This Week in Real Estate: February 12, 2018

This Week in Real Estate, Fannie Mae released the results of it’s January Home Purchase Sentiment Index, which recorded an all-time survey high. Below are a few highlights from the first week of February that influence our business:

* LMI Indicates Continued Improvement Across the Country. According to the NAHB/First American Leading Markets Index (LMI), 82%, 277 metropolitan statistical areas, recorded growth in their LMI Score over the fourth quarter of 2017 compared to a year ago. The index uses single-family housing permits, employment, and home prices to measure proximity to a normal economic and housing market. The index is calculated for 337 local markets, metropolitan statistical areas (MSAs), as well as the entire country. A value of 1.0 means the three components have achieved a level of recovery that combined averages 1.0. Of the 337 metro areas tracked by the LMI, 195 of them have an LMI Score that exceeds 1.0. House prices continue to be a key driver of the LMI results. Of the 337 markets tracked by the LMI, house prices in 333 areas have normalized or are above 1.0. The LMI Score for the country as a whole reached 1.04. However, at 1.58, only the house price component is above 1.0. Meanwhile, the employment component sits at 0.98 and single-family permits are currently at 0.56. One interpretation of these metrics is that the slower recovery in housing supply coupled with strong demand is contributing to house price appreciation.
* Americans Gain Confidence in Housing as Home Prices Rise. Americans continue to gain confidence in the housing market, not just despite, but even because of rising home prices, according to the latest Home Purchase Sentiment Index from Fannie Mae. Over the past year, home prices have continued to rise, threatening affordability, and housing inventory is falling dangerously low. However, despite these setbacks, Americans continue to hold a positive view of the housing economy. Fannie Mae’s HPSI rose 3.7 points in January to 89.5, reversing the decrease seen the month before and an all-time survey high. This rise is due to increases in five of the six HPSI components. “HPSI rebounded from last month’s dip to a new survey high in January, in large part due to the spike in consumers’ net expectations that home prices will increase over the next year,” said Doug Duncan, Fannie Mae senior vice president and chief economist.
* Housing Affordability Remains Flat in 2017. Data for all four quarters of 2017 show housing affordability remaining essentially flat throughout the year, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Opportunity Index (HOI). In all, 59.6 percent of new and existing homes sold between the beginning of October and end of December were affordable to families earning the U.S. median income of $68,000. This is just slightly up from the 58.3 percent of homes sold that were affordable to median-income earners in the third quarter, and effectively the same rate as in the fourth quarter of 2016, when the HOI stood at 59.9 percent. The national median home price fell to $255,000 in the fourth quarter of 2017 from $260,000 in the previous quarter. Meanwhile, average mortgage rates inched down four basis points in the fourth quarter to 4.06 from 4.1 in the third quarter. Youngstown-Warren-Boardman, Ohio-Pa. and Syracuse, NY tied as the nation’s most affordable major housing market. In both metros, 88.3 percent of all new and existing homes sold in the fourth quarter were affordable to families earning the area’s median income of $54,600 and $68,000, respectively. San Francisco, which had been the nation’s least affordable housing market for 19 straight quarters before being displaced by Los Angeles in the third quarter of 2017, once again assumed the mantle as the least affordable market. There, just 6.3 percent of the homes sold in the last quarter of 2017 were affordable to families earning the area’s median income of $113,100.

Have a productive week.

Jason


This Week in Real Estate: February 4, 2018

 

The fourth quarter of 2017 resulted in sellers realizing a 10-year high of profits and the homeownership rate reaching the highest level in three years as reported This Week in Real Estate by ATTOM Data Solutions and the U.S. Census Bureau respectively. Below are a few highlights from the last week of January that influence our business:

*Average Home Seller Profits at 10-Year High of $54,000 in Q4 2017. ATTOM Data Solutions released its Year-End and Q4 2017 U.S. Home Sales Report Tuesday, which shows that home sellers in Q4 2017 realized an average home price gain since purchase of $54,000, up from $53,732 in the previous quarter and up from $47,133 in Q4 2016 to the highest since Q3 2007 — a more than 10-year high. That $54,000 average home seller profit represented an average 29.7 percent return on investment compared to the original purchase price, up from 28.8 percent in the previous quarter and up from 26.8 percent in Q4 2016 to the highest average home seller ROI since Q3 2007. “It’s the most profitable time to sell a home in more than 10 years yet homeowners are staying put longer than we’ve ever seen,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. “While home sellers on the West Coast are realizing the biggest profits, rapid home price appreciation in red state markets is rivaling that of the high-flying coastal markets and producing sizable profits for home sellers in those middle-American markets as well.” Among 155 metropolitan statistical areas with sufficient historical data, those with the highest average home seller ROI were San Jose, California (90.9 percent ROI); San Francisco, California (73.3 percent); Merced, California (64.6 percent); Seattle, Washington (64.4 percent); and Santa Cruz, California (59.8 percent). The U.S. median home price in 2017 was $235,000, up 8.3 percent from 2016 to a new all-time high. Annual home price appreciation in 2017 slowed slightly compared to the 8.5 percent in 2016.

