http://townandcountryrealty.org/blog/sort_entrydatetime-desc/ With mortgage rates climbing above 3% for the first time in months, serious buyers are more motivated than ever to find a home before the end of the year. Lawrence Yun, Chief Economist for the National Association of Realtors (NAR), puts it best, saying:“Housing demand remains strong as buyers likely want to secure a home before mortgage rates increase even further next year.”But the sense of urgency they feel is complicated by the lack of homes for sale in today’s market. According to the latest Existing Home Sales Report from NAR:“From one year ago, the inventory of unsold homes decreased 13%. . . .”What Does This Mean for Sellers Today?With buyers eager to purchase but so few homes available, sellers who list their houses this fall have a tremendous advantage – also known as leverage – when negotiating with buyers. That’s because, in today’s market, buyers want three things:To be the winning bid on their dream home.To buy before rates riseTo buy before prices go even higher.Your Leverage Can Help You Negotiate Your Best TermsThese three buyer needs give homeowners a leg up when selling their house. You might already realize this leverage enables you to sell at a good price, but it also means you can negotiate the best terms to suit your needs.And since buyer demand is still high, there’s a good chance you’ll get offers from multiple buyers who are willing to compete for your house. When you do, look closely at the terms of each offer to find out which one has the best perks for you.If you have questions about what’s best for your situation, your trusted real estate advisor can help. They have the expertise and are skilled negotiators in all stages of the sales process.Bottom LineToday’s buyers are motivated to purchase a home this year, and that’s great news if you’re thinking of selling. Connect with a real estate professional today to discuss how much leverage you have as a seller in today’s market. http://townandcountryrealty.org/blog/253/sellers-have-incredible-leverage-in-today’s-market/ Thu, 11 Nov 2021 11:50:33 -0500 With the average 30-year fixed mortgage rate from Freddie Mac climbing above 3%, rising rates are one of the topics dominating the discussion in the housing market today. And since experts project rates will rise further in the coming months, that conversation isn’t going away any time soon.But as a homebuyer, what do rates above 3% really mean?Today’s Average Mortgage Rate Still Presents Buyers with a Great OpportunityBuyers don’t want mortgage rates to rise, as any upward movement increases your monthly mortgage payment. But it’s important to put today’s average mortgage rate into perspective. The graph below shows today’s rate in comparison to average rates over the last five years:As the graph shows, even though today’s rate is above 3%, it’s still incredibly competitive.But today’s rate isn’t just low when compared to the most recent years. To truly put today into perspective, let’s look at the last 50 years (see graph below):When we look back even further, we can see that today’s rate is truly outstanding by comparison.What Does That Mean for You?Being upset that you missed out on sub-3% mortgage rates is understandable. But it’s important to realize, buying now still makes sense as experts project rates will continue to rise. And as rates rise, it will cost more to purchase a home.As Mark Fleming, Chief Economist at First American, explains:“Rising mortgage rates, all else equal, will diminish house-buying power, meaning it will cost more per month for a borrower to buy ‘their same home.’”In other words, the longer you wait, the more it will cost you.Bottom LineWhile it’s true today’s average mortgage rate is higher than just a few months ago, 3% mortgage rates shouldn’t deter you from your homebuying goals. Historically, today’s rate is still low. And since rates are expected to continue rising, buying now could save you money in the long run. Contact a local real estate professional so you can lock in a great rate now. http://townandcountryrealty.org/blog/252/two-graphs-that-show-why-you-shouldn’t-be-upset-about-3%-mortgage-rates/ Tue, 09 Nov 2021 11:49:06 -0500 The biggest challenge in real estate today is the lack of available homes for sale. The low housing supply has caused homes throughout the country to appreciate at a much faster rate than what we’ve experienced historically.There are many reasons for the limited number of homes on the market, but as you can see in the graph below, we’re well below where we’ve been for most of the past 10 years. Today, across the country, there is only a 2.4-month supply of homes available for sale.The Opportunity This lack of homes for sale is creating a challenge for many buyers who are growing frustrated in their search. On the other hand, this is a huge opportunity for sellers as low supply is driving up home values. According to CoreLogic, the average home has appreciated by more than $50,000 over the past year. And for many homeowners, that’s opening new doors as they re-think their needs and use their equity to move up or downsize.According to Dr. Frank Nothaft, Chief Economist at CoreLogic:“The average homeowner with a mortgage has more than $200,000 in home equity as of mid-2021.”Today, many sellers are taking advantage of low interest rates and the equity they have in their homes to make a move.Bottom LineThe biggest challenge in real estate is the lack of homes for sale, but this challenge is also an opportunity for sellers. If you’re thinking about selling your house, now is the right time to connect with a local professional. http://townandcountryrealty.org/blog/251/housing-challenge-or-housing-opportunity?-it-depends/ Thu, 04 Nov 2021 11:15:52 -0500 Some HighlightsApplying for a mortgage is a big step towards homeownership, but it doesn’t need to be one you fear. Here are some tips to help you prepare.Know your credit score and work to build strong credit. When you’re ready, lean on your agent to connect you with a lender so you can get pre-approved and begin your home search.Any major life change can be scary, and buying a home is no different. Partner with a trusted real estate professional to take the fear out of the equation. http://townandcountryrealty.org/blog/250/the-mortgage-process-doesn’t-have-to-be-scary-[infographic]/ Mon, 01 Nov 2021 11:13:52 -0500 A recent survey from LendingTree.com found there are multiple reasons why Americans would choose to purchase a home instead of renting. Some of the most popular non-financial reasons given include:The flexibility to make the space your ownThe pride homeownership offersThe sense of stabilityIn the same survey, 41% of respondents say they’d rather own a home than rent because of the unique way homeownership builds wealth over time.And experts agree – the home you own is an important tool for building your net worth. Here’s what many of those experts have to say about building long-term financial stability through homeownership.According to the National Association of Realtors (NAR):“Homeowners who purchased a typical single-family existing-home 30 years ago at the median sales price of $103,333 with a 10% down payment loan and who sold the property at the median sales price of $357,700 in 2021 Q2 accumulated housing wealth of $349,258, . . .”Mark Fleming, Chief Economist at First American, points out that a home is truly a one-of-a-kind asset. It’s the only asset that’s both an investment and a place for you to call your own.“The major financial advantage of homeownership is the accumulation of equity in the form of house price appreciation. . . . We won’t always have 17% house price appreciation, but we have to take into account the fact that the shelter that you’re owning is an equity-generating or wealth-generating asset.”Homeowners can leverage the wealth they generate in several ways throughout their life. Tapping into accumulated equity has long been used to pay for the cost of an education, to start a business, or to fund various other expenses. The Joint Center of Housing Studies at Harvard points out:“. . . by paying down mortgage principal each month and participating in the long-term appreciation of home values, a family can build wealth that can be used for retirement or other needs, including helping the next generation.”Bottom LineWith home prices expected to continue to appreciate in the coming years, homebuyers have an opportunity to start the long-term wealth-building process right now. Talk to a local real estate advisor today if you’re ready to begin your journey on the path to becoming a homeowner. http://townandcountryrealty.org/blog/249/experts-agree:-homeownership-provides-a-path-to-long-term-wealth/ Thu, 28 Oct 2021 04:00:00 -0500