Published: December 8, 1998

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"Beazer Homes Announces Closing of Trafalgar House Acquisition"
PRNewswire (12/07/98)

Beazer Homes USA Inc. has completed its acquisition of Trafalgar House Property Inc. for about $90 million. The Atlanta-based single-family homebuilder has picked up a company that generated $210 million on more than 1,000 home closings in 1998. Trafalgar House is the fourth largest homebuilder in the Washington, D.C., metropolitan area, and it is operating in Maryland, Virginia, and New Jersey as well. The U.S. homebuilding operations of Kvaerner PLC, Trafalgar House, will give Beazer a stronger presence in these states. Beazer is also active in Florida, Georgia, Nevada, Arizona, California, the Carolinas, Tennessee, and Texas.

"U.S. Home Values Rose in 3d Quarter"
New York Times (12/08/98) P. C4

Home values in the United States increased 4.9 percent in the third quarter of 1998, compared to a 4.2 percent rise in the second quarter, according to Freddie Mac. The increase was attributed to low mortgage rates, which fell to 6.71 percent for 30-year, fixed-rate mortgages last week, and to a strong economy and labor market. Home values are based on the conventional mortgage home price index, which measures sale prices and appraisal values for refinanced homes, according to Amy Crews Cutts, economist for Freddie Mac. Home values rose the most in New England, where they were up 8.2 percent.

"Anybody Home? You Bet"
Business Week--Enterprise (12/07/98) P. Ent. 2

Research by PSI Global indicates that 49 percent of all entrepreneurs with sales between $50,000 and $500,000 annually base their business at home. Additionally, home-based businesses and office-based businesses are more similar than previously thought, with the main difference being in the growth attitudes among owners.

"In Loudoun, Town Houses in Disguise"
Washington Post (12/06/98) P. A1; Blum, Justin

Zoning officials in Loudoun County, Va., are attempting to resolve a bizarre problem over the definition of townhouses. In the county's Cascades community of Cypress Point, developer KSI Services is almost finished with the construction of 50 homes which had been designated as town houses. But on closer examination, the county found that the homes appeared detached, but were classified as town houses because they are linked underground through adjoining wine cellars and wing walls from the foundation of each home. The homes have been selling for around $500,000. Loudoun County officials are contending that KSI used its unique approach in order to avoid paying higher fees and to be able to build homes with more floor space, which would have been limited if the homes had been classified as detached. The zoning for the town houses was approved at a time when county officials were dealing with a rapid construction pace, which allowed for quick approval. KSI President Richard W. Hausler says the company simply came up with a unique design approach. He also said that if KSI had waited for permission, it wouldn't have been able to build larger homes, and it would have had to deal with high fees. County officials are currently reviewing earlier rulings, and they say there is a chance that KSI or the individual homeowners will have to pay penalties if the homes aren't revised.

"Buying Into the American Dream"
Washington Post (12/05/98) P. E1; Lelen, Kenneth

In recent years, the Washington, D.C., area has seen a significant increase in its foreign population, especially among immigrants of Hispanic, Asian, and African descent. This growth has had a significant effect on the local housing market. Immigrants make up one-sixth of the population in the Washington area, account for 17 percent of homeowners, and represented 42 percent of all first-time homebuyers between 1994 and 1997, according to the Immigration and Naturalization Services and the Harvard University Joint Center for Housing Studies. Many of these immigrant buyers are attracted to home ownership for similar reasons as natural-born citizens, but because they have unique backgrounds, their needs and values differ. For one thing, many immigrants search for new homes rather than existing homes because they don't require as much maintenance. Fortunately, in Washington a growing number of real estate agents are becoming more knowledgeable of the needs of foreign home buyers, including learning new languages and studying the cultures of different countries. These agents are responsible for helping immigrants understand the local market. Most immigrants will work hard to learn everything they can about the market and their mortgage options before making a decision to buy a home.

"Azola President of Maryland Home Builders"
Baltimore Sun (12/06/98) P. 1N

At the 79th annual banquet of the Home Builders Association of Maryland, Martin Azola was inducted as association president. Succeeding Howard Saslow of Encore Homes, Azola has been a major figure in the local development, design, construction, and property management industries throughout the past 25 years. In addition to introducing Azola, the event also focused on the induction of other association leaders. John Bowers, Jr. of Nottingham Properties was honored at the banquet as the HBAM's 1998 Builder of the Year.

"Senior Housing Market Set for Boom, Builders are Told"
Baltimore Sun (12/05/98) P. 10C; Nusgart, Robert

At the 1999 Real Estate Forecast Conference, builders in the Washington and Baltimore areas were urged to anticipate a significant and growing demand in the senior adult housing market. Sponsored by the Home Builders Association of Maryland, the conference featured several industry professionals who offered advice and insight into future housing trends. Among industry projections, officials identified expanding markets linked to maturing immigrant populations and single women, and noted the "echo boom," 20-something generation's expanding interest in homes that have been prepared for future technology. Nonetheless, the strongest demand for new homes is expected to be tied to senior buyers. According to Timothy Sullivan of the Meyers Group, the U.S. population age 85 and older is expected to increase 39 percent by 2000 and grow another 33 percent by 2010. Of these older Americans, "about 92 to 95 percent...indicate that [they] want to age in place," notes Sullivan. Yet, the region "is very under-served for the senior marketplace," he warned.

"Fannie Mae Offers Financing for Apartments"
Washington Times--Home Guide (12/04/98) P. F10

Fannie Mae has announced plans to begin offering mortgage financing to owners of affordable apartment properties to pay for needed repairs that will keep their aging complexes competitive. The new loans are exclusive for those owners of multifamily properties with five or more units.

