This Just In: Data Says May is the Best Month to Sell Your Home

According to a newly released study by ATTOM Data Solutions, selling your home in the month of May will net you an average of 5.9% above estimated market value for your home.

For the study, ATTOM performed an “analysis of 14.7 million home sales from 2011 to 2017” and found the average seller premium achieved for each month of the year. Below is a breakdown by month:

This Just In: Data Says May is the Best Month to Sell Your Home | Simplifying The Market

ATTOM even went a step further and broke their results down by day.

Top 5 Days to Sell:

  • June 28th – 9.1% above market
  • February 15th – 9.0% above market
  • May 31st – 8.3% above market
  • May 29th – 8.2% above market
  • June 21st – 8.1% above market

It should come as no surprise that May and June dominate as the top months to sell and that 4 of the top 5 days to sell fall in those two months. The second quarter of the year (April, May, June) is referred to as the Spring Buyers Season, when competition is fierce to find a dream home, which often leads to bidding wars.

One caveat to mention though, is that when broken down by metroATTOM noticed that while warmer climates share in the overall trend, it turns out that they have different top months for sales. The best month to get the highest price in Miami, FL, for instance, was January, and Phoenix, AZ came in with November leading the charge.

If you’re thinking of selling your home this year, the time to list is NOW! According to the National Association of Realtors, homes sold in an average of just 30 days last month! If you list now, you’ll have a really good chance to sell in May or June, setting yourself up for getting the best price!

Bottom Line

Let’s get together to discuss the market conditions in our area and get you the most exposure to the buyers who are ready and willing to buy!

Call or text me at (602) 300-0423, or connect at any of the social media sites below, and put me to work for you today!

               

Click here for my mobile app:

Ben Zallaha

Ben Zallaha
Realtor
Realty ONE Group Mountain Desert
www.bensellsarizona.com
(928) 277-8685
Buying or selling, my primary focus to make the transaction as smooth and hassle free as possible. How can I serve you?

Posted on May 2, 2018 at 3:14 pm
Ben Zallaha | Posted in Blog |

Why Arizona Home Prices Are Increasing

Why Home Prices Are Increasing | Simplifying The Market

There are many unsubstantiated theories as to why home values are continuing to increase, both in Arizona and throughout the US. From those who are worried that lending standards are again becoming too lenient (data shows this is untrue), to those who are concerned that prices are again approaching boom peaks because of “irrational exuberance” (this is also untrue as prices are not at peak levels when they are adjusted for inflation), there seems to be no shortage of opinion.

However, the increase in prices is easily explainedby the theory of supply & demand. Whenever there is a limited supply of an item that is in high demand, prices increase.

It is that simple. In real estate, it takes a six-month supply of existing salable inventory to maintain pricing stability. In most housing markets, anything less than six months will cause home values to appreciate and anything more than seven months will cause prices to depreciate (see chart below).

Why Home Prices Are Increasing | Simplifying The Market

According to the Existing Home Sales Report from the National Association of Realtors (NAR), the monthly inventory of homes for sale has been below six months for the last five years (see chart below).

Why Home Prices Are Increasing | Simplifying The Market

Bottom Line

If buyer demand continues to outpace the current supply of existing homes for sale, prices will continue to appreciate. Nothing nefarious is taking place. It is simply the theory of supply & demand working as it should.

Looking to buy or sell? Call or text me at (602) 300-0423, or connect at any of the social media sites below, and put me to work for you today!

               

Click here for my mobile app:

Ben Zallaha

Ben Zallaha
Realtor
Realty ONE Group Mountain Desert
www.bensellsarizona.com
(928) 277-8685

 

Buying or selling, my primary focus to make the transaction as smooth and hassle free as possible. How can I serve you?

Posted on April 30, 2018 at 4:39 pm
Ben Zallaha | Posted in Blog |

Arizona, Existing Home Sales Grow Despite Low Inventory

Some Highlights:

  • According to the latest Existing Home Sales Report from the National Association of Realtors, sales grew 1.1% in March to an annual pace of 5.60 million.
  • This is the strongest pace since November of 2017.
  • Inventory levels dropped year-over-year for the 34th consecutive month and are now 7.2% lower than March 2017 levels, representing a 3.6-month supply.

Bottom Line

We need your house! If you’ve been considering or are ready to list your house, call or text me at (602) 300-0423, or connect at any of the social media sites below, and put me to work for you today!

