The Power Is Now Magazine | July, 2022

JULY 2022 Vol. 09 | Issue 7

Karen Hatcher CPM® REAL ESTATE EXPERT INVESTOR | WEALTH ADVISOR

HAVE YOU READ OUR PAST ISSUES YET? the power is now

magazine CENTRAL EDITION Vol. 09 | Issue 7

Eric Lawrence Frazier, MBA Publisher Office: (800) 401-8994 Ext. 703 Direct: (714) 361-2105 eric.frazier@thepowerisnow.com www.thepowerisnow.com EDITORIAL TEAM Sheila Gilmore Editor in Chief (800) 401-8994 ext. 711 sheila.gilmore@thepowerisnow.com Daniels George Managing Editor (800) 401-8994 ext. 712 daniels.george@thepowerisnow.com Goldy Ponce Arratia Graphic Artist and Design Manager goldy.ponce@thepowerisnow.com

CONTRIBUTORS The Power Is Now Research Team

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CONTENTS

JULY 2022 FROM OUR VIP AGENTS:

POWER GREEN Pg. 8. A big win for the Clean Energy Agenda.

POWER ECONOMICS Pg. 10. The economy is strong! But Can People Afford Homes?

POWER REAL ESTATE Pg. 12. How home purchase boosts consumer spending.

POWER LENDING Pg. 16. Housing affordability has collapsed in 2022, according to a new report.

POWER TECHNOLOGY Pg. 18. Top 10 Property Technology Trends & Innovations for 2022.

FEATURED ARTICLE Pg. 22. Expect the unexpected, by Gary Acosta.

Pg. 27. Here are 5 costs a homebuyer should be considering from the start, by Sharon Bartlett.

Pg. 31. What to Avoid as a first-time Homebuyer,

by Emerick Peace.

Pg. 31. Want to Refinance? Consider these five things, by Adriana Montes.

Pg. 39. Scottsdale Real Estate Market appreciation data. Market summary, by Yvonne McFadden.

Pg. 43. Payson Real Estate Market Update, by Tamra Lee. Pg. 47. The highest offer is not always the best offer!, by Walter Huff.

Pg. 51. Here are the five most important questions to ask before buying a home in an HOA area, by Heith Mohler.

Pg. 55. Riverside Market Update and Market Appreciation Data for Q3, 2022, by Ruby Frazier.

Pg. 58. Karen Hatcher, The Four Ways Real Estate Helped Me Create a Life of Sovereignty.

Pg. 69. Let’s Clean up your credit score before buying!, by Jenny Gonzalez.

Pg. 73. Is it advisable to max out your budget to buy your first home in Silicon Valley?, by Ian Batra.

Pg. 77. Corona Market Update: Market overview and Forecast for Q3, 2022, by Kamesha Keesee.

Pg. 81. Should I Waive Home Inspections?, by Serina Lowden.

Pg. 85. Stay Ahead of Competition: Getting Mortgage Pre-approval, by Briana Frazier.

Pg. 88. 5 low-cost ways to get your home ready to sell, by Connie Watson.

Pg. 91. Real Estate best practices, by Edwin

PRESENTS:

The 2022 Homeownership Series

Engelke.

Pg. 95. Avoid these six myths that will limit your home search, by Francine Marsolek.

Pg. 99. The home closing process for home sellers, by Harriet Robertson.

Pg. 103. Buy or build in Denton…Which is cheaper?, by Janet Petrozelle.

Pg. 107. How much does it cost to buy a home in El Cajon?, by John Costigan.

Pg. 111. Nashville housing market Q3, 2022,

Hosted by: Eric L. Frazier MBA

by Marqueze Williams.

Pg. 114. Are you truly ready to downsize?, by Rose Ogbonna.

Pg. 117. How much home can I afford in San Francisco?, by Norman Green.

Pg. 121. Can you offer less on the house?

Lowballing and negotiating like a pro in Newburgh, by Sandra Cotthaus.

Pg. 125. Top ten maintenance tips for first-time homeowners, by Steven Rivkin.

Pg. 129. Whittier market overview: Where is the market moving?, by James Joseph.

POWER HISTORY Pg. 132. America Independence Day, by Eric L. Frazier MBA.

Watch on our App

July 2022 FROM THE EDITOR Dear readers, This time a year ago, California median home prices rose exponentially, breaking all the records.

During the same period, 29 counties in the state set a new record high in median price. Unsurprisingly, only 24 percent of Californians could afford to purchase a median-priced home during the first quarter of 2022- which is even lower for the African Americans and Latino households.

As matters have gotten worse, partly because of the pandemic, the rising cost of fuel, and sky-high inflation, new reports show that many people are leaving the state in droves in search of affordable housing. America is slowly becoming a country of the haves and the have-nots, further deepening the gap between these two. Is the American dreams still possible? Homeownership is further out of reach for Low to moderate income people who have historically priced out of the market.

For many Americans, homeownership is the foundation for building generational wealth, and in addition, it helps stabilize communities. But going by the current statistics, homeownership rates are at their lowest in the state since the 1940s and worse for the Latinos and African Americans. In addition, African Americans and Latinos continue to suffer disproportionately in housing. Recently, The Power Is Now Media conducted a series of interviews with real estate leaders to get their perspective on Fair Housing and the housing market.. Please visit our website to watch these interviews and be a part of the ever changing the homeownership conversations.

This is the month we celebrate Independence Day, but for African Americans, we just celebrated our independence on June 19th. Since our freedom in 1865, African Americans have been a minority and outnumbered by white Americans. According to a few estimates, we were 4 to 7 million strong at the time of our freedom. Today we represent only 12% of the population, approximately 40 million strong, and only have the political power to pick the President in states with a large black population and many delegates for the Electoral College. Just like Frederick Douglass asked, ‘What to the enslaved people is the Fourth of July? I ask the same question: Is the Fourth of July relevant to us? We still have discrimination happening and police brutality, and when we try to fight for justice, we are called terrorists! When we learn to discuss our joint national history, bring everyone on board, and address the missteps as a society, this way, the Fourth of July will make sense.

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In this month’s cover story, we feature one phenomenal woman who has done much to change the housing narrative in Atlanta and countrywide. Karen Hatcher is a Mother, a wife, and a real estate executive and head broker for Sovereign Realty & Management.

We sit down with Karen to get her views and opinions on housing. In addition, Karen tries to give back to the community that has given so much to her. Apart from holding various positions, she also serves her time by volunteering at Habitat for Humanity, Hosea Feed the Hungry, and several other charitable organizations, all in Atlanta.

Moreover, this issue is packed with articles to keep you up to date with the current developments in the housing and mortgage industry. We feature several markets, including Arizona, Riverside, California, Nashville, and many others. In addition, learn

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about the several recommendations from a California Reparations Task Force Report, which explored reparation for the African Americans. All these are in the July Issue of the Power Is Now Magazine.

I want to thank our Power Team for their continuous hard work and commitment to making The Power Is Now Magazine a reality for you, our readers. We would be nothing without you. We want the best for you, which means we are committed to bringing you the best from us. So take a moment and share this magazine with family and friends. Remember, knowledge is power, and The Power Is Now!

ERIC L. FRAZIER MBA President and CEO The Power Is Now Media, Inc.

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SHARON BARTLETT

(800) 401-8994 ext. 712 Sharon.Bartlett@thepowerisnow.com www.thepowerisnow.com

JULY 2022 | 7

POWER GREEN

A big win for the Clean Energy Agenda: White House Invokes the Defense Production Act for Clean Energy

The approved DPA act has fostered the increase of commodities such as solar panels, thermal pumps and insulations to building insulation in the market. The products need to get to the consumer to assist them in using renewable energy. The U.S government also intends to set in funds for investment in renewable energy.

A study by the Environment America Research and Policy Center reports that most homes in the United States use fossil fuels, which sums up high 8 | JULY 2022

levels of carbon released to the environment. Out of five homes, four of them use fossil fuel to heat the room and water too. In residential homes, more than fifty percent of fossil energy is recorded, and commercial buildings use up to 34 per cent of fossil energy.

The defence production act aims to reduce carbon by roughly 300 million metric tonnes by 2050. Carbon reduction is possible by adapting the use of energy from the Sun through solar panels instead of fossil fuels.

For example, solar energy can be adapted to heat rooms and water. Reducing the 300 metric tonnes of carbon is studied to be equal to eliminating more than sixty million cars, almost thrice the number of cars in Texas.

Johanna Neumann, the current senior director of the Environment America Research, concurs with president Joe Biden’s act which will help fight global warming

that adversely affects all areas worldwide. Joe Biden’s initiative will also help curb climate change and increase security in the United States.

U.S federal states intend to start a program emphasizing Solar energy that relies mainly upon the Sun. Renewable energy, if put in use, will benefit both consumers and the environment will be safe. Such renewable energy is cheap as the cost is incurred only during installation, maintenance, and service costs. It would be better if most homes installed solar panels in their homes and commercial buildings.

The United States has great solar potential so long as the panels are placed correctly facing the Sun and are readily accessible. Americans are encouraged to adapt the method thus as it has the potential and maximizes solar energy as much as possible.

Renewable energy is a method that has proven to be safe for humans over the years. Also,

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n Monday 6th June 2022, the current president of the United States approved the use of the defence production act. The DPA act encourages renewable energy, intends to conserve the environment, and will increase the speed of clean energy produced domestically. Overall the defence production act will conserve the environment and safeguard against climatic changes.

renewable energy is said to be the cleanest and fast type of energy that will meet needs of the U.S resident. The form of energy comes with lower bills and aids in weatherizing homes and keeping the planet safe.

The U.S government informs its resident that prosperity is achieved by having a clean country and not the other way round. With the information in mind, the resident will work towards achieving an eco-friendly environment.

Currently, most parts of the world are faced with environmental pollution, such as using fossil fuels that emit carbon. Environmental pollution affects humans and wildlife, putting the tourism business at risk. As this is happening, possible solutions to prevent pollution are all over and not considered.

People are also encouraged to take simple steps, including taking care of their environment and incorporating this culture into people. The government by this aims at not only making a statement but being practically involved in measures taken to conserve the environment for a longer time.

Adverse environmental effects have led to research methods to prevent pollution other than installing solar panels. Possible methods that can be adapted include installing windmills that use moving air to produce electricity. Also, the amount of carbon emitted by cars and other automobiles by replaced with cars that use electricity to run. Short distances don’t have to be travelled by vehicle. People are encouraged to tackle short distances by either walking or cycling, reducing the amount of carbon released to the environment.

Certain strategies have been put in place to help the United States federal government systematically approach the goal of achieving a clean Country.

So far, the federal states intend to practice what works well in achieving a clean and safe environment. In the meantime, solar energy and wind power have proved effective and consequently cheaper. Policies support renewable energy, and there is room for more innovation on methods that could be adapted toward having an eco-friendly environment.

Working together is also a good method for forming coalitions between people of different occupations and interests and teaching them about the importance of renewable energy. For example, President Joe Biden approved the use of the defence production act and was backed up

by Johanna Neumann. People thus need to work together towards achieving a clean environment.

POWER ECONOMICS

The economy is strong!

But Can People Afford

Homes?

CURRENT ECONOMIC STATES AND TRENDS In May 2022, the labour job market ruled out the prediction that the market would continue to face high inflation and interest rates. Last month experienced a lot of changes in the economy amid healthy economic growth. The Federal that month could study the speedy rate hikes and experienced stock market indexes falling after the government released the new jobs.

For the last two years, the U.S government have been trying to attain economic recovery that was affected by the covid 19 pandemic, which disrupted almost every business. There was a need to hire more people in May this year because most businesses saw an increase in customers buying despite the high inflation rates.

Employment would thus increase the efficiency of most businesses.

Among the sectors that announced new job opportunities were construction, with about 36,000 job vacancies. The people who bought new homes and had not built due to labour shortages were at an advantage with an 10 | JULY 2022

increased labour force in the market. Other areas that added opportunities were the shipping companies having around 47,000 new job positions to help deal with the growing number of online commerce users. Entertainment venues and restaurants added about 84,000 new jobs.

Over the last two years, the economy has been fighting high inflation, increasing rapidly.

It could be why people aged 50 and above are unwilling to retire. To fight inflation, the government increased hourly wages by 10 cents but still, this would not help keep up with inflation rates evident in almost every business. This is because inflation rates increase very fast, and the increase in wages is at a lower rate, thus the big difference.

Interest and inflation rates have affected most businesses because there have been incidences whereby people are giving up low-paying jobs for high-salary jobs, and the occurrences are increasing significantly. However, such cases were evident even during the pre-pandemic years. Most employers say that potential employees want to be paid more than their qualifications, putting the business at risk of dwindling if the matter is not dealt with. However, entrepreneurs such as Tom Gimbel, the CEO of LaSalle Network and Jackie Bondanza, head of Hound Town, intend to expand the business by having branches in other parts of the country

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I

n May this year, employers in the U.S created 390,000 employment opportunities. The act boosted the economy from high inflation and interest rates. Unemployment rates are still at 3.6%, slightly higher than the half-century low.

and increasing job opportunities. However, they remain unwilling to pay more than they can afford to ensure the company’s future security.

Economic activities are an important aspect of any given state as it influences the lifestyle of citizens. The Federal has questioned whether people can afford to build homes with the current economic trends. Well, the answer differs in different States of the U.S. During, and after the pandemic, commodities prices increased, including housing. Residents of cities such as San Fransisco and other expensive cities responded by shifting from the area to more affordable states.

After the pandemic, statistics show that most highly paid residents had accumulated a lot of money in their savings accounts. Such massive savings was because there were reduced spending when most businesses were closed down when the world health organization pronounced Covid 19 a major threat.

CHALLENGES FACING THE HOME BUILDING. With the huge savings, most residents could still not build homes, and that scenario continues to date. An economic shift in the country causes the problem, and both high inflation and interest rates make the saved money insufficient. It is also why most people are shifting from coastal areas

to the suburbs, which are affordable places for most employees. Though the places still face an increase in inflation rates, it is worth noting that the consequences are not as extreme as in the coastal cities such as San Fransisco.

The real estate sector is the most affected due to the pandemic. The pandemic brought awareness to residents, and because of future uncertainties, most residents prefer to own a home. An increase in the number of homebuyers in the market automatically declares real estate a seller market. The inventory level was high due to an imbalance between demand and supply.

The case was evident both in the coastal areas and the suburbs. The government tried to support real estate by reducing interest rates. Still, the problem remains adamant due to the low number of homes and properties on sale, which is not directly related to interest rates.

A seller market negatively affects buyers because commodities sometimes go higher than the listed price, and financially constrained buyers are adversely affected. Mortgages, for instance, are sold way above the listed price, which is currently a common case in most of the U.S. Building materials costs are also very high, which is why people already having property have put the building process in waiting, hoping there will be lower inflation levels in the coming years.

JULY 2022 | 11

POWER REAL ESTATE

How home purchase boosts consumer spending

A

home purchase comes with additional costs to suit the buyer. The information is from the Consumer expenditure survey (CES), Labor statistics bureau.

An additional cost is evident with appliances, furnishing and structure modifications.

This paper will use information from NAHB’s recent estimates between 2017 and 2019 before the Covid 19 outbreak. The paper will also compare inhome owners of newly built homes, existing homes and non-moving homeowners.

REASONS FOR BUYING HOMES. Most people that buy a home are, in most cases, parents. People with families prefer to get a good detached home that is spacious and more comfortable compared to a rental apartment that might be squeezed up and not comfortable to use. Home buying process is also common with the wealthier class of people and more qualified personnel. The above-stated group of people are located in most urban centres. Research shows that the home buying process is used to show a difference in the socio-economic class. The lower socio-economic group tends to avoid the home buying process due to incurred extra expenses settling in rental apartments that do not come with additional expenses.

THE COSTS INCURRED AFTER BUYING NEW HOMES. Repair and modification is the most expensive aspect when one decides to buy a home, whether a newly built one or one that had previously existed. It entails putting up an additional structure that did not exist at the time of purchase. It also means interfering with the structure’s design, such as repainting to a colour that one would want and putting up a driveway that would fit the new owner in the best possible way.

When relocating to a newly bought home, the owner must have roughly $2,800 set aside for furnishing. Furnishing includes items such as carpet, curtains and cushions within the first year of relocation, while non-moving homeowners at this time are known to spend less on furnishes as they don’t need many changes. There is little difference in the appliance where newly built homeowners are known to cash out only around $1,000 to cater for appliances.

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Surprisingly, new home buyers spend around $9,000 for repairs and modifications compared to people living in morgages that are legally theirs. Upon further research, the money is spread across outdoor fixtures like swimming pools, perimeter walls and niches, drive-ins and patios to suit their comfort.

COSTS INCURRED AFTER BUYING EXISTING HOMES. The research was carried out to detail how much is spent on appliance furnishing, property alterations, and repairs between buyers of existing homes and non-moving homeowners. While buyers spend around $4,000 on appliances, the counterpart nonmoving homeowner cashes out about half the price. Home buyers spend $9,200 on property alterations, while repairs by non-moving home buyers spend only $4,830 Non-moving homeowners, in contrast to existing homebuyers of an existing home, spend approximately only $4,200 as the estimated total cost. When one gets a new structure, it is common to remodel, furnish and get appliances that best suit the house and how the buyer wants it to look. Buyers of existing homes spend an averagely of $5,200 to cater for all expenses deemed to come up, putting $1200 in furnishing and spending the rest on other expenses. Often the cost is more than $750 compared to the amount spent by non-moving homeowners.

Also, as predicted earlier, most non-moving homeowners spend $2032 on furnishing and $4282 on modification and repairs. Over the years, has buying ho,e has proved to be an expensive thin bin in the U.S.

THE DIFFERENCE IN COSTS TO NEW HOME BUYERS AND EXISTING HOME BUYERS. Home buying costs differ with whether the house in question is new or has been used previously.

As per the NAHB, buying a new home would incur more costs in the first year of living than buying a previously used house. The average cost of extra expenses of buying a newly built detached house strikes at roughly $18,155 while buying an already used house costs roughly $12,222.Someone with a limited budget would be advised to get a previously existing home where one would save up approximately $6,000 in the long run. However before getting such houses, one is advised to ensure that the house does not have many faults and that the better part of it is in good condition.

CONCLUSION. According to the NAHB statistics, furnishing, remodification and appliances are not usually catered for by cutting expenditure costs on other items such as transport, food, or entertainment. It further continues by stating that with home buying, several other costs should be considered. It also says that buying a home does not cater to all the home buying expenses.

One, to some extent, needs a huge amount used after buying a home to cater for modification, furnishing and appliances as per how the new owner wants the house to look or find more appealing.

