property management Archives

Sales Numbers Show Homes Selling Quickly

Though the number of previously owned homes sold in February fell from the month before, homes sales are still up from one year ago. There’s also no shortage of interested home buyers, according to a new report from the National Association of Realtors. In fact, Lawrence Yun, NAR’s chief economist, says buyer traffic is stronger than last year and it’s leading to quick sales. “Realtors are reporting stronger foot traffic from a year ago, but low supply in the affordable price range continues to be the pest that’s pushing up price growth and pressuring the budgets of prospective buyers,” Yun says. “Newly listed properties are being snatched up quickly so far this year and leaving behind minimal choices for buyers trying to reach the market.” A closer look at the numbers shows that for-sale properties typically stayed on the market for 45 days in February – down from 59 days last year at the same time. In other words, until more homeowners decide to sell, buyers should be prepared to move quickly. Fortunately, though, the number of available homes for sale rose 4.2 percent last month and a recent survey found an increasing number of current homeowners who said they feel it’s a good time to sell. As more homeowners put their homes up for sale, the market should begin to balance and give buyers more opportunities. More here.

City Living May Cost More Than Move To Suburbs

Whether you prefer to live in the city or suburbs depends on a lot of factors. From the size of your family to your age and career, there are many different considerations that come into play when deciding where you might want to settle down. Of course, money is always a major one. Joyce Hodel, a data scientist at Care.com – who recently partnered with Zillow on a cost of living analysis that looked at average housing and child care costs in cities as opposed to suburbs – says choosing where to settle down is a big decision for any family. “Figuring out where your family will live and grow is arguably one of the most exciting and daunting times in a parent’s life,” Hodel says. “While moving to the suburbs often brings significant cost savings, city living can still be the right choice for some families and is less expensive in certain metro areas.” In fact, according to the research, families spend an average of just over $9,000 a year more on basic housing and child care costs when living in cities. However, in some metro areas like Philadelphia and Baltimore, living in the city can actually be the more affordable option. More here.

Financial Optimism May Boost Housing Market

The number of American households that believe the economy is improving has jumped 14 percent since last year at this time, according to the recently released results of a quarterly survey from the National Association of Realtors. That improvement could have an impact on home buyers and sellers as the spring season begins. That’s because, the more confident a person is in their personal financial situation, the more likely they are to make big life decisions, such as buying or selling a house. And, according to the survey, renewed economic optimism is already having an effect. In fact, a majority of Americans answered positively when asked whether or not it’s a good time to buy a home. Additionally, 69 percent said it’s a good time to sell. William E. Brown, NAR’s president, says if you’re someone looking to make a move this spring, it’s best to have a plan – especially if you’re a current homeowner. “Demand far outpaces supply in many parts of the country right now, which means homeowners will likely sell their home much quicker than the time it takes to buy another,” Brown said. “Before listing, it’s best to have a carefully crafted plan in place.”

Will This Year Be Better For Buyers Or Sellers?

If you want to know whether this year is going to be good for buyers or sellers or both, you need to watch for a couple of factors. First, take a look at the housing market. A recent uptick in mortgage rates, combined with higher prices and lower inventory, have made buying a home slightly less affordable than it was a couple of years ago. However, mortgage rates are still historically low and, though prices continue to rise, they have slowed down in many markets. That means, though affordability isn’t what it was a few years ago, buying a home remains an affordable choice. This is especially true when taken together with recent economic data. That’s because, whether or not higher rates will deter potential buyers really depends more on whether or not those buyers feel financially secure and optimistic about their prospects. In other words, if Americans continue to see better job opportunities and higher wages, they’ll be less likely to hesitate when thinking about buying a house regardless of where rates and prices go. According to the most recent outlook from Fannie Mae’s Economic & Strategic Research Group, how things play out will depend largely on young Americans. “Tight inventory remains a boon to home prices and Americans’ net worth, but it also continues to price out many would-be first-time homebuyers,” Doug Duncan, Fannie Mae’s chief economist, said. “However, our research suggests that aging millennials, now boasting higher real wages, are beginning to narrow the homeownership attainment gap.” More here.

The Nation’s Best Cities For Selling A Home

With spring quickly approaching, now is the time of year when home buyers start getting serious about finding a house to buy. That means, it’s also the best time of year for homeowners who have been thinking about putting their home up for sale. With for-sale inventory low in many markets, it’s a good time to be a home seller. How good depends, however, on where you live. A recent analysis from SmartAsset looked at five factors important to home sellers and determined the nation’s best cities for selling a house. Using the change in median home values, average number of days a home stays on the market before selling, the percentage of homes that sold for a loss, average closing costs, and the number of real-estate offices per 1,000 residents, the analysis scored 161 cities across the country. Surprisingly, among the top 10 cities for selling a house, nine of them were in either Colorado or Texas – with Denver taking the top spot. The only city outside of Colorado and Texas to make the top 10 was Portland. However, the results do show favorable conditions across a wide geographic area. Cities from every region of the country made the list, from Boston, Mass. to Irvine, Calif., Lexington, Ky. to Charlotte, N.C. More here.

