The Best Reasons to Buy a Home This Year!

If you’ve been thinking about purchasing a home but haven’t fully committed, read the article below from Realtor.com to see why 2019 can and should be your year to buy!


 

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Take the Plunge: The 4 Best Reasons to Buy a Home This Year

| Feb 6, 2019

The housing landscape of the past several years hasn’t exactly been friendly to buyers: the bidding wars, the eye-popping prices, the houses that sold before a “For Sale” sign even went up. It’s enough to make any of us put our search on hold until we have a fighting chance at landing a home—without draining our bank accounts.

If you’ve been sitting on the sidelines, we’ve got good news and we’ve got bad news: Things are finally slowing down. But they might not slow down fast enough for your liking.

Don’t despair, though—this year still stands to look better than last for aspiring home buyers.

“If your resolution is to buy a home in 2019, you’ll have some challenges to contend with, but also some opportunities,” says Danielle Halerealtor.com‘s chief economist.

But the devil’s in the details, and there are quite a few factors that could dictate whether this is your year to buy. Here are the four biggest reasons to take the plunge now

1. There will be more available homes—or at least, not fewer

Tight home inventory has sidelined would-be buyers for several years now. Even if you could afford a home, too few of them were hitting the market to keep up with demand. Or, when they did, there was a good chance they were snapped up before you could even call your real estate agent.

House hunting felt especially bleak last winter, when nationwide inventory hit its lowest level in recorded history. By the end of 2018, though, things finally started looking up, and in 2019, experts predict more opportunities—and less frustration—for buyers.

But there’s a catch: Not everyone will be able to afford those opportunities. That’s because the markets seeing the most increases in available homes tend to be more expensive, Hale says.

“For buyers, there is going to be more inventory. So that’s a bright spot,” she says. “The downside of that bright spot is it might not be in their price range.”

If you don’t have big bucks, though, all is not lost. The news is still good—just tempered. The supply of affordable homes for sale (under $300,000, which is about the median home price right now) might not be growing dramatically just yet, but it’s certainly not decreasing anymore.

2. Skyrocketing prices will slow their roll

While inventory went down, down, down over the past few years, home prices did the opposite. Will we still see staggering dollar amounts throughout 2019?

It’s another mixed bag here: Expect home prices to continue to rise (blah), but at a slower pace than they have been (yay). Hale predicts a 2.2% increase in home prices this year—compared with a nearly 5% increase last year.

That’s not nothin’. And if you can get in the market before those moderate increases, all the better.

“We do still anticipate rising home prices, particularly for below-median-priced homes, so buyers in that price range may have some incentive to buy sooner rather than later,” Hale says.

And there’s a silver lining to those climbing home prices, too—again, for some of you.

“As rising costs raise the bar to homeownership, some would-be buyers will be knocked out of the market, so that remaining buyers may have less competition to contend with than they saw in 2018,” Hale says.

3. Mortgage rates are lower than expected

There was a lot of discouraging talk at the end of 2018 about increasing rates—and there was good reason to be nervous. Rates on a 30-year fixed-rate mortgage, the most popular home loan, were approaching 5%—and expected to trend upward throughout 2019.

But that hasn’t happened.

In fact, rates have been falling—perplexing the pros but creating a prime opportunity for home shoppers. Rates did tick up slightly last week—for the first time in 2019—to 4.46%. But that’s still historically low.

“That’s definitely a huge opportunity for buyers because it drastically improves affordability,” Hale says. “And I think that if these low rates persist for a little while, then we’ll actually see stronger sales than we originally forecast.”

“Lower mortgage rates will get buyers off the sidelines,” adds Ali Wolf, director of economic research at Meyers Research. “Consumers should take advantage of the returned purchasing power, and in fact, we’re already seeing early 2019 data that suggest they are.”

But don’t get complacent, Hale warns: “I do think that the long-term direction of mortgage rates is going to be back up. We’ve still got a strong economy.”

4. Rents are rising—and won’t be falling anytime soon

Buying a home is a scary-expensive endeavor in the best of circumstances, and when prices are climbing, it can be downright soul-sucking.

