3 Must-Do’s When Selling Your House in 2024

Article Courtesy of Keeping Current Matters/The KCM Blog

 

If one of the goals on your list is selling your house and making a move this year, you’re likely juggling a mix of excitement about what’s ahead and feeling a little sentimental about your current home.

A great way to balance those emotions and make sure you’re confident in your decision is to keep these three best practices in mind when you’re ready to sell.

 

1. Price Your Home Right

The housing market shifted in 2023 as mortgage rates rose and home price appreciation started to normalize once again. As a seller, you still need to recognize how important it is to price your house appropriately based on where the market is today. Hannah Jones, Economic Research Analyst for Realtor.com, explains:

“Sellers need to become familiar with their local market and work closely with a local agent to make sure their listing is attractive to buyers. Buyers feeling the pressure of affordability are likely to be pickier, so a well-priced, well-maintained home is the ticket to drumming up big demand.”

If you price your house too high, you run the risk of deterring buyers. And if you go too low, you’re leaving money on the table. An experienced real estate agent can help determine what your ideal asking price should be, so your house moves quickly and for top dollar.

2. Keep Your Emotions in Check

Today, homeowners are staying in their houses longer than they used to. According to the National Association of Realtors (NAR), since 1985, the average time a homeowner has owned their home has increased from 6 to 10 years (see graph below):

This is much more than what used to be the norm. The side effect, however, is when you stay in one place for so long, you may get even more emotionally attached to your space. If it’s the first home you bought or the house where your loved ones grew up, it very likely means something extra special to you. Every room has memories, and it’s hard to detach from the sentimental value.

 

For some homeowners, that makes it even tougher to separate the emotional value of the house from fair market price. That’s why you need a real estate professional to help you with the negotiations and the best pricing strategy along the way. Trust the professionals who have your best interests in mind.

3. Stage Your Home Properly

While you may love your decor and how you’ve customized your house over the years, not all buyers will feel the same way about your vibe. That’s why it’s so important to make sure you focus on your home’s first impression, so it appeals to as many buyers as possible.

Buyers want to be able to picture themselves in the home. They need to see themselves inside with their furniture and keepsakes – not your pictures and decorations. As Jessica Lautz, Deputy Chief Economist and Vice President of Research at NAR, says:

“Buyers want to easily envision themselves within a new home and home staging is a way to showcase the property in its best light.”

A real estate professional can help you with expertise on getting your house ready to sell.

Bottom Line

If you’re considering selling your house, reach out to a local real estate professional to help you navigate the process while prioritizing these must-do’s.

Achieving Your Homebuying Dreams in 2024 [INFOGRAPHIC]

 Infographic Courtesy of Keeping Current Matters / The KCM Blog

Some Highlights

• Planning to buy a home in 2024? Here’s what to focus on.
• Improve your credit score, plan for your down payment, get pre-approved, and decide what’s most important to you.
• Partner with a trusted real estate agent so you have expert advice on how to achieve your homebuying goals this year.

Why Pre-Approval Is Your Homebuying Game Changer

 Article Courtesy of Keeping Current Matters / The KCM Blog

If you’re thinking about buying a home, pre-approval is a crucial part of the process you definitely don’t want to skip. So, before you start picturing yourself in your new living room or dining on your future all-season patio, be sure you’re working with a trusted lender to prioritize this essential step. Here’s why.

While home price growth is moderating and mortgage rates have been coming down in recent weeks, affordability is still tight.  At the same time, there’s a limited number of homes for sale right now, and that means ongoing competition among hopeful buyers. But, if you’re strategic, there are ways to navigate these waters – and pre-approval is the game changer.

What Pre-Approval Does for You

To understand why it’s such an important step, you need to know more about pre-approval. As part of the homebuying process, a lender looks at your finances to determine what they’re willing to loan you. From there, your lender will give you a pre-approval letter to help you understand how much money you can borrow. Freddie Mac explains it like this:

“A pre-approval is an indication from your lender that they are willing to lend you a certain amount of money to buy your future home. . . . Keep in mind that the loan amount in the pre-approval letter is the lender’s maximum offer. Ultimately, you should only borrow an amount you are comfortable repaying.”

Getting pre-approved starts to put you in the mindset of seeing the bigger financial picture, one step at a time. And the key is actually more than just getting a pre-approval letter from your lender. The combination of pre-approval and strategic budgeting is your golden ticket to understanding what you can actually afford. It saves you from painful heartaches down the road so you don’t fall in love with a house that might be out of reach.

