Massachusetts Home Buyer Guide

U.S. Mortgage Interest Rates Rise Again

The average rate for a 30-year, fixed-rate mortgage loan increased for the fourth straight week, Bankrate.com reported December 30, 2009.

The average rate increased from 5.13 percent to 5.24 percent.

U.S. Existing Homes Sales Rise, Inventory Down

U.S. existing home sales rose again in November as first-time home buyers hurried to close sales before the original November 30, 2009 deadline for the recently extended and expanded home buyer tax credit, the National Association of REALTORS® reported December 22, 2009.

Existing-home sales, including single-family, townhouses, condominiums and co-ops, increased 7.4 percent to a seasonally adjusted annual rate of 6.54 million units in November from 6.09 million in October, and sales are 44.1 percent higher than the 4.54 million-unit pace in November 2008.

Current U.S. existing homes sales remain at the highest level since February 2007 when sales hit 6.55 million.

Total housing inventory at the end of November declined 1.3 percent to 3.52 million existing homes available for sale, which represents a 6.5-month supply at the current sales pace, down from an 7-month supply in October 2009.

The national median existing home price for all housing types was $172,600 in November, a 4.3 percent decline compared to November 2008.

Home Improvements That Pay Off

The importance of first impressions is something that has been talked about for ages. When first meeting a person, creating a good first impression is no doubt an important step in getting to know them. It can determine whether or not you choose to approach them, and if you choose to get to know them.

The same is true with a home buyer looking at a house. In today’s real estate market it is not always the expensive remodeling jobs that are yielding the highest returns, but rather the small projects that catch a home buyer’s attention.

Curbside appeal is something that is often looked past by home sellers. Exterior projects often attract buyers’ attention without hurting your wallet. In a recent Remodeling Cost vs. Value Report, exterior projects returned a higher percent of project costs upon resale compared to other more expensive interior renovations.
 
Some projects in the top 10 Cost vs. Value list were; replacing vinyl siding, more upscale fiber-cement siding, replacing windows, installing new front doors, and adding a wooden deck. On a national level, eight of the top ten cost effective projects were exterior additions, with each recouping at least 75 percent of project costs.
 
There were two interior projects that made the top ten. Converting attic space into an extra bedroom and small kitchen remodeling projects recouped 83.1 and 78.3 percent of costs respectively. Although these projects may give you similar returns to what an exterior project would, in a competitive market you'll need to catch a buyer’s eye before they'll come inside.

MA Home Sales Up More Than 50% In November

Massachusetts single-family and condominium home sales each surged by more than 50 percent in November compared to November 2008, The Warren Group, publisher of Banker & Tradesman, reported December 22, 2009.

With help from the home buyer tax credit that originally was due to expire December 1, 2009, November was the fifth consecutive month that single-family home sales increased year-over-year and the third straight month that condo sales rose.

Meanwhile, prices showed some improvement in November. The median selling price for single-family homes declined just 1.3 percent. It was one of the smallest drops in median price in the last two years. The median condo price climbed 1.7 percent during the month, the first increase in monthly condo prices in more than a year.

Single-family home sales soared 59.1 percent to 4,136 from 2,599 in November 2008, posting the highest number of sales for the month of November since 2005. November’s sales gain was also the biggest jump in year-over-year sales so far in 2009. Year-to-date sales climbed 2.6 percent to 38,218 from 37,250 during the first eleven months of 2008.

Meanwhile, condominium sales in Massachusetts jumped 54 percent to 1,840 from 1,195 in November 2008. It was the biggest gain in monthly condo sales year-over-year so far in 2009. A total of 17,133 condo sales transactions have been recorded in the first 11 months of the year, down 9.1 percent from 18,854 a year earlier.

The median price for condos sold in November inched up 1.7 percent to $244,000 from $240,000 during the same month last year, the first time in 16 months, the median selling price for condos rose. The year-to-date median condo price has declined 8.2 percent to $252,500 from $275,000 last year.

Attorney Susie Moniz Joins Buyers Brokers Only, LLC

Attorney Susie P. Moniz, an exclusive buyer agent with an office located in Lynn, Massachusetts joined Buyers Brokers Only, LLC in November.

Susie helps first-time and experienced home buyers and investors purchase properties in Lynn, MA and other North Shore and surrounding communities, including Salem, Swampscott, Nahant, Lynnfield, Marblehead, Revere and Somerville.

