Image via WikipediaSocial networking use among those ages 50 and older nearly doubled over the past year from 22% to 42% over the past year. @ Pew Internet | 
Tuesday, August 31, 2010
Older Adults and Social Media
Image via WikipediaSocial networking use among those ages 50 and older nearly doubled over the past year from 22% to 42% over the past year. @ Pew Internet | 
'A great time' to buy: 6,000 South Florida homes on sale for $50,000 or less
Image by California Cthulhu (Will Hart) via FlickrThe collapse in home prices during the past five years has left plenty of bargains for the taking, but many of the properties are shoe-box tiny, need new roofs or have some other major flaw that doesn't make financial sense for buyers on a budget. 
Monday, August 30, 2010
Top 10 Nasdaq-traded stocks posting largest percentage increases | Washington Examiner http://ping.fm/5oBFN
Top 10 New York Stock Exchange-traded stocks posting largest percentage increases | Washington Examiner http://ping.fm/l0wK2
Waukegan Airport UGN Makes World Business TV
NBAA Vice President Mike Nichols appeared August 19 on “First Business,” a TV business news show produced in Chicago and broadcast on more than 150 television affiliates nationwide, including in the New York, Los Angeles and Washington, DC media markets. The reporter for the story notes that “NBAA has been promoting a No Plane No Gain strategy," and cites data, provided by Nichols, showing that business aviation accounts $150 billion in economic development, supports 1.2 million jobs, improves company productivity, boosts access to small and medium-sized airports, and saves companies millions. The broadcast of the segment was seen by an estimated 263,000 viewers.
HUD ANNOUNCES $189 MILLION AVAILABLE TO REVITALIZE COMMUNITIES:
WASHINGTON - The U.S. Department of Housing and Urban Development announced today that it is making $189 million in grants available to transform public and assisted housing and to revitalize communities. Appearing in today's Federal Register are the Notices of Funding Availability, the federal application, for two revitalization initiatives: The Choice Neighborhoods FY 2010 and the HOPE VI FY 2010. Both applications can be accessed at www.grants.gov.
WASHINGTON - The U.S. Department of Housing and Urban Development announced today that it is making $189 million in grants available to transform public and assisted housing and to revitalize communities. Appearing in today's Federal Register are the Notices of Funding Availability, the federal application, for two revitalization initiatives: The Choice Neighborhoods FY 2010 and the HOPE VI FY 2010. Both applications can be accessed at www.grants.gov.
Sunday, August 29, 2010
Saturday, August 28, 2010
Friday, August 27, 2010
Tribune Co. has $1.6 billion in cash
Image via WikipediaThe company, which filed for bankruptcy protection in December 2008 with $13 billion in debt, said that during the first seven months of 2010 it generated $100 million more in operating cash flow than it did during the same period a year earlier. 
Thursday, August 26, 2010
Wednesday, August 25, 2010
Prices Holding Up Well Despite Everything:
One of the remarkable things about home sales today is the strength we’re seeing in the national median price. For July it was $182,600, up almost a percentage point from a year ago. That’s about what inflation is right now, according to the Consumer Price Index. When you consider the slowdown in sales volume now that the home buyer tax credit is ended, the resiliency in pricing is a bright spot. http://ping.fm/NFpMp
One of the remarkable things about home sales today is the strength we’re seeing in the national median price. For July it was $182,600, up almost a percentage point from a year ago. That’s about what inflation is right now, according to the Consumer Price Index. When you consider the slowdown in sales volume now that the home buyer tax credit is ended, the resiliency in pricing is a bright spot. http://ping.fm/NFpMp
Tuesday, August 24, 2010
Gasoline prices hit eight-month low
Image via WikipediaThe sagging commodity market price for gasoline is good news for American motorists, promising a mild easing in pump prices. It also marks the end of a summer of relative stability for retail gasoline prices, which have fluctuated by about 20 cents per gallon since the beginning of the year and have stayed in an 8-cent range for the past 69 days. Prices have been stuck in neutral because of the continuing weak global economy and fundamental shifts in the U.S. gasoline market, the world's biggest. @ Washington Post | 
The Fed Can Create Money, Not Confidence:
The Fed has been fighting deflation for nearly two years. It began pumping new money into the economy after the September 2008 stock market crash to restore liquidity in the financial system. It has kept the pumps running by maintaining a near-zero interest rate target. Its net purchases—with newly created dollars—of government and government-agency bonds have totaled some $1.4 trillion, expanding its balance sheet to $2.3 trillion. As the Fed pumped out new money, member bank reserves ballooned and now exceed $1 trillion. That means a vast amount of money is on deposit in Fed accounts, ready to be flooded into the economy if loan demand increases.
