Suburban Philadelphia Real Estate BlogRecently posted or modified blog posts in the category - Selling Your Homehttps://www.kathleengagnon.com/blog/Copyright KathleenGagnon.com2023-11-06T07:27:57-07:00tag:kathleengagnon.com,2012-09-20:14090Reasons to Sell Your House Before the New Year
Reasons To Sell Your House Before the New Year
ovember 6, 2023
<a href="https://www.mykcm.com/blog?categories=sellers" class="badge bg-light font-size-12 me-2">For Sellers</a><a href="https://www.mykcm.com/blog?categories=selling-myths" class="badge bg-light font-size-12 me-2">Selling Myths</a><a href="https://www.mykcm.com/blog?categories=holidays" class="badge bg-light font-size-12 me-2">Holidays</a>
As the year winds down, you may have decided it's time to make a move and put your house on the market. But should you sell now or wait until January? While it may be tempting to hold off until after the holidays, here are three reasons to make your move before the new year.
Get One Step Ahead of Other Sellers
Typically, in the residential real estate market, homeowners are less likely to list their houses toward the end of the year. That’s because people get busy around the holidays and sometimes deprioritize selling their house until the start of the new year when their schedules and social calendars calm down. But that gives you an opportunity to get one step ahead.
Selling now, while other homeowners may hold off until after the holidays, can help you get a leg up on your competition. Start the process with a <a href="https://www.mykcm.com/2023/08/23/why-you-need-a-true-expert-in-todays-housing-market/" rel="noopener noreferrer" target="_blank">real estate agent</a> today so you can get your house on the market before your neighbors do.
Get Your House in Front of Eager Buyers
Even though the supply of <a href="https://www.mykcm.com/2023/09/29/explaining-todays-low-housing-supply-infographic/" rel="noopener noreferrer" target="_blank">homes for sale</a> did grow compared to last year, it’s still low. That means there aren’t enough homes on the market today. While some buyers may also delay their plans to move until January, others will still need to move for <a href="https://www.mykcm.com/2023/10/18/what-are-the-real-reasons-you-want-to-move-right-now/" rel="noopener noreferrer" target="_blank">personal reasons</a> or because something in their life has changed.
Those buyers are still going to be active later this year and will be seriously motivated to make their move happen because they need to. Unfortunately, the challenge they'll face is a shortage of available inventory to meet their needs. A recent article from Investopedia <a href="https://www.investopedia.com/articles/personal-finance/102615/why-holidays-are-good-time-sell-your-house.asp" rel="noopener noreferrer" target="_blank">says</a>:
“. . . if your house is up for sale in the winter and someone is looking at it, chances are that person is serious and ready to buy. Anyone shopping for a new home between Thanksgiving and New Year’s is likely going to be a serious buyer. Putting your home on the market at this time of year and attracting a serious buyer can often result in a quicker sale.”
Use Your Equity To Fuel Your Move
Keep in mind that homeowners today have record amounts of <a href="https://www.mykcm.com/2023/09/01/homeowners-have-a-lot-of-equity-right-now-infographic/" rel="noopener noreferrer" target="_blank">equity</a>. According to <a href="https://www.corelogic.com/press-releases/home-equity-increases-winter-spring-reducing-underwater-properties-q2/" rel="noopener noreferrer" target="_blank">CoreLogic</a>, the average amount of equity per mortgage holder has climbed to almost $290,000. That means the <a href="https://www.mykcm.com/2023/09/19/your-home-equity-can-offset-affordability-challenges/" rel="noopener noreferrer" target="_blank">equity</a> you have in your house right now could cover some, if not all, of a down payment on the home of your dreams.
And as you weigh the reasons to sell before year-end, it's important to remember the reasons that sparked your desire to move in the first place. Maybe it’s time for a new home in a location that suits you better, one that offers the perfect space for you and your loved ones, or maybe your needs have evolved over time. A local real estate agent can help you determine how much home equity you have and how you can use it to achieve your goal of making a move.
Listing your home before the new year can offer unique benefits. Less competition, motivated buyers, and your equity gains can all play to your advantage. Reach out, and let's achieve your goals before winter sets in.
