New Home Sales Show Healthy Year-Over-Year Increase

The holiday season and winter weather slowed home sales in November. Last week, the NAR reported that sales of existing homes had slumped to their lowest level in nearly a year, but this was not unexpected.  

Short supplies of available homes and rising mortgage rates have increased pent-up demand for homes have kept some buyers on the sidelines.

Improvement In The Labor Market

4.90 existing homes were sold in November; this was lower than the 5.13 million existing homes sold in October, as well as lower than expectations of 5.00 million existing home sales in November.

Existing home sales for November 2013 were also 1.20 percent lower than for November 2012; this is the first time in 29 months that existing home sales were lower year-over-year.

Lawrence Yun, chief economist for NAR, described the slow-down in sales as a "clear loss of momentum." The outlook for 2014 is better, as analysts expect continued improvement in the labor market. 

The pent-up demand for homes will ease as homeowners begin to list their homes for sale as home prices increase. Mr. Yun also noted that prices for existing homes are increasing at their highest rate in eight years.

The national median home price of existing homes rose to $196,000 in November, which represents a year-over-year increase of 9.40 percent. There was a 5.1 month supply of previously homes available at the current sales rate.

Housing Market Continues To Progress Over Long Term

The Census Bureau and HUD report that 464,000 new homes were sold in November. This was 2.10 percent lower than October's rate of 474,000 new homes sold. This represents an increase of 16.60 percent as compared to the 398,000 new homes sold in November 2012.

The national median home price for new homes in November was $270,900; with an average new home price of $340,300. The seasonally-adjusted estimate of new homes for sale in November was 167,000; this reading represents a 4.30 month supply of new homes for sale.

While home builder confidence is up and recent labor reports indicate improving job markets, the Fed's decision to taper its quantitative easing program in January is generating some uncertainty as mortgage rates will likely rise as the Fed winds down the QE program.

What's Ahead For Mortgage Rates This Week - December 30, 2013

The University of Michigan’s Consumer Sentiment Index was improved for December at 82.5, after the November reading was adjusted from 82.5 to 75. Analysts noted that consumers were relieved when legislative gridlock ended.

Durable goods orders reached their highest level since May with November’s reading of + 3.5 percent. Without the volatile transportation sector, the reading for November was +1.2 percent.

This could be a sign of economic recovery for manufacturing, as more orders are being placed. Economists expected an overall increase of 2.0 percent for overall durable goods orders.

The U.S. Commerce Department provided housing markets with good news with its New Home Sales report for November. 464,000 new homes were sold in November against expectations of 440,000 new homes sold.

This expectation was based on the original reading of 444,000 new homes sold in October, which has been revised to 474,000 new homes sold. The latest reading for October is the highest since July of 2008.

While rising mortgage rates slowed home purchases during the summer, analysts note that home buyers seem to be adjusting for higher mortgage rates by purchasing smaller homes in less costly areas.

Home Builder Confidence recently achieved its highest reading since 2005, a further indication of overall economic recovery and housing markets in particular.

After Wednesday’s holiday, the Weekly Jobless Claims report came in with a reading of 338,000 new jobless claims filed. This reading was lower than expectations of 345,000 new jobless claims and significantly lower than the previous week’s report of 380,000 new jobless claims.

This was the largest decrease in new jobless claims since the week of November 17, 2012. After seasonal volatility associated with the holidays, analysts expect new jobless claims to decrease at a slower rate in early 2014,

Freddie Mac released its Primary Mortgage Market Survey on Thursday. Although some economic analysts had expected a jump in mortgage rates after the Fed announced its plan to begin tapering its monthly securities purchases in January, mortgage rates showed little change.

The average rate for a 30-year fixed rate mortgage rose by one basis point to 4.48 percent with discount points unchanged at 0.70 percent. Average 15-year mortgage rates also rose by one basis point to 3.52 with discount points moving up from 0.60 to 0.70 percent.

The average rate for a 5/1 adjustable rate mortgage rose by 4.00 basis points to 3.00 percent, with discount points unchanged at 0.40 percent.

2014 shows promise of a steady economic improvements, and given the latest New Home Sales report, it’s possible that improving housing markets will continue leading the way.

What's Ahead

As with last week, this week’s schedule of economic events is reduced due to the New Year holiday. Pending home sales for November will be released Monday, Tuesday’s economic reports include The Case/Shiller Housing Market Indices and the Consumer Confidence report.

After the holiday on Wednesday, Thursday’s scheduled reports include the Weekly Jobless Claims and Freddie Mac PMMS on mortgage rates. Construction Spending will also be released. There is no housing or mortgage-related economic reports set for release on Friday.

How To Build An Outdoor Fire Pit

With most of the country easing into full-on winter weather, last-minute outdoor projects need to happen soon. And what better way to enjoy a cozy holiday season than by drinking hot chocolate and roasting marshmallows at your very own outdoor fire pit.

In one weekend, the steps below can help you build an outdoor fire pit and get you fired up about the cold!

Determine The Size And Location

The first order of business is to choose where to build your outdoor fire pit. You want to make sure it's not too close to the house or overhanging trees.

Once you've found the spot, lay out a ring of stones and mark it with a shovel before you dig the hole. You'll want it to be between 35-45 inches in diameter. This will allow a roaring fire, but it will also feel cozy and intimate.

Dig The Pit And Make A Trench

Make a hole six inches deep within the circle your marked using your stones. You want the sides to be straight and the bottom flat. Then dig down an extra six inches around the perimeter.

This trench should be wide enough to fit a ring of stone blocks that will be the base of your wall. Fill the six-inch deep trench with drainage gravel until it's level with the center of your pit.

Lay The Stone Blocks

Lay out the stone blocks on top of the gravel. Place the first one and use a level to make sure it's sitting squarely. Set the second block next to it and so on. Use a level to ensure everything is even.

For the second layer, squirt masonry adhesive in a snaking pattern and center a block on top of the seam of the first layer. Build up the wall until it's about one foot above ground level.

Finish It Off

Fill the pit with gravel until you reach ground level. The gravel will help the base of the walls set straight. If you want to cover the outside of the pit walls with stone cap pieces, then try to fix them together like a puzzle using masonry adhesive.

Then you can either build a fire on top of the gravel or insert an iron campfire ring into the center. Once you're finished, then it's time to bundle up and get those marshmallows roasting!

Keep That Heat Inside, Insulate Your Windows For The Winter

Did you know that, according to the U.S. Department of Energy, 10% of air leaks out of the average house through the windows? Also, an estimate by Energy Star states that homeowners could save an annual 7-15% on their energy bills by replacing their own windows with more efficient models.

If you live in an old home, it might not be possible to replace all of the windows in your home. However, there are still many simple and cheap things that you can do that will help to insulate your windows.

Apply Rubber Weather Sealing

At your local hardware store you will be able to find some inexpensive strips of rubber weather sealing that is self adhesive. You can cut a long strip down to fit your window and then peel it off and stick it to the frame in order to close gaps and keep out drafts.

This is a cheap solution, but it can be very effective and it will not affect the appearance of the windows. Be very careful when you peel off the rubber strips later, as they can leave a stick residue.

Keep Some Draft Snakes Around As Pets

What is a draft snake? It is a soft plush fabric tube that you can use on a window sill or also underneath your doors to prevent cold air from creeping into your home.

They are sold online or you can make your own by filling a tube of fabric with rice or beans. They are cheap and simple, but of course they will only insulate the window sill and not the rest of the glass.

Add Insulating Window Film

Another option for insulating your windows in the winter is to use insulating window film. This is a transparent product that sticks directly to your window and gives them an extra layer of protection.

This means that your windows will not be perfectly transparent, as the film will affect the view somewhat, so you might only want to use them in some parts of the house.

These are just a few simple ways that you can insulate your windows and save money on your energy bill this winter at your home. For more helpful tips, contact your trusted real estate professional.

5 Tips On Safely Hanging Those Christmas Lights

Christmas lights can be the most festive of holiday decorations, but actually putting them up can be a huge pain. With these easy step-by-step instructions, you can safely hang Christmas lights outside your house in no time. That way you can get back to what's important, family time.

Buy Your Lights

You'll need Christmas lights of course. There are a lot of options. You can get colorful lights or classic white lights. There are icicle lights, blinking lights, classic large bulb lights, and more. Just pick whatever looks good. Remember that consistency is important.

