Maine's Waterfront Real Estate News

Good News in Home Slaes

noreply@blogger.com (Waterfront Properties Of Maine) — Thu, 05 Jan 2012 20:57:00 +0000

National Association of Realtors released its pending home sales index figure last week, and for the second month in a row, the index is up. What's more, the index has broken 100. That's significant because the only other time the index has hit 100 in recent years is when the home buyer tax credit was available. "It is the natural, organic power of great affordability conditions and job creation that is bringing the index level up," says NAR Chief Economist Lawrence Yun. "This is a very encouraging sign."

Maine Housing Market Shows Positive Signs

noreply@blogger.com (Waterfront Properties Of Maine) — Thu, 24 Nov 2011 15:28:00 +0000

SOUTH PORTLAND, Maine Maine's housing market continues to show signs of improvement with a nearly 7 percent increase in sales of single-family homes last month when compared to the year-ago period. The Maine Association of Realtors reported Tuesday that there were 945 home sold last month, compared to 885 in October 2010. The group also noted that median prices declined by nearly 1 percent to $165,000. Association President Mike LePage says the majority of Maine's counties showed significant gains. Somerset County had a more than 38 percent gain in sales in the rolling quarter compared to the same period last year, while the median sales price rose almost 40 percent

Maine Home Sales Inch Up in August

noreply@blogger.com (Waterfront Properties Of Maine) — Sat, 24 Sep 2011 12:14:00 +0000

The Associated Press - 9/22/2011

SOUTH PORTLAND, Maine
Sales of single-family homes in Maine rose by 15 percent in August from a year earlier, but the median sales price fell by about 3 percent.
The Maine Association of Realtors says agents last month sold 1,090 homes. That up from 950 in August 2010.
The median sales price was $165,000, down from $169,750.
For the three-month period from June through August, home sales in Maine grew by 2 percent compared to the same period last year. The median sales price fell by about 1.5 percent.
Cumberland County had the highest median sales price for the three-month period, at $235,000. Aroostook County had the lowest price, at $80,000.

How to Sell Real Estate...FAST !

noreply@blogger.com (Waterfront Properties Of Maine) — Tue, 10 May 2011 10:51:00 +0000

Maine Humor
from Down East Magazine
by Ida LeClair

A few weeks ago, my Dad calls me up for a little advice.
“Ida,” he says, “a friend of mine wants to sell his condo, and he’s on the third floor. Where does he bury St. Joseph?”

“Huh! Beats me. Let me do a little research, Dad, and I’ll get back to you.”

“Thanks, honey.”

You’ve heard of this, right? You want to sell your house, so you bury a statue of St. Joseph upside down in the yard. You do a novena every day for nine days, St. Joseph puts in a word with the Big Guy, and you sell you house lickety-split. We did this when Dad put his house on the market, a few years after our mother died. Worked like a charm!

It was easy to get the scoop on the whole St. Joseph thing back then because we had someone on the inside, my father’s sister, Georgiana. Get this: Georgiana left Mahoosuc Mills when she was seventeen years old, and went to France to become a nun. Her parents wanted her to wait a year, but she felt a calling. Besides, Georgiana knew: another year in Mahoosuc Mills and she’d be married. She made the right decision, too, ‘cause Georgiana had an impressive career: teaching, running a hospital, being on the Provincial Counsel and finally, working with older nuns as they were preparing to die. Georgiana passed away herself last October. She was ninety-three, and she’d just had her Jubilee Celebration: seventy-five years as a nun.

Georgiana was a sister of St. Joseph, and the statue that Dad buried in his yard was hers, a beautiful wooden one, hand carved in Italy. Needless to say, with that kind of juju, Dad’s house sold a week after the sign went up. ‘Course it helped that Irene and me cleaned and de-cluttered that place to within an inch of it’s life. Still, that’s impressive!

With the passing of Georgiana, I’d lost my go-to person for all things Catholic, so I was on my own with the question of St. Joseph and the condo. I decided to go directly to the source: the Internet, which I’m slowly getting the hang of. (I think!)

