Navy Fellas Realty Group

Real Estate, Residential sales and purchase

Thinking About Selling Your Home Without A Real Estate Agent? Don’t – Here’s Why

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Thinking About Selling Your Home Without A Real Estate Agent Dont Here is WhyIf you’re considering selling your home in the near future, you may be tempted to simply cut out the middleman and opt for an FSBO sale. However, selling a home is a major undertaking, and most “For Sale By Owner” home sales run into obstacles.

So why is an FSBO sale such a problem for most homeowners? Here are three reasons why you’ll want an agent to represent you instead of going it alone.

An FSBO Puts You At Risk Of A Lawsuit

Selling a home involves mountains of paperwork, and in order to make the transfer of ownership legal and above board, there is a large amount of minutiae that need to be considered. For instance, as a seller, you are legally obligated to disclose certain facts about the property: Some jurisdictions require you to disclose whether a death occurred in the home, for example, or if the home is located in a historical district.

Even one seemingly minor mistake could open you up to legal action. An experienced real estate agent already knows everything that needs to be disclosed, and although agents can make mistakes, they have errors and omissions insurance to protect them. Most homeowners don’t have that protection in place.

Buyers’ Agents May Discourage Buyers From Viewing Your Home

When it comes to FSBO deals, most buyers’ agents anticipate the deal being a challenge at best. Buyers’ agents typically only show FSBO properties in one of two cases: Either the price is extremely low or there aren’t any other homes available.

But according to Atlanta real estate agent Bruce Ailion, most experienced agents have had an FSBO transaction go poorly at some point and are now wary of them. Without a real estate agent to represent you, sellers’ agents will be hesitant to deal with you – and you won’t get as many offers on your home as you’d like.

You’ll Need To Discern Qualified Buyers From Dreamers

One thing that most homeowners don’t know is that not everyone who views your home is actively interested in buying it in the near future. Showing your home may mean taking time off work or away from activities you care about, and if the prospect doesn’t end up buying, you’ve wasted your time.

A real estate agent knows what questions to ask in order to weed out the merely curious and find motivated buyers, so you’ll sell your home much faster.

FSBO sales don’t always end in disaster, but they’re considerably difficult to do well. An experienced real estate agent can help you sell your home faster and for more money than you can on your own. Contact your local real estate professional today to learn more.

Comparing Long-Term And Short-Term Rentals

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Comparing Long-Term And Short-Term RentalsOwning rental properties is a great way to diversify investments. Similar to the stock market, homes come in many shapes and forms. Some people are looking for short-term rental properties while other people are looking for long-term rental properties. What are the differences between them, and why might one person choose to own one of these properties over the other?

What Is A Long-Term Rental?

In general, long-term rental property is defined as any property that has a standard lease that is longer than 12 months. Many people think about apartments, condos, and single-family homes as long-term rental properties.

There are several reasons why people might choose a long-term rental property as one of their investment options. With longer leases, there is a consistent stream of income. There is also less to do because there is not as much turnover between residents. Property owners also have fewer responsibilities, as the renters are often responsible for handling utilities.

On the other hand, vacancies in long-term rental properties can last a long time. Some people prefer flexibility in a rental contract, so they might not be interested in a minimum 12-month lease. 

What About A Short-Term Rental?

A short-term rental property is defined as any property with a standard lease that is shorter than 12 months. While this often includes vacation homes, they can also include single-family homes, apartments, and condos.

Many people like owning a short-term rental property because the income is generally higher. People tend to stay for only a few days or weeks at a time, so property owners can charge more for an average night.

One downside of owning a short-term rental property is that this requires more work. The property owner has to clean more often between residents, and there might be more variability in the income stream.

Choose The Right Property

These are just a few of the most important points people need to keep in mind regarding long-term and short-term rental properties. The right option for one person is not necessarily the right option for someone else. Property owners need to think about their personal preferences, the location of the property, and how much work they are willing to do. That way, they can decide whether to go with a short-term or long-term rental property. 

