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Real Estate Today 4-2-16

Apr 3, 2016|

Opening doors for buyers and sellers with critical and credible information on the real estate market. Fast paced and fact packed with experts, interviews, call-ins, field reports, and timely market conditions.

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This is. Real estate today. The number one the real estate show on. On the radio. Welcome to real estate today. Backed by the professional experience of real tours from across America for your most trusted source on the radio for up to date real estate information. Realistic today is presented by the National Association of Realtors. And Israel for members in your neighbor. Hi there I'm Stephen gas way and today our spring market series rolls on. When our special show that sell bad counts all about how to put your home on the market and get it sold. With expert advice on getting it done fast and for the best price possible. The fires are out there and will make sure you're ready to open your doors sell that house. Is straight ahead. Our first. Let's go to the realistic today newsroom with Bill Thompson cartels are even. As many as 50000 American homeowners may soon be eligible for a reduction in the principal on the mortgages. According to the Wall Street Journal the plan by the Federal Housing Finance Agency. Would let Fannie Mae and Freddie Mac reduced the balances owed by homeowners still struggling after the housing crisis. However this has been a red hot issue with critics say such a move will allow people to walk away from money they legitimately borrowed. So the same day that story appeared in the Wall Street Journal Mel Watt the director of the FHFA. Said that no official decision has been made on principal reduction yet. And they said taking it off the table entirely remains an option. So how healthy are America's homebuilders. Jerry Howard CEO of the national association of homebuilders told Bloomberg TV that overall margins have been tighter this. Because of the cost of wind and the cost of labor when it is available. So that's pushing things a little bit and when you get pushed so far down. The particularly in the first time home buyer market because only lower the prices so much before it's not worth building that houses and that's why that's segment of the market. It is seeing some fits and starts in the recovery. Howard also notes of the availability of credit for home builders themselves are still pretty constrained as he puts it as home builders look for that to be eased soon. As we reported recently here unrealistic today the nationwide real estate scam is costing homebuyers third down payments. It goes like this your days away from closing on your home purchased when you get an email that appears to be from your realtor or title company. With new instructions for word or wire your closing cost. Don't all forest the federal trade commission and the National Association of Realtors say it's a sophisticated scam the two caused homebuyers thousands of dollars. They say don't email your financial information because hackers can get to it. And be cautious about opening email attachments or downloading files. Boston Pittsburgh and Washington DC. Seemed to be the most attractive places right now form millennial looking to become homeowners according to a new report from Lending Tree. The company analyzed mortgage request for consumers aged 34 and under over the past twelve months to come up with their city rankings. In Boston Lending Tree says more than 52% of all purchase mortgage request came from millennial. In Pittsburgh and DC it was just under half. Other markets that do well by millennial include a morning Minneapolis. And Columbus, Ohio. Coming up and half an hour more top real estate news Stephen back you. Thanks bill. And we have some good news for you want contract signings around the country naroff. The national association of real torch reports. Pending home sales rose three and a half percent in February over January. A solid gain in contracts have been signed. But which have not yet gone to close. Joining us now with more on these positive real estate numbers. Is Daniel hailed the managing director of housing research at the national association of real torched hi Daniel welcome to the show. Thank appeared that the going to be here. Daniel a solid increase in contract signings. What's behind the jump. A great leader of Reebok contracts that it would take up solidly from January according to that they are technical doesn't act. It is big drivers of that increased where mortgage rates dipping to their lowest levels in nearly a year and a lot and compete and I'll take an inventory. Now looking at the numbers we had a month to month increase. As I said of three and a half percent. And a year over year increase of just under 1%. Now what does that indicate for the housing recovery is it still on an upward track. I think he'd remembered do you ignore that the housing market is still moving under a bridge track but not quite as quickly as he got 2015. Bradford had a pretty good Peter we had a strong bounce back at home sales. They are up six point 3% for the whole year they reach the highest level that they'd seen and I ears. The problem at higher level of sales we expect decent continued forward movement but just not quite at a breakneck pace that we are 2050. I see now these new numbers are especially welcome. Considering we had a pretty rocky February with existing home sales which dropped a good bit. But these new pending home sales numbers represent a brand new cycle is buyers start lining up for the spring market. And take heed and use that earlier pending home builder based on the contracts signing existing condos are based on the closing the patenting is really just the first step and I had to go home buying cycles that actually lead to deal. I'd say Al. Our early in the year there aren't any arms that are on the market. And also it's just difficult to get a clear reading the housing market is tired and tellers are making it but he can't action early in the year now. We weren't sure that the January we that he thought pending in the February we get these darn close bill if that was really meaningful for the spring market but. But he can do February pending merger telling us that we're still on pretty solid ground we need a little up whittled down but it wears Dylan hang on to that level that's. Just about last year so I think that means good interest. Danielle let's take a virtual tours around the country. Looking at pending home sales in the four corners of America. Sure well wolf started the northeast toward contracts betting activity actually flipped a page in January but aren't huge recovery from one year ago. Depending index was down zero point 2% from January has in fact I'd let. They deduct twelve point 6% from February 1 year ago. And nearly did the Boston area can look up their windows and explain app search and sure. Are they went from one of the knowing it's February on record to order a milder winters on record at that picture that got to get tracked on. Contract outings because he can't if he can't get out to eat out it's very unlikely that you're gonna put a contract talk at. Moving over to that midway actually got strong bounce back from January depending index was up eleven point corporate fat. We talked a mild interpret every year ago I too would have respect game. Down south. We got pending an outright evenly from January there are two point one pretty bad. There's slightly lower one point 3% a hybrid they weren't February 2060. And discount at a really strong Tony sixteenth so that might explain the literally despite her being there. And finally it last week sock fight gains from Bud Black spots that last year but what what are spat which suggests that elected to kind of moving forward just gradually. Looking ahead Daniel what do these recent pending home sales numbers suggest. For the spring market and the rest of 2016. Well I would say depending data is that strongly for the last term last month completely for a year ago. We got we can't count in February as you mentioned at a very strong march 2015. I think that closed until term RD twenty nicotine are probably headed. Higher from our week of February. Little bit tired maybe from a year ago maybe baby replicates in marble. But that was such a strong