Since the recession officially began in Dec 2007, renters have searched increasingly for 3 bedroom apartments over 1 bedroom apartments. Based on a sample of nearly 10 million searches for 1-, 2-, and 3-bedroom apartments that took place on MyNewPlace.com between January 2008 and June 2009, the percentage of searches for 3-bedroom apartments consistently increased each quarter while searches for 1-bedroom apartments decreased. The share of searches for 2-bedroom apartments meanwhile stayed steady, suggesting that instead of ‘doubling up,’ renters are tripling up for even greater rent savings.

Since monthly rents are often lower per bedroom the more bedrooms an apartment has, the changing search patterns reflect an overall trend of renters looking for more economical housing options without sacrificing ideal locations and amenities.

Top 10 Cities for Roommates Looking to Save on Housing

Where are savvy renters saving money by moving in with roommates? Combining regional search data with average prices for apartments listed on MyNewPlace, MyNewPlace.com put together a list of the top ten cities where renters are saving:

-Washington, DC: Not surprisingly, the cities with the highest rents often offer the highest potential for savings. The share of 3-bedroom searches in the area around the nation’s capital has grown by 87%, with renters saving as much as $800/month by bunking up- nearly $10,000 per year.

-Philadelphia: Faced with high housing costs, renters in the City of Brotherly Love are getting friendlier than ever, with searches for 3-bedroom apartments more than doubling, with average savings of around $490 per month.

-Atlanta: Atlanta saw 1-bedroom searches decline by half and 3-bedroom searches more than double, as eager renters pursued $413/month savings by moving in with roommates.

-San Jose: Silicon Valley renters sought to mitigate the area’s notoriously expensive rents by finding roommates- at a savings of more than $600/month.

-Chicago: Windy City residents braced against the chilly economic climate by cozying up with roommates, doubling up their 3-bedroom searches, to the tune of $560/month savings.

-Denver: Renters are tripling up in the Mile High City at some of the highest rates in the country, and saving nearly $350/month in the process.

-Los Angeles: In the City of Angels, even the beautiful people are moving in together. Three beautiful people under one roof could save more than $525 each.

-Seattle: 3-bedroom search share increased 113% from January 2008 to June 2009, with savings of up to $500/month for each roommate. That’s a lot of cups of coffee.

-Las Vegas: Nevadans aren’t gambling when it comes to their housing costs. Las Vegas has seen the highest growth in 3-bedroom searches nationwide, and each roommate could be saving $360/month.

-Boston & Cambridge: Renters in the Boston area aren’t tripling up at quite the rates of the rest of the cities on our list, but they should be- there’s up $880/month to be saved.

For more information, visit www.mynewplace.com.

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In the last year, the average sales price of homes in the $1 million-plus segment increased 30% in the greater Kent area according to the local MLS, driven by a growing interest from second-home buyers.

Todd Cole Realty was founded in 1993. Six agents, including owner Todd Cole, will now be sales associates for Sotheby’s International Realty, Inc. Alan DiStasio, vice president and manager of the Sotheby’s International Realty’s three other offices in Litchfield County, will manage the office.

“Todd Cole is a well-known and respected real estate expert in Litchfield County, who has built his firm on the same quality standards that Sotheby’s International Realty upholds,” said Kathy Korte, president and chief executive officer of Sotheby’s International Realty, Inc. “We are excited to be acquiring a firm that has such in-depth local expertise and ties, and that will mirror our commitment to exceptional client service.”

“We are honored to be part of a real estate firm with such history and stature,” said Cole. “Our agents have always been devoted to providing superior service with expertise and discretion. Offering that same level of service under the world-renowned Sotheby’s International Realty brand will come naturally to them and they will benefit from the expanded regional and global referral opportunities.”

For more information, visit www.sothebyshomes.com.

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Existing-home sales last month declined only marginally from the month before, dipping 0.3% across the country, while the median sales price dropped 2.1% from a year earlier, according to data released Monday by the National Association of Realtors. Year-over-year, however, national home sales are down 10.3%, and Chicago-area sales are off 20.7%.

