Sellers: How To Have A Stress-Free Move

If you've ever moved and had a stressful experience, or you've heard horror stories from your friends or family when they sold and moved houses, you may wonder if a stress-free move is even possible. The answer is: "You Bet!"

Buying a house is a huge deal. If you've just started house hunting or are already under contract, moving is the next giant step in this process. Moving can be stressful and chaotic. The good news is packing and moving can be relatively effortless with some planning and organization. Use these simple steps to get started:

• Get Organized
  Having a plan is critical if you are going to make your move stress-free. Begin by making a list of everything you need to do and divide it into weeks. Allow yourself enough time to complete all the tasks.
  
  
• Start Packing Well in Advance
  Time is not always our friend. If you can, start packing at least eight weeks ahead of time. (If you have more time — even better.)
  
  
• Don't Move it All
  Instead of trying to figure out how you are going to do it all, first determine if you really even need it. Inventory all of your belongings and decide what to donate, sell or toss and what will actually be moved. Decluttering and simplifying your life can actually help lessen the load, and moving into a new home is a great time to do it.
  
  
• Label Your Boxes
  While tossing everything into boxes and sorting it once you move seems like a great idea, organized packing will pay off in the long run. Label each box with detailed descriptions. Color-coding boxes by room make it easier when it comes time to unpack.
  
  
• Make a Survival Kit
  Just like anyone going on a great journey, it's important to pack a survival kit. In it should be the basic necessities that you and your family will need at some point during the day, the things you just can't make it through a day without. In your kit should be things like:
• Toiletries
• Water
• Snacks
• Phone chargers
  
  
• Get Familiar with Your New Digs
  Familiarize yourself with your new home and community before moving day. Spend some time driving around, determining where grocery stores, shopping areas, and restaurants are located. When moving day comes, you won't waste time searching for hardware stores or places to eat. Spending time in your new home can also help you better envision where your belongings should be placed.
  
  
• Hire a Professional Mover
  Perhaps the most stressful part of packing and moving is the actual process. It's true that doing all the heavy lifting will save on your bottom line, but it's going to cost you in terms of a sore back and added stress. Letting a professional mover handle everything takes a lot of the guesswork out of the process for you and ensures that moving day will go as smoothly as possible.

No matter how you decide to de-stress your moving day, it's important you keep everything in perspective. Don't decide that all your boxes need to be unpacked in one day. Make sure you take time for yourself on moving day to relax and reflect on what you've accomplished.

GOING FORWARD AND SEEING BACKWARD
By Brad Gosslee, President, Coldwell Banker Gosslee

I can talk about the real estate market forever. It's fascinating! There are so many moving pieces and nuances that dictate prices and sales. And I love working with our incredible agents who have a laser focus into what is occurring in specific neighborhoods and price points as they help guide buyers and sellers.

This is one of those times where buyers and sellers really need our agents. Even though it may look similar, what is occurring in the moment is not quite the same as it was just a month ago. At the same time, what has occurred for the last several years throughout the pandemic continues to have incredible ramifications today.

Let's start with the basics. Sales activity remains strong, buyers are active and we still do not have enough homes to meet demand. Far from it. In fact, we are so far behind in that category that it will take us a while to go from our big-time sellers' market to a balanced one. But there has been a change that I want to address. While we don't yet have the supporting evidence in the full statistics, here is what is happening:

• Mortgage rates have risen and now fall in the 5.75% to 6.25% range according to our friends at Fairway Mortgage.
• The monthly payment on a traditional 30-year mortgage is therefore up and could be preventing some from entering the home buying process.
• As we lose some buyers, we are seeing fewer multiple bids and properties with multiple bids. There is slightly less of a "frenzy."
• If a home was priced to reflect the market conditions of even a month ago, the seller may reduce the price.
• Over time, if more homes come on the market, many would likely stay on the market longer. Our supply would eventually catch up to demand.
• Buyers would have more choices and sellers would not have the same competitive advantage they have today.
• Slowly, but surely, we would return to a normalized Northwest Louisiana housing market where we again become a "Steady Eddie" market with gradual price increases.

