HOMES SOLD IN MARCH SO FAR.

As promised…  Here are the homes sold this month so far in Northern Nevada by Harcourts NV1 Realty.

This market is on fire right now.  If you are looking to sell drop me a line.  Interest rates are the lowest they have been since 2013 and there is not much out there to buy.   As you all know I work with both Sellers and Buyers.   In this market working with both keeps me knowing what the other side of the fence is going through.

Look forward to hearing from you.   

Homeowners you could be sitting on a nice payday.
march sold 1march sold 2march sold 3 march sold 4

Advertisements

Reno/Sparks Market Report

sold and pending homes in reno sparks

Currently there are 981 sales pending in the market overall, leaving 1324 listings still for sale. The resulting pending ratio is 42.6% (981 divided by 2,305).

So you might be asking yourself, that’s great… but what exactly does it mean? I’m glad you asked!
The pending ratio indicates the supply & demand of the market. Specifically, a high ratio means that listings are in
demand and quickly going to contract. Alternatively, a low ratio means there are not enough qualified buyers for the
existing supply.

Taking a closer look, we notice that the $200K – $300K price range has a relatively large number of contracts pending sale.

We also notice that the $200K – $300K price range has a relatively large inventory of properties for sale at 363 listings.

The average list price (or asking price) for all properties in this market is $586,079.
A total of 3252 contracts have closed in the last 6 months with an average
sold price of $290,184. Breaking it down, we notice that the $200K –
$300K price range contains the highest number of sold listings.
Alternatively, a total of 689 listings have failed to sell in that same period
of time. Listings may fail to sell for many reasons such as being priced
too high, having been inadequately marketed, the property was in poor
condition, or perhaps the owner had second thoughts about selling at this
particular time. The $200K – $300K price range has the highest number of
off-market listings at 215 properties.

 

Reno_and_Sparks Market Report

Great article by the RGJ.com Talking about our housing market.

sold-house2

 

Seven years after the Reno-Sparks housing bubble popped, the area’s real estate market finds itself in a much different situation.

From affordability to new home construction, here are seven things you should know about the Northern Nevada real estate market.

Stability is the new normal: In the last decade, the story of the Reno-Sparks real estate market was akin to the diary of a roller coaster rider. There’s the steep climb to the top as it reached its crazy highs during 2006 and 2007, followed by an equally steep drop to the bottom.

This year, however, has been markedly different.

After seeing noticeable appreciation on the last couple of years, home prices have reached a plateau in the last few months. Since June, the median price of an existing home in Reno-Sparks have stuck to a holding pattern in the $250,000 range.

“Stabilization is the trend for home pricing in Northern Nevada and Nevada as a whole,” said Peter Counts, a graduate assistant with the Lied Institute for Real Estate Studies at the University of Nevada, Las Vegas. The institute produces a regular housing report with the Nevada Department of Business and Industry.

For those who remember the crazy days of the overheated market and the resulting fallout, stable is a good thing. For the Reno/Sparks Association of Realtors, the pricing trend of the last few months could indicate something the area has not seen for quite some time: a more normal market.

“From 2008 to 2012, we had so many distressed properties that we did not see the traditional winter slowdown we’ve seen in the 20 years before that,” said Mark Ashworth, RSAR president. “I believe this is a sign that we’re returning to our traditional market.”

Housing is less affordable: In January of 2012, the median price for a home in the area was around $135,000. More than two and a half years later, home values have jumped by about 85 percent. In contrast, median salaries have not seen a similar jump, which is understandable given how much farther home values dropped in relation to wages.

Even as the pace of home value increases started normalizing at a slower rate, however, wages continue to be flat.

In 2013, for example, wages saw growth in the last three quarters after posting a decline in the first three months of the year, according to the Nevada Department of Training, Employment and Rehabilitation. The 1.1 percent increase in overall wages that year failed to keep pace with inflation, which grew by 1.5 percent.

Meanwhile, an estimated 55 percent of houses in Northern Nevada are affordable to the area’s median income earners, compared to 62 percent nationwide, according to the Lied Institute.

