How To Price A Home Given Current Market Conditions
With Terry Story, 28-year veteran Real Estate Agent with Coldwell Banker in Boca Raton, FL Housing Market 2017 Cross Currents This week's conversation with Coldwell Banker real estate agent Terry Story touches on a variety of cross-currents affecting...
Summary
With Terry Story, 28-year veteran Real Estate Agent with Coldwell Banker in Boca Raton, FLHousing Market 2017 Cross CurrentsThis week's conversation with Coldwell Banker real estate agent Terry Story touches on a variety of cross-currents affecting the housing market, including rising prices, confusion among first-time buyers over minimum down payments, low inventory, and the possibility of stronger single family home building and the dynamics that stem from pricing homes above or at market levels.While home sales grew and prices continued to rise last year, there are signs that demand might be topping out. By the end of 2016, only 55% of non-home owners believed that now was a good time to buy a home, down from 63% at the beginning of the year. With mortgage rates inching up, the perception of the market as too expensive may be gaining legs. This view contrasts indirectly with the fact that 90% of homeowners last year were confident that owning a home was a key part of the American dream. To what degree this confidence is rooted in the strong price appreciation accompanying this housing market recovery is up for speculation.Housing Inventory Delving further into this story, Terry reports that home prices and rents are up over 40% during the past 5 years, rapidly outpacing wage growth. The combination of high prices, high student loan debt, and limited supply of entry level houses on the market are conspiring to put a damper on first-time homebuyers. These dynamics, as well as the faster growth of rent prices, has steered builders towards apartments rather than standalone homes in recent months. Nevertheless, Story is optimistic that low inventories and the fact that rents and mortgages are nearing parity will start to galvanize new home building. An expanded supply of new homes should help correct the affordability problem to some degree and would be welcome for that reason. An interesting metric that Terry shares is that a greater than six-month supply of homes for sale indicates a buyer's market, while a less than six-month supply signals a seller's market. Terry's South Florida market is currently running at about a four-month supply, which is favorable to sellers.One area of confusion among new homebuyers is the question of down payments. Many believe that they have to come up with 10% or 20% of the home's value and despair over being able to save enough to meet that number. Terry reminds those new home buyers that they may be able to purchase a home with as little as 3% down. With a lower down payment comes PMI (private mortgage insurance) and that adds to the total cost (but not the closing cost) of the mortgage.How to Price a HomeSteve and Terry wrap up their conversation by looking at the effect that a home seller's asking price has on potential buyers and their bidding. Terry offers a simple hypothetical example of a homeowner with a home that they hope to sell in the $300-325K range. If they list the house for $300K—a price Terry describes as “right at where the market is”—they are likely to get a surge of interest from potential buyers and oftentimes a competitive bidding situation will arise, pushing the price up towards $325K or more. On the other hand, if the house is listed at $325,000—which is more aligned with where the market is heading—interested buyers should still show up, but there will be fewer offers and, in all likelihood, they will not bid the price up beyond its listing price. Having multiple offers is always a better situation for sellers as it affords them some leverage to ask for a bigger down payment or other concessions. Steve wonders whether there are pros and cons to listing a house at, say, $299,900 instead of $300K, and Terry replies that it absolutely does matter for one main reason: the way people search real estate websites,
First published
02/15/2017
Genres
Duration
7 minutes
Parent Podcast
The Steve Pomeranz Show
View PodcastSimilar Episodes
-
The Pomeranz breakout, why Ozuna underperforms, and whether Castellanos can field – Season 5, Ep., 34
11/15/2019
Host Mike Petriello and national editor Matt Meyers look at why it made sense for Atlanta to sign Will Smith, note the incredibly impressive feats of Drew Pomeranz, wonder why Marcell Ozuna keeps underperforming, and investigate whether Nicholas Castellanos can play credible defense. To learn more about listener data and our privacy practices visit: https://www.audacyinc.com/privacy-policy Learn more about your ad choices. Visit https://podcastchoices.com/adchoices
Clean -
9/22/22 Steve Jones Show Hour 1
09/22/2022
9/22/22 Steve checks in with the local high school round table.The post 9/22/22 Steve Jones Show Hour 1 first appeared on Steve Jones Show.
Clean -
9/21/22 Steve Jones Show Hour 2
09/21/2022
9/21/22 Steve examines today’s Play-by-Play of the Yankees game.The post 9/21/22 Steve Jones Show Hour 2 first appeared on Steve Jones Show.
Clean -
9/21/22 – Steve Jones Show Hour 1
09/21/2022
9/21/22 Steve talks on how streaming services are messing with how to catch upcoming games and Steve speaks with Brian Tripp about his experience on the side lines.The post 9/21/22 – Steve Jones Show Hour 1 first appeared on Steve Jones Show.
Clean
Similar Podcasts
-
The Women In Business Radio Show
08/11/2020
Women In Business Radio Show
Tune in for fun, inspiration and unfiltered discussions as host Sian Murphy interviews down-to-earth businesswomen sharing ideas, tactics and stories. Regular features include recommended books, tools, lessons learned and top tips for business.For information about being a guest on the show, newsletters and more visit...https://thewomeninbusinessradioshow.com/linksBecome a supporter of this podcast: https://www.spreaker.com/podcast/the-women-in-business-radio-show--1228431/support.
