The sale of S506 serves as another testament that selling with a plan in place is the best way too close for the most money within the specific markets current days on market.
It took just over a month from my first meeting with the owner, to customize a plan detailing how to make the unit market ready, complete the pre-listing items identified, list the property on the MLS, hold an Open House and ratify an offer. Success takes a team effort and effective, constant communications. My clients did an awesome job. Congratulations!
Congratulations Kevin and Danielle! Happy Anniversary to my clients who closed on this day March 4th, 2016 in Springfield, VA.
Located in the Glenwood Manor development, the couple purchased a 1700 sqft., 3 bedroom, 2.5 bath townhome for $379,000. 5 years later, for similar properties (any three bedrooms sold in the last 365 days), the median Close Price was $478,500 and the median Days On Market was 5.
The decision to purchase instead of renting positioned them nicely to build equity that they now can utilize for their next move.
If you have been debating owning versus renting, understanding the market and how either decision could effect you in 3-5 years is worth discussing.
This information is not meant to be used as an appraisal. This is a snapshot of the Glenwood Manor development listings sold in the last 365 days as of March 4, 2021.
Leading economists say the labor, housing, and stock markets will reach crucial markers that will indicate the recovery’s progress. From NAR’s virtual Real Estate Forecast Summit, Dec. 10
The housing market has been a bright spot this year, though inventory is a challenge. The problem, Berson says, isn’t just homebuilding and permitting but also getting prospective sellers to put their homes on the market. “Hopefully, people will feel good about strangers coming into their home once there’s a vaccine,” he said. – Realtor Magazine
What a beautiful day yesterday was to have a OPEN HOUSE. First in person Open I’ve held in months and buyers are out in droves. In our current market where listings and under contract in less than a week and inventory is under a month, buyers are committed to start building equity through ownership. –3611 Perry Ave, Kensington MD 20895 *Contact me for local market area data and trends – Laurel
Homeowners who spent a lifetime working, raising families and paying mortgages have a greater net worth later in life. Among U.S. families who own rather than rent, a primary residence accounts for 90% of total wealth – and 99% for the bottom 20% of low-income owners.
WASHINGTON – Homeownership presents a great pathway to build wealth. Among all families, the ownership of a primary residence typically accounts for 90% of total wealth, based on the 2019 Survey of Consumer Finance data. Among those in the bottom 20% of the income percentile, it’s even more: The median value of holdings for a primary residence accounts for 99% of total family assets. For top earners, however – the top 10% income bracket – it’s 42%.
Housing wealth accumulation takes time. It’s built up slowly by paying off mortgage debt and through price appreciation. And while home prices can fall, prices tend to recover and go up over the long term. As of September 2020, the median sales price of existing home sales was $311,800 – a 35% gain since July 2006 when prices peaked at $230,000.
Nationally, a person who purchased a typical home 30 years ago gained about $283,000 as of the second quarter of 2020. Of the total wealth gain, 67% ($192,600) is from the price appreciation of 3.7% annually. Over a 10-year period, the wealth accumulation is $144,490, of which $114,233 (80%) is from price appreciation.
Nine of the top 10 metro areas with the largest housing wealth gains over a 10-year period were on the West Coast: San Jose-Sunnyvale-Sta. Clara; San Francisco-Oakland-Hayward; Anaheim-Sta. Ana-Irvine; San Diego-Carlsbad; Los-Angeles-Long Beach-Glendale; Seattle-Tacoma-Bellevue; Boulder, Colorado; Urban Honolulu, Hawaii; and Denver-Aurora Lakewood, Colorado. Naples-Immokalee-Marco Island rounds out the 10th.
However, in terms of home price appreciation and the rate of return (price appreciation less mortgage rate), the top metro areas are Cape Coral Fort-Myers, Florida; Grand Rapids, Michigan; Boise-City-Nampa, Idaho; Reno, Nevada; Port-St. Lucie, Florida; Las Vegas-Henderson-Paradise, Nevada; San Jose-Sunnyvale-Sta. Clara; Riverside-San Bernardino, California; Phoenix-Mesa-Scottsdale, Arizona; and Lakeland-Winter-Haven, Florida.
Existing-home sales grew for the fourth consecutive month in September to a seasonally-adjusted annual rate of 6.54 million – up 9.4% from the prior month and nearly 21% from one year ago.
The median existing-home price was $311,800, almost 15% more than in September 2019. Total housing inventory declined from the prior month and one year ago to 1.47 million, enough to last 2.7 months – a record low – at the current sales pace.
More than 7 in 10 homes sold in September 2020 – 71% – were on the market for less than a month.
