Home ownership beats renting, if you can get a loan

Tight lending standards, coming up with a down payment and the carrying costs of owning a home (taxes and insurance) force many into a rental unit even if it is "more expensive" than buying.

by Broderick Perkins
© 2011 DeadlineNews.Com

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Deadline Newsroom - A new report says the cost of home ownership is a better deal than renting in three out of four U.S. cities.

It assumes buying a home is easier than it is to rent and, as many consumers discover, it ain't.

Tight lending standards, coming up with a down payment and the carrying costs of owning a home (taxes and insurance) force many into a rental unit even if it is "more expensive" than buying.

"Prospective homebuyers, who are ready and qualified to buy, face an uphill battle despite falling home prices and record-low mortgage rates," said Ken Shuman, Head of Communications at Trulia.

Shuman added, "Today, many banks are actually less enthusiastic about approving residential mortgage applications, which has dragged out the home buying process. Until a middle ground on lending practices can be met, many highly-qualified buyers may be forced to be renters by choice for now."

Trulia's Summer 2011 Rent vs. Buy Index says in 74 percent of major U.S. cities offer owner-occupied housing that's cheaper than a rental unit.

The report compares the cost of buying and renting a two-bedroom apartment, condo or townhome in the nation's 50 largest cities.

The top cities with a better deal for ownership were Las Vegas, NV; Detroit, MI; Mesa, AZ; Fresno, CA; and Arlington, TX.

Rents were the better deal in New York, NY; Fort Worth, TX; Omaha, NB; Seattle, WA; and San Francisco, CA.

Trulia's price-to-rent ratio is the median listing price divided by the annualized median rent. Buying is less expensive than renting when the ratio is 15 and under, renting is less expensive than buying whine ratios are 20 or higher.

There is a grey area between the rent versus buy spectrum. Personal circumstances, including your tax bracket, may make buying a home a better deal in Oakland, CA; Austin, TX; San Jose, CA; Memphis, TN; Boston, MA; Los Angeles, CA and Portland, even though rents are relatively cheaper.

"Many aspiring homeowners are on the fence about renting and buying in today’s market. Should they take advantage of falling home prices and low borrowing costs, or should they continue to rent until the economy stabilizes?" said Shuman.

"Price alone should never be the sole factor in deciding to purchase a home. Instead, buyers should first ask themselves if they plan to live in the home for at least seven-to-10 years, could make monthly payments on the house, and have enough cash in the bank for a down payment and an additional six to eight months worth of mortgage payments. If you can answer 'yes' to each of these questions, then the cost of buying a home definitely outweighs renting in most cities," he added.

Also, buying a home makes more sense in cities overloaded with foreclosures, but that could soon change, says Trulia.

In Miami, for example, it is still less expensive to buy, but a mini-buying boom created by investors and foreclosure freezes have caused its price-to-rent ratio to jump by 112 percent from 6 in January to 13 in July.

Meanwhile, recent job gains in the auto industry have not countered Detroit's falling home prices. For now, the city has experienced a setback since January with its price-to-rent ratio dipping 39 percent.

Las Vegas, continues to be the best place to buy instead of rent for the past six months, but investors are snatching up most of the distressed properties there.

"While recent stock market volatility on top of the slow economic recovery makes homebuyers nervous, it has not destroyed the American dream of homeownership," Shuman said.


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The end is near for housing slump

Despite the weakness in housing markets, economic malaise and gloomy consumers, Fiserv continues to project that home prices will remain on track to stabilize by the end of 2012.

by Broderick Perkins
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Deadline Newsroom - Don’t expect a sonic boom, but the housing market is poised to turn around next year and much of the nation should be in full-fledged recovery by 2013.

The Fiserv Case-Shiller Home Price Index for the first quarter 2011, is a lagging index, but after examining 384 markets it found signs strong enough to indicate the end is near.

“Mortgage delinquency rates have been falling for more than a year. Foreclosure rates have started to decline. The flood of bank-owned sales, which has swamped many markets, will finally begin to recede this year as fewer houses enter the foreclosure pipeline,” said David Stiff, chief economist at Fiserv.

That doesn’t mean happy days are here again just yet.

“It’s going to be a cold winter,” says Jon Sterling, director of marketing at real estate research firm Altos Research in Mountain View, CA.

