The Real Estate Mexican Standoff

Here is a quote from the First Quarter Market Report written by Dave Phillips CEO of the Charlottesville Association of Realtors.

"Simply put, there are too many homes on the market right now. This surplus of inventory should keep prices low as sellers are forced to offer “good deals” in a very competitive marketplace. There is a direct, inverse relationship between inventory and prices. The more homes we have on the market, the more pressure there is on sellers to keep prices down. For this reason, we do not expect home prices in the area to increase in the near future.

Currently, we have 3,673 homes on the market, compared to 3,100 at this time last year. The median price of these homes for sale is $319,000. The average DOM (days on market) of these homes is 147 days. It is a great time for first-time buyers, because there are 663 homes for sale under $200,000 with an average DOM of 130. There are 576 homes currently on the market priced at a million dollars or more, with an average DOM of 200."

This is a very accurate statement about the status of our market. It's almost as if buyers and sellers are in an old fashioned Mexican Standoff. Buyers continue to wait for prices to come down, while sellers are resisting the trend. I do have to take this opportunity to say THIS IS A GOOD TIME TO BUY REAL ESTATE.

Play the game, there are a number of people out there trying to move their money out of Real Estate and just want anything they can get. Make an offer, if they reject, move to the next one. In the words of NIKE, Just Do It. You can find really good deals in a market such as this.

Read the entire 1st Quarter Market Report

The Real Estate Mexican Standoff

Here is a quote from the First Quarter Market Report written by Dave Phillips CEO of the Charlottesville Association of Realtors.

"Simply put, there are too many homes on the market right now. This surplus of inventory should keep prices low as sellers are forced to offer “good deals” in a very competitive marketplace. There is a direct, inverse relationship between inventory and prices. The more homes we have on the market, the more pressure there is on sellers to keep prices down. For this reason, we do not expect home prices in the area to increase in the near future.

Currently, we have 3,673 homes on the market, compared to 3,100 at this time last year. The median price of these homes for sale is $319,000. The average DOM (days on market) of these homes is 147 days. It is a great time for first-time buyers, because there are 663 homes for sale under $200,000 with an average DOM of 130. There are 576 homes currently on the market priced at a million dollars or more, with an average DOM of 200."

This is a very accurate statement about the status of our market. It's almost as if buyers and sellers are in an old fashioned Mexican Standoff. Buyers continue to wait for prices to come down, while sellers are resisting the trend. I do have to take this opportunity to say THIS IS A GOOD TIME TO BUY REAL ESTATE.

Play the game, there are a number of people out there trying to move their money out of Real Estate and just want anything they can get. Make an offer, if they reject, move to the next one. In the words of NIKE, Just Do It. You can find really good deals in a market such as this.

Read the entire 1st Quarter Market Report

Charlottesville Real Estate Market Update - March 2008

Let's take a look at the Charlottesville Real Estate Market for March:

Number of Homes Listed for Sale: 3642

Number of Homes Sold in March: 195

Months of Inventory: 18.90 (down from 20 at the beginning of the year)

Average Sold Price in March: $322,206

Average List Price in March: $338,517

Average Days on Market: 130

Percentage of Selling Price to List Price: 95.18%

Total of Sold Properties in March: $66,830,132

Conclusions:
With over $66 million dollars in Real Estate sold last month, people are buying. This is a good trend compared to the start of this year, with total monthly sold properties in the $50 million range. This shows more people are getting involved in the Charlottesville Real Estate Market. This probably has a lot to do with Match Day at UVA and the NGIC expanding. A couple things to note here as well, the Months of Inventory went down as well, so the Charlottesville Real Estate Market is leveling out just nicely. Most sellers are ratifying offers within 5% of their asking price, so keep that in mind if you are currently selling a home or thinking about selling a home.

Charlottesville Real Estate Market Update - March 2008

Let's take a look at the Charlottesville Real Estate Market for March:

Number of Homes Listed for Sale: 3642

Number of Homes Sold in March: 195

Months of Inventory: 18.90 (down from 20 at the beginning of the year)

Average Sold Price in March: $322,206

Average List Price in March: $338,517

Average Days on Market: 130

Percentage of Selling Price to List Price: 95.18%

Total of Sold Properties in March: $66,830,132

Conclusions:
With over $66 million dollars in Real Estate sold last month, people are buying. This is a good trend compared to the start of this year, with total monthly sold properties in the $50 million range. This shows more people are getting involved in the Charlottesville Real Estate Market. This probably has a lot to do with Match Day at UVA and the NGIC expanding. A couple things to note here as well, the Months of Inventory went down as well, so the Charlottesville Real Estate Market is leveling out just nicely. Most sellers are ratifying offers within 5% of their asking price, so keep that in mind if you are currently selling a home or thinking about selling a home.

