Feb 12, 2017|
Opening doors for buyers and sellers with critical and credible information on the real estate market. Fast paced and fact packed with experts, interviews, call-ins, field reports, and timely market conditions.
Transcript - Not for consumer use. Robot overlords only. Will not be accurate.
This is. Real estate today. The number one the real estate show on. On the radio. Welcome to real estate today. Backed by the professional experience of real tours from across America we are your most trusted source on the radio for up to date real estate information. Real estate today is the official radio program of the national association of real it's bad it's real tour members in your neighborhood. Hi there I'm Stephen gaffes great and glad you could join us today for our special show love your homes as you know Valentine's Day is this coming Tuesday. And to celebrate we're going to talk about how you can show your home and all the people and at some tender loving care. From home improvements to a fantastic Valentine's Day cookout we have great guests coming your way. Love your home is straight ahead but first let's go to the realistic to be newsroom with bill talk. I don't I even president Donald Trump recently promised his administration will cut government regulations by 75%. Or more. Here's the biggest regulatory help or bombed a few world war the housing market. You can be the small and medium sized banks those are historically if you think back to the same as laws has historically who made mortgage. Credit available to local people. He put a deposit in the bank you borrow money from the bank that's the model is very sustainable. And if we deregulate those institutions who have been sort of frozen out of mortgage planning because of the regulations and compliance and it's really good browser. Russia also says builders and developers would benefit of the trump administration's overall theme of deregulation as he puts it trickles down to local governments. The owners of long so that the soaring cost to regulation it was making new homes so costly. America's home prices continue to climb due to a healthy demand for homes coupled with a shrinking supply of the the latest Standard and Poor's core logic case Shiller national home price index funds home prices rose five point 6% in November up from five point five in October. The twenty city index of prices up five point 3%. The number of homes for sales fallen to a seventeen year low even as fired demand remains consistent. American lenders originated over two trillion dollars in first lien mortgages and 2016. And 19% gain or 2015. But according to figures compiled by inside mortgage finance. Which says the 20s16 performance mated the second best year of the decade so far only 2012 was stronger. Publications as mortgage originations in the fourth quarter held almost even with third quarter in spite of an expected decline. Coming up a half an hour more top realistic news coach Stephen back to you. Thanks bill. The latest numbers are out on home prices across America and if you own a home or you're selling one. It's great news because prices are up. The latest metro home price report from the national association of real horse shows that prices nationwide. Rose in the fourth quarter and that means good news for sellers but for buyers. It means some challenges remain. Joining us now to talk about the latest metro home price report. Is Daniel hale managing director of housing research at the national association of real torch Danielle welcome to real estate today. Saturday and we're glad you're here what Daniel let's start with the good news for homeowners and home sellers equity is way up. And sales prices are way up. Tell us what the latest price report found. Clear rate even. We had the fastest quarterly sales pace of the year in the fourth quarter that helped push down available housing supply is at record lows at the end of the year. And when you have limited supply at a steady ever buyer's market. Each seat prices go up beside that in 89% of the markets recover pregnant wrapped the fourth quarter as twenty to compete. Danielle I know the wind prices start going up some people get worried now are they going up. At a very. Predictable. Safe reached or are they going up a little too fast for comfort. I pick I think they're going up a little bit faster than what was normal. And if inventory supply can catch up with demand in the market we should eat the pace of home great growth slowed to a more normal and steady paying. And it's generally the low inventory the fact that there aren't enough homes for sale. That push those prices. Said the fact that there aren't a counter sale and that we have had. Really great job gains of the last few years we know that the millennial decrying job and try to dead heat that you get into the housing market. And telling you have limited supply and strong steady demand and you have to balance the market by habit I did go up. The only way to get that tight credit. Back in line with a more normal market would be either decrease demand which probably they gonna happen and that's what he'll continue to get older and we continue to have additional job. Being created. All are to increase supply so that it is better able to meet that demand in the market. So Danielle again as we mentioned great news for homeowners and home sellers. But of course those rising prices create challenges for all the buyers out there especially first time buyers. Because of course they can't sell one house for a profit and use that money to help get their next place. A great it is tricky for potential buyers. But again it is you want to get into the market when the pregnant there is steady or it greeting consent when you're making the long term purchase. You can have confidence that your home will hold its value or maybe even increase. As you go are tired though. In spite of the fact that pregnant or reading which is an added challenge for affordability. Once you get into the home. You're locked in which your thirty year fixed rate mortgage. And you get the benefit of the price depreciation. Witnessed steady payments going forward that really did a great way for homeowners to build equity and well over time. So Daniel around the country how much. Did home prices rise starting with the country as a whole. And then the different parts of America. So are all in the US there's a whole the median prices 235000. Dollars in the fourth quarter and twenty sixteenths. I was an increase its five point 7% from the year prior. If we look at the northeast we've got a pregnant declined slightly. In the fourth quarter of 2068 compared to a year earlier they are down zero point 2%. The price level is still quite healthy and above the national media and it was 254100. Dollars for the northeast moving to the mid last week we got to the median price is 181100. Dollars. But as of five point 7% increase over the year prior looking at a south got very healthy price growth of seven point 9%. The median price lower than in the US for the whole. At 2101500. Dollar and moving out lacked we see that very similar price got a lot we've gotten Al. At seven point 8% increase in home prices from the year prior. But the median price is much higher at 348800. Dollar and. So Danielle looking ahead here we have 2016. Ending with prices notching up across much of the country. What does this tell us about 2017. Can we expect it to be home prices continue to rise at a slower pace that the closer to what we would consider normal so that'll help keep prices in line with. I think content. And we talked about jobs it continued dead be added to the economy and under adult buyers think they're going apps that give them a little bit more purchasing power. That rising mortgage rates. Diminished some of that purchasing power so it will continue to be a challenge for potential buyers in the market a lot and with the help of an expert their local realtor. And wanna make sure that they learn a lot about the processed before they undertake it so they can really be prepared for what they're going to take you. Great inside Danielle I sure appreciated and I appreciate you being on the show today I don't. Daniel hale managing director of housing research at the national association. Of real two hours it's coming up unrealistic today there are so many reasons. Still love at