I googled “sell house St. Joseph,” and found tons of stuff. There were lot’s of Web sites for Catholic gift shops, of course. Apparently, the St. Joseph House Selling Kits are one of their most popular items. Who can argue with success, right?

There was also some conflicting information on what prayers you’re supposed to say once you bury St. Joseph, and whether he should be facing the house or the road. But Georgiana told us to put St. Joseph upside down, facing your house, so I’m standing by that. My niece Caitlin says it doesn’t really matter because it’s all about “intention,” but that’s too woo-woo for me. I say just choose something and get behind it.

After losing a couple hours on the Internet (‘cause that’s what happens. You start researching St. Joseph House Selling Kits and end up ordering a new summer pocketbook with matching umbrella), I reported back.

“Dad,” I says, “tell your friend with the condo to get a flower pot, fill it with dirt and put it outside his door. He’s supposed to bury St. Joseph in the pot upside down, facing the condo. And once it sells, he should put St. Joseph in a place of honor in his new home, just like you did.”

On Sunday, we had a little get together at Irene’s for Mother’s Day. After dinner, Dad says, “Oh, you remember my friend with the condo?”

“Sure do, Dad.”

“Six days.”

“He sold it in six days?”

“Yup.”

“Wow!” I says. “Once again, St. Joseph comes through!”

That’s it for now. Catch you on the flip side!

To Buy...or Not To Buy ?

noreply@blogger.com (Waterfront Properties Of Maine) — Thu, 28 Apr 2011 15:06:00 +0000

…THAT is the question – not for Hamlet -- but for many first-time home buyers, folks looking to upgrade their living situation, and for those contemplating purchasing a vacation or second home on the waterfront in Maine.

While there are some strong signs pointing to an economic recovery – big gains in the stock market, increasing employment figures, and a generally more optimistic view of the future – there are still those predicting a double dip for our economy.

So it comes down to the age-old question: how do you know when we have reached bottom? And… as always… the answer is: no one can know for sure – until several months after we have already passed it…

Our view is that 1) real estate is always “local” in nature – what is happening in one part of the country, state, or metro area may not be happening in another, so you need to investigate the specific area you are interested in, and 2) unlike some “red-hot” markets in the 90’s and the first few years of this decade, prices in Maine did not go up that rapidly, and therefore don’t have as far to fall…but prices here HAVE come down 10-20% on average since their high point.

While the cliché “now is always the best time to buy” may not have been true during the recent 3-4 years -- with the current large inventory of properties available, very low mortgage rates and Sellers who are very negotiable on price – we have some buyers who are taking advantage of the existing market conditions to make some excellent purchases.

If you would like to find out if there are any bargains that fit your property needs, either give us a call or submit a “Customized Property Search at:
http://waterfrontpropertiesofmaine.com/customized-property-search.php

Some New Talent

noreply@blogger.com (Waterfront Properties Of Maine) — Wed, 20 Apr 2011 15:04:00 +0000

Waterfront Properties of Maine is pleased to announce the addition of Erik Amundsen to our team of experienced waterfront brokers.

Erik came to us from Prudential Real Estate’s office in Camden, Maine. His waterfront experience began in the 1960’s, when his Connecticut family purchased a summer place on a small island off the Midcoast Maine area near Port Clyde.

He took over his family’s boating business in the late 1960’s, which owned and operated a boatyard, a marine supply store, plus a full service marina.

When Erik sold the business in 2003, he moved to Maine permanently, purchasing and renovating a 1777 farm house on Seven Tree Pond near Union. In addition to embarking on a second career in real estate, he has started a small vineyard where he hopes to produce some premium Maine wine.

His specialty is coastal waterfront properties and he may be reached by phone at (207) 542-1404 or by email at erik1am@aol.com

Portland, Maine Ranked #4

noreply@blogger.com (Waterfront Properties Of Maine) — Sun, 20 Mar 2011 14:05:00 +0000

Ten Real Estate Markets to Watch in 2011
An Inman News Special Report
By Andrea V. Brambila, Friday, March 11, 2011.

