Mortgage Interest Rates Have Dropped!

Let the rates drop! Well, they have. Mortgage interest rates are now at a TWO YEAR low! That is huge for buyers, who are ready and waiting to buy a home. In Phoenix, Arizona it is particularly good news because the inventory of homes is also on the rise.

The current rate for a 30-year fixed rate, conventional loan is at 3.82% with an APR of 3.94%, according to Freddie MAC. Some rates are as low as 3.62% for FHA loans, depending on your financial situation. The Mortgage Bankers Association expects the rate to continue on this path and we may even see another rate cut in the future.

Blah, blah, blah… What does that mean?

If you’re shopping for a home: Lock in your rate! With rates this low, you’ll want to try and lock it down. That will mean that you’re going to have to get serious and find a home you want to make an offer on. Buying a home now will mean that you get more property for your money and will pay less in interest over the life of the loan.

If you own a home: Check out your options for refinancing and see if it can save you money. The refinance process does cost money, so you’ll want to check that the savings is worth the cost.

If you’re almost ready to buy a home: Start getting your finances in order and talk to a mortgage broker. Then you will know what your rate would be and have a better idea on the cost to purchase a home. Your mortgage broker may also give you some homework to get you a better rate or loan.

So now that the rates have dropped, you may want to talk to a mortgage broker. I work with some of the best people in the industry, so give me a call! I can set up an introduction for you. Then they’ll work with you to accomplish your goals.

If one of those happens to be buying a home, let’s get house hunting! I would love to help you.

Talk to you soon,

5 Reasons to Buy a House in the Fall

Fall isn’t thought of as “the best” time to buy but that may be changing. Savvy buyers have an advantage when shopping for a home during the fall season. So here’s 5 reasons why fall is a great time to buy a home.

1. Year-End Tax Breaks: any mortgage interest or property taxes paid by December 31st are tax-deductible for that year. This could increase what you get back or reduce what you owe the IRS.

2. Less Competition: The National Association of Realtors® reports that almost half of the homes sold, happen between May and August. Luckily fall is the best time in Arizona for the weather, so house hunting will be cooler and even less stressful. You could avoid a bidding war, since most people wait until summer!

3. Eager Sellers: not all homes will sell during that summer rush. So homes on the market during the fall will have sellers that are ready to move on. That may allow you to negotiate a better deal, with less competition.

4. Less Expensive to Move: with most people focused on the holidays, moving companies have lighter schedules than during the summer. Pricing and scheduling during this time of year may be more flexible.

5. Quicker Transactions: title companies are also experiencing a slow down as transactions tend to decline in the fall and winter. Pair that with a motivated seller and you could be in a house before the holidays hit!

If you’re ready to buy and just have been waiting for more homes to come on the market, let’s start looking now. You may end up finding the perfect deal, that you would have missed or had more competition on during the summer months.

Ready to start looking? Email me at kyle@teamclayton.com!

Pathway to Purchase Program

The Pathway to Purchase Program is down payment assistance of up to 10% of your purchase price! That's a huge help for homebuyers! Even better, is that this assistance can be used for down payment and closing costs! 

Could this open up the possibility for homeownership to you? Let's talk!

When you decide to use this assistance, you must buy within the covered zip codes listed. You cannot buy a home outside of those areas. So that is a limitation but for that much of a boost, it may be worth it in the long run. 

You'll get a 30-year fixed rate, FHA loan, which is perfect for a first-time homebuyer! You just have to meet a minimum credit score and have a debt to income ratio of 45% or lower.  The property also has to be your primary residence but you don't have to be a first-time buyer!

As a Realtor®, I am really excited about this program and I hope it can help a lot of people looking to buy. So if you're interested in more information, email me at Kyle@TeamClayton.com! I'll send you a flyer with more information and a lender you can reach out to sign up!

Let's get you in a home! 

Home Maintenance Tips.

Maintaining your home isn't easy but a little prevention can spare you some big repairs! Deferred maintenance can also effect you when you go to sell your home! When buyers see things that are broken, they take a closer look at your home!

1. Give your home a good scrub down! Clean everything, even windows! A good place to keep clean is under sinks, buyers and inspectors look there for water damage. Clean homes just present well and generally have a neutral smell!

