South Jersey Real Estate News

 

May 20, 2024

Why are a home's Days on Market important?

Days on market (DOM) is a critical metric in real estate for several reasons, providing valuable insights for buyers, sellers, and real estate professionals.  Here is a short list of reasons why both parties should keep DOM on their mind...

 

For Sellers:

Market Feedback: A high DOM can indicate issues with the property such as overpricing, poor condition, or lack of appeal. It can prompt sellers to adjust their strategy, either by reducing the price, making improvements, or enhancing marketing efforts.

Pricing Strategy: Knowing the average DOM in a particular market can help sellers set realistic expectations and pricing. Properties priced correctly tend to sell faster, while those overpriced can languish, accumulating a high DOM.

Negotiation Leverage: A property with a low DOM may give the seller more leverage in negotiations, suggesting high demand. Conversely, a high DOM may weaken the seller's position, indicating potential desperation to sell.

 

For Buyers:

Bargaining Power: Properties with a high DOM may present opportunities for buyers to negotiate a better price, as sellers might be more willing to accept lower offers to expedite the sale.

Market Conditions: Understanding the DOM trends in a market can help buyers gauge the competitiveness of the market. A low average DOM suggests a seller’s market, while a high DOM indicates a buyer’s market.

Property Issues: A high DOM can be a red flag for buyers, suggesting that there might be underlying issues with the property that have deterred other potential buyers.

 

For Real Estate Agents:

Market Analysis: Agents use DOM as a key indicator to assess market conditions and advise their clients accordingly. It helps in formulating pricing strategies and setting client expectations.

Performance Metrics: Agents often track DOM to measure their performance and the effectiveness of their marketing strategies. A lower DOM can indicate successful pricing and marketing efforts.

 

Overall Market Health:

Supply and Demand: DOM reflects the balance between supply and demand in the market. A decreasing DOM typically indicates high demand and a strong market, while an increasing DOM suggests lower demand and a slower market.

Economic Indicators: DOM can serve as an economic indicator. Changes in DOM trends can reflect broader economic conditions, such as shifts in consumer confidence, interest rates, and employment levels.

 

In summary, the days on market not only is a crucial metric that affects decision-making and strategy for sellers and buyers, but also for real estate professionals, offering insights into pricing, market conditions, and property appeal.

May 20, 2024

Why are a house's Days On Market important?

Victorian Home

Once upon a time in the bustling town of Elmwood, there stood an elegant Victorian house on Oak Street. It had been in the Parker family for generations, but now, due to changing circumstances, Mrs. Evelyn Parker decided it was time to sell. With high hopes, she enlisted the help of Alice, a well-regarded local real estate agent.

Alice knew the importance of setting the right price. The Elmwood market was quite competitive, with an average Days on Market (DOM) of around 45 days. Price it too high, and it would languish; price it too low, and it wouldn't reflect its true value. After thorough market analysis, Alice recommended listing the house at $450,000, slightly above the median price but justified by the home’s historical charm and excellent condition.

The first week saw a flurry of activity. Potential buyers admired the house's intricate woodwork, stained glass windows, and spacious gardens. However, as days turned into weeks, interest waned. By the third month, the DOM for the Parker house had reached 90 days, double the local average. Mrs. Parker grew anxious.

Alice explained that a high DOM could send a negative signal to potential buyers, making them wonder if there was something wrong with the property. The market was speaking, and adjustments were necessary. They reduced the price to $425,000 and invested in minor renovations to enhance the house’s curb appeal. Fresh paint, new landscaping, and professional staging transformed the house, giving it a renewed allure.

Meanwhile, across town, young couple Sam and Lisa were house hunting. They had been looking for months, becoming adept at interpreting DOM as a crucial factor in their decision-making process. They knew a high DOM often meant room for negotiation. When they saw the Parker house’s new listing price and noticed its 90-day DOM, they were intrigued and scheduled a viewing.

Walking through the house, Sam and Lisa were captivated. The history, the craftsmanship, and the charm were unparalleled. However, the high DOM made them cautious. They wondered why such a beautiful house hadn’t sold. Alice, ever the astute agent, anticipated their concerns. She transparently shared the initial overpricing mistake and detailed the improvements made since.

