Atlanta renovation

Why a Pre-renovated Home May Be the Best for Buyers This Summer

It’s all about supply and demand.

There’s been no shortage of news around rising costs of building material. Lumber prices have risen 377% over the past year. Copper wire and Steel have also seen a significant increase over the past year.

While these increases have dominated the news around new home construction, they also have a major impact on existing home renovations.

Therefore, finding an existing home that is already renovated could save you money in the long run versus finding a home that is in need of larger renovations.

Below are the most common and expensive renovations in relation to rising building material costs. I have listed out the average cost before the rise in material costs. I have also outlined four things to consider when evaluating renovation quality.

Kitchen 

Average cost: $19,720

Bathroom

Average master cost: $30,000 – $50,000

Average small bathroom cost: $7,830

Cabinets

Average cost: $3,965

Outdoor deck

Average cost: $5,000 – $9,300

Source 1, 2 

Four things to consider when evaluating renovations in a home

Atlanta renovation

Material quality

Inspect flooring, countertops, doors, and cabinetry. 

Look for high-quality materials like granite, custom cabinets, real hardwood flooring, and solid core doors.

I generally find that when high-quality materials are used the less likely it is that corners were cut on construction.

Atlanta renovation

Plumbing and electrical

I recommend having a knowledgeable professional inspect the plumbing and electrical work, especially if it was a recent renovation prior to putting the house on the market.

An inspector will generally catch some electrical and plumbing issues. However, mistakes or cut corners can often be made in a renovation that are not always revealed in the inspection.

Atlanta renovation

Detail work and finishes

There are a lot of contractors out there and just as many DIY homeowners, for this reason, looking at the detail and finish can provide clues as to whether or not the renovation was done using a reputable contractor. 

Red flags to look for are things like uneven tile work, bowing floors, and uneven cuts. Also, check cabinetry work for smooth opening and closing as well as the gold standard dovetail joints.

Atlanta renovation

Appliance and fixture quality

An easy way to identify if the renovation was done just to flip or quickly sell the property is the quality of appliances and fixtures.

Generally, if high-quality appliances are in the home, the homeowner also invested in high-quality craftsmanship.

Look for appliances from reputable brands within their mid to high-tier options. Look for fixtures that are metal and from reputable manufacturers.

Conclusion

With sky-high material costs, now might not be the best time to purchase homes that need large renovations. Instead, consider looking for a home that has already been renovated by a high-quality contractor.

As your experienced real estate agent, I help you identify whether or not renovations are of good quality and craftsmanship.

If you are looking to buy a home this summer, please contact me here, and I’ll help you find the best home within your needs and budget.

4 Ways to Maximize Your Home Value in Atlanta

My story has been consistent over the last several months. It’s a competitive market in favor of sellers. 

However, to be competitive and maximize the value of your home you have to have what buyers are looking for.

Here are the top 4 upgrades buyers are looking for when buying a home post-pandemic.

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Downtown Atlanta

Quarterly Update: April 2021

The real estate market is strong and we’re looking at a good setup going into the prime real estate season. While we did have a slowdown in new and existing home sales in February, we were still up significantly year over year. It seems the February slowdown was primarily influenced by the weather. 

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2020 in Review and 2021 Expectations

Happy New Year!

As we close out the year, I want to provide an overview of the 2020 residential real estate market and provide my thoughts on 2021.

This past year was a big year for residential real estate with strong price growth and new home trends.

2020 Growth

Home sales saw tremendous growth this year as consumers took advantage of low-interest rates. Likewise, being forced to spend more time at home, the desire to have one’s space increased.

This growth was reflected both at a national level and in Atlanta.

From January through November 2020, home prices grew 19% nationally, compared to 5% in 2019.

In Atlanta, 2020, home prices rose 18% compared to 7% in 2019. This growth was impressive, given that we were already in a hot market.

Fewer people were selling, too, driving down supply. National supply in November 2020 was at 1.6 months compared to 3.1 months in November 2019.

In Atlanta, November 2020 supply was also at 1.6 months compared to 2.9 months in November 2019.

This shortage was reflected in how quickly homes were selling. Nationally, homes remained on the market for an average of 11 days in November, compared to 27 days in November 2019.

Atlanta was no different; homes remained on the market for 11 days in November, compared to 26 days in November 2019.

2020 Trends

2020 changed the way people shopped for homes and changed the priorities of what people looked for in homes.

Online home shopping accelerated as people toured homes virtually. Video conferencing was prioritized as agents walked clients through homes on video calls. As I have adapted to the changing markets, I now have the technology to provide even better services for clients hesitant to leave their homes. 

Another significant shift has been in the way we close, becoming more virtual with remote mortgage approval, inspections, and appraisals. 

Priorities also shifted. More people considered homes with dedicated office space, good outdoor access, and home gym or community gym access. This changed the way sellers prepared, staged, and listed their homes to sell.

Looking ahead to 2021

Due to low mortgage rates, we will continue to see a strong buyers market. Rates are forecasted to stay between 2.9%-3.4% for 2021. In the near term (Q1 2021), I expect 30 year fixed to remain around 2.7%.

With limited supply and high demand, I expect home prices to continue to rise over 2021, but not at the rate of 2020. Experts predict that more inventory will become available in the summer months as vaccines take hold and warm weather ensues.

I expect the same trends to continue to manifest in 2021. Buyers will be looking for more space. National Homebuilders Association expects an increase in median home size after a four year decline. 

Demand for green space and more defined floor plans will take hold as more people spend time in their homes with activities like working and exercising.

Overall I believe we will have another bullish year for home sales. It will be a good year for both buyers and sellers and a year to take advantage of low-interest rates.

Are you ready to buy or sell your home in 2021? Contact me, and I can walk you through everything you need to know to make a smart long-term decision.

Connected home

5 Smart Home Devices for Holiday Gifting

The pandemic has accelerated many things.  One acceleration that I’ve observed is the connected home.  With more people working from home and building out more at home “comforts”, I’ve been asked more about connected home devices.

This year, I’m writing my version of a holiday gift guide with my favorite connected home devices.

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Mortgage Savings

How Much Could you Save With Current Low Interest Rates?

As you know, the housing market has been robust over the last six months. Redfin just reported that home prices had increased another 15% as of October 23rd, and 56% of its homes for sale went through bidding wars.

Much of this has to do with lower supply and higher demand, coupled with extremely low-interest rates.

So what should you do if you are in the market to buy? Should you wait and see prices level and supply increase? Or should you commit as prices continue to increase?

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4 Tips For Getting the Home you Want

New home construction is on a terror surging 22.6% in July

Mortgage rates hit a record low in August of 2.88%.

If you are considering a new home, now is the time. Prices continue to rise back up to pre-pandemic levels and demand is rising with it, as seen with the surging new construction.

But right now we are in one of those rare moments where pricing is still leveling and interest rates are unbelievably low.

Carpe diem!

With that being said, here are my top four tips for getting the home you want right now?

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