Housing Continues to Gain Ground

By Pete Bakel

Although the economy seems to be transitioning to a slightly stronger growth path, unresolved fiscal policy decisions pose significant headwinds in early 2013, according to Fannie Mae's Economic & Strategic Research Group. Increased taxes and reduced government spending will keep growth at a subdued pace in the first half of the year before activity picks up in the second half. Net exports also are expected to create a drag as Europe remains in recession and U.S. export growth tries to bounce back from a slowdown in late 2012.

On the more positive side, the improving performance of the housing market is expected to continue through 2013. Boosted by strengthening home prices, which may incite more potential buyers to enter the market, housing should contribute to GDP on a growing basis and help to counteract the fiscal headwinds. Other primary growth drivers will include consumer spending, manufacturing, and business capital investment.

However, consumer spending growth is likely to weaken somewhat in the first half of the year, as tax hikes take a toll on Americans' income. Overall, economic growth is expected to come in at 2.0 percent for all of 2013, in line with average growth since the recovery began more than three years ago, assuming only part of the government sequestration will occur this year.

“The question mark surrounding potential tax increases and government spending cuts produces significant economic uncertainty,” says Fannie Mae Chief Economist Doug Duncan. “Our February forecast accounts for a modified version of sequestration unfolding in 2013, which we expect will result in less fiscal constraint – roughly a 0.2 percentage point drag. Our outlook is bolstered by the employment picture, which is trending better than previously reported, as well as the momentum in manufacturing and energy production. We also expect the housing recovery to broaden this year. However, the degree to which these drivers will serve to offset the headwinds from ongoing and forthcoming fiscal contraction is still to be determined.”

For an audio synopsis of the February 2013 Economic Outlook, listen to the podcast on the Economic & Strategic Research site at www.fanniemae.com. Visit the site to read the full February 2013 Economic Outlook, including the Economic Developments Commentary, Economic Forecast, Housing Forecast, and Multifamily Market Commentary.

For more information, visit www.fanniemae.com.

2013's Hot Home Trends and Easy Updates

(BPT) - The top home decor trends for 2013 are already emerging, and homeowners seeking a fresh look will find a lot to love. Not only can these looks be accomplished in minimal time - they're budget friendly and easy enough for DIYers to finish in a weekend or less.

Giving your home an updated feel doesn't require a full-scale renovation. Instead, focus on simple updates for the most frequently used rooms in your house. When you're ready to get started on your home's new look, let these trends of the year be your design guide.

In the kitchen
Kitchens need to be functional, but in this hub of the home style is just as important. Upholding practicality while adding visual interest is a top trend this season. Two-toned upper and lower cabinet colors are rapidly growing in popularity as a way to let homeowners customize their kitchen spaces and express their personalities.

• Maple is the style frontrunner when it comes to wooden cabinets, but painted cabinets in white, black and gray tones are also on the rise. Whether you opt to replace your cabinet fronts or paint them, your efforts will give you impressive - and fast - results.
• On the functionality front, innovative hands-free faucets simplify cooking and cleaning tasks while requiring minimal effort to install.
• Open shelving is seeing a boost in popularity. Both glass-fronted cabinets and simple open shelves capture this trend, allowing you to put your style on display while creating a sleek, updated look.

In the bath

A luxurious-feeling bath doesn't need to make big demands on your wallet. By making a few on-trend updates, you'll give your room designer appeal guaranteed to make an impression.

• Updating the vanity, often the focal point in a bathroom, provides immediate results. Customizable modular options let you create a storage-savvy vanity that fits virtually any bathroom while also adding functional drawer and countertop space.
• Tiling provides the perfect solution to add extra personality to your bath. Right now, trends offer two different but equally chic directions - large-scale tile and small-scale mosaics. Tiles with wood-like appearances are also gaining popularity; they create a warm, inviting look, but offer the wet-space practicality of tile. If it's your first time tiling, home improvement experts at stores like Lowe's can provide guidance to get started with your tile flooring.

