Blog Articlesx

ATTIASGROUP

THE

TheAttiasGroup.com

YYEEAARR EENNDD EECCOONNOOMMIICC FFIIGGUURREESS PPOOIINNTT TTOO HHEEAALLIINNGG EECCOONNOOMMYY

Figures released Friday January 4th by the Bureau of Labor Statistics have the national unemployment rate at 7.8%. This is the lowest national unemployment rate since January of 2009. The Attias Group Real Estate is encouraged by the steady decline in the national figure capping off a strong year of recovery in our national economy. In addition, the Consumer Price Index, a measure of prices of common goods such as food and fuel, has steadily declined in 2012. This indicates the average consumer is using less of their take home pay towards these basic necessities. With less take home pay going towards basic necessities it frees up more household income for disposable spending, investing, and saving. With more Americans back to work and spending less of their take home pay on essential goods and services, The Attias Group believes these economic factors are creating the perfect storm for housing gains in 2013. The Attias Group surveyed several communities this fall and found that year-over-year home prices saw increases:

Bedford Up 12% Concord Up 13% Lexington Up 6% Newton Up 21% Weston Up 2% Middlesex County

Up 5%

“As Wall Street and local job numbers stabilize, or see increases, Main Street and the lending community make decisions,” said Zur Attias broker/owner. “That volume uptick impacts home pricing as you can see,” said Attias. For a through dissection of your community’s housing trends contact us at 978.317.1234 or info@theattiasgroup.com.

1.11.13

BBUUIILLDDIINNGG && RREEMMOODDEELLIINNGG SSEECCTTOORRSS MMAAKKIINNGG PPOOSSIITTIIVVEE SSTTRRIIDDEESS

According to a new report from Harvard's Joint Center for Housing Studies, there is an uptick in home remodeling activity for Q4 2012 and an expansion on the horizon in 2013. The Attias Group Real Estate believes home remodeling is an important component to the growth of the economy both nationally and locally, and this report is another positive economic sign heading into 2013. The center's Leading Indicator of Remodeling Activity (LIRA) shows strong spending in the second half of 2012, suggesting the remodeling recovery is already underway. Remodeling spending was up 8.2% in the fourth quarter of 2012, rising to $124.1 billion, compared to $115.1 billion at the same time last year. The LIRA projects annual homeowner improvement spending will see double-digit growth through the third quarter of 2013. The center is estimating that spending will continue to rise more than 19% in Q3 2013, to over $145 billion. The Attias Group has also analyzed a second leading indicator released this week, U.S. Housing Starts which had positive gains to close out 2012. Nationally, December 2012 posted a 36.8% increase year-over-year, and a 12% increase over November 2012. In the Northeast, there was a 37% year-over-year increase in housing starts. "Construction jobs, whether they are new construction or remodeling, are an important part of our economy," said broker owner Zur Attias. "With unemployment numbers continuing to head in the right direction, housing starts up significantly, and now the LIRA projecting double digit growth, it is safe to say the housing recovery is here to stay." The recovery of home prices in local markets is supported by year-over-year* increase in the following towns. In Concord +13%, Bedford +12%, Lexington +6%, Weston +2%, Newton +21%, Middlesex County +5%, all of Massachusetts +2%. *data compiled from MLS Total Sold Market report for the fall market 8/1-11/30. "With home prices on the rebound and the economy making positive strides, I expect to see additional towns rebound in 2013. More people will start to see home values increase as our economy heals," said Attias. For advice and guidance in real estate, contact one of our top agents at 978.371.1234 or email info@theattiasgroup.com.