Flat wages are a concern for maintaining continued growth in the housing market and the economy, specifically as it relates to first-time home sales.

“New home sales generate more economic activity than a housing move from one part of town to another,” Ashworth said. “That’s because new home buyers buy more new furniture and appliances and do more remodeling, so they generate more economic activity.”

Although houses are less affordable now than they were two years ago, the situation still does not compare to the peak of the housing boom. At the bubble’s peak in 2006, for example, only 18 percent of homes could be afforded by median income earners in Northern Nevada despite a record 4,518 homes being actively listed in July.

California also continues to be a key part of the local real estate market’s equation. Androo Allen, interim president of the Builders Association of Northern Nevada, remembers the buyer mix for one high-end community project. Of the 19 homes it sold, 18 of the buyers came from Nevada’s next door neighbor.

New homes are back: After the collapse of the housing bubble, the hum of bulldozers on new home construction sites went silent. With the value of new homes going up, however, new housing is back in business.

Reno posted 1,387 new home starts in the second quarter of this year, up 43 percent over the same period last year, according to Metrostudy. Meanwhile, only 36 percent of homes are priced below $300,000 compared to 64 percent last year.

This is causing many builders to finish rough cut lands that were started during the boom but got paused during the recession.

“We’re starting to see more confidence among builders, including the smaller ones,” said BANN’s Allen. “The price of a new home has gone up enough for a builder to absorb the development cost of a lot … and still come out with a profit.”

At the same time, smaller builders aren’t jumping full steam into the new building craze like larger builders. Although, they like to see price increases in new homes, they don’t want a repeat of the unsustainable spikes seen during the bubble days and the ensuing crash, Allen said. At the time, builders were making houses as fast as they could as buyers were snapping houses, at times sight unseen.

“We don’t want to see rapid growth, we want to see slow, consistent growth,” Allen said. “The market needs to define itself first so the next 12 to 18 months will determine just how solid it is.”

Unit sales are down from last year: Although year-over-year house sales saw steady increases in the first half of 2014, the last few months are a different story. In July, for example, 520 homes were sold in Reno-Sparks compared to 591 during the same month last year. The trend continued in August, which posted 548 sales in contrast to 638 units the previous year.

The RSAR’s Ashworth attributes the dip to a variety of factors, including lower inventory and the return of new home sales.

Demand remains healthy in relation to market supply, however. Supply for regular homes with no special conditions is at 2.5 months — 1.6 months for short sales and 2 months for foreclosure sales. There are 1,385 active listings in Reno-Sparks as of early September.

“Demand has remained constant for the year and that indicates desirability in the market,” Ashworth said.

North vs. South: While real estate trends in Northern Nevada and Southern Nevada mirror each other in many ways, there are also differences. One interesting difference, according to the Lieds Institute, is that building starts for single-family homes are up year-over-year in the north but down in the south.

Conversely, multi-family starts, which includes multi-unit facilities such as apartments, are up in the south but down in the north.

Fewer homeowners are underwater: Nearly three in four Northern Nevadans have equity in their homes, according to the Lied Institute. That’s a big improvement from the 2009-2010 period when only 27 percent of homeowners were not underwater on their mortgage.

With banks being more judicious in putting distressed properties in the market, the market likely won’t see a repeat of 2009, according to Ashworth.

“They basically flooded the market in 2009 with foreclosures and that’s why prices plummeted,” Ashworth said. “”Hopefully, they learned their lesson.”

There’s less distress: Only 14 percent of homes sold in Reno-Sparks involve a distressed property. That’s a big change from 2010 to 2011, when troubled houses accounted for 80 percent of sales.

“Foreclosures haven’t changed much over the past year (but) there are less than half as many short sales now as there were this time last year,” Counts said.

Data from the Washoe County Recorder’s office back Counts’ claim. Through August, the county posted 640 short sales, a large drop from the 1,485 it recorded last year.

