Berkshire Hathaway HomeServices Northwest Real Estate Federal Way & Puyallup

  The FHFA announced This Week in Real Estate that the conforming loan limit in 2021 will be increased by 7.5% to $548,250. The increase marks the fifth consecutive year of increases while the increase in 2016 was the first in ten years. In addition, builder confidence remains at an all-time high as the annual rate of sales of new single-family homes in October is 41.5% above prior year. Below are a few newsworthy events from the fourth week of November that influence our business:    * New Home Sales Show a Thriving Housing Market.  The Census Bureau reports: “New Home Sales of new single-family houses in October 2020 were at a seasonally adjusted annual rate of 999,000, according to estimates released jointly today by the U.S. Census Bureau and the Department of Housing and Urban Development. This is 0.3% below the revised September rate of 1,002,000, but is 41.5% above the October 2019 estimate of 706,000.” Again from the Census report: “The seasonally adjusted estimat

  Today’s real estate market has high buyer interest and low housing inventory . With so many buyers competing for a limited number of homes, it’s more important than ever to know the ins and outs of making a confident and competitive offer. Here are five keys to success for this important stage in the homebuying process. 1. Listen to Your Real Estate Agent A recent article from Freddie Mac offers guidance on making an offer on a home in today’s market. Right off the bat, it points out how emotional this can be for buyers and why trusted professionals can help you stay focused on the most important things: “Remember to let your homebuying team guide you on your journey, not your emotions. Their support and expertise will keep you from compromising on your must-haves and future financial stability.” Your real estate professional should be your primary source for answers to the questions you have when you’re ready to make an offer. 2. Understand Your Finances Having a comp

  Around this time each year, many homeowners decide to wait until after the holidays to sell their houses. Similarly, others who already have their homes on the market remove their listings until the spring. Let’s unpack the top reasons why selling your house now, or keeping it on the market this season, is the best choice you can make. This year, buyers want to purchase homes for the holidays, and your house might be the perfect match. Here are seven great reasons not to wait to sell your house this holiday season: 1.  Buyers are active now. Mortgage rates are historically low, providing  motivation  for those who are ready to get more for their money over the life of their home loan. 2.  Purchasers who look for homes during the holidays are serious ones, and they’re  ready to buy . 3.  You can restrict the showings in your house to days and times that are most convenient for you, or even select  virtual  options. You’ll remain in control, especially in today’s  sellers’ market . 4.

There seems to be some concern that the 2020 economic downturn will lead to another foreclosure crisis like the one we experienced after the housing crash a little over a decade ago. However, there’s one major difference this time:  a robust forbearance program . During the housing crash of 2006-2008, many felt homeowners should be forced to pay their mortgages despite the economic hardships they were experiencing. There was no empathy for the challenges those households were facing. In a 2009  Wall Street Journal  article titled  Is Walking Away From Your Mortgage Immoral? , John Courson,  Chief Executive  of the  Mortgage Bankers Association , was asked to comment on those not paying their mortgage. He famously said: “What about the message they will send to their family and their kids?” Courson suggested that people unable to pay their mortgage were bad parents. What resulted from that lack of empathy? Foreclosures mounted. This time is different. There was an immediate understandin

  If you’ve been   working from home   this year, chances are you’ve been at it a little longer than you initially expected. Businesses all over the country have figured out how to operate remotely to keep their employees healthy, safe, and productive. For many, it may be carrying into next year, and possibly beyond. While the pandemic continues, Americans are re-evaluating their homes, floorplans, locations, needs, and more. Some need more space, while others need less. Whether you’re renting or own your home, if remote work is part of your future, you may be thinking about   moving , especially while today’s mortgage rates are so low. A recent study from   Upwork   notes : “Anywhere from  14 to 23 million Americans  are planning to move as a result of remote work.” To put this into perspective, last year,   6 million homes were sold in the U.S.   This means roughly   2 – 4X as many people   are considering moving now, and there’s a direct connection to their ability to work from home

  Housing Market In the second half of this year, the housing market   surged   with activity. Today, real estate experts are looking ahead to the winter season and the forecast is anything but chilly. As Lawrence Yun,   Chief Economist   for the   National Association of Realtors   (NAR),   notes : “It will be one of the best winter sales years ever.” The typical winter slowdown in the housing market is simply not on the radar. Here’s why. While today’s historically low mortgage rates are expected to remain low, they won’t be   this low   for much longer. This could be the last chance for homebuyers to secure such low rates, and they’re ready to take action. In a recent   article ,   Bankrate   explained: “If you’re looking to buy a home… expect mortgage rates to remain low into 2021 . However, the possibility of rates falling to 2.5 percent or lower has faded as the U.S. economy has rebounded.” As long as we continue to see low interest rates, we’ll see hopeful buyers on the hunt for

Today, on Veterans Day, we honor those who have served our country and thank them for their continued dedication to our nation. In the United States, there are many valuable benefits available to Veterans, including  VA home loans . For over 75 years, VA home loans have provided millions of Veterans and their families the opportunity to  purchase  their own homes. As we consider the full impact of VA home loans, it’s important to both understand these great  options  for Veterans and to share them with those we know who may be able to benefit most. For a variety of different reasons, many Veterans don’t use their VA home loan options, so being  knowledgeable  about what’s available and how they work may be a game-changer for many. Facts  about 2019 VA Home Loans  (most current data) : 624,546  home loans were guaranteed by the Veterans Administration. 306,879  VA home loans were made  without a  down payment . 2,055 grants totaling $118 million  were provided to help seriously disabled

For years, real estate has been considered the best   investment   you can make. A major reason for this is due to the net worth a household gains through homeownership. In fact, according to the   2019 Survey of Consumer Finance Data   from the   Federal Reserve,  for the average homeowner: “…a primary home accounts for 90% of the total wealth of a family in the U.S.” How do homeowners gain wealth? Most large purchases, like cars and appliances, depreciate in value as they age, so it’s understandable to question how owning a home can  increase  wealth over time. In a simple equation, the  National Association of Realtors  (NAR)  explains  how the combination of paying your mortgage and home price appreciation grow overall wealth: Principal Payments + Price Appreciation Gains = Housing Wealth Gain As home values increase and you make payments toward your home loan, you’ll gain wealth through  equity . The same article from NAR also addresses how wealth gains tend to play out over time:

According to ATTOM Data Solutions This Week in Real Estate more than one in four homes were considered “equity rich” in the third quarter as U.S. home prices in September experienced the fastest annual acceleration since May 2014. Below are a few newsworthy events from the first week of November that influence our business:    * U.S. Home Price Appreciation Hits 6-Year High in September.   Based on CoreLogic's latest Home Price Index, U.S. home prices increased 6.7% in September 2020, compared with September 2019, marking the fastest annual acceleration since May 2014. "Housing continues to be a bright spot during an otherwise challenging economic time for many U.S. households," said Frank Martell, president and CEO of CoreLogic.  Home-purchase demand maintained pace in the late summer compared to previous years, as record-low mortgage rates continue to motivate prospective homebuyers, including first-time buyers and homeowners looking to trade-up or invest in a