Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!americast.com!usa-post Newsgroups: usa-today.real From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: real Fri, May 15 1992 Date: Fri, 15 May 92 05:12:19 EDT Message-ID: 05-15 0000 DECISIONLINE: Real Estate USA TODAY Update May 15-17, 1992 Source: USA TODAY:Gannett National Information Network OFFICE VACANCIES KEEP CLIMBING: Office vacancies in major downtown areas kept climbing during the first three months. Commercial brokerage firm Cushman & Wakefield reports the average downtown vacancy rate for major cities rose to 19.3% from 18.8% at the end of last year. A continued flood of new buildings and persistently sluggish demand is hurting the market, says CEO Arthur Mirante II. NEW YORK BUMPED FROM TOP: For the first time in memory, New York has not topped the list of most expensive office rates, according to brokerage firm Cushman & Wakefield. The spoiler: Washington, D.C., at $38.22 per square foot, ahead of NYC's $37.56. Vacancy rates did decline in New York downtown as well as in Boston, San Francisco and San Antonio. Detroit saw vacancy rates jump to 18.3% from 14.2%. MLS RULES CHANGING: The National Association of Realtors has adopted several rule changes that should make it easier for home buyers to find a broker who will represent them. Changes have long been sought by the increasing number of real-estate agents who specialize in representing buyers. Existing rules, they say, make it easy for traditional brokers to exclude them from potential deals. (For more, see special Brokers package below.) O&Y MAY FILE FOR PROTECTION: Global real-estate firm Olympia & York Developments is expected to file for bankruptcy court protection in Canada and perhaps Friday in the USA, according to wire service reports. O&Y is the largest landlord in Manhattan and Toronto and developer of the massive Canary Wharf project in London. Financial markets could be roiled by such a filing. BEACH HOMES ARE AT RISK: The East Coast beaches, battered by fierce winds and rains last fall and winter, are bouncing back. But property still is hard up. "For your average beachgoer (to Long Island, N.Y.'s southern shore, including The Hamptons) it's not a terrific problem, but for property owners it's a different story," says coastal geologist Aram Terchunian. The next storm could wipe out beachfront homes. KEMP, HISPANIC LEADERS MEET: The leaders of more than 35 Hispanic housing groups announced in Washington Thursday the formation of a national organization to represent the housing, community and economic development concerns of the country's 22 million Latinos. Secretary of Housing and Urban Development Jack Kemp met with the leaders and promised to respond to a list of eight recommendations by Monday afternoon. FIXED-RATE MORTGAGES STABLE: The rates for 30-year fixed-rate mortgages from the Federal Home Loan Mortgage Corp. were listed at 8.75% Thursday, unchanged from Wednesday and down from 8.84% the week before. They were at 9.47% a year ago. For 30-year adjustable-rate mortgages, the rates were 6.02%, unchanged from Wednesday but down from 6.10% the week before. A year ago they were at 7.23%. ARM INDEXES UNCHANGED: The one-year Treasury ARM index rates were listed at 4.25% Thursday, unchanged from Wednesday but down from 4.34% the week before. A year ago they were at 6.13%. For the 11th District ARM index, rates were at 6.511%, unchanged from Wednesday and unchanged also from the week before. A year ago they were at 7.654%. T-BONDS INCREASE: Treasury security rates for the 30-year bonds showed an increase Thursday, listing at 7.86%. That's up 0.02 from rates of 7.84% Tuesday but down 0.10 from rates of 7.96% the week before. A year ago T-bonds were at 8.33%. SPECIAL PACKAGE ON BROKERS: RULES TO AID BUYER BROKERS: The National Association of Realtors has adopted rule changes to aid buyer brokers. The major complaint that brokers representing buyers have is that the rules for Multiple Listing Services, the computer networks that list properties for sale, assume that brokers are acting as agents for sellers. That means brokers must inform sellers of any information a buyer provides. CAN'T USE MLS AS BUYER BROKER: If a Realtor has to provide a seller with any information a buyer gives him or her, that means the agent must pass along a buyer's willingness to pay more - and thus can't act as a buyer broker. But if brokers refuse to act as seller agent, many listing brokers won't split the sales commission. That's limited the number of buyer brokers, even though many consumers say they want them. SOME REFORMS TO BE CONSIDERED: The reforms, recommended by an NAR task force, require listing brokers to cooperate with buyer brokers and offer them the same commission split they would offer a seller's agent. That change was approved by NAR leaders last month. Other revisions, such as a requirement that brokers disclose in advance to buyers which party they represent, will be considered at the NAR convention this fall. (End of package.) Real Estate Editor: Beth Mann. (1-919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution violates federal law. This article is copyright 1992 Gannett News Service. Redistribution to other sites is not permitted except by arrangement with American Cybercasting Corporation. For more information, send-email to usa@AmeriCast.COM