Market Update - May 2017
This month's market update for Chesapeake, Virginia Beach, Norfolk, and the surrounding areas of Hampton Roads show that the decline in residential housing inventory continues. Prices are up from a year ago, but price growth in sales remains steady with marginal increases from past years.
The number of short sales or foreclosure have significantly decreased over the years with April having the lowest amount since data tracking began in August 2009.
The region's months, supply of residential homes inventory is currently at 4.81 months, down from April 2016 when it was 5.7 months. Virginia Beach continues to hold the lowest inventory of the seven major cities, at 3.76 months in April 2017, while Portsmouth has the highest at 5.52 months according to The Real Estate Information Network.
Median Sales Price
For sellers, the good thing is that there are lots of buyers out there looking to purchase a home. If you or someone you know is thinking of selling their home, please call or text me with their name and email/phone number. I welcome an opportunity to discuss this with them.
In this area I keep seeing luxury apartments being built. These apartments are no bargains. The rents run anywhere from $1300 to over $2000. For what it costs to rent one you can use that towards the purchase of a home. What's more, there are still down payment and closing assistance programs out there with money to help you buy a home of your own instead of paying the apartment's mortgage. The statistics on rising rents seem to be continuing. If you're curious about the home buying process, I'm hosting classes on May 20th and May 24th. Click here for Home Ownership - Let's Make It Happen for more information and to sign up. The classes are free, and a lender will be on hand to answer any questions you may have.
Home Buyer Advice
Which Comes First: House Hunting Or Getting A Mortgage
I love showing homes just as much as my clients do. We all enjoy searching for and viewing homes when we’re looking for the “right” one. It’s a lot of the fun part and is of the home-buying process. However, talking about mortgages and interest rates isn’t so fun.
Think of it as just one part, albeit a very necessary part, of what it takes to get the keys to your home. Here are a few tips to ensure that you love your mortgage terms as much as your new home.
Save time by shopping for a mortgage first.
Shopping around for the best mortgage rate should be the first step in the home buying process. The sooner you start the better. You may even want to talk to a mortgage lender a full year before you plan to buy. It'll give you time to get it together in order to qualify for the best rate and terms, which could save you thousands of dollars in the long run. This makes lots of sense since interest rates have been on the rise.
Find out your true budget.
What a lender says you can afford and what you can actually afford can vary a lot. Take the time to examine your spending budget and before accepting to the loan amount the lender is offering. The lender will go over your debt-to-income ratio. This doesn't include money you spend on hobbies, or the cost of getting back and forth to your job, utility or maintenance costs. You won't enjoy your home nearly as much if you have to cut back or get rid of enjoying you favorite hobbies. Having wiggle room to not only enjoy the house but enjoy things that make life enjoyable will make life more enjoyable. I work with a few great lenders who I don't mind sharing their info with you. Give me a call.
Take Control of How Long it Takes to Sell Your Home
Lately I’ve been showing lots of homes to buyers, but quite a few of them need cosmetic repairs, and some need major work or system replacements (i.e., HVAC or roofs). As a home seller, you have lots of control over how long your home stays on the market than you believe.
Selling your home can be hectic, and it’s hard to be objective. Your property is not just a home, it’s an asset. It may have been years since you’ve purchased it. If the home, in its present condition and price doesn’t sell don’t get offended. Times and tastes have changed.
Today’s buyers are your customers. What if you went shopping for a car, let’s say the latest 4-door Honda Accord. If the car lot only sold old used Honda models you’d leave and find a dealer who has what you want, wouldn’t you? Take a look at it from a buyer’s point of view.
Most buyers don’t want to spend money on repairs or upgrades nor have time to do the work. Although most of us enjoy watching episodes of HGTV, I haven’t found many buyers who are eager after to create the type of “dream home” they see on TV after closing on a house. Having a clean, move-in ready home is what today’s buyers want.
Why not take control of the selling process by giving the buyers what they really want. Getting the home pre-inspected and making the necessary repairs reduces negotiation time and gives the buyers confidence they’re getting a solid investment. Show a home with neutral colored walls throughout the house and hardwood flooring and the buyers will be lining up see it.
By investing the time and money to prepare the home before listing it, you’ll be able to sell it quicker and for more money. Isn’t that what every seller wants? If you’re curious about home prices, click here to find out what your home is worth in your neighborhood.
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