Real Estate Persists Being About People And The RElationships Built.

Four years ago Jacob and Amanda relocated to the DMV area for a work opportunity with every intention of going back to their home state of Michigan. Despite not knowing their timeline as to when they could go home, they knew it was better to buy versus rent. To be a a small part in their larger plan, a facilitator to the purchase of their home and now selling it, has been rewarding. Their hard work and careful planning is paying off. They are on their way home. With only three day on the market, they received an offer over list price and stand to walk away with a return on their investment.

Under Contract: 20432 Summersong Lane Germantown, MD 20874
​Link to listing | Virtual Tour Link
Bedrooms: ​2​ | Full Bath: ​3.5​ | Sq. Feet: ​1594


Pending Home Sales Notch Record-Setting 44.3% Monthly Increase in May

A Historic Rebound for the Housing Market

A Historic Rebound for the Housing Market | MyKCM

Pending Home Sales increased by 44.3% in May, registering the highest month-over-month gain in the index since the National Association of Realtors (NAR) started tracking this metric in January 2001. So, what exactly are pending home sales, and why is this rebound so important?

According to NAR, the Pending Home Sales Index (PHS) is:

“A leading indicator of housing activity, measures housing contract activity, and is based on signed real estate contracts for existing single-family homes, condos, and co-ops. Because a home goes under contract a month or two before it is sold, the Pending Home Sales Index generally leads Existing-Home Sales by a month or two.”

In real estate, pending home sales is a key indicator in determining the strength of the housing market. As mentioned before, it measures how many existing homes went into contract in a specific month. When a buyer goes through the steps to purchase a home, the final one is the closing. On average, that happens about two months after the contract is signed, depending on how fast or slow the process takes in each state.

Why is this rebound important?

A Historic Rebound for the Housing Market | MyKCM

With the COVID-19 pandemic and a shutdown of the economy, we saw a steep two-month decline in the number of houses that went into contract. In May, however, that number increased dramatically (See graph below):This jump means buyers are back in the market and purchasing homes right now. Lawrence Yun, Chief Economist at NAR mentioned:

“This has been a spectacular recovery for contract signings and goes to show the resiliency of American consumers and their evergreen desire for homeownership…This bounce back also speaks to how the housing sector could lead the way for a broader economic recovery.”

But in order to continue with this trend, we need more houses for sale on the market. Yun continues to say:

“More listings are continuously appearing as the economy reopens, helping with inventory choices…Still, more home construction is needed to counter the persistent underproduction of homes over the past decade.”

A Historic Rebound for the Housing Market | MyKCM

As we move through the year, we’ll see an increase in the number of houses being built. This will help combat a small portion of the inventory deficit. The lack of overall inventory, however, is still a challenge, and it is creating an opportunity for homeowners who are ready to sell. As the graph below shows, during the last 12 months, the supply of homes for sale has been decreasing year-over-year and is not keeping up with the demand from homebuyers.

Bottom Line

If you decided not to sell this spring due to the health crisis, maybe it’s time to jump back into the market while buyers are actively looking for homes. Let’s connect today to determine your best move forward.


DC Metro Area Real Estate Trends | 2020 Summer

Have you noticed that as soon as a property goes on the market, it seems that within days they’re under contract? All indicators point to a strong summer real estate market.

  • New pending sales up 25.5% ( Zillow June Report)
  • New listings taken up 19.3% month -over -month ( Zillow June Report)
  • Demand for housing is out pacing supply = competitive market for buyers, excellent time to be a seller ( DC Metro area months supply is 1.4)
  • Our area is above average when it comes to exposure to low risk jobs by market. Meaning, there are more DC metro area residents who remain working in sectors including federal, state and local government, information technology, military and utilities.


#LMRE Most Current Under Contract or Sold Properties

Under Contract in 6 days
3601 38th Street NW #202
Washington, DC 20016
Under Contract in 2 days
Closed in 21 days

13305 Burnt Woods Place
Germantown, MD 20874
Didn’t make it one day on the market.
Shown once.
8101 Connecticut Ave C505
Chevy Chase, MD 20815

A Look At Selling Real Estate During Covid-19

Laurel Murphy Real Estates most recent listing reflects what regional market updates are reporting. With low inventory levels, my owners had no competition within their neighborhood at the time of listing their home located as 13305 Burnt Woods Place Germantown, MD 20874
With the neighborhood average 38 DOM the owners priced the house with in the range of the 90 day sold price history. This listing went on late Friday night and was ratified for full list price by Sunday. Being aware of local real estate trends and knowing how to interpret market data is vital to successfully selling your house in the shortest amount of time for the most amount of money.

Washington D.C. and Baltimore Metro areas felt the effect of COVID-19 with the lowest April volume of new listings in ten years, while also reaching a record monthly median sales price and ten-year low for days on market.BrightMLS

  • The DC Metro hit a new median sales price high ($507K) and a decade low for median days on market (7). Homes generally sold at 100.0% of asking price.
  • This April had the month’s lowest volume of new listings in the past ten years, as many potential new sellers opted to hold back listing their properties until after the “stay at home” orders end.
  • Month-to-month, new listing declined -26.1%; typically, new listings rise 9.2% in April compared to March.
  • New pending sales endured their sharpest year-over-year drop in a decade.
  • This was the weakest April performance and sharpest March to April decline (-24.4%) in the last ten years.

