Sunday, June 19, 2016
Tuesday, June 14, 2016
$284,900, 5 bedrooms, 3 baths, new carpet, HUGE laundry room, granite countertops, separate basement entrance, gorgeous landscaping, quiet neighborhood! MLS# 1368342. Call Kari Dye, Realtor to
see it today!
see it today!
Is it better to rent or buy a home in today’s housing market?
Friday, June 10, 2016
Wednesday, June 8, 2016
Tuesday, May 24, 2016
Friday, May 20, 2016
Every four years people question what effect the Presidential election might have on the national housing market. Let’s take a look at what is currently taking place. The New York Times ran an article earlier this week where they explained:
“A growing body of research shows that during presidential election years — particularly ones like this when there is such uncertainty about the nation’s future — industry becomes almost paralyzed. A look at the last several dozen election cycles shows that during the final year of a presidential term, big corporate investments are routinely postponed, and big deals are put on the back burner.We are seeing this take form in the latest economic numbers. However, will this lead to a slowdown in the housing market? Not according to Fannie Mae, Freddie Mac or the National Association of Realtors.
The research is even more persuasive on the final year of an eight-year presidential term, when a new candidate inevitably will become president.”
The Impact on Housing Throughout 2016Let’s look at what has happened and what is projected to happen by these three major entities.
National Association of Realtors
“In spite of deficient supply levels, stock market volatility and the paltry economic growth seen so far this year, the housing market did show resilience and had its best first quarter of existing-sales since 2007.”
“Recent data darkened the growth outlook for the first quarter of 2016. However, despite the disappointing economic reports, we still forecast housing to maintain its momentum in 2016.”
“Consumers and businesses showed caution at the end of the first quarter…(but) Home sales are expected to pick up heading into the spring season amid the backdrop of declining mortgage rates, rising pending home sales and purchase mortgage applications, and continued easing of lending standards on residential mortgage loans.”
Bottom LineEven during this election year, the desire to achieve the American Dream is greater than the fear of uncertainty of the next presidency.
~by The KCM Crew on May 19, 2016
Wednesday, May 11, 2016
Saturday, May 7, 2016
Monday, May 2, 2016
In today’s market, where demand is outpacing supply in many regions of the country, pricing a house is one of the biggest challenges real estate professionals face. Sellers often want to price their home higher than recommended, and many agents go along with the idea to keep their clients happy. However, the best agents realize that telling the homeowner the truth is more important than getting the seller to like them.
There is no “later.”Sellers sometimes think, “If the home doesn’t sell for this price, I can always lower it later.” However, research proves that homes that experience a listing price reduction sit on the market longer, ultimately selling for less than similar homes.
John Knight, recipient of the University Distinguished Faculty Award from the Eberhardt School of Business at the University of the Pacific, actually did research on the cost (in both time and money) to a seller who priced high at the beginning and then lowered their price. His article, Listing Price, Time on Market and Ultimate Selling Price, published in Real Estate Economics revealed:
“Homes that underwent a price revision sold for less, and the greater the revision, the lower the selling price. Also, the longer the home remains on the market, the lower its ultimate selling price.”Additionally, the “I’ll lower the price later” approach can paint a negative image in buyers’ minds. Each time a price reduction occurs, buyers can naturally think, “Something must be wrong with that house.” Then when a buyer does make an offer, they low-ball the price because they see the seller as “highly motivated.” Pricing it right from the start eliminates these challenges.
Don’t build “negotiation room” into the price.Many sellers say that they want to price their home high in order to have “negotiation room.” But, what this actually does is lower the number of potential buyers that see the house. And we know that limiting demand like this will negatively impact the sales price of the house.
Not sure about this? Think of it this way: when a buyer is looking for a home online (as they are doing more and more often), they put in their desired price range. If your seller is looking to sell their house for $400,000, but lists it at $425,000 to build in “negotiation room,” any potential buyers that search in the $350k-$400k range won’t even know your listing is available, let alone come see it!
One great way to see this is with the chart below. The higher you price your home over its market value, the less potential buyers will actually see your home when searching.
A better strategy would be to price it properly from the beginning and bring in multiple offers. This forces these buyers to compete against each other for the “right” to purchase your house.
Look at it this way: if you only receive one offer, you are set up in an adversarial position against the prospective buyer. If, however, you have multiple offers, you have two or more buyers fighting to please you. Which will result in a better selling situation?
