“Since 2011, the share of first-time home buyers has been under the historical norm of 40% as buyers face tight inventory, rising home prices, rising rents and high student debt loads.”

That said, if you’re looking to purchase your first home, here are two things you can consider to help make your dreams a reality.

Save Money with First-Time Homebuyer Programs

Being able to pay for the initial costs and fees associated with homeownership can feel like a major hurdle. Whether that’s getting a loan, being able to put together a down payment, or having money for closing costs – there are a variety of expenses that can make buying your first home feel challenging. 

Fortunately, there are a lot of public and private first-time homebuyer programs that can help you get a loan with little-to-no money upfront. CNET explains:

“A first-time homebuyer program can help make homeownership more affordable and accessible by offering lower mortgage rates, down payment assistance and tax incentives.” 

In fact, as Bankrate says, many of these programs are offered by state and local governments:

“Many states and local governments have programs that offer down payment or closing cost assistance – either low-interest-rate loans, deferred loans or even forgivable loans (aka grants) – to people looking to buy their first house . . .” 

To take advantage of these programs, contact the housing authority in your state and browse sites like Down Payment Resource.

The Supply of Homes for Sale Is Low, So Explore Every Possibility

It’s a sellers’ market, meaning there aren’t enough homes on the market to meet buyer demand. So, how can you be sure you’re doing everything you can to find a home that works for you? You can increase your options by considering condominiums (condos) and townhomes. U.S. News tells us these housing types are often less expensive than single-family homes:

“Condos are usually less expensive than standalone houses . . . They are also less expensive to insure.”

One reason why they may be more affordable is because they’re often smaller. But they still give you a chance to get your foot in the door and achieve your dream of owning and building equity. Beyond that, another major perk is they typically require less maintenance. As U.S. News says in the same article:

“The strongest reason for purchasing a condo is that all external maintenance is usually covered by the condo association, such as landscaping, pool maintenance, external painting, paving, plowing and more. This fee also covers some internal maintenance, such as gas, electric, plumbing, HVAC and other mechanical systems.” 

Townhomes and condos are great ways to get into homeownership. Owning your home allows you to build equity, increase your net worth, and can fuel a future move.

The best way to make sure you’re set up for success, especially if you’re starting out, is to work with a trusted real estate agent. They can educate you on the home buying process, help you understand your local area to find options that are right for you, and coach you through making an offer in a competitive market.

Bottom Line

Today’s housing market provides some challenges for first-time homebuyers. But, there are still ways to achieve your goals, like utilizing first-time homebuyer programs and considering all of your housing options. Connect with a local real estate professional so you have an expert on your side who can help you navigate the process.

The post Keys to Success for First Time Home Buyers! appeared first on Residence HQ.

Homeownership actually shields you from the rising costs inflation brings.

Freddie Mac explains how: 

“Not only will buying today help you begin to build equity, a fixed-rate mortgage can stabilize your monthly housing costs for the long-term even while other life expenses continue to rise – as has been the case the past few years.”

Unlike rents, which tend to rise with time, a fixed-rate mortgage payment is predictable over the life of the mortgage (typically 15 to 30 years). And, when the cost of most everything else is rising, keeping your housing payment stable is especially important.

The alternative to homeownership is renting – and rents tend to move alongside inflation. That means as inflation goes up, your monthly rent payments tend to go up, too (see graph below):

A fixed-rate mortgage allows you to protect yourself from future rent hikes. With inflation still high, when your rental agreement comes up for renewal, your property manager may decide to increase your payments to offset the impact of inflation. Maybe that’s why, according to a recent survey, 73% of property managers plan to raise rents over the next two years.

 Having your largest monthly expense remain stable in a time of economic uncertainty is a major perk of homeownership. If you continue to rent, you don’t have that same benefit and aren’t as protected from rising costs.

Bottom Line

A stable housing payment is especially important in times of high inflation. Connect with a real estate agent so you can learn more and start your journey to homeownership today.
“For more real estate advice and industry trends, do not forget to check Residence HQ regularly.“

The post Owning a Home Helps Protect Against Inflation appeared first on Residence HQ.