Editor's Comment: This is a good read
@ Wall Street Journal |
The Fed has been fighting deflation for nearly two years. It began pumping new money into the economy after the September 2008 stock market crash to restore liquidity in the financial system. It has kept the pumps running by maintaining a near-zero interest rate target. Its net purchases—with newly created dollars—of government and government-agency bonds have totaled some $1.4 trillion, expanding its balance sheet to $2.3 trillion. As the Fed pumped out new money, member bank reserves ballooned and now exceed $1 trillion. That means a vast amount of money is on deposit in Fed accounts, ready to be flooded into the economy if loan demand increases.
Editor's Comment: This is a good read
@ Wall Street Journal |
Yes, Mayor Sabonjian developed a plan which called for the State of Illinois to grant a casino license to the City of Waukegan as part of his Lake Michigan Riviera development plan. http://ping.fm/iurhp
Monday, August 23, 2010
Reminder! NSP Open Forum Q&A - Tomorrow, Tuesday, August 24, 2010 - 2 pm EDT - rigneyrealty@gmail.com - Gmail http://ping.fm/JWZpA
Illinois was ranked 31 with closing costs in 2010 averaging $3,505, lower than the national average of $3,741. In 2009, Illinois ranked 43. Closing costs: State by state http://ping.fm/UCOSh
Sunday, August 22, 2010
Friday, August 20, 2010
The FHA's balancing act
The Federal Housing Administration lost relevance in the first half of the decade when home prices soared and borrowers turned to easy-to-get subprime loans with lower upfront costs. But as the mortgage market unraveled, borrowers flocked back to the FHA. The agency does not make loans. It insures qualified lenders against losses if borrowers default. Since its creation in 1934, it has collected fees from its borrowers to pay lenders for loans gone bad. In the past year and a half, FHA-insured loans made up roughly 30 percent of all new single-family home purchase mortgages — up from 3 percent in 2006 — and about 20 percent of new refinancing deals.
But as the agency's loan volume expanded, its default rate shot up. The cash reserves the FHA has set aside to pay for unexpected losses have eroded to dangerously low levels. If FHA funds are depleted, taxpayers would have to come to the rescue for the first time in the agency's history. The agency is now trying to protect itself against risk without undermining its key role in propping up the housing market. To that end, the FHA has tightened some standards while loosening others.
© 2010 The Washington Post Company
But as the agency's loan volume expanded, its default rate shot up. The cash reserves the FHA has set aside to pay for unexpected losses have eroded to dangerously low levels. If FHA funds are depleted, taxpayers would have to come to the rescue for the first time in the agency's history. The agency is now trying to protect itself against risk without undermining its key role in propping up the housing market. To that end, the FHA has tightened some standards while loosening others.
© 2010 The Washington Post Company
IRS Summertime Tax Tip 2010-20: Employee vs. Independent Contractor - Seven Tips for Business Owners - rigneyrealty@gmail.com - Gmail http://ping.fm/7FTA0
Cops probe if 2 kids hurt in Waukegan fire were home alone - Chicago Breaking News http://ping.fm/Bsfeh
Thursday, August 19, 2010
Wednesday, August 18, 2010
Chicago climbs global cities list
Chicago advanced two spots to land at No. 6 on a ranking of the best global cities. New York tops Foreign Policy magazine's list, followed by London and Tokyo. Paris and Hong Kong also beat Chicago. Foreign Policy examined 65 cities with a population of more than 1 million, rating business activity, human capital, information exchange, cultural experience and political engagement.
Tuesday, August 17, 2010
Morris, a former state senator and mayor of Waukegan who now lives in Grayslake. says cutting perks part of tollway reforms.
http://ping.fm/SoHk3
http://ping.fm/SoHk3
Lake Michigan Kings are on north of Waukegan.
Cory Yarmuth of McHenry sent me a fishing report from early Sunday morning. He fished the Big Drink north of Waukeegan. Here is what he said...
Hit the launch at 4:15am and we started setting lines by 4:40am. We hadn't finished setting lines when the starboard power pro dipsey went off. The skunk was off the boat with a small 6lb king. The first hour we had some good flurries of hits and fish landed. We also had a few drive by's and a couple that came unbuttoned as soon as we grabbed the rod and cranked a couple cranks on the reel. The water was incredible out there as it was a beautiful calm morning. As the morning wore on the wind picked up a bit and the flies came out in full force. We fished hard and ended the day 9 for 11 with two of the nine being shakers that were released.
