- Younger homebuyers are discouraged
- Potential buyers are re-evaluating their options
- Buying a house can be tough but not impossible
Many Homebuyers are Dropping Out of the Market (CNN, Jul. 12, 2021)
Find out how the stock market impacts home sales and discover where homes ore overpriced or underpriced. Uncover why some home sellers are increasing their prices after listing.
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NAR Library & Archives has already done the research for you. References (formerly Field Guides) offer links to articles, eBooks, websites, statistics, and more to provide a comprehensive overview of perspectives. EBSCO articles (E) are available only to NAR members and require the member's nar.realtor login.
Coronavirus and REALTORS®
The National Association of REALTORS® is aware that REALTORS® and consumers will be forced to change their business, buying, and selling habits in the midst of the Coronavirus pandemic. We know that there is an overwhelming amount of news and advice being circulated, and new information to process every day. To make sure our members have the most up-to-date information as possible, we have created a Coronavirus page, which can be accessed at https://www.nar.realtor/coronavirus.
Adjusting Your Strategies in a Changing Market
How to Maximize Instagram for Your Real Estate Business (RISMedia, Jul. 21, 2021)
To promote listings, choose a few of your best, eye-catching listing photos to post. Add some information from your listing description and be sure to include any unique or “sellable” features in the home, such as an updated kitchen, a large backyard or a pool. Take this a step further and host live virtual home tours on IGTV or pre-record them to share on your stories later. This will offer your audience a chance to see into the home in a casual and fun way. While live, you can also answer questions in real-time, increasing your engagement.
Why the Stock Market Drop Could Help—and Hurt—Homebuyers (realtor.com®, Jul. 19, 2021)
However, if the stock market is down, fewer people have the money to buy homes. That’s particularly true of wealthier buyers or those looking for second or even third homes. It could even mean some folks, financially dependent on the health of the stock market, have to trim their budgets.
Bidding Wars and 'Meaningless' List Prices: Buying a House in the Bay Area (NBC News, Jul. 16, 2021)
That lack of supply combined with the uptick in competition for properties has pushed middle-income families, which David defines as those households earning $85,000-$150,000, out of the neighborhoods they grew up in or, in some cases, into homelessness, he said.
Many Homebuyers are Dropping Out of the Market (CNN, Jul. 12, 2021)
Up against all-cash offers they can't match and a feeding frenzy on each house they visit, many buyers are dropping out of the market and opting to wait it out and reevaluate their options.
Working With Clients
Burned by Hot Housing Market, Some Buyers Back Off (The New York Times, Jul. 23, 2021)
Mark Boyland, a realtor with Keller Williams in Bedford, N.Y., is noticing “some buyer fatigue out there,” he said. “If you’ve lost out on four or five multiple offer situations, you say: ‘Maybe we should wait until things cool off.’ ”
Some Sellers are Bumping Up Their Asking Prices After They List. Here’s Why (Real Estate/Boston.com, Jul. 19, 2021)
“Sometimes just to get more action on a listing, you’ll see people maybe drop by $1,000 or go up just a little bit because it refreshes on everyone’s feed,” said Craig Lake, a senior vice president at Compass and the listing agent of the Lovejoy Wharf penthouse. “Interestingly enough, I have two requests to show after raising the price, just because it becomes fresh again in someone’s MLS feed or property search.”
In Seattle’s Hot Housing Market, Nearly a Quarter of Sales are All Cash (The Seattle Times, Jul. 16, 2021)
Local brokers say the tech industry, boasting employees with high salaries and stock-option packages, is a driving force of cash purchases here. Cash shoppers looking for their own home or second homes are drawn to some of the area’s priciest neighborhoods, while investors may pay all cash to acquire midpriced rental properties that can turn a profit, agents said.
Seattle-Area Home Shoppers Find Some Signs of Hope — But Prices are Climbing at a Daunting Pace (The Seattle Times, Jul. 7, 2021)
After a year of breakneck growth in home prices and aggressive bidding wars among buyers, agents say the usual summer slowdown is starting to arrive. But it’s all relative. When listing homes for sale, “instead of having 10 offers, they have six offers,” said Snohomish County Coldwell Banker Bain agent Eric Gouge.
Tips for Buyers and Sellers
Read the Telltale Signs That Can Signal a Home is Right for You (The Orange County Register, Jul. 22, 2021)
So, don’t just pay attention to a home’s features, finishings and financials. Be like the Kung-Fu master coaching young Grasshopper. Take in all the other signs around at every point in the process. These may lead you to a wonderful outcome, or they may help you steer clear of a train wreck, a money pit, or worse, perhaps a haunted house.
Out of Sync: Where Homes are Selling the Most Over (and Under) Asking Price (realtor.com®, Jul 19, 2021)
Like the rest of the Bay Area, Berkeley’s housing market has soared over the years due to the tech boom. Its current median home price is $1.2 million. Bidding wars can drive these astronomical prices even higher, with homes selling about 19% above asking on average.
These Outdoor Features Will Help You Sell Fast (RISMedia, Jul. 19, 2021)
For many buyers, privacy is a top priority. Whether you have large hedges or a tall fence around your property, be sure to point this out in your listing. For homes in a neighborhood where neighbors are close in proximity, this is especially important. If you do not have a fence or another form of privacy around your property, serious buyers may request this as part of their negotiation, so consider adding this feature before you list your home to avoid major costs later on.
5 Contingencies You Should Never Remove When Buying a House (realtor.com®, Jul. 13, 2021)
Another contingency that should never be slashed is the well water/septic system inspection. “Surprisingly, this one often gets overlooked or waived, but I would never encourage a client to do that,” DeSimone says. “This is water that you’ll be drinking and bathing in. We’ve seen the health consequences that bad water has had in communities across the country in recent years. As with mold, this is an issue that can be very expensive to fix—a septic system can cost tens of thousands of dollars—and it has serious ramifications for your health.”
eBooks & Other Resources
The following eBooks and digital audiobooks are available to NAR members:
The Altman Close (Audiobook)
Positively Resilient (eBook)
Housing Downturn (eBook)
The Upside of the Downturn (eBook)
Surviving a Downturn (eBook)
Thrive on Pressure (eBook)
Timing the Real Estate Market (eBook)
Books, Videos, Research Reports & More
The resources below are available for loan through the Library & Archives. Up to three books, tapes, CDs and/or DVDs can be borrowed for 30 days from the library for a nominal fee of $10. Call the Library & Archives at 800-874-6500 for assistance.
Heart and Sold: How to Survive and Build a Recession-Proof Business (New York, NY: Atria Paperback, 2009) HD1382 .F58 2009
The Housing Downturn, Picking Up the Pieces: A Guide for Estate Agents and Developers (London: Estates Gazette, 2009) HD598 .N67 2009
Shift: How Top Real Estate Agents Tackle Tough Times (New York, NY: McGraw Hill, 2009) HD1375 .K367 2009
All Real Estate is Local: What You Need to Know to Profit in Real Estate – in a Buyer's and a Seller's Market (New York, NY: Currency Doubleday, 2007) HD255 .L464 2007
Prepare to Profit: Your Guide to Creating Wealth in any Real Estate Market (Murietta, GA: TamTam Press, 2007) HG 4521 Al2
Real Estate Millions in Any Market: the Lowdown on No-Down Investing (Hoboken, NJ: John Wiley & Sons, 2004) HD255 .E3713 2004
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