the home you own thought I think one thing it is at the end of the day you just wanna go home. You wanna go to that special place that you love that special plates that face that place but it comfortable that's next right here. On realistic today. Real estate today. Connecting you with the real estate professionals. Every week. And we're back. Wheeler special show love your home. Our annual tribute to Valentine's Day is taking an in depth look at your house and all the things you love about it. And you know there's a lot to them because home means so much to so many people having your own home helps families build wealth over time. It also helps provide a stable. Safe environment for kids as they grow up. And his family's come together to put down roots they grow communities. All over the country so let's begin our discussion about loving your home. With a look at all the things having a home means to you and your family. Joining us now is Elizabeth Mendenhall real sore and CEO. Of re Max boon realty in Columbia Missouri and the 2017. President elect. Of the national association of real torched. Elizabeth welcome to realistic today. Harry oh I'm great thank you hope you're having a good date too sure absolutely. Now Elizabeth tell me what does homeownership me to individuals and families. All across America. Well I think one of the things there's at the end of the day you just wanna go home. You wanna go to that special plate that you love that special plays it safe that place but it comfortable. And having a home they're not liking it and felt. Anybody who has the opportunity to afford a home could be in a home to have that place we as a culture certainly want to help them achieve that American dream. You know we hear so often Elizabeth at Rio tours helped build communities. And that's one thing that homeownership does. The people who own homes all being together in the same neighborhood in the same part of the city it does build a community can you tell us little bit about fact. Well absolutely you think about you build your roots where you are and you start learning get to know people at York. Local grocery store that they actually picture gaffes potentially get your hair cut. And it really becomes a family in an extended gambling outside of that home and that's ropes works. You know knowing that area knowing that you immunity knowing the individual helps us refer clients to where they can lead to their Nextel. Also get. Clients can have just moved into an area better acclimated in the area so it's a great partnership with a realtor who knows that community. And integrating the homeowner into the community. Very interest in Elizabeth of course there's also a financial side dual us and let's start by looking at the taxes you pay. As a property owner I mean no one likes to pay taxes perhaps but we need to point out that those taxes go back into your community. To build parks. To build schools. To build community access points that are important for the entire communities so those taxes go a long way towards making. Your neighborhood a better place to live. Sure and you know it's a way and a homeowner back in not only get to build equity for yourself but you get to invest in the equity of the community and help. It's a good way to participate knowing that your healthy your financial situation but also growing in the drink of the economy community around you. No Elizabeth America provides many types of benefits for its homeowners in the tax area. From the mortgage interest deduction to property tax deductions to the capital gains exemption. Those benefits help people get in to a home of their own and also afford it in the long run. So when your view Elizabeth how important are those tax benefits for homeowners. I think they're critically important I think it's fair to say that nobody grew up and they wanted to be here Richard. They wanted to own a home they wanted to have again that point that they can call Eric and every time I'm home an adult. It provides additional income to the taxpayer should actually teach a return Mohammed sold it doesn't well. There are additional services which are purchased and bought every time a homer bought and sold and tell any thinks. That we can do Q incentivized that process not only helps. The homeowner but it certainly helps grow the community the income the municipalities at eight in our country. So if we were to look at it from another lens and eight and America in that are being a nation of homeowners. Was a nation of renters and the only people who owned property would be the landlords. How would America be different in that case. It would indeed but country that our former fathered. I imagined when they came to America it would be exactly what they left it wouldn't be the countries which were so proud of not knowing that we do you have a place where we can own. Build equity build a future for our future generations. Homeownership culture establish and maintain the middle class. And helped establish and maintain the dream that every one can own something and and we know that when we do have homeowners stairs. Let's crane their higher education and they're less teen pregnancy. Their marching in the involvement and all of those are good ideal to strive for. I think. No Elizabeth one thing we have to mention is the thirty year fixed mortgage. No rent of course. Is never fixed but your mortgage candy and that helps people and their families. Build wealth overtime. Especially because they know exactly what their housing costs are going to be. For decades know what's your take on the thirty year fixed mortgage Elizabeth. Well having that type of mortgage having that federal guarantee on the thirty year mortgage. In the country not only helps sick about how do you view it like he talked about but it also helped. Maintain a lower down payment compared to other countries who don't have that federal guarantee on a mortgage. And so that's a critical piece of homeownership. Now finally Elizabeth Americans. Have won a true champion. Which fights for their private property interest on the local state and national level every day. And of course. That's the national association of real torched maybe you can tell us about some of the things NER does for homeowners every day across this country. I one point two million rupture or are consistently and constantly looking out for those interest of our battle homered and property owners. In making sure that those tax benefits hinge it against making sure that in our our local or state. Government that works focused on affordable homes and what that means. And again making sure that people can. Build and grow equity and if you think about it this is the group broke church are the group. Who are looking after the homeowner's best interest in really protecting. Our right to continue and arms the American very. What is home. Mean to you. I have lived in the thinking in my whole life and go home is where my handling those home is where my friends. Our home in Burma duplicates. You know in home is that they should give me not only. The chance to to own a home by the community. Where I can drive that's larger consumer but most of law at the place where I am most proud. Too comical character. I love that Elizabeth will look I really appreciate you joining us today and talking about this wonderful thing called homeownership thanks Elizabeth. Elizabeth Mendenhall real tour in CEO every Max boon realty in Columbia Missouri. And the 2017. President elect of the national association. Of real sports. Coming up on realistic today is might be February but who cares let's fire up the grill. So for starters I like something called shrimp which movie rim a lot a special Valentine's Day menu is coming up. Right here on realistic today. But first it's time for real knowledge and. A special segment on realistic today in which we talked to a top level real estate professional. Economist journalist or industry expert. And I am a tough question designed to help you have a complete understanding. Of some of the most complicated areas of real estate. And today we're talking about creating an income with real estate. There are you have a home you may be creating wealth as your home gradually becomes more valuable and you paid on the loan. But what about monthly income for that we're talking real estate investing. But is now the right