Home Seller Services

by The HousingCoach℠ - Matt McGrath | Oct 12, 2021

The HousingCoach at United Real Estate - Chicago

Home Seller Services

The HousingCoach℠ Approach to Home Seller Services is very systematic. There are lots of moving parts in a home sale and even more moving parts if there is a home purchase to be orchestrated as part of this transition. There are both practical and emotional components that need to be identified and planned for in order to have the most successful upgrade or downgrade transition.

All of our services start with a quick 15 – 30 minute coaching call which is a basic introductory consultation. On that call you take out your dream paint brush and start painting a picture of what the next phase or your American Dream looks like and I will ask you some specific questions about your plans, circumstances, and qualifications. If we both decide at the end of that call that we should move to the next stage, we will schedule your Comprehensive Home Seller Consultation.

As your HousingCoach℠ I will help you to develop and solid home sales game plan which will incorporate your current circumstances and your plans, goals, and dreams for the next 5, 10, or even 20 or more years into the future. In the Comprehensive Home Seller Consultation we will dive into Home Sale Profits, the Transactional Costs, and financial realities of the transition from your current house to your next home.

Once we decide to work together I will help you to:

Build out your Home Selling Game Plan;
Assemble your Home Selling (and if applicable, your Home Buying )Real Estate Team;
Customize and implement Your Comprehensive HousingCoach Marketing Plan;
Coordinate Home Showing Activity;
Procure Buyer Feedback;
Track and communicate all pertinent market activity to you during the sales process;
Make appropriate recommendations on any plan or pricing changes the market dictates;
Actively invite offers from all buyers through their agents;
Analyze all offers and buyer qualifications as they come in;
Develop, with you, a negotiation strategy for each and every offer;
Negotiate on your behalf to get the best possible deal;
Coordinate all of the transaction requirements and activities until the deal is closed.

If we work together I can promise you that we will have some laughs along the way without losing sight of the fact that Home Selling is serious business. It should be done only after the research is done, all aspects of your sale have been planned out, you have a well crafted strategy to transition to your destination, and have assembled an experienced team of real estate professionals to help you on both ends.

Schedule your Quick Coaching Call now and let’s discuss how to make your American Dream a reality.

Don’t Wait for a Lower Mortgage Rate – It Could Cost You

by The HousingCoach℠ - Matt McGrath | Oct 12, 2021

Today’s housing market is truly one for the record books. Over the past year, we’ve seen the lowest mortgage rates in history. And while those rates seemed to bottom out in January of this year, the golden window of opportunity for buyers isn’t over just yet. If you’re one of the buyers who worry they’ve missed out, rest assured today’s mortgage rates are still worth taking advantage of.

Even today, our mortgage rates are below what they’ve been in recent decades. So, while you may not be able to lock in the rate your friend got recently, you’re still in a great position to secure a rate well below what your parents and even grandparents got in years past. The key will be acting sooner rather than later.

In late September, mortgage rates ticked above 3% for the first time in months. And according to experts throughout the industry, mortgage rates are projected to continue rising in the months ahead. Here’s where experts say rates are headed:While a projected half percentage point increase may not seem substantial, it does have an impact when you’re buying a home. When rates rise even slightly, it affects how much you’ll pay month-to-month on your home loan. The chart below shows how it works:In this example, if rates rise to 3.55%, you’ll pay an extra $100 each month on your monthly mortgage payment if you purchase a home around this time next year. That extra money can really add up over the life of a 15 or 30-year loan.

Clearly, today’s mortgage rates are worth taking advantage of before they climb further. The rates we’re seeing right now give you a unique opportunity to afford more home for your money while keeping your monthly payment down.

Bottom Line

Waiting for a lower mortgage rate could cost you. Experts project rates will continue to rise in the months ahead. Let’s connect so you can seize this opportunity before they increase further.

Experts Agree: Homeownership Provides a Path to Long-Term Wealth

by The HousingCoach℠ - Matt McGrath | Oct 11, 2021

A recent survey from LendingTree.com found there are multiple reasons why Americans would choose to purchase a home instead of renting. Some of the most popular non-financial reasons given include:

The flexibility to make the space your own
The pride homeownership offers
The sense of stability

In the same survey, 41% of respondents say they’d rather own a home than rent because of the unique way homeownership builds wealth over time.

And experts agree – the home you own is an important tool for building your net worth. Here’s what many of those experts have to say about building long-term financial stability through homeownership.

