Facebook
X
Pinterest
Copy Link
Weathering Market Swings In Real Estate
Weathering market swings in real estate requires a combination of proactive planning, strategic decision-making, and adaptability. Here are some strategies to help you navigate market fluctuations:
- Diversify Your Portfolio: Don’t put all your eggs in one basket. Diversify your real estate investments across different types of properties (residential, commercial, industrial) and different geographic locations. This can help mitigate risk if one market experiences a downturn while another remains stable or grows.
- Maintain Adequate Cash Reserves: Have sufficient cash reserves set aside to cover expenses during lean times or unexpected vacancies. This buffer can help you ride out market downturns without being forced to sell properties at a loss.
- Long-Term Investment Perspective: Real estate is a long-term investment, so avoid making decisions based solely on short-term market fluctuations. Focus on the fundamentals of each property, such as location, rental demand, and potential for appreciation over time.
- Stay Informed: Keep yourself updated on local and national real estate market trends, economic indicators, and regulatory changes that may impact property values and rental demand. This knowledge can help you anticipate market shifts and make informed decisions.
- Adapt Rental Strategies: During market downturns, consider adjusting your rental strategies to remain competitive. This may involve offering incentives such as reduced rent, flexible lease terms, or property upgrades to attract and retain tenants.
- Monitor and Adjust Financing: Keep an eye on interest rates and financing options available to you. Refinancing at lower rates or restructuring loans can help reduce expenses and improve cash flow, particularly during periods of economic uncertainty.
- Maintain Property Value: Continuously invest in maintaining and improving your properties to preserve their value and appeal to tenants or potential buyers. Regular maintenance, upgrades, and renovations can enhance rental income and property appreciation over time.
- Seek Professional Advice: Consider consulting with real estate professionals, financial advisors, or property managers who have experience navigating market fluctuations. Their expertise can provide valuable insights and guidance tailored to your specific investment goals and circumstances.
By implementing these strategies, you can better position yourself to weather market swings and maintain a resilient real estate investment portfolio over the long term.
Selling Your North Jersey Home During the Holiday Season
If you are eager to sell your home but think that it would too difficult to do so during the holiday season, fear not. Though it may seem like an impractical time of year for real estate, holiday time and wintertime can be great for selling and buying homes. At CENTURY 21 Cedarcrest Realty, we offer these reasons why the holidays can be your season for a successful real estate transaction as a seller.
Less Competition
Since many people are hesitant to put their house on the market during the winter or around the holidays, it may be easier to sell yours now if you do. Fewer listings mean less competition, making your chances of selling that much higher. Plus, in North Jersey, the buyer demand is still relatively high during this season and the market remains competitive—especially in Essex County, Passaic County, Morris County, and Bergen County, NJ.
With a smaller housing inventory on the market, you may be able to sell faster and for a better asking price. Also, people tend to have more days off from work around this time, giving you more flexibility for scheduling showings or open houses.
Serious, High-intention Buyers
The holidays are generally reserved for gift shopping, family functions, and party planning. Most people are not going to set time aside to also shop for a new home, even if they have considered the idea. However, this season presents you with serious shoppers who are making home buying a priority, even during the busiest time of the year. Listing your home during the holiday season, especially at the right asking price, can expedite the process of selling your North Jersey home by attracting committed buyers who have a plan of action.
Setting the Scene (or Staging Your Home)
Winter brings with it short days and snowy weather, and people like to find comfort indoors. Use this to your advantage by staging your home with some warm blankets, a deliciously scented candle, or perhaps a fire in the fireplace. These elements can really create the cozy environment you want people to imagine for themselves. Plus, if you celebrate during the holiday season, don’t be afraid to get festive and embellish your home with some simple, staple holiday decorations. At such a family-focused and often nostalgic time of year, giving buyers a chance to imagine themselves and their family celebrating in the home together can go a long way when it comes time for that buyer to make a decision. An inviting space invites offers!
Helpful Winter Weather Tips
Mind the winter weather and make it as easy as possible for people to see and enjoy your home. Be sure to keep walkways and steps clear of snow and use salt for ice to keep potential buyers safe. A doormat for wet boots and an umbrella stand at the front door are a good touch. Also, fill the house with warm-tone lights to counteract the darker days, and turn the heat on to keep it cozy. If you have a drafty window or two, consider patching them up before showing your home to prevent a cold leak from driving a buyer away. Keeping your home as warm and inviting as possible during the winter months is key to enticing prospective buyers!
