Can a Home Warranty Help Sell Your House?

Getting a home warranty is absolutely a good idea if you’re a home seller, and here’s why.

Should you use a home warranty to help sell your house? 

Yes, I strongly recommend that you do. Getting a home warranty offers many advantages to a home seller. 

For example, we work with a company out of Madison called Home Security of America. They provide warranties on the sale of used or existing homes just like a builder would on a new construction home. Typically, a builder would cover you for one year after closing, and the same thing applies with Home Security of America’s warranty. 

Getting a home warranty helps sell your house.

Their warranty covers any major problem with the plumbing, the electrical, the heating, the air conditioning, the appliances in the house, etc. The seller also gets free coverage while the home is listed for plumbing, electrical, and the water heater. On a single-family home, the cost for full coverage is typically $564.

The most obvious benefit of getting a home warranty is that it helps sell your home. If your home has a warranty and one of the other properties your prospective buyer is looking at doesn’t, that may sway them to buy yours. Secondly, getting a home warranty provides is peace of mind—not just for the buyer, but for you too. If something goes wrong in the home, it can be fixed or replaced by the warranty company with a nominal deductible. 

If you have any other questions about home warranties or you’re thinking about buying or selling a home, feel free to give us a call. We’d be glad to assist you.

Spring 2017 Greater Milwaukee Metro Home Price Update

 

Friends and Clients —

If you are looking to sell your home, then three recent developments make this spring a unique moment to do so quickly and at a top price.

First, mortgage rates have stabilized.
From a low of 3.41% last July, the 30-year fixed mortgage rate spiked up after the election and reached a high of 4.31% in December.
However, rates have stabilized over the past few months, and despite the increase, they are still near historical lows.

Second, jobs are up.

The U.S. Bureau of Labor Statistics reports 235,000 new jobs in February and 2.3 million over the past year. This reflects continuing growth in consumer and business confidence over recent months.

Third, housing inventory is at a record low.

February saw a 17.9% year-over-year drop in the number of homes on the market. This is the 100th consecutive month of year-over-year declines, going back to October 2008.
So what do these three developments mean for you?

First, if you’re looking to sell your house, they mean you will be able to do so quickly.

Demand for homes is strong and will continue to get even stronger due to the growth in jobs and the low and stable mortgage rates.

The statistics bear this out: homes sold within an average 68 days this February compared to 75 days in February 2016.

Second, it means you can expect to sell your home at a top price.

Because of strong demand and low inventory, prices continue to increase. On a national level, home prices rose 6% year-over-year in February. This agrees with what I’ve been seeing around the Greater Milwaukee metro as well.

In short, this spring is a fantastic time to sell your home if you’ve been considering it for a while.

In case you're curious about how much your home is worth in the current market, check out my home value calculator that takes into account recent Greater Milwaukee metro sales:
Enter your street address here to find out what your home is worth
And what if you're looking to buy a home?

The current low mortgage rates are definitely worth taking advantage of, as they allow you to afford a more luxurious home.

Several amazing homes have recently come on the market around the Greater Milwaukee metro area. To see all the homes that are available right now, take a look at this complete listing:

Click here for all available Greater Milwaukee metro homes for sale

Whether you’re selling or buying this spring, just give me a call at 262-797-6453 in case you have any questions. I’m here to help, and I can give you more detailed information about the situation on the ground.

5 Tips for Selling a Home With Pets

If you’re selling your home and you have pets, follow these tips to appeal to more buyers.

I thought I’d take some time today to talk a little bit about selling a home with pets. I’ve got five steps that will help you prepare your home for sale while your pets are living there, too. Whether you have a cat, dog, bird, or any other animal, follow these tips:

1. Get the pet(s) out of the home before showings. Whether buyers love or hate your pet, they are going to be a distraction during the showing. The best thing to do is have a doggy daycare, a family member, friend, or neighbor watch the pet while there is a showing going on. If you have no other option but to keep them in the house, make sure they are put in a kennel.