According to the National Association of Realtors (NAR):

“Homeowners who purchased a typical single-family existing-home 30 years ago at the median sales price of $103,333 with a 10% down payment loan and who sold the property at the median sales price of $357,700 in 2021 Q2 accumulated housing wealth of $349,258, . . .”

Mark Fleming, Chief Economist at First American, points out that a home is truly a one-of-a-kind asset. It’s the only asset that’s both an investment and a place for you to call your own.

“The major financial advantage of homeownership is the accumulation of equity in the form of house price appreciation. . . . We won’t always have 17% house price appreciation, but we have to take into account the fact that the shelter that you’re owning is an equity-generating or wealth-generating asset.”

Homeowners can leverage the wealth they generate in several ways throughout their life. Tapping into accumulated equity has long been used to pay for the cost of an education, to start a business, or to fund various other expenses. The Joint Center of Housing Studies at Harvard points out:

“. . . by paying down mortgage principal each month and participating in the long-term appreciation of home values, a family can build wealth that can be used for retirement or other needs, including helping the next generation.”

Bottom Line

With home prices expected to continue to appreciate in coming years, homebuyers have an opportunity to start the long-term wealth-building process right now. Let’s connect today if you’re ready to begin your journey on the path to becoming a homeowner.

What’s Causing Today’s Competitive Real Estate Market? [INFOGRAPHIC]

by The HousingCoach℠ - Matt McGrath | Oct 8, 2021

Some Highlights

Today’s strong sellers’ market is the direct result of high demand and low supply.
Low mortgage rates and generational trends have created an increased demand for homes. Meanwhile, the slower pace of new home construction and homeowners staying in their homes longer have both led to today’s low supply.
If you’re thinking of selling, let’s connect to talk about our local area and how you can take advantage of today’s housing market.

111,285 Reasons You Should Buy a Home This Year

by The HousingCoach℠ - Matt McGrath | Oct 7, 2021

The financial benefits of buying a home versus renting one are always up for debate. However, one element of the equation is often ignored – the ability to build wealth as a homeowner.

According to the latest research from the National Association of Realtors (NAR):

“Homeownership is a key pathway to building wealth and narrowing the racial income and wealth inequality gap. Housing wealth (equity) accumulation takes time and is built up by price appreciation and paying off the mortgage.”

An increase in equity builds the wealth of the individual that owns it. This wealth can be passed down to future generations. The Federal Reserve in an addendum to their Survey of Consumer Finances explains:

“There are numerous ways families can transmit wealth and resources across generations. Families can directly transfer their wealth to the next generation in the form of a bequest. They can also provide the next generation with inter vivos transfers (gifts), for example, providing down payment support to enable a home purchase or a substantial wedding gift.”

The Federal Reserve also explains another way wealth (including the additional net worth generated by an increase in home equity) can benefit future generations:

“In addition to direct transfers or gifts, families can make investments in their children that indirectly increase their wealth. For example, families can invest in their children’s educational success by paying for college or private schools, which can in turn increase their children’s ability to accumulate wealth.”

Here’s a look at how equity can build your wealth over time when you own a home.

Equity over the Last 30 Years

The NAR research reveals that the average gain for homeowners over the last five years was $139,134 and over the last 10 years was $218,505. Looking even further back in time, the article says:

“Homeowners who purchased a typical single-family existing-home 30 years ago at the median sales price of $103,333 with a 10% down payment loan and who sold the property at the median sales price of $357,700 in 2021 Q2 accumulated housing wealth of $349,258.”

Homeownership builds household wealth which also enables households to more easily move to the home of their dreams. As Mark Fleming, the Chief Economist at First American, explains:

“As homeowners gain equity in their homes, they are more likely to consider using that equity to purchase a larger or more attractive home – the wealth effect of rising equity.”

If you missed out on the equity gains over the last 30 years, don’t fret. Experts are still calling for substantial growth in equity over the next five years.

Looking Forward at the Equity To Come

The most recent Home Price Expectation Survey, a survey of over one hundred economists, real estate experts, and investment and market strategists, expects home values (and therefore equity) to increase as follows:

2021: 11.74%
2022: 5.82%
2023: 3.94%
2024: 3.56%
2025: 3.55%

The survey estimates a 31.8% cumulative appreciation over the next five years. Using their annual projections, the graph below shows the equity build-up a purchaser could earn, using a $350,000 home as an example:That’s a potential increase in household wealth of $111,285 over five years.

Bottom Line

Owning a home is one of the best ways to grow your wealth over time. House wealth can impact generations. In many cases, the largest single investment a household has is their home. As that investment appreciates in value, the financial options also increase.