Full Story… https://www.attomdata.com/news/home-prices-and-sales/2017-home-sales-report/

*Homeownership Rate Reaches Highest Level in Three Years. The national homeownership rate reached its highest level since the fourth quarter of 2014, increasing slightly in the last quarter of 2017, according to the Quarterly Residential Vacancies and Homeownership report from the U.S. Census Bureau. The homeownership rate remained statistically unchanged, inching up to 64.2% in the fourth quarter. This is up from 63.7% the year before and 63.9% in the third quarter. Among Millennials, the homeownership rate ticked up slightly from 35.6% to 36%. Among older generations, the homeownership is significantly higher at 75.3% for those aged 55 to 64 years and 79.2% for those aged 65 years and older. “What’s even more positive news for the housing market is that much of the increase in the homeownership rate over the past year has come from 18 to 44-year olds,” Trulia Chief Economist Ralph McLaughlin said.

Full Story… https://www.housingwire.com/articles/42403-homeownership-rate-reaches-highest-level-in-three-years

*Private Residential Spending Reaches Cycle High. NAHB analysis of Census Construction Spending data shows that total private residential construction spending rose 0.5% in December to a seasonally adjusted annual rate of $526.1 billion, the highest level since March 2007. Total private residential construction spending rose 6.2% last year, after increasing 12.5% in 2016. The monthly gains are largely attributed to the increase in multifamily construction spending. It rebounded strongly 2.6% after a dip of 0.5% in November, reaching a $64.0 billion annual pace in December. Single-family construction spending inched up 0.4%, after surging 2% in November. Remodeling spending slipped slightly 0.2% in December. On a year-over-year basis, spending on home improvements increased by 3.2%.

Full Story… http://eyeonhousing.org/2018/02/private-residential-spending-reaches-cycle-high/

Have a productive week.

Jason


This Week in Real Estate: January 29, 2018

Despite inventory pressure, which in turn has driven continued price appreciation as a result of buyer demand, the National Association of Realtors announced This Week in Real Estate that 2017 existing home sales recorded the best year in 11 years. Below are a few highlights from the fourth week of January that influence our business:

* Cash Sales Tie Post-Recession High. NAHB analysis of the most recent Quarterly Sales by Price and Financing published by the Census Bureau reveals that cash sales accounted for 11,000 new home sales in the fourth quarter of 2017. Cash purchases made up 7.9% of purchases in the fourth quarter, a mark not seen since 2014. Although cash sales make up a small portion of new home sales, they constitute a larger share of existing home sales. Roughly 20% of existing home transactions were all-cash sales in December 2017, according to estimates from the National Association of Realtors. Conventional financing contracted sharply following the Great Recession, but has expanded as the recovery has continued. In 2006, conventional financing accounted for 90% of new home purchases, falling to 59% in 2010. Conventional loans accounted for 72% of new home sales in 2017, on average, the highest annual average since 2008.

 

* Best Year For Home Sales Since 2006, Despite Headwinds. Existing home sales in 2017 increased 1.1 percent for the best year in 11 years. According to the National Association of Realtors® (NAR), the 5.51 million sales of existing single-family homes, townhomes, condos, and cooperative apartments surpassed the 5.45 million sales in 2016 to have the highest number of transactions since 6.48 million were sold in 2006. Lawrence Yun, NAR chief economist, says the housing market performed remarkably well for the U.S. economy in 2017, but wasn’t as good as it might have been.  The year brought substantial wealth gains for homeowners and historically low distressed property sales. “Existing sales concluded the year on a softer note, but they were guided higher these last 12 months by a multi-year streak of exceptional job growth, which ignited buyer demand,” he said. “At the same time, market conditions were far from perfect. New listings struggled to keep up with what was sold very quickly, and buying became less affordable in a large swath of the country. These two factors ultimately muted what should have been a stronger sales pace.” The median existing-home price for all housing types in December was $246,800, a 5.8 percent rate of appreciation for the year and was the 70th straight month of year-over-year gains. The inventory of available homes fell another 11.4 percent in December to 1.48 million and is now 10.3 percent lower than a year ago (1.65 million).  The inventory has declined year-over-year for 31 consecutive months and is currently estimated at a 3.2-month supply, the lowest level since NAR began tracking in 1999. Existing-home sales in the West declined 0.8 percent below a year ago.

