Denver CO Real Estate BlogRecently posted or modified blog postshttps://www.smartdenverhomesearch.com/blog/Copyright SmartDenverHomeSearch.com2020-06-16T08:18:17-07:00tag:smartdenverhomesearch.com,2012-09-20:6913Real Estate Tops Best Investment Poll for 7th Year Running
<img width="750" height="410" src="https://files.mykcm.com/2020/06/10122721/20200615-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Real Estate Tops Best Investment Poll for 7th Year Running | MyKCM" srcset="https://files.mykcm.com/2020/06/10122721/20200615-KCM-Share.jpg 750w, https://files.mykcm.com/2020/06/10122721/20200615-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/06/10122721/20200615-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Every year, Gallup conducts a <a href="https://news.gallup.com/poll/309233/stock-investments-lose-luster-covid-sell-off.aspx" title="survey" target="_blank" rel="noopener noreferrer">survey</a> of Americans to determine their choice for the best long-term investment. Respondents are asked to select real estate, stocks/mutual funds, gold, savings accounts/CDs, or bonds.
For the seventh year in a row, real estate has come out on top as the best long-term investment. Gallup explained:
“Real estate remains the most favored investment to Americans, as has been the case since 2013, when the housing market was on the rebound. More than a third of Americans have named real estate as the top investment since 2016.”
This year’s results indicated 35% of Americans chose real estate, followed by stocks at 21%. The full results covering the last decade are shown in the chart below:<a href="https://files.mykcm.com/2020/06/10122652/20200615-MEM-ENG.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-94180" src="https://files.mykcm.com/2020/06/10122652/20200615-MEM-ENG.jpg" alt="Real Estate Tops Best Investment Poll for 7th Year Running | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2020/06/10122652/20200615-MEM-ENG.jpg 1000w, https://files.mykcm.com/2020/06/10122652/20200615-MEM-ENG-600x450.jpg 600w, https://files.mykcm.com/2020/06/10122652/20200615-MEM-ENG-768x576.jpg 768w, https://files.mykcm.com/2020/06/10122652/20200615-MEM-ENG-100x75.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>
Bottom Line
The belief of the American people in the stability of housing as a long-term investment remains strong, even through the many challenges our economy faces today.
2020-06-16T08:17:00-07:002020-06-16T08:18:17-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:6823Real Estate Will Lead the Economic Recovery
<img width="750" height="410" src="https://files.mykcm.com/2020/06/08132119/20200609-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Real Estate Will Lead the Economic Recovery | MyKCM" srcset="https://files.mykcm.com/2020/06/08132119/20200609-KCM-Share.jpg 750w, https://files.mykcm.com/2020/06/08132119/20200609-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/06/08132119/20200609-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
With more U.S. states reopening for business this summer, and as people start to return to work, we can expect the economy to begin improving. Most expert forecasts indicate this economic recovery will start to happen in the second half of this <a href="https://www.mykcm.com/2020/05/28/economists-forecast-recovery-to-begin-in-the-second-half-of-2020/" title="year">year</a>. As we get back to work and the financial landscape of the country begins to turn around, many experts also agree that real estate has the potential to lead the way in the recovery process.
According to <a href="https://www.zelmanassociates.com/" title="Ivy Zelman" target="_blank" rel="noopener noreferrer">Ivy Zelman</a> of Zelman & Associates:
“Housing will fare better than expected during this severe downturn.”
In addition, CNBC <a href="https://www.cnbc.com/2020/05/27/mortgage-demand-from-homebuyers-shows-strong-and-quick-recovery.html" title="notes" target="_blank" rel="noopener noreferrer">notes</a>:
“Mortgage demand from home buyers shows unexpectedly strong and quick recovery…The quick recovery has surprised most forecasters.”
Robert Dietz, Chief Economist and Senior Vice President for Economics and Housing Policy of the National Association of Home Builders (NAHB) <a href="http://eyeonhousing.org/2020/05/new-home-sales-overperform-in-april/" title="says" target="_blank" rel="noopener noreferrer">says</a>:
“Overall, the data lend evidence to the NAHB forecast that housing will be a leading sector in an eventual economic recovery.”
One of the big reasons why housing has the potential to be such a driving force is the significant impact it has on the local economy. This impact is particularly strong when a newly constructed home is built and sold. According to a recent <a href="https://www.nar.realtor/sites/default/files/documents/2019-state-economic-impact-of-real-estate-activity-us-04-14-2020.pdf" title="study" target="_blank" rel="noopener noreferrer">study</a> by the National Association of Realtors (NAR), the average new home sale has a total economic impact of $88,416. As outlined in the graphic below, this is a combination of income generated from real estate industries, expenditures, and new home construction.<a href="https://files.mykcm.com/2020/06/08132117/20200609-MEM-Eng-1.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-94094" src="https://files.mykcm.com/2020/06/08132117/20200609-MEM-Eng-1.jpg" alt="Real Estate Will Lead the Economic Recovery | MyKCM" width="600" height="338" srcset="https://files.mykcm.com/2020/06/08132117/20200609-MEM-Eng-1.jpg 1000w, https://files.mykcm.com/2020/06/08132117/20200609-MEM-Eng-1-600x338.jpg 600w, https://files.mykcm.com/2020/06/08132117/20200609-MEM-Eng-1-768x432.jpg 768w, https://files.mykcm.com/2020/06/08132117/20200609-MEM-Eng-1-100x56.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>With so many unknowns today, especially in the wake of a worldwide pandemic, one known factor is the bright spark the housing market can play in local and national recovery. Buying and selling a home goes well beyond personal growth and satisfaction – it supports our economy as a whole.
Bottom Line
According to experts, the economy will begin to recover in the second half of this year. With real estate as a driver, that recovery may start sooner than we think.
2020-06-09T08:24:00-07:002020-06-09T08:24:58-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:6815The Shocking News in the Unemployment Report
<img width="750" height="410" src="https://files.mykcm.com/2020/06/05111522/20200608-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="" srcset="https://files.mykcm.com/2020/06/05111522/20200608-KCM-Share.jpg 750w, https://files.mykcm.com/2020/06/05111522/20200608-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/06/05111522/20200608-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Last Friday, the U.S. Bureau of Labor Statistics released their May <a href="https://www.bls.gov/news.release/empsit.nr0.htm" title="Employment Situation Summary" target="_blank" rel="noopener noreferrer">Employment Situation Summary</a>. Leading up to the release, most experts predicted the unemployment rate would jump up to approximately 20% from the 14.7% rate announced last month.
The experts were shocked.
The Wall Street Journal put it this <a href="https://economics.cmail20.com/t/ViewEmail/d/6A743EE61457733D2540EF23F30FEDED/5323CD85A2087AFD22947492D9797BBC" title="way" target="_blank" rel="noopener noreferrer">way</a>:
“The May U.S. jobless rate fell to 13.3% and employers added 2.5 million jobs, blowing Wall Street expectations out of the water: Economists had forecast a loss of 8.3 million jobs and a 19.5% unemployment rate.”
In addition, CNBC <a href="https://www.cnbc.com/2020/06/05/jobs-report-may-2020.html" title="revealed" target="_blank" rel="noopener noreferrer">revealed</a>:
“The May gain was by far the biggest one-month jobs surge in U.S. history since at least 1939.”
Here are some of the job gains by sector:
Food Service and Bartenders – 1,400,000
Construction – 464,000
Education and Health Services – 424,000
Retail – 368,000
Other Services – 272,000
Manufacturing – 225,000
Professional Services – 127,000
There’s still a long way to go before the economy fully recovers, as 21 million Americans remain unemployed. That number is down, however, from 23 million just last month. And, of the 21 million in the current report, 73% feel their layoff is temporary. This aligns with a recent Federal Reserve Bank <a href="https://www.frbatlanta.org/blogs/macroblog/2020/05/01/covid-19-caused-3-new-hires-for-every-10-layoffs?mod=article_inline" title="report" target="_blank" rel="noopener noreferrer">report</a> that showed employers felt 75% of the job losses are temporary layoffs and furloughs.
The Employment Situation Summary was definitely a pleasant surprise, and evidence that the country’s economic turnaround is underway. The data also offers a labor-market snapshot from mid-May, when the government conducted its monthly survey of households and businesses. Many states did not open for business until the second half of May. This bodes well for next month’s jobs report.
Bottom Line
We cannot rejoice over a report that reveals millions of American families are still without work. We can, however, feel relieved that we are headed in the right direction, and much more quickly than most anticipated.
2020-06-08T10:05:00-07:002020-06-08T10:06:30-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:6813National Homeownership Month [INFOGRAPHIC]
<img width="1046" height="997" src="https://files.mykcm.com/2020/06/04131104/20200605-MEM-1046x997.jpg" class="attachment-entry size-entry wp-post-image" alt="National Homeownership Month [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2020/06/04131104/20200605-MEM-1046x997.jpg 1046w, https://files.mykcm.com/2020/06/04131104/20200605-MEM-600x572.jpg 600w, https://files.mykcm.com/2020/06/04131104/20200605-MEM-1024x976.jpg 1024w, https://files.mykcm.com/2020/06/04131104/20200605-MEM-768x732.jpg 768w, https://files.mykcm.com/2020/06/04131104/20200605-MEM-1536x1464.jpg 1536w, https://files.mykcm.com/2020/06/04131104/20200605-MEM-2048x1952.jpg 2048w, https://files.mykcm.com/2020/06/04131104/20200605-MEM-100x95.jpg 100w, https://files.mykcm.com/2020/06/04131104/20200605-MEM-1484x1414.jpg 1484w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
National Homeownership Month is a great time to reflect on how we can each promote stronger community growth.
Homeownership helps families build financial freedom, find greater happiness and satisfaction, and make a positive impact on our local communities.
Let’s connect today if homeownership is part of your future plans.
2020-06-05T14:47:00-07:002020-06-05T14:47:58-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:6745The Benefits of Homeownership May Reach Further Than You Think
<img width="750" height="410" src="https://files.mykcm.com/2020/05/29113507/20200601-KCM-Share-1.jpg" class="attachment-entry size-entry wp-post-image" alt="The Benefits of Homeownership May Reach Further Than You Think | MyKCM" srcset="https://files.mykcm.com/2020/05/29113507/20200601-KCM-Share-1.jpg 750w, https://files.mykcm.com/2020/05/29113507/20200601-KCM-Share-1-600x328.jpg 600w, https://files.mykcm.com/2020/05/29113507/20200601-KCM-Share-1-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
More than ever, our homes have become an integral part of our lives. Today they are much more than the houses we live in. They’re evolving into our workplaces, schools for our children, and safe havens that provide shelter, stability, and protection for our families through the evolving health crisis. Today, <a href="https://www.mykcm.com/2020/05/04/u-s-homeownership-rate-rises-to-highest-point-in-8-years/" title="65.3%">65.3%</a> of Americans are able to call their homes their own, a rate that has risen to its highest point in 8 years.
June is <a href="https://nationaldaycalendar.com/national-homeownership-month-june/" title="National Homeownership Month" target="_blank" rel="noopener noreferrer">National Homeownership Month</a>, and it’s a great time to reflect on the benefits of owning your own home. Below are some <a href="https://www.nar.realtor/sites/default/files/documents/white-paper-homeownership-incentivized-by-federal-system-02-06-2020.pdf" title="highlights" target="_blank" rel="noopener noreferrer">highlights</a> and quotes recently shared by the National Association of Realtors (NAR). From non-financial to financial, and even including how owning a home benefits your local economy, these items may give you reason to think homeownership stretches well beyond a sound dollars and cents investment alone.
Non-Financial Benefits
Owning a home brings families a sense of happiness, satisfaction, and pride.
Pride of Ownership: It feels good to have a place that’s truly your own, especially since you can customize it to your liking. “The personal satisfaction and sense of accomplishment achieved through homeownership can enhance psychological health, happiness and well-being for homeowners and those around them.”
Property Maintenance and Improvement: Your home is your stake in the community, and a way to give back by driving value into your neighborhood.
Civic Participation: Homeownership creates stability, a sense of community, and increases civic engagement. It’s a way to add to the strength of your local area.
Financial Benefits
Buying a home is also an investment in your family’s financial future.
Net Worth: Homeownership builds your family’s net worth. “The median family net worth for all homeowners ($231,400) increased by nearly 15% since 2013, while net worth ($5,000) actually declined by approximately 9% since 2013 for renter families.”
Financial Security: Equity, appreciation, and predictable monthly housing expenses are huge financial benefits of homeownership. Homeownership is truly the best way to improve your long-term net worth.
Economic Benefits
Homeownership is even a local economic driver.
Housing-Related Spending: An economic force throughout our nation, housing-related expenses accounted for more than one-sixth of the country’s economic activity over the past three decades.
GDP Growth: Homeownership also helps drive GDP growth as the country aims to make an economic rebound. “Every 10% increase in total housing market wealth would translate to approximately $147 billion in additional consumer spending, or 0.8% of GDP, as well as billions of dollars in new federal tax revenue.”
Entrepreneurship: Homeownership is even a form of forced savings that provides entrepreneurial opportunities as well. “Owning a home enables new entrepreneurs to obtain access to credit to start or expand a business and generate new jobs by using their home as collateral for small business loans.”
Bottom Line
The benefits of homeownership are vast and go well beyond the surface level. Homeownership is truly a way to build financial freedom, find greater satisfaction and happiness, and make a substantial impact on your local economy. If owning a home is part of your dream, let’s connect today so you can begin the homebuying process.
2020-06-01T09:41:00-07:002020-06-01T09:41:32-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:6659Top Reasons to Own Your Home [INFOGRAPHIC]
<img width="1046" height="1619" src="https://files.mykcm.com/2020/05/28130106/20200529-MEM-1046x1619.jpg" class="attachment-entry size-entry wp-post-image" alt="Top Reasons to Own Your Home [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2020/05/28130106/20200529-MEM-1046x1619.jpg 1046w, https://files.mykcm.com/2020/05/28130106/20200529-MEM-388x600.jpg 388w, https://files.mykcm.com/2020/05/28130106/20200529-MEM-662x1024.jpg 662w, https://files.mykcm.com/2020/05/28130106/20200529-MEM-768x1188.jpg 768w, https://files.mykcm.com/2020/05/28130106/20200529-MEM-993x1536.jpg 993w, https://files.mykcm.com/2020/05/28130106/20200529-MEM-100x155.jpg 100w, https://files.mykcm.com/2020/05/28130106/20200529-MEM.jpg 1171w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
June is National Homeownership Month, and it’s a great time to consider the benefits of owning your own home.
If you’re in a position to buy, homeownership might help you find the stability, community, and comfort you’ve been searching for this year.
Let’s connect today to determine if homeownership is the right next step for you and your family.
2020-05-29T08:51:00-07:002020-05-29T08:51:37-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:6645Economists Forecast Recovery to Begin in the Second Half of 2020
<img width="750" height="410" src="https://files.mykcm.com/2020/05/27122931/20200528-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Economists Forecast Recovery to Begin in the Second Half of 2020 | MyKCM" srcset="https://files.mykcm.com/2020/05/27122931/20200528-KCM-Share.jpg 750w, https://files.mykcm.com/2020/05/27122931/20200528-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/05/27122931/20200528-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
With the U.S. economy on everyone’s minds right now, questions about the country’s financial outlook continue to come up daily. The one that seems to keep rising to the top is: when will the economy begin to <a href="https://www.mykcm.com/2020/05/21/experts-predict-economic-recovery-should-begin-in-the-second-half-of-the-year/" title="recover">recover</a>? While no one knows exactly how a rebound will play out, expert economists around the country are becoming more aligned on when the recovery will begin.
