Reading Your Local Real Estate Market

 

Reading Your Local Real Estate Market-Is It Going Up Or Down?

If you're considering selling or buying a home, it's essential to know how the local real estate market is doing. Not only does this help with your decision-making process, but it also gives you an idea of what other people are paying for homes in your area and whether there's anything unusual going on with those prices.

Look for a price discrepancy.

As you search for the right home, you must keep an eye out for price discrepancies. A price discrepancy is when one property has a much higher price than another. If two homes are priced at similar rates, but one is significantly more expensive than the other, this could indicate that there may be something wrong with that home—maybe it's been overpriced or undervalued by previous owners.

Alternatively, if two homes have similar prices and yet one appears to be less expensive than its neighbor on paper (i.e., has been listed at a lower asking price), then this could mean that someone didn't want to pay as much money for their house as others did for theirs! Either way: keep your eyes peeled!

Talk to your Realtor.

You must talk with your Realtor if you're trying to figure out the market and where you can sell or buy your home.

Realtors are experts on the local real estate market, so they should be able to give you some insight into what's going on in your area. They'll also have access to data on recent sales and predictions for future trends—and if something specific about your house makes it unique, this information will be precious (like how much money someone might pay for a particular room).

If all else fails, ask them what they think will happen if you put your house up for sale!

Ask about what's selling and what's not.

When looking at homes, it's essential to know what is selling and what isn't. You can use this information to determine whether or not your home is worth the time, effort and money needed to sell in your area.

Ask about what's selling and what's not. What do people like about the houses that are selling? What do they like about the ones that aren't? How much are these houses going for compared to how many were listed?

Do some research on your own.

You can also use your research to help you determine if the market is up or down. The best way to do this is by checking out a real estate website, like Zillow, Trulia or Redfin. These sites will show you information about homes for sale in your area and how much they're selling for on average. Look at what homes have recently sold for in your community and compare them with those currently listed—you may find that more people want to buy than available houses! If the number of listings you see isn't changing much over time, then it could mean that things are slowing down overall; however, if there seems like an increase every year (or two), then maybe now would be a good time to start looking again at buying something new!

Compare the number of homes sold in your area over the last few years.

To determine whether a market is going up or down, you'll want to compare the number of homes sold in your area over the last few years. If it's decreasing, this could signal that prices are dropping and the market is likely going down. On the other hand, if it's increasing over time—and especially if there were no significant dips before—this could mean that things are getting better for sellers and buyers alike (and might even signal an opportunity for you!).

How long are homes staying on the market?

The time a house stays on the market is one of the most critical factors in determining what kind of price it will sell for. If a home is listing for $300,000 and then goes back on the market again at $325,000 within two weeks (and it doesn't sell), chances are good that you're looking at a lower sale price. However, the longer this home stays on the market, the more likely it is to drop in value because there's less competition and fewer buyers who want to see what they can get out of their investment. At the same time, they still have time before houses start selling at lower prices because everyone knows an improvement project needs to be done soon or else no one will buy anything until next year!

Conclusion

As a homeowner or potential homebuyer, it's important to stay up-to-date on your local real estate market. After all, the wellbeing of your investment depends on it! By understanding whether your market is going up or down, you can make more informed decisions about buying, selling, or holding onto your property.We hope this quick guide has helped you get a better grasp of reading your local real estate market. If you have any questions, our team at Leaf Management would be happy to chat with you and offer our expert insights.

Adding an Accessory Dwelling Unit

 Case for Adding an Accessory Dwelling Unit to Your Rental Property 

You may have heard of accessory dwelling units (ADU) and wondered what they are and if they would be a good addition to your rental property. Please keep reading to learn about ADU, how they are becoming more popular, and the benefits of adding one to your property.

What Is an Accessory Dwelling Unit? 

An accessory dwelling unit (ADU) is a small living space connected to or on the same property as a single-family home. These units are often converted garages or basements, but they can also be newly built structures. ADU can serve multiple purposes, such as providing housing for family members or generating rental income.

Why Are They Becoming More Popular? 

There are a number of reasons why ADU are becoming more popular:

1. Many people are looking for alternative living arrangements that allow them to age in place or take care of elderly family members while maintaining their independence.
2. The increased cost of living has led some people to seek out creative housing solutions that allow them to generate rental income.
3. The "tiny house" movement has sparked interest in smaller living spaces that make the most of available square footage.

Benefits of Adding an ADU to Your Rental Property 

More Living Space 

One of the biggest benefits of adding an ADU to your rental property is that it provides more living space. This can be useful if you have a large family or frequently have guests staying with you. Additionally, if you decide to rent out the ADU, you will have two separate living spaces that you can rent out at different price points. This can be a great way to maximize your profits and get more use out of your property.

The Ability to Rent Out Both Spaces Separately 

If you add an ADU to your rental property, you will have the potential to rent out both spaces separately. This can be a great way to generate additional income, as you can charge different price points for each unit. Additionally, it allows you to rent out one unit while still having the other one available for guests or family members.

Putting Unused Space on Your Property to Use 

If you have unused space on your rental property, putting an ADU, there can help you make better use of the property and increase its value. Additionally, it can provide you with extra income to put toward maintenance and repairs for the property.

Suppose you're considering whether or not to add an ADU to your rental property. In that case, there are a number of potential benefits to doing so—including additional living space, the ability to rent out both spaces separately, and increased property value. However, before deciding, it's important to weigh those potential benefits against any potential disadvantages such as increased costs associated with construction and permitting. Contact us for more information on how we help you in the case for adding an accessory dwelling unit to your rental property.

ADU - Yes or No?

 Reasons to Think Twice Before Putting an ADU on Your Property

If you have a large enough lot or home in the right type of neighborhood, placing an ADU could be an excellent way to help increase its value. When done correctly, the ability to rent out can also help lower your monthly expenses.

However, before you start thinking about putting an ADU on your property, there are a few things that you need to keep in mind.

What is ADU?

ADU stands for "accessory dwelling unit." They are smaller living units such as granny flats and detached or semi-detached cottages on your property. If you consider adding an ADU to your property, know that they have different building codes than a primary residence. 
Below are 3 reasons you should think twice before putting an ADU.

1.    Restrictions On Renting It Out As A Separate Structure

The ability to rent out an ADU as a separate unit often depends on where you live. Many cities and counties have zoning regulations prohibiting the construction of detached ADUs. While some municipalities allow for the construction of separate ADUs, many also have strict rules about their location and size. Such regulations are designed to ensure compliance with safety and health standards.

2.    HOA Restrictions

If you are part of a homeowner's association, you may have restrictions on how many rental units you can have on your property. If you are a member and want to add an ADU, check with your association to see if they have restrictions and how you can get permission to build one.

3.    Safety Considerations

Building an ADU can create a new set of safety concerns for homeowners. This includes proper fencing if the ADU is to be placed in the back or side yard. Similarly, safety measures like the applicable fire codes must be fully met before making your ADU. 

4.    State Processes

If you decide on putting an ADU, you will need to go through your state's process before constructing. You may also need to go before your local government and get special permission to add an ADU to your property. Depending on your state, the process for adding an ADU can vary and take different periods to complete. 

In conclusion, building an ADU on your property can be an excellent way to create additional space for guests or family members. However, do proper research to understand what rules may apply to building an ADU in your area.