Buying/Selling a Home | Patterson-Schwartz Blog

Worth a Click: PSA’s New Online Home Valuation Tool

Selling a home can be an exciting yet daunting task, especially when it comes to determining its market value. Fortunately, Patterson-Schwartz Real Estate has partnered with Leading Real Estate Companies of the World^® and Percy, the renowned real estate technology company, to address the two most important questions every potential seller has: What is my home worth? And do you have buyers for it?

Get a Feel for the Market

By analyzing nearby sales, buyer behavior, and your home’s unique characteristics, our home valuation tool provides three valuations along with insight into the number of buyers actively searching for a property just like yours! Whether you’re considering selling or simply curious about your home’s value, this user-friendly online tool presents real-time buyer activity heat maps and profiles of potential buyers that make the data come alive. With just a few clicks, you can gain a clearer understanding of the value your property holds in today’s competitive market.

Sell with Confidence

Our new online home valuation tool acts as a powerful stepping stone towards a successful home selling journey. Armed with comprehensive insights, you can confidently navigate the real estate market, set an optimal listing price, and make informed decisions throughout the selling process.

As a renowned real estate agency with a long-standing history of excellence, Patterson-Schwartz brings in-depth local knowledge and industry experience to the table. Our team of local experts is readily available to provide personalized guidance and expert advice when you’re ready to take that step.

Discover the new “What’s My Home Worth?” tool, now available on pattersonschwartz.com, and embark on a successful selling journey with confidence.

About Us

Patterson-Schwartz Real Estate is Delaware’s largest independent real estate brokerage and offers a full range of services that include residential home sales, purchase and rental, relocation services, and property management. We’ve been guiding home buyers and sellers since 1961, and invite you to connect with us when you’re ready to partner with a local real estate expert.

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Singer, Dancer, Super-Agent: Who do you want by your side?

Contributing blogger Charlie Schwartz, II, shares industry insight and the importance of having the guidance of a true real estate professional in the July 2022 Schwartz Report.

The Federal Reserve’s Open Market Committee voted in June to raise the fed-funds rate* by three quarters of a point, the steepest single rate rise since 1994. Mortgage rates hovered around 3% at the beginning of the year but are now double that and likely climbing. Clearly, we are in a transitioning real estate market for the first time in more than a decade.

Expert guidance for a song?

I’ll start a bit tongue-in-cheek with the old joke about the fellow who goes into a pet store to buy a canary. He hears a beautiful song coming from one of the cages and goes over to investigate. He’s enchanted by the melody but notices after a bit that the bird with the beautiful song is missing a leg. So he calls the pet store owner over and says, “This bird has a wonderful song but look, it only has one leg.” The owner doesn’t miss a beat: “What do you want: a singer or a dancer?” Stick with me folks, I’m going somewhere with this.

We have seen the subject pop up countless times about whether it makes sense in any market to pay full real estate commissions to your real estate agent to manage the sale of your home. “Why should I pay so much to hire an expert when houses have been selling themselves and a mere posting anywhere will generate multiple and escalating offers?” Even the downtrodden buyers of late might ask, “why should I pay a fee to my buyer’s agent to find me the right home when everything is online?” The answer is straightforward but has gotten little attention lately —because you are depending on this person and his or her company to help you reach your goals in a sale or purchase. Going forward, you need an expert guide if you are traveling an unmarked and even dangerous road.

You see, selling or buying is not an event. It is a process. Frequently, it proves to be a long process. So when contemplating either a purchase or a sale, you’ll need a committed guide who has both product knowledge and process skill to get you where you need to go. Finding a buyer willing and able to pay market value at a time of mass uncertainty takes a true professional. A minor miscalculation in trying to time the market could cost thousands. Finding reasonable financing alternatives at affordable rates isn’t a walk in the park today either. A superior agent will be there working for you right up until the closing and will stay with you long after that as well.

“Shopping” for the right agent

So, choosing the right agent to represent your interests is definitely not like going to the pet store. There are many more choices than just singers or dancers. I’ll set down here four criteria to judge by and then one bottom-line question when making that choice in the upcoming market.

