This past week, the Fed raised the short-term prime interest rate by 0.25%. What does this mean for the Charleston housing market and mortgage rates? The quick answer is, not much. Adam Kernen from Guaranteed Rate explained that the markets were expecting this increase, and last week we saw little movement in interest rates. In fact, USA Today reports that the mortgage industry had anticipated this increase, and may have been pricing it into mortgage rates already. If there is an increase in the mortgage rate premium, just know that it will make a very slight difference in your monthly payment.
Interest rates will not skyrocket anytime soon. It's still a great time to buy and a great time to sell. Take advantage of these historic low rates if you're looking to downsize or get into that bigger, better home. If you have any questions, give me a call or send me an email. I would be happy to help you!
It’s an excellent time to purchase a home in Mount Pleasant! Many people ask, “If Mount Pleasant is in a seller’s market, why should I consider buying?” Today, I offer five reasons why.
Interest rates will never be lower. A simple 1% rate increase creates a 10% decrease in your buying power. For example, if you can afford a $400,000 home in today’s market, you’ll only be able to afford a $360,000 home if interest rates increase just 1%. That’s $40,000 you miss out on if you wait! Take advantage of low interest rates today.
Loan programs have been expanded. Ever since the market crash, banks have changed. Now, we see banks introduce new loan programs that can fit any budget. Previously, Conventional loans without private mortgage insurance were only available to buyers that could put down 20%. Now, buyers can avoid PMI interest with only 5% down! FHA loans only require 3.5% down. VA loans, of course, do not require any money down. Lenders often offer closing costs. Look into programs that allow you to buy a home when you weren't able to before.
Rental prices are increasing. Why pay rent when that same payment can be used towards owning your own property? When you buy a home for the same price, you gain equity. Additionally, you can deduct interest on a mortgage payment from your taxes.
Now is the slow selling season. There are fewer homes sold during this season compared to the rest of the year. It’s a fantastic time to buy. There are significantly fewer buyers in the market now. In Mount Pleasant, we spent the summer wondering if we’d be in a multiple offer situation. Sellers don’t even like that. If you buy now, you avoid rigorous competition in the spring and summer.
There’s a ton of new construction. Builders are giving incentives! When a neighborhood is in the early phase, oftenbuilders offer free upgrades and closing cost incentives. Besides, investing early in a new neighborhood and watching neighboring homes increase in value adds equity to your property.
Let’s discuss your specific needs and get you going! Give me a call today.
I'm not going to lie. Selling your home for top dollar will take some work. The good news is that it's worth it, becauseyou can sell your home for 18% more by using these six tips.
Curb appeal matters.You have to entice the buyers with a nice exterior for them to want to know more about the interior. Plant flowers, mow the lawn, repaint your front door, clean your windows, etc.
Declutter and depersonalize your home.Get rid of personal belongings such as old photos or artwork, and make sure the buyer isn't distracted by other things like clutter on your counter tops. Show off your home and not your belongings. Rent a portable storage unit if you need to - you're moving anyway. Depersonalize the home as well. You don't want a buyer to feel as if they're inside of someone else's home.You want them to feel like they're walking through their own home, so don't clutter the place with your belongings. Not many buyers want to see that giant moose head on your wall. Remove any excess decor that makes your home feel smaller.
Fix things and freshen up your home.Repaint rooms in a neutral color, such as earth tones. Also, fix all of the obvious things around your home such as a squeaky door or a leaky faucet. If you notice it, the buyer definitely will, too.
Don't get too emotionally involved.That is when you can make mistakes. Remember that the home really isn't yours anymore when you're trying to sell it.
Don't get greedy.Buyers aren't fooled by high prices, and they simply won't respond to high prices. Your home will sit on the market and you'll end up with less money than if you had priced your home right to begin with.
Hire an agent with a solid marketing plan.Good marketing means your home will get a lot of demand, and a lot of demand means a good price for your home. I can put your home in front of thousands of eager buyers.
A bonus tip is to clean your home, but I cannot stress the importance of this. Your home needs to sparkle.Cleaning can really make buyers pay a little extra, so the elbow grease is worth it in the end.
As always, please don't hesitate to contact me with any questions you may have about selling homes in Charleston.
Today, we'll discuss the state of the Mount Pleasant real estate market.We know that the world economy has been difficult, so the Fed has decided to hold rates steady through October. However, we are hearing that rates will go up next year.
In September, we saw the normal market slow down. That is usual for this time of year.We've seen homes under contract hit 331 for the week and then hit 255 for the next week.We will continue to see homes under contract slowly decline, but things will pick up again in the spring.