Reassured, Sam and Lisa saw an opportunity. They made an offer slightly below the reduced price, considering the high DOM. Mrs. Parker, eager to sell and recognizing the couple’s genuine appreciation for her family home, accepted their offer. The negotiation process was amicable, and within a month, Sam and Lisa moved in, delighted with their purchase.

For Alice, the sale was a lesson in the dynamics of DOM. She understood that setting the right price from the beginning was crucial, but equally important was the ability to adapt and respond to market feedback. The Parker house's initial high DOM had been a challenge, but it also provided an opportunity for Alice to demonstrate her expertise in adjusting strategies.

In the broader Elmwood market, the sale of the Parker house contributed to a slight adjustment in average DOM statistics. It was a subtle reminder of how individual property sales could influence market trends and perceptions.

As Sam and Lisa settled into their new home, they often reflected on their buying journey. They appreciated how understanding DOM had given them a strategic advantage and a deeper insight into market conditions. Meanwhile, Mrs. Parker found comfort in knowing her cherished family home was in good hands, and Alice continued to build her reputation as a knowledgeable and adaptable agent.

In the end, the story of the Parker house on Oak Street was a testament to the intricate dance of real estate, where pricing, timing, and market conditions converge, shaping the lives of buyers, sellers, and agents alike.

 

Nov. 28, 2023

Fishtown, PA: Dynamic Community Vibes

Nestled along the cobblestone streets of Philadelphia, Fishtown, PA, unveils itself as a tapestry of enchanting moments, where every corner tells a story, and every heartbeat echoes with the rhythm of a vibrant community. Living in Fishtown is like being part of a living, breathing work of art, where the canvas is painted with the colors of connection, creativity, and charm.

Picture waking up in a sun-drenched loft, the morning light filtering through large windows that frame the historic architecture of Fishtown. As you step out onto the bustling streets, the aroma of freshly brewed coffee wafts from corner cafes, welcoming you to a day filled with possibilities. The heartbeat of the community pulses through the streets, where neighbors exchange smiles, and every greeting feels like a warm embrace.

 

Fishtown's charm lies in its architectural dance, a harmonious blend of old-world charm and modern allure. The rowhouses, adorned with intricate details, stand as silent storytellers of the neighborhood's rich history. Walking through the streets feels like traversing a living museum, each step accompanied by the whispers of the past and the hum of contemporary life seamlessly intertwined.

Beyond the brick facades, Fishtown unfolds as a haven for artists and creatives. Galleries and studios dot the landscape, their doors open like portals to imagination. The streets themselves are a canvas, adorned with vibrant murals and sculptures, turning every stroll into an artful adventure. Creativity breathes in the air, inspiring residents to dream and imagine in the midst of this artistic sanctuary.

 

The culinary landscape of Fishtown is a feast for the senses. Imagine savoring delectable bites from a food truck on a lazy Sunday afternoon or exploring eclectic restaurants that cater to every palate. The dining experience isn't just about food; it's a journey through flavors, a celebration of culinary diversity that mirrors the community's own tapestry.

 

Come nightfall, Fishtown awakens with a different kind of energy. The streets are aglow with the warm lights of pubs, bars, and venues. Live music spills into the night air, and laughter weaves through the evening breeze. The nightlife isn't just about entertainment; it's a communal celebration of life, a shared experience that unites residents in the vibrant heartbeat of the city.

 

Fishtown's proximity to the Delaware River adds an extra layer of magic. Waterfront parks invite residents to unwind amidst nature's embrace, the river serving as a tranquil escape from the urban pulse. Festivals and events along the riverbanks create a communal space where the community gathers to celebrate the beauty that surrounds them.

The spirit of sustainability weaves through Fishtown like a gentle breeze. Community gardens bloom with life, and initiatives for eco-friendly living thrive. It's a commitment to the environment that echoes the neighborhood's ethos of collective responsibility, a testament to the residents' dedication to preserving the beauty that defines their home.

 

In essence, living in Fishtown is an immersive experience in the art of community, a symphony of creativity, and a celebration of life's beautiful moments. It's a place where history dances with the present, where every resident is a brushstroke contributing to the masterpiece that is Fishtown, PA.