Get the full story: "The End Is Near For Housing Slump"

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Buyers' Market: Distressed Properties vs. Traditional Listings

The discount alone appears to be enough to make distressed properties a better deal than more expensive traditional listings -- if it doesn't needs a lot of work, if you can out-bid the investor and if you've got time to make the deal pencil, among other "ifs."

by Broderick Perkins
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Deadline Newsroom - Distressed homes come with deeply discounted prices, but their prices continue to tumble. Homes sold the traditional way cost more, but prices are more stable.

CoreLogic's latest "U.S. Housing and Mortgage Trends" report, issued in late July says traditional home prices appear to be doing better than homes in the distressed sector and the trend is expected to continue.

CoreLogic reported its home price index of traditional home sales dropped only 0.4 percent from a year ago. Toss in distressed properties and the index was down 7.4 percent.

The report also says while the prices of traditional existing and new homes have returned to 2009 levels, prices for bank-owned foreclosures and short sale transactions -- distressed homes -- are 10 percent below 2009 levels and "continue to decline," CoreLogic reports.

So far this year, distressed sales nationwide accounted for one in three of all homes sales, 33 percent. In 30 major cities CoreLogic tracks, the price discount on distressed sales ranges from about 20 to 60 percent, or an average of about 40 percent.

The discount alone appears to be enough to make distressed properties a good deal.

But there's more to consider. Get the full story here: "What’s the Best Buy? Bargain or Full-Priced Real Estate?"

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Reduced conforming loan limit to hit Monterey County hardest

Barring Congressional action, Monterey County will be California's hardest hit county later this year when the conforming loan limit drops nationwide from the $729,950 limit to a maximum $625,500.

by Broderick Perkins
© 2011 DeadlineNews.Com

Unauthorized use of this story is a copyright violation -- a federal crime

Deadline Newsroom - If you plan to buy a California home that will require a big mortgage, move fast -- if you aren't already too late.

Barring Congressional action, Monterey County will be California's hardest hit county later this year when the conforming loan limit drops nationwide from the $729,950 limit to a maximum $625,500.

In Monterey County, the conforming loan limit will fall nearly $247,000 to $483,000, according to the California Association of Realtors (CAR).

Under the new FHA loan limits, after Monterey County the greatest drop in the loan limit would be Merced ($201,450) followed by Riverside ($164,650), San Bernardino ($164,650), Solano ($157,300), and San Diego ($151,250) counties.

Right now, non-conforming or jumbo loans typically carry a mortgage interest rate a quarter percentage point or more than a conforming loan, resulting in a higher down payment and larger monthly payment, according to Marc Mungaray, a loan officer, at Academy Mortgage in Monterey.

That reduces housing affordability and how much the spread could change is "anybody's guess," he says.

"Generally it's a quarter point but it could go up to a full point," Mungaray said.

Approximately 9 percent of home sales could feel the squeeze in Monterey County, CAR projects, 30,000 statewide.

The conforming loan limit determines the maximum size of a mortgage that the Federal Housing Administration (FHA), Fannie Mae, and Freddie Mac government-sponsored enterprises (GSEs) can buy or guarantee. The GSEs back 95 percent of today's mortgages.

"By reducing the conforming loan limit, thousands of California home buyers will be shut out of homeownership," said CAR President Beth L. Peerce.

"The higher mortgage loan limits are critical to providing liquidity in today’s housing market and are essential to our housing recovery. We urge Congress to maintain the current limits and make them permanent to provide homeowners and home buyers with affordable financing and help stabilize local housing markets," Peerce said.

That's not likely given federal legislators' penchant for budget-balancing efforts that include rolling back housing relief provisions put in place even before and after the Great Recession.

The higher conforming loan limits were part of the Housing and Economic Recovery Act (HERA of 2008 to the GSEs to insure, guarantee and buy more mortgages at a time when private funding froze during the financial crisis.

While some say private banks will pick up the slack, others aren't so sure.

On July 13, 2011, Federal Reserve Chairman Ben Bernanke told the U.S. House of Representatives' Financial Services Committee the private market was set to fill the void when the conforming loan limits on government-backed mortgages are set to expire in October, but at a higher cost to homebuyers.

"As far as Fannie Mae and Freddie Mac are concerned, there is a tradeoff there between supporting the higher priced homes and weaning the housing finance system off of unusual limits it was put under during the crisis," Bernanke said.

"I understand the private sector is taking at least a significant number of the jumbo mortgage market but at a higher cost," he added.

However, CAR said, in anticipation of the expiration of current loan limits on Sept. 30, 2011, Bank of America on July 1 stopped accepting conventional and government applications for loan amounts that will exceed the lower loan amounts.