Part of it could be related to the lack of an extension from the federal government regarding so far for a deficiency forgiveness program related to short sales.

Meanwhile, there are also continuing concerns about the bank-owned properties still out there.

“The elephant in the room that everybody sees and nobody talks about is shadow inventory,” Ashworth said. “You can see homes in neighborhoods that don’t have a for sale sign but are boarded up and unoccupied. As long as they come to the market slowly, then that’s fine.”

Overall, however, the Northern Nevada real estate market is on the right track, according to Counts. One thing everyone agreed on, however, is that the area is not quite out of the woods yet.

“Home prices are still gradually increasing and the construction industry is still building homes that can sell,” Counts said. “However, we still have a long way to go before to get to where we were before the housing market collapse.”

 

http://www.rgj.com/story/money/business/2014/09/21/trends-reno-real-estate-market/15976175/

Reno rolls the dice on High-Tech

RENO, Nev. — A street newly nicknamed Startup Row intersects this city’s old strip of casinos touting Money Maker Jackpots and Crazy Cash Slot Tournaments.

While old-fashioned slot machines are whirring nearby, this stretch of road has become a home for smartphone app makers, cloud computing developers and companies like one that set up shop here recently to build tiny sensors that allow devices to connect to the Internet.

For most of America, Reno stirs images of worn-out casinos, strip clubs and quick divorces. But it is trying to change that reputation and reduce its reliance on gambling by taking advantage of its location and low taxes to gain a solid footing in the new economy. Instead of poker payouts, Reno now boasts of e-commerce ventures, an Apple data center and a testing ground for drones. It also hopes to attract a large factory to build batteries for Tesla’s electric vehicles.

“People believe in this town, and they’re tired of being presented as this joke,” said Abbi Whitaker, a local business owner who helped create a marketing campaign to reshape Reno’s image. “When you’re at rock bottom there’s a good chance to reinvent how you go up.”

Continue reading the main story

A Slow Turnaround

 

 

Reno, Nev., which is heavily dependent on the gambling industry, had a more severe downturn than other parts of the country. But as the area attracts new employers with its convenient location and low taxes, the economy is starting to recover.

 

 

Reno exemplifies how cities not far from California, including Boise, Idaho, and Tucson, are trying to poach the state’s technology culture to help diversify their economies, marketing themselves as places where taxes are lower and environmental regulations are less onerous. They hope that when the next recession strikes, they will not sink to the same depths as they did in the last one.

Reno is among the best situated, less than a four-hour drive from San Francisco and in a state with no corporate or inventory taxes. It gained appeal as an outpost of Silicon Valley nearly adecade ago after a Microsoft licensing unit and an Amazon distribution warehouse moved in. California refugees were buying homes, lured by the relatively low cost of living and the 30-minute drive to Lake Tahoe.

Then came the Great Recession, walloping Reno’s gambling industry, and its housing and job markets. At the end of the recession in 2009, homes had lost nearly half the value they had in the beginning of 2006, and median prices continued to fall. At its depths in September 2010, Reno’s unemployment rate was 13.4 percent compared with the national average, 9.5 percent, according to Moody’s Analytics.

But now, after several years scraping along the bottom in almost every measure of economic health, Reno appears poised to turn the corner, according to economists who study the region. Housing prices are slowly starting to rise. The unemployment rate has declined to 7.1 percent. New technology companies are arriving, and older ones are expanding, including Zulily, an e-commerce company for women and children’s clothing and home décor, which announced plans in May to double its warehouse and hire 600 people.

Most of all, civic boosters are on edge waiting for Tesla, Elon Musk’s electric vehicle company, to announce the location of its new battery factory that is expected to employ more than 6,000 people. Tesla has said it is considering Nevada, Texas, California, Arizona and New Mexico.

Reno is not far from one of the few lithium deposits in the country, it is relatively close to Fremont, Calif., where the vehicles will be assembled, and its industrial park has tens of thousands of acres of land for the auto company’s new expansive factory. Tesla officials did not respond to requests for comment.

