U. S. home repossessions rose to a nine-month high in November, even as the number of homes starting on the path to foreclosure declined to the lowest level in 6 years.  This marks the 1st annual increase in bank repossessions since October 2010, when allegations of abuses by the mortgage industry compelled many lenders to temporarily halt foreclosures.  This is the lowest number of foreclosure starts since December 2006.  The combination of declining foreclosure starts & a sharp increase in the number of homes taken back by lenders signals that banks are moving to complete foreclosures on homes with mortgages that have gone uppaid for a year or 2.  It’s likely that the borrowers who own these homes already tried to refinance, get a loan modification or sell the homes as a short sale – when the bank agrees to accept less that what is owed on the mortgage – but did not success, said Daren Blomquist, a vice president at RealtyTrac.

That coveted SOLD sign is going  up on homes at a faster rate than in 2011, according to the National Association of Realtors (NAR).  The median time for a home listed on the market fell 29.6% in July over the same month last 2010, to just 69 days.  In July 2011, homes took an average of 98 days to sell.  About 1/3 of  U.S. properties sold in July remained on the market for less than a month.  By the end of July, the number of  FOR SALE properties represented a 6.4 month supply, down 31% from a year ago.  NAR expects a 5% increase in existing homes prices this year, as well as another 5% bump in 2013.  2012 has BEEN A GREAT YEAR FOR BAIN REAL ESTATE and thanks to all our buyers and sellers,  BUT same old story SELLERS WANT TO SELL HIGH and BUYERS WANT TO BUY LOW.  NO DIFFERENCE!

Since March 2012, a landmark mortgage settlement has been providing direct relief to homeowners with $152 million to Texans so far.  As part of the National Mortgage Settlement, the country’s 5 largest mortgage servicers have provided loan forebearance, refinancing programs & loan modifications to reduce mortgage principal.  Thru September 30 of this year, over 4,500 Texas households have received assistance as part of the settlement, totally the $152 million amount.  Nearly half of the assistance came in the form of forgiveness of remaining loan balances to facilitate short sales or deeds in lieu of foreclosure.  The loan servicers under the settlement are required to complete their consumer relief activities by February 2015.  All this information according to the U. S. Department of Housing and Urban Development.

(1)  BOULEVARD owners can head straight to the bank.  (2) PLACE perchers are more likely to turn a profit.  (3)  ROAD warriors are living richer.  BOULEVARD homes brought more money while the cheapest are those on STREET.  About a 36% price difference!  Homes on a ROAD sell for 8% to 9% more than homes on COURT & CIRCLE.  BOULEVARD has only 2% of total listings while 22% of listings are located on a DRIVE.  NEXT is  street with 19%, ROAD at 16% & AVENUE  with 15%.  So back to the original question,  which is more expensive Wisteria Lane or Sesame Street?  Based on market analysis, the price per square foot of Cookie Monster’s home could be 17% cheaper than the other one.  Cash left over to buy cookies!  Cookies!! Cookies!!!  Incidentially BOULEVARD locations are often apartments and condos.

The Texas housing market posted a 14% increase in sales volume with roughly a 6% increase in both median & average sales prices, according to the 2012 edition of the TEXAS QUARTERLY HOUSING REPORT.  Median salesprices were $161,500 & now up 6.46%.  Average sales prices have a similar increase to $208,515.  This represents a shift to a seller’s market and data shows this is true of local real estate markets,  although inventory needs to be down to about a 6 month inventory and Tyler’s is higher than that.  In spite of this Tyler and East Texas are desired places to live, work and retire.

Texas’ state & local tax burden is once again among the lowest in the nation according to the Tax Foundation’s annual ranking.  For 2010, Texans paid some $3,104 per capita in state & local taxes.  The per-capita income of $39,142 yields a state-local tax burden of 7.9%, ranking the state 45th.  Top-ranked New York had a tax burden of $6,375 (12.8%).  Next is New Jersey, then Connecticut.  At the other end of the spectrum are Alaska with $3,214 (7%) & South Dakota at $3,035 (7.6%).  The burden is calculated by taking the total state & local taxes paid by state residents to both their own & other governments, then dividing by each state’s total income.

A 30 year fixed-rate mortgage hasn’t always been the standard.  As part of FDR’s NEW DEAL in 1934, the Federal Housing Administration was created to help Americans purchase homes with affordable terms.  Prior to then, many loans had an amount due at the end of the term called a balloon.  Most mortgages had adjustable interest rates, even though some might be fixed for a short term.  While banks would loan money on a home, they retained the right to call the note due at any time putting stress on borrowers.  FHA, during this time, introduced mortgages that offered a fixed rate of interest to the borrower for a 30 yrs term.  This fully amortized loan provided borrowers a financial vehicle that would help them achieve the AMERICAN DREAM while minimizing the risk of have a loan called without the resources to pay it off.  It brought long term stability to the house market and helped stimulate the economic recovery at a difficult time in U. S. history.  Roughly, 1/3 of the mortgages created in 2011 were less than 30 year terms.  Many homeowners want to get their mortgages paid off as quickly as possible, so shorter term mortgages with a lower interest rate, but higher payments due in fewer years to amortize the mortgage, accomplishes this.

U. S.  foreclosures are down for the 2nd consecutive month, reaching a 5-year LOW.  According to Realty Trac foreclosure filings across the county in September are down7% from the previous month.  That’s 16% lower than a year ago September.  Real Estate Center Research Economist Dr. Jim Gaines noted that the drop was driven primarily by declines in several large non-judical foreclosure states, including California, Georgia, Texas, Arizona & Michigan.  TEXAS WAS DOWN 17% IN SEPTEMBER.

(1)  All about crime.  That is an indicator of nieghborhood desirability.  Go to the crimedata base in your area OR call the Tyler Police Department for statistics in a certain area.   Texas has a Megan’s Law database that can show sex offenders.  (2)  Meth labs.  The Drug Enforcement Agency’s database has addresseS of meth & other drug labs. (3)  Social connectedness, online & off.  Does the neighborhood have block parties, newletters, etc.?  (4)  Technological & communications capabilities.  How spotty or non-existance is cell phone service, particularly out of larger areas?  (5)  Potentially problematic HOA rules & municipal regulations.  For instance, can you install a radio tower for ham operators in the neighborhood?  (6)  Future developments that might affect your ability to enjoy your home.  Check City of Tyler Planning & Zoning.  Note any proposals that uptick the traffic, noise, orders & pollution.  (7)  Upcoming/proposed special assessments.  Review disclosed HOA reserves & financials & recent copies of newsletters & Board meeting meeings.  THIS WAY YOU CAN KNOW WHAT IS GOING ON & COMING UP IN A PARTICULAR SUBDIVISION.

according to HomeVestors of America & Local Market Monitor.   Corpus Christi is #4 and Longview #8.  These cities are considered less risky for investors looking to purchase sing-family homes as rental properties.  ” Many of these markets have unemployment rates well below the national average, but show strong  job growth & housing price have bottomed out”, according to Ingo Winzer, Local Market Monitor president.  The top 3 are Lafayette, LA., Fort Wayne, Ind and Erie, PA.  INTERESTING FOR US IN THE TYLER AREA!