time let's talk about that with a true professional joining us is bill Armstrong lifelong real estate investor. And vice president of Macintosh trio tours in Frederick Maryland. Bill the former president of the Maryland association of real source. And on the national level he served as the treasurer for the national association of real torched three times. He's currently in heiress liaison to France. Bill welcome to realistic today. Well usually in a sort of characteristic quick YouTube bill so our question today considering the fact that mortgage interest rates are still love. And the fact their rents are on the rise in many markets across the country is right now a good time to invest in real estate. You don't want almost every environment is a good environment and the market dictates what the pricing its board turned it never seems to change whether a market it is robust or even in decline. There are those who are in need of housing and depending on the price point pitcher looking at I have never had a problem finding a residential tenant. For building or department of mind. Ever now commercial that won that it's a lot more suspect people will it work out there based that are in their garage they'll take the plunge into the next. Level of occupying some space and take that there's sort of while but. There are people always in the heat and a few years ago would attach reform act 1986. They get away with a lot of these incentives so a lot of people came out of investment properties can look. There were some large groups Bahrain up all the properties because they were able to write off the taxes. I'm insurance. And their interest well that's no longer the case on. On these individual rental properties like that. So there will be always be small investors there will always be candidates for those properties. Great advice bill and thanks for joining us today. My pleasure or even Phil Armstrong real estate investor and vice president of Macintosh realtors and Frederick Maryland. The former president of the Maryland association of real George. And a three time treasurer of and they are. Real estate today because knowledge is power. And we are back with a special show love your home. Our special tribute to Valentine's Day realistic style. After all Valentine's Day is this Tuesday so today we'll keep you solid ideas about how to show your homes and loved this weekend. From home improvement to an incredible Valentine's Day dinner we'll have at all love your home he is straight ahead but first let's check in with bill Tom. And unrealistic and a newsroom I don't like Stephen by the end of January mortgage interest rates had risen some sixty basis points since Election Day. But Lynn Fisher vice president of the research and economics at the Mortgage Bankers Association says there expectation is that Richard not going to keep going up as fast. We expect the pace of that increase to start slowing a vendor come down. Over the course the error reaching about. An average of four point 7% for a thirty year fixed rate mortgage by about fourth quarter of this year. Maybe exceeding 5% by the end of 28 team. As interest rates rise Fisher says an increase in purchase mortgage originations. Won't be enough to offset a drop in refinance. 2017 should be a very good year for the private mortgage insurance industry says that and be global ratings. It's 2017 outlook forecast to robust earnings this year and for several years to come. The only cautionary notice this S&P global ratings says the PMIs will likely face even stiffer competitive pressures this year. With the future of Fannie Mae and Freddie Mac still unclear. Coming up than half an hour has the homeownership rates bottomed out and I do thanks bill. Continuing now and our special show love your home. And up right now we're counting down the Valentine's Day on Tuesday. Now if you don't plan on going out on Valentine's Day and there's still time to plan out a special dinner at your favorite place. Your house the fifth but instead of making that meal in the kitchen and how about firing up the grill on Valentine's Day. Can you really do that. Well let's ask someone who owns more grills and anybody you know. Guaranteed who's pointing us now is Jamie provide n.'s award winning author of the Weber grills cookbooks. Jamie's latest book Webber's new American barbecue is a best seller on Amazon. And we're glad to have him back on the show Jamie welcome to realistic today. Stephen thank you very much it's great to be with you. We're glad your here so Jimmy right off the bat now. Do you still own six grills or has the collection grown since we last talked. I've managed to I get my wife to allow me out a couple more. You appear with every new 11 had to go out but com were up to now Peter nine at this point. Stand. Yet it's. About it well stocked now I can do any back. That's great Jamie now another question before we get to the menu. Cooking dinner on the grill on Valentine's Day not down south that's easy but can I really do it up north where might be cold and snowy. The guerrillas reminded all the girls can operate really well whether it's middle of February in the middle of July I think it just makes the whole thing a little more special right you've actually. Creating something. An unusual in the middle of winter without great flavor of the fire and the smoke so it should be X specially impressive. So Jamie we have a special treat for the realistic today listeners because the Valentine's Day menu is coming from your newest book. That's not even out yet. Tell us about it. This one it's called Webber's greatest tips. So what happened is we asked Weber cookbook owners to pick their favorites we do an online survey. And the ones that were chosen. Among many many people to be the absolute best. I'm up all went collected in this. 120 society of recipe collection. Webber's greatest system and will be out. April all the letters that you can pre order it now on Amazon. Let's consider three course meal Jamie and let's begin with some starters okay. OK sure so for starters I like something called shrimps with the movie ramble lot that's that's that's the because it's so good that people and the Saint Louis that is good. Ram allotted like French based sauce it's basically a meniscus talks with some mustard and some capers. And so from. Carla actors to really really love lead dipping sauce you can make up hours at a time. And then you just get some origin shrimp I think the bigger the better for Valentine's Day these season and simply I could. Particularly look copies over charcoal fire because I think. Shrimp a particular pitches to absorb the bureau Romans of charcoal fire so beautifully so quickly these things are only on the grill for real for five minutes. But in that kind of get a real true taste of that outdoor cooking and it's easier done in five minutes and and now you when you're injured David Gergen joining something really delicious deputy and that creamy rich of Camelot. And I think dropped to a good start. Oh my gosh that sounds amazing Jamie now all into the main course for the Valentine's Day menu. So I'm going with they've probably got flank steak. So complex stick it's one of those a little clip Topper but prod chewy but it's a little the copper and outlawing stick a cover the opera means that you carted. It buried currently and that's one way he should get around the cheerleaders factor and it looks beautiful so that's basically a season flank steak gets grilled in the slice. And then it's laid out on a bed of a room grew up. Which is always really nice and then it's riddled with a ball from a reduction could that the very end I like to put shavings of parmesan cheese. Yeah it's very Italian very pretty on really delicious and not at all difficult to make. And you wanna make those slices and spins as possible. And I also like to do it on an act. Angle you're not going to charade down onto the board going kind of at a 45 degree angle makes for a bigger slice it's a little more attractive. But it just works out great toggle yet but you could take probably update your honey. You admitted hardly got you know I think I bet you're some sort of Italian movies. This stuff that's courage OK so you've got that hardly got to flowing state what should be right next to it as aside. Actually I can make a really nice grills side dish. We have carrots. And