Las Vegas Real Estate BlogRecently posted or modified blog postshttps://www.buyrealestateinvegas.com/blog/Copyright BuyRealEstateInVegas.com2024-03-12T10:59:32-07:00tag:buyrealestateinvegas.com,2012-09-20:36319These Can Be Removed From Credit ReportsTHESE CAN BE REMOVED FROM CREDIT REPORTS
Did you know that every single one of these items below can be challenged and investigated based on the Fair Credit Reporting Act?
✓ Collections
✓ Bankruptcies*
✓ Bankruptcy Items
✓Charge Offs
✓ Profit & Losses
✓ Inquiries
✓ Medical
✓ Divorce Related Issues
✓Identity Fraud
✓ Foreclosures*
✓ Repossessions
✓ All Late Payments
Crazy right? Can all of these be removed in a week? No. A month? Probably not. It may take some time (like the ones with the asterisks), but it can be done! We have a preferred credit consulting company listed below for you. Just tell them Team Davenport sent you!
360 Credit Consulting Team
P. (877) 487-4898
F. (877) 455-6491
E. <a href="mailto:Team@360CreditConsulting.com" title="<span style="color:#0696DA">Team@360creditconsulting.com</span>" rel="noreferrer" target="_blank">team@360creditconsulting.com</a>
W. <a href="http://360creditconsulting.com/" title="<span style="color:#0696DA">360creditconsulting.com</span>" rel="noreferrer" target="_blank" data-saferedirecturl="https://www.google.com/url?q=http://360creditconsulting.com&source=gmail&ust=1709845683587000&usg=AOvVaw2Cj-y1vr1Q658oBvbQY6DS">www.360creditconsulting.com</a> 2024-03-07T15:24:10-07:002024-03-12T10:59:32-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:36292Las Vegas Housing Market: A Closer Look at the Current TrendsNow is the time to act if you're considering buying or selling a home in Las Vegas. The current housing market in the city is hot, with low inventory and high demand driving up prices.
One of the key factors impacting the housing market in Las Vegas is the low inventory of homes for sale. This shortage of available properties has created a competitive market, with buyers often finding themselves in bidding wars over desirable properties. As a result, home prices in the city have been steadily increasing, making it a seller's market.
Another contributing factor to the strong housing market in Las Vegas is the city's growing economy. The city has seen a surge in job growth and population influx in recent years, driving up demand for housing. This, coupled with historically low interest rates, has made buying a home in Las Vegas an attractive option for many.
For sellers, now is a great time to list your property in Las Vegas. With limited inventory and high demand, you may be able to sell your home quickly and for top dollar. On the other hand, buyers should be prepared to act fast and make competitive offers in order to secure their dream home in the current market.
Overall, the housing market in Las Vegas is thriving, with strong demand, limited supply, and a growing economy driving up prices. Whether you're looking to buy or sell in the city, now is the time to take advantage of the favorable market conditions. Feel free to contact me with any questions you may have at 702.423.0777 or you can email me at jeff@teamdavenportrealty.com.2024-03-06T13:14:29-07:002024-03-06T14:23:28-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:35925Why it's the Perfect Time to Sell Your HomeIf you've been considering selling your home in the greater Las Vegas area, now is the perfect time to make a move. The real estate market in Las Vegas is hot right now, with low inventory and high demand driving up prices. Here are some reasons why it's a good time to sell in Las Vegas:
1. Low inventory: The number of homes for sale in Las Vegas is at a historic low right now, meaning there are more buyers than there are homes available. This creates a competitive market where sellers have the upper hand and can often receive multiple offers on their property.
2. High demand: Las Vegas is a popular destination for both local buyers and out-of-state investors looking to purchase property in a thriving market. With the city's booming economy and low interest rates, there is no shortage of buyers looking to purchase a home.
3. Rising prices: The limited inventory and high demand in Las Vegas have led to steadily increasing home prices. Sellers can take advantage of the current market conditions to maximize their profits and get top dollar for their homes.
4. Strong economy: Las Vegas has a diverse economy with major industries like tourism, entertainment, and technology driving growth in the region. The city's strong job market and low cost of living make it an attractive destination for buyers looking to relocate.
5. Favorable market conditions: With low interest rates and a strong economy, now is a great time to sell your home in Las Vegas. Buyers are eager to purchase property in the city, and sellers can benefit from the competitive market by getting the best possible price for their home.
In conclusion, if you're thinking about selling your home in the greater Las Vegas area, now is the time to do it. With low inventory, high demand, rising prices, a strong economy, and favorable market conditions, sellers have the opportunity to make a lucrative sale in this thriving real estate market. Don't wait – take advantage of the current market conditions and sell your home today. Please feel free to call, text, or email me with any questions you may have. Let's make this process for you as smooth as possible.
Phone: 702.423.0777 Email: jeff@teamdavenportrealty.com
2024-02-20T09:00:00-07:002024-02-21T13:53:54-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:35924Are you Considering a New Build Home?When it comes to buying a home in the greater Las Vegas area, one option that is becoming increasingly popular is purchasing a new build. There are many benefits to choosing a new build over a resale property, and in this blog, we will explore some of the reasons why buying a new build in Las Vegas may be the right choice for you.
One of the main benefits of buying a new build in Las Vegas is the customization options available. When you purchase a new build, you have the opportunity to work with the builder to choose the layout, finishes, and upgrades that suit your preferences and lifestyle. This means that you can create a home that is tailored to your specific needs, without the need for costly renovations or updates.
Another advantage of buying a new build is the energy efficiency of these homes. New builds are constructed using the latest building techniques and technologies, which means that they are often more energy-efficient than older homes. This can result in lower utility bills and a smaller environmental footprint, making it a smart choice for those looking to live sustainably.
In addition to customization and energy efficiency, new builds often come with warranties that can provide peace of mind to homeowners. These warranties typically cover structural defects and major systems, giving buyers added protection against unforeseen issues that may arise after they move in.
Finally, new builds are often located in master-planned communities that offer a range of amenities, such as parks, pools, and walking trails. These communities are designed to provide residents with a high quality of life and a sense of community, making them a great option for families, retirees, and everyone in between.
In conclusion, there are many benefits to buying a new build in the greater Las Vegas area. From customization options to energy efficiency to warranties and amenities, new builds offer a range of advantages that make them an attractive choice for homebuyers. If you are in the market for a new home in Las Vegas, be sure to consider the benefits of purchasing a new build.
We recently had a couple new build companies come and speak at our company's weekly sales meeting. They talked about the icentives they are now offering. If you'd like to hear more about them, give me a call or text at 702.423.0777 or feel free to email me at jeff@teamdavenportrealty.com.2024-02-16T14:05:29-07:002024-02-16T14:29:13-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:35674Mortgage Rates Tick Down and Housing Market UpdateMortgage Rates Tick Down
While affordability remains a factor affecting homeownership, the housing market is poised for growth due to several positive factors. The economy is stable and thriving, with steady job and income growth contributing to its strength. Additionally, household formation is increasing at a faster pace than before the pandemic, indicating a growing demand for homes. Mortgage rates have remained steady for the past couple of months, but with inflation slowing down, experts predict a further decline in rates. These favorable conditions are expected to provide a solid foundation for the housing market in the coming months.
United States Housing Market Update
Home prices nationwide were up 3.7% year-over-year in December. At the same time, the number of homes sold fell 7.9% and the number of homes for sale fell 6.1%.
Local Housing Market Update
<img src="https://assets.site-static.com/userfiles/2402/image/Housing_Market_Update_as_of_2524.jpg" width="500" height="419" />
Feel free to call me at 702.423.0777 or email me at jeff@teamdavenportrealty.com if you have any questions!
2024-02-05T12:30:54-07:002024-02-05T13:55:12-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:35195What NOT to do after Applying for a MortgageIf you're in the process of purchasing a home, it's natural to start thinking about moving in and personalizing the space. However, it's crucial to consider certain factors before closing the deal and getting caught up in anticipation. Here is a few things to keep in mind once you've applied for your mortgage.
Avoid depositing large amounts of cash as it can be difficult to trace. Before depositing cash, it is important to discuss with your loan officer the proper way to document your transactions.
Refrain from making any substantial purchases, as these can raise concerns for lenders. Any large purchases can impact your debt-to-income ratio, making it riskier for lenders to approve your mortgage. This applies not just to home-related purchases, but also to furniture or appliances.
Do not cosign loans for anyone, as this can increase your debt-to-income ratio and affect your loan eligibility. Even if you are not responsible for making payments, lenders will still consider the loan against you.
Avoid switching bank accounts, since this complicates the process of sourcing and tracking your assets. It is best to consult with your loan officer before transferring any money.
Do not apply for new credit, whether it is a credit card or a car loan. Multiple credit inquiries from different financial channels can impact your credit score, affecting your interest rate and approval chances.
Do not close any accounts, since this can negatively impact your credit score. The length and depth of your credit history, as well as your total usage of available credit, are important factors in your score.
Communicate any changes or anticipated changes to your lender. It is important to be transparent about any blips in income, assets, or credit, so that your home loan can still be approved. If there have been recent changes in your job or employment status, inform your lender. It is best to discuss any financial intentions with your loan officer before taking any action.
Ultimately, it is important to ensure a smooth home purchase by seeking guidance from your lender, who can provide expert insights into how your financial choices might affect your home loan. Here is our preferred lender if you need someone to answer any of your questions: https://www.buyrealestateinvegas.com/about/preferred-lenders/<br /><br /><img src="https://assets.site-static.com/userfiles/2402/image/Guild_Quick_App_Revised.jpg" width="263" height="114" />2024-01-15T15:44:26-07:002024-01-16T15:53:35-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:34990Why You Should Consider Buying a Home Before Mortgage Rates FallHeading into the New Year, Mortgage Rates Remain on a Downward Trend
The rapid descent of mortgage rates over the last two months stabilized a bit this week, but rates continue to trend down. Heading into the new year, the economy remains on firm ground with solid growth, a tight labor market, decelerating inflation, and a nascent rebound in the housing market.
Why You Should Consider Buying a Home Before Mortgage Rates Fall
There are likely millions of aspiring homebuyers diligently biding their time until mortgage interest rates fall into the low 6%—or even 5%—range before they jump into the housing market. However, doing so might wind up costing you more than if you’d bought when rates are higher. Waiting might even make it more difficult for you to find a home that meets your needs—and then beat out the competition to emerge with the winning bid.
Planning to buy a home in 2024? Here’s what to focus on:
Improve your credit score.
P<a href="https://www.mykcm.com/2023/12/12/down-payment-assistance-programs-can-help-pave-the-way-to-homeownership/" rel="noopener noreferrer" target="_blank">lan</a> for your down payment.
Get pre-approved.
Decide what’s most important to you.
Let’s connect so you have expert advice on how to achieve your home-buying goals this year! Call or text me at 702.423.0777 or email me at: jeff@teamdavenportrealty.com.
2024-01-05T15:25:06-07:002024-01-05T15:55:35-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:34781Improving Your Credit Score
If you’re looking for ways to improve your score, Experian highlights<a href="https://www.experian.com/blogs/ask-experian/what-is-the-average-credit-score-in-the-u-s/" rel="noopener noreferrer" target="_blank"></a> some things you may want to focus on:
Your Payment History: Late payments can have a negative impact by dropping your score. Focus on making payments on time and paying any existing late charges quickly.
Your Debt Amount (relative to your credit limits): When it comes to your available credit amount, the less you’re using, the better. Focus on keeping this number as low as possible.
Credit Applications: If you’re looking to buy something, don’t apply for additional credit. When you apply for new credit, it could result in a hard inquiry on your credit that drops your score.
A lender will help you navigate the process from start to finish, from assessing which range your score falls into telling you more about the specifics for each loan type. As you set your sights on <a href="https://www.mykcm.com/2023/10/04/understanding-the-benefits-of-owning-your-first-home/" rel="noopener noreferrer" target="_blank">buying a home</a> in the upcoming year, a focus on boosting your credit score could help you get a better mortgage rate when the time comes. If you want to learn more, connect with a trusted lender which can be found at: https://www.buyrealestateinvegas.com/about/preferred-lenders/
Mortgage Rates Continue Their Fall Below Seven Percent
The 30-year fixed-rate mortgage remained below seven percent for the second week in a row, a welcome downward trend after 17 consecutive weeks above seven percent. Lower rates are bringing potential homebuyers who were previously waiting on the sidelines back into the market and builders already are starting to feel the positive effects. A rise in homebuilder confidence, followed by new home construction reaching its highest level since May, signals a response to meet heightened demand as current inventory remains low.
Feel free to reach out to Shannon Davenport (702.844.0130) with any credit score questions and me, Jeff Davenport (702.423.0777), with any questions regarding buying or selling your home.
2023-12-27T11:00:22-07:002023-12-27T15:22:47-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:34626Housing Market Update, Mortgage Rates, and 2024 ForecastMortgage Rates Drop Below Seven Percent
Potential homebuyers received welcome news this week as mortgage rates dropped below seven percent for the first time since August. Given inflation continues to decelerate and the Federal Reserve Board’s current expectations that they will lower the federal funds target rate next year, there will likely be a gradual thawing of the housing market in the new year.
A Roundup of Our Best Homebuying Advice From 2023
Dear would-be homebuyers:<a href="https://www.realtor.com/news/trends/cheers-to-2024-buyers-a-roundup-of-our-best-homebuying-advice-from-2023/"> </a>We see you. You had a rough year. Mortgage rates hit highs not seen in 22 years, home prices remained at budget-busting levels, and the listing pages were not exactly bursting at the seams. But after you take a deep cleansing breath, we have some great news for you. The next year is shaping up to be your year. Mortgage rates are predicted to fall, more homes are set to hit the market, and as for home prices? Yup, those are likely headed south. Phew.
Breaking Down Housing Economists’ 2024 Forecasts
As 2023 draws to a close, housing professionals hope for relief from the high mortgage rates, terrible inventory levels, and slow sales that characterized the year. They may find that relief for mortgage rates next year, according to forecasts from various industry experts compiled by HousingWire.
United States Housing Market Update
Nationwide, 25% of homebuyers searched to move to a different metro area between Sep '23 - Nov '23. The top 5 states homebuyers searched to move to were Florida, North Carolina, Tennessee, South Carolina, and Maine while California, New York, Illinois, Massachusetts, and the District Of Columbia were the top 5 states homebuyers searched to move from.
Now for the Housing Market Update in our area (Las Vegas, Henderson, and Boulder City, NV)
<img src="https://lh7-us.googleusercontent.com/PEI9Snvh7r2PmR00dqGh_0FMLT_qMadeg2p_jXaGXnbaZ9JynL0_lIaJTYxVgQqrvj2_VQoeUHlgMDLj8IC4zfjZCaYsfAk-e7eloPJwQ7GHvMlb65dqvDe0agiKIp-ZHYCMRmlnJc1lkr3_rfyM9GI" width="451" height="377" />
Feel free to call me at 702.423.0777 or email me at jeff@teamdavenportrealty.com if you have any questions!2023-12-19T11:53:33-07:002023-12-19T12:45:15-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:34394The Perfect Home Could Be the One You Perfect After BuyingThe Perfect Home Could Be the One You Perfect After Buying
<br /><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231128/20231211-The-Perfect-Home-Could-Be-the-One-You-Perfect-After-Buying.png" width="600" /><br /><br />
There’s no denying <a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">mortgage rates </a>and <a href="https://www.simplifyingthemarket.com/en/2023/11/14/home-prices-keep-climbing-in-most-markets/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> are higher now than they were last year and that’s impacting what you can <a href="https://www.simplifyingthemarket.com/en/2023/11/16/people-are-still-moving-even-with-todays-affordability-challenges/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">afford</a>. At the same time, there are still fewer homes <a href="https://www.simplifyingthemarket.com/en/2023/11/21/are-there-actually-more-homes-for-sale-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">available for sale</a> than the norm. These are two of the biggest hurdles buyers are facing today. But there are ways to overcome these things and still make your dream of <a href="https://www.simplifyingthemarket.com/en/2023/10/25/invest-in-yourself-by-owning-a-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homeownership</a> a reality.
As you set out to <a href="https://www.simplifyingthemarket.com/en/2023/10/18/what-are-the-real-reasons-you-want-to-move-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">make a purchase</a> this season, you’ll want to be strategic. This includes taking a close look at your wish list and considering what features you really need in your next home versus which ones are nice-to-have. This will help you avoid overextending <a href="https://www.simplifyingthemarket.com/en/2023/10/26/affordable-homeownership-strategies-for-gen-z/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">your budget</a> or limiting your pool of options too much because you’re searching for that perfect home.
Danielle Hale, Chief Economist at Realtor.com, <a href="https://twitter.com/RDC_Economics/status/1590722818639269889" rel="noopener noreferrer" target="_blank">explains</a>:
“The key to making a good decision in this challenging housing market is to be laser focused on what you need now and in the years ahead, . . . Another key point is to avoid stretching your budget, as tempting as it may be . . .”
To help identify what you truly need, make a list of all the features you’ll want to see. From there, work to break those features into categories. Here’s a great way to organize your list:
Must-Haves – If a house doesn’t have these features, it won’t work for you and your lifestyle (examples: distance from work or loved ones, number of bedrooms/bathrooms, etc.).
Nice-To-Haves – These are features you’d love to have but can live without. Nice-to-haves aren’t dealbreakers, but if you find a home that hits all the must-haves and some of these, it’s a contender (examples: a second home office, a garage, etc.).
Dream State – This is where you can really think big. Again, these aren’t features you’ll need, but if you find a home in your budget that has all the must-haves, most of the nice-to-haves, and any of these, it’s a clear winner (examples: a pool, multiple walk-in closets, etc.).
If you’re only willing to tour homes that have all of your dream features, you may be cutting down your options too much and making it harder on yourself (and your budget) than necessary.
While you’d love to have granite countertops or a pool in the backyard, those are both things you could potentially add after you move. Instead, it may be best to focus on finding the things that you can’t change (like location or a certain number of rooms). Then, you can upgrade or add some of the other features or finishes you want later on.
Sometimes the perfect home is the one you perfect after buying it.
Once you’ve categorized your list in a way that works for you, discuss your top priorities with your <a href="https://www.simplifyingthemarket.com/en/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">real estate agent</a>. They’ll be able to help you refine the list further, coach you through the best way to stick to it, and find a home in your area that meets your top needs.
Bottom Line
With the current affordability challenges and limited housing supply, you’ll want to be strategic so you can find a home that meets your needs while staying within your budget. Let’s connect to make that possible.2023-12-11T11:30:17-07:002023-12-11T13:19:42-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:34337Your Homebuying AdventureYour Homebuying Adventure
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231207/Your-Homebuying-Adventure-MEM.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231207/Your-Homebuying-Adventure-MEM.png" /></a>
Some Highlights
Here are the key milestones you’ll encounter on your path to <a href="https://www.mykcm.com/2023/11/30/is-owning-a-home-still-the-american-dream-for-younger-buyers/" rel="noopener noreferrer" target="_blank">homeownership</a>.
