Many people understand & believe that home ownership is key to fulfilling the American Dream. In a world where affordability varies so widely and is affected by so many factors, the folks over at HowMuch.net created an amazing visual aid to offer an easy apple-to-apples comparison. Using US Census Data to determine median incomes v/s media sale prices, these experts broke down each cities respective housing costs to the number of hours required to cover an average mortgage. While Memphis, TN can be home by Wednesday, New York, NY will be putting away some late night hours.
Want to see how your individual city faired, be sure to check out the source data found here: https://howmuch.net/sources/hours-work-afford-home
Christie Cannon | REALTOR
The Christie Cannon Team
Keller Williams Realty Frisco
469-951-9588
www.ChristieCannon.com
In real estate, like life, change is the only constant. The first thing I want you to be aware of is that “shift happens.” Shift isn’t a bad word. It is simply a changein the trends we are seeing the market. Reviewing these changes helps us determine reasonable expectations & where to focus effort to best assist you with the sale of your home.
This year we believe that we are seeing the market shifting beyond the seasonal fall/winter cycle. We, like many industry experts, believe we are seeing a return to greater balance in the real estate market. It's still a Seller's market though - the graph below shows where the sellers market, neutral market and buyers market begin to change. A seller market means we will still see some appreciation in our home prices.
What trends are we are seeing in the market today:
1. Again, the sky isn’t falling. We are discussing a slight change, not a panic. That means a little longer time on market and we need to pay more attention to ensuring your home is priced right and not too high as the consumer will not react as favorably to the higher prices when there's more to choose from.
a.TX economics remain strong & the “attractiveness” of our cities remains high.
b.Corporate relocations continue to be drawn to our area.
2.Prices remain stable.
a.Prices in most market areas are still seeing slight increases; however, the pace of increase has slowed dramatically &/or stabilized in almost every area.
b.For many months, sellers have been able to “ratchet” up their listing price as each home in the community has sold. This strategy has proven to reach a limit. We are now seeing large amounts of price reductions daily. Likewise, there are an increasing number of homes that are having appraisal issues, where a lender’s independent valuation of a home is coming in less than the contracted sales price.
c.A strong pricing strategy remains among the most critical aspects of selling a home.
3.Inventory is increasing & in some areas increasing quickly.
a.One of the primary drivers that have fueled real estate’s strong numbers over the past few years has been a low inventory environment. The inventory in almost all price points and cities is on the rise.
We measure inventory in both total number & “month supply”. Month supply is simply the time it would take to sell the existing inventory if new listings ceased coming on the market.
I'll use Frisco as an example of this increase in inventory. Frisco’s housing supply has increased every month since December 2016. In fact, August 2017’s inventory was just under double from December 2016. This is reflected in August as 1,094 homes listed with 320 homes selling for a 3.8 month supply. This holds true for most of the surrounding cities as well.
4.Days on market are increasing, and houses are still selling.
a.As you can envision, when inventory increases, days on market also rise. The increase of days on market often slightly lags the changes to “month supply”.
b.It may be surprising, but the average days on market are as high as 90+ days in some price ranges, even in the most popular markets.
5.Buyers have more choices. This is a critical take away!
a.When buyers have more choice, Price, Condition, & Location become key!
How do we prepare for this “shift”?
1.Strong pricing strategy remains among the most critical aspects of selling a home in an environment where buyers have choice.
a.Our listings that elect to utilize a smart pricing strategy often still see multiple offers & shorter days on market. There is always a balance between Days on Market & Price.
b.Expect to see elevated levels of price competition. Timely price adjustments increase timely closing probability & reduces time on market.
c.Simply imagine you are purchase a new car. There are 3x dealerships offering the model & features you want. 1x of the 3 dealerships is offering theirs’ for $5k less. Most buyer’s are not going to make an offer or negotiate with the 2x at higher prices to see if they can make it work; they will simply go the lowest price dealership first & attempt to negotiate. Should that fail buyers will move to the higher prices to negotiate.