Foreclosure Lesson #7 - Types of Foreclosures

There are many types of foreclosures, so we will start by defining foreclosure. A foreclosure is a legal process in which a lender sells or seizes a person's property to recoup and repay the debt attached to that parcel. When this happens, there are a few crucial steps.

First, the lending institution notifies the owner in writing that they are in default of payment. This is known as the Notice of Default (NOD). After 3 consecutive payments are missed, the lender will bring in an attorney and the attorney will send a letter. If no payments are made, the lender may request to have the property sold at auction.

The first type of Foreclosure is a Judicial Foreclosure. This is when the lender brings a lawsuit against the borrower. It starts with a summons and complaint served upon the borrower. If the borrower doesn't respond or pay the fees, the lender gets a judgement by default. The lender must advertise a notice of sale in the newspaper for a certain period of time, then the public sale is conducted and the property goes to the highest bidder.

The second type of Foreclosure is a Nonjudicial Foreclosure, also known as a power of sale. This is when the borrower gives a deed of trust to a trustee to hold for the lender. Upon default, the lender simply files a notice of default and a notice of sale, which is published in the newspaper. It then gets sold to the highest bidder.

The third type of foreclosure is a Strict Foreclosure. In this scenario, there is no sale required.
The borrower has a certain amount of time to pay what is owed. After that date, the title reverts to the lender.

Check with your state to find out which foreclosures are practiced. Virginia only does Judicial and Nonjudicial Foreclosures. Its about a 45 day process, and the lender is only required to advertise the sale for 14-28 days. Of course, there are a multitude of ways to find foreclosures, not just the newspaper. Depending on the interest I get from these articles, I might get into that as well. Good Luck!

Charlottesville Real Estate

Foreclosure Lesson #7 - Types of Foreclosures

There are many types of foreclosures, so we will start by defining foreclosure. A foreclosure is a legal process in which a lender sells or seizes a person's property to recoup and repay the debt attached to that parcel. When this happens, there are a few crucial steps.

First, the lending institution notifies the owner in writing that they are in default of payment. This is known as the Notice of Default (NOD). After 3 consecutive payments are missed, the lender will bring in an attorney and the attorney will send a letter. If no payments are made, the lender may request to have the property sold at auction.

The first type of Foreclosure is a Judicial Foreclosure. This is when the lender brings a lawsuit against the borrower. It starts with a summons and complaint served upon the borrower. If the borrower doesn't respond or pay the fees, the lender gets a judgement by default. The lender must advertise a notice of sale in the newspaper for a certain period of time, then the public sale is conducted and the property goes to the highest bidder.

The second type of Foreclosure is a Nonjudicial Foreclosure, also known as a power of sale. This is when the borrower gives a deed of trust to a trustee to hold for the lender. Upon default, the lender simply files a notice of default and a notice of sale, which is published in the newspaper. It then gets sold to the highest bidder.

The third type of foreclosure is a Strict Foreclosure. In this scenario, there is no sale required.
The borrower has a certain amount of time to pay what is owed. After that date, the title reverts to the lender.

Check with your state to find out which foreclosures are practiced. Virginia only does Judicial and Nonjudicial Foreclosures. Its about a 45 day process, and the lender is only required to advertise the sale for 14-28 days. Of course, there are a multitude of ways to find foreclosures, not just the newspaper. Depending on the interest I get from these articles, I might get into that as well. Good Luck!

Charlottesville Real Estate

Foreclosure Lesson #6 - Local Factors that Affect Foreclosures and Real Estate

Aside from National Factors that affect Real Estate and the Foreclosure Market, there are also Local Factors that affect our market. Again, there are five factors.

The first Local Factor that affect your Real Estate Market and the money you can make is Migration and Job Growth. If the area has an increase in jobs and people come to the area, Real Estate prices go up. The reverse happens if the area loses jobs and people leave. This is one of the reasons that Charlottesville is doing so well in a market that is bleak right now. The area keeps expanding in jobs with the University of Virginia to the NGIC expansion. Like anything else you want to track the results. Right now, Virginia's population is increasing by 6%, while the Charlottesville population is increasing by 25%. These things affect the "demand" side of the Supply and Demand Curve of Real Estate.