According to the latest Wall Street Journal <a href="https://www.wsj.com/graphics/econsurvey/" title="Economic Forecasting Survey" target="_blank" rel="noopener noreferrer">Economic Forecasting Survey</a>, which polls more than 60 economists on a monthly basis, 85.3% believe a recovery will begin in the second half of 2020 (see graph below):<a href="https://files.mykcm.com/2020/05/27123107/20200528-MEM-Eng-1.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-93880" src="https://files.mykcm.com/2020/05/27123107/20200528-MEM-Eng-1.jpg" alt="Economists Forecast Recovery to Begin in the Second Half of 2020 | MyKCM" width="600" height="338" srcset="https://files.mykcm.com/2020/05/27123107/20200528-MEM-Eng-1.jpg 1000w, https://files.mykcm.com/2020/05/27123107/20200528-MEM-Eng-1-600x338.jpg 600w, https://files.mykcm.com/2020/05/27123107/20200528-MEM-Eng-1-768x432.jpg 768w, https://files.mykcm.com/2020/05/27123107/20200528-MEM-Eng-1-100x56.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>There seems to be a growing consensus among these experts that the second half of this year will be the start of a turnaround in this country.
Chris Hyzy, Chief Investment Officer for Merrill <a href="https://www.ml.com/articles/market-volatility/what-reopening-means-for-the-economy-may-21-2020.html" title="notes" target="_blank" rel="noopener noreferrer">notes</a>:
“We fully expect the economy could begin to pick up in late June and July with a strong recovery in the fourth quarter.”
In addition, five of the major financial institutions are also forecasting positive GDP in the second half of the year. Today, four of the five expect a recovery to begin in the third quarter of 2020, and all five agree a recovery should start by the fourth quarter (see graph below):<a href="https://files.mykcm.com/2020/05/27122932/20200528-MEM-Eng-2.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-93878" src="https://files.mykcm.com/2020/05/27122932/20200528-MEM-Eng-2.jpg" alt="Economists Forecast Recovery to Begin in the Second Half of 2020 | MyKCM" width="600" height="338" srcset="https://files.mykcm.com/2020/05/27122932/20200528-MEM-Eng-2.jpg 1000w, https://files.mykcm.com/2020/05/27122932/20200528-MEM-Eng-2-600x338.jpg 600w, https://files.mykcm.com/2020/05/27122932/20200528-MEM-Eng-2-768x432.jpg 768w, https://files.mykcm.com/2020/05/27122932/20200528-MEM-Eng-2-100x56.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>
Bottom Line
The vast majority of economists, analysts, and financial institutions are in unison, indicating an economic recovery should begin in the second half of 2020. Agreement among these leading experts is stronger than ever.
2020-05-28T08:50:00-07:002020-05-28T08:51:21-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:6635Buying or Selling a Home? You Need an Expert Kind of Guide
<img width="750" height="410" src="https://files.mykcm.com/2020/05/22111114/20200526-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Buying or Selling a Home? You Need an Expert Kind of Guide | MyKCM" srcset="https://files.mykcm.com/2020/05/22111114/20200526-KCM-Share.jpg 750w, https://files.mykcm.com/2020/05/22111114/20200526-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/05/22111114/20200526-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
In a normal housing market, whether you’re buying or selling a home, you need an experienced guide to help you navigate through the process. You need someone you can turn to who will tell you how to price your home correctly right from the start. You need someone who can help you determine what to offer on your dream home without paying too much or offending the seller with a low-ball offer.
We are, however, in anything but a normal market right now. We are amid one of the greatest health crises our nation has ever seen. The pandemic has had a dramatic impact on the journey consumers take to purchase or sell a home. To successfully navigate the landscape today, you need more than an experienced guide. You need a ‘Real Estate Sherpa.’
According to <a href="https://www.lexico.com/en/definition/sherpa" title="Lexico" target="_blank" rel="noopener noreferrer">Lexico</a>, a Sherpa is a “member of a Himalayan people living on the borders of Nepal and Tibet, renowned for their skill in mountaineering.” Sherpas are skilled in leading their parties through the extreme altitudes of the peaks and passes in the region – some of the most treacherous trails in the world. They take pride in their hardiness, expertise, and experience at very high altitudes.
They are much more than just guides.
This is much more than a normal real estate market.
Today, the average guide just won’t do. You need a Sherpa. You need an expert who understands how COVID-19 is impacting the thoughts and actions of the consumer (ex: virtual showings, proper safety protocols, e-signing documents). You need someone who can simply and effectively explain the changes in today’s process to you and your family. You need an expert who will guarantee you make the right decision, especially in these challenging times.
Bottom Line
Hiring an agent who understands how the pandemic is reshaping the real estate processes is crucial right now. Let’s connect today to guarantee your journey is a safe and successful one.
2020-05-26T09:35:00-07:002020-05-26T09:35:55-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:6618 Interest Rates Hover Near Historic All-Time Lows [INFOGRAPHIC]
<img width="1046" height="837" src="https://files.mykcm.com/2020/05/21093649/20200522-MEM-1046x837.png" class="attachment-entry size-entry wp-post-image" alt="Interest Rates Hover Near Historic All-Time Lows [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2020/05/21093649/20200522-MEM-1046x837.png 1046w, https://files.mykcm.com/2020/05/21093649/20200522-MEM-600x480.png 600w, https://files.mykcm.com/2020/05/21093649/20200522-MEM-1024x819.png 1024w, https://files.mykcm.com/2020/05/21093649/20200522-MEM-768x614.png 768w, https://files.mykcm.com/2020/05/21093649/20200522-MEM-100x80.png 100w, https://files.mykcm.com/2020/05/21093649/20200522-MEM.png 1350w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
Mortgage interest rates have dropped considerably this spring and are hovering at a historically low level.
Locking in at a low rate today could save you thousands of dollars over the lifetime of your home loan.
Let’s connect to determine the best way to position yourself for a move in today’s market.
2020-05-22T08:00:00-07:002020-05-22T08:00:45-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:66066 Reasons Why Selling Your House on Your Own Is a Mistake
<img width="750" height="410" src="https://files.mykcm.com/2020/05/19082638/20200520-KCM-Share1.jpg" class="attachment-entry size-entry wp-post-image" alt="6 Reasons Why Selling Your House on Your Own Is a Mistake | MyKCM" srcset="https://files.mykcm.com/2020/05/19082638/20200520-KCM-Share1.jpg 750w, https://files.mykcm.com/2020/05/19082638/20200520-KCM-Share1-600x328.jpg 600w, https://files.mykcm.com/2020/05/19082638/20200520-KCM-Share1-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
There are many <a href="https://www.mykcm.com/2019/12/27/working-with-a-local-real-estate-professional-makes-all-the-difference-infographic/" title="benefits">benefits</a> to working with a real estate professional when selling your house. During challenging times like the one we face today, it becomes even more important to have an expert help guide you through the process. If you’re considering selling on your own, known in the industry as a For Sale By Owner or FSBO, please consider the following:
1. Your Safety Is a Priority
During this pandemic, your family’s safety comes first. When you FSBO, it is incredibly difficult to control entry into your home. A real estate professional will have the proper protocols in place to protect not only your belongings, but your family’s health and well-being too. From regulating the number of people in your home at one time to ensuring proper sanitization during and after a showing, and even facilitating virtual tours for buyers, agents are equipped to follow the latest industry <a href="https://www.nar.realtor/coronavirus-a-guide-for-realtors" title="standards" target="_blank" rel="noopener noreferrer">standards</a> recommended by the National Association of Realtors (NAR) to help protect you and your family.
2. A Powerful Online Strategy Is a Must to Attract a Buyer
Recent <a href="https://www.nar.realtor/research-and-statistics/research-reports/home-buyer-and-seller-generational-trends" title="studies" target="_blank" rel="noopener noreferrer">studies</a> have shown that, even before COVID-19, the first step 44% of all buyers took when looking for a home was to search online. Throughout the process, that number jumped to 93%. Today, those numbers have grown exponentially. Most real estate agents have developed a strong Internet and social media strategy to promote the sale of your house. Have you?
3. There Are Too Many Negotiations
Here are just a few of the people you’ll need to negotiate with if you decide to FSBO:
The buyer, who wants the best deal possible
The buyer’s agent, who solely represents the best interest of the buyer
The inspection companies, which work for the buyer and will almost always find challenges with the house
The appraiser, if there is a question of value
As part of their training, agents are taught how to negotiate every aspect of the real estate transaction and how to mediate the emotions felt by buyers looking to make what is probably the largest purchase of their lives.
4. You Won’t Know if Your Purchaser Is Qualified for a Mortgage
Having a buyer who wants to purchase your house is the first step. Making sure they can afford to buy it is just as important. As a FSBO, it’s almost impossible to be involved in the mortgage process of your buyer. A real estate professional is trained to ask the appropriate questions and, in most cases, will be intimately aware of the progress that’s being made toward a purchaser’s mortgage commitment. Further complicating the situation is how the current mortgage market is rapidly evolving because of the number of families out of work and in mortgage forbearance. A loan program that was there yesterday could be gone tomorrow. You need someone who is working with lenders every day to guarantee your buyer makes it to the closing table.
5. FSBOing Has Become More Difficult from a Legal Standpoint
The documentation involved in the selling process has increased dramatically as more and more disclosures and regulations have become mandatory. In an increasingly litigious society, the agent acts as a third-party to help the seller avoid legal jeopardy. This is one of the major reasons why the percentage of people FSBOing has dropped from 19% to 8% over the last 20+ years.
6. You Net More Money When Using an Agent
Many homeowners believe they’ll save the real estate commission by selling on their own. Realize that the main reason buyers look at FSBOs is because they also believe they can save the real estate agent’s commission. The seller and buyer can’t both save the commission. A study by Collateral Analytics revealed that FSBOs don’t actually save anything by forgoing the help of an agent. In some cases, the seller may even net less money from the sale. The study found the difference in price between a FSBO and an agent-listed home was an average of 6%. One of the main reasons for the price difference is effective exposure:
“Properties listed with a broker that is a member of the local MLS will be listed online with all other participating broker websites, marketing the home to a much larger buyer population. And those MLS properties generally offer compensation to agents who represent buyers, incentivizing them to show and sell the property and again potentially enlarging the buyer pool.”
The more buyers that view a home, the greater the chance a bidding war will take place.
Bottom Line
Listing on your own leaves you to manage the entire transaction yourself. Why do that when you can hire an agent and still net the same amount of money? Before you decide to take on the challenge of selling your house alone, let’s connect to discuss your options.2020-05-20T14:00:00-07:002020-05-20T14:01:49-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:6595Housing Market Positioned to Bring Back the Economy
<img width="750" height="410" src="https://files.mykcm.com/2020/05/18101148/20200519-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Housing Market Positioned to Bring Back the Economy | MyKCM" srcset="https://files.mykcm.com/2020/05/18101148/20200519-KCM-Share.jpg 750w, https://files.mykcm.com/2020/05/18101148/20200519-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/05/18101148/20200519-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
All eyes are on the American economy. As it goes, so does the world economy. With states beginning to reopen, the question becomes: which sectors of the economy will drive its recovery? There seems to be a growing consensus that the housing market is positioned to be that driving force, the tailwind that is necessary. Some may question that assertion as they look back on the last recession in 2008 when housing was the anchor to the economy – holding it back from sailing forward. But even then, the overall economy did not begin to recover until the real estate market started to regain its strength. This time, the housing market was in great shape when the virus hit. As Mark Fleming, Chief Economist of First American, <a href="https://blog.firstam.com/economics/why-the-housing-market-may-weather-coronavirus-impact-better-than-the-great-recession" title="recently explained" target="_blank" rel="noopener noreferrer">recently explained</a>:
“Many still bear scars from the Great Recession and may expect the housing market to follow a similar trajectory in response to the coronavirus outbreak. But, there are distinct differences that indicate the housing market may follow a much different path. While housing led the recession in 2008-2009, this time it may be poised to bring us out of it.”
Fleming is not the only economist who believes this. Last week, Dr. Frank Nothaft, Chief Economist for CoreLogic, (@DrFrankNothaft) tweeted:
“For the first 6 decades after WWII, the housing sector led the rest of the economy out of each recession. Expect it to do so this time as well.”
And, Robert Dietz, Chief Economist for the National Association of Home Builders, in an <a href="http://eyeonhousing.org/2020/05/gain-for-housing-share-of-gdp-during-1q20/" title="economic update" target="_blank" rel="noopener noreferrer">economic update</a> last week explained:
“As the economy begins a recovery later in 2020, we expect housing to play a leading role. Housing enters this recession underbuilt, not overbuilt…Based on demographics and current vacancy rates, the U.S. may have a housing deficit of up to one million units.”
Bottom Line
Every time a home is sold it has a tremendous financial <a href="https://www.mykcm.com/2020/04/30/why-the-housing-market-is-a-powerful-economic-driver/" title="impact">impact</a> on local economies. As the real estate market continues its recovery, it will act as a strong tailwind to the overall national economy.2020-05-20T09:02:00-07:002020-05-20T09:03:27-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:6580#1 Financial Benefit of Homeownership: Family Wealth
<img width="750" height="410" src="https://files.mykcm.com/2020/05/15073215/20200518-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="#1 Financial Benefit of Homeownership: Family Wealth | MyKCM" srcset="https://files.mykcm.com/2020/05/15073215/20200518-KCM-Share.jpg 750w, https://files.mykcm.com/2020/05/15073215/20200518-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/05/15073215/20200518-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
While growing up, we were taught by our parents and grandparents that owning a home is a financially savvy move. They explained how a mortgage is like a “forced savings plan.” When you pay rent, that money is lost forever. When you make a mortgage payment, much of that money accumulates as equity in the home. So, what exactly is equity? The equity in your home is the amount of money you can sell it for minus what you still owe on the mortgage. Every month you make a mortgage payment, and every month a portion of what you pay reduces the amount you owe. That reduction of your mortgage every month increases your equity. A recent <a href="https://www.corelogic.com/insights-download/homeowner-equity-report.aspx" title="study" target="_blank" rel="noopener noreferrer">study</a> by CoreLogic explained that homeowners gained substantial equity over the last twelve months, and are essentially sitting on large sums of cash in their homes. In the study, Frank Nothaft, Chief Economist for CoreLogic explained:
“The CoreLogic Home Price Index recorded a quickening of home price gains during the fourth quarter of 2019, helping to boost home equity wealth. The average family with a mortgage had a $7,300 gain in home equity during the past year, and a total of $177,000 in home equity wealth.”
For most families, their home is their largest financial asset. This increase in equity drives the net worth, or family wealth, of the homeowner. Renters are not earning that benefit. Instead, they’re building the net worth of their landlord.
Bottom Line
Home price growth will moderate during the pandemic. But once a cure is available, most experts agree that home values will again begin to appreciate at levels similar to what we’ve seen over the last several years. In the long run, our family elders will be proven correct: owning a home is a savvy financial move.2020-05-18T13:24:00-07:002020-05-18T13:25:07-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:6009What You Can Do to Keep Your Dream of Homeownership Moving Forward [INFOGRAPHIC]
<img width="1046" height="1840" src="https://files.mykcm.com/2020/03/26114557/20200327-MEM-EN-1046x1840.jpg" class="attachment-entry size-entry wp-post-image" alt="What You Can Do to Keep Your Dream of Homeownership Moving Forward [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2020/03/26114557/20200327-MEM-EN-1046x1840.jpg 1046w, https://files.mykcm.com/2020/03/26114557/20200327-MEM-EN-341x600.jpg 341w, https://files.mykcm.com/2020/03/26114557/20200327-MEM-EN-582x1024.jpg 582w, https://files.mykcm.com/2020/03/26114557/20200327-MEM-EN-768x1351.jpg 768w, https://files.mykcm.com/2020/03/26114557/20200327-MEM-EN-873x1536.jpg 873w, https://files.mykcm.com/2020/03/26114557/20200327-MEM-EN-100x176.jpg 100w, https://files.mykcm.com/2020/03/26114557/20200327-MEM-EN.jpg 1080w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
Don’t put your homeownership plans on hold just because you’re stuck inside.
