Pending Home Sales Continue Record Roll

Contract activity for pending home sales has risen for six straight months, a pattern not seen in the history of the index since it began in 2001, according to the National Association of REALTORS®.

The Pending Home Sales Index, a forward-looking indicator based on contracts signed in July, increased 3.2 percent to 97.6 from a reading of 94.6 in June. It is 12 percent higher than July 2008 when it was 87.1. The index is at the highest level since June 2007, when it was 100.7.

Affordability at Record High
Lawrence Yun, NAR chief economist, says the housing market momentum has clearly turned for the better.

“The recovery is broad-based across many parts of the country. Housing affordability has been at record highs this year with the added stimulus of a first-time buyer tax credit,” he says.

“Other buyers are taking advantage of low home values before prices turn higher," Yun says. "Nationally, the typical mortgage payment now takes less than 25 percent of a middle-income family’s monthly income to buy a median priced home, with payment percentages so far in 2009 being the lowest on record dating back to 1970. As long as home buyers stay within their budget, mortgage payments will be very manageable."

Treeless Tree City?

For many years, Bloomfield has been praised as one of the most prominent Tree Cities in New Jersey. This image has been tarnished in the past 2 weeks by the rapid cutting of about a dozen of it's older trees on Broad St Between Bay and Haines. Apparently no one in Bloomfield was notified in advance -- not even the town Forester or Council. Since the trees are all located inside the sidewalk line, County spokesperson initially told me that they couldn't have done it since they "had no jurisdiction". Bloomfield's 2nd Ward Councilman and environmental advocate was finally able to reach someone familiar with "The Project" and received an email late Friday: "...the decision to take down a County tree is made solely by our Arborist, Dennis Beury. I was informed that 12 trees were removed in total and that our right of way is 66 Ft along Broad Street. I believe Dennis will be sending you a comprehensive list of our removals along with an explanation for each on Monday."
The explanation is expected to be that they may have been diseased. Among the questions that remain unanswered are: 1) Is this a contagious disease that is affecting nearby trees not under Essex County jurisdiction? 2) What types of trees are still vulnerable? 3) Why wasn't Bloomfield's Forester consulted? 4) Will this have a negative effect on property values in affected areas? 5) At what point will we lose our Tree City designation? Stay tuned...
Monday morning update:
The Essex Couny Director of Roads & Transportation, Sal Macaluso, called me this morning with some clarifications in leu of the Arborist's report. He wasn't certain all 12 were diseased, but they were "compromised" in ways that threatened to eventually fall on Broad St. Plans are to replace them next spring with 50 - 75 smaller trees. BTW, Essex County's jurisdiction on county roads is 75 feet from across the road. So if the road is 60 feet wide, they can go 12.5 from the curb.

Watching the Sun Go Down -- In Price

For solar shoppers these days, the price is right. Panel prices have fallen about 40 percent since the middle of last year, driven down partly by an increase in the supply of a crucial ingredient for panels, according to analysts at the investment bank Piper Jaffray.

The price drops — coupled with recently expanded federal incentives — could shrink the time it takes solar panels to pay for themselves to 16 years, from 22 years....(from The Times)

Open House in Little Falls

A great day for showing Tulip Garden Condo, Hot muggy weather to weed out the time A great day for showing Tulip Garden Condo, Hot muggy weather to weed out the time wasters. Loud stereo next door to show off the sound proof walls. Great turnout balanced between first-timers and downsizers. Guess the 8K rebate isn't the only reason buyers are venturing out. Rain held off until last 15 minutes; car full of younger buyers flagged me down as I headed back to my car and pleaded for me to reopen. They were very appreciative. Then to BestBuy to help the Ms pick out a new PC Tower. Looking forward to not sharing my laptop and mixing up Gmail and Facebook pages!

Lights On! No More Excuses

The phase-out of incandescent bulbs in the European Union begins next month, so it’s time to get prepared for a new round of excuses about the "inconvenience" of using more efficient lights. Lane Burt of the Natural Resources Defense Council answers the most common complaints about the new bulbs for Grist.

Here in Bloomfield are the final stats from the Greener Bloomfield/Project Porchlight event of 8/15/09 where volunteers perserveered through the blistering heat.
35 Volunteers gave out 1,650 Lightbulbs to just as many homes

Resulting in:$50,000 in energy savings

544.5 tons CO2 emissions prevented of entering the environment

94.05 Cars removed from the road in the form of Green House Gases(GHG)

Bouncing off the Bottom

August's Dog Days have been full of encouraging news from a variety of sources. From BankRate.com and USA Today:
Home prices rose across a large swath of the country during the second quarter, adding to the growing list of signs that the housing market has stabilized. Out of 155 markets included in the survey, 125 showed median price increases compared to the first quarter of this year.

Overall, the National Association of Realtors reports a nearly 4 percent rise in the median sales price for single family homes since the first quarter of the year, from $167,300 to $174,100.

