What Could 2021 Mean for the Housing Market?

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2021, home ownership, homes for sale in Jacksonville FL, House values, Investment properties, Low housing inventory, real estate, real estate advice, real estate jacksonville fl, Real Estate Team, real estate tips, The best real estate agent in Jacksonville

This year has been nonstop uncertainty. The coronavirus pandemic led to shutdowns and major changes to our everyday lives. Those changes are likely to continue as we head into winter. Cities have been hard-hit, not only in terms of public health, but also economically. 

Despite everything, the housing market is one thing that’s been consistently strong this year. So, what do experts think next year will bring? Will that positivity hold steady, or are we in for a bust? 

Rising Prices
If inventory remains low into early 2021, it’s possible that home prices will continue to go up. The median asking price for properties in September 2020, according to Realtor.com, was $350,000. That’s up 11% compared to last year. Inventory has declined 39% year-over-year, despite a quick burst of new listings in August. Increased demand and a dwindling supply are great for sellers but not so much for buyers.

Suburbs Reign Supreme
There has been a shift in interest away from urban areas, as many people are packing up to find homes with more space and less proximity to others. Some of the most popular areas in 2020 have included Colorado Springs, CO; Reynoldsburg, OH; and Rochester, NY. We could see continued flight from urban areas to suburbs in 2021. 

Builder Confidence
Despite all of the headwinds and what feels like a barrage of negative information, there is some optimism in housing starts. Consumer confidence was high in September, and builder sentiment similarly seems to be at an all-time high. 

Could There Be Downsides?
While there are some indicators of positivity, there are also potential negatives that could come into play. Unemployment numbers are still high, and rolling lockdowns throughout the winter could cause those numbers to rise. Some predict that foreclosures could also rise as a result. 

When facing uncertainty and anxiety, there’s a tendency among consumers and would-be homebuyers to hoard their cash. Personal savings rates have actually gone up recently, but that means there may be less spending going on, particularly on bigger items like houses. 

Finally, while there are some unnerving indicators, we do know with almost certainty that record-low mortgage rates will hold. The fed has signaled their intention to keep rates low for the foreseeable future.

IT’S A GREAT TIME TO BUY OR SELL! Please get in touch today – Kevin and Jennifer Hanley, REALTORS The Hanley Home Team of Keller Williams Realty Atlantic Partners Southside HanleyHomeTeam.com

New Federally Backed Loan Limits May Help Homebuyers In 2021

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Fannie Mae, federal loans, FHA, FHFA, Freddie Mac, home loans, home prices, homes for sale in Jacksonville FL, interest rates, Jacksonville FL real estate agents, Jacksonville Real Estate, mortgage loan, mortgage rates

Home prices have been steadily increasing in 2020—and as home prices increased, many buyers found they needed larger mortgages in order to purchase homes. But because there’s a limit on conforming loans, many buyers either had to explore alternative loan options (which often carry a higher interest rate) or look for homes in a lower price range (which, with inventory low in markets across the country, proved extremely difficult).

Luckily, access to larger conforming loans is on the horizon.

On November 24, the Federal Housing Finance Agency announced they would officially be increasing the conforming loan limits for Fannie Mae and Freddie Mac-backed mortgages in 2021. Currently, the limit for conforming loans for single-family units for most areas of the United States is $510,400. That limit will increase to $548,250 in 2021—an increase of 7.4 percent.

In higher cost markets (like areas of California and New York), the limit for conforming loans will be higher at $822,375—which is 150 percent of the baseline conforming loan limit of $548,250.

The Takeaway:

What does that mean for you? Increasing the limit for conforming loans will allow buyers to increase their purchasing power and keep up with rising prices—so if you’ve been thinking about buying a home, 2021 is looking like a great time to make a move. Let’s get started! Kevin and Jennifer Hanley, REALTORS The Hanley Home Team of Keller Williams Realty Atlantic Partners Southside 904-515-2479 HanleyHomeTeam.com

Stage Your Outdoor Space This Winter

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energy audit, energy bill, energy efficient, home improvement, homes for sale, homes for sale in Jacksonville FL, protect your home in the winter, staging, staging your home, staging your patio, winterization, winterizing