There are several things you can do right now to keep your home search moving forward.
Connect with an agent, learn about resource programs for things like <a href="https://downpaymentresource.com/" title="down payments" target="_blank" rel="noopener noreferrer">down payments</a>, and get <a href="https://www.mykcm.com/2020/02/03/three-reasons-why-pre-approval-is-the-first-step-in-the-2020-homebuying-journey/" title="pre-approved">pre-approved</a> today.
2020-03-27T09:09:00-07:002020-03-27T09:10:01-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:5914The Difference an Hour Makes [INFOGRAPHIC]
<img width="1046" height="837" src="https://files.mykcm.com/2020/03/04101554/20200306-MEM-EN-1046x837.jpg" class="attachment-entry size-entry wp-post-image" alt="The Difference an Hour Makes [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2020/03/04101554/20200306-MEM-EN-1046x837.jpg 1046w, https://files.mykcm.com/2020/03/04101554/20200306-MEM-EN-600x480.jpg 600w, https://files.mykcm.com/2020/03/04101554/20200306-MEM-EN-1024x819.jpg 1024w, https://files.mykcm.com/2020/03/04101554/20200306-MEM-EN-768x614.jpg 768w, https://files.mykcm.com/2020/03/04101554/20200306-MEM-EN-100x80.jpg 100w, https://files.mykcm.com/2020/03/04101554/20200306-MEM-EN.jpg 1350w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
Don’t forget to set your clocks forward this Sunday, March 8 at 2:00 AM EST in observance of Daylight Saving Time, unless you’re a resident of Arizona or Hawaii!
Every hour in the United States, 568 homes are sold and median home values rise by $1.92.
As we “spring forward” this year, let’s get together to see how you can take advantage of every hour in the housing market.
2020-03-06T09:25:00-07:002020-03-06T09:25:25-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:5888How Your Tax Refund Can Move You Toward Homeownership This Year
<img width="750" height="410" src="https://files.mykcm.com/2020/02/27100034/20200302-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="How Your Tax Refund Can Move You Toward Homeownership This Year | MyKCM" srcset="https://files.mykcm.com/2020/02/27100034/20200302-KCM-Share.jpg 750w, https://files.mykcm.com/2020/02/27100034/20200302-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/02/27100034/20200302-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
If you’re looking to buy a home in 2020, have you thought about putting your tax refund toward a down payment? Homeownership may be one step closer than you think if you spend your dollars wisely this year.
Based on data released by the Internal Revenue Service (IRS), Americans can expect an estimated average refund of <a href="https://finance.yahoo.com/news/tax-refunds-america-hidden-cost-120048320.html" title="$2,962" target="_blank" rel="noopener noreferrer">$2,962</a> when filing their taxes this year.
The map below <a href="https://smartasset.com/taxes/tax-return-calculator?year=2020#us/taxReturn" title="shows" target="_blank" rel="noopener noreferrer">shows</a> the average tax refund Americans received last year by state:<a href="https://files.mykcm.com/2020/02/27095910/20200302-Mem-Eng-1.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-91613" src="https://files.mykcm.com/2020/02/27095910/20200302-Mem-Eng-1.jpg" alt="How Your Tax Refund Can Move You Toward Homeownership This Year | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2020/02/27095910/20200302-Mem-Eng-1.jpg 720w, https://files.mykcm.com/2020/02/27095910/20200302-Mem-Eng-1-600x450.jpg 600w, https://files.mykcm.com/2020/02/27095910/20200302-Mem-Eng-1-100x75.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>According to programs from the Federal Housing Authority, Freddie Mac, and Fannie Mae, many first-time buyers can purchase a home with as little as 3% down. Truth be told, a 20% <a href="https://www.mykcm.com/2019/10/07/62-of-buyers-are-wrong-about-down-payment-needs/" title="down payment">down payment</a> is not always required to buy a home, even though that’s a common misconception about homebuying. Veterans Affairs Loans allow many <a href="https://www.mykcm.com/2019/11/08/va-home-loans-by-the-numbers-infographic-2/" title="veterans">veterans</a> to purchase a home with 0% down.
How can my tax refund help?
If you’re a first-time buyer, your tax refund may cover more of a down payment than you ever thought possible.
If you take into account the <a href="https://www.zillow.com/research/data/" title="median home sale price" target="_blank" rel="noopener noreferrer">median home sale price</a> by state, the map below shows the percentage of a 3% down payment that’s covered by the average tax refund:<a href="https://files.mykcm.com/2020/02/27095949/20200302-MEM-Eng-2.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-91614" src="https://files.mykcm.com/2020/02/27095949/20200302-MEM-Eng-2.jpg" alt="How Your Tax Refund Can Move You Toward Homeownership This Year | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2020/02/27095949/20200302-MEM-Eng-2.jpg 720w, https://files.mykcm.com/2020/02/27095949/20200302-MEM-Eng-2-600x450.jpg 600w, https://files.mykcm.com/2020/02/27095949/20200302-MEM-Eng-2-100x75.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>The darker the blue, the closer your tax refund gets you to homeownership in one of these programs. Maybe this is the year to plan ahead and put your tax refund toward a down payment on a home.
Bottom Line
Saving for a down payment can seem like a daunting task, but the more you know about what’s required, the more prepared you’ll be to make the best decision for you and your family. This tax season, your refund could be your key to homeownership.
2020-03-02T10:26:00-07:002020-03-02T10:27:01-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:5878How Much “Housing Wealth” Can You Build in a Decade?
<img width="750" height="410" src="https://files.mykcm.com/2020/02/25083320/20200227-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="How Much “Housing Wealth” Can You Build in a Decade? | MyKCM" srcset="https://files.mykcm.com/2020/02/25083320/20200227-KCM-Share.jpg 750w, https://files.mykcm.com/2020/02/25083320/20200227-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/02/25083320/20200227-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Earlier this month, the National Association of Realtors (NAR) released a special study titled <a href="https://www.nar.realtor/research-and-statistics/research-reports/home-price-gains-by-years-of-tenure" title="Single-Family Home Price Gains by Years of Tenure" target="_blank" rel="noopener noreferrer">Single-Family Home Price Gains by Years of Tenure</a>. The study estimates median home price appreciation over the last 30 years based on the length of homeownership.
Below are three graphs depicting the most important data revealed in the study.
How much have home prices increased?
One of the first measures of the financial benefits of homeownership is the net worth (in the form of equity) an owner can build over time. The study showed the average increase in home values based on how long homeowners stayed in a home.<a href="https://files.mykcm.com/2020/02/25083155/20200227-MEM-Eng-1.jpg" title="
" target="_blank" rel="noopener noreferrer"><br /></a><a href="https://files.mykcm.com/2020/02/25083155/20200227-MEM-Eng-1.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-91583" src="https://files.mykcm.com/2020/02/25083155/20200227-MEM-Eng-1.jpg" alt="How Much “Housing Wealth” Can You Build in a Decade? | MyKCM" width="600" height="338" srcset="https://files.mykcm.com/2020/02/25083155/20200227-MEM-Eng-1.jpg 720w, https://files.mykcm.com/2020/02/25083155/20200227-MEM-Eng-1-600x338.jpg 600w, https://files.mykcm.com/2020/02/25083155/20200227-MEM-Eng-1-100x56.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>
What was the percentage of appreciation?
Another way to look at this is by the percentage increase in value over time, called appreciation:<a href="https://files.mykcm.com/2020/02/25083209/20200227-MEM-Eng-2.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-91584" src="https://files.mykcm.com/2020/02/25083209/20200227-MEM-Eng-2.jpg" alt="How Much “Housing Wealth” Can You Build in a Decade? | MyKCM" width="600" height="338" srcset="https://files.mykcm.com/2020/02/25083209/20200227-MEM-Eng-2.jpg 720w, https://files.mykcm.com/2020/02/25083209/20200227-MEM-Eng-2-600x338.jpg 600w, https://files.mykcm.com/2020/02/25083209/20200227-MEM-Eng-2-100x56.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>
Was this appreciation consistent throughout the country?
Today, when we think of markets that have done well over the last decade, we have a tendency to think about San Francisco, San Diego, Seattle, and other West Coast cities. Though it is true the West Region showed the highest price growth over the last three decades, we can see how every region of the country did quite well in ten-year increments:<a href="https://files.mykcm.com/2020/02/25083220/20200227-MEM-Eng-3.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-91585" src="https://files.mykcm.com/2020/02/25083220/20200227-MEM-Eng-3.jpg" alt="How Much “Housing Wealth” Can You Build in a Decade? | MyKCM" width="600" height="338" srcset="https://files.mykcm.com/2020/02/25083220/20200227-MEM-Eng-3.jpg 720w, https://files.mykcm.com/2020/02/25083220/20200227-MEM-Eng-3-600x338.jpg 600w, https://files.mykcm.com/2020/02/25083220/20200227-MEM-Eng-3-100x56.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>This data validates the claim that homeownership is great for building wealth. The importance of this information was highlighted in the study’s first sentence:
“Homeownership is an important source of wealth creation, enabling current homeowners and succeeding generations to move up the economic ladder.”
Bottom Line
Homeownership has many financial and non-financial benefits. The accumulation of “housing wealth” through increased equity is a major one. If you’re thinking of buying a home for the first time or moving up to your dream home, the sooner you make the move, the sooner your net worth will begin to grow.
2020-02-27T09:26:00-07:002020-02-27T09:26:50-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:5519Interest Rates Over Time [INFOGRAPHIC]
<img width="1046" height="837" src="https://files.mykcm.com/2020/02/20093247/20200221-MEM-1046x837.jpg" class="attachment-entry size-entry wp-post-image" alt="Interest Rates Over Time [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2020/02/20093247/20200221-MEM-1046x837.jpg 1046w, https://files.mykcm.com/2020/02/20093247/20200221-MEM-600x480.jpg 600w, https://files.mykcm.com/2020/02/20093247/20200221-MEM-1024x819.jpg 1024w, https://files.mykcm.com/2020/02/20093247/20200221-MEM-768x614.jpg 768w, https://files.mykcm.com/2020/02/20093247/20200221-MEM-100x80.jpg 100w, https://files.mykcm.com/2020/02/20093247/20200221-MEM.jpg 1350w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
With interest rates hovering at near historic lows, now is a great time to look back at where they’ve been, and how much they’ve changed over time.
According to <a href="http://www.freddiemac.com/pmms/" title="Freddie Mac" target="_blank" rel="noopener noreferrer">Freddie Mac</a>, mortgage interest rates are currently hovering near a five-decade low.
The impact your interest rate has on your monthly mortgage payment is significant. An increase of just $20 dollars in your monthly payment can add up to $240 per year or $7,200 over the life of your loan. Maybe it’s time to lock in now while rates are still low.
2020-02-21T10:07:00-07:002020-02-21T10:07:49-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:5485Reasons to Fall in Love with Homeownership [INFOGRAPHIC]
<img width="1046" height="1308" src="https://files.mykcm.com/2020/02/13122038/20200214-MEM-ENG-1046x1308.jpg" class="attachment-entry size-entry wp-post-image" alt="Top Reasons to Love Homeownership [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2020/02/13122038/20200214-MEM-ENG-1046x1308.jpg 1046w, https://files.mykcm.com/2020/02/13122038/20200214-MEM-ENG-480x600.jpg 480w, https://files.mykcm.com/2020/02/13122038/20200214-MEM-ENG-819x1024.jpg 819w, https://files.mykcm.com/2020/02/13122038/20200214-MEM-ENG-768x960.jpg 768w, https://files.mykcm.com/2020/02/13122038/20200214-MEM-ENG-100x125.jpg 100w, https://files.mykcm.com/2020/02/13122038/20200214-MEM-ENG.jpg 1080w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:<br />
There are many benefits to love about homeownership, and they’re not all financial.
Being a part of a neighborhood, driving academic achievement, and improving mental health are just a few of these advantages.
Let’s get together today to determine if you’re ready to embrace the rewards of owning your own home.
2020-02-14T09:28:00-07:002020-02-14T09:28:54-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:5469The #1 Reason to List Your House Right Now
<img width="750" height="410" src="https://files.mykcm.com/2020/02/11061445/20200212-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="The #1 Reason to List Your House Right Now | MyKCM" srcset="https://files.mykcm.com/2020/02/11061445/20200212-KCM-Share.jpg 750w, https://files.mykcm.com/2020/02/11061445/20200212-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/02/11061445/20200212-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
The success of the U.S. residential real estate market, like any other market, is determined by supply and demand. This means we need to look at how many potential purchasers are in the market versus the number of houses that are available to buy. With early 2020 housing data now rolling in, it’s quite evident there are two big stories impacting this year’s residential real estate market:
1. Buyer demand is already extremely strong<br />2. Housing supply is at a historically low level
Demand
ShowingTime is a firm that compiles data from property showings scheduled across the country. The latest ShowingTime Showing Index <a href="https://www.showingtime.com/showingtime-showing-index/" title="reveals" target="_blank" rel="noopener noreferrer">reveals</a> how showings have increased in each of the country’s four regions for five months in a row.
Supply
Move.com also just released <a href="https://news.move.com/2020-02-07-U-S-Housing-Supply-Reaches-New-Low" title="information" target="_blank" rel="noopener noreferrer">information</a> indicating that the number of homes currently for sale has declined rapidly and now sits at the lowest level in almost a decade. They explained,
“National housing inventory declined 13.6 percent in January, the steepest year-over-year decrease in more than 4 years, pushing the supply of for sale homes in the U.S. to its lowest level since realtor.com began tracking the data in 2012.”
In response to these numbers, Danielle Hale, Chief Economist at realtor.com, said,
“Homebuyers took advantage of low mortgage rates and stable listing prices to drive sales higher at the end of 2019, further depleting the already limited inventory of homes for sale. With fewer homes coming up for sale, we’ve hit another new low of for sale-listings in January.”
The decrease in inventory impacted every price range, too. Here’s a graph showing the data released by move.com:<a href="https://files.mykcm.com/2020/02/11061421/20200212-MEM-Eng-1.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-91395" src="https://files.mykcm.com/2020/02/11061421/20200212-MEM-Eng-1.jpg" alt="The #1 Reason to List Your House Right Now | MyKCM" width="600" height="338" srcset="https://files.mykcm.com/2020/02/11061421/20200212-MEM-Eng-1.jpg 720w, https://files.mykcm.com/2020/02/11061421/20200212-MEM-Eng-1-600x338.jpg 600w, https://files.mykcm.com/2020/02/11061421/20200212-MEM-Eng-1-100x56.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>
Bottom Line
Since there’s a historic shortage of homes for sale, putting your home on the market today could drive an excellent price and give you additional negotiating leverage when selling your house. Let’s get together to determine if listing your house now is your best move.