2.Pay attention to changes in Showing Traffic relative to competition.
a.Higher relative seller/buyer ratios (month’s supply) reflect a more competitive market for sellers.
b.Having a large number of showings relative to other similar properties without an offer (or with a lot of low offers) is a strong indication of overpricing. The image below provides an overview of how showings, or lack thereof, can be viewed in terms of pricing strategies:
What are some of the things The Christie Cannon Team of KW Frisco has done to be ahead of these challenges?
1.Expanded our marketing team to include an in-house designer to ensure your home is well prepared & properly marketed. If you think you need a refresher at this time, let us know and we will gladly arrange a time with our designer to come visit with you at your convenience. She is also reviewing your listing photos, marketing campaigns and sites to help improve wherever we can to gain more buyer interest.
2.Conduct more frequent digital marketing reviews for your home, to ensure our listings continue to capture a larger share of interest from buyers.
3.Expanded our Inside Sales Agent team to increase our ability to directly call agents & prospective buyers who have expressed interest in your home or previously toured your home.
4.Increased our digital marketing campaigns to include banner ads& more direct to consumer marketing and re-targeting branding with your home.
5.Reverse prospecting (where we contact the agents that have clients searching for your “type” home.)
6.Increase agent & broker tours and direct agent to agent marketing to better introduce and keep your home in front of the market.
7.The introduction of Special Financing options available exclusively to our KW clients & our KW listings to assist with incentives to buyers and help you stand out!
My goal is to arm you with the best information so you can be prepared to make informed decisions about getting your home sold.
Looking for more info? We are always happy to help. Remember, we review each any every home we have on the market regularly & consistently to help you get SOLD!!
Written by Christie and Kevin Cannon / Keller Williams Realty / no unauthorized use or copy permitted. www.christiecannon.com | 972.215.7747
The Christie Cannon Team | Keller Williams Frisco TX | 4783 Preston Rd #300
How do I get really know a neighborhood when searching for a house?
DISCOVERING The NEIGHBORHOOD
There are many factors to consider when selecting a neighborhood that is right for you. Think about the location in terms of commute time to work, distance from leisure-time activities, and proximity to shopping, schools or any other places you frequent. You may think of others factors that are important to you. Please take some time to write them down and share them with us. We are delighted to point in the direction of resource to help ensure that you are as well informed as possible before you consider your home purchase.
Scout out the Neighborhood!
It is important that you scout the neighborhood in person – everyone’s taste is unique. Make sure the community matches your needs and lifestyle.
Talk to people who live there. Ask us if we may have past clients in the area, often they are happy to share their knowledge and experience.
Drive through the entire area at different times of the day, during the week, and on weekends.
Look carefully at how well other homes in the area are being maintained—are they painted; are the yards well cared for; are parked cars in good condition?
Consider attending any upcoming community or HOA event!
Neighborhood Factors to Consider
Look for things such as access to major thoroughfares, highways, and shopping.
Consider recreating your work drive during similar commute times.
Listen for noise created by commerce, roads, railways, public areas, schools, etc.
Travel through the community on weekends and after school hours.
Check with local civic, police, fire, and school officials to find information about the area. Police Public Information Officers can be a great resource.
Research environmental topics such as soil and water quality, as well as floodplain implications.
Study traffic patterns around the area at different times of the day and measure drive time from the area to work.
Is the neighborhood near parks, places of religious worship, recreation centers, shopping, theaters, restaurants, public transportation, schools, etc.? Consider where you spend your time, outside of your home.
Does the neighborhood have a Homeowner’s Association? If so, how much is it and what does that add to my monthly payment.
As always, please do not hesitate to let us know how we can assist!
What must a Buyer Know in Multiple Offer Situations?
If you walk in a home and instantly fall in love with it, the odds are pretty high you aren’t the only one. (Click HERE for Why!) Welcome to multiple offers. The best thing you can do is make an offer as soon as you are comfortable and make it good.
Buyers often pass over making an offer for the simply the fear of being in multiple offers. Don’t let your fear get in the way! Don’t assume that you may not have a chance; get your offer in. There is always a chance that your offer may just be what the sellers are looking for. Likewise, very often we see buyers & agents get overly discouraged in a competitive market and fail to submit their offer based on a false assumption of multiple offers.