Case-Shiller Home Price Indices: Home Prices Grow at a Near-Record Pace

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Case-Shiller Home Price Indices: Home Prices Grow at a Near-Record PaceU.S home prices grew at a near-record pace in January according to the National S&P Case-Shiller Home Price Index; year-over-year home prices rose by 19.20 percent in January as compared to December’s reading of 18.90 percent. Home prices rose 1.80 percent on a month-to-month basis from December to January.

While home prices continued to grow at near-record rates, home price growth slowed in some areas during  December but picked up in January. Craig M. Lazzara, managing director at S&P Dow Jones Indices, said: “Last fall we observed that home prices, although continuing to rise sharply, had begun to decelerate. Even that modest deceleration was on pause in January.”

The top three cities for home price growth held their places in January. Phoenix, Arizona had the highest pace of home price growth with a year-over-year gain of 32.60 percent; Tampa, Florida reported a year-over-year gain of 30.80 percent. Miami, Florida held third place with a year-over-year home price growth rate 0f 28.10 percent.

All 20 cities tracked by Case-Shiller reported record gains in year-over-year home prices while 16 of 20 cities included in the 20-City Index reported higher home price gains in January than in December.

FHFA House Price Report Shows Strong Growth

The Federal Housing Finance Agency, which oversees Fannie Mae and Freddie Mac, reported that home prices rose by 18.20 percent year-over-year in January. December’s year-over-year growth pace was 17.70 percent for homes owned by Fannie Mae and Freddie Mac.  Home prices rose fastest in the Mountain region, which includes Arizona, Colorado, Idaho, Montana, Nevada, New Mexico Utah, and Wyoming. Year-over-year home prices rose by 23 percent or more in the Mountain region.

Will Doerner, a supervisory economist at FHFA, said: “So far, the mortgage rate growth has not dampened upward price pressure from intense buyer demand and limited supply.” Low inventories of available homes continue to drive demand for homes, but some economists expect the pace of home sales to drop by as much as 25 percent in response to rising mortgage rates. Analysts expect that low inventories of available homes will sustain rising home prices. Homebuyers can expect to compete for available homes as buyers rush to lock in lower mortgage rates; cash buyers and bidding wars can cause home prices to rise above market value in high-demand markets.

What Are The Top Signs You Need To Refinance?

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What Are The Top Signs You Need To Refinance?You might have heard that more people are refinancing these days. During the refinancing process, you essentially take your current home loan and replace it with a different one. You can reduce your mortgage payments, shorten the life of your loan, or withdraw cash you can use for other purposes. What are a few of the signs that indicate you should consider refinancing? 

You Can Secure A Lower Interest Rate

If you think you can secure a lower interest rate on your mortgage, it might be time to refinance. There are a number of reasons why you might be able to get a lower interest rate on your home loan. Your credit score may have improved, you may have paid off some of your other loans (which will improve your debt to income ratio), or the average home loan interest rate may have dropped. If you can get a lower interest rate on your home loan, you may want to refinance and save money. 

Your Income Has Increased Significantly

If your income has gone up significantly since you purchased your house, you might want to pay off your house more quickly. Therefore, you might want to refinance and use larger payments to pay down your home loan more quickly. The bank might also give you better terms if you are willing to make larger payments.

You Are Concerned About Your ARM Mortgage

If you have an adjustable-rate mortgage (ARM), you might be concerned that the interest rate on that mortgage could go up. Therefore, you can refinance your home and convert your ARM mortgage to a fixed-rate mortgage. If you can lock in an interest rate with a fixed-rate mortgage, you do not have to worry about your interest rate increasing in the future. This could save you thousands of dollars over the life of the loan. 

Consider Refinancing Your Home

These are just a few of the signs that you should consider refinancing your mortgage. Everyone is in a slightly different financial situation, so you should work with a professional who can figure out if this is right for you. That way, you can secure the best possible terms for your home loan. 

What’s Ahead For Mortgage Rates This Week – March 28, 2022

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What's Ahead For Mortgage Rates This Week - March 28, 2022Last week’s economic reporting included a speech and press conference by Federal Reserve chair Jerome Powell, data on pending home sales and sales of new homes, and the University of Michigan’s monthly reading on consumer sentiment. Weekly readings on mortgage rates and jobless claims were also published.