Inman News has ranked the Portland, Maine area as #4 out of the 10 real estae markets to watch in 2011:

#4.Portland-South Portland-Biddeford, Maine
Total population (2009): 516,826
Median sales price (Q4 2010): $223,000
Median sales price % change (Q4 '09-Q4 '10): 8.3%
Sales volume (# units sold in 2010): 4,607
Sales volume % change (2009-10): -0.5%
Unemployment rate (Dec. 2010): 5.9%
Foreclosure activity rate (2010): 1 in 150 units
Walk Score: 55

Low unemployment, a rising median sales price, high affordability, a jump in building permits, and better-than-average projected job growth added the Portland market to the list. The market's median sales price rose 8.3 percent between the fourth quarter of 2009 and the fourth quarter of 2010, to $223,000, according to NAR. Unemployment was at 5.9 percent in December and projected job growth from the third quarter of 2010 to the third quarter of 2011 is 2.8 percent, higher than the nation as a whole (1.9 percent).

The area's major employers include L.L. Bean Inc., Maine Medical Center, UnumProvident Insurance, Hannaford Brothers supermarkets, Banknorth Group, Anthem Blue Cross Blue Shield and Fairchild Semiconductor. The area is also home to the Portsmouth Naval Shipyard and an Air National Guard base

noreply@blogger.com (Waterfront Properties Of Maine) — Tue, 01 Feb 2011 21:15:00 +0000

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Fall Foliage Report

noreply@blogger.com (Waterfront Properties Of Maine) — Fri, 10 Sep 2010 11:03:00 +0000

The outlook for the 2010 fall foliage is shaping up to be a good one. The first report will be available on September 15. The forests are healthy and Mother Nature has graced us with a long, hot summer, with adequate moisture. Keep track of nature's spectacle with weekly updates from www.MaineFoliage.com You'll find a report for where to find the best color, along with photos submitted by

Maine Home Prices Up...Sales Down

noreply@blogger.com (Waterfront Properties Of Maine) — Wed, 25 Aug 2010 14:25:00 +0000

In a press release today, The Maine Association of Realtors reports Maine home sales decreased 30.07% in July 2010 compared with July 2009. The decrease was anticipated, reflective of the end of the federal tax credit which had created an accelerated demand to go under contract by a specific date. National home sales figures show a 25.6% decrease in that same time period, and the Northeast a 30.03% decrease. However, Maine median home sales prices are still increasing. The median sales price rose 4.23% to $172,500 in July 2010, compared with July 2009. Median indicates half sold for more and half for less.

Obamas Weekend in Maine

noreply@blogger.com (Waterfront Properties Of Maine) — Sat, 17 Jul 2010 11:15:00 +0000

USA Today - July 16, 2010

America may be divided over President Obama, but one thing must be agreed upon: He knows how to pick pretty vacation spots

How else to explain the First Family's visit this weekend to often-overlooked Acadia National Park, Maine's spectacular contribution to the nation's national park system? Its rocky shores and rising mountains might not be as dramatic as Yellowstone or Yosemite, but it's a photographer's dream.

The president, first lady Michelle Obama and daughters Malia and Sasha will jet there around noon today for two nights away from Washington's heat -- and heated politics. As they prepared to leave, temperatures in the nation's humid capital were headed well into the 90s, with a heat index of 105.

The Oval hesitates to opine, but in the interest of a fun family vacation, we offer these suggestions:

•Drive the 20-mile Park Loop Road, stopping frequently for snapshots.
•Check out Sand Beach and its bracing waters.
•Pause frequently in search of whales.
•Climb at least part of Cadillac Mountain, the East's tallest.
•Dine on blueberry pancakes in the morning and fresh lobster in the evening.

That is, if the Obamas are lucky enough to have two uninterrupted days. That hasn't happened much on their family outings.

Maine Home Sales Up 62% in April

noreply@blogger.com (Waterfront Properties Of Maine) — Sun, 30 May 2010 12:49:00 +0000

SOUTH PORTLAND (May 24, 2010) - Sales of Maine single-family existing homes rose 62.95 percentin April 2010 compared with April 2009.

