Thursday, August 15, 2019

What Is The Deal With These Guaranteed Offers On Your Home

Thinking of Selling Your Huntersville Area Home?

Everyone has been inundated with advertisements for 'Get a Guaranteed Offer On Your Home' on TV, Radio and Billboards etc.  

I have had clients ask me about these companies and I have often told them to go to the company website and see what the offer would be.  There is no obligation and if your curious just do it.   No cost, no obligation.   Just be prepared to be inundated with calls and emails etc.   Also, you HAVE to Read all the fine print!  

I want state up from that the this is my sold opinion and it is based on research and talking to people.  I have ZERO actual experience with these companies.

I recently listed and sold at a home at 8807 St. Brides Court for full price and at FAR less percentage that any of these companies charge.   

How Do These Companies Make Money?  

I have read and been told that these companies charge between 6% and 13%.  I really do not know how they determine the amount but I guess it depends on what services you want, what price they pay and condition of the home.  Here is another very important point.  Most, if not all, of these companies have also created Real Estate Brokerages.   One review I read said that their experience was a classic bait and switch.   They made two offers that were not accepted so the company presented an offer to list the home for sale.   They have multiple angles to get your business.

And... they are making money.   You can't pay for TV advertising without revenue and cash.  Also, Zillow is now entering the game of buying homes and also have created a real estate brokerage.   It is actually Zillow that is scaring many of the large brokerages out there ( according to a KW market leader ).   

Why sell to these companies? I firmly believe if you are a typical homeowner who has taken good care of your home, you are far better off selling your home with a REALTOR® who is an expert at property values, has your best interests at heart, and will maximize the profit of your home. We are still experiencing a shortage of inventory at certain price points and the market is still attractive for sellers. However, if your home is in need of significant updating or has issues you cannot afford to remedy in the process of selling your home, these investment companies are a good resource. No matter your situation, it’s always a good idea to get multiple opinions when you are thinking about selling your home.  Always consult a REALTOR® during the process so you have all the facts and can make an educated decision when you sell your home.
As a side note, these companies do not really scare me.  I offer a very good alternative and I absolutely save my owners money.   I do not have to pay a brokerage part of my earnings so I can give my sellers a much better commission that most companies and give the same if not better service. Below is a chart that details major differences between these companies and using a REALTOR® to sell your home.  Please reach out to me via cell phone at (704) 451-7051 if you are thinking about selling. It would be my pleasure to help you decide on the right solution.

REALTOR®Cash Buyer Companies
Looks out for homeowner’s interest, maximizes profitOnly interested in a profitable deal for the company
Due Diligence is paid to homeowner.These companies do not pay Due Diligence 
Buyer cannot terminate the contract at any point after Due Diligence period without financial penaltiesCompany can terminate the contract at any time, even the day of closing, without any consequences
REALTOR® will help negotiate repair requests made by the buyer to minimize the financial impact for the homeownerCompany typically will not negotiate their repair list.  They usually make “take it or leave it” requests & are often large reductions to the sales price.

Tuesday, August 13, 2019

Consumer Confidence in Housing at an All-Time High

Huntersville Confidence in Housing at an All-Time High | MyKCM

Fannie Mae just released the July edition of their Home Purchase Sentiment Index (HPSI). The HPSI takes information regarding consumers’ confidence in the real estate market from Fannie Mae’s National Housing Survey and condenses it into a single number. Therefore, the HPSI reflects consumers’ current views and forward-looking expectations of housing market conditions.
Great News! The index reached its highest level since Fannie Mae began their survey. Breaking it down, the report revealed:
  • The share of Americans who say it is a good time to buy a home increased from the same time last year.
  • The share of those who say it is a good time to sell a home increased from the same time last year.
  • The share of Americans who say they are not concerned about losing their job over the next 12 months increased dramatically (16 percentage points) from the same time last year.
  • The share of Americans who say mortgage rates will go down over the next 12 months increased dramatically (24 percentage points) from the same time last year.
The day after the index was released, Freddie Mac also announced the 30-year fixed-rate mortgage rate fell to its lowest level in three years.
Doug Duncan, Senior Vice President and Chief Economist at Fannie Mae explained the uptick in the index:
“Consumer job confidence and favorable mortgage rate expectations lifted the HPSI to a new survey high in July, despite ongoing housing supply and affordability challenges. Consumers appear to have shaken off a winter slump in sentiment amid strong income gains. Therefore, sentiment is positioned to take advantage of any supply that comes to market, particularly in the affordable category.”