1.25.13

HHOOUUSSIINNGG RREECCOOVVEERRYY SSTTRREENNGGTTHHEENNSS EECCOONNOOMMYY

Many factors make up the complex, living breathing organism that is the United States economy. For some time, housing has been a downward force on the economy with prices plummeting, construction jobs drying up, and investors placing their money elsewhere. The numbers released this week by the S&P Case-Shiller index show that housing is now a positive force in our nation’s economic healing. Data released on Tuesday January 29th showed home prices have risen 4.5% in the S&P Case-Shiller 10-City Composite index and 5.5% for the 20-City Composite for the 12 months ending November 2012. Boston posted a 2.3% increase year-over-year; the month-to-month seasonally adjusted change increased .1%. 19 of the 20 cities in the composite posted gains; New York was the lone city to post a loss of .3%. The Attias Group Real Estate is confident that the housing recovery is here to stay and will prove to be a driving force in our overall economic recovery. Regardless of what Punxsutawney Phil has to say on Ground Hog day, it is an early spring in the housing market. The typical lull from mid December to late February has been all but non-existent, as pent up buyer demand held over from the fall market has new inventory spending very little time on the market. Between December 15th 2012 and January 28th 2013 the average days on market has seen a 4.4% decrease in Middlesex County year-over-year. In Concord, the decrease is 22% year-over-year; Bedford a 67% decrease; and Lincoln an 80% decrease. The benefits to our local economy will not be just in the direct impact of spending on residential construction, or on things such as furnishings and fixtures. The benefits will also show up in state and local government spending, until recently one of the largest negatives during the recovery. Local government revenue is closely tied to property values through property taxes. The down turn in home values led to layoffs of municipal workers and others around the country. “On a macro level, the economy and the housing market share a symbiotic relationship,” said Zur Attias broker/owner of The Attias Group Real Estate. “One cannot heal without the other. As the recovery in housing gains forward momentum, many sectors of the economy benefit exponentially, especially unemployment,” said Attias. For expert advice and guidance in real estate contact one of our top agents at 978.371.1234 or email info@theattiasgroup.com.

2.1.13

KKEEYY UUPPGGRRAADDEESS TTHHAATT CCAANN YYIIEELLDD RREESSUULLTTSS IINN AA SSEELLLLEERRSS ’’ MMAARRKKEETT

As this seller driven market begins to heat up, sellers are no longer competing for buyers; they are competing against other sellers. In addition to cutting edge marketing strategies, The Attias Group Real Estate provides thorough price analysis to put our sellers in the best possible position to attract the largest available buyer pool. In this market, price alone may not be enough to sell your home. In many cases, making minor upgrades or improvements to your home may attract an even larger buyer pool, and contribute to your net gain. Which improvements should you make? Remodeling.com recently released their annual cost vs. value report with some surprising insights. This regional report highlights several remodeling projects that have a high return on investment (ROI). This year, seven out of the top ten projects are exterior remodeling. “The first thing a buyer sees when they drive up to your home is the exterior; you never get a second chance to make a first impression,” said Zur Attias, broker/owner of The Attias Group Real Estate. “Buyers and buyer agents form their opinions of your home from the moment they arrive; spending a little capital on the exterior can increase your buyer pool and how they respond,” said Attias. According to remodeling.com replacing your front door recoups 85.6% of its value. Compare this to a bathroom addition which can cost, on average, upwards of $38,000 and only recoups 47.1% of its value on resale. Another exterior improvement that can yield a high rate of return is garage door replacement, which can recoup 75.3% of its value at resale. “Curb appeal is key here: think paint, pruning, mailboxes… This may sound crazy but it is certainly cheaper than a new kitchen where the buyer may not like the style of anyway. In a transitioning market, sellers have to be aware not only of buyer trends; they also have to watch what other comparable homes are doing to make improvements. Re-working your landscaping may not have been part of your initial strategy but might give you a key advantage over other similar homes,” said Attias. Contact one of our top agents at 978.371.1234 or email info@theattiasgroup.com to schedule an evaluation of your home and learn about what key improvements your home needs to maximize your rate of return.

