...will bring increased activity to the real estate market

Home buyers and sellers create

artificial deadlines every year

New Years - Elections - Tax Season - End of School Year

The "wait and see crowd" typically activate themselves

the weeks before and after the April 15 tax season finish line

its the time of year where most people

have their greatest clarity of their financial picture

and with this increased activity comes opportunity

new homes will hit the market with greater frequency

short term rentals may be sold

or converted to long term rentals

investors will adjust their portfolio holdings

families will move to different school districts

new "empty nesters" will downsize

the recently retired will be making their relocation plans

today's show provides and a road map to succeed and some tax strategies 

 

 

...aren't coming

at least in the way that you might think that they are

There won't be some new "tax" on real estate sales

But there will be an impact to the market

as many people are pausing their real estate activities

and with that, many may cost themselves a lot of money

we only need to look at the numerous recent distractions

to understand that making the choice to do nothing

is a choice

• covid
• rising interest rates
• buyer broker agreements
• elections

none of these caused the real estate markets to crash

despite a plethora of prognosticators insisting that they would

prices have remained stable despite all of the "noise"

and my suspicion is that the market will be more than fine

in fact, the tariffs may actually push the market forward in a big way

as countries begin to make deals with the U.S.A

that lower trade barriers and help businesses grow

it wouldn't shock me to see interest rates come down over the summer

and I anticipate that home sales will increase significantly

while property values also increase before the end of the year

listen in to hear the details on how I think its all going to play out

 

 

 

...Rocket Mortgage is making some big moves

They are in the process of acquiring Redfin

They are also in the process of acquiring Mr Cooper

They are quickly becoming

The proverbial 10,000 pound gorilla

Its such an interesting play

A Gigantic mortgage company

adds on a large real estate company

with a super sized online presence

and then goes a step further

by also adding on the largest mortgage servicing company

clearly they are looking to be the most complete

end to end service provider

in the combined real estate/mortgage space

which can be really good

or not so good for consumers

for those looking for these services

Rocket is wagering that people will want

a 1 stop shopping platform

I sense that there will be a segment of that audience

that will prefer to create their own experience

and select each provider on their own

and avoid the bundled service package

today's show talks about the impact of this move

... begins with understanding a few simple strategies

The method that every individual has the most control over

Is to increase their credit score

paying down debt usually increases a score

but not always

let's suppose that you have $4,000

that you can use to pay off a credit balance

and you have a credit card with a 4k balance 

with a monthly payment of $100 per month

and a car payment with a 4k balance

with a monthly payment of $500 per month

which would you pay off ?

most people would be tempted to pay off the car

and I can understand why

but what if the car loan is a 5 year old trade line

and the credit card was only a few months old

paying off the car closes out that tradeline

which can significantly reduce your average trade line age

and might actually cause your score to go down

so now you have a decision to make

getting rid of a $500 payment

helps your mortgage pre-qualification

more than getting rid of a $100 payment

but what if you can have your cake and eat it too?

typically - a car loan that has 10 months or less

of repayment time left on the loan

is not counted against a borrowers application

so now you get the best of both worlds

each situation is different and we always recommend 

that you consult with the professional that you are working with

listen in to today's show to learn the other 2 strategies

...The are reports of some abrupt changes in real estate

1st Quarter Trends are showing some surprises

The inventory had been increasing steadily

until a precipitous drop of about 30%

of homes for sale hit over the last 7 days

Another report states that Interest Rates

will drop to 4% within the next 2 weeks

which would be amazing for home buyers

A different report that really shocked me

shows that home values are down 37%

since the 1st of the year

the market is about to go bonkers

we will be watching things very closely

to see what is actually about to happen next

listen in to my April 1 podcast

 

 

 

...is the week right before or after April 15

this is the time of year when most taxpayers

are acutley aware of the financial picture

and have had conversations with their financial advisors

regarding large purchases and investments

the documents the need for mortgage qualification

are easily accessible to provide to lenders for approval

its also a time where those with children in school

are preparing for a summer move

that takes place between the end and start of the school year

so now that we know the best time to sell

it becomes more important than ever 

to be "in the market" with your home sale pricing

timing the market is never easy

but the data has shown mid April

to be the most advantageous time to sell

todays podcast talks about the forced multiplier

of this savvy home sales strategy

... And The Real Estate Market Didn't Crumble

Once again the Fed didn't drop interest rates

And while there is a perception 

that home buyers will not buy right now

there is a growing number of buyers buying

admittedly many are cash buyers

that are largely unaffected by interest rates

but there is also a signifcant amount

that are making purchases despite the rates

there are a number of ways to reduce the rate

including a refinance down the road

when people are going to move

its common that they will do so 

regardless of interest rates

I do believe that interest rates will gradually go down

over the couse of the year

for the moment

concerns of inflation and other uncertainty

will cause the rate drops to be slow at first

and increase over time

today's show breaks down how and when it will happen

 

... and the difference between being "in the market"

or "out of the market"

home sellers are faced with a choice

when they put their home on the market

and their fate will come down to 3-4 things

• location
• condition
• marketing
• price position

and if they nail these things

then they will be "in the market"

and having showings - offers - and contracts

if not then they will be "out of the market"

and their homes will linger on the market

for far longer than they should

and almost always sell for less

than if they were in the market from day 1

similarly, home buyers also have a choice

some key factors in a successful purchase

• proof of funds readily available
• a well written offer
• purchase price based on market facts
• flexible terms based on seller needs

without these in place a buyer will be "out of the market"

and struggle to purchase a home

a buyer that submits lowball offers on day 1 of a listing

most likely poisons their own water

and creates unnecessary friction with seller

complicated offers with numerous moving parts

and endless continegencies

almost never work out

listen in to get the details on the strategies that are working

 

 

... The 3 words that no one wants to here these days

whether it is during the inspection period of a home sale

or during an insurance renewal application

more and more times we are finding that there is work to be done

and since the cost of roofing materials

as well as construction labor

has risen dramatically

it can be a pricey problem

during a home sale

buyers and sellers are quite often forced

to do some sort of renegotiation of price and terms

other times the sale simply gets cancelled

and the roofing problem is temporarily unresolved

the owner is then left to sell the home AS IS

or do the repairs/replacement on their own

with the belief that they will net more money at the closing table

for the time and effort to address the roof concerns

once the roof has been completed

its likely that the roof portion of the insurance policy will be less costly

and provide some future benefit to the homeowner

but living in the times instant gratification

and the savings accumulating slowly over time

not everyone feels that the cost/benefit is ideal for them

today's show talks more about the scenarios that unfold 

 

...is easy when you know what you are looking for

3 things to look for:

• condos that are over 100 days on market
• condos with special assessments pending
• short term rental condos in the off season

3 things to know:

• street view is least desirable
• side view is more desirable
• direct ocean front views are most desirable

all of these things affect the market price the least expensive condos are typically condotels think of a hotel room size place that you can purchase stay there when you want rent it out when you are away these are typically cash purchases as most of these are "non warrantable condos" which means that more than 50% of the units are non owner occupied rentals if you are planning to use a mortgage when you purchase you can still find a deal finding a motivated condo seller is much easier when you are flexible if you have super specific needs and desires you will limit your options today's show give you an insiders view of the condo market