Sunrise Homes & Renovations, Inc.

What’s Ahead For Mortgage Rates This Week – July 23rd, 2018

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What's Ahead For Mortgage Rates This Week 7-23-18Last week’s scheduled economic releases included readings from the National Association of Home Builders and Commerce Department readings on housing starts and building permits issued. Weekly readings on mortgage rates and new jobless claims were also released

NAHB Housing Market Index Unchanged in July

The National Association of Home Builders Housing Market Index held steady in July despite concerns connected with tariffs on building materials. Analysts said that high demand for homes continued to fuel builder confidence in housing market conditions, but some analysts said that housing market conditions may be at or near peak.

Builder confidence in current market conditions was unchanged with a reading of 74; confidence in housing market conditions within the next six months rose two points to 75. Builder confidence in buyer traffic in new single- family developments also rose two points to 52. Any reading over 50 indicates that more builders are confident about housing market conditions than not.

Commerce Department: Housing Starts, Building Permits Fall

June housing starts fell according to the Commerce Department with 1.173 million starts on a seasonally-adjusted annual basis. Housing starts were 12.30 percent lower than downwardly-revised readings for May. Building permits issued also fell in June. 1.273 million permits were issued on a year-over-year basis as compared to May’s reading of 1.301 million permits issued year-over-year. Builders faced difficulty in producing homes at attractive pricing due to increased costs of building materials.

Builder confidence in buyer traffic in new single-family developments rose two points to an index reading of 52 in June. Summer months typically see more home buyer traffic due to school vacations providing a transitional period for families seeking new homes.

Mortgage Rates Mixed, Weekly Jobless Claims Fall

Freddie Mac reported mixed and minimal movement in mortgage rates last week. Mortgage rates for 30-year fixed rate mortgages were one basis point lower at 4.52 percent; rates for a15-year fixed rate mortgages averaged 4.00 percent which was two basis points lower. Rates for 5/1 adjustable rate mortgages averaged one basis point higher at 3.87 percent.  Discount points averaged 0.40 percent for fixed-rate mortgages and 0.30 percent for 5/1 adjustable rate mortgages.

First-time jobless claims fell to 207,000 claims filed, which was lower than the expected reading of 224,000 new claims filed and the prior week’s reading of 215,000 new claims filed.

What’s Ahead

This week’s economic releases include readings on sales of new and pre-owned homes, housing vacancies and consumer sentiment. Weekly readings on mortgage rates and new jobless claims will also be released.

 

Easy Ways To Slash Your Home Utility Bills

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Easy Ways To Slash Your Home Utility BillsMany homeowners don’t take advantage of simple measures to reduce energy bills. A survey by SaveOnEnergy found that nearly 50 percent of homeowners have not switched their regular light bulbs to energy saving bulbs. This simple measure can save more than $180 a year on electric bills.

As in the case with switching to energy saving bulbs, cutting your electric and other energy bills doesn’t have to require a lot of time, energy or money on your part. In fact, most of the following recommendations are easy to implement and costs just a few dollars. These free and easy lifestyle changes can add up and help you save a significant amount of money over the long run.

Close Off Cracks In Windows And Doors

You can save as much as $200 a year by closing off cracks around windows and doors. A lousy seal around your window or door will allow energy to drain out, which will also empty your wallet.

Visually inspect doors and windows for air leaks. If you see light entering around a window or door, then it means that you have a leak. You can seal these leaks by weatherstripping or caulking them. Also, inspect your storm doors and windows to make sure that they are in good shape. 

Install A Smart Thermostat

A good thermostat can help you save money on both cooling and heating costs. A smart thermostat saves you more than just money though. It also allows you to regulate the comfort of your home. Some smart thermostats will enable you to keep different rooms in your home at different temperatures.

You can also set up most programmable thermostats to stay at various temperatures during different times of the day. You can control most smart thermostats with your smartphone. The best part is that you don’t have to be handy to install a thermostat. Most people can install a smart thermostat in less than an hour.

Set Your Washer Temperature on Cold

If you are washing clothes in hot water, you’re wasting money. Newer laundry detergents no longer need hot water to get the job done. In spite of this, many people are still unnecessarily washing clothes in hot water. According to Consumer Reports, some laundry detergent work worse in hot water. You can cut your energy usage per load in half by using warm or cold water to do your laundry.

If saving energy and money is important to you and you’re in the market for a new home, be sure to pass this information on to your trusted real estate professional so they can help steer you toward energy efficient properties.