Looking back at every April since 2017, the only year fewer sellers listed their homes was in April 2020, when the pandemic hit and stalled the housing market (shown in red in the graph below). In more typical years, roughly 500,000 sellers add their homes to the market in April. This year, we saw fewer than 400,000 sellers entering the market in April (see graph below):

While there are several factors contributing to this trend, one thing keeping inventory low right now is that some homeowners are reluctant to move when the mortgage rate they have on their current house is lower than the one they could get today on their next house. It’s called rate lock.

As a recent survey from Realtor.com explains, 56% of people planning to sell in the next 12 months say they’re waiting for rates to come down.

While this wait-and-see approach is right for some sellers, it also creates an opening for more eager sellers to jump in now.

If your current house truly doesn’t fit your needs and you’re ready to move, don’t miss this chance to stand out. When fewer sellers put their homes up for sale, buyers will have fewer options, so you set yourself up to get the most eyes on your house. That’s why your house could see multiple offers as buyers compete over the limited supply of homes for sale – especially if you price it right.

As Lawrence Yun, Chief Economist at the National Association of Realtors (NAR), says:

“Inventory levels are still at historic lows . . . Consequently, multiple offers are returning on a good number of properties.”

When and How to Sell Your House?

Selling a house can be competitive, and timing plays a crucial role in attracting potential buyers and securing the best possible deal. The statement suggests that by being proactive and putting your house on the market before the competition, you can gain an advantage and increase your chances of receiving multiple offers. To achieve this, partnering with a real estate professional is recommended to navigate the complexities of the selling process effectively.

Here are some key points to elaborate on:

• Beat the competition: When selling real estate, being ahead of the competition can be advantageous. Listing your house for sale before similar properties become available gives you a higher chance of attracting actively looking buyers. This early entry into the market can generate more interest, as potential buyers may perceive your property as a fresh opportunity.
• Standing out from the crowd: Listing your house ahead of others can make your property stand out. This can be accomplished by ensuring your house is in excellent condition, staging it attractively, and highlighting its unique features and selling points. A real estate professional can provide valuable insights and advice on effectively showcasing your home’s strengths.
• Generating multiple offers: When multiple buyers are interested in a property, it can lead to a competitive bidding situation. This scenario often benefits sellers by driving up the price and increasing the likelihood of securing a favorable offer. By listing your house early, you increase the chances of attracting multiple offers because potential buyers may feel a sense of urgency to make an offer before other desirable properties hit the market.
• Partnering with a real estate professional: Working with a real estate professional who understands the local market can be instrumental in achieving your goals. They have experience in pricing your property appropriately, marketing it effectively, and negotiating with potential buyers. A skilled real estate agent can advise you on the best timing for listing your house, considering market conditions and buyer demand.
• Maximizing exposure: Real estate professionals have access to various marketing tools and networks that can give your house greater exposure. They can create high-quality listings, promote your property through multiple channels (such as online platforms, social media, and their professional network), and schedule open houses or private showings. These efforts can attract a larger pool of potential buyers and increase the likelihood of receiving competitive offers.

It’s important to note that while listing your house before the competition can be advantageous, it’s also essential to ensure your property is market-ready. Take the time to address any necessary repairs, declutter and stage your home, and consider any improvements that could enhance its appeal. Your real estate professional can assist you in preparing your house to make a strong first impression on potential buyers. Overall, by being proactive, partnering with a real estate professional, and strategically timing your listing, you can position your house to stand out in a competitive market and potentially receive multiple offers, ultimately increasing your chances of a successful sale.

The post The Best Time to sell your House is when Others aren’t Selling appeared first on Residence HQ.

Set aside a few weekends to complete the work and follow these three procedures. Then, prepare ready to make an excellent first impression on potential customers and seal the transaction.

Step 1: Clean and declutter

Cleaning and decluttering may seem obvious, but their importance cannot be emphasized. Here are some suggestions to make the process as painless as possible.