2.15.13

KKEEYY UUPPGGRRAADDEESS TTHHAATT CCAANN YYIIEELLDD RREESSUULLTTSS IINN AA SSEELLLLEERRSS ’’ MMAARRKKEETT

As this seller driven market begins to heat up, sellers are no longer competing for buyers; they are competing against other sellers. In addition to cutting edge marketing strategies, The Attias Group Real Estate provides thorough price analysis to put our sellers in the best possible position to attract the largest available buyer pool. In this market, price alone may not be enough to sell your home. In many cases, making minor upgrades or improvements to your home may attract an even larger buyer pool, and contribute to your net gain. Which improvements should you make? Remodeling.com recently released their annual cost vs. value report with some surprising insights. This regional report highlights several remodeling projects that have a high return on investment (ROI). This year, seven out of the top ten projects are exterior remodeling. “The first thing a buyer sees when they drive up to your home is the exterior; you never get a second chance to make a first impression,” said Zur Attias, broker/owner of The Attias Group Real Estate. “Buyers and buyer agents form their opinions of your home from the moment they arrive; spending a little capital on the exterior can increase your buyer pool and how they respond,” said Attias. According to remodeling.com replacing your front door recoups 85.6% of its value. Compare this to a bathroom addition which can cost, on average, upwards of $38,000 and only recoups 47.1% of its value on resale. Another exterior improvement that can yield a high rate of return is garage door replacement, which can recoup 75.3% of its value at resale. “Curb appeal is key here: think paint, pruning, mailboxes… This may sound crazy but it is certainly cheaper than a new kitchen where the buyer may not like the style of anyway. In a transitioning market, sellers have to be aware not only of buyer trends; they also have to watch what other comparable homes are doing to make improvements. Re-working your landscaping may not have been part of your initial strategy but might give you a key advantage over other similar homes,” said Attias. Contact one of our top agents at 978.371.1234 or email info@theattiasgroup.com to schedule an evaluation of your home and learn about what key improvements your home needs to maximize your rate of return.

2.15.13

IINNVVEENNTTOORRYY CCOONNTTIINNUUEESS TTOO DDEECCLLIIEENNEE CCAAUUSSIINNGG UUPPWWAARRDD PPRREESSSSUURREE OONN PPRRIICCIINNGG

The Attias Group Real Estate is encouraged by a report released last week by the National Association of Realtors (NAR) stating that single-family homes, condos, townhomes, and co-ops available for sale dropped by 16.5% year-over-year. This decline in inventory, reported several times by The Attias Group, is certainly a positive confirmed by NAR economists. The year-over-year decline in homes for sale indicates that the market has worked through the backlog of inventory and, if these conditions continue, sellers are more likely to see offers at or above the asking price. According to the NAR, the national available inventory is down 5.6% from December to January, and as stated above down 16.5% year-over-year. The national median price rose almost 1% month-to-month, and is slightly higher than a year ago. The number of days a home is spending on market is also decreasing nationally, down 9.2% year-over-year. “These numbers are extremely encouraging for our local markets,” said Zur Attias broker/owner of The Attias Group Real Estate. “Coupled with positive numbers from Wall Street, we are seeing a sellers’ driven market emerging in many communities,” said Attias. Local statistics back up the NAR’s conclusions, and in many cases our local markets are exceeding the national averages. The Market Action Index from Altos Research measures the rate of current sales versus the amount of inventory available. Many local communities such as Bedford, Concord, Boston (metro), Acton, and Lexington are all well above the buyer’s market threshold, and are continuing a strong upward trend. “The pent-up buyer demand held over from the extended fall market continues to compound weekly,” said Attias. Zur Attias goes on to say “Accurately priced inventory is moving very quickly off the market; buyers are concerned with both missing the bottom and interest rate hikes, which I am sure are forthcoming.” For an accurate and comprehensive market analysis of your home call 978.371.1234 or email info@theattiasgroup.com to speak with one of our top agents.