Existing-home sales in the South increased 8.5% to an annual rate of 2.80 million in September, up 22.3% from the same time one year ago. The median price in the South was $266,900, a 13.0% increase from a year ago.
TheNational Association of Realtors® is America’s largest trade association, representing more than 1.4 million members involved in all aspects of the residential and commercial real estate industries.
August Housing Data Reveals a Robust Summer Market Amidst Declines in Inventory
Median Sale Price is up 9.7%
Average Sale Price up 11.2%
Months of Inventory down 60% to 1.4 months
Median days on market are down from 22 to 9
Seven of Maryland’s rural counties have seen over 20 percent increases in average prices over last year.
ANNAPOLIS, MD – September 28, 2020 Maryland’s August housing market demonstrated substantial recovery from spring’s COVID-related disruptions, according to housing statistics released by Maryland REALTORS®*. Data from June through August show both an increase in average and median home prices, and a decline in months of available inventory, echoing nationwide trends and sparking concern over housing imbalances.
“The average sales price increased year-over-year from $361,823 to $402,452 and the median price increased from $310,000 to $340,000, growth of 11.2 percent and 9.7 percent, respectively” said Maryland REALTORS® President John A. Harrison. “Months of inventory dropped 60 percent to just 1.4 months, compared to 3.5 last year, which is a historic low for the state. Moreover, the median days on market fell from 22 to 9 which aligns with stories we’ve heard of bidding wars and homes selling within hours of hitting the market.”
“The most notable, but unsurprising, feature of the current housing market is the sharp rise in activity in rural areas,” said Harrison. Seven of Maryland’s rural counties have seen over 20 percent increases in average prices over last year. With the rise in working from home, commute times are less of a factor. That and the relative affordability of rural areas make urban and some suburban communities less attractive. “The pandemic has prompted individuals and families to reimagine their housing requirements, often desiring home office space and more expansive outdoor living areas.”
The year 2020 will certainly be one to remember, with new realities and norms that changed the way we live. This year’s real estate market is certainly no exception to that shift, with historic highlights continuing to break records and challenge what many thought possible in the housing market. Here’s a look at four key areas that are fundamentally defining the market this year.
Housing Market Recovery
The economy was intentionally put on pause this spring in response to the COVID-19 health crisis. Many aspects of the common real estate transaction were placed on hold at the same time. Thankfully, technology and innovation helped the industry power forward, and business gradually ramped back up as shelter-in-place orders were lifted.
The result? Total transformation of the market from rock-bottom lows to exceptional highs. Today, the housing recovery is being called truly remarkable by many experts and is far exceeding expectations. From pending home sales to purchase applications, buyers are back in business and homes are selling – fast.
According to the Housing Market Recovery Index by realtor.com, the market has surpassed pre-pandemic levels, and has regained the strength we remember from February of this year (See graph below):
Record-Breaking Mortgage Rates
Historically low mortgage rates are another 2020 game-changer. Today’s low rate is one of the big motivating factors bringing buyers back into the market. The average rate reached an all-time low on multiple occasions this year, and it continues to hover in record-low territory.
When rates are this low, buyers have a huge opportunity to get more for their money when purchasing a home, something many are eager to find while continuing to spend more time than expected at home this year, and likely beyond.
Continued Home Price Appreciation
One of the key drivers of home price appreciation this year is historically low inventory. Inventory was low going into the pandemic, and it is still sitting well below the level needed for a normal market. Although sellers are slowly making their way back into the game, buyers are scooping up homes faster than they’re coming up for sale.
This is a classic supply and demand scenario, forcing home prices to rise. Selling something when there is a higher demand for what is available naturally bumps up the price. If you’re ready to sell your house today, this may be the optimal time to make your move. As Bill Banfield, EVP of Capital Markets at Quicken Loans, notes:
“The pandemic has not stopped the consistent home price growth we have witnessed in recent years.”
Even as home prices continue to rise, affordability is working in favor of today’s homebuyers. According to many experts, rates this low are off-setting rising home prices, which increases buyer purchasing power – an opportunity not to be missed, especially if your family’s needs have changed. If you now need space for a home office, gym, virtual classroom, and more, it may be time to reconsider your current house.
“Those shopping for a home can afford 10 percent more home than they could have one year ago while keeping their monthly payment unchanged. This translates into nearly $32,000 more buying power.”
With mortgage rates hitting historic lows, home prices appreciating, affordability rising, and the market recovering like no other, 2020 has been quite a year for real estate – perhaps one we’ve never seen before and may never see again. Let’s connect today if you’re ready to take advantage of this year’s record-breaking opportunities.