Economists said those downturns, though hardly encouraging, were part of a continuing correction under way since late 2005. They were more concerned, they said, with the inventories of homes for sale, which climbed 5% last month to a nine-month supply, meaning that if no other homes were to come on the market it would take nine months to sell the 4.43 million available, the NAR reported.

Analysts said the ballooning supply undoubtedly would put pressure on prices. The NAR said the median home price across the country in May was $223,700.

“The daunting figure is the months of inventory,” said Bob Walters, chief economist for Quicken Loans in Livonia, Mich. “That inventory translates into lower prices in the future.”

In Illinois the $205,500 median price paid for a home in May was unchanged from last year, though Chicago-area prices were up 1.2% from the year before, at a median $252,388.

The Illinois Association of Realtors said in a separate report Monday that the market was showing improved momentum, with sales rising for the fourth consecutive month. Nonetheless, statewide sales were still 18.6% below those of May 2006.

“I don’t think there’s a positive here,” said Patrick Newport, U.S. economist for Global Insight, an economic analysis firm in Lexington, Mass. “Whatever numbers came in for May are irrelevant because of what has happened in the past six weeks.”

Newport said the recent rise in mortgage-interest rates and the tightening credit standards because of turmoil in subprime lending are causing his firm to reassess its housing forecast.

“A few weeks ago we were saying 1/8a housing recovery was possible3/8 in the first quarter of 2008,” he said. “We’re going to rethink that, given the recent changes. We may push it back. The news isn’t good.”

The NAR suggested that rising inventories and softening prices might help make homes more affordable, but Walters said the changes in the mortgage market have closed that door.

“The average person on Main Street doesn’t understand” the impact of tightening lending standards and rising rates, he said. “But it means that 10 to 15% of borrowers who could get a mortgage at the beginning of the year can’t get one today. That’s substantial. That’s a rippling effect.”

There was at least one happy voice in the housing market Monday: Chicagoan Mark Stinson signed a contract to sell his Roscoe Village home after just three weeks on the market.

“It was real fast, a lot faster than I expected,” said Stinson, who credited the speedy sale to reasonable price expectations. “It was marketed well, but it wasn’t a fire sale.

“Like any seller, you have images of your home being worth a lot. But we’ve seen a lot of people around the neighborhood who price their homes high and they just sit there.”

His agent, Beth Ryan, said Stinson had two offers, and got “pretty close” to the $899,900 asking price Monday.

NAR economist Lawrence Yun said consumer behavior is outweighing economic indicators.

“Psychological factors are currently the biggest drag on the housing market, in addition to a disruption from tighter credit for subprime borrowers,” he said.

“The market is underperforming when you consider positive fundamentals such as the strength in job creation, economic growth, favorable mortgage interest rates and flat home prices,” Yun said. “It appears some buyers are simply waiting for more signs of stability before they get serious about getting into the market.”

The NAR adjusted its pace of annualized home sales to 5.99 million in May from 6.01 million forecast in April.

The group said condos sold somewhat better than single-family homes in May. Sales of houses nationwide slipped just slightly from April to May and were nearly 11% slower than a year earlier. But condominiums blipped upward, 2.6% month-to-month. However, condo sales still were 6.7% down from a year earlier, the NAR said.

Copyright ? 2007, Chicago Tribune
Distributed by McClatchy-Tribune Information Services

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RISMEDIA, June 19, 2007-(MarketWatch)-It used to be that going to the movies was an affordable option for people seeking refuge from the blistering summer sun. Not anymore.

If you live in a major metropolitan area, an adult ticket can run you as much as $10.50. Bring a date and buy some popcorn and you’ll find the bill inching towards $40! But don’t start compiling your summer reading list just yet. Here are four ways film buffs can enjoy the show without breaking the bank:

- AAA membership really does have its privileges. Members of the big auto club are entitled to a variety of discounts on hotels, theme parks and — that’s right — movie tickets. If you’re willing to wait until two weeks after a movie has premiered, you can save up to 40% by purchasing movie tickets from AAA’s Web site ( www.aaa.com).

