Homeowners aren't selling, and the prospect of rising rates could encourage them to 'lock-in' and stay put
Mortgage rates are expected to rise this year, aggravating the already-vexing problem of not enough existing homes on the market, according to a panel of economists speaking last week at the International Builders Show in Orlando.
Among the experts there was no consensus on rates other than that they are poised to increase. But Frank Nothaft, the former chief economist at mortgage giant Freddie Mac who now wears the same hat at CoreLogic, pointed out that those homeowners with mortgages at lower than the prevailing rate are thinking twice about putting their homes up for sale. “Realtors call it the lock-in effect,” he said.
Smart home technology is growing rapidly—it’s expected to be a $130 billion industry by 2020. Predictably, millennials are leading the smart home charge, but all demographics are enjoying the powerful features these devices can offer.
What exactly is a smart home device? These are connected devices that combine artificial intelligence (AI) and Wi-Fi connectivity to help automate or streamline features and tasks in homes. Examples include smart lighting to automate your lights, smart speakers to control other devices and smart TVs that stream media and learn what you like to watch.
To help you better serve your clients, here are some of the key things buyers and sellers should know when it comes to smart home devices.
We’ve all seen the ads on TV. Our favorite celebrities from the 70s and 80s telling us how reverse mortgages are a great way to add to retirement and eliminate monthly mortgage payments. And for some people, they can be an attractive option to consider depending upon your own personal situation. But they definitely aren’t right for everyone.
A reverse mortgage is actually just a type of loan that allows homeowners to convert or effectively “sell back” a portion of their home’s equity to the bank for cash. Think of it like rolling back the clock on a regular mortgage. You’ll get cash for the value of the equity that you sell back, but you’ll end up owning a smaller percentage of your house. The loan is repaid to the bank when you move out or when
2018 Housing Basics: It’s All About Inventory
Inventory will be the major factor shaping the 2018 housing market, but that’s nothing new. For the third year in a row, the nationwide inventory shortage is likely to continue to hinder sales and increase prices. We expect small increases in inventory at the high-end of the market by year-end. Starter-home inventory has not increased meaningfully since 2011, and we don’t expect it to increase at all next year. Exacerbating the problem is high rents and vacation home rental platforms that make it both easy and lucrative to own more than one home.
Prediction #1: Homebuyers Will Leave High-Tax States
If state and local tax (SALT) deductions are eliminated in high-tax states like California, New York,…
Five Las Vegas Valley communities cracked the top 50 nationally for new-home sales last year, new reports show.
Leading the pack locally was Summerlin, where builders sold 1,052 homes, up 37 percent from 2016, according to separate reports this week from two firms, RCLCO and John Burns Real Estate Consulting.
Summerlin’s sales tally was fourth-highest in the country among U.S. master-planned communities, the firms reported.
Buyers also picked up 837 new homes in Inspirada, up 48 percent and No. 8 in the country, their reports said.
According to the firms, builders sold 456 homes in Cadence, up 36 percent; 345 in Mountain’s Edge; and 315 in Skye Canyon.
Some data differed slightly. According to RCLCO, Cadence was 22nd nationally…
By: Conor Sen
January 3, 2018, 8:00 AM PST