2 Ways to Get the Most Money from The Sale of Your Home

2 Ways to Get the Most Money from The Sale of Your Home | MyKCM

Every homeowner wants to make sure they maximize their financial reward when selling their home. But how do you guarantee that you receive the maximum value for your house?

Here are two keys to ensure that you get the highest price possible.

1. Price it a LITTLE LOW 

This may seem counterintuitive, but let’s look at this concept for a moment. Many homeowners think that pricing their homes a little OVER market value will leave them with room for negotiation. In actuality, this just dramatically lessens the demand for your house (see chart below).

2 Ways to Get the Most Money from The Sale of Your Home | MyKCM

Instead of the seller trying to ‘win’ the negotiation with one buyer, they should price it so that demand for the home is maximized. By doing this, the seller will not be fighting with a buyer over the price but will instead have multiple buyers fighting with each other over the house.

Realtor.com gives this advice:

“Aim to price your property at or just slightly below the going rate. Today’s buyers are highly informed, so if they sense they’re getting a deal, they’re likely to bid up a property that’s slightly underpriced, especially in areas with low inventory.”

2. Use a Real Estate Professional

This, too, may seem counterintuitive. The seller may think they would make more money if they didn’t have to pay a real estate commission. With this being said, studies have shown that homes typically sell for more money when handled by a real estate professional.

study by Collateral Analytics, reveals that FSBOs don’t actually save any money, and in some cases may be costing themselves more, by not listing with an agent.

In the study, they analyzed home sales in a variety of markets in 2016 and the first half of 2017. The data showed that:

“FSBOs tend to sell for lower prices than comparable home sales, and in many cases below the average differential represented by the prevailing commission rate.”

The results of the study showed that the differential in selling prices for FSBOs when compared to MLS sales of similar properties is about 5.5%. Sales in 2017 suggest the average price was near 6% lower for FSBO sales of similar properties.

Bottom Line

Price your house at or slightly below the current market value and hire a professional. This will guarantee that you maximize the price you get for your house. If you have any more questions, give us a call at (888) 713-3056 or email us at Info@JohnsonTeamRealEstate.com.

Columbia Neighborhood Home Values

Do you own a home in the Columbia Neighborhood?

Curious what your home might be worth? Enter your address below for a FREE, no obligation home value report today!

Columbia Neighborhood Home

The Columbia Neighborhood is one of the most highly sought after neighborhoods in Bellingham. Populated primarily with well-maintained craftsman style homes the neighborhood has quiet tree-lined streets and peaceful parks. Being one of Bellingham’s oldest neighborhoods it is also homes to many stately historical homes located along the bluff on Eldridge Avenue.

If you are in the market for a home in the Columbia Neighborhood, take advantage of our interactive real estate map search to look for home’s currently for sale in the neighborhood.

Click the image below to search for home’s in Bellingham’s Columbia Neighborhood!

.

If you would like to be the first to see new listings as soon as they hit the market sign up for our homes by email service. Click the image below to learn more and sign up!

New Bellingham Real Estate Listings

If you have specific real estate questions give us a call toll free at 1-888-713-3056, we are here to help!

Vacancy Rates at Historic Lows. Looking to Invest? Now is the Time!

The Bellingham and Whatcom County rental vacancy rates have been hovering around 1% for the past 5 years. Owning a rental in our area is an incredible investment. The Bellingham and Whatcom County real estate market has many options for those looking to make a real estate investments from large commercial sites to apartment buildings and small rentals homes, there is something to fit your every need.

J Team Vacancy Rate

From large condominiums complexes in Bellingham’s historic Fairhaven District to modest townhouses and apartment click here to search for multi family real estate in Bellingham and around Whatcom County. Bellingham is home to Western Washington University, Whatcom Community College and Bellingham Technical College making rentals highly sought after in the city.