Pick one or two types and stick with them. Also remember to measure your roof, bushes, trees, or whatever you plan to cover with lights. Without proper measurements you won't know how many lights to buy.

Test The Lights

Be sure to test the lights before you hang them up. Nothing is more frustrating than hanging up all the lights and finding that they don't work. There are several testers that you can buy or you can even make your own, but I recommend simply plugging in each strand individually before you hang them up.

Get Some Clips

You'll also need clips to help attach the lights to the roof or the gutter. I recommend buying the more expensive clips. The cheap ones break, and cause more frustration than they're worth. Make sure you measure the thickness of your gutter as well. The clips come in different sizes.

Automatic Timers Are Your Friend

Finally, you'll need surge protector with a built-in timer. It's important to turn off the lights during the day to save energy and keep your bulbs from burning out, but unless you want to be plugging and unplugging your lights all the time, get a timer. They're cheap, easy to use, and convenient.

Find A Friend

Hanging lights by yourself is a bad idea. It requires a lot of climbing up and down the ladder and that can be dangerous. Have someone else hand you the lights up the ladder, and hold it steady so you can focus on clipping on the lights.

Also, hang them up during the day. They might look prettier at night, but you can wait. Putting them up at night can be a risky venture.

Christmas can be the happiest time of the year, and the lights and decorations are a big part of that. Don't think of hanging lights as a chore. Get the whole family involved and make it a Christmas activity.

Just be sure you have all your materials ahead of time, you've measured out how much you need, and you've got a timer to turn them off and on for you. That way when it's time to hang up the lights, it will take no time at all.

What's Ahead For Mortgage Rates This Week - December 23, 2013

According to December's NAHB/Wells Fargo Housing Market Index, home builder confidence rose by four points to a reading of 58; this surpassed the consensus of 56 and November's reading of 56.

November Housing Starts were released Wednesday and also exceeded expectations and the prior month's reading. 1.09 million housing starts were reported for November against expectations of 963,000 and October's reading of 889,000 housing starts.

Building permits issued in November came in at 1.01 million and fell short of October's reading of 1.04 million permits issued. November's reading exceeded expectations of 990,000 permits issued.

The week's big news emerged after the conclusion of the Federal Reserve's FOMC meeting. The committee announced that it would begin tapering the Fed’s $85 billion purchases of securities. The taper was modest; the Fed will reduce its rate of purchases to $75 billion monthly, with a split of $40 billion in Treasury securities and $35 billion in mortgage-backed securities.

Fed Chairman Ben Bernanke gave his final press conference as Fed chair. He noted that the FOMC was confident that the economy would continue to improve at a moderate rate and that the Fed would continue monitoring economic and financial developments to guide future adjustments in its monthly purchase of securities.

Mortgage rates were expected to rise after news of the Fed's tapering of its quantitative easing program, as the program was intended to hold down long-term interest rates and mortgage rates.

Mortgage Rates, Jobless Claims Rise

Freddie Mac's Primary Mortgage Market Survey confirmed expectations of higher mortgage rates. Average mortgage rates ticked upward by five basis points to 4.47 percent for a 30-year fixed rate mortgage; the average rate for a 15-year fixed rate mortgage rose by eight basis points to 3.51 percent.

Discount points for a 30-year mortgage were unchanged at 0.70 percent for a 30-year mortgage and dropped from 0.70 to 0.60 percent for a 15-year fixed rate mortgage. The average rate for a 5/1 adjustable rate mortgage rose from 2.94 percent last to 2.96 percent with discount points unchanged at 0.40 percent.

Weekly Jobless Claims came in at 379,000 and were higher than projections of 338,000 and the prior reading of 369,000 new jobless claims. Although the reading was the highest since March, analysts attributed the higher reading to changes in work schedules during the holidays.

Sales of existing homes slipped to their lowest levels in close to a year. The NAR reported that existing home sales fell from 5.12 million in October to 4.90 million in November.

Projections were set at 5.00 million sales for November, but a shortage of available homes and rising mortgage rates were seen as reasons for fewer sales. The approaching holiday season and cold weather typically contribute to a lull in home sales during the winter months.

What’s Ahead

This week's scheduled economic news is light due to the Christmas holiday, but Monday's releases include consumer spending, personal spending and the University of Michigan's Consumer Sentiment Index.

New Home Sales for November will be released Tuesday. The week's scheduled news will conclude with Weekly Jobless Reports on Thursday, as no further economic news is scheduled for Friday.

4 Safety Tips For Your Christmas Tree

It's Christmas time, it's Christmas time – which means it's time to get a tree for your home. Whether you get a real tree or an artificial one, it's also time to think about Christmas tree safety.

Prevent A Fire Hazard

There's a potential fire hazard that comes with real trees, a danger that's lessened with artificial trees, but artificial trees have their own safety issues. 

For instance, those that spin on their bases shouldn't be left to rotate on their own. Make sure the motor is turned off whenever you leave the room.

Even though safety precautions are more necessary with real Christmas trees, sometimes you can't resist the fresh pine smell filling your home. Should you decide to go with a real Christmas tree, here are some safety precautions that should be followed to avoid fire hazards.

Safety Precautions For That Tree Of Yours

1. Place the tree as far from any heat sources as possible. While it may seem picturesque to have your tree close to the fireplace, the heat can dry out the tree and make it more susceptible to burning.

2. Fresh cut the tree. While you may have cut the tree down before bringing it home, you still need to cut a little bit more off the bottom just before you put it in the Christmas tree stand. This gives the tree a better ability to absorb the water in the stand, which stops it from drying out.

3. Don't let the water run out. It's important to stress that your Christmas tree needs to stay moist and green. To check for dryness, lightly grab the end of a branch and pull on it. If several needles come off, it's time to take it down. 

4. Don't burn the tree to get rid of it. A dry tree blaze is hard to control, and pine generates a lot of creosote that can catch fire. There are safer ways to dispose of your tree including recycling your Christmas tree. To learn more about safe disposal of your tree, contact your local city or state.

Have fun decorating your home and tree and for Christmas. Just remember to be safe as you celebrate the season! If a new home is on your Christmas list, contact your trusted real estate professional today.

Fed Minutes Predicts Tapering Of Quantitative Easing Program

Housing Starts exceeded expectations and also beat October's reading of 889,000. November housing starts were posted at 1.09 million against a consensus of 963,000.

This reading is more in line with the NAHB/Wells Fargo Home builder Market Index, which reached a four month high with December's reading.

With that threat resolved and a new federal budget passed, builders can now proceed without worrying about setbacks caused by government shutdowns and legislative gridlock.

Building permits issued in November were slightly lower at 1.01 million than October's reading of 1.04 million. Viewed as an indicator of future construction, and ultimately, available homes, it is not unusual for construction and permits to slow during the winter months.

FOMC Statement And Chairman Bernanke's Last Press Conference

Throughout 2013, strong signs of economic recovery have led to predictions of the Federal Reserve tapering its quantitative easing program.

As each FOMC meeting approached, analysts predicted that the Fed would start reducing its $85 billion purchases of Treasury and mortgage-backed securities.

The asset purchases are part of the government's quantitative easing program that was implemented to keep long-term interest rates and mortgage rates low.

The cut finally came on Wednesday as the FOMC made its customary post-meeting statement. Effective in January 2014, the Fed will reduce its monthly purchases by $10 billion.

The QE purchase will be split between $40 billion in Treasury securities and $35 billion in MBS. The Fed expects that the economy will continue recovering at a moderate pace.

The FOMC statement noted that the Fed will continue monitoring inflation, which remains below the Fed's target rate of 2.00 percent, and the national unemployment rate, which remains above the Fed's target rate of 6.50 percent.

The statement noted that asset purchases are not on a predetermined course, and that the Fed will continue to closely monitor labor market conditions, inflation pressure and economic developments in the U.S. and globally.

The Fed did not change its target federal funds rate of 0.00 to 0.25 percent, and would not do so at least until unemployment falls to 6.50 percent. Changes to policy accommodation are made with the Fed's dual goal of achieving an inflation rate of 2.00 percent and achieving maximum national employment goals.

Bernanke Press Conference

Mr. Bernanke repeated key points of the FOMC statement, and noted that "highly accommodative monetary policy and waning fiscal drag" is helping with the economic recovery, but that the economy has much farther to go before it can be considered fully recovered.