Top Real Estate Predictions You Should Know About

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Top Real Estate Predictions You Should Know AboutWhether you are a homeowner looking to get the maximum return on investment, a buyer interested in fair market value or an industry insider grappling with the moving parts of the real estate industry, these are some trends and predictions you should know about.

Lower Home Supply Causing Significant Value Growth

Indicators point to a U.S. economy that has settled into a nice growth period. Unemployment rates have touched some record lows, wages appear to be on the rise and Millennials are entering high earning and home-buying years. Couple these factors with the fact that last year’s tax reform laws will likely put more money back in everyday Americans’ pockets and homes could be a hot commodity, so to speak.

Home supply — on the other hand — does not appear ready to meet the rising demand of buyers. Experts are predicting that rising demand will collide with the housing shortfall and prices will ramp up in 2019.

Home Values Could Rise Another 5 Percent By Year’s End

Some real estate insiders are pointing to National Association of REALTORS information that the number of available homes for sale has dropped for 35 consecutive months. The volume of sales is down because there simply are not enough homes being put on the market. Coupled with the uptick in the economy, sellers are in the driver’s seat right now and they are demanding top dollar for their homes.

That being said, it may be in the best interest of first-time homebuyers to get into the market sooner rather than later. The improved wages from the surging economy may not be able to keep pace with a potential 5-percent increase in property values by the end of 2019. It looks like a buy now or pay later real estate market.

It’s Not A Housing Bubble And Won’t Burst

The housing market has been on a tear over the last three years. Property values have appreciated fairly consistently for 35 straight months. Such data mirrors that of the housing market right before the crash. One of the driving force behind property values climbing back then was sub-prime mortgage lending. The practice was a ticking time bomb and the end was inevitable.

While some experts are calling for another housing bubble to burst due to an unforeseen flaw in the system, tough legislation and oversight are in place. It’s only human nature to be cautious when conditions appear similar to those leading up to a bad outcome.

This time around, rising home prices appear to be based on solid economic factors. Either contractors are going to start massive home-construction builds all over the country or the shortage will continue to drive prices up. While experts say we are not in a so-called housing bubble, the market may level off down the road to get in tune with consumer affordability.

Whether you are looking to buy or sell, make sure to contact your trusted real estate professional to help you through the process.

4 Important Reasons To Install A Home Generator

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4 Important Reasons To Install A Home GeneratorHome improvements are key investments when it comes to quality of life and property value. While decks, solar panels and smart technologies are trendy options, installing a home generator may be even more valuable. That’s because backup generators not only improve market value, they also protect you and your home during severe weather incidents.

Consider these four reasons why a home generator makes good sense.

Protect Against Severe Weather

The impact of severe weather can reach catastrophic proportions. Thousands of people are left without electricity for days — even weeks — after storms. Heat waves also put an inordinate strain on the power grid when all of those air conditioners and HVAC go into 24-hour overdrive.

The consequences of extended power losses are generally fouled foods in the refrigerator and freezer, unbearable temperatures and an inability to take corrective measures to the physical property itself. When the grid goes down, you may be left powerless as the losses mount.   

Keeps Critical Systems Operational

When the power goes down for an extended period of time, important electronics become inoperable. If you work from home or rely on electronic devices to earn a living, either you’re putting in for vacation time or losing money. But beyond the financial implications, many people need power for vital medical equipment to function. It’s simply too risky to not have a backup plan if you or a loved one suffers from a health condition.

Backup Generators Improve Home Security

We have all seen the national news coverage about post-storm or brownout crime waves. Looting and burglary ran rampant when residents are evacuated. That’s because criminals know full well that your alarm system went down with the power.

Consider the accumulated wealth you have at home and irreplaceable personal items. Those could be lost if your home gets robbed during a power outage. Fortunately, installing a home generator will allow you to keep the lights on and thugs away. Just having your lights on at night demonstrates that you have electricity and that acts as a powerful deterrent. A backup generator provides peace of mind against theft.

Backup Generators Improve Property Values

It only makes sense that a home generator will increase your property value. After all, home generator installations are direct financial investments.

According to Consumer Reports, installing a home generator can improve your home’s value by as much as 3-5 percent. Similarly, Remodeling Magazine indicated that the return on investment for a home generator installing can range as high as 150 percent. Of course, those figures may be weighed against the money you saved by being powered up when the grid was down as well.

The point of this discussion is that while new kitchens and smart homes are exciting ways to amp up your home’s values, improvements such as backup generators have a quiet value worth considering.

Your trusted real estate agent is available to suggest other home improvement tips that can help to improve the value of your property when you are getting ready to put it on the market.

