Get new listings emailed daily! SIGN UP LOGIN

Date Archives: August 2018

BHHS Bay Street Realty Group Cora Bett Thomas Realty Blog Home

Subscribe and receive email notifications of new blog posts.




rss logo RSS Feed
Agents | 19 Posts
Beaufort | 19 Posts
Bluffton | 1 Posts
Commercial | 1 Posts
Finance | 40 Posts
GOLDEN ISLES | 1 Posts
Holiday | 3 Posts
Home Decor | 22 Posts
Home Ownership | 65 Posts
Home Selling | 30 Posts
Office Culture | 1 Posts
Real Estate | 87 Posts
Savannah | 3 Posts
Sellers | 5 Posts
South Carolina | 2 Posts
The Islands | 1 Posts
Tips and Tricks | 34 Posts
Uncategorized | 141 Posts
August
28

Savannah Craft Brew Fest

One of the most anticipated summer events in Savannah is the Savannah Craft Brew Fest. SCBF is takes place every Labor Day weekend in the Savannah International Trade and Convention Center. Those choosing to drive over from Savannah will find ample parking on Hutchinson Island. However, those looking to leave the keys behind can easily Uber over or take the free Savannah Belles Ferry from River Street. Find out more here

The Savannah Craft Brew Fest focuses on quality, not quantity, and to that end no alcohol is sold on the premises. Instead, attendees are allowed two ounce samples of craft beers from all over the world. Aside from pretzel necklaces, which are a huge hit with veteran SCBF attendees, no outside food is allowed into the festival.

The Savannah Craft Brew Fest has both indoor and outdoor craft beer gardens, so that you can enjoy the views of Historic Downtown Savannah and the Savannah River while sampling craft brews. With an emphasis on the education and appreciation for craft beers, the Savannah Craft Brew Festival also offers a variety of educational sessions and the Samuel Adams Brew University. The Savannah Craft Brew Festival will also have an Import Garden, Cider Garden, Mead Garden, and Mixology Garden featuring craft beer cocktails. Those looking for activities to accompany the beer sampling can enjoy a Cornhole Tournament and a Silent Disco, as well as live music. 

In addition to the festival itself, local Savannah establishments such as The Crystal Beer Parlor in Savannah's West NOG neighborhood, Atlantic and Green Truck Pub will also be celebrating the Savannah Craft Brew Fest. There will be tap takeovers, featured menus and special craft beer nights turning the Savannah Craft Brew Fest into more of Savannah Craft Brew Week! Don't miss out on your chance to support local breweries, see what your favorite restaurant is offering, educate yourself about craft brews, and enjoy a great holiday weekend in Savannah. 

August
27

Either Way You're Paying A Mortgage!

Renting Vs. Buying

There are some people who have not purchased homes because they are uncomfortable taking on the obligation of a mortgage. Everyone should realize, however, that unless you are living with your parents rent-free, you are paying a mortgage – either yours or your landlord's.

As Entrepreneur Magazine, a premier source for small business, explained in their article, "12 Practical Steps to Getting Rich":

"While renting on a temporary basis isn't terrible, you should most certainly own the roof over your head if you're serious about your finances. It won't make you rich overnight, but by renting, you're paying someone else's mortgage. In effect, you're making someone else rich."

With home prices rising, many renters are concerned about their house-buying power. Mark Fleming, Chief Economist at First Americanexplained:

"Over the last three years, renter house-buying power has increased fast enough to keep pace with house price appreciation, so the share of homes that a renter can afford to buy has remained the same since 2015.

Although mortgage rates are expected to rise, they are still low by historic standards, and real household incomes are the highest they have ever been. Assuming this trend continues, our measure of affordability, which takes into account income, interest rates, and house prices, indicates that homeownership is still within reach for renters."

As an owner, your mortgage payment is a form of 'forced savings' which allows you to build equity in your home that you can tap into later in life. As a renter, you guarantee the landlord is the person building that equity.

Interest rates are still at historic lows, making it one of the best times to secure a mortgage and make a move into your dream home. Freddie Mac's latest report shows that rates across the country were at 4.51% last week.

Bottom Line

Whether you are looking for a primary residence for the first time or are considering a vacation home on the shore, now may be the time to buy. 

Contact Cora Bett Thomas Realty & Associates today.

From KCM

August
24

What Does the Recent Rash of Home Price Reductions Mean?