From <a href="https://www.mykcm.com/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/" rel="noopener noreferrer" target="_blank">building your team</a>, to house hunting, all the way to moving into your new home – it’s an <a href="https://www.mykcm.com/2023/11/24/why-homeowners-feel-thankful-for-their-homes-infographic/" rel="noopener noreferrer" target="_blank">exciting adventure</a>.
Your <a href="https://www.mykcm.com/2023/11/23/why-homeowners-are-thankful-they-own/" rel="noopener noreferrer" target="_blank">journey</a> starts here. Let’s connect so you have <a href="https://www.mykcm.com/2023/11/08/thinking-about-using-your-401k-to-buy-a-home/" rel="noopener noreferrer" target="_blank">expert guidance</a> each step of the way.
2023-12-08T14:34:41-07:002023-12-08T14:50:14-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:34281Why You Should Use a Real Estate Agent When You Buy a Home2023-12-07T14:58:05-07:002023-12-07T15:58:49-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:34235How To Turn Homeownership into a Side Hustle<img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231204/20231206-How-to-Turn-Homeownership-into-a-Side-Hustle.png" width="600" style="font-size: 17px;" />
Does the rising cost of just about everything these days make your dream of owning your own home feel less within reach? <a href="https://www.bankrate.com/personal-finance/side-hustle-survey/#millennial-gen-z" rel="noopener noreferrer" target="_blank">According</a> to Bankrate, many people are seeking additional income through side hustles, possibly to cope with those increasing expenses and save for a home. This trend is particularly popular with younger individuals who may be dealing with student loan debt (see graph below):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231204/20231206-Nearly-two-in-five-US-adults-have-a-side-hustle.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231204/20231206-Nearly-two-in-five-US-adults-have-a-side-hustle.png" /></a>
Here are two strategies that can not only make <a href="https://www.simplifyingthemarket.com/en/2023/11/23/why-homeowners-are-thankful-they-own/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homeownership</a> more affordable in the short term, but turn it into a lucrative side hustle that can pay off down the road.
Transforming the Challenge of a Fixer-Upper into an Opportunity
One thing you could do to help you break into homeownership is consider purchasing a fixer-upper. That’s a <a href="https://www.simplifyingthemarket.com/en/2023/11/21/are-there-actually-more-homes-for-sale-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home</a> that may be a bit less appealing and as a result has lingered on the market longer than normal. <a href="https://realestate.usnews.com/real-estate/articles/buying-a-fixer-upper-everything-you-need-to-know" rel="noopener noreferrer" target="_blank">According</a> to a recent article from U.S. News:
“The current state of the housing market may have you expanding your options to try to find a home that you can afford. A fixer-upper that needs some updating and a little love can feel like a welcome alternative to move-in ready houses that go off the market before you can even take a tour.”
By opting for a home that requires some work, you may see two big benefits. For starters, you may find it’s easier to find a home because you’re not looking for that perfect option. Plus, it may also help you enter the housing market at a lower <a href="https://www.simplifyingthemarket.com/en/2023/11/22/home-prices-still-growing-just-at-a-more-normal-pace/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">price point</a>. This strategy provides a more affordable way to <a href="https://www.simplifyingthemarket.com/en/2023/11/08/thinking-about-using-your-401k-to-buy-a-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">become a homeowner</a> while also offering the potential for future profits.
Yes, the home may need a little elbow grease, but investing time and effort into gradually enhancing your house not only makes it a home but also increases its future market value. So, while you enjoy the satisfaction of turning a house into a home, you're also <a href="https://www.simplifyingthemarket.com/en/2023/11/07/homeowner-net-worth-has-skyrocketed/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">building equity</a> that can be unlocked when it's time to sell.
Renting Out a Portion of Your Home To Make It More Affordable
Another savvy strategy is to <a href="https://www.simplifyingthemarket.com/en/2023/11/03/the-benefits-of-buying-a-multi-generational-home-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">purchase a home</a> with the upfront intention of renting out a portion of it. <a href="https://zillow.mediaroom.com/2023-11-16-Interest-in-house-hacking-explodes-among-Millennial-and-Gen-Z-home-buyers-seeking-extra-income" rel="noopener noreferrer" target="_blank">According</a> to a recent press release from Zillow, renting out a part of their home is already very important for most young homebuyers (see graph below):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231204/20231206-Percent-of-buyers-who-find-it-very-or-extremely-important.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231204/20231206-Percent-of-buyers-who-find-it-very-or-extremely-important.png" /></a>
This approach serves a strong purpose. As Manny Garcia, Senior Population Scientist at Zillow, <a href="https://zillow.mediaroom.com/2023-11-16-Interest-in-house-hacking-explodes-among-Millennial-and-Gen-Z-home-buyers-seeking-extra-income" rel="noopener noreferrer" target="_blank">says</a>:
“For those first-time buyers navigating the ‘side hustle culture,’ where a regular 9-to-5 might not quite cut it for homeownership dreams, rental income can step in to help . . .”
Basically, it can help you afford your monthly mortgage payments. So if you’re open to it, renting out a portion of your home not only helps with <a href="https://www.simplifyingthemarket.com/en/2023/11/16/people-are-still-moving-even-with-todays-affordability-challenges/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">affordability</a>, but it also positions you as an investor and turns <a href="https://www.simplifyingthemarket.com/en/2023/11/01/what-are-accessory-dwelling-units-and-how-can-they-benefit-you/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">your home</a> into a source of income.
Bottom Line
In the face of today’s <a href="https://www.mykcm.com/2023/11/14/home-prices-keep-climbing-in-most-markets/" rel="noopener noreferrer" target="_blank">affordability challenges</a>, both of these strategies offer more attainable paths to <a href="https://www.mykcm.com/2023/11/24/why-homeowners-feel-thankful-for-their-homes-infographic/" rel="noopener noreferrer" target="_blank">homeownership</a>, especially for younger buyers. If you want to discuss these options and see how they might play out for you in our local market, let’s connect.2023-12-06T12:13:03-07:002023-12-06T12:30:55-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:34204When You Sell Your House, Where Do You Plan To Go?<img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231128/20231204-When-You-Sell-Your-House-Where-Do-You-Plan-To-Go.png" width="600" style="font-size: 17px;" />
If you’re thinking about selling your house, you may have heard the <a href="https://www.simplifyingthemarket.com/en/2023/11/21/are-there-actually-more-homes-for-sale-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">supply of homes</a> for sale is still low, and that means your house should stand out to buyers who are <a href="https://www.simplifyingthemarket.com/en/2023/11/06/reasons-to-sell-your-house-before-the-new-year/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">craving more options</a>. But you may also be wondering, once you sell, how does the current supply impact your own move? And, will you be able to find a home you want to buy with inventory this low?
One thing that can help you find your next home is exploring all your options, including both homes that have been lived in before as well as newly built ones. Let’s look at the benefits of each one.
The Pros of Newly Built Homes
First, let’s look at the advantages of purchasing a newly constructed home. With a brand-new home, you’ll be able to:
Create your perfect home. If you build a home from the ground up, you’ll have the option to select the custom features you want, including appliances, finishes, landscaping, layout, and more.
Cash-in on energy efficiency. When building a home, you can choose energy-efficient options to help lower your utility costs and reduce your carbon footprint.
Minimize the need for repairs. Many builders offer a warranty, so you’ll have peace of mind on unlikely repairs. Plus, you won’t have as many little projects to tackle.
Have brand new everything. Another perk of a new home is that nothing in the house is used. It’s all brand new and uniquely yours from day one.
The Pros of Existing Homes
Now, let’s compare that to the perks that come with buying an existing home. With a pre-existing home, you can:
Explore a wider variety of home styles and floorplans. With decades of homes to choose from, you’ll have a broader range of floorplans and designs available.
Join an established neighborhood. Existing homes give you the option to get to know the neighborhood, community, or traffic patterns before you commit.
Enjoy mature trees and landscaping. Established neighborhoods also have more developed landscaping and trees, which can give you additional privacy and curb appeal.
Appreciate that lived-in charm. The character of older homes is hard to reproduce. If you value timeless craftsmanship or design elements, you may prefer an existing home.
The choice is yours. When you start your search for the perfect home, remember that you can go either route – you just need to decide which features and benefits are most important to you. As an article from The Mortgage Reports <a href="https://themortgagereports.com/107938/new-home-construction-process" rel="noopener noreferrer" target="_blank">says</a>:
“When building, you gain more freedom to tailor the design, materials, and features, but it demands more time and involvement. Conversely, buying an established home offers immediate occupancy . . . yet may require compromises. Your choice should align with your budget, timeline, customization preferences, and the local real estate landscape.”
Either way, working with a local <a href="https://www.simplifyingthemarket.com/en/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">real estate agent</a> throughout the process is mission-critical to your success. They'll help you explore all of your options based on what matters most to you in your next home. Together, you can find the home that’s right for you.
Bottom Line
If you have questions about the options in our area, let’s discuss what's available and what's right for you. That way you’ll be ready to make your next move with confidence.2023-12-05T11:54:02-07:002023-12-05T12:09:25-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:34192Experts Project Home Prices Will Rise over the Next 5 Years<img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231128/20231205-Experts-Project-Home-Prices-Will-Rise-over-the-next-5-years.png" width="600" style="font-size: 17px;" />
Even with so much data showing <a href="https://www.simplifyingthemarket.com/en/2023/10/23/why-home-prices-keep-going-up/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> are actually rising in <a href="https://www.simplifyingthemarket.com/en/2023/11/14/home-prices-keep-climbing-in-most-markets/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">most of the country</a>, there are still a lot of people who worry there will be another price crash in the immediate future. In fact, a <a href="https://www.fanniemae.com/research-and-insights/surveys-indices/national-housing-survey" rel="noopener noreferrer" target="_blank">recent survey</a> from Fannie Mae shows that 23% of consumers think prices will fall over the next 12 months. That’s nearly one in four people who are dealing with that fear – maybe you’re one of them.
To help ease that concern, here’s what the <a href="https://www.simplifyingthemarket.com/en/2023/09/05/expert-home-price-forecasts-revised-up-for-2023/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">experts</a> say will happen with <a href="https://www.simplifyingthemarket.com/en/2023/11/02/dont-believe-everything-you-read-about-home-prices/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> not just <a href="https://www.simplifyingthemarket.com/en/2023/11/15/the-latest-2024-housing-market-forecast/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">next year</a>, but over the next five years.
Experts Project Ongoing Appreciation
While seeing a small handful of <a href="https://www.simplifyingthemarket.com/en/2023/09/08/home-price-forecasts-revised-for-2023-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">expert</a> opinions may not be enough to change your mind, hopefully, a larger group of experts will reassure you. Here’s that larger group.
The <a href="https://pulsenomics.com/surveys/#home-price-expectations" rel="noopener noreferrer" target="_blank">Home Price Expectation Survey</a> (HPES) from Pulsenomics is a great resource to show what experts forecast for home prices over a five-year period. It includes projections from over 100 economists, investment strategists, and housing market analysts. And the results from the latest quarterly release show home prices are expected to go up every year through 2027 (see graph below):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231128/20231205-Estimated-Home-Price-Performance.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231128/20231205-Estimated-Home-Price-Performance.png" /></a>
And while the projected increase in 2024 isn’t as large as 2023, remember <a href="https://www.simplifyingthemarket.com/en/2023/10/11/the-latest-expert-forecasts-for-home-prices-in-2023/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home price</a> appreciation is cumulative. In other words, if these experts are correct after your home’s value rises by 3.32% this year, it should go up by another 2.17% next year.
If you’re worried home prices are going to fall, here’s the big takeaway. Even though <a href="https://www.simplifyingthemarket.com/en/2023/10/20/home-price-growth-is-returning-to-normal-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">prices</a> vary by local area, experts project they’ll continue to rise across the country for years to come at a pace that’s <a href="https://www.simplifyingthemarket.com/en/2023/11/22/home-prices-still-growing-just-at-a-more-normal-pace/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">more normal</a> for the market.
What Does This Mean for You?
If you’re not convinced yet, maybe these numbers will get your attention. They show how a typical home’s value could change over the next few years using the expert projections from the HPES. Check out the graph below:
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231128/20231205-71363-Home-Price-Expectation-Survey.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231128/20231205-71363-Home-Price-Expectation-Survey.png" /></a>
In this example, let’s say you bought a $400,000 home at the beginning of this year. If you factor in the forecast from the HPES, you could potentially accumulate more than $71,000 in <a href="https://www.simplifyingthemarket.com/en/2023/10/25/invest-in-yourself-by-owning-a-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">household wealth</a> over the next five years.
Bottom Line
If you’re someone who’s worried home prices are going to fall, rest assured a lot of experts say it’s just the opposite – nationally, home prices will continue to climb not just next year, but for years to come. If you have any questions or concerns about what’s next for home prices in our local area, let’s connect. 2023-12-04T13:48:12-07:002023-12-04T14:15:39-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:336563 Reasons To Sell Your House Before the New Year<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231130/3-Reasons-To-Sell-Your-House-Before-The-New-Year-MEM.png" rel="noopener noreferrer" target="_blank" style="font-size: 17px;"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231130/3-Reasons-To-Sell-Your-House-Before-The-New-Year-MEM.png" /></a>
Some Highlights
Here are a <a href="https://www.mykcm.com/2023/11/13/life-changing-events-that-move-the-housing-market/" rel="noopener noreferrer" target="_blank">few reasons</a> you may not want to hold off until the new year to <a href="https://www.mykcm.com/2023/11/20/is-your-house-the-top-thing-on-a-buyers-wish-list-this-holiday-season/" rel="noopener noreferrer" target="_blank">sell your house</a>.
Buyers looking right now are <a href="https://www.investopedia.com/articles/personal-finance/102615/why-holidays-are-good-time-sell-your-house.asp" rel="noopener noreferrer" target="_blank">highly motivated</a>, the <a href="https://www.mykcm.com/2023/11/21/are-there-actually-more-homes-for-sale-right-now/" rel="noopener noreferrer" target="_blank">supply of homes</a> for sale is <a href="https://www.realtor.com/research/data/" rel="noopener noreferrer" target="_blank">still low</a>, and you may find buyers are more flexible with showings this time of year.
Let’s connect to determine if <a href="https://www.mykcm.com/2023/11/16/people-are-still-moving-even-with-todays-affordability-challenges/" rel="noopener noreferrer" target="_blank">selling your house</a> now is the <a href="https://www.mykcm.com/2023/11/06/reasons-to-sell-your-house-before-the-new-year/" rel="noopener noreferrer" target="_blank">right move</a> for you.
2023-12-01T12:24:01-07:002023-12-01T12:29:53-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:33047Is Owning a Home Still the American Dream for Younger Buyers?<img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231130-Is-Owning-a-Home-Still-the-American-Dream-for-Younger-buyers.png" width="600" style="font-size: 17px;" />
Everyone has their own idea of the American Dream, and it's different for each person. But, in a recent <a href="https://www.bankrate.com/mortgages/homeownership-remains-centerpiece-of-american-dream/#faq" rel="noopener noreferrer" target="_blank">survey</a> by Bankrate, people were asked about the achievements they believe represent the American Dream the most. The answers show that owning a home still claims the #1 spot for many Americans today (see graph below):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231130-Homeownership-Remains-the-1-feature-of-the-american-dream.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231130-Homeownership-Remains-the-1-feature-of-the-american-dream.png" /></a>
In fact, according to the graph, owning a home is more important to people than retiring, having a successful career, or even getting a college degree. But is the dream of homeownership still alive for younger generations?
A recent <a href="http://www.1000wattinside.com/" rel="noopener noreferrer" target="_blank">survey</a> by 1000watt dives into how the two generations many people believed would be the renter generations (Gen Z and millennials) feel about homeownership. Specifically, it asks if they want to buy a home in the future. The resounding answer is yes (see graph below):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231130-Gen-Z-and-millenials-do-you-want-to-buy-a-home-at-some-point-in-the-future.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231130-Gen-Z-and-millenials-do-you-want-to-buy-a-home-at-some-point-in-the-future.png" /></a>
While there are plenty of reasons why someone might prefer <a href="https://www.simplifyingthemarket.com/en/2023/11/23/why-homeowners-are-thankful-they-own/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homeownership</a> to renting, the same 1000watt survey shows, that for 63% of <a href="https://www.simplifyingthemarket.com/en/2023/10/26/affordable-homeownership-strategies-for-gen-z/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">Gen Z</a> and millennials, it’s that your place doesn’t feel like “home” unless you own it – maybe you feel the same way.
That emotional draw is further emphasized when you look at the reasons why Gen Z and millennials want to become homeowners. For all the <a href="https://www.simplifyingthemarket.com/en/2023/11/07/homeowner-net-worth-has-skyrocketed/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">financial benefits</a> homeownership provides, in most cases it’s about the lifestyle or <a href="https://www.simplifyingthemarket.com/en/2023/11/24/why-homeowners-feel-thankful-for-their-homes-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">emotional benefits</a> (see graph below):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231130-Whats-the-primary-reason-you-want-to-own-a-home.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231130-Whats-the-primary-reason-you-want-to-own-a-home.png" /></a>
What Does This Mean for You?
If you’re a part of Gen Z or are a millennial and you’re ready, willing, and able to <a href="https://www.simplifyingthemarket.com/en/2023/11/08/thinking-about-using-your-401k-to-buy-a-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buy a home</a>, you’ll want a great real estate agent by your side. Their experience and expertise in the local housing market will help you overcome today’s high <a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">mortgage rates</a>, <a href="https://www.simplifyingthemarket.com/en/2023/11/21/are-there-actually-more-homes-for-sale-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">low inventory</a>, and rising <a href="https://www.simplifyingthemarket.com/en/2023/11/22/home-prices-still-growing-just-at-a-more-normal-pace/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> to find your first home and turn your dream into a reality.
Working with a local real estate agent to find your dream home is the key to unlocking the American Dream.
Bottom Line
<a href="https://www.mykcm.com/2023/11/03/the-benefits-of-buying-a-multi-generational-home-infographic/" rel="noopener noreferrer" target="_blank">Buying a home</a> is a big, important decision that represents the heart of the American Dream. If you want to accomplish your goal, <a href="https://www.mykcm.com/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/" rel="noopener noreferrer" target="_blank">let’s connect</a> to start the process today.2023-11-30T11:47:47-07:002023-11-30T11:53:37-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:33036Why the Economy Won’t Tank the Housing Market<img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231129-Why-the-Economy-Wont-crash-the-housing-market.png" width="600" style="font-size: 17px;" />
If you’re worried about a coming recession, you’re not alone. Over the past couple of years, there’s been a lot of recession talk. And many people worry, if we do have one, it would cause the unemployment rate to skyrocket. Some even fear that a spike in unemployment would lead to a rash of <a href="https://www.simplifyingthemarket.com/en/2023/10/31/foreclosures-and-bankruptcies-wont-crash-the-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">foreclosures</a> similar to what happened 15 years ago.
