Household Wealth Boosted by Improved Home Equity

Gains in home equity and stock values helped lift household net worth by $1.3 trillion during the second quarter, the Federal Reserve said Wednesday. Household net worth totaled $74.8 trillion, a 1.8 percent increase over the first quarter.
During the recession, Americans’ wealth totaled $57.2 trillion.

The Fed uses the value of assets like homes, stocks, and bank accounts — minus debts like mortgages and credits — to calculate household wealth. During the second quarter, home values increased $525 billion. Meanwhile, stocks and mutual funds rose $300 billion. The more net worth consumers have, the more they are likely to spend, giving the economy an overall jolt.

Source: “Home and Stock Values Help Lift U.S. Household Wealth,” The Associated Press (Sept. 25, 2013)

Would You Pay $50 More Per Square Foot for Homes Near Good Schools?

Home buyers are willing to pay a premium in order to live in a top-ranked school district, a new study finds. They're forking over an average of $50 more per square foot for homes near top-notch schools, according to Redfin. The brokerage used MLS databases to calculate the median sales price and price per square foot of homes within school zones during the period of May 1 to July 31. 

Redfin’s analysis found that even within the same neighborhoods, home buyers are willing to pay substantially more for homes that fall in a top school district than for homes served by average-ranked schools.

“Homes just a short distance apart with nearly identical attributes are selling for drastically different prices,” the report says. “We’ve looked across the country at homes that have sold in the last three months and found five examples where prices vary on identical homes by as much as $130,000.”

Coastal California showed the biggest differences in home prices in the country based on school districts. Homes in the highest-ranked school zones in Los Angeles sold for $300,000 more than comparable homes in lower-ranked school zones; in San Jose, the price difference was $500,000.

The smallest differences in home prices based on school districts were in Queens, N.Y., Raleigh, N.C., and Eugene, Ore., the study found.

Source: Redfin

New Home Sales Up 7.9% in August

Americans stepped up purchases of new homes in August after cutting back in July, suggesting that higher mortgage rates may not be slowing the housing recovery.

The Commerce Department says sales of new homes increased 7.9 percent to a seasonally adjusted annual rate of 421,000. That comes after sales plunged 14.1 percent in July to a 390,000 annual rate.

The rebound in new-home sales could ease worries that higher rates have started to dampen sales. Still, some buyers could be racing to close deals before rates rise further. The average rate on the 30-year fixed mortgage has risen more than a full percentage point since May.

New-homes sales were 12.6 percent higher in August than a year ago. The pace remains well below the 700,000 consistent with a healthy market.

Copyright © 2013 The Associated Press

Home Owners Buying 'More Affordable' Solar Panels

As solar panel prices drop, more home owners are finding the systems within reach.

To help cover the costs, more lenders are offering home owners help in buying solar systems for their home, which is prompting a big growth in buying over leasing these systems.

Home owners are working with lenders or specialty lenders to qualify for a loan to pay for these pricey systems and to take advantage of federal tax credits that could be worth up to 30 percent of the value.

Prices for solar systems have dropped to $20,000 to $30,000 for a typical home, which has brought ownership of these systems more within reach to more households.

"It became glaringly obvious that someone needed to provide a path to ownership for these systems. It's not a $40,000 or $50,000 expense anymore," Jim Petersen, founder of PetersenDean, one of the largest U.S. installers, told Reuters.

For example, solar company Sungevity has partnered with Admirals Bank in Boston on a loan. The loan works much like a second mortgage. Clean Power Finance, which offers solar financing products to installers, is preparing to roll out a loan to consumers soon.

Also, in some places, such as Arizona, a large number of solar systems are being financed through home mortgages and equity loans, Reuters reports.

Source: “Loans challenge big money's leasing model for U.S. rooftop solar,” Reuters (Sept. 24, 2013)

Housing Recovery OK Despite Headwinds

The housing market is strengthening, despite economic challenges of job and wage growth and a recent rise in mortgage rates, according to several recent housing reports. Some analysts foresee the pace of the recovery slowing in the coming months, but they don’t expect the recovery to come to a halt. “We still have a lot of young people that are going to start moving out and forming households, and we’re going to have to find housing for them,” says Patrick Newport, the chief United States economist for IHS Global Insight. “There are shortages of homes just about everywhere.”

Home prices are inching higher, giving more equity to households. That not only aids the real estate industry but also makes home owners feel wealthier and more likely to spend, analysts note. In the second quarter, 2.5 million households regained equity in their homes, according to CoreLogic data.

CNBC reports: “Analysts offered a cornucopia of reasons for the continuing strength of the housing market: people rushing to buy before prices and interest rates increased further, a gradual relaxation of lending standards, an uptick in inventory, a smaller share of foreclosures in the sales stream, and large-scale buying by investors looking to put houses on the rental market.”

Source: “U.S. Housing Recovery Seems Still on Track,” The New York Times (Sept. 24, 2013)

Buyers Continue to Pay a Premium for New Homes

Many of the nation’s largest builders are raising their prices, even as existing-home prices are beginning to moderate.
For example, homebuilder KB Home has had average prices for its new homes soar 23 percent annually. Lennar has raised the average price on its new homes by 16 percent annually in the third quarter, now averaging $291,000. The average price of all existing homes was $258,000, according to the National Association of REALTORS®.

"The big picture is that new-build house prices fell less than existing house prices during the crash and have risen more during the recovery," says Paul Diggle at Capital Economics.

While prices are up for new homes, both Lennar and KB Home announced this week a weaker pace for new orders. Lennar officials blamed the slowdown on rising mortgage rates and the double-digit percentage increases in home prices this year.

“We see strong, viable, fundamental demand out there, but it has cooled a little bit,” Rick Beckwitt, Lennar’s president, said during a recent earnings call. “As a result, from a pricing standpoint, we have selected some of our inventory and increased incentives associated with that inventory.”

Analyst Ivy Zelman doesn’t believe new home prices are inflated or priced at an abnormal premium over existing homes.

"In Arizona, California, Florida, and Nevada, we conclude that prices are still 15 percent lower than the 2006 peak, which excludes an adjustment for an increasing size of new homes and would be further compounded by seven years of inflation,” Zelman says.

Source: “Forget easing prices, new homes are up, up, up,” CNBC (Sept. 24, 2013) and “New-Home Orders Slower for Lennar, KB Home,” The Wall Street Journal (Sept. 24, 2013)

Most Americans Optimistic About Home Values

Fifty-five percent of Americans say they expect home values to rise over the next 12 months, further showing that consumers are becoming less fearful about jumping back into the real estate game, according to Bankrate’s latest monthly Financial Security Index. Nine percent of Americans say they think prices will fall, and 27 percent believe values will stay flat. 