Home Price Reductions

Last week, in a new report from Zillow, it was revealed that there has been a rash of price reductions across the country. According to the report:

  • There are more price cuts now than a year ago in over two-thirds of the nation's largest metros
  • About 14% of all listings had a price cut in June
  • Since the beginning of the year, the share of listings with a price cut increased 1.2%
  • This is the greatest January-to-June increase ever reported, and more than double the January-to-June increase last year

Senior Economist Aaron Terrazas further explained:

"A rising share of on-market listings are seeing price cuts, though these price cuts are concentrated at the most expensive price-points and primarily in markets that have seen outsized price gains in recent years."

What this DOESN'T MEAN for the real estate market…

This doesn't mean home values have depreciated or are about to depreciate.

A seller may put a home worth $300,000 on the market for $325,000 hoping a bidding war will occur and an overanxious buyer will pay more than its actual value. That has happened often over the last few years. If the seller gets no offers and reduces the price to $300,000, it doesn't mean the home dropped in value. It is still worth $300,000.

Home prices will continue to appreciate over the next 12 months. In this same report, Terrazas remarks:

"It's far too soon to call this a buyer's market, home values are still expected to appreciate at double their historic rate over the next 12 months, but the frenetic pace of the housing market over the past few years is starting to return toward a more normal trend."

What this DOES MEAN for the real estate market…

This does mean that sellers should be more conservative when it comes to the price at which they list their homes – especially sellers in the upper end of each market.

Sellers have been listing their homes at inflated prices hoping a super-hot market will deliver a buyer willing to pay virtually any price to ensure they don't lose the house. That strategy has worked somewhat successfully over the last two years. However, the time that strategy would have worked may have passed.

Again, quoting Aaron Terrazas in the report:

"The housing market has tilted sharply in favor of sellers over the past two years, but there are very early preliminary signs that the winds may be starting to shift ever-so-slightly."

Bottom Line

Prices are not depreciating. However, if you want to sell your house quickly and with the least amount of hassles, pricing it correctly from the beginning makes the most sense.

Contact Cora Bett Thomas Realty & Associates today.

From KCM

August
22

A Dog Friendly Beach in Savannah

A Dog Friendly Beach in Savannah | Southern Realty News

In Savannah, it's no secret how much we love dogs. In the past, we have mentioned several places in Historic Downtown Savannah where our four-legged friends are welcome. But if you're looking to get outside of town and have a romp with your pooch, check out Fort Pulaski National Monument. It is the only dog friendly beach in Savannah accessible by car.

Fort Pulaski is located 15 miles from Savannah, down Highway 80 East. Fort Pulaski has many trails surrounding it that make it ideal for walking your dog. Several hiking trails surround Fort Pulaski. These trails include the Lighthouse Overlook Trail, the Historic Dike System, and McQueens Island. All of these trails are easily walkable, and your dog is welcome so long as he/she is leashed.  

The McQueens Island Rails to Trails follows the old Tybee rail line, which once spanned the distance between Savannah and Tybee Island. This is a gravel-packed trail, but a pleasant walk nonetheless with plenty of expansive view of the Savannah River. Both the Lighthouse Overlook Trail and the North Pier Trail lead through the scenic wooded areas surrounding the fort. The Historic Dike System is a two mile trail that circles around Fort Pulaski and offer stunning views of the historic Cockspur Lighthouse.

Access to the Savannah River is also available via Fort Pulaski, and trails will lead back to a small sandy embankment along the river — perfect for letting your pooch cool off for a minute. These trails are packed with native flora and fauna, which are sure to delight.

Fort Pulaski is open daily from 9am to 5pm and is closed on major holidays. All vehicles must be over Cockspur Island Bridge by closing time. Daily passes into the park are $7 for adults, and annual passes are a great value at just $30. 

August
17

What Would Be the Impact?

Economists and analysts know that the country has experienced economic growth for almost a decade. They also know that a recession can't be too far off. A recent report by Zillow Research shed light on a survey conducted by Pulsenomics in which they asked economists, investment strategists and market analysts how they felt about the current housing market. That report revealed the possible timing of the next recession:

"Experts largely expect the next recession to begin in 2020."

That timing concurs with a recent survey of economists by the Wall Street Journal:

"The economic expansion that began in mid-2009 and already ranks as the second-longest in American history most likely will end in 2020 as the Federal Reserve raises interest rates to cool off an overheating economy, according to forecasters surveyed."

Here is a graph comparing the opinions of those surveyed by both the Wall Street Journal and Pulsenomics:

Recession DOES NOT Equal Housing Crisis

According to the Merriam-Webster Dictionary, a recession is defined as follows:

"A period of temporary economic decline during which trade and industrial activity are reduced, generally identified by a fall in GDP in two successive quarters."