level that'll be good niche and a market. Whether the rest of the spring to keep that momentum will really depend on whether it was to come to market. Potential buyers need options and then I get the keys optic that we need recently and inventories are still quite tight. Are there are some kind of a kind construction housing starts to go much bigger than normal beat Ford. Is that really slowly grinding up where it. And it segregate it was quite strong for how to start the got a good news that'll help bring inventory to market and create options and opportunities for buyers that are out there are looking. Neil pirated scene tech the year it's been several steady years of job gained. But the modest growth though and they're out there they're looking at Asian need options to back. Danielle hailed the managing director of housing researcher at the national association of real tours. Danielle as always thank you for joining us on realistic today to be here. Coming up unrealistic today. They quick start guide to selling your house in the spring market. Heat food does the work reaped the reward. That's straight ahead right here on realistic today. Really hate today. Because knowledge is power. Welcome back to real estate today and our special show. So that counts a full program dedicated to help you sell your home. In the spring market. For the maximum profit in the minimum time. Not today in many areas it is a seller's market too many buyers and not enough homes for sale so your home might so fast. And for an excellent price but that's only true if you gated in great shape and price it right. If you don't you could just sit there month after month without a single offer let's talk about doing it right now with a pro. Joining us is Suzanne Brodsky real chore with re Max executive in Alexandria Virginia. And at the 2016. Chair elect. Of the Northern Virginia association. Of real torched Suzanne welcome to real estate today thank you so much and happy to be here Suzanne if I'm selling my house in the spring market 2016. What are the first step I should take. The first steps you should take are to find it wonderful real estate professional hire a realtor. If you're starting out. What you mean wanna do is get some suggestions from family and friends. This is a business about relationships. You need to find someone you can trust to help you achieve your goals no matter what they may be. If I wanna pick us sky high priced because I've heard it's a seller's market. Can I do it. Yeah you can pick a price she want. If you want to sell. You're gonna get educated. On the market your realtor is gonna help you. With market statistics with the comparisons of other properties in your specific area because lake politics. All real estate is local and you really need to bring it down as close as you can to your neighborhood. It's not just the Tony it's not just the zip code it's hyper local. OK so you have to price it right next up the condition of the house. If it's a seller's market can I just put a for sale sign out front and expect someone's going to buy it. If you lists to trying your condition isn't good you're kind of heading towards you know big danger Will Robinson danger Will Robinson you know column warning signs are going off. What you have to realize is you're very savvy buyer who's looking honest followed was looking on his tablet is looking on the Internet. Watching the wonderful HTTP. Where everything mean she looks like a model home. And that's really has conditions in the hasn't decade it's created buyer expectations. They want it turnkey. And don't say they've been spoiled that there expectations have been created by what they've seen on television. And there are expectations have been created by where they've been living in the you meant right they still still anchor tenant in these tiny apartments or they're renting. So they're used to it they just expect we'll fight to rent it and I'm going to be paying roughly the same amount to own it I wanted to get here. So far we've been talking about possible mistakes pricing your house sky high without any data to supported. And letting your house just so as it is without fixing it up now let's look at how to do it right. So you have a client who wants to sell their house maximum profit in the minimum time what you're at. He hoot does the work reap the reward conditions everything. You know full disclosure I'm Ager went crazy and you know don't buy a car that I can't hit a sofa and aging is really critical because whether we like it or not. Seven days a week 24 hours a day you know he would need buyer can look at pretty pictures. And pretty television shows and house and garden TV word the properties have been staged where. There in beautiful condition so you have to get your place looking as good as those houses on TV. Now what else couple things we know our pictures are critical. The videos critical sellers likely want video and not that many agents are doing it. But it be funny YouTube is one of the top places that buyers go to to look for information on property so should a beautiful video home. You're gonna have a chance of engaging more views and getting more people to come to the open house district things like somebody to buy. Price condition and location and you might give up one you know because one. TU. We know we. The next generation of buyers locations Keith. So that's that's the things you've got the perfect location. In your problems with earlier praise. Where your condition all right so you've got a new listing is priced right it's in great condition. And it's being shown by individual agents and at the open how ended at the broker opened. Tell us about the broker open. When you open house signs is your driving around on Tuesday after union here and eat some kind of know what they're doing is they're bringing people in. Either right isn't being listed. They wanna be getting feedback they are doing their best to your wonderful real estate professional who is putting their best foot forward. They've invited people live parties sold in that neighborhood that have listed other homes in that neighborhood. People that are familiar with it to create energy and excitement to get them to bring their clients. So how you do things like a couple weeks ago had an Easter Egg Hunt in my broker opened. We hid eggs around the house and sleep in you'd open an up and there'd be numbered and be apprised gimmick bottles of champagne and fun stuff. QL as a gimmick to kind of get people to come you're trying to educate your peers about your new listing. That they will bring the right buyer. And the other thing you're trying to do is sometimes Mimi you're getting feedback from them they'll help you give information to your dollar. About pricing the house correctly or about improving the conditions to get the maximum value because as a set at the beginning. He who does the work read the reward basically makes the money. There's anger out ski real sore with re Max executive and Alexander Virginia. And the 2016. Chair elect of the Northern Virginia association. Of real torch Suzanne thank you for joining us on realistic today well thanks for needing heroes fund. Coming up unrealistic today. Setting the stage for your home sales we're only here on out is if you had a parent and right or that's coming up on our special show. Oh back house. But first it's time for our Smart home technology report. Today were talking with film public real short with century 21 advantage goal in the greater Philadelphia area. Villas are real estate technology leader having written NAR's team pro course. Bill teaches real tours and industry professionals about technology. All over the United States. I met up with bill recently at a conference in Texas and asked him about one of the hottest new trends in Smartphone technology. Voice activation. People are familiar with Syria and Krypton on the iPhone and windows ten and of course Amazon has come out with the Amazon echo which is named Alexa if you choose to call. The nice thing about a voice activated device. Is that it's really easy for us to come in and request things of our home. Alexa eternal my lights Alexa turn off my lights up in my garage door closed them. And the Amazon echo. Which is uninteresting can act as a Central Command post for a number of other Smart devices. That handle lights handle your garage doors handle other things within your home and has programming capabilities that they're working on in the CRT lab. They could actually allow media to walk into the room and say election turn on the TV I'd like to watch HBO and see a comedy special. And it would then handle all of that for me. And this is not a theory you use this every day in your homes are absolutely I've I've had an echo since they came out and I walking in my kitchen in the morning and I get the weather from elects I find out on how long my commute is. I ever turn the lights on and off in various rooms of the house. When I come home in the evening. I have smile lights so my lights go on at sunset. Now when I come home farm need to have them turned off. I'd walk into the kitchen and I say Alexis turn off all the lights. She turns off all the lights a sale exit turn on the night lights and the lamps are lit in the path to my bedroom. I walked into the bedroom and I am all set up at because Alexis taken care of my job forming why is this better than just coming in and pressing some buttons. 