Selling Your Home

Copyright © Selling Your Home courtesy of Kenneth Bargerse, Greater Nashville Realtor®
The Process​ | Working as a Team to Accomplish Your Goal!

There is a Buyer for every home!  Working as a Team and having a clear understanding of your goals and expectations is key to a successful conclusion in selling your home.  Some common concerns for homeowners are time constraints, net value at closing, and other financial obligations.

Let's begin by review the following topics:

  • Understanding the Market - National
  • Understanding the Market - Greater Nashville
  • Understanding the Market - Your Neighborhood (password protected)
  • Evaluating Your Property (password protected)
  • Staging
  • Marketing
  • Showing​
Understanding the Market | National Overview

The housing market performed reasonably well last year, but housing construction still did not full return to historically normal levels

Instant Reaction: 2017 Q4 GDP
Posted in Comments & Statements, by Adam DeSanctis on January 26, 2018

The following is NAR Chief Economist Lawrence Yun’s reaction to this morning’s U.S. Commerce Department release on Gross Domestic Product (GDP) in the fourth quarter :
“The economy expanded at a respectable rate of 2.3% in 2017. That’s a good comeback considering a very weak start of only 1.2% growth in the first quarter.
The housing market performed reasonably well last year with decade highs in new and existing home sales. But housing construction still did not fully get back to historically normal levels. Only 1.2 million housing units were constructed compared to the historical average of 1.5 million starts a year. This underproduction is the principal cause of the ongoing housing shortage, and why the economy did not fully get back up to 3% GDP growth possibility last year. Even in the private business sector, spending for equipment and software soared, but not for commercial building constructions.
For 2018, the tax cuts that go into effect will provide a lift, and GDP growth of 3% is likely. But to have even faster expansion, along with strengthening wage and income gains, real estate construction has to significantly ramp up and show robust gains. Liberating small-sized community banks from big-bank regulations will permit more construction loans, and could get us back to historical average conditions for construction. This would in turn lead to a spectacular gain of near 4% GDP growth in 2018.”  
Tags:  consumer spending, economy, GDP, housing, housing construction, Lawrence Yun , real estate
Freddie Still Bullish on New-Home Sales
Freddie Mac   article by Daily Real Estate News | March 5, 2018

New-home sales may have started 2018 by softening, but that hasn’t made Freddie Mac economists lose their optimism that the sector will be key to driving the housing market in 2018. New-home sales plunged 7.8 percent in January month over month, but economists remain hopeful.

“While existing home sales may struggle to top their best-in-over-a-decade 2017 performance, new home sales should provide enough growth to push total home sales in the U.S. modestly higher in 2018,” says Len Kiefer, Freddie Mac’s deputy chief economist. “Housing construction continues to lag demand by a wide margin, so we expect to see housing starts grind higher in 2018.”

Freddie Mac economists also predict that tax reform recently enacted will have a limited influence on national home prices. Certain markets with higher average incomes and those with higher property tax rates may see an impact on home prices ranging up to 2 percentage points, Freddie Mac predicts.

Instead, economists predict the highest impact on home prices will come from rising mortgage rates. Freddie Mac has revised its forecasts on mortgage rates since its January Outlook. It now predicts the 30-year fixed-rate mortgage to average 4.6 percent for 2018, up from its 4.5 percent forecast in January.

Home prices are expected to continue to increase too. The most recent release of the Freddie Mac House Price Index shows U.S. house prices increased 7.1 percent from December 2016 and December 2017.

“With construction ramping up slowly to meet demand, house prices should continue to increase, though the pace of growth may moderate as higher interest rates pinch affordability and the tax bill shifts the balance between buy and rent,” says Kiefer.

Freddie Mac estimates that about $14.8 billion in net home equity was cashed out during the fourth quarter for the refinance of conventional prime-credit mortgages (adjusted for inflation in 2017 dollars). That does represent a decrease from $19 billion the year prior.

Source:  “Will the New Tax Bill Dampen the Industry?”  Freddie Mac Outlook (Feb. 27, 2018) and  “Freddie Mac Still Predicts New Home Sales to Drive 2018 Growth,”  HousingWire (Feb. 28,2 018); REALTOR® Magazine Online, Daily Real Estate News 030518