most people don't think of grilling but just hold on this works out. Really well you kill those carrots. Cook amid some boiling water just strictly. Take a crunch out of a bit of 100 Tutu parts of cocoa for about three minutes or so it's important one event take him out and staying inserted the Italian team here we're gonna brushed them with some extra virgin olive oil some boss comic vinegar and a little bit and not. Make believer not you million. Really works out I'll also usually a little bit. Melted butter and then there as well. And Russian law that mixture over the carrots and Wallace Sheikh is cooking the carrots can go on the other side of the growth and you look beautiful when nick cook because you get kind of these tiger stripes on them. It's really really wonderful and a little surprising a lot of people haven't had grilled carrots before so I recommend it. Wow Valentine's. Dinner on the grill Jamie that's sounds great. Just one thought on Valentine's just remember on that day that what's on the the play is not nearly as important as the persons across the table Friday. A very nice thought as we approach Valentine's Day Jamie thank you again for joining us on realistic today. Here are. Neck and you're very welcome Jamie turbines award winning author of the Weber grills cookbook series. And the best seller Webber's new American barbecue and soon a brand new book Webber's greatest hits. Coming up unrealistic today. Are homeowners getting tired I'm using a neutral colors. You don't like people are becoming a little bit colors dark by being so. Look at how the new Charles that's next on our special show love your home. This is real estate today. 100%. Real estate 100% of the time. Back again now where their special show love your home. Filled with the ideas about how to make your home more enjoyable more. Beautiful and more valuable as Valentine's Day approaches. And one of the best ways to do all of that and also one of the fastest and easiest is. Painting because any room in your home will come to life with a new coat of paint. So let's talk about paint coatings and color now within expert joining us is Andrea magna color and design expert with Benjamin Moore. Andrea is a designed professional who's involved in developing the color Pallet that might end up in your house. Benjamin Moore of course is among the biggest paint companies in the world. Its products have been making homes beautiful 4134. Years. Andrea welcome to realistic today banks to be here for Roger here's Andrea let's start with color. What are the most popular colors out there in today's market. Well you know we've seen so much at the neutral palette you know everybody is really interested and layering neutral bringing gray increasingly into their home you know a huge color I'd say review your computer is one of our top seller which is. A really great hue troll as we like to call it. But the interesting thing that we've seen over the past years so it's people bringing more color in small amounts or in some bigger amounting to their home so cash. You don't look like people are becoming a little bit colors dark by being so focused on the neutral and and we do things to me about that is that. Darker colors are. Are becoming. A little bit more are. I know I get palatable for people you know instead of thinking about some of the mid and things like totally dark colored gonna make bribe or steal small or anything like that people become a lot more willing. A lot more parade and experimenting with darker color and I think they're really seeing. You can balance that with Taylor colors in the neutral and that results are really really pretty impressed that. Interest stink we know as Valentine's Day gets closer. I'm thinking about these red dining rooms. The deep cranberry red dining rooms with the white trim I've seen plenty of those and I think they're just. Gorgeous. Is that still popular. Say it's not popular one of the color that we've actually called out for our color trends Tibetan seventeen Pallet. Is called dinner party which is a beautiful beautiful red and the united is definitely one of our pop telling colored. So you know we're seeing that but then you are also seeing colored Blake. Needy blue make their way into dining room or charcoal. You know some kind of cooler but heat color like back. Well that sounds great. Now another question what about the accent wall. We have a room that's pretty much one color but one wall is a completely different color. Are people still doing that. Well we have seen that means you know I think that was being a couple of years ago and I think we're still seeing some of that but. One of the things that I like only caution people wept when they're doing that is if you're going to introduced an accurate color. Always be shortage shoot the ball that it makes sense you know it would not. Our brand Greenwald is it not crying and Andy thank you walk on the wall that is a focal point. In a room. And make that you know maybe go Warwick fireplace or something so the idea being drawn to that but any other thing that we're seeing is a feeling as a accent. So for instance doing a really pale blue is really beautiful. Has an accent on he thinks so it thinking about an accent wall in a little bit of a different way. Andrea great ideas and thank you for joining us today thank you for having this on it sure wise. Andrea Magnum color and design expert with Benjamin Moore. Coming up on realistic today ten home improvements designed to help you get a great return on your investment. That's next on our special show love your home. If you love listening to us talk that we would seek to join the conversation. I'm really see today's radio on these look we can't wait to hear from you. That's real estate today radio on these. This is a real estate today. Location. Location. And information. And we are back with our special show love your home. All about giving your house a little love this coming Valentine's Day and buybacks were talking about improvements or fix up. Things that can make this place you call home better than ever. That's a nice thing to do any time of year but around Valentine's it's even better. So let's look at ten things you can do to improve your home and its value. This comes from remodeling magazine's 2017. Cost vs value report. It's an annual survey of real estate professionals in which they report. How much value home improvements cost on average and how much of that amount the owner gets back at the closing table. Early upgrades include flat out renovations like putting a second level on your home and also quick fixes like a new front door. So for some of them you'll need a pro and a lot of money but for others you can do it yourself if you have the skills and many are quite affordable. So let's take a look at ten of the improvements that can bring the most bang for your buck. Now in our next hour will look at denying things they bring you the least return on your investment. OK so first up. Insulate your attic. Putting down fiberglass insulation while not only save you money in utility bills. But if you spend the average amount to do is around thirteen 150 dollars you give back 14150. If you sell. That's a return of 107%. Next up a new front door made of steel. A new steel entry door is not that hard if you're handy. But if you're not get a pro. The cost is around 14100. Dollars in if you sell that will recoup around 90%. Of that investment. Number three adding a new look to your home with a manufactured. Stone that the new year. That's up their cost on average 7800. Dollars. But it gets a good return coming in and about 90%. If you sell your house. Number four is a big one a minor kitchen remodel that could cost you around 21000. Dollars. But you get a return of about 80%. Now the fifth improvement is not terribly expensive but you would need a pro unless you're really experienced. And that is putting in a new garage door. On average that job will cost around 18100 dollars but it resale it would at around thirteen hundred to your home's value. So their return comes in at about 78%. Never six replacing the siting on your home not that's not cheap at around 141000. Dollars but it brings in a return at the closing table. Of about 76%. Of that amount. Next up number seven adding on to your deck using wood. The cost just under eleven grant the return 71%. No note