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Millennial Buying Power Poised to Boost Homeownership

 

Millennial Buying Power Poised to Boost Homeownership | MyKCM
 

In a recent article by Realtor Magazine, Mark Fleming, Chief Economist of First American Financial Corporation, notes,

“The largest group of millennials by birth year will turn 30 in 2020, which puts them entering their prime homebuying years”.

The article continues to describe how millennials have more buying-power than the generations that preceded them, making their interest in embracing homeownership stronger than ever,

“Millennials—the most educated generation—have the highest incomes across their generational cohorts, even when salaries are adjusted for inflation.”

This combination of power and desire has the potential to drive positive growth in the homeownership rate heading into the near future. According to Fleming,

‘“The gap between the potential and actual homeownership in 2018 narrowed slightly as the growth in homeownership modestly exceeded the increase in potential demand,” he says, citing First American’s Homeownership Progress Index.

“We expect the homeownership rate to further close the gap with potential in the years ahead as millennials continue to make important decisions, such as attaining an education and, later in life, getting married and having children.”’

That said, the shortage of sellable inventory in the entry and mid-range levels that’s attractive to potential millennial buyers may be a contributing factor as to why many millennials haven’t yet purchased a home. According to another recent report citing Frank Martell, President and CEO of CoreLogic,

“Lower rates are certainly making it more affordable to buy homes and millennial buyers are entering the market with increasing force. These positive demand drivers, which are occurring against a backdrop of persistent shortages in housing stock, are the major drivers for higher home prices, which will likely continue to rise for the foreseeable future.”

With millennials aging-up into mortgage-ready and home-buying territory, along with their strong buying interest and buying power, this generation is poised and ready to have positive impact on homeownership rates across the country. Many of them just need to find a home they're excited to buy in this competitive end of the market.

Bottom Line

If you’re thinking of selling, let’s connect and determine if now is a great time for you to list your house and move-up. More millennials are getting ready to jump into the market and join the ranks of homeownership, so demand for homes in the starter and mid-level range will continue to be strong.

How Property Taxes Can Impact Your Mortgage Payment

 

How Property Taxes Can Impact Your Mortgage Payment | MyKCM
 

When buying a home, taxes are one of the expenses that can make a significant difference in your monthly payment. Do you know how much you might pay for property taxes in your state or local area?

When applying for a mortgage, you’ll see one of two acronyms in your paperwork – P&I or PITI – depending on how you’re including your taxes in your mortgage payment.

P&I stands for Principal and Interest, and both are parts of your monthly mortgage payment that go toward paying off the loan you borrow. PITI stands for Principal, Interest, Taxes, and Insurance, and they’re all important factors to calculate when you want to determine exactly what the cost of your new home will be.

TaxRates.org defines property taxes as,

“A municipal tax levied by counties, cities, or special tax districts on most types of real estate - including homes, businesses, and parcels of land. The amount of property tax owed depends on the appraised fair market value of the property, as determined by the property tax assessor.”

This organization also provides a map showing annual property taxes by state (including the District of Columbia), from lowest to highest, as a percentage of median home value.How Property Taxes Can Impact Your Mortgage Payment | MyKCMThe top 5 states with the highest median property taxes are New Jersey, New Hampshire, Texas, Nebraska, and Wisconsin. The states with the lowest median property taxes are Louisiana, Hawaii, Alabama, and Delaware, followed by the District of Columbia.

Bottom Line

Depending on where you live, property taxes can have a big impact on your monthly payment. To make sure your estimated taxes will fall within your desired budget, let’s get together today to determine how the neighborhood or area you choose can make a difference in your overall costs when buying a home.

Top Priorities When Moving with Kids

 

Top Priorities When Moving with Kids | MyKCM
 

According to the Pew Research Center, around 37% of U.S students will be going back to school soon and the rest have already started the new academic year. With school-aged children in your home, buying or selling a house can take on a whole different approach when it comes to finding the right size, location, school district, and more.

Recently, the 2019 Moving with Kids Report from the National Association of Realtors®(NAR) studied “the different purchasing habits as well as seller preferences during the home buying and selling process.” This is what they found:

When Purchasing a Home

The major difference between the homebuyers who have children and those who do not is the importance of the neighborhood. In fact, 53% said the quality of the school district is an important factor when purchasing a home, and 50% select neighborhoods by the convenience to the schools.

Buyers with children also purchase larger, detached single-family homes with 4 bedrooms and 2 full bathrooms at approximately 2,110 square feet.

Furthermore, 26% noted how childcare expenses delayed the home-buying process and forced additional compromises: 31% in the size of the home, 24% in the price, and 18% in the distance from work.

When Selling a Home

Of those polled, 23% of buyers with children sold their home "very urgently," and 46% indicated "somewhat urgently, within a reasonable time frame." Selling with urgency can pressure sellers to accept offers that are not in their favor. Lawrence Yun, Chief Economist at NAR explains,

“When buying or selling a home, exercising patience is beneficial, but in some cases – such as facing an upcoming school year or the outgrowing of a home – sellers find themselves rushed and forced to accept a less than ideal offer.”

For sellers with children, 21% want a real estate professional to help them sell the home within a specific time frame, 20% at a competitive price, and 19% to market their home to potential buyers.

Bottom Line

Buying or selling a home can be driven by different priorities when you are also raising a family. If you’re a seller with children and looking to relocate, let’s get together to navigate the process in the most reasonable time frame for you and your family.

How Much Do You Know About Down Payments?

 

How Much Do You Know About Down Payments? | MyKCM
 

Whether you’ve owned a home before, or you’re ready to jump into homeownership for the first time, there are always a lot of questions swirling around about what is truly required for a down payment, and how to best source down payment assistance. Let’s tackle these two today.

1. How much do you really need for a down payment?

There is a long-standing misconception about down payment requirements. A survey from Fannie Mae shows only 17% of consumers know the minimum options are actually between 1 - 5% of the purchase price and 40% don’t know how much they need at all.How Much Do You Know About Down Payments? | MyKCMThere are many mortgage loans available that require as little as 3% down for first-time buyers, and some ask for only 3.5% down from repeat buyers. There are even loans available for Veterans that provide 0% down payment options too.

We’ve mentioned recently that you don’t need to come up with a 20% down payment to buy, and we’ve also shared how quickly you can save for a 3% or 10% down payment, depending on where you live. If you’re planning to put down just 3%, the research shows it may be possible in most states to have enough saved for a down payment in less than a year. That puts homeownership in a much closer reach for many potential buyers, maybe even you!

