Queens and Long Island Real Estate BlogRecently posted or modified blog postshttps://www.thetayebgroup.com/blog/Copyright TheTayebGroup.com2021-10-25T12:08:12-07:00tag:thetayebgroup.com,2012-09-20:7362How's the Market in Queens, NY - September 2021 Update2021-10-25T12:07:28-07:002021-10-25T12:08:12-07:00John Tayebtag:thetayebgroup.com,2012-09-20:3984Does Your Home Have What Buyers Are Looking For?
<img src="https://assets.site-static.com/userfiles/2209/image/home_buyers_trends_2020_Blog_post.jpg" width="900" height="506" alt="home buyers trends 2020" />
There’s great opportunity for today’s homeowners to sell their houses and make a move, yet due to the impact of the ongoing health crisis, some sellers are taking their time coming back to the market. <a href="https://www.realtor.com/research/housing-market-recovery-index-trends-july-4-data/" title="According" target="_blank" rel="noopener noreferrer">According</a> to Javier Vivas, Director of Economic Research at realtor.com:
“Sellers continue returning to the market at a cautious pace and further improvement could be constrained by lingering coronavirus concerns, economic uncertainty, and civil unrest.”
For homeowners who need a little nudge of motivation to get back in the game, it’s good to know that buyers are <a href="https://www.simplifyingthemarket.com/2020/07/08/best-time-to-sell-when-competition-is-at-an-all-time-low/?a=511070-74c17aa4b4815cdf9f14b619dc8b7341" title="ready to purchase" target="_blank" rel="noopener noreferrer">ready to purchase</a> this season. After spending several months at home and re-evaluating what they truly want and need in their space, buyers are ready and they’re in the market now. Lawrence Yun, Chief Economist at the National Association of Realtors (NAR) <a href="https://www.nar.realtor/newsroom/strong-majority-of-realtors-say-market-is-in-recovery-phase-of-pandemic-as-buyers-return" title="explains" target="_blank" rel="noopener noreferrer">explains</a>:
“A number of potential buyers noted stalled plans due to the pandemic and that has led to more urgency and a pent-up demand to buy…After being home for months on end – in a home they already wanted to leave – buyers are reminded how much their current home may lack certain desired features or amenities.”
The latest Market Recovery Survey from NAR <a href="https://www.nar.realtor/sites/default/files/documents/2020-market-recovery-survey-07-09-2020.pdf" title="shares" target="_blank" rel="noopener noreferrer">shares</a> some of the features and amenities buyers are looking for, especially since the health crisis has shifted many buyer priorities. The most common home features cited as increasingly important are home offices and space to accommodate family members new to the residence (See graph below):<img class="aligncenter wp-image-94699" src="https://files.mykcm.com/2020/07/15121422/20200716-MEM-ENG.jpg" alt="features home Buyers Are Looking For in 2020" width="1000" height="563" />
Check out these<a href="https://bit.ly/NassauSuffolkHomesWithFabOutdoors" title="Nassau & Suffolk homes with fabulous outdoor space " target="_blank"> impressive Nassau & Suffolk counties homes</a> with fabulous outdoor space.
<a href="https://bit.ly/NassauSuffolkHomesWithFabOutdoors" title="beautiful homes in Nassau and Suffolk" target="_blank"><img src="https://assets.site-static.com/userfiles/2209/image/nassu_suffolk_Blog_post_link.jpg" width="900" height="506" alt="Nassau Suffolk New York homes with great backyards" /></a>
The survey results also show that among buyers who indicate they would now like to live in a different area due to COVID-19, 47% have an interest in purchasing in the <a href="https://www.simplifyingthemarket.com/2020/05/13/a-surprising-shift-to-the-burbs-may-be-on-the-rise/?a=511070-74c17aa4b4815cdf9f14b619dc8b7341" title="suburbs" target="_blank" rel="noopener noreferrer">suburbs</a>, 39% cite <a href="https://www.simplifyingthemarket.com/2020/07/02/is-the-health-crisis-driving-buyers-out-of-urban-areas/?a=511070-74c17aa4b4815cdf9f14b619dc8b7341" title="rural" target="_blank" rel="noopener noreferrer">rural</a> areas, and 25% indicate a desire to be in small towns.
As we can see, buyers are eager to find a new home, but there’s a big challenge in the market: a lack of homes available to purchase. Danielle Hale, Chief Economist at realtor.com <a href="https://www.realtor.com/research/video-weekly-economic-and-housing-market-update-july-2-2020/" title="explains" target="_blank" rel="noopener noreferrer">explains</a>:
“The realtor.com June Housing Trends Report showed that buyers still outnumber sellers which is causing the gap in time on market to shrink, prices to grow at a faster pace than pre-COVID, and the number of homes available for sale to decrease by more than last month. These trends play out similarly in the most recent week’s data with the change in time on market being most notable. In the most recent week homes sat on the market just 7 days longer than last year whereas the rest of June saw homes sit 2 weeks or more longer than last year.”
