Northern Virginia Real Estate Podcast with Janet Gresh and the Gresh Group

3 Home Improvement Projects That Buyers Will Love

sales@thegreshgroup.com (Janet Gresh) — Tue, 30 Oct 2018 10:08:00 -0700

To increase your odds of selling in this market, you might want to look at completing a few home improvement projects. These are the three that we recommend.

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As we slowly shift to a buyer's market, it’s time to make some adjustments. For one thing, it's worth looking at some simple home improvement projects that can help ensure you sell your home quickly and at a top price.

The thing is, when it comes to selling your home, not all home improvements are created equal. That's why I've collected the three top home improvement projects that homebuyers love, according to a report by the National Association of Home Builders:

1. A laundry room. More than anything, homebuyers currently want a separate room for washing, folding, and ironing clothes so they can keep the mess out of their living space. If you have an unused basement, it makes a lot of sense to put the laundry room there because all of the utility lines will be accessible and you probably won't have to demolish anything. A new laundry room could cost as little as $1,000 and could contribute a lot more than that when you look to sell your home.

90% of buyers want energy-efficient windows in their home.

2. Exterior lighting. Exterior lighting is the most desired outdoor feature by homebuyers, appearing on 92% of wish lists. Your options for exterior lighting include spotlights, walkway lights, and pendant lights. Fixtures range in price between $65 to $132. Exterior lighting will present your home in the best possible light, impressing these potential buyers and increasing overall interest in your home.

3. Energy-efficient windows. Most homebuyers today care about energy efficiency. Specifically, 90% of them want energy-efficient windows in their new home. A set of energy-efficient windows will drive down the costs for your utilities, improve comfort inside your home, and increase your home's curb appeal.

That's why, whether you are planning on staying in your home for a while or are looking to sell quickly, energy efficient windows are worth considering. In fact, that's true for all of the above projects. If you have any questions about any of these projects or what else you can do to add value to your home before selling, don’t hesitate to give me a call at 703-328-3434 or email me at Janet@TheGreshGroup.com. I look forward to hearing from you soon.

An Update on Our Fall 2018 Real Estate Market

sales@thegreshgroup.com (Janet Gresh) — Wed, 17 Oct 2018 08:05:00 -0700

As we head into fall, we wanted to bring you a closer look at the real estate market. Here’s what you need to know.

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If you've been thinking of selling your home, you'll want to keep listening. Today I’ll show you how to get a significant advantage over a lot of other home sellers in the market today.

First, let me give you a bit of background on the current conditions in the (area) housing market:

1. Mortgage rates have hit a 7-year high. Several weeks ago, the 30-year fixed mortgage rate broke through the 4.6%-mark—the highest level since May 2011. This is part of an ongoing upward trend in mortgage rates, which started over a year ago. In spite of the rate increase, mortgage applications spiked in September. This is a signal that buyers expect rates to go up even more in the near future.

2. Affordability is dropping, and demand might soon follow. For the past several years, home prices have increased at twice the speed of inflation. For a while, this didn't have too much of an effect on the market because there was so much pent-up demand. Affordability is suffering—an estimate from early summer put current home affordability levels at a 10-year low.

If you’ve been thinking about selling, the time to act is now.

3. More home sellers are reducing prices. Not surprisingly, the combination of sustained high prices, increasing mortgage rates, and a drop in demand is finally starting to have an impact on the real estate market. More than a quarter of homes listed as of September 16 had a price drop.

What does this all mean for you? In short, if you've been thinking of selling your home, then the time to act is now. In spite of the easing of demand, there are still many hungry buyers on the market and prices remain near all-time highs. This means you can sell your home quickly and for top dollar.

However, all of the reasons I listed earlier mean this situation might not hold very long. Demand might slack off even more and many more homeowners might decide to enter the market, driving down prices and really ushering in a buyer's market. That's why it can make a lot of sense to move early—before this kind of awareness reaches the majority of homeowners.

If you want specific information about the current Northern Virginia real estate market, or you're mulling over the idea of buying or selling a home, please give me a call at 703-328-3434 or email me at Janet@TheGreshGroup.com. I look forward to hearing from you soon.

How Mortgage Rates Are Affecting the Market

sales@thegreshgroup.com (Janet Gresh) — Tue, 2 Oct 2018 08:28:00 -0700

The average mortgage rate is at a seven-year high. Is this what’s behind the shift we’re seeing in the market?

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The 30-year fixed mortgage rate currently stands at around 4.77%. That's near a seven-year high, and almost 1% higher than just a year ago. This is the result of a steady rise starting last September and ending this May.

