Tips For Winterizing Your Home This Season

Though we posted this article last winter, we felt it was worth posting again because it is such helpful and vital information to have in the winter season.

Living in Prescott where winter temperatures drop below freezing and we get some pretty crazy snowstorms depending on how “wet” the season is that year (snowmagedon February 2019 am I right?), we all should know how to properly winterize our homes.

Even though we don’t get as much snow as other places such as Flagstaff just north of us, or Colorado’s white winters, we still get enough accompanied by some temperatures that could wreak havoc on unprepared homes. Burst pipes, inadequate insulation to keep in heat and save energy, a furnace that cannot keep up with the freeze, and many other things.

Below is some advice from our very own Sheila Mengarelli on how to winterize your home this season. Take a look at her tips and tricks, and make sure your home is properly equipped for the cold months – and hopefully snows – still to come!

Tips to Winterize your Prescott Home

  • Service your Furnace– Have your furnace serviced fall and spring by a local HVAC company to keep you high and dry.

 

  • Change the filters— Don’t forget to change the filter in your furnace. When you put the first furnace filter of the season in, don’t forget to set your digital calendar to remind you to replace it at monthly intervals throughout the cold season.
  • Inspect your Gutters– Clogged gutters can cause water that is blocked to freeze and seep into your home. Take the time to clean them out and make sure that your downspouts are carrying the water away and not toward your house.
  • Repair drafts– Electrical outlets, door frames, windows, and recessed lighting areas typically tend to be drafty. Sealing up these areas can save on your energy bill. Simply use a wet hand, or incense, to move over the areas to spot potential leaks.
  • Check your insulation– Attics require 12 inches of insulation. Moisture problems can occur if your insulation has backing paper, so take the time to do an inspection.
  • Check for any exposed pipes outside– Pipes must be insulated from the cold too. Not only does it keep the pipes from freezing, it will prevent condensation from freezing on them, helping to save on energy bills. Make sure any drip systems are drained and water spickets are off.
  • Vacation — Will you be away for an extended period of time? Never turn your furnace off. Set it at 50 degrees. This will keep your home at a steady temperature no matter what the weather brings. It’s also a good idea to set your water heater to vacation or away mode
  • Check your smokealarm – While you are inspecting so many other aspects of your home, don’t forget to make sure that your smoke alarms are all functioning, and replace the batteries as needed. Also, make sure that you have a functioning fire extinguisher as well.

 

iSquatters: When iBuyer self-tours go wrong

Today’s Real Estate game is changing and that includes new companies buying homes and turning around to re-sell them, commonly known as iBuyers. However, in places like Arizona where this type of Real Estate model is growing, there are some scary risks for agents and their clients whom go to see these iBuyer homes. Check out this article below from inman.com detailing just how serious and real some of these risks are.

Invasion of the iSquatters: What happens when iBuyer self-tours go wrong? Some iBuyers have drawn tech-savvy squatters who gain access to homes through company apps in a bid to find shelter or abuse drugs.

by Veronika Bondarenko

October 23, 2019

Mrgudich had been planning on touring a home listed on Opendoor with a buyer when he noticed something strange through a window. A child was running around the dining room while a woman looked on. Instead of buzzing the door open through an app on his phone, Mrgudich knocked — and promptly heard the sound of the lock clicking shut from the inside.

“I put one and two and three together and I go, ‘Alright we have a squatter here,’” Mrgudich, who works at West USA Realty in Peoria, Arizona, told Inman. “So I turn to my buyer and explain the safety issue briefly and suggest that we move on.”

The iBuyer model, which has grown in popularity for its convenience, has also posed new risks regarding squatters and people who enter the home to use drugs, party or engage in activities other than touring the home. Ever since Arizona police arrested a couple found squatting inside an Opendoor home with two children and a cache of drug paraphernalia in September, agents have been discussing safety issue they see with iBuyer homes.

