Saturday, August 13, 2005
The One- and Five-Year ARMs Rise As Well
Freddie Mac today released the results of its Primary Mortgage Market Survey (PMMS) in which the 30-year fixed-rate mortgage (FRM) averaged 5.89 percent, with an average 0.5 point, for the week ending August 11, 2005, up from last week when it averaged 5.82 percent. Last year at this time, the 30-year FRM averaged 5.85 percent.Full Story: http://realtytimes.com/rtcpages/20050812_rates.htm
Tuesday, August 09, 2005
Energy Policy Act of 2005
by Broderick Perkins
The nation's most comprehensive new set of energy regulations in more than a decade will give consumers nearly $800 million in home-energy tax breaks beginning in 2006.
Officially dubbed the "Energy Policy Act of 2005 (EPACT)", the new regulations establish the nation's energy policy for the foreseeable future.
With the price of oil appearing stuck above the $60-a-barrel level, President Bush was expected to sign the measure into law at a ceremony in Albuquerque, NM on Monday, Aug. 8. Congress passed the measure last week.
The first national energy policy overhaul since 1992 touches on virtually every conceivable facet of energy, including the production of fossil fuels, nuclear power and renewable energy as well as utility mergers, petroleum markets, new energy facilities and energy conservation.
Beginning in 2007, daylight-saving time will become a month longer running from the second Sunday in March to the first Sunday in November. With an estimated 1 percent savings in household energy bills, consumers are expected to feel a bit sunnier.
A better deal than emotional bliss, however, is cash on the barrel head, and along with tax incentives for businesses, Congress has also given consumers almost $800 million in home-energy tax breaks beginning next year.
According to the Department of Energy, with $874 million earmarked for drivers who buy alternate-fuel vehicles over the decade, EPACT's benefits for consumers' households include a host of tax credits. Tax credits, by the way, are deducted from the amount of tax you owe
They include:
Tax credits topping out at $500 in 2006 and 2007 for money spent on existing homes to upgrade heating and air conditioning systems, insulation, windows, doors and thermostats, caulk leaks, install pigmented metal roofs and otherwise put the bite on energy waste. The write-offs break down with a maximum tax credit of $200 for windows, $300 for air-conditioning, heat pumps and water heaters, and $150 for installation of a highly efficient furnace or boiler.
The day President Bush signs the new law, contractors who build new energy-efficient houses can claim a new tax credit worth up to $2,000. Appliance manufacturers get similar tax credits for engineering more energy-efficient appliances to meet 2007 Energy Star standards. While builders and appliance makers aren't expected to pass their tax break onto consumers, some indirect benefit should come in the form of lower energy bills.
Homeowners who install solar energy systems can claim a tax credit of up to $2,000 for hot water and power generating systems not used to heat swimming pools and hot tubs. Smaller credits are available for fuel cell and photovoltaic power sources. California and some other states and jurisdictions have similar tax credit or rebate deals already in place.
Consumers who park alternative- and clean-fuel burning cars can receive tax credits worth from $1,700 to $8,000 or more. The existing credit for electric cars was extended beyond 2006 when it was due to expire.
Entrepreneurial consumers can also claim a 30 percent credit for the cost of installing clean-fuel vehicle refueling property used in a trade or business of the consumer or installed at the principal residence of the taxpayer.
Published: August 9, 2005
The nation's most comprehensive new set of energy regulations in more than a decade will give consumers nearly $800 million in home-energy tax breaks beginning in 2006.
Officially dubbed the "Energy Policy Act of 2005 (EPACT)", the new regulations establish the nation's energy policy for the foreseeable future.
With the price of oil appearing stuck above the $60-a-barrel level, President Bush was expected to sign the measure into law at a ceremony in Albuquerque, NM on Monday, Aug. 8. Congress passed the measure last week.
The first national energy policy overhaul since 1992 touches on virtually every conceivable facet of energy, including the production of fossil fuels, nuclear power and renewable energy as well as utility mergers, petroleum markets, new energy facilities and energy conservation.
Beginning in 2007, daylight-saving time will become a month longer running from the second Sunday in March to the first Sunday in November. With an estimated 1 percent savings in household energy bills, consumers are expected to feel a bit sunnier.
A better deal than emotional bliss, however, is cash on the barrel head, and along with tax incentives for businesses, Congress has also given consumers almost $800 million in home-energy tax breaks beginning next year.