Throughout the home

When it comes to low-effort, big-impact changes, it's hard to beat a fresh coat of paint. For walls that feel drab, boring or outdated, new paint makes a color statement and draws attention to architectural details. Follow these paint tips to make an instant, dramatic impression:

• Alter the dimensions of a space by painting ceilings a slightly lighter color than the walls.
• Create patterns and shapes using painter's tape. Stripes, chevrons and ombre effects are perfectly on-trend.
• Highlight architectural details by painting interior doors and trim in a colorful hue instead of traditional white.
• In one weekend or less, these simple changes will make your home feel like an entirely new space. So when the seasonal urge to renovate sets in, don't resist - reinvigorate your home with these ideas. Find more decorating trends and inspiration at Lowes.com.

Exterior Replacement Projects Provide Biggest Return on Investment

Exterior Replacement Projects Provide Biggest Return on Investment for Homeowners, Say REALTORS

RISMEDIA, Wednesday, January 30, 2013— Homeowners looking for the most return on their investment when it comes to remodeling should consider exterior replacement projects. According to the 2013 Remodeling Cost vs. Value Report, REALTORS® rated exterior projects among the most valuable home improvement projects. “REALTORS® know that curb appeal projects offer great bang for your buck, because a home’s exterior is the first thing potential buyers see,” says National Association of REALTORS® President Gary Thomas. “Projects such as siding, window and door replacements can recoup more than 70 percent of their cost at resale. REALTORS® know what home features are important to buyers in your area and can provide helpful insights when considering remodeling projects.” Results of the report are summarized on NAR’s consumer website HouseLogic.com, which provides information on dozens of remodeling projects, from kitchens and baths to siding replacements, including the recouped value of the project based on a national average. According to the Cost vs. Value Report, REALTORS® judged a steel entry door replacement as the project expected to return the most money, with an estimated 85.6 percent of costs recouped upon resale. The steel entry door replacement is the least expensive project in the report, costing little more than $1,100 on average. A majority of the top 10 most cost-effective projects nationally in terms of value recouped are exterior replacement projects; all of these are estimated to recoup more than 71 percent of costs. Three different siding replacement projects landed in the top 10, including fiber cement siding, expected to return 79.3 percent of costs, vinyl siding, expected to return 72.9 percent of costs, and foam backed vinyl, expected to return 71.8 percent of costs. Two additional door replacements were also among the top exterior replacement projects. The midrange and upscale garage door replacement were both expected to return more than 75 percent of costs. According to the report, two interior remodeling projects in particular can recoup substantial value at resale. A minor kitchen remodel is ranked fifth and is expected to return 75.4 percent of costs. Nationally, the average cost for the project is just under $19,000. The second interior remodeling project in the top 10 is the attic bedroom, which landed at number eight and tied with the vinyl siding replacement with 72.9 percent of costs recouped. With an average national cost of just under $48,000, the attic project adds a bedroom and bathroom within a home’s existing footprint. The improvement project projected to return the least is the home office remodel, estimated to recoup less than 44 percent. The 2013 Remodeling Cost vs. Value Report compares construction costs with resale values for 35 midrange and upscale remodeling projects comprising additions, remodels and replacements in 81 markets across the country. Data are grouped in nine U.S. regions, following the divisions established by the U.S. Census Bureau. This is the 15th consecutive year that the report, which is produced by Remodeling magazine publisher Hanley Wood, LLC, was completed in cooperation with NAR. REALTORS® provided their insights into local markets and buyer home preferences within those markets. The 2013 national average cost-to-value ratio rose to 60.6 percent, ending a six-year decline. The ratio represents nearly a three-point improvement over 2011-2012. Lower construction costs are the principal factor in the upturn, especially when measured against stabilizing house values. In addition, the cost-to-value ratio improved nationally for every project in this year’s report and is higher than it was two years ago for both remodeling and replacement projects. “A REALTOR® is the best resource for helping homeowners decide what improvement projects will provide the most upon resale in their market,” says Thomas. “Each neighborhood is different, and the desirability and resale value of a particular remodeling project varies depending on where you live. When making a home remodeling decision, resale value is just one factor that homeowners should take into consideration. Consult a Realtor® to make sure you are making the best decision.” Most regions followed the national trends; however the Pacific region, consisting of Alaska, California, Hawaii, Oregon and Washington, once again led the nation with an average cost-value ratio of 71.2 percent, due mainly to strong resale values. The next best performing regions were West South Central, South Atlantic, and East South Central. These regions attribute their high ranking to construction costs that were lowest in the country. While still remaining below the national average, most remaining regions showed strong improvement over last year. These are Mountain, New England, East North Central, Middle Atlantic, and West North Central. To read the full project descriptions and access national and regional project data, visit www.costvsvalue.com. “Cost vs. Value” is a registered trademark of Hanley Wood, LLC. For more information, visit www.realtor.org.

