APRIL 2023 | What’s in this issue?

• MOTIVATED SELLER? 9 FINANCIAL CONCESSIONS THAT COULD ENTICE BUYERS
• ONWARD! 9 WAYS DIGITAL TECHNOLOGY IS IMPACTING REAL ESTATE
• WHAT’S NEW? 5 INTERIOR DESIGN TRENDS FOR 2023

Motivated Seller? 9 Financial Concessions That Could Entice Buyers

If you’re a motivated seller looking for ways to quickly move your property, you may be interested in offering financial concessions to potential buyers.

Such concessions have become more common in recent months as mortgage rates, inflation and economic uncertainty have ramped up. In fact, Redfin points to seller concessions in a record 42% of its home sales in Q4 2022.

A summary of possible payments you could make on behalf of buyers:

• Property taxes. Based on the home’s assessed value, most are paid semiannually to cover the previous six months.
• Title insurance. These optional policies protect the buyer and lender from unforeseen claims on the home’s title due to lawsuits, liens, easements, will complications, errors or fraud. Policies may cost $500 to $3,500 depending on state and provider.
• Loan origination fees. Charged by lenders for handling loans, they typically represent .5% to 1% of the loan amount.
• Inspection fees. In some states and for certain loans, pest inspection must take place before a home sale.
• Recording fees. Counties charge a fee of about $125 to record transfer of ownership.
• Appraisal fees. Most lenders require an appraisal at a cost of $600 to $2,000 before approving a loan.
• Attorney’s fees. Some states require attorney review of closing documents; that could cost $150 to $350/hour.
• Mortgage points. Paying for these could help a seller with a less-than-ideal credit history secure a more favorable interest rate.
• Repairs. Offering to cover improvements to the home could be a huge bonus to buyers.

Onward! 9 Ways Digital Technology is Impacting Real Estate

In this digital age, it’s increasingly important for real estate buyers and sellers to embrace (or at least understand) new technology tools. Consider how hugely these nine elements of technology are impacting the market as we move through the 2020s.

• AI is driving broader, more efficient data gathering, and blockchain is making that data more objective.
• AVMs (automated valuation models) are combining statistical modeling with historical databases to better calculate real estate values in real time.
• Machine learning is optimizing data to point investors to profitable properties.
• Live video is key to communications, marketing, touring, sales, asset maagement, etc.
• 3D video creates efficiency by empowering buyers to peruse homes online, pre-tour.
• Rental management and other software tools automate multiple tasks for better efficiency.
• Environmental and safety concerns are using smart technology for better energy efficiency and cleanliness.
• Digital communications that help limit human contact are popular, especially for routine interactions and/or problem-solving.
• Texting allows for ultra-fast communications and immediate responses.

What’s new? 5 interior design trends for 2023

Vogue points to the following:
​​​​​​​
Calming earth colors, including mauves, peaches, reddish browns and warm whites
Silver and iron accents
Stone trims
Neoclassicism: focus on detailed, symmetrical lines
Mosaic and terrazzo kitchens and baths

APRIL 2023 | What’s in this issue?

• WORKING REMOTELY? 7 ASPECTS TO CONSIDER BEFORE CHANGING CITIES
• ONWARD! 9 WAYS DIGITAL TECHNOLOGY IS IMPACTING REAL ESTATE
• WHAT’S NEW? 5 INTERIOR DESIGN TRENDS FOR 2023

Working Remotely? 7 Aspects to Consider before Changing Cities

If your profession allows you to work remotely, you’re part of a trend many see as fortuitous.

Analysts say 25% of all jobs in North America were remote by the end of 2022, and remote opportunities are expected to grow again this year.

In response, 5 million remote workers in the U.S. opted to change their cities of residence between 2020 and 2022, with 19 million more expected to follow suit. And many are apparently happy with the results; one poll found that 82% of Americans who moved in 2020 “changed their lives for the better.”

If you’re among those considering such a move, here are elements about your potential new city you may wish to consider.

• Job market. Does your new city offer employment options in the event you change jobs or can no longer work remotely?
• Real estate market. Is appropriate housing available and affordable?
• Projected cost of living. How will everyday expenses compare to those you’re now managing?
• Climate and environmental characteristics. Factoring in your health, are you OK with the area’s weather conditions, flora and fauna and other natural elements?
• Family amenities. How are area schools? Opportunities for fun and leisure? Avenues for meeting new friends?
• Social and cultural norms. Is there diversity? Are most people there liberal or conservative? Friendly and open, or cautious about meeting new people? Will you fit in, or feel like an outsider?
• Potential for personal growth. Might the new place allow you to reinvent yourself and/or create the life you’ve always wanted?