However, the latest <a href="https://www.wsj.com/economy/a-recession-is-no-longer-the-consensus-3ad0c3a3" rel="noopener noreferrer" target="_blank">Economic Forecasting Survey</a> from the Wall Street Journal (WSJ) reveals that, for the first time in over a year, less than half (48%) of economists believe a recession will actually occur within the next year:
“Economists are turning optimistic on the U.S. economy . . . economists lowered the probability of a recession within the next year, from 54% on average in July to a more optimistic 48%. That is the first time they have put the probability below 50% since the middle of last year.”
If over half of the experts no longer expect a recession within the next year, you might naturally think those same experts also don’t expect the unemployment rate to jump way up – and you’d be right. The graph below uses <a href="https://www.wsj.com/economy/economic-forecasting-survey-archive-11617814998" rel="noopener noreferrer" target="_blank">data</a> from that same WSJ survey to show exactly what the economists project for the unemployment rate over the next three years (see graph below):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231129-Unemployment-Projections-for-the-next-3-Years.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231129-Unemployment-Projections-for-the-next-3-Years.png" /></a>
If those expert projections are correct, more people will lose their jobs in the upcoming year. And job losses of any kind are devastating for those people and their loved ones.
However, the question here is: will there be enough job losses to cause a wave of foreclosures that will crash the housing market? Based on historical context from <a href="https://www.macrotrends.net/countries/USA/united-states/unemployment-rate" rel="noopener noreferrer" target="_blank">Macrotrends</a> and the <a href="https://www.bls.gov/news.release/pdf/empsit.pdf" rel="noopener noreferrer" target="_blank">Bureau of Labor Statistics</a> (BLS), the answer is no. That’s because the unemployment rate is currently near all-time lows (see graph below):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231129-Unemployment-Rate-Near-All-Time-Lows.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231129-Unemployment-Rate-Near-All-Time-Lows.png" /></a>
As the orange bar in the graph shows, the average unemployment rate dating back to 1948 is 5.7%. The red bar shows, the last time the housing market crashed, in the immediate aftermath of the 2008 financial crisis, the average unemployment rate was up to 8.3%. Both of those bars are much higher than the unemployment rate today (shown in the blue bar).
Moving forward, projections show the unemployment rate is likely to stay beneath the 75-year average. And that means we won’t see a wave of foreclosures that would severely impact the housing market.
Bottom Line
Most economists no longer expect a recession to occur in the next 12 months. That’s why they also don’t expect a dramatic rise in the unemployment rate that would lead to a rash of foreclosures and another <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">housing market crash</a>. If you have questions about unemployment and its impact on the housing market, <a href="https://www.mykcm.com/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/" rel="noopener noreferrer" target="_blank">let’s connect</a>.2023-11-29T14:42:42-07:002023-11-29T15:17:47-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:33000What Are the Top 3 Housing Market Questions on Your Mind?<img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231128-Are-The-Top-3-Housing-Market-Questions-on-your-mind.png" width="600" style="font-size: 17px;" />
When it comes to what’s happening in the <a href="https://www.simplifyingthemarket.com/en/2023/11/15/the-latest-2024-housing-market-forecast/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">housing market</a>, there’s a lot of confusion going around right now. You may hear one thing in conversation with your friends, see something totally different on the news, and read something on social media that contradicts both of those thoughts. And, if you’re thinking about <a href="https://www.simplifyingthemarket.com/en/2023/11/13/life-changing-events-that-move-the-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">making a move</a>, that can leave you with a lot of lingering questions. That’s where a trusted local <a href="https://www.simplifyingthemarket.com/en/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">real estate agent</a> comes in.
Here are the top 3 questions people are asking about today’s housing market, and the data to help answer them.
1. What’s Next for Mortgage Rates?
<a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">Mortgage rates</a> are higher than they’ve been in recent years. And, if you’re looking to buy a home, that impacts how much you can <a href="https://www.simplifyingthemarket.com/en/2023/11/16/people-are-still-moving-even-with-todays-affordability-challenges/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">afford</a>. That’s why so many <a href="https://www.simplifyingthemarket.com/en/2023/10/12/growing-your-net-worth-with-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buyers</a> want to know what’s ahead for mortgage rates. The answer to that question is: no one can say for certain, but here’s what we know based on historical trends.
There’s a long-standing relationship between mortgage rates and <a href="https://www.simplifyingthemarket.com/en/2023/08/03/how-inflation-affects-mortgage-rates/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">inflation</a>. Basically, when inflation is high, <a href="https://www.simplifyingthemarket.com/en/2023/09/06/mortgage-rates-past-present-and-possible-future/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">mortgage rates</a> tend to follow suit. Over the past year, inflation was up, so mortgage rates were as well. But inflation is easing now. And this is why the Federal Reserve has recently paused their federal funds rate hikes, which means many experts believe mortgage rates will begin to come down.
And in some ways, we’ve started to see hints of slightly lower <a href="https://www.freddiemac.com/pmms" rel="noopener noreferrer" target="_blank">mortgage rates</a> in recent weeks. But it’s certainly been volatile and will likely continue to be that way going into next year. Some ongoing variation is to be expected, but the anticipation is, that in 2024, we’ll see a downward trend. As Aziz Sunderji, Strategist at Home Economics, <a href="https://www.home-economics.us/p/mortgage-rates-are-set-to-fall" rel="noopener noreferrer" target="_blank">says</a>:
“The bottom line is that interest rates are likely to be lower-perhaps even lower than many optimists think - in the weeks and months to come.”
2. Where Are Home Prices Headed?
While there’s been a <a href="https://www.simplifyingthemarket.com/en/2023/11/02/dont-believe-everything-you-read-about-home-prices/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">lot of concern</a> prices would come crashing down this year, data shows that didn’t happen. In fact, home prices are rising in <a href="https://www.simplifyingthemarket.com/en/2023/11/14/home-prices-keep-climbing-in-most-markets/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">most of the nation</a>. Experts say that <a href="https://www.simplifyingthemarket.com/en/2023/10/23/why-home-prices-keep-going-up/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">trend will continue</a>, just at a slower pace that’s much more <a href="https://www.simplifyingthemarket.com/en/2023/11/22/home-prices-still-growing-just-at-a-more-normal-pace/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">normal</a> for the housing market – and that’s a good thing.
To help show just how <a href="https://www.simplifyingthemarket.com/en/2023/09/05/expert-home-price-forecasts-revised-up-for-2023/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">confident experts</a> are in this continued appreciation, take a look at the <a href="https://pulsenomics.com/surveys/#home-price-expectations" rel="noopener noreferrer" target="_blank">Home Price Expectation Survey</a> from Pulsenomics. It’s a survey of a national panel of over 100 economists, real estate experts, and investment and market strategists. As the graph below shows, the consensus is, that prices will keep climbing next year, and in the years to come.
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231128-Estimated-Home-Price-Performance.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231128-Estimated-Home-Price-Performance.png" /></a>
3. Is a Recession Around the Corner?
While recession talk has been a common thing over the past few years, there’s good news on that front.
The <a href="https://www.wsj.com/economy/economic-forecasting-survey-archive-11617814998" rel="noopener noreferrer" target="_blank">Wall Street Journal</a> (WSJ) polls experts on this topic regularly. And last year at this time, most of them thought a recession would have happened by now. But as experts look at all the leading indicators today, they’re changing their minds and saying a recession is getting less and less likely. The latest results show that more experts now think we’re not headed for another recession (see chart below):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231128-Do-Experts-Think-a-Recession-is-Coming.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231127/20231128-Do-Experts-Think-a-Recession-is-Coming.png" /></a>
This is big news for the <a href="https://www.simplifyingthemarket.com/en/2023/10/31/foreclosures-and-bankruptcies-wont-crash-the-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">housing market</a>. And while the 48% to 52% split may seem close to half and half, the key thing to focus on is that the majority of these experts think we’ve avoided a recession already.
Bottom Line
The big takeaway? The data shows there isn’t cause for concern – there are actually more signs of hope. Let’s connect to talk more about the housing market questions on your mind as we head into the new year. 2023-11-28T11:07:59-07:002023-11-28T12:11:16-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:32690Is Wall Street Buying Up All the Homes in America?<img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231116/20231127-Is-Wall-Street-Buying-Up-All-the-Homes-in-America.png" width="600" style="font-size: 17px;" />
If you’re thinking about <a href="https://www.simplifyingthemarket.com/en/2023/11/13/life-changing-events-that-move-the-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buying a home</a>, you may find yourself interested in the latest <a href="https://www.simplifyingthemarket.com/en/2023/11/02/dont-believe-everything-you-read-about-home-prices/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">real estate</a> headlines so you can have a pulse on all of the things that could impact your decision. If that’s the case, you’ve probably heard mention of investors, and wondered how they’re impacting the <a href="https://www.simplifyingthemarket.com/en/2023/10/31/foreclosures-and-bankruptcies-wont-crash-the-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">housing market</a> right now. That could leave you asking yourself questions like:
How many homes do investors own?
Are institutional investors, like large Wall Street Firms, really buying up so many homes that the average person can’t find one?
To answer those questions, here’s the real story of what’s happening based on the data.
Let’s start with establishing how many single-family homes (SFHs) there are and what portion of those are rentals owned by investors. According to <a href="https://twitter.com/SFR_Investor" rel="noopener noreferrer" target="_blank">SFR Investor</a>, which studies the single-family rental market in the United States, there are eighty-two million single-family homes in this country. But how many of them are actually rentals?
According to <a href="https://twitter.com/SFR_Investor/status/1717345861141955063" rel="noopener noreferrer" target="_blank">data</a> shared in a recent post, sixty-eight million (82.93%) of those homes are owner-occupied – meaning the person who owns the home lives in it. If you subtract that sixty-eight million from the total number of single-family homes (82 million), that leaves just about fourteen million homes left that are single-family rentals (SFRs).
Do institutional investors own all of those remaining fourteen million homes? Not even close. Let’s take it one step further. There are four categories of investors:
The mom & pop investor who owns between 1-9 SFRs
The regional investor who owns between 10-99 SFRs
Smaller national investor who owns between 100-999 SFRs
The institutional investor who owns over 1,000 SFRs
These categories show that not all investors are large institutional investors. To help convey that even more clearly, here are the percentages of rental homes owned by each type of investor (see chart below):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231116/20231127-Who-Owns-All-the-Single-Family-Rentals.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231116/20231127-Who-Owns-All-the-Single-Family-Rentals.png" /></a>
As you can see in the chart, despite what the news and social media would have you believe, the green shows the vast majority are not owned by large institutional investors. Instead, most are owned by small mom & pop investors, like your friends and neighbors.
What’s actually happening is, that there are people out there, just like you, who believe in homeownership, and they view buying a home (or a second home) as an investment. Maybe they saw an opportunity to buy a second home over the last few years to use it as a rental and generate additional income. Or maybe they just decided to keep their first house rather than sell it when they moved up.
So, don’t believe everything you read or hear about institutional investors. They aren’t buying up all the homes and making it impossible for the average person to buy. That’s just not what the numbers show. Institutional investors are actually the smallest piece of the pie chart.
Bottom Line
While it’s true that institutional investors are a player in the single-family rental marketplace, they’re not buying up all of the houses on the market. If you have other questions about things you’re hearing about the housing market, let’s connect so you have an expert to give you the context you need.2023-11-27T14:28:39-07:002023-11-27T14:39:35-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:32667Why Homeowners Feel Thankful for Their Homes<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231121/Why-Homeowners-Feel-Thankful-For-Their-Homes-MEM.png" rel="noopener noreferrer" target="_blank" style="font-size: 17px;"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231121/Why-Homeowners-Feel-Thankful-For-Their-Homes-MEM.png" /></a>
Some Highlights
Here are three reasons why homeowners feel thankful for their homes. First, it’s a <a href="https://www.fanniemae.com/research-and-insights/perspectives/consumers-homeownership-aspirations-remain-high-despite-higher-home-prices-and-interest-rates" rel="noopener noreferrer" target="_blank">safe place</a> that can give you a greater sense of comfort, safety, and security.
Second, it gives you <a href="https://www.nar.realtor/magazine/tools/client-education/handouts-for-buyers/7-reasons-to-own-a-home" rel="noopener noreferrer" target="_blank">freedom of expression</a>. From the color of the paint to the art on the walls, you can express your style and your personality.
Third, it provides a sense of community. Owning your home helps you build lasting friendships with neighbors and connects you to your community. If you're <a href="https://www.mykcm.com/2023/11/13/life-changing-events-that-move-the-housing-market/" rel="noopener noreferrer" target="_blank">thinking</a> of <a href="https://www.mykcm.com/2023/11/16/people-are-still-moving-even-with-todays-affordability-challenges/" rel="noopener noreferrer" target="_blank">buying a home</a> and want to hear more about the potential benefits, <a href="https://www.mykcm.com/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/" rel="noopener noreferrer" target="_blank">let's talk</a>.
2023-11-24T14:03:00-07:002023-11-27T14:34:04-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:32626Why Homeowners Are Thankful They Own<img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231115/20231123-Why-Homeowners-are-thankful-they-own.png" width="600" style="font-size: 17px;" />
Countless people have set out on the exciting journey of <a href="https://www.simplifyingthemarket.com/en/2023/10/26/affordable-homeownership-strategies-for-gen-z/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homeownership</a>. Ask around and you’ll find the vast majority are thankful they took the leap and bought a home. But why? It’s because of the many emotional and lifestyle benefits that come with being a homeowner.
So, if you’re trying to decide if you want to <a href="https://www.simplifyingthemarket.com/en/2023/10/13/the-difference-between-renting-and-buying-a-home-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">rent or buy</a> a home, here are just a few of the many benefits you could look forward to if you buy.
It’s a Safe Haven
Owning a home goes beyond just having a roof over your head. It provides a sense of security and safety. In fact, in a <a href="https://www.fanniemae.com/research-and-insights/perspectives/consumers-homeownership-aspirations-remain-high-despite-higher-home-prices-and-interest-rates" rel="noopener noreferrer" target="_blank">survey</a> from Fannie Mae, respondents say “having a sense of privacy and security” is one of the top reasons homeownership is preferred to renting. And in a different Fannie Mae <a href="https://www.fanniemae.com/media/47726/display" rel="noopener noreferrer" target="_blank">survey</a>, “living in a place where you and your family feels safe” is another one of the top benefits of homeownership.
Your home is a place where you can truly relax and unwind. Knowing that you have a sanctuary to return to at the end of the day is a great source of comfort.
It’s a Canvas for Self-Expression
For many homeowners, their home is a reflection of who they are. The National Association of Realtors (NAR), <a href="https://www.nar.realtor/magazine/tools/client-education/handouts-for-buyers/7-reasons-to-own-a-home" rel="noopener noreferrer" target="_blank">says</a>:
“The home is yours. You can decorate any way you want and choose the types of upgrades and new amenities that appeal to your lifestyle.”
From the color of the front door to the art hanging on the walls, every detail contributes to a unique expression of personal style. Put simply, owning a home gives you the freedom to make changes and improvements that resonate with your personality.
It Helps You Feel More Connected to the Community
Stability is another cornerstone of homeownership. The longer you stay put, the more emotionally connected you are to your community. For example, if your neighborhood does cook-outs, block parties, or other events, you’ll feel more engaged and probably build meaningful relationships with those around you. As NAR <a href="https://www.nar.realtor/magazine/tools/client-education/handouts-for-buyers/7-reasons-to-own-a-home" rel="noopener noreferrer" target="_blank">states</a>:
“Remaining in one neighborhood for several years allows you and your family time to build long-lasting relationships within the community.”
The sense of community where you can make life-long friends helps give you more stability and predictability than you’d have if you move each time a rental lease renews.
Its Where Lifelong Memories Are Made
Not to mention, your home is where you’ll make many memories. It’s a backdrop for the stories of your life. Celebrating milestones, hosting gatherings, and building a treasure trove of special moments within the walls of your home is a heartwarming experience to be thankful for.
Bottom Line
As you start thinking about buying a home, remember why so many people are glad they did. Homeownership isn’t just a <a href="https://www.mykcm.com/2023/11/14/home-prices-keep-climbing-in-most-markets/" rel="noopener noreferrer" target="_blank">financial decision</a>. It’s about having a stable place where you can make lasting memories. If you're thinking of buying a home and want advice, <a href="https://www.mykcm.com/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/" rel="noopener noreferrer" target="_blank">let's chat</a>.2023-11-23T13:40:00-07:002023-11-27T14:06:18-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:32177Home Prices Still Growing – Just at a More Normal Pace<img src="https://files.keepingcurrentmatters.com/content/images/20231114/20231122-Home-Prices-Still-Growing-Just-at-a-More-Normal-Pace.png" width="600" style="font-size: 17px;" />
If you’re feeling a bit muddy on what’s happening with <a href="https://www.simplifyingthemarket.com/en/2023/11/02/dont-believe-everything-you-read-about-home-prices/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a>, that’s no surprise. Some people are still saying prices are falling, even though data proves otherwise. Part of that <a href="https://www.simplifyingthemarket.com/en/2023/10/27/unmasking-scary-myths-about-todays-housing-market-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">misconception</a> is because people are getting their information from unreliable sources. But it’s also coming from some media coverage misrepresenting what the data really shows.
So, to keep things simple, here’s what you really need to know using real data you can trust.
Normal Home Price Seasonality Explained
In the housing market, there are predictable ebbs and flows that happen each year. It’s called seasonality. Spring is the peak homebuying season when the market is most active. That activity is typically still strong in the summer but begins to wane as the cooler months approach.
<a href="https://www.simplifyingthemarket.com/en/2023/10/23/why-home-prices-keep-going-up/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">Home prices</a> follow along with seasonality because prices appreciate most when something is in high demand. That’s why there’s a reliable long-term home price trend. The graph below uses data from <a href="https://www.spglobal.com/spdji/en/indices/indicators/sp-corelogic-case-shiller-us-national-home-price-nsa-index/#overview" rel="noopener noreferrer" target="_blank">Case-Shiller</a> to show the typical percent change for monthly home price movement from 1973 through 2022 (not <a href="https://www.census.gov/construction/nrs/faqs/faqs_seas.html#quest2" rel="noopener noreferrer" target="_blank">adjusted</a>, so you can see the seasonality):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231114/20231122-49-Year-Average-Monthly-Price-Movement.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231114/20231122-49-Year-Average-Monthly-Price-Movement.png" /></a>
As the data shows, at the beginning of the year, home prices grow, but not as much as they do when entering the spring and summer markets. That’s because the market is less active in January and February since fewer people move in the cooler months. As the market transitions into the peak homebuying season in the spring, activity ramps up, and home prices go up a lot more in response. Then, as fall and winter approach, prices still grow, just at a slower pace as activity eases again.