2. How can I get help with my down payment?

Regardless of the loans available, many buyers still need assistance with a down payment. The great news is, there are a lot of ways to tap into down payment assistance options. Here are just a couple of them:

Assistance from Family Members

The National Association of Realtors (NAR) said, “a third of recent first-time buyers received down payment assistance from family members.” They also mentioned, “the average net worth of those aged 75 and over stands at $264,800...They just might offer the boost the next generation needs to become homeowners.

That means one of the ways to find help with a down payment is to accept a gift from a family member. If this is an option for you, make sure you talk to your loan officer before you accept the money, to ensure you document the process the way it is required by your loan. This way, it will be received properly and you can still potentially qualify.

Down Payment Assistance Programs

The reality is, not everyone has a loved one or a family member who can provide help with a down payment. There are, however, more than 2,500 down payment assistance programs available (by local areas like city, county, or neighborhood), and some of them are even specifically for first-time buyers.

The gap, as mentioned in the same survey, is “only 23% of consumers are familiar with low down payment programs.”

That’s why it is so important to get familiar with these options by doing your homework before you plan to buy a home. Determine what is available in the area where you ultimately want to live, so you have all the details you need to take advantage of the down payment assistance option that is best for your family.

Bottom Line

If buying a home is one of your long-term goals, you may be able to get there sooner than you think by tapping into one of the many down payment assistance programs available.

10 Reasons to Hire a Property Manager

 

If you've owned income property for any length of time, you know that managing a rental can be financially rewarding. At the same time, you've also likely discovered that property management requires a large commitment of time and effort.

While it may make sense to take the do-it-yourself approach if you're a handy person, live close to your property, and don't mind devoting several hours per month to the task, in many cases this just isn't practical---especially if you hope to expand your business. With this in mind, here are some critical tasks a property manager can help you with:

  1. Setting the right rental rates: While looking through the classifieds to see what other landlords are charging for similar properties is a fine way to ballpark your rent price, a good property management company will conduct a thorough market study in order to set a rental price for your property, ensuring that you achieve the perfect balance between maximizing monthly income and maintaining a low vacancy rate.
  2. Collecting and depositing monthly rent payments on time: If you've ever worked in a billing department, you know that securing payment from clients can be difficult, not to mention awkward. Property management companies have efficient, tried-and-true systems in place to effectively collect rent and maintain on-time payments. You'll find this particularly important if you have a limited number of properties, and collecting payments on time is crucial to maintaining your cash flow.
  3. Marketing and advertising your property: Through long experience, a property manager will know exactly where to market your property and how to craft compelling advertising materials---a significant advantage when it comes to filling your properties quickly and avoiding long vacancies.
  4. Finding the right tenants: Experienced property managers are experts at finding good tenants, and will take care of all the details, including the securing all criminal background and security checks, running credit reports, verifying employment, and collecting previous landlord references.
  5. Managing tenants: In addition to finding good tenants, a property management company will manage all aspects of the tenant-landlord relationship. The property manager will handle both routine and emergency maintenance, take care of routine inspections, and manage any situations where conflict resolution is required.
  6. Managing vendor relationships: Property management companies have relationships with maintenance workers, tradesmen, contractors, suppliers, and vendors that it's almost impossible for an independent landlord to duplicate. Not only will your property manager get you the best work for the best price, they'll oversee any necessary maintenance projects.
  7. Ensuring that you're in compliance with housing regulations and property laws: There is a multitude of applicable laws and regulations to abide by when renting and maintaining your rental property. These include local, state and federal regulations, as well as fair housing regulations (such as the ADA). A property manager can help you avoid lawsuits by keeping your property up-to-date and in compliance with these regulations.
  8. Enabling you to invest in geographically distant properties: If you manage your own properties, you're pretty much limited to investment opportunities within a tight radius of your own home. By hiring a property manager, you can take advantage of investment deals in any location you wish.
  9. Maximizing the profitability of your time: By having a property manager take care of the day-to-day aspects of running your income property, your free to spend your time identifying further investment opportunities or otherwise furthering your career.
  10. Maximizing the profitability of your money: Most property managers charge a percentage of your property's monthly rental rate in exchange for their services. The rate typically runs anywhere from 6-10%, which is generally less than the money you save by hiring a professional to take care of your property.

How Much Do You Know About Down Payments?

How Much Do You Know About Down Payments? | MyKCM

 

Whether you’ve owned a home before, or you’re ready to jump into homeownership for the first time, there are always a lot of questions swirling around about what is truly required for a down payment, and how to best source down payment assistance. Let’s tackle these two today.

1. How much do you really need for a down payment?

There is a long-standing misconception about down payment requirements. A survey from Fannie Mae shows only 17% of consumers know the minimum options are actually between 1 - 5% of the purchase price and 40% don’t know how much they need at all.How Much Do You Know About Down Payments? | MyKCMThere are many mortgage loans available that require as little as 3% down for first-time buyers, and some ask for only 3.5% down from repeat buyers. There are even loans available for Veterans that provide 0% down payment options too.

We’ve mentioned recently that you don’t need to come up with a 20% down payment to buy, and we’ve also shared how quickly you can save for a 3% or 10% down payment, depending on where you live. If you’re planning to put down just 3%, the research shows it may be possible in most states to have enough saved for a down payment in less than a year. That puts homeownership in a much closer reach for many potential buyers, maybe even you!

2. How can I get help with my down payment?

Regardless of the loans available, many buyers still need assistance with a down payment. The great news is, there are a lot of ways to tap into down payment assistance options. Here are just a couple of them:

Assistance from Family Members

The National Association of Realtors (NAR) said, “a third of recent first-time buyers received down payment assistance from family members.” They also mentioned, “the average net worth of those aged 75 and over stands at $264,800...They just might offer the boost the next generation needs to become homeowners.

That means one of the ways to find help with a down payment is to accept a gift from a family member. If this is an option for you, make sure you talk to your loan officer before you accept the money, to ensure you document the process the way it is required by your loan. This way, it will be received properly and you can still potentially qualify.

Down Payment Assistance Programs

The reality is, not everyone has a loved one or a family member who can provide help with a down payment. There are, however, more than 2,500 down payment assistance programs available (by local areas like city, county, or neighborhood), and some of them are even specifically for first-time buyers.