Home Prices in 2012: Best Year-on-Year Gain in Six Years

From RISMedia RISMEDIA, Friday, February 08, 2013— CoreLogic®, a leading residential property information, analytics and services provider, recently released its December CoreLogic HPI® report. Home prices nationwide, including distressed sales, increased on a year-over-year basis by 8.3 percent in December 2012 compared to December 2011. This change represents the biggest increase since May 2006 and the 10th consecutive monthly increase in home prices nationally. On a month-over-month basis, including distressed sales, home prices increased by 0.4 percent in December 2012 compared to November 2012. The HPI analysis shows that all but four states are experiencing year-over-year price gains. Excluding distressed sales, home prices increased on a year-over-year basis by 7.5 percent in December 2012 compared to December 2011. On a month-over-month basis, excluding distressed sales, home prices increased 0.9 percent in December 2012 compared to November 2012. Distressed sales include short sales and real estate owned (REO) transactions. The CoreLogic Pending HPI indicates that January 2013 home prices, including distressed sales, are expected to rise by 7.9 percent on a year-over-year basis from January 2012 and fall by 1 percent on a month-over-month basis from December 2012, reflecting a seasonal winter slowdown. Excluding distressed sales, January 2013 house prices are poised to rise 8.6 percent year over year from January 2012 and by 0.7 percent month over month from December 2012. The CoreLogic Pending HPI is a proprietary and exclusive metric that provides the most current indication of trends in home prices. It is based on Multiple Listing Service (MLS) data that measure price changes for the most recent month. “December marked 10 consecutive months of year-over-year home price improvements, and the strongest growth since the height of the last housing boom more than six years ago,” says Mark Fleming, chief economist for CoreLogic. “We expect price growth to continue in January as our Pending HPI shows strong year-over-year appreciation.” “We are heading into 2013 with home prices on the rebound,” said Anand Nallathambi, president and CEO of CoreLogic. “The upward trend in home prices in 2012 was broad based with 46 of 50 states registering gains for the year. All signals point to a continued improvement in the fundamentals underpinning the U.S. housing market recovery.” Highlights as of December 2012: • Including distressed sales, the five states with the highest home price appreciation were: Arizona (+20.2 percent), Nevada (+15.3 percent), Idaho (+14.6 percent), California (+12.6 percent) and Hawaii (+12.5 percent). • Including distressed sales, this month only four states posted home price depreciation: Delaware (-3.4 percent), Illinois (-2.7 percent), New Jersey (-0.9 percent) and Pennsylvania (-0.5 percent). • Excluding distressed sales, the five states with the highest home price appreciation were: Arizona (+16.4 percent), Nevada (+14.7 percent), California (+12.8 percent), Hawaii (+11.7 percent) and North Dakota (+10.8 percent). • Excluding distressed sales, this month only three states posted home price depreciation: Delaware (-1.9 percent), Alabama (-1.0 percent) and New Jersey (-0.5 percent). • Including distressed transactions, the peak-to-current change in the national HPI (from April 2006 to December 2012) was -26.9 percent. Excluding distressed transactions, the peak-to-current change in the HPI for the same period was -20.8 percent. • The five states with the largest peak-to-current declines, including distressed transactions, were Nevada (-52.4 percent), Florida (-43.5 percent), Arizona (-39.8 percent), Michigan (-36.5 percent) and California (-35.4 percent). • Of the top 100 Core Based Statistical Areas (CBSAs) measured by population, only 16 are showing year-over-year declines in November, two fewer than in November. For more information, visit www.corelogic.com.

RE/MAX vs the competition

http://bengelblog.com/2011/03/29/video-remax-vs-the-competition/

3 bed, 2 bath - 214 Pefley Drive, Norfolk, VA - Classified Ad

3 bed, 2 bath - 214 Pefley Drive, Norfolk, VA - Classified Ad

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3 bed, 1 bath - 400 Stratford Street - Classified Ad