Remove clutter before cleaning: Now is the time to get rid of any undesirable or unnecessary stuff in your home. Collect stuff to donate to charity or local “buy nothing” groups. Your local recycling company or municipality may be willing to pick up and carry away heavy metal items for free, or may have drop-off locations where such items can be disposed of.

Deep-clean your home: This is likely to be the most time-consuming procedure. If possible, incorporate the entire family! Consider this a boosted spring cleaning. Pay special attention to kitchens and bathrooms, and clean both the inside and outside of your windows – this will make a significant difference in the overall aesthetic of your home.

Organize closets, cabinets, and drawers: Out of sight, out of mind in this scenario. Many prospective buyers will want to inspect the interiors of cupboards and closets to determine the amount of storage space available, and these are frequently the most untidy locations in your home.

Step 2: Make small repairs

Take care of these issues before taking listing photos or preparing for showings, whether in-person or via video tours. These are all fixes that you may perform on your own.

Repair any dripping faucets and running toilets.

Caulking around tubs, showers, and sinks should be replaced.

As needed, clean or repair the grout.

Repair and repaint your walls in a neutral, aesthetically acceptable color that complements your property.

Repair any cracked or broken windows.

Window screens that are damaged should be replaced or repaired.

Lightbulbs that have burned out should be replaced.

Step 3: Go for curb appeal

You want potential buyers to be captivated by the front of your home so that they look forward to visiting the interior. Extend your spring cleaning enthusiasm to the outdoors of your home.

Cut back plants, shrubs, and trees. Check that no vegetation is touching your roof or siding.

Repair any damaged downspouts or gutters.

Apply new mulch, river rock, and/or pea gravel if suited for your yard. This may transform your landscaping and create instant curb appeal.

Concrete areas such as driveways and walkways should be cleaned and repaired. Remove any oil or grease stains, and remove any weeds that have grown through the cracks.

Put out some pots of annuals that will keep their color throughout the season if it’s acceptable.  Freshen up your doorstep with a new welcome mat and make sure the house numbers are easy to see.

With just a moderate amount of effort, you can make your house beautiful and welcoming, both inside and out.

The post 3 Must-Do’s Before Listing Your House for Sale appeared first on Residence HQ.

“. . . the big question is whether we are finally starting to see the seasonal spring increase in inventory. The answer is no, because active listings fell to a new low last week for 2023 . . .”

The National Association of Realtors (NAR) confirms today’s housing inventory is low by looking at the months’ supply of homes on the market. In a balanced market, about a six-month supply is needed. Anything lower is a sellers’ market. And today, the number is much lower:

“Total housing inventory registered at the end of February was 980,000 units, identical to January and up 15.3% from one year ago (850,000). Unsold inventory sits at a 2.6-month supply at the current sales pace, down 10.3% from January but up from 1.7 months in February 2022.”

Why Does Low Inventory Make It a Good Time To Sell?

The less inventory there is on the market when you sell, the less competition you’re likely to face from other sellers. That means your house will get more attention from the buyers looking for a home this spring home sales season surely. And since there are significantly more buyers in the market than there are homes for sale, you could even receive more than one offer on your house. Multiple offers are on the rise again (see graph below): 

If you get more than one offer on your house, it becomes a bidding war between buyers – and that means you have greater leverage to sell on your terms. But if you want to maximize the opportunity for a bidding war to spark, be sure to lean on your expert real estate advisor. While we’re still in a strong sellers’ market, it isn’t the frenzy we saw a couple of years ago, and today’s buyers are focused on the houses with the greatest appeal. Clare Trapasso, Executive News Editor at Realtor.com, explains:

“Well-priced, move-in ready homes with curb appeal in desirable areas are still receiving multiple offers and selling for over the asking price in many parts of the country. So, this spring, it’s especially important for sellers to make their homes as attractive as possible to appeal to as many buyers as possible.”

Bottom Line

If you’ve been waiting for the right time to sell your house, low inventory this spring sets you up with a big advantage. Reach out to a local real estate professional today to make sure your house is ready to sell. 

The post The Big Advantage if You Sell This Spring! appeared first on Residence HQ.