The gap, as mentioned in the same survey, is “only 23% of consumers are familiar with low down payment programs.”

That’s why it is so important to get familiar with these options by doing your homework before you plan to buy a home. Determine what is available in the area where you ultimately want to live, so you have all the details you need to take advantage of the down payment assistance option that is best for your family.

Bottom Line

If buying a home is one of your long-term goals, you may be able to get there sooner than you think by tapping into one of the many down payment assistance programs available.

Why Now Is the Perfect Time to Sell Your House

 

Why Now Is the Perfect Time to Sell Your House | MyKCM
 

As a homeowner, it’s always tempting to dream about the next big project you’re going to tackle. The possibilities are endless. Should I renovate? Should I refinance? Should I stay? Should I move? The list goes on and on.

In today’s housing market, it’s actually a great time to shift your thoughts toward selling your house and moving up into the home of your dreams. Here’s why:

Inventory is on the rise, but there’s still an overall shortage of houses for sale (less than a 6-month supply found in a more normal market), so homes are going under contract quickly. In fact, the National Association of Realtors (NAR) Realtors® Confidence Index Survey reports that right now homes are only staying on the market for an average of 27 days. That’s less than one month, an even more accelerated pace from the 36-day trend we saw last spring.Why Now Is the Perfect Time to Sell Your House | MyKCMThe same report also indicates there are more interested buyers than active sellers today, which is one of the big factors driving home prices higher.Why Now Is the Perfect Time to Sell Your House | MyKCMWhy Now Is the Perfect Time to Sell Your House | MyKCMThis power combination provides an ideal environment for sellers aiming to close a quick sale and earn a big return as we wrap up the summer season.

Bottom Line

There’s still time to make a move before the school year starts and the fall weather sets in. Maybe it’s time to make a change. Let’s get together to determine if selling now is the right decision for your family.

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.

Home Price Appreciation Forecast

 

Home Price Appreciation Forecast | MyKCM
 

Questions continue to come up about where home prices will head throughout the rest of this year, as well as where they may be going over the few years beyond.

We’ve gathered current data from the industry’s most reliable sources to help answer these questions:

The Home Price Expectation Survey – A survey of over 100 market analysts, real estate experts, and economists conducted by Pulsenomics each quarter.

Mortgage Bankers Association (MBA) – As the leading advocate for the real estate finance industry, the MBA enables members to successfully deliver fair, sustainable, and responsible real estate financing within ever-changing business environments.

Zelman & Associates – The firm leverages unparalleled housing market expertise, extensive surveys of industry executives, and rigorous financial analysis to deliver proprietary research and advice to leading global institutional investors and senior-level company executives.

Freddie Mac – An organization whose mission is to provide liquidity, stability, and affordability to the U.S. housing market in all economic conditions extending to all communities from coast to coast.

The National Association of Realtors (NAR) – The largest association of real estate professionals in the world.

Fannie Mae – A leading source of financing for mortgage lenders, providing access to affordable mortgage financing in all markets.

Here’s the home price appreciation these experts are projecting over the next few years:

Home Price Appreciation Forecast | MyKCM

Bottom Line

Every source sees home prices continuing to appreciate, which is great news for the strength of the market. The increase is steepest throughout the rest of 2019, and prices should continue to rise as we move through 2020 and beyond.

4 Tips to Sell Your Home Faster

 

4 Tips to Sell Your Home Faster | MyKCM
 

Since June of last year, we have seen an increase in the inventory of homes for sale month per month. Every spring and summer, the inventory increases because people want to sell their home. For those with children, they may want to be in their new home for the beginning of the school year.

If you are one of those sellers, you may find these 4 tips helpful in getting your home sold more quickly.

1. Make buyers feel at home

Declutter your home! Pack away all personal items like pictures, awards, and sentimental belongings. Make them feel like they belong in this house! According to the Profile of Home Staging by the National Association of Realtors,

“83% of buyers’ agents said staging a home made it easier for a buyer to visualize the property as a future home.”

Not only will your house spend less time on the market, but the same report mentioned that,

“One-quarter of buyers’ agents said that staging a home increased the dollar value offered between 1 – 5%, compared to other similar homes on the market that were not staged.”

2. Keep it organized

Since you took the time to declutter, keep it organized! Before the buyers show up, pick up toys, make the bed, and put away clean dishes. It is also a good idea to put out some cookies fresh from the oven or a scented candle. Buyers will remember the smell of your home! According to the same report, the kitchen is one of the most important rooms to stage in order to attract more buyers.

3. Give buyers full access

One of the top four elements when selling your home is access! If your home is available anytime, that opens up more opportunity to find a buyer right away. Some buyers, especially those relocating, don’t have much time available. If they cannot get into the house, they will move on to the next one.

4. Price it right

As we mentioned at the beginning, more inventory coming into the market guarantees there will be some competition. You want to make sure your home is noticed. The key to selling your house in 2019 is ensuring it is Priced to Sell Immediately (PTSI). That way, your home will be seen by the greatest amount of buyers and will sell at a great price before more competition comes to market!

Bottom Line

If you want to sell your house in the least amount of time at the best price with as little hassle as possible, a local real estate professional is a useful guide. Call them today to find out what you need to do to sell your home more quickly.

Stop Wondering What Your Budget Is & Get Pre-Approved!

 

Stop Wondering What Your Budget Is & Get Pre-Approved! | MyKCM
 

In many markets across the country, the number of buyers searching for their dream homes outnumbers the number of homes for sale. This has led to a competitive marketplace where buyers often need to stand out. One way to show that you are serious about buying your dream home is to get pre-qualified or pre-approved for a mortgage before starting your search.

Even if you are not in an incredibly competitive market, understanding your budget will give you the confidence of knowing whether or not your dream home is within your reach.

Freddie Mac lays out the advantages of pre-approval in the ‘My Home’ section of their website:

“It’s highly recommended that you work with your lender to get pre-approved before you begin house hunting. Pre-approval will tell you how much home you can afford and can help you move faster, and with greater confidence, in competitive markets.”

One of the many advantages of working with a local real estate professional is that many have relationships with lenders who will be able to help you through this process. Once you have selected a lender, you will need to fill out their loan application and provide them with important information regarding “your credit, debt, work history, down payment and residential history.”

