Daily Real Estate News |
Friday, September 25, 2015
Sales of newly built single-family homes increased nearly 6 percent
in August, reaching a seasonally adjusted annual rate of 552,000 units,
the Commerce Department reported Thursday. That is the best monthly
figure in new-home sales since February 2008. However, the number does
still remain far off from the 706,000 unit-pace that is considered the
30-year historic average in new-home sales.
"We continue to hear from our members that more serious home buyers
are returning to the market," says Tom Woods, chairman of the National
Association of Home Builders. "Builders are gradually adding inventory
to meet future demand as they handle shortages of lots and labor."
The Northeast posted the highest gains of any other region in the
U.S., with new-home sales surging 24.1 percent in August. The South also
posted a 7.4 percent month-over-month increase and the West saw a 5.4
percent increase in new-home sales. The Midwest was the only region in
the U.S. to see new-home sales drop in August, falling 9.1 percent.
Overall, the inventory of new homes for-sale reached 216,000 units in August, a 4.7-month supply at the current sales pace.
"Today's report indicates the release of pent-up housing demand as
the overall economy strengthens, consumer confidence grows and mortgage
interest rates remain low," says David Crowe, NAHB's chief economist.
"The housing market should continue to move forward at a modest but more
persistent pace throughout the rest of 2015."
Source: National Association of Home Builders and "New Home Sales Highest Since 2008," CNNMoney (Sept. 24, 2015)
Friday, October 30, 2015
Tuesday, October 27, 2015
Property Taxes Are on the Rise
Daily Real Estate News |
Friday, September 25, 2015
Property tax collections have increased nearly $13 billion or by nearly 3 percent over the past year, according to a new analysis by the National Association of Home Builders.
Property tax collections – including commercial real property taxes and personal property taxes – totaled more than $503 billion over the last year. Property taxes are critical to communities' financials, making up 38.9 percent of state and local tax receipts.
"Gains for state and local non-property tax collections have outpaced increases in property tax receipts in recent years because such non-property taxes experienced the greatest declines during the recession," NAHB notes on its blog, Eye on Housing. "The impact pushed the property tax share of total receipts from the four major sources from a high of 44.9 percent in the third quarter of 2010 to just below 39 percent for the second quarter of 2015."
NAHB economists point out that the current share is close to the pre-housing boom (2001-2003) average of 38 percent.
Source: "Property Tax Collections Increase," National Association of Home Builders' Eye on Housing blog (Sept. 22, 2015)
Property tax collections have increased nearly $13 billion or by nearly 3 percent over the past year, according to a new analysis by the National Association of Home Builders.
Property tax collections – including commercial real property taxes and personal property taxes – totaled more than $503 billion over the last year. Property taxes are critical to communities' financials, making up 38.9 percent of state and local tax receipts.
"Gains for state and local non-property tax collections have outpaced increases in property tax receipts in recent years because such non-property taxes experienced the greatest declines during the recession," NAHB notes on its blog, Eye on Housing. "The impact pushed the property tax share of total receipts from the four major sources from a high of 44.9 percent in the third quarter of 2010 to just below 39 percent for the second quarter of 2015."
NAHB economists point out that the current share is close to the pre-housing boom (2001-2003) average of 38 percent.
Source: "Property Tax Collections Increase," National Association of Home Builders' Eye on Housing blog (Sept. 22, 2015)
Friday, October 23, 2015
Multigenerational Homes
By Andrea Murad
“Family dynamics can add a whole new set of variables to the equation,” says Craig Brimhall, vice president of Wealth Strategies at Ameriprise Financial (AMP). “In these types of circumstances, communication really is the key to relearning how to live with your relatives.”
Along with setting expectations, you’ll also need to figure out how everyone will physically fit into your existing home and who will pay for any needed renovations or moving costs.
Living in a multigenerational home requires compromise and understanding from all parties. “You’ve got to talk about your relationship if there are issues,” says Brimhall. “When someone’s going to live with you, the money is important, but what’s more important is if the relationship will survive or get worse. Money is just a piece of life.”
