Tuesday, May 19, 2015





Elizabeth Scott, Realtor®, Broker

Diamond Award – High Sales Volume
e-PRO, Strategic Pricing Specialist

Fathom Realty NC, LLC        
Phone: 919.306.9699

http://www.thesmartrealestateagent.com/contact/
EmailElizabeth@TheSmartRealEstateAgent.com



Tuesday, May 12, 2015

Attention Home Sellers: We Need to Sell Your Home Twice...



Every house on the market has to be sold twice; once to a prospective buyer and then to the bank (through the bank’s appraisal).

 In a housing market where supply is very low and demand is very high, home values increase rapidly. One major challenge in such a market is the bank appraisal. If prices are jumping, it is difficult for appraisers to find adequate comparable sales (similar houses in the neighborhood that closed recently) to defend the price when doing the appraisal for the bank.

With escalating prices, the second sale might be even more difficult than the first. And now, there may be a second issue further complicating the appraisal issue.

The Mortgage News Daily (MND) recently published an article titled Conservative Appraisals Increasingly Mentioned in 2015; Did Something Change?

The article revealed that there was a “flurry” of comments on their website from members expressing concern about…

“…a sudden increase in appraisals reflecting market values well below what had been expected. In some cases the low appraisals had merely required the restructuring of the loan, in others they killed the deal.” 

The National Association of Realtors revealed this month that 8% of the contracts that fell through over the last three months were terminated because of appraisal issues.

MND decided to survey their members and ask why this sudden increase in “short” appraisals could be taking place. Here is one result of that survey:

“Almost everyone we spoke to mentioned Fannie Mae's new Collateral Underwriter (CU).”
Collateral Underwriter provides a risk score on individual appraisals which will lead to a ranking of appraisals by risk profile, allowing lenders to identify appraisals with heightened risk of quality issues, overvaluation, and compliance violations. It went on-line on January 26.

Marianne Sullivan, senior vice president of single-family business capability with Fannie Mae believes that CU is not a problem for appraisers. She claimed:

“From an appraiser perspective, one of the lender's responsibilities has always been to review the quality of an appraiser, and they have been using various methods to do that forever. I don’t think appraisers will find this tool to be disruptive.”

However, some think that CU has caused appraisers to become too cautious with their appraised values. One mortgage professional in the MND article explained it this way:

"My personal opinion is that appraisers are being overly conservative in choosing comps because of CU. If CU questions the comps, adjustments, etc., the appraiser would have to do a lot of extra work to justify them. I had anticipated that CU would cause delays because of this extra work, but it seems that appraisers are one step ahead and are being ultra conservative, thus avoiding the extra work in the first place. I haven't spoken to an appraiser about it; this is just my interpretation of what I am seeing."

Ryan Lundquist, a Certified Residential Appraiser in the Sacramento area, agreed:

“One of the unintended consequences of CU may be more conservative appraisals.”

Bottom Line
Pricing a home right in today's market requires skill, knowledge, and experience.  Call me today if you would like to know your home’s value.

Elizabeth
BE SAVVY...CALL THE SMART REALTOR

Elizabeth Scott, Realtor®, Broker
Diamond Award – High Sales Volume
e-PRO, Strategic Pricing Specialist
Fathom Realty NC, LLC        
Phone: 919.306.9699
http://www.thesmartrealestateagent.com/contact/
Email:  Elizabeth@TheSmartRealEstateAgent.com



Friday, April 24, 2015

Thinking of Selling Your Triangle NC Home?

Call your local neighborhood expert!  I will help you understand the process and work with you step-by-step so you can move quickly.  My most recent listing sold in 3 days with multiple offers.












BE SAVVY...CALL THE SMART REALTOR!

Elizabeth Scott, Realtor®, Broker
Diamond Award – High Sales Volume
e-PRO, Strategic Pricing Specialist
Fathom Realty NC, LLC        
Phone: 919.306.9699
http://www.thesmartrealestateagent.com/contact/
Email:  Elizabeth@TheSmartRealEstateAgent.com

Friday, March 20, 2015

Home Prices and Sales for the Triangle NC in Feburary 2015

February 2015 Home Prices and Sales for the Triangle NC!

Ol' man winter took his toll in the month of February.  For the first time in our local history, house showings decreased two percent from January 2015 to February 2015, and it is entirely due to the weather.  On the positive side, the number of showings were up five percent compared to February last year.

Available home inventory levels are still at record lows.  It appears that prices are still not rising enough to entice those who purchased in 2006 - 2008 to put their homes on the market.  Overall home inventory was down 13% and the number of new listings was also down 8%.



Number of days on market is a big topic right now.  Currently, the average length of time to sell here in our Triangle area is 71 days.  My  believe is that if a home does not sell within 60 days, it is not priced correctly.  So, if your home is still sitting on the market after 2 months, it is time to get another opinion on why it is not selling.

Pending sales were up forty one percent!  What?! Yep!  Keep in mind that this number includes all homes that went under contract.  We may have to wait a month or so to see how many of these potential sales actually closes.

I

Year to date closed sales were up 5 percent - a very good sign and average sale price also increased five percent from last year from $226, 441 to $237,192.



Because of the dynamic nature of our area, in the past folks tended to move within four to six years.  Today's market is much different with folks remaining in their homes for a longer period of time.

It is a very challenging market right now and, more than ever, you need the advice and guidance of an experience real estate professional.  Call me today and I will help you make the SMART decision on whether to buy or sell your home now.



Elizabeth Scott, Realtor®, Broker
BE SAVVY...CALL THE SMART REALTOR!

Diamond Award – High Sales Volume
e-PRO, Strategic Pricing Specialist
Fathom Realty NC, LLC        
Phone: 919.306.9699
http://www.thesmartrealestateagent.com/contact/
Email:  Elizabeth@TheSmartRealEstateAgent.com