"It appears that Americans' love affair with real estate is back," says Greg McBride, senior financial analyst for Bankrate.com. "Even though the housing bust shows that housing prices don't just go straight up, people just don't have the same risk aversion to real estate and home ownership that they do to stock ownership."

Bankrate’s July index showed that Americans prefer real estate over stocks as a way to invest money they don’t need for 10 years. The decrease in foreclosures and still-low mortgage rates have been two factors helping home values to recover, says William Delwiche, an investment strategist for Robert W. Baird & Co.

"We got past that wave of the foreclosure crisis and banks trying to dump all their homes on the market," Delwiche says. "Lower mortgage rates have had an undeniably positive effect on not just household balance sheets, but also the housing market generally. It makes it much easier to buy a house if you're so inclined."

Source: “Survey: Americans upbeat about home prices,” Bankrate.com (Sept. 2013)

How Sellers Can Save With Prelisting Inspections

Home inspections have the power to send all parties back to the negotiation table. As such, some sellers are taking the precautionary step of having an inspection done before listing the home for sale.

Some real estate professionals say that having a home inspection prior to listing can offer several benefits to the seller.

“The buyer has the upper hand when they have an inspection,” says Jessica Edwards, Coldwell Banker consumer specialist and real estate professional. “If you are willing to do it ahead of time, you give the control back to the seller.”

Sellers who have a home inspection upfront also can identify any major problems that could potentially derail a sale later on at the closing table. Any major repairs can be addressed beforehand. Doing repairs ahead of time might also be more cost-effective than having to pay a buyer's own licensed contractor do the work.

“If you have the items repaired or replaced ahead of time and it doesn’t come up with the buyer, it’s a non-issue,” says Edwards. Edwards says having a home inspection beforehand can also help sellers adjust their asking price if they aren’t willing to do certain repairs.

Leslie Piper, consumer housing specialist for realtor.com, suggests sellers consider a pest and roof inspection before listing.

“The costs of repairs or the replacement of a roof can vary and could be a big-ticket item a seller may want to be aware of before they choose the price they are hoping to get for their home,” Piper says. “Having these inspections can be beneficial for a successful home sale, and also beneficial for a seller’s future budgeting plans.”

Source: “Should Sellers Pay for a Home Inspection?” FOX Business (Sept. 18, 2013)

Buyers Looking to Lock in Rates

As mortgage rates move up, buyers are moving in to secure interest rates before they're priced out of the market. Most lenders offer buyers a loan lock-in period of 30, 45, 60, or 90 days. Lenders then are obligated to offer the home loan at that lock-in rate, even if rates have risen during that time. Some lenders lately have even revived “lock and shop” programs, allowing buyers to lock in an interest rate for an unlimited time before they even find a property to purchase. 

Lawrence Yun, chief economist for the National Association of REALTORS®, called August’s surge in home sales likely the “last hurrah” for the next year to 18 months as mortgage rate increases and rising prices likely dampen affordability and sales in the coming months. Sales of previously-owned homes rose in August to the highest level in more than six years.

“Rising mortgage rates hurried some people into making the decision” to close on a deal, Yun says.

Mortgage rates have been on the rise since May when the Fed indicated that it would soon be winding down its $85 billion monthly bond purchases, which had helped keep mortgage rates near all-time lows. Mortgage rates have moved up more than a full percentage point since May. The Fed announced last week it would delay its taper, which temporarily brought mortgage rates down last week from yearly highs. The 30-year fixed-rate mortgage fell to 4.5 percent last week, according to Freddie Mac.

PulteGroup said it expects the increase in borrowing costs to affect consumer segments differently. For example, James Zeumer, head of Pulte’s investor relations, says that a half-percentage point rise in interest rates could mean that some first-time buyers “will be out of the game.” Move-up buyers, on the other hand, may “have a little bit more flexibility.”

Source: REALTOR® Magazine Daily News and “Home Sales Climb as Americans Rush to Lock in Rates: Economy,” Bloomberg (Sept. 19, 2013)

Developers See Major Improvements for Sarasota, Florida

A rebounding economy has developers in Sarasota, Florida rolling out new projects and city officials touting infrastructure improvements at a greater pace than any time since the market's crash six years ago.

Combined, the investments could dramatically reshape Sarasota's urban core — with new condominiums, hotel towers, more landscaped sidewalks and traffic roundabouts along U.S. 41 from the bayfront to University Parkway.

The list of ambitious new proposals follows a near-halt of commercial development during the Great Recession. With housing making a comeback, and visiting tourists opening up their wallets in record numbers, officials now believe the timing is again right to discuss redevelopment plans that, in some cases, date back more than a decade.

Read more at: Sarasota Herald-Tribune

Mortgage Rates Drop Fast After Fed Stimulus Decision

Homebuyers caught off guard by interest rates that spiked in the past few months could catch a break from the Federal Reserve’s decision Wednesday to continue its massive bond-buying effort.

Within hours after the announcement, rates for 30-year-fixed mortgages dropped by about a quarter of a percentage point, local mortgage experts said. It was one of the biggest one-day drops in memory.

“We’ve seen crazier days than today, but that kind of improvement is a good day,” said Dan Starelli, senior vice president and regional manager for home lending at Umpqua Bank in Roseville.

The plummet came after a steady rise in mortgage rates that Starelli said was among the fastest increases in years.

Rates for 30-year-fixed mortgages went from near-historic lows below 3.5 percent in May to more than 4.5 percent last week, according to mortgage giant Freddie Mac. Those rates were with buyers paying nearly 1 percent of the loan amount in points and fees; zero-point loans had higher interest rates.

The jump was driven by fears that the Fed would taper its $85 billion-a-month program to buy government and mortgage bonds, which had driven home-loan rates to record lows and given a big boost to the housing market.

Recovery Returning to Normal

As the peak home-buying season comes to an end, rising inventories and slower, steadier home-price increases in many markets are showing a healthier housing recovery, according to realtor.com®'s National Housing Trend Report for August.

“Where we have seen significant volatility in many markets — including double-digit declines in inventories as well as increases in median price for both yearly and monthly views — we are now looking at a housing market that is less heated and moving closer to normalcy,” says Steve Berkowitz, CEO of Move, Inc., which operates realtor.com®. Future home-price increases may be driven more by market demand than inventory shortages, realtor.com® notes.