2023-11-06T07:26:51-07:002023-11-06T07:27:57-07:00Jim Gagnontag:kathleengagnon.com,2012-09-20:13996The Perks of Selling your House when Inventories are Low
The Perks of Selling Your House When Inventory Is Low
<img src="https://files.keepingcurrentmatters.com/content/images/20231023/20231024-The-Perks-of-Selling-Your-House-When-Inventory-Is-Low.png" alt="" class="img-thumbnail mx-auto d-block" />
ctober 24, 2023
<a href="https://www.mykcm.com/blog?categories=sellers" class="badge bg-light font-size-12 me-2">For Sellers</a><a href="https://www.mykcm.com/blog?categories=housing-market-updates" class="badge bg-light font-size-12 me-2">Housing Market Updates</a><a href="https://www.mykcm.com/blog?categories=selling-myths" class="badge bg-light font-size-12 me-2">Selling Myths</a>
When it comes to <a href="https://www.mykcm.com/2023/09/19/your-home-equity-can-offset-affordability-challenges/" rel="noopener noreferrer" target="_blank">selling your house</a>, you’re probably trying to juggle the current market conditions and your <a href="https://www.mykcm.com/2023/10/18/what-are-the-real-reasons-you-want-to-move-right-now/" rel="noopener noreferrer" target="_blank">own needs</a> as you plan your move.
One thing that may be working in your favor is how few homes there are for sale right now. Here’s what you need to know about the current <a href="https://www.mykcm.com/2023/08/25/todays-housing-market-has-only-half-the-usual-inventory-infographic/" rel="noopener noreferrer" target="_blank">inventory</a> situation and what it means for you.
The Supply of Homes for Sale Is Far Below the Norm
When you’re selling something, it helps if what you’re selling is in demand, but is also in <a href="https://www.mykcm.com/2023/09/14/why-is-housing-inventory-so-low/" rel="noopener noreferrer" target="_blank">low supply</a>. Why? That makes it even more desirable since there’s not enough to go around. That’s exactly what’s happening in the housing market today. There are more buyers looking to buy than there are homes for sale.
To tell the story of just how low <a href="https://www.mykcm.com/2023/09/27/why-todays-housing-inventory-shows-a-crash-isnt-on-the-horizon/" rel="noopener noreferrer" target="_blank">inventory</a> is, here’s the latest information on active listings, or homes available for sale. The graph below uses <a href="https://www.realtor.com/research/data/" rel="noopener noreferrer" target="_blank">data</a> from Realtor.com to show how many active listings there were in September of this year compared to what’s more typical in the market.
<a href="https://www.mykcm.com/content/images/20231023/20231024-The-Supply-of-Homes-for-sale-Is-Still-Low.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231023/20231024-The-Supply-of-Homes-for-sale-Is-Still-Low.png" /></a>
As you can see in the graph, if you look at the last normal years for the market (shown in the blue bars) versus the latest numbers for this year (shown in the red bar), it’s clear <a href="https://www.mykcm.com/2023/09/29/explaining-todays-low-housing-supply-infographic/" rel="noopener noreferrer" target="_blank">inventory</a> is still far lower than the norm.
What That Means for You
<a href="https://www.mykcm.com/2023/08/30/buyer-traffic-is-still-stronger-than-the-norm/" rel="noopener noreferrer" target="_blank">Buyers</a> have fewer choices now than they did in more typical years. And that’s why you could still see some great perks if you sell today. Because there aren’t enough homes to go around, homes that are priced right are still selling fast and the average <a href="https://www.mykcm.com/2023/09/04/why-its-still-a-sellers-market-today/" rel="noopener noreferrer" target="_blank">seller</a> is getting multiple offers from eager buyers. Based on the latest data from the <a href="https://www.nar.realtor/research-and-statistics/research-reports/realtors-confidence-index" rel="noopener noreferrer" target="_blank">Confidence Index</a> from the National Association of Realtors (NAR):
69% of homes sold in less than a month.
2.6 offers: the average number of offers on recently sold homes.
An <a href="https://www.realtor.com/research/september-2023-data/" rel="noopener noreferrer" target="_blank">article</a> from Realtor.com also explains how the limited number of houses for sale benefits you if you’re selling:
“. . . homes spent two weeks less on the market this past month than they did in the average September from 2017 to 2019 . . . as still-limited supply spurs homebuyers to act quickly . . .”
Bottom Line
Because the supply of homes for sale is so low, buyers desperately want more options – and your house may be just what they’re looking for. Let’s connect to get your <a href="https://www.mykcm.com/2023/10/09/key-skills-you-need-your-listing-agent-to-have/" rel="noopener noreferrer" target="_blank">house listed</a> at the right price for today’s market. You could still see it sell quickly and potentially get multiple offers.
