Mortgage rates tie with the record low of 4.78% Perfect for home-buyin’!

Mortgages Tie Record Low of 4.78%

By AMY HOAK

Rates on 30-year fixed-rate home mortgages averaged 4.78% this week, matching an all-time low in Freddie Mac’s weekly survey of conforming mortgage rates, released Wednesday.

The mortgage averaged 4.83% last week and 5.97% a year ago. This week’s average matched a low set the week ending April 30.

“Interest rates for 30-year fixed-rate loans are currently 0.8 percentage points below this year’s peak set in mid-June, which shaves roughly $100 off the monthly payments on a $200,000 mortgage,” said Frank Nothaft, Freddie Mac chief economist.

Fifteen-year fixed-rate mortgages averaged 4.29% for the week ended Nov. 25, a new low since Freddie Mac began tracking it in 1991. This week’s average is down from 4.32% last week and 5.74% a year ago. The five-year Treasury-indexed hybrid adjustable-rate mortgage averaged 4.18% this week, down from 4.25% last week and 5.86% a year ago. The ARM hasn’t been this low since Freddie Mac started tracking it in 2005.

And the one-year Treasury-indexed ARM averaged 4.35%, unchanged from last week. The ARM averaged 5.18% a year ago. It hasn’t been lower since the week ending July 7, 2005, when it averaged 4.33%…

To check out the full Wall Street Journal article, click HERE!

Existing home sales are UP an average of 10.1% in the United States!

Existing-Home Sales Record Another Big Gain, Inventories Continue to Shrink

Washington, November 23, 2009

Driven by the first-time buyer tax credit, existing-home sales showed another big gain in October with a strong uptrend established over the past seven months, while inventories continue to decline, according to the National Association of Realtors®.

Existing-home sales – including single-family, townhomes, condominiums and co-ops – surged 10.1 percent to a seasonally adjusted annual rate¹ of 6.10 million units in October from a downwardly revised pace of 5.54 million in September, and are 23.5 percent above the 4.94 million-unit level in October 2008. Sales activity is at the highest pace since February 2007 when it hit 6.55 million.

Lawrence Yun, NAR chief economist, was surprised at the size of the gain. “Many buyers have been rushing to beat the deadline for the first-time buyer tax credit that was scheduled to expire at the end of this month, and similarly robust sales may be occurring in November,” he said. “With such a sale spike, a measurable decline should be anticipated in December and early next year before another surge in spring and early summer.”

Now that the tax credit has been extended and expanded, potential buyers have until April 30 to have a contract in place. “There is still a large pent-up demand that can be tapped before the tax credit expires. Our recent consumer survey further shows that 13 percent of successful first-time buyers had a previous contract that was cancelled or fell through – there likely are many more buyers who were attempting to purchase but simply ran out of time,” Yun said.

Historically low interest rates also are boosting the market. “Mortgage interest rates last month were the third lowest on record dating back to 1971,” Yun noted. According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to 4.95 percent in October from 5.06 percent in September; the rate was 6.20 percent in October 2008. Last week, Freddie Mac reporter the 30-year rate dropped to 4.83 percent.

NAR President Vicki Cox Golder, owner of Vicki L. Cox & Associates in Tucson, Ariz., said strong demand by first-time buyers is creating some unusual conditions. “In parts of the country, especially in Southwestern states but also in Florida and suburban Washington, D.C., we’ve been getting many reports of multiple bids in the lower price ranges with foreclosed properties getting absorbed quickly,” she said….

Check out the full National Association of Realtors article by clicking HERE!

Homebuyer tax credit one step closer towards being extended. Go U.S. Senate!

Senators agree to extend homebuyer tax credit

Set to expire at end of November, plan will remain until end of April

updated 5:56 p.m. CT, Wed., Oct . 28, 2009 //

WASHINGTON – Senators agreed Wednesday to extend a popular tax credit for first-time homebuyers and to offer a reduced credit to some repeat buyers.