Posted in Dream Home
April 9, 2023

The Sweet Taste of Victory: Recipe Inside

In the beginning, there was one... Adam stood alone in his backyard, gazing out at the empty plot of land. He dreamed of a lush garden, filled with the sweetest fruits and the most vibrant colors. With a determined look in his eye, he set to work.

View More
Posted in Art, Paradise Gardens
April 3, 2023

Dream Homes: Blooming the Benefits

Owning your own home can be a beautiful and life-changing experience. It is a space where you can create and reflect the universe inside, a place where your heart can truly feel at ease. While it may seem like a daunting task to purchase, owning your own home is one of the best investments you can make in yourself and feel whole again.

Not only does owning a home give you a sense of financial security, but it also provides mental and emotional benefits. It allows you to follow your heart and create a space that feels truly yours. Whether it's creating a cozy book nook or decorating the interior with unique and personal touches, owning a home gives you the freedom to express yourself in ways that a rented space cannot.

View More
March 27, 2023

The Spring Mix

Food for thought... Using edible landscaping for beautiful gardens.

Spring is here, warm weather approaches, and the cherry blossoms are blooming.  It's the time of year when our focus shifts to the amazing gardening opportunities that can accomplish both beautiful curb appeal and a sustainable future.

View More
March 6, 2023

The Birds Have It Right

Time Check

Time to start looking for a new home?  By becoming a registered member of this site, you will be able to connect with every listing in the MLS database. One stop shopping at your fingertips!  There's never been a better time to start your home search...   Spring is right around the corner and with the change of seasons comes an entirely new inventory of homes for sale.  

View More
March 5, 2023

Eyes on the Prize

Since the dawn of the internet, buying or selling a home has never been easier.  With a click of a mouse, you can connect on the fly.  Only requirement is patience so the stars can align.  

View More
Oct. 17, 2019

3 Tips for Your Next Real Estate Purchase

Real estate can present an excellent investment opportunity for those with the patience to stay in the market for a while. As the economy fluctuates, so does the real estate market – but in the long term, you can rest assured that your property will likely pay off in profits. Once you’ve got your financing in order and know what your general business plan, you are left with one pressing question: how will you decide what properties to invest in?

We have some helpful advice to assist your decision. Read through our guide for some quality tips on how you can choose your next property investment, what types of real estate deals you should keep your eyes open for, and some things to keep in mind when you’re getting started with your investment career.

 

  • Tip #1: location, location, location

It’s easy to get caught up in the features of a property you want to buy. Seeing newly renovated bathrooms, finding a contemporary kitchen, and encountering state of the art plumbing make investors’ eyes pop with glee. But before you get too excited, it’s important to remember that the location of your property is highly important.

One rule we like to abide by is that the worst property in the best neighborhood is better than the best property in the worst neighborhood. After all, you have some control over how nicely you can renovate the property after you purchase it, but you have no control over what the rest of the neighborhood might do.

If you find a fixer-upper in an up-and-coming neighborhood, your instincts should tell you that that it’s a good opportunity. A little TLC and renovation later, and you’ve got yourself a massive profit. 

 

  • Tip #2: Keep your horizons wide

When most real estate investors get started, their first thought is that they should buy a unit in a condo complex or a house to flip and sell. While these can be great options, they’re by no means the end of the story. You may want to find commercial real estate to invest in to diversify your portfolio. Sometimes, commercial real estate doesn’t need nearly as much renovation as a residential home, and you are sure to make significant returns if the business that occupies your property is successful.

Don’t miss out on great opportunities like leasing advertising space on billboards and benches, or purchasing land that developers may want to build on. Real estate is a diverse industry, and it’s a shame to constrain yourself to only a certain corner of the market when there’s so much profit to be had across the spectrum!

  • Know when to cut your losses

We’ve known far too many investors stick with a sunk cost just because they’d already put so much work and money into it. Just because you’ve lost money doesn’t mean you have to lose even more money. If you see that your investment is tanking and you don’t think there’s a good chance for recuperating your funds, it might be time to sell at a lower price.

