When do You Take Down Your Christmas Tree?

 

When it comes to holiday decorations, there are two kinds of people: Those who take down their Christmas trees on December 26, and those who aren’t quite ready for the season to be over. And while taking down the tree is usually less fun than putting it up, there’s actually another good reason many people wait to do it. If you’ve been looking for an excuse to keep listening to Christmas music and admiring your festive decor, you’re in luck:

Tradition says you should be celebrating Christmas (and leaving your decorated tree up) through January 6. 

You’re probably familiar with the song about the 12 days of Christmas—but you may not have known that the 12 days don’t actually start until Christmas Day, meaning there are almost two full weeks of celebrating to do after Santa arrives. According to Christian tradition, January 6 marks the day the three kings actually arrived in Bethlehem and signals the end of the Christmas celebrations. 

This day is called The Feast of Epiphany, The Twelfth Night, or Three Kings Day, and in some parts of the world, it signifies a celebration that’s just as big as the one on Christmas Day. And while I’ll welcome any excuse to leave up the red and gold ornaments,  tradition says it’s actually unlucky to take your tree down before this date. When you finally take down the tree, don’t just leave it on the curb; you can actually recycle live Christmas trees by finding a recycling program or having them chipped into mulch for your garden.  I'll be posting on where/how to recycle soon.

While the Christmas festivities technically end on Epiphany, the holidays aren’t over just yet. The day also marks the official start of the Mardi Gras season, so it’s tradition to serve King Cake on January 6. The tradition of Three Kings Day is actually where the name “king cake” comes from—and why there’s a tiny plastic baby hidden inside.  I'll be posting on that, too.

I'm definitely in the "leave it up longer" group.  I love how it looks & want to keep it as long as possible. How about you?  When do you take your tree down?

 

Did You Outgrow Your Home in 2020?

 

Did You Outgrow Your Home in 2020?

It may seem hard to imagine that the home you’re in today – whether it’s your starter home or just one you’ve fallen in love with along the way – might not be your forever home.

Many needs have changed in 2020, and it’s okay to admit if your house no longer fits your lifestyle. If you’re now working remotely, facilitating virtual school, trying to exercise at home, or simply just spending more time in your own four walls, you may be bursting at the seams in your current house.

According to the latest HOME PRICE INSIGHTS from CoreLogic, prices have appreciated 7.3% year-over-year. At the same time, the National Association of Realtors (NAR) REPORTS that inventory has dropped 22% from one year ago.

These two statistics are directly related to one another. As inventory has decreased and demand has increased, prices have been driven up.

This is great news if you own a home and you’re thinking about selling. The equity in your house has likely risen as prices have increased. Even better is the fact that there’s a large pool of buyers out there searching for the American dream, and your home may be high on their wish list.

Bottom Line
If you think you’ve outgrown your current home, let’s connect to discuss local market conditions and determine if now is the best time for you to sell.

Whatever your Lifestyle...

 

How to Recognize the Very Best Real Estate Agent.

Exciting news! I have just completed a very rigorous learning course in my quest to continually provide the very best service to my clients.

This course is only available to Realtors and is a 7-layer learning program covering: Trust & Integrity: Technology: Data Safety: Continuing Knowledge & Skill: Client Service: Communications Skills: Commitment to Customer Service Excellence. Each section has a test you must pass & it ends with a Pledge.

I am now endorsed by the National Assn of Realtors. It was challenging and so is today's real estate market.

Get the very best service and information you need in today's market -- call me.

Competition Keeping You from Buying a Home?

 Don’t Let Buyer Competition Keep You from Purchasing a Home!

This year’s record-low mortgage rates sparked high demand among homebuyers. Current homeowners, however, haven’t put their houses on the market so quickly. This makes finding a home to buy today challenging for many potential buyers. With an obstacle like this, those searching for their dream homes may be pressing pause on their searches as we approach the end of the year, but that could be a big mistake for many hopeful house hunters. Here’s why. 

According to the most recent Housing Trends Report from the National Association of Home Builders (NAHB):

“The length of time spent searching for a home continues to grow.”

