December Market Update 2021

Here's what we're seeing in the market these days: 

With buyers and sellers focused on the holidays, the downward trend we are seeing is very common for this time of year. Although the numbers (in terms of inventory) and sales price are not in favor of buyers, hopefully buyers will see some new and rising inventory just around the corner (January/February). On a positive note for buyers, this is still an amazing time for buyers to take advantage of record low interest rates especially with the Federal Reserve acknowledging that they plan to raise rates (more than once) in the upcoming year.

2022 is forecasted to be a seller’s market, albeit a weaker one than we have seen in 2021. Sellers should continue to avoid overpricing their homes because numbers indicate a direct correlation between overpriced listings to higher concessions to buyers and higher days on the market. Overall, Arizona is still seeing record numbers in the real estate market and experts do not see a “cool off” in the near future.

With over 230 people moving into the metro  Phoenix  area a day. Competition  for homes, condos, townhouses are still around... if you will be in the market to buy or sell a home Team Beery would be happy to help out! Contact us to get the process started! ❤ 602-644-1416  or office@teambeery.com 

Tips to get your home staged to sell- 2021

 In this day and age- with HGTV and all the fuss made about homes it is so important to have your home staged... so here are a few tips from the pros to get the most bang for your buck!  

Maximize Curb Appeal

Getting them through the front door starts at the curb. Manicure the lawn, trim the trees and shrubs. Pull weeds and plant some colorful flowers. Clear the walkways. Fix peeling paint and wind up that hose. Paint the address number on the curb.

Make Repairs to Visible Blemishes
Is there something that’s an eyesore, but an easy fix? If looking at it bothers you, it could bother a potential buyer and reduce the appeal of your home. Replace burnt out light bulbs, fix that loose door handle, make needed paint touch-ups.

Make a Buyer’s Entrance Inviting
Freshly paint the front door with a color that contrasts the house. Add a new welcome mat. Hang a fresh wreath on the door.

Let the Light Shine In
Removing heavy window coverings to let in the natural light we all crave. Add lamps to brighten up darker areas to add more cheer.

Remove the Clutter
This serves two purposes. First, you want your home to have an open and inviting appearance. Removing clutter will make rooms appear larger and more appealing. Second, it helps YOU prepare to move. Going through the clutter and getting rid of what you don’t need will make your move much easier.

Remove Personal Items
It will be much easier for a potential buyer to imagine your home as theirs when they can envision their own items in it.

Highlight Special Features
Use accents and color to draw eyes to special features that you want potential buyers to notice—throw pillows, plants or other eye-catching accessories.

Add Mirrors
Use mirrors to make rooms look larger and lighter. Position opposite windows for best effect.

Clean Out Cabinets and Closets
Buyers are nosy and they WILL open the cabinets. Make sure your contents are orderly and organized.

Eliminate Odors
Clean to remove any odors and do not cook any meals with heavy, lasting smells before a showing.

Add Aromas
You can easily add appeal by quartering an orange and adding it to a pot of water with a cinnamon stick. Simmer on low for an inviting aroma. Or bake a fresh batch of cookies (and leave a plate of them on the counter for visitors).

If you feel you need more help- Team Beery is always here to help!  Just contact us and our team can get you on a plan to get your home ready for sale!  

 

Steps After a Home Inspection- What You Need to Know!

There’s nothing as exciting as finding the perfect home. From the right number of bedrooms to a spacious yard, finding a house that satisfies your standards can have you eager to call it home sweet home.

However, excitement can turn to distress if the home inspection report turns up needed repairs. But don’t fret—you can negotiate. Use the information in this blog to better understand the process and prepare questions for your real estate agent.

The inspection process 

Home inspections are an essential part of the home buying process. They can help you uncover potential problems and address these issues in a timely and efficient way so you can focus on moving into your new home. Most inspections focus on:

Appliances & Mechanical 

Structural aspects & Pool

Electrical & Plumbing 

HVAC system

Drainage & Termites

Roof & attic

All done as a visual inspection, if items are called out then we always recommend getting the correct trade in to verify what issues there are and the cost to repair or replace them.  

Next Steps

Once you have received the report from the home inspector, take some time to review it and then we can go over it together. We have the experience and know-how to guide you and determine what repairs or concessions you should request.