JULY 2022 | 13

We’re Starting Over, Inc. - a 501(c)(3) organization dedicated to supporting and uplifting people experiencing the effects of mass incarceration, systemic racism, housing insecurity, substance addiction, and mental health issues. We believe that people impacted by these issues are the ones closest to the solutions, which is why we are a Black-led and criminal justice-impacted organization engaged in this work. From experience, we’ve learned that housing is critical, but alone, it is not enough to support those exiting prisons or the streets. We not only provide transitional housing, but also include holistic services such as peer support, case management, employment, wellness, and reentry services. We also work to address the root causes of our houseguests’ difficult situations, leading grassroots organizing and policy initiatives in the Inland Empire region and statewide. Established in 2009, we’ve served over 1,400 men, women, and families in Riverside and Los Angeles Counties through the reentry and transition process.

We believe that the past does not define our future. We’re invested in creating safe and equitable opportunities for all members of our community, and especially those with past convictions. Housing opportunities are crucial for our community members and directly affect their ability to thrive.

Starting Over, Inc. is committed to reducing and eliminating the many barriers to life after incarceration.

We have a deep commitment to identifying and implementing evidence-based approaches to strong communities and families. We seek to creating program/project solutions where the need exists in our community. We do lots of things at Starting Over, Inc. - but our primary goal is to address the immediate effects and root causes of incarceration, be it through housing, employment, legislation, or community organizing.

To get involved with our initiatives, access our services, or support our work through donations, you can reach us at (951) 898-0862 or office@startingoverinc.org.

6355 Riverside Ave Suite 100, Riverside, CA 92506

We currently operate eight homes in LA and Riverside Counties open to men, women, and children, with options for sober living or harm-reduction housing. All of our services are available to our houseguests, many of whom have been unable to obtain housing after being released due to their conviction histories.

Our Case Management specialists provide support to our guests with obtaining necessary documents/identification and accessing insurance, education, healthcare, clothing, food, & more.

Our houseguests are not alone - our support specialists, having experienced incarceration, addiction, and homelessness themselves - understand our guests' needs and the barriers they face. We’re here to meet our guests wherever they are in their journeys and to support them moving forward through empowerment, support with recovery, referrals, and mentorship.

Mass incarceration affects not just individuals, but families - many of our community members and guests experience family separation at the hands of the child welfare system. The FREE Project is system-impacted led and organizes parents and family members in a non-judgemental space, advising on best practices and dependency court procedures. We recently sponsored and passed a statewide bill that eliminates major barriers to child placement and allows family members with criminal convictions unrelated to caring for children to be considered as placement options allowing for suitable family members with criminal convictions to step up in times of crisis.

Through our Path to SEED program, we connect guests and community members with employment opportunities and provide training & support regarding obtaining and retaining employment, often a major hurdle for formerly incarcerated individuals.

Our free clinics provide relief for expungements, wills/trusts, immigration, and more with the support of local legal organizations.

In the past year, we’ve co-sponsored and/or supported nearly a dozen statewide bills to reduce the scale of mass incarceration and its collateral consequences. We’ve also worked locally to influence Riverside County to reduce criminal history look-back periods from 7 years to 3 years in 2017 and to enable youth coming out of probation to be able to stay with their family members in subsidized housing.

Our Participatory Defense organizing model (based on Silicon Valley De-Bug) empowers family and community members in the courtroom to positively impact their loved one’s outcome and to bring them home. As fiscal sponsor and start-up organization of Riverside All of Us or None (a chapter of a national initiative of formerly incarcerated people, family members, and allies advocating for the rights of the currently and formerly incarcerated people) we ensure that system impacted leadership remains at the center of the fight to keep our community together and address the social problems that incarceration purports to solve. Our community outreach team also disseminates voter registration and public health information regarding COVID-19, and we organize food and clothing relief for community members in need.

POWER LENDING

Housing affordability has collapsed in 2022, according to a new report

R

eal estate has drastically changed between the years 2021 and 2022. The change in the Real estate market resulted from trying to rise from the economic downfall of Covid 19. Since then, the U.S has recorded an increased number of people who intend to buy houses. On the other hand, homeowners are reluctant to sell their property and have withdrawn property from the market. Most people are unsure whether employment will go back as it used to be before the pandemic, which might be why people do not want to sell out mortgages.

Supply of houses does not meet the increasingly high demand that has resulted in unaffordable housing in the United States of America.

After studying the real estate of the U.S economy, Chris Flanagan and his team at the BOFA Global Research claimed that housing affordability is collapsed. Recently home prices in the U.S have been increasing by the day as the market continues to experience high mortgage rates.

Almost all areas of the United States have been affected by the issue. After Covid 19, house prices increased first in the expensive cities such as San Fransisco. People moved from expensive cities to the suburbs, which was a cheaper option. Eventually, all parts of the United States were affected, thus the unaffordability in coastal areas and the suburbs.

The BOFA team now compares the current situation to how it was in the last three months in 1987 and from January to March 2005. During those years, the U.S.A recorded low affordability in the real estate as it now is.1987 experienced 16 | JULY 2022

a stock crash normally called “black Monday”, which then led to high mortgage prices. In the trading session, about 22% was tumbled by Don Jones’s industrial average. It led to the emergence of subprime morgages in the market where interest rates were above the fixed rate.

The effect of increasing the home price was evident from 2000 to 2005. The year 2005 recorded the highest price of mortgages in the market.

The real estate sector in 1987 experienced a problem when the number of available houses to be sold went down by about 30%. The drop in the number of mortgage available for sale increased further when the interest increased above the fixed rate (subprime mortage), which affected the economy and went up to 45%. With the above information, Flanagan concluded that there are chances of a 35% decline in the number of homes available for sale in 2022.

In March this year, prices of mortgages increased by 20.6% annually. The data indicated that there are possibilities prices are at peak, mind you, that factors such as appreciation the low mortgages races that have disappeared since then. The 20.6% percentage in increase could probably be the reason why most homes in the U.S are considered unaffordable and the high inventory levels. Low mortgage rates negatively

affect home buyers because homes’ overall cost becomes relatively expensive, thus the unaffordability ratings.

Between last winter and May 2022, home prices have been recorded to be twice as much this year as compared last year. Last winter, houses were sold for about 2.75%, than this year. May this year, mortgages went by about 5.25%, recording an increase. The increase in home prices resulted from the federal government trying to fight increasing inflation rates ( closely 40-year high) by adding mortgage interest rates.

The government had plans to tackle the inflation rates by raising about $9 trillion from interest induced on mortgages.

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The Fact Set data indicated that even with the increase of mortgages prices, the mortgages tied up in stocks and bonds have been vulnerable, with sales and purchase 500 indexes off by about 14% from January while at the same time Nasdaq composite index is more than 20% below its peak index

Flanagan of the BOFA team also notes that those that provide housing for sale are very supportive even though the reduced affordablility of mortgages impacts them by reducing potential buyers. He defines the unaffordability of housing among post people as a harsh condition in the United States of America. Flanagan’s information shows that severe conditions in the real estate sector have affected both investors and buyers.

For buyers, they cannot afford overly expensive morgages. At the same time, investors cannot reduce prices due to the interest rates posed by the Federal government.

Blame is directed to the subprime mortgages and the years of poorly putting up homes. The effects are evident in recent years because of the shortage in the supply of homes which will take a long time before things get back to normal.

Flanagan continues to say that before the pandemic, the supply for mortgages was tight.

After Covid 19, it is evident that most people are shifting to bigger homes in the surburbs away from the big cities, allowing people to work from home.

POWER TECHNOLOGY

Top 10 Property Technology Trends & Innovations for 2022 Research shows that modern technology adaptation has been significantly low in the real estate sector.

The property market is still categorized as traditional.

Property technology (proptech) has ensured digital transformation in the real estate sector. The need to adapt to technology is mainly aimed toward achieving a good customer-client experience in the lifecycle of mortgages, assisting in making good decisions on property management, and encouraging informed investments.

Technological trends such as artificial intelligence and augmented reality are commonly used in proptech. The trend is developing, and rapid investment methods are opening up immense opportunities in the future. Below is a list of 10 innovations and property investment trends that aim to transform the real estate sector.

Artificial intelligence is used in real estate by giving a wide range of data about occupants and location.AI also shows the current market trend regarding the property.

It fosters the investment risk assessment and understands the buyer’s property needs.

A great advantage of AI is 18 | JULY 2022

the fast processing of a huge amount of data and providing valuable insights into the property while simultaneously giving realistic valuation. Agents in real estate have adopted chat boards that assist them in staying connected to their customers. A good example is Gabbi, an AI assistant who responds to clients and keeps

track of information. The use of AI eliminates inefficient and otherwise time-consuming work in real estate.

IMMERSIVE TECHNOLOGIES. The emergence of virtual and augmented reality technologies has reduced the task of

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ARTIFICIAL INTELLIGENCE.

physically touring multiple properties, which is time-consuming and tedious. Also, a preventive measure of Covid 19 where investors can have a virtual tour from anywhere in the world. An advantage of this trend is that clients can tour several properties quickly.

A good example of such technologies is Hyperreality technologies, a Chilen program set that gives 360 degrees virtual tours and lets real estate entrepreneurs give details on the property.

RealAR is another technology used to better the

tour experience of getting a property. It can create visuals from floor plans on actual space, enabling clients to visualize property from their tablets.

INTERNET OF THINGS. The internet of things on the property enables one to detect movements on a building, keeping property safe from unwanted activities and ensuring limited access. The technology also monitors electricity and water use on the property by installing sensors.

Inforgrid is an IoT program with sensors embedded in it and can detect air quality and temperature in a building. The program enables cost maintenance and keeps the premise secure and safer in the long run.

BUILDING MANAGEMENT SYSTEMS. A building management system (BMS) is a technology that automates the lighting and temperature of a building. The system has sensors that detect temperature conditions and adjust according to the tenant’s schedule.

BMS is also used in commercial buildings with large foot traffic and works to ensure social distancing as a measure to reducing covid 19 and can recognize where people are working from.

BMS is cost-effective as it reduces electricity consumption.

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BIG DATA & ANALYTICS. The technology trend aims at giving clients property that best suits their needs. For instance, clients looking for a property to invest in consider the mortgage locality. That is, whether the property is situated in areas close to a school for children or the property is close to an individual’s workplace. The technology thus enables the listing of property according to clients’ desires. Big data analytics is also used to maintain property and constructions by creating 3-D models. Examples of such programs are RRockestate and Northspyre.

system works in such a way that there are smart contracts, and property data is kept safe once the buyer-seller terms and conditions are met. Tokenization helps the younger generation to invest in real estate.

PROPERTY MANAGEMENT SOFTWARE. The software was created to assist in client and real estate agent security documentation.

It assists real estate investors in tracking their clients and deals taking place. Moreover, it enables communication between clients and investors where clients are allowed to advise investors on how they want their property built.

An advantage of this system is that it is cloudbased, and thus, information can be got at any time. Another property management software is; tenant programs, a platform that enables tenants to give their experiences.

DRONES.

The platform lists out available homes in the market for clients to view. Also, the program has an advantage for those with small amounts of money as they can invest in real estate even with little sums of money.

Drones in the real estate industry serve two main purposes. First, they give investors aerial views of the property, which was initially impossible. All information needed on a property before buying is shown by this method.

Secondly, drones are used to check property in commercial structures. For instance, they are used to check any existing problems and monitor the buildings DATA SECURITY. Adapting digital technologies in real estate requires the need to keep data secure. Since most information is stored, online cyber security is key to protecting personal information and sensitive documentation on property.

Government regulations have been strategized to prevent cyber attacks. IoT and blockchain protect data by using tamper-proof blocks of codes.

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BLOCKCHAIN. Blockchain is a technology trend aiming to eliminate third-party agencies like banks and the numerous documentation in traditional systems. Blockchain is also a great advantage to the younger generations who do not have enough money to acquire mortgages. The

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Finance Authority (GSFA) is a duly constituted public entity and agency. Copyright © 2021.

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FEATURED ARTICLE

Expect the unexpected

By Gary Acosta

F

irst of all, I’m glad we’re here and not doing this over Zoom . . . Thank you, Dean Ian Williamson, professors, distinguished guests, parents and other loved ones. And most of all thank you Class of 2022! Thank you for allowing me to join in celebration of this very special day. I applaud your perseverance through a once-in-a-century pandemic. You’ve remained positive in the face of unprecedented challenges – and doing the work required to graduate from one of country’s best business schools. Your resilience has provided you with a tremendous foundation for your future.

I know many of you have jobs lined up and have very clear plans on where you expect your career to go, and some of you have been working during the entirety of your program. It may be a cliché, but I feel confident saying to you that the sky is the limit for each of you.

However, . . . the first thing I can tell you is whatever your plans might be today – for most of you, your actual path, both in career and life, probably will turn out very differently than you 22 | JULY 2022

currently imagine.

You’re all high achievers, successful people who often get what you want. Yet, as much as you want to control things, one of the greatest things to understand in life and in business is that you never know where the next door is going to lead.

I was a lot like you. I was a hard worker and had BIG plans. Soon after college, I started working at a community bank. I wanted to get some work

experience, attend business school, and then work my way up the corporate ladder. I had it figured out! My actual career, however, turned out very differently . . .

At that community bank, I learned a lot about the mortgage business – something that was nowhere on my radar screen initially. And after the bank closed the branch where I was working, I decided to start my own mortgage brokerage.

I was 26 at the time, confident of my ability. In the back of my mind, I figured if it didn’t work, it would be a good experience and it would look good on my applications to business school. However, two things happened that I didn’t expect. One – the business was successful…not huge, but we made some money. Second – one of my original business partners was the woman that I ended up marrying . . . ! Trust me, that’s something that will definitely make you alter your plans.

Fast-forward 10 years: I was 36 years old, married with three kids, doing pretty well with my business. Yet, I knew I still wanted more, to achieve more and have a greater impact.

I wanted monetary success, of course, but I also wanted to do something, consequential… something that had a positive impact on my community.

Being a mortgage banker is a fine career, but it didn’t completely satisfy what I had envisioned as the best version of myself. It was at this time that I co-founded the National Association of Hispanic Real Estate Professionals (NAHREP) – with the goal to improve the professional apparatus that services Latino homebuyers and sellers, and to build wealth for our members – who were realtors and mortgage professionals. NAHREP was a passion project that was designed to benefit thousands of Latinos and their communities.

In a few years, NAHREP began to thrive, and it

became the largest Latino business organization in America. Through NAHREP, I met Sol Trujillo, the global media-communications and technology executive and CEO, as well as music icon and visionary Emilio Estefan. Together we started the L’ATTITUDE event platform. L’ATTITUDE produces major events that showcase the best and brightest Latinos in business, entertainment, sports, tech and politics. L’ATTITUDE inspired L’ATTTITUDE Ventures, a $100 Million Venture fund that invests in Latino led start-ups.

Being a mortgage banker, running a large business organization, and being in venture capital has been great, and I am grateful for all of it, but here is the thing…I didn’t plan any of it.

None of those things were on my vision board when I started my career…

Throughout everything, there are three concepts

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that stand out to me, and ultimately that is what I would like to share with you today.

First: it doesn’t matter where you start…just start, and go hard! Some

of you might begin a job and feel like it’s not the right fit or path. That’s OK…just push forward.

Things always change and evolve. Even when a work environment is atrocious, you are still learning and evolving. And if you pay attention, you’ll find your ultimate purpose and passion.

I’m not a big believer in artificial deadlines. You absolutely DO NOT need to figure it all out by the time you turn 25, 30… even 50 for that matter.

Those timelines and milestones are arbitrary; everyone has their own unique road ahead. Life comes at you at its own pace and opportunities will appear for you, often when you least expect them. Today is getting you ready for that day.

It’s important to allow life to unfold for you, and not forcing it. I believe that if you force things too much, you just might miss the one thing you were destined to do.

Second: take it upon yourself to be really great at something! You don’t

have to be great at everything,. But try to be your absolute best at something. When I started NAHREP, I became the go-to person for anything related to Hispanics and real estate. Strive to OWN a piece of the business world where you are the GO-TO person for something.

You’ll often hear people say that if you want to be successful, surround yourself with successful people. That may be true, but it’s also easier said than done. Really successful people are busy, they have things to do, and they’re probably not going to hang with you unless you bring something valuable to the table. If you are 24 | JULY 2022

really great at something, you’ll have something valuable to bring to that table. No matter how small, it will open doors for you, people will seek you out.

Third: relationships, especially in business, are your currency. It is crucial that you invest in that currency. I attended Pomona College

just down the road where I played Division 3 basketball. Not like here where you play D-1 against the best teams. On a good day, we had 500 fans in the stands. Even though it was a small school, we had a tough coach, a great coach, a real ball buster. He was brilliant and pushed us to our limits. After my playing days were over, I lost touch with my coach. I wish I hadn’t. You know why?

Turns out, that coach was Gregg Popovich. Yes, that Gregg Popovich…the winningest coach in NBA history, five-time world champion, Hallof-Famer, the GOAT! I didn’t stay connected to him, and if my business was sports, I might have some regrets, but I learned something . . .

You never know what the person sitting next to you will be doing in five or ten years. So be nice

and fastest growing demographic in the country.

In fact, the majority of our workforce, new business formations, and consumer activity in the coming years will come from Latinos and other diverse communities.

Regardless of your political views, this simply is the truth: it is a mathematical impossibility for our economy to grow and our nation to prosper if our minority communities aren’t also thriving! to people, take care of those relationships, help others, be authentic. In time those relationships can be game changers for you.

Now, I know you have a full graduation ceremony ahead of you, so I’ll get to my closing thoughts. I want to leave you with this . . .

As you are probably very well aware of, our world is changing rapidly and drastically. We have more opportunities and greater access than ever before. But by the same token, our country and the world are dealing with an array of threats, and our growing wealth and income disparities are near the top of that list.

There is little doubt that our version of capitalism has built the largest economy the world has ever seen, but it also has created horrifying inequality.

These wealth and income gaps, particularly in our minority communities, pose an existential threat to the prosperity of our entire nation and threaten our leadership in the global economy.

The good news is that as the average age for Americans gets older every year, some specific groups are still young, vibrant and growing.

Latino-Americans, for example, are the youngest

Many of our business leaders understand this future and are acting to create opportunities within it. Marc Benioff, the Founder/CEO of Salesforce and a recent speaker at L’ATTITUDE, called on business leaders to embrace a broader vision of their responsibilities by looking beyond shareholder return. He implored us also to measure stakeholder return. This requires a focus not only on people who own stock in the company, but also on the people whom the company impacts — the employees, customers, communities and, yes, the planet!

You are our future leaders. With your hard work and success, you can play a huge role in how America evolves, in how equity and equality are created, in how communities thrive and prosper. This is a significant responsibility that not everyone is fortunate enough to hold. I hope you all can appreciate and honor just how much power you have to change your world.

I wish you all great success in your career pursuits, and I urge you to be part of the solution creating a new and more inclusive capitalism for America.

Thank you, and Good Luck!

JULY 2022 | 25

Here are 5 costs a homebuyer should be considering from the start

By Sharon Bartlett

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home is considered one of the most significant purchases in a person’s lifetime.

