Will our country ever be safe from Terrorists and their deadly attacks! What happened at the Boston Marathon was horrific and I as a former combat Marine am angry over it. I ran 2 Marathons and as you finish you have a lot of joy and sense of accomplishment which these two brothers destroyed for all that were there that day. I am heartbroken for the families of the dead and those that lost limbs who feel they have been robbed of their feeling of security. After discussing this event with a number of friends and relatives, I am afraid that this will be our new reality. I have a friend from Israel who lives with this type of actions daily. He says that these religious fanatics stop at nothing. We need to love and comfort our family and let them know that they these attacks will continue. We need to be more diligent and report to the proper authorities when we suspect something out of the ordinary.

I was very impressed with the FBI and the rest of the law enforcement agencies that participated in the apprehension of these two. Obviously, this turned out to the biggest man hunt in the city of Boston’s history but with all the agencies and the citizens of that city on high alert, it came to the right conclusion. I am certain that this is not the end of incidents like this, there will be copy cats.

Real estate activities almost seem insignificant when all this is going on but we must move forward. In March, real estate sales were up nearly 1% nationwide with new construction accounting for the majority of that increase. In fact, according the National of Association of Realtors, new homes are selling cheaper in some areas than existing resale homes. In those areas, that is good news. It means that the inventory of existing homes is drying up. The largest sector of new residential construction has been in the area of Apartments, according to the National Home Builders association. Many people are finding it cheaper to rent than to buy or they are uncertain about purchasing so they are holding back. Even though the interest rates on home mortgages remain at low many consumers find their bad credit scores hindering their new purchases.

In Douglas County, all measures of activity turned upward in March 2013 compared to both March of 2012 and February 2013. At 94 closed sales, Douglas County had its best March since 2007. Sales were up to 94 (+6.8%) higher than the 88 closed sales in February and (+10.6) at 85 sales in March 2012. Since January 2013 closed sales increased by (+23.7%) to 266 which is up from the 215 in 2012. . Our active listings continue to go down with existing inventory level at 9 months which is the lowest amount in 2013. Year to date, our real estate market is in good shape with 292 accepted offers up from 236 in 2012 or (+23.7%). The average sales price for March 2013 is up to $150,900 or (+16.9) $127,000 from February 2013.

Our office is seeing more offers written and more sales closed. In fact, since the beginning for 2013, our closed sales volume increased by 26% over 2012. We are very fortunate to be moving in the right direction and are optimistic about 2013. When sellers list their properties to sell them and are competitive in their listing prices, they will sell. In fact, we listed a home for $159,500 and it SOLD in one day. We are getting multiple offers on certain properties a phenomenon we have not seen since 2005-2006.

Please keep all the military young men and women who served our country and all their families in your thoughts and prayers. They are sacrificing so we can live our lives with the freedoms we all enjoy.

Cathy and I want to wish all of you and your loved ones a very Merry Christmas and Happy New Year! As we all reflect on the actions of this past year, we soon realize what a confused and precarious world we live in. Yes, there were many tragic events that occurred in 2012 but nothing as deplorable as what just occurred at Sandy Hook School. The heroic efforts displayed by the teachers and administrators of the school were of such a portion that is beyond description. These individuals went above what any teacher is expected to do and they did it without any hesitation. To lose your life protecting another human being is the supreme sacrifice that goes beyond what one is called to do. What heroes they all were. My heart aches over the acts of a selfish person who does not have any consideration nor respect for other people, especially incident children. As a dad and grandparent, I am just sick. However, I seek refuge in my family, faith and loved ones which brings me comfort in a time like this. Hug your loved ones and hold them tightly during this Christmas season.

In real estate, pending and closed sales dropped compared to the previous month by -10% and- 13% respectively. However, both measures reached five year highs for the month of November. Pending sales were higher than any November since 2007 at 88. This a great sign that the real estate market activity in Douglas County is moving in the right direction, upward. For many of our pending sales translate into closed sales. Another encouraging sign was that closed sales followed the same trend at 79 which topped all Novembers since 2007.