Mr. Bernanke said that FOMC members saw the unemployment rate dropping from 7.00 percent in November 2013 to 6.30 to 6.60 percent in the fourth quarter of 2014. Improving labor markets and rising household spending were cited as signs of economic recovery.

Mr. Bernanke mentioned concerns about the high unemployment and underemployment rates and said that the Fed's benchmarks for unemployment and inflation would not automatically trigger reductions in its QE asset purchases.

He also said that the committee did not expect to adjust the target federal funds rate immediately after the national unemployment rate reaches 6.50 percent. 

Mr. Bernanke repeated that the Fed's actions regarding monetary policy and QE would be dependent on in-depth review of ongoing financial and economic developments, but said that further tapering of QE purchases is likely if the economy stays on its present course of moderate improvement.

Housing Market Index Shows Builder Confidence Up 23 Percent Year-Over-Year

According to the National Association of Homebuilders/Wells Fargo Homebuilders Market Index for December, builder confidence recovered in with a reading of 58. This surpassed both expectations of 56 and last month's reading of 54.

Analysts noted that builder confidence has steadied after the government shutdown. December's reading was the highest in four months. Dave Crowe, NAHB chief economist, said that his organization was expecting a "gradual improvement in the housing recovery" in 2014.

Any reading above 50 indicates that more builders are confident about overall housing market conditions than not.

Builder Confidence - Highest Reading Since 2005

Pent-up demand for housing is driving housing markets in spite of higher mortgage rates. Three components of builder confidence used to calculate the overall reading also rose in December. Builder confidence in current home sales rose to 64 from a reading of 58 in November; this is the highest reading since 2005.

Confidence levels in housing markets over the next six months rose to 62 from last month's reading of 60. Builder confidence also grew in the area of buyer foot traffic in new developments and gained three points to a reading of 44.

All of this is good news, but the NAHB said that a gap remains between higher home builder confidence and the rate of new home construction. A seasonal lull in home construction is not unusual especially in areas experiencing harsh weather.

More Jobs, Low Refinance Numbers Could Mean More Mortgages Available

MarketWatch analysts suggest that if the economy continues to add jobs "at a brisk pace" and mortgage lenders ease lending requirements next year, the demand for homes could further strengthen the U.S. housing market next year.  

Low numbers of refinance mortgages in 2013 may cause some lenders to loosen mortgage credit requirements, which were tightened after the housing bubble burst.

Economic News scheduled for today may provide a broader picture of economic health and likely trends for 2015. The Federal Reserve's Federal Open Market Committee will provide its expected statement after its meeting, and Fed Chairman Ben Bernanke will give his last press conference as Fed chair as well.

Any indication of plans to reduce the Fed's current quantitative easing program could upset financial and mortgage markets, but most economic analysts don't expect an announcement of tapering the Fed's asset purchases before next year.

Data on November Housing Starts and Building Permits will also offer clues as to how housing markets and the general economy are doing.

Picking The Perfect Holiday Tree

It's coming up on Christmas time, which means that people are decorating their home with lights and tinsel. It also means that it's time to pick a Holiday tree. If you've never had a real Holiday tree or you never seem to get it quite right, these tips and tricks can help you pick the perfect tree:

Buying Your Tree

• Measure where you're going to place the tree in your home, from ceiling to floor.  You'll want your tree to be at least a foot shorter than the ceiling, so take a measuring tape with you when you shop for your tree.
• When measuring for height, adjust for the star, angel or topknot that you'll be using; most can add as much as twelve inches to the height of your tree.
• Measure the opening of your tree stand, so you know how wide the base of the tree can be.
• The base of the tree should be straight and at least six inches long to fit nicely into your tree stand.
• Run your fingers along the needles of the tree you're looking at, and give the tree a shake. Very few needles should fall off.
• For the best shape, full branches, rich color and good needle retention on trees, choose a Balsam fir, Douglas fir, Fraser fir, Noble fir or Scotch pine.
• Buy as soon as you can for the best quality, or wait longer for best price.

Taking Care Of Your Tree

• After you get it home, cut an inch off the base so your tree can take in water more easily. Make sure the cut is straight.
• Use a stand that holds at least one gallon of water.
• Make sure you water your tree often. This keeps the needles from drying, as well as keeping the fragrance strong. Check the water level every few hours.
• Don't add anything to the water - no aspirin, soda water, bleach, etc. - to keep it fresh. According to the experts, lots of plain water is best.

Keep cheerful Holiday spirit alive by having the perfect Holiday tree in your home, one that's lush and brightly decorated. Want a new home to decorate? Call your trusted real estate professional. Have a Happy Holiday!

What's Ahead For Mortgage Rates This Week - December 16, 2013

Mortgage Debt Rises For First Time Since Recession

Last week was relatively quiet concerning scheduled housing-related news, but the Federal Reserve's financial accounts report, released on Monday, indicated that mortgage debt in the U.S. had increased for the first time since the first quarter (Q1) of 2008.

Mortgage debt increased by a seasonally-adjusted annual rate of $87.4 billion, or 0.90 percent. Mortgage debt remains approximately 12.00 percent below pre-recession levels.

Increasing debt is not often considered good news, but in the case of mortgage debt in today's economy, it suggests economic recovery in the form of higher home prices and fewer foreclosures.

Another instance of counter-intuitive economic results was released Tuesday. The Bureau of Labor Statistics (BLS) released its Job Openings and Labor Turnover Survey (JOLTS) report for October.

JOLTS indicated that 2.39 million workers quit their jobs in October. This was the highest number of jobs quit since 2008. While this may appear counter-productive to a growing economy, it indicates that workers are leaving their jobs for better positions.

Mortgage Rates Fall, Federal Budget Deficit Shrinks

On Wednesday the U.S. Treasury announced that November's federal budget deficit had shrunk to -$135 billion from November 2012's deficit reading of -$172 billion. This represents a year-over-year deficit decrease of 21 percent.

Freddie Mac's Primary Mortgage Market Survey (PMMS) report provided good news as average mortgage rates fell last week. The average rate for a 30-year fixed rate mortgage fell from 4.46 percent to 4.42 percent. Discount points rose from the previous week's reading of 0.50 percent to 0.70 percent.

15-year fixed rate mortgage rates fell from 3.47 percent to an average reading of 3.43 percent, with discount points rising from the prior week's reading of 0.40 percent to 0.70 percent.

The average rate for a 5/1 adjustable rate mortgage dropped from 2.99 percent to 2.94 percent with discount points unchanged at 0.40 percent.

Lower mortgage rates are good news for home buyers facing higher home prices.

Weekly jobless claims rose last week. The previous week's reading of 300,000 new jobless claims was short-lived as the reading for new jobless claims rose to 368,000 last week and surpassed a consensus of 335,000 new jobless claims.

Financial analysts cautioned that employment data can be volatile during the holidays, and noted that the four-week average of new unemployment claims rose by 6000 to 328,750.

What's Coming Up

There are several significant releases set for housing-related news. The NAHB housing market index, Housing Starts, and Building permits indicate how current builder confidence and new construction may impact the supply of available homes.

On Wednesday, the FOMC will issue its usual statement at the conclusion of its two-day meeting. Some analysts expect an announcement concerning the Fed's quantitative easing policy; Outgoing Fed Chair Ben Bernanke is set to give a press conference after the FOMC statement.

In addition to the weekly jobless claims report and Freddie Mac's PMMS, Reports on Existing Home Sales and Leading Economic Indicators will also be released. 

Santa's Landing Pad, Tips For Winter Roof Maintenance

It's that time of year again when the weather outside gets frightful but the holiday cheer is delightful. You've probably got a lot on your mind during these busy winter months, but make sure that you don't neglect the roof of your home.

Taking care of your roof is an important part of home maintenance and you don't want to suffer a leak or any other problem during the cold months.

So how can you make sure that Santa and his sleigh have a solid and well-maintained landing pad when they touch down at your house this year? Here are some tips that every homeowner should know:

Check Out Your Gutters

Your gutters are an important part of your roof, because they allow water to flow away from the roof surface before it causes rot and damage. During the winter, your gutters will be more likely to get clogged with fallen leaves, snow and ice and can get blocked if they are not cleared out.

Get yourself a ladder and a friend to hold it for you and clean any leaves, debris and dirt from the gutters. Flush the gutters out with a hose afterward to ensure they are clean. If your gutters have become damaged or leaky, you can use gutter sealant or fibreglass resin to patch up the hole.