Susie, a licensed real estate broker in Massachusetts, is a member of the National Association of Exclusive Buyer Agents and the Massachusetts Association of Buyers. She also is a member of the Massachusetts Association of REALTORS®, North Shore Association of REALTORS® and the National Association of REALTORS®.

Susie graduated summa cum laude from Northeastern University in 1995. In 2002, she earned her Juris Doctor, cum laude, from Suffolk University School of Law. Susie is admitted to practice law at both the state and federal level in the Commonwealth of Massachusetts.

Susie has more than 13 years of legal experience handling real estate transactions.

She is a native of Somerville, Massachusetts. She is fluent in Portuguese. She bought her first property in Savin Hill (Dorchester) in 2003 and currently owns a home on the North Shore with her husband, Ron Mendes.

Susie can be reached using  email or by calling her mobile (617.697.4972). You can sign up for a free MLS account on Susie's Web site.

Saving Cash After Buying A Home

Many first-time home buyers use most, if not close to all, their savings for the down payment on the home they purchase. If there is a little cash left, it likely goes quickly on improvements and repairs; however, it is very important to build an emergency fund. 

Building a cash reserve for the unexpected, but inevitable, emergencies that arise in life is a wise financial decision. Healthy people get sick. Good employees get fired or laid off. Furnaces, roofs and plumbing need replacing at the worst possible times.

The old rule of thumb was to save enough in an emergency fund to be able to live for six months in case of a job loss, but everyone's situation is different, and six months cash on the sidelines may not be enough.

Kiplinger's Personal Finance recently published an article titled, "How Much Cash You Really Need." Figuring out what you need saved also requires that you make a budget, which also is a good idea. Most importantly, you should get started building that emergency fund. Some emergency cash is better than none.

Newburyport, MA Home Sales, Price Decline

During the first nine months of the year, Newburyport, Massachusetts median home prices have dropped in three out of the last four years, with the median price of a single-family home declining 11.5 percent from 2008 ($455,000) to 2009 ($402,500) over the same nine-month period.

The only year that saw a rise in prices during this time period was 2008, with a 5.8 percent rise in median home prices compared to the first nine months of 2007.

Single-family home sales in Newburyport, MA declined 26.3 percent through the third quarter of 2009 compared to 2008, and are down 42.1 percent from 2006.

The amount of time Newburyport homes have spent on the market has increased each year from 2006 to 2008, but declined in 2009. The highpoint of 156 days on the market occurred in 2008, a 44.4 percent increase in time compared to 2006. In 2009, homes spent 124 days on the market, a 20.5 percent decrease in time compared to the previous year.

The data come from the MLS Property Information Network, Inc.

Newburyport, MA Real Estate Market Data

	Median Price	Number of Sales	Days on the Market
Jan-Sept 2006	$479,900	145	108
Jan-Sept 2007	$430,000	139	143
Jan-Sept 2008	$455,000	114	156
Jan-Sept 2009	$402,500	84	124

 

 

 

Sarah Kosiavelon Joins Buyers Brokers Only, LLC

Attorney Sarah Kosiavelon is an exclusive buyer agent located in Tewksbury, Massachusetts. She joined Buyers Brokers Only, LLC in October 2009.

Sarah helps first-time and experienced home buyers purchase properties in Tewksbury, MA and surrounding Massachusetts communities, including Dracut, Lowell, Burlington, Woburn, Wakefield, Billerica and Stoneham.

Sarah is a licensed Real Estate Broker in Massachusetts, a member of the National Association of Exclusive Buyer Agents, Massachusetts Association of Buyer Agents, National Association of REALTORS®, Massachusetts Association of REALTORS® and Greater Boston Real Estate Board.

Sarah graduated from the University of Massachusetts Lowell in 2003, and she earned her Juris Doctor Degree from New England School of Law in 2008. Sarah is admitted to practice law in the Commonwealth of Massachusetts.

Sarah has experience purchasing multiple investment properties. Sarah is a native of Woburn, Massachusetts and resides in Tewksbury, MA.

Sarah can be reached using email or by calling her mobile (617.610.4399).

U.S. Housing Market May See More Price Drops In 2010

In a year when the U.S. economy was in the dumps, the housing market showed signs of a comeback, but there are many challenges facing the housing market in 2010 that may result in more pain before prosperity.

