Here is a clip from the news paper that I wanted to share with you about the real estate market and how it affects Ocean City real estate.
Home Sales Rise, Reverse 6-Month Down Trend
WASHINGTON (AP) -- Sales of existing homes increased unexpectedly in February after six months of decline, but private economists said it was too soon to say the prolonged slide in housing is coming to an end.
The National Association of Realtors said sales of existing homes rose by 2.9 percent in February to a seasonally adjusted annual rate of 5.03 million units. It marked the first sales increase since last July.
Wall Street, which had been expecting another decline in home sales, was encouraged by the February increase as well as improved terms for Bear Stearns stockholders in the sale of that company to JPMorgan Chase & Co. The Dow Jones industrial average rose 187.32 points Monday to close at 12,548.64.
He said sales should be helped in coming months by recent moves to boost the loan limits on mortgages that can be insured by the Federal Housing Administration and purchased by Fannie Mae and Freddie Mac.
Wednesday, March 26, 2008
Monday, March 24, 2008
Area lenders for Ocean City, Atlantic City and surrounding areas
Here is a clip from the Press of Atlantic City about the lenders in the area for home buying.
http://www.pressofatlanticcity.com/106/story/113023.html
Confidence remains despite 'distressed' housing market
By ERIK ORTIZ Staff Writer, 609-272-7253
Published: Saturday, March 22, 2008
Ben Balsama was ready to buy a second home along the New Jersey shore, so he scoped out lenders to see what down payment and interest rate options were available.
"The first question, and only question I was asked, was what was my credit score," said Balsama, a Washington Township resident and owner of a construction company. "It's good. I was told, 'You can put 5 percent down.'"
But Balsama, looking to avoid so-called " jumbo" loans and the higher interest rates that come with them, decided to put down more than the traditional 20 percent for the $725,000 home he plans to close on in Sea Isle City next month.
"To me, that was the smartest decision," he said.
Financially sound home buyers such as Balsama are giving lenders and Realtors in Atlantic and Cape May counties confidence in a regional housing market now labeled as "distressed" by mortgage insurers. These distressed areas stretch over at least 34 states and 9,600 ZIP codes; many are markets where home values are declining and foreclosures are prevalent.
"The (shore) home buyers coming in now are extremely well-qualified, and they're recognizing that there are some great deals to be had," said Julie Mealo, co-branch manager for Wells Fargo Home Mortgage in Linwood.
Still, lenders have begun clamping down on borrowers, which can mean requiring first-time home buyers to put more money down or have high credit scores to be approved. It can mean a downsizing on the amount of refinance loans. It can also mean buyers of investment and second homes - which have made up much of the shore region's housing stock - are ineligible for lending because those are seen as riskier properties.
But local lenders say stricter and responsible lending is something many in the area have already been practicing.
Ocean City Home Bank, for instance, lends no more than 95 percent in financing, said Linda Interlante, the bank's vice president of residential lending.
"Along the shore, (borrowers) do tend to be higher-income people," she said.
While lending is predicted to become trickier for investment and second-home buyers, "ironically, those borrowers are more affluent, and they're usually putting more than the required money down," said Steven Brasslett, CEO of Ivy League Mortgage in Linwood.
Mealo said Wells Fargo, one of the country's largest mortgage lenders, is still financing borrowers as much as 90 percent to 95 percent, while helping those home buyers seeking government loans to put as little as 3 percent down.
"You always want to put people into houses that they can afford," Mealo said. "That's a general underwriting philosophy."
Lenders also say that with the Federal Reserve introducing interest rate cuts - 30-year mortgage rates dipped below 6 percent this week - people are taking home buying more seriously.
Bill Malamut, president of Atlantic Coast Mortgage in Pleasantville, said his loan volume is up 50 percent from Jan. 1.
He expects government-insured FHA loans to increase, since they're not imposing lending restrictions on distressed markets as mortgage insurers have.
"The government is trying to help people, not make lending more difficult," Malamut said.
Realtors also are staying optimistic about home buying for the region, especially with falling home prices.