2. Keep up on minor repairs. Don't let that loose faucet or door handle get any worse. Change burnt out lightbulbs and double check smoke alarms. Also change your air filters!

3. File away major repair invoices. If you get a new water heater, A/C unit, or even an appliance, keep them all. Maintain a file with these invoice in your home, that way you're prepared for any service calls or warranty fixes. Plus, you can leave it for the next owners of your home!

4. Double check your home's systems. Make sure your A/C unit isn't wobbling or making noise. Check to make sure your hot water heater is operational and set at the right temperature. Look under sinks for leaks and check your toilets too! 

5. Look at your home like you're about to sell it. If you were touring this house, like a buyer, what would make you frown? Fix those. What would make you smile? Do more of that. Keeping this perspective will keep you from having to fix everything up before you sell it!

6. Check pool equipment and water levels. It's peak summer and your pool has probably been working extra hard to stay clean. Look over the equipment for any leaks or plugs. Grab a pumice stone and have the kids work on that water line, calcium build up!

7. Purge your storage spaces. If you have stuff in the attic or in the garage, do a small purge session and get rid of some things. Not only will it make some more room, it will keep stuff from building up. Termites and other critters can cause damage in places your stuff is building up!

8. Be aware of moisture build up. Our houses are sealed up tight during the summer and that helps keep us cool, but it may also keep bad stuff inside too. Check your bathrooms for moisture build up and make sure your exhaust fan is working. You may need to give it a little vacuum so it can breathe better. 

9. Secure gates and access points. Part of home maintenance is safety. So check your gates, add locks if needed, and fix any weak entry points to your home. Double check that your pet doesn't have any escape points either. 

10. Sweep the perimeter of your home. Are there plants touching your home? Bushes or moisture near the foundation? These things can be invitations for critters like termites and roof rats. Not good! Trim and remove as needed. Monitor the moisture at the foundation to prevent bigger problems. 

Those are your home maintenance tips! What are some things you suggest?

These items will not only keep your home looking great and performing well! It will also keep you prepared for that day when it comes to sell your home. Your home will already be inspection ready!

Selling Your Home in a Housing Shortage

We've all heard the news about how there isn't enough homes on the market to keep up with the demand of homebuyers. So you may be hesitating if you're thinking of selling your home, it may seem like there's nothing out there to move to. However, I can solve that problem for you!

1. Make a Plan: You've decided that you want to move. Now, before you put your home on the market, make sure you make a plan with your REALTOR®. Find the area and type of home you want to buy and get an idea of what's on the market. Once you have an idea of the market, then you and your real estate agent will put the plan into action.
2. Watch the Market: Once your home is for sale, keep an eye on the homes you like, and any new homes that come on the market. Don't get attached, just watch the market. Once you get a contract on your home, it's time to tour homes to buy!
3. Make an Offer: When the house you are selling has a contract on it and your are touring homes. It is time to make an offer! The key is to have a couple of homes you love, so you can put in a few offers. If you like 80% of the house, go for it!  
4. Stay Patient: Your main job is to stay patient, not only with the showings happening at your home but with your own home search. It's going to be a hectic period of time but your REALTOR® should make it as smooth as possible. If they are experienced, this type of transaction shouldn't be hard for them at all. They should be able to line up all the dominos, so that they fall into place perfectly for you!

Now that you have a better idea of how the process would work, you shouldn't hesitate to sell your home in today's market. Home values are rising, so making a move now could be a win-win for you, sell your home for a good price and move-up before prices are even higher. 

Make sure your REALTOR® is experienced and does a good amount of business, every year. The more transactions they have been a part of the easier it will be for you. Plus you'll have a good negotiator on your side for both transactions, helping you maximize your value and close on time. 

Get Your Home Summer Ready!

Summer is here and the heat warnings have already been issued! Keeping your home cool and saving money on energy costs, is a battle we all fight this season. Here's some tips to keep your home energy efficient. 

Air Conditioning: If you need to get your A/C serviced, now is the time. A check-up is always cheaper than dealing with a sudden emergency.

1. Have them also check your temperature splits, to make sure your not losing precious cold air anywhere between the unit and the interior vents. 
2. Replace your filter every month too! Don't use a thick filter, it makes your A/C work harder.

Programable Thermostat: your power company probably has a 'peak usage' timeframe, so program your air conditioning to that schedule. When you're away from home, bump the temperature up. Then have it bump down a few degrees, an hour before you usually get home. 