this is would not composite wood brings you a better return. Okay now for number eight get ready to either take got a big loan or if you haven't write a really big check. Because a second story addition. Will set you back 176000. Dollars. But a closing you see a lot of that coming back at around 71%. Return. And number nine and ten they're also way up there are priced but they'll make a big difference ninth. Is a full basement remodel the cost around 71000. Dollars the return 70%. And number ten adding an addition to the family room that's going to cost on average. Nearly 90000. Dollars but when you sell the place you'll recoup. Around 69%. Of that so if you want to show you how some of those ten projects will bring on average the best return on your investment. But which projects bring the least return. Remodeling magazine also reported on that end of the home improvement scale will look at those in our next hour on our special Valentine show. Who love your home. If you'd like to hear more realistic today's special show love your home. Either stay tuned we're join us online at radioed dark real sore. And from all of us here at realistic today thank you for listening. If you're realtor you can put the entire realistic today's show on your web site. The best real deep chill on the Radio One 100% free to any our members just go to our new web address. Radio dot realtor and click. For realtors. This isn't real estate today. The number one real estate show on the radio. Welcome back to real estate today backed by the professional experience of real tours from across America. We're the most trusted source on the radio for up to date real estate information. Real estate today is the official radio program of the National Association of Realtors and its real tour members in your neighborhood. Hi again I'm Stephen gas went in I'm delighted you're with us as we celebrate Valentine's Day which happens this Tuesday. It's a special show loves your home after wrong. Home is where the hardest so on today's show we'll show you how to give your house and everyone who lives there some tender loving care. Love your home is straight ahead but first let's go to their real estate today knew. Drew with Bill Thompson I don't Stephen since bottoming out in 2011 sales of new homes in America were up more than 50% but 2016. New figures from core logic show that in the one year period that ended in September 2016. New homes accounted for some 9% of all home sales nationally. But core logic chief economist frank no draft says the picture is much rosier in some places. The new home share was much higher in some metro areas however. In Raleigh Austin Charleston and San Antonio for example the new home share was about one in five sales. He's metros have had strong local economies and relatively low cost of living there has attracted households from other markets and spurred homebuilding. No tells us one more factor that the nation's top new home markets have in common they're all in warm climates or near the western mountains. He says not a reflection of a migration from the northeast and midwest. Citigroup is getting out of the mortgage servicing business to concentrate instead on mortgage originations. The nation's sixth largest mortgage servicers says it will shell servicing rights of about 780000. Mortgages backed by Fannie Mae and Freddie Mac the buyer. It's a unit of new residential investment court. The sale is subject to the approval of both GCs and the FHFA. New figures from the government suggest the homeownership rate has bottomed out. The census bureau's latest housing vacancy survey reports the homeownership rate was 63 point 5% on a seasonally adjusted basis in the fourth quarter of 2016. That's only a modest 110 of 1% increase from the third quarter. But it was the second consecutive quarterly increase following a fifteen year low of 63 point 1% in the second quarter 2016. Fannie Mae is getting into the rental business in the filing with the Securities and Exchange Commission Blackstone invitation Holmes which has a portfolio of some 50000 single family rattle home. So that is obtained a commitment for obtaining your mortgage for a 21 billion dollars from Wells Fargo. The loan will be sold to anybody. It's a first of its kind debt deal for Fannie Mae the single family rental market now accounts for more than half of the rental market nationally. Coming up and happen no more talk real estate news. Stephen back to you thanks bill. We have more good news to report about interest rates the Federal Reserve met recently and decided to do. Nothing they left their key interest rates. As is in their first meeting of 2017. However the Fed indicated they might raise interest rates. Perhaps twice before the end of this year. Let's talk about what this means to you within expert. Joining us is Joseph let injured the award winning business analyst for CBS news and a host of the popular radio show and website Jill on money. Jewell also just launched a new podcast better off with Jill Schlesinger Joseph welcome to realistic today. It's so great to be back with you we're glad you're here Sergio I wanna find out about your new podcast but first. Tell us about the Fed's decision not to raise interest rates. So this was pretty much expected and here's why. There's not a lot that's changed in the economy since December since our last meeting. And it was at that meeting if you recall they raised interest rates by a quarter of a percent that was the first read increase in exactly a year. But they told us we're gonna be looking at incoming data. And at this point I think things have gotten marginally better not a 100% better not fantastic but marginally better. Not so much better that the Fed feels like oh we've got act we also know that. The Fed vary much focused on. While will fiscal policy be remembered that handles monetary policy right interest rates may try to look at inflation. But it's administration and congress that manages fiscal policy and the Fed wants to help. What is this trump administration and Republicans in congress what are they gonna get. Are they going to spend a whole bunch of money on infrastructure. That could help boost the economy. Are they going to inactive tax cut both personal and business tax cut or tax reform that might be. Very green in terms of the overall economy or may be more the stock market. But either way. I think the Fed is waiting for tea tails and that's exactly what they told us they would do let's wait percent deet tails and we'll go from there. Would Joseph let's talk about mortgage interest rates for a minute. That a fed did not raise their key interest rate and when that happens a lot of people think oh good. Mortgage interest rates are not going to rise but the fact is. Mortgage interest rates aren't directly tied to what the Federal Reserve does correct. Look at that manages short term interest rates OK so. More like a direct and any. Loan that is tied to either. Libor which should be allowed to anger Interbank offer rate or. The I read it is key to offer my short term. Metric okay. But it's not thirty year mortgages. Thirty year mortgage rates key off of that the ten year treasury. And what we know is that ten year treasury prices. Have actually really started to change since the election so what that has meant is that. Treasury prices has started to go down and yields have gone up which is why. You're not going to find your three and a quarter percent thirty year fixed rate mortgage anymore he just is not out there. So worried about 435. Verse so I would say put it at fort accorded a four and a half from here and that's still a pretty darn good rates so I don't want ever undergo not beat that's still a good rate. It's a good rate for most people were going out and shopping around for mortgage will it make it more expensive that it would have been. Had you bought a year ago yeah. It is. That hopefully it's not got much more and hopefully. You are gonna be able to buy a house for lots of different reasons not just because you can get a three quarter percent thirty year fixed in May decision to buy a home. You're looking eight of the affordability for your house hole. And if you had a fixed rate mortgage the one thing you know he can control your property taxes can't control your heating bill. But what you can control is eight fixed rate on your mortgage. And I