Home sales 'brisk' in Q1

Home sales in the Peoria area were brisk in the first quarter, according to the Peoria Area Association of Realtors.

The association reported Tuesday that sales were 6.7 percent higher than in the first quarter of 2014 and the median sales price also increased.

There were 831 homes sold during the first three months of the year, compared with 779 in the same period of 2014. The median sales price was up 2.9 percent, from $105,000 to $108,000, the association said. The average sales price, however, was down slightly from $135,023 in the first year of last year to $134,689.

PAAR President Phil Harvey said the association already anticipated 2015 would be a good year, but the confidence instilled by the announcement in February that Caterpillar Inc. will build its new headquarters downtown helped, as well.

“The announcement in February by Caterpillar, Inc. to maintain and expand its global headquarters in Peoria is great news for the local area economy and housing market," Harvey said. "This gives a definite confidence boost to many Peoria area residents who may have been waiting for this formal announcement before making a homebuying or selling decision.”

PAAR said home sales activity for March was up 22.5 percent from a year earlier.

“We expect moving forward into the later part of spring and summer the Peoria area will continue to report strong returns in both buyer interest and home sale activity, as long as the labor market, and overall economic outlook conditions improve,” Harvey said.

The association reported that the March 2015 Fannie Mae National Housing Survey showed that the share of consumers who believe now is a good time to sell a home reached a new survey high of 46 percent, narrowing the gap with those reporting it is a good time to buy, signaling a more balanced housing market.

“We need additional inventory so that the market can keep pace with the stepped-up demand on the part of buyers who are looking for the right properties that meet their price and feature specifications. Homes priced below $130,000 are a hot commodity and especially for those first-time buyers who are just entering the market,” said Harvey. “The spring selling season has arrived and those sellers who are looking to move up should investigate placing their home on the market with a REALTOR®. Potential sellers need to do that spring cleaning and transition their home to move-in ready status as there are many buyers out there in the serious house-hunting mood.”

For the first quarter of 2015, there were 1,069 pending home sales reported, up 5.8 percent from 1,010 pending sales reported a year ago, the association said.

Inventory of homes for sale rose slightly up just 1.6 percent to 2,208 listings in March compared to 2,173 listings on the market in March 2014. Also, March had 721 new listings, an increase of 12.8 percent increase over 639 new listings reported in March 2014.

Month’s supply of inventory dropped slightly 1.8 percent to 5.4 months from 5.5 months, indicating the demand is increasing relative to supply, the association said.

Citing a National Association of Realtors study that said housing rental prices are climbing faster that income rates, Harvey said those renters who can afford to buy a home should get into the market.

“Renters who are financially able to buy should be investigating their options now to make their move to purchase a home as a tangible financial investment in their future,” he said. “For first-time buyers there are many new downpayment mortgage options available to meet their increased demand.

“The reduction of the FHA's monthly mortgage insurance premium from (1.35 percent to 0.85 percent) is likely to be an incentive for homebuyers. Both Fannie Mae and Freddie Mac have reinstated low 3 percent down payment mortgage programs early in 2015,” said Harvey.

On March 3, the Illinois Housing Development Authority announced a new mortgage program for first-time home buyers and repeat buyers called @HomeIllinois. The program provides $5,000 in down payment assistance to buyers with a customizable 30-year fixed rate mortgage.

There are maximum income limits and maximum purchase price limits to obtain a mortgage under the program. For the Peoria and surrounding area, the maximum income limit is $69,500 for households of 2 or less and $79,925 for households of 3 or more. The maximum purchase price limits are $265,158 for a newly constructed home, $265,158 for an existing home and $339,456 for a two-unit property.
Buyers must contribute $1,000 or 1 percent of the purchase price whichever is greater and must live in the home as a primary residence. Individuals must also complete homebuyer counseling (online or in-person options available). Learn more at @HomeIllinois.

The Freddie Mac April 2015 U.S. Economic and Housing Market Outlook also reports to expect mortgage rates to drift slightly higher over the next six months, increasing more around the end of the year. The average rate on a 30-year fixed-rate mortgage for the North Central Region, according to the Federal Home Loan Mortgage Corporation (Freddie Mac) was 3.75 percent in the month of March, down from 4.36 percent in March 2014 and up from 3.68 percent in February, the association said.