Before everyone moves in, experts have suggestions for what to consider to make this transition as seamless as possible.
Communication
“If you sit down and get everything out in the open, it goes a lot better than if you ignore issues and aren’t straightforward about the new living situation and how everyone will interact together,” says Danny Lipford, home improvement expert and host of "Today's Homeowner with Danny Lipford."
Discuss rules and expectations upfront and be as transparent as you can to avoid any misunderstandings. “These are ongoing conversations, but many times, these have to do about independence,” says John Diehl, senior vice president of Strategic Markets at Hartford Funds. Try to understand what everyone needs as much as possible, which may range from individual pantry spaces or an area to entertain friends.
Setting boundaries is important too.
“Part of it may be having frank conversations about rearing children or activities, making sure everyone is on the same page about an area to be discussed and what should be approached with caution,” says Diehl. “You’re taking people who haven’t lived together for many years and combining them back in [under one roof] — their routines and interests are different.”
Finances
Having more people under one roof adds to monthly household expenses and may require expensive renovations so everyone can fit into the home. Who pays for this can become a source of contention between family members.
“It’s a reasonable conversation to have within the family about Mom and Dad contributing to modifications to your home,” says Diehl. “[Mom and Dad] may have an existing home that they may not need any longer, but the question of how much should be used to modify that living space is legitimate because, unless that child wasn’t taking their parents in, they wouldn’t make these modifications.”
Also consider everyone’s long-term plans. Expensive renovations for a Millennial who plans to live with you temporarily may not make economic sense, experts say, but this may change the longer they live with you and if they have children.
An elderly parent, however, who plans to stay with you for anywhere from a few years to several decades may need special accommodations from the start. If you have to borrow money to make these renovations for a parent who’s unable to live independently, Brimhall suggests diverting funds that would have been used to pay for assisted living towards a loan instead. “It’s very reasonable to ask parents to pay for this if they have the extra income to pay for it,” he says.
Experts suggest having this discussion with all siblings to avoid any inheritance issues in the future, but if Mom and Dad have assets, then they are the ones who make the ultimate decision. “The parents will have a controlling say and should come to the table with an understanding that it’s a significant change for the child they’re living with,” says Diehl. Ignoring these financial issues will create other problems later on.
“To expect the same child to provide the caregiving and perhaps step away from their job to do that and have their parents be with them 24-7, to put them further into debt to upgrade their house is asking a lot,” says Diehl. “It has to be a family conversation to the extent it can be.”
Home Layout
Trendy open floor plans aren’t always best for a multigenerational home. “Coming back into a family home with an open floor plan, you’re forced to do everything together because of the space and design of the home,” says Lipford, “and it’s more successful if people have at least a place where they can retreat.”
Certain rooms are always shared though, such as kitchens and utility rooms, but setting up bedrooms to be more of a suite will help someone maintain their independence. Add an area where they can have meals in private if they choose, along with an entertainment space.
“For the sanity of everyone and the longevity of the situation, it’s always better to have that bit of separation,” says Lipford. “Certainly you have that shared space, but it’s having that option to have your own sitting area.”
Adding doors can help provide a private space within the home too, and a separate entrance helps your new housemates maintain their social life and privacy.
Lipford advises making modifications for safety if necessary, like adding grab bars, walk-in showers, tubs with seats, anti-skid surfaces, faucets with levers and lever doorknobs. Consider separate heating and cooling controls, as well as redesigning the kitchen so everyone can access countertops and microwaves.
Move or renovate?
Since bringing new people into your family home is disruptive enough, start with the cost to retrofit your home. “Then you can have a larger conversation about whether that’s the right thing to do or if you should search for another larger home in a different location that can accommodate your needs,” says Diehl.
If renovation costs are high and you’re short on time, a good option may be to rent a home with a layout that’s better suited for multigenerational use.
Tuesday, October 20, 2015
Energy Sector Fueled More Economies in 2014
Texas led the nation in having the
fastest-growing economies in 2014. Half of the 16 metro areas where the
economy grew at a 6 percent rate or more last year were located in the
Lone Star state, the Commerce Department reported this week.