'cause it's awful cool. And because there and frankly imagine coming home. Walking up to your door. Walking in the home and your your arms are full you're carrying bags some and you just feel like listening to little music. You'd like how the lights on in your family room while you're on packing or you wanna know what the temperature is before you go out in the morning it's just really easy to ask. So if this simplicity like we've any technology it's the simplicity of little drive the adoption. Bill also raises a really important point. If all these Smart devices in your home monitoring environmental factors such as fear quality. We'll sellers have to disclose that. A big question as Smart home technology becomes a standard component and more American homes. Real estate today connecting you with the real estate professionals. Every week. Welcome back to real estate today and our special show so bad it's. Please step by step got. To selling your home in the spring market 2016. Today we'll talk to experts about what you can. To make the buyers lined up at your door coming up one of the most import. And things to do before the for sale sign goes up sell that house is straight ahead. But first here's Bill Thompson in the realistic today newsroom Arbil price even. More of your fellow homeowners are Hispanic. New figures from the Hispanic wealth project and the national association of Hispanic real estate professionals. Find that the rate of Hispanic homeownership rose last year for the first time in six years. Their report shows that the Hispanic homeownership rate averaged 45 point 6% last year that's up point 2% from the year before. Association president Joseph Neary says quote policy makers and the housing industry need to recognize that the face of homeownership in America has changed. The National Fire Protection Association NFPA. Is trying to persuade more home builders to include fire sprinkler systems in new construction. A newly released video addresses what the NFPA says are misconceptions. That make builders resist sprinkler so just cost. Connecticut builder John Dempsey says the NFPA convinced him. Are we really thought that it was gonna cost forty to 50000 dollars per house news or what system and I think we're I think we can what the number of dollars that you were far. Vienna BA says home fire sprinklers save lives and property. In Fargo, North Dakota one bank is trying something new to help homebuyers who were also burdened with student loans. The forum of Fargo reports that gates Citibank offers 1% interest student loans to people who finance a home through the bank. Most student loans have interest rates of four and a half to 8%. The bank started offering the program in November. Seattle's condominium market is a case study of how low inventory can drive home prices and affordability. MarketWatch reports that as tech workers flowed into the market to work at places like Amazon Microsoft Google and FaceBook. Condo prices in Seattle and jumped 21%. In one year the median Condo price is now 385000. Dollars. Coming up and half an hour what is sending more homeowners to the suburbs. She's been back to you thanks bill. If you have ever walked into houses that are for sale you know. That sometimes one place in particular seems so much nicer so much more welcoming. And so much more like home than all the others and quite often that home is the one that's been professionally staged. The research shows staging works. It brings in more offers in usually results in higher sales price compared to homes that have not been staged. Let's talk about aging now when an expert joining us is Karen eubanks owner review bank staging and design in Dallas Texas. Karen staging career began 22 years ago when a realtor friend Astra to fix our house she was selling. And Karen's been fixing homes for they'll ever sent. Karen served as the president of the Texas State chapter of the real estate agent association. And was honored last year as a real estate agent association's. State president of the year Kerry and welcome to real estate today. Oh. Boy with that background it's clear you are a danger amongst agers. Well I got little long time he would interpret it. Karen let's talk about the big picture here if I wanna sell my house for the most possible money in the shortest possible time. Noticed aging help make that happen. Well he's gone about it if you catch on and it's cart or. Though if your house that was great and we want to commend he and and quiet. It very simple you you're out become a commodity. On our coma like these are your car. He wanted to see how that car you need to eat out how not what Beijing does you. So Karen in your experience. If you take two homes in the same neighborhood the same size and even the same design one is staged. One is not. What happens when the buyers start coming through. Per Bob are gonna look at our home online before they ever cut he so and one need to do to create and England have missed you eat your home. Is it quicker that out and out and I have to actually aged aunt knew that it is important being blocked and somebody will eat this stage out and then call the roll on bag are you might think not. Or it I know that sometimes Karen you're able to just to re organize the existing furniture. But sometimes you emptied the whole house I wrote in start from scratch how do you decide which approach to take. Well we welcome indeed all out Pavel we find it there's really change Bane of the aging their arms client wanted to make and occupy EGR a aren't way. The the largest portion of the market because of cheap talk you out if I didn't even more content at least yeah. The IQ that they can carpeting on the UR a had to relocate a corporate relocation and they actually move on your furniture. That's a lot more expensive. A degree in F and it's much more worthwhile and not Beijing. Can we capture and utter crap we have to understand what are in the cab that you aren't bringing everything you're bringing them. The furniture the Atlanta and I'm a towel but flowers everything need to look like. You know beautiful compliment monolith and he wanted to know about mad at me. So if you do that if you make my home looked like a magazine. Can my family and I really still live there. Sure and that it easier and can budget picture out for me you know it's teenaged daughter. He works forty Bob Welch and they or whatever. I'm gonna get a caddie our own art or. Well mark or you know as time marched a little bucket caddy. Could other there's an imminent pandemic and unfortunately your agent call as he showed me an hour. You're immediately in the way you're not trying to. Yeah and it created yeah our problem my arm and try to amend or huge kick back at what your curse on items and attend the yet we find at the time we pocket up and in hand he termed our kids that's. Company that we use. We've got sores or item. People will come back and say you know my tax cut but we're not armed and media cutbacks. At living with black has more. Neither of us but. I noticed aging has a big range in terms of the price point. But if someone's selling their house Ken may wait until. Closing to pay you. And hatred are independent people. You really you don't want change that much that the agers he earned not that high and kept plugging it kind of a long arm to wait and the gators aren't you. I. So Karen if one of our listeners wants to learn more about home staging. I imagine you would suggest they call a member of the realistic staging association. Yet I can find out web site at the real kick it cupid issue and on all I need your other greatly horse. Why do you crying national petition rare earth. H one it incur a file of agent at the barrel on line. Dotted Karen thank you so much for joining us today our special show Al bath house. It might Karen eubanks owner of you bank staging a design in Dallas Texas. And the former president of the Texas chapter of the real estate staging association. Coming up on realistic today. How social. Are you into the chase right at the but he's one dollar and reach out of that and 8000 people. That's coming up on our special Charlotte sold our house. Right here. On realistic that. This is real estate today. 