Massachusetts Home Buyer Guide

Massachusetts Home Buyer Guide Has Moved

As always, thank you for visiting the Massachusetts Home Buyer Guide blog. Recently we have moved the blog and integrated it with the Buyers Brokers Only, LLC Web site.

We will continue to bring you the latest Massachusetts (and sometimes New Hampshire) reale estate news, market reports and home-buying tips and advice. We also blog about topics important to homeowners.

You'll also be able to find information about Massachusetts first-time home buyer programs and New Hampshire first-time home buyer programs.

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MABA Calls For Changes in Mortgage Application Process

The following is a press release issued by the non-profit Massachusetts Association of Buyer Agents regarding the Consumer Financial Protection Bureau's proposals to make applying for a mortgage more consumer friendly.

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Boston, MA – October 16, 2012 – While generally supporting the Consumer Financial Protection Bureau’s (CFPB) new proposals aimed at simplifying the mortgage application process and protecting consumers, the Massachusetts Association of Buyer Agents (MABA) has gone on record criticizing the bureau’s new proposal on mortgage disclosures – the so-called “Know Before You Owe” proposal.

“In and of itself, changing the disclosures will do little to help consumers looking to comparison shop prior to locking in a mortgage,” said MABA’s board of directors. “The fact of the matter is that unless buyers can get information on loan costs, such as interest rates, monthly payments, and closing costs earlier in the transaction process, it’s all for naught because there is rarely enough time to shop for a better deal the way things are currently set up.” According to the CFPB, this was one of the primary drivers for overhauling the mortgage disclosures – that is, to make shopping for a mortgage easier and more efficient.

The board’s statement continues: “As things now stand, lenders can’t provide a good faith estimate of loan costs until they have an application in hand, which means there needs to be a property with an accepted offer or purchase and sale agreement. In order to give buyers time to comparison shop, that needs to change, as does the timeline for mortgage contingencies – typically made tight to protect the seller’s interest. Consumers need more information sooner in order to effectively shop for a loan. In short, they need to be able to get disclosures in a meaningful way – at a meaningful time. There needs to be a way to get a buyer a binding good faith estimate earlier in the process – perhaps based on certain conditions, such as a single-family up to a certain price and/or a certain credit score range.”

The MABA board also weighed in on two other CFPB proposals – one pertaining to loan origination fees, the other designed to prevent mortgage servicer mistakes. Here, the MABA board was more supportive of the CFPB’s efforts to bring clarity to the mortgage marketplace and prevent the kind of abuses that contributed to the 2008 financial crisis, though it did offer some additional criticisms – and recommendations.

A key element of the new loan origination rules requires lenders to offer a no point, no fee option. According to the CFPB this, again, is being done to help consumers to mortgage shop. However; as the MABA board sees it, the real issue here is that many consumers don’t understand how loans are really structured and, thus, have a hard time making comparisons. “Consumer-friendly lenders can easily calculate the costs of any product to include a no point, no closing cost option. Some do it all the time. The problem is that most consumers don’t understand how mortgage pricing works. By helping with mortgage pricing, a good buyer’s agent can add value to the process.”

Regarding the proposed new rules on mortgage servicers, the board said: “Fundamentally, these rules are designed to protect homeowners from surprises and costly servicer mistakes. It’s a good step in the right direction. One question not answered, though, is what happens if the lender does not follow the correct steps and forecloses on a homeowner.” The board recommends that there be a requirement that lenders present proof that all procedures were properly followed in a timely manner before they would be able to complete a foreclosure. “The bottom line: none of these rules will work unless there are timelines attached to them and penalties or incentives that will get the lenders to follow them.”

The MABA board of directors plans on submitting its comments to the CFPB shortly for its review. The public has been invited to comment on the new CFPB proposals at its website –www.consumerfinance.gov/notice-and-comment/. The CFPB will review and analyze all comments prior to issuing final rules in January 2013. The specific CFPB proposals referenced above can be accessed online at www.massbuyeragents.org/new_mortgage_rules_2012.htm.