An article in Fortune Magazine discusses predictions with the chief economist of Moody's Economy.com, Mark Zandi. Zandi predicts home prices are going to decline another  5 percent to 10 percent, and maybe another 30 percent in places like Miami between now and this time next year.

Foreclosures and unemployment around 10 percent top the reasons for the dire expectations for the housing market.

Zandi predicts another 2.4 million foreclosure in the U.S. in 2010, and the soft jobs market will limit the number of potential home buyers.

"Another concern: Policymakers will pull their support from the market prematurely. Aggressive government moves, like the recently extended first-time-home buyer tax credit and the Fed's purchase of mortgage-backed securities, have been propping up the market."

The Fed plans to stop purchasing mortgage-backed securities at the end of March, and Zandi thinks that could raise mortgage interest rates a full point.

Amesbury, MA Home Prices, Sales Up

As those of us in the real estate business know, not every community is in the midst of a real estate slump. After some significant declines in home sales and median price, Amesbury, Massachusetts has seen its real estate market come alive.

The median price of a single-family home in Amesbury, MA has been unpredictable over the past four years.  The largest difference in prices was seen from 2007 to 2008, where there was a 25.6 percent decrease in median prices from January through September; however, in 2009 home prices jumped up by 7.9 percent.

During the first nine months of the year from 2006 through 2009, the amount of single-family homes sold in Amesbury, MA has fluctuated greatly. During the nine-month period in 2007, home sales rose 27 percent compared to the same time period in 2006. In 2008, home sales then dipped down to 68 homes sold, a 46.46 percent decline in sales. In 2009 there were 81 home sold, or a 19.1 percent rise in sales compared to the first nine months of 2008.

In 2007 homes were spending 38 more days on the market than the previous year.  Since 2007 homes have been selling faster. In 2009 homes spent 24.7 percent less time on the market compared to the high in 2007, and 12.2 percent less time than in 2008.

The data come from the MLS Property Information Network, Inc.

Search the MLS for Amesbury, MA homes for sale.

Amesbury, MA Real Estate Market Data

	Median Price	Number of Sales	Days on the Market
Jan-Sept 2006	$345,000	100	144
Jan-Sept 2007	$375,000	127	182
Jan-Sept 2008	$279,000	68	156
Jan-Sept 2009	$301,000	81	137

Newton, MA Homes Sales, Median Price Decline

The median home price of single-family homes in Newton, Massachusetts during the first nine months of 2009 dropped 4.61 percent from 2008.  The median price has dropped each year in the nine-month period since 2007.  The median price was $795,000 in January through September of 2007, 8.8 percent higher than the same time period in 2009.

The number of single-family homes sold in the first nine months of 2009 was 8.47 percent lower than in the same time period in 2008.  The most home sales over the past four years were in 2007 with 517 homes sold, or 24.8 percent more sales than in 2009.

Over the last four years, homes sold the fastest during the nine-month period of 2008. Compared to 2008, homes on average took only one day longer to sell in 2009. Compared to 2006, homes spent 30.28 percent less time on the market during the first nine months of 2009.

The data comes from MLS Property Information Network, Inc.

Search the MLS for homes in Newton, Massachusetts

Newton, MA Real Estate Market Data            

	Median Price	Number of Sales	Days on the Market
Jan-Sept 2006	$768,075	452	109
Jan-Sept 2007	$795,000	517	100
Jan-Sept 2008	$760,000	425	75
Jan-Sept 2009	$725,000	389	76

 

 

Andover, MA Sales Slightly Up, Median Price Down

During the first nine months of the past four years, median prices of single-family homes in Andover Massachusetts have remained somewhat steady. The largest change was seen in 2009 when the median price of a home declined 3.7 percent from the same nine-month time period in 2008.

The number of homes sold in Andover, MA during the first nine months of the year has fluctuated each year. In 2007, single-family home sales increased 14.7 percent compared to 2006, but then in 2008, there was a 26 percent decrease in sales, or 67 less homes sold.  From 2008 to 2009 sales went from 191 to 196.

Single-family homes in Andover have been selling faster over the past four years during the same nine-month period.  In both 2007 and 2008 homes were selling 7.9 percent faster then in 2006.  In 2009 the average number of days homes spent on the market dropped again to 109 days.