Midland, Texas, a city known for its energy-rich sector, led the nation with a 24.1 percent advance in gross domestic product. Other Texas places high on the list included San Angelo, Texas, with an 11.4 percent growth, and Dallas with an 8.5 percent increase. Lake Charles, La., was No. 3 with a 10.3 percent growth, and Greely, Colo., landed at No. 4 with a 9.9 percent uptick.
The best performing economies tended to have a booming energy sector, The Wall Street Journal reports. "Natural resources and mining, which includes oil and gas extraction, was a relatively small contributor to growth, on average, in U.S. metro areas," WSJ reports. "But for areas leading overall growth, it was among the biggest drivers."
In Greely, Colo., natural resources and mining account for more than a third of that area's total economic growth.
Recent drops in oil prices over the last year likely will cause the economies in many of these fastest-growing areas to slow, WSJ reports. In Odessa, Texas, for example, the economy increased 6.3 percent in 2014 but the town has seen its unemployment rate rise to 4.5 percent in July 2015, up from 3.8 percent one year earlier.
Source: "Texas Towns Led the Country in Economic Growth in 2014," The Wall Street Journal (Sept. 23, 2015)
Fastest-Growing Economies in 2014Overall, the Commerce Department reports that economies rose in 282 of the nation's 381 metro areas last year.
- Midland, Texas
- San Angelo, Texas
- Lake Charles, La.
- Greeley, Colo.
- Wheeling, W.Va.-Ohio
- Dallas-Fort Worth-Arlington, Texas
- Bismarck, N.D.
- Victoria, Texas
- San Jose-Sunnyvale-Santa Clara, Calif.
- Corpus Christi, Texas
- Charleston, W.Va.
- Odessa, Texas
Midland, Texas, a city known for its energy-rich sector, led the nation with a 24.1 percent advance in gross domestic product. Other Texas places high on the list included San Angelo, Texas, with an 11.4 percent growth, and Dallas with an 8.5 percent increase. Lake Charles, La., was No. 3 with a 10.3 percent growth, and Greely, Colo., landed at No. 4 with a 9.9 percent uptick.
The best performing economies tended to have a booming energy sector, The Wall Street Journal reports. "Natural resources and mining, which includes oil and gas extraction, was a relatively small contributor to growth, on average, in U.S. metro areas," WSJ reports. "But for areas leading overall growth, it was among the biggest drivers."
In Greely, Colo., natural resources and mining account for more than a third of that area's total economic growth.
Recent drops in oil prices over the last year likely will cause the economies in many of these fastest-growing areas to slow, WSJ reports. In Odessa, Texas, for example, the economy increased 6.3 percent in 2014 but the town has seen its unemployment rate rise to 4.5 percent in July 2015, up from 3.8 percent one year earlier.
Source: "Texas Towns Led the Country in Economic Growth in 2014," The Wall Street Journal (Sept. 23, 2015)
Friday, October 16, 2015
'Secret' Money-Saving Home Insurance Option?
A new article at realtor.com® is
warning home owners about an influx of storm-chasing contractors who may
be indirectly pushing up home insurance prices in their area. These
contractors may knock on home owners' doors and say they need a new roof
or siding due to wind and hail damage – all cosmetic damage repairs
that may not be necessary.
Home insurance companies often classify dents, dimples, and dings in roof vents, shingles, or aluminum siding as "cosmetic damage" to a property, says Billy Van Jura, an insurance broker in Poughkeepsie, N.Y.
"When several claims for this type of work are submitted in a single region, the price everyone pays (including those who haven’t filed a claim) can increase because the insurer sees the region as having greater risk of additional claims," the article at realtor.com® cautions. "There's nothing you can do about a widespread storm that damages several homes in your area and ultimately raises everyone's rates. But you can help curb your own annual home insurance costs with a little-known option called 'cosmetic damage exclusion.'"
The American Association of Insurance Services created the cosmetic damage exclusion in 2013 – available in nearly all states – that aims at protecting consumers from scammers and tries keep home insurance rates more affordable. It makes cosmetic damage coverage optional. Home owners can then decide if they want to pay for cosmetic-only wind and hail damage. If the damage impacts the safety or structural functionality of the home, the home insurance policy will kick in.
