Muhle is a well-known investor in speculative properties, which can deliver excellent opportunities especially in a challenging marketplace. He brings more than 23 years of experience as a highly successful builder, developer and land dealer operating in the Raleigh and Wilmington areas.

“Today’s marketplace is a tremendous opportunity for investors,” said Linda Craft. “Doug has one of the broadest spectrums of knowledge in the industry, and is well known in our market for having a knack for delivering profit for his clients and partners. We look forward to his continued success with our group.”

“I’m already getting a lot of attention from this announcement,” noted Doug Muhle. “I’m looking forward to helping more people cash in on great investment opportunities through this partnership.”

Muhle plans on leveraging his extensive network of bank and real estate connections to focus on REO bank deals, recreational land and coastal property acquisitions and deals and can be reached at 919.971.6415.

The TARR report (Triangle Area Residential Realty report) is one of the area’s leading sources for real estate numbers.  My team subscribes to it every year and we look for the big changes along with the small changes that are happening here in the Greater Raleigh Area.  This month’s report was for a General Brokerage Update for Raleigh, Cary, Research Triangle Park and surrounding areas of North Carolina.

This report compared first quarter 2011 to 2010 when the home buyer tax credit was offered. Here’s some interesting local real estate numbers was offered:

• *CSS – Centralized Showing Service reports home showings: Down 24%
• *2,317 homes for sale changed status to pending: Down 29%
• *Active residential listing inventory down 8%, up 2% from 2010. 
•  *Foreclosure filings:  Down 12%.  Sounds like good news but, it really isn’t.  This is because successfully negotiated shor sales are up.  The “robot signing” foreclosure freeze is over and banks do not need anymore loss on their books to deal with at this point.
• National housing reports showed a 3.7% increase in March over February in 2011 but, 40% of those sales were distressed properties. 
• Greater Raleigh area house selling odds based on the first quarter of 2011 pending sales is 28% compared to 81% in 2006.
• Active residential listing inventory: Down 8% (this is good news for home sellers)
• *New home active listing inventory: Down 21% (this is good news for resale home sellers)
• *Average days on market for closed properties: 122 days, up from 105 days
• *National housing reports showed a 3.7% increase in March over February 2011 but, 40% of those sales were distressed properties.
• *Greater Raleigh area house selling odds based on first quarter 2011 pending sales is 28%. Compared to 81% in 2006.

With the challenging market conditions all Raleigh area home sellers are facing, we at Linda Craft & Team, REALTORS are very grateful and proud to report 65 closings completed first quarter 2011 and 71 pending contracts headed towards closing. That’s a lot of negotiation experience with the new due diligence contract. However, I still like to old contract better just as I liked the 2006 real estate market better. Thank you so very much for your business and referrals.

This is a question people ask me every day and I thought I would spend a few minutes sharing today about what I am seeing.  

Quick Facts:

This November saw a 3.9% jump in housing starts, according to the US Department of Commerce. Unfortunately, the recent gain in activity still lags 45% below the “Healthy” mark, which is 1 million units annually. Foreclosures hit 1.2 million in 2010 up from 900,000 in 2009. 2011 will also be bringing many more foreclosures according to RealtyTrack. That ‘s partially due to issues the industry has face with foreclosures processing that began in the fall and delayed a portion of foreclosures from being completed this year.

What About Loan Modifications?

The  volume of loan modifications according to the treasury department indicate that fewer borrowers were being approved for modifications. Most banks are also telling borrowers they must be behind in payments before they can request a loan modification. They are not telling borrowers the rest of the story and that is once they stop making payments the parallel path of foreclosure begins.

Is That Happening Here In The Raleigh Area?

Yes, last week I spoke to a family who has been processing a loan modification since August of 2010. Their foreclosure date is set for January 3, 2011. They were told the week before Christmas they would not be approved for a loan modification. I suggested they try requesting a forbearance instead of a loan modification to attempt to delay foreclosure. They no longer have time to sell in short sale unless they can get the foreclosure date pushed back. Be cautious if you are considering a loan modification. Most economists agree that we will not see substantial gains in the real estate markets until the jobless rates vastly decline.