2.22.13

SSTTRROONNGG FFOORRWWAARRDD LLOOOOKKIINNGG IINNDDIICCAATTOORRSS IINN NNEEWW CCOONNSSTTRRUUCCTTIIOONN

The Attias Group Real Estate has forecasted the recovery in the housing market for quite some time; analyzing early indicators helped many of our clients get ahead of the curve. Once again, our forecast has been confirmed by an additional independent source, housingviews.com, the blog published by the S&P Dow Jones Indices. The Attias Group believes in addition to the resale housing market, new construction is also showing strong signs of recovery, both locally and nationally. According to the National Association of Home Builders (NAHB) in the January reports released last week, single family housing starts are up 0.8% from December and 20% year-over-year. In the Northeast, there is a 35% decrease from December to January which is not a surprise due to the increase in snowfall this year. However, year-over-year, the number remains flat and this consistency is equal to strength. A forward looking indicator analyzed by the NAHB, building permits, shows even more significant gains. Nationally, there is a 35% increase in the number of permits applied for year-over-year. In the Northeast, that number jumps to a 40% increase year-over-year. “While I am encouraged by the number of new construction projects started, I see the double digit jump in permits as a much stronger indication of the overall health of this sector,” said Zur Attias, broker/owner of The Attias Group. “With so much seasonal uncertainty in the Northeast, I use forward looking indicators such as building permits rather than lagging indicators such as housing starts,” said Attias. The Attias Group believes new construction to be one of the biggest, if not the biggest influence on pricing. As reported in the 2012 Year in Review issued by The Attias Group, 30% of the towns surveyed had significant increases in median home values. Of the remaining towns, 41% had decreases of 5% or less. Middlesex County as a whole had an increase of 1.1% from 2011 to 2012. Zur Attias went on to say, “With median prices on the rise, new construction permits making huge strides, and unemployment continuing to hold steady, believe we will see the strongest spring market going back 5 or 6 years.” For advice and guidance or representation in real estate contact one of our top agents at 978.371.1234 or email info@theattiasgroup.com.

3.1.2013

CCOONNTTIINNUUEEDD RREECCOOVVEERRYY FFOORR BBOOTTHH HHOOUUSSIINNGG AANNDD LLEENNDDIINNGG

As most everyone remembers, Fannie Mae and Freddie Mac were at the center of the most recent housing down turn; now Freddie Mac is reporting it has sustained a full year of profitability. Income was reported at $4.5 billion for Q4 2012 up 55% from the $2.9 billion ending Q3 2012. This level of profitability is attributed to efforts to minimize legacy losses and from the recent rebound in the housing market that The Attias Group Real Estate has been reporting for some time. “The lending community is an important partner in real estate; if consumers do not have access to capital there is no chance at a recovery,” said Zur Attias broker/owner of The Attias Group Real Estate. “How the lending community and Wall Street continue to behave will be a vital component of the sustained recovery in the housing market. I am glad to see one of the mortgage giants is once again solvent,” said Attias. When asked about the recent volatility in Washington and on Wall Street, Zur Attias said, “On any given day Wall Street is bipolar at best; it is how the numbers play out over a few weeks or even months that will give you the true indication of the overall health of the economy. We won’t know the true effect of The Sequester cuts for some time. In the short term, I don’t see any major impact on housing. However, if a long term solution is not reached soon then all bets are off.” Another clear indication that the housing market is seeing a strong recovery locally is the 23% increase in sales dollar volume in Middlesex County over the past 4 months compared with the same time period last year. “With 303 more sales year-over-year in a four month period and $238 million more in sales volume, can there be any doubt that housing prices are on their way up?” said Attias. For expert advice and guidance or representation in real estate contact one of our top agents at 978.371.1234 or email info@theattiasgroup.com.