Ian Lazarus, president of the Cape May County Association of Realtors, said, "If you can buy it, you can afford it and you're in for a minimum five or seven years, this is a good opportunity to get into the shore market."
http://www.pressofatlanticcity.com/106/story/113023.html
Confidence remains despite 'distressed' housing market
By ERIK ORTIZ Staff Writer, 609-272-7253
Published: Saturday, March 22, 2008
Ben Balsama was ready to buy a second home along the New Jersey shore, so he scoped out lenders to see what down payment and interest rate options were available.
"The first question, and only question I was asked, was what was my credit score," said Balsama, a Washington Township resident and owner of a construction company. "It's good. I was told, 'You can put 5 percent down.'"
But Balsama, looking to avoid so-called " jumbo" loans and the higher interest rates that come with them, decided to put down more than the traditional 20 percent for the $725,000 home he plans to close on in Sea Isle City next month.
"To me, that was the smartest decision," he said.
Financially sound home buyers such as Balsama are giving lenders and Realtors in Atlantic and Cape May counties confidence in a regional housing market now labeled as "distressed" by mortgage insurers. These distressed areas stretch over at least 34 states and 9,600 ZIP codes; many are markets where home values are declining and foreclosures are prevalent.
"The (shore) home buyers coming in now are extremely well-qualified, and they're recognizing that there are some great deals to be had," said Julie Mealo, co-branch manager for Wells Fargo Home Mortgage in Linwood.
Still, lenders have begun clamping down on borrowers, which can mean requiring first-time home buyers to put more money down or have high credit scores to be approved. It can mean a downsizing on the amount of refinance loans. It can also mean buyers of investment and second homes - which have made up much of the shore region's housing stock - are ineligible for lending because those are seen as riskier properties.
But local lenders say stricter and responsible lending is something many in the area have already been practicing.
Ocean City Home Bank, for instance, lends no more than 95 percent in financing, said Linda Interlante, the bank's vice president of residential lending.
"Along the shore, (borrowers) do tend to be higher-income people," she said.
While lending is predicted to become trickier for investment and second-home buyers, "ironically, those borrowers are more affluent, and they're usually putting more than the required money down," said Steven Brasslett, CEO of Ivy League Mortgage in Linwood.
Mealo said Wells Fargo, one of the country's largest mortgage lenders, is still financing borrowers as much as 90 percent to 95 percent, while helping those home buyers seeking government loans to put as little as 3 percent down.
"You always want to put people into houses that they can afford," Mealo said. "That's a general underwriting philosophy."
Lenders also say that with the Federal Reserve introducing interest rate cuts - 30-year mortgage rates dipped below 6 percent this week - people are taking home buying more seriously.
Bill Malamut, president of Atlantic Coast Mortgage in Pleasantville, said his loan volume is up 50 percent from Jan. 1.
He expects government-insured FHA loans to increase, since they're not imposing lending restrictions on distressed markets as mortgage insurers have.
"The government is trying to help people, not make lending more difficult," Malamut said.
Realtors also are staying optimistic about home buying for the region, especially with falling home prices.
Ian Lazarus, president of the Cape May County Association of Realtors, said, "If you can buy it, you can afford it and you're in for a minimum five or seven years, this is a good opportunity to get into the shore market."
Monday, March 10, 2008
Shore sees slump-free '08 season
By Jacqueline L. Urgo
Inquirer Staff Writer
The economy is sickly and gasoline costs 50 cents more per gallon than when beach season ended in September. But at the Jersey Shore, the summer-rental business is showing no signs of trauma.
Real estate agents in Avalon and Ocean City, in Cape May County, report 10 to 15 percent more bookings than last year at this time.
Recession anxiety, suggest some brokers and their customers, could actually drive vacationers to the Shore this summer.
Life's been a walk on the beach for agents in Sea Isle City, too.
Though he couldn't quantify the increase over 2007, Roma said there had been "tremendous" repeat business and many newcomers at the agency, where 80 percent of clients are from North Jersey or New York.
After boom times in the early 2000s, the Jersey Shore slumped in 2005, when rentals were still plentiful in late July and early August.
Up and down the coast, real estate agents and business owners were stricken. To keep one bad season from becoming a trend, many say they worked with local chambers of commerce to launch marketing campaigns aimed at attracting first-time visitors and wooing veterans who had defected to out-of-state beaches and resorts such as Disney World.
