Berkshire Hathaway HomeServices Northwest Real Estate Federal Way & Puyallup

here are many things that factor into the decision to buy a home. New  research  from the  Urban Institute suggests that one of those things may be inherited from your parents. Children are More Likely to Own a Home if Their Parents Did According to an analysis of millennial homeowners, the homeownership rate of those whose parents rent their homes is 14.4%,  while the rate amongst millennials whose parents are homeowners is 31.7%! “A young adult’s odds of homeownership are highly correlated with their parent’s homeownership. Without controlling for such factors as age, income, education, marital status, and race or ethnicity, there is a 17 percentage-point gap between the homeownership rate for young adults whose parents are renters and young adults whose parents are homeowners.” The study also revealed that as a parent’s net worth increases, so does the likelihood that their child will own a home. These two findings are not surprising as we know from ...

Jobs and interest rates have always been two key indicators in determining current real estate market conditions as well as forecasting the future market. Equally important is consumer confidence. The Conference Board released  This Week in Real Estate  it's August index, which rose to its highest level since October 2000.  Below are a few highlights from the last  week of August that influence our business :     *  Consumer Confidence Pops in August to Highest Level Since October 2000 .   Consumer confidence rose in August to its highest level since October 2000, building on July's solid result.  The Conference Board's index climbed to 133.4 in August.  August saw that optimism increase among consumers, the Conference Board found, with the percentage of consumers expecting business conditions will get better over the next six months increasing to 24.3 percent from 22.9 percent.  "These hist...

There are many benefits to homeownership, but one of the top benefits is protecting yourself from rising rents by locking in your housing cost for the life of your mortgage. Don’t Become Trapped   A recent  article  by  Apartment List  addressed rising rents by stating: “ Our national rent index is up 0.1 percent month-over-month, marking the sixth straight month of increasing rents.  Year-over-year growth now stands at 1.2 percent .” The article continues, explaining that: “ Rents increased month-over-month in 62 of the nation’s 100 largest cities, down significantly from the 85 cities that saw rents rise last month. That said,  rents are still up year-over-year in most of the nation’s largest markets — 77 of the 100 largest cities have seen rents increase over the past twelve months .” Additionally,  Urban Land Magazine  explained  that, “ Currently,  nearly half (47 percent) of renter households are cost burd...

Here are five reasons why listing your home for sale this fall makes sense. 1. Demand Is Strong The latest  Buyer Traffic Report   from the  National Association of Realtors  (NAR) shows that buyer demand remains very strong throughout the vast majority of the country. These buyers are ready, willing and able to purchase…and are in the market right now! In fact, more often than not, multiple buyers end up  competing  with each other to buy the same homes. Take advantage of the buyer activity currently in the market. 2. There Is Less Competition Now   Housing  inventory  is still under the 6-month supply needed for a normal housing market. This means that, in the majority of the country, there are  not enough  homes for sale to satisfy the number of buyers in the market. This is good news for homeowners who have gained equity as their home values have increased. However, additional inventory could be coming to the market...

Some Highlights: Hiring a real estate professional to help you buy your dream home or sell your current house is one of the most ‘educated’ decisions you can make! A real estate professional has the experience needed to help you through the entire process. Make sure that you hire someone who knows current market conditions and can simply and effectively explain them to you and your family! AUGUST 31, 2018 / BY  THE KCM CREW

The latest  Existing Home Sales Report  issued by the  National Association of Realtors  (NAR) revealed that home sales have decreased for four consecutive months and are at their slowest pace in over two years. This has some industry leaders puzzled considering the fact that the economy is strengthening, unemployment is down, and wages are beginning to rise. This begs the question:  “Where are the buyers?” Actually, agents in the field of most communities are still seeing strong desire from prospective purchasers. They have a list of potential buyers ready to go if the right houses come on the market and they claim it is not a shortage of demand, but is instead a shortage of inventory that is causing the market to soften. Why is there a shortage of inventory? You only need to look at the graph below to understand: New construction sales over the last ten years are far below historic numbers from 1995-2002. A recent  industry report  loo...

There are many conflicting headlines when it comes to describing today’s real estate market. Some are making comparisons to the market we experienced 10 years ago and are starting to believe that we may be doomed to repeat ourselves. Others are just plain wrong when it comes to what it takes to qualify for a mortgage. Today, we want to try and clear the air by shedding some light on what’s causing some of these headlines, as well as what’s truly going on. Myth #1: We Are Headed for Another Housing Bubble Home prices have appreciated year-over-year for the last  76 straight months . Many areas of the country are at or near their peak prices achieved before the last housing bubble burst. This has many worried that we are headed towards another housing bubble. Reality:  The biggest challenge facing today’s real estate market is a  lack of homes for sale!  Demand is strong, as many renters have come off the fence and are searching for their dream homes. Histo...