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Show The National Enterprise, June 15, 1977 Real Page fifteen estate sales score record Mortgage Rates J Seal estate sales volume in the Salt Lake valley reached a record of SI 0.2 million last week, the highest weekly 10 figure so far this year, and percent higher than the previous record of $9.2 million. FHA 8.5 M VA 8.5 i According to figures compiled by the Salt Lake Board of Realtors, last week a record high average home price this year was also recorded. The board reported selling 193 homes for $9.01 million, mak- - . Average Weekly Home Price May - June 1977 $000 These rates were obtained by telephone conversation with the above institutions. The rates are correct to the best of our knowledge but their accuracy cannot be guaranteed. Source: Realtors : SL Board J The home prices reported so far in June indicate Junes average home price may far exceed the previous monthly average of $42,357 reported in May, which was the highest so far this year. j Also, last week, the board reported selling 15 multiple family dwellings for $817,904; five businesses for $240,000 and seven vacant lots for $176,900. Air traffic rises After falling by 4.14 percent in February, traffic on scheduled airlines at Salt Lake City International Airport has been rising compared to the same period last year. During April the airport reported 273,191 passengers got on and off scheduled airlines, 11.57 percent more than were reported during April, 1976. In February 291,522 passen- gers were reported, 8.56 percent more than during same month last year. (See graph.) C Total Air Traffic on scheduled airlines SLC Airport Dec - April ' a of ing an average home sales price of $46,691. That figure compares to the previous record of $44,504, established just the previous week. ? -- 290 280 270 260 250 240 230 D J F M A Source: SLC Airport Interest rates lowest in three years; lenders evaluating more risky projects Mortgage rates for apartments and commercial projects remain essentially unchanged since a month ago at the lowest level since early 1974 Citicorp Real Estate, Inc. reported in its monthly survey of benchmark mortgage rates. tenants with good credit are less stringent than a few Mortgage lenders are showing strongest interest in sections of the country where construction has been relatively light so far, and are becoming more cautious in areas, like Houston, where there has been heavy recent activity, Citicorp Real Estate president Phillip H. Kozloff Citicorp Real said. Rates in these areas of heavy recent construction slightly higher than the tional benchmarks. are na- The supply of mortgage funds has receded slightly from its high of earlier this year, Kozloff said, and lenders are expressing concern about a possible rekindling of inflaBut neither of these tion. trends is having an immediate effect on either rates or lending standards. There is still keen competition for good loans. Except in the West and Southwest, there arc too few new projects that meet lender standards to absorb the avail- able funds. Lenders are evaluating projects they would not have considered in 1975 or 1976, such as speculative office or warehouse buildings," Kozloff added. most areas, their reof quirements for shopping centers and office buildings the percentage of space that must be leased to In pre-leasi- ng months ago. on medium-size- shopping d 4 centers is 8 percent, unchanged from last 9-1- 8-7- month. But, on the whole, they continue reluctant to lend on recreational and buildings. special-purpos- e is Benchmark rates Estates end-of-Ma- y 9-3- fractionally from a month ago. Rates on 9-1- 8 - 9-1- - 8 8-3- percent, 4 fractionally down months 2 - 8-- 1 8-3- 4 from last percent. rate is available The 8 only to projects with 8-3- AAA-cred- it tenants (telephone 4 existing apartments were 18 to 14 percent lower. well-rente- 8-3- for mort- benchmark rate gages on new apartments was 8 8 percent, up 9-1- The current rate on commercial or industrial projects secured by strong tenant credit d The current benchmark rate company subsidiaries or the in financial equivalent strength). rates, in all these categories, had been a Last month's morc-than-three-ye- ar low. Fees payable to lenders when loan applications arc submitin the past ted (typically 1 three years) arc negotiable or may be waived. The benchmark rates represent Citicorp Real Estates best judgment of typical current rates for typical mortgages on new construction from the institutional investors now in the market. Rates and condition for individual loans may vary up or down from the benchmarks depending on such factors as region, location, size, delivery date, tenant credits and lease ratio, etc. terms, loan-to-val- ue |