The National Association of Realtors just released the following article.

 Pending Home Sales Stabilize, Remain Above Year-Ago Levels

Washington, February 02, 2010

Pending home sales have leveled from a market swing driven by response to the home buyer tax credit, according to the National Association of Realtors®.

The Pending Home Sales Index,* a forward-looking indicator based on contracts signed in December, increased 1.0 percent to 96.6 from 95.6 in November, and remains 10.9 percent above December 2008 when it was 87.1. In November, the monthly index had fallen by 16.4 percent from surging activity in preceding months.

Lawrence Yun, NAR chief economist, said it’s important to recognize how the tax credit is skewing market data. “There are easily understood swings in contract activity as buyers respond to a tax credit that was expiring and was then extended and expanded,” he said. “These swings are masking the underlying trend, which is a broad improvement over year-ago levels. December activity was the fifth highest monthly tally in two years.”

Buyers who have a contract in place to purchase a primary residence by April 30, 2010, have until June 30, 2010, to finalize the transaction to qualify for a tax credit of up to $8,000 for first-time buyers and $6,500 for repeat buyers.

The PHSI in the Northeast rose 2.3 percent to 76.1 in December and is 14.9 percent higher than December 2008. In the Midwest the index increased 5.2 percent to 86.9 and is 8.7 percent above a year ago. Pending home sales in the South rose 2.2 percent to an index of 98.4, and are 5.5 percent higher than December 2008. In the West the index fell 3.8 percent to 119.9 but is 18.6 percent above a year ago.

Yun projects the extended and expanded tax credit will encourage 2.4 million households to take the credit in 2010. “While new-home sales will remain low due to a lack of construction, existing-home sales are projected to rise to around 5.6 million in 2010,” Yun said. Last year there were 5.16 million existing-home sales.

He added that one of the greatest benefits of rising sales will be firming home prices. “For several months now we’ve been seeing stabilization in all of the home price measures as inventory is pulled down,” Yun said. “As a result, the housing wealth for many middle class families has begun to stabilize.”

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.

# # #

*The Pending Home Sales Index is a leading indicator for the housing sector, based on pending sales of existing homes. A sale is listed as pending when the contract has been signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing.

The index is based on a large national sample, typically representing about 20 percent of transactions for existing-home sales. In developing the model for the index, it was demonstrated that the level of monthly sales-contract activity from 2001 through 2004 parallels the level of closed existing-home sales in the following two months. There is a closer relationship between annual index changes (from the same month a year earlier) and year-ago changes in sales performance than with month-to-month comparisons.

An index of 100 is equal to the average level of contract activity during 2001, which was the first year to be examined as well as the first of five consecutive record years for existing-home sales.

Existing-home sales for January will be reported February 26 and the next Pending Home Sales Index will be on March 4; release times are 10 a.m. EST.

Bend’s local paper, The Bend Bulletin, reported a jump in notices of foreclosure for the month of January.  A notice of foreclosure is filed when owners are behind in their mortgage payments.  The bank gives legal notice that they are going to foreclose if the payments are not brought current.

“There were 402 notices of default recorded in Deschutes County last month, the most since the housing crisis began three years ago, according to the Deschutes County Clerks Office.

The number increased by nearly 26 percent from the 320 default notices recorded in December 2009, and more than 95 percent from the 206 notices recorded in January 2009.”

This spring looks like a great time to buy a bank foreclosure in Bend Oregon.  There is a lot of money to be made in today’s real estate market.  We are seeing a steady increase of out of town buyers buying investment rentals, second homes and primary residences.

Bend has always been a highly desirable place to live.  The recreational opportunities are abundant; everything from mountain biking, hiking, rafting, golfing, fishing, rock climbing, camping, downhill and cross country skiing, snowmobiling, general sightseeing and much more.

Our real estate prices are down and interest rates are near historic lows.  The national economy looks like it has bottomed out.  Now is the time to buy real estate in Bend Oregon. 

If you’re thinking about buying a bank foreclosure in Bend you should sign up for Jim’s free New Listing Notification Service or call or e-mail today.  Jim Johnson is a Certified Residential Specialist and has been selling quality homes in Bend Oregon since 1981.