Several expenses are incurred in the process. They include;

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1. STAMP DUTY AND PROPERTY TAXES The buyer must pay these taxes and vary depending on the state. A house located in the city or the suburbs is also a reason for price variation. Typically a stamp tax is 4%-7% of the total cost of the house. It authenticates the sale agreement and evidence that a home has been sold or bought. The buyer should also consider other taxes that are paid annually and increase after a while. As first-time buyers intend to get out of rental houses due increase in rent every year, they should also be aware of these taxes to avoid being surprised after buying a home.

Property taxes are crucial and should never be overlooked.

When one buys a house under construction, the buyer must pay good and service taxes. It is 1% depending on the house’s location and size.

Registration fees are paid for transfer of ownership from seller to buyer and records updated properly. It usually is around 1% of the total cost.

2. MAINTENACE COSTS Buying an older home is cheaper, but the buyer should take caution in unforeseen costs due to numerous repairs done on the house. People not familiar with older homes are advised to use contractors.

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Maintenance for older homes is more expensive than for newly built homes. There are cases where the maintenance cost can be very high depending on the condition of a house, but usually, maintenance costs are 1% annually. The location and size of the house determine the cost of maintenance also. These charges generally cater to building security, lift heads, water, and electric bills. In case of advance maintenance, the builder collects the money in advance a year or two prior.

3. PARKING CHARGES Buying a condo at a times requires parking fees that are paid either once or annually. The cost defers with the builder. There are townhouses where one is given space for one vehicle and pays for the other areas in case he has more than one. There are instances where a buyer must buy a garage if he wants one within the complex for both the vehicles and extra items one might have.

The buyer also incurs charges named Transfer of ownership memorandum paid to the local body or transfer charges paid to the association for Transfer of property ownership in case of a resale transaction.

The buyer may also incur preferential location charges for units in better places. Ammount paid depends on the various builders and are not fixed.

4. HOME OWNERSHIP ASSOCIATION CHARGES Some homes are managed by HOAs.They are either paid monthly or annually and defer depending on where the property is and the

services the HOA offers. It is crucial that the buyers are well aware of these costs before buying the house to determine if the price is within their budget In a townhome with pools, escalators, playing ground, and a gym, the homeowner association fee is likely to be higher than townhouse with a gate or escalator only. The prices are not only paid in condos but also in single family homes with in a gated community. Buyers are urged to carry out careful research on the HOA. 5. INSURANCES The insurance can be either home owners insurance or mortgage insurance.

Lenders require a home ownership insurance if one acquires a home through a loan. The insurance cover occurrences such as fire.

Although they are a requirement for those with mortgages, cash buyers are also encouraged to have the insurance. It is usually paid monthly as a combination of principal, interest , taxes, and insurance, commonly referred to as PITI. In case the house is located in areas prone to floods, one is urged to take private insurance which covers the buyer in case of a flood or hurricane.

Another type of insurance is the mortgage insurance often needed if the buyer did not have the 20% deposit by the lenders. The insurance is usually paid along with mortgage payment loans such as the FHA have different types of mortgage insurance, same case to other types of loans. The expense varies with the size and location of a house being bought. The insurance, however can be canceled when the buyer pays a loan-to-value ratio of 80%

Buying a home requiress a realistic budget to cater all expenses related to the buying process. In case of trouble when budgeting, there is always an option to hire financial experts. It is necessary to plan well to avoid having too much debt in the future or being disappointed.

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What to Avoid as a First-Time Homebuyer

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By Emerick Peace

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irst-time home buyers experience various challenges during the process. When getting a mortgage, one should consider the following; 1. Rushing the search process Buying a home for the first time is a complex process and requires a lot of preparation time.

Speeding the buying process eventually costs the buyer. The reason is that the buyer does not take enough time to work on credit scores, particularly those less than 600. It leads to severe long-term consequences when looking for a lender and determines the mortgage interests one is given.

Rushing does not give one enough time

to make savings that would be required as a down payment and can even make it impossible to acquire a mortgage one needs to buy a home.

People looking forward to buying houses are encouraged to prepare at least one year earlier. During this period, a buyer should be improving their credit score. Time also allows one to save more and clear off debt, thus increasing the chances of getting a mortgage.

2. Waiving some critical contingencies.

Most first-time home buyers know little about a bought home inspection. A tendency to avoid this inspection costs the buyer in the long run. One needs a professional home inspector who can recognize problems the buyer might not recognize. It is essential to JULY 2022 | 31

inspect because, in case of any issues, the buyer can bargain or even look for another home if it has severe damages 3. Attempting to buy sight unseen.

There are occurrences where people buy property without seeing it. The act is precarious and would adversely impact the buyer. One may get a property that does not exist, which is very common. It would mean a loss in vast amounts of money and huge debts to be paid back to lenders.

Buying a home without physically visiting the place has disadvantages as a house could be in poor condition compared to what a person had seen online. Home could be situated in areas not conducive and insecure.

Potential buyers are advised to set aside time and physically visit the property they intend to buy. It makes the buyers aware of every detail they need and helps them prepare for any future expenses after purchasing the house.

Buyers Working without a realtor when buying a mortgage.

Some buyers risk when buying a home directly from sellers. It is a cheaper method, but in some instances, it is not always good.

Realtors play a very significant role in the home buying process. They help buyers select the best lenders in the market with the best interest rates. Realtors also help clients locate the best property within their budget.

In-home buying, buyers should find a real estate agent to get the best homes.

4. Buying more than one can afford Most first-time home buyers are easily trapped in buying a home that is more than they can afford to pay. It affects the buyers as it can lead to foreclosure when one experiences financial constraints. Other than that, it also makes it challenging to fund a retirement account, education for children, and additional saving that a buyer has. It leads to difficulties in paying bills and other expenses that buyers incur.

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It is always advisable that a buyer pay an affordable monthly payment but not necessarily the maximum limit now qualifies.

Home buyers should be sincere with their lenders to avoid struggles during payment.

5. Draining savings.

First-time home buyers are often lured into using all the savings on the downpayment and closing costs of a mortgage. By so doing, they are left with no savings to avoid paying mortgage insurance.

First-time home buyers are advised to have an emergency fund of three to six months as they pay for the downpayment of the home and the closing cost of homes.

6. Credit carelessness It is a norm for lenders to take a look at credit card reports during pre-approvals. Before closing, lenders recheck the credit if still report still good.

Most first-time home buyers encounter problems opening new credit accounts before closing. New credit tampers with a report and lowers the credit score.

First-time home buyers are advised to avoid new credit accounts or take new loans in the prior months before applying for a mortgage.

Also, they are advised to improve credit scores by ensuring that bills are paid on time.

7. Overlooking the FHA, VA, and USDA loans Often, first-time home buyers are less concerned with government-based loans that help pay mortgages. Buyers avoid the home buying market since they do not have enough money, which should not be a bother.

First-time home buyers thus should look for financing options to help in the home buying process. Preferably they should look for loans that require a minimum downpayment deposit to assist in the home buying process.

Want to Refinance?

Consider these five things

By Adriana Montes

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ome loans are typically paid off in 15 to 30 years. During this period, one may want to consider refinancing to reduce the interest rates.

Another reason may occur when one wants to have a different lender due to unsatisfactory issues. Home refinancing involves restructuring a home loan. A good example is when a person has additional money and wants to repay the mortgage within a shorter period or increase the loan payment duration.

Home refinancing leads to revised interest rates which is an advantage. Several aspects should be put into consideration before refinancing, such as;

1. IMPLICATIONS BROUGHT BY REFINANCING. Refinancing a mortgage earlier than three months has consequences. Home buyers tend to pay more money in the long run. It is called the interest rate differential penalty and varies with different lenders.

A person who reconsiders refinancing to lower interest rates would be at an advantage and lead to saving money. For example, if a person living in San Fransisco is charged a penalty of $3000 and saves $200 a month, it would save a lot of money in the long run.

One considering refinancing is advised to consult a mortgage broker who knows different lenders and can help one choose a lender with the best mortgage rates.

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2. DOES ONE HAVE GOOD CREDIT? Credit scores differ with different lenders.

Generally, one should have a minimum of 620 to acquire the best refinancing ratings. People with higher credit scores are given lower interest rates, while those with lower ones are offered higher interest rates.

People with incurred debts, no jobs, or are bankrupt are considered low scores. In some states, self-employed people with no third-party validation are charged with high-interest rates.

Before refinancing, one is encouraged to work on credit scores, ensuring they are high so that one has low-interest rates benefits In some cases, it would be advisable to seek assistance from lenders who help people with poor credit scores to refinance.

3. REFINANCING WITH THE SAME BANK. One can refinance with the same bank. However, the best option would be to shop around and, in some cases, look for a finance broker who is knowledgeable of different banks and the best to pick.

Brokers are also beneficial to people with bad credits who are unsure what bank or lenders to pick during the home buying process.

However, refinancing on the same lender would be good because they give the best interest rates to encourage one to work with them since they have most of the home buyer’s personal information.

4. BUYING A CAR DURING REFINANCING. Mortgage specialists discourage people from buying anything that would tamper with credit score during an assessment of refinancing application to avoid vast amounts of overall mortgage cost.

Auto loans are considered during the process of calculating the DTI ratio. Auto loans that require a lot of monthly payments lead to high DTI, leading to high-interest rates.

5. PEOPLE SHOULD KNOW THEIR TAXES. The Mortgage interest deduction can either reduce or increase the overall interest rate. A 36 | JULY 2022

reason for most people to avoid refinancing is that they depend on their mortgage interest deduction.

An occurrence whereby one refinances and pays less interest leads to a deduction on income tax.

Within the first few years of a loan application, there are incidences where low-interest rates increase income tax. It is common when the monthly interest portion is higher than the principal.

In December 2017, a law was passed that affects the interest on mortgage deduction. “The new higher standard deduction—$25,100 for married couples filing jointly in 2021, compared with $12,700 under the previous law—may make itemizing deductions less financially attractive to more taxpayers.” Wealthy homeowners can reduce interest on up to $1,000,000, but; the limit for new mortgage debt is $750,000 from December 2015.

Interest and rates are also crucial when comparing mortgage loan offers. Points are 1% of the equal amount of loan. That is typically paid in an attempt to reduce the interest rate.

Always consider the total cost you pay for each loan. Refinancing points are usually paid at the closing or wrapped into the new loan principal.

6. COMPARING RATES WITH TERM Borrowers put much emphasis on interest rates. When refinancing, one should choose a refinancing model that best fits someone’s needs.

People who want to reduce the monthly payment are encouraged to select a method with the lowest interest for the most prolonged period.

However, if one intends to reduce the overall cost in the loan period, the best method would be to pick a process with the lowest interest and one with the shortest term, which is common among people who typically want to pay off their loans in the shortest period.

CONCLUSION. Mortgage refinancing is a complex process and requires careful investigation by the borrower.

One should consult reputable lenders to help make the best decision on whether or not to refinance.

Scottsdale Real Estate Market Appreciation Data Market summary

By Yvonne McFadden

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cottsdale is a city in Arizona known for its spa resorts and golf courses. In June, the city had 2541 homes available for sale. In May 2022, 2142 homes were sold compared to 1325 in May 2021. The city has quite a significant number of homes sold out than other cities in the United States of America. The median price of homes was $964K in May 2022, while in May 2021, the median price of homes was $864k. There is a change in the market day as in May 2022, and homes stayed in the market for approximately 33 days, while last year, homes stayed for 29 days. The schools in Scottsdales are 125 in total, with 57 being elementary,40 being middle, and 28 high schools, which shows that the town does not have any schooling deficit.

Scottsdale has a rating of 7 out of 10 schools by excellent schools.

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Out of the 2541 homes that are currently available for sale, 323 are new homes,124 are open to being seen, and 622 homes have reduced prices.

Scottsdale is a seller market since many people want to buy homes, while fewer houses are available for sale. It shows an imbalance between demand and supply, thus leading to increased home prices in the town.

MARKET TRENDS AND STATISTICS In June 2022, there was an increase in a market trend whereby homes sold at an average of $975 from $964 last month. Also, homes were sold at an average of $875 last year. There are possibilities of Scottsdale experiencing increased prices in Q3 of 2022. There also has been noted l

39

an increase in the median price per square foot because the current price is at $441 while last month the price was at $440, and last year in May, the median price per square foot of homes was $363.However, the median home size in June has reduced to 2314sqft from 2323sqft in May 2022. Last year in May, the median home size was large, being 2525sqft. After careful research, the home prices of Scottsdale have increased by 29.3% year over year between 2021 and 2022. The real estate market was steady from 2013 but started snowballing in 2022 when the market growth increased sharply. Covid 19 virus brought awareness and encouraged most people to own their homes to protect themselves from the pandemic that might be there in the future and allow parents who work from home to have enough office space and also enough rooms for the family.

MARKET TRENDS FOR SINGLE-FAMILY HOMES The median listing price was $1.297M in May 2022, increasing from $1.250M in 2021. In 2022, the market prices of homes have been fluctuating over the last six months. February had the highest median list price, which was $1.4M.The price went down in March, rose again in April, and recorded lower median listing prices in May and June. June’s 2022 listing price is approximately $1.25M.

In May 2021, the median home size was 3364sqft. The home size has reduced significantly to 2945 one year later, and data proves the home size square foot will continue to dwindle. June currently has the lowest home size being slightly above 2900.

Last year in May, the median market days were 31, and the number has reduced in May 2022.

Those market days will continue to go down in June and the rest of Q3.

MARKET TREND FOR CONDOS/ TOWNHOMES The median listing price of condos in May 2022 is $624,520, an increase from $499,900 last May. As of June, the price was reduced to $610,000.

In 2022, the median listing price was highest in April 2022 at $640,000 and lowest in March at $601,000.

The median price per square foot in May 2022 was $396, while last year, May, it was $334.

June 2022 recorded a slight increase in median prices per square foot, $398. Up to June 2022, the price was lowest in March 2022 and highest in February.

The price per square foot in May 2022 was $472, while last year, in May, the price was $378.

However, there has been a decrease in cost per square foot as in June, the price per square foot is $461, whereby the trend might persist in Q3 2022.

May 2021, the number of houses available for sale was 413, whereas 12 months later, the number increased to 747, and the number of homes available for sale continue to increase.

There has been an increase in the median home size per square foot from 1473 in May last year to 1729sqft in May 2022. The median home size was lowest in February 2022 and highest in April 2022.

There are 1550 single-family homes for sale; in May last month, 1395 homes were available for purchase. At the same time the previous year, only 912 homes were sold. Between January and February 2022, homes available for sale were the lowest, but from May, the number continued to increase steadily.

CONCLUSION The median list price of homes in Scottsdale is 1% between May and June 2021, and inventories increased by 8% in June 2022. Competition in the real estate sector in Scottdale is stiff as people look forward to buying homes every day.

40 | JULY 2022

Payson Real Estate Market Update

By Tamra Lee Ulmer

PAYSON’S MARKET TREND FOR SINGLEFAMILY HOMES. In May 2022, Payson recorded a decrease in the home price listing from $640,000 in May 2021 to $598,750 in May 2022. Between January and June 2022,February records the highest medial list price at $681,000 while April shows the lowest median list price of $600,000.

May 2021, the median price per square foot was $278, and 12 months later, the price rose to $302. June 2022 records a slight increase since the price is at $307.Data shows that between January and June 2022 median home price per square foot was highest in February and lowest in April and May. May recorded 110 homes for sale in 2022, while JULY 2022 | 43

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HOUSING MARKET SUMMARY Payson, a city located in Arizona, currently has a home listing of 226 active homes as of June 2022 and 24 of them being new. In May 2022, the median price listing of homes in the town was $592,000, which shows an increase of 11.1 % year over year, and the median market days were 32 in this compared to 33 last year. In May 2022, there were 113 homes, while at the same time the previous year, only 44 homes were sold.

Payson has an average of 13 schools,5 high schools, 4 middle schools, and 4 elementary schools. The average listing of the schools is 5 out of 10 excellent schools. Payson remains a seller market, indicating that more people are willing to buy homes in the place compared to the number of homes available for sale. Most homes are sold below the listing price in Payson in 2022, averaging 0.94% below the asking price.

The median home size per square foot for single-family homes has decreased from 2509 in May 2021 to 2052 in May 2022.

The home size was further reduced to 1980 in June 2022. April had the highest number of home sizes while January had the smallest home size, 1929.

The median market days for single-family homes were 13 in May 2022 while the median market days for last year were 33.

Within the first half of the year, January has the highest number of market days, while June has the lowest number of market days. It shows that homes are being bought at a faster rate.

MARKET TREND FOR CONDOS. The median list price for a townhome in May 2022 was $275,000, increasing from $220,000 in May 2021. The median list price was highest in January at $299,000, which decreased steadily up to April 2022 and May 2022, whereby the price remained constant. In June 2022, the price is at $283,900 The median price per square foot has also shown an increase in price between May 2021 and May 2022. In 2021, the price per square foot was $185; in May 2022, the price was $201. In June of 2022, the price is currently at $217.In the first half of 2022, the price per square foot was highest in January at $218 and lowest in February at $199.

44 | JULY 2022

The number of homes available for sale in the last two years has been deficient since last year May, an open house for sale for a condo was just one, while in 2022 May, the number of homes available for sale was just three. The low number of condos is a bit worrying for those who would prefer to buy a condo. In the first half of the year, January had three homes available for sale, the number decreased to two, and later in March, the houses open went down again to one. From April to June, three homes were available for sale up to June.

The median home size square feet for condos in May was 1306 in 2022, while in 2021, the median length was 1188 showing an increase in the home size.

Within the last six months, home size square feet was highest in February, having square feet of 1,441, while June recorded the lowest number being 1,000.

Condos in 2022 have proven to stay in the market longer than the other years. In May 2022, houses remained in the market for 46 days, while last year, the same month, homes stayed in the market for 11 days before being sold out. Thew market days have been fluctuating over the previous six months where by March, the most extensive market days were 70 while January had the lowest number of market days, 13. Currently in June, there are 58 market days. It is suspected that the price might continue to increase for the rest of the year.

CONCLUSION. Between May and June of 2022, there has been a decrease in the median list price of homes by 4%. Also in June, inventory levels are currently 23% higher than last.

The information indicates an enormous gap in the housing market of Payson between demand and supply.

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in May last year, the home prices were at 43. In June 2022, the number of homes available for sale was approximately 136.

Within the first six months of 2022, the number of homes available for sale has increased steadily. Currently, June records the highest number of homes available for purchase, while January and February have the lowest number of homes.

The highest offer is not always

the best offer!

By Walter Huff

O

PHOTOS FROM 123RF

ne might think buyers with the highest bid are more likely to buy a home. Well, that is not the case. The seller considers other issues that might lead to one with a lower offer having an opportunity to own the house. Such issues include; 1. PAYMENT PLAN Cash buyers with less money are more likely to win the offer. Mortgage buyers indicate many processes that have to take place, such as looking for a lender, opening an escrow account, and many more that the seller might find timeconsuming. Although it may seem impossible to have all the needed cash, data show that 43% of homebuyers in 2014 were cash buyers.

