Louisville Real Estate BlogRecently posted or modified blog posts in the category - Selling Your Homehttps://www.whitepicketky.com/blog/Copyright WhitePicketKY.com2021-11-29T08:39:58-07:00tag:whitepicketky.com,2012-09-20:19111Why Now Is a Great Time To Sell Your HouseWhy Now Is a Great Time To Sell Your House
<img width="750" height="410" src="https://files.mykcm.com/2021/11/22124553/20211129-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Why Now Is a Great Time To Sell Your House | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/11/22124553/20211129-KCM-Share.jpg 750w, https://files.mykcm.com/2021/11/22124553/20211129-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/11/22124553/20211129-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" /><br /><br />
As we near the end of the year, more homeowners are realizing the benefits of today’s sellers’ market. Record-breaking <a href="https://www.simplifyingthemarket.com/2021/11/10/whats-happening-with-home-prices/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="home price appreciation">home price appreciation</a>, growing <a href="https://www.simplifyingthemarket.com/2021/10/22/your-home-equity-is-growing-infographic/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="equity">equity</a>, low <a href="https://www.simplifyingthemarket.com/2021/11/09/how-sellers-win-when-housing-inventory-is-low/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="inventory">inventory</a>, and competitive <a href="https://www.simplifyingthemarket.com/2021/11/03/experts-project-mortgage-rates-will-continue-to-rise-in-2022/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="mortgage rates">mortgage rates</a> are motivating homeowners to make a move that addresses their <a href="https://www.simplifyingthemarket.com/2021/10/28/does-your-house-have-what-buyers-want/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="changing lifestyles">changing lifestyles</a>.
In fact, recent <a href="https://www.realtor.com/research/home-sellers-autumn-2021/" title="data" target="_blank" rel="noopener noreferrer">data</a> from realtor.com shows a larger share of homeowners are planning to list their houses this winter. So, that means <a href="https://www.simplifyingthemarket.com/2021/11/18/home-sales-about-to-surge-we-may-see-a-winter-like-never-before/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="more homes">more homes</a> are about to hit the market, which will lead to more choices for buyers too.
According to George Ratiu, Manager of Economic Research at <a href="https://news.move.com/2021-11-11-Low-Temps,-High-Expectations-Realtor-com-R-Survey-Shows-65-of-Prospective-Sellers-Plan-to-Enter-the-Market-this-Winter" title="realtor.com" target="_blank" rel="noopener noreferrer">realtor.com</a>:
"The pandemic has delayed plans for many Americans, and homeowners looking to move on to the next stage of life are no exception. Recent survey data suggests the majority of prospective sellers are actively preparing to enter the market this winter."
If you’re thinking of waiting until the spring to sell your house, know that your neighbors may be one step ahead of you by selling this winter. If you want to stand out from the crowd, this holiday season is the best time to make sure your house is available for buyers. Here’s why.
Sellers Are Still Firmly in the Driver’s Seat
Historically, a 6-month supply of homes for sale is needed for a normal or neutral market. That level ensures there are enough homes available for active buyers (see graph below):<a href="https://files.mykcm.com/2021/11/22124557/20211129-MEM-Eng-1.png" target="_blank" rel="noopener noreferrer"><img class="aligncenter wp-image-100020" src="https://files.mykcm.com/2021/11/22124557/20211129-MEM-Eng-1.png" alt="Why Now Is a Great Time To Sell Your House | MyKCM" width="600" height="450" /></a>The latest <a href="https://www.nar.realtor/research-and-statistics/housing-statistics/existing-home-sales" title="Existing Home Sales Report" target="_blank" rel="noopener noreferrer">Existing Home Sales Report</a> from the National Association of Realtors (NAR) shows the inventory of houses for sale sits at a 2.4-month supply. This is well below a neutral market.
What Does That Mean for You?
When the supply of homes for sale is as low as it is today, it’s much harder for buyers to find homes to purchase. This drives up competition among buyers, who then submit increasingly competitive offers to win out against others in the home search process. As this happens, prices rise and <a href="https://www.simplifyingthemarket.com/2021/11/02/sellers-have-incredible-leverage-in-todays-market/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="your leverage">your leverage</a> as a seller rises too, putting you in the best position to negotiate a contract that meets your ideal terms.
And while the low housing supply we're facing won't be solved overnight, sellers this season should move quickly to maximize their potential. As the data shows, with more prospective sellers planning to list their homes this winter, selling sooner rather than later helps your house rise to the top of a holiday buyer’s wish list so you can close the best possible deal.
Bottom Line
Listing your home over the next few weeks gives you the best chance to be in front of buyers competing for homes this holiday season. Let’s connect today to discuss how you can benefit from today’s sellers’ market.
2021-11-29T08:34:00-07:002021-11-29T08:39:58-07:00Kyle Elmoretag:whitepicketky.com,2012-09-20:19066How Sellers Win When Housing Inventory Is LowHow Sellers Win When Housing Inventory Is Low
<img width="750" height="410" src="https://files.mykcm.com/2021/11/05124804/20211109-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="How Sellers Win When Housing Inventory Is Low | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/11/05124804/20211109-KCM-Share.jpg 750w, https://files.mykcm.com/2021/11/05124804/20211109-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/11/05124804/20211109-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" /><br /><br />
In today’s housing market, the number of homes for sale is <a href="https://www.simplifyingthemarket.com/2021/10/06/what-do-supply-and-demand-tell-us-about-todays-housing-market/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="much lower">much lower</a> than the strong buyer demand. As a result, homeowners ready to sell have a significant <a href="https://www.simplifyingthemarket.com/2021/11/02/sellers-have-incredible-leverage-in-todays-market/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="advantage">advantage</a>. Here are three ways today’s <a href="https://www.simplifyingthemarket.com/2021/10/27/housing-challenge-or-housing-opportunity-it-depends/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="low inventory">low inventory</a> will set you up for a win when you sell this season.
