Life @ Home Newsletter April 2023 (Sellers)

APRIL 2023 | What’s in this issue?

• MOTIVATED SELLER? 9 FISCAL CONCESSIONS THAT COULD ATTRACT BUYERS
• ONWARD! 9 IMPACTS OF DIGITAL TECHNOLOGY ON REAL ESTATE
• WHAT’S NEW? 5 INTERIOR DESIGN TRENDS FOR 2023

Motivated Seller? 9 Financial Concessions That Could Entice Buyers

You may want to consider offering financial concessions to potential buyers if you’re a motivated seller.

As mortgage rates, inflation, and economic uncertainty have increased, such concessions have become more common

. In fact, Redfin points to seller concessions in a record 42% of its home sales in Q4 2022.

A summary of possible payments you could make on behalf of buyers:

• Property taxes. Based on the home’s assessed value, most are paid semiannually to cover the previous six months.
• Title insurance. These optional policies protect the buyer and lender from unforeseen claims on the home’s title due to lawsuits, liens, easements, will complications, errors or fraud. Policies may cost $500 to $3,500 depending on state and provider.
• Loan origination fees. Charged by lenders for handling loans, they typically represent .5% to 1% of the loan amount.
• Inspection fees. In some states and for certain loans, pest inspection must take place before a home sale.
• Recording fees. Counties charge a fee of about $125 to record transfer of ownership.
• Appraisal fees. Most lenders require an appraisal at a cost of $600 to $2,000 before approving a loan.
• Attorney’s fees. Some states require attorney review of closing documents; that could cost $150 to $350/hour.
• Mortgage points. Paying for these could help a seller with a less-than-ideal credit history secure a more favorable interest rate.
• Repairs. Offering to cover improvements to the home could be a huge bonus to buyers.

Onward! 9 Ways Digital Technology is Impacting Real Estate

In this digital age, real estate buyers and sellers must embrace (or at least understand) new technology tools. As we move into the 2020s, these nine elements of technology will have an enormous impact on the market.

• AI is driving broader, more efficient data gathering, and blockchain is making that data more objective.
• AVMs (automated valuation models) are combining statistical modeling with historical databases to better calculate real estate values in real time.
• Machine learning is optimizing data to point investors to profitable properties.
• Live video is key to communications, marketing, touring, sales, asset maagement, etc.
• 3D video creates efficiency by empowering buyers to peruse homes online, pre-tour.
• Rental management and other software tools automate multiple tasks for better efficiency.
• Environmental and safety concerns are using smart technology for better energy efficiency and cleanliness.
• Digital communications that help limit human contact are popular, especially for routine interactions and/or problem-solving.
• Texting allows for ultra-fast communications and immediate responses.

What’s new? 5 interior design trends for 2023

Vogue points to the following:
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Calming earth colors, including mauves, peaches, reddish browns and warm whites
Silver and iron accents
Stone trims
Neoclassicism: focus on detailed, symmetrical lines
Mosaic and terrazzo kitchens and baths