Category: Buying

The number of homes on the market continues to become a shrinking pool. Inventory of for-sale single-family homes, condos, townhomes, and co-ops dropped 20 percent in May compared to year-ago levels, according to data from REALTOR.com of 146 markets.

Inventories in May declined in all but two — Philadelphia and Shreveport-Bossier City, La. — of the 146 markets tracked by Realtor.com.

While inventories were on the decline, the median national list price was on the rise, inching up 3.17 percent in May compared to May 2011.

“These key indicators continue to suggest that the housing market is steadily moving along a path of stabilization and gradual recovery,” Realtor.com notes.

12 Markets Where Inventories Have Dropped the Most

California metro areas are seeing some of the largest drops in inventories of for-sale homes.

From May 2011 to May of this year, the following metro areas have posted the highest drops in the country with their housing inventories, with inventories falling 35 percent or more in the last year. Those metros are:

1. Oakland, Calif.: -56.60%
2. Fresno, Calif.: -48.76%
3. Bakersfield, Calif.: -48.59%
4. Phoenix-Mesa, Ariz.: -44.71%
5. Seattle-Bellevue-Everett, Wash.: -42.65%
6. San Jose, Calif.: -40.80%
7. Tampa-St. Petersburg-Clearwater, Fla.: –39.76%
8. Stockton-Lodi, Calif.: -39.25%
9. Atlanta: -39.19%
10. San Francisco: -38.90%
11. Riverside-San Bernardino, Calif.: -37.43%
12. Sacramento: -35.92%

By Melissa Dittmann Tracey, REALTOR® Magazine Daily News

http://realtormag.realtor.org/daily-news/2012/06/13/inventory-for-sale-homes-falls-20-year-ago?om_rid=AACSxz&om_mid=_BP2NUiB8jfr3q4&om_ntype=RMODaily

MEMPHIS, Tenn.–(EON: Enhanced Online News)–Freddie Mac, one of the nation’s leading mortgage lending institutions, is now offering up to a $500 home warranty credit to its homebuyers. Officials with American Home Shield, the nation’s leading home warranty provider, believe this offer is a timely opportunity for homebuyers seeking to take advantage of today’s historically low mortgage rates.

“Home warranties like American Home Shield’s Home Protection Plans are a great way to help minimize risk, especially with distressed properties and foreclosures”

“Home warranties provide valuable protection to homeowners against unexpected repair costs, in the event covered systems or appliances break down. With Freddie Mac offering this credit, home owners across the country will be able to complete their real estate transactions with even greater confidence and protection,” said Lelia Chapman, vice president of field sales for American Home Shield, which serves more than 1.3 million customers and is a business unit of The ServiceMaster Company, one of the world’s largest and most versatile service networks.

The credit is available only for owner-occupant offers on Freddie Mac-owned properties; investor purchases, auction sales, sealed-bid sales and bulk sales are not eligible for this incentive.

With low interest rates helping make home ownership attractive and affordable as the housing market struggles to regain footing, Chapman said that foreclosures and distressed properties continue to be a great choice for persons who want to get more home for their money.

“Home warranties like American Home Shield’s Home Protection Plans are a great way to help minimize risk, especially with distressed properties and foreclosures,” she said.

Although plans can be customized according to the homeowner’s needs, American Home Shield’s Home Protection Plans typically provide repair and replacement coverage for major system components for heating and air conditioning, plumbing and electrical systems, as well as major appliances that break down due to normal wear and tear. Last year, American Home Shield spent more than $368 million servicing customer claims.

Chapman said that she and her team are actively working with real estate agents and brokers to ensure that they aware of this new Freddie Mac incentive and the value it brings to homeowners.

About American Home Shield

American Home Shield helped found the home warranty industry in 1971 and remains an industry leader, servicing more than 1.3 million customers across 49 states. In addition to its core focus on home protection plans, the company recently introduced apreventative maintenance product in 48 states. The Memphis-based company operates three customer service centers, employs over 1,600 employees and has a national contractor network made up of over 10,000 independent home-service contractors. American Home Shield is part of the ServiceMaster family of brands, one of the world’s largest and most versatile service networks. The company’s brands include TruGreen, Terminix, American Home Shield, ServiceMaster Clean, Merry Maids, Furniture Medic and AmeriSpec.

About ServiceMaster

With a global network of more than 6,900 company-owned, franchise and licensed locations, Memphis-based ServiceMaster is one of the world’s largest residential and commercial service networks. The company’s high profile brands are TruGreen, Terminix, American Home Shield, ServiceMaster Clean, Merry Maids, Furniture Medic and AmeriSpec. Through approximately 21,000 corporate associates and a franchise network that independently employs over 31,000 additional people, the ServiceMaster family of brands serves more than 8.2 million customers every year. Our brands hold market-leading positions in residential and commercial lawn, tree and shrub care, termite and pest control, home warranties, furniture repair, home inspections, residential and commercial cleaning and disaster restoration. Go to www.servicemaster.com for more information about ServiceMaster or follow us attwitter.com/ServiceMaster or facebook.com/TheServiceMasterCo.