Earlier this year, tight inventories persisted in many housing markets, leaving buyers with limited options and helping to drive home prices up.

The majority of markets are ending the 2013 home-buying season on a positive note, with more balanced inventories, shorter times on market, and higher listing prices compared to a year ago, realtor.com® notes.

Nearly a third of the 146 markets that realtor.com® evaluated are within 5 percent of last year’s inventory levels. More than two-thirds saw a net increase in inventory levels over the last month.

Price appreciation is also becoming more widespread, realtor.com® notes. In August, 123 of the 146 markets posted year-over-year rises in median list prices. Seventy-eight markets saw an increase of 5 percent or more.

Corpus Christi, Texas, saw the biggest gain in median list prices in August, rising 6.53 percent. Meanwhile, Jersey City, N.J., posted the largest declines, with home prices falling 8 percent in August.

Source: “Dynamics Shift in Housing Market,” realtor.com (Sept. 12, 2013)

How to Get That Perfect Landscaping in Florida

You really don’t have to be an expert to get Florida friendly landscaping in your yard. It is so hard trying to know which plants work best where and trying to make it look nice.

Really all you need to do to have Florida friendly landscaping is to get low- maintenance plants. You also need to do a little well-timed pruning, that goes a long way towards improving your landscaping. It makes them more attractive and allows them to grow healthier. You need to remove dead, diseased or broken branches and weak limbs.

As winter approaches many plants lose their leaves this makes it easier to see the framework of the plant and then you can decide which branches you need to shorten or remove.

Some of the best trees and shrubs for Florida can be things such as pineapple guava (Acca sellowiana) they add interest to your garden with its gray-green leaves and waxy pink and white flowers, this small tree reaches about 8-12 feet tall and likes to be in the full sun. It is easy to grow. There is also the Firebush with its orange flowers, and of course the palm tree.

Before you know it you can have a beautiful yard full of color all year round. Keep that pruning up!

Existing Home Sales at Highest Level Since February 2007

Existing-home sales increased in August, reaching their highest level in 6½ years. What's more, the median price shows nine consecutive months of double-digit year-over-year increases, according to the National Association of REALTORS®. 

Total existing-home sales, which are completed transactions that include single-family homes, townhomes, condominiums, and co-ops, rose 1.7 percent to a seasonally adjusted annual rate of 5.48 million in August from 5.39 million in July. They're also 13.2 percent higher than the 4.84 million-unit level in August 2012.

Sales are at the highest pace since February 2007, when they hit 5.79 million, and have remained above year-ago levels for the past 26 months.

Read more at: National Association of REALTORS®

South Florida Growing at 3.5% Largely Due to Real Estate

Real estate, once again, can be found at the head of South Florida’s economic pack.

New output numbers released Tuesday show real estate as the No. 1 contributor to economic growth last year, accounting for 31 cents of every new dollar added to the tri-county area’s $274 billion economy. Overall, the economy grew by 3.5 percent, the sharpest increase since 2006 and well ahead of the national metropolitan average of 2.5 percent.

“Overall, I think it’s a pretty good number,” said Robert Cruz, official economist for Miami-Dade County. He noted that of Florida’s largest economies, South Florida had the sharpest growth in 2012.

Real estate’s return as a major economic engine comes amid rising property values and a return of cranes in downtown Miami as developers again see profits in one of the most ravaged housing markets in the country.

“Real estate is really the foundation for this area. It’s crucial for the recovery,” said Tony Villamil, a private economist and dean of the business school at St. Thomas University.

In 2012, the real estate sector – which is driven by rents, property values and commercial transactions – contributed about $52 billion to the combined economies of Broward, Miami-Dade and Palm Beach. That was 8.4 percent better than in 2011, and the best showing since 2006.

The real estate numbers were one data point in the annual metropolitan report card issued by the federal Bureau of Economic Analysis. The annual numbers mirror the quarterly Gross Domestic Product reports that track the health of the national economy.

In general, the report showed metropolitan areas faring well in 2012, with most sectors gaining. Financial services, a category that includes real estate, helped drive growth across the country, as did manufacturing and the category that includes retail.

Government dollars were basically flat in 2012. Though down by $19 million, that still represented less than a 1 percent decline. The data does not cover the start of the automatic federal spending cuts called “the sequester,” which began in March. But the numbers do reflect cutbacks in spending at the end of Washington’s $800 billion stimulus program and as Miami-Dade governments grapple with ongoing budget squeezes. The decline shows a bottoming out of spending cuts, with 2010 and 2011 seeing government output down by between $100 million and $200 million.

In South Florida, the education sector was the No. 1 drag on output, with a 7 percent decline. The figures are preliminary, so the sharp decline may moderate as BEA revises its numbers.

Copyright © 2013 The Miami Herald. Distributed by MCT Information Services.

Single Family Home Construction Up by 7% in August

U.S. builders started work in August on the most single-family homes in six months and requested permits to construct even more in future months. The figures suggest housing remains a driver of economic growth despite higher mortgage rates.

Construction of single-family homes started rose 7 percent last month to a seasonally adjusted annual rate of 628,000, the Commerce Department said Wednesday. That’s the fastest rate since February. And builders sought 627,000 permits to construct future single-family homes, 3 percent more than July and the best pace since May 2008.

Overall, builders broke ground last month on houses and apartments at an annual rate of 891,000. That’s up from a rate of 883,000 the previous month. The gain in single-family homes was offset by a decline in volatile demand for apartments.

Total permits fell to a rate of 918,000 from 954,000 in July, also because of a decline in apartments.

Still, several economists noted that single-family homes represent the bulk of the market. They made up 70 percent of homes started in August. Ted Wieseman, an economist at Morgan Stanley, said their value is two to three times that of an apartment building. That suggests residential construction should boost economic growth again in the July-September quarter.

“The fact that the trend in single-family starts and permits continues to improve … supports our view that construction activity will continue to increase through year end,” said Joseph LaVorgna, an economist at Deutsche Bank.

Housing starts are 19 percent higher than a year ago. The housing market has been recovering steadily over the past year, helped by lower mortgage rates and steady job growth. The gains have contributed to economic growth at a time when consumers and businesses have spent more cautiously.

But mortgage rates have risen more than a full percentage point since early May. Some economists say higher rates may be starting to slow the recovery’s momentum. In July, new-home sales plummeted to the lowest level in nine months.

