Category Archives: real estate market

How To Buy in a Tight Market

Increase your chances of getting your dream house in a competitive housing market.

Get prequalified for a mortgage.

You’ll be able to make a firm commitment to buy and your offer will be more desirable to the seller.

Stay in close contact with your real estate agent.

Your agent will be on the lookout for the newest listings that meet your criteria. Be ready to see a house as soon as it goes on the market — if it’s a great home, it will go fast.

Scout out new listings yourself.

Browse sources such as realtor.com and local real estate listing sites. Set up alerts for the neighborhoods and characteristics you’re looking for. Drive through your target neighborhoods, and if you see a home you like for-sale, send the address and listing agent’s name to your agent, who can schedule a showing for you.

Be ready to make a decision.

Spend plenty of time in advance deciding what you can afford and must have in a home so you won’t hesitate when you have the chance to make an offer.

Bid competitively.

Your first inclination may be to start out offering something less than the absolute highest price you can afford, but if you go too low in a tight market, you will likely lose out.

Keep contingencies to a minimum.

Restrictions such as needing to sell your home before you move can make your offer unappealing. Remember that, if the market is tight, you’ll probably be able to sell your house rapidly. You can also talk to your lender about getting a bridge loan to cover both mortgages for a short period.

But don’t get caught in a buying frenzy.

Just because there’s competition for a home doesn’t mean you should buy it. And even though you want to make your offer attractive, don’t neglect inspections that help ensure the house is a sound investment.

Source: National Association of REALTORS®

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5 Things to do Before Putting Your Home on the Market

  1. Have a pre-sale home inspection. Be proactive by arranging for a pre-sale home inspection. An inspector will be able to give you a good indication of the trouble areas that will stand out to potential buyers, and you’ll be able to make repairs before open houses begin.
  2. Organize and clean. Pare down clutter and pack up your least-used items, such as large blenders and other kitchen tools, out-of-season clothes, toys, and exercise equipment. Store items off-site or in boxes neatly arranged in the garage or basement. Clean the windows, carpets, walls, lighting fixtures, and baseboards to make the house shine.
  3. Get replacement estimates. Do you have big-ticket items that are worn our or will need to be replaced soon, such your roof or carpeting? Get estimates on how much it would cost to replace them, even if you don’t plan to do it yourself. The figures will help buyers determine if they can afford the home, and will be handy when negotiations begin.
  4. Find your warranties. Gather up the warranties, guarantees, and user manuals for the furnace, washer and dryer, dishwasher, and any other items that will remain with the house.
  5. Spruce up the curb appeal. Pretend you’re a buyer and stand outside of your home. As you approach the front door, what is your impression of the property? Do the lawn and bushes look neatly manicured? Is the address clearly visible? Are pretty flowers or plants framing the entrance? Is the walkway free from cracks and impediments?

Source: National Association of REALTORS®

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Real Estate Careers on the Rise

More people are securing careers in real estate as the housing market shows signs of improving. Many REALTOR® Associations are reporting an increase in membership applications. The picture of just how many people are making the move into real estate is still unclear at this point.

The real estate industry lost a number of real estate professionals over the last four to five years, because there were not enough sales to support them. Many have remained in the business, but on a part time basis. They’ve been forced to take another job, just to make ends meet. As the market continues to improve, many of these folks will return to the business full time.

If you are considering a career in real estate or returning to the business, then check us out at www.TopofKnox.com.

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Buying More Affordable Than Renting

In the majority of U.S. housing markets, buying is more affordable than renting.  While housing values have been on the decline in recent years, rents have been on the rise as the demand for rental properties have increased.

If your currently renting, now might be the best time to purchase financially. Housing values are at all time lows along with interest rates. These conditions are not expected to continue indefinitely. In fact; housing values are already showing signs of rising along with interest rates.

You might be asking yourself; how much house can I buy, and will I actually be better off purchasing a home versus renting? Your best resource to get answers to these questions would be either a mortgage broker or your banking institution. They will be in a position to tell you how much house you would qualify for, how much cash you will need to close and what your projected monthly payment would be.  Once you have this information, you’ll be able to make an informed decision.

If you’ve decided that now is a good time to buy a home, then the next step is to contact a REALTOR® who will assist you with the house hunting process through the closing on your new home.

Act today; don’t keep putting your future plans on hold.

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When Do Most Real Estate Closings Occur?

The most common days for real estate closings are Fridays and the last working day of the month.

Here were the most popular days in 2014:

•June 30th (Monday)

•May 30th (Friday)

•August 29th (Friday)

•April 30th (Wednesday)

•July 31st (Thursday)

As you can see from the list, the spring and summer months are the most popular.

Source: National Association of REALTORS®

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Inside the Mind of a Seller

The NAR 2013 Profile of Homebuyers and Sellers gives some key insight into what today’s typical seller is thinking when it comes time to move.

97% – Recent sellers typically sold their house for this percentage of the listing price.

88% – Sellers that were assisted by a real estate agent when selling their home.

59% – Purchased a newer home than they’d owned previously.

47% – Reported that they reduced the asking price at least once.

36% – Sellers that offered incentives to attract buyers.

13% – Sellers that had to delay or stall selling their home because the value of their home was worth less than their mortgage.

 

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