In addition, several distressed markets are getting some much needed relief from the quarterly hammering they've been taking since the housing market peaked in the second quarter of 2006.

At the same time, 30 year mortgage rates are up for the third week in a row to 5.49%.

Housing Prices Rise 5% in 2nd Quarter

From housingwire.com: All regions saw quarterly gains as of July, with the Midwest soaring 11.2%, the South rising 5.3%, the Northeast posting a 2.4% increase and the West gaining 1.1%, according to Clear Capital.

“As with any housing recovery,” he added, “small pockets of neighborhoods and specific price tiers are leading the way and posting gains."

More than half of the highest performing local markets doubled their quarterly gains from last month’s report. Clear Capital said the gains reflect improving market demand, allowing banks to receive a higher sales price for REO properties(foreclosures) which represent up to 60% of all sales in some regions.

NJ Environmental Groups Call for DEP Investigation Following Corruption Arrests

"New Jersey's air, land and water are major victims of political corruption in this state. If we want our state to be green, we need to make politics clean," stated Dena Mottola Jaborska, the Executive Director of Environment New Jersey. "These reforms will help to ensure that government leaders make environmental policy decisions based on science and the law, not money and influence."

The reform agenda was developed by "CleanGreenNJ," a new consortium of environmental and public interest organizations which includes Public Employees for Environmental Responsibility (PEER), Environment NJ, NJ Environmental Federation, NJ Environmental Lobby, NJ Sierra Club, Surfrider Foundation and others.

"We can never have clean air or clean water without clean government," said Jeff Tittel, NJ Sierra Club Director. "Just like we have to clean up toxic waste sites, we have to clean up government and that is why we are forming this coalition. In New Jersey, development has become part of enterprise corruption: you take a worthless piece of property, use pay to play to change the zoning and get permits and then make millions. We have to stop this cycle of corruption that leads to sprawl and overdevelopment"

CleanGreenNJ's platform calls on Governor Corzine and the NJ State legislature to:

Investigate DEP operations and enforce ethics rules
Empower DEP whistleblowers
Bring transparency for citizen watchdogs
Fix the campaign finance system
and prohibit legislators from receiving outside sources of income Rein in recent developer initiatives

"DEP conducts public business behind closed doors, and provides routine daily access to political players and corporate lobbyists," said Bill Wolfe, Director of New Jersey PEER. "This access is used to influence science and regulatory decisions and weaken protections. DEP then conceals these liaisons from the public by refusing to publish visitor logs, honor OPRA requests, or disclose meeting schedules. In fact, they even retaliate against conscientious employees who disclose corrupt practices."

"This is not just a few bad apples," added David Pringle, Campaign Director for the New Jersey Environmental Federation. "This is systemic corruption."

More points of view on the problem can be found at nj.com.

The State of Volunteerism in NJ

(photo: Bloomfield volunteers showed up in force for Third River cleanup near Clarks Pond)
A new report shows that more Americans are getting involved in their communities in multiple ways. In 2008 volunteering held steady while working with neighbors to solve community problems significantly increased over 2007.
As part of its mission to improve lives, strengthen communities,and foster civic engagement through volunteering and service, the Corporation for National and Community Service conducts research on the volunteering habits of Americans. The VolunteeringInAmerica.gov site houses the most comprehensive collection of information on volunteering and national service in the U.S. We looked at their key findings for New Jersey -- how do we rank compared to other states? Fogedabodet! (The only consolation os that New York ranks worst of all.)
For those interested in hooking up with a volunteer organization, the state has a nifty new website.

Sharp Rise in New Home Sales

(photo: Newest section of Four Seasons at Great Notch in Woodland Park and Clifton)

New home sales rose last month at the fastest clip in more than eight years as buyers eagerly took advantage of bargain prices — a clear sign, economists said, that the real estate market may finally be bouncing back.

Historically low interest rates and a federal tax credit for first-time homeowners also helped push home sales to their highest level since November, the Commerce Department reported Monday.

While home prices are still falling around the country, sales have now risen for three months in a row. Construction of new homes is at the busiest level since last fall. And home resales rose in June for the third straight month.

"The worst of the housing recession," said David Resler, chief economist at Nomura Securities, "is now behind us."

One Stop Shopping for Homes?

Google released their real estate search engine about a year ago but this month they took a huge leap toward becoming one of the web's most trafficked real estate search engines.
Many enhancementa have been to dramatically improve the entire site. They have added more markers on the page and also a more intuitive search interface. As usual, they've also published a detailed explanation of the improvements.
It's cool to view listings in Google's familiar "Maps" interface and see how many listings are available in your However, like Zillow and Trulia, Google Real Estate search is still limited by the data it receives. As with most Real Estate search engines, Google relies on "feeds" to get current listings, not on an MLS database. As a result the data can be flawed or out dated.
For the most up to date information, we still recommend checking multiple sources and not using just Google.

