Summer is upon us here in beautiful Myrtle Beach, South Carolina and at Coastal REO things are heating up as well. The foreclosure and bank owned segments of the market are still growing, unfortunately, but we are poised to handle your REO properties with our unique set of asset management services. Even though foreclosures have hit the resort and second-home real estate segments especially heavy, there is good news on the consumer front.
In April, the National Association of Realtors Pending Homes Sales Index rose 6.7 percent. This index is a forward looking indicator of the housing market and is based on the pending sales of existing homes. This index is based on contracts that have been signed in the last two months. These sales are listed as pending when the contract has been signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing. April marked the third consecutive month that the Index has risen. The Index rose to 90.3, up 6.7 percent from the 84.6 that was posted in March.
An economist for the NAR, Lawrence Yun, said “Buyers are responding to very favorable market conditions. Housing affordability conditions have been at historic highs, but now the $8,000 first-time buyer tax credit is beginning to impact the market.” Continuing, he said “Since first-time buyers must finalize their purchase by November 30 to get the credit, we expect greater activity in the months ahead, and that should spark more sales by repeat buyers.”
In other positive news for the housing market, the NAR’s Housing Affordability Index rose to 174.8 in April. It was the second highest monthly reading on record after peaking at 176.9 in January of this year. The Housing Affordability Index is an expansive measure of housing affordability using consistent values and assumptions over time, which examines the relationship between home prices, mortgage interest rates and family income tracking and was begun in 1970.
If you are interested in buying a primary or secondary home in Myrtle Beach, our full service real estate office is ready to assist you. Check out featured properties here ». If you are a lender, banker or asset disposal firm, click here » to learn more about our extremely unique fixed cost “cradle to grave” asset management offer.