Seal it up! Think of your home as an envelope, we want to make sure it is all sealed up!

1. Check the weather stripping on your doors, if you can see light, then you need to adjust your seals.
2. Take your A/C vents off and calk the space between the duct and drywall. 
3. Check your attic insulation for gaps or leaks. 
4. Get a home energy audit from APS or SRP.

Check your Fans: make sure your ceiling fans are rotating counter clockwise during the summer. This moves the hot air down with the cooler air, creating a more even temperature. 

Suncreens: keeping the sunlight from entering your house is the best way to keep it cool. So investing in sunscreens on all your windows, helping to lower your energy bills. Plus you'll have some more privacy with the blinds are open!

Selling Your House in The Summer

Summertime means businesses in general are seeing increased sales. The days are longer, people are going on summer vacations, and maximizing their time outdoors before it's too hot. So now may be the perfect time for you to sell your house! Here's some tips:

More Buyers: Typically, people start looking for houses in March and the search for the perfect home can take quite a few months. So by the time summer rolls around they're ready to buy! That means more eyes on the market and if you sell in the summer, you could get a lot more traffic!

Keep it Cool: If buyers are out and about  during the heat of the day, a cool house will feel like a refuge! Pair that with a house that shows well and you'll stand out in their minds. Make sure to turn the A/C down a little lower than normal, so they can cool off while they tour your home. 

Longer Days: Even in Arizona, the longer days help more buyers search for houses. If you work until 5 pm, during the summer you have daylight until almost 8 pm! That leaves so much more time to see as many houses as possible. 

Outdoor Space: It may be getting too hot out, but buyer's still want that outdoor living space. They may be looking for a house during the summer but they'll be living in a home as the temperatures start cooling down. Keep the grass green, trim all the bushes, and create some seating areas. Bonus: add some seasonal flowers to brighten it up!

Trust a Professional: Whether you're buying a new home or on the resale market. Trust a full-time REALTOR® to help you because in a highly competitive market, you need that experience. Ask them how many transactions they do each year and then ask them how close to list price is their average sales price. That will tell you a lot about their experience. If they have the answers, that's a good sign.  

Have any questions? Let me know! I am happy to help you in any way I can!

Let's connect on Facebook!

6 Tips for Curb Appeal

First impressions are important in so many situations, like: meeting new people, interviewing for a job, and when buying or selling a house. Curb appeal can create a great first impression and make your home welcoming for visitors. So here's some tips:

1. Red Door: Not only are they classic, red doors create a universal feeling of being welcome. Visitors will be drawn to the front door, wanting to come right inside! Talk about a great way to welcome people to your home!
2. Flowers: Color is huge, so grab a tray of seasonal flowers and get them planted! In pots or in the ground, add some pop of color to your front yard. Just don't forget to water them!
3. Curved Pathways: From the sidewalk, add a slightly curved pathway to your door. It will create a traffic pattern and give visitors a direct way to enter your home. Plus you can line it with flowers or other cool, local plants!
4. Wreaths: Adding a seasonal wreath on your door adds another layer of curb appeal. People love the "homey" feeling a wreath can bring to a home. Tap in to those feelings! Not a wreath person? Do a cute sign or colorful mat!
5. Contrast: Make your house stand out with contrasting colors! Have a white house? Try black! Have a gray house? Paint some aqua accents! The contrast in colors will make your home unique and memorable. 
6. Fly a Flag: Owning a home is part of the American Dream, so fly your flag! Have a family member in the Military? Fly their branches' flag! Everyone loves a flag, so put one outside of your home!

These are some easy ways to spruce up your home, even if your not selling! Spring is the perfect time to do these projects, so just pick one that you can handle and tackle it! Share your pictures with me on Instagram or Facebook! I'd love to see what you do!

Buying a New Home with a REALTOR®

When you want to buy a new home, you need to get a REALTOR® on your side, even before you visit the model homes. This is a crucial step that can save you money but more importantly, ensure you have representation on your side!

Usually when you buy through a new home builder, you use their financing too. So no one is on your side for the purchase contract OR the financing. You're all alone and the builder uses that to their advantage sometimes. Having a REALTOR® that can look over the contract and ensure nothing extra is in there, or who's aware of rates and loan costs, making sure you don't over pay! If costs seem high, they'll encourage you to shop the builders lender. Always on your side.