The water temp early was 65deg and when we pulled at 10:30 it was up to 68deg. We ran between 2.5 and 2.8mph SOG and worked the area between 60 and 95fow north of the harbor.
Our best baits were:
BlackFin Tuna magnum on free slider on rigger
Peppermint Moonshine on 10 colors of lead
Glow blueberry moonshine on braided dipsey back 125
Hog Wild stinger mag on braided dipsey back 125
Monkey Puke stinger on Braid dipsey back 145 (took the biggest king)
Black fin Tuna magnum back 25 down 60 on rigger
I did hear guys on the radio that were out in 200-250 fow and they were picking away at them, but there was nothing really hot and heavy. It sounded like we did a bit above average.
Cory Yarmuth of McHenry sent me a fishing report from early Sunday morning. He fished the Big Drink north of Waukeegan. Here is what he said...
Hit the launch at 4:15am and we started setting lines by 4:40am. We hadn't finished setting lines when the starboard power pro dipsey went off. The skunk was off the boat with a small 6lb king. The first hour we had some good flurries of hits and fish landed. We also had a few drive by's and a couple that came unbuttoned as soon as we grabbed the rod and cranked a couple cranks on the reel. The water was incredible out there as it was a beautiful calm morning. As the morning wore on the wind picked up a bit and the flies came out in full force. We fished hard and ended the day 9 for 11 with two of the nine being shakers that were released.
The water temp early was 65deg and when we pulled at 10:30 it was up to 68deg. We ran between 2.5 and 2.8mph SOG and worked the area between 60 and 95fow north of the harbor.
Our best baits were:
BlackFin Tuna magnum on free slider on rigger
Peppermint Moonshine on 10 colors of lead
Glow blueberry moonshine on braided dipsey back 125
Hog Wild stinger mag on braided dipsey back 125
Monkey Puke stinger on Braid dipsey back 145 (took the biggest king)
Black fin Tuna magnum back 25 down 60 on rigger
I did hear guys on the radio that were out in 200-250 fow and they were picking away at them, but there was nothing really hot and heavy. It sounded like we did a bit above average.
As 401(k) Matches Disappear, Savers Must Take Up Slack:
Although you can save as much as $16,500 a year ($22,000 if you're age 50 or older) in a 401(k), a Roth IRA limits you to just $5,000 a person — or $6,000 if you're older than 50. Many people need to save more than $5,000 a year, especially if they are trying to catch up after neglecting saving when young. If you are married, each spouse can put as much as $5,000 into a Roth IRA if one is working, but even $10,000 a year might not be enough. (Try the "ballpark estimate" at http://ping.fm/10Fyv and check income limits for contributions at http://ping.fm/S6AKo)
Consequently, Stevens said people who need to do significant saving could use Roth IRAs to the max, as well as a 401(k). This provides an additional benefit. Anything you put into a 401(k) gives you an immediate tax break, so you don't have to dip as deeply into your pocket to come up with money to save. The Roth IRA doesn't give you that benefit. But a Roth offers a benefit in retirement that is better than a 401(k): Anything you remove from a Roth IRA during retirement is yours, free and clear. On the other hand, when retirees remove money from a 401(k), the withdrawals will be taxed.
Still, beware of the inclination to procrastinate if you are considering a Roth IRA. Sheryl Garrett, a financial planner and founder of the Garrett Planning Network, suggests opening the IRA immediately at a low-cost mutual fund company such as Vanguard or T. Rowe Price. She advises savers to set it up so money is removed automatically from each paycheck and deposited in mutual funds. Funds to consider, she said, if you want to make small monthly contributions are T. Rowe Price Equity Income Fund or T. Rowe Price Standard & Poor's 500. The fund is invested 100 percent in stocks. More conservative funds suggested by Stevens are Pimco All Asset or Permanent Portfolio.
(c) 2010, Chicago Tribune.
