NOT the Same Old COVID-19 Newsletter
This is NOT the same old COVID-19 newsletter you have likely received from numerous vendors. Communication with our clients and sphere is a hallmark of our business. And, we feel it is especially important during times of uncertainty and public concern.
To that end, we want to give you some updates on our national public emergency as it relates to real estate and our community.
- How has this crisis affected the value of real estate in our area? As you know, we have been in an extremely aggressive seller’s market for some time. At the same time, we have stated that we are at the top of the bell curve and expect a shift sometime toward the end of 2020 or into early 2021. We have experienced an almost 10% appreciation in the last two years alone. We remain in a seller’s market with low inventory. Some buyers are re-evaluating with the stock market plunge and others are taking advantage of the near low record interest rates. Bottom line – this is still a great time to sell your house. Our market has become more year-round with quite a few sales over the summer months.
- How will this affect future appreciation? Assuredly, this is a question none of us can answer. However, if your home appreciates ½% this year rather than the 6% in 2019, that’s still growth. Real estate cycles, and we are past due for a correction.
- What else can we expect concerning real estate when buying or selling? Policies are changing, often multiple times daily. It is possible to expect delays with appraisers, inspections and even title companies. We are not experiencing any of this right now, but as we progress into the situation, it is possible. We monitor this daily and will always keep our clients informed along the way.
- New home construction issues – some new home builders are closing their offices and working by appointment only. So, if you or someone you know is considering a new build, our team can help you. The builder is the seller and does not represent you as a buyer. We can make the appointment, accompany you on the visit and represent you on the buyer side. The builder pays the fee – you do not.
- What else should we know about this market? We are in unprecedented times and we call this the “skill-based market” meaning that you need an agent with skill during these times. You can count on our team having the highest level of skill and care to take care of all of your real estate needs.
- Canadians clients and friends: Many of our Canadian clients and friends have left the community to return to their country ahead of any possible border crossing cancellations. We are sorry to see them go so early, but understand this is the best decision at this time.
- What are we as a brokerage and team doing during this crisis? Our brokerage and team are adhering to the recommendations and policies that are in place. We are no longer holding sales and educational meetings in the office. We are handling all of our business and education digitally with online videos and zoom meetings. Our concern is our client’s safety and health and we are focusing on ways that we can help facilitate a real estate process with minimal interaction. For example, our title companies will send a notary to your home so that you do not have to go into their office. We are here for the long haul and stand ready to answer any questions you have.
- Real estate predictions: Analysts are not predicting another 2008 where home values were in a freefall. This is expected to be a much shorter crisis and we should come out on the other end just fine.
- Investment considerations: It is also a good time to consider real estate as an investment. With the volatility in the stock market, it is a good time to watch for properties that would be good income- producing rentals.
Lastly, the health of our friends, clients, and the community are top of mind. In our quest to keep the public safe, we are postponing our open houses.
We are here, still working and showing homes in small groups, writing contracts, and otherwise conducting business as usual – We are here to assist with anything you need.
During this frenzied time, many are fearful and understandably so. When we aren’t in control and we see unprecedented events happening before our eyes, it is a scary time. So, my goal is to give you some information as it relates to real estate that might help calm your jitters.
We’ve experienced about a 10% appreciation in home values in the past two years. We have been poised for a shift in the market. This virus scare just sped it up a bit. Unlike 2008, we are not seeing home values plummet. Home values are still up, and inventory remains low.
A key difference between 2008 and today’s recession is that in 2008 builders continued to build despite lack of demand.
Many sub-prime lenders were giving loans to anyone (or no one). Those things are not happening today. So, if we only realize .05% in 2020, we are still doing fine. We are still selling homes and have buyers that are still interested in buying a home. In fact, our team has 26 real estate transactions closing in March.
With the volatility of the stock market, this may be a good time to buy an investment property and put rental income to work for you. We get calls regularly from people seeking a winter rental. Many rentals are going for $3500 to $4000 monthly.
We are following the guidelines that our Brokerage follows that are recommended by the CDC. Our office will close March 20th until further notice. We will all work from home to avoid being an office with a large group of people. With today’s technology, we are able to work remotely and have online meetings for education and communication. Our Broker recently reported that in some professional publications he has read, this recession is likely to be much shorter than the last and when we come out of it the market will be strong. People will be ready to get out and get back to living life and their pent-up desire for real estate will be strong as well.
It is a crazy time to be sure, but we are open for business, taking precautions and here to answer questions or assist with anything you may need. If you know of anyone in the community that needs help, please let us know. Our team is available to provide a meal, run an errand or help anyone that should avoid being out. Please reach out to me if you know someone in need.
In the meantime, let’s use this time to refocus on what is truly important – our faith, our family and friends, and our sense of community as we live in such a great place. Together we will all get through this.
Keller Williams Conference in Texas
Spring is in the air! We’re finally seeing warmer temperatures following a cool winter. Rainy days sure do interfere with our outdoor lifestyle, but wait until you see the wildflowers along the freeways and in the backcountry! It’s great to see so many out walking, biking, golfing, playing tennis and pickleball and just enjoying this great lifestyle we live in Sun Lakes.
What cities remain a sellers’ market and which are trending to a buyers’ market? At a recent Keller Williams Conference in Texas, Gary Keller confirmed what many of us have experienced and that is Phoenix is and is trending to remain a sellers’ market.
The slide below will show which markets are trending to buyers and as you will see there aren’t many. Speaking of the Conference, Texas put on a great show welcoming 16,000 KW agents.
This is great news if you are considering selling your home. Many ask if March is too late to list for this season. The answer is a resounding NO! March is one of our biggest listing months, but we also listed and sold over 30 homes last summer. Strike while the iron is hot!
It’s hard to believe many of our snowbird friends will be departing in April. Many will remain through May, and we look forward to seeing you out and about in the communities. We work all summer, so please let us know if there is anything any of us can do for you!
Watch Home Pricing Tips from the Pros
Arizona Fire and Medical Authority Lock Box Program Steps
The Arizona Fire and Medical Authority lock box program consists of four steps.
First of all, the purpose of the lockbox is to enable the Arizona Fire and Medical Authority to enter your home in an emergency. For instance, if you are unable to come to the door. This is especially important in active adult communities like Sun Lakes, AZ.
Senior Seminar Success
We welcomed about 30 Sun Lakes residents to our March seminar where we heard Patrick MacQueen speak about issues related to selling a home.
Patrick is a real estate attorney and discussed everything from the ins and outs of leasing a home, to how to properly complete a seller property disclosure statement in a way to minimize potential legal action from failure to disclose items. He also held a Q & A session, allowing attendees to ask questions on home selling.
Have an idea for a future seminar? Let us know! Send topic requests to firstname.lastname@example.org
We held two shred-a-thons in January – one in Oakwood for IronOaks, and another in Cottonwood for both Cottonwood and Palo Verde. Many have called and didn’t realize the event has come and gone. Stay-tuned, we will hold two more in 2021 and we will post more information about them on our website in the fall.
To see the Event Schedule, just press the button below:
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See What Our Clients Are Saying!
“The Kolb Team are hands down the best in the business!”
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Real Estate Update
Wondering about your Neighbor’s Home Sales Price? Find out here to see what sold last month. The report is broken down by HOA, address, and floor plan (if the agent listed the model in MLS).
2020 1st Quarter Sun Lakes Real Estate Market, in our April newsletter, we will have a report with a breakdown by community.
As always, if you or someone you know is considering buying or selling a home,
we are here year-round and would love to help! Visit us online at
TheKolbTeam.com or call 480-809-5759.