But bear this in mind: Rents are rising, too. In fact, they very rarely decline, Hale says. And while buying a home is generally going to cost you more in the short term than renting, you have to look at the bigger picture. Buying means you’re building equity—and not forking over your hard-earned dollars to a landlord.

“The challenge will be finding a home that fits needs, some wants, and still stays within the monthly budget,” Hale says.

If you can afford to buy now, you’ll thank yourself in the long run—and whenever your friends get their annual rent increases.

Rachel Stults is a deputy editor at realtor.com covering all things real estate, including buying, selling, home decor, renting, moving, and more. Contact her at rachel.stults@move.com.

“Why You Shouldn’t Put a Home Search on Hold in December”

Happy Holidays! We may be in the midst of busy season for all, but if you are in the market to buy, don’t let December halt your search! Take advantage of the slowest month in the housing market and shop around.. you might just stumble upon that home you’ve been waiting on! Read this article below for all the reasons why you should continue looking through the slower months of the year!

 

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“December is typically the slowest month in the housing market, but it can be a great month for home buyers who have been sidelined to finally make their move. This month may be busier than previous December’s for that reason, too, economists say. Some buyers may be looking to take advantage of steadier mortgage rates—which are still averaging below 5 percent—and home prices that are easing somewhat.

“I see more people buying right now because they’re afraid rates will be higher in 2019,” Lynn Fairfield, a real estate professional with RE/MAX Suburban in Chicago, told CNBC.

Mortgage rates are still nearly a percentage higher than they were a year ago, but they are still under 5 percent. Freddie Mac reported last week that the 30-year fixed-rate mortgage averaged 4.75 percent. Rates are largely predicted to move higher in 2019.

Housing affordability has become a mounting issue in the housing market, but home prices are showing signs of easing. Home prices usually are lower in the winter months, and housing reports are showing more properties are seeing price cuts. Nearly 29 percent of listings in major markets during the month ending Oct. 14 saw price reductions, according to the real estate brokerage Redfin.

But house hunters in search of a deal may also find lower inventories of homes for sale during this time of year.

“Though the holiday season is not going to give you plenty of options to choose from, there are reasons why you should not put your home search on hold for the holidays,” says Danielle Hale, realtor.com®’s chief economist. “Chief among them, December is the best time of year if you want to avoid competitions.”

According to realtor.com®, views per property are 21 percent lower in December than the rest of the year.

Motivation can be high for buyers to make a move before the end of the year. “Either they have a lease expiring Jan. 1 or they have saved enough money for their down payment, so they are motivated to buy,” Fairfield told CNBC. “A lot of people are motivated price-wise from the selling standpoint too, because they too want to get to their next location.””

5 Reasons to Hire a Real Estate Professional!

Before you enter the market, buying or selling, read this article posted by www.simplifyingthemarket.com All the information provided will help you understand why its helpful to hire a real restate professional! 

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“Whether you are buying or selling a home, it can be quite the adventure. In this world of instant gratification and internet searches, many sellers think that they can ‘For Sale by Owner’ or ‘FSBO,’ but it’s not as easy as it may seem. That’s why you need an experienced real estate professional to guide you on the path to achieving your ultimate goal!

The 5 reasons you need a real estate professional in your corner haven’t changed but have rather been strengthened by the projections of higher mortgage interest rates and home prices as the market continues to pick up steam.

1. What do you do with all this paperwork?

Each state has different regulations regarding the contracts required for a successful sale, and these regulations are constantly changing. A true real estate professional is an expert in his or her market and can guide you through the stacks of paperwork necessary to make your dream a reality.

2. So you found your dream house, now what?

There are over 230 possible steps that need to take place during every successful real estate transaction. Don’t you want someone who has been there before, someone who knows what these actions are, to ensure you achieve your dream?

3. Are you a good negotiator?

So maybe you’re not convinced that you need an agent to sell your home. After looking at the list of parties that you will need to be prepared to negotiate with, you’ll soon realize the value in selecting a real estate professional. From the buyers (who want the best deals possible), to the home inspection companies, all the way to the appraisers, there are at least 11 different people who you will need to be knowledgeable of, and answer to, during the process.