 Call 541-389-4511 or see his web site to search the MLS - Bend Oregon Real Estate.  Jim is licensed by the State of Oregon as the Principal Broker for Bend Oregon Real Estate Expert.  E-MAIL 
If you have questions about Bend or Bend Oregon real estate just type in the subject of your question in the search box in the right hand column and click search.  You can use this blog as your search engine for Bend Oregon real estate.

There are currently 4 bank owned homes in Broken Top for sale.  If you have been considering buying a home in Broken Top now is the time.  These homes  have an average asking price of $163.97 a square foot.  You could not replace these homes for these prices. 

Broken Top is one of the most prestigious golf course communities in Bend.   If you are considering buying a home in Broken Top or any other quality neighborhood you should sign up for Jim’s New Listing Notification Service. You can contact Jim with any real estate questions you may have at 541-389-4511 or send him an e-mail.

Jim Johnson is licensed as the Principal Broker of Bend Oregon Real Estate Expert by the State of Oregon. WEB SITE  Jim specializes in helping buyers buy bank foreclosures.

Washington, January 05, 2010

Contract activity for pending home sales fell after a surge of activity in preceding months to beat the original deadline for the first-time home buyer tax credit but remains comfortably above a year ago, according to the National Association of Realtors®.

The Pending Home Sales Index,* a forward-looking indicator based on contracts signed in November, fell 16.0 percent to 96.0 from an upwardly revised 114.3 in October, but is 15.5 percent higher than November 2008 when it was 83.1.

Lawrence Yun, NAR chief economist, said a drop was expected. “It will be at least early spring before we see notable gains in sales activity as home buyers respond to the recently extended and expanded tax credit,” he said. “The fact that pending home sales are comfortably above year-ago levels shows the market has gained sufficient momentum on its own. We expect another surge in the spring as more home buyers take advantage of affordable housing conditions before the tax credit expires.”

Buyers who have a contract in place to purchase a primary residence by April 30, 2010, have until June 30, 2010, to finalize the transaction to qualify for the tax credit of up to $8,000 for first-time buyers and $6,500 for repeat buyers.

The PHSI in the Northeast dropped 25.7 percent to 74.4 in November but is 14.7 percent above a year ago. In the Midwest the index fell 25.7 percent to 82.0 but is 9.2 percent higher than November 2008. Pending home sales in the South fell 15.0 percent to an index of 97.8, but are 14.7 percent higher than a year ago. In the West the index declined 2.7 percent to 124.6 but is 21.4 percent above November 2008.

Yun projects an additional 900,000 first-time buyers will qualify for the extended tax credit in addition to about 2 million who have already purchased; 1.5 million repeat buyers also are expected to benefit from the credit.

“Many trade-up buyers, who have historically timed their purchase based on school-year considerations, will have to accelerate their buying plans if they need the tax credit to make a trade,” Yun said. Repeat buyers do not have to sell their existing home to qualify for the credit, but they must occupy the home they buy as their primary residence.

Yun added that mortgage interest rates cannot remain at rock-bottom levels for a sustained period and will likely inch higher in 2010. But the tax credit impact in the first half of the year and expected job growth impact in the second half will support home buying activity and absorb enough inventory to bring a rough balance between buyers and sellers. Home prices are expected to stabilize or even modestly rise as a result in 2010.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.

# # #

*The Pending Home Sales Index is a leading indicator for the housing sector, based on pending sales of existing homes. A sale is listed as pending when the contract has been signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing.

The index is based on a large national sample, typically representing about 20 percent of transactions for existing-home sales. In developing the model for the index, it was demonstrated that the level of monthly sales-contract activity from 2001 through 2004 parallels the level of closed existing-home sales in the following two months. There is a closer relationship between annual index changes (from the same month a year earlier) and year-ago changes in sales performance than with month-to-month comparisons.

An index of 100 is equal to the average level of contract activity during 2001, which was the first year to be examined as well as the first of five consecutive record years for existing-home sales.