Bellingham Single Family Investment and Rental Real Estate

Bellingham and Whatcom County is home to many college students and business executives seeking rental housing. Take advantage of a great real estate market and low interest rates and invest in a rental home. Search from our list to see what the Bellingham Real Estate market has to offer

 

Want to stay informed on the latest investment properties to hit the market? Sign up for our Homes by Email service to be alerted via email as new properties become available!

For more information on investment real estate in Bellingham or Whatcom County feel free to call us toll free at 1-888-713-3056 or email us at Info@JohnsonTeamRealEstate.com, we’d be happy to help!

Burrrrrrr! How to Weather The Winter in an Older Home

Thermometer

Burrrrrrrrrr! It’s cold outside today in Bellingham and around Western Washington!

Many Bellingham and Whatcom County were homes built  in the early 1900 and even late 1800’s. Weathering the cold and dark winter months is a challenge for anyone, but can be especially difficult if you live in an older home. Older homes carry a lot of appeal but older homes also come with problems and a lot of them are brought to light in cold winters. These are common issues that should be addressed and corrected so that your focus is on friends, family and holidays, and not with home repairs.

Many older homes come with beautiful glass work but unfortunately, these drafty, single-pane windows allow heat to escape, wasting energy and money. Replacement windows can be expensive but they are often the most effective way to increase energy efficiency and comfort.

Insulation overall can be a problem in older homes, and inadequate insulation should be supplemented with additional insulation, particularly in attics. In order to ascertain how much insulation you need, check with local sources to determine if minimum insulation ratings (R-values) are required in your area for new homes and then meet or exceed those levels in your older home if you can.

Outdated water pipes can cause huge problems if cold temperatures cause them to freeze or burst. Older pipes made of galvanized steel, iron, or lead may need to be replaced if they are not in good condition. Good replacement options include copper or CPVC.
Early sunsets can make the winter seem dreary and long, so simple steps to brighten the interior of your home can go a long way to lifting those winter blues. Add bright color to any room with pillow covers, flowers, or indoor plants. Likewise, giving a small space like a powder or laundry room a fresh coat of paint in a cheerful color can help brighten an indoor space without becoming a major project. If you’ve got a green thumb, you can also take this time to plan out your spring garden, reminding yourself of sunnier, longer days to come.

Thanks you to Jefferson Livingston with Pillar to Post Home Inspections for sharing this great information with us!  Stay warm everyone!

Learn the Value of Your Alabama Hill Neighborhood Home

Do you live in Bellingham’s Alabama Hill Neighborhood?

Curious of the value of your home in today’s active real estate market? Enter your address below for a FREE, no obligation home value report.

Alabama Hill Home Values

The Alabama Hill Neighborhood is located on the eastern side of the city of Bellingham near the north end of Lake Whatcom.  Houses throughout Alabama Hill are of mostly of contemporary design. Originally developed in the late 1960’s and early 1970’s the neighborhood offers many established homes and landscapes as well as newers homes built vacant lots throughout the years.  Many of  the homes in the neighborhood enjoy spectacular city and bay views. Most homes and yards are very well maintained and have large back yards. Broad curved streest, cul-de-sacs and sidewalks give the neighborhood an intimate and inviting feel.

View Homes For Sale in the Alabama Hill Neighborhood:

Alabama Hill Neighborhood Real Estate

For more information on the Alabama Hill Neighborhood or real estate in the area call us today at 360-303-2734 or email us at Info@JohnsonTeamRealEstate.com

Mortgage Rates Are Climbing!

If you are buying, selling, or refinancing, the current mortgage rates are very important. You can see below what the current rates are as of February 15th.2.15

Thank you Sidney Stonecypher at People’s Bank Home Loan Center for the rates. If you have mortgage questions you can reach her at 360-650-5365!

Which Comes First… Marriage or Mortgage?

Which Comes First… Marriage or Mortgage? | MyKCM

According to the National Association of REALTORS most recent Profile of Home Buyers & Sellers, married couples once again dominated the first-time homebuyer statistics in 2017 at 57% of all buyers. It is no surprise that having two incomes to save for down payments and contribute to monthly housing costs makes buying a home more attainable.

