Tips for Selling Success in Spring Market

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In the real estate market, “spring” usually comes early, with people eager to list their homes as soon as in January to beat the competition as the weeks get closer to March.  But if you missed this year’s after-winter opportunity, now’s the next best time to sell.  With so many new home shows popping up everywhere on TV, now more than ever, buyers are super savvy so to help you with your home selling endeavor this year we have put together a few tips to get those buyers rolling in.

Make Them Want To Come Inside

Nothing makes a buyer more interested in seeing the property than a gorgeous exterior.  Excellent curb appeal does not have to take a lot of time, effort or money but if you do not tend to this essential aspect of selling your home, you could end up losing a lot of potential buyers to the competition. 

Curb appeal is simply a matter of maintaining and sprucing up the exterior and entranceway of your home.  By cleaning up dirty siding, fixing up post-wintertime yard messes or fixing minor cracks and crevices in the driveway – buyers will be wooed by that inviting first impression.  Take the time to add some flowers, put out a warm welcome mat and give buyers an idea of what they can expect when they set foot inside.  Not tending to this can make all the difference in the number of offers you may or may not get on your listing.

Once They’re In, Show Off Your Space!

So often sellers are selling a home without realizing that potential buyers have different tastes than their own.  The single best way to bridge the divide between one aesthetic sense versus another is to keep things neutral, neat and nice.  If you have a bright orange room, a fresh coat of neutral paint may just be the thing needed to attract the right buyer.  If there are gorgeous walk-in closets in the home, remove most of the items in the closet so the buyer can visualize their own things in the space. 

Fix any things that need repairs, remove the clutter from your home, have it professionally cleaned and then dress it up so you can show it off to the next owner!  If there are any cracks in caulking or baseboards, work to get them fixed.  Clean up baseboards, remove cobwebs and fix up anything else that may need repairs.

Leave a Lasting Impression

As buyers leave your home and move on to view the next one on their list, it is important that they remember your home.  Imagine that your home will be showcased in a magazine.  How would you set things up? Would you rearrange your furniture?  Remove extra items that are too personal or clutter up the space too much.  By giving these things thought and planning how you will present your home, buyers (and agents) that see your home will likely remember it and come back to it after seeing other properties that did not quite meet their standards. 

Keep in mind a show-ready home is one that shows off all the features and amenities of the property. When they can see the full potential of the home, buyers are able to imagine living in the space and they are far more likely to put in an offer.

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If you are getting ready to sell once you have worked on its curb appeal and set up the home’s interior ready for showing – it is a good idea to invite your Realtor for a walk-through.  Years of experience selling (and buying) homes with clients give them the perfect insight needed.  Good luck!

Four Reasons to Sell Now

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There is so much real estate buzz these days but how do you know what you can trust?  On the one hand we hear about the market being down and how it’s heading further south.  On the other, we’re bombarded with news about how now is a great time for buyers in the market. Well, it is true that buyers have a lot of control these days with interest rates being so low and consequently buyers having that much more buying power. But for sellers the news is not so good and now is definitely not the most ideal time to sell your home.   

Still, many people are faced with no choice and have to sell – to relocate to another location or simply to move to another stage in life like retirement or downsizing. 

If you are on the fence and don’t know whether now is the time to list your home, consider this:  things have been bad but they could easily get worse.  Here are four reasons why I believe selling now makes more sense than waiting it out.

Shadow Inventory Will Soon Crowd the Market

Industry experts often refer to supply and demand as a market barometer for real estate and nothing indicates market health more than inventory levels.  Anything above 6 or 7 months of inventory is high since that indicates the number of months it would take for the current inventory level to sell and the market to be balanced.

Most normal markets can endure that many months of inventory but as soon as shadow inventory is unloaded on the market things will change significantly.  Currently there are about 500,000 bank-owned properties on the market.  However, with all the foreclosures pending plus homes that have been issued a Notice of Default, the number of bank owned properties is expected to rise to as many as 4 million properties in the next one to two years.  Once that happens, home prices are projected to decline even further.

Interest Rates Are Low But For How Long?