​​​​​​​

Onward! 9 Ways Digital Technology is Impacting Real Estate

In this digital age, it’s increasingly important for real estate buyers and sellers to embrace (or at least understand) new technology tools. Consider how hugely these nine elements of technology are impacting the market as we move through the 2020s.

• AI is driving broader, more efficient data gathering, and blockchain is making that data more objective.
• AVMs (automated valuation models) are combining statistical modeling with historical databases to better calculate real estate values in real time.
• Machine learning is optimizing data to point investors to profitable properties.
• Live video is key to communications, marketing, touring, sales, asset management, etc.
• 3D video creates efficiency by empowering buyers to peruse homes online, pre-tour.
• Rental management and other software tools automate multiple tasks for better efficiency.
• Environmental and safety concerns are using smart technology for better energy efficiency and cleanliness.
• Digital communications that help limit human contact are popular, especially for routine interactions and/or problem-solving.
• Texting allows for ultra-fast communications and immediate responses.

What’s new? 5 Interior Design Trends for 2023

Vogue points to the following:

Calming earth colors, including mauves, peaches, reddish browns and warm whites
Silver and iron accents
Stone trims
Neoclassicism: focus on detailed, symmetrical lines
Mosaic and terrazzo kitchens and baths
​​​​​​​

What’s in this issue?
> 6 Elements to Check Before Buying a Multifamily Property

> Study: Millennials Renting by Choice Boose Market

> Wal-Mart to Close Tech Hubs and Stores

6 Elements to Check Before Buying a Multifamily Property

If you’re considering investing in multifamily properties this year, your timing could be great. Analysts report that demand for rental units should remain strong through 2023 as home prices and mortgage rates stay high and occupancy rates hover above 95%.

That said, you’ll want to conduct due diligence and consider multiple variables before making such investments. A few to examine:

• Building elements. Inspect the condition of everything from windows to insulation to plumbing to wiring, gauging both repair costs and utility expenses. Check for fire and water damage and hidden mold. Are upgrades needed to align with the area market?
• Potential rental income. Factor in the building’s amenities. Is it too upscale or not upscale enough for the area? What are area prices and vacancy rates? Cap rate? What’s the probable resale value? Do all numbers line up with your investment goals?
• Surrounding neighborhood. Assess local environmental, municipal and/or crime issues; school district ratings; walkability; proximity to area amenities; pending area projects that could affect values; and the conditions and sale prices of surrounding buildings. Could natural disasters require extra insurance?
• Sales history. Constant turnover could be a red flag.
• Regulatory issues. Check out rules regarding building codes, real estate taxes, zoning and rent control, plus insurance requirements and pending legislation that could impact profits.
• Willingness to serve as landlord. You may simply not have the skills, time or patience for issues that can arise.
  ​

Study: Millennials Renting by Choice Boose Market

While a certain segment of U.S. adults will always rent residences instead of buying, analysts believe a greater number these days are doing so by choice — not due to financial limitations.

That so-called “lifestyle” segment is slated to help boost the country’s rental rate by 6.3% in 2023.

One 2021 study points to high-earning millennials as leading the trend, though high-earning Gen Xers and boomers have also increased their rental applications. Millennials’ share of all rental applications grew 20% in 2021; those with annual incomes of $50,000-plus submitted 39% of all rental apartment applications

“Lifestyle renting has been normalized by millennials,” concludes real estate exec Noah Echols in the study.

Macon, GA, saw the highest surge of high-income millennial applicants among smaller cities, Indianapolis among big cities.

What’s going on? The study notes some renters with money are scouting out cities while waiting for the sellers’ market to calm down. But others point to renter advantages that include sense of community, proximity to amenities and freedom from both maintenance and commitment.

​​

Wal-Mart to Close Tech Hubs and Stores

Wal-Mart Corp. plans to close seven stores and three technology hubs in the U.S. this year. Though Q4 of 2022 saw 8.3% sales increases across established stores, Wal-Mart projects slower profit growth and sales this year due to less discretionary spending.

Renting Vs. Buying Your First Home: Pros and Cons

You have probably heard someone say this before (maybe an investment “guru” on the internet)

“Do not rent a home if you can afford to buy one. When you pay rent, you are simply helping your landlord pay off the mortgage on their rental property. Instead of paying rent, redirect that money to pay for the mortgage on your own home!”

