why your home might not sell

5 Reasons Your Home May Not Sell


1. LOCATION

Over history it has been said the three things to look for in buying a property are 1. Location, 2. Location and 3. Location. And there are positive and negative factors to almost every location.

No matter where your property may be located, there is a ready, willing and able buyer in the marketplace. You just have to be creative and sell the benefits.

2. CONDITION

Making a good first impression is important in getting a property sold. Painting the front door and trim, making sure the doorbell works, putting furniture and clothing in storage and cleaning off counter tops are just a few of the little things I suggest to my clients to make properties more marketable. I spend the extra time necessary with every client to assure all the little details are taken care of. It’s that attention to detail that sets me apart and enables me to get properties sold.

3. PRICE

how to price your home right

How soon you want to sell has a direct relationship to the price you receive for your property. A very important statistic to look at when pricing your property is the average sales price to list price percentage. This gives you a realistic guideline of what is really happening in the marketplace.

For an honest price analysis of your property, call me and I will share with you the price I expect you to receive in today’s real estate market.

4. TERMS

terms in a agreement to purchase or sell a home

Are you flexible about possession dates? Many times, serious buyers that are relocating to an area only look at those properties that offer immediate possession. Are you willing to assist the buyer with financing? Sometimes a seller who is willing to assist with financing will help a property to sell. Are you buying another property? If you are willing to consider trading part or all of your equity for another property, that makes your property more attractive in the marketplace.

5. THE AGENT AND COMPANY YOU CHOOSE

I pride myself on selling properties that other agents can’t sell. I understand the frustrations involved when sellers are not able to accomplish their real estate objectives.

If you are serious about selling and not just listing your property, call me today. I will give you an honest evaluation of what it is going to take to get your property sold. I will share with you my proven marketing systems that have enabled me to help so many sellers accomplish their real estate objectives.

FIND OUT HOW MUCH YOUR HOUSE IS WORTH IN TODAY’S MARKET.

If you’re going to sell your house in the next 6-12 months, what you do right now to prepare for the sale could make a difference of thousands of dollars.

The first thing you’ll need to know is how much your house is worth compared to other homes in today’s market. It’s easy to find out.

Now you can get a FREE list of homes for sale and sold in your neighborhood in the last 12 months so you have a good idea of what homes like yours are selling for in your neighborhood.

To get the most current Neighborhood Activity Report for your area just call or text today and we’ll send it out right away.

Maranda Christensen

Tailored Real Estate – eXp Realty

Broker/REALTOR®

704-951-4017


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4 Facts to Help You Choose the Best Offer


The nation’s real estate markets, for the most part, are still leaning toward sellers. Multiple offers on attractive, reasonably priced homes are common in many areas.

It only makes sense then that the higher the offering price, the better the offer, right? For many sellers, yes, but it isn’t always the case.

Sometimes the highest offer may have the worst terms, so it pays to scrutinize the entire contract before deciding on which to choose.

BUYER FINANCING

The buyer’s funding is also an important consideration. Most sellers give preference to a buyer who is offering to pay cash for their homes, at least in markets that favor them.

Barring that, a large down payment is attractive in that it lowers the amount the buyer must borrow for the purchase, making it more likely he or she will qualify for a loan.

FHA LOANS

FHA-backed loans have a more stringent appraisal process than a conventional loan, so if there are possible issues with their home, many homeowners put any offers using FHA financing at the bottom of the pile.

EARNEST MONEY

How much earnest money is each bidder depositing? The amount can vary, and the buyer with the highest earnest money deposit has the most “skin” in the game and is less likely to bail on the deal.

CONTINGENT OFFERS

Some offers are contingent upon the sale of the buyers’ current home. When determining the value of contingent offers, keep in mind more variables need to be met for the deal to come to fruition. Therefore, their value should be measured accordingly.

THE BOTTOM LINE

Buyer offers can be deceiving and having the right assistance to ensure you are excepting the best offer while avoiding possible pitfalls is crucial. The above list is just an overview of what I’ll look at in the purchase contracts you receive. I’m happy to share the rest with you – feel free to contact me.


TAKE 5: WHAT AFFECTS PROPERTY VALUES?


Some the features that increase property values are obvious—like a remodeled bathroom, a modern kitchen, or a sought-after neighborhood. But here are a few features and circumstances you have not have realized can affect property values.


