Most experts predict that following a seven-year period of economic growth the US economy is headed towards a recession (most likely sometime in 2020). But while The Great Recession devastated the housing market, house shoppers remain optimistic about how the market will handle a potential recession in the coming years.
Expect A Recession But Remain Optimistic
According to a recent survey from Realtor.com, nearly 70 percent of home shoppers said they expect a recession to hit the US economy sometime in the next three years (by 2022). But despite the fact that most believe a downturn is looming, many remain optimistic about the housing market, with 41 percent of home shoppers predicting the market would fare better than it did in 2008.
The experts agree. “When the U.S. enters its next recession, it is unlikely that the housing market will see a sharp nationwide downturn. The same record low inventory levels that have made buying a home so difficult recently will likely protect home prices in the next recession,” said Realtor.com’s chief economist Danielle Hale in the article.
If you’re thinking about buying a home, don’t be nervous. There might be talk of an upcoming recession (and, obviously, you’ll want to do your own financial due diligence), but the optimism about the housing market from consumers and experts alike is a good sign.
If you’re considering buying a home, ask any real estate agent worth their salt and they’ll tell you: NOW is the time to do it.
The real estate market is seemingly changing by the day, and if you want to get a great home for a great price, making a move now is in your best interest; conditions a year from now (or even six months from now) aren’t likely to be as hospitable.
And why is that? Why shouldn’t you, if you’re interested in buying a home, wait? Why is NOW the time to make a move?
The start of 2019 was slow for the real estate market, but it looks like that’s starting to change—and just in time for the spring season, which is historically the busiest time of year for buyers and sellers across the US.
According to a recent article from REALTOR Magazine, existing home sales posted a huge jump from January to February 2019—an 11.8% increase, the largest month-over-month gain the market has seen since December 2015. The reason for the jump? According to the National Association of Realtors™’ chief economist Lawrence Yun, the dramatic increase in existing home sales from January to February can be attributed to a number of factors including increasing inventory, falling mortgage rates, and a higher level of consumer confidence.
This dramatic jump in existing home sales is good news for both buyers and sellers. So if you’ve been thinking about getting into the real estate market, it looks like the upcoming spring season is shaping up to be a great time to make a move.
As a homeowner, the selling process can be an overwhelming experience – especially for first timers. Since they’ve never been through the experience of selling a home, many homeowners feel a bit lost as to what they need to do before they can pass their keys over to the next owners.
But not to worry! Here’s a checklist that covers all the essentials for homeowners getting ready to sell their first property:
Sprucing Things Up
Before homeowners list their home, they will want to handle any minor fixes that might keep them from getting top dollar for their property and spruce things up to make the home more attractive to potential buyers.
While every home is different, some areas that homeowners will want to revamp before listing their home include:
Painting is a relatively easy and inexpensive fix, but it can really make a difference in how a home presents. Before listing, homeowners should plan to refresh both the exterior and interior paint.
It also helps to use neutral colors when repainting a house that’s about to go on the market. Bold colors can be off-putting or distracting to potential buyers. Using neutral colors like white, beige, or gray, will help potential buyers see the property, not the paint.
The first thing potential buyers will notice when viewing a home is the landscaping. If the yard is in shambles or there are human-sized weeds sprouting from every corner, it can be a deal breaker.
Investing in landscaping upgrades will add to a property’s curb appeal and can help land a higher selling price. If the outdoor area hasn’t been landscaped, adding flowers, small trees and greenery can go a long way. If the property already has a garden, cleaning the area up (including raking, pruning and adding additional plants to fill in any visible gaps) will suffice.
If there are minor and/or inexpensive repairs that need to be done to the property, it can be helpful for the homeowners to take care of them prior to listing. Small repairs, like steam cleaning the carpets or fixing a leaky shower, are quick, easy and inexpensive fixes, but can make a big difference when showing the home.
While homeowners will want to leave more major repairs and remodels for the potential buyers, cleaning up small problems will yield big results when they put their home on the market.
