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We hope you had a great holiday season and that 2013 holds lots of success for you. When it comes to real estate, however, our wishes for your success are tempered with the reality of our local markets .
Kelly Holmquist discusses real estate at a recent workshop
You’ll be hearing from the experts about how well the market is doing, and indeed, it is doing better. Zillow, for instance, last week talked about their expectation that homes in the United States will gain more than $1.3 trillion in cumulative value in 2012, the first annual increase since 2006. Zillow looked at 177 metros and said that more than 75 percent of them saw “historic affordability and sustained investor interest” keeping “demand at a boil.” That’s great –if you happen to be in one of the neighborhoods they looked at where homes are increasing in value.
But others are sounding caution. Mark Zandi, chief economist at Moody’s Analytics and a well-known commentator on the national real estate picture, is among those urging caution. He warns that increases in inventory could steal growth away and that our economy, while growing at 2% to 2.5% over the next year, is basically stable. He also predicts a tough economic climate in the first half of 2013, especially if Congress can’t agree on getting nation’s finances in order.
I’m with Zandi. We are seeing some improvement in the market here in Northwest New Jersey. We’re seeing some stabilization in prices and we’re seeing some good inventory coming on.
But we still have a lot of homes – as many as a quarter in some area towns – being sold short and more heading toward foreclosure. Those buyers who already are underwater are too deep to be saved by any slight increases in prices and the potential for tax increases could push them further into debt. Our economy is doing OK, but we’re not generating that many new jobs in the area.
It’s a time to be optimistic but act cautiously.
So does this mean you should give up on buying or selling your home? Absolutely not. We’re able to sell well-staged homes that are appropriately priced and in areas with good schools and transportation for a reasonable price in a reasonable amount of time. The key is your definition of reasonable. That’s where a Realtor can help you. Realtors are experts at buying and selling homes in a particular market. They can help you understand what “reasonable” is for the neighborhood in which you’re listing or buying a home. They can tell you how to get the most out of the home you’re listing and how to get the best deal for the home you want to buy. It’s a time where a Realtor’s experience and expertise is a key part of the process.
Your first step if you want to sell your home or buy a new one is to learn what you can about the area in which you’re selling or buying and who the Realtors are who service those areas. Pick someone good and listen to their advice.
Buying and selling a home, even when done correctly, is never easy. While it’s not as challenging as it was a year or two ago, it’s still requires good counsel, homework, flexibility and patience.
It’s our wish that your real estate goals are all met during 2013…and our job to make that happens. If The Holmquist Team can be of assistance, please call us at (908) 867-7109 or email me at email@example.com.
Job opportunities beckoning from a distance are exciting, but in this house market, those selling a home consider their likelihood of success a major part of the decision whether or not to pursue one of those opportunities. An experienced Realtor can help you make that decision.
Recent figures released by the Otteau Valuation Group show some improvement in the real estate market since last year in Morris County. For instance, last month, there were 483 homes sold in Morris County. A year ago, there were only 439 homes sold during May. Inventory is lower and there are fewer sellers for each buyer.
Those statistics don’t mean much if you’re living in a home you purchased at the top of the market that will never sell for a high enough sum to off the mortgage. That can mean a quick end to pursuing a dream job out of town.
That was the situation for Kathy and Bruce, who have a business and a home in Succasunna. They have a terrific opportunity waiting for them in Derby, Kan. The couple knows they can’t sell their home for what they paid for it, and they are considering working with The Holmquist Team and attorney Marty Egan to use a short sell to sell their home.
“We have questions about the effect on our credit scores,” said Bruce, who will be meeting with us to discuss such issues.
The key for people like Kathy and Bruce is to find a Realtor and an attorney that they trust. They need advice from both, working as a team on your behalf, to decide whether they can sell their home through aggressive marketing, keep and rent the home, sell the home through a short sale or pursue another alternative.
All signs seem to be pointing to an economy that is slowly beginning to improve. That can mean the creation of new opportunities. If you’re thinking about pursuing them, if you want to get out from under an oppressive mortgage, or if you need to sell your home for any other reason, work a Realtor to determine if selling your home will be a challenge.
For instance, if you purchased your home 30 years ago, you don’t have a mortgage and you want to sell it and move to an active-adult community somewhere, your home needs a relatively simple but professional marketing program by a Realtor who understands the current market.
But if your home is “under water,” meaning it isn’t worth what you owe on it, you may face special challenges, even if you are current with your mortgage. That’s when you need a Realtor and an attorney with extensive experience with distressed properties.
With interest rates low and the market coming to life, now really is the time to put your home on the market. If you need help determining how best to do that, please give us a call.
Disclaimer: ActiveRain Corp. does not necessarily endorse the real estate agents, loan officers and brokers listed on this site. These real estate profiles, blogs and blog entries are provided here as a courtesy to our visitors to help them make an informed decision when buying or selling a house. ActiveRain Corp. takes no responsibility for the content in these profiles, that are written by the members of this community.