Although you can save as much as $16,500 a year ($22,000 if you're age 50 or older) in a 401(k), a Roth IRA limits you to just $5,000 a person — or $6,000 if you're older than 50. Many people need to save more than $5,000 a year, especially if they are trying to catch up after neglecting saving when young. If you are married, each spouse can put as much as $5,000 into a Roth IRA if one is working, but even $10,000 a year might not be enough. (Try the "ballpark estimate" at http://ping.fm/10Fyv and check income limits for contributions at http://ping.fm/S6AKo)
Consequently, Stevens said people who need to do significant saving could use Roth IRAs to the max, as well as a 401(k). This provides an additional benefit. Anything you put into a 401(k) gives you an immediate tax break, so you don't have to dip as deeply into your pocket to come up with money to save. The Roth IRA doesn't give you that benefit. But a Roth offers a benefit in retirement that is better than a 401(k): Anything you remove from a Roth IRA during retirement is yours, free and clear. On the other hand, when retirees remove money from a 401(k), the withdrawals will be taxed.
Still, beware of the inclination to procrastinate if you are considering a Roth IRA. Sheryl Garrett, a financial planner and founder of the Garrett Planning Network, suggests opening the IRA immediately at a low-cost mutual fund company such as Vanguard or T. Rowe Price. She advises savers to set it up so money is removed automatically from each paycheck and deposited in mutual funds. Funds to consider, she said, if you want to make small monthly contributions are T. Rowe Price Equity Income Fund or T. Rowe Price Standard & Poor's 500. The fund is invested 100 percent in stocks. More conservative funds suggested by Stevens are Pimco All Asset or Permanent Portfolio.
(c) 2010, Chicago Tribune.
Monday, August 16, 2010
New Homebuyer Tax Starts September 2010 Helping People Buy and Sell In The Chicago Land Area. http://ping.fm/o4AmC
Call for Careful Overhaul of US Mortgage Lending
Image by Mike Licht, NotionsCapital.com via FlickrThe US does not intend to wind down completely Fannie Mae and Freddie Mac, the large government-sponsored mortgage companies that are eating up billions of taxpayer dollars, given the fragile state of the housing market. |
Peter Gridley | Photographer's Choice | Getty Images |
Administration officials say that any credible proposal to overhaul the government-sponsored enterprises, as Fannie and Freddie are called, would need to include a “thoughtful approach” to prevent house prices from dipping lower.
Fannie [FNMA 0.371 
-0.004 (-1.07%) 
] and Freddie [FMCC 0.4 --- UNCH (0) ] buy or guarantee more than 90 percent of loans currently being issued.
-0.004 (-1.07%) ] and Freddie [FMCC 0.4 --- UNCH (0) ] buy or guarantee more than 90 percent of loans currently being issued. Without government backing, some large investors have said they would stop buying mortgage bonds, a development that would be catastrophic both for the housing market and the broader economy.
The overhaul of Fannie and Freddie remains one of the most challenging problems of the financial crisis, and one that was noticeably absent from the reform regulation signed into law earlier this summer.
Pressure is building on the Obama administration, which has promised to submit a proposal to Congress by January, to find a solution.
Since being taken over by the government in 2008, Fannie and Freddie have absorbed nearly $150 billion in aid, making them by far the costliest part of a bail-out that rescued carmakers and financial institutions.
The Treasury has been canvassing a wide array of private sector bankers and public policy experts, many of whom are listed to speak at a conference tomorrow, which will be chaired by Tim Geithner, Treasury secretary, and Shaun Donovan, the secretary for housing and urban development.
Treasury officials have been reading more than 300 comments received in response to seven questions posted earlier this year in a public forum.
No one wants to see the GSEs survive in their current form, but neither do they want to upset the mortgage market at such a crucial time. Beyond that there is little agreement on how to proceed.
Conservatives argue that the private markets, not the government, should provide financing for home loans. But liberals say the government should have some role. They point out that the private markets seized up during the credit crisis.
“It’s clear there is no good short-term solution,” said Rajiv Setia, of Barclays Capital.
Last month Mr Geithner promised that an overhaul of Fannie and Freddie would bring “fundamental change” and that they would not survive “in anything like their current form”.
But he added: “I think there’s going to be a good case for taking a look at preserving or putting in place a carefully designed guarantee so, again, homeowners have the ability to borrow to finance a home, even in a very difficult recession.”
Bigger Bailout for Unemployed Borrowers
Obama Administration announced it would be sending another $1 billion to unemployed borrowers to help them pay their mortgages.