 1. The neighbors: Not every neighborhood or community has an HOA that can keep the neighbors from going overboard with decorations or neglecting to care for their home. Homes adjacent to crazy neighbors can potentially be undervalued.

 2. Trendy groceries and coffee: Recent statistics suggest that if your home is a short walk from popular grocery stores like Whole Foods or coffee chains like Starbucks, it can actually appreciate faster than the national average.

 3. Mature trees: A big beautiful tree in the front yard is enviable, and it’s not something that can be easily added to any home. Homes with mature trees tend to get a little boost in value.

 4. Parking: This isn’t too much of an issue if you live in the suburbs or in a rural area, but residents in dense cities can have real problems with parking, and homeowners might need to rent a spot just to guarantee a place to park each night. That’s why having guaranteed parking in urban areas will raise property values.

 5. The front entrance: First impressions matter to buyers—many will cross a home off their list within 10 seconds of stepping through the front door. An appealing front door, a friendly entryway, and a functioning doorbell are all necessities for getting top dollar.

For more tips, behind the scenes, Lake Norman Market Watch, and more…Follow my Instagram and/or Facebook. I love meeting new people, and especially like minded people that enjoy lifting people, not competing with the Jones’ (if you catch my reference).

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CLOSING COSTS 101


When purchasing a home, there are several fees you have to understand and factor in to your budget before you hit the closing table. Here’s what you need to know.

What are closing costs?

Closing costs are the fees for services required to finalize your mortgage. Typically, the buyer is responsible for paying these costs unless otherwise negotiated to have the seller contribute. Fees include (but certainly are not limited to) attorney, appraisal, inspection, government taxes, title insurance, home insurance, mortgage insurance, and property taxes.

How much are closing costs?

According to NerdWallet.com, closing costs usually total about 2 to 5 percent of the home’s purchase price, and they generally vary depending on the property purchased and state you reside in. Your lender will provide you with an estimate of your closing costs following your loan approval, and although that number can change slightly, your final costs should be similar. If you would like a recommendation on lenders in North Carolina, reach out to me and I’d be happy to give you a few recommendations.

How can you reduce closing costs?

Some of the fees that fall under your closing costs can be reduced by doing ample research on lenders at the beginning of the homebuying process. Then, compare any potential discounts or deals they offer before making your choice. Additionally, you can attempt to negotiate with the seller to cover part or all of your closing costs.

Do keep in mind, asking for the seller to cover costs may weaken your offer in a seller’s market. Right now in the Lake Norman area of North Carolina and much of the nation, it is a SUPER seller’s market. Meaning, the seller has all the cards. Inventory is low and demand is high. Homes are getting 30+ showings on day 1 and nearly the same amount of offers. If you’d like to discuss more on how to make a stronger offer in a sellers market, give me a call anytime! I’m happy to talk real estate. 🙂

Can you avoid upfront closing costs?

If you think you will be unable to afford the closing costs upfront, you can opt to roll them into your loan. However, choosing this route often costs you more in the long run. At a minimum, you’ll have to pay interest on your closing costs, or depending on your lender, you may face a higher interest rate on your entire loan.


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STATE OF THE NATIONAL REAL ESTATE MARKET


Despite the COVID-19 pandemic, the real estate market continues to trend upward. According to analytics firm CoreLogic, in November, home prices were up 8.2% year over year. Interestingly, Idaho (15.7%), Maine (15.4%), and Indiana (13.6%) were the states with the highest increases. Plus, this past year saw record low interest rates, which is certainly a driving factor in the current hot real estate market. While this is great news for existing homeowners, it has posed some difficulties for lower income individuals to afford homes.

One major challenge facing the industry is inventory for would-be buyers is at a 12-month low. According to the National Association of Realtors (NAR), inventory nationwide is down to a 2.1 month supply. This is a 30% decrease in available homes for sale from the same time period last year. Most real estate professionals consider a six-month supply of homes a healthy balance between a buyer and seller market. This low supply, or low inventory, generally indicates a strong seller’s market. NAR also reported the median days on market in December 2020 was only 16 days, further indicating that it is a strong seller’s market.

Because the real estate market is very dynamic, whether you are thinking about selling or buying, it’s more important than ever to work with an agent who understands the local market. Often, homes are sold where the seller may have netted a higher amount or there are buyers who lose out on a great home because their agent may not understand these market forces. Find an agent with knowledge and experience locally who can understand your unique needs.

