The complex will consist of 5 adult family homes, each with 6 resident rooms for a total of 30 rooms. Twenty of them will be single occupancy and 10 will be available for double occupancy for couples or friends. At the center of the complex there is a family practice medical clinic and physical therapy treatment facility. Board certified physicians and registered nursing staff will be within walking distance of the homes to provide in home care, improving residents’ health while reducing the cost and complexity of physicians visits and medication management.

There is no set date for building construction and operations start-up but permits for the first home could be available as early as February of 2009 with construction to begin in the spring. We are looking to grow our team to include a home director, prospective co-workers, investors and/or owner operators.

Each home will be sited on a separate tax parcel with the possibility of multiple owners working under a cooperative management arrangement for medical services, supplies procurement, co-workers, property management and maintenance and other benefits of economies of scale not possible with single homes, all while maintaining a high quality home environment.

Or the project could be purchased as a whole.

If you are a care professional or real estate investor committed to creating the best environment for the care of women and men who need assistance with their daily needs and working with a community of like minded individuals then fill out the contact form in the right hand column above. Or, you can contact me directly at 36–616-7924.

I look forward to hearing from you.

Even when these securities are sold Fannie and Freddie will usually hold some re-purchase risk in the event of default or other payment guarantees to the bond holders in the event of mortgage defaults. Thus, the financial guarantee that these companies are able to offer is determined by what regulators call tier one capital. The tier one capital of these companies has been depleted due to mortgage defaults and is thus reflected in a lowering of their stock prices.

This bad news and the failure of Indymac Bank due to the same phenomena follow all the previous 18-24 months bad news for home loans. They follow massive changes in lending rules addressing down payment requirements, income ratios and credit score based loan rates that cumulatively have reduced the supply of new mortgage money and disqualified more than half of potential home buyers due to credit.

Read about the recent developments in the mortgage market.

Less supply of buyers and mortgage money means falling prices. How is this reflected in Kitsap home sales statistics?

Number One: Inventory Is Up Year To Year:

Total actives in the month of June 2007 were 2,339 homes and in June 2008 there were 2,462 homes, up slightly. Interesting to note that the June 2007 ytd inventory was 3,746 and the June 2008 ytd inventory was 3,746 homes, down A LOT. This probably means that fewer people are even attempting to put their homes on the market and that the speculative “flips” are stopped dead in their tracks (professional investors excepted).

Number Two: Total Volume Of Sales Is Way Down.

June 2007 YTD units sold was 1,699 and June 2008 YTD units sold was 1,229, a 28% decrease.

Number Three: The Kitsap County Median Home Price Is Down 7.6%

The June 2007 median price was $292,000 and the June 2008 median price was $269,900

Number 4: The Number of Pending Sales In Kitsap County Has Decreased.

Pending sales in June 2007 YTD was 2,088 and in June 2008 ytd was 1,436.

Pending sales are a better short term indicator but the gross numbers do not reveal trend changes as accurately as trailing 12 month moving averages of the pendings/inventory ratio but they do reflect a bad condition. The question is: What does the future hold for sales volumes and prices?

My prognosis: With continuing reductions of home loan money and reductions of the pool of buyers due to credit adjusted underwriting sales will lag and prices continue to fall some more.

What can homeowners and the Kitsap community do? One suggestion is to work harder at economic development. Increasing incomes and economic opportunity attract new residents and strengthen existing ones to qualify for home loans. One great opportunity is to strengthen agriculture in the county. Have a look at the Kitsap Community and Agricultural Alliance who are working to do just that.

Have a look at what’s happening in national markets housing markets.

Housing Prices Down by 0.6% in April 2008

Tags: housingprices, real estate markets

You have probably heard a lot about the mess in the mortgage markets. By my unofficial count banks, mortgage companies and investment bankers have announced over one hundred billion dollars in losses because of “faulty loans” made to people with less than perfect credit. A billion here, a billion there, pretty soon it adds up.

These losses have thrown the financial markets into a tailspin. The Federal Reserve acted quickly to lower short term interest rates. That, combined with sudden and steep losses in world stock markets led investors to sell stocks and buy safe bonds such as US Treasury Securities. This led to lower interest rates on bonds and lower home loan rates.

Hooray! Lower rates, falling home prices..this is good for new folks who want to buy homes today, right? Well, sort of.

At the same time the two largest purchasers of home loans in the US, Fannie Mae and Freddie Mac announced new rules that effectively raised rates and tightened lending standards for people with lower credit scores. Before December 26, 2007 borrowers with FICO scores of 620 and higher could qualify for zero down loans with very attractive interest rates, say at 6.5%. On December 27 these two giants announced rules that effectively raised those rates as high as 8.5% for borrowers with a score of 620 and decreased the amount of income they would allow for total debt service. People with scores above 700 got access to even lower cost rates.

Ouch! That is a 25% increase in home loan rates for people with low scores. Did your income increase by 25% during that two days? Did your credit score improve to 700?

Oh, oh. Effectively, people with credit scores under 700 may not be able to borrow! No loan, no home, right?

Well, maybe not.