The second local factor that affects Real Estate are Development Plans. Is there new construction panned for the area? Shopping malls, restaruants, offices, etc? Get to know someone at the Planning Commission and attend the meetings. Find out the answers to these questions, they have a lot to do with where the market is going to go.

The third local factor that affects Real Estate is New Construction. New construction of any type means that the area has positive future potential. New Construction affects the supply side of the Supply and Demand Curve in Real Estate. Property owners will have a hard time increasing prices if new construction is selling for much less. Check with local building departments to find out home many new permits are filed each month. Then compare them to last year and the year before.

The fourth local factor that affects Real Estate is Supply and Demand. Supply and demand create the local business cycle. During an up cycle, the demand is greater than the supply, driving prices upwards. During a down cycle, the supply is greater than the demand, driving prices downwards. Again, track results. Keep track of the area's monthly home sales. That's sales, the number of homes that actually sold. Then compare homes bought in the current month to previous months to see buyer demand and use the MLS (Multiple Listing Service) to figure out the current supply. Understand that Real Estate can be seasonal. For example, more homes are sold during the summer than the winter. Currently in Charlottesville, the supply outweighs the demand.

The last local factor that affects Real Estate is Neighborhood Trends. If you are looking at buying a foreclosure or an investment property, drive around the neighborhood at different times of the day. Are there a lot of broken down cars? Are the yards maintained? Is it a few homes or the entire neighborhood that needs work? Are some houses being fixed up? What are the local employment statistics? Has the population grown? What is the median income? And so on. Use a combination of objective data and instinct.

Keep in mind that a single Local Factor can outweigh multiple national factors. Know your area throughly and invest where you live. If you don't know the streets, you don't know the area. Do your research up front and have your ducks in a row. All these will help minimize the risk of investing.

Here is a list of people you might need during the process of buying a foreclosure or investing"

Mortgage Broker

Real Estate Agent

Attorney

General Contractor

I can make suggestions on any of these if you need them. Just let me know.

Charlottesville Real Estate

Foreclosure Lesson #6 - Local Factors that Affect Foreclosures and Real Estate

Aside from National Factors that affect Real Estate and the Foreclosure Market, there are also Local Factors that affect our market. Again, there are five factors.

The first Local Factor that affect your Real Estate Market and the money you can make is Migration and Job Growth. If the area has an increase in jobs and people come to the area, Real Estate prices go up. The reverse happens if the area loses jobs and people leave. This is one of the reasons that Charlottesville is doing so well in a market that is bleak right now. The area keeps expanding in jobs with the University of Virginia to the NGIC expansion. Like anything else you want to track the results. Right now, Virginia's population is increasing by 6%, while the Charlottesville population is increasing by 25%. These things affect the "demand" side of the Supply and Demand Curve of Real Estate.

The second local factor that affects Real Estate are Development Plans. Is there new construction panned for the area? Shopping malls, restaruants, offices, etc? Get to know someone at the Planning Commission and attend the meetings. Find out the answers to these questions, they have a lot to do with where the market is going to go.

The third local factor that affects Real Estate is New Construction. New construction of any type means that the area has positive future potential. New Construction affects the supply side of the Supply and Demand Curve in Real Estate. Property owners will have a hard time increasing prices if new construction is selling for much less. Check with local building departments to find out home many new permits are filed each month. Then compare them to last year and the year before.

The fourth local factor that affects Real Estate is Supply and Demand. Supply and demand create the local business cycle. During an up cycle, the demand is greater than the supply, driving prices upwards. During a down cycle, the supply is greater than the demand, driving prices downwards. Again, track results. Keep track of the area's monthly home sales. That's sales, the number of homes that actually sold. Then compare homes bought in the current month to previous months to see buyer demand and use the MLS (Multiple Listing Service) to figure out the current supply. Understand that Real Estate can be seasonal. For example, more homes are sold during the summer than the winter. Currently in Charlottesville, the supply outweighs the demand.

The last local factor that affects Real Estate is Neighborhood Trends. If you are looking at buying a foreclosure or an investment property, drive around the neighborhood at different times of the day. Are there a lot of broken down cars? Are the yards maintained? Is it a few homes or the entire neighborhood that needs work? Are some houses being fixed up? What are the local employment statistics? Has the population grown? What is the median income? And so on. Use a combination of objective data and instinct.