Pre-Approval Helps Show Sellers You’re a Serious Buyer  

But that’s just the beginning. Let’s face it, there are more people looking to buy than there are homes available for sale, and that creates competition among homebuyers. That means you could see yourself in a multiple-offer scenario when you get ready to make your move. But getting pre-approved for a mortgage can help you stand out from other buyers.

In today’s fast-moving housing market, having that pre-approval in your back pocket can be your secret weapon. When sellers see you’re pre-approved, it tells them you’re a strategic and serious buyer. In a world of multiple offers, that’s a big deal. As an article from the Wall Street Journal (WSJ) says:

“If you plan to use a mortgage for your home purchase, preapproval should be among the first steps in your search process. Not only can getting preapproved help you zero in on the right price range, but it can give you a leg up on other buyers, too.”

Pre-approval shows sellers you’re more than just a window shopper. You’re a buyer who’s already undergone a credit and financial check, making it more likely that the sale will move forward without unexpected delays or issues. Sellers love that because they see your offer as a reliable one. A win-win, right?

Bottom Line

So, before you start mentally arranging furniture in your dream home, let’s connect to get your pre-approval set. It’ll save you time, stress, and a lot of headaches that could come up along the way without it. The reality is, the more prepared you are, the more likely you are to land the home you’re longing for.

 

JUST LISTED - BEAUTIFUL MUIRFIELD VILLA

This beautiful villa went ACTIVE on MLS on Friday, December 22 

and went UNDER CONTRACT the same day.  

Click HERE for photos.

 

In case you missed it... Be sure to check out this recent blog posting:

Reasons To Sell Your House Before the New Year

MERRY CHRISTMAS!

However you are celebrating this holiday season, 

may it be a meaningful time filled with love, joy and hope.

Best wishes from my family to yours.

 

Experts Project Home Prices Will Rise over the Next 5 Years

 Article Courtesy of Keeping Current Matters/The KCM Blog

Even with so much data showing home prices are actually rising in most of the country, there are still a lot of people who worry there will be another price crash in the immediate future. In fact, a recent survey from Fannie Mae shows that 23% of consumers think prices will fall over the next 12 months. That’s nearly one in four people who are dealing with that fear – maybe you’re one of them.

To help ease that concern, here’s what the experts say will happen with home prices not just next year, but over the next five years.

Experts Project Ongoing Appreciation

While seeing a small handful of expert opinions may not be enough to change your mind, hopefully, a larger group of experts will reassure you. Here’s that larger group.

The Home Price Expectation Survey (HPES) from Pulsenomics is a great resource to show what experts
forecast for home prices over a five-year period. It includes projections from over 100 economists, investment strategists, and housing market analysts. And the results from the latest quarterly release show home prices are expected to go up every year through 2027 (see graph below):

 

And while the projected increase in 2024 isn’t as large as 2023, remember home price appreciation is cumulative. In other words, if these experts are correct after your home’s value rises by 3.32% this year, it should go up by another 2.17% next year.

If you’re worried home prices are going to fall, here’s the big takeaway. Even though prices vary by local area, experts project they’ll continue to rise across the country for years to come at a pace that’s more normal for the market.

What Does This Mean for You?

If you’re not convinced yet, maybe these numbers will get your attention. They show how a typical home’s value could change over the next few years using the expert projections from the HPES. Check out the graph below:

In this example, let’s say you bought a $400,000 home at the beginning of this year. If you factor in the forecast from the HPES, you could potentially accumulate more than $71,000 in household wealth over the next five years.

Bottom Line

If you’re someone who’s worried home prices are going to fall, rest assured a lot of experts say it’s just the opposite – nationally, home prices will continue to climb not just next year, but for years to come. If you have any questions or concerns about what’s next for home prices in your local area, connect with a real estate agent.

Preventing Frozen Pipes

Information Courtesy of Christa McMillan, CISR
Personal Risk Consultant at Main Street Insurance 

How to Prevent Frozen Pipes

Frozen pipes can present an invisible threat – one that you might not recognize until the weather starts to warm. By then, the water damage can be significant and costly. Fortunately, keeping your home warmer, at a consistent temperature, and better insulated can help protect your pipes from freezing this winter.

What Do You Do if You Have a Frozen Pipe?