100%. Real estate 100% of the time. Welcome back to real estate today and our special show so that helps to. Filled with professional strategies and tactics and techniques. Used by real tours from across America to help their client so fast and so high. And right now we're going to talk about a big part of today's world and what it means to your home sale. Social media and how it can help get the word out and create a buzz about the home you hoped to sell. Joining us now is Danielle Riley real chore with north Nagle real tours in Rochester New York. Danielle was awarded as one of the nation's thirty under thirty are realtor magazine. Which recognizes the country's top young real torch Danielle is also president elect of the Rochester women's council of real torch. Danielle welcome to realistic today. Think you and thank you for having me back again we're delighted to have you Daniel first of all. Business all its pretty busy right now on and Rochester and I'm also hearing that from realtors all over the country that inventory is extremely well. Or wait many buyers and not enough dollars but if you have a house that Al Mal is that I. Danielle when it comes to social media and real estate a lot of people think they need it. But they don't really know how to use it so let's start there if I am selling my house and you're my real tore. What would you do in terms of social media. Well the first thing that I would do at your real turf would be correct and on speed up and make ignorant teach. You can change Ike and that between twenty dollars and reached up to 50000 people. But more importantly I would actually encourage you live but Pilar Teixeira at your home each. Wheatley I didn't mean Warren marked its path but that argue poet pack your. Not only are you letting everybody at your life no touch. More importantly someone you know whether or a friend or AME Courtney berm I know somebody as looking at my house near air. Let me ask you question about that one guest recently told us that he doesn't believe people buying houses. Look for them on FaceBook. So that brings up an important point if your house is on FaceBook Twitter in sister grim and more. Is it good or is it annoying. Well I partially agree with that they I don't think people lobby and speed up every morning to chat that the error how that are dealt because they order batter what I did. Pork would that be bad. You know if somebody is growing your feet bark and they even health but for now and are in the market I want you like a teacher and at the right time when our. Amateur cop eager. 88 get a tip to add. Yeah I think you know a lot of agents and eat and do more and more of their their panning out it went in and beat up Twitter in the grand YouTube they're they're putting. In ivory social media site popped balk. It definitely get going but it does mean tactic work I would invite people personally own pocket aren't they are all our other platforms. OK so you put the house on FaceBook. And then is it just photographs or is it also videos. And if you're doing videos. Are you also putting it on YouTube. Well I think you know my marketing plan personally I put your house everywhere and anywhere but it can be seen but it always gonna touch the purse. Need to EX what I'm noticing what people expect most users are more likely to watch and actionable big EL aren't eight spoke rather than without our country. We're in an instant gratification society nowadays people don't wanna have to take that extra that. Touch a wink and wait for it how well. The what you're gonna put a video out of state opt out here how are your virtual tour I would mean about plea to do it it actually upload the video break in the state of. Danielle here is a tough question in today's world. Could you sell a house. Without any Internet without any social media without any on line presence. I probably try to. But yeah I ate in general I would not have believed not I don't know that statistic spotted but I would venture to say at least. 80% of buyers now what they are looking out of line and you know nowadays the technology in the Internet how convenient it is for everybody I don't see how we would be able grabber go back to not having. I don't understand is that well and so I'm so glad to have you on the show joining us today thanks for being here. I don't think. Danielle Riley real Ter with Martha Nagle real tours in Rochester New York. And one of the nation's thirty under thirty real tours. Recognized by real to magazine and also the president elect of the Rochester women's council of real torch. Coming up on realistic today with a neighbor tells you you could get a half million dollars for your house. Is that really the way to set your price. We'll have that story straight ahead on realistic today's special show sell that house. If you're hungry for real estate information and follow real estate today on Twitter to share segments. Listen to them again and be the first to know what's on next week show. Just search real estate today on Twitter. This is a real estate today. Location. Location. And information. Welcome back to real estate today and our special show. Sell that house a special in depth look at shelling in the spring market of 2016. You know we always say the most important part of your sales strategy in any market is setting the right price. Too low you're just giving it away. To hide the place will sit there week after week month after month. Just look at the signs in the front yards houses that are priced correctly will quickly go from forced sale to under contract to sold. While houses that are priced too high eight. We'll go from a forced sale to the dreaded price reduced to you wanna avoid that at all cost. So let's talk about pricing your home right starting with a five ways you should never price your home. Number one a neighbor comes up all your doing yard work and says while your place looks great I bet she could get 500 for this place. You'd be amazed how that number. Dix. And a neighbor's casual comment is not the way to price sure home. Number two say that you spend 350000. Dollars on the place and then put in another fifty fixing it up. According to your math you need to get at least 400 when used well. Are your math is solid but the market will determine what you get for your house not your home improvement receipts. Number three your neighbor sold their house and hey you've got to get more than dated after roll your place is much better. Really felt that might be true but competing with the joneses. That's not a great way to price your home. Number four you hear how she won a buy in you figure to get it you have to sell your place for X amount. No that won't work again the market will determine the value of your home not the cost of your next play. And the number five way never to price sure house is just seeing how high you ago. If you just pick a sky high number out of the year. Well the buyer's agent will compare to the comps and so will the appraiser. And it won't fly with either one of them. No it might work when it all cash buyer bites well. Good luck. So there you have it the five ways never to price your home. So how do you prices well that list is a lot shorter just ask your real tour. They'll researched the cops what has sold for how much and how long it took. Also though looking to what's currently on the market after all that your competition. Plus don't know which properties have not sold. That's good data to your real chore will put all that information together and recommend either be