The tax credit provides up to $8,000 to first-time homebuyers but is set to expire at the end of November.

Senators agreed to extend the existing tax credit for first-time homebuyers while offering a reduced credit of up to $6,500 to repeat buyers who have owned their current homes for at least five years, said Regan Lachapelle, a spokeswoman for Senate Majority Leader Harry Reid, D-Nev.

The tax credits would be available to homebuyers who sign sales agreements by the end of April. They would have until the end of June to close on their new homes, said a congressional aide, who spoke on condition of anonymity because he was not authorized to publicly discuss the deal….

Check out the full MSNBC article and some cool interactive graphics by clicking HERE!  Now, I do need to stress that althought we are one step closer towards extending the tax credit, it has NOT been voted on and approved.  This means that if you were on the fence about buying a home, still go ahead and do it!

Looking to rent a home in Chicago? Us @properties agents can help!

Because I’m always trying to keep up with what the industry is telling me, I wanted to let you know that if you’re living in Chicago or wanting to move to Chicago and are in need of a place to rent, I would be honored to help you out!  Us agents don’t JUST help people buy and sell homes, we can also help people find a home to rent! 

We must make the best of what’s given to us and this is just one of the ways!  Give me an email at anytime and we’ll go from there.  My @properties email is:  jeffstewart@atproperties.com

Listen up home buyers: First-Time Buyer Tax Credit Extension Possible!

According to this article from Realtor.org, the $8,000 first time home buyer tax credit may be extended past its original ending date of November 30th.  If approved by the U.S. House and the Senate, the tax credit may go up to $15,000 and may be open to all home buyers.  That’s huge!  But don’t get discouraged if it doesn’t get extended because $8,000 is amazing no matter how you think of it.  Just don’t get greedy and miss out on that house you love and $8,000 by waiting for something that may not happen.

Check out the full article by clicking HERE!

Would you like to own the old Chicago Post Office for $300K? It’s going to auction Thursday!

So if you want to own a piece…a massive piece of Chicago real estate, Rick Levin & Associates, Inc. is auctioning off the former Main Chicago Post Office tomorrow, August 27th at 1:00pm.  The auction will take place at the Intercontinental Chicago O’Hare Hotel, located at 5300 N. River Road in Rosemont.  The suggested opening bid is a cool $300,000 so if you got some spare change, register and head over to the auction.  Check out the Rick Levin website and a video HERE!

 

Sales and lease figures not so hot for South Loop condos and apartments…

Crain’s Chicago Business released a pretty cool map of Chicago’s South Loop neighborhood showing the percentage sold and leased homes for many of the South Loop’s newest projects like Roosevelt Collection and 1600 Museum Park.  The numbers don’t look good so check them out for yourselves.  If you’re in the market for a new home, there are plenty of homes available in the South Loop, just be a bit cautious on if it’s the right choice in the short and long term.  A big thank you goes out to Crain’s Chicago Business for the map.

Broadway 3030…hopefully.

Broadway 3030 is a joint-development with JFJ Development Company and Dionysus Development that will contain a brand new Dominick’s, other retail spaces, and condominiums, located at…you guessed it…3030 N. Broadway Avenue.  The development will replace the huge vacant lot that was left after the old Dominick’s was destroyed by fire in the summer of 2005.  I’m really excited about this new development but I just wish it started two years ago so I could take advantage of it.  Yeah there are other grocery stores within walking distance, but it’s either too expensive, or you have to walk a mile to the others…not much fun.  Huge thanks to ‘BFA’ on SkyscraperCity for the fire pictures.

The condos range from a 1 bed starting at 317K to a huge 3 bed going all the way up to 1.284MM.  The building will have a huge 2 storey lobby, 24 hour doorman, expansive fitness center, and the thing that I like the most, a 1/4 acre green roof on the 3rd floor.  All information is taken from Broadway 3030’s website.