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If There Was Ever a Time to Sell Your Home Quickly and For Top Dollar, It’s Now


Wait! Repeat that, my house could sell for what…?!

The demand for homes is HIGH and there is a very LIMITED supply. Many homes are receiving multiple offers and selling for OVER market value. This could be the time for you to sell and cash out on that equity!

Not a homeowner yet? Be prepared with a pre-approval letter AND your BEST offer right out the gate.


Inventory is at a low everywhere. But I’d like to focus on a few cities from my service area for this financial Friday! So Let’s dive in and see how things have changed over the last 3 years (January 2019 to January 2021) in Huntersville, Denver, and Sherrills Ford.

Huntersville has the biggest decrease in homes for sale out of the three with a 41.1% decrease since this time last year!

All Data from canopy mls . sam © 2021 Showingtime.

If you know anything about supply and demand, you know that prices are driving up because of this. If supply remains low, prices may continue to rise.

Sherrills Ford has seen the highest increase in average sales price out of the three. With a 20.1% increase since January 2020!

This means, even if you did nothing to your home last year, it still may have increased exponentially in value. If you’re curious at all where your home might land in a probable sales price, reach out to me anytime. I’d be glad to provide you with a comparative market analysis and further answer any other questions you may have.

In combination with too many buyers, not enough homes – Houses are under contract within hours of going on the market. Huntersville average days on market has decreased over 40 percent!

Despite the pandemic, homes are selling at fast pace with a plethora of buyers and little homes to choose from. If there was ever a time to sell your home quickly and for top dollar, it’s now. Let’s discuss more about how to prepare to list and market your home to maximize marketability and get top dollar.

Keep an eye out for the next Financial Friday Post! Simply follow my blog or find me on Instagram.

Pricing your home right

5 CRITERIA FOR PRICING A HOME

When you put your home up for sale, one of the best ways to determine the asking price is to look at comparable sales. There’s rarely a perfect apples-to-apples comparison, so a pricing decision often relies on comparisons to several recent sales in the area. Here are five criteria to look for in a sales comparison.

  1. Location: Homes in the same neighborhood typically follow the same market trends. Comparing your home to another in the same neighborhood is a good start, but comparing it to homes on the same street or block is even better.
  2. Date of sale: It varies by location, but housing markets can see a ton of fluctuation in a short time period. It‘s best to use the most recent sales data available.
  3. Home build: Look for homes with similar architectural styles, numbers of bathrooms and bedrooms, square footage, and other basics.
  4. Features and upgrades: Remodeled bathrooms and kitchens can raise a home’s price, and so can less flashy upgrades like a new roof or HVAC system. Be sure to look for similar bells and whistles.
  5. Sale types: Homes that are sold as short sales or foreclosures are often in distress or sold at a lower price than they’d receive from a more typical sale. These homes are not as useful for comparisons.

Why Today’s Options Will Save Homeowners from Foreclosure

Many housing experts originally voiced concern that the mortgage forbearance program (which allows families impacted financially by COVID to delay mortgage payments to a later date) could lead to an increase in foreclosures when forbearances end.

Some originally forecasted that up to 30% of homeowners would choose to enter forbearance. Less than 10% actually did, and that percentage has been dropping steadily. Black Knight recently reported that the national forbearance rate has decreased to 5.6%, with active forbearances falling below 3 million for the first time since mid-April.

Many of those still in forbearance are actually making timely payments. Christopher Maloney of Bloomberg Wealth recently explained:

“Almost one quarter of all homeowners who have demanded forbearance are still current on their mortgages…according to the latest MBA data.”

However, since over two million homeowners are still in forbearance, some experts are concerned that this might lead to another wave of foreclosures like we saw a little over a decade ago during the Great Recession. Here is why this time is different.

There Will Be Very Few Strategic Defaults

During the housing crash twelve years ago, many homeowners owned a house that was worth less than the mortgage they had on that home (called negative equity or being underwater). Many decided they would just stop making their payments and walk away from the house, which then resulted in the bank foreclosing on the property. These foreclosures were known as strategic defaults. Today, the vast majority of homeowners have significant equity in their homes. This dramatically decreases the possibility of strategic defaults.