2020-02-12T09:05:00-07:002020-02-12T09:05:21-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:5464Homeownership Rate on the Rise to a 6-Year High
<img width="750" height="410" src="https://files.mykcm.com/2020/02/10093040/20200211-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Homeownership Rate on the Rise to a 6-Year High | MyKCM" srcset="https://files.mykcm.com/2020/02/10093040/20200211-KCM-Share.jpg 750w, https://files.mykcm.com/2020/02/10093040/20200211-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/02/10093040/20200211-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Regardless of the lack of inventory on the market, the U.S. homeownership rate has climbed to a 6-year high. The United States Census Bureau <a href="https://www.census.gov/housing/hvs/files/currenthvspress.pdf" title="reported" target="_blank" rel="noopener noreferrer">reported</a> that it increased to 65.1% in the fourth quarter of 2019, representing the highest level in the past six years. See the graph below:<a href="https://files.mykcm.com/2020/02/10092925/20200211-MEM-Eng-1.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-91377" src="https://files.mykcm.com/2020/02/10092925/20200211-MEM-Eng-1.jpg" alt="Homeownership Rate on the Rise to a 6-Year High | MyKCM" width="600" height="338" srcset="https://files.mykcm.com/2020/02/10092925/20200211-MEM-Eng-1.jpg 720w, https://files.mykcm.com/2020/02/10092925/20200211-MEM-Eng-1-600x338.jpg 600w, https://files.mykcm.com/2020/02/10092925/20200211-MEM-Eng-1-100x56.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>This increase does not come as a surprise. According to <a href="https://news.move.com/2020-01-22-A-Millennial-Sized-Problem-Stands-in-Front-of-Gen-Z-Homebuyers" title="realtor.com" target="_blank" rel="noopener noreferrer">realtor.com</a>,
“The largest cohort of the millennial generation turns 30-years-old in 2020 and they are hitting the housing market in full force. At the end of the fourth quarter of 2019, millennials made up the largest generational segment of homebuyers, growing their share of home purchase mortgages to 48 percent.”
With so many Millennials entering a homebuying phase of life and getting into the market, the <a href="https://about.bankofamerica.com/assets/pdf/2020-bmh-millennial-report.pdf" title="Millennial Report" target="_blank" rel="noopener noreferrer">Millennial Report</a> also explains,
“Homeownership is an even bigger goal for younger generations. Of those with savings, 41 percent of Gen Z and 40 percent of younger millennials are saving to buy a home.”
Today’s low interest rates are providing a break to new homeowners too, regardless of generation, making homeownership more desirable and achievable at the same time. <a href="http://www.freddiemac.com/pmms/" title="Freddie Mac" target="_blank" rel="noopener noreferrer">Freddie Mac</a> explains,
“The combination of very low mortgage rates, a strong economy and more positive financial market sentiment all point to home purchase demand continuing to rise over the next few months.”
The increase in homeownership rate was also represented by race and ethnicity of the householders. <a href="https://www.housingwire.com/articles/homeownership-rate-rises-to-6-year-high/" title="HousingWire" target="_blank" rel="noopener noreferrer">HousingWire</a> explains,
“The homeownership rate for black Americans in 2019’s fourth quarter rose to 44%, a seven-year high, increasing from the record low it reached in 2019’s second quarter. The rate for Hispanic Americans was 48.1%, a two-year high, the Census data showed…The rate for white Americans was 73.7%, an eight-year high.”
See the graph below:<a href="https://files.mykcm.com/2020/02/10093004/20200211-MEM-Eng-2.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-91378" src="https://files.mykcm.com/2020/02/10093004/20200211-MEM-Eng-2.jpg" alt="Homeownership Rate on the Rise to a 6-Year High | MyKCM" width="600" height="338" srcset="https://files.mykcm.com/2020/02/10093004/20200211-MEM-Eng-2.jpg 720w, https://files.mykcm.com/2020/02/10093004/20200211-MEM-Eng-2-600x338.jpg 600w, https://files.mykcm.com/2020/02/10093004/20200211-MEM-Eng-2-100x56.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>
Bottom Line
If you’re considering buying a home this year, let’s get together to set a plan that will help you get one step closer to achieving your dream.
2020-02-11T11:01:00-07:002020-02-11T11:02:20-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:53652020 Homebuying Checklist
<img width="1046" height="1308" src="https://files.mykcm.com/2020/01/23121310/20200124-MEM-1046x1308.jpg" class="attachment-entry size-entry wp-post-image" alt="2020 Homebuying Checklist | MyKCM" srcset="https://files.mykcm.com/2020/01/23121310/20200124-MEM-1046x1308.jpg 1046w, https://files.mykcm.com/2020/01/23121310/20200124-MEM-480x600.jpg 480w, https://files.mykcm.com/2020/01/23121310/20200124-MEM-819x1024.jpg 819w, https://files.mykcm.com/2020/01/23121310/20200124-MEM-768x960.jpg 768w, https://files.mykcm.com/2020/01/23121310/20200124-MEM-100x125.jpg 100w, https://files.mykcm.com/2020/01/23121310/20200124-MEM.jpg 1080w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
If you’re thinking of buying a home, <a href="http://www.freddiemac.com/blog/homeownership/20191218_making_a_homebuying_list.page" title="plan ahead" target="_blank" rel="noopener noreferrer">plan ahead</a> and stay on the right track, starting with <a href="https://www.mykcm.com/2019/06/24/stop-wondering-what-your-budget-is-get-pre-approved/" title="pre-approval">pre-approval</a>.
Being proactive about the homebuying process will help set you up for success in each step.
Make sure to work with a trusted real estate <a href="https://www.mykcm.com/2019/12/27/working-with-a-local-real-estate-professional-makes-all-the-difference-infographic/" title="professional">professional</a> along the way, to help guide you through the homebuying steps specific to your area.
2020-01-24T09:42:00-07:002020-01-24T09:42:23-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:5313Homes Are More Affordable Today, Not Less Affordable
<img width="750" height="410" src="https://files.mykcm.com/2020/01/10090430/20200115-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Homes Are More Affordable Today, Not Less Affordable | MyKCM" srcset="https://files.mykcm.com/2020/01/10090430/20200115-KCM-Share.jpg 750w, https://files.mykcm.com/2020/01/10090430/20200115-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/01/10090430/20200115-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
There’s a current narrative that owning a home today is less affordable than it has been in the past. The reason some are making this claim is because house prices have substantially increased over the last several years.
It’s not, however, just the price of a home that matters.
Homes, in most cases, are purchased with a mortgage. The current mortgage rate is a major component of the affordability equation. Mortgage rates have fallen by over a full percentage point since December 2018. Another major piece of the affordability equation is a buyer’s income. The median family income has risen by approximately 3% over the last year.
The National Association of Realtors (NAR) releases a monthly Housing Affordability Index. The <a href="https://www.nar.realtor/blogs/economists-outlook/housing-affordability-slightly-dips-in-october-2019" title="latest index" target="_blank" rel="noopener noreferrer">latest index</a> shows that home affordability is better today than at almost any point over the last 30 years. The index determines how affordable homes are based on the following:
“A Home Affordability Index value of 100 means that a family with the median income has exactly enough income to qualify for a mortgage on a median-priced home. An index of 120 signifies that a family earning the median income has 20 percent more than the level of income needed pay the mortgage on a median-priced home, assuming a 20 percent down payment so that the monthly payment and interest will not exceed 25 percent of this level of income (qualifying income).”
The higher the index, therefore, the more affordable homes are. Here is a graph showing the index since 1990:<a href="https://files.mykcm.com/2020/01/10090241/20200115-MEM-ENG-1.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90988" src="https://files.mykcm.com/2020/01/10090241/20200115-MEM-ENG-1.jpg" alt="Homes Are More Affordable Today, Not Less Affordable | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2020/01/10090241/20200115-MEM-ENG-1.jpg 960w, https://files.mykcm.com/2020/01/10090241/20200115-MEM-ENG-1-600x450.jpg 600w, https://files.mykcm.com/2020/01/10090241/20200115-MEM-ENG-1-768x576.jpg 768w, https://files.mykcm.com/2020/01/10090241/20200115-MEM-ENG-1-100x75.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>Obviously, affordability was better during the housing crash when distressed properties – foreclosures and short sales – sold at major discounts (2009-2015). Outside of that period, however, homes are more affordable today than any other year since 1990, except for 2016.
The report on the index also includes a section that calculates the mortgage payment on a median priced home as a percentage of the median national income. Historically, that percentage is just above 21%. Here are the percentages since June of 2018:<a href="https://files.mykcm.com/2020/01/10090336/20200115-MEM-ENG-2.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90989" src="https://files.mykcm.com/2020/01/10090336/20200115-MEM-ENG-2.jpg" alt="Homes Are More Affordable Today, Not Less Affordable | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2020/01/10090336/20200115-MEM-ENG-2.jpg 960w, https://files.mykcm.com/2020/01/10090336/20200115-MEM-ENG-2-600x450.jpg 600w, https://files.mykcm.com/2020/01/10090336/20200115-MEM-ENG-2-768x576.jpg 768w, https://files.mykcm.com/2020/01/10090336/20200115-MEM-ENG-2-100x75.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>Again, we can see that affordability is much better today than the historical average and has been getting better over the last year and a half.
Bottom Line
Whether you’re thinking about buying your first home or moving up to the home of your dreams, don’t let the false narrative about affordability prevent you from moving forward. From an affordability standpoint, this is one of the best times to buy in the last 30 years.
2020-01-15T09:43:00-07:002020-01-15T09:44:07-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:5297Buying a Home Early Can Significantly Increase Future Wealth
<img width="750" height="410" src="https://files.mykcm.com/2020/01/10082133/20200113-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Buying a Home Early Can Significantly Increase Future Wealth | MyKCM" srcset="https://files.mykcm.com/2020/01/10082133/20200113-KCM-Share.jpg 750w, https://files.mykcm.com/2020/01/10082133/20200113-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/01/10082133/20200113-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
According to an <a href="https://www.urban.org/urban-wire/buy-young-earn-more-buying-house-age-35-gives-homeowners-more-bang-their-buck" title="Urban Institute" target="_blank" rel="noopener noreferrer">Urban Institute</a> study, homeowners who purchase a house before age 35 are better prepared for retirement at age 60.
The good news is, our younger generations are strong believers in homeownership.
According to a <a href="http://www.freddiemac.com/research/consumer-research/20191120_gen_z_ambitious_yet_realistic.page" title="Freddie Mac" target="_blank" rel="noopener noreferrer">Freddie Mac</a> survey,
“The dream of homeownership is alive and well within “Generation Z,” the demographic cohort following Millennials.
Our survey…finds that Gen Z views homeownership as an important goal. They estimate that they will attain this goal by the time they turn 30 years old, three years younger than the current median homebuying age (33).”
<a href="https://files.mykcm.com/2020/01/10081957/20200113-MEM-Eng-1.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90975" src="https://files.mykcm.com/2020/01/10081957/20200113-MEM-Eng-1.jpg" alt="Buying a Home Early Can Significantly Increase Future Wealth | MyKCM" width="600" height="338" srcset="https://files.mykcm.com/2020/01/10081957/20200113-MEM-Eng-1.jpg 720w, https://files.mykcm.com/2020/01/10081957/20200113-MEM-Eng-1-600x338.jpg 600w, https://files.mykcm.com/2020/01/10081957/20200113-MEM-Eng-1-100x56.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>If these aspiring homeowners purchase at an early age, the Urban Institute study shows the impact it can have.
Based on this data, those who purchased their first homes when they were younger than 25 had an average of $10,000 left on their mortgage at age 60. The 50% of buyers who purchased in their mid-20s and early-30s had close to $50,000 left, but traditionally purchased more expensive homes.<a href="https://files.mykcm.com/2020/01/10082057/20200113-MEM-Eng-2.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90976" src="https://files.mykcm.com/2020/01/10082057/20200113-MEM-Eng-2.jpg" alt="Buying a Home Early Can Significantly Increase Future Wealth | MyKCM" width="600" height="338" srcset="https://files.mykcm.com/2020/01/10082057/20200113-MEM-Eng-2.jpg 720w, https://files.mykcm.com/2020/01/10082057/20200113-MEM-Eng-2-600x338.jpg 600w, https://files.mykcm.com/2020/01/10082057/20200113-MEM-Eng-2-100x56.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>Although the vast majority of Gen Zers want to own a home and are somewhat confident in their future, “In terms of financial awareness, 65% of Gen Z respondents report that they are not confident in their knowledge of the mortgage process.”
Bottom Line
As the numbers show, you’re not alone. If you want to buy this year but you’re not sure where to start the process, let’s get together to help you understand the best steps to take from here.
2020-01-13T09:58:00-07:002020-01-13T09:59:14-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4864National Cut Your Energy Costs Day [INFOGRAPHIC]
<img width="1046" height="1308" src="https://files.mykcm.com/2020/01/09103833/20200110-MEM-1046x1308.jpg" class="attachment-entry size-entry wp-post-image" alt="National Cut Your Energy Costs Day [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2020/01/09103833/20200110-MEM-1046x1308.jpg 1046w, https://files.mykcm.com/2020/01/09103833/20200110-MEM-480x600.jpg 480w, https://files.mykcm.com/2020/01/09103833/20200110-MEM-819x1024.jpg 819w, https://files.mykcm.com/2020/01/09103833/20200110-MEM-768x960.jpg 768w, https://files.mykcm.com/2020/01/09103833/20200110-MEM-100x125.jpg 100w, https://files.mykcm.com/2020/01/09103833/20200110-MEM.jpg 1080w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
On January 10th of each year, “<a href="https://nationaldaycalendar.com/national-cut-your-energy-costs-day-january-10/" title="National Cut Your Energy Costs Day" target="_blank" rel="noopener noreferrer">National Cut Your Energy Costs Day</a>” encourages consumers to reduce their overall energy costs by improving home efficiency.
According to <a href="https://sf.freddiemac.com/articles/insights/energy-efficient-home-improvements-can-increase-home-value" title="Freddie Mac" target="_blank" rel="noopener noreferrer">Freddie Mac</a>, a typical U.S. family spends $2,200 per year on energy bills. By making energy efficient upgrades, you could reduce your energy bills by up to 30%.
To assess the energy efficiency of your home and see how it measures up, take a moment to check out <a href="https://www.energystar.gov/index.cfm?fuseaction=HOME_ENERGY_YARDSTICK.showGetStarted" title="Home Energy Yardstick" target="_blank" rel="noopener noreferrer">Home Energy Yardstick</a> to calculate your estimated opportunity. Don’t forget to have your energy bills nearby!
2020-01-10T09:21:00-07:002020-01-10T09:22:29-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4861There’s a Long Line of Buyers Waiting for Your House
<img width="750" height="410" src="https://files.mykcm.com/2020/01/08060114/20200109-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="There’s a Long Line of Buyers Waiting for Your House | MyKCM" srcset="https://files.mykcm.com/2020/01/08060114/20200109-KCM-Share.jpg 750w, https://files.mykcm.com/2020/01/08060114/20200109-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2020/01/08060114/20200109-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
If you’re following what’s happening in the housing market <a href="https://www.mykcm.com/2020/01/08/the-new-spring-real-estate-market-is-here-are-you-ready/" title="right now">right now</a>, you know that many people believe the winter months aren’t a good time to sell a home. As realtor.com Senior Economist George Ratiu recently noted,
“Sellers tend to be more reluctant to list during the colder time of year when the market typically makes a seasonal slowdown.”
