Real Estate BLOG - McVicker Realty

The Truth About Homeowner Equity

October 5, 2017 by Kevin McVicker

A recent article from a reputable news source was titled: Here's why some homeowners still can't sell. In the opening bullets of the article, the author claimed, “Negative equity is one of the main reasons why there are so few homes for sale.” The article then goes on to soften that stance but we want to bring better clarity to the equity situation.

A recent report from CoreLogic (which was quoted in the article) revealed that over 80% of all homes now have “significant equity,” which means the home has over 20% equity. That level of equity allows the homeowner to sell their home if they so desire. (There was no reference to significant equity in the article.)

If eight out of ten homeowners now have significant equity in their homes, it is hard to make the claim that lack of equity is “one of the main reasons why there are so few homes for sale.”

Here is a map showing the percentage of homes in each state which currently have significant equity:

Bottom Line

If you are one of many homeowners who is debating selling your home and are wondering how much equity you have accumulated, let’s get together to determine if now is the time to list.

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Americans Still Believe Real Estate Is Best Long-Term Investment

September 23, 2017 by Kevin McVicker

According to Bankrate’s latest Financial Security Index Poll, Americans who have money to set aside for the next 10 years would rather invest in real estate than any other type of investment.

Bankrate asked Americans to answer the following question:

“What is the best way to invest money you wouldn’t need for 10 years or more?”

Real Estate came in as the top choice with 28% of all respondents (3% higher than last year), while cash investments – such as savings accounts and CD’s – came in second with 23% (the same as last year). The chart below shows the full results:

The article points out several reasons for these results:

“After bottoming out at the end of 2011 following the worst housing collapse in generations, home prices have gone gangbusters recently, climbing back above their record pre-crisis levels. Prices jumped 6.6 percent during the 12 months that ended in May, according to CoreLogic.

Toss in persistently low interest rates, tax goodies that come with owning a mortgage, and the psychological payoff from planting your roots, and maybe it’s no wonder real estate remains popular.”

The article also revealed that:

“Bankrate’s Financial Security Index — based on survey questions about how people feel about their debt, savings, net worth, job security and overall financial situation — has hit its third-highest level since the poll’s inception in December 2010.”

Bottom Line

I have often written about the financial and non-financial reasons homeownership makes sense. It is nice to see that Americans still believe in homeownership as the best investment.

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Your Home Is An Oasis In The Inventory Desert

September 11, 2017 by Kevin McVicker

Homebuyers are flocking to the Triangle market by the thousands to find their dream homes. Unfortunately for many, the inventory of starter and trade-up homes in the the Triangle has struggled to keep up with demand!

According to the National Association of Realtors (NAR), the inventory of homes for sale dropped 7.1% year-over-year to a 4.3-month supply. That’s down for the 25th consecutive month.

Some homeowners may be hesitant to list their homes for sale. They are worried that it will difficult finding a home to buy and move in to. This is a legitimate concern; no one wants to sell their home quickly and not have anywhere to live.

But there is good news! If you are thinking of moving up to a luxury or premium home, there is more inventory available in these markets. You may even get a great deal on a home that has been on the market for a while.

If you are looking to move into a trade-up home, or if you are just looking to relocate to a new area in a home of the same size, there is still hope!

In many markets, homeowners are building contingency plans into their contracts. This means that the homeowner builds in extra time before they close in order to find their dream home. Sellers are upfront about the contingency with any buyers who come to see the house.

Your home is an oasis to buyers who are searching for homes in today’s market. The right buyers will sympathize and wait for you and your family to find your next home.

Bottom Line

Don’t let the fear of not finding a home to move in to stop you from moving on with your life. Let’s get together to discuss ways to set expectations with potential buyers from the start.

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10 Anti-Burglary Tips For Homeowners

January 5, 2017 by Kevin McVicker

After Christmas, many people put the empty boxes their expensive gifts came in out on the curb. What do you think that says to potential burglars? It screams, “I just got a brand-new TV! Come and rob me!”

That’s just one example of some unwise habits homeowners have. If those owners are sellers opening their doors to the public for showings, habits such as these put them in even greater danger.

National Snapshot of Burglaries

A burglary is committed every 20 seconds, with nearly 1.6 million such crimes nationwide annually, according to the FBI’s 2015 Crime in the United States report. That’s down 7.8 percent from 2014. Total property crime, which includes arson, larceny theft, and motor vehicle theft, reached nearly 8 million instances in 2015, down 2.6 percent from 2014.