The data come from the MLS Property Information Network, Inc.

Search for homes in Andover, Massachusetts.

Andover, MA Real Estate Market Data

	Median Price	Number of Sales	Days on the Market
Jan-Sept 2006	$550,000	225	127
Jan-Sept 2007	$554,000	258	117
Jan-Sept 2008	$547,500	191	117
Jan-Sept 2009	$527,000	196	109

Femion Mezini Joins Buyers Brokers Only, LLC

Attorney Femion Mezini is an exclusive buyer agent, with an office located in Millis, Massachusetts. He joined Buyers Brokers Only, LLC over the summer.

Femion helps first-time and experienced home buyers purchase properties in Millis, MA and surrounding Massachusetts communities, including Medfield, Medway, Norfolk, Franklin, Walpole, Dedham and Norwood.

Femion is a licensed Real Estate Broker in Massachusetts, a member of the National Association of Exclusive Buyer Agents, Massachusetts Association of Buyer Agents, National Association of REALTORS®, Massachusetts Association of REALTORS® and Greater Boston Real Estate Board.

Femion graduated from Pacific Union College in Angwin, California with a Bachelor's of Science degree in Business Administration. He continued his studies at Western New England College School of Law and School of Business. In May of 2006, Femion received his J.D. and M.B.A. degrees. He was the first student in the school's history to complete the requirements for both graduate degrees in just two and a half years.

Femion is also a member of the Friends of the Morin Center, graduating with an LL.M. in Banking and Financial Laws from Boston University in May 2009.

Femion can be reached using email or by calling his mobile (508.801.7122).

Femion is admitted to practice law in the State of New York, Commonwealth of Massachusetts and the United States District Court for the District of Massachusetts.

Femion is a leader in the community as well as nationally through the American Bar Association. Femion also serves as a liaison between the Albanian and the United States Government.

Malden, MA Home Prices, Sales Decline

Through September of 2009 the median price of single-family homes sold in Malden, Massachusetts was $258,000, down 26.5 percent compared to the same nine-month period in 2006.

From January to September of 2009 there were 137 single-family homes sold in Malden, MA, down 3.5 percent from 2008 and 18 percent from 2007. In the first nine months of 2007 there were 167 homes sold, the most in the last four years during the same nine-month period.

There have not been any drastic changes in the average amount of days properties spent on the market during the first 9 months of each of the past four years.  The biggest change was from 2006 to 2007, with an increase of 11 days, or 10.8 percent.

The data come from the MLS Property Information, Inc.

Search for homes for sale in Malden, Massachusetts.

Malden, MA Real Estate Market Data

	Median Price	Number of Sales	Days on the Market
Jan-Sept 2006	$351,000	149	102
Jan-Sept 2007	$330,000	167	113
Jan-Sept 2008	$290,000	142	114
Jan-Sept 2009	$258,000	137	109

 

Haverhill, MA Home Sales, Prices Decline

During the first nine months of the year, home sales in Haverhill, Massachusetts dropped in three out of the last four years.  The only year that saw improvement in sales during this time period was 2008, with a 2.7 percent rise in sales compared to the first nine months of 2007.

Compared to 2006, there was a 24.4 percent decrease in home sales during the January to September period of 2009. There were 12.45 percent more homes sold in the first three quarters of 2008 compared to the same time period in 2009.               

Until 2009, the amount of time homes were spending on the market was increasing steadily. During the last four years, 2008 had the longest average time that homes spent on the market, a full 23.9 percent higher than in 2006. In the first nine months of 2009, the average amount of time homes spent on the market in Haverhill, MA dropped by 11.7 percent, with homes on average selling in 128 days.               

Since 2006 the median price of single-family home in Haverhill, MA has dropped each year during the first nine months.  In the January through September period of 2009, the median prices of a home was down 22.4 percent, or $72, 050 lower, from 2006. From 2008 to 2009, median prices of single-family homes declined 7.4 percent.

The data come from the MLS Property Information Network, Inc.

Search for homes for sale in Haverhill, MA.

Haverhill, MA Real Estate Market Data             

	Median Price	Number of Sales	Days on the Market
Jan-Sept 2006	$322,000	307	117
Jan-Sept 2007	$302,500	258	125
Jan-Sept 2008	$270,000	265	145
Jan-Sept 2009	$249,950	232	128