Our newsletter is focused on keeping you current with national, regional, and local real estate news. We read hundreds of articles each month and strive to share the most relevant, impactful information with you. We hope you find value in the content and we appreciate you taking the time to read it. If you, or anyone you know, is looking to buy or sell real estate we would welcome the opportunity to discuss our qualifications to assist.
Did You Know: Crescent Real Estate also owns a title company that can handle your purchase and/or refinance closing? Crescent Abstract had the privilege of handling over 200 closings in 2016 and looks forward to another successful year!
January was a very active month with Montgomery, Delaware, and Chester Counties posting double digit growth in pending sales. Versus January 2016, Chester County was up 37.7%, Delaware County was up 15.6% and Montgomery County was up 17.9%. Inventory is extremely low and remains a huge challenge for buyers. 6 months of standing inventory is generally considered a neutral market between buyers and sellers. Chester County currently has 3.5 months of inventory which is down 18.6% from last January. Delaware County has 3.9 months of inventory, down 27.8%. Montgomery County has 3.4 months of inventory, down 19%. Market conditions certainly favor Sellers and now is a great time to list your home. As of 2/22/17, Radnor School District only has 108 active listings and Tredyffrin-Easttown only has 183.
SETTLED TRANSACTIONS BY COUNTY
JAN 16 JAN 17 %Change
Chester County 351 383 9.1%
Delaware County 357 373 4.5%
Montgomery County 529 501 5.3%
PENDING TRANSACTIONS BY COUNTY
JAN 16 JAN 17
Chester County 337 464
Delaware County 398 460
Montgomery County 570 672
INVENTORY ACCUMULATION BY COUNTY
JAN 16 JAN 17
Chester County 4.3 months 3.5 months
Delaware County 5.4 months 3.9 months
Montgomery County 4.2 months 3.4 months
Mortgages rates have stabilized over the past few weeks after increasing following the presidential election. Rates for 30-year fixed conforming loans are 4.25%, FHA/VA are 4.00%, and Jumbo loans are 4.25%. Here are some general conditions we’ve observed from mortgage industry experts: 1) Rates had been trending higher since hitting all-time lows in early July, and exploded higher following the presidential election, 2) Some investors are increasingly worried/convinced that the decades-long trend toward lower rates has been permanently reversed, 3) With the incoming administration's policies driving a large portion of upward rate momentum, mortgage rates will be hard-pressed to return to pre-election levels until well after Trump takes office. Rates can move for other reasons, but it would take something big and unexpected for rates to get back to pre-election levels.
Lower Merion School District proposes a 3.85% school tax increase. Lower Merion School District officials are proposing another tax increase of 3.85% for the 2017-18 school year, while last year’s tax hike is still under legal review in the courts. The proposed budget increases total spending from $258.9 million for 2016-17 to $267.7 million. The property tax millage rate would increase to 28.4493. One mill equals $1 in taxes for every $1,000 of assessed property value; therefore, the owner of a home assessed at the district average of $250,680 would see a property tax increase of $264. The approved budget for 2016-17 is under dispute in a legal challenge that was initiated last year. The lawsuit claims that the district has been using the threat of annual budget deficits to increase taxes at a rate that has led to large and unnecessary budget surpluses. Under an order in August by a Montgomery County, the district was ordered to lower the millage rate to 26.8616. The decision is under appeal and a decision is expected sometime within the next several weeks. Source: Main Line Times; 1/29/2017