Market Updates December 7, 2023

Experts Project Home Prices Will Rise over the Next 5 Years

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 our local area, let’s connect.

Uncategorized December 7, 2023

Why You Should Use a Real Estate Agent When You Buy a Home

If you’ve recently decided you’re ready to become a homeowner, chances are you’re trying to figure out what to do first. It can feel a bit overwhelming to know where to start, but the good news is you don’t have to navigate all of that alone.

When it comes to buying a home, there are a lot of moving pieces. And that’s especially true in today’s housing market. The number of homes for sale is still low, and home prices and mortgage rates are still high. That combination can be tricky if you don’t have reliable expertise and a trusted advisor on your side. That’s why the best place to start is connecting with a local real estate agent.

Agents Are the #1 Most Useful Source in the Buying Process

The latest annual report from the National Association of Realtors (NAR) finds recent homebuyers agree the #1 most useful source of information they had in the home buying process was a real estate agent. Let’s break down why.

How an Agent Helps When You Buy a Home

When you think about a real estate agent, you may think of someone taking you on home showings and putting together the paperwork, but a great agent does so much more than that. It’s not just being the facilitator for your purchase, it’s being your guide through every step.

The visual below shows some examples from that same NAR release of the many ways an agent adds value. It includes the percentage of homebuyers in that report who highlighted each of these benefits:

Here’s a bit more context on how the survey results noted an agent continually helps buyers in these situations:

  • Helped Buyer’s Understand the Process: Do you know the difference between an inspection and an appraisal, what each report tells you, and why they’re both important? Or that there are things you shouldn’t do after applying for a mortgage, like buying appliances or furniture? An agent knows all of these best practices and will share them with you along the way, so you don’t miss any key steps by the time you get to the closing table.
  • Pointed Out Unnoticed Features or Faults with the Home: An agent also has a lot of experience evaluating homes. They’ve truly seen it all. They’ll be able to pinpoint some things you may not have noticed about the home that could help inform your decision or at least what repairs you ask for.
  • Provided a Better List of Service Providers: In a real estate transaction, there are a lot of people involved. An agent has experience working with various professionals in your area, like home inspectors, and can help connect you with the pros you need for a successful experience.
  • Negotiated Better Contract Terms and Price: Did something pop up in the home inspection or with the appraisal? An agent will help you re-negotiate as needed to get the best terms and price possible for you, so you feel confident with your big purchase.
  • Improved Buyer’s Knowledge of the Search Area: Moving to a new town and you’re not familiar with the area, or you’re staying nearby, but don’t know which neighborhoods are most affordable? Either way, an agent knows the local area like the back of their hand and can help you find the perfect location for your needs.
  • Expanded Buyer’s Search Area: And if you’re not finding anything you’re interested in within your initial search radius, an agent will know other neighborhoods nearby you should consider based on what you like, what amenities you want, and more.

Bottom Line

If you’re looking to buy a home, don’t forget about the many ways an agent is essential to that process. Any hurdle that pops up, a negotiation that needs to take place, and more, your agent will know how to handle it while they make sure to minimize your stress along the way. Let’s connect to tackle this together.

Uncategorized October 1, 2023

Affordable Home Improvement Projects to Boost ROI

You are thinking about some affordable home improvement projects that you can do this winter. While you may not currently have plans to put your beloved home on the market, you are waiting for that perfect moment to take the plunge. While you are waiting for the stars to align, you can work on a few of these tasks that promise to augment your Return on Investment (ROI) without depleting your financial resources. These are the cost-effective home improvement endeavors can elevate the aesthetics of your home and grab the attention of buyers when you do decide to sell. Here are some budget-friendly ideas to get you started:

Curb Appeal Matters:

First impressions are crucial. Therefore, sprucing up your home’s exterior can make a significant difference. Trim overgrown bushes, weed flower beds, and add fresh mulch. Consider repainting your front door and adding a new welcome mat. These simple changes can give your home a warm and inviting feel.

Declutter and Depersonalize:

One of the most cost-effective ways to prepare your home for sale is to declutter and depersonalize it. For example, remove personal items, excess furniture, and any clutter that might make your space feel cramped. This will help potential buyers envision themselves living in the space.

Fresh Paint:

A fresh coat of paint can do wonders for your home’s appearance. According to Forbes Magazine, paint runs an average cost of $3.50 per square foot, and can add instant life back into your home. Stick to neutral colors that appeal to a broader range of buyers. Painting walls, ceilings, and trim can make your home feel cleaner and more inviting.

Upgrade Lighting:

Swapping out outdated or dim lighting fixtures for more modern and energy-efficient options can instantly brighten up your home. Additionally, well-lit spaces tend to feel larger and more appealing to buyers.