Right now, North Mount Pleasant is in a strong seller's market with approximately 3.6 months of inventory on the market.What that means is that if no new homes came on the market, it would take about 3.6 months to sell all the homes currently listed. When we get to 6 months of inventory on the market, it's considered a balanced market. Anything under 6 months is a strong seller's market.
We're seeing just about the same thing in Mount Pleasant South, only with 2.9 months of inventory on the market.That's an even stronger seller's market. Due to the strong demand for homes, we have seen prices increase slightly in both Mount Pleasant North and Mount Pleasant South. Both have a median price point around $400k.
In Mount Pleasant, we have seen distinct increases in the actual sales price of a home.If we compare January through August of 2014 to that same time period this year, we see that Mount Pleasant North median sales prices increased by almost 10%, while they increased just under 4% in Mount Pleasant South.
The short sale and foreclosure market was a huge segment of the market during the economic recovery. Today, however,short sales and foreclosures have all but dried up.In Mount Pleasant, short sales and foreclosures make up less than 3% of monthly sales.
The new construction market in Charleston is booming!In Mount Pleasant North, 64% of home sales each month are new construction. In Mount Pleasant South, only 29% of the market is new construction. That's because Mount Pleasant North has not been developed as much, and has more land for builders to build on.
If you have any questions about our current market, please give me a call or send me an email. I look forward to hearing from you!
Are you a renter who is looking to purchase a home of your own?If so, you've come to the right place!
By now, you know we only partner with the best.Our preferred lender, Guaranteed Rate, makes buyers dreams come trueby meeting with them in person and finding out what is the best fit for them. They are the best independent mortgage lender in America and have a great spread of loan programs, low interest rates, and a fantastic team to help fulfill your loan in the easiest possible way.
Many of our clients have said to us that they wish they would have made their purchase years ago,instead of renting for a long period of time. With interest rates as low as they are, we want to encourage all the renters out there to buy now! Low rates mean you have more spending power as a buyer,which is perfect for first-time home buyerslooking for the right fit.
Many potential home buyers are waiting until they save up for a large down payment to avoid paying Private Mortgage Insurance.The fact is, you don't need to have 20% down to buy. There are many great low down payment packages out there, such as FHA loans (3.5% down) or conventional loans with as little as 3% down. One of the most popular packages is a 5% down conventional loan with no mortgage insurance!
Nowadays, it's very common for people to monitor their credit.Many people don't want their credit pulled until they are absolutely ready to buy because they fear their score is going to be impacted. This is another misconception - there is no set formula detailing how much your score is impacted by being pulled.If you have pretty good credit as it is,the impact of having a lender take a look at it is going to be minuscule because you've already proven you can manage your own credit risk. If your credit isn't great, give Guaranteed Rate call and they can help you manage it a bit better.
If you have any questions about the minutiae of lending, or if you want more information about whether you're eligible for a home loan, please don't hesitate to reach out to us. Interest rates are at historic lows, so you don't want to miss out on your chance to make the dream of homeownership a reality.
We have a lot of investor clients here in Charleston, and a lot of clients who are interested in investing in real estate here. Today we are going to discuss the 5 things real estate investors need to know about the market right now. They are:
1. We have Homeowner’s Association (HOA) fees in many neighborhoods here. They could range from $100 - $3,000 a year. Some neighborhoods also have golf and social club memberships that are required. If you’re buying, make sure you know all the HOA fees associated with your home, so there are no surprises.
2. Property taxes are higher. If you own a home that is not your primary residence in Charleston, you are going to get charged 3x the standard tax rate. Make sure you take that into account when looking at buying an investment property.
3. Income tax is higher, too. In South Carolina, the income tax is 6-7% if you’re out of state. Make sure you include the amount in your overall calculations.
4. You need a solid insurance quote. Here in the low country, there is a strong possibility that your property will be in a flood zone. Flood insurance rates range from $0 all the way up to several thousand, depending on the location.
5. Get in touch with a reputable rental management company. They will give you solid occupants and will also help estimate the expenses on your property.
If you are looking to buy an investment property here in Charleston, give us a call or send us an email. We can’t wait to hear from you!
Today, we'll discusswhat the stock market correction means for the real estate market here in Charleston.
Over the last couple of days, the stock market has seen its biggest drop since October of 2008, down 6.6%.These losses are real, and they're making people uneasy.
However, stock market corrections do not necessarily mean a housing correction will occur.
