Categories Cash Offer, Corona Virus

Corona Virus and Houston’s real estate market

The Corona Virus took the world by storm and will shape the worlds economy in numerous ways.  One of the industries that will be heavily affected in the recent months will be the real estate market.  Although many markets are different throughout the United States, the Houston market has been really strong over the last several years.  Even with the stay-at-home order from Governor Greg Abbott, Houston’s home sales were more than 11 percent ahead of the levels at this point in 2019.  Many people are still taking advantage of the rock bottom interest rates that are available from mortgage companies.

Many real estate professionals in the Houston area are looking for the Corona Virus to have the same effects on Houston as Hurricane Harvey did for some time.  There should be a major slow down, shifting the once strong sellers market back to more of a buyers market, soon.  The easiest way to put it is, many are bracing for impact, waiting to see the full extent of the damage it will have on employment and local businesses.

Houston Real Estate Highlights in March

  • Single-family home sales rose 8.2 percent year-over-year, with 7,566 units sold, marking the ninth consecutive month of positive sales;
  • The Days on Market (DOM) figure for single-family homes was unchanged at 65 days;
  • Total property sales rose 6.9 percent, with 8,965 units sold;
  • Total dollar volume jumped 11.0 percent to more than $2.6 billion;
  • The single-family home median price rose 4.1 percent to $249,900, reaching a March high;
  • The single-family home average price climbed 3.8 percent to a March high of $309,785;
  • Single-family homes months of inventory was at a 3.5-months supply, down from 3.8 months last March but above the national inventory level of 3.1 months;
  • Townhome/condominium sales declined 0.5 percent, with the average price up 6.0 percent to $224,038 and the median price up 4.6 percent to $183,000;
  • Lease properties experienced a mixed performance, as single-family home rentals increased 1.2 percent with the average rent up 2.4 percent to $1,788;
  • Volume of townhome/condominium leases fell 9.7 percent with the average rent up 4.2 percent to $1,604.
  • One of the many things not talked about much is the change in today’s oil prices that are going to have a massive effect on the Houston real estate market with the current OPEC issues overseas.  Many people are expecting large oil companies to have major layoffs contributing to the large unemployment numbers we are already seeing here in the United States.

The outlook of the Houston real estate market is brital and is henging on several external factors that we should keep a close eye on.  Once the April and May numbers are in, we should be able to see the lasting impact and a small outlook of what the real estate market should look like for the rest of 2020.

Houston HAR News Data

Categories Baytown, Cash Offer, Inherited, vacant home

Damaged, Vacant, or Inherited Home Causing You Stress? Here’s the Solution!

 

Homeownership is a lot of work and if you own more than one property, the cost and time for maintenance can often become overwhelming. So, let’s look at the top three ways people become financially overextended with their properties and what to do about it.

Inheriting a home sounds like it would be a great financial windfall, but in reality, it usually ends up being a costly logistical and emotional nightmare. Inheriting a home typically falls on the heels of bad news, like a death in the family, so the prospect of financial gain is not ordinarily on the top of people’s minds. Homes that are acquired by inheritance are almost never in a condition to sell. As a result, when the time comes to sort out the inherited property it will need to be cleared out. This will require movers, multiple garage sales, or an estate sale to get the contents of the home properly delivered to inheritors or sold. Lastly, the home will need to be updated and refurbished, or sometimes repaired. This process can take months or even years to complete before the home is ready to live in or sell. We forgot to mention, this scenario is under ideal conditions. Throw in bickering siblings and relatives wrestling for their peace of the pie, contributing their own ideas and opinions of how to go about splitting up the inherited property and how to make the highest profit off of it once it sells! Because of all this, nine times out of ten, inheritors just want to sell the property as quickly as possible. To simplify the process and alleviate the stress, you can sell the property to an all cash buyer such as Gulf State Homebuyers. They can close on the sale of the home in as little as five days and will buy the house as-is so you don’t have to hassle with any renovations. All you are left with is deciding how to divide up the inheritance with your family.

An inherited home can also be the reason for owning a vacant home, but it could also be a vacation home that no longer gets use or an investment property that didn’t get the time and attention it needed to turn a profit. Homes that are intended to be rented, but for one reason or another remain unoccupied, are one of the most common types of vacant homes. Whatever the reason, a vacant home can cause a lot of financial and emotional stress. When homes sit vacant, it doesn’t take long for the structures to begin to deteriorate. This is because the basic cleaning and maintenance occupants typically perform, like picking weeds, clearing rain gutters, and raking the leaves, end up drastically extending the life of the structure. So, if no one it there to perform it, the home suffers. Basic house cleaning also keeps away pests, who will quickly move in and start eating away at the homes structure, insulation, or even the electrical systems. Any property that you are unable to maintain because of lack of time or finances needs to be sold quickly, because as the home continues to deteriorate the value will too. All cash buyers are good in this situation as well since they can quickly take the vacant property off your hands. This alleviates the two main reasons that a home sits vacant (lack of time and money), giving you the ability to sell and move on.