If you suspect pipes in your home have been exposed to freezing temperatures, or

water is not flowing through a faucet normally, follow these steps to help reduce the

potential for water damage:

• Locate and close the main water shutoff valve as soon as possible and before temperatures rise above freezing.
• Open all faucets including those outside to drain remaining water from pipes.
• Have buckets, towels and fans available to contain, clean-up and dry water leaks.
• Slowly turn water back on and inspect for leaks. If there are leaks, be prepared to turn the water off immediately.
• Also inspect pipes for damage in areas like attics and crawl spaces, where it is safe to do so.
• Never use torches or heat guns to facilitate thawing as these can create fire hazards.
• As temperatures increase above freezing, watch and listen for signs of water leaks.
• If there is pipe damage, call a licensed plumber for repairs.

Why is a Frozen Pipe a Concern?

When water begins to freeze, it expands. This can cause both plastic and metal pipes to burst, possibly leading to significant water damage to your home.

• Since water expands when it freezes, it puts unwanted pressure on pipes.
• As water freezes, the force exerted from the expansion can cause a pipe to burst, regardless of the strength of the material.
• You may not know you have a burst pipe as the water has turned to ice. Once the temperature starts to warm and thawing begins, leaking and flooding can occur.

Which Pipes Are Most at Risk?

Pipes that are most exposed to the elements, including those outdoors and along the

exterior walls of your home, may need extra protection during winter months. These

include the following:

• Outdoor hose hookups and faucets.
• Swimming pool supply lines.
• Lawn sprinkler lines.
• Water pipes in unheated, interior locations such as basements, crawl spaces, attics, garages and kitchen and bathroom cabinets.
• Pipes running against exterior walls with little or no insulation.

How to Help Prevent Frozen Pipes

Before winter:

• Check your home for areas where water pipes are located in unheated or poorly insulated areas. Be sure to check your basement, attic, crawl space, garage and within cabinets containing plumbing. Hot and cold water pipes should both be insulated.
• Products such as pipe sleeves or UL-listed heat tape or heat cable can help insulate or heat exposed water pipes.

During winter:

• Close inside valves supplying water to outdoor faucets and hookups.
• Open outdoor faucets to allow residual water to drain; be sure to keep them open during the cold weather months, while the water supply is turned off.
• Keep garage doors closed to help protect water pipes located in the garage.
• Open the doors on cabinets where plumbing is located. This can help allow warmer air to circulate around the pipes.
• For pipes that are at risk of freezing (both hot and cold water pipes), let water drip from faucets.
• Keep the heat in your home set at a minimum of 55 degrees.

 

Christa B. McMillan, CISR

Personal Risk Consultant

Main Street Insurance
www.mainstreetins.com
cmcmillan@mainstreetins.com

HAPPY THANKSGIVING!

 

 

Although we said goodbye to our Rudy this past August,

I continue to include him in my Thanksgiving message with grateful

appreciation for the almost seven years he was a part of our family.

I am especially grateful for the past three years, which were a gift, 

following the removal of his kidney due to kidney cancer.  

Our Rudy boy is forever in our hearts.

Home Prices Still Growing – Just at a More Normal Pace

Please remember that the information in the following article is based on national data.  Be sure to check out my notes on why "seasonality" is different in our area, which can be found in a recent posting, Is Your House the Top Thing on a Buyer’s Wish List this Holiday Season?.

Article Courtesy of Keeping Current Matters / The KCM Blog

If you’re feeling a bit muddy on what’s happening with home prices, that’s no surprise. Some people are still saying prices are falling, even though data proves otherwise. Part of that misconception is because people are getting their information from unreliable sources. But it’s also coming from some media coverage misrepresenting what the data really shows.

So, to keep things simple, here’s what you really need to know using real data you can trust.

Normal Home Price Seasonality Explained

In the housing market, there are predictable ebbs and flows that happen each year. It’s called seasonality. Spring is the peak homebuying season when the market is most active. That activity is typically still strong in the summer but begins to wane as the cooler months approach.

Home prices follow along with seasonality because prices appreciate most when something is in high demand. That’s why there’s a reliable long-term home price trend. The graph below uses data from Case-Shiller to show the typical percent change for monthly home price movement from 1973 through 2022 (not adjusted, so you can see the seasonality):

As the data shows, at the beginning of the year, home prices grow, but not as much as they do when entering the spring and summer markets. That’s because the market is less active in January and February since fewer people move in the cooler months. As the market transitions into the peak homebuying season in the spring, activity ramps up, and home prices go up a lot more in response. Then, as fall and winter approach, prices still grow, just at a slower pace as activity eases again.