What impact is this having on the real estate market? It's certainly true that affordability is down. In fact, one estimate from June found that home affordability is at a 10-year low. This is translating into fewer home sales, fewer viewings, and fewer mortgage applications.

However, I don't believe that the shifts in the mortgage rate is the primary mover of the changes we're seeing in the real estate market. In fact, even at its current level, the mortgage rate is still historically low.

Instead, the big reason for the changes in the real estate market is the ongoing growth in prices. Over the past several years, home prices have gone up at close to twice the rate of inflation, and have far outstripped the growth of incomes.

Over the past several years, home prices have increased at twice the rate of inflation.

The price increases, in turn, have been caused by a lack of inventory, which has been shrinking for the past three years. In my opinion, it’s this lack of inventory (and the resulting hike in prices) that explains most of the effects on the real estate market that I listed above.

If you're looking to sell, you should still have no trouble doing so. Demand continues to outstrip supply, and even with dropping affordability, it's very likely that you would find a buyer quickly and at a top price.

If you're looking to buy, the picture is more complex, because it's so hard to predict what the mortgage rate might do in the near term. One thing we do know is that the severe lack of inventory is unlikely to change any time soon.

If you want specific information about the current Northern Virginia real estate market, or you're mulling over the idea of buying or selling a home, please give me a call at 703-328-3434 or email me at Janet@TheGreshGroup.com. I look forward to hearing from you soon.

Is Northern Virginia Entering a Buyer’s Market?

sales@thegreshgroup.com (Janet Gresh) — Wed, 12 Sep 2018 14:10:00 -0700

After being in a seller’s market for quite some time now, it looks like a shift is on the horizon. Here’s what you can expect.

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After several years of continuous price gains, the real estate market seems to be reaching its price cap. In June, the last month for which we have complete numbers, 14% of all listings saw a price cut. That's up from a low of 11.7% at the end of 2016.

In the same month, housing demand fell 9.6%, the largest decline in over two years. Mortgage applications to purchase a home have decreased as well.

A few things are at play here. One is rising mortgage rates, which have been steadily climbing for much of this year. Another is an overall decrease in affordability, resulting from a combination of the growth in home prices and mortgage rates.

If this is the start of a buyer's market, it's unlikely to be just a momentary blip. One sign of this is that homebuilder sentiment has recently fallen to the lowest point in almost a year. In other words, homebuilders are losing confidence in their business due to the aforementioned affordability concerns.

This is certainly good news if you’re looking to buy a home.

So what does this mean for you?

Well, it's certainly good news if you're looking to buy, because it means you will have more choice at more affordable prices.

On the other hand, if you've been thinking of selling, this might mean that it’s time to act. Listing your home now would give you the best odds of achieving a top price before the change in the market occurs.

Remember that all real estate is local. There are big differences even within the Northern Virginia area, and prices can change from block to block.

If you want specific information about the current Northern Virginia real estate market, or you're mulling over the idea of buying or selling a home, please give me a call at 703-328-3434 or email me at Janet@TheGreshGroup.com. I look forward to hearing from you soon.

Does Investing in a Starter Home Make Sense?

sales@thegreshgroup.com (Janet Gresh) — Tue, 28 Aug 2018 08:56:00 -0700

Investing in a starter home isn’t the right move for every homebuyer. However, this is how many can benefit from one.

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Should you invest in a starter home? Or, is it a better idea to wait and save up for your "forever" home?

First off, let's make sure we are talking about the same thing. Economists often define a "starter home" as being in the lower third of a market's valuation (as opposed to trade-up homes and luxury homes). For many homeowners, however, a starter home is not about price. Instead, it is about how long they plan to stay there.

This is where the dilemma really lies. This is because buying and selling a home, as well as moving in and out, each carry specific expenses. Also, since the bulk of the mortgage payments for those first years go to interest, you are unlikely to build up much equity if you only own the home for a short while.

In fact, according to one estimate, the break-even point for a starter home is somewhere between five to seven years. In other words, if you're planning to stay in the home for just a few years, it might not make sense to buy it in the first place.

Am I telling you not to buy a starter home? No. There are definitely situations in which a starter home makes perfect sense.

A starter home can help you save money and build equity.

For example, if you’re planning on staying put for five or more years, a starter home will save you money on rent and help you build up equity. Purchasing a starter home also makes sense if the home has the potential to become your forever home with the right renovations or additions.

If you are open to keeping the home and renting it out later in case plans change, buying a starter home may be a wise choice in this case, as well.

Ultimately, this will be a decision that is based on your own unique preferences and places.

When you weigh all of that in, if you do decide that a starter home might make sense for you, then here's something important you should know: The best time to buy a starter home is coming up soon. Fall is the season when starter home inventory peaks and listing prices drop, according to the real estate portal Trulia. This means you will have the most choice, at the most affordable prices.