Dream Home for 2015?

They call it the Net-Zero Energy home. It has ground source heat pumps (promising a 30% reduction in energy use), photovoltaic arrays, supplementary wind power, high efficiency appliances and battery storage, all talking to each other through a Home Energy Manager.
The folks at treehugger.com are a bit skeptical about the need for all the high tech "gizmos" in such designs, pointing out that " the net-zero energy house will cost 10% more than a conventional house. That's a lot of money; if people would pay that much for extra insulation and better windows they would probably save 30% of their energy costs without fancy heat pumps."

Tax Appeals Pressure Local Budgets

I'd like to think that my post last fall clarifying the tax appeal process helped one or two EcoRealty readers along the road to getting back a few tax dollars. In any case, the financial pressures faced by many of us are resulting in a huge increase in such appeals.
The NY Times reports that, as home prices fall, homeowners and associations are appealing to the local authorities to have their property taxes revised downwards.

In suburbs of New York, tax lawyers are so busy that they have hired extra employees to go through the paperwork related to property tax reassessments. "We've been absolutely getting killed," said Robert W. Singer, the mayor of Lakewood Township in New Jersey. Singer's town expects to pay $2 million in tax refunds to homeowners. "We've never had this before. Usually they're undervalued. Now, everyone's overvalued."

Prologue to Our Revolution

This is a day for reflecting on our country's roots in the human need for "life, liberty, and the pursuit of happiness." For my extended family, I can't help reflecting on my ancestors' little known contribution to the revolutionary fervor that culminated in the events of 1776:

From The Hampton New Hampshire Library archives:

"It is a singular and interesting fact that the first armed resistance to British oppression in the North took place in Hampton almost 100 years before the outbreak of the Revolution. In 1682, Charles II of England sent to New Hampshire as royal governor, Edward Cranfield, a most arbitrary and injudicious man. The ruling body at this time was the Assembly, made up of representatives of the four towns of Exeter, Hampton, Portsmouth and Dover, which ably managed the affairs of the little commonwealth. This Assembly refused to comply with Cranfield's commands and he dissolved it. One of the members was Edward Gove, of Hampton, a high-spirited and impulsive man, who resolved not to lightly submit to what he considered an infringement of the people's ancient prerogatives. Mounting his horse he rode through Exeter and Hampton with the cry: "Freemen, come out and stand for your liberties!" He gathered around him a little band of supporters. But before the movement could become formidable, Gove was surrounded by the militia in Hampton village and surrendered. He was tried, convicted of high treason, sentenced to be hanged, drawn and quartered. But this ferocious sentence was never carried out.

After several years commitment to the Tower of London, he was pardoned by the King and permitted to return to Hampton. Gove has been harshly treated by the historians. They have represented him as a rash and impulsive man who headed a hopeless rebellion against constituted authority. But there is another side. I like to think of Gove as a pioneer patriot, as a man in advance of his times, as the morning star of the American Revolution. Had Gove lived a century later, he would have been acclaimed as a great patriot, and his name would have been enrolled with those of Sam Adams, Josiah Quincy, Joseph Warren and John Sullivan."

Pendings Continue to Push Markets Higher

According to the National Association of Realtors®, pending home sales show a sustained uptrend, rising for four consecutive months with very favorable housing affordability and a first-time buyer tax credit boosting activity.

The Pending Home Sales Index in the Northeast rose 3.1 percent to 80.9 in May and is 6.8 percent above a year ago. The last time there were 4 consecutive monthly gains was in October 2004.

In our Little Falls office, we're also seeing closings in May and June approaching the highest levels in recent years.

Qualify Your Lender!

Whether your a 1st time buyer, or a homeowner looking to refinance or modify your existing mortgage, it's more important than ever to "qualify" your lender -- just as they're qualifying you. The lowest interest rate isn't always the best deal. Closing costs and prepayment penalties, for example, can adversely affect the bottom line. We give our clients a selection of vendors who have a good track record, but they're still free to use someone with whom they've established a relationship.

The Star Ledger is reporting that six people have been indicted on various mortgage fraud-related charges in three separate cases in New Jersey. Among those charged are two women who authorities say used loan application information to obtain more than $1 million in unauthorized mortgages, lines of credit and credit cards. Banks in New Jersey, Pennsylvania, and New York were defrauded in the schemes.

Getting Our Green

NAR has introduced a new GREEN designation for REALTORS®, which will help home buyers and sellers who care about energy efficiency and environmentally sound building practices identify REALTORS® who can help them meet their green home goals.

I've gone back to school to learn the most effective ways to reach these goals. I've aced my final exams and expect to receive my "degree" in the form of NAR's official Green Designation in a few weeks.