also wanna point out that you cannot control that when it's your rent you can control how fast rents rise so. You're the type of person who believes I do that generally speaking inflation is going to be rising in the future not falling. Then lock and one portion of your overhead your mortgage payment is a darn good idea. Sergio to sum up our talk about the Fed if I'm a homeowner. Or prospective homeowner nothing's really changed for me. Not really. Tough. Ed you know we are low interest rates are changing we are coming out of the cycle of falling interest rates essentially 25 years site. Okay. Reaches a really low so are throwing teacher heads on straight. Speak about what's right for you or your family which can afford. And don't start to do this number it yourself home and public could have a three and a half percent like OK but he didn't get it. I could've bought apple at the IPO I didn't might get to kill myself every day because of that maybe now I want to. Joseph let's segue now to really really exciting topic you have a brand new podcast better off with Jill Schlesinger tell us about it. Well this is a born out of the radio show but I figured you know I couldn't. You know stand that there is too much excitement going on in the world that I couldn't I just confine myself to two hours every week I had to add an extra half hour show and what we try to do is really. Leverage the fact that I am a certified financial planners CFT. So there's a big component of the show which is answering questions and get to just do really cool interviews so it's just a neat way from meeting gets an extra time with people that I meet in might buy real life world loved CBS. Wailing sometimes gets interviewed for a minute or two minutes at a time. I love being able to have up 1520 minutes with them and also talked to people who have generalized financial questions. I'm hearing a very excited Jill I am very excited as Alex. And we should tell our listeners that you can find the new podcast better off with Jill Schlesinger right there on the web site Jill on money you gotta. Will Joseph the best of luck with your new podcast I hope it takes off like a rocket. And I really appreciate you coming on the show today thank you so much for having a loved being with your very welcomed Joseph Schlesinger of the award winning business analyst for CBS news. And the host of the popular radio show and website Jill on money and the new podcast better off with Joseph Schlesinger. Coming up unrealistic today what's it like selling property in the globe county. They surely will Pollard grabbed a black county get older audience for here. That's next on our special show love your home. Real estate today connecting you with the real estate professional. Every week. Then we are back with our special tribute to Valentine's Day. Love your home. And right now we're going to take you to a very special place with a very special real tour. Her name is Jessica bock real sore in broker owner of platinum team realty in southern Oklahoma. Jessica is active in her state and local realtor associations. And she was named real tour of the year by the southern Oklahoma board of realtors. Jessica team serves communities all over southern Oklahoma including. A wonderful part of the state named love county chats ago welcome to realistic today. Thank you can debate recchi. Would Jessica I'd like to ask you about your realistic business in southern Oklahoma but first. Tell me about love county. Why is that a great place to live. I think we have been nourishes. Friendliest people. People that you gravitate towards there's places that visited it and you don't get that warm feeling but definitely. Tethered Oklahoma her back to back. Now what are people looking for there are no that you have some great natural attractions you got. McMurray yeah latex Omar what are people looking for are they looking for a primary residence they looking for a vacation house or. Open land that they can build on. And you know brilliant mix here we get lots of people that the lake straw man and they watch. You know Lakefront property around my pick coma or they wanna be close to lake Murray a lot has. Vacation purchases as well as just you know permanent residences. There's something for everybody we offer lots sheets from as far as land we have ranchers that. Karen and more deranged RD establish or know one of large land purchased and start airing. Now Jessica do lots of people from around the area visit love county. On Valentine's weekend. You know probably better not loved county does offer some cabins and their recent builds this was like in the last two years I believe where. They have little cabin retreats where you can. And they're really secluded and you know really kind of minimalist stick and and simple. And it's a perfect getaway for Valentine's Day. Jessica does anyone come to you and say I want to live here. Because of the name of love county. I haven't ran into that yet. But they surely will fall in love with blood count me it'll dry here and pressure. I believe is so Jessica how business in love county. And the other parts of southern Oklahoma. This is our busiest time of the year believe it or not it's wonderful. Now Jessica are you finding there's enough inventory in your area are there enough homes for sale. For all the buyers out there. I don't think so at all I think it definitely is right now seller's market because you know there's not a whole lot of inventory and we've got way too many buyers can pick places than not enough places to put them. I seat now how do you work with those buyers have your faced with a problem of inventory. That there aren't enough houses to choose from what your strategy. Our agents are trained to you looked at the other avenues they're marketing and advertising and kind of looked her you know our expired listings maybe somebody didn't tell last year didn't lottery lists but would still felt so. We really try to go the extra mile and help people not only through listing. That we can see in front of our place but we got there and and church forum in different happening it is well. Putting a lot of work that you. Yeah we love it in order to do well I relish that you really have to love people and and let real estate and know all about it and it that's what fat ass apart I think from their. You know Jessica of course. Having not enough homes for sale is one barrier another barrier in many markets is that prices. Are notching up. How about your area of Oklahoma. We're pretty proud of our land around here and you know we always kept a stop explained always goes up because they're not making more of it. And I mean it's true we see that. Each year kind of creeped up and Wear pretty. Stay out our our land prices we are but we offer a lot of amenities that come at a well especially once star casino as there that. Recently named biggest casino on world. Well and little small town Oklahoma while what's left county probably has 9000 people a population and so. For the likes to beat air in and the other. Valuable resources that we have an entertainment and family restaurant there's a big drops in it. Now you're halfway between Oklahoma City and Dallas correct is that create a lot of traffic for an. It really does we have some. Very large hotels that have picked up on the fact that we're stuck centrally located and were kind of that they passed through spot since we're really in the middle like he said. And it it does create a lot of traffic and a lot of people when it stopping just farmland and don't ever want only. Fall in love in love counted in bath at a Jessica I sure do appreciate you being wit us on the show today and I hope that this is a fantastic year for the platinum team. I'd hate to it thanks so much for your very welcome Jessica bock real sore and broker owner of platinum team realty. Serving love county and all the areas in southern Oklahoma. Just ahead unrealistic today. Everything's coming up roses Broward there are indeed on everybody's mind right now that's next on our special show. Love your home. But first it's time for our Smart home technology report. And today we're going to talk about a mystery. Because in the huge and growing Smart home tech business. Something's missing. I mean Smart home Turkey's growing like wildfire. Just look at Amazon echo and Google home they're selling so fast. It seems