February 26, 2009

I just sent out my March newsletter.  There is a market summary, my new listings, and some information on changes in local businesses such as Nibbley's Cafe and Gino's Cafe Italiano.

In it I also mention my son's love for hockey!  Tonight is one of his practice's, and hockey will be ending next week.  I'm sure, however, he will continue to play goalie in the garage, practice his reflexes with a tennis ball to our living room wall, play his NHL video games, and watch all the games leading up to the Stanley Cup!  I think it's great to have a kid who has such a passion for something!

Speaking of passion.  I love what I do.  Helping people sell their home and move up, or relocate to our area, or buy their first home, or even helping people sell the estate of their loved one is something that brings me great satisfaction.  I have made so many wonderful relationships in this job, and I hope to continue to do so as the years go by.

Right now is a very trying time in our economy, and in real estate as well.  I want to be your most up-to-date source for market trends and changes, so please feel free to contact me with questions about home loans, buying a home, refinancing, what the value of remodels will bring, what your neighbor's home sold for, and anything else that will help to make your decisions easier.

On that note, here is my kiddo!

We are bailing out the very companies that are holding our feet to the fire -- raising credit card interest rates to 29.99% when you paid a day late, refusing to work with you on a short-sale, taking your 401K retirements, etc.

Why are we doing this???  They say, 'They are too big to let fail". 

I say, "Let them!".

I have been writing to everyone from my governor to the President about aid to housing as a major component of any stimulus plan.  While I opposed the first stimulus plan, and am disgusted at all the ridiculous things that seem to get tucked away in them, I feel like we are at a point in the economy that without one, things are going to get terribly worse.

We need jobs.  We need people to be able to stay in their homes.  We need tax relief.

My theory is this:  There are already too many foreclosures on the market, which is driving down home prices.  If nothing is done to help keep people in their homes now, more people will be unable to keep their homes, adding more foreclosures to an already saturated housing market.  Then, when your neighbor, who put 20% down on the home they bought four years ago gets transferred and needs to sell...guess what?  The value of their home has come down so much they not only can't sell for what they bought it for, they can't sell it for even the equity they had when they put 20% down.  So they are in a short-sale situation, the bank won't work with them, or they can't sell before it starts to hurt them after they've transferred...and now they decide to just give the deed in lieu of foreclosure.  Add another foreclosure to the market, and the cycle repeats itself.

This is reality.  This has happened to clients of mine, and will continue to happen unless we can work with those who are struggling to make their payments due to job loss or income reduction, coupled with their homes being worth less than they owe on them.  If they want to keep their homes and are able to with a reduced monthly payment, why not lower their interest rate, or extend their loan term, or give them a forebearance period?  I understand that's not the agreement that was entered into, but if the government thinks it's okay to hand out billions to the banks, well then those banks better darn-well be doing something constructive with all that money!

So...what are your thoughts?

January 22, 2008

Little did I know how difficult keeping up with a blog would be.  I am in the process of re-vamping this section, so that it can be interactive.  I would love ideas from home-towners and out-of-towners on what kinds of things you want to know abou or have highlighted.  I'd also like to do a Q&A section.  Anyway, keep your eyes open for a new look and new interaction.  Meanwhile, enjoy this picture I just took on the way home from Ashland last week.

August 2, 2008

It seems the news has stayed relatively the same since my last post.  The economy is on everyone's mind as we get daily reminders from the news about all the challenges we are facing.  However, the President just signed a bill giving a $7,500 tax credit to new homebuyer's, permanently increasing jumbo loan limits, and helping those who are struggling to pay their house payments with better loan terms.  There was also news that as gas prices eased a little, mortgage rates dropped.

The negative part of this recent bill was banning down-payment assistance from sellers on FHA loans.  However, we are still in a market where seller's are usually willing to make concessions, and they can range from giving carpet or repair allowances, buying down your discount points on your loan, and other creative options.  It doesn't hurt to talk to a reputable lender or Realtor to get more information on the options that are out there (you can always contact me for trustworthy and proven local lenders).

As for the Klamath Falls housing market, the good news is there are some awesome deals out there!  While we have seen an increase in foreclosure properties, the news isn't as bad as many of the hard-hit areas around the country.  I currently have two foreclosures listed and would be happy to guide you on how to make an offer on them, or any other foreclosed homes on the market.

For those who can afford a rental property, it's such a great time to purchase investments.  I've just listed a 3 bedroom, 1.5 bath home with almost 1,500 square feet at...*drum roll*...only $106,900!!!  It needs very little work, and is a great rental property in an area of nice homes - very conveniently located to downtown Klamath Falls.

So - whether you are thinking of purchasing investment property, moving up to a larger home, or downsizing, it's a great time to get a good deal.  I'd love to help you achieve your real estate goals!

Kim

April 23, 2008

Here are our market statistics as of March 31, 2008:

	Mar-08	Feb-08	Difference	% Change	Mar-07	Difference	% Change
Units	38	37	1	2.70%	86	-48	-55.81%
Avg. Price	$177,882	$159,976	$17,906	11.19%	$179,291	-$1,409	-0.79%
Median Price	$143,500	$140,000	$3,500	2.50%	$171,000	-$27,500	-16.08%
Avg. D.O.M.	146	128	18	14.06%	133	13	9.77%
Active Listings	831	809	22	2.72%	749	82	10.95%
Inventory Ratio*	21.9	21.9	0	0.00%	8.7	13.2	151.72%

* Number of months needed to sell current housing inventory at current sales rate.