1. Higher Prices
With so many more buyers in the market than homes available for sale, homebuyers are frequently getting into bidding wars for the houses they want to purchase. According to the latest data from the National Association of Realtors (NAR), homes are receiving an average of <a href="https://cdn.nar.realtor/sites/default/files/documents/2021-09-realtors-confidence-index-10-21-2021.pdf" title="3.7 offers" target="_blank" rel="noopener noreferrer">3.7 offers</a> in today’s market. This buyer competition drives <a href="https://www.simplifyingthemarket.com/2021/10/19/what-does-the-future-hold-for-home-prices/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="home prices">home prices</a> up. As a seller, this certainly works to your advantage, potentially netting you more for your house when you close the deal.
2. Greater Return on Your Investment
Rising prices mean homes are also gaining value, which increases the equity you have in your home. In the latest <a href="https://www.corelogic.com/intelligence/homeowner-equity-insights/" title="Homeowner Equity Insights Report" target="_blank" rel="noopener noreferrer">Homeowner Equity Insights Report</a>, CoreLogic explains:
“In the second quarter of 2021, the average homeowner gained approximately $51,500 in equity during the past year.”
This year-over-year growth in <a href="https://www.simplifyingthemarket.com/2021/10/22/your-home-equity-is-growing-infographic/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="equity">equity</a> gives you the ability to sell your house and then put that money toward a down payment on your next home, or to keep it as extra savings.
3. Better Terms
In a <a href="https://www.simplifyingthemarket.com/2021/08/17/what-does-being-in-a-sellers-market-mean/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="sellers’ market">sellers’ market</a> like we have today, you’re in the driver’s seat if you make a move. You have the power to sell on your terms, and <a href="https://www.myckm.com/2021/10/18/sellers-your-house-could-be-an-oasis-for-buyers-seeking-more-options/" title="buyers" target="_blank" rel="noopener noreferrer">buyers</a> are more likely to work with you if it means they can finally land their dream home.
So, is low housing inventory a big deal?
Yes, especially if you want to sell on your terms. <a href="https://www.simplifyingthemarket.com/2021/10/20/looking-to-move-it-could-be-time-to-build-your-dream-home/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="Moving">Moving</a> now while inventory is so low is key to maximizing your opportunities.
Bottom Line
If you’re interested in taking advantage of the current sellers’ market, let’s connect today to determine your best move.
2021-11-09T07:39:00-07:002021-11-09T07:43:11-07:00Kyle Elmoretag:whitepicketky.com,2012-09-20:19047Does Your House Have What Buyers Want?Does Your House Have What Buyers Want?
<img width="750" height="410" src="https://files.mykcm.com/2021/10/26112429/20211028-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Does Your House Have What Buyers Want? | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/10/26112429/20211028-KCM-Share.jpg 750w, https://files.mykcm.com/2021/10/26112429/20211028-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/10/26112429/20211028-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" /><br /><br />
The rise in <a href="https://www.simplifyingthemarket.com/2021/09/21/remote-work-is-here-to-stay-can-your-home-deliver-the-space-you-need/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="remote work">remote work</a> is changing what many Americans want in their homes. Many companies are choosing to delay reopening or go remote full-time, and today’s buyers are looking for homes with more space to support their work needs.
As a seller, if you no longer need the extra room you have in your home, rest assured there are buyers who do.
Remote Work Is Here To Stay
Remote work remains a reality for many Americans. A recent poll from <a href="https://www.gartner.com/en/newsroom/press-releases/08-31-2021-gartner-hr-poll-finds-two-thirds-of-organizations-are-delaying-workplace-reopening-due-to-new-covid-19-variants" title="Garter, Inc." target="_blank" rel="noopener noreferrer">Garter, Inc.</a> shows many organizations have not yet returned their offices:
“. . . 66% of organizations are delaying reopening their offices due to new COVID-19 variants.”
And it’s not just companies that are choosing to remain remote for the time being – workers are seeking more flexibility. According to research from <a href="https://www.pwc.com/us/en/library/pulse-survey/future-of-work.html" title="PricewaterhouseCoopers" target="_blank" rel="noopener noreferrer">PricewaterhouseCoopers</a>, nearly one-fifth of employees want to be fully remote in the future. The study also finds that many people are leaving jobs to seek out remote work opportunities:
“Among employees looking for new jobs, almost one in ten say it’s because they moved away from the office while working remotely and don’t want to go back on-site.”
More Remote Work Means a Greater Need for Home Offices
That’s leading today’s buyers to prioritize finding homes with more space so they can comfortably work from home. The <a href="http://info.aia.org/AIArchitect/2021/0910/aia-interactive/index.html" title="2021 Home Design Trends Survey" target="_blank" rel="noopener noreferrer">2021 Home Design Trends Survey</a> from the American Institute of Architects finds that 69% of surveyed individuals still want at least one office at home. However, it also shows that more people are looking for multiple spaces in their home for remote work and virtual meetings (see graph below):<a href="https://files.simplifyingthemarket.com/2021/10/26112435/20211028-MEM-Eng-1.png?a=284503-102feb9941b79461bf16d6a02c6089b6" target="_blank" rel="noopener noreferrer"><img class="aligncenter wp-image-99729" src="https://files.mykcm.com/2021/10/26112435/20211028-MEM-Eng-1.png" alt="Does Your House Have What Buyers Want? | MyKCM" width="600" height="450" /></a>
What Does This Mean for You?