However, a <a href="https://www.showingtime.com/blog/november-2019-showing-index-results/" title="recent report" target="_blank" rel="noopener noreferrer">recent report</a> by ShowingTime reveals how this year is different. Buyer activity is way up compared to the same time last year. The report explains,
“The nation’s 12.6% growth in home showings compared to 2018 was the most significant jump in buyer traffic during the current four-month streak of year-over-year increases. The West Region saw the greatest growth in activity, with a 23.1% jump – the region’s greatest in the history of the Showing Index.”
The increase has spread across all four regions of the country, as the graph below shows:<a href="https://files.mykcm.com/2020/01/08055937/20200109-MEM-ENG.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90769" src="https://files.mykcm.com/2020/01/08055937/20200109-MEM-ENG.jpg" alt="There’s a Long Line of Buyers Waiting for Your House | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2020/01/08055937/20200109-MEM-ENG.jpg 720w, https://files.mykcm.com/2020/01/08055937/20200109-MEM-ENG-600x450.jpg 600w, https://files.mykcm.com/2020/01/08055937/20200109-MEM-ENG-100x75.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>
Bottom Line
Waiting for the “spring buyers’ market” may be a mistake this year. It seems the purchasers are already out and looking to buy.
2020-01-09T09:32:00-07:002020-01-09T09:32:52-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4840 3 Benefits to Buying Your Dream Home This Year
<img width="750" height="410" src="https://files.mykcm.com/2019/12/28113229/20200106-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="3 Benefits to Buying Your Dream Home This Year | MyKCM" srcset="https://files.mykcm.com/2019/12/28113229/20200106-KCM-Share.jpg 750w, https://files.mykcm.com/2019/12/28113229/20200106-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2019/12/28113229/20200106-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Outside of a strong economy, low unemployment, and higher wages, there are three more great reasons why you may want to consider buying your dream home this year instead of waiting.
1. Buying a Home is a Great Investment
Several reports indicate that real estate is a <a href="https://www.mykcm.com/2019/12/05/what-is-the-best-investment-for-americans/" title="good investment">good investment</a>, topping other options such as gold, stocks, bonds, and savings. Why? Real estate helps build equity, a form of investing for you and your family. According to CoreLogic’s <a href="https://www.corelogic.com/insights-download/homeowner-equity-report.aspx" title="Equity Report" target="_blank" rel="noopener noreferrer">Equity Report</a>,
“U.S. homeowners with mortgages (roughly 64% of all properties) have seen their equity increase by a total of nearly $457 billion since the third quarter 2018, an increase of 5.1%, year over year.”
This means the average homeowner gained approximately $5,300 in equity over the past year. If you want to start building your equity, put your housing costs to work for you through homeownership this year.
2. Mortgage Interest Rates Are Low
The <a href="http://www.freddiemac.com/pmms/pmms_archives.html" title="Primary Mortgage Market Survey" target="_blank" rel="noopener noreferrer">Primary Mortgage Market Survey</a> from Freddie Mac indicates that interest rates for a 30-year mortgage have fallen since November 2018 when they hit 4.94%. In their latest <a href="http://www.freddiemac.com/research/forecast/index.page" title="forecast" target="_blank" rel="noopener noreferrer">forecast</a>, Freddie Mac expects rates to remain low, leveling out to a yearly average of 3.8% in 2020.
When you purchase a home at a low mortgage rate, it will impact your monthly mortgage payment, giving you the opportunity to buy more house for your money.
3. Investing in Your Family is a Win
There are some renters who haven’t purchased a home yet because they’re uncomfortable taking on the obligation of a mortgage. Everyone should realize that, unless you’re living rent-free with your parents, you’re paying a mortgage – either yours or that of your landlord.
Today, <a href="https://www.mykcm.com/2019/12/26/year-over-year-rental-prices-on-the-rise/" title="rental prices">rental prices</a> continue to increase, and when you’re paying your landlord’s mortgage instead of your own, you’re not the one earning the equity. As an owner, your mortgage payment is a form of ‘forced savings’ you can use later in life to reinvest in your family. You can use it for a variety of opportunities, such as saving for your children’s education, moving up to a bigger home, or starting your own business. As a renter, it can be more challenging to achieve those types of dreams without home equity working for you.
Bottom Line
Buying a home sooner rather than later could lead to substantial savings and long-term financial growth for you and your family. Let’s get together to determine if homeownership is the right choice for you this year.
2020-01-06T09:48:00-07:002020-01-06T09:49:17-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4800Top Renovations for Maximum ROI [INFOGRAPHIC]
<img width="1046" height="1354" src="https://files.mykcm.com/2019/12/19130630/20200103-MEM-1046x1354.jpg" class="attachment-entry size-entry wp-post-image" alt="Top Renovations for Maximum ROI [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2019/12/19130630/20200103-MEM-1046x1354.jpg 1046w, https://files.mykcm.com/2019/12/19130630/20200103-MEM-464x600.jpg 464w, https://files.mykcm.com/2019/12/19130630/20200103-MEM-791x1024.jpg 791w, https://files.mykcm.com/2019/12/19130630/20200103-MEM-768x994.jpg 768w, https://files.mykcm.com/2019/12/19130630/20200103-MEM-1187x1536.jpg 1187w, https://files.mykcm.com/2019/12/19130630/20200103-MEM-1583x2048.jpg 1583w, https://files.mykcm.com/2019/12/19130630/20200103-MEM-100x129.jpg 100w, https://files.mykcm.com/2019/12/19130630/20200103-MEM-1484x1920.jpg 1484w, https://files.mykcm.com/2019/12/19130630/20200103-MEM-scaled.jpg 1978w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
If you’re planning on selling your house in 2020, these are the top renovations that will give you the highest Return on your Investment.
Regardless of how long you’re planning on staying in your current home, it’s smart to be aware of which home renovations add the most value.
The exterior of a house is the first thing buyers see when searching for a home. Upgrading your roof or siding will ensure your home leaves a great first impression!
2020-01-03T09:43:00-07:002020-01-03T09:44:53-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4781Working with a Local Real Estate Professional Makes All the Difference [INFOGRAPHIC]
<img width="1046" height="1395" src="https://files.mykcm.com/2019/12/19084223/20191227-MEM-1046x1395.jpg" class="attachment-entry size-entry wp-post-image" alt="Working with a Local Real Estate Professional Makes All the Difference [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2019/12/19084223/20191227-MEM-1046x1395.jpg 1046w, https://files.mykcm.com/2019/12/19084223/20191227-MEM-450x600.jpg 450w, https://files.mykcm.com/2019/12/19084223/20191227-MEM-768x1024.jpg 768w, https://files.mykcm.com/2019/12/19084223/20191227-MEM-1152x1536.jpg 1152w, https://files.mykcm.com/2019/12/19084223/20191227-MEM-100x133.jpg 100w, https://files.mykcm.com/2019/12/19084223/20191227-MEM-1484x1979.jpg 1484w, https://files.mykcm.com/2019/12/19084223/20191227-MEM.jpg 1500w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
Choosing the right real estate professional is one of the most impactful decisions you can make in your home buying or selling process.
A real estate professional can explain current market conditions and break down what they will mean to you and your family.
If you’re considering buying or selling a home in 2020, make sure to work with someone who has the experience to answer all of your questions about pricing, contracts, and negotiations.
2019-12-27T11:10:00-07:002019-12-27T11:11:13-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4422Where is the Housing Market Headed in 2020? [INFOGRAPHIC]
<img width="1046" height="1552" src="https://files.mykcm.com/2019/12/19070953/20191220-MEM-1046x1552.jpg" class="attachment-entry size-entry wp-post-image" alt="Where is the Housing Market Headed in 2020? [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2019/12/19070953/20191220-MEM-1046x1552.jpg 1046w, https://files.mykcm.com/2019/12/19070953/20191220-MEM-404x600.jpg 404w, https://files.mykcm.com/2019/12/19070953/20191220-MEM-690x1024.jpg 690w, https://files.mykcm.com/2019/12/19070953/20191220-MEM-768x1139.jpg 768w, https://files.mykcm.com/2019/12/19070953/20191220-MEM-1035x1536.jpg 1035w, https://files.mykcm.com/2019/12/19070953/20191220-MEM-1380x2048.jpg 1380w, https://files.mykcm.com/2019/12/19070953/20191220-MEM-100x148.jpg 100w, https://files.mykcm.com/2019/12/19070953/20191220-MEM-1484x2202.jpg 1484w, https://files.mykcm.com/2019/12/19070953/20191220-MEM-scaled.jpg 1726w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
Interest rates will be lower than they have been since before 1980 at 3.8% and are projected to remain steady throughout 2020!
According to <a href="https://www.corelogic.com/insights/home-price-index.aspx" title="CoreLogic" target="_blank" rel="noopener noreferrer">CoreLogic</a>, home prices will appreciate at a rate of 5.4% over the course of the year.
Experts predict that the number of homes sold next year will be equal to or outpace 2019.
2019-12-23T09:22:00-07:002019-12-23T09:22:45-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:44023 Mistakes to Avoid When Selling a Home in 2020
<img width="750" height="410" src="https://files.mykcm.com/2019/12/13100948/20191217-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="3 Mistakes to Avoid When Selling a Home in 2020 | MyKCM" srcset="https://files.mykcm.com/2019/12/13100948/20191217-KCM-Share.jpg 750w, https://files.mykcm.com/2019/12/13100948/20191217-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2019/12/13100948/20191217-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
It’s exciting to put a house on the market and to think about making new memories in new spaces, but we can have deep sentimental attachments to the homes we’re leaving behind, too. Growing emotions can help or hinder a sale, depending on how we manage them.
When it comes to the bottom line, homeowners need to know what it takes to avoid costly mistakes. Being mindful of these things and prepared for the process can help you avoid some of the most common mishaps when selling your house.
1. Overpricing Your Home
When <a href="https://www.mykcm.com/2019/11/20/buyers-are-looking-now-are-you-ready-to-list-your-home/" title="inventory">inventory</a> is low, like it is in the current market, it’s common to think buyers will pay whatever we ask for when we price our homes. Believe it or not, that’s far from the truth. Don’t forget that the buyer’s bank will send an appraisal to determine the fair value for your home. The bank will not lend more than what the house is worth, so be mindful that you might need to renegotiate <a href="https://www.mykcm.com/2019/09/23/is-your-house-priced-to-sell-immediately/" title="the price">the price</a> after the appraisal. A real estate professional will help you to set the true value of your home.
2. Letting Your Emotions Interfere with the Sale
Today, most homeowners have been living in their houses for an average of 10 years (as shown in the graph below):<a href="https://files.mykcm.com/2019/12/13100841/20191217-MEM-ENG.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90616" src="https://files.mykcm.com/2019/12/13100841/20191217-MEM-ENG.jpg" alt="3 Mistakes to Avoid When Selling a Home in 2020 | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2019/12/13100841/20191217-MEM-ENG.jpg 720w, https://files.mykcm.com/2019/12/13100841/20191217-MEM-ENG-600x450.jpg 600w, https://files.mykcm.com/2019/12/13100841/20191217-MEM-ENG-100x75.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>This is several years longer than what used to be the norm, since many homeowners have been recouping from negative <a href="https://www.mykcm.com/2019/08/14/the-benefits-of-growing-equity-in-your-home/" title="equity">equity</a> situations over the past 10 years. The side effect, however, is when you live for so long in one place, you may get even more emotionally attached to your space. If it’s the first home you bought after you got married or the house where your children grew up, it very likely means something extra special to you. Every room has memories and it’s hard to detach from the sentimental value.
For some homeowners, that makes it even harder to negotiate, separating the emotional value of the home from the fair market price. That’s why you need a real estate professional to help you with the negotiations in the process.
3. Not Staging Your Home
We’re generally quite proud of our décor and how we’ve customized our houses to make them our own personalized homes, but not all buyers will feel the same way about your design. That’s why it’s so important to make sure you stage your home with the buyer in mind. Buyers want to envision themselves in the space, so it truly feels like their own. They need to see themselves in the space with their furniture and keepsakes – not your pictures and decorations. <a href="https://www.mykcm.com/2019/03/22/20-tips-for-preparing-your-house-for-sale-this-spring-infographic-2/" title="Stage">Stage</a> and <a href="https://www.mykcm.com/2019/02/06/the-konmari-method-helping-you-prep-your-house-for-sale/" title="declutter">declutter</a> your home so they can visualize their own dreams as they walk through your house. A real estate professional can help you with tips to get your home ready to stage and sell.
Bottom Line
Today’s seller’s market might be your best chance to make a move. If you’re considering selling your house, let’s get together to help you navigate through the process while avoiding common seller mistakes.
2019-12-17T15:28:00-07:002019-12-17T15:29:17-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4383Get Your House Ready To Sell This Winter
<img width="1046" height="1308" src="https://files.mykcm.com/2019/12/12112408/20191213-MEM-ENG-1046x1308.jpg" class="attachment-entry size-entry wp-post-image" alt="Get Your House Ready To Sell This Winter | MyKCM" srcset="https://files.mykcm.com/2019/12/12112408/20191213-MEM-ENG-1046x1308.jpg 1046w, https://files.mykcm.com/2019/12/12112408/20191213-MEM-ENG-480x600.jpg 480w, https://files.mykcm.com/2019/12/12112408/20191213-MEM-ENG-819x1024.jpg 819w, https://files.mykcm.com/2019/12/12112408/20191213-MEM-ENG-768x960.jpg 768w, https://files.mykcm.com/2019/12/12112408/20191213-MEM-ENG-100x125.jpg 100w, https://files.mykcm.com/2019/12/12112408/20191213-MEM-ENG.jpg 1080w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights
Winter is a great time to list a house, since inventory is traditionally low, and most sellers are holding off until spring to put their homes on the market.
<a href="https://www.mykcm.com/2019/10/29/thinking-of-selling-your-home-the-waiting-is-the-hardest-part/" title="Waiting">Waiting</a> for warmer weather when more competition is on the market will only put your house up against many more choices for buyers.
Get your house ready to sell now with quick and easy fixes that make a big impact.
2019-12-13T09:26:00-07:002019-12-13T09:26:45-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4335Millennials Are on the Move as First-Time Homebuyers [INFOGRAPHIC]
<img width="1046" height="1477" src="https://files.mykcm.com/2019/12/05064901/20191206-MEM-1046x1477.jpg" class="attachment-entry size-entry wp-post-image" alt="Is Your First Home Now Within Your Grasp? [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2019/12/05064901/20191206-MEM-1046x1477.jpg 1046w, https://files.mykcm.com/2019/12/05064901/20191206-MEM-425x600.jpg 425w, https://files.mykcm.com/2019/12/05064901/20191206-MEM-725x1024.jpg 725w, https://files.mykcm.com/2019/12/05064901/20191206-MEM-768x1084.jpg 768w, https://files.mykcm.com/2019/12/05064901/20191206-MEM-1088x1536.jpg 1088w, https://files.mykcm.com/2019/12/05064901/20191206-MEM-1451x2048.jpg 1451w, https://files.mykcm.com/2019/12/05064901/20191206-MEM-100x141.jpg 100w, https://files.mykcm.com/2019/12/05064901/20191206-MEM-1484x2095.jpg 1484w, https://files.mykcm.com/2019/12/05064901/20191206-MEM-scaled.jpg 1813w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
According to NAR’s latest <a href="https://www.nar.realtor/research-and-statistics/research-reports/highlights-from-the-profile-of-home-buyers-and-sellers" title="Profile of Home Buyers &amp; Sellers" target="_blank" rel="noopener noreferrer">Profile of Home Buyers & Sellers</a>, the median age of all first-time homebuyers is 32.
With more millennials entering a homebuying phase of life, they are driving a large portion of the buyer appetite in the market, keeping buyer activity strong.
