Doing the Charleston!

Boeing Co. to bring 3800 new jobs to Charleston, SC area

October 29th, 2009 6:30 PM

In these times of high unemployment rates and everybody worrying about the loss of jobs, Charleston received great news this week! A new Boeing assembly plant will be bringing a minimum of 3800 jobs to the area within 7 years. Below is the story published in The Post and Courier newspaper today.

BOEING: Aircraft giant lands here

Aviation giant expects to break ground on new assembly plant within the next few weeks

By John McDermott , Yvonne Wenger

The Post and Courier

Thursday, October 29, 2009

North Charleston won the fiercely fought battle for a Boeing 787 aircraft assembly plant Wednesday, thrusting South Carolina onto the world stage of aircraft manufacturing.

The Boeing Co. will build the new line at its Charleston International Airport property instead of in Everett, Wash., the nation's aviation nerve center and longtime home of the company's commercial airplane business.

The decision was announced after state lawmakers wrapped up a two-day special session in which they approved a rich basket of financial incentives for Boeing valued at $450 million by state Sen. Hugh Leatherman, a Florence Republican who heads the Senate Finance Committee.

The aerospace giant would have to create at least 3,800 jobs and invest more than $750 million within seven years to take advantage of the various inducements.

Tim Coyle, vice president of Boeing Charleston, said the company plans to break ground on the 584,000-square-foot expansion near its existing factory within the next few weeks. Work on the first locally made 787 Dreamliner is expected to begin in 2011.

Posted by Barbara Newton on October 29th, 2009 6:30 PM

New listing in golf course community & yard work is done for you - what a lifestyle!

October 26th, 2009 5:53 PM

$175,000.00
15-A Par Court
Charleston, SC 29414

Beds: 2.0	Rooms: 0
Baths: 2.00	Sq. Ft.: 1260.00
Garage: 1.0	Built: 1986

Golf course community, 1 story townhouse (no stairs), overlooking beautiful lagoon, end unit, large 2BR/2BA (almost 1300 sf) with fireplace and sunroom (makes a great office if needed), plus garage - on short, dead end street.

This is a new listing in a golf course community, and the YARD WORK IS DONE FOR YOU - what a lifestyle!
I thought you might be
interested in seeing it. Visit this listing to see more photos of the property, Google Earth satellite images, and much more, by clicking on the blue link at bottom of this post.

- - - - - - - - - - - - - -

If you have questions or
require more information,
please feel free to call.

Barbara Newton
The AgentOwned Realty Co., Charleston Group
843.810.9561
www.newtonsellscharleston.com

Visit this listing by clicking Here

Posted by Barbara Newton on October 26th, 2009 5:53 PM

Market Reports for week 10/26/09 - 10/30/09 & Interest rates are inching up

October 26th, 2009 3:44 PM

Market Reports for Week 10/26/09 - 10/30/09

There are some important reports due this week.

Economic
Indicator

Release
Date and Time

Consensus
Estimate

Analysis

Case-Shiller Housing Price Index
(August)

Tues, Oct. 27,
9:00 am, et

None
Important. Many pundits are expecting home prices to flatten.

Consumer Confidence
(October)

Tues, Oct. 27,
10:00 am, et

54.3 Index
Moderately Important. Recent tepid data has tempered consumer enthusiasm.

Mortgage Applications

Wed, Oct. 28,
7:00 am, et

None
Important. Purchase and refinance activity have dropped on rising rates.

Durable Goods Orders
(September)

Wed, Oct. 28,
8:30 am, et

1.3%
(Increase)
Important. September's orders are expected to firm after August's drop in auto sales.

New Home Sales
(September)

Wed, Oct. 28,
10:00 am, et

440,000 (Annualized)
Important. Sales eased last month, but attractive prices should keep the trend positive.

Gross Domestic Product
(3 rd Quarter 2009)

Thurs, Oct. 29,
8:30 am, et

3.2% (Annualized)
Very Important. Higher-than-expected GDP would likely push interest rates higher.

Personal Income & Outlays
(September)

Fri, Oct. 30,
8:30 am, et

Income: 0.5% (Decrease)
Outlays: 0.1% (Increase)
Important. Unemployment is hurting income, but a willingness to spend hints at a more positive outlook.

Employment Cost Index
(3rd Quarter 2009)

Fri, Oct. 30,
8:30 am, et

0.4%
(Increase)
Moderately Important. Labor-driven inflation remains a non-issue.

Interest Rates are Inching Up

For awhile now, we REALTORS have been talking about the probability of rising mortgage rates. We think it is worthwhile to keep doing so, because of human nature and current economic data.

Behavioral economists have long noted persistent human foibles. One foible is to focus too much on the "here and now" and too little on the "there and tomorrow". These economists note that we tend to extrapolate the present into perpetuity, meaning many of us believe a 5% 30-year fixed-rate mortgage is the norm, and will continue to be the norm, even though it was rarely the norm during the past 40 years.

On the economic side, there really is no need for short-term rates to remain near zero. The economy is gaining pace, even if job growth is lagging: Gold is at an all-time high, oil and other commodities are rising, and the leading indicators are indicating more growth. Moreover, let us not overlook the stock market, which is surging. The move in the Dow Jones industrial average above 10,000 underscores the renewed health of the markets.

The upward movement of all these variables suggests higher interest rates. And if the first-time homebuyer's credit is extended, the pressure for mortgage rates to rise will only increase.

