Selling in Spring

Selling This Spring

This spring is gearing up to be one of the craziest in the realest market we have seen in a long time.  It is for sure right now a sellers market.  The inventory is low which is driving up prices and making it very competitive for buyers.  So how do you get you house seen in a market like this knowing your going to be one of MANY?  Well color is a great start.  Paint your door a pretty bright color.  Red is always nice.  Plant some colorful flowers in the front or put on some nice window boxes if you can.  Curb appeal is big.  The outside of your house is the first thing people see so make it stand out but in a good way, not a why would anyone do that kind of way.  Clean the yard, mow the lawn, trim the hedges and paint the fence.  If you get some buyers, and in this market you will, to come look inside you want them to see themselves living there so depersonalize and declutter the space.   Open the curtains and the blinds so the space is bright and open.  If you have cool things like surround sound or central vacuum highlight that stuff when you have showings.  Most important of all hire the right person to list your home.  Make sure they know what they are doing by asking the right questions like:

♦ How long have you been selling real estate?

♦ How many homes have you sold?

♦ What do you know about the market in my area?

♦ Where is the market data to prove the  value?

♦ What educational designations have you achieved?

♦ What is your average market time vs the rest of the market?

♦ What is your list price to sale price ratio vs market?

♦ How much are you willing to spend in marketing? Where will  be marketing?

♦ Are you a part-time or full-time agent?

♦ Do you have a personal assistant  and staff to help with details?

♦ May I see your resume or personal brochure?

♦ Will you stage my home after it is listed and suggest any repairs or changes that will make it more marketable?

♦ How will you position my home professionally

 Now go get to work and good luck.

Cynthia Schmier, Broker/Owner
CRS, CDPE, CNE, CIAS, MDI, 5-STAR, SRS
RE/MAX Country
Cynthia@Cynthia-Online.com
(360) 400-3475
www.cynthia-online.com

Millennials in the Market Part 3

Millennials  part 3

At this point we know what millennials want, lots of amenities, smaller, flexible spaces, historic structures and socially engaging neighborhoods all in the right price range.  We also know they are in direct competition with baby boomers for these properties at some what of a disadvantage because of there lack of savings and slower economic growth and their lack of experience in negotiating for what they want. Millennials are now the biggest group of home buyers in the market and they are changing things including how agents do business. 

According to NAR survey only 3 percent of agents are under 30 and 81 percent are over 45.  That means many old dogs have to learn some new tricks. To say millenials are technology savvy would be an understatement.  More than 50 percent of millennials search for homes on their phones and among those, 26 percent end up buying a home they found that way, according to National Association of Realtors. Millennials rarely need agents to find homes for them, they usually have their own list, and they’ve already researched comparable sales and chosen a neighborhood.  “With millennials, we do not control information,” Says Player Murray, managing broker at Berkshire Hathaway HomeServices.  “what they need is for us to interpret the information.”   But that isn’t always easy for agents either.  Millennials don’t want to talk.  They would rather email or text.  Murray says “they don’t want to be bothered with conversation of it can be texted.”  Which can be a real challenge for agents who have spent most of there careers on the phone with their clients.  Agents also have to learn to use social media in new and creative ways in order to keep millennials engaged.  “They need to feel like they’re a part of your business.” Murray says.  “Just re-posting an article that’s been posted 1,000 times across the country isnt enough.”

With all that said millennials are still the most likely group to use agents to buy a home.  They are more likely to buy a fixer and value the advice, resources and referrals an experienced agent can provide.  They are also all very new to the home buying game and although there may be a huge disconnect they still need the help.  So agents are changing the way they do business and trying very hard to understand the Tweets, short cryptic emails and acronym laced texts.  Agents are getting apps for their businesses and hiring social media marketing experts.  It just goes to show you can teach an old Dog new tricks.  