A recession means the economy has slowed down markedly. It does not mean we are experiencing another housing crisis. Obviously, the housing crash of 2008 caused the last recession. However, during the previous five recessions home values appreciated.

According to the experts surveyed by Pulsenomics, the top three probable triggers for the next recession are:

  • Monetary policy
  • Trade policy
  • A stock market correction

A housing market correction was ranked ninth in probability. Those same experts also projected that home values would continue to appreciate in 2019, 2020, 2021 and 2022.  

Others agree that housing will not be impacted like it was a decade ago.

Mark Fleming, First American's Chief Economistexplained:

"If a recession is to occur, it is unlikely to be caused by housing-related activity, and therefore the housing sector should be one of the leading sources to come out of the recession."

And U.S. News and World Report agreed:

"Fortunately – and hopefully – the history of recessions and current issues that could harm the economy don't lead many to believe the housing market crash will repeat itself in an upcoming decline."

Bottom Line

It would seem that a recession is less than two years away. A housing crisis is not.

From: the KCM Crew

August
9

HERB CREEK

Along the 100 Mile Coast, there is no shortage of natural beauty. Many plants, flowers, shrubs and trees native to the Southeast readily pop up on lawns and require little attention. But, if you are someone looking to exercise a little more devotion to your yard, then Herb Creek Landscape Supply is the place for you. Herb Creek is locally owned and operated, and has two locations, one in Sandfly and one in Thunderbolt. Both locations offer shrubs, plants, trees and flowers of all kinds, as well as gardening tools and accessories. 

The staff at Herb Creek are highly knowledgeable of plants specific to the Lowcountry. More importantly, they understand the differences in what a resident of Historic Downtown Savannah would need in their garden, as opposed to what someone who lives on Isle of Hope might need. We recently visited Herb Creek (in Thunderbolt) to try and find out what exactly we could put in the small flower beds which line the sidewalk in front of our house. 

After visiting Herb Creek and talking to Lori, we decided that barberry bushes would be perfect. Barberry bushes have vibrant red leaves, as well as spines--ideal for deterring those who may want to take shortcuts. Lori assured us that while barberry bushes can grow large in size, the ones we chose would remain smaller and would only require minimal pruning. She's right. They look great!

We still have one more, larger flower bed to fill, so a trip back to Herb Creek is coming up soon. We know that the folks at Herb Creek will help us choose some great additions. Stay tuned!

Herb Creek Locations

Downtown Sandfly

Monday - Saturday

7:30 AM - 5:30 PM

Closed Sunday

Historic Victory Drive

Monday - Saturday

8:00 AM - 6:00 PM

Closed Sunday

Visit Herb Creek online for more information.

August
9

Supply & Demand Will Determine Future Home Values

Supply & Demand Will Determine Future Home Values

Will home values continue to appreciate throughout 2018? The answer is simple: YES! – as long as there are more purchasers in the market than there are available homes for them to buy. This is known as the theory of "supply and demand," which is defined as:

"The amount of a commodity, product, or service available and the desire of buyers for it, considered as factors regulating its price."

When demand exceeds supply, prices go up. Every month this year, demand (buyer traffic) has increased as compared to last year and for the first five months of 2018, supply (the number of available listings) had decreased as compared to last year. However, a recent report by the National Association of Realtors (NAR) revealed the first year-over-year increase in supply in three years.

Here are the numbers for supply and demand as compared to last year since the beginning of 2018:

Home Prices are Still Rising

The increase in the June numbers doesn't mean that prices won't continue to appreciate. In that same report, Lawrence Yun, NAR's Chief Economist, explained:

"It's important to note that despite the modest year-over-year rise in inventory, the current level is far from what's needed to satisfy demand levels.

Furthermore, it remains to be seen if this modest increase will stick, given the fact that the robust economy is bringing more interested buyers into the market, and new home construction is failing to keep up."

Bottom Line

The reason home prices are still rising is that there are many purchasers looking to buy but very few homeowners ready to sell. This imbalance is the reason prices will remain on the uptick.

From KCM

August
8

millennial home buying

Many have written about the millennial generation and whether or not they, as a whole, believe in homeownership as a part of attaining their American Dream.

Comparatively speaking, millennials have taken longer to obtain traditional milestones (like getting married, having kids and buying a home) than generations before them, but that does not mean that they do not aspire to still achieve those things.

For older millennials (aged 25-34) who have established themselves in their career and are starting to build their families, homeownership is the next logical choice.

According to the Urban Institute's State of Millennial Housing, the probability of a millennial home buying increases by 17.9% if they are married, and by an additional 6.2% if they have children.