Understanding the Market | Greater Nashville

Greater Nashville Housing Market Remains Strong
Market Strength Brings Challenges
by Kenneth Bargers | January 27, 2018
The Greater Nashville area continues to be one of the hottest real estate markets in the United States.  A continued strong economy pushed momentum in 2016, the values and home sales continued to increase throughout 2017 and ended the second half of 2017 as a consistent monthly housing market in the nation.  Several industry and data tracking entities named Nashville among their Top 20 housing markets for 2017.
Due to the reputation of the "It City", relocation is heavy to Middle Tennessee and with this popularity comes shortages in housing inventory.  Existing-home and new construction inventory struggle to keep pace with the number of buyers.  Housing inventory remained a concern throughout 2017 and forecasted to be a challenge for 2018.  Corporate and company expansion of new facilities are in place for 2018 bringing employment additions to Middle Tennessee - adding additional pressure for housing availability to the already strong Greater Nashville destination.  Addressing the housing inventory will be one of 2018’s priorities with the current popularity of Greater Nashville and Partnership 2020’s continued aggressive pursuit of future business placements and attractions.
Demand for housing also adds as an influence factor on the value of home prices.  Increased home values in 2017 will continue in 2018 per current indicators.  With increased home values also comes the challenge of home ownership affordability within segments of our population.  Of course, the success of national economic guidelines and policies will contribute as a factor in the local up or downturn of our housing market.
Overall, a strong economy, attractive mortgage rates, appeal of Middle Tennessee, along with the desire of home ownership as part of the American Dream should bring another impressive year of housing market production. 
Some key highlights from February 2018 housing data:

  • 2,466 home closings February 2018; a 1.6% decrease from February 2017
  • 3,307 under contract at end of February 2018
  • Median residential price for single home dwelling was $289,093 February 2018 compared to $258,950 February 2017
  • 8,359 housing inventory at the end of February 2018 compared to 8,464 housing inventory of February 2017
  • Average Days on Market was 36 days
Staging | Prepping Your Home

Showoff your square footage and floor plan- Floors, Walls, Ceilings, Windows! Selling your home while you still occupy the premises can be a challenge to your every day routine but the opportunity of a first impression is key to a second showing and/or Offer from a potential Buyer.  Consider these areas of staging when prepping the home.

  • Ease of movement - make sure there are pathways throughout home
  • De-clutter the home
  • Edit down the furniture, if necessary
  • Organize the closets - the floors should be empty
  • All counter-tops for the kitchen and bathrooms should be as clear as possible to show off the working space
  • Attempt to remove any furniture from blocking windows
  • All storage spaces, including the pantry and garage, should be well-organized
  • Make sure each room has its own purpose - for example, a bedroom should not be a dual area for an office or exercise equipment
  • Edit as many personal items as comfortable to you from the home including pictures, achievements and awards
  • Make sure all light bulbs are functional
  • Front Door - is your front door welcoming - do you need to polish or paint the door - is your hardware old, tarnished or beyond repair - please consider this important first impression
  • Outdoors - make sure the property is manicured including the lawn, trees, bushes, landscaping - make sure your outdoor living area is organized and usable 
Marketing​ | Exposure! Exposure! Exposure!

Starting the home buying process online continues to be the first step that many home buyers are taking. Forty-two percent of recent buyers first looked online for the properties for sale, with 92 percent of all recent buyers using the Internet at some point during the home search process. Over half of recent home 
buyers used a mobile or tablet website or application to search for a home. Of the home buyers who used the Internet to search for a home, 47 percent found the home that they ultimately bought online.

The Internet is a key target within the marketing toolbox necessary to promote the maximum exposure of your home!

  • Multiple Listing Service (MLS) - this real estate network initiates your listing exposure throughout the nation.  There are currently over 800 MLS databases throughout the nation with listings shared among all of America's brokers, real estate agents and realtors.  The MLS Listing feeds to secondary-tiered national real estate sites such as HomeSearch, Trulia, Zillow, etc.
  • Real Estate Industry Networking Sites
  • Social Networking Sites
  • Postlets Real Estate Classified Platform - distributes to public home search engines including local classifieds, Craigslist, etc.
  • Exclusive domain address to promote property; for example:
  • Bargers Solutions and Pilkerton Realtors websites
  • E-blast distribution - electronic flyers and marketing announcements targeting realtors and selected e-distributions groups
  • Marketing Print Materials - market sheets, postcards, announcements, brochures
  • Professional Photography
  • Open Houses - periodic open houses usually scheduled on Sundays from 2:00pm-4:00pm - promotion of open houses are advertised a week in advance and also tagged through the MLS system
  • Executive and Estate Properties - additional distribution to targeted corporate relocation departments, chamber of commerce, advertise print publications
  • Vacation and Retreat Properties - additional national distribution, advertise print publications
  • Properties with more than 25 acres also included in MLS Land Listings category
  • Commercial properties - additional distribution to main commercial platform of LoopNet 
Scheduled Showing​ | It's Showtime!

Here are some prep items to remember for your scheduled showing.  If you are out of town or unable to accomplish these tasks beforehand, please give me a call and I will make sure the home is ready for the potential Buyer:

Let there be light!  Make sure all lights, including lamps, are on

Marketing materials are placed in a central location such as kitchen counter top or entrance table - marketing materials include Listing Sheets, Marketing Sheets, Property Condition Disclosure, Business Cards

All windows should be uniform allowing light to flow in the house - all blinds should be up or slats open with the same slant

The candy dish and welcome note should be displayed on the kitchen counter top or entry table

Even though the REALTOR® will be there to walk the potential Buyer through the home - please be sure your jewelry and personal valuables are locked away