Trim Back The Trees

If you have a lot of trees and vegetation overhanging above your roof, it's a good idea to trim it back before the winter months. At the moment, it might not be touching your roof – but once it is weighted down with snow or blown around by the wind it might do some damage.

When hiring a tree trimming service, get a few different quotes from a range of contractors so that you can be sure that you are getting the right price.

Inspect Your Roof For Weak Spots

A roof inspection can save you from a lot of roof damage, which could get even more serious when the weather gets colder and wetter. Start by performing a visual inspection of the inside and outside of your roof.

Look around for any missing tiles and make sure that the gutters are allowing the water to drain freely from the roof. This can be done while walking around your property with binoculars.

If you spot something that looks suspicious, you can hire a professional roofer to take a closer look. They will be experienced and will know what to look for, so that they can find the weak spot and fit it right away. A roof inspection will cost you, but it is a lot cheaper than paying for a new roof!

These are just a few important maintenance tasks that you can perform in order to ensure that your roof is in tip top shape to welcome the winter season – and a sleigh pulled by eight tiny reindeer! For more handy tips and info about your home, contact your trusted real estate professional today.

Real Vs. Artificial Christmas Tree Helpful Tips

Few questions are more important this time of year than which Christmas tree you should buy for your home.  There are some things to keep in mind when looking for the perfect Christmas tree.

Here are just a few:

Real Or Artificial Tree?

Real Christmas trees require some care; if you're planning to travel this holiday season, you may not want a live tree.  You must water the tree to make sure that it doesn’t lose its needles before Christmas day. 

The live trees are not fire resistant, the dried out pine needles can get too hot from the lights and may burst into flame.

On the other hand, there isn’t any up-keep with an artificial Christmas tree, and many look quite realistic.  The plastic Christmas trees have an added bonus of being flame retardant. 

Then, there’s the convenience of not having to go out in the cold weather to pick the tree out.

For those of you who can’t imagine Christmas without the pine needle smell, you can buy air fresheners that mimic the smell of fresh cut pine.  For some, an artificial tree is the best of both worlds.

How Big Is Too Much Tree?

Now that you’ve decided what kind of Christmas tree to buy, you have to find out how big a tree you can fit in your home.  It could be that the only thing limiting the size of your Christmas tree is your budget; in that case, your decision is easy. 

However, if you're limited on space, you’ll need to decide the best place to put your tree first.

Try to think of how the area will “frame” your Christmas tree.  Consider how much traffic goes by the area and whether there will be enough room for the presents to stay safe. 

Break out the measuring tape so you don’t have to guess when you’re on the Christmas tree lot; trees look deceptively small on the lot.  Or, if you opted for the fake Christmas tree, you’ll know exactly which box to pick out; just look for the right size.

Want to buy a home that has space for a bigger tree?  I can help.  Give your trusted real estate professional a call today.

Sell Your Home Without Losing Precious Holiday Family Time

Putting your home on the market during the holiday season might seem like you're just inviting stress and frustration to come knocking on your door. However, December is a great time to sell because there are few homes on the market, buyers are serious and your house will be decorated to look nice and cozy.

With the tips below, you can get your home ready to sell and ensure important family time by having the kids help out.

Hire A Real Estate Agent

Employing a professional will allow you to unload the worries that come along with selling a home. Your real estate agent will burden the pressure — and work — of finding the perfect buyer for your home. This will free up your time to enjoy the season with your family.

Get The Kids Involved

With your house up for sale, you don't want to go too crazy with decorations. Make a day out of decorating and have the kids help you put up your more tasteful trimmings.

Then you'll be creating family memories and making your house festive for the season. Avoid any overly religious decorations and try to go for a winter theme.

Shoot A Video

Have your teenager be the cameraman while you narrate. Or, for an even more adorable virtual tour of your home, have your child describe each room. Then post the video on your home's website for buyers to view.

Not only will buyers get a feel for your home, but you'll have great memento of where you lived once you move.

Create A Cozy Retreat

Use low lighting, build a fire, play classical music and turn up the thermostat to create a snug environment that buyers and your family will enjoy. You'll make potential buyers want to linger in your inviting home. And, your family will have fond, homely memories of their last holiday season in this house.

Loosen Up

Keeping your home immaculately organized and clean can be exhausting. Remember that this time of year is all about family. So relax and enjoy yours! If you don't end up selling your home this December, then there's always next year — which is fortunately only a few days away.

Don't let the holiday rush intimidate you when it comes to selling your home. By getting your kids involved, you'll sell your house and make lasting memories of the final festive season in that home.

Be Prepared For That Next Winter Storm With These Quick Tips

It's getting cold, and that means you're at risk for blizzards or ice storms. Depending on where you live, these winter storms can knock out the power for weeks. With these easy tips, you can be prepared for and even enjoy these storms.

Stay Warm

Losing power means losing heat, and that can be a pain. But trust me, you can live comfortably for a long time with no heat. The first step is to dress warm. Lots of light layers keep you warmer than one big coat, so layer up. Wear a hat or a hood as well.

Your body loses most of its heat through your head. It's also important to insulate your house. Put extra weather stripping or towels under the door and windows. You don't want any drafts getting in.

Keep Your Water Running

Pipes might freeze during a winter storm as well. It's important to keep the water running. The water in the pipes will freeze much faster if it isn't moving. So go to each faucet and tap and turn them on just a little bit, so that they're barely dripping. That way the water won't sit still in the pipes and freeze.

Stay In The Loop

Your regular sources of information may be obsolete without electricity. Your computer and cell phone will die quickly, and your television will be dead as well. Keep a battery-powered radio on hand.

It seems old-fashioned, but it's much more comforting when you know when the power is expected to come back on. Remember that most news like this is on the AM stations.

Check On Your Neighbors

Remember you're not the only one without power. Put on your snow boots and go see how your neighbors are fairing in the winter storm. Even if they're the kind of neighbors with an obnoxious barking dog, it's worth checking in on them. You might bring an extra blanket or two as well.

Stock Up

When it comes to winter storms, it's better to be over prepared, than not prepared enough. Keep some extra water and canned foods stored in the house. Keep extra flashlights, candles, matches, a camping stove, and maybe some extra gasoline for the car, or generator.

Like a boy scout always be prepared. Most storms won't be a matter of life and death, but your preparedness will make the storm much more comfortable.

Winter storms can be a pain in the neck, but a little preparation goes a long way. When the power goes out, it's nice to know that you have everything you need to get by.

Just remember to stock up on supplies, keep your water running, stay up to date, and check on your neighbors.

What's Ahead For Mortgage Rates This Week - December 9, 2013

Last week brought several indicators of a strengthening economy. New home sales, private and federal employment and mortgage rates rose.

The Department of Commerce released construction spending numbers for October with mixed results. Although public projects fueled an 0.80 percent increase in month-to-month construction spending, residential construction fell by 0.60 percent.

Analysts had expected an increase of 0.50 percent and also noted that the negative effect of the government shutdown was a "blip." October's reading for construction spending was the highest since 2004.

CoreLogic released data that home prices rose by 0.20 percent, which represents a year-over-year growth rate of 12.50 percent for home prices. Pending home sales were suggested that November sales are expected to hold steady as compared to October, and projected year-over-year sales for November at 12.20 percent.

Slower growth in home prices was attributed to higher mortgage rates and a fear of a housing bubble in the West, where demand for homes far exceeds the number of available homes.

Not wanting to buy at the top of the current housing market, some potential buyers may be waiting for the talk of another housing bubble to subside before buying. Robert Shiller, co-author of the Case-Shiller Housing Market Index, noted that home buyers may not be "psychologically ready" for another housing bubble.

New home sales for October were higher than expectations of 419,000 homes sold on a seasonally-adjusted annual basis. October's reading of 444,000 new home sales was 21.60 percent higher than September's reading of 354,000 new homes sold. The national median home price fell by 4.50 percent to $245,800 in October; this was the lowest month-to-month reading since November 2012.

The number of available homes fell to a 4.90 month supply in October. This may cause buyers to put their home searches on hold as they wait out the winter months and hope for supplies of available homes to increase.

U.S. Employment Improving, Mortgage Rates Rise

ADP a private-sector provider of payroll services reported 215,000 new jobs added in November as compared to October's reading of 184,000 jobs added. Weekly jobless claims supported the ADP reading as new jobless claims fell to 298,000 against expectations of 325,000 new claims and a prior reading of 321,000 new claims. 

