Plantation Lakes Blog!

When it comes to tracking the national housing market’s performance, CoreLogic is one of the industry’s top voices. They provide insights and trend projections based on “trillions of data points” to anyone interested in “housing economies and property markets” (that’s the dry-as-melba-toast description of their focus area).

From time to time I come across their blog (the one with the exciting title of—wait for it— “Insights”). It’s worth reading because their national data has a track record of providing a fairly accurate profile—one we can compare with our local Myrtle Beach housing market trends. It should be of interest to any Myrtle Beach homeowner since, as CoreLogic puts it, “this is information which is at the core of every smart decision.” Hard to argue with that.

At the end of September, they came up with a look at the housing market thus far in 2014, and a look into the future. The year’s history to date was pretty much what’s been reported and confirmed elsewhere. A quick summary:

• Nationally, rates on 30-year fixed mortgages: steady at around 4.25%
• Freddie Mac reports continuing refinancing decline [of course: most folks’ mortgage loans have great rates already, so why refi again?]
• Existing home sales healthy & growth rate steady
• “Pent-up supply and demand dynamics gripping the housing market…”

Hold it! What was that?

“Pent-up”? “Gripping”?

This was anything other than the staid, predictable language we expect from CoreLogic. I didn’t say boring (because blogger Mark Fleming is a good writer)—but fireworks are definitely not Insight’s hallmark. Sooooo…what’s with the drama? You had to read further to see what caused them to get all worked up:

• In a slow-moving housing market [like the Myrtle Beach housing market, for instance], a major decline in prices can take 5 years, and the bounce back to prior levels another five years.
• Year-over-year, house price growth has been “consistently strong”
• The depth and duration of the current housing cycle is consistent with past local cycles

All of which leads to:

“Based on our forecast, nationally we may see prices return to the prior peak in as few as three years.”

In case your take on our Myrtle Beach housing market is anything like as bullish a scenario as that one, today could be a strategic time to give me a call! Whether your own plans involve seizing the moment to buy or sell, the first step is to place an experienced Realtor® at the core of your team.

Having a Myrtle Beach home for sale as autumn swings into full bloom has more than one advantage. First off, this is definitely not looky-loo season—the majority of home shoppers this time of year tend to be serious-minded (perhaps because many are hoping to be comfortably moved in by the holidays). Whatever the reason, because many other owners will wait until spring to put up their own Myrtle Beach home for sale, if you are listing now, you can usually count on a narrower amount of competition.

A subtler reason why fall is an exciting season to put up a home for sale has to do with what can be a presentation advantage—the same reason home décor professionals like this time of year. It’s the Autumn Advantage: a time of year loaded with eye-catching decorating ideas. When the leaves start to change, it’s time to take advantage of the autumnal decorations that can make any Myrtle Beach home for sale extra inviting.

Pumpkins aren’t Just for Jack-o’-Lanterns

Modern Man may have cracked the atom and devised telescopes that can see to the very edge of the Universe, but it has still failed to come up with a way to spruce up a home for fall without adding a pumpkin or two. Why fight it? There are a thousand ways to use the ubiquitous squash in arresting placements. One example is to cut a generous hole in the top, then drop a fall-appropriately planted pot (think gold, red, orange and brown) through it, flowers and all. This “pumpkin plant pot” can work to add color both inside and outside any home for sale in Myrtle Beach.

Re-purpose an old Window

Where a rustic touch is appropriate, another autumnal planter idea is to find a discarded wooden window (the more thoroughly weathered, the better: decorators call it ‘up-cycling’), secure a potted plant to it, then hang it on the wall in place of a family picture (remember: when you have a home for sale, it’s recommended to remove as many of the personal mementos as possible). This “outside inside” décor trick creates a seasonal feel you can add to by embellishing further with dried leaves and berries.

Scents of Autumn

Using scents can be central to fall decorating. These seasonal aromas can be counted upon to trigger positive memories for the visitors to your home. Scented candles are an appropriate way to add ambiance to your house. You can go further by tying cinnamon sticks around your candles, or adding a few drops of clove and cinnamon oil to your potpourri or fall arrangements (just don’t overdo it)!