Maintain your property. Especially in the wintertime, many people stay indoors and neglect issues such as peeling trim or an overgrown yard. But if the home looks unkempt, thieves may think it’s abandoned and, therefore, an easy target. Shoveling your walkways to clear them of snow and debris and removing holiday decorations and fallen tree branches in a timely manner will signal that the home is occupied.
Know your neighbors. Many people don’t really know their neighbors; it’s more than just saying hi and being friendly. Invite them over to see your home before it goes on the market, and introduce them to the people they may see regularly stopping by during this time (especially your agent). Then they’ll know who is and isn’t supposed to be at your home and can better assess when there may be a threat while you’re gone.
Assess your home’s vulnerability. Walk to the curb and face your house. Ask yourself, “How would I get in if I were locked out?” The first thing you think of, whether it’s the window with a broken lock or the door that won’t shut all the way, is exactly how a thief will get in. Think like a burglar, and then address the issues that come to mind.
Respect the power of lighting. Criminals are cowards, and they don’t want to be seen. The house that is well-lit at night provides a deterrent because thieves don’t want the attention and the potential to be caught by witnesses. It’s wise to invest in tools that make nighttime light automation easy. That includes dusk-to-dawn adapters that go into existing light fixtures and motion detectors. But beware of leaving your exterior lights on at all times, which signifies the occupant is gone for an extended period of time.
Use technology to make your home look occupied. In addition to lighting, smart-home technology has made it easier to make it appear like people are home, even when they’re not. Systems that remotely control lighting, music, and appliances such as a thermostat can help you achieve this. Though not considered smart-home tech, simple lamp timing devices available at hardware stores are also good for this purpose.
Yes, it has to be said: Lock your doors. It’s amazing how many people think they live in a safe-enough neighborhood not to have to lock their doors when they leave. Some facts sellers should know: In 30 percent of burglaries, the criminals access the home through an unlocked door or window; 34 percent of burglars use the front door to get inside; and 22 percent use the back door, according to the FBI Uniform Crime Report.
Reinforce your locks. A good door lock is nothing without a solid frame. Invest in a solid door jam and strike plate first, and then invest in good locks. Know the difference between a single-cylinder and a double-cylinder deadbolt. Double-cylinder deadbolts are recommended because they require a key to get in and out. For safety and emergency escape purposes, you must leave the key in when you are home. But double-cylinder locks are against regulations in some places, so check with your local police department’s crime prevention office.
Blare the sirens. Burglars are usually in and out in less than five minutes, and they know police can’t respond to an alarm that quickly. Their bigger concern is witnesses to their crime. For that reason, an external siren is invaluable, whether as part of a monitored security system or a DIY alarm. Even if you don’t have an alarm, it’s not a bad idea to invest in fake security signs and post them near doors.
Consider surveillance cameras. The Los Angeles Police Department started a program encouraging homeowners to install a device called Ring, a doorbell with video surveillance capability that allows homeowners to view what’s outside their door on their smartphone, in a neighborhood that was a target for burglaries. After Ring was installed in hundreds of homes, the burglary rate dropped by 55 percent, according to reports. Most state and local regulations require posting a warning that people are being recorded. (But again, this can be effective even if you don’t actually have the cameras installed!)
Mark your valuables and record details. Use invisible-ink pens or engravers to mark identifying information (driver’s license or state ID numbers) on items. Log serial numbers and take photos of your belongings. Check to see if your police department participates in the Operation Identification program. They will have stickers for you to place on doors or windows warning would-be thieves that your items are marked. These steps may prevent them from pawning or selling stolen items and can help you reclaim recovered belongings.

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Planning To Sell Your Home

November 2, 2016 by Kevin McVicker

4 Ways To Make Your Home More
Attractive To Home Buyers

Email: kevin@kevinmcvicker.com Phone: (919) 369-4926

The Importance of Staging

One of the essential steps that must be taken to quickly sell your home is to stage it well. It’s surprising how many folks overlook this necessary part, but the presentation of your home is of the utmost importance. I know, it sounds scary even thinking of tackling such a huge project, but just trust me on this. You’ll be glad that you did.

I'm going to give you a few tips and tricks that will help folks get past just viewing your home as a potential and dreaming of it as their picture perfect nest. I know what you’re thinking. You’ve seen all of these articles and blogs about revamping your house to make it sellable, but you just don’t have that kind of cash. It’s okay. Stay calm and take a deep breath, because the fact is that we can lead you to staging your home perfectly know matter how large or small your budget is!