If your house has extra space that you no longer need, buyers are interested, and now may be the perfect <a href="https://www.simplifyingthemarket.com/2021/09/20/is-it-time-to-move-on-to-a-new-home/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="time to sell">time to sell</a>.
Your trusted real estate advisor can help you highlight many of the most sought-after features in your listing, including home offices. On the other hand, if you have extra room without a purpose, consider staging it as an area where remote work can happen. Your agent can help you with this as well by evaluating and <a href="https://www.simplifyingthemarket.com/2021/10/04/4-tips-to-prep-for-your-home-sale-this-fall/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="preparing">preparing</a> your space for potential buyers. They’ll make recommendations for how to stage the room, where to draw the eye, and what other sellers are doing to make their houses stand out.
Bottom Line
With the continued rise in remote work, more buyers are looking for homes that can support multiple home offices. If you have extra room you’re no longer using, consider selling. Let’s connect today to discuss the unique features in your house and how you can capitalize on any extra space to appeal to today’s buyers.
2021-11-01T08:45:00-07:002021-11-01T09:18:43-07:00Kyle Elmoretag:whitepicketky.com,2012-09-20:19004The Big Question: Should You Renovate or Move?The Big Question: Should You Renovate or Move?
<img width="750" height="410" src="https://files.mykcm.com/2021/10/12131853/20211013-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="The Big Question: Should You Renovate or Move? | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/10/12131853/20211013-KCM-Share.jpg 750w, https://files.mykcm.com/2021/10/12131853/20211013-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/10/12131853/20211013-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" /><br /><br />
The last 18 months changed what many buyers are looking for in a home. Recently, the American Institute of Architects released their <a href="http://info.aia.org/AIArchitect/2021/reports/2021-q3/2021-Q3-Home-Design-Trends-Survey.pdf" title="AIA Home Design Trends Survey" target="_blank" rel="noopener noreferrer">AIA Home Design Trends Survey</a> results for Q3 2021. The survey reveals the following:
70% of respondents want more outdoor living space
69% of respondents want a home office (48% wanted multiple offices)
46% of respondents want a multi-function room/flexible space
42% of respondents want an au pair/in-law suite
39% of respondents want an exercise room/yoga space
If you’re a homeowner who wants to add any of the above, you have two options: renovate your current house or buy a home that already has the spaces you desire. The decision you make could be determined by factors like:
A possible desire to relocate
The difference in the cost of a renovation versus a purchase
Finding an existing home or designing a new home that has exactly what you want (versus trying to restructure the layout of your current house)
In either case, you’ll need access to capital: the funds for the renovation or the down payment your next home would require. The great news is that the money you need probably already exists in your current home in the form of <a href="https://www.simplifyingthemarket.com/2021/09/30/as-home-equity-rises-so-does-your-wealth/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="equity">equity</a>.
Home Equity Is Skyrocketing
The record-setting increases in home prices over the last two years dramatically improved homeowners’ <a href="https://www.simplifyingthemarket.com/2021/10/07/111285-reasons-you-should-buy-a-home-this-year/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="equity">equity</a>. The graph below uses data from <a href="https://www.corelogic.com/intelligence/homeowner-equity-insights/" title="CoreLogic" target="_blank" rel="noopener noreferrer">CoreLogic</a> to show the average home equity gain in the first quarter of the last nine years:<a href="https://files.simplifyingthemarket.com/2021/10/12131855/20211013-MEM-Eng-1.png?a=284503-102feb9941b79461bf16d6a02c6089b6" target="_blank" rel="noopener noreferrer"><img class="aligncenter wp-image-99559" src="https://files.mykcm.com/2021/10/12131855/20211013-MEM-Eng-1.png" alt="The Big Question: Should You Renovate or Move? | MyKCM" width="600" height="450" /></a>Odeta Kushi, Deputy Chief Economist at First American, <a href="https://twitter.com/odetakushi/status/1445387423442214915" title="quantifies" target="_blank" rel="noopener noreferrer">quantifies</a> the amount of equity homeowners gained recently:
“Remember U.S. households own nearly $35 trillion in owner-occupied real estate, just over $11 trillion in debt, and the remaining ~$24 trillion in equity. In inflation adjusted terms, homeowners in Q2 had an average of $280,000 in equity- a historic high.”
As a homeowner, the money you need to purchase the perfect home or renovate your current house may be right at your fingertips. However, waiting to make your decision may increase the cost of tapping that equity.
If you decide to renovate, you’ll need to refinance (or take out an equity loan) to access the equity. If you decide to move instead and use your equity as a down payment, you’ll still need to mortgage the remaining difference between the down payment and the cost of your next home.
Mortgage rates are <a href="https://www.simplifyingthemarket.com/2021/10/05/the-main-key-to-understanding-the-rise-in-mortgage-rates/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="forecast">forecast</a> to increase over the next year. Waiting to leverage your equity will probably mean you’ll pay more to do so. According to the latest data from the <a href="https://www.fhfa.gov/DataTools/Downloads/Pages/National-Mortgage-Database-Aggregate-Data.aspx" title="Federal Housing Finance Agency" target="_blank" rel="noopener noreferrer">Federal Housing Finance Agency</a> (FHFA), almost 57% of current mortgage holders have a mortgage rate of 4% or below. If you’re one of those homeowners, you can keep your mortgage rate under 4% by doing it now. If you’re one of the 43% of homeowners with a mortgage rate over 4%, you may be able to do a cash-out refinance or buy a more expensive home without significantly increasing your monthly payment.
