Posts

Showing posts from May, 2022

What Does the Rest of the Year Hold for the Housing Market?

Image
If you’re thinking of  buying  or  selling  a house, you’re at an exciting decision point. And anytime you make a big decision like that, one thing you should always consider is timing. So, what does the rest of the year hold for the housing market? Here’s what experts have to say. The Number of Homes Available for Sale Is Likely To Grow There are early signs  housing inventory  is starting to grow and experts say that should continue in the months ahead.  According  to Danielle Hale, Chief Economist at  realtor.com : “The gap between this year’s homes for sale and last year’s is one-fifth the size that it was at the beginning of the year. The catch up is likely to  continue,  . . .  This growth will mean more options for shoppers than they’ve had in a while, even though inventory continues to lag pre-pandemic normal .” As a buyer , having more options is welcome news. Just remember, housing supply is still low, so be ready to act fast and put in your  best offer  up front. As a seller

This Week in Real Estate

Good Morning! The summer selling season nears as inventory grows while the pace of sales return to pre-COVID conditions. According to Realtor.com This Week in Real Estate the supply of homes for sale jumped 9% last week compared to the same time period a year ago. Below are a few newsworthy events from the fourth week of May that influence our business:  * Home Listings Suddenly Jump As Sellers Worry They May Miss Out On The Red-Hot Housing Market. Sharply higher mortgage rates have caused a sudden pullback in home sales, and now sellers are rushing to get in before the red-hot market cools off dramatically. The supply of homes for sale jumped 9% last week compared with the same period a year ago, according to Realtor.com. That is the biggest annual gain the company has recorded since it began tracking the metric in 2017. Sellers clearly see the market softening. Pending home sales, a measure of signed contracts on existing homes, dropped nearly 4% in April from March. They were d

The One Thing Every Homeowner Needs To Know About a Recession

Image
A recession does not equal a housing crisis. That’s the one thing that every homeowner today needs to know. Everywhere you look, experts are warning we could be heading toward a recession, and if true, an economic slowdown doesn’t mean homes will lose value. The  National Bureau of Economic Research  (NBER)  defines  a recession this way: “A recession is a significant decline in economic activity spread across the economy, normally visible in production, employment, and other indicators. A recession begins when the economy reaches a peak of economic activity and ends when the economy reaches its trough. Between trough and peak, the economy is in an expansion.” To help show that home prices don’t fall every time there’s a recession, take a look at the historical data. There have been six recessions in this country over the past four decades. As the graph below shows, looking at the recessions going all the way back to the 1980s, home prices appreciated four times and depreciated only tw

How Homeownership Can Bring You Joy

Image
If you’re trying to decide whether to rent or buy a home, you’re probably weighing a few different factors. The  financial benefits  of homeownership might be one of the reasons you want to make a purchase if you’re a renter, but the decision can also be motivated by having a place that’s uniquely your own. If you want to express yourself by upgrading and customizing your living space but are feeling held back by your rental agreement,  it might be time to consider the perks of owning your home. A Little Change Can Bring Lots of Joy There’s a significant level of pride that comes from  owning a home . That’s because it’s a space that truly belongs to you. A  recent report  from the  National Association of Realtors  (NAR) shows making updates or remodeling your home can help you feel more at ease and comfortable in your living space. NAR measures this with a  Joy Score  that indicates how much happiness specific home upgrades bring. According to NAR: “ There were numerous interior proj

Why Rising Mortgage Rates Push Buyers off the Fence

Image
If you’re thinking about  buying a home , you’ve probably heard  mortgage rates  are rising and have wondered what that means for you. Since mortgage rates have increased over  two percentage points  this year, it’s natural to think about how this will impact your homeownership plans. Today, buyers are reacting in one of two ways: they’re either making the decision to buy now before rates climb higher or they’re waiting it out in hopes rates will fall. Let’s look at some context that can help you understand why so many buyers are jumping off the fence and into action rather than waiting to buy. A Look Back: How the Current Mortgage Rate Compares to Historical Data One factor that could help you make your decision to buy now is how today’s mortgage rates compare to historical data. While higher than the average 30-year fixed rate in recent years, the latest rates are still comparatively low when you look at the bigger picture of where rates have been since 1971 ( see graph below ): Mark

This Week in Real Estate

Good Morning! ATTOM released its Q1 2022 Home Equity Report This Week in Real Estate finding 44.9 percent of mortgaged residential properties are considered equity-rich, up from 31.9 percent in the first quarter of 2021. According to OJO Labs, 52 percent of homes in the top 50 metro areas sold for above the list price in April, up from 42 percent a year earlier. Below are a few newsworthy events from the second week of May that influence our business:  * 52% of Homes Sold Above List Price in April. Competition abounds in the real estate market, and buyers are continuing to bid up home prices this spring. Fifty-two percent of homes sold above the list price in April, up from 45% in March and from 42% a year earlier, according to OJO Labs, a real estate technology company. Seattle tied for the fourth most-competitive metro area with 66% of homes sold above the list price and at an average of $58,275.20 higher (2 nd highest). Portland, Washington D.C., Salt Lake City, Richmond, and

If You’re a Homeowner, You Have Incredible Leverage When You Sell Today

Image
In today’s  housing market , homeowners have a great opportunity to sell their house and receive the best terms for their personal situation. That’s because there’s a  limited number  of homes for sale, which is creating competition among buyers. Right now, homebuyers want three things: To be the  winning bid  on their dream home To buy before  mortgage rates  rise more To buy before  home prices  go even higher These buyer needs give you an amazing advantage – also known as leverage – when you sell. What Does This Mean for Sellers Today? You might already realize this enables you to sell at a  good price , but you’re also in a great position to get the best terms to suit your needs. According to the latest  Realtors Confidence Index  from the  National Association of Realtors  (NAR), the  average home sold is receiving 4.8 offers . That’s why there’s a good chance you’ll get offers from multiple buyers who are willing to compete for your house. When you do, you should look closely at

Should You Update Your House Before Selling? Ask a Real Estate Professional. [INFOGRAPHIC]

Image
Some Highlights If you’re deciding whether you should make  updates  before you sell your house, lean on your trusted real estate advisor to be  your guide . In today’s  sellers’ market , buyers have  limited options  and may be more willing to take on repairs  themselves . If you’re thinking about selling your house, connect with a real estate professional so you have  expert advice  that’s customized to your home and local area.