Prudential Georgia Realty, the leading real estate brokerage in Metro Atlanta and HomeFinder.com announced the 2^nd annual HomeFinder.com Race for the Home event.  The event invites Metro Atlanta home buyers to participate in a one day, challenge-filled, location-based game on Saturday, May 14. Prudential Georgia Realty, together with HomeFinder.com and Google-backed mobile gaming company, SCVNGR, are hosting a real estate-inspired version of “The Amazing Race.” The home buyers who score the most points by successfully completing challenges at Prudential Georgia Realty open houses will win the $15,000 grand prize.  The HomeFinder.com Race for the Home will also help to raise funds for The Sunshine Kids foundation supporting children with cancer. 

All Atlanta home buyers are welcome to sign up!  Any couple or team of two can participate and all ages 18 or over are welcome. Participants can register today at www.RacefortheHome.com and tell their story about why they should be chosen to play for the chance to WIN the $15,000 cash grand prize.  The grand prize award is sponsored by Prudential Georgia Realty, SunTrust Mortgage, the law offices of Weissman, Nowack, Curry & Wilco P.C., HSA and Georgia Natural Gas.

This ranking is no surprise to insiders who track the real estate market.  Trendgraphix reports that Prudential Georgia Realty has consistently gained more market share than any large brokerage.  The company is #1 for transactions, #1 for buyers and #1 for listing inventory for 2010 in all FMLS counties. 

“The real estate market has changed dramatically and the old methods simply no longer work.  In the last three years, our company has made significant investments to build an advanced infrastructure of marketing, technology, information resources, training, coaching and support services.  While others have cut costs to survive the real estate downturn, we invested in our future,” said Prudential Georgia Realty President and CEO Dan Forsman. “These investments are paying off in better results for our clients and are attracting the best agents to our firm.”

So why is Prudential Georgia Realty gaining market share?  Some examples of the advantages that are paying off for Prudential Georgia Realty clients and agents include the following:

The PGR Advanced Property Marketing System is the most effective property marketing approach available and has been instrumental in driving the company’s leadership in listing inventory and listing sales.  The APMS is continuously updated and the company provides extensive training to ensure their agents have the systems, knowledge and skills to execute this more advanced methodology.    

PGR has exceptional capabilities and expertise in online marketing.  As part of the Online Marketing Advantage program, the company developed the industry’s most extensive and automated listing distribution.  Listings are syndicated to thousands of real estate websites with higher priority, distinction on the page and beautiful rich media to “bring the story of that property to life” online.  Realtor.com recognized the company as the first large brokerage to receive the prestigious Online Marketing Award of Excellence.  PGR has also invested in a comprehensive Search Engine Optimization program and is the #1 organic result on Google for Atlanta real estate searches.  PGR has extensive SEO programs for listings including YouTube videos for every listing, single property websites for every listing and mobile websites for every listing.  In addition, the company offers an SEO program for agents who want to target their website for local searches in their market. 

PGR has the most comprehensive set of information resources available for their agents to be the local market expert.  Today, the information available to consumers can be very confusing and often inaccurate.  PGR offers insight from a variety of sources including Trendgraphix, RealValuator, SmartNumbers, ViaSearch, RealtyTrac, RealList, Case-Shiller, Redlink, GSCCCA and a variety of automated valuation models, mls services and other sources.  PGR is a charter member of RREIN (the RIS Media Real Estate Information Network) which is the largest real estate content provider in the world.  RREIN gives our agents and clients access to voluminous real estate articles, videos and trends from experts around the country.  To assist agents in assimilating this vast array of information, the company offers extensive training and a regular dose of webinars from company and industry experts on the latest trends.  The net result is that PGR agents are more informed and can offer better local guidance to their clients for making the best real estate decisions.      

Mobile technology is quickly changing the way that real estate is found and information is shared.  PGR Mobile Solutions is the most comprehensive suite of mobile solutions available.  PGR Mobile Solutions includes a 24/7 text marketing service that allow consumers to text a custom code and get back property information immediately.  The agent is notified and can follow up to qualify the prospect.  Each property also has a QR code available to scan and get property information.  Each agent has their own mobile property search that is optimized to be used for any mobile device.  PGR agents have a full mobile website that can be launched from any mobile browser, a custom text code or a QR code.  The company also provides a series of mobile marketing campaigns with the website content designed specifically for mobile devices.  And finally, the company hosts a series of Race for the Home events – powered by SCVNGR.  These events are exclusive to Prudential Georgia Realty.  Participants play a mobile scavenger hunt through PGR open houses and the winner gets a $15,000 down payment towards the home of their dreams.

