January is the worst month for home prices in Atlanta and 2011 is no different - although not as bad as I thought. We now have all of the January data compiled and we do have a new bottom for home values in Metro Atlanta that takes us back to levels not seen since 1998.

But...

Closed sales were up and pending sales are up compared with 2010...

...and it's not as bad as it could be - or could have been for that matter especially with the weather we had early on in the month. Single family home (detached) prices are down 3.1% from 2010, but not lower than they were in January of 2009 and attached homes were down 18.4% from 2010. So I think it is more accurate to say that we have a mixed bottom. Technically, the new bottom of the market is January 2011,…

Below is a question I received from a client I am working with so what I am writing is actually about answering the questions as best I can for my client, but it illustrates - at least to me - what one of the most significant differences is in today's market compared with the market of just a couple of years ago; regardless of price point, there is some reluctance to purchase now, whereas just a few years ago, there was almost a reluctance to wait for fear of losing the home to someone else who might also be interested in it. Here is the question from my client:

"I need an understanding of what price points are are likely to appreciate the most over the next 20 years.  Much of the appreciation before the crash was due to a declining interest rate…

Partial Reprint from the Atlanta Business Chronicle. You can read the full article here:

"The Georgia Senate Thursday unanimously passed legislation aimed at overhauling a property assessment system thrown into disarray by huge market-driven fluctuations in property values.
The bill, which now goes to the House, would restore Georgia homeowners’ loss of confidence in the fairness of the property tax bills they receive from local governments each year, said Senate Majority Leader Chip Rogers, the measure’s chief sponsor.
Homeowners across the state are complaining that they’re being taxed based on assessments that no longer accurately reflect the declining value of their properties, said Rogers, R-Woodstock.
“The assessments are not keeping pace with fair…

Bank of America has filed suit against MGIC, one of the nations largest mortgage insurance companies. MGIC has rescinded many of its obligations to pay saying that they aren't contractually obligated to pay for loans that weren't properly underwritten. According to a Bizjournal story, MGIC cut 1.2 billion dollars in payments and Bank of America has filed a lawsuit as well as discontinued using MGIC for its mortgage insurance. Bank of America has also discontinued using MGIC to insure loans.

If you have a loan with less than 20% down, you or your lender has paid for mortgage insurance on your loan. If the loan goes bad, the mortgage insurance company is supposed to pay up. However, with so many bad loans, mortgage insurers are pointing the finger back at…

If this isn't how they are done, it might be obtained by taking a sledgehammer and hitting one of those strongman devices you find at a carnival that has been altered to show prices.

I don't know that I blame appraisers. It's a difficult task when you are trying to appraise a property in an area that you are unfamiliar with. Because of HVCC, we find ourselves in a new era where appraisers are being asked to perform a job for less money than ever before and simultaneously perform fewer appraisals because of the reduction in sales volume. A good portion of the income that appraisers used to make is now taken by the Appraisal Management Companies. What this is really about is how the Federal Government has caused greater harm with it's solution than they…

A couple of years ago I decided to require contact information to view listing details on my website. When I made the decision, I knew that some people would leave or become frustrated at having to provide me contact information but more people would be fine with providing a way to be contacted. To make that decision for people and not ask for the information, in my opinion is not a good business decision, but people can disagree on this point. To call it against consumer interest, immoral or unethical is to not fully comprehend the consumer. Requiring registration also allows me (and now my team) to help consumers if they want it. That in turn is good for business and good for consumers. If they don't want to be contacted, they won't register. No harm,…