Palm Beach County Real Estate Market News 

By Lilianna

You’ll find our blog to be a wealth of information, covering everything from local market statistics and home values to community happenings. That’s because we care about the community and want to help you find your place in it. Please reach out if you have any questions at all. We’d love to talk with you!

Nov. 6, 2018

The 2018 summer season was unusually slow

Palm Beach County in Florida is always considered one of the best places in America to move to or have a second home. 

With endless beautiful beaches, lakes and waterways connecting to Atlantic Ocean, Palm Beach County is make the best place to live. You can find any types of properties, from rural equestrian ranches, to suburban gated communities as well as waterfront and coastal condominiums and luxury homes. Palm Beach County has something for everyone who likes sunny weather, and close access to water. 

Palm Beach County has been growing in population for last decade very aggressively. The growth is supported by new development that attracts families, investors, seniors and international buyers.  With the large number of buyers, the property values have been on the rise. 

The 2018 summer season was unusually slow for Palm Beach County real estate sales and new listings. 

Now, entering to full season 2018, we are seeing as real estate transactions and new listings are ramping back up.  

The total number of listings available is lower now, than this time 1 year ago and the absorption rate is low, below 5 months.

The sold to list ratio holding steady near 93%.

However, like most years we can expect to see the sales volume rise into the winter months and will likely to continue this year into the spring. Once sales pick up momentum, owners who have been putting off the listing of their property, will begin to find more confidence that this is a great time to sell.

Bottom line: 2018 has been a good year for property owners, as sold and listing prices are up in Palm Beach County.

Oct. 10, 2018

Who Pays the Real Estate Taxes?

When you buy a home, who should pay the real estate taxes the first year? Common sense tells us that the seller should pay the taxes from the beginning of the tax year until the date of closing and buyer should pay the real estate taxes due after closing. This way, they only pay the real estate taxes when they actually owned the property.

Real Estate TaxIf the seller has already paid the taxes for the entire year, the buyer should be required to reimburse the seller for his prorated share. 

This is, in fact, how real estate tax payments are usually arranged when you buy or sell a home. The home sale contract should clearly set forth these requirements--requiring each party to pay his or her pro rata share of the tax.

Than who takes Real Estate Tax Deductions?

When the buyer files his taxes for the year, he will be able to deduct the real estate taxes he paid as his deduction. However, the IRS automatically treats the seller as having paid the property taxes up to the date of sale, and the buyer having paid the taxes due after the date of sale. For more detail information visit https://www.pbctax.com/services/property-tax/property-tax-help

Posted in Buying Home Advise
Sept. 27, 2018

What You Should Know About Browsing for Homes Online

Article was adjusted but written by: HouseLogic and approved by National Realtor Association

It’s fun! It’s exciting! It’s important to take everything with a grain of salt!

Oh, let’s just admit it, shall we? Browsing for homes online is a window shopper’s Shangri-La. The elegantly decorated rooms, the sculpted gardens, the colorful front doors that just pop with those “come hither” hues.

Browser beware, though: Those listings may be seductive, but they might not be giving you the complete picture.

That perfect split-level ranch? Might be too close to a loud, traffic-choked street. That handsome colonial with the light-filled photos? Might be hiding some super icky plumbing problems. That attractively priced condo? Miiiight not actually be for sale. Imagine your despair when, after driving across town to see your dream home, you realize it was sold. 

So let’s practice some self-care, shall we, and set our expectations appropriately. 

Step one, write down what you really want vs. need. It helps you understand what you’re looking for. 

Step two, start browsing for homes. As you do, keep in mind exactly what that tool can, and can’t, do. Here’s how.

You Keep Current. Your Property Site Should, Too

First things first: You wouldn’t read last month’s Vanity Fair for the latest cafe society gossip, right? So you shouldn’t browse property sites that show old listings.

Get the latest listings from HomesellersRealty.com, which pulls its information every 15 minutes from the Multiple Listing Service (MLS),regional databases where real estate agents post listings for sale. That means that those listings are more accurate than some others, like Zillow and Trulia, which may update less often. You wouldn’t want to get your heart a flutter for a house that’s already off the market.

The Best Properties Aren’t Always the Best Looking

A picture, they say, is worth a thousand words. But what they don’t say is a picture can also hide a thousand cracked floorboards, busted boilers, and leaky pipes. So while it’s natural to focus on photos while browsing, make sure to also consider the property description and other key features.

Each HomesellersRealty.com listing, for example, has a “property details” section that may specify important information such as the year the home was built, price per square foot, and how many days the property has been on the market.