<a href="https://www.mykcm.com/blog" class="router-link-active">GO TO BLOG POSTS</a>2023-10-24T07:11:48-07:002023-10-25T06:56:23-07:00Jim Gagnontag:kathleengagnon.com,2012-09-20:12671Homeowners Have Incredible Equity to Leverage Right Now
Homeowners Have Incredible Equity To Leverage Right Now
<img src="https://files.keepingcurrentmatters.com/content/images/20230512/20230515-homeonwers-have-incredible-equity-to-leverage-right-now.jpg" alt="" class="img-thumbnail mx-auto d-block" />
ay 15, 2023
<a href="https://www.mykcm.com/blog?categories=buyers" class="badge bg-light font-size-12 me-2">For Buyers</a><a href="https://www.mykcm.com/blog?categories=sellers" class="badge bg-light font-size-12 me-2">For Sellers</a><a href="https://www.mykcm.com/blog?categories=move-up-buyers" class="badge bg-light font-size-12 me-2">Move-Up Buyers</a><a href="https://www.mykcm.com/blog?categories=housing-market-updates" class="badge bg-light font-size-12 me-2">Housing Market Updates</a>
Even though <a href="https://www.mykcm.com/2023/04/05/why-arent-home-prices-crashing/" rel="noopener noreferrer" target="_blank">home prices</a> have moderated over the last year, many homeowners still have an incredible amount of equity. But what is equity? In the simplest terms, equity is the difference between the market value of your home and the amount you owe on your mortgage. The National Association of Realtors (NAR) <a href="https://www.nar.realtor/blogs/economists-outlook/single-family-homeowners-typically-accumulated-225K-in-housing-wealth-over-10-years" rel="noopener noreferrer" target="_blank">explains</a> how your equity grows over time:
“Housing wealth (home equity or net worth) gains are built up through price appreciation and by paying off the mortgage.”
How Your Equity Can Help You Achieve Your Goals
The equity you build up over the years can be used to your advantage when you sell your current house and buy your <a href="https://www.mykcm.com/2023/05/08/it-may-be-time-to-consider-a-newly-built-home/" rel="noopener noreferrer" target="_blank">next home</a>. If you no longer have the space you need, it might be time to move into a larger home. Or it’s possible you have too much space and need something <a href="https://www.mykcm.com/2023/05/04/how-homeowners-win-when-they-downsize/" rel="noopener noreferrer" target="_blank">smaller</a>. No matter the situation, your equity can be a powerful tool you can use to help you make a move in <a href="https://www.mykcm.com/2023/04/26/the-three-factors-affecting-home-affordability-today/" rel="noopener noreferrer" target="_blank">today’s market</a>. That’s because it may be some (if not all) of what you need for your down payment on your next home.
And how much equity you have may surprise you. A recent survey from Realtor.com <a href="https://news.move.com/2023-04-17-Realtor-com-R-Survey-82-of-Those-Looking-to-Buy-and-Sell-a-Home-Feel-Locked-In-by-Low-Mortgage-Rate" rel="noopener noreferrer" target="_blank">finds</a> many homeowners today estimate they’ve built up a significant amount of equity:
<a href="https://files.keepingcurrentmatters.com/content/images/20230512/20230515-homeonwers-today-estimate-they-have-a-significant-amount-of-equity.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20230512/20230515-homeonwers-today-estimate-they-have-a-significant-amount-of-equity.png" /></a>
The <a href="https://www.corelogic.com/intelligence/homeowner-equity-insights-q4-2022/" rel="noopener noreferrer" target="_blank">latest data</a> from CoreLogic helps solidify why homeowners are feeling so good about the equity they’ve likely gained over time. As Selma Hepp, Chief Economist for CoreLogic, <a href="https://www.corelogic.com/intelligence/homeowner-equity-insights-q4-2022/" rel="noopener noreferrer" target="_blank">says</a>:
“While equity gains contracted in late 2022 due to home price declines in some regions, U.S. homeowners on average still have about $270,000 in equity, nearly $90,000 more than they had at the onset of the pandemic.”
How a Skilled Real Estate Agent Can Help
If you’re looking to leverage your equity to boost your buying power in today’s market, having a trusted agent by your side makes a difference.
A real estate professional can help you better understand the value of your home, so you’ll get a clearer picture of how much equity you likely have. As a recent article from Bankrate <a href="https://www.bankrate.com/real-estate/sell-your-house-while-buying-another/" rel="noopener noreferrer" target="_blank">says</a>:
“Hiring a skilled real estate agent can give you a realistic estimate of home prices in your area and how to price your current home. Using that figure, you can calculate how much equity you have and what your net proceeds will look like, so you can apply that money toward the down payment and closing costs of your new home.”
Having a solid understanding of your equity is key when it comes to making decisions about buying or selling your home. A skilled agent can help you navigate the often-complicated process of <a href="https://www.mykcm.com/2023/04/13/want-to-sell-your-house-this-spring-price-it-right/" rel="noopener noreferrer" target="_blank">selling</a> your house and ensure the transaction goes smoothly.
Bottom Line
Today, many homeowners are sitting on a substantial amount of equity, and you may be one of them. Let’s connect so we can estimate how much equity you have and plan how you can use it toward the purchase of your next home.