Colder weather ahead doesn’t mean you have to forfeit your precious outdoor space. This year especially, you’ll want to enjoy your backyard or balcony as long as possible. Here are some tips to make the most of your space this fall and winter.  Clean up ahead of winter Spruce up your yard to create an outdoor environment you’ll be motivated to enjoy. Take time to clean up and dispose of leaves and fallen branches. For your flower beds, pull out the dead annuals, add compost, then plant cover crops or add mulch.  Warm it up Electric or propane outdoor heaters can help extend the outdoor mingling season. With free-standing, tabletop, and umbrella-style versions available in a variety of sizes, there are options available to fit your needs. (If you live in a condo, check regulations first.)  Use what you have Instead of putting it all in storage, leave your patio furniture outside. Add some machine-washable covers to give your cushions a fresh look. Circle your furniture around a fire pit and you’ll be roasting (and burning) s’mores in no time.  Look on the bright side Garden lighting at ground level will illuminate your landscape, and string lights with clear white LED bulbs can create an inviting ambiance. Solar powered, weather-resistant lights are more affordable than ever and make for hassle-free installation and upkeep.  Food for thought Keep the barbecue in working order and your propane tank filled. Grill up some goodies, then enjoy them outside. It’ll be just like a winter tailgate, only cheaper and without a line for the bathroom.

Last Minute Tips for WinterizationIt’s not too late to address a few home maintenance musts before winter fully sets in. Here’s a list of last-minute tasks to knock out before you go into hibernation mode.  1. Check and clean the gutters one last time. As the last leaves have fallen, take time now to make sure your gutters are completely cleared out. Blockages can create ice dams, which will damage your gutters and prevent proper drainage of water away from your foundation.   2. Check your furnace. If you have a furnace, replace your filter if you haven’t already, and commit to changing it once a month. A dirty filter will increase your heating costs and reduce the life of your equipment. Home heating systems that aren’t properly maintained may be less than 50 percent efficient. If you can spring for it this year, an inspection done by a licensed professional is always recommended.   3. Maintain your home’s exterior. Trim back trees and branches that are hanging too close to your home. Seal driveways, brick patios, and wood decks. Look for cracks and gaps around doors, windows, and eaves, and seal them.   4. Test smoke/carbon monoxide detectors This one is easy to overlook, but takes only a couple seconds: hit the “test” button on your smoke/carbon monoxide detector. If the alarm sounds — you’re good to go. If not, replace the batteries and test again. Replace your smoke detector if fresh batteries don’t result in a proper test.   5. Consider an energy audit An energy audit can show you how and where your home is using energy, so you can make simple updates to increase your home’s efficiency – saving you money. Home energy audits typically range in cost from $200-$400, and many energy companies offer rebates that make them even more affordable (or sometimes free).  Perform your own quick energy audit by following some of these tips from Energy.gov. Taking these steps will not only lower your utility costs, but they will protect your largest investment, your home, from the unexpected weather conditions ahead. If you have questions about professional services for home energy audits, give us call before Spring is already here! Kevin and Jennifer Hanley, REALTORS Keller Williams Realty Atlantic Partners Southside 904-515-2479 http://www.HanleyHomeTeam.com

It’s True What You Hear! There’s Never Been a Better Time to Sell!

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advice, Florida, homes for sale, homes for sale in Jacksonville FL, homes in Jacksonville, real estate, sellers market, Should I sell now, The best real estate agent in Jacksonville

filo / Getty Images

JUNE 29, 2020

NAR: Pending Home Sales Soar 44.3% in May

By Kerry Smith

The increase broke all records since NAR started tracking the sales. At May’s 99.6, the pending sales level was about equal to those in 2001. NAR’s economist calls it a “spectacular recovery for contract signings” and shows “the resiliency of American consumers.”

WASHINGTON – Pending home sales mounted a record comeback in May, seeing encouraging contract activity after two previous months of declines brought on by the coronavirus pandemic, according to the National Association of Realtors® (NAR). Every major region recorded an increase in month-over-month pending home sales transactions – and the South also experienced a year-over-year increase in pending transactions.

The Pending Home Sales Index (PHSI) – a forward-looking indicator of home sales based on contract signings – rose 44.3% to 99.6 in May, chronicling the highest month-over-month gain in the index since NAR started the series in January 2001.

While the increase broke records, however, year-over-year, contract signings fell a slight 5.1%. An index of 100 is equal to the level of contract activity in 2001.

“This has been a spectacular recovery for contract signings, and goes to show the resiliency of American consumers and their evergreen desire for homeownership,” says Lawrence Yun, NAR’s chief economist. “This bounce back also speaks to how the housing sector could lead the way for a broader economic recovery.”

“More listings are continuously appearing as the economy reopens, helping with inventory choices,” Yun says. “Still, more home construction is needed to counter the persistent underproduction of homes over the past decade.”

According to data from realtor.com, active listings were up by more than 10% in May compared to April in several metro areas.

“The outlook has significantly improved, as new home sales are expected to be higher this year than last, and annual existing-home sales are now projected to be down by less than 10% – even after missing the spring buying season due to the pandemic lockdown,” Yun says.