- Warehouse clubs have thought of everything! Wholesale outlets, like Sam’s Club, don’t just sell bulk paper towels and socks anymore — they also hawk cut-rate movie vouchers. Right now, Costco it is offering five Regal Entertainment tickets for $37.50. They can used for any movie at any time and never expire.

- Theater deals and discounts. If you’re a regular patron of a multiplex, such as AMC or United Artists, find out if they have a discount program. A number of chains now offer club cards. Membership usually doesn’t cost anything and you can earn free tickets and other goodies if you go often enough. Many theatre Web sites also offer bulk rates to people buying large numbers of tickets.

- Check online. If you aren’t a certified movie hound prepared to buy your tickets in bulk, consider checking out eBay. People often use the online auction house to offload extra tickets for upcoming shows at deeply discounted rates. You can also buy bargain priced movie-ticket books from Web sites such as Entertainment.com and Eversave.com.

Marshall Loeb, former editor of Fortune, Money, and the Columbia Journalism Review, writes for MarketWatch.

RISMedia welcomes your questions and comments. Send your e-mail to: realestatemagazinefeedback@rismedia.com.

Housing prices in three out of four markets have fallen. Some markets located in California, Florida and Nevada have seen closing prices drop from their peak as much as 40%. Many markets are still suffering the after affects of the national real estate slowdown. Economists say it will take another 18 months for the markets in many states to recover with higher sales volumes.

Housing Predictor forecasts more than 250 local housing markets futures in all 50 U.S. states. Eighteen states markets are appreciating, including Texas and New Mexico, which are the strongest appreciating states in the nation. Pending sales of homes in Albuquerque, New Mexico, selected as Housing Predictor’s top appreciating market in 2007 are rising.

The over supply of inventory is making a significant impact on markets in California, Florida, Massachusetts, and Nevada among others. Investors are flocking to many markets in these states to make purchases of foreclosures or negotiate lower prices in the conventional re-sale market. The Worst 25 housing markets selected by Housing Predictor is where consumers can get some of the best deals in today’s market place.

Starts on the construction of new homes have declined as builders reduce inventories and prices to compensate for the market place throughout most of the nation. Housing Predictor forecasts that more than two million homes will be foreclosed in the U.S. in the next two and a half years, which will account for the highest number of foreclosures since the U.S. Savings and Loan Fraud scandal in the 1980’s.

However, the majority of long time real estate investors have historically made higher profits on real estate investments purchasing property when the markets saw declines, according to the Housing Predictor Investment survey, which is available on the Web site.

Higher interest rates and widespread mortgage fraud slowed the majority of the nation’s booming real estate markets, but the increasing number of new investors in real estate are beginning to show that the markets are bouncing back in many areas.

For more information, visit http://www.HousingPredictor.com.

RISMedia welcomes your questions and comments. Send your e-mail to: realestatemagazinefeedback@rismedia.com.

Industry News

Realty Plus Online Unveils New Version of Transaction Management System

Realty Plus Online Inc., a technology leader in online real estate transactions, announced a new version of CloseYourDeal.com, the first national Web site to automate the real estate transaction over the Internet. CloseYourDeal.com 3.0 includes new features and enhancements that aim to improve the way transactions are handled, allowing more of the potential benefits of online transaction systems to come to fruition.

With version 3.0, Realty Plus Online maintains its nine- to 12-month market lead over its competitors, most of whom have yet to provide a live, national transaction management system. CloseYourDeal.com?s customers include MLS associations, brokers, and service providers. This customer base includes:

? The Multiple Listing Service of Northern Illinois (MLSNI), with more than 28,000 members.

? Leading, high-volume brokerage, RE/MAX of California & Hawaii?s approximately 7,000 associates who will receive a co-branded version of the transaction system this month.

? Leading national service providers such as First American Title Insurance Company and LandAmerica Financial Group.

To date, more than $100 million in real estate property has been transacted through this system.

