It’s true—maintaining an oversized home as you prepare for retirement can be stressful. After a while, cleaning a large house and spending more money on updates just doesn’t make sense. Now you’ve decided to sell, but like most homeowners, you’re not sure where to start.
You want to get your home sold without a whole lot of stress and worry—and do it fast. That’s why you deserve the guidance of someone with experience in the field. Like you, I live in Heritage with my family and I know the neighborhood very well. As you prepare for your transition, here are the top things to know about the Heritage real estate market:
Zillow Pulled Out of the ibuyer Market
Last month, Zillow announced that it was pausing its buying of houses for the rest of the year and will be winding down its ibuyer program altogether. You may have heard of people getting an offer on their home from Zillow. This was an effort by the hedge-fund backed company to get into the house flipping game. Zillow was making all-cash offers to sellers and allowing them to close on their timeline and avoid listing their home on the market with an agent. While the convenience factor was appealing for some sellers, many times sellers would discover going through the process with Zillow that they would have made at least 10% more money if they had listed their home with a traditional agent. Zillow charged sellers various market contingency fees and adjustments to the sales price after the inspections were conducted resulting in a lower net number at the closing table.
As the market continued to climb in 2020-2021, Zillow underestimated how quickly the market would rise and had overextended themselves with too many offers on homes across the nation. Bottom line, they couldn’t figure out how to make money owning residential real estate. As an investor, I have been watching this happen in North Texas. We are now seeing all the homes Zillow purchased in Heritage being listed for sale.
What We Can Learn from Zillow
Zillow is a highly sophisticated company, backed by Wall Street that uses algorithms to inform their valuations, purchasing and selling decisions. If they could not time the market, it stands to reason that we cannot either. Zillow is seeing something that is causing them to sell. Prices cannot keep climbing forever. I think it would be wise for homeowners to take note.
As a Heritage homeowner, what does all this mean for you?
Well, if you’re thinking about selling in the next 12 months, now is the time to start preparing for the market.
In addition to working as an agent, I am a homebuilder. Meaning, I don’t just sell homes, I build them. That means I can help you with any repairs that may need to be made prior to going on the market, and work through items that might come up during the home inspection.
You will benefit from my real estate expertise as I give you step-by-step support and clear communication along the way. You’ve worked hard for what you’ve earned, and you deserve to capture your equity without a lot of stress and heartache. With my ROI-based property updates, highly targeted pre-listing marketing, and a systematized approach, you can rest easy knowing you are in good hands.
If you’re thinking about selling your home in the next 12 months, call me today for your Strategic Marketing Consultation → 817-888-0683.
We will cover your goals and my unique approach to getting you the highest possible price in the fewest days on market.
- Existing Home Sales Will Pull Back
We can expect to see a mini surge before end of year and early next year. According to the National Association of Realtors, there were 5.7 million homes sold last year and 6 million in 2021. However, the overall existing home sales are projected to pull back by about 2% for 2022. Still very strong historically, but a slight downward trend seems to indicate we could see things start to settle down (i.e. more supply, days on the market, less over-asking offers and lower sales prices).
- Fed Will Raise Rates in Late Q3/Early Q4
With Jerome Powell getting another term, it is a little more predictable how the fed will operate versus if we had a new Fed Chairman altogether. He has made clear his main focus will be on curbing inflation by reducing the fed’s bond-buying practice (quantitative easing). This will inevitably lead to interest rates rising in the mid-term. Economists are predicting rates will creep up and an overall increase of .07%-1% by late September-December 2022 timeframe. This will slow down the real estate market. Don’t wait until late next year to put your home on the market, now is the time to call your real estate professional to get your home sold for the most amount of money and appeal to the largest pool of potential buyers.
- Capture Your Home’s Equity, Reinvest and Put Some Money Away
Warren Buffett said that it is wise for investors to “be fearful when people are greedy, and greedy when people are fearful.” Sellers have enjoyed lining their pockets in this runaway real estate market. Looking at the economic tea leaves, we can see that now is a great time to capture your home’s equity, rebalance investments and save for a rainy day. Hiring a real estate professional will help you maximize the wealth you have built in your home.