2. Hide evidence of pets. This includes food and water bowls, leashes, and toys. Eliminate any pictures of your pets and other signs that suggest you have them. 

3. Clean up any pet mess. Be conscious of their hair, stains, and any other damage they may have caused in your house.

4. Remove any odors. Ask your agent or someone who doesn’t come to your house regularly if they notice any pet odors. If they do, fix it. Odors can linger in places like the carpet, a bed, or furniture. Clear those odors out with fresh air as opposed to air freshener.

Odors can linger in carpet or furniture.

5. Prepare your yard. This could be one of the best selling features in your house, so you want to make sure all waste is picked up and repair any damage to  grass.

If you want to sell your home and you have a pet, it’s much easier if you follow these steps. If you have any questions for us, give us a call or send us an email. We look forward to hearing from you soon.

When Is the Best Time to Sell Your Home?

Fall is here, causing many people to ask, “Should I sell my home now or wait until spring?” There are four main reasons why you should put your home on the market this fall.

Fall is here and a lot of people are asking, “Should I sell my home now or wait until the spring?” I believe there are four reasons why it would be better to sell your home now rather than waiting for spring.

In my opinion, the number one reason to sell now is to take advantage of low interest rates. Rates are hovering in the 2.9% to 3.5% range, which is practically free money. I don’t anticipate those rates staying low much longer.

Why not? It’s an election year. I have been through eight elections already and, after each one, rates typically go up. The government holds rates down to make their party more favorable; once the election is over, rates will go up. It is highly likely that rates will be higher next spring. That’s the second reason you should sell now because higher rates do affect your home sale.

Interest rates are low, but they will go back up soon.

Another reason you should sell now is the low inventory. In some of our marketplaces, we’re seeing as little as 30 to 90 days of inventory available on the market. A couple of years ago, those inventory levels were significantly higher, with six months of inventory available. There will be more homes on the market in spring, which means you will wind up competing with more sellers. Since inventory levels are low now, you’ll have a better chance of selling your home.

Finally, in my opinion, the seller’s market is coming to an end. I have been doing this for 35 years and I’ve talked to brokers all over the United States and they agree. In fact, certain markets like California and Florida are already seeing the seller’s market change. Inventory levels have gone up to 180 days and prices are not going up any higer. If you are thinking of selling your home, you should sell now before the seller’s market ends.

In short, selling your home this fall is actually more advantageous than waiting for spring. If you have any questions about preparing your home for the fall market or about real estate in general, give me a call or send me an email. My team and I would be happy to help you!

Milwaukee Real Estate: How to Determine What Your Milwaukee Home Is Worth

 

There are many great Metro area homes for sale. Click here to perform full home search, or if you're thinking of selling your home,click here to contact us for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call us at (262) 797-6453 or (262) 798-1162 for a FREE home buying or selling consultation to answer any of your real estate questions.

Many homeowners want to know what their home is worth before they put it on the market. How do buyers determine the value of your home? In other words, how is market value determined?

First, though, there are a few misconceptions about home value that I would like to clear up:

• Home value is not based on what you want or need to pay off your loan amount. 
• Home value is not based on what your neighbors think you should get for your home. After all, neighbors are biased. 
• Your tax assessed value does not reflect market value. Tax assessed values can be off by as much as 20%. 
• The appraised value is not the same as market value. If you have an appraisal that is a year old, it is based on outdated information. 
• Home value is different from your insurance value. Insurance companies insure the house for the rebuilding or replacement cost, which is much higher than market value. 
• Sites like Zillow cannot determine home value with just a computer algorithm. 

Home buyers determine the market value of your property by looking at the features and benefits of your home (how many bedrooms, bathrooms, square footage, etc.) and compare your property to other homes on the market. They look at recently sold properties similar to yours to see what your home is worth.

What have similar homes in your area sold for?