2023-05-15T08:17:15-07:002023-05-15T08:21:43-07:00Jim Gagnontag:kathleengagnon.com,2012-09-20:12624Buyer Activity is Up Despite Higher Mortgage Rates
If you’re a homeowner thinking about <a href="https://www.mykcm.com/2023/04/19/falling-out-of-love-with-your-house-it-may-be-time-to-move/" rel="noopener noreferrer" target="_blank">making a move</a>, you may wonder if it’s still a <a href="https://www.mykcm.com/2023/04/25/what-are-the-experts-saying-about-the-spring-housing-market/" rel="noopener noreferrer" target="_blank">good time</a> to sell your house. Here’s the good news. Even with higher mortgage rates, buyer traffic is actually <a href="https://www.mykcm.com/2023/04/11/the-big-advantage-if-you-sell-this-spring/" rel="noopener noreferrer" target="_blank">picking up speed</a>.
Data from the latest <a href="https://www.showingtime.com/blog/february-2023-showing-index-results-buyer-activity-continues-to-normalize/" rel="noopener noreferrer" target="_blank">ShowingTime Showing Index</a>, which is a measure of buyers actively touring homes, helps paint the picture of how much buyer demand has increased in recent months (see graph below):
<a href="https://files.keepingcurrentmatters.com/content-images-20230502-20230503-showing-traffic-up-again-in-february.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content-images-20230502-20230503-showing-traffic-up-again-in-february.png" /></a>
As the graph shows, the first two months of 2023 saw a noticeable increase in buyer traffic. That’s likely because the limited number of homes for sale kept shoppers looking for homes even during colder months.
To help tell the story of why the latest report is significant, let’s compare foot traffic this February with each February for the last six years (see graph below). It shows this was one of the best Februarys for buyer activity we’ve seen in recent memory.
<a href="https://files.keepingcurrentmatters.com/content-images-20230502-20230503-showing-traffic-is-still-higher-than-pre-pandemic-years.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content-images-20230502-20230503-showing-traffic-is-still-higher-than-pre-pandemic-years.png" /></a>
In the last six years, we saw the most February buyer traffic in 2021 and 2022 (shown in green above), but those years were highly unusual for the housing market. So, if we compare February 2023 with the more normal, pre-pandemic years, data shows this year still marks a clear rise in buyer activity.
The uptick in buyer traffic is even more noteworthy considering the increase in mortgage rates this February. The <a href="https://www.freddiemac.com/pmms/archive" rel="noopener noreferrer" target="_blank">Freddie Mac</a> 30-year fixed mortgage rate rose from 6.09% during the week of February 2nd to 6.50% in the week of February 23rd. But even with higher rates, more buyers were looking for a home.
Jeff Tucker, Senior Economist at Zillow, <a href="https://www.marketwatch.com/picks/after-seven-straight-months-of-home-price-declines-heres-what-6-economists-and-real-estate-pros-say-to-expect-from-the-housing-market-this-spring-df79d2c3" rel="noopener noreferrer" target="_blank">says</a> the increased buyer activity could continue:
“More buyers will keep coming out of the woodwork. We always see a seasonal uptick in home shoppers in March and April . . .”
If you’re looking to sell your house, seeing buyers still active in the market this year should be encouraging. It’s a sign buyers are out there and could be looking for a home just like yours. Working with a real estate professional to list your house now will help you get your home in front of eager buyers today.
Bottom Line
Rising foot traffic is a bright spot for this year’s housing market and indicates that buyers are looking to purchase this year, even with higher mortgage rates. If you’re ready to sell your house, let’s connect.
2023-05-08T09:02:07-07:002023-05-08T09:09:16-07:00Jim Gagnontag:kathleengagnon.com,2012-09-20:12185leverage your equity when you sell your home
Leverage Your Equity When You Sell Your House
<img width="750" height="410" src="https://files.mykcm.com/2023/03/10100317/leverage-your-equity-when-you-sell-your-house-KCM.jpg" class="attachment-entry size-entry wp-post-image" alt="Leverage Your Equity When You Sell Your House | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2023/03/10100317/leverage-your-equity-when-you-sell-your-house-KCM.jpg 750w, https://files.mykcm.com/2023/03/10100317/leverage-your-equity-when-you-sell-your-house-KCM-600x328.jpg 600w, https://files.mykcm.com/2023/03/10100317/leverage-your-equity-when-you-sell-your-house-KCM-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
One of the benefits of being a homeowner is that you build equity over time. By <a href="https://www.mykcm.com/2023/02/06/the-top-reasons-for-selling-your-house/" title="selling">selling</a> your house, that equity can be used toward purchasing your next home. But before you can put it to use, you should understand exactly what equity is and how it grows. Bankrate <a href="https://www.bankrate.com/home-equity/what-is-home-equity/" title="explains" target="_blank" rel="noopener noreferrer">explains</a> it like this:
“Home equity is the portion of your home you’ve paid off – in other words, your stake in the property as opposed to the lender’s. In practical terms, home equity is the appraised value of your home minus any outstanding mortgage and loan balances.”
