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2015 Triangle Real Estate News

What’s New in the Triangle Real Estate Market

Home ownership is the American Dream! A home provides shelter, safety, and an investment that forces savings and increases in value over time – allowing you to build personal wealth. Knowing how important a good real estate investment can be to your future, let’s take a look at how the 2014 Triangle real estate market performed and the outlook is for 2015.

Trends and hot topics will be discussed, and we will answer frequently asked questions.

Included in the topic lineup:

  • Available housing
  • Luxury market
  • Distressed properties (short sales and foreclosures)
  • Interest rates
  • Home values

Raleigh real estate marketHousing Supply in the Greater Raleigh Area

The inventory of homes for sale is low in most segments of Wake, Chatham and Durham Counties. If you are considering selling a home in the greater Raleigh area, now is the time to list and sell for top dollar while there is less competition.

Traditionally, sellers wait until spring to list properties, which means they will have more competition and their odds of selling for top dollar is reduced. Home prices rise as inventory shrinks, and it is currently down 20%. If you are buying a home, this shrinking inventory means you have less to choose from and could find yourself in competition with other buyers for a home.

When more homes enter the market in the spring, a small window of more choices is created for the buyer, but more competition among sellers. Bottom line…if you are selling a home, list it now. If you want to buy a home, prepare to act fast. When you see a home you really like, don’t wait, or another buyer may beat you to it. If the right home is not out there right now, wait until spring, and you may have more choices for 30 to 60 days.

The Triangle Luxury Market

The luxury market experienced a 24% increase in homes sold in 2014, according the Triangle Multiple Listing Service. The luxury market in the Triangle (Raleigh, Durham, and Chapel Hill) is $750,000 and up.

  • 368 luxury homes were sold in the Triangle in 2013.
  • The highest sale price for 2013 was a house in Wakefield, which sold for $2,875,000.
  • In 2014, the Triangle Multiple Listing Service reported 470 luxury homes were sold.
  • The highest sale price in 2014 was $4,800,000, for a home located in Chapel Hill.

One of the reasons for the increase in luxury homes sold, is because it is currently much easier to qualify for jumbo mortgages. Jumbo loan amounts start at $417,000. We expect even higher sales numbers for luxury homes in 2015, as confidence in the real estate market continues to grow and lending is made easier.

Distressed Properties in the Triangle

Distressed properties, which are short sales and foreclosures, made up 15% of our inventory of homes for sale at one time. Now that home values have gone up, many people are once again finding themselves in a much better equity position. Distressed properties make up approximately 6% of our total current market.

However, even with great improvements, we expect it will be another 4 years before this segment normalizes. Many people are stuck in mortgages with high interest rates, or mortgage balances higher than they can sell for due to 100% financing, equity lines of credit, or loan modifications. If you are one of these homeowners drowning in debt, give us a call. Our staff is certified and experienced at finding dignified solutions for homeowners. You have options. Let us help you find the right one.

Interest Rates at an All-Time Low

Interest Rates remain at a historical low, and my expert lenders believe they will even drop slightly lower before they start rising again in the fall. Interest rates have been so low for so long that it is hard to wrap your mind around interest rates in the double digits. When I began my career in 1985, mortgage interest rates were at 16%. In fact, the national average for mortgage rates is approximately 10%.

These low interest rates are allowing home buyers to afford more housing than in years past. With money so readily available, now is the ideal time to buy a new home. Interest rates are low, and home prices are going up – a combination perfect for building future wealth if you buy now.

Wake County Home Values

In the Wake County area, home values went up in 2014. Most home owners realized a gain of approximately 4%. If you want to receive a value specific to your home and geographical area, contact Linda Craft & Team, Realtors for a free analysis, or sign up for our super cool online tool. This free online service will provide both a market value for your home, and a market trend report showing your homes future potential.

Considering Buying or Selling a Raleigh Home?

Contact Raleigh real estate experts, Linda Craft & Team, to set up a free consultation with a buyers specialist who can help you navigate the exciting Raleigh market. Call 919.235.0007 today!

