SEATTLE VS. DENVER: IN REAL ESTATE, WHO'S THE CHAMP?

As reported in the Daily Real Estate News on Friday, January 31, 2014,

As Seattle and Denver prepare to face off on Sunday in Super Bowl XLVIII, where do these cities score points when it comes to real estate?

ZipRealty Inc. recently compared the housing stats in Denver and Seattle to see which metro is better at “gaining yardage”; has the most “veteran” players; moves the fastest; offers the most expensive “players”; and features the best “coaching” staff, or real estate agents in this case. In other words, ZipRealty analyzed average lot size, new construction versus existing home sales, median days on the market, median sales price, and agent ratings and reviews on ZipRealty.com.

Here's how the two cities stacked up against one another:

1.)  Which metro gains the most yards?
Denver’s average lot size: 74,636 square feet
Seattle’s average lot size: 60,754

2.)  Where are the most veteran players located?
Denver’s percentage of new homes: 5.4%
Seattle’s percentage of new homes: 5.3%

3.)  Whose players move the fastest?
Denver’s median days on the market: 18
Seattle’s median days on the market: 32

4.)  Which metro has the most expensive players?
Denver’s median home sales price: $259,000
Seattle’s median home sales price: $285,849

5.)  Whose coaching staff is the best?
(Based on ZipRealty’s agent ratings and reviews from customers)
Denver’s average agent ratings: 4.91 out of 5
Seattle: 4.84 out of 5

Compare some of the players’ real estate choices at realtor.com®. For example, it’s a duel for the most luxurious wine cellar: Denver’s quarterback Peyton Manning’s 16,600-square-foot mansion home versus Seattle running back Marshawn Lynch’s 7,000-square-foot, $3.6 million waterfront estate.

Source: ZipRealty

GOOD NEWS FOR LANDLORDS: RENTS STILL RISING

As reported in the Daily Real Estate News on Tuesday, January 28, 2014,

Average rental prices have ticked up nearly 4 percent nationwide, according to the latest TransUnion Rental Screen Solutions industry report of data collected from property managers in September 2012 and September 2013.

Rents were on the rise for all four of the classifications of rental properties that TransUnion analyzes: newer institutional properties; older institutional properties; older properties in less desirable areas; and older properties in less desirable areas that are in need of renovations/updating. The average rent of all four types of properties was $1,072 in 2013.

The largest rental increases were seen in properties that were in less desirable areas that need renovations, up 4.2 percent to an average of $693.

"The rental market continues to be strong as demand for rental units remains high while consumer credit risk slowly improves," says Michael Doherty, senior vice president of TransUnion's rental screening solutions group. "The combination of improving rental risk scores and continued demand for rental properties is particularly good news for property managers. … When the credit risk of the population improves, property managers may be more inclined to tighten their criteria to ensure they are getting the best possible resident. This is integral because a resident who 'skips' out on a lease can cost a property manager thousands of dollars in lost revenues."

Source: “Good News for Rental Markets as Prices, Renter Credit Quality Both Rise,” Mortgage News Daily (Jan. 27, 2014)

WHITE HOUSE STILL CALLING HOUSING RECOVERY "FRAGILE"

As reported in the Daily Real Estate News on Monday, January 13, 2014,

The latest Housing Scorecard from the Obama Administration shows progress on several fronts—notably home prices—but continues the familiar cautionary language in describing the recovery.

The scorecard evaluates housing data from December 2013. The majority of such scorecards provided by the administration this year utilize the word "fragile" to describe the market, and this month's report follows the trend.

“December’s Housing Scorecard shows that we are continuing to make progress helping struggling home owners get back on their feet,” says Edward J. Szymanoski, associate deputy assistant secretary for economic affairs. “Since the beginning of 2012, the number of home owners underwater has declined by 5.7 million and homeowners’ equity has risen by 55 percent to $9.7 trillion. There remains more work to do to address the 6.4 million home owners who remain underwater; nevertheless, these are encouraging signs that the housing market recovery is providing millions of American home owners with more economic security.”

Each month, the report highlights how the Making Home Affordable program is performing. As of December 2013, nearly 1.3 million home owners have received permanent loan modifications through the Home Affordable Modification Program (HAMP). The report also showed that home values are on par with prices in early 2005, according to data from the Federal Housing Finance Agency.

Source: U.S. Department of Housing and Urban Development 

9 HOUSING MARKETS SOAR TO NEW PRICE PEAKS

As reported in the Daily Real Estate News on Wednesday, January 8, 2014,

Home prices nationwide remain 17.6 percent below peak values reached in April 2006, according to CoreLogic’s latest Home Price Index, reflecting November data. Home prices are about 13.3 percent below their peak when you exclude distressed sales, such as short sales and REOs.

However, 21 states as well as the District of Columbia are back to within 10 percent of their peak value. 

What’s more, nine of them reached new price peaks in 2013, according to CoreLogic. Those are: 

• Colorado
• District of Columbia
• Iowa
• North Dakota
• Oklahoma
• South Dakota
• Texas
• Vermont
• Wyoming 

The five states furthest from their peak values are: 

• Nevada: down 40.5% from its peak value
• Florida: -37.3%
• Arizona: -31.4%
• Rhode Island: -29.4%
• Illinois: -24.5%

Source: “Nine States Set New Price Peaks in 2013,” Mortgage News Daily (Jan. 7, 2014)