Majority of Americans Have a Large Amount of Equity
If you’ve owned your home for a while, you’ve likely built up some equity – and you may not even realize how much. Based on data from the <a href="https://data.census.gov/cedsci/all?q=mortgage" title="U.S. Census Bureau" target="_blank" rel="noopener noreferrer">U.S. Census Bureau</a> and <a href="https://www.attomdata.com/news/market-trends/home-sales-prices/attom-q4-2022-u-s-home-equity-and-underwater-report/" title="ATTOM" target="_blank" rel="noopener noreferrer">ATTOM</a>, the majority of Americans have a substantial amount of equity right now (see graph below):
<a href="https://files.mykcm.com/2023/03/10100319/americans-sitting-on-tremendous-equity-MEM.png" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img loading="lazy" class="aligncenter wp-image-107831" src="https://files.mykcm.com/2023/03/10100319/americans-sitting-on-tremendous-equity-MEM.png" alt="Leverage Your Equity When You Sell Your House | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2023/03/10100319/americans-sitting-on-tremendous-equity-MEM.png 960w, https://files.mykcm.com/2023/03/10100319/americans-sitting-on-tremendous-equity-MEM-600x450.png 600w, https://files.mykcm.com/2023/03/10100319/americans-sitting-on-tremendous-equity-MEM-768x576.png 768w, https://files.mykcm.com/2023/03/10100319/americans-sitting-on-tremendous-equity-MEM-100x75.png 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>
And having such large amounts of equity is a benefit to homeowners in more ways than one. Rick Sharga, Executive Vice President of Market Intelligence at ATTOM, <a href="https://www.housingwire.com/articles/almost-45-of-homeowners-are-now-equity-rich/" title="explains" target="_blank" rel="noopener noreferrer">explains</a>:
“Record levels of home equity provide security for millions of families, and minimize the chance of another housing market crash like the one we saw in 2008.”
Over time, your home equity grows. In addition to providing financial stability while you own your house, when you’re ready to sell it, that money could go a long way toward <a href="https://www.mykcm.com/2023/02/13/what-you-should-know-about-closing-costs/" title="paying">paying</a> for your next home.
Bottom Line
By <a href="https://www.mykcm.com/2023/01/30/where-will-you-go-if-you-sell-you-have-options/" title="selling">selling</a> your house and leveraging your equity, it can be easier to pay for your next home. Let’s connect today so you can find out how much home equity you have and start <a href="https://www.mykcm.com/2023/02/15/should-you-consider-buying-a-newly-built-home/" title="planning">planning</a> your next move.
2023-03-13T07:46:53-07:002023-03-13T07:52:22-07:00Jim Gagnontag:kathleengagnon.com,2012-09-20:12052An Expert Makes all the Difference when Selling your Home
An Expert Makes All the Difference When You Sell Your House
<img width="750" height="410" src="https://files.mykcm.com/2023/02/27123844/an-expert-makes-all-the-difference-when-you-sell-your-house-KCM.jpg" class="attachment-entry size-entry wp-post-image" alt="An Expert Makes All the Difference When You Sell Your House | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2023/02/27123844/an-expert-makes-all-the-difference-when-you-sell-your-house-KCM.jpg 750w, https://files.mykcm.com/2023/02/27123844/an-expert-makes-all-the-difference-when-you-sell-your-house-KCM-600x328.jpg 600w, https://files.mykcm.com/2023/02/27123844/an-expert-makes-all-the-difference-when-you-sell-your-house-KCM-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
If you’re thinking of selling your house, it’s important to work with someone who understands how the market is changing and what it means for you. Here are five reasons working with a <a href="https://www.mykcm.com/2023/02/20/spring-into-action-boost-your-homes-curb-appeal-with-expert-guidance/" title="professional">professional</a> can ensure you’ll get the most out of your sale.
1. They’re Experts on Market Trends
With today’s housing market defined by change, it’s critical to work with someone who knows the <a href="https://www.mykcm.com/2023/02/21/the-two-big-issues-the-housing-markets-facing-right-now/" title="latest information">latest information</a> and how it impacts your goals. An expert real estate advisor knows about national trends and your local area too. More importantly, they’ll give insight to what all of this means for you, so they’ll be able to help you make a decision based on trustworthy, data-bound information.
2. A Local Professional Knows How To Set the Right Price for Your Home
Home price appreciation has <a href="https://www.mykcm.com/2023/01/20/whats-really-happening-with-home-prices-infographic/" title="moderated">moderated</a> this year. If you sell your house on your own, you may be more likely to overshoot your asking price because you’re not as aware of where prices are today. <a href="https://www.mykcm.com/2023/01/23/want-to-sell-your-house-price-it-right/" title="Pricing your house">Pricing your house</a> too high can deter buyers or cause your house to sit on the market for longer.