But we are not there yet! Our sales are just off of record pace, inventory remains incredibly low, and prices continue to rise.

This month's first chart compares Caddo, Bossier and Desoto Parishes to the rest of the nation. Looking at the National Association of Realtors Existing Home Sales Report just issued, we know that the median (middle) price of all homes sold in May was a record $407,600, up 14.8% from a year ago. $407,600! We had an almost identical percentage increase but thankfully our median price is about $153,000 less!

Why have prices jumped so high? Supply vs. demand. In the case of real estate, demand can be measured in sales. Locally, there were 544 homes sold in May, down just one percent while the national levels were off about 8%. But take this in context. This was the second-best May EVER locally! We were six houses short of last May's record of 550 home sales. In fact, the five-year May average is just 479. And, for all of 2022 so far, while down 3% in total sales of 2,267, this was the second best first five months in our region's history.

I wonder how high our sales figures would have been in May IF we had more homes to sell. We entered June with only 802 homes on the market. Here is a quick comparison to show you how low this is:

May 2022:        802
May 2021:        795
May 2020:     1,567 (the pandemic began two months prior)
May 2019:     2,097
May 2018:     2,222

Look at how tight things are at the different price points compared to four years ago:

Inventory levels are probably the most important statistic to watch to gain perspective on the market's future. The 802 listings available at the end of May was more than our record low of 667 in April. While up 20%, these additional homes were gobbled up at record pace. In fact, it took only six days for homes to sell! This is almost 3 times faster than the national mark of 17 days!

I want to zoom in a bit on what is occurring in sales. Several months ago on our next chart, we saw + signs everywhere almost always accompanied with double-digit growth. This was because of the pandemic-fueled economy that brought all-time low mortgage rates along with the work-from-anywhere phenomenon which made our affordable marketplace attractive to so many.

What also occurred was that we saw incredible activity at the higher price points. Because we had so many buying at the lower-end of the market, this allowed move-up buyers to take advantage of price gains and their equity, along with the low mortgage rates. Therefore, the higher-priced homes became scarce too.

At some point, we had to see these sales figures level off as we couldn't keep going up forever. And that's what has occurred, especially at the lower ends. But remember, even though our May sales are down, they are down of incredible highs.

For the market to even out a bit, a reduction in the buyer pool will need to be met with more homes on the market. Otherwise, we likely won't notice a dramatic change in a shift to a more balanced market.

There is an adage in real estate that "you won't know the market has hit the top until we've passed it." Unfortunately, we likely had a lot of sellers who were trying to "time the market" and sell at the peak. My guess is that because of the rising mortgage rates, that time has passed. It will be interesting to see if this group decides it is time to list as they can also take advantage of greater home supply in their next destination – if they are leaving Northwest Louisiana and our slice of heaven.

This leads to one more adage - "sellers are usually the last to know." This refers to the fact that sellers will often believe their home is worth more than it is. Remember, the sales price will always reflect what an "able and willing buyer will pay." Our agents are working hard with their current and prospective buyers on the subtleties of today's market. When you see price drops, its usually indicative that the home was priced too high at the start and/or it was caught in an unforeseen market change (i.e., rising rates).

That's why looking at the list-to-sales price ratio is another great indication of the market's strength. Real estate agents strive to be as close to 100% as possible. For example, if a home is listed for $400,000 and sells for $400,000, that is a 100% list-to-sell ratio. If it sells for $390,000 that is a 97.5% ratio.

Our agents have done an incredible job in counseling sellers. We entered June with the region's agents coming in at 99%. I do expect this number to drop simply because it will take a while to adjust to a potentially changing market especially if mortgage rates bounce around a lot.

Therefore, I'm going to strongly suggest that EVERY potential buyer and seller speak with one of our agents. Get your questions answered. Gain a perspective of the state of the market.

