Updates from February, 2012

    Print This Post Print This Post
  • Mayfair International February 2012 Newsletter

    12:30 pm on February 9, 2012 | Comments:0
    Tags: , , , ,   Filed under: Agent information, Buyer Info, Mayfair International, Seller Info

    Which Real Estate Agent Should You Fall For?

     With romance in the air this February Nick Churton of Mayfair International Realty takes a loving look at how we could fall head over heels with…a real estate agent.

     

    Spring is round the corner and love is in the air. Yet spare a thought for poor real estate agents. These, often undervalued, creatures are amongst the least likely to receive a lot of affection from their clients on Valentine’s Day – or any other day for that matter.

     

    But right at the moment, in this challenging economic climate, good brokers and agents are a bit like perfect sweethearts.  There are times in life when it is best to have someone by your side who really values you, who will fight for you, who won’t answer back – too much, who will only hang around your home when you want them to and has all your best interests at heart. Such a person may not make such a bad partner. 

     

    Of course there are good partners and bad partners.  Selling real estate well rests heavily on the partnership built up between seller and agent.  A good agent will lovingly put your home on a pedestal and then negotiate fiercely to achieve the best deal for you.  On the other hand, a lesser agent may just put your property on the internet with all the others and then haggle to find the easiest deal all round.

     

    There is a great difference between the two – often many thousands of dollars.  You could come to love the former but hate the latter.  The trick is finding the right one at the outset. It’s a bit like finding the best date.  They all may look roughly the same but in practice they each act very differently.

     

    So if you are searching for the type of broker or agent you could come to love this spring invite a few around to give you some marketing advice and see how you get on. Then ask yourself which you would prefer, the flashy one who brags a lot and is cheap or the one who you feel most comfortable with to act in the most decent way: the one you can come to depend on.

    Share
     
  • Print This Post Print This Post
  • Do Appraisers Use Distressed Properties as Comparables?

    5:14 pm on February 8, 2012 | Comments:0
    Tags: , , , , , , ,   Filed under: Agent information, Buyer Info, Consumer news and advice, Foreclosure, Home owner information, pricing, Property Appraisal, Seller Info, Short Sale, Short sales

     

    Many of our readers ask us if appraisers use distressed properties (short sales and foreclosures) as comparables when doing an appraisal on non-distressed properties. We have posted on this issue on several occasions (examples: here and here). Last month, the Appraisal Institute issued a paper on the subject. In the paper, the Institute explained that:

    “Foreclosures and short sales can provide important information for appraisers, who develop valuations based on market data and market forces.”

    On whether an appraiser should use distressed properties as comparables, the Institute was very direct (all items in bold were shown as bold in the original paper):

    “An appraiser should not ignore foreclosure sales and short sales if consideration of such sales is necessary to develop a credible value opinion.”
    And they explained the possible differences between short sales and foreclosures:

    “A short sale … might have involved atypical seller motivations and so might not be an ideal comp…

    A sale of a bank-owned property might have involved typical motivations, so the fact that it was a foreclosed property would not render it ineligible as a comp.”

    Bottom Line

    Some will argue that distressed properties should not be used when appraising non-distressed properties. However, there is no longer any doubt that they will be.

    http://www.kcmblog.com/2012/02/07/do-appraisers-use-distressed-properties-as-comparables/

    Share
     
  • Print This Post Print This Post
  • Michael Saunders & Company Web Stats and Market Leader YTD 2011

    4:48 pm on February 8, 2012 | Comments:0
    Tags: 2011, , , , , , ,   Filed under: Agent information, Buyer Info, Charlotte County, Consumer news and advice, Manatee, Michael Saunders & Company, Sarasota, Seller Info, Statistics, Web Stats - 2011

    Click on image below for printable format.

    Share
     
  • Print This Post Print This Post
  • Real Estate 2012: Many Positive Outlooks

    11:21 am on January 26, 2012 | Comments:0
    Tags: , , ,   Filed under: Agent information, Buyer Info, Consumer news and advice, Housing Market, Second Home Buyers, Seller Info, The Housing Market

    by The KCM Crew on January 24, 2012

    There is a growing belief among many experts that 2012 will be the year housing turns the corner and starts heading in a more positive direction. Whenever we write a post like this, we unleash the hordes of critics who say we are again wearing rose colored glasses or are puppets being controlled by the National Association of Realtors (NAR) and other industry groups.

    It is for that reason we will not be covering the projections of those groups. Instead, we want to share the beliefs of other organizations.

     

     

    Washington Post:

    “Housing Market and Economy Showing Encouraging Signs.”

    The Wall Street Journal:

    “From Bottom Up, Signs of Housing Recovery”

    USA Today:

    “Housing Outlook is More Upbeat”

    CoreLogic:

    “CoreLogic’s chief economist Mark Fleming says housing statistics and the duration of the downturn to date indicate 2012 may be the year the housing market begins to turn the corner.”