Rentals in 2006 rebounded by 20 percent in towns including Ocean City, Brigantine and Beach Haven, according to state tourism officials. And they grew an additional 10 percent last summer.
This winter, financial hard times appear not to have deterred many who like to make their vacation plans early.
Most rents are on a par with 2007, report agents in the region. A week at peak season ranges from $1,000 for a two-bedroom unit a few blocks from the beach to $5,000 or $6,000 for a four- or five-bedroom oceanfront unit. More expensive properties usually go first, followed by mid-range stock, agents say.
Atlantic County has about 12,000 available seasonal rentals, followed by Ocean County with 8,500 and Cape May County with 7,200, according to county Boards of Realtors.
Though he has seen lots of his regulars - folks who rent the same place at the same time every summer - Iannone, of Sea Isle City, said that many others were looking over the 1,000 or so properties his agency represents.
"You have new people who may not want to go to Europe this summer because of the weak dollar. Or you have Canadians coming here because their dollar can go further," he said.
In Ocean City, where nearly 3,500 properties make for the heaviest concentration of summer rentals at the Shore, the mad rush to find the ideal spot is in full swing.
"We always try to book early so we can get the exact perfect house that we want," said Cindy Romano, 47, of Quakertown. She and her husband, Frank, spent a recent winter's day at Berger Realty in Ocean City poring over hundreds of listings.
Like many who make the off-season pilgrimage, the Romanos had envisioned their dream cottage before they even crossed the bridge.
Price didn't matter as long as it had at least three bedrooms and two baths and was within walking distance of the beach, said Frank Romano.
For his wife, prerequisites included a big kitchen and a huge table so their extended family can enjoy the crab feast the Romanos will host. A little yard and an outdoor shower were musts. And, of course, air-conditioning.
But up in Brigantine, Atlantic County, Frank Pohalski of Medford was shopping for a "bargain duplex" to house about a dozen members of his extended family for three weeks. For the last two summers, he said, they opted to meet in North Carolina.
"We all talked about going to the Outer Banks again this year, but nobody wanted to spend the money on gas," said Pohalski, 54. "The costs might be a little cheaper once you get to North Carolina, but the cost of getting there is now a significant factor."
Inquirer Staff Writer
The economy is sickly and gasoline costs 50 cents more per gallon than when beach season ended in September. But at the Jersey Shore, the summer-rental business is showing no signs of trauma.
Real estate agents in Avalon and Ocean City, in Cape May County, report 10 to 15 percent more bookings than last year at this time.
Recession anxiety, suggest some brokers and their customers, could actually drive vacationers to the Shore this summer.
Life's been a walk on the beach for agents in Sea Isle City, too.
Though he couldn't quantify the increase over 2007, Roma said there had been "tremendous" repeat business and many newcomers at the agency, where 80 percent of clients are from North Jersey or New York.
After boom times in the early 2000s, the Jersey Shore slumped in 2005, when rentals were still plentiful in late July and early August.
Up and down the coast, real estate agents and business owners were stricken. To keep one bad season from becoming a trend, many say they worked with local chambers of commerce to launch marketing campaigns aimed at attracting first-time visitors and wooing veterans who had defected to out-of-state beaches and resorts such as Disney World.
Rentals in 2006 rebounded by 20 percent in towns including Ocean City, Brigantine and Beach Haven, according to state tourism officials. And they grew an additional 10 percent last summer.
This winter, financial hard times appear not to have deterred many who like to make their vacation plans early.
Most rents are on a par with 2007, report agents in the region. A week at peak season ranges from $1,000 for a two-bedroom unit a few blocks from the beach to $5,000 or $6,000 for a four- or five-bedroom oceanfront unit. More expensive properties usually go first, followed by mid-range stock, agents say.
Atlantic County has about 12,000 available seasonal rentals, followed by Ocean County with 8,500 and Cape May County with 7,200, according to county Boards of Realtors.
Though he has seen lots of his regulars - folks who rent the same place at the same time every summer - Iannone, of Sea Isle City, said that many others were looking over the 1,000 or so properties his agency represents.
"You have new people who may not want to go to Europe this summer because of the weak dollar. Or you have Canadians coming here because their dollar can go further," he said.
In Ocean City, where nearly 3,500 properties make for the heaviest concentration of summer rentals at the Shore, the mad rush to find the ideal spot is in full swing.