Social Media and evolving demographic trends are rapidly changing the way that consumers collaborate.  PGR Social Media solutions is a comprehensive approach to helping agents build professional social media sites and sharing rich content that helps support their real estate business – without overstepping the implied social boundaries of those mediums.  A part of this approach is the ability of seller clients to share information about their listings with their own contacts.  PGR has implemented a solution called “AnnounceMyListing” that fully automates this process.              

PGR offers the most comprehensive suite of real estate services.  The company is the leader in Corporate Relocation for Metro Atlanta.  Since 1945, we have worked with many 3^rd party relocation providers to help thousands of corporate employees relocate to our market.  We are also members of leading real estate referral networks including Prudential Fine Homes International (leading luxury network), the Luxury Real Estate Network (largest luxury network in the world), the Realty Alliance (top 60 independent real estate companies in America) and the RREIN network.  This is one of the reasons our company is #1 for buyers.  We also have divisions that help our agents offer property management services, commercial real estate services, REO services and new homes marketing & sales services.  Our affiliated partners help our teams offer mortgage services, title services, home warranties, closing services, insurance services, job loss protection, short sale services and discounts on a variety of home products & services such as appliances, utilities and more.  Our goal is to make your move simpler and less expensive.  

Prudential Georgia Realty recognizes that the market has changed dramatically for both consumers and agents.  Our strategy is to help agents build a successful business based upon delivering exceptional value to their clients.  That is why we developed the Advanced Agent Business System, PGR Coaching, PGR University, PGR Labs and PGR Agent Marketing Services.  The AABS helps agents plan a more effective strategy including building their skills and implementing the right systems & resources that allow them to stay focused on delivering value for their clients.  PGR Coaching helps agents stay motivated and be accountable to their goals.  PGR University offers a wide variety of customized training programs – online and in the local branch.  These sessions provide extensive training on our websites, lead generation systems, collaboration technology, marketing solutions and ongoing skills development.  PGR Labs stays on top of the latest innovations – so our agents can stay focused on their clients.  And finally, PGR Agent Marketing Services provides expert resources to help supplement the virtual team needs of our agents.  These include graphic designers, website developers, marketing specialists, content writers, audio & video experts, database experts, admin resources and more.  All these systems and services are backed by our local branch network of the best brokers in the business and their talented local support staff. 

It is no surprise that Prudential Georgia realty is gaining market share.  We are delivering the future of real estate… Now!                                     

The majority of America’s potential homebuyers and sellers — 68 percent — believe that the real estate market and property values will recover in the next year or two, according to a new survey by Prudential Real Estate and Relocation Services, a Prudential Financial, Inc. [NYSE:PRU] company.  This exceeds the 47 percent of Americans who expected house prices would rise in a similar survey conducted in April 2010, underscoring a more bullish outlook for the real estate market today.  In addition, 86 percent of Americans believe real estate is a good investment despite the market volatility of the past few years. The Prudential Real Estate Outlook Survey of 1,253 Americans between the ages of 25-64 in the market for buying a home was conducted Jan. 20-27, 2011.

The national survey reveals that six in 10 respondents are more interested in buying real estate (58%) and are optimistic about buying given the momentum of the economic recovery (59%).  It also shows that although the price of many Americans’ homes declined during the recession, 89 percent recognize they can also buy a new house at a lower price. 

“This survey clearly demonstrates that Americans nationally and locally continue to be optimistic about the real estate market and believe that home prices will rise,” said Dan Forsman, President & CEO of Prudential Georgia Realty.  “A key take away from the survey is although consumers recognize that it is a good time to buy, they are concerned about their ability to sell their homes. This is one of the reasons for a slowdown in Metro Atlanta’s recovery.”   

For those on the fence about buying, uncertainty about selling an existing home (77 percent), concern about getting a fair price for the home (67 percent) and emotions (58 percent) are holding them back.  For those who have sold homes in the past year, despite the down market 78 percent report that they were satisfied with the sale.  Of these, 32 percent were very satisfied with the final price of their home and 46 percent were grateful they were able to sell given market conditions.  A relatively small number, 22 percent, indicated that they were disappointed or resentful about the price they received for their home.

The survey highlighted Americans’ interest in trading up their homes.  Of the 45 percent looking to trade up, 64 percent wanted more space or property, 49 percent a nicer house and 41 percent a better neighborhood.  Only 21 percent surveyed said they were looking to scale down, and 34 percent said that they wanted a similar home. 