Last year, according to the US Census Bureau, the average age at first marriage was 30 for men and 27 for women, while the National Association of Realtors (NAR) reports that the average first-time homebuyer was 32 years old.

With most of this generation having yet to age into the 'Responsibility Zone' (the time in their lives when their responsibilities start to dictate their behaviors), there will be a steady wave of buyers for years to come!

Those who are currently out in the market searching for a home are being met with a strong, highly competitive seller's market. NAR's Chief Economist Lawrence Yun recently commented,

"Realtors® throughout the country continue to stress that there's considerable pent-up demand for buying a home among the millennial households in their market.  

Unfortunately, they're just not making meaningful ground, and continue to be held back by too few choices in their price range, and thereby missing out on homeownership and wealth gains."

Bottom Line

Millennial home buying is on the rise. If you are currently renting and thinking about jumping into the real estate market, let's get together to help you navigate our market.

Contact Cora Bett Thomas Realty & Associates today.

From KCM

 

August
3

Ensure That You, Your Family And Property Are Protected.

Flood

Nobody ever really wants to stop and consider the possibility of bad weather, but anyone who is looking to buy a home should consider the impact of bad weather on a potential purchase. Realistically speaking, any place in the world that you choose to live is going to have some sort of weather condition that isn't necessarily favorable, and the local governments have invested considerable time and money over the past 20 years to lessen the risk of structural flooding our communities. However, all of the effort in the world will never fully eliminate such a risk, and that is why it is important to understand and make sure that you are proactive in flood preparation

That being said, potential and new homeowners in Savannah and the Lowcountry should make sure to consider the possibility of flooding. Since the region is a low-lying coastal region, various areas are susceptible to flooding during long periods of moderate rainfall or during high-volume, short duration rainfalls. If you plan on buying property that is waterfront, you'll want to make sure that you not only keep an eye on the weather and rainfall, but also tide levels.

One of the most important things that you can do, but is often overlooked by many homeowners is purchase flood insurance. In the course of a 30-year mortgage, there is a 26% chance that you might experience a 100-year flood. Since most policies have a 30-day waiting period before going into effect, you want to make sure that you plan ahead and purchase coverage accordingly. You also may want to consider scheduling a flood preparation site visit from the City or the County (depending on where your property is located); staff can help you with issues related to flooding and stormwater drainage, and can also address any flooding concerns specific to your home and property. You should check with the Chatham County Department of Engineering or City of Savannah Development Services to find out what flood zone you are in and what the Base Flood Elevation is for your lot.

What You Can Do

You can check out the resources available at your local library to determine if retrofitting your property would be beneficial. Retrofitting is altering a building to reduce or eliminate or reduce flood damage and includes several options such as elevation, flood barriers, dry flood proofing and wet floor proofing. You can also consult the FEMA guide for more information on retrofitting your home. Even if you decide not to retrofit your home, it's still a good idea to keep materials such as sandbags, plywood, lumber and plastic sheeting in case of a serious flooding threat; not only can these materials help minimize flood damage, they can also be useful in minimizing damage caused by hurricane-force winds.

An easy way to help prevent localized flooding in your neighborhood is to make sure that ditches, culverts, and storm drains are kept clear of yard waste, leaves, trash and other debris. It is illegal to dump trash, grass clippings, leaves or other materials including chemicals, oil, gasoline or household products into ditches or other drainage systems, so if you see illegal dumping, report it to the local public works department or local law enforcement agencies. 

Make sure that you understand the flood warning system (you can get more information on this from the Chatham Emergency Management Agency), know how to turn off the utilities at your house, and know evacuation routes and emergency shelter locations. Move to higher ground if you can do so safely, but do not attempt to drive or walk through moving water or flooded areas. If you are caught at home and have no way to leave, avoid rising water by moving to the second floor or roof of your home — seek out higher ground, and take your disaster supply kit with you.

If you are instructed to evacuate due to a hurricane, and are able to do so, make sure that you return home only when authorities have indicated it is safe to do so. Check your home for structural damage. Check your heating and electrical systems, as well as appliances prior to using them again after a flood. Don't consume any food or water that was exposed to floodwater.

The Bottom Line

The trick is to be ready, but not afraid. Be prepared and not in denial that such a thing can happen. By making proper flood preparation and making sure that you and your family are protected, you are ensuring the safety of your loved ones and the durability of your property should flooding occur. If you want to learn more about waterfront property on the along the 100 Mile Coast, contact Cora Bett Thomas Realty & Associates.

Login to My Homefinder

Login to My Homefinder