Homeownership is the cornerstone to building personal wealth. And with home equity rising and home prices appreciating, homeowners can build substantial savings quickly. DM me today so we can discuss how you can start building your net worth as a homeowner.
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In real estate, it’s normal to see ebbs and flows in the market. Typically, the summer months are slower-paced than the traditionally busy spring. But this isn’t a typical summer. As the economy rebounds and life is returning to normal, the real estate market is expected to have an unusually strong summer season. Here’s how this summer is stacking up against the norm and what it means for you. Inventory is increasing. According to the latest Existing Home Sales Report from the National Association of Realtors (NAR), inventory levels have been rising since February of this year. Looking at the graph below, there’s a clear upward trend, as shown in the green bars. Currently, there’s roughly a 2.5 months’ supply of homes for sale. And while inventory is trending up as more houses are coming to the market, it’s still much lower than several of the previous summers, as the orange bars indicate. If you’re looking to buy, some relief is on the way in the form of more homes coming to the market. Just remember, we still have less inventory than the norm, so be patient in your search. If you’re thinking of selling, now is the time. Work with your agent to list your house before it has more competition on the market. Time on the market is still shorter than normal. Unlike the typical summer trend, time on the market is moving at the fastest speed we’ve seen since NAR started collecting this survey-based information in 2011. The most recent Realtors Confidence Index shows that the average home is on the market for just 17 days, as shown in green in the graph below. This means houses are selling at a much faster pace than a typical summer, which the orange bars represent. If you’re looking to buy, this means you need to be prepared to move fast. Brace for a quick pace and rely on your agent to stay in the know on the available homes in your area. If you’re thinking of selling, data shows your house will likely sell quickly. If you’re worried about where you’ll go once your house sells, consider a newly built home as a good way to move up. Price appreciation is still rising. The last big factor making this an unusually strong market this summer is home price appreciation. According to the State House Price Index from the Federal Housing Finance Agency (FHFA), we’re currently experiencing double-digit house price appreciation and have an average of 12.6% appreciation across the country. The graph below uses data from NAR to show a more granular view of how prices have changed month-to-month over the past few years. The green bars show the current price appreciation we’re experiencing today. Our current levels are well above what we’ve seen in recent summers, shown by the orange bars. If you’re looking to buy, competition and bidding wars are driving prices up. Getting pre-approved can show the seller you’re serious and help you know what you can afford. Once you do, work with your agent to make a strong offer that stands out.
If you’re thinking of selling, seize this opportunity to use your additional equity from this price appreciation to power your next move. Bottom Line This isn’t a typical summer. Whether you’re buying or selling, rely on your agent for expert advice on how to capitalize on today’s market conditions to sell your house or find your dream home. SOURCE KCM #ForBuyers #Pricing #HousingMarketUpdates #SimardRealtyGroup #RealBrokerLLC
If you're ready to upgrade your home, summer is a great time to do so. Let's connect to get your house listed so you can find your dream home!
SOURCE KCM #TopGranbyRealtor #StephenSimard #RealBrokerLLC #GranbyRealEstate #GranbyConnecticut #FindyourGranbyhome #Newhomesforsale #SimardRealtyGroup #Granbyhomesforsale #JoinRealBrokerLLC #Simsburyhomes While the housing market forecast for the second half of the year remains positive, there may not be a better time to sell than right now. Here are four things to consider if you’re trying to decide if now’s the right time to make a move.