Green building may be incorporated from construction, through green materials and design, through reconstruction with energy efficient materials. There are basic inexpensive -- as well as costly -- methods for making yours a "green home."

The New Jersey Association of Realtors is making access to these methods easier for Realtor® and consumer alike with links on its newly enhanced website.

Residents Rally Council to Defeat Open Space Cuts

By a 4 to 3 vote, Bloomfield's town council voted down a contoversial proposal to reduce open space funding in the towns 2009 budget. We arrived too late to hear all the heartfelt appeals that residents made at the opening of the meeting, But I was allowed to make the following comments:

First, I'd like to give all of you your due credit for the tough decisions you've had to make to keep this year;s budget increase as low as you have.
Please don't blow it now by repealing the overwhelming vote of our residents to save our open spaces. As I recall, the open space referendum won by a 2 to 1 margin. Where do you get the right to negate these voters.? That's happening a lot these days in third world countries. It shouldn't happen here.

I live close to the formerly Copeck-owned open space that you, Mr. Mayor, once heralded as a pristine wilderness. Last fall, I watched the tractors rip out 2/3 of the trees that made that space magical.
The developer here is apparently asking 659k for slightly larger townhouses in Hasbrook heights. Does anyone know when there's going to be a market for let's just say half million dollar townhouses on a flood plain? As a Realtor, I have my doubts. The larger of the Greenbrook townhouses now sell for around 300k. I know there were lengthy negotiations to save that space with public funding. Apparentlly we didn't have enough funding to save it for our town. Suppose our open space fund had started 9 years earlier -- or even 5 years. That Liongate forest might have remained pristine.

Mortgage Rates Reach 25 Week High

Mortgage rates jumped across the board this week, with 30 year fixed mortgages reaching their highest point so far this year.

Freddie Mac reports a jump in the rate for the most popular conventional mortgages to a 25-week high of 5.29 percent during the week ended June 4, up from 4.91 percent the prior week. As recently as two months ago, rates had been 4.78 percent. The 15-year fixed rate also increased, rising to 4.79 percent from 4.53 percent.

Rates are still low by historical standards. Since 1985, the 30-year fixed mortgage rate has averaged 7.84 percent. That's distorted by years of double-digit rates in the 1980s and early 1990s, but even if you look at more recent times, today's rates look good. In 2008, the median rate on the 30 year fixed was 6.2 percent, meaning it was higher than that for half the year.

Analysts advanced a number of theories to explain this week's skyrocketing mortgage rates. A federal budget deficit of nearly $2 trillion, with more to come, is believed to be inflationary, and investors are demanding higher interest rates to compensate for the inflation risk.

Today, bankrate.com is posting an average rate pf 5.45%.

Brookdale Update

EcoRealty tries its best to dig up items of local or regional interest that deserve greater exposure. Every once in a while, however, we're able to scoop our colleagues in the local media. Such was the case with the previous story. While we were privileged to be in a position to get the ball rolling, Debbie Gallant at Baristanet.com helped spread the word which got the attention of The NJ Star Ledger which helped bring it to a satisfactory conclusion for the residents.

Paving Paradise

(click on pix to enlarge)
First it was too many trees on Montclair's Myrtle street. Now an even bigger pushback is underway by residents in the Brookdale Park area for Essex County's widely publicized plans to pave new paths through Brookdale Park along with repaving on top of the old ones elevating the paths as high as 6 inches above "ground level." Members of the Brookdale Park Conservancy are up in arms at nearly every aspect of the project. "Not only were we not consulted in advance", complained one resident, "but Essex County has had this ready to go for 18 months without telling anyone. The roads may need work but no one thinks the paths are in need of repaving."

One neighborhood activist posted this sign at the planned starting point for a new asphalt path connector to Poe St:
Scores of neighbors object strongly to the addiion of the asphalt path at this location. It will unnecessarily destroy precious habitat, increase stormwater runoff poution and Heat, diminishthis woodsy settung Olmstead intended, require repaving, waste tax dollars, and aggrevate your voters. NO MORE ASPHALT IN BROOKDALE PARK. NO ADDITIONAL PATHS.
Neighbors-- If you share this sentiment, contact
joedi@adminessexcountynj.org

Here's an excerpt form the letter that Susan and Richerd Mullins sent:

Dear County Executive Joe DiVincenzo,

PLEASE REVERSE THE “INSULT ONTO INJURY” OF REPAVING THE BROOKDALE PARK PATHS! On May 29th, We were heart sick as we walked the Brookdale Park paths last Thursday. There was a new, quite thick, layer of macadam from the Bellevue Ave entrance to the Grove Street entrance. Accompanying paths to the street were also redone. As a result, deep ruts are created alongside the edges through which water and topsoil and any other living thing will probably flow and become mud.