Buyers can learn about how much they can afford and how to best work with a lender to learn about different mortgage options that can help get monthly payments where they need them to be. Remember, there are plenty of choices beyond a 30-year-fixed rate mortgage which became even more popular because rates have been so low. As they rise, the options are important. And, because we still have multiple bids occurring, our agents are preparing their buyers to effectively compete.

Sellers also need to learn how to effectively price and prepare their home for sale so it commands top dollar. We also must prepare for a day when homes don't sell as quickly as they are today. At the same time, as market conditions change beyond Northwest Louisiana, our agents are connecting sellers with agents in other cities who can provide insight about what's occurring in that next destination.

Buying, selling and moving are never easy. There are multiple emotional and financial decisions along with numerous steps. Doing it in a market like this is even harder. It's important to remember that there are no dumb questions. And we are here to help!

CLICK HERE to view the full May 2022 Residential Real Estate Market Report for Shreveport/Bossier City, LA. Please reach out to one of our agents or feel free to reach out to me at bgosslee@cbgosslee.com with any questions.

Hope you are enjoying the "official" start of summer!

How to Plan the Perfect Picnic

Here are a few fun and inspiring ways to help you plan the perfect picnic this summer.

First, you're going to want to make sure you have something to carry your food and beverages in. There's something really nostalgic and charming about those classic woven style picnic baskets. But don't worry if you don't happen to have one, a cooler, backpack or large tote will also do the trick. Whatever you choose, you'll just want to make sure that you can keep food and drinks cool.

When you think about picnics, you most likely think about an outdoor blanket that you can sit, eat and relax on. If that's your preference just make sure it's durable and can be rolled and unrolled easily. If you want to make sitting on the ground a little more enjoyable, then pack some decorative pillows to add both comfort and style to your picnic. Another great option is to bring along a few folding chairs that are easy to transport and set up.

You may also want to consider bringing a grab-and-go style picnic table. These lightweight, easy-to-carry tables feature folding legs – some even include handy slots for wine glasses. And lastly, you don't want to forget utensils and dinnerware. Make sure you they're durable and can withstand being packed and dropped.

When it comes to the menu, you can keep it light and simple. Easy sandwiches, chips or pretzels, some cheese and fruit and refreshing drinks like homemade lemonade help complete the perfect picnic. Or you could go all out and get creative with a beautiful charcuterie board with your favorite meats, cheeses and chocolates. You can even add some decorative greenery and flowers to make it a little more Instagram-worthy.

Sunny warm days are the perfect excuse to ditch the dining room and dine alfresco, just don't forget to bring a book or a frisbee!

Staging Tactics That Are Proven To Wow Buyers

If you're planning to sell your home, consider staging it. From decluttering and cleaning to rearranging and styling, successful home staging can make you money. In fact, according to the National Association of REALTORS®, most sellers' agents agree a well-staged home increases the dollar amount home buyers offer.

If you are an HGTV fan, you know home staging is when the "pros" go through a home clearing out the clutter, highlighting its strengths, and presenting each room in the best light that will attract the largest group of potential home buyers.  

But, do you need to hire a professional stager? Maybe not. Use these six tips to manage the styling and upgrading of your home to fetch a higher sales price.

1. Ban the Clutter
   Nothing turns away prospective buyers quite as quickly as clutter. For some buyers, clutter makes it impossible for them to see the home because all they can see is the mess. For others, clutter makes them feel as if the home does not have enough space for their own needs because it does not have enough room for yours. Clear away the clutter, so the home's spacious design shows through.
   
   
2. Spruce up the Front Door
   When selling your home, the front door of your home is the first thing most people notice, so make sure it really shines. Give it a fresh coat of paint, add some outside, potted plants, and a new rug. If the front door is inviting and welcoming, the home will sell faster and for a better price.
   
   
3. Place Furniture Strategically
   The placement of your furniture can add to or detract from your home. In the main living areas, put the furniture into conversation groupings rather than pushing it up against the wall. Then, in other rooms, make sure the furniture accentuates the home's positive features while drawing the eye away from negative ones. Remove some furniture, if needed, to help the room look as large as possible.
   