Fall: a Season for Comfort

If you’re thinking warm fires, plump cushions and plush throws to emphasize the coziness of the season, you’ll make it happen. A comfortable home highlighted with fall colors sets a scene that boosts the beauty of a home for sale unlike any other time of the year.

Whether you have already listed your Myrtle Beach home for sale, or are just now setting the stage, give me a call to put together a marketing blitz that will use the season to make that sale happen!

Buying a Myrtle Beach home—especially if it’s your first—takes attention to detail, even for home buyers with spotless credit. The challenge is a good deal greater if your credit score has dropped below the level most banks require to approve a home loan.

The good news is that potential Myrtle Beach home buyers with less than outstanding credit can still buy their first home—if. That “if” is in italics because ignoring it can turn into a real stopper. The thing that can make buying a home possible even with spotty credit is if you do some careful financial planning.

• Careful = details are attended to—every one.
• Financial = it’s about the money: columns of figures, dollars and cents—not emotion.
• Planning = charting out the specific effects of actions taken now.

The first detail to be mastered is self-education: understanding the rules of the credit game. The most important factor banks use to determine mortgage eligibility is your FICO (Fair Isaac Corporation) credit score. FICO credit scores, which range from 300 to 850, are based on a number of factors. Two factors leading the parade are how much debt you have and your payment history. Usually borrowers need a credit score of at least 650 to qualify for a conventional home mortgage loan.

Although your credit score tops the list, it’s not the only factor. Banks will also consider the amount of money you can commit to a down payment. Too, various lending institutions have different rules for determining eligibility--and some offer non-conventional mortgage loans.

When banks lend money, they are in essence taking a calculated risk that the mortgage-holder will be able to pay it back. The more money you can commit to a down payment, the lower the risk for the bank. If you have a low credit score, but offer to make a large down payment, you increase the odds of being approved.

You can always put off a home purchase for a while to build a down payment fund. But you might have more set aside than you think. A 1997 change in rules allows first time homeowners to tap into their IRA retirement fund before the age of 59 ½ without penalty. Anyone who hasn’t had a financial interest in a home during the previous two years is considered a first-time homeowner.

Another option to consider is a non-conventional loan. Myrtle Beach first-time buyers with relatively low credit scores often follow this route. You may also be eligible for government help through the Federal Housing Authority. FHA loans help to ease credit requirements—for example, some recipients with scores as low as 580 can qualify if they can afford a down payment of as little as 3.5%.

It all means that a low credit score doesn’t necessarily mean you can’t buy that first Myrtle Beach home. Call me for an introduction to a lender to start your pre-approval process today!

A recent Zillow survey again confirmed that extensive renovations are usually not the shortest path to a sale. Across the board, experts agree: it’s still curb appeal and home staging—staging that highlight’s a home’s best features while downplaying its flaws—that often prove most effective.

So, after your Myrtle Beach house smells like fresh-baked cookies and your walls have been freed from family photos and a roaring fire has made the living room warm and inviting...what if those basic staging moves still haven’t produced the offers you know your home deserves?

Myrtle Beach staging pros have a lot more tricks up their sleeves. Here are three:

1. Hide Your Demographic

Maybe you’re the parent of four, so your house is full of kids’ bedrooms, toys and playrooms. Perhaps you’re selling a home or bachelor pad with minimal decor and lots of high-tech devices. Maybe you’re putting that empty nest on the market after living in it for decades. The fact is, Myrtle Beach staging veterans work from the premise that potential buyers shouldn’t be able to walk into a house and be able to tell how old you are and who lives there. That does make sense, since the goal is to cast a wide net—to make the broadest possible group feel as if the place is a perfect fit for them. Broaden your home’s appeal by eliminating those items that are specific to your demographic. You want potential buyers to see the home as theirs, not as one designed for a large family, a single guy, or a pair of empty-nesters!