Industry News

RealHome Repeats Top Rank on Gomez

RealHome.com, which connects home owners and prospective home buyers to a wide range of offers from pre-screened home service providers, repeated its unbroken streak as the No. 1 ranked site for novice home buyers and sellers on the Gomez Summer 2001 Scorecard for Top Internet Real Estate Portals.

Novice and first-time home buyers make up more than 50% of the nation?s six million residential real estate transactions annually. Gomez Scorecards, which come out twice a year, measure the quality of e-commerce offerings in a variety of industry sectors, including Internet real estate services.

RealHome received high marks for the breadth of its free on-site decision support resources, educational content, and customer service. Gomez also ranked RealHome as one of the top two sites for home buyers. RealHome ranked fourth in the real estate portal category overall, behind HomeAdvisor, Homestore.com and Yahoo! Real Estate.

Industry News

Prudential Southwest Opens New Mexico Office

The Prudential Real Estate Affiliates Inc. has announced that Sheldon Detrick, owner of the Oklahoma-based, leading full service real estate companies, Prudential Detrick Realty and Prudential Alliance Real Estate Group, has opened Prudential Southwest Realty in Albuquerque, New Mexico.

This new network member will serve the greater Albuquerque market, and is already staffed with nearly 20 real estate professionals, most with more than a decade of real estate experience in the area.

“We have a long history of customer service excellence in the southwestern U.S.,” says Earl Lee, president, The Prudential Real Estate Affiliates. “Shel Detrick is one of the true pioneers and leaders in the industry, and his commitment to the Albuquerque market will provide consumers with more real estate choices, while providing tenured, visionary leadership in the real estate community.”

The new office has been designed with state-of-the-art computer and technology systems, including company Web and Internet sites. There is also a full-service relocation and referral department, staffed with experts in both individual and corporate relocation services. Detrick has more than 40 years of experience in real estate and is nationally recognized as an innovator in the industry. He has also served on the company’s Affiliate Technology Advisory Council. In 2000, his Oklahoma-based real estate companies, which consisted of more than 500 sales professionals, combined for more than 5,000 closed transactions and $500 million in sales volume.

Industry News

Prudential Expands in European Relocation Market

Prudential Real Estate and Relocation Services announced the acquisition of Karen Deane Relocations, Ltd., (KDR) a London-based mobility management firm. The acquisition is part of a multifaceted global strategy to continue to build comprehensive mobility services within Prudential Relocation?s growing client base outside the U.S.

Karen Deane Relocations will be managed under the same leadership, with Karen and David Deane continuing to be responsible for strategic direction and with Simon Price acting as managing director.

The acquisition is a major step in Prudential Relocation?s strategic direction to provide world-class mobility management services to its global client base. Thirty-two percent of the company?s international mobility services that are currently UK-bound will benefit from this acquisition.

Industry News

Prudential Atlanta Expands with New Office

Prudential Atlanta Realty has opened a new location in the metro Atlanta area. In a matter of months, the Prudential Intown office has put together a team of 30 real estate sales professionals with additional associates still being added.

Judy Rumsey, the managing broker for the new Intown location, says, “We are so happy to be comfortably moved into our new office space. And, as is always the case in real estate, finding the right location was essential. We?ve done that here, and I couldn?t ask for a better place for my agents.”

The offices are decorated in a modern interior design while offering its sales force the latest in technology and high speed Internet access. The Prudential Intown office features over 3,600 square feet and numerous private conference rooms for Realtors to use with clients.

“We are committed to opening offices wherever there?s a market and a need for the professionalism and sales expertise of Prudential real estate agents,” says

Dan Forsman, president and CEO of Prudential Atlanta/Georgia Realty. “The in-town and mid-town markets are two of the hottest in the area right now, so offering our real estate services at this new location couldn?t come at a better time.”

Prudential Atlanta/ Georgia Realty is an independently owned and operated member of Prudential Real Estate Affiliates, a full-service residential and commercial real estate network with offices throughout the United States and Canada. Operating in its 38th year, Prudential Atlanta/Georgia Realty has 26 offices throughout metro Atlanta and North Georgia.