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S&P/Case-Shiller index confirms 'double-dip,' home buying opportunities

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One of the most watched home price indexes, the S&P/Case-Shiller Home Price Indices says home prices have sunk so low buying a home today will cost you what it cost a decade ago -- or less if you swing a big negotiating stick.

by Broderick Perkins
© 2011 DeadlineNews.Com

Unauthorized use of this story is a copyright violation -- a federal crime

Deadline Newsroom - If you are looking for somewhere to park investment money, savings or discretionary income, consider residential real estate.

Home prices are back where they were in 2002.

And if you snag a distressed property you'll get it at what amounts to a 20 percent discount off the list price of a similar, traditionally listed resale home.

One of the most watched home price indexes, the S&P/Case-Shiller Home Price Indices says home prices have sunk so low buying a home today will cost you what it cost a decade ago -- or less if you swing a big negotiating stick.

S&P/Case-Shiller says it's index for single-family homes fell 5.1 percent to a new recession low in the first quarter 2011, compared to the first quarter 2010.

For the month of March 2011, only Washington, D.C. homes enjoyed a price gain (4.3 percent), compared to March 2010, as home prices tumbled in the other 19 of the 20 indexed Metropolitan Statistical Areas (MSAs) for the same period.

Twelve of the 20 MSAs and the 20-City Composite posted new lows.

"This month's report is marked by the confirmation of a double-dip in home prices across much of the nation," said David M. Blitzer, Chairman of the Index Committee at S&P Indices.

Blitzer added, "The National Index, the 20-City Composite and 12 MSAs all hit new lows with data reported through March 2011. The National Index fell 4.2 percent over the first quarter alone, and is down 5.1 percent compared to its year-ago level."

Minneapolis posted a double-digit 10 percent annual decline, the first market to be back in this territory since March 2010 when Las Vegas was down 12.0 percent on an annual basis. Seattle was up a modest 0.1 percent for the month, but still down 7.5 percent versus March 2010.

In March, the 10- and 20-City Composites posted annual rates of decline of 2.9 percent and 3.6 percent, respectively. Thirteen of the 20 MSAs and both monthly Composites saw their annual growth rates fall deeper into negative territory in March. While they did not worsen, Chicago, Phoenix and Seattle saw no improvement in their respective annual rates.

"Home prices continue on their downward spiral with no relief in sight.” said Blitzer

"Since December 2010, we have found an increasing number of markets posting new lows. In March 2011, 12 cities - Atlanta, Charlotte, Chicago, Cleveland, Detroit, Las Vegas, Miami, Minneapolis, New York, Phoenix, Portland (OR) and Tampa - fell to their lowest levels as measured by the current housing cycle," he added.

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Appreciating housing markets share key indicators

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Isolated metropolitan areas are enjoying home price appreciation levels ranging from a flat 0.1 percent to a booming 12.2 percent, at least according to the National Association of Realtors' (NAR) 1st Quarter 2011 Metropolitan Median Area Prices

by Broderick Perkins
© 2011 DeadlineNews.Com

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Deadline Newsroom - Home prices have crashed back to 2002 levels and the double dip is on, but nearly three dozen markets are enjoying varying levels of home price appreciation.

A few of those markets experienced double digit gains, but maintained affordable prices and status as a buyer's market.

The much watched Case-Shiller National Home Price Index for single-family homes fell 5.1 percent to a new recession low in the first quarter 2011, compared to the first quarter 2010.

For the month of March 2011, only Washington, D.C. homes enjoyed a price gain (4.3 percent), compared to March 2010, as home prices tumbled in the other 19 of the 20 indexed Metropolitan Statistical Areas (MSAs) for the same period.

Twelve of the 20 MSAs and the 20-City Composite posted new lows.

"This month’s report is marked by the confirmation of a double-dip in home prices across much of the nation," said David M. Blitzer, Chairman of the Index Committee at S&P Indices.

However, isolated metropolitan areas are enjoying home price appreciation levels ranging from a flat 0.1 percent to a booming 12.2 percent, at least according to the National Association of Realtors' (NAR) 1st Quarter 2011 Metropolitan Median Area Prices.

Get the full story here: "Appreciating Housing Markets Share Key Indicators"

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Finding true value in the appraisal process

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"Helpful Tips: What Consumers Need to Know About Real Estate Appraisals" is available just as the appraisal industry is being served a new set of regulations stemming from federal regulatory overhaul known as "Wall Street Reform" (officially, the "Dodd-Frank Wall Street Reform and Consumer Protection Act").

by Broderick Perkins
© 2010 DeadlineNews.Com

Unauthorized use of this story is a copyright violation -- a federal crime

Deadline Newsroom - Home buyers and sellers who know the role of professional, licensed appraisers can be sure homes are financed based on true values and enjoy a smooth transaction.

