November 2017 Greater Cincinnati Luxury Real Estate Market Report
As is to be expected during the holiday season home sales begin to slow down as fewer luxury homes are bought and sold. Fewer sellers are looking to put their homes on the market during the holiday season due to travel or family visit plans.
The upcoming tax bill making its way through congress could change the landscape of real estate by eliminating or limiting mortgage interest deductions as well as increasing the time required for a home seller to be in a home to get a tax break on any gain from the sale of their home. Currently a homeowner must live in a house for at least two of the last five years to be entitled to a tax free gain from the sale of $250,000 for a single person and $500,000 for a married couple. In the tax law as proposed the timeframe would change to require homeowners to live in the home for at least five years out of the last eight years. That change in time required to live in a home could potentially slow down housing sales since people will have to stay longer in the home if they want to sell and not be taxed on the gain. Ultimately what the final tax bill says still remains to be seen as the U.S. Senate and House of Representatives are still negotiating a reconciled bill to send to the President.
Consumers Shift To High Gear, But At What Cost? by Mish Shedlock
Relocating to Cincinnati, Ohio? 14 Reasons You’ll Love It!!!
Planning on relocating to Cincinnati, OH? Here are some reasons why you will love the Greater Cincinnati Area which encompasses parts of Indiana, Ohio and Northern Kentucky. You can travel between the three states and still be close to your home. Cincinnati has lots to offer for anyone looking to relocated here, where you want hip uptown living, suburban neighborhoods or rural living. Be sure to check out the Cincinnati Life Facebook group to get up to date information and check out the wide range of homes for sale in Cincinnati and Northern Kentucky.
Cincinnati has a vibrant community with plenty of places to go, meet and be social. Whether you want to join a local club, attend classes to enhance your knowledge, attend the theater, or more you are bound to find someone with mutual interests. The different neighborhoods in Cincinnati have a lot of different options to offer. Whether you want the Downtown Cincinnati feel, the Over The Rhine hip place to be, or prefer a more relaxed living in neighborhoods like Anderson, Delhi, Alexandria, Florence or more Greater Cincinnati has what you are looking for.
2. Cincinnati Is A Food Lovers Paradise
For the past few years a number of Cincinnati eating establishments have been ranking...
What Is The Purpose Of The Final Walkthrough When Buying A Home?
After an offer on a home has been made, appraisal completed, inspection done and repairs negotiated, one of the last activities done prior to the actual closing on the home is the final walkthrough. While a final walkthrough is not required it is highly recommended and serves a great purpose both for the home buyer as well as the home seller. In the final walkthrough a homebuyer makes one last tour of the home in order to see the condition the home will be in once the buyer takes possession. If there are major issues found during the final walkthrough then the buyer can refuse to close which means the transfer of ownership will not take place. Usually the closing is put on hold until the issue is taken care or although in the rare occasion a closing can be completely called off if something substantial is discovered during the final walkthrough.
After closing and taking possession of the home the buyer is generally responsible for everything associated with the home. Of course if the seller failed to properly disclose an issue that should have been disclosed then the buyer may have recourse against the seller, but that is a topic for another article. In this article the importance of the final walkthrough is explored along with suggestions for both the homebuyer and home seller as to what they should be doing prior to and during the final walkthrough.
How Should A Homebuyer Conduct The Final Walkthrough?
The final walkthrough is not a time to have another home inspection and look through the home with a fine tooth comb. A home inspector could be brought along to inspect a home being...
How Residential Real Estate Differs From Commercial Real Estate Transactions
When people hear the term real estate it is often meant to cover broadly real estate in general. Basically the land and anything attached to the land like a building, home, factory, warehouse or something else. Within the real estate world itself residential and commercial real estate are generally looked at differently. Frequently agents specialize in residential or in commercial real estate since the way each are sold can be quite different. Residential real estate often has many more federal, state and local laws and regulations that govern the transaction whereas commercial real estate usually does not have as many restrictions. This article takes a look at some of the differences in residential and commercial real estate.
Financing Differences Between Residential and Commercial Real Estate
One of the big differences encountered in commercial versus residential real estate is that with residential real estate there are a number of government programs and loans that allow buyers to purchase residential real estate for low to zero money down and have low interest rates. With credit scores as low as 580-600 in some cases homebuyers can buy a home with little money down with a 30 year fixed rate mortgage. With commercial real estate on the other hand buyer’s credit scores are closely looked at and lenders want to see strong credit as well as sufficient assets to protect in case of default on the loan. Commercial lenders do not have the same government loan programs and instead will offer loans with high interest rates and shorter terms...