Ultimately though, ask your real estate agent to help you interpret what you find. The best agents have hyper-local knowledge of the market and may even know details and histories of some properties. If a listing seems too good to be true, your agent will likely know why.

Treat Your Agent Like Your Bestie

At the end of the day, property sites are like CliffsNotes for a neighborhood: They show you active listings, sold properties, home prices, and sales histories. All that data will give you a working knowledge, but it won’t be exhaustive.

To assess all of this information — and gather facts about any home you’re eyeing, like how far the local elementary school is from the house or where the closest Soul Cycle is — talk to your real estate agent. An agent who can paint a picture of the neighborhood is an asset.

An agent who can go beyond that and deliver the dish on specific properties is a true friend indeed, more likely to guide you away from homes with hidden problems, and more likely to save you the time of visiting a random listing (when you could otherwise be in the park playing with your canine bestie).

Want to go deeper? Consider these sites and sources:

School ratings: Data from GreatSchools.org and the National Center for Education Statistics, and the school district’s website

Crime rates and statistics: CrimeReports.com, NeighborhoodScout.com,  and the local police station

Just remember: You’re probably not going to find that “perfect home” while browsing listings on your smartphone. Instead, consider the online shopping experience to be an amuse bouche to the home-buying entree — a good way for you to get a taste of the different types of homes that are available and a general idea of what else is out there. 

Once you’ve spent that time online, you’ll be ready to share what you've learned with Homesellers Realty agent.

Posted in Buying Home Advise
Sept. 11, 2018

Housing market shifting to buyer's market

Housing tipping back to a buyer's market as sellers cut prices

Housing market shifting to buyer's market  

After several years of home price gains, the market appears to limit to what people can afford. Sellers are finally responding by lowering prices.

Approximately 14% of all listings in June had a price cut, according to a new Zillow report. In addition, home price growth is slowing in nearly half of the 35 largest U.S. metropolitan markets.

Rising mortgage rates and affordability are behind the drastic change. As the housing market recovered from its epic crash in the last decade, home prices began to gain slowly. 

The simple reason was supply and demand. As millennials aged into their homebuying years, homebuilders did not met the rising demands. Millions of single-family homes lost to foreclosure were purchased by investors and turned into single-family rentals making the shortage in houses for sale inventory.Prices went up until NOW.

"The housing market has tilted sharply in favor of sellers over the past two years, but there are very early preliminary signs that the winds may be starting to shift ever-so-slightly," said Zillow senior economist Aaron Terrazas. "A rising share of on-market listings are seeing price cuts, though these price cuts are concentrated at the most expensive price-points and primarily in markets that have seen outsize price gains in recent years."

We can say that housing market shifting to buy's market

However, all real estate is local and certain markets are tipping faster than others. In San Diego, 20% of all listings had a price cut in June, in Seattle, which continues to be the hottest market in the nation, 12% of all listings had a cut, in Palm Beach County 10%, the largest share in nearly four years.

Bottom Line:Buyers are getting negotiating power back. 

Posted in Market Updates
Sept. 7, 2018

July Home Sales Slide

National Association of Realtors reported - Existing Home Sales came in at their slowest pace in more than two years in July, decreasing 0.7% from June to a seasonally adjusted annual rate of 5.34 million. Sales were also 1.5 percent lower than July 2017 and they have dropped on an annual basis for five straight months. Losses were seen in the Northeast, Midwest and South, with gains in the West. Unsold inventory is still low at a 4.3-month vs. normal is considering 6 months.

The Association also reported, that in July New Home Sales were 1.7 percent below June's revised total of 638,000, coming in at an annual rate of 627,000. While sales were down month over month, they were up 12.8 percent from July of last year. July sales plunged in the Northeast and fell slightly in the South, while the Midwest and West saw solid gains. There was a 5.9-month supply of new homes available on the market, closer to the 6-month level considered normal. 

Home construction rebounded a bit in July after the steep decreases seen in June. Housing Starts, which measure when excavation begins on a home, grew to a seasonally adjusted annual rate of 1.168 million units. This was a 0.9 percent increase from June's downwardly revised estimate of 1.158 million. Single-family starts, which make up the bulk of the residential housing market, were up 0.9 percent from June. However, on an annual basis, Housing Starts were down 1.4 percent from July 2017, likely due to higher construction costs for materials and land and labor shortages this year. 

There was a positive sign for homebuyers who have been impacted by limited inventory. Building Permits, a sign of future construction, increased 1.5 percent from June and are up 4.2 percent from a year ago. 

Retail Sales figures for July signaled that the U.S. economy is doing well. Sales were up 0.5 percent from June, well above the 0.1 percent expected. However, June Retail Sales were revised lower to 0.2 percent from 0.5 percent, which took some of the shine from July's figures. On an annual basis, Retail Sales were up 6.4 percent from July of last year. 