The Bureau of Labor Statistics brought more good news with its Non-Farm Payrolls report and Unemployment Rate for November. Non-Farm payrolls added 203,000 jobs in November against expectations of 180,000 jobs added and October's reading of 200,000 jobs added.

The National Unemployment rate dipped to 7.00 percent in November against expectations of a 7.20 percent reading and October's reading of 7.30 percent. The Federal Reserve has set a benchmark unemployment rate of 6.50 percent as an indicator of economic recovery.

Last week's strong economic news boosted mortgage rates; Freddie Mac reported that the average rate for a 30-year fixed rate mortgage rose by 17 basis points to 4.46 percent with discount points lower at 0.50 percent.

The average rate for a 15-year fixed rate mortgage also gained 17 basis points at 3.47 percent with discount points at 0.40 percent. The average rate for a 5/1 adjustable rate mortgage rose by 5 basis points to 2.99 percent with discount points at 0.4 percent.

What's Coming Up

This week's scheduled economic news includes Retail Sales, Weekly Jobless Claims and Freddie Mac's report of average mortgage rates.

4 Safety Tips To Prepare Your Home For the Cold Weather

As the temperature drops and we don more layers, it can be startling to realize how cold it's actually gotten.

So before the snow starts piling up at your door, you'll want to get yourself prepared for winter and the harsh conditions it can bring.

Below are a few cold weather safety tips to keep you and your home secure from Frosty's frigid touch.

Keep The Cold Out

If you haven't already winterized your home, then now is a good time to do it. Add extra insulation in your attic and walls, if possible. Caulk around windows and doorframes to keep the warm air in and the cold air out.

Prepare An Emergency Kit

In case your power goes out, you want to be sure you're prepared to brave the cold weather for a few days. You'll want a backup heat source, such as a generator or wood-burning fireplace.

You'll also need at least a three-day supply of water, non-perishable food items, flashlights with extra batteries, battery-powered cell phone chargers and a medical kit that includes prescriptions.

Be Cautious When Warming Your Home

Make sure you've replaced the batteries in your smoke and carbon monoxide detectors. While turning on your heater will probably be fine, you should take extra precautions since it probably hasn't been fired up for months.

Also, be extremely careful with space heaters. Make sure they're away from anything flammable, and always turn them off before you go to sleep.

Care For Your Pipes

Frozen pipes are costly to fix. Your pipes can freeze and cause water damage when they thaw. And, not being able to access clean water can be major inconvenience.

To prevent frozen water, keep your home at a constant temperature day and night. If the power goes out, turn your faucets on to get a small trickle and open up all the cabinets to circulate warm air around the pipes.

Don't let a snow or ice storm catch you unprepared! From survival storage to heating your home, the better you equip your house now to handle the cold weather, the less you'll have to worry about when the power goes out.

Utilize the safety tips above to get your family and your home ready for whatever winter might blow at it. For more around the home tips or how to stay warm in a new home this winter, contact your trusted real estate professional.

Creative Holiday Storage Solutions

Every holiday season when you get out the decorations, there always seems to be a period of organization where you need to untangle lights, sort out the broken ornaments and just get all of the trimmings in order.

Next year, skip the hassle of sifting through everything. The year-to-year holiday storage strategies below will help make next December's decorating easy.

Hide Paper Up High

Utilize a space that is always vacant — the ceiling of your closet. Attach two strings of wire from the front wall above your closet door to the back wall. Make them parallel to each other and about two feet apart. Then you can slide your wrapping paper tubes across the two wires. No more crinkled or torn paper! 

Bag Your Lights

The hassle of untangling holiday lights every year can become a dreaded tradition. A smart solution is to invest in inexpensive gallon-sized sealable bags. Label what each bag's lights are for, such as the tree, mantel or outdoors.

Wrap individual strands around your arm and them place them inside the appropriate bag. Put all bags in one holiday storage container.

Recycle Wrapping For Your Breakables

After you've ripped off the wrapping and gotten to the goods, don't just throw your pretty paper out. Reuse it! Run it through the shredder to create fun filling for the boxes that hold your ornaments and breakable decorations.

Get Crafty With Labels

Instead of writing straight onto the holiday storage bins, tape or glue festive envelopes to the side. Then you can write a list of everything in that box and put it in the envelope.

For those who like everything clean and organized, this means that if you switch out anything in the box, you don't have to mark it out on the side — just change the paper inside the envelope.

Display Holiday Cards Creatively

Receiving holiday cards is a great way to keep in touch with distant family and friends. Instead of throwing the cards away each January, use a hole punch to create two holes in the sides of the card.

Then insert jump rings to make little picture memory books that you can display on the coffee table every year. For more around the home tips or if you are looking to buy a home with plenty of storage space, contact your trusted real estate professional.

5 Tips On Selling Real Estate Even In The Brisk Cold

Any real estate agent will tell you that it's harder to sell your home in the winter. The days are colder and shorter, leaving less time to show your home to potential buyers. 

The good news is that most of the buyers who are looking at houses in the winter aren't just killing time. They're serious enough about finding their new home to go house hunting at a time that most people would rather stay inside.

There Are A Few Things You Can Do To Make A Good Impression On Home Buyers This Winter:

• Make sure all walkways are safe. Spread out ice melt or sand to provide traction during snowy weather. Shoveling the snow on the driveway and sidewalks will make your real estate appear more inviting and well-maintained. Be sure to place a mat for visitors to wipe their feet on.
• Warm up the house. Buyers will remember the house that was pleasantly warm on a frigid day. In addition, you will be able to demonstrate to the buyer that your furnace is in good working order.
• For a welcoming scent, bake cookies the day of the showing. Some people are sensitive to the fragrances in air fresheners and perfumes, so skip spraying those when expecting someone to look at your house. 
• Serve snacks in the kitchen. Give the buyer a reason to linger in your home by leaving a light snack in the kitchen. If the weather is cold, consider providing chili or soup in a crockpot to keep it warm with festive disposable bowls. Or, to keep it simple, you can provide coffee or hot chocolate and cookies. Be sure to talk with your real estate agent before leaving these snacks so he or she knows they're for the buyers.
• Make your house appear warm and inviting. Turn all the lights in the house on; place warm-toned throws and decorator pillows around the living room. Put on some soothing classical or jazz music; keep the volume low enough that buyers can talk quietly to each other.

You can make your home seem more inviting this winter by using these proven techniques. 

Are you ready to sell your home? Call your trusted real estate professional today.

Case Shiller Price Index Shows A Spike In Home Prices In The West

According to the S&P Case-Shiller 10-and 20-City Housing Market Indices for September, home prices grew at an average of 13.30 percent year-over-year and achieved the highest growth rate for home prices since February 2006.

On a month-to month basis, home prices are slowing in most areas with 19 cities included in the S&P 20-City Housing Market Index showing lower rates of growth in home prices. September's average month-to-month growth rate was 1.0 percent for the 20-City HMI as compared to 0.90 percent in August, and 1.90 percent posted earlier in 2013.

Home prices increased by 0.70 percent in September for the combined 20-City and 10-City Housing Market Indices tracked by Case-Shiller.

Rapidly Rising Home Prices In The West: Another Housing Bubble On Tap?

Home prices continued rising in the West, with Las Vegas leading the pack with a 29.10 percent gain year-over-year although average home price in Las Vegas, Nevada remains 46 percent than its peak in February of 2006.

California also showed double-digit year-over-year growth for home prices with San Francisco at 25.70 percent, Los Angeles at 21.80 percent and San Diego posting 20.90 percent growth in home prices year-over-year.

Rapidly increasing home prices in the West are largely due to demand exceeding supply, but buyers may be sitting on the sidelines due to concerns over another housing bubble in the making.

Buyers in this scenario are aware of increasing home prices, but aren't buying now to avoid higher prices later. Instead they are waiting to see what happens with current home prices and housing market conditions in the longer term.

Chicago, Illinois posted its highest year-over-year growth rate since 2005 while Cleveland, Ohio posted a growth rate of 5.00 percent for September as compared to a month-to-month growth rate of 3.70 percent.

This was the second lowest month-to-month growth rate for home prices, with New York City posting a month-to-month home price growth rate of 4.00 percent from August to September.