 

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4 Reasons to Buy a Triangle Home Before Spring

Our good friends at Keeping Current Matters posted this great list on why it makes sense to buy a home now as opposed to waiting for the spring. The holiday season is behind us, time to focus on what exciting new experiences 2015 can bring! If you are planning on becoming a homeowner, or moving up to the Raleigh home of your dreams in 2015, here are four great reasons to consider buying a home now, instead of waiting until spring.

1. Prices Will Continue to Rise

The Home Price Expectation Survey polls a distinguished panel of over 100 economists, investment strategists, and housing market analysts. Their most recent report projects appreciation in home values over the next five years to be between 15.1% (most pessimistic) and 32.8% (most optimistic).

The bottom in home prices has come and gone. Home values will continue to appreciate for years. Waiting no longer makes sense. 

2. Mortgage Interest Rates Are Projected to Increase

Although Freddie Mac’s Primary Mortgage Market Survey shows that interest rates for a 30-year mortgage have softened recently, most experts predict that they will begin to rise over the next 12 months. The Mortgage Bankers Association, Fannie Mae, Freddie Mac & the National Association of Realtors are in unison projecting that rates will be up almost a full percentage point by the end of 2015.

An increase in rates will impact YOUR monthly mortgage payment. Your housing expense will be more a year from now if a mortgage is necessary to purchase your next home.

3. Either Way You are Paying a Mortgage

As a paper from the Joint Center for Housing Studies at Harvard University explains:

“Households must consume housing whether they own or rent. Not even accounting for more favorable tax treatment of owning, homeowners pay debt service to pay down their own principal while households that rent pay down the principal of a landlord plus a rate of return. That’s yet another reason owning often does—as Americans intuit—end up making more financial sense than renting.”

4. It’s Time to Move On with Your Life

The ‘cost’ of a home is determined by two major components: the price of the home and the current mortgage rate. It appears that both are on the rise.

But, what if they weren’t? Would you wait?

Look at the actual reason you are buying and decide whether it is worth waiting. Whether you want to have a great place for your children to grow up, you want your family to be safer or you just want to have control over renovations, maybe it is time to buy.

If the right thing for you and your family is to purchase a Triangle home this year, buying sooner rather than later could lead to substantial savings.

You can find the full blog by visiting: http://www.keepingcurrentmatters.com/2015/01/07/4-reasons-to-buy-before-spring/

Call Linda Craft & Team, REALTORS to set up a free consultation with a buyers specialist who can help you navigate the exciting Raleigh market. 919.235.0007

 

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Reasons Why You Should Buy A Home Now Instead of In The Spring

happy familyEveryday in the Linda Craft & Team office we get updates on rising mortgage rates, inflating home prices and low housing inventory. It was perfect timing when this Keeping Current Matters blog appeared in our inbox and we feel has some great reasons why consumers should consider purchasing a home now as opposed to later in the year.  It could be a difference of thousands of dollars, countless headaches or more!

“Based on prices, mortgage rates and soaring rents, there may have never been a better time in real estate history to purchase a home than right now. Here are five reasons purchasers should consider buying before the spring market arrives:

Supply Is Shrinking

With inventory declining in many regions, finding a home of your dreams may become more difficult going forward. There are buyers in more and more markets surprised that there is no longer a large assortment of houses to choose from. The best homes in the best locations sell first. Don’t miss the opportunity to get that ‘once-in-a-lifetime’ buy.

Price Increases Are on the Horizon

Prices are projected to appreciate by over 25% from now to 2018. First home buyers will probably pay more both in price and interest rate if they wait until the spring. Even if you are a move-up buyer, it will wind-up costing you more in net dollars as the home you will buy will appreciate at approximately the same rate as the house you are in now.

Owning a Home Helps Create Family Wealth

Whether you  rent or you own the home you are living in, you are paying a mortgage. Either you are paying your mortgage or your landlord’s. The Fed, in a recent study, revealed that the net worth of the average homeowner is 30 times greater than that of a renter.