Kitchen and Bathroom Updates:

You don’t need a full-scale remodel to improve your kitchen and bathrooms. Consider refinishing cabinets, replacing hardware, and updating faucets and fixtures. These small changes can make a big difference without breaking the bank.

Landscaping on a Budget:

Enhance your outdoor space with budget-friendly landscaping. For instance, plant low-maintenance flowers and shrubs, add mulch, and consider inexpensive outdoor seating or a fresh coat of paint on your patio furniture.

Fix Minor Repairs:

Attend to any minor repairs or maintenance issues. Fix leaky faucets, replace broken tiles, and repair any damaged fixtures. These small fixes can prevent potential buyers from being scared off by a list of necessary repairs.

Deep Cleaning:

A clean home is more attractive to buyers. Consider hiring a professional cleaning service for a deep clean, including carpets and upholstery. A spotless home creates a favorable impression.

Add Some Greenery:

Indoor plants can breathe life into your home and make it feel more vibrant and inviting. Choose low-maintenance plants like succulents or snake plants that are easy to care for.

In conclusion, preparing your home for sale doesn’t have to be an expensive endeavor. With some creativity, effort, and a modest budget, you can make your property more appealing to buyers. These affordable home improvement projects can help you achieve a faster sale and potentially a higher selling price. Remember that every dollar spent on these improvements can have a positive impact on your home’s market value and desirability. Please contact me if you have any questions about getting your home ready for market.

 

Uncategorized April 13, 2023

Stylish Illumination to Brighten Your Home

Lighting has come a long way since the days of an ordinary square of frosted glass adorning the center of the ceiling. With an almost unlimited range of options, interior lighting today is creative, versatile and every bit as important as the furniture you choose.

Inside the home, light serves to helpfully illuminate the spaces where we work and play, but it also creates an overall mood. Successful lighting design involves more than simply tucking a few extra lamps into dark corners. Whether you are planning illumination for a remodel or supplementing your current array, here are a few points to keep in mind.

Let’s Be Practical

Fixtures should be bright and focused for cooking, desk work, reading, grooming, crafts and games, while general illumination should allow for ease with cleaning and other practical housekeeping tasks. Motion-sensor staircase and nightlights add an extra measure of safety.

A Matter of Attraction

Place the light where you’d like to direct focus. Use a spot or up-light to draw attention to a particularly attractive architectural feature, sculpture or large potted plant. A framed photograph or painting can be showcased using a mounted picture light from above.

Set the Mood

Dimmer switches alter the ambiance easily and dramatically, turning general illumination and task lights into party lighting. Nearly every fixture and room can benefit from this simple hardware adjustment. And while high-wattage overhead bulbs are ideal for playrooms or workspaces, they’re not particularly flattering. Select softer, warm-tone bulbs for dining room fixtures and chandeliers.

Variety and Versatility

Rooms that serve multiple purposes will require a number of different light sources. A kitchen island requires plenty of light for food prep and homework, but a softer glow is in order when it doubles as a bar or buffet when you’re entertaining. Versatile, USB-chargeable LED lamps can be moved around where light is needed most – from room to room or even to brighten up the patio or porch.

Accentuate the Positive

Add a bit of drama with a touch of neon, a draped light rope, a sprinkling of twinkle lights or a set of shelving lights to artistically display a special collection. Explore the unexpected – install a colorful paper lantern in a powder room or an elegant chandelier in the guest bedroom. Make an older fixture or sconce feel new again with a distinctive bulb choice. Edison bulbs have lately been having a moment, but flame-tipped, spiral, vintage diamond shapes and even amber glow bulbs can be transformative.

The Art of the Matter

Sculptural lighting has emerged as a novel way to add some character as well – a striking work of art with a practical purpose. Spindly pendant lights, funky Art Deco sconces and styles that incorporate industrial metal accents are brilliant choices to spice things up in an otherwise conservative space.

Make a Statement

Fixtures with oversized shades or in an unusual shape can become a focal point in a main living area like a family room or even a smaller space such as an office or library. New styles range from futuristic to retro 70s cool, and custom designs can incorporate antiques, found objects, art glass or metalwork.

Efficiency Is Key

Acknowledging the importance of energy efficiency, LED bulbs and fixtures are now available in a multitude of sizes, styles and brightness levels.  And with the latest in smart home technology, a single panel or remote for your entire property can manage indoor and outdoor illumination, automatic on-off, window coverings, vacation lights and much more.

Lighting can run the gamut from sophisticated and modern to traditional or romantic – and should always be uplifting and inspiring. Careful attention to illumination will enhance the comfort and overall feel of your home for both family and guests. It’s limited only by your imagination to make it brilliant!