"We always try to book early so we can get the exact perfect house that we want," said Cindy Romano, 47, of Quakertown. She and her husband, Frank, spent a recent winter's day at Berger Realty in Ocean City poring over hundreds of listings.
Like many who make the off-season pilgrimage, the Romanos had envisioned their dream cottage before they even crossed the bridge.
Price didn't matter as long as it had at least three bedrooms and two baths and was within walking distance of the beach, said Frank Romano.
For his wife, prerequisites included a big kitchen and a huge table so their extended family can enjoy the crab feast the Romanos will host. A little yard and an outdoor shower were musts. And, of course, air-conditioning.
But up in Brigantine, Atlantic County, Frank Pohalski of Medford was shopping for a "bargain duplex" to house about a dozen members of his extended family for three weeks. For the last two summers, he said, they opted to meet in North Carolina.
"We all talked about going to the Outer Banks again this year, but nobody wanted to spend the money on gas," said Pohalski, 54. "The costs might be a little cheaper once you get to North Carolina, but the cost of getting there is now a significant factor."
Thursday, March 6, 2008
Incoming: MORE JOBS!
So the aviation center in Egg Harbor Township (located minutes from Atlantic City) is getting a $2.5 million in general funds. The new building will be built on a 55 acre lot across from the Federal Aviation Administration's William J. Huges Techincal Center. The project includes an initial 44,500 square foot building!
"The plan calls for attacting companies that would engage in research and development for aviation projects such as communications, radar, military systems, airport operations and security and safety.
The park's master plan involves eventually guilding about 295,000 square feet of research and development facility."
Read more at:
- Press of Atlantic City
With this new building coming up, more workers will be coming to the area as well as many newcomers looking to relocate to this area. For those of people who are looking around for a new home to buy, contact me, Ed May of ReMax of Ocean City.
"The plan calls for attacting companies that would engage in research and development for aviation projects such as communications, radar, military systems, airport operations and security and safety.
The park's master plan involves eventually guilding about 295,000 square feet of research and development facility."
Read more at:
- Press of Atlantic City
With this new building coming up, more workers will be coming to the area as well as many newcomers looking to relocate to this area. For those of people who are looking around for a new home to buy, contact me, Ed May of ReMax of Ocean City.
Tuesday, March 4, 2008
Ocean City Still Up and Up
Hello all. I read this in the paper today that Ocean City is still strong in the realestate market. WOW check this out below.
O.C. Realtors say prices up 6.1% in 4th quarter
Published: Tuesday, March 04, 2008
From Press staff reports
OCEAN CITY - Home prices here in the fourth quarter of 2007 were up 6.1 percent from the same period the year before, according to Multiple Listing Service figures.
Franklin Williams, president of the Ocean City Board of Realtors, said 177 sales in the most recent quarter closed at an average price of $641,655, according to the South Jersey Shore Regional MLS for Ocean City.
That's up from $604,956 for the fourth quarter of 2006, he said.
O.C. Realtors say prices up 6.1% in 4th quarter
Published: Tuesday, March 04, 2008
From Press staff reports
OCEAN CITY - Home prices here in the fourth quarter of 2007 were up 6.1 percent from the same period the year before, according to Multiple Listing Service figures.
Franklin Williams, president of the Ocean City Board of Realtors, said 177 sales in the most recent quarter closed at an average price of $641,655, according to the South Jersey Shore Regional MLS for Ocean City.
That's up from $604,956 for the fourth quarter of 2006, he said.
Thursday, February 28, 2008
Ocean City Homes on the Beach is sooooo nice :)
Here is an article from the New York Times about a family that moved from Philadelphia suburb to Ocean City NJ.
Not Just a Summer Romance
SUE AND JOE CANALE’S new beach house in Ocean City, N.J., handsomely sided in gray shingles and just steps from the Boardwalk, rises four floors above sea level. The view, they say, is always changing. Sometimes, whitecaps churn. Sometimes, the ocean is a fuzzy pink blanket. Sometimes, lightning flashes above the sea and reflects on the water.