If you have any questions about the current Northern Virginia real estate market, including whether a starter home is right for your unique circumstances, don't hesitate giving me a call at 703-328-3434 or email me at Janet@TheGreshGroup.com. I look forward to hearing from you soon.

3 Reasons to Consider Selling This Fall

sales@thegreshgroup.com (Janet Gresh) — Tue, 14 Aug 2018 09:38:00 -0700

Fall is an underrated time for home sellers. Here are a few reasons why.

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Sometimes it pays to go against the crowd. The real estate market is definitely at a peak during the spring and summer, but going against this trend and listing your home in the fall can have some great benefits:

1. Buyers are more serious. During the spring and summer, many buyers are more curious than actually committed to purchasing a property. On the other hand, buyers in the fall tend to be more serious. Many have been searching throughout the summer and have not found their perfect home yet. Others are simply forced to look for a new home because of a new job, a work relocation, or because they want to complete their move ahead of the holidays. In other words, fall buyers make up in dedication for what they might lack in numbers.

Fall is a great time to make a move up.

2. There's less competition. It's no secret that most homes are listed in the spring and summer. However, homes that are not sold by the end of the summer are often delisted. Otherwise, they start to draw less interest because of the time they have spent on the market. If you list in the fall, you have the benefit of standing out, as well as facing less competition than during the "hotter" seasons.

3. It's easier to move up. If you're looking to buy a new home and also sell your current one, then the fall market may offer the best opportunity to do so. You will enter the market with confidence and without stress, while many sellers who have been unsuccessful in selling their homes during the summer will be more eager to sell during this time. This can lead to very flexible negotiations that will work in your favor.

If you have any questions about why the fall is such an opportune time for you to sell or about the home selling process in general, don’t hesitate to give me a call at 703-328-3434 or email me at Janet@TheGreshGroup.com. I look forward to hearing from you soon.

How to Keep Your Home Cool Without Cranking Up the A/C

sales@thegreshgroup.com (Janet Gresh) — Tue, 17 Jul 2018 08:42:00 -0700

Want to keep your home cool this summer without having to pay an arm and a leg in utility costs? Here are three alternative ways to cool your home.

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Temperatures are rising and so are your utility bills, courtesy of that big power hog: your air conditioner. If you want to cut down your cooling costs without having to crank up the A/C, here are three tricks you can try instead:

1. Fans and ice. You can easily make a DIY air conditioner, with nothing more than a box fan and some ice. Simply put the ice into a bowl and place it in front of the running fan. As the ice melts, it cools the air around it. The fan will then disperse that wonderfully cool air all around your home.

Fans can do more than that, though. Another cooling trick is to run your ceiling fans counterclockwise—this will pull up the hot air, leaving you sitting in a cooler space. And installing a whole-house fan can literally pull out all the hot air from your home and siphon it up and out at minimal cost.

2. Green cooling. Plants do a wonderful job absorbing sunshine and reducing the summer heat. If you're planning to stay in your home for a while, it might make sense to plant several deciduous trees on the south side of your home.

Some of these will actually boost your home’s value.

Another option is several potted sunflowers, which grow quickly but have large leaves. Climbing vines or foliage on a trellis can keep the front of your home cool, while a green roof will both increase your comfort and reduce your energy bills year-round.

3. A summertime schedule. For this natural trick, simply open up the windows in the early morning and shut them before you go to work. This will allow you to suck in some cool air and to keep out the hot air later in the day. For even better results, draw the shades during the day and consider getting heat-blocking blackout curtains.

These kinds of simple heat-busting tricks can be effective at reducing the heat during the summer months and lowering your energy bills by 30% to 50%.

Plus, small investments like planting a tree or installing a whole-house fan can also boost the value of your home. I bring this up because the summer is also when the real estate market gets hot.

If you are ever in need of a trustworthy real estate agent, my doors are always open. If you have any questions or you are interested in buying or selling a home, don’t hesitate to give me a call at 703-328-3434 or email me at Janet@TheGreshGroup.com. I would be happy to help you.

3 Real Estate Scams You Need to Know About

sales@thegreshgroup.com (Janet Gresh) — Thu, 14 Jun 2018 10:28:00 -0700

There are three real estate scams I’ve become aware of recently that you need to know how to protect yourself against.

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It can be a scary world out there. While the majority of people are good and honest, a few bad apples always try to take advantage of others.