Will Your Next Home Be Bigger Or Smaller?

Over the past 40 years, the typical new home has grown about 1,000 square feet. It seems, for American homeowners, their current home is always smaller than the home they hope to one day buy. But is that always the case? Well, not according to a recent survey from Trulia. Sure, the results show just 32 percent of homeowners say they’d move into a house the same size as the one they currently own. But whether that’s because they feel their house is too big or too small depends on some other factors. Generally, older homeowners and people currently living in homes larger than 2,000 square feet say they’d prefer to downsize, while younger buyers and those living in smaller homes dream of a bigger house. Most of that makes perfect sense. For example, older homeowners may prefer a smaller house due to the maintenance and upkeep issues that a bigger home presents. But when the number of people who say they’d prefer a smaller house rises along with the square footage of their current home, it suggest that there may be, in fact, a point when a house has more space than necessary, regardless of your age. In short, though new homes may keep getting bigger, whether or not you want one probably has more to do with the size of your family, your financial situation, and future life goals. More here.

Why Aren’t More Homeowners Looking To Sell?

Recent real estate data shows home buyer demand is high. There are a lot of buyers looking to take advantage of current conditions out of concern that mortgage rates may go up this year or prices will rise further. That, along with pent-up demand from younger buyers and previously underwater homeowners looking to finally move, means it should be a great time to sell a house. So, if buyer demand is up and conditions are right, why aren’t more homeowners putting their homes up for sale? Well one reason, according to a recent survey, is that they’re afraid they won’t be able to find a suitable replacement for their current home. With inventory tight in many markets, some homeowners – who may otherwise be ready to sell – say they’re hesitant. However, as more homeowners get in the market and off the sidelines, that will begin to change. In the meantime, buyers looking to purchase a home this spring should expect to see available homes for sale selling more quickly than they did last year. In other words, there will likely be some competition for hot properties. That means, interested buyers will have to move fast. One way to beat the competition is to be prepared. If you’re a buyer, have your financing lined up in advance. That way, when you find a home you’re interested in, you’ll have a better shot at getting in the first offer. More here.

Americans Feel Good About The Housing Market

Each month, Fannie Mae uses the results of their National Housing Survey to determine Americans’ views about housing market conditions and their personal economic outlook. The resulting Home Purchase Sentiment Index breaks down consumers’ responses about the state of their financial prospects, whether or not they feel it is a good time to buy or sell a house, and whether they think home prices and mortgage rates will rise or fall. In February, the index hit a new high and saw five of its six components increase. In fact, the number of respondents who said now was a good time to buy a house was up 11 percent, while 7 percent more participants said it was a good time to sell than did the month before. Increasing optimism was especially noticeable among younger buyers, according to Fannie Mae’s senior vice president and chief economist, Doug Duncan. “Millennials showed especially strong increases in job confidence and income gains, a necessary precursor for increased housing demand from first-time home buyers,” Duncan said in a press release. “Preliminary research results from our team find that millennials are accelerating the rate at which they move out of their parents’ homes and form new households.” More here.

What New Homeowners Say They’d Do Differently

Buying a house is no small purchase. So you definitely don’t want to find yourself regretting your choice after you’ve signed the papers and settled in. But though we all know it’s an important decision and one to be taken seriously, a lot of new homeowners say they’d do things differently if they had the chance to go through the buying process all over again. This is especially true for younger buyers, according to a new survey from NerdWallet. In fact, outside of baby boomers, a majority of recent buyers said they had regrets. So what are the main things that recent buyers said they’d change if they could? Well, nearly 30 percent of participants said they’d save more money before beginning the buying process. This is likely true for a number of reasons. Among them, the most obvious is the down payment. Though you don’t need to have a 20 percent down payment, the less you invest upfront the more you’ll pay on a monthly basis. In other words, the more you save, the better. Respondents also said they’d have done more research before buying a house. Buyers said they wished they had learned more in advance about both getting a mortgage and the home buying process. More here.

The Absolute Best Time To List Your Home

Though it’s commonly said that spring is the most popular time for home buyers to begin looking at houses, a new analysis has narrowed it down even further. In fact, the Zillow Group Report on Consumer Housing Trends pinpointed the best two weeks of the year to list a house. The study found that homes listed between May 1st and 15th sold nine days faster than the average listing. Additionally, homes that were listed during that time frame sold for 1 percent above average. However, you may not be able to expect the same success if you’re selling a house in an area with a warmer climate. That’s because, regions where the weather doesn’t change as drastically from season to season will see less variation in sale price. According to Zillow’s chief economist, Dr. Svenja Gudell, there’s one possible reason homes listed near the end of April or beginning of May do so well. “Many home buyers who started looking for homes in the early spring will still be searching for their dream home months later,” Gudell said. “By May, some buyers may be anxious to get settled into a new home – and will be more willing to pay a premium to close a deal.” The report also found that homes listed on a Saturday got 20 percent more views in their first week than those listed earlier in the week. More here.