Real estate agents can help you figure out your current market value. Give us a call if you are interested in a free home pricing report or if you have any other questions. I would be happy to help you!

The Benefits of Using a Home Warranty to Sell Your Home

There are many great Metro area homes for sale. Click here to perform full home search, or if you're thinking of selling your home,click here to contact us for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call us at (262) 797-6453 or (262) 798-1162 for a FREE home buying or selling consultation to answer any of your real estate questions.

What are the benefits of using a home warranty to sell your home?

Our company and team actually use another company called Home Security of America (HSA), and they provide warranties on the sale of existing or used homes. This coverage actually covers all the mechanical systems in a home, such as plumbing, electrical, heating, air conditioning, water heater, and even the appliances that are included in the sale of the home. It covers the buyer for up to one year after closing.

On a single-family home, the cost of the coverage would be $564. If it was a condominium, the cost would be $535. The buyer is then able to extend that beyond a year after they buy it.

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A home warranty makes a buyer feel more comfortable.

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Many of our sellers are using this as a marketing tool to sell their home. If they do provide it up front, the seller actually gets free coverage on items while the home is listed for sale. For example, we just had a client who had a water heater replaced while the home was listed and got a brand new one for a nominal deductible of $100.

There are two main benefits:

• First, it’s a great marketing tool. If your home has a warranty and another competing property doesn’t, that may make the buyer feel more comfortable in buying the one with a warranty. Plus, all new construction has a builder’s warranty for one year.
• Secondly, it adds peace of mind. This is especially true in cases where a seller may have older components in their property, such as an older furnace, air conditioning, plumbing, or electrical. All of that is covered for the buyer for up to one year after closing. They also don’t have to actually replace these components. If you have a 20-year-old furnace that still works, you can keep the furnace and offer a home warranty!

If you have any questions about the home warranty or how the process works, please give us a call at the Roth Team and hopefully we can answer them. Thanks, and have a great day.

How Is Our Market Improving this Year?

There are many great Metro area homes for sale. Click here to perform full home search, or if you're thinking of selling your home, click here to contact us for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call us at (262) 797-6453 or (262) 798-1162 for a FREE home buying or selling consultation to answer any of your real estate questions.
 

The fall is here and we are ⅔ of the way through the year. Today I thought I would give you a quick market update. I’ve been looking at some of the latest numbers and in August 2015, sales in the metro area were up 7% from this time last August! We now have 1,644 homes that have sold so far this year, as opposed to 1,524 at the same time last year. 

I was also looking at the year-to-date numbers, and noticed an even bigger trend. Compared to where we were at this point in 2014, sales are up 16.5%! There have been close to 1,500 more sales this year than last year. At the same time, inventory is declining. There are about 8,523 single-family homes for sale right now on our MLS, down 8% from 9,200 last year.

What does this mean? Well, more people are buying due to confidence in the economy and the fact that interest rates have remained extremely low. If you’re thinking about buying, I would consider making a move now due to the fact that you can lock in an interest rate on a 30-year mortgage for less than 4%, which was unheard of in the past. 

Rates may rise very soon, so we recommend taking advantage of conditions now and making your move while money is cheap. 

If you have any questions for us about the market or how you can succeed in it, give us a call or send us an email. We look forward to hearing from you!

How Much is a relisted Home Worth?

There are many great Metro area homes for sale. Click here to perform full home search, or if you're thinking of selling your home, click here to contact us for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call us at (262) 797-6453 or (262) 798-1162 for a FREE home buying or selling consultation to answer any of your real estate questions.

I've been getting asked the same questions lately from prospective sellers who had previously listed their home, but failed to sell. One question is "Will relisting my home affect its overall value?"

I don't think it does, and here's why. When we relist your home, the "days on market" that shows how long your home has been listed, is reset to 0. So if you had listed your home previously for 100 days and it didn't sell, when we relist it's going to show up like a new listing. Therefore, most buyers will have no idea that your home previously failed to sell. 