               

Click here for my mobile app:

Ben Zallaha

Ben Zallaha
Realtor
Realty ONE Group Mountain Desert
www.bensellsarizona.com
(928) 277-8685

 

Buying or selling, my primary focus to make the transaction as smooth and hassle free as possible. How can I serve you?

Posted on April 27, 2018 at 3:21 pm
Ben Zallaha | Posted in Uncategorized |

Why You Need A Pro When Selling Your Home

With home prices on the rise and buyer demand strong in Arizona, some sellers may be tempted to try and sell their homes on their own (FSBO) without using the services of a real estate professional.

Real estate agents are trained and experienced in negotiation and, in most cases, the seller is not. Sellers must realize that their ability to negotiate will determine whether or not they get the best deal for themselves and their families.

Here is a list of some of the people with whom the seller must be prepared to negotiate if they decide to FSBO:

  • The buyer who wants the best deal possible
  • The buyer’s agent who solely represents the best interest of the buyer
  • The buyer’s attorney (in some parts of the country)
  • The home inspection companies, which work for the buyer and will almost always find some problems with the house
  • The termite company if there are challenges
  • The buyer’s lender if the structure of the mortgage requires the sellers’ participation
  • The appraiser if there is a question of value
  • The title company if there are challenges with certificates of occupancy (CO) or other permits
  • The town or municipality if you need to get the CO permits mentioned above
  • The buyer’s buyer in case there are challenges with the house your buyer is selling
  • Your bank in the case of a short sale

Bottom Line

The percentage of sellers who have hired real estate agents to sell their homes has increased steadily over the last 20 years. Let’s get together and discuss all we can do to make the process easier for you.

Call or text me at (602) 300-0423, or connect at any of the social media sites below, and put me to work for you today!

               

Click here for my mobile app:

Ben Zallaha

Ben Zallaha
Realtor
Realty ONE Group Mountain Desert
www.bensellsarizona.com
(928) 277-8685

 

Buying or selling, my primary focus to make the transaction as smooth and hassle free as possible. How can I serve you?

Posted on April 24, 2018 at 2:58 pm
Ben Zallaha | Posted in Blog |

Is It Cheaper to Buy or Rent in Arizona?

Buying a Home Is Cheaper Than Renting in the Majority of the US | Simplifying The Market

The results of the 2018 Rental Affordability Report from ATTOM show that buying a median-priced home is more affordable than renting a three-bedroom property in 54% of U.S. counties analyzed for the report.

The updated numbers show that renting a three-bedroom property in the United States requires an average of 38.8% of income.

So where does Arizona come in?

In Maricopa County, rent showed as being less expensive (but by a very slim margin):

2018 Rental Affordability (Pct of Avg Wages to Rent): 38.6%
Q4 2017 Home Affordability (Pct of Wages to Buy Home): 39.2%

Yavapai County, rent came in less as well by a little bit larger margin:

2018 Rental Affordability (Percentage of Average Wages to Rent: 42.5%
Q4 2017 Home Affordability (Percentage of Wages to Buy Home: 57.2%

The least affordable market for renting was Marin County, CA, just over the Golden Gate Bridge from San Francisco, where renters spend a staggering 79.5% of average wages on rent, while the most affordable market was Madison County, AL where 22.3% of average wages went to rent.

Other interesting findings in the report include:

  • Average rent rose faster than income in 60% of counties
  • Average rent rose faster than median home prices in 41% of counties
  • While median home prices rose faster than average rents in 58% of counties

Bottom Line

Buying a home makes sense socially and financially. If you are one of the many renters out there who would like to evaluate your ability to buy this year, let’s get together to find your dream home.

Call or text me at (602) 300-0423, or connect at any of the social media sites below, and put me to work for you today!

               

Click here for my mobile app:

Ben Zallaha

Ben Zallaha
Realtor
Realty ONE Group Mountain Desert
www.bensellsarizona.com
(928) 277-8685

 

Buying or selling, my primary focus to make the transaction as smooth and hassle free as possible. How can I serve you?

Your Name (required)
Email Address (required)
Phone Number (optional)

 


Posted on April 23, 2018 at 6:02 pm
Ben Zallaha | Posted in Blog |

Is Family Mortgage Debt Out of Control?

Is Family Mortgage Debt Out of Control? | Simplifying The Market

Some Arizona homeowners have recently done a “cash out” refinance and have taken a portion of their increased equity from their house. Others have sold their homes and purchased more expensive homes with larger mortgages. At the same time, first-time buyers have become homeowners and now have mortgage payments for the first time.