Keep in mind that a single Local Factor can outweigh multiple national factors. Know your area throughly and invest where you live. If you don't know the streets, you don't know the area. Do your research up front and have your ducks in a row. All these will help minimize the risk of investing.

Here is a list of people you might need during the process of buying a foreclosure or investing"

Mortgage Broker

Real Estate Agent

Attorney

General Contractor

I can make suggestions on any of these if you need them. Just let me know.

Charlottesville Real Estate

Overview of the National Factors that Affect Forclosures and Real Estate

The National Factors that Affect Foreclosures and Real Estate

There are five national factors. They are:

1. Interest Rates

2. Inflation

3. Flow of Investment Funds

4. The Business Cycle

5. Cataclysmic Events

You can access the information on any of the National Factors by clicking on them above.

Overview of the National Factors that Affect Forclosures and Real Estate

The National Factors that Affect Foreclosures and Real Estate

There are five national factors. They are:

1. Interest Rates

2. Inflation

3. Flow of Investment Funds

4. The Business Cycle

5. Cataclysmic Events

You can access the information on any of the National Factors by clicking on them above.

Foreclosure Lesson #5 - National Factors - Cataclysmic Events

This is the last installment describing the National Factors affecting foreclosures and the Real Estate Market. We have now discussed interest rates, inflation, flow of investment funds, and the business cycle. We are now down to the last National Factor affecting Real Estate. This factor is the easiest to comprehend, yet the most emotional. It is cataclysmic events.

A cataclysmic event is something like Hurricane Katrina. It is a naturally occurring event that devastates an area. During cataclysmic events, building prices are likely to go up, resulting in higher real estate prices.

Luckily, we don't have to deal with events like this every often, but it is something to be aware of as you are buying and selling homes in different areas.

Charlottesville Real Estate

Foreclosure Lesson #5 - National Factors - Cataclysmic Events

This is the last installment describing the National Factors affecting foreclosures and the Real Estate Market. We have now discussed interest rates, inflation, flow of investment funds, and the business cycle. We are now down to the last National Factor affecting Real Estate. This factor is the easiest to comprehend, yet the most emotional. It is cataclysmic events.

A cataclysmic event is something like Hurricane Katrina. It is a naturally occurring event that devastates an area. During cataclysmic events, building prices are likely to go up, resulting in higher real estate prices.

Luckily, we don't have to deal with events like this every often, but it is something to be aware of as you are buying and selling homes in different areas.

Charlottesville Real Estate

Foreclosure Lesson #4 - National Factors - Business Cycle

This is installment #4 of our Foreclosure Lessons. This far we have been over interest rates, inflation, and flow of investment funds. Now, we are going to learn about the Business Cycle of Real Estate and how it affects the Real Estate Market and Foreclosures.

The National Economy rises and falls in cycles - so does Real Estate. As our economy goes from recession to prosperity, investments are influenced. So let's define America's economic cycles.

When economy is strong, incomes are high, unemployment is low, and people tend to have more discretionary income to invest in Real Estate.

When economy is weak, incomes are lower, unemployment is higher, resulting in fewer Real Estate purchases, higher foreclosure rates, more renters and lower property values.

Researching the state of the economy is best served by reading things like The Wall Street Journal, Fortune Money, CNNMoney, and USA Today. Of course you can always Google or Digg information on our Economy.

Foreclosure Lesson #4 - National Factors - Business Cycle

This is installment #4 of our Foreclosure Lessons. This far we have been over interest rates, inflation, and flow of investment funds. Now, we are going to learn about the Business Cycle of Real Estate and how it affects the Real Estate Market and Foreclosures.

The National Economy rises and falls in cycles - so does Real Estate. As our economy goes from recession to prosperity, investments are influenced. So let's define America's economic cycles.

When economy is strong, incomes are high, unemployment is low, and people tend to have more discretionary income to invest in Real Estate.

When economy is weak, incomes are lower, unemployment is higher, resulting in fewer Real Estate purchases, higher foreclosure rates, more renters and lower property values.

Researching the state of the economy is best served by reading things like The Wall Street Journal, Fortune Money, CNNMoney, and USA Today. Of course you can always Google or Digg information on our Economy.