people everywhere are talking about them. Plus you see them on store shows you see them advertised online and on TV. And you even see them in funny YouTube videos. But as I said there's a mystery here something is missing. Because hey where's apple. That's right apple the biggest tech company in the world according to Forbes. Is now almost a complete no show when it comes to Smart home tech. I say almost because apple does have a Smartphone system but can you name it. What do you guess series sorry that's not it. Apple's Smart home system is called home kit. It does exist in fact but it's practically nowhere to be seen unless you go online and search for. Not a mystery deepens when you consider. Apple's home kit is not brand new it's been around nearly three years but so far it's not really happening. Our friend Megan who wore tennis CNET offers up a pretty good theory about why Apple's been so slow. She points out that for a Smart home device to be really useful it may be able to communicate and work. With other Smart home devices. For instance Amazon echo can't turn down your heat without communicating with a Smart thermostat. And go home can't turn your lights off without communicating with a Smart lighting system. Everything needs to be connected and every Smart home company needs to partner up with other Smartphone companies. But apple makes that much harder than Amazon or Google. Because there's Megan writes apple has really really high standards. And that includes Smart home tack. To be an apple partner a company needs to be certified. Which involves meeting rigorous standards much tougher to get in the door where an apple. There it is with Amazon or Google home. The result apple doesn't have anywhere near the Smart home partners that Amazon or Google arraf. And that's a big reason Apple's not competitive yet. But that also could end up being a big positive factor for apple because when it's home kitten does rollout in a big way. It will be extremely high quality reliable and great looking like everything apple makes so. Maybe in the long run. Apple's home kit will be worth the wait. This is real estate today. All real estate all the time. And we are back with real estate today is special tribute to Valentine's Day love your home. Probably know that Valentine's Day is this coming Tuesday February 14. And today show is all about how to show your home some affection. How to make it more value and how to make your house a place you just plain love. Coming up we'll talk about how to make your home perfect place to grow roses. And we'll also talk to a wonderful realtor who's giving back to her community. Plug your home. His straight ahead but first let's check in with Bill Thompson in the real estate today news or cargo. I Stevens. 2017 is likely to be v.'s hottest year in real estate in northwest Arkansas according to one local real over. Patrick Quinn is with Coldwell Banker Paris McKinney and Fawcett in Rogers Arkansas he told 4029 TV the shortage of homes for sales what's turning up the heat. From a real state market perspective we're just. Really under supply we will need some more inventory in that. Affordable. Price ranges between 200 to 300000. For the starter homes we see a lot of. First time homebuyers are gonna come out of the market Quinn says right now there are even fewer homes available for sale than their worth this time last year in northwest Arkansas. If you're looking for a bargain on a home find one now in February. Adam data solutions analyzed more than fifteen million sales over a sixteen year period and found that. In the shortest and coldest month of the year the average home sells for six point 1% less than the rest of the year. Best bargains to be had in the first half of the month Adams says eight of the top ten best days to close on the home are in the first half of February. The single family 55 plus housing market ended 2016 on a very strong note according to the latest. 55 plus housing market index from the national association of homebuilders. The index jumped eight points to 67 in the fourth quarter of 2016 that's a record high the deadly HP says. The index is based on a survey asking builders about present sales expected sales for the next six months and prospective buyer traffic. The NHB says all three sub components of the index posted increases from the previous quarter. Stephen back to you. Thanks now. Feel as we approach Valentine's Day this coming Tuesday many of us will go out and buy or significant other roses. That many homeowners know you don't have to enjoy roses just once a year. You can grow them at home with a little tender loving care. Let's talk about doing that now when an expert joining us is Ali Cunningham certified nursery basket professional in Buffalo, New York. So I was the author of the book great garden companions. And she's also all over the media in buffalo on radio TV and in the newspaper. And when she's not bear chances are she's leading one of triple a.'s great garden traveled tourist around Europe. Hi Charlie and happy Valentine's Day. Well it came to everybody else from and I certainly can't baby trend that scientists decides to have relatives are in deed on everybody's mind right now 60%. Of the flowers. Botched or Valentine day are road and it ain't true million dollar holiday for this industry. Oh Sally let's talk about growing roses at my own house. If I am a homeowner just about anywhere in America can you give us a quick 123. On how I should plant roses. To make them as healthy as possible. Yeah. First. It really good advice from a really good first session now and which road is really powerful for your area. So I'm changing urged me regard Accenture OK and then second. During your style work put on antibiotic counterpart Kim hold that that road. Definitely plant it properly each and give them lots of water sunshine. Quiche and drainage and good Choi help. Gil an Larry king live at the right road and you can't check ain't. Know when it comes to deciding where on your property to plant the roses. I noted sunshine is huge and anything else. The other factor this side of sunshine in Internet circulation and so political rarely agreed blows through I you're more likely to have a lot latched. On August Indonesia I could get in our partner their homeowners. Click can shrug tribe brilliant in it among your foundation planting. Are out there and a perennial garden mixture add up to get bio diversity. Really works. And then you're not going to be rained so much and you can welcome numbered in the butterfly. No I really can't go out road and don't be afraid of warm and really there's no marked flower it's been more beloved Judy agent. So Sarah let's end up talking about cut roses that people in our audience might be buying. For their loved ones on Tuesday yeah some of a cost minimum cost twenty bucks. How do you know you're getting good roasts. Well then short and the most in part you battered by HM professional. There's no guarantee ever again touched in Cuba charming real flourished a local professional tolerant. Now urged roses have been candid carefully from the beginning to the end of their journey. But it could by relatives from a department store the corner gas station I have a special coach Barnes wrote it may have been exposed it called. They may have been harvested at the wrong moment for the but opening her cut at the wrong mom it and you can get little odd but never open. Our road to just quickly latched. And being kick color ugly shoes wide open ended older and or dating your house. Carol really trust that torque. And then when you get it in cheer home. In don't drink it Judah cold winter care you're getting at all about what can have a home. Respond kick captain and immediately Oscar de box and shield at the bottom and they can't take up water. Cut ten launched from gate which they do that cutting even in warm water. And plunged them directly into warm water in homage. And never let any leaks Egypt clink in this camp. If you put at least slowed around in there that creates a gap it quickly DK eight to grow. Don't know what damage floating in the water now to our relieve a broad to whooping. Great advice Alley. And thanks for being here. That you are thanks everybody happy Valentine's Day each each night to somebody whether or not can have a love church. Somebody would appreciate impoverished. Yeah