Existing-home sales for December will be reported January 25 and the next Pending Home Sales Index will be on February 2; release times are 10 a.m. EST.

Now is a great time to buy a home in Bend Oregon. If you are considering buying a home in Bend you should sign up for Jim’s New Listing Notification Service. You can contact Jim with any real estate questions you may have at 541-389-4511 or send him an e-mail. Jim Johnson is licensed as the Principal Broker of Bend Oregon Real Estate Expert by the State of Oregon. WEB SITE

Realtors® See a Decade of Dramatic Developments

WASHINGTON, December 30, 2009

At the beginning of the 21st century, most home buyers had never viewed a home online; the three top home sale marketing methods were yard signs, newspaper ads and open houses; and nearly nine out of 10 buyers financed their purchase with a fixed-rate, 30-year mortgage. What a difference a decade makes.

“The real estate industry has seen tremendous change and evolution over the past decade,” said NAR President Vicki Cox Golder, owner of Vicki L. Cox & Associates in Tucson, Ariz. “As the first, best source for real estate information, Realtors® have not only anticipated and adapted to the evolving needs of their clients and customers, but also have influenced industry trends and innovations that will carry us into the future.”

In 1999, buyers who went online in search for a home were in the minority – only 37 percent of buyers used the Internet in their home search, according to data from the NAR Profile of Home Buyers and Sellers. Today, 90 percent of buyers are searching online, and the real estate industry has responded. Sites like REALTOR.com, which attracts nearly 12 million total visits every month, have evolved to gives today’s buyers what they want – not just property listings, but multiple photos, online videos, mapping features, and comprehensive neighborhood information, as well.

Median home values over the past decade have increased more than 25 percent, from $137,600 in November 1999 to $172,600 in November 2009 (the most recent existing-home data available). Fewer people are buying detached, single family homes – 82 percent in 1999 compared to 78 percent in 2009 – but more people are buying homes in suburban neighborhoods – 46 percent in 1999 compared to 54 percent today.

Buyers themselves have also changed. A smaller proportion of married couples are buying homes these days; while married couples comprised 68 percent of all home purchases at the beginning of this century, they represent 60 percent of all buyers today. Single men and women have made up the difference – single men purchased 10 percent of all homes last year, compared to only 7 percent 10 years ago. Single women now represent more than one-fifth of all home buyers – 21 percent, up from 15 percent in 1999.

Other things haven’t changed. The median age for home buyers last year was 39, just as it was in 1999. Neighborhood quality, affordability, and convenience to work and school have consistently been top priorities for both past and present buyers. And eight out of 10 recently surveyed consumers believe that owning a home is an investment in their future.

“Realtors® have been around for more than 100 years, but one constant during that time has been the persistence of home ownership as the American Dream,” said Golder. “As the first decade of this century comes to a close, NAR stands ready to meet the many challenges and opportunities that lie ahead by helping our Realtor® members better serve their clients and communities and ensuring that those dreams of home ownership remain possible for all who want to achieve it.”

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.

Now is a great time to buy a home in Bend Oregon. If you are considering buying a home in Bend you should sign up for Jim’s New Listing Notification Service. You can contact Jim with any real estate questions you may have at 541-389-4511 or send him an e-mail. Jim Johnson is licensed as the Principal Broker of Bend Oregon Real Estate Expert by the State of Oregon. WEB SITE

Another Big Gain in Existing-Home Sales as Buyers Respond to Tax Credit

Washington, December 22, 2009

Existing-home sales rose again in November as first-time buyers rushed to close sales before the original November 30 deadline for the recently extended and expanded tax credit, according to the National Association of Realtors®.

Existing-home sales – including single-family, townhomes, condominiums and co-ops – rose 7.4 percent to a seasonally adjusted annual rate¹ of 6.54 million units in November from 6.09 million in October, and are 44.1 percent higher than the 4.54 million-unit pace in November 2008. Current sales remain at the highest level since February 2007 when they hit 6.55 million.

