Geoffrey Disch, Author at Green Escrow Services, Inc

Selling to Millennials

May 28, 2020 By Geoffrey Disch Leave a Comment

Millennials represent one of the largest real estate markets today and it pays to understand how they choose a home.

Online, online, online: Millennials typically do their research and their research is extensively online before they begin to inspect properties in person. Plenty of quality photos, virtual tours, and floor plans are a must.
Tech and quality appliances: Technology has always been a part of millennials’ lives and many look for smart-home accessories such as lights, locks, thermostats etc.
Older, historic homes: Some millennials have a deep appreciation of older architectural styles that display real character and charm. If the home you’re selling has historical details, make sure that is pointed out in your listing.

Mortgage applications increasing

May 21, 2020 By Geoffrey Disch Leave a Comment

Given the current real estate situation during the pandemic – 30-year mortgage rates in the low 3% range and 15-year mortgages below 3% – it’s not surprising that refinancing represents 71.6 percent of all applications (218 percent higher than 2019). What is surprising is that homebuyer applications increased by 12 percent in April (although 20 percent less than last year).

Moreover, listing websites and real estate brokers are reporting somewhat higher buyer activity in the recent weeks indicating that buyer confidence may be increasing.

Of course, the situation remains very much in flux. Unemployment continues to rise – some say it could go as high as 32 percent – while some lenders are limiting mortgage products as the mortgage bailout program unfolds.

Freddie Mac and Fannie Mae to provide deferral options

May 18, 2020 By Geoffrey Disch Leave a Comment

Freddie Mac and Fannie Mae will give homeowners who are having difficulty with mortgage payments to defer payments for up to a year through forbearance. Homeowners will be required to make up any missed payments but they won’t be charged any interest and the payments will be added to the end of their term.

Already nearly 4 million homeowners have taken advantage of the offer.

Both Freddie Mac and Fannie Mae send that loan modifications might also be possible.

2020 – reasons to be active

May 14, 2020 By Geoffrey Disch Leave a Comment

Obviously, no one predicted this for 2020. It looked to a very good year for real estate as the economy was doing well and mortgage approvals were on the rise, indicating more people were ready to purchase a home. While the pandemic has certainly affected the economy (US and the world), it’s not clear what the long-term effects will be n the real estate market.

Obviously, it’s not currently possible to buy or sell in the traditional way. However, if you’re determined and know where to look, it’s possible to get a good deal on a home right now.

Likewise, investment companies will buy your home and remove the uncertainty of how the market might unfold in the months and years ahead.

Repairs before selling

May 11, 2020 By Geoffrey Disch Leave a Comment

When planning to sell your home it’s important to make “cost-effective” repairs so that you can get top dollar for your home but spend more than you will receive in return.

Damaged flooring: Refinishing hardwood floors, replacing worn carpeting and fixing damaged linoleum can go a long way in making your home more attractive.
Old doors and windows: Creaking doors and windows that don’t close properly should be replaced by more modern fixtures to improve the look and energy efficiency of the home.
Paint the walls: Up to 40 percent of home sellers repaint before selling as a fresh coat of paint can go a long way in improving the look and feel of a house.
Basic landscaping: Since the outside is the first thing prospective buyers will see, it makes sense to cut back anything that is overgrown and re-sod if necessary.

Moving to suburbia?

May 7, 2020 By Geoffrey Disch Leave a Comment

The COVID-19 pandemic could result in more Americans moving to the suburbs or even more remote areas according to several recent reports. A Harris Poll states nearly 33 percent of Americans are considering a move to “less densely populated areas.”

CNBC reports that many of New York City’s wealthiest residents are looking to move to areas with more distance from neighbors and crowds. Many are considering a second home in the suburbs with a home office.

Some analysts believe this will be a temporary move such as exodus following the 9/11 attacks. Only time will tell.

Contract signings down 16% in March

May 4, 2020 By Geoffrey Disch Leave a Comment

As mentioned last week, the pandemic is having a strong negative effect on the real estate market. The National Association of Realtors reports that contract signings fell 16.3 percent this year as compared with March 2019.

Of course, social distancing means that in-person home showings are currently not practical and virtual tours are now the norm. Moreover, 43 percent of buyers are suing e-closings.

Currently, home prices remain stable and some analysts predict a modest 1.3 percent increase when 2020 is said and done. Many also believe that the high-end market will see a reduction in home prices.

Impact of pandemic on new-home sales

April 30, 2020 By Geoffrey Disch Leave a Comment

Not surprisingly, March saw a steep decline in new-home sales, although the first quarter of 2020 was actually 6.7 percent higher than the same period in 2019. This is giving some analysts hope that eventually real estate will be an important factor in the economic recovery.

For once, new home inventory increased to a 6.4 month supply in March with the median sales price increasing from $310,600 to $321,400.

The drop in sales was concentrated primarily in the Northeast and West, the areas hit hardest by the pandemic last month.

Selling your home for cash

April 27, 2020 By Geoffrey Disch Leave a Comment

Certainly selling your home for cash has its attractions: quick sale, cash offer. On the downside, you’ll be making less than if sold on the market. Here are some alternatives for selling your home for cash:

iBuyer: You sell your home to an iBuyer for cash who then turns around and markets the home at a higher price. You will pay 7-9% commission to the iBuyer but you will bypass the home inspection, waiting for financing etc. Most iBuyers are not buying homes during the current pandemic crisis.
House Flippers: You are able to sell no matter what shape your home is in; you avoid a real estate commission; you close very quickly and receive cash. However, you will be selling your property for significantly less than what it’s worth.
Cash Real Estate Investor: Buyers who hold onto the property, often renting it out as the value appreciates over time.

Home buying during a pandemic

April 23, 2020 By Geoffrey Disch Leave a Comment

With more and more potential home buyers concerned about health risks during the current pandemic, many are turning to technology to avoid in-person meetings.

Live video tours: An alternative to in-person showings can provide opportunities to ask questions during a walkthrough. Agents can also point out a home’s strengths and weaknesses.
Applying for a loan online: Credit checks, asset verification and automated underwriting tools means an applicant no longer needs to apply for a loan in person.
Appraisers and inspectors: Desktop appraisals are now available and inspectors are now versed in taking all the necessary precautions while being onsite.
Digital and drive-up closings: Digital closings, electronic notarizations, and electronic filing of deeds are all possbile in many areas.