Find the Right Real Estate Agent
A great real estate agent is imperative to selling your home, especially during this hectic time of year. You want an agent who will prioritize you during the busy holiday season, be your advocate throughout the entire selling process, work hard on your behalf, and be totally reliable and reachable. This will go a long way in making selling your home a much easier experience for all parties. The associates at CENTURY 21 Cedarcrest Realty are committed to providing the highest level of service to our clients, learning about their unique homes to market them effectively, and guiding our buyers and sellers through the entire transaction.
At CENTURY 21 Cedarcrest, our clients’ interests are our first concern.
Key takeaways: Selling your NJ home during the holiday season
- North Jersey has a highly competitive real estate market all year ‘round. Although there may be less demand during the holiday season, there are still plenty of eager potential buyers.
- You can benefit from being part of a smaller pool of homes for sale, and create an opportunity for more serious, intentional buyers.
- You can also use the holiday season to your advantage by creating a warm, festive, and inviting space that people can see themselves enjoying.
- Although different from selling your home in the warmer months, with the right adjustments and the expertise of a CENTURY 21 Cedarcrest Realty agent, selling your home during the holidays can be a successful endeavor.
Another tip? Contact our broker owner John Sass about listing your home right away at 973-228-1050, ext. 102 or fill out the form at https://century21cedarcrest.com/contact-me.
CENTURY 21 Leadership Conference—Networking, Learning, and Being Inspired
John Sass, broker owner of CENTURY 21 Cedarcrest Realty, attended the invitation-only leadership conference in Phoenix, Arizona in late October, for broker owners and office managers. Around 500 people attended the more-intimate gathering (when compared to the thousands who attend the international convention every March). In this article, John shares his impressions of and key takeaways from the event.
“Overall, it was a great event. It was wonderful to rekindle many relationships that go back 20+ years as we shared thoughts and ideas about what’s happening in today’s real estate market. There were ample opportunities to talk to more people about what we are working on in our offices and what we are trying because the leadership conference is much smaller than the annual international event.”
“CENTURY 21® President Mike Miedler shared strategies on how to prepare for the potential recession on the horizon. One key message he drove home is that this is not like the Great Recession and market downturn of 2008 at all. As always, Mike was upbeat and positive.”
“The seminars and presentations included new technologies (such as the MoxiWorks platform the system is using), agent recruiting and retention, the benefits of offering multiple commission plans, building a better value proposition for the brokerage, creating stronger accountability and standards for sales goals, and brokerage growth and development through mergers and acquisitions.”
“Joining forces through M&A can be an excellent way to capitalize on the sales strength of small offices whose principals or leading producers want to focus on what they do best—real estate sales—while the office that rolls them in provides the infrastructure, office management, and agent recruitment and training.”
“Regarding value proposition, CENTURY 21 Real Estate LLC believes in providing a lot of value to the people who work with us on both sides of the transaction and that’s something we strive for every day at Cedarcrest Realty. We are working on defining our value as a workplace to real estate agents and as a broker to customers.”
“The three pillars of our value proposition at Cedarcrest Realty are name recognition, stability, and the potential to earn. The CENTURY 21® name is known worldwide. I’ve been in the business for 30+ years and have weathered market ups and downs many times. Our leadership team has tremendous experience and insight to share. And I believe that when you follow the training and work the leads, everyone can make money here.”
“At Cedarcrest Realty, we create an environment where people can grow. Part of that comes through active, ongoing coaching. Our leadership team (Mannie Rodriguez, Dennis Di Sabato and Jill Savva) have begin meeting with our agents to formulate 2023 sales goals and will provide active coaching around those goals. We also offer twice-weekly educational sessions and peak producers’ sessions every week to help agents tap into their sphere of influence more effectively.”
“As I was reminded at the conference, the strength of being among peers is undeniable. With the international Century 21® International Conference (ONE21 Experience) coming up in March in Orlando, I want to get as many of my agents there to gain valuable industry knowledge, make lasting connections, and get inspired. My first convention was long ago in San Francisco, where I first experienced that feeling of camaraderie, caring and support among the Century 21® family. Many of the relationships I gained there still exist today.”