Prioritize repairs

After you go over the report, it can be helpful to prioritize the needed repairs by both cost and severity. If there are any significant issues, like foundation damage or bad wiring, you should prioritize these concerns over cosmetic issues or repairs that may be less expensive. Note any problems that will cause you to walk away from the sale if the seller does not address them.

Request repairs or concessions

Once you have your list of must-have repairs, you will need to negotiate with the seller to find a way to correct these issues by asking them to complete the requested repairs as part of the closing. The seller could offer a concession or credit toward the repairs instead. In that case, you will need to agree on a price to complete the repairs, and the seller can either adjust the home’s purchase price or pay an equivalent amount of your closing costs.

Credits or concessions may be the preferred option for many sellers, as making repairs on the home can add another task to an already hectic moving to-do list. Additionally, as the buyer, you have no control over the repairs, and they may not be up to your standards.

If you agree to a concession or credit, make sure you get quotes from a general contractor on how much the repairs will cost—this will help you have a ballpark idea of how much you will need to make these repairs. You can share them with the seller to justify the concession or credit amount.

Other considerations

Before negotiating, make sure you understand the following information:

If a home is listed as-is, it’s unlikely the seller will want to make any repairs or pay to have them fixed. However in some cases, if a home inspection discovers a major problem, you can still request a reduction or credit to help rectify the issue.

If you’re buying a home in a seller’s market, be mindful of how many repairs or concessions you request. A seller is not obligated to make any repairs.

Know when to walk away

If there comes a time when it feels like you’re at an impasse and the seller won’t budge on your repair requests, it may be time to look for a different home. The home inspection contingency clause in your contract allows you to back out of the sale without losing your earnest money deposit if the home inspection results are not up to your satisfaction or you cannot come to an agreement with the seller, within the said amount of time.

Our hope is that you now have a better understanding the negotiating process. Don't worry, we will be with you every step of the way and soon you’ll be ready to move into your dream home. 

As always if you have other questions, we are just a text or phone call away! 

Always use a 'Beery' Good Team

Top Things a Seller Should Consider Before Selling a Home or Condo.

A successful home sale, considered by many owners, is to maximize their proceeds in the shortest time with the least inconveniences.  Just because it is a seller's market doesn't mean that homeowners can shortcut some of the steps that make it happen and they certainly need to avoid commonly made mistakes.

Pricing too high

Low inventory and high demand have contributed to the rising prices of homes.  NAR reports that the median sales price is up 17.8% in the past year and CoreLogic recently released data that July set new record growth of 18% year over year.  This might give sellers a false sense of security about overpricing their home

Pricing a home too high initially can limit activity, attract the wrong buyers and ultimately, cause the home to realize a lower price than optimum.  There is an interesting dynamic that takes place when there is a shortage of homes to show, and a new home hits the market.  Buyers, who have been in the market but not purchased yet, will rush out to see the home.  They are familiar with what homes are selling for and possibly, have even lost bids on one or more.

These savvy buyers expect certain amenities based on the price of the home.  They can tell if a home is priced right or not.

Failure to do Market Preparation

There are people who will buy a home that is not pristine and does not have everything in good working order, but they usually will not pay top dollar for the home.  They recognize the money that needs to be spent and will adjust the price accordingly.

To command the highest price, the home needs to be spotlessly clean with everything working as it should be.  The home needs to be depersonalized to appeal to the broadest group of people.  The clutter needs to be removed so it isn't distracting or give the impression that the rooms, counters, or closets are small.

It is important to evaluate if painting is necessary along with replacing floor covering, appliances and/or light fixtures.

Thinking the agent doesn't matter

Market time is down to 17 days and 89% of homes are sold within a month.  These statistics might be used to rationalize that an agent is not currently playing an important role in the home but that would be a mistake.

Nine out of ten homeowners use an agent, and the four most important reasons were to help sell the home within a specific timeframe, help price the home competitively, help seller market the home to potential buyers and help the seller find ways to fix up home to sell it for more money.

Being present during showings

It may not be convenient, but sellers should try to leave the home when it is being shown.  Buyers like to look at the home freely and ask questions or point out things to their agent.  Sellers may have the best of intentions, but they have not established rapport with the buyer and don't really know what is causing the questions.