1. Product knowledge

What is your competition, where is it, and what is it selling for? Asking prices in the forthcoming market will mean nothing to prospective buyers. Future market activity will be a cross between a price war and a beauty contest. Your asking price and terms must be compelling not just competitive. The condition of your property will need to be sample-house ready. Buyers have always bought by comparison and a good agent will help them become as market-savvy as they can be. Sellers will need an agent with the courage of his or her convictions who will tell them what they need to know, not one who is telling them what they want to hear.

2. Process Skill

A real estate transaction has been likened to an iceberg floating in the ocean. Buyers and sellers only see the top tenth of what goes on in their transaction. The other nine tenths lurks unseen beneath the waves and is critical enough to sink the deal if you do not have a skillful pilot at the helm. Frankly, when the property sells is when the real work begins. Home inspection, appraisal, and mortgage issues will call for subsequent rounds of delicate negotiations.

3. NEGOTIATING SKill

As one fellow put it: “If they were mild-mannered when negotiating with you on price, condition, terms of sale, etc.; then how likely is it that they will turn into a super-agent when negotiating with the buyer or seller on your behalf?” So, in the coming market, hiring a talented negotiator could save you thousands, perhaps tens of thousands of dollars.

4. Marketing Plan

Most agents put this up front in their presentation, but there is a reason that I save it for last. No amount of hype will compensate for an noncompetitive price, poor location, or poor condition in a re-balancing market. Regardless of the mix of media employed, the plan should seek to know and take advantage of the methods that prospective purchasers are using to find the home of their dreams. Furthermore, you’d be smart to employ an agent who can be your ambassador to other agents and who has a reputation for doing good business. Because in the coming marketplace, nobody will have all the prospects.

Bottom-Line Question

When interviewing a real estate agent, ask them why they believe that now is a good time to buy a home or make an investment. They should be able to explain that simply and effectively. Buyers are becoming increasing nervous about buying as interest rates go up. They will want to know that they are making the right choice. You’ll need someone who believes that this is one of the best times in American real estate history to buy. If an interviewee gives you a song and dance on that, how will they be able to convince a potential buyer to buy your home or get that nervous buyer to take that leap of faith?

*The Wall Street Journal defines the fed-funds rate as the overnight rate on lending between banks. It influences other consumer and business borrowing costs throughout the economy, including rates on mortgages, credit cards, savings accounts, car loans and corporate debt. Raising rates typically restrains spending while cutting rates encourages such borrowing. The mortgage market will be negatively affected by the prospect of tighter money.

About Patterson-Schwartz

At Patterson-Schwartz Real Estate we are proud of our 60+ year legacy that proves we are prepared for any market challenge and only getting stronger. As Delaware’s largest independent real estate brokerage, we are represented by ten offices and over 550 highly-skilled sales associates and staff. Our full range of services include residential home sales and rentals, relocation services, and property management. We invite you to connect with us when you’re ready to partner with a local super-agent.

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Patterson-Schwartz: Enhancing the Home Valuation Experience

Keeping pace with an ever-evolving local market is important, but finding reliable information can be a challenge. Patterson-Schwartz understands this challenge and is pleased to announce a new partnership with CloudCMA and Homebeat, leaders in the home valuation tool industry.

What is a CMA?

A Comparative Market Analysis (CMA) is the term real estate professionals use when they conduct an in-depth analysis of a home’s current worth based on the prices of similar active, pending, and sold properties in the area. Real estate professionals present a CMA to their clients to help them determine a price when listing a home or making an offer to buy a home.

CloudCMA provides our sales associates with the real-time data and innovative tools necessary to guide clients through crucial price-related decisions. When it comes time to list your home for sale, you can depend on our sales associates to provide the very best CMA reporting and personalize it to you. In the meantime, how can you stay informed on the market and begin to understand the true value of your home?

A local real estate expert is your best resource

A flood of websites out there promise an instant value for your home, but, in reality, they are rarely accurate. There are so many factors that contribute to a property’s value that these online models overlook, including the property’s condition. Only a licensed real estate professional familiar with your area can give you a true idea of what your home is worth. In that regard, you should avoid relying solely on a website to determine your home’s value, but understanding local housing trends is a great place to start.