“The training, education, fun and laughter that brings us all together can only be felt by attending one of these events. I believe in this deeply and am offering several incentives to help our associates get to the Orlando join me in Orlando at the ONE21 Experience in March. In New Jersey, the real estate market remains strong, and I know our associates will learn and share so much with other agents from diverse markets. As 2022 draws to a close (which is hard to believe!), I look forward to the growth potential we can all enjoy in 2023.”
Regarding professional growth in the coming year, John adds this message to current or aspiring real estate agents and broker owners in the North Jersey area.
“If you are thinking of making a career move to or within real estate, or if you are a broker owner seeking an exit strategy through a merger, please call me at 973-632-4398 for a private conversation.”
Cedarcrest Realty Offers Training and Support for Real Estate Agents at all Levels of Experience
Real estate brokerages may seem pretty much the same to most consumers. But for real estate agents, there are significant differences working at CENTURY 21 Cedarcrest Realty. It’s all in the training and professional development the brokerage provides.
John Sass, broker owner of Cedarcrest Realty, knows how important training and continuing education are in real estate. “We offer training on-site and through C21 online, to help agents through every period of their career build their skills and book of business.”
For newly minted real estate agents in particular, John says that nothing takes the place of live in-house training. “We hold 12 basic training sessions in our office to get new associates acclimated to the business,” he said.
Cedarcrest Realty’s ongoing training and development comprise:
1 – Basic onboarding. Everything new agents need to get set up in the CENTURY 21 system, and all skills necessary to prospect, communicate with (and listen to) buyers and sellers, and modules on basic marketing and customer service—a major point of pride and difference at Cedarcrest Realty, which consistently wins the annual CENTURY 21 Quality Service Award. Mannie Rodriguez, our director of growth and career development, oversees this portion of our training.
For experienced real estate agents new to the CENTURY 21 system, the courses provide a valuable introduction to what’s available to them to continue working on their business—including the proprietary programs we use.
2 – Starting and growing your business. Agents learn how to create a personal database, and maintain and grow their sphere of influence. They also participate in C21 Online training with live, interactive C21 University courses on every real estate topic imaginable.
“There are so many tools available throughout the CENTURY 21 system such as XCellerate, courses on handling for sale by owner (FSBO) transactions, listing presentations, prospecting tactics, and for more experienced agents, topics such as recruiting a team and building a luxury business,” said John.
Additionally, new agents receive valuable hands-on field training from Jill Savva throughout their first few transactions. She also works with them on how to best use social media to market their listings.
“New agents need someone at those early appointments to make sure they are covering all the bases and get full support in the field, in real time,” explained John. “They may shadow Jill for the first few appointments with buyers and sellers as they gain this experience.” Jill also ensures they understand how to write contracts, and do a market analysis and listing presentation.
3 – Personal coaching. More experienced real estate agents get one-on-one coaching to up-level their business, with John and Dennis Di Sabato, our sales manager. They are coached on how to achieve their personal goals and get sage advice on how to put together and maintain a piece of business to get the transaction to the closing table. Other guidance includes how to transform their personal databases into customers, advocates, and referral sources; hiring an assistant (timing and process) and how to put together a cohesive team; and how to market different types of listings.
“Regardless of how seasoned any of us are, that fresh perspective is so helpful when it comes to seeing new ways to hit goals,” said John. “We want all our associates to know they are never alone, and if they hit a roadblock, Dennis will show them how to continue moving the deal forward. One of our highly productive associates meets with Dennis every day to review his pipeline, look for potential issues, and discuss closing strategy.”
4 – Continuing education. All real estate agents must complete 12 CE credits every two years to renew their licenses. Cedarcrest Realty offers ample opportunities for agents to build their knowledge base through in-office presentations about various topics related to the business of real estate.
5 – Tech tools and office support. CENTURY 21 offers industry-leading tools beyond C21 University and C21 Online. From leads to listings and throughout the transaction process, Cedarcrest Realty agents get unmatched support with:
- Dash – a back office program that pushes out all our listings to various websites.
- Back at You Media – a service that also connects to and shares our listings automatically. Our associates can access the back end to update or enhance the posts as desired.