More and more “old millennials” (ages 25-36) are realizing that homeownership is now within their grasp, and they’re actively dominating the first-time homebuyer market!
2019-12-06T08:24:00-07:002019-12-06T08:24:45-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4326Is A Bigger House Within Your Budget?
<img width="750" height="410" src="https://files.mykcm.com/2019/12/03083311/20191204-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Is A Bigger House Within Your Budget? | MyKCM" srcset="https://files.mykcm.com/2019/12/03083311/20191204-KCM-Share.jpg 750w, https://files.mykcm.com/2019/12/03083311/20191204-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2019/12/03083311/20191204-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
At this time of year, many families come together to celebrate the season. It’s also the time when many realize their homes are just not quite big enough to host all of their guests and loved ones. Are you one of those homeowners dreaming for a larger space to call home?
You may have enough equity in your current home to move up.
According to the <a href="https://www.attomdata.com/news/market-trends/attom-data-solutions-q3-2019-home-equity-underwater-report/" title="Q3 2019 U.S. Home Equity &amp; Underwater Report" target="_blank" rel="noopener noreferrer">Q3 2019 U.S. Home Equity & Underwater Report</a> by ATTOM Data Solutions,
“14.4 million residential properties in the United States were considered equity rich, meaning that the combined estimated amount of loans secured by those properties was 50 percent or less of their estimated market value.”
This means that one in four of the 54 million mortgaged homes in the U.S. have at least 50% equity. If these homeowners decide to sell, they can use their equity to put toward the purchase of a new home. Maybe you’ll be one of them.
NAR recently released their <a href="https://www.nar.realtor/research-and-statistics/research-reports/highlights-from-the-profile-of-home-buyers-and-sellers" title="2019 Profile of Home Buyers and Sellers" target="_blank" rel="noopener noreferrer">2019 Profile of Home Buyers and Sellers</a> showing that,
“This year, home sellers cited that they sold their homes for a median of $60,000 more than they purchased it, up from $55,500 the year prior. This accounted for a 31 percent price gain, up from 29 percent the year before.”
Here’s the equity gain breakdown based on the number of years these sellers lived in their homes<a href="https://files.mykcm.com/2019/12/03083237/20191204-MEM-ENG.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90522" src="https://files.mykcm.com/2019/12/03083237/20191204-MEM-ENG.jpg" alt="Is A Bigger House Within Your Budget? | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2019/12/03083237/20191204-MEM-ENG.jpg 720w, https://files.mykcm.com/2019/12/03083237/20191204-MEM-ENG-600x450.jpg 600w, https://files.mykcm.com/2019/12/03083237/20191204-MEM-ENG-100x75.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>
Bottom Line
If you’re one of the many homeowners with big dreams of owning a larger home, let’s get together. Working with a trusted advisor to find out how much equity you have is a great first step in putting your move-up plan in motion.
2019-12-04T09:18:00-07:002019-12-04T09:19:05-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4288Buyers Are Looking For Your Home [INFOGRAPHIC]
<img width="1046" height="808" src="https://files.mykcm.com/2019/11/25051118/20191129-MEM-ENG-1046x808.jpg" class="attachment-entry size-entry wp-post-image" alt="Buyers Are Looking For Your Home [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2019/11/25051118/20191129-MEM-ENG-1046x808.jpg 1046w, https://files.mykcm.com/2019/11/25051118/20191129-MEM-ENG-600x464.jpg 600w, https://files.mykcm.com/2019/11/25051118/20191129-MEM-ENG-1024x791.jpg 1024w, https://files.mykcm.com/2019/11/25051118/20191129-MEM-ENG-768x593.jpg 768w, https://files.mykcm.com/2019/11/25051118/20191129-MEM-ENG-1536x1187.jpg 1536w, https://files.mykcm.com/2019/11/25051118/20191129-MEM-ENG-2048x1583.jpg 2048w, https://files.mykcm.com/2019/11/25051118/20191129-MEM-ENG-100x77.jpg 100w, https://files.mykcm.com/2019/11/25051118/20191129-MEM-ENG-1484x1147.jpg 1484w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
Existing Home Sales are currently at an annual pace of 5.46 million.
The inventory of existing homes for sale remains below the 6 months needed for a normal market and is now at a 3.9-month supply.
Inventory remains low due to high demand from buyers who are still looking for a house to buy!
2019-11-29T09:39:00-07:002019-11-29T09:40:10-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4285Tips to Sell Your Home Faster
<img width="750" height="410" src="https://files.mykcm.com/2019/11/21112617/20191127-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Tips to Sell Your Home Faster | MyKCM" srcset="https://files.mykcm.com/2019/11/21112617/20191127-KCM-Share.jpg 750w, https://files.mykcm.com/2019/11/21112617/20191127-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2019/11/21112617/20191127-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
When selling your house, there are a few key things you can prioritize to have the greatest impact for a faster sale:
1. Make Buyers Feel at Home
<a href="https://www.mykcm.com/2019/02/06/the-konmari-method-helping-you-prep-your-house-for-sale/" title="Declutter">Declutter</a> your home! Pack away all personal items like pictures, awards, and sentimental belongings. Make buyers feel like they belong in the house. According to the 2019 Profile of Home Staging by the National Association of Realtors, “83% of buyers’ agents said staging a home made it easier for a buyer to visualize the property as a future home.”
Not only will your house spend less time on the market, but the same report mentioned that, “One-quarter of buyers’ agents said that staging a home increased the dollar value offered between 1 – 5%, compared to other similar homes on the market that were not staged.”
2. Keep It Organized
Since you took the time to declutter, keep it organized. Before buyers arrive, pick up toys, make the bed, and put away clean dishes. According to the same report, the kitchen is one of the most important rooms to <a href="https://www.mykcm.com/2018/07/13/want-to-sell-your-house-faster-dont-forget-to-stage-infographic/" title="stage">stage</a> in order to attract more buyers. Put out a scented candle or some cookies fresh from the oven. Buyers will remember the smell of your home.
3. Price It Right
More inventory coming into the market guarantees there will be some competition. You want to make sure your home is noticed. A key to selling your house is ensuring it is <a href="https://www.mykcm.com/2019/09/23/is-your-house-priced-to-sell-immediately/" title="Priced to Sell Immediately (PTSI)">Priced to Sell Immediately (PTSI)</a>. This means you’ll be driving more traffic to your property, and ultimately creating more interest in your home.
4. Give Buyers Full Access
One of the top four elements when selling your home is <a href="https://www.mykcm.com/2019/09/10/the-role-access-plays-in-getting-your-house-sold-2/" title="access">access</a>. If your home is available anytime, that opens up more opportunity to find a buyer right away. Some buyers, especially those relocating, don’t have much time available. If they cannot get into the house, they will move on to the next one.
Bottom Line
If you want to sell your home in the least amount of time at the best price with as little hassle as possible, a local real estate professional is a useful guide. Let’s connect today to determine what you need to do to sell your home as quickly as possible.
2019-11-27T08:43:00-07:002019-11-27T08:44:12-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4279Fun Christmas Events Around the Denver Area<img src="https://assets.site-static.com/userfiles/725/image/new-jersey-christmas-lights-fines.jpg" width="750" height="500" />
DOWNTOWN DENVER
<a href="https://www.denver.org/event/night-lights-denver/73959/" target="_self">NIGHT LIGHTS DENVER </a>
WHEN: Nov. 7, 2019–Jan. 31, 2020<br /> WHERE: Daniels & Fisher Tower<br /> Night Lights Denver features rotating content designed by local artists and the community and projected on the Arapahoe Street side of the Daniels & Fisher Tower every Thursday through Saturday evening.
<a href="https://www.denver.org/event/zoo-lights%3a-illuminated-with-life/69565/" target="_self">ZOO LIGHTS </a>
WHEN: Nov. 29–Dec. 30, 2019<br /> WHERE: Denver Zoo<br /> Zoo Lights will span 70 acres of Denver Zoo's campus with nightly entertainment, animal encounters, Santa meet-and-greets and, of course, illuminated animal sculptures that swing through trees, jump across lawns, hide in bushes and appear in places where they’re least expected.
<a href="https://www.denver.org/event/blossoms-of-light/65738/" target="_self">BLOSSOMS OF LIGHT </a>
WHEN: Nov. 29, 2019–Jan. 3, 2020<br /> WHERE: Denver Botanic Gardens<br /> Denver Botanic Gardens is proud to host Blossoms of Light, an annual family-friendly event that has become a tradition for people across Colorado. Come interact with incredible light displays — a large field of sound-reactive, animated LED lights — plus sip warm drinks and nibble on tasty treats as you stroll.
<a href="https://www.denver.org/event/the-grand-illumination/74407/" target="_self">GRAND ILLUMINATION </a>
WHEN: Nov. 29, 2019<br /> WHERE: Denver Union Station<br /> The Grand Illumination features beautiful lighting displays in the LoDo District and Denver Union Station. Downtown's unique holiday atmosphere is sure to get you in the holiday spirit. Festivities at Denver Union Station include a countdown to this year's holiday lighting, carolers and treats, drinks at Terminal Bar and more.
<a href="https://www.denver.org/event/light-the-lights/74658/" target="_self">LIGHT THE LIGHTS </a>
WHEN: Nov. 29, 2019<br /> WHERE: Denver City and County Building<br /> The City and County of Denver and 9News present the annual lighting of Denver's City and County Building. This fun and heart-warming tradition is nearly 100 years old and is the perfect kick-off to the holiday season! Don't miss the ceremonial flipping of the light switch between 6:30 and 7 p.m. Be sure to explore the winter festival in Civic Center Park, which will feature a variety of family-friendly crafts and activities, a heated Bookmobile and story-time tent, a mural-painting project, roaming carolers, food trucks, beer and warm beverages from 4 to 8 p.m. Bring hats, gloves and scarfs for the Giving Tree to benefit Denver families in need.
<a href="https://www.denver.org/milehighholidays/tree/" target="_self">MILE HIGH TREE</a>
WHEN: Nov. 30, 2019–Jan. 31, 2020, 5 p.m.–10:30 p.m., free shows every evening<br /> WHERE: Sculpture Park at the Denver Performing Arts Complex<br /> Join in the free nightly festivities at Denver’s newest holiday attraction, the Mile High Tree. It’s a brilliantly lit, 110-foot-tall immersive art installation that provides a dazzling lights-and-music show every 30 minutes throughout the evening. At 39-feet in diameter, the conical structure can host up to 140 guests at a time for an immersive viewing experience within the tree itself. There will be areas to purchase both alcoholic and non-alcoholic drinks as well as holiday treats.
<a href="https://www.denver.org/event/christmas-lights-of-denver/74170/" target="_self">CHRISTMAS LIGHTS OF DENVER </a>
WHEN: Dec. 6, 2019<br /> WHERE: History Colorado Center<br /> Hop aboard a comfortable, heated bus as you cruise through some of Denver's most beautiful neighborhoods, all lit up for the season. You'll also learn about the state’s historic holiday traditions and warm up with hot chocolate and cookies.
<a href="https://www.denver.org/event/9news-parade-of-lights/71750/" target="_self">9NEWS PARADE OF LIGHTS </a>
WHEN: Dec. 6–7, 2019<br /> WHERE: Downtown Denver <br /> The 9NEWS Parade of Lights is the signature event of the downtown Denver holiday season. The countless sparkling lights, marching bands, giant balloons, majestic floats and delightful characters will once again wow hundreds of thousands. Viewing along the parade route is free, and grandstand tickets are sold for seating in front of the beautifully illuminated City & County Building.
<a href="https://www.denver.org/event/new-years-eve-fireworks/52769/" target="_self">NEW YEAR'S EVE FIREWORKS </a>
WHEN: Dec. 31, 2019<br /> WHERE: 16th Street Mall - Pedestrian Mall<br /> Ring in the New Year with Denver's annual New Year's Eve Fireworks with viewpoints along the 16th Street Mall in downtown Denver. There will be two displays, one at the family-friendly hour of 9 p.m. and the other at midnight. Costumed entertainers will interact with crowds between shows, featuring magicians, costumed characters, balloon artists, stilt walkers, comedians and more.
NEAR DENVER
<a href="https://www.denver.org/event/christmas-in-color/74731/" target="_self">CHRISTMAS IN COLOR </a>
WHEN: Nov. 22–Jan. 24<br /> WHERE: Water World and Bandimere Speedway (Morrison)<br /> Load up your friends and family into the van (or car, or truck) and experience the holiday season like never before. Drive through acres of more than 1.5 million lights perfectly synchronized to holiday music you'll hear right through your radio. You'll drive by giant candy canes, snowmen, arched pathways and more. It's like being immersed in another world. You can experience the attraction at two locations. (Closed on Thanksgiving Day and Christmas Day.)
<a href="https://www.denver.org/event/a-hudson-christmas/73538/" target="_self">A HUDSON CHRISTMAS </a>
WHEN: Nov 29–30 and Dec. 6–8, 13–24 and 26–31, 2019<br /> WHERE: Hudson Gardens & Events Center<br /> Bundle up for a visit with Santa at Hudson Gardens in Littleton. After sharing your list with Ol' Saint Nick, sip hot chocolate as you stroll the outdoor paths lined with trees decked with more than a million twinkling lights.
<a href="https://www.denver.org/event/santa%e2%80%99s-village-at-chatfield-farms/65880/" target="_self">SANTA'S VILLAGE AT CHATFIELD FARMS </a>
WHEN: Nov. 29–Dec. 22, 2019<br /> WHERE: Denver Botanic Gardens Chatfield Farms<br /> Explore Chatfield Farms as it is transformed into a magical holiday wonderland. Santa's Village is a family-friendly holiday event including hayrides, holiday gifts, Santa’s Workshop and so much more.
<a href="https://www.denver.org/event/olde-golden-christmas/73539/" target="_self">OLDE GOLDEN CHRISTMAS </a>
WHEN: Nov. 30–Dec. 31, 2019<br /> WHERE: 1010 Washington Ave., Golden<br /> Olde Golden Christmas includes a community candlelight walk, Victorian carolers, free Newfoundland dog-pulled cart rides, a holiday art market, parades, shopping, music and theater productions, Santa Claus and twinkling holiday lights!
<a href="https://www.denver.org/event/lakewood-lights/74563/" target="_self">LAKEWOOD LIGHTS </a>
WHEN: Dec. 6–7, 2019<br /> WHERE: Lakewood Heritage Center<br /> Get a free family photo with Santa, listen to Yuletide tunes and take a holiday hayride at Lakewood Lights, where all of the buildings at the Lakewood Heritage Center will be lit up in a display of seasonal cheer. Afterward, warm up in the Country Schoolhouse and make holiday ornaments while watching holiday films.
2019-11-26T12:48:00-07:002019-11-26T12:52:05-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4269What is The Cost Across Time [INFOGRAPHIC]
<img width="1046" height="808" src="https://files.mykcm.com/2019/11/21055835/20191122-MEM-1046x808.jpg" class="attachment-entry size-entry wp-post-image" alt="The Cost Across Time [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2019/11/21055835/20191122-MEM-1046x808.jpg 1046w, https://files.mykcm.com/2019/11/21055835/20191122-MEM-600x464.jpg 600w, https://files.mykcm.com/2019/11/21055835/20191122-MEM-1024x791.jpg 1024w, https://files.mykcm.com/2019/11/21055835/20191122-MEM-768x593.jpg 768w, https://files.mykcm.com/2019/11/21055835/20191122-MEM-1536x1187.jpg 1536w, https://files.mykcm.com/2019/11/21055835/20191122-MEM-2048x1583.jpg 2048w, https://files.mykcm.com/2019/11/21055835/20191122-MEM-100x77.jpg 100w, https://files.mykcm.com/2019/11/21055835/20191122-MEM-1484x1147.jpg 1484w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
With interest rates around 3.66%, now is a great time to look back at where they’ve been over the past few decades. Comparatively, they’re pretty low!