This Year, Seasonality Has Returned
Now, let’s look at how this year compares to that long-term trend (see graph below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231114/20231122-49-Year-Average-vs-2023-Price-Movement.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231114/20231122-49-Year-Average-vs-2023-Price-Movement.png" /></a>
Here’s the latest data for this year from that same source. Just like before, the dark bars are the long-standing trend. The green bars represent what’s happened this year. As you can see, the green bars are beginning to fall in line with what’s normal for the market. That’s a good thing because it’s more sustainable price growth than we’ve seen in recent years.
In a nutshell, nationally prices aren’t falling, it’s just that price growth is <a href="https://www.simplifyingthemarket.com/en/2023/10/20/home-price-growth-is-returning-to-normal-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">beginning to normalize</a>. Moving forward, there’s a chance the media will misrepresent this slowing of home price growth as prices falling. So don’t believe everything you see in the headlines. The data included here gives you the context you need to really understand what’s happening. So, if you see something in the headlines that’s confusing, don’t just take it at face value. Ask a trusted real estate professional for more information.
Remember, it’s normal to see home price growth slow down as the year goes on. And that definitely doesn’t mean home prices are falling. They’re just rising at a more moderate pace.
Bottom Line
Home price appreciation is returning to normal seasonality and that’s a good thing. If you have questions about what’s happening with prices in our local area, let’s connect.2023-11-22T15:29:01-07:002023-11-22T15:34:56-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:32137Are There Actually More Homes for Sale Right Now?<img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231115/20231121-Are-There-Actually-More-Homes-For-Sale-Right-Now.png" width="600" style="font-size: 17px;" />
If you’re looking to <a href="https://www.simplifyingthemarket.com/en/2023/11/13/life-changing-events-that-move-the-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">make a move</a>, you want to be sure you have the latest information on the housing market. To help make that possible, here’s an update on the supply of homes for sale today. Whether you’re <a href="https://www.simplifyingthemarket.com/en/2023/10/13/the-difference-between-renting-and-buying-a-home-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">looking to buy</a> or sell, the number of homes available in your local market matters to you. Take a look below.
What’s the Truth About Today’s Housing Inventory?
While the story for the past few years has been how few homes are on the market, recent national data may leave you feeling a bit confused. That’s because Realtor.com <a href="https://www.realtor.com/research/data/" rel="noopener noreferrer" target="_blank">shows</a> inventory is actually growing a bit month-over-month in many parts of the country (see the blue states in the map below):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231115/20231121-Change-In-Inventory.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231115/20231121-Change-In-Inventory.png" /></a>
As the map shows, nationally, housing supply increased just over 5% last month.
Does That Mean the Days of Limited Inventory Are Over?
That might make you wonder: are the days of tight housing supply behind us? The short answer is no. Context is important. While you may see headlines saying inventory is up, <a href="https://www.realtor.com/research/data/" rel="noopener noreferrer" target="_blank">data</a> also shows there are still significantly fewer homes for sale than there would usually be in a more normal market.
The graph below compares the latest active listing counts (homes currently available for sale) with the most recent normal years in the housing market (2017-2019):
<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231115/20231121-Active-Listing-Count.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231115/20231121-Active-Listing-Count.png" /></a>
As Lance Lambert, Founder, ResiClub Analytics, <a href="https://www.resiclubanalytics.com/p/housing-market-inventory-far-prepandemic-levels-octobers-big-jump-still-just-drop-bucket" rel="noopener noreferrer" target="_blank">explains</a>:
“Housing market inventory is so far below pre-pandemic levels that October's big jump is still just a drop in the bucket.”
What does that mean for you? Remember, real estate is hyper-local. Partnering with a trusted real estate agent will help you gain a better understanding of the inventory situation in your specific market.
If you’re <a href="https://www.simplifyingthemarket.com/en/2023/10/17/how-buying-a-multi-generational-home-helps-with-affordability-today/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">looking to buy</a>, you may have slightly more options than you did in recent months, but you still need to brace for low inventory. A great agent will be able to share their expertise and key strategies that have helped other buyers navigate today’s ongoing low housing supply.
And, if you’re <a href="https://www.simplifyingthemarket.com/en/2023/11/06/reasons-to-sell-your-house-before-the-new-year/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">trying to sell</a>, rest assured you haven’t missed your window of opportunity to potentially get multiple offers or see your house sell quickly. While inventory has ticked up some nationally, overall, it’s still low and may be down even more in your area.
Bottom Line
If you’re looking to buy or sell a home, let’s connect so you can make sure you’re up to date on all the latest trends that could impact your move, including today’s housing supply. 2023-11-21T13:33:51-07:002023-11-21T13:40:35-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:32103Is Your House the Top Thing on a Buyer’s Wish List this Holiday Season?<img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231114/20231120-Is-Your-House-the-Top-Thing-on-a-Buyers-wish-list-this-holiday-season.jpg" width="600" style="font-size: 17px;" />
This time every year, homeowners who are planning to move have a decision to make: sell now or wait until after the holidays? Some sellers with homes already on the market may even remove their listing until the new year.
But the truth is, <a href="https://www.simplifyingthemarket.com/en/2023/11/06/reasons-to-sell-your-house-before-the-new-year/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">many buyers</a> want to purchase a home for the holidays, and your house might be just what they’re looking for. As an article from Fortune Builders <a href="https://www.fortunebuilders.com/selling-a-home/" rel="noopener noreferrer" target="_blank">explains</a>:
“ . . . while a majority of people take a step back from the real estate market during the holiday months, you may find when the temperature drops, your potential for a great real estate deal starts to rise.”
To help prove that point, here are four reasons you shouldn’t wait to sell your house.
1. The desire to own a home doesn’t stop during the holidays. While a few buyers might opt to delay their moving plans until January, others may <a href="https://www.simplifyingthemarket.com/en/2023/10/18/what-are-the-real-reasons-you-want-to-move-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">need to move</a> now because something in their life has changed. The buyers who look for homes at this time of year are usually motivated to make their move happen and are eager to buy. 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>:
“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.”
2. While the supply of <a href="https://www.simplifyingthemarket.com/en/2023/10/24/the-perks-of-selling-your-house-when-inventory-is-low/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homes for sale</a> has increased a little bit lately, overall inventory is still lower than it was before the pandemic. What does that mean for you? If you work with <a href="https://www.simplifyingthemarket.com/en/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">an agent</a> to price your house at market value, it could still sell quickly because today’s buyers are craving more options – and your home may be exactly what they’re searching for.
3. You can determine the days and times that are most convenient for you for home showings. That can help you minimize disruptions to your own schedule, which can be especially important during this busy time of year. Plus, you may find buyers are more flexible on when they’ll tour a house this time of year because they have more time off from work around the holidays.
4. And finally, homes decorated for the holidays appeal to many buyers. For those buyers, it’s easy to picture gathering with their loved ones in the home and making memories of their own. An <a href="https://www.ramseysolutions.com/real-estate/selling-your-home-in-winter" rel="noopener noreferrer" target="_blank">article</a> on selling at this time of year offers this advice:
“If you’re selling around a holiday and have decorations up, make sure they accent—not overpower—a room. Less is more.”
Bottom Line
There are plenty of good reasons to put your house on the market during the holiday season. Let's chat and see if it's the right time for you to sell.2023-11-20T16:10:21-07:002023-11-20T16:17:18-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:320102024 Housing Market Forecast<a href="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231114/2024-Housing-Market-Forecast-MEM.png" rel="noopener noreferrer" target="_blank" style="font-size: 17px;"><img src="https://files.keepingcurrentmatters.com/KeepingCurrentMatters/content/images/20231114/2024-Housing-Market-Forecast-MEM.png" /></a>
Some Highlights
Thinking of <a href="https://www.mykcm.com/2023/11/07/homeowner-net-worth-has-skyrocketed/" rel="noopener noreferrer" target="_blank">buying</a> or <a href="https://www.mykcm.com/2023/10/24/the-perks-of-selling-your-house-when-inventory-is-low/" rel="noopener noreferrer" target="_blank">selling a house</a> and wondering what the new year holds for the housing market? <a href="https://www.fanniemae.com/media/49326/display" rel="noopener noreferrer" target="_blank">Experts forecast</a> home <a href="https://www.mykcm.com/2023/11/02/dont-believe-everything-you-read-about-home-prices/" rel="noopener noreferrer" target="_blank">prices</a> to end this year up 2.8% and to rise another 1.5% in 2024. And climbing <a href="https://www.mykcm.com/2023/10/23/why-home-prices-keep-going-up/" rel="noopener noreferrer" target="_blank">prices</a> help make <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">homeownership</a> a <a href="https://www.mykcm.com/2023/10/26/affordable-homeownership-strategies-for-gen-z/" rel="noopener noreferrer" target="_blank">good investment</a>.
Plus, home sales are <a href="https://www.mba.org/docs/default-source/research-and-forecasts/forecasts/2023/mortgage-finance-forecast-oct-2023.pdf" rel="noopener noreferrer" target="_blank">projected to increase</a> in 2024. That’s good news because it means experts are forecasting more activity as people <a href="https://www.mykcm.com/2023/11/13/life-changing-events-that-move-the-housing-market/" rel="noopener noreferrer" target="_blank">continue to move</a>.
If you're planning to buy or sell, it’s helpful to know what <a href="https://cdn.nar.realtor/sites/default/files/documents/forecast-q4-2023-us-economic-outlook-10-26-2023.pdf" rel="noopener noreferrer" target="_blank">experts project</a> for the housing market. <a href="https://www.mykcm.com/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/" rel="noopener noreferrer" target="_blank">Let’s connect</a> to talk about the latest forecasts and craft a plan together.
2023-11-17T14:23:00-07:002023-11-17T14:28:28-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31956People Are Still Moving, Even with Today’s Affordability Challenges<img src="https://files.keepingcurrentmatters.com/content/images/20231113/20231116-People-Are-Still-Moving-Even-With-Todays-Affordability-Challenges.png" width="600" style="font-size: 17px;" />
If you're thinking about <a href="https://www.simplifyingthemarket.com/en/2023/10/25/invest-in-yourself-by-owning-a-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buying</a> or <a href="https://www.simplifyingthemarket.com/en/2023/11/06/reasons-to-sell-your-house-before-the-new-year/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">selling</a> a home, you might have heard that it’s tough right now because <a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">mortgage rates</a> are higher than they’ve been over the past few years, and <a href="https://www.simplifyingthemarket.com/en/2023/10/23/why-home-prices-keep-going-up/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> are rising. That much is true. Take a look at the graph below. It breaks down how the current affordability situation stacks up to recent years.
<a href="https://www.simplifyingthemarket.com/en/content/images/20231113/20231116-Affordability-Historically-Low.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231113/20231116-Affordability-Historically-Low.png" /></a>
The National Association of Realtors (NAR) <a href="https://www.nar.realtor/research-and-statistics/housing-statistics/housing-affordability-index/methodology" rel="noopener noreferrer" target="_blank">explains</a> how to read the values on the graph:
“To interpret the indices, a value of 100 means that a family with the median income has exactly enough income to qualify for a mortgage on a median-priced home.”
The black dotted line represents that 100 value on the index. Essentially, the higher the bar, the more affordable homes are. As you can see, the orange bar for today shows higher mortgage rates and home prices have created a clear challenge. But, while affordability is definitely tighter right now, that doesn’t mean the housing market is at a standstill.
<a href="https://www.nar.realtor/newsroom/existing-home-sales-retreated-3-3-in-june-monthly-median-sales-price-reached-second-highest-amount" rel="noopener noreferrer" target="_blank">According</a> to NAR, based on the pace of sales right now, just under 4 million homes will sell this year. With some simple math, let’s break down what that really means for you:
3.96 million homes divided by 365 days in a year = 10,849 houses sell each day
10,849 divided by 24 hours in a day = 452 houses sell per hour
452 divided by 60 minutes in an hour = about 8 houses sell each minute
So, on average, over 10,000 homes sell each day in this country. Whether you're a buyer or a seller, this goes to show there are still ways to make your move possible, even at a time when affordability is tight.
An Agent Can Help You Make Your Move a Reality
You may be wondering how other <a href="https://www.simplifyingthemarket.com/en/2023/10/25/invest-in-yourself-by-owning-a-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homebuyers</a> and <a href="https://www.simplifyingthemarket.com/en/2023/10/24/the-perks-of-selling-your-house-when-inventory-is-low/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">sellers</a> are making this happen now. One of the biggest game-changers in today’s market is working with a trusted local <a href="https://www.simplifyingthemarket.com/en/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">real estate agent</a>. Great agents are helping other people just like you navigate <a href="https://www.simplifyingthemarket.com/en/2023/10/20/home-price-growth-is-returning-to-normal-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">today’s market</a> and the current affordability situation, and their insight is invaluable right now.
True professionals will be able to offer advice tailored to your specific wants, needs, budget, and more. Not to mention, they’ll also be able to draw on their experience of what’s working for other buyers and sellers right now. This could mean <a href="https://www.simplifyingthemarket.com/en/2023/09/22/how-remote-work-helps-with-your-house-hunt-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">broadening your search</a>, if needed, to include other housing types like condos, townhouses, or neighborhoods a bit further out to help offset some of the <a href="https://www.simplifyingthemarket.com/en/2023/10/17/how-buying-a-multi-generational-home-helps-with-affordability-today/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">affordability challenges</a> today.
Bottom Line
You might think there aren’t many people buying or selling homes right now since affordability is tighter than it’s been in quite some time, but that’s not the case. It’s true that buying a home has become more expensive over the past couple of years, but people are still moving.
If you’re hoping to buy or sell a home today, know that other people are still making their goals a reality – and that’s happening in large part because of the help and advice of skilled local real estate agents. Want to talk to a trusted professional about your own move? Let’s connect. 2023-11-16T11:50:59-07:002023-11-16T11:56:07-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31941The Latest 2024 Housing Market Forecast<img src="https://files.keepingcurrentmatters.com/content/images/20231114/20231115-The-Latest-2024-Housing-Market-Forecast.png" width="600" style="font-size: 17px;" />
The new year is right around the corner, and you might be wondering if 2024 will be the right time to <a href="https://www.simplifyingthemarket.com/en/2023/10/26/affordable-homeownership-strategies-for-gen-z/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buy</a> or <a href="https://www.simplifyingthemarket.com/en/2023/10/24/the-perks-of-selling-your-house-when-inventory-is-low/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">sell a home</a>. If you want to make the most informed decision possible, it’s important to know what the experts have to say about what's ahead for the housing market. Spoiler alert: the projections may be better than you think. Here’s why.
Experts Forecast Ongoing Home Price Appreciation
Take a look at the latest home price forecasts from <a href="https://www.fanniemae.com/media/49326/display" rel="noopener noreferrer" target="_blank">Fannie Mae</a>, the <a href="https://www.mba.org/docs/default-source/research-and-forecasts/forecasts/2023/mortgage-finance-forecast-oct-2023.pdf" rel="noopener noreferrer" target="_blank">Mortgage Bankers Association</a> (MBA), and the <a href="https://cdn.nar.realtor/sites/default/files/documents/forecast-q4-2023-us-economic-outlook-10-26-2023.pdf" rel="noopener noreferrer" target="_blank">National Association of Realtors</a> (NAR):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231114/20231115-Home-Price-Forecasts-for-2023-and-2024.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231114/20231115-Home-Price-Forecasts-for-2023-and-2024.png" /></a>
As you can see in the orange bars on the left, on average, experts forecast <a href="https://www.simplifyingthemarket.com/en/2023/11/02/dont-believe-everything-you-read-about-home-prices/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">prices</a> will end this year up about 2.8% overall, and increase by another 1.5% by the end of 2024. That’s big news, considering so many people thought prices <a href="https://www.simplifyingthemarket.com/en/2023/09/27/why-todays-housing-inventory-shows-a-crash-isnt-on-the-horizon/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">would crash</a> this year. The truth is, prices didn’t come tumbling way down in <a href="https://www.simplifyingthemarket.com/en/2023/10/23/why-home-prices-keep-going-up/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">2023</a>, and that’s because there just weren’t enough homes for sale compared to the number of people who wanted or needed to buy them, and that inventory crunch is still very real. This is the general rule of supply and demand, and it continues to put upward pressure on prices as we move into the new year.
Looking forward, experts project <a href="https://www.simplifyingthemarket.com/en/2023/10/11/the-latest-expert-forecasts-for-home-prices-in-2023/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> will continue to rise next year, but not quite as much as they did this year. Even though the expected rise in 2024 isn't as big as in 2023, it's important to understand home price appreciation is cumulative. In simpler terms, this means if the experts are right, according to the national average, after your home's value goes up by 2.8% this year, it should go up by another 1.5% next year. That ongoing price growth is a big part of why <a href="https://www.simplifyingthemarket.com/en/2023/11/07/homeowner-net-worth-has-skyrocketed/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">owning a home</a> can be a smart decision in the long run.
Projections Show Sales Should Increase Slightly Next Year
While 2023 hasn’t seen a lot of home sales relative to more normal years in the housing market, experts are forecasting a bit more activity next year. Here’s what those same three organizations project for the rest of this year, and in 2024 (see graph below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231114/20231115-Total-Home-Sales-Forecasts-for-2023-and-2024.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231114/20231115-Total-Home-Sales-Forecasts-for-2023-and-2024.png" /></a>
While expectations are for just a slight uptick in total sales, improved activity next year is a good thing for the housing market, and for <a href="https://www.simplifyingthemarket.com/en/2023/10/25/invest-in-yourself-by-owning-a-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buyers</a> and sellers like you. As people continue to move, that opens up options for hopeful buyers who are looking for a home.
So, what do these forecasts show? The housing market is expected to be more active in 2024. That may be in part because there will always be people who <a href="https://www.simplifyingthemarket.com/en/2023/10/18/what-are-the-real-reasons-you-want-to-move-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">need to move</a>. People will get new jobs, have children, get married or divorced – these and other major life changes lead people to move regardless of housing market conditions. That will remain true next year, and for years to come. And if mortgage rates come down, we’ll see even more activity in the housing market.
Bottom Line
If you’re thinking about buying or selling, it’s important to know what the experts are forecasting for the future of the housing market. When you’re in the know about what’s ahead, you can make the most informed decision possible. <a href="https://www.mykcm.com/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/" rel="noopener noreferrer" target="_blank">Let's chat</a> about the latest forecasts together, and craft a plan for your next move.2023-11-15T15:28:44-07:002023-11-15T15:45:13-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31902These Top Cities Show Home Prices Are Still Climbing
<img src="https://files.keepingcurrentmatters.com/content/images/20231113/20231114-Home-Prices-Keep-Climbing-in-Most-Markets.png" width="600" /><br /><br />
If you’re considering <a href="https://www.simplifyingthemarket.com/en/2023/10/12/growing-your-net-worth-with-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buying a home</a> or selling your current one to find something that better suits <a href="https://www.simplifyingthemarket.com/en/2023/11/13/life-changing-events-that-move-the-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">your needs</a>, you may have questions about what’s happening with <a href="https://www.simplifyingthemarket.com/en/2023/10/23/why-home-prices-keep-going-up/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> today. Here’s what you need to know.