NAR now expects existing-home sales to reach 4.93 million units in 2020 and new home sales to hit 690,000.

“All figures light up in 2021 with positive GDP, employment, housing starts and home sales.” Yun says that in 2021, sales are forecast to rise to 5.35 million units for existing homes and 800,000 for new homes.

The month of May saw each of the four regional indices rise on a month-over-month basis after all were down in April 2020. The Northeast PHSI grew 44.4% to 61.5 in May, although it was still down 33.2% year-to-year. In the Midwest, the index rose 37.2% to 98.8, down 1.4% from May 2019.

Pending home sales in the South increased 43.3% to an index of 125.5 in May – a 1.9% increase year-to-year. The index in the West jumped 56.2% in May to 89.2, down 2.5% from a year ago.

© 2020 Florida Realtors®

Are you Emotionally Ready to Sell?

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emotional, homes for sale, Homes for sale in Jacksonville, homes for sale in Jacksonville FL, motivated seller, ready to sell, real estate advice, sell your home, selling your home

We love to sell homes. It’s a privilege and an honor to be a part of the process. We get great satisfaction from making our living helping people move on to the next phase of their life, whether it’s upsizing, downsizing, or simply relocating to a new neighborhood.

But there is one sort of home seller we can’t really help: The seller who’s not really ready to sell.

If you’re thinking about selling your home, don’t enter into the process lightly. It’s a big deal. There’s some stress and there’s a great opportunity for joy. There’s a big investment at stake. This, along with a lot of other reasons large and small, is why you want to be 100% sure you’re ready to sell your home. If you think you’re ready to sell, but it turns out you’re not, you waste a lot of time and energy (and sometimes money).

So how do you know if you’re really ready to sell your home?

1. You’re fine with the process. You must have no problem with the idea of a stranger poking around your house, talking about renovating it, or treating it like a used car. If you’ve lived in your house a long time, it’s natural to have emotional attachments. So if the process of selling the house makes you feel protective or defensive, you may not be ready.

2. You are flexible on the right price. Motivated sellers understand selling a home involves negotiation and competitive market pricing. If you have a number “you must get” in order to sell, then you might want to think again. Also, if all of the agents who price your home come back too low for your standards, take a breather and ask yourself if it’s go time or not.

3. You know where you’re going next. Prepared sellers have plans, even if those plans aren’t 100% firm. They’re anticipating the move and they are probably even shopping for houses, if only casually at the moment. If you can’t clearly answer the question, “Where would you like to live after you sell?” then you’re not quite there yet.

If you’re iffy on any of these, take a step back and consider how you feel. While some markets favor sellers more than others, a home can sell in any market for the right price. Don’t jump into something before you’re ready.

However, when you’re ready, we’re happy to help. Give us a call when the time is right:

Kevin and Jennifer Hanley, REALTORS The Hanley Home Team of Keller Williams Realty Atlantic Partners Southside 904-515-2479 http://www.HanleyHomeTeam.com

Baby-Proof your Home

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Baby Friendly, baby proof your home, baby proofing, home improvement, home safety, homes for sale, Homes for sale in Jacksonville, homes for sale in Jacksonville FL

You may not have kids right now, but chances are you may be entertaining guests one day who do. You can put your guests at ease and do your best to protect their little ones from harm by investing in some modest pre-visit baby proofing. Here are some sound strategies to make their visit low-stress and safe:

Mind the Power and Appliances
Outlets are enemy #1. Baby fingers are like magnets for electricity, so splurge on some plastic outlet covers which fit snugly into those empty sockets. If you have any multi-socket power strips around, be sure to cover those as well (or elevate them out of harm’s reach). Depending on the age of your youngest visitors, some may be able to reach knobs and buttons on appliances like your stove. Exploring hands can accidentally turn on the gas, so if you think your kitchen will be vulnerable, invest around $10 on stove knob covers.

Make Some Rooms Off-Limits
It may not be practical to baby proof every inch of your house, so make certain zones baby-free by using gates. Sturdy, simple, pressure-mounted gates will protect certain passages and prevent you from making any permanent holes in your wall. Alternately, use door knob covers to make even unlocked rooms less likely to be prone to an infant invasion.

Fight Falling Objects
Babies are all about testing gravity, and as they try to bring themselves upright, they’re liable to tug on anything within arm’s reach. This might include your entertainment center, bookshelf, floor lamps, or other furniture. Are there any precarious pieces which might tumble down and seriously injure a child? Consider pieces on top of shelves (like decorative glassware) which could be shaken down through modest force.