First Step: Determine the Amount of Equity in Your Home
If you’re ready to either redesign your current house or find an existing or newly constructed home that has everything you want, the first thing you need to do is determine how much equity you have in your current home. To do that, you’ll need two things:
The current mortgage balance on your home
The current value of your home
You can probably find the mortgage balance on your monthly mortgage statement. To find the current market value of your house, you can pay several hundreds of dollars for an appraisal, or you can contact a local real estate professional who will be able to present to you, at no charge, a professional equity assessment report.
Bottom Line
If the past 18 months have refocused your thoughts on what you want from your house, now may be the time to either renovate or make a move to the perfect home.
2021-10-18T09:12:00-07:002021-10-18T09:14:58-07:00Kyle Elmoretag:whitepicketky.com,2012-09-20:18965 4 Tips To Prep for Your Home Sale This Fall4 Tips To Prep for Your Home Sale This Fall
<img width="750" height="410" src="https://files.mykcm.com/2021/10/01112436/20211004-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="4 Tips To Prep for Your Home Sale This Fall | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/10/01112436/20211004-KCM-Share.jpg 750w, https://files.mykcm.com/2021/10/01112436/20211004-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/10/01112436/20211004-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" /><br /><br />
Even in a hot <a href="https://www.simplifyingthemarket.com/2021/09/24/its-still-a-sellers-market-infographic/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="sellers’ market">sellers’ market</a> like today’s in which homes are selling so quickly, it’s still important to make a good first impression on potential buyers. Taking the time upfront to prep your house appropriately can bring in the greatest return on your investment.
Here are four simple tips to make sure you maximize the sale of your house this <a href="https://www.simplifyingthemarket.com/2021/09/07/reasons-you-should-consider-selling-this-fall/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="fall">fall</a>.
1. Price It Right
One of the first things buyers will notice is the price of your house. That’s why it’s important to <a href="https://www.simplifyingthemarket.com/2021/09/03/your-agent-is-key-when-pricing-your-house-infographic/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="price it right">price it right</a>. Your goal in pricing your house is to draw attention from competing buyers and let bidding wars push the final sales price up. Pricing your house too high to begin with could put you at a disadvantage by discouraging buyers from making an offer.
Your trusted real estate advisor can help you find the price for your home that reflects the current <a href="https://www.simplifyingthemarket.com/2021/09/09/home-price-appreciation-is-skyrocketing-in-2021-what-about-2022/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="market value">market value</a>. Lean on your agent to help you with this crucial first step.
2. Keep It Clean
It may sound simple, but keeping your house clean is key to making sure it gets the attention it deserves. As realtor.com says in the <a href="https://www.realtor.com/advice/sell/home-selling-checklist-things-to-do-before-selling/" title="Home Selling Checklist" target="_blank" rel="noopener noreferrer">Home Selling Checklist</a>:
“When selling your home, it’s important to keep everything tidy for buyers. . . . Remember to take special care with the bathroom, making sure the tile, counters, shower, and floors shine.”
Before each buyer visits, assess your space and determine what needs your <a href="https://www.simplifyingthemarket.com/2021/08/27/your-checklist-to-get-ready-to-sell-infographic/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="attention">attention</a>. Wash the dishes, make the beds, and put away any toys. Doing these simple things can reduce any potential distractions for buyers.
3. Make It Easy To Visit
Giving buyers the opportunity to see your house on their schedule can be a true game-changer. Buyers are less likely to make an offer if it’s difficult to plan a tour or they can’t easily fit it into their schedule. Making your house available as often as possible helps create opportunities for more buyers to fall in love with your house.
Rest assured your trusted real estate advisor will keep your health and <a href="https://www.simplifyingthemarket.com/2021/09/13/why-its-still-safe-to-sell-your-home/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="safety top of mind">safety top of mind</a> when buyers tour your home. Agents use the latest guidance to stay up to date on any protocols and sanitization recommendations.
4. Help Buyers Feel at Home
Finally, it’s important for buyers to see all the possible ways they can make your house their next home. As the realtor.com article puts it:
“The goal is to create a blank canvas on which buyers can project their own visions of living there, and loving it.”
An easy first step to create this blank canvas is removing personal items – pictures, awards, and sentimental belongings – from your space. If you’re unsure what should be packed away and what can stay, consult your trusted real estate advisor. Spending the time on this step can pay off in the long run, as the <a href="https://cdn.nar.realtor/sites/default/files/documents/2021-profile-of-home-staging-report-04-06-2021.pdf" title="2021 Profile of Home Staging" target="_blank" rel="noopener noreferrer">2021 Profile of Home Staging</a> from the National Association of Realtors notes:
“Eighteen percent of sellers’ agents said home staging increased the dollar value of a residence between 6% and 10%.”
Bottom Line
To make the most of today’s <a href="https://www.simplifyingthemarket.com/2021/08/17/what-does-being-in-a-sellers-market-mean/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="sellers’ market">sellers’ market</a>, avoid the temptation to skip over the essential preparation steps. Let’s connect today to discuss all the ways you can maximize your home sale.
2021-10-04T07:33:00-07:002021-10-04T07:40:08-07:00Kyle Elmoretag:whitepicketky.com,2012-09-20:18954 Don’t Tackle Selling Your Home on Your Own – an Agent Can HelpDon’t Tackle Selling Your Home on Your Own – an Agent Can Help
<img width="750" height="410" src="https://files.mykcm.com/2021/09/28104503/20210929-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Don’t Tackle Selling Your Home on Your Own - an Agent Can Help | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/09/28104503/20210929-KCM-Share.jpg 750w, https://files.mykcm.com/2021/09/28104503/20210929-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/09/28104503/20210929-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" /><br /><br />
If you’re looking to maximize your sale and minimize your effort, you need to work with a real estate professional. In a <a href="https://www.simplifyingthemarket.com/2021/08/17/what-does-being-in-a-sellers-market-mean/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="sellers’ market">sellers’ market</a> like today’s, it can be tempting to list your house <a href="https://www.simplifyingthemarket.com/2021/04/06/dont-sell-on-your-own-just-because-its-a-sellers-market/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="on your own">on your own</a> – known as For Sale By Owner (FSBO). But the truth is, a real estate professional can save you <a href="https://www.simplifyingthemarket.com/2021/05/14/when-it-comes-to-selling-a-house-your-time-is-money-infographic?a=284503-102feb9941b79461bf16d6a02c6089b6" title="time and money">time and money</a> by managing every step of the process, from pricing your home to reviewing documents and handling negotiations.