The survey highlighted the importance of getting the right price in today’s market —74 percent of buyers believe that many homes could meet their needs and that price is a significant differentiator, while 26 percent stated that they were willing to pay top of market for a home that specifically suits their needs.  In setting the right price, however, sellers were split—with 53 percent wanting to price right at or slightly below market to attract more bids and 47 percent wanting to price slightly higher than market and hoping to find a buyer willing to pay more.  

The majority of respondents highlighted the importance of real estate agents in the process of buying or selling their home.  Seventy-five percent of those surveyed said that an agent is very important or essential to this process, with only 24 percent saying agents are helpful but not imperative. 

“Americans continue to see real estate agents as having a very important role in helping them price, buy and sell their homes; which is reflective of our market as well,” added [name].  “Although the data underscores the value real estate agents provide, it also shows that the industry needs to continue to work hard to meet clients’ unique needs.”   

The Prudential Real Estate Outlook Survey was conducted online. The margin of error is +/- 3 percent.

This week has produced some major news for the national and local real estate markets. 

• NAR reported that existing home sales dropped 27% to levels not seen since May of 1995.
• The Commerce Department reported that new home sales dropped 12% to the lowest levels on record.
• Trendgraphix reported a 37% year-to-year decline in closings for all FMLS counties in July.    
• The Atlanta Journal Constitution reported today that only 5,000 new jobs have been created this year and unemployment is expected to remain above 9%.   

Those are some gloomy numbers.  Did you know that the atlanta real estate market is about the same for year-to-date closings as last year?  The market is not really as bad as it may sound.  In fact, the article that was published by the AJC forecasts a major rebound in new jobs for Georgia in the next two years with over 60,000 in 2011 and 78,000 in 2012.  Demand for our real estate will be strong.  We will work through our inventory of foreclosures and short sales.  We will even see a seller’s market in a few years!       

So what does all this really mean?  Where is all this going?  Should consumers be buying now?   Dan has some interesting perspective to share.  Just click on the audio player below to hear the broadcast.

So what happened to change these predictions?  The financial crisis in Europe, growing concerns over the global economy and the potential conflict between North and South Korea have created a flight to safety.  Suddenly, there is significant demand for safer U.S. bonds from investors across the world.  The previous worries about the Fed discontinuing their purchases of mortgage-backed securities appear abated – for now.  However, the original long-term prognosis may still be a reality.  These economic cycles and world events tend to be cyclical.  If the perception improves, the market for mortgage securities may slow.  That combined with the looming debt in the United States will push rates higher.  Most analysts still expect to see rates higher in 2011 and 2012.  But in the short-term, it is an incredible time to buy the home of your dreams! 

Your Prudential Georgia Realty agent can tell you the latest market conditions in your local area.   Check back for our new posts with the latest facts and insight that can make you money!

Here in metro Atlanta, the story is similar.  SmartNumbers reports that 43% of local buyers in November were first-time buyers.  Their data shows that first-time buyers were 37% of the market prior to 2003.  In 2003, we saw that new home prices began escalating and essentially started pricing these buyers out of the market.  Now that prices have dropped, these buyers are able to afford properties that were previously unrealistic for them.  In the 3rd quarter of 2009, we saw first-time buyers return to historically normal levels.  Of course, the $8,000 Tax Credit and low mortgage rates are also driving this behavior.  In November, we saw the numbers jump to 43% and would expect that momentum to continue to the spring market.

Atlanta 1st Time Buyers Return To Market!

One of the biggest obstacles for many first-time home buyers is the fear of losing their job.  They know that there are fabulous properties available, low mortgage rates and tax incentives.  But they are worried about losing their job and then losing their new home.  Prudential Georgia Realty is pleased to offer Job Loss Protection which provides a “nest egg” of $10,800 to cover 6 monthly payments of $1,800 in the event of an involumtary job loss.  Conatct your local Prudential Georgia Realty agent for details – and get started now!  These low rates and exceptional properties will not be there forever.  The clock is ticking on the $8,000 Tax Credit which expires on April 30th 2010.  See our video channel for details of the Job Loss Protection program, Tax Credits plus other local real estate news – at www.AtlantaRealEstateChannel.com.

Click the chart image below to view the data for the big 4 counties of metro Atlanta – Fulton, Dekalb, Cobb and Gwinnett.   Contact us if you are interested in see the data for each individual county.  This chart shows some interesting facts:

• Pre-foreclosures are still very high (yellow bar)
• Properties that become foreclosed or bank-owned are significantly lower (red bar)
• Sales of bank-owned properties is higher than the rate of new properties becoming bank-owned (purple bar)
• Market sales (resales, new homes, land) are significantly smaller than the number of pre-foreclosures (green bar)
• The percentage of REOs or bank-owned properties compared to total sales is shrinking in recent months (green line).        