Great Local Cincinnati Charities To Know About For #GivingTuesday
After Thanksgiving comes Black Friday, Small Business Saturday and then Cyber Monday. Black Friday, Small Business Saturday and Cyber Monday are all about buying something at a discount or buying local in anticipation of the upcoming holidays of Christmas, Hanukah, Kwanza, Festivus and more. Another day for consideration is #GivingTuesday. With #GivingTuesday the idea is to contribute some money to a charity of your choosing so those who are in need can benefit as well from the holiday season. Being a personal fan of local charities I have compiled a number of local charities in this article that operate in both the Greater Cincinnati, Ohio area and Northern Kentucky. Take a look at the great things these local charities are doing and consider donating to them or becoming a volunteer.
La Soupe located at 4150 Round Bottom Road Cincinnati, OH 45244 and helps people get nutritious meals. Founded in 2014 by Chef Suzy DeYoung the goal of La Soupe is to repurpose excess food (that would otherwise be thrown out) to create tasty and nutritious soups and meals for those in need. Currently La Soupe rescues approximately 5000 pounds of food per week and with that is able to feed 2000 children in and around the Cincinnati area. La Soupe recently sent 23,000 pounds of food to assist with hurricane recovery efforts in Houston, Texas.
Not only does La Soupe give soup to those in need they also sell their soups to anyone wanting to buy their delicious soups. So...
Tips For Selling A Multi-Family Home
Many out of state buyers are looking to make a purchase of a multi-family building here in Cincinnati, Ohio and Northern Kentucky due to the lower cost as compared to other states. With the lower cost and higher Return on Investment (ROI) out of state investors are lining up to purchase great cash flowing properties and as a result Greater Cincinnati multi-family properties are at 5-7 year highs. While demand is high that does not mean multi-family building owners can expect a cake walk when it comes time to sell. Multi-family building owners still need to prepare their buildings so that they attract buyers who want a ready to cash flow building as opposed to those buyers looking for a bargain. Bargain hunters will only be interested in a building if the price is in the bargain range.
A multi-family home is a building that allows for two or more families to live together in separate apartment/living spaces but generally under one roof. Conventional mortgage financing can be used for multi-family buildings when there are no more than two to four units in the building. Anything more than four units requires commercial lending products in order to purchase. Due to the allowance of conventional mortgage financing for 2-4 family buildings buyers can actually buy one of these buildings as owner occupied and pay a lower amount for down payment (anywhere from 0% to 5% depending on the loan program). If a buyer does not intend...
What To Consider When Buying An Older Home
Depending on location, sometimes the only options available for a home to purchase are homes older than fifty years old. Homes older than fifty years old have their own unique architecture, design, and build condition and for many homebuyers the unique charm is what draws them in. Prior to buying an older home, homebuyers would be wise to read up on all the different issues they may encounter in an older built home so that they can better be prepared to identify if updates have been made or old conditions still exist that may need ongoing monitoring or updating.
THe Home's Electrical System
Modern homes have electrical boxes with breakers rather than fuses and use copper wiring to run electricity to the various parts of the home. When older homes were built in the past often times the electrical wiring consisted of knob and tube wiring or aluminum wiring with a fuse box. Additionally prior to 1959 the use of a ground wire was not required in homes. A ground wire allows electricity to travel into the earth (ground) in the event of a short circuit as opposed to shocking the person flipping a switch or plugging in an electrical device.
A fuse box acts much as the circuit breaker boxes do today in that if too much power goes through the line a fuse would burn out stopping the flow of electricity. With a fuse box the fix was to replace the burned out fuse with a new fuse. Current circuit breaker boxes only need to be reset once and as long as the high power surge has stopped the power will start flowing again as normal. If an older home does still have a fuse box then homebuyers should have it inspected...