Unfortunately, the real estate market is no different. Today I wanted to let you know about some real estate scams I've become aware of recently:

1. The mortgage closing scam. This scam is spreading across the country. It has become so prevalent that the FBI estimates it has led to over $1 billion in stolen or diverted funds in 2017 alone. It starts when hackers gain access to a real estate agent's email account. Then, when it's time to close a deal, the hackers, posing as the real estate agent, send instructions to the homebuyer on where to wire the money.

Of course, it is only after the buyer has sent thousands of dollars to an unknown bank account that the truth comes out—the real estate agent wasn't actually the one reaching out, and the buyer has been scammed.

2. Fake real estate lawyers. This scam is similar to the first one, in that the scammers will impersonate somebody legitimately involved with a deal. In this case, the hackers will impersonate a real estate lawyer who is associated with a particular home sale.

Find a real estate agent you trust to represent your best interests.

3. The bait-and-switch. Unlike the first two scams, this scam targets sellers. It also doesn't require any hacking or impersonation—just a dishonest buyer. Here's how it works: A buyer makes an offer that's well above the listed price, the seller happily agrees, and the contract is signed.

But then, the buyer starts procrastinating, making excuses, and dragging out the process for months or even a year. In the meantime, the seller continues to pay costs for the home, and is getting more and more emotionally worn out. In the end, the unscrupulous buyer flatly says they can only buy the home at a lower price, usually under the listed price. And the seller, desperate by now, frequently agrees.

So, how can you protect yourself against these and other scams?

For one thing, avoid sending account information over email. Confirm everything over a phone call (to a number that you already know to be valid)—or even better, in person. And ultimately, find a real estate agent you trust to represent your best interests.

If you are ever in need of a trustworthy real estate agent, my doors are always open. If you have any other questions or you are interested in buying or selling a home, don’t hesitate to give me a call at 703-328-3434 or email me at Janet@TheGreshGroup.com. I would be happy to help you.

Happy Memorial Day 2018

sales@thegreshgroup.com (Janet Gresh) — Mon, 28 May 2018 05:53:00 -0700

3 Questions to Ask Any Agent Before You Hire Them

sales@thegreshgroup.com (Janet Gresh) — Wed, 9 May 2018 13:14:00 -0700

Before hiring a real estate agent, you need to do some vetting. Here are the questions that we recommend you ask.

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Buying or selling a home is a major project. Having a trustworthy agent to guide you through that project can be an invaluable asset. But how can you vet potential real estate agents to see who would be a good fit for you? Here are three important questions you should ask to get started:

1. "How many homes have you sold in the last 12 months?" Many real estate agents will tell you the number of years they have in the business. That's useful, but their recent activity can be more relevant than their total experience. Asking this question can tell you how well they know the market, as well as how successful you can expect them to be in your case.

Bonus Question: You will probably want to ask whether the agent works primarily with buyers or sellers, because many agents specialize to some extent in one or the other.

2. "Can I have the contact info for your last three deals?" Anybody can say they are a marvelously effective real estate agent. But talking to actual past clients can help you decide whether this is true or a bunch of hot air. When you do talk to a real estate agent's previous clients, you don't need to get too fancy to get useful information. Simply ask them to share their experience.

You want to get a sense that this agent is somebody you can trust.

3. "What is your strategy for my specific needs?" As a buyer, you will want the agent to explain how they will search for your new home, how many homes you can expect to see, and how the agent handles multiple offers. As a seller, you will want to know how and where the agent will advertise your home.

So what kinds of answers should you look for to these questions?

Ideally, you will want to get a sense that this agent is somebody you can trust and that you feel comfortable working with.

At the same time, you will want them to be experienced and diligent, as evidenced by recent successful deals and a concrete plan of action for your situation.

If you ever want to know how I measure up on these questions, you can always give me a call at 703-328-3434 or send an email to Janet@TheGreshGroup.com. I'd love to hear what your specific situation is and whether I would be a good match to help you in the current Northern Virginia real estate market.

3 Things to Know About the Spring Real Estate Market

sales@thegreshgroup.com (Janet Gresh) — Mon, 23 Apr 2018 10:09:00 -0700

Here are a few things to know about the real estate market as we head into spring. It should be a great season.

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Each year, spring is the hottest season for real estate. However, spring 2018 looks to be an especially important time for anyone looking to sell a home. Here are a few facts to get you thinking:

1. Demand continues to outstrip supply. The number of homes on the market is near an all-time low, and listings of existing homes have plunged 8.1% over the past year. While this means that the total number of sold homes has actually decreased, demand continues to be strong.

2. Home prices are still surging. Home prices are up 6.3% year over year in the last quarter for which we have data. It's not just Northern Virginia that's doing well — areas around the country keep posting record highs for home values.

