Category Archives: Elk Grove Real Estate

Why You Should Hire a Real Estate Professional When Buying a Home!

Why You Should Hire a Real Estate Professional When Buying A Home! | MyKCM

Many people wonder whether they should hire a real estate professional to assist them in buying their dream home or if they should first try to go it on their own. In today’s market: you need an experienced professional!

You Need an Expert Guide if You Are Traveling a Dangerous Path

The field of real estate is loaded with land mines. You need a true expert to guide you through the dangerous pitfalls that currently exist. Finding a home that is priced appropriately and ready for you to move in to can be tricky. An agent listens to your wants and needs, and can sift through the homes that do not fit within the parameters of your “dream home.”

A great agent will also have relationships with mortgage professionals and other experts that you will need in securing your dream home. 

You Need a Skilled Negotiator

In today’s market, hiring a talented negotiator could save you thousands, perhaps tens of thousands of dollars. Each step of the way – from the original offer, to the possible renegotiation of that offer after a home inspection, to the possible cancellation of the deal based on a troubled appraisal – you need someone who can keep the deal together until it closes.

Realize that when an agent is negotiating their commission with you, they are negotiating their own salary; the salary that keeps a roof over their family’s head; the salary that puts food on their family’s table. If they are quick to take less when negotiating for themselves and their families, what makes you think they will not act the same way when negotiating for you and your family?

If they were Clark Kent when negotiating with you, they will not turn into Superman when negotiating with the buyer or seller in your deal. 

Bottom Line

Famous sayings become famous because they are true. You get what you pay for. Just like a good accountant or a good attorney, a good agent will save you money…not cost you money.

Real Estate Values Today Compared to Pre-2008 Peak

Real Estate Values Today Compared to Pre-2008 Peak | MyKCM

This housing market has many people talking about home values; where they are and where they are headed. It’s also interesting to look back and see how home prices compare to values prior to the housing crisis.

Every quarter, Freddie Mac releases their House Price Index. The index usually provides monthly home values for:

  • the nation as a whole
  • each of the 50 states
  • 367 metropolitan statistical areas

This quarter, the report also included a look at today’s home values as compared to Pre-2008 values. Here is a graphic that breaks down the numbers on a state-by-state basis:

Real Estate Values Today Compared to Pre-2008 Peak | MyKCM

Want to Get an A? Hire A Real Estate Pro [INFOGRAPHIC]

Want to Get an A? Hire A Real Estate Pro [INFOGRAPHIC] | MyKCM

Some Highlights:

  • Hiring a Real Estate Professional to buy your dream home, or sell your current house, is one of the most ‘educated’ decisions you can make!
  • A Real Estate Professional has the experience needed to help you through the entire process.
  • Make sure that you hire someone who knows current market conditions & can simply & effectively explain them to you & your family!

Home Sales Up Year-Over-Year

Home Sales Up Year-Over-Year | Keeping Current Matters

Some Highlights

  • This is the 48th consecutive month with year-over-year price gains.
  • Lawrence Yun, NAR’s Chief Economist says that, “The main issue continues to be a supply & affordability problem. Finding the right property at an affordable price is burdening many potential buyers.”
  • Inventory is still below historic norms at a 4.4 month supply.

Change in Home Sales by Price Range [INFOGRAPHIC]

Change In Home Sales By Price Range [INFOGRAPHIC] | Keeping Current Matters

Some Highlights: 

  • Home Sales are up year-over-year in the top 4 price ranges and only slightly below last year’s numbers in a fifth.
  • A lack of distressed property inventory has led to a slow down in sales in the under $100K price range.
  • As home prices continue to rise, there will be fewer homes available for sale in the lower ranges.

Real Estate Shines as an Investment in 2015

Real Estate Shines as an Investment in 2015 | Keeping Current Matters

A survey by The Joint Center of Housing Studies at Harvard University reveals that when a family is buying a home they consider the financial benefits of homeownership along with the social benefits. The survey mentions things like:

  • Paying rent does not make sense
  • Homeownership provides a good financial opportunity
  • Owning a home helps you building family wealth
  • Buying a home is investing in your retirement
  • Home equity gives you something to borrow against

So how did homeownership match up against other investments in 2015? Here is a chart that compares its return on investment against precious metals and the stock market last year:

2015 Return on Investment | Keeping Current Matters

Bottom Line

Not only did homeownership offer all its social benefits. It also was a great investment financially.

Resolve to Hire a Real Estate Professional in 2016 [INFOGRAPHIC]

Resolve to Use a Real Estate Professional in 2016 [INFOGRAPHIC] | Keeping Current Matters

Some Highlights:

  • Happy New Year!
  • If you plan to buy your dream home or sell your house in 2016, resolve to use a real estate professional!
  • Real Estate Professionals are there for you through the entire process to help with paperwork, negotiations, pricing, and so much more!

Thinking of Selling Your Home? Get Ready to Negotiate!

Thinking of Selling Your Home? Get Ready to Negotiate! | Keeping Current Matters

Now that the market has showed signs of recovery, some sellers may be tempted to try and sell their home on their own (FSBO) without using the services of a real estate professional.

Real estate agents are trained and experienced in negotiation. In most cases, the seller is not. The seller must realize their ability to negotiate will determine whether they can get the best deal for themselves and their family.