price range. Or an exact price point. No it's not guesswork it's not what if it's pricing based on solid information about what's happening in your market right now. And that's the best way to arrive at a correct price when you decide. To sell that house and. If you'd like to hear more realistic today's special show so that house. Either stay tuned for join us online at our ET radio dot com. And from all of us here at realistic today thank you for listening. If you're realtor you can put the entire real estate today show on your web site. The best real estate show on the Radio One 100% free to any our members and just go to RE ET radio dot com and click her wheels. This it's real estate today. The number one the real estate show on the radio. Welcome back to real estate today. Back Fred professional experience of real tours from across America where your most trusted source on the radio for help today real estate information. Real estate today is presented by the national association. Of real tours and Israel were members in your neighborhood. Hi there I'm Stephen gas query and we have a great show for you today. So that helps the latest part of our series on how to pride in the spring market 2016. We're talking to experts today about how to sell your house for the maximum profit in the minimum time. Sell that house is straight ahead but first let's go to the realistic today newsroom with Bill Thompson tied bill. I Stephen. Request for a affordability is driving more people to the suburbs of real estate analytics provider redskin. A rapid increase in home prices in urban cores is what's behind the suburban push. Redskins figures show that last year the average homes sold was 4% further from the sitting senator in the average home sold in 2011. And not surprisingly in markets like San Francisco and Austin the outward flight there's even more pronounced. A home sold last year and either of those areas was on average ten to 12% farther out than one sold for years earlier. The number of affordable neighborhoods in America is shrinking. New figures released by realty track revealed that 9% of the 456. Counties they studied. Are no longer affordable as measured by those county's own historic definition of affordability. That's up from 2% just a year ago. Realty tracks senior vice president Darren blonde Crist told the Wall Street Journal there may be a bigger concern. Even though only 9% of counties are unaffordable by historic standards there's so much spears statement at Canon's 60% accounting. Better on that path toward. Not being affordable because I don't pres growth is outpacing wage credit. Lungren says the recent drop in interest rates has helped too as he put it soften the blow high flying price appreciation in some markets. Nearly six out of ten new homes started in the US and 2014. Were built in a community or homeowner's association according to Census Bureau figures. The highest proportion was found in the census bureau's mountain region 76%. Of the new homes built in Arizona. Colorado Idaho Montana Nevada New Mexico Utah and Wyoming. We're gonna community association. New England at the lowest share at 21%. Coming up and half an hour why one southern towns would rather build houses the multi branch. She even got do you thanks bill. The spring market 2016. Is now underway. And the big headline is interest rates. At a recent meeting the Federal Reserve decided to leave them blow which means mortgage money remains incredibly cheap. Both for purchase loans and refinance loans. Let's talk about interest rates in the spring market now where an expert doctor Kwame Donaldson is a senior economist at Moody's analytics. He tracks the nation's housing industry with a special focus on home values across the country. Before joining Moody's. He was at the United States Census Bureau where he worked on their American housing survey Kwame welcome to real estate today. Happy to be here thank you limitations. Well we're glad your here let's begin by talking about interest rates. They remain at near record lows as we approached the spring market many buyers are undoubtedly thinking this is V time survive. So what impact Lebow's low interest rates have on this spring market 2016. Well low interest rate give homebuyers more indie power they all the lower the affordability for our own well when general low interest rates are great or bad housing market we should expect outright. And home values to increase cup which featured. Other positive factors for buyers. Mortgages remain easier to get lenders are allowing in many cases lower fight FICO scores and lowered down payment. And even lower mortgage insurance premiums. So millions more buyers can get into the market it looks like it's going to be a very active spring market. What true. We do speak some encouraging aren't due to the lower interest rate but the problem is that a lot of people are but burden our way. You don't loan debt and other negative affect their balance sheet old. When should be good but I believe that next spring break when it appears to be good but went when he comes he should be even better. Well that's interesting too we talk about that a minute why. Would you think that a year from now will be even better than this spring market. We do you have the issue where a part time home buyer especially being burdened party you don't loan that other debt of the other issues that we're just now getting to the point in the bit of cycle where wages are tolerated. Wire canal we had a lot of job growth but not a lot of wage broke but of course we need wage growth for people to be able to pay what we're down to a match and to make the other in Bachmann not Perry to become a homeowner. So we need to be seeing happening this year and getting much better. That cheer at the labor market is reaching full employment now Whipple employment should come right way to. That's interesting now another challenge we have in front of us is inventory. You know we're truly in a seller's market all across the country. With too many buyers and not enough homes for sale. So from what you can see is that happening everywhere or are we just talking about the hottest markets in the country. It is happening everywhere it part of the problem meant that. He input Q home building in other words that being big builders need in order to put up home they need to acquire a contractor and electrician the plumber. Beat people even at these type of worker. Our NG quarter apply. Now Ben and deviate there's the cycle but the point in the recovery oh and the reason why we need such limited inventory is because we aren't being the construction of new home building that we would ordinarily be in the age of the big spike when part of the reason why is because the people who help older build homes are departed far. We had the homebuilders are not too long ago in the way they put it. They're challenged in the three fell lot. Lending and labor and that's exactly what you're seeing is well. Of course low supply and high demand is also driving up price it. And without enough new home construction it appears were stuck in a low inventory situation for the foreseeable future. What do you think about inventory will it lighten up any time soon. We do see inventory getting better. The advantage of having high priced at that it does encourage. More people to build a billion encouraging boulders to participate more in the market to do what they do the right now you're right home inventory building inventory implement it but I should be relieved at the at home prices Barton pricing and urged marbled into the market. You know those rising prices also encourage more homeowners. To put their places on the market so maybe we'll see more sales activity that way as well. That's right and what I'm one of these homeowners on the market and I the united in my own case that the higher prices have encouraged me to what might help in the market resilient movement to a different location let me just being more of that nation wide as wages increase in the debt burden our relief. Well moving ahead Kwame why will it be better in 2017. Kwame. What you read and actually threw me. We have with the fact where they're in debt that people craft should be alleviated in the future that that people will live another year. The pay down their debt will feel more confident about their balance sheet. There's that we all know I have to