Another question I've been getting a lot is, "Would my previous list price affect my home's value today?" It depends. Many sellers improve the condition of their home and that could affect the value positively. The other thing that affects your value is marketing, and if your agent isn't taking the right approach, you won't get as many eyes on the property as you should.

So just because you've listed your home before, it doesn't mean you are doomed to suffer the consequences. Your value will not be affected by anything other than what homes are selling for in your area. If you have any questions for us, feel free to reach out to us via phone or email. We look forward to hearing from you!

Is Your Greater Milwaukee Home Defective?

There are many great Metro area homes for sale. Click here to perform full home search, or if you're thinking of selling your home, click here to contact us for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call us at (262) 797-6453 or (262) 798-1162 for a FREE home buying or selling consultation to answer any of your real estate questions.

Today, I cover what is considered a defect in a property home inspection. Home inspections often take buyers and sellers by surprise, so knowing this information will help you prepare for the process!

According to the WB-11 Residential Offer to Purchase, a defect is a condition that would have a significant adverse effect on the value of the property; that would significantly impair the health, safety, or future occupants of the property; or that if not repaired, removed, or replaced, would significantly shorten or adversely affect the normal life of the premises. Here are some examples:

• Plumbing: This includes leaks and code violations.
• Electrical: If too much power is put to one circuit or if there is illegal wiring, etc.
• Furnace: If you have a crack in the heat exchanger.
• Basement: Cracks in walls or seepage would qualify as defects.
• Roof: Missing shingles is a common defect.

What items are not considered defects? Here are a few examples:

• Cosmetic: Peeling paint, for instance.
• Old systems: Older furnaces, water heaters, and other appliances aren't defects if they're still functional.
• Old roof: The life expectancy of many roofs are 25-30 years, or more in some cases.

Defects that show up on a property inspection need to be disclosed to any other purchaser who might be interested in your home. If you have any questions about the inspection process, or if you need real estate assistance of any kind, give me a call or shoot me an email. I would love to give you a hand!

6 Reasons Overpricing Your Home Will Get You Nowhere!

There are many great Milwaukee area homes for sale. Click here to perform full home search, or if you're thinking of selling your home, click here to contact us for a FREE Home Price Evaluation so you know what buyers will pay for your home in today's market. You may also call us at (262) 797-6453 or (262) 798-1162 for a FREE home buying or selling consultation to answer any of your real estate questions.

 In our current market, where prices are increasing a little bit each year, sellers want to get as much as they possibly can for their home. However, in order to get top dollar, you need to be strategic when putting a value on your property. Let's take a look at the 6 dangers of putting too high a price on your home:

1. Fewer showings: Buyers look in price brackets - if you price your home well above what it's worth, you are losing a lot of potential buyers who will simply pass it up.  
2. Help out your competitors: When buyers pass up your home, they look at other homes on the market. If homes similar to yours are priced much lower, buyers will have no problem making an offer on your competitor's home. 
3. Generate most interest within first 30 days: Starting high and coming down later may sound like a foolproof plan, but you are losing out on a lot of buyers by waiting to price your home fairly. The first 30 days are crucial for generating interest in your home - you don't want to miss that opportunity. 
4. Attract the wrong buyers: Because buyers search for homes according to their price bracket, your home will be compared to homes with more features and benefits. The people that will appreciate your home won't be looking at it. 
5. Your home takes longer to sell: When your home sits on the market for a long time, buyers and agents alike start to wonder if there is something wrong with it.  
6. Buyers negotiate a lower price: Since your home sat on the market for so long, buyers think they can submit a low offer and buy your home at a low price.

Consider these 6 points when putting a price on your home. It's a matter of balancing the desire to get a high price and the need to attract buyers to your home. If you have any questions about the pricing process, feel free to give us a call. We would be happy to assist you in any way possible!