This Month in Real Estate, September 2001, is brought to you by Paul W. Drury, Real Estate Broker with Keller Williams Realty Greater Cleveland West. It is a collection of national news, information, and statistics as well as information specific to the North Central Ohio Region between Lakewood and Sandusky and south to the Lodi / Ashland Area.
1. Commentary 2
Released: The Numbers That Drive Real Estate 3
September 2011 Topics for Home Buyers, Sellers, and Owners 8
Brought to you by:
KW Research
2. Commentary
The U.S. housing market has shown notable stability in 2011 compared to the previous two
years when the tax credit made a clear impact. Although recent economic indicators have
been less than expected, including a downward revision of GDP and consumer confidence
p , g
that mirrors early 2009, owning a home is still valued by the majority of Americans. 72% of
renters say owning is a top priority for their future, up from 68% a year earlier.
However, most aspiring homeowners are held back by two main factors: funds for a down
payment (82%) and confidence in their job security (80%). Federal Reserve Chair Ben
Bernanke emphasized the importance of a healthy housing market to a robust recovery. He
stressed the adverse effects of tighter credit conditions for borrowers, urging Congress to
borrowers
take tax and policy measures to help stabilize the market. He also noted the significance of
addressing long-term fiscal policies including debt levels, upcoming expenses to support an
aging population, and taxes.
Buyers continue to benefit from historically favorable buying conditions, and sellers are
encouraged by increased market stability. Although the Fed made a commitment to keep its
interest rate at the current level until mid-2013, mortgage rates can, and often do, still
fluctuate. In the midst of these reports, it is important to keep in mind the path to recovery
was always expected to be a long and uneven road. As we progress toward a stronger
recovery,
recovery economic improvement typically spurs rising interest rates in order to keep
inflation in line.
Sources: National Association of Realtors, Bloomberg, The Wall Street Journal KW Research 2
3. Home Sales 4
The Numbers That Home Price 5
Drive Real Estate Supply of Inventory
Mortgage Rates
g g
6
7
Brought to you by:
KW Research
4. Home Sales
In Millions
Home sales in July were up by 21% from the same month last year when the expiration of the
tax credit resulted in a significant drop in sales. However, they were down 3.5% compared to
June. This could be due in part to NAR’s report that 16% of members experienced a contract
failure from issues in underwriting and appraisals during July. NAR President Ron Phipps
states, “For both mortgage credit and home appraisals, there’s been a parallel pendulum swing
from very loose standards which led to the housing boom to unnecessarily restrictive practices
standards, boom,
as an overreaction to the housing correction.”
Original Tax Credit
Scheduled to
Expire
Expanded
Tax C dit
T Credit
Expired
Latest Data Release: August 18, 2011
Source: National Association of Realtors
KW Research 4
5. Home Price
In Thousands
Home prices dipped by less than 1% in July with median home price at $174,000. This is 4.5%
below the year-ago level which followed a strong spring season of sales driven by the tax
credit. Median home prices remain close to 2002–2003 levels. Distressed sales continue to
count for almost 1 in 3 homes sold. The combination of low prices and record-breaking low
interest rates means that home affordability is extremely favorable.
Latest Data Release: August 18, 2011
Source: National Association of Realtors
KW Research 5
6. Supply of Inventory
In Months
The supply of homes measured in months on the market at their current pace of sales
was up slightly during July compared to June This is in keeping with historical trends
June. trends,
which show that inventory levels typically rise during the summer months. The month’s
supply remained 25% below the peak of 12.5 months in July 2010 and 13% above April
of 2010 when the home buyer tax credit was in full swing.
Tax
Credit
Expired
Latest Data Release: August 18, 2011
Source: National Association of Realtors
KW Research 6
7. Mortgage Rates
30 Year
30-Year Fixed
Mortgage rates hit a new record low in August of 4.15%, primarily due to uncertainty in the
global and domestic economies. While these incredible rates represent a significant savings
for home buyers, experts note that for the benefits to be fully realized, lending conditions
must loosen to enable more buyers to take advantage of them. As overall economic activity
gets back on track, rates will likely rise to keep inflation in check. In other words, the window
of opportunity for buyers to lock in these historically l
f t it f b t l k i th hi t i ll low i tinterest rates will not l t f
t t ill t last forever.