 

* Purchase Mortgage Applications Hit 8-Year High. Mortgage applications continue on the tear they started during the first week of 2018. The Mortgage Bankers Association’s (MBA’s) Market Composite Index, a measure of loan application volume, increased 4.5 percent on a seasonally adjusted basis during the week ended January 19. The gain came on the heels of 8.3 percent and 4.1 percent increases in the first two weeks of the year. Both the Refinancing and Purchase Indexes saw gains.  The seasonally adjusted Purchase Index was up 6 percent from the week ended January 12, its fourth straight increase, and was the highest since April 2010.
Have a productive week.

 

Jason


Portland Metro Weekend Events: January 26-28, 2018

PORTLAND METRO WEEKEND EVENTS PLANNER
JANUARY 26-28, 2018

INTERNATIONAL CAT SHOW

FRI-SUN – See dozens of breeds, judging, and one amazing event. There will be rescue cats and kittens available for adoption from West Columbia Gorge Humane Society and Community Cat Coalition. There will also be a large variety of vendors, who will be offering cat items for sale, not found in local stores, including teasers, cat nip toys, fluffy blankets, cat trees and jewelry.

PORTLAND INTERNATIONAL AUTO SHOW

THURS-SUN  Experience the newest automotive technology in the market today plus get a glimpse into what is coming in the future.

GREAT TRAIN SHOW

SAT-SUN – Featuring hundreds of tables of trains, accessories, scale models and collectible toys for sale as well as huge operating exhibits, activities for kids, free seminars and educational opportunities, and much more.

MOCHITSUKI

SUN – Portland’s annual Japanese New Year celebration, entertainment, hands-on activities, ikebana, calligraphy, games, rice pounding, mochi, and Japanese foods

VINTAGE MARKETPLACE

SAT-SUN – A wonderful array of treasures for you and your home.

SPONTANEOUS COMBUSTION NEW MUSIC FESTIVAL

Through February 2 – Featuring concerts by seven talented artists at The Old Church Concert Hall

DOLL & TEDDY BEAR SHOW

SAT – Something for everyone, including more antique and vintage vendors than ever. The finest exhibitors in the West fill the room with dolls, bears, miniatures, supplies, wigs, clothes books and accessories from antique to modern.

REEL MUSIC FESTIVAL

Through January 30 – Whether your passion is jazz, blues, folk, rock, electronic, world, classical—or anything between—we hope you find something to discover and inspire in this eclectic mix of films that celebrate great artists, sound, and image, and connect music and culture. Various locations around Portland.

FERTILE GROUND ARTS FESTIVAL

THURS through January 28  Discover compelling indoor landscapes of many hues and disciplines cultivated in Fertile Ground. This 11-day sampling illuminates the verdant and abundant acts of creation that bubble and catalyze yearlong in Portland.

STRANGER THAN FICTION

Through SUN  Various short pieces performed by a multi-generational cast, combining circus arts, narrative, dance, and physical theater. (Part of the 2018 Fertile Ground Festival) 

80’s VIDEO DANCE ATTACK

Every FRI & SAT – Dig out your neon mesh shirts, crimping iron and striped legwarmers to travel back to the 1980s! Classic music videos projected on giant screens complimented with a thumping sound system and light show, this dance extravaganza is sure to get the blood pumping!

PORTLAND CIDER HOUSE’S CIDER-MOSA SATURDAY

EVERY SAT – Enjoy a liquid brunch and try a variety of delicious and fun cider-mosas.

FLASHBACK DANCE CRUISE
Through SAT – Gather your crew & rock your best retro threads from the 70’s, 80’s and 90’s!

DUELING PIANO SHOW
FRI & SAT (All Month) – The Barrel Room lays claim to the longest running dueling piano shows in Portland. The show, which at times can get a “little cheeky,” isn’t just two players banging on pianos for five hours. They boast a Vegas style, request driven, interactive show complete with bits, games, sing-a-longs, comedy and some of the best players in the U.S.

URBAN SCAVENGER HUNT
ALL MONTH  Smartphone clues lead you on a fun & engaging walking tour of the city. Clues start you in the heart of downtown at Pioneer Courthouse Square and will take you on a scavenger hunt through the Arts District, on a streetcar ride and among the famous food carts.

SHANROCK’S TRIVIOLOGY
ALL MONTH  Various Portland Locations: Triviology pub quizzes are free to play, last a couple of hours, and are composed of seven short rounds, giving teams instant gratification for their efforts. Team size can range from one to five players, with prizes for everyone on the winning team.

GUIDED NATURE HIKES
EVERY DAY – Park guides lead nature hikes to explore the forest, stream ecosystems and natural history of the natural area. Tryon Creek State Park & more.

HAUNTED PUB TOUR
All Month – This spine-tingling ghost tour explores Portland’s historic Old Town District, a vibrant area with beautiful 1800’s buildings, cobblestone streets and a wicked past.