keep the tape but it brands are higher now. The name of well ever been before. Even adept at or inflation we are at the rental market is extremely tight. And so that make you Brent Burton by decision and a lot more beneficial from home buyers. What we should be home buyers entered the market because. It will just taped all of our home person paying higher and higher ranked. And in the final reasonable people would guard from the lap how big downturn and people don't remember. There holy always you know 102030%. And I'm okay but that affect. Should trade that we hear from the mom bought. One Kwame thank you for joining us unrealistic today. As does bring market gets underway thank you so much unity don't doctor Kwame Donaldson senior economist at Moody's analytics. On the spring market 2016. Coming up on realistic today. How do you really know that the price is right. All the marketing in the world and it's not going to foul and over break home got straight ahead. On our special show snow back. This is real estate today. Because it's not just a house it's home. Welcome back to real estate today. In our special show so that house. An audio. Instruction manual to selling your house for the maximum profit in the minimum time. Were asking some of the nation's top real tours how to do it right in the spring market 2016. And right now the single most important decision you'll make when you put your house on the market. And that is. The sales price. Price is key to a successful sale. So let's talk pricing now with a pro. Joining us is Jennifer Pina the associate managing broker of Atlanta fine homes Sotheby's international realty in Atlanta Georgia. Jennifer is also the vice president of professional development at the Atlanta abortive real torch Jennifer welcome to real estate today. Thank you for having me back Steven. We're glad you're here Jennifer let's begin with how important pricing is to a successful sale. What happens if I get it wrong by pricing the house too low or too high. That's a great question the event I like to count my client. That Oprah prayed in a property is because of death all the marketing in the world is not going to sell overpriced well. Statistics show that the first few weeks on the market our granola Ingrid. Maximum exposure in terms of our triple. And property click report a patient. What this means to you is if you wait until after that golden period at app. To make it that the Carey Price adjustment you're not bad at that as much at the Buick right it correctly to begin at. You could never regain the exposure of the brand new look. If you correct upright people will be that it had been reduced back into law the shiny new look speed data don't want pat. OK so Jennifer how do I get it right what data does my real tore seek out. To make sure our pricing strategy is correct. Where your realtor will be so valuable is your real promote and expand the search through all the old hump in your area to determine. Which of those pounds are most compare what's yours. They're looking for homes which are close but didn't proximity than most people are and I'll each side neighborhood condition. A real turn knows what tried valuing you our market area did you go amenities that location. Taking all that indicate adoration able completed comparative market out there to show you what the home which are among the marquee or old or. And they will make adjustments but the difference is between a home. To come up with a recommend it must right or right brake. Jennifer the one comp that may be okay. But it may also be absolutely worthless. Here's what other homes are listed for. That number may be based on solid data but it also may be based on absolutely nothing they could have pulled the price out of the sky. But it's still represent your competition so what's your view. On the worst or the lack of worth for the listing price. The great question well it's true the other how the market in your price range. Are very important and that another added data which or realtor show you and the comparative market out there. These towns have not yet old but it's important to note that fire considering your home. They also consider it out. You mean what acted in the market because way to strategize with your realtor. If you're in a hot market area and there are currently no listings in your neighborhood and you may have a little more flexibility on pricing toward the top of your recommended range. On the other hand. If there are many other properties for sale is should make it partly the price accurately remember value was not determined by how I went out there are at their home for. Or else. Balaguer is determined by how much it ready and able buyer is willing to pay in today's market date economy and the normal market. That is very wise advice Jennifer because. You know again if there's a row of houses on the street they're all going for 7101000. And the data showed it. Shouldn't be that high of America or praise they're not gonna go through the distance some sort of very wise so. Okay now Jennifer. Say that you've done your work. You and your client have agreed on a price. You put it on the market and you get an offer immediately. Sometimes treasures sellers think they priced it to blow. You know that is and need jerk reaction I am Allard but it's been incorrect option it viewing your realtor didn't accurate account that aren't yours like that the the market. In you can meet certain that you need a Smart decision. I'd write in market value. The quick Albright offered their allegations you've done well. Buyers in the market or bookkeeper period Pollard are not in the plane ain't there a in the market. They know valuing me yet and they often have walked out of timer cute and multiple offer situations on a marlin Miller a well priced property. With advice and their real or they know that they have to be ready. When an act well right outcome is a lot and that's exactly what they do instead of packing get beaters out haggard alpha erupt on the back for a job well done. So there's no question Jennifer after everything you've explained to us. Pricing correctly. Is essential. I actually agree. So you know all the marketing the world it's not gonna tell overpriced well. And overpriced bigger what they really advocate the death. It on the market view along price reductions scare off buyers buyers and something's wrong with your house. I always recommend. Do your homework apps aren't. Used your realtor who knows the market it's telling you and help you figure out what that right should be. Didn't get your house and the very best possible. Condition. And let your realtor worked their magic they know what to do to make sure that there's nobody left on the table and you're getting back on value of your property. Will Jennifer thank you for joining us today and our special show sell that house. It Jennifer Pino I associate managing broker of Atlanta find homes Sotheby's international realty in Atlanta Georgia. And vice president a professional development. At the Atlanta board of real two hours. Coming up unrealistic today when you only have one chance to make a first impression. We're very important thing here. Current repeal. Of the problem when you pull off. From the picture perfect that's story and much more is coming up on real estate today's special show so that house. But first saving money by cutting the cord. And today we're talking about one of the best pieces of home technology. Ever to be invented for the American home. But. It's not new it's been around for seventy years. And I'm talking about the good old roof top antenna. The used to be on every roof or mount it to every chimney in the USA. Because they worked they brought in your TV signal even though that old analogue picture might have been kind of rough. But still antennas worked and they were everywhere. Until of course cable TV erupt in the sixties and seventies. And what it did who needed an antenna. More and more people answered not me and they started pulling their antennas down. And all was well until of course television went digital. Analog TV shut down in 2009. And from that point on it was an HD world. Cable went HD satellite went HD and nobody wanted to look at that old blurry analogue picture anymore. But then something amazing happened. In tennis came back. Suddenly people started to realize that if they had a brand new flat screen