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Don’t Sell on Your Own Just Because It’s a Sellers’ Market

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  David Deem 714-997-3486 Dave@DeemTeam.com In a sellers’ market, some homeowners might be tempted to try to sell their house on their own (known as  For Sale By Owner , or  FSBO ) instead of working with a trusted real estate professional. When the inventory of homes for sale is as low as it is today, buyers are eager to snatch up virtually any house that comes to market. This makes it even more tempting to  FSBO . As a result, some sellers think selling their house will be a breeze and see today’s market as an opportunity to  FSBO . Let’s unpack why that’s a big mistake and may actually cost you more in the long run. According to the Profile of Home Buyers and Sellers published by the  National Association of Realtors  (NAR), 41% of homeowners who tried to sell their house as a  FSBO  did so to avoid paying a commission or fee. In reality, even in a sellers’ market,  selling on your own likely means you’ll net a lower profit  than when you sell with the help of an agent. The NAR repo

Why This Is a Great Year to Sell Your Vacation Home

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  David Deem 714-997-3486 Dave@DeemTeam.com As vaccines are administered and travel resumes, many of us are beginning to plan for those long-awaited vacations we missed out on over the past year. Some households are focusing their efforts on buying a vacation home rather than staying in a hotel, too. The  National Association of Home Builders  (NAHB)  reports : “ Second homes  (i.e., homes sold to buyers who are not going to occupy the home year-round, but  use it as a vacation home , investment property, etc.)  account for 15 percent of new single-family home sales.” It’s not surprising that there’s an increase in demand for vacation homes. The majority of Americans are realizing they prefer to be around small groups, as shown in a recent  survey  from  The Harris Poll : “Social distancing taught consumers new things about how they like to socialize; (75%) said, ‘during COVID social distancing I realized I preferred smaller social gatherings at home or at friends’ place.’” Not only ar

Homeownership Is Full of Financial Benefits

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  David Deem 714-997-3486 Dave@DeemTeam.com A  Fannie Mae   survey  recently revealed some of the most highly-rated benefits of homeownership, which continue to be key drivers in today’s power-packed housing market. Here are the top four financial benefits of owning a home according to consumer respondents: 88% - a better chance of saving for retirement 87% - the best investment plan 85% - the chance to be better off financially 85% - the chance to build up wealth Additional financial advantages of homeownership included in the survey are having the best overall tax situation and being able to live within your budget. Does homeownership actually give you a better chance to build wealth? No one can question a person’s unique feelings about the importance of homeownership. However, it’s fair to ask if the numbers justify homeownership as a  financial  asset. Last fall, the  Federal Reserve  released the  Survey of Consumer Finances , a report done every three years, with the latest editi

Multigenerational Housing Is Gaining Momentum

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David Deem 714-997-3486 Dave@DeemTeam.com Some Highlights If your house is feeling a little cramped with the addition of adult children or aging parents, it might be time to consider a move-up into a  multigenerational home  that better suits your changing needs. With benefits that include a combined homebuying budget and shared caregiving duties, an increasing number of households are discovering the value of a multigenerational home. With such high demand for houses today, now is a great time to sell so you can upgrade to a multigenerational home that may better suit your evolving needs. www.DeemTeam.com DRE#01266522  

Some Buyers Prefer Smaller Homes

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David Deem 714-997-3486 Dave@DeemTeam.com Over the past year, we’ve had plenty of opportunities to reflect on what we consider most important in our lives. The place we call home is one of the biggest things many of us are reevaluating. George Ratiu,  Senior Economist  at  realtor.com,  shares: “The very nature of the pandemic, through the health implications, social distancing, and need to isolate, has really brought a central focus on the importance of home for most Americans…In a sense, it has elevated real estate markets as a centerpiece of our lives.” For some, this has spurred an interest in making a move to a home that better suits our changing needs. In a recent  study  on today’s homebuyer preferences, the  National Association of Home Builders  (NAHB) states: “When asked more specifically how the pandemic may have impacted their preference for home size … 21% or about 1 out of every 5 buyers, do want a larger home now as a direct result of the health crisis, while another seg

93% of Americans Believe a Home Is a Better Investment Than Stocks

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David Deem 714-997-3486 Dave@DeemTeam.com A recent  Survey of Consumer Finances  study released by the  Federal Reserve  reveals the net worth of homeowners is  forty times greater than that of renters . If you’re wondering if homeownership is a good investment, the study clearly answers that question, and the answer is yes. Do Americans believe a home is a better investment than stocks? In a post on the  Liberty Street Economics  blog, the  Federal Reserve Bank of New York  notes that  93.3% of Americans  believe buying a home is  definitely  or  probably  a better investment than buying stocks. Here’s how the results break down: The survey also shows a wide range of reasons why Americans feel that way (respondents were able to pick more than one answer): Bottom Line The data show how strongly Americans believe in homeownership as an investment. That belief is warranted. The  Liberty Street Economics  blog put it best by saying: “Housing represents the largest asset owned by most hous

4 Major Reasons Households in Forbearance Won’t Lose Their Homes to Foreclosure

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  David Deem 714-997-3486 Dave@DeemTeam.com There has been a lot of discussion as to what will happen once the 2.3 million households currently in forbearance no longer have the protection of the program. Some assume there could potentially be millions of foreclosures ready to hit the market. However, there are four reasons that won’t happen. 1. Almost 50% Leave Forbearance Already Caught Up on Payments According to the  Mortgage Bankers Association  (MBA), data through March 28 show that 48.9% of homeowners who have already left the program were current on their mortgage payments when they exited. 6% made their monthly payments during their forbearance period 7% brought past due payments current 6% paid off their loan in full This doesn’t mean that the over two million still in the plan will exit exactly the same way. It does, however, give us some insight into the possibilities. 2. The Banks Don’t Want the Houses Back Banks have learned lessons from the crash of 2008. Lending institu