According to the Maine Real Estate Information System, (MREIS), Realtors sold 994 homes in April 2010; and the statewide median sales price (MSP) forhomes sold increased 3.41 percent to $165,450 from April 2009. The median sales price indicates
that half of the homes were sold for more and half sold for less.

The end of the federal home buyer tax credit contributed to strong sales figures in April 2010.

The National Association of Realtors (NAR) reports a 20.5 percent nationwide increase in singlefamilyhome sales in the same time period. The national MSP rose 4percent to $173,400 in April.In the regional Northeast, sales were up 41.6 percent and the MSP of $243,000 reflects an increase of2.1 percent.

A Very Special Downeast Coastal Contemporary Home

noreply@blogger.com (Waterfront Properties Of Maine) — Sun, 02 May 2010 15:50:00 +0000

A lovely, contemporary home on a quiet, protected, deep water bay opening to the Atlantic Ocean -- perfect for mooring a boat for exploring the many islands, bays and villages of the Downeast coastline. The waterfront of this 2 acre parcel includes a small sand beach plus tide pools to explore. Nearby is a lobsterman's wharf where you can sometimes get fresh seafood for a Maine-style dinner, and a ferry to Bar Harbor for a nice days outing is just 20 minutes away. The home features a huge stone fireplace, an open floor plan with cathedral ceilings, hardwood floors, a sun room and 3 decks with ocean views Check the VIRTUAL TOUR of this outstanding property at http://www.realtourvision.com/tour/RE/rst.view.new.php?utl=RE-4029-BY79GO-02&opt=4

$695,000

Waterfront Properties of Maine
Website: www.WaterfrontPropertiesOfMaine.com

Maine Home Sales Up 46% in March

noreply@blogger.com (Waterfront Properties Of Maine) — Fri, 23 Apr 2010 13:47:00 +0000

Statewide Median Sales Price increases nearly 10%

SOUTH PORTLAND (April 22, 2010)— Maine is showing positive growth in both unit sales and the median sales price of single-family existing homes during the month of March 2010. According to the Maine Real Estate Information System, Inc. (MREIS), 815 homes sold last month—a gain of 46.06 percent compared to March 2009. The median sales price reached $164,900, up 9.93 percent from March 2009’s price of $150,000. The median sales price indicates that half of the homes were sold for more and half sold for less.

Nationally, single-family existing homes sales rose 13.3 percent. The National Association of Realtors (NAR) reports the national median sales price increased 0.6 percent to $170,700 in March 2010. Regionally, sales in the Northeast were up 25.4 percent and the regional median sales price increased 8.9 percent to $249,800 in March 2010

Alan Peoples of Coldwell Banker Residential Brokerage in Portland relays, “The economic numbers for March and the rolling quarter are strongly positive and April is likely to be more of the same. These numbers reflect momentum from the first time and repeat buyer tax credit programs, which end at the end of April.” The increase in the median home sales price shows increased sales of higher priced homes in Maine from the same time period in 2009.

For more information on Maine waterfront real estate, go to www.WaterfrontPropertiesOfMaine.com.

What Your Dollar Is Worth in Maine

noreply@blogger.com (Waterfront Properties Of Maine) — Tue, 30 Mar 2010 13:21:00 +0000

Article from February 2010 Down East Magazine

* By: Joshua F. Moore

Fifty-six years ago, the very first issue of Down East featured five properties for sale, including a quarter-acre Colonial in Camden for what must have seemed the exorbitant sum of $10,500. Ten years later the Magazine of Maine featured thirty-seven available homes, and just last August we had twenty-five pages of house ads. Mainers and readers from away have found a thirst, whether based in real need or voyeuristic thrill, for learning what homes from Kittery to Calais and Fort Kent are worth. Such fancy now extends far beyond our pages — publications ranging from the New York Times to Seattle Metropolitan now regularly include columns explaining “What You Get For . . . Such-and-Such.”