2. PRE-APPROVAL LETTER Pre-approvals are generally acquired from banks and lenders. They show that a buyer can afford a house at a given range of money. A buyer with a pre-approval automatically turns into a virtual buyer. Thanks to the harrowing experiences associated with acquiring mortgages in the current days. Most sellers are not attracted to offers not accompanied by pre-approvals because the buyer is unsure whether he will obtain the loan. Consequently, the seller wants to sell off the property as quickly as possible and does not have time to wait until a buyer gets preapprovals.

3. TIMELINE FLEXIBILITY When making an offer, it should align with the seller’s interest. Even if a buyer has a lower offer, JULY 2022 | 47

4. A LETTER Many people that use this tactic are more like to buy the house. Most people who bought houses recently indicate that writing a convincing letter has greatly helped them. The letter shows how the place will be condusive to the buyer. One can document that the property is close to the school, and thus children will not have to travel long distances. One can also praise the seller for the perfect house he has, commenting about the design and other things the buyer found attractive. Such letters are a way to win the seller’s heart and, most likely, even with an offer being among the lowest, might win a chance to own a property. Such letters appreciate the seller and should have a convincing tone.

5. HAVE FEWER CONTINGENCIES One with fewer contingencies is usually attractive to the seller when making an offer.

The buyers are then asked to keep their contingencies minimal. However, there are certain contingencies that should never be waived. Different contingencies can be handled in different ways, such as

6. INSPECTION CONTINGENCIES Inspection should never be waived because it can adversely affect the buyer. However, the buyer can indicate on the offer that an assessment will be carried out, but the buyer will take the cost of repairs.

7. FINANCE CONTINGENCIES The contingency should never be left out.

However, to convince the seller, it should be carried out very fast. 30 to 45 days of closing and 17 to 21 days are used to get mortgage approval. For a seller to accept a lower offer, the buyer should seek a pre-approval to make the finance contingency less of an issue.

8. DOWN PAYMENT A seller also checks the potential of a buyer to pay for a home in due time. A buyer with the highest downpayment amount is more likely to be considered. Sellers want to avoid buyers with very high offers as much as possible but with a minimum downpayment. F or a person with probably a 5% down payment, It is an indication to the seller that in the later years, the buyer might not be able to pay for the house. Thus a seller considers a person with more deposit and is more likely to pay for the house in the shortest time possible.

9. ESCALATION CLAUSE Buyers do not commonly use the method; thus, individuals can take advantage of this. It is a clause whereby a buyer indicates that he will pay a given amount of money over the highest bona fide and is not associated with a home sale contingency. The clause provides the seller with an opportunity to make more money, even if it is with lower offers. In a highly competitive seller market, buyers who use the method have a higher chance of winning a bid.

Thus, before making an offer, a buyer researches the property. Identify the time; lines of the seller and also make sure that whatever is in the proposal is in line with what the seller would be looking for in selling a house.

48 | JULY 2022

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it is more likely to be considered. For instance, a buyer might give the seller two months to the closing date so that kids are not transferred in the middle of the term. There are other instances when a house will not be ready in a given period to the closing date. A buyer thus takes advantage of telling the seller that he will take care of the costs, and the offer is more likely to be attractive.

If everything is ready on time for the closing date as to be one month

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Here are the five most important questions to ask before buying a home in an HOA area

PHOTOS FROM 123RF

By Heith Mohler

A

Homeowners association governs property located in a gated community. The property may be a condo or townhouse, or single-family home. One of the main reasons to have an HOA is to maintain a clean and monochromatic environment.HOA’s way of running may vary from one HOA to another.

When searching for a house, it is necessary to determine if a homeowner association manages the property and how it operates. A buyer of a house can do it himself or through genuine estate brokers and other professionals who are good at what they do. Home buyers must ask questions about an HOA if they are willing to live in a nan area managed by an HOA. Such questions include;

1. CAN THE BUYER AFFORD THE PROPERTY. Usually, living in an HOA restricted area is associated with monthly fees to maintain the property, like sweeping the pavements. Costs vary with different HOAs. Thus the buyer needs to check the prices and determine if he can afford the fees. Buyers are advised to practise due diligence by asking about the costs that have been paid over the last ten years or five years. It is essential to do this so buyers can predict the increased fee rate and determine if the current prices are undercharged to attract customers. HOA fees for old houses and complex ones with more units are generally more expensive.

In developing estates, the monthly fees may decrease as more buyers flood in, thus cost share.

The buyer should also be aware of additional costs to be catered for, such as repairing an elevator and replacing an HVAC system. With all the information gathered, the buyer can tell if the HOA fees meet his budget or whether to look for property elsewhere.

JULY 2022 | 51

2. WHAT ARE THE HOA RULES It includes the restrictions, covenants and conditions related to an HOA. The three components are different for different HOAs. Thus the buyers should not assume rules such as how many vehicles can be packed where and the home paint colour. The buyer also checks for pet ownership, whether one can build decks or if one can run a home business.

The restriction also covers how high a fence should be or whether one can have a mailbox.

Environmentalists are guided on whether they can plant more trees or cut the present. There is a certain height at which a tree should grow and landscaping, which is detailed in the HOA rules.

After finding out the rules, one can tell if the HOA has many restrictions or if he is comfortable with them. . Also, it is necessary to have the limitations and restrictions for people who want to rent a house and determine whether the HOA rules and regulations will attract potential clients.

3. WHAT ARE THE AMENITIES?

4. CONFLICT MANAGEMENT Sometimes, a disagreement arises between two owners of the property or between an owner and the HOA managers. Buyers should know how the HOA solves conflicts and the repercussions.

It is also necessary for the buyer to know the penalties given in such incidences. Buyers can find out the information by asking for records of the initial case and reading through to see how the case was handled. In this stage, one also examines how the HOA manages additions and on what conditions they amend rules.

5. INSURANCE COVER. There are areas where insurance offers a coverup to a Certain Extent. The buyer checks the information to tell what cover to secure. For instance, the HOA has an insurance cover to protect exterior walls in a condo set up while the owner is responsible for fittings inside the house such as the floor tiles, interior paints and blockage. The buyer also should check if the HOA covers catastrophe insurance such as a flood. On the side, a buyer should also check for any additional insurance covered in the HOA. After knowing more about an HOA, the buyer then decides whether they will acquire property in a given HOA system, whether the buyer is comfortable with the set you [ or whether the buyer gets property elsewhere.

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Amenities are checked to determine if they are among the buyers’ needs. They also affect the monthly fees. Amenities may vary from having a simple gate to having a clubhouse. Property located in a community that has many activities has more fees required. Also, when assessing the extras, one checks whether they will fulfil the buyer’s needs. For instance, the buyer checks if the community has a swimming pool and the times people are available, If there are gyms within the area if need be, If there is a shopping mall within the community or if there are public

schools within the region. Where is the police post? Is there a hospital nearby? The above are other examples o questions that one should consider.

52 | JULY 2022

PHOTOS FROM 123RF

Riverside Market Update and Market Appreciation Data for Q3, 2022

By Ruby Frazier THE HOUSING MARKET IN RIVERSIDE Riverside is a city named after the Santa Ana River in California, the USA. The city remains a seller market as home prices increase daily and the number of home buyers continuously floods the market. Twenty-six neighborhoods surround it; the best are La Sierra, Orangecrest, and Canyon. Compared to other cities in the USA, Riverside is affordable. It hosts about 3 million residents. In the last decade, the town has experienced massive growth. In 2008, the United States experienced losses, and most towns went down in the real estate sector. It was again hit by the Covid 19 virus that affected almost every part of the world. However, Riverside portrays a remarkable improvement in the real estate sector. After the virus, employees are quickly recovering their jobs and finding it best to buy homes in the area.

Riverside records high inventory levels as few sellers are willing to put their houses on the market, and in the last years, many people from the outskirts have been flooding in. Home costs between $12.9K and $14M.In April 2022, home prices increased by 20% year over year, where homes went for about $639K median price. Markets days for homes are 15 days compared to 16 in the last year, showing a slight difference. However, this year in May, the real estate investors sold fewer houses because 257 homes were sold last month, while at the same time the previous year, 340 houses were sold out by investors. In 2022 compared with last year, Riverside has experienced high home price interest rates, limiting most buyers. Real estate investors concluded that in the third quarter of this year, home prices will go up again and that there will be constant interest rates. Market days will reduce, and more houses sold in the three months.

JULY 2022 | 55

Single-family homes in May went for an average of $642,500.In the month, there was an increase of 19.8% compared to May last year, when the median home pricing cost was slightly below $550,000.It indicated an increase of about $100,000. Houses in May were priced at $507,500, recording a 29.3% increase. Riverside has not only shown a price increase in townhouses and single-family homes but also recorded a significant increase in price in condos.

The median sale price for condos was $403,500 and, like other types, recorded a rise year over year percent, which was 20.4 in May last month. Last year May, the median sale price was approximately $280K. MEDIAN MARKET DAYS As mentioned, homes last month stayed for about 15 days before being sold, a decrease of 1% yearly. Since last year, the median market days for allfamily homes have been 16. It is an improvement in the second quarter of 2022. However, for townhouses, the median market days last month were 37 showing a 17% increase year over year, while the median market days were 12 in May 2022, indicating a decrease of 8% year over year.

The home market in Riverside is very competitive as a home receives more than one offer, and some buyers give offers with waived contingencies.

Average homes sell for 3% above the listing price and go pending for around 17 days before selling. Homes on high demand sell at 7% above the listing price and pend for about one week before selling. In the third quarter of 2022, home prices will likely remain the same or have minimal changes.

The statistics also show a decrease 56 | JULY 2022

of 2% from May to June this year, whereby the price per foot of a home is $353 from $352 last month, indicating a slight difference. Riverside experienced 11% in June this year compared to the previous month, with only 806 houses available for sale. It could be a reason for the increase in house prices resulting from the imbalance between supply and demand. Another reason that leads to the housing gap in Riverside is the proximity of the city to Los Angeles and San Diego, whereby Los Angeles is a busy port and San Diego is a dynamic city.

THE MEDIAN PRICE PER SQUARE FOOT OF A SINGLE-FAMILY HOME IN RIVERSIDE In May last month, the median price was $355 per square foot; the same month the previous year, it cost about $307 for a single-family home.

February this year, the median price was lowest at $335, while in June, the price was slightly above $355, showing a possibility of an increase in cost per square foot in the third quarter of 2022.

THE MEDIAN PRICE PER SQUARE FOOT FOR A CONDO IN RIVERSIDE In May 2022, the median price per square foot for Condos was 4334, while in May last year, it was $307. However, in June, the cost per foot decreased slightly above $325.

CONCLUSION Generally, the median list price for all homes in Riverside is slightly lower at $633K from $650 in May 2022. The median home size decreased in June 2022 to 1805sqft from 1849sqft last month. However median price per square foot has increased from $352 in May to $353 in June.

COVER STORY

Karen Hatcher The Four Ways Real Estate Helped Me Create a Life of Sovereignty

The real estate industry has been predominantly male-dominated and widely considered a white man profession. In the 19th and 20th centuries, this industry was primarily dominated by white males with just a small number of white females coming into the picture in the early20th century. It was also during this time that prejudice and inequality took roots in society and became widely practiced. Most of the country was segregated and African Americans were out rightly denied the basic access to housing among many other rights that today we take for granted. It is important to understand the dark place we are coming from for us to truly understand the remarkable feat the personality we are featuring in this issue of our magazine has made. In a profession that was widely regarded as predominantly white, this important figure has defied all odds rising to the top and making a name for herself. Indeed she has made history and her name will forever be remembered and plastered in the books of history with other remarkable women like Biddy Mason, Nancy Johnson, Ernestine Johnson, and Johnnetta G. Paye.

K

aren Hatcher is one phenomenal woman, and even that is an understatement and simply not enough to describe what Karen has achieved both personally and professionally.

She is a Mother, wife, and real estate executive, and also the CEO and head broker for Sovereign Realty & Management. She is a Certified Property Manager® (CPM®), which is the elite mark of distinction for those invested in real estate demand when they seek someone who they trust to manage their assets. Serving the Atlanta metro area for over a decade.

Karen is a Rochester, New York Native. She went to Georgia for school and graduated from Clark Atlanta University with a degree in Finance in 2002.

58 | JULY 2022

“

I fell in love with this amazing city and I then continued my education achieving a Master’s in Business Administration, with a concentration in Real Estate, from Georgia State University in 2011.

Interestingly, Karen did not start her career in real estate immediately, but like so many other people before her, real estate was something she grew in love with as time passed. She started her professional experience early on at 21 as a restaurant manager. She managed a

PHOTO CREDIT TO SOUTHEAST MORTAGE

local restaurant chain in Atlanta where she was successful after which she went to work for several of their locations ending with one in Lenox Mall.

“I was given an opportunity to do marketing in my own way including giving myself and my new role a title. I became the Director of Marketing, a really cool experience.”

Shortly after, Karen went into the formal corporate environment for a newly IKEA company as the fourth management hire. This is a position that Karen excelled in but didn’t really feel that she fitted in the position. Karen recounts that she felt the proverbial ‘glass ceiling’ working for someone else. It was also at this time that she began questioning whether she was enough for the role mainly because of the environment’s negative projections which ultimately began to affect her self-esteem. For instance, some of the things she struggled with were being black, and being a woman but these were the things that she used as a pillar to motivate herself toward becoming her own boss.

In addition to leading her prestigious brokerage, Karen is also the president of Atlanta REALTORS® Association serving as the chapter’s 97th president and the first African American woman and African American Owned brokerage to hold this position. The Atlanta Realtors Association is the largest local real estate trade association in Georgia with almost 14000 members. Karen is also a State and National Association of REALTORS® voting Director and the Federal Political Coordinator, appointed by NAR for Congresswoman Nikema Williams for the 5th Congressional District of Georgia.

She eventually got into real estate and ever since she got into the industry, she never looked back, it has been in the industry for 20 years now!

In 2008, Karen founded Sovereign Realty & Management scaling it to be Atlanta’s leading real estate investment-focused and property management group. The company aims to be a full-service, one-stop-shop real estate management experience with the necessary “know-how” to provide her clients with unparalleled service. She and her dedicated employees serve every customer with the passion of their motto, “Improving Lives, Transforming Communities.”

60 | JULY 2022

“

“Venturing into entrepreneurship and specifically a career in real estate has been one of the best decisions of my life because it allowed me to gain control over my life and create limitless income for me and my family.”

“As a business owner, wife, and mother of three, having the opportunity to fuse work and life together is the optimal situation for me.

Sometimes you have to blend those worlds.

Working in the real estate industry has given me control over these wonderfully moving parts of my life.”

“Being a woman of color, being short, being a woman period, it didn’t matter if I was number one in Sales, in my department, creating innovative events, record revenues for the company – those judgments have been made against me.”

Owning properties and companies put Karen in very prime positions as she did not have anything to prove to anyone.

“I show up for myself every day. I like to call it being in a constant state of Sovereignty which, for me means, owning your total self and your life – including owning more real estate!”

Today, Karen through her companies helps create and maximize the value for real estate property owners and it makes sense now especially given the recent appreciation values for homes countrywide.

“You can be debt-free in a couple of years by leveraging other people’s money to generate income.”

Through her company,

PHOTO CREDIT TO SOUTHEAST MORTAGE

A black woman operating in a field that has been operated by men will come with challenges and for Karen, being counted out is something that she always faced but quickly overcame.

Karen helps people realize the American dream of homeownership through investing in real estate. She believes that the goal is not just about making money, but knowing that she is able to help people kick start their homeownership journey.

real estate to transform our lives and create a foundation of wealth for our family. When we were dating in the early 2000s, my roommate and I were looking for a new place to live, and I convinced him to buy a fixer-upper rental property for us.

One other area that Karen is so much invested in is affordable housing solutions for teachers, nurses, blue-collar industry workers, entrepreneurs, and anyone else with a strong desire to invest in real estate or even to become a homeowner.

My fiance’, at the time, was in construction, so I asked him if he was open to partnering with me to buy a property, fix it up, and then allow me to lease it from him. I also agreed to manage the property as the tenant.

“We help you realize your dream with creative real estate investments. Everyone’s dream and the end goal are different.

We find solutions that are tailored to your needs.”

He gave me this look that said, “You are on to something.” And from there, we were off to the races. I chose the location, property, and layout and that was our first official deal together on a quest to become a ‘power couple.’

4 WAYS REAL ESTATE HELPED ME CREATE A LIFE OF SOVEREIGNTY My husband and I have used

We went on to do more deals together, then I purchased my JULY 2022 | 61

first home in 2007 and he renovated it. Later that year, we got married and several deals later, along with a family of six, we have a portfolio of income-producing real estate today.

I am led by the desire to live from a place of Sovereignty. To me, that is intentionally creating a Sovereign Life ®. This lifestyle is full of freedom, confidence, and permission to say YES to every dream and every intangible goal you believe in to make tangible. For me, this freedom builds from the foundation of real estate.

When I first traveled to Europe, my husband and I visited museums and castles. We were in awe at the grandeur of what we were experiencing and the feeling it created.

In our society, we have the freedom to own real estate and businesses. Having long been coveted as the land of opportunity, my husband and I focused on how we could create that feeling of grandeur for ourselves once we returned.

This overall theme of creating your own state of sovereignty began to manifest when we focused on the following: 1. Owning a real estate portfolio - When I began building my real estate portfolio, I challenged myself to immerse myself in the Power of Belief—believing in myself, my decision-making abilities, and my profound knowledge and analysis of every acquisition. It can be daunting to acquire multiple properties when most are pursuing their first one; however, I leaned on my expertise, Tribe and faith. Once

I completed my first one, the next was easier so on and so forth.

2. The Power of Taking Risks - The confidence a real estate portfolio gives back to you in financial stability and growth allows you to take more risks and tap into work that is truly meaningful to you and fulfills your spirit. Taking risks is the adventure of life.

3. Attracting a Tribe - Have a Tribe. From that, I mean once I embraced taking risks in love and work, it opened me up to meeting amazing people who became my Tribe. Whatever that is for you in terms of a support system – your girlfriends, spouse, industry group, or family.

Having a tribe that feeds your spirit and gives you nourishment is essential to keep you going.

4. Power of Passion - Listen, do what you love.

Period. Gone are the days when we choose careers simply because they provide an income.

I challenge you to dare to create income through your gifts. Real estate investing allowed me to pursue all my passions and it’s what I do to help others cushion their dreams.

Historically, Real estate appreciates over time.

It fuels your endeavors by nourishing you with a win-win investing relationship: you gain equity through appreciation and tenants that pay down your mortgage while you’re providing them a quality, affordable home on their path to home ownership. You are a part of the housing solution by becoming a housing provider.