Real Estate Is A People Business: Now More Than Ever

At its core, real estate is about people and the relationships that are created.

Real estate professionals take on the unique responsibility of guiding clients through a highly personal, and often emotional, multi-step process of selling or buying a home. It is a momentous occasion for everyone who’s gone through it. This can easily be overshadowed by the sheer amount of steps it takes to get to the settlement table and close. The constant support throughout the process is your real estate agent.

In this unique reality of Corona virus aka COVID-19, the importance of keeping the focus on people being served will have a greater, longer, lasting effect.

In our professional tool box, real estate agents have technology. We rely on and utilize it on a normal day to make the transaction part of real estate more efficient and convenient for our clients. This current climate is no different. The way in which we use it may vary but the focus remains on the people, first and foremost your safety.

Current industry standards comply with today’s social distancing necessity.

  • The Internet – its global reach to market RE for sellers to buyers
  • Social Media – for marketing and communication ie.GoToMeeting, Zoom, Instant messaging
  • Your phone – text, email, old school calling
  • Virtual tours – ie. Matterport, use of a videographer
  • Electronic signing – ie. DocuSign, Dotloop
  • Real estate apps – 24/7 home searching ie. Homesnap, Redfin, Zillow,
  • Online lender applications
  • Close at home with mobile notary
  • E-signing closing documents (available for sellers and cash buyers)
  • Wiring funds and EMD’s ( wiring instructions should be obtained over the phone directly from the title company only)
  • Online scheduling – options for appointment only at the owners discretion

    Title companies, lenders and insurance companies are listed as essential and are open for business. Together with real estate brokerages, each sector is doing everything they can to cooperate and comply with the safety measures while meeting clients needs.


For Those Sellers and Buyers On The Fence

Inman News Latest Market & Economy Report

Homesnap found that American homeowners will spend an average of 25.1% of their monthly income on their housing while renters will spend 37.9%

Despite high home prices, putting off a purchase to wait for a better deal may not be the best idea after all. Long-term, owning is more affordable than renting almost anywhere in the country, according to a new report released by home search platform Homesnap.

Looking at factors like the average monthly wages, monthly rents, monthly rental insurance payments and median home values, Homesnap has found that owning is more affordable than renting in 94.39 percent of cities in the United States.

*Real estate industry professionals from around the world turn to Inman first for accurate, innovative and timely information about the business. Known for its award-winning journalism, cutting-edge technology coverage, in-depth educational opportunities, and forward-thinking events, Inman is the industry’s leading source of real estate information.


FAQ: Is It A Good Time To Sell My House?

The current real estate environment poses a great opportunity for sellers and buyers. Timing couldn’t be better for both.

  • Demand for housing is high
  • Supply/Inventory is low, below what experts consider balanced
  • Interest rates are historically low

In this market sellers earn top value for their home and buyers experience greater buying power and increased affordability.

Interest Rates Over Time [INFOGRAPHIC] | MyKCM

Some Highlights:

  • The Mid Atlantic Region to include DC, VA, MD, parts of WV, PA and DE housing Months of Supply is 2, well below the 4 to 6 months which is generally considered a balanced market.
  • The impact your interest rate has on your monthly mortgage payment is significant. An increase of just $20 dollars in your monthly payment can add up to $240 per year or $7,200 over the life of your loan. Maybe it’s time to lock in now while rates are still low.
  • How can you take advantage of this market? Don’t wait and see, connect with a RE professional and make a plan.

SOLD: Why Working With An Experienced Listing Agent Is So Important.

There’s only so much sellers can control, the key is adjusting to the things they can’t. An agent’s true value is helping a seller navigate one to minimize the other. So what happened with Vaughn Landing? It closed 7 months and 3 contracts later. A three year old townhouse with one past owner in Germantown, MD, conveniently located, minutes from MARC station, highways and shopping.

The seller had gone through all the listing steps to prepare the townhouse for market. They priced it well, given its meticulous condition, market trends at the time and comparable units.

  • The first contract was ratified in 12 days after initially listing it. The buyer decided he wanted to live somewhere else (that is what I was told) and he walked on the home inspection.
  • The second contract, despite having a gainfully employed buyer, a lender letter saying income had been verified and finances run through the mortgage lenders DU (document underwriter) system, the buyer was denied financing due to insufficient funds.

Nothing the seller had done or not done landed him in this situation. What is the best strategy in this scenario?

  • Accept that there are several moving parts to a real estate transaction and no one controls the entire process.
  • Circle around to the very first consideration of step # 3 of the sales process keeping in mind the time already on the market.
  • Work with the information/feedback your agent has collected to decide what adjustments, if any need to be made and when to put it back on the market.
  • Remember time is of the essence.

Sellers, It Doesn’t Have to Feel Like You’re Venturing Into The Unknown

Like Frozen II’s theme song “Into The Unknown”, the process of selling your home can feel like it’s shrouded in fog and even considering selling can be overwhelming. It’s been non-stop singing in my household since seeing it. (don’t worry, no spoilers here) But seriously, if you’re considering selling your home follow Elsa and Anna’s example and don’t go it alone. You don’t need to. Hiring a real estate professional who has a finger on the pulse of the market will make your selling experience a positive and educated one.

Let Laurel Murphy Real Estate guide you through the home selling process. Things to Consider When Selling Your House. Download a Sellers Guide

Contact me for an in depth consultation.