Lawrence Yun, NAR chief economist, said the rise was expected. “This clearly is a rush of first-time buyers not wanting to miss out on the tax credit, but there are many more potential buyers who can enter the market in the months ahead,” he said. “We expect a temporary sales drop while buying activity ramps up for another surge in the spring when buyers take advantage of the expanded tax credit, which hopefully will take us into a self-sustaining market in the second half of 2010. In all, 4.4 million households are expected to claim the tax credit before it expires and balance should be restored to the housing sector with inventories continuing to decline.”

An NAR practitioner survey² shows first-time buyers purchased 51 percent of homes in November, compared with an upwardly revised 50 percent of transactions in October.

According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to 4.88 percent in November from 4.95 percent in October; the rate was 6.09 percent in November 2008. Last month’s mortgage interest rate was the second lowest on record after bottoming at 4.81 percent in April 2009.

NAR President Vicki Cox Golder, owner of Vicki L. Cox & Associates in Tucson, Ariz., said conditions are optimal for buyers in the current market. “Inventories have steadily declined and are closer to balanced levels, which indicate home prices in many areas are either stabilizing or could soon stabilize and return to normal appreciation patterns,” she said. “This means buyers still have good choices but are purchasing near the bottom of the price cycle with historically low mortgage interest rates. Throw a tax credit on top and it really doesn’t get any better for buyers with secure jobs and long-term ownership plans.”

Total housing inventory at the end of November declined 1.3 percent to 3.52 million existing homes available for sale, which represents a 6.5-month supply³ at the current sales pace, down from an 7.0-month supply in October.

Raw unsold inventory figures are 15.5 percent below a year ago. The last time there was a lower supply of homes on the market was April 2006 when it was at a 6.1-month supply.

“Nearly all markets experienced a solid sales gain from one year ago,” Yun said. “The only markets with measurably lower sales were in San Diego, Riverside, and Sacramento, where inventory shortages for lower priced homes are limiting sales.”

For the second month in a row, sales have risen in all price classes from a year earlier. Prior to October, the only consistent gains were in the lower price ranges.

The national median existing-home price⁴ for all housing types was $172,600 in November, which is 4.3 percent below November 2008. Distressed properties, which accounted for 33 percent of sales in November, continue to downwardly distort the median price because they generally sell at a discount relative to traditional homes in the same area.

Single-family home sales jumped 8.5 percent to a seasonally adjusted annual rate of 5.77 million in November from a level of 5.32 million in October, and are 42.1 percent above the pace of 4.06 million in November 2008. The median existing single-family home price was $171,900 in November, down 4.4 percent from a year ago.

Existing condominium and co-op sales in November were unchanged from a seasonally adjusted annual rate of 770,000 in October, but are 60.1 percent above the 481,000-unit pace a year ago. The median existing condo price⁵ was $178,000 in November, which is 3.1 percent below November 2008.

Regionally, existing-home sales in the Northeast rose 6.6 percent to an annual level of 1.13 million in November, and are 52.7 percent higher than November 2008. The median price in the Northeast was $223,400, down 13.1 percent from a year ago.

Existing-home sales in the Midwest increased 8.4 percent in November to a pace of 1.55 million and are 53.5 percent above a year ago. The median price in the Midwest was $140,800, a decline of 0.4 percent from November 2008.

In the South, existing-home sales rose 4.8 percent to an annual level of 2.39 million in November and are 44.8 percent higher than a year ago. The median price in the South was $151,400, down 1.4 percent from November 2008.

Existing-home sales in the West increased 10.6 percent to an annual rate of 1.46 million in November and are 28.1 percent above November 2008. The median price in the West was $231,100, which is 4.1 percent below a year ago.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.

Now is a great time to buy a home in Bend Oregon. If you are considering buying a home in Bend you should sign up for Jim’s New Listing Notification Service. You can contact Jim with any real estate questions you may have at 541-389-4511 or send him an e-mail. Jim Johnson is licensed as the Principal Broker of Bend Oregon Real Estate Expert by the State of Oregon. WEB SITE

Even though Bend Oregon is a great place to live it’s nice to get away for a while.  After a good year selling homes in Bend my wife Connie and I will arrive in Phoenix tomorrow to spend Christmas with Connie’s family.  Connie’s cousin has a full RV hook up at here house in Scottsdale.  So we will be spending a few days there before heading to Green Valley for some sunshine and birding.

