With a picturesque center of town within walking distance to the train line and many shops and restaurants, an excellent school district, a great selection of homes, and residents who engage in their community, the Borough of Madison is one of New Jersey’s most-loved towns. Thinking of moving to Madison? Contact me to learn more about this beautiful community and what it has to offer.
Selling Your House? Make Sure You Price It Right.
There’s no denying we’re in a sellers’ market. With low inventory and high buyer demand, homes today are selling above the asking price at a record rate. According to the latest Realtors Confidence Index Survey from the National Association of Realtors (NAR):
- Homes typically sell within 17 days (compared to 26 days one year ago).
- The average home sold has five offers to pick from.
- 54% of offers are over the asking price.
Because so many buyers are competing for so few homes, bidding wars are driving up home prices. According to an average of leading expert projections, existing home prices are expected to increase by 8.9% this year.
Yet even in today’s red-hot sellers’ market, it’s important to price your house right. While it may be tempting to price your house on the high side to capitalize on this trend, doing so could limit your house’s potential.
Why Pricing Your House Right Matters
Here’s the thing – a high price tag doesn’t mean you’re going to cash in big on the sale. While you may be trying to maximize your return, the tradeoff may be steep. A high list price is more likely to deter buyers, sit on the market longer, or require a price drop that can raise questions among prospective buyers.
Instead, focus on setting a price that’s fair. Real estate professionals know the value of your home. By pricing your house based on its current condition and similar homes that have recently sold in your area, your agent can help you set a price that’s realistic and obtainable – and that’s good news for you and for buyers.When you price your house right, you increase your home’s visibility, which drives more buyers to your front door. The more buyers that tour your home, the more likely you’ll have a multi-offer scenario to create a bidding war. When multiple buyers compete for your house, that sets you up for a bigger win.
When it comes to pricing your house, working with a local real estate professional is essential. Let’s connect so we can optimize your exposure, your timeline, and the return on your investment, too.
If you’ve given even a casual thought to selling your house in the near future, this is the time to really think seriously about making a move. Here’s why this season is the ultimate sellers’ market and the optimal time to make sure your house is available for buyers who are looking for homes to purchase.
The latest Existing Homes Sales Report from The National Association of Realtors (NAR) shows the inventory of houses for sale is still astonishingly low, sitting at just a 2-month supply at the current sales pace.
Historically, a 6-month supply is necessary for a ‘normal’ or ‘neutral’ market in which there are enough homes available for active buyers (See graph below):
When the supply of houses for sale is as low as it is right now, it’s much harder for buyers to find homes to purchase. As a result, competition among purchasers rises and more bidding wars take place, making it essential for buyers to submit very attractive offers.
As this happens, home prices rise and sellers are in the best position to negotiate deals that meet their ideal terms. If you put your house on the market while so few homes are available to buy, it will likely get a lot of attention from hopeful buyers.
Today, there are many buyers who are ready, willing, and able to purchase a home. Low mortgage rates and a year filled with unique changes have prompted buyers to think differently about where they live – and they’re taking action. The supply of homes for sale is not keeping up with this high demand, making now the optimal time to sell your house.
Home prices are appreciating in today’s sellers’ market. Making your home available over the coming weeks will give you the most exposure to buyers who will actively compete against each other to purchase it.
You’ve finally taken the big step to buy a new home! As your real estate agent, I will always have your best interest at heart. That’s why it’s important to consider title insurance. Your home may be new to you, but every property has a history. So it’s better to play it safe.
A title search can help uncover title defects tied to your property. And, subject to the terms of the policy, your title insurance may provide you with protection from title problems discovered after you close your transaction. @RealSafeTitle shares 10 reasons why every homeowner needs title insurance and some of the common title issues.
1 – ERRORS IN PUBLIC RECORDS
To err is human, but when it affects your homeownership
rights, those mistakes can be devastating. Clerical or filing
errors could affect the deed or survey of your property and
cause undo financial strain in order to resolve them.
2 – UNKNOWN LIENS
Prior owners of your property may not have been
meticulous bookkeepers — or bill payers. And even
though the former debt is not your own, banks or other
financing companies can place liens on your property for
unpaid debts even after you have closed on the sale. This
is an especially worrisome issue with distressed properties.
3 – ILLEGAL DEEDS
While the chain of title on your property may appear
perfectly sound, it’s possible that a prior deed was made
by an undocumented immigrant, a minor, a person of
unsound mind, or one who is reported single but in
actuality married. These instances may affect the
enforceability of prior deeds, affecting prior (and possibly present) ownership.