Runners who refuse to ruin their legs by continually running on macadam, now have the option to run in mud, and probably have the second hazard of spraining their ankles as they climb off and on the path. Daily walkers, like myself, will have the same hazards through a good deal of the winter while the park paths are slippery with ice and snow. The deep, unexpected ruts, alongside the curb-like height of the path will make walking incredibly treacherous.

WE DO NOT WANT OUR TAX (GREEN ACRES) DOLLARS GOING TOWARD GREEN DEVASTATION, ENVIRONMENTAL DEGRADATION AND HAZARDOUS WALKING CONDITIONS! Please do whatever you can in order to stop such a travesty!

Thank You ,
Sincerely,
Susan C Muliins
Richard Mullins

County officials announced early Monday that plans for new paved paths would be scrapped, but all the old paths will still have to be repaved because "the money's been spent."

Welcoming Weeds

If you've gone lackadaisically green, then you might find that regular gardening is too much work. You have to keep those plants alive, find non-chemical ways of dealing with weeds and insects, save water and generally care about things.

Josh Peterson of Planet Green tells the best way to grow a Weed Garden.
Desirable Weeds

Desirable weeds are the ones you can harvest and use. Here's a list from You Grow Girl!

Amaranth
Chickweed
Lambsquarter
Mallow
Purslane
Burdock
Garlic
Queen Anne's Lace
Dandelions
Sheep Sorrel
Stinging Nettle
Yellow Doc

A Home for the Ages

Our latest whirlwind trip to DC left us only a couple of hours to wander the Smithsonian National History museum,so serendipity would have to rule. We wound up spending the most time at a longstanding exhibit displaying the the largest single object in the museum.
The two-and-a-half story Georgian style Colonial home that once stood proudly at 16 Elm Street in Ipswich, Massachusetts is now the centerpiece of the groundbreaking exhibition called Within These Walls. Within the structure of this timber-framed home, professionally displayed for visitors interested in the architecture, lies the stories of five families from the wealthy Choate family of early colony days to the widow Mary Scott. We didn't find out until our return home that the the massive project, which included dismantling and reassembling the massive house from the ground up, was sponsored by our own National Association of Realtors.


http://www.tricountyrealtors.org/id46.html

President Obama Signs Two Important Acts Affecting Homeowners

President Obama signed into law the Helping Families Save Their Homes Act, and the Fraud Enforcement and Recovery Act (FERA), on May 20. The Helping Families Save Their Homes Act is aimed at helping homeowners by making mortgages more affordable and preventing "avoidable" foreclosures. As many as 9 million homeowners could benefit from this legislation. Obama, before signing the bill, said the bill "expands the reach of our existing housing plan for homeowners with FHA or USDA rural housing loans, providing them with new opportunities to modify or refinance their mortgages to more affordable levels." The original bill was criticized for the "cram down" provision, which according to critics would encourage borrowers to abdicate their responsibility towards loan repayment. The legislation, however, was ultimately passed without the cram down provision. FERA is a bid to revamp the outdated and ineffective laws governing mortgage fraud.

Affordable Housing in Montclair

HOMECorp has recorded a number of successes in its mission: to provide safe, permanently affordable homes in Montclair and to promote neighborhood development. As an organization, HOMECorp seeks to strengthen the community fabric by assisting families who are largely disenfranchised from the booming housing market in Montclair. They are an ecumenical, community-based non-profit organization that is the only entity in Montclair spending all of its time and resources on providing affordable housing.

Since its founding in 1988, HOMECorp restored and built new 19 dwellings (33 units) and 43 apartments in Montclair. Once barely habitable, these existing properties housed in excess of 260 homeowners and tenants, transforming a neighborhood of deteriorating rental units to one characterized by new energy and the optimism of first-time homeowners. In addition, HOMECorp's efforts have spurred private development of adjoining properties, further improving the housing stock.

HOMECorp has restored 18 historic houses in Montclair's Historic Mill District, transforming a run-down, distressed area into a comfortable, stable residential neighborhood.

This morning, we previewed HOMECorp's latest project: a 3 BR Colonial, in decent shape with curb appeal, for 290k. A short walk to the center of Montclair and MidTown Direct RR, the taxes are reasonable(for Montclair) at $7500.

FHA to Allow 8K Tax Credit As Down Payment

Shaun Donovan, secretary of the U.S. Department of Housing and Urban Development(HUD) has announced that the Federal Housing Administration is going to permit its lenders to allow homeowners to use the $8,000 tax credit as a down payment.

Donovan’s remarks came in an address to several thousand Realtors® at The Real Estate Summit: Advancing the U.S. Economy, a special daylong session at the Realtors® Midyear Legislative Meetings & Trade Expo in Washington DC.

Secretary Donovan said that important changes, which the National Association of Realtors® has been calling for, will help consumers purchase a home. “We all want to enable FHA consumers to access the home buyer tax credit funds when they close on their home loans so that the cash can be used as a downpayment,” Donovan said. According to Donovan, the FHA’s approved lenders will be permitted to “monetize” the tax credit through short-term bridge loans. This will allow eligible home buyers to access the funds immediately at the closing table.