Mortgage rates could rise even further if the Federal Reserve decides later Wednesday to slow its $85 billion-a-month bond purchase program. Most economists expect the Fed will announce that it will reduce its purchases by $10 billion. The bond purchases have kept long-term interest rates low.

The average fixed rate on a 30-year mortgage was 4.57 percent last week. That’s near the highest level in two years. Still, rates remain low by historical standards. And most economists expect the housing recovery to withstand the increase in borrowing costs.

Homebuilder confidence remained at its highest level in nearly eight years in September, according to a survey by the National Association of Home Builders. But builders are starting to worry that sales may slow in the coming months if rates keep rising, the survey found.

Though new homes represent only a fraction of the housing market, they have an outsize impact on the economy. Each home built creates an average of three jobs for a year and generates about $90,000 in tax revenue, according to NAHB statistics.

Copyright © 2013 The Associated Press.

Remodeling Takes an Upward Trend

Home remodeling is growing, as home owners once again look to enhance their homes. Building permits for improvements to existing homes rose in July 16 percent higher than year-ago levels, according to recently released remodeling data released by BuildFax.

"The national upward trend in remodeling is unmistakable,” says Joe Emison, chief technology officer at BuildFax.

Remodeling activity has risen the most in the West, posting an 8 percent month-over-month increase in July and up 16 percent from one year ago. Remodeling activity was also on the rise in the South, increasing 6 percent month-over-month, and rising 3 percent in the Midwest.

However, a notable exception to rising activity in remodeling is in the Northeast, Emison notes. “Major cities (Boston, New York) have seen substantially less residential remodeling this year than last year, even though overall permit volumes have remained close to last year’s totals,” Emison says.

Remodeling activity in the Northeast plummeted 32 percent in July from June levels, and is down 52 percent from one year ago.

The BuildFax Remodeling Index is calculated based on construction permits for residential remodeling projects that are filed with municipalities across the country.

Source: BuildFax Remodeling Index and “3.5 Million Homes May be Remodeled This Year,” Mortgage News Daily (Sept. 17, 2013)

Move-up Buyers Return to the Market as Equity Levels Improve

As home equity levels improve, the move-up buyer is back on the market. More move-up buyers are selling their current properties to replace them with pricier homes, according to the latest report from FNC, a real estate data firm. 
The move-up buyers are coming with larger down payments on new homes as recent improvements in home equity levels have allowed them to move.

"An important sign of a healthy and sustainable recovery is increased housing turnover driven by trade-up buying, which is more or less discretionary spending," says Yanling Mayer, FNC’s director of research. "These buyers are typically more responsive to market conditions and financial incentives.”

Rising mortgage rates are driving the higher demand because move-up buyers are wanting to take advantage before mortgage rates rise any more, brokers say.

Plus, more move-up buyers are in a better position to move. Forty percent of all home owners now have at least 20 percent or more of equity in their homes now, according to RealtyTrac data.

Also, 8.3 million additional home owners are expected to have at least 20 percent equity within the next 15 months if home prices continue to appreciate at the same pace, says Daren Blomquist, vice president of RealtyTrac. Blomquist adds that if 5 percent of these home owners decide to sell their homes, that would amount to an additional 415,000 homes for sale in the coming months.

Source: “Move-up buying activity rises with home equity gains,” HousingWire (Sept. 12, 2013)

Florida No. 4 in List of States With Biggest Foreclosure Drops

The number of home owners entering the foreclosure process dropped below pre-recession levels in August, according to RealtyTrac. In some states, the declines were even more pronounced. Financial site 24/7 Wall St. reviewed the states with at least 500 foreclosure starts as of August 2013 to identify which had the largest declines in the last year:

1. Illinois: Change in foreclosure starts: -66.2%
2. Arizona: -64.9%
3. Washington: -64.9%
4. Florida: -64.6%
5. California: -57.5%
6. North Carolina: -56.0%
7. Michigan: -55.0%
8. Tennessee: -51.0%

Source: “States with the Biggest Drops in Foreclosures,” USA Today (Sept. 14, 2013)

Solar Panels the 'New Granite'

Solar panels are soaring in popularity, almost becoming a standard for new homes in several markets, Bloomberg reports. Six of the 10 largest U.S. homebuilders say they now include solar panels in new construction, and consumer demand for them is expected to soar 56 percent nationwide this year, according to the Solar Energy Industries Association. 

“In the next six months, homebuilders in California and the expensive-energy states will be going solar as a standard and just incorporating it into the cost of the house like any other feature,” Jim Petersen, CEO of solar contractor PetersenDean Inc., told Bloomberg.

Installing solar panels during the home-construction phase is about 20 percent cheaper than doing so after the house is built. Solar panels can cost between $10,000 to $20,000, but they can drastically reduce electricity bills.

Builder KB Home has been offering solar panels as an option in several of its communities in California, Nevada, Texas, and Colorado. It will soon do so in Arizona. It’s developing 22 communities in California that include panels as a standard home feature.

In California, the biggest solar state, as many as one in five homes built this year will have solar panels, according to some industry estimates.

Source: “Solar Panel Is Next Granite Countertop for Homebuilders,” Bloomberg (Sept. 11, 2013)

How Does Trulia, Zillow Make Sense of All That Data?

Most Internet-based businesses are driven by data, but finding ways to organize reams of data is one of the toughest problems any company will face. Harnessing fire hoses of facts and figures and synthesizing them into a cohesive product requires an immense amount of resources, planning and coordination. How is that possible?

Read more at Florida Realtors 2013

Will Fed Announce Bond Tapering This Week?

The Federal Reserve is expected to announce a tapering of its bond purchase program Wednesday, which could have a big impact on mortgage rates.

The Fed has been purchasing $85 billion per month in long-term U.S. Treasuries and mortgage-backed bonds in a move known as "quantitative easing." The bond-purchase program has helped to keep mortgage rates at or near record lows in recent years.

On Wednesday, the Fed is to provide clear indication of when it will start scaling back on its bond purchases and by how much.

Nearly 90 percent of 44 economists recently surveyed by USA Today expect the Fed to be cautious at first with its tapering, likely reducing asset purchases by $15 billion or less.

“When the Fed starts to taper, it will only be taking its foot off the accelerator; it will not be stepping on the brake,” says Gary Thayer, chief macro strategist at Wells Fargo Advisors.

However, if the Fed cuts back by more—say, by $20 billion to $25 billion—markets would probably drop on fears of higher borrowing costs. "Stocks could suffer that 10 percent correction on fears housing would get hit, consumers would retrench and the growth outlook would turn negative," says Jeff Kleintop, chief market strategist at LPL Financial.

