15 Surprising Real Estate Trends Impacting 2018
This year has been one of twists and turns for the real estate market. As with every real estate year, the market can shift in an instant. For this reason, real estate professionals need to keep their eyes open for the next up-and-coming trend to hit the market and cause a stir.
Knowing in advance what to expect in terms of market trends for the real estate industry will not only give you an edge over your competition, but can help you serve your customers better. You’ll be ready and able to implement, react to or inform about the ways the market shifting for the rest of the year — both good or bad.
Read Article - Realtor Magazine
Affordability Called Housing’s ‘Boogeyman’
Americans are spending the most money in nearly a decade on mortgage payments as a share of their household income, according to data from Morgan Stanley. “If there’s a boogeyman in the housing market today, it’s affordability,” James Egan, Morgan Stanley’s co-head of U.S. housing strategy, wrote in a note last week. “As home prices and mortgage rates have risen, it logically follows that homes have become less affordable.” Egan says
Read Article - Realtor Magazine
2018 Phoenix Job Market on the Rise
The Phoenix job market is competitive right now with unemployment rates at a low of 4.9% and consistently dropping. This doesn’t mean, however, that there aren’t a ton of job opportunities out there for you. The Phoenix job market is actually thriving with companies constantly expanding and relocating to the city.
Read Article - localwork.com
Fed Leaves Rates Alone But Hints at Future Hikes
The Federal Reserve decided Wednesday to hold off on raising its short-term interest rates. But it hinted that it likely will deliver its third interest rate increase of the year at its next meeting in late September. The Fed’s key rate does not have a direct impact on mortgage rates, but it usually influences them.
Read Article - magazine.realtor
Metro Phoenix homebuilding hits decade high
New houses are going up in the Phoenix area at the fastest pace in 10 years, and prices are climbing faster than they have in five years. Buyers are again heading to Valley suburbs farther out to find houses they can afford. All are signs that metro Phoenix’s homebuilding market is recovering. But it still has a way to go to rebound from the housing crash that left many Valley fringe neighborhoods half-built and blocks of new houses empty for years.
Read Article - azcentral.com
Just how hot is Arizona’s housing market?
Last year was a good year for the housing market homebuilding industry, according to data collected by Belfiore Real Estate Consulting, a residential market research firm that services all of Arizona. In fact, last year was good for Arizona’s residential real estate market with boosted home sales, prices, and agents making deals.
Demand for both new and resale homes was higher than a year ago, while supply was balanced by a limited resale inventory. And despite the shortage of resale inventory, 7 percent more resale homes sold in December of 2017 than the year before.
While the market has picked up in the past year, so has the number of people looking to capitalize on the hot market.
Read Article - azbigmedia.com
Appraisers, Homeowners Agree More Than Ever on Values
Homeowners and appraisers continue to close the gap between perceptions over home values in their area. Quicken Loans’ National Home Price Perception Index shows that appraised values were just 0.34 percent lower than what homeowners expected in May. A year ago, the gap between the appraiser and owner’s home price opinions was five times larger.
Still, home value perceptions vary quite a bit from city to city. Homeowners in San Jose, Calif., for example, tend to receive appraisals that are, on average, 2.82 percent higher than what they expected. On the other hand, homeowners in Chicago are receiving appraisals that are 1.69 percent, on average, lower than what they estimated.
Read Article - Realtor Magazine
8 Ways to Tell the House You're Buying Is a Flip
The housing market is certainly hot these days, but so are the houses going on the market. Even in tight seller’s markets, it appears sellers are upping their game by updating kitchens, bathrooms, bedrooms and backyards to appeal to more buyers and encourage them to offer top dollar at a chance to win the bid. There’s good reason for that: The sellers are often real estate investors. Property information company ATTOM Data Solutions released its Year-End 2017 U.S. Home Flipping Report in March, which revealed that 207,088 houses and condos were flipped last year, an 11-year high for home flipping.
Read Article - US news
Homes Are Fetching More Than Asking Price
High demand for homes for sale mixed with low inventories is prompting bidding wars. Thirty-seven percent of properties that closed in March sold at or above the list price, according to the March 2018 REALTORS® Confidence Index Survey. That's higher than a year ago, when 35 percent of properties sold at or above the list price.