Donovan said the Obama administration plans to further stabilize the housing market. “I do think we have some early signs hat the market overall is stabilizing,” said Donovan. “Since January we’ve seen both home sales moving up and down around a relatively stable number and we are seeing the first signs that the rapid decline in home prices is starting to abate.”

A New Model for Downtowns

New Jersey Future was founded to achieve smart growth statewide: growth that protects New Jersey’s open lands and natural resources, strengthens our communities, makes it easier to get around, and increases our housing choices.
NJF has just named Bloomfield Center as one of seven winners of this year's Smart Growth Award. Along with several public meetings that encouraged input from the town's residents, a newly formed environmentally oriented group, Greener Bloomfield, was a key inspiration for the inclusion of green building guidelines in the plan. What emerged from this inclusive process was a “Vision Plan” describing the key characteristics and core elements of Bloomfield’s redevelopment: a historic urban center, a New Jersey urban lifestyle, a transit village, a “green” downtown and an accessible downtown.

"I went through every word of the 73 page plan to ensure that sustainability was a primary theme throughout" comments John Palomaki, the founder of Greener Bloomfield. "We think the sustainability theme is one of the reasons it was selected, in addition to the public process. It should help attract developers".

Over a Fifth of Homeowners now Under Water

Home values in the United States fell again in the first quarter, posting a year-over-year decline of 14.2% to a Zillow Home Value Index of $182,378, according to the first quarter Zillow Real Estate Market Reports, which encompass 161 metropolitan areas and cover the value changes in all homes, not just homes that have recently sold. Declining home values left one fifth (21.9%) of all American homeowners with negative equity by the end of the first quarter. By comparison, 17.6% of all homeowners owed more on their mortgage than their property was worth in the fourth quarter of 2008, and one in seven (14.3%) was underwater in the third quarter of 2008.

Eco-friendly Solar Bench with WiFi

photo courtesy of Coroflot
Treehugger.com is breaking news of The Solar Inside, a collectively designed concept bench, is so much more than just a park bench.

Imagined by designers Seon-Keun Park, Byung-Min Woo, and Owen Song, the Solar Inside's made with thin-film solar which works in a variety of weather conditions. The rechargeable battery not only turns the bench into a night-light but also provides wifi access.

Pendings Push Markets Higher

The Dow Jones rose over 214 points today driven mainly by good news in Real Estate markets. The Pending Home Sales Index from the National Association of Realtors rose in March for the second consecutive month and is up 1.6% higher than a year ago, with a 3.2% gain to 84.6 from February, when it was 82. According to Lawrence Yun, NAR's chief economist, it may still take a while before the market gains enough momentum to firmly state that the downturn has been reversed, because the upturn may have been helped along by the first-time homebuyers tax credit that will lapse in December.

MayDay for GreenFest

A few May showers shouldn't drown out today's biggest outdoor environmental festival.
Celebrate and learn about sustainable living, working, and community at the Bloomfield Green Fest on Saturday, May 2, 2009, from 10:00 am to 2:00 pm at Brookside Park. RAIN or SHINE

* See exhibits from over 40 local businesses and organization
* Hear guest speakers talk about green living, working, and community
* Learn about recycling, composting, and home energy efficiency audits

Stop by our EcoRealty table and enter the E-Book raffle.
This event continues Earth Day festivities locally and focuses on energy conservation and respect for the environment.

Our Busy Season

Homebuyers are returning to the market in growing numbers according to CNBC. U.S. home prices fell a record 8.2 percent in 2008 as the recession and the surge of foreclosures caused the worst devaluation of real estate since the Great Depression, according to the Federal Finance Housing Board.

A recent online survey by Century 21 Real Estate of those who say they will buy a home within the next two years points out how pricing is effecting the market:

* 78 percent of those surveyed say now is a good time to buy a house
* 68 percent say now is a better time to buy than six months ago

Besides falling prices, experts point to lower interest rates as an incentive. The rate on 30-year fixed-rate mortgages hit an average of 4.85% for the week ending March 26. It's the lowest rate since Freddie Mac’s weekly survey began in 1971.

Does Earth Day Still Matter?

This year marks the 40th celebration of Earth Day. But with green exploding everywhere and a progressive administration in the White House, do we still need it? Grist asked writers, activists, and business types from around the country to weigh in:

Out of This World

Today is the start of "Earth Week" with a long list of global events centering around Earth Day on Wednesday. For the last 10 years NASA has been featuring it's Image of the Day selected from the thousands of photographs snapped from its satellites and astronaut missions. The website publishes fantastic aerial imagery with highly detailed descriptions. Most are in the public domain and can be downloaded in high res form for personal use.