Over the past four years, iBuyers have exploded in markets nationwide. Startups like Opendoor and Offerpad allow homeowners to unload their properties for an all-cash offer in exchange for a seller’s fee of approximately 7 percent.

Opendoor, which recently acquired a Georgia-based title and escrow company, currently operates in 20 cities and recently began providing home loans. Offerpad, meanwhile, has raised nearly $1 billion in equity and debt capital and hopes to operate in 30 cities by the end of 2020. Traditional real estate companies including Keller Williams and eXp Realty have also all launched their own instant-offer platforms.

Zillow Offers, another iBuyer platform, also operates nationwide and allows buyers to tour homes on their own through an app.

The iBuyer model has been particularly popular in states like Georgia and Arizona, where all of the major iBuyers have a presence.

With Opendoor, Offerpad and Zillow Offers, in particular, interested buyers can find for-sale homes near them through the companies’ apps and enter the property with or without an agent — either by entering a code on a front-door keypad or unlocking the home directly through a phone.

All Offerpad homes currently have traditional lockboxes but some also have instant access through a phone code.

Heather Gearhart, an agent in Chandler, Arizona, recalled in a recent Facebook post seeing a key left inside the front door of an Offerpad home. Bob Hertzog, another agent in Arizona, said numerous agents across the state have been discussing the problems they encountered when trying to tour iBuyer properties.

In August, Hertzog entered an Opendoor-listed home with a buyer when a man with disheveled hair ran past them while incoherently mumbling something about wanting to buy the property. They toured the home anyway but, upon coming in, noticed that the protection preventing the air conditioner from being tampered with had been torn off.

“In Phoenix, it gets so hot that people living on the streets or people who don’t have a home definitely look at this like an opportunity to shack up for a while,” Hertzog told Inman, adding that he tried to call Opendoor to report the problem but gave up after sitting on hold for nearly 30 minutes. “We’re starting to see it more and more.”

iBuyers acknowledge that their homes pose a risk of attracting squatters. An Opendoor spokesperson told Inman that, upon receiving reports of someone in a home, the company will “immediately engage with any impacted customers, investigate and regularly refer matters to local law enforcement.” It also said it has home monitoring systems, security patrols and customer-vetting systems in place to minimize risk.

Offerpad, meanwhile, told Inman that “home sellers have always encountered the unfortunate risk of becoming a victim to vandalization or breaking and entering” but that the company is working on a new security system that, once in effect, will improve safety at its homes.

Nonetheless, agents who have encountered problems at these homes believe the companies’ screening systems aren’t comprehensive enough considering that anybody with a smartphone can claim to be an interested buyer in a bid to gain access. Hertzog said that without the traditional high-security lockbox agents use to enter an open house, no security system can deter people with bad intentions from seeking out the homes.

“It takes seconds to kill somebody or hurt somebody really badly,” Hertzog said. “They can sit there and say all day long that they have monitoring systems and things like that but it didn’t work in my case.”

Robert Siciliano, a cybersecurity analyst and chief security architect at ProtectNow, told Inman there is no such thing as a 100 percent secure empty home — but the text-to-open-home model has attracted a new type of squatter that is specifically looking for homes with full amenities that are easy to open.

“When you can get a code online and walk into a house, you’re going to see a whole new stream of squatters take advantage of the situation,” Siciliano told Inman. “What you’re going to see is serial squatters with full knowledge of how to game the system.”

At the same time, Siciliano advises agents who are entering any open house alone not to “trust that the company is managing that risk” but rather take their own precautions every time they enter a home, iBuyer or not. This includes doing a full scan of the property before going inside, having alarms and easy access to law enforcement ready on one’s phone and getting trained in basic self-defense skills.

Given iBuyers’ young age (Opendoor launched in 2013 and Offerpad launched in 2015), the high risk of squatters may be part of the growing pains they need to get through as the companies work out more sophisticated systems and learn how to weigh easy access against security. But, at least in areas where iBuyers are most prominent, some agents are only now figuring out how to keep themselves safe while touring the homes.