For example, say you’ve bought a house to flip and rent. However, soon after your renovation is finished, rent prices in the area take a nosedive. Suddenly it looks like you’ll never be able to make back the money you spent while collecting the meager amount from rent you can expect. It might be time to sell the property instead of holding onto it and losing money on property taxes and continued upkeep.

A good investor knows when it’s time to double-down and when it’s time to cut their losses. Figuring this out is a fine balance, and often takes years of real estate experience, so don’t beat yourself too much if you make a mistake early on in your real estate investing career.

Real estate can be a lucrative and rewarding investment to make. With so many options, you’ll be sure to find something in your budget and that suits your portfolio’s needs. Remember, the most important tip of all is that patience is a virtue. The most successful real estate investors are those that know it can take time to see returns on an investment. Good luck, and have fun on your real estate adventure!

March 21, 2019

5 Ways to Maximize Your Rental Property

Being a landlord in today’s economy can be rewarding, and you can improve your personal and financial well-being. A successful landlord occupation will give you freedom in your personal life so you won’t be stuck in a 9-5 job.

Before you invest in real estate, be sure to ask yourself these questions.

Still interested in rental properties? Good! One of your tasks as a landlord is to find ways to maximize your rental property so you can receive a larger income. Here, we provide you with five helpful tips to minimize your expenses to increase your return on investment. We’ll teach you how to find the right location, tenants, and contractors.

1. Pick a Great Neighborhood

Location, location, location. This is the mantra of every real estate agent and they all know this is a key factor in attaining a property with a high value. When you’re searching for ways to maximize your rental property, it’s important to conduct research on the area you’re looking to invest in. One way to easily search for homes is through real estate apps that doe the scouting for you. Alternatively, there are plenty of sites that do the same! You can search for houses, identify the right area, and buy, all from the comfort of your own home. They help to find homes in high-value areas, like Burlington County in New Jersey. It’s important that you take time to do thorough research so you can find a property you truly love.

2. Rely on Professionals for Big Jobs

Rental homes face small and large scale problems. Sometimes you’ll buy a property where the walls are damaged. Other times you’ll find that the property has faulty plumbing. Some handy landlords are good at fixing these problems on their own. But you should always hire a professional contractor if you’re not 100% certain you can fix the problems yourself.

Working with contractors is easier than ever thanks to handyman software, which helps them adhere to local building codes. You always want to make sure that you hire contractors who are organized and professional. If not, you may risk losing value in your property from poor repairs, which can lead to even greater property damage.

3. Screen Tenants

After you spend countless hours finding the perfect property to rent to future tenants, you don’t want to risk losing money or having to pay more expenses than you have to because of a difficult tenant. Screening tenants and obtaining background checks can help you find reliable, long-term tenants so you avoid the expense of missed payments or dealing with evictions. Screening tenants is one of the many ways to make your life easier as a landlord. Finding low-risk tenants will bring you peace of mind. It’s nice to know your rental property will be taken care of and payments will be received on time.

4. Create a strong rental agreement

It’s crucial to create a strong rental agreement for your tenants to sign. Failing to create a rental agreement can often leave you with a financial burden that could force you to sell the property to make up for your losses. In order to maximize your rental property, landlords can use online websites like eforms that have templates you can use to create your rental agreement. Using online tools to create your own rental agreements will help you save time and ensure that you are including crucial components to your rental agreement, like when rent will be paid, the security deposit amount, information on utilities, and more.

5. Take advantage of tax breaks

Finally, using apps like Thumbtack can help you find tax professionals in your area so you know you’re getting your maximum deductions. Finding a tax professional can help you maximize your rental property by helping you calculate your deductions such as interest, travel expenses, home office expenses, repairs and more. When it comes to filing your taxes, you may find yourself overwhelmed with tracking and calculating all of your expenses on your rental property, which is why consulting with a tax professional can help maximize your rental property. In Conclusion

In Conclusion

It is always important to take time to research the numerous components of what it takes to own a successful rental property that will provide you with a steady income. From finding the right location to buy property to hiring professional contractors, use these tips and you’ll be on your way to a lucrative rental business.