By adding this exclusion to cosmetic damage, home owners stand to save money on their annual premiums – anywhere from $100 to $200 or more, says Troy Thompson, an independent insurance broker with Pinnacle Insurance Agency in Coon Rapids, Minn.
Hail and wind damage claims alone contribute to about 40 percent of all home insurance claims in the last five years, according to the Insurance Information Institute. And many of those claims may be for minor cosmetic repairs, such as a few nicks in the siding that home owners may be made to believe are more urgent than they actually are.
Home owners may choose to submit a claim for cosmetic damage covered by their home insurance policy, but they need to be aware that they may then be responsible for paying any applicable deductibles, insurance agents say.
Source: "The Money-Saving Home Insurance Option No One Will Ever Tell You About," realtor.com® (Sept. 23, 2015)
Home insurance companies often classify dents, dimples, and dings in roof vents, shingles, or aluminum siding as "cosmetic damage" to a property, says Billy Van Jura, an insurance broker in Poughkeepsie, N.Y.
"When several claims for this type of work are submitted in a single region, the price everyone pays (including those who haven’t filed a claim) can increase because the insurer sees the region as having greater risk of additional claims," the article at realtor.com® cautions. "There's nothing you can do about a widespread storm that damages several homes in your area and ultimately raises everyone's rates. But you can help curb your own annual home insurance costs with a little-known option called 'cosmetic damage exclusion.'"
The American Association of Insurance Services created the cosmetic damage exclusion in 2013 – available in nearly all states – that aims at protecting consumers from scammers and tries keep home insurance rates more affordable. It makes cosmetic damage coverage optional. Home owners can then decide if they want to pay for cosmetic-only wind and hail damage. If the damage impacts the safety or structural functionality of the home, the home insurance policy will kick in.
By adding this exclusion to cosmetic damage, home owners stand to save money on their annual premiums – anywhere from $100 to $200 or more, says Troy Thompson, an independent insurance broker with Pinnacle Insurance Agency in Coon Rapids, Minn.
Hail and wind damage claims alone contribute to about 40 percent of all home insurance claims in the last five years, according to the Insurance Information Institute. And many of those claims may be for minor cosmetic repairs, such as a few nicks in the siding that home owners may be made to believe are more urgent than they actually are.
Home owners may choose to submit a claim for cosmetic damage covered by their home insurance policy, but they need to be aware that they may then be responsible for paying any applicable deductibles, insurance agents say.
Source: "The Money-Saving Home Insurance Option No One Will Ever Tell You About," realtor.com® (Sept. 23, 2015)
Tuesday, October 13, 2015
4 Costly Mistakes When Building New
When building a new home, home
buyers may quickly find themselves over-budget and over-stressed. U.S.
News & World Report recently highlighted some of the most common
financial mistakes when building a new home:
1. Don't overbuild. "I meet potential clients in my office almost weekly who tell me, 'We built a 6,000 square-foot home, but now we're dying to downsize to something smaller,'" says Andy Stauffer, owner of Stauffer and Sons Construction, a homebuilder in Colorado Springs. "Most families don't even need 5,000 square feet, and a home as small as 2,500 or 3,000 square feet won't feel small if it's designed properly. A larger house is just more expensive and harder to maintain and clean. According to the National Association of Home Builders, a custom home in the U.S. costs an average of $105 per square foot to build. That means by eliminating even 500 square feet in a home that you don't need, you'll save over $50,000."
2. Consider the resale value at the beginning. "It's simply a fact of life. Most of us don't know for sure where we'll be in 10 or 15 years, as much as we'd like to think we do," Stauffer says. "I recently spoke to a real estate agent who had some clients that built a five-story custom home. They loved it, but when it was time to sell, they had to drop the price by tens of thousands of dollars and sell at a significant loss because nobody wanted to buy a five-story home and walk up and down the stairs all day long. So build your dream home, but don't make it a nightmare for someone else."