No one can predict how long the current historically low interest rates will remain.  Whatever homes are selling these days is due to the immense buying power buyers are tapping into.  When you combine low prices of homes with these interest rates lots of buyers are “flocking” to get into their dream homes.  Still, there is a reason we are where we are in the first place and an even stronger reason that we’ve been lurking in this precarious position for some time.  Until and unless our economy strengthens, despite the added buying power there is still trepidation about getting into major purchases.  Before buyers lose the confidence they have these days and before interest rates start shooting back up, it’s a good idea to sell while you still have a fair amount of chance of selling successfully.  Once shadow inventory hits the market and these factors come into play, the probability of selling a home quickly and at a favorable price will definitely go down.

The Future of Our Economy Continues to Be An Enigma

No one really knows the impact this year’s Presidential election will have on the economy.  Nor can anyone tell how well the national jobs market will improve over the next several years.  But one thing is certain – though there is improvement, it’s moving a snail’s pace.  To avoid any unforeseen ramifications of our economy declining in the coming months and years I strongly advise sellers contemplating listing their home to go ahead and sell now.  Right now, we are seeing sales and before that changes there are better prospects of selling now than there may in the future.

Why Put Your Life On Hold Any Longer?

Imagine the freedom you will feel to be able to do what you have wanted all along.  This could mean getting into a better home while paying the same payments you are currently making or it could mean being able to retire.  Regardless of your motivation, by holding on to your property until the market springs back to what the home was once worth, you may end up losing out on many things in life.  If the market is going to stabilize it will not happen until at least three, five or even seven years down the line.  Can you wait that long to move to the next stage in your life?

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If you decide that selling now is right for you, contact your Realtor today to find out how they can help you sell your home with resounding success!

Single-Family Homes a “Very Attractive Asset Class Now” – Warren Buffett

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The news spread like wildfire.  No, it’s not another politician’s sex scandal or the latest (definitely not greatest) gas prices.  It is the monumental statement made by Warren Buffett that he would buy up “a couple hundred thousand” single-family homes.  The catch is that he would do that if it were something he could practically manage. He may not be able to practically manage it but individuals certainly can.

Think about that.  For months, if not more than that, countless Realtors have been urging their clients and potential clients that now is the perfect time to buy.  Now that it comes from one of the biggest investors of our time, it brings new light to the subject for many investors and has generated widespread industry buzz from the moment the billionaire uttered those words.

In an interview where he discussed several topics, soon into the discussion with Becky Quick of CNBC’s Squawk Box, he said that in addition to equities, single-family homes are probably the most attractive investment there is out there right now.  With the low rates that seem to be heading further down still, he suggests buying at these low interest rates and then for homeowners to refinance if and when the rates dips even more. 

He cited that the only reason he has not purchased as many homes as he would have liked is because of the practicality of managing the transactions and properties.  Apartment units might have been more manageable and in his words, he said he would “load up on them” had that been the case. But for the everyday investor it makes perfect sense to seize this opportunity and Warren Buffett highlights this repeatedly in his most recent discussion on CNBC.

Mr. Buffett shared his perspective on the idea of buying homes at distressed prices, fixing them up and renting them out as an ideal way to get a solid return on investment.  Referring to the changing trends and attitudes within the housing market, he also said this is the perfect way to “short the dollar” because with a 30-year fixed rate mortgage it can go two ways; either the interest rate is too high down the line after which you can go and refinance or if it’s too low the other guy’s stuck with it for 30 years.  Could this be the return of the house-flipping craze that we saw boom in the mid 2000s?

Mr. Buffett’s statement brings new light to something that so many agents and mortgage consultants have been saying all along.  Buy now.  At a time when stocks are just now rebounding after four years of inching their way back up, he says that consumers should acquire 30-year fixed rate mortgages and then refinance when rates go down further. 

If homeowners can hold on to their property for a long time after purchasing it at the lowest rates the industry has to offer they are sitting on the best investment possible of our time.  Of course equities are still very strong but they have come up quite a bit and Warren Buffett says owning a home is a “leveraged way of owning a very cheap asset”, making it quite possibly the most attractive investment that you can make.