GEEKS WHO DRINK PUB QUIZ
ALL MONTH – Anyone can grab a deck of Trivial Pursuit cards and run a “trivia night.” Geeks Who Drink’s smartass quizmasters run fast-paced, interactive and beer-soaked pub quiz events all over Portland.

PORTLAND ESCAPE ROOMS
All Month THURS-SUN – Cedar Hills/Beaverton Locations: Real-life room escape games are a type of physical adventure game in which people are locked in a room with other participants and have to use elements of the room to solve a series of puzzles, find clues, and escape the room within a set time limit.

 

VANCOUVER METRO EVENTS

RACE FOR WARMTH

SUN – Join the Race for Warmth to support Operation Warm Heart, a Clark Public Utilities customer-funded program to help limited-income families in crisis situations who need help paying their electric bills.

VANCOUVER SYMPHONY ORCHESTRA: MUSICAL JOURNEY 

SAT  Featuring two beloved symphonies, each representing a “spiritual and emotional” journey for the composer.

CLARK COUNTY COLLEGE JAZZ FESTIVAL 

THURS-SAT  Presenting three full days of exhilarating big band jazz. Sixty middle and high school jazz ensembles from throughout Washington and Oregon are scheduled to perform in this year’s competition with trophies presented to the top three jazz ensembles for middle schools and A through AAAA division high schools.

LANTERN TOUR: AN EVENING AT THE FORT 

SAT  A wonderful opportunity to experience the reconstructed Hudson’s Bay Company fort at night. As in past years, each adult attending the program will carry their own candle lantern and tour with a park ranger through the reconstructed fort’s Counting House, Fur Store, Chief Factor’s House, Kitchen, and Bake House.

IMPROV THEATRE

SAT  MIT players assure audiences they are prepared to launch into 2018 with a whole new barrel of laughs in downtown Vancouver. In a world where folks are never sure what life will launch at them next, it’s refreshing to know that MIT is always family friendly! It’s safe to bring the kids and Grandparents! 

OPEN SATURDAY AT PEARSON AIRBASE

SAT – Free educational experience, Flight Simulator lab, vertical wind tunnel, a glider-building station, historic airplanes on-site for viewing, collections on display, and educational programs to propel students of all ages.

NEW MOVIES OUT THIS WEEK
· Please Stand By
· Hostiles
· Maze Runner: The Death Cure
· The Neighbor
· American Folk
· The Clapper
· The Misguided
· Like Me
· Kickboxer: Retaliation

Click here for movie times and theaters.

CLICK HERE TO VIEW THIS WEEK’S OPEN HOUSES

For a monthly online listing of upcoming Portland metro events, click here.


This Week in Real Estate: January 22, 2018

Prior to investing in a home improvement project, would it be beneficial to know which remodeling projects net the highest return on investment (ROI)? Remodeling Magazine released This Week in Real Estate it’s Cost vs. Value Report for 2018. Below are a few highlights from the third week of January that influence our business:

* Cost vs. Value: The Home Improvement Projects With The Highest ROI in 2018. Remodeling Magazine’s newly released Cost vs. Value Report for 2018, which measures the average cost of 21 popular remodeling projects and their average resale value one year later, found that average return on investment (ROI) for home improvement projects dipped across the board, with “upscale” projects taking the biggest hit. Garage door replacement has the highest ROI at 98.3 percent (up from 85 percent year-over-year). Backyard patio jobs garner the lowest ROI, at 47.6 percent (down from 54.9 percent year-over-year). The reason for the sweeping decrease in ROI isn’t immediately obvious, but Remodeling magazine’s editor-in-chief (and manager of the report) Craig Webb notes that it’s likely related to the strength of the housing market currently. However, a silver lining from the report relates to when the data was compiled. Remodeling magazine put all the cost information together before the country was struck with several natural disasters, including massive forest fires and several hurricanes. Since then, building supplies and the price of skilled labor has increased, but that’s expected to change over the course of 2018. As a result, expect to see the ROI of most of these projects level out by the end of the year. Despite these events, some longtime trends continued through the new year. Remodeling is still far more cost-effective than replacement, but, according to real estate pros, replacing is still the way to go. This year, there’s a 20-point difference in ROI: 76.1 percent for replacement jobs, versus 56 percent for remodeling. Nationally, when it comes to renovation ROI, curb appeal still wins out.