3.8.2013

NNAAVVIIGGAATTIINNGG TTHHEE SSHHIIFFTTIINNGG MMAARRKKEETT

As more communities shift to a sellers driven market this spring, buyers, sellers, and renters are considering their position in the housing market. Many sellers in the early spring market are now emboldened by multiple offers and more expedited sales; buyers, frustrated with lack of inventory, may consider putting off purchasing; renters could decide to sit on the fence. The Attias Group Real Estate takes pride in the expert advice and guidance we provide to our clients in any market condition. It is safe to say that we have passed the bottom of the market. On a national level The S&P Case Shiller Indices 20 city and 10 city composites continue to rise. Locally, Boston is up not only on the month-to-month change, but is enjoying a 3.55% increase year-over-year. This means homes are starting to appreciate in value, and as the values rise, the buying public could be boxed out of specific price ranges. “With the housing recovery gaining steam, if you are thinking about selling or buying, now is the time,” said Zur Attias broker/owner of The Attias Group Real Estate. “People who were looking to play the bottom of the market have missed it. One needs to analyze the opportunities that are available now and make decisions. Buying an appreciating asset is a far better investment than buying a deprecating one,” said Attias. The Attias Group is advising buyers concerned with a lack of inventory and frustrated with multiple offer theater to hang in there. “Waiting to buy in the fall could result in paying almost 1% more than what you would pay now,” said Zur Attias. “Renters who are hesitant to start the buying process should also think about how much housing prices will increase when their lease is up.” When asked about renting versus buying, Zur Attias said, “If you can pull together the funds, there is no time like the present to get into the game.” The Attias Group believes as we get deeper into the sellers driven market, the lending community will have to make changes in order to sustain the recovery. If rates start to creep up, the amount required for deposit will have to drop in order to compensate. “Currently in order to avoid paying Private Mortgage Insurance (PMI) you need to put 20% down. As rates start to rise, and I believe long term they will, banks need to lessen the amount required for a down payment,” said Zur Attias. “For the recovery to maintain steam, the lending community will have to keep pace; based on previous markets, I believe we will need to see these changes going forward subject to one revision; banks must make it their priority to appraise accurately.” For expert advice and guidance, or representation, in real estate contact 978.371.1234 or email info@theattiasgroup.com.

3.15.13

MORTGAGE ACTIVITY RISES AS HOUSING RECOVERS

The Attias Group Real Estate firmly believes the lending community and real estate industry must maintain a solid partnership since this relationship serves as the foundation of the housing recovery and its continued current upward trend. Statistics released recently by The Warren Group indicate the relationship is exceeding expectations. According to the Warren Group, total residential mortgage activity rose almost 38 percent from 2011 to 2012 in Massachusetts. Purchase mortgages spiked more than 25 percent, and refinance mortgages rose almost 41 percent. 2012 marks the best year on record since 2007. “There is a strong foundation in place for the housing recovery, and I am extremely encouraged by these recent numbers,” said Zur Attias broker/owner of The Attias Group Real Estate. “Right now, with the housing inventory levels at record lows, consumers who are wise enough to pull the trigger have easy access to capital,” said Attias. In addition, the federal government has announced that it will be extending the Home Affordable Refinance Program (HARP) by two years to December 31, 2015. According to a statement released by the FHFA, the extension of this program will continue to provide borrowers opportunities to refinance, give clear guidance to lenders, and reduce risk for Fannie Mae, Freddie Mac, and taxpayers. Approximately 2.2 million loans have gone through the HARP program since its inception in April of 2009. According to MLS Property Information Network (MLSPIN), there are 23% fewer homes on the market in Massachusetts today than a year ago. Additionally, the average price of a home for sale in Massachusetts has increased by 6% year-over-year. “There is serious pent up buyer demand. In addition, I firmly believe in order to keep the housing markets momentum from stalling, the appraisal industry needs to fully acknowledge the current market trend and keep up. Assets are starting to appreciate,” said Zur Attias. For expert advice and guidance in real estate, or representation, call our office at 978.317.1234 or email info@theattiasgroup.com.

4.26.13

INSIDE THE CONDOMINIMUM MARKET

As the spring real estate market flowers into full bloom, The Attias Group Real Estate is taking a closer look at the condominium market in several communities. Condominium statistics are often discussed as part of the overall housing market, but The Attias Group understands the needs of the condominium buyer are different from the single-family buyer. This buyer pool is looking for amenities and services that are unique to condos; therefore, a specific analysis of this segment of the market is worth a closer look. According to Altos Research Market Action Index which measures the rate of sale versus the amount of inventory, the following towns are all considered to be a distinct sellers’ market: Acton, Bedford, Boxborough, Concord, and Hudson. Lexington is considered to be a sellers market but the trend is not as strong as the other communities listed, according to Altos, though single family homes in Lexington are trending well.