Here's part of the release:
"This new program will complement Treasury’s Hardest Hit Fund [a now $4 billion fund established last February, going to states with above-average unemployment rates] by providing assistance to homeowners in hard hit local areas that may not be included in the hardest hit target states. Those areas are still being determined.The program will work through a variety of state and non-profit entities and will offer a declining balance, deferred payment “bridge loan” (zero percent interest, non-recourse, subordinate loan) for up to $50,000 to assist eligible borrowers with payments on their mortgage principal, interest, mortgage insurance, taxes and hazard insurance for up to 24 months."
 |
AP |
To be eligible, borrowers have to be at least three months behind on payments and, "have a reasonable likelihood of being able to resume repayment of their mortgage payments and related housing expenses within two years."
I'm not sure what that means, but that's just me.
They have to be owner-occupants and not own a second home.
They also have to have had a good payment record prior to unemployment.
At face value it seems pretty basic…the government will lend the borrowers up to $50,000 each for up to 2 years to pay their mortgages.
The loan is 0% interest.
Keeping Good Records Reduces Stress at Tax Time
Image via WikipediaYou may not be thinking about your tax return right now, but summer is a great time to start planning for next year and to make sure your records are organized. Maintaining good records now can make filing your return a lot easier and it will help you remember transactions you made during the year. Here are a few things the IRS wants you to know about recordkeeping.
Keeping well-organized records also ensures you can answer questions if your return is selected for examination or prepare a response if you receive an IRS notice. In most cases, the IRS does not require you to keep records in any special manner. Generally speaking, you should keep any and all documents that may have an impact on your federal tax return.
Individual taxpayers should usually keep the following records supporting items on their tax returns for at least three years:
- Bills
- Credit card and other receipts
- Invoices
- Mileage logs
- Canceled, imaged or substitute checks or any other proof of payment
- Any other records to support deductions or credits you claim on your return
- A home purchase or improvement
- Stocks and other investments
- Individual Retirement Arrangement transactions
- Rental property records
- Gross receipts: Cash register tapes, bank deposit slips, receipt books, invoices, credit card charge slips and Forms 1099-MISC
- Proof of purchases: Canceled checks, cash register tape receipts, credit card sales slips and invoices
- Expense documents: Canceled checks, cash register tapes, account statements, credit card sales slips, invoices and petty cash slips for small cash payments
- Documents to verify your assets: Purchase and sales invoices, real estate closing statements and canceled checks
Sunday, August 15, 2010
Waukegan Firefighter Paul Rice collects donations in his boot
Image via WikipediaIf you see a firefighter with a boot in hand remember that by helping "Fill the Boot" you are helping to fund research on the 43 different diseases being fought by the Muscular Dystrophy Association.The International Association of Firefighters Waukegan Firefighters Local 473 manned the intersection of Grand Avenue and Green Bay Road in the scorching heat Friday to collect money for MDA.
Waukegan Firefighter Paul Rice collects donations in his boot during a Fill the Boot drive for the Muscular Dystrophy Association at Grand Avenue and Green Bay Road in Waukegan.
(Ryan Pagelow / News-Sun)
(Ryan Pagelow / News-Sun)
Waukegan firefighters Greg Zahn and Beth Moss collect donatons during a Fill the Boot drive at Green Bay Road and Grand Avenue in Waukegan.
Last year, Waukegan had three intersections as collection points, and they netted $19,000 for MDA. This year they were hoping to collect $10,000 to $15,000, said Meg Krancic, fund-raising coordinator for MDA Chicago District.
"We've been partnered with the International Association of Firefighters for 56 years," she said.
"They are our largest sponsor nationally," providing over $28 million over the last year for research and programs, she said.
"They are integral to all the things we do as an organization," said Krancic. The boot collections are timed to lead up to the 'Jerry's Kids' telethon over Labor Day weekend on WGN-TV.
Kerry and Marty McNicholas of Lindenhurst make a point of visiting the Greater Round Lake Area Fire Protection District boot drive to show their appreciation. Their son, Liam, 6, was diagnosed at age 4 with Duchenne Muscular Dystrophy.
"We are very thankful," said Kerry McNicholas. "It's great to see the firefighters out there. This disease is pretty devastating to the families, and any community support is wonderful," she said.
Her son will be able to go to a special summer camp in the near future that is funded by donations made during the boot collections.
More boots
Besides Waukegan, Buffalo Grove, Mundelein, and the Greater Round Lake Area Fire Protection District were filling boots for MDA on Friday. Fire departments that participate in Fill the Boot campaigns in the coming weeks include Zion, which will collect donations during the annual Jubilee Days parade on Labor Day, Gurnee, Highland Park, Highwood, and North Chicago.
