Pace Realty Group's Blog by Pace Realty Group

Raleigh Housing Market Weathering The Downturn Favorably

This article is by G. Scott Thomas This sentence — or one like it — can be found in almost any prospectus: "Past performance is no guarantee of future results." But that doesn't mean history is a worthless indicator. Consider, for example, the nation's metropolitan areas. The link between their past and future performances is often a strong one. The 10 fastest-growing metros in the prosperous 1990s have continued expanding in the present decade, despite the erratic nature of the economy. All 10 of these hot markets registered population gains of at least 13 percent between 2000 and 2007, led by Las Vegas' seven-year increase of 33.5 percent. The 10 biggest laggards of the '90s, on the other hand, have continued to struggle. Seven of these cold areas also lost population from 2000 to 2007, with Youngstown, Ohio, suffering the worst decline, 5.4 percent. Recent growth trends offer an advance look at the markets best positioned to weather the current economic ..(read more)

Raleigh is Ready for the Housing Rebound!

North Carolina’s capital seems to have gotten a free pass where the housing slump is concerned. Prices have been buoyed by job growth in the Research Triangle, home to dozens of tech firms. Total sales in the first quarter of this year were the fifth highest on record. In some cities, suburbanites stung by gas prices are moving downtown in favor of walkable neighborhoods. But not in Raleigh. “People move here to get away from that type of living,” says local market analyst Stacey Anfindsen, only partly in jest. Although downtown Raleigh has added hundreds of condos and lofts, the real growth has come in suburbs like Cary, Morrisville and Apex, all on the western side of Raleigh, where home prices have risen steadily. The subdivision of Preston, where prices are up 3.5 percent over last year, reigns as the area’s übersuburb. The northwest Cary neighborhood was bankrolled in the 1990s by Jim Goodnight, founder of software giant SAS, and supersizes the ..(read more)

Current Market Condition Information - RTP

This information comes from Stacey P. Anfindsen of the Birch Appraisal Group of Cary. The information contained in this update presents data and analysis of the residential real estate market within Wake County. What is happening with inventory and list prices? Second quarter inventory increased 25% compared to 2Q/07 and the average list price increased 1% to just over $368,500. What is going on with closings and the average sales price? The number of closings in June decreased 35% compared to 6/07 closings. The average sales price of all housing increased 1% during the month of June. The average price of a re-sale increased 1.2%. How long are houses taking to sell? The average days on market for closed sales in Wake County during the first six months of 2008 was 85 days. This was an increase from the 70 average seen during the first six months of 2007. Are house prices appreciating? Our current rate of house appreciation is significantly superior to the average rate seen ..(read more)

Do Granite Countertops Release Dangerous Radiation?

This article by Brian Clark Howard presents some interesting points about the risks and dangers of living in a home with granite countertops. By Brian Clark Howard Granite countertops are red-hot — and not just because of their soaring popularity and high resale value. It turns out that some granite quarried for furnishings brings with it relatively high levels of uranium, which is not only radioactive but releases radon gas as it decays. As the New York Times reports, sales of granite countertops have exploded tenfold in the last decade, as has the number of different styles now available. At the same time, a debate has been simmering about how safe the attractive surfaces actually are. There have been a number of reports of people observing above-background levels of radiation coming from their kitchens, and the EPA has received a growing number of complaints, according to the Times. Officials have noted that some exotic and striated granite varieties from Brazil and ..(read more)

Buying Vacant Lots & Building a Home

Building a Home on Your Lot - Tips From a Custom Home Builder Buying a Lot – What Should I Look For? Land Cost Q: How much should a lot or homesite cost? A: It depends on your total budget. How much do you want your total mortgage to be when the construction is complete? The cost of land generally represents 17-25% of the total value of your home. Suppose your total budget is $300,000. Let's look at a typical breakdown: Land - $60,000 Real Estate Commissions - $18,000 Carrying Costs on Construction Loan - $10,000 Total Construction Costs - $212,000 Total Cost of Home: $300,000 In this example, land cost is 20% of the full cost of the home. Remember, construction costs must include permits and fees, clearing and preparing the land, and all steps of construction from laying the foundation to laying carpet and paint. Most experts recommend that land costs represent 17-20% of the total value of the home, ..(read more)

Raleigh: A Great Place to Live

This article is courtesy of the TBJ and Copywrite by American City Business Journals Inc. "Kiplinger's Personal Finance magazine has listed Raleigh as the country's second best place to live in 2008, behind only Houston. The city is "a work in progress," Kiplinger's says in its July issue, which will hit newsstands on June 10 and is currently online. It's long been a good place to work, but big-city cultural amenities have been lacking. That's changing, Kiplinger's says. Raleigh is increasingly becoming a more exciting place to live, and the excitement of living there is catching up with the benefits provided by the local economy. In particular, Kiplinger's cites the renaissance of downtown as the reason why 2008 marks "the turning point" for the Capital City. The magazine gives as examples the new Raleigh Convention Center and the downtown RBC Plaza, which are both set to open this year. Also cited are many of the factors frequently cited when a ..(read more)

Raleigh Housing Market Still Holding Strong

North Carolina is 8th in the country in appreciation, running at 4.03% for the last year Only 6 states have experienced depreciation over 2% NC has two cities in the top 20 for appreciation The Raleigh-Cary area is ranked 30th out of 292 with: 4.92% appreciation in the last year 0.76% appreciation in the 1st qtr of 2008 26.66% appreciation in the last five years Now is a GREAT time to buy real estate in the Raleigh market.