Before you decide to sell your house on your own, here are five reasons why working with an agent is your best bet to maximize the sale of your home.
1. First impressions are everything – and an agent knows how to make a great one.
<a href="https://www.simplifyingthemarket.com/2021/08/27/your-checklist-to-get-ready-to-sell-infographic/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="Prepping a house">Prepping a house</a> for sale requires a significant amount of time and effort, even though it may seem simple at first glance. Doing it right so it stands out takes expertise and an understanding of what buyers are looking for. An agent considers things like:
Should you take down any personal art or pictures?
How much landscaping should you invest in to boost your house’s curb appeal?
What wall colors are most appealing to buyers?
An expert real estate advisor relies on their experience to answer these questions and more so you don’t invest in the wrong things. Your time and money are important – you shouldn’t waste either.
2. Agents have tools to maximize the number of views your home gets.
Put plainly, the more buyers that view your house, the better your return will be. In our current market, homes are receiving 3.8 offers on average per sale, according to <a href="https://cdn.nar.realtor/sites/default/files/documents/2021-08-realtors-conference-index-09-22-2021_0.pdf" title="recent data" target="_blank" rel="noopener noreferrer">recent data</a> from the National Association of Realtors (NAR). While that’s promising for the sale of your home, it’s important to understand your agent’s role in bringing buyers in.
Agents have multiple tools at their disposal – from social media to agency resources – to ensure your home is viewed by more prospective buyers. Leveraging the tools available to your agent and your agent’s expertise may help boost your sale price as well.
3. An agent won’t miss anything in the fine print.
Your agent can also save you time by taking any guesswork out of <a href="https://www.simplifyingthemarket.com/2021/06/14/the-right-expert-will-guide-you-through-this-unprecedented-market/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="navigating">navigating</a> the required documentation. Today, more disclosures and regulations are mandatory, meaning the number of legal documents you need to juggle is growing.
Because there’s so much to take care of, it can be hard to truly understand all of the requirements and the fine print. That’s where an expert advisor can truly shine. They’ve been through the process before and can be your guide to avoid any costly missteps.
4. Expert advisors know the market and how to price your home.
Another way your agent maximizes the sale of your home is by making sure it’s <a href="https://www.simplifyingthemarket.com/2021/09/03/your-agent-is-key-when-pricing-your-house-infographic/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="priced right">priced right</a>. Real estate professionals have the experience to compare your house to recently sold homes in your area. They also understand the market at large and can factor in any upgrades you’ve completed to your home. Combining these factors is the key to making sure your home is priced to move quickly – and at a competitive price.
When you FSBO, you’re operating without this expertise. Even with your own research, you may not find the most up-to-date information and could risk setting a price that’s inaccurate or unrealistic. If you price your house too high, you could turn buyers away before they’re even in the front door. This could also cause problems when it’s time for the <a href="https://www.simplifyingthemarket.com/2021/08/31/what-buyers-and-sellers-need-to-know-about-the-appraisal-gap/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="appraisal">appraisal</a>.
5. Your agent will be an expert negotiator.
In addition to their experience navigating sales, real estate professionals understand how to negotiate every aspect of a deal. They also know all the parties that will be involved with the sale, including:
The buyer, who wants the best deal possible.
The buyer’s agent, who will use their expertise to advocate for the buyer.
The inspection company, which works for the buyer and will almost always find concerns with the house.
The appraiser, who assesses the property’s value to protect the lender.
An agent relies on their experience and training to make the right moves during the negotiation. They’ll know what levers to pull, how to address each individual’s concerns, and when you may want to get a second opinion. Selling your house as a FSBO means you’ll need to be prepared to have these conversations on your own.
Bottom Line
Selling a house takes time, effort, and expertise – don't go at it alone. Let’s connect to make sure you have an expert on your side to make the most of your sale
2021-09-30T07:53:00-07:002021-09-30T07:55:34-07:00Kyle Elmoretag:whitepicketky.com,2012-09-20:18932 Is It Time To Move on to a New Home?Is It Time To Move on to a New Home?
If you’ve been in your home for longer than five years, you’re not alone. According to recent data from <a href="https://blog.firstam.com/economics/why-homebodies-versus-pandemic-fueled-demand-will-determine-the-outlook-for-housing-market-potential" title="First American" target="_blank" rel="noopener noreferrer">First American</a>, homeowners are staying put much longer than historical averages (see graph below):<a href="https://files.simplifyingthemarket.com/2021/09/17121647/20210920-MEM-Eng-1.png?a=284503-102feb9941b79461bf16d6a02c6089b6" target="_blank" rel="noopener noreferrer"><img class="aligncenter wp-image-99341" src="https://files.mykcm.com/2021/09/17121647/20210920-MEM-Eng-1.png" alt="Is It Time To Move on to a New Home? | MyKCM" width="600" height="450" /></a>As the graph shows, before 2008, homeowners <a href="https://www.simplifyingthemarket.com/2021/08/25/why-2021-is-still-the-year-to-sell-your-house/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="sold">sold</a> their houses after an average of just five years. Today, that number has more than doubled to over 10 years. The housing industry refers to this as your tenure.