The Top 10 Highest Priced Homes For Sale Today In The Greater Cincinnati Area
Cincinnati is the third largest city in Ohio and the Greater Cincinnati Metropolitan area covering Ohio, Kentucky and Indiana is the largest metropolitan area in Ohio and the 27th largest metropolitan in the United States. The Greater Cincinnati area has a unique variety of architecture and the homes offered in Cincinnati are no different in their unique style and features. You can find 100+ year old one of a kind homes in different neighborhoods in Greater Cincinnati as well as brand new homes with modern design.
The Greater Cincinnati is no stranger to luxury homes and has many luxury apartments, condominiums, and homes to choose from. The neighborhoods these homes are found in are in and around the Greater Cincinnati area and represent the best the city has to offer. These homes offer some of the latest and greatest in luxury as well as technology and are found in these neighborhoods:
What began as a farming community in 1904 the Village of Indian Hill later was reshaped into more of an area for large estates. The homes in Indian Hill represent some of the best of what Cincinnati has to offer. In 2002 the Robb Report rated Indian Hill, OH as one of the best places to raise a family. Of the top ten priciest homes in the Greater Cincinnati area Indian Hill has 7 homes on the list.
October 2017 Greater Cincinnati Luxury Real Estate Market Report
The October 2017 luxury real estate market showed a slight uptick in sales and median price in the Greater Cincinnati area. The last quarter of the year is typically the slowest of the year when it comes to housing sales as fewer people are interested in moving during the cold months and holiday gatherings can interfere with the process of selling a home. Look for the current trend to continue throughout the rest of 2017. A Federal Reserve interest rate hike may start some movement in the housing market in one direction or the other. Consumer spending has increased but it has come at the expense of consumers tapping spending at record levels since 2009 which cannot lead to a sustainable expansion. Check out the links below for more details.
When It Makes Sense To Not Use A Real Estate Agent
While most real estate agents are licensed under their state laws many agents jump into the business in hopes of easy money and little work since the barrier to entry can be quite low. In fact the opposite is true. Many agents who jump in thinking there is a lot of money to be made in real estate quickly realize that just like any other job they only get out what they put into it. As a result homebuyers and sellers will find many agents who are lacking and not willing to do all it takes to make sure their client’s needs are put first. Whether it be the agents who don’t return calls, don’t respond to emails or live in the stone age and still rely on fax machines and want ink signatures on paper forms they have to hand carry everywhere, it is not benefit to someone wanting to buy or sell real estate to have to deal with that. Real estate transactions can be done in pretty much most states without the use of a real estate agent and this article explores where doing things on one’s own can be an option.
Renting A Home
One of the most common times where a real estate agent may not be needed is when a homeowner is wanting to rent their home out. There are many national and local websites that allow owners to post their vacancies for rent without the need for a real estate agent. Some of these sites may even provide generic lease documents for property owners to use, though it should be cautioned that local laws often control specifically the way residential leases can be written so it is best to consult with a local real estate attorney to make sure the lease used meets...
How To Recover From An Expired Home Sale
So your home has been on the market for three to six months and for whatever reason did not sell within that time frame. The current seller’s market means homes are selling briskly in many markets with more buyers than there are home sellers so given the right conditions homes are selling. Homeowners needs to set their home up under the right conditions as well in order to get sold. Often times those homeowners who try to sell their home in haste without full preparation will find themselves behind the curve when compared to other homes. That combined along with a mindset that is not exactly willing to adapt and change as needed means the home will sit on the market with little to no interest from homebuyers.
Failure In Home Preparation
One of the more common areas where a home does not sell during its listing period is due to inadequate home preparation. There are many steps that need to be taken in order to get a home ready for sale. Depending on the age of the home and the time the last update was made in the home there may be a lot of improvements needed in order to bring a home up to current market standards. A majority of homebuyers are looking for move-in ready homes. A home is move-in ready when a homebuyer can purchase the home, move all their furniture and belongings in and not have to worry about making any updates for a number of years to come.
Therefore homeowners need to take the proper steps to make sure their home is move-in ready if they want to get...
How To Make Your Luxury Home For Sale Stand Out Against The Competition
As is often the case there are a multitude of luxury homes available for sale on the market. As a result the luxury homeowner who is able to make their home stand out has a better chance of being noticed by buyers. By being noticeable for a home’s features or price means buyers will be ready to take the next step and visit a home in person which in turn increases the chance of a home selling. This article explores some excellent tips for how luxury homeowners can help their home shine above other homes on the market.