For nearly 20 years, the Canales, a couple from Huntingdon Valley, Pa., a Philadelphia suburb, owned another beach house on the property. About two years ago, they decided to tear it down and build another place. They wanted a house they could live in virtually all year. Mrs. Canale loves to entertain. Mr. Canale loves to ride his bike on the Boardwalk.
“We’re from the boomer generation, and our theory with this place is to use it and enjoy it,” said Mrs. Canale, a real-estate broker and appraiser.
The Canales have company in Ocean City — and lots more than in the past. Second-home owners in this tidy family resort, 10 miles south of the Atlantic City casinos, are using their homes deeper into the fall, often through Thanksgiving and Christmas and sometimes well into the winter. A beach house is not just a place to catch a tan anymore.
“It used to be that people closed them up in September — closed them up and didn’t come back until the next year,” said Ann Richardson, an agent for ReMax in Ocean City. “The idea of winter at the shore was just not that popular. People would say to me, ‘You live here?’ They couldn’t imagine there was life here after Labor Day.”
Read the rest of the article from NY Times here
Not Just a Summer Romance
SUE AND JOE CANALE’S new beach house in Ocean City, N.J., handsomely sided in gray shingles and just steps from the Boardwalk, rises four floors above sea level. The view, they say, is always changing. Sometimes, whitecaps churn. Sometimes, the ocean is a fuzzy pink blanket. Sometimes, lightning flashes above the sea and reflects on the water.
For nearly 20 years, the Canales, a couple from Huntingdon Valley, Pa., a Philadelphia suburb, owned another beach house on the property. About two years ago, they decided to tear it down and build another place. They wanted a house they could live in virtually all year. Mrs. Canale loves to entertain. Mr. Canale loves to ride his bike on the Boardwalk.
“We’re from the boomer generation, and our theory with this place is to use it and enjoy it,” said Mrs. Canale, a real-estate broker and appraiser.
The Canales have company in Ocean City — and lots more than in the past. Second-home owners in this tidy family resort, 10 miles south of the Atlantic City casinos, are using their homes deeper into the fall, often through Thanksgiving and Christmas and sometimes well into the winter. A beach house is not just a place to catch a tan anymore.
“It used to be that people closed them up in September — closed them up and didn’t come back until the next year,” said Ann Richardson, an agent for ReMax in Ocean City. “The idea of winter at the shore was just not that popular. People would say to me, ‘You live here?’ They couldn’t imagine there was life here after Labor Day.”
Read the rest of the article from NY Times here
Tuesday, February 26, 2008
Nice Condo in Somers Point
Today I want to show you a condo listing that is for sale in Somers Point, NJ. Why this specific condo versus showing you a condo in Ocean City? Well, first off, I'd like to point out that this condo is on the water, 3-5 minute drive to Ocean City, boatslip, granite countertop, and more. It's quite perfect for the newly married couple that is looking for a really nice place to live. Although I could show you a home with a yard or a condo in Ocean City, I'm highlighting this specific condo in Somers Point beucase the price is a steal for the upgrades you can get in this condo. It's a 2 bedroom condo in the $300's. Naturally the price is negotiable and the buyer is wanting to get rid of this so he can move out.
Click here to see the full details and photos
I you want to have more information on this condo or have questions on how you can put a down payment and pay your monthly bills, call me at 609-425-3187.
Click here to see the full details and photos
I you want to have more information on this condo or have questions on how you can put a down payment and pay your monthly bills, call me at 609-425-3187.
10 Great reasons to buy homes in Somers Point and Ocean City NJ.
1. $11 Billion of new casiono development has been announced on land which is already owned by casino companies.
2. Atlantic City Employment is estimated to increase from 42,000 to 82,000
3. Revel casno will establish the North Beach area of Atlantic City as the new premier end of town, and will include 16 to 19 restaurants, 2 showrooms and 500,000 total feet of entertainment/dining/retail
4. Train srvice from Manhattan to Atlantic City is scheduled to begin before the end of the year
5. The $2 billion dollar Revel Casino is now under construction http://www.revelentertainment.com/
6. Atlantic City... topped the list of (140) metropolitan regions where prices increased - The New York Times Feb 16. 2007
7. A second home is within 2 hour drive of 15 million people, making it ideal for a weekend getaway
8. Interest rates are low
9. Prices are low
10. Beaches and entertainment every day and night!
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