Cynthia Schmier, Broker/Owner
CRS, CDPE, CNE, CIAS, MDI, 5-STAR, SRS
RE/MAX Country
Cynthia@Cynthia-Online.com
(360) 400-3475
www.cynthia-online.com

      

Millennials In the Market 2

Millennials part 2

Right now millennials are the biggest group of home buyers in the country, but they have some serious competition the baby boomers.  The real estate market has become a generational war zone and baby boomers aren’t fighting fair, at least according to the millennials their not.  With Baby boomers retiring in great numbers most are looking to down size from larger more suburban homes to small homes closer to or in the city.  They are looking for convince and amenities within walking distance.  Now that the economy is head upward millennials are now making enough to move out of mom and dads basement or trade in the four roommates they have for none and buy their own home.  Great news except guess what they are looking for?  You guessed it smaller homes near or in the city with in walking distance of most amenities.    

Millennials being the socially connected, environmentally conscious group they are want to buy existing homes.  They love the history, location or architectural detail and they are usually close to downtown.  Guess who else loves all those things?  You guessed it baby boomers.  Baby boomers love history and being that most of them are retiring they are looking for something with a few projects they can work on to fill their days.

Why is any of this unfair you ask.  Well it comes down to two things that baby boomers have that millennial don’t experience and money.  Baby boomer Know how to negotiate to get what they want and being that according to NAR survey, only 3 percent of agents are under 30,and 81 percent were older than 45 Baby boomers are able to relate to and work with their agents a lot better.  Millennials who do business very differently now don’t really have the tools to negotiate.  And of course there is the money issue.  “Boomers will pay a premium if you can give them exactly what they want,” said Matt Robinson, principal at MRP Realty.  “Something closer to what was in their house, and that pushes up the price; they’re happy to pay for it.”  Many millennials are not well suited to compete being that most of them entered the market in the middle of the recession and during the lackluster recovery few have had time to build any real wealth.

This War of generations is driving up prices on not only starter homes and condos but rental prices too.  It is also cause a shortage of properties which is starting to concern most real estate agents.  Real estate agents have to start learning how to better work with millennials in order to stop the War but that’s a subject for another blog.

Cynthia Schmier, Broker/Owner
CRS, CDPE, CNE, CIAS, MDI, 5-STAR, SRS
RE/MAX Country
Cynthia@Cynthia-Online.com
(360) 400-3475
www.cynthia-online.com

Millennials in the Market.

Millennials

For quite awhile now Baby boomers have dominated or shaped the cultural and economic landscape in which we live.  With baby boomers beginning to retire in large numbers, and shrinking numbers as they age, there is a new economic driver at play – Millennials. 

Millennials are a socially connected, environmentally conscious group.  They value individuality within the larger society but also want their choices in life to positively impact the world around them.  Members of this socially active generation want to live close to where they work and play.  This is pushing some new trends in real estate and how agents deal with their clients.

Projects incorporating retail, office and residential options into one compact area or building will continue to trend upward as developers cater to millennials lifestyles and demands for high end amenities.  More and more developments are offering ground floor retail combined with apartments or lofts above that also offer amazing amenities such as rooftop pools and cabanas with coffee and wine bars, or gated dog parks and outdoor kitchens. 

Another trend is the 18 hour city.  This trend focuses on the increased development of urban centers, rather than their surrounding suburbs.  This is often described as the shrinking donut, and is closely connected to the changing lifestyles generated by millennials.  This trend also reflects the retiring baby boomers who are downsizing putting them in direct competition with millennials for real estate, but that is a topic for another blog.  These 18 hour cities are rewarding developers for focusing on preexisting infrastructure.  Often, the history, location, or architectural details of a downtown building provide the amenities and sense of place millennials seek.  

The last trend is the flood of investment capital into the U.S. as well as an uptick in crowd funding.  Most foreign investment has been concentrated in major US metro markets, but it is quickly starting to flow to small metro areas to develop smaller more historic cities.  Crowd funding is also playing a big role in this trend by allowing millennials themselves to invest in the area they want to live with out having to be a millionaire in order to invest.  

These are just a few of the ways millennials are affecting real estate.  They are having profound effects on the market.  Weather you like or dislike the trends with, over 80 million millennials its not going anywhere anytime soon.

Cynthia Schmier, Broker/Owner
CRS, CDPE, CNE, CIAS, MDI, 5-STAR, SRS
RE/MAX Country
Cynthia@Cynthia-Online.com
(360) 400-3475
www.cynthia-online.com