The 2023 housing market has seen many ups and downs, leaving investors wondering what to expect in 2024. The good news is that regardless of interest rate increases and lower than average inventory, real estate investments remain one of the most lucrative areas to invest in as we head into the new year.

High Demand Means High Return

One of the central trends that defines the market today is low inventory and high demand. According to Lawrence Yun, Chief Economist for the National Association of REALTORS®, “Lack of supply is behind ongoing multiple offer scenarios on moderate- to mid-priced homes.” This demand is also fueling rising home prices, which NAR predicts will increase from an average of $384,900 in 2023 to $395,000 in 2024. This “seller’s market” can work in favor of the investor. Those who purchase, upgrade and list a property could see a quick sale and solid return. For investors waiting to list a property they already own, now is the time.

Mortgage Rates Expected to Stabilize

Although interest rates have been nearing 7% recently, Fannie Mae predicts an average rate of 6.5% in 2024. This could lead to more buyers entering the market in late 2024 and into 2025. Strong job growth may also contribute to buyer demand. The Federal Open Market Committee forecasts the unemployment rate to average a “healthy” 4.1%, an important factor that should positively impact the real estate market as a whole.

Consumer Confidence is Growing

Investors will be happy to learn that consumer confidence is rising, a positive sign of good things to come. According to the Coldwell Banker® 2023 International Consumer Survey, a significant number of respondents say they are optimistic about the state of the U.S. real estate market. In fact, 80% of luxury consumers believe purchasing real estate in the United States is a safe investment, and 76% rate the current market conditions to purchase a home as “excellent” and/or “good.”

New Construction on the Rise

To answer the housing demand, new builds are expected to increase next year. The National Association of Home Builders predicts that single-family production will rise from an average of 744,000 units in 2023 to 925,000 in 2024. Newly constructed homes could not only be a promising investment opportunity – they are also expected to lessen demand and help stabilize home prices.

Rental Property Remains a Reliable Investment

Although most experts predict that rent growth to decelerate in 2024, rental property is still a reliable real estate investment. People who take advantage of the market by selling their current home often need to move into a rental unit as they transition, ensuring investors have plenty of potential lessees. Rental income also helps offset higher mortgage rates for the investor, and rental property offers owners the benefits of long-term appreciation and various tax breaks.

Buyers are Motivated

Regardless of market trends, life goes on, and housing needs evolve. Retirees, growing families and divorcing couples don’t often have the luxury of waiting for the perfect time to move. Investors should also consider the increased mobility that comes with work-from-home buyers. Many are heading to more affordable regions, leading to pockets of growth that investors can take advantage of.

Whether the market is trending up or down, smart investors pay close attention to current trends and adjust their strategy accordingly. Once you understand the real estate landscape, you can confidently plan your next move.

With 2024 on the horizon, many homeowners are seeking ways to enhance their property and increase its value. Whether you plan to sell your home in the new year or simply want to update its style and livability for yourself, strategic home improvement projects can make a significant impact.

Spruce Up the Exterior

First impressions matter – a well-maintained exterior can greatly enhance curb appeal. Start by giving your home a fresh coat of paint, if needed, to refresh its appearance. Also, consider updating or repairing your siding, replacing old windows and adding attractive landscaping to create eye-catching charm in the neighborhood.

Upgrade the Kitchen

The kitchen is often thought of as the heart of the home, and it can have a significant impact on your house’s worth and your comfort. Think about upgrading key features such as countertops, cabinetry and flooring. If your budget allows, replacing old appliances with energy-efficient models can also be a major selling point and save you money in the long run. Additionally, new wall paint, updated light fixtures and a stylish backsplash will create a space where you can enjoy preparing meals and entertaining friends.

Enhance the Bathroom

Bathrooms are another crucial area for home improvements that can influence value. Start by updating fixtures, like faucets, showerheads and towel racks, to create a sleek and cohesive look throughout the space. Consider replacing worn-out tiles or regrouting existing ones to refresh walls and floors. Several DIY cosmetic updates can also produce a big splash and make your bathroom shine.

Create an Outdoor Oasis

Today, many homeowners are valuing outdoor spaces more than ever, and that probably won’t change. Creating a functional and appealing outdoor area can significantly enhance your home’s charm. You might want to build a deck or patio to entertain and host outdoor meals and get-togethers. But why stop there? Add in comfortable seating, install outdoor lighting and consider investing in professional landscaping for an extra living space in the summer months or year-round, depending on your climate.