New listings at 106 were down by 19.7% compared to last November when there were 132 new listings taken. At the current rate of sales, the 939 active listings would last 11.9 months, down from 15.6 months of inventory in November 2011. Again, this is another positive sign that our market is improving because there are less homes for our sellers to compete against.

In the first 11 months of 2012 there have been 9.8% more pending sales (955) than last year (870), and 12.9% more closed sales (913 v. 809). This is the upward trend that we have been looking forward to. One of the biggest reasons that I feel led to this upsurge in the market was buyers’ confidence in the economy. Interest rates continue to be low at 3.5% to 4.5% for a 30 year mortgage and sales prices continue to drop which makes houses more affordable. I feel that we still have a huge pent up demand and many buyers will continue to buy in 2013. The average sales in November of 2011 was
$155,800 v. $151,700 in November of 2012. The year to date sales price during the same period was $152,500 in 2011 as compared to $151,400 in 2012. Also, the median price range followed the same pattern of decreasing prices year to date. In 2011 the median price was $135,000 and $133,000 in 2012, which means there are as many homes selling above $133,000 as below $133,000. These prices reflect less than 2% which is the lowest drop in the past 5 years. Another positive sign that our market is on the right track. Total days on the market were down comparing 2011 to 2012 by 8 days nearly 10% which is significant as we look at how long it takes to sell and close a home.

Remember to keep all our military men and women and their families in your thoughts and prayers. These people are making sacrifices for us so that we can live in this great county, FREE. Remember, our freedoms are not free. Also, keep all the children and teachers that lost their lives last week in the Sandy Hook shooting in Newton Conn. Especially, the moms and dads of those children they need our thoughts and prayers at this sorrowful time.

In Oregon, I am extremely proud of the fact that Measure 79 passed which will amend the Oregon constitution to prohibit any type of transfer tax on the sale of real estate. However, there are some counties in the state that already have these transfer taxes and in those counties that will not change. However, for the rest of us we will not see another tax on the sale of our homes or investment properties.

Cathy and I just returned from the National Association of Realtors Conference held in Orlando, Fl. Even though we had a lot of fun at Universal Studios and other events sponsored by our association, we did attend many seminars and training sessions that were helpful and informative. One economist from Texas told us that no matter who was voted in as President, the economy will grow and we will prosper. He went on to say, “The consumers are running out of patience and they want action from the President and Congress to implement legislation that will get our country moving forward.” It does appear to all economists that the depression we were in the last 6 years is slowly recovering.

Douglas County’s real estate activity mirrors the National and State trends with an uptick in closed sales. In fact October 2012 was the best month in reporting closed sales since 2006 with 91 and topped the 73 closed sales in October 2011. October pending sales were slightly higher than accepted offers in the comparable month last year (98 v. 93) but bested the 77 accepted offers in September of 2012 by +27.3%, a good sign for the continued strength in closed sales for the remainder of this year.

In the first 10 months of 2012, new listings were almost identical to the same period of 2011 (1,725 compared to 1,731.) There have been +8.6% more pending sales this year (872 v. (803), and +12.1% more closed sales (833 v. 743.) The average sales price through October 2012 is $151,500 less than -1% off the 2011 average of $152,200. However, we saw a dramatic drop in average sales price of -17.5% from $170,800 to $140,900 in just one month, September to October 2012. I think that many of these sales were short sales and foreclosed properties. Many of the purchasers want to buy nothing but these type of properties where the sellers owe more than what they are worth in today’s market. We have over 11.1 months of inventory of properties for sale which is up nearly 2 months worth since August 2012 which indicates a weak real estate market. Until the real estate market reaches below a 6 month inventory of homes for sale, prices will continue to decrease.

Please keep our military men and women and their families in your thoughts and prayers during this Thanksgiving holiday. Please give thanks for all that you have and reflect on what is important to you, family, friends and your role in life.