At this time, home loan rates remain still near historically low levels. 

If you looking to buy or sell contact Homesellers Realty Inc. now. 561 512 0459 This informations are based on National Assocition of Realtors report.

Posted in Market Updates
Aug. 16, 2018

Housing affordability

Housing affordability falls to 10-year low in Palm Beach County, nation

According to the national trend of rebounding home prices and rising mortgage rates, Palm Beach County saw housing affordability fall to a 10-year low in the second quarter of 2018.

Just 54.9 percent of homes sold in Palm Beach County in the second quarter were affordable to a median-income family. That's the lowest affordability reading since 2008. (based on a median home price of $260,000 and a median income of $71,800).

This information is based on the National Association of Home Builders/Wells Fargo Housing Opportunity Index and most current article by Jeff Ostrowski, Palm Beach Post Staff Writer.

Henry Kaplan, sales manager at Century 21 Tenace Realty in Boynton Beach, said affordability has become an increasing issue for buyers in Palm Beach County and we have to have the right combination of income, credit and down payment. The housing market has been slowed in part because move-up buyers need to sell their homes before they can afford to buy another place and because people don't want to list until they know where they're going." Kaplan said.

The national median home price jumped from $252,000 in the first quarter of 2018 to $265,000 in the second quarter—the highest quarterly median price on record. At the same time, average mortgage rates rose from 4.34% to 4.67%.

 

Aug. 14, 2018

Mortgage rates have risen about half a percentage in 2018

What does that mean for you if you’re buying a home now or plan to buy one soon?

First, don’t panic.

When you’re buying a home, the mortgage rate matters. However, you shouldn’t focus on the rate and let that scare you and stop searching for the home.

The average rate on the 30-year fixed-rate mortgage rose to average 4.5% in February, which is about half percent from 2017. This increase doesn’t have a major impact on the monthly payment. On a 30-year loan for $200,000, the monthly payment would be about $59 more at a 4.5% interest rate than at a 4% interest rate.

What to do when rates rise

Lock your mortgage rate. If you close the home loan by the specified date, the rate can’t go up. You can use this tactic after the lender has approved you for a mortgage for a specific house.

Buy “points” to reduce the interest rate. If you have the cash, you can pay for discount points — in effect, prepaying some of the interest in exchange for a lower mortgage rate.

Revise your price range. A higher mortgage rate brings higher monthly payments. Rising rates might force you to adjust your home-price range downward.

The higher interest rates are the ‘new normal’. Talk to any housing economist about mortgage rates, and you’ll hear that rates have been abnormally low in the decade since the housing crash. I remember purchasing my first home for 9% interest rates. The rates we’re looking at today are still, pretty low.

People have gotten kind of lulled into these low rates, and a lot of people think this is normal, but this is not normal.

 

We are returning to normal, and it is going to be a painful process, but it is happening. 

Posted in Buying Home Advise
Aug. 8, 2018

Landscaping Tips That Can Help Your Home Sell

For many homes, landscaping can make or break a deal. 

Coordinate With Color

If your home has a yard, don’t be afraid of adding accents with pops of color. Many buyers prefer a nice green lawn; if you don’t have a sprinkler system, your local home improvement store will have easy-to-use and affordable sprinkler units you can hook up to a garden hose to help revive any dead grass. You can also add color with flower pots: plastic or terra cotta pots filled with annuals are an easy, cheap and quick way to bring some colors to driveway or front porch. 

Pressure Wash

Sometimes a landscape or outdoor area doesn’t need a complete renovation to look brand new. When it comes to decks, fences, driveways, and any other outdoor surface that can accumulate dirt and grime, an easy way to freshen things up is with a good pressure wash. Pressure washing is cleaning a surface with a powerful stream of high-pressure water.  The water is strong enough to get rid of months and even years’ worth of dirt and debris on wood, masonry, brick, and concrete.

Lead the Way With Light

While it’s highly unlikely you’ll have many people come and view your home at night, a great and easy way to add to your current landscape is with lights! Whether it’s adding a new outdoor lamp, or putting in walkway or path lights, buyers love to see little details put into homes. Pathway lights are often overlooked by homeowners, but a home with outdoor lighting will always speak volumes to potential buyers. 

Ditch the Dead Plants

A nice manicured yard always rates highly to the buyers. But if you have dead plants, it’s a good idea to ditch them. Take a couple of minutes each day to check out your yard - grass, flower beds, pots, etc. - and pull out anything that’s dying or dead.