Bottom Line

Consumers are feeling good about the real estate market. Since Americans are not worried about their jobs, see mortgage rates near an all-time low, and believe it is a good time to buy, the housing market will remain strong for the rest of the year.

Saturday, August 10, 2019

Ideas For Preparing Your Home For Sale - Eliminate The Stress

Sell Your Birkdale|Birkdale Village Home

When a home is on the market, it needs to be staged properly in order to sell quickly. If you are selling your home while dealing with a busy parent schedule, however, keeping your home clean and presentable can be stressful. So, use these super easy staging, organizing, and cleaning tips to make the job much more manageable.

Declutter and Downsize First 

Clutter can make your home look smaller and less inviting to potential buyers. Some things you would not even think of as clutter, like family photos, can be distracting to people who are trying to imagine themselves living in your house. Before you move onto other staging projects, spend some time picking up any random items and donate those items if you can. If you have tons of toys, seasonal apparel, or holiday decor, you may even want to consider placing them in storage to make those last-minute cleanups before showings much easier on you. Renting a storage unit is often a smart choice for home sellers, but it can get expensive, so shop around for the best deals. Prices range considerably; for example, in the Huntersville area, a 5’x10’ unit can be rented for as little as $40 a month even though the average price for these units is $65 per month.

Invest in Some More Stylish Storage

Putting some stuff away into a storage unit can help you keep your home staged. When you have busy kids and a busy schedule to attend to, however, you may need to keep some necessities in your home. If you need to store a few things around your house or do not want to rent a storage unit, you can use stylish storage options to keep those items from distracting potential buyers. Crates, baskets, boxes, and bins can all make tidying up quickly less challenging and even add some style to your staged home. This is an especially neat trick for families with busy entryways, and it can help keep closets looking tidy too. When buyers view your home, they are bound to sneak a peek into closets, as well as other storage spaces. So, make sure you spend some time organizing pantries, cabinets and other seemingly hidden spots.

Deep Clean and Then Maintain Order

If you can pick up clutter and neatly tuck smaller items away, you can make your home look and feel more presentable. However, it’s also important that your home be as clean as possible when it is being listed on the real estate market. This is a task that you simply cannot skip, so plan on spending some time on a good deep cleaning. Get the kids out of the house and then work on wiping down surfaces, removing any grime and getting floors looking their best. If you’re short on time, you can hire a professional cleaning service to do the job for you.

Once you have your home sparkling, clean and shiny, it should be easier to keep it that way. Pick up items and put them away in storage bins as soon as you are done using them, and encourage your children to do the same. Also, spend a few hours each day cleaning one room or area to prevent yourself from having to deep clean over and over again.

Don’t Hesitate to Buy or Hire Help

Doing all the cleaning, decluttering, and staging mentioned above can help you save money. If your schedule is already filled with other responsibilities and you have some wiggle room in your budget, you may want to just invest in some helpful tools. A good robot vacuum can make keeping up with dirt and spills on floors much less stressful.

Do you still have a little in your budget to spare? You can really help your home sell and make your life easier by investing in a professional home stager (home stagers usually charge $500 - $600 per room). This will take all of the guesswork out of staging and prepping your home so you can use your brainpower for more pressing matters.

Stop stressing out about staging and selling your home! With the tips above, you can knock out all of those cleaning and decluttering tasks — even if you are the busiest of parents.

Photo Credit: Pexels

Thursday, August 8, 2019

August 2019 Real Estate By The Numbers

 August by the Numbers Staying current is a must when it comes to understanding the housing market. Here's a look at how the numbers stack up today. If you'd like to learn more about homeownership or your next move, let's get together to discuss your options.

Monday, July 29, 2019

3 Expert Insights On Inventory In The Current Market | Birkdale Village Huntersville NC

3 Expert Insights On Inventory In The Current Market | MyKCM

I just had a listing receive several offers on the 1st day of the listing.   If you are leaning towards selling or buying real estate, my recommendation is not to wait.  Birkdale, Birkdale Village and the Huntersville area are very highly desirable areas.
The current housing landscape presents greater home values, low interest rates, and high buyer demand. All of these factors point to the strong market forecasted to continue throughout the rest of the year.
There is, however, one thing that may cause the industry to tap the brakes: an overall lack of housing inventory. Buyer demand naturally increases during the summer months, but the current supply is not keeping up.