Type Rate
30-Year Fixed 4.22%
15-Year Fixed
5 ea ed 3 39%
3.39%
5/1 ARM 2.96%
Historical Average 8.90%
Source: Freddie Mac; September 1, 2011 KW Research 7
8. Topics for Home Buyers, Sellers,
p y , ,
and Owners
Brought to you by:
KW Research
9. Home Updates
As the weather gets cooler, some homeowners could be considering undertaking home
renovations or updates before the holiday season. Here are a few findings about updates
and home sales:
•Homeowners typically spend considerably more on updates to their home when planning
to live in and enjoy it with an average of nearly $9 000
it, $9,000.
•In contrast, they only spend an average of $3,400 when making updates in preparation
to sell.
•The most common updates sellers performed before listing were paint, flooring, and light
fixtures.
•Although the majority of buyers were least likely to compromise on the location, 16%
were least likely to compromise on updates.
•75% of homes sold were either f
% f fairly updated or very updated.
•Sellers began repairing their home 1 to 8 weeks in advance of listing.
Source: KW Research KW Research 9
19. Your Local Market
Although it i i
Alth h is important t stay i f
t t to t informed about what i going on i th
d b t h t is i in the
national economy and housing market, many different factors impact the
your real estate market.
Talk to Paul W. Drury for assistance interpreting the conditions in the North
Central Ohio Regional market. The following graphs are general and cover
some of the broader market area he serves. For detailed information about
your own neighborhood, call him or send him an email today.
KW associates are equipped with the knowledge and information to help
you navigate the home-buying or selling process in this challenging
market.
k t
KW Research 19
26. Investors & Shoppers – Foreclosure Watch
pp
NORTH CENTRAL OHIO REAL ESTATE OPPORTUNITIES!
Investors
• Are you shopping for the deal of a century for your new home?
• Are you in the market to buy a home at a steep discount and try and fix it up and
“flip it”?
• AAre you looking for a home for someone else?
l ki f h f l ?
• Find your next opportunity in our updated foreclosed homes list
(http://bit.ly/mYYbIq)
• The link is also available on http://www communityohio com/realestate php
The link is also available on http://www.communityohio.com/realestate.php
Shoppers
• Want to know what is happening in your marketplace?
Want to know what is happening in your marketplace?
• Looking to watch a particular city or neighborhood? Check out our Foreclosure
Map (http://bit.ly/qc7pZv).
• Send Paul an email today and request free market and location updates at
paul@druryrealty.com
l@d l
• Call Paul directly at 440‐385‐5650.
• No cost. No commitments. No obligations. No fuss. No drama. No kidding.
N t N it t N bli ti N f N d N kiddi
KW Research 26
27. About Keller Williams Realty
Founded in 1983, Keller Williams Realty is an international real estate company
with more than 80,000 associates and 686 offices across th U it d St t and
ith th 80 000 i t d ffi the United States d
Canada. The company began franchising in 1991 and, after years of phenomenal
growth and success, became the second-largest U.S. residential real estate firm
in 2010.
Keller Williams Realty has succeeded by treating its associates as partners and
sharing its knowledge, p
g g policy control, and company p
y p y profits on a systemwide basis.
y
By focusing on helping associates realize their fullest potential, Keller Williams
Realty is known as an industry leader for its family culture, unmatched education,
profit sharing
profit-sharing business model, phenomenal coaching programs and technology
model programs,
offerings.
www.kw.com
KW Research 27
28. About Paul W. Drury
y
• Originally licensed as an agent in Ohio in 1986, Paul began with
Lehman Johnson Real Estate in Elyria. He acquired his Real Estate
Lehman Johnson Real Estate in Elyria He acquired his Real Estate
Brokerage License in 1992 and became an Associate broker with West
Shore Realty. In 1995 he moved his brokerage license to Continental
Realty Investment where he began to focus on additional work with
Realty Investment where he began to focus on additional work with
commercial and investment real estate. During these years he also
performed professional appraisals with The Appraisal House.