Make Smart Upgrades

In our eco-conscious society, energy-efficient homes are highly sought after – so consider making earth-friendly upgrades to your property. Replace old windows with double or triple-pane glass windows, add insulation to prevent heat loss and install green appliances. Solar panels can also be a fantastic investment. These improvements decrease energy consumption and appeal to homeowners who want to reduce their environmental impact.

The upcoming new year presents an excellent opportunity to invest in home improvement projects that can boost your property’s value and make your home more comfortable and cost-efficient for years to come.

If you’re considering downsizing, you’re not alone. Many homeowners are embracing the advantages of living in smaller spaces. Living more compactly can offer a range of benefits, from cost savings to a better quality of life. Explore the advantages of living smaller and learn why it’s becoming an increasingly popular option.

Financial Considerations

One of the main advantages of downsizing is the positive impact it can have on your wallet and finances. By moving to a smaller home, you can enjoy lower mortgage payments, reduced property taxes and decreased utility bills. These savings can free up a significant amount of money, giving you the opportunity to pay off debts, travel, invest or save for the future – tiny houses are fashionable for a reason!

Simplified Lifestyle & Maintenance

Even if you don’t go all the way down to tiny, another great perk of a reduced space is the simplified lifestyle it offers. With fewer rooms to clean, maintain and organize, you can spend less time on household chores and decluttering, and have more time to do the things you love with friends and family. Imagine how a more manageable home could help you find balance and fulfillment in your daily life. There are also great tips available for decorating a scaled-down home so you can still make a more minimal space stylish and inviting.

Increased Flexibility

Downsizing can also provide you with more agility and mobility, which is ideal for avid travelers and explorers. A week or even a month away doesn’t seem as daunting with a smaller property. Since it requires less upkeep, it can allow you to spend extended periods away without worry. Additionally, it can create a more adaptable living environment for retirees or empty nesters, making it easier to adjust to changing circumstances throughout your life.

Environmental Perks

Going smaller not only benefits you personally but also has positive environmental impacts. A more minimal living space conserves resources like energy and water, reducing your carbon footprint. With fewer rooms to heat and cool, you’ll see lower energy emissions and monthly bills. Plus, downsizing encourages a more intentional and mindful approach to consumption, promoting a greener and eco-friendly lifestyle if that’s your thing.

The benefits go beyond simply living in a reduced space. Downsizing allows you to create a home that aligns with your values, offering greater freedom and contentment. So, if you’ve been considering downsizing or rightsizing in the future, take the leap and embrace the many advantages that await. Say goodbye to excess and hello to a simpler, more fulfilling lifestyle.

The holiday season often includes the challenge of finding unique and personal gifts for your favorite people. But let’s face it, with all the holiday hustle and bustle, it’s easy to end up on the hunt for last-minute presents. But don’t worry – we’ve got you covered. These gifts for the home options combine comfort, practicality and style to bring that extra spark to your loved one’s living space.

Kitchen Gadgets

The kitchen is an excellent place to begin your search for last-minute gifts for the home. Consider modern culinary gadgets for a time-saving and efficient surprise for those who love to cook. Some popular big-ticket items to consider include an Instant Pot, an air fryer or a sous vide cooker. And if you’re looking for more low-tech options, how about chef-worthy oven mitts or a ceramic taco truck holder?

Scented Candles

High-quality, designer candles do more than create a bit of mood lighting – they can also make a significant impact on the ambiance throughout the whole home. Look for gift options with pleasing designs and swoon-worthy fragrances like balsam and cinder or their favorite national park. This is also an excellent opportunity to search out locally made candles if you have time to pop into a nearby boutique or shop.

Plant of the Month

Want to bring a touch of nature indoors? A plant subscription service is the answer for your friends with a green thumb. New plants provide a touch of nature through beautiful, vibrant greenery each month, adding a tranquil vibe to any home. Or you can also brighten someone’s 2024 with a bouquet subscription for gorgeous blooms throughout the year or just a few months.

Digital Photo Frames

A digital photo frame filled with beautiful family photographs is a classic yet tremendously personal gift. It’s like having a treasure trove of memories in one sleek space without all the clutter of traditional photo frames. Many digital frames will even let you create a social network with multiple users adding images to a single frame for the ultimate in image sharing!

Smart Home Devices

Other smart home devices make fantastic gifts for tech-savvy folks who love blending technology and comfort. From smart speaker systems to intelligent lighting setups, these gadgets seamlessly become a part of a daily routine, making life a little easier and more modern.