Industry News

NRT Acquires Leading Real Estate Companies in Utah

NRT, the nation?s leading residential real estate brokerage company, announced the acquisition of the three leading real estate companies in Utah: Coldwell Banker Premier Realty, Mansell and Associates Inc. and Wardley GMAC Real Estate. The new company will be headquartered in the greater Salt Lake City area and will be operated as Coldwell Banker Residential Brokerage (see page 44 for full story).

Dave Mansell, president of Mansell and Associates, Inc., will become president and chief operating officer of Coldwell Banker Residential Brokerage and Al Mansell will become the company?s new chief executive officer. Joining them on the senior leadership team will be Lynn Wardley, president of Wardley GMAC Real Estate; Scott Webber, president of Coldwell Banker Premier Realty; Ken Tramp, vice president of Wardley GMAC Real Estate; and Steve Webber, vice president of Coldwell Banker Premier Realty.

Members of the senior leadership team will focus on specific areas of business within the new company. Lynn Wardley will become president of new business development and Scott Webber will serve as president of Coldwell Banker?s Olympic Residential Accommodations program. Al Mansell, who serves as president of the Utah Senate and member of the leadership team of the National Association of Realtors, will focus on strategic regional and national issues. Ken Tramp and Steve Webber will serve as vice presidents.

With the entry into Utah, the NRT family of companies includes coverage in 23 of the nation?s largest metropolitan markets. This acquisition includes 38 offices and more than 1,900 sales associates across Utah.

Industry News

Mortgage Industry Profitability Fell in 2000

Mortgage industry profitability declined in 2000 due to a drop in loan production profits, according to figures from the latest Peer Group Roundtables conducted by the Mortgage Bankers Association of America (MBA) and The STRATMOR Group. MBA is the national association representing the real estate finance industry.

Servicing returns and profits were roughly flat from 1999 to 2000. In terms of total mortgage industry profitability, the weighted average return on required equity declined to 15.8% in 2000 from 19.1% in 1999.

The decline in overall profitability was attributed to the dramatic decrease in loan production volume during the first quarter of 2000.

On the production side?including warehousing and secondary marketing operations?there was a mild recovery during the second half of the year. However, it was not enough for most lenders to generate profits for the full year; only the mega-lenders posted positive profit margins.

Pre-tax weighted average production margins dropped to 6 basis points?0.06% of the principal balance of loans produced?in 2000 from 25 basis points in 1999.

The weighted average profit margins for retail production dropped to -3 basis points in 2000 from 15 basis points in 1999. This translates into a pre-tax net loss of $37 per loan in 2000 compared with netincome of $189 per loan in 1999.

Industry News

MBA Backs Senate Proposal to Restart FHA Program

The Mortgage Bankers Association of America (MBA) is urging the U.S. Senate to approve legislation that will restart a federal loan insurance program and pave the way for the development of more than 50,000 rental units in 33 states and the District of Columbia.

The Senate Appropriations Committee on June 22 passed a fiscal 2001 supplemental spending bill that would release $40 million in credit subsidy, or loan loss reserves, for the Federal Housing Administration?s (FHA) multifamily mortgage insurance program.

The program came to a halt in April when the FHA ran out of credit subsidy, and development on about 53,000 rental units also ceased.

Although Congress in December passed an emergency supplemental spending bill to continue insuring some FHA multifamily loans, the Bush administration had refused to declare an emergency to release the funds. The Senate bill removes the emergency designation.

“These funds are critical to alleviating the current shutdown in the multifamily new construction and substantial rehabilitation programs,” says Michael F. Petrie, president of P/R Mortgage and chairman of MBA?s Commercial Real Estate Finance/Multifamily Board of Governors.

The U.S. House of Representatives earlier approved its version of the supplemental spending bill with a provision related to the FHA multifamily loan insurance program. While the House bill also appropriates $40 million for the FHA credit subsidy, it ties the funds to an increase in the multifamily loan insurance premiums.

MBA strongly opposes the insurance premium increase, which it says would raise rents by up to 4%, and will urge House and Senate conference committee members-who will meet to work out differences between the two supplemental spending bills-to adopt the Senate language on the FHA credit subsidy.