   
4. Spruce up a Neglected Bedroom
   Do you have a guestroom or a master bedroom that you've neglected over the years? Take some time to spruce it up. Transform the guest room into a kid's bedroom (even if you don't have kids) to make the home appealing to families who do. Make sure the bed is the focal point of your master bedroom space. Aim for symmetry where clutter rules. With these tips, your home will be much more appealing.
   
   
5. Add Lighting
   Most homes do not have the right amount of lighting for proper home staging techniques. Even if your home has plenty of natural light, you want to ensure that you have 100 watts of lighting for every 50 square feet of living space. Adding lighting on multiple levels of the room, including overhead lights and table lamps, will make the space feel warmer and inviting.
   
   
6. Clean and Organize the Kitchen, Inside and Out
   The kitchen will make or break your home's ability to shine, so spend a significant amount of time here as you stage the property. Make sure you clean it well and pack away all clutter so the countertops can be clear. Then, clean out each cupboard and pantry to make it look like it has plenty of storage space. Remember, potential buyers will be looking inside these spaces. Finally, update any outdated appliances and cover any ugly cabinets with a fresh coat of paint. Don't forget to invest in a new sink faucet if an upgrade is needed.

In a competitive market or in a situation where you need to sell your home quickly, staging is the key. Keep these tips in mind, and don't be afraid to talk to a professional stager. Often, the cost of professional staging is made back with a higher sales price and less time on the market!

Make Buyers Fall In Love With Your Home With These 5 Tips

When you're selling your home, first impressions are everything. Typically, each home buyer is looking for something different in the house they buy. However, there are common problems that will make them walk — and, maybe, even run — out of your home if they see them. The good news is there are several things you can do to make buyers fall in love with your home.

1. Boost Your Curb Appeal
   Start with your yard. You won't believe the difference mowing your lawn, trimming hedges, picking up toys, adding fresh mulch, and raking leaves make. Best of all, improving the visual appearance of your yard doesn't cost you much. Just remember, once you're committed to selling your home, you'll need to stay on top of lawn work until the property has sold and is no longer your responsibility.
   
   If you have a plain yard, you should consider adding one or two flower beds or planting an ornamental tree to spruce things up.
   
   
2. Tweak the Interior
   Take a look at the interior of your home. Is the paint chipped, streaked, or just tired looking? Do the fixtures and door handles match? Are the outlet covers and light switches working properly?
   
   The odds are good that when you look at the interior of your home through the eyes of a prospective buyer, you'll realize that things are a bit dated. Now that you're selling your home, it's time to change that. A quick run to the hardware store for updated door fixtures, outlet covers, and paint won't cost too much. With a weekend's worth of work, you'll have given the inside of your home a facelift and made it more appealing to buyers.
   
   When choosing fixtures and, more importantly, paint, stick to neutral options.
   
   
3. Upgrade the Kitchen
   Buyers have said that the kitchen was what made them decide to place an offer on a home.
   
   If you're on a shoestring budget, you'll want to devote your funds to:
   
   - Ensuring the plumbing works perfectly,
   - Repairing and/or replacing damaged cabinet doors,
   - Making sure the kitchen is well lit,
   - Repainting,
   - Relining the shelves/drawers,
   - Refinishing hardwood floors,
   - Cleaning grout and re-grouting any damaged/crumbling grout.
   
   If you have more money to devote to upgrading the kitchen, consider:
   
   - Replacing older countertops with new granite countertops,
   - Upgrading to energy-efficient appliances.
   
   
4. Ceilings
   If your home was built prior to the 1980s and has a popcorn-finished ceiling will want to have it tested for asbestos. If the test is positive, you'll want to replace the ceiling before speaking to a real estate agent. Now that buyers understand the potential health risks connected to asbestos, they won't consider a home with the material.
   
   Even if the test comes back negative, you should still consider having the ceilings replaced. Not only does the popcorn finish give the house a dated feel, but it's also extremely difficult to keep clean or paint, which serves as a turn-off for any prospective buyers.
   