ninety's well happy Valentine's debuted to solid. Kelly Cunningham certified nursery and landscape professional in Buffalo, New York. Coming up on realistic today and we'll meet a real tour who created the he wishing well for schools that don't have. Crop acting acting in the capital prayer and no water color. That's next right here. On realistic today. This is real estate today. Because your home might beat. Your biggest investment. And we are back with a very special story about a real tour who gives back to her community. A real toward realized that many of the schools in her area. Did not have the equipment and the tools that children need to get the best. Possible start in life. So she started to change all that. Real tour Sarah Aaron and broker owner of whale's tail realty incorporated in Maui. Founded wishing well for Maui students back in 2007. Wishing well supports chronically underfunded. Public schools. Schools create wish list of supplies furniture and computer equipment they need and Sarah finds that donors to supply them. Wishing well surged 23000. Students in 35 schools. And for her efforts Sarah's recognized in 2016. As a good neighbor by real true magazine Sarah welcome to realistic today. We're so glad you're here now Sara tell us how did wishing well get started. I first career what this school teacher. And when I got here it helps supplement my income I actually did. Substituting and home schooling it was a wake up call as he howl. Many kids did not have pencils even teachers work copying the only workbook. That they had. And as I understand it at the time. The president elect of the Maui association of real towards. And you said your association. We should help. Got approval from the board. And started a wishing well. So tell us zero what sort of things to the students need in your area. Cut down from the base aches from the backpacks to penciled crane and show wider color. Obviously air a little different. At the upper grades vs the lower grades where they scientific calculator might be needed in high school level. Where at the little ones might just need. Primary journals order a racers many parents who could have king street for children and if a parent by every thing on that list for a child it can run easily 10050. Dollars per child. Some parents don't have that teachers. Will chip the end I'd pick can only put so much out of pocket so weak. Phil and now I'm the basics apply so it's relayed a full gamut. So Serra who are you word owners are they all real tourist or the people all over the Maui community. Ala Rick I can get a I have secondary giving community. So it could be from the two any obviously our armed. Realtor association and they're very endings so we needed when we needed and two years ago it was so hot humid. And we. Have. Over. Sixty of our schools are over a hundred years old and nowhere conditioning. Show Wayne now it didn't need for our chat basic and flat out we have all kinds of our own agent of the public. Give aren't so we can purchase since many. Stands as possible. Sarah you have made such a big difference in the lives of students and help them study and help them get through school is best as possible despite all the odd now for those efforts. You're recognized as a good neighbor by real true magazine. And when that happened you received at 101000 dollar contribution. For the wishing well did not go to good use. Oh that's like. It we could at least ten times. It mentioned it and you've got to remember everything is shipped here so I'm shall we bought a packs like 460 side and that Matt I'd say that we spend all low 9000 hours. Chuck sparked any interest. But it helped with the teachers know being here that's only doing once and per classroom. Where in reality they're shot apparently sport and sport cluster. So Serb big question for you. Why do you do. I cannot tell you this feeling you gag Lang that you. Al. A bunch of pencils and crayons. To a classroom. And the kids took flight up or even the teachers who come up and say thank you very matched its complete much. But it helps pick somebody lapels. That's amazing we'll Sarah again thank you for joining us today on the show. Don't. YouTube's terrorists aren't in real Torre and broker owner of whale's tail realty incorporated in Mallory. And at 2016. Good neighbor award winner. Coming up unrealistic today improvements to your home that may not bring you the returns you hope for. That's next on our special shows love your home. If you're hungry for real estate information follow real estate today on Twitter. Share segment. Listen to them again and be the first to know what's on next week show. Just search real estate today. On Twitter. Real estate today because you. We love real estate. And where Barack Wheeler special show love your home. Our annual tribute to Valentine's Day and what it might mean to your home sweet home. Ever give a gift on Valentine's Day that didn't really cut it plate tulips instead of roses. Well that's too bad. But if you wanna show you how some love the same kind of thing can happen. If you invest in home improvement that don't really bring you much of a return when you sell. Now in our first hour we talked about improvements that do provide a good return. Based on remodeling magazine's 2017. Cost vs values survey. And now the other end of the spectrum. The nine home improvement projects that might be nice but which do not bring you back march at the closing table. Let's do a countdown here starting with number nine. Replacing your roof and I can cost a lot just under 21000. Dollars but it closing. The fact that you have a new roof only brings an end around 141000. A return of just under 69%. Number eight a universal bathroom design. Now will cost you an average of 151700. Dollars your turn around 68% of that when you sell. Number seven's a big one completely re modeling your kitchen on average that's a 62000. Dollar job. And when you sell it will recoup only around 65%. Of the investment. It's not that great but even so I bet you when your family would love a brand new kitchen. Okay down to number six adding on to your deck but this time using composite materials rather than would. Wooden deck additions bring a better return according to the survey because with the composite materials. The addition to the Derrick would cost around 171000. Dollars. It only gets you back around 65%. Of that. Number five is a bathroom remodel that will cost around 181500. Dollars or when you sell. You get back around 121000. That's a return of under 65%. Now number four this is really up there a master suite addition and get ready for this price tag. On average around 120000. Dollars. Your turn around 77500. Which is less than 65%. Number three of backyard patio now that sounds so nice. But the fact is the 51000. Dollars you would bend on its. Would only bring in about 28 grant at the closing table a 55%. Return. On your investment. Number two is something that sounds absolutely awesome our backup power generator just think no more blackouts if the grid goes down. Your cost just under thirteen thousand dollars. But you returned. Less than 7000. Or 54%. Return. On your money. And the lowest return of all according to remodeling magazine is our number one. A bathroom addition. That would cost just over 43000. Dollars and a resale. It would bring in around 23000. A return of under 54%. So there you have it nine home improvement jobs that bring you a lot less than your initial investment. But as we all know it's not always about the money in many of those improvements would mean some very happy times around the house because as much as. Love your home now with a few improvement you might love it even more. And totally loving this wonderful place you call home. Is worth all the money in the world. Coming up next week unrealistic today mortgages 2017. Should be a fun show because interest rates are still really low we'll talk credit. We'll talk applying for the mortgage and we'll talk which mortgage is right for you mortgages 2017. Is next week. Right here on realistic today. And remember you can always listen online at radio dark real war. And from all of us here at realistic today thank you for listening. If you're realtor even the the best real speech on the Radio One 100% free to any our members just go to our new web address. Radio dot realtor and click. How realtors.