Four Of The Best Vintage Design Trends For Your Kitchen

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Four Of The Best Vintage Design Trends For Your KitchenSleek modern kitchens were all the rage a couple of years ago. But now, homeowners are re-creating the Happy Days right at home. Retro styles from the 50s and 60s are making a comeback in the kitchen. Just make sure you combine the old with the new. Using too many vintage touches can make your kitchen go from looking trendy to outdated.

Here are some of the most popular vintage trends for the kitchen. Discover some ways that you can incorporate them into your design scheme.

Funky Flooring

Hardwood is no longer the ideal kitchen flooring material. Funky pattern tiles and vintage black-and-white linoleum are currently making a comeback in the kitchen. You can play with a variety of colors and textures to create a vintage look. Some good things to try include red and cream tiles, checkerboard black and white patterns and colorful speckled flooring. Think about something that you would be likely to see in your grandparents’ homes.

Pastels

Pastel decor dominated the 1950s. They give off a soft but dynamic feeling that reminds one of a retro American diner.

Some classic pastel combinations include:

  • Sea foam green with soft pink
  • Buttery yellow and soft pink
  • Lime green with cream white
  • Robin’s egg blue and mint

You can add touches of pastel to your accessories, walls or curtains. Dish towels and other fabrics are also great ways to incorporate these colors into your kitchen.

Retro Appliances

There is no need to give up your modern-day efficiency to have vintage appliances. You can have modern performance and timeless design. Many kitchen appliance manufacturers are getting in on the retro trend. Ranges, refrigerators and dishwashers are now available in a variety of period-inspired designs. Try a pastel colored-range or a refrigerator with a stamped-metal body and chrome trim.

Vintage Wallpapers

Vintage wallpaper reflects a bygone era in an interesting, fun way. Want a 50s look? Try polka dot patterned wallpaper. For a look straight from the 1960s, redo your kitchen walls with a busy print. Or try repetitive geometric designs in bright colors like turquoise and pink. Vintage wallpapers are available through many large online retailers or Etsy and similar sites.  

Nostalgic details and salvage finds can help give your kitchen personality and flair. You won’t have to sacrifice modern convenience with today’s vintage kitchen appliances and accessories.

Whether sleek and modern or vintage and retro is your preferred style, be sure to give your trusted real estate professional your list of must-haves!

What’s Ahead For Mortgage Rates This Week – July 16th, 2018

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What’s Ahead For Mortgage Rates This Week – July 16th, 2018Last Week’s economic readings included reports on inflation, mortgage rates, new jobless claims and consumer sentiment.

Inflation Slows in June

The Consumer Price Index for June inched down to 0.10 percent growth in June as compared to May’s reading of 0.20 percent. Core inflation, which excludes volatile food and energy prices, rose 0.20 percent, which matched expectations and May’s reading of 0.20 percent.

Year-over-year inflation rose by 2.90 percent. This was the highest rate of growth in six years. Inflation increased by a year-over-year rate of 1.60 percent in the prior year.

While inflationary growth signals strengthening economic conditions, it can also cause challenges for consumers if inflation outpaces wage growth. In recent years rapidly, rising home prices have outstripped inflation and wage growth.

Mortgage Rates Rise as New Jobless Claims Fall

Freddie Mac reported higher mortgage rates last week for the first time since June. Rates for a 30-year fixed rate mortgage rose one basis point to an average of 4.53 percent; The average rate for a 15-year fixed rate mortgage rose three basis points to 4.02 percent.

The average rate for 5/1 adjustable rate mortgages rose 12 basis points to 3.86 percent. Discount points averaged 0.40 percent for fixed rate mortgages and 0.30 percent for 6/1 adjustable rate mortgages. Analysts said that global economic trends caused the 10-year Treasury yield to rise as investors moved away from stocks.

First-time jobless claims fell by 18,000 claims to 214,000 new claims filed; this approached the lowest level of new jobless claims in 49 years. Analysts said that current low levels of new claims showed the healthiest jobs markets since the dot com boom in the 1990s.

Fewer first-time jobless claims suggested that more workers are confident about quitting their current jobs for new jobs. Improved consumer confidence in job security could mean that more consumers will be ready to buy homes.

Consumer sentiment also dropped in July according to the University of Michigan’s Consumer Sentiment Index.  Consumer sentiment fell to an index reading of 97.1 as compared to expectations of 98.9 and June’s reading of 98.2.  Concerns over recently imposed tariffs caused consumer sentiment to dip.

What‘s Ahead

This week’s scheduled economic reports include readings on retail sales, the National Association of Home Builders Housing Market Index and Commerce Department readings on housing starts and building permits issued. Weekly readings on mortgage rates and new jobless claims will also be released.