1. Your House Will Likely Sell Quickly According to the most recent Realtors Confidence Index released by the National Association of Realtors (NAR), homes continue to sell quickly. The report notes homes are selling in an average of just 17 days. Average days on market is a strong indicator of buyer competition, and homes selling quickly is a great sign for sellers. It’s one of several factors that indicate buyers are motivated to do what it takes to purchase the home of their dreams. 2. Buyers Are Willing To Compete for Your House In addition to selling fast, homes are receiving multiple offers. NAR reports sellers are seeing an average of 5 offers, and these offers are competitive ones. Shawn Telford, Chief Appraiser at CoreLogic, said in a recent interview: “The frequency of buyers being willing to pay more than the market data supports is increasing.” This confirms buyers are ready and willing to enter bidding wars for your home. Receiving several offers on your house means you can select the one that makes the most sense for your situation and financial well-being. 3. When Supply Is Low, Your House Is in the Spotlight One of the most significant challenges for motivated buyers is the current inventory of homes for sale, which while improving, remains at near-record lows. As NAR details: “Total housing inventory at the end of May amounted to 1.23 million units, up 7.0% from April’s inventory and down 20.6% from one year ago (1.55 million). Unsold inventory sits at a 2.5-month supply at the present sales pace, marginally up from April’s 2.4-month supply but down from 4.6-months in May 2020.” There are signs, however, that more homes are coming to market. Odeta Kushi, Deputy Chief Economist at First American, notes: “It looks like existing inventory is starting to inch up, which is good news for a housing market parched for more supply.” If you’re looking to take advantage of buyer demand and get the most attention for your house, selling now before more listings come to the market might be your best option. 4. If You’re Thinking of Moving Up, Now May Be the Time Over the past 12 months, homeowners have gained a significant amount of wealth through growing equity. In that same period, homeowners have also spent a considerable amount of time in their homes, and many have decided their house doesn’t meet their needs. If you’re not happy with your current home, you can leverage that equity to power your move now. Your equity, plus current low mortgage rates, can help you maximize your purchasing power. But these near-historic low rates won’t last forever. Experts forecast interest rates will increase in the coming months. Nadia Evangelou, Senior Economist and Director of Forecasting at NAR, says: “Nevertheless, as the economic outlook for the United States looks brighter for the rest of the year, mortgage rates are expected to rise in the following months.” As interest rates rise, even modestly, it could influence buyer demand and your purchasing power. If you’ve been waiting for the best time to sell to fuel your move up, you likely won’t find more favorable conditions than those we’re seeing today. Bottom Line With supply challenges, low mortgage rates, and extremely motivated buyers, sellers are well-positioned to take advantage of current market conditions right now. If you’re thinking about selling, talk to your trusted real estate advisor today about why it makes sense to list your house sooner rather than later. SOURCE KCM #ForSellers #MoveUpBuyers #SimardRealtyGroup #RealBrokerLLC High buyer demand paired with very few houses for sale makes this the ultimate sellers’ market. With the average home receiving multiple, competitive offers, sellers have incredible leverage in today’s market. DM me today if you’re ready to sell your house this summer.
#buyerdemand #housinginventory #sellyourhouse #moveuphome #sellersmarket #opportunity #housingmarket #realestatetips #realestatelife #realestatemarket #realestateexperts #realestateagents #instarealestate #instarealtor #realestatetipsoftheday #justsold #keepingcurrentmatters Some Highlights
SOURCE KCM #Pricing #Infographics #ForSellers #SimardRealtyGroup #RealBrokerLLC There’s no denying we’re in a sellers’ market. With low inventory and high buyer demand, homes today are selling above the asking price at a record rate. According to the latest Realtors Confidence Index Survey from the National Association of Realtors (NAR):
Yet even in today’s red-hot sellers’ market, it’s important to price your house right. While it may be tempting to price your house on the high side to capitalize on this trend, doing so could limit your house’s potential. Why Pricing Your House Right Matters Here’s the thing – a high price tag doesn’t mean you’re going to cash in big on the sale. While you may be trying to maximize your return, the tradeoff may be steep. A high list price is more likely to deter buyers, sit on the market longer, or require a price drop that can raise questions among prospective buyers. Instead, focus on setting a price that’s fair. Real estate professionals know the value of your home. By pricing your house based on its current condition and similar homes that have recently sold in your area, your agent can help you set a price that’s realistic and obtainable – and that’s good news for you and for buyers. When you price your house right, you increase your home’s visibility, which drives more buyers to your front door. The more buyers that tour your home, the more likely you’ll have a multi-offer scenario to create a bidding war. When multiple buyers compete for your house, that sets you up for a bigger win.
