Real Estate Will Lead the Economic Recovery. With more U.S. states reopening for business this summer, and as people start to return to work, we can expect the economy to begin improving. Most expert forecasts indicate this economic recovery will start to happen in the second half of this year. As we get back to work and the financial landscape of the country begins to turn around, many experts also agree that real estate has the potential to lead the way in the recovery process.
“Mortgage demand from home buyers shows unexpectedly strong and quick recovery…The quick recovery has surprised most forecasters.”
Robert Dietz, Chief Economist and Senior Vice President for Economics and Housing Policy of the National Association of Home Builders (NAHB) says:
“Overall, the data lend evidence to the NAHB forecast that housing will be a leading sector in an eventual economic recovery.”
One of the big reasons why housing has the potential to be such a driving force is the significant impact it has on the local economy. This impact is particularly strong when a newly constructed home is built and sold. According to a recent study by the National Association of Realtors (NAR), the average new home sale has a total economic impact of $88,416. As outlined in the graphic below, this is a combination of income generated from real estate industries, expenditures, and new home construction.With so many unknowns today, especially in the wake of a worldwide pandemic, one known factor is the bright spark the housing market can play in local and national recovery. Buying and selling a home goes well beyond personal growth and satisfaction – it supports our economy as a whole.
According to experts, the economy will begin to recover in the second half of this year. With real estate as a driver, that recovery may start sooner than we think.
In the latest Housing Trends Report, the National Association of Home Builders (NAHB) measured the share of adults planning to buy a home over the next 12 months. The report indicates the percentage of all buyers that will be first-time buyers looking to purchase a home grew from 58% in Q4 2018 to 63% in Q4 2019.
“Millennials are the most likely generation to be making plans to purchase a home within a year (19%), followed by Gen Z (13%) and Gen X (12%)…Prospective buyers in the youngest two generations are primarily first-time buyers: 88% of Gen Z buyers and 78% of Millennial buyers are reaching out to homeownership for the first time in their lives.”
With a high demand from first-time homebuyers and a shortage of inventory in the current market, selling your existing home this year might be your best move. Why? Because when homebuyers begin their search, they’re not all looking for new construction. Many are eager to find a little charm and character in a place to call home – possibly yours.
In fact, according to the same study, there is a significant demand for existing homes:
“In terms of the type of home these prospective home buyers are interested in, 40% are looking to buy an existing home and 19% a newly-built home. The remaining 41% would buy either a new or existing home.”
With showing activity up among buyers and more new construction coming to market, as a homeowner, you have the opportunity to sell your existing house now and move up into a new one, or downsize into a home that better fits your current and ever-changing needs.
Not all buyers are looking for a newly built house. If you’re ready to take advantage of low mortgage rates and a high demand for your existing home, let’s get together to determine how we will market the charming details of your current house to potential buyers.
The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice. Keeping Current Matters, Inc. does not guarantee or warrant the accuracy or completeness of the information or opinions contained herein. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. Keeping Current Matters, Inc. will not be liable for any loss or damage caused by your reliance on the information or opinions contained herein.
The housing market will be defined by three things…
This coming year the housing market will be defined by 3 things- inventory, interest rates, and appreciation. But the biggest issue the housing market will face in 2020 is an inventory shortage. There aren’t enough homes on the market for buyers, especially on the lower end of the market. This is a topic that has come up frequently within the past several months.
Based on what is forecasted, we know that interest rates are projected to remain low
Based on what is forecasted, we know that interest rates are projected to remain low and that appreciation is expected to continue as we move into 2020. Additionally, the upcoming election will provoke many unique perspectives on the health of the US housing market. The challenge will be understanding what is actually happening and how you can best position yourself if you are thinking of buying or selling your home.
Here are several perspectives to consider on the inventory issue facing housing next year:
“Despite increases in new construction, next year will once again fail to bring a solution to the inventory shortage that has plagued the housing market since 2015. Inventory could reach a historic low as a steady flow of demand, especially for entry level homes, and declining seller sentiment combine to keep a lid on sales transactions.”