The report indicates that 62% of buyers now spend 3 months or more looking for a home, an increase from 58% one year ago. A primary cause for the delay is the heavy competition today’s buyers face when making an offer on a home. Based on recent data from the National Association of Realtors (NAR), the average house in today’s market receives 3.4 offers before it’s sold. This means for every buyer who purchases a home, there are on average two or three buyers who have to begin their search all over again.

Compared to this time last year, the NAHB report shows that buyers are having more success finding homes in their price range. However, it also notes the percentage of buyers saying they’re getting outbid when they make an offer has jumped from 15% to 27%. Buyers are indicating that bidding wars are a major obstacle to finding their dream home (See graph below): 

 

If this is a challenge you’re up against in your home search, you’re not alone. Feeling stuck in the process can be frustrating, but if there’s ever been a year to power through, this is the one. NAHB noted:

“Difficulties finding a home to buy will likely lead 20% of active buyers to give up until next year or later. That share is up from 15% a year earlier.”

Experts anticipate home prices will continue to rise into 2021, and the incredibly low interest rates we’ve seen this year are also forecasted to increase as the economy strengthens. Hopeful homebuyers who decide to hold off on their search until there’s less competition run the risk of finding a more expensive housing market when they start looking again. If affordability is a key motivator behind your decision to buy a home, this winter is still the best time to make it happen.

Bidding wars may be one of the greatest challenges buyers face in today’s housing market, but they shouldn’t be a deal-breaker.  Having the right expert on your side throughout the buying process will give you the advantage you need when it comes to finding the right home and making a competitive offer.   If you’re ready to buy this winter, let’s connect to discuss how to position yourself for success.

Homes are Disappearing!

Homes for Sale, that is.  

Through all the challenges of 2020, the real estate market has done very well, and purchasers are continuing to take advantage of historically low mortgage rates. 

Realtor Magazine just EXPLAINED:

“While winter may be typically a slow season in real estate, economists predict it isn’t likely to happen this year…Low inventories combined with high demand due to record-low mortgage rates is sending buyers to the market in a flurry.”

However, one challenge for the housing industry heading into this winter is the dwindling number of homes available for sale. Lawrence Yun, Chief Economist for the National Association of Realtors (NAR), recently SAID:

"There is no shortage of hopeful, potential buyers, but inventory is historically low.”

In addition, Danielle Hale, Chief Economist for realtor.com, NOTES:

“Fewer new sellers coming to market while a greater than usual number of buyers continue to search for a home causes inventory to continue to evaporate.”

One major indicator the industry uses to measure housing supply is the months’ supply of inventory. According to NAR:

“Months’ supply refers to the number of months it would take for the current inventory of homes on the market to sell given the current sales pace.”

Historically, six months of supply is considered a normal real estate market. Going into the pandemic, inventory was already well below this mark. As the year progressed, the supply reduced even further. Here is a graph showing this measurement over the last year:

 

What does this mean if you’re a buyer?

Be patient during your home search. It may take time to find a home you love. Once you do, be ready to move forward quickly. Get pre-approved for a mortgage, be prepared to make a competitive offer from the start, and understand how the shortage in inventory has led to more bidding wars. Calculate just how far you’re willing to go to secure a home if you truly love it.

What does this mean if you’re a seller?

Realize that, in some ways, you’re in the driver’s seat. When there’s a shortage of an item at the same time there’s a strong demand for it, the seller is in a good position to negotiate. Whether it’s the price, moving date, possible repairs, or anything else, you’ll be able to ask for more from a potential purchaser at a time like this – especially if you have multiple interested buyers. Do not be unreasonable, but understand you probably have the upper hand.

The housing market will remain strong throughout the winter and heading into the spring. Know what that means for you, whether you’re buying, selling, or doing both.  Contact me for a FREE accurate market evaluation of your home so you can make the Smart Decision.

Is Economy Recovery Already Underway?

Is the Economic Recovery Already Underway?