Curtail the Cords
Power cords and curtain (or blind) cords can cause falls, entanglement, or even strangulation. Tie these up out of the way or too high for a baby to reach from the floor.

Get Down and Look Around
A baby will put anything in its mouth. That will include choking hazards, dropped medications, or stray chemicals such as rat poison or cleaners. Shift your perspective to the floor and look for anything suspicious.

Some homes are more kid-friendly than others. If you’re looking for a great home for little ones, we can help you find one today!: Kevin and Jennifer Hanley, REALTORS The Hanley Home Team of Keller Williams Realty Atlantic Partners Southside – 904-515-2479 http://www.HanleyHomeTeam.com

Aging in an Accessible Home

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Aging, Aging in an accessible home, aging parents, downsizing, home accessibility, Homes for sale in Jacksonville, homes for sale in Jacksonville FL, homes in Jacksonville, Real Estate Team

If you love your home and plan to live it in through your retirement years, you’ll want to be sure it’s safe for you as you face some of those little challenges aging presents. Assess your home and see if there are any changes you may need to make. Doing so will not only reduce the risk of injury, but it will also give your loved ones peace-of-mind, especially if you live alone.

Here’s what you’ll want to inspect as you consider aging in place:

1. Bathroom handrails. Next to the toilet and tub are top choices. Not only are they there for moments of instability, but they can help you raise and lower yourself more easily. You might also consider converting to a walk-in shower with a seat.

2. Non-slip surfacing. Showers and tubs are much safer if you reduce the chance of slippage. Having coating installed to facilitate your grip is a good idea.

3. Stairway railings. Both inside and outside stairways should have sturdy, useful rails (i.e. not just decorative).

4. Ample lighting. Consider adding lighting indoors and outdoors. Decreased visibility is a major contributor to falls. Lighting also adds security by deterring would-be burglars.

5. Sharp edges. Tables, countertops, and other areas were sharp edges are likely to be found should be replaced with rounded surfaces.

6. Flat thresholds. Transitions from room-to-room should be as bump-free as possible. You may be used to stepping over the occasional random stair or elevated threshold, but you might not be so agile as you age.

7. Storage height. If you’ve been used to climbing up and down step ladders to access your storage spaces, look for alternative storage options.

8. Furniture support. Is your couch too low? Do your chairs have arm rests for support? Are countertops too high? Find the sweet spot where comfort and safety meet.

Home size is often an issue as well, especially if there are upkeep and maintenance issues to consider. Of course, if you’ve decided your current home isn’t the greatest for an age-in-place approach to your golden years, we are happy to help you sell your current home or look for a new one:  Kevin and Jennifer Hanley, REALTORS – http://www.HanleyHomeTeam.com 904-515-2479 The Hanley Home Team of Keller Williams Realty Atlantic Partners Southside

The Top 6 Spots Where Mold Makes Its Home

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homes for sale in Jacksonville FL, Homes in Jacksonville FL, house mold, Jacksonville Real Estate, mold, mold in homes, mold remediation, real estate, The best real estate agent in Jacksonville

For a healthy home, monitoring and eliminating mold is crucial. Mold is sneaky, though, and it can creep up on you when you least expect it. Spores are known to stay dormant until they have the moisture and nutrients they need to bloom. While some forms of mold are obvious, others hide and thrive until musty smells become prominent or members of your family begin developing health problems.

To be a mold sleuth you need to know the top 6 spots where mold makes its home. Check this list to see spots you may have missed:

1. The Bathroom. Yes, it’s the most common, but are you checking all the spots in the bathroom? Toilet seals, wet walls, shower curtains, and beneath sinks are well-known spots, but it’s the shower where things can get grimy. To keep mold from penetrating the tiles, you need to be sure your caulking and grout is in good shape. Otherwise, water can seep in and make a new home for mold.

2. The Kitchen. Monthly, take a look under the sink, behind the fridge, and around the dishwasher. A quiet leak in any of these areas will up the odds of a mold problem.

3. The Basement (or Crawlspace). Darkness? Check. Proximity to the earth? Check. Hidden from view? You betcha. If basements flood or older homes have poor drainage and ventilation of the crawlspace, mold can take hold.

4. The Windows. Condensation can build up here as temperatures fluctuate, and spores hanging around can gradually take hold and bloom into a black, spotty mess. This is especially true if the windows are shaded or are routinely covered by curtains.

5. The Drywall. Here’s a hidden killer in the mold battle. When water gets into the materials which make up drywall, they can promote mold growth. To cure this problem you often have to remove considerable sections of drywall to identify and remove the mold. Your nose is your best guide here.