Not letting your agent negotiate for you

The role the agent plays as third-party negotiator is one of the most important things an agent does for a seller.  It begins long before buyers even make an offer.  The protocol is for the buyer's agent to go to the listing agent with the question and if necessary, they can ask you and get back to the buyer's agent.

Buyers and sellers have inherently different objectives.  Sellers want the highest price and buyers want to pay the least.  Sellers want the terms of the contract in their favor and the buyers want them to favor them.  Buyers want lots of contingencies to let them out of the contract and sellers want the fewest possible contingencies.  Sellers want the most earnest money and buyers want to put up the least possible.

Agents are skilled at negotiation not only because of training but also experience.  Sellers' experience is usually limited to personal transactions separated by years in frequency.   Agents see multiple transactions in their daily business and can guide people through difficult areas.

Not responding to offers in a timely manner

Normally, an offer can be withdrawn, at any time, up until the point that it is accepted.   The expression a bird in the hand is worth two in the bush reminds us that the offer you have is real and the ones in the bush, may never come to fruition.

A common situation occurs when there is large amount of activity on the home and an offer comes in quickly.  Instead of negotiating on that offer, the sellers wait to see if any better ones are received.  By waiting, the seller runs the risk of the buyer changing their mind.

Alternatively, in the same situation described, the seller may decide to put the home on the market on Saturday morning and let prospective buyers know that they will be deciding on all offers received over the weekend on Sunday evening.

Your agent is a valuable part of selling a home who can offer advice, bring perspective to the transaction, and suggest different ways to help you achieve your goals.  Once you have the right agent, everything else will start to fall into place- that is why Team Beery is here to help! Contact us if you want to get started!! 

What buyers need to know about escalation clauses

 

An escalation clause can help buyers gain a crucial edge in today's seller's market, but these offer addendums need to be handled with care. What is it? An escalation clause is a real estate contract, sometimes called an escalator, that lets a home buyer say: “I will pay “x” price for this home, but if the seller receives another offer that’s higher than mine, I’m willing to increase my offer by “Z” to “Y” price. Just be sure you have the cash to back up the offer. 

How does an escalation clause work? While escalation clauses vary significantly, the general escalation addendum has a few basic components:

•             What is the original offer of purchase price?

•             How much will that price be escalated above any other competitive bid?

•             What is the maximum amount that the purchase price can reach in case of multiple offers?

For example, buyer Brown offers $100,000 for a home or piece of real estate. Her Realtor® adds an escalation clause that, in the case of a higher competing offer, will increase Brown’s offer in increments of $2,000 above the competing offer.

Her escalation clause goes up to a maximum of $110,000. If no other offers are submitted, Brown’s offer remains at $100,000.

If buyer Green offers the seller $103,000, then Brown’s offer would automatically escalate to $2,000 above that, bringing Brown’s offer to $105,000. If buyer Orange offers $111,000 for the home, then Brown’s maximum of $110,000 will be exceeded, and Orange will have the top offer.

Will the seller accept an escalation clause?

Some home and real estate sellers simply state that they will not accept an offer with an escalation clause. They would prefer that every buyer submits exactly what they’re willing to pay for the home or real estate.

Sellers sometimes prefer this method, because it motivates buyers to outbid one another on the first try. It also streamlines the contract paperwork and the decision-making process.

Will there definitely be multiple offers? Almost always in the 2021 market so far. Some folks hate to put all their cards on the table upfront- Yes, I get that, but in the market, it does help the seller select the best offer.

Escalation clauses should only be used when the buyer is fairly confident that there will be multiple offers, or when the buyer expects to pay an increased price.

Buyers who submit an offer with an escalation clause are laying all their cards on the table: The seller knows immediately how far the buyer will go to secure the home. If that offer ends up being the only offer submitted, it technically remains at its original price.

A Realtor representing the seller will know, however, to counteroffer to the buyer at a higher, escalated price, since the buyer is clearly willing to pay more. While there’s no guarantee that the buyers will agree to the higher price, it is likely that they will.

