Countrywide Lends A Hand - Part II

In a continuation of its campaign to save buyers (and its bottom line) from loan default, Countrywide announced a partnership with Neighborhood Assistance Corporation of America (NACA). Apparently, NACA has been on the warpath against Countrywide, calling it a prime example of predatory lending. Under the terms of the deal, NACA will conduct household budget analysis of vulnerable borrowers, and Countrywide will adjust the mortgage payments to a manageable level based on NACA's analysis.

Sunday Brunch

Shopping for a new home? As the saying goes, "Be aggressive". (News & Observer)

Let sleeping pigs lie. Or, what's hot in home furnishings. (New York Times)

Thinking about flipping your iPhone? Think again. (Wall Street Journal)

Gloom and Doom From the N&O

Today's N&O features an apocalyptic headline: "Housing Market Takes Nasty Turn". The first paragraph of the article goes on to describe the "accelerating chasm" that is the Triangle housing market. Imagine my consternation. Just a few days days ago I was talking shop with some fellow agents at 411 West - they had just attended a packed-house real estate trends seminar held by a local Realtor association. The presenters rolled out reams of data showing that the Triangle market has not tanked, although it has reset to pre-2005 levels (nothing to sneeze at). Historically popular neighborhoods remain so and continue to appreciate, and homes in excellent condition at the right price are flying off the market.

So, as I slog through this article, I am expecting that something catastrophic has happened. And what do I find? Pending sales are at their lowest level in four years - in other words, the market is back to the pre-2005 level. Sellers who stretched into a high priced home with an adjustable rate mortgage are unable to sell quickly. Anything priced under $350,000 is flying off the market - an old refrain by now in the Triangle. Sales prices continue to rise, with average market wide appreciation of 5.7% over last year.

To be fair, there are some legitimate signals of concern raised by the article. The job market may be slowing some, and newcomers are still having trouble selling the home they left, meaning they may not buy here.

A nasty turn? Hardly. But a headline like that is better than a cup of Starbucks to get the heart racing in the morning.

Countrywide Lends A Hand

Countrywide Financial Corporation announced today that it has launched a program aimed at refinancing or modifying up to $16 billion of the loans in its $1.5 trillion portfolio. Lenders have touted their ability to modify loans for borrowers during the mortgage industry upheaval. Critics say that in practice, lenders have avoided actually having to make good on these boasts, driving more and more homeowners into foreclosure. Will this move by Countrywide actually provide shelter (literally) from the storm for strapped borrowers? The jury is still out on that one.

Home Values Expected to Grow in Triangle Cities

A couple of interesting pieces of information out today. Business Week reports that many real estate markets in the South will remain affordable and see price appreciation. Durham holds a spot on the list, with affordable homes (median home price is $180,100), 6.1% average home price increase over the next 2 years, and continuing job growth.

Meanwhile, the Raleigh-Cary metro continues to show home price appreciation. According to Veros Real Estate Solutions, the area will post strong 6% appreciation over the next year.

Of course, we have to temper this with the fact that we have a record number of homes on the market - the best of the bunch are in demand and commanding top dollar, while the rest sit and grow stale. Job growth and a strong local economy continue to drive the housing market here. And while variations exist from neighborhood to neighborhood within the Triangle (commercial and retail development to bolster North Durham prices, anyone?), we'll probably ride out the current turmoil better than many markets across the country.

I attended the Downtown Durham, Inc Annual Meeting last night. Always interesting. I've attended off and on for the past few years. The crowd has definitely gotten smaller over the years. I don't think this is a bad thing. DDI describes itself as a catalyst for downtown revitalization. Downtown Durham has now become home to world class office space, companies, and one of the largest private Porsche collections in the country. The growth and development of downtown Durham is going viral, which means there is less need for someone to constantly be pushing, proding, and stoking the fire of revitalization. At its own admission, DDI was not able to recognize all of the projects that happened downtown over the past year (and didn't seem to even know about a few of them). Downtown is now too big to be defined by one organization - a good thing, indeed.

Where Great Things Happen

Check out http://www.wheregreatthingshappen.com/share/. This is a fun site designed to let Durhamites put their own twist on Durham's brand, "Where Great Things Happen". Read stories from your neighbors, and share your own.

DCVB Honors Bull Durham

The Durham Convention and Visitors Bureau has announced the honoree for this year's annual tribute luncheon. They will be honoring the 20th anniversary of a Durham original, the movie Bull Durham. I haven't been able to attend a tribute luncheon before, but I hear they are always great. Online reservations are now open, email reservations@durham-cvb.com for more info.

New Mangum 506 Pics

Check out the new renderings for Mangum 506. This is offiically on the market now, you can see more info at the Mangum 506 website or the Maverick Partners Residential website.

I am really feeling the updated design (and I'm not just saying that because we're selling the condos).