Frederick County Real Estate Market Statistics for October 2008

County-wide Frederick Real Estate market statistics for the month of October showed some changes from the statistics in September. It seems the burst of activity marked the end of the summer, but didn't continue into the fall.

                                                    2008                               2007                 Change

Total Sold $ Volume:          $47,025,319              $61,490,517             -23.5%
Average Sold Price:                    276,620                       328,826            -16%
Median Sold Price:                     234,500                        287,000            -18%
Total Units Sold:                                170                              187                  -9%
Avg. Days on Market:                        157                              133                +18%
Avg. Sale Price as % of List Price:        89%                       91%
Total Number of New listings:                             393
Total Number of New Pending sales:               175

Some Financing Stats: 32% of the 170 sales this month were FHA, 11% were cash, 40% were conventional, 6% were VA and 7% were Assumptions, (we haven't seen many assumptions in the last 5 to7 years, now they are becoming more neccessary.)

Check out Brunswick and Jefferson Market Statistics, Middletown and Myersville Market Statistics, Adamstown and Urbana Market Statistics, Walkersville Market Statistics, New Market Market Statistics and Mount Airy Market Statistics.

The Highland Real Estate Group
Chris & Karen Highland
Frederick County MD Real Estate Agents
Specializing in Frederick County Real Estate
301-831-9947
Real Estate Teams, LLC
isell4u2@msn.com
Pictures of Frederick

Short Sale Standards May Answer Present Difficulties

Anyone who has had experience with short sales, whether agent, buyer or seller, knows that the system is broken. In Maryland, the statistics show that only 1 in about 30 short sales actually make it to settlement. (Those stats were from the summer, it might have gotten better since then). The problems with the short sale transaction are many-fold. Often buyers don't hear from the lender for weeks or even months, and tire of waiting, so they rescind their offers and move on. Sometimes lenders aren't realistic in what they will consider a reasonable price. Mostly, lenders are simply overwhelmed and don't have the systems in place to deal with the volume of distressed properties they have.

According to a recent article in Realtor Magazine, Congress has the problem on their radar screen, NAR Vice President Ron Phipps testified about the problem before the U.S. House Financial Services Committee this fall.

Fannie Mae and Freddie Mac conservator James Lockhart was present at the NAR Convention in Orlando last weekend, and assured attendees that Freddie and Fannie are implimenting changes to help. They are ramping up their staff and making structural changes to better deal with the volume of problems. Freddie is allowing lenders to modify their subprime loans into 40-year, lower interest-rate mortgages. Borrowers are able to roll up to 6 months' missed payments into an unsecured second loan.

The Federal Housing Finance Agency will announce a streamlined short-sale policy that will probably go a long way in helping to focus lenders' attention on the problem, and also provide guidelines to facilitate a smoother process.

NAR has made the problem part of the four-point legislative plan that it wants Congress to take up before the end of the year. Whether they will or not is in question. No promises were made, other than "soon". Many of us hope soon means soon.

               The Highland Real Estate Group 
                                   Chris & Karen Highland
                      Frederick County MD Real Estate Agents
                    Specializing in Frederick County Real Estate 
                                          301-831-9947
                                  Real Estate Teams, LLC
                                     isell4u2@msn.com 
                                    Pictures of Frederick

First-time Homebuyers are Finding Deals in the Frederick MD Real Estate Market

Welcome back first-time buyers...we haven't seen you in years...about 6 or 7 years if my memory serves me well.  We've talked to more first-time buyers this second half of the year than we probably have in the last 2 years combined.  What makes the market good for first-time buyers?  Basically 3 things:

1. Affordability:  We have seen prices drop 15% county-wide, from this time last year, and as much as 25% in some communities.  The number of foreclosures is on the rise, and they act as an anchor on home prices.  We're seeing multiple offers on the bank-owned properties, and banks are lowering prices to move properties in 90 days.  Realistic sellers are pricing their homes accordingly.  We're seeing many townhouses under $200K, some closer to 100K, and many in passable condition. Yes, there are some deals to be had.        

2. Historically low Interest Rates:  Having lived through the 70's and 80's, having seen double digit interest rates, anything under 7 is historically low. We don't know if that will change or if it does, how much.  (Oh for that crystal ball:-)

3.  FHA loans:  For many years, FHA has been irrelevant.  But with conventional loans tightening up, FHA is relevant for buyers again.  FHA uses common sense underwriting, whereas conventional products have relied mostly on credit scores.  If you have paid your bills responsibly for the last 18 to 24 months, and you have steady income, FHA is for you.  The buyer has to come up with 3% downpayment, and after January 1st, that will increase to 3.5%, but that can be in the form of a gift, a grant from an employer, or there are government and community programs available.  Maryland has a USDA program, and the CDA program.  There are limits to income and limits to housing price with these programs.  Call us for information:  301-831-9947

To search the MLS for some of these great deals:

                  
 Search the MLS for your new home   What’s My Home Worth?

                    The Highland Real Estate Group                      
                                             Chris & Karen Highland 
                              Frederick County MD Real Estate Agents
                         Specializing in Frederick County Real Estate 
                                                    301-831-9947
                                          Real Estate Teams, LLC
                                            isell4u2@msn.com 
                                            Pictures of Frederick