How People Buy Homes Today

Today’s buyers use a lot of resources in their home search – and 92% count on a real estate agent to help them purchase their home.

How People Buy Homes Today

If you’re looking to buy or sell your home, reach out to a Windermere Real Estate broker to help you successfully navigate the Seattle housing market.

What Sellers Want Today

The National Association of REALTORS® recently released their 2016 Profile of Home Buyers and Sellers. Here are a few items about sellers that we thought you’d find interesting.

• The primary reason sellers choose to move is to find a larger home, or to be closer to family and friends.

• The vast majority of sellers move to a new home in the same state.

If you’re looking to buy or sell your home, reach out to a Windermere Real Estate broker to help you successfully navigate the Seattle housing market.

What Buyers Want Today

The National Association of REALTORS® recently released their 2016 Profile of Home Buyers and Sellers. Here are a few items about buyers that we thought you’d find interesting.

• The top reason buyers purchase a home is they want a place of their own.

• Buyers chose homes fairly close to their last residence. In our region, buyers purchase a home within a 13 mile radius of their last residence.

If you’re looking to buy or sell your home, reach out to a Windermere Real Estate broker to help you successfully navigate the Seattle housing market.

3 Reasons to Sell Your House Now

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Thinking about selling your home? With inventory at historic lows, prices at or near record highs, and multiple offers common, it’s a perfect time to list your home. Here’s why:

1) The market significantly favors sellers.

Last month, 53.6% of homes sold in fewer than 15 days. And 39% of homes sold for over asking price.

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2) Experts believe interest rates are on the rise. Higher interest rates decrease the amount buyers can pay for a property- and decrease your profits.

The median price for a home sold on the Eastside is $803,500. At today’s interest rate of 4.2%, that would equal a monthly mortgage payment of $3,929. If interest rates increase just a half a percent to 4.7%, that same monthly payment allows a buyer to purchase a home worth just $757,400. The bottom line: As interest rates increase, your pool of buyers decreases.

3) Historically, February through June is the period when supply vs. demand favors sellers more than the rest of the year.

It takes time to get a home ready for sale. To take advantage of the peak season for sellers, you need to get started preparing your home now. I can advise you on what you need to do, and I have a team of trusted professionals who can get it done.

Are you ready to sell your home? Contact your Windermere Real Estate broker and they will prepare a valuation of your home based on current market conditions, walk you through the process, and answer any questions you may have.

First Time Buyers, Millennials, and What to Expect in 2017



By Matthew Gardner, Chief Economist at Windermere Real Estate

I believe that the big story for the coming year will be first-time home buyers. Since they don’t need to sell before purchasing, their reemergence into the market ensures that sales will continue to increase, even while inventory is limited. Thirty-one percent of buyers currently in the real estate market are first-time buyers, but it would be more ideal if that figure was closer to 40 percent.

Why don’t we have enough first-time buyers in the market? With Baby Boomers working and living longer, we aren’t making much room for Millennials to start their careers. Plus, the major debt that the younger generation owes on student loans ($1.3 trillion today) hugely impacts the housing market. But the bigger issue is lack of down payments. Before the recession, many Millennials could look to their parents for help with down payments; however, these days that is not as much the case.

I would also contend that the notion of Millennials being a “renter generation” is nonsense. In a National Association of Realtors survey, 75 percent of them said that buying a home would be the most astute financial decision they’d ever make; however, 80 percent said they don’t think they could qualify for a mortgage. I do believe that Millennials will eventually buy, but they’re delaying their purchasing decisions by about three years when compared to previous generations, which is about the same amount of time they’re waiting to start families as well.

Mortgage rates have risen rapidly since the election, and unfortunately, I do not see a turnaround in this trend. That said, they will remain cheap when compared to historic averages.  Expect to see the yield on 30-year mortgages rise to around 4.7% by the end of 2017. For those who have grown accustomed to interest rates being at historic lows, this might seem high, but it’s all relative.

If I were to gaze all the way into 2018, my crystal ball takes me to the dreaded “R” word. Like taxes and death, recessions are another one of those unwanted realities that inevitably comes to visit every so often. Irrespective of who was voted into the White House, my view remains the same: prepare to see a business cycle recession by the end of 2018, but, rest assured, it will not be driven by real estate, nor will it resemble the Great Recession in any way.

This article originally appeared on the Windermere.com blog.