Mary's Gone Coastal

With our Hurricane season almost upon us, figure this is a good time to repeat one of my favorite subjects with recent information regarding 2022.

After a year without major hurricanes in 2021, the Carolinas might seem overdue for some tropical weather to hit the coastline. And this could be the year as Colorado State University researchers reporting that they expect an “above-normal” year. These researchers typically put out one of the first reports on the upcoming hurricane season each year.

Read more at: https://www.myrtlebeachonline.com/news/weather-news/article260207075.html#storylink=cpy

A question often heard from my buyers is “do I really need Flood Insurance?”  After attending a class from the NC Department of Insurance on flood risks, I respond with the following statements.

• If it rains where you live, you may have a flood risk
• Developments can cause flooding, even away from a body of water. Clear cutting messes with natures built in drainage systems.
• If you live in an area protected by levees or other flood control structures, there is a residual risk that those structures will be overtopped or fail during a more severe event will cause flooding.

Nature does not read flood maps, Hurricane Florence demonstrated that for us clearly here in Brunswick County. Floods are the most common natural disaster in the United States, yet most homeowners’ insurance does not cover flood damage. If you wait until a storm is on its way, it will be too late because there is generally a 30-day waiting period. Once a storm is named you cannot get flood insurance newly issued.

Did you Know:

Flood insurance is not required for homes or buildings in mapped Zone X low risk areas, but it is available. Over 25% of all flood damage occurs in low-risk zones, commonly described as being “outside the mapped flood zone.”

Typical homeowners’ insurance policies do not provide coverage against flood losses. Federally backed flood insurance through the National Flood Insurance Program (NFIP) is made available to homeowners, renters, and business owners in communities that participate in the NFIP Nationwide,.

North Carolina ranks eighth in the number of NFIP policies and ninth in the number of claims to date.

Who needs flood insurance? EVERYONE

For more information contact your local insurance agent. Further information can be found in:

Click to access NCQuickGuide2017.pdf

This is a repeat of my Dec ’21 piece tweaked to emphasize our local market that we are experiencing this first quarter ’22.  Interesting proof included what can happen when not choosing a local realtor.  Costly mistakes were made on behalf of these sellers. Most of these properties sighted are still for sale as of this writing.

Our buying boom and lack of inventory that has been front and center since 2^nd quarter 2021, with no predictions of change in 2022. According to experts, if the mortgage rates stay low and new builds continue to under pace the demand, expect our local resales to continue to feel strong impact and increased prices.  

Being a local resident and realtor here in Southport, I’m seeing an increase in out of area agents representing both buyers and sellers.  An actively licensed North Carolina realtor can buy or sell anywhere in the state.  If they are a paid member for that area’s regional Association of Realtors (ours is Brunswick-BCAR), then they can access property and list in MLS.  If not, they can still show for their buyer clients.   In my opinion, this is no substitute for working with an experienced local realtor. We are physically your boots on the ground, we are literally holding your hand from start to long after finish ensuring your satisfaction.  Real Estate being one of the costliest transactions in life, why risk both time and money not utilizing the local expertise available to you? Did you know in North Carolina, If buying a property that your Buyer’s Agent works for you free of charge? They earn their commission at close from the seller.  Did you know for Selling Agent’s that commissions are negotiable?  Here are 3 good reasons why working with a local realtor is a smart option

. 1. Nobody knows it better

The first and obvious first reason is we know the area. We live here, we know the neighbors on that street, we know the history of that house, we know how Florence and Issiah affected that street (flood zones lie!).  And if we don’t have personal experience with that particular property, we will find out from someone in our local office who will.  We know the lifestyle of that neighborhood; we can point out the details beyond any published amenities.  We know the town, the newest restaurants, the best places to shop for bargains, best places to walk your dog, shortcuts for beach walks, and the list goes on.   A local realtor will maintain a list of professional services that are needed in the real estate transaction.  These are tried and trusted local mortgage specialists, appraisers, landscapers, organizers & designers, electricians, plumbers, home inspectors, insurance agents that we have worked with professionally and likely personally.  Our ‘go to list’ becomes the beginning of your ‘go to list’.  I am constantly updating my vendor list as I hear recommendations or negative experiences from my clients and associates.  As a local and experienced realtor, I have invested heavily in building solid relationships with trustworthy professionals, an advantage when in tight timelines and glitches hit during a transaction needing professional services to accommodate. 

2. Mistakes are made when not local: I recently surfed some of our local listings listed by non Brunswick County agents.  Some messy mistakes that immediately stood out to me as possible stumbling blocks to buyers.  Mistakes like: 1)Arbor Creek listing with driving directions into St James. 2) Mariners Pointe property listing it as subdivision Ocean Lakes (believe that is in Myrtle area). 3)Winding River Bolivia Property listing city target as Southport.  4)Barnes Bluff property saying vacant land go show, there is a gate there that needs a code. 5) Property for sale in the Landing that is not in our Brunswick MLS but only available for agents in Charlotte MLS. 6)Southport lot that lists Belville as elementary school and lists wrong utility providers. 7) BSL lot that lists subdivision as “Southport Heights”, High School as Brunswick Academy, and Buyer agent commission is 10%.  Buyer’s searches based on listing criteria will be affected. I guess you get what you pay for, but these sellers seem to be on the losing side already. 

3. Value Knowledge: Local realtors often have knowledge of homes available for sale even before listed on the market.  Having somebody working for you and knowing what you are looking for can be that small step in knowledge of ideal new listing before it hits the masses online.  We will also know if the home you are looking at is priced too high or too low for the market. We may even know why the house is being sold. This can help you in making an offer to purchase with the highest probability of being accepted.  Being local we could often have the inside scoop if a similar house is coming on next week. Does this help or hurt your sale or purchase? We know the builders on the houses, and their reputation. We know what may be happening with the empty lot next door.

I am one of those local realtors with both integrity and grit, knowing the key facts and players to confidently negotiate the best purchase price for your property.  Do utilize your local real estate agencies, this should be your first step being a buyer or seller in this very tough 2022 market.

Understanding the reasoning behind a home’s price tag can make you a smarter buyer—and help you know exactly what you’re getting for your money. Here are five factors that experienced real estate agents consider before slapping that “For Sale” sign on a home.

1. What’s happening in your local housing market at any particular moment

Low inventory creates a seller’s market with aggressive listing prices. Southport inventory is currently LOW to NON EXISTENT!!!

2. The (extremely specific) location of the house

Yes, you’ve heard the old location adage) but,did you know how granular the idea of “location” gets? East side of town, West side of town, Walking or driving distance to the Waterfront all affects selling price.

3. The comps

Your