Aspen Grove Solutions, a business consulting firm, recently addressed the issue in a study titled Creating Positive Forbearance Outcomes:

“Unlike in 2008, strategic defaults have not emerged as a serious problem and seems unlikely to emerge given stronger expectations for property price increases, a record low inventory of homes, and stable residential underwriting standards leading up to the crisis which has reduced the number of owners who are underwater.”

There Are Other Options That Were Not Available the Last Time

A decade ago, there wasn’t a forbearance option, and most banks did not put in other programs, like modifications and short sales, until very late in the crisis.

Today, homeowners have several options because banks understand the three fundamental differences in today’s real estate market as compared to 2008:

1. Most homeowners have substantial equity in their homes.

2. The real estate market has a shortage of listings for sale. In 2008, homes for sale flooded the market.

3. Prices are appreciating. In 2008, prices were depreciating dramatically.

These differences allow banks to feel comfortable giving options to homeowners when exiting forbearance. Aspen Grove broke down some of these options in the study mentioned above:

  • Refinance Repay: Capitalize forbearance amount – For borrowers who have strong credit, have good or improved equity in their homes, possibly had a higher interest rate on their original loan, have steady employment/no significant wage loss, and income.
  • Repayment Plan: Pay it back in higher monthly payments – For people who cannot reinstate using savings, but have increased monthly income, and do not want to use a deferral program.
  • Deferral ProgramShift payments to the end of the loan term – For borrowers who lost income temporarily and regained most or all of their income but are not in a position to refinance due to credit score, home equity, low total loan value relative to closing costs, or simple apathy.
  • ModificationFlex modification or other mod – For households that permanently lost 20% to 30% of their income, but not all of their income, and want to remain in their home.

Each one of these programs enables the homeowner to remain in the home.

What about Those Who Don’t Qualify for These Programs?

Homeowners who can’t catch up on past payments and don’t qualify for the programs mentioned have two options: sell the house or let it go to foreclosure. Some experts think most will be forced to take the foreclosure route. However, an examination of the data shows that probably won’t be the case.

A decade ago, homeowners had very little equity in their homes. Therefore, selling was not an option unless they were willing to tap into limited savings to cover the cost of selling, like real estate commission, closing costs, and attorney fees. Without any other option, many just decided to stay in the house until they were served a foreclosure notice.

As mentioned above, today is different. Most homeowners now have a large amount of equity in their homes. They will most likely decide to sell their home and take that equity rather than wait for the bank to foreclose.

In a separate reportBlack Knight highlighted this issue:

“In total, an estimated 172K loans are in forbearance, have missed three or more payments under their plans and have less than 10% equity in their homes.”

In other words, of the millions currently in a forbearance plan, there are few that likely will become a foreclosure.

Bottom Line

Some analysts are talking about future foreclosures reaching 500,000 to over 1 million. With the options today’s homeowners have, that doesn’t seem likely.

A Homeowner’s Net Worth Is 40x Greater Than a Renter’s

One of the best ways to build your family’s financial future is through homeownership. Recent data from the Federal Reserve indicates the net worth of a homeowner is actually over 40 times greater than that of a renter. Maybe it’s time to start thinking about buying a home, especially when they’re so affordable in today’s market.

A Homeowner’s Net Worth Is 40x Greater Than a Renter’s | MyKCM

Every three years the Survey of Consumer Finances shows the breakdown of how owning a home helps build financial security. In the graph below, we see that the average net worth of homeowners continues to grow, while the net worth of renters tends to hold fairly steady and be significantly lower than that of homeowners. The gap between owning and renting just keeps getting wider over time, making homeownership more and more desirable for those who are ready.

Owning a home is a great way to build family wealth.

A Homeowner’s Net Worth Is 40x Greater Than a Renter’s | MyKCM

For many families, homeownership serves as a form of ‘forced savings.’ Every time you pay your mortgage, you’re contributing to your net worth by increasing the equity you have in your home (See chart below):The impact of home equity is part of why Gallup reports that Americans picked real estate as the best long-term investment for the seventh year in a row. According to this year’s survey, 35% of Americans chose real estate over stocks, savings accounts, gold, and bonds.

Today, there are great opportunities available for those planning to buy a home. The housing market has made a full recovery, and all-time low interest rates are giving homebuyers a big boost in purchasing power. If you’re ready, buying a home this fall can set you up to increase your net worth and create a safety net for your family’s future.

Bottom Line

To learn how you can use your monthly housing cost to build your family’s net worth, let’s connect so you have a trusted professional to guide you through the homebuying process.