America is on the Move

Nearly 40 million people -- 14 percent of the population -- changed addresses in 2005, according to the Census Bureau.

Only 3.7 million moved to another place because they changed their status from renter to owner. Some 3.1 million moved to establish their own household, and 4.2 million switched places because they took a new job or were transferred. About 1.4 million moved to be closer to work, and 2.8 million moved because of a change in their marital status.

According to the government, 7.1 million people move because they wanted a new or better home or apartment, and 1.6 million moved to change neighborhoods. In other words, they moved up. But 2.6 million moved down to something less expensive. Finally, about 900,000 people moved for health reasons or for a better climate.

Moving can be a chore. Yet, nearly three of every ten people moved last year were moving for the second time in last five years. Sixteen percent were moving for the third time in five years, and 6 percent switched places for the fourth time.

For all your Real Estate needs contact www.NoltingRealEstate.com and/or 636-391-9997.

Due to Residential Homes Sales Correcting - Builders Look to Growing Multifamily Market

With the residential single-family home market correcting itself and affordability for most prospective buyers on the decline, real estate consumers are putting their dreams of homeownership or a vacation home on hold, prompting the demand for rental property to rise. For builders, rising occupancy rates and monthly rents, and increased traffic at all classes of rental apartments are all signals that multifamily is hot and will be for some time to come.

This news comes on the heels of a recent announcement from the National Association of Home Builders' (NAHB) that its Multifamily Stock Index (MFSI) is at its highest reading of all time. NAHB's Multifamily Stock Index tracks the total returns (including capital gains and dividends) of 24 publicly traded firms principally involved in the ownership and management of apartments. During the month of August, the MFSI reached 3,328, its highest reading of all time, and almost 30 percent higher than it was a year ago. In comparison, the S&P 500 index with dividends reinvested gained 2.40 percent in August and is about 9 percent higher now than it was a year ago.

Recognizing a possible trend toward multifamily construction, government agencies and lenders are getting together to make it easier for developers to secure loans. The California Housing Finance Agency (CalHFA) announced recently it has reduced interest rates for developers of multifamily housing. CalHFA, which earlier this year introduced new programs to encourage the construction or rehabilitation of multifamily housing, reduced the interest rate on 30-year loans for multifamily projects from 5.80 percent to 5.55 percent.

For more information on this subject, click here. For all your Real Estate needs contact Nolting Real Estate at www.NoltingRealEstate and/or 636-391-9997.

High Tech Options for New Home Buyers

In today's technological world we are seeing more and more new home buyers that are looking for high tech options.

The Consumer Electronics Association recently did a survey that found 38 percent of recent home buyers and 61 percent of those planning to buy indicated that they were in the market for monitored security, but only 29 percent of the builders surveyed were offering that option. The study also found:

• 86 percent of builders said technology is a significant factor in marketing new homes, compared with 66 percent two years ago.
• 33 percent of builders said Revenue from home-technology products had increased, up from 24 percent in 2004.
• 32 percent of new home buyers said they did not buy structured wiring because the builder did not offer it.
• 36 percent of all households had home theaters, up from 28 percent in 2003.

Let us help you find a "High Tech" house! Call Nolting Real Estate at 636-391-9997 or visit us on the web at www.NoltingRealEstate.com.

Baby Boomers: Greatest Real Estate Generation?

Baby Boomers (78 million Americans born between 1946 and 1964); unlike any other previous demographic group have a seemingly voracious appetite for real estate. This is shown through a study by NAR which was based on a statistically representative sample of 1,969 boomers polled early this spring.

Here’s just a sampling of the findings:

• Nearly eight in 10 own their own homes, and among higher income boomers the homeownership rate exceeds 90 percent. Boomers account for just 38 percent of all households, but they own more than half of all second homes.
• 1 out of 4 boomers owns at least one piece of commercial real estate, land, rental property or a vacation home. One third of all boomers who own rental real estate own more than one unit. Among those who own commercial property, 29 percent own multiple investment parcels.
• Nearly one of every seven baby boomers owns undeveloped land, with a median holding of five acres. Forty-four percent of those who own land report their holdings range from 11 to 100 acres or higher.
• Even with all the real estate they already control, boomers plan to keep buying more of it. Among those with household incomes of $100,000 and up, 37 percent say it is likely or extremely likely that they will purchase real estate within the next 12 months.
  

To learn more about the real estate open in your area contact Nolting Real Estate at www.NoltingRealEstate.com and/or 636-391-9997.

