How Do You Want Your Real Estate Marketed?
How do Realtors sell your home? Short and sweet….MARKETING. Some do it well, others not so much. In the day of ever changing technology and ideas, you want a company that knows how to target the right audience for your real estate. Whether that be vacant land, lakefront homes, residential, or large private tracts of land. Our team of experts know how to find the buyers for your real estate. When you are looking for something on Google one of the first things that comes up is videos. There are some agents out there that make video slideshows of the images they took. Others go above and beyond and incorporate internal video of your home. If you had to choose, which would you want from your agent? I know I would my agent to do everything in their power to attract the most buyers to my home or land.
Talk to one of our agents about marketing your real estate with video today.
If you would like to see some samples of our work look below or check out our YouTube channels at the bottom.
Today, a market study done by the National Association of Realtors was released on existing home sales in the month of February. There are many great points to be taken from this report. Our residential market in the Upper Peninsula tends to track a little behind the national market, so keeping an eye on these reports gives us somewhat of a glance into the future. We are already seeing this similar trend in our market, so much of this data is applicable to our local markets.
WASHINGTON (March 22, 2017) — After starting the year at the fastest pace in almost a decade, existing-home sales slid in February but remained above year ago levels both nationally and in all major regions, according to the National Association of Realtors®.
Total existing-home sales 1, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, retreated 3.7 percent to a seasonally adjusted annual rate of 5.48 million in February from 5.69 million in January. Despite last month’s decline, February’s sales pace is still 5.4 percent above a year ago.
Lawrence Yun, NAR chief economist, says closings retreated in February as too few properties for sale and weakening affordability conditions stifled buyers in most of the country. “Realtors® are reporting stronger foot traffic from a year ago, but low supply in the affordable price range continues to be the pest that’s pushing up price growth and pressuring the budgets of prospective buyers,” he said. “Newly listed properties are being snatched up quickly so far this year and leaving behind minimal choices for buyers trying to reach the market.”
Added Yun, “A growing share of homeowners in NAR’s first quarter HOME survey said now is a good time to sell, but until an increase in listings actually occurs, home prices will continue to move hastily.”
The median existing-home price 2 for all housing types in February was $228,400, up 7.7 percent from February 2016 ($212,100). February’s price increase was the fastest since last January (8.1 percent) and marks the 60th consecutive month of year-over-year gains.
Total housing inventory 3 at the end of February increased 4.2 percent to 1.75 million existing homes available for sale, but is still 6.4 percent lower than a year ago (1.87 million) and has fallen year-over-year for 21 straight months. Unsold inventory is at a 3.8-month supply at the current sales pace (3.5 months in January).
All-cash sales were 27 percent of transactions in February (matching the highest since November 2015), up from 23 percent in January and 25 percent a year ago. Individual investors, who account for many cash sales, purchased 17 percent of homes in February, up from 15 percent in January but down from 18 percent a year ago. Seventy-one percent of investors paid in cash in February (matching highest since April 2015).
First-time buyers were 32 percent of sales in February, which is down from 33 percent in January but up from 30 percent a year ago. NAR’s 2016 Profile of Home Buyers and Sellers — released in late 2016 4 — revealed that the annual share of first-time buyers was 35 percent.
“The affordability constraints holding back renters from buying is a signal to many investors that rental demand will remain solid for the foreseeable future,” said Yun. “Investors are still making up an above average share of the market right now despite steadily rising home prices and few distressed properties on the market, and their financial wherewithal to pay in cash gives them a leg-up on the competition against first-time buyers.”
According to Freddie Mac, the average commitment rate (link is external) for a 30-year, conventional, fixed-rate mortgage inched up in February to 4.17 percent from 4.15 percent in January. The average commitment rate for all of 2016 was 3.65 percent.
Properties typically stayed on the market for 45 days in February, down from 50 days in January and considerably more than a year ago (59 days). Short sales were on the market the longest at a median of 214 days in February, while foreclosures sold in 49 days and non-distressed homes took 45 days. Forty-two percent of homes sold in February were on the market for less than a month.
Inventory data from realtor.com® reveals that the metropolitan statistical areas where listings stayed on the market the shortest amount of time in February were San Jose-Sunnyvale-Santa Clara, Calif., 23 days; San Francisco-Oakland-Hayward, Calif., 27 days; Vallejo-Fairfield, Calif., 33 days; Seattle-Tacoma-Bellevue, Wash., 36 days; and Boulder, Colo., at 37 days.