According to the Department of Energy, with $874 million earmarked for drivers who buy alternate-fuel vehicles over the decade, EPACT's benefits for consumers' households include a host of tax credits. Tax credits, by the way, are deducted from the amount of tax you owe
They include:
Tax credits topping out at $500 in 2006 and 2007 for money spent on existing homes to upgrade heating and air conditioning systems, insulation, windows, doors and thermostats, caulk leaks, install pigmented metal roofs and otherwise put the bite on energy waste. The write-offs break down with a maximum tax credit of $200 for windows, $300 for air-conditioning, heat pumps and water heaters, and $150 for installation of a highly efficient furnace or boiler.
The day President Bush signs the new law, contractors who build new energy-efficient houses can claim a new tax credit worth up to $2,000. Appliance manufacturers get similar tax credits for engineering more energy-efficient appliances to meet 2007 Energy Star standards. While builders and appliance makers aren't expected to pass their tax break onto consumers, some indirect benefit should come in the form of lower energy bills.
Homeowners who install solar energy systems can claim a tax credit of up to $2,000 for hot water and power generating systems not used to heat swimming pools and hot tubs. Smaller credits are available for fuel cell and photovoltaic power sources. California and some other states and jurisdictions have similar tax credit or rebate deals already in place.
Consumers who park alternative- and clean-fuel burning cars can receive tax credits worth from $1,700 to $8,000 or more. The existing credit for electric cars was extended beyond 2006 when it was due to expire.
Entrepreneurial consumers can also claim a 30 percent credit for the cost of installing clean-fuel vehicle refueling property used in a trade or business of the consumer or installed at the principal residence of the taxpayer.
Published: August 9, 2005
Monday, August 08, 2005
Bubble theorists overlook Bay State’s lack of housing production
Top Story from Realtor Digest, Massachusetts Association of Realtors
New data from the U.S. Census Bureau shows that Massachusetts is adding housing more slowly than nearly every other state in the nation, and the lack of new housing production since the start of this decade is among the key factors contributing to the sharp increase in local home prices since 2000. While speculation over the existence of a housing price “bubble” appears to grow every day in the news media, these reports, for the most part, overlook the economic fundamentals of supply-and-demand at work in the Bay State housing market.
Notably, last year, single-family home sales set a record in Massachusetts, and three of the top five years for home sales in the Commonwealth have occurred since 2000 – triggered largely by low mortgage rates and strong demand from baby-boomers and minority and immigrant buyers. During the same time period, the number of new housing units has grown just 1.9 percent across the Bay State, compared to 5.8 percent nationally.
The result has been steady gains in home price appreciation. The average selling price for detached single-family homes and condo in Massachusetts has risen 47 percent in five years, from $261,293 in 2000 to $385,755 in 2004, with double-digit price appreciation occurring in three of those years and four times in the past six years.
While investor activity has increased during this period and new mortgage products have been developed to allow buyers to purchase more home, the upward pressure on prices is due largely to a constrained housing supply. Although multifamily housing starts have doubled in recent years to nearly 7,000 units annually, single-family housing production remains well below existing demand, primarily because of restrictive zoning laws and cumbersome permitting processes, REALTORS® and other housing advocates note.
Gov. Romney has vowed to substantially increase housing production during his term in office, to twice what is was in 2003 when he took office, but the challenge has proved greater than initially thought. Half way through his first term, total housing permits have increased just 29 percent, from 17,465 units in 2002 to 22,477 units last year. The inventory of homes and condos for sale may be up sharply over the past year – by more than 9,800 units or 24 percent – but that’s largely the result of today’s more modest sales pace and existing supply that has not been priced properly to sell. New housing remains slow to come on to the market. Significantly, predictions that home values will fall – such as the PMI US Market Risk Index that puts greater Boston at a better than 50 percent probability for experiencing price declines – fail to account for the local regulatory and land use policies that severely limit new housing development in the Bay State. The more likely reality is that home prices will continue to increase, just at a more modest pace – like the 5-6 percent annual appreciation in median single-family home values observed statewide from April-June.
New data from the U.S. Census Bureau shows that Massachusetts is adding housing more slowly than nearly every other state in the nation, and the lack of new housing production since the start of this decade is among the key factors contributing to the sharp increase in local home prices since 2000. While speculation over the existence of a housing price “bubble” appears to grow every day in the news media, these reports, for the most part, overlook the economic fundamentals of supply-and-demand at work in the Bay State housing market.
Notably, last year, single-family home sales set a record in Massachusetts, and three of the top five years for home sales in the Commonwealth have occurred since 2000 – triggered largely by low mortgage rates and strong demand from baby-boomers and minority and immigrant buyers. During the same time period, the number of new housing units has grown just 1.9 percent across the Bay State, compared to 5.8 percent nationally.