   
5. Remove the Clutter
   It's difficult for prospective buyers to fully appreciate the full potential of your home if it's full of clutter, so after deciding to sell your home, put any items you can temporarily live without into storage.

With these tactics and fixes, there's no doubt buyers will fall in love with your home. Ask your real estate agent for more tips on how to get the most out of your sale.

What Exactly Is An Investment Property?

Investment properties and vacation homes might seem like similar concepts — after all, they're both great ways to grow wealth and expand your real estate portfolio. But did you know these two terms have significantly different meanings? The distinction is actually pretty important when it comes to financing, and it really comes down to how you intend to use the property. If you've been thinking about purchasing an investment property, here is what you need to know:

What Is An Investment Property?
An investment property is a property that you purchase with the intent of generating income. In most cases, this means serving as a landlord and renting the property out to tenants. In other words, an investment property may be a business, while a "vacation home" or "second home" is another property away from your primary residence that you use for visiting or living in part-time.

While it's certainly possible to purchase a vacation home that you occasionally rent out, it's important to define the home's primary purpose when seeking financing. Trying to pass an investment property off as a vacation home for the purposes of achieving better mortgage rates can lead to severe legal consequences.

What To Look For In An Investment Property
While a second home or vacation home is often selected based on location and amenities, an investment property should be evaluated on the potential to generate a return. As a result, you'll want to consider features that can help you achieve higher rental income, such as size, parking, amenities, crime, and public transportation. Look into average rent for similar-sized properties within the same area to get a sense of how much you'll be able to charge. You'll need to have a solid business plan when applying for a mortgage on the investment property.

How To Finance An Investment Property
Financing an investment property is a bit more complicated than securing a mortgage on a primary residence or second home. For one, lenders typically require a higher down payment (at least 20%) for an investment property, and there isn't much flexibility here.

Also, because you're going to be making a profit on the property and because the transaction is much riskier, lenders won't hesitate to charge significantly higher fees and interest rates. Your lender also may require that the investment property be located within a certain distance of your primary home.

Tax Implications Of An Investment Property
Owners of primary residences and vacation homes can deduct mortgage interest from their taxes, and investment property owners can do the same. However, investment property owners have the added advantage of being able to deduct many other expenses associated with the property as they technically qualify as business expenses. However, your rental income will also need to be reported too.

Investing in real estate is a great tool for securing long-term financial stability. While financing is a bit more expensive than a vacation home, you also stand to make a larger profit if you're purely operating the property as a rental.

Military Veterans: The Best Tips For Buying A House

A Veteran's Administration loan is one of the most generous benefits offered to America's military veterans. In fact, many veterans find the VA loan a better proposition than conventional real-estate loans and even other government-funded mortgages.

Perhaps the major advantage of a VA loan is that there's no need for a down payment. Generally, conventional loans call for a down payment and may cover only 80 to 85 percent of a home's value.

A VA loan can allow veterans to buy homes when they don't otherwise qualify for a conventional loan. Backed by the U.S. Department of Veteran Affairs, these loans let homebuyers get lower rates and qualify for a more expensive home than they would otherwise. Further, veterans can qualify with lower credit scores, and will not have to pay Private Mortgage Insurance (PMI).

An additional bonus for veterans who receive monthly disability benefits is that they don't need to pay the VA funding fee, which can be from 0.5 to 3.3 percent of the overall loan. 

Here's a look at who can qualify for a VA loan, and how to go about it. 

Eligibility for a VA Loan

Who is eligible for a VA loan? A Certificate of Eligibility, or COE, will be given to veterans or family members who meet one of these requirements:

• Served 90 consecutive days of active service during war;
• Served 181 days of active service during peacetime;
• Has been an active member of the National Guard or Reserves for 6 years or more;
• Was married to a service member who died in the line of duty or from a service-related disability.

To receive this COE, apply online, or mail in an application. 