Negotiation time comes and it's just You vs Them, and the builder has more experience. So you may not do your best negotiating when it comes to add ons, landscaping, finishes, and final price. Plus if the builder discounts homes after your purchase, are you going to walk in there and renegotiate your price? Probably not but a good REALTOR® can and should be doing that for you!

So grab your REALTOR® (me) and let's go look at model homes together! I'll get you registered with the builder and I'll stay by your side until move-in. Let's buy a new house!

What Makes Team Clayton Different

Everybody seems to know someone who's a REALTOR®, however some important things set us apart from the average real estate agent. Tom and Janet, have been full-time agents since 2002, that's a lot of experience supporting you! When you hire us, you're supporting a family business! You're also getting a whole team of agents for the price of one. That's just the beginning...

• We're charitable: Team Clayton was just recognized as a Top 10 contributor in RE/MAX Professionals to the Children's Miracle Network, supporting Phoenix Children's Hospital. Not only that RE/MAX Professionals raised over $20,000 for PHX Children's in 2018!

• We're top performers: Top 5% of agents nationwide! We do over 40 transactions every year, so all of that experience is working for you, to get you the best deal!

• A team on your side: Tom, Janet, and Kyle Clayton are all full-time Realtors®! You get all of us, plus Stephanie, our Transaction Coordinator for no additional cost to you.

• We don't drop the ball: We have the systems in place to get your transaction closed and the expertise to get your offer accepted. That's huge! Diann will be in constant contact with you and you can call any of us with questions.

We want to make buying and selling your home, an easy process. Our goal is to not only make sure you know what is going on at all times but also to ensure your transaction closes. Our experience and media presence can make the all the difference when selling your home. Team Clayton is the whole package and we continue to innovate. So let's work together!

What to Know About Real Estate Startups

They say things like, 'no hassle' and talk about taking the stress away when you sell a home. Real Estate Startups are popping up around town and while they may be good for some Sellers. However, here is some important information to know:

Profit Motive: these companies are backed by a lot of Venture Capital money, which means one thing: Buy Low and Sell High. The Startup may purchase your home but it will be for low market value because in order to make a profit, they have to sell your home for a higher price. That's your money being left on the table. 

One Sided Representation: when it comes to them buying your home, it's you and the Startup (a corporation). No one has your back in price or fee negotiations. (There's no negotiation when it comes to fees.) When the repair requests come in, are they negotiating on your behalf or their's? When you don't have representation it can cost you not only money but more importantly, time.

Higher Fees: if you think hiring a REALTOR® is expensive, wait until you see what these Startups charge. They are anywhere from 3%-6% higher than a traditional REALTOR®. Plus, if you buy and sell with one REALTOR®, they may give you a commission discount.

These are just 3 really important reasons to consider using a REALTOR® when you sell your home. Not only that, you're helping a small business and that agent's family. You have a relationship with that real estate agent and can call them if something is wrong. Do you think that startup is going to take your call after the deal is done? Not unless you have another house to sell. 

Team Clayton is committed to building relationships with our clients. So much so, that we have 5 free events every year ,that you can attend with your family. Movies, Pizza Parties, Happy Hours, and more. Once you sell with Team Clayton, you're our friend!

So, if you're thinking of selling, give me a call 623-334-5144 or email me, Kyle@TeamClayton.com

The Process of Selling Your Home

The process of selling your home can seem daunting but with Team Clayton, it won't be! That doesn't mean you shouldn't know what's going on, so here's what you can expect when you decide to sell your home. 

1. Interview Agents: Make sure they can not only list your home but get it sold. Professional photos? Transaction Coordinator? Make sure they can get the job done. 
2. Price Your Home: A real estate agent should tour your home, to see the finishes and upgrades you may have made to the property. Then they can do a comparative analysis to determine your home's value.
3. Prepare Your Home: You may have some homework to get ready for photos, to pack up personal items, or even some minor repairs. The goal is to help the buyers envision themselves in you home. Your REALTOR® should give you tips. 
4. Time for Showings: Now is the stressful part. However, your agent should have set up the showing instructions to make it as easy on you and your pets as possible. So make sure your input on how you want your home shown, is heard. 
5. Time for Offers: After about 10 showings, we should expect an offer. If not, we'll want to look at the feedback on your home and adjust accordingly. This is when you listen to the market, so be open to change!
6. SOLD!: Once you get an offer, the process isn't complete. This is where you negotiate price, who pays closing costs, and a closing date. So having an experienced REALTOR® with good negotiation skills, actually pays!