Real estate professionals look at a variety of factors, like the condition of your home and any upgrades you’ve made, with an unbiased eye. They compare your house to recently sold homes in your area to find the best price for today’s market so your house sells quickly.
3. A Real Estate Advisor Helps Maximize Your Pool of Buyers
Since buyer demand has cooled this year, you’ll want to do what you can to help bring in more buyers. Real estate professionals have a wide range of tools at their disposal, such as social media followers, agency resources, and the Multiple Listing Service (MLS), to ensure your house gets in front of people looking to make a purchase. Investopedia <a href="https://www.investopedia.com/articles/personal-finance/071514/8-reasons-not-sell-your-home-without-agent.asp#toc-4-agents-access-large-networks" title="explains" target="_blank" rel="noopener noreferrer">explains</a> why it’s risky to sell on your own without the network an agent provides:
“You don’t have relationships with clients, other agents, or a real estate agency to bring the largest pool of potential buyers to your home.”
Without access to your agent’s tools and marketing expertise, your buyer pool – and your home’s selling potential – is limited.
4. A Real Estate Expert Will Read – and Understand – the Fine Print
Today, more disclosures and regulations are mandatory when selling a house. That means the number of legal documents you’ll need to juggle is growing. The National Association of Realtors (NAR) <a href="https://www.nar.realtor/magazine/tools/client-education/handouts-for-sellers/8-reasons-to-work-with-a-realtor" title="puts it" target="_blank" rel="noopener noreferrer">puts it</a> like this:
“There’s a lot of jargon involved in a real estate transaction; you want to work with a professional who can speak the language.”
5. A Local Professional Is a Skilled Negotiator
In today’s market, buyers are regaining some negotiation power. If you <a href="https://www.mykcm.com/2023/02/17/the-spring-housing-market-could-be-a-sweet-spot-for-sellers-infographic/" title="sell">sell</a> without an expert, you’ll be responsible for any back-and-forth. That means you’ll have to coordinate with:
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
Instead of going toe-to-toe with these parties alone, lean on an expert. They’ll know what levers to pull, how to address everyone’s concerns, and when you may want to get a second opinion.
Bottom Line
Don’t go at it alone. If you’re planning to <a href="https://www.mykcm.com/2023/02/06/the-top-reasons-for-selling-your-house/" title="sell your house">sell your house</a> this spring, let’s connect so you have an expert by your side to guide you in today’s market.
2023-03-01T07:58:45-07:002023-03-01T08:01:08-07:00Jim Gagnontag:kathleengagnon.com,2012-09-20:11865Why Today's Housing Market isn't Headed for a Crash
Why Today’s Housing Market Isn’t Headed for a Crash
<img width="750" height="410" src="https://files.mykcm.com/2023/02/08135548/why-todays-housing-market-isnt-headed-for-a-crash-KCM.jpg" class="attachment-entry size-entry wp-post-image" alt="Why Today’s Housing Market Isn’t Headed for a Crash | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2023/02/08135548/why-todays-housing-market-isnt-headed-for-a-crash-KCM.jpg 750w, https://files.mykcm.com/2023/02/08135548/why-todays-housing-market-isnt-headed-for-a-crash-KCM-600x328.jpg 600w, https://files.mykcm.com/2023/02/08135548/why-todays-housing-market-isnt-headed-for-a-crash-KCM-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
<a href="https://www.nerdwallet.com/article/mortgages/2023-home-buyer-report" title="67%" target="_blank" rel="noopener noreferrer">67%</a> of Americans say a housing market crash is imminent in the next three years. With all the talk in the media lately about shifts in the housing market, it makes sense why so many people feel this way. But there’s good news. Current data shows <a href="https://www.mykcm.com/2023/02/02/experts-forecast-a-turnaround-in-the-housing-market-in-2023/" title="today’s market">today’s market</a> is nothing like it was before the housing crash in 2008.
Back Then, Mortgage Standards Were Less Strict
During the lead-up to the housing crisis, it was much easier to get a home loan than it is today. Banks were creating artificial demand by lowering lending standards and making it easy for just about anyone to qualify for a home loan or refinance an existing one.
As a result, lending institutions took on much greater risk in both the person and the mortgage products offered. That led to mass defaults, foreclosures, and falling prices. Today, things are different, and purchasers face much higher standards from mortgage companies.
The graph below uses <a href="https://www.mba.org/news-and-research/newsroom/news/2023/01/10/mortgage-credit-availability-decreased-in-december" title="data" target="_blank" rel="noopener noreferrer">data</a> from the Mortgage Bankers Association (MBA) to help tell this story. In this index, the higher the number, the easier it is to get a mortgage. The lower the number, the harder it is.
