There were a total of fourteeen closed sales this month. Click here to view the properties. 42 new properties came on the market and 29 went under contract this month. Current inventory supply: 5.5 months across all price ranges.
Starting today, the Federal Housing Administration will increase its mortgage insurance premiums an estimated $130 a month or 10 bases points; this is the third increase in two years. The other bad news is once the borrower loan to value reaches 78% of the original purchase price, they will now be required to continue paying mortgage insurance premiums for the life of the loan.
Property values for homes located near NJ Transit trains or on public bus route have always held their values better than towns without public transportation. According to the latest study by Center of Neighborhood Technology residential property values performed “42 percent better on average if they were located within a half-mile of public transportation with high-frequency service—called the “public transit shed”—underscoring that homes closer to public transportation hold their value better. Meg Hadley’s article in USNews.com Proximity to Public Transit Boosts Home Values, she point out what I have been saying for years … Continue reading
This is a good reference, I don’t think there is a 70% return if one uses vinyl siding. ( Graph Courtesy of California Association of Realtors) j
A few of my clients have tried to buy foreclosed homes, none have been successful because financing these properties is very difficult. June Fletcher has an interesting article in today’s Wall Street Journal providing some creative alternatives. Click here to read the article.
When buying a home, title insurance is the most expensive closing cost line item. Yesterday the NYTimes published an interesting article relating to tittle insurance. Unlike most states, New Jersey tittle insurance is regulated by the States New Jersey Department of Banking and Insurance with 16 companies authorized to underwrite such policies. The tiered fee structure is also predetermined by the State and can not be discounted, every applicant pays identical rates. Here is an example: (click image to enlarge)