The supply of newly-built homes for sales plummeted in April, a positive indicator for the Chicago housing market as we head into the summer months. It's no wonder that homebuilders are breaking new ground at the fastest clip in 2 years.  At the current sales pace, the nation's complete supply of new homes would be sold in just 5 month's time.  That's more than double the pace of a year ago. Also, as more good news, in terms of total housing units, the government reports that New Home Sales topped one half-million homes sold for the first time since May 2008. It's a similar spike as ...

Because of strife in Greece, Spain and North Korea, conforming mortgage rates are back to all-time lows. They're at levels not seen in 50 years.  For homeowners that missed the Refi Boom of November 2009, it's a second chance. In this well-presented, 3-minute video from NBC's The Today Show, you'll get tips getting low rates and choosing the best time to lock in. Some of the topics covered include: Why were the experts wrong about rates moving higher this summer? How much money can you save with a 1 point drop in your interest rate? Should you buy a bigger home now that ...

Home values rose in March, according to the Federal Home Finance Agency’s most recent Home Price Index. Values were reported higher by 0.3 percent, on average, from February. We use the phrase "on average" because the Home Price Index is broad-reaching, national housing statistic. It ignores the dynamics of neighborhood real estate markets as well as citywide markets like Chicago , too. Instead, the Home Price Index focuses on state and regional statistics. For example, in March 2010 as compared to February: Values in the East South Central region rose 2.5% Values in the Mountain ...

Sales of existing homes rose in April, buoyed by an expiring home buyer tax credit and exceptionally low mortgage rates. As compared to March, April's Existing Home Sales rose by 410,000 units nationwide -- the second straight month of large gains. An "existing home" is a home resold by a prior owner (i.e. not new construction). It's a solid report for housing overall, with rising sales suggesting that the real estate market's recovery is ongoing. However, the data presented a mixed message. According to the National Association of Realtors®, although the number of homes sold ticked ...

Another week, same old story.  Mortgage markets improved again last week on worsening news out of Greece and the Eurozone. Then, as contagion mentality set in, U.S. mortgage bonds gained and mortgage rates fell. It's the 4th straight week in which conforming mortgage rates in Illinois improved and, against the expectations of experts everywhere, it's now late-May and mortgage rates are as low as they've been all year. If you're a homeowner and haven't looked at refinancing lately, it may be a good time to call your loan officer to hear your options. Especially because low rates can't ...

photo: sea turtle Consider yourself handy? If you’re looking to buy a home, a fixer upper may be right for you. Whether you’re thinking of buying one to flip or to live in, you’ll have to be willing to commit the time and money it takes to do the repairs, even if you get the house on the cheap. The good news: thanks to the record number of foreclosed homes for sale, finding a fixer upper is not going to be a challenge. Fixer-upper homes come in various degrees of deterioration, from ones that only need cosmetic repairs like paint and new flooring to those that need serious repairs ...

With home prices still relatively low and mortgage rates trolling near their all-time best levels, it's no surprise that home affordability is extraordinarily high in Chicago and most U.S. markets. According to the quarterly Home Opportunity Index as published by the National Association of Home Builders, more than 72 percent of all new and existing homes sold between January-March 2010 were affordable to families earning the national median income. It's the second highest reading in the survey's history. Of course, on a city-by-city basis, home affordability varies.  In the first ...

photo: haglundc Many economists predicted that once the $8,000 home buyer tax credit expires on April 30, the real estate market would not be able to hold on to its earlier gains. And judging from the 27% decline in mortgage applications reported by the Mortgage Bankers Association Wednesday, they were probably right. That’s hardly the type of news mortgage lenders, developers and real estate brokers like to hear. The huge inventory of unsold homes is still crippling the market — so some industry players are launching their own temporary incentives in hopes of keeping up the ...