 

About the Massachusetts Association of Buyer Agents (MABA)

Founded in 1990, the Massachusetts Association of Buyer Agents (MABA) is a non-profit organization of select real estate agents dedicated to the highest ethical standards of buyer agency. Less than one percent of the buyer agents in the state qualify for MABA membership. MABA agents advocate for buyers at each step of the process – from initial negotiations through closings – when purchasing a home or condominium. With their comprehensive knowledge, member agents are a critical resource to first-time buyers, those moving into the state through relocation, and repeat buyers seeking to streamline the purchase process. When working with home buyers, MABA agents’ allegiance is to the buyer only and their transaction – never to the seller, the seller’s agent or the listing brokerage company. For additional information on MABA and a free list of MABA buyer’s agents, go to www.massbuyeragents.org.

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For record, I have been on the Massachusetts Association of Buyer Agents Board of Directors since 2010.

Massachusetts Home Sales Up In September 2012

Massachusetts single-family homes sales increased again in September, continuing the upward trend in 2012; however, prices dipped back below $300,000, The Warren Group, publisher of Banker & Tradesman, reported October 25, 2012.

A total of 3,791 single-family homes sold in Massachusetts in September, an 8 percent increase from 3,507 sales in September 2011. Sales also increased in the third quarter – rising to 13,861 from 11,691 during the same period in 2011. Year-to-date sales are up by almost 22 percent at 35,482, compared to 29,088 during the same period a year ago.

The buyer's market of the last few years seems to have begun to shift towards sellers. With mortgage interest rates still around record lows, home buyers may not see another opportunity like there is now for many years to come.

The median price of single-family homes declined 4.5 percent to $277,000 in September, down from $290,000 a year earlier. This is the first time since May that the median price statewide dropped below $300,000. Third quarter median prices held stable, dropping just 0.6 percent to $301,250 from $303,000 in the third quarter 2011. The median price for homes sold January through September was $290,000, down 1.6 percent from $294,700 in the prior year.

The foreclosure properties left over are mostly is tough shape, thus keeping pressure on statewide prices. Home buyers that have been in the market over the past nine months know that home prices are definitely increasing in many popular communities around Boston.

In September, condominium sales rose more than 23 percent to 1,609, up from 1,306 a year ago. Massachusetts condo sales in the third quarter increased 33 percent to 6,024, compared to 4,529 during the third quarter 2011. Year-to-date condo sales were up 27.5 percent, soaring to 14,641 from 11,479 during the same period last year.

The median condo price held steady at $275,000 in September, a 0.16 percent decline to $275,450. Third quarter median prices were down 3 percent, decreasing to $281,000 from $290,000 in the prior year. The year-to-date median price of condos in Massachusetts was $279,000, up 1.5 percent from $275,000 a year ago.

Quick Energy-saving Tips For Massachusetts Homeowners

1. Install Dimmer Switches:

 

Not yet ready to say good bye to incandescent bulbs for the mercury-filled alternative? Then consider that simply dimming a light by 10 percent more than doubles the bulb's life, saving money on bulbs and energy.

 

2. Add a Motion Sensor:

 

You can add motion sensors to your outdoor lighting fixtures. A motion sensor will turn on lights when someone walks by and turn off the light when nobody is present. Besides saving energy, these great gadgets will alert you to someone on your property at night. Motion sensors also are great for the seldom-used areas of your home, such as the basement and guest room.

 

3. Set a Programmable Thermostat:

A programmable thermostate can help you save nearly $200 a year by turning down the heat at certain times of day or night. For every degree you lower your thermostat for an eight-hour period, you cut energy use by about 1 percent. So, if you set it back 10 degrees overnight, you can save 10 percent.

Quincy, MA Home Sales Strong First Half 2012

The median price and sales of homes in Quincy, Massachusetts increased in the first half of 2012, according to data compiled using MLS Property Information Network, Inc, a local multiple listing service.

Single-family home sales in Quincy, MA increased 13.9 percent in the first six months of 2012, a difference of 25 sales compared to the same period in 2011. The median price of single-family homes were flat in the first half of 2012, rising just $550 compared to 2011. 