- The MoxiWorks suite – Moxi Engage leads engine, Moxi Present for market analyses and presentations, Moxi Impress for marketing properties, Moxi Website for creating unique agent websites.
- Unique Properties
- Dotloop for paperless transaction management
- NJ MLS and Garden State MLS (training and full access to our accounts)
- CoStar and LoopNet for commercial transactions
- Listing signs are ordered, put up and taken down for our associates
- We purchase all lock boxes for your listings
- We provide signage and social media marketing for open houses
Spotlight on . . . Mannie Rodriguez, Director of Growth & Career Development
In August, CENTURY 21 Cedarcrest Realty welcomed Manuela “Mannie” Rodriguez to our team as director of growth and career development. In her role, Mannie will recruit new real estate agents, and oversee their training and professional development.
Mannie has nearly 20 years of experience in real estate as an agent, trainer, recruiter, and office manager. She has developed coaching programs and one-on-one training for real estate agents, created programs to elevate performance standards and team productivity, and has a proven track record of increasing sales revenue and client acquisition. Before entering the real estate profession (which includes being part of the CENTURY 21® system), she worked in college admissions and commercial lending.
Aside from her keen interpersonal skills, team-building expertise, and extensive knowledge of what it takes to succeed in real estate, Mannie also brings a passion for performance to our team.
“I’ve been on the front lines of recruiting and development for years and enjoy creating an atmosphere that fosters enthusiasm for and learning about the real estate industry,” she said. “I am very lucky to do what I am passionate about every day, and I’m looking forward to bringing energy and excitement to our team, while discovering motivated talent that wants to become part of CENTURY 21®.”
Mannie has set her sights on growing the Cedarcrest Realty team with real estate associates at all levels of experience. In addition to training them on the online tools and resources available from CENTURY 21®, she will also provide professional guidance for new agents. Outside of the office, expect to see Mannie—a veteran networker—at area chambers of commerce and other business associations as part of her business development activities.
Mannie added that it’s the go-getter attitude she’s looking for to build the Cedarcrest Realty team. “I’m proud of my track record and am looking for agents who share that same thirst for success I had when I started out in real estate.”
She noted how the real estate field, like so many others, has evolved over the past 20 years.
“Real estate is no longer paper driven; it’s about being online and social media is the name of the game. But I understand that not everyone is at the same level of comfort or know-how with technology and that’s OK! I am here to partner with our associates, motivate them, and provide the skills and support they need to run a successful and productive real estate business,” she said.
Broker owner John Sass said that “Mannie’s passion for coaching and professional development aligns so well with my vision for the future of our agency. Her enthusiasm and ‘can do’ attitude will infuse our offices with tremendous energy. She understands the system’s digital tools and how they benefit our agents, and as younger recruits come in, they’ll have strong support here. The CENTURY 21 culture—one of relentless excellence and an elevated real estate experience for our customers—is in good hands with Mannie.”
Anyone interested in career opportunities at CENTURY 21 Cedarcrest Realty should call the Caldwell office at (973) 228-1050 or email Mannie Rodriguez at Manniec21cedarcrest@gmail.com. More information about the brokerage is at https://century21cedarcrest.com/.
How Rising Rates are Affecting the NJ Real Estate Market
We all know mortgage interest rates have been rising in recent months. But how has this affected the New Jersey real estate market?
In North Jersey, the real estate market is still very active. But as always, we find that when a house is priced right at a competitive market rate, home sellers will see a lot of prospective buyers come through, bidding wars continue (although now at more moderate levels than in recent years), and the seller is likely to see five to ten contracts.
Strategic pricing yields the best home sale results
“The age-old wisdom about listing prices still applies,” said John Sass, broker owner of CENTURY 21 Cedarcrest Realty. “When you price a home at market level, you’ll get a lot of buyer interest and activity. There is still a high likelihood of a bidding war with homes selling at around 4% over asking.”
Sass notes that the market has shifted regarding pricing strategy. “Years ago, you would price a house slightly below market and if it was truly worth more, the buying public would bid it up. Today, I advise sellers against overpricing a home. You can’t do that and hope it will increase in value. The best practice is to price it according to comp sales in your neighborhood, which makes it competitive.”