Here is a list of some of the people with whom the seller must be prepared to negotiate if they decide to FSBO:

  • The buyer who wants the best deal possible
  • The buyer’s agent who solely represents the best interest of the buyer
  • The buyer’s attorney (in some parts of the country)
  • The home inspection companies, which work for the buyer and will almost always find some problems with the house.
  • The termite company if there are challenges
  • The buyer’s lender if the structure of the mortgage requires the sellers’ participation
  • The appraiser if there is a question of value
  • The title company if there are challenges with certificates of occupancy (CO) or other permits
  • The town or municipality if you need to get the COs permits mentioned above
  • The buyer’s buyer in case there are challenges on the house your buyer is selling
  • Your bank in the case of a short sale

Bottom Line

The percentage of sellers who have hired a real estate agent to sell their home has increased steadily over the last 20 years. Meet with a professional in your local market to see the difference they can make in easing the process.

Selling Your House? 5 Reasons You Shouldn’t For Sale By Owner

Selling Your House? 5 Reasons You Shouldn't For Sale By Owner | Keeping Current Matters

In today’s market, with homes selling quickly and prices rising, some homeowners might consider trying to sell their home on their own, known in the industry as a For Sale by Owner (FSBO). There are several reasons this might not be a good idea for the vast majority of sellers.

Here are five of those reasons:

1. There Are Too Many People to Negotiate With

Here is a list of some of the people with whom you must be prepared to negotiate if you decide to For Sale By Owner:

  • The buyer who wants the best deal possible
  • The buyer’s agent who solely represents the best interest of the buyer
  • The buyer’s attorney (in some parts of the country)
  • The home inspection companies, which work for the buyer and will almost always, find some problems with the house
  • The appraiser if there is a question of value

2. Exposure to Prospective Purchasers

Recent studies have shown that 89% of buyers search online for a home. That is in comparison to only 20% looking at print newspaper ads. Most real estate agents have an internet strategy to promote the sale of your home. Do you?

3. Results Come from the Internet

Where do buyers find the home they actually purchased?

  • 44% on the internet
  • 33% from a Real Estate Agent
  • 9% from a yard sign
  • 1% from newspaper

The days of selling your house by just putting up a sign and putting it in the paper are long gone. Having a strong internet strategy is crucial.

4. FSBOing has Become More and More Difficult

The paperwork involved in selling and buying a home has increased dramatically as industry disclosures and regulations have become mandatory. This is one of the reasons that the percentage of people FSBOing has dropped from 19% to 8% over the last 20+ years.

The 8% share represents the lowest recorded figure since NAR began collecting data in 1981.

5. You Net More Money when Using an Agent

Many homeowners believe that they will save the real estate commission by selling on their own. Realize that the main reason buyers look at FSBOs is because they also believe they can save the real estate agent’s commission. The seller and buyer can’t both save the commission.

Studies have shown that the typical house sold by the homeowner sells for $210,000 while the typical house sold by an agent sells for $249,000. This doesn’t mean that an agent can get $39,000 more for your home as studies have shown that people are more likely to FSBO in markets with lower price points. However, it does show that selling on your own might not make sense.

Bottom Line

Before you decide to take on the challenges of selling your house on your own, sit with a real estate professional in your marketplace and see what they have to offer.

Elk Grove Accepts the Cool California Challenge

Joins City-to-City Competition to Reduce Energy Consumption
Joins City-to-City Competition to Reduce Energy Consumption

Elk Grove, CA – Help our hometown earn new bragging rights and save energy by registering to participate in the CoolCalifornia Challenge.

Elk Grove could be California’s coolest city this year. It is one of 22 cities participating in the 2015-16 CoolCalifornia Challenge, a city-to-city competition encouraging residents and communities to work together to achieve California’s energy reduction and climate change goals. Other participating cities includeClaremont, San Mateo, Buellton, Indio, Burlingame, Long Beach, San Carlos, Lynwood, Martinez, South Pasadena, Redwood City, Huntington Beach, San Pablo, Benicia, Corte Madera, Mill Valley, Sausalito, El Cerrito, Fairfax, Larkspur, and Richmond. The CoolCalifornia Challenge runs through March 30, 2016.

The Challenge, organized by Energy Upgrade California, engages households in participating cities throughout the state to reduce their energy and water use at home as well as reduce their transportation emissions.

Help Elk Grove earn the title of “Coolest California City” and a portion of the $150,000 in prize money to support local sustainability efforts.  You can join the Challenge by following these 3 simple steps:

  1. Register at www.CAChallenge.org; and
  2. Create a MyEnergyUpgrade plan; and
  3. Log your energy use each month during the Challenge (electricity, natural gas, vehicle gasoline) and share energy, transportation and water conservation efforts and activities to gain points for our city.

The city with the highest number of total points by March 30, 2016 will be crowned the winner. Participants can earn points, tracked through online software, if their home or vehicle energy use is below the baseline average in their city. Extra points are earned by participants that re-set their “personal best” for home energy and vehicle fuel consumption from a previous month. And bonus points are earned by signing up for the Challenge, filling out a MyEnergyUpgrade plan, uploading a photo, inviting friends to join the Challenge, sharing energy and water saving tips on social media pages, and committing to do an energy and water saving action and writing a review of that action.

Register today at www.CAChallenge.org. For more information on the City’s participation in the CoolCalifornia Challenge contact Mona Schmidt at (916) 478-3633 or mschmidt@elkgrovecity.org.