Friday, August 29, 2014

You Can Make a Better Site Than Your Brokerage Can

REAL ESTATE TIPS

You Can Make a Better Site Than Your Brokerage Can

The run-of-the-mill agent sites that brokerages provide don’t always let agents shine. Sonny Cox broke from the mold and created his own site to stand out.
Most brokerages can set new agents up with a company-branded website complete with a bio, head shot, and contact information. What it won’t provide is any personality.
Take a look at the agent profile pages of any major real estate company. You’ll notice that many look and sound the same, with varying degrees of personal information for each agent. If you were a consumer looking for the right agent, how on earth would you choose one? What would make any one of them stand out?
That’s exactly what was on Sonny Cox’s mind when he decided to supplement his agent profile page with Tarbell, REALTORS®, with his own flashier website. Cox is based in the Corona, Calif., office of Tarbell, California’s largest family-owned real estate company with hundreds of agents spread across offices throughout the southern half of the state.
So Cox decided to create his own website to stand out from other agents in his company — and at a much lower cost at that. He bought a domain through GoDaddy.com and used its website builder to create his site. The cost: $13 a year.Cox says the vast majority of Tarbell agents use the same company-branded website, which can make it difficult for one agent to stand out over another because their websites look so similar. The company recommends its agents to third-party website hosting companies, which charge $30 a month or higher for site maintenance of Tarbell-branded sites. While he says he loves working for Tarbell and appreciates the tools the company offers its agents, he thought he would get a better return on his investment if he attempted to have more of an individual presence on the Web.
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GoDaddy’s website builder has several website templates to choose from, and its easy-to-use applications allow users to pick font styles and color schemes, upload photos, and add widgets, Cox says. “It’s very user-friendly and easy to use — even a monkey could do it,” he adds. “I had my site up and published in three to four hours.”
Cox made sure to incorporate the colors of the Tarbell brand — red and white — to maintain some cohesiveness with the company. But what creating his own site allowed him to do was to have more control over the phrasing of his advertising and what kinds of elements he wanted to have on his site. Maintenance is also at a minimum: He says he spends three to five hours a week working on his website, mostly when he wants to change something.
Though the third-party sites that many Tarbell agents use do offer more features, such as mortgage calculators, school-zone comparisons, and other subcategories, Cox says he’s happy that his site lets him express his individuality as an agent.
“The biggest thing is that people understand that this site is from me, not a word generator,” Cox said. “I want something particular to me and what I’m about — not saying what someone else says. My site is a place where people can get to know me a little bit before contacting me. They’ll see that I’m involved in my community; I’ve written about my involvement in Little League, for example.”
His branch manager at Tarbell loved the site he created, he says, because it’s a different avenue toward agent branding. Cox and another agent in his office have begun coaching other Tarbell agents through the process of creating their own sites.
“We talk about it at our weekly meetings, and we’ve even helped a couple switch to their own sites,” Cox says. “I’m trying to show the agents who have been in the business a long time that there are alternative ways of doing things than to just fall into doing whatever other agents do. You can make your own site for cheap, and it’ll still do what you need it to do. You can still have as much presence as possible.”
Cox’s site has been up and running for about four months now. So far, he’s landed six leasing deals from leads coming to his site.
“My site accounts for about 5 percent to 15 percent of my business now,” he says. “But I expect that in the future, it could be upwards of 50 percent. It’s going to let me generate more leads, and I’ve just added a widget to track visitors to my site.
“I hope this shows other agents that they shouldn’t fear technology.”

Why You Should Go 100% Mobile

REAL ESTATE TIPS

All or Nothing: Why You Should Go 100% Mobile

Your clients are spending more time on their mobile devices; so should you. Operating exclusively on mobile devices allows you to be quicker and more responsive to people’s needs.
I live by my mobile devices. I am always on the go and my phone is definitely an extension of me. My business is now set up so it can be run almost entirely from my phone. Whether I’m in line at Starbucks, at the gym, or traveling, you will see me interacting with some sort of mobile device.
My devotion to mobile was once considered unique and gave me an edge over my competitors. Now the mobile lifestyle is the status quo. My clientele is also constantly on the go, juggling multiple priorities, businesses, and responsibilities. So my clients expect and require me to have the ability to operate from anywhere.
Paperwork and contracts are a huge part of my life as a real estate professional. When I DocuSigned my first deal, it was a life-changer. Where paperwork was once the bottleneck of getting a deal closed, my clients could now sign electronically from anywhere. All the time and energy once spent chasing down signatures was eliminated, freeing me up to go after new business. Now that I have been 100 percent mobile for several years, I can share great tips to help professionals who are still making the transition. Each of these helped me grow my personal brand and better serve my clients:

Use Mobile and Social to Build Your Brand and Opportunities

Fierce competition in the real estate market calls for edgy tactics. Social media channels grant instant creative freedom to power your brand by making a statement on networks such as Twitter, Facebook, and Instagram. By far the fastest and most immediate way to embrace your notoriety is to market yourself from your mobile device. Social media mobile apps create instant and endless fuel for curating your personal brand and looping your clientele into the hottest deals.

Don’t Go Back to the Office; Mobile Gets It Done Now

It’s time to shelve the desktop. I receive so many leads from instant social updates on my phone that I’ve come to believe that mobile should be the default tool for agents for announcing newly listed, recently sold, and newly reduced properties. Why wait to post pictures of new listings until you return to the office?
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Keep your creativity spontaneous by showing off your success the moment it happens. No matter where you are, Twitter and Instagram are great forums for getting buyers excited about listings by highlighting unique features, promoting open houses, and creating awareness. When your clients see your success, they can envision how you will extend it to their property.

Load Up the Right Apps

When I’m not in connection with clients and colleagues, I spend a lot of time working with apps designed for real estate professionals. I’m always discovering new apps that make my life easier, and I have tried literally hundreds. Here are a few that I rely on:
  • Realtor.com®, Trulia, and Zillow are always on my radar. The majority of home buyers start their search online with these sites. I like to verse myself on what the consumers are looking at, but these sites also offer great marketing tools to practitioners, allowing them to track how many views each of their listings are getting on a weekly basis.
  • Key Me is another app my team uses. It saves the specifications of any key so that a locksmith can easily duplicate. We no longer have to waste time hunting down spare keys or waiting for expensive locksmiths to come out to a property.
  • Map Measure automatically finds the distance between a listing and other location points that might be important to your clients, such as their office or the beach. Apps like this one help me highlight points of interest in the surrounding neighborhood for clients who may not know the area. 

Run Mobile — But Don’t Let It Run You

Of course, everyone needs time to unplug; I do that daily with meditation, morning hikes with my dog, Maya, and making sure that I sincerely connect with whomever is in my presence.
Mobile devices have come so far in such a short time, and the sky is the limit for what is to come from mobile technology. I always look for ways to expand my arsenal of new mobile tools to streamline my workflow, make my life easier, and create more visibility for my brand. By focusing your practice around mobile, you can become a verb instead of a noun. Busy clients want agents who are synonymous with #action, and switching to a 100 percent digital and mobile structure is how to get there fast.

Tiny (House) Territory: Homes Under 400 Square Feet

REAL ESTATE TOPICS

AUTHOR: 

For some, living large means living with less. Stand-alone homes under 400 square feet, built with this type of buyer in mind, are hitting the market across the country.
The reasons for buying a home this size vary — some want to save on their mortgage, while others want to be friendlier to the environment. And, some are simply attracted to a lifestyle weighed down by fewer belongings.
From rustic cabins to charming beach cottages, check out these 10 petite homes for sale starting at $19,500.

Fairbanks, AK

2060 Determination Dr, Fairbanks, AK
For sale: $19,500
288 square feet
Fairbanks, AK
A cozy, 288-square-foot A-frame is available in the Golden Heart City of Alaska. For less than $20,000, the place comes with 5 wooded acres providing access to trails for dog mushing in the winter.
Want to explore Fairbanks? See more homes for sale.

Burlington, NC

2431 Glencoe St, Burlington, NC
For sale: $78,000
345 square feet
Burlington, NC
A perfect house for guests or your own out-of-town retreat, this home is located in historic Glencoe Mill Village on the banks of the Haw River. The 345-square-foot residence is completely furnished and has all-new plumbing, flooring, roofing and walls.
See more homes for sale in Alamance County.

West Dover, VT

22 Heritage Dr, West Dover, VT
For sale: $106,000
264 square feet
Dover, VT
Looking for a secluded escape in the woods? A 1-bedroom, 1-bath cabin measuring 264 square feet is for sale in West Dover, VT. The 2010-built home is perched on a scenic 1.1-acre lot with views of Mount Snow and surrounding forest.
Find more Dover homes for sale.
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Empire, MI

7121 W Genmere Rd #5, Empire, MI
For sale: $149,900
298 square feet
Empire, MI
This quaint, 1-bedroom cottage is for sale on the south shore of Glen Lake. Remodeled and updated in 2008, the 298-square-foot interior boasts a fully-functioning kitchen with Corian® counters, a tongue-and-groove vaulted ceiling, skylights and more.
See more homes for sale in Empire.