There’s still a lot of confusion and misinformation out there. So, no matter what you may have heard, the national <a href="https://www.spglobal.com/spdji/en/indices/indicators/sp-corelogic-case-shiller-us-national-home-price-nsa-index/#news-research" rel="noopener noreferrer" target="_blank">data</a> shows they've actually been climbing again (see graphs below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231113/20231114-Percent-Change-in-Home-Values.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231113/20231114-Percent-Change-in-Home-Values.png" /></a>
As you can see, in the first half of 2022, <a href="https://www.fhfa.gov/DataTools/Downloads/Pages/House-Price-Index.aspx" rel="noopener noreferrer" target="_blank">home prices</a> went way up. Those increases were dramatic and unsustainable. So, in the second half of 2022, prices adjusted. Those dips were small and didn't last very long. Still, the news made a big deal about these slight declines, which may have made you worry.
But what's important to know is that, in 2023, prices are going up again, and this time it's at a more <a href="https://www.simplifyingthemarket.com/en/2023/10/20/home-price-growth-is-returning-to-normal-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">normal pace</a>. The fact that all three <a href="https://www.corelogic.com/category/intelligence/reports/home-price-insights/" rel="noopener noreferrer" target="_blank">reports</a> now show more typical price increases this year is good news for the <a href="https://www.simplifyingthemarket.com/en/2023/10/31/foreclosures-and-bankruptcies-wont-crash-the-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">housing market</a>.
Home Prices Are Rising Across the Top Cities in the U.S.
After seeing steady home price growth at the national level for the last several months, you may wonder if prices are going up in your local area, too. Know this: while this will vary from one area to the next, home prices are appreciating in these top cities <a href="https://www.spglobal.com/spdji/en/index-announcements/article/sp-corelogic-case-shiller-index-continues-to-trend-upward-in-august/" rel="noopener noreferrer" target="_blank">Case-Shiller</a> reports on in their monthly price index (see chart below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231113/20231114-Case-Shiller-Home-Price-Movement.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231113/20231114-Case-Shiller-Home-Price-Movement.png" /></a>
That’s why so many experts are able to <a href="https://www.simplifyingthemarket.com/en/2023/10/11/the-latest-expert-forecasts-for-home-prices-in-2023/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">forecast home prices</a> will end the year in the positive and continue going up in 2024.
Here’s How This Affects You
For Buyers: If you've been waiting to <a href="https://www.simplifyingthemarket.com/en/2023/10/26/affordable-homeownership-strategies-for-gen-z/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buy a home</a> because you were concerned it might lose value, the fact that home prices are going up should ease your worries. <a href="https://www.simplifyingthemarket.com/en/2023/10/13/the-difference-between-renting-and-buying-a-home-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">Buying a home</a> before prices climb higher can be a smart move since home values typically appreciate over time.
For Sellers: If you've been postponing <a href="https://www.simplifyingthemarket.com/en/2023/10/24/the-perks-of-selling-your-house-when-inventory-is-low/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">selling your house</a> because you were worried about how changing home prices would affect its value, now might be a good time to work with a <a href="https://www.simplifyingthemarket.com/en/2023/10/19/the-risks-of-selling-your-house-on-your-own/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">real estate agent</a> to put your house on the market. You don't have to wait any longer because the data shows home prices are in your favor.
Bottom Line
If you delayed moving because you were concerned home prices would drop, don't worry – the numbers show they're going up nationally. To better understand how home prices are changing in your local area, <a href="https://www.mykcm.com/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/" rel="noopener noreferrer" target="_blank">let’s connect</a>.2023-11-14T10:37:53-07:002023-11-14T10:45:49-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31871Life-Changing Events That Move the Housing Market<img src="https://files.keepingcurrentmatters.com/content/images/20231108/20231113-Life-Changing-Events-That-Move-the-Housing-Market.png" width="600" style="font-size: 17px;" />
Life is a journey filled with unexpected twists and turns, like the excitement of welcoming a new addition, retiring and starting a new adventure, or the bittersweet feeling of an empty nest. If something like this is changing in your own life, you may be considering <a href="https://www.simplifyingthemarket.com/en/2023/11/03/the-benefits-of-buying-a-multi-generational-home-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buying</a> or <a href="https://www.simplifyingthemarket.com/en/2023/11/06/reasons-to-sell-your-house-before-the-new-year/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">selling</a> a house. That’s because through all these life-altering events, there is one common thread—the <a href="https://www.simplifyingthemarket.com/en/2023/10/18/what-are-the-real-reasons-you-want-to-move-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">need to move</a>.
Reasons People Still Need To Move Today
<a href="https://www.realtormagdigital.com/realtor/library/item/fall_2023/4139952/" rel="noopener noreferrer" target="_blank">According</a> to the National Association of Realtors (NAR) there have been a lot of this type of milestone or life change over the last two years (see graph below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231108/20231113-Life-Changing-Events-That-Took-Place-Over-the-Last-2-Years.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231108/20231113-Life-Changing-Events-That-Took-Place-Over-the-Last-2-Years.png" /></a>
And, these big life changes are going to continue to impact people moving forward, even with the current affordability challenges brought on by higher <a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">mortgage rates</a> and rising <a href="https://www.simplifyingthemarket.com/en/2023/10/23/why-home-prices-keep-going-up/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a>.
As Claire Trapasso, Executive News Editor at Realtor.com, <a href="https://www.prnewswire.com/news-releases/realtorcom-october-housing-report-home-prices-stable-amid-inventory-drought-and-rising-rates-301975362.html" rel="noopener noreferrer" target="_blank">says</a>:
"Because high mortgage rates, elevated home prices, and stubbornly low inventory make today's housing market particularly challenging, many of today's buyers are motivated by life changes, such as growing families, supporting elderly parents or grown children, or accommodating professional needs. . .”
Lean On a Real Estate Professional for Help
Whether you're beginning <a href="https://www.simplifyingthemarket.com/en/2023/10/26/affordable-homeownership-strategies-for-gen-z/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">your search</a> for a home or preparing to sell your current house, you don't have to go it alone. With their expertise, a <a href="https://www.simplifyingthemarket.com/en/2023/10/30/a-real-estate-agent-helps-take-the-fear-out-of-the-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">real estate agent</a> is an invaluable partner who can help you smoothly transition through these big moments in your life. Here are just a few examples.
When Buying a Home
If you’re welcoming a new addition and want more space, the need for a <a href="https://www.simplifyingthemarket.com/en/2023/10/25/invest-in-yourself-by-owning-a-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">new home</a> may be a top priority. While higher <a href="https://www.simplifyingthemarket.com/en/2023/11/02/dont-believe-everything-you-read-about-home-prices/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> and mortgage rates are creating challenges for buyers, you may have to find a way to meet your changing needs, even with today’s mortgage rates.
A skilled real estate agent can help. Their expertise and knowledge of the local housing market can save you a considerable amount of time and stress. An agent will take the time to understand your specific needs, budget, and preferences, allowing them to narrow down your search and present you with suitable options.
When Selling a House
If you’re retiring or going through a separation or divorce, your main focus may be to make the most out of your investment when <a href="https://www.simplifyingthemarket.com/en/2023/10/24/the-perks-of-selling-your-house-when-inventory-is-low/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">selling your house</a>, so you can find one that works better for you moving forward.
This is another place where a real estate agent's expertise truly shines. They can accurately assess your home's market value, suggest improvements to enhance its appeal, and craft a strategic marketing plan. Their negotiation skills are a big asset when it comes to making sure you get a fair price for your house, allowing you to move on to the next chapter of your life with confidence and peace of mind.
No matter your situation, lean on a trusted professional for help as you buy or sell a home.
Bottom Line
If recent life-changing events have you wanting or needing to move, let’s connect.2023-11-13T13:06:13-07:002023-11-13T13:31:35-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31818VA Loans Help Heroes Achieve Homeownership<a href="https://www.simplifyingthemarket.com/en/content/images/20231107/VA-Loans-Help-Heroes-Achieve-Homeownership-MEM.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank" style="font-size: 17px;"><img src="https://files.keepingcurrentmatters.com/content/images/20231107/VA-Loans-Help-Heroes-Achieve-Homeownership-MEM.png" /></a>
Some Highlights
<a href="https://www.va.gov/housing-assistance/home-loans/eligibility/" rel="noopener noreferrer" target="_blank">VA home loans</a> can help people who served our country become <a href="https://www.nerdwallet.com/article/mortgages/va-home-improvement-loan-options" rel="noopener noreferrer" target="_blank">homeowners</a>.
<a href="https://www.homesforheroes.com/blog/first-time-va-home-buyer-what-to-know/" rel="noopener noreferrer" target="_blank">These loans</a> can help qualified individuals <a href="https://www.mykcm.com/2023/10/25/invest-in-yourself-by-owning-a-home/" rel="noopener noreferrer" target="_blank">purchase</a> a VA-approved <a href="https://www.mykcm.com/2023/10/13/the-difference-between-renting-and-buying-a-home-infographic/" rel="noopener noreferrer" target="_blank">home or condo</a>, build a new <a href="https://www.mykcm.com/2023/10/12/growing-your-net-worth-with-homeownership/" rel="noopener noreferrer" target="_blank">home</a>, or enhance their current one.
<a href="https://www.mykcm.com/2023/11/07/homeowner-net-worth-has-skyrocketed/" rel="noopener noreferrer" target="_blank">Owning a home</a> is the American Dream, and one way to show our appreciation to <a href="https://www.military.com/money/va-loans/what-can-you-buy-with-a-va-loan.html" rel="noopener noreferrer" target="_blank">veterans</a> is by providing them with <a href="https://www.veteransunited.com/va-loans/va-home-loan-advantages/" rel="noopener noreferrer" target="_blank">important information</a> about the advantages of VA home loans.
2023-11-10T11:35:08-07:002023-11-10T11:49:53-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31800How VA Loans Can Help Make Homeownership Dreams Come True<img src="https://files.keepingcurrentmatters.com/content/images/20231107/20231108-How-VA-Loans-Can-Help-Make-Homeownership-Dreams-Come-True-BB.png" width="600" style="font-size: 17px;" />
For more than 79 years, Veterans Affairs (VA) home loans have helped millions of veterans <a href="https://www.simplifyingthemarket.com/en/2023/10/25/invest-in-yourself-by-owning-a-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buy</a> their own homes. If you or someone you care about has served in the military, it's essential to learn about this program and its advantages.
Here are some important things to know about VA loans before you <a href="https://www.simplifyingthemarket.com/en/2023/10/13/the-difference-between-renting-and-buying-a-home-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buy a home</a>.
The Many Advantages of VA Home Loans
VA home loans provide a pathway to homeownership for those who have served our nation, and they’re a great benefit for buyers who qualify. According to the <a href="https://www.va.gov/housing-assistance/home-loans/loan-types/purchase-loan/" rel="noopener noreferrer" target="_blank">Department of Veteran Affairs</a>:
Options for No Down Payment: Qualified borrowers can often purchase a home with no down payment. That’s a huge weight lifted when you’re trying to save for a home.
Limited Closing Costs: There are limits on the types of closing costs you pay when you qualify for a VA home loan. So, more money stays in your pocket when it’s time to seal the deal.
Don’t Require Private Mortgage Insurance (PMI): Many other loans with down payments under 20% require PMI. VA loans do not, which means veterans can save on their monthly housing costs.
A recent article from <a href="https://www.veteransunited.com/valoans/10-things-many-borrowers-dont-know-about-va-loans/" rel="noopener noreferrer" target="_blank">Veterans United</a> sums up just how impactful this loan option can be:
“For the vast majority of military borrowers, VA loans represent the most powerful lending program on the market. These flexible, $0-down payment mortgages have helped more than 24 million service members become homeowners since 1944.”
Bottom Line
<a href="https://www.mykcm.com/2023/10/06/how-homeowner-net-worth-grows-with-time-infographic/" rel="noopener noreferrer" target="_blank">Owning a home</a> is the American Dream. Veterans sacrifice a lot to protect our country, and one way we can show our appreciation is by making sure they know all the benefits of VA home loans. Thank you for your service.2023-11-09T13:19:42-07:002023-11-09T13:26:51-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31774Thinking About Using Your 401(k) To Buy a Home?<img src="https://files.keepingcurrentmatters.com/content/images/20231107/20231108-Thinking-About-Using-Your-401k-to-buy-a-house.png" width="600" style="font-size: 17px;" />
Are you dreaming of <a href="https://www.simplifyingthemarket.com/en/2023/10/26/affordable-homeownership-strategies-for-gen-z/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buying</a> your <a href="https://www.simplifyingthemarket.com/en/2023/10/13/the-difference-between-renting-and-buying-a-home-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">own home</a> and wondering about how you’ll save for a down payment? You're not alone. Some people think about tapping into their 401(k) savings to make it happen. But before you decide to dip into your retirement to <a href="https://www.simplifyingthemarket.com/en/2023/10/25/invest-in-yourself-by-owning-a-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buy a home</a>, be sure to consider all possible alternatives and talk with a financial expert. Here’s why.
The Numbers May Make It Tempting
The <a href="https://www.cnbc.com/2023/06/03/fidelity-how-much-americans-have-in-their-401ks-at-every-age.html" rel="noopener noreferrer" target="_blank">data</a> shows many Americans have saved a considerable amount for retirement (see chart below):
<a href="https://files.keepingcurrentmatters.com/content/images/20231107/20231108-Average-401-balance-by-age.png" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231107/20231108-Average-401-balance-by-age.png" /></a>
It can be really tempting when you have a lot of money saved up in your 401(k) and you see your dream <a href="https://www.simplifyingthemarket.com/en/2023/10/17/how-buying-a-multi-generational-home-helps-with-affordability-today/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home</a> on the horizon. But remember, dipping into your retirement savings for a home could cost you a penalty and affect your finances later on. That's why it's important to explore all your options when it comes to saving for a down payment and buying a home. As Experian <a href="https://www.experian.com/blogs/ask-experian/use-401k-to-buy-house/" rel="noopener noreferrer" target="_blank">says</a>:
“It’s possible to use funds from your 401(k) to buy a house, but whether you should depends on several factors, including taxes and penalties, how much you’ve already saved and your unique financial circumstances.”
Alternative Ways To Buy a Home
Using your 401(k) is one way to finance a <a href="https://www.simplifyingthemarket.com/en/2023/10/06/how-homeowner-net-worth-grows-with-time-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home</a>, but it's not the only option. Before you decide, consider a couple of other methods, courtesy of <a href="https://www.experian.com/blogs/ask-experian/use-401k-to-buy-house/" rel="noopener noreferrer" target="_blank">Experian</a>:
<a href="https://www.hud.gov/buying/loans" rel="noopener noreferrer" target="_blank">FHA Loan</a>: FHA loans allow qualified buyers to put down as little as 3.5% of the home's price, depending on their credit scores.
<a href="https://downpaymentresource.com/" rel="noopener noreferrer" target="_blank">Down Payment Assistance Programs</a>: There are many national and local programs that can help first-time and repeat homebuyers come up with the necessary down payment.
Above All Else, Have a Plan
No matter what route you take to purchase a home, be sure to talk with a financial expert before you do anything. Working with a team of experts to develop a concrete plan prior to starting your journey to <a href="https://www.simplifyingthemarket.com/en/2023/10/12/growing-your-net-worth-with-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homeownership</a> is the key to success. Kelly Palmer, Founder of The Wealthy Parent, <a href="https://www.investmentnews.com/think-twice-before-borrowing-from-401k-for-a-home-down-payment-advisors-say-241461" rel="noopener noreferrer" target="_blank">says</a>:
“I have seen parents pausing contributions to their retirement plans in favor of affording a larger home often with the hope they can refinance in the future… As long as there is a tangible plan in place to get back to saving for their retirement goals, I encourage families to consider all their options.”
Bottom Line
If you’re still thinking about using your 401(k)-retirement savings for a home down payment, consider all your options and work with a financial professional before you make any decisions.2023-11-08T13:35:51-07:002023-11-08T13:57:37-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31732Homeowner Net Worth Has Skyrocketed<img src="https://files.keepingcurrentmatters.com/content/images/20231031/20231107-Homeowner-Net-Worth-Has-Skyrocketed.png" width="600" style="font-size: 17px;" />
If you’re weighing your options to decide whether it makes more sense to <a href="https://www.simplifyingthemarket.com/en/2023/10/13/the-difference-between-renting-and-buying-a-home-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">rent or buy</a> a home today, here’s one key data point that could help you feel more confident in making your decision. Every three years, the Federal Reserve Board releases the <a href="https://www.federalreserve.gov/econres/scfindex.htm" rel="noopener noreferrer" target="_blank">Survey of Consumer Finances</a> (SCF). That report covers the difference in net worth for both homeowners and renters. Spoiler alert: the gap between the two is significant.
The average homeowner’s net worth is almost 40X greater than a renter’s. And here’s the data to prove it (see graph below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231031/20231107-Homeowner-Net-Worth-Almost-40X-Greater.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231031/20231107-Homeowner-Net-Worth-Almost-40X-Greater.png" /></a>
The Big Reason Homeowner Net Worth Is So High
In the <a href="https://www.federalreserve.gov/econres/scf_2019.htm" rel="noopener noreferrer" target="_blank">previous version</a> of that report, the net worth of the average homeowner was roughly $255,000 and that of the average renter was $6,300. But in <a href="https://www.federalreserve.gov/publications/files/scf23.pdf" rel="noopener noreferrer" target="_blank">the release</a> that just came out this year, the gap widened as homeowner net worth climbed dramatically. As the Survey of Consumer Finances (SCF) report <a href="https://www.federalreserve.gov/publications/files/scf23.pdf" rel="noopener noreferrer" target="_blank">says</a>:
“. . . the 2019-2022 growth in median net worth was the largest three-year increase over the history of the modern SCF, more than double the next-largest one on record.”
One of the biggest reasons homeowner net worth skyrocketed is <a href="https://www.simplifyingthemarket.com/en/2023/09/19/your-home-equity-can-offset-affordability-challenges/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home equity</a>.
Over the last few years, known as the <a href="https://www.simplifyingthemarket.com/en/2023/05/30/todays-real-estate-market-the-unicorns-have-galloped-off/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">‘unicorn’ years</a> for housing, home prices went through the roof. That’s because there weren’t enough homes for sale, and there was a big influx of buyers rushing to buy them and take advantage of the then record-low mortgage rates. That imbalance of <a href="https://www.simplifyingthemarket.com/en/2023/09/29/explaining-todays-low-housing-supply-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">supply</a> and demand pushed prices higher and higher. As a result, most homeowners who had a home during that time saw their equity grow a lot.