Sovereignty is empowering and owning a real estate portfolio is a pathway to helping you gain access to this level of freedom.

Karen Hatcher is an equity and wealth advocate using her expertise to help others obtain material wealth through real estate and land ownership. She is equally passionate about sharing her tools for living a Sovereign Life®! A life of success blending work and home to create a harmonious balance with the whole Self. You can keep up with Karen at KarenHatcher.com and on all platforms @property_ninja.

62 | JULY 2022

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Closing the mental health equity gap for boys and men of color.

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Brotherhood in a virtual healing space for scale and impact.

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ADVANCING INNOVATION

Culturally-appropriate multimedia resources and pathways to care.

INTRODUCTION CAL-ALHFA (California Association of Local Housing Finance Agencies) was established in 1989 to represent local housing agencies and professionals in the California State Legislature and State housing programs. We also work on housing issues at the federal level. CAL-ALHFA is a non-profit organization with a broad-based membership including public and private agencies that develop, finance, and administer programs to create affordable housing in California. Our core membership is small and medium sized local agencies that have to follow state mandates, but often lack the personnel and financial resources to do so.

PURPOSE From the beginning, the founders of CAL-ALHFA felt that local government agencies interested in affordable housing matters needed better representation at the state level because their concerns were often not addressed in the development of single family and multifamily housing programs and policies.

The purpose of CAL-ALHFA is to provide that representation, based on input from all our members, including our lenders, investors, developers, and consultants.

It includes participation in the California State Legislature’s legislative process and participation in program and policy development in all the State’s affordable housing agencies.

ONGOING ACTIVITIES ▪

Legislative Advocacy. Sponsoring, supporting (or opposing), and tracking housing legislation including fair housing; bond financing; state program development and administration; relocation; land use law, including planning and zoning; housing element law; and other legislation which affects affordable housing development.

Program Advocacy. Tracking program developments in CalHFA, HCD, the Tax Credit Program, and the Debt Limit Allocation Program. Assisting in the development of program policies and procedures.

▪

Education. Sponsoring webinars, conferences, symposia, and workshops to provide information on new developments in the field of affordable housing.

64 | JULY 2022

▪

Newsletters and Legislative Alerts. Preparing and distributing regular newsletters and as-needed legislative alerts to inform members of current activities.

▪

Individual Member Services. Providing advocacy and advice on district or agency matters as requested.

▪

Professional Networking. Providing a forum for industry activists to share ideas, information, and expertise with their colleagues.

RECENT ACTIVITIES Return to the Capitol – April 2022 For the first time since 2020, advocates can attend legislative hearings in person, and testify on bills of interest to the affordable housing community.

We can now meet our colleagues face-to-face on an impromptu basis. have a lobby in which we can do our work as lobbyists.

In other words, we now

Middle Income Housing Webinar – November 2021 Bond Purchase of existing market rate multifamily housing and converting them to lower rent middle income (workforce) housing.

Presentations included: Discussion of the pros and cons of this program Examples of successful conversions Potential legislation needed.* *AB1850 – Ward. Establishes minimum standard for JPA acquisitions and is currently moving through the legislature. CAL-ALHFA is a supporter of this bill, which was at least partially written on the recommendations that came from this webinar.

Single Family Symposium – October 2021 Discussions included: Increasing Minority Homeownership with a presentation by The Power Is Now Innovators in Down Payment Assistance Rural Broadband Expansion Closed Loop Pump Storage – Wildfire / PSPS Prevention

JULY 2022 | 65

CAL-ALHFA Annual Meeting – October 2021 Keynote Speaker – Senator Scott Weiner Discussions Included: State Programs Update Legislative Update

UPCOMING Density Bonus Webinar – May 18, 2022 Following a presentation by leading density bonus expert Jon Goetz, two cities, the City of Pasadena and the city of San Jose will describe how they developed their density bonus ordinances and how they administer them.

Single Family Symposium – October 24, 2022 In Person – Sacramento Holiday Inn Cosponsored by The Power Is Now, the Symposium will cover all aspects of minority home ownership programs, updates on Fair Housing activities, and presentations by state, regional and local homeownership programs.

CAL-ALHFA Annual Meeting – October 25, 2022 In Person – Sacramento Holiday Inn CAL-ALHFA’s Annual Meeting summarizes the major events of the year in Sacramento, and features key State legislators, Senior Staff from all major housing agencies, and a discussion of future legislative actions, presented by the Chief Consultants of the Senate and Assembly Housing Committees

66 | JULY 2022

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Resources That Fit Your Needs

PHOTO FROM 123RF

Let’s Clean up your credit score

before buying!

By Jenny Gonzalez

A

credit score developed by Fair Isaac Corporation is a model that shows the customer’s creditworthiness. It is a number between 300 and 850. In buying homes and other mega purchases requiring one to take a loan, it is important to clear credit scores first. It is important to do so because it will lead potential lenders to trust the borrower and benefit from lower interest rates in the long run. Credit scores between 800-850 mean excellent, while 300 -579 mean poor credit scores. The numerical analysis is also crucial as it determines the amount of deposit needed to take a loan from creditors.

It is easy for buyers to fall in love with the idea of buying a home, but if their credit score is bad, that will remain a dream.

Credit score has significant effects when it comes to getting home. Research indicates that those planning well for their home buying processes are less likely to run into financial debt later. It is crucial to check on credit reports, which is done by revising them after a certain period. Credit reports are freely downloaded or can also be gotten via phone. Equifax, Experian, and Transunion are the three main companies that give credit reports, but each company has different reports.

Once one gets their report, checking for mistakes is vital. Errors could result from a misspelling of the names or wrong personal data. Fraud is another reason one needs to check on a credit report because there are; possibilities of JULY 2022 | 69

somebody else taking a loan in your name or a new account opened in one’s name.

When checking on accredit reports, one is advised to check if the one s name is written correctly, the address of the place of residence, and employers’ details. It is also advisable to check on an account that is unfamiliar, closed but still functional, and has incorrect negative account data. If one notices an error, one should report for changes to be made. Making changes on the account is procedural as it involves calling both the credit company and the company that gave incorrect data. One is then supposed to have proper documentation fighting against this.

Note that there is information that is negative but true and also information that is negative and untrue. Only untrue information can be changed after the justification of the information. Credit scores are got from several credit reports, and different lenders have different methods of checking for the scores.

I want us to reach out to these buyers that have lost hope and offer them practical ways of improving their credit scores. A step by step approach that they can follow to improve their credit scores.

Improving a low credit score is possible by applying certain strategies, such as applying for short loans to be paid after 45 days and ensuring one completes the application within the specified time. People are also advised not to be co-signers because the act interferes with credit reports, and in case one credit cannot handle responsibility leads to serious problems. People are encouraged to keep credit cards open when the balance is paid off. Elimination of credit cards lowers the score, adversely affecting a person when taking loans. People are advised to seek counsel from trusted lenders and talk about credit weakness and what to do to reduce the issue. It is also good to note that the minimum credit score depends on a loan program.

A borrower with a credit score that is less than 600 generally pays the highest rates and is limited with loans. People with poor credit scores who want to buy a mortgage are advised to consult a non-profit credit counsellor to explore various loan options or visit a HUD-approved housing counsellor to help improve credit scores.

People are warned against some fraudsters that trick those with low credit scores so that they can remove bad credit scores and any negative information. The only way to improve low credit scores is by working hard to rebuild the credit scores.

When buying a home, people are advised not to get more money than they need. It is because more money lowers credit scores in the long run. Remember also that it is the right of every individual to get the best mortgage worth the money they have.

Credit rating is affected by several factors. First, payment history is key to checking if the bills are paid on time. Credit utilization indicates the statement balance and the amount of credit available to a person. Also, the credit score is affected by the length of credit history and recent credit.

Lenders look for employment history, credit inquiries, outstanding dept, ability to manage debts, and public records to determine how to loan an individual. It is thus important to have a clean record of the above data, which would eventually improve credit score.

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Is it advisable to max out your budget to buy your first home in Silicon Valley?

By Ian batra

to cash out all the capital to get a house in Silicon Valley.

Spending all the money by a buyer has merits and demerits, especially when Silicon Valley is the house’s location. Generally, buying a home has advantages because it attracts sellers.

Also, it puts a buyer in a position for better deals due to the associated quote “time value of money.” Buying a house is associated with vast advantages, but how many people have cash lying in the bank to cater for a place in Silicon Valley. The number of people with such massive amounts is close to zero, especially first-time home buyers.

JULY 2022 | 73

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ilicon Valley is home to tech companies such as Google and Facebook. The companies are associated with high pay to workers, which has significantly changed Silicon Valley. In the twentieth century, houses in Silicon valley sold cheaply, and most people termed the houses unworthy. Not in today’s market. Silicon Valley is among the most expensive places in the United States, and the situation will not change soon. Not with Covid 19 and the tech companies continue to employ more people.

The average cost of buying a house is currently $1.9 million, and the number of homes does not meet demand. People interested in purchasing a property in the area may wonder if it is essential

Buying a house without a mortgage means that one must have all the money required in the buying process. Most firsttime buyers do not have such massive amounts and thus liquidate all their investments, transferring them to one account to put the money together. It is also good to note that Silicon Valley is among the most expensive cities and would require more money.

The selling security is altered because some sellers see their deal and attempt to dispose of the house as soon as possible.

Putting all the money into one asset is not a good decision for first-time buyers. Estimating that the buyers earn a salary of $300,000 annually means they would have to have roughly saved for about six years and then invest all the money in one asset. Houses lag in stock which would be a loss on the buyers’ side and lead him to future constraints.

Spending all the budgeted money on the house leads to loose financial leverage, whereby if the house adds value after purchasing, the person who bought it with cash receives less profit than one who used a mortgage.

A $1,9 million home would need a deposit of around $380,000.

The amount of deposit is a lot, and not everybody has such amount of money, and a first-time home buyer has the possibility of getting into 74 | JULY 2022

debt and not saving on maxing out a budget to buy a home.

Emergencies are also affected if the buyer decides not to deposit in the accounts and use the money for home buying.

Otherwise, the buyer deposits a small amount in the history, and the money might not be enough for contingencies and other unforeseen expenses.

Silicon is associaite with hgh inflation rates.Especially when mega-companies such as google employ more people, it automatically leads to higher prices. The trend has been consistent since 2012. High inflation rates serve as an advantage or disadvantage depending on the reason for buying the house. If first-time home buyers intend to get the house to rent it out or as an investment, it is a good thing since the place is prospected to add value with time, and the buyer will be able to recover his money. However, for firsttime buyers buying the property to live there, it might not be a good idea, especially when one considers that it is possible to get a better house in other states at a price that equals the

deposit of buying a home in Silicon Valley.

When buying a house, it is good to consider future expenses such as repairs.

A home may require new paint and windows fixed after purchase. In most cases, after cashing out all the budgeted money, there might be little to no money to cater for future expenses. The buying process might also be so fast that the buyer does not note any problem in the house, only to realize later that if lenders are involved, some procedures such as inspection are a mustdo depending on the lenders.

Silicon Valley is associated with high living costs, from housing to schools in the area.

Over the last few years, the place has more older families moving from the home to other states. However, young families have moved to Silicon Valley more than older couples.

When deciding on the payment methods, it is always advisable to conduct thorough research to develop the best plan that suits the buyer.

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Corona Market Update: Market overview and Forecast for Q3, 2022

By Kamesha Keesee

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Covid 19 outbreak brought many businesses to a standstill, and two years later, the world is struggling to get back the economy to where it was. Both buyers and sellers have faced various challenges and adopted some methods that are now the new norm not to change any time soon.

IS THE MARKET CONDITIONS A BUYER’S OR A SELLER’S MARKET? As indicated earlier, buyers and sellers have been affected by the pandemic. For instance, during the last two years, most people have shifted to sourcing goods and services online to protect against the virus. The new norm is here to stay as people prefer it for safety and privacy.

Buyers and sellers prefer digital self-serve and remote human engagements over face-to-face interactions. The buyer’s online interaction enables them to place orders and view details of products. More so they also have the benefit

of fast delivery. On the sellers, they can put their market online and advertise to a large group of potential buyers. Generally, the market is a buyer one because most consumers have capital, but they are faced with a scarcity of commodities.

The reason is that most business people are faced with high inventory due to Covid 19.

Some market statistics include inventory levels, sales activity, and the number of days properties stay on the market.

As a result of economic recovery, 2021 and JULY 2022 | 77

APPRECIATION DATA In the last year, commodities prices have increased due to the Corona crisis, which might continue next year. For instance, the GDP of many countries dropped in 2022 compared to the previous years. For example, the United States drooped from 5.7 in 2021 to 3.3 in 2022. Also, the global fuel price went up, adversely affecting most parts of the world. Skyrocketing prices are also with many other commodities in the market.

In the real estate sector, there are high demands o houses making housing expensive. The economic recovery is also said to face growing imbalances and risks. An ineffective vaccination among the people now that new variants are emerging among the reasons leading to poor a condition. Appreciation data in Q3 2022 remain low due to labor shortage and scarcity of raw materials in the market. Variant s such as Omicron also hinder the growth of the market greatly FORECAST FOR Q3,2022.

The stock market in Q3 2022 is deemed at 31255 as opposed to Q2 2022 being 32067.

Currency and government bonds will increase in Q3. Other sectors forecast to be higher in 2022 are GDP growth rate, GDP annual growth rate, Non-farm payrolls, inflation rates, and the interest rate. It shows that there are possibilities of good 78 | JULY 2022

economic growth in the third quarter of 2022 and, consequently, in the following years. However, the Ukraine war continues to affect the high energy cost in different parts of the world. The war has resulted in an expensive humanitarian crisis that peaceful resolutions must meet.

Consequently, annual economic growth has also come up due to the war. It decreases from 6.1 % in 2021 to 3.6 % in 2022. Furthermore, this value is estimated to decline to 3.3 percent in the year’s third quarter.

In the global economic prospects report, the World Bank declared a potential slow down of economic growth. Global growth is said to decrease from 5.5 percent in 2021 to 4.1 percent in the Global growth. Reasons fostering this are; debt, inflammation, and gender inequality which is mainly common in developing countries.

COMMENTARY. As seen earlier Covid 19 effects may continue to affect the economy even after the disease is gone. The care there is thus a need to come up with policies by the government to help countries get back to their economic place as soon as possible. Some problems came up as a result of the Covid 19 variant, and the effects were dire mainly because of ignorance as it mostly affected those that did not have the vaccine. Thus, people must have the vaccine and more to safeguard themselves against future uncertainties.

Q3 and generally the whole of 2022 has experienced an economic decline in terms of economic growth. Business people and investors are thus encouraged to have a good inventory level to prevent a shortage of goods in the marketplace. They will eventually lower the prices of commodities in the market. Covid 19 pandemic also served to teach most countries to prepare for a potential future crisis by having proper strategies.

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2022 have recorded business growth, benefiting entrepreneurs and workers. The rise in business evident is due to the savings most people put in during lockdown. Businesses continue to thrive and add more workers as sales activities increase daily. Businesses such as hotels and restaurants are trying to reopen as tourism is slowly getting back to normal. Economic growth comes with challenges such as low inventory levels, and not being taken care of will lead to running out of stock, especially with large and complex businesses.

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Should I Waive Home Inspections?

By Serina Lowden

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n recent years, Sacramento has greatly grown due to the high cost of living in neighboring cities making most residents flee to the city because housing was quite affordable, but this is continuously changing. House value is increasing significantly without sacrificing for demand. It should, however, be noted that home values started to increase with real estate, and prices are increasing each month in 2022.

Increasing house prices makes real estate a lucrative business if investors know market trends. Another key reason for Sacramento’s growth is that it is centrally located and cheaper than neighboring cities. Sacramento was ranked number 48 on the national top housing market in 2022, indicating its rapid growth, and hence most investors are eyeing the city. the median price of houses as of February 2022 was at $540,000

WHY IS A HOME INSPECTION IMPORTANT? When buying a property, the buyer must inspect the property to determine the general condition of the house. The California real estate association explains home inspection to be “a noninvasive, physical examination, of real property, of the mechanical, electrical, or plumbing systems or the structural and essential components of a residential dwelling of one to four units designed to identify material defects in those systems, structures, and components.” Inspection show more about a house that probably the buyer did not notice when taking a house tour. Home inspections are done by qualified personnel at a price of between $315 and $400, depending on the size of the property.

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Home inspection over the years proved to be an important aspect because it gives the true condition of a house and enables the buyer to budget for repairs that are supposed to be undertaken. It also serves as an advantage to the buyer because, in case of default, the buyer can negotiate for the price, and if the house has serious conditions, then they have a chance to look for property elsewhere.

A home inspection also faces several challenges. First, buyers are tempted to waive the inspection to increase the chances of a seller’s offer to get a house. More so, if several people are eying on the property, most buyers want to be the most appealing, thus the tendency to skip the inspection and increase the chances of a buyer being chosen.

Buyers are encouraged to adapt to other means of beating up the competition, such as going through an underwriting process before house hunting other than waiving inspection, which would make buyers incur unexpected costs in repair in the long run.

TOP FIVE REASONS WHY YOU SHOULD NOT WAIVE HOME INSPECTIONS

1. A HOME INSPECTION PROVIDES AN OUT. By this, it means that all information about a house is detailed. It also informs the buyer of costs that must be undertaken on property repairs and maintenance. The buyer can decide whether or not to take the property with the information. If the buyer eventually decides to buy the house and has critical issues that need to be repaired, then they have the right to bargain and get the house cheaply.

2. IT REVEALS ILLEGAL INSTALLATION ON THE PREMISES Some repercussions come with buying houses not built according to the building codes. Thus inspection reveals whether houses were built correctly. House wrongly built to affect a house’s insurance, tax, and overall value. Illegally putting up houses puts a buyer at financial risk because of unexpected future occurrences. The insurance will not cater to the costs. Poor installation and poorly built-up houses deteriorate the value of houses, and buyers should be aware of this before making any purchases.

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3. FORECAST FUTURE COSTS. A qualified home inspector can determine the duration fitting has been used in a house as every fitting has its shelf life. Also, appliances such as heaters and plumbing fitting are investigated to determine how long they will work to tell on the type of insurance cover. In the process, the inspectors can also determine the quality of fitting in a home.

4. SAFETY One of the most important reasons to carry out a house inspection is to check the house’s safety. A House inspection should determine if the house emits gas such as carbon monoxide and if it has mold and radon to some extent. It is important that when buying a home, one ensures that the contract has on offer to reject a house if it is hazardous.

5. HELPS LEARN TO PROTECT THE INVESTMENT A home investor is regarded as a resourceful person and advises on how to maintain property which in the long run help in saving money. They give tips on how to cheaply protect property, ensuring the house is in good condition for a long time. Property protection also enables one to resell the property in the future, driving in many buyers since the house will still be in good condition.

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A home inspection is more important to the buyer.