4 – MISSING HEIRS
When a person dies, the ownership of his home may fall
to his heirs, or those named-within his will. However,
those heirs are sometimes missing or unknown at the
time of death. Other times, family members may contest
the will for their own property rights. These scenarios —
which can happen long after you have purchased the
property — could affect your rights to the property.
5 – FORGERIES
Unfortunately, we don’t live in a completely honest
world. Sometimes forged or fabricated documents that
affect property ownership are filed within public records,
obscuring the rightful ownership of the property. Once
these forgeries come to light, your rights to your home
may be in jeopardy.
6 – UNDISCOVERED ENCUMBRANCES
When it comes to owning a home, three can be a crowd.
At the time of purchase, you may not know that a third
party holds a claim to all or part of your property — due to
a former mortgage or lien, or non-financial claims, like
restrictions or covenants limiting the use of your property.
7 – UNKNOWN EASEMENTS
You may own your new home and its surrounding land,
but an unknown easement may prohibit you from using
it as you’d like, or could allow government agencies,
businesses or other parties’ access to all or portions of your property.
8 – BOUNDARY/SURVEY DISPUTES
You may have seen several surveys of your property
prior to purchasing, however, other surveys may exist
that show differing boundaries. Therefore, a neighbor
or other party may be able to claim ownership to a
portion of your property.
9 – UNDISCOVERED WILL
When a property owner dies with no apparent will or
heir, the state may sell his or her assets, including the
home. When you purchase such a home, you assume
your rights as owner. However, even years later, the
deceased owner’s will may come to light and your
rights to the property may be seriously jeopardized.
10 – FALSE IMPERSONATION OF
Common and similar names can make it possible to
falsely “impersonate” a property owner. If you purchase
a home that was once sold by a false owner, you risk losing your
legal claim to the property.
PLAY IT SAFE
These and other issues are often covered by an owner’s policy of title
insurance. When you buy a home, make sure you’re protecting that
investment with title insurance.
Want to learn more? Contact @realsafetitile
The pandemic changed the real estate market forever. Many people realized how much they longed for more space and started looking to the suburbs for a more comfortable life.
“It’s always been the case that, as young people get older and start families, they’re more likely to move to the suburbs. But as realtor.com‘s chief economist, Danielle Hale, put it, “COVID-19 accelerated this trend. People are looking for space and affordability, and [the suburbs are] where they can find it.”
The real estate market continues to sizzle this year, but inventory continues to run low. Higher-priced markets tend to have more inventory than those at lower price points. And since many continue to work and spend more time at home, having enough space for an office, a home gym, and even space for virtual learning has become essential. If buying a home of your dreams with enough space is on your 2021 goals list, this could be the year.
As more people continue to identify their changing needs this year, some are turning to the upscale housing sector for more space or finer features. In their most recent The Luxury Market Report, the Institute for Luxury Home Marketing (ILHM) shares:
“In a snapshot of 2020, despite the devasting effects of the coronavirus pandemic, the luxury real estate market has seen one of its strongest years since 2008. In comparison to experts’ predictions in early 2020, it is remarkable how significant demands for property type, location, and amenity preferences have changed amid the pandemic.”
With more opportunities to work from home and a growing interest in having extra space for things like virtual school, working out, and cooking more meals, the desire to own a home that can meet these needs continues to increase. Additionally, record-low mortgage rates are creating opportunities for homebuyers to stretch their legs into higher price points or even expand their real estate portfolios. The ILHM report continues to say:
“Experts believe that the demand for exclusive residential properties outside the metropolitan areas will continue well into 2021; even with the introduction of vaccines, the pandemic is far from over.
For those who have moved to the suburbs and beyond, moving back to the city full time is unlikely while the work from home trend remains. Many of these affluent homeowners are now making their secondary properties their primary residences for the foreseeable future.”
If you’re interested in buying a home this year, it appears that some higher-priced markets may have more homes to choose from than those at lower price points. Javier Vivas, Director of Economic Research at realtor.com, notes:
“Interestingly, markets, where new supply is improving the fastest, tend to be higher priced than those that have yet to see improvement, suggesting sellers are more active in the more expensive markets.”
If you’re hoping to buy the home of your dreams, this could be the year to achieve that goal. Let’s connect today to explore your possibilities.