4. What is the home you’re buying/selling really worth?

It is important for your home to be priced correctly from the start in order to attract the right buyers and shorten the amount of time that it’s on the market. You need someone who is not emotionally connected to your home to give you its true value. According to a recent article by the National Association of Realtors, FSBOs achieve prices significantly lower than the prices of similar properties sold by real estate agents:

FSBOs earn an average of $60,000 to $90,000 less on the sale of their home than sellers who work with a real estate agent.”

Get the most out of your transaction by hiring a professional!

5. Do you know what’s really going on in the market?

There is so much information out there on the news and on the internet about home sales, prices, and mortgage rates; how do you know what’s going on specifically in your area? Who do you turn to in order to competitively and correctly price your home at the beginning of the selling process? How do you know what to offer on your dream home without paying too much, or offending the seller with a lowball offer?

Dave Ramsey, the financial guru, advises:

“When getting help with money, whether it’s insurance, real estate or investments, you should always look for someone with the heart of a teacher, not the heart of a salesman.”

Hiring an agent who has his or her finger on the pulse of the market will make your buying or selling experience an educated one. You need someone who is going to tell you the truth, not just what they think you want to hear.

Bottom Line

You wouldn’t replace the engine in your car without a trusted mechanic, so why would you make one of the most important financial decisions of your life without hiring a real estate professional?”

 

 

Source: http://www.simplifyingthemarket.com/en/2018/08/07/5-reasons-to-hire-a-real-estate-professional-before-entering-the-market/

Backyard BBQs ahead!

Still looking for the perfect home? Look no further! This beautiful home has so much to offer for your summertime entertaining.

BogaardHouse-Covered wrap-around deck off the dining room

-Covered patio off the family room

-Mountain Views!

-Manicured gardens & sprinkler system!

-Views from almost every room in the house!

-Florida room with tiled floors & cathedral ceilings

BogaardHouse4 BogaardHouse5boogblog2 BoogardHouse21005 E Front Street, #Lynden | MLS# 1268699 | $449,000
Tour Property: http://www.tourfactory.com/1788856

Cindy Huaracha, Real Estate Broker

We are pleased to announce that a new real estate broker has joined our firm. Cindy Huaracha, has teamed with Daisy Valladares. Drop by the office and meet with Cindy! Hablo Espanol

Cindy2

Whatcom County Home & Garden Show

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The Northwest Washington Fairgrounds, will be hosting the Whatcom County Home & Garden Show this weekend, March 2 – 4, 2018.
It’s the 39th show presented by the Building Industry Association of Whatcom County.
Five thousand dollars in prizes will be given away throughout the event. A variety of food vendors as well as beer & wine tasting will be at the show. Friday evening is date night, and on Saturday there will be live music in the indoor garden area.
More than 160 exhibitors will be present at the show. Experts on home repairs, building, gardening, landscaping, garage doors, painting, closet systems, handyman services, flooring cabinets, appliances & more will be present.
If you have any Spring projects you’ll want to visit the Home Show for a myriad of ideas, newest products and advice.
Hours are Friday, 11:00 a.m. to 8:00 p.m.; Saturday, 10:00 a.m. to 8:00 p.m.; and Sunday, 11:00 a.m. to 5:00 p.m.

Washington State – Water – Hirst Victory


The Washington State House and Senate reached a deal and passed SB 6091 on January 18, 2018, which fixes the 2016 Washington State Supreme Court ruling known as the Hirst decision. Governor Inslee signed the Hirst fix legislation at 12:25 p.m. on January 19, 2018.

Whatcom County will now be accepting permit applications for wells!

SB 6091 includes:
•Local governments can once again rely on Ecology as the state’s resource manager.
•3,000 gallons per day per connection for domestic wells in certain basins with existing watershed planning.
•In certain basins without watershed planning, household wells could withdraw 950 gallons per day per connection. This would change to 350 gallons per day for indoor use only in drought conditions. However, outdoor use would be permitted for fire buffers. Water enhancement and restoration committees will also be created for these local basins. These committees will invest $300 million dollars into improving the state’s water resource.

The Hirst fix signed into law provides a solid solution for families, businesses and rural communities in Washington.

The new law impacts only new domestic uses. Existing homeowners and water users are not affected by the new law, which went into effect on January 19, 2018.