Pricing Is Critical
Getting the price of a luxury home correct is probably the most important thing a homeowner can do. If a home is overpriced homebuyers will not be interested in making an offer regardless the amount of marketing done for the home. Luxury homebuyers (and most homebuyers in general) are very judicious with their money. They do not want to overspend on a purchase where they don’t have to. The luxury homebuyers are also looking at multiple houses to see what can best fit their needs and therefore understand where homes are overpriced and where homes are correctly priced.
One of the best ways to obtain the value of a home is to have a third party appraisal done. With an appraiser providing the value of a home there is less likely for there to be the chance of a real estate agent inflating the price as a business acquisition strategy. An overpriced listing is not likely to sell very quickly and is more...
Selling a luxury home involves more than just listing the home on the Multiple Listing System (MLS) and hoping it will sell. This listing presentation is presented by Luxury Realtor Paul Sian and shows the way I will assist luxury homeowners to help sell their home.
View the slides:
Download The Listing Presentation
Ready to get your home sold? Please contact me using the form below or call or text me at 513-560-8002 or email me at Paul@CinciNKYRealEstate.com.
What Can Happen When You Get The Price Wrong On Your Luxury Home
Setting the right price for a luxury home is one of the most critical aspects of selling a home. Setting a price too low and the homeowner is walking away from money they could have otherwise added to their own pocket. Setting a price too high and no amount of marketing will help get that home sold. The price of a home is determined by what a ready, willing and able buyer offers for the home. The amount invested into a home, the amount originally paid for a home or the amount owed on a mortgage does not really play into the actual price a home will sell for. Sure those items may factor into the homeowners equation as to whether it makes sense to sell the home or not, but it does not set a home’s price.
Take for example a high end luxury home purchased for over one millions dollars and located on a hillside with a great view of the city. If the home has been kept in excellent shape, updates been made as needed, repairs done on a regular basis then the home still will only fetch what the current market indicates. If the real estate market is strong and there are plenty of buyers then the chance of the home selling for more than it was purchased for may be good. On the other let’s say that same home had one quarter of the house shift downward resulting in major structural issues due to improper construction on the hill side. The home may have been purchased for more than one million dollars but due to the current condition no one will pay that much. While the hillside shift...
The real estate market continues to show signs of softening as pending home sales all over the US are on a downward trend. Even with interest rates as low as they are home inventory remains tight and it could be possible that buyers are beginning to also pull back and wait until housing is more affordable. Millennials with their current debt levels and attitudes that are not necessarily for homeownership could play in to the coming months as the real estate market sorts itself out.
An interesting article about homeownership in Australia tells of homeowners who could not afford an extra $100 in mortgage payments if interest rates were to rise. The same could happen in the U.S. if interest rates were to rise which would cause pressure on those with adjustable rate mortgages (ARM) and limited time interest only mortgages. The Federal Reserve has indicated a desire to raise rates but whether they are actually able to do so remains to be seen. Higher priced luxury homeowners who are looking to sell should try to sell now rather than waiting to see if buyer interest comes back.
Buying A Home With A 203(K) Rehab Loan
Sometimes homebuyers may come across the fixer upper home and after repairs would appear have a good investment on their hands. Whether the homebuyer is handy or not at self-repairs they could get enough money to buy the home and make the repairs all with one mortgage loan. The Federal Housing Administration (FHA) 203(k) mortgage loan allows homebuyers or homeowners to finance the cost of repairs into their total mortgage amount. There are two programs for homebuyers and homeowners, the limited 203(k) mortgage program which allows up to $35,000 worth of repairs and/or upgrades to be added to the total loan amount. Under the full 203(k) mortgage the cost of repairs/upgrades must at least total $5,000 and the upper limit is the total limit allowed for any FHA mortgage based on the area the home is located in.
As mentioned above the money does not need to be used for only repairs to a house. The money can also be used to make updates to a home such as upgrading an outdated kitchen, replacing an old roof, making energy efficiency upgrades (solar, geothermal) and more. The FHA 203(k) mortgage helps homeowners and homebuyers boost the value of homes and as a result local neighborhoods by allowing the upgrading or updating of homes needing it.
Who Can Use A 203(k) Mortgage To Purchase A Home?
The answer to the question of who can use the 203(k) mortgage to buy a home is only a homebuyer who will be occupying the home as their primary residence can use the loan. Investors who will not be occupying the property need not apply. On the other hand if a homebuyer...