<a href="https://files.mykcm.com/2023/02/08135553/lending-regulations-remain-stable-MEM.png" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img loading="lazy" width="960" height="720" class="aligncenter wp-image-107334" src="https://files.mykcm.com/2023/02/08135553/lending-regulations-remain-stable-MEM.png" srcset="https://files.mykcm.com/2023/02/08135553/lending-regulations-remain-stable-MEM.png 960w, https://files.mykcm.com/2023/02/08135553/lending-regulations-remain-stable-MEM-600x450.png 600w, https://files.mykcm.com/2023/02/08135553/lending-regulations-remain-stable-MEM-768x576.png 768w, https://files.mykcm.com/2023/02/08135553/lending-regulations-remain-stable-MEM-100x75.png 100w" sizes="(max-width: 960px) 100vw, 960px" /></a>
This graph also shows just how different things are today compared to the spike in credit availability leading up to the crash. Tighter lending standards have helped prevent a situation that could lead to a wave of foreclosures like the last time.
Foreclosure Volume Has Declined a Lot Since the Crash
Another difference is the number of homeowners that were facing foreclosure when the housing bubble burst. Foreclosure activity has been <a href="https://www.mykcm.com/2023/01/25/why-you-shouldnt-fear-todays-foreclosure-headlines/" title="lower">lower</a> since the crash, largely because buyers today are more qualified and less likely to default on their loans. The graph below uses <a href="https://www.attomdata.com/news/market-trends/foreclosures/attom-year-end-2022-u-s-foreclosure-market-report/" title="data" target="_blank" rel="noopener noreferrer">data</a> from ATTOM to show the difference between last time and now:
<a href="https://files.mykcm.com/2023/02/08135922/foreclosure-starts-past-and-present-MEM-1.png" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img loading="lazy" width="960" height="720" class="aligncenter wp-image-107335" src="https://files.mykcm.com/2023/02/08135922/foreclosure-starts-past-and-present-MEM-1.png" srcset="https://files.mykcm.com/2023/02/08135922/foreclosure-starts-past-and-present-MEM-1.png 960w, https://files.mykcm.com/2023/02/08135922/foreclosure-starts-past-and-present-MEM-1-600x450.png 600w, https://files.mykcm.com/2023/02/08135922/foreclosure-starts-past-and-present-MEM-1-768x576.png 768w, https://files.mykcm.com/2023/02/08135922/foreclosure-starts-past-and-present-MEM-1-100x75.png 100w" sizes="(max-width: 960px) 100vw, 960px" /></a>
So even as foreclosures tick up, the total number is still very low. And on top of that, most experts don’t expect foreclosures to go up drastically like they did following the crash in 2008. Bill McBride, Founder of Calculated Risk, <a href="https://calculatedrisk.substack.com/p/the-housing-bubble-and-mortgage-debt-76d" title="explains" target="_blank" rel="noopener noreferrer">explains</a> the impact a large increase in foreclosures had on home prices back then – and how that’s unlikely this time.
“The bottom line is there will be an increase in foreclosures over the next year (from record level lows), but there will not be a huge wave of distressed sales as happened following the housing bubble. The distressed sales during the housing bust led to cascading price declines, and that will not happen this time.”
The Supply of Homes for Sale Today Is More Limited
For historical context, there were too many homes for sale during the housing crisis (many of which were short sales and foreclosures), and that caused prices to fall dramatically. Supply has increased since the start of this year, but there’s still a <a href="https://www.mykcm.com/2023/02/08/number-of-homes-for-sale-up-from-last-year-but-below-pre-pandemic-years/" title="shortage of inventory">shortage of inventory</a> available overall, primarily due to years of underbuilding homes.
The graph below uses <a href="https://www.nar.realtor/sites/default/files/documents/ehs-12-2022-overview-2023-01-20.pdf" title="data" target="_blank" rel="noopener noreferrer">data</a> from the National Association of Realtors (NAR) to show how the months’ supply of homes available now compares to the crash. Today, unsold inventory sits at just 2.7-months’ supply at the current sales pace, which is significantly lower than the last time. There just isn’t enough inventory on the market for home prices to come crashing down like they did last time, even though some overheated markets may experience slight declines.