Castle Valley, UT

115 Pace Ln, Castle Valley, UT
For sale: $189,000
200 square feet
Castle Valley, UT
Advertised in the listing as a “charming one-room cabin to live in while you build,” this home is perfect as a temporary or permanent retreat on 5 acres framed by beautiful red-rock formations. The 200-square-foot abode also comes with an armoire — ideal for longer stays in the valley.
See more desert retreats for sale in Castle Valley.

Cotuit, MA

40 Nickerson Ln, Cotuit, MA
For sale: $299,000
348 square feet
Cotuit, MA
Walking distance to beaches on Cotuit Bay, this Hampton-style cottage is described as a “magical little house.” While only 348 square feet, the interior is in great condition with a fireplace, wide-plank floors and a large deck for outdoor entertaining. The adjacent lot is also for sale.

Cora, WY

2457 Wy-352, Cora, WY
For sale: $325,000
332 square feet
Cora, WY
A rustic, equestrian estate is for sale in Cora, WY. The 332-square-foot, custom log cabin is surrounded by 9.13 horse-friendly acres in Wyoming’s Upper Green River Valley.

Scarborough, ME
37 Morning St, Scarborough, ME
For sale: $325,000
366 square feet
Scarborough, ME
Nicknamed “The Doll House,” this adorable cottage is for sale at Higgins Beach. The 366-square-foot home features a sunny patio, skylights and plenty of parking for guests.

Cannon Beach, OR
132 W Surfcrest Ave, Cannon Beach, OR
For sale: $449,000
378 square feet
Cannon Beach, ORA popular Pacific Northwest vacation spot, Cannon Beach offers the best of coastal living. This 378-square-foot beach house was thoughtfully planned to provide the comforts of home with little upkeep. Of note, french doors open the space up to an expansive deck where you can hear and smell the ocean.
Check out more beach houses for sale in Tolovana Park.

Los Angeles, CA

2374 Landa St, Los Angeles, CA
For sale: $449,000
360 square feet
Los Angeles, CA
Named the greatest Los Angeles neighborhood by L.A. Weekly, Echo Park is a hillside community giving rise to The Eagles, Steve McQueen and The Dodgers, to name a few. This historic 1-bedroom is only 360 square feet, but a 400-square-foot deck more than doubles the living space.

20-Somethings, Living Tiny...

REAL ESTATE TOPICS

AUTHOR: 
Caravan is a tiny house hotel in Portland
Caravan, in Portland’s Alberta Arts District, is the country’s first tiny house hotel.
Deb Delman and Kol Peterson show off their hotel's newest addition, Kangablue.
Deb Delman and Kol Peterson show off their hotel’s newest addition, Kangablue.
Deb Delman and Kol Peterson aren’t millennials, but 20-somethings are paying the couple’s bills. A year ago, they opened Caravan, the country’s first tiny house hotel, generating interest from young adults near and far.
“I’d say half of our guests are from Seattle, Portland, San Francisco and Vancouver; half are from the rest of the country; and 10-15 percent are international,” Peterson said. “We get older folks, but it’s mostly millennials who want to build their own tiny home.”
This younger generation sees the trend Jay Shafer and other tiny-home proponents started and want to join in.
“We are at a tip of a movement,” Delman said. “A high percentage [of our guests] come because they are curious to obsessed [with tiny homes].”

The tiny obsession

Saving money is top-of-mind for millennials — many of whom graduated from college in the wake of the Great Recession — but many are initially attracted to tiny homes due to their size.
“I own the 690-square-foot home next door,” Delman said. “It’s teeny but not tiny.”
A true tiny home, she says, is no more than 200 square feet and built on wheels. The size encourages, rather than limits, creativity. For example, the six tiny homes at Caravan in Portland, OR show off floor plans and features not typically found in traditional, single-family homes.
The ladder in Tandem can be moved to open up the main floor or provide access to the loft above.
The ladder in Tandem can be moved to open up the main floor or provide access to the loft above.
“There’s a ‘cupola’ loft bed in the Caboose,” Delman said. “Tables fold, benches have storage and ladders move. There’s even a green, triangular toilet in Skyline.”
As evidenced by their names, each of the homes has a unique story as well: The Caboose is painted red and looks like a railroad car; Skyline feels sky-high with twinkle lights and an upstairs hangout zone; and Kangablue has an Australian-born builder and is lined with unusual, blue pine wood.
“A typical reaction is ‘They’re so much bigger than the pictures,’” Delman said. “People say, ‘They’re so cute and fun.’”
Skyline has an eclectic look with a shed roof, metal-and-wood siding and other re-purposed materials.
Skyline, one of the most popular tiny homes at Caravan, has curb appeal with a shed roof, metal-and-shingle siding and twinkle lights.