Phase two of selling your home involves fulfilling the contractual obligations and getting to the close of escrow date. Here's what that involves:

1. Inspection Period: From the date you accept the contract, the buyer has 10 days to complete inspections. This could involves any number of inspectors so be patient and don't worry. They will do their best work with you away, so plan a day out of the house. *During this period, the buyer can walk at any time.
2. Repairs: Once the inspection period is complete, you will have a list of repairs that the seller wants you to complete, based on the inspections. This is where more negotiation begins, so decide what you're willing to repair and what you wont. *Depending on what you decide, you may have 5 more days of inspection period. 
3. Appraisal: The lender orders an appraisal after the inspection and he will determine your homes values. If it comes in too high, more negotiations! Just right, then the deal moves forward. This may be the most crucial point to have good negotiator on your side.
4. Close of Escrow: Most agents will think it's smooth sailing from here, but not us! We make sure to maintain contact with the buyer's lender to ensure the loan process stays on track.
5. Signing Day: Finally, the day to go down to the Title Company and sign all the paperwork is here. This completes the transaction and the Title Company will do the rest. Once they record the paperwork at the County Recorder's Office, it's official. You have to be moved out by that time, no exceptions! 

Talk about a lot to handle! So, ask your REALTOR® how many transactions they do a year. That will tell you how experienced they are at getting deals done! It's one thing to list a home for sale, it's another task to get it sold! So give us a call and put our team to work for you!

Have any questions? Email me at Kyle@teamclayton.com or on Facebook!

Home Improvements That Increase Property Value

It always seems to happen, you start fixing your house up right when you're ready to move. That's life! So I wanted to give you a few, easy fixes that translate to an increase in your home's value.

• Subway Tile: from the kitchen to bathrooms, you can't go wrong with this classic tile. You could realize a 4-7% increase in property value by adding a backsplash. 
• Kitchen improvements have a 75% Return on Investment (ROI), so you can spend some money and expect to get most of it back. You'll also be able to enjoy the kitchen of your dreams!
• Farmhouse Sink! Buyers love these sinks and may even buy the house just because of this! Homeowners have seen as much of an 8% increase in sales price due to a farmhouse sink!
• Shaker Cabinets in the bathroom are totally in style. They'll can jump the sales price almost 10%! These classic style cabinets appeal to all types of buyers, so it's a no brainer for bathrooms or kitchens!

Zillow was some other suggestions too, so read more here.

Preparing your home to sell is essential and sometimes, it means doing a little home improvement work yourself. However, I always want you to focus on things that will make you money, so don't go crazy. Doing the right things when fixing up your home can help it sell faster, without costing you a fortune. 

Have any questions? Feel free to ask me at Kyle@TeamClayton.com

Why Homes Sell.

Did you know that homes sell for 3 reasons? 

Price: Pricing your home is important, too high and you lose the enthusiasm of buyers when you put it on the market. Buyers are educated in today's market and with home value estimators, they know what a home is worth, and they expect it to be priced right. Also, with low inventory of homes for sale, buyers will be flocking to new homes, but if you over price your home, they won't even waste time viewing it. 

Condition: Once a buyer decides to see your home, it's all about condition! They're walking around your home not only to look at the layout but also to inspect the condition. They're looking for signs of deferred maintenance and other potential problems, that would cost them more money in the future. So if you're home is in good condition, keep it that way! If not, you may be able to do some cheap things to fix it up, in order to prevent those types of problems. When your property is in good condition, it reduces the friction of getting buyers to make an offer!

Exposure: When you list your home for sale, it's published on the Multiple Listing System (MLS), where all the real estate agents in your area can see the property and it's information. Zillow pulls their data from the MLS, along with tens of thousands of other sites, put your best food forward with amazing images. So having good photos and good data, is key to good exposure. However, that's not enough! A good REALTOR® is going to have a marketing plan and things they do to further market your home to find buyers. Good marketing exposure is key to getting people to see your home and hopefully to want a tour. 