“Inventory has been falling annually for five straight months, after it recovered slightly toward the end of last year, due to a spike in mortgage rates. Rates began falling again by spring of this year. Homebuilders have been increasing production slowly, but it’s not enough to meet the increasingly strong demand.”
“As millennials — the largest cohort of buyers in U.S. history — embrace homeownership and take advantage of this year’s unexpectedly low mortgage rates, demand is outstripping supply, causing inventory to vanish. The housing shortage is felt acutely at the entry-level of the market, where most millennials are looking to break into the market for their first home.”
The most important thing you can do is understand what is happening in your local market. You may not be able to avoid some of the issues brought on by low inventory, but you can be educated and prepared. Let’s connect and discuss the options that make the most sense for you and your family.
Having a real estate broker is like having an opinion – virtually everybody has one. And like a good tenant for owners of investment properties, good real estate brokers are gold.
How do you select a good one? Ask your friends, family, co-workers, your title company friend, your mortgage broker, and the person next to you at Denny’s. Ask the Chamber of Commerce. Look at the signs around town – who is listing the most homes? Usually there is a reason for that. Ask around on Social Media but keep a wary eye on the responses. It is a bit funny when someone asks for a local broker with a great reputation, and a respondent gives a name from a city 40 miles away. See the first line – “virtually everybody has one.” That doesn’t necessarily mean they are putting forth the best agent for you in that local area. It might mean they are recommending their daughter, their golf partner, or someone who sends them a lot of home loan candidates.
Our best advice? Interview a few, perhaps three. Who is on time? Who understands technology? Who listens after asking you what is important to you? Who lets you get a word in edgewise, and encourages you to wax philosophical about your real estate dreams? With which one do you feel most comfortable? Who is most candid, telling you that your $300,000 home is not actually worth $400,000 like your mom said? Which real estate broker will tell you to see a lender and give it several months of following their sage advice to get your 540 credit score up by paying all your bills on time and reducing your use of credit to 30% or less of your credit line? Which one has the most impressive, user-friendly webpage and doesn’t dabble in silly stuff on Facebook? Which one has a contemporary view of the current market, and can move easily between data and pleasantries?
Most importantly, which one does what they say they are going to do in the timeframe they said they would do it, and with the quality they promised? Are their presentation materials professional? Did they ask you how you would like to receive the information as to the estimated value of your property in today’s market? If you asked for a one-page summary did, they give you 50 pages of glitz? If you asked for all the bells and whistles with 50 pages of glitz, did they call you and give you a verbal estimate?
“…In the world of real estate brokers, what sets the best from the rest is relatively simple – service that at least meets if not exceeds your expectations….”
Testimonials are a good way to help you decide which real estate broker is the best fit for you. Most agents will have several on their web page, and if you are lucky, you may know those who “testify”!
The ideal brokerage is one that has someone there for you. Our belief is that anyone walking into one of our three offices is going to find someone that fits them like a warm glove on a cold winter day. Maybe it is the millennial who lives and breathes technology. Maybe it is the Boomer who has been successful for years and is only now discovering the power of Tweets. Maybe it is the person who genuinely enjoys working with seniors who wish to downsize or the veteran who knows what it takes to help those who serve (or served) get their homeowner dreams fulfilled.
In the world of real estate brokers, what sets the best from the rest is relatively simple – service that at least meets if not exceeds your expectations. Candor. Someone who believes community service is a privilege and giving back to their community is simply the right thing to do. A real estate broker with knowledge of the market and what is happening in it and to it. Ethics. To us, ethics matter, and our customers deserve at least our best, every day. And a real estate broker who puts you above their commission. The good ones know that if they do these things, the money will follow but more importantly, so will the referrals and lifetime friendships.
When selling your house, there are a few key things you can prioritize to have the greatest impact for a faster sale:
1. Make Buyers Feel at Home
Declutter your home! Pack away all personal items like pictures, awards, and sentimental belongings. Make buyers feel like they belong in the house. According to the 2019Profile of Home Staging by the National Association of Realtors, “83% of buyers’ agents said staging a home made it easier for a buyer to visualize the property as a future home.”
