“Existing-home sales rose again in November as first-time buyers rushed to close sales before the original Nov. 30 deadline for the recently extended and expanded tax credit, according to the NATIONAL ASSOCIATION OF REALTORS®.

Existing-home sales – including single-family, townhomes, condominiums and co-ops – rose 7.4 percent to a seasonally adjusted annual rate of 6.54 million units in November from 6.09 million in October, and are 44.1 percent higher than the 4.54 million-unit pace in November 2008. Current sales remain at the highest level since February 2007 when they hit 6.55 million.

Lawrence Yun, NAR chief economist, said the rise was expected. ‘This clearly is a rush of first-time buyers not wanting to miss out on the tax credit, but there are many more potential buyers who can enter the market in the months ahead,’ he said. ‘We expect a temporary sales drop while buying activity ramps up for another surge in the spring when buyers take advantage of the expanded tax credit, which hopefully will take us into a self-sustaining market in the second half of 2010. In all, 4.4 million households are expected to claim the tax credit before it expires and balance should be restored to the housing sector with inventories continuing to decline…’”

Read the full article: http://www.realtor.org/RMODaily.nsf/pages/News2009122201?OpenDocument

“Existing-home sales in August gave back some of their strong gain in July but remain above year-ago levels, according to the National Association of Realtors®.

Existing-home sales – including single-family, townhomes, condominiums and co-ops – declined 2.7 percent to a seasonally adjusted annual rate¹ of 5.10 million units in August from a pace of 5.24 million in July, but remain 3.4 percent above the 4.93 million-unit level in August 2008. In the previous four months, sales had risen a total of 15.2 percent…”

Read the article: http://www.realtor.org/press_room/news_releases/2009/09/ease_four

“Contract activity for pending home sales has risen for six straight months, a pattern not seen in the history of the index since it began in 2001, according to the National Association of Realtors®.

The Pending Home Sales Index, a forward-looking indicator based on contracts signed in July, increased 3.2 percent to 97.6 from a reading of 94.6 in June, and is 12.0 percent higher than July 2008 when it was 87.1. The index is at the highest level since June 2007, when it was 100.7…”

Read the article: http://www.realtor.org/RMODaily.nsf/pages/News2009090101?OpenDocument

“For the first time in five years, existing-home sales have increased for four months in a row, according to the National Association of Realtors®.

Existing-home sales – including single-family, townhomes, condominiums and co-ops – rose 7.2 percent to a seasonally adjusted annual rate¹ of 5.24 million units in July from a level of 4.89 million in June, and are 5.0 percent above the 4.99 million-unit pace in July 2008.  The last time sales rose for four consecutive months was in June 2004, and the last time sales were higher than a year earlier was November 2005…”

Read the article: http://www.realtor.org/press_room/news_releases/2009/08/strong_uptrend

“Existing-home sales in the second quarter showed healthy gains from the first quarter in the vast majority of states, and price declines have increased affordability in most metro areas, according to the latest survey by the National Association of Realtors®.

Total state existing-home sales, including single-family and condo, rose 3.8 percent to a seasonally adjusted annual rate¹ of 4.76 million units in the second quarter from 4.58 million units in the first quarter, but remain 2.9 percent below the 4.90 million-unit pace in the second quarter of 2008.”

Read the article: http://www.realtor.org/press_room/news_releases/2009/08/2nd_Helped?LID=RONav0021

REALTORS® are increasingly vocal about the implementation of the Home Valuation Code of Conduct (HVCC). Here are some examples of what members are saying:

• AMCs are assigning appraisers to any location regardless of geographic competency.
• The business relationships I spent years nourishing are going away.
• Lenders should not be allowed to have an ownership stake in appraisal management companies.

In response, NAR created a page on Realtor.org which includes the most up to date information on the HVCC. Follow the latest updates at www.realtor.org/hvcc.

Fellow Colleagues:

It’s that time of year where your input is needed.   As many of you know this year I have the privilege of serving you as NAR’s Vice Chairman of the Risk Management Committee.  Once again, from a risk management perspective, tell me what you think are some of the emerging trends or issues that will impact the real estate business over the next year or so.

All of us are cognizant of the dominate role short sales continue to have in our market place and the work that still has to be done to improve the conditions when handling this high risk transaction with all parties.  We know that competency when handling REO properties, from both a listing agent and buyer’s agent perspective, is under scrutiny and is starting to take center stage.  In many instances we are not fully aware of unintended consequences and possible negative ramifications.

In addition to the two major issues identified above what in your view are some other emerging trends?  For example:
• Some fellow REALTORS® across the nation have experienced a serious condition resulting from imported dry wall containing toxic and potentially dangerous materials being used in remodeling and new construction. 
• Others have reported that Lenders are declining to provide LBP disclosures on properties acquired through foreclosure. 
• Many have seen an increase in mold in FHA foreclosed properties and the inability to obtain financing through FHA programs.
Arizona REALTORS® have always pioneered when it comes to foreseeing potential challenges and how they can be remedied.  Here is your opportunity to maintain our leadership role.  As soon as is practicable let me know what’s happening in your “neck of the woods.”   Send your responses to jjt@GoTucson.com  Thanks in advance for your input.

The NATIONAL ASSOCIATION OF REALTORS® applauds recent actions by the Federal Reserve and the Treasury making mortgage interest rates more affordable. However, further action is needed to help the thousands of people trying to buy a home or to stem off foreclosure to get a mortgage easily and quickly.