NAR President William E. Brown, a Realtor® from Alamo, California, says being fully prepared is the right strategy for prospective buyers this spring. “Seek a preapproval from a lender, know what your budget is and begin discussions with a Realtor® early on about your housing wants and needs,” he said. “Homes in many areas are selling faster than they were last spring. A buyer’s idea of a dream home in a popular neighborhood is probably the same as many others. That’s why they’ll likely have to decide quickly if they see something they like and can afford.”
Distressed sales 5 — foreclosures and short sales — were 7 percent of sales for the third straight month in February, and are down from 10 percent a year ago. Six percent of February sales were foreclosures and 1 percent were short sales. Foreclosures sold for an average discount of 18 percent below market value in February (14 percent in January), while short sales were discounted 17 percent (10 percent in January).
Single-family and Condo/Co-op Sales
Single-family home sales declined 3.0 percent to a seasonally adjusted annual rate of 4.89 million in February from 5.04 million in January, and are now 5.8 percent above the 4.62 million pace a year ago. The median existing single-family home price was $229,900 in February, up 7.6 percent from February 2016.
Existing condominium and co-op sales descended 9.2 percent to a seasonally adjusted annual rate of 590,000 units in February, but are still 1.7 percent higher than a year ago. The median existing condo price was $216,100 in February, which is 8.2 percent above a year ago.
February existing-home sales in the Northeast slumped 13.8 percent to an annual rate of 690,000, but are still 1.5 percent above a year ago. The median price in the Northeast was $250,200, which is 4.1 percent above February 2016.
In the Midwest, existing-home sales fell 7.0 percent to an annual rate of 1.20 million in February, but are still 2.6 percent above a year ago. The median price in the Midwest was $171,700, up 6.1 percent from a year ago.
Existing-home sales in the South in January rose 1.3 percent to an annual rate of 2.34 million, and are now 5.9 percent above February 2016. The median price in the South was $205,300, up 9.6 percent from a year ago.
Existing-home sales in the West decreased 3.1 percent to an annual rate of 1.25 million in February, but are 9.6 percent above a year ago. The median price in the West was $339,900, up 9.6 percent from February 2016.
The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.
# # #
NOTE: For local information, please contact the local association of Realtors® for data from local multiple listing services. Local MLS data is the most accurate source of sales and price information in specific areas, although there may be differences in reporting methodology.
1 Existing-home sales, which include single-family, townhomes, condominiums and co-ops, are based on transaction closings from Multiple Listing Services. Changes in sales trends outside of MLSs are not captured in the monthly series. NAR rebenchmarks home sales periodically using other sources to assess overall home sales trends, including sales not reported by MLSs.
Existing-home sales, based on closings, differ from the U.S. Census Bureau’s series on new single-family home sales, which are based on contracts or the acceptance of a deposit. Because of these differences, it is not uncommon for each series to move in different directions in the same month. In addition, existing-home sales, which account for more than 90 percent of total home sales, are based on a much larger data sample — about 40 percent of multiple listing service data each month — and typically are not subject to large prior-month revisions.
The annual rate for a particular month represents what the total number of actual sales for a year would be if the relative pace for that month were maintained for 12 consecutive months. Seasonally adjusted annual rates are used in reporting monthly data to factor out seasonal variations in resale activity. For example, home sales volume is normally higher in the summer than in the winter, primarily because of differences in the weather and family buying patterns. However, seasonal factors cannot compensate for abnormal weather patterns.
Single-family data collection began monthly in 1968, while condo data collection began quarterly in 1981; the series were combined in 1999 when monthly collection of condo data began. Prior to this period, single-family homes accounted for more than nine out of 10 purchases. Historic comparisons for total home sales prior to 1999 are based on monthly single-family sales, combined with the corresponding quarterly sales rate for condos.
2 The median price is where half sold for more and half sold for less; medians are more typical of market conditions than average prices, which are skewed higher by a relatively small share of upper-end transactions. The only valid comparisons for median prices are with the same period a year earlier due to seasonality in buying patterns. Month-to-month comparisons do not compensate for seasonal changes, especially for the timing of family buying patterns. Changes in the composition of sales can distort median price data. Year-ago median and mean prices sometimes are revised in an automated process if additional data is received.