Read Article - realtor mag
Review Of The Real Estate Market In 2017
The real estate market in greater Phoenix in 2017 outperformed the last five years in sales volume. The number of home sales by Dec. 1 raised from 81,169 in 2016 to 86,832 in 2017, an increase of 6.9 percent. Traditionally, sales peak in the second quarter, particularly in May and June, slowing down by the end of the year with a small rally around November. The trend of home sales is obviously upward, and is a positive sign, along with the fact that normal listings (not short sale or foreclosure) represent a clear majority of transactions. Short sales represent a very small percentage of the market now.
Read Article - all about arizona news
Positive Job Outlook for Arizona for the Next Two Years
We have good news if you’re looking for a new job: the amount of jobs in Arizona is increasing.
A projection by the Arizona Office of Economic Opportunity says the employment outlook in Arizona will grow by 150,000 jobs during the next two years. The outlook was released on Thursday by the department and U.S. Department of Labor.
Read Article - real estate agent magazine
Expert predicts rise in housing market in 2018
Currently, supply is off about 12 percent compared to this time in 2016 says Sibbach. "I believe we are going to see a swiftly up-moving housing market due to the decrease in supply," said Sibbach. "Because of that and in ombination with demand being up about seven percent, it is going to lead to a pretty competitive market but also a good one to buy." Sibbach says two of the hottest areas right now are Chandler and Goodyear. Most buyers want a new or newly remodeled home -- in the price points of $200,000 to $250,000. The majority of buyers Sibbach is seeing right now -- millennials and baby boomers. "A lot of baby boomers looking are looking to downsize right now," said Sibbach
Read Article - ABC 15
Valley Home Values are Up.Will Taxes Climb?
If you own a metro Phoenix home, your latest property valuation is ready.
It will soon arrive via mail or email, and most likely you will see an increase from last year. Overall, the value of single-family homes climbed almost 7.2 percent and condominium values climbed almost 10.5 percent last year, according to the Maricopa County Assessor. Both are pretty close to increases for 2016. This valuation report will determine how much you pay in taxes, but not this year. And don’t be too concerned when you look at the numbers on the government form because its likely your house is worth more. Confusing? Arizona has one of the most convoluted property tax systems in the U.S.
Read Article - StreetScout
Why You Should Sell Your Home in 2018
If you haven’t given much thought to selling your home this year, you might want to think again. Real estate information company Trulia commissioned a survey of more than 2,000 U.S. adults, conducted by Harris Poll, to get a feel for expectations and plans for housing and homeownership in 2018. The survey results show 31 percent of respondents expect 2018 to be a better year for selling a home than 2017 – and just 14 percent expect it to be worse. Real estate information company Zillow echoes these sentiments in its predictions for 2018, expecting inventory shortages to continue to drive the housing market. With too few homes on the market to meet buyer demand, prices increase and would-be buyers can’t afford the price or down payment needed to submit a winning offer.
Read Article - USNews
Housing Market Starts 2018 on Positive Note
Contract signings on home sales rose slightly in December, reaching their highest level since last March. NAR’s Pending Home Sales Index, a forward-looking indicator based on contract signings, moved 0.5 percent higher to a reading of 110.1 last month, 0.5 percent higher than a year ago.
“Another month of modest increases in contract activity is evidence that the housing market has a small trace of momentum at the start of 2018,” says NAR’s chief economist. “Jobs are plentiful, wages are finally climbing, and the prospect of higher mortgage rates are perhaps encouraging more aspiring buyers to begin their search.”
Read Article - realtormag
Buyers Act Fast: Existing Homes Are Selling Quickly
Homes across the nation are selling at a breakneck pace—reaching levels not seen since the height of the housing boom more than a decade ago.
Sales of existing homes (which have previously been lived in) rose 5.6% last from October to November, according to the most recent National Association of Realtors® report. They were also up 3.8% year-over-year to reach a high of about 5.81 million sales. That's the fastest clip at which they've sold since December 2006.