Essential Tip #1: Make it Sparkling Clean

The very first, and possibly most important tip we’re going to give you is to simply clean, clean and clean some more. We all get used to our homes. Most of us don’t keep show places in our day to day lives. We really, truly, actually live in them. That usually means stacks of mail on the table, unfolded laundry on the dryer and hidden unknowns in closets. Did we mention the kid’s toys and litter box? That’s what living in a house is all about, right? Right, but the goal is to convince another couple or family that your home is just perfect for them. That’s tough when they’re surrounded by your stuff.

You see, living in your home also means that you don’t see your home as potential homebuyers might. You just don’t notice what you stare at every single day, but take our word for it, people trying to see if this could be there new haven do notice and are turned off by seemingly innocuous clutter. Not a problem, because this is a task that we can manage with just some elbow grease and time.

First of all, get out your pad and pencil. Start at your front door and do a walk through just as though you were being shown around by your friendly, neighborhood realtor. Put on your fresh eyes and take notes of everything you notice that is unpleasing. It’s not a bad idea to keep track of what you find that is quite pleasant to look at, as well.

Typically, you’ll be starting in the foyer or entrance. Simply make a list entitled foyer, and note everything that needs to be tackled. For example:

Foyer To Do's:

Cobwebs in the corner
Fingerprints on mirror
Spot on carpet
Declutter junk basket
Take down all but one photo frame
Polish table
Put up shoes
Keep fresh flowers looking and smelling nice

Hall closet To Do's:

Funny smell – Go through old shoes and air out
Clean off shelf
Get rid of mouse trap

See how that works? It’s really simple. You’re quickly taking note of all of the things that need cleaning, straightening and decluttering. Go through your entire house this way, making your notes and keeping your fresh eyes open to the possibilities. Envision just how beautiful your home can really be with a little sprucing up. After all, you want your potential buyers to envision your current home as their future one. Your stinky socks and sneakers won’t help with that, but a bright and shiny entrance will!

Now, once you’ve made your extensive To Do list, you need to make a second list of the supplies that you need to accomplish your tasks. Cleaners, garbage bags, paper towels, polish and even light bulbs might be on this list. The best part is that you’re going to have almost everything that you need on hand, so this spectacular and important tip is nearly cost-free!

Handy Tip: Smell Matters

Smell is incredibly important when you’re trying to sell your home. Some would even say that people buy homes with their noses. It doesn’t matter how beautiful something is, if it smells bad, it just isn’t inviting. You’ve got a handle on this, though. Follow these tips for a home that smells as lovely as it looks.

If you’re a smoker, consider going outside for smoke breaks until your home is sold. Non-smokers have noses like bloodhounds, and they often detest that lingering scent.
Avoid cooking greasy or incredibly spicy dishes, particularly if you know someone is coming to view your home soon. Stick with the oven! It’ll be better for you, too.
Empty the garbage religiously. We all forget sometimes, but make that concerted effort to get it outside every single day from every single room. Make sure fresh bags are in the cans before a viewer is scheduled to visit.
Watch the pooches. Believe it or not, some folks just aren’t animal people and they detest the smell of dogs, hamsters and litter boxes. We know you can’t just throw your babies out! Just make adjustments as you can until your home is sold.
Keep scented candles handy. Light them a couple of hours before you’re expecting someone to help mask all of those scents that are hard to get rid of. Keep in mind that you don’t want your home to look as though you’re about to have a séance. Just a candle or two will do nicely.
Another way to get a pleasant aroma without going into overbearing mode is to add a little cinnamon or vanilla to a tea kettle of water and warm it. It’s lovely.
Shampoo the carpet. Some smells just linger, and they get into your carpets just to stay put and torture you. If you don’t have a shampooer, they can be rented fairly inexpensively at department stores, or you can buy a low-end one for about a hundred bucks.
Wash the curtains. It’s the same principal as the carpets. Smells linger in fabrics, so if you can, wash your curtains and any other offending fabrics, such as linens, that can trap odors.

Essential Tip #2: Don’t Forget the Yard

Again, this is an important step in the staging of your home and many people simply fail to really see their yardfor what it is. It’s okay. Get out your handy dandy list again, and go to town with your newfound note-taking abilities. Maybe even do a drive-by, since that is the first impression a potential homebuyer is going to have. The neighbors might think you’re a little odd at first, stalking your own house and all, but you’re on a mission. After all, they won’t be your neighbors much longer!

