Hi Friends,
There's always lots of talk about waiting for the "perfect" time to
buy. Perfect rates matched with perfect pricing. But often, this
"perfect" scenario comes so quickly, and quietly, that most miss out.
In this week's article, I found some great insight on what the actual
impact could be for those who are waiting for that "perfect" moment to
make their move.
With Rates & Prices on the Rise, Do You Know the Cost of Waiting?
As always, let me know if you have any questions -- I'm happy to help
give more detailed insight on how these two factors could be impacting
your position to make that next home purchase.
~Amy
Hi Friends,
Often times, Sellers find themselves wondering when is the right time to sell their home.
And I can say that in my 23 years as a Realtor - the Spring season is the #1 time of year to be selling your home!
In my reading recently, I came across the article below that offers even more support for my observation!
"3 Reasons to Sell Your Home This Spring"
"Many sellers are still hesitant about putting their house up for
sale. Where are prices headed? Where are interest rates headed? These
are all valid questions. However, there are several reasons to sell your
home sooner rather than later. Here are three of those reasons.
1. Demand is about to skyrocket
Most people realize that the housing market is hottest from April
through June. The most serious buyers are well aware of this and, for
that reason, come out in early spring in order to beat the heavy
competition. We also have a pent-up demand as many buyers pushed off
their home search this winter because of extreme weather. Sellers in
markets where seasonal weather is never an issue must realize that
buyers relocating to their region will increase dramatically this spring
as these purchasers finally decide to escape the freezing temperatures
of the winters in the north.
These buyers are ready, willing and able to buy…and are in the market right now!
2. There Is Less Competition - For Now
Housing supply always grows from the spring through the early summer.
Also, there has been a growing desire for many homeowners to move as
they were unable to sell over the last few years because of a negative
equity situation. Homeowners have seen a return to positive equity as
prices increased over the last eighteen months. Many of these homes will
be coming to the market in the near future.
The choices buyers have will continue to increase over the next few
months. Don’t wait until all the other potential sellers in your market
put their homes up for sale.
3. There Will Never Be a Better Time to Move-Up
If you are moving up to a larger, more expensive home, consider doing
it now. Prices are projected to appreciate by approximately 4% this
year and 8% by the end of 2015. If you are moving to a higher priced
home, it will wind-up costing you more in raw dollars (both in down
payment and mortgage payment) if you wait. You can also lock-in your 30
year housing expense with an interest rate at about 4.5% right now.
Freddie Mac projects rates to be 5.1% by this time next year and 5.7% by
the fourth quarter of 2015.
Moving up to a new home will be less expensive this spring than later this year or next year."
As always, I'm here if you have any questions!
~Amy
Hi Friends,
There's a lot of information coming out in the media about the state of the real estate market - both locally & nationally.
Often there are factors that impact the figures that are reported.
Today's article, The Truth About NAR's Home Sale Numbers, expands on some of the information that the National Association of Realtors released last week.
Take a look -- and let me know if you have any questions on where our market is headed.
"The National Association of Realtors (NAR) released their latest Existing Homes Sales Report
last Friday. The year-over-year comparison of overall sales did not
paint a pretty picture. NAR itself called the sales numbers “subdued”.
Other media sources used stronger terminology.
There is no doubt that home sales were lower this February (4.60
million) than last February (4.95 million). However, a closer look at
the report gives us some evidence as to why that is. Last year, of the
4.95M homes sold, 25% were distressed properties (foreclosures and
short sales). This February, only 16% of
sales were made up of distressed properties.
WHY IS THIS IMPORTANT?
Well, if we do the math, we can see that the annualized number of non-distressed properties
sold which was revealed in the latest report (3,864,000) was actually
greater than the annualized number of non-distressed properties sold
that was reported last year (3,712,500). As we sell-off the ‘shadow
inventory’ of distressed properties, there will be less homes from which
a potential buyer can choose. That will impact sales.
As proof of this point, we can look at the months’ supply of housing
inventory available for purchase. In a normal market, a six month supply
would be optimum. However, we haven’t reached a six month supply once
in over 18 months. This shortage of inventory is the main reason sales
are down.
THE GOOD NEWS
As prices continue to rise, more and more homeowners will be freed
from the shackles of negative or limited equity. This combined with an
improving economy will allow homeowners to again feel confident that
they can sell their homes and move on with their future plans. We are
already starting to see increases in listings coming onto the market
(unsold inventory is 5.3 percent above a year ago). Once housing
inventory reaches normal levels (a 6 months’ supply) we will again see
home sales begin to increase."
As always, let me know if you have any questions!
~Amy