What Is A Buyer’s Persona and Why Should Home Sellers Care
In marketing speak a persona is a particular set of customers that are grouped together in order to better sell to them. Home sellers would be wise to understand what type of persona would be interested in buying their home. For instance if one is selling a luxury home marketing to those who are luxury home buyers makes the most sense and represents the most effective use of marketing dollars versus marketing to everyone and anyone that wants to buy a home. With luxury homes costing what they do it does not make sense to market to those who are looking for an entry level starter home. Home sellers need to focus on the right persona in marketing their home and as a result there is greater chance the right buyer will come along ready to make an offer.
How To Target The Right Buyer
Given an unlimited amount of money for marketing purposes home sellers and/or real estate agents can advertise a home for sale all over the world without regard to who is seeing the message. The reality is there is a limit to the amount that can be spent on marketing and as a result those marketing dollars need to be effectively spent to target the right buyer who would be interested in buying the home. Therefore it makes sense to figure out who the ideal homebuyer is and where do they go to find information on homes they potentially want to buy.
A majority of buyers (more than 80%) begin their home shopping online. What that means is in some form or another they are actively looking for homes via their laptop/desktop computer, tablet or mobile phone. The traditional locations to find homes...
Homeownership Facts To Be Aware Of
There is much more to owning a home than just making a mortgage payment. If homeownership just required the payment of a mortgage payment and nothing else then many more individuals would opt to buy a home. Those who do own a home should be aware of all the aspects that are involved with homeownership especially since neglecting some of these areas can result in loss of one’s investment in the home. This article explores a few important areas where homeowners should keep up to date with in order to protect their investment.
Updating A Home
A home will requires updates throughout the time a homeowner is living in it. Some updates may be cosmetic like fresh paint, updating landscaping, adding new window treatments. Other updates may be required out of necessity such as replacing outdated HVAC systems that no longer function or function with very poor efficiency. Replacing the roof on a home also would be required in order to maintain the habitability of a home. If a roof can’t do its job of protecting a home from the elements the rest of the home will quickly degrade as the weather does its damage. Other updates like remodeling a home to change the floor plan to something more modern or to remodel a kitchen to change its look and style also are done by some homeowners.
Where updates like replacing an old worn roof, replacing inoperable HVAC systems or water heaters are required in order to keep a home livable other updates like a kitchen update, window treatments, or more are not required as they don’t effect the livability of a home. Those non-required updates though may be needed in order to maintain the value of a home. ...
Preparing Your Home For A Quick Fall Sale
Whether your home is making its debut for the first time on the market in the fall or maybe needs to be re-listed after having expired with no offer getting the home marketing presentation done right can help ensure success. A fall time home sale does require somewhat different preparation in order to attract the right buyers. By ensuring your home is better than every other home out there on the market and primed for a fall sale will result in a quick sale.
Should You Sell Your Home In The Fall?
The first question many homeowners ask is if they should sell their home during the fall. The fact is homes sell throughout the year. Depending on one’s location there may be a peak season when the most homebuyers are out shopping for homes and as a result that season has the greatest number of home sales. For the Greater Cincinnati, Ohio and Northern Kentucky area the peak season for selling homes is during the spring. During the springtime many families are shopping for homes so they can get moved in prior to the start of the school year in the fall. Moving during the fall can often be disruptive to children and could potentially force the children to change schools during the school year which most parents want to avoid.
Seasonality wise with fall and winter being colder and there being greater chances of rain or snow (depending on one’s location) homebuyers may not be as up to buying a home during the colder seasons. There being fewer buyers out during the fall also may mean in order to get sold lower home prices may need to be...
August 2017 Greater Cincinnati Luxury Real Estate Market Report
Interest rates for conventional and jumbo mortgages are still low and overall home sales are depressed. The reason for depressed home sales is thought to be low inventory. There is also a trend of certain buyers opting to remain more mobile by not purchasing and instead renting a place to own. Since July 2017 the average prices of luxury homes has gone up in the Greater Cincinnati area as well as the inventory has gone done which is somewhat expected as homes sell or are pulled off of the market until Fall or Spring. In the case of Greater Cincinnati more luxury homes sold during the month of August than did in July. See below for more statistics and articles of interest.