3. Mortgage rates are finally rising. The Fed increased its benchmark rate several times over the past year, but this did not translate to an immediate increase in mortgage rates. However, mortgage rates do seem to be finally responding, and the 30-year fixed rate is now hovering around 4.5.%. While this is a four-year high, it is still near historical lows, and makes mortgages affordable to would-be buyers.

It’s not clear how long this favorable situation will last.

Put together, what do these facts mean if you are considering selling your home?

First off, they mean that right now is a very good time to sell. That's because of the strong demand and the high level of current prices. In other words, if you were to put your home on the market right now, you could get top dollar, and you would be able to sell quickly and without hassle.

Second, it's not clear how long this favorable situation will last. As I mentioned, mortgage rates are on the rise. Currently, that is not enough to dampen demand. But if rates continue to rise, it might drive more buyers out of the market, eventually driving down prices and making it more difficult to sell your home.

Another thing to consider is the effect of the new tax plan. It's not entirely clear how it will affect the real estate market, but odds are good it will make home buying more expensive. That's because of a new cap on state and local tax deductions, which could combine with higher mortgage rates to push more buyers out of the market.

To sum up, if you have been considering selling your home, consider selling now. The current moment is very favorable, but it won’t last forever. If you have any questions for me about how to get started buying or selling a home, don’t hesitate to reach out and give us a call at 703-328-3434 or send us an email to Janet@TheGreshGroup.com. We look forward to hearing from you soon.

When Do the Experts Think the Best Time to Sell Is?

sales@thegreshgroup.com (Janet Gresh) — Wed, 28 Mar 2018 08:08:00 -0700

The best time of year to sell your home might not be what you think it is. Here’s what we mean.

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There's a bit of a controversy brewing among real estate experts. The topic is the best time of year to sell a home. On one hand, real estate agents across the country agree: Spring is the best time to sell your home.

However, do the facts actually support this view? The folks at real estate web platform HomeLight wanted to find out, so they crunched the numbers on actual home sales in different markets to see when the best time to sell a home actually was.

In general, spring did come out on top in many situations. However, there were also many exceptions.

For example, in Greenville, SC, the best month was July, beating out the average sales price by 150%. In Breckenridge, CO, February was the winner, with a 106% increase over the average. In Tomball, TX, homes sold in October for 133% more than the average for the year.

It’s not as simple as saying that spring is the best time to sell your home.

What does this all mean for you? If you want a broad recommendation for when to sell your home, then simply listing your home now at the very start of spring is a recommendation that can't be beat.

There are plenty of other details that go into the optimal decision. Weather is a big one. Recent real estate trends in the area would be another. The specifics of your own home and the kinds of homebuyers it is likely to attract is a third and crucial aspect. There are fewer homebuyers in the fall and winter, but they tend to be more serious and eager to find a home before the holidays. In the summertime, there might be added pressure to buy a home before the school season starts.

In short, it's not as simple as saying spring is the best time to sell your home. If you have any questions for me, give me a call at 703-328-3434 or send me an email at Janet@TheGreshGroup.com and we can discuss all the unique attributes your home, put them in the context of recent trends in the Northern Virginia real estate market, and come up with a winning strategy of when you should list to get the best price. I look forward to hearing from you soon!

The Key Steps of a Mortgage Pre-Approval

sales@thegreshgroup.com (Janet Gresh) — Fri, 16 Mar 2018 11:33:00 -0700

If you’re buying a home with a mortgage, you absolutely need to get a pre-approval first. Here’s why.

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There's no doubt about it. It's a very competitive market today if you are looking to buy a home.

Inventory is near record lows, and more and more homebuyers are entering the market. This means you need every advantage to grab that perfect home when you do find it.

One no-brainer is to get pre-approved for a mortgage. A pre-approval informs you of how much you can borrow and it's something you will need to do at a later point anyway.

A pre-approval can mean the difference between having your offer accepted or having to watch your dream home go to somebody else in a crazy market like this.

In spite of all these good reasons, less than 10% of buyers who got a mortgage get pre-approved by the lender who originated the loan. In other words, you can definitely get a leg up on the competition by starting your home search at the loan office rather than at the open house.

A pre-approval definitely gives you a leg up on the competition.

Here are a few things that you will need:

1. Proof of income. At a minimum, lenders will want to see pay stubs from the past 30 days showing your year-to-date income, two years of federal tax returns, and two years of W2 forms from your employer.

2. Proof of assets. You will need to present statements from your checking, savings, or investment accounts to prove that you have funds for the down payment and closing costs.

3. Good credit. Most lenders reserve the best rates for homebuyers with a credit score of 740 or above. You can still qualify for a mortgage with a lower credit score, but a good lender will also recommend ways that you can improve your credit and qualify for a better loan.