These days, of course, as the Great Recession reels on, some homeowners might prefer not to know the current valuation of their homes. But our survey of Maine properties sold over the past year proves that they might be missing out on the best opportunity since, well, you could buy a magazine for less than five bucks. Although the median sales price of single-family homes in Maine declined nearly 9 percent last year to $164,000, the number of homes sold jumped by 10 percent. Maine beat the national statistics on both counts — total sales increased just 5 percent nationwide, and median sales price dropped 12 percent.

“There were plenty of sellers who were able to sell their homes last year — I sold a home and bought a new one myself — and while maybe they weren’t selling it for what they thought they could in 2006, they were able to get into another quality home,” says Marc Chadbourne, president of the Maine Association of Realtors. “It’s a yin and yang thing, because we didn’t get those appreciation levels that San Francisco or Florida got, but they had a lot farther to fall when the markets did decline.”

In a state as enormous as Maine, of course, where you decide to buy will have a huge impact on how much your budget will get you. In Piscataquis County, for instance, where the median sales price dropped 21 percent last year, you might be able to afford a couple of hundred acres and a stunning farmhouse. Dream of moving to coastal Knox County, though, where prices dropped just 3 percent, and that same money will see you in a much more modest home. And if your needs have you searching on the water someplace farther south, like York, you could have to shell out more than eight hundred dollars per square foot — nearly ten times what you might pay in Aroostook County.

As the economy shows signs of rebounding the demographics of Maine buyers has shifted due in part to federal stimulus funds. “The retired population has been the largest-growing group of buyers in Maine until recently, when the tax incentives for the first-time buyer came into play,” Chadbourne says. “ I assume that will continue, because Maine offers a quality of life and an affordability compared to other markets.”
Indeed, the Maine way of life seems to be the most important market condition for both buyers and sellers.

“I had a client tell me recently, ‘You know, we’ve always lived in kind of a down economy in Maine, so this is nothing new,’ ” Chadbourne says. “We’re a hardy bunch, and we do what we need to do to maintain the lifestyle that we’re used to. We like living here.”

And deal or no deal, boom or bust, isn’t that the name of the game when it comes to buying or selling real estate in Maine?

Maine Home Sales up 14% in February

noreply@blogger.com (Waterfront Properties Of Maine) — Wed, 24 Mar 2010 11:34:00 +0000

SOUTH PORTLAND (March 23, 2010)— The median sales price of existing single-family homes in Maine remained unchanged during the month of February 2010 compared with February 2009, according to the Maine Real Estate Information System, Inc. While home sales increased by double digits (14.09 percent) in February 2010, the median sales price of $158,000 is the same as one year ago. The median sales price indicates that half of the homes were sold for more and half sold for less.

According to the National Association of Realtors (NAR), existing home sales nationwide rose 4.3 percent in February 2010 compared to one year ago. The national median sales price for those homes dipped 2.1 percent to $164,300. Regionally, sales in the Northeast were up 12 percent and the regional median sales price increased 7.5 percent to $254,700.

“Prices seem to have stabilized somewhat, rates remain within everyone’s reach, and there are plenty of deals to be had, and lenders are working overtime to help secure financing for buyers.”

Check Out Our New Video

noreply@blogger.com (Waterfront Properties Of Maine) — Tue, 09 Feb 2010 16:32:00 +0000

To complete a search as described in this video, go to www.WaterfrontPropertiesOfMaine.com and click on "Customized Property Search"

Federal Tax Credit Extended and Expanded

noreply@blogger.com (Waterfront Properties Of Maine) — Mon, 01 Feb 2010 17:31:00 +0000

The program providing first-time home buyers a tax credit of $8,000 has been extended to April 30, 2010 and expanded to allow for existing home owners who have been in their home for at least 5 years of the last 8 years to receive a $6,500 tax credit if they purchase a new primary residence.