That sentiment has prompted the Appraisal Institute to offer consumers the timely "Helpful Tips: What Consumers Need to Know About Real Estate Appraisals."

The publication comes just as the appraisal industry is being served a new set of regulations stemming from federal regulatory overhaul known as "Wall Street Reform" (officially, the "Dodd-Frank Wall Street Reform and Consumer Protection Act").

The new rules are designed to protect consumers and keep appraisers independent, free from third party pressure, honest and compensated fairly.

The institute says "Appraisers have been wrongly accused of prolonging the nation's real estate downturn by developing value opinions that are below proposed sale prices."

To the contrary, "Credible and realistic value opinions help to stabilize real estate loans and investments, which promotes socially desirable real estate development. Appraisals are particularly valuable because they are an objective and unbiased source of real estate information," the institute says.

"Too many consumers in this struggling real estate market face problems with appraisals when attempting to buy or sell a home," said Appraisal Institute President Joseph C. Magdziarz, MAI, SRA. "But rather than passively endure delays in closing a sale, home owners and buyers can take proactive steps to avoid pitfalls," he added.

According to the institute, here's what consumers need to know.

• Learn the role of mortgage appraisals. Lenders order appraisals to learn what a property is worth in the open market so they can determine if the collateral supports the loan. Not necessarily provided to confirm a sales price, appraisals can help both lenders and consumers make sound financial decisions.

• Hire a qualified appraiser. Demand the use of a qualified, experienced, licensed appraiser. Memberships in good standing with a state or national trade group also provides some evidence the appraiser knows his or her stuff. Ask the lender for the appraiser's qualifications.

• Join the inspection. The institute says consumers can ask the lender if he or she can accompany appraisers on the inspection tour. Sellers may provide the appraiser with information they consider important. Take notes. Did the appraiser spend enough time at the property to observe important features or improvements or potential problems?

• Get the appraisal disclosed and examine the report. Consumers have a right to a copy of the appraisal under federal law. Look for common errors including misuse of adjustments to comparables, disregarding special financing and concessions, or miscalculation of the living area.

• Appeal the appraisal or get a second opinion. Lenders typically offer appraisal appeal procedures, known as "Reconsiderations of Value." If you are aware of recent, comparable sales information or items that may not have been available or
considered by the appraiser, provide those to your lender.

If problems are found with the first appraisal, you should obtain a second appraisal. Make sure your lender uses a qualified appraiser the second time, if they didn't the first time around.

• When necessary, complain. File legitimate complaints with the appropriate state appraisal board, regulatory agency or professional appraisal organizations. Federal law mandates that lenders report legitimate complaints with appropriate regulatory authorities.

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Predicted home price 'double dip' arrives, price bottom delayed until 2012

Read: Batman busted, beatdown, body slammed

And it comes with the lowest interest rates of the year, but tight credit and slow employment gains aren't allowing buyers to cash in on renewed affordability.

by Broderick Perkins
© 2010 DeadlineNews.Com

Unauthorized use of this story is a copyright violation -- a federal crime

Deadline Newsroom - The long anticipated double-dip in home prices has arrived.

Also see: Less filling 'double-dip' doom looms

And it comes with the lowest interest rates of the year, but tight credit and slow employment gains aren't allowing buyers to cash in on renewed affordability.

U.S. home values fell 3 percent from the last quarter 2010 to the first quarter this year, posting the largest quarter-over-quarter decline since the fourth quarter of 2008, when many thought the housing market had bottomed, according to the Zillow Home Value Index.

Now, says Zillow, a new home price bottom isn't likely until 2012, according to Zillow's revised forecast.

US Zillow Home Value Index

US Home Values - Interactive chart

Zillow said the first quarter home value decline matches the worst of the housing recession thus far. Negative equity reached a new high -- 28.4 percent of all single-family homeowners suffer mortgages that are underwater (the mortgage is greater than they home is worth), up from 27 percent in fourth quarter of 2010.

Zillow said home values are down 8.2 percent since the first quarter last year and down 29.5 percent since they peaked in June 2006.

The report is similar to Clear Capital's findings which found home prices dropped 4.9 percent quarter-to-quarter, slid 5 percent year-over-year and now stand at 42 percent below the market peak in mid-2006.

Clear Capital also reported home prices are 0.7 percent below the prior low set in March 2009.

