Why More Sellers Are Hiring Real Estate Agents
Putting your house for sale on your own – often called “For Sale by Owner” or FSBO – might be on your mind. While it might seem like a good idea at first, the process can quickly become overwhelming, especially in today’s complex market. That’s where the Shafran Realty Group comes in! With years of experience and unmatched expertise in North County San Diego, we’re here to simplify the process, handling everything from pricing and marketing to negotiations and paperwork, ensuring your sale is smooth and successful. It’s no wonder data from the National Association of Realtors (NAR) shows fewer homeowners are going FSBO and more are choosing expert agents instead (see graph below). Here’s why partnering with an expert like Shafran Realty Group is the go-to choice for homeowners in North County San Diego. Selling your home is a major decision, and while FSBO might seem like a way to save money or time, it often comes with unexpected challenges. The process requires setting the right price, navigating ever-increasing legal paperwork, and crafting a strategy to attract the right buyers. Going it alone means taking on more than most people expect. Here are two key reasons why working with Shafran Realty Group can make all the difference in ensuring a smooth, successful sale. 1. Getting the Price Right One of the biggest hurdles when selling a house on your own is figuring out the right price. It’s not as simple as picking a number that sounds good – you need to hit the bullseye. Price your home too high, and buyers may overlook your listing. Price it too low, and you could leave money on the table or even raise red flags about the condition of your home. We at Shafran Realty Group are experts in pricing homes based on today’s market trends. As Zillow explains: “Agents are pros when it comes to pricing properties and have their finger on the pulse of your local market. They understand current buying trends and can provide insight into how your home compares to others for sale nearby.” With our knowledge of the local market, buyer behavior, and what homes like yours are selling for, we will help you make sure you set a price that’s competitive and that’ll draw in buyers. And it’s that perfectly strategic price that’ll set the stage for selling at top dollar. 2. Understanding and Managing the Paperwork Another part of the process is dealing with a growing stack of paperwork, from disclosure forms to contracts. Each document needs to be completed accurately, and there are legal requirements to follow that can feel overwhelming if you’re not familiar with them. This is where our expertise at Shafran Realty Group shines. We’ve handled the paperwork countless times and will guide you step by step, ensuring accuracy and avoiding delays or complications. With us, you’ll have peace of mind throughout the process. Bottom Line Selling your home is a big decision, and having a trusted partner like Shafran Realty Group makes all the difference. Let’s connect so we can handle everything—from pricing to the details—helping you sell with confidence in North County San Diego.
Why Today’s Mortgage Debt Isn’t a Sign of a Housing Market Crash
One key reason North County, San Diego, is not facing a foreclosure crisis is the significant equity homeowners have built today. Unlike the last housing bubble, where many owed more than their homes were worth, homeowners in our area now have far more equity than debt, creating a stable and resilient market. That’s a big part of the reason why even though mortgage debt is at an all-time high, this isn’t 2008 all over again. As Bill McBride, Housing Analyst for Calculated Risk, explains: “With the recent house price increases, some people are worried about a new housing bubble – but mortgage debt isn’t a concern . . .” Today’s homeowners are in a much stronger position than ever before. So, let’s break it down and see why today’s mortgage debt isn’t anything to fear. More Equity, Less Risk of Foreclosures According to the St. Louis Fed, total homeowner equity is nearly triple the total mortgage debt today (see graph below): High equity is giving North County, San Diego homeowners more flexibility and security, making foreclosures far less likely. If someone is struggling with mortgage payments, they can often sell their home and still walk away with a profit thanks to their built-up equity. Even if home values dip, most homeowners here have a solid equity cushion. This is a stark contrast to the 2008 crisis, where many were underwater on their mortgages and had limited options to avoid foreclosure. Delinquency Rates Are Still Near Historic Lows Another reassuring sign is that, according to the NY Fed, the number of mortgage payments that are more than 90 days late is still near historic lows (see graph below): This is partly due to a variety of programs designed to help homeowners through temporary hardships. As Marina Walsh, VP of Industry Analysis at the Mortgage Bankers Association (MBA), says: “. . . servicers are helping at-risk homeowners avoid foreclosures through loan workout options that can mitigate temporary distress.” In North County, San Diego, homeowners who fall behind on payments have several options to avoid foreclosure. Thanks to high equity levels and local support systems, they can explore solutions like selling, refinancing, or loan modifications. These resources provide a safety net, helping homeowners protect their investments and financial stability. Low Unemployment Helps Keep the Market Stable One other important factor is today’s low unemployment rate. More people have stable jobs, which means they’re better able to afford their mortgage payments. As Archana Pradhan, Principal Economist at CoreLogic, explains: “Low unemployment numbers have helped reduce the overall delinquency rate . . .” During the last housing crisis, unemployment was much higher, which led to a wave of foreclosures. Today’s unemployment rate is very different (see graph below): That stability in how many people are employed is one of the reasons the market doesn’t have the same risks as it did the last time. There’s no need to worry about a wave of distressed sales like the one we saw in 2008. Most homeowners today are employed and have low-interest mortgages they can afford, so they’re able to make their payments. As McBride states: “The bottom line is there will not be a huge wave of distressed sales as happened following the housing bubble.” Bottom Line While mortgage debt remains elevated, North County, San Diego’s housing market is stable, with most homeowners benefiting from strong equity positions. If you have questions about your options or want to explore strategies to maximize your home’s value, the Shafran Realty Group is here to provide expert guidance. Contact us today for a tailored consultation and take the next step with confidence.
Is Wall Street Really Buying All the Homes?
Let’s be honest—buying a home in North County San Diego right now isn’t easy. You’re browsing listings, hustling to make open houses, and possibly losing out to competitive offers. Along the way, you may have heard that one reason it’s so challenging is that large Wall Street investors are swooping in and snapping up properties. But here’s the thing: that’s mostly a myth. While investors are part of the market, according to Redfin, they’re a relatively small part: Here’s what that means. Five out of every six homes are being purchased by everyday homebuyers like you – not big investors. Before you get discouraged, let’s take a closer look at what’s really happening. You might be surprised to learn that Wall Street isn’t the competition you think it is. Most Investors Are Small Mom-and-Pops Most investors aren’t the mega corporations you’ve probably heard about. In fact, many are your neighbors. A recent report from CoreLogic shows most investors are small, mom-and-pop types who own fewer than 10 properties. They aren’t massive companies with endless resources. Picture your neighbor who has another home they’re renting out or a vacation getaway. Only about 1% of the market is owned by large, mega investors with thousands of properties. The majority are still owned by individuals and smaller investors – not the Wall Street giants. Investor Purchases Are Declining Not only are most investors small, but overall investor purchases have been on the decline. As the same report from CoreLogic says: “Investors made 80,000 purchases in June 2024, compared with 112,000 in June 2023, and a nearly 50% percent drop from the high of 149,000 purchases in June 2021 . . .” And what does this mean going forward? CoreLogic goes on to point out this downward trend is expected to continue into 2025. So, if it seems like competition with investors is pushing you out of the market, it might help to know that investor activity is actually slowing down. Bottom Line The idea that Wall Street is buying up all the homes in North County, San Diego is mostly a myth. In reality, most investors are small-scale, and the share of homes purchased by investors is actually on the decline—so you can cross that worry off your list. If you have any questions about the local housing market, let’s chat. At Shafran Realty Group, we’re here to guide you every step of the way.
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