This Year, Seasonality Has Returned

Now, let’s look at how this year compares to that long-term trend (see graph below):

Here’s the latest data for this year from that same source. Just like before, the dark bars are the long-standing trend. The green bars represent what’s happened this year. As you can see, the green bars are beginning to fall in line with what’s normal for the market. That’s a good thing because it’s more sustainable price growth than we’ve seen in recent years.

In a nutshell, nationally prices aren’t falling, it’s just that price growth is beginning to normalize. Moving forward, there’s a chance the media will misrepresent this slowing of home price growth as prices falling. So don’t believe everything you see in the headlines. The data included here gives you the context you need to really understand what’s happening. So, if you see something in the headlines that’s confusing, don’t just take it at face value. Ask a trusted real estate professional for more information.

Remember, it’s normal to see home price growth slow down as the year goes on. And that definitely doesn’t mean home prices are falling. They’re just rising at a more moderate pace.

Bottom Line

Home price appreciation is returning to normal seasonality and that’s a good thing. If you have questions about what’s happening with prices in your local area, connect with a real estate professional.

Is Your House the Top Thing on a Buyer’s Wish List this Holiday Season?

This is an important article for people thinking of selling their homes at this time of year.

I always tell prospective sellers that this can be a great time of year to sell in our area.  See my thoughts below and then continue on to the great article from Keeping Current Matters.

1. As noted in #1 below, people who are looking at homes right now are typically serious buyers, as there's too much else going on for folks to check out homes if they're not considering a move.
2. At this time of year, many folks who live in colder areas of the country are visiting friends or family here.  The thought of moving can be pretty appealing when it's snowing and really cold back home.  
3. Many homeowners who consider moving to active adult communities have lived in their current homes for a long time and have built up a large amount of equity.  This could allow them to put down a large down payment if applying for a loan or to pay cash for a home. In a posting I made last month, ARE THERE MORE CASH OR LOAN SALES IN SCCL AND TREE TOPS?, I noted that, at that time, just over half of the last 100 homes sold in SCCL were cash sales.  At that same time, cash sales at TreeTops accounted for just under half of the last 100 sales.  Higher interest rates may not be as much of concern to folks with equity in their current home. 

_______________

Article Courtesy of Keeping Current Matters / The KCM Blog

This time every year, homeowners who are planning to move have a decision to make: sell now or wait until after the holidays? Some sellers with homes already on the market may even remove their listing until the new year.

But the truth is, many buyers want to purchase a home for the holidays, and your house might be just what they’re looking for. As an article from Fortune Builders explains:

“ . . . while a majority of people take a step back from the real estate market during the holiday months, you may find when the temperature drops, your potential for a great real estate deal starts to rise.”

To help prove that point, here are four reasons you shouldn’t wait to sell your house.

1. The desire to own a home doesn’t stop during the holidays. While a few buyers might opt to delay their moving plans until January, others may need to move now because something in their life has changed. The buyers who look for homes at this time of year are usually motivated to make their move happen and are eager to buy. A recent article from Investopedia says:

“Anyone shopping for a new home between Thanksgiving and New Year’s is likely going to be a serious buyer. Putting your home on the market at this time of year and attracting a serious buyer can often result in a quicker sale.”

2. While the supply of homes for sale has increased a little bit lately, overall inventory is still lower than it was before the pandemic. What does that mean for you? If you work with an agent to price your house at market value, it could still sell quickly because today’s buyers are craving more options – and your home may be exactly what they’re searching for.

3. You can determine the days and times that are most convenient for you for home showings. That can help you minimize disruptions to your own schedule, which can be especially important during this busy time of year. Plus, you may find buyers are more flexible on when they’ll tour a house this time of year because they have more time off from work around the holidays.

4. And finally, homes decorated for the holidays appeal to many buyers. For those buyers, it’s easy to picture gathering with their loved ones in the home and making memories of their own. An article on selling at this time of year offers this advice:

“If you’re selling around a holiday and have decorations up, make sure they accent—not overpower—a room. Less is more.”

Bottom Line

There are plenty of good reasons to put your house on the market during the holiday season. Connect with a real estate agent and see if it's the right time for you to sell.