"Countrywide's Web Site Offers Homeowners Cash in 10 Days"
PRNewswire (12/04/98)

Countrywide Home Loans Inc. is taking advantage of the latest technology to give consumers the opportunity to receive cash in less than two weeks for home remodeling projects or debt consolidation. "We have taken our automated underwriting engine, automated settlement service process and our automated appraisal system and merged them into the Countrywide Streamlined Loan Application," said Cameron King, executive vice president of the company's Electronic Commerce Division. The 10-Day HELOC product is being made available at the Web site of the largest independent mortgage lender in the nation to consumers who have at least $15,000 in equity and good credit. The 10-Day HELOC will have interest rates lower than most consumer credit cards, and the interest may be tax deductible.

"Pardoe Real Estate Group Breaks Language Barriers"
Washington Times--Home Guide (12/04/98) P. F10

The Pardoe Real Estate Group now offers home buying and selling information in 18 languages, and its Pardoe & Graham office in McLean, Va., has released a linguist directory to make it easier for agents to work with international customers. Information is available at 703/518-6157.

"Vote on Rezoning for 18-Acre Housing Development Delayed"
St. Louis Post-Dispatch (12/03/98) P. N1; Hill, Kathleen

The Pentrex Development Co. recently created a plan to develop single-family detached and attached homes in a section of Bridgeton, outside of St. Louis. The 28 detached homes would be priced around $180,000, while the 43 attached homes would be priced at $130,000 and higher and would be clustered in 15 buildings. But local public officials, including Public Works Director Richard Houchin, say the area may not be able to accommodate the increased traffic from the development. The city council will delay a vote on rezoning until all members are present.

"House of the Week: Alabama Getaway"
Wall Street Journal (11/27/98) P. W6; Bensinger, Ken

The Wall Street Journal chose the Georgia-style mansion of Donald Ray Pate Jr. as its "House of the Week," for the week ending Nov. 27, 1998. The unusually large home of 16,000 square feet on 152 acres is located in rural Wilsonville, Ala., which is about 30 miles from Birmingham. Pate is asking for $5.4 million for the 8 bedroom, 5 bathroom home that features a two-room gym, a recreation room with soda fountain, "men's lounge," a tennis court, and a swimming pool. Located about 35 miles from Birmingham International Airport, the residence is the second home of Pate. His primary residence is in Destin, Fla.

"Real Estate, Internet Providers Link Web Sites"
Real Estate Finance Today (11/16/98) Vol. 15, No. 26; P. 6; Doster, Laura Bowen

Finet Holdings Corp. and Resicom Analytics announced they have linked their Web sites in order to allow homebuyers to have access to mortgage information. Through the program, mortgage borrowers who access Finet's interloan.com or iqualify.com can also link to resicom.com. Iqualify.com allows borrowers to conduct the entire mortgage application process online, and interloan.com enables consumers to study every step in the mortgage process. Site visitors can then connect to Resicom, where they can research property values across the nation. At this site, users enter their price information and the location where they are looking, and the system finds neighborhoods with high rates of home value appreciation. This approach of combining services could soon become more common, as only 10 percent of online mortgage originations by 2005 will be unassisted, according to Marty Lash, vice president of marketing at Finet. Realtors who currently use the system say it helps satisfy customers by giving them more access to information, notes Alicia Centeno, vice president of marketing for Resicom.

"Down With Doorknobs"
Today's Buyer Rep (11/98) Vol. 7, No. 11; P. 4

U.S. residents over 65 will account for 13 percent of the population by 2030, and studies show that many of these seniors have expressed an interest in remaining in their current homes or communities for the rest of their lives. To help this trend, homebuilders have started designing their homes using universal concepts. This approach allows builders to acknowledge that not all homes should be designed for healthy and fit people. An example of this trend is the use of door levers rather than knobs, which can sometimes be hard to turn. Most of these universal design elements won't differ too much from today's home features.

"Home Repair Tips On Line"
Consumers' Research (11/98) Vol. 81, No. 11; P. 2; Blake, Kevin

AllAboutHome (www.allabouthome.com) is one of many Web sites that homeowners can use to learn more about home repairs. At this site, the main "Home Tour" page breaks down several rooms in the home. There are sections on the bathroom, including cleaning and plumbing issues, as well as "Household Cleaning Tips," which offers many hints on cleaning and repairs. The site also includes tips on how to detect and repair household appliances, and it discusses repair estimates.

"Priceline.Com and LendingTree Empower Mortgage Seekers"
Future Banker (12/98) Vol. 2, No. 12; P. 87; Kelly, C.

Competition between online mortgage lenders is expected to intensify following the completion of an alliance between Priceline.com and LendingTree. Scheduled to debut in December, the innovative self-service system will enable consumers to conduct research, identify their preferred interest rate and mortgage terms, and connect with appropriate lenders. It will utilize Priceline.com's e-commerce system to collect consumer information and filtering software from LendingTree that will enable lenders to screen out ineligible borrowers. Already this year, LendingTree has signed up 16 participating lenders. Interested borrowers who submit an online form can expect to receive multiple loan offers within 48 hours. However, the service requests a $200 good-faith payment by credit card in order to ensure the seriousness of applicants. Industry analysts, including Jupiter Communications analyst Nicole Vanderbilt, are optimistic about the new service since "demand is out of control." In the third quarter of this year, LendingTree recorded $1 billion worth of demand and an additional $2 million within the first month of the fourth quarter.