“There are solid reasons to be optimistic about Reno,” said Greg Bird, an economist at Moody’s Analytics. “We’re starting to really see the data turn for them.”

Reno competes for new businesses with Salt Lake City and major cities in Arizona, all of which are convenient for online retailers to set up shipping locations for customers in California and the rest of the West. In Tucson, Duralar Technologies, a global nanotechnology company, announced in March that it planned to set up its United States headquarters there.

Boise has increased its marketing to lure new technology companies and has drawn several start-ups in recent years, said Clark Krause, executive director of the Boise Valley Economic Partnership. The organization emphasizes its outdoor lifestyle on its website.

It is not a simple climb back from the depths of the recession for these cities. Nearly all are constrained by a shortage of skilled workers to fill the jobs created by companies their economic development offices are trying to attract.

“We have the same challenges everyone else does when it comes to finding enough talent to grow as much as we could,” Mr. Krause said.

In Reno, where many workers traditionally have been employed in some aspect of the gambling industry, the work force is less educated than in more populous cities, economists said. Tesla, for instance, might have to recruit from elsewhere to find enough trained workers for its battery plant, should it decide to build here.

Photo

Abbi Whitaker, owner of the Abbi Agency, who helped create a campaign to reshape Reno’s image, and Mark Estee, a chef, at Campo, his restaurant along the Truckee River downtown.CreditDavid Calvert for The New York Times

“We’re not going to wait for the gaming industry to come back,” said Mike Kazmierski, president of the Economic Development Authority of Western Nevada. “It’s not going to. So what are our strengths, and how do we capitalize on them?”

Mr. Kazmierski is encouraging Reno to prepare for the new kinds of companies his team is wooing. A major part of his strategy is just up the hill from Reno’s casino strip: the University of Nevada, Reno. The campus of 18,000 students has traditionally not played a major role in the city’s economy and is physically separated from the rest of town by Interstate 80. Students often earn their degrees and leave.

But now, the university is starting to work with Mr. Kazmierski’s team to make sure students are trained in specific skills or even the languages needed by companies looking to settle in Reno. The university created an on-campus office space this spring for an Australian drone company that decided to open a research outlet in Reno, one of a handful of locations the federal government has selected for testing unoccupied aerial vehicles.

Mr. Kazmierski outlined his vision on a recent morning driving down Reno’s casino strip, past the Showboat Inn, the pay-by-the-week motels and signs advertising $5.99 prime rib and fries. Towering old casino buildings could be turned into student dormitories or condos. Storefronts could house technology companies. The new drone research building could host an incubator space for businesses.

For companies, the region’s chief draw is its lack of taxes. But the location has other advantages. Reno is less than a two-day drive to anywhere in the West, an advantage for shipping companies.

And there is no shortage of land ready for development. Outside town, along miles of scrubby desert, large manufacturing centers, distribution centers and office parks already have moved in, and more are on the way. The area is so expansive that wild horses roam among the warehouses. Surveyor stakes mark new developments, and fire hydrants sprout seemingly in the middle of nowhere.

Three years ago Reno and the neighboring town Sparks averaged four tours a month for prospective companies. Mr. Kazmierski said that had increased to 10, with scouts from 14 companies visiting in May.

“The most challenging obstacle to get over is our image,” he said. “That image of a second-tier kind of Vegas is embedded in their heads.”

Visiting executives are surprised to learn that the Truckee River cuts through downtown, where a restaurant scene is emerging. Bike paths wind through the city and beyond, and urban gardeners raise chickens in their backyards. A new downtown boutique hotel has no casino. Instead, its main feature is its 164-foot climbing wall.

 

The Reno Collective, along Startup Row, offers a shared work space to foster entrepreneurialism. On a recent day the office was filled by young people tapping on laptops, some sitting on exercise balls, and one with a dog curled around her feet.

In the same building, Eric Jennings set up his company, Pinoccio, two years ago, making tiny radio sensors for enabling Internet connectivity.