“We’re just holding our breath, quite frankly, and hoping that there’s no worst case scenario,” Mrgudich said.

Market Statistics for August 2019

As we transition from our busy summer Real Estate season and into our slower winter season, we will start to see a decline in home sales through the next months.

Tom Ruff from ARMLS (Arizona Regional Multiple Listing Service) says, “This is the time of year sales slow. It’s simply the seasonality of our market… Demand almost always subsides every year between July and January… When judging your bushels of apples, you want to view the year-over-year trend. Sales in August were 8.6% higher than a year ago, which understates the real year-over-year improvement. There was one more business day last year, which brings our real improvement closer to 13%. This August accounted for the third highest sales volume in ARMLS reporting history, surpassed only by 2004 and 2005, with only 266 fewer sales than ‘04. With 690 more sales this year than last, 2019 sales year-to-date have now surpassed 2018. Looking ahead to how the year might end, I’m willing to go out on a limb and say the prognosticators were wrong back in January (I may or may not have been one of them). 2019 sales will surpass 2018 in both sales volume and price.”

Therefore, even though the graphs below show a slowing market, it isn’t cause for concern. Not only is this normal for this time of year, as stated above, but we are still doing better than proceeding years.

iBuyer Companies: Are They Really Cheaper Than a Real Estate Agent?

Odds are, if you’ve been thinking of listing or buying a home these days, you’ve heard of iBuyer real estate companies. These are companies such as opendoor.com that promise to sell your home for significantly cheaper than your average Real Estate company. However, are these companies actually all they’re cracked up to be, or do their costs end up being just as much as a real estate agent, if not more, when it’s all said and done?

Check out this article we found by Teke Wiggin with inman.com titled “iBuyers Cost Sellers Up to 15% of a Home’s Value, Study Finds,” which takes a hard look at the actual costs of using these “cheaper” options when selling your home:

Market analytics firm Collateral Analytics puts hard numbers on the much-debated costs of using iBuyers.

Offering ammunition to agents who argue that iBuyers are often deceptively expensive, a new study by real estate data analyst Collateral Analytics has determined that the typical cost of using an iBuyer ranges between 13 and 15 percent.

Entitled “iBuyers: A new choice for home sellers but at what cost?” the study conflicts with claims made by some iBuyers on just how expensive such services wind up costing homeowners. Opendoor, for example, represents its service as more affordable than a real estate agent. But if the new research is correct, using an iBuyer would generally cost consumers two to three times more money than if they simply used a traditional agent.

“In all, the typical cost to a seller appears to be in the range of 13% to 15% depending on the iBuyer vendor,” write the authors of the report, Collateral CEO Dr. Michael Sklarz and Dr. Norman Miller, senior vice president of research and development with the firm. “For some sellers, needing to move or requiring quick extraction of equity, this is certainly worthwhile, but what percentage of the market will want this service remains to be seen. ”

The analysis adds to a growing debate over the value of iBuyers. Some agents argue these startups often bilk homeowners while others contend iBuyers are a reasonable option for their clients.

The divergent views came into sharp relief during two Inman Connect panels last month in which agents shared their experiences with iBuyers.

The report was not framed as an indictment of iBuyers. It describes the service as “a welcome alternative to traditional brokerage” for a portion of motivated homesellers. However, its most notable contribution to a nascent body of research on iBuyers involves its cost estimate of the service.

The report noted iBuyers charge sellers a convenience fee ranging from 6 percent to 9.5 percent, with some also docking the seller “for fees typically paid by buyers at closing, adding another 1 percent or more.” IBuyers tend to ask for “generous” repairs based on the results of a home inspection while some, such as Offerpad, pay for moving costs, write the authors of the study.