Freddie Mac describes the ‘4 Cs’ that help determine the amount you will be qualified to borrow:

  1. Capacity: Your current and future ability to make your payments
  2. Capital or cash reserves: The money, savings, and investments you have that can be sold quickly for cash
  3. Collateral: The home, or type of home, that you would like to purchase
  4. Credit: Your history of paying bills and other debts on time

Getting pre-approved is one of many steps that will show home sellers that you are serious about buying, and it often helps speed up the process once your offer has been accepted.

Bottom Line

Many potential home buyers overestimate the down payment and credit scores necessary to qualify for a mortgage. If you are ready and willing to buy, you may be pleasantly surprised at your ability to do so today.

5 Hacks to Pay Off Your Home Loan Sooner

5 Hacks to Pay Off Your Home Loan Sooner

 

 

Despite many financial experts advising homeowners not to pay off their home loan early but to invest the money elsewhere, home ownership is still one of the primary goals for most Americans. The obvious advice of making the largest possible deposit on your home in the beginning to reduce the size of the mortgage goes without saying. But you don’t have to get lost in the fantasy of owning the house outright when you can follow these tips which will help you make the dream a reality faster than you expected. 

1. Make Higher Repayments

Making higher repayments on your mortgage means you will save a lot of money. If you get a cheaper loan, make sure you can make extra payments and treat it as if the rate is two or three points higher. For example, if your rate is four per cent, and you pay it off as if it’s five per cent you’ll pay it off much sooner, and save heaps. If you only pay one extra monthly payment each year, you’ll pay your mortgage off 11 years sooner, and save thousands of dollars in interest. 

2. Make Fortnightly Repayments

The concept of a fortnightly repayment is simple. If your lender or mortgage deal allows it, pay half of your monthly mortgage repayments every two weeks. That adds up to 13 full monthly payments every year. Depending on your interest rate, this can mean your 30-year mortgage is paid off eight years earlier. Another way of reducing your loan period without feeling it in your pocket is to pay a few dollars a week extra into your home loan. The balance will reduce sooner because these payments come right off the balance. 

 

3. Refinance For A Shorter Term

You can refinance for a shorter term loan to pay off your mortgage sooner. If your loan is over 30 years, having it to 15 or even 10 years will make your payments higher, but you will own your home outright in a fraction of the time. But make sure you get a lower interest rate to make it worthwhile. 

4. Reconfigure Payments But Don’t Refinance

To help you reach your early pay-off goal, ask your lender to show you how much you would be paying a month at various time frames at the same interest rate. For example, if your loan is over 30 years, ask what the payment would be over 15 or 10 years, or whatever you think would better suit you. Or You could also try Bankrate’s mortgage payment calculator(1) to work it out for yourself. 

 

5. Make Lump Sum Payments

You can reduce the time it takes to pay off your mortgage by adding any extra lump-sum payments to your principal. If you have a windfall, inheritance, a tax refund or work bonus, you can use it to chip away at your loan. If you leave the extra cash in another account, you might be tempted to spend it on things you could do without. Even if your lump sum is only small, it will help you whittle away your loan, but always follow your lender’s rules for making principal-only repayments, in case you are charged a prepayment penalty for paying the mortgage off early.

 

For all your real estate needs, whether buying or renting in Deltona Florida, call 

Julie Cvercko on 386-668-8668 or email Julie@primerealestateinc.com.

 

____________________________________________________________________________

 

References: 

  1. https://www.bankrate.com/calculators/mortgages/mortgage-loan-payoff-calculator.aspx








     

    Author’s Bio 

     

    Alex Morrison has worked with a range of businesses giving him an in-depth understanding of many different industries including outdoor blinds, financial support, and health care. As the owner of Integral Media, he is now utilizing his knowledge and experience with his rapidly increasing client portfolio to help them achieve their business goals.

     

Tips for Bringing Your Rental Property to Its Full Potential

Investing in rental property comes with many benefits, and it is steadily growing in popularity with the advent of companies like Airbnb and Vrbo. While this means there are more and more opportunities opening up for novice and seasoned real estate investors alike, it also means that competition is growing more fierce. Investors who want a good return on their investments must take the necessary steps to upkeep their property and steadily attract renters. If you’re a rental property owner or potential buyer, these tips can help you maximize your property’s potential.

 

Put in the Work

                       

If you want your property to stand out among the crowd, it will take some sweat equity. While there are projects that may require professionals, there’s a lot you can do yourself. According to Angie’s List, doing some basic landscaping and giving the inside of the home a good cleaning is the first step to making the property more appealing. Also, putting a fresh coat of paint on the interior and exterior can liven up your space, and installing a security system will help your tenants feel safe in their new environment. Along with landscaping, you can add curb appeal by painting the front door a vibrant color (e.g., red, teal, yellow, etc.).

 

Spruce up the Space

 

While you’re at it, you can boost the value of your property with add-ons that make it appeal to a higher-income market. Little things can make a big difference when it comes to add-ons. For instance, rearranging to create more storage space, adding modern light fixtures, and replacing the hardware on your cabinets can revitalize your rooms. Also, make sure the home has inviting blankets, pillows, linens and other textiles. If you want to take it a step further, putting in stainless steel appliances will raise the value even more.

 

Perform Regular Cleaning and Maintenance

 

Once you have your property in great shape, you’ll want to keep it that way. This means it will need to regularly be cleaned and maintained. If your schedule allows for it, you can save some money by doing all of it yourself; however, many property investors find it well worth the investment to hire a property maintenance company to handle the upkeep. Here are a few tasks that a property maintenance service usually includes:

 

  • Cleaning
  • Electrical
  • Plumbing
  • HVAC
  • Lawn maintenance
  • Pressure washing

 

A property maintenance company will often offer more intensive services, such as carpentry, painting, facade repair, and storm clean-up. Although it’s an additional cost, hiring a maintenance company will save you loads of time and energy and ultimately make your investment a smoother experience. Use online tools like this one to find a company near you.

 

Show Off Your Hard Work

 

You can bring all your hard work together by providing a good listing with photographs of your property. Most potential renters use an online listing service to find their next home, and your listing should be compelling enough to stand out among the competition. Be sure to hire a professional photographer to capture your property in the best light possible. Remember that the listing will probably be a potential renter’s first impression of your property.

 

Rental property investment comes with many incredible opportunities, but the competition is also growing. If you want your property to reach its full potential, you will need to take steps that make it appeal to renters. Use sweat equity to whip the home in shape, and remember to make little changes that can raise the property value. Ensure that the property is well maintained, and showcase its desirability by creating a great listing. With a little investing and hard work, you can keep your property occupied and increase your profits.