"Delaying your purchase can raise the likelihood you might be paying at a higher interest rate as time moves forward into the later months of the year,” said Harvey.

E-cig use rising rapidly among teens

E-cigarette use among middle and high school students tripled from 2013 to 2014, according to data published by the Centers for Disease Control and Prevention and the U.S. Food and Drug Administration's Center for Tobacco Products.

Findings from the 2014 National Youth Tobacco Survey show that current e-cigarette use (use on at least 1 day in the past 30 days) among high school students increased from 4.5 percent in 2013 to 13.4 percent in 2014, rising from approximately 660,000 to 2 million students. Among middle school students, current e-cigarette use more than tripled from 1.1 percent in 2013 to 3.9 percent in 2014—an increase from approximately 120,000 to 450,000 students.

This is the first time since the survey started collecting data on e-cigarettes in 2011 that current e-cigarette use has surpassed current use of every other tobacco product overall, including conventional cigarettes. E-cigarettes were the most used tobacco product for non-Hispanic whites, Hispanics, and non-Hispanic other race while cigars were the most commonly used product among non-Hispanic blacks.

"We want parents to know that nicotine is dangerous for kids at any age, whether it's an e-cigarette, hookah, cigarette or cigar," said CDC DirectorTom Frieden, M.D., M.P.H. "Adolescence is a critical time for brain development. Nicotine exposure at a young age may cause lasting harm to brain development, promote addiction, and lead to sustained tobacco use."

Hookah smoking use roughly doubled for middle and high school students, while cigarette use declined among high school students and remained unchanged for middle school students. Among high school students, current hookah use rose from 5.2 percent in 2013 (about 770,000 students) to 9.4 percent in 2014 (about 1.3 million students). Among middle school students, current hookah use rose from 1.1 percent in 2013 (120,000 students) to 2.5 percent in 2014 (280,000 students).

The increases in e-cigarette and hookah use offset declines in use of more traditional products such as cigarettes and cigars.

There was no decline in overall tobacco use between 2011 and 2014. Overall rates of any tobacco product use were 24.6 percent for high school students and 7.7 percent for middle school students in 2014. In 2014, the products most commonly used by high school students were e-cigarettes (13.4 percent), hookah (9.4 percent), cigarettes (9.2 percent), cigars (8.2 percent), smokeless tobacco (5.5 percent), snus (1.9 percent) and pipes (1.5 percent). 

Use of multiple tobacco products was common; nearly half of all middle and high school students who were current tobacco users used two or more types of tobacco products. The products most commonly used by middle school students were e-cigarettes (3.9 percent), hookah (2.5 percent), cigarettes (2.5 percent), cigars (1.9 percent), smokeless tobacco (1.6 percent), and pipes (0.6 percent).

Cigarettes, cigarette tobacco, roll-your-own tobacco and smokeless tobacco are currently subject to FDA's tobacco control authority. The agency currently is finalizing the rule to bring additional tobacco products such as e-cigarettes, hookahs and some or all cigars under that same authority. Several states have passed laws establishing a minimum age for purchase of e-cigarettes or extending smoke-free laws to include e-cigarettes, both of which could help further prevent youth use and initiation. 

"In today's rapidly evolving tobacco marketplace, the surge in youth use of novel products like e-cigarettes forces us to confront the reality that the progress we have made in reducing youth cigarette smoking rates is being threatened," saidMitch Zeller, J.D., director of FDA's Center for Tobacco Products. "These staggering increases in such a short time underscore why FDA intends to regulate these additional products to protect public health."

This report concludes that further reducing youth tobacco use and initiation is achievable through regulation of the manufacturing, distribution, and marketing of tobacco products coupled with proven strategies. These strategies included funding tobacco control programs at CDC-recommended levels, increasing prices of tobacco products, implementing and enforcing comprehensive smoke-free laws, and sustaining hard-hitting media campaigns.

The report also concludes that because the use of e-cigarettes and hookahs is on the rise among high and middle school students, it is critical that comprehensive tobacco control and prevention strategies for youth focus on all tobacco products, and not just cigarettes.

The National Youth Tobacco Survey (NYTS) is a school-based, self-administered questionnaire given annually to middle and high-school students in both public and private schools. NYTS, which surveyed 22,000 students in 2014, is a nationally representative survey.