A buyer gives up a lot of negotiating power and potentially leaves money on the table when using an escalation clause that goes unmet by a competitor. The only protection they have is the appraisal, and if they chose to waive that, too—they are agreeing to the price no matter what… so be sure you can come up with all the extra money before adding this clause.

Has the seller’s agent clearly stated a one-day review or multiple rounds of offers? In hot real estate markets, a wide variety of offer-review processes can be available. Some might specify, for example, that the property is going on the market on Friday, and that all offers will be reviewed the following Thursday. The sellers and their Realtor will make a final decision that day.

This situation can be ideal for the escalation clause, when a buyer knows it’s an all-or-nothing offer. Other sellers take a back-and-forth approach.

They may collect offers from buyers for one week, and then respond to a handful of the best offers by saying “Send us your highest and best offer.”

This technique is particularly disliked by many consumers and professionals for its lack of clarity, but it’s important to know that it exists. Before writing an offer, a buyer’s Realtor can inquire to feel out the details and make sure the buyer is prepared for the situation.

Writing an escalation clause on the initial offer in a multistage situation could put the buyer in a weak position during the second round. It’s perfectly legal for a seller’s Realtor, with the seller’s permission, to reveal to all potential buyers what the top initial offer is and to ask everyone to beat it.

In this case, the escalation clause would reveal that buyer’s maximum, losing a competitive edge.

Bid with careful confidence, and know that each situation is unique

If you’re considering an escalation clause,  The Realtor’s knowledge of normal practices and probable outcomes in your market will make your offer much more likely to succeed. They will help you see what the downfalls are and explain any advantages. Buyers shouldn’t be tempted to escalate their purchase price above a figure that they would be comfortable paying. At the same time, they should realize if inventory and interest rates are low that aggressively pursuing a good home at a good price is necessary to winning in a competitive market.

Escalation clauses can cause a lot of stress for home buyers, but when they’re boiled down to the basics, they’re fairly straightforward. Remember to be realistic, to be comfortable with how much of a competing bid you’re willing to offer, and to confidently go after a piece of real estate at that price.

Potential buyers who are only looking to get a steal often end up not being buyers at all. With the way homes are going up in value in 2021-- 2 months of looking for a home could potentially cost you $10,000- $20,000… so some buyers are taking that value on at the time of the offer, to hedge their bet. But bottom line, the only protection the buyer has in this situation is the appraisal. Now, that could bite you too- as what if the appraisal come in low—will you have the cash on top of your down payment to make up the difference?  So just tread carefully and know what you are getting into- before you jump in!! 

 Want to know more, Contact Team Beery and we will be happy to help you navigate the in’s and out’s of this market.   

How to pass a home inspection

THINGS YOU SHOULD KNOW TO HELP PASS A HOME INSPECTION AND AVOID DELAYS

HIGH COST LAST MINUTE TRAPS YOU SHOULD KNOW ABOUT WHEN LISTING A HOME

*Utilities are on the day of the inspection - water, electricity, gas, etc.

*Lock box codes or arrangements are provided to access the inside of the property before the day of the inspection

*Grade or surrounding surfaces slope away from the house foundation on all sides

*Exterior surfaces – driveway, walkways, porch, patio and other accesses are not cracked with significant separation or displacement

*Vegetation is trimmed or planted away from the house foundation, wall surface and roof cover

*Exterior trim building material is free of deterioration, rot and sealed to the wall surface.

*The roof covering has been serviced within the last 3 years and has no obvious damage

*Exterior windows are not cracked, vandalized or missing and seals are functional. 

*Water heating tank does not have visible corrosion or staining at the unit, pipe connections and surrounding area.

*Sinks and faucets do not leak underneath and there are no indications of earlier water damage inside a cabinet or wall

*Waste pipes at sinks, tubs and fixtures have functional drainage. The shower door is not leaking. No obvious leaking on drywall around tubs or toliets. 

*Kitchen appliances are functional and installed properly. There is a high loop on the dishwasher. 

*Electrical outlets, wires and connections are concealed and secure. Outside outlets are properly covered.

*Heating and cooling systems are operational at the controls and serviced within the last 1 year.

*Interior walls, ceilings and floors are not cracked with significant separation or displacement

*Attics are insulated with an adequate cover. 