Town   Inventory  Available*  Acton   7  months    Bedford   4  months    Boxborough   3.5  months    Concord   3.5  months    Hudson   7  months    Lexington   4  months    

*Inventory levels between 6-8 months indicate a sellers’ market. Taking a closer look at the numbers, the independent figures gathered by The Attias Group prove a sellers’ market; however, opportunities still exist for buyers. “The average consumer hears a sound bite and forms an instant opinion, but the real estate market cannot always be summed up in 2 words,” said Zur Attias broker/owner of The Attias Group Real Estate. “Savvy buyers and sellers demand the statistical truth and want to hear more than a two word summary. Diving into the numbers and finding the truth is what sets our firm apart,” said Attias. The Attias Group lead buyer agents dissect numerous data points when looking for the best opportunities in any market. If you are considering buying or selling, now is the time to come in and speak with one of our real estate professionals. For advice and guidance in real estate contact us at info@theattiasgroup.com or call 978.371.1234.

5.3.13

5.16.13 an in-depth look at available housing

This spring real estate market is the most active since 2007. The market has reached the precipice of a sellers’ market in many communities, and in others it has completely transitioned. This is a significant time in the overall recovery for real estate and The Attias Group Real Estate has been predicting this for some time.

The buzz right now revolves around inventory levels, or lack there of. In most communities the number of homes available sits at near record lows. A key metric for evaluating a community’s overall heath is the saturation rate, or number of months of inventory available. It is easy to look at the macro number and make a snap judgment about any given location; however, when you dissect the numbers on a quartile-by-quartile basis interesting trends start to emerge.

“Massachusetts has many diverse communities and within those communities there is often incredible discrepancy from quartile-to-quartile,” said Zur Attias broker/owner of The Attias Group Real Estate. “What is true for the bottom of the market is rarely true for the high end and vice versa. You have to look at each quartile individually to really understand the overall health of any given community,” said Attias.

The Attias Group has analyzed several communities (charts on page 2) and Middlesex County (below) as a whole. Several interesting trends have surfaced. A sellers’ market is typically defined by less than 6-8 months of inventory available, and almost every community surveyed had less than 5 months of real estate available. When you analyze each quartile individually, a strong trend emerges. In almost every case, the high end has more than 8 months of inventory. “This doesn’t surprise me as the high end is the last to depreciate and the last to recover after a down turn,” said Attias.

For advice and guidance in real estate or representation contact our office 978.371.1234 or email info@theattiasgroup.com.

3   3.3  4.6  

11.3  

3.6  

Fourth   Third   Second   First   Middlesex  County  

Middlesex  County  Satura2on    by  Quar2le  

(#  of  months  inventory  available)  

 

5.16.13 AN IN-DEPTH LOOK AT AVAILABLE HOUSING

1  1.7  

4.7  

6.6  

3.4  

Fourth   Third   Second   First   Acton  

Acton  Satura+on  by  Quar+le  (#  of  months  inventory  available)  

 

1  2   1.8  

10  

2.8  

Fourth   Third   Second   First   Lexington  

Lexington  Satura.on  by  Quar.le  (#of  months  inventory  available)  

 

8  10   10  

24  

11  

Fourth   Third   Second   First   Boxborough  

Boxborough  Satura-on  by  Quar-le  (#  of  months  inventory  available)  

0  2  

6  

22  

7  

Fourth   Third   Second   First   Weston  

Weston  Satura,on  by  Quar,le  (#  of  months  inventory  available)  

 

0  

2.8   3  

13  

4.2  

Fourth   Third   Second   First   Concord  

Concord  Satura,on  By  Quar,le    (#  of  months  inventory  available)  

3  

1   1.5  

10  

3  

Fourth   Third   Second   First   Bedford  

Bedford  Satura,on  by  Quar,le  (#  of  months  inventory  available)  

0  

2.8  

3.75  

5.5  

3.5  

Fourth   Third   Second   First   Carlisle  

Carlisle  Satura,on  by  Quar,le  (#of  months  inventory  available)  