Home Inspection

Here’s the key difference between an inspection and an appraisal. Bankrate says:

“In short, while an appraisal helps you understand a home’s value, inspections help you understand a home’s condition.”

The home inspection is a way to determine the current state, safety, and condition of the home before you finalize the sale. If anything is questionable in the inspection process – like the age of the roof, the state of the HVAC system, or just about anything else – you as a buyer have the option to discuss and negotiate any potential issues or repairs with the seller before the transaction is final. Your real estate agent is a key expert to help you through this part of the process.

Home Appraisal

The National Association of Realtors (NAR) explains:

“A home purchase is typically the largest investment someone will make. Protect yourself by getting your investment appraised! An appraiser will observe the property, analyze the data, and report their findings to their client. For the typical home purchase transaction, the lender usually orders the appraisal to assist in the lender’s decision to provide funds for a mortgage.”

When you apply for a mortgage, an unbiased appraisal (which is required by the lender) is the best way to confirm the value of the home based on the sale price. Regardless of what you’re willing to pay for a house, if you’ll be using a mortgage to fund your purchase, the appraisal will help make sure the bank doesn’t loan you more than what the home is worth.

This is especially critical in today’s sellers’ market where low inventory is driving an increase in bidding wars, which can push home prices upward. When sellers are in a strong position like this, they tend to believe they can set whatever price they want for their house under the assumption that competing buyers will be willing to pay more.

However, the lender will only allow the buyer to borrow based on the value of the home. This is what helps keep home prices in check. If there’s ever any confusion or discrepancy between the appraisal and the sale price, your trusted real estate professional will help you navigate any additional negotiations in the buying process.

Bottom Line

The inspection and the appraisal are critical steps when buying a home, and you don’t need to manage them by yourself. Work with a real estate professional today so you have the expert guidance you need to navigate the entire homebuying process.

The post What’s the Difference between a Home Inspection and an Appraisal? appeared first on Residence HQ.

“Move-in-ready homes with curb appeal and in desirable areas—and that are priced to sell—are especially likely to move quickly this spring.”

In today’s market, how you price, your house will not only make a big difference to your bottom line but to how quickly your house will sell.

Why Pricing Your House Right Matters

Your asking price sends a message to potential buyers, especially today.

If it’s priced too low, you may leave money on the table or discourage buyers who may see a lower-than-expected price tag and wonder if that means something is wrong with the home.

If it’s priced too high, you run the risk of deterring buyers. When that happens, you may have to lower it to drive interest when your house sits on the market for a while. But be aware that a drop can be seen as a red flag by some buyers who will wonder what it means about the home.

To avoid either headache, price it right from the start. A real estate professional knows how to determine the ideal asking price. They balance the value of homes in your neighborhood, current market trends, buyer demand, the condition of your house, and more to find the right point. This helps lead to stronger offers and a greater likelihood your house will sell quickly.

The visual below helps summarize the impact your asking price can have:

Bottom Line

Homes priced at the current market value are selling faster, at a better price, and with less hassle right now. To make sure you price your house appropriately, maximize your sales potential, and minimize your hassle, reach out to a trusted real estate professional.

The post Want to Sell your house this spring? Price it right! appeared first on Residence HQ.

How Equity Has Grown in Recent Years 

Because of the imbalance between how many homes were for sale and the number of homebuyers in the market over the past few years, home prices appreciated substantially.

And while price appreciation has slowed this year, that doesn’t mean you’ve lost all the equity in your home. In fact, the latest Homeowner Insights report from CoreLogic finds the average homeowner’s equity has grown by $34,300 over the past year alone.

And if you’ve been in your home longer than that, chances are you have even more equity than you realize.

While that’s the national number, if you want to know what happened in your area, look at the map below from the Federal Housing Finance Agency (FHFA). It shows on average how much home prices have risen over the past five years, which has been a major driver behind growth.

Why This Is So Important Right Now 

While equity helps increase your overall net worth, it can also help you achieve other goals, like buying your next home. When you sell your current house, the equity you’ve built up comes back to you in the sale, and it may be just what you need to cover a large portion – if not all – of the down payment on your next home.

