Have you ever been flipping through the channels, only to find yourself glued to the couch in an HGTV binge session? We’ve all been there… watching entire seasons of “Love it or List it,” “Fixer Upper,” “House Hunters,” “Property Brothers,” and so many more, just in one sitting.
When you’re in the middle of your real estate themed show marathon, you might start to think that everything you see on TV must be how it works in real life, but you may need a reality check.
Reality TV Show Myths vs. Real Life:
Myth #1: Buyers look at 3 homes and make a decision to purchase one of them.
Truth: There may be buyers who fall in love and buy the first home they see, but according to the National Association of Realtors the average homebuyer tours 10 homes as a part of their search.
Myth #2: The houses the buyers are touring are still for sale.
Truth: The reality is being staged for TV. Many of the homes being shown are already sold and are off the market.
Myth #3: The buyers haven’t made a purchase decision yet.
Truth: Since there is no way to show the entire buying process in a 30-minute show, TV producers often choose buyers who are further along in the process and have already chosen a home to buy.
Myth #4: If you list your home for sale, it will ALWAYS sell at the Open House.
Truth: Of course this would be great! Open houses are important to guarantee the most exposure to buyers in your area, but are only a PIECE of the overall marketing of your home. Just realize that many homes are sold during regular listing appointments as well.
Myth #5: Homeowners make a decision about selling their home after a 5-minute conversation.
Truth: Similar to the buyers portrayed on the shows, many of the sellers have already spent hours deliberating the decision to list their homes and move on with their lives/goals.
Having an experienced professional on your side while navigating the real estate market is the best way to guarantee that you can make the home of your dreams a reality!
The time it has taken for homes to sell nationwide in January has decreased at a rate of 4 percent compared to a year ago, despite record-high housing prices, according to realtor.com®’s latest housing report.
“We saw evidence of a stronger-than-normal off season starting last September and October due to pent-up demand and surging interest from first-time buyers,” says realtor.com® chief economist Jonathan Smoke. “The downside to this strong off season is that we have started 2017 with a new low volume of available homes for sale and a new high for prices.”
Listing inventories are down 11 percent in January compared to a year ago. Also, the median list price for the month is an estimated $250,000 — 10 percent higher than January 2015, realtor.com® notes. Nevertheless, “the threat of rates approaching multiyear highs in the months ahead is creating a sense of urgency [among buyers],” Smoke says.
The following are the top-performing markets this month:
- San Francisco
- San Jose, Calif.
- Vallejo, Calif.
- San Diego
- Sacramento, Calif.
- Yuba City, Calif.
- Stockton, Calif.
- Fresno, Calif.
- Oxnard, Calif.
- Columbus, Ohio
- Colorado Springs, Colo.
- Nashville, Tenn.
- Modesto, Calif.
- Los Angeles
- Tampa, Fla.
- Santa Rosa, Calif.
- Fort Wayne, Ind.
Source: “The 20 Hottest Markets for U.S. Real Estate in January 2017,” realtor.com® (Jan. 26, 2017)
- Sales in December were 14.7% higher than those in November, marking the largest month-over-month increase ever recorded.
- Inventory levels are still below historic norms at 3.9-months supply.
- Median home price is up 7.6% from last year, marking the 46th consecutive month with year-over-year price gains.
- In a recent Harris Poll, Americans listed “change in climate/weather” as their top reason for wanting to relocate.
- 41% would move for a better job opportunity.
- Being closer to loved ones filled out 3 of the top 6 reasons why American’s move.
Realtor.com® researchers recently analyzed 1.5 million active single-family listings to compile a list of more than 200 individual home features from the listing descriptions. They narrowed down a list of the top five features for each state and then selected one with the most “local flavor.”
The analysis found that wet bars are particularly popular in Kansas, a state known for having one of the strictest alcohol laws in the country. Seven percent of the active listings currently list a wet bar.