He said that pricing a house competitively will yield a lot of interest and showings, and result in the home selling for several percentage points over asking price, an ongoing trend in NJ that he foresees continuing through the rest of 2022.
“Even in a market that’s in flux, as we are experiencing now, strategic pricing is king.”
NAR report on NJ home sales and pricing
According to a report from New Jersey REALTORS (NAR) of home sales data in June 2022, rising inflation, interest rates and prices are slowing the housing market. However, some trends have not changed according to these June statistics:
- Pending home sales pace weakened by 8.6% and fell 20% from a year ago
- Closed sales were down 15.2%
- However, the median sales price statewide increased by 10.8%, showing that demand is still high; buyers are hungry and willing to pay
- In fact, NJ sales prices were 104.4% of asking price (buyers paid 4.4% over asking)
Rising appreciation puts buyers ahead
John Sass noted that over the lifespan of real estate record keeping, the average percentage increase in home appreciation has risen from 3.5% to 4.5% today; so, although prices may be declining somewhat and sales are slowing down, the NJ market is still going strong. And for buyers looking for a long-term home, it is still a great time to buy, even with the interest rates on the rise.
“For home buyers who plan to stay in the house for 10 or more years, they will end up ahead of the game when they go to sell,” he said. “Even though mortgage rates may go up again in the next year or so, they will eventually drop. At that point, the homeowner can refinance the mortgage and when they’re ready, they’ll sell a home that’s worth more money than when they bought.”
Buying or selling a home? Start at Cedarcrest Realty
CENTURY 21 Cedarcrest Realty has listings at all price ranges, in towns throughout North Jersey and beyond. If you’re on the market to buy, our associates will work with you to find the house that best fits your needs and help you negotiate the best price. If you are listing your home, we help you price it right to get the most interest and sell quickly. Visit our offices in Caldwell and Little Falls to get started.
Real Estate Tip: Why You Need a Home Appraisal
The North Jersey housing market is still hot, and many cash buyers are waiving their home appraisals. But there are many reasons why a home appraisal protects you and this most important investment.
You’ve finally gotten here. You have enough money to pay cash for your dream home. It feels great being able to afford a home without the need for financing or mortgage loans. In New Jersey, the housing market is still a hot seller’s market and when it comes to buying a home, time is of the essence. You don’t want to get into an aggressive bidding war, so you might also be tempted to waive the appraisal. But there are numerous reasons why you shouldn’t skip this important step.
What is a Home Appraisal?
A home appraisal is a professional evaluation of a home’s value. A licensed, trained appraiser will assess a house and take several different factors into consideration when calculating the home value.
Appraisals are helpful to homebuyers who want to make sure the price they’re paying is justified. You may want to include an appraisal contingency in the sales contract; this clause lets you walk away from a home purchase if the appraisal comes in too low to justify the agreed-upon purchase price.
Banks and mortgage lenders use the appraised value to determine the highest mortgage amount they are willing to loan a borrower, to ensure that they are not financing an overvalued asset.
Factors that go into a home appraisal
These include:
- Location / neighborhood
- The year the home was built
- Roof, floor, wall, and other construction materials
- Bed/bath total
- Square footage, number of stories
- Foundation, basement, attic features
- Appliances
- Off-street parking, driveway, garage, etc.
- Comparable homes and the overall housing market
Items that can affect an appraisal
- Home location, curb appeal, neighborhood
We’ve all heard the phrase “location, location, location,” but that’s because it’s one of the most important factors in determining your home’s market value. Appraisers are looking for features such as neighborhood amenities, schools, quality of roads, walkability, etc.Curb appeal is the first thing that potential buyers see, so if the outside of your property is unkempt, it could affect your home value. Upgrading your landscaping can help to improve your appraisal value.
You can’t control who you live next to, but your neighbors could still affect the value of your home. Appraisers will check out the other homes in your neighborhood to help determine your property’s value. If your neighbor’s home is visibly more well-maintained than yours, it could hurt your appraisal. On the flip side, unruly pets, unkempt yards, noisy inhabitants, or poorly maintained property could also drive down your property value.