A growing number of distressed properties flooding the market are contributing to the double dip in home prices.

Zillow said foreclosures rose throughout the first quarter as banks unfroze moratoriums and allowed foreclosures to resume. Foreclosures had fallen in late 2010, due to the slew of moratoriums brought about by the "robo-signing" controversy.

RealtyTrac reported foreclosure filings on 239,795 U.S. properties in March this year, a 7 percent increase from the previous month. The figure was down from 367,056 a year ago March, RealtyTrac's highest monthly foreclosure total since 2005.

Contributing to affordability that comes with lower home prices, interest rates last week fell to an average 4.71 percent for 30-year, conforming, fixed-rate mortgages (FRMs), matching the year's lowest rate originally set back on Jan. 13, according to Freddie Mac's weekly Primary Mortgage Market Survey.

Unfortunately, credit remains tight and employment unstable. Unemployment rose to 9 percent in April, after falling from 9.4 percent in December 2010 to 8.8 percent in March this year.

"Home value declines are currently equal to those we experienced during the darkest days of the housing recession. With accelerating declines during the first quarter, it is unreasonable to expect home values to return to stability by the end of 2011," said Zillow Chief Economist Dr. Stan Humphries.

"We did expect substantial payback from the homebuyer tax credits, which buoyed the housing market last year, but underlying demand post-tax credit, as well as rising foreclosures and high negative equity rates, make it almost certain that we won't see a bottom in home values until 2012 or later," Humphries said.

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Perkins is managing editor of HomeAway.com's Gulf Coast Response Center.

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Should you buy a home or rent one?

Joey "Jaws" Chestnut eats his
way to best-paid 'athlete' list

Dust off and crank up that rent-vs-buy calculator (We have three here to choose from). The housing market is mixed with some areas offering homes to buy that are cheaper than renting. Other markets yield better deals in the rental sector.

by Broderick Perkins
© 2010 DeadlineNews.Com

Unauthorized use of this story is a copyright violation -- a federal crime

Deadline Newsroom - It's time to dust off and crank up that rent-vs-buy calculator.

The housing market is mixed with some areas offering homes to buy that are cheaper than renting. Other markets yield better deals in the rental sector.

Trulia's Second Quarter 2011 Rent vs. Buy Index compares the cost of buying and renting a two-bedroom apartment, condominium or townhouse in the 50 largest U.S. cities and found buying a home has become more affordable than renting in nearly four out of five major cities.

On one hand, the growing level of distressed housing has helped push home prices down by a "double dip" factor to levels not seen in more than a decade. Low mortgage interest rates are also cooperating.

Trulia says buying a home is a better deal in Las Vegas, NV; Phoenix, AZ; Arlington, TX; Fresno, CA; Miami, FL and Mesa, AZ among other cities.

Even with home buying affordability better than it's been in years, unemployment remains high and qualifying for a mortgage is so tough rentals are feeling the pressure of displaced demand.

Renting is a better deal in New York City, NY; Fort Worth, TX; Kansas City, KS; Los Angeles, CA; Memphis, TN; and Seattle, WA, among others, according to Trulia.

The National Multi Housing Council's (NMHC) latest Quarterly Survey of Apartment Market Conditions for the first quarter this year found the "Market Tightness Index," at 90, as high as it's ever been.

The survey polls more than 100 CEOs and other senior executives of apartment-related firms nationwide and found that almost four in five respondents (79 percent) said markets were tighter (lower vacancies and/or higher rents) and -- for the first time ever -- not a single respondent thought conditions were looser.

A reading above 50 indicates improving market conditions, below 50 indicates worsening market conditions.

"These results show the apartment industry continues to do well even though the nation's overall rate of economic growth has slowed. This is driven largely by the increased appeal of renting generally but also by the large number of young people entering the housing market for the first time -- and young people are much more likely to rent than buy," said NMHC Chief Economist Mark Obrinsky.

For those going the rental route, a long term lease that locks in the monthly rental payment is the better deal because demand for rental housing is expected to increase, says Bruce Hahn, president of the American Homeowners Foundation.

"Boomerang kids, children who were forced to move back in with their parents, will be looking for their own place as they find jobs. Most don't have much in savings, and since lenders are requiring larger down payments these days, buying is not an option for most of them," says Hahn.

There's also a multi-generational movement among families and groups sharing to save money on housing purchased or rented.

The demand pendulum will ultimately swing back in the direction of home ownership, says Lesley Deutch Vice President at John Burns Real Estate Consulting.