Should a property receive multiple offers, the seller will likely request a highest and best with a deadline for submission. However, a seller is not required to do so! It is not uncommon for a seller’s needs to be met by one particular offer (a stand out offer) and they don’t request highest & best - they simply try and work with the offer the best suits their needs. Remember, there is more to the offer than price alone. If you can offer the seller flexibility with the closing date, or perhaps allowing the seller to stay in the home for a few days after closing, you may just win the day.
First discuss your strategy with your agent, and understand your options. Be frank in your desire for a particular house; this way, your strategy can support your needs. Second ask yourself what this home is worth to you and what you are willing to lose it over. Simply put, there is a price that keeps the house attractive, and a price where "losing" the offer is acceptable. Lastly, ask your lender about your options to make sure the home & strategy remain affordable in your set budget.
Something to remember, in Texas, a seller is not required to disclose if they have more than one offer! And there are times when a seller may feel requesting a "highest & best" offer is not in their best interest. That is why you may want to put out your best offer forward, if it is a home you truly want. When you put your best offer forward, you know that should the seller select another offer, it was at terms or a price greater that you were willing to pay.
If you end up in a multiple offer scenario, we can help you create a strategy that you feel will put you in the best position to meet your goals. The most important thing to remember, do not get discouraged! The answer is always “No”, if you don’t make the offer!
Why am I affiliated with Keller Williams Realty? - Christie Cannon | Keller Williams Frisco
My affiliation with the fastest growing and largest Real Estate company in the world is no accident! With my business partner and husband holding an independent Broker’s license, and given my long experience in real estate – the opportunity to be affiliated with any number of brokerages and companies is available.
I wanted to affiliate my real estate services, and The Christie Cannon Team, with a company whose values closely match my own, a company that offered exceptional tools for their agents to in-turn provide an exceptional home-buying and home-selling experience to each client, and a company that actually listened to suggestions from its agents. That is why we choose to be affiliated with Keller Williams Realty.
Here is the belief system at Keller Williams Realty, simple, clear, effective, and powerful:
With a business belief system this well-defined, I am assured that my past and current customers always come first. It’s Keller Williams Realty’s & The Christie Cannon Team’s commitment to you.
More Staging Tips to Help You Sell Faster and for More Money, from Christie Cannon | Keller Williams Frisco Tx
Buyers love built-in bookshelves. There’s a fine line between filling them with clutter and staging them to sell. The trick is to arrange neutral items in clusters. Make sure that no single accessory stands out too much. That way, you’ll show off your attractive built-ins, and not your personal belongings.
Curb appeal is vital to attracting buyers. First, with two tones of paint, add a faux finish to any corner keystones. Next, bring out the color of walkway pavers using a stone sealer and finally, plant flowers in bloom.
Staging rooms to show off their true potential is essential when selling your home. Clear out clutter or other personal items that will distract buyers. Paint the walls a neutral tine, and furnish the space to show off how functional it is.
Let the sun shine in. Buyers love light and airy living rooms, but dark and dingy isn’t on their list. Open up your window shades to let some light in. Cheat some sunshine with a light-colored paint and lots of artificial lighting. You can never have too many lamps.
Unpleasant pet odors won’t win over buyers. We all love our pets, but unpleasant pet odors can make a negative first impression. Be sure to get rid of old carpet than can trap offensive smells. Replace it with fresh new carpet in a neutral color. Plus, if you paint the walls to match, your living room will look bigger. If that doesn't do the trick, consider an Ozone Treatment!
Storage space sells! Potential buyers love homes that have lots of storage space. Since they will open your closets, it’s a good idea to clear out unnecessary clutter, and organize your shelves to show off how much storage you really have. Plus, it gives you a chance to start packing, as you will definitely be moving once buyers see all that closet space.
Create a nice flow in your rooms. Buyers are attracted to homes that have a good flow. You can create circulation by replacing square or rectangular dining tables with round ones. Cutting the corners adds room to this maneuver and creates a spinoff effect that adds flow to your home – cash flow, that is.