- Maintenance, cosmetic updates, renovations
Maintaining a home is expensive and time-consuming, but neglecting standard maintenance can become a costly problem, and it can affect the value of your home. Therefore, ensuring that your home is clean and well-maintained can go a long way in improving your evaluation. Odors like cigarette smoke, pet smells, or mildew may also be a factor.Keeping your home updated and well-preserved can go a long way in making it a desirable property for potential buyers. Outdated appliances, fixtures, and cabinetry may also negatively affect the marketability of your home. Be careful of making too many home renovations though, as some will not deliver a return on investment.
Other reasons to get a home appraisal
Appraisals can be used for other purposes:
- Before selling your home to gauge appropriate asking price
- Before refinancing your home
- Before applying for a home equity loan
- Applying for other loans
- Appealing tax assessments
Are home appraisals required in New Jersey?
In New Jersey, home appraisals are required for buyers who are using a mortgage loan. Lenders want to make sure that their investment is worthwhile. After all, the home is being used as collateral for the loan. Determining market value is beneficial for both the buyer and the lender.
Even though appraisals are not required in New Jersey for buyers paying in cash, an appraisal will give you and your family an idea of what the home is truly worth.
Buying a home is a big investment. You and your family will potentially be putting hundreds of thousands of dollars on the line for your dream home. You want to make sure that you are making the right decision. The real estate professionals at CENTURY 21 Cedarcrest Realty will assist you throughout every step to ensure your home buying transaction is as smooth and pleasant as possible. We work with home buyers and sellers throughout Essex County, Passaic County, and North Jersey; come into our offices in Caldwell or Little Falls to start your journey!
NJ Police & Firemen: Take Advantage of this Excellent Mortgage Program
New Jersey police officers and firefighters who are buying a home can take advantage of an excellent mortgage program through the Police and Firemen’s Retirement System Mortgage Program. The current rate is only 2.83% (compared to a conventional 30-year mortgage today at 6.699%) so we encourage any first responder who’s on the market for a new primary residence to take advantage of this program, which offers highly favorable mortgage interest rates compared to conventional mortgages for the rest of the borrowing public.
Who qualifies?
The mortgages are available to any currently employed member of a New Jersey police, fire, or EMT department who:
- Is a member of the Police and Firemen’s Retirement System
- Has a minimum of one year of creditable service
- Has paid into the pension for at least one year
- Is buying an owner-occupied house or condo (no investment property or homes larger than a two-family)
The program is backed by the Police and Firemen’s Pension Program, underwritten through the State of New Jersey Housing & Mortgage Finance Agency (NJHMFA), and is administered through private lenders.
Low rate for qualified first responders to buy or refinance
This mortgage program offers police, fire, and EMT personnel very favorable rates that are set twice a year. The rate, which is set at only 1% over the 10-year Treasury bill index, is adjusted twice a year; the next reset will be on August 15. It is less than half of a conventional 30-year fixed rate today and will remain much lower than any prevailing rate available in today’s market for the foreseeable future.
As with any conventional mortgage program, applicants must qualify for the preferential mortgage rate. According to Jeff Greenberg, vice president of mortgage lending at Guaranteed Rate, a participating NJHMFA lender:
- You must have a credit score of at least 620
- You may put down as little as 3%, although Greenberg said that a 5% down payment is more realistic.
- Household income cannot exceed 140% of the yearly median income for your county.
Regarding the last point, Greenberg said that “Some two-income families in New Jersey earn above the threshold, so this program is not for everyone. However, we encourage first responders who are buying a primary residence to consider it because of the great rate and flexibility. It is an excellent loan program for younger, first-time buyers.”
Greenberg added that although many lenders do not include refinancing in the police and firemen’s mortgage program, Guaranteed Rate is extending that ability to first responders who qualify, under certain circumstances.
What to be aware of
-If the homeowner leaves the force (by quitting or termination), he or she must pay off the loan in full because they no longer qualify for the preferential rate. In these cases, the homeowner usually refinances with another lender to pay off the Police and Firemen’s mortgage.
-Retirees with an existing loan may continue to pay it down according to their established schedule without penalty, but they may not apply for a new loan under the program.
-Borrowers will see a $35 monthly service fee as a line item on the monthly statement. This service fee is usually worked into the rate of a conventional mortgage instead of showing up as an extra charge due to the way the program is administered.