Here is a look at what a few industry experts have to say:

“Imbalance persists for mid-to-lower priced homes with solid demand and insufficient supply, which is consequently pushing up home prices.”
“Market conditions are ripe for increasing home sales with one glaring exception. The supply of homes for sale remains tight, keeping existing home sales below potential.”
“We're not seeing as many new listings come up on the market…It was only 18 months ago that the number of homes for sale hit its lowest level in recorded history and sparked the fiercest competition among buyers we've ever seen.”

Bottom Line

If you’re thinking of selling, now may be the time. Demand for your house will be strong during a period when there is very little competition, ideally leading to a quick sale and a great return on your investment.

Friday, July 26, 2019

3 Powerful Reasons To Buy Your Huntersville Home NOW

3 Powerful Reasons to Buy a Home Now

3 Powerful Reasons to Buy a Home Now | MyKCM

Whether you are a first-time buyer or looking to move up to the home of your dreams, now is a great time to purchase a home. Here are three major reasons to buy today.

1. Affordability

Many people focus solely on price when talking about home affordability. Since home prices have appreciated throughout the past year, they assume homes are less affordable. However, affordability is determined by three components:
  • Price
  • Wages
  • Mortgage Interest Rate
Prices are up, but so are wages - and interest rates have recently dropped dramatically (see #2 below). As a result, the National Association of Realtors’ (NAR) latest Affordability Index report revealed that homes are MORE affordable throughout the country today than they were a year ago.
“All four regions saw an increase in affordability from a year ago. The South had the biggest gain in affordability of 6.9%, followed by the West with a gain of 6.0%. The Midwest had an increase of 5.8%, followed by the Northeast with the smallest gain of 1.8%.”

2. Mortgage Interest Rates

Mortgage rates have dropped almost a full point after heading toward 5% last fall and early winter. Currently, they are below 4%.
3 Powerful Reasons to Buy a Home Now | MyKCMAdditionally, Fannie Mae recently predicted the average rate for a 30-year fixed mortgage will be 3.7% in the second half of 2019. That compares to a 4.4% average rate in the first quarter and 4% in the second quarter.
With mortgage rates remaining near historic lows, Fannie Mae and others have increased their forecasts for housing appreciation for the rest of the year. If home price gains are about to re-accelerate, buying now rather than later makes financial sense.

3. Increase Family Wealth

Homeownership has always been recognized as a sensational way to build long-term family wealth. A new report by ATTOM Data Solutions reveals:
“U.S. homeowners who sold in the second quarter of 2019 realized an average home price gain since purchase of $67,500, up from an average gain of $57,706 in Q1 2019 and up from an average gain of $60,100 in Q2 2018. The average home seller gain of $67,500 in Q2 2019 represented an average 33.9 percent return as a percentage of original purchase price.”
The longer you delay purchasing a home, the longer you are waiting to put the power of home equity to work for you.

Bottom Line

With affordability increasing, mortgage rates decreasing, and home values about to re-accelerate, it may be time to make a move. Let’s get together to determine if buying now makes sense for your family.

Tuesday, July 23, 2019

What Experts are Saying About The Current House Market! Buy-Sell Huntersville NC

What Experts are Saying About the Current Housing Market

Huntersville NC Real Estate | Birkdale at Lake Norman

We’re halfway through the year, and with a decline in interest rates as well as home price and wage appreciation, many are wondering what the experts predict for the second half of 2019.

Here’s what some have to say:

“Lower mortgage rates, higher wages and more homes for sale have helped counteract rising home prices, and ultimately, made it so that buyers are able to afford more than last year.”
“Our outlook implies 4% growth for the remaining months of the year, predicated on…more supply than last year, the decline in mortgage rates, moderating home price appreciation and improving affordability.”
“Rates of 4% and, in some cases even lower, create extremely attractive conditions for consumers. Buyers, for good reason, are anxious to purchase and lock in at these rates.”
“Moderating home price appreciation and attractive mortgage rates continue to support affordability, particularly as home builders are now paying more attention to the entry-level portion of the housing market.”
“At the moment, some observers suggest the housing market is indeed headed for a slowdown. But no need to panic — experts say the financial and economic factors that were in play during the big crash a decade ago don’t exist today.”

Bottom Line

The housing market will be stronger for the rest of 2019. If you’d like to know more about your specific market, let’s get together to chat about what’s happening in our area.

What Is The Deal With These Guaranteed Offers On Your Home

Thinking of Selling Your Huntersville Area Home? Everyone has been inundated with advertisements for 'Get a Guaranteed Offer On Y...