Read Article - Realtor.com
A Bill Introduced Would Make It Easier For HOAs To Foreclose
Currently, Arizona homeowners associations can foreclose on owners if they fail to pay their dues for a year or get behind by $1,200 — whichever comes first But a bill introduced by one of Arizona's most powerful Republican senators would allow HOA foreclosures after six months, with no minimum debt. Sen. John Kavanagh, R-Fountain Hills, the primary sponsor of Senate Bill 1080, said six months of avoiding payments is a serious infraction.
Read Article - StreetScout
FHA Loan Limits To Increase For 2018
Hot off the presses. On the heals of FHFA (Federal Housing Finance Agency) announcing an increase to Conforming loan limits for 2018, the FHA (Federal Housing Administration) announced Thursday the FHA loan limit will increase as well. For Maricopa County the FHA loan limit will be increased to $294,515, going into effect for case numbers assigned on or after January 1, 2018. This news means, with the minimum 3.5% FHA down payment requirement, that the maximum Sale Price will be $305,196!
Great News to get such large increase in Loan Limits for Conventional ($453k) and FHA ($294k)
Read Article - hud.gov
Six Easy Ways To Prepare Your Home For Holiday Guests
It'll be here before you know it: holiday season. If those two words just sent a chill up your spine, it's probably time you started getting prepared. The good news is that while may think your house needs a bulldozer, or at least a few teams of HGTV stagers to make it guest-ready, it will probably be easier than expected to get it in good shape. Here are a few things you can do this weekend to get started
Read Article - realtytimes.com
High home prices hit first-time buyers harder than ever
As the economy and wages improved in 2017, first-time homebuyers were finally moving back into the market — until that turned around again.
Sky-high home prices and few low-priced listings took their toll on these buyers yet again. For those who did buy, they had to pony up and pay more money for less house.
The share of sales to first-time buyers fell to 34 percent in 2017, down from 35 percent in 2016, according to the National Association of Realtors' annual Profile of Home Buyers and Sellers. That is the fourth-lowest share in the survey's 36-year history. First-time buyers historically make up closer to 40 percent of homebuyers.
Read Article - cnbc.com
Will Home Sales in The Valley Set a Record in 2017?
2017 is shaping up to be one of the best years for home sales in metro Phoenix.
Sales aren’t higher than the boom year of 2005 when speculators bought a record number of homes, or the bust year of 2011 when investors snapped up a record number of bargain Phoenix-area foreclosure homes. But those years weren’t normal and definitely weren’t healthy for Phoenix’s housing market.
“2005 went down in the history books as the year our housing bubble rapidly inflated,” said housing expert Tom Ruff of Arizona Regional Multiple Listing Service’s The Information Market. “2011 was the year housing prices bottomed out after the housing-market collapse. “This leaves 2017 as the very best year for Valley resale homes in our history not influenced by some freakish market outlier,” said Ruff.
Home sales are up 9 percent from last year.
Read Article - Arizona Real Estate News
Thousands of solar homes with battery storage systems coming to Arizona
Mandalay Homes and German battery maker Sonnen GmbH are partnering to build 2,900 solar-powered homes in Prescott Valley north of Phoenix.
That is according to reports from Greentech Media and Reuters.
Sonnen will outfit the homes with battery systems that will store power generated by rooftop solar panels.
The homes also are energy efficient including with an aerosol spray development at the University of California - Davis that seals leaks allowing warm or cold air to escape the house, according to Greentech.
Read Article - Phoenix Business Journal
Gilbert ranks fourth most affordable real estate market
In a study conducted by WalletHub, Gilbert ranked third best real estate market for midsize cities and fourth most affordable real estate market.
WalletHub conducted a study ranking 300 U.S. cities by the best and worst real estate markets. It identified 21 indicators of housing-marking attractiveness including factors such as job growth, home prices as percentage of income, foreclosure rates, median home-price appreciation, and many more.
Read Article - Phoenix Business Journal
Is Fall the New Spring in Real Estate?
Compared to the spring market, which is considered to typically last from March through June, the fall real estate market’s prime time is just September and October. The beginning of a noticeable increase in activity will typically correlate to the start of schools, which varies depending on local school calendars.
Sellers: Take into account the shortened window of time when pricing your house.
Buyers: Depending on your specific time frame, you may need to be prepared to pull the trigger quickly on making an offer, as the largest influx of homes will be in a shorter period of time.
Read Article - US News