Existing wells are exempt from the provisions of the new law. The Legislature wrote the new law so that wells constructed in the Hirst-affected basins before the effective date of the act would serve as proof of an adequate water supply for a building permit. Wells constructed in these basins in compliance with chapter 18.104 RCW are not subject to the new restrictions, limitations, and fees. This is regardless of whether the well was put to beneficial use prior to January 19, 2018.

Aid to Help End Homelessness for Bellingham Families

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From left) Troy Muljat, Misha Collins, Emily O’Connor and Vicki Vantoch pose for a picture outside Lydia Place’s Bell Tower Community Center. (Courtesy of Sarah Deeder | Lydia Place)

by ehamann
Filed on 03. Jan, 2018 in Contents, Features, News

By Emily Hamann
The Bellingham Business Journal

Local families experiencing homelessness are getting a roof over their heads this winter, with some help from a nonprofit, a property manager and one of Bellingham’s most famous residents.

In November, actor and Bellingham resident Misha Collins sent out a message over his social media channels, urging his almost 3 million followers to buy T-shirts and other items, with the proceeds going to Bellingham nonprofit Lydia Place.

His goal is to get a home for every homeless parent with children in Bellingham.

“I moved to Bellingham from Los Angeles, where the problem of homelessness and homeless kids and homeless families, it almost seems disheartening to think about,” Collins said. In Bellingham, however, the 2017 homelessness survey found that there’s fewer than a hundred families without homes.

“Finding housing for that group of people feels achievable,” Collins said. “It’s a stretch, but it feels really possible.”

Collins, who stars in the popular TV show “Supernatural,” has been working toward this goal since summer, and he’s enlisted some help from the nonprofit and private sector.

Collins and his wife, author Vicki Vantoch, have supported Lydia Place for a while. They first got connected while participating in their Adopt a Family program over Christmas one year.

As Collins worked more with Lydia Place, he learned more about the struggles they have finding housing for their clients.

“They were having difficulty placing families into housing because the housing market is so tight,” he said. “Landlords have so many applicants for each vacancy, there’s always a better-qualified applicant who has perfect credit and landlord history.”

Collins and Vantoch own a rental property, and Vantoch reached out to their property manager, Troy Muljat, owner of Landmark Real Estate Management and The Muljat Group real estate company.

They wanted to open up some of their units to Lydia Place’s clients. Muljat loved the idea, and ran with it. By December, they had found housing for 12 families total.

They wanted to expand the program further, but Lydia Place’s resources were maxed out.

“That’s when I did this little T-shirt fundraiser,” Collins said.

The goal was to raise $100,000. They exceeded it. Beginning in January, Collins and Lydia Place are launching a local fundraising campaign, to continue funding the partnership. Random Acts, the charitable foundation Collins co-founded, plans to match up to $64,000 in donations made by the local community.

“We are trying to put Bellingham families into housing,” Collins said. “This community I think is the right place to help on that.”

A housing crisis, made worse

Lydia Place has been helping Bellingham’s homeless population get shelter and services since 1989. Its goal is to disrupt the cycle of homelessness, focusing on getting children and families into housing, and on the path to success.

In January 2017, the annual homeless census found 742 people were homeless living in Whatcom County. Before they lost their housing, more than two-thirds of them lived in the county. The census also counted 94 homeless families with children. Of those, 74 were single-parent families.

People coming off the street are directed to Lydia Place by the Opportunity Council.

“The primary thing they’re going to get right off the bat would be really intensive case management,” Emily O’Connor, executive director of Lydia Place, said.

They get set up with a case manager, who helps them get their paperwork in order, apply for any assistance, connect them with care and education for their children and connect them with mental health care if they need it.

Lydia Place also helps find them housing, and sometimes helps them pay rent.

Recently, its job has become more difficult.

“It has gotten harder and harder to find property management companies who are willing to rent to us,” O’Connor said.

Part of the problem is getting vouchers for subsidized housing in the Bellingham rental market.

The federal government decides what it considers a fair market rent for the area, and it won’t subsidize housing for low-income people above that level.

However, as the rental market gets tighter in Bellingham, landlords are able to charge more for rent, often above what the federal government designates as fair market value.