“There’s such a low barrier to entry here,” Mr. Jennings said. “If you’re passionate about something you can just take it on.”

Open House Today from 5 to 7pm


Image

Asking Price.  $399,900

536 W. Taylor Street Reno, Nevada 89509

Traditional Sale… Wood flooring, Great location in Old Southwest Reno. Great walking distance to Downtown and Midtown.

1400 sqft 

3 bedroom, 2 bathroom, 2 car garage

493 sqft unfinished basement
Also there is a separate 792 sqft 2 bedroom 1 bathroom inlaws quarters on the back of the property. Great money maker property.

Stop on my and check it out. Wont last.

Best Bets for Adding Value to Your Home in 2014

America’s remodeling dollars are flowing again. If you’re looking to upgrade, Remodeling magazine’s 2014 Cost vs. Value Report tabs these projects as offering the best return on your investment.Image

Home Means Nevada Spring Home & Garden Expo

Image

February 21-23, 2014

at the Reno-Sparks Convention Center

Turn your house into the home of your dreams! Explore the latest products and technology to improve your home and lifestyle — from flooring to roofing and everything in between. At the Home Means Nevada Spring Home & Garden Expo, you’ll find top of the line appliances, energy saving technology, new home builders, the best remodelers in the business and so much more. You’ll find everything you need for home improvement under one roof!
Show hours:
Friday 1pm – 7pm
Saturday 10am – 6 pm
Sunday 11am – 5pm.
Tickets are $5 per person and children under 12 are free. Download a $2 off coupon here.

U.S. HOUSING PRICE APPRECIATION

U.S. HOUSING PRICE APPRECIATION

AVERAGE ANNUAL APPRECIATION BY STATE HOUSING PRICE INDEX 1975-2013

The Map and mini charts below are color coordinated by Census Division. The figures evidence the average annual rate of increase in the HPI (Housing Price Index) per division and the average first year rate of return on a 20% down payment. The actual rate of return on the purchase of real estate will vary with many factors. This ROR calculation is simplified and designed to show the benefit that can often exist by the use of leverage (financing) a purchase vs. paying cash. Taxes, insurance, maintenance and interest expense must all be considered as well, yet currently, these expenses are often less than the cost of renting a similar home and accordingly, can often cancel one another out.

In case you were wondering what area’s In Reno/Sparks had the most home sales in 2013, here it is!

sold-house2

2013 saw 7,241 residential sales across the Reno Sparks market. And though this number was down slightly (1 percent) from the number of residential sales in 2012 (7,322 units sold), it was still respectable given 2013′s low inventory levels with which the market has had to contend all year.

Our region’s MLS defines over 40 MLS areas within Reno-Sparks. [See Reno-Sparks MLS Area Map]. How were 2013′s sales distributed across these MLS areas? Quite varied. Obviously many factors contribute to the number of sales for a particular area. The area’s size, location, population, density, and median sales price are a few that come to mind off the top of my head.

But looking simply at units sold, these are the top selling MLS areas in Reno and Sparks, Nevada in 2013 ranked by the number of sales in each.

Rank MLS Area 2013 Sales
1 Reno-South Meadows 585
2 Reno-Northwest Suburban 457
3 Sparks-East 431
4 Spanish Springs-South 422
5 Sparks-Suburban 404
6 Reno-Stead 391
7 Reno-Southwest 381
8 Reno-Old Northwest 354
9 Sparks 318
10 Reno-South Suburban 279
11 Reno-Cold Springs 259
12 Sun Valley 259
13 Reno-North 233
14 Reno-Old Southwest 229
15 Spanish Springs-West 208
16 Reno-Northwest Foothills 203
17 Reno-Donner Springs 196

Reno’s South Meadows area (MLS Area 143 on the map) takes the top spot with 585 residential sales. That number represents a bit more than 8 percent of all sales in the Reno-Sparks market.

Total residential sales across all property types, including: site/stick built; condo/townhouse; manufactured/modular; shared ownership. Data courtesy of the Northern Nevada Regional MLS – January 2014. Note: This information is deemed reliable, but not guaranteed.