Mortgage rates have been steadily increasing since May when the Fed indicated it would likely taper its bond purchasing program in September. Long-term mortgage rates have risen by more than a full percentage point since May. As of Thursday, 30-year fixed-rate mortgages averaged 4.57 percent, Freddie Mac reports. A year ago at this time, 30-year rates averaged near all-time lows of 3.55 percent.

Source: “As Fed 'taper' looms, so do market surprises?” USA Today (Sept. 15, 2013) and “Investors Brace for Clarity on Fed’s Taper,” CNNMoney (Sept. 15, 2013)

Obama Housing Scorecard: Number of Underwater Homeowners Down 42%

Home prices are rising, more underwater home owners are regaining equity, and home sales are on the rise, according to the Obama Housing Scorecard, released each month by the U.S. Department of Housing and Urban Development. 

The August report showed that home prices continue to make strong gains while the number of underwater home owners has dropped by 42 percent since the beginning of 2012. The number of home owners who owe more on their mortgage than it is currently worth has dropped from 12.1 million to 7.1 million as of the second quarter of 2013. Home sales—for existing homes and new homes—continue to rebound as well.

However, the report also strikes a cautious note, underscoring the fact that housing market hasn't returned to normal quite yet.

“As we regain stability in our housing markets, it is important to remember that we still have a long way to go in making sure that our housing finance system is strong for future generations,” says Kurt Usowski, HUD deputy assistant secretary for economic affairs.

The report notes that more than 1.7 million home owner assistance actions have taken place through the administration’s Making Home Affordable Program, including loan modifications and other foreclosure-mitigation efforts. But the administration continues to press mortgage servicers to improve their processes in helping struggling home owners, such as through better identification of home owners who could be helped through the program as well as improving upon the timeliness, accuracy, and detail of servicers communications with home owners.

“While there is significant progress, there is still more improvement needed in [mortgage] servicer behavior,” says Tim Massad, Treasury assistant secretary for financial stability. “And while the housing market has recovered substantially, there are still home owners struggling to avoid foreclosure and it is vital that we continue to try to help them.”

Source: U.S. Department of Housing and Urban Development and “Obama Housing Scorecard: Housing faces long journey ahead,” HousingWire (Sept. 13, 2013)

A Place in the Sun Live! at Birmingham NEC

My Home on the Gulf would like to invite you to attend A Place in the Sun Live, the official overseas property exhibition of the hit Channel 4 TV show that helps house-hunters find their dream property around the world.

It is taking place at the NEC Birmingham on 27th - 29th September 2013, and advance tickets usually cost £10 each, but My Home on the Gulf would like to invite you to attend the exhibition FOR FREE!

All the popular property buying destinations will be covered, with houses, villas and apartments for sale in all the popular areas of France, Spain, Portugal, Italy, Turkey and Florida plus many more - so if you're considering buying a holiday home or an investment property abroad, then a trip to A Place in the Sun Live is an absolute must.

Click here to receive your complimentary tickets from My Home On The Gulf.

The Lakewood Centre Development in Lakewood Ranch, Florida

A huge project called Lakewood Centre is taking shape on 697 acres of land at Lakewood Ranch. Upon completion projected in 2026, the development would feature 4,683 residential units, 1.674 million square feet of commercial space, 1.463 million square feet of office space, a 300-room hotel and 36.8 acres of park land.

Read more at Bradenton Herald

Builders Price Increases Slow as Interest Rates Rise

U.S. home builders slowed down price increases in August as higher interest rates led to a 4 percent drop in builder sales, a survey of 273 builders found.

The survey conducted by John Burns Real Estate Consulting, a firm based in Irvine, Calif., found home builder sales fell 4 percent from July to August, a month in which sales typically rise 2 percent, The Wall Street Journal reported Wednesday.

In the August survey, 47 percent of home builders indicated they were raising prices, down from 64 percent in July.

The August survey found 48 percent of home builders indicated they had kept prices unchanged in the month, while 5 percent indicated they had lowered prices – the largest percentage in that category since March 2012, the Journal said.

Interest rates are up nearly a percentage point since May, reaching 4.57 percent in August, and price hikes have affected the volume of business, analysts say.

“The fact that we saw a 4 percent decline [in sales] does suggest there is more to it than just normal seasonality,” said Jody Kahn, a senior vice president at the consulting firm.

“The price increases are crazy,” Keller Williams Realty real-estate agent Jody Kahn said.

“I’ve seen some builders that have raised their prices $100,000 over a three-month period. That has a big impact on people buying new construction,” Kahn said.

Copyright © UPI 2013

Inventories Rising as Sellers Test Market

Housing inventories were back on the rise in August, relieving many markets that had seen a tight number of homes for sale at the beginning of this year despite rising demand among buyers. More sellers are testing the market as price gains the past year give them more confidence. 

Housing inventories were just 2.5 percent below levels from a year ago, according to realtor.com® in its latest housing report released Thursday, which includes sale listings from more than 800 multiple-listings services nationwide. In February, housing inventories had reached a low point, but are now up more than 24 percent from that time. August marked the sixth consecutive month for increases in inventories. 

Median asking prices held steady in August, holding at $199,900 nationwide, the same median as July's report. Asking prices were up 6 percent from a year earlier. 

Source: “Sellers Test Housing Market Amid Rising Prices,” The Wall Street Journal (Sept. 12, 2013)

Florida Foreclosures Down 65%

Florida foreclosures dropped dramatically in RealtyTrac’s latest report for August. Overall foreclosure activity dropped 43 percent, and foreclosure starts – homes that received a first notice – dropped 54 percent year-to-year.

Nationally, RealtyTrac reports that national foreclosure filings – default notices, scheduled auctions and bank repossessions – decreased 2 percent from the previous month and 34 percent year-to-year, the 35th consecutive month where foreclosure activity has decreased on an annual basis. One in every 1,019 U.S. housing units had some kind of foreclosure filing activity during the month.

Some experts say the Florida drop relates, at least in part, to a bill passed during the 2013 session of the Florida Legislature to ease the court burden of foreclosures in the state. St. Petersburg foreclosure attorney Matthew Weidner tells the Tampa Tribune that mortgage servicers and banks now have more trouble proving that they own a mortgage, which the legislation requires.

That could mean lenders are doing more prep work before filing foreclosure paperwork, which would impact the foreclosure numbers. However, RealtyTrac Vice President Daren Blomquist says it’s too early to know the impact of Florida’s new foreclosure law.