To really explore tenure, it’s important to understand what drives people to make a move. An article from <a href="https://www.thebalance.com/why-home-owners-sell-1799021" title="The Balance" target="_blank" rel="noopener noreferrer">The Balance</a> explores some of the primary reasons individuals choose to <a href="https://www.simplifyingthemarket.com/2021/09/07/reasons-you-should-consider-selling-this-fall/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="sell">sell</a> their houses. It says:
“People who move for home-related reasons might need a larger home or a house that better fits their needs, . . . Financial reasons for moving include wanting a nicer home, moving to a newer home to avoid making repairs on the old one, or cashing in on existing equity.”
If you’ve been in your home for longer than the norm, chances are you’re putting off addressing one, if not several, of the reasons other individuals choose to move. If this sounds like you, here are a few things to consider:
If your needs have changed, it may be time to re-evaluate your home.
As the past year has shown, our <a href="https://www.simplifyingthemarket.com/2021/06/02/whats-motivating-people-to-move-right-now/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="needs can change">needs can change</a> rapidly. That means the longer you’ve been in your home, the more likely it is your needs have evolved. The Balance notes several personal factors that could lead to your home no longer meeting your needs, including relationship and job changes.
For example, many workers recently found out they’ll be working remotely indefinitely. If that’s the case for you, you may need more space for a dedicated home office. Other homeowners choose to sell because the number of people living under their roof changes. Now more than ever, we’re spending more and more time at home. As you do, consider if your home really delivers on what you need moving forward.
It’s often financially beneficial to sell your house and move.
One of the biggest benefits of homeownership is the equity your home builds over time. If you’ve been in your house for several years, you may not realize how much <a href="https://www.simplifyingthemarket.com/2021/08/16/a-look-at-home-price-appreciation-and-what-it-means-for-sellers/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="equity">equity</a> you have. According to the latest <a href="https://www.corelogic.com/intelligence/homeowner-equity-insights/" title="Homeowner Equity Report" target="_blank" rel="noopener noreferrer">Homeowner Equity Report</a> from CoreLogic, homeowners gained an average of $33,400 in equity over the past year.
That equity, plus today’s <a href="https://www.simplifyingthemarket.com/2021/08/23/what-do-experts-say-about-todays-mortgage-rates/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="low mortgage rates">low mortgage rates</a>, can fuel a major upgrade when you sell your home and <a href="https://www.simplifyingthemarket.com/2021/08/13/sellers-are-in-a-sweet-spot-infographic/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="purchase a new one">purchase a new one</a>. Or, if you’re looking to downsize, your equity can help provide a larger down payment and lower your monthly payments over the life of your next loan. No matter what, there are significant financial benefits to selling in <a href="https://www.simplifyingthemarket.com/2021/08/17/what-does-being-in-a-sellers-market-mean/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="today’s market">today’s market</a>.
Bottom Line
If you’ve been in your home for 5-10 years or more, now might be the time to explore your options. Today’s low rates and your built-up equity could provide you with the opportunity to address your evolving needs. If you feel it’s time to sell, let’s connect.
2021-09-20T06:44:00-07:002021-09-20T06:49:47-07:00Kyle Elmoretag:whitepicketky.com,2012-09-20:18898Reasons You Should Consider Selling This FallReasons You Should Consider Selling This Fall
If you're trying to decide when to sell your house, there may not be a better time to list than right now. The ultimate <a href="https://www.simplifyingthemarket.com/2021/08/17/what-does-being-in-a-sellers-market-mean/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="sellers' market">sellers' market</a> we're in today won't last forever. If you’re thinking of making a move, here are four reasons to put your house up for sale sooner rather than later.
1. Your House Will Likely Sell Quickly
According to the Realtors Confidence Index released by the <a href="https://cdn.nar.realtor/sites/default/files/documents/2021-07-realtors-confidence-index-08-23-2021.pdf" title="National Association of Realtors&nbsp;" target="_blank" rel="noopener noreferrer">National Association of Realtors </a>(NAR), homes continue to sell quickly – on average, they're selling in just 17 days. As a seller, that's great news for you.
Average days on market is a strong indicator of buyer <a href="https://www.simplifyingthemarket.com/2021/08/18/real-estate-its-still-a-lack-of-supply-not-a-lack-of-demand/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="demand">demand</a>. And if homes are selling quickly, buyers have to be more decisive and act fast to submit their offer before other buyers swoop in.
2. Buyers Are Willing To Compete for Your House
In addition to selling quickly, homes are receiving multiple offers. That same survey shows sellers are seeing an average of 4.5 offers, and they’re competitive ones. The graph below shows how the average number of offers right now compares to previous years:<a href="https://files.simplifyingthemarket.com/2021/08/31113814/20210907-MEM-Eng-1.png?a=284503-102feb9941b79461bf16d6a02c6089b6" target="_blank" rel="noopener noreferrer"><img class="aligncenter wp-image-99211" src="https://files.mykcm.com/2021/08/31113814/20210907-MEM-Eng-1.png" alt="Reasons You Should Consider Selling This Fall | MyKCM" width="600" height="450" /></a>Buyers today know <a href="https://www.simplifyingthemarket.com/2021/08/31/what-buyers-and-sellers-need-to-know-about-the-appraisal-gap/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="bidding wars">bidding wars</a> are a likely outcome, and they're coming prepared with their best offer in hand. Receiving several offers on your house means you can select the one that makes the most sense for your situation and financial well-being.