The Price is RightGreat pricing comes down to truly understanding the real estate dynamics in your neighborhood. Look for an agent that will take the time to simply and effectively explain what is happening in the housing market and how it applies to your home. You need an agent that will tell you what you need to know rather than what you want to hear. This will put you in the best possible position.
by The KCM Crew on April 25, 2016
Friday, April 22, 2016
Thursday, April 21, 2016
In a seller's market, home buyers need to be willing and able to act fast to snag the home they want. This spring, areas across the country are facing a limited number of homes for sale. Realtor.com® offers up a cheat sheet for surviving a seller's market.
- Be on call. "If you're only looking now and then when it's convenient, you're probably wasting your time," says James Malmberg, a real estate professional in Sherman Oaks, Calif. He suggests treating house hunting like job hunting. If someone calls with a lead, follow up promptly to gauge whether it could be a good fit and don't linger.
- Bring the paperwork. To be taken seriously, buyers would be wise to get a mortgage pre-approval letter as well as a "proof of funds" form from their bank to show they have enough to cover a down payment. They'll be able to act quicker when they do find the right house.
- Limit the contingencies. In a seller's market, buyers may need to drop some of the contingencies to score the house. Sellers prefer the fewest number of hurdles to closing as possible. If your buyers come in with several contingencies — such as "if" they secure financing — the sellers are more inclined to bypass their offer and take another with less hassle. Also, "don't waste your time lowballing a seller," advises Sean Kelley, a real estate professional with Howard Hannah in Pittsburgh, Pa. "Always put in an aggressive offer."
- Cast a wide net. Search for homes outside prime locations if faced with limited or high-priced choices. Buyers need to carefully consider what they're willing to compromise on. "Sometimes properties sit, even in a seller's market, because of a problem that is scaring other buyers away," such as some renovation work that may need to be done, Malmberg says. Those "flaws," however, might not be a big deal to your buyers. "Finding a house this way can also cut down on the amount of competition you will face," Malmberg adds.
Source: “Surviving a Seller’s Market: The Ultimate Cheat Sheet,” realtor.com® (April 7, 2016)
Friday, April 15, 2016
Friday, April 1, 2016
Wednesday, March 30, 2016
More than 500 residential architects offered their insights into what will be the most significant home design elements over the next 10 years. From the American Institute of Architects Home Design Trends Survey, here are the 10 residential design trends to watch for over the next decade:
Over the next 10 years, expect functionality, accessibility, and sustainability to be major themes guiding the look of homes. That could include everything from embracing healthier building materials and furnishings to homes that are designed to be more resilient to bad weather.
1. Smarter homes: Technology will become more prevalent in the operation of homes, including via automated controls for temperature, security, and lighting.
2. Healthier homes: Consumers are becoming more aware of environmental health issues that will likely lead to greater use of low or no volatile organic compounds of paint and composite wood, natural fiber upholstery, carpets without polyvinyl chloride backing, and air purification systems.
3. Disaster-proof: Home owners will call for homes that can hold up better against natural disasters, which may mean elevating residences, windows with impact glazing, dedicated safe rooms, and backup power generation.
4. Energy efficiency: Sustainable design elements that increase a home’s energy efficiency — such as solar panels, water reclamation systems, and tankless water heaters –- will likely grow in demand.
5. Age-in-place: Universal design elements will grow in popularity to help an aging population stay in their homes longer. These design elements will likely include wider hallways, added handrails, and one-level living spaces.
6. All about the kitchen: Kitchens will be the focal point of the home, fueled by open design concepts that allow it to stay front and center.
7. Outdoor living spaces: More home owners will look to invest in sprucing up their outdoor living spaces, beyond just outdoor grills or decks. Instead, look for more home owners adding outdoor kitchens and fully furnished outdoor rooms.
8. Home offices: Home owners, due to changing work patterns and a growth in telecommuting, will likely place a greater emphasis on the need for a space devoted to a home office.
9. Smaller but better designed homes: As home owners demand to be closer to jobs and public transportation, architects will have to build in more accessible locations that are typically more pricey. This will likely bring about smaller but more innovative designs and more personalized design features.
10. Urban influence: With growing calls for an urban lifestyle from younger adults, architects will adopt some of these urban characteristics into their projects, such as with a focus on higher-density development that offer more amenities to residents and offer closer to commercial.
By Melissa Dittmann Tracey, REALTOR® Magazine