Bottom Line When it comes to pricing your house, working with a local real estate professional is essential. Make sure you have an expert on your side so you can optimize your exposure, your timeline, and the return on your investment, too. SOURCE KCM #ForSellers #Pricing #SellingMyths #SimardRealtyGroup #RealBrokerLLC As housing supply improves, homebuyers will have more options. While we’re still in a serious sellers’ market, any increase in supply in our market means your house may not get as much attention from buyers. DM me today so we can sell your house now while market conditions are still in your greatest favor.
#sellersmarket #sellnow #sellyourhouse #housingsupply #housinginventory #expertanswers #stayinformed #staycurrent #powerfuldecisions #confidentdecisions #realestate #homevalues #realestatetipsandadvice #keepingcurrentmatters For many young or first-time homebuyers, purchasing a home can feel intimidating. A recent survey shows some homebuyers ages 25 to 40 may be unsure about the homebuying process and what they can afford. It found:
Because they feel uncertain, many young homebuyers have given up on their search, or worse, they’ve decided homebuying isn’t for them and never started on their journey to begin with. If you’re interested in buying but aren’t sure where to begin, here are three key concepts about homeownership you should understand before you get started. 1. What You Need To Know About Down Payments Saving for a down payment is sometimes viewed as one of the biggest obstacles for homebuyers, but that doesn’t have to be the case. As Freddie Mac says: “The most damaging down payment myth—since it stops the homebuying process before it can start—is the belief that 20% is necessary.” According to the most recent Home Buyers and Sellers Generational Trends Report from the National Association of Realtors (NAR), the median down payment for homes purchased between July 2019 and June 2020 was only 12%. That number is even lower when we control for age – for buyers in the 22 to 30 age range, the median down payment was only 6%. 2. You May Be Able To Afford More Home Than You Think Working remotely, exercising, and generally spending more time than ever in our homes has changed what many people are looking for in their living space. However, some young homebuyers don’t feel they can afford a home that suits their growing needs and have decided to continue renting instead. That means they’ll miss out on some of the long-term benefits of owning a home. As an article recently published by NAR points out: “Many young adults are underestimating how much they need for homeownership, the survey finds. Millennials underestimated how much home they can afford right now, how much interest they would pay over a 30-year mortgage, and how much home values appreciate, on average, over 10 years…” Knowing how much home you can afford when starting the buying process is critical and could be the game-changer that gets you from renting to buying. 3. Homeownership Will Become Less Affordable the Longer You Wait Finally, with mortgage rates starting to rise along with home prices appreciating, putting off buying a home now could cost you much more later. Sam Khater, Chief Economist at Freddie Mac, notes: “As the economy progresses and inflation remains elevated, we expect that rates will continually rise in the second half of the year.” Most experts forecast interest rates will rise in the months ahead, and even the smallest increase can influence your buying power. If you’ve been on the fence about buying a home, there’s no time like the present. Bottom Line If you feel overwhelmed by the prospect of starting your home search, you’re not alone. Connect with a local real estate agent to learn more about the process, what you’ll need to start your search, and what to expect. SOURCE KCM #BuyingMyths #Demographics #RentVSBuy #Pricing #SimardRealtyGroup #joinRealBrokerLLC Good news for buyers: the number of houses on the market is improving in most states. With more homes coming to the market, this may be just the opportunity you’ve waited for. DM me today so we can make sure you’re positioned for success this summer.
#housinginventory #buyingahome #firsttimehomebuyer #opportunity #housingmarket #househunting #makememove #homegoals #houseshopping #housegoals #locationlocationlocation #newlisting #homeforsale #curbappeal #keepingcurrentmatters |
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