Home Buying October 28, 2013

3 Big Myths of Home Buying

We are here to save you pain, buyers. There are myths about the home shopping experience that must be addressed. We'd like to make the home buying experience as stress-free as possible, so please hear us out on these three big myths about home buying:

Myth #1: “That house has been on the market so long I bet we can work the seller down easily.”

Not necessarily. Exceptionally high days on market could mean almost anything. The seller could be bullheaded about their price. The seller may not be particularly motivated to sell for emotional or other personal reasons. Don’t forget: A sales-weary seller isn’t likely to respond to your host of rational reasons why their house should be a bargain.

Myth #2: “I want to look at foreclosed homes because they’re a real bargain and the banks need to unload them.”

Banks, like entrenched sellers, don’t always make decisions which seem rational based on obvious information. You can have a hard time divining the reason a bank chooses to reject an offer for a foreclosed or distressed property, and their decision may be based on financials which seem counterintuitive. The truth is, many distressed sales can be longer and more fraught than regular sales.

Myth #3: “I liked this house a lot, but with this market, I bet it will still be there if I decide to buy it.”

It’s very, very painful to see a client love a home but fail to make a move to purchase that home. If you fell in love with it, why wouldn’t someone else? Just because a property has been on the market a little while doesn’t mean it will stay on the market. The bonus myth in this one? Your “perfect” home is probably going to be a home with some small compromises. If you don’t make an offer on a home, you’re effectively saying, “I’m comfortable losing this home.”

Our job as a broker is to represent your interests and do our best to protect you along the way. If you’re pursuing a home purchase in the near future, please get in touch. There are many other ways we can lower your stress and help you find a great home.

-Steve and Sandra

Steve Hill and Sandra Brenner
Best In Client Satisfaction
Windermere Real Estate
BrennerHill.com
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call/text 206-769-9577

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Home Buying June 28, 2013

Buying a House? 3 Reasons to Do it Now!

Address

Here are three great reasons to consider buying a home today instead of waiting.

1.) Prices Will Continue to Rise

Standard & Poors recently upgraded their 2013 forecast for the S&P/Case-Shiller Home Price Index to an 11% year-over-year increase from their original 8% projection.

The Home Price Expectation Survey, which polls a distinguished panel of over 100 economists, investment strategists, and housing market analysts, projects a 22.3% appreciation in home values over the next five years. The bottom in home prices has passed. Waiting no longer makes sense.

2.) Mortgage Interest Rates Are Increasing

As reported by Freddie Mac, interest rates for 30-year fixed-rate mortgages have risen about 1/2 percentage point over the past several weeks.

The National Association of Realtors, the Mortgage Bankers Association and Fannie Mae are calling for interest rates to rise by approximately an additional ½ percentage point by this time next year. Some are trying to minimize the impact of higher rates. For example, Freddie Mac in their June U.S. Economic and Housing Market Outlook stated:

“At today’s house prices and income levels, mortgage rates would have to be nearly 7 percent before the U.S. median priced home would be unaffordable to a family making the median income in most parts of the country.”

However, an increase in rates will impact YOUR monthly mortgage payment. Whether you are moving up or moving down, your housing expense will be more a year from now if a mortgage is necessary to purchase your next home.

3.) It’s Time to Move On with Your Life

The ‘cost’ of a home is determined by two major components: the price of the home and the current mortgage rate. It appears that both are on the rise. But, what if they weren’t? Would you wait?

Look at the actual reason you are buying and decide whether it is worth waiting. Whether you want to have a great place for your children to grow up, you want your  family to be safer or you just want to have control over renovations, maybe it is time to buy.

If the right thing for you and your family is to purchase a home this year, buying sooner rather than later could lead to substantial savings.

Consifering Buying a Home? Give us a call, we can help you find the perfect home.

Steve Hill and Sadnra Brenner
Windermere Real Estate Seattle Northwest
12550 Greenwood Ave N
Seattle WA 98133
206-769-9577

Buy or Rent? June 5, 2013

Buy or Rent: Which Makes More Sense Financially?

rent buyEvery potential home buyer has to stop for at least a moment and consider this question. Today, we want to look at one of the many financial reasons to buy instead of rent: the housing expense moving forward.

According to the latest Existing Home Sales Report from the National Association of Realtors, the median sales price of a home in the U.S. is $184,300. The mortgage payment (principal & interest) on that purchase would be $661.89 assuming a 20% down payment and a 3.5% mortgage interest rate. Currently, the median asking rent in the U.S. according to the Census Bureau is $717 a month.

We realize that the two payments do not necessarily reflect the housing cost on a similar residence. However, that is not the point of the post. All we are saying is that the monthly housing expense on a median price home is $661.89 and the median rent is $717. We now want to discuss what will happen to these costs over time.

The principal and interest portion of the mortgage payment is locked in for the next 30 years. We know real estate taxes may be included in the payment and will increase to some degree over that time. We also acknowledge that the homeowner will have occasion to spend money on repairs. They also receive many tax advantages as a homeowner.

However, the actual monthly housing expense remains the same for the next 30 years.

Now, let’s look at what happens to a rent payment. The best thing to do to predict the future is to study the past. Here is a graph of the median asking rent since 1988 based on Census Bureau data:

 Rents

We believe rents will follow their historically pattern and increase dramatically over the next 30 years. Buyers have a choice: either lock in your housing expense or deal with the uncertainty of rental increases.

Home Buying April 20, 2013

3 Financial Reasons to Buy a Home NOW!

The price of a home is the major consideration when deciding whether or not it makes financial sense to purchase a house. Experts are not only projecting that house values will increase in 2013. They are also more optimistic in the level of appreciation they are projecting as the market begins to heat up. Here are some examples: Read on HERE.

Home Buying and Selling March 15, 2013

Representing Home Buyers and Sellers Throught the Pacific Northwest

Representing Home Buyers and Sellers Throughout the Pacific Northwest

 

Real Estate is a complex and demanding profession.  An individual practitioner must wear several hats in order to competently service the needs of both buyers and sellers.  Aside from just enjoying working together,  Steve and Sandra truly believe in the old adage “two heads are better than one”.  They each bring something different to the team.  Their individual skill sets are diverse, but complimentary.  They feel their combined professional expertise together with Windermere’s excellent reputation, advanced tools and resources are a winning combination that fully serves the needs of their clients.

 

Contact Steve and Sandra Today

 

Steve Hill and Sandra Brenner

Windermere Real Estate Seattle Northwest

206-769-9577

Representing Home Buyers and Sellers Throughout the Pacific Northwest

 

Real Estate is a complex and demanding profession.  An individual practitioner must wear several hats in order to competently service the needs of both buyers and sellers.  Aside from just enjoying working together,  Steve and Sandra truly believe in the old adage “two heads are better than one”.  They each bring something different to the team.  Their individual skill sets are diverse, but complimentary.  They feel their combined professional expertise together with Windermere’s excellent reputation, advanced tools and resources are a winning combination that fully serves the needs of their clients.

 

Contact Steve and Sandra Today

 

Steve Hill and Sandra Brenner

Windermere Real Estate Seattle Northwest

206-769-9577

 

Home Buying Seattle December 1, 2012

It’s the most wonderful time of the year…

 


You may or may not realize this but "it's the most wonderful time of the year" to buy real estate…

While everyone else is occupied with the Holidays, you can sneak in and grab a great deal on a Seattle area home. In all seriousness though, this truly is a great time of year to be a buyer, so if you (or somebody you know) has been thinking about it, then we should probably talk so call or text me at 206-769-9577. ~ Steve