Pack up unnecessary items. An overpacked room is a red-flag to buyers that a home lacks storage. Clear the way for buyers to see your space and square-footage. Consider a short term storage unity or even the garage.
Some Staging Tips for Selling Your Home Faster, from Christie Cannon | Keller Williams Frisco
Grimy bathroom walls are a major red flag to buyers. Here is an easy way to get rid of surface mold: Mix a spray bottle with one part water and one part bleach. Just spray it on the wall, and watch the mold disappear. Give it a fresh coat of paint and your grimy bathroom will go from red flat to red-hot.
Don’t replace a yucky shower door: Just scour it. Instead of replacing it, clean it with a mixture of one part muriatic acid and about 10 parts water. Scrub with steel wool, wipe it down and reinstall the door.
Avoid dated tile by painting. Bathrooms sell houses, but dated tile in a bathroom doesn’t. A low-cost alternative to replacing the tile is to use paint. First coat the tiles with a high-adhesion primer. Next, brush on a special ceramic epoxy covering. For a fraction of the cost of new tile, you will have an up-to-date bathroom that brings in big bucks.
Pedestal sinks are a big hit with buyers. They show off square footage in small bathrooms beautifully. First, your old vanity has to go. Next, just hook up your new sink and your bathroom will have dramatic appeal that brings in big bucks.
A master bedroom should appeal to both sexes. Get rid of features that seem too gender-specific. Paint the walls a neutral color, and choose bedding that matches. Then accessorize with items that complement the overall color scheme.
New kitchen appliances bring high returns from sellers. Once you install the new equipment, it will scream “new kitchen,” and you will see that spending a little money will make you even more.
Turn an unattractive fireplace into a selling feature. First, that dated brass screen has got to go. Next, give the fireplace a good cleaning, scrubbing it with soap and water. Then, using a stone color enhancer, polish the bricks to make them shine.
Stain or paint dated kitchen cabinets instead of replacing them. First, apply the stain in even strokes, going with the grain of the wood. Add some stylish hardware, and your kitchen will have the up-to-date look that buyers love.
Stainless-steel appliances are definitely in with buyers. Instead of buying a new dishwasher, there may be a low-cost way to resurface an old one: check with your manufacturer, many sell replacement panels & covers for the dishwasher facing.
Fill existing hardware holes instead of making new, unsightly ones. First, dip a toothpick in glue and place it in the stripped hole. Cut off the excess piece. Once the glue dries, you’ll be ready to put in the hardware that buyers love.
Save money on granite countertops. First, see if you can do the demo yourself. Also, ask the vendor for remnants from previous projects for smaller bathroom jobs. Remember, many times the money you spend will definitely returned in the value these beautiful counters add to your kitchen & baths.
Have Questions, feel free to give me a call!
CHRISTIE CANNONREALTOR
The Christie Cannon Team
Keller Williams Frisco
469-951-9588: Mobile
Voted as one of the BEST Realtors in D Magazine for 2010-2016
Voted as a Five Star Professional 2012-2016 Texas Monthly Magazine
Name among America's Best Real Estate Agents by Real Trends Magazine
Texas holds 5 of the top 15 fastest growing cities (for towns with populations in excess of 50,000).
Frisco continues to top the charts with 6.3 percent growth in 2015. This continued growth places Frisco as the 4th fastest growing city in the US (by percent growth). Here in Texas, we find a new trend in the fastest growing cities, as we continue to see outward pressure from city centers drive suburban economic growth. Other "Burbs" to make the chart here in TX include (in order of ranking): Georgetown, New Braunfels, Pearland, & Frisco. College Station was the only non-traditional suburb to make the list!
Ok, so maybe this isn't the most fun topic for the spring; especially after another season of flash flooding & huge rains, but it wasn't that long ago when our lakes & lawns were suffering under long drought.
Once again, as we prepare to enter the summer season, it is time for us to be good stewards of our resources. Fortunately, most city's are actually eager to assist home owners & tenants alike!
From Free Check-ups to Discounted Rain Barrel Sales, Rebates, & Incentives - you may be surprised by how helpful your city really can to be!
