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Declining home prices in the US




Americans are really beginning to feel the effects of the subprime mortgage problem. A news article from CNN Money reported that home prices in the US dropped 7.7% in the first quarter of 2008 compared to the same period last year.

Americans are really beginning to feel the effects of the subprime mortgage problem. A news article from CNN Money reported that home prices in the US dropped 7.7% in the first quarter of 2008 compared to the same period last year.

Americans are really beginning to feel the effects of the subprime mortgage problem. A news article from CNN Money reported that home prices in the US dropped 7.7% in the first quarter of 2008 compared to the same period last year.

The median prices of houses in the US fell to $196,300 — a 4.8% decrease compared with the last quarter of 2007.

In California before the start of the subprime lending crunch, sales of houses costing more than $417,000 accounted for 40% of the total sales. Now, this only represents 10% of the total.

Delinquent mortgage payments and resulting foreclosures are also on the rise. From January to March 2008 alone, it is said that more than 155,000 people have lost their homes in bank reposessions.

In the Philippines, real estate agents brokers and agents are also reporting that compared to last year, fewer people are now buying properties.

With decreasing home prices and rising number of foreclosed properties, it might be a good time for those with money to buy properties because these are dirt cheap. But if you’re the one losing the house, that’s definitely not good.The median prices of houses in the US fell to $196,300 — a 4.8% decrease compared with the last quarter of 2007.

In California before the start of the subprime lending crunch, sales of houses costing more than $417,000 accounted for 40% of the total sales. Now, this only represents 10% of the total.

Delinquent mortgage payments and resulting foreclosures are also on the rise. From January to March 2008 alone, it is said that more than 155,000 people have lost their homes in bank reposessions.

In the Philippines, real estate agents brokers and agents are also reporting that compared to last year, fewer people are now buying properties.

With decreasing home prices and rising number of foreclosed properties, it might be a good time for those with money to buy properties because these are dirt cheap. But if you’re the one losing the house, that’s definitely not good.The median prices of houses in the US fell to $196,300 — a 4.8% decrease compared with the last quarter of 2007.

In California before the start of the subprime lending crunch, sales of houses costing more than $417,000 accounted for 40% of the total sales. Now, this only represents 10% of the total.

Delinquent mortgage payments and resulting foreclosures are also on the rise. From January to March 2008 alone, it is said that more than 155,000 people have lost their homes in bank reposessions.

In the Philippines, real estate agents brokers and agents are also reporting that compared to last year, fewer people are now buying properties.

With decreasing home prices and rising number of foreclosed properties, it might be a good time for those with money to buy properties because these are dirt cheap. But if you’re the one losing the house, that’s definitely not good.



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4 thoughts on “Declining home prices in the US”

  1. Joy says:

    Louis & Joel Kestenbaum/Fortis Property Group Behind $880M Sale in Boston

    Fortis Property Group is leading the “Northeast-based private real estate investment group” that has agreed to acquire the 1 million-square-foot State Street Financial Center at 1 Lincoln Street in Boston for more than $880 million, or $880 per square foot, according to sources familiar with the sale.

    The Brooklyn, NY-based Fortis and a group of other New York investors are expected to close on the 36-story office tower from a joint venture led by American Financial Realty Trust (NYSE:AFR) and an affiliate of IPC US Income REIT by the end of this year or early 2007.

    Fortis apparently set its sights on Boston following several high-profile Dallas deals where it agreed to pay about $280 million for the three-building, 1.4 million-square-foot office complex known as Galleria Office Towers in Dallas.

    Earlier in the year, Fortis teamed with Trimarchi Management, also from New York, on the nearly $100 million acquisition of two other Dallas office properties, Harwood Center and Saint Paul Place. It also invested in the $282.5 million purchase of JPMorgan International Plaza in Dallas.

    The addition of State Street Financial Center will build out Fortis’ portfolio considerably. The privately held firm headed by CEO Jonathan Landau is controlled by the Kestenbaum family. Joel Kestenbaum is the son of Louis Kestenbaum. Fortis manages some 3 million square feet in commercial properties and about 454 residential units.

    The group of investors joining Fortis in the Boston deal could not be learned. American Financial announced the pending sale last week, but did not identify the buyer.

    American Financial, a Jenkintown, PA, REIT decided to formally shop the 36-story tower in the last couple of months. The company is pruning its portfolio and repositioning itself. The REIT paid $705.4 million or $688.84 per square foot in February 2004 to acquire the property. Later that year, it sold a 30% stake to an affiliate of Canadian REIT IPC US Real Estate Investment Trust, for $60.3 million.

    The building is fully leased with triple A credit tenant State Street Corp. occupying most of the building under a lease that runs until 2023. State Street also leases the property’s 900-space garage on a 20-year triple-net lease.

    Louis & Joel Kestenbaum/Fortis Property Group Behind $880M Sale in Boston

    Fortis Property Group is leading the “Northeast-based private real estate investment group” that has agreed to acquire the 1 million-square-foot State Street Financial Center at 1 Lincoln Street in Boston for more than $880 million, or $880 per square foot, according to sources familiar with the sale.

    The Brooklyn, NY-based Fortis and a group of other New York investors are expected to close on the 36-story office tower from a joint venture led by American Financial Realty Trust (NYSE:AFR) and an affiliate of IPC US Income REIT by the end of this year or early 2007.