2. Revamp a Boring Space

Potential buyers go through a mental checklist when they evaluate a house. Functional kitchen? Check. Comfortable living space? Got it. Inviting bedrooms? Sure—but lots of other Myrtle Beach homes may pass the same test. Surprise your potential buyers by transforming an ordinary space into something unexpected. For example, a spare bedroom could be just a duplicate: welcome, perhaps—but indistinguishable from all the other Myrtle Beach homes’ third or fourth bedrooms. What if you transform it into a cozy reading nook with bookshelves and a comfortable window seat? Or create a craft room centered on a large work table, corkboard wall and shelves? Or appeal to every woman’s fantasy (okay; probably a lot of men’s, too) by creating a spacious walk-in closet with hanging racks, shelving, a full-length mirror and vanity? Smart staging can transform an ordinary space into something extraordinary…and your Myrtle Beach home into the one with the ‘sold’ sign out front.

3. Appeal to the Type-A Organizer

A perfectly organized house may exist only in our imagination, but a well-staged home comes close! Now—how about staging your home to give potential buyers the tools to stay organized? Extra shelving units and organizational features in cabinets and pantry make a well-organized kitchen easy to maintain. A modest investment in custom closet organizers will instantly upgrade ordinary closets. Bike storage, heavy-duty shelves, a workbench—even just a couple of wall-mounted pegboard tool organizers—can keep the garage neat as a pin. Maximize the functionality of your home by demonstrating how easy it will be to stay organized in it!

Home staging the extra mile can mean attending to small things that make a difference. Then (one of the larger things) will be to team with an experienced real estate professional—and that’s as simple as giving me a call!

Establishing the asking price for a Myrtle Beach home may not quite qualify as science fiction, but it can be a bit of an adventure in time and space—at least when it comes to establishing the Myrtle Beach comparables.

The logic behind valuing a property by looking at recent Myrtle Beach comparable sales—the Myrtle Beach “comps”—is immediately clear. You don’t have to study economics to realize that the value of something (including a Myrtle Beach house or condo) will ultimately be the amount that someone is actually willing to shell out for it. So recent sales of comparable Myrtle Beach homes should be the best benchmark.

But like so many things that are wonderfully simple in theory, when it comes to establishing Myrtle Beach comparables for the purpose of setting a fair asking price or mortgage amount, practical matters can complicate things. So for anyone looking to buy or sell a Myrtle Beach home, demystifying the factors that come into play as appraisers and bank loan officers identify valid comparables is good background information.

Among the most important factors are size of the dwelling and (this never gets old) location, location, location! So comparables are same-size homes or condos that have sold recently, close by. What could be simpler, right?

Not so fast—it’s much more of an adventure.

First, the space part. The fact is, there are different ways to look at the size of a property. Square feet may be a number you can measure, which might be total square feet…but there is also taxable living area, which could be more important. The difference is that anything below grade (for instance, a half-finished basement or tricked-out man cave garage) may not be counted—or may be partially counted (an “adjustment”). For condos, one of those half-height storage areas may be another “adjustment,” as could be a balcony or parking space—valuable to some buyers, but not part of the “taxable living area.”

There’s another aspect to the space part of the adventure. Even within a single neighborhood, some streets have homes that are more upscale (and pricey) than others. Or there can be nearly rural parts of a suburban (or even an urban) community—so using the distance from one point to another may not be an accurate way to determine if nearby neighborhood comparables are really, well, comparable. In other words, although within a short distance, to be truly comparable a nearby sale could call for yet another ‘adjustment.’ Furthermore, even though one dwelling might be only a block away from another, they might fall into different school districts. Even if you don’t have kids, school quality can be an important factor for prospective buyers…and another adjustment…

Then there’s the time part of the adventure, which comes when we try to figure out what qualifies as a ‘recent’ comp. Within 90 days definitely qualifies as an ideal. But what if there aren’t enough of those? Some lenders will go back 6-12 months—a warping of the time-space continuum (and where would science fiction writers be without those?)

If you will be buying or selling anytime soon, the Myrtle Beach comparables will come into play. Call me to explore what they look like in your own immediate real estate future!

Homeowners Associations (HOAs) are not a new idea. They were first formed in nineteenth century America, as the Industrial Revolution spurred migration from rural to urban living. Owning real estate has always been considered a big deal, so it’s right to think of Homeowners Associations as exclusive clubs. Sort of.

Myrtle Beach Homeowners Associations are open to membership only for those who own a home in a Myrtle Beach HOA development—definitely an exclusive group! (The reason for the ‘sort of’ is because of the other qualification: homeowners are required to join).