TV. They can hook their ancient rooftop antenna to it and get one of the best high definition pictures they've ever seen. Better than cable better than satellite better than fiberoptic. The reason. It goes straight from the TV station to your rooftop antenna. That's right no fifty mile runs down the cable line no pops up to and down from the satellite. No the signal goes straight from the TV station to you. And it goes for the sound also were the rooftop antenna you'll hear perfect dolby digital five point one surround sound. Music to your ears. I mention this because if you cut out cable TV and just watch cable on the Internet. You really cutting the cord pre just swapping the cord to something else did you have to pay for. That's the beauty of a rooftop antenna it is free. It's pure cord cutting now of course it does require quite a bit of work. You not only have to get that antenna up on your roof but you also have to get it pointed just. But when you get it right it is perfect. You know it just goes to show that sometimes the smartest Smart home technology. Is not the newest. Because for me and old roof top antenna but I strapped to the chimney nearly thirty years ago. Is one of the smartest parts. Of my Digital Life. This is real estate today. All real estate all the time. Welcome back to real estate today I'm Stephen Gaspar and we're glad you're here. For a very special show so that helps coming up how to make a great first impression windows buyers drive up. That's straight ahead our special show sell that house but first let's check in with Bill Thompson and a realistic today newsroom Carville Stephen. In money market rents are so high it's cheaper to buying a home. So why don't more people do that. According to a new survey from Freddie Mac it's all about perception. Even when renters have a favorable view toward homeownership seven intends say ranting is more affordable than buying. David Brickman executive vice president at Freddie Mac says many people still choose to rent because as he puts it. They view it as more affordable at a better fit for their lifestyle right now. Builders Telus that in many cities they have trouble finding land to build on. The one small town in north Mississippi is working on solving that problem and creating affordable housing. But building new homes on unused city owned land. Mayor Cecil bell of Aberdeen told WC BI TV. We believe that. Peeps have an opportunity to have. May take home to an Emmy and one that they own we just feel that the land this city home. There we're cutting grass on them we're not done a thing with the why not just such data via houses on the. The city also works with a nonprofit to help low income homebuyers repair their credit. San Antonio's been hot real estate market for a few years now and while many people are nervous about how long it can last. Texas a and M real estate economist mark Bonser is not. As reported by the San Antonio business journal DOS or recently told attendees at Jefferson bank's economic forecast events. The San Antonio is stronger than ever in fact he says that's true of most of the other large Texas markets as well. He says demand is way ahead of construction meaning quote as long as there are no viable alternatives. Real estate we'll stay strong. The house has passed a bill already approved by the senate to add two more years of protection from foreclosure to service members and their families. The bill enhances provisions of the service members civil relief act which had limited to foreclosure protection to one year. The law's intent is to temporarily shield military members from things like foreclosure eviction and certain other civil obligations wilder deployed. Student athlete who banks don't. We're going to continue our special show to sell that house now with a question. Have you ever been out looking at houses and you drive up to one place and think wow. That is it a place so beautiful you wanna make the offer right there on the spot. What's so that cellar and their real tour were experts. Are creating a great first impression with lasting impact. Can you do the same thing with your price let's ask a pro. Joining us now is Martha would he sucks real sore in manager of long and Foster real tours. Along the shores of the Chesapeake Bay in Maryland. Martha is also the 2016. President elect of the mid shore board of real torched. Martha thank you for joining us on realistic today. Are you walk out. Martha they say you only have one chance to make a first impression. So how do you make a home for sale really pop. Or very important thing here is the current repeal. Of the problem when you pull up. But make sure it's perfect. You know make sure they're bad they're all aired the brass. Per cent of the while harder night or procedure chairman of the house. Painted the front doors Kirk spent and it it when you pull up that curb youth should patent emotional eater and our right from the beginning. That draws you true the front door and you're inviting hope that need to be clean and intent to option when your putting on the market. So when a potential buyer drives up and ease that house for the first time. The play should look like a million box. Well you know are being independent not a million dollar Harvard 250000. Dollar hope it's that aren't as well maintain clean and community and nicely appointed. You'll get more anchor your part of its parent first impression is perfect. Wendy you suggest calling in a professional. A garden expert or landscaper. To tackle the project. Barnes and Jared Allen you know and when you pulled up and he's he's there at the house has potential. Aren't there to launch your that you are walks. You know and then and made. He indeed Bush's need to be iron girder. Eric need to be edged in malts and all up that's when you are you bringing up a landscaper to help. And that also contributes to the first impression on the home. Absolutely. Mark the first lead in it is beautiful trees out front but that there are low lying in the and there are. We're asking to view the front door in the house not screaming out opera actually Korean paper to bring back at Fiat. And maybe not all the bad. And churn up all those bushes. And bring in some armed annual check out our little traction sparked an Icrc appeals. You know many people have a mix of perennials that bloom every year and annuals which lasts just one season. Is it time to really ramp up on it annuals when I go to sell my place in the spring market. Arctic it to directly out true really aren't you know go out and kill your car and you know. Don't have to Herbert Garrett you your chance to make it look nice and night and hardy would firm up a little color your hair always. So when people drive up. They have that emotional connection and you have to make sure that continues. When they walked in saw. Well I think people really underestimate. What clean it means to everybody. Clean means that the well maintained huddle can be canning. On the mound at the people bought the house and practice a whole whale off their journey of earning their home folks. Cleaner the most important thing so I'll win a person walks into a prominent. Streamline it clean. And teen age and while lane change there outlook for default. They don't either swallowed it triggered it just part of cops aren't very very. What's special techniques do you use. On the interior. Well stating you're just there's never a bad idea at all it's very IKEA. It's I don't hear who are looking at one event or any in my agent's going to go to a court. And the house. Regarding human age or because these people have already not taken time that I haven't especially on. And your job on but most times people need help. And that's when it Ager can really command and make it different. In the first contraction that we're talking about the vote wouldn't. Or Martha thank you so much for talking about making a great first impression. On today's show. Oh you're welcome and our thanks very Campion who are not how important first impression is it and then. You'd rather emotional spark that really can we just failed. Thank you Martha Martha witty side the president elect of the mid sure board of real tours along the shores of the Chesapeake Bay in Maryland. And the branch manager of long and Foster real tours in the mid short area. Coming up on realistic today. How to make every room in your house. Looked bigger