Whatever gifts for the home you decide on, remember the true magic of gift-giving isn’t about the price tag – it’s about the thought and care you put into it. Even if you’re picking out a last-minute item, a little extra effort will make it truly special.

Rent vs Buy…. Why should I buy instead or rent? Freedom from rent increases and from a landlord telling you what you can and can’t do! Potential tax benefits Potential home appreciation  Pride of home ownership An opportunity to build wealth for you and your family A host of other great reason’s to buy No. 1 Reason: Equity Building  This is how you can build wealth and potentially own your home free and clear with no mortgage at some point in the future. With each mortgage payment you build more equity in your home. I don’t have to tell you how landlords have a nasty habit of raising your rent and the impact that has on your finances. And, as you know each rent payment you make has no financial benefit to you, as it is dead money. So how would you feel if each month your mortgage payment was made up of interest and PRINCIPAL? For example, let’s say you buy a home next month, and shortly after the deal closes you get your first mortgage statement with the due date and the payment amount. As you read the statement it breaks down the monthly $3,000 payment into $2,500 + $500 PRINCIPAL. So, when you make that payment, you have reduced your outstanding loan balance by $500.  And assuming it’s a fixed mortgage, then with each successive month you’ll pay LESS INTEREST and MORE PRINCIPAL.  At some point, years down the track, there will be a flex point where your monthly payment will comprise more principal and less interest. And this is how people build real wealth, and you can too.   David Ormonde Mobile: 209-914-4100 david.ormonde@coldwellbanker.com Lic.#: CA-00783319 Agent Website Search Properties

©2023 Coldwell Banker. All Rights Reserved. Coldwell Banker and the Coldwell Banker logos are trademarks of Coldwell Banker Real Estate LLC. The Coldwell Banker® System is comprised of company owned offices which are owned by a subsidiary of Anywhere Advisors LLC and franchised offices which are independently owned and operated. The Coldwell Banker System fully supports the principles of the Fair Housing Act and the Equal Opportunity Act. 

How to get the most out of the sale of your home?

The answer is to list it for less.   It can be as simple as that.  If the indicated value of your home is around $710,000, then list your home at $699,900.

Why?   Several reasons.  But first let me ask you a question.   When everyone wants Roma tomatoes at Safeway, what happens to the price of Roma tomatoes?   Well, the answer is, the price goes up.    The more interest we can generate in the sale of your home, the more potential profit you will gain.

Several things to consider:   

• 1) The value of your home may not be what you think it is, so work closely with an experienced, local, Realtor to determine a reliable estimate of value.
• 2) Don’t think for one minute that you will be committed to this pricing strategy.   Give your agent a specific time frame, and then review the results with your agent.  Thirty days is a reasonable time frame to expect lots of showings and several offers, if the home is listed truly at below value.
•  3) Expect several offers and possibly competing offers, which may get you a higher price for your home after competing bids.

You are probably thinking, “If it was that easy, everyone would be doing it”.   You’re right; so, don’t miss my next post in Real Estate’s best kept secrets (known only to the trade).

David Ormonde Mobile: 209-914-4100 david.ormonde@coldwellbanker.com Lic.#: CA-00783319 Agent Website

While spring and summer are traditionally considered prime real estate seasons, the advantages of selling a home in the fall are often underestimated. Here are five compelling reasons why autumn might be the best time to list your property and make a big change.

Reduced Market Competition

Unlike the bustling real estate seasons, the fall landscape typically experiences less competition. With fewer properties vying for attention, your house could stand out more prominently, attracting serious buyers actively looking to make a purchase. This reduced competition can lead to a quicker sales process and even multiple offers. Active buyers in the fall can also be more motivated – their sense of urgency could work to your advantage.

Accelerated Transactions

With this cyclical lull, you’ll find a unique advantage in expediting your closing process. Mortgage lenders, attorneys, home inspectors and appraisers with reduced workloads can focus on ensuring your transaction glides along seamlessly. These factors often mean a swift and efficient closure, alleviating stress and providing a harmonious experience for all parties involved.

Favorable Timing

Aside from striking a balance between summer’s energetic buzz and winter’s slower pace, this period also offers a sweet spot for buyers who want to settle into their new homes before the holiday festivities kick in. Potential buyers can be eager to start the new year in a new home. By listing your house in the fall, you align with the natural rhythm of many people’s schedules, increasing the likelihood of attracting committed buyers.