Not-so-tiny considerations

While the tiny-house obsession seems contagious in artsy northeast Portland, taking action is another story.
“A lot of people fantasize about building a tiny house but don’t end up doing it,” Delman said. Part of the reason is financial, but there are also several practical concerns:
  • Can you afford it? While many 20-somethings can’t afford to buy a $20,000 to $60,000 tiny home outright, many are drawn to the low building costs. Carrie Lipps, a millennial working at the tiny house hotel, loves the fact that tiny homes cost around $10,000 to $15,000 for materials if you go the DIY route. When compared to a single-family residence with a 30-year mortgage, this seems like an affordable upfront investment without a lingering monthly payment.
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  • Can you wait? As the saying goes, time is money. Peterson says tiny homes take longer to build than most people think. “You can expect three months if you have a professional builder, but realistically, tiny homes take more like a year to build,” he said. This depends on a number of factors including the builder’s skill level and the amount of detail in your design.
  • Can you build it yourself? There is a lot to consider when building a tiny home, from the initial design to plumbing and electrical. Professional tiny house builder Derin Williams says younger buyers get excited, but “they’re artists not builders.” Over the past two years, he’s consulted on DIY tiny-home projects with leaking roofs, poorly designed plumbing and electrical issues. He worries that people will hurt themselves if they don’t know what they’re doing. Peterson agrees that the complexity of building a tiny home is often overlooked. While they’re smaller than a traditional single-family house, they present the same, if not more, design challenges. First, you have to think about how much weight you can have if you want your home on wheels to be portable. Then you have to think about maximizing space to allow for storage and multiple functions.
To save counter space, the Caboose kitchen has built-in shelves for storing dishes and spices.
To save counter space, the Caboose kitchen has built-in shelves for storing dishes and spices.
  • Do you have a place to park it? If you manage to complete the building process, the next challenge is parking. Williams said he recently consulted on three tiny homes being built and not one of the owners knows where they are going put them. Tiny homes at Caravan are parked on a piece of land the owners purchased, but not everyone has an empty lot at their disposal. Because zoning for tiny homes is a gray area in many cities, the more common solutions are parking in a friend’s backyard or driveway, or staying in a RV park.
  • Do you like communal living? In part because of the parking situation, many owners of tiny homes end up getting pretty close with their neighbors. For this reason, Delman says tiny homes can work for full-time living, but it has to be a situation where you can share resources. Specifically, someone looking to invest in a home on wheels has to get permission from the city to connect to the sewer line or use a neighbor’s facilities. And beyond plumbing, a lack of storage space and utilities leads many to depend on neighbors when cooking a big meal, entertaining, hosting guests or enjoying a bubble bath. These daily amenities become a luxury when you live in less space.
  • Do you enjoy living with less? Even if you are friends with your neighbors, your personal living space will not only be small, but simple. The tiny homes at Caravan have showers and kitchenettes, but not all tiny homes have these features. Some don’t even have running water. It’s important to know what level of “rustic” you can honestly live with.
While tiny homes aren’t for everyone, Delman and Peterson say they’re happy promoting the industry through their hotel.
“The single most important thing people can do to reduce their environmental footprint is to live in a smaller space,” Peterson said.