The Wall Street Journal just released their latest monthly Survey of Economists. In an article on the findings, they reported:

“The U.S. economy will be in recovery by the third quarter of this year, economists said in a survey that also concluded the labor market will fare better than previously expected following the effects of the coronavirus pandemic.”

Clearly, the latest jobs report from the U.S. Bureau of Labor Statistics confirmed the labor market is outperforming expectations, as it revealed that 2.5 million jobs were added. Directly before the release, experts forecasted that we would lose over 8 million jobs.

A second revelation indicating the economy is already about to turn around was also somewhat unexpected. More than 9 out of 10 economists surveyed believe the recovery has already begun this quarter or will begin in the third quarter. Here are the results of the survey question asking when the recovery will begin:The survey also asked what type of recovery the economists expect.

More than 8 out of 10 believe it will be a form of a ‘V’ recovery:

• A true ‘V’ with a sharp drop and a sharp rebound
• A ‘Nike Swoosh’ with a sharp drop and a more gradual recovery, coined after the company’s logo

Some experts, possibly concerned about a second wave of COVID-19, call for a ‘W’ recovery – a double dip recession.

Others call for a ‘U’ with a prolonged bottom.

A very small percentage project the dreaded ‘L’ recovery, which is no recovery at all for the foreseeable future (think of the Great Recession).

Here’s the breakdown:

Bottom Line

The housing market is still HOT here in the Triangle NC area.  I placed two offers this weekend and both were multiple offer (5+!) situations.  Ready?  Contact me and let's get started!

Shocking News in Unemployment!

Last Friday, the U.S. Bureau of Labor Statistics released their May Employment Situation Summary. Leading up to the release, most experts predicted the unemployment rate would jump up to approximately 20% from the 14.7% rate announced last month.

The experts were shocked.

The Wall Street Journal put it this way:

“The May U.S. jobless rate fell to 13.3% and employers added 2.5 million jobs, blowing Wall Street expectations out of the water: Economists had forecast a loss of 8.3 million jobs and a 19.5% unemployment rate"

In addition, CNBC revealed:

“The May gain was by far the biggest one-month jobs surge in U.S. history since at least 1939.”

Here are some of the job gains by sector:


Food Service and Bartenders – 1,400,000
Construction – 464,000
Education and Health Services – 424,000
Retail – 368,000
Other Services – 272,000
Manufacturing – 225,000
Professional Services – 127,000

There’s still a long way to go before the economy fully recovers, as 21 million Americans remain unemployed. That number is down, however, from 23 million just last month. And, of the 21 million in the current report, 73% feel their layoff is temporary. This aligns with a recent Federal Reserve Bank report that showed employers felt 75% of the job losses are temporary layoffs and furloughs.

The Employment Situation Summary was definitely a pleasant surprise, and evidence that the country’s economic turnaround is underway. The data also offers a labor-market snapshot from mid-May, when the government conducted its monthly survey of households and businesses. Many states did not open for business until the second half of May. This bodes well for next month’s jobs report.

We cannot rejoice over a report that reveals millions of American families are still without work. We can, however, feel relieved that we are headed in the right direction, and much more quickly than most anticipated.

This points to a very robust home market, particularly in our area where we haven't been hit as hard as other areas.  Are you thinking of selling?  Finally taking that leap to buying?  Contact me, I'll give you all the facts to make the smart decision.

Home Sellers - How are Home Buyers Wish Lists Changing

Here we are, weeks into the coronavirus situation & halfway into the second quarter.  How has tall of this affected home buyers' Wish Lists?  Let's see what the experts say:

In a recent study by realtor.com, homeowners noted some of the main things they would change about their homes to make them more livable.

Not surprisingly, more space, an updated kitchen, and a home gym rose to the top of the list.  Here are a few other things high on the list:

- Quiet neighborhoods, outdoor spaces and proximity to grocery stores 
- Bigger houses, updated kitchens
- Some are predicting seeing a wave of folks moving from urban/suburban areas to more rural ones as more folks continue to work from home & prices remain high.