Optimized for Comfort

In the cooler months, you can lean into your home’s cozy and inviting aspects in a way that might not work as well in summer. In addition to all-season staging tips, fall is a great time to make a fireplace the focal point of a room and style your interior to emphasize warmth and coziness. And no matter when you decide to sell your home, a fresh coat of paint is always a good idea, but in the coming months, consider a rich chestnut glow on an accent wall or a neutral cream with warm undertones.

Enhanced Curb Appeal

After the heat of summer, cooler weather can also provide a vibrant backdrop for showcasing your home’s curb appeal. Along with thoughtful staging inside, optimize the exterior for maximum interest. Seasonal landscaping and tasteful decor in moderation, such as pumpkins or an autumn-inspired wreath, can further accentuate your home’s charm and help potential buyers envision themselves living there. It’s also beneficial to run through a fall maintenance checklist for any updates needed before your house hits the market.

Yes, it’s true – the fall season presents many home selling advantages! From seasonal curb appeal to motivated buyers, this time of year offers unique opportunities for a highly successful transaction as you prepare for your new adventure.

Should You Buy or Rent a Home?

In today’s competitive real estate market, you may wonder if it’s better to rent a place or buy a home. Purchasing a residence can provide more privacy and future investment potential, while renting allows for more flexibility and less maintenance. Both options have a myriad of pros and cons, but it ultimately will depend on your financial situation, lifestyle needs and long-term goals. Here are a few factors to consider.

Costs and Maintenance

When you rent a home, you typically pay a flat monthly rental fee plus utilities and insurance, and any repairs or maintenance are the landlord’s responsibility. However, when it comes time to renew your lease, you may find that your monthly rent goes up. When purchasing a home, your monthly mortgage payment remains constant and there’s always the option of refinancing if interest rates drop. Of course, you will also be responsible for your own maintenance and repairs.

Building Wealth

When you own your own home, you build appreciation and equity as the value of your property increases over time. In recent years as property values have appreciated across the country, owning a home has proven to be a smart investment. When you rent, your monthly housing costs go straight to the landlord.

Customization

For renters, landlords often have specific rules about the surrounding property and limit things like growing gardens, decorations, painting interiors and more. But when you own, it’s yours to do what you like. While your HOA may have some restrictions on exteriors, you are generally free to customize your property to suit your personal style. You can also add amenities and make upgrades like new appliances, light fixtures, flooring and other features that can increase its value and your future financial prosperity.

Flexibility

Rental agreements often span a year or go from month to month, which allows you to make quicker adjustments for lifestyle changes or new job opportunities. However, when it’s time to renew your lease, there is no guarantee that the property will continue to be available. When you own a home, adapting your living situation is a process and involves finding a buyer, as well as the transfer of taxes, title insurance and other legal documents. However, it will give you the stability needed to build long-term success.

In many markets, it’s cheaper in the long run to own a home than to rent, as rent prices have risen steeply across the country. Contact your local Coldwell Banker affiliated agent to help you determine if purchasing a home is the right option.

Sunset over Naples, Campania, Italy

Coldwell Banker Around the World

Summer is upon us, and for those of you lucky enough to be spending time in Italy this summer, we encourage you to consider visiting Campania, a region on the southwest coast of Italy. Home to both the city of Naples and the Amalfi coast, the region boasts stunning coastlines, ancient ruins, and the infamous Mount Vesuvius, the eruption of which decimated the ancient city of Pompeii. The remains of the city are just one of ten UNESCO World Heritage sites in the region that you can visit. For culinary buffs, you will not want to miss the pizza in Naples either. Neapolitan pizza has earned UNESCO Intangible Cultural Heritage status, making it an absolute must when you visit the third largest city in Italy.

“Naples is a cultural melting pot where art, history, and food come together to create a unique and authentic experience,” declares Alessandro Moscariello, the Broker/Owner of Coldwell Banker 24RE. He continues, “whether you’re strolling along the historic streets of the old town, enjoying the panoramic views of the Gulf of Naples from Castel dell’Ovo, or indulging in the city’s world-renowned cuisine, there’s something for everyone in this vibrant and dynamic city.” So please, envision yourself exploring the streets of Naples, basking in the sunshine in Positano, and indulging in as much pizza as humanly possible as you read on about one of the newest Coldwell Banker locations in Italy!