These are the biggest and most common things you will need to get pre-approved, though your lender might want to see some other documents as well.

Once you are pre-approved, the buying process will be faster, more convenient, and less stressful. Most importantly, it will make it more likely that your offer for that perfect home gets accepted.

That's why if you've been thinking of selling your home, now might be a good moment to start the process. If you have any questions, whether you are buying or selling, you can always call me at 703-328-3434 or shoot me an email at Janet@TheGreshGroup.com. I can give you more specific recommendations based on your unique situation. I look forward to hearing from you soon.

How Will Tax Reform Affect the Real Estate Market?

sales@thegreshgroup.com (Janet Gresh) — Fri, 23 Feb 2018 08:27:00 -0800

I’m sure you’ve heard a lot about tax reform lately. Here’s a few ways The Tax Cuts and Jobs Act will affect the real estate market.

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There's a lot of uncertainty about The Tax Cuts and Jobs Act and its effect on real estate. Let’s first take a look at the four key tax changes impacting the housing market at this moment:

1. Deductions for property taxes. Prior to the new tax bill, if you itemized your deductions, you could deduct all of your property tax. Going forward, this amount will be capped at $10,000.

2. Deductions for mortgage interest. The final bill reduces the limit on deductible mortgage debt to $750,000 for new loans taken out after 12/14/2017. Other loans of up to $1 million are grandfathered in.

3. Home sales exclusion for capital gains. If you sell your home and turn a profit, then up to $500,000 of that profit is exempt from capital gains tax. Although earlier versions of the bill required you to live in the home for five out of the last eight years, the final bill made no changes to the capital gains exclusion. In order to qualify for this exclusion, you must have lived in your home for two of the past five years to claim this exemption—just like before.

4. Deductions for moving expenses. The final bill repealed the moving expense deduction, except for those who are members of the Armed Forces.

These reforms may drive home prices down in the midterm.

The first two changes increase taxes on current homeowners and make homeownership less attractive. This is a part of why the National Association of Realtors claims that home prices could drop by more than 10% due to the new tax plan.

On the other hand, the last change makes it more expensive to sell your home. As a consequence, they could keep some homes off the market.

We'll have to see how the different changes play out in reality, and how they interact with other real estate conditions. However, there does seem to be a consensus among experts that current reforms might drive home prices down somewhat in the midterm.

On the bright side, home sellers do still get to take advantage of the home sales exclusion for capital gains. That is a major victory for real estate.

That's why if you've been thinking of selling your home, now might be a good moment to start the process. If you have any questions, whether you are buying or selling, you can always call me at 703-328-3434 or shoot me an email at Janet@TheGreshGroup.com. I can give you more specific recommendations based on your unique situation. I look forward to hearing from you soon.

Millionaire: Millennials, Buy a Home!

sales@thegreshgroup.com (Janet Gresh) — Mon, 12 Feb 2018 17:40:00 -0800

Those of us who are well past early adulthood often look at the Millennial generation with a sense of consternation. You know the stereotypes. The young and entitled, living in their parents’ basements, working in gourmet coffee shops and gaming until the wee hours.

While it may be good for a laugh, the Millennial generation is proving that bucking trends and disrupting the corporate world are not bad things. They are capable, resilient, and valued by their employers. However, in a recent CNBC interview with David Bach, co-founder of AE Wealth Management and author of multiple New Your Times Best Selling books, suggests that one trend may ultimately be hurting Millennials: they aren’t buying homes.

Read more here

NoVA Hot Home Trends in 2018

sales@thegreshgroup.com (Janet Gresh) — Mon, 29 Jan 2018 04:49:00 -0800

Every year, top designers suggest what home decorating trends will rise to the top for the coming year. If you have a New Year's Resolution to update your home, then here are some trending decorator tips to consider.

A Quick Update on Winter Home Prices in 2018

sales@thegreshgroup.com (Janet Gresh) — Fri, 19 Jan 2018 09:19:00 -0800

This winter is shaping up to be a huge moment for area homeowners who are looking to sell. Here are a few reasons why.

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This winter is likely to be a very important moment for many home sellers. That’s because three big trends are coming together to affect the Metro DC area home prices right now:

1. Housing inventory remains extremely tight. The total number of homes on the market fell 10% year over year in the last quarter. This is the biggest drop since 2013, and it's part of a consistent pattern of very limited and decreasing housing supply. Of course, the fewer homes there are on the market, the easier it is to sell, and the higher the price you can expect to get. Home prices have increased almost 6.5% nationally since last year.