3. Weigh the upgrades. Buyers may have to teeter on too conservative or not conservative enough when choosing their extras. "You will be surprised at how quickly a $200,000 home becomes $400,000 in upgrades," Joan Fradella, a family mediator in West Palm Beach, Fla., who built a new home in 1998 told U.S. News & World Report.
Brian Brunhofter, president of Meritus Custom Builders in Chicago, says buyers need to carefully consider what upgrades are must haves. "For example, carpet can always be switched out to hardwood floors later, but a full basement is something you should decide on now," he says. That said, some buyers may want to do some of those upgrades now while lending is relatively inexpensive at the moment. As long as you don't go overboard, it may "be much more economic to stretch and plan for those features in your budget now," he says.
4. Monitor the progress. "Visit the site during construction," advises Nicole Cannon, a resident architect in Los Angeles. "Make sure things are matching your expectations and ask questions if they don’t. The worst option is to remain quiet and end up with something that you are unhappy with or have to pay to fix after the fact."
Source: "8 Financial Mistakes to Avoid When Building a New Home," U.S. News & World Report (Sept. 25, 2015)
1. Don't overbuild. "I meet potential clients in my office almost weekly who tell me, 'We built a 6,000 square-foot home, but now we're dying to downsize to something smaller,'" says Andy Stauffer, owner of Stauffer and Sons Construction, a homebuilder in Colorado Springs. "Most families don't even need 5,000 square feet, and a home as small as 2,500 or 3,000 square feet won't feel small if it's designed properly. A larger house is just more expensive and harder to maintain and clean. According to the National Association of Home Builders, a custom home in the U.S. costs an average of $105 per square foot to build. That means by eliminating even 500 square feet in a home that you don't need, you'll save over $50,000."
2. Consider the resale value at the beginning. "It's simply a fact of life. Most of us don't know for sure where we'll be in 10 or 15 years, as much as we'd like to think we do," Stauffer says. "I recently spoke to a real estate agent who had some clients that built a five-story custom home. They loved it, but when it was time to sell, they had to drop the price by tens of thousands of dollars and sell at a significant loss because nobody wanted to buy a five-story home and walk up and down the stairs all day long. So build your dream home, but don't make it a nightmare for someone else."
3. Weigh the upgrades. Buyers may have to teeter on too conservative or not conservative enough when choosing their extras. "You will be surprised at how quickly a $200,000 home becomes $400,000 in upgrades," Joan Fradella, a family mediator in West Palm Beach, Fla., who built a new home in 1998 told U.S. News & World Report.
Brian Brunhofter, president of Meritus Custom Builders in Chicago, says buyers need to carefully consider what upgrades are must haves. "For example, carpet can always be switched out to hardwood floors later, but a full basement is something you should decide on now," he says. That said, some buyers may want to do some of those upgrades now while lending is relatively inexpensive at the moment. As long as you don't go overboard, it may "be much more economic to stretch and plan for those features in your budget now," he says.
4. Monitor the progress. "Visit the site during construction," advises Nicole Cannon, a resident architect in Los Angeles. "Make sure things are matching your expectations and ask questions if they don’t. The worst option is to remain quiet and end up with something that you are unhappy with or have to pay to fix after the fact."
Source: "8 Financial Mistakes to Avoid When Building a New Home," U.S. News & World Report (Sept. 25, 2015)
Friday, October 9, 2015
The Top Exterior Finishes for New Homes Are…
Vinyl is the clear champ when it
comes to the most widely used exterior on new homes, shows Census
Bureau's Survey of Construction and an analysis by the National
Association of Home Builders.
In 2014, the latest data available, vinyl (including vinyl-covered aluminum) was the most commonly used wall material at 29 percent, followed by stucco and brick or brick veneer at 23 percent each, and fiber cement siding at 18 percent.
Vinyl siding is the most popular exterior material in five out of the nine Census divisions, with the Middle Atlantic and New England areas having the highest prevalence at 76 percent and 72 percent, respectively. In the East and North West Central divisions, vinyl accounted for more than 50 percent. In the South Atlantic, however, vinyl was used in 36 percent of new single-family homes started in 2014.