If you’re still in the middle of making your decision on whether to rent or buy, you may wonder if you missed the boat on the big net worth boost. But here’s what you need to realize. As a recent article in The Ascent <a href="https://www.fool.com/the-ascent/personal-finance/articles/americans-net-worth-rose-37-from-2019-to-2022-heres-how-to-boost-yours/" rel="noopener noreferrer" target="_blank">explains</a>:
“Whether your net worth increased in recent years or not, there are steps you can take to boost that number in the coming years. . . buying a home can be a great way to grow your net worth, since home values have a tendency to rise over time.”
Historically, <a href="https://www.simplifyingthemarket.com/en/2023/10/25/invest-in-yourself-by-owning-a-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> climb over time. Even now that <a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">mortgage rates</a> are closer to 7-8%, prices are <a href="https://www.simplifyingthemarket.com/en/2023/10/23/why-home-prices-keep-going-up/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">still rising</a> in many areas of the country because supply is still low compared to demand. That’s why <a href="https://www.simplifyingthemarket.com/en/2023/10/11/the-latest-expert-forecasts-for-home-prices-in-2023/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">expert forecasts</a> for the next few years call for <a href="https://www.simplifyingthemarket.com/en/2023/09/12/what-experts-project-for-home-prices-over-the-next-5-years/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">ongoing appreciation</a> – just at a pace that’s more typical for the housing market.
While it likely won’t be the record ramp-up that happened over the last few years, people who buy now should continue to grow equity in the years ahead. That means, if you’re ready and able to buy a home today, you’ll be making an investment that’ll help build your net worth in the long run.
As Jessica Lautz, Deputy Chief Economist at the National Association of Realtors (NAR), <a href="https://www.nar.realtor/blogs/economists-outlook/instant-reaction-mortgage-rates-october-19-2023" rel="noopener noreferrer" target="_blank">says</a>:
“. . . when deciding to rent vs buy, one must calculate the total cost of homeownership (maintenance, utilities, commuting, etc.) and the total financial benefit. Based on new Fed data . . . the median net worth of homeowners was $396,200 vs renters at $10,400. There is no question about the wealth gains that homeownership provides.”
Bottom Line
If you’re on the fence about whether to rent or buy a home, remember that homeownership can give your net worth a big boost over time. If you want to learn more about this or the many other <a href="https://www.mykcm.com/2023/09/21/the-many-non-financial-benefits-of-homeownership/" rel="noopener noreferrer" target="_blank">benefits of owning</a> a home, let’s connect.2023-11-07T12:39:14-07:002023-11-07T13:18:35-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31704Reasons To Sell Your House Before the New Year<img src="https://files.keepingcurrentmatters.com/content/images/20231106/Reasons-To-Sell-Your-House-Before-the-New-Year.png" width="600" style="font-size: 17px;" />
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.simplifyingthemarket.com/en/2023/08/23/why-you-need-a-true-expert-in-todays-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.simplifyingthemarket.com/en/2023/09/29/explaining-todays-low-housing-supply-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.simplifyingthemarket.com/en/2023/10/18/what-are-the-real-reasons-you-want-to-move-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.simplifyingthemarket.com/en/2023/09/01/homeowners-have-a-lot-of-equity-right-now-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.simplifyingthemarket.com/en/2023/09/19/your-home-equity-can-offset-affordability-challenges/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.
Bottom Line
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.2023-11-06T13:55:04-07:002023-11-06T14:42:38-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31653The Benefits of Buying a Multi-Generational Home<a href="https://www.simplifyingthemarket.com/en/content/images/20231102/The-Benefits-of-Buying-a-Multi-Generational-Home-MEM.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank" style="font-size: 17px;"><img src="https://files.keepingcurrentmatters.com/content/images/20231102/The-Benefits-of-Buying-a-Multi-Generational-Home-MEM.png" /></a>
Some Highlights
If you’re ready to <a href="https://www.mykcm.com/2023/10/26/affordable-homeownership-strategies-for-gen-z/" rel="noopener noreferrer" target="_blank">buy a home</a> but are having a hard time <a href="https://www.mykcm.com/2023/10/23/why-home-prices-keep-going-up/" rel="noopener noreferrer" target="_blank">affording</a> it on your own, or, if you have aging loved ones you need to care for, you might want to consider a <a href="https://www.nar.realtor/blogs/economists-outlook/all-in-the-family-multi-generational-home-buying" rel="noopener noreferrer" target="_blank">multi-generational home</a>.
Living with siblings, parents, and even <a href="https://www.mykcm.com/2023/10/10/are-grandparents-moving-to-be-closer-to-their-grandkids/" rel="noopener noreferrer" target="_blank">grandparents</a> can help you <a href="https://www.mykcm.com/2023/10/17/how-buying-a-multi-generational-home-helps-with-affordability-today/" rel="noopener noreferrer" target="_blank">save money</a>, give or receive childcare, and spend quality time together.
Let’s connect to find a home in our area that’s perfect for you and your loved one’s <a href="https://www.bizjournals.com/triangle/news/2023/04/01/why-choose-multigenerational-living-in-the-triangl.html" rel="noopener noreferrer" target="_blank">needs</a>.
2023-11-03T12:41:16-07:002023-11-03T13:10:13-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31627Don’t Believe Everything You Read About Home Prices<img src="https://files.keepingcurrentmatters.com/content/images/20231030/20231102-Dont-Believe-Everything-You-Read-About-Home-Prices.png" width="600" style="font-size: 17px;" />
According to the latest data from <a href="https://www.fanniemae.com/research-and-insights/surveys-indices/national-housing-survey/national-housing-survey-archive" rel="noopener noreferrer" target="_blank">Fannie Mae</a>, 23% of Americans still think <a href="https://www.simplifyingthemarket.com/en/2023/09/26/the-return-of-normal-seasonality-for-home-price-appreciation/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> will go down over the next twelve months. But why do roughly 1 in 4 people feel that way?
It has a lot to do with all the negative talk about home prices over the past year. Since late 2022, the media has created a lot of fear about a <a href="https://www.simplifyingthemarket.com/en/2023/09/27/why-todays-housing-inventory-shows-a-crash-isnt-on-the-horizon/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">price crash</a> and those concerns are still lingering. You may be hearing people in your own life saying they’re worried about home prices or see on social media that some influencers are saying prices are going to come tumbling down.
If you’re someone who still thinks prices are going to fall, ask yourself this: Which is a more reliable place to get your information – clickbait headlines and social media or a trusted expert on the housing market?
The answer is simple. Listen to the professionals who specialize in residential real estate.
Here’s the latest data you can actually trust. Housing market experts acknowledge that nationally, prices did dip down slightly late last year, but that was short-lived. <a href="https://www.fanniemae.com/research-and-insights/surveys-indices/fannie-mae-home-price-index" rel="noopener noreferrer" target="_blank">Data</a> shows prices have <a href="https://www.simplifyingthemarket.com/en/2023/10/03/home-prices-are-not-falling/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">already rebounded</a> this year after that slight decline in 2022 (see graph below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231030/20231102-Percent-Change-in-Home-Prices.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231030/20231102-Percent-Change-in-Home-Prices.png" /></a>
But it’s not just Fannie Mae that’s reporting this bounce back. Experts from across the industry are showing it in their data too. And that’s why so many forecasts now project <a href="https://www.simplifyingthemarket.com/en/2023/09/12/what-experts-project-for-home-prices-over-the-next-5-years/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> will net <a href="https://www.simplifyingthemarket.com/en/2023/09/08/home-price-forecasts-revised-for-2023-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">positive</a> this year – not negative. The graph below helps prove this point with the latest forecasts from each organization:
<a href="https://www.simplifyingthemarket.com/en/content/images/20231030/20231102-2023-Year-End-Home-Price-Forecasts.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231030/20231102-2023-Year-End-Home-Price-Forecasts.png" /></a>
What’s worth noting is that, just a few short weeks ago, the Fannie Mae <a href="https://www.fanniemae.com/research-and-insights/forecast" rel="noopener noreferrer" target="_blank">forecast</a> was for 3.9% appreciation in 2023. In the forecast that just came out, that projection was updated from 3.9% to 6.7% for the year. This increase goes to show just how confident experts are that home prices will net positive this year.
So, if you believe home prices are falling, it may be time to get your insights from the experts instead – and they’re saying prices aren’t falling, they’re climbing.
Bottom Line
There’s been a lot of misleading information about home prices over the past year. And that’s still having an impact on how people are feeling about the housing market today. But it’s best not to believe everything you hear or read.
If you want information you can trust, turn to the real estate experts. Their data shows home prices are on the way back up and will net positive for the year. If you have questions about what’s happening in our local area, let’s connect. 2023-11-02T11:14:54-07:002023-11-02T11:20:48-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31608What Are Accessory Dwelling Units and How Can They Benefit You?<img src="https://files.keepingcurrentmatters.com/content/images/20231030/20231101-What-Are-Accessory-Dwelling-Units-and-How-Can-They-Benefit-You.png" width="600" style="font-size: 17px;" />
Maybe you’re <a href="https://www.simplifyingthemarket.com/en/2023/10/18/what-are-the-real-reasons-you-want-to-move-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">in the market</a> for a home and are having a <a href="https://www.simplifyingthemarket.com/en/2023/09/29/explaining-todays-low-housing-supply-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">hard time</a> finding the right one that fits <a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">your budget</a>. Or perhaps you’re already a homeowner in need of extra income or a place for loved ones. Whether as a potential homebuyer or a homeowner with changing needs, accessory dwelling units, or ADUs for short, may be able to help you reach your goals.
What Is an ADU?
As AARP <a href="https://www.aarp.org/content/dam/aarp/livable-communities/housing/2023/slideshow-abcs-of-adus/Presentation-The%20ABCs%20of%20ADUs-2023-0706.pdf" rel="noopener noreferrer" target="_blank">says</a>:
“An ADU is a small residence that shares a single-family lot with a larger, primary dwelling.”
“An ADU is an independent, self-contained living space with a kitchen or kitchenette, bathroom and sleeping area.”
“An ADU can be located within, attached to, or detached from the main residence. It can be created out of an existing structure (such as a garage) or built anew.”
If you're thinking about whether an ADU makes sense for you as a buyer or a homeowner, here's some useful information and benefits that ADUs can provide. Keep in mind, that regulations for ADUs vary based on where you live, so lean on a local real estate professional for more information.
The Benefits of ADUs
<a href="https://sf.freddiemac.com/docs/pdf/fact-sheet/adu-fact-sheet.pdf" rel="noopener noreferrer" target="_blank">Freddie Mac</a> and the <a href="https://www.aarp.org/content/dam/aarp/livable-communities/housing/2023/slideshow-abcs-of-adus/Presentation-The%20ABCs%20of%20ADUs-2023-0706.pdf" rel="noopener noreferrer" target="_blank">AARP</a> identify some of the best features of ADUs for both buyers and homeowners:
Living Close by, But Still Separate: ADUs allow loved ones to <a href="https://www.simplifyingthemarket.com/en/2023/10/10/are-grandparents-moving-to-be-closer-to-their-grandkids/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">live together</a> while having separate spaces. That means you can enjoy each other’s company and help each other out with things like childcare, but also have privacy when needed. If this appeals to you, you may want to consider buying a home with an ADU or adding an ADU onto your house. <a href="https://sf.freddiemac.com/docs/pdf/fact-sheet/adu-fact-sheet.pdf" rel="noopener noreferrer" target="_blank">According</a> to Freddie Mac:
“Having an accessory dwelling unit on an existing property has become a popular way for homeowners to offer independent living space to family members.”
Aging in Place: Similarly, ADUs allow older people to be close to loved ones who can help them if they need it as they age. It gives them the best of both worlds – independence and support from loved ones. For example, if your parents are getting older and you want them nearby, you may want to buy a home with an ADU or build one onto your existing house.
Affordable To Build: Since ADUs are often on the smaller side, they’re typically less expensive to build than larger, standalone homes. Building one can also increase your property’s value.
Generating Additional Income: If you own a home with an ADU or if you build an ADU on your land, it can help generate rental income you could use toward your own mortgage payments. It’s worth noting that because an ADU exists on a single-family lot as a secondary dwelling, it typically cannot be sold separately from the primary residence. But that’s changing in some states. Work with a professional to understand your options.
These are a few of the reasons why many people who <a href="https://www.simplifyingthemarket.com/en/2023/10/04/understanding-the-benefits-of-owning-your-first-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">benefit</a> from ADUs think they’re a <a href="https://www.simplifyingthemarket.com/en/2023/10/02/unpacking-the-long-term-benefits-of-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">good idea</a>. As Scott Wild, SVP of Consulting at John Burns Research, <a href="https://www.wsj.com/economy/housing/tiny-homes-are-the-hot-new-homeowners-accessory-71cc05a9" rel="noopener noreferrer" target="_blank">says</a>:
“It’s gone from a small niche in the market to really a much more impactful part of new housing.”
Bottom Line
ADUs have some great advantages for buyers and homeowners alike. If you're interested, reach out to a real estate professional who can help you understand local codes and regulations for this type of housing and what’s available in your market.2023-11-01T11:27:19-07:002023-11-01T12:33:52-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31587Foreclosures and Bankruptcies Won’t Crash the Housing Market<img src="https://files.keepingcurrentmatters.com/content/images/20231030/20231031-Foreclosures-and-Bankruptcies-Won-t-Crash-the-Housing-Market.png" width="600" style="font-size: 17px;" />
If you've been following the news recently, you might have seen articles about an increase in foreclosures and bankruptcies. That could be making you feel uneasy, especially if you're thinking about <a href="https://www.simplifyingthemarket.com/en/2023/10/17/how-buying-a-multi-generational-home-helps-with-affordability-today/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buying</a> or <a href="https://www.simplifyingthemarket.com/en/2023/10/18/what-are-the-real-reasons-you-want-to-move-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">selling</a> a house.
But the truth is, even though the numbers are going up, the <a href="https://www.simplifyingthemarket.com/en/2023/09/27/why-todays-housing-inventory-shows-a-crash-isnt-on-the-horizon/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">data shows</a> the housing market isn’t headed for a crisis.
Foreclosure Activity Rising, but Less Than Headlines Suggest
In recent years, the number of foreclosures has been very low. That’s because, in 2020 and 2021, the forbearance program and other relief options were put in place to help many homeowners stay in their homes during that tough time.
When the moratorium ended, there was an expected rise in foreclosures. But just because they’re up, that doesn't mean the housing market is in trouble.
To help you see how much things have changed since the housing crash in 2008, check out the graph below using research from ATTOM, a property data provider. It looks at properties with a foreclosure filing going all the way back to 2005 to <a href="https://www.attomdata.com/news/market-trends/foreclosures/attom-q3-and-september-2023-u-s-foreclosure-market-report/" rel="noopener noreferrer" target="_blank">show</a> that there have been fewer foreclosures since the crash.
<a href="https://www.simplifyingthemarket.com/en/content/images/20231030/20231031-Foreclosure-Activity-Rose-In-Third-Quarter.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231030/20231031-Foreclosure-Activity-Rose-In-Third-Quarter.png" /></a>
As you can see, foreclosure filings are inching back up to pre-pandemic numbers, but they're still way lower than when the housing market crashed in 2008. And today, the tremendous amount of <a href="https://www.simplifyingthemarket.com/en/2023/10/12/growing-your-net-worth-with-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">equity</a> American homeowners have in their homes can help people sell and avoid foreclosure.
The Increase in Bankruptcies Isn’t Dramatic Either
As you can see <a href="https://www.uscourts.gov/news/2023/07/31/bankruptcy-filings-rise-10-percent" rel="noopener noreferrer" target="_blank">below</a>, the financial trouble many industries and small businesses felt during the pandemic didn’t cause a dramatic increase in bankruptcies. Still, the number of bankruptcies has gone up slightly since last year, nearly returning to 2021 levels. But that isn’t cause for alarm.
<a href="https://www.simplifyingthemarket.com/en/content/images/20231030/20231031-Bankruptcies-Below-Pre-Pandemic-Levels.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231030/20231031-Bankruptcies-Below-Pre-Pandemic-Levels.png" /></a>
The numbers for 2021 and 2022 were lower than more typical years. That’s in part because the government provided trillions of dollars in aid to individuals and businesses during the pandemic. So, let’s instead focus on the bar for this year and compare it to the bar on the far left (2019). It shows the number of bankruptcies today is still nowhere near where it was before the pandemic. Both of these two factors are reasons why the housing market isn't in danger of crashing.
Bottom Line
Right now, it's crucial to understand the data. Foreclosures and bankruptcies are rising, but these leading indicators aren’t signaling trouble that would cause another crash.2023-10-31T12:27:06-07:002023-10-31T13:18:32-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31565A Real Estate Agent Helps Take the Fear Out of the Market<img src="https://files.keepingcurrentmatters.com/content/images/20231025/20231030-A-Real-Estate-Agent-Helps-Take-the-Fear-Out-of-the-Market.png" width="600" style="font-size: 17px;" />
Do negative headlines and talk on social media have you feeling worried about the <a href="https://www.simplifyingthemarket.com/en/2023/10/20/home-price-growth-is-returning-to-normal-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">housing market</a>? Maybe you’ve even seen or heard something lately that scares you and makes you wonder if you should still <a href="https://www.simplifyingthemarket.com/en/2023/10/17/how-buying-a-multi-generational-home-helps-with-affordability-today/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buy</a> or <a href="https://www.simplifyingthemarket.com/en/2023/10/09/key-skills-you-need-your-listing-agent-to-have/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">sell</a> a home right now.
Regrettably, when news in the media isn't easy to understand, it can make people feel scared and unsure. Similarly, negative talk on social media spreads fast and creates fear. As Jason Lewris, Co-Founder and Chief Data Officer at Parcl, <a href="https://www.parcllabs.com/articles/q3-real-estate" rel="noopener noreferrer" target="_blank">says</a>:
“In the absence of trustworthy, up-to-date information, real estate decisions are increasingly being driven by fear, uncertainty, and doubt.”
But it doesn’t have to be that way. Buying a home is a big decision, and it should be one you <a href="https://www.simplifyingthemarket.com/en/2023/10/18/what-are-the-real-reasons-you-want-to-move-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">feel confident</a> making. You should lean on a trusted real estate agent to help you separate <a href="https://www.simplifyingthemarket.com/en/2023/10/27/unmasking-scary-myths-about-todays-housing-market-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">fact from fiction</a> and get the <a href="https://www.simplifyingthemarket.com/en/2023/10/03/home-prices-are-not-falling/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">answers</a> you need.
That agent will use their knowledge of what’s really happening with <a href="https://www.simplifyingthemarket.com/en/2023/10/20/home-price-growth-is-returning-to-normal-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a>, <a href="https://www.simplifyingthemarket.com/en/2023/10/24/the-perks-of-selling-your-house-when-inventory-is-low/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">housing supply</a>, <a href="https://www.simplifyingthemarket.com/en/2023/10/11/the-latest-expert-forecasts-for-home-prices-in-2023/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">expert forecasts</a>, <a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">and more</a> to give you the best possible advice. The National Association of Realtors (NAR) <a href="https://www.nar.realtor/magazine/real-estate-news/sales-marketing/bring-on-the-positive-vibes" rel="noopener noreferrer" target="_blank">explains</a>:
“. . . agents combat uncertainty and fear with a combination of historical perspective, training and facts.”