She says as rents continue to increase and owner-occupied housing prices continue to fall or remain flat, for-sale housing markets will begin to look more attractive. Many tenants simply cannot afford a rent increase, and will choose to downgrade the quality of their housing or take on roommates.

Deutch says, as housing rents rise, housing markets with high single-family vacancy rates provide some competition for the rental sector. States with high vacancy rates include Nevada, Florida, Michigan, Georgia and Rhode Island.

Because the rent-vs-buy calculation varies by locality, consumers need to compare costs where they plan to buy or rent.

Several calculators can help.

• Erate.com's "Rent vs. Buy Calculator" is a down-and-dirty quick comparison of rent, insurance, and expected rate of rental increases vs. home buying costs, property tax costs, upkeep costs, insurance and selling costs, but also appreciation. Use this calculator as a starting point, to quickly determine which type of housing is best for you.

• Realtor.com's "Rent or Buy" calculator tosses in more variables, including the real estate agents commission, rate of inflation and homeowner association dues (if any) to get you even closer to a real comparison. Use this calculator to hone in on what housing is best for you.

• Federal Reserve Bank of Cleveland's "Buy a Home or Rent?" calculator is really a worksheet that provides a host of variables many calculators don't consider. Produced by O. Emre Ergungor, a senior research economist and Saeed Zaman a senior economic analyst, both in the fed bank's research department, this calculator is for those who are financial planning nit-pickers who want to get closer to the absolute rent-vs-buy bottom line.


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© 2010 DeadlineNews.Com

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You are reading a sample of "News that really hits home!" now available from several beats and published in a growing number of locations.

Broderick Perkins, an award-winning consumer journalist, parlayed 30 years of old-school journalism into a digital real estate news service, the San Jose, CA-based DeadlineNews Group, including DeadlineNews.Com, a real estate news and consulting service and Web site, and the Deadline Newsroom, DeadlineNews.Com's news back shop.

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Perkins is managing editor of HomeAway.com's Gulf Coast Response Center.

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Realtor.com Raises the Mobile App Bar

Look at men's hands, not shoes

"It's ultra cool," says Robert "The-Internet-Is-My-Office" Aldana, a television- and radio-broadcasting Intero real estate agent from San Jose, CA who taps everything from mobile real estate apps to YouTube videos to keep his listings moving.

by Broderick Perkins
© 2010 DeadlineNews.Com

Unauthorized use of this story is a copyright violation -- a federal crime

Deadline Newsroom - Realtor.com's Mobile App for iPad is, hands down, mother-of-all-real-estate-apps.

It's not just the GPS assist that gets you there like real navigational GPS, the sigh candy that interrupts your normal blinking response, or the deep levels of customization that empower you to go beyond static browsing for housing.

"It's the immediacy. It's instant gratification. The investigative component has arrived to real estate mobile devices. Apps are consumers' passport to a new world of real estate. It's transforming real estate today like the Internet did 15 years ago," said Julie Reynolds, Move.com's social media guru. Move.com operates Realtor.com.

The Realtor.com Mobile App plugs into the world's most robust real estate search engine, Realtor.com, where 80 percent of all its nearly 3.5 million listings are updated every 15 minutes.

"It's ultra cool," says Robert "The-Internet-Is-My-Office" Aldana, a television- and radio-broadcasting Intero real estate agent from San Jose, CA who taps everything from mobile real estate apps to YouTube videos to keep his listings moving.

"This is going to make Redfin and Trulia cry. They have pretty decent apps, but (the app's) Scout and Draw really put this application above everybody else. But that's good for everybody. It will make them go back to the drawing board," says Aldana.

Get the full story here: "Realtor.com Raises the Mobile App Bar"

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© 2010 DeadlineNews.Com

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Get "News that really hits home!" for your Web site or blog from the DeadlineNewsGroup.Com.

You are reading a sample of "News that really hits home!" now available from several beats and published in a growing number of locations.

Broderick Perkins, an award-winning consumer journalist, parlayed 30 years of old-school journalism into a digital real estate news service, the San Jose, CA-based DeadlineNews Group, including DeadlineNews.Com, a real estate news and consulting service and Web site, and the Deadline Newsroom, DeadlineNews.Com's news back shop.

Under the DeadlineNews Group umbrella:

Perkins is managing editor of HomeAway.com's Gulf Coast Response Center.

Perkins was the first Examiner to cover three beats for the Examiner.com news service:
• National Real Estate Examiner
• National Consumer News Examiner
• National Offbeat News Examiner

Other DeadlineNews Group Feeds are available from DeadlineNews.Com.