The 2012 Surgeon General's Report found that about 90 percent of all smokers first tried cigarettes as teens; and that about three of every four teen smokers continue into adulthood.To learn more about quitting and preventing children from using tobacco, visitwww.BeTobaccoFree.gov.

Photo credit: , http://the-best-electronic-cigarette-review.com

AARP Livability Index rates U.S. cities, neighborhoods

The AARP Public Policy Institute on Monday launched the AARP Livability Index, a first of its kind resource that allows people to determine how well their communities are meeting their current and future needs. 

People, policy makers and the private sector can use the Livability Index to measure how their location – down to the neighborhood level – rates across a comprehensive range of metrics that reflect user friendliness, and customize their search based on their own priorities.

In an exclusive feature, the May issue ofAARP Bulletinuses the Livability Index to identify the most livable places in the country to live for people 50-plus. TheAARP Bulletinfeature, which can be read at www.aarp.org/mostlivable2015, includes the 10 "Most Livable Neighborhoods" in the country, includingMifflin WestinMadison, Wisconsin, an eclectic community bordered by a university and state government with diverse housing and minimal traffic congestion within walking distance of parks, lakes, shopping, performing arts centers and the state capitol.

New York City'sUpper West Side is another "Most Livable Neighborhood," which despite its expensive housing offers a multi-generational and walkable community with great restaurants, world-class culture, cheap and convenient mass transit, as well as easy access to gyms andCentral Parkjogging paths. AARP Bulletincrunched the numbers to identify places where it's great – not glitzy – to live. 

"Whether you're a city planner or a person who wants to improve your life, it's important to know what you have, what you'll need, and then plan accordingly," said Dr.Debra Whitman, AARP chief public policy officer.  "Every community has areas where it can improve and the Livability Index provides the tools and resources to help people meet their needs and wants."

AARP defines a livable community as one that has affordable and appropriate housing, supportive community features and services, and adequate mobility options, which together facilitate personal independence and the engagement of residents in civic and social life. It's a place where people can get to where they want to go, living comfortably and in good health, and being able to remain active and engaged. Importantly, the elements that make a community livable are useful for people of all ages, not just Americans 50-plus.

The AARP Livability Index, available at www.aarp.org/livabilityindex, was designed to provide the best basis for comparing localities across the nation by dozens of experts at the AARP Public Policy Institute and elsewhere. Aided by a national survey of 4,500 Americans 50-plus about the aspects of their communities most important to them, these experts selected 60 factors spread across seven categories: housing, neighborhood, transportation, environment, health, engagement and opportunity. For example, the "Transportation" category includes metrics on the frequency of local transit service, traffic congestion and crashes, and household transportation costs. 

Users can also incorporate their own preferences by changing the weights of how different components are scored. Taken together, the AARP Livability Index, which uses more than 50 national sources of data, provides the clearest picture yet of how well a community meets the current and future needs of people of all ages. 

In addition to the "Most Livable Neighborhoods" list,AARP Bulletinalso reports the best cities – of all sizes – that meet a few key priorities of Americans 50-plus. For example, using the Livability Index's culture, arts and entertainment factors,AARP Bulletin"Best Cities for Date Night," which includeNashville, TN;Richmond, VA; andBrentwood, TN. 

AARP Bulletinalso released lists that include "Best Cities for Making New Friends," and "Best Cities for Staying Healthy."  Notably,San Francisco, CA;Buffalo, NY; andHoboken, NJwere listed as easiest cities to get around. Best cities for making new friends includedWashington, DC;Sioux Falls, SD; and Rapid City, SD. Finally, best cities for staying healthy includedSan Francisco, CA;Arlington, VA; and Novato, CA. 

The arrival of the AARP Livability Index will be particularly important in the coming years to address the changing needs and wants of this country's aging population. According to AARP research, nearly eight-in-10 Americans 50-plus want to stay in their current homes and communities as they age; U.S. Census figures show that the overwhelming majority of them choose to do so. The AARP Livability Index can be a powerful tool for local officials and others in adapting their cities so that residents of all ages can stay healthy and active.

"Having your doctor, a grocery store, or favorite restaurant a half-mile away doesn't mean much if you can't get there," added Whitman. "We all have a role to play in developing the public, private and personal solutions needed to keep our communities as vibrant as the people who live there."

For more information, please visit www.aarp.org.

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