Wednesday, February 11, 2015

Another Property Under Contract in a Day!

This 4 Bedroom Home in Aurora, CO flew off the market!

Do you have a home to sell or want to know what your property is worth? Call for a free market analysis to see if we can do the same for you! 303.993.6436
 
Photo: Another Property Under Contract in a Day! 

This 4 Bedroom Home in Aurora, CO flew off the market! 

Do you have a home to sell or want to know what your property is worth? Call for a free market analysis to see if we can do the same for you! 303.993.6436

Friday, February 6, 2015

'Domino Effect' to Set Off Real Estate Market in 2015

As Reported to the Daily Real Estate News in Realtor Mag, Thursday February 5, 2015

Home prices between the top and bottom segments of the housing market are rising, which could unleash a “domino effect” that builds first-time and move-up buyer momentum this year, notes a new real estate report by Clear Capital. But the build up in traditional home buyers is coming at the cost of declines in the luxury home market.

"The rate of appreciation for top tier homes is stalling, which is a more direct reflection of waning fair market demand,” says Alex Villacorta, vice president of research and analytics at Clear Capital.

“While this is a concerning development, there is a silver lining. The moderating upper tier may give traditional buyers a moment to catch their breath, and entice move-up buyers to enter this segment of the market. The ripple effect of opening up inventory all the way down the price spectrum could provide opportunity and motivation across all segments, including first-time buyers, to enter the marketplace.”

The lower and middle-range ends of the housing market is stabilizing, allowing traditional home buyers to re-emerge. “The next phase of the housing recovery is dependent on healthy demand from this segment,” Villacorta says.

The lower-end of the housing market was once driven mostly by investor activity, but now doors are opening for first-time home buyers to break in.  Also, as the number of underwater mortgages steadily decreases, home owners in the mid-tier of the home pricing segment can finally trade up to a larger, more expensive home.

Lower-end properties have been outpacing price growth in the luxury market, Clear Capital reports. The low-tier has posted double-digit gains year-over-year of 10.2 percent, compared to the top tier, which saw the lowest price growth rate among the three tiers, at 3.6 percent year-over-year.

“This divide between a healthy low tier and stalling top tier could kick-off a domino effect,” Clear
Capital notes in its report. “Stalling prices in the top tier of the market could create the perception of a good deal. This instills confidence in mid-tier home owners, motivating them to move-up to the top tier. In turn, this opens up more opportunity for low tier home owners to move-up to the mid tier.
This domino effect could be the catalyst for balanced demand across all sectors of the market.”

The Midwest is leading the pack, according to Clear Capital. The Midwest posted double-digit gains in the low-tier segment at 13.6 percent, while seeing its top-tier of the market fall 3.3 percent with prices. The Midwest is the only region currently seeing price appreciation in the low and mid tiers, growing above 1 percent.

As such, Clear Capital economists are predicting the Midwest to be the first region in U.S. to realize full buyer momentum among first-time and move-up buyers, due to its moderating top tier.

Source: “Clear Capital: Traditional Homebuyers, Make Your Move,” Clear Capital (Feb. 2, 2015)

Wednesday, February 4, 2015

5 Reasons You Shouldn't For Sale By Owner


5 Reasons You Shouldn't For Sale By Owner | Keeping Current Matters 
Posted: 03 Feb 2015 04:00 AM PST by The KCM Blog and Google Inc.

Some homeowners consider trying to sell their home on their own, known in the industry as a For Sale by Owner (FSBO). There are several reasons this might not be a good idea for the vast majority of sellers. Here are five reasons:

1. There Are Too Many People to Negotiate With

Here is a list of some of the people with whom you must be prepared to negotiate if you decide to For Sale By Owner:
* The buyer who wants the best deal possible
* The buyer’s agent who solely represents the best interest of the buyer
* The buyer’s attorney (in some parts of the country)
* The home inspection companies which work for the buyer and will almost always find some problems with the house.
* The appraiser if there is a question of value

2. Exposure to Prospective Purchasers

Recent studies have shown that 88% of buyers search online for a home. That is in comparison to only 21% looking at print newspaper ads. Most real estate agents have an internet strategy to promote the sale of your home. Do you?

3. Results Come from the Internet

Where do buyers find the home they actually purchased?
* 43% on the internet
* 9% from a yard sign
* 1% from newspaper
The days of selling your house by just putting up a sign and putting it in the paper are long gone. Having a strong internet strategy is crucial.

4. FSBOing has Become More and More Difficult

The paperwork involved in selling and buying a home has increased dramatically as industry disclosures and regulations have become mandatory. This is one of the reasons that the percentage of people FSBOing has dropped from 19% to 9% over the last 20+ years.

5. You Net More Money when Using an Agent

Many homeowners believe that they will save the real estate commission by selling on their own. Realize that the main reason buyers look at FSBOs is because they also believe they can save the real estate agent’s commission. The seller and buyer can’t both save the commission. Studies have shown that the typical house sold by the homeowner sells for $208,000 while the typical house sold by an agent sells for $235,000. This doesn’t mean that an agent can get $27,000 more for your home as studies have shown that people are more likely to FSBO in markets with lower price points. However, it does show that selling on your own might not make sense.

Bottom Line

Before you decide to take on the challenges of selling your house on your own, sit with a real estate professional in your marketplace and see what they have to offer.