The Boston Globe is presenting its favorites in a breathtaking slide show format.The Earth Observatory is a website run by NASA's Earth Observing System Project Science Office (EOSPSO). This is the last week you can vote for your favorite from NASA's top 50 images taken in the past 10 years. Winners will be announced on the site on April 29th.

Above is one of NASA's Global Maps that show vegetation pictured as an index, of greenness. Greenness is based on several factors: the number and type of plants, how leafy they are, and how healthy they are.

The Way to FHA

“Without FHA financing, families would be unable to purchase homes and communities would suffer from continued foreclosures and blight,” said Lennox Scott, a member of National Association of Realtors® Real Estate Advisory Board.

Over the past 18 months, FHA has handled an increase in volume four times greater than 2007 levels, increasing its market share to over 30 percent.
NAR suggests a number of FHA improvements that will help maintain safe and affordable FHA loan products. These improvements include investment in staff and technology improvements; increased oversight and risk management; technical correction to help implement FHA programs; and monetizing the $8,000 first-time home buyer tax credit to allow buyers to apply it toward down payment requirements.

Happy Easter!

Our official White House eggs, dog, and wonderful news of rescued ship captain.

Banking on the Recession

The current national (and even global) financial melt-down is likely to grow worse before getting better. Yes, the Federal Reserve was put into place to prevent a major banking crisis from wrecking havoc on the nation in a 1929 style run but keep in mind, despite the stabilizing efforts of the Fed, inherent differences also place the system at risk. For example, derivatives were all but non-existent. According to the Office of the Comptroller, the five biggest banks in America control 96 percent of the total derivatives. This means a new round of failure, bail-outs and banking crisis could hit the nation at any moment should even one of these banks be exposed to major losses. Remember, banks must "make good" on those losses but with only 10 percent or even less of the capital required to pay out a claim, banks are simply unable to do so; creating the risk of a domino like default scenario.

This is another reason banks are not lending - they are frantically attempting to hoard as much cash reserve as possible in order to hedge against the risk of a default looming in the future. Again, savvy short sale investors should recognize the ongoing threat of tighter lending standards far into the future -without government intervention (and even with it), purchasing a home for decades into the future may simply be out of reach for many Americans.

Make sure you are doing business with a solid bank. Either deal with small local banks that have strong bottom lines, didn't engage in derivatives or other risky investments and are able to work with you personally...or, work with one of the A rated big banks. To find out how your bank is rated, visit www.TheStreet.com or www.MoneyandMarket.com which publishes a list of the best and worst banks in the US.

Your Neighborhood Commodities Market

Veggie Trader is a free resource for
bringing good food and good people together. Wish you could turn your excess plums into lemons, or maybe even a little cash? Use this site to find neighbors to swap with
or sell your excess produce to. Or if you specialize in growing tomatoes, find neighbors who specialize in other produce and form networks to share in the variety. Even if you don't have a garden, Veggie Trader is your place for finding local food near you.

If you live in the Montclair area, you can take your gardening to another dimension with Cornucopia. which conducts open gardens and composting demonstrations as well as many other activites which "encourage more efficient, effective and safer food Systems". Their first open organic garden day of the year will be April 25(2PM to 4PM) in Pat Kenschaft's garden at 56 Gordenhurst.

New Developments for NJ Solar

Gov. Jon S. Corzine today signed into law three Assembly Democratic measures designed to
improve energy efficiency, expand solar and wind energy production and promote solar energy usage in new homes.
The first bill (A-1558) sponsored promotes the installation of solar energy panels in newly constructed homes. “We can vastly improve the quality of life for all New Jersey families by encouraging investment in solar energy systems in all new houses,” said Greenstein (D-Middlesex/Mercer). “Sound public policy and environmentally responsible practices can come together to provide dividends for generations.”

The new law requires a developer of 25 or more residential units to offer to install a solar energy system when a prospective owner enters into negotiations, provided installation of such a system is technically feasible as determined by the Department of Community Affairs in consultation with the Board of Public Utilities. (photo: Oregon DOT)

The Ups and Downs of Today's Mortgage Market

Mortgage Applications Jump
U.S. mortgage applications jumped last week as record low interest rates spurred a surge in demand for home refinancing loans, data from the Mortgage Bankers Association showed on Wednesday. The MBA said its seasonally adjusted index of mortgage applications, which includes both purchase and refinance loans, increased 32.2 percent to 1,159.4 for the week ended March 20. Refinancing accounted for 78.5 percent of all applications. Borrowing costs on 30-year fixed-rate mortgages, excluding fees, averaged 4.63 percent, down 0.26 percentage point from the previous week, reaching a record low, the MBA said.