Where do you live: I live in Posillipo, in one of the most strategic panoramic position of Naples

What is the perfect weekend day like: The best time to spend a weekend in Naples is from May to October, because the climate is perfect for walking around the city, enjoying the sea and the surroundings as Capri, Procida and the Sorrento peninsula

What are the common modes of transportation there: Usually, Neapolitans get around on foot or by car and Vespa. But the city also has public services such as the metro, funicular, bus or bicycle.

Tell us about the foods your area is known for: Naples is known for its excellent cuisine, but especially for its traditional pizza. The culinary tradition is vast and ranges from buffalo mozzarella to good fresh fish, to ragù, to typical desserts such as pastiera, Babà and sfoglietella, curly or shortcrust? The choice is yours!

What is your favorite meal? At home or at a restaurant: Pizza, Pizza and always Pizza.

Where do you recommend someone vacation in your region, why: It is very difficult to answer, there are so many beautiful places to live in Campania:

– Naples, the oldest western capital

– the coasts of Sorrento and Amalfi

– islands such as Capri, Procida and Ischia

– and last but not least the Cilento, natural, wild and free

What is your favorite recreational or leisure time activity: Kayak, sea, nature trails such as the most famous called “Sentiero degli dei”

Is there a specialty your area is known for: The region is best known for its excellent food, as already mentioned, volcanic soil and the presence of the famous “Vesuvio”.

Share a little known but interesting fact about the area/region: Everyone knows that coffee is one of the most famous elements of the Neapolitan tradition. The suspended coffee is an ancient and generous Neapolitan custom consisting in leaving the Bar paid for a coffee for an unknown person who, so, although not being able to afford it, can, however, drink it. A great connoisseur of Neapolitan things like Luciano De Crescenzo has happily grasped the spirit of suspended coffee: “when a Neapolitan is happy for some reason he decides to offer a coffee to a stranger because it is like offering a coffee to the rest of the world”.

If you were to live in any other region where we have a Coldwell Banker presence, where would it be and why: In Indonesia, for its oriental culture and the sea that is a must have!

Territory Summary:

Campania and especially Naples is in the world spotlight in terms of overseas tourism.

The many breathtaking landscapes, history, and endless artistic beauties make this land unique and fascinating being chosen more and more as a film location.

Key Facts:

• Population: In Naples there are 3,085 million
• Language(s) Spoken: Italian and Neopolitan
• Climate: The climate of Naples is Mediterranean, with mild and rainy winters and hot and dry summers, but still refreshed by the sea breeze
• Currency: Euro

Industry Facts:

• Types of Architecture: Influences Baroque, Spanish, Angevin
• Average Sale price: from 2,000 €/sqmt to 9,500 €/sqmt
• Average years in house/apt: 15 years
• Financing: Mortgage and loans

Summer Safety Tips for Outdoor Play

When school lets out for the summer, kids will be heading outside more often to climb and swing on the playset, run around in the yard and splash in the pool. But regardless of the outdoor activity, make sure they always use sunscreen and stay hydrated. Of course, while summer is a great time for backyard fun, injuries can end the fun fast, so consider taking some simple steps to make your backyard safe for hours of endless entertainment.

Safeguard playsets

• Make sure swing sets and other play equipment are on level ground and the legs are properly anchored with hardware that doesn’t pose a tripping or gouging hazard.
• Inspect swing sets to ensure bolts and screws are secure and replace rusty parts.
• Put wood chips, shredded rubber or other soft landing material underneath the set.
• Ensure 6 feet of clearance on all sides and check that swings are at least 8 inches apart

By the pool

• Make it a rule that an adult must be present whenever children are in or around the pool.
• Install a fence that’s at least 4 feet high with a self-closing and self-latching gate.
• Be sure drains are covered and your suction system has an automatic shutdown; suction entrapment can lead to drowning.
• Make sure pool slides, stairs and diving boards are secure and in good condition.
• Place pool chemicals in a secure area where kids and pets can’t access them.
• Empty kiddie pools after every use.

In the yard

• Be on the lookout for dead trees or branches that could fall and hurt someone
• Fill in any holes that could cause tripping or a twisted ankle.
• Scan your yard for poison ivy or oak and, if you find some, treat the area and alert kids to stay clear.

Guard the grill

• Establish a 3-foot “kid-free zone” around the grill
• Never leave a grill in use unattended
• Place the grill well away from siding, deck railings and overhanging branches and a safe distance from lawn games, play areas and foot traffic.

By taking these steps you can ensure a safe summer for the kids.