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State, local housing programs to the rescue

How to drive a hard auto loan bargain

State and local housing programs offer grants and low- and no-interest loans, typically to first-time home buyers with low- to middle-incomes. Check what your state or local jurisdiction has to offer.

by Broderick Perkins
© 2010 DeadlineNews.Com

Unauthorized use of this story is a copyright violation -- a federal crime

Deadline Newsroom - With tight fisted lenders more often seeking hefty down payments from those seeking to buy a home, more state agencies are pitching in to help qualified borrowers who are cash poor but income rich.

The National Association of Independent Housing Professionals says the number of down payment assistance programs has grown by as much as 5 percent in the last six months.

The programs offer grants and low- and no-interest loans, typically to first-time home buyers with low- to middle-incomes.

Some programs also target teachers, police officers, medical workers and other types of workers crucial to a community's well-being.

The down payment grants are a boon, particularly in high cost areas where median priced homes hit the half million dollar mark and 20 percent down means coming up with $100,000 in hard cash.

Along with down payment assistance, the programs often use preferred lenders who make the mortgage for as much as 1 percent below market rates.

Funded by state and federal agencies, the programs must produce a solid record of home ownerships that don't falter even in hard times.

That means consumers who qualify for the programs must first get counseled on home ownership -- everything from the mortgage application, credit and budgeting to being zealous about preventive maintenance and upkeep.

The counseling may just be the best part of the deal, according to findings recently released in a "National Foreclosure Mitigation Counseling (NFMC) Program Evaluation" generated by the Urban Institute based on data from 960,000 NeighborWorks America (NW) clients counseled in 2008 and 2009 and reported to NW America in January 2010.

NW-assisted home owners facing foreclosure were 1.7 times more likely to save their homes than others who didn’t get the counseling.

Even when a home owner was in the foreclosure pipeline, 55 percent of them with NW-counseling escaped foreclosure within 12 months compared to only 38 percent of home owners in foreclosure working without NW counseling.

See what your state or local government has to offer through the U.S. Department of Housing and Urban Development's (HUD)Local Home Buying Programs web page and follow local and state housing program news.

Also ask your mortgage lender or broker, real estate agents, religious, social and community organizations and non-profit agencies for referrals to local and state programs.

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© 2010 DeadlineNews.Com

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Get "News that really hits home!" for your Web site or blog from the DeadlineNewsGroup.Com.

You are reading a sample of "News that really hits home!" now available from several beats and published in a growing number of locations.

Broderick Perkins, an award-winning consumer journalist, parlayed 30 years of old-school journalism into a digital real estate news service, the San Jose, CA-based DeadlineNews Group, including DeadlineNews.Com, a real estate news and consulting service and Web site, and the Deadline Newsroom, DeadlineNews.Com's news back shop.

Under the DeadlineNews Group umbrella:

Perkins is managing editor of HomeAway.com's Gulf Coast Response Center.

Perkins was the first Examiner to cover three beats for the Examiner.com news service:
• National Real Estate Examiner
• National Consumer News Examiner
• National Offbeat News Examiner

Other DeadlineNews Group Feeds are available from DeadlineNews.Com.

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Tougher requirements, economy shrink FHA loan share

Hitting the Brakes on Auto Dealer Loans

Tougher qualifying standards, tight credit, weak job growth, concerns over job security, and the inability of homeowners to sell their homes for enough to pay off their mortgage and buy another house are all contributing factors.

by Broderick Perkins
© 2010 DeadlineNews.Com

Unauthorized use of this story is a copyright violation -- a federal crime

Deadline Newsroom - As predicted, tougher underwriting rules are cutting into the share of Federal Housing Administration (FHA) loans, loans that largely took the place of toxic subprime loans after the housing meltdown.

The share of borrowers using government-insured FHA home loans fell to its lowest level in 27 months in February, based on an analysis of 20 large housing markets nationwide by San Diego, CA-based DataQuick Information Systems.

DataQuick surmises recent changes to qualifying standards for FHA mortgages and lenders' own tighter requirements are both contributing to the decline in the number of buyers using the loans.

Weak job growth, concerns over job security, and the inability of homeowners to sell their homes for enough to pay off their mortgage and buy another house are also factors.

In February, 33.3 percent of the purchase mortgages used in metro areas were FHA-insured, down from 34.2 percent in January and 38.2 percent in February 2010, DataQuick reported.

Last month's figure was the lowest since FHA loans made up 33 percent of the purchase loan market in November 2008.