    Fortis apparently set its sights on Boston following several high-profile Dallas deals where it agreed to pay about $280 million for the three-building, 1.4 million-square-foot office complex known as Galleria Office Towers in Dallas.

    Earlier in the year, Fortis teamed with Trimarchi Management, also from New York, on the nearly $100 million acquisition of two other Dallas office properties, Harwood Center and Saint Paul Place. It also invested in the $282.5 million purchase of JPMorgan International Plaza in Dallas.

    The addition of State Street Financial Center will build out Fortis’ portfolio considerably. The privately held firm headed by CEO Jonathan Landau is controlled by the Kestenbaum family. Joel Kestenbaum is the son of Louis Kestenbaum. Fortis manages some 3 million square feet in commercial properties and about 454 residential units.

    The group of investors joining Fortis in the Boston deal could not be learned. American Financial announced the pending sale last week, but did not identify the buyer.

    American Financial, a Jenkintown, PA, REIT decided to formally shop the 36-story tower in the last couple of months. The company is pruning its portfolio and repositioning itself. The REIT paid $705.4 million or $688.84 per square foot in February 2004 to acquire the property. Later that year, it sold a 30% stake to an affiliate of Canadian REIT IPC US Real Estate Investment Trust, for $60.3 million.

    The building is fully leased with triple A credit tenant State Street Corp. occupying most of the building under a lease that runs until 2023. State Street also leases the property’s 900-space garage on a 20-year triple-net lease.

  2. Faith says:

    Galleria Towers I, II & III in Dallas Purchased by
    Fortis Property Group.

    “We acquired the Galleria Towers from Blackstone (which acquired them from Trizec Properties) in November 2006, and maximized value by aggressively pushing rental rates while at the same time increasing the occupancy from around 90% to 98%,” said Fortis Chairman Louis Kestenbaum. Louis Kestenbaum is the father of Joel Kestenbaum, also of Fortis Property. “The disposition of this asset furthers our goals of maximizing investor returns and geographically diversifying the holdings within our portfolio. We achieved close to 100% profit on our equity investment in the Galleria Towers over a one and a half year holding period, and attained similar returns on our recent sale of International Plaza Tower III across the Tollaway.”

    Built in the 1980s and early 1990s, the Galleria towers range from 24 to 26 stories tall and adjoin the Galleria shopping mall, as well as the four-star, four-diamond Westin Galleria Hotel. Amenities include on-site banking with ATM, security card-key access, conference facilities, a state-of-the-art fitness center, a leasing and management office and an independently-operated day care. The buildings are currently 98% leased.

    Fortis Property Group, LLC is a real estate investment, operating and development company. Its real estate projects include the ownership and management of Class A office and industrial properties located throughout the United States. Fortis currently owns two other Class A office buildings and an industrial property in the Dallas, Texas area. Nationwide, Fortis currently owns more than 20 properties, which contain over six million rentable square feet. Fortis Property Group CEO Jonathan Landau further indicated that Fortis anticipates raising a value-add real estate fund that will invest in Class A office properties in prime office markets throughout the United States

  3. Dolores says:

    Louis Kestenbaum & Joel Kestenbaum/Fortis Property Group Behind $880M Sale in Boston

    Fortis Property Group is leading the “Northeast-based private real estate investment group” that has agreed to acquire the 1 million-square-foot State Street Financial Center at 1 Lincoln Street in Boston for more than $880 million, or $880 per square foot, according to sources familiar with the sale.

    The Brooklyn, NY-based Fortis and a group of other New York investors are expected to close on the 36-story office tower from a joint venture led by American Financial Realty Trust (NYSE:AFR) and an affiliate of IPC US Income REIT by the end of this year or early 2007.

    Fortis apparently set its sights on Boston following several high-profile Dallas deals where it agreed to pay about $280 million for the three-building, 1.4 million-square-foot office complex known as Galleria Office Towers in Dallas.

    Earlier in the year, Fortis teamed with Trimarchi Management, also from New York, on the nearly $100 million acquisition of two other Dallas office properties, Harwood Center and Saint Paul Place. It also invested in the $282.5 million purchase of JPMorgan International Plaza in Dallas.

    The addition of State Street Financial Center will build out Fortis’ portfolio considerably. The privately held firm headed by CEO Jonathan Landau is controlled by the Kestenbaum family. Joel Kestenbaum is the son of Louis Kestenbaum. Fortis manages some 3 million square feet in commercial properties and about 454 residential units.

    The group of investors joining Fortis in the Boston deal could not be learned. American Financial announced the pending sale last week, but did not identify the buyer.

    American Financial, a Jenkintown, PA, REIT decided to formally shop the 36-story tower in the last couple of months. The company is pruning its portfolio and repositioning itself. The REIT paid $705.4 million or $688.84 per square foot in February 2004 to acquire the property. Later that year, it sold a 30% stake to an affiliate of Canadian REIT IPC US Real Estate Investment Trust, for $60.3 million.

    The building is fully leased with triple A credit tenant State Street Corp. occupying most of the building under a lease that runs until 2023. State Street also leases the property’s 900-space garage on a 20-year triple-net lease.

  4. Arline Schoenfeldt says:

    Good Job, I am happy to find this well Pages

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