Condominium sales rose 38.5 percent in the first half of 2012, an increase of 42 sales compared to the six-month period of 2011. The median price of condominiums increased 9.1 percent in the first half of 2012, a difference of $19,000 compared to the same six-month period in 2011. 

Multi-family home sales rose 3.8 percent, a difference of two sales compared to the first six months of 2011. Multi-family median home prices fell 5.3 percent in the first half of 2012, a difference of $21,250 compared to the first six months of 2011.

Quincy, Massachusetts Real Estate Market Report

                           Sales / Median Price

Single-family Homes:
Jan. - June 2011 – 180 / $299,450 
Jan. - June 2012 – 205 / $300,000

Condominiums:
Jan. - June 2011 – 109 / $209,000 
Jan. - June 2012 – 151 / $228,000

Multi-family Homes:
Jan. - June 2011 – 52 / $399,500 
Jan. - June 2012 – 54 / $378,250

Search For Homes For Sale In Quincy, Massachusetts 

Massachusetts Home Sales Strong in 2012

Sales of both Massachusetts single-family homes and condominiums rose in August 2012, marking the seventh straight month both property types posted a year-over-year increase, The Warren Group, publisher of Banker & Tradesman, reported September 25, 2012.

A total of 5,118 single-family homes sold in Massachusetts in August, a 20 percent increase from 4,262 sales in August 2011. August was the second time single-family home sales surpassed the 5,000 mark in 2012. Year-to-date sales are up 24 percent at 31,733, compared to 25,581 during the same period a year ago.

As long as economic growth does not slow, the housing market should steadily keep improving. Prices are flat, but that is beginning to change, especially in popular communities. In six to 12 months, home buyers may be wishing they started their home search now.

The median price of single-family homes increased 1.6 percent to $310,000 in August, up from $305,000 a year earlier. The increase in median price in August marks the third straight month that median price exceeded $300,000. The median price for homes sold January through August 2012 was $290,000, down 1.7 percent from $295,000 in the prior year.

In August, condominium sales statewide increased 40 percent, continuing the significant sales volume increase throughout much of this year. A total of 2,432 condos sold in August, up from 1,736 a year ago. Year-to-date condo sales are up nearly 28 percent, rising to 13,040 from 10,173 during the same period last year.

The median condo price dropped 4.3 percent in August to $279,000, down from $291,513 a year earlier. The year-to-date median price of condos in the Bay State is $279,900, up almost 2 percent from $275,000 a year ago.

As prices creep up for single-family homes in popular communities, many first-time home buyers are considering the condo market again.

Find an exclusive buyer agent in the Greater Boston Area and Southern NH that is 100 percent loyal to home buyers

Time Running Out to Buy a Foreclosure?

A look at the latest Massachusetts forelcosure activity begs the question of whether time is running out to buy a foreclosure and whether there are any good deals even left. 

Massachusetts foreclosure petitions and foreclosure deeds declined in July 2012.

Read more at Massforeclosed.com.

Scituate, MA Single-family Home Sales Up Q2 2012

The median price of single-family homes in Scituate, Massachusetts decreased in the second quarter of 2012 while sales increased, according to data compiled using MLS Property Information Network, Inc, a local multiple listing service.

Single-family home sales in Scituate, MA increased 18.8 percent from April through June 2012, a difference of 12 sales compared to the same period the previous year. The median price of single-family homes fell 9 percent in Q2 2012, a difference of $44,000 compared to the second quarter of 2011.

Condominium sales declinedl 14.3 percent in Q2 2012, a difference of just one sale compared to Q2 of the previous year. The median price of condominiums rose 41.0 percent in Q2 2012, a difference of $182,450 compared to the previous Q2.

There was one multi-family home sold in the second quarter of 2012 in Scituate, MA, up from zero sales in Q2 of 2011.

Scituate, Massachusetts Real Estate Market Report

             Sales / Median Price

Single-family Homes: 
Q2 2011 - 64 / $490,000
Q2 2012 - 76 / $446,000

Condominiums: 
Q2 2011 - 7 / $445,000
Q2 2012 - 6 / $627,450

Multi-family Homes: 
Q2 2011 - 0 / $0
Q2 2012 - 1 / $525,000

Search for homes for sale in Scituate, Massachusetts

Haverhill, MA Real Estate Market Comes Back

Home sales in Haverhill, Massachusetts increased in the second quarter of 2012 and median prices were flat for single-family homes while increasing for condos, according to data compiled using MLS Property Information Network, Inc, a local multiple listing service.

