What’s Your Home’s Value in Summer 2018?

This summer might be the last opportunity for you to take advantage of rising
home prices and high demand. Here’s why.

Summer is here, which means the high season for real estate. If you've been
thinking of selling your home, you might be in for a golden moment.

However, it might not last long. Let me explain why, with a few details of the
current real estate market.

Right now, homes are selling in record time. This May, it took just 34 days
on average for a home to go under contract, which broke last year's record of
36 days.

Home prices also continue to rise. In fact, they've been rising for six straight
years. For the past two years, this growth has been accelerating. As a
consequence, 27.6% of the homes sold in May sold above their list price.

All of this is due to a woefully short supply of homes on the market. In fact,
the total supply of homes is 5.4% lower this year than it was at the same time
last year.

However, the real estate market might be on the cusp of change.
Mortgage rates have been rising, and now stand near their highest
levels in seven years. As a result, pending home sales were down as of April.
A recent Redfin survey also found a drop in customers touring homes for
the first time in 27 months.

What's going on? The home price surge might be nearing its end. Overall,
home affordability is dropping: Over the past 6 years, there has been a
48% increase in average home prices, while wages increased only 14%.

While some sellers are still managing to sell at higher prices than listed, nearly
a quarter of sellers actually had to lower their prices this April.

If you do decide to sell right now, you would have an easy time of it,
and you could get top dollar for your home. That's because demand and prices
are both still high.

If you decide to wait, things might go south quickly. That’s because the market
may be reaching the limits of price growth and may be stalled by higher
mortgage rates.

If you want to take advantage of current conditions by buying or selling a
home any time in the near future, don’t hesitate to reach out and give me a call
or send me an email today. I look forward to hearing from you soon.

5 Remodeling Projects With the Best Return

Home remodeling is as hot as it's ever been. Here are five projects that bring the best return on investment.

Home remodeling is hotter than ever.

According to researchers at Harvard University, remodeling investment is up 6% over last year and now makes up a $324 billion market. 

According to a survey of remodelers and real estate professionals, there are five remodeling projects that offer the best returns:

1. Your kitchen. Kitchen remodeling can be as simple or as elaborate as you like. However, to maximize your return, keep your investment to under 20% of the value of your home—as is recommended by surveyed real estate professionals. The outcome? A whopping 85% return on your investment.

2. Your bathroom. A thorough bath remodeling project can cost up to $20,000. However, not only will it pay for itself, it should give you an added 80% return.

3. Your deck. Replacing your deck can cost you anywhere from a few thousand dollars to tens of thousands of dollars, depending on the size. The expected benefit will be similar to a bathroom remodeling project—around an 80% return for a fresh, new deck.

4. Your siding. Fading or worn-out siding can turn off potential buyers before they even step foot in your home. Replacing old siding will make it much easier to sell your home, and in addition, it should give you an 80% return on an investment of around $10,000.

5. Your windows. New windows can mean greater energy efficiency, increased thermal and acoustic comfort, and a more modern look. Homebuyers are well aware of this, and they are willing to pay accordingly. That's why a typical window replacement should yield at least a 70% return on your investment. 

Some will make more sense for your home than others.

Clearly, some of them will make more sense for your home than others. If you're considering selling your home, then just one of these projects could add tens of thousands of dollars to the price you'll be able to get.

If you have any questions or want additional advice about which remodeling projects make sense for you, give me a call or send me an email. We can discuss all the details and I can give you an accurate estimate of what these projects could be worth. I look forward to hearing from you!

How Does Diamond Residential Mortgage Work?

 If you'd like my free e-book of the Top 10 Credit Do's and Don'ts, you can contact me!

Usually, I take technical aspects of the mortgage world and try to break them down into more understandable terms. Today, I want to do something a bit different. I want to introduce you to the team that helps ensure your loan goes through without a hitch! 

Lisa is a credit analyst and is usually the first point of contact when beginning the lending process. 

Jacque is our file opener, or as we like to call her, the mortgage detective. She'll be collecting all your financial documentation.

Amy is our senior processor and is responsible for packaging your loan as nicely as possible for underwriting and making sure all conditions are met so you can meet your required moving date!

I'm so glad you've had the opportunity to meet my team. We can't wait for you to come to the office and work with us personally!

Detect a zombie foreclosure before it ruins your buying power

 If you'd like my free e-book of the Top 10 Credit Do's and Don'ts, you can contact me!

What is a Zombie Foreclosure?
Many of my clients in Libertyville have been asking me about a strange phenomenon called Zombie Foreclosures. A Zombie Foreclosure is a situation that occurs when you have left your home and it has been foreclosed, but you are still on the title to the property. This is essentially a property that is in your name because the bank did not come back and repurchase the property in a sherriff's sale.

It's extremely important to figure out if you are still on the title to the property because it can prevent you from purchasing a new home. FHA rules state that you cannot make a new purchase until you are off of title for 36 months.

Zombie Foreclosures are difficult to detect and most loan officers will not take the time to do a thorough check for them. However, there is one way to find out, and that is by contacting the Recorder of Deeds Office and purchasing a copy of the deed for your home. You can also call your local title company here in Libertyville and have them search for your name (this costs around $75).

It's extremely important before going through the mortgage process to figure out if you have a Zombie Foreclosure because it could affect your buying power for years to come. If you need any assistance in this process or if you would like to learn more about Zombie Foreclosures, please feel free to contact me via phone or email.