This all means that the total direct cost of an iBuyer “ignoring repair credits” is between 7 and 10 percent, versus the “typical 5 to 9 percent combined seller and buyer costs with a traditional broker,” according to the study. “Yet, that is not the end of the story or the comparison,” the authors write.

Due to costs and risks of holding and reselling their acquisitions, iBuyers must make “conservative” offers, according to the report.

“The more unique the home, the worse the season for selling, or the more competing inventory is present in the local market, the more conservative will be the offer price,” the study asserts.

To pinpoint the typical discount that iBuyers pay for homes, the report’s authors compared purchase prices of two unidentified iBuyers with home value estimates generated by Collateral Analytics’ automated valuation model (AVM) — a model that report claims “correlates very well with actual market values.”

The analysis used a sample of 6,000 transactions that took place across four markets — Phoenix, Atlanta, Charlotte, and Las Vegas — from January 2016 to February 2019. The report did not identify the two iBuyers, but a source familiar with the study confirmed they were Opendoor and Offerpad.

Offerpad spokeswoman Cortney Read said Offerpad’s average service fee is 7 percent and that some homes require only minor repair costs. She also added that Offerpad believes the report “does not accurately compare the mentioned fees,” focusing only on commission for real estate agents, while including other costs for iBuyers that “should be also reflected in the traditional real estate agent percentage amount.”

Opendoor didn’t immediately respond to a request for comment.

According to the study, one iBuyer bought homes at a median discount (the median discount off market value that the iBuyer purchased homes at) of 4.5 to 6.9 percent. The other iBuyer paid a median discount of 2 to 3.3 percent.

These discounts reportedly have declined modestly over the years. In 2016, for example, one iBuyer’s discount was about 7 percent, while the other’s was around 3.5 percent. By 2019, those numbers stood closer to 2 and 4.5 percent, respectively.

The authors theorized that “pressure to deploy capital” may have “reduced the spread [between how much iBuyers pay for homes and how much they’re worth] as the iBuyer market matures.” Some of that pressure has likely come from Zillow Offers and other ventures that are trying to take a bite out of the growing iBuyer market.

“Ultimately, the spread [the discount paid by iBuyers] will be at an appropriate level to compensate the iBuyers for liquidity risks and capital costs,” they said.

Thus, the study’s “preliminary empirical results” suggest that sellers are paying “not just the difference in fees of 2 to 5 percent more than with traditional” agents, and a generous repair allowance, but also an additional 3 to 5 percent more to “compensate the iBuyer for liquidity risks and carrying costs.”

Taking all of this into account, the authors conclude the typical cost of using an iBuyer ranges from 13 to 15 percent depending on the company.

This cost estimate is in line with estimates from some agents that spoke about iBuyers at Inman Connect Las Vegas, but a bit higher than an estimate published by Market Watch: 11 percent.

The cost makes sense from a business perspective, the report notes. IBuyers must cover carrying expenses and deal with a number of risks including home burglaries, price declines and “adverse selection.”

The last risk refers to the risk that sellers who know about hard-to-discover negative characteristics of their home will be more likely to sell their homes to iBuyers at prices that iBuyers would not pay were they aware of those flaws.

“Not all sellers are better informed than the iBuyers,” they write. “Still, there is some risk of informed sellers taking advantage of relatively high offers.”

AZ Real Estate Market Statistics June 2019

As we come to the end of summer and the end of the busy season for the Real Estate world, let’s look at what Scottsdale Arizona’s Multiple Listing Service (ARMLS) had to say about our market when looking back at the month of June.

“The loud explosions heard earlier this month were not coming from Independence Day celebrations. They were the 2019 year-to-date housing numbers being reported by ARMLS. The first half of 2019 began with a whimper and ended with a bang. May and June were both exceptionally strong with June having $3,265,463,755 in dollar volume, the highest total for any June in ARMLS history. As an added caveat, there was one less business day this year compared to 2018, making this year’s total that much more impressive. As we reach the halfway point for the year, 2019 ranks as the best year on record.” – Tom Ruff with ARMLS.