2  1.3  

5  

12  

4.5  

Fourth   Third   Second   First   Wellesley  

Wellesley  Satura,on  by  Quar,le  (#  of  months  inventory  available)  

 

Key:First - Most expensive 25% of propertiesSecond - Upper Middle 25% of propertiesThird - Lower Middle 25% of propertiesFourth -Lease expensive 25% of properties

5.24.13 A MACRO VIEW OFTHE MARKET’S CONDITION

As we reach the height of the spring market, The Attias Group Real Estate has done a macro analysis of the national market. According to Housing and Urban Development (HUD), there are 132,353,000 housing units in the United States. This number consistently rises to meet population growth. Of the 132.353 million units, only fourteen percent are vacant and eighty-six percent 113,550,000 are occupied: sixty-seven percent (76,078,500) by owners and thirty-three percent (37,471,500) by renters.

At the height of the previous up-market in 2007, less than sixty percent of occupied units were owner occupied. “With two-thirds of current housing units owner occupied it’s clear this market is continuing to rebound; I think we can put the term ‘bubble’ to rest,” said Zur Attias broker/owner of The Attias Group Real Estate. “The people who are buying real estate now are more educated and have access to more information than any group of consumers in history. With the contribution of an educated and trustworthy professional, sound investment worthy housing decisions should be made sooner rather than later,” said Attias.

Additionally, the housing recovery has added 0.3 percentage points to economic growth in the first quarter. According to economists, this is the eighth consecutive quarter housing has added to economic growth. The Attias Group believes housing prices will continue on a sustained upward trend. This pressure comes from persistent buyer demand, a lack of inventory, and strong investments from the government and private investment groups. “The market is moving forward at a consistent healthy pace. There will be nothing to burst as this is not a bubble; it is a period of sustainable growth fueled by consumer confidence,” said Zur Attias.

For advice and guidance or representation in real estate contact one of our top agents at 978.371.1234 or email info@theattiasgroup.com.

5.31.13 HOUSING PRICES CONTINUE TORISE NATIONALLY AND LOCALLY

As housing continues to dominate local and national headlines, the through line of the story continues to be positive, if not exceeding expectations. Data released this week by S&P/Case-Shiller Home Price Indices show all three of their composites: National, 20-city, 10-city, posting over 10% year-over-year increases. Boston posted a 6.7% year-over-year increase and a 1.2% month-over-month increase.

Home prices in all 20 cities posted annual gains for the third month in a row, and twelve of the 20 saw prices rise at double-digit annual growth. “We have been saying for some time that the housing recovery is not an illusion, and here again are strong numbers supporting our projections from last year,” said Zur Attias broker/owner of The Attias Group Real Estate.

Locally, housing prices continue to rebound fueled in part by the low supply and high demand. “In a supply and demand business, the number of units available absolutely plays a role in pricing,” said Zur Attias.

The Attias Group surveyed 12 area towns, Middlesex County, and all of Massachusetts. We found the median home price has increased year-over-year in the majority of the communities we reviewed including: Concord(+16%), Carlisle(+23%), Bedford(+14%), Lexington(+10%), Sudbury(+7%), and Wellesley (+17%). Middlesex County had a year-over-year increase of 6% and median home prices across Massachusetts as a whole rose 8%. Towns remaining neutral or decreasing were: Acton(-7%), Boxborough(-8%), Lincoln(no change), and Weston(-13%).

“As we head into the tail end of the spring market, I am confident that the trend that has been established in the early spring will continue into the fall. I believe we will not see significant increases in inventory over the summer, therefore the pent-up buyer demand will continue to drive prices up through the end of 2013,” said Attias.

For advice and guidance in real estate or representation contact us at 978.371.1234 or email info@theattiasgroup.com.

6.14.13 NEW CONSTRUCTION MARKET TRENDS

The United States Census Bureau released their annual report on Characteristics of New Housing this week. The report contains historical data back to 1973 on construction trends in materials, size, price, and types of systems. Of note to The Attias Group Real Estate is the size and price per square foot of new construction. Builders will construct what the buyer pool demands. They are not end users they are in the business of home sales. As this market continues its strong recovery, they will build bigger if the demand is there.