<a href="https://files.mykcm.com/2023/02/08135550/housing-supply-is-lower-than-last-time-MEM.png" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img loading="lazy" width="960" height="720" class="aligncenter wp-image-107332" src="https://files.mykcm.com/2023/02/08135550/housing-supply-is-lower-than-last-time-MEM.png" srcset="https://files.mykcm.com/2023/02/08135550/housing-supply-is-lower-than-last-time-MEM.png 960w, https://files.mykcm.com/2023/02/08135550/housing-supply-is-lower-than-last-time-MEM-600x450.png 600w, https://files.mykcm.com/2023/02/08135550/housing-supply-is-lower-than-last-time-MEM-768x576.png 768w, https://files.mykcm.com/2023/02/08135550/housing-supply-is-lower-than-last-time-MEM-100x75.png 100w" sizes="(max-width: 960px) 100vw, 960px" /></a>
Bottom Line
If recent headlines have you worried we’re headed for another housing crash, the data above should help ease those fears. Expert insights and the most current data clearly show that today’s market is nothing like it was last time.
2023-02-13T08:54:03-07:002023-02-13T08:59:38-07:00Jim Gagnontag:kathleengagnon.com,2012-09-20:11666Why it Makes Sense to Move before Spring
<article id="post-107047" class="post-107047 post type-post status-publish format-standard has-post-thumbnail hentry category-first-time-home-buyers category-buyers category-housing-market-updates category-move-up-buyers-buyers">
Why It Makes Sense To Move Before Spring
<img width="750" height="410" src="https://files.mykcm.com/2023/01/25112149/why-it-makes-sense-to-move-before-spring-KCM.jpg" class="attachment-entry size-entry wp-post-image" alt="Why It Makes Sense To Move Before Spring | MyKCM" loading="lazy" srcset="https://files.mykcm.com/2023/01/25112149/why-it-makes-sense-to-move-before-spring-KCM.jpg 750w, https://files.mykcm.com/2023/01/25112149/why-it-makes-sense-to-move-before-spring-KCM-600x328.jpg 600w, https://files.mykcm.com/2023/01/25112149/why-it-makes-sense-to-move-before-spring-KCM-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Spring is usually the busiest season in the housing market. Many buyers wait until then to make their move, believing it’s the best time to find a home. However, that isn’t always the case when you factor in the competition you could face with other buyers at that time of year. If you’re ready to buy a home, here’s why it makes sense to move before the spring market picks up.
Spring Should Bring a Wave of Buyers to the Market
In most years, the housing market goes through predictable seasonal trends in activity. Winter is typically a quiet point in the year, while spring sees a surge of buyers begin their search. And experts project that this year will be no exception.
Right now, buyer demand is low due to a combination of normal seasonal trends and a reaction to last year’s rise in mortgage rates. But rates have started to come down since last November, which has more and more potential buyers planning to jump into the market. That means right now is a sweet spot if you’re in a good position to buy, before more buyers reappear. Affordability is beginning to improve, but demand is still low — for now. Lawrence Yun, Chief Economist at the National Association of Realtors (NAR), <a href="https://www.housingwire.com/articles/existing-home-sales-ended-the-year-with-a-whimper-in-2022/" title="shares" target="_blank" rel="noopener noreferrer">shares</a>:
“. . . expect sales to pick up again soon since mortgage rates have markedly declined after peaking late last year.”
If you’re ready to buy a home, right now is the best time to do so before your competition grows and more buyers enter the market.
Today’s Sellers Are Motivated
Low demand from buyers often means sellers are more motivated to work with you, and that can set you up to buy a home on your terms. In fact, sellers have been more willing to <a href="https://www.mykcm.com/2022/12/14/you-may-have-more-negotiation-power-when-you-buy-a-home-today/" title="negotiate">negotiate</a> this winter because there are fewer buyers in the market. According to a recent article from <a href="https://www.forbes.com/sites/brendarichardson/2023/01/05/a-record-share-of-home-sellers-gave-concessions-to-buyers-in-the-4th-quarter/?sh=58dc6ba3fbee" title="Forbes" target="_blank" rel="noopener noreferrer">Forbes</a>:
“. . . sellers gave concessions to buyers in 41.9% of home sales in the fourth quarter of last year.”
But keep in mind, the advantages buyers have this winter won’t last forever. The competition you face could be greater if you wait until spring to make a move, and increased buyer demand means sellers will have less motivation to negotiate with you. Be sure to work with a trusted real estate professional to learn what you can expect in your local market right now.
Bottom Line
If you’re in a good position to make a move, it may make sense to move before spring. Working with your team of expert real estate advisors is the best way to learn about the current market and what it means for you. Let’s connect today to determine the best plan to achieve your homebuying goals.
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2023-01-30T08:11:52-07:002023-01-30T08:15:17-07:00Jim Gagnontag:kathleengagnon.com,2012-09-20:11490What Experts are Saying about the 2023 Housing Market2023-01-10T08:24:13-07:002023-01-10T08:33:23-07:00Kathleen Gagnontag:kathleengagnon.com,2012-09-20:5095Why You Should Consider Selling in the Winter<img src="https://assets.site-static.com/userfiles/2873/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.2021-01-25T14:00:00-07:002021-01-25T14:01:45-07:00Kathleen Gagnon