The case is clear – REO listing inventory is shrinking.  We also know this to be true from the “word on the streets” since many REO specialists do not have the listing inventory volumes they has back in the spring and early summer months.  There are two root causes for this situation.  One is that more banks are supporting and promoting short sales.  The second is that banks are simply sitting on inventory and not bringing properties to the market for sale.  Short sales make sense since it costs the bank less money to process.  But why would a bank sit on inventory and not bring to market for sale?  Some speculate that banks are holding assets to defer losses.  Others believe that banks are using these assets to negotiate with the government to establish a “toxic bank” similar to the model used for the RTC (Resolution Trust Corporation).  Only time will tell the real reasons. 

So what does this mean to sellers or buyers in metro Atlanta?

For sellers, it means that you and your agent need to carefully watch the trends for future listing inventory in your local area.  This includes notices of foreclosure or pre-foreclosures that will become short sales or bank-owned properties.  This also includes the “shadow inventory” that banks are holding.   If the banks decide to dump the inventory onto the market too fast, it will have a negative impact on market values.  Yet another category to watch includes the “sideline inventory” of sellers that are expected to come into the market if values slightly improve.  Right now our inventory levels are down 28% from last year.  Pended sales are running at about the same pace as last year.  For now, we are consuming our inventory.  If that remains the case, property values will remain stable and may even pick up slightly.  It is all about the balance for buyers and the current listing inventory.  Prudential Georgia Realty created our award-winning Advanced Property Marketing System specifically for these types of market conditions.  As the market changes, we will see the trends first and can help you optimize your value proposition to stand out from your competition.     

For buyers, there are still tremendous deals in our market.  There are fabulous resales, builder short sales, residential short sales and bank-owned properties.  Many of these are priced below their replacement costs.  It may be wise to work with a specialist who understands both the short sale and REO markets to evaluate the best opportunities.  Prudential Georgia Realty has hundreds of trained and certified specialists that can help in your local area.  These specialists have foreclosure searches powered by RealtyTrac plus our new custom Short Sale search.  PGR is the only brokerage that provides these powerful tools to our agents.

If you want THE EDGE in the market, please contact your Prudential Georgia Realty agent to get started today!

Scott estimates that Atlanta home values have dropped by 10-25% since the peak in July of 2007 depending upon your local area.  As always, real estate is local and every market is different.  Scott suggests that many of our local markets are now stabilizing and showing some signs of recovery.  However, that may not be reflecting in the appraisals used by lending servicers.   

Scott discusses big changes with the new HVCC process and the new 1004MC form.  He also makes specific recommendations for sellers and real estate agents to impact the process.

Prudential Georgia Realty agents are receiving specific training on this process and using the right information tools for CMAs (competitve market analysis) and the 1004MC forms.

• For all FMLS counties, the report shows 4481 pending versus 4853 last month and 4410 in July of 2008.  Therefore, pending sales are up on a year-to-year basis but down from last month. 
• Closed sales were 3734 versus 4413 last month and 4378 in July of 2008.  Therefore, actual closed sales are down on a year-to-year basis and down from last month.  Closed sales have been running 10-20% less than pending sales in the last 4 months.  This is due to the longer timeframes for closing short sales & foreclosures which represent over 50% of the transactions in the market.  The new Truth in Lending disclosure rules will also have an impact on closing timeframes.  See our post and audio podcast for details.  
• Inventory for all FMLS counties continues to drop to 42,521 homes for sale.  Inventory is down 3% from last month and down 35% from July of 2008.  We expect to see inventories rise as more short sales and foreclosures come on the market in the next few months.
• Equity Depot announced 14,000 new “notices of foreclosure” for the September auction.  Last fall, these pre-foreclosure notices were running aroun 7,000-8,000 per month.  In August, there were 12,000 and July 16,000 pre-foreclosure notices.      

Click Here To View The Trendgraphix Market Summary Chart

 If you have additional questions about the local real estate market, please contact your Prudential Georgia Realty agent.  They have access to many market reporting tools plus foreclosure information, short sale information, tax records, liens, mortgage balances and more.  You may also contact us directly by submitting a question below. 

This audio podcast provides a detailed review of the new changes and some of the considerations for buyers and sellers.  

Just Click on the Audio Podcast to hear the Interview with Melissa Hancock from SunTrust Mortgage

We have also attached a flyer that gives a brief summary of the new changes. If you have additional questions, please contact your Prudential Georgia Realty agent or contact us by leaving a reply at the end of this post.  

Click This Link To Download The Informational Flyer