Rescuing a boy and his dog from a house fire in Queens
Image via WikipediaOff-Duty FDNY Firefighter Saves Boy, Dog fdnntv.com
An off-duty firefighter with the City of New York Fire Department (FDNY) is being hailed a hero after rescuing a boy and his dog from a house fire in Queens, New York. Robert Moore from Ladder 167 was at the front desk of a gym when an employee ran in to call 9-1-1, saying there was a fire down the street, according to the FDNY.
Thursday, August 12, 2010
Library Throws 90th Birthday Party for Ray Bradbury - Triblocal - Voice of the town http://ping.fm/8fHkC
Aid coming to homeowners without jobs
Image via WikipediaThe Treasury Department will add $2 billion to its existing “Hardest Hit Fund,” assisting the 17 states that have unemployment rates higher than the national average. In addition, a new $1 billion program led by the U.S. Department of Housing and Urban Development will give loans to homeowners who are at risk of foreclosure because of involuntary unemployment, underemployment or a medical condition. The loans, for as much as $50,000, will be interest-free for up to two years. @ Bradenton Herald | Posted: 08/12/10
H.R.600 FHA Seller-Financed Downpayment Reform Act of 2009
Image via WikipediaFHA Seller-Financed Downpayment Reform Act of 2009 - Amends the National Housing Act to make exceptions to the prohibition against mortgage insurance for mortgages involving a downpayment using funds furnished by: (1) the seller or any party that benefits financially from the transaction (seller-financed downpayment); or (2) any third party that is reimbursed by the seller or any such party.Makes eligible for mortgage insurance, in spite of a seller-financed downpayment, any mortagors with credit scores equivalent to a FICO score of: (1) 680 or more; (2) at least 620 but less than 680; or (3) 619 or less. Prescribes conditions for mortgage insurance in the latter two situations.
Wednesday, August 11, 2010
Local home sales hit 3-year high in second quarter
Image via Wikipedia(Crain’s) — Chicago-area home sales reached their highest level in three years in the second quarter.
In the nine-county Chicago region, sales of single-family homes and condominiums increased nearly 35% to 23,735, compared to 17,620 properties in the second quarter of 2009, according to a news release Wednesday from the Illinois Assn. of Realtors.
In the city of Chicago, second-quarter sales increased roughly 33% to 6,567, compared to 4,945 in the second quarter of 2009.
The quarterly number of Chicago-area sales was the highest since the third quarter of 2007, when 39,904 properties sold. Federal tax credits and lower mortgage rates helped sales, according to the association.
The average interest rate for a 30-year fixed-rate mortgage was 4.94% in the second quarter, compared to 5.07% in second-quarter 2009, the association says.
The downside is that prices dipped again.
The area’ median price — at which half the homes sell for more and half for less — fell 2.5% to $196,000, compared to $201,000 in second-quarter 2009, according to the association. Chicago’s median price was unchanged at $230,000, compared to last year.
The association's sales figures include new and existing homes. The nine-county Chicago Primary Metropolitan Statistical Area consists of Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will.
Home Prices Are Firming
Image via WikipediaIn the second quarter, 100 out of 155 metropolitan statistical areas (MSAs) had higher median existing single-family home prices in comparison with the second quarter of 2009, including 14 with double-digit increases; two were unchanged and 53 metros showed price declines. In the first quarter of this year 91 areas had higher prices, while only 26 MSAs experienced annual price gains in second quarter of 2009.
The national median existing single-family price was $176,900 in the second quarter, up 1.5 percent from $174,200 in the same period of 2009. The median is where half sold for more and half sold for less. Distressed homes accounted for 32 percent of second quarter sales, down from 36 percent a year ago.
Lawrence Yun, NAR chief economist, says the correction in home prices appears to have ended in 2009. “All year we’ve been seeing relatively flat national home prices, which appear to be supported by market fundamentals,” he said. “Prices in some areas remain below replacement construction costs, so even with an elevated supply of existing homes on the market we don’t expect any consequential movement in home prices for the foreseeable future. Very low inventory of newly built homes also will help to support home values.”
Yun urged caution on interpreting price data. “The median price is influenced by the mix of homes that were sold and do not reflect pure appreciation or depreciation,” he says. “The recorded home prices in many markets were significantly depressed last year because of a large percentage of distressed homes sold at discount. Now as more normal, non-distressed home sales are occurring, the median price in many areas is showing higher values.”