Thursday, August 28, 2014

Existing-Home Sales Continue to Climb in July

REAL ESTATE NEWS

WASHINGTON (August 21, 2014) – Existing-home sales increased in July to their highest annual pace of the year, and the ongoing decline in distressed sales reached an important milestone, according to the National Association of Realtors®.
Total existing-home sales1, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, rose 2.4 percent to a seasonally adjusted annual rate of 5.15 million in July from a slight downwardly-revised 5.03 million in June. Sales are at the highest pace of 2014 and have risen four consecutive months, but remain 4.3 percent below the 5.38 million-unit level from last July, which was the peak of 2013.
Lawrence Yun, NAR chief economist, says sales momentum is slowly building behind stronger job growth and improving inventory conditions. “The number of houses for sale is higher than a year ago and tamer price increases are giving prospective buyers less hesitation about entering the market,” he said. “More people are buying homes compared to earlier in the year and this trend should continue with interest rates remaining low and apartment rents on the rise.”
Yun does warn that affordability is likely to decline in upcoming years. “Although interest rates have fallen in recent months, median family incomes are still lagging behind price gains, and mortgage rates will inevitably rise with the upcoming changes in monetary policy,” he said.  
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The median existing-home price2 for all housing types in July was $222,900, which is 4.9 percent above July 2013. This marks the 29thconsecutive month of year-over-year price gains.
Total housing inventory3 at the end of July rose 3.5 percent to 2.37 million existing homes available for sale, which represents a 5.5-month supply at the current sales pace. Unsold inventory is 5.8 percent higher than a year ago, when there were 2.24 million existing homes available for sale.
Distressed homes4 – foreclosures and short sales – accounted for 9 percent of July sales, down from 15 percent a year ago and the first time they were in the single-digits since NAR started tracking the category in October 2008. Six percent of July sales were foreclosures and 3 percent were short sales. Foreclosures sold for an average discount of 20 percent below market value in July, while short sales were discounted 14 percent.
Yun says the deepest housing wounds suffered during the Great Recession are beginning to fully heal. “To put it in perspective, distressed sales represented an average of 36 percent of sales during all of 2009,” he said. “Fast-forward to today and rising home values are helping owners recover equity and strong job creation are assisting those who may have fallen behind on their mortgage due to unemployment or underemployment.”  
All-cash sales in July were 29 percent of transactions, down from 32 percent in June and representing the lowest overall share since January 2013 (28 percent). Individual investors, who account for many cash sales, purchased 16 percent of homes in July, unchanged from last month and July 2013. Sixty-nine percent of investors paid cash in July.
According to Freddie Mac, the average commitment rate for a 30-year, conventional, fixed-rate mortgage fell for the third consecutive month to 4.13 percent in July from 4.16 percent in June, and remains the lowest rate since June 2013 (4.07 percent).
The percent share of first-time buyers in July rose slightly for the second straight month to 29 percent (28 percent in June), but remain historically low.
NAR President Steve Brown, co-owner of Irongate, Inc., Realtors® in Dayton, Ohio, says the new credit scoring calculation recently announced by Fair Isaac Corp., or FICO, will improve access to homeownership. “NAR supports efforts to broaden access to credit for qualified homebuyers, especially those who have been shut out of the housing market or forced to pay higher interest rates because of flawed credit scores,” he said. “A solid credit score is necessary to keep borrowing costs down.”
The median time on market for all homes was 48 days in July, up from 44 days in June; it was 42 days on market in July 2013. Short sales were on the market for a median of 93 days in July, while foreclosures sold in 58 days and non-distressed homes typically took 45 days. Forty percent of homes sold in July were on the market for less than a month.
Single-family home sales increased 2.7 percent to a seasonally adjusted annual rate of 4.55 million in July from 4.43 million in June, but remain 4.2 percent below the 4.75 million pace a year ago. The median existing single-family home price was $223,900 in July, up 5.1 percent from July 2013.
Existing condominium and co-op sales remained unchanged in July from June at an annual rate of 600,000 units, and are 4.8 percent below the 630,000 unit pace a year ago. The median existing condo price was $215,000 in July, which is 3.3 percent higher than a year ago.
Regionally, July existing-home sales in the Northeast stayed at an annual rate of 640,000 for the second consecutive month and are now 9.9 percent below a year ago. The median price in the Northeast was $273,600, an increase of 2.4 percent from July 2013.
In the Midwest, existing-home sales increased 1.7 percent to an annual level of 1.22 million in July, but remain 4.7 percent below July 2013. The median price in the Midwest was $175,200, up 4.1 percent from a year ago.
Existing-home sales in the South rose 3.4 percent to an annual rate of 2.12 million in July, and are now up slightly (0.5 percent) from July 2013. The median price in the South was $192,000, up 5.0 percent from a year ago.
Existing-home sales in the West climbed 2.6 percent to an annual rate of 1.17 million in July, but remain 8.6 percent below a year ago. The median price in the West was $304,100, which is 6.3 percent above July 2013.