Triangle Housing Market: 2007 Review

In spite of a steady stream of negative national real estate news, our local residential market held its own during 2007. The following are positive statements about what happened during the year. 2007 was the third best market in Triangle MLS history based on closed sales. 2007 was the third best market in Wake County History based upon closed sales. Area house appreciation rates are above the national average. Average closed prices are increasing. Job growth is still positive in the Triangle. Interest rates are near historic lows. North Carolina was again one of the top inbound destinations based upon the United Van Lines annual moving survey. So despite national trends now is till a great time to buy and sell real estate in the Triangle! Information courtesy of Stacy P. Anfindsen of the Triangle Business Journal.

Raleigh Continues to Grow!

This report from the North Carolina Home Builders Association shows that Raleigh is still a hot area and continuing to grow. "The U.S. Census Bureau reports that eight counties in North Carolina are among the top 100 fastest growing counties in the nation. For counties with populations of 10,000 or more experiencing the highest rate of population growth between 1 July 2006 and 1 July 2007, Union County was 7th highest in the country, Brunswick County was 17th, Cabarrus County was 29th, Wake County was 33rd, Johnston County was 58th, Pender County was 71st, Mecklenburg County was 82nd and Iredell County was 90th. As well, two North Carolina counties were in the top 10 counties nationwide with the largest numeric population increase over that same period: Wake County was 7th, and Mecklenburg County was 10th. Watch for the anti-growth special interest groups (dba, environmental special interest groups, dba environmental public interest groups) use this as evidence that we need ..(read more)

The Feds Role in Mortgage Rates

Blog by John Lynch of PRG Funding If I had a dollar for every person that said to me, “the Federal Reserve cut mortgage rates why are they higher than last month.” Contrary to popular myth, the Federal Reserve doesn't control mortgage rates. In fact, their most well-known strategic tool -- the Federal Funds rate -- is the overnight interest rate which banks charge each other when a bank needs to borrow money to meet end- of-day reserve requirements. Those are the rules that say that a bank must have so much cash on hand when the books close at the end of the day, and those funds can be borrowed from another bank at this interest rate. You should know that the Fed merely "suggests" what that rate should be, which is why it's called a "target" rate; the actual rate is negotiated between the borrower bank and the lender bank. A good way to keep a handle on the Fed is to remember that the Fed Funds rate is the shortest of ..(read more)

Mortgage 101. Capital Markets

This blog is provided by John Lynch of PRG Funding. Class is in session! Mortgage 101…this isn’t pass fail either. What in the world is going on with mortgage rates? How does this effect the Raleigh Real Estate Market? Why are rates so up and down? It is The President? The Economy? Is it Inflation? The Subprime melt down? Well the answer could be yes to all? But the truth is that rates are stimulated by a number of reasons, and you are one of those reasons. Mortgages come from many sources, including banks and brokerages, but most come from investors through what is communally known as the "capital markets." These markets are where investors interested in purchasing bonds come to buy these items. In order to attract investors, the bond sells people must compete and they do this by offering different products with different risks and return over given periods of time. These bonds compete ..(read more)

New Google Directory Feature for Cell Phones

There is an exciting new service from Google that allows you to find the locations and phone numbers for any service, restaurant or facility anywhere, anytime. This feature available by cell phone, from any city in the US, allows users to text an inquiry and the zip code to 46645 and in moments you will receive a text back with the requested information. For example one could text “Pizza 27608” to 46645 and within seconds, multiple pizza restaurant locations and phone numbers will be text back to your cell phone. Or if you need an address for a specific location, “Pace Realty Group 27608” you can get that too without paying for 411. Simply text the number 46645, enter your requested information, one space, then the zip code. The information will be text back to you in a series, with the message asking you to reply with NEXT for more results. Google does not charge a fee for this service however standard text messaging rates apply. Another ..(read more)

Fed Chief Signals Another Rate Cut

Fed Chairman Ben Bernanke pledged to cut a key interest rate to help the economy, which many fear is on the verge of a recession — or possibly has already toppled into one. Click the link below for the full story. http://news.yahoo.com/s/ap/20080227/ap_on_bi_ge/bernanke_congress

Introducing PRG Funding!

We at Pace Realty Group would like to introduce you to the latest arm of our real estate family....PRG Funding. With the national attention focused on our industry, we decided to branch out in order to make sure that our clients are educated and up to date on the newest standards of the lending industry. PRG Funding shares our objectives and offers not only convenience, but also competitive programs. "Independent research shows that home buyers who choose realty-based one-stop shopping are usually glad they did."

Rates are currently at an all time low, so whether you are purchasing or refinancing your ARM product, let us give you the options to make the right decision for your family. John Lynch, our new mortgage specialist, has the tools and experience to make it happen. To take advantage of this no obligation consulatation, call John direct at 919-740-5924.

Important Information Affecting Your Property Rights

On January 8th the Raleigh City Council and the Planning Commission are meeting to consider a Residential Infill Redevelopment plan. This would limit a property to a maximum increase of 25% in the building footprint of an original teardown house. This means that a 1000 square foot house built in 1940 could only be rebuilt as a 1250 square foot structure, even if sits on a half acre lot. They are also going to discuss speeding up the process for overlay districts with the City Council initiating this course of action. Not only will this affect property values, but it will also greatly limit what you are allowed to do with your own property. Currently residents request this measure and must have 50% approval of all affected parties. For more information please visit the link below. If you oppose this governmental control please attend the City Council meeting on January 8th at 1:00pm at 222 W. Hargett Street, Second Floor. Residential Infill Redevelopment ..(read more)