* Builder Confidence Remains Strong as New Year Starts. Builder confidence in the market for newly-built single-family homes dropped two points to a level of 72 in January on the National Association of Home Builders/Wells Fargo Housing Market Index (HMI) after reaching an 18-year high in December 2017. Builders confidence remained strong given changes to the tax code will promote the small business sector and boost broader economic growth. Nonetheless, home builders continue to face building material price increases and shortages of labor and lots. In a recent NAHB survey, 84% of builders cited concerns regarding cost and availability of workers as a key challenge for 2018, matching the 84% who cited rising building material prices. The HMI gauge of future sales expectations has remained in the 70s, a sign that housing demand should continue to grow in 2018. As the overall economy strengthens, owner-occupied household formation increases, and the supply of existing home inventory tightens, we can expect the single-family housing market to make further gains this year. The three HMI components registered relatively minor losses in January. The index gauging current sales conditions dropped one point to 79, the component charting sales expectations in the next six months fell a single point to 78, and the index measuring buyer traffic fell four points to 54. Looking at the three-month moving averages for regional HMI scores, the West rose two points to 81, the South increased one point to 73, the Midwest inched up a single point to 70 and Northeast climbed five points to 59.


* U.S. Foreclosure Activity Drops to 12-Year Low in 2017. Attom Data Solutions released its Year-End 2017 U.S. Foreclosure Market Report on Thursday, which shows foreclosure filings — default notices, scheduled auctions and bank repossessions — were reported on 676,535 U.S. properties in 2017, down 27 percent from 2016 and down 76 percent from a peak of nearly 2.9 million in 2010 to the lowest level since 2005. Those 676,535 properties with foreclosure filings in 2017 represented 0.51 percent of all U.S. housing units, down from 0.70 percent in 2016 and down from a peak of 2.23 percent in 2010 to the lowest level since 2005. “Thanks to a housing boom driven primarily by a scarcity of supply, which has helped to limit home purchases to the most highly qualified — and low-risk — borrowers, the U.S. housing market has the luxury of playing a version of foreclosure limbo in which it searches for how low foreclosures can go,” said Daren Blomquist, senior vice president at ATTOM Data Solutions.
Have a productive week.

Jason


Top 7 Interior Design Trends for 2018

 

The modern home is always evolving. To get an idea of what it’s evolving to, look no further than what’s happening within its walls today. Here are 7 of the top design trends for 2018.

1) Bold colors

Rich jewel tones are making their way onto our walls and moldings in a big way—think ‘English library,’ but with peacock teal, black, or rich burnt orange colors.

The proof is in the paint: Sherwin-Williams’ 2018 Color of the Year (Oceanside SW 6496) is an intense shade of blue-green, while Pantone recently announced the rich and regal Ultra Violet will reign supreme in the coming year.

2) Mixed metallics

Buyers really love to see modern, eclectic choices such as a hammered copper light fixture above the kitchen island paired with sleek chrome faucets and cabinet hardware.

To warm up the industrial feel of some metals, pair them with a natural stone like marble or limestone, and look for unexpected finishes like matte black, satin brass, black nickel, and unlacquered brass.

3) Bright yellow

As designers, fashionistas, and millennials will all tell you, the hue that’s being dubbed “Gen Z yellow” is the one to watch.

It’ll certainly make an impression, whether a bright ‘minion’ color or a burnt shade resembling turmeric.

If you can’t quite warm up to a bright yellow sectional, test the waters with an accent chair or painted side table.

4) Quartz

In the kitchen, sleek quartz is taking the place of the ubiquitous granite and hard-to-clean marble. Quartz products are appealing to the ease of living that we all crave, and the surfaces are much more modern, clean, and versatile.

5) Light textured wood floors

Flooring trends are moving toward lighter color palettes in domestic American woods such as maple, pine, or hickory.

Why? Light-hued woods, including natural tones and blond and whitewashed woods, brighten interior spaces and easily hide scratches and imperfections, making them a great choice for families and households with pets. For extra credit, choose a distressed or wire-brushed wood, which offers vintage appeal with a less aggressive look than a scraped floor, and choose 5-inch-wide planks, which create a sense of openness and space.

6) Black fixtures

Black fixtures will take the place of brass as the new hot home hardware, predicts Ryan Brown of Brown Design Group in Southern California. The first reason is easy: Black pretty much goes with everything. The second? Black fixtures—especially in matte finishes—are much easier to clean (and don’t need to be cleaned as often) than lighter, polished metals, with no water spots to clean.

7) Large tiles

Larger tile has less grout and is both easier to install and maintain.

Clients want a really clean look for their homes and that doesn’t appear to be a trend that’s going away.

Article courtesy of Realtor.com.