According to <a href="http://www.freddiemac.com/fmac-resources/research/pdf/201910-Forecast.pdf" title="Freddie Mac" target="_blank" rel="noopener noreferrer">Freddie Mac</a>, rates are projected to increase to 3.9% by this time next year.
The impact your interest rate has on your monthly mortgage payment is significant. An increase of just $20 dollars in your monthly payment can add up to $240 per year and $7,200 over the life of your loan.
Maybe it’s time to lock in now, while rates are still historically low.
2019-11-22T14:54:00-07:002019-11-22T14:55:40-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4257Buyers Are Looking Now. Are You Ready to List Your Home?
<img width="750" height="410" src="https://files.mykcm.com/2019/11/15115233/20191120-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Buyers Are Looking Now. Are You Ready to List Your Home? | MyKCM" srcset="https://files.mykcm.com/2019/11/15115233/20191120-KCM-Share.jpg 750w, https://files.mykcm.com/2019/11/15115233/20191120-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2019/11/15115233/20191120-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
<a href="https://www.mykcm.com/2019/10/14/existing-home-sales-report-indicates-now-is-a-great-time-to-sell/" title="Inventory">Inventory</a> on the market today is low, especially among existing homes in the <a href="https://www.mykcm.com/2019/10/22/depending-on-the-price-youre-going-to-need-advice/" title="entry and middle-level tiers">entry and middle-level tiers</a> of the market. It is hovering well below the 6-month supply typically found in a more normal market, as shown in the graph below:<a href="https://files.mykcm.com/2019/11/15115153/20191120-MEM-ENG.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90375" src="https://files.mykcm.com/2019/11/15115153/20191120-MEM-ENG.jpg" alt="Buyers Are Looking Now. Are You Ready to List Your Home? | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2019/11/15115153/20191120-MEM-ENG.jpg 720w, https://files.mykcm.com/2019/11/15115153/20191120-MEM-ENG-600x450.jpg 600w, https://files.mykcm.com/2019/11/15115153/20191120-MEM-ENG-100x75.jpg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>With inventory being one of the biggest housing market challenges today, finding a starter home right now isn’t easy. According to the <a href="http://eyeonhousing.org/wp-content/uploads/2019/11/HOUSING-TRENDS-REPORT-Q319.pdf" title="Q3 Housing Trends Report" target="_blank" rel="noopener noreferrer">Q3 Housing Trends Report</a> from the National Association of Homebuilders (NAHB), 68% of those searching for a home think their search will get harder or stay about the same over the next 12 months.
The same study reveals,
“In Qtr3’19, buyers actively engaged in the process of buying a home are more likely to have spent at least 3 months searching (58%) than a year earlier (55%).”
This is certainly no surprise, given the current inventory status. So, what’s the good news? The NAHB continues to say,
“If still unable to find a home in the next few months, the next step for most long-time searchers is to continue looking for the ‘right’ home in the same preferred location (52%). The next step for 35% is to expand their search area and for 16% is to accept a smaller/older home. Only 15% will give up looking.”
What does this mean for homeowners?
If you’re thinking of selling your home, buyer demand is high – and those looking in your neighborhood aren’t planning on giving up anytime soon. The majority of potential buyers who are still searching for their dream home are eager, willing, and ready to buy, so maybe it’s time to list your house and make your move.
Bottom Line
With buyer demand as high as it is today, and inventory in the entry and middle-tier markets remaining low, it’s never been a better time to move up. Let’s get together to determine if now is your time to sell.
2019-11-20T08:44:00-07:002019-11-20T08:45:17-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4203Forget the Price of the Home. The Cost is What Matters.
<img width="750" height="410" src="https://files.mykcm.com/2019/11/06085640/20191107-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Forget the Price of the Home. The Cost is What Matters. | MyKCM" srcset="https://files.mykcm.com/2019/11/06085640/20191107-KCM-Share.jpg 750w, https://files.mykcm.com/2019/11/06085640/20191107-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2019/11/06085640/20191107-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Home buying activity (demand) is up, and the number of available listings (supply) is down. When demand outpaces supply, prices appreciate. That’s why firms are beginning to increase their projections for home price appreciation going forward. As an example, <a href="https://www.corelogic.com/insights/home-price-index.aspx" title="CoreLogic" target="_blank" rel="noopener noreferrer">CoreLogic</a> increased their 12-month projection for home values from 4.5% to 5.6% over the last few months.
The reacceleration of home values will cause some to again voice concerns about affordability. Just last week, however, First American came out with a <a href="https://blog.firstam.com/economics/the-dynamic-forces-that-re-shaped-housing-affordability-in-2019" title="data analysis" target="_blank" rel="noopener noreferrer">data analysis</a> that explains how price is not the only market factor that impacts affordability. They studied prices, mortgage rates, and wages from January through August of this year. Here are their findings:
Home Prices
“In January 2019, a family with the median household income in the U.S. could afford to buy a $373,900 house. By August, that home had appreciated to $395,000, an increase of $21,100.”
Mortgage Interest Rates
“The 0.85 percentage point drop in mortgage rates from January 2019 through August 2019 increased affordability by 9.7%. That translates to a $40,200 improvement in house-buying power in just eight months.”
Wage Growth
“As rates have fallen in 2019, the economy has continued to perform well also, resulting in a tight labor market and wage growth. Wage growth pushes household incomes upward, which were 1.5% higher in August compared with January. The growth in household income increased consumer house-buying power by 1.5%, pushing house-buying power up an additional $5,600.”
When all three market factors are combined, purchasing power increased by $24,500, thus making home buying more affordable, not less affordable. Here is a table that simply shows the data:<a href="https://files.mykcm.com/2019/11/06085609/20191107-MEM.jpeg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90237" src="https://files.mykcm.com/2019/11/06085609/20191107-MEM.jpeg" alt="Forget the Price of the Home. The Cost is What Matters. | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2019/11/06085609/20191107-MEM.jpeg 720w, https://files.mykcm.com/2019/11/06085609/20191107-MEM-600x450.jpeg 600w, https://files.mykcm.com/2019/11/06085609/20191107-MEM-100x75.jpeg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>
Bottom Line
In the article, Mark Fleming, Chief Economist at First American, explained it best:
“Focusing on nominal house price changes alone as an indication of changing affordability, or even the relationship between nominal house price growth and income growth, overlooks what matters more to potential buyers – surging house-buying power driven by the dynamic duo of mortgage rates and income growth. And, we all know from experience, you buy what you can afford to pay per month.”
2019-11-07T09:46:00-07:002019-11-07T09:46:52-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4192The #1 Reason to List Your House in the Winter
<a href="https://files.mykcm.com/2019/10/31074917/20191104-MEM-1-ENG.jpeg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90202" src="https://files.mykcm.com/2019/10/31074917/20191104-MEM-1-ENG.jpeg" alt="The #1 Reason to List Your House in the Winter | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2019/10/31074917/20191104-MEM-1-ENG.jpeg 720w, https://files.mykcm.com/2019/10/31074917/20191104-MEM-1-ENG-600x450.jpeg 600w, https://files.mykcm.com/2019/10/31074917/20191104-MEM-1-ENG-100x75.jpeg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>As you can see, the ‘sweet spot’ to list your house for the most exposure naturally occurs in the late fall and winter months (November – January).
Temperatures aren’t the only thing that heats up in the spring – so do listings!<a href="https://files.mykcm.com/2019/10/31074943/20191104-MEM-2-ENG.jpeg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90203" src="https://files.mykcm.com/2019/10/31074943/20191104-MEM-2-ENG.jpeg" alt="The #1 Reason to List Your House in the Winter | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2019/10/31074943/20191104-MEM-2-ENG.jpeg 720w, https://files.mykcm.com/2019/10/31074943/20191104-MEM-2-ENG-600x450.jpeg 600w, https://files.mykcm.com/2019/10/31074943/20191104-MEM-2-ENG-100x75.jpeg 100w" sizes="(max-width: 600px) 100vw, 600px" /></a>In 2018, listings increased from December to May. Don’t wait for these listings and the competition that comes with them to come to the market before you decide to list your house.
Added Bonus: Serious Buyers Are Out in the Winter
At this time of year, purchasers who are serious about buying a home will be in the marketplace. You and your family will not be bothered and inconvenienced by mere ‘lookers.’ The lookers are at the mall or online doing their holiday shopping.
Bottom Line
If you’ve been debating whether or not to sell your house and are curious about market conditions in your area, let’s get together to determine the best time to list your house.2019-11-04T11:26:00-07:002019-11-04T11:26:56-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4174The Difference an Hour Will Make This Fall [INFOGRAPHIC]
<img width="1046" height="1354" src="https://files.mykcm.com/2019/10/29073213/20191101-MEM-1046x1354.jpg" class="attachment-entry size-entry wp-post-image" alt="The Difference an Hour Will Make This Fall [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2019/10/29073213/20191101-MEM-1046x1354.jpg 1046w, https://files.mykcm.com/2019/10/29073213/20191101-MEM-464x600.jpg 464w, https://files.mykcm.com/2019/10/29073213/20191101-MEM-768x994.jpg 768w, https://files.mykcm.com/2019/10/29073213/20191101-MEM-791x1024.jpg 791w, https://files.mykcm.com/2019/10/29073213/20191101-MEM-100x129.jpg 100w, https://files.mykcm.com/2019/10/29073213/20191101-MEM-1484x1920.jpg 1484w" sizes="(max-width: 1046px) 100vw, 1046px" />
Every Hour in the U.S. Housing Market:
614 Homes Are Sold
95 Homes Regain Positive Equity
Median Home Values Go Up $1.38
2019-11-01T08:42:00-07:002019-11-01T08:42:40-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4097Think Prices Have Skyrocketed? Look at Rents.
<img width="750" height="410" src="https://files.mykcm.com/2019/10/21103009/20191024-KCM-Share.jpg" class="attachment-entry size-entry wp-post-image" alt="Think Prices Have Skyrocketed? Look at Rents. | MyKCM" srcset="https://files.mykcm.com/2019/10/21103009/20191024-KCM-Share.jpg 750w, https://files.mykcm.com/2019/10/21103009/20191024-KCM-Share-600x328.jpg 600w, https://files.mykcm.com/2019/10/21103009/20191024-KCM-Share-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Much has been written about how residential real estate values have increased since the housing market started its recovery in 2012. However, little has been shared about what has taken place with residential rental prices. Let’s shed a little light on this subject.
In the most recent <a href="https://www.rentcafe.com/blog/rental-market/apartment-rent-report/peak-rental-season-comes-end-national-average-rent-reaches-1472/" title="Apartment Rent Report" target="_blank" rel="noopener noreferrer">Apartment Rent Report</a>, RentCafe explains how rents have continued to increase over the last twelve months because of a large demand and a limited supply.
“Continued interest in rental apartments and <a href="https://www.rentcafe.com/blog/rental-market/apartment-construction-2019/" title="slowing construction" target="_blank" rel="noopener noreferrer">slowing construction</a> keeps the national average rent on a strong upward trend.”
Zillow, in its latest <a href="https://www.zillow.com/research/housing-market-turning-august-2019-25486/" title="Rent Index" target="_blank" rel="noopener noreferrer">Rent Index</a>, agreed that rents are continuing on an “upward trend” across most of the country, and that the trend is accelerating:
“The median U.S. rent grew 2% year-over-year, to $1,595 per month. National rent growth is faster than a year ago, and while 46 of the 50 largest markets are showing deceleration in annual home value growth, annual rent growth is accelerating in 41 of the largest 50 markets.”
The Zillow report went on to detail rent increases since the beginning of the housing market recovery in 2012. Here is a graph showing the increases:<a href="https://files.mykcm.com/2019/10/21102925/20191024-MEM.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-90153" src="https://files.mykcm.com/2019/10/21102925/20191024-MEM.jpg" alt="Think Prices Have Skyrocketed? Look at Rents. | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2019/10/21102925/20191024-MEM.jpg 2000w, https://files.mykcm.com/2019/10/21102925/20191024-MEM-600x450.jpg 600w, https://files.mykcm.com/2019/10/21102925/20191024-MEM-768x576.jpg 768w, https://files.mykcm.com/2019/10/21102925/20191024-MEM-1024x768.jpg 1024w, https://files.mykcm.com/2019/10/21102925/20191024-MEM-100x75.jpg 100w, https://files.mykcm.com/2019/10/21102925/20191024-MEM-1046x785.jpg 1046w, https://files.mykcm.com/2019/10/21102925/20191024-MEM-1484x1113.jpg 1484w" sizes="(max-width: 600px) 100vw, 600px" /></a>
Bottom Line
It is true that home prices have risen over the past seven years, increasing the cost of owning a home. However, the cost of renting a home has also increased over that same time period.
2019-10-24T08:18:00-07:002019-10-24T08:19:27-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:40673 Reasons to Use a Real Estate Pro in a Complex Digital World
<img width="750" height="410" src="https://files.mykcm.com/2019/10/07073758/20191009-Share-KCM.jpg" class="attachment-entry size-entry wp-post-image" alt="3 Reasons to Use a Real Estate Pro in a Complex Digital World | MyKCM" srcset="https://files.mykcm.com/2019/10/07073758/20191009-Share-KCM.jpg 750w, https://files.mykcm.com/2019/10/07073758/20191009-Share-KCM-600x328.jpg 600w, https://files.mykcm.com/2019/10/07073758/20191009-Share-KCM-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
If you’re searching for a home online, you’re not alone; lots of people are doing it. The question is, are you using all of your available resources, and are you using them wisely? Here’s why the Internet is a great place to start the home-buying process, and the truth on why it should never be your only go-to resource when it comes to making such an important decision.
According to the National Association of Realtors (NAR), the <a href="https://www.nar.realtor/infographics/infographic-2019-real-estate-in-a-digital-age" title="three most popular" target="_blank" rel="noopener noreferrer">three most popular</a> information sources home buyers use in the home search are:
Online website (93%)
Real estate agent (86%)
Mobile/tablet website or app (73%)
Clearly, you’re not alone if you’re starting your search online; 93% of home buyers are right there with you. The even better news: 86% of buyers are also getting their information from a real estate agent at the same time.
Here are 3 top reasons why using a real estate professional in addition to a digital search is key:
1. There’s More to Real Estate Than Finding a Home Online. It’s a lonely and complicated trek around the web if you don’t have a real estate professional to also help you through the <a href="https://www.mykcm.com/2019/06/25/having-a-professional-on-your-side-makes-all-the-difference/" title="230 possible steps">230 possible steps</a> you’ll face as you navigate through a real estate transaction. That’s a pretty staggering number! Determining your price, submitting an offer, and successful negotiation are just a few of these key steps in the sequence. You’ll definitely want someone who has been there before to help you through it.
2. You Need a Skilled Negotiator. In today’s market, hiring a talented negotiator could save you thousands, maybe even tens of thousands of dollars. From the original offer to the appraisal and the inspection, many of the intricate steps can get complicated and confusing. You need someone who can keep the deal together until it closes.
3. It Is Crucial to Make a Competitive and Compelling Offer. There is so much information out there in the news and on the Internet about home sales, prices, and mortgage rates. How do you know what’s specifically going on in your area? How do you know what to offer on your dream home without paying too much or offending the seller with a lowball offer?