Exclusive membership has its advantages, to be sure, and also some disadvantages. For instance, members have to pay fees and dues for the privilege of belonging. And, like membership in any legendarily snooty club, members have to behave themselves. Unlike most of those, the rules of an HOA are legally binding for all residents in the development. Homeowners Association covenants can specify things like exterior paint colors and what kinds, if any, of fences and/or hedges an owner can install. They also may specify whether things like swing sets or basketball hoops are allowed. There will almost certainly be vague language in any Myrtle Beach Homeowners Association covenant to require things like “reasonable” standards of repair for a property.

In general, the whole idea can be a good thing, because when working as intended, it protects everybody’s property values. Indeed, a March study by the Association Management Group showed that 70% of HOA residents are happy with their HOA experience. However, if you are ever in the mood for some HOA horror stories, the web is where you’ll find some really juicy ones.

For example, there’s the one about the 77-year-old Arizona condo owner who was fined repeatedly for allowing her dog to walk through the lobby. The HOA rules specified that dogs must be carried through the lobby. Then there was the case of a California widower whose home was seized by the HOA because he owed $600 in dues and fees. It was sold at auction to a third party for a mere $2,000 (okay—even the Internet admits that he eventually did reclaim his house).

So, on balance, what’s a buyer to do? Below are a few ways to approach the decision before you buy a house in an HOA development (if I’m your Realtor®, I’ll be able to help with these):

• The easy part: get a copy of the covenants and bylaws. The hard part: read them. Make note of the restrictions, and pay close attention to the sanctions the HOA can invoke.
• Review the details of recent actions and pending changes to the rules (they’re probably posted on the HOA website). Request copies of any past and present actions or notices filed by the HOA against the selling homeowner.
• See if you can talk to Homeowners Association board members to get a feel for whether the rules are strictly enforced or a more laissez faire regime is in place. There aren’t any guarantees, though—board membership and attitudes can change.

If you do decide to buy into a HOA development, remember the best defense is a good offense. Get involved in the HOA by attending meetings and keeping up-to-date with proposed changes to the covenants.

When you hear the word “drone,” you’re more likely to think military target than local residential listing. But drones could be the Next Big Thing in real estate photography—that is, if they don’t run afoul of the law.

Technically known as Unmanned Aerial Vehicles (UAVs), drones have swooped and dived into the public consciousness in a big way within the past year. In addition to the amusing tiny model helicopters that have been found under many a Christmas tree over the few holiday seasons, their more ambitious cousins, remote-controlled, lightweight flying vehicles have begun to be used by firefighters, filmmakers, and the military. And as the technology becomes less and less expensive, everyone expects to see drones in more applications than you could imagine—for instance, CBS’s 60 Minutes report that previewed Amazon.com’s plans to test online purchase deliveries via driveway drop-offs by creepy four-rotor drones.

What’s the connection with Myrtle Beach real estate? Just ask commercial photographers, who think the lightweight vehicles would be their key to the perfect high production value property shots. Think of it: instead of chartering an expensive helicopter flight to photograph a site from the air, a real estate photographer could use a much cheaper and more easily controlled lightweight drone. The result? Dramatic, breath-taking shots that used to be only rarely seen in listing video tours (and then, only in million-dollar listings). With more than 90% of prospective home buyers now using the Internet, those kinds of shots could make the difference between a stagnant listing and a quick turnaround.

But don’t hold your breath for the rise of drone-based real estate photography—at least not yet. The Federal Aviation Administration requires a permit for each flight whose goal is the “commercial use of airspace”—even by small devices like photography drones. As a consequence, the National Association of Realtors® is advising real estate pros not to use drone-based photography until next year, when new FAA guidelines will be announced. Until then, a special FAA waiver has to be obtained for each flight (and you can bet a local property would have already been sold long before that came to pass!)

While we may heave a sigh over the exciting drone videos that might have been, the real possibility that drones will become a factor in Myrtle Beach’s residential real estate reinforces the importance of having your home sale-ready from all angles. Imagine the fallout if drone photos revealed a leaky roof—or an unkempt backyard!

Bottom line: it’s always going to remain vital to prep a property to shine in more than just the “curb appeal” photo.

That planning can start with a call to my office for a no-obligation review of how to set into motion a proven marketing plan that gets your Myrtle Beach home sold!

