Posts Tagged as Real Estate Buyers

The real estate industry and homeowners have benefited from substantial tax deductions for decades. However in the latest real estate news, changes to these deductions are coming into the light now that the proposed tax plan has been signed into law. What will the fallout to the industry and home ownership be?

The Proposed Tax Change and Potential Impact to Home Buyers

The real estate industry and homeowners have benefited from substantial tax deductions for decades. However in the latest real estate news, changes to these deductions are coming into the light now that the proposed tax plan has been signed into law. What will the fallout to the industry and home ownership be?

Introducing ‘The Realtor Party’
In efforts to ‘save home ownership’ and leave homeowners as a favored class in the tax code, realtors nationwide protested, lobbied legislators, and warned clients about the threat of unfavorable real estate market impacts under the new tax law.

How the Changing Tax Codes Could Reduce Home Prices
According to real estate news, the new tax law could make home ownership less attractive, raising the cost and potentially depressing property values. What tax changes could bring this to pass?

– Property Taxes
The new law places a cap on the combined state and local income/property taxes with a single deduction limited to $10,000.

– Mortgage Interest
Under the new law, the standard deduction is almost doubled, so fewer homeowners will itemize, losing the full benefit of the mortgage interest deduction.

– Capital Gains
The qualification time for capital gains exclusions could increase, likely reducing transaction volume as sellers wait longer to list.

– Mortgage Rates
The $1-trillion+ the new law may add to the federal deficit could result in more rapidly rising mortgage rates according to economic theory, raising the cost of financing.

Big Winners… & Big Losers
According to some economists, smaller markets could feel little-to-no effect, while those in high-cost, high-tax areas like NY and NJ could see significant declines in home values: As much as 14% by 2019. Other real estate news analysts expect little effect, however, as many households already choose not to itemize. Rising demand/limited supply are expected to continue to drive the market upwards.

Marketing responsibilities taxing you? Reduce your workload and boost returns with the help of Properties Online today.

What Does the Average Home Buyer Look Like?

Millennial Home Buyers Shake Up the Real Estate Market

In multiple markets, Millennials are snatching up housing, outpacing Boomers in the purchase of new homes in 88% of the top 100 Core Base Statistical Areas (CBSAs). In 33% of the top metro areas, they are even outpacing Gen-X buyers. Are you cashing in on the latest real estate trends for 2016?

Where are Millennials migrating?
Nationwide, 16.7% purchased a resale home; 30.04% a new home. Of the top 100 markets, Millennial purchases include:

  • Austin-Round Rock, Houston-The Woodlands-Sugar Land, and Dallas-Fort Worth-Arlington are the top 8 metros where millennials comprise a large percentage of buyers.
  • San Antonio – 39.6% of homes purchased by Millennials (Gen-X 30.33%; Boomers 13.96%)
  • Houston – 34.47% (Gen-X 34.47%; Boomers 11.57%)
  • The Chicago metro, including northwest Indiana and southeast Wisconsin, and the Washington, D.C. metro are also comprised of a large portion of Millennial buyers.

Are they buying lower-priced homes?
Millenials are also purchasing homes in areas that top median home sales, with four metro areas in California at the head of the list. These include California’s Bay area as well as (in order of expense):

  1. Napa, CA:
    The top median home price ranking, with three closings at a median price of $762,500.
  2. The San Francisco metro area, including San Francisco, Oakland, and Hayward:
    451 new home closings with a median price of $696,700.
  3. San Jose, CA, including Sunnyvale and Santa Clara:
    133 closings with a median price of $640,700.
  4. Southern California, including metro Los Angeles, Long Beach, and Anaheim:
    Sales in this region include 537 new home closings at a median price of $612,900.
  5. Urban Honolulu, HI
    125 home closings with a median price of $500,000.

In real estate trends for 2016, it appears Millennials’ are finally moving up. Do you have what it takes to cater to this new generation of homebuyers? Properties Online can help. Contact us today.

First Impressions are Everything: Draw Potential Buyers in with a Welcoming Interior

Summertime Sales Boosting Home Staging Tips

With the summer busy season in full swing, buyers are taking advantage of the beautiful weather, looking for the perfect home to get their families resettled in before the start of the next school year. Are your sellers doing what it takes to market their home effectively and earn top dollar? Impressions of the home are made within the first 15-20 seconds it’s viewed, and passing along a few simple real estate selling tips can help them present it in the best possible light.

Heat up summer sales with these real estate selling tips for effective home staging:

  • Spruce up the exterior.
    It’s the first impression buyers get. Keep the lawn neat and tidy, tackle weeds, and keep clutter cleared. Anything that looks high maintenance is going to turn-off potential buyers.
  • Update the interior.
    Tastes have changed in recent years. Kitchens are hot, and stained cabinets are not – especially darker varieties. White cabinets are currently very popular. For baths, updating out of style brass hardware for chrome or silver is also recommended. In the rest of your home, a fresh coat of light neutral paint, neatly applied, can also clean and brighten things up considerably.
  • Seek out a stager.
    From photos to figurines, collectibles are clutter, and poor furniture arrangement can ruin a space. A stager offers a neutral third party opinion, taking some of the pressure off agents and helping prod sellers in the right direction. Many brokers include this with the listing.
  • Know when to leave well-enough alone.
    In today’s lending environment, it’s difficult to do improvements before closing. Consider saving major improvements for the buyer, whose tastes may be radically different, and opting to pay closing costs instead. This allows the buyer the necessary cash for improvements, making your home more appealing.

Heat up summer sales with these and other real estate selling tips from Properties Online.

Tips to Connecting the “Right” Way with Your Clients

Connecting The Right Way
Connecting The Right Way

There’s no single most effective way to contact clients. That said, however, some methods, such as texting, are dramatically undervalued according to real estate selling tips. The majority of agents are missing out on what clients crave – a fast response – and that’s offered simply and easily with the communication medium of texting.

What’s the BFD?
Like instant messaging from days of yore, texting is fast. Unfortunately, only about 15% of agents are using this resource – though according to the California Association of Realtors, 40% of respondents list texting as their preferred method of communication. With text messages having an open rate of 98%, that’s some seriously missed opportunity.

BRB: How fast are responses expected?
Are you missing the crucial five-minute window for initial contact?

  • Instant: 49%
  • 30 minutes: 78%
  • 60 minutes: 94%

GR8 real estate selling tips for effective texting:

  • Be proactive.
    Don’t chitchat. Let your prospect know about upcoming showing times, and try to make an appointment.
  • Be prompt.
    Texting prospects expect rapid TLC. If a text was sent, a prompt response is expected – even if it’s merely, “In a meeting, give me 10…”
  • Don’t forget the link.
    Always include a link to the suggested property top keep clients informed and/or browsing.
  • Save the emoticons for friends.
    Keeping it professional is preferable. So no ROTFLMAO either.
  • Get it in writing.
    CYA. Unless you have an established, solid relationship with a prospect, always get major decisions in writing, especially those that could make or break a contract.
  • Don’t be a dummy.
    We hope you’ve figured out by now texting and driving is bad. Pull over. And if you can’t control yourself, store your phone out of reach.

Texting NUB? You too can conquer tech with the help of real estate selling tips from Properties Online. Contact us and learn how to better streamline your business today.