I was surprised that "home office" didn't make that list.  I'm guesing that the desire for a bigger home includes more bedrooms & one of them would be the office.
While at home, 32 percent of consumers are cleaning closets and garages, gardening, and painting walls

INTERESTIG STATISTIC:  while at home, 32 percent of consumers are cleaning closets and garages, gardening, and painting walls.

I'm being contacted by lots of buyers who are thinking of purchasing this year.  Now is a GREAT time to put your home on the market with The Smart Realtor!  I am OPEN FOR BUSINESS & ready to help you achieve your goals.

HOW TO TEST DRIVE A NEIGHBORHOOD WHILE SHELTERING IN PLACE

Staying at home doesn't mean your home search needs to come to a standstill. You can do many of these searches right from my website:   https://www.thesmartrealestateagent.com

Let’s connect today so I can help you with all of the additional steps along the way, and get ready to make your next move.

COVID 19 - IMPACT ON HOME VALUES BY THE EXPERTS

These are uncharted waters - it's a challenge to predict what impact the current shutdown may have on home values. 

Some buyers are hoping for major price reductions because the health crisis is straining the economy.


The price of any item, however, is determined by supply and demand, which is how many items are available in relation to how many consumers want to buy that item.  You knew that, thank you for indulging me.

In residential real estate, the measurement used to decipher that ratio is called months supply of inventory. You may recall that I talked about this in the great recession we just survived.  This terms refers to the number of months it would take to sell all the available homes if no new homes came on the market.  A normal market would have 6-7 months of inventory. Anything over seven months would be considered a buyers’ market, with downward pressure on prices. Anything under six months would indicate a sellers’ market, which would put upward pressure on prices.


Going into March of this year, the supply stood at three months – a strong seller’s market. While buyer demand has decreased in the past month, the number of homes on the market has also decreased. The recently released Existing Home Sales Report from the National Association of Realtors (NAR) revealed we currently have 3.4 months of inventory. This means homes should maintain their value.

This information is consistent with the research completed by John Burns Real Estate Consulting, which recently reported:

“Historical analysis showed us that pandemics are usually V-shaped (sharp recessions that recover quickly enough to provide little damage to home prices).”

So, what are the experts saying?

Here’s a look at what some experts recently reported on the matter:

Ivy Zelman, President, Zelman & Associates

“Supported by our analysis of home price dynamics through cycles and other periods of economic and housing disruption, we expect home price appreciation to decelerate from current levels in 2020, though easily remain in positive territory year over year given the beneficial factors of record-low inventories & a historically-low interest rate environment.”

 Freddie Mac

“The fiscal stimulus provided by the CARES Act will mute the impact that the economic shock has on house prices. Additionally, forbearance and foreclosure mitigation programs will limit the fire sale contagion effect on house prices. We forecast house prices to fall 0.5 percentage points over the next four quarters. Two forces prevent a collapse in house prices. First, as we indicated in our earlier research report, U.S. housing markets face a large supply deficit. Second, population growth and pent up household formations provide a tailwind to housing demand. Price growth accelerates back towards a long-run trend of between 2 and 3% per year.”

Mark Fleming, Chief Economist, First American

“The housing supply remains at historically low levels, so house price growth is likely to slow, but it’s unlikely to go negative.”

Houses are selling & all signs indicate that the market is steady and will remain so. 

Contact me & I will help you navigate this new virtual buying & selling world.  I've been using these virtual tools for yearsto help my folks achieve their goals, and I will use them to help you, too.

BE SAFE...BE SAVVY...CALL THE SMART REALTOR

Can I View Homes Under the New Restrictions?

Real Estate has been declared an essential service here in NC.  This means we can continue to help folks who must move to find a place to live.  Whether you are a buyer or a seller, we all need roofs over their heads & many are relocating due to jobs, family, retirement & other reasons.

Today, I'm heading out with some folks to view homes.  I have plenty of wipes, sanitizer, towels, gloves etc.  I even have extra rolls of toilet paper in the back of my car!  Owners have approved the viewings, so we are good to go.  I'll miss hugging my clients (I'm a big hugger), but we'll do an air hug.