Fed Chair: Rate Hikes Above 0.25 Percent May be Needed to Ease Inflation

Federal Reserve chair Jerome Powell said that the Fed is willing to move beyond its recent 0.25 percent rate hike to control inflation.  In a speech made to the National Business Association for Business Economics, Mr.Powell said, “We will take necessary steps to ensure a return to price stability. In particular, if we conclude that it is appropriate to move more aggressively by raising the federal funds rate by more than 25 basis points at  a meeting or meetings, we will do so.” Mr. Powell clarified that the Fed is willing to raise rates as needed to control inflation. He predicted that the Fed would raise its key interest rate to 1.90 percent this year and 2,8 percent in 2023.

Mortgage Rates Rise Again as Sales of New Homes Fall

Freddie Mac reported higher mortgage rates last week as rates for 30-year fixed-rate mortgages rose 26 basis points and averaged 4.42 percent; the average rate for 15-year fixed-rate mortgages rose by 24 basis points to 3.63 percent. The average rate for 5/1 adjustable rate mortgages rose by 17 basis points to 3.36 percent. Discount points averaged 0.80 percent for fixed-rate mortgages and 0.30 percent for 5/1 adjustable rate mortgages.

The combined impact of rising home prices and mortgage rates caused sales of new homes to fall in February.  772,000 new homes were sold on a seasonally-adjusted annual basis as compared to expectations of 805,000 sales and January’s reading of 788,000 new homes sold.

Initial jobless claims fell last week to 187,000 claims filed as compared to expectations of 210,000 new claims filed and the prior week’s reading of 215,000 first-time jobless claims filed. Continuing jobless claims fell to 1.35 million filings as compared to the previous week’s reading of 1.42 million jobless claims filed on a seasonally-adjusted annual basis.  

The University of Michigan’s final Consumer Sentiment Index for March showed consumer skepticism about current economic conditions. The March index reading was 59.4 as compared to the expected reading of 59.7, which matched February’s index reading for consumer sentiment.

What’s Ahead

This week’s scheduled economic reporting includes readings from Case-Shiller Home Price Indices, The Federal Housing Finance Administration’s House Price Index, and data on public and private-sector jobs growth. The national unemployment rate will be published along with weekly readings on mortgage rates and jobless claims.

5 Easy Ways to Brighten up Your Curb Appeal

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5 Easy Ways to Brighten up Your Curb AppealIt can be easy to forget, but the first thing people will see when they come to your home is the outside, so it’s important to have a well-maintained and picturesque property that represents the inside of your home positively. If you’re looking for a few ways to boost your outdoor space, here are a few tips to help with curb appeal.

Plant A Flower Bed

Whether you decide on a tiny plot or a much larger space, a splash of flowers is great for adding a warm, homey atmosphere to your front yard. This can easily be done by going to your local nursery, picking out some easy-to-maintain perennials and watching the blooms begin to appear.

Trim The Hedges

It’s entirely possible that you have a few trees or shrubs in your yard that have gotten a little bit unruly, but a little time with the snippers for some shaping and the look of your yard will be automatically improved! If you have any shrubs or small trees that have seen better days, you may want to remove and replace.

A Fresh Coat Of Paint

It’s quite common to hear how much a layer of paint can improve things but this is especially true when it comes to your front door. While a tired and dull looking door can reflect poorly on the house within, a new coat of paint will add instant shimmer to your exterior.

Keep It Tidy

Whether you have kids who love to play in the yard or you’ve been doing a little lawn maintenance, leaving out toys or shovels and wheelbarrows can really take a lot away from your property’s look. While you may only be planning on keeping these items out for the short term, a quick pick up at the end of each day makes a marked difference.

Make A Stone Pathway

It may not be something you need, but a whimsical walkway with flattened stones can add a nice touch to your property and make it stand out. If you’re feeling ambitious, you may even want to add a bench or a birdbath to make for a unique escape for your family.

There are a lot of simple fixes you can utilize that will instantly boost the look of your home’s exterior. If you’re fixing up the outside of your home in the hopes of putting your property on the market, contact your trusted local real estate professional for more information.