• In 2001 he began Drury Realty Consulting and worked as an
independent Real Estate Consultant and worked on his own until 2009
when he joined Keller Williams Realty, Greater Cleveland West. Being
when he joined Keller Williams Realty Greater Cleveland West “Being
a part of the Keller family provides me with tools and serves
unachievable strictly on my own, provides me with the tools and
networking of a huge national network, while still enabling me to work,
networking of a huge national network while still enabling me to work
act, and function as the manager of my own business. It’s the best of
both worlds.” – Paul
• Paul's Home Page ‐ http://www.druryrealty.com
KW Research 28
29. What we have to offer sellers
• Sellers now have access to tools unimaginable just a few
years earlier. Keller Williams Realty doesn t spend valuable
years earlier Keller Williams Realty doesn’t spend valuable
resources promoting its own name. Instead it puts
resources into the best tools and resources for education
and training, providing the highest quality real estate
professionals into local communities.
• Properties put up for sale by Paul are also listed in KWLS a
Properties put up for sale by Paul are also listed in KWLS, a
national MLS, implemented by Keller Williams, now the
2nd largest company in the US; local MLS; NEOHREX
(Northern Ohio Real Estate Exchange); and on national
sites such as Trulia, Zillow, CyberHomes, and others.
• Free Real Estate Informational Webinars available by
Free Real Estate Informational Webinars available by
logging onto this link… http://budurl.com/druryvideos
KW Research 29
30. What we have to offer sellers ( Cont’d)
• Other tools brought to bear by Paul include
branding using unique web addresses with a
b di i i b dd ith
virtual tour that can be emailed or the link can
posted anywhere, to include Craig s List and Back
posted anywhere to include Craig’s List and Back
Page.
– http://www.listingpromoterohio.com/MyListings.aspx?pid=23771
p gp y g p p
– http://www.communityohio.com/realestate.php
• Not Planning to sell in the near future?
– Would you still like to monitor what is happening in
your neighborhood or area?
your neighborhood or area?
– Contact Paul now for a free periodic market update. No
cost. No obligation.
cost. No obligation.
KW Research 30
31. Properties currently for sale
ope t es cu e t y o sa e
• Premium residential properties currently for sale:
– 13951 Di
13951 Diagonal Road in Lagrange – http://13951DiagonalRd.com
lR di L
– 19593 Whitehead Road in Wellington ‐ http://19593whiteheadrd.com/
– See http://www.communityohio.com/realestate.php for a complete
• Would you like to see one of these homes? Click on the link for a
visual tour.
http://www.listingpromoterohio.com/MyListings.aspx?pid=23771
• Check out our YouTube Channel at http://www.youtube.com/user/Mrpdrury
• Would you like your home or property promoted like these?
– Contact Paul for a free, no obligation, consultation today at 440‐
, g , y
385‐5650.
KW Research 31
32. What we have to offer buyers
y
• Buyers of Real Estate also have access to tools
unimaginable just a few years before. Since Keller Williams
unimaginable just a few years before Since Keller Williams
doesn’t spend its money promoting its own name, it puts
its resources into providing the best tools and resources to
its systems, education, and training, thus providing the
most professional real estate team members back into the
communities.
• Free Real Estate Informational Webinars available by y
logging onto this link… http://budurl.com/druryvideos
• If you wish to conduct your own Multiple Listing Home
Searches, you may do so using this link http://bit.ly/eWXimO.