The next few months will be the time to by Bend Oregon real estate.  Prices are low, interest rates are at historic lows and the economy is slowing coming back.  Have a good holiday and new year.

Tetherow Gold Club in Bend Oregon was named in the ”best of new course” award by Golf Digest.  Tetherow placed third on the magazines’ list of “America’s Best New Public Courses of 2009.”  The announcement will be published in the January 2010 issue of the magazine.  Tetherow was also named “Best New Course of 2008″ by Golf Magazine.  The course was finished in July 2008. 

Tetherow hit the Bend Oregon real estate market at a bad time.  There have been no homes sold through the Central Oregon Multiple Listing Service and only two lots in the last year.  It looks like Tetherow is off to a slow start with this economy.  In the long run I think it will be a good investment considering their award winning course.

If you’re thinking about buying a home or land in Bend you should sign up for Jim’s free New Listing Notification Service or call or e-mail today. 

Jim Johnson is a Certified Residential Specialist and has been selling quality golf course homes in Bend Oregon since 1981.

 Call 541-389-4511 or see his web site to search the MLS - Bend Oregon Real Estate.  Jim is licensed by the State of Oregon as the Principal Broker for Bend Oregon Real Estate Expert.  E-MAIL 

The Bend Oregon local newspaper, The Bulletin, had three articles pointing to the end of the recession in Oregon Thursday.  “Index shows end of Oregon recession” reported that the University of Oregon’s Index of Economic Indicators rose for the third month in a row.  Signaling the end of the recession in Oregon.

“Fed Survey finds signs of recovery” and a graph showing the continued rise in pending home sales for a record nine months.  It’s also been recently reported that Bend Oregon real estate inventories are down by almost 50%.  The number of bank foreclosures for currently for sale is down about 25% as compared to this summer.

In my opinion the real estate market in Bend is not going to bounce up with any dramatic increases but we will see more and more multiple offers on well priced listings.  Five of the 18 home sales I made this year were involved with multiple offers.  Some of my clients lost homes that were in multiple offer situations.

About 80% of the homes for sale in Bend today are over priced but the remaining homes present great opportunities for the home buyer.  These prices are great and interest rates are at historic lows.  I believe between now and next summer is the time to buy.

If you’re thinking about buying a home in Bend you should sign up for Jim’s free New Listing Notification Service or call or e-mail today.  Jim Johnson is a Certified Residential Specialist and has been selling quality homes in Bend Oregon since 1981.

 Call 541-389-4511 or see his web site to search the MLS - Bend Oregon Real Estate.  Jim is licensed by the State of Oregon as the Principal Broker for Bend Oregon Real Estate Expert.  E-MAIL 

If you have questions about Bend or Bend Oregon real estate just type in the subject of your question in the search box in the right hand column and click search.  You can use this blog as your search engine for Bend Oregon real estate.

The local Bend news paper, The Bulletin, recently reported that commercial real estate vacancy rates seem to be stabilizing.  The vacancy rates broke down as follows:

Retail Vacancy: 13.1%
Industrial: 17.1%
Office Vacancy: 20%

By stabilization the article says that the increase in vacancies is slowing.  Vacancies are not falling yet.  A local commercial broker was quoted as saying “We’re not seeing the death spiral of dramatic increases in vacancy and lower rental rates……….”.  I’m of the opinion that we have not seen the bottom of the Bend Oregon commercial real estate market yet.

I do believe that now is the time to start looking around to pick up distressed commercial properties and bank foreclosures.  However, investors must have holding power to make money in this market.

If you’re thinking about buying commercial real estate in Bend you should sign up for Jim’s free New Listing Notification Service or call or e-mail today.  Jim Johnson  has been selling real estate in Bend Oregon since 1981.

 Call 541-389-4511 or see his web site to search the MLS - Bend Oregon Real Estate.  Jim is licensed by the State of Oregon as the Principal Broker for Bend Oregon Real Estate Expert.  E-MAIL