 

Photo Credit: Pexels

Why Is So Much Paperwork Required to Get a Mortgage?

 

Why Is So Much Paperwork Required to Get a Mortgage? | MyKCM
 

When buying a home today, why is there so much paperwork mandated by the lenders for a mortgage loan application? It seems like they need to know everything about you. Furthermore, it requires three separate sources to validate each and every entry on the application form. Many buyers are being told by friends and family that the process was a hundred times easier when they bought their home ten to twenty years ago.

There are two very good reasons that the loan process is much more onerous on today’s buyer than perhaps any other time in history.

1. The government has set new guidelines that now demand that the bank proves beyond any doubt that you are indeed capable of paying the mortgage.

During the run-up to the housing crisis, many people ‘qualified’ for mortgages that they could never pay back. This led to millions of families losing their home. The government wants to make sure this can’t happen again.

2. The banks don’t want to be in the real estate business.

Over the last several years, banks were forced to take on the responsibility of liquidating millions of foreclosures and negotiating an additional million plus short sales. Just like the government, they don’t want more foreclosures. For that reason, they have to double (maybe even triple) check everything on the application.

However, there is some good news in this situation.

The housing crash that mandated that banks be extremely strict on paperwork requirements also allowed you to get a low mortgage interest rate.

The friends and family who bought homes ten or twenty years ago experienced a simpler mortgage application process, but also paid a higher interest rate (the average 30-year fixed rate mortgage was 8.12% in the 1990s and 6.29% in the 2000s).

If you went to the bank and offered to pay 7% instead of around 4%, they would probably bend over backward to make the process much easier.

Bottom Line

Instead of concentrating on the additional paperwork required, let’s be thankful that we are able to buy a home at historically low rates.

3 Things to Know in the Housing Market Today!

 

3 Things to Know in the Housing Market Today! | MyKCM
 

A lot is happening in the world, and it’s having a direct impact on the housing market. The reality is this: some of it is positive and some of it may be negative. Some we just don’t know yet.

The following three areas of the housing market are critical to understand: interest rates, building materials, and the outlook for an economic slowdown.

1. Interest Rates

One of the most important things to consider when buying a home is the interest rate you will be charged to borrow the money. In our recent post we posed the question, “Are Low Interest Rates Here To Stay?” The latest information from Freddie Mac makes it appear they are. We are currently at a 21-month low in interest rates.3 Things to Know in the Housing Market Today! | MyKCM

2. Building Materials

Talk of tariffs could also affect the housing market. According to a recent article, the National Association of Home Builders reports that as much as $10 billion in goods imported from China are used in homebuilding. Depending on the outcome of the tariff and trade discussions between several countries, there could be as much as a 25% boost in the cost of building materials.

3. Economic Slowdown

In a prior blog post on this topic, we began the year with many economic leaders thinking we could expect a recession in late 2019 or early 2020. As spring approached, we reported that economists had started to push that projection past 2020.  Now, three leading surveys indicate that it may begin in the next eighteen months.3 Things to Know in the Housing Market Today! | MyKCM

Bottom Line

We are in a strong housing market. Wages are increasing, home prices are appreciating, and mortgage rates are the lowest they have been in 21 months.  Whether you are thinking of buying or selling, it’s a great time to be in the market.

The Feeling You Get from Owning Your Home

 

The Feeling You Get from Owning Your Home | MyKCM
 

We often talk about the financial reasons why buying a home makes sense. But, more often than not, the emotional reasons are the more powerful and compelling ones.

No matter what shape or size your living space is, the concept and feeling of home can mean different things to different people. Whether it’s a certain scent or a favorite chair, that feeling of safety and security you gain from owning your own home is simultaneously one of the greatest and most difficult to describe.

Frederick Peters, a contributor for Forbesrecently wrote about that feeling, and the pride that comes from owning your own home.

“As homeowners discover, living in an owned home feels different from living in a rented home. It’s not just that an owner can personalize the space; it touches a chord even more fundamental than that.

Homeownership enhances the longing for self-determination at the heart of the American Dream. First-time homeowners, young or old, radiate not only pride but also a sense of arrival, a sense of being where they belong. It cannot be duplicated by owning a 99-year lease.”

Bottom Line

Owning a home brings a sense of accomplishment and confidence that cannot be achieved through renting. If you are debating renewing your lease, let’s get together before you do to answer any questions you may have about what your next steps should be, and what is required in today’s market!

Multigenerational Homes Are on the Rise

 

Multigenerational Homes Are on the Rise | MyKCM
 

As loved ones start to get older, we start to wonder: how long will they be able to live alone? Will they need someone there to help them with daily life? There’s a reason to ask those questions now more than ever, as the average life expectancy in the U.S. is 78 years old! As a result, 41% of Americans in the market are searching for a home that can accommodate a multigenerational family.

The graph below shows the number of people by generation that purchased a multigenerational home because they will either be taking care of an aging parent or they just want to spend time together.Multigenerational Homes Are on the Rise | MyKCMOf those buyers, 26% indicated they will be taking care of an aging parent, and 14% said they want to spend time with an aging parent. These numbers do not come as a surprise. According to Pew Research Center, 64 million Americans (20% of the population) lived in a multigenerational household in 2016 (Last numbers available).Multigenerational Homes Are on the Rise | MyKCMAn increasing number of studies affirm the benefits of being part of a multigenerational household. These benefits aren’t just for the grandchildren, but for the grandparents as well. According to these two resources:

The University of Oxford

“Children who are close to their grandparents have fewer emotional and behavioral problems and are better able to cope with traumatic life events, like a divorce or bullying at school”.

Boston College

“Researchers found that emotionally close ties between grandparents and adult grandchildren reduced depressive symptoms in both groups”.

This research gives helpful insight into why 41% of Americans are in the market to buy a multigenerational home.

Bottom Line

If you have a home that could accommodate a multigenerational family and are thinking about selling, now is the perfect time to put it on the market! The number of buyers looking for this type of home will only continue to increase.

Starting the Search for Your Dream Home? Here Are 5 Tips!

 

Starting the Search for Your Dream Home? Here Are 5 Tips! | MyKCM
 

In today’s real estate market, low inventory dominates the conversation in many areas of the country. It can often be frustrating to be a first-time homebuyer if you aren’t prepared.