2. Buyers are increasingly optimistic. Despite the tight inventory, homebuyers are increasingly optimistic and continue to look for homes. Some of this has to do with the recent growth in income and job stability. Loosening lending standards are also making many homebuyers eager to take advantage of current mortgage rates, which slipped under 4% recently.

It’s the perfect time to get in the real estate market.

3. The new tax reform bill will impact the market. The federal government recently passed the Tax Cuts and Jobs Act, which majorly overhauled our tax code. While it’s unclear how this will affect the real estate market as a whole, there are some changes that do not favor home sellers. As a result of the changes made to the tax code, the National Association of Realtors now projects slower growth for home prices in 2018, with an appreciation rate of 1% to 3%. By doubling the standard deduction, Congress has significantly reduced the value of mortgage interest and property deductions as tax incentives for homeownership. On the bright side, no changes were made in the rules surrounding capital gains for home sales, which is good news for home sellers.

When you put all three of these trends together, two big conclusions emerge. First, now is a very favorable moment for home sellers, thanks to the shortage in the market, the many eager buyers, and the high and rising prices. On the other hand, higher cost, higher tax areas will likely see prices decline as the result of new restrictions on mortgage interest and state and local taxes.

If you are looking to take advantage of the present moment to sell your home, please reach out by giving us a call at 703-328-3434 or email me at Janet@TheGreshGroup.com. I'm here to help. I look forward to hearing from you soon.

NoVA Real Estate: What to Expect in 2018

sales@thegreshgroup.com (Janet Gresh) — Fri, 12 Jan 2018 09:12:00 -0800

2017 is now in the books, and it definitely took us for a wild ride! With low interest rates and strong economic indicators, home-seekers were out in force. Many areas of Northern Virginia continued to experience strong sellers’ markets, with many sellers enjoying competing offers.

What does 2018 look like as we enter a new year?

Read more here.

Buying or Selling in 2018? 5 Reasons to Resolve to Hire a Pro

sales@thegreshgroup.com (Janet Gresh) — Fri, 29 Dec 2017 08:54:00 -0800

Some Highlights:

As we usher in the new year, one thing is for certain… if you plan to buy or sell a house this year, you need a real estate professional on your team!
There are many benefits to using a local professional!
Pick a professional who knows your local market and can help you achieve your dreams!

What Can NoVA Homeowners Expect with the Tax Changes?

sales@thegreshgroup.com (Janet Gresh) — Tue, 26 Dec 2017 17:55:00 -0800

The House and Senate recently passed sweeping tax legislation, and President Trump signed it into law just prior to the holidays. The changes are expected to start showing up in taxpayer paychecks as early as February.

So what does the latest version of the bill mean for Norther Virginia residents and homeowners?

Read more here.

Tech Gadgets Your Home Wants for Christmas

sales@thegreshgroup.com (Janet Gresh) — Mon, 11 Dec 2017 05:59:00 -0800

If your home could give Santa a wish list, what would be on it? Think it’s granite counters and stainless appliances? You might be surprised! Technology tops everyone’s gift list, and your home is no different! The latest gadgets to make your home safer, more energy efficient, or more convenient are every techie’s dream. Here are just a few ideas for you!

Have you considered these NoVA Neighborhoods?

sales@thegreshgroup.com (Janet Gresh) — Fri, 1 Dec 2017 13:57:00 -0800

US News and World Report recently published an article which highlighted the trending neighborhoods in the DC area. Several Northern Virginia zip codes made the prestigious list! Northern Virginia is a great place to live, with many varieties of housing styles, shopping and dining, entertainment, recreational activities, great schools, and its close proximity to civilian, military, and government employers.

Here is a brief overview of the NoVA areas which topped the US News and World Report list of “up and coming” neighborhoods.

A Few Tips if You’re Considering Refinancing

sales@thegreshgroup.com (Janet Gresh) — Thu, 30 Nov 2017 10:07:00 -0800

Refinancing your mortgage is a great idea, but it could affect your credit score. Here’s how.

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Mortgage rates are still at historic lows. For many homeowners, it's a great time to refinance. Refinancing allows you to pay off your current mortgage with a new mortgage at a lower rate. Refinancing means lower monthly payments and more money left in your pocket.

But here's something important that many people don't know: Refinancing can affect your credit score negatively. You see, when you refinance, the new creditor will do a "hard inquiry" about your credit history. This inquiry can actually lower your credit score. Looking for new credit lines (like a new mortgage) equates with greater credit risk.

How much will a hard inquiry actually lower your credit score? This depends on several factors. In some cases, a hard inquiry might not lower your credit score at all. However, if you've recently opened up multiple new credit lines (auto loans, credit cards, etc.), then a hard inquiry could decrease your credit score by up to five points. This is true if you only have a short credit history. And if you shop around for the best rate for more than 45 days, you will get multiple hard inquiries. Each of them will contribute to the total effect on your credit score.

