Category Archives: Real Estate

California’s Real Estate Market Cooling

Posted on April 7, 2019 | Leave a comment

Home prices increased more than 6 percent nationally last year, with lower-priced homes seeing some of the largest gains. This was bad news for entry-level buyers who couldn’t afford the higher prices.

In the costliest markets, like California, where the median home price was around $530,000 in 2018, about 70 percent of residents couldn’t afford to buy a home. However, California’s market is starting to cool as are some of the least affordable areas on the West Coast. The rest of the country is expected to see a slowdown, as well, to around 4 percent.

However, that’s not enough of a drop to cause a big change in the market this season, McBride says. Instead of waiting for the market to take a plunge, people who are serious about buying a home should financially prepare themselves now.

“Price dynamics will differ by market, but most markets are unlikely to see significant price erosion this year – they just won’t see significant price appreciation either,” McBride says. “The right time to buy a house is when you are financially prepared to do so, your life circumstances are supportive of buying, and you find the right home at the right price. Waiting can help build a better financial foundation but offers no guarantees of future market conditions.”

For many homebuyers, 2019 might prove to be a better year for buying.

Last year, buyers in many areas faced significant roadblocks to homeownership, such as a severe inventory shortage, home price growth at twice the rate of income growth and increasing mortgage rates. The situation isn’t expected to drastically change this year, but it’s getting better.

Most experts predict housing starts to increase by around 2.5 percent. Although those are modest gains, when coupled with a strong job market and increasing wages, buyers will have a little more momentum going into the buying season.

“This is going to be a pretty good spring, we’re seeing growth relative to last year in home sales. Not a blowout year, but increasing by a couple of percent relative to where they were last year,” says Michael Fratantoni, Mortgage Banker Association chief economist.

Disclaimer: for information and entertainment purposes only

7 important tasks sellers forget when selling their home

Posted on April 5, 2019 | Leave a comment

To make the sale run more smoothly, go through your house pretending to be an objective buyer and look for obvious faults which could be remedied, making sure these tasks are on your to-do list.

1. Deodorize the home

We all get used to the smell of our own houses to the point that we’re immune to distinct aromas. But when buyers are entering your home, you want to make sure the house gives a great first impression.

Air out the house to remove any stuffy air, and remove any cat litter trays, dog beds or anything else which may harbour pet odours.

If there is any mold, there is often a musty smell that lingers which makes the house seem unhealthy and neglected. Remove mold by spraying it with white vinegar then, using hot water and bicarbonate of soda, scrub the area and let dry. This should kill most of the mold, reducing the smell.

2. Remove the junk

It is easy to hoard lots of unused, unnecessary junk if you have lots of storage such as a basement, attic or space under the house. Buyers may fear this clutter will be left behind for them to sort out, and this can be off-putting.

If you leave it behind, the buyer can force you to remove it, or pay for its removal. Instead, clear the clutter ahead of time to show off the ample storage your home offers. When it comes time to move, there will also be less to shift.

Translating Real Estate Agent/Broker “speak”

Posted on April 1, 2019 | Leave a comment

Frederick Warburg Peters, the chief executive of Warburg Realty, has a framed New Yorker cover hanging in his office of an enthusiastic broker standing with a hopeful couple on a balcony. Clutching a clipboard and grinning, she points to a sliver of the Hudson River peaking out through a wall of buildings. In a carefully crafted listing, such a view might be described as a “partial river view.”

“It’s what I call a two-person view,” Mr. Peters said. “If one of you hangs out the window and the other one holds onto his legs, you can see” a tiny bit of the river or whatever view is being touted.

Brokers use all kinds of verbal gymnastics in blurbs that could be applauded if there weren’t a potential buyer at the other end of these colorful but ultimately obscure paragraphs. Since “the possibilities to create your own piece of New York are endless,” according to one TriBeCa listing I came across recently, your imagination could really take you anywhere, maybe even to one of the listing photographs of a virtually staged bedroom with walls where none currently exist.

There’s a reason for the euphemisms. Listing agents work for sellers, not buyers, and they have a delicate dance to do. They must simultaneously avoid offending their client while also conveying to the buyer that, say, although the kitchen was recently updated, the seller’s penchant for flamingoes may have led to some interesting wallpaper choices.

Brokers are also bound by federal and local rules that require them to use inclusive language instead of phrases like “great for families,” which might imply that those without a family would not be welcome. So, if you want to let a buyer know that an apartment would be an ideal space for children, you might list the nontoxic paints the seller used in the bedrooms, giving a nod to anxious parents.

disclaimer: for information and entertainment purposes only