In a realtor.com article entitled, “How to Find Your Dream Home—Without Losing Your Mind,” the author highlights some steps that first-time homebuyers can take to help carry their excitement of buying a home throughout the whole process.

1. Get Pre-Approved for a Mortgage Before You Start Your Search

One way to show you are serious about buying your dream home is to get pre-qualified or pre-approved for a mortgage before starting your search. Even if you are in a market that is not as competitive, understanding your budget will give you the confidence of knowing whether or not your dream home is within your reach.

This step will also help you narrow your search based on your budget and won’t leave you disappointed if the home you tour, and love, ends up being outside your budget!

2. Know the Difference Between Your ‘Must-Haves’ and ‘Would-Like-To-Haves’

Do you really need that farmhouse sink in the kitchen to be happy with your home choice? Would a two-car garage be a convenience or a necessity? Could the ‘man cave’ of your dreams be a future renovation project instead of a make-or-break right now?

Before you start your search, list all the features of a home you would like and then qualify them as ‘must-haves’‘should-haves’, or ‘absolute-wish list’ items. This will help keep you focused on what’s most important.

3. Research and Choose a Neighborhood You Want to Live In

Every neighborhood has its own charm. Before you commit to a home based solely on the house itself, the article suggests test-driving the area. Make sure that the area meets your needs for “amenities, commute, school district, etc. and then spend a weekend exploring before you commit.”

4. Pick a House Style You Love and Stick to It

Evaluate your family’s needs and settle on a style of home that would best serve those needs. Just because you’ve narrowed your search to a zip code, doesn’t mean that you need to tour every listing in that zip code.

An example from the article says, “if you have several younger kids and don’t want your bedroom on a different level, steer clear of Cape Cod–style homes, which typically feature two or more bedrooms on the upper level and the master on the main.”

5. Document Your Home Visits

Once you start touring homes, the features of each individual home will start to blur together. The article suggests keeping your camera handy to document what you love and don’t love about each property you visit.

Making notes on the listing sheet as you tour the property will also help you remember what the photos mean, or what you were feeling while touring the home.

Bottom Line

In a high-paced, competitive environment, any advantage you can give yourself will help you on your path to buying your dream home.

Tips for Young, First-Time Homeowners on Starting Fresh, Organized, and Downsiz

One of the best gifts you can give yourself as a young, first-time homeowner is a clean, organized start. You certainly don’t want to pack your brand-new home full of junk -- unnecessary items that you’ve amassed over the years. And if you think only older people have to worry about downsizing and hardcore organizing, then think again. Everyone can benefit from a somewhat minimalist mindset -- especially someone starting their adult life. Here are some tips to make that happen.

 

Examine your closet

 

In our closets, lurk the largest collection of items we don’t really need anymore. The biggest culprit is usually our clothes, where we amass a staggering amount of completely unnecessary clutter. Thankfully, it’s very easy to make some inroads. As LifeHacker suggests, if you get rid of clothes that don’t fit, are torn or stained, are simply ugly/out of style, and don’t make you happy, then you’ll be well on your way. Beyond that, think about getting rid of anything you haven’t worn in a year. Make the process as cut and dry as possible; that will help it be successful.

 

Move on to your media

 

How many books, movies, CDs, etc. do you really need? Consider cutting your collections down to the basics and selling/donating the rest (an app like Decluttr makes this pretty easy). In this day and age, with streaming music and video options, it’s not imperative that you hold onto every DVD and album you love.

 

Digitize your paper clutter

 

What if you could get rid of a ton of physical items but not get rid of them at all? Luckily, you can. Digitizing (scanning) your important paper documents is a great way to downsize and declutter. This includes receipts, invoices, tax documents, and even photos. Some tips for doing this include scanning and saving in a universal file type like a PDF, keeping the documents on a physical drive as well as in the cloud in digital storage, and scanning things as soon as you get them. 

 

Make sure most things have more than one purpose

 

Putting aside family heirlooms and some emotionally charged keepsakes, you should try to find at least two reasons for keeping each item in your home. If you can’t think of something as multipurpose, you should put it on the downsizing chopping block first. For example, your TV stand. It serves the purpose of holding up your TV and storing your movies/gaming systems inside its cabinet. But what if those cabinets are empty. Then it only serves one purpose. Mount your TV to the wall instead. See how this works?

 

Get some help

 

It’s understandable to take a “it’s my stuff and I know what’s best for it” kind of mentality. You know how you want your new home organized. How could anyone be better at that than you? Well, some people are, and they are called professional organizers. If you’re feeling really stressed out and overwhelmed by the downsizing and decluttering process, it might be worth the money to hire one. A home organizer typically charges between $257 and $744.

 

Change your address

 

Now that you’ve bought your first home, did you remember to change your address? Follow this change of address checklist to make ensure you’ve alerted all the proper channels of your new address. 

 

Starting a new family at a new home or beginning a new career as a single person are both big moments in life where a lot of excess clutter, baggage, and space can really tie you down. If you’re just now moving into your first home, make sure you do what you can to start off clean and organized.

 

 

Becoming A Landlord: The Pros and Cons of Owning A Rental Property

Becoming a landlord is a big decision, but it’s one that many Americans have made over the years because of the benefits that often come with it. Having an extra source of income for several months out of the year is a huge plus, and if you’re able to maintain the property well, you can sell it down the road when the market is at its peak. Diversifying your investment portfolio is a great way to add financial security to your life as well, especially if you have a family.

 

However, there are many things to consider when you’re thinking of renting out a property. With the benefits also come a few cons, such as laying out money in the beginning to make updates and fill the house with furniture, decor, and necessities for your renters. If your year-round home is in a different city or state than the rental, you’ll also have to pay someone to make sure the general upkeep is taken care of throughout the year and that security is a priority. If you aren’t careful, a rental property can take a lot of your time, money, and energy. With the right moves, you can make it a success. Here are a few things to consider--both the good and the bad.

 

Managing the property

 

Managing a property is a big job, which is why there are companies out there that will take the reins for you when it comes to keeping up with profits, repairs, maintenance, and the cost of making sure your property is in great condition for your renters. Having a professional property manager like Great Jones will take some of the burden off your shoulders so you can focus on other things, and knowing you’re in good hands will give you peace of mind that you’re getting the most value out of your investment.

