Guest this week
Attorney Jose Palacio is quickly becoming a household name advocating on behalf of those who live in Connecticut. He is exceptionally experienced in Immigration, Real Estate, and Family Law.
He later earned his Juris Doctor from Quinnipiac University School of Law. Attorney Palacio has since partnered with Hartford-based attorneys, learning and practicing various forms of law culminating in the establishment of his firm.
Jose Palacio is a member of the Connecticut River Valley Chamber of Commerce and serves on their board of Directors. Palacio is an active and dedicated member of his community volunteering at town, city, and statewide events. Attorney Palacio is fluent in both English and Spanish and can speak workable Portuguese.
STATE OF THE STATE IN REAL ESTATE
https://www.hartfordbusiness.com/article/realtors-economist-cts-housing-scene-not-all-grim
Lawrence Yun, the chief economist for the National Association of Realtors, came to the Hartford Golf Club, with a reassuring assessment of the Greater Hartford, Connecticut and U.S. housing markets and economies. Yun told about 100 members of the Greater Hartford Association of Realtors (GHAR) that Hartford’s housing market held its own in 2018, while much of the nation’s housing markets struggled and he said prospects for a recession later this year or next year are dim, especially with a presidential election just around the corner, meaning interest rates should remain low enough to spur home sales and mortgage refinancing. Statewide, the median price of existing houses sold in 2018 rose for the third consecutive year, despite a 2 percent sales decline. Connecticut’s housing performance ranked among the top 10 U.S. housing-sales markets in 2018, but the state’s continued loss of residents, or outmigration, remains a concern. Fewer residents reduce demand for housing, fewer homes on the market that take longer to sell and at lower prices.
Steady appreciation in real estate prices and values means more Hartford area and Connecticut residents can afford a home, or at least qualify for a mortgage to acquire one.
Yun forecasted improvement in the inventory of new and used houses for sale, which GHAR recently noted has been problematic for Realtors and prospective buyers.
Outlook for US mortgage rates remains stable, housing crunch continues.
https://www.inman.com/2019/06/04/outlook-for-us-mortgage-rates-remains-stable-housing-crunch-continues/
Six months ago, when mortgage rates neared the 5 percent mark and were expected to continue climbing, the real estate business was concerned that home buying in 2019 would be a fraction of what it could be.
Now, though, rates have receded by 50 basis points (a basis point is 1/100th of a percentage point), and all is well. (If all is not well with housing more broadly, at least loan costs aren’t the reason buyers aren’t jumping in.)
Stability is critical, of course, not just for realty sales, but also for mortgage originations. Any jump in loan rates throws both markets into a tizzy. And once things settle down, another increase starts the process all over again.
The Chief Economist for the Mortgage Bankers Association is forecasting the rate on 30-year conventional mortgages to average 4.4 percent this year and 4.6 percent in each of the next two. Rates averaged 4.3 percent in 2017 but jumped up to an average of 4.8 percent last year.
The supply of new homes necessary to meet demand fell short by 337,000 units — more than a third of a million.
Numerous economists have cited labor, land, and lenders as the reasons builders are not building houses at the rates they should be. But, the “most acute” problem is with the lack of building sites. The cost of a lot is becoming more expensive than the house itself.
Compass sued over a single decimal point
https://www.inman.com/2019/06/05/compass-sued-over-decimal-point/
When it comes to contracts, attention to detail is essential. Sometimes a misplaced decimal point can mean the difference between thousands of dollars and nearly $1 million.
That’s the situation with a new lawsuit filed by Residential Realty Advisors (RRA), a real estate advisory firm for multifamily projects, against fast-expanding NY-headquartered brokerage Compass, over what RRA claims is underpayment — the company wants $871,000 instead of the $8,710 it received — due to what it says was a simple error in a contract for work it completed for a company later swallowed up in a chain of acquisitions that ended, most recently, with Compass.
Specifically, RRA claims there was a “scrivener’s error” in its contract with The Mark Company, a real estate sales and marketing firm acquired by Pacific Union International in 2015, which was subsequently acquired by Compass last year.
Amazon is selling entire houses for less than $20,000 — with free shipping.
https://www.marketwatch.com/story/amazon-is-selling-entire-houses-for-less-than-20000-with-free-shipping-2019-05-22?fbclid=IwAR2nkOKaz1pNgPLP8KTJxu9ceX_HWBRaoY_H_p6rVmQWimhD061tYrjeO14
Residential builders have found a new home: Amazon.
Prefabricated and modular housing — with homes prebuilt in factories — is having another moment. From 2013 to 2018, industry revenue grew an annualized 8.6% to nearly $10.5 billion, including the growth of 4.1% in 2018 alone, according to research firm IBISWorld.
The homes can be built in 2-3 days with two adults.. There are a number of charming cabins and homes for sale on the internet giant — their prices may be shockingly low, but there are often additional costs and significant downsides.
We are going to dive deeper into the tiny house movement in the next episode. This isn’t weird.. retailers have sold homes before. Sears House Kits of the 1920s.
Among the catalog giant’s astounding range of offerings were house kits, which the company began marking in 1908. The kits came in 447 different designs, from the grand “Magnolia” ($5,140 to $5,972) to the more humble, but popular “Winona” ($744 to $1,998). Sears advertised the kits with the promise that “We will furnish all the material to build this [house design]. All the parts arrived (usually by train) precut and rea...