“Our members tell us that families are once again looking to enter the housing market only to find that delays, process and bureaucracy are getting in the way,” said NAR President Charles McMillan, a broker with Coldwell Banker Residential Brokerage in Dallas-Fort Worth. “The federal government and the mortgage lending industry must address continuing problems that are impeding the delivery of mortgage credit to home buyers and those trying to avoid foreclosure.”

In a letter to the Treasury Department, the Federal Reserve Board and the Federal Housing Finance Agency, and copied to then President-elect Barack Obama’s transition team, NAR notes that in addition to lowering interest rates, the federal government must work with mortgage lenders and credit reporting agencies to eliminate processes that are making it difficult to close on a mortgage loan so that the housing market and the nation’s economy can have a robust recovery.

“Now really is a great time to buy a home. Inventory is high, prices are down and mortgage rates are near 50-year lows. We have to unclog the system and let people achieve and hold on to the dream of homeownership,” McMillan said.

NAR is recommending that the Treasury Department provide additional TARP funds for the sole purposes of making additional loans and modifying mortgages to help prevent foreclosures. “The housing market is clogged with short-sales that take frustratingly too long to clear. Though lax underwriting standards should never return, many lenders’ credit score requirements have become overly stringent. Good people with good credit scores are finding it difficult to qualify for loans despite the historically low mortgage rates,” said McMillan.

NAR is asking mortgage lenders and mortgage insurers to make sure they have not over-corrected their underwriting standards and added unnecessarily strict underwriting standards, such as excessively high credit scores to qualify for a mortgage. In addition, credit reporting bureaus should improve compliance with the Fair Credit Reporting Act, including providing prompt responses to consumers who want to correct errors in their file.

Lastly, NAR is calling on all mortgage lenders, their servicers, Fannie Mae and Freddie Mac, and investors in mortgage assets to implement aggressive policies that result in more loan modifications to prevent as many foreclosures as possible, expedited processes for short-sales, and added liquidity to the nonconforming mortgage market.

“If rates stay low at near 5 percent or lower, home sales could rise nationally by 10 to 15 percent in 2009 and stabilize prices in many parts of the country,” said NAR Chief Economist Lawrence Yun. “That, in turn, will help reduce foreclosure pressures and lower the rate of re-defaults on recently modified distressed loans. Improved loan modification tools are also necessary. Everyone needs to work together so this can become a reality.”

NAR continues to advocate for other measures that would help create long-term stability by ensuring that safe and affordable mortgages are available throughout the nation, including making the higher loan limits passed in the economic stimulus bill earlier this year permanent and extending the temporary $7,500 tax credit for first-time home buyers to all home buyers and eliminating the repayment requirement.

“The work is not yet finished, and NAR is committed to continuing its efforts with policy makers and the new Congress and administration to get the real estate market back on track – the nation’s economy depends on it,” McMillan said.

The following is a statement by NATIONAL ASSOCIATION OF REALTORS® President Charles McMillan:

“NAR’s 1.2 million members are eager to help make President Obama’s Making Home Affordable plan a reality. We are pleased that the president released the guidelines today for refinancing and mortgage loan modifications and that the guidelines will be implemented immediately to help struggling homeowners as well as millions of eligible homeowners who have stayed current in their mortgage payments.”

“Housing stabilization must be the key component of any federal recovery plan. Helping families keep their homes is critical to this effort and for the health of our economy and communities across the country.”   

“NAR has long called for a multipronged approach to address the housing and economic crisis. Allowing eligible homeowners to refinance or modify their loans will help millions of families avoid foreclosure. This in turn will support the housing recovery by slowing the growth in inventory due to foreclosures. Lowering unsold inventory will help stabilize home prices and values. We believe that the incentives the loan modification plan offers to borrowers and loan servicers will encourage additional loan modifications, reducing the default rate.”
   
“Moving forward, we must not only work to prevent foreclosures, but also bring financially healthy home buyers to the market to further reduce unsold inventory. Toward this end, we hope that the president and his administration will continue to look for new and creative approaches that will lower interest rates for all homeowners and buyers.”

“Our goal is to reach out to ALL members and All associations with the Right Tools. Right Now.”

- The NATIONAL ASSOCIATION OF REALTORS®

The current state of the economy and housing market presents members with significant challenges - and many have turned to their association for help in addressing them.

Members need help increasing business to ease the financial strain they are experiencing.

Members need valuable tools that can help them in their daily efforts-today.

How? NAR has developed an initiative that will provide a variety of publications, education, services, resources and tools for FREE, at cost, or at significantly reduced pricing, such as:

• 1 Day REBAC Foreclosure Class - FREE
• RSPS, Appraisal, and International webinars - FREE
• Risk Reduction online course - at cost
• “It’s a Great Time to Buy” brochure - FREE
• “It Pays to Work with a REALTOR®” brochure - FREE
• RESPA Pocket Guide - FREE
• Fair Housing Handbook - FREE
• REBAC Homebuyer Toolkit - buy one, get one free
• 2008 Profile of Home Buyers and Sellers - FREE
• Real estate sales and marketing tips books - at cost

NAR is also rolling out a new program available to help educate REALTORS® on the foreclosure process: “Unlocking the American Economy: A Foreclosure Prevention & Response Program.”

Watch for monthly additions to the products and services. All the details and downloadable materials are now available.

Don’t forget to visit AARonline.com and AARNews often to keep abreast of the latest news, products and services to help you succeed in your business.