How to Save for Your First House

It's a dream of many young adults to buy a first home. But there's an unfortunate reality: Even buying a "starter home" with today's lofty prices can mean saving tens of thousands of dollars for a down payment. How do you pull it off? The key, obviously, is to save like crazy. Beyond that, here are several suggestions that may make the path to home ownership a bit easier.

1. Aim for 20 percent down – You will also need extra money set aside on top of the down payment for closing costs such as title insurance and mortgage fees, which can reach up to $5,000.
2. Keep it separate - Set up a separate account for your down-payment funds, so the money does not get intermingled with other savings and so you can keep track of how much you save.
3. Clean up your finances - Your credit history will determine the loan terms and mortgage rates you qualify for. You could be offered a smaller loan or charged a higher rate if a lender is concerned you might not be able to repay.
4. Weigh mortgage tradeoffs - A general rule of thumb is that your monthly mortgage payment shouldn't exceed 28 percent of your household's gross monthly income.

To find out the price of local starter homes, so you can estimate what you'll need to save up, you can check out home listings on http://www.noltingrealestate.com/ or call us at 636-391-9997.

Nolting Real Estate Serves the Central Corridor

Nolting Real Estate focuses on the Central Corridor areas of west St. Louis County, including University City, Clayton, Brentwood, Glendale, Rock Hill, Frontenac, Ladue, Des Peres, Town & Country, Kirkwood, Webster Groves, Creve Coeur, and Chesterfield.

In the Central Corridor of St. Louis County there are 1981 homes currently listed on the MLS with an average listing price of $821,739 (Average days on the market: 111). Last month (September 2006), 259 homes were sold with an average sale price of $642,006 (Average days on the market: 84).

As a St. Louis native and a homeowner in Town and Country I have been a licensed real estate broker for 10 years. As President of Nolting Real Estate, I have increased annual sales from my predecessor by more than 300%. By focusing on excellent customer service and cutting edge technology, I seek to maintain a customer base that not only uses Nolting Real Estate for its purchases and sales but also refers clients to the business.

For more information on housing sales specific to your area log onto our website www.NoltingRealEstate.com and/or call us at 636-391-9997.

Thanks for your time,

Russell Nolting

300 Million Mark

On October 17, 2006 - the U.S. Census reported that the nation's population has now reached 300 million. This milestone occurs nearly 39 years after the 200 million mark was reached on Nov. 20, 1967.

This rapid increase will result in the formation of more households and more potential homebuyers, not only because of the growing population, but because household size is shrinking, and more people are buying homes.

According to projections compiled in 1996 by the Census Bureau, the number of households in the U.S. is expected to reach 115 million by 2010. Families with children under the age of 18 are on the decrease, down to 48 percent. By 2010, 3 out of 5 families will have no children under the age of 18, an increase of 28 percent. One quarter of households are maintained by those who live alone, and will increase to 31 million by 2010.

The Census expects approximately 12 million households to be added to the current number between 2000 and 2010.

For more information on the U.S. Census, click here. For all your Real Estate needs contact Nolting Real Estate at 636-391-9997 and/or http://www.noltingrealestate.com/

“Why Remodel?”

Many of us ask, “Why Remodel?” Ideally in resale you will be able to regain the money you put into a remodel. With some projects, you may even be able to recoup more than you spend! Remember that your total payoff from remodeling depends on the:

• Condition of the house overall
• Value of similar houses in the neighborhood
• Availability of new homes in the area
• Rate at which property values are changing
• Location, location, location

For all your Real Estate needs contact Nolting Real Estate at 636-391-9997 and/or www.NoltingRealEstate.com

It is Still a Great Time to Buy a House

According to the Primary Mortgage Market Survey, mortgage rates have of lowered in the month of October. As of October 5, 2006 a thirty year fixed rate mortgage (FRM) averaged 6.3%. This is the lowest the thirty year FRM has been since the week of March 2, 2006 when it averaged 6.24%.

Also as of October 5, 2006, the fifteen year FRM week averaged 5.98% with an average .4% unchanged from the previous week. According to this same survey – a year ago, the fifteen year FRM averaged 5.54%. This proves to be the lowest the fifteen year FRM has been since the week ending March 23, 2006, when it averaged 5.97%.

To learn more about mortgage rates and the Real Estate Market contact Russel Nolting at Nolting Real Estate (636-391-997 and/or www.NoltingRealEstate.com).