The last one is a big one when it comes to stress levels because it deals with the home you may currently be living in. We are talking about a damaged home! Fires, floods, and storms can often times leave the house unlivable, but even if the house is still safe to live in, the damage is likely to interfere with your ability to enjoy the house and can cause quite a few inconveniences. Cost aside, workmen and contractors coming and going throughout the day, coordinating repairs with your daily schedule, and the dust and noise of home repairs are all unpleasant at best. When this happens to you, there is another option – you could sell to an all cash buyer. Completely skip the cost and trouble of repairing the damage and let someone else handle it. At Gulf State Homebuyers we buy homes all cash, as-is, and in all conditions, even damaged. With all these scenarios, when you take into consideration the cost of repairs, upgrades, and the fees associated with selling a house, our offers are extremely competitive. So, contact us today for a free appraisal and sell your damaged, vacant, or inherited home in as little as five days!

Categories Cash Offer, Tips

When is the Right Time to Buy?

 

Most of us don’t have the luxury of waiting until that perfect moment to swoop in and snag the best deal on our next dream home. However, that doesn’t mean that with a little insight you can’t stack the odds in favor of getting a great deal. So, when is the right time to buy a home?

June is in the middle of high season, a time when there are the most homes on the market and houses are selling the fastest. This time of year you will have the best selection, but you will have little or no room to negotiate. In fact, the opposite is likely to occur. Multiple buyers will get involved in bidding wars which will raise the price of the house you had your heart set on. Because of this, if you are trying to get the best deal possible on a house, then it is best to avoid the spring and early summer all together.

The good news is that as winter and the holidays approach, as a buyer you can land a great deal on a home. This is because not very many people are out shopping for homes during this time of year. Often times sellers are put in the tight spot of being required to move unexpectedly and need to price the home to sell quickly. The day after Christmas is often singled out as the best day of the year to buy a house since sellers are eager to make a deal and willing to give discounts. Though there are deals to be had around the holidays, it’s difficult for most buyers to take advantage simply because of the nature of the season. The supply of homes is also very thin around this time so finding the home that is right for you is going to be hard.

This leaves us with a window of time overlapping summer and fall. By the numbers, the best time to buy a house is in the late summer or fall. This is because spring and summer are the busiest times of year for real estate which means prices go up from the increase in competition. Shopping at the tail end of high season still gives you plenty of homes to look at, but sellers are getting anxious to sell. They don’t want their home to be left on the market as winter approaches, driving away the pool of potential buyers. This leaves you with the highest value when home shopping, providing plenty of choices at good prices.

Timing for purchasing a home is affected by the seasons. Weather and school play a major role in determining when is the best time to move, which is why spring and summer become such busy times of year for real estate. Timing matters because you want to take advantage of the basic principles of supply and demand in the market. For example, with the flood of homes on the market in spring you may be able to find the perfect home in the perfect location. However, you will have to pay the highest price for it. On the other hand, you could get a steal on a house in the middle of winter, but with the limited selection of homes on the market you will more than likely have to make some compromises when it comes to the features you wanted. Good timing adds value to your purchase by essentially getting you the best of both situations: A great home at a reasonable price.

If you need to sell your home fast, but are afraid that the coming of winter will hurt the sale price of the house, we have a solution for you. Sell to an all-cash buyer! We are Gulf State Homebuyers and we buy homes for all cash at very competitive rates. This is because you get to skip the time and money it takes to repair, upgrade, and market the home for sale. We buy your home as-is, and we buy homes in all conditions, even if they have been damaged by a fire, flood, storms, or other natural disasters. Simply contact us for a free appraisal and we make you an offer the same day. Remember though, this is a no obligation appraisal, meaning you can take it or leave it with no worries. It’s that simple! Don’t worry about what time is the best time, contact us today and be ready to snag the home of your dreams at one of the best times of the year!

Categories Cash Offer, Tips

Reading the Housing Market – Is Now the Time to Sell?

 

The housing market has its ups and downs but lately it seems that the price of homes only has one direction: Up. This may sound like a good thing, and it is, but many professionals fear that this continuous rise in the price of housing is coming to an end. Over time the price of homes will certainly increase, but the trouble is that the market goes up and down along the way. If you get caught needing to sell your home during a dip in the market, then you could potentially lose hundreds of thousands in equity. So, how do you know when is the right time to sell?

The housing market is cyclical – historically, the price of homes rises and falls in a not so drastic five-year cycle. However, in 2008 the housing market took a dramatic dive due to a vast over extension and overvaluation in the value of homes. For some areas, this unprecedented crash in the housing market took almost a decade to recover from. The market hasn’t corrected again since that recession, so experts are having trouble pinpointing when the next dip in the price of homes will be.

That brings us to now. Industry professionals are beginning to look to 2020 or 2021 to be the start of the next recession. Although no one sees any signs of another catastrophe like the Great Recession, they do see indications in the economy that point to the coming years hurting the housing market. Instability in the stock market, political uncertainty, and a decline in consumer confidence are just a few of the critical signs pointing to a recession on the horizon. The value of homes is linked to the health of the economy, simple supply and demand dictates that if people can’t afford to buy homes then the price of housing will drop.