But other exterior materials can be more common in different regions of the U.S. For example, stucco was the most popular exterior wall material in the Mountain and Pacific divisions at 55 percent and 52 percent, respectively. About 40 percent of homes started in the Pacific used fiber cement siding. In the East and West South Central divisions, brick or brick veneer were popular choices, with at least 59 percent of new single-family homes started in 2014 using it as the primary exterior material.
Source: "Vinyl Is the Most Widely Used Exterior for New Homes," National Association of Home Builders Eye on Housing blog (Sept. 23, 2015)
In 2014, the latest data available, vinyl (including vinyl-covered aluminum) was the most commonly used wall material at 29 percent, followed by stucco and brick or brick veneer at 23 percent each, and fiber cement siding at 18 percent.
Vinyl siding is the most popular exterior material in five out of the nine Census divisions, with the Middle Atlantic and New England areas having the highest prevalence at 76 percent and 72 percent, respectively. In the East and North West Central divisions, vinyl accounted for more than 50 percent. In the South Atlantic, however, vinyl was used in 36 percent of new single-family homes started in 2014.
But other exterior materials can be more common in different regions of the U.S. For example, stucco was the most popular exterior wall material in the Mountain and Pacific divisions at 55 percent and 52 percent, respectively. About 40 percent of homes started in the Pacific used fiber cement siding. In the East and West South Central divisions, brick or brick veneer were popular choices, with at least 59 percent of new single-family homes started in 2014 using it as the primary exterior material.
Source: "Vinyl Is the Most Widely Used Exterior for New Homes," National Association of Home Builders Eye on Housing blog (Sept. 23, 2015)
Tuesday, October 6, 2015
Appealing to Autumn Home Buyers
Get to know the two types of shoppers in the market for a new home this season.
By on
For years, seasons and school calendars have dictated real estate markets. Many buyers search hard in the spring and early summer so they can find a house and close before the school year starts in September.
As a result, many sellers have held off listing their homes near the holidays and in the winter, favoring the warm spring months to showcase their landscaping and outdoor spaces.
These cycles worked well for decades because families were the most common buyers. But many of today’s buyers are young millennials or empty nesters. School schedules and seasons don’t typically dictate their home purchase time frame. These buyers are active in the fall and even into the winter months, including the holidays.
If you have a home to sell, fall is a great time to list it, despite conventional wisdom. With less competition than in the spring, it may even turn out to be better financially. Here’s how to appeal to the two types of home shoppers that are particularly active in the fall.
Fully connected and attached, millennials will look at listings and analyze data 24/7. Sellers must keep their home in tip-top shape and showing-ready at all times.
Don’t expect millennial buyers to wait around for an open house. Many prefer to see homes they like on their timeframe. Be ready to accommodate them.
Have great listing photos online the minute the home hits the market. Nothing is more frustrating to young buyers than to be notified via text or email about a property in an awesome location, only to find that the listing doesn’t include any photos.
Millennials are visual. Spend extra time on the photo shoot, and make sure your agent hires a professional photographer. Good photos get your buyers in the door. Give them what they want.
Many older buyers are looking to downsize, which means they either need to sell their existing home before they buy, or they will need to take a loan against their current home to purchase. Juggling finances means they come to the table with an incredible amount of stress. Give them time to process decisions.
Empty nesters may not be as responsive as other buyers, and may not communicate quickly via text, or even check email during off hours. If possible, accommodate their response times. If they feel rushed or under the gun, no matter how hot your home or how competitive the market, they will walk away.
Don’t forget, someone with five or six decades of life experience comes to the table more informed. Having been through a couple of financial and housing crises, they may be more cautious as they approach retirement and life on a fixed income.
The best salesperson knows and understands his or her buyers. The same holds true for real estate sales. As a seller, prepare to meet a buyer that may be very different from you. Plan in advance to give them what they want. Once you have a buyer on board, learn as much as you can about who they are, and work with them. What works for some buyers may not work for others.
By on
For years, seasons and school calendars have dictated real estate markets. Many buyers search hard in the spring and early summer so they can find a house and close before the school year starts in September.