If you are currently selling your Myrtle Beach home, you may already find yourself playing the waiting game. It’s a normal course of affairs in most real estate markets—but that doesn’t make it any less frustrating. You’ve got decisions to make, moving deadlines to order, but everything goes into limbo while you await the completion of the buyer’s home inspection report (and the resulting after-inspection decisions). What did the inspector find during the investigation? Will there be significant offer and timing changes as a result of those findings?

When you’re selling your home, one way to nip much of that anguish in the bud is by having already completed a home inspection of your own. You are already aware of minor problems which might or might not concern prospective buyers, but you may not be aware of more serious problems that could trigger an offer change.

If you take the initiative when selling your home to order your own pre-sale inspection, you will get a useful verdict on the overall health of the property. It will help you make an informed decision on whether to spend some money to make repairs—or to lower the asking price.

For instance, even if you’ve had occasion to venture onto your roof in the past, an inspection might reveal broken or missing shingles or flashing that need caulking to prevent water penetration. It might reveal minor chimney brickwork erosion—damage that’s impossible to see from below—that could also risk water entry. Or water may already have intruded and created a mold problem in the attic.

Nationally, it’s estimated that the average new roof this fall will cost more than $5200. When you are selling your home, that’s the kind of item you don’t want to first hear about from a buyer’s inspection. The ‘surprise!’ element can undermine the trust of a buyer who was formerly delighted with everything. The result can be a far greater offer reduction than the cost of repair warrants—or even a complete withdrawal.

Everyone knows the kind of time pressures that often develop when you are selling your home, but by scheduling your own inspection before they arise, you give yourself the opportunity to arrange repairs on your own timetable (and at a price that doesn’t reflect emergency service). At a minimum, you’ll have given yourself some negotiating options.

When it comes to selling your Myrtle Beach home, forewarned is forearmed. I’m able to offer the kind of experienced counsel that keeps my clients prepared in advance at every point in their home selling process–another good reason why you should give me a call!

The volume of Myrtle Beach home sales this fall will depend on more than just the number and quality of listings—though they do seem to be stacking up fairly well. Predictions are always less than reliable, but when a major benchmark is met for real estate activity on the national scene, it can be a pretty convincing indicator.

In any case, it’s useful to take into account a wide variety of sources. They help you sniff out the reasons why home sales ought to surge (like low interest rates, today’s Myrtle Beach situation) or why home sales ought to fall (like an economic recession, thankfully not Myrtle Beach’s current situation).

So last week’s Wall Street Journal’s headliner about new home sales came as red meat for local would-be real estate seers. “Sales of New Homes Surge to Highest Level Since ‘08,” read the headline in a story (it was right below “Student-Loan Defaults Drop;” itself another good sign). The “surge” story was calling attention to the latest Commerce Department announcement that new home sales climbed 18% in August, “the biggest one-month jump since 1992” and “the highest level of sales since May 2008…”

That last date is an eye-catcher, since the U.S. was then in a recession (actually, I think we could safely call it “THE” recession). Economists have been going back and forth for at least the past four years about whether the slow recovery was strong enough to stimulate the housing sector (Myrtle Beach home sales are part of that); or whether it was the other way around—or even whether the recovery was even truly a recovery.

The WSJ story dealt specifically with a surge in new home activity, which, since that comprises only about 10% of the market, could be a reason to ignore its value as a gauge. But that would be to overlook some extra information buried in paragraph #3 pointing out that “home builder optimism this month reached the highest level since 2005.”

That means rising new home starts. The builders are pulling out their hammers and saws.

Why is that so important? Take any headline-grabbing Wall Street or political scandal as an indicator. As the scandal begins to unravel, sooner or later some pundit will intone the irrefutable rule of thumb advice for how to uncover who or what was behind all the mischief: “Follow the money!”

When the big new home builders start pulling out their wallets and breaking ground, the money (smart or otherwise) is pointing in the direction that augurs well for the whole of real estate activity—in Myrtle Beach, as well as nationally.

If you have been waiting for that kind of activity to embark on your own home selling or buying project, it means that this fall your wait may be over. Give me a call to get more specifics about where your plans could fit into today’s Myrtle Beach home sales picture!