Buyer Demand is Growing—Here’s How You Can Take Advantage of It

Typically fall—and especially late fall—isn’t an active time for the housing market. Buyers slow down around the holidays, fewer sellers list their homes on the market, and there’s a predictable lull before the New Year.

But this year, that’s not the case. In fact, buyer demand has grown in every region of the country, with the South in particular boasting the second-highest percentage of increased buyer traffic! Here’s how the numbers break down, and how you can take advantage of it as a seller.

Buyer Demand is Up

An agent leading buyers on a tour of homes during the late fall, a period of high buyer demand.

For the second month in a row, buyer interest is up in every region of the nation, including the Midwest, the South, the Northeast, and the West. This is likely largely due to low mortgage rates that have been present for most of the year, which makes buying in general more attractive and affordable.

Here in the South, we’ve generated the second-highest level of year-over-year buyer traffic growth, coming in at 6.4%—the largest jump in activity since last spring! The Western U.S. dominated the race at 8.9%, while the Midwest was lagging, but still in the game, with a .8% growth. Nationwide, the activity increase averaged out to 4.6%! For late fall and winter sellers, this is fantastic news

Buyers are Motivated

Home buyers on a tour of homes for sale.

One of the best things about selling during this time of the year? You won’t have to deal with buyers who are causally shopping. Instead, you can expect that most people out hunting for homes are hoping to move in before the new year—which works in your favor.

Since buyers will be on a timeline, they’re less likely to want long, drawn out negotiations. While they will probably be a little pickier about the home they choose, that just means that you have even more leverage—inventory is low, and if they walk away from your home, it could take them weeks to find another that they like.

Competition is Low

An aerial view of homes.

While spring and summer typically boast higher prices and more activity, that also means that other sellers are looking to capitalize on those benefits, as well. But in late fall and winter, seller activity takes a dramatic dip—and the limited listings on the market suddenly become much more attractive for motivated buyers.

There will still be other homes on the market, however, so don’t take this as an excuse to slack off on staging or marketing. In fact, staging and marketing are even more important during this time of year, since buyers are more selective in the homes they choose to tour!

Want to Bring Buyers to Your Front Door?

Linda Craft & Team, REALTORS® can help. We have over 350 years of combined experience, which makes us perfectly suited to ensure that your home sells not only quickly, but also for the highest price possible.

Want to add your home to our list of over 10,000 successful sales? Take some time to browse our resources, learn more about what we have to offer our clients, and give us a call when you’re ready to take the next steps.

The Numbers Are in… and Now’s a Great Time to Sell

This year’s real estate market has been shattering all sorts of expectations—and the latest numbers are no exception. While you might think that spring and summer are the most profitable seasons for selling, this fall has the potential to prove you wrong!

Here are the highlights from the  National Association of Realtors’ latest home-selling report.

Buyer’s Market vs. Seller’s Market

A "For Sale" sign in the front yard of a home.

Before we dig into the numbers, it’s important to provide a little context as to what they mean.

Buyer’s and seller’s markets are primarily determined by the amount of inventory available. If there’s less than 6 months’ worth of homes for sale, then prices will go up, leading to a seller’s market. On the other hand, when inventory tops 7 months, price tend to depreciate and the market swings in the favor of buyers.

With that in mind, let’s get to the numbers!

Sales vs. Inventory

A key in front of a miniature model of a home.

While sales have gone up, the most important takeaway from the report is the inventory. At the end of August, the total housing inventory sunk by 2.6% to 1.86 million homes for sale.

Unsold inventory is lower than the 4.3 month figure recorded last August, which represents a 4.1 month supply based on the current sales pace. With increased demand and limited supply, sellers are benefitting in major ways—namely, price increases.

Why the Increase in Buyer Activity?

People shaking hands over a real estate transaction.

Typically, buying slows down during the fall and winter months, but with mortgage rates remaining at near-record lows, it’s been hard to resist taking advantage of them. In fact, The Existing Home Sales Report also shows that 49% of properties were on the market for less than a month when they were sold.

The bottom line? If you’re planning on selling, now’s the perfect time to capitalize on ready, willing, and able buyers—and likely for a better price than usual.

List Your Home with Linda Craft & Team REALTORS®

Contrary to popular belief, you don’t have to put off your home-selling plans until the spring or summer—the last few months of the year are shaping up to make for a stellar seller’s market.

Want to take advantage of these favorable conditions and sell your home before the end of the year? Then let Linda Craft & Team, REALTORS® help. With hundreds of years of combined local experience, we have the resources, expertise, and skill-set to ensure that your property sells for top dollar! Whenever you’re ready to get started, we’re just a phone call away.