So, what does this mean for homeowners? If you don’t see a move in the near future and intend to stay put for at least a decade, your investment will be secure. However, selling when the market is at its peak could give you several options for growing true wealth. When the market is at or near its peak, the equity that you have in your home can be used to purchase a duplex, triplex, or several properties to rent. Rental properties generate passive income that can pay for your mortgage, even in a recession. If you wait too long and a recession settles in, the amount of leverage you have from the equity in your home will shrink, making the purchase of a rental property very difficult.

Another way to take advantage of the housing market right now is to sell high and rent for a while until the market takes a dip. If you intend to sell in the next 5-7 years, now might be the best time to get out of the housing market and use your equity to buy again when the time is right. This strategy works great for people with predictable changes in their housing needs, such as an upcoming retirement or a desire to downsize because the kids have left the house. In this situation the money you gain from selling while the market is strong will vastly outweigh the money you spend on rent for a couple of years.

The equity you have in your home doesn’t even have to be used to buy a new home; it can be used for any investment like starting your own business. You can even sell your home and not have to move. Clever homeowners who are trying to get the most out of their home before the next recession can sell to an all-cash buyer and simply rent the home back.

We are Gulf State Homebuyers and we purchase homes in the areas of Houston and Baytown, Texas. We buy homes in all conditions and at a very competitive price. By selling to us, you can skip all the cost and hassle associated with putting your home for sale on the open market. Plus, you can sell fast before the economy starts to slide. We can even rent your house back to you until the time is right to buy again. Now is a great time to sell and put the equity you have built in your home towards your next big investment. Contact us today for your free, no obligation appraisal.

Categories Cash Offer, Tips

Are Fall and Winter a Good Time to Sell?

 

Fall is officially here and that means winter isn’t far behind. Traditionally, the volume of home sales dips during this festive time of year, but does that mean it’s a bad time to sell? Fall and winter may not have the same volume of homes sold as spring and summer but they are actually great times to sell. This is because families have returned from summer vacations, the kids have gone back to school, and the holidays are just around the corner. For most people, fall and winter mean normalcy and that’s a good thing when it comes to selling homes. Let’s take a look at some of the ways getting back to normal can help you sell your home in fall or winter.

This time of year brings more serious buyers. It’s true that the spring and summer housing markets bring out more buyers, but many of them hold off on making offers. This is because the more homes they have to choose from the pickier they can be, resulting in buyers extending their timeline. However, in the fall and winter, serious buyers will be feeling the pressure to move before the end of the yea which puts you in the perfect position to sell.

Not only do serious home buyers begin to feel the pressure, but the limited number of homes on the market helps you out as well. When the number of options for home buyers shrinks it puts you in the driver’s seat. Competing in a smaller market is a powerful bargaining chip that can help you close fast and for a great price.

Additionally, fall and winter open up the opportunity to target other types of buyers. Since families are more likely to move in the spring, it’s important to cater to other demographics like millennials and empty-nesters who are most likely to purchase a home during this time of year. Employers are also likely to relocate workers in the fall to avoid the higher real estate rates of the spring and summer. This scenario is great since they are likely to want to close on the home quickly.

If we convinced you to sell, here are some tips to get ready for a fall or winter sale.

Work as quickly as possible to prepare your home for market. This way you can have it ready before the holidays are in full swing. First things first, check the homes heater and ventilation – you don’t want to find out the heater is broken on the first cold day of the year. It’s also important that the air inside your home smells fresh. We are not referring to scented candles here; instead, we are talking about the air filters. By having the system checked and the filters replaced you can avoid any embarrassing problems; plus, the buyer will have a home inspector double check your HVAC, so it’s great to have the maintenance up to date.

We can’t emphasize curb appeal enough and, in the fall and winter, maintaining your yard makes a big difference. Remember to rake up dead leaves, clear away summer vines and dead flowers, and trim overgrown vegetation from pathways and windows. Cutting back the bushes and tree limbs will not only showcase the exterior of the house, but will let valuable sunlight into the home as well. Once the yard is tidied up add some seasonal color like autumn flowers or poinsettias for the winter. Potted plants and flowers along walkways and in the entryway of the home work great for drawing attention to any homes entrance.

Light is important during this time of year and some subtle tricks can help to highlight your homes interior and give it the bright open feel buyers want. To start, clean up all the windows. You may not notice the water spots, dust, and smudges, but potential buyers will. Clean windows help all the light flood in and add to the overall feeling of the home. Another way to bring in the light when the days get shorter and the sun gets lower in the sky is to open up the blinds, shutters, and shades on every window in the house. Lastly, when showing the house, turn on all of the lights, even on appliances and in the closets. You can even place spotlights behind furniture to brighten up darker rooms.

If selling a home during the holiday season is beginning to sound like too much work, then there is another way. You can sell to an all cash buyer! We are Gulf State Homebuyers and we buy homes any time of the year. Skip the hassle of putting your home on the market and spend more time with your family and friends this year. Simply contact us for a free, no-obligation appraisal of your home. If you like our offer we can close in as little as five days, giving you the freedom to enjoy the holiday season.

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