This is one of the reasons I live in Klamath Falls.  There were also white egrets hanging around, and redwing blackbirds and many others I did not recognize.  Further out I saw jillions of snow geese (is "jillions" a word?).  Unfortunately, I did not have my zoom lens with me and they were too far out to get a good picture.  It looked like snow on the ground -- what a sight it would have been had they all taken flight.  Alas, I had homes to show and couldn't wait for that moment.

April has shown signs of warmth, but we just had two days of light snow.  By this weekend?  Temperatures in the 70's they are saying.  Could it be that Spring really is here?  Buyer's are looking at more homes and visiting open houses, so it looks like they might actually be getting ready to make decisions.

As for our local market, it's looking like 'the bottom has hit'.  For those who are waiting, now may be the time to buy.  The positive side of living in Klamath Falls is that since nothing seems to happen in extremes, our prices didn't raise as high, which means they don't have to fall as low.  I've heard over and over in classes and seminars that those who get wealthy in real estate buy in a down market.

So....what are you waiting for?

	Jan-08	Dec-07	Difference	% Change	Jan-07	Difference	% Change
Units	33	52	-19	-36.54%	57	-24	-42.11%
Avg. Price	$178,108	$201,732	-$23,624	-11.71%	$183,693	-$5,585	-3.04%
Median Price	$169,900	$182,000	-$12,100	-6.65%	$162,000	$7,900	4.88%
Avg. D.O.M.	156	160	-4	-2.50%	135	21	15.56%
Active Listings	735	718	17	2.37%	638	97	15.20%
Inventory Ratio*	22.3	13.8	8.5	61.59%	11.2	11.1	99.11%

The message:  If you are a buyer, there is a lot of inventory on the market and by all forecasts I've read it is expected that prices will level and hold steady for the remainder of the year.  If you intend to stay in your home for more than 2-3 years, it's a great time to buy and gain some equity, and take advantage of lower interest rates.  There is concern interest rates may rise as the year progresses.

If you are a seller, now is not the time to 'test the market'.  There is a lot of inventory and competition, and you must be motivated to sell.  If you don't have to sell, don't sell.  This will reduce the inventory and, therefore, create higher demand, which will benefit you several years down the road.

If you have any questions about our current market, about buying, or about selling, please feel free to contact me.

Kim

February 18, 2008

Good morning!  As I perused the news over the weekend it became more apparent than ever that if you are in the market to sell your home or purchase a new one you need the assistance of a knowledgeable and experienced real estate agent more than ever.  With so much news inundating us from mortgage issues, foreclosures, the housing market, the economy and so on, it's important to know your local market and how these topics are affecting home sales locally.

For instance, the recent National Association of Realtor (NAR) stats for the 4th quarter of 2007 states that the national median price of a home dropped 5.8%, to $206,200 from $219,300, and was the steepest ever recorded by the NAR, which has been compiling the report since 1979. (The median price is the one in which half of all homes sold for more and half for less.  Using median prices rather than mean - or average - prices reduces the impact of the sale of very expensive homes, which would raise mean prices disproportionately.)  However, in this report it also stated that seventy-three of the nation's 151 real estate markets recorded price gains.

Compare this to our local stats:  Our median price in September 07 was $165,000 and finished December 2007 at $182,000 - a 10% increase in median price for the 4th quarter 2007.  Our median price at the end of December 2006 was $175,250 and increased to $182,000.  A total 3.8% gain for the year.

Because this information directly affects how you buy a home and how you sell a home it's important to have someone beside you who knows the needs of buyers and where the market is heading.

If you'd like to discuss our local Klamath Falls real estate market I'd be happy to talk with you.  Meanwhile, enjoy the sunshine while it's here!

As of Today (per Klamath County MLS):
Active Residential Listings: 757
Pending Residential Sales: 86
Sold Homes (January-February 19th, 2008): 52

January 26, 2008

I have just mailed out my new monthly newsletter and have already received very positive feedback.  I wanted to find another way to reach out to my clients and connect on a more personal level, instead of everything being real estate, real estate, real estate.  My newsletter includes information on me and my family, local restaurants and businesses (with discounts), and yes, information on local market statistics, listings, buyer's needs, etc.  If you would like to receive this newsletter each month, please contact me and I'll be happy to get one out to you.

On that note, here are current market stats:

As of Today (per Klamath County MLS):
Active Residential Listings: 740
Pending Residential Sales: 86
Sold Homes (in January): 27

The financial market keeps churning, and this past week has offered much negative news on our state of the economy.  With the news this week that the sale of existing single-family houses dropped in 2007, people are still nervous about investing in real estate.  Klamath Falls, however, has maintained pretty steady numbers compared to national statistics.  While we are definitely in a buyer's market, homes are selling, and values are slightly improving.  Here is a recent quote from Lawrence Yun, National Association of Realtor's Chief Economist:

"Though pent-up demand clearly exists, it is still tricky to anticipate when a meaningful recovery will take place. I do not foresee any major existing-home sales declines from this point onwards, but sales could remain at their current soft pace for a while. Will it be spring or summer or fall when we will see a notable pick-up in home sales? Difficult to say, but it will happen in 2008."

Mortgage rates are very competitive right now, and I'm seeing many of my clients refinancing.  This can be a good thing for payments, but I would caution against taking out large amounts of equity in your home on a refinance.  It's a sad situation when someone comes to sell their home and last year they refinanced, purchased a new car, took a vacation, or otherwise enjoyed that money, and now they can't recoup it.  Be careful.

If you or someone you know would like to know about the current state of our market or their home in particular, please feel free to contact me -- I'd be happy to help.

Kim