FHFA Reports Slight Gain In Home Prices

The Federal Housing Finance Agency reported stronger gains in home prices for properties financed with mortgages owned or guaranteed by Fannie Mae or Freddie Mac. In September, home prices reported by FHFA rose by 0.30 percent as compared to August's growth rate of 0.40 percent. 

On a year-over-year basis, FHFA reported a gain of 8.40 percent between the third quarter of 2012 and the third quarter of 2013. Adjusted for inflation, home prices as reported by FHFA have risen approximately 7.20 percent. FHFA noted that home prices are growing at a rate far above the rate of 1.20 percent reported for other "goods and services."

Lower numbers of foreclosed homes are seen as a boost for home prices in general; as mortgage lenders tend to offer foreclosed homes for sale at low prices in order to reduce inventories of real estate owned.

What's Ahead For Mortgage Rates This Week - December 2, 2013

The short holiday week brought a flurry of economic reports last week. Highlights included pending home sales, the S&P Case-Shiller Housing Market Indices and the FHFA home price index. No reports were released on Thursday and Friday in observance of the Thanksgiving holiday.

The NAR released its Pending Home Sales report for October. Although pending home sales dropped by -0.60 percent, the decline was less than September’s reading of -4.60 percent.

NAR cited higher home prices and mortgage rates along with concerns over the then-pending government shutdown as factors that contributed to fewer pending sales. Pending sales are determined by signed purchase contracts and are considered an indication of future completed home sales and mortgage loan closings.

Department of Commerce reported that building permits issued increased from 974,000 in September to 1.03 million for October. Permits for multi-family dwellings rose by 17 percent from September, but permits for single-family homes rose by 1.00 percent.

A lagging supply of available single-family homes has been driving home prices up as demand also increases. The multi-family reading reflected the sector’s volatile nature and was largely concentrated in the West.

Case-Shiller And FHFA Report Higher Year-Over-Year Average Home Prices

The S&P Case-Shiller 20-City Housing Market Index for September reported its highest year-over-year gain in seven years, but the month-to-month reading was lower. The year-over-year reading was 13.30 percent in September and the month-to-month reading showed lackluster growth at 0.70 percent.

When seasonally adjusted, September’s reading was 1.00 percent against the seasonally-adjusted August reading of 1.90 percent.

In addition to the then-looming government shutdown, concerns over rapidly rising home prices in the West may have caused would-be buyers to sit on the sidelines as fears of another “housing bubble” gained traction.

Rising home prices also impact affordability and impact the ability of buyers depending on mortgage loans to compete with cash buyers.

The Federal Housing Finance Agency, which oversees Fannie Mae and Freddie Mac, issued its housing market index report for September. Based on sales of homes financed with Fannie Mae or Freddie Mac-owned mortgages, FHFA’s report indicated that year-over-year home prices at an annual rate of 8.50 percent in September as compared to August’s year-over-year reading of 8.40 percent.

Economists noted that the increase of home prices is slowing due to a number of factors including higher mortgage rates and restrictive lending policies that are making it more difficult for buyers to purchase homes.

Analysts said that next year could bring a more sustainable rate of home appreciation with year-over-year readings averaging between five and eight percent.

Freddie Mac issued its weekly Primary Mortgage Market Survey on Wednesday; average mortgage rates for 30 and 15 year mortgages rose to 4.29 percent and 3.30 percent respectively.

Discount points for fixed rate mortgages were unchanged at 0.70 percent. The average rate for a 5/1 adjustable rate mortgage dropped by one basis point to 2.94 percent with discount points unchanged at 0.50 percent.

What’s Ahead

This week’s scheduled economic reports include Construction Spending, ADP Employment, New Home Sales and the Fed’s Beige Book. The Bureau of Labor Statistics will release its Non-farm Payrolls report and the national unemployment rate.

Weekly jobless claims and Freddie Mac’s Primary Mortgage Market Survey will be released as usual on Thursday.

Ensure Your Fireplace Is Up To Snuff

When it’s cold outside, there’s nothing quite as cozy as curling up on the sofa with a good book in front of a roaring fire. A fireplace evokes the idea of a warm and pleasant atmosphere.

However, if it isn’t properly maintained, your living room could be filled with a cloud of soot, or worse, fire. A fireplace not only creates a snug setting, but most are actually functional and can help heat your home.

Harness their heat and generate the ambiance of a softly lit living space by following the tips below to ensure yours is properly maintained and working efficiently before the first cold spell hits.

Clean It Regularly

Have your chimney cleaned out twice a year. The recommended number varies depending on how often you use your hearth. However, you should have it cleaned every fall to ensure it’s properly vented so that smoke has a way to escape.

Also, you’ll want to make sure that no animals have made their home there over the summer.

Close The Damper

Make sure you close the damper when you’re not using the fireplace. You don’t want to make your furnace work overtime because warm air is sneaking up and out the chimney.

Install A Chimney Cap

If your home doesn’t have a chimney cap, then have one installed. These help to prevent snow, leaves, animals and other debris from falling down the chimney. Caps also help keep downdrafts from gusting into your living area.

Burn Firewood Only

A fireplace isn’t the spot to burn your broken chair or ex-girlfriends photos. Painted wood, plastic and other treated wood surfaces can release chemicals into the air of your home. Worse, they can coat the interior walls of your fireplace, so you continue breathe them in for the next couple of fires. 

Mount Smoke Alarms

If you don’t already have them, mount smoke alarms near your hearth and in every bedroom. Consider installing combined carbon monoxide and smoke detectors if you have a home with a gas-burning fireplace.

Don’t use your fireplace without taking the right precautions. Get it cleaned, and if it’s your first use, then be sure to get it inspected beforehand. Make the hearth in your home the heart of your home by following the tips above to ensure it’s up to snuff this fall.

Savoring The Good Things In Life

"There's always something to be thankful for. If you can't pay your bills, you can be thankful you're not one of your creditors" – Author Unknown

With Thanksgiving being tomorrow, I find myself thinking about everything I have to be thankful for. For instance, I've been a real estate agent for some time, which is a position that I enjoy and love. 

What Am I Grateful For?

I'm also grateful to be able to share the knowledge that I've learned throughout the years with my clients and those of you who read my blog. It's a wonderful and rare thing to do something that you love for a living.

Most of us are so busy reaching our goals, making plans for the future, pushing and struggling to rise to wherever we feel our position in life should be, that we very rarely take the time to look back at where we started. 

While it's always a good idea to have goals, to visualize and work towards them, if you never take the time to appreciate what you've done then it becomes a constant, maddening race to the finish line. Intangible things, such as happiness and satisfaction, fall by the wayside, considered unimportant in the grand scheme of things.

What Do I Savor?

With Thanksgiving drawing closer, this real estate agent invites you to think about what you have to be thankful for. Whether big or small, you'll find yourself savoring all the good things in your life. 

So what are some of the things that you're grateful for? It doesn't have to be a big thing to be appreciated. Was the sky particularly beautiful today? 

Maybe you caught the bus on time, or you're throwing the family Thanksgiving dinner this year and everyone is coming. If it brightens your life, brings a smile to your face, lightens your mood or warms your heart, be thankful for the experience. 

Enjoy each moment as if it were your last, sipping from the cup of gratitude and appreciation; you may find that your heart is constantly filled with happiness. Your trusted real estate professional invites you to make every day Thanksgiving Day.

Get The Low Down On Pending And Existing Home Sales This Month

The National Association of REALTORS reported Monday that pending home sales dropped by -0.60 percent in October after falling at a revised rate of -4.60 percent in September. According to Lawrence Yun, chief economist for NAR, 17 percent of real estate agents reported delays in loan closings due to the government shutdown in early October.

Lenders were unable to verify borrower income through the IRS, which was closed during the shutdown. October was the fifth consecutive month with fewer pending home sales reported.

Homeowners who owe more on their mortgages than their homes are waiting to sell, and recent spikes in mortgage rates were cited as factors contributing to fewer pending sales.

Pending home sales are defined as homes for which signed purchase offers have been received and are considered an indicator of future home sales. The NAR notes that most pending sales close within 30 to 60 days of an offer being signed.

High Demand And Low Supply Of Homes Thwarts Buyers

Would-be homebuyers may be including their dream homes on their wish lists for the holidays as many areas continue to experience a short supply of homes against high demand. In desirable areas this can lead to bidding wars and homes being sold before they are listed for sale.

Cash buyers are benefitting from these situations, while first-time and moderate income buyers may be sidelined due to affordability issues and the inability to compete with cash buyers.

