Kansas City Area Market Update for Spring 2018

The real estate market is complicated. That’s why we’re breaking down some of the latest numbers today.

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We’re already into the second quarter of 2018, so we wanted to take a look at some statistics for the different counties around the Kansas City Metro and look a bit deeper at the monthly numbers to see exactly what’s happening. Let’s start off in Johnson County. For the first quarter of 2018, our median sale price went up about 5.2% to $273,450 from the first quarter of 2017. The average sale price during this time period was also up 4.1% to $324,000. Those are all encouraging statistics. The percentage of asking price received is also up to 98.5%. Homes are staying on the market for an average of 51 days, which is down 5%. Now let’s look at Clay County, Missouri. The median sale price here is up 12% and the average sale price is up 10.7%. Those are some pretty big jumps. The 54 average days on market is down 10.2% as well. Over to the west in Platte County, Missouri, we’re seeing a median sale price of $252,000 which is up 1.6%. The average sale price stayed flat at $276,000. The average days on market here has dropped to 58 days, down 13.1% from last quarter. In Jackson County, Missouri, the average sale price is up 10.5% to $190,049 and the median sale price is up 2.4% to $150,000. The average days on market here is down 13.2% to 59 days. That’s what we’re seeing through the first quarter, but let’s take a quick look at how things panned out last month.

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We want to make you the most educated buyer in the marketplace.

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For the March 2018 real estate market in Kansas City, here are some quick facts. Our change in combined closed sales is down 5.3% and our change in combined average sale price is up 8%. The most concerning statistic, however, is the change in combined supply in new and existing home sales. It’s down by 20.8%. There are far more buyers in the market right now than sellers, making things more competitive for everyone. Inventory is down across the metro by 24.5%, leaving us with just 1.5 months of inventory As far as new homes are concerned, here’s what we’re seeing; Closed sales are up 12% Average sale price is up 3.7% Days on market are up 3.8% Pending sales are down 2% Inventory is up 4.2%, but we’re still in a seller’s market. Here’s the key: If you’re going to be a buyer or seller in the months ahead, make sure you have all the right data and facts pertaining to not only the real estate market, but also the lending environment, the school district, the neighborhood, and even the floor plan that you are looking at. We want to make sure you’re the most educated buyer or seller in the marketplace. For a full breakdown of all the latest numbers in and around the Kansas City Metro, see the graphs here.

If you have any other questions at all about the real estate market or real estate in general, don’t hesitate to give us a call or send us an email. We look forward to hearing from you soon.

The Key Steps of a Mortgage Pre-Approval

If you’re buying a home with a mortgage, you absolutely need to get a pre-approval first. Here’s why.

Want to sell your Kansas City Home? Get a home value report here 

Want to buy a Kansas City home? Search all homes for sale here

There's no doubt about it. It's a very competitive market today if you are looking to buy a home. Inventory is near record lows, and more and more homebuyers are entering the market. This means you need every advantage to grab that perfect home when you do find it. One no-brainer is to get pre-approved for a mortgage. A pre-approval informs you of how much you can borrow and it's something you will need to do at a later point anyway. A pre-approval can mean the difference between having your offer accepted or having to watch your dream home go to somebody else in a crazy market like this. In spite of all these good reasons, less than 10% of buyers who got a mortgage get pre-approved by the lender who originated the loan. In other words, you can definitely get a leg up on the competition by starting your home search at the loan office rather than at the open house.

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A pre-approval definitely gives you a leg up on the competition.

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Here are a few things that you will need: 1. Proof of income. At a minimum, lenders will want to see pay stubs from the past 30 days showing your year-to-date income, two years of federal tax returns, and two years of W2 forms from your employer. 2. Proof of assets. You will need to present statements from your checking, savings, or investment accounts to prove that you have funds for the down payment and closing costs. 3. Good credit. Most lenders reserve the best rates for homebuyers with a credit score of 740 or above. You can still qualify for a mortgage with a lower credit score, but a good lender will also recommend ways that you can improve your credit and qualify for a better loan. These are the biggest and most common things you will need to get pre-approved, though your lender might want to see some other documents as well. Once you are pre-approved, the buying process will be faster, more convenient, and less stressful. Most importantly, it will make it more likely that your offer for that perfect home gets accepted. If you have any questions for me or need any additional assistance, don’t hesitate to give me a call or send me an email. I look forward to hearing from you soon.

Should You Try Your Hand at Home Flipping?

Thanks to popular television shows, the idea of home flipping has attracted a lot of attention recently. But, it isn’t for everyone.

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There are a lot of really entertaining shows on television about the idea of flipping homes, but the reality is a different story. Flipping could reap the results you see on television, but it isn’t as easy as it looks.

The level of success you might see on these shows really comes down to timing the market, and timing the market is hard.

That said, if you’re interested in making money in real estate, the most successful people I’ve seen have been long-term buy and hold investors. The get-rich-quick flipping methods you see on TV just aren’t that realistic.

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Home flipping isn’t for everyone.

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It isn’t that you shouldn’t or can’t try your hand at home flipping, but that you should be careful doing so. If you choose to try it, make sure you’ve got the right professionals backing you up. Home flipping isn’t for everyone.

Having been involved in 2,600 real estate transactions, I know how unpredictable the market can be.

If you have any other questions or would like more information, feel free to give me a call or send me an email. I look forward to hearing from you soon.