When you price your home correctly, it's in good condition, and has the exposure of the MLS and my Team's marketing, it will sell fast and for what it's actually worth!

Have any questions? Email me at Kyle@TeamClayton.com!

House Hunting In A Seller's Market

The real estate market today, has become a Seller's Market. That means there's not enough homes for sale, to keep up with the demand of home buyers. Finding the home you love, may be a challenge. 

When a new house comes on the market, there's going to be a lot of eyes on the property and if it meets a seller's needs, people will jump on putting their offers in. Buyers are having wait longer to find homes they like, so when a desirable home is on the market, they're ready to pounce on it! The house you saw today, may be the house someone else loved yesterday. So how are you going to navigate the market?

Here's some tips on finding a home in a Seller's Market:

1. Be patient but vigilant. You're going to have to exercise your patience, especially if you have a certain area or budget. You may have to wait for new homes to come on the market. When you see a home you like, it's time to be vigilant and tour it as soon as possible. 
2. Be ready to make an offer. Your competition for a home is ready to offer too, so be on the ball and get your offer out as soon as you can. In this market, it's important to submit offers that makes it easy for the Seller to say yes!
3. Expand your possibilities. You may have to think about expanding your search area or what you will accept. Smaller house? Fixer-upper? Maybe your not getting the house you thought you would but you can turn it into your dream home.
4. Negotiate. If you're asking for closing cost, could you come up in price? If you have a big down payment, is your REALTOR® making that clear to the Seller. Crafting a good deal for the Buyer that appeals the the Seller is an art. An experienced real estate agent won't have a problem explaining their method of negotiation. 

Don't worry, you'll find something, the journey may just be a little longer. 

As your REALTOR®, I will make sure you get the home you want but more importantly, want the home you get. So let's get together and talk about how we can work together to accomplish your real estate goals!

Down Payment Assistance in Arizona

Down payment assistance programs are talked about a lot but some how they're still confusing! So here is some of the information about down payment assistance programs in Arizona. You DO NOT have to be a first-time home buyer to qualify for some of these programs. 

Home In 5 Program: This is the most popular down payment assistance program. 

• 640 minimum credit score. Higher credit equals more assistance. 
• Debt to Income ratio needs to be no higher than 45%
• Online homebuyers course is required.
• You can only buy a primary residence for under $370,000
• No repayment is required after 3 years of living in home as primary residence.

What do you get? Up to 4.5% cash to help you with a downpayment. Now, that is the maximum amount of assistance, keep that in mind.

• Teachers, Veterans, Law Enforcement, First Responders get an additional 1% in downpayment assistance!
• 30 year Fixed Rate Loan.
• Your APR depends on the loan type and financial data. It will be higher than market rate.

This is the most popular program in Maricopa County. I have seen buyers get almost $10,000 dollars towards the purchase of their home. That is a huge help and depending on your Realtor's® negotiating skills, you may be able to buy a home with little money out-of-pocket. 

See also: Home Plus Program or watch this video!

So if one of your dreams is homeownership, this can take you one step closer! Talk to a mortgage broker and see where your at, then give me a call! I'm here to help you get the home you want and want the home you get!

What's My House Worth in Today's Market?

Are you confused about your home's value? There is a chance that you may have more options than you thought. Home values continue to rise in Maricopa County and across the country. Let's find out more:

When did you buy? If you bought between 2007 and 2012, you could be sitting on as much as $100,000 in equity. Of course that depends on your home, location, and upgrades. However, most people in Maricopa County saw an 87.9% increase in their home's value. (ARMLS stats, median sales price)

If you bought before then, you may have more options then you thought. If you bought after 2012, your options may be limited depending on your financial goals. 

So, check your homes value now and get the data you need, to make the right choice for your family. 

Now that you have an estimate of the value, it's time to think about your goals. Do you need more space? Less space? Is liquidating the ROI most important? How much? Once you know, prioritize that list and find a REALTOR® that can accomplish those goals. 

I hope this helped and at least gave you some more information. I know your home is one of your biggest asset but it's also your families home. My goal, as a REALTOR®, is to listen to your priorities and make them happen to the best of my abilities. So if you're ready to explore your options for selling, let me know. 

Email me at Kyle@TeamClayton.com or connect with me on Facebook!

P.S. Inventory is low and it's a sellers market!