After such an extended Summer for many across the country, Fall has finally made its way in and the leaves are changing, temperatures are milder, and the holidays are fast-approaching. And makes for perfect time to show all the amenities of your community.
The 2020s are just around the corner and as our conference theme predicts “The Roaring 20s Returns” and we’ll be “Recruiting Retirees in a New Decade.” Here are some of the exciting presentations being offered by this year’s line-up of speakers: How to Win More Sales Through All Seasons, What Marketing and Retirement Have in Common, Trends Affecting Travel and Retirement Decision-Making, and Marketing to Baby Boomers One More Time. These topics and many more will be presented during our two days of learning and fellowship together.
The AARC prides itself on providing formative resources for our members and to help reach potential retirees and visitors with as much information to make an informed decision on their next step in life. We hope to see you in Chattanooga very soon!
Rachel Baker Chair, The AARC
Annual Conference with 5 National Speakers plus Many More!
Roaring 20s Returns….Recruiting Retirees in a New Decade
Chattanooga, Tennessee – November 6th – 8th, 2019
We have seen tremendous response and sign-ups for this year’s conference and attendees and presenters alike are excited the annual conference is finally here.
The AARC Annual Conference is pouring new energy and ideas into the retiree community industry.
This year’s heavy-hitting line up includes:
How To Win More Sales Through All Seasons
Jason Forrest & Mary Marshall, Forrest Performance Group
Trends Affecting Travel and Retirement Decision-Making
Berkeley Young, Young Strategies
Marketing to Baby Boomers One More Time
Gregg Logan, Managing Director, RCLCO
Rethink, Retool and Refine – A Case Study
Jane Marie O’Connor, 55Plus
Learn from 5 headlining speakers plus a robust line-up of many industry experts who will speak, teach and inspire.
See you next week in Chattanooga!
If you missed out on the 2019 Annual Conference stayed tuned for information coming soon about 2020!
Existing-Home Sales Decreased 2.2% in September
WASHINGTON (October 22, 2019) – Existing-home sales receded in September following two consecutive months of increases, according to the National Association of Realtors®. Each of the four major regions witnessed sales drop off last month, with the Midwest absorbing the brunt of those declines.
Total existing-home sales, completed transactions that include single-family homes, townhomes, condominiums and co-ops, fell 2.2% from August to a seasonally adjusted annual rate of 5.38 million in September. Despite the decline, overall sales are up 3.9% from a year ago (5.18 million in September 2018).
Lawrence Yun, NAR’s chief economist, said that despite historically low mortgage rates, sales have not commensurately increased, in part due to a low level of new housing options. “We must continue to beat the drum for more inventory,” said Yun, who has called for additional home construction for over a year. “Home prices are rising too rapidly because of the housing shortage, and this lack of inventory is preventing home sales growth potential.”
The median existing-home price2 for all housing types in September was $272,100, up 5.9% from September 2018 ($256,900), as prices rose in all regions. September’s price increase marks 91 straight months of year-over-year gains.
Total housing inventory3 at the end of September sat at 1.83 million, approximately equal to the amount of existing-homes available for sale in August, but a 2.7% decrease from 1.88 million one year ago. Unsold inventory is at a 4.1-month supply at the current sales pace, up from 4.0 months in August and down from the 4.4-month figure recorded in September 2018.
Properties typically remained on the market for 32 days in September, up from 31 days in August and even with September 2018. Forty-nine percent of homes sold in September 2019 were on the market for less than a month.
First-time buyers were responsible for 33% of sales in September, up from 31% in August and 32% recorded in September 2018. NAR’s 2018 Profile of Home Buyers and Sellers – released in late 20184 – revealed that the annual share of first-time buyers was 33%.
As the share of first-time buyers rose, individual investors or second-home buyers, who account for many cash sales, purchased 14% of homes in September 2019, unchanged from August but down from 16% recorded last September. All-cash sales accounted for 17% of transactions in September, down from 19% in August and 21% in September 2018.
Distressed sales5 – foreclosures and short sales – represented 2% of sales in September, unchanged from August but down from 3% in September 2018.
“For families on the sidelines thinking about buying a home, current rates are making the climate extremely favorable in markets across the country,” said NAR President John Smaby, a second-generation Realtor® from Edina, Minnesota, and broker at Edina Realty. “These traditionally low rates make it that much easier to qualify for a mortgage, and they also open up various housing selections to buyers everywhere.”
According to Freddie Mac, the average commitment rate for a 30-year, conventional, fixed-rate mortgage decreased to 3.61% in September, down from 3.62% in August. The average commitment rate across all of 2018 was 4.54%.
“Mortgage rates under 4% are amazingly attractive for homebuyers,” said Yun. “The rise in foot traffic as evidenced by the open rates of SentriLock key boxes shows growing buyer interest.”
Single-family and Condo/Co-op Sales
Single-family home sales sat at a seasonally adjusted annual rate of 4.78 million in September, down from 4.91 million in August, but up 3.9% from a year ago. The median existing single-family home price was $275,100 in September 2019, up 6.1% from September 2018.