The right agent will help you figure out what’s going on at the national level and in your local area.
They’ll debunk headlines <a href="https://www.simplifyingthemarket.com/en/2023/09/29/explaining-todays-low-housing-supply-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">using data</a> you can trust. Plus, they have in-depth knowledge of the industry and can <a href="https://www.simplifyingthemarket.com/en/2023/09/27/why-todays-housing-inventory-shows-a-crash-isnt-on-the-horizon/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">provide context</a>, so you know how current trends compare to the normal ebbs and flows in the housing market, <a href="https://www.simplifyingthemarket.com/en/2023/09/26/the-return-of-normal-seasonality-for-home-price-appreciation/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">historical data</a>, and more.
Then, to make sure you have the full picture, an agent can tell you if your local area is following the national trend or if they’re seeing something different in your market. Together, you can use all that information to make the best possible decision.
After all, making a move is a potentially life-changing milestone. It should be something you feel <a href="https://www.simplifyingthemarket.com/en/2023/09/25/beginning-with-pre-approval/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">ready for</a> and excited about. And that’s where a trusted expert comes in.
Bottom Line
If you need reliable information about the housing market and expert advice about your own move, let’s connect.2023-10-30T14:12:37-07:002023-10-30T14:33:18-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31506Unmasking Scary Myths about Today’s Housing Market<a href="https://files.keepingcurrentmatters.com/content/images/20231026/Unmasking-Scary-Myths-About-Todays-Housing-Market-MEM.png" rel="noopener noreferrer" target="_blank" style="font-size: 17px;"><img src="https://files.keepingcurrentmatters.com/content/images/20231026/Unmasking-Scary-Myths-About-Todays-Housing-Market-MEM.png" /></a>
Some Highlights
Here’s what you really <a href="https://www.mykcm.com/2023/10/23/why-home-prices-keep-going-up/" rel="noopener noreferrer" target="_blank">need to know</a> about a few myths <a href="https://www.mykcm.com/2023/10/16/are-higher-mortgage-rates-here-to-stay/" rel="noopener noreferrer" target="_blank">causing fear</a> in today’s <a href="https://www.mykcm.com/2023/09/29/explaining-todays-low-housing-supply-infographic/" rel="noopener noreferrer" target="_blank">housing market</a>.
Despite common misconceptions, many people can <a href="https://www.apartmenttherapy.com/how-to-buy-a-house-with-student-loans-36755886" rel="noopener noreferrer" target="_blank">buy a home</a> even if they have student loans, <a href="https://www.fanniemae.com/research-and-insights/surveys-indices/fannie-mae-home-price-index" rel="noopener noreferrer" target="_blank">home prices</a> are rising nationally (not falling), and you usually don’t have to have <a href="https://www.nar.realtor/research-and-statistics/research-reports/highlights-from-the-profile-of-home-buyers-and-sellers" rel="noopener noreferrer" target="_blank">20%</a> for a down payment.
If you have other fears or reservations about <a href="https://www.mykcm.com/2023/10/13/the-difference-between-renting-and-buying-a-home-infographic/" rel="noopener noreferrer" target="_blank">buying a home</a> today, let’s connect so you have an expert to help <a href="https://www.mykcm.com/2023/10/20/home-price-growth-is-returning-to-normal-infographic/" rel="noopener noreferrer" target="_blank">clear those up</a>.
2023-10-27T09:51:01-07:002023-10-27T10:29:54-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31452Affordable Homeownership Strategies for Gen Z<img src="https://files.keepingcurrentmatters.com/content/images/20231023/20231026-Affordable-Homeownership-Strategies-for-Gen-Z.png" width="600" style="font-size: 17px;" />
The idea of owning a home has always been a big part of the American Dream. It's a symbol of stability, independence, and having a place to truly call your own. But for Gen Z, the "Zoomers" born between 1997 and 2012, making that dream a reality can feel like quite the challenge today with higher <a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">mortgage rates</a> and rising <a href="https://www.simplifyingthemarket.com/en/2023/10/11/the-latest-expert-forecasts-for-home-prices-in-2023/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a>.
But achieving that goal of owning your first home can still be attainable, even today, with some strategic planning and resourcefulness.
Explore Financing and Down Payment Assistance Options
With prices rising all around you, it can be hard to save up for a home. If you've been struggling to stash away enough cash for that down payment, it’s worth it to look into the various <a href="https://www.simplifyingthemarket.com/en/2023/06/19/saving-for-a-down-payment-heres-what-you-need-to-know/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">down payment</a> assistance programs available. These programs can really help you save big on the upfront costs of buying a home.
There are a lot more options out there than you may realize. According to <a href="https://downpaymentresource.com/" rel="noopener noreferrer" target="_blank">Down Payment Resource</a>, there are over 2,000 programs designed to help hopeful homebuyers with down payments and closing costs.
If you qualify for one of these programs, you may not need to save up as much money for your down payment. A local real estate agent can help you explore these programs in your area, making it much easier to turn your homeownership dream into a reality.
Consider Living with Relatives To Save
If you still need a bit more time to save, even with the down payment assistance programs out there, there are ways you can make that happen. Many savvy Zoomers have made a strategic choice to live with relatives so they can get to their savings goals even faster.
According to the <a href="https://www.nar.realtor/newsroom/baby-boomers-overtake-millennials-as-largest-generation-of-home-buyers" rel="noopener noreferrer" target="_blank">National Association of Realtors</a> (NAR), around 30% of Gen Z homebuyers transition directly from their relative’s home to a home of their own.
By sharing living costs, such as mortgage payments, utility bills, and even grocery expenses, you can substantially reduce your monthly expenses. This frees up more of your income to tackle any outstanding debt, boost your credit score, and reach your down payment target in less time. And, all of this can bring <a href="https://www.simplifyingthemarket.com/en/2023/10/04/understanding-the-benefits-of-owning-your-first-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homeownership</a> one step closer to becoming a reality. Clare Trapasso, Executive News Editor at Realtor.com, <a href="https://mediaroom.realtor.com/2023-10-10-Hopeful-Homebuyers-Turn-Relatives-Into-Roommates-to-Save-Money-and-Share-Childcare" rel="noopener noreferrer" target="_blank">explains</a>:
“Faced with ongoing housing affordability issues . . . we're seeing parents and children becoming roommates again in later years as the 'kids' save up to purchase their own place . . ."
The Road to Homeownership
When you're on the path to becoming a homeowner, it's a good idea to get some help along the way. And one of your best resources on this journey as a young homebuyer is a trusted <a href="https://www.simplifyingthemarket.com/en/2023/08/23/why-you-need-a-true-expert-in-todays-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">real estate agent</a>. They'll steer you through the process of buying a home and help you find one you can afford.
Bottom Line
For Gen Z, the path to homeownership may not be straightforward, but it's still within reach. With the right strategies, you can turn your dream of owning a home into a reality.2023-10-26T09:29:03-07:002023-10-26T11:12:52-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31412Invest in Yourself by Owning a Home<img src="https://files.keepingcurrentmatters.com/content/images/20231023/20231025-Invest-in-yourself-by-owning-a-home.png" width="600" style="font-size: 17px;" />
Are you wondering if it makes sense to <a href="https://www.simplifyingthemarket.com/en/2023/10/17/how-buying-a-multi-generational-home-helps-with-affordability-today/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buy a home</a> right now? While today’s <a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">mortgage rates</a> might seem a bit intimidating, here are two compelling reasons why it still may be a good time to become a <a href="https://www.simplifyingthemarket.com/en/2023/09/21/the-many-non-financial-benefits-of-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homeowner</a>.
Home Values Appreciate over Time
There’s been a lot of confusion around what’s happened with home prices over the past two years. While they did dip ever so slightly in late 2022, this year they’ve been <a href="https://www.simplifyingthemarket.com/en/2023/10/03/home-prices-are-not-falling/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">appreciating</a> at a more normal pace, which is <a href="https://www.simplifyingthemarket.com/en/2023/09/26/the-return-of-normal-seasonality-for-home-price-appreciation/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">good news</a> for the housing market. And while looking at price movement over just a year or two can make you worry prices are usually this unpredictable, history shows in the long run, <a href="https://www.simplifyingthemarket.com/en/2023/10/12/growing-your-net-worth-with-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home values rise</a> (see graph below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231023/20231025-Price-Appreciation-over-the-Last-60-Years.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231023/20231025-Price-Appreciation-over-the-Last-60-Years.png" /></a>
Using data from the Federal Reserve for the past <a href="https://fred.stlouisfed.org/series/ASPUS" rel="noopener noreferrer" target="_blank">60 years</a>, you can see the overall trend is home prices have climbed quite steadily. Sure, there was an exception around the housing <a href="https://www.simplifyingthemarket.com/en/2023/09/27/why-todays-housing-inventory-shows-a-crash-isnt-on-the-horizon/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">crash of 2008</a> that caused prices to break the usual trend for a time, but overall, home values have been consistently on the <a href="https://www.simplifyingthemarket.com/en/2023/10/11/the-latest-expert-forecasts-for-home-prices-in-2023/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">rise</a>.
Increasing home values is one great reason why buying may make more sense than renting. As prices rise, and as you pay down your mortgage, you build equity. Over time, that growing equity gives your <a href="https://www.simplifyingthemarket.com/en/2023/10/12/growing-your-net-worth-with-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">net worth</a> a boost.
Rent Keeps Going Up Through the Years
Another reason you may want to consider buying a home instead of <a href="https://www.simplifyingthemarket.com/en/2023/10/13/the-difference-between-renting-and-buying-a-home-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">renting</a> is the never-ending rent hike. If you've ever felt the pinch of rent increasing year after year, you're not alone. That’s because, rents have <a href="https://ipropertymanagement.com/research/average-rent-by-year" rel="noopener noreferrer" target="_blank">climbed steadily</a> over the past six decades (see graph below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231023/20231025-Increase-in-Rents-over-the-Last-60-Years.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231023/20231025-Increase-in-Rents-over-the-Last-60-Years.png" /></a>
By <a href="https://www.simplifyingthemarket.com/en/2023/10/02/unpacking-the-long-term-benefits-of-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buying a home</a>, you can lock in your monthly housing costs and bid farewell to those pesky rent hikes. That stability is a game-changer.
In the end, it all boils down to this: your housing payments are an investment, and you've got a choice to make. Do you want to invest in yourself or your landlord?
By becoming a <a href="https://www.simplifyingthemarket.com/en/2023/10/06/how-homeowner-net-worth-grows-with-time-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homeowner</a>, you're investing in your own future. When you rent, that’s money you never get back.
When you factor in home values consistently rising, plus the opportunity to get relief from never-ending rent hikes, homeownership can be a path to financial security. As Dr. Jessica Lautz, Deputy Chief Economist and VP of Research at the National Association of Realtors (NAR), <a href="https://www.forbes.com/advisor/mortgages/real-estate/is-buying-a-home-worth-it/" rel="noopener noreferrer" target="_blank">states</a>:
“If a homebuyer is financially stable, able to manage monthly mortgage costs and can handle the associated household maintenance expenses, then it makes sense to purchase a home.”
Bottom Line
When it comes down to it, buying a home offers more benefits than renting, even when mortgage rates are high. If you want to avoid increasing rents and take advantage of long-term home price appreciation, let’s connect to go over <a href="https://www.mykcm.com/2023/09/22/how-remote-work-helps-with-your-house-hunt-infographic/" rel="noopener noreferrer" target="_blank">your options</a>.2023-10-25T12:47:12-07:002023-10-25T13:03:50-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31374The 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" width="600" style="font-size: 17px;" />
When it comes to <a href="https://www.simplifyingthemarket.com/en/2023/09/19/your-home-equity-can-offset-affordability-challenges/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.simplifyingthemarket.com/en/2023/10/18/what-are-the-real-reasons-you-want-to-move-right-now/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.simplifyingthemarket.com/en/2023/08/25/todays-housing-market-has-only-half-the-usual-inventory-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.simplifyingthemarket.com/en/2023/09/14/why-is-housing-inventory-so-low/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.simplifyingthemarket.com/en/2023/09/27/why-todays-housing-inventory-shows-a-crash-isnt-on-the-horizon/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.simplifyingthemarket.com/en/content/images/20231023/20231024-The-Supply-of-Homes-for-sale-Is-Still-Low.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.simplifyingthemarket.com/en/2023/09/29/explaining-todays-low-housing-supply-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">inventory</a> is still far lower than the norm.
What That Means for You
<a href="https://www.simplifyingthemarket.com/en/2023/08/30/buyer-traffic-is-still-stronger-than-the-norm/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.simplifyingthemarket.com/en/2023/09/04/why-its-still-a-sellers-market-today/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" 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.2023-10-24T11:37:59-07:002023-10-24T12:31:13-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31364Why Home Prices Keep Going Up<img src="https://files.keepingcurrentmatters.com/content/images/20231018/20231023-Why-Home-Prices-Keep-Going-Up.png" width="600" style="font-size: 17px;" />
If you've ever dreamed of buying your own place, or selling your current house to upgrade, you're no stranger to the rollercoaster of emotions changing <a href="https://www.simplifyingthemarket.com/en/2023/10/11/the-latest-expert-forecasts-for-home-prices-in-2023/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home prices</a> can stir up. It's a tale of financial goals, doubts, and a dash of anxiety that many have been through.
But if you put off moving because you’re worried home prices might drop, make no mistake, they’re not going down. In fact, it's just the opposite. National <a href="https://www.blackknightinc.com/data-reports/" rel="noopener noreferrer" target="_blank">data</a> from several <a href="https://www.zillow.com/research/data/" rel="noopener noreferrer" target="_blank">sources</a> says they’ve been <a href="https://www.freddiemac.com/research/indices/house-price-index" rel="noopener noreferrer" target="_blank">going up</a> consistently this year (see graph below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231018/20231023-Percent-Change-In-Home-Values.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231018/20231023-Percent-Change-In-Home-Values.png" /></a>
Here’s what this graph shows. In the first half of 2022, home prices rose significantly (the green bars on the left side of the graphs above). Those increases were dramatic and unsustainable.
So, in the second half of the year, prices went through a correction and started dipping a bit (shown in red). But those slight declines were shallow and short-lived. Still, the media really focused on those drops in their headlines – and that created a lot of fear and uncertainty among consumers.
But here’s what hasn’t been covered fully. So far in 2023, prices are going up once more, but this time at a more normal pace (the green bars on the right side of the graphs above). And after price gains that were too high and then the corrections that followed in 2022, the fact that all three reports show more normal or typical price appreciation this year is good news for the housing market.
Orphe Divounguy, Senior Economist at Zillow, <a href="https://www.zillow.com/research/total-market-value-2023-33031/" rel="noopener noreferrer" target="_blank">explains</a> changing home prices over the past 12 months this way:
“The U.S. housing market has surged over the past year after a temporary hiccup from July 2022-January 2023. . . . That downturn has proven to be short lived as housing has rebounded impressively so far in 2023. . .”
Looking ahead, home price appreciation typically starts to ease up <a href="https://www.simplifyingthemarket.com/en/2023/09/26/the-return-of-normal-seasonality-for-home-price-appreciation/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">this time of year</a>. As that happens, there’s some risk the media will confuse slowing price growth (deceleration of appreciation) with home prices falling (depreciation). Don’t be fooled. Slower price growth is still growth.
Why Are Home Prices Increasing Now?
One reason why home prices are going back up is because there still <a href="https://www.simplifyingthemarket.com/en/2023/09/29/explaining-todays-low-housing-supply-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">aren't enough homes</a> for sale for all the people who want to buy them.
Even though higher <a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">mortgage rates</a> cause <a href="https://www.simplifyingthemarket.com/en/2023/09/15/plenty-of-buyers-are-still-active-today-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buyer demand</a> to moderate, they also cause the <a href="https://www.simplifyingthemarket.com/en/2023/09/27/why-todays-housing-inventory-shows-a-crash-isnt-on-the-horizon/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">supply of available homes</a> to go down. That’s because of the mortgage rate lock-in effect. When rates rise, some homeowners are reluctant to sell and lose their current low mortgage rate just to take on a higher one for their next home.
So, with higher mortgage rates impacting both buyers and sellers, the supply and demand equation of the housing market has been affected. But since there are still more people who want to purchase homes than there are <a href="https://www.simplifyingthemarket.com/en/2023/09/14/why-is-housing-inventory-so-low/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homes available to buy</a>, prices continue to rise. As Freddie Mac <a href="https://www.freddiemac.com/research/forecast/20230921-overall-economic-growth-has-been-resilient" rel="noopener noreferrer" target="_blank">states</a>:
“While rising interest rates have reduced affordability—and therefore demand—they have also reduced supply through the mortgage rate lock-in effect. Overall, it appears the reduction in supply has outweighed the decrease in demand, thus house prices have started to increase . . .”
Here’s How This Impacts You
Buyers: If you've been waiting to <a href="https://www.simplifyingthemarket.com/en/2023/10/04/understanding-the-benefits-of-owning-your-first-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buy a home</a> because you were afraid its value might drop, knowing that home prices have gone back up should make you feel better. <a href="https://www.simplifyingthemarket.com/en/2023/10/06/how-homeowner-net-worth-grows-with-time-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">Buying a home</a> gives you a chance to own something that usually becomes <a href="https://www.simplifyingthemarket.com/en/2023/10/02/unpacking-the-long-term-benefits-of-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">more valuable over time</a>.
Sellers: If you've been holding off on selling your house because you were worried about how changing home prices would impact its value, it could be a smart move to work with a <a href="https://www.simplifyingthemarket.com/en/2023/10/09/key-skills-you-need-your-listing-agent-to-have/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">real estate agent</a> and put your house <a href="https://www.simplifyingthemarket.com/en/2023/09/15/plenty-of-buyers-are-still-active-today-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">on the market</a>. You don't have to wait any longer because the most recent data indicates home prices have turned in your favor.
Bottom Line
If you put off moving because you were worried that home prices might go down, data shows they’re <a href="https://www.mykcm.com/2023/10/03/home-prices-are-not-falling/" rel="noopener noreferrer" target="_blank">increasing</a> across the country. Let’s connect so you can understand how home prices are changing in our local area.2023-10-23T16:19:31-07:002023-10-23T16:25:58-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31314Home Price Growth Is Returning to Normal<a href="https://www.simplifyingthemarket.com/en/content/images/20231019/Home-Price-Growth-Is-Returning-To-Normal-MEM.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank" style="font-size: 17px;"><img src="https://files.keepingcurrentmatters.com/content/images/20231019/Home-Price-Growth-Is-Returning-To-Normal-MEM.png" /></a>
Some Highlights
If you're wondering what’s happening with <a href="https://www.mykcm.com/2023/10/11/the-latest-expert-forecasts-for-home-prices-in-2023/" rel="noopener noreferrer" target="_blank">home prices</a>, know they’re still <a href="https://www.mykcm.com/2023/10/03/home-prices-are-not-falling/" rel="noopener noreferrer" target="_blank">rising</a>, just at a slower pace – and that’s perfectly normal for this time of year.