Ace Your Real Estate Experience: A+ Reasons to Hire an Agent

In a lot of ways, buying and selling a home is like a test. You want to make sure you study up on all of the materials and have the right supplies before you get started.

But maybe most importantly, you want to make sure you have a teacher that can guide you through the material in a way that’s easy to understand and sets you up for success.

If you’re on the fence about hiring an agent to help you buy or sell your home, here are a few ways we can help you ace the process.

Decode Contracts

Paperwork.

During the real estate journey, you’re going to have to deal with a lot of paperwork. Sometimes it’ll be easy to understand, but other times, all of that jargon will probably look like a foreign language—especially if it’s your first time.

We’ll make sure you’ll know exactly what the papers say, why they’re necessary, and what they mean for you.

Breeze through Negotiations

People shaking hands across a table.

If you aren’t used to negotiating, then this step in buying or selling a home can be tough to handle—especially since you’ll be emotionally invested in the process.

When you work with an experienced realtor, we’ll act as a buffer between you and the other party. Not only will we work to get the best deal possible for your wants and needs, but we’ll also provide a level-headed perspective.

Understand Pricing

People pointing at a laptop screen.

If you’re selling your home, then finding the right price is the key to success. Price too low, and you won’t maximize your investment. Price too high, and you’ll miss out on buyers—and maybe even have to bring your price down.

Luckily, we can make sure you have the right price from the get-go. With our home valuation, we’ll take into account all of the local and national real estate trends, as well as any updates you’ve made to your property.

When it comes to buying, we can also help you figure out whether you’re getting a fair price for your purchase. The last thing you want to do is spend your hard-earned money on a home that isn’t worth it!

Translate Market Conditions

People in a meeting.

Did you know we’re in a period of nearly unprecedented drops in mortgage rates? That home prices have been steadily ticking up this year? That more and more millennial buyers are entering the market?

We know all about the intricate details that make up the market conditions. These details can help decide everything from how high you can price your home to how long it’ll sit on the market. Before you even list or start searching, we can breakdown what the current conditions mean for your experience.

Benefit from Experience

People getting keys to a home.

Above all, we know the ins and outs of buying and selling. We’ve been around the block more than a few times—after all, our team does have hundreds of years of combined experience in real estate—so we know exactly what it takes to be successful.

You might have other options when it comes to real estate professionals in the Triangle, but if you get to know a little more about our team, you’ll start to understand why our clients swear by us.

Don’t Flunk Your Real Estate Journey

If real estate is like a test, then we think we can help you ace it. At Linda Craft & Team REALTORS®, we have years of experience with buying and selling homes in Raleigh—meaning we know exactly how to handle whatever the market throws at us.

Take some time to explore our resources, whether you’re buying, selling, or just exploring the area, and give us a call when you’d like to get started!

How A Daily Latte Affects Your Real Estate Goals

With summer on its way out and fall just around the corner, it’s prime latte season. Pumpkin spice, maple pecan, salted caramel—some of the best seasonal flavors make their debut!

While it’s great to treat yourself to a cup of coffee every now and then, those small expenses can really add up—especially if you’re pinching pennies for a down payment.

The Latte Method

A person making a latte.

Recently, Realtor.com put together a report titled “A Latte a Day Keeps Homeownership Away.”

By calculating the average down payment and median home price for a number of major US cities, the minds at Realtor.com were able to figure out just how much you need to save every day in order to afford a down payment within the next five years, representing that number with the equivalent amount of lattes.

The title may be a little pessimistic, but when you take a hard look at the numbers, the results are undeniable.

Daily Savings

A person reading a book and drinking a coffee.

The average price of a latte fluctuates based on city, but typically hovers within the $3.50 to $3.80 range. Depending on your usual coffee order, that number could be even higher—for example, a tall pumpkin spice latte comes in at $4.25.

Here’s what you’d need to save daily to afford a down payment within five years:

  • Atlanta: 1.6 lattes
    • Average down payment: $10,450
    • Median price: $335,436
    • Daily savings: $5.72
  • Chicago: 2.9 lattes
    • Average down payment: $19,580
    • Median price: $312,098
    • Daily savings: $10.72
  • New York: 6.8 lattes
    • Average down payment: $45,717
    • Median price: $564,500
    • Daily savings: $25.04

Raleigh falls on the lower end of the range, coming in at 2 lattes a day, or around $7.30. When you break your down payment into these smaller numbers, you can see just how much a coffee day affects your overall budget.

Buying Your First Home

A person holding up several bills.

Figuring out your finances while buying your first home is a daunting process, but not an impossible one. If you need help creating your five-year plan, Linda Craft & Team REALTORS® can help. Start things off by figuring out what your extra daily expense might be—whether it’s a latte, lunch, or an after-work drink—and cutting it back. Then, use our mortgage calculator to get some concrete numbers!