Not only will your house spend less time on the market, but the same report mentioned that, “One-quarter of buyers’ agents said that staging a home increased the dollar value offered between 1 – 5%, compared to other similar homes on the market that were not staged.”
2. Keep It Organized
Since you took the time to declutter, keep it organized. Before buyers arrive, pick up toys, make the bed, and put away clean dishes. According to the same report, the kitchen is one of the most important rooms to stage in order to attract more buyers. Put out a scented candle or some cookies fresh from the oven. Buyers will remember the smell of your home.
3. Price It Right
More inventory coming into the market guarantees there will be some competition. You want to make sure your home is noticed. A key to selling your house is ensuring it is Priced to Sell Immediately (PTSI). This means you’ll be driving more traffic to your property, and ultimately creating more interest in your home.
4. Give Buyers Full Access
One of the top four elements when selling your home is access. If your home is available anytime, that opens up more opportunity to find a buyer right away. Some buyers, especially those relocating, don’t have much time available. If they cannot get into the house, they will move on to the next one.
If you want to sell your home in the least amount of time at the best price with as little hassle as possible, a local real estate professional is a useful guide. Let’s connect today to determine what you need to do to sell your home as quickly as possible.
Bledsoe Santana Team Realty LLC, your local real estate experts with 3 offices ready to serve you for all your real estate needs. “At Bledsoe Santana Team Realty LLC, we want to be a warm fire on a cold winter day and are here to serve you throughout the Willamette Valley. We are “Simply the BEST! “Contact Us
Shop local, invest local – Many people encourage us to shop local. There are good reasons to do so, and with the holidays approaching, it becomes even more important.
It has been said that most businesses fail within the first two years, for a variety of reasons. Right idea, wrong timing. Wrong idea. An expectation that the business is going to become profitable the moment the doors open. Too much competition. Not enough of a market for a niche idea. Perhaps the assumption that a great florist will automatically be a great business owner. Whatever the reason businesses fail, there are even more reasons why they succeed. Right idea, right timing. Cash reserves until the business takes off. Great market research. Little competition. Impeccable service. Unique product.
Why shop local? Here are my top ten reasons.
The “proprietor” is a friend, relative, acquaintance who had the guts to start a business when the odds of success are stacked up against him or her. They need our help and support.
Small businesses help make up the character and charm of small towns. Look at Silverton and Mt. Angel, Stayton and Sublimity. Aumsville, Jefferson, Turner, Scio, Lyons and Detroit. Imagine Mt. Angel without the Glockenspiel, both clock and restaurant, or, heaven forbid, Bochsler’s Hardware. I’ve been going to that store for decades and only two times have they not had what I was looking for. And the place is jammed to the gills, yet the courteous, professional staff always know exactly where my item is. Think about Silverton without Mac’s Place (Circa 1890), or the Palace Theater, where you can get a first run movie, a tub of popcorn and a drink, and the largest screen in the Valley (with awesome sound and plush seats), for half of Salem prices. And what about Joel Autrey’s Silverton Wine Bar and Bistro?
Empty storefronts are bad for business. Vibrant businesses are good for business collectively.
Urban renewal dollars help revitalize the downtown. Open and healthy businesses contribute urban renewal dollars and business taxes to keep the town’s epicenter sharply dressed, running smooth, and attracting those important tourist dollars. These businesses create jobs.
The dollars spent here stay here. Nothing gets “wired” to corporate. Shop local, invest local.
It is a friendly, cohesive group of small business owners. They “cross-promote” each other. They want each other to succeed, and friendly competition is just that. Friendly.
Parking is cheap, and most business owners walk to their shops so that the disabled vet and the mom with three littles can park in front of their store.
To shop local, you get to know your neighbors, fellow parishioners, students, and local leaders.