3. When Supply Is Low, Your House Is in the Spotlight
One of the most significant challenges for motivated buyers is the current <a href="https://www.simplifyingthemarket.com/2021/07/27/a-look-at-housing-supply-and-what-it-means-for-sellers/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="inventory of homes">inventory of homes</a> for sale. Though it’s improving, it remains at near-record lows. The <a href="https://www.nar.realtor/newsroom/existing-home-sales-climb-2-0-in-July" title="chart" target="_blank" rel="noopener noreferrer">chart</a> below shows how today’s low inventory stacks up against recent years. The lighter the blue is in the chart, the lower the housing supply.<a href="https://files.simplifyingthemarket.com/2021/08/31113816/20210907-MEM-Eng-2.png?a=284503-102feb9941b79461bf16d6a02c6089b6" target="_blank" rel="noopener noreferrer"><img class="aligncenter wp-image-99212" src="https://files.mykcm.com/2021/08/31113816/20210907-MEM-Eng-2.png" alt="Reasons You Should Consider Selling This Fall | MyKCM" width="600" height="450" /></a>If you’re looking to take advantage of buyer demand and get the most attention for your house, <a href="https://www.simplifyingthemarket.com/2021/08/25/why-2021-is-still-the-year-to-sell-your-house/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="selling now">selling now</a> before more listings come to the market might be your best option.
4. If You’re Thinking of Moving Up, Now May Be the Time
If your current home no longer meets your needs, it may be the perfect time to make a move. Today, homeowners are gaining a significant amount of wealth through <a href="https://www.simplifyingthemarket.com/2021/07/09/your-home-equity-can-take-you-places-infographic/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="growing equity">growing equity</a>. You can leverage that equity, plus current <a href="https://www.simplifyingthemarket.com/2021/08/23/what-do-experts-say-about-todays-mortgage-rates/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="low mortgage rates">low mortgage rates</a>, to power your move now. But these near-historic low rates won’t last forever.
Experts forecast interest rates will rise. In their forecast, Freddie Mac <a href="http://www.freddiemac.com/fmac-resources/research/pdf/2021Q3-Forecast-04.pdf" title="says" target="_blank" rel="noopener noreferrer">says</a>:
“While we forecast rates to increase gradually later in the year, we don't expect to see a rapid increase. At the end of the year, we forecast 30-year rates will be around 3.4%, rising to 3.8% by the fourth quarter of 2022.”
When rates rise, even modestly, it’ll impact your monthly payment and by extension your purchasing power.
Bottom Line
Don't delay. The combination of housing supply challenges, low mortgage rates, and extremely motivated buyers gives sellers a unique opportunity this season. If you’re thinking about making a move, let's chat about why it makes sense to list your house now.
2021-09-09T07:45:00-07:002021-09-09T07:54:20-07:00Kyle Elmoretag:whitepicketky.com,2012-09-20:18837 Real Estate: It’s Still a Lack of Supply, Not a Lack of DemandReal Estate: It’s Still a Lack of Supply, Not a Lack of Demand
<img width="750" height="410" src="https://files.mykcm.com/2021/08/17115358/20210818-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Real Estate: It’s Still a Lack of Supply, Not a Lack of Demand | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2021/08/17115358/20210818-KCM-Share.jpg 750w, https://files.mykcm.com/2021/08/17115358/20210818-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2021/08/17115358/20210818-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" /><br /><br />
One of the major questions real estate experts are asking today is whether prospective homebuyers still believe purchasing a home makes sense. Some claim rapidly rising home prices are impacting demand and, by extension, leading to the recent slowdown in sales activity.
However, demand isn’t the real issue. Instead, it’s the lack of supply (homes available for sale). An article from the <a href="https://www.wsj.com/articles/home-builders-are-restricting-sales-pushing-up-new-home-prices-11628596801" title="Wall Street Journal" target="_blank" rel="noopener noreferrer">Wall Street Journal</a> shows this is true for new home construction:
“Home builders have sold more homes than they can build. Now they are limiting their sales in an effort to catch up.”
The article quotes David Auld, CEO of D.R. Horton Inc. (the largest homebuilder by volume in the United States since 2002), explaining how they don’t have enough homes for the number of buyers coming into their models:
“Through our history, to have somebody walk into our models and to tell them, ‘We don’t have a house for you to buy today’, is something that is foreign to us.”
Danielle Hale, Chief Economist for realtor.com, also explains that, in the existing home sale market, the slowdown in sales was a supply challenge, not a lack of demand. Responding to a recent uptick in listings coming to market, <a href="https://news.move.com/2021-08-10-Realtor-com-R-July-Housing-Report-New-Listings-Rise-6-5-Nationwide-as-More-Smaller-Homes-Hit-the-Market" title="she notes" target="_blank" rel="noopener noreferrer">she notes</a>:
“. . . if these changing inventory dynamics continue, we could see a wave of real estate activity heading into the latter part of the year.”
Again, the buyers are there. We just need houses to sell to them.
If the slowdown in sales was the result of demand waning, we would start to see home prices beginning to moderate – but this isn’t the case. As Mark Fleming, Chief Economist for First American, <a href="https://blog.firstam.com/economics/reconomy-podcast-whats-driving-the-shift-in-the-housing-market-today-supply-or-demand" title="explains" target="_blank" rel="noopener noreferrer">explains</a>:
“There’s a lot of conversation around rising prices and falling quantity in the housing market, and there’s this concept, or this idea, that it's a demand-side problem . . . . But, if demand were falling dramatically, we would actually see less price pressure, less home price growth.”