One of the biggest points mentioned on the services monthly breakdown of June was baby boomers vs. new home buyers:

“In a June 8 report, Freddie Mac asked the question, ‘Are Baby Boomers the Key to the Single-Family Market?’ The article states, ‘One of the most important keys to today’s single-family housing market is homeowners who were born before the first-ever episode of Star Trek aired in the 1960s. Today, more than 50 years later, Baby Boomers and other homeowners over the age of 55 control almost two-thirds of the nation’s home equity – about $8 trillion. There are also more than 67 million 55+ homeowners. Whether they decide to move from their current homes or age in place, the cumulative impact of their decisions on mortgage demand, affordable housing supplies, and the housing options available to Millennials and other aspiring homeowners will be substantial.

“63 percent of 55+ers prefer to age in place. This works out to an estimated 42 million homeowners who don’t plan to move. 27 million 55+ers would prefer to move at least one more time. Although movers are in the minority, it’s a big minority. According to the survey nearly 40 percent of all homeowners 55+ would like to move at least once more if they had complete control over it. This isn’t just about downsizing to a rental or nursing home; 19 million plan to buy a home and nearly 8 million expect to move within the next four years. What’s more, half of the 19 million likely movers expect to buy less expensive homes. These are big numbers with the potential to tighten home-buying competition in the housing market, especially for Millennials and other first-time home buyers.

“A recent Chicago Tribune article went on to say, ‘The boomers are a stick in the spokes of the homeownership cycle, which counts on older people exiting to free up houses that can be resold to first-time buyers, keeping the market moving’.”

Only time will tell how much our baby boomers will control the housing market, causing both prices and new listings to either rise, or decline.

Arizona’s Real Estate Market Statistics

In case you are curious how the current real estate market is doing in Arizona, check out these charts published by ARMLS (Arizona Regional Multiple Listing Service) in May. ARMLS is the home listing service that services the Phoenix Metro area, so these numbers may vary from Prescott’s own statistics, but our market is doing just as well as theirs, if not better.

Tom Ruff from ARMLS, whom posted the article, stated, ” After a close fact-check of homes reported sold by ARMLS, May was a record-setting month. New all-time records were established  for both sales volume and total dollar volumes, as well as the most homes sold and for the most money. Total dollar volume was $3,593,145,906. The monthly median sales price also set a record high reaching $278,000. After a slow start, 2019 is purring.”

Ruff goes on to say that with statistics like these that have continued to rise over the last several years, people inevitably begin to talk of another real estate “bubble.” However, Ruff, along with many others in the real estate industry, aren’t very worried about that. Current underwriting standards and the elimination of crazy money are two of the main reasons for this.

People aren’t worried because the differences from then to now in these two things are significant. Standards for lending are much more strict and the dollar amount on homes still has yet to reach what it was back before the burst. Due to better lending protocol alone, a huge bubble pop like last time is fairly unlikely.

Hopefully knowing that makes us all rest a little more easily and not fear that a few years after purchasing a home we’ll be looking at catastrophic amounts of foreclosures, short sales, and bankruptcies.

 

Listing Feature – 1579 Eagle Mountain Drive

Curious about what makes this home so special? Everything!

Upon the tile entry, you will be drawn into the great room featuring a high vaulted ceiling and gas fireplace with stacked-stone surround. This is the perfect space for sitting and relaxing with your family around the fireplace or as you watch TV.

The spacious kitchen features plenty of cabinet and storage space and is open to both the formal and informal dining areas. This way whomever is cooking can still be involved in the parties going on around them.

Relax in the master suite that offers a spacious room, vaulted ceiling, a separate French door exit out onto the deck, a walk-in closet, and master bath with double vanities and dressing table.

Two more large bedrooms, a full bathroom with dual sinks and linen closet, a powder room, and the laundry room are also on the main level.