But, many couples are also deciding to buy a home before spending what would be a down payment on a wedding, as unmarried couples made up 16% of all first-time buyers last year.

If you’re single, don’t fret! Single women made up 18% of first-time buyers in 2017, while single men accounted for 7% of buyers. A recent report pointed to a sense of responsibility and commitment that drives many single women to want to own their own homes rather than rent someone else’s.

Here is the breakdown of all first-time homebuyers in 2017 by percentage of all buyers, income, and age:

Which Comes First… Marriage or Mortgage? | MyKCM

Bottom Line

You may not be that much different than those who have already purchased their first homes. Let’s get together to determine if your dream home is already within your grasp! Give us a call at (888) 713-3056 or email us at Info@JohnsonTeamRealEstate.com.

The #1 Reason to Sell Now Before Spring

The #1 Reason to Sell Now Before Spring | MyKCM

The price of any item (including residential real estate) is determined by ‘supply and demand.’ If many people are looking to buy an item and the supply of that item is limited, the price of that item increases.

According to the National Association of Realtors (NAR), the supply of homes for sale dramatically increases every spring. As an example, here is what happened to housing inventory at the beginning of 2017:

The #1 Reason to Sell Now Before Spring | MyKCM

Putting your home on the market now instead of waiting for increased competition in the spring might make a lot of sense.

Bottom Line

Buyers in the market during the winter months are truly motivated purchasers. They want to buy now. With limited inventory currently available in most markets, sellers are in a great position to negotiate. Give us a call today at (888) 713-3056 or email us at Info@JohnsonTeamRealEstate.com.

How Many Homes Are For Sale?

Homes by EmailThe number of real estate signs you see in yards can be deceiving as to the number of homes actually for sale WITHOUT offers on them. If you are seeing new signs around your neighborhood and curious if any of those homes already have offers on them, we have your answers!

Every week we keep track of how many homes are for sale around Bellingham and Whatcom County and how many of those homes have pending offers on them. Pending is the time frame between when an offer has been mutual accepted between the buyer’s and the seller’s of the home and when the title actually transfers hands. This give the buyer’s time to get the financing, do inspection, review the title reports and more.

As of Friday, February 9th, the pending ratio in Bellingham was 50%. Click the links to view a report of how many homes are for sale in each area by price range and how many of them are pending showing just how active certain sectors of the market are.

The Birch Bay Pending ratio was 41%

The Ferndale pending ratio was 37%

The Lynden pending ratio was 44%

The Sudden Valley pending ratio was 65%

If you are thinking of selling your home or property, Johnson Team Real Estate would love to help! We are here to help you will all your real estate needs! You can reach us toll free at 1-888-713-3056 or email us at Info@JohnsonTeamRealEstate.com

Where Are Mortgage Interest Rates Headed in 2018?

Where Are Mortgage Interest Rates Headed in 2018? | MyKCM

The interest rate you pay on your home mortgage has a direct impact on your monthly payment. The higher the rate the greater the payment will be. That is why it is important to know where rates are headed when deciding to start your home search.

Below is a chart created using Freddie Mac’s U.S. Economic & Housing Marketing Outlook. As you can see, interest rates are projected to increase steadily over the course of the next 12 months.

Where Are Interest Rates Headed? | MyKCM

How Will This Impact Your Mortgage Payment?

Depending on the amount of the loan that you secure, a half of a percent (.5%) increase in interest rate can increase your monthly mortgage payment significantly.

According to CoreLogic’s latest Home Price Index, national home prices have appreciated 7.0% from this time last year and are predicted to be 4.2% higher next year.

If both the predictions of home price and interest rate increases become reality, families would wind up paying considerably more for their next home.

Bottom Line 

Even a small increase in interest rate can impact your family’s wealth. Let’s get together to evaluate your ability to purchase your dream home. Call us toll free at (888) 713-3056 or email us at Info@JohnsonTeamRealEstate.com.