Mortgage rates fell last week and the previous week. While a recovering housing market has been causing home prices to rise, economists described current readings for pending sales as a "pause" in the housing market recovery and said that a significant decline in home sales could adversely impact overall economic recovery.

Regional Pending Sales Mixed

Pending sales for the Northeast and Midwestern regions increased slightly and declined in the South and West. This suggested to some economists and analysts that the formerly hot housing market is cooling off along with the weather. Some decline in home sales is expected during fall and winter months.

Sales Of Existing Homes Better Than Expected

October sales of existing homes surpassed expectations of 5.10 million sales with a reading of 5.12 million existing homes sold. Again, the government shutdown and related concerns of consumers and home builders were cited as reasons for sales falling shy of September's reading of 5.29 million existing homes sold.

What's Ahead For Mortgage Rates This Week - November 25, 2013

Last week's scheduled economic news was varied, but mortgage rates fell and jobless claims were significantly lower than expected. The minutes for last month's FOMC meeting were released, and confirmed the Federal Reserve's intention to leave its quantitative easing program unchanged at least for the near term.

The National Association of Homebuilders Wells Fargo Housing Market Index for November indicated that builder confidence, while still positive, dipped by one point to a reading of 54 as compared to an anticipated reading of 55, and October's revised reading of 54.

Retail Sales for October Rose By 0.4 Percent

NAHB noted that uncertainty over the federal budget and political gridlock may have kept builder and consumer confidence levels from achieving further gains in November.

The Consumer Price Index for October contracted by -0.10 percent against expectations of 0.00 percent growth and September's reading of 0.20 percent growth. The Core CPI, which excludes volatile food and energy sectors, rose by 0.10 percent against expectations of 0.20 percent and was unchanged from September's reading.

The National Association of REALTORS reported that Existing Home Sales for October were lower than for September's reading of 5.29 million, but slightly exceeded the expected reading of 5.10 million. October's reading came in at 5.12 million sales of existing homes.

Analysts attributed the lower reading to tight supplies of available homes in many areas and higher home prices and mortgage rates that impacted affordability.

The FOMC minutes indicated that the committee has ongoing concerns over national unemployment rate of 7.20 percent against the committee's target unemployment rate of 6.50 percent.

Weekly Jobless Claims were notably lower at 323,000 new jobless claims as compared to the prior week's reading of 344,000 new jobless claims. Analysts and investors had expected a reading of 334,000 new jobs. Analysts noted the Veterans Day holiday as a likely contributor to the lower reading for new jobless claims.

Freddie Mac provided good news in its weekly Primary Mortgage Market Survey; the average rate for a 30-year fixed rate mortgage fell from 4.35 percent to 4.22 percent with discount points unchanged at 0.70 percent. The rate for a 15-year mortgage fell from 3.35 percent to 3.27 percent with discount points unchanged at 0.70 percent. 

The average rate for a 5/1 adjustable rate mortgage remained unchanged at 2.61 percent with discount points unchanged at 0.40 percent. This was encouraging news for home buyers and homeowners who have recently faced rising mortgage rates and home prices.

What's Coming Up

This week's schedule for economic reports includes several of interest to mortgage and housing professionals. Pending Home Sales will be out on Monday; Tuesday's calendar is full with Housing Starts and Building Permits, the Case-Shiller Housing Market Index, the FHFA Home Price Index and the Consumer Confidence Index.

Wednesday's news includes Weekly Jobless Claims, the University of Michigan Consumer Sentiment Index and Leading Economic Indicators. No economic news is scheduled for Thursday or Friday in observance of the Thanksgiving holiday.

Thanksgiving Decorating Ideas For Your Home

Thanksgiving is right around the corner, and if you're opening your home for the family get together, that usually means you'll be decorating. 

If you've racked your mind for ideas and none sound just right, here are a few decorating ideas that might help you along your way.

Fall Leaves

Decorations don't have to be expensive, just look outside the door of your home. Brightly colored fall leaves, either randomly placed on the table or bunched in small arrangements, can really brighten up a table.

Turkey Napkins

Folded turkey napkins is a simple way to spruce up your Thanksgiving table. Use linen napkins for a classy touch.

Thanksgiving Centerpiece 

A cornucopia is a great idea for the centerpiece. Filled with leaves, small pumpkins and other fall foliage or fruits, cornucopias remind us to be thankful for nature's bounty.

Candles 

Candles can add a warm touch to any Thanksgiving dinner. The key for candle placement is to arrange them in places where a person's breath won't blow the flame out, generally between where people sit instead of in front of them.

Thanksgiving Wreaths

Thanksgiving wreaths can be fun to make, and a well-made wreath may even bring some surprising compliments. Tasteful and elegant at any time, wreaths made in fall colors are a beautiful addition to your decorations.

Thanksgiving Baskets

Thanksgiving baskets can be simple, inexpensive decorations for your home.  Acorns or other nuts, mixed with fall leaves and a few flowers from your garden, will brighten up any room.  Hang small baskets from wall hooks, or place larger baskets in corners.

No matter what Thanksgiving decorations you use, whether elegant or fun, hand-made or store-bought, the key is not to overdo it.  Don't let yourself get so caught up in making the decorations perfect that you forget to enjoy your friends, family and food. 

May you have many things to be thankful for in the years to come. Happy Thanksgiving!

4 Tips On Hosting A Cozy Open House

The weather is starting to become a little too crisp for outdoor barbecues and camping. When Mother Nature goes into hibernation, then it's time to move the party indoors.

Whether you're looking to show off your new digs or have just listed your home on the market, winter is the perfect time to host an open house.

You want this to be a fun event that is as stress-free as possible. So plan ahead and don't go too crazy. With a little furniture rearranging and a casual menu, you can plan a special evening that everyone will enjoy. Below are a few party tips to help get you organized.

Invitations

Get personal and send out invitations — not just an Evite. Hand-deliver them around your neighborhood. If you're listing your home for sale, then give a stack to your real estate agents to pass along to other brokers that might have interested clients.

Clearly print a start and finish time to the open house. You don't want strangers outstaying their welcome.

Furniture Arrangement

Hosting a festive get-together requires some furniture rearranging. You want to have open floor space for mingling that is interspersed with seating areas. It might be wise to declutter by putting some of your larger furniture in the basement.

Lighting

Try to use as little overhead lighting as possible. Turn on lamps in each room, especially around seating areas. Light unscented candles in places that are clear of accidental bumping. This will create soft, cozy glow within your home.

Food And Drink

Keep the food and drink simple. Warm apple cider and coffee along with appetizers and dessert should be sufficient. Also, place your buffet at the end of one a room, so it doesn't block any entryways. Put the bar close to the entrance, so guests can grab a drink in case you're occupied and can't introduce them around.

A winter open house is the perfect way to surround yourself with all you favorite people. Or, it can be the best method for highlighting a house you're hoping to sell. Follow the tips above to create a fun and cozy atmosphere that makes everyone feel right at home.

3 Common First Time Home Buyer Mistakes That Can Cost Thousands

Buying real estate for the first time is a very exciting step in life. It is likely to be one of the biggest financial commitments that you make, so it's very important to navigate the purchasing process wisely.

Many first-time home buyers make rookie mistakes that bring on negative consequences and a lot of frustration. Outlined below are common errors home buyers make, so you can learn from their missteps and avoid them yourself.

1. Buying More Than What You Can Truly Afford

Just because the bank says that you qualify a certain amount for a mortgage doesn't mean that you have to choose a house at the very top of this price range. Many people get carried away and buy the most expensive house that they qualify for.

If something unexpected happens, they may find it difficult to keep up with their monthly mortgage payments later on.

Remember that you will also have student loan payments, vehicle costs, credit card bills, health insurance, groceries, retirement savings and other expenses, so make sure that your mortgage payments will comfortably fit within your budget.

2. Failing To Get A Home Inspection

Before buying a house, you should always have a professional inspection done. Not doing so is a big mistake. You don't want to get stuck with hidden damage that could saddle you with the expense of ongoing repairs.

Hiring a professional to assess the home's condition is absolutely essential before making your final decision.

3. Disregarding Your Future

When you are buying real estate, don't just think about how the home will work for you in the immediate future. Also consider what your needs will be five, ten or even 20 years from now.

Find out the development plans for the neighborhood. Look for reputable schools if you intend to start a family. And consider whether the street's home values are likely to increase or decline in the future.