Based on <a href="https://www.mykcm.com/2023/09/26/the-return-of-normal-seasonality-for-home-price-appreciation/" rel="noopener noreferrer" target="_blank">typical seasonality</a> in the market, <a href="https://www.spglobal.com/spdji/en/indices/indicators/sp-corelogic-case-shiller-us-national-home-price-nsa-index/#overview" rel="noopener noreferrer" target="_blank">prices</a> go up most in the spring during the peak buying season, and then price growth slows down as the year goes on.
Home prices aren’t falling. They’re just rising slower and going <a href="https://www.corelogic.com/intelligence/us-home-price-insights-september-2023/" rel="noopener noreferrer" target="_blank">back to normal</a> seasonal trends. That’s a good thing. If you're curious about prices in our area, let’s connect.
2023-10-20T11:43:12-07:002023-10-20T12:06:31-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31289The Risks of Selling Your House on Your Own<img src="https://files.keepingcurrentmatters.com/content/images/20231018/20231019-The-Risks-of-Selling-Your-House-on-Your-Own.png" width="600" style="font-size: 17px;" />
Are you thinking about selling your house as a For Sale by Owner (FSBO)? If so, know there's a whole lot more time and expertise needed in that process than you might think. While the idea of doing it all by yourself might seem tempting, it's important to recognize the challenges you may face if you take it on all by yourself. As a recent article from Bankrate <a href="https://www.bankrate.com/real-estate/sell-house-by-owner-in-california/#pros-v-cons" rel="noopener noreferrer" target="_blank">explains</a>:
“Choosing the right price, crafting a compelling listing, marketing to potential buyers, coordinating showings, preparing paperwork: All of these are tasks that, in the absence of a real estate agent, you will have to do yourself.”
Here’s a bit more information on just a few of those things and how you may miss out if you don’t use an agent.
You May Not Price it Right
<a href="https://www.simplifyingthemarket.com/en/2023/07/31/pricing-your-house-right-still-matters-today/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">Pricing</a> your house right is key to a successful sale. <a href="https://www.simplifyingthemarket.com/en/2023/10/09/key-skills-you-need-your-listing-agent-to-have/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">Real estate</a> agents have experience navigating this housing market and understand the art of pricing a home to sell today. Unfortunately, homeowners who sell on their own often lack this all-important experience. That can lead to two common consequences: overpricing or underpricing the house.
An article from Nerd Wallet <a href="https://www.nerdwallet.com/article/mortgages/price-home-sell" rel="noopener noreferrer" target="_blank">offers</a> this advice:
“If your home is overpriced, you run the risk of buyers not seeing the listing. . . . But price your house too low and you could end up leaving some serious money on the table. A bargain-basement price could also turn some buyers away, as they may wonder if there are any underlying problems with the house.”
Don’t run this risk. Instead, partner with an agent to make sure your house is priced at current market value, so it catches the eyes of eager buyers. This will put your house in a position to make the best first impression possible.
You Don’t Have as Much Experience in Marketing a House
In this digital age, online marketing has become a real game-changer, especially when it comes to selling your house. A recent report from the National Association of Realtors (NAR), <a href="https://www.nar.realtor/sites/default/files/documents/2023-home-buyers-and-sellers-generational-trends-report-03-28-2023.pdf" rel="noopener noreferrer" target="_blank">explains</a>:
“Among all generations of home buyers, the first step taken in the home search process was to look online for properties.”
When you partner with a <a href="https://www.simplifyingthemarket.com/en/2023/08/23/why-you-need-a-true-expert-in-todays-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">real estate agent</a> who knows how to take advantage of online marketing tools and resources, you'll be able to get in front of these tech-savvy house hunters, boosting your chances of a successful sale. But, if you're attempting to sell your house on your own, you might find yourself missing out on the full power of online and social media strategies.
You May Not Be Comfortable Handling All the Back-and-Forth
When you decide to sell your house, you're not just on a quest to find a buyer; you're also stepping into a world of negotiations. You’ll have to coordinate with a bunch of people, including the buyer, the buyer’s agent, the inspection company, the appraiser, and more. It's a dance where every move counts, and the expertise of a real estate agent can make a world of difference in keeping these negotiations on track and sealing the deal.
As NerdWallet <a href="https://www.nerdwallet.com/article/mortgages/what-does-a-real-estate-agent-do" rel="noopener noreferrer" target="_blank">says</a>:
“Your listing agent will also, of course, be on your side throughout negotiations. They'll double-check paperwork that comes through, communicate with the buyer's agent and other parties to the sale, and generally stay on top of things through to closing day.”
Bottom Line
If you're thinking about selling your house and the idea of going it alone has crossed your mind, be sure to think through that decision carefully. Let's connect to discuss how a real estate agent has the experience needed to take all that stress off your plate.2023-10-19T10:17:19-07:002023-10-19T10:38:41-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31252What Are the Real Reasons You Want To Move Right Now?<img src="https://files.keepingcurrentmatters.com/content/images/20231017/20231018-What-are-the-real-reasons-you-want-to-move-right-now.png" width="600" style="font-size: 17px;" />
If you're considering <a href="https://www.simplifyingthemarket.com/en/2023/09/15/plenty-of-buyers-are-still-active-today-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">selling your house</a> right now, it's likely because something in your life has changed. And while things like mortgage rates play a big role in your decision, you don’t want that to overshadow why you thought about <a href="https://www.simplifyingthemarket.com/en/2023/08/14/where-are-people-moving-today-and-why/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">making a move</a> in the first place.
It’s true <a href="https://www.simplifyingthemarket.com/en/2023/10/16/are-higher-mortgage-rates-here-to-stay/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">mortgage rates</a> are higher right now, and that has an impact on affordability. As a result, some homeowners are deciding they’ll wait to sell because they don’t want to move and have a higher mortgage rate on their next home.
But your lifestyle and your changing needs matter, too. As a recent article from Realtor.com <a href="https://www.realtor.com/advice/sell/should-i-sell-my-house-now-reasons-to-list-times-to-wait/" rel="noopener noreferrer" target="_blank">says</a>:
“No matter what interest rates and home prices do next, sometimes homeowners just have to move—due to a new job, new baby, divorce, death, or some other major life change.”
Here are a few of the most common reasons people choose to sell today. You may find any one of these resonates with you and may be reason enough to move, even today.
Relocation
Some of the things that can motivate a move to a new area include <a href="https://www.simplifyingthemarket.com/en/2023/09/22/how-remote-work-helps-with-your-house-hunt-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">changing jobs</a>, a desire to be closer to friends and <a href="https://www.simplifyingthemarket.com/en/2023/10/10/are-grandparents-moving-to-be-closer-to-their-grandkids/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">loved ones</a>, wanting to live in your ideal location, or just looking for a change in scenery.
For example, if you just landed your <a href="https://www.simplifyingthemarket.com/en/2023/09/20/remote-work-is-changing-how-some-buyers-search-for-their-dream-homes/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">dream job</a> in another state, you may be thinking about selling your current home and moving for work.
Upgrading
Many homeowners decide to sell to move into a larger home. This is especially common when there’s a need for more room to entertain, a home office or gym, or additional bedrooms to accommodate a growing number of loved ones.
For example, if you’re living in a condo and your household is growing, it may be time to find a home that better fits those needs.
Downsizing
Homeowners may also decide to sell because someone’s moved out of the home recently and there’s now more space than needed. It could also be that they’ve recently <a href="https://www.simplifyingthemarket.com/en/2023/09/11/planning-to-retire-your-equity-can-help-you-make-a-move/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">retired</a> or are ready for a change.
For example, you’ve just kicked off your retirement and you want to move somewhere warmer with less house to maintain. A different home may be better suited for your new lifestyle.
Change in Relationship Status
Divorce, separation, or marriage are other common reasons individuals sell.
For example, if you’ve recently separated, it may be difficult to still live under one roof. Selling and getting a place of your own may be a better option.
Health Concerns
If a homeowner faces mobility challenges or health issues that require specific living arrangements or modifications, they might sell their house to find one that works better for them.
For example, you may be looking to sell your house and use the proceeds to help pay for a unit in an assisted-living facility.
With higher mortgage rates and <a href="https://www.simplifyingthemarket.com/en/2023/10/11/the-latest-expert-forecasts-for-home-prices-in-2023/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">rising prices</a>, there are some <a href="https://www.simplifyingthemarket.com/en/2023/09/19/your-home-equity-can-offset-affordability-challenges/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">affordability challenges</a> right now – but your needs and your lifestyle matter too. As a recent article from Bankrate <a href="https://www.bankrate.com/real-estate/should-i-sell-my-house-now-or-wait/#sell-now" rel="noopener noreferrer" target="_blank">says</a>:
“Deciding whether it’s the right time to sell your home is a very personal choice. There are numerous important questions to consider, both financial and lifestyle-based, before putting your home on the market. . . . Your future plans and goals should be a significant part of the equation . . .”
Bottom Line
If you want to sell your house and find a new one that better fits your needs, <a href="https://www.mykcm.com/2023/10/09/key-skills-you-need-your-listing-agent-to-have/" rel="noopener noreferrer" target="_blank">let’s connect</a>. That way, you’ll have someone to guide you through the process and help you find a home that works for you.2023-10-18T11:07:41-07:002023-10-18T11:16:24-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31193How Buying a Multi-Generational Home Helps with Affordability Today<img src="https://files.keepingcurrentmatters.com/content/images/20231013/20231017-How-Buying-a-Multi-Generational-Home-Helps-with-Affordability-Today.png" width="600" style="font-size: 17px;" />
In today's world of <a href="https://www.simplifyingthemarket.com/en/2023/09/06/mortgage-rates-past-present-and-possible-future/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">rising housing costs</a>, many buyers are looking for ways to still be able to buy a home. Some of them have found a solution in multi-generational living.
Multi-generational living is when two or more adult generations live together under one roof. This includes siblings, parents, or even grandparents. Here’s an in-depth look at why more buyers are choosing this option today, so you can see if it may be right for you too.
Reasons To Buy a Multi-Generational Home
According to a <a href="https://www.nar.realtor/blogs/economists-outlook/all-in-the-family-multi-generational-home-buying" rel="noopener noreferrer" target="_blank">recent study</a> by the National Association of Realtors (NAR), the top two reasons people are opting for multi-generational homes today have to do with affordability (see graph below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231013/20231017-Reasons-to-Purchase-a-MultiGen-Home.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231013/20231017-Reasons-to-Purchase-a-MultiGen-Home.png" /></a>
Cost Savings: About 28% of first-time buyers and 11% of repeat buyers are deciding on a multi-generational home to save on costs. By pooling their resources, households can share the financial responsibilities like mortgage payments, utilities, property taxes, and maintenance, to make <a href="https://www.simplifyingthemarket.com/en/2023/10/02/unpacking-the-long-term-benefits-of-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">homeownership</a> more affordable. This is especially helpful for <a href="https://www.simplifyingthemarket.com/en/2023/10/04/understanding-the-benefits-of-owning-your-first-home/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">first-time homebuyers</a> who may be finding it tough to afford a home on their own in today's market.
More Space: Another 28% of first-time buyers and 18% of repeat buyers are doing it because they want a larger home they couldn’t afford on their own. For some of the <a href="https://www.simplifyingthemarket.com/en/2023/09/11/planning-to-retire-your-equity-can-help-you-make-a-move/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">repeat buyers</a> who listed this as a main motivator, it could be because they find themselves taking care of <a href="https://www.simplifyingthemarket.com/en/2023/09/13/should-baby-boomers-buy-or-rent-after-selling-their-houses/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">older parents</a> while also welcoming back young adults who've returned to the nest. With everyone chipping in and combining their incomes, suddenly, that big <a href="https://www.simplifyingthemarket.com/en/2023/09/21/the-many-non-financial-benefits-of-homeownership/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">dream home</a> with more space is within reach. As the Triangle Business Journal <a href="https://www.bizjournals.com/triangle/news/2023/04/01/why-choose-multigenerational-living-in-the-triangl.html" rel="noopener noreferrer" target="_blank">explains</a>:
“Choosing multi-gen living allows people to purchase a home much larger than they could afford on their own by leveraging the combined income, credit and a down payment of those that they will be occupying the home with.”
Lean on an Expert
If you’re interested in this too, partner with a local <a href="https://www.simplifyingthemarket.com/en/2023/08/23/why-you-need-a-true-expert-in-todays-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">real estate agent</a>. Finding the perfect multi-generational home isn't as simple as shopping for a regular house. That’s because there are more people with even more opinions and needs that should be considered.
You've got to make sure everyone has their own space, find room for shared household time, and possibly even create adaptable areas for older relatives. It's a puzzle, and the pieces need to fit just right. Your real estate agent has the expertise and local knowledge to help you find that home where everyone can be comfortable without breaking the bank. As MoneyGeek.com <a href="https://www.moneygeek.com/mortgage/resources/multigenerational-family-finances/" rel="noopener noreferrer" target="_blank">puts</a> it:
"Having a good multigenerational property can improve the prospects of success when living with loved ones. A multigenerational home should fit the specific needs of most family members regardless of age or health. Speaking to a real-estate agent can help you gain clarity and locate a fit."
Bottom Line
Buying a multi-generational home can be a smart way to tackle some of today’s affordability challenges. When you team up to share expenses, you can make your dream of homeownership more attainable. If this sounds like an option for you and your loved ones, let’s connect to help you find a home that’s the perfect fit.2023-10-17T09:41:50-07:002023-10-17T10:07:14-07:00Jeff Davenporttag:buyrealestateinvegas.com,2012-09-20:31174Are Higher Mortgage Rates Here To Stay?<img src="https://files.keepingcurrentmatters.com/content/images/20231012/20231016-Are-Higher-Mortgage-Rates-Here-To-Stay.png" width="600" style="font-size: 17px;" />
<a href="https://www.simplifyingthemarket.com/en/2023/09/06/mortgage-rates-past-present-and-possible-future/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">Mortgage rates</a> have been back on the rise recently and that’s getting a lot of attention from the press. If you’ve been following the headlines, you may have even seen rates recently reached their <a href="https://freddiemac.gcs-web.com/node/27781/pdf" rel="noopener noreferrer" target="_blank">highest level</a> in over two decades (see graph below):
<a href="https://www.simplifyingthemarket.com/en/content/images/20231012/20231016-Mortgage-Rates-Reach-Highest-Level-In-Almost-23-Years.png?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank"><img src="https://files.keepingcurrentmatters.com/content/images/20231012/20231016-Mortgage-Rates-Reach-Highest-Level-In-Almost-23-Years.png" /></a>
That can feel like a little bit of a gut punch if you’re thinking about <a href="https://www.simplifyingthemarket.com/en/2023/08/14/where-are-people-moving-today-and-why/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">making a move</a>. If you’re wondering whether or not you should delay your plans, here’s what you really need to know.
How Higher Mortgage Rates Impact You
There’s no denying mortgage rates are higher right now than they were in recent years. And, when rates are up, that affects overall <a href="https://www.simplifyingthemarket.com/en/2023/09/07/get-ready-for-smaller-more-affordable-homes/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">home affordability</a>. It works like this. The higher the rate, the more expensive it is to borrow money when you <a href="https://www.simplifyingthemarket.com/en/2023/08/17/people-want-less-expensive-homes-and-builders-are-responding/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">buy a home</a>. That’s because, as rates trend up, your monthly <a href="https://www.simplifyingthemarket.com/en/2023/05/19/the-impact-of-changing-mortgage-rates-infographic/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">mortgage payment</a> for your future home loan also increases.
Urban Institute <a href="https://www.urban.org/urban-wire/rising-interest-rates-put-brakes-mortgage-market-borrowers-low-incomes" rel="noopener noreferrer" target="_blank">explains</a> how this is impacting buyers and sellers right now:
“When mortgage rates go up, monthly housing payments on new purchases also increase. For potential buyers, increased monthly payments can reduce the share of available affordable homes . . . Additionally, higher interest rates mean fewer homes on the market, as existing homeowners have an incentive to hold on to their home to keep their low interest rate.”
Basically, some people are deciding to put their plans on hold because of where mortgage rates are right now. But what you want to know is: is that a good <a href="https://www.simplifyingthemarket.com/en/2023/07/03/evaluating-your-wants-and-needs-as-a-homebuyer-matters-more-today/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">strategy</a>?
Where Will Mortgage Rates Go from Here?
If you’re eager for mortgage rates to drop, you’re not alone. A lot of people are waiting for that to happen. But here’s the thing. No one knows when it will. Even the experts can’t say with certainty what’s going to happen next.
<a href="https://www.simplifyingthemarket.com/en/2023/08/04/housing-market-forecast-for-the-rest-of-2023-infographic-1/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">Forecasts</a> project rates will fall in the months ahead, but what the latest <a href="https://www.freddiemac.com/pmms" rel="noopener noreferrer" target="_blank">data</a> says is that rates have been climbing lately. This disconnect shows just how tricky mortgage rates are to project.
The best advice for your move is this: don’t try to control what you can’t control. This includes trying to time the market or guess what the future holds for mortgage rates. As CBS News <a href="https://www.cbsnews.com/news/dont-wait-for-mortgage-rates-to-drop-do-this-instead/" rel="noopener noreferrer" target="_blank">states</a>:
“If you're in the market for a new home, experts typically recommend focusing your search on the right home purchase — not the interest rate environment.”
Instead, work on building a team of <a href="https://www.simplifyingthemarket.com/en/2023/08/23/why-you-need-a-true-expert-in-todays-housing-market/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">skilled professionals</a>, including a trusted lender and real estate agent, who can explain what’s happening in the market and what it means for you. If you need to move because you’re <a href="https://www.simplifyingthemarket.com/en/2023/06/13/your-needs-matter-more-than-todays-mortgage-rates/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">changing jobs</a>, want to be closer to family, or are in the middle of another big <a href="https://www.simplifyingthemarket.com/en/2023/08/29/why-you-may-still-want-to-sell-your-house-after-all/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">life change</a>, the right team can help you <a href="https://www.simplifyingthemarket.com/en/2023/09/19/your-home-equity-can-offset-affordability-challenges/?a=444044-181e2190437273b2a85d79d9a0d8c4bd" rel="noopener noreferrer" target="_blank">achieve your goal</a>, even now.
Bottom Line
The best advice for your move is: don’t try to control what you can’t control – especially mortgage rates. Even the experts can’t say for certain where they’ll go from here. Instead, focus on building a team of trusted professionals who can keep you informed. When you’re ready to get the process started, let’s connect.2023-10-16T14:44:30-07:002023-10-16T15:05:45-07:00Jeff Davenport