Single-family home sales in Haverhill, MA increased 18.3 percent in the second quarter of 2012, a difference of 17 sales compared to the same period in 2011. The median price of single-family homes dipped 0.4 percent in Q2 2012, a difference of only $1,050 compared to 2011.

Haverhill, MA condominium sales jumped 60.5 percent in Q2 2012, a difference of 26 sales compared to Q2 2011. The median price of condominiums also increased, rising 10.4 percent in the second quarter, a difference of $15,100 compared to 2011's second quarter.

Multi-family home sales didn't disappoint either, increasing 43.8 percent in the second quarter of 2012, a difference of seven sales compared to 2011. Multi-family home prices increased 7.6 percent in Q2 2012, a difference of $12,000 compared to Q2 2011.

The Haverhill, MA housing market certainly seems to have turned the corner and is coming back in 2012.

Haverhill, Massachusetts Real Estate Market Report

             Sales / Median Price

Single-family Homes:

Q2 2011 - 93    / $237,500
Q2 2012 - 110 / $236,450

Condominiums:

Q2 2011 - 43 / $144,900
Q2 2012 - 69 / $160,000

Multi-family Homes:

Q2 2011 - 16 / $158,000
Q2 2012 - 23 / $170,000

Search for homes for sale in Haverhill, MA

Boston Home Prices Rise June 2012

Boston’s housing prices showed strength in June, increasing 2.5 percent on a month-to-month basis, according to the latest Case-Shiller Home Price Index Boston Business Journal.

Boston's June prices slightly outpaced the Case-Shiller national home price index, a 20-city composite that rose 2.3 percent over May's numbers. Boston's home prices were flat on a year-over-year basis.

June marked the third consecutive month in which home prices in all 20 cities rose on a month-over-month basis. The index follows existing home sales in major metropolitan areas and uses 2000 as a base year to measure price changes in a given real estate market.

Needham, MA Single-family Home Sales Jump, Median Price Shows Slight Increase Q2 2012

The median price and sales of single-family homes in Needham, Massachusetts increased in the second quarter of 2012, according to data compiled using MLS Property Information Network, Inc, a local multiple listing service.

The median price of single-family homes climbed 2.2 percent in Q2 2012 compared to the previous year, a difference of $15,000. Single-family home sales in Needham, MA jumped 26.8 percent in the second quarter of 2012, an increase of 26 sales compared to 2011's Q2.

The median price of condominiums slid 5.5 percent in Q2 2012, a decrease of $26,450 compared to the previous year. Condominium sales plunged 38.9 percent in Q2 2012, a difference of seven sales compared to Q2 2011.

Multi-family home prices rose 18.6 percent in Q2 2012, a difference of $117,750 compared to Q2 2011. There were two multi-family homes sold in the second quarter of 2011 and 2012.

Needham, Massachusetts Real Estate Market Report

             Sales / Median Price

Single-family Homes: 
Q2 2011 -   97 / $675,000
Q2 2012 - 123 / $690,000

Condominiums: 
Q2 2011 - 18 / $481,450
Q2 2012 - 11 / $455,000

Multi-family Homes: 
Q2 2011 - 2 / $632,750
Q2 2012 - 2 / $515,000

Search for Homes In Needham, Massachusetts

Massachusetts Home Sales Continue Upward in 2012

Massachusetts single-family home sales continued at a brisk pace in July, increasing nearly 27 percent compared to July 2011, and posting the highest number of sales for the month since 2005, The Warren Group, publisher of Banker & Tradesman, reported August 29, 2012.

A total of 4,979 single-family homes sold Massachusetts in July, a jump from 3,922 during the same month last year. July saw the best sales volume since 2005, when there were 6,672 sales. So far this year, 26,596 single-family homes have sold in Massachusetts, an increase of 24.8 percent from 21,319 during the same period in 2011, which was a pretty depressed real estate market.