This Week in Real Estate: January 15, 2018

No end of year slow down in 2017 for newly constructed homes, according to the Mortgage Bankers Association’s Builder Applications Survey results, that were released This Week in Real Estate. Below are a few highlights from the second week of January that influence our business:

* New Home Sales Defy Holiday Lull, Rising in December. Despite the usual holiday lull in overall mortgage applications, the demand for newly constructed homes increased in December. The Mortgage Bankers Association (MBA) said its Builder Applications Survey (BAS) found those applications were up 18 percent from November. The applications were 7.8 percent higher than in December 2016. “Looking at all of 2017, applications increased by 7.1 percent compared to 2016. Based on December applications, we forecast that new home sales fell in December but remained nearly 16 percent higher than a year ago, and we are anticipating only modest year over year growth for new home sales in 2018. Despite robust demand, a lack of labor and land will continue to constrain homebuilders,” said Lynn Fisher, MBA Vice President of Research and Economics.
* Home Equity Hits Record High, and Here’s How Homeowners are Spending It. Homeowners are racking up record amounts of home equity, thanks to fast-rising values in today’s competitive housing market. No surprise, more people are now starting to tap that cash. What are they spending it on? Mostly making their homes even more valuable. Renovation spending is soaring, and 80 percent of borrowers taking out home equity lines of credit say they would consider using that money to renovate, according to a survey released in December by TD Bank. “We’re not only seeing more requests for proposals, but more committed projects from home owners,” said Steve Cunningham, a remodeler from Williamsburg, Virginia, in a report from the National Association of Home Builders. “In addition to regular updates and repairs, there’s been an uptick in more ambitious large remodel requests.” Remodeling spending topped $152 billion in 2017, and renovations for owner-occupied single-family homes will increase 4.9 percent in 2018 over 2017, according to the NAHB. That does not include remodeling done by investors looking to flip or rent properties, both of which are increasing as well.
* Property Tax Revenue Increases for 22nd Consecutive Quarter. NAHB analysis of the Census Bureau’s quarterly tax data shows that $556 billion in taxes were paid by property owners over the four quarters ending in Q3 2017. It has now been five and a half years since four-quarter property tax revenues last declined. Property taxes accounted for 40.1% of state and local tax receipts and the share has remained above 40.0% for the consecutive quarters for the first time since 2012-2013.  In terms of the share of total receipts, property taxes are followed by individual income taxes (28.3%), sales taxes (27.7%), and corporate taxes (3.8%). After increasing as a share of state and local tax receipts for six consecutive quarters, property taxes have since held steady at 40.1%.
Have a productive week.

Jason


This Week in Real Estate: January 8, 2018

Per Bloomberg’s Consumer Comfort Index, released This Week in Real Estate, American consumers were more upbeat in 2017 than at any other time since 2001. Below are a few highlights from the first week of 2018 that influence our business:

* Experts: 2018 Set To Be Best Economic Year Since Housing Crisis. Although December’s job report numbers disappointed experts’ expectations, many explained that the end-of-year increase in construction jobs is just what the housing market needed. “Overall, the job market performed well in 2017 and is a key reason why the economy is poised for its best year since the crisis in 2018,” said Curt Long, National Association of Federally Insured Credit Unions chief economist. “One bright spot we saw in the report is the biggest monthly rise in residential construction employment in 2017, raising hopes for some supply relief for housing this year,” Fannie Mae Chief Economist Doug Duncan said. “Residential construction jobs rose to the highest since 2008 as builders work to add supply given the tight inventory and rising home prices,” LendingTree Chief Economist Tendayi Kapfidze said. “Construction employment increased by 210,000 in 2017, compared with a gain of 155,000 in 2016.”
* Consumer Comfort in U.S. Advanced in 2017 to a 16-Year High. American consumers last year were more upbeat on average than at any time since 2001, reflecting more favorable views of the economy, personal finances and the buying climate, according to the Bloomberg Consumer Comfort Index released Thursday. Sentiment in 2017 got a boost from the combination of a solid labor market that’s pushed unemployment to an almost 17-year low, limited inflation and record stock prices. Such optimism should help keep consumers spending after a bright holiday-shopping season. Retail sales during the year-end holidays may have been the strongest in more than a decade, according to calculations from research firm Customer Growth Partners. Optimism about the economy increased as the jobless rate declined and economic growth exceeded 3 percent annualized rates in the second and third quarters of 2017.
 
* Private Residential Spending Is On The Rise. NAHB analysis of Census Construction Spending data shows that total private residential construction spending rose 1% in November to a seasonally adjusted annual rate of $530.8 billion. It was the highest level since February 2007. Total private residential construction spending was 7.9% higher than a year ago. The monthly gains are largely attributed to the strong growth of spending on single-family. Single-family construction spending rose to a $270.1 billion annual pace in November, up by 1.9%. It was the highest monthly annual rate since November 2007. This is in line with the strong readings of single-family housing starts and solid builder confidence.

Have a productive week.