Instead, we’re seeing price appreciation accelerate throughout this year, as evidenced by the year-over-year percentage increases reported by <a href="https://www.corelogic.com/intelligence/u-s-home-price-insights/" title="CoreLogic" target="_blank" rel="noopener noreferrer">CoreLogic</a>:
January: 10%
February: 10.4%
March: 11.3%
April: 13%
May: 15.4%
June: 17.2%
(July numbers are not yet available)
There’s a shortage of listings, not buyers, and there are three very good reasons for purchasers to still be interested in buying a home this year.
1. Affordability isn’t the challenge some are claiming it to be.
Though home prices have risen dramatically over the last 18 months, mortgage rates remain near historic lows. Because of these near-record rates, monthly mortgage payments are affordable for most buyers.
While homes are less affordable than they were last year, when we adjust for inflation, we can see they’re also <a href="https://www.simplifyingthemarket.com/2021/08/11/are-houses-less-affordable-than-they-were-in-past-decades/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="more affordable">more affordable</a> than they were in the 1970s, 1980s, 1990s, and much of the 2000s.
2. Owning is a better long-term decision than renting.
A <a href="https://www.zillow.com/research/housing-affordability-forecast-2021-29944/" title="recent study" target="_blank" rel="noopener noreferrer">recent study</a> shows renting a home takes up a higher percentage of a household’s income than owning one. According to the analysis, here’s the percentage of income homebuyers and renters should expect to pay now versus at the end of the year.<a href="https://files.simplifyingthemarket.com/2021/08/17115400/20210818-MEM-Eng-1.png?a=284503-102feb9941b79461bf16d6a02c6089b6" target="_blank" rel="noopener noreferrer"><img class="aligncenter wp-image-99010" src="https://files.mykcm.com/2021/08/17115400/20210818-MEM-Eng-1.png" alt="Real Estate: It’s Still a Lack of Supply, Not a Lack of Demand | MyKCM" width="600" height="450" /></a>While the principal and interest of a monthly mortgage payment remain the same over the lifetime of the loan, <a href="https://www.simplifyingthemarket.com/2021/08/03/with-rents-on-the-rise-is-now-the-time-to-buy/?a=284503-102feb9941b79461bf16d6a02c6089b6" title="rents increase">rents increase</a> almost every year.
3. Owners build their wealth. Renters build their landlord’s wealth.
Whether you’re a homeowner or an investor, real estate builds wealth through growing equity year-over-year. If you own, your household is gaining the benefit of that wealth accumulation. <a href="https://blog.firstam.com/economics/reconomy-podcast-should-you-rent-or-buy" title="Fleming says" target="_blank" rel="noopener noreferrer">Fleming says</a>:
“The major financial advantage of homeownership is the accumulation of equity in the form of house price appreciation . . . . We have to take into account the fact that the shelter that you’re owning is an equity-generating or wealth-generating asset.”
Odeta Kushi, Deputy Chief Economist at First American, elaborates in a <a href="https://blog.firstam.com/economics/why-owning-a-home-was-cheaper-than-renting-in-all-50-top-u.s.-markets" title="recent article" target="_blank" rel="noopener noreferrer">recent article</a>:
“. . . once the home is purchased, appreciation helps build equity in the home, and becomes a benefit rather than a cost. When accounting for the appreciation benefit in our rent versus own analysis, it was cheaper to own in every one of the top 50 markets, including the two most expensive rental markets, San Francisco and San Jose, Calif.”
Today, that equity buildup is substantial. The <a href="https://www.nar.realtor/newsroom/94-of-metro-areas-saw-double-digit-price-growth-in-second-quarter-of-2021" title="National Association of Realtors" target="_blank" rel="noopener noreferrer">National Association of Realtors</a> (NAR) reports:
“The median sales price of single-family existing homes rose in 99% of measured metro areas in the second quarter of 2021 compared to one year ago, with double-digit price gains in 94% of markets.”
In 94% of markets, there was a greater than 10% increase in median price. That means if you bought a $400,000 home in one of those markets, your net worth increased by at least $40,000. If you rented, the landlord was the recipient of the wealth increase.
Bottom Line
For many reasons, housing demand is still extremely strong. What we need is more supply (house listings) to meet that demand.
2021-08-25T07:47:00-07:002021-08-25T08:07:56-07:00Kyle Elmoretag:whitepicketky.com,2012-09-20:14238Why You Should Consider Selling in the Winter<img src="https://assets.site-static.com/userfiles/1116/image/selling-in-the-winter-attracts-serious-buyers.jpg" alt="Selling In Winter Attracts Serious Buyers" title="Selling In Winter Attracts Serious Buyers" height="410" width="750" />
The season you sell your home can have an impact on how much you get for your home and how quickly it sells. The season that has the most success in selling homes is spring. This is a good time of year for families moving to new school districts and is also more convenient weather for moving. Because of this trend, most people will recommend waiting to list your home until after the winter is over. Avoiding the winter is a huge misconception in the housing industry and can cause homeowners to miss out on opportunities.
Selling in the winter can give you a few advantages. There will be fewer houses on the market since most people assume winter is a bad time to sell. This gives your home more attention. Potential buyers are always looking no matter the time of year. Keeping your house on the market in the winter might bring the right buyer to your door. Real estate agents also tend to be less busy during these months and commit more time to getting your home sold.
Studies have shown winter buyers are buying because they need to move right away either for a relocation or personal situation. They will want to close quickly and allow for a much smoother sale.
Bottom Line
If you need to sell your home right away, or have some time but want to see what is out there, consider listing in the winter. Most homeowners who are going to sell will list their home in the spring, making for a competitive market. The winter allows buyers who are in a hurry to move consider your home and sell for more money than you would have in the spring.2018-10-15T09:08:00-07:002018-10-15T09:10:32-07:00Kyle Elmore