Massachusetts condominium sales also increased in July, rising 34 percent from a year earlier. A total of 1,994 condos sold in July, up from 1,487 a year ago. Year-to-date condo sales were also up almost 26 percent, increasing to 10,611 from 8,437 during the same period last year.

The median price of single-family homes were flat in July, inching up less than 1 percent to $318,000, up from $315,000 a year earlier. July was the second month this year that the median price increased, and the second consecutive month that prices exceeded $300,000. The median price for homes sold January through July 2012 was $287,000, down 1.7 percent from $292,000 in 2011.

The median condo price slipped slightly in July. The median selling price was $295,000, down 0.3 percent from $296,000 a year earlier. The year-to-date median price of condos in Massachusetts is $280,000, up about 3 percent from $272,000 a year ago.

Single-family Home Sales in Natick, MA Plunge Q2 2012

The median price and sales of single-family and condominium homes in Natick, Massachusetts fell in Q2 2012, according to data compiled using MLS Property Information Network, Inc, a local multiple listing service.

The median price of single-family homes dropped 3.9 percent in Q2 2012 compared to the previous year, a difference of $16,750.  Single-family home sales in Natick, MA plunged 26.1 percent in the second quarter of 2012, a difference of 24 sales compared to Q2 2011.

The median price of condominiums declined 14.9 percent in Q2 2012, a difference of $61,000 compared to the previous Q2. Condominium sales fell 1.9 percent in Q2 2012, a difference of just one sale compared to Q2 2011.

Multi-family home prices dipped 2.1 percent in Q2 2012, a difference of $8,250 compared to Q2 2011. Natick, MA multi-family home sales increased 250 percent in Q2 2012, a difference of five sales compared to Q2 2011.


Natick, Massachusetts Real Estate Market Report

             Sales / Median Price

Single-family Homes:

Q2 2011 – 92 / $431,750
Q2 2012 – 68 / $415,000

Condominiums:

Q2 2011 – 53 / $410,000
Q2 2012 – 52 / $349,000

Multi-family Homes:

Q2 2011 – 2 / $393,250
Q2 2012 – 7 / $385,000

Search For Homes For Sale In Natick, Massachusetts

Billerica, MA Single-family Home Sales Jump Q2 2012

Home sales in Billerica, Massachusetts increased in Q2 2012 while the median home price decreased slightly, according to data compiled using MLS Property Information Network, Inc, a local multiple listing service.

Single-family home sales in Billerica, MA soared 55.9 percent in the second quarter of 2012, an increase of 38 sales compared to Q2 2011. The median price of single-family homes dipped 2.6 percent in Q2 2012, a difference of $8,000 compared to the second quarter of last year.

Condominium sales rose 18.8 percent in Q2 2012, a difference of 15 sales compared to the previous year. The median price of condominiums plunged 41.6 percent in Q2 2012, a difference of $121,000 compared to the previous Q2.

There was only one multi-family home sold in the second quarter of 2012, up from zero sales during the same period the year before.

Billerica, Massachusetts Real Estate Market Report

                Sales / Median Price

Single-family Homes: 
Q2 2011 - 68 / $313,500
Q2 2012 - 106 / $305,500

Condominiums: 
Q2 2011 - 8 / $291,000
Q2 2012 - 23 / $170,000

Multi-family Homes: 
Q2 2011 - 0 / $0
Q2 2012 - 1 / $370,000

Search for homes for sale in Billerica, Massachusetts

U.S. Homebuilders More Confident August 2012

Confidence among U.S. homebuilders climbed in August to the highest level in more than five years, affirming the improvement in residential construction, Bloomberg.com reported August 15, 2012.

The National Association of Home Builders/Wells Fargo builder confidence index rose to 37, higher than projected and the best rating since February 2007, the Washington-based group reported. The forecast in a Bloomberg survey of economists called for no change from July’s 35 rating; however, ratings below 50 mean more respondents said conditions were poor.

Builders are benefiting as less-expensive properties and record-low mortgage interest rates persuade consumers to buy new homes.