Read more at Florida Realtors 2013

New Evidence of a Housing Bubble?

The National Association of REALTORS®' home price affordability index dropped below a long-term trend line, once again igniting fears of a housing bubble. But some experts say the worries are being blown out of proportion. 

The latest reading of the index, which reflects July data, marked the lowest level of home affordability since July 2009 and the fourth month that the index has come in below trend. The index measures the household income needed to qualify for a traditional mortgage for a median-priced single-family home.

Higher mortgage rates and home prices are causing affordability to drop. Home prices have surged 13.4 percent compared to a year ago, and mortgage rates are at their highest averages since February 2012. Wages are rising — but not as fast as home prices.

The West has posted some of the biggest drops in affordability, as home prices have climbed 18.4 percent in the region in the last year.

NAR’s affordability index peaked in January at 210.7, and it has been falling ever since. It now stands at 157.8. An index reading above 100 indicates that median income is higher than needed to qualify for a mortgage. "A score of 157.8 officially indicates that a household earning the median income has 57.8 percent more income than needed to get a mortgage on a median-priced home,” CNBC reports.

But a recent paper by three economists from Robert Morris University in Pennsylvania suggests that when the index falls below trend for at least three months, it may be an indication of the beginning of a housing bubble. The economists point to the beginning of 2004, when home affordability fell below its long-term trend. Some say that marked the beginning of the last housing bubble. Housing affordability stayed below the long-term trend until December 2008, the economists note.

Housing affordability this year dropped below the long-term trend in April and has stayed there through July, CNBC reports. But even signs of a housing bubble don’t mean home prices are doomed to crash, analysts say.

NAR experts write at the Economists’ Outlook blog that housing affordability likely could strengthen in the coming months “as prices have decreased from a month ago and most likely reached their seasonal peak for the year. Even with rates increasing, certain metro areas have healthy inventory levels, and consumers can still look to purchase before those historically low rates are a thing of the past.”

Source: “Latest Housing Affordability Data,” NAR’s Economists’ Outlook Blog (Sept. 6, 2013) and “Yep, it's another housing bubble,” CNBC (Sept. 10, 2013)

What's On in Lakewood Ranch, Florida

Lakewood Ranch, Florida is such a wonderful place to live, work and play; we love living here in Lakewood Ranch, Florida. Everyone is amazingly friendly and there is always something happening; we have never been stuck for things to do.

Main Street in Lakewood Ranch always have fun-family events that our children love to go to. Music on Main (First Friday) is always a popular one with both children and adults. There is live music and a DJ and lots of lovely food, you can grab something on the go or choose from the many restaurants that Main Street offers. Guests can bring chairs and dogs on a short leash. But coolers are to be left behind.

On September 21st, 2013 there is going to be the 5th annual BBQ cook-off on Lakewood Ranch Main Street; who will win the trophy this year? The restaurants are competing in this cook-off to see who wins. Tasting times are from 6:00-8:00 pm so get down there and sample some amazing BBQ food.

Luxury Homebuyers Believe Homeownership Better Than Stock Market

Luxury home owners and buyers place a high value on real estate, according to a new survey conducted by Better Homes and Gardens of 500 luxury home buyers.

In fact, the survey finds that 75 percent of luxury home buyers believe home ownership is a sounder investment than the stock market. What’s more, 57 percent of luxury home owners say home ownership is a bigger indicator of success than their job or title.

“The luxury consumer is considered a trendsetter in most industries, and to see the strong connection this consumer has with ‘home’ is very significant as we look at the real estate market as a whole,” says Sherry Chris, president and CEO of Better Homes and Gardens Real Estate LLC. “The luxury home buyer has high standards and invests the money, the time, and the commitment to making their home fit their needs and reflect who they are. It’s remarkable that they do this so well that nearly all -- 93 percent -- believe their house is the best one on their block.”

The survey revealed some of the following insights into the luxury home buyer and owner:
They desire multiple homes: Fifty-three percent say they prefer owning multiple “lifestyle” homes to support their lifestyle activities, such as skiing or attending the theatre. Fifty-eight percent of the luxury home buyers surveyed say they already owned multiple homes to support their lifestyle activities.

• They’re willing to sacrifice square footage for luxurious amenities: Sixty-percent of luxury home buyers surveyed said they would rather have as many upgrades as they can afford in their home rather than greater square footage. Ninety-four percent of those surveyed would be willing to give up 1,000 square feet of living space in their next home in order to get the amenities they most desire, such as living in a better neighborhood, living in a house with “character,” more land, access to dining and entertainment, and a shorter commute. 
• They want a high-tech home. Sixty-six percent expressed a stronger desire for having a “smart” home than a “green” home. Eighty-seven percent said they would not even consider purchasing a home that wasn’t tech-friendly. 
• They also value their outdoor spaces. Luxury homebuyers also placed a high value on outdoor amenities as must-have essentials in a home. For example, they expressed a big interest in having a garden oasis, outdoor fireplace or firepit, and a separate guest house outside of the main home. 
• They turn to their real estate agent for guidance and greater insights. The luxury home buyer is looking for their real estate agent to provide them insight into the neighborhood lifestyle (65%), advance new listing notices (64%), advice on housing trends (55%), and support at a personal level throughout the buying process (53%), the survey finds. 

Source: “Luxury Home Owners Believe Home Ownership is a More Sound Investment Than the Stock Market, Survey,” RISMedia (Sept. 10, 2013)

Banks Tighten Reverse Mortgage Rules

New rules that go into effect on Sept. 30 will place more limits on how much and when home owners can tap the equity in their homes through a reverse mortgage. 

Under the new rules, some borrowers may have access to around 15 percent less of the equity in their homes compared to the maximum amount available now. The new rules also will limit the amount of money that can be taken out in the first year of a reverse mortgage. For example, if a home owner is eligible to withdraw a total of $200,000 in cash, they would only be allowed to get $120,000—or 60 percent of that—in the first year. Some exceptions apply.

The Federal Housing Administration insures most reverse mortgages. In its program, people 62 and older can tap their home equity without making payments. Lenders get their money back once the house has sold.

Under the older rules, home owners could withdraw all the money they were eligible for at once. But that strained the program’s cash reserves. The FHA’s changes to its reverse mortgage program sets out to encourage home owners to tap their home’s equity slowly and steadily.

“What regulators are trying to do is shift behavior so that people are more thoughtful and methodical about how they draw the money,” says Peter H. Bell, president of the National Reverse Mortgage Lenders Association. “The changes are intended to put the program back on track and encourage people to take what they need and no more.”

