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KB Home trims inventory, losses

By Inman News, Friday, June 26, 2009.

Builder KB Home said home sales were down 37 percent during the second quarter from a year ago, to 1,761 units, with the average price declining 5 percent to $216,200.

But the Los Angeles-based home builder managed to slash inventory by 39 percent from a year ago, to 3,804 homes, while paring losses to $78.4 million, down from $256 million in the second quarter of 2008.  more...

Study: Pros, cons of mortgage choices

By Inman News, Friday, June 26, 2009.

The Mortgage Bankers Association has released a 60-page study intended to serve as an overview for choosing between different types of mortgages and determining when to refinance.

The 58-page study, "A Financial Analysis of Consumer Mortgage Decisions," also analyzes the pros and cons of using surplus cash to pay down a mortgage or investing in Treasurys or municipal bonds.  more...

Low rates: Good news, bad news

By Lou Barnes, Friday, June 26, 2009.
Flickr photo by <a href="http://www.flickr.com/photos/cygnus921/2354592701/" target=blank>cygnus921</a>.

Long-term interest rates have fallen in dramatic fashion in the last 24 hours, the 10-year Treasury-note to 3.51 percent and low-fee mortgages to 5.25 percent.

Inflation freaks and dollar bears caved in, as no data supported their theories. "Green shooters" were confounded by a rise in new claims for unemployment insurance to 627,000, halfway back to the April peak, and their hopes do not square with Warren Buffet's description of the economy as "a wreck."  more...

Lowball offers fail buyers

By Tara-Nicholle Nelson, Friday, June 26, 2009.

Q: My wife and I are getting frustrated by sellers who seem like they don't really want to sell their homes -- even in this market!

This scenario has happened several times: We see a place we like listed at $499,000. We write an offer at $445,000. The seller doesn't even respond. Then, six weeks later, the place is still on the market and the price is reduced to $449,000 -- if they had issued us a counteroffer at $449,000, we'd have bought it back then. We're still interested, but we're not paying the full price, so we offer $425,000 -- and they still don't even respond. We've done this on several houses, over the last four months, and ALL of those houses are still on the market! We think these sellers are just crazy.  more...

Decking choices abound

By Paul Bianchina, Friday, June 26, 2009.

If you're thinking of a new deck or perhaps rehabbing your old one by replacing those worn deck boards, you have no doubt noticed that you have a whole lot of choices these days. Natural wood, treated wood and synthetics abound, with some pros and cons to each choice. So here's a basic rundown on some of things you might want to consider when making your selection.

Also, remember to ask about fasteners when you make your decking choice. Some types of both natural and synthetic decking materials require specific fasteners to prevent staining, "mushrooming" around the screw head, and other possible problems, so be sure to select the right fastener for the job.  more...

Holding real estate agents accountable

By Inman News, Friday, June 26, 2009.

Eric Stegemann, who leads strategic development at Tribus Real Estate, a real estate consulting and technology firm, is coming to the Real Estate Connect conference in San Francisco, which runs from Aug. 5-7, 2009.

Tribus services include training and marketing, and the company also offers technology tools including customer relationship management, lead management, accounting, communications, virtual tour and location-aware mobile search.

Stegemann also serves as managing broker at River City Real Estate, based in St. Charles, Mo.  more...

Appraisal issue coming to a head Premium Content

By Matt Carter, Friday, June 26, 2009.

An increasingly common complaint of Realtors -- that "lowball" appraisals below agreed-upon sales prices are derailing many home sales -- has been taken up by industry trade groups.

The National Association of Realtors and the National Association of Home Builders have both identified issues surrounding appraisals as a factor putting a damper on sales of new and existing homes in May -- the first month new rules governing appraisals conducted on loans slated for purchase by Fannie Mae and Freddie Mac took effect.  more...

The great condo collapse

By Steve Bergsman, Friday, June 26, 2009.
Flickr photo by <a href="http://www.flickr.com/photos/carolyncoles/2584260378/in/photostream/">Carolyn Coles</a>.

In early May, Opus West Corp. filed for Chapter 11 reorganization for one of its developments. The Phoenix-based commercial developer, according to press reports, owed $160 million to a group of banks on a shopping center development in Texas. The news was of interest to a close friend of mine who lived in a condominium complex in Irvine, Calif.; his development is owned by Opus West.

When I talked to him about the bankruptcy, he didn't appear concerned. With the average condo price in his building at $1.4 million, this was a fairly upscale development and all the glorious amenities that were an inducement to move there were still intact, all services operational and there had been no additional calls for re-assessments of condo fees.  more...

Closing.com gets ready for RESPA reform

By Inman News, Friday, June 26, 2009.

Closing.com, a Web site that allows consumers and real estate professionals to comparison-shop for settlement services online, says it will display cost estimates in the format required on the standardized Good Faith Estimate before lenders are required to use that form beginning Jan. 1.

By the fourth quarter of this year, borrowers using Closing.com will be able to submit a "pre-GFE" to loan originators, allowing for more reliable estimates of closing costs, the company said in announcing the launch of a 2.0 version of its Web site in beta testing.  more...