These people need to move.  They cannot wait.  

I am here to help you in whatever way you are most comfortable.  What's your timeline?  I am up-to-date with all the latest technology & ready to keep moving forward.  I'm conducting virtual meetings with folks who prefer so we can talk about their needs & goals & be ready for when things settle down.

Some of my services:

Thinking of putting your home on the market when all this is over.?  Get a free, accurate home valuation:
What is My Home's Value?

Relocating here?  Thinking of making a change?  Curious, bored, just feel like looking at homes? 
Home Search

Want to know the latest expert opinions about current conditions & market forcasts
Triangle Property Lines

I will continue my commitment to providing you the best service & will keep you posted on how things are going.

Don't hesitate to contact me for ANY reason!

Stock Market and Home Values

With the housing crash of 2006-2008 still alive in our memories, my clients are asking if I think the current correction in the stock market is a sign that home values are also about to tumble.

After researching expert opinions, it is clear that what’s taking place today is not like what happened the last time.

The S&P 500 did fall by over fifty percent from October 2007 to March 2009, and home values did depreciate in 2007, 2008, and 2009 – but that was because that economic slowdown was mainly caused by a collapsing real estate market and a meltdown in the mortgage market.  Homes were WAY overvalued & people were using them like ATMs to buy other things.  When values fell, folks were over-extended and had no equity (available cash) when they tried to sell.

This time, the stock market correction is being caused by an outside event (the coronavirus) with no connection to the housing industry. Many experts are saying the current situation is more reminiscent of the challenges we had when the dot.com crash was immediately followed by 9/11. 

As an example, David Rosenberg, Chief Economist with Gluskin Sheff + Associates Inc., recently explained:

“What 9/11 has in common with what is happening today is that this shock has also generated fear, angst and anxiety among the general public. People avoided crowds then as they believed another terrorist attack was coming and are acting the same today to avoid getting sick. The same parts of the economy are under pressure ─ airlines, leisure, hospitality, restaurants, entertainment ─ consumer discretionary services in general.”

Since the current situation resembles the stock market correction in the early 2000s, let’s review what happened to home values during that time.

The S&P dropped 45% between September 2000 and October 2002. Home prices, on the other hand, appreciated nicely at the same time. That stock market correction proved not to have any negative impact on home values.

If the current situation is more like the markets in the early 2000s versus the markets during the Great Recession, home values should be minimally affected, if at all.


I'm here & working for you.  Contact me with all your questions.

Triangle NC Real Estate Market & Covid-19

My heart goes out to everyone -- especially those at home with active children, seniors, healthcare workers, and local businesses.  We are all impacted by this pandemic and I would like you all to know that I am here to help as best I can.

To that end, I'm beginning a number of blogs on how this situation is affecting our local real estate market, what it means to you and what to do (and not do)..  here are some things to note:

A recession does not mean a housing crisis.  Homes are still selling and prices are remaining stable.  Things have slowed down a bit as we all adjust to a new way of doing business and there is some uncertainty regarding jobs.  There is no reason panic.

♦  Buyers:  I'm here vigorously keeping an eye on things and am available for you with video conferencing.  Here's how that works:  If you see a home you like, let me know.  I will set up an appointment & go to the home at a time that's convenient for you.  Then, via video conference (that I will set up), you and I will go through the home together so you can see what I see and ask questions.  All from the comfort and security of your home!

♦  Thinking of selling?  I will put my professional 10 point marketing plan in action for you to get your home seen by the right buyers, at the right price & sell quickly.  My listings sell within 2 weeks of going on market.  

♦  I will be happy to run an accurate Market Analysis of the current value of your home.  This way you can decide if now is the time for you to make a change.

♦  I will connect you with expert mortgage lenders who will let you know what your financial sitution is so you can make the right decision  You must be pre-qualified in order to put in an offer anyway, so let's find your comfortable price point.

♦  Tell me what you need, what your questions are and I will reply promptly.

