cause rate changes throughout the day, as well as on the rate sheets we start with each morning. As you can see in the chart below, Bonds and home loan rates worsened last week as Stocks hit five-year highs. But home loan rates remain near historic lows and I'll be watching closely to see what happens this week. Chart: Fannie Mae 3.0% Mortgage Bond (Friday Jan 11, 2013)

 

The Mortgage Market Guide View...

 

 

Pardon the Intrusion The High Cost of Office Interruptions Getting into that peak state of performance some people call "flow"--where ideas come easy and productivity seemingly doubles, or triples if you're lucky--is an elusive state for many office workers. Basex, a research and advisory firm, estimated the cost of workplace interruptions such as unscheduled calls, emails, and instant messaging at around $588 billion per year in lost productivity for the U.S. economy. And that's not all. New York Times bestseller Brain Rules, written by developmental molecular biologist Dr. John Medina, points out... A task that's interrupted takes 50% longer and has 50% more mistakes than an uninterrupted one On average, an interrupted worker takes 23 minutes to get back to the original task, and an additional 30 minutes to return to the "flow" state 80% of the time workers will return to an interrupted task later in the day; in 1 out of 5 occurrences, however, they will not be able to return to it the same day Frequent task changes without completion significantly increases stress levels as opposed to handling things to completion one at a time The bottom line is interruptions not only hurt your productivity but may also harm your health. Try to limit interruptions during your day as much as possible by: Checking email or taking calls only during certain times of the day Keeping your door closed Wearing headphones (even if nothing is playing) Making sure every staff member knows the true cost of their interruptions And the next time you want to interrupt someone else, remember that your 30 second request may easily become an hour of extra work--not to mention additional mistakes that take even more time to correct later on. Economic Calendar for the Week of January 14 - January 18 Date ET Economic Report For Estimate Actual Prior Impact Tue. January 15 08:30 Retail Sales Dec 0.2%   0.3% HIGH Tue. January 15 08:30 Retail Sales ex-auto Dec 0.3%   0.0% HIGH Tue. January 15 08:30 Producer Price Index (PPI) Dec 0.0%   -0.8% Moderate Tue. January 15 08:30 Core Producer Price Index (PPI) Dec 0.2%   0.1% Moderate Tue. January 15 08:30 Empire State Index Jan 2.0   -8.1 Moderate Wed. January 16 08:30 Beige Book Jan NA   NA Moderate Wed. January 16 08:30 Core Consumer Price Index (CPI) Dec 0.1%   0.1% HIGH Wed. January 16 08:30 Consumer Price Index (CPI) Dec 0.0%   -0.3% HIGH Thu. January 17 08:30 Jobless Claims (Initial) 1/12 370K   371K Moderate Thu. January 17 08:30 Building Permits Dec 905K   899K Moderate Thu. January 17 08:30 Housing Starts Dec 889K   861K Moderate Thu. January 17 10:00 Philadelphia Fed Index Jan 5.2   4.6 HIGH Fri. January 18 10:00 Consumer Sentiment Index (UoM) Jan 75.0   72.9 Moderate

 

The material contained in this newsletter is provided by a third party to real estate, financial services and other professionals only for their use and the use of their clients. The material provided is for informational and educational purposes only and should not be construed as investment and/or mortgage advice. Although the material is deemed to be accurate and reliable, we do not make any representations as to its accuracy or completeness and as a result, there is no guarantee it is without errors.   As your mortgage professional, I am sending you the MMG WEEKLY because I am committed to keeping you updated on the economic events that impact interest rates and how they may affect you.   In the unlikely event that you no longer wish to receive these valuable market updates, please USE THIS LINK or email: ireis@primeres.com   If you prefer to send your removal request by mail the address is:   Ida S. Reis Primary Residential Mortgage, Inc. 1220A East Joppa Road, Suite 118 Towson, MD 21286 Mortgage Success Source, LLC is the copyright owner or licensee of the content and/or information in this email, unless otherwise indicated.   Mortgage Success Source, LLC does not grant to you a license to any content, features or materials in this email.   You may not distribute, download, or save a copy of any of the content or screens except as otherwise provided in our Terms and Conditions of Membership, for any purpose.

Updating the kids’ rooms on a budget

CRS CONSUMER ARTICLE - January 2013

 

Whether it’s food, clothing, or especially their rooms, children’s likes, dislikes and tastes are ever-changing. “Themed” bedrooms are constantly being outgrown, yet most parents want their kids to have an environment they’ll enjoy spending time in for play, homework, and sleep. No need to break the bank -- it’s possible to decorate and equip a child’s room using some imagination and not a lot of money. Here are some ideas on how to pull it off.