FHA loans, a small fraction of all mortgages before the housing boom went bust, peaked at an average 41.1 percent of all home purchase loans in November 2009. During the bust, some high cost regions saw FHA loans soar to 50 percent or more of all purchase loans.

Dataquick reported FHA use in February varied from as little as 10.3 percent of all purchase loans in the Honolulu area to as much as 43.2 percent in the Orlando region.

FHA loans have been very popular with first-time buyers and some move-up buyers in recent years after easy-money subprime lending melted down with the credit crunch of the bust. The meltdown made non-government-insured home loans, especially low-down-payment mortgages, more difficult to obtain and FHA loans became the alternative.

The median price paid for a home bought with an FHA loan in February was $195,000, the same as in January but down 2.5 percent from $200,000 a year earlier.

The median FHA purchase loan amount in February was $187,668, up slightly from $186,500 in January but down 4.4 percent from $196,278 a year ago.

FHA loan limits vary by region. but can be as high as $729,750 in the nation's costliest housing markets.

As the FHA loan share has fallen government-insured VA (Department of Veterans Affairs) loans are up.

Dataquick says VA loans represented 6.4 percent of all home purchase loans made in February, virtually unchanged from 6.5 percent in January, but up from 5.5 percent a year earlier. In recent years, the peak for VA loans, which do not require a down payment if certain conditions are met, was 6.7 percent in December 2010.

Among the metro areas DataQuick surveyed, the percentage of VA purchase loans was highest in Honolulu (18.9 percent), San Diego, CA (15.3 percent), Washington D.C. (13.8 percent), Seattle, WA (10.6 percent) and Las Vegas, NV (10.4 percent).

The VA share of purchase loans was lowest in the San Jose, CA metro area (0.9 percent), New York, NY (1.1 percent) and Los Angeles/Orange counties, CA (2.4 percent).

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© 2010 DeadlineNews.Com

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Get "News that really hits home!" for your Web site or blog from the DeadlineNewsGroup.Com.

You are reading a sample of "News that really hits home!" now available from several beats and published in a growing number of locations.

Broderick Perkins, an award-winning consumer journalist, parlayed 30 years of old-school journalism into a digital real estate news service, the San Jose, CA-based DeadlineNews Group, including DeadlineNews.Com, a real estate news and consulting service and Web site, and the Deadline Newsroom, DeadlineNews.Com's news back shop.

Under the DeadlineNews Group umbrella:

Perkins is managing editor of HomeAway.com's Gulf Coast Response Center.

Perkins was the first Examiner to cover three beats for the Examiner.com news service:
• National Real Estate Examiner
• National Consumer News Examiner
• National Offbeat News Examiner

Other DeadlineNews Group Feeds are available from DeadlineNews.Com.

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How much home can you get for $200,000?

Fresno, CA home listed for $200,000

Inventories bulging with discounted properties and historically low interest rates are sending a distinct “buyer’s market” signal to first-timers, move-up buyers and investors alike. But what can you get for the money?

by Broderick Perkins
© 2010 DeadlineNews.Com

Unauthorized use of this story is a copyright violation -- a federal crime

Deadline Newsroom - Inventories bulging with discounted properties and historically low interest rates are sending a distinct “buyer’s market” signal to first-timers, move-up buyers and investors alike.

And it’s not just any buyer’s market, but one of the most affordable ever.

Knowing buyers sometimes need a little push, Move Inc.'s MortgageMatch.com went shopping, based on the median price of homes listed on Move Inc.'s Realtor.com web site.

Read "How Much Home Will $200K Buy?" to get the details.


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© 2010 DeadlineNews.Com

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Get "News that really hits home!" for your Web site or blog from the DeadlineNewsGroup.Com.

You are reading a sample of "News that really hits home!" now available from several beats and published in a growing number of locations.

Broderick Perkins, an award-winning consumer journalist, parlayed 30 years of old-school journalism into a digital real estate news service, the San Jose, CA-based DeadlineNews Group, including DeadlineNews.Com, a real estate news and consulting service and Web site, and the Deadline Newsroom, DeadlineNews.Com's news back shop.

Under the DeadlineNews Group umbrella:

Perkins is managing editor of HomeAway.com's Gulf Coast Response Center.

Perkins was the first Examiner to cover three beats for the Examiner.com news service:
• National Real Estate Examiner
• National Consumer News Examiner
• National Offbeat News Examiner

Other DeadlineNews Group Feeds are available from DeadlineNews.Com.

DeadlineNews.Com's Editorial Content Is Intellectual Property • Unauthorized Use Is A Federal Crime

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