Drive by slowly and just drink it all in. Are the bushes neat? How does the grass look? Is there debris lying around? What you’re trying to see is whether or not your home and yard look like invitations to come on in and have a look inside. Or, on the other hand, if they look as though they would send a potential buyer screaming for the nearest exit out of your neighborhood. Chances are there are areas that need some improvement, and that’s just fine. You’ve got those kinds of skills, after all. If you can declutter a whole house, you can absolutely make your yard inviting.

Keep in mind, that neat and simple landscaping is much preferred to elaborate landscaping that is a mess. Don’t feel compelled to put tons of money into this project, but rather declutter and clean just as you did inside of your home already. After all, you want to make as much money off of this sell as possible. Investing tons of money into something that isn’t necessary is essentially eating away at your eventual profit. With that being said, neat shrubs and fresh mulch go a long, long way.

Don’t misunderstand. There may be areas that require a little monetary push. For instance, if your porch light no longer works, it’s advisable to update that. Your steps are broken in a place or two? Go ahead and replace them. You see where we’re going with this?

Handy Tip

Start at the curb. Is it clean, neat and well kept? Is it littered with garbage, cigarette butts and grass clippings? Clean it up, because this is the first glimpse potential buyers get of your home.
We’ve already mentioned checking your bushes for trimming needs, but go a step further. Are your flower beds overgrown? If so, weed them out. Make sure and trim away all dead foliage, as well. It just isn’t pleasing to the eye.
Do your walkways need repair? Often, walkways can be mended rather than having to be completely replaced if there’s just crack or two.
Take a good look at your outdoor furniture. It can either make or break the look of a patio or porch. A good washing with bleach water might be all that they need to look like new, or they might need a fresh dose of paint. A small amount of cash and effort can go a long way with this.
Wash down the outside of your home. Unless you’ve already done so recently, it can likely use a going over. If you don’t have a pressure washer handy, a garden sprayer with bleach water, a hose and sponge mop work great.
Don’t forget your outbuildings! Wash them down, as well. Make sure everything is nice and tidy around them.
Put up the toys every single day. It can be tough to keep a yard neat and still give the children a place to play. But simply putting unused toys neatly out of the way can make a yard look much more groomed, and more like a home for couples who don’t have children.

Essential Tip #3: Home Improvements to Boost Value

Believe it or not, just the cleaning and simple mending of a yard and home go a long way to making its salability rise dramatically. However, in some cases it may be advisable to take that next step and do some quick updating. This could be advisable in areas where many homes are on the market similar to yours, and you need yours to be distinctive.

For times like these, you are prepared. The single most inexpensive project you can take on that will both improve the look and the value of your home is fresh paint. You can do it yourself if you’re on a budget, or you can hire painters if you’d rather not tackle such a time consuming affair.

It is essential to remember that you are selling this house, so you need to make sure you choose colors that are going to sell rather than cater to your personal tastes. Neutrals tend to work best. They are clean, open spaces up and allow a fresh pallet where potential buyer’s minds can play out their home ownership fantasies. Neutral, mind you, does not mean all white. Sure white is a neutral sort of color, but it is also sterile. You want your buyers to feel homey rather than hospital-like. Warm it up a bit. Beiges and creams work well. Greys are also nice and seem to be the newest go-to in this area.

Handy Tips

Here’s the conundrum. What do you do if you’re on a tight budget and you need to make some of these higher cost projects happen? Well, it is going to take more money, and there’s no way around that. However, you can cut your costs by being frugal and using your imagination.

Shop the paints that have been mixed incorrectly for other customers. They’re often half the price of original paint, and the colors aren’t necessarily horrific, but rather not specifically what someone else wanted. The worst that can happen is that there is nothing of use to you when you browse.
Buy paint, rollers and accoutrements in bulk. Did you know you can buy a five gallon jug of paint? You can, and it costs less than buying five separate gallons.

Essential Tip #4: Going Above and Beyond

Believe it or not, just the cleaning and simple mending of a yard and home go a long way to making its salability rise dramatically. However, in some cases it may be advisable to take that next step and do some serious updating. This could be advisable in areas where many homes are on the market similar to yours, and you need yours to be distinctive.

Another thing that you can look at updating that carries a little more bang for your buck is replacing old worn floor coverings with hardwood. No, this is not dirt cheap. However, if you really need to raise the value of your home, this is a great way to do it.

Don’t be afraid to shop for flooring on social media either. Countless times there are people who have bought excessive flooring and want to sell it inexpensively just to get it out of the way. There are even moments where folks just up and change their minds about the floor they want to put down, and they sell huge lots on the cheap.

