Feature Property and Home Prices on the Rise.

This Weeks Feature Property:
This 34.64 acre parcel has trees, hills, a road that allows you to drive through the property all the way back to Hounds Creek. It in conveniently located between the towns of Kenbridge and Victoria. Nice rural setting with great views. See more pictures by going to my home page of my blog and click on the United Country tab.


Home Prices Rise Across U.S.
Home prices in major U.S. cities registered the first monthly gain in nearly three years, according to a new report that provides fresh evidence that the severe U.S. housing downturn could be easing.
Standard and Poor's Case-Shiller index, which tracts home prices in 20 metropolitan areas, rose 0.5% for the three month period ending in May, compared with the three months ending in April. It marked the index's first increase after 34 straight months of decline and came after a variety of housing indicators has shown glimmers of hope for the past several months.
Home prices remain down about 17% from a year earlier according to the index, but most Wall Street economist who discussed the survey focused on the April to May rise, saying it represents a significant change in direction.
The results were also consistent with other recent housing data, these economist said. May's uptick came in part as home prices in some areas fell enough for investors and first time buyers to begin competing for bargains, helping to ease the backlog of unsold homes.
Other likely sales spurs included mortgage rates that fell to 50-year lows, an $8,000 federal tax credit for first time home-buyers and the ability of buyers to secure mortgages from FHA with as little as 3.5% down.
I will continue to follow the market and keep you posted and again, thanks for reading my blog.

Renting creates investment opportunities.

THE NEW AMERICAN DREAM: RENTING

In a recent WSJ (August 15, 2009) article by Thomas J. Sugrue he states, " It's time to accept that home ownership is not a realistic goal for many people and to curtail the enormous government programs fueling this ambition". The extensive report reviews the history of the housing industry, its recent boom and bust and the fact that renting will become more fashionable not only as a last resort, but also for the astute investor looking for investments with more favorable returns as well as liquidity.

Many economist, like the Warton School's Joseph Gyourko, are beginning to make the case that public policies should encourage renting, or at least put it on a level playing field with home ownership. A June 2009 survey commissioned by the National Foundation for Credit Counseling, found a deep-seated pessimism about home ownership, suggesting that even if renting doesn't yet have cachet, it's the only choice left for those who have been burned by the housing market.

My purpose in bring this to my reader's attention is the investment opportunity for the individual looking to add rental property as a part of their investment portfolio. There are lots of opportunities out their for single and multi-family properties and in a variety of price ranges. My feature property this week is a bargain at under $40,000 with a tenant already in place.

I am aware of several investment opportunities so if you have some interest, email me or give me a call and I will be happy to discuss the benefits and pitfalls of being a landlord.

Feature Property For The Week:

This beautiful farm located in South Brunswick County near Lake Gaston offers the finest in country living. It is being offered in 3 parcels. The Estate House and 23 acres and 2 parcels 62 and 103 acres each. You can purchase the house, the land, or the whole farm. In addition, there are ponds and additional out buildings on the property. For more information, click onto my United Country website or send me an email and I will forward you the information. There is nothing else of this value and attributes being offered in the southside. It is a must see property.


Uptrend Continues in Pending Home Sales

Pending home sales are up for the fifth consecutive month. NAR’s forward-
looking Pending Home Sales Index for June indicates signed
contracts rose 3.6 percent to an index level of 94.6 from an upwardly
revised reading of 91.3 in May. The last time there were five consecutive
monthly gains was in July 2003. “Historically low mortgage interest
rates, affordable home prices, and large selection are encouraging
buyers who’ve been on the sidelines,” says Lawrence Yun, NAR chief
economist. “Activity has been consistently much stronger for lower
priced homes.” Yun says households thinking about buying should act
soon to take advantage of the $8,000 tax credit for first-time buyers,
because they must close on the sale by November 30, which is when the
credit expires.

FEATURE PROPERTY

This week's feature property is a new listing located about 3 miles out of Kenbridge on Rt. 40 going to Blackstone. A 3 bedroom 2 bath ranch in move-in condition. The family room has a nice fire place to enjoy on those cold winter days and a large deck for the outdoor grilling. Go to my U/C website to catch more details. The property is priced to sell.

REVERSE MORTGAGES

The TV ads have been loaded with commercials about Reverse Mortgages. I am sure you have seen them with Robert Wagner as their spokes person. If you or a family member or someone you know has expressed some interest in these, BE WARY!!

Myself and an associate Heather Braim Barbor,M.S.,MAI have done extensive research on this lending instrument and it has serious pitfalls. It sucks out the equity in a home and in most cases, leaves the estate with a worthless asset. In addition, it is very expensive to get in to. Don't be surprised if you see the Fed's force this product to be withdrawn from the market in the future.

Feel free to contact me if you would like more details or if you would like to view my research.