ctar market update for the mlagc
DESCRIPTION
This presentation was given by 2013 Charleston Trident Association of Realtors president, Owen Tyler at the January 2013 Mortgage Lenders Association of Greater Charleston luncheon.TRANSCRIPT
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
In 2012…•Stable - 1% increase•Traditional sellers increasing•Banks listing less property
Why so flat?•Uncertainty•Greed
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
In 2012…•13% increase from 2011
•Demand is sky-high
•First time since 2007 more than 10k homes sold
•Distressed sales declining
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
In 2012…•Healthy, steady increases
•Sustainable 4% growth
•Varies by area, neighborhood
•Prices have fallen JUST 8.6% from the peak in 2007
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
In 2012…•Major declines in inventory (- 21% since 2011!)
•Sellers have less competition
•Well-priced, good looking listings get avg. 92% of list
•Are we on the brink of a housing shortage?
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
Financing Breakdown
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
Outlook for 2013
• Continued sustainable growth in prices and sales
• Seller confidence should continue improving
• Buyer demand should continue growing
• Inventory may be an issue in some areas
• QM, QRM may have an impact
• Issues in Washington
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
2013 Sales Forecast
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
MLAGC CTAR
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
The battle in Washington
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
Protecting the MortgageInterest Deduction
• Untouched in 'Fiscal Cliff' bill
• Will be debated as a cut in upcoming future budget and deficit talks
• Elimination vs. cap
• Major benefit for current homeowners
• Major incentive for future homeowners
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
Qualified Mortgage (QM)Qualified Residential Mortgage (QRM)
• All FHA, VA, Rural Housing, Fannie Mae and Freddie Mac loans are given safe harbor.
• Loans with no risky feature and debt to income ratio less than 43% are given safe harbor.
• All government backed loans qualify and jumbo loans where the borrower’s debt will be less than 43% of monthly income.
• This will provide certainty and define the mortgage market with clear standards; gives banks 1 year to implement rule
• QRM guidelines are coming
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
Protecting the MortgageInterest Deduction
• Untouched in 'Fiscal Cliff' bill
• Will be debated as a cut in upcoming future budget and deficit talks
• Elimination vs. cap
• Major benefit for current homeowners
• Major incentive for future homeowners
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
We can accomplish so much moretogether!
A partnership between CTAR and the MLAGC could have a large impact locally
• CTAR has opposed:
• Real estate transfer fees (proposed by City of Charleston in 2010)
• Residential rental restrictions
• Increased taxes on both commercial and residential property ownership
Charleston Trident Association of REALTORS®The voice of Lowcountry real estate for more than 100 years
Facebook.com/CharlestonRealtors
@ChasRealtors CharlestonRealtors.com
Thank You!
Please contact me about getting involved in local legislative issues or CTAR events and programs.