So often, it’s difficult for Lydia Place to even find a unit that’s cheap enough to qualify for government subsidy. Even then, there’s no guarantee that the landlord will decide to accept the government vouchers.

That was the existing challenge. Then in spring of 2017, news broke that the Trump administration planned to cut $6 billion from the Department of Housing and Urban Development, the organization that pays for the Section 8 vouchers, the commonly-used subsidized housing program.

The Whatcom County Housing Authority estimates those cuts could eventually lead to 200 fewer vouchers available to people in Whatcom County.

“As other resources dwindle, we need our community to step up,” O’Connor said.

The private sector steps up

In fall of 2017, the apartment vacancy rate in the county was .6 percent. That’s according to the University of Washington’s Runstad Center for Real Studies.

With a market that tight, it’s difficult for a person with a stable income to find an apartment, let alone someone facing the additional challenges of poverty, and needing a subsidy to pay rent.

“With the rental market very strong, rental owners, they can sometimes be very selective on their tenants,” Muljat said. Many property owners often don’t even accept Section 8 vouchers.

“There’s a lot of stereotypes in the community on homelessness,” Muljat said.

One of the things he’s working to do is end those stereotypes.

After Collins and Vantoch opened up some of their units, Muljat wanted to encourage his other property owners to do the same.

“We’ve made it rewarding and fun,” he said.

He set up some incentives to encourage property owners to lower the rents on some of their units and allow Lydia Place’s families to move in.

If the property owners agree to the program, Landmark doesn’t charge them any management fees on those units. It also pays for extra insurance, so there’s little risk to the property owner.

Kimberly Huizenga, director of property management at Landmark, said that Lydia Place being involved makes it easier to convince property owners to sign on.

“Lydia Place is really involved with its residents,” Huizenga said. Once Lydia Place helps place a family, it keeps it contact with them, continuing to offer services and help them.

Property owners get an extra guarantee with Lydia Place involved.

“They will make a payment plan, or have even stepped up and helped pay the rent,” Huizenga said. “It’s in essence like having a co-signer on the lease.”

She said Landmark’s goal for 2018 is to expand the partnership, and house 24 families.

“I would like to see the private sector solve the problem, period,” Muljat said.

A template to follow

Homelessness is an issue that’s close to Collins’ heart.

“I was raised by a single mom who was on welfare at times and we were homeless for some stretches of my childhood,” Collins said, “and it’s just an issue that has a lot of personal resonance for me.”

He regularly walks by the drop-in shelter on Holly Street.

“I make a point when I’m going by to drop by and say hi to folks,” he said.

“Also having young kids myself, I just think about the prospect of being a homeless parent with small children,” he said. “Because I am a parent I feel like I have a little more of an empathetic understanding of what that might be like and it seems really hard.”

Then, he watched as the federal government threatened cuts to HUD, the subsidized housing program his family relied on when he was a child.

“We were in subsidized housing for several years when I was a kid as well, and I know that had a profound beneficial impact on my family,” he said. “And I’m very disappointed to see our federal government cutting that.”

That means the burden falls to local communities.

“It’s property owners. It’s individuals in the community. It’s whomever can help,” he said. “I feel like times like that are all hands on deck.”

Muljat also feels called to do his part.

“I think, yes, we are obligated to help,” Muljat said. “We’re called as business leaders to give back.”

His hope is that this idea spreads to his competition.

“I would challenge other property owners, landlords, property management companies to do the same,” Muljat said.

Collins has hope, however, that this partnership has the potential to spread, even beyond Bellingham.

“I also love the idea of the way that Bellingham tackles its housing problem and it’s homelessness problem could someday be a template that other towns and cities try to follow,” he said.

Jan. 3: This story has been updated to reflect that Random Acts will be matching up to $64,000 in community donations.

2018 Real Estate Predictions

2018 housing
Below are predictions for the 2018 real estate market, based on data that was available at the time this was written:

Interest Rates – With the Tax Reform Bill and new infrastructure, we expect interest rates to rise. A climb to 4.0%-4.5% is probable but it is possible that if the economy grows at a good clip next year, we could see rates as high as 5%. We believe the average for the year will be about 4.6%. Although this rise will cause some buyers to regroup, it will not be enough to make a strong market shift and cause buyers to leave the market in droves.