Like several things in life, there is some truth in these words, but it is not the entire truth. As Westside Management Team says, the decision to rent or buy a home is different for everyone because people have vastly different circumstances. That is why a sweeping statement about the rightness of renting or owning your home does not make sense.

If you are reading this, it’s probably because you have saved up enough money to buy your home, but you are wondering if you should go ahead with the decision. You may also be reading this to get some ideas on the best ways to plan your future.

So, should you keep renting or buy your first home?

That is a monumental question, and your decision could forever fix the trajectory of your life. We cannot make this decision for you, but we can lay out the facts so you can make your own choices. What are the things you need to know before making this all-important decision?

The pros and cons of renting

Pros

• Affordable: The monthly rent on your rental property covers all your housing costs for an entire month. Even if there are problems with the rental, they are not yours to fix. You are not expected to pay for the property’s insurance or settle its maintenance costs. Renting lets you live a hassle-free life.
• Flexible: As a renter, you have the freedom to move whenever you want. You can easily take advantage of opportunities in other places. You may also live in a neighborhood where you would normally not be able to afford your own home.

Cons

• No control: Being a renter deprives you of the right to do what you want in your home. You must live with the design choices of the owner. You cannot customize the house to make it suit your preferences if the owner doesn’t agree to those changes.
• Less stability: As a renter, you do not have the power to make long-term plans that include the home you live in. If your landlord chooses to terminate your lease, you have to move out. You may also be forced to move out of the home if the owner raises the rent above what you are willing or able to pay.

The pros and cons of buying a home

Pros

• Control: Owning your own home gives you control of your life. You know where you will be living in the coming years. It’s easier to plan because you have more control over the variables that can affect those plans.
• Equity: As a homeowner, the money you pay a mortgage company is an investment. You get returns on it in the form of equity. The value of your home can increase to a point where you make a substantial profit on your original investment.

Cons

• Unpredictable costs: Problems in your home can impact your current financial position and threaten the market value of your home. The cost of fixing these unexpected problems can limit your ability to take advantage of new investment opportunities.
• Inflexible: Owning a home makes it harder to take advantage of opportunities available in other locations. It can take many weeks to find a buyer if you decide to sell your home. This makes it harder to respond to events in your environment.

The most important consideration: the opportunity cost of each option

The final and most important consideration when deciding to buy or rent your home is the opportunity cost of each decision. To buy a home, you must invest 20% of the market value of the property as your down payment.

What other investment opportunities are you foregoing to make this investment? Does that investment offer a higher or lower ROI than the ROI on your property?

Calculating the opportunity cost of buying a home versus renting; is not as simple as comparing the rent to the monthly mortgage. This calculation involves comparing the unrecoverable cost of owning a home versus the unrecoverable cost of renting a home.

How do you determine those costs?

That is one of those decisions where you need the expertise of a competent financial adviser and experienced real estate consultant. These experts can assess your current financial situation against your future goals to help you make the right investment decision.

Does this sound like something you would want? If you are at a crossroads in your investment journey and not quite sure which direction to take… offer you the objective opinion of a neutral third party to help you make the most profitable decisions.

Talk to us today.

Discover Your Dream Home: Why a Century 21 Real Estate Agent is the Key to Success

‍

Photo by mohamed_hassan on Pixabay

‍

As someone who is currently in the market for a new home, I understand how overwhelming the process can be. From deciding on a budget to finding the perfect neighborhood, there are numerous factors to consider. That’s why I turned to Century 21, a trusted name in real estate, to help me navigate the home buying process. In this blog post, I’ll explain why a Century 21 real estate agent is the key to success in discovering your dream home.

Introduction to Century 21

Century 21 is a global real estate company with over 9,000 offices in 80 countries. Founded in 1971, the company has a long-standing reputation for excellence in the industry. Century 21 agents are known for their expertise, professionalism, and commitment to helping clients find their dream homes. Whether you’re a first-time homebuyer or a seasoned investor, Century 21 has the resources and experience to help you achieve your real estate goals.

Benefits of Working with a Century 21 Real Estate Agent

One of the main benefits of working with a Century 21 real estate agent is their extensive knowledge of the local market. They understand the trends, home values, and neighborhoods in the area, which can save you time and money in your home search. Additionally, Century 21 agents have access to a wide range of resources and tools, including marketing materials, online listings, and industry connections, which can help you find the perfect home.

Another benefit of working with a Century 21 agent is their commitment to customer service. Century 21 agents are trained to listen to their clients’ needs, provide honest advice, and guide them through every step of the home buying process. They are dedicated to ensuring that their clients are satisfied with their experience and will go above and beyond to make sure that the home buying process is as smooth and stress-free as possible.

