Tuesday, August 16, 2011
The "V": One way to evaluate the Real Estate Market and Interest Rates to Determine if it is a Good Time for You to Make a Move.
Do this as you read. Please print out the letter V which I have imported into this blog or draw your own V. If you draw the V,then also right on one leg of the V, "Interest Rates" and on the other leg of "Home Prices". At the top of each leg right the word "high" and at the bottom of each leg right the word "Low".
Now on each leg draw a circle where you think the market is as far as interest rates and home prices.
If both circles are near the bottom,then you feel that interest rates and home prices are low or almost as low as they can be. This would be an indicator that it is the perfect time to buy a home. A good time to sell if you have owned your home long enough to make a profit on the sale (your purchase price verses today's market price)with rates being low, so buyers can afford "more house".
If you circled near the bottom for interest rates and a little higher up on home prices--perhaps middle of the v leg,it would be an indicator of a great interest rates and healthy prices of homes,which is good for buyers and sellers.
If you circle toward the bottom it is also a great time re-finance. A wise word I heard regarding locking in a rate on new mortgage or re-finance: once you lock in the rate don't look back. If you don't think it is a good time to lock in the rate,then wait and risk whether rates will get better or not. I would take interest rates in the low to mid 4's any day of the year.
If there is a home out there that you like but hasn't sold, it could be a good time to buy a home now that has been in the market, that sellers don't want to carry through the fall and winter season.
If you didn't circle the bottom of the leg for interest rates,I'd be interested in knowing how low you think rates will go.
If you want to talk about your local real estate market and have a free pre-market consulation,give me a call. I am here to help.
Life is good!
Licensed in MD & DC
Wednesday, August 3, 2011
The other day I was showing a client a home and the showing instructions for this home require the listing agent to be present while anyone is looking at the home.
In the course of our conversation, he tells me of an upcoming listing and asks me to do a drive by of the home to see if it would be a fit for my client. We drove by and the home was intriguing
I did follow up research on the home, to see what I could find out in terms of sales history, improvements that may have been done by the current or past owner(s). I observed that the name of one of the current owners is the same name as the listing agent. His name is fairly common, like John Smith, so I would never assume, though this is very coincidental. So I called the agent to follow up with him and said, by the way, do you own the home, which you told me and my client to do a drive by of. He chuckled and said I see you are doing research on the home. He told me about some improvements he has done while living at the home. By the way, In MD. & D.C., once a home is listed, the agent is supposed to disclose if he or she has ownership in it and/or is related to the seller...that is one thing I wanted to share and teach you. I try to share and teach through my real estate experiences. I call it "living real estate". The other thing I wanted to show you was that through networking, I found out about home that is not yet on the market, which could this client the inside track on buying it, if it is a good fit and we agree to sales terms.
I am here to help you and yours achieve your real estate goals in selling and buying homes. I appreciate and always have time for your referrals.
Even if you aren't currently in the market, please ask me your real estate questions. I am here to help.
Life is good!
Licensed in MD & DC