KW Research 32
33. What we have to offer buyers (Cont’d)
• Buyers can access Paul’s website www.drury.kwrealty.com
and conduct their own searches as well as create their own
and conduct their own searches as well as create their own
search profiles for searching for properties anywhere in
Ohio. If relocating out of Ohio, Keller Williams offers one of
the finest relocation referral networks in the nation.
the finest relocation referral networks in the nation
Greater Cleveland West now sells more properties than any
other office in the entire regional MLS.
• Paul’s website is easy to manage and he can set up search
profiles for you so you get notified at about 8:30 am of any
new properties that come available. You can also see
new properties that come available You can also see
profiles set up on national websites such as Trulia
providing for greater access to search tools.
• Everything we have we also post with scores of discounts
p
and product and service links on
www.communityohio.com
KW Research 33
34. Follow Paul’s Real Estate updates online…
p
Home Web Page On Twitter
• www.druryrealty.com • ‐ www.twitter.com/PaulWDrury
On Zillow On FaceBook
On FaceBook
• www.zillow.com/profile/PaulWDrury • ‐ www.facebook.com/paul.w.drury
On Trulia
On Trulia On LinkedIn
On LinkedIn
• www.trulia.com/profile/paulwdrury • www.linkedin.com/in/paulwdrury
On the Real Estate Global
O th R l E t t Gl b l Free Real Estate Webinars
Free Real Estate Webinars
Network • http://budurl.com/druryvideos
• www.realestateglobalnetwork.com/profile/PaulW
Drury
Special Discounts Links
On YouTube • http://bit.ly/ffvZOr
• www.youtube.com/user/MrPDrury
www youtube com/user/MrPDrury
KW Research 34
35. Social Networking on Facebook
• F
Facebook – “N th Central Ohi Real Estate
b k “North C t l Ohio R l E t t
Consulting, News, and Stats”
• https://www.facebook.com/pages/North-Central-Ohio-Real-Estate-
p p g
Consulting-News-and-Stats/164210080283714
• Facebook – “North Central Ohio Real Estate
Investments”
• https://www.facebook.com/pages/North-Central-Ohio-Real-Estate-
g
Investments/145904528811383
• Facebook – “Community Information, News, and
Community
Savings for Ohio”
• https://www.facebook.com/pages/Community-Information-News-
and-Savings-for-Ohio/100692843343793
KW Research 35
36. Social Networking on Twitter
• @PaulWDrury “North Central Ohio Real
Estate Consulting”
g
• “http://www.twitter.com/PaulWDrury”
• @CommunityOhio
• “htt //t itt
“http://twitter.com/CommunityOhio ”
/C it Ohi
KW Research 36
37. Paul’s special vendor deals of the month…
p
Now advertising properties, features, and discounts on
• http://www.communityohio.com
• Featuring outstanding deals from the following vendors
• Amazon.com • Franklin Covey Supplies
• GoDaddy Domain Sale • Intuit Quickbooks
• ESET Internet Security • Executive Book
Software Summaries
• NewEgg Electronics • RubberMaid Products
p
Superstore • Build my Move Moving
y g
• E‐fax Electronic Fax Services
Service • eBatts discount battery
• TomTom GPS Poducts
TomTom GPS Poducts services
• DocuSign Electronic • Bulb America Light Bulb
Document Service Supplier
• Magazine Mall
KW Research 37
38. The opinions expressed in This Month in Real Estate are intended to supplement opinions on real estate expressed by
local and national media, local real estate agents, and other expert sources. You should not treat any opinion
expressed in This Month in Real Estate as a specific inducement to make a particular investment or follow a particular
strategy, but only as an expression of opinion. Keller Williams Realty, Inc., does not guarantee and is not responsible
for the accuracy or completeness of information, and provides said information without warranties of any kind. All
information presented herein is intended and should be used for educational purposes only. Nothing herein should be
construed as investment advice. You should always conduct your own research and due diligence and obtain
professional advice before making any investment decision. All investments involve some degree of risk Keller
decision risk.
Williams Realty, Inc., will not be liable for any loss or damage caused by your reliance on information contained in This
Month in Real Estate.
KW Research 38