The good news is thatCharleston's economy is still growing.Volvo is coming to South Carolina, and Boeing is expanding its company base.
The silver lining for real estate is that interest rates have dropped slightly, and the September increase in interest rates has been put on hold.All in all, it's still a great time to buy in Charleston.
Although we don't know what the long-term effects of the correction will be, just remember that no one ever got rich by panicking. If you have any questions, give me a call or send me an email. I would be happy to help you!
Looking for the perfect Charleston Lifestyle Home? Welcome to 3233 Cottonfield Drive. Come home to breathe. Enjoy life on the water with your own private dock and boat lift, in Mount Pleasant’s premier gated community of Dunes West. Boasting some of Charleston's best golfing, it is just minutes away from award winning shopping, beaches, and dining as well. Downtown Charleston and the College of Charleston are a short 20 min. away. This beautiful home has 4 bedrooms and 4 bathrooms in just over 4,000 sq. ft. The rooms flow generously, one to the other with soaring ceilings more than 14 feet high.
Come in from a day out in the boat and cool off in your private pool. Adjacent is a BONUS building that can be converted into a pool house or game room.
Imagine walking down your dock and jumping on your boat, before taking a short ride to the Wando River. Boat storage is available within the community as well.
This home is perfect for families, as there is lots of separation between the master bedroom and the other 3 bedrooms, or empty nesters who need a fantastic place for the grand kids to come and play. There is even a play set in the yard. The extra large room with full bath over the garage would make a perfect bunk room, media room, or even a mother-in-law suite.
Wow, what an incredibly beautiful place to live!
Uniquely built for entertaining, the open floor plan has a wall of windows bringing the outdoors in. The gourmet kitchen, living room and master bedroom are all tied together by the large deck that leads to the pool. Enjoy over 1 acre of land covered with beautiful palm trees perfect for family parties.
Welcome home to the waterfront lifestyle so many dream about and so few can afford.
Call today for a private showing.
The downstairs Master Suite does not disappoint with beautiful bay windows that overlook the back yard and pool, and more soaring ceilings for breathing room with gorgeous inlay flooring. The pool deck is just beyond with a BONUS detached garage adjacent. This could be used as a pool or game room – it even has an unfinished space above with electrical & partial plumbing! The Spa-like master bath has a huge vanity and sink just for her flanked with 3 mirrors. The dining room can accommodate your entire family for Thanksgiving & boasts views of the front garden.
This home is well-thought-out, with two more bedrooms downstairs have bathrooms; one of the bedrooms opens to the outside for pool access and is across from the bonus detached garage/pool house. The FROG (finished room over garage) is massive! With its own private bathroom and closet, it could be used as a mother-in-law suite, media room, bunk room for the grand kids or your teenager's dream room!
The wall space in this special home is perfect for your spectacular works of art. Freshly painted in Repose Gray, this home was completely remodeled in 2005 with new HVAC. The Clubhouse overlooks the course with beautiful grounds and Live Oaks abound.
Come live the Charleston Lifestyle to its fullest in your gorgeous waterfront home. Note: Tax rate currently at 6% - will drop to 4% if owner occupied!
New construction home purchases have become a larger and larger segment of the Charleston market lately. Today we are going to talk about buying new homes and if you need a buyer’s agent to do so.
Buying a new home through a builder seems so simple, why would you need a buyer’s agent? For starters, it costs you absolutely nothing to have a professional on your side. If you want to test this, walk into any new construction office and ask them to discount the home by the amount you would have paid a buyer’s agent. They will always say no.
Many buyers don’t know that even with new construction, there is room for negotiation. I got one of my clients $25,000 in upgrades from negotiations alone.
Finally, you have an advocate on your side. Having someone who can talk to builders without involving emotion can be valuable, and they may be able to solve certain problems you are unable to.
Having an agent on your side during a new home purchase not only brings their experience in, but the knowledge that you will have an independent home inspector walk through the home so you know what you’re paying for. Use our experience to make your dream a reality!
If you have any questions for us, feel free to give us a call or send us a quick email. We look forward to hearing from you!
In today's video, we'll go over what I like to callCommissions 101. What is the difference between a limited listing brokerage and a full-service brokerage when you're looking to sell your home?
Now that we're in a strong seller's market here in Charleston, many sellers are debating hiring an agent to sell their home, or hiring a limited listing brokerage.A limited listing brokerage only pays the buyer's side of the commission, saving the seller the listing commission.
Some sellers think a limited listing service does just about everything an agent does. They put the home up on the MLS, offer it up to the buyers, get you a contract, and the home is sold - simple as that. Well, maybe.