Foreclosure Lesson #3 - National Factors - Flow of Investment Funds

Now that we have looked at interest rates and inflation, its time to look at the Flow of Investment Funds and how they affect foreclosures and Real Estate in general.

Flow of Investment Funds refers to the number of people that are involved in Real Estate. When money flows into Real Estate, more people are buying homes and selling homes. In reverse, when money flows out of Real Estate, less people are buying and selling. The important thing to know where is the more people that are buying and selling, the more prices fluctuate. Just like the Supply and Demand curve.

Pay close attention to the Flow of Investment Funds. When people are shifting their money from Real Estate to something else, its the time to buy. The reason its the time to buy is because people want money quickly. Its important here to avoid following the crowd. This is where the money is made. Also realize that there are few things you can invest in that is safer and pays like Real Estate. The stock market crashes quickly, the Real Estate market takes months or even years to change.

You can figure out how the Flow of Investment Funds are going by talking to a Realtor, a member of the National Association of Realtors. The National Association of Realtors send out information to its members about the status of the National Market. You will also want to talk with a local realtor about the local market, but we will get into that a little later on.

Charlottesville Real Estate

Foreclosure Lesson #3 - National Factors - Flow of Investment Funds

Now that we have looked at interest rates and inflation, its time to look at the Flow of Investment Funds and how they affect foreclosures and Real Estate in general.

Flow of Investment Funds refers to the number of people that are involved in Real Estate. When money flows into Real Estate, more people are buying homes and selling homes. In reverse, when money flows out of Real Estate, less people are buying and selling. The important thing to know where is the more people that are buying and selling, the more prices fluctuate. Just like the Supply and Demand curve.

Pay close attention to the Flow of Investment Funds. When people are shifting their money from Real Estate to something else, its the time to buy. The reason its the time to buy is because people want money quickly. Its important here to avoid following the crowd. This is where the money is made. Also realize that there are few things you can invest in that is safer and pays like Real Estate. The stock market crashes quickly, the Real Estate market takes months or even years to change.

You can figure out how the Flow of Investment Funds are going by talking to a Realtor, a member of the National Association of Realtors. The National Association of Realtors send out information to its members about the status of the National Market. You will also want to talk with a local realtor about the local market, but we will get into that a little later on.

Charlottesville Real Estate

Foreclosure Lesson #2 - National Factors - Inflation

Alright, we have looked at interest rates and how they affect your purchasing power, now we will look the the second Nation Factor that affects foreclosures and Real Estate in general. It is important to know all the factors before making any decision to buy, whether it is a foreclosure or any other home. The second National Factor is Inflation.

Inflation is defined by wikipedia as a rise in the general nominal level of prices over time. Inflation is is measured as the percentage rate of change of a price index. The governments main gauge of inflation is the Consumer Price Index.

Basically, inflation tends to follow the supply and demand curve, although it isn't affected by any single factor. Inflation causes prices to rise - whethere its a pair of jeans at American Eagle, or the house you want to buy. The higher the inflation, the less your money will buy.

Without getting really technical about inflation, the thing to realize here is this: Whenever inflation changes moderately up or down, investing in Real Estate is good. Classic case of when to buy and when to sell. If inflation goes down, you want to buy. If inflation goes up, you will want to sell. Pay attention to inflation and figure out where we are in as a nation with inflation. You can look at inflation data here.

Charlottesville Real Estate

Foreclosure Lesson #2 - National Factors - Inflation

Alright, we have looked at interest rates and how they affect your purchasing power, now we will look the the second Nation Factor that affects foreclosures and Real Estate in general. It is important to know all the factors before making any decision to buy, whether it is a foreclosure or any other home. The second National Factor is Inflation.

Inflation is defined by wikipedia as a rise in the general nominal level of prices over time. Inflation is is measured as the percentage rate of change of a price index. The governments main gauge of inflation is the Consumer Price Index.

Basically, inflation tends to follow the supply and demand curve, although it isn't affected by any single factor. Inflation causes prices to rise - whethere its a pair of jeans at American Eagle, or the house you want to buy. The higher the inflation, the less your money will buy.

Without getting really technical about inflation, the thing to realize here is this: Whenever inflation changes moderately up or down, investing in Real Estate is good. Classic case of when to buy and when to sell. If inflation goes down, you want to buy. If inflation goes up, you will want to sell. Pay attention to inflation and figure out where we are in as a nation with inflation. You can look at inflation data here.