Jason


This Week in Real Estate: January 2, 2018

2017 closed with momentum, as evidenced by NAR’s release that the November Pending Home Sales Index (PHSI) remains at its highest level since June, and the Case-Shiller Home Price Index (HPI) set an all-time high in October. Below are a few highlights from the final week of 2017 that influence our business:

* Home Price Increases Outpace Inflation by 3XThe S&P CoreLogic Case-Shiller U.S. National Home Price Index, which covers all nine U.S. census divisions, rose 6.2 percent on a year-over-year basis in October. Seattle continues to soar. The city had another annual increase that was nearly double that of the nation as a whole, at 12.7 percent.  Las Vegas also saw a gain in the double digits at 10.2 percent. San Diego had the third highest rate of appreciation at 8.1 percent. Nationally, home prices are up 6.2 percent in the 12 months to October, three times the rate of inflation. Sales of existing homes dropped 6.1 percent from March through September; they have since rebounded 8.4 percent in November. Inventories measured by months-supply of homes for sale dropped from the tight level of 4.2 months last summer to only 3.4 months in November. In what has become a monthly occurrence, the National Index set another new all-time high; 195.63.
 
* Pending Home Sales Inch Up 0.2% in November. Pending home sales were mostly unmoved in November, but did squeak out a minor gain both on a monthly and annualized basis, according to the National Association of Realtors. The Pending Home Sales Index, a forward-looking indicator based on contract signings, rose 0.2 percent to 109.5 in November from 109.3 in October. With last month’s modest increase, the index remains at its highest reading since June (110.0), and is now 0.8 percent above a year ago. Lawrence Yun, NAR chief economist, says contract signings mustered a small gain in November and were up annually for the first time since June. “The housing market is closing the year on a stronger note than earlier this summer, backed by solid job creation and an economy that has kicked into a higher gear,” he said. The PHSI in the Northeast jumped 4.1 percent to 98.9 in November, and is now 1.1 percent above a year ago. In the Midwest the index rose 0.4 percent to 105.8 in November, and is now 0.8 percent higher than November 2016. In the South the index decreased 0.4 percent to 123.1 in November but are still 2.5 percent higher than last November. The index in the West declined 1.8 percent in November to 100.4, and is now 2.3 percent below a year ago.
 
* The Tax Cuts and Jobs Act – What it Means for Homeowners and Real Estate Professionals. The final bill includes some big successes. NAR efforts helped save the exclusion for capital gains on the sale of a home and preserved the like-kind exchange for real property. Many agents and brokers who earn income as independent contractors or from pass-through businesses will see a significant deduction on that business income.

 

Have a productive week.

Jason


Portland Metro Weekend Events Planner: December 29-January 1, 2018

PORTLAND METRO WEEKEND EVENTS PLANNER
DECEMBER 29-JANUARY 1, 2018
NEW YEAR’S EVE EVENTS
 

CHAMPAGNE BALL

Time to dress up, dance and have fun! Enjoy an awesome band, three DJs, four individually themed party rooms, 17 bars, food, party favors and a video countdown on three dance floors. 

NEW YEAR’S EVE EXTRAVAGANZA

An amazing 4-hour show filled with improv, sketch, aerial acts and stand up. Appetizers and dessert all night long with a champagne toast at midnight.   

GOVERNOR’S BALL

An exclusive night of intrigue at Portland’s largest philanthropic New Years Eve Gala. Dress in your finest black tie and evening grown attire for a night you’ll never forget. Complementary signature cocktail and hors d’oeuvres followed by a three-course gourmet dinner, complimentary wine at your table, followed by Billboard Charting artist Patrick Lamb & original blues brother Curtis Salgado.  

NEW YEAR’S EVE MASQUERADE PORTLAND

Come uncover the mystique of Bollywood & revel in carefree playfulness at the last Jai Ho! party of 2017 in Portland. Two dance floors, 5 top class DJs, 4 mesmerizing performers under one roof to dance you into 2018.

GET LOUD AT THE LIBRARY

Come dance the night away with DJ and event host Doc Titus from Party Doctor and enjoy delicious food and drinks from locally owned Uptown Market. Entertainment also includes mini golf, ping pong, games, and a midnight balloon drop in the library’s grand staircase. While the party is intended for adults, all ages are welcome. Proceeds benefit the Beaverton Library Foundation in support of the library’s Summer Reading and other programs. 

LIGHTS ON PEACOCK LANE

Through SUN  Houses are adorned with not only beautiful sparkling lights, but also nativity scenes, rotating Christmas trees and stunningly life-like replicas of Santa and Frosty.

A CHRISTMAS CAROL

Through SAT – A Playhouse tradition, therefore it’s unlike anything else you’ve ever seen. Join Ebenezer Scrooge and the ghostly spirits who visit on Christmas Eve and guide the grumpy miser through a redemptive and transformative journey towards friendship and love. Hopeful, musical, and above all fun.