The turmoil in the mortgage market has brought about a change of thinking. Many people are beginning to dust off the techniques used in the 70’s and 80’s, a tough time in the real estate and finance markets and use innovative financing techniques that in effect give buyers and sellers the opportunity to create their own capital outside the system of traditional lenders.

More concretely, lease purchase financing and seller financing are bobbing up to the surface as viable alternatives for people who have been shut out of the institutional marketplace. To find out more about how to mix traditional and alternative lending to your advantage visit the Kitsap Real Estate Advisor.

Changes are in the making for unsecured lending as well. What I think are revolutionary changes in how lending may look in the future are being implemented successfully by online “people to people” lending efforts like Prosper.com. Take a look at the future and see how it might help you and everyone else.

So, what is the implication for Kitsap real estate and the state within which it is located? Here are some real estate facts recently issued by the Washington State Association of Realtors:

”

LOW FORECLOSURE RATE

Foreclosure rates today are the same as they were ten years ago. Fewer than one percent of mortgages end in default in Washington state. As of mid-June, adjustable rate loans represented 20 percent of loans nationally, but just 6 percent of home loans in Washington.

STRONG MARKET
Home appreciation in Washington continues to out-perform the rest of nation with regular price increases every quarter since the spring of 1995. Real estate has been, and will continue to be, stable long-term investments.

STABLE INVENTORY

The key to stability in the residential real estate market is balance – a six month supply of homes available on the market at any given time.

WHY WASHINGTON IS DIFFERENT

The home market is not keeping pace with the growth of the state’s population. The state’s population is projected to increase by nearly one million over the present decade and reach 6.8 million residents by 2010. Most growth occurs from within the state – not new residents relocating from other states.”

Buyers need not fear plummeting values if they buy today. Investors must move cautiously in the new market reality but opportunities abound for well constructed real estate investing.

The national news continues to be bad for many US housing markets…but not the Seattle area. ABC News and Forbes magazine have identified the greater Seattle area as one of the top ten markets likely to continue to experience hosuing valuation appreciation. Why?

According to Jim Hebert of Hebert Research, Inc., the I-5 corridor counties are poised to experience a robust growth in net new jobs over the next five years with companies like Microsoft, Google and bio-tech companies all adding to payrolls.

You Can Make Money in Real Estate ABC News - 11 hours ago However, those looking to make a quick buck may do so in a number of markets ripe for a well-spotted flip. Best among them is Seattle. …

technorati tags:kitsap, real, estate

It’s getting hotter in the downtown Port Orchard real estate community. A large number of downtown properties have changed hands, raising expectations to a fever pitch. Some of the longer term owners are taking measures to speed up the process. A revitalized downtown community has the potential to change South Kitsap drastically with broad implications for property values in the entire area.

Planning processes and political leadership can block or enable progress. Mayor Bozeman has made impressive progress in Bremerton. Elections for a new administration in Port Orchard are due this fall. Lary Coppola, a front-running mayoral candidate vows changes to assist in economic development. Stay tuned.

technorati tags:port, orchard, real, estate, kitsap, real, estate

Housing market still shows signs of slowing - TheNewsTribune.com (subscription)

Is it a buyer’s market or a seller’s market? Compared to the torrid
pace of 2005-2006 it has definitely moved toward the buyer’s position.
But wait, this article says that Kitsap Couunty real estate pricews
moved up 10%, year to year, from 2006 to 2007. Is that really a
“buyer’s market?. What do you think?

technorati tags:kitsap, real, estate, kitsap, county, real, estate

Council Digests Downtown Port Orchard Plan, a Detail at a Time - Kitsap Sun (Subscription)

technorati tags:port, orchard, real, estate, new, homes, in, port, rchard

New homes in Port Orchard are perhaps the most exciting opportunity for first time and move up buyers throughout the entire Puget Sound region.

Port Orchard real estate also known as South Kitsap real estate will likely be the focus for a number of major regional and national builders for quite awhile.

Take D.R. Horton, Quadrant Corporation and and Chaffey Homes for instance. They have tied up thousands of acres of Kitsap County real estate land with potentially more than 10,000 new home sites in an area that will be easily accessed from the I-5 corridor over the second Tacoma Narrows Bridge scheduled for completion later in 2007.

Greater Port Orchard also known as South Kitsap county is home to some 140,000 residents from the Pierce and Mason counties borders up to Gorst. In spring of 2007 there were approximately 164 new homes on the market immediately available for purchase with another 104 under contract.

Inthe last six months from roughly November 2006 through April 2007 217 new homes were sold at an average sold to list ratio of 100.3%.

Smaller builders offer very attractive semi-custom and custom home options on rural lots or in-fill lots that the larger homebuilders cannot manuever efficiently. Homes from these builders tend to be larger with larger lot sizes and are typically in-fill developments.

The larger builders have price on their side because they are often vertically integrated companies with resources from standing timber to the finished home and can slice a bit of the margin here and a bit of the margin there for impressive value delivered in large volumes.

Know your stats. That is the only way to have the knowledge to negotiate the right price for your new homes in Port Orchard.