On the fence about selling? Try Homebeat!

Homebeat through Patterson-Schwartz allows you to regularly check the sales activity of the homes around yours. As a Homebeat subscriber, updates about your neighborhood’s housing trends are emailed to you at the frequency of your choice. Each report includes properties in your neighborhood with MLS and market data, and refreshes automatically with the most recent listings and sales information available.

When you’re ready to consider selling, a Patterson-Schwartz sales associate can upgrade your Homebeat to a comprehensive CMA and deliver it to you in the method you prefer: in-person, electronically, or video chat. The knowledge and personal care of our local experts paired with the innovative reporting data from CloudCMA will help you list your home with confidence in any market. To keep your finger on the pulse of the market, get started with Homebeat today!

About Us

Patterson-Schwartz Real Estate is Delaware’s largest independent real estate brokerage and offers a full range of services that include residential home sales, purchase and rental, relocation services, and property management. We invite you to connect with us when you’re ready to partner with a local real estate expert. We’ve been guiding home buyers and sellers since 1961.

Home buyers Are Going on a Shopping Spree This Winter

Experts anticipate the real estate market will see a flurry of activity this winter, and that’s great news for today’s sellers. If you’re planning on listing your home, there’s no need to wait until the spring for better conditions – today’s real estate market is already heating up.

Buyers Have Warmed Up to the Idea of Purchasing This Winter

The past 18 months brought about significant lifestyle changes for many of us, including the rise in remote work, job changes, and even early retirement for some. For many people, it’s prompting a search for their next home now rather than waiting for warmer months.

Lawrence Yun, Chief Economist at the National Association of Realtors (NAR), points out how this winter may see a significant number of sales:

“Compared to other past winter seasons, this winter season’s sales activity will be stronger. . . . This winter, there will be more sales compared to pre-pandemic winters going back all the way to 2006.”

You might be wondering: what does strong sales activity mean for you? It means there are likely to be more buyers active in the market this winter – far more than more normal, pre-pandemic years.

In the same article, Danielle Hale, Chief Economist for realtor.com, puts it in these simple terms:

“Sellers can expect to see plenty of buyers.”

The more buyers there are in the market, the more likely it is your home will get noticed. That can lead to a multiple-offer scenario or a potential bidding war. Receiving multiple offers on your home means you can select the right offer and terms for your situation – so you can truly win as a seller when you list your house this winter.

Bottom Line

If you’re thinking about selling your house, you don’t need to wait until the spring. Buyers are ready now. Connect with one of our local experts to discuss why selling this holiday season could be the gift that keeps on giving. Patterson-Schwartz Real Estate been guiding home buyers and sellers since 1961.

Source: Keeping Current Matters, December 2021. The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice.

Patterson-Schwartz launches Adwerx Motion ads

It is no secret that today’s consumers often begin their search for a home online. And now more than ever, a robust and effective online strategy is vital for connecting with home buyers. At Patterson-Schwartz, we employ a vast array of online marketing efforts to increase our listings’ exposure, and we’re excited to announce a new animated format from our digital ad partner, Adwerx Enterprise.

Enhancing the digital experience

In 2018 Patterson-Schwartz began a partnership with Adwerx Enterprise, an industry leader in digital advertising automation. With the Adwerx platform, digital ads for new Patterson-Schwartz listings launch when a property is publicly listed during the all-important first week that a home hits the market and receives the most attention. Combined with sophisticated retargeting technology, these ads follow local home buyers around the web and appear on popular websites such as ESPN and the New York Times and social media sites like Facebook and Instagram.

“Patterson-Schwartz focuses on using superior tools to market their listings, and we have helped them engage online buyers and cost-effectively advertise on websites alongside big brands,” says Nathan Kainz, Enterprise Account Management, Team Lead at Adwerx. “But we know the real estate industry is competitive and are always looking to enhance the ability to grab the attention of consumers.”

An innovative partnership

Developed to stand out in the digital environment, Adwerx Motion combines the effectiveness of targeting listing ads with the power of motion to create content that reaches more prospective buyers and increases the visibility of each listing. This new feature allows display advertising to be animated using HTML5 technology – an ad type proven to drive higher engagement and improved click-through rates.

