March 11, 2020

Confidence Is the Key to Success for Young Homebuyers

Confidence Is the Key to Success for Young Homebuyers

Confidence Is the Key to Success for Young Homebuyers | MyKCM

Buying your first home can seem overwhelming. Thankfully, there’s a lot of great information out there to help you feel more confident as you learn about the process. For those in younger generations who aspire to buy, here are three things to consider sooner rather than later in your journey:

1. Understand What it Takes to Purchase a Home

Overall, Millennials make up the largest group of homebuyers in today’s real estate market, and Gen Z is not too far behind. A recent study shared by Freddie Mac shows, however, that Generation Z isn’t as confident in the homebuying process as Millennials. The best thing potential young buyers can do is understand what it takes to buy a home. Learn as much as you can about the mortgage processdown payment options, and the overall steps to take along the way. 

2. Realize Your Opportunity to Build Wealth 

Homeownership allows you the chance to put a small portion of the home’s value down when you buy, and then watch your appreciation grow on the full value of the home – not just on the down payment. It’s one of the best investments you can make, and a form of forced savings working in your favor over time. The added bonus? You get to live there, too.

3. Find Someone You Trust to Help You Through the Process 

Having someone you trust to guide you through this process is invaluable. Finding a local real estate expert to help you navigate through the transaction and feel more confident as you make important decisions could be the best choice you make.

For Millennials and Gen Z’ers thinking about buying, today’s historically low interest rates combined with the outlook for future home appreciation is a big win. This means whatever you buy today, you’ll be bragging about 10 years from now. You can feel confident about that!

Bottom Line

If you’re ready, buying your first home sooner rather than later is one of the best decisions you can make. But there are many things to consider before taking that step, so let’s work together to help you confidently navigate the full journey.

March 10, 2020

Equity Gain Growing in Nearly Every State

Equity Gain Growing in Nearly Every State

Equity Gain Growing in Nearly Every State | MyKCM

Rising home prices have been in the news a lot lately, and much of the focus is on whether they’re accelerating too quickly and how sustainable the growth in prices really is. One of the often-overlooked benefits of rising prices, however, is the impact they have on a homeowner’s equity position.

Home equity is defined as the difference between a home's fair market value and the outstanding balance of all liens on the property. While homeowners pay down their mortgages, the amount of equity they have in their homes climbs each time the value increases.

Today, the number of homeowners that currently have significant equity in their homes is growing. According to the Census Bureau, 38% of all homes in the country are mortgage-free.  In a home equity studyATTOM Data Solutions revealed that of the 54.5 million homes with a mortgage, 26.7% of them have at least 50% equity. That number has been increasing over the last eight years.

CoreLogic also notes:

“…the average homeowner gained approximately $5,300 in equity during the past year.”

The map below shows a breakdown of the increasing equity gain across the country, painting a clear picture that home equity is growing in nearly every state.Equity Gain Growing in Nearly Every State | MyKCM

Bottom Line

This may be the year to take advantage of your home equity by applying it forward, either as you downsize or as you move up to a new home.

March 9, 2020

New Homes Coming to the Housing Market This Year

New Homes Coming to the Housing Market This Year

New Homes Coming to the Housing Market This Year | MyKCM

The number of building permits issued for single-family homes is the best indicator of how many newly built homes will begin to come to market over the next few months. According to the latest U.S. Census Bureau and U.S. Department of Housing & Urban Development Residential Construction Report, the number of building permits issued in January was 1,551,000. This is a 9.2% increase from December.

How will this impact buyers?

New inventory means more options. Lawrence Yun, Chief Economist at the National Association of Realtors (NAR), explained how this is good news for the housing market – especially for those looking to buy:

“More construction will mean more housing inventory for consumers in the later months of this year…Spring months could still be quite tough for buyers since it takes time to convert housing starts into actual housing completions.”

How will this impact sellers?

More inventory means more competition. Yun continues to say:

“As trade-up buyers move into these newly completed homes in the near future, their existing homes will be released onto the market.”

Today, because of the tremendous lack of inventory, a seller can potentially anticipate:

  1. great sale price on their house as buyers engage in potential bidding wars.
  2. quick sale as buyers have little inventory to choose from.
  3. Fewer hassles as buyers want to smoothly secure a contract.

Bottom Line

If you’re considering selling your house, you’ll want to list sooner rather than later. This way, you’ll get ahead of this new competition coming to market and ensure the most attention toward your listing and the best price for your house.

March 5, 2020

Key Realty Toledo | Real Estate Is Soaring, But Not Like 2008

Real Estate Is Soaring, But Not Like 2008

Real Estate Is Soaring, But Not Like 2008 | MyKCM

Unlike last year, the residential real estate market kicked off 2020 with a bang! In their latest Monthly Mortgage MonitorBlack Knight proclaimed:

“The housing market is heating entering 2020 and recent rate declines could continue that trend, a sharp contrast to the strong cooling that was seen at this same time last year.”

