Not all markets are doing bad

A recent article on yahoo.com published some interesting facts. That with all the downturn in the real estate market the reality is not all areas are doing poorly and some are actually increasing in value. This is very important information to know when marketing for your company due to the appraisal value being such an issue that its necessary to really know whats going on.

So what areas are still going up?


Lancaster, Penn.

Population: 498,465
Median home price: $206,000
12-month change in home value: +1.6%
Affordability index: 3/10
Homes sold this year: 1,166
Home value vs. national average: Same
Top employer: R.R. Donnelly & Sons publishing company

Known as an Amish cultural hub, the city is also home to a diverse group of industries, including printing and food processing. This helps keep the local market stable and unemployment low, as losses in one sector aren't devastating to the overall economy.

Locals say Lancaster is a conservative lending market, which limits foreclosures.

Clarksville, Tenn.

Population: 265,062
Median home price: $130,000
12-month change in home value: +1.4%
Affordability index: 3/10
Homes sold this year: 2,081
Home value vs. national average: -37%
Top employer: Trane Corporation

Clarksville offers an affordable alternative to nearby Nashville but is close enough that residents can enjoy the larger city's attractions.

The housing market is kept active by Clarksville's proximity to Fort Campbell. Traditionally a manufacturing town, the city also offers a robust retail economy, driven in part by Austin Peay State University.

Albuquerque, N.M.

Population: 832,774
Median home price: $172,000
12-month change in home value: +1%
Affordability index: 3/10
Homes sold this year: 7,100
Home value vs. national average: -17%
Top employer: Intel

While other midsize cities have fallen prey to rampant speculation, Albuquerque has hovered below the national real estate radar and largely avoided the subprime mortgage debacle. An influx of tech companies such as Eclipse Aviation, Hewlett Packard and Intel has helped fuel this Southwestern city's economy and attracted a young creative class.

Active retirees and immigrants have also migrated to the area, ensuring a well-rounded housing market. Experts project 9% population growth between 2006 and 2011, compared to 6% nationally.

Burlington, VT

Population: 145,360
Median home price: $250,000
12-month change in home value: +1%
Affordability index: 4/10
Homes sold this year: 592
Home value vs. national average: +21%
Top employer: IBM

On the shores of Lake Champlain, Vermont's largest city focuses on retaining its high standard of living rather than growing its population. Strict zoning standards make homebuilding difficult and discourage speculators.

Burlington's small-town mentality ensures that home lenders maintain personal relationships with their clients and help them stay within their spending means. Technology, health care, and education drive the local market.

Pittsburgh, Penn.

Population: 2,355,712
Median home price: $137,000
12-month change in home value: +.1%
Affordability index: 2/10
Homes sold this year: 7,634
Home value vs. national average: -33%
Top employer: University of Pittsburgh Medical Center

Although Pittsburgh home sales have dipped 16% this year, the properties have retained their value. This "Pittsburgh paradox," as it's called by locals, is attributed to the city's steady population growth and the construction of new, high-value homes.

Despite its reputation as a gritty city of industry and steel, Pittsburgh is now driven by the health care and technology sectors.

Johnson City, Tenn.

Population: 193,554
Median home price: $120,000
12-month change in home value: -.4%
Affordability index: 3/10
Homes sold this year: 1,134
Home value vs. national average: -41%
Top employer: East Tennessee State University

Demand in this Northwest Tennessee city's market is largely driven by East Tennessee State University, as well as new retirees. These "halfbacks" used to spend summer in the north and winter in the south but are now making Tennessee their home year round.

Education, health care and manufacturing provide the bulk of Johnson City's jobs.



What areas are overall stable?

The good old United States Government is always are sure bet and at the top of the stable markets is the Washington D.C. metropolitan area. Besides New York, the nations capital and surrounding areas is the only place that experienced all of the bomb of the previous 5 years but none of the crash. Properties which were purchased in 2003 - 2006 are worth about what they were then and from the activity of the market it looks like its going to stay that way. Not this is not implying that ALL
real estate around Washington D.C. is going well but from our experience the vast majority is still holding somewhat strong. This is very important as their are many seniors and homeowners with untapped equity in their home that can be utilized for debt consolidation reverse mortgage or home improvement.

So what other city's made the list of Safe Havens for real estate

What areas to avoid?

Home prices in the 10-city index have fallen for 26 consecutive months. The decline has broadened over the past 12 months, with prices dropping in every city of the 20-city index during September.

In the weakest market, Phoenix, the 12-month loss came to 31.9%. Las Vegas prices plummeted 31.3% and San Francisco recorded a 29.5% decline. The best performing markets, Dallas and Charlotte, N.C., still posted drops - 2.7% in Dallas and 3.5% in Charlotte.

With San Francisco and Las Vegas, the other members of the 10-city index are: Miami, down 28.4% year-over-year; Los Angeles, down 27.6%; San Diego, down 26.3%; Washington, down 17%; Chicago, down 10.1%; New York, down 7.3%; Boston, down 5.7%; and Denver, down 5.4%.

In addition to Phoenix, Dallas, Charlotte and the cities in the 10-city index, the 20-city index is made up of: Detroit, down 18.6%; Tampa, Fla., down 18.5%; Minneapolis, down 14%; Seattle, down 9.8%; Atlanta, down 9.5%; Portland, Ore., down 8.6%; and Cleveland, down 6.4%.

Foreclosures continue to take a heavy toll, with sales in some cities dominated by properties repossessed by banks and then put back on the market, often at bargain prices. In Las Vegas and Cleveland, for example, about half of all homes for sale are bank-owned properties, according to the real estate Web site, Trulia.com.

"Foreclosures are clearly a part of the market now," said Blitzer.