So, if you’ve been holding off on selling, it may be time to find out how much equity you have and how it can help fuel your next move.

Bottom Line

Homeownership is a long game, and if you’re planning to make a move, the equity you’ve gained over time can make a big impact. To find out just how much equity you have in your current home and how you can use it to fuel your next purchase, connect with a local real estate professional.

The post Equity Gains for Today’s Homeowners appeared first on Residence HQ.

Vessels, blooms, botanicals, throw pillows, spring mugs, light layers, candles, artwork, plants (real or faux), books, trays, baskets.

Places Spring Flower Sprigs in a Vase

Gather some flowers from your garden or divide a bouquet into smaller bud vases. You can also use dried florals, such as lavender. They last a long time, so you get a lot for your money!

Add lightweight throw blankets to the mix.

Use a lightweight throw blanket to update your decor! These mudcloth throw blankets are perfect for tossing over furniture to add texture, pattern, and color. They’re reversible, light, and soft, and they’re machine washable!

Doormat for Spring

As you enter your home, a new spring doormat can lift your spirits. You could even put a pretty patterned rug underneath.

Arrange Tulips in a Basket

Treat yourself to a grocery store bouquet, but instead of a vase, place it in a narrow basket! It adds an interesting texture.

 A Basic Spring Mantel

Decorate your mantel or shelf with simple spring accessories such as birds, flowers, and books!

Furniture Spring Cleaning

Vacuum or spot clean your upholstered furniture (as directed by the manufacturer). Wooden pieces should be dusted. Slipcovers can be washed or dry cleaned.

Design Your Coffee Table

Set out a book that inspires you (binding color, topic, or cover photo! ), arrange spring objects such as shells in a pretty bowl, or include any botanical element such as a plant or flowers. To corral items or create a firm surface on an ottoman, use a large rectangular or round basket.

Create a Teacup Garden

Plant violas in tea or coffee mugs with wide mouths! Water sparingly to keep them moist without becoming soggy. You can also use the flowers as a garnish for food!

 Replace Your Bedding

Say goodbye to your winter layers and drab colors and revitalize your bed! Also, wash all bedding, curtains, and vacuum rugs! Replace the bedding with new patterns, lighter, airier shams and blankets.

Spring Door Basket

Make a spring door basket out of branches or other botanicals. Hang the basket from a door hook or a ribbon tied to the door’s top.

The post Top Ten Spring Décor Tips: appeared first on Residence HQ.

A lot of the time, these reports are assuming things that aren’t realistic for the average household. For example, the methodology behind one of those reports says that renting is the smarter financial option because of the opportunity to invest money elsewhere. It assumes renters take the money they’d spend on costs tied to buying a home and put it in an investment portfolio.

But here’s the thing – most people who rent aren’t making those investments. Ken Johnson, Co-Author of the BH&J National Price-to-Rent Index, explains:

“One of the difficulties with the rent and reinvest model is many people . . . simply rent and spend the difference. . . . That’s wealth destroying.”

The reason homeownership is one of the best investments you can make is the wealth it helps you build. That’s why there’s a significant difference between the net worth of the average homeowner and the average renter (see graph below):

So, before you renew your rental agreement, think about the opportunity to build wealth that homeownership provides.

Bottom Line

If you find yourself torn between the decision to rent or buy a home, it can be helpful to seek the guidance of a real estate advisor. A good advisor will be able to provide you with the information and insights you need to make an informed decision. They will take the time to understand your unique circumstances and goals, and can help you evaluate the pros and cons of both renting and buying.

They can provide you with information on the local real estate market, including trends in prices and inventory, and can help you assess the affordability of different options. Additionally, they can help you navigate the home buying process, from finding the right property to negotiating the best price and closing the deal. Ultimately, working with a real estate advisor can help you feel confident in your decision and ensure that you make the best choice for your financial and personal situation.

The post Is it better to Rent than Own a Home Right Now? appeared first on Residence HQ.