Zillow revealed they’re also seeing a robust beginning to the year. Jeff Tucker, Zillow Economist, said:

"Our first look at 2020 data suggests that we could see the most competitive home shopping season in years, as buyers are already competing over…homes for sale.”

Buying demand is very strong. The latest Showing Index from ShowingTime reported a 20.2% year-over-year increase in purchaser traffic across the country, the sixth consecutive month of nationwide growth, and the largest increase in the history of the index.

The even better news is that buyers are not just looking. The latest Existing Home Sales Report from the National Association of Realtors (NAR) showed that closed sales increased 9.6% from a year ago.

This increase in overall activity has caused Zelman & Associates to increase their projection for home price appreciation in 2020 from 3.7% to 4.7%.

Are we headed for another housing crash like we had last decade?

Whenever price appreciation begins to accelerate, the fear of the last housing boom and bust creeps into the minds of the American population. The pain felt during the last housing crash scarred us deeply, and understandably so. The crash led us into the Great Recession of 2008.

If we take a closer look, however, we can see the current situation is nothing like it was in the last decade. As an example, let’s look at price appreciation for the six years prior to the last boom (2006) and compare it to the last six years:Real Estate Is Soaring, But Not Like 2008 | MyKCMThere’s a stark difference between these two periods of time. Normal appreciation is 3.6%, so while current appreciation is higher than the historic norm, it’s certainly not accelerating beyond control as it did leading up to the housing crash.

Today, the strength of the housing market is actually helping prevent a setback in the overall economy. In a recent post, Odeta Kushi, Deputy Chief Economist for First American explained:

“While the housing crisis is still fresh on the minds of many, and was the catalyst of the Great Recession, the U.S. housing market has weathered all other recessions since 1980. With the exception of the Great Recession, house price appreciation hardly skipped a beat and year-over-year existing-home sales growth barely declined in all the other previous recessions in the last 40 years…In 2020, we argue the housing market is more likely poised to help stave off recession than fall victim to it.”

Bottom Line

The year has started off very nicely for the residential housing market. If you’re thinking of buying or selling, now may be the time to get together to discuss your options.

Feb. 27, 2020

Key Realty Toledo | 10 Steps to Buying a Home

10 Steps to Buying a Home [INFOGRAPHIC] | MyKCM

Some Highlights:

  • If you’re thinking of buying a home and you’re not sure where to start, you’re not alone.
  • Here’s a guide with 10 simple steps to follow in the homebuying process.
  • Be sure to work with a trusted real estate professional to find out the specifics of what to do in your local area.

Key Realty Toledo

Feb. 26, 2020

Toledo Ohio Real Estate | February 2020

Key Realty Toledo Market Update

The Northwest Ohio real estate market is continually changing. The links below are updated in real-time. To view the most recent listings and sold properties in your area, click on the city below. Considering a sale, use our property valuation tool in the right sidebar to find out what your home is worth. 

Newest Listings Below: 

Bowling Green, Holland, Maumee, Monclova, Oregon, Ottawa Hills, Perrysburg, Rossford, Sylvania, Whitehouse, Waterville, Other Areas

Most Recent Solds Below: 

Bowling Green, Holland, Maumee, Monclova, Oregon, Ottawa Hills, Perrysburg, Rossford, South Toledo, Sylvania, West Toledo, Whitehouse, Waterville, Other Area

See Detailed Stats Below: 

Key Realty Toledo

 

The Hardest Working Agent In NW Ohio
I am always available
Brad Plocek, Realtor
Key Realty Ltd., Toledo Ohio
(419) 320-2129
Key Realty Agent
July 11, 2017

That Small Backyard Can Still Be a Selling Point

By Melissa Dittmann Tracey, REALTOR® Magazine 

Don’t underestimate the power of a space based on its size. Sure, your listing may be size-challenged in the yard department, but that doesn’t mean it can’t still be a showpiece.

“As building lots continue to be smaller and scarcer, lot preparation with the goal of maximizing livable outdoor space tops the list of property enhancement desires,” according to Kermit Baker, chief economist at the American Institute of Architects. Indeed, the desire for outdoor living space ranked tops among architects for landscaping trends in the first quarter of 2017 AIA survey. Blended indoor/outdoor living came in second. 

In the latest issue of REALTOR® Magazine, we took a look at How to Make a Big Statement With a Small Yard.

There are plenty of ways you can enhance a small space and several design experts showed us how, from setting a focal point to using reflective materials, tweaking the furnishing scale, accenting with container gardens and layering the light. Read tips on each, and take a look at a few examples.

