If not now, then when? The market couldn’t be better to stop paying someone else’s mortgage and become a homeowner.

January 2021 brought 6.69 million in sales, a median sales price of $303,900, and 1.9 months of inventory. The median sales price is up 14.1% year over year, and inventory is down 1.2 months from January 2020.

Pre-Approval is the best thing you can do right now to be in a stronger position to buy a home when you're ready to make a move! Call us at 602-753-0177 so we can help you start the process towards home ownership!

More Exposure Means More Buyers 

The day is here! You need to move and get your home sold ASAP. In marketing your home, the concept is simple, “the more exposure you get for your home, the more potential buyers you reach and the faster the sale and a higher sales price." However, seller beware! Some agents may not have a marketing plan and some agents may not really understand how to use that marketing to get buyers through your front door! If buyers do not see the interior of your home, they are not going to make a decision to purchase your home. Here are a couple of questions to consider:

• Does the Marketing Plan Focus Local and Worldwide? Our Phoenix market typically receives about 40% of buyers from out of state and the other 60% are local. Recently, our team got a call from a buyer in another state about one of our listings. The buyer found the presentation of our listing online. Unable to find a local real estate agent, the buyer called us directly to purchase the home. The buyer said, “your home is beautiful.” While our seller took credit for the beautiful home, we took great pride in showcasing the home with our elite marketing plan.
• Does the Marketing Plan Focus on Presentation? The internet has huge potential to market our listings, but it also is risky. While allowing agents to showcase a home’s best features, the internet can also make a home look bad. Buyers have many homes to choose from and if a buyer does not like your presentation, they will not schedule a showing. When photos present homes that are cluttered, need paint, have small rooms, and are dark, buyers are going to eliminate these homes and not see them. If the presentation of a home is good, buyers will want to see more of the home and will schedule a showing.
• Does the Marketing Plan Focus on Details of the Home?  The Phoenix MLS allows home owners and agents to add lots and lots of features to their listings. Important upgrades like granite counters, RV gates, energy efficient upgrades, cul-de-sac lots, vaulted ceilings, etc. are very important to buyers. Many buyers will search for these important upgrades on the internet through Bing, Google and other websites. Every time a buyer searches for features, and finds your home, the buyer is likely to want to see inside your home.    
• Don’t Forget Traditional Advertising. With smart phones, tablets, and many other tech devices, it may be easy to forget the traditional advertising. However, traditional advertising is still very successful for attracting buyers. Newsletters, Just Listed Notices, and color flyers are still huge for getting the attention of buyers. While younger buyers under the age of 30, will start their search for a home on the internet, many older buyers will start their search with the newspaper or from items received in the mail. On a daily basis, many Phoenix homes for sale can be found in the local paper.

A great marketing plan includes aspects of all these items and any other ways of getting buyers to see your home.  Remember, the name of the game is exposure, exposure, exposure. Do you have more questions? Do you want to learn more about this or other ways to get the most money from the sale of your home?  

We can help! Contact us at (602) 753-0177 or info@ThompsonGroupAZ.com  

Is the idea of saving for a down payment holding you back from buying a home right now? You may be eager to take advantage of today’s low mortgage rates, but the thought of needing a large down payment might make you want to pump the brakes. Today, there’s still a common myth that you have to come up with 20% of the total sale price for your down payment. This means people who could buy a home may be putting their plans on hold because they don’t have that much saved yet. The reality is, whether you’re looking for your first home or you’ve purchased one before, you most likely don’t need to put 20% down. Here’s why.

According to Freddie Mac:

“The most damaging down payment myth—since it stops the homebuying process before it can start—is the belief that 20% is necessary.”

If saving that much money sounds daunting, potential homebuyers might give up on the dream of homeownership before they even begin – but they don’t have to.

Data in the 2020 Profile of Home Buyers and Sellers from the National Association of Realtors (NAR) indicates that the median down payment actually hasn’t been over 20% since 2005, and even then, that was for repeat buyers, not first-time homebuyers. As the image below shows, today’s median down payment is clearly less than 20%.Do I Really Need a 20% Down Payment to Buy a Home? 

What does this mean for potential homebuyers?

As we can see, the median down payment was lowest for first-time buyers with the 2020 percentage coming in at 7%. If you’re a first-time buyer and putting down 7% still seems high, understand that there are programs that allow qualified buyers to purchase a home with a down payment as low as 3.5%. There are even options like VA loans and USDA loans with no down payment requirements for qualified applicants.

It’s important for potential homebuyers (whether they’re repeat or first-time buyers) to know they likely don’t need to put down 20% of the purchase price, but they do need to do their homework to understand the options available. Be sure to work with trusted professionals from the start to learn what you may qualify for in the homebuying process.