*****The information provided is educational. A Home Inspection should always provide an unbiased evaluation.******

For more information,  contact  Team beery at www.TeamBeery.com

April Market stats

**April's Monthly Market Update 



Active Listings have decreased by 70.2%.

Listings Under Contract have increased by 29.6%. 

Monthly Median Sales Prices have increased by 18.1%. 

Closed Sales are up by 16% 

This is all due to the current lack of supply on the market which is now at 0.4 months. 

WHAT DOES THIS MEAN TO THE TYPICAL HOMEOWNER???

NOW IS THE TIME TO SELL YOUR HOME!!! We have a program that allows you to buy your next home without a contingency.  Just ask us about it! 

*Buyers:

With 54% of all sales closed over asking price so far in April, the average sale price per square foot is now higher than the list price for every price range up to $1M. In a balanced market, homes typically sell within 97% of list price; that percentage is now 101%. This means that, for the past month or so, the majority of list prices have been the starting price for where negotiations begin instead of a top price to work down from. In past extreme seller markets, $5,000 over asking was typically enough to win a contract; that was true last year as well when the market took off. However, last January the median over ask was $6,000; by February it was 10,000; in March it was $11,000; and so far in April it’s $15,000. 

 **By price range, over 62% of homes listed between $250K-$400K closed over asking price; the percentage is 54% for sales between $400K-$600K; 47% between $600K-$900K; 30% between $900K-$2.5M; 9.5% over $2.5M.

 Putting an offer in over asking price may cause a buyer some anxiety, especially a first-time home buyer. The median sale price is now $360K. Since January, the sales price per square foot for a home between $300K-$400K has appreciated 6%. That’s approximately 2% per month and the current sale price to list price ratio within the price range is 102.4%. If this rate of appreciation continues in the short term, a buyer who paid 4% over asking price on a $360K home ($14,400 over) would recoup their investment through appreciation in approximately 2 months.

If you need to know about a community or more specific  information- contact me or my team!!

Outdoor Structures Make enhance your backyard!

 

Although it’s barely spring, summer is right around the corner. And nothing says summer like better outdoor spaces to play and work in! Now is the time to plan and install outdoor structures so you can spend the hottest days of the year taking advantage of the breeze and shade, while still being able to spend time in the great outdoors.

A Short List of Outdoor Structures

Outdoor structures offer endless possibilities when it comes to sizes, shapes, construction materials, and intended uses. However, there are a few that are hardcore backyard staples, to the point that some might argue a home is completely bare without them. Of course, the outdoor structures you choose will depend greatly on how you use your home, but here’s a short list to get you started.

• Patio covers. Already have a patio, but the sun’s putting the kibosh on your outdoor plans? It’s time for a patio cover. These very simple structures are essentially a roof for your patio, designed to seamlessly marry with your existing rooflines and structures. If a permanent roof isn’t possible, consider adding a shade sail, which can provide a great deal of shade with very little cost or maintenance.
• Pergolas and trellises. Looking for a fancy place to run some plants for natural shade with the added benefit of flowers, fruits, or foliage? Pergolas and trellises provide spaces for plants to climb, as well as providing broken shade throughout the day. The tighter the construction, the more shade you’ll have, but if you plan to train vines on your structure, leave ample room for growth.
• Decks. Of course, not all the best structures are aerial. There’s absolutely nothing like a nice deck. You get all the benefits of sitting outside without all the mud, grass, and bugs. What’s not to like? Decks allow for a lot of creativity and customization, too, with common add-ons like benches, fancy railings, and multiple levels to create even more interest.
• Screen porches. If you already have a deck or a patio that you like, and a roof on it, you can easily convert it to a screen porch with a few weekends’ worth of effort. With a screen porch, you can still enjoy the great outdoors, but without having to worry about stinging insects or debris that may be blowing on the wind.
• Gazebos. Looking for a freestanding structure away from your house? A gazebo or shelter may be a good choice. These largely open buildings feature a floor and a roof, and not a lot else, making them ideal for shady spots or poolside buildings. Hang a hammock inside and you’ve got the ideal summer relaxation spot.
• Recreational sheds. By now, most of us have heard of the “she shed,” but freestanding recreational sheds can be hideouts for anyone. Not a garage and not a house, a freestanding shed is a structure that allows you to create any kind of year-round space you can imagine. Add electricity and a heater, and even winter’s chill is no match for your outdoor studio space or reading room.
• Greenhouses. If you’ve got a green thumb, a greenhouse may be the perfect addition to your garden space. Even a small greenhouse structure will give you more room for plant-based experiments and somewhere to house your sensitive plants through the cold of the winter. Be sure to choose a model with excellent ventilation!