There are several reasons why it is important to carry out inspections, such as;

Stay Ahead of Competition: Getting Mortgage Pre-approval

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By Briana Frazier

H

ouse hunting is faced with challenges such as competition and a limited number of houses available in the market.

Houses record low inventory levels, and if one intends to buy a house that somebody is already living in, there are potential challenges because it is a seller’s market. As of October 2021, homes were available in the market for only 18 days. The market is said to be balanced if the inventory of new houses is available for over six months.

When searching for a home, one is advised to have preapprovals before the househunting process.

Consequently, one may ask whether it is necessary to have approvals. Well, it is not mandatory, but a pre-approval letter shows that someone is a reliable homeowner and is also of great aid during the house hunting journey. Pre-approval means the amount of money one can borrow to get a mortgage.

IMPORTANCE OF GETTING PRE-APPROVED BEFORE HOUSE-HUNTING Getting a pre-approval is crucial in the modern day. Some sellers do not show the property on sale to people that are not pre-approved.

It is thus important to have all pre-approval documents, which allow one to view all properties in the market and make the right decision; Furthermore, the document enables one to know the amount of money one will pay at the end of the month, fostering proper budgeting. It also gives the seller comfort when handling potential buyers and gains trust with the potential buyer because they know that buyers’ qualifications have been checked.

Home buying starts with pre-approval because one gains a competitive advantage as a buyer. First, it shows that one is serious JULY 2022 | 85

about buying the home and is a way of standing out among other buyers. Currently, inventory levels are low, meaning that the number of people who want to buy houses is more than the available number of homes sold. In the seller market, the buyer should thus look for strategies to stand out and be considered by the seller.

Pre-approvals also help speed up the mortgage process and assist one in knowing the amount of money one is to borrow from lenders and pay back later. Pre-approval aid in having a better sense of what one can afford. It also prevents one from being attracted to houses out of reach and enables a buyer to work closely with real estate investors to have the best house worth the money they have.

WAYS TO GET PRE-APPROVAL FOR A MORTGAGE. Several ways are used to get pre-approval for mortgages. For instance, one should check the credit scores. The minimum credit score required is 620, and below 580, the figure is generally considered a poor score. Many lenders require high FICO scores to reduce risks such as defaults and delinquencies.

One also needs to provide proof of income and assets, meaning that for pre-approval, a lender needs to see one’s income statement over the last two years and tax compliance for two years. More, the buyer needs to provide a lender with details on the retirement account and the overall net worth of the buyer. The information helps lenders be aware of the amount of down payment expected from men and the closing costs.

Pre-approval also requires people to have employment verifications.

Lenders are

concerned with this information, especially due to the uncertainties of the Covid 19 pandemic.

Unemployment rates are still very low in most parts of the world and have greatly affected the labor market.

Other personal information such as driver’s license and social security number is also needed. Thus a buyer should be ready to give last-minute information to secure a mortgage loan.

In acquiring a pre-approval, the borrower must ask questions such as whether the lender has worked with multiple banks and investors, whether they have extra overlays in addition to traditional guidelines, and whether they offer first-time home buyer programs to customers. The questions above enable borrowed to know more about the broker and, consequently, their working systems.

Pre-approvals vary with different lenders, meaning they have different procedures. For example, one can also complete a loan application form over the phone or physically. after that, the lender asks the borrower to present income assets and income, and finally, the mortgage lender completes the approval process However, people are advised to take note that mortgage pre-qualification is way different from pre-approval, whereby pre-qualification is where by lender conducts an informal interview with borrowers and asks about the borrower’s monthly income, debts, and with the information borrowers give, they can tell the price range of mortgage one can handle effectively.

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Pre-approval, however, does not guarantee one a loan. Several reasons can make to be denied a loan, such as running up the credit card too much before the loan closes. Job loss and negative information on credit history lead to denied access to loans.

Frazier Group Realty Inc. 3739 Sixth Street Riverside, CA 92501

“Your Real Estate Navigator” www.fraziergrouprealty.com rubyfrazier@fraziergrouprealty.com O: (951) 686-5261 F: (714) 908-7298 Lic# 01751773

5 low-cost ways to get your HOME READY TO SELL

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By Connie Watson

S

elling a previously existing house needs some aspects to ensure the mortgage is in its best condition before the buyer visits a property. Sellers seek advisors in real estate to help them put the house in order on a budget. It includes repairing leaking pipes, minor renovation on walls, and incorporating additional features such as flowers and a new mailbox. Cost-effective ways to make a home ready to sell usually include the following; 1. GET A PRO CONSULTANT A mortgage seller should invite an inspector to carry out various checks. Inspection is essential as it makes the seller aware of the conditions of a presented house earlier before buyers start to tour the premises.

Visiting the real estate agents is helpful to the seller in creating awareness of what potential buyers would look for in a mortgage.

They also advise the sellers on how to make improvements to the house affordably.

Real estate agents help the seller create a strategic plan when carrying out repairs.

They assist the seller on what to prioritize and what to forego to avoid unnecessary costs 88 | JULY 2022

incurred.

Consultancy is also beneficial to the seller as it helps him find the best real estate agent to work with during the selling process.

2. TOUCH UP PAINT. Good-looking paint improves the general overview of a home. When selling a property, it is always advisable to repaint rooms that are mostly looked at by buyers. Living rooms, master bedrooms, and entryways are critical aspects of a given home; thus, the seller should ensure that these areas have aesthetically appealing paint.

Walls with old paint should have a new

color on them. A little touch is enough for wall paints that are not old and still in good condition.

The house owner is advised to ensure that paint details include the ceiling, toilets, and bathroom without overlooking any surface.

The paint applied to the home should be neutral and aesthetically appealing to the buyers. Sellers are encouraged to have unbiased and warming colors so that the home attracts more buyers making the seller receive more bids The overall cost of painting is around $200, but skilled owners can do the painting works themselves, saving the cost.

3. CLEAN THE PROPERTY All rooms should be neat and clean. Sellers should pay a lot of focus on the kitchen and bathroom which are the two areas buyers are most concerned and take a lot of interest.

Sellers should also check if there is any mold and mildew in the mortgage and remove it because their presence puts off potential buyers.

Storage areas are another aspect that should be well-taken care. Two third of the space should be empty to make the room look more spacious. Garages and other storage rooms should be fitted with cabinets, shelves, and storage containers that match the garage and do so well. Piled items in the room should be removed and any stains on the floors cleaned.

Cleaning also includes removing additional items such as photos, books, and personal items. The fully packed house appears smaller, which is not what we want our buyers to see. Things such as wallpaper hide the details of the room and, in the long run, bring some sense of doubt to potential buyers.

Every piece of the room should be exposed

so that they help the buyer eliminate any questions they may have about the property.

4. MAKE THE HOUSE APPEALING Sellers should ensure that their house is appealing by putting on higher wattage bulbs, opening the windows, and providing the front yard and porch are attractive by having lovely flower vases.

Additions such as a door mat, a new mailbox, and house numbers require little money and make a positive impression on the next owner.

When buyers come to see the house, the seller should avoid food with a strong smell, such as fish and broccoli, because they create an impression that is not so appealing.

Instead, the seller can improve the room’s mood by using a lightly lemon-scented candle.

To make the house look better, one should have a handyman to help fix any minor issues that might not have been noticed initially during the day of showing the house.

5. PLANT FLOWERS Many real estate agent advise their clients to plant flowers in the front yard. Flowers are colorful and beautiful hence welcoming.

Planting flowers requires a bag of fertilizers and regular mowing. Side lawns should be taken good care of and can have beautiful plants leading to the mortgage. The seller can also include flowers against the house or on the sidewalks.

Having flowers at the mortgage would cost an average of $100 or less.

Appealing homes attract more buyers and making it to haves high chances of being bought in a short period of time.

You may contact Connie Watson at: (404) 453-3347 conniewatson1@ausdanbrook.com JULY 2022 | 89

Real Estate Best Practices

By Edwin Engelke

But many times you will often find that most people act in their own best interests and not that of the client. The real estate brokers and agents will often bend these practices, not necessarily breaking them and most clients agree that what they do is unacceptable. Such activities are; •

Re-listing a property to bring in some fresh interest and

•

Reset the days on the market

These are some activities that have brought in some contentions though not many people are conscious of it, only the players themselves.

TAKING A PEEK BEHIND THE SCENES Often, in the real estate industry, professionals are divided between the lines of what is acceptable to what is close to being acceptable.

The double ending, is one of the most common practices where the agents assume the role of representing both the buyer and the seller, some may agree that it is not wrong, but is it really right? When such practices are in question, this division occurs.

Focusing on some individual components in the market in relation to the changing real estate industry, you will realize that most Realtors tend to take advantage of the situation and bend or break some practices.

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n every industry, there are some set guidelines, principles, and policies that the players are required to follow. Real estate is not an exception. There are some practices that realtors, buyers, sellers, and investors in every industry do which leave you perplexed but as it is the case, any practitioner in any field should uphold the honor and dignity of the profession.

Nobody as a professional should engage in activities that would bring disrepute.

rise but falsifying your data will damage your reputation greatly.

BROKERS’ RELATIONSHIP WITH CLIENTS

TECHNOLOGY IS CHANGING THE WAY REALTORS DO BUSINESS Never for a second underestimate the power of technology as networking, clientèle management, and organization of your work.

As a best practice in the real estate industry, Realtors should adapt and take advantage of technology because even simple newsletters with your listings can do wonders.

As a key to success in the real estate world, brokers should aim to become more paperless and more digitalized with the respect to real estate brokerage. That is the number one secret to having a prosperous booming real estate agency.

However, as so many people are now complaining, the brokers have taken things way too far, by falsifying data and simply getting away with it, this is malpractice that is on the 92 | JULY 2022

Being in a competitive market such as commercial, real, or even industrial real estate, requires that the brokers be able to foster and nurture long-term relationships with the client as one of the best real estate practices.

Also, so many brokers are afraid to take up some small clients, common malpractice in the real estate field but truth be told, you may never know how big these clients may turn out to be. Thus, the brokers’ relationship with the client is something that is very important and should be upheld.

However, in an attempt to gain favor from the clients, be careful not to damage your competitor’s position in the market which brings me to the next point.

STAY ON TOP OF THE COMPETITION Real estate is a market with so much dynamism. At no point will you ever hear of the market

being static and therefore, you will have to stay on top of the market but how effectively can you do that? Majorly research shows hard work, honesty and transparency are the key factors as an agency you will have to uphold.

You need to note that most of the clients will start their search from the Internet and therefore, to win the competition, you will have to create a compelling website with better content; this will earn you some free bonuses. Damaging the competitor’s reputation is not common malpractice; therefore, it should stay that way. You will have to remain neutral to gain a competitive edge in the market.

AS A BEST PRACTICE, PROVIDE NOTHING BUT VALUE The real estate industry is all about creating value for your products and services, and one way to do that is by becoming an expert in your client’s specifications. This provides the best opportunity for you to understand your client’s desires and long-term goals.

Therefore, it is as simple as that. Upholding best practices in any industry is very important since it will count in the overall success.

Avoid these six myths that will limit your home search

By Francine Marsolek

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eal estate is faced with numerous challenges, more so myths, and misconceptions. The misconceptions sometimes make buyers avoid buying homes or buy homes that fail to meet their expectations.

2. YOU CAN’T BUY A HOME WITHOUT AN EXCELLENT CREDIT SCORE.

1. YOU NEED A 20% DOWN PAYMENT.

Lenders have different credit scores, but the minimum credit score required for a mortgage is 620.

People do not need a 20% down payment to buy a house. The myth discourages potential buyers.

Currently, purchasing a home in the U.S would cost roughly $385,000, depending on the state.

A 20% downpayment means the buyers should have $77,000, which is almost impossible for many people. John mallet declares it as one of the biggest myths in the U.S. A down payment of 20% is mainly used as a guide, not a rule. First-time home buyers are required to have a downpayment of about 7%, while other buyers require a downpayment of 12% The U.S government has come up with several options, such as FHA and USDA loans which can be got with a 3.5% downpayment. Defense forces and veterans qualify for VA loans which require a down payment of 0%

There are high chances of getting better deals with high credit scores when buying a home.

However, it does not mean that people with a low credit score are entirely locked out.

FHA loans require a credit score of 600, which would be a better option for people with low credit scores with a down payment of 3.5%.

However, the interest and monthly payments are higher.

People with low credits who want to buy a home should look for other options. However, low credit scores affect both the sellers and buyers, and thus, people are advised to work on strengthening their scores and seek assistance from lenders who do not pay a commission to their employees.

3. ONE MUST PAY YOUR STUDENT LOAN FIRST.

Potential buyers are also advised to apply for grants and home buyer assistance programs to cater for the downpayment fully or partially.

Such programs also include forgivable loans and second mortgages.

Home buyers paying their student loans first is a myth that affects most millennials.

Homeownership of most millennials is 20% lower than any other generation. Most of these people have student loans that discourage them from owning a home.

Buyers are also discouraged from thinking that a high downpayment is required to gain an advantage in the competitive interest rates and low monthly payments. Several items, such as credit checks, are considered to receive lowinterest rates.

People can buy a home even with student loans. A potential home buyer’s income is usually checked to determine whether it would be enough to cater for a mortgage payment, student loans, and other debt. The method used to calculate this is a debt-to-income ratio(DTI).

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Low DTI increases the chance of people getting a mortgage, while a higher DTI reduces the chances of getting mortgages. There are, however, instances where lenders accept high DTIs. People with high DTI can reduce them by getting programs that pay for student loans, thus assisting in increasing home buying chances; if a home buyer has enough money to pay for the student loan and pay mortgages, they qualify to buy a home.

4. BUYERS DON’T REQUIRE A HOME INSPECTION

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Waiving a home inspection is risky. There is a tendency to waive inspection among buyers to win bids against competitors. Some lenders offer home inspections while others do not. Home buyers are urged to conduct home inspections to check for possible problems such as leaking pipes or cracks in the foundation. Inspection information is also essential as it enables the buyers to bargain in case of problems. Also, if the house is beyond repair, buyers have the choice to look for another property. All home buyers should thus carry out a home inspection at all times.

5. MORGAGE BUYERS SHOULD GET A 30YEAR FIXED-RATE MORTGAGE The 30-year-fixed-rate mortgage payment method is the most commonly used by a home buyer but not the only method. One should consider personal needs before deciding what mortgage payment method to take. For example, if it is possible to pay for the property in a shorter duration, it would be better and eventually cheaper. A 15-year fixed-rate loan has lower interest rates being 2.5% over the last year and would be a better option if possible.

An adjustable-rate mortgage can be considered if a home buyer is going to stay in the home for a short while.

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6. BUYING A CONDO IS JUST LIKE BUYING A HOME. Buying a condo typically has various restrictions, just as rental apartments and buyers sometimes need to get approvals from the condo board.

Sometimes, one is even required to consult the architect involved in the building process. Jesse Kent, the director of communication of Triplrmint in Manhattan, said that ”people can not do whatever they want in a condo.”

70 percent of the people aged 65 years and above require long-term care related to daily living. The case is the same for people with disabilities and those who at one time had trauma.

It is thus reasonable to incorporate medical and healthcare services in stable homes it will benefit the community at large by avoiding the expensive public system and emergency care units.

People of Minnesota are advised to support and strengthen homeownership because it builds equity and plays a significant role in accumulating wealth. It creates stability and further connection within our communities. The possibility of this can be achieved by monetary coaching, home purchaser education, and providing a range of home mortgage products.

CONCLUSION There is a need to address the dynamics in Minnesota by picking out their capabilities and finding creative solutions and areas of opportunity. Achieving affordable homes is possible by putting together resources, ideas, strategies, and even the labor needed as well as necessary partnership. Dressing the need for more affordable homes for Minnesotans, keeping the hikes we already have, building 300,000 by 2030, reducing the risk of eviction and heavy cost burdens among low-income Minnesotans stronger links and services in stable homes, and strong sustainable ownership among the wealth of ideas at the hands of Minnesotans and should be taken seriously so as to implement them leading to the success of all Minnesotans. Our homes matter and are our foundation and future at the same time thus action should be taken to build the future of Minnesota.

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The home closing process for home sellers

By Harriet Robertson

SIGNING THE PURCHASE OFFER. It is among the first stages of the closing process. Sellers sign a purchase offer received from a potential buyer, which includes timelines

for inspection and approvals, detailing the payment methods for a house. Sellers are also included in methods that show how the sales will proceed. After signing the purchase offer, the seller is normally required to; OPENING AN ESCROW ACCOUNT AND, IN SOME CASES, HIRING AN ATTORNEY. An escrow account is one that an account that is classified as a third-party one and in which a buyer deposits money and necessary documents are held till all issues are over.

Sellers must have an escrow account because that is where the money for a house is deposited.

About 1-3% of the money deposited is used as part of the downpayment. Sellers are usually also present as attorneys representing the interest of individuals. Sellers are then involved in ; JULY 2022 | 99

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H

ome closing is among the final processes of transferring ownership from a seller to a buyer. Home closing is done after a seller selects an offer among the many received and takes one month or two if issues arise. It is usually a stage that involves buyers, sellers and lenders. It is a process that takes place in the office of an escrow. Closing is also called a settlement and happens when both the buyer and seller meet the agreement of the sale contract, and then documents and money are transferred, ensuring that a house is transferred to the new owner in good condition. Other people are included when need be. Sellers, in particular, perform various tasks such as;

THE SEARCH FOR TITLE AND INSURANCE BY THE SELLER.

have enough money to cover expenses. The next step for a seller is normally to;

A title search is a review that shows that property belongs to a seller. Sellers must find s out any issues related to the property, such as if the house was used to take a loan and if the loan is completely paid. It is also essential to find out if any other fees are associated with the property. Insurance on the house is necessary so that the buyers have full information. The seller also looks for title insurance so that the buyer and lender are protected in the future and are assured if there are any problems with the land, the sellers and buyers are protected from accidents such as fire. After a title and insurance research, the seller represents the documents to the lender for confirmation.

GETTING OF PROFESSIONAL APPRAISAL BY THE SELLER. The seller, in this stage, gets a professional to assess the value of his house, which is to be sold. Normally the house price is lower than the estimated value calculated by checking the price of neighbouring houses in the street where the house is located, among other sectors. If the house price becomes more expensive than the approximated value,discussions are made and the seller asked to lower the property price. In agreement, the seller;

Inspections are usually important as the sellers and buyers know a house’s problems if any.

Most lenders but not all recommend that a house is inspected before ownership transfers are done. It is always advisable that sellers conduct an inspection long before the buyers have their inspection. By so doing, sellers can make modifications and are aware of any problem in the property to be sold. Inspection is done mostly to check the conditions of plumbing and electrical fittings. It also involves pest inspection of which pest can harm the house if it has most of the fixtures wooden.

Sellers are normally not present when a buyer inspects with his professional. After inspections, the seller is involved in; RENEGOTIATION. After the inspection, the seller and the buyer resolve the issues. They may decide that the seller mends the house or reduce the house’s price, and the price remains the same. Some sellers consider selling the house through agents who mend the house before the buyer settles in the house, and the sellers pay later.