    Freddie Mac:

    With the New Year comes a sense of cautious optimism. There are some positive signs in the job market and consumer confidence; housing is starting to raise hopes for continued gradual economic recovery.”

    Fannie Mae:

    “The housing sector will likely take incremental steps forward in 2012 …according to economists at Fannie Mae.”

    http://www.kcmblog.com/2012/01/24/real-estate-2012-many-positive-outlooks/

    Share
     
  • Print This Post Print This Post
  • Where Are House Prices Headed in 2012?

    9:15 am on January 19, 2012 | Comments:0
    Tags: , , , , , , , , ,   Filed under: Agent information, Buyer Info, Consumer news and advice, Housing Market, investment, Median Sales Price, pricing, Second Home Buyers, Seller Info, Supply and Demand, The Housing Market

    by The KCM Crew on January 18, 2012

    There is no shortage of opinions as to where home prices are headed in 2012. From Clear Capital’s expectation that prices will show a ‘slight uptick’ this year to Fitch’s projection that prices ‘will fall another 13 percent’, there seems to be no consensus as to where real estate values are headed. How can there be such a disparity of opinion among industry experts? Prices are determined by the relationship between supply and demand and there are many unanswered questions regarding both of these components.

    Questions about Demand

    Will this be the year that the 5.9 million adults between the ages of 25 and 34 that are still living with their parents decide to purchase a home of their own?

    With mortgage payments lower than rent payments in the majority of the country, will first time buyers finally decide it makes more financial sense to buy rather than rent?

    Will the baby boomers take advantage of the great deals available and start purchasing vacation and retirement homes?

    Will investors continue to purchase large quantities of distressed properties?

    Will hedge funds negotiate a deal with the banks for bulk purchases of foreclosures?

    Questions about Supply

    Will 2012 be the year that builders again increase inventories of newly constructed homes?

    Will baby boomers put their primary residences up for sale and relocate to their retirement destinations?

    Will 2012 be the year that the shadow inventory of foreclosures finally makes its way to market?

    If prices depreciate, it will force more homes into a negative equity situation. Will this create another surge in short sales and foreclosures?

    Will the government put together a plan to convert large numbers of foreclosures into rental properties?

    Bottom Line

    With so many unanswered questions regarding both the demand for housing and supply of properties, it is very difficult to determine where prices will be at the end of the year. We suggest you contact a local real estate professional to help you determine where values are headed in your area.

    Share
     
  • Print This Post Print This Post
  • 2012 Is the Year of the Political Economy

    8:58 am on January 19, 2012 | Comments:0
    Tags: , , , , , , international economy, recession, ,   Filed under: Agent information, Buyer Info, Consumer news and advice, economy, Federal Goverment, Interest Rates, mortgage, Seller Info, Stock Market, The Economy, The Housing Market

    Fiscal policy issues and political economic uncertainty will take center stage in determining the degree of consumer and business activity—key drivers of economic growth—during 2012, according to Fannie Mae’s (FNMA/OTC) Economics & Mortgage Market Analysis Group. The forthcoming presidential election, potential expiration of tax provisions for businesses and households, and the ongoing healthcare debate are among the uncertainties expected to keep the economy moving at a moderate pace with growth of 2.3 percent expected for the year. Moreover, contagion effects from the sovereign debt crisis in the euro zone, which appears to be slipping into recession, are expected to remain as a primary risk to growth in 2012.

    (More …)

    Share
     
  • Print This Post Print This Post
  • 5 Real Estate Trends to Look For in 2012

    2:10 pm on January 5, 2012 | Comments:0
    Tags: , , outlook 2012, prediction,   Filed under: Agent advice, Agent information, Buyer Info, Seller Info

    by The KCM Crew on January 3, 2012

    Predicting trends during the most volatile housing market in American real estate history is no easy task. We strongly believe these are the five real estate items we should keep an eye on in 2012:

    1. Buyers Will Return

    In 2011, a lack of consumer confidence in the overall economy dramatically impacted the housing market. Buyers were afraid to make a purchasing decision on any big ticket item. By the end of 2011, consumer confidence began to return and sales increased. Economic conditions will continue to improve throughout 2012 and consumer sentiment will solidify. Once that happens, home buyers will realize that now is the time to buy.

     

    2. Foreclosures Will Increase

    The ‘shadow inventory’ of foreclosures which has been growing since the robo-signing challenges of late 2010 will finally be introduced to the market. Distressed properties sell at discounted prices. They will impact the housing values of the non-distressed homes in the area.