30-Year Fixed-Rate Mortgage Hits Year's Low

REAL ESTATE NEWS


30-Year Fixed-Rate Mortgage Hits Year's Low

30-Year Fixed-Rate Mortgage Hits Year's Low
MCLEAN, VA--(Marketwired - Aug 21, 2014) - Freddie Mac(OTCQBFMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), showing average fixed mortgage rates following bond yields lower. Averaging 4.10 percent for the week, the 30-year fixed-rate mortgage fell below its previous 2014 low of 4.12 percent.
News Facts
  • 30-year fixed-rate mortgage (FRM) averaged 4.10 percent with an average 0.5 point for the week ending August 21, 2014, down from last week when it averaged 4.12 percent. A year ago at this time, the 30-year FRM averaged 4.58 percent.
  • 15-year FRM this week averaged 3.23 percent with an average 0.6 point, down from last week when it averaged 3.24 percent. A year ago at this time, the 15-year FRM averaged 3.60 percent.
  • 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.95 percent this week with an average 0.5 point, down from last week when it averaged 2.97 percent. A year ago, the 5-year ARM averaged 3.21 percent.
  • 1-year Treasury-indexed ARM averaged 2.38 percent this week with an average 0.5 point, up from last week when it averaged 2.36 percent. At this time last year, the 1-year ARM averaged 2.67 percent.
Average commitment rates should be reported along with average fees and points to reflect the total upfront cost of obtaining the mortgage. Visit the following links for the Regional and National Mortgage Rate Details and Definitions. Borrowers may still pay closing costs which are not included in the survey.
QuotesAttributed to Frank Nothaft, vice president and chief economist, Freddie Mac.
"Mortgage rates were down slightly this week, following the decline in 10-year Treasury yields. Meanwhile, housing starts [PDF] in July jumped 15.7 percent to 1.093 million units after falling 4.0 percent a month earlier. Also, July's consumer prices [PDF] increased at a 0.1 percent seasonally adjusted pace, the slowest in five months."
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Wednesday, August 27, 2014

Live Lecture Classroom coming to Carlsbad, CA....

LIVE LECTURE

Real Estate License - CA (a Live Lecture 'Pre-License' Certification Course) is coming to the CARLSBAD / OCEANSIDE market. Our Instructor Bill Villa. 


Bill Villa - Graduated from Chapman University with degrees in Government / Economics and Business Administration with a minor in Marketing. Working with mortgage firms he created outbound telemarketing systems which generated clients and closed loans. After receiving his California Broker license Bill created systems producing leads for agents resulting in more closed transactions. He has diversified into property leasing, property management, short sales, conventional sales and escrow. Bill has owned investment properties for years knowing that real estate leads to financial success whether as a career or a home owner. Bill has combined his passion for real estate with flying his own plane and has earned an FAA Commercial Pilot Certificate.


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Will Millennials Dominate Real Estate?

REAL ESTATE TOPICS

By Courtney Soinski
millennial2Did you know that millennials have outnumbered baby boomers?  Specifically, they make up 87 million of our population versus 76 million baby boomers, according to the Joint Center for Housing Studies of Harvard University.
“Millennials” are those born after 1982 and more and more of them are entertaining the idea of home ownership.  “Ultimately, the large millennial generation will make their presence felt in the owner-occupied market,” says Daniel McCue, research manager of the Joint Center for Housing Studies, “just as they already have in the rental market . . ”
While demand is currently strong among millennials in the rental market, rent prices are going up.  As incomes increase through either economic or job growth, they may be ready to buy.  Additionally, the number of households in their 30s should increase by 2.7 million over the coming decade, which should also boost demand for new housing.
There is evidence that millennials are already beginning to consider buying versus renting, according to the 2014 NAR Home Buyer and Seller Generational Trends study.  This report states that “87 percent of buyers aged 33 and younger consider their home purchase a good financial investment compared to 74 percent of buyers 68 and older.”
For now, tight credit, still elevated unemployment, and mounting student loan debt among young Americans are moderating growth and keeping a good number of millennials and other first-time homebuyers out of the home ownership market, the study concluded. It’s also important to consider how potential GSE reform will affect the cost and availability of mortgage credit for the next generation of homebuyers.
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Working with this large group of buyers beginning to enter the market may also be a different experience for real estate professionals.  This group embraces technology, particularly mobile and social media, and brings a new set of housing preferences and expectations to the table.  For real estate professionals, this means beginning to understand how to effectively target and engage this up and coming group of home buyers.