Posted by Michael Verani on Thu, Mar 08, 2012 @ 09:56 AM
Capital Economics expects the housing crisis to end this year, according to a report released Tuesday. One of the reasons: loosening credit.
The analytics firm notes the average credit score required to attain a mortgage loan is 700. While this is higher than scores required prior to the crisis, it is constant with requirements one year ago.
Additionally, a Fed Senior Loan Officer Survey found credit requirements in the fourth quarter were consistent with the past three quarters.
However, other market indicators point not just to a stabilization of mortgage lending standards, but also a loosening of credit availability.
Banks are now lending amounts up to 3.5 times borrower earnings. This is up from a low during the crisis of 3.2 times borrower earnings.
Banks are also loosening loan-to-value ratios (LTV), which Capital Economics denotes “the clearest sign yet of an improvement in mortgage credit conditions.”
In contrast to a low of 74 percent reached in mid-2010, banks are now lending at 82 percent LTV.
While credit conditions may have loosened slightly, some potential homebuyers are still struggling with credit requirements. In fact, Capital Economics points out that in November 8 percent of contract cancellations were the result of a potential buyer not qualifying for a loan.
Additionally, Capital Economics says “any improvement in credit conditions won’t be significant enough to generate actual house price gains,” and potential ramifications from the euro-zone pose a threat to future credit availability.
Posted by Chris Parnell on Mon, Feb 13, 2012 @ 09:50 AM
Live in a luxury apartment building in Massachusetts in the last four years? You may be due a refund.
A Boston Federal court judge recently ruled that a landlord may not charge an amenity fee and that anyone who has paid a fee in the last 4 years may have a claim for a refund.
If you were told that you needed to pay an amenity fee to use common amenities such as pools, gyms, lounges, etc. you may be due a refund. This all stems from a case involving two tenants in a Reading luxury building who had to pay an amenity fee. The judge ruled that forcing tenants to pay an amenity fee breaks Massachusetts housing law. The current law states that a landlord is only able to collect first month's rent, last month's rent, security deposit (up to one month's rent), and a lock and key fee.
If you are asked to pay an amenity fee at a luxury building, experts say to challenge it with the building. If you have paid an amenity fee in the last four years, your best bet it to try to recover it from the management company.
By Chris Parnell
If you are looking for a luxury property to rent or purchase,
call Chris Parnell at (617) 792-4554 or via email at chris@ascendrealtygroup.com.
Posted by Doug Miller on Sat, Feb 11, 2012 @ 10:10 AM
This morning I was reviewing the LINK Boston’s 2011 annual report (download here). When looking at the 10 year city wide price index (appreciation rate) something caught my eye:
That got me thinking….no one was scared to buy a condo in 2006, why are people scared now?
City wide housing statistics in Boston show steady increase in average selling price and appreciation rate since a low in Q1 of 2009. This should help offset some worries about the market, but what I find most compelling is the difference between mortgage payments in 2006 vs. mortgage payments today. What if I told you the average monthly mortgage payment on a $500,000 home in Boston is about $700.00 less than it was 5 years ago?
Well, it is. All you have to do is look at the difference in interest rates. Below are the rates on a 30 year fixed terms according to bizrate.com:
-
2006: ~6.75%
-
2012: ~ 4.0%
Let’s compare a $500,000 purchase in 2006 to now:
| |
Monthly Payment
|
|
Down payment:
|
10%
|
20%
|
|
2006 @ 6.75%:
|
$2,918.69
|
$2,594.39
|
|
2012 @ 4.0%:
|
$2,148.37
|
$ 1,909.66
|
|
Savings:
|
$770.32
|
$684.73
|
Over a 30 year term thats a savings of more that $250,000.00! Savings like that should ease any doubts you have about the real estate market in Boston.
A lot of national press is painting a grim picture of the real estate market. Fact is it’s just not true in Boston. If low interests rates aren’t compelling enough, historically high rent rates and low vacancy has made Boston one of the most expensive cities to rent in. According to a report released in December 2011 by the National Association of Realtors, the average rent in Boston is 5% higher than the Landlord’s mortgage. Look for my blog on high rental rates later this week.
If you are considering a puchase in or around Boston, contact Doug Miller (617-276-4460, doug@ascendrealtygroup.com) at Ascend Realty Group today!
Posted by Doug Miller on Thu, Dec 29, 2011 @ 10:52 AM
 |
Looking for off campus housing? Ascend Realty Group is here to make your search as easy and efficient as possible. Ascend Realty Group is expecting a huge waive of September 1st availability by Mid January. We will be getting apartments around many local Colleges and Universities such as Northeastern University, Wentworth Institute, Boston University, Suffolk University, Emerson College, Mass College of Art. Berklee College of Music, MIT, Harvard University and more.
The best apartments rent within days of coming on the market. Beat the rush, tell us what you are looking for and we will contact you as soon as your dream apartment comes available. This way you will be one of the first people to see it, putting you in a much better position to secure it. Our knowledgeable and friendly agents are ready to make your search as easy as possible.
Helpful Links:
|
|
|
|
Posted by Chris Parnell on Thu, Dec 22, 2011 @ 11:42 AM
Coming in at number 4 - the Suburbs of Boston makes Trulia's Top 5 Real Estate markets to watch in 2012.