Your Next Steps

Don't let the home-buying process overwhelm you! Learn from these common first-time home buyers' mistakes, so you can avoid them.

A great next step toward planning for your first home purchase is to consult with a trusted, licensed mortgage professional who is trained in providing the best advice on how a new home will affect your budget.

Housing Market Index Shows Builder Confidence Remains Above 50

The National Association of Home Builders released its Housing Market Index for November on Monday. This month's HMI reading was 54 against expectations of a reading of 55. October's reading was also 54 after being downwardly revised.

Readings over 50 generally indicate that a majority of builders surveyed are confident in current housing market conditions, but the current pause came after two months of decline in home builder confidence. While the short term index readings are lower than in past months, the HMI is currently 20 percent higher than last year.

David Crowe, chief economist for NAHB said that "the fact that builder confidence remains above 50 is an encouraging sign." Mr. Crowe also cited federal debt and budget issues as factors that keep builders and consumers from building and buying homes.

Fluctuating Mortgage Rates Of Concern To Builders, Home Buyers

Home builders are also subject to the impact of volatile mortgage rates, which can create affordability issues for first time and moderate income home buyers. There is some good news concerning mortgage rates as the Federal Reserve announced its plant to keep its quantitative easing program in effect in the coming months.

QE was implemented in 2012 and consists of the Fed purchasing $85 billion per month is treasury and mortgage-backed securities with the goal of keeping long-term interest rates and mortgage rates low.

Home builder confidence readings are not in synch with construction rates, as builder confidence was rapidly driven by excessive demand for homes against minimal inventories of available homes in many areas.

Components of November's HMI provide more precise indications of builder confidence. November's reading for confidence in sales of single family homes within the next six months fell from 61 in October to 60 in November.

Builder sentiment for current home sales was unchanged at 58 and the November reading for builder confidence in buyer foot traffic fell by one point from 43 in October to 42.

Regional Home Builder Confidence Readings Mixed

Regional builder confidence readings for November were as follows:

Northeast: This region gained 14 points with a reading of 44 for November.

South: Builder confidence rose by one point to a reading of 55.

Midwest: November's reading declined by eight points to 54.

West: The reading for November was one point lower at 58.

Home sales are typically slower during the holiday season and winter months.

What's Ahead For Mortgage Rates This Week - November 18, 2013

The Veterans Day holiday on Monday contributed to a quiet week for economic news. On Wednesday the reading for the federal budget deficit for October fell from September's reading of -$120 billion to -$92 billion.

Freddie Mac Released Its Primary Mortgage Market Survey On Thursday

The average mortgage rates increased across the board, but remain below historical levels. The rate for a 30-year fixed rate mortgage rose by 9 basis points from 4.16 percent to 4.35 percent with discount points decreasing from 0.80 percent to 0.70 percent.

The average 15-year mortgage rate rose from 3.27 percent to 3.35 percent with discount points the same at 0.70 percent. The rate for a 5/1 adjustable rate mortgage increased from 2.96 percent to 3.01 percent with discount points moving from 0.50 percent to 0.40 percent.

Weekly Jobless Claims were released Thursday and were reported at 339,000 new claims. This was higher than the expected number of 335,000 new claims, but lower than the prior week's reading of 341,000 new claims.

In other news, Janet Yellen, the President's choice for chairing the Federal Reserve, defended the Fed's quantitative easing policy during her first confirmation hearing before the Senate Banking Committee.  QE, which involves Fed purchases of $85 billion monthly in Treasury and mortgage backed securities, was designed to keep long-term interest rates and mortgage rates low.

Credit Reporting Agency: Mortgage Defaults Reach 5-Year Low In Q3 2013

TransUnion, one of three major credit reporting agencies in the U.S., reported that mortgage defaults fell to a five-year low to a reading of 4.09 percent for the third quarter of 2013.

This reading is lower year-over-year than the revised reading of 5.33 percent for the third quarter of 2012. The reading for third quarter 2013 mortgage defaults is also lower than the reading of 4.32 percent for the second quarter of 2013.

A mortgage default is defined as a home loan that is at least two months past due on payments.

Analysts cite moderate but stable job gains, comparatively low mortgage rates and a short supply of available homes as factors contributing to improvements in the housing sector. Analysts noted that mortgage defaults have declined during the past five quarters.

As defaulted mortgage loans made before the economy crashed are foreclosed, mortgage defaults were expected to continue falling. TransUnion reported that it expects mortgage defaults to fall below 4.00 percent by year-end.

What's Coming Up: NAHB Index, FOMC Minutes

This week, the National Association of Home Builders is scheduled to release its Home Builder Confidence Index for November.

Along with the weekly releases of Jobless Claims and Freddie Mac's PMMS report on mortgage rates, the FOMC is expected to release the minutes of its last meeting. Existing Home Sales for October are also set for release.

5 Great Questions To Ask At An Open House

An open house gives you a great opportunity to look more closely at real estate you might be interested in buying. It also affords you the chance to chat with the owner or real estate agent so you can bring up any issues or hesitations you have with the home.

Knowing what to ask can be difficult, so below are examples of questions to ask at the next open house you attend.

Why Has The Seller Decided To Sell Now?

If you ask why the seller is moving, you could learn valuable information to help determine your offer or possibly whether or not you want to buy the home.

Knowing whether the owners are about to go into foreclosure, have experienced trouble in the neighborhood, or if they've retired and completely paid off the home can help you understand how urgently they need to sell their property.

Has The Seller Had Any Other Offers?

Don't forget that you are not only negotiating with the seller for a price, you are also competing with other potential buyers. It really helps to know what you are up against.

It is important to understand that you might not get a 100% straight answer to this question as most sellers know that competition or perceived competition can cause a potential buyer to move forward more quickly and at a higher price.

If you're comfortable in this discussion, you might want to try and see if you can find out the details of any other offers.

Does The Property Have Special Ownership Costs?

Ask the agent or owner about the other costs associated with owning the property, such as Home Owners Association fees within a condo complex or a gated community. It's important to know about these extra expenses in advance so you can make an informed offer.

You may also want to ask about any pending litigation concerning the property. Litigation is not always a deal killer, but it's better to know the details before you sign closing documents.

What Furniture And Appliances Are Being Sold With The House?

Most of the time, a seller will include their major appliances such as the refrigerator, stove and dishwasher with the home, but this isn't always the case. If you don't already have these items, it's important to know whether they are included in the purchase price.

Is There Anything Else That You Want To Leave With The Home?

This is an important question to ask. Especially if there are specific things in the home that you have a strong interest in. Perhaps there is custom art work or a pool table that fits perfectly in the game room.

The seller may be eager to part with those items and include them in the sale of the home or sell them at a large discount. The open house is a great opportunity to learn more about a home before making the decision to buy it, so be sure you ask the right questions.

Spice Up Your Home This Holiday Season

Updating home decor used to be more than just a small task and a lot of work. Fear no more if you have a flair for home decoration projects you are in luck. Nowadays there are so many resources and outlets to use. There are no more excuses for not being to afford a home decor project.

DIY Is The New Black

There a billion home decor and DIY magazines and websites out there but the best way to receive fresh and unique ideas Pinterest has become the new Google in DIY projects. Not only does it provide inspiration and it's easy to browse and search projects. 

If you are looking to get involved in re-puporsing or recycling existing furniture and other home goods, not only can your costs stay low, but it's likely that you have the required project materials in your home already.

A Sampling Of Some Projects Include:

• Making bathrooms more private using stenciled window patterns
• Creating slip-covered, upholstered headboards
• Disguising less-than-perfect cabinet/cupboard doors with prints
• Transforming old mirrors and windows into functional message boards
• Decoupaging retro posters to revitalize old furniture
• Resuing old glass jars and creating light fixtures
• Old potato sacks can be wrapped around canvas to create tack boards
• Used tires can be repainted and used as flower pots 
• Raggety old shirts can be cut up and used as new pillow cases
• Painting an accent wall adds a new energy into any room

The projects range in difficulty from basic to advanced. Some require nothing more than scissors and glue; others require advanced skills in woodworking and sewing. One thing is for certain is that there is something for everyone. 

These are just a few ideas to add some spice in your home decor, the Holidays are around the corner and what a great way to get involved than doing a DIY project together. Which ones will you incorporate into the decor of your home? For more information about DIY projects and home ownership, feel free to contact your tursted real estate professional.