The result has been steady gains in home price appreciation. The average selling price for detached single-family homes and condo in Massachusetts has risen 47 percent in five years, from $261,293 in 2000 to $385,755 in 2004, with double-digit price appreciation occurring in three of those years and four times in the past six years.
While investor activity has increased during this period and new mortgage products have been developed to allow buyers to purchase more home, the upward pressure on prices is due largely to a constrained housing supply. Although multifamily housing starts have doubled in recent years to nearly 7,000 units annually, single-family housing production remains well below existing demand, primarily because of restrictive zoning laws and cumbersome permitting processes, REALTORS® and other housing advocates note.
Gov. Romney has vowed to substantially increase housing production during his term in office, to twice what is was in 2003 when he took office, but the challenge has proved greater than initially thought. Half way through his first term, total housing permits have increased just 29 percent, from 17,465 units in 2002 to 22,477 units last year. The inventory of homes and condos for sale may be up sharply over the past year – by more than 9,800 units or 24 percent – but that’s largely the result of today’s more modest sales pace and existing supply that has not been priced properly to sell. New housing remains slow to come on to the market. Significantly, predictions that home values will fall – such as the PMI US Market Risk Index that puts greater Boston at a better than 50 percent probability for experiencing price declines – fail to account for the local regulatory and land use policies that severely limit new housing development in the Bay State. The more likely reality is that home prices will continue to increase, just at a more modest pace – like the 5-6 percent annual appreciation in median single-family home values observed statewide from April-June.
Saturday, August 06, 2005
Learning How Your Credit Scores
Do you understand your credit score? Find out more at:
http://realtytimes.com/rtcpages/20050805_creditscores.htm
Looking for real estate on Cape Cod, Massachusetts? Go to: www.capecodrelo.com . Search all MLS listings, find great hints for Buyers and Sellers, up to date real estate news, a mortgage calculator and so much more. All free, all no obligation.
http://realtytimes.com/rtcpages/20050805_creditscores.htm
Looking for real estate on Cape Cod, Massachusetts? Go to: www.capecodrelo.com . Search all MLS listings, find great hints for Buyers and Sellers, up to date real estate news, a mortgage calculator and so much more. All free, all no obligation.
Friday, August 05, 2005
Today's Mortgage Rates
According to Freddie Mac a 30-year fixed-rate mortgage averaged 5.82 percent, with an average 0.6 point, for the week ending August 4, 2005, up from last week when it averaged 5.77 percent. Last year at this time, the 30-year FRM averaged 5.99 percent.
The average for the 15-year rate this week is 5.38 percent, with an average 0.6point, up from last week when it averaged 5.34 percent. A year ago, the 15-year averaged 5.40 percent.
Rates are expected to inch slowly and slightly upward. Any rate at or around 6% is still fabulous!
Looking for Real Estate on Cape Cod? Go to www.capecodrelo.com.
The average for the 15-year rate this week is 5.38 percent, with an average 0.6point, up from last week when it averaged 5.34 percent. A year ago, the 15-year averaged 5.40 percent.
Rates are expected to inch slowly and slightly upward. Any rate at or around 6% is still fabulous!
Looking for Real Estate on Cape Cod? Go to www.capecodrelo.com.
Thursday, August 04, 2005
Artist Shanties Add Charm To Waterfront
The new artist shanties located at the Ocean Street docks in Hyannis add a certain charm to the old fishing harbor. Open daily from 11-7, featuring local artists and craftsmen.
Looking for Real Estate on Cape Cod? Go to www.capecodrelo.com for all your real estate needs
Looking for Real Estate on Cape Cod? Go to www.capecodrelo.com for all your real estate needs
What's Happening in August On The Cape?
Pops By The Sea
August 7th 5-7 at the Hyannis Village Green.
August 7th 5-7 at the Hyannis Village Green.
Movies On The Village Green in Hyannis
Every Tuesday At Dusk. Festivities Start With Music, Followed By Vintage Family Movie.
Farmers Market
Local organic grown produce. Every Wednesday 8 am 540 Main St., Hyannis
Barnstable Town Band
35 piece band plays summer time favorites at the Bandstand on the Village Green 7:30pm
Wednesdays
Strolling Muscians
Every Thursday at 5pm Main Street Hyannis
Hyannis Sound
Every Friday at 8pm at the 1st Baptist Church on Main St, Hyannis
Subscribe to:
Posts (Atom)