A full-service brokerage will price your house correctly.That is important because we know that a house that sells in the first 30 days will sell for 97% of list price. If it takes 90 days to sell your home, it will only sell for 91% of list price, according to the National Association of Realtors. On a $400,000 house, that's a difference of $32,000. That's a lot of money in your pocket. To maximize your profits, pricing your home correctly matters.
Secondly,a full-service brokerage will help you through the home inspection process.So many deals fall through during the inspection period. Of course, the buyers want every single thing repaired, and the sellers don't want to repair anything. Two great agents can negotiate a win-win situation where both the buyer and seller are happy, and the deal closes.
Next is the appraisal process.Like it or not, we are in a rising market here in Charleston, and prices are going up quickly.If we get a contract on your house at the asking price, what happens if it doesn't appraise? Most buyers get financing through a bank. The bank won't lend them the money if it doesn't appraise.A great agent is going to do two things: they're going to make sure that your home gets appraised for the highest possible value; if it doesn't appraise, they're going to make sure they get the highest possible value for the seller.
Another benefit offered by the full-service brokerage is marketing. Great marketing creates demand for your home. A full-service agency will definitely create demand.The more demand, the higher the price.
We believe a great full-service agent will more than pay for your commission, and get more money in your pocket. If you're looking to list your home with a full-service brokerage, please give me a call and let me show you how we can sell your home quickly and for top dollar. We'd love to hear from you!
Recently, we've received a lot of mortgage questions from those of you who watch our blog. So, today we thought we would invite Phil of Movement Mortgage to answer some of them for you!
There is a lot of news out there about how lending guidelines have tightened, and many people now think it's very difficult to get funds. The banks are still giving money, but the requirements for verifying a person's qualifications are stricter than they've ever been. Because of these stricter guidelines, it's crucial to work with a real estate professional and a reputable lender. We've had luck getting loans for people with credit scores as low as 580! Even borrowers with credit scores in the low 500s can get a loan with minor adjustments.
Getting a loan is all about planning ahead. It's not a matter of if you can buy a home, but when. There are ways to improve your credit score, and strategies for getting loans even if you don't have a great credit score. The most important thing you can do is get the process started sooner rather than later. This is especially true because interest rates are still artificially low, which can't last forever. Most experts expect rates to rise by the end of this year, so it's never too early to begin the borrowing process! Since rates can't go down, it's best to lock in a low rate now before they begin their steady rise.
If you have any questions about this topic, or if you need real estate assistance of any kind, give us a call or shoot us a quick email. We would love to help you in any way possible!
There are a lot of different real estate agents in Mt. Pleasant and Charleston, so why should you choose us over everyone else?
David and I are a husband and wife team. We have applied our skills to the real estate industry, we are committed to continually educating ourselves, and we attend over 600 hours of training per year in order to stay on top of technology and trends within the industry.
We align ourselves with the best coaches and agents in the industry, who help us to improve our service, which affects our results. The tools we use will allow our buyer clients to find the best homes first in the extremely competitive market that we're seeing right now.
Our marketing allows us to sell homes for top dollar, and we even sell homes in the same neighborhood as other agents for 10% more, which can be a difference of thousands of dollars. We know how to negotiate, and we saved our clients 2.4% more than other agents did. That's all money in your pocket!
If you need help buying or selling in Mt. Pleasant, please don't hesitate to contact us!
Today, we want to share some improvements you can make to your home that will get you your money back!
The top three areas to focus on to get a good return on your investment are the kitchen, bathroom, and laundry room. If you plan on making improvements now, before selling in 5-10 years, you need to establish a budget. A good rule to abide by is to avoid spending more than 10% of the value of your home on your kitchen.
If you're in a $500,000 home and you plan to spend $50,000, it probably won't be enough to gut the entire kitchen and put in a new one. However, you can get the biggest bang for your buck by refinishing or replacing cabinet doors! If you don't have granite countertops, we highly recommend having them installed. If you don't want to go with granite, just ensure it's a solid surface countertop!
Paint colors are also very important. If you're going to sell the home, you want to have neutral tones throughout the house. Colors that appeal to the widest range of people are your safest bet. Even with backsplashes, you want to be a bit conservative. Don't do anything over the top and you should be fine!
Trends are always changing and can be hard to follow.The best way to know what's hot at any given moment is to call a professional who has experience in home improvements! If you have any questions about adding value to your home, don't hesitate to reach out to us. We're always here to help you!