It’s important for homeowners to stage their home in a way that’s appealing to potential buyers. Staging can either be done with the help of a professional organizer and decorator or independently, but proper staging should include:
- Decluttering the home
- Removing any personal items
- Reorganizing, rearranging and/or removing furniture to make the home feel more open and spacious
- Thoroughly cleaning the home
- Arranging the home to highlight the property’s best features (for example, pulling back curtains to showcase a gorgeous view or moving any furniture that blocks interesting architectural details)
- Adding decorative items to enhance the space
Staging a home in a way that appeals to buyers can have a huge impact on the selling process. Professional stagers typically cost a few thousand dollars, but if homeowners want to save the extra cash, HGTV has some great tips on how to best stage a home for maximum impact.
Choosing An Agent
Once the property is ready to be shown to potential buyers, it’s time to find an agent.
Choosing the right real estate agent is HUGELY important, particularly for first time sellers. Having the right real estate agent representing the property can mean the difference between a quick, painless and positive selling process and a long, drawn out nightmare.
When choosing a real estate agent, homeowners should consider:
Does this agent specialize in this type of property and in this area?
Whenever possible, homeowners should work with an agent who possesses a wealth of knowledge and experience selling the type of property they’re looking to sell within their market.
Different types of properties and different markets have different nuances, and working with an agent who understands those nuances can help homeowners sell their home quicker and for a higher price than working with an agent who isn’t as knowledgeable.
What’s the agent’s track record?
One of the best predictors of future success is past success. When choosing a real estate agent, homeowners should ask what their track record of success is. How many homes have they sold in the past year? What’s the average time their properties stay on their market? What percentage of their deals come in at the asking price or above?
Understanding a real estate agent’s past performance can help homeowners understand what they might expect during the selling process and helps to set up proper expectations for both the homeowners and the agent.
What’s the agent’s plan for selling the property?
Homeowners should also ask what their agent’s plan is for selling the property. What marketing channels will they leverage to make sure the property gets in front of the right people? How aggressively do they plan to market the property? What’s their backup plan should they not be successful with their typical marketing strategies?
It’s an agent’s job to sell a property, but there are many ways to do that. Homeowners will want to find out upfront what their agent’s plan is to make sure it’s in line with what they’re looking for.
Selling a property can be overwhelming for first time sellers. But by following the steps in this checklist, homeowners can take the necessary steps to selling their home quickly, easily and with as little stress as possible.
Buying and selling a home is a huge life event, and the right real estate agent is the most important person you’ll work with during the transition.
Choosing the right real estate agent is an important resource; they can help break down complex real estate concepts, walk you through the logistics of buying or selling a home and can help move the process along, saving you time, money and energy in the process.
But unfortunately, not all real estate agents are created equal. And while the right real estate agent can make the buying or selling process a breeze, the wrong agent can leave you feeling frustrated with a far too long, expensive and overwhelming real estate experience.
Here are four signs it’s time to cut your current real estate agent loose and find the right real estate agent:
1. You just don’t vibe
Just because a real estate agent is competent and capable of helping you buy or sell your home doesn’t mean they’re the right real estate agent for you. Sometimes, no matter how experienced or skilled they are, you just don’t vibe with your agent.
During the buying or selling process, you’re going to be extremely involved with the right real estate agent. Between showings and contract negotiations and phone conferences, you’ll spend more time with your real estate agent than pretty much anyone else in your life until your home is bought or sold. Which is why it’s important that your personalities work well together.
You don’t have to be best friends with the right real estate agent, but it’s ideal to have some sort of personal connection. You’re entrusting them with one of the biggest purchases or sales of your life, and it’s important that you trust them and believe they have your best interest at heart. You also have to at least be able to tolerate their personality; as mentioned, you’re going to be spending a lot of time with them, and if their personality clashes with yours, it’s going to make the whole process less enjoyable.
If you find that your personality is just not a good match for your real estate agent, do yourself (and them!) a favor and find a new agent.
2. Your real estate agent is slow to respond
Things in the real estate world happen quickly, and in order to maximize your time, effort and money, you need the right real estate agent who’s on top of things. And with today’s easy access to technology, there’s no reason your agent should be out of touch for long.