 

Knowing what renters want

 

One of the most important things about owning a rental property is being aware of what your guests want and need in order to have a good time. This will help to ensure that they keep coming back, and that they recommend your property to friends and family. Do some research online to find out what renters in your area expect when they go on vacation or when they’re on a business trip, and think about how those things might be worked into your budget. For instance, if your property is close to a lot of family-friendly activities--such as theme parks or beaches--you might consider adding more places to sleep by installing pull-out couches or bunk beds.

 

Finding out what you’re responsible for

 

The insurance requirements for rental properties vary by state, so make sure you read up on what you’ll be responsible for and what the cost will be. Renting out a property to several different guests throughout the year is different than renting out as a “landlord”--meaning charging one person or one family to stay in your home for several months at a time--and requires a different policy. You’ll need to protect your property against fire and other damage, so talk to a professional who can help you figure out the best plan for you.

 

Using your rental

 

If you own a rental property that only gets used seasonally, you may be able to use it yourself for up to 14 days out of the year and still get the benefit of tax deductions. Do a little research to find out the details according to where you live.

 

Becoming a landlord and renting out property is a big job. However, it can allow you to reap quite a few rewards if you’re prepared, so if this is a challenge you’re considering taking on, do some research to find out what your responsibilities are and how best to run your property.

Why Access Is One of the Most Important Factors in Getting Your House Sold!

Why Access Is One of the Most Important Factors in Getting Your House Sold!

Why Access Is One of the Most Important Factors in Getting Your House Sold! | MyKCM
 

So, you’ve decided to sell your house. You’ve hired a real estate professional to help you through the entire process, and they have asked you what level of access you want to provide to your potential buyers.

There are four elements to a quality listing. At the top of the list is access, followed by condition, financing, and price. There are many levels of access that you can provide to your agent so that he or she can show your home.

Here are five levels of access that you can give to buyers, along with a brief description:

  1. Lockbox on the Door – this allows buyers the ability to see the home as soon as they are aware of the listing, or at their convenience.
  2. Providing a Key to the Home – although the buyer’s agent may need to stop by an office to pick up the key, there is little delay in being able to show the home.
  3. Open Access with a Phone Call – the seller allows showings with just a phone call’s notice.
  4. By Appointment Only (example: 48-Hour Notice) – Many buyers who are relocating for a new career or promotion start working in that area prior to purchasing their home. They often like to take advantage of free time during business hours (such as their lunch break) to view potential homes. Because of this, they may not be able to plan their availability far in advance or may be unable to wait 48 hours to see the house.
  5. Limited Access (example: the home is only available on Mondays or Tuesdays at 2 pm or for only a couple of hours a day) – This is the most difficult way to be able to show your house to potential buyers.

With more competition coming to the market this spring, access can make or break your ability to get the price you are looking for, or even sell your house at all.

Renters Paying Substantially More While Owning Costs Less

Renters Paying Substantially More While Owning Costs Less

Renters Paying Substantially More While Owning Costs Less | MyKCM
 

In a recent Insights Blog, CoreLogic reported that rent prices have skyrocketed since 2005. Meanwhile, the typical mortgage payment has actually decreased.

“CoreLogic’s national rent index was up 36% in December 2018 compared with December 2005, while the typical mortgage payment was down 4% over that period.”

Renters Paying Substantially More While Owning Costs Less | MyKCM

Why the difference between the costs of renting versus owning?

It makes sense that rents have risen. However, how did mortgage payments decrease? CoreLogic explained:

“It’s mainly because mortgage rates back in December 2005 were significantly higher, averaging 6.3% for a fixed-rate 30-year loan, compared with 4.6% in December 2018.

The national median sale price in December 2005 – $190,000 – was lower than the $220,305 median in December 2018, but because of higher mortgage rates in 2005 the typical monthly mortgage payment was slightly higher back then – $941 – compared with $904 in December 2018.”

Additionally, a recent report by the National Association of Realtors (NAR) showed that purchasing a home requires less of your monthly paycheck.

According to the Economists’ Outlook Blog, NAR’s February 2019 Housing Affordability Index showed that the “percentage of income needed” to pay the typical mortgage has decreased the last three months.

  • November - 17.3%
  • December - 16.9%
  • January - 16.2%
  • February – 15.9%

Bottom Line

What does this all mean to the current housing market? We think First American said it best in a post last week:

“The mortgage rate-driven affordability surge has arrived just in time… Rising affordability has already benefited home buyers and, if the lower rate environment persists, we’re in for a great spring home-buying season.”

 

Why Pet-Friendly Homes Are in High Demand

 

Why Pet-Friendly Homes Are in High Demand | MyKCM
 

One of the many benefits of owning your own home is the freedom to find your ‘furever’ friend. By pointing out the aspects of your home that make it ‘pet-friendly’ in your listing, you’ll attract these buyers, rather than alienating the 68% of American households that have a pet!

If you are one of the many homeowners looking to list your home for sale, how do you stand out to the millions of pet parents searching for their dream home?

Whether a dog person, a cat person, or someone who prefers the company of another pet species, 99% of pet owners say that they consider their animal to be family. When finding a home, 95% of animal owners believe it is important that a housing community allows animals.

study by the National Association of Realtors (NAR) revealed that there are many aspects of the home buying, selling and owning experience that have been greatly impacted by our love for our pets.

This should come as no surprise, as $72 billion was spent on pets in the U.S in 2018. NAR’s President William E. Brown shed some light on the impact of pet owners and their home search.

“It is important to understand the unique needs and wants of animal owners when it comes to homeownership. REALTORS® understand that when someone buys a home, they are buying it with the needs of their whole family in mind; ask pet owners, and they will enthusiastically agree that their animals are part of their family.”

The Power of Pets When Choosing the Right Home

  • 89% of pet owners say they would not give up their pet due to a housing restriction
  • 81% of Americans say their pets play a role in their housing situation
  • 31% of animal owners have refused to put in an offer on a home because it wasn’t a good fit for their animals
  • 19% of Americans say they would consider moving for their pet
  • 12% percent have moved for their pet

New home builders have actually begun installing retractable pet gates that tuck away neatly inside door jams as a highly requested feature in new homes to attract pet-parents.

So, if you are a homeowner looking to sell in today’s pet-friendly environment, point out the features of your home that will attract pet owners:

  • Fully fenced in backyard – (91% of pet owners ranked this as the most important feature of a home to accommodate their pet)
  • Locations of dog parks/walking paths/pet-friendly beaches in the area (71% ranked this as the top feature of any neighborhood they would consider)
  • Proximity to veterinarians/groomers/pet supply stores (31%)

Bottom Line

Americans love their pets and will look for pet-friendly features in the home they wish to buy, so take advantage of this knowledge by pointing out your home’s ability to meet their needs.