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THE SIGNING OF PAPERWORK. The signing of paperwork involves the seller, lender and the buyer too. All necessary papers are signed, and the seller is required to present his ID and other necessary documents. The seller gives the house key to the new buyer, and then the money is deposited into the seller’s account from the escrow account.

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COMPLETION OF NECESSARY INSPECTIONS.

PREPARATION OF A FINAL WALKTHROUGH. Sellers clean the house, ensuring it gets spotless and any stains removed. The seller then leaves all the manuals and warrants of appliances to the house in one place so the new owner can easily access them. It occurs when the seller sells the house with appliances like dishwashers and laundry machines. The seller makes a photocopy of the manual and keeps one copy. The seller also provides a vendors list and the people who make repairs to the house. Most of the seller gives contacts of people who are familiar with the house. The the seller checks out for forgotten items, after which he turns off the water shutoff valves.

He then locks the house because, normally, a seller is responsible for the house till the last process. The final process that the seller is involved with is:

Buy or build in Denton…

Which is cheaper?

By Janet Petrozelle

D

eciding whether to buy or build a house is a personal decision triggered by several factors. Building means waiting till the whole process is over. On the other hand, purchasing an entirely built home will be followed by moving in almost immediately, thus saving time.

1. THE BUYING PRICE OF HOMES IN DENTON Denton is located in Texas and has approximately nine neighborhoods. It is a rapidly growing city with houses that range from $23K to $4.2 M depending on where the house is located. Houses found in Denton are 3-bedroomed houses, multistorey, or condos.

The median home listing costs around $170K. Year over year trend for houses in Denton is higher by 17%.

2. THE BUILDING PRICE OF HOMES IN DENTON cost of buildings depends on the location, the size of the building constructed, and the customization required during the building process. The average site work and land cost range from $90 to $200 per square foot. The building price also depends on whether the house is built with a standard grade of materials, ranging from $83-$138 per square foot. Premium grade construction costs between $125 and $155 per square foot, while luxury construction costs about $165 to $185 per square foot.

3. MAIN COSTS OF BUILDING WORKS Construction costs vary with location, the material used, unique features to be included, and labor costs paid to workers.

Building materials usually are 50% of the total building costs. They include lumber, concrete, roofing siding, and flooring.

Building costs also involve hiring laborers to perform activities such as fitting electric cables and plumbing pipes. Laborers are paid differently depending on the location of the building being put up. Construction managers are paid between $3020-$48000, and other workers are paid differently depending on the work type.

The cost of building is usually affected by various house factors such as size, location, and customization of the house. Larger-sized homes are more expensive than small-sized houses.

In Danton, building costs range from $70-$150 per square foot. Location affects building in homes because areas are associated with the well-off and thus more expensive to construct.

Customization is when one constructing a house prefers having a particular type of door or flooring with a different cost. For example, wood flooring may be more expensive than tile floors.

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the median market days for housing is 32 days which is a lower number compared to 2021.

In Danton, the cost of building is researched to be 40% of the total buying cost of a new price.

When the housing market is competitive, the general building cost is way lower than buying a house in the long and short term. Although building means it may take some time before moving in, one can move in immediately upon purchasing.

After Covid 19 was declared a pandemic, Danton was affected like every other nation.

Over the last two years of economic recovery, Danton has experienced increased demand for houses compared to the market’s supply and is termed a seller market.

Covid 19 affected the already built homes and those in construction stages due to increased construction costs.

After Covid 19, fuel and gas costs increased, affecting 104 | JULY 2022

Houses sold after the Covid 19 are thus more expensive; the places have recorded increased prices yearly. Like in other states, most homes are sold for more money than the listed costs. Building cost is also high compared to previous years.

5. THE CURRENT STATE OF NEW CONSTRUCTION NATIONALLY. Despite the many challenges brought by Covid 19, Denton is still an active market. There are available real estate entrepreneurs that help buyers get houses and sellers sell their homes.2020 was a year when the Danton housing market was shallow. A study shows that it was lower than in 2012, which initially had the lowest number of houses sold. Danton has demonstrated improvement in the last two years. Currently,

Builders are expected to build houses of a good standard so they can still be in good condition for several years.

Good-quality houses are an added advantage since they sell out fast. The housing market is currently facing high inflation due to reckless policies in the U.S., also leading to high house costs.

Generally, buying or building is a personal decision of a person needing a house. It depends on whether the owner will use the house for a short or extended period and even the type of house the owner intends to live in.

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4. DIFFERENCE BETWEEN BUYING COST AND BUILDING COST

almost every commodity and rising prices. Government regulation also led to increased costs.

Although Danton continues to experience high prices, it does not have proper demographics related to income that support the price increment. House prices are estimated to continue escalating even soon. The rates are currently above 4% due to monetary policies in the United States. Buyers are always encouraged to perform proper inspections, especially if the home is not newly constructed.

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How much does it cost to

buy a home in El Cajon?

By John Costigan

SALES OVER THE PAST YEAR. The median price of homes in El Cajon was $ 750,000 in April 2022. The town experienced an increase in the number of houses sold. Two hundred seventy-seven houses were sold in April 2022 compared to last year when only 96 homes were sold. El Cajon has an advantage for families with kids because there is about 53 school which are elementary, 37 middle schools, and 29 high schools within the area. Ratings of these schools are 3 out10 of the best schools.

The city has had more market days than last year. Homes stayed for about 22 days in the market in 2021, but the number increased to

28 in April 2022. El Cajon is a seller market; the houses sell higher than the listing price by 3% and pend for around eight days. Homes with high demand, also categorized as hot homes, are sold at a price that is 8% higher than the listing price and pend for five days. Sellers receive multiple offers from potential buyers, some with waived contingencies. El Cajon is reported to have more potential home buyers than the number of houses available for sale. There is thus an imbalance between supply and demand, showing high inventory levels, which is why home is sold out expensively.

Trends in the median price of a single-family home and condo.

TOWNHOMES /CONDO April 2022 had about 60 homes sold compared to the same month last year, whereby only 18 homes were

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E

l Cajon is found in California, and currently, it has 366 home listings that are active, 71 of these being newly constructed, and 86 are available for rent. The town is known to have homes (condos) that are affordable.

sold. Feb 2022 had the lowest number of houses sold out, less than ten, while most houses were sold in April.

Townhomes, another wisely called condo, have experienced an increase in median home price by about $100,000.In 2021 these homes costed $324,950; in 2022 the number escalated to $424,950. May 2022 had the highest median price listing of about $460,000, while February had the lowest median price listing of about $390,000.

El Cajon had a median price per square foot of $425, an increase from last year when it was only $343.The cost escalated to $102 within a year. January 2022 had the highest median price listing per square foot, which was $440, while March had the lowest price, less than $410.By last month the cost was $425.

The median market days for April 2021 was 26, while in 2022, the number was 24, which is an increase. March 2022 had the highest number of median market days, being 33, while February had the lowest number being less than ten days.

El Cajon had a median home size of 949sqft in April 2022, a drop from 965sqft in April 2021.

January 2022 had the highest square feet size at 1150 February with the lowest number at $925.

The sale-to-list ratio of townhomes was 103.1% in April 2021, indicating a decrease of 0.12pts year over year.

sold. Last year the number of homes sold was 78, while the data increased to 218 in April 2022.

May had the highest number of houses sold, around 260, while April sold the least number of single-family homes, less than 50.

The median price per foot increased over a year, whereby in April 2021, expenditure was $373, while in 2022, the price was $477.There thus has been an increase of more than $100. In 2022, the median price per square foot was highest in February at $500 and the lowest in March at $464.

El Cajon’s median price list was $799,749 in April 2022, while in April 2021, the median price list was $662,500. Between January and May 2022, May had the highest median price list of $805,000, while January had a median price list of $750,000.

The median home size of El Cajon singlefamily houses was at 1714sqft in April, while in September 2021, the home size area was at 1550sqft. Between January and May 2022, January had the lowest number of home sizes, 1620sqft, while May had the highest number of home sizes, 1750 sqft.

The median market day of El Cajon was 11,198 in April 2022. April 2021 had a number of median market days at 21. Within the first five months of 2022, March had the highest number of market days, while February had the lowest number of market days.

SINGLE FAMILY HOMES Compared to April 2021, El Cajon has experienced growth in the number of homes 108 | JULY 2022

The sale-to-list ratio of single-family homes was 103.6% in April 2022, an increase of 0.5pt yearly.

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Nashville housing market Q3, 2022

By Marqueze Williams

N

ashville is the capital of Tennessee Valley in the United States. It is known for country music, thus the nickname Music City. In terms of population, the city has snowballed and is the 20th fastest growing MSA in the U.S. Population growth affects the real estate market because it calls for more houses to be put up.

REAL ESTATE MARKET Nash Ville is foreseen to break a record between July and September regarding sale prices.

January 2022, the median home sale value was at $400,000, but the cost escalated to $450,000 in April .

The supernova city is on a tear, and the prices are relatively affordable compared to other cities in the U.S. Over the last years, people have flooded in to escape high living costs in other states.

Real estate investors have experienced good times, more so on rental properties. The median rent for Three bedroomed houses ranges at $1985 and has increased by 10% yearly.

Housing market Since 2012, Nash Ville has been performing well in the housing market. The home values have increased by 142.8% over the last ten year. The median price listing of houses is currently at $395,882, rising 24.3% yearly. The annual appreciation rate of housing was 8.27%.

Last year, however, the yearly appreciation was at 15%. In the first quarter of 2022, the housing market went a bit low at 6.26% housing appreciation. The second quarter has shown improvement, which is foreseen to continue to the third quarter of 2022. House prices are expected to go up by 27.48% next year.

INVENTORY LEVELS Like in other states, there is an imbalance between demand and supply where the city is experiencing high demand more than the supply available.

In such conditions, the market automatically becomes a seller market, which increases home prices. Other reasons leading to a low number of houses are the high construction cost in the city, especially after the Covid 19 struck the market.

However, in 2022, the homes have experienced a 12% increase in inventory levels which still cannot sustain the Nash Ville market.

COMPETITION AMONG HOME BUYERS Competition is stiff in the market, and thus, buyers are encouraged to keep their ducks in a row. By saying so, it means having pre-approvals ready and all other documents required in home buying to increase the chances of owning a home. At the beginning of 2022, the first three months experienced low sales, and property stayed in the market for more days compared to 2021. February, for instance, homes remained in the market for 35 days. The second quarter JULY 2022 | 111

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has indicated improvement as houses now stay for fewer days in the market, and real estate investors foresee that the trend will continue for the rest of the year. It has been fostered by the many vast numbers of buyers flooding the market daily.

RISING MORTGAGES RATES AND AFFORDABILITY In recent years, there has been an increment in the mortgage rating. The act leads to higher monthly payments, which few buyers can afford.

To some extent, it makes some buyers get out of the market. The sharp increment s in the property means that buyers need to have more money affecting their affordability. The mortgage increment trend has been evident in recent years and will continue throughout 2022.

RETURN ON INVESTMENT Over the last ten years, Nashville has shown good returns on investments. About 46% of the houses in the city are rental occupied while 56% are owner-occupied. Rent in Nash Ville is $200 higher than in other parts of Tennessee. Most of the houses in 2022 have had a rent increase. For instance, on 11th April, a one-bedroomed place was paid $1696, recording a 5% increase.

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On the other hand, a studio had an increment in rent by 6%. Roughly, rental charges were $1699.

Rental costs for larger apartments are higher, like in a condo. However, the rental market is expected to collapse shortly. Most people want to own their own houses to escape the rent that is reportedly skyrocketing over a short period. 8th Avenue South has the highest rental apartments, while Edgehill has the least expensive homes.

REDEVELOPMENT OPPORTUNITIES Currently, in Nashville, areas are known for good returns if redeveloped. For instance, such places are around professional sports clubs and the east part of Nash Ville. Thus such sites will experience higher prices in buying a home and consequently renting in the better part of the year.

BOTTOMLINE Nash Ville is proliferating and has experienced higher prices in the last ten years. Inventory levels are low, not enough for buyers leading to stiff competition among the buyers, and the trend will continue in the third quarter of the year.

People intending to buy a home in Nash Ville are encouraged to do so as soon as possible due to increasing yearly inflation.

Are you truly ready to downsize?

Ten questions to ask yourself before downsizing

By Rose Ogbonna

V

arious reasons lead to downsizings, such as the need to save money, the city’s location, or a house with extra rooms no longer serving its purpose. Before downsizing, one must ask several questions that act as a guide. They include; 1. WHAT IS THE REASON FOR DOWNSIZING, AND WHEN IS THE BEST TIME? There are many reasons that gear people towards downsizing. Older families move to smaller houses because the house is too big and maintenance is hectic, primarily due to rooms that are not being used. They may also move closer to their families and friends and simultaneously avoid feeling isolated. The reason for downsizing is when people are no longer happy about the current house’s lifestyle or no longer need the place.

3. WHERE WILL I PUT MY BELONGINGS? At this stage, the house owner must decide what to pick and leave behind. Especially when moving to a smaller area, carrying all things is difficult because one moves from a big house to a more minor one. In most cases, an individual picks out the most valuable items. After selecting the items to carry, one calls movers to transport the goods to the new apartment. A handyman is vital to help with small jobs such as fixing shelves. Materials left are sold out, or a room is rented to store the commodities.

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2. IS DOWNSIZING FINANCIALLY PRACTICAL? The question arises mainly when an individual

intends to downsize to save some money. When selling a property, some costs are associated, such as n property transfer tax, home warranty, and commission fees which a seller incurs typically. On the other hand, moving to a new home means paying taxes and insurance costs.

Some costs are incurred when upgrading the house bought. An individual also checks on the Homeownership association cost in an area one wants to relocate. After carefully analyzing the cost incurred, an individual can make the right choices on whether downsizing is a better option.

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4. AM I ABLE TO KEEP MY PETS IN A DOWNSIZED APARTMENT? The aspect is essential to people with pets or plans to have one. They ask whether pets are allowed in the estate having a downsized home. Most houses that enable pets to have inclusions such as private gardens, balconies, green spaces, and easy-to-reach parks. Pets are associated with providing companionship, generally making individuals amused, and making pet owners interact in walks and chat about their pets.

5. WHAT TYPE OF HOME DO I WANT TO LIVE IN? Individuals must know what type of house they want. Necessarily for older people looking for a retirement home, they should look for elegant homes with what they want to be included in the home.

For example, individuals find out whether the house has a private garden, vanity mirror, and others and if the property is well designed with well-spaced rooms. Individuals also find out whether the houses are built with quality products. The individuals then proceed to make offers if the place is suitable.

6. WILL I FEEL LONELY? Moving to a new home, especially for older people, might be challenging in their social life.

Friends are made in most cases made in the earlier stages of life, such as in school or working places. However, some people are characterized by social behaviour and make new friends within the first few weeks of moving to a new home.

Mostly in gated communities, neighbours interact at least once weekly, especially if there is a clubhouse or play area. Neighbours also chat with each other.

Often older couples look for homes closer to their friends and family. Individuals tend to choose houses that are their interest.

7. HOW DO I MANAGE EMOTIONS? Sometimes moving can be emotional. One is leaving a house where there were many memories made. However, the issue is solved by making a move faster and focusing on the positive side of moving. It is also painful in cases where the house was a family home. Individuals are advised that after relocation, they have companions to adjust to the new environment quickly.

10. DO I SELECT A SMALLER HOUSE OR A CONDO? The choice of the type of house depends on an individual. Although money matters, a condo is generally cheaper since it requires less maintenance, unlike smaller houses, whether once in a while. However, if an individual loves privacy, then single homes are the best option.

8. WHERE DO I WANT TO LIVE? That is one of the most critical questions an individual should ask themselves. One checks whether the location of the downsized house is close to amenities such as schools, if the individual is a family with children attending school or if the home is located near workplaces.

9. WHERE WILL I PARK? Parking is crucial if individuals own a vehicle or two. When buying a downsized house, it is advisable to check whether it has a parking area or a garage. The garage is used not only for cars but also for the extra good that an individual does not require inside the downsized house.

After careful self-evaluation, an individual can make the best decision when downsizing.

Contact Rose Ogbonna at (301) 674-4542 rose.reobroker@gmail.com

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How much home can I afford in San Francisco? an Fransisco is the most expensive city in America. Research shows that the average home in San Fransisco is about a million dollars. The cost of housing worsened during the Covid 19 outbreak and increased renting by 12 % only in that year. Most people that live in San Fransisco are the younger generation. The generation can afford housing in the country because of several salaries streaming into one account and also support from parents.

One reason that triggers the high cost of living in San Fransisco is that people are paid highly for their work. People working with Facebook and other tech companies, uber, banking law, and consulting make an average of about $150,000 annually after joining the school. By turning 30,

they make an average of about 300,000 dollars in one year. People earning such an amount of money are hence able to get a mortgage that is worth around 1.5 million dollars.

IS THERE ANY HOPE LEFT FOR THE AVERAGE BUYER? San Fransisco is known to have major challenges in housing, such that even the tech worker cannot afford housing. Buying a house in San Fransisco requires a deposit of about $265,000.Many average people have to save for some years to have the amount, which could result in a ten-year plan of saving. Saving helps the average buyer of a point to accumulate the deposit needed. In a survey, 9 out of 10 people were said to have significantly less money, while 14% had no savings.

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By Norman Green

WHAT ARE THE GENERAL MARKET CONDITIONS? For people with an average income and generally all people, it is advisable to research whether it is beneficial to own a home or buy one. The study is done by checking the price to rent ratio. Low ratios mean it is advisable to buy a house, while high ratio favors renting a mortgage. Ratios of about 1-15 indicate that it is better to buy a mortgage, between 16-20 ratios show that it is better to rent, and more than 21 shows that it is way better to buy a mortgage.

The national price to rent ratio is 18, indicating that renting is better than buying a house.

Before buying a house in SanFransisco, one is advised first to determine how much one can afford and set a budget of costs. One can use the 28/36 rule used in the mortgage qualification process. When buying a house, one should know that housing costs should not exceed 28% of gross income, and consequently, total debt payment should not exceed 36% of total gross income.

After setting a budget of the amount of money one is willing to part with for a house, you can now start the house-hunting process. As stated earlier, homes for sale in the country go for more than 1.5 million dollars. one also checks for the median sale prices and their behavior for the last two years to know how the prices behave.

With that in mind, one is then advised to get a favorable loan program and get pre-approved for a mortgage reducing the time one spends searching for houses as pre-approval makes the seller confident in a person and also knows that the buyer is more likely to get a house.

One also needs time to search for a lender one will work with and one that fits a person’s need.

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times one may need a lender that is accustomed to a person’s specific needs. It is also advisable for a potential buyer to look for a lender good at underwriting, which is key during the preapproval process.