What Sets Century 21 Apart from Other Real Estate Agencies

One of the things that sets Century 21 apart from other real estate agencies is their commitment to innovation and technology. Century 21 was the first real estate company to launch a website in 1995, and they continue to lead the industry in digital marketing and online resources. Their website offers a wealth of information for homebuyers, including property listings, mortgage calculators, and neighborhood guides. Additionally, Century 21 agents are equipped with the latest tools and technologies to help them provide the best service to their clients.

Another thing that sets Century 21 apart is their global network. With offices in 80 countries, Century 21 agents have access to a vast network of industry professionals and resources. This global reach allows them to provide their clients with unparalleled service, whether they are looking to buy a home locally or internationally.

How to Find a Century 21 Real Estate Agent Near You

Finding a Century 21 real estate agent near you is easy. You can start by visiting the Century 21 website and using their agent search tool. Simply enter your zip code or city and state, and you’ll be connected with a list of local agents. You can also ask for recommendations from friends and family members who have recently bought or sold a home. Word-of-mouth referrals are often the best way to find a trustworthy and reliable real estate agent.

The Role of a Real Estate Agent in the Home Buying Process

The role of a real estate agent in the home buying process is to help you find the perfect home and guide you through every step of the process. This includes helping you determine your budget, finding homes that meet your criteria, negotiating with the seller, and handling all the paperwork and legalities involved in buying a home.

A good real estate agent will also provide you with valuable advice and insights along the way. They can help you understand the local market, provide information on schools and amenities in the area, and help you make informed decisions about your home purchase.

Qualities to Look for in a Real Estate Agent

When choosing a real estate agent, there are several qualities to look for. First and foremost, you want to work with someone who is knowledgeable and experienced in the local market. They should have a good understanding of home values, neighborhood trends, and the buying process.

You also want to work with someone who is responsive and communicative. Your agent should be easy to reach and quick to respond to your questions and concerns. They should also be a good listener and able to understand your needs and preferences.

Finally, you want to work with someone who is trustworthy and honest. Your real estate agent should have your best interests in mind and be transparent and upfront with you about all aspects of the home buying process.

How a Century 21 Real Estate Agent Can Help You Find Your Dream Home

A Century 21 real estate agent can help you find your dream home by using their expertise, resources, and local knowledge. They will work with you to determine your budget, preferences, and must-haves in a home, and then use this information to identify homes that meet your criteria.

Century 21 agents also have access to a wide range of resources and tools, including online listings, marketing materials, and industry connections. This can help you find homes that may not be listed elsewhere and give you a competitive edge in a competitive market.

Finally, a Century 21 agent will guide you through every step of the home buying process, from making an offer to closing the deal. They will handle all the paperwork and legalities involved in buying a home, ensuring that the process is as stress-free as possible.

Century 21 Real Estate Agent Success Stories

There are many success stories from clients who have worked with Century 21 real estate agents. For example, one client in California worked with a Century 21 agent to sell their home and purchase a new one. The agent was able to sell their home quickly and for a good price, and then helped them find their dream home in their desired neighborhood.

Another client in Florida worked with a Century 21 agent to purchase a vacation home. The agent was able to identify properties that met their criteria and guide them through the buying process, even though they were located out of state.

These success stories demonstrate the value of working with a Century 21 real estate agent and the difference they can make in the home buying process.

Century 21 Real Estate Brokers vs. Independent Agents

One question that often comes up when choosing a real estate agent is whether to work with a Century 21 real estate broker or an independent agent. While both options have their advantages and disadvantages, there are some key differences to consider.

Century 21 real estate brokers are affiliated with the Century 21 brand and have access to all of the resources and tools that come with that affiliation. They are also held to a higher standard of professionalism and customer service.

Independent agents, on the other hand, may have more flexibility in terms of pricing and service offerings. They may also have more personal experience and knowledge of the local market.

Ultimately, the choice between a Century 21 real estate broker and an independent agent will depend on your individual needs and preferences.

Conclusion: Why a Century 21 Real Estate Agent is the Key to Success in Finding Your Dream Home

In conclusion, working with a Century 21 real estate agent is the key to success in finding your dream home. They have the expertise, resources, and local knowledge to help you navigate the home buying process and find the perfect home for you and your family. Whether you’re a first-time homebuyer or a seasoned investor, a Century 21 agent can help you achieve your real estate goals and make the home buying process as stress-free as possible. So why wait? Visit the Century 21 website today to find a real estate agent near you and start your home buying journey!