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Who among you has a -- lately with your mortgage or modify your mortgage put home up for sale -- you wanna buy a home with a good news is.
Homebuilders are up on good housing numbers out this morning.
We have the existing home sales jumping seven point 8% in August and housing starts were also up 2.3 percent in August.
Finally the good side of a housing recovery that we've been looking forward -- sustain joining us now in a Fox Business exclusive from Denver Colorado was -- -- CEO.
Margaret Kelly we see there -- signs all over the United States Margaret may be the perfect person that where we could check the temperature gauge but.
The question we ask is is the most often asked question I guess since who shot JR and that is have we finally bottomed out because it matters to people who are looking to buy to sell to refi or to a vast.
You're absolutely right I think the worst is over do I think we bottom out yes I really do think we have.
That the good numbers are for fourteen months in a row we've had more sales.
Each month for fourteen months and the prices have gone up for the last seven months those are all great signs for us I'll tell you what -- January.
I was cautiously optimistic now I'm optimistic.
And now we're going into the fall season -- African figure out what you've got -- up all of the spring buying season and the false selling season.
What is it -- we headed to fall.
Well usually what happens families like to move in the summer and they like to get their kids stand by fall for school.
And so usually fall into probably the first of the year things start to taper off.
I -- so if it does it's very seasonal that's very ordinary for us.
What we found this here is starting in January which is still normally a fairly low time.
We've had quite a few sales and it has continued all the way through August we'll see what September break.
The Federal Reserve and and I know now you guys have to become experts in in fed speak because you have to be.
Boy it sure seems when you look at all of the tea leaves that they are highly focused on stimulating the housing market aren't they an and they just did QE3 is it's called which is large scale asset purchases.
Translation will do it till things finally stabilized.
Are you seeing any immediate reaction how long does it take for.
This type of thing to work its way through the system and showing a positive way for the housing market.
Well I haven't seen anything immediate but I guess my question is interest rates mortgage rates are pretty historically low yes will another quarter point or half a point really.
In sent someone who wasn't gonna -- to go ahead and -- because right now the rates are already low.
I think what they're trying to do is stimulate the economy overall it get that 2% of GDP up a little bit more get some inflation going so that there's the wealth effect.
We're already seeing some of that though with the home prices going up which is good that helps Americans.
With supply down which our inventory is quite low in demand up prices are starting to go up -- its prices going out and I had I was gonna say re Max -- -- massive volume and and the question then would be our people getting loans.
How -- the banks treating people.
That's the tough part right now and that the reality is even if rates are.
Incredibly low if you can't get the loan.
It doesn't matter how low -- rates are what we need to do is we have been from way to light of lending standards to now we have to constricted to.
To tighten up lending standards yes need to get back to some common sense and and the help Americans get into their assault.
And some simplicity of -- honestly I speak from experience I just tried to refi it be I was turned down by seven different banks not because of our credit which is very very good but because they didn't.
Like something with a co -- there was some talk I think you know they're now so fearful -- thank goodness for new -- like one bank they stepped up to the plate.
But they -- told us you know what and so many people are getting turned down it's great business for us so where there is sort of avoid.
Opportunity for some lenders who were ready to deal with -- That's exactly right in ten to 15%.
-- contracts fall through right now because of those lending standards.
That good people just aren't getting those loans and that's ten to 15% of buyers out there who can help this recovery -- I I have to just ask you tell me where you -- regionally the best recovery and would it stand to reason that the worst hit places I'm thinking about a California.
Would see the greatest recovery or.
-- We are seeing that right now the West Coast and Florida to -- IBM Florida.
Just a year ago there was a five year supply of inventory five years now we have a two month supply.
In Phoenix we have a two month supply of inventory so what's happening in a lot of buyers a lot of investors.
Are getting into the market and buying those properties up so.
Now that there isn't enough inventory.
You get multiple offers you give bidding wars and prices are going -- Margaret it is a pleasure to talk to you and get that the up front in the trenches story thank you so much.
Thank you Margaret Kelly re Max CEO -- what's going.
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