Starting Jan. 13, the FHA will also implement changes to who can qualify for its reverse mortgage program. Borrowers will then need to prove that they will be able to pay property taxes and insurance over the life of the loan. As such, borrowers will face greater lender scrutiny of all their income sources and credit history when applying for the program.

Source: “Tighter Rules Will Make It Harder to Get a Reverse Mortgage,” The New York Times (Sept. 6, 2013)

Investor Demand Starts to Cool Allowing Other Buyers In

The proportion of investors involved in the housing market has fallen in the last few months. As their numbers dwindle, it may allow other buyers to step in, according to housing experts. 

Investors have gone from accounting for 23 percent of home purchases in February to about 20 percent in June—the lowest level since September 2012, according to data from Campbell/Inside Mortgage Finance survey.

Their numbers will likely decrease even more in the coming year. About 48 percent of investors recently surveyed say they plan to lessen their home purchases over the next year, according to a recent survey by ORC International. Only 20 percent of the investors surveyed say they plan to buy more homes in the next year, a drop from 39 percent 10 months earlier.

"Investors helped stabilize a housing market that was in free-fall and they did so by taking advantage of fire-sale home prices," says Michael Feroli, chief U.S. economist at JPMorgan Chase & Co. "Now you see few fewer bargain prices in the market and that's a reason investor demand is coming off its peak."

In recent years, many buyers—particularly first-time home buyers—may have lost out to investors’ all-cash offers on homes. Banks and sellers may have been lured by the idea of a quick deal that cash offers typically provide over offers from buyers who require financing. But with less competition from investors, some housing experts say this may allow an opportunity for other potential buyers to get into the market.

Source: “Analysis: Waning investor demand opens door for first-time U.S. home buyers,” Reuters (Sept. 6, 2013)

Condo Market Shows Signs of a Revival

The Florida condo sector has experienced lackluster growth in sales and development the last few years, but it may finally be seeing a turnaround in markets across the country.

Condo sales are showing signs of strengthening as demand picks up from Baby Boomers and young professionals. Sales of condo and co-op units were up 23 percent in July from a year ago, according to preliminary data from the National Association of REALTORS®. All regions were recording at least a 20 percent year-over-year growth. The Midwest and South have seen some of the largest gains. The median sales price for condos and co-ops was $209,600 in July—a 15.5 percent increase from a year earlier.

High-rise condo building may be poised for a lift nationwide. New development is moving forward in urban residential centers and popping up in smaller cities as well, Investors Business Daily reports. For example, a wave of Latin American cash is financing a new condo boom in the Miami area.

The National Association of Home Builders reports that condo developer optimism skyrocketed in the second quarter, reaching its brightest outlook in eight years, according to an index the measures builder sentiment for the sector. A growing interest in high-rise condo construction coincides with a slowly recovering market for new homes, experts note.

Still, financing condo construction remains an obstacle for many developers. Developers may need to show that their projects also work as rentals when they are seeking approval for a loan, says Mark Humphreys, CEO of Humphreys & Partners Architects, based in Dallas.

Source: “Condo Towers May Go Up With U.S. Housing Recovery,” Investors Business Daily (Sept. 5, 2013)

Strengthening Economy Increases Mortgage Rates

Signs of a stronger economy drove fixed-rate mortgages up near their highs for the year, Freddie Mac reports in its weekly mortgage market survey.

The economy is showing several signs of strengthening, including signs from the housing market. Reports this week noted that the real GDP showed 2.5 percent growth in the second quarter while residential construction spending rose for the ninth consecutive month in July, notes Frank Nothaft, Freddie Mac’s chief economist.

Freddie Mac reports the following national averages with mortgage rates for the week ending Sept. 5: 

• 30-year fixed-rate mortgages: averaged 4.57 percent, with an average 0.7 point, rising from last week’s 4.51 percent average. Last year at this time, 30-year rates averaged 3.55 percent. 
• 15-year fixed-rate mortgages: averaged 3.59 percent, with an average 0.7 point, rising from last week’s 3.54 percent average. Last year at this time, 15-year rates averaged 2.86 percent. 
• 5-year hybrid adjustable-rate mortgages: averaged 3.28 percent, with an average 0.5 point, rising from last week’s 3.24 percent average. Last year at this time, 5-year ARMs averaged 2.75 percent. 
• 1-year ARMs: averaged 2.71 percent, with an average 0.5 point, rising from last week’s 2.64 percent average. A year ago at this time, 1-year ARMs averaged 2.61 percent.

Source: Freddie Mac

Equity-Backed Homeowners Resurface

In the next 15 months, 8.3 million home owners — about 18 percent of home owners who have a mortgage — are expected to gain enough equity to be in a better position to sell their homes, according to RealtyTrac’s September report on home equity. 

“Steadily rising home prices are lifting all boats in this housing market and should spill over into more inventory of homes for sale in the coming months,” says Daren Blomquist, vice president at RealtyTrac. “Home owners who already have ample equity are quickly building on that equity, while the 8.3 million homeowners on the fence with little or no equity are on track to regain enough equity to sell before 2015 if home prices continue to increase at the rate of 1.33 percent per month that they have since bottoming out in March 2012.

The 8.3 million of home owners have a range of 10 percent negative equity to 10 percent positive equity, according to RealtyTrac. Home owners with low equity may face challenges in selling a home due to the cost of the sale and having a down payment on a new home. As equity rises, more home owners are in the position to sell their home without having to resort such actions as a short sale.

The report also notes that one in four home owners in foreclosure also were found to have positive equity. Home owners with equity may have a better chance at selling their homes before letting the foreclosure process run its course, Blomquist says.

But that’s “assuming they realize they have equity and don’t miss the opportunity to leverage that equity,” Blomquist says. “Even home owners deeply underwater have reason for hope, with about 150,000 each month rising past the 25 percent negative equity milestone — although it will certainly take years rather than months before most of those homeowners have enough equity to sell other than via short sale."

Source: RealtyTrac and “More Than 8 Million Home Owners Are ‘Resurfacing,’” Inman News (Sept. 5, 2013)

Vacation Rental Performance Remains Strong

HomeAway Inc., an online marketplace for vacation rentals, says it saw strong performance for its vacation rental owners during the summer season.

The company’s summer report finds the average occupancy rate for vacation rentals at 77 percent for vacation rental owners who consider summer their peak season. These owners reported an average weekly rental rate of $1,778 ($254 per night) – a 19 percent increase over the same time period in 2012.