In Oklahoma, a place that sees an average of 55 tornadoes a year, 6 percent of the homes for-sale list a storm shelter. In Oregon, home owners show a fondness for hot tub, with 5 percent of homes for sale currently touting a hot tub. In Michigan, the pole barns are popular – barns that use large poles to provide vertical structural support and are known as being cheap to build. Five percent of Michigan listings say they include a pole barn.
In Idaho, RV parking is a popular amenity, with 6 percent of Idaho homes for sale promoting they have it. In North Carolina, South Carolina, Virginia, Indiana, and Minnesota, the front porch is a highlight. While in New Mexico, Alaska, Delaware, and Vermont, fireplaces are all the rage.
Source: “Wet Bars, Hot Tubs, and More: What Home Features Rules in Your State?” realtor.com®
Homes can be expensive, but just how much are they truly worth? The real estate brokerage Redfin set out to find out how expensive a house that was actually constructed from dollar bills.
To figure it out, Redfin researchers took into account the dimensions of the average American home — 1,811 square feet — as well as averages like it’s two stories; has exterior walls that are eight inches thick and interior walls that are five inches thick; a roof that is three inches thick and a floor that is two inches thick. The dimensions of a dollar bill — 6.14″ x 2.61″ x 0.0043″ — was then used to calculate how many dollars it would take to build a house if you stacked the bills on top of each other.
The grand total: 441,435,440 dollar bills.
Home buyers are getting a deep discount considering the median home purchase price is currently $256,000.
Every state has at least one town with a median household income thousands of dollars higher than the state’s median income, according to a new analysis by 24/7 Wall St. In some states, yhe difference can be drastic. For example, the median income in upscale areas like Scarsdale, N.Y., and Winnetka, Ill., is more than $150,000 higher than the state’s median income figure.
Among 21 states, the median household income in the wealthiest town was more than double the state. What’s more, 10 states had a difference of more than $100,000 between towns with the highest and lowest annual incomes.
“The most desirable areas to live often have real estate that only the very affluent can afford,” 24/7 Wall St. notes. “These places are often in quiet neighborhoods located within commuting distance of major urban centers, which provide a diversity of jobs and attractions. Not surprisingly, nearly all of the wealthiest towns in each state are suburbs of a major city – usually the biggest city in the state. Most of these affluent suburbs are close enough to require less than an hour commuting time, but far enough outside the city hub to afford peace and quiet.”
To identify the wealthiest towns in each state, 24/7 Wall St. analyzed median household incomes for every town with populations of 25,000 or less in each state.
Source: “The Richest Town in Each State,” 24/7 Wall St
A recent study by Bank of America Merrill Lynch found that nearly one-third of Baby Boomers and seniors are choosing to buy larger homes in retirement instead of downsizing.
The report seems to point to an interest in larger home specifically that have extra bedrooms. One-third of retirees surveyed say a top reason they wanted to upsize was to have a home large enough for family members to visit. When adult children, grandchildren, and other family members are scattered around the country, the homes of retirees tend to function as a meeting place for extended families, particularly during holidays or summer vacations.
Some retirees may be looking for something more than just a guest bedroom, however. The multigenerational household trend is evident in the study, with one in six (16 percent) retirees saying they have a “boomerang” adult child who has moved back in.
Only 51 percent of those surveyed actually did downsize, citing greater financial freedom (64 percent) and lowered maintenance duties (44 percent) among their top reasons for doing so. The remaining 19 percent moved to a similarly-sized home.
The study also underscored the importance of keeping a close eye on this population segment, noting that while growth in the number of households across all other age groups will be less than 2 million, the number of age 65+ households in the U.S. will increase by nearly 11 million.
“How and where our nation’s aging population chooses to live will have widespread implications on the way homes are designed, the resources people will need, and how communities and businesses nationwide should prepare,” says Andy Sieg, head of Global Wealth and Retirement Solutions for Bank of America Merrill Lynch.
Source: “Retiree preferences are poised to drive the housing market, study says,” L.A. Times