Interest Rates Are Projected to Rise

The Mortgage Bankers Association, the National Association of Realtors, Freddie Mac and Fannie Mae have all projected that the 30-year mortgage interest rate will be over 5% by the this time next year. That is an increase of almost one full point over current rates.

Buy Low, Sell High

We would all agree that, when investing, we want to buy at the lowest price possible and hope to sell at the highest price. Housing can create family wealth as long as we follow this simple principle. Today, real estate is selling ‘low’ compared to where it will be next year. It’s time to buy.”

For all of your home buying and home selling needs, please call Linda Craft & Team, Realtors for a free consultation today. We have a team of experts ready to help you make your dreams come true! Call us today at 919.235.0007.

Keeping Current Matters keeps experts in the industry up to date with national and local real estate knowledge and news.

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Need Answers to Your Raleigh Real Estate Questions?

Are you interested in purchasing a home but do not know where to begin or who to talk to? Are you and your spouse thinking of taking advantage of this market and putting your house on the market and need to know what upgrades are recommended? Or do you just need a final, straight answer on if we are in a buyer’s or seller’s market?

Look no further! We are going to start answering real estate questions for you! Tap into over 150 years of real estate expertise by sending in your general real estate related questions. We will feature one on our blog every week with an answer from one of our real estate experts!

Please email Ashley@lindacraft.com with your real estate inquiries and your question may be spotlighted on our weekly blog!

Please call (919.235.0007) or visit us on the web at www.LindaCraft.com for all of your real estate needs. We are here to help you and your family achieve your dreams!

 

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Spring Cleaning Tips for Your Triangle Home

Woman Powerwashing PatioThe birds are chirping, the flowers are blooming and the sun is shining a little bit brighter! Spring is in full effect in the Triangle and we are enjoying every second of it here at Linda Craft and Team Realtors. This is the time of year in Raleigh most people get the itch to purge their homes and deep clean. Spring cleaning is also a great a excuse to prepare your Triangle home to sell!

Manage Your Spring Cleaning List for Your Triangle Home

Cleaning an entire house can be extremely daunting  to say the least. That is why you should take baby steps in the process and space tasks apart so you can still enjoy your weekend! We all know what it is like to attempt the long laundry list of tasks only to get halfway through cleaning the fridge because you decided to eat the leftover pizza instead! Manage your time and don’t overwhelm yourself!

“The secret of getting ahead is getting started. The secret of getting started is breaking your complex overwhelming tasks into small manageable tasks, and starting on the first one.” – Mark Twain

Tips for Sprucing Up Your Triangle Home

  • Store, donate or throw away! Use the 12 month rule : throw out or donate any clothing/items you have not worn or used in 12 months
  • Clean carpet and upholstery
  • Clean windows, screens, blinds and drapes
  • Wipe down or wash all woodwork, baseboards, molding etc.
  • Clean and polish all fixtures and hardware
  • Spruce up the exterior with potted plants and landscaping
  • Vacuum dryer vent, clean air filters and refrigerator coils

Free Shred Party for Raleigh and Triangle Residents

While you are at it, throw all of your old papers into a box and bring it to our FREE Shred Party on June 1! We will happily take your paper and shred it for you! Linda Craft & Team is also here to help make your home dreams come true. Please call us for a free consultation at 919.235.0007 or visit us at www.LindaCraft.com to search every home in the Triangle.

Peace, love and happy homes!

Ashley

Director of First Impressions

Linda Craft and Team, Realtors

 

 

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Buckingham Manor

Buckingham Manor was built between 2002-2004 the neighborhood of Buckingham Manor is an exclusive Raleigh neighborhood off Raven’s Ridge. With homes average around one million and 500 square feet, you will feel the luxury of the neighborhood by just driving down the road. The homesites are large and absolutely stunning with custom Southern Style Homes. You will see amazing rocking chair front porches and severe attention to detail!

Are you ready to see more Buckingham Manor?

If so, contact any member of the expert Raleigh Real Estate Team here at LindaCraft.com or call 919.235.0007 to schedule your personal tour today!

See all Buckingham Manor Homes For Sale

To see all the homes for sale in Buckingham Manor click here!