Tuesday, September 18, 2018

Home Prices: The Difference 5 Years Makes

Home Prices: The Difference 5 Years Makes | MyKCM


CoreLogic recently released their Home Price Index ReportOne of the key indicators used in the report to determine the health of the housing market was home price appreciation. CoreLogic focused on appreciation from July 2013 to July 2018 to show how prices over the last five years have fared.
The graph below was created to show the 5-year change in price from July 2013 to July 2018 by price range.
Home Prices: The Difference 5 Years Makes | MyKCM
As you can see in the graph, the highest price appreciation occurred in the lowest price range with 48% growth, while the highest priced homes appreciated by 25%. This has been greatly fueled by the lack of inventory of homes available at the lower price ranges and high demand from first-time buyers looking to enter the market.

Where were prices expected to go?

Every quarter, Pulsenomics surveys a nationwide panel of over 100 economists, real estate experts, and investment and market strategists and asks them to project how residential home prices will appreciate over the next five years for their Home Price Expectation Survey (HPES).
According to the Q3 2014 survey results, national homes prices were projected to increase cumulatively by 19.5% by December 2018. The bulls of the group predicted home prices to rise by 27.8%, while the more cautious bears predicted an appreciation of 11.2%.

Where are prices headed in the next 5 years?
Data from the most recent HPES shows that home prices are expected to increase by 20.0% over the next 5 years. The bulls of the group predict home prices to rise by 31.2%, while the more cautious bears predict an appreciation of 9.3%.

Bottom Line

Every day, thousands of homeowners regain positive equity in their homes. Some homeowners are now experiencing values even greater than those before the Great Recession. If you’re wondering if you have enough equity to sell your house and move on to your dream home, let’s get together to discuss conditions in our neighborhood!

Thursday, September 13, 2018

August 2018 Real Estate Market Statistics






The following is the latest Real Estate Market Statistics for August 2018.
Click here for the full report

  • Sales:   2,967 in August 2018 vs 2,736 last August  8.4 %
  • Pending Sales:   2,760 in August 2018 vs 3,072 last August:  -10.21%
  • New Listings:   4,214 in August 2018 vs 4,048 last August:  4.1%
  • Average Sales Price:   $454,500 in August 2018 vs $429,000 last August:  5.9%
  • Total Market Time: 40 days in August 2018 vs 34 days last August:  18.3%
  • Inventory in Months: 2.3 months in August 2018 vs 2.0 months last August
Inventory by Area:
  • NW Washington County   2.40 months
  • Beaverton/Aloha               1.39months
  • Hillsboro/Forest Grove     2.02 months

Monday, July 16, 2018

June 2018 Real Estate Market Statistics




The following is the latest Real Estate Market Statistics for June 2018.
Click here for the full report

  • Sales:   2,946 in June 2018 vs 3,187 last June  -7.6 %
  • Pending Sales:   3,059 in June 2018 vs 3,254 last June:  -6.0%
  • New Listings:   4,515 in June 2018 vs 4,739 last June:  -4.7%
  • Average Sales Price:   $472,400 in June 2018 vs $440,600 last June:  7.2%
  • Total Market Time: 37 days in June 2018 vs 38 days last June:  -0.03%
  • Inventory in Months: 2.1 months in June 2018 vs 1.6 months last June
Inventory by Area:
  • NW Washington County   1.99 months            
  • Beaverton/Aloha               1.19months
  • Hillsboro/Forest Grove     1.31 months

Thursday, July 12, 2018

Anticipated Recession - Not Housing Crisis



Next Recession in 2020? What Will Be the Impact?


Next Recession in 2020? What Will Be the Impact? | MyKCM
Economists and analysts know that the country has experienced economic growth for almost a decade. They also know that a recession can’t be too far off. A recent report by Zillow Research shed light on a survey conducted by Pulsenomics in which they asked economists, investment strategists and market analysts how they felt about the current housing market. That report revealed the possible timing of the next recession:
Experts largely expect the next recession to begin in 2020.”
That timing concurs with a recent survey of economists by the Wall Street Journal:
“The economic expansion that began in mid-2009 and already ranks as the second-longest in American history most likely will end in 2020 as the Federal Reserve raises interest rates to cool off an overheating economy, according to forecasters surveyed.”
Here is a graph comparing the opinions of those surveyed by both the Wall Street Journal and Pulsenomics:
Next Recession in 2020? What Will Be the Impact? | MyKCM

Recession DOES NOT Equal Housing Crisis

According to the Merriam-Webster Dictionary, a recession is defined as follows:
“A period of temporary economic decline during which trade and industrial activity are reduced, generally identified by a fall in GDP in two successive quarters.”
A recession means the economy has slowed down markedly. It does not mean we are experiencing another housing crisis. Obviously, the housing crash of 2008 caused the last recession. However, during the previous five recessions home values appreciated.
Next Recession in 2020? What Will Be the Impact? | MyKCM
According to the experts surveyed by Pulsenomics, the top three probable triggers for the next recession are:
  • Monetary policy
  • Trade policy
  • A stock market correction
A housing market correction was ranked ninth in probability. Those same experts also projected that home values would continue to appreciate in 2019, 2020, 2021 and 2022.  
Others agree that housing will not be impacted like it was a decade ago.
Mark Fleming, First American’s Chief Economist, explained:
“If a recession is to occur, it is unlikely to be caused by housing-related activity, and therefore the housing sector should be one of the leading sources to come out of the recession.”
And U.S. News and World Report agreed:
“Fortunately – and hopefully – the history of recessions and current issues that could harm the economy don’t lead many to believe the housing market crash will repeat itself in an upcoming decline.”

Bottom Line

A recession is probably less than two years away. A housing crisis is not.

Monday, July 9, 2018

Homeownership Has Its Benefits


Pride of ownership is the number one reason why people yearn to own their home. You can paint the walls any color you desire, turn up the volume on your music, attach permanent fixtures and decorate your home accordning to your own taste.

Home ownership gives you and your family a sense of stability and security.  In addition to the financial benefits of home ownership, there are other benefits to owning a home versus renting. Homeownership has been linked to improved educational performance, lower crime rates, and greater health.


If it's time for you to discover the benefits of homeownership, I am dedicated to helping clients find homes they adore and can afford.  Give me a call for all Your Real Estate needs.


REAL ESTATE FOR YOUR WORLD


Thursday, July 5, 2018

Home Inspection Checklist

The home inspection is one of the most critical pieces of the buying and selling process.  If you're buying, the home inspection will give you a good idea of the condition of the home you will be moving into.  If you are selling, a pre-listing home inspection may give you an idea of what to fix before your home goes on the market - taking away the chance of surprise following the buyer's inspections.

There are a few things you can look for yourself while walking through the home.  Here is a checklist from www.homeinspector.org that you can use as a guide to identify specific areas of the house that you want your inspector to examine more closely.



I've been through many home inspections and can help you understand this checklist, what to be aware of during the inspection and how to negotiate after all inspections are completed.  Give me a call for all Your real estate needs.


                                          REAL ESTATE FOR YOUR WORLD

Monday, July 2, 2018

Homework Series - July 2018




Parades, fireworks, clambakes - all capture our attention when summer is in full swing. But there are some things around the home that would be beneficial to do in July.  So try to fit in a few of the 9 items below between all the fun activities this month!






  • Clean Porch Lights
  • Check safety devices (carbon monoxide detectors, smoke detectors, fire extinguishers)
  • Clean windows inside and out, and check window screens for holes
  • Check fences and repair or replace as needed