Add More Fresh Mulch

Flower beds are a great focal point for any yard, especially when they’re a real show stopper. But if your beds look weathered or rough, they can be a definite turn off to potential buyers. An easy and affordable way is by adding new mulch or other ground covers like bark chips or gravel to help make the beds look fresh and new. A yard that has fresh mulch will always draw in a buyer’s eye. 

Summer is a popular time for real estate and an even more popular time for your yard. If your home can benefit from a little yard TLC, don’t hesitate. The tips above are easy, quick, and they’ll certainly help your home stand out from the competition. Your home will sell much faster.

Posted in Practical Advise
July 25, 2018

Keep your cool in HOT weather

Summer in Florida is the time to prepare for the high temperatures that kill hundreds of people every year. Extreme heat causes more than a thousand deaths each year. 

You must to stay cool, remain hydrated, and keep informed. The main things affecting your body’s ability to cool itself during extremely hot weather are:

High humidity in Florida.  When the humidity is high, sweat won’t evaporate as quickly as should, which keeps your body from releasing heat as fast as it may need to.

Personal factors. Age, (People age 65 and older are at high risk for heat-related illnesses and very young children) obesity, fever, dehydration, heart disease, mental illness, poor circulation, sunburn, and prescription drug and alcohol use can play a role in whether a person can cool off enough in very hot weather.

Stay in air-conditioned buildings as much as possible. Contact your local health department or locate an air-conditioned shelter in your area. Air-conditioning is the number one protective factor against heat-related illness and death.

Drink more water than usual and don’t wait until you’re thirsty to drink.

Check on a friend or neighbor and have someone do the same for you.

Don’t use the stove or oven to cook—it will make you and your house hotter.

Even young and healthy people can get sick from the heat if they participate in strenuous physical activities during hot weather:

Limit outdoor activity, especially midday when the sun is hottest.

Wear and reapply sunscreen as indicated on the package.

Start activities slow and pick up the pace gradually.

Wear loose, lightweight, light-colored clothing.

If you play a sport that practices during hot weather, protect yourself and look out for your teammates.

Schedule workouts and practices earlier or later in the day when the temperature is cooler.

Monitor a teammate’s condition, and have someone do the same for you.

Seek medical care immediately if you or a teammate has symptoms of heat-related illness.

Posted in Practical Advise
July 11, 2018

Proven ways to increase home value

Thinking of selling your house?

4 proven ways to increase home value based on my book "How to sell your home for more money?"

Some factors that determine what a house is worth are out of your control, like its location and the current conditions of that market. However, there are several tricks and repairs you can do to increase your increase home value.

Whether you want to build equity faster or get top dollar when you sell, use the tips below to raise the value of your home.

1. Make it attractive - 30 seconds first impression formula

Curb appeal — how your home appears from the street. A home’s exterior needs to make a prospective buyer want to walk through the front door. You need to make sure existing landscaping is well-maintained. If your yard seems dull in comparison with your neighbors, consider planting flowers, laying a mutch or painting the front door and driveway. Once the exterior looks good, focus on the kitchen and bathroom. They are the most important selling points and those rooms must be updated to keep a property reaching its highest value. A minor kitchen remodel recoups 81% of its cost in added value on average, versus 53% for an upscale kitchen remodel with stone countertops, custom cabinets, and commercial-grade appliances, according to Remodeling magazine’s “2018 Cost vs. Value Report.”The same is true for bathrooms; a midrange remodel — new flooring and a few updated fixtures — delivers a 70% return on investment, while an upscale bathroom remodels — heated flooring, custom cabinets, and designer fixtures — sees 56% on average.

2. Make it easy to maintenance

Since many home buyers worry about buying a home that will need constant maintenance and needs replacing a major component, you may consider replacing or repairing them before putting it up for sale. Make sure the A/C units, water heater and the roof will be in great condition. It will have a major influence on getting the higher price. Improvements that make things easy to clean and maintain may also increase home value. Consider replacing stained carpet with the tile of laminated floors

3. Make it looks bigger

Square footage has a huge impact on value. Price per square foot is one way helps people compare homes that are similar in style and upgrades. Bigger homes often command higher values, and even if an appraiser doesn’t officially acknowledge the full value of added space, a buyer will likely notice. Adding a room is the obvious way to make your house bigger, but you can also create additional living space by closing the screened patio area and building a deck.

4. Make it smarter

Safety-enhancing gadgets top the list of technologies younger buyers wants in their new homes. These safe and smart devices include thermostats, fire detectors, carbon monoxide detectors, security cameras, door locks and lighting. Unlike replacing the roof or renovating the bathroom, you can usually install cameras for less than $500, thermostats and locks for $250 or less.

Posted in Home Improvement