“When we were approached by our account representative to be one of the first brokers to launch Adwerx Motion ads, we didn’t hesitate to jump on board.
“The ability to upgrade our automated listing campaigns to an animated design creates another opportunity for our agents to impress their sellers and win the listing presentation. Adwerx consistently enables us to provide value to our agents and their clients by helping their listings stand out in a highly competitive environment.”
Justin Kierstead, Marketing Director of Patterson-Schwartz Real Estate

About Us

Patterson-Schwartz Real Estate is Delaware’s largest independent REALTOR® with ten offices and over 450 full-time Sales Associates. We offer a full range of services that include residential home sales, purchase and rental, relocation services, and property management. We invite you to connect with us when you’re ready to partner with a local real estate expert. We’ve been guiding home buyers and sellers since 1961.

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4 Reasons You Should Consider Selling This Fall

If you’re trying to decide when to sell your house, there may not be a better time to list than right now. The ultimate sellers’ market we’re in today won’t last forever. If you’re thinking of making a move, here are four reasons to put your house up for sale sooner rather than later.

1. Your House Will Likely Sell Quickly

According to the Realtors Confidence Index released by the National Association of Realtors (NAR), homes continue to sell quickly – on average, they’re selling in just 17 days. As a seller, that’s great news for you.

Average days on market is a strong indicator of buyer demand. And if homes are selling quickly, buyers have to be more decisive and act fast to submit their offer before other buyers swoop in.

2. Buyers Are Willing To Compete for Your House

In addition to selling quickly, homes are receiving multiple offers. That same survey shows sellers are seeing an average of 4.5 offers, and they’re competitive ones. The graph below shows how the average number of offers right now compares to previous years:

Reasons You Should Consider Selling This Fall | MyKCM

Buyers today know bidding wars are a likely outcome, and they’re coming prepared with their best offer in hand. Receiving several offers on your house means you can select the one that makes the most sense for your situation and financial well-being.

3. When Supply Is Low, Your House Is in the Spotlight

One of the most significant challenges for motivated buyers is the current inventory of homes for sale. Though it’s improving, it remains at near-record lows. The chart below shows how today’s low inventory stacks up against recent years. The lighter the blue is in the chart, the lower the housing supply.

If you’re looking to take advantage of buyer demand and get the most attention for your house, selling now before more listings come to the market might be your best option.

4. If You’re Thinking of Moving Up, Now May Be the Time

If your current home no longer meets your needs, it may be the perfect time to make a move. Today, homeowners are gaining a significant amount of wealth through growing equity. You can leverage that equity, plus current low mortgage rates, to power your move now. But these near-historic low rates won’t last forever.

Experts forecast interest rates will rise. In their forecast, Freddie Mac says:

“While we forecast rates to increase gradually later in the year, we don’t expect to see a rapid increase. At the end of the year, we forecast 30-year rates will be around 3.4%, rising to 3.8% by the fourth quarter of 2022.”

When rates rise, even modestly, it’ll impact your monthly payment and by extension your purchasing power.

Bottom Line

Don’t delay. The combination of housing supply challenges, low mortgage rates, and extremely motivated buyers gives sellers a unique opportunity this season. If you’re thinking about making a move, reach out to one of our local experts to chat about why it makes sense to list your house now. Patterson-Schwartz Real Estate been guiding home buyers and sellers since 1961.

Source: Keeping Current Matters, September 2021.The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice.

6 Reasons to Celebrate National Homeownership Month

Our homes are so much more than the houses we live in. For many, they’ve also become our workplaces, schools for our children, and safe harbors in which we’ve weathered the toughest moments of a global pandemic. Today, 65.6% of Americans call their homes their own, a rate that has risen to its highest point in 8 years.

As National Homeownership Month gets underway this June, homeowners have every reason to celebrate. A survey by Gallup just ranked real estate as the best investment you can make for the eighth year in a row. However, unlike other investment options, the benefits of owning a home aren’t purely financial. Here are the top ways Americans are winning by owning a home.