Total state existing-home sales, including single-family and condo, rose 9.1 percent to a seasonally adjusted annual rate of 5.61 million in the second quarter from 5.14 million in the first quarter, and were 17.3 percent above the 4.78 million-unit pace in the second quarter of 2009.
Sales increased from the first quarter in 44 states and the District of Columbia; 47 states and D.C. had increases over year-ago sales levels.
NAR President Vicki Cox Golder says record low mortgage interest rates will help cushion a summer slowdown. “As expected, sales are slowing down now that the home buyer tax credit has expired, but record-low mortgage interest rates, along with stable and affordable home prices in most areas, provide opportunities for buyers who weren’t able to take advantage of the credit,” she said.
According to Freddie Mac, the national average commitment rate on a 30-year conventional fixed-rate mortgage was a record low 4.91 percent in the second quarter, down from 5.00 percent in the first quarter; it was 5.03 percent in the second quarter of 2009.
“Job creation will give home buyers more confidence, but the market over the next few months is likely to be below what we would expect for the size of our growing population,” Golder says. “With improving bank balance sheets, credit restrictions should gradually improve ."
In the condo sector, metro area condominium and cooperative prices – covering changes in 55 metro areas – showed the national median existing-condo price was relatively flat at $175,700 in the second quarter, down 0.5 percent from the second quarter of 2009. Twenty-six metros showed increases in the median condo price from a year ago and 29 areas had declines; the first quarter of 2010 showed 24 metros up, while only four metros saw annual price gains in second quarter of 2009.
- Northeast: Regionally, the median existing single-family home price in the Northeast declined 3.2 percent to $238,000 in the second quarter from a year earlier. Existing-home sales in the Northeast jumped 14.9 percent in the second quarter to a level of 980,000 and are 23.6 percent above the second quarter of 2009.
- Midwest: In the Midwest, the median existing single-family home price increased 1.4 percent to $148,500 in the second quarter from the second quarter of last year. Existing-home sales in the Midwest rose 14.5 percent in the second quarter to a pace of 1.30 million and are 20.9 percent above the same period in 2009.
- South: In the South, the median existing single-family home price slipped 2.0 percent to $155,500 in the second quarter from the second quarter of 2009. Existing-home sales in the South increased 10.9 percent in the second quarter to an annual rate of 2.10 million and are 18.8 percent above a year ago.
- West: The median existing single-family home price in the West rose 2.6 percent to $219,700 in the second quarter from a year ago. Existing-home sales in the West fell 2.6 percent in the second quarter to an annual rate of 1.23 million but are 7.6 percent higher than the second quarter of 2009.
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WEATHER ALERT for IL - Cook County - rigneyrealty@gmail.com - Gmail http://ping.fm/LvfCT
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Obama Administration Announces Additional Support For Targeted Foreclosure-Prevention Programs To Help Homeowners Struggling with Unemployment http://ping.fm/30tez
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Obama Administration Announces Additional Support For Targeted Foreclosure-Prevention Programs To Help Homeowners Struggling with Unemployment http://ping.fm/30tez
More state legislation of interest signed into law.
Image via Wikipedia- The Save Our Neighborhoods Act of 2010 (Senate Bill 3739) creates a foreclosure prevention program and an abandoned housing funding program within the Illinois Housing Development Authority (IHDA). The law also extends the deadline to July 1, 2013 for an existing program that pauses the foreclosure process so individuals can receive counseling. Effective Oct. 1, 2010.
- The Common Interest Community Association Act (Senate Bill 3180) regulates non-condominium homeowner associations and includes an initiative allowing persons who enter the military service during the term of their residential lease, or soldiers who are deployed or transferred, to break their lease without penalty (similar to the federal Service Members Civil Relief Act). Effective July 29, 2010.
- House Bill 6038 extends the Illinois Affordable Housing Tax Credit through 2016. The program has been used successfully by IHDA, local governments and non-profit housing groups. Effective July 26, 2010.
Image via WikipediaIn times of normal demand, the aforementioned process works pretty well, but with the demise of sub-prime mortgage options and collapse of the housing market, FHA loans have steadily grown in popularity. The increased demand has put significant pressure on the capital reserves of the insurance fund. As a result, Congress approved a plan this week to shore up the agency’s insurance fund with a reconfiguration of the mortgage insurance paid by borrowers on loans originated after September 7th.