The lower level has a game/family room with a wet bar, which could be perfect for multi-generational living. It also has a lot of storage space, a full bathroom, and the 4th bedroom with walls lined with windows.

The deck comes out from the living room and overlooks the lush green view of the back yard.

An oasis in itself, the yard features a pond and water feature, mature trees, turf grass areas, and paver patios that are also accessible from the lower level living.

If that weren’t enough, the home also includes a three-car garage, plus separate side parking for a small RV.

This is a house you are going to want to see in person! For a showing appointment, call our office today at 928-771-1111.

Listing Feature – 3103 Mountain Lake Drive

This is our new listing of a quaint and charming manufactured home in Mountain Lake Estates. Within walking distance to Willow Lake, this home offers great near by trails to enjoy the outdoors, along with beautiful views of Willow Lake and the surrounding dells.

The home is a single level, 1392 square foot Cavco manufactured home that offers three carpeted bedrooms, two bathrooms, an AZ room, plenty of storage space, and a separate laundry room that leads to the garage complete with its own separate storage closet. Brand new wood laminate Pergola floors are throughout the main living areas. When you first walk in the front door, you are met with an open living room and dining space, making your entertaining areas spacious and welcoming, with plenty of light.

You will be delighted with this fresh and newly remodeled kitchen! With light tones of white and grey, the kitchen is up-to-date on the latest trends. The cabinets are soft-close dovetail drawers topped with granite counter tops. A giant stainless-steel farm sink and new appliances complete this kitchen with its modern flair.

The master bedroom is extremely spacious compared to other manufactured homes. It was recently painted a soft grey, has a large closet space, and its own bathroom with dual sinks and a linen closet.

The bonus Arizona room is 120 square feet, featuring panoramic windows and views of the surrounding lake and dells. It’s the perfect place to sit and have your morning coffee or tea, or go out and read a good book.

The fenced backyard rounds out the property making it suitable for just about every buyer’s needs. A small paved area for seating and grilling, and rocks to accommodate any furry friends you may have. The home has extremely minimal landscaping in both the front and backyard.

The home also comes with a nice 2-car garage and a great front porch for enjoying Prescott’s nearly year round good weather. And did we mention how close it is to Willow Lake? In this picture, you can see it just down the road!

Interested in this property, or wanting to learn more about it? Call us today at 928-771-1111. We’d love to answer any of your questions and even show you the home!

Service Animals vs. Emotional Support Animals in Renting

If you live in the United States, you might be shocked to learn that more than eighty-five million families own a pet in America. That is a whopping sixty-eight percent of households, which is well over half!

While many of us got these pets to be beloved members of our family, for other people, they got their pets for an entirely different and necessary reason, and the value of their furry friend goes far beyond companionship.  What we’re referring to here is, of course, Service Animals.

According to the Americans with Disabilities Act, a service animal is “any dog that is individually trained to do work or perform tasks for the benefit of an individual with a disability, including a physical, sensory, psychiatric, intellectual, or other mental disability. Other species of animals, whether wild or domestic, trained or untrained, are not considered service animals. The work or tasks performed by a service animal must be directly related to the individual’s disability. Examples of work or tasks include, but are not limited to: Assisting individuals who are blind or have low vision with navigation and other tasks, alerting individuals who are deaf or hard of hearing to the presence of people or sounds, providing non-violent protection or rescue work, pulling a wheelchair, assisting an individual during a seizure, alerting individuals to the presence of allergens, retrieving items such as medicine or the telephone, providing physical support and assistance with balance and stability to individuals with mobility disabilities, and helping individuals with psychiatric and neurological disabilities by preventing or interrupting impulsive or destructive behaviors. The crime deterrent effects of an animal’s presence and the provision of emotional support, well-being, comfort, or companionship are not considered work or tasks under the definition of a service animal.”