    3. Prices Will Soften

    As more and more foreclosures come to market, there will be greater downward pressure on the values of houses in the region. Foreclosures impact values of non-distressed properties in two ways:

    • They will eat up some of the buyer demand in the market.
    • They will impact the appraisal on ALL transactions in the area.

    An increase in foreclosures will have a negative impact on values. This will cause more homes to be underwater.

    4. Short Sales Will Increase

    As mentioned above, we strongly believe that home prices will soften through at least the first half of 2012. Falling prices will force more homeowners into a position of negative equity. Negative equity is one of the triggers that cause people to strategically default on their mortgage obligations. If this happens, there could be an increase in the number of foreclosures. However, we predict that banks will take preventative measures which will help many of these homes avoid foreclosure by easing the requirements in the short sale process for both homeowners and real estate professionals.

    5. Great Agents Will Be VERY Successful

    Real Estate professionals who have invested the money, time and energy to truly understand what is happening and why it is happening will separate themselves from their competition and do very well this year.

    Those who take that next step of learning how to simply and effectively communicate the market to their clients will be seen as industry leaders. These experts will dominate their markets.

    This blog will help you with the what and the why. If you are looking for help with how to communicate this information to clients and customers, go here.

    Share
     
  • Print This Post Print This Post
  • Florida Sales Report for November 2011 for Single Family Existing Homes

    2:00 pm on December 22, 2011 | Comments:0
    Tags: , , , , , , , ,   Filed under: Agent information, Buyer Info, Charlotte County, Consumer news and advice, Florida Association of Realtors, Lee County, Manatee, Median Sales Price, Sarasota, Seller Info, Statistics, The Housing Market

    Click on image below for printable format

    Share
     
  • Print This Post Print This Post
  • Three Economic Factors Every Agent Should Track

    2:42 pm on December 15, 2011 | Comments:0
    Tags: , , ,   Filed under: Agent advice, Agent information, Best Practices, economy, The Economy, The Housing Market

    December 9, 2011

    Most agents are well versed in the local information and news that affect their neighborhoods. But, the national stats and over-simplified headlines make it hard to keep up with what’s really happening in the big picture.

    Here are a few key indicators and some expert advice on what they mean for today’s markets from Trulia’s Chief Economist Jed Kolko.

    Unemployment among 25-34 year-olds & future housing demand

    Many life changes happen for young adults between the ages 25 and 34 that affect housing. From developing careers to making decisions about marriage and households, Jed Kolko, Trulia’s Chief Economist says, “A key measure for housing demand and homeownership is the unemployment rate for this group and the share of this age group that is employed.“

     In a recent post on Trulia’s Insights Blog, Kolko offered a great example of how Unemployment for this age group has affected home sales:

     “During and after the recession, household formation dropped for this age group, and more of them than ever are living with parents or other adults rather than renting or owning their own place. These folks will wait to form their own households and consider homeownership only when their job prospects improve.”

    Local construction activity & spending

    You don’t have to be an economist to understand the impact of shifts in housing supply and demand. The more supply of a certain item exists, then each individual item is less valuable to buyers.  For example, if there is only one Nintendo Wii left on the shelves, people would be willing to pay more to have it versus if there were hundreds available.  That’s why Kolko says it’s important to watch your local construction trends:

    “New construction activity is a good cue to what’s going to happen in your local market: more new construction today will mean more inventory for buyers or renters — and more competition among sellers or landlords — in the near future.”

    Those effects clearly relate to prices, but construction starts don’t just mean increased inventory but they also have a spending effect. Kolko says, “New construction puts more money in the hands of workers – and their incomes will kick-start spending that will boost demand for housing.”

    Vacancy rates and price changes

    Most agents know, vacancy rates mean housing supply. Smart agents know these vacancies affect home prices. But, by how much?

    Kolko says, “The effect of vacancies on nearby home prices is strong: one academic study estimates that a vacant home can lower the price of nearby homes within 500 feet by as little as 0.7% and as much as 10% — depending on whether the vacant home is a foreclosure or just neglected.”

    When you see the housing statistics, whether national or local, remember that the story and the effects are often deeper than simple numbers. To get updates on the latest housing statistics and explanations you can understand, check out more from Jed Kolko on Trulia’s Insights Blog.

    About the author

    Share
     
  • Print This Post Print This Post
  • Michael Saunders & Company 2012 Calendars are now available!

    4:32 pm on December 7, 2011 | Comments:0
    Tags: , Calendar Mailer Xpressdocs,   Filed under: Agent information, Calendar

    The 2012 calendars are now available on Xpressdocs.  There are six different templates and two sizes of postcards, 8.5 x 5.5 and 11 x 5.5.

    Log onto Xpressdocs through the MSC Intranet Site for further information.

    Share
     
c
compose new post
j
next post/next comment
k
previous post/previous comment
r
reply
e
edit
o
show/hide comments
t
go to top
esc
cancel