“New construction is a very important leading indicator of the overall pulse of the housing market,” said Zur Attias broker/owner of The Attias Group Real Estate. “Builders look at the trends; they define what will sell. If they start closing at a higher price per square foot, that will help the entire market,” said Attias.

According to the report, 8% of homes completed in 2012 were 4,000 square feet or more, 18% were 3,000-3,999; 19% were 2,400-2,999; 26% were 1,800-2,399; and 28% were 1,799 and below. In Massachusetts, 10% of homes were 4,000 square feet or more, 14% were 3,000-3999; 18% were 2,400-2,999; 35% were 1,800-2399; and 22% were 1,799 and below. “In our local market, 3600-3800 square feet of above grade space seems to be the sweet spot; it’s difficult to build less because the cost of land is so expensive,” said Zur Attias.

Nationally, only 4% of homes sold for $150 per square foot and above; in Massachusetts that number is 92%. “Much of our local product closes north of $300 per square foot and can be considerably higher depending on quality of construction and location,” said Attias.

“Massachusetts has its own unique statistical trends that do not always line up with what the rest of the country is experiencing. The price per square foot for new construction in our market is dramatically higher than the rest of the country,” said Zur Attias. Zur goes on to say, “In 2013, as more markets heal and resale assets appreciate, new construction sales will increase as builders struggle to mine opportunity and keep up with demand. Square foot prices will almost certainly increase as well.”

For advice and guidance or representation in real estate contact one of our top agents at 978.371.1234 or email info@theattiasgroup.com.

6.21.13 PROTECTING YOUR BIGGEST INVESTMENT

As severe and dangerous weather stories dominate the headlines throughout the country, it is a good time to reflect on catastrophic events that can occur in New England. We may not be at risk for tornadoes, but blizzards, Nor’Easters, and hurricanes are real threats to our homes. Have you thoroughly protected your single greatest investment? When was the last time you read your homeowners’ insurance policy from cover to cover? The Attias Group Real Estate wants homeowners to be prepared in case disaster strikes.

The insurance industry exists, like any other, to make a profit. As you leave the closing table, most consumers are more excited to pick out paint colors rather than discuss insurance policies. “You can never be too careful when it comes to picking an insurance policy for your home,” said Beverly Davis Realtor at The Attias Group Real Estate. “Having a solid working relationship with your insurance agent could save you thousands and thousands of dollars. Sound advice and strong policies should insulate you should you ever need to file a claim,” said Davis.

As with any product, the cheapest one is not always the best. Policies differ from state to state and company to company. It is important to compare several policies when shopping for insurance and even ask for a sample policy on your home before you decide to buy. Having extra insurance is never a bad thing. Purchasing extra insurance for water damage, flood, or mold, could be the difference between proper coverage and being stuck with a large, unexpected bill after a disaster.

“Should you make improvements to your home, remember to increase your policy to mirror the construction and you may need to purchase additional coverage. People often forget to call their insurance agent after completing a home remodeling project and are surprised when the additional improvements are not covered,” said Beverly Davis.

The Attias Group recommends taking the following steps to insure you get the proper coverage. • One, get multiple quotes. Homeowners should get between 3-5 quotes from different agents. • Two, compare the quotes. The state of Massachusetts has a published guide on how to compare insurance

policies written in state. • Three, ask lots of questions. Find out about each rider the carrier provides; bundling them often will get you

a discount. • Four, request a sample policy. Many agents will provide them in advance even though they do not have to.

Once you own the policy you can always cancel and get a refund if you are unsatisfied.

It is better to be prepared before a disaster. If you have questions, talk with an Attias Group agent about homeowners’ insurance. Our agents have relationships with many area agents and will put you in touch with a knowledgeable professional.

For advice and guidance or representation in real estate contact us at 978-371-1234 or email info@theattiasgroup.com.

TheAttiasGroup.com