Clean -
Marketing Madness by the Bridges Twins
08/11/2020
Marketing Madness by the Bridges Twins
On the Marketing Madness show we tackle challenges submitted by our listeners....and we have fun sharing the solutions. When you want to find answers to those burning questions that Google can't quite help you with, this is your show. With experiencing ranging from development of large scale web applications, managing 7 figure+ monthly Adwords accounts, working in the Fortune 500, co-authors of 3 books and much more you can submit us any challenge and we will tackle it. Listen in, have fun, grab a coffee and join us today.
Clean -
RNG Show
08/18/2020
RNG Media
Every season of Survivor we draft the castaways onto separate teams in a fantasy league and see who among us can form the ultimate team that will outlast the rest. Join us every week as we run through major events from the latest episode and make strategic trades to edge out the competition.
Clean -
High Profits Reviews and After Show - AfterBuzz TV
08/15/2020
AfterBuzz TV
The High Profits After Show recaps, reviews and discusses episodes of CNN's High Profits.Show Summary: Two entrepreneurs try to build the first marijuana franchise business.
Clean -
SOUND OF THE UNDERGROUND
08/15/2020
SOUND OF THE UNDERGROUND
Podcast by SOUND OF THE UNDERGROUND
Clean -
SCORCHING ARYes - (TRANCE SHOW)
08/15/2020
ARYA (Jignesh Shah)
SCORCHING ARYes - ( TRANCE SHOW ) is a monthly Trance Podcast with the newest / best Progressive , Uplifting & Driving Trance. One hour non-stop mix with " ARYA ( Jignesh Shah ) " Track has been selected from his favorite artist Like John O'Callaghan , Armin van Buuren , Aly & Fila , Ashley Wallbridge , Sean Tyas , Standerwick , ReOrder , Darren Porter and many more..Supported by : Aly & Fila , Bjorn Akesson , Ben Nicky , Black Hole Recordings , Bobina , Ferry Corsten , FSOE ( Future Sound of Egypt ) , Jochen Miller , Ministry of Trance , OMNIA , Raz Nitzan Music , Standerwick , Susana Vocalist , Trance Attack ... you can Leave your request at.. scorchingaryes@gmail.comFor more updates-http://www.facebook.com/djaryaproductionhttp://www.facebook.com/SCORCHINGARYesPodcast
Clean -
Depression Detox Show | Daily Inspirational Talks
08/12/2020
Malikee Josephs (Muh Leek - Jo Seffs)
Get UNSTUCK. Be inspired by the best motivational, inspirational, and brain health experts to live a happier and more purposeful life! Join host Malikee Josephs Monday through Friday for your dose of motivation. If you’re struggling with feelings of unhappiness, loneliness, emptiness, anxiety, sadness, grief & loss, or not having a sense of purpose, this show is for YOU! ——————If you are in need of medical care, please consult with a therapist or physician.If you are in a crisis or thinking of harming yourself, please call the National Suicide Prevention Lifeline 1-800-273-8255. Calls are private and confidential. CDC Mental Health recommendation pagehttps://www.cdc.gov/mentalhealth/tools-resources/index.htm
Clean -
Rock The Walls
08/12/2020
idobi Network
Always on the frontlines, Rock The Walls is hosted by music fan and devoted radio host Patrick Walford. Over one thousand interviews are already in the can—from being the first ever radio interview for bands like I Prevail & The Story So Far, to speaking with heavy & alternative music legends such as The Used, Anthrax, Parkway Drive, Godsmack, Korn, Sum 41, Bring Me The Horizon, A Day To Remember, and hundreds more.After doing the show for over a decade, hosting Warped Radio, bringing you your idobi Music News, and Music Directing idobi Howl, along with hitting the road for coverage on the Warped at Sea Cruise in 2017 & the final Vans Warped Tour in 2018, Walford is a long trusted voice in the music scene. Tune in to hear in-depth interviews you won't hear anywhere else with all your favorite heavy & alternative artists, along with spinning the best in new music.
Clean -
Ask The Gluten Free Chef
08/15/2020
The Gluten Free Chef
Podcast where questions pertaining to gluten free living, gluten free eating, and celiac disease are discussed, dissected, and laid bare.
Clean -
Cokie Roberts: Capital Dames
08/11/2020
The Huntington
Author and political commentator Cokie Roberts discusses her new book Capital Dames, The Civil War and the Women of Washington, 1848-1868, which explores the lives of the women of Washington D.C. during the upheaval of the Civil War. Roberts has previously written about the vital female contributions to the nation's early years in her New York Times bestselling books Founding Mothers and Ladies of Liberty.
Clean -
STAR WARS The Vintage Rebellion Podcast
08/11/2020
The Star Wars Vintage Rebellion Podcast - SWTVR - Podcast Team
The Star Wars Vintage Rebellion Podcast is brought to you by five vintage Star Wars Toy collectors. The team discuss vintage star wars collectibles, recent threads and stories from across social media and forums, the current vintage market, oddball items, as well as covering stories that have been rocking the vintage collecting community. There are also interviews with all types of collector as well as an events section where you can discover Star Wars events in your area. All this plus much much more, so download this podcast now!
Clean -
Retro Blissed
08/12/2020
The Network
Two gamers with a love for the history of video games play and discuss the best and worst titles in existence. Blow out your NES cartridge, check the batteries in your remote, and memorize your Game Genie codes… It’s time to get RETRO!
Clean
Discussion (0)
No comments yet
Be the first to share your thoughts about this episode!