Approval Rates Fall
Most people who apply for loans still receive them, with the pull-through rate - the percentage of applicants whose loans are approved - running about 60%, but that's significantly lower than the pull-through rate the Mortgage Bankers Association recorded during the height of the housing boom. In 2003 nearly 79% got their loans. Borrowers with scores of 750 or above accounted for 38% of loans issued during the second quarter of 2008, compared with just 23% just two years earlier, according to the MBA. Those with low credit scores of 650 or less represented only 15% of loans during the first three months of 2008, compared with 28% during the first quarter of 2006.

New Home Sales Spring Forward

The U.S. Census Bureau reported that new home sales rose 4.7% to a seasonally adjusted annual rate of 337,000 in February from a revised 322,000 in January. It was the first increase since July. Economists were expecting a sales rate of 300,000, according to consensus estimates compiled by Briefing.com. The report also showed that the median sale price of new houses in February was $200,900, down 18% from $245,300 a year ago. Are we starting to scrape the bottom?

A Tale of Two Towns' Fire Departments

This month marked two major developments in the Fire Departments of the adjacent towns of Clifton and Bloomfield. The doors finally closed on Clifton's Fire Dept #2, laying off several of its firefighters, as part of the city council's plan to save more than $4 million this year - a plan that will see 60 city jobs cut. Protests by firemen and residents have moved onto a community website.

At the same time, the Bloomfield Fire Department received International Accreditation with the Center for Public Safety Excellence. The Commission on Fire Accreditation International unanimously voted for the Fire Department to be accredited.

After an in depth evaluation covering all aspects of how the department is run (from management to operations), it was found that Bloomfield measured up to the rigorous standards that were required by the Center for Public Safety Excellence. Of the 30,000 plus fire departments in the US, just 130 have received International Accreditation (no other Municipal Department in the State of NJ has attained this distinction).

Veggie Garden Vctory at the White House

Click on map to enlarge. Garden Map courtesy of The White House

Details in today's NY Times

Eco-Cash for Home Owners

So you didn't qualify for home buyer tax breaks or home owner loan modifications from the stimulus bill? Cheer up! You can now get up to $19,000 in upgrades to your house. Expanded tax incentives in 2009 and 2010 for energy-efficient and renewable-energy home improvements include $1,500 in tax credits for qualifying windows, doors, insulation, roofs, heating and cooling equipment, water heaters, and even wood and pellet stoves. You'll get a tax credit of 30% with no upper limit through 2016 for installing qualifying solar technology, small wind-energy systems, or geothermal-well systems.

Low Impact Living has a good breakdown of the savings potential from home improvements but the ultimate source for learning how to get the most tax credits is EnergyStar.gov.

A new homeowner could conceivably do a twofer -- combining the two breaks to REALLY cleanup!

It's Heating Up

I get asked all the time if buyers are coming back into the market. If the past few weeks are any indication, I'd have to say YES. Clifton for example has been one of the slower markets with literally 100's of 3 and 4 bedroom homes available a any given time. Most fall between 250k and 450k. When an appealing house comes online in an appealing neighborhood, buyers come out of the woodwork. Especially with the new 8k tax credit.

Two weeks ago, I took my best buyers to an open house "premier" on Jacklin St. It was across the street from a nearly identical Cape that had been on the market for months at 347K(very nice but a bit over priced). The newest was renovated and 299k. We could barely find a parking place. When we did, we couldn't walk through the house without tripping on another buyer's foot. Since the agent had already written up his first offer while awaiting more from other agents, we passed.

A week later we found another new "opening" less then 8 blocks away a well staged Colonial on Englewood for 329K. When I told the agent to expect an offer, she replied that there was already enough action for a "highest and best." We had one shot without knowing how many others. It turned out we were the lowest of five -- at least one was over the asking price. Maybe the good old days are back!

Cutting Edge Compost

On Tuesday, March 10, at 7:00 p.m. at the Bloomfield Civic Center, Nicholas Smith-Sebasto, associate professor in the Department of Earth and Environmental Studies at Montclair State University will present a seminar on large-scale aerobic composting as used at MSU since 2007, sponsored by the Bloomfield Recycling Committee. The MSU composter can process approximately 2 tons of food residue daily at a cost of about $3 a day, produces compost for lawns and gardens, and diverts food waste from landfills and incinerators. Everyone is welcome to attend, particular schools, colleges, businesses, and other institutions with large amounts of food waste.

An excellent Mike Peters photo essay on the innovative process can be seen on the MSU website.
“The amount of food residue that ends up in landfills is astonishing,” said the Professor, “and the food waste that is thrown out and ends up in landfills is a contributing factor to the ‘build out’ problem that has reached a critical point in New Jersey.”

Making Home Affordable

On March 4, 2009, The Obama Administration announced new U.S. Department of the Treasury guidelines to enable servicers to begin modifications of eligible mortgages under the Administration's Homeowner Affordability and Stability Plan – announced by President Barack Obama on February 28, 2009. The National Association of Realtors has a detailed breakdown of The Plan.

Update:The government has just launched a website that walks homeowners through the process of qualifying.