While it’s unrealistic to expect your real estate agent to drop everything every time you reach out, they should respond to all requests (whether through phone, text or email) within a reasonable time frame – which, in the real estate world, is a few hours max. Even if the response is a simple “I’m with another client and will get in touch at X time,” a good real estate agent will make sure to give you the attention you need to successfully buy or sell your home.
If you find that your emails or calls go unanswered for an entire day or longer, you should have a conversation with your real estate agent to establish communication expectations. If things don’t improve, it’s time to look for a new agent.
3. Sellers: Your house has been on the market too long
There’s no magic number for how long your house should be on the market before it sells. But a good real estate agent should be able to sell your home in a similar timeframe of other homes in your area. If your neighbors sold their home in 30 days and your house has been sitting on the market, it’s time to start asking questions.
There are many reasons your home might not be selling, like being priced too high. But your real estate agent should advise you on the reasons your home isn’t selling and make suggestions as to how to get the house sold. If your house has been sitting on the market longer than other homes in your area and your real estate agent doesn’t have any insight or suggestions, it’s probably time to move on.
4. Buyers: You’re finding more properties on your own than through your agent
If you’re buying a home, a huge part of your real estate agent’s job is to send you properties they think would match what you’re looking for. Depending on your market, your agent should be sending you new listings on at least a weekly basis. If you’re consistently finding more properties on your own by combing through listings on real estate sites than you are through your real estate agent, it’s time to find someone new.
Your real estate agent can make or break the process of buying or selling your house. And if you’re not happy with your agent, you owe it to yourself to find someone you feel is the best fit for you and your real estate goals.
I would love to be your right real estate agent her in the Oakland County, Michigan area! Please feel free to call me anytime 248-790-5594
You are probably wondering that if a person can buy a house on their own, then why can’t they sell one on their own as a For Sale By Owner (FBSO) . Homes for sale in Farmington Hills, Michigan deserve a great Real Estate agent to market, stage, arrange appointments and screen buyers to assure they are pre-qualified and able to purchase your home and get you the best price possible.
Houses that have the sign stating “FSBO” (for sale by owner) do not make much profit. According to the National Association of Realtors, in 2017, 89% of the sellers sold their house through a real estate agent and 87% of the buyers hired a real estate agent for the purchase. A house sale that was handled by a real estate agent went for $249,000, whereas one that was handled by the owner went for $190,000.
A few difficulties that FSBO houses face include:
- Inability to set the right price
- Unable to understand the paperwork
- Not being able to sell the house within the planned time
- Failing to stage the house properly for the sale
- Not having enough time for giving people a house tour
Now that you know what awaits you if you put up your home for sale in Farmington Hills, Michigan, on your own, let’s have a look at the following reasons why hiring a real estate agent is more beneficial:
1. They Have More Knowledge about the Real Estate Market
You won’t be able to make a sound deal on your home for sale in Farmington Hills, Michigan, because both the parties, you and the buyer, are not familiar with most of the real estate terms. A loophole might become visible in the future that will negatively affect you both. This is where a real estate agent proves his worth. Not only is he up to date with the current real estate market trends, but he also knows what documents are needed to make the transfer as easy as possible.
2. House Is Priced Competitively
The real estate agent knows more about comps than you will ever find out on the internet. Comps are necessary for setting the price. They are the key to multiple offers. Why would you pass up on such a good opportunity!
3. They Have Several Online Marketing Strategies up Their Sleeve
A real estate agent has several connections, which allows them to market your house to the right buyers. They are recognized in the industry, which gives them the power to sell your house within a month.
4. High Profits In Homes For Sale Farmington Hills, Michigan
When a trusted and reliable real estate agent handles home for sale in Farmington Hills, Michigan, you can be assured that you will receive a hefty profit. Clients with whom he has been working for a long time will trust his judgment and might even agree to the asking price without negotiations.
Convinced why hiring a real estate agent, who will ask for a small commission (did we mention small), is such a good idea? If you think about it, a real estate agent has magical powers—sort of— that help you sell your house easily. If you are looking for such a competent real estate agent who will help you with your house’s sale, then visit Homes2MoveYou or call me 248-790-5594 and get your house listed and beat the upcoming competition.