In an effort to restore consumer confidence while laying a foundation for future economic security, the Dodd-Frank Wall Street Reform and Consumer Protection Act seeks to put systems and laws in place to prevent the likes of our recent economic crisis from ever happening again.
But what does it mean for you, the consumer? As a Member of the Top 5 in Real Estate Network®, I am committed to keeping you informed by breaking down government programs and laws into the facts you need to know. Passed on June 29, 2010, the Act represents one of the most far-reaching changes to financial regulation and oversight since the Great Depression. Here are the highlights of the Dodd-Frank Act as provided by the United States Senate Committee on Banking, Housing & Urban Affairs: Continue reading
Posted in Real Esate Information, Winchester VA Real Estate
Tagged Bristow Real Estate, CDPE, Consumer Protection Act, Dodd Frank Wall Street Reform and Consumer Protection Act, Ed Butler, Federal Legislation, Gainesville Real Estate, Haymarket Real Estate, Nokesville Real Estate, RE/MAX Gateway, Real Esate Information, Top5 In Real Estate, Winchester VA Real Estate
There is an interesting phenomenon occurring in the Northern Virginia Real Estate market today. We have seen inventory levels drop, sales activity increase, yet, prices continue to decrease or remain flat in most of our surrounding areas. Granted, there are areas where values have recently increased substantially in parts of Prince William and Loudoun Counties and there are areas in the City of Alexandria and Arlington County where prices have increased slightly but with inventory levels at 2005 levels and such strong demand, we would expect an increase in prices as a result of this shift.
For re-sale properties in Northern Virginia, over the past 42 weeks we have seen inventory levels reduce every week but two, the month’s supply of under contract homes is at 1.7 months and the month’s supply of homes for sold properties is at 3.5 months and the rental market has remained stable at a 2.5 month supply of homes. It is strange how the media isn’t reporting this information to the public.
So the question is, why would this be the happening? My theory is there is little movement up “The Real Estate Ladder”. We don’t see first time buyers purchasing condos from owners who buy the town house who then buy the single family house who then buy the more expensive single family house. We are seeing first time buyers and investors purchasing “distressed” properties – foreclosures and short sales – where the properties are vacant or soon to be vacant and there is no move “up” to a larger property because the owners can’t obtain financing to purchase another home.
It will happen again, it will just take time as we work our way through the vacant inventory and short sale supply. As a result of this situation, the rental market remains strong and makes now a great time to be a long time real estate investor.