These developments have caused concern that families might be reaching unsustainable levels of mortgage debt. Some are worried that we may be repeating a behavior that helped precipitate the housing crash ten years ago.

Today, we want to assure everyone that this is not the case. Here is a graph created from datareleased by the Federal Reserve Board which shows the Household Debt Service Ratio for mortgages as a percentage of disposable personal income. The ratio is the total quarterly required mortgage payments divided by total quarterly disposable personal income. In other words, the percentage of spendable income people are using to pay their mortgage.

Is Family Mortgage Debt Out of Control? | Simplifying The Market

Today’s ratio of 4.44% is nowhere near the ratio of 7.21% during the peak of the housing bubble and is instead at the lowest rate since 1980 (4.38%).

Bill McBride of Calculated Risk recently commented on the ratio:

“The Debt Service Ratio for mortgages is near the low for the last 38 years. This ratio increased rapidly during the housing bubble and continued to increase until 2007. With falling interest rates, and less mortgage debt, the mortgage ratio has declined significantly.”

Bottom Line

Many Arizona families paid a heavy price because of questionable practices that led to last decade’s housing crash. It seems the American people have learned a lesson and are not repeating that same behavior regarding their mortgage debt.

For more insight and information about the Metro Phoenix and Prescott Quad Cities markets, like and follow me on the social media sites below.

               

Click here for my mobile app:

Ben Zallaha

Ben Zallaha
Realtor
Realty ONE Group Mountain Desert
www.bensellsarizona.com
(928) 277-8685

 

Buying or selling, my primary focus to make the transaction as smooth and hassle free as possible. How can I serve you?

Posted on April 19, 2018 at 3:51 pm
Ben Zallaha | Posted in Blog |

How Much Do You Need to Make to Buy a Home in Arizona?

How Much Do You Need to Make to Buy a Home in Your State? | Simplifying The Market

It’s no mystery that cost of living varies drastically depending on where you live, so a new study by GOBankingRates set out to find out what minimum salary you would need to make in order to buy a median-priced home in each of the 50 states, and Washington, D.C.

States in the Midwest came out on top as most affordable, requiring the smallest salaries in order to buy a median-priced home. States with large metropolitan areas saw a bump in the average salary needed to buy with California, Washington, D.C., and Hawaii edging out all others with the highest salaries required.

The median price in the Metro Phoenix area came in at $227,500, while up north in Prescott, prices averaged $346,700. Interesting to note, the outlying cities around Prescott like Prescott Valley, Chino Valley and Dewey/Humboldt, offered homes averaging around $257,000-helping to make small town living affordable.

Below is a map with the full results of the study:

How Much Do You Need to Make to Buy a Home in Your State? | Simplifying The Market

GoBankingRates gave this advice to anyone considering a home purchase,

“Before you buy a home, it’s important to find out if you can afford the monthly mortgage payment. To do this, some financial experts recommend your housing costs — primarily your mortgage payments — shouldn’t consume more than 30 percent of your monthly income.”

As we recently reported, research from Zillow shows that historically, Americans had spent 21% of their income on owning a median-priced home. The latest data from the fourth quarter of 2017 shows that the percentage of income needed today is only 15.7%!

Bottom Line

If you are considering buying a home, whether it’s your first time or your fifth time, let’s get together to evaluate your ability to do so in today’s market!

Call or text me at (602) 300-0423, or connect at any of the social media sites below, and put me to work for you today!

               

Click here for my mobile app:

Ben Zallaha

Ben Zallaha
Realtor
Realty ONE Group Mountain Desert
www.bensellsarizona.com
(928) 277-8685

 

Buying or selling, my primary focus to make the transaction as smooth and hassle free as possible. How can I serve you?

Your Name (required)
Email Address (required)

Phone Number (optional)


Posted on April 18, 2018 at 3:37 pm
Ben Zallaha | Posted in Blog |

Rising Prices Help You Build Your Family’s Wealth

Over the next five years, home prices are expected to appreciate, on average, by 3.6% per year and to grow by 18.2% cumulatively, according to Pulsenomics’ most recent Home Price Expectation Survey.

So, what does this mean for homeowners and their equity position?

As an example, let’s assume a young couple purchased and closed on a $250,000 home this January. If we only look at the projected increase in the price of that home, how much equity will they earn over the next 5 years?