 Show off the green

Prune plants so they’re more vertical than horizontal, training them to grow up rather than out. Also, consider creating a vertical wall of planters, like containers of ornamental grasses. You can also raise plant height by several feet using retaining walls, raised beds, or extra long, slender containers.

Photo courtesy: Dennis Hammett, Ebby Halliday REALTORS(R)

 

Photo Credit: Photos by Linda Oyama Bryan for Mariani Landscape, Lake Bluff, Ill., a member of the National Association of Landscape Professionals

 

Create functional, inviting spaces

Even a small backyard can show off a dining space or an area with comfy chairs around a fire pit. Show how the space can be used for entertaining.


Photo Credit: Photos by Linda Oyama Bryan for Mariani Landscape, Lake Bluff, Ill., a member of the National Association of Landscape Professionals ]

Accentuate the far side of the yard

By getting buyers to gaze across a stretch of yard, you’ll help make the space feel larger. For example, place a bench at the far side of the landscape, surrounded by lush greenery.

Photo courtesy Costa Farms

 

July 11, 2017

Veteran and active-military homebuyers

May’s Military Appreciation Month is a time to honor the country’s veterans and active service members and their families and recognize them for their sacrifices.

One of the most useful benefits afforded to military personnel is access to Veterans Administration, or VA, home loans, which offer  100 percent financing for veteran and active-service homebuyers to achieve their dreams of owning their own home. According to NAR’s 2016 Profile of Home Buyers and Sellers, 18 percent of recent home buyers identified themselves as veterans and 2 percent as active-duty service members; of all buyers last year 12 percent made their purchase with a VA loan.

When it comes to homeownership, NAR’s 2016 Veterans & Active Military Home Buyers and Sellers Profile, found that young active-service buyers (ages 18-35) value owning a home of their own and bought at a far greater rate (51 percent) than non-military buyers (34 percent), despite having a lower median incomes. NAR Chief Economist Lawrence Yun surmised that more stable job security and no down payment financing options, like VA loans, give potential home buyers in the military a deserving advantage over their civilian peers.

The report also found that VA loans –– which are the most popular loan type for active-service and veteran buyers – lead to the majority of active-service buyers financing 100 percent of their home purchase and veterans putting down a median down payment of 5 percent. For non-military buyers, the median down payment was 11 percent.

On behalf of the nation’s 1.2 million Realtor® members, the National Association of Realtors® thanks our nation’s military members for their service.

July 11, 2017

Realtors® extend support for 200 years of home history

 

The National Association of Realtors®, in partnership with the Smithsonian Institution, is helping keep alive the history of a house whose story is a snapshot of America itself.

Since 2001, the National Association of Realtors® has sponsored the “Within These Walls” exhibition at the National Museum of American History, which chronicles the story of one home and five families whose lives intersected with American history at different crossroads. This week, NAR and the Smithsonian announced that the association will extend and expand its sponsorship, becoming exclusive sponsor of “Within these Walls” September 2018 through 2030.

You can read more about the sponsorship and exhibit in the Smithsonian’s June 13 announcement: http://americanhistory.si.edu/press/releases/within-these-walls.

“Real estate is more than just a structure, it’s a home,” said Bob Goldberg, NAR senior vice president of Sales and Marketing. “The stories of the occupants are what makes a house a home. We were particularly intrigued by this home as it provided an opportunity for NAR to share the importance of homeownership through the stories of the five families who called this structure home.”

The exhibition is built around a 250-year-old two-story house from Ipswich, Mass., which is the largest artifact in the National Museum of America History.

In the early 1960s, the Ipswich House was saved from demolition by a handful of local citizens. Smithsonian staff took the house apart piece by piece, transported it, and reassembled it inside the National Museum of American History on the National Mall.

“Within These Walls” will continue to be expanded and updated with new stories. In 2018, the museum will install a new artifact case to feature objects marking the 50th anniversary of the Fair Housing Act, which was signed in April 1968 to protect the buyer or renter of a dwelling from seller or landlord discrimination. Other future enhancements to the exhibition include experiences to further engage younger visitors in piecing together exhibit stories and the ways enslaved people staked their claim to liberty as well as additional interactives throughout the exhibition.

The “Within These Walls” website shares more history and photos of the exhibit: http://amhistory.si.edu/house/home.asp.

July 11, 2017

Up...Up...and Up

New Home Sales Rise But So Do Prices

Sales of previously owned homes rose in May.

New home sales are up 9% over 2016.

New home prices are now at a record high.

Average sales price of new homes sold in May was $406,400.

Price increases are largely being driven by a low inventory and high buyer demand.

But why, if there are so many buyers, aren't builders building more houses?

Lack of available building lots.

A strengthened labor market and still-low mortgage rates are keeping buyers interested and active in the market.