Charlottesville Real Estate

Foreclosure Lesson 1 - Digg

In light of all the news surrounding foreclosures, I thought we should take an in depth look at foreclosures. Over the next couple of weeks, we are going to define National and Local Factors affecting foreclosures, as well as Foreclosure laws in Virginia, the types of foreclosures, the types of property, and how to make money with foreclosures.

We will start with the National Factors that Affect Real Estate. The first is the interest rate. When most people buy a house, they have to borrow money, this is known as a mortgage. The bank however, doesn't give money away, the bank wants something in return - the interest on the money borrowed. This is the reason for the interest rate. The interest rate is based on the Federal Funds Rate. The Federal Funds Rate is the interest that banks charge each other for overnight loans of federal funds, which are held by the Federal Reserve.

From this we can determine the Prime Rate. The Prime Rate is what banks charge their largest and best customers. Everyone else gets interest rates above the Prime Rate. Interest Rates DIRECTLY affect your purchasing power. Let's look at an example.

Let's say there is a foreclosure going to the courthouse steps for $150,000. Unless you have $150,000 in the bank, the house is going to be financed. If a real estate investor gets a loan from a bank for $150,000 at 6% interest and we will assume a marginal tax rate of 25%, the monthly payment on a 30 year fixed loan will be $899.33. The total payment over the 30 year period will be $323,755 and the total interest paid will be $173,755.

Now, let's say an investor gets a loan from a bank to finance the foreclosure, but this time the interest rate will be 8% instead of 6% and we will assume the same tax rate. The monthly payment on a 30 year fixed loan will be $1,100.65. This is just over $200 more per month than the six percent quote. The total payment over the 30 year period at an 8% interest rate is $396,230 and the total interest paid will be $246,230.

For current investors, people wanting to become investors, flippers, or people looking to buy a home at a great price, need to be aware of interest rates. I could be the difference between making money or losing money. To look at historical interest rates, check out these sites:

Federal Reserve Statistical Release

Interest Rate Trends from Mortgage-X

Wall Street Journal - News and Analysis (Subscription Service)

Of course you can always Google or Digg historical interest rates. Later we will look at the next National Factor Affecting Real Estate and Foreclosures - Inflation.

Foreclosure Lesson 1 - Digg

In light of all the news surrounding foreclosures, I thought we should take an in depth look at foreclosures. Over the next couple of weeks, we are going to define National and Local Factors affecting foreclosures, as well as Foreclosure laws in Virginia, the types of foreclosures, the types of property, and how to make money with foreclosures.

We will start with the National Factors that Affect Real Estate. The first is the interest rate. When most people buy a house, they have to borrow money, this is known as a mortgage. The bank however, doesn't give money away, the bank wants something in return - the interest on the money borrowed. This is the reason for the interest rate. The interest rate is based on the Federal Funds Rate. The Federal Funds Rate is the interest that banks charge each other for overnight loans of federal funds, which are held by the Federal Reserve.

From this we can determine the Prime Rate. The Prime Rate is what banks charge their largest and best customers. Everyone else gets interest rates above the Prime Rate. Interest Rates DIRECTLY affect your purchasing power. Let's look at an example.

Let's say there is a foreclosure going to the courthouse steps for $150,000. Unless you have $150,000 in the bank, the house is going to be financed. If a real estate investor gets a loan from a bank for $150,000 at 6% interest and we will assume a marginal tax rate of 25%, the monthly payment on a 30 year fixed loan will be $899.33. The total payment over the 30 year period will be $323,755 and the total interest paid will be $173,755.

Now, let's say an investor gets a loan from a bank to finance the foreclosure, but this time the interest rate will be 8% instead of 6% and we will assume the same tax rate. The monthly payment on a 30 year fixed loan will be $1,100.65. This is just over $200 more per month than the six percent quote. The total payment over the 30 year period at an 8% interest rate is $396,230 and the total interest paid will be $246,230.

For current investors, people wanting to become investors, flippers, or people looking to buy a home at a great price, need to be aware of interest rates. I could be the difference between making money or losing money. To look at historical interest rates, check out these sites:

Federal Reserve Statistical Release

Interest Rate Trends from Mortgage-X

Wall Street Journal - News and Analysis (Subscription Service)

Of course you can always Google or Digg historical interest rates. Later we will look at the next National Factor Affecting Real Estate and Foreclosures - Inflation.