He added that the national index price trends tend to be more moderate because they encompass many more exurban and rural areas, where, in many cases, home prices never skyrocketed as they did in some of the hotter, urban markets.


Worst Markets:

California Central Valley

12-month change in home values:
Merced: -42.3
Stockton: -40
Salinas: -38.7
Modesto: -37.9
Riverside: -36.8
Vallejo: -34.5



Conclusion:

There is always opportunity regardless of what type of market or the so called "recession" be one of the companies that chooses not to participate in the recession by going where the market is still stable. The good thing as a national company we can handle anything that you need and will be sure to provide you with exceptional customer service. Please give us a call at 888-485-1999 or e-mail at info@coesterappraisals.com and see how Coester Appraisal Group can help you.


Brian C. Coester

Things to be thankful for.

During the holiday season its easy to get caught up in the hustle and bustle of the day to day and forget about all the things that we are so blessed with. Reflection gives us insight to the past and insight gives us direction for the future. Here's a small list of the most obvious but the least recognized things we can all be thankful for. This is not a complete list but just some thoughts.

Things we can all be thankful:

1. We are in America - Regardless of what anyone says America is the greatest country in the world. In America if you want something you can get it. If you want to be an entrepreneur their is a business you can start. If you want to be a teacher their is a student you can teach. If you want to help the needy their is somewhere you can volunteer. This is the only country in the world where their are virtually no limits. The only limits you place in America are the limits you place on yourself. If you know what your worth, you can go get what your worth and America is the country to be.

2. Your Heritage - My original last name was De Costar, my direct lineage was Louis II the king of Spain. The story of my last name is that Louis II had two son and when it came time to gift the brothers the kingdom they divided the land equally. One wanted the land "by the coast" which is Spanish is De Costar and thus the name was born. After the king was overthrown they relocated to Germany and took the last name Koester which was pronounced "Kester" in Germany as in a butt. So they ended up changing the name to Coester and hence the Coester Family was born.

Their are very few Coester's in the world I have never ever met someone or heard of someone that had that name that wasn't related.

That is just the tip of the iceberg to a long heritage of the Coester Family. The history is amazing to think about what others done before you have done. And if they could do it you can do it also.

3. The economy and the market - I know people aren't happy with the economy but it is still an amazing place. Right now you can buy shares of some of the largest companies in the world at bargain prices. Think about how much work was put into your business, or current job? And now think about all the hours of work it has take to start and grow a company like General Electric or Proctor Gamble, and to get in as a partner its less the $50.00 AMAZING!! Right now we are more fortunate that any other time in the world and should be acting as if we had just won the lottery because we really have.

We currently enjoy the benefits of businesses we didn't start, school's we didn't found, and laws we didn't create. We enjoy the benefits of books we didn't write, problems we didn't solve and we have access to all of this. In today's world their is nothing out of reach to a person looking. You want to become a doctor go for it. You want to become President go for it.

Start from poverty, start from despair, start from nothing, ghetto, and become the next great American success story all by using the resources that are already available and within reach. All you have to is go for it.

4. Teachers and Authors - Someone spends 30 years of their life in a career you are interested in and they write a book. How much is the book? $40,000 NO only about $19.95 and its free at your local library. How could you not invest your time in learning from the past, how valuable would that information be? You cant put a price tag on.

Right now I am taking martial arts at Yamaski academy in Rockville,MD and they charge $150.00 per month. Someone might say "$150.00 per month that's allot".Think about what you are getting. They have world class instructors daily, they have a huge facility that's over 10,000 sq ft. They have the mats, the bags , the weights, all the necessary tools for you to become the best you want to be all for $150.00 a months its AMAZING!! You could spend 10 years of your life their and be a world renowned martial artists all for under the price of a car. The market and economy is an amazing place!


5. The miracle of the world - They say God is the only one that has the ability to create, but humans have an ability to do something almost God like which is re-create. God has the ability to make a tree, but humans can plant the seed and grow a forest. God has the ability to make wood but humans can use that wood and make a chair, or a home or many other things. Imagine if God told you that you had to make the tree?

The miracle of the world is to take just simple things and make them work together. They can now run an automobile off of corn, or bird poop, or grass, or trash, or water, or just about anything now. Their are limitless possibilities. The world is a very simple place everything just works together so perfectly and you can enjoy all of this FREE!!

5. Friends and Family - The miracle of friends and family. They say friends are the people who know everything about you and still like you. Be blessed for all the great friends you have, because they are a great resource for you

Appraisals Get New Level of Scrutiny by Lenders

In a recent Washington Post article, reporter Ken Harney asked, "How old can comps be before lenders won't use them?" and found that lenders are placing a greater emphasis on the comparable sales residential appraisers are using today when developing their opinions of value than they were when markets were seeing home values appreciate. Whereas lenders used to allow comps from anywhere between six to 12 months old, today lenders are requiring comps that are not older than 90 days.

Among those Harney interviewed include Appraisal Institute members Pat Turner, SRPA, SRA, Kerry Leiman, SRA, and Tim McCarthy, SRA.

According to Turner, his firm has seen "numerous" cases where using newly mandated 90-day-or-newer comps has contributed to valuations lower than the price on the sales contract. The biggest issue on the appraisal side is finding comps that fall within the 90-day range. Turner noted that he must sometimes persuade realty agents to disclose the prices on pending sales, which otherwise are not reported or listed until closing. Or he must go into the local multiple listing service and statistically derive adjustment indexes for small geographic areas based on the percentage difference between original asking prices and selling prices.

While finding fresh comps can be challenging, Turner, Leiman and McCarthy all agreed that in general, the stricter timeline for comparable sales information improves valuation accuracy for lender purposes.

To read Harney's full article,