Bottom Line

Don’t let down payment myths keep you from hitting your homeownership goals. If you’re hoping to buy a home this year, let’s connect to review your options.

December 2020 brought 6.76 million in sales, a median sales price of $309,800, and 1.9 months of inventory. The median sales price is up 12.9% year over year, and inventory is down 1.1 months from December 2019.

Want a #protip on buying a home? Right now, it’s all about the negotiation. Today’s housing market is highly competitive for buyers, which means there’s a good chance you’ll face bidding wars and empowered sellers on the path to your dream home. Understanding your position and options gives you the power you need to move through this process smoothly. If you want an expert by your side who can advise you at every step, DM me your questions today.

#homebuyingtips #expertanswers #stayinformed #staycurrent #powerfuldecisions #confidentdecisions #realestate #buyingahome #homebuying #realestategoals #realestatetips #realestatemarket #realestateexperts #realestatetipsandadvice

Some Highlights

·         Choosing the right real estate professional to work with is one of the most important decisions you can make in your homebuying or selling process.

·         The right agent can explain current market conditions and break down exactly what they mean for you.

·         If you’re considering buying or selling a home this year, let’s connect so you can work with someone who has the experience to answer all of your questions about pricing, contracts, negotiations, and more.

Contact us to start the process of buying or selling your home. 602-753-0177

Contact us to see how we can help you find or sell your dream home. 602-753-0177

The National Association of REALTORS® identified the top 10 markets that have shown resilience during this pandemic period and that are expected to perform well in a post-COVID-19 environment. In identifying these markets, NAR considered a variety of indicators that it views to be influential to a metro area’s recovery and growth prospects in a post-pandemic environment in 2021-2022.

In alphabetical order, the Top 10 markets are:

• Atlanta-Sandy Springs-Alpharetta, Georgia

• Boise City, Idaho

• Charleston-North Charleston, South Carolina

• Dallas-Fort Worth-Arlington, Texas

• Des Moines-West Des Moines, Iowa

• Indianapolis-Carmel-Anderson, Indiana

• Madison, Wisconsin

• Phoenix-Mesa-Chandler, Arizona

• Provo-Orem, Utah

• Spokane-Spokane Valley, Washington

• Source: https://www.nar.realtor/infographics/top-ten-markets-during-and-post-covid-19

With the sales price being so large, few sellers stop to think of about ways to minimize the costs of selling their home.  Knowing, monitoring and controlling the costs during the escrow process is key to saving thousands of dollars and to receiving larger proceeds from the transaction. Here are costs to understand:  

• One of the largest costs is commissions paid to the real estate agents. Commissions vary from 5-7% of sales price, depending on the type of real estate transaction. While a lower commission may seem like a winner, many times you get what you pay for in an agent. With so much riding on the selling price, a real estate agent should bring great service, a solid marketing plan and sharp negotiating skills to the table. Great agents will usually see sales prices 10% higher than average! If your agent is bringing less to the table, beware that you may see a lower sales price.
• With every home sale, home owners are required to pay the owner’s Title Policy and to share in the escrow fee paid to the local title/escrow company. While the fees are not negotiable, the title/escrow company used to process the transaction is negotiable. All title/escrow companies publish their fees in rate books which are readily available to review and compare, before you commit to the company.
• Do you live where there is a Home Owners Association (HOA)? If so, then your HOA may charge a transfer fee, disclosure fee, and a capital improvement fee. Few homeowners understand what their HOA will charge them for the transaction, but charges may run from $500-$2000. A quick phone call to the HOA should clarify what fees are charged. While these fees are non-negotiable with the HOA, there is the possibility of negotiating and sharing the cost of these fees with the buyer for your home.
• In any real estate transaction, a home warranty is considered a must purchase for the new buyer. The cost ranges from $325-$600 and is a negotiated item payable by the buyer or the seller. Most home sellers are requested to pick up the cost of a home warranty for the buyer. However, the cost is negotiable.  
• Are you in an area where first time home buyers are known to be moving? If so, you may want to prepare yourself for requests to contribute to the buyer’s loan costs. These contributions are generally up to 3% of purchase price or more.  The contribution covers appraisal fees, A.L.T.A. title policy, impound accounts, origination fees and other loan costs.  While the contribution to buyer loan costs can be very important to getting a home sold, stronger buyers rarely need such assistance. 

Do you want to learn more about ways to control your selling costs and get the most money from the sell of your home? Contact us at (602) 753-0177 or www.ThompsonGroupAZ.com