If you live in a HOA community, make sure you get their permission before constructing one of these up, just so there is no issues down the line.  

Do you need more information about if there is a value to adding these to your home, contact us at Team Beery 602-644-1416  

Spring promises an exciting season in housing

 March of 2020 saw the new spring market grind to a halt as COVID-related shutdowns and fear swept the country. Subsequently, real estate agents and brokers developed new and innovative ways to serve clients in the process of buying and selling their homes, paving the way for one of the most active and extended market recoveries in recent memory. Now, as the 2021 spring market gears up, it is a good time to think through your preparations to ensure that you are ready for what lies ahead. In the Phoenix market we never slowed down, so this spring seems like an extension PLUS of 2020. 

As you prepare, here are the things you need to know to make the most of what promises to be an exciting spring selling season. 

Technology is still essential

The adoption of new platforms and processes allowed real estate professionals to continue to serve their clients throughout the darkest days of the pandemic. For many clients, there is still an expectation that virtual tours and contact-free transaction management will be widely available.

While some markets have seen successful vaccine rollouts, others are still limited in the amount of contact they are allowed. Here in Phoenix all the COVID safe practices are making the most of your online and mobile platforms to simplify and streamline transactions and provide optimal client service.

Low home inventory continues

While some homeowners are motivated by rising home values in their area, others who are looking to sell and then buy are holding on to their current homes and waiting for a more buyer-friendly market. This is a good time to explore new home communities- but know there are challenges within this market as well in Phoenix.  As an option for hopeful buyers are slim you can ramp up your geographic research to make sure you know exactly what community is right for you.  My team has had good luck then identify potential sellers in the area you like.

Focus on what is important to you

If being close to schools or a freeway access is what you must have, make sure your search reflects that.  Sometimes a broad search can help when you are just wanting to compare what your money buys in different cities. Our team can help you narrow down your search so you can have  a lot of confidence in finding just the right home/ condo for you!  

Prepare for negotiations and multiple offers

Many buyers have hit a wall with scores of rejected offers and the frustration that comes with dashed hopes. In addition, sellers may be reluctant to negotiate even minor points in the face of multiple offers over asking price. Hone your negotiation skills to enhance your chances of scoring the right home. Keep in mind of the time you plan to stay in the home—sometimes in this market over paying to get the home, will pay off because of the features or location of the home/condo.  

I am telling my buyers right now- there may be a few no’s we will get told, but I know we will get the yes on the right home!  

If you need any help navigating selling your home to buy another, we will help you through this with the least number of bumps in the road. So remember to call the “Beery Good” Team 602-644-1416

What value does a REALTOR have in today’s market? Why use a REALTOR?

 

When you think of a REALTOR, what do you think of? Lately We are hearing overpaid, a rip off-- this saddens us as there is a Very Big Difference from a REALTOR and anyone who is licensed to sell real estate in my eyes. There is so much talk about value and what we do or don't do for the public. It is hard to see the differences or what is the benefits of using a Full Time- Full- Service REALTOR.  WE think of negotiating and building relationship, protection for our clients, working hard, educated to what is happening around a specific area and the pitfalls to know about, helping people every way WE can. We think of helping you get to your Whooo hooo!!!! moment, quickly, efficiently and navigating all the obstacles that can be in your path!

 Yes, you can sell your home yourself, use a discount brokerage, or hire a agent/a broker not associated with NAR with the designation of a REALTOR. So why does it matter? What difference does it make? REALTORS have taken an oath and are held to the code of ethics from NAR(National Association or Realtors); they give you a Protection from what you do not know and will guide you to make educated decisions. They have tools to help you stay on track and focused on what is important. We have a Fiduciary responsibility to our clients, to act in their best interest. An I-buyer like Open Door, Zillow, etc., etc., ARE the buyer, their goal and driving force is to buy the home as cheap as possible, so they can resell it back on the open market. They have no duty to the owner of the property or the the Buyer of Open Door's home.... In a nutshell there are your differences.  Now, in the litigious world we live in- you can be sued for anything, mix in the most expensive item most people buy in their lifetime and that puts the general public at risk. As many lawyers, NAR, ADRE and AAR have all said. 