Gas is not cheap. Time is often scarce. Paying a dollar more in Salem and spending an extra four dollars in gas to get there and back takes at least an hour, not counting shopping time? Maybe do the math?
Dan Satern at Guild Mortgage and his son, Brent Satern of Country Financial just treated over 300 kids and families to the Disney blockbuster movie, Frozen 2, November 23rd. The ticket included a $3 credit for snacks and pictures with the movie characters. Stu Rasmussen, owner of The Palace Theater, gave the two business leaders a deal. Kids had a blast. Roth’s Fresh Markets has given millions of dollars in contributions, goods, services, and candy (kids attending parades look for the Roth golf cart because they know something good is coming!). Your local business owners and their crews never saw a Girl Scout leave their store without having sold a box (or 10) of their world-famous cookies. The Little Leaguer raising funds for equipment and tournaments by selling candy bars and the marching band needing instruments and uniforms? Yup. Local businesses made that happen. The lady hawking sausage at an Oktoberfest booth so your kid gets a scholarship to college? She owns a small business. The man setting out parking signs for Homer Davenport and the stores giving your little ones a safe place to show off costumes and get treat during the Goblin Walk? They all do this because they care about and invest in the community they live and do business in. We need to care about them, as well. November 30th is National Small Business Saturday and succeeds the chaotic Black Friday. Shop local. Invest local.
When it comes time to make a move contact us; your local real estate experts with 3 offices ready to serve you for all your real estate needs. “At Bledsoe Santana Team Realty LLC, we want to be a warm fire on a cold winter day and are here to serve you throughout the Willamette Valley. We are “Simply the BEST! “ Contact Us
Ready for Winter? When it comes to winterizing our homes, everyone has an opinion. As real estate professionals, we known when to stay in our own wheelhouse and when to bring in the experts. Fortunately, with the magic of the internet, those pros are easy to find. Who doesn’t trust Bob Vila, the iconic home guy almost as famous as “Tim, the Tool Man’ from the TV show, “Home Improvement”?
Winterizing Tips from Ace
From our Friends at ACE Hardware, they recommend having your chimney checked and serviced before winter hits. Creosote can build up and can catch fire, so it is good to have a clean chimney. Silvercreek Chimney Sweep, Chimcare, or Chimney Sweep Plus LLC are all great resources for getting the job done. They also recommend replacing smoke detectors and carbon monoxide batteries regularly. The ACE pros also suggest fertilizing your yard with a good winter fertilizer so that it will look great in spring, and that it is a good idea to seal cracks in your sidewalks and driveways, as water can get in and cause damage, including when it freezes. Need a great landscaper to help with the job? Try one of these… Bob Fence and Landscape, Sosa Landscape Maintenance, and Mckinley Landscape LLC
Here are The Home Guru’s 12 winterizing tips for getting your home ready for winter, and they are very cost effective, if not free in many cases. 1) Clean out your gutters. When they are clogged, water will freeze, damn up, not flow effectively, and can cause extra weight on the gutters, roof, soffits, and fascia. Icicles are heavy, and dangerous as you will recall the little boy from “The Christmas Story” who “almost shot his eye out!” 2) Wrap windows in plastic from the inside. Not particularly attractive but can keep in 70% of the heat. Do this especially in unused rooms. Busy rooms with family and holiday crowds might want you to open windows, so taking the film on and off can be a chore.
“Turn your Thermostat one Degree”
3) Flush water heaters out entirely through the drain valve. Particles and sediment can collect on the bottom of the tank, reducing their efficiency. 4) Turn your thermostat down one degree. This alone can save you perhaps 1% on your heating bill. 5) Service your furnace at least every 90 days in the winter and change the filters regularly. Some experts say monthly in the wintertime. 6) Put draft guards under the doors. They are inexpensive at the home improvement stores, and free if you roll up a towel. Just keep that heat in. 7) Turn your ceiling fan direction switch to “clockwise.” This pushes the heat downward where you need it. Switch it back in the spring and summer.