Is NOW the time to buy a home?!?!

Image

Is the housing market still seasonal? The market has been so up and down recently that the answer can depend on whom you ask, and the market that you’re talking about. But, historically, residential real estate sees a lull in the winter holiday season and beginning of the new year — when everyone seems a bit crunched for time, not to mention money. And in most markets it doesn’t pick up again until the end of January. There’s a reason that data on home prices, mortgage rates, etc., are “seasonally adjusted.”

There are compelling signs, though, that as 2013 winds to a close, serious home shoppers should ignore this convention and instead turn it to their advantage. Here are key things that prospective homebuyers might want to consider before putting their quest on winter hiatus.

Mortgage rates have fallen: Primary among the reasons to move now has been the fluctuation in mortgage rates. After having taken a sharp bump up in the late spring, as the housing market re-energized and demand for mortgages surged, mortgage rates have dropped for the second straight week. And at an average of 4.10 percent for a 30-year-fixed loan, they’re at their lowest in six months. It might be true true that with the Federal Reserve apparently committed for the near term to keep interest rates low by buying bonds, that borrowers have some wiggle room. But there are other reasons not to delay.

The ceiling will drop on loan amounts: If you’re seeking a government-backed mortgage — as most mortgages are — you’re already restricted to getting a loan that’s based on the median home prices in your desired area ($417,000 in most housing markets). And the acting head of the Federal Housing Finance Agency, Edward DeMarco, has announced that these limits will go lower next year. While DeMarco assured the public in October that the change wouldn’t be sudden, and that financial markets would have at least six months to adjust, why would you want to wait until then? Home prices in the U.S., meanwhile, have continued to rise.

Loans might be tougher to qualify for, or at least require more paperwork: Starting in January 2014, in order to get a “qualified mortgage” — a loan that’s insured by the Federal Housing Administration, prospective homebuyers will have to make a stronger case for their credit-worthiness. Along with documents spelling out the terms of the loan, mortgage seekers will be supplying proof of current income and assets, credit history, and other debts. And then they’ll have to prove that the annual amount of debt they carry is no more than 43 percent of annual income. The changes, required under the Dodd-Frank Wall Street Reform and Consumer Protection Act, also mandate that the loans carry a fixed-rate and be paid over a term not longer than 30 years.

Investors appear to have taken a breather: Those real estate speculators who were driving up housing prices, and swooping in to snatch away the bargains by making higher bids and cash offers, now seem less smitten with the residential market. A recent poll of investors found that only around 1 in 5 are still interested in buying more homes — about half the number from a year ago. That means less competition.

Average homebuyers seem discouraged: Speaking of the competition, applications for new mortgages have been ebbing in recent months, along with consumer confidence. That should improve the chances of those willing to stay in the hunt, even if it means slogging through the winter weather.

Sellers might be more motivated: Just as it can show a bit more commitment to shop for a home in November and December, the same might be said for sellers, especially those who might be seeking a tax advantage by selling before the year is out, or who have grown impatient after seeing their properties fail to sell during the market’s peak season.

What better time to see a home?: Sure, it might be a little tough to judge a house’s curb appeal through the gloom and slush of late autumn and early winter, not to mention under the holiday lights and tinsel. But what better time to see what a home can stand up to?

It’s true that there are some key areas that probably can’t be inspected or tested if it’s cold or snow is on the ground, such as air conditioning units (which could be damaged in operated at temperatures below 60 degrees) and in-ground sprinklers. On the other hand, it’s a prime time to see how the heater works and how well-insulated the home is. Some other things that might be much more evident include: roof leaks, a basement that floods, pipes that freeze, and inadequate lighting. And how easy is it to get to and from the property during bad weather? If it’s in a rural area, are you likely to get snowed in, see a road washed out or be trapped by a mudslide?

And as for those uninspectable areas: If you can’t wait until the weather warms to have those checked, explore a contingency built into the contract that takes care of any possible repairs