ZOO LIGHTS

Through January 7  Walk through dazzling displays of more than million and half lights, and experience your zoo in a whole new light. In addition to visiting elephants, penguins and other animals, you can ride the popular lighted train and enjoy dinner from a variety of food carts.

CHRISTMAS FESTIVAL OF LIGHTS

Through SAT – Presenting the sights, sounds and sensations of the season, The Grotto’s Christmas Festival of Lights is the largest Christmas choral festival in the world. The festival features nearly 160 indoor holiday concerts performed by many of the region’s finest school, church and civic choirs. Offering a family-oriented blend of traditional celebration and serene reflection, the festival theme reflects the special season of hope that Christmas offers to many thousands of families from around the Pacific Northwest.

CHRISTMAS IN THE GARDEN

Through SUN  charming European-inspired event featuring ice skating, snowless tubing, an artisan vendor market, photos with Santa, fire pits, live music and more!

CINDERELLA

Through January 1 – This holiday musical is perfect for the whole family and will keep your toes tapping until the stroke of midnight.

LIGHTING OF MADDOX WOODS

Through SUN  Enjoy a magical walk down a lighted, accessible path through the woods and to the viewing platform on the Willamette River.

80’s VIDEO DANCE ATTACK

Every FRI & SAT – Dig out your neon mesh shirts, crimping iron and striped legwarmers to travel back to the 1980s! Classic music videos projected on giant screens complimented with a thumping sound system and light show, this dance extravaganza is sure to get the blood pumping!

PORTLAND CIDER HOUSE’S CIDER-MOSA SATURDAY

EVERY SAT – Enjoy a liquid brunch and try a variety of delicious and fun cider-mosas.

FLASHBACK DANCE CRUISE
Through SAT – Gather your crew & rock your best retro threads from the 70’s, 80’s and 90’s!

DUELING PIANO SHOW
FRI & SAT (All Month) – The Barrel Room lays claim to the longest running dueling piano shows in Portland. The show, which at times can get a “little cheeky,” isn’t just two players banging on pianos for five hours. They boast a Vegas style, request driven, interactive show complete with bits, games, sing-a-longs, comedy and some of the best players in the U.S.

URBAN SCAVENGER HUNT
ALL MONTH  Smartphone clues lead you on a fun & engaging walking tour of the city. Clues start you in the heart of downtown at Pioneer Courthouse Square and will take you on a scavenger hunt through the Arts District, on a streetcar ride and among the famous food carts.

SHANROCK’S TRIVIOLOGY
ALL MONTH  Various Portland Locations: Triviology pub quizzes are free to play, last a couple of hours, and are composed of seven short rounds, giving teams instant gratification for their efforts. Team size can range from one to five players, with prizes for everyone on the winning team.

GUIDED NATURE HIKES
EVERY DAY – Park guides lead nature hikes to explore the forest, stream ecosystems and natural history of the natural area. Tryon Creek State Park & more.

HAUNTED PUB TOUR
All Month – This spine-tingling ghost tour explores Portland’s historic Old Town District, a vibrant area with beautiful 1800’s buildings, cobblestone streets and a wicked past.

GEEKS WHO DRINK PUB QUIZ
ALL MONTH – Anyone can grab a deck of Trivial Pursuit cards and run a “trivia night.” Geeks Who Drink’s smartass quizmasters run fast-paced, interactive and beer-soaked pub quiz events all over Portland.

PORTLAND ESCAPE ROOMS
All Month THURS-SUN – Cedar Hills/Beaverton Locations: Real-life room escape games are a type of physical adventure game in which people are locked in a room with other participants and have to use elements of the room to solve a series of puzzles, find clues, and escape the room within a set time limit.

 

VANCOUVER METRO EVENTS

SILVER & BLACK BASH: NEW YEAR’S EVE DANCE

SAT – Ring in 2018 with an evening of live music, dancing, light refreshments, party favors and beer and wine. 

OPEN SATURDAY AT PEARSON AIRBASE

SAT – Free educational experience, Flight Simulator lab, vertical wind tunnel, a glider-building station, historic airplanes on-site for viewing, collections on display, and educational programs to propel students of all ages.

NO NEW MOVIES OUT THIS WEEK

Click here for movie times and theaters.

CLICK HERE TO VIEW THIS WEEK’S OPEN HOUSES

For a monthly online listing of upcoming Portland metro events, click here.


©2016 BHH Affiliates, LLC. An independently operated subsidiary of HomeServices of America, Inc., a Berkshire Hathaway affiliate, and a franchisee of BHH Affiliates, LLC. Berkshire Hathaway HomeServices and the Berkshire Hathaway HomeServices symbol are registered service marks of HomeServices of America, Inc. Equal Housing Opportunity.