Comparatively, Smith Travel Research, Inc. reports the average occupancy rate for U.S. hotels for the summer season was approximately 70 percent – a two percent year-to-year rise – with an average room rate increase of 3 percent.

For the second consecutive year, nearly nine in 10 vacation rental owners (86 percent) report their summer business was about the same or better than last summer. And 95 percent of vacation rental owners said they did not lower their rental rates from last summer – 23 percent increased their rental rates.

Read more at Florida Realtors 2013

More Homeowners Have Enough Equity to Sell

RealtyTrac last week released its U.S. Home Equity & Underwater Report for September 2013.

While 10.7 million residential homeowners nationwide owe at least 25 percent or more on their mortgages than their properties are worth, another 8.3 million homeowners are now only slightly underwater or slightly above water, putting them on track to have enough equity to sell sometime in the next 15 months without resorting to a short sale.

The 8.3 million include homeowners that have a loan-to-value (LTV) ratio from 90 to 110 percent, meaning they have between 10 percent positive equity and 10 percent negative equity. These homeowners represented 18 percent of all U.S. homeowners with a mortgage as of the beginning of September.

Read more at Florida Realtors 2013

Jumbo Loans Drop Below Conventional Rates For First Time

For the first time ever, interest rates for jumbo mortgages have dropped below the average rates for conforming mortgages, lenders say.

The average interest rate for a 30-year fixed-rate conforming mortgage last week was 4.73 percent while the average for a jumbo 30-year fixed-rate mortgage was 4.71 percent, according to the Mortgage Bankers Association.

"In my 30-year career, I've never seen nonconforming loans priced below conforming loans," says Brad Blackwell, executive vice president of Wells Fargo Home Mortgage. Typically, rates for jumbo mortgages run at least 0.25 percentage points above rates for conforming loans. In 2008, jumbo mortgage rates peaked at 1.8 percentage points above conforming rates, according to HSH.com data.

"I've had situations where I've told clients, 'You don't need to borrow within the [conforming] limit. I can get you a lower rate if you borrow a little more,'" said Rolan Shnayder, director of new-development lending at H.O.M.E. Mortgage Bankers in New York.

Jumbo mortgages are those that exceed the $417,000 limit to qualify for backing by mortgage giants Freddie Mac and Fannie Mae. The limit may be lifted to $625,000 in some high-cost markets, such as New York and Washington.

Source: “'Jumbo' Mortgage Rates Fall Below Traditional Ones,” The Wall Street Journal (Sept. 4, 2013)

Home Prices Expected to Cool in Second Half of 2013

Home prices nationwide, including distressed sales, increased 12.4 percent on a year-over-year basis in July 2013 compared to July 2012 according to CoreLogic – the 17th consecutive monthly year-over-year increase in home prices nationally. 

However, home prices may be showing some signs of slowing in the coming months, according to two housing reports recently released.

CoreLogic experts predict that home prices will rise by 12.3 percent year over year in August.

But home prices likely will start to curtail in the second half of the year, says Mark Fleming, chief economist for CoreLogic.

“Price growth is expected to slow as seasonal demand wanes and higher mortgage rates have a marginal impact on home purchase demand," Fleming notes.

Source: “Home price appreciation flame begins to weaken,” HousingWire (Sept. 3, 2013)

Gator Attacks Dog in Lakewood Ranch, Florida

A neighbor's dog was attacked by this alligator this weekend in Lakewood Ranch, Florida. It was bit three times but it is OK and recovering. We have seen the dog running out the back of our home for over a year now, and I have always worried something like this would happen. Thank god the dog just needed stitches and survived it could have been a lot worse!

We were out by the pool over the weekend when we saw what looked like a fishing pole at the edge of the lake, we didn’t know what it was. Well this morning when I came back from the school run I suddenly realized what it was, they had caught the gator and were taking it away.

It’s not something you expect to see when you come in from the school run on a morning. Guess that’s Florida living for you.

Our Rescue Dog from Nates Honor Animal Rescue

No matter if your pet is young or old they bring so much joy to our lives. They live to make us happy, are the best listeners, and keep all of our secrets. Our pets enhance our lives from the very smallest that can fit into the palm of your hand to giant dogs and even the occasional farm animal they all have something special to offer us.

I can’t believe that it has been a year already since we got our beautiful Sasha, a rescue dog from Nates Honor Animal Rescue Center in Lakewood Ranch, Florida.

I just received an e-mail from them asking if I had changed her name and realized that it had been a year since we adopted 'Princess' which was her name when we went to view her at the Center in Lakewood Ranch. 

She is a cross between a beagle and dachshund, she was such a shy little thing, she was stowed away at the rear of the Center still not out for show yet, as she was waiting for all of her injections. We fell in love with her as soon as we set eyes on her and knew she was the dog for our family. She has brought so much love to our lives. Our three children adore her, she will sit for hours watching them playing in the pool, however she sits far enough away so she doesn’t get wet. She really doesn't like that!

There are SO many dogs in search of a forever home. Please always think about a rescue dog if you are thinking of getting a dog at all. Some people view rescue dogs as dogs that weren't wanted because they had problems and didn't make good pets. In the vast majority of cases, that’s just not true! Most dogs who come into rescue were not given up because they were “bad dogs” or had behavioral problems. Unfortunately, many people buy dogs without thinking about the time, effort, and expense involved in keeping a dog. These dogs end up in shelters, or along the side of the road, or, if they’re lucky, in rescue. In fact, the most common reasons a dog ends up with a rescue organization include the following:

• The owners don’t have time for the dog.
• The owners find that they can’t afford either basic vet care or the expense involved in treating an illness or injury.
• The owner dies or goes into a nursing home.
• The owners divorce and neither party can keep the dog. (You would be amazed at how many dogs we get as a result of divorces!)
• A young couple has a child and no longer has time for the dog, or the dog no longer fits into their “lifestyle.”
• The owner is moving to an apartment building that doesn’t allow dogs.

They really do make the most amazing pets. We are blessed to have Sasha as part of our family for a year now and we are looking forward to many more laughs and cuddles from our little ‘Princess’ for many more years.

Nates Honor Animal Rescue on Lorraine Road do such a fantastic job caring for all these animals they are a non-profit animal rescue organization. They are a NO-KILL sheltered environment. As soon as you walk up to the place it is just so welcoming.

I thank them very much for saving my ‘baby girl’ and all the other dogs and cats they have and continue to rescue in the future. You do an amazing job!