Non-Financial Benefits:

Civic Participation: Owning a home is owning a part of your neighborhood. Homeowners have a stronger connection to their neighborhoods and are more committed to volunteer work and other ways to get involved.
Pride of Ownership: Owning a home is having a space that is uniquely yours. You can customize it to your personal liking and make it reflect your personality and values.
A Safe Space: Owning a home gives you a sense of security and privacy – two things that have become even more valuable as we’ve tackled the challenges of the recent health crisis.
Financial Benefits:

Financial Benefits:

Forced Savings: Owning a home builds equity. Your equity grows with each payment you make toward your mortgage. This form of forced savings can be used down the road to help you accomplish your biggest financial goals.
Appreciation: Owning a home is making an investment that steadily gains value, and experts project home values will continue to rise in the years to come.
Stability: Owning a home means having better control over your future housing payments. Over the years, a mortgage stays relatively steady, but rent costs continue to rise.

Bottom Line

If you own your home, take time this June to celebrate the ways homeownership has added value to your life. If you hope to become a homeowner this year, connect with one of our local experts today to take the first steps toward achieving your goal. We’ve been guiding home buyers and sellers since 1961.

Source: Keeping Current Matters, June 2021. The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice.

Smarter Open Houses with Spacio & Patterson-Schwartz

Patterson-Schwartz is pleased to announce paperless open house registration through the Spacio app! This new, digital process provides a smarter experience for open house visitors and Patterson-Schwartz agents. Registrant information is gathered instantly and more accurately than the manual sign-in process, while automated follow-up ensures the interest in the open house never loses its momentum.

“Spacio enables agents to efficiently and seamlessly connect with potential buyers long after the doors to the open house close. Digitally collecting visitor data also eliminates paperwork and the use of QR code technology provides a touchless aspect. The experience is better, greener, and safer for all involved.”
Justin Kierstead, Director of Marketing at Patterson-Schwartz

Maximizing the open house opportunity

While the pandemic put restrictions on traditional open house activity in 2020, the local real estate market is experiencing a return to interest in in-person tours of homes in 2021. According to the National Association of REALTORS, open houses continue to be a frequently used source in the home search process among buyers.

The partnership with Spacio allows Patterson-Schwartz agents to make the most of the open house opportunity. The app is easily accessible via web and mobile devices and integrates with many agents’ lead capture and follow-up tools.

The app’s top features also make it a great piece of technology for today’s fast-paced and safety-minded market.

Each open house event generates its unique URL or QR code, which, when shared with visitors, allows for touchless sign-in on individual devices. These URLs and QR codes can also be shared in advance and save time through pre-registration. And as soon as the open house closes, registrants receive automated follow-up information and can connect with the agent at the click of a button.

“We’re thrilled to be able to offer this app to our agents,” says Patterson-Schwartz Senior Vice President, Business Development & Corporate Strategist, and Greenville Sales Manager, Donna Greenspan. “Open houses have long been a mainstay to real estate sales, and we love introducing new technology into the experience without sacrificing the personal touch.”

About Us

Celebrating 60 years of service, Patterson-Schwartz Real Estate is Delaware’s largest independent REALTOR® with nine offices and over 450 full-time Sales Associates. We offer a full range of services that include residential home sales, purchase and rental, relocation services, and property management. We invite you to connect with us when you’re ready to partner with a local real estate expert.

5 Tips for Making a Successful Offer

Today’s real estate market clearly has high home buyer interest and low housing inventory. With so many buyers competing for a limited number of houses for sale, it’s more important than ever to know the ins and outs of making a confident and competitive offer. Here are five keys to success for this important stage in the home buying process.

1. Listen to Your Real Estate Advisor

An article from Freddie Mac offers guidance on making an offer on a home today. Right off the bat, it points out how emotional this can be for buyers and why your trusted agent can help you stay focused on the most important things:

“Remember to let your home buying team guide you on your journey, not your emotions. Their support and expertise will keep you from compromising on your must-haves and future financial stability.”

Your real estate professional should be your primary source for answers to the questions you have when you’re ready to make an offer.

2. Understand Your Finances

Having a complete understanding of your budget and how much house you can afford is essential. The best way to know this is to get pre-approved for a loan early in the home buying process. Only 44% of today’s prospective home buyers are planning to apply for pre-approval, so be sure to take this step so you stand out from the crowd. It shows sellers you’re a serious and qualified buyer and can give you a competitive edge if you enter a bidding war.