In essence, home sales are picking up speed and buyers are purchasing them at a faster rate than they’re coming to the market. Hale continues to say:
“The housing market has plenty of buyers who would benefit from a few more sellers. If the virus can be contained and home prices continue to grow, this may help bring sellers back to the housing market.”
Bottom Line
If you’re considering selling and your current house has some of the features today’s buyers are looking for, let's connect. You’ll likely be able to sell at the best price, in the least amount of time, and will be able to take advantage of the <a href="https://www.simplifyingthemarket.com/2020/07/15/mortgage-rates-hit-record-lows-for-three-consecutive-weeks/?a=511070-74c17aa4b4815cdf9f14b619dc8b7341" title="low interest rates" target="_blank">low interest rates</a> available right now when buying your new home.
<a href="https://www.thetayebgroup.com/sellers/free-market-analysis/" title="free home valuation tool" target="_blank"><img src="https://assets.site-static.com/userfiles/2209/image/home_value_image_.png" width="1000" height="55" alt="home valuation tool 2020" /></a>
2020-07-18T13:10:00-07:002020-07-20T14:00:50-07:00John Tayebtag:thetayebgroup.com,2012-09-20:3953Americans Rank Real Estate Best Investment for 7 Years Running [INFOGRAPHIC]<img src="https://assets.site-static.com/userfiles/2209/image/smartmockups_kcj9qbyt.jpg" width="800" height="450" alt="best investments in 2020" />
Some Highlights
Real estate has outranked stocks, savings accounts, and gold as the best long-term <a href="https://news.gallup.com/poll/309233/stock-investments-lose-luster-covid-sell-off.aspx" title="investment" target="_blank">investment</a> among Americans for the past 7 years.
The belief in the stability of housing as a long-term investment remains strong, despite the many challenges our economy faces today.
Of the four listed, real estate is also the only investment you can also live in. That’s a big win!<br /><br /><br />
<img src="https://assets.site-static.com/userfiles/2209/image/20200710-NM-scaled.jpg" width="900" height="918" alt="americas best investment classes in 2020" style="caret-color: #000000; color: #000000;" />
Whether you’re looking to buy or sell, there’s great motivation to be in the housing market, especially with mortgage rates hovering at this historic all-time low.
If you need help buying anywhere in Queens, Brooklyn, Bronx, or Long Island, we would love to help. <a href="https://www.thetayebgroup.com/contact/" title="Contact Tayeb Group" target="_blank">Connect</a> with us today. 2020-07-12T09:06:00-07:002020-07-12T09:20:03-07:00John Tayebtag:thetayebgroup.com,2012-09-20:3802Is Getting a Home Mortgage Still Too Difficult?<img src="https://assets.site-static.com/userfiles/2209/image/mtg_loan_blog_07_2020.jpg" width="800" height="450" alt="mortgage loan applications in 2020" />
Potential homebuyers are always cautioned to be aware of mortgage lending standards and the difficulty they might face when trying to obtain a mortgage. Credit availability is expanding, making it easier to get a mortgage now than it was a year ago. The market is still tight however, and homebuyers should be prepared to shop around until they find a lender who is offering something that will meet the needs of their family.
Mortgage lending companies have high standards so it is important to make sure you and anyone else who will be included on the mortgage have their credit in check. The mortgage market is strict because lenders do not want to be put in a situation where they are forced to repurchase loans that are not paid on. They also do not want to end up in a litigation situation due to loan issues.
What Has Happened to the Number of Mortgages?
Due to the strict nature and requirements of the lending companies, the number of mortgages given out has significantly dropped. A report by the Housing Financial Policy Center at the Urban Institute showed that about 6.3 million fewer mortgages were given out between 2009 and 2015. The reasons behind this statistic are strict regulations and policies. These mortgages would have been granted if the lending standards where more reasonable.
Mortgage companies rely on calculations to determine if a home buyer will become delinquent on their payment. They will not give you a loan if you are too much of a risk for them. Credit history has a huge impact on this decision since lenders can see how often you pay back your debts. The history they receive is extensive. This view into your financial past causes lenders to take less risk when lending to you for your mortgage.
The Effect on the Economy
The housing market is recovering at a slower pace than it should since less potential homebuyers are being offered loans. While the market is still recovering with positive trends, fewer buyers can create a strain on other economic factors like home goods or construction jobs. Bottom Line
After the housing market boom and bust, mortgage lenders became stricter in their lending standards. It is not impossible to get a mortgage loan, but it can still be difficult for potential home buyers. Stay on top of your credit and make sure you and anyone else who is applying are in a good financial position so you can be approved for a loan. It is important to research different companies and their requirements to ensure success in getting a mortgage.2020-06-15T10:28:00-07:002020-07-06T05:49:53-07:00John Tayebtag:thetayebgroup.com,2012-09-20:3801Why You Should Consider Selling in the Winter<img src="https://assets.site-static.com/userfiles/2209/image/sell_in_winter_blog_post.jpg" width="800" height="450" alt="sell your home during winter time" />
The season you sell your home can have an impact on how much you get for your home and how quickly it sells. The season that has the most success in selling homes is spring. This is a good time of year for families moving to new school districts and is also more convenient weather for moving. Because of this trend, most people will recommend waiting to list your home until after the winter is over. Avoiding the winter is a huge misconception in the housing industry and can cause homeowners to miss out on opportunities.