Rising Prices Help You Build Your Family’s Wealth | Simplifying The Market

Since the experts predict that home prices will increase by 5.0% in 2018, the young homeowners will have gained $12,500 in equity in just one year.

Over a five-year period, their equity will increase by over $48,000! This figure does not even take into account their monthly principal mortgage payments. In many cases, home equity is one of the largest portions of a family’s overall net worth.

Bottom Line

Not only is homeownership something to be proud of, but it also offers you and your family the ability to build equity you can borrow against in the future. If you are ready and willing to buy, call or text (602) 300-0423, or at any of the social media sites below, and let’s find out what your options are today!

               

Ben Zallaha

Ben Zallaha
Realtor
Realty ONE Group Mountain Desert
www.bensellsarizona.com
(928) 277-8685
Buying or selling, my primary focus to make the transaction as smooth and hassle free as possible. How can I serve you?

Posted on April 17, 2018 at 3:28 pm
Ben Zallaha | Posted in Blog | Tagged , , , , ,

Ready to Buy in Arizona, Getting Pre-Approved Should Always Be Your First Step

In the hot Prescott Quad Cities and Metro Phoenix market, the number of buyers searching for their dream homes greatly outnumbers the number of homes for sale. This has led to a competitive marketplace where buyers often need to stand out. One way to show you are serious about buying your dream home is to get pre-qualified or pre-approved for a mortgage before starting your search.

Even if you are in a market that is not as competitive, understanding your budget will give you the confidence of knowing if your dream home is within your reach.

Freddie Mac lays out the advantages of pre-approval in the ‘My Home’ section of their website:

“It’s highly recommended that you work with your lender to get pre-approved before you begin house hunting. Pre-approval will tell you how much home you can afford and can help you move faster, and with greater confidence, in competitive markets.”

One of the many advantages of working with me as an Arizona real estate professional is the great relationships with local lenders who will be able to help you with this process. Once you have selected a lender, you will need to fill out their loan application and provide them with important information regarding “your credit, debt, work history, down payment and residential history.”

Freddie Mac describes the ‘4 Cs’ that help determine the amount you will be qualified to borrow:

  1. Capacity: Your current and future ability to make your payments
  2. Capital or cash reserves: The money, savings, and investments you have that can be sold quickly for cash
  3. Collateral: The home, or type of home, that you would like to purchase
  4. Credit: Your history of paying bills and other debts on time

Getting pre-approved is one of many steps that will show home sellers that you are serious about buying, and it often helps speed up the process once your offer has been accepted.

Bottom Line

Many potential home buyers overestimate the down payment and credit scores needed to qualify for a mortgage today. If you are ready and willing to buy, you may be pleasantly surprised at your ability to do so.

Reach out to me via text or call at (602) 300-0423, or at any of the social media sites below, and I’ll connect you with one of my amazing lenders!

               

Ben Zallaha

Ben Zallaha
Realtor
Realty ONE Group Mountain Desert
Prescott Arizona
(928) 277-8685
Buying or selling, my primary focus to make the transaction as smooth and hassle free as possible. How can I serve you?

Posted on April 16, 2018 at 4:51 pm
Ben Zallaha | Posted in Blog | Tagged , , , , ,

A Tale of Two Markets

A Tale of Two Markets [INFOGRAPHIC] | Simplifying The Market

Some Highlights:

  • A trend that has been emerging for some time now is the contrast between inventory & demand in the Premium & Luxury Markets vs. the Starter & Trade-Up Home Markets and what that’s, in turn, doing to prices!
  • Inventory continues to rise in the luxury & premium home markets which is causing prices to cool.
  • Demand continues to rise with low inventory in the starter & trade-up home markets, causing prices to rise!

Bottom Line

Now truly is a great time to move up to a bigger house or your dream home! Reach out to me via text or call at (602) 300-0423 or at any of the social media sites below and let me know how I can best serve you!

               

Ben Zallaha

Ben Zallaha
Realtor
Realty ONE Group Mountain Desert
Prescott Arizona
(928) 277-8685

 

Buying or selling, my primary focus to make the transaction as smooth and hassle free as possible. How can I serve you?

 

Your Name (required)
Email Address (required)
Phone Number (optional)

Your Name (required)

Email Address (required)

Phone Number (optional)


Posted on April 13, 2018 at 5:17 pm
Ben Zallaha | Posted in Blog |

Categories