6. The Carpet. Much like drywall, carpet can hold mold and need to be replaced. The underside of carpet hides much of the visible mold, and culprits contributing to the cause include flooding, moisture from concrete foundations, or even spills.

We are your mold-free agents! Kevin and Jennifer Hanley, REALTORS The Hanley Home Team of Keller Williams Realty Atlantic Partners Southside 904-515-2479 http://www.HanleyHomeTeam.com

 

Tips for Tree Removal

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Buying a home, hiring a tree removal company, homes for sale in Jacksonville FL, Jacksonville, Jacksonville FL Real Estate, liability, real estate, Selling a home, tree removal

If you have a troublesome tree on your property, dealing with it responsibly, economically, and safely is important. While you may own a chainsaw, tackling the project yourself can be extremely risky. Here are some questions to ask and tips for tree removal:

1. Make sure you need to remove it. Mature trees are good for property value. Before you go clear-cutting your property, be absolutely sure removing it is the right move. A certified arborist can help you make the decision between removal or sensible trimming.

2. Don’t do it yourself. What if the tree falls on your house? What if it lands on your neighbor’s car? What if you get crushed? Are you experienced enough with a chainsaw to handle it without injuring yourself? Hire a pro.

3. Hire a certified company. This means someone certified by the International Society of Arboriculture or a Tree Care Industry Association Accredited business. If the tree is near power lines, they’ll also need to be “Approved Line-Clearance” arborists.

4. Can you legally remove the tree? Be absolutely sure the tree is legally on your property before you take action. If you determine it is, find out if any permits are required to remove or trim the tree. Some communities have strict guidelines pertaining to tree removal.

5. Ask about trimming methodology. If the company handling your tree recommends “topping” the tree or uses spikes on their boots for routine tree trimming, find another company. Both can expose the tree to disease and result in serious wounds.

6. Get a detailed estimate from three companies. Nail down what they’ll do, how long it will take, and what equipment they plan to use. You need an apples-to-apples comparison to make your decision, and you might just find out one company takes greater precautions when it comes to safety.

7. Get references. Don’t rely on Yelp alone for a review of your arborist. Ask them for references you can speak to independently.

Trees are beautiful and essential to our ecosystem, but there are times when steps must be taken to deal with dead wood and other incursions. Do yourself a favor and treat your property with the respect it deserves.

Need a good referral for tree work? Get in touch: Kevin and Jennifer Hanley, REALTORS The Hanley Home Team of Keller Williams Realty Atlantic Partners Southside http://www.HanleyHomeTeam.com 904-515-2479

 

How a Love Letter Can Win You a Home!

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advice, homes for sale, Homes for sale in Jacksonville, homes for sale in Jacksonville FL, Jacksonville Real Estate, love letter, multiple offers, sellers market

Have you had a hard time landing your dream home in a hot market? If you’ve been through the bidding wars and have come up short, here’s a tool that might give you an edge in the next round of offers.

If you’ve ever experienced the disappointment of losing out on a home in a seller’s market, you want to do everything possible to keep it from happening again. One tactic many buyers overlook is the “love letter” written to sellers about their home.

Rationally, you might expect the highest offer will always win the home, but there are a host of other factors involved. Some are emotional. Some sellers want to see their home go to a buyer they not only trust to close the deal, but they also like personally.

Want to give yourself an edge? Craft a short “love letter” to go with your offer. Here are the basics you’ll want to cover in your letter:

1. Explain how much you like their home. Don’t go overboard, but prove to them you know the home and you truly appreciate their taste and the unique characteristics of the house. This might touch on improvements they’ve made or other aesthetic details.

2. Spare them all the things you might want to change. What you say is as important as what you don’t say. Don’t tell them you’re going to gut the place as soon as you close, add a second story, or rip out their garden for a pool.

3. Demonstrate you’re qualified to close. Make them feel confident in your qualifications as a buyer. Show them you’re pre-qualified for a loan, are buying cash, or have other reasons why you’ll be a hassle-free buyer.

4. Be humble and positive. Don’t give them a sob story about the four other homes you’ve lost out on. Praise the neighborhood and make them feel as though you would be positively honored to be chosen as the next owner of their home.

5. Check the letter for typos. Read it out loud. Listen for clunky sentences or awkward repetition. Have someone proof it for mistakes. Their confidence in your attention to detail is important.

A good agent should be able to tell you if the letter sounds like an honest appeal. Have it included with your offer as a cover letter.

Need help finding a home worth a love letter? Get in touch today: Kevin and Jennifer Hanley, REALTORS 904-515-2479 http://www.HanleyHomeTeam.com The Hanley Home Team at Keller Williams Realty Atlantic Partners Southside