Over the next five years, home prices are expected to appreciate 3.22% per year on average and to grow by 17.3% cumulatively, according to Pulsenomics’ most recent Home Price Expectation Survey.
So, what does this mean for homeowners and their equity position?
As an example, let’s assume a young couple purchased and closed on a $250,000 home in January. If we look at only the projected increase in the price of that home, how much equity will they earn over the next 5 years?
Since the experts predict that home prices will increase by 4.4% this year alone, the young homeowners will have gained $11,000 in equity in just one year.
Over a five-year period, their equity will increase by nearly $43,000! This figure does not even take into
As a seller, unreasonable buyer expectations can make contract negotiations on your house more difficult than they need to be. Luckily, there’s a way for you to solve this problem.
Today I want to talk about the emerging trend in buyer expectations that impacts marketing, contract negotiations, and—most importantly—home inspection negotiations.
Let’s imagine you’re a seller and we’ve got a contract on your house, we’ve negotiated the price and all the terms with the buyer, and we’re ready for the home inspection. This buyer will expect that your house is move-in ready and nothing is wrong with it other than what you’ve already disclosed in your disclosure document.
Suddenly, the home inspector comes in and has a long list
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There is no doubt that historically low mortgage interest rates were a major impetus to housing recovery over the last several years. However, many industry experts are showing concern about the possible effect that the rising rates will have moving forward.
The Mortgage Bankers Association, Fannie Mae, Freddie Mac and the National Association of Realtorsare all projecting that mortgage interest rates will move upward in 2017. Increasing interest rates will definitely impact purchasers and may stifle demand.
In a recent study of industry experts, “rising mortgage interest rates, and their impact on mortgage affordability” was named by 56% as the force they think will have the most significant impact on U.S. housing in 2017. If rising rates slow
According to a recent survey conducted by ClosingCorp, over half of all homebuyers are surprised by the closing costs required to obtain their mortgage.
After surveying 1,000 first-time and repeat homebuyers, the results revealed that 17% of homebuyers were surprised that closing costs were required at all, while another 35% were stunned by how much higher the fees were than expected.
“Homebuyers reported being most surprised by mortgage insurance, followed by bank fees and points, taxes, title insurance and appraisal fees.”
Bankrate.com recently gathered closing cost data from lenders in every state and Washington, D.C. to be able to share the average costs in each state. The map below was created using the closing costs on a $200,000
Today I want to talk about another strategy you as a buyer can do to avoid the frustration caused by no houses being for sale.
You need to find an agent who knows how to find properties “under the radar.” They need to be able to network for you by networking with the other agents who are working in the neighborhoods where you want to live. They need to do things like knock on doors, send mail, and advertise on Facebook.
Most neighborhoods where we live also have neighborhood Listservs. If you can find an agent who can utilize Listserv, that would help tremendously.
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Your agent needs to be able to network.
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For example, I’m working with a family right now who wants to live in a particular location, so I
