Fed Lowers Rates

The FED lowered the Discount Rate by 75 Basis Points (.75%) to 3.5 percent. This represents the single largest rate cut in 24 years!

This should be positive for the real estate market. Rates are coming DOWN! It is a great time to be purchasing a home or investment property.

Fort Worth-Arlington Prices Not Likely to Fall

From the Star Telegram today...

Fort Worth-Arlington is one part of the country that is least likely to see a decline in home prices in the next two years, according to a report released Tuesday by PMI Group.

The Dallas-Plano-Irving area is also one of the least risky of 50 metropolitan areas. Both areas had less than a 1 percent chance of home prices falling in the next two years, according to the report.

The stability comes largely from the area's strong job growth and housing affordability, said David Berson, chief economist and strategist for PMI, an insurer of mortgage lenders. Plus, the slight appreciation of home prices in recent years has given the area a slow, sustainable price growth.

"Because you didn't have that huge run-up, you won't see it run down," Berson said.
The risk assessment figures are based on price appreciation, the job market, housing supply and foreclosures.

"It's not just the Metroplex," Berson said. "Many parts of Texas are doing well."

States such as California, Nevada and Florida have the highest chance of prices falling, the report says. They saw large leaps in housing prices in recent years, Berson said. That increase was unsustainable as job growth and affordability fell.

The stability is good news for buyers, said Bob Havran, president of mortgage-lending group OmniAmerican Bank in Fort Worth.

Borrowers here have a bigger selection of mortgages than in riskier parts of the country, he said.
"Lenders are eager to loan in North Texas," Havran said.

HOLDING THE LINE ON HOME PRICES

The chances of home prices falling in North Texas is remote, according to a study by PMI Group:

Chance of prices falling...

Fort Worth-Arlington
less than 1 percent

Dallas-Plano-Irving
less than 1 percent

Houston-Baytown-Sugar Land
less than 1 percent

San Antonio
less than 1 percent

Austin area
less than 1 percent

Nationwide

Denver area
1 percent

St. Louis
2 percent

Nashville
2 percent

Chicago area
3 percent

Philadelphia
3 percent

Atlanta
3 percent

Seattle
7 percent

Baltimore area
12 percent

Detroit area
17 percent

Boston area
22 percent

Sacramento, Calif., area
73 percent

Orlando, Fla., area
74 percent

Los Angeles area
79 percent

Las Vegas area
89 percent

Riverside, Calif., area
94 percent

Source: PMI Group

Arlington makes the top 5 least expensive housing markets

From CnnMoney.com today...


Top 5 least expensive housing markets


Average price

Killeen, TX
$136,725

Minot, ND
$139,033

Arlington, TX
$139,175

Canton, OH
$146,333

Muncie, IN
$150,000

Here is the link to the original post

http://money.cnn.com/galleries/2007/real_estate/0712/gallery.Best_of_the_best/2.html

2008 is starting out strong!

Showings on listings have increased over December by about 25%. Calls from signs and email inquiries have also increased by over 40%. A good sign that buyers are returning to the market.

Another trend I have been watching in our MLS, is the amount of houses going under contract in a given 24 hour period vs. new listings that are coming on the market. For the last 3-4 months, the vast majority of days have had more new listings than ones sold. In January, 5 of the last 7 days have had more sold than new listings.

I will keep you posted as our market is always changing.

North Texas MLS Activity Report

Total number of sales is down 7% vs. 2006 but average sales price is up 5%. Average days on the market is 73 days-up 6% from 2006. The number of houses currently under contract is down 7% from 2006 and the number of active listings is up 7% from last year. 2007 will be a slightly down year but not nearly as dramatic as what you will read in the newspaper and other media sources. The national real estate market has been hit much harder than the North Texas market and December activity is way up compared with October and November.

North Arlington Develpment Update

The Planning and Zoning Commission is scheduled to vote today on a developer's request to re-zone 2000 acres in North Arlington.

Huffines Communities of Dallas intends to build a development around the Lakes at Bird's Fort that would feature more than 1.2 million mixed-use square feet and nearly 3,900 homes. The development would be north of northeast Green Oaks Boulevard and east of Collins Street, near the Arlington landfill and River Legacy Parks.The project, when complete, is expected to be worth $1.4 billion and bring millions of tax dollars to the city over the next 30 years.Other developers have tried to build on the flood-prone land over the past 25 years without success.City officials are working on creating a tax increment financing district to help pay for needed infrastructure such as streets and sewer lines.If approved by the commission, the project will be forwarded to the City Council for review.Project highlightsVillages: Residential areas would be divided into villages, each with its own architecture that would reflect regions of Texas. Instead of lining streets, some homes would be clustered around green spaces to create more of a community feel.Living: The average single-family home is expected to cost $300,000, but some would cost up to $1 million. The community would also feature mansion-homes -- condominiums grouped in buildings that look like mansions. Residents could also live above shops and offices lining Collins Street.Schools: At least two schools, which would be part of the Hurst-Euless-Bedford school district, are planned.Passenger rail: The area could one day be the site of a passenger train depot. The Trinity Railway Express runs along the site's northern edge.Amenities: The community would feature miles of bike trails and public green spaces. The developers plan to restore 1,100 acres of wetlands and lakes around the Trinity River. The name Viridian comes from a shade of green.

Last update for November....

We had 51 homes sell in Arlington, Mansfield, and Kennedale in the last 24 hours! That is about double the pace we have been at through most of this month. Looks like people are starting to realize it is good to "buy" in a "buyer's market...

A new perspective on the real estate market

Media report: 25% of sub-prime mortgages are in default

Reality: Sub-prime mortgages only account for 25% of all mortgages. Of those, 75% are
being paid on time. The reality is that only 6.25% of loans are in default.

Media report: Prices are down in 15 states.

Reality: Prices are stable in 35!

Media Report: Real Estate sales slip 20% from 2006

Reality: 2007 will be the 4th busiest since 1997

Media: It is getting almost impossible to get a mortgage if you have credit issues.

Reality: FHA loans have never had a minimum credit score requirement!

Just wanted to put some positive news out there to counteract the media hype and the subsequent consumer overreaction.

New Service Gives You the Most Current Value of Your Home!

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Graphical report includes...

What is the supply of unsold homes in my neighborhood?

How fast are homes selling right now?

How do actual selling prices compare to listing prices in my area?

How do I get more for the money in a changing market? Click below to have your free report

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www.tarrantcountyhomevalues.com

This Week's Activity

We have had 29 homes sell in the Arlington, Mansfield, Kennedale area receive contracts in the last 24 hours.