Sunrise Homes & Renovations, Inc.

What’s Ahead For Mortgage Rates This Week – June 27, 2016

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Whats Ahead For Mortgage Rates This Week May 18 2015Last week’s economic news was dominated by Great Britain’s vote to withdraw from the European Union. New and Existing Home Sales were released along with weekly reports on mortgage rates and new jobless claims.

“Brexit” Vote Tanks Stocks, Could Cause Lower Mortgage Rates

US stocks plunged in reaction to the news of Britain’s decision to leave the EU and the resignation of its Prime Minister. While investors don’t want to see their 401(k) values crash, mortgage rates may also fall as a result of “Brexit”. Fallout caused by economic uncertainty connected with Great Britain’s move to regain independence is expected to have lingering influence on global financial and economic developments in coming months and years.

Fed Chair Janet Yellen said in testimony before the Senate Banking Committee that Great Britain’s decision to leave the EU could have significant consequences. Chair Yellen’s comments were made prior to Friday’s announcement of Great Britain’s decision.

Existing Home Sales Highest Since 2007, Home Prices Continue Rising

According to the National Association of Realtors® May sales of pre-owned homes hit their highest level since February 2007. May’s seasonally-adjusted annual reading of 5.53 million sales fell just shy of analysts ‘expectation of 5.55 million sales, but exceeded April’s reading of 5.43 million sales. May’s reading represented a 1.80 percent increase in sales and a year-over-year increase of 4.50 percent.

Short supplies of available homes continued to drive up home prices according to NAR chief economist Lawrence Yun, who expressed concerns about affordability as home prices continued to outstrip wages and inflation. The national median home price was $239,700 in May, which was 4.70 percent higher year-over-year. Although first-time buyers typically represent about 40 percent of homebuyers, they currently account for 30 percent of homebuyers.

New Home Sales Fall in May

Sales of new homes slowed in May after jumping in April. According to the Commerce Department, sales of new homes fell by 6.00 percent on a seasonally adjusted annual basis. 551,000 new homes were sold against the expected reading of 560,000 new homes sold and April’s downwardly revised reading of 586,000 new homes sold. New home sales were 8.70 percent higher year-over-year in May.

Mortgage Rates Rise, Weekly Jobless Claims Fall

Last week’s mortgage rates don’t reflect the Brexit decision and rose slightly on Thursday. The average rate for a 30-year fixed rate mortgage was two basis points higher at 3.56 percent; the average rate for a 15.year fixed rate mortgage was also two basis points higher at 2.83 percent. The average rate for a 5/1 adjustable rate mortgage was unchanged at 2.74 percent. Discount points rose to 0.60 percent for a 30-year fixed rate mortgage but were unchanged at 0.50 percent for 15-year fixed rate mortgages and 5/1 adjustable rate mortgages.

What’s Ahead

Next week’s economic events include Case-Shiller Housing Market Indices, Pending Home Sales, Consumer Spending and Construction Spending

Getting to Know the Neighbors: 3 Tips for Building Good Relationships

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Getting to Know the Neighbors: 3 Tips for Building Good RelationshipsOne of the factors involved in feeling truly comfortable in your community is the relationships that you’ve been able to establish with the locals in your neighborhood, but it can be hard to know how to nurture a good relationship. Whether you’re moving to a new home soon or are wondering how to make some nearby friends, here are some simple tips for ingratiating the ones that live closest to you.

Offer up Your Favorite Dish

It might seem like a bit of a risk, but one of the best ways to get to know your neighbors is to knock on their door and bring along your favorite treat as an offering. Whether it’s your famed banana bread or your best chocolate chip cookies, simply showing up on the doorstep with treats in hand will ensure your neighbors know that you want to get to know them, and they’ll likely be happy to return the favor down the road!

Throw A Little Party

If you don’t want to go through the trouble of taking treats over to all of your neighbors, you may want to consider throwing a party or backyard barbecue at your home for a more effective means of meeting everyone. By putting flyers around the community, you’ll easily interest other neighbors in your newfound presence on the block. As well, if you don’t want to go through all the planning of a big party, you can also make it a potluck style meal so everyone can share their own dish.

Make A Habit Of Neighborhood Walks

It’s certainly the least complicated of all the other options, but short walks through your neighborhood may also produce the most success in getting to know more about your neighbors. If you have a pet or a child, these tend to be automatic conversation starters, but a simple smile or ‘hello’ will also do the trick in making your face familiar. It also means you’ll get to know people over time and will be able to build a solid relationship.

It can often be hard to know how to integrate into a new community, but a simple smile or knock on the door can mean a lot when it comes to building a friendship with your neighbors. If you’re currently on the hunt for a home in a specific neighborhood, contact your local real estate professional for more information.

How To Host A Successful Open House

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How To Host A Successful Open HouseFrom fixing up all the minor repairs to cleaning the house top-to-bottom, there are a lot of small details that go into organizing the perfect open house. However, in the rush to organize everything, there are a number of to-do’s that are easy to forget about. If you’re currently prepping your home and don’t want to miss the important stuff, here are some things you should contemplate before setting the date.

The Outside Look

The first thing potential homebuyers will notice when they arrive at your home is the outside, and that’s why it’s so important not to neglect it. Before organizing your open house, make sure the lawn is mowed, any unsightly hedges are trimmed and that your entrance area and flowerbeds are well maintained. Since potential homebuyers will see the outside before anything else, there’s no sense in losing them for having a disheveled lawn before they’ve even walked through the door.

Effectively Market The Event

Many home sellers want to believe that their house will sell itself, but if no one knows about your open house or bothers to show up, there’s no chance of getting any offers. While your real estate agent should be featuring your home on their website, you may also want to hand out flyers to your neighbors and make a few posts on social media sites like Twitter and Facebook to get the word out. There are no assurances when it comes to drumming up interest, but spreading the word with as many people as possible will likely find a few interested parties.

Use The Five Senses

It may not be the most common advice, but engaging potential buyers on a number of different levels can actually enhance the appeal of your home. Playing a little music can be a good way to make them feel comfortable, and you may want to do a little baking beforehand since the sense of smell can have a powerful impact. It may seem a little bit quirky, but there’s nothing to make people feel comfortable and at home like the scent of freshly baked treats and a little music.

There’s plenty of cleaning and organizing when it comes to an open house but it’s also important to look at the big picture when it comes to prepping for your home showing. If you’re nearly ready to put your home on the market, contact your local real estate professional for more information.

How to Market Your Home to Renters Online

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How to Market Your Home to Renters OnlineMany people think that marketing their home is best left to the realtor since they have the expertise and knowledge to succeed at selling. However, there are plenty of ways that you and your realtor can approach the marketing for your home for an even more positive impact. If you’ve made the decision to put your home on the market as a rental, here are a few tips so you can be sure to find the right renters.

Make Use Of Social Media

Sites like Craigslist have long been popular for finding a place to rent, but in the times of social media, there are plenty of other ways to reach people who are looking for apartments or homes. Instead of having to rely on traditional means of marketing, take to Twitter or Facebook to post about your home rental and include a few pictures with a brief description. Not only will this reach all your friends and followers, it will ensure that they can pass the information along too.

Create A Home Website

There are many old-school means of marketing a home to interested parties, but the tricks don’t necessarily change when it comes to finding an ideal renter. If you’re entrusting your home to the reliability of renters, a professional website with a respectable realtor is still one of the best means of attracting the right crowd. With a selection of professional photos and a complimentary description, you should have a few good options in no time.

Splurge On Professional Pictures

There’s a reason that professional photography is expensive, but when it comes to marketing your home online, a good picture is one of the best tools you have in finding your audience. Because a professional photographer knows all the small stuff about lighting and accentuating your home’s best features, they’ll be able to provide you with the kind of images that are sure to capture attention. In addition, a professional photograph can go a long way towards getting the rental price you’re asking for.

There was a time when renters walked the neighborhood to find the best rental options, but with so much of the search having gone online, there are other ways to market your home to potential candidates. If you’re planning on purchasing a second home and are putting your own up for rent, you may want to contact one of our local real estate professionals for more information.

3 Things to Consider Before Renting to Students

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3 Things to Consider Before Renting to StudentsWhether you have a second property that you’re going to move into or you’re planning on being away from your dwelling place for a while, you may be considering putting your home on the market in order to boost your financial outlook. While students comprise one demographic that is always entering the rental market to scoop up available properties, here are some things you may want to consider before deciding on a younger renter.

Will Your Home Be Rented Consistently?

Many students will require a place to rent out since most of them don’t have the money savings or stable income to purchase a home, but if you’re doing this to make ends meet on your properties, renting to student may not be the best way. While some students may plan on hanging out over the summer, there are those who will be heading home in order to live with their parents and save money for the Autumn semester. A contract’s a contract, but a renter can always flee the coop if it’s inconvenient.

Will They Take Good Care Of Your Home?

From furniture to family mementos, most people’s home is pretty personal to them, and that’s why it can be of supreme importance to have a renter that will respect your home and take good care of it in your absence. While there are plenty of responsible students in the world, you should ensure before settling on anyone that it’s someone you really trust who won’t damage your house or wake up the neighbors every Saturday evening.

What Rental Price Are You Looking For?

If you’re trying to make financial ends meet with your property, you’ll probably want to charge the maximum amount you can while still having a renter in your home. The risk with students is that they may not be able to pay the dollar amount you’re looking for so that you can effectively maximize your investment. While this doesn’t necessarily mean you’re taking the financial brunt, it’s important to get the monthly amount that your living space can garner on the market.

There can be a number of downfalls when it comes to renting to students, but there’s also the possibility that you’ll have a responsible renter who will stick around for more than a couple seasons. If you’re currently on the market for a second home, contact your local real estate professional for more information.

What’s Ahead For Mortgage Rates This Week – June 20, 2016

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Whats Ahead For Mortgage Rates This Week January 18 2016Mortgage rates fell after Federal Reserve policymakers decided not to raise the Fed’s target federal funds rate. The Federal Open Market Committee cited ongoing concerns over global financial and economic developments and slow jobs growth as factors in its decision not to raise rates. Fed Chair Janet Yellen emphasized the committee’s decision-making process is not predetermined and said that ongoing review of current and developing news is significant to monetary policy decisions.

Last week’s economic news also included the NAHB Housing Market Index, the monthly inflation rate and retail sales along with weekly reports on mortgage rates and new jobless claims.

Home Builder Confidence Rises in June

According to the National Association of Home Builders Housing Market Index, Home builder confidence rose one point to a June reading of 60. May’s reading was 58 and analysts expected a reading of 59. June’s reading broke a four-month streak of unchanged readings. Sub-readings used to calculate the Housing Market Index were one point higher at 64 for current market conditions. Builders had higher confidence in market conditions for the next six months. June’s reading was five points higher at 70. June’s reading for buyer traffic remained below the benchmark of 50 at 47. The NAHB gauge of buyer traffic in new homes hasn’t hit 50 since the peak of the housing bubble.

National inflation as measured by the Consumer Price Index was lower in May at 0.20 percent as compared to April’s reading of 0.40 percent; analysts expected a reading of 0.30 percent. Core inflation held steady at 0.20 percent; the core reading excludes volatile food and energy sectors, but energy prices, fuel prices and food are major components of household budgets.

The Federal Reserve has set an annual inflation rate of 2.00 percent as a benchmark reading for its consideration or raising the federal funds rate. Readings have remained consistently lower in recent years, which contributed to the Fed’s decision not to raise interest rates.

Mortgage Rates Fall as Jobless Claims Rise

Freddie Mac reported lower average mortgage rates for fixed and adjustable mortgages last week. 30-year fixed rate mortgages dropped f six basis points to an average of 3.54 percent. Rates for a 15-year fixed rate mortgage averaged

2.81 percent, which was also six basis points lower. The average rate for a 5/1 adjustable rate mortgage was eight basis points lower at 2.740 percent. Lower mortgage rates are welcomed by first-time and moderate income homebuyers as home prices continue to rise.

New jobless claims rose to 277,000 as compared to an expected reading of 270,000 new claims and the prior week’s reading of 264,000 new claims. Analysts attributed the jump in new claims to seasonal influences including new claims filed by school workers eligible for benefits when classes aren’t in session.

What’s Ahead

Next week’s scheduled economic reports include reports on new and existing home sales along with weekly reports on mortgage rates and new jobless claims. A monthly reading of consumer sentiment will also be released.