“Disconnect Your Hose from the Hose Bib”
8) Disconnect your hoses outside from the hose bib. They can freeze, the bib can freeze and split the metal, and it can cause a costly repair, especially on brick siding. 9) Use a chimney balloon in an unused fireplace/chimney. Lots of heat escapes through chimneys. Shut the flue if you don’t use the fireplace. 10) Caulk windows, openings, door gaps, etc., and especially around window air conditioning units. Put weather stripping around doors and windows. 11) Cover hoses bibs with insulated covers, found at home improvement and hardware stores. They are inexpensive and effective. Close outside vents to keep moisture and cold out when temperatures dip down to freezing. 12) Cover exposed water pipes with insulated tubing. Need a contractor? Try one of these; American General LLC, Golden Hammer Construction, Good Guys Construction, Inc
Kristy Home Solutions recommend that for very little cost, you can have sprinkler professionals blow out your lawn and garden sprinkler systems, and to check that all interior windows are latched after summertime use. This can let out heat.
Get ready for Winter with Kristy Home Solution’s 10 Tips for Weatherizing your home.
There you have it. You are set for a comfortable, warm, and efficient winter season. Enjoy that beautiful home and the beauty and wonder of the holidays.
Whether you’re winterizing your home or preparing it for sale, we can help! Contact Us!
Winter is a great time to list….Many sellers believe spring is the best time to put their homes on the market because buyer demand traditionally increases at that time of year. What they don’t realize is if every homeowner believes the same thing, then that’s when they’ll have the most competition. So, what’s the #1 reason to list your house in the winter?
Housing supply traditionally shrinks at this time of year, so the choices buyers have will be limited. The chart below was created using the months supply of listings from the National Association of Realtors.As you can see, the ‘sweet spot’ to list your house for the most exposure naturally occurs in the late fall and winter months (November – January).
Temperatures aren’t the only thing that heats up in the spring – so do listings!In 2018, listings increased from December to May. Don’t wait for these listings and the competition that comes with them to come to the market before you decide to list your house.
At this time of year, purchasers who are serious about buying a home will be in the marketplace and your family will not be bothered and inconvenienced by mere ‘lookers.’ The lookers are at the mall or online doing their holiday shopping.
#1 reason to list this winter, Less competition.
If you’ve been debating whether or not to sell your house and are curious about market conditions in your area, let’s get together to determine the best time to list your house. Contact us
Bledsoe Santana Team Realty, LLC is happy to welcome Nicole Rodriguez as the newest member of our team!
We are excited to have Nicole as a part of our Woodburn office and look forward to all she is going to bring to our team! Nicole is multilingual, in Spanish, Tagalog, as well as English! Welcome Nicole!!
Here is Nocole’s “About Me”
“I am born and raised in Juneau, Alaska. I grew up dancing and competing since the age of four. During high school, I was a member of the JDHS dance team, National Honor Society, Interact Club, and recipient of the Rotary Youth Leadership awards. After high school, I received a UA Scholar Award and attended the University of Alaska Southeast. I enrolled in the business program while working as a manager for a bank and dance assistant.
Before Real Estate, I was a Branch Manager for a local Credit Union, a member of Rotaract Club, and Chamber of Commerce, and very active in the dance community.
My husband Hugo Rodriguez, was raised in Woodburn, OR and graduated Woodburn High in 2007. After high school he worked for a bank and transferred to Alaska where we met. We got married in 2014 and raised our two children Azaleigha and Nathan. After a few years of convincing, my husband was happy to call Oregon home again.
I’m excited to be part of the Woodburn community. When I am not helping the community buy and sell homes, I serve the community on behalf of Rotary, teach dance lessons for Woodburn Parks and Recreation, and raise my two children.”
July 12th is Collector Car Appreciation Day and we know Silverton likes to appreciate some classic cars!
All summer long you can catch Silverton Flywheels every First Friday on Main St. You can stroll through some amazing automobiles and shoot the breeze with the folks that drive them! Here is a link to Silverton Flywheels website!