Market Trends Real Estate Newsletter June 2014

Market Trends Real Estate Newsletter June 2014 June 2014 Subscribe to this Free Real Estate Newsletter! EXISTING-HOME SALES GAIN STEAM For the first time in 2014, existing-home sales rose during the month April while inventories increased, according to a recent report by the National Association of REALTORS (NAR). Existing-home sales, which include recently purchased single family, townhomes, condominiums, and co-ops rose 1.3 percent in January to a seasonally adjusted 4.65 million units for the year. NAR chief economist Lawrence Yun anticipated the market improvement. "Some growth was inevitable after sub-par housing activity in the first quarter, but improved inventory is expanding choices and sales should generally trend upward from this point," he said. "Annual home sales, however, due to a sluggish first quarter, will likely be lower than last year." Nationally, total housing inventory increased 16.8 percent during April to 2.29 million units. The median time for homes to sell was 48 days in April, a decrease from 55 days in March, while 41 percent of April home sales were on the market for less than a month. MORTGAGE AFFORDABILITY UPDATE Freddie Mac reports the national average commitment rate for a conventional, 30-year fixed-rate mortgage at 4.34 percent in April, which is unchanged from March but up from 3.45 percent recorded in April 2013. Approximately 70 percent of investors paid cash during the month. Steve Brown, NAR President, sees a lot of opportunity in the current market. "The typical time on market shrunk in April, with four out of 10 homes selling in less than a month," he said. "Homes that show well and are properly priced tend to sell the fastest. More housing inventory gives buyers better choices, and takes the pressure off of the buying process, which is a welcome sign, especially for first-time buyers." SUMMER SELLING OPPORTUNITIES Sellers, you have an excellent opportunity to sell your home this season if you have the right pricing strategy in place from the start! Studies show that the longer a property stays on the market, the less the seller will net upon the sale. It is very important to price your property at a competitive market value at the signing of your listing contract. The market is so competitive that even over-pricing by a few thousand dollars could mean that your house will not sell. An Overpriced Home: · Minimizes offers · Lowers agents response · Limits qualified buyers · Lowers showings · Lowers prospects · Limits financing · Wastes advertising dollars · Nets less for the seller When you are ready, contact us today for a personal free market value analysis of your home. No hassles or obligation - just honest advice on how to get top dollar for your home!

FREE Market Trends Real Estate Newsletter for May 2014

May 2014

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EXISTING-HOME SALES STEADY, PRICES UP

Existing-home sales remained level this March while home prices saw moderate growth, according to a recent report by the National Association of REALTORS (NAR). Existing-home sales, which include recently purchased single family, townhomes, condominiums, and co-ops were down 0.2 percent to a seasonally adjusted 4.59 million units for the year.

NAR chief economist Lawrence Yun expected to see more activity. "There really should be stronger levels of home sales given our population growth," he said. "In contrast, price growth is rising faster than historical norms because of inventory shortages. With ongoing job creation and some weather delayed shopping activity, home sales should pick up, especially if inventory continues to improve and mortgage interest rates rise only modestly."

Nationally, the median time for homes to sell was 55 days in March, a decrease from 62 days in February, and 62 days from March 2013. Thirty-seven percent of March home sales were on the market for less than a month.

OPTIMISM FOR FIRST TIME BUYERS

First-time buyers accounted for 30 percent of purchases in March, up two percent from the month before. NAR president Steve Brown believes this number can be higher. "There are indications that the stringent mortgage underwriting standards are beginning to ease a bit, particularly regarding credit score requirements, but they remain a headwind for entry-level and single-income home buyers," he said.

"We also have tight inventory in the lower price ranges where many starter homes are found, but rising new-home construction means some owners will be trading up and more existing homes will be added to the inventory. Hopefully, this will create more opportunities for first-time buyers," Brown said.

Mortgage giant Freddie Mac reports that the average commitment rate for a 30-year, fixed-rate mortgage was hovering at 4.34 percent during March. These historic low rates optimize housing affordability for today's home buyer.

FIVE TIPS TO ENHANCE CURB APPEAL

It's important for sellers to do what they can to get their home to stand out. Here are five quick tips to generate some excitement for your home in today's market.

• Use Paint:  A new coat of paint can go a long way to make your home look up to date. Neutral colors work best because they appeal to the most people.
• Mow the Lawn: Take the time to mow the lawn and clean the yard. Rake leaves and grass and put away any tools that may be lying around. Don't turn buyers off with a messy yard. If they like what they see on the outside, you'll improve your chances of getting them to look inside.
• Plant Flowers: Seasonal or perennials can bring a splash of color to your home and brighten the view from the street. Flowers throughout the house will please the senses and make your house feel like a home.
• Spruce Up Your Walkway: Dressing up your walkway with bricks or paving stones will lead people to your front door. Inexpensive solar lighting can further enhance your entry.
• Window Treatments: Keep your home from looking plain or boring with some decorative shutters. Windows are very important to the overall appeal of your home. Add planter boxes underneath for an immediate improvement that doesn't cost a lot of money!

By following these tips, you will be able to capture the hearts and minds of today's buyers, as well as improve your chances for a quick sale at the best price possible.

When you are ready, contact me today for a personal market value analysis of your home. No hassles or obligation - just honest advice on how to get top dollar for your home!