Existing condominium and co-op sales were recorded at a seasonally adjusted annual rate of 600,000 units in September, 1.7% above the previous month and 3.4% higher than a year ago. The median existing condo price was $248,600 in September, which is an increase of 4.5% from a year ago.
As noted, existing-home sales in September dropped in every region compared to the month prior. Compared to last year, September sales increased in three of the four major regions, while neither growing nor declining in the Midwest. Median home prices in every region increased from one year ago.
September existing-home sales in the Northeast fell 2.8% to an annual rate of 690,000, a 1.5% rise from a year ago. The median price in the Northeast was $301,100, up 5.2% from September 2018.
In the Midwest, existing-home sales dropped 3.1% to an annual rate of 1.27 million, which is nearly equal to August 2018. The median price in the Midwest was $213,500, a 7.2% jump from a year ago.
Existing-home sales in the South decreased 2.1% to an annual rate of 2.28 million in September, up 6.0% from a year ago. The median price in the South was $237,300, up 6.3% from one year ago.
Existing-home sales in the West declined 0.9% to an annual rate of 1.14 million in September, 5.6% above a year ago. The median price in the West was $403,600, up 4.5% from September 2018.
Realtor.com®’s Market Hotness Index, measuring time-on-the-market data and listing views per property, revealed that the hottest metro areas in September were Fort Wayne, Ind.; Rochester, N.Y.; Pueblo, Colo.; Columbus, Ohio; and Topeka, Kan.
The National Association of Realtors® is America’s largest trade association, representing more than 1.3 million members involved in all aspects of the residential and commercial real estate industries.
2020 Housing Market: What the Experts Think
Suzanne De Vita, RISMedia
The 5 Most Important Technologies for Real Estate in 2019 (and Beyond)
Blockchain, big data and artificial intelligence hold significant upside potential for real estate markets.
Larry Alton, Independent Business Consultant / Inc.com
So which technologies and trends are most important to watch in the next few years, and how might they impact the real estate industry as a whole?
Tech Development in Real Estate
These are some of the top tech developments to watch.
1. Buying and selling platforms. First, we’ll see fantastic advancements in the approachability and functionality of real estate buying and selling platforms. The basic idea is to make buying and selling properties easier and more intuitive to the greatest number of people. With easier platforms to navigate, more homeowners will be able to get their houses to market quickly, and more home buyers will be able to find what they’re looking for quickly; overall, that’s going to result in more market activity and better experiences for everyone involved. If you’re selling your home in 2019, you may be able to bypass the need for an agent by using one of these platforms.
2. The blockchain. Blockchain technology has gotten tons of attention for its potential to support cryptocurrency, but in 2019, it may be applied to the real estate world. The possibilities are practically limitless; thanks to tokenization, landlords could hypothetically use the blockchain to sell portions of ownership in their properties. Real estate contracts between buyers and sellers could be done with complete encryption and built-in legitimacy checks. Even property titles could be more securely and more conveniently stored, thanks to blockchain ledgers.
3. Virtual walkthroughs. Virtual reality has been making headlines in practically every industry, but it could really start taking off for real estate in 2019 and beyond. One of the most important steps of buying a property or becoming a tenant somewhere is viewing the property, inside and out–but this can prove difficult if you’re moving to a distant city, or if you’re otherwise unavailable during normal viewing hours. Virtual reality (VR) could easily allow prospective tenants and homebuyers to walk through properties before buying, and it’s going to become more popular and more common in the next few years.
4. Machine learning and ROI calculation. Property investors and real estate agents need to know that they’re spending their time well, and new technology may be able to help them do it. Thanks to the prevalence of big data and machine learning algorithms, real estate professionals will gain more knowledge about the ROI of each of their (and their clients’) transactions. For example, real estate agents will be able to make more accurate predictions for what properties will sell for, how much money their clients will be able to make, and how much they’ll get in commissions. These algorithms can also be used to spot better real estate deals, leading to smarter investments.
5. Big data and personalized recommendations. Personalization has been a game-changer for marketing and advertising (and for many specific industries), but it hasn’t been fully utilized in the real estate industry. Now, real estate agents attempt to personalize their clients’ recommended properties based on personal wants and needs (like number of bedrooms and property location), but in the future, big data will be able to make even more intelligent recommendations. Under the right circumstances, real estate agents and/or homebuying platforms will be able to successfully predict what a homebuyer would want–even if they haven’t explicitly stated it in the past.
Watch for Startups
These high-level trends provide a kind of blueprint for the near future of the real estate industry, but as always, it’s hard to predict exactly how new technologies will develop–and how, exactly, they’ll change the real estate industry. If you’re plugged into the industry, or know you’ll need to change how you buy and sell property, pay attention to the nimble startups that are sure to emerge in the coming years.
They have the power to completely change the industry, so you’ll do well to monitor their development.