Key considerations include:

First-time Home Buyers Tax Credit at a Glance

* Buyer must be someone who has not owned a home during the 3 year period prior to purchase.
* The tax credit does not have to be repaid unless the home is sold or ceases to be used as the buyer’ principal residence within 3 years after the initial purchase.
* The tax credit is equal to 10% of the home’s purchase price up to a maximum of $8,000
* The tax credit applies only to homes priced at $800,000 or less.
* The tax credit applies to sales occurring after 1/1/2009 and on or before 4/30/2010. However, in cases where a binding sales contract is signed by 4/30/2010, a home purchased by 6/30/2010 will qualify.
* For homes purchased after 11/6/2009 and on or before 4/30/2010, income limits are $125,000 for single taxpayers and $225,000 for married couples filing jointly for the full tax credit.

The Tax Credit Move-Up/Repeat Home Buyer

* Buyer must have owned and lived in their previous home for 5 consecutive years out of the last 8 years.
* The tax credit does not have to be repaid unless the home is sold or ceases to be used as the buyer’s principal residence within 3 years after the initial purchase.
* The tax credit is equal to 10% of the home’s purchase price up to a maximum of $6,500.
* The tax credit applies only to homes priced at $800,000 or less.
* The credit is available for homes purchased after 11/6/2009 and on or before 4/30/2010. However, where a binding sales contract is signed by 4/30/2010, the purchase qualifies if it is completed by 6/30/2010.
* Single taxpayers with incomes up to $125,000 and married couples with incomes up to $225,000 qualify for the full tax credit.

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Maine Real Estate Report

noreply@blogger.com (Waterfront Properties Of Maine) — Sun, 24 Jan 2010 12:29:00 +0000

While home prices in some U.S. markets increased 15-20% annually in the early 2000’s, Maine prices went up around 5% annually. In our cyclical real estate market, what goes up must eventually come down a bit, soMaine didn’t have as far to fall. The market re-set here about 20-25% below its peak in 2006.

In line with the national upward trend, Portland, Maine median sold home prices for the 5 months starting in July were 207k, 198k, 204k, 200k, and 212k respectively. Volume on the other hand has been way up for this area.

So it now seems we have found the approximate bottom of the real estate market, with prices firming up and sellers refusing to go lower than 25% from the peak in 2006 to move their property now..

In short, we are cautiously optimistic that 2010 will be a year of healthy sales volume, as there is a large inventory to choose from, and borrowing costs are as low as they will be for a long time to come.

If you haven’t tried a search for your “dream property recently, you might be interested in having us check the current inventory and prices that meet your personal criteria. Just go to our Customized Property Search page by clicking on the following link:

http://waterfrontpropertiesofmaine.com/customized-property-search.html

2010 Real Estate Forecast

noreply@blogger.com (Waterfront Properties Of Maine) — Mon, 18 Jan 2010 15:36:00 +0000

New Year’s 2010 looks a whole lot more positive for real estate and housing than things did last year at this time.

The out look right now is a complete contrast -- home sales have been rising for several months, thanks in part to the federal tax credit programs, new home starts and permits are up in most parts of the country, and prices are generally trending up in most of the markets that got shell-shocked in the bust.

So here’s what many economists are projecting:

• 2010 will continue to be an optimum buyer’s market, where those in a position to purchase will continue to receive and negotiate optimum deals.

• Home prices are expected to rise 3 to 5 percent in 2010

• Mortgage interest rates are projected to move up from just over 5% for 30 year loans to 6% by late 2010.

Home Prices Climb for 2nd Straight Quarter

noreply@blogger.com (Waterfront Properties Of Maine) — Tue, 24 Nov 2009 18:05:00 +0000

NEW YORK (CNNMoney.com) -- Home prices rose for the second consecutive quarter but remained nearly 9% lower than a year earlier, according to a housing market report issued Tuesday.

Prices nationwide rose 3.1% in the three months ended Sept. 30, according to the S&P/Case-Shiller Home Price Index, a closely watched gauge of housing market direction. That followed a similar 3.1% rise during the second quarter of the year.

Prices were still below a year ago, however, down 8.9% compared with the third quarter of 2008. Nevertheless, that's an improvement from the double-digit price decreases the index had been reporting; the second quarter year-over-year decline was 14.7%. Prices had dropped 19% year-over-year during the first quarter of 2009.
0:00 /2:49Economic progress really a bust

"We have seen broad improvement in home prices for most of the past six months," says David Blitzer, Chairman of the Index Committee at Standard & Poor's.

