1. The high cost of land, construction costs and other fees associated with building are affecting many markets around the country. The NYT reports from Denver, CO the Housing Market Slows, as Rising Prices Outpace Wages. “Similar slowdowns have hit New York, Seattle and even San Francisco, cities that until recently ranked among the nation’s hottest housing markets. The specifics vary, but economists, real estate agents and home builders say the core issue is the same: Home buyers are reaching a breaking point after years of breakneck price increases that far exceeded income gains.”
2. THE PRESSURE IS OFF
Take it easy, it’s fall! “The frenzy of the summer real estate market has cooled by the seemingly very same breeze sweeping leaves off the trees across much of the country. But now may be a better time than ever for your buyer clients to do their house hunting.” Here is a quick reminder from Realtor Magazine that’s worth mentioning: 5 Reasons Clients Should House Hunt in the Fall. It’s a quick read.
3. LOCATION, LOCATION, LOCATION
If you are in your twenties, the idea of purchasing a home may not even be on your radar depending on where you live in the world. But here are REALTOR.com’s four suggestions for How to Buy a House in Your 20s—and Why You Really Should. If nothing else, it’s rarely a bad time to start planning your future. Finding a good REALTOR can also help you expedite the process!
4. TAX FLAW
I’m usually a bit leery when I hear real estate professionals say it’s a good time to buy. They/we can always find a reason or two to say it, right? Forbes just released an article: Here’s Why Now Might Be The Best Time To Buy A Home If You Earn More Than $100K. Maybe when you read it you’ll agree. “As always, you should do your homework and confer with a good accountant regarding your personal tax situation. With interest rates and home prices rising, if you’re in the market for a new home, now might be the best time to buy.”
5. INSPECTION DAY
It’s home inspection day and I know you’re busy but I think it’s really important you’re there. Here are Realtor.com’s 5 Crucial Questions to Ask a Home Inspector—and When to Ask. “But when you ask those questions is as important as what you ask. Namely, you should attend your home inspection and ask him right then and there. The reason: Rather than trying to decipher your inspector’s (very technical) report, it’s much easier for this pro to actually show you what’s going on with the house.” You should get an official report in a couple of days, but you may be able to get started but knowing what is going to be on it will help you move in the right direction.
6. MANHATTAN PROJECTS
CNBC reports Manhattan real estate prices have dropped double digits the last four quarters. So that means Manhattan real estate is now in a year-long correction “Prices fell, inventory jumped and discounts were higher and more common. Real estate brokers say the Manhattan real estate market is suffering from an oversupply of luxury units, a decline in foreign buyers and changes in the tax law that make it more expensive to own property in high-tax states.” Did you know the average sale price of a one-bedroom apartment in Manhattan is $815K?
7. JUICING THE NUMBERS
Who would have thought? Mortgage fraud is getting worse as more people lie about their income to qualify for loans. “A casual search will result in any number of online services that will not only generate fake pay stubs, but will also answer phone calls and “confirm” income verbally, all for a fee.” CNBC just gave me a Realty Check!
8. TOKEN APPRECIATION
A First For Manhattan: $30M Real Estate Property Tokenized With Blockchain. Ryan Serhant, bestselling author of Sell It Like Serhant and star of Bravo’s Million Dollar Listing New York told Forbes “The market in New York is always strong, but it can take some time to sell for the right price in a new construction building. With blockchain tokenization, we can remove the unruly pressure of traditional bank financing, which is much healthier for the project and all of the stakeholders. Tokenization is paving the way for a new forefront in real estate development.”
9. ARRRRRR…GH!
Augmented reality, really? Have you heard about this? No more open houses? How AR will affect the real estate industry. It’s devices communicating with each other to place digital images around a house. The tech folks designing these devises are no doubt genius, but Venture Beat reports them saying ”A challenge that realtors face in selling a property is effectively telling a story about what the property could be, instead of what it currently is. This often leads to a loss of time and resources for realtors. However, AR can help realtors tell a more compelling visual narrative about what a property can become, which can save time in closing deals.” Is that not what Realtors do best? Interact with their clients face to face and guide them through the process.
10. TIME SAVER
“The web is your friend when canvassing for a real estate agent. There is a wealth of information about brokerages and agents at your fingertips, so search digital real estate websites to see what other people, especially prior clients, say about a particular agent.”WaPo just posted a great article; How to choose the perfect real estate agent. Remember, there is so much noise out there, and many people find and agent only after they search homes. I believe if you first find an agent it will save you a great time and energy in the long run. Narrowing your search to only a few agents who work in your community of interest is a much better first step of the process.
Have a great weekend!