 Today I am listing the top 5 reasons why a buyer will sue a seller. 

   #1. Not disclosing important details about the property to potential buyers, in writing. What may seem a small detail to you- could be a very big thing to someone else. One of the only documents that is still valid after the closing is the Seller Disclosure Statement. so just because you closed on the home, does not mean the buyers can't come back and sue if they feel wronged.  

   #2. Not disclosing material facts on the seller disclosure paperwork, sellers are asked a myriad of questions regarding their home including items like any roof or water leaks, termites, or pest issues, plumbing or air conditioning issues, zoning ordinance violations, building code violations, and more. It is vital that a seller makes every effort to disclose past and present issues, even if they have been resolved and even if they happened before they owned the house. If it is a known defect, it needs to be disclosed. Failure to disclose a material fact can certainly lead to a lawsuit. And it can be simple for a buyer to learn a seller knew of a defect. It’s not uncommon for a neighbor to provide a statement outlining a previously known issue.  

#3. Concealing a defect Another way a seller can be sued? By concealing a defect through fraudulent misrepresentation. Or repairing an item in the home without disclosing it. An example of this would be a seller who freshly painted over a ceiling leak just in time for an inspection or who, on the extreme end of the spectrum, collaborated with a home inspector to create a fictitious report. 

#4. Making a disclosure mistake It should be mentioned that not understanding a question on the seller disclosure paperwork or making a mistake when filling out the documents does not negate a seller from their responsibility to disclose what they know. That small mistake could lead to multiple thousands of dollars in a lawsuit. 

#5. Not filling out paperwork correctly, disclosing other parties on title, having work done on the property and not paying the trades or making incorrect statements to the title company, or errors on the paperwork to the title company

As We see it that is a big value,  So if you want a great team behind you- contact us to buy or sell a home throughout the East Valley of Phoenix, including: Phoenix, Mesa, Gilbert, Chandler, Tempe, Scottsdale, Queen Creek, Apache Junction, San Tan Valley, Gold Canyon! 602-644-1416.

Mid month Market Report

 

End of January  Pricing Update and Forecast

Each month about this time we look back at the previous month, analyze how pricing has behaved and report on how well our forecasting techniques performed. We also give a forecast for how pricing will move over the next month.

For the monthly period ending January 15, we are currently recording a sales $/SF of $214.92 averaged for all areas and types across the ARMLS database. This is up 3.0% from the $208.70 we now measure for December 15. Our forecast range mid-point was $212.50, with a 90% confidence range of $208.25 to $216.75. Prices rebounded sharply from the brief lull in early December and came in $2.42 higher than we forecast. However the actual result was well within the 90% confidence interval.

On January 15 the pending listings for all areas & types show an average list $/SF of $218.10, up 2.2% from the reading for December 15. Among those pending listings we have 98.8% normal, 0.5% in REOs and 0.7% in short sales and pre-foreclosures. There has been little change in these percentages compared with last month, and the number of distressed sales remains extremely low by historic standards.

Our mid-point forecast for the average monthly sales $/SF on February 15 is $220.18, which is 2.4% above the January 15 reading. We have a 90% confidence that it will fall within ± 2% of this mid point, i.e. in the range $215.78 to $224.58.

Average sale $/SF has risen 15.8% in the last 6 months, equivalent to an annual appreciation rate of over 31%. If our forecast proves accurate the next month will take us to an 18.6% increase over 7 months.

Appreciation rates of over 20% are inevitable by the time we get to April 2021.

From Cromford Report-The data used to create the Cromford® Report is obtained from public records and obtained under license from the Arizona Regional Multiple Listing Service, Inc (ARMLS). Cromford Associates LLC and ARMLS expressly disclaim and make no representations or warranties of any kind, whether express, implied or statutory, as to the accuracy of the data used.