A hard inquiry could decrease your score by five points automatically.

So what does this all mean for you? Unfortunately, there's no simple answer. It's going to be a part of the calculation you have to make for yourself, which will also include the refinancing fees, your own credit history, and how much you could be saving with a refinanced mortgage.

If you're looking for help in making this decision, let me know and I can put you in touch with several top Northern Virginia mortgage brokers.

If you have any questions about the Northern Virginia real estate market, or if you want to talk about the finer points of mortgage rates and refinancing, give me a call at 703-328-3434 or email me at Janet@TheGreshGroup.com. I'm here to help. I look forward to hearing from you soon.

Why Are Homebuyers Feeling Optimistic?

sales@thegreshgroup.com (Janet Gresh) — Thu, 16 Nov 2017 10:31:00 -0800

Why are homebuyers more optimistic than they have been in the past few years? Here’s what we found.

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Here’s a paradox for you: Right now, homebuyer confidence is at an all-time high, according to a survey performed by Fannie Mae. Furthermore, an increasing number of people, particularly renters, think now is a good time to buy a home. Yet at the same time, housing inventory remains very tight. It’s down 6.5% nationally from last year. Home prices are also up 6.9% nationally over last year.

In other words, homebuyers are optimistic at a time that the market seems to be favoring sellers. So, what's going on? Why are homebuyers so optimistic all of a sudden? Here are three possible explanations:

1. Lending is loosening up. Over the past several years, mortgage rates have seen historical lows. This has meant that homes are actually more affordable, in spite of the increase in prices. However, lending has been very tight. Fortunately, that’s changing. Lenders are approving mortgages at the highest rate since 2011, with 77% of mortgages for home purchases approved.

2. Jobs are looking good. At the moment, fewer homebuyers are worried about losing their jobs, according to the same Fannie Mae survey. It's not just job security that's contributing to greater optimism about buying a home. Overall income is higher, making homes more affordable by comparison. The median household currently has 150% of the income needed to buy a median home, compared to a historical average of just 125%.

Lenders are approving mortgages at the highest rate since 2011.

3. Long-time renters are ready to buy. Millennials, the generation of people born after 1980, have largely opted out of homeownership until now. They have been renting for a longer time, putting them higher up on the pay scale compared to previous generations of first-time homebuyers. But now, many millennials are finally hitting an age when they are willing to commit to buying instead of renting. This is reflected in the Fannie Mae report, which states that much of the increase in homebuyer optimism comes from current renters.

What all does this mean for you? If you're looking to buy a home, all of the above reasons should give you confidence that now is indeed the right time to buy.

If you’re thinking about buying or selling a home, click the links above to search for homes on the MLS or find out how much your home is currently worth.

And if you have any questions about the Northern Virginia real estate market, whether you're thinking of selling or buying, give me a call at 703-328-3434 or email me at Janet@TheGreshGroup.com. I'm here to help. I look forward to hearing from you soon.

Don't Let Fear Stop You from Applying for a Mortgage

sales@thegreshgroup.com (Janet Gresh) — Wed, 1 Nov 2017 09:06:00 -0700

A considerable number of potential buyers shy away from jumping into the real estate market due to their uncertainty about the buying process. A specific cause for concern tends to be mortgage qualification.

For many, the mortgage process can be scary, but it doesn’t have to be!

In order to qualify in today’s market, you’ll need to have saved for a down payment (73% of all buyers made a down payment of less than 20%, with many buyers putting down 3% or less), a stable income and good credit history. Throughout the entire home buying process, you will interact with many different professionals, all of whom perform necessary roles. These professionals are also valuable resources for you. Once you’re ready to apply, here are 5 easy steps that Freddie Mac suggests you follow:

Find out your current credit history & score – even if you don’t have perfect credit, you may already qualify for a loan. The average FICO^® Score of all closed loans in September was 724, according to Ellie Mae.
Start gathering all your documentation – income verification (such as W-2 forms or tax returns), credit history, and assets (such as bank statements to verify your savings).
Contact a professional – your real estate agent will be able to recommend a loan officer that can help you develop a spending plan, as well as determine how much home you can afford.
Consult with your lender – he or she will review your income, expenses, and financial goals to determine the type and amount of mortgage you qualify for.
Talk to your lender about pre-approval – a pre-approval letter provides an estimate of what you might be able to borrow (provided your financial status doesn’t change), and demonstrates to home sellers that you are serious about buying!

Bottom Line

Do your research, reach out to professionals, stick to your budget, and be sure that you are ready to take on the financial responsibilities of becoming a homeowner.