Monday, May 9, 2022 / by Brad Brethouwer
Here’s a quick look at how rising rates affect the housing market.
As I’m sure you’ve heard by now, the Federal Reserve announced this year that they would raise interest rates throughout 2022. How is this going to impact the real estate market? Today I’ll discuss the changes we’ve seen so far and what we can expect from the year to come.
Mortgage rates are currently at about 5.55%, depending on your location, down payment, credit score, and other factors. The Fed has been increasing rates throughout the year to slow down the market and combat inflation. The market has slowed in some respects, but overall, it’s still going crazy. For example, homes between $300,000 and $350,000 are still selling quickly, but sales for homes above $400,000 have slowed down in some areas.
"If rates keep rising, sellers may have to start reducing their asking prices."
Just a year ago, mortgage rates were around 3.1%. The jump up to 5.55% this y. ...
Thursday, April 21, 2022 / by Brad Brethouwer
So far, the first quarter of 2022 has been very strong and active.
Today I’ll update you on what’s happened in the Dane County real estate market in the first quarter of 2022.
The market is off to a great start, but you have to look closely at the areas you want to buy or sell in because that's not a blanket statement for all of Dane County. I've seen things go crazy in most areas, but there have also been some slowdowns in other areas. Here are the Q1 stats for Dane County:
There are currently 964 active properties, including accepted offers and pendings. 373 of those properties have no offers.
There were 892 new listings.
There were 1,334 total sales.
The average days on market was 30 days.
The average sale price was $400,000.
The list-to-sale price ratio was 102%.
If you have any questions, reach out to me by phone or email. I look forward to hearing from you. ...
Thursday, March 24, 2022 / by Brad Brethouwer
People are afraid of where they’ll go after selling their house.
Today I’ll talk about what to do after selling your house. This is geared towards empty-nesters and people who have owned their homes for 10 to 20 years.
The biggest fear I hear from people is that they want to sell their house, but they don’t know where they would go because there are so few homes for sale. Prices are up so much right now that even renting for a year or two is a really smart decision because this market is going to shift at some point.
Low inventory will keep this trend going for a while, but this cannot continue forever. I keep hearing terms like foreclosure and short sale kicked around more lately. Now’s the right time to sell and rent for a while if you were considering moving within a year or two anyway. Cash in now before things come down and you lose money.
If you have any more questions, just reach out to me by phone or email. ...
Friday, March 4, 2022 / by Brad Brethouwer
Why you don’t need to worry about upgrading your home before selling.
Should you upgrade or remodel your home before putting it on the market? We receive that question often, and five to 10 years ago, there was a list of improvements sellers needed to consider before listing their homes. However, in the current market, buyers are willing to overlook plenty of small things that would have been objections in the past. These days, buyers just want to get into the house and figure they’ll do the repairs and renovations themselves.
Nevertheless, you still need to tend to basic repairs. If a bathroom isn’t functional or your home has broken pipes, you need to take care of those things. On the other hand, fixer-uppers are in demand, and some buyers are looking for houses they can put some sweat equity into.
"In the current market, buyers are willing to overlook plenty of small things."
The moral of today’s message is that you don’t have to ...
Sunday, February 20, 2022 / by Brad Brethouwer
Here’s my advice for buyers who are frustrated with the current market.
The real estate market continues to get hotter for sellers and more challenging for buyers. Inventory is so low that buyers are throwing ridiculous offers out there to snag a property. The only way you’ll get your offer accepted in this market is to give the seller the most amount of money and the least amount of hassle.
This doesn’t necessarily mean offering the highest price. A cash offer with no contingencies is what some buyers are doing. I don’t necessarily recommend it, but that’s what it will take to stand out. Money always talks, and you may be able to keep some contingencies in your offer and still win if the price is right, but the truth is that it’s difficult to be a homebuyer in this market. You might need to take a big risk to win.
If you have questions about buying a home, other things you can do to strengthen your offer, or anything else related to real esta ...