(The following is specific to one area of Greater Cleveland.  If you are a home buyer or home seller, this detail is extremely important to you.  Please do not make financial decisions without knowing the facts about your community)

44022 CHAGRIN FALLS 44023

INVENTORY REPORT FOR JUNE 12, 2009

Price Range                  Active&Contingent     Pending& Sold        Current Inventory

$150,000 – $300,000            163/13                     17/53                      15  months

$300,001 – $500,000          163/10                    14/40                     19 months      

                                                                                                                                                                                                                            $500,001 +                            179/6                       10/13                      48  months           

…………….TOTALS……..         505/29             41/106               21.8months

                        Total Homes for Sale                 534

                        Average Sales/Month                24.5 

                        Months of Inventory                   21.8

                        Pure and simple, there are a lot of homes for sale in CHAGRIN FALLS.  The same is likely to be true for Solon, Twinsburg, Aurora, and Russell.  If you need to know for your specific area, even for developments like Laurel Springs, Barrington, and Canyon Lakes, give us a call.  The above numbers may be eye openers for many of you.  If you are currently selling your home, you are probably very well aware of them.  Most importantly, ALL BUYERS AND SELLERS should be aware of them for your street, neighborhood, and community.  The numbers can change dramatically by location, even within your local community.

If you are looking to purchase a home in the next few months, please give us a call.  We show all properties listed by any real estate broker and most for sale by owner homes.  Most importantly, our purchase analysis for buyers includes the street, neighborhood, and the local community facts.

If your interest is in homes priced above $500,000, the above chart indicates an inventory of 4 years.  If you are ready to negotiate, there are excellent values available in every price range.   

 For families and individuals involved in a relocation transfer, you’re timing couldn’t be any better.  The Greater Cleveland Community has so much to offer and is one of the most affordable major metropolitan areas in the country.

Our website contains information on mortgage rates, lenders, local community groups, details about us and our services, and helpful information for living or moving to the Chagrin Valley.                          

What a two weeks it has been! We have basically seen 30 year mortgage rates jump 1% in a short two week period. In my world that is a tough two weeks! There are many opinions as to why rates have increased…..

• the recent economic data has shown some small signs of improvement
• concern about inflation due to the substantial amount of debt the U.S government has issued / continues to issue
• and lastly, the big concern which is not heavily publicized….foreign investment or the lack there of.

Did you realize that foreign investors, namely China and Japan purchase up to 40% of our debt (U.S. Treasuries). One of the major fears the past few weeks is that foreign investors stop buying our debt. As of yesterday we are starting to see some stabilization in the interest rate market which is helping rates ease back down. Current 30 year rates are averaging 5.625% and 15 year 5.125%. I am willing to go out on a limb and say we should see an additional .50% improvement in the coming weeks/months.

For my readers who are realtors you may want to check with the lenders on your deals to confirm the rate lock. If closing dates are missed (which I have heard some buzz it is happening more often) it is possible locks will expire AND rates will be adjusted up to current levels. Don’t get me wrong, current levels are still historically outstanding just not the 4.50 – 4.875% that many may have locked into.

Week Ahead

The most significant economic data next week will be the monthly inflation reports. The Producer Price Index (PPI) focuses on the increase in prices of “intermediate” goods used by companies to produce finished products and will come out on Tuesday. The Consumer Price Index (CPI), the most closely watched monthly inflation report, will come out on Wednesday. CPI looks at the price change for those finished goods which are sold to consumers. In addition, Industrial Production and Housing Starts will be released on Tuesday. The Empire State and Philadelphia Fed regional manufacturing indexes will round out the schedule.

Weekly Mortgage Update Courtesy Of: 

Darrin L. Kresevic, Sr. V.P., Loan Officer, LPO Manager

 First Place Bank          440 349 7550       

6150 Enterprise Parkway – Solon Ohio 44139

Assistant – Janice Zabish Direct – 440 349 7562

 Lending seventeen years of Mortgage Banking experience

To reach Darrin and many other outstanding business people in our community,

please look at our website:          business and services section

What is it?   

Who qualifies?

How do we get it?

Tax Credit Provides Outstanding Opportunity for Home Buyers

A tax credit of up to $8,000 is available for qualified first-time home buyers purchasing a principal residence on or after January 1, 2009 and before December 1, 2009.

Learn how you can take advantage of the tax credit to buy the home of your dreams, YOU MAY QUALIFY EVEN IF YOU’VE OWNED A HOME BEFORE!

More questions?                 GO DIRECTLY TO THE SOURCE:

http://www.federalhousingtaxcredit.com/2009/home.html

READY TO SEARCH FOR YOUR DREAM HOME?  CONTACT  US TODAY!

Jim & Joan Norbuta

RE/MAX Traditions

YourClevelandRealtors.com

440.708.0561