"#4 - Suburbs of Boston, MA. This Cambridge-Newton-Framingham market just west of Boston has a strong jobs engine and, like most of New England, missed the worst of the housing bubble. Honorable mention goes to Worcester, one step further west, and Boston’s northern suburbs around Peabody. These areas all benefit from offering more bang for the buck than crowded, expensive Boston: this is because most people looking to move are searching in more suburban or smaller areas than where they live now. (Trulia - 12/20/11) "
There is no better time to invest in Boston's (and Boston's suburb) Real Estate Market. Happy New Year!
Click here to read the full article
Posted by Chris Parnell on Tue, Jul 26, 2011 @ 11:18 AM
Even though May home prices in 20 Major cities dipped 4.5% since last May, Boston was the winner for the month of May.
"Sixteen metro areas recorded non-seasonally adjusted month-over-month gains in May. The biggest winner was Boston, where prices jumped 2.7%, followed by Minneapolis at 2.6% and Washington at 2.4%. The nation's capital was the only place to record a gain over the past 12 months, up 1.3%.
Three cities declined month-over-month, led by Detroit with a 2.8% drop, Las Vegas, with a 0.9% decline, and Tampa, where prices fell 0.6%. The biggest loser over the past 12 months was Minneapolis, where prices fell 11.7%." (Source CNN)
What does this mean for you? It's a great time to buy and invest in Boston Real Estate. Rentals in Back Bay, Beacon Hill, North End, South End, and Downtown Boston are at a current all-time high while vacancy rates an all time low. Whether looking to buy as an investment or as your primary home, we would be more than happy to discuss your options with you.
Posted by Doug Miller on Mon, Jul 25, 2011 @ 03:19 PM
Ascend Realty Group is proud to Exclusively offer this sunny 1 bed with private roof deck!
This top floor 1 bed features a large renovated kitchen, lots of natural light through many windows and skylights, hardwood floors, decorative fireplace, exposed brick, and best of all a private roof deck!!! Heat and hot water included in rent. Avaialble September 1st for $2,500 / month.
Click here for more information!
Posted by Doug Miller on Mon, Jul 25, 2011 @ 03:13 PM
Ascend Realty Group is proud of exclusively offer this fabulous 1 bed on Pembroke street in the South End.
Wonderful floor through condo quality 1 bed features hardwood floors throughout, floor to ceiling windows, large living room, dedicated dinning/office area, new bathroom, updated kitchen and private deck! Heat and hot water included in rent.
Available September 1st for $2,700.00
Click here for more information!
Posted by Doug Miller on Tue, Jun 14, 2011 @ 01:29 PM
Location, location, location! Sun filled South End penthouse 1 bed with roof deck on tree-lined W. Canton street. Adjacent to Copley Place. Steps to Back Bay and MBTA. Unit features entertainment-sized living/dining with custom bar and bay window. Kitchen with white cabinetry and stainless steel appliances. King-size master with Hancock views and custom-fitted double closets. Full bath off hall with custom tile wainscoting. In unit laundry. Private roof deck has million dollar views. Rental garage parking available.
Owner is seeking only well qualified applicants. Must have excellent credit. References required. Absolutely no pets, smokers or undergraduate students. Tenant to pay full brokers fee. First/Last/Security due at lease signing. There is a non-refundable $15 application fee.
This listing is exclusive to Ascend Realty Group.
Posted by Doug Miller on Thu, May 26, 2011 @ 09:34 AM
According to a recent study posted on Boston.com, the rising price of gas is making home buyers think about living closer to work. I think its also because people are realizing that they don't need all the space they currently have, especially empty nesters.
Home sales around the 495 corridor are down significantly, especially in contrast to homes sales around the 128 corridor and those inside Boston city limits.
According to Boston.com of a dozen communities along the 495 corridor all but ONE saw declines less than 10%. Five of these communities saw declines over 20%. In contrast, only 4 of 8 communities along the 128 corridor saw double digit declines.
Why is this happening? I think its due to two things: Rising gas prices and peoples realization that they don't need a TON of space.
Lets face it, most people don't NEED all that space they currently live in. While they may be living within their means, its beyond their need. While space is certainly desirable (trust me, I'm in the process of looking for more myself), you have to weigh its benefit against the added cost of a long commute. I think many are finding they'd sacrifice space to save money on gas.
With gas prices over $4/gallon across the state the price of commuting is thinning wallets from Littleton to Plainville. Package this with the fact that most of your commute is spent in gas guzzling bumper to bumper traffic it makes financial sense for many to move closer to work, even if it involves downsizing.
If you are considering moving closer to work, you'll be happy to hear that according to MLS (the largest listing service in Massachusetts), both Norfolk and Suffolk counties are still considered "buyers markets."
I write this article hoping most of you work in or close to Boston. If you are thinking about downsizing please reach out to us for help! Even if its just a consideration at this point, feel free to contact us to discuss your options. We are happy to just talk.
Thinking of buying in Boston? Click here to search homes for sale!
Thinking of renting in Boston? Click here to search our rentals!