Information in above comments are courtesy of Melissa Breeland with Residential Mortgage of SC

Posted by Barbara Newton on October 26th, 2009 3:44 PM

Good news, and the upcoming economic reports for week 10/3/09- 10/11/09

October 5th, 2009 4:17 PM

It's nice to share good news - things are going pretty well in the economy, considering what we've been dealing with for so long now. Early last week, we learned that home prices in many metropolitan regions continue to improve. Annual returns for both the 10-city and the 20-city index showed some level of improvement for the sixth consecutive month.

We also learned that gross domestic product fell at a 0.7% annual rate instead of the 1.0% rate reported last month. This final revision easily beat the 1.2% decline most economists had expected. It is a notable improvement, considering GDP, which measures total goods and services output within the United States , fell at a 6.4% rate in the January-March period.

Following on the heels of the encouraging GDP data, the Bureau of Economic Analysis reported that personal incomes rose by 0.2% in August, the same percent increase as July. On the spending side, personal consumption increased 1.3%, the largest increase in nearly eight years, which suggests that consumers are feeling increasingly comfortable loosening the purse strings.

On Thursday, the National Association of Realtors reported that its index for pending sales of previously owned homes increased 6.4% to 103.8 in August, from 97.6 in July, posting a seventh consecutive monthly increase.

Some not so good news was released on Friday, too, but it was not a surprise. The Bureau of Labor Statistics reported that the nation lost another 263,000 jobs in September, pushing the unemployment rate up to 9.8% -- the highest since June 1983. The pundits who dug beyond the headlines lamented the fact that the unemployment rate that includes those who have given up looking for work was pushed to 11.1%, while the broadest measure, which includes people who work part time but want full-time work, reached a high of 17%.

All of us would certainly like to see the unemployment rate drop, and unemployment is absolutely an issue, but it is an issue that should not be overplayed so alarmingly. After all, most everyone expected the unemployment rate to rise to 9.8%. The rates on discouraged unemployed and underemployed workers were also equally well known. Headlines that included the words “unexpectedly accelerated” (and there were many) were incorrect, because the numbers were not unexpected.

Economic Indicator	Release Date and Time	Consensus Estimate	Analysis
Mortgage Applications	Wed, Oct. 7, 7:00 am, et	None	Important. Both purchase and refinance activity drop on recent economic concerns.
Consumer Credit (August)	Wed, Oct. 7, 3:00 pm, et	$8.9 Billion (Decrease)	Moderately Important. It is no surprise that decreased credit use positively correlates with decreased employment.
Wholesale Trade (August)	Thurs, Oct. 8, 10:00 am, et	0.9% (Decrease)	Important. The rate of decrease in trade and inventories continues to decline, suggesting increased business demand down the road.
International Trade (August)	Fri, Oct. 9, 8:30 am, et	$32 Billion (Deficit)	Moderately Important. Deficits remain at the low end of historical norms and will have little impact on exchange and interest rates.

SPEAKING OF GOOD NEWS...there's more

Mortgage rates continue to move down. Bankrate's latest survey had them averaging their lowest levels in over four months last week, with the 30-year fixed-rate mortgage averaging 5.25% and the 15-year fixed-rate mortgage averaging 4.64%. Given the recent qualms over unemployment, rates would seem likely to move down further.

That needs to be tempered by the fact that they could also move up. Last week, Dallas Federal Reserve President Richard Fisher said that the winding down of the Fed's stimulative monetary policies needed to start as soon as the economy shows signs of sustained improvement. "When it comes time to tighten monetary policy, my colleagues and I will move with an alacrity that, if needed, will be equal in speed and intensity to that with which we pursued monetary accommodation," Fisher said in a speech to the Texas Christian University Business Network of Dallas.

Until Friday, financial markets were heeding Fisher's words, with derivatives prices suggesting the fed funds rate would rise to 0.75% by mid-2010. (Since December 2008, the Fed has held the rate at a lowest ever range of 0% to 0.25%.) Granted, the odds of an immediate increase dropped after Friday's employment report, but the contract for May federal funds is still priced for a 72% chance of a 0.5% fed funds rate at the late April rate-setting meeting.

Because no one can be sure when the Fed will make the determination that the economy is "fixed", potential borrowers should also move with alacrity (definition: cheerful willingness, eagerness) to take advantage of what IS a known factor - great interest rates right now. This is particularly true for first-time homebuyers; there is no guarantee that the $8,000 credit will be extended beyond November 30.

But, RIGHT NOW, interest rates are at record lows, and if you qualify, there IS a guarantee of an nonrefundable $8000 tax credit if you close on your home by Nov. 30... you should be cheerfully eager. Why gamble with that "bird in the hand"?! Go find a home ASAP and buy it! It doesn't have to be the perfect house you've always wanted, it just needs to be nice enough to live in for 3 years (the period you have to stay in the house in order not to have to pay back the $8000). During those 3 years, if long term economic history is any predictor, you will be building the equity necessary to move you closer to buying your dream home. It's easier for the American Dream to begin coming true for you now, than it may be at any other time in your life. Go for it!

Kindest regards to you all from Barbara Newton, REALTOR®

Information contained in above commentary is courtesy of Melissa Breeland with Residential Mortgage of SC

Posted by Barbara Newton on October 5th, 2009 4:17 PM