The national median condo/co-op price often is higher than the median single-family home price because condos are concentrated in higher-cost housing markets. However, in a given area, single-family homes typically sell for more than condos as seen in NAR’s quarterly metro area price reports.
3 Total inventory and month’s supply data are available back through 1999, while single-family inventory and month’s supply are available back to 1982 (prior to 1999, single-family sales accounted for more than 90 percent of transactions and condos were measured only on a quarterly basis).
4 Survey results represent owner-occupants and differ from separately reported monthly findings from NAR’s Realtors® Confidence Index, which include all types of buyers. Investors are under-represented in the annual study because survey questionnaires are mailed to the addresses of the property purchased and generally are not returned by absentee owners. Results include both new and existing homes.
5 Distressed sales (foreclosures and short sales), days on market, first-time buyers, all-cash transactions and investors are from a monthly survey for the NAR’s Realtors® Confidence Index, posted at Realtor.org.
NOTE: NAR’s Pending Home Sales Index for February is scheduled for release on March 29, and Existing-Home Sales for March will be released April 21; release times are 10:00 a.m. ET.
Technology is constantly evolving and changing the Real Estate industry. One of the latest and most exiting pieces of technology is the “drone”. These units are capable of shooting high quality video from high above a property providing perspective we’ve never had before. While virtual tours have been the rage recently, we see the “view from above” concept to be a great leap forward for all properties, but particularly large acreage and waterfront parcels.
There was a time when we actually took photos from low flying air planes as a way to get good photography of larger tracts or special properties. Now this drone technology puts that capability at our fingertips. With a little practice, these units can be directed over a parcel while capturing a video and photos. We can use them to inspect locations or areas that are difficult to access. Even a closer look at a roof or chimney of a building can come in very handy at times.
In 2016, we started to use this technology and we will integrate that into our marketing on a broad scale in 2017 and beyond. As we continue to look for an edge in the marketplace and lead the Upper Peninsula region in marketing and sales of unique and special properties, drones will be a key tool for us and our clients. Not only do these provide a great perspective on a property, but the quality of the video and attention that it can bring to a listing will really set our properties apart. While we are sure many others will begin to utilize this platform, we are ahead of competition on this and plan to stay there.
We have just rolled out a new website – PremiumUPProperties.com
This platform focuses on our unique and exclusive properties throughout the Upper Peninsula. The design allows us to feature some of our most outstanding properties with less limitations on the listing presentations. We have limited the inventory to the cream of the crop to make it easier to search for special properties of this sort. Many of these listings focus on waterfront properties and investment tracts, but we also have commercial opportunities, timberland, and special residential properties.
We have dedicated blog posts and a newsletter specifically for this category of properties. We encourage everyone to visit this new site and stay tuned for more as we will be adding to it. Please sign up for the newsletter to stay up to date on new additions to the site.
We have a new Agent in our Houghton office! We a pleased to introduce Jay Martineau to our team. View Jay’s profile and contact information
We found a great article that describes how to buy investment land at a young age. Investing in land is a great way to build up your finances for your future.
Check out the article at: https://www.landhub.com/blog/invest-land-youre-young/
Are you in the market for a hunting property in the U.P.?
We have a huge inventory to hunting land and camps all over the Upper Peninsula. This time of year is a great time to view these properties and if you hurry, even close in time to use it this season. Call one of our Agents today to help guide you in the right direction. We can narrow the options for you and get you on the right property in no time. This is a Buyer’s market right now, so if you’ve been on the fence, there is no better time to act. Browse our website, or better yet, call us to let us help you find that perfect property.
The weather is heating up in Upper Peninsula and so is the waterfront market. This is best time of year to shop our world class inventory of waterfront properties. At no other time will there be more options available. If you live out of the area, tie in a vacation with an appointment to see what we have to offer. The bugs are dying down, lake temps are up, and our weather is getting consistently beautiful. If you live locally, get out for a drive and give us a call, you might be surprised at what you can buy on water right now.
Type in “waterfront”, “lakefront”, or the name of your favorite body of water in our word search in the upper right of the main menu to see what options await you.