Dave Ramsey, the financial guru, advises:
“When getting help with money, whether it’s insurance, real estate or investments, you should always look for someone with the heart of a teacher, not the heart of a salesman.”
Hiring a real estate professional who has his or her finger on the pulse of the market will make your buying experience an informed and educated one. You need someone who is going to tell you the truth, not just what they think you want to hear.
Bottom Line
If you’re ready to start your search online, let’s get together. You’ll want someone who is educated and informed at your side who can answer your questions and guide you through a process that can be complex and confusing if you go at it with the Internet alone.
2019-10-16T08:16:00-07:002019-10-16T08:17:04-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:40235 Homebuying Acronyms You Need to Know [INFOGRAPHIC]
<img width="1046" height="1308" src="https://files.mykcm.com/2019/10/02090600/20191004-MEM-1046x1308.jpg" class="attachment-entry size-entry wp-post-image" alt="5 Homebuying Acronyms You Need to Know [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2019/10/02090600/20191004-MEM-1046x1308.jpg 1046w, https://files.mykcm.com/2019/10/02090600/20191004-MEM-480x600.jpg 480w, https://files.mykcm.com/2019/10/02090600/20191004-MEM-768x960.jpg 768w, https://files.mykcm.com/2019/10/02090600/20191004-MEM-819x1024.jpg 819w, https://files.mykcm.com/2019/10/02090600/20191004-MEM-100x125.jpg 100w, https://files.mykcm.com/2019/10/02090600/20191004-MEM.jpg 1080w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
Learning the lingo of homebuying is an important part of feeling successful when buying a home.
From APR to P&I, you need to know the acronyms that will come up along the way, and what they mean when you hear them.
Your local professionals are here to help you feel confident and informed from start to finish…and this infographic will help you as you go.
2019-10-07T10:04:00-07:002019-10-07T10:04:32-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:4000What Is the Cost of Waiting Until 2020 to Buy? [INFOGRAPHIC]
<img width="1046" height="1354" src="https://files.mykcm.com/2019/09/26072655/20190927-MEM-1046x1354.jpg" class="attachment-entry size-entry wp-post-image" alt="What Is the Cost of Waiting Until Next Year to Buy? [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2019/09/26072655/20190927-MEM-1046x1354.jpg 1046w, https://files.mykcm.com/2019/09/26072655/20190927-MEM-464x600.jpg 464w, https://files.mykcm.com/2019/09/26072655/20190927-MEM-768x994.jpg 768w, https://files.mykcm.com/2019/09/26072655/20190927-MEM-791x1024.jpg 791w, https://files.mykcm.com/2019/09/26072655/20190927-MEM-100x129.jpg 100w, https://files.mykcm.com/2019/09/26072655/20190927-MEM-1484x1920.jpg 1484w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
The “cost of waiting to buy” is defined as the additional funds necessary to buy a home if prices and interest rates were to increase over a period of time.
Freddie Mac <a href="http://www.freddiemac.com/fmac-resources/research/pdf/201908-Forecast.pdf" title="forecasts" target="_blank" rel="noopener noreferrer">forecasts</a> interest rates will rise to 3.8% by Q4 2020.
CoreLogic <a href="https://www.corelogic.com/insights-download/home-price-index.aspx" title="predicts" target="_blank" rel="noopener noreferrer">predicts</a> home prices will appreciate by 5.4% over the next 12 months.
If you’re ready and willing to buy your dream home, now is a great time to buy.
2019-09-30T13:12:00-07:002019-09-30T13:12:46-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:3969Is Your House “Priced to Sell Immediately”?
<img width="750" height="410" src="https://files.mykcm.com/2019/09/18112234/2019093-Share-KCM.jpg" class="attachment-entry size-entry wp-post-image" alt="Is Your House “Priced to Sell Immediately”? | MyKCM" srcset="https://files.mykcm.com/2019/09/18112234/2019093-Share-KCM.jpg 750w, https://files.mykcm.com/2019/09/18112234/2019093-Share-KCM-600x328.jpg 600w, https://files.mykcm.com/2019/09/18112234/2019093-Share-KCM-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
In today’s real estate market, more houses are coming to market every day. Eager buyers are searching for their dream homes, so setting the right price for your house is one of the most important things you can do.
According to CoreLogic’s latest <a href="https://www.corelogic.com/insights/home-price-index.aspx" title="Home Price Index" target="_blank" rel="noopener noreferrer">Home Price Index</a>, home values have risen at over 6% a year over the past two years, but have started to slow to 3.6% over the last 12 months. By this time next year, CoreLogic predicts home values will be 5.4% higher.
With prices slowing from their previous pace, homeowners must realize that pricing their homes a little over market value to leave room for negotiation will actually dramatically decrease the number of buyers who will see their listing (see the chart below).<a href="https://files.mykcm.com/2019/09/18111953/20190923-MEM.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-89519" src="https://files.mykcm.com/2019/09/18111953/20190923-MEM.jpg" alt="Is Your House “Priced to Sell Immediately”? | MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2019/09/18111953/20190923-MEM.jpg 1280w, https://files.mykcm.com/2019/09/18111953/20190923-MEM-600x450.jpg 600w, https://files.mykcm.com/2019/09/18111953/20190923-MEM-768x576.jpg 768w, https://files.mykcm.com/2019/09/18111953/20190923-MEM-1024x768.jpg 1024w, https://files.mykcm.com/2019/09/18111953/20190923-MEM-100x75.jpg 100w, https://files.mykcm.com/2019/09/18111953/20190923-MEM-1046x785.jpg 1046w" sizes="(max-width: 600px) 100vw, 600px" /></a>Instead of the seller trying to ‘win’ the negotiation with one buyer, they should price their house so demand for the home is maximized. By doing so, the seller will not be negotiating with a buyer over the price, but will instead have multiple buyers competing with each other over the house.
The secret is making sure your house is Priced To Sell Immediately (PTSI). That way, your home will be seen by the most potential buyers. It will sell at a great price before more competition comes to the market.
Bottom Line
If you’re debating listing your house for sale, let’s get together to discuss how to price your home appropriately and maximize your exposure.
2019-09-23T09:05:00-07:002019-09-23T09:05:32-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:39474 Reasons to Sell This Fall [INFOGRAPHIC]
<img width="1046" height="808" src="https://files.mykcm.com/2019/09/19104136/20190920-MEM-1046x808.jpg" class="attachment-entry size-entry wp-post-image" alt="4 Reasons to Sell This Fall [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2019/09/19104136/20190920-MEM-1046x808.jpg 1046w, https://files.mykcm.com/2019/09/19104136/20190920-MEM-600x464.jpg 600w, https://files.mykcm.com/2019/09/19104136/20190920-MEM-768x593.jpg 768w, https://files.mykcm.com/2019/09/19104136/20190920-MEM-1024x791.jpg 1024w, https://files.mykcm.com/2019/09/19104136/20190920-MEM-100x77.jpg 100w, https://files.mykcm.com/2019/09/19104136/20190920-MEM-1484x1147.jpg 1484w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
Buyers are active in the market and often competing with one another for available listings.
Housing inventory is still under the 6-month supply found in a normal housing market.
Homes are still selling relatively quickly, averaging 31 days on the market.
2019-09-20T08:45:00-07:002019-09-20T08:46:10-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:3929Things to Avoid After Applying for a Mortgage
<img width="750" height="410" src="https://files.mykcm.com/2019/09/11072841/20190916-Share-KCM.jpg" class="attachment-entry size-entry wp-post-image" alt="Things to Avoid After Applying for a Mortgage | MyKCM" srcset="https://files.mykcm.com/2019/09/11072841/20190916-Share-KCM.jpg 750w, https://files.mykcm.com/2019/09/11072841/20190916-Share-KCM-600x328.jpg 600w, https://files.mykcm.com/2019/09/11072841/20190916-Share-KCM-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
Congratulations! You’ve found a home to buy and have applied for a mortgage! You’re undoubtedly excited about the opportunity to decorate your new home, but before you make any large purchases, move your money around, or make any big-time life changes, consult your loan officer – someone who will be able to tell you how your decisions will impact your home loan.
Below is a list of Things You Shouldn’t Do After Applying for a Mortgage. Some may seem obvious, but some may not.
1. Don’t Change Jobs or the Way You Are Paid at Your Job. Your loan officer must be able to track the source and amount of your annual income. If possible, you’ll want to avoid changing from salary to commission or becoming self-employed during this time as well.
2. Don’t Deposit Cash into Your Bank Accounts. Lenders need to source your money, and cash is not really traceable. Before you deposit any amount of cash into your accounts, discuss the proper way to document your transactions with your loan officer.
3. Don’t Make Any Large Purchases Like a New Car or Furniture for Your New Home. New debt comes with it, including new monthly obligations. New obligations create new qualifications. People with new debt have higher debt to income ratios…higher ratios make for riskier loans…and sometimes qualified borrowers no longer qualify.
4. Don’t Co-Sign Other Loans for Anyone. When you co-sign, you are obligated. As we mentioned, with that obligation comes higher ratios as well. Even if you swear you will not be the one making the payments, your lender will have to count the payments against you.
5. Don’t Change Bank Accounts. Remember, lenders need to source and track assets. That task is significantly easier when there is consistency among your accounts. Before you even transfer any money, talk to your loan officer.
6. Don’t Apply for New Credit. It doesn’t matter whether it’s a new credit card or a new car. When you have your credit report run by organizations in multiple financial channels (mortgage, credit card, auto, etc.), your FICO® score will be affected. Lower credit scores can determine your interest rate and maybe even your eligibility for approval.
7. Don’t Close Any Credit Accounts. Many clients erroneously believe that having less available credit makes them less risky and more likely to be approved. Wrong. A major component of your score is your length and depth of credit history (as opposed to just your payment history) and your total usage of credit as a percentage of available credit. Closing accounts has a negative impact on both of those determinants in your score.
Bottom Line
Any blip in income, assets, or credit should be reviewed and executed in a way that ensures your home loan can still be approved. The best advice is to fully disclose and discuss your plans with your loan officer before you do anything financial in nature. They are there to guide you through the process.
2019-09-16T10:29:00-07:002019-09-16T10:29:51-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:39226 Graphs Showing the Strength of the Current Housing Market [INFOGRAPHIC]
<img width="1046" height="1046" src="https://files.mykcm.com/2019/09/12100852/20190913-MEM-1046x1046.jpg" class="attachment-entry size-entry wp-post-image" alt="6 Graphs Showing the Strength of the Current Housing Market [INFOGRAPHIC] | MyKCM" srcset="https://files.mykcm.com/2019/09/12100852/20190913-MEM-1046x1046.jpg 1046w, https://files.mykcm.com/2019/09/12100852/20190913-MEM-150x150.jpg 150w, https://files.mykcm.com/2019/09/12100852/20190913-MEM-600x600.jpg 600w, https://files.mykcm.com/2019/09/12100852/20190913-MEM-768x768.jpg 768w, https://files.mykcm.com/2019/09/12100852/20190913-MEM-1024x1024.jpg 1024w, https://files.mykcm.com/2019/09/12100852/20190913-MEM-100x100.jpg 100w, https://files.mykcm.com/2019/09/12100852/20190913-MEM-45x45.jpg 45w, https://files.mykcm.com/2019/09/12100852/20190913-MEM.jpg 1280w" sizes="(max-width: 1046px) 100vw, 1046px" />
Some Highlights:
Keeping an eye on the current status of the housing market is one of the best ways to make powerful and confident decisions when buying or selling a home.
Mortgage rates remaining near historic lows and houses selling in an average of only 29 days are just two key elements driving the strength of today’s market.
With the national data shown here, make sure to also determine what’s happening in your local market so you are fully informed when you’re ready to make your next move.
2019-09-13T08:20:00-07:002019-09-13T08:22:35-07:00Rebecca Loeschtag:smartdenverhomesearch.com,2012-09-20:3918What Is the Probability That Home Values Sink?
<img width="750" height="410" src="https://files.mykcm.com/2019/09/09131642/20190912-Share-KCM.jpg" class="attachment-entry size-entry wp-post-image" alt="What Is the Probability That Home Values Sink?| MyKCM" srcset="https://files.mykcm.com/2019/09/09131642/20190912-Share-KCM.jpg 750w, https://files.mykcm.com/2019/09/09131642/20190912-Share-KCM-600x328.jpg 600w, https://files.mykcm.com/2019/09/09131642/20190912-Share-KCM-100x55.jpg 100w" sizes="(max-width: 750px) 100vw, 750px" />
With the current uncertainty about the economy triggered by a potential trade war, some people are waiting to purchase their first home or move-up to their dream house because they think or hope home prices will drop over the next few years. However, the experts disagree with this perspective.
Here is a table showing the predicted levels of appreciation from six major housing sources:<a href="https://files.mykcm.com/2019/09/09130721/20190912-MEM-1.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-89003" src="https://files.mykcm.com/2019/09/09130721/20190912-MEM-1.jpg" alt="What Is the Probability That Home Values Sink?| MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2019/09/09130721/20190912-MEM-1.jpg 1280w, https://files.mykcm.com/2019/09/09130721/20190912-MEM-1-600x450.jpg 600w, https://files.mykcm.com/2019/09/09130721/20190912-MEM-1-768x576.jpg 768w, https://files.mykcm.com/2019/09/09130721/20190912-MEM-1-1024x768.jpg 1024w, https://files.mykcm.com/2019/09/09130721/20190912-MEM-1-100x75.jpg 100w, https://files.mykcm.com/2019/09/09130721/20190912-MEM-1-1046x785.jpg 1046w" sizes="(max-width: 600px) 100vw, 600px" /></a>As we can see, every source believes home prices will continue to appreciate (albeit at lower levels than we have seen over the last several years). But, not one source is calling for residential real estate values to depreciate.
Additionally, ARCH Mortgage Insurance Company in their current <a href="https://mi.archcapgroup.com/Portals/1/Documents/hammr/HaMMR_Summer2019.pdf" title="Housing and Mortgage Market Review" target="_blank" rel="noopener noreferrer">Housing and Mortgage Market Review</a> revealed their latest ARCH Risk Index, which estimates the probability of home prices being lower in two years. There was not one state that even had a moderate probability of home prices lowering. In fact, 34 of the 50 states had a minimal probability.<a href="https://files.mykcm.com/2019/09/09130813/20190912-MEM-2.jpg" rel="noopener noreferrer" class="use_kcm_lightbox" target="_blank"><img class="aligncenter wp-image-89004" src="https://files.mykcm.com/2019/09/09130813/20190912-MEM-2.jpg" alt="What Is the Probability That Home Values Sink?| MyKCM" width="600" height="450" srcset="https://files.mykcm.com/2019/09/09130813/20190912-MEM-2.jpg 1280w, https://files.mykcm.com/2019/09/09130813/20190912-MEM-2-600x450.jpg 600w, https://files.mykcm.com/2019/09/09130813/20190912-MEM-2-768x576.jpg 768w, https://files.mykcm.com/2019/09/09130813/20190912-MEM-2-1024x768.jpg 1024w, https://files.mykcm.com/2019/09/09130813/20190912-MEM-2-100x75.jpg 100w, https://files.mykcm.com/2019/09/09130813/20190912-MEM-2-1046x785.jpg 1046w" sizes="(max-width: 600px) 100vw, 600px" /></a>
Bottom Line
Those waiting for prices to fall before purchasing a home should realize that the probability of that happening anytime soon is very low. With mortgage rates already at near historic lows, now may be the time to act.
2019-09-12T09:23:00-07:002019-09-12T09:24:06-07:00Rebecca Loesch