Need Some Budgeting Help?

Trust in the expertise of Linda Craft & Team REALTORS®. With over 300 years of combined real estate experience, we have what it takes to not only help you save up for your new home, but also successfully lead you through the in and outs of the buying process.

Take a look at some of our resources for buyers, browse a few homes on the market, and give us a call to get started.

The Two Need-to-Know Factors for Pricing Your Home Right

The real estate market is in a unique situation right now. Mortgage rates are the lowest they’ve been in years—and expected to keep decreasing—and many people are left wondering what that means for home prices.

While housing prices are currently increasing at a slower rate than usual—coming in around 3.7%, compared to the average of 6 – 7% over the past few years—they’re still surpassing historic norms.

In a competitive and active market like Raleigh, knowing how to price your home accurately is more crucial than ever! Luckily, we can help. Here are the two biggest factors to keep in mind when pricing a home.

Consider the Appraisal Gap

A woman writing in a notebook.

The Home Price Perception Index checks in every month on the difference between homeowners’ estimates of their property and the appraiser’s evaluation. Over the past few months, that number has steadily ticked up. Last July the difference was around .25% lower than buyers expected, but it’s tripled since then, now standing at .78%.

While that may not seem like a major gap, that small percent can still mean thousands of dollars in difference come closing—money that sellers would have to make up for.

Avoid Price Cuts

A man glancing over a booklet in front of a window.

Not valuing your property accurately can create further problems down the road, as well. Realtor.com recently reported that price cuts in homes have increased 2% since last year. Again, 2% may not seem like a huge number, but 37 out of 50 of the largest US housing markets reflected this decrease—including Raleigh.

Oftentimes, there isn’t anything wrong with a home that gets a price reduction—it just started with the wrong price. If you hit the ground running with an accurate listing price, you won’t have to worry about knocking it down in the future! In fact, our selling tips can even help you net more for your home than usual.

List Your Home for the Right Price

Navigating market trends can be tricky, but luckily you don’t have to do it alone. At Linda Craft & Team REALTORS®, we have years of experience with buying and selling homes in Raleigh—meaning we know exactly how to handle the ups and downs of the market.

Learn more about what we offer our sellers, get an accurate price for your home, and give us a call when you’re ready to list!

Triangle Home Buying Series: The 6 Phases of Buyer’s Remorse

Homeownership is the American Dream!  Yet every home buyer will experience “buyer’s remorse” several times on their way to realizing that dream. We are starting a blog series that will help Triangle area home buyers understand what’s happening to them and how to move through Buyer’s Remorse.

What is Buyer’s Remorse?

Buyer’s remorse is fear that you have gotten yourself into, something you can’t get out of and a deep feeling of regret. When in this emotional state people will either flight or fight.  Buyer’s Remorse is a natural human response to all major decisions.   There is no other purchase where Buyer’s Remorse is stronger and longer than in a home purchase.  For example when you buy a car you sign the paperwork, write a check, get the keys and drive away in the same day.  With a house, you sign a contract and after 40 critical time sensitive steps are taken over a period of 30 days to 60 days, you write a check and get the keys.  Home ownership is a decision that represents a major shift in a person’s life as well as their families.  It’s one of the biggest financial decisions anyone will make and it is normal for homebuyers to have emotional confusion during the process.

We have found that home buyers who experience the least amount of Buyer’s Remorse and have the most joy and excitement on their journey to homeownership understand the need to fight negative emotions. They control their “what if thinking” and they turn their focus forward on the benefits of homeownership, enjoyment with friends and family and envision themselves in the future decorating and loving their home.

TIPS:

When you feel overwhelmed with remorse, talk about it

Remember the reason why you wanted a home

Stop tormenting yourself by looking at other houses in the Raleigh area

Stay away from negative people

BONUS TIP: Your friends and family mean well but, it’s not unusual for them to question your choice and what you paid for it. Most of these well-meaning people have not been in the market for years and have not gone through the comparison exercise you just completed.  And, let’s face it parents never think anything is good enough for their children.  Don’t be shocked if the people closest to you are not as excited about your new home as you are.  That’s normal too.

Six Most Common Times to Expect Buyer’s Remorse

  1. After You Write An Offer
  2. After the Offer is Accepted
  3. After the Home Inspection
  4. The Final Walk Through
  5. After You Write the Final Check for Closing Day
  6. After You Move in to Your New Triangle Home

Come back next week to learn more on how to overcome buyer’s remorse after you write an offer on your Raleigh home!

Linda Craft & Team is here to walk you through the steps to home ownership. For a free home buying consultation, please call our office today at 919.235.0007. We look forward to helping you!