Market Update

According to Trend MLS, the Philadelphia region real estate listing service, October saw an overall increase from the previous year. They said that despite the fear the government shutdown would have a negative effect on real estate activity, October closed sales exceeded last year by 18% and year-to-date is now 16% above last year.

In Montgomery county, there were 669 settled units in October 2013 compared to 514 in October 2012. The median sale price also increased from $246,000 in 2012 to $276,000 in October 2014. 

All good signs!

According to Lawrence Yun, the chief economist and senior VP for the National Association of Realtors (NAR), he predicts the housing demand to plateau next year with housing prices to increase by 6% and interest rates hitting 5.4%. The higher interest rate my discourage some buyers, but with the increase in job creation and loosening lending standards, he believes sales should balance out.

I think if you're on the fence on buying (moving up, scaling down, or first time) it's a great time to start the process. Now is the time to speak to a mortgage consultant and Realtor to get yourself in the position to make a move in 2014! 

Online home searching

Did you know that over 90% of buyers look online before getting serious about purchasing a home.

Makes sense, right? Don't we usually go online before buying anything? 

There are a ton of different websites where you can search properties for sale. However, not all websites are the same nor provide the best & most accurate information. 

Below is a snapshot of my Keller Williams online search page. There are a few cool things that it offers:

Save listings you like

You can sign up for listing alerts

Get neighborhood stats, school information, etc. 

Plus if you have questions about a home- you can contact me directly! Not some stranger listed next to the listing 

Downsizing

This year I've had to opportunity to work with a handful of clients looking to downsize. Their current home had become a little too much to manage, both inside and out. Some of these clients lived in their home for almost 20 years, which resulted in 20 years of "stuff." A lot of the "stuff" was sentimental and some was was junk, but digging in and starting the purge phase can be daunting.

Houzz.com (aka my new obsession) recently posted an article "Tips for Moving Into a Smaller Space." A lot of the tips they provide are similar to what I've expressed to clients- prioritize your things, give items to family members so it stays in the family, host garage sales, etc. But the article also focuses on changing your mindset & living habits. It helps you think of different ways to organize your rooms and prioritize what's important.

Enjoy :)

Tips for Moving Into a Smaller Space

General contractors, home builders, and more ∨

Hire an decorator to find that just-right sofa couch and cocktail table for your living room.
Find inspiring decorating ideas, from a tufted headboard to custom window treatments, to help you redesign your bedroom.

My new obsession

Houzz.com- Have you heard of it? Better yet, have you experienced it?
Think Pinterest.com, but only the home decor pins. It's inspiring, educating and addicting.

Did you purchase a new home, thinking about updating your kitchen or just bored with your living room layout? This site offers TONS of ideas, tips and open discussions within any style personality.

You can even search out local professionals! Contractors, architects, landscape designers, pretty much anything. For example, I came across a Montgomery County, PA barn Style Specialist- pretty random and cool.


Check it out for holiday decorations ideas.

50 Photos of Amazing Holiday Decorations

Architecture, interior design, and more ∨

Before you throw your next party, browse a wide selection of home bar supplies, drinking glasses and kitchen serveware.
Light up your living spaces with recessed lighting fixtures, a unique chandelier or even a pendant light fixture.

Or learn how to protect your home from Winter water damage.

Protect Your House From Winter Water Damage

Remodeling, decorating, and more ∨

From Shabby Chic home decor to contemporary furniture and mirrors, browse thousands of decorating ideas to inspire your next home project.
For small bathroom ideas, browse photos of space-saving bathroom cabinets and clever hidden medicine cabinets.

This Month in Real Estate

Buying from a bank

Bank/REO, Fannie Mae, Freddie Mac, Short Sale, Bank Owned
Have you seen these labels on homes you've seen? These days, it's not uncommon to come across a property that is for sale by a bank. Ruling them out of your search could really limit the homes you could buy.
But buying a bank owned home tends to be a lot more stressful than a "normal" sale.

In my personal and business experience, I feel if you have more knowledge-the less stressful it can be.
So here's the stages of a bank owned property:

1. Pre-foreclosure: Homeowners who fall behind in their mortgage payments don't lose their home right away; rather, they are issued a notice from the bank wherein the default becomes a matter of public record. At this pre-foreclosure state, homeowners can still prevent the loss of their home by working out a deal with the lender -- i.e., a short sale.

2. Auction: Once the bank forecloses on a home, the home is often auctioned out to the highest bidder (in an attempt by the bank to recoup some of its losses). This is the second chance homebuyers have to buy a house for less money. If a sale does not take place, the homes officially become bank-owned property.

3. Bank-owned real estate: Often advertised as "bank-owned foreclosures," these homes offer homebuyers the greatest number of benefits.

Tips:

• Expect days to weeks for replies- buying a bank owned home is not ideal for impatient people
• Short sale homes don't take a "short" time- have flexibility with your settlement date. 
• Expect to pay more out of pocket- example: for both sides of transfer taxes & city/township certifications, etc.
• Shoot for between 15%-30% under asking price depending on the condition of the property.
• Make your offer contingent on inspection and bring a contractor with you on inspection day.
• Banks counter offers sometimes, but it's a good idea to give your best offer first

Realtor.com

Interest Rate news

TGIF!
Let's end the week on some positive market news---
Mortgage rates fell again!
The 30 year fixed mortgage interest rate fell to an average 4.10%, it's the lowest since June.
This will hopefully encourage more buyers to enter the market and boost housing industry.

For example:
$250,000 mortgage
4.10% interest rate (fixed 30 year)
Roughly $1200 per month payment

A few months ago the rate was ticking up to around 5%
$250,000 mortgage
5% interest rate
Roughly $1340 per month

If you're on the fence, it could be worth it to start the process sooner than later.

http://realtormag.realtor.org/daily-news/2013/11/01/mortgage-rates-fall-lowest-levels-june