Under the new structure, FHA requires a borrower to pay an Upfront Mortgage Insurance Premium calculated at 1% of the loan amount. The good news is that this is down from the 2.25% currently required. The bad news, however, is that the monthly figure will increase from a factor of 0.55% annually to a factor of 0.90% annually.
What does this mean for the consumer?
Let’s look at an example: assume a $150,000 home purchase:BEFORE September 7, 2010
- Upfront Premium (2.25%): $3,256.88
- Monthly payment including mortgage insurance: $793.93
- Upfront Premium (1.00%): $1,447.50
- Monthly payment including mortgage insurance: $826.93
- Upfront cost: Decreased by $1,809.38
- Monthly cost: Increased by $33.00
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This component of the Multifamily Rental Toolkit is intended for grantees and their partners developing multifamily rental projects. http://ping.fm/bEBgC
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This component of the Multifamily Rental Toolkit is intended for grantees and their partners developing multifamily rental projects. http://ping.fm/bEBgC
Eighteen New Tools Focus on Multifamily Rental Programs-Neighborhood Stabilization Program Resource Exchange http://ping.fm/K4dPX
Tuesday, August 10, 2010
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Waukegan Wal-Mart fire loss could hit $1M :: News Sun :: News http://ping.fm/HE8qZ
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Monday, August 09, 2010
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Saturday, August 07, 2010
Friday, August 06, 2010
(HUD) announced today Neighborhood Networks Week 2010 will be held August 2–7
HUD TO OBSERVE NEIGHBORHOOD NETWORKS WEEK AUGUST 2–7 15th anniversary theme: "A Successful Past, A Promising Future"
What’s in Store for Neighborhood Networks Week 2010?
During Neighborhood Networks Week 2010, hundreds of centers across the country will observe one of the three Neighborhood Networks Week Special Event Days, including:
Do It for You Day, which focuses on how centers are helping residents achieve greater self-sufficiency. Events may include job fairs, resume-writing workshops, and graduation ceremonies. This year, "Do It for You Day" will be observed on Tuesday, August 3.
Get Connected Day, which highlights the many ways centers deliver technology access and enhance residents’ technological skills, as well as showcases the critical role technology plays in today’s society. Events may include computer lab tours, Internet use workshops, and online scavenger hunts. This year, "Get Connected Day" will be observed on Wednesday, August 4.
Know Your Neighbors Day, which focuses on building the bonds of neighbors to build stronger communities. Events may include center-hosted block parties, potlucks, barbecues, festivals, or open houses. This year, "Know Your Neighbors Day" will be observed on Thursday, August 5.
HUDNo.10-169/U.S. Department of Housing and Urban Development (HUD)
What’s in Store for Neighborhood Networks Week 2010?
During Neighborhood Networks Week 2010, hundreds of centers across the country will observe one of the three Neighborhood Networks Week Special Event Days, including:
Do It for You Day, which focuses on how centers are helping residents achieve greater self-sufficiency. Events may include job fairs, resume-writing workshops, and graduation ceremonies. This year, "Do It for You Day" will be observed on Tuesday, August 3.
Get Connected Day, which highlights the many ways centers deliver technology access and enhance residents’ technological skills, as well as showcases the critical role technology plays in today’s society. Events may include computer lab tours, Internet use workshops, and online scavenger hunts. This year, "Get Connected Day" will be observed on Wednesday, August 4.
Know Your Neighbors Day, which focuses on building the bonds of neighbors to build stronger communities. Events may include center-hosted block parties, potlucks, barbecues, festivals, or open houses. This year, "Know Your Neighbors Day" will be observed on Thursday, August 5.
HUDNo.10-169/U.S. Department of Housing and Urban Development (HUD)
Thursday, August 05, 2010
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Free Asso. Dues For 1 Year - 2322 Dawson Lane, Algonquin, IL http://ping.fm/NX8IO
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MillerCoors earnings climb on higher beer prices - JSOnline http://ping.fm/vlLDA
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Wednesday, August 04, 2010
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Free Calls,Vonage Offering Free Calls to Facebook Friends http://bit.ly/cSBrG5http://ping.fm/4n2jC
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Tuesday, August 03, 2010
Residential Energy Credits
Residential Energy Property Credit (Section 1121): The new law increases the energy tax credit for homeowners who make energy efficient improvements to their existing homes. The new law increases the credit rate to 30 percent of the cost of all qualifying improvements and raises the maximum credit limit to $1,500 for improvements placed in service in 2009 and 2010.
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The American Recovery and Reinvestment Act of 2009: Information Center:
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