How Long Will This Last?

It is going to take several years to work through the excess inventory and many industry experts believe prices will continue to fall another 10% on a national basis. Historically it has taken five to seven years for prices to stabilize after a deep correction. The Triangle market was one of the last to fall and is expected to be one of the first to rebound.

What Is The Best Thing For Me To Do?

2011 will be a great buyers market however, interest rates are starting to edge up and expected to rise later in the new year. Remember, if rates go up 1% it is equal to paying 10% more for the same house. Now is a great time to buy a new home and keep your present house as an investment property. This is the best financial way to ride this sluggish market out and see the largest gains in the future.

If you have any questions or would like to talk about what may be best for you feel free to call me at 919.235.0007.

Hope you have a good week!

In a presentation from Bank of America it was stated that they are processing 60,000 short sales a month and 1 out of 7 home owners are presently behind in their mortgage and headed towards foreclosure. Others are requesting loan modifications and forbearances which far exceed the number of short sale requests they receive daily. Most loan modifications are turned down and end up in foreclosure or short sale. The banks are drowning in paper and losses while they struggle to keep their head above water.   

What is Happening With All of  The Banks?

Collectively banks are sitting on 5 million foreclosures that have not re-entered the market for two reasons. One they can’t get to them and two if they released them all at once we would have a total meltdown when home values drop 50% over night. The banks do not want to foreclosure. They lose on average 70% on a foreclosure compared to 40% on a short sale.

How Does This Affect Triangle  Homeowners?

Homeowners in the Raleigh, Cary and Triangle areas are getting more and more distressed with the longer days on market and economical conditions that continue to worsen. The word at the conference is the market is not expected to hit bottom and start improving for 3 to 10 years depending on the state. It can’t improve until the number of distressed properties stop pouring in. To give you an example 4 years ago Bank of America processed 100 short sales per month. 100 then, compared to 60,000 now, is a radical difference.

What Do You Think, Linda?

 I personally believe the Triangle area of North Carolina is are a 3 year state in a price range of $500,000 and below and a 5 year state if the price range is over $500,000. I would love to be wrong and see it rebound today! By the way, the 3 day conference was not all doom and gloom information. It was advanced training on how to save families and neighborhoods from foreclosure. I have attended two of these conferences this year and have a webinar every week with the CDPE organization to stay on top of this quickly changing market.

What Do I Do If I Have More Questions or Need Help?

There are three quick ways to receive information.  First, you can visit my Raleigh Area Short Sale and Foreclosure Resource Website , or visit my Raleigh Real Estate Website’s Short Sale Information Center or you can just simply call me at 919-235-0007.

As a CDPE-designated agent, I have specialized training in the financial hardships homeowners are facing today. I’ve created a free report to provide information on your options and answer questions you may have. To download this report, visit my other website:

http://www.raleighrealestateforeclosures.com/

I am providing this information free of charge, because not having it could come at a great price.

I’m here to help, so don’t hesitate to contact me.
Linda Craft
Linda Craft & Team, REALTORS
919.235.0007

Linda Craft & Team, REALTORS assumes no responsibility nor guarantees the accuracy of this informati
on and is not engaged in the practice of law nor gives legal or tax advice.
It is strongly recommended that you contact your own personal attorney.

If you have any questions or would like to talk with me further, please feel free to call me at 919.235.0007 or you may also receive detailed reports through my Raleigh Short Sale and Foreclosure Information Website:  www.raleighrealestateforeclosures.com

I hope you have a great week,

Linda

If you have any real estate questions please do not hesitate to contact me.

I hope that you have a great weekend,

Linda

If you have any further questions or would like schedule a private consultation about what is best for you and your property feel free to contact us at 919-235-0007.

Have a great Thursday!

Linda

If you, or anyone you know, has any further questions or if you would like a private, confidential analysis of your current real estate situation, please call me at (919) 235.0007.  I am here to help you.

Linda