Home Price Growth – With double-digit percentage price increases in many markets across the country in 2017, we believe we will move back to price inclines below 10% in those busy markets. In fact, it is foreseeable that the average for those areas that did see such strong increases in 2017 will scale back to about 4-7% gains in 2018. Nationally, prices are expected to increase about 3.2%. Between November 2016 and November 2017, in Whatcom County the median sales price grew by 9.8%; in our Lynden market, it grew 16.5%.

New Construction – Our country needs about 1.5 million new starts per year to maintain inventory, but since 2009 we have been short a cumulative almost 6 million units. This is one of the primary causes of our inventory shortage and what is driving prices up – demand outweighs supply. Local issues in many areas such as zoning and water rights are also capping new construction opportunity. In addition, the cost of building supplies is causing problems for our builders and we expect this problem to worsen in 2018.
Housing Inventory – Although there are improvements in this category because we are adding some new housing units, it may take years or more for inventory levels to get back to a balanced level. Additionally, it is predicted that more buyers will be entering the market for a home as our economy is strong with low unemployment, which we suspect will get even lower due to our economy. According to the Bureau of Labor Statistics, the national unemployment rate stands at 4.1% for November 2017, which is the lowest it has been since December of 2000. it is predicted unemployment to be in the high 3% range by the end of 2018.

Market Stability – we are often asked when the bubble will burst or we will see another crash. We do not foresee this in the upcoming year. Although we are seeing prices rise quickly, the conditions that our national market is facing now are not the same as what we saw just a decade ago. There isn’t the easy access to credit as there was before the last crash when banks were more de-regulated. There aren’t enough new or resale homes to satiate current demand, unlike the building boom of the mid-2000s. Buyers are not overleveraged and, in many cases, have to put more cash down to compete in multiple-offer situations, allowing buyers to start in a higher equity position. Based on our history and the facts that are in front of us, I don’t believe another crash is likely at all.

The Muljat Group North real estate office is excited for what 2018 has in store! For additional information and predictions on our local market, please call our office at 360-354-4242.

2017 Northwest Washington Fair

Fair 2017
Five days until the Northwest Washington Fair in Lynden. You don’t want to miss out on any of the fun! Carnival rides, great food fair, awesome grandstand entertainers, demolition derby, rodeo, animal exhibits, quilts, canning, arts, photography, 4H and FFA exhibits. For over 100 years the Northwest Washington Fair has highlighted the agriculture of the Whatcom County area. Dairy and beef cattle, horses, and many other species of livestock are shown by 4H, FFA and Open Class exhibitors. There are hundreds of exhibits featuring baked goods, canning, flowers and fresh produce grown locally.

The Fair is located at 1775 Front Street, Lynden.
The gates open at 9 a.m. each day and close at 10 p.m.. Carnival hours are 11 a.m. to 11 p.m.

Demo Derby is on Monday, August 14, with shows happening at 12:30 p.m. and 7:30 p.m.

Lynden PRCA Rodeo is happening August 15 & August 16. The top cowboys in the Professional Rodeo Cowboys Association will compete in the 13th annual rodeo. The event includes bull riding, bareback riding, saddle bronc riding, steer wrestling, tie-down roping, team roping and barrel racing. Children 10 and younger will be admitted for FREE to the performances, which start at 7:30 p.m., both nights. Tickets are on sale now – get them while they last!

Grandstand entertainers this year include the rock band, Night Ranger, which performs 80-100 live shows annually and they continue to release new music even though the band is 35 years old. Night Ranger will be rocking the stage on August 17. Musical country star and ‘American Idol’ winner of 2011, Scotty McCreery will be performing on August 18. “Fluffy” Gabriel Iglesias, first time comedian to headline a fair grandstand show on Saturday, evening August 19.

Ride free to the Fair and everywhere! WTA is community driven and ride the buses free during August 13-19. Also, watch out for the many parking lots around town that offer free bus rides to and from the fair!

Our real estate booth will be set up in the commercial exhibit building – please drop by and say hello! Hope to see you at the Northwest Washington Fair!