Other ways to update your home is to include new appliances, update lighting fixtures and install new kitchen and bath hardware.

These tips and tricks can absolutely help you to make your home a buyer’s palace. You won't be able to do it all in a weekend, but the end result will be completely worth it!

We’d love to help you out with any other questions that you might have. We’re here for you, and we want to see your house sell. Not only do we want to see it move, we want to see it go as fast as humanly possible. Give us a call if we can be of any further assistance to you.

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Job growth study: Raleigh No. 2 in technology

April 25, 2015 by Kevin McVicker

Research Triangle Park, N.C. — A new study finds that the Raleigh metro area ranks just behind Austin in technology job growth over the past decade. But North Carolina’s capital area is No. 1 in job growth related to STEM (science, technology, engineering and math) skills. The news comes as GSK donated $1M to kick start a N.C. STEM initiative on Wednesday.

The study, which was published by Forbes, is based on a review of various economic data for each of the largest 52 metropolitan areas across the U.S. from 2004-2014.

Technology-related job growth in Raleigh grew 62.3 percent to 38,853, according to data compiled by Praxis Strategy Group.

STEM-related jobs grew at 39 percent to 49,593.

GSK hopes to give STEM jobs a boost in the state with its $1 million donation to a “STEMAccelerator” program being launched by North Carolina New Schools. Gov. Pat McCrory was on hand for the announcement.

The initiative comes just over a year after a report projected nearly 240,000 STEM jobs would become available in the state but North Carolina was not producing enough students to fill the positions.

“High quality STEM education is critical to North Carolina’s future prosperity,” McrCrory said of the initiative. “To address the gap in education and workforce needs, we must provide resources and support for teachers’ professional growth – especially in the critical areas of science and mathematics. The STEMAccelerator will help us meet one of my administration’s goals of transforming the teaching profession into a rewarding, long-term career.”

The STEMAccelerator will launch in three phases, according to the New Schools organization:

Phase 1 – “Research and development: NC New Schools will bring together educators, higher education and industry partners to design new instructional programs focused on the emerging needs of the STEM economy. Co-development will ensure alignment between education and the workplace.
Phase 2 – “Pilot: Newly developed programming will be piloted with a core group of educators to validate and refine the content and delivery methodology. Specific emphasis will be placed on developing a virtual delivery component to support rapid, low-cost scaling.
Phase 3 – “Roll-out: Refined final programs will be scaled across North Carolina to deliver next generation learning for all students.”

Breaking down the study

Austin – Raleigh’s rival in many areas of technology job recruitment – led the way in tech job growth at 73.9 percent to 53,118 jobs. STEM jobs grew at a 36.4 percent rate to 86,189 over the decade. That was good for No. 2 behind Raleigh.

Both cities topped overall growth rate of San Jose in Silicon Valley where tech jobs grew at 70.2 percent to 153,546 but STEM job growth lagged at 25.8 percent and 168,652 jobs.

Forbes did, however, cite a caveat for the Raleigh area STEM growth: “[T]he fastest growth in the nation, albeit from a smaller base than many of the other biggest metro areas.

Nationally, Raleigh and Austin both exceeded the overall average of STEM job growth at 11.4 percent and tech jobs at 31 percent.

Job growth in other fields lagged considerably at 4.5 percent, Forbes reported.

The rankings

The top 10 cities:

1. Austin

2. Raleigh

3. San Jose

4. Houston

5. San Francisco

6. Salt Lake

7. Seattle

8. Nashville

9. Jacksonville, Fla.

10. Memphis

Interesting points in study

Forbes points out that all tech jobs are not at high-tech focused firms such as Raleigh-based Red Hat and Cary-based SAS.

As an example: “Just 7% of the nation’s 1.5 million software developers and programmers work at software firms — the vast majority are employed in industries as disparate as manufacturing, finance, and business services.”

The methodology

Forbes spelled out how the study was conducted:

“To determine the metro areas that are generating the most tech jobs, Mark Schill of Praxis Strategy Group examined employment data in two different categories. Half our ranking is based on changes in employment at companies in high-technology industries, such as software and engineering. (This includes all workers at these companies, some of whom, like janitors or receptionists, do not perform tech functions). Half is based on changes in the number of workers classified as being in STEM occupations, which captures tech workers who are employed in all industries, including those not primarily associated with technology, such as finance or business services. We ranked the 52 largest U.S. metropolitan statistical areas by the growth in tech and STEM employment from 2004 to 2014, as well as for their more near-term growth from 2012 to 2014 to give credit for current momentum.”

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Kevin McVicker

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