-Borrowers pay a loan origination fee $1825; $1500 goes to the lender and $325 to the state.
Beat the rate adjustment if you’re on the market for a home
If you are a member of a New Jersey police, fire, or emergency services department, have at least one year of service, and have paid into the pension program for at least one year, we encourage you to apply for this mortgage program. Although the rate is going up in mid-August (by 1-1.5%), it will still be considerably lower than the current conventional rate at this time. You can contact Jeff Greenberg with questions at Jeffrey.greenberg@rate.com or 973-939-8667, or apply here.
As always, the team at Cedarcrest Realty is here to help you find the perfect home in the area you want, within your budget. We are specialists in Essex and Passaic counties and work with buyers and sellers throughout northern NJ. Come into our Caldwell or Little Falls office, or call us at 973-228-1050 to start your home buying journey.
Creating Curb Appeal North Jersey Buyers Can’t Resist (with Plantings that Deer Avoid)
Ah, the merry month of May when all those April showers bring May flowers. It’s planting and gardening time in northern NJ!
Beautiful landscaping creates awesome curb appeal that your neighbors and potential home buyers will enjoy looking at. And as a North Jersey homeowner, you’ll love driving up to your home and seeing lush plantings and colorful flowers, or stepping out into your backyard where you’ve created a landscaped oasis.
Although the New Jersey real estate market is still super-hot, it’s still important to make your property as attractive as possible to buyers—while also deterring hungry deer who roam many of our North Jersey suburban towns. Here are some landscaping tips to boost curb appeal and reduce deer appeal.
Spring planting for optimal color and beauty
Most flowers bloom in mid-spring and there is plenty of late-spring color to enjoy in North Jersey. Later bloomers include lilacs, mountain laurels, and hawthorns.
If you like tending a vegetable garden and have a sunny spot, it’s time to get your veggies on—and harvest them during the summer into the fall. Corn, melons, squash, beans, peas, carrots and radishes can be planted in May; greens may still be planted (spinach, lettuce). And let’s not forget those Jersey tomatoes!
Get the green going
If you use a landscaping company, talk to your contractor about how to keep your green grass healthy. You may need to plant a different variety of grass depending on your property’s soil and sun conditions. Watering and feeding your lawn is important, of course. In addition to traditional fertilizers, there are organic options that don’t rely on harmful chemicals to nourish your lawn. Edge the grass around sidewalks, paths, and garden beds to keep it neat.
Pop the color
Add fresh greenery, bushes with colored leaves or flowering shrubs to your garden beds. Hanging plants on the porch add a colorful touch as do planters near your doorway, around the pool, or on the patio. Laying mulch down in the garden beds also adds color (shades of brown, black) and helps keep in the moisture. You can plant flowers around standalone trees, and add brick or stone borders to dress up your beds.
Add planters with seasonal flowers around your patio, porch, and under the windows.
Tactics for keeping deer out of your garden bed
Many NJ homeowners want to take the natural route and avoid chemical deer sprays and repellents. Or they don’t want to install (and see) deer fencing around their shrubs. Deer are easily startled, so hanging wind chimes or placing wind spinners around garden can help, as will a motion-activated water sprinkler to scare them away.
You can use botanical solutions as well. Deer do not like strong fragrances. For this reason, many homeowners:
- Sprinkle aromatic spices on their plantings
- Tie scented bar soap around their gardens
- Plant aromatic perennial herbs throughout the garden such as thyme, mint, lavender, tarragon, chives, sage, and rosemary
- Plant a deer-resistant wildflower mix
- Use a little chemical-free repellent (and fertilizer) such as blood meal or fish emulsion
Deer-resistant plants
There is an extensive array of deer-resistant plants available in New Jersey, but they are not all surefire solutions and may not fully deter deer. Aromatic plants and shrubs with thorn-like leaves will help keep them away. Rutgers University has compiled a comprehensive list of plants, rated from A to D, depending on how frequently they may appear on deer menus (and be destroyed). There are annuals and perennials (shade and sun varieties), ornamental grasses, groundcover, and shrubs.