The Case-Shiller 20-City Composite index posted its fifth monthly increase in a row in September, rising 0.3% from August levels.

The worst performing market continued to be Las Vegas, where prices have dropped for 37 consecutive months. They're now 55.4% off their highs.

Midwestern cities staged a comeback in September, with Minneapolis and Detroit prices each gaining 1.8%, the most of any of the 20-cities covered. Chicago prices jumped 1.2%; San Francisco climbed 1.3%; and Los Angeles and Phoenix both rose 0.8%.

Stopping the home price slide is an important factor in any economic recovery. Falling prices increase the number of "underwater" homeowners, those who owe more on their mortgage balances than their homes are worth.

Underwater mortgage borrowers are much more likely to lose their homes to foreclosure. Indeed, it's a crucial factor in whether people lose their homes or not, as Mark Goldman, a San Diego State University real estate professor pointed out.

"If they have a home worth $300,000 and they owe $250,000 and can't pay their mortgage, they'll just sell the house," he said.

It's when they have a house worth $200,000 and they owe $250,000 that these people default, because the sale of the house would not pay their whole debt.

A report from First American CoreLogic released Tuesday, revealed that nearly a quarter of all mortgage borrowers are underwater. That, as well as the ongoing foreclosure problem, has contributed to doubt about the staying power of the recent price trend.

"I think it's temporary," said Pat Newport, a real estate analyst with IHS Global Insight. "I can't see home prices stabilizing as long as we have that problem."

According to Newport, foreclosures could worsen over the next several months as many toxic loans go through resets, making them much less affordable for their borrowers.

A significant contributor to the improvements in the housing markets have been programs such as the tax credit for first-time homebuyers, according to Bob Walters, the chief economist for Quicken Loans.

"[But] the real driver in all of this -- from home sales to home pricing appreciation -- has been the protracted run of favorable mortgage rates," he said. "It will be interesting to see how home prices react when we see rates begin to increase, as they are sure to do over time." To top of page

Maine Real Estate Sales up 39%

noreply@blogger.com (Waterfront Properties Of Maine) — Mon, 23 Nov 2009 19:06:00 +0000

SOUTH PORTLAND (November 23, 2009) — For a fifth consecutive month, sales of singlefamilyexisting homes increased dramatically in the state of Maine. Realtors sold 1,247 homesacross Maine’s 16 counties – a jump of 39.02 percent since last October. According to theMaine Real Estate Information System, the median sales price dipped 3.51 percent in the past12 months to $165,000. The median sales price indicates that half of the homes sold for moreand half sold for less.
The National Association of Realtors today reports a nationwide home sales increase of 21.4percent since October 2008. The national median existing sales price of $173,100 reflects adip of 6.8 percent. In the regional Northeast, sales rose 27.7 percent. The regional mediansales price declined 2.6 percent to $235,400.
REALTOR Sharon Millett of Coldwell Banker Millett Realty in Auburn says, “It's very
encouraging to see strong continued growth in sales for the past five months in Maine. Buyersare responding positively to the first time homebuyer tax credit of $8,000 and now that it hasjust been expanded to $6,500 for all buyers, we expect this trend to continue and grow.”
With the current uptick in activity, Millett says, “Buyers really want to find a home now,which makes it the perfect time for sellers to list their property for sale.”

Home Sales Jump

noreply@blogger.com (Waterfront Properties Of Maine) — Sat, 24 Oct 2009 17:00:00 +0000

By Renae Merle
Washington Post Staff Writer
Friday, October 23, 2009; 12:43 PM

Existing home sales jumped 9.4 percent in September to their highest level in two years, fueled by first-time home buyers pouncing on cheap prices and an $8,000 tax credit, according to industry data released Friday morning.

Sales of existing homes, including condos and single-family residences, reached an annual rate of 5.57 million units in September, their highest level since July 2007, according to the National Association of Realtors. That is better than what analysts were expecting and up 9.2 percent from the same period a year ago.