I've lived through so many recessions and successfully ran a real estate business during the worst housing crisis in our history.  I was here for you then and I am here for you now.

Here in NC, Real Estate is considered an Essential Business.  This Realtor is IN!
I've got lots more info coming soon -- so stay tuned for the next chapter:  How is this different from the previous housing crisis?

Look out Spring Market - Triangle NC Real Estate is Booming!

The numbers are in for January, 2020 and the year is starting out with a blast!  Look out, Triangle NC Spring Market-- things have already taken off!


For you charts & graphs fans, here is the overview in pictures:

In a nutshell:

Some contributing factors:

• Mild & pleasant weather
• Interest rates still low
• Now is the time to SELL!

Moving forward:

• This is an election year.  The political atmosphere & instability is motivating both sellers & buyers
• January is usually the lowest month.  These numbers indicate that the Spring market will BOOM & competition will heat up
• Now is the time to BUY!

Let's get ready to sell your home!  Contact me now & I will provide you with everything you need (including accurate local market value) & guide you through each step of the process so you 

MAXIMIZE profit & MINIMIZE hassle.

What, Really, is the Most Important Factor in Choosing Your Next Home?

What, really, is the most important factor in choosing your next home? 

This is the moment where the home buying motto comes into play—location, location, location.

It’s important to keep in mind that once you buy a home, the condition of your home can always change, but the area you decide to live might not.  Or it may, but not in a positive way (eg, new highway nearby). 

Usually when someone buys a home, they want to stay there for a while, which is why location is a top priority. It comes down to what you genuinely need from a location, that way you’re settling in a home completely satisfied with everything necessary to fit your personal lifestyle.

Consider the following location factors when deciding where to look:

School District

This is usually a huge factor for people with children. Actually, it is huge for everyone as good schools affect the value of your home. Of course, you want your kids to be part of a great school district and get the most out of their education. Finding the right one will be an important factor to take into account while searching for your future home.

My Service:  You will be provided with all the info on our local schools, including rankings, how our system works here in NC and links to contact them.

Rural or Urban?

If you have lived in an urban community your entire life, going off into a rural area may be a bit of a dramatic change. If you’re really trying to get more in touch with nature and live a slightly less fast-paced lifestyle, then go rural! As long as you are confident that you’ll be comfortable with your new surroundings.

My Service:  I will listen to what you are looking for & make recommendations based upon my 10 years of Real Estate expertise & knowledge of our area.

Proximity to Work

I’m not sure I have ever met someone who has said, “I love my long and early commute to work”!, which is why it’s important to make sure the area you are looking to live in is a manageable distance from your job. This way, getting to work doesn’t cause them more stress than the actual job itself.

My Service:  You will receive searches based on distance from your job or other place you specify.

Price Range

Of course you want to jump in & start searching.  This is exciting!  The first step, though, is to contact a great mortgage lender.  You really need to know how much you can afford before you start looking.  And, sellers will require a Qualification Letter with any offers, so this is the first step to take.  You may be delightfully surprised to find out you may afford more than you anticipated, but it’s important not to live too far beyond your means.

My Service:  I work with several well-respected & experienced lenders who will walk you through the process & explain everything to you.  I also give you a list of lender questions to use in your conversations.

Distance from Extended Family

Everyone’s family is different, but consider a potential home's proximity to relatives.  Whether you’re close with your family, or there are older relatives who will eventually need extra care, this is important to keep in mind, especially if you plan on settling in the location for a long period of time.

My Service:  I will provide you with info on proximity to trains, planes & automobiles.  I will show you where the major highways are.

New Highway Proximity -- If, When, Where

Our area is growing rapidly and new construction is popping up all over.  We have several new major highways in the works.  You need to know if or how this may affect your home value & your quality of life.  

My Service:  You will receive the most accurate information on nearby construction.  This includes approved & proposed major highways, retail & residential.  I keep on top of this info so you can relax.

Make the Smart Real Estate decision when selecting your next home.  You'll be very happy you did.  I'm here to help every step of the way.