Stabilization is Taking Place in the Housing Market

According to the National Association of Realtors, "Pending home sales are up, indicating a stabilization is taking place in the housing market. The Pending Home Sales Index, based on contracts signed in August, rose 4.3 percent to a level of 110.1 from a reading of 105.6 in July, but is 14.1 percent lower than August 2005. "

This index is one of the leading indicators for the housing sector and is based on the pending sales of existing homes. A sale is listed as pending when the contract has been signed and the transaction has not closed, but the sale usually is finalized within one or two months of signing.

David Lereah, NAR’s chief economist, said the rise in the index is a hopeful sign. “Our sense is that home sales may have reached a low in August – the Pending Home Sales Index shows home sales should be fairly stable over the next two months, although a minor decline is possible,” he said. “With fewer new listings coming on the market, we should be able to draw down the inventory supply early next year to the point where home prices will rise, but at a slower pace than historic norms.”

For more information on listings in you area contact Nolting Real Estate at http://www.noltingrealestate.com/ and/or 636-391-9997.

2006 Home Sales Still Third Highest on Record

According to the National Association of Realtors 2006 is on a very good pace to becoming the third best year in the history of Real Estate for transaction volume. This may seem strange since values have become stagnant and may even be declining but the fact is that transaction volume is still stronger today than all but two years of this countries history.

In the past several years the number of Realtors has more than doubled, according to these same statistics. What is interesting though is these statistics show that the length of time a Realtor has been practicing Real Estate correlates with their own transaction volume. One of the reasons for this is the establishment of good relationships with clients who will use them again in the future.

We have seen this first hand at Nolting Real Estate as we have been in the business for over twenty years. The mission of the Nolting Real Estate team is to invest in the lives of homeowners by providing reliable, innovative, and personalized service to maximize the economic and personal value of their real estate investment and to earn their trust in order to build lifelong business relationships.

Let us help you either buy or sell your home by calling us at 636-391-9997 and/or www.NoltingRealEstate.com.

Thank you,

Russell Nolting

First-time buyers are fueling activity in Lake Saint Louis, Defiance and Saint Peters

St. Louis is known for many things such as “The Acclaimed Mississippi River Port City” as many ships frequent the loading docks of its ports. This great city also has a collection of unique restaurants, shopping and a din of activities surround this historical waterfront.

St. Louis has always been steeped with historical beginnings such as the Cardinals Baseball team and the significant Gateway Arch Riverfront. What is also special to this city is the surrounding extensive lawns and copious southern-style homes. Our city maintains the ambience of such intimate hometown style along with cultural/educational institutions and ample recreational opportunities.

What is also good news about the greater St. Louis community is that housing prices were unchanged from January and rose 3 percent from last year. The communities of Lake Saint Louis, Defiance and Saint Peters are experiencing huge job growth. What we are finding is that first-time buyers are fueling this activity as average home prices are extremely affordable.

Here at Nolting Real Estate we would like to help YOU join this booming community! Contact Nolting Real Estate at 636-391-9997 and/or http://www.noltingrealestate.com/.

Thank you for your time,

Russell Nolting

Current Market Trends from St. Louis Post Dispatch…

Across the St. Louis area, home prices rose about 30 percent from 2000 through 2005, after adjusting for inflation, according to data released today by the U.S. Census Bureau. Other government research shows that trend continued during the first six months of this year.

Low interest rates helped fuel the price hikes, despite a drop in inflation-adjusted median household income during the same period. In other words, median income rose but slower than the rate of inflation. But economists and real estate people say home sales locally and nationwide are starting to slow, forcing sellers to lower their profit expectations and patiently wait for the right buyer.

Locally, the largest increases in home values occurred in the city of St. Louis, where rehabbed properties and tax abatements helped the median home price jump 43.5 percent to $103,300 over the five-year period.

As is typical, home prices in the St. Louis area rose slightly less over the five-year period than the national average, 30 percent versus 32.2 percent. The smallest increases in the area occurred in St. Clair County, where the median home price climbed 18.9 percent between 2000 and 2005.

The heightened interest in home buying a couple of years ago created a market where some properties sold for more than they were worth and now the market is adjusting. But three years ago, interest rates were lower and, on average, households were earning more, both of which helped would-be buyers afford more expensive homes. When interest rates are 2 percentage points lower, a buyer can purchase a home that's 25 percent more expensive without seeing a monthly mortgage payment increase.

Still, Americans were spending more of their income on housing in 2005 than five years earlier, 21 percent versus 19 percent, the Census data found. Part of the blame falls on a decline in median household income, which dropped 6.4 percent in the St. Louis area between 2000 and 2005, the data showed. That figure, which was adjusted for inflation, was slightly higher than the national average.