Sales were up throughout the country. In the South, which includes the Washington region, sales rose 9 percent last month.

"Much of the momentum is from people responding to the first-time buyer tax credit, which is freeing many sellers to make a trade and buy another home," Lawrence Yun, the group's chief economist, said in a statement.

The $8,000 tax credit expires at the end of next month, and industry lobbyists are pushing Congress to extend and expand the program. Without it, the sales momentum could be derailed before the housing sector can make a substantial recovery, the industry argues.

"We would expect higher sales levels to persist through October and into November before collapsing in December if the credit is not extended," Adam G. York, an economist for Wells Fargo, said in a research note.

But some analysts have questioned whether the pickup in sales is being fueled by the tax credit or falling home prices and low interest rates. The tax credit may be pushing some potential buyers to purchase homes earlier than they otherwise would have, rather than generating new sales, they say.

Maine's New Down Payment Assistance Program

noreply@blogger.com (Waterfront Properties Of Maine) — Wed, 21 Oct 2009 14:49:00 +0000

AUGUSTA – MaineHousing current popular Gift of Green promotion ends November 30, but the agency will have a new promotion in place to help first-time homebuyers with their down payment and closing costs, MaineHousing Director Dale McCormick said.

Eligible homebuyers need to act quickly if they want to take advantage of the current Gift of Green offer before it changes, said McCormick. Borrowers must have their loan reserved with one of MaineHousing’s participating lenders by November 30 to qualify.

The current Gift of Green promotion provides MaineHousing borrowers with a grant of up to four percent of their mortgage, to a maximum of $5,000, to help pay for the down payment and closing costs on the home they are buying. It also provides them with a coupon for a home energy audit worth up to $500.

“Beginning December 1, our revised Gift of Green promotion will provide all MaineHousing borrowers with a flat amount ? $2,500 ? to help with down payment and closing costs,” said McCormick. “It also will continue providing the $500 gift coupon for home energy audits.”

McCormick noted that about 800 Maine families have used or are using the Gift of Green program to buy their first home, well over the goal of 500 homes MaineHousing set when the program started in mid-June.

She credited strong support for the program from partners such as the Maine Association of Realtors, the Maine Association of Community Banks, and the Maine Credit Union League as one reason for the program’s success.

“This has been the most successful homeownership promotion we ever have offered,” McCormick said. “It came at a very crucial time to help stimulate Maine’s housing market and get potential homebuyers off the fence.”

U.S. Housing Starts, Permits at 9 Month High

noreply@blogger.com (Waterfront Properties Of Maine) — Thu, 17 Sep 2009 14:16:00 +0000

WASHINGTON (Reuters) - New U.S. housing starts and permits rose in August to their highest level in nine months and the number of people filing of unemployment benefits fell last week, evidence a solid economic recovery was underway.

The Commerce Department said on Thursday housing starts rose 1.5 percent from July to a seasonally adjusted annual rate of 598,000 units.

Groundbreaking for single-family homes, fell 3 percent in August to an annual rate of 479,000 units, after five straight monthly increases. Starts for the volatile multifamily segment jumped 25.3 percent to a 119,000 annual pace, reversing the previous month's slump.

Compared to August last year, housing starts declined 29.6 percent. The housing market, the main trigger of the worst U.S. recession in seven decades, is showing steady signs of healing and analysts expect activity in the sector to contribute to gross domestic product growth this quarter.

A survey on Wednesday showed confidence among U.S. home builders reached its highest level in 16 months in September, which bodes well for future home construction.

New building permits, which give a sense of future home construction, climbed 2.7 percent to 579,000 units in August. That compared to analysts' forecasts for 580,000 units. Compared to the same period a year-ago, building permits fell 32.4 percent.

The inventory of total houses under construction fell to a record low 595,000 units in August, the department said, while the total number of permits authorized but not yet started also hit an all-time trough of 99,000 units.

(Reporting by Lucia Mutikani and Alister Bull; Editing by Neil Stempleman)