While service animals provide legitimate assistance to those with disabilities, the controversy related to emotional support animals continues to generate headlines as people take advantage of the easy access to getting your pet certified as an emotional support animal. People seek a “prescription” that includes everything from hamsters to peacocks and even pigs in order to be able to get rental properties they might not otherwise be qualified to rent because they own pets.

Where does that leave property owners who find themselves in a situation where a tenant is seeking an exception to the “no-pets” policy?

The Arizona Association of Realtors states, “Title 42 of the United States Code requires that landlords ‘make reasonable accommodations in rules, policies, practices, or services, when such accommodations may be necessary to afford such person equal opportunity to use and enjoy a dwelling.’ Simply put, property owners may be required to waive a ‘no pets’ policy if the tenant meets the criteria under the Fair Housing Act.”

The U.S. Department of Housing and Urban Development issued FHEO-2013-01 which states:

Housing providers are to evaluate a request for a reasonable accommodation to possess an assistance animal in a dwelling using the general principles applicable to all reasonable accommodation requests.  After receiving such a request, the housing provider must consider the following:

  • Does the person seeking to use and live with the animal have a disability – , a physical or mental impairment that substantially limits one or more major life activities?
  • Does the person making the request have a disability-related need for an assistance animal? In other words, does the animal work, provide assistance, perform tasks or services for the benefit of a person with a disability, or provide emotional support that alleviates one or more of the identified symptoms or effects of a person’s existing disability?

If the answer to question (1) or (2) is “no” then the FHAct and Section 504 do not require a modification to a provider’s “no pets” policy, and the reasonable accommodation request may be denied.

When faced with this kind of housing request as a landlord, it’s important to know that the tenant must show their need is connected to their disability and the request is reasonable.  You are allowed to ask them to show the animal is necessary for their particular disability, but you are not allowed to deny them tenancy. According to the FHA, an accommodation is reasonable if it doesn’t impose an undue financial or administrative burden.  Making the wrong decision could violate the law and potentially require you as the landlord to have to pay damages to the disabled renter.

 

Sharp Declines In Home Bidding Wars

If you have been looking to buy a home in the past few years and perhaps even put in a few offers on homes, then you know it has been a buyer eat buyer real estate world out there!

Homes would hit the market and instantly have multiple offers on them (if they didn’t already have offers on them before technically even being on the market). There were so many people looking to buy that the market had become incredibly competitive for buyers, yet also incredibly good for sellers who had their choice of highest and best offers to pick from.

You can imagine how these situations would be extremely frustrating for buyers who would be constantly outbid or their highest and best wasn’t as good as someone else’s highest and best.

Well, according to the National Association of Realtors, the amount of competition in Real Estate as we come into these Spring and Summer seasons will mostly likely be seeing a decline.  “There will likely be less competition for home buyers this spring—a widely reported index from Redfin shows a significant decrease among real estate professionals reporting bidding wars this month, compared to a year ago. Only 16 percent of offers written by Redfin agents on behalf of their customers in the first three weeks of March faced a bidding war, down from 61 percent a year ago, according to the brokerage’s index.”

This is good news for buyers because your chances of getting into a bidding war when making an offer on a home have sharply declined. This means you don’t have to come in at the very tip top of your home buying budget just to have a hope and a prayer of getting the home you have your eye on – you could possibly make a more reasonable bid and have it accepted because there isn’t another buyer breathing down your neck.

In Phoenix, the amount of offers that faced competition was at 41% in March of 2018. That number has gone down to just 14% calculated in March of 2019. Prescott is a lot different than Phoenix market wise, but agents here have noticed a decline in bidding wars as well, which means if you have been wanting to buy in Prescott, Arizona, now might be the time!

If you are looking to buy a home, or even sell a home in Prescott, you should give us a call! Working Real Estate in the community for the last fifteen years, we have a lot of experience and would love to help you in your next Real Estate transaction. 928-771-1111.