Get ready to show your home
If you’re listing your home on the real estate market, and you’ve completed your curb-appeal preparations, contact CENTURY 21 Cedarcrest Realty. We’ll market your home to buyers who are ready, pre-approved, and anxious to continue the beautiful work you’ve done. We’re experts in Essex County and Passaic County real estate, and work with home buyers and sellers throughout northern NJ. We’ll guide you through every step of the transaction. And your real estate associate might even bring you flowers to celebrate your closing . . . or a beautiful plant for your next home.
How a Renovation Loan Helps Get You into the Home You Want (Warts and All!)
You’ve been looking at houses with your Cedarcrest Realty agent and found one that fits your budget—but needs a lot of cosmetic work to get them looking their best. You see the potential, but you might not see how you can pay for the remodeling the house requires.
You can get a renovation loan to finance the remodeling costs, and get into a home you might not otherwise be able to afford.
What is a home renovation loan?
Renovation financing is used when the home buyer purchases a property in disrepair to the point that it would not pass a regular appraisal inspection. Issues may be a bad heating system, faulty septic system, or substandard roof. The main criterion is that there is something that will not meet government health and safety requirements for a domicile.
A home renovation loan is bundled as part of your mortgage to finance your purchase and proposed renovation. Jeff Greenberg of Guaranteed Rate Mortgage, a CENTURY 21 Cedarcrest Realty expert resource, explains it this way:
“This type of loan product is not for distressed fix-and-flip properties. Renovation financing is meant for buyers to use on neglected properties they intend to use as their primary residence. The renovation loan is backed by a government agency and can help people buy homes that they ordinarily couldn’t afford to get into due to the subsequent renovation costs they’d have to finance.”
How a renovation loan works
If the buyer is using renovation financing, this information is included in the contract’s comment so the seller knows this is part of the transaction, and understands that the timing for the closing may be longer.
- These loans require 45 to 60 days and have many elements to them. There are various disclosures to sign, a checklist for the contractor to complete, and a HUD consultant report must be prepared.
- The home appraiser comes in and provides a report on the necessary work and the contractor writes up estimates based on the report.
- The building contractor must be licensed and insured, provide three references, and understand how the money is disbursed. For example, the first payment is not disbursed until the first phase of work is completed.
- The lender conducts a feasibility study before processing the loan to make sure the home’s value will be enhanced within fair market value.
- The buyer cannot over-improve the home to the point it is taken out of the prevailing market price for similar properties
- The lender will assess if the contractor’s estimates are in line with prevailing renovation costs
- The renovation costs are financed into the mortgage (the seller won’t have to finance the construction costs on a credit card or go for a separate loan after the closing)
- Rates are about .5% higher than a typical mortgage due to the risk involved if the contractor does not complete the job. (An incomplete house is not loan collateral in this circumstance.) The debt-to-income qualifications are the same as a first mortgage.
- The buyer gives a down payment on the sale price and renovation amounts, and can also finance the closing costs on the renovation portion.
- For example, a home sells for $400,000 and needs $50,000 in renovations. The buyer gives a down payment on the full $450,000 and finances the rest together in one mortgage product.
- The buyer has six months from time of closing to complete the work and must hold the loan for at least six months. The buyer can extend the work timeline for another six months if time is needed to complete renovations.
Each government agency for mortgages (FHA, Fannie Mae, Freddie Mac, VA) has a renovation product with its own parameters in terms of loan amount and work allowed. The least restrictive is the FHA, which allows buyers to do any kind of remodeling work as long as you maintain foundation footprint.
Benefits of renovation financing
Renovation financing provides flexibility for buyers and gets everyone to the closing table when a distressed property is for sale.
If a house is in disrepair, you as the buyer are likely be bidding against fewer buyers (since move-in-ready homes are more competitive). If the seller is unwilling or unable to take on the needed repairs, you can close the transaction with the financing needed to get the home in good condition and ready to move in.
“We were delighted to have Jeff present a seminar about renovation loans to our agents, who now have another tool in their real estate toolbox to benefit our customers,” said John Sass, broker owner of CENTURY 21 Cedarcrest Realty. “These loans present our buyers with more opportunities in the North Jersey real estate market, since they can get into a house that has good bones but needs a lot of work. Buyers can take advantage of this loan product to buy the house they want and get to work on it with the financing already in place—and enjoy their new home knowing important cosmetic and structural renovations are taken care of from the start.”