registry cleaning living space. That's the name of the game. That's coming up on our special show so back house. This is real estate today because you're home nineteen. Your biggest investment. Welcome back to real estate today and our special show sell that counts. All about getting the buyers and they're giving me offers on the table and getting that you don't. No no discussion about selling a house is complete without a thorough look. It all your stuff. Do you have a lot tons of furniture Carter top pact would appliance as. Well if so it might be time to clear it out it'll make the rooms look bigger and brighter and more inviting. And you put it in storage let's talk about the storage strategy when selling your house. Joining us now is Patrick Reilly one of America's top self storage professionals. Patrick is president and CEO of urban self storage incorporated. Patrick is the past two time national chairman. Of this self storage association. And he held many leadership positions at that association. Patrick welcome to real estate today. And Patrick I've got to say every time I've sold house and a sold a lot of houses. I've gone through the place and taken out at least 13. Of the furniture. Included in storage it's a great way to make your home look better. Oh we certainly hear that a lot of storage industry and certainly we all have items in our homes they have significant. That may be. At appreciated by others let's say so that's where. And self storage unit becomes you were were personal stash her keepsake place. Patrick how do I find a reputable storage facility. One that's clean and where my belongings will be safe. Well I think a good starting point is you take a look at facilities that are members of all there's speed in it especially the national self storage association. These are facilities that. Are trying to adhere to a higher standards. And are very interest in being part of the community. And make sure to tour the facility and talk about what you restoring it what type of access and security that you're looking for these are important. Parts of that. Renting process. Patrick it seems that the first step is to citing. What things do or put in storage and what Torre leaving my house do you have any Intel on that. Sure it's always says Sergio it's always good place to put seasonal items whether it be for an activity like skiing or water skiing or camping that your only using part of a year or whether it be for close. Or Christmas decorations. Or other holiday decorations zeroing needing a certain time of year. Although these he don't distortion. Three a bottle living space or for your party your garage. Just prequel waving living space folks that are having. A child and converting a pay extra bedroom that had been used for storage and do a nursery. Or the kids are going to college and they're cleaning those. Their rooms now putting things in storage. To reclaim those rooms for a home office with this first hit a lot of different needs within the lights speeches to. Our customers. I like we've put that re claiming that living space that very well said well that's a bit but that's the name of the game. What do we do about insurance. You know many times you had a homeowner's policy you wanna check. In Q whether or not it covers patterns in storage synergy did he writer. Or an additional additional coverage for what you historical look at the specifics. Of that policy talk term insurance agent and also most storage facilities these now offer. Insurance that the counter if you don't have any insurance at all in any case you terse is always a good idea. It's so. Patrick house business. Business is booming people are moving people are outside seeing in downsizing and and are using storage inner active lifestyles so well this silt stirred business is very healthy and these are going well. Will Patrick thanks for being on the show today thanks Brad and Patrick Reilly the president and CEO of urban self storage incorporated. In a national board member of the self storage association. Coming up on realistic today. Isn't always better to sell high and sell low. The answer might surprise you. That story and much more is coming up on real estate today's special show. Sell that house. If you're hungry for real estate information. Follow real estate today on Twitter. Shares segments to listen to them again. And be the first to know what's on the next weeks ago just search real estate today on Twitter. Real estate today. Because you love real estate. Welcome back to real estate today in our special show. Sell that house and in depth look at selling your home in the spring market 2006. Team. And we're going to wrap up today's show with a question. Should you wait to sell your house. I mention this because a lot of people who are thinking about selling. Say they're going to wait PC prices rising so they want their house to become more valuable before they sell it. It's always better to sell hide right well usually it all depends on what happens after you sell. So let's talk about that. If you are your house when his value is sky high. You could very well end up with a big profit and that of course is an excellent result. But what happens next. Well if you just pocket the money great you have a big piece of change just safe to invest or to use in any way you want. Or if you move to a different area where prices are a lot lower than where you soldier place you'll be in one great situation. Or the same is true if you downsize to a smaller house either way you might be able to pay all cash for that next place or get away with a really small mortgage. Not well done. But if you sell one house at a high price and then buy another house in the same area or an area where values or similar. You'll experience what they call price parity. The how she sold was priced high and when you buy that will be price hardened all. In other words it's kind of a draw. Here's another point that you sell high in the new by hot. You'll be paying off that expensive home for years to come. Which is why some very Smart real estate investors know it's also just fine too so low sometimes. Because if they elder homeowners value is lower their next how will also be priced lower. Again if it's in the same area you'll find price parity and those people will then be paying off a lower priced property in the years to come. So selling low and buying low. Is not always about strategy. One more thing many people talk about the top of the market or the bottom of the market insure their talking price. As in if prices drop bill swoop in and get a bargain in and might save them 1020. Maybe fifty grand. But there's another definition of the bottom of the market. One that could save you hundreds of thousands of dollars and that is. Interest rates swoop in and barn when interest rates are low that constituent pro life. And that's the key if you're buying another house after you sell the one European. Think seriously about getting a loan with today's incredibly low interest rates. And that's the one factor that's true in every scenario. Where do you buy high or buy low or end up with a bigger mortgage or a smaller one. Interest rates are low everywhere. So ask your real tort if you're thinking about waiting. Talk to them about where prices are headed not only for the house you're selling but also for the how your body. And also talk to your realtor about mortgage interest rates. Because even though no one knows where and those interest rates will go up and by how much. We all know one thing for sure and that is. Right now mortgage interest rates are low. There's no guesswork required there. And the fact they're qualified buyers could get those low interest rates right now could help you answer the question of whether you should wait. To sell that house. Coming up next week unrealistic today. The offer. We'll talk to talk real chores around the country. About how to write a winning offer if you're a fire and how to reevaluate offers if you're a seller that's next week as our special spring market series what. Rules on. And remember you can always listen online at our ET radio dot com. And from all of us here realistic today thank you for listening. If you're realtor you can put the entire real estate today show on your web site. The best real estate show on the Radio One 100% free to NAR members just go to RE TE radio dot com and click per realtor.