Selling in the winter can give you a few advantages. There will be fewer houses on the market since most people assume winter is a bad time to sell. This gives your home more attention. Potential buyers are always looking no matter the time of year. Keeping your house on the market in the winter might bring the right buyer to your door. Real estate agents also tend to be less busy during these months and commit more time to getting your home sold.
Studies have shown winter buyers are buying because they need to move right away either for a relocation or personal situation. They will want to close quickly and allow for a much smoother sale.
Bottom Line
If you need to sell your home right away, or have some time but want to see what is out there, consider listing in the winter. Most homeowners who are going to sell will list their home in the spring, making for a competitive market. The winter allows buyers who are in a hurry to move consider your home and sell for more money than you would have in the spring.2020-06-15T10:28:00-07:002020-07-06T05:48:54-07:00John Tayebtag:thetayebgroup.com,2012-09-20:3800Common Things to Look Out for Before Buying Your Dream Home<img src="https://assets.site-static.com/userfiles/2209/image/before_buying_dream_home.jpg" width="800" height="450" alt="Common Things to Look Out for Before Buying Your Dream Home" />
It is easy to become overwhelmed when you enter the home buying market. Friends, family, colleagues, and even acquaintances will give you their opinions if you are a first time home buyer. While most of them are looking out for your best interest, they are not fully aware of what is happening in the housing market.
It is important for you to be prepared and have your own questions ready. No matter what other opinions you are getting, you are the one buying the home and your comfort level will help make your final decision. Here are three important questions to ask before you purchase a home.
1. Why am I Buying a Home?
Regardless of the finances, it is important to think about what made you want to buy a home in the first place. Usually the reasons don’t have to do with money. Instead, home buyers are focused on how the house will impact their family in the future. A study done by the Joint Center for House Studies at Harvard found there are four reasons people buy a home. Those reasons include schools for your children, a safe environment, more room for your family to grow, and control of your own space.
These factors are the most common reasons people look to buy a new home. When you ask yourself why you are looking to purchase a home, do any of those factors come up? Spend time with your spouse or family members who are involved in this decision and determine why you want a home in the first place. Creating this list will help when searching for a home and can help your real estate agent find the best home for your needs.
2. What is the Trend with Home Values?
Our current economy and housing market is strong. That means home values and mortgage rates are increasing. If you are looking to purchase a home but want to stay within a budget, it may be in your best interest to move quickly. It is forecasted for these trends to continue in an upward motion, causing home values to continue to increase.
3. What About Current Mortgage Rates?
The ticket price is not the only thing you should be concerned with when purchasing a home. Mortgage rates are always changing and can have a huge impact on your monthly payments. Current trends show mortgage rates are rising. This is something to consider if you are debating the right time to purchase a home, since the rates may be even higher down the road.
Bottom Line
You and your family are the only ones who can determine the right time to purchase your dream home. It is important to decide exactly why you want a new home for your family and decide on a budget that will be comfortable moving forward. This budget may affect the amount of time you have to search for a home, since home prices and mortgage rates are increasing. 2020-06-15T10:28:00-07:002020-07-06T05:47:26-07:00John Tayebtag:thetayebgroup.com,2012-09-20:3799Will Increasing Mortgage Rates Impact Home Prices?<img src="https://assets.site-static.com/userfiles/2209/image/mtg_rates_home_prices.jpg" width="800" height="450" alt="Will Increasing Mortgage Rates Impact Home Prices" />
There has been some discussion recently on home prices in relation to mortgage rates. Some believe if there is a rapid rise of mortgage rates, home prices should decrease. Logically it makes the most sense for the price of the house to drop when interest rates are rising, but this is not always the case.
This theory of home prices decreasing is typically discussed by future home buyers. As a buyer you would like to think if you are paying higher rates on your mortgage, you should be able to see a decrease in cost somewhere else. Unfortunately, these rates are rising because the economy is in better shape. As the economy succeeds, incomes rise, rates go up, as well as the price of the home.
A recent study by the John Burns Real Estate Consulting found mortgage rates have very little impact on the cost of the home. The housing market and price increases are affected by things like job growth in the area and rising wages. Coincidentally, these same factors are causing the rise in the mortgage rates since people can afford to take out more.
Bottom Line
As the economy progresses and strengthens, mortgage rates and home prices will fluctuate. It is a misconception as rates increase, home prices will decrease. Advances in the economy have shown that rates and home prices are more likely to increase together.2020-06-15T10:28:00-07:002020-07-06T05:41:38-07:00John Tayeb