The design has caused a bit of drama around the neighborhood too.  I actually like the building, big, modern, lots of glass, and extremely useful.  Broadway 3030 opened up their sales center right across the street, and lately, I have noticed that the sales center has been constantly closed with their blinds drawn.  Hmmm. that doesn’t sound great for sales, but I’m still confident the project will proceed.

Just an empty lot now...

tah dah!

Make a stop at Union Row Townhomes.

Union Row Townhomes is a new development built by Belgravia Group.  The townhomes, which are located at 644 W. 16th Street in Chicago, comprise of 35 townhomes in five different floorplans.  Union Row’s townhomes are over 60% sold, which is a feat in itself in this market!  Union Row’s townhomes have 3 - 4 bedrooms/dens and also range from 2.5 – 4.5 baths.  Those half baths can be a lifesaver too if that’s your thing.  Two car garages are in all of the homes and the icing on the cake is…drum roll please…garage heaters.  These heaters make a -30 degree winter day bearable for you and your car.

Belgravia Group has been building townhomes and condos in the City of Chicago for over 60 years making them one of the most well respected real estate developers in Chicago.  The numbers speak for themselves too.  Each year, around 30% of Belgravia Group’s income comes from past owners and their referrals!  Now, back to the townhomes.  Union Row is still in that unnamed area South of UIC, West of the South Loop, and East of Pilsen; confusing I know.  Union Row is in the self professed University District and Chicago Arts District which has a nice ring doesn’t it?  What’s great about the neighborhood is that you can take advantage of everything from those other neighborhoods like the dozens of art galleries to Whole Foods!  All within walking distance from your townhome’s front door. 

The sales center is open 7 days a week from 10AM – 6PM so either walk in or give a call to make an appointment.  The phone number for Union Row’s sales center is 312-829-4600.

Chicago Spire finally resuscitated?

New Life May Be Breathed Into Chicago Spire

Construction Of Soaring Apartment Tower Has Been Delayed

CHICAGO (CBS) ― The ill-fated Chicago Spire could rise from the dust, after being only an enormous hole in the ground for the past several months.

A major union says its pension fund could help pay for construction of the building.

There were big plans for the giant residential tower at 400 N. Lake Shore Dr. It would have surpassed the Sears Tower – soon to be renamed the Willis Tower – as the tallest building in the Western Hemisphere, and was supposed to be one of the tallest buildings in the world.

But the site has been empty for months, except for a broad, round hole that was dug for the foundation. The plan began to unwind after celebrity architect Santiago Calatrava filed a lien on the project, claiming the developer hadn’t paid him $11.34 million he was owed for his work.

Also, the Chicago architectural firm Perkins & Will, hired as a local overseer of the design, filed its own lien, claiming it is owed $4.85 million.

Meanwhile, the spire’s developer, Shelbourne Development Ltd., acknowledged slowing the pace of the work last fall because turmoil in financial markets limited access to credit.

But now, the Chicago Tribune reports on its Web site that the AFL-CIO’s Housing Investment Trusts are meeting with Shelbourne on Tuesday for preliminary discussions. It could be a win-win for both sides, with the developer getting the building, and the union securing jobs. 

Plans for the Spire were first announced in 2005.  The soaring spiral design of the building by the celebrity architect has won fans. Calatrava in published reports has compared the structure to a smoke spiral rising from a campfire along the Chicago River.

But unlike the John Hancock Center and Sears Tower, which would both be dwarfed by the building, the Chicago Spire does not have plans for any public restaurants or observatories. The building would be open only to residents, and that group is a select few.  The condos in the building are priced from $750,000 to $15 million each.

 

- A big thank you to CBS2 Chicago for the most recent article on reviving the Chicago Spire.  Click here if you want to read the actual article.  Hopefully this raises more confidence to get some sales going.  When last reported, Shelbourne Development stated that over 30% of the Spire’s homes were sold after only four months.  This is no small feat because 30% means over 350 homes.  Now this was reported in April, 2008 so I’m curious to hear how many have sold since then. -