 ·         Paint is your friend. Nothing transforms a room like a new coat of paint, especially if you go with a bright or trendy color selected by your child. If your child is old enough, get him or her involved in painting the walls or trim, and be sure to keep some extra paint for sure-to-be-needed touchups. Changing the color again in a couple of years is not difficult or time consuming; watch the home stores for paint sales and make your move. Add to the color scheme with inexpensive throw pillows or pillow covers.

 
·         Think twice before creating an entire room based on a very specific theme, such as a popular cartoon character, dinosaurs or space travel. Kids often lose interest quickly and shift their attention to the next thing that captures their imaginations. Instead, consider using just a few relatively inexpensive elements to recognize these interests – posters and collages are just a couple of ways to include a theme without going overboard. Garage sales can also be a good source of well-priced themed items that were previously loved by another child.

·         For larger items such as dressers, bed frames and other furniture, see if your community has a website that lists items for sale or trade. A quick coat of paint and minor repairs may be all that’s needed to transform an inexpensive (or free) piece into a real find. This ultimate form of recycling is also a great way to find new life for unwanted items from your own home.

·         Shelves and bookcases make great places for children of any age to create ever-changing displays that reflect their interests – from artwork and action figures to favorite books, or gear from their sports teams of the moment. The flexibility of these spaces will be appreciated by small children to teenagers for years to come.

With some creativity and resourcefulness, you and your children can create personal spaces that they’ll love, and that can be changed and updated without spending a fortune.

8 Tips to Make Your Remodel More Energy Efficient and Your Home Healthier

By: Dona DeZube

Published: October 18, 2012

As long as you’re remodeling, why not cut your utility bill and make your home a bit healthier?

Saving energy wasn’t on the list of reasons we’re finally ripping out the kitchen in our mid-century home (green-veined, imitation marble laminate countertops figured much more prominently). But, a session at the recent 2012 Remodeling Show in Baltimore clued me in as to why adding a few simple tasks to our remodeling plan could lower our home’s energy bill, get rid of some of the annoying hot and cold spots in our house, and make our home less hospitable to mold and other allergens.
Carl Seville, author of Green Building: Principles and Practices in Residential Construction, shared some simple, inexpensive ways to make remodels and additions more energy efficient from the standpoint of energy usage and conservation of resources.
Try these eight tips from Seville:
1. Check for water intrusion, condensation, and excess moisture before you begin the project. Fixing those issues during remodeling can improve your home’s indoor air quality (excess moisture encourages mold).
2. Use the least amount of framing allowed by your building code when adding walls. Not only will you have to pay for less lumber and fewer nails, the contractor will have more room to put insulation in your walls, making your home more energy efficient.
3. Resist the urge to splurge on multiple shower heads. Opt for a single low-flow shower head rather than installing a car wash-style plethora of shower heads.
4. If possible, add new HVAC ducts to parts of your home that are heated and cooled, rather than placing them in a space with unconditioned air (like the attic). If that’s not possible, insulate the ducts. Have an HVAC diagnostician analyze your system to make sure it’s sized correctly and balanced to properly exchange old and new air.
5. Be sure to insulate around recessed lights that protrude into un-insulated attic spaces — these are major sources of air leaks.
6. If you’re wasting water, you’re wasting energy. Look at high-efficiency or solar water heaters, and insulate your water pipes. If you want hot water faster, move the water heater closer to the faucet or install demand pumps to drive hot water to the fixture.
7. Install wall-mounted efficiency toggle switch plates for the outlets where you plug in your televisions and computers to make it easy to cut off the power to electronics you’re not using.
8. A humidistat that automatically turns on the bathroom fan when moisture rises beats depending on teenagers or tenants remembering to use the fan. Reducing bathroom moisture reduces the chances you’ll have mold.
When I pull the kitchen cabinets off the wall, I’m going to use caulk to seal between the wallboards and the floorboards before I put down new flooring and install the new cabinets. And since I’ll have the caulk out, I’m going to seal the top of window trim, something my home’s builder didn’t do.
What are your tips for smart energy savings during a remodel?

Happy New Year!

My year is off to a terrific start.  My home office is a well organized, peaceful place to work and think due in large part to the steadfast efforts of my son, Chris, who has made it his goal for over a month. I am grateful for his expertise and understanding in accomplishing a lot in a relatively short period of time. Not to mention all the stuff he loaded, sorted, bagged, boxed, moved and removed, donated or recycled. My daughter, Alicia, and my husband, Bill, have been helpful in accomplishing certrain aspects of this transition (heavy lifting and truck loads, too) and I am very thankful for their contributions as well.  My two youngest, Daniela and Nicole, texted me their New Year's wishes from different parts of New York state early this morning within minutes of midnight.  A perfect beginning to a brand new year!  Make it a good one!

A thought to help you along:

"Do Not Give Up.  The Beginning is Always the Hardest."  (Thanks Chris.)