Budget-Friendly House Selling Tips for Busy Parents

Image courtesy of Unsplash

 

Budget-Friendly House Selling Tips for Busy Parents

 

Are you considering listing your home for sale but are half-afraid you won’t be able to present the house well? We have good news! Not only can busy parents have their home ready for the market, but with a few smart strategies, you can also have it spotless and clutter-free in time for showings. Here’s how to navigate preparations and avoid going broke in the process. 

 

Depersonalize Decor

 

It’s fun to decorate your home with your kids in mind, but when it comes time to sell your house, Realty 101 explains that depersonalizing is your friend. Throughout your home, including kids’ bedrooms and bathrooms, you need to aim for a decor that won’t remind potential buyers you live there. That means family photos, refrigerator art, toy bins, collections, and so on all need to be removed. Theme decor can feel tricky, but you can replace cartoon shower curtains and race car comforters inexpensively, just shop big retailers like Kohl’s. By checking online for Kohl's coupons, you can stretch your dollars and put out attractive and inexpensive replacements, then store their favorites until you have settled into the new place. 

 

Do a Deep Clean

 

Presenting a thoroughly cleaned house is one of the keys to a successful sale, and when you have kids, it can be a challenge to get it clean and keep it that way. So, plan to polish every nook and cranny, and assemble some smart tools for the job. Organize a cleaning caddy with your favorite selection of cleansers and gadgets, and keep it handy for quick refreshers. A well-chosen duster is a boon, and for crumbs, entryways, and play areas, a handheld vacuum is nearly indispensable. For stocking up on all your cleaning goods, Walmart offers everyday low prices and a broad selection. You can save even more and make it super convenient by shopping online and choosing items which are discounted when you pick them up at the store, which is both economical and efficient. 

 

Pick Out Paint

 

Once you pull down personal items and have a spotless home, it’s the perfect time to paint. When it comes to selecting colors, neutral walls are generally your best bet. Think about cool shades of grey or pale blues. One great way to handle refreshing the kids’ rooms is to give them just a couple of shades to pick from and go from there. Giving them a say in the process can take away the sting of losing special decor, and be sure to remind them they can pick stuff for the new house as well. Home Depot offers a full selection of paint and supplies, and since you won’t be staying, consider low-cost paint. The new homeowners might paint over it anyway, and this way you can present the space in an appealing manner without overspending.

 

Storage Solutions

 

Removing your kids’ excess things is one thing, but what do you do with what’s left behind? With a busy family, there will be some things that simply can’t be stowed until after the move, such as favorite toys, sporting equipment, school supplies, baby gear, and so forth. HGTV points out that one way to tackle the conundrum is to invest in aesthetically pleasing storage containers. Choose something attractive that you can display, such as trunks or baskets. Also, keep something handy you can toss things into on your way out the door, like a small laundry basket or bag. Keep space set aside in the car for the last minute stash and you’ll be set to snag any short-notice showings. For baskets, bins, and other storage containers, Michael’s has a broad variety to mesh with your decor, and you can check their website for current deals

 

Getting your home ready to sell is a big deal. Even if your family is on the go, you can prepare to list your property without too much trouble or expense. When showings come along, you’ll be ready in a flash, and thanks to your preparations, you’ll be moving to your new place in no time!

Looking to Upgrade Your Current Home? Now’s the Time to Move-Up!

Looking to Upgrade Your Current Home? Now’s the Time to Move-Up! | MyKCM
 

In every area of the country, homes that are priced at the top 25% of the price range for that area are considered to be Premium Homes. In today’s real estate market there are deals to be had at the higher end! This is great news for homeowners who want to upgrade from their current house and move-up to a premium home.

Much of the demand for housing over the past couple years has come from first-time buyers looking for their starter home, which means that many of the more expensive homes that have been listed for sale have not seen as much interest.

This mismatch in demand and inventory has created a Buyer’s Market in the luxury and premium home markets according to the ILHM’s latest Luxury Report. For the purpose of the report, a luxury home is defined as one that costs $1 million or more.

“A Buyer’s Market indicates that buyers have greater control over the price point. This market type is demonstrated by a substantial number of homes on the market and few sales, suggesting demand for residential properties is slow for that market and/or price point.”

The authors of the report were quick to point out that the current conditions at the higher end of the market are no cause for concern,

“While luxury homes may take longer to sell than in previous years, the slower pace, increased inventory levels and larger differences between list and sold prices, represent a normalization of the market, not a downturn.”

Luxury can mean different things to different people. It could mean a secluded home with a ton of property for privacy to one person, or a penthouse in the center of it all for someone else. Knowing what characteristics you are looking for in a premium home and what luxury means to you will help your agent find your dream home.

Bottom Line

If you are debating upgrading your current house to a premium or luxury home, now is the time!

JULIE CVERCKO
386-668-8668
840 Deltona Blvd. St. F-1
Deltona, Florida 32725
Julie@primerealestateinc.com

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"Well, we sold our home here in Deltona, Fl. On the market less than 24 hours and sold it. Thanks to Prime Real Estate Inc, good folks there. They know how to get it done."  Glen Brenham
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This sales associate team has the best experience and guidance to provide any home buyer. I could seriously go on and on. They are authentic. They have integrity. They approach each case covering all the bases. It has been two weeks since I moved into my home and I am still a bit reactionary yet, they have reached out to check on me. I am so grateful. They have real knowledge and experience in so many ways, other parts of the country, the market, dealing with other agents, experience with lenders; they gave me confidence. I feel they treated me with respect and whether I was a multi millionaire or the truth, a person with a tenuous credit score, they did their best for me and with me. Every home we looked at, they provided positive options to flaws or problems. They utilized every communication modality possible to assist me and get thru the whole process. They are down to earth authentic people that understood my fears and gave me time for explanations every time. I learned so much from them. Plus, they dont stop at the end of the sale! They continue to provide excellent service with contacts and advice. I am seriously very grateful. Mary Robison
Julie and Jake best team ever. They are easy-going to work with. Their genuine interest in our needs and desires made buying our property a fantastic experience. They were patient, extremely attentive,and offered sound advice during the entire process. We couldn't be happier with our new home or with the service we received from them. Isabel Candelas Sanabria
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