With that in place, one then searches for types of home ownership available in the market, which gives an individual an opportunity to choose what one is interested in. Ownership involves one owning a unit and having to share a common area and can finance a condo with a traditional mortgage. Tenancy –in-common is like the condo, but in this case, one cannot finance with traditional mortgages and thus drives people t look for finances in banks. San Fransisco also has an ownership model involving a co-op between owners and buyers. In this type of ownership buyer is interviewed by the owners of the property, and they also normally require a financial document a person and if the buyer is successful, they can buy a share from the property After studying the ownership models, the buyer chooses the best buyer’s agent in San Fransisco and then does house hunting, making offers on diffrenent houses to get a house that is best and eventually buy the house.

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On average, workers earn more than 100,000 dollars and are advised to save 20% of their earnings for about seven years to have a deposit required to buy a mortgage.

Can you offer less on the house?

Lowballing and negotiating like a pro in Newburgh

By Sandra Cotthaus

M

ost buyers hope to find a house at a price lower than the listing price. However, making a lowball offer does not always turn out well.

The seller feels insulted, leading him to sell the house to other potential buyers. In making low balls, the buyer must have a real estate agent to help him, while the seller, on the other hand, has a listing agent.

They are professionals in the real estate market, and using them makes the process smooth for both parties. Low balling like a pro necessitates specific strategies such as;

1. BEING UPDATED ON THE CURRENT MARKET CONDITIONS It means that the buyer does due diligence to determine the price of houses in neighboring areas. Mainly the process is carried out by a real estate agent who is more experienced in work. It is also good to note the current market trend. In a seller market, it is less likely that houses sell at a lower price than the listing. However, there are chances of the seller reducing the prices if the house has stayed in the market for more than six months. Buyers are discouraged from making counter offers which may lead them to lose an offer.

2. BE RESPECTFUL OF SELLERS. Buyers are urged to respect the sellers even if they feel a house is overcharged. Buyers are also encouraged to follow a local real estate market protocol. Notably, making meager offers upsets the sellers increasing the chances of selling the property to more willing buyers. When presenting an offer, the buyer and the real estate agent should show their appreciation of the property rather than present an offer that is halfway done and is rude to the seller or the property in question.

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4. HAVE YOUR FINANCING IN ORDER. It is always advisable that a buyer has all the finance in order as it attracts the sellers to the offer. It involves pre-approvals from the bank and a good deposit into an escrow account.

The more the buyer deposits, the more likely it is for him to get a chance to own the property.

If the buyer is a cash buyer, the chances of owning the house are highest. Finance checks also mean the buyer is in good terms with a bank or lender. The buyer should make sure that he makes offers on what he can afford to pay for and not what may lead to debts in the future.

5. ELIMINATE AS MANY CONTINGENCIES AS POSSIBLE. When asking for a low ball offer, the contingencies should be kept at a minimum.

It would not be logical to ask the buyer to make changes to the property and still sell the house cheaply. During an inspection, the buyer expects to do an information-only inspection. If there are any problems related to the house, then the buyer is the one to repair them. The buyer asks for the cost of repairing the house and incurs the cost at later stages. The buyers are advised that the lowest offers are not always the best. The house could have major problems.

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6. EVALUATE THE QUALITY OF A HOME Buyers assess a home’s quality through the help of a real estate agent: one checks where the house is located and the house’s age and design. However, chances of getting a low ball are minimal for newly built houses.

One makes the offer for dwellings located in a noisy place or with old roofs, and the request can be accepted. One gives the seller reasons why he thinks the price should be reconsidered. One can, for instance, tell the seller that there are old roofs that need to be replaced or walls that need to be taken care of by painting. It tells the seller that one is observative and that genuinely the home is overcharged 7. PROVIDE OTHER BENEFITS TO THE SELLER A buyer is encouraged to look for means to meet the seller’s need by providing a closing date in the interest of the seller. Other benefits include giving the seller a cash offer.

When asking for a low ball offer, the buyer is not supposed to ask for any prices less than 25% of the listed price of a house.

PHOTO FROM 123RF

3. HAVE YOUR AGENT CONTACT THE LISTING AGENT. A listing agent usually represents a seller, and communications should be through the agent. A real estate agent represents a buyer.

Communication is supposed to be made by the real estate agent to the listing agent long before asking for a low ball. The real estate agent also learns more about the seller at this stage. He seeks to know why the seller is selling the house and if other offers have been rejected. The information is usually handy in deciding whether a low ball is necessary and how to ask for it.

TOP TEN maintenance tips for first-time homeowners

PHOTO FROM 123RF

By Steven Rivkin

F

or first-time owners, owning a house can be an exciting thing. After settling, the new homeowners practice some maintenance tips.

1. IDENTIFY ESSENTIAL CONTROL AND ACCESS PANELS New homeowners identify the water valve and circuit breakers so that they can shut them off when not in use. They also check whether the water connects to the municipal They must also inspect the panel’s hatches and check on the septic tank and thermostats. Check whether they are still in good condition; if not, they call experts to repair them.

2. TEST YOUR LOCKS, ALARMS, AND DETECTORS. After acquiring the house, it is necessary to assess all the doors and windows. Check whether they are opening and closing correctly. Also, check whether the lock is in good condition, and if not, call an expert to repair them.

After one is satisfied with the doors and windows, the next step is to check if the alarm is functional, test it, and fix it if it is faulty.

Check the detectors to assess their functionality.

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Batteries are replaced if need be and ensured they are in good condition. With sensors, people check for the presence of smoke and carbon monoxide.

3. CLEAN THE HOUSE New home buyers clean the house immediately after buying it. The floors are thoroughly washed, and all stains that are present removed. Baseboards are scrubbed, ensuring that any form of dirt is not current.

The buyers can hire a cleaning company for the services.

Windows and screen wiped to remove specks of dirt and ensure they are sparkling clean. It is also in the process where dust in dust vents is removed. Clean the toilets and the bathtubs, ensuring they are safe for use. The kitchen is not left behind. One should ensure that the kitchen is well-groomed and all the counters adequately wiped.

4. INSPECT YOUR HOME APPLIANCES It is always advisable to check that all devices are working well. They include the dishwasher, laundry machine, generator, and other electrical devices bought together with the house. It is done by carefully investigating each material at art time.

5. REPLACE YOUR FILTER Replace old filters with new ones and ensure that HVAC and air conditioner work effectively. Check if kitchen filters are in good condition.

Wash a replaceable filter with warm and soapy water to 126 | JULY 2022

remove all the dirt and fixed again. Replace disposable filters. Check water filters in the fridge to see if they are working well or if the refrigerator is for ice cream making replace the water filter.

6. CLEAN YOUR GUTTER Gutter cleaning is essential and is a process that is done annually. It is done by removing sticks and leaves present. Dirty channels could lead to mold and mildew in the house. When cleaning, one also makes sure that the gutter is correctly fitted and that the direct waterway from the home 7. SEARCH FOR MOLD AND MILDEW One must hire a pest and control expert to help with the work. Areas mostly checked are garages, attic, and the bathroom. Professionals carry out inspections irrespective of whether or not there are signs of manifestation. The experts search for possibilities of having vermins such as dead insects, droppings of rodents, and termite frass. Problems noted are solved, and the pest control expert gives preventive guidelines.

8. INSPECTION OF HOME EXTERIORS The new owner might need to repaint the exterior wall to his preferred color and texture. After painting, the owners check for cracks in the driveway. A cracked driveway allows weeds to grow, altering the aesthetic properties of the home and consequently weakening the driveway or

walking the path. Repair any cracked walkways. One then checks the state of the porch and attic, ensuring that they are in good condition IF the compound has trees, the new owners call a tree service team to give guidelines on whether to cut the tree or maintenance practices. Buyers are consequently to find dumpy areas within the compound, and the new owners implement prevention methods immediately to prevent adverse effects.

9. PAST MAINTENANCE AND PRACTISES The new homeowners should find out how they maintained their appliances. Possibly they can find people who carried out the activities and are familiar with the property.

Some of the practices include pumping out the septic. Finding out the data should be done so that one is not stranded when they need the services immediately 10. WRITE A SCHEDULE FOR SYSTEM AND APPLIANCES MAINTENANCE Finally, the owner of a given property needs to prepare a plan of maintenance methods for buying a house.

The above must be carried out to ensure that the home is in good condition and is safe for use. It also enhances the durability of the house.

Whittier Market Overview: Where is the Market Moving?

By James Joseph

M

arket statistics include inventory levels, sales activity, and the number of days properties stay on the market.

The U.S market is recovering rapidly from the Covid 19 pandemic that was at its peak in 2020.

Over the last two years, the economy, especially in real estate, has risen in most parts of the United States, including Whittier, in Los Angeles.

As a result, mortgage prices in April 2022 were 12.6% higher compared to 2021. The median average price of houses was approximately $771k. This year, more homes were sold out compared to 2021, whereby property stayed in the market for only twenty-two days, while last year’s mortgage was approximated to remain in the market for roughly one month.

The Whittier market is currently a seller market as house prices are higher compared to previous years by 5%. Buyers are increasingly flooding the market, and supply is low, recording high inventory levels. It presents a good opportunity for real estate investors as the prices are projected to continue going up due to the supplydemand imbalance evident in the market.

Some statistics show that for the last year, the number of houses in the market is less by about 35%, while also the number of homes decreased by about 58% in the last year, and the median market day in winter went up from 13 days to 19 days in the last year consequently 2022 has seen a change in the trend.

APPRECIATION DATA. The economy of the U.S grew rapidly in 2021 by 6%, and the consumer price index was at 7%. The stock market, however, remained substantially low that year. Headed to 2022 market was mainly based on solid fundamentals, and purchasing manager index remains firmly at broader levels.

The economy faced major challenges such as Omicron and high inflation rates in 2022.

Variants are prospected to have a limited economic impact on the economy, and the inflation rates will remain higher than consensus expectations. The GDP growth in 2022 has a probability of exceeding expectations.

The growth of revenue and profit margins will continue to be high in 2022, but stock valuations are expected to not revert in the future and eventually in the long term.

Market trends for houses in Whittier are affected by factors such as if the home is bought for a single-family and if the home is in a condo rather than a townhome. January 2022 recorded a median price of $840k for a single-family home

by March. The value had decreased to $740K but started up by April. The median property prices are not as high as in January.

The Median list price for condos has been on the rise in 2022, selling at $440K in January and $580K in May. Most Whittier residents prefer to stay in townhouses as opposed to other areas.

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Owning a unit in an apartment seems to be a cheaper option for many buyers in the market, also putting into consideration the homes available in the market currently.

It seems that in the second quarter of 2022, the real estate business has not been so good as statistics show that the number of homes sold in May is about 60, which is a decrease from April and a significantly low figure compared to May 2021.

Whittier remains a safe place to live as it is recorded to have a minimum number of violent crimes, thus a good place to buy a home or invest.

PHOTO FROM 123RF

In April 2022, a home in Whittier went for about 483,600 dollars and stayed in the market for 14 days before being bought. May foresees a change in market days to increase by 2. The data shows improvement compared to last year when homes stayed for roughly 18 days in the market. The number of homes in the market is estimated to be 54%, a decrease from last year, showing the significantly reduced number of

houses.

Whittier’s home resale inventory is currently at 221, and the median list price is at $755,00, lower from May to June 2022. Currently, a square foot goes for $523; in May, the value was $524.The value decreased by one dollar. Property such as foreclosures and short sales has remained unaffected in the current market.

In Whittier, currently, inflation is the main investment risk. With the seismic dislocation of the supply chain worldwide, there may be possibilities of unexpected outcomes which might be risky in the long run. Both sellers and buyers are encouraged to remain optimistic about the market and economy. It is expected that stock will start to perform well, and economic growth will be above the norm. It is also advisable that people in the market practice discipline in managing portfolio risk.

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POWER HISTORY

America

A

Independence Day

merica is divided, and always has been, over race, but I believe that America will eventually change because darkness cannot stand the light. The light of scrutiny on American policies and its history of mistreatment of African Americans has never been brighter since the days of Martin Luther King and the Civil Rights movement. The darkness has not left us, but we can all see now, even in the dark social and political unrest we continue to experience.

America is divided politically like never before.

Congress has been ineffective in working together to find common ground on anything. Partisanship rules the day in congress. Nothing is getting done unless it’s by the executive order of the President or a Supreme Court decision or congressional action by the reaction to mass shootings in the schools. The January 6th hearings, gun control legislation, abortion, and the nine billions we have given to Ukraine has paralyze the implementation of any domestic policy. I believe we have achieve a new low politically, democratically and socially, and we can thank our Congress, the President and past President Trump for the state of our country.

So here is my take on the state of the Union this 4thof July or American Independence Day. The current state of the Union is massive debt, the threat of war with Russia, or the proxy war with Russia? The need for actual immigration reform, criminal justice reform, police reform, budget and debt ceiling congressional management. We still need Police cultural and de-escalation training. We still have a growing and out-of-control homeless population and no real solutions. We have huge disparities in education, soaring home prices, shortage of affordable housing, predatory banking, discriminatory lending, widening wealth gap and the worse race relations since LBJ. Everything seems to be at an all time low.

For African American’s, we just celebrated 132 | JULY 2022

our independence on June 19th. Well, it is at least our second independence day. Our first independence day was January 1st, 1863. I know what you’re thinking. Did they forget the date?

Anyway, about 4 million or more Texans were told that we were free on June 19th, 1865, 2.5 years after the Emancipation Proclamation. President Joe Biden made the day a Federal Holiday to celebrate their freedom. We appreciate the acknowledgement but we’re is the conversation about reparation at the Federal level? The Holiday is an acknowledgement of Slavery and our freedoms, but it lacks any substance about what the Federal Government can do about the impact of Slavery on African American. Okay, so we will wait and dance, sing and make speeches until you get to it.

Slavery started in 1619 on the tobacco fields of Virginia. We slaves to American people on the 4th of July 1776 and were 157 years in the slave trade by this time. Our families separated, our fathers and sons brutally enslaved and mistreated like animals and considered personal property.

Our mothers and daughters were beaten and raped and made in domestics workers and sexual abused by the plantation owners and workers.

The families and their children were forced to do back breaking work and pick cotton from sunup to sundown.

On the 4th of July, we could have been on the menu somewhere in the South. Perhaps the human barbeque burned at the stake or hanged on a tree for trying to run away; depending on the crowd’s mood that day. So, the 4th of July is not the Independence Day for African Americans.

We were not included in the Declaration of Independence. Our rights given to us by the creator were not confirmed in that document. It would be years later in the constitution of the United States.

Since our freedom in 1865, African Americans have been a minority and outnumbered by white Americans. According to a few estimates, we were 4 to 7 million strong at the time of our freedom. Today we represent only 12% of the population, approximately 40 million strong, but only have the political power to pick the President in states where there is a large black population and many delegates for the Electoral College.

Where our real power comes into play, especially in cities with a large black community, is in electing governors, mayors, district attorneys, police and fire chiefs, school boards, tax assessors, city council members, etc. Our real power is not national it is local to get anything done for African Americans politically or socially. On a National Level it must be through the courts and legislation.

It has been that way since the emancipation proclamation. With the exception of the Declaration of Independence, all the liberties and freedoms we enjoy in this country has been born out of the black experience of living in America and our fight for freedom in the courts. Locally we need to go to the polls. Nationally we need to sue the Federal Government, which has always been a long road to justice. Will the change we need to see in America come quickly? Of course not. Not in our lifetime but maybe for our grandchildren.

It is our youth that makes me hopeful about America and that our best days are yet to come. Despite America’s racist history, African Americans continue to strive to make significant contributions in the United States and the world. We are magnificent and powerful people who know how to rise from adversity. So, we celebrate America’s independence and pray that America truly learns what freedom means for all people and not just for White Americans.

I will end this critic with the famous words of Frederick Douglas that sums up my take on American Independence day.

“

This Fourth July is yours, not mine. You may rejoice, I must mourn. To drag a man in fetters into the grand illuminated temple of liberty, and call upon him to join you in joyous anthems, were inhuman mockery and sacrilegious irony. Do you mean, citizens, to mock me, by asking me to speak today? If so, there is a parallel to your conduct.

And let me warn you that it is dangerous to copy the example of a nation whose crimes, towering up to heaven, were thrown down by the breath of the Almighty, burying that nation in irrevocable ruin!

I can today take up the plaintive lament of a peeled and woe-smitten people!

What, to the American slave, is your 4th of July?

I answer; a day that reveals to him, more than all other days in the year, the gross injustice and cruelty to which he is the constant victim. To him, your celebration is a sham; your boasted liberty, an unholy license; your national greatness, swelling vanity; your sound of rejoicing is empty and heartless; your denunciation of tyrants brass fronted impudence; your shout of liberty and equality, hollow mockery; your prayers and hymns, your sermons and thanksgivings, with all your religious parade and solemnity, are to him, mere bombast, fraud, deception, impiety, and hypocrisy -- a thin veil to cover up crimes which would disgrace a nation of savages. There is not a nation on the earth guilty of practices more shocking and bloody than are the people of the United States, at this very hour.

- Frederick Douglas JULY 2022 | 133

Home Ownership

by Eric Lawrence Frazier MBA Home ownership brings stability to individuals and families who have never had a dwelling place that they could call their own. There is something special about owning real estate that is unlike anything else on earth you can own.

Real Estate you own is not like cars that decay over time and you have to replace them.

Real Estate you own is not like clothes that go out of style and you have to buy new ones.

Real Estate you own is not like expensive vacations or experiences that only last a moment in time.

Real Estate you own is not like an apartment where the landlord may increase the rent until it’s no longer affordable.

Real Estate you own is not like staying at your parents house where you know can’t stay forever.

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Home ownership is the beginning of wealth that increases over time and becomes your estate & legacy Home ownership is the pride of a mother nurturer and the kitchen her domain Home ownership is the pride of a father provider and protector of his territory and family.

Home ownership is the foundation of permanence and the place where life happens, birthdays celebrated, deaths mourned.

Home ownership is the place you build memories that can never be taken from you.

Memories etched in walls and concrete, experienced in rooms and floors, Memories living in trees and shrubs planted by your hand.

Howe ownership is the manifestation of you - your style, your colors, your smell, your stuff, your junk, your memories, your yard and your spaces, your life.

It’s the height markers on your first child’s bedroom wall.

It’s the hearts drawn in the concrete slabs when you pour your patio floor It’s the birthday parties, and anniversaries in the living room and kitchen.

It’s the back yard barbecue with friends, neighbors and family contentions it’s the high school and college graduation, and wedding receptions Its’ the family nights and block parties and the fellowship of family connections

Home ownership It’s more than real estate. Land, brick and mortar, wood frame construction and chicken wire.

It’s more than money saved, gifts recieved and grants obtained It’s more than the debt you incur to buy it.

It’s more than the payments you make to own it.

It’s more than the appreciation that comes with keeping it over time.

It’s memories, it’s family, and it’s life that can happen in one place Until you say it’s time to move.