My 2019 Real Estate Predictions

It’s time for Scott MacDonald’s Annual Top 10 Real Estate Predictions for 2019.

What do you think? Do you agree with these predictions? Do you have any predictions of your own for 2019?

Need more real estate information? Give me a call at 703-652-5777 or email me at scottmacdonald@remax.net

Platinum Group – November

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Don’t wait to put houses on the market – multiple contracts
at $875,000 in Lansdowne – needs work but 7,500 sq ft on three levels – people
waiting in line to buy

Reasons to list today – you know what prices are today, you
know inventory levels, you know what  rates are today, buyers who are looking this
time of year are serious buyers

Where do you price properties and why – psychology of buyers
or internet strategies of being on the number for search engines – when market
is hot, it doesn’t matter – analyze DOM and number of showings in first week in
same area at same price

Agents continue to be agitated over short sales when
expectations are not set up front.  When
expectations are communicated from the beginning agents are easier to work
with…also, don’t burn bridges with agents who pester you – don’t blow off agent
because they are keeping your feet to the fire.

CDRS – America’s Home Rescue Short Sale process is the
program to work with when dealing with short sales

Write addendum to contract outlining your process for
handling the short sales – communication the time frame, your communication
frequency and type, who communication is with and when and why then have buyer
sign.  Are you committed?  Are you sure this is the right house for
you?  Are you prepared for the process to
take several months?  Will you be ok with
not hearing from me, as the listing agent for sometimes weeks at a time?

The foreclosure report: 
sense from Kent Eley and Fannie Mae is 2nd quarter of
2010.  Administration is trying to be
gentler on folks and not kicking them out in winter and around holidays as well
as push loan modifications.  Also, money
given in stimulus package, banks were told not to foreclose by try and work the
loans out.  Other agents feel that it is
the ignorance of the bank and no one moving fast enough because no one is
giving them direction on what to do as banks are overwhelmed.

Is anyone specifically marketing to get move up buyers into
the market?  What are you doing to get
the word out because most people don’t know or understand what was in the
extension.  Email campaigns, newsletters,
phone calls – just do it. 

Quick analysis: 
Market on upswing, foreclosures coming in second quarter, MBS are going
to stop being purchased by the government in March, tax credit ends on April 30th
even though you have to close by June 30th – therefore you will make
a majority of your money in the first quarter of next year and you need to get
busy today to take advantage of the future market.

What happens to Fannie and Freddie moving forward?  Who will absorb the secondary market funds?

PG2

Here We Go Again

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Platinum Club October

Asset managers are checking up on their listers to make sure
properties are being marketed properly. 
If you are listing foreclosure properties – tighten up if you want to
keep your listings!

2nd quarter is when the next “wave” of foreclosures
is to be released – here we go again!

3 month moratorium on foreclosures is more here say yet
properties are going to foreclosure in November.  Apparently, the banks are going to do away
“stages” of appraisals.

Ekko works well with short sales, S5 is OK –nothing above
the others, and Advanced Title gets them done.

Banks have stacks of short sales to work through – Bryan had
4 approved in the last week – 1 in 70 days, 2 in 3 to 4 months and 1 in 6
months.  It seems as if the Asset Manager
makes all of the difference not necessarily the bank. 

Take short sale listings to generate buyer s leads and close
them because chances are your listing
won’t close.  Short sales make the agents look incompetent.

Buyers are indecisive and becoming unrealistic – coming up
with excessive home inspection lists.

Upper bracket prices continue to fall and those buyers are
more cautious.  People are backing out of
remodeling contracts as well – the economy is their excuse of why they aren’t
moving forward.  National news and lack
of details about our market is making them uncomfortable in both scenarios.

Are there more listings coming on the market?  The answer is yes – inventory is low put it
on now.

Builder activity is on the rise.  One builder, Van Metre is up 40% and is
raising their prices – NVR posted a 50%
increase over last year’s sales.

We all believe Tax Credit for first time buyers will be
extended.  As previously discussed each
real estate transaction “touches” 29 different industries and generates $62,000
in capital to the economy.

We also believe that the loan limit will go back to $625,500
and remain there as prices are lower – we all have had fewer sales above the
$700,000 price range.  Also, the
government may want to diminish their exposure and not raise it back up.

Condo associations need to be proactive to get their
properties approved FHA after November 2, 2009 – no one has heard of any
associations taking the lead.  Be sure to
make sure the project is in process of approval prior to finalizing
contacts.  No more spot approvals with
FHA after this date.  Here
are the outlines of the program
– lots of questions are still
unanswered.  Will this kill the condo
market?

What does all of this mean? 
Professional Realtors are more valuable and more needed today more than
ever.  Get it?  Got it? 
Good!

Now, go sell something!

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