As a result, many sellers have held off listing their homes near the holidays and in the winter, favoring the warm spring months to showcase their landscaping and outdoor spaces.
These cycles worked well for decades because families were the most common buyers. But many of today’s buyers are young millennials or empty nesters. School schedules and seasons don’t typically dictate their home purchase time frame. These buyers are active in the fall and even into the winter months, including the holidays.
If you have a home to sell, fall is a great time to list it, despite conventional wisdom. With less competition than in the spring, it may even turn out to be better financially. Here’s how to appeal to the two types of home shoppers that are particularly active in the fall.
Marketing to millennials
For millennials, the market is always on. As long as their smartphone or tablet is within reach, they are active buyers.Fully connected and attached, millennials will look at listings and analyze data 24/7. Sellers must keep their home in tip-top shape and showing-ready at all times.
Don’t expect millennial buyers to wait around for an open house. Many prefer to see homes they like on their timeframe. Be ready to accommodate them.
Have great listing photos online the minute the home hits the market. Nothing is more frustrating to young buyers than to be notified via text or email about a property in an awesome location, only to find that the listing doesn’t include any photos.
Millennials are visual. Spend extra time on the photo shoot, and make sure your agent hires a professional photographer. Good photos get your buyers in the door. Give them what they want.
Attracting empty nesters
Empty nesters tend to be more old school than millennials. They can be slower and more methodical about a purchase. Don’t rush them.Many older buyers are looking to downsize, which means they either need to sell their existing home before they buy, or they will need to take a loan against their current home to purchase. Juggling finances means they come to the table with an incredible amount of stress. Give them time to process decisions.
Empty nesters may not be as responsive as other buyers, and may not communicate quickly via text, or even check email during off hours. If possible, accommodate their response times. If they feel rushed or under the gun, no matter how hot your home or how competitive the market, they will walk away.
Don’t forget, someone with five or six decades of life experience comes to the table more informed. Having been through a couple of financial and housing crises, they may be more cautious as they approach retirement and life on a fixed income.
The best salesperson knows and understands his or her buyers. The same holds true for real estate sales. As a seller, prepare to meet a buyer that may be very different from you. Plan in advance to give them what they want. Once you have a buyer on board, learn as much as you can about who they are, and work with them. What works for some buyers may not work for others.
Friday, October 2, 2015
Housing's 20 Top Performers This Month
The Golden State’s housing market is
proving to be golden so far heading into the fall buying season.
Several Californian cities dominate realtor.com®’s list of the
top-performing housing markets in the country, with San Francisco taking
the No 1 spot.
Realtor.com® has singled out 20 of the nation’s 300 largest markets, identifying the “hottest markets” in terms of housing supply (measured by days on the market) and demand (measured by listing views on its site).
“Sellers in these markets continue to see listings move much more quickly than the rest of the country in September, and the seasonal slowdown is not as strong in these markets,” says Jonathan Smoke, realtor.com®’s chief economist.
Here are the top 20 housing markets in September, according to realtor.com®:
Realtor.com® has singled out 20 of the nation’s 300 largest markets, identifying the “hottest markets” in terms of housing supply (measured by days on the market) and demand (measured by listing views on its site).
“Sellers in these markets continue to see listings move much more quickly than the rest of the country in September, and the seasonal slowdown is not as strong in these markets,” says Jonathan Smoke, realtor.com®’s chief economist.
Here are the top 20 housing markets in September, according to realtor.com®:
- San Francisco, Calif.
- Dallas, Texas
- Denver, Colo.
- Vallejo, Calif.
- San Jose, Calif.
- San Diego, Calif.
- Santa Rosa, Calif.
- Sacramento, Calif.
- Santa Cruz, Calif.
- Yuba City, Calif.
- Midland, Texas
- Stockton, Calif.
- Los Angeles, Calif.
- Columbus, Ohio
- Nashville, Tenn.
- Detroit, Mich.
- Ann Arbor, Mich.
- Modesto, Calif.
- Austin, Texas
- Fort Wayne, Ind.
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