Requirements for Getting a VA Loan

As mentioned above, veterans with lower credit scores can qualify for a VA loan. Nevertheless, there are some requirements for getting a VA loan, such as these:

1. Enough income to afford the home.
2. Reasonably good credit scores.
3. Application for a VA Home Loan Certificate of Eligibility.
4. Have all necessary military documentation, including the DD214, which is issued when a service member leaves the military.
5. According to the VA website, certification that the buyer will occupy the home.

Find a Real Estate Agent Who Knows VA Loans

Homebuyers seeking a VA loan should see real estate agents who are familiar with the VA loan process. This is particularly important when it comes to the fees involved with VA loans. The VA funding fee is a one-time payment. It is owed by the veteran on a VA direct home loan or a VA-backed loan. This fee helps lower the cost of the loan for U.S. taxpayers since the veteran doesn't have to pay down payments or monthly mortgage insurance. In most cases, veterans with disabilities are exempt from this fee. 

What's more, an agent with VA loan experience won't waste your time with purchases that you can't buy with your loan. They can also have an advantage when it comes to negotiating with the seller's agent. They may be in a position to explain a veteran's story and appeal to the heart of a seller weighing several offers.

Other Loans

You of course can also look at other loans, either through the Federal Housing Finance Agency, which includes the mortgage-loan lenders Freddie Mac and Fannie Mae. There may also be some government-funded loans to pursue through agencies such as the U.S. Department of Agriculture or the Federal Housing Administration.

Good luck on your road to homeownership. If you're a veteran and are ready to pursue a VA loan, consult your VA Benefits Advisor today. 

Are You Ready To Be A Homeowner?

Buying your first home is a rite of passage that many people dream of. However, before you take the plunge, it's important to make sure you're really ready. Your finances have a lot to do with it, but it's not the only thing you'll need to consider.

Here are five important questions to ask yourself before you buy your first home.

1. Are You Ready to Settle Down? 

This may be the most important question of all. It's completely normal to try living in a few different areas before you're ready to put down roots. However, you won't want to consider buying a home until you're fairly sure you plan to stay where you are for a significant amount of time. 

Ideally, you'll want to commit to staying in your new home for at least seven to ten years, as this is roughly one full cycle of the housing market. 

2. Do You Have Stable Employment? 

It will be easier to get a home loan if you've been in your current job for at least two years. More importantly, you'll want to know you can count on your current income before you commit to buying a home.

An unexpected job loss can completely upend your life. The loss of income could potentially cause you to have difficulty paying your mortgage. You'll also need to find a new job that's reasonably close to your new home. Otherwise, you may need to sell your home before you're ready or deal with renting it out.

While it's impossible to predict the future, make sure you feel fairly comfortable about the stability of your job before you consider becoming a first-time homeowner. 

3. Are You Financially Prepared? 

When deciding whether you're ready to buy a home, you'll need to take a close look at your finances. Make sure you have enough saved up for your down payment, your credit score falls within acceptable ranges, and you have an emergency fund.  

It's a great idea to meet with a lender before you start your home search. This will allow you to have a solid understanding of how much you can really afford and what you'll need to bring to the table when you close. Having a pre-qualification letter will also increase the chances that the seller will accept your offer.

4. Are You Ready for Maintenance and Upkeep? 

Remember that you'll need additional money beyond what's necessary to purchase your home. There's also the cost of keeping up with repairs and maintenance. This may include everything from maintaining your lawn and landscaping to the occasional need for a plumber, electrician, or handyman. 

Caring for a home is also a labor of love. Make sure you're willing to put the time into keeping it looking nice and taking care of any small issues before they can turn into big problems.

5. Are You Looking for More Stability? 

Buying a home allows you to settle down in a way renting simply can't. When you rent, there's always a chance your landlord could raise the price or even decided to sell.

As long as you make your mortgage and tax payments, no one can make you leave a home you own. This will give you a strong sense of security.

When you're not worried about housing, you can also put more effort into focusing on other parts of your life — like getting that promotion, spending time with your loved ones, and getting more involved in your community.

If you answered "yes" to each of these questions, congratulations! You're both mentally and financially ready to buy a home. Soon, you'll get to enjoy one of the most satisfying adventures of your life.