3. Be Ready to Move Quickly

According to the Realtors Confidence Index, published monthly by the National Association of Realtors (NAR), the average property sale today receives over three offers and is on the market for just a few weeks. These are both results of today’s competitive market, showing how important it is to stay agile and vigilant in your search. As soon as you find the right home for your needs, be prepared to submit an offer as quickly as possible.

4. Make a Fair Offer

It’s only natural to want the best deal you can get on a home. However, Freddie Mac also warns that submitting an offer that’s too low can lead sellers to doubt how serious you are as a buyer. Don’t submit an offer that will be tossed out as soon as it’s received. The expertise your agent brings to this part of the process will help you stay competitive:

“Your agent will work with you to make an informed offer based on the market value of the home, the condition of the home and recent home sale prices in the area.”

5. Be a Flexible Negotiator

After submitting an offer, the seller may accept it, reject it, or counter it with their own changes. In a competitive market, it’s important to stay nimble throughout the negotiation process. You can strengthen your position with an offer that includes flexible move-in dates, a higher price, or minimal contingencies (conditions you set that the seller must meet for the purchase to be finalized). Freddie Mac explains that there are, however, certain contingencies you don’t want to forego:

“Resist the temptation to waive the inspection contingency, especially in a hot market or if the home is being sold ‘as-is’, which means the seller won’t pay for repairs. Without an inspection contingency, you could be stuck with a contract on a house you can’t afford to fix.”

Bottom Line

Today’s competitive landscape makes it more important than ever to make a strong offer on a home. Connect with one of our local experts to make sure you rise to the top along the way. We’ve been guiding home buyers and sellers since 1961.

Source: “Things to Consider When Buying a Home” Spring 2021 Edition, courtesy of Keeping Current Matters

Why Low Inventory is a Win for Sellers

Real estate continues to be called the ‘bright spot’ in the current economy, but there’s one thing that may hold the housing market back from achieving its full potential this year: the lack of homes for sale.

Buyers are actively searching for and purchasing homes, looking to capitalize on today’s historically low interest rates, but there just aren’t enough houses for sale to meet that growing need. Nadia Evangelou, Senior Economist & Director of Forecasting for the National Association of Realtors(NAR), explains:

“These ultra-low mortgage rates make homebuying more attractive, boosting activity to the highest level since 2006…Nevertheless, inventory continues to fall, widening the gap between housing demand and supply.”

According to NAR, right now unsold inventory sits at a 2.5-month supply at the current sales pace. To have a balanced market where there are enough homes for sale to meet buyer demand, the market needs 6 months of inventory. Today, we’re nowhere near that number. If this trend continues, it will get even harder to find homes to purchase, and that may slow down potential buyers. Danielle Hale, Chief Economist for realtor.com, notes:

“While some buyers are frustrated, there are still plenty trying to make a move. This means that homes are still selling fast, and inventory is dropping despite an improving new listings trend.”

The Weekly Recovery Report from realtor.com keeps an eye on the number of listings coming into the market (houses available for sale) and the total number of listings staying in the market compared to the previous year (See graph below):

The number of total listings (the orange line) continues to decline even as new listings (the blue line) are coming to the market. Why? Buyers are scooping up homes faster than they’re being put up for sale. Hale emphasized:

“New listings are a necessary ingredient for further home sales, so additional improvement here will be important for home buyers and sustaining home sales activity.”

Does This Mean It’s a Good Time to Sell?

Yes. If you’re thinking about selling your house, this winter is a great time to make it happen. There are plenty of buyers looking for homes to purchase because they want to take advantage of low interest rates. Realtors are also reporting an average of 3.4 offers per house and an increase in bidding wars, meaning the demand is there and now is the opportune time to sell for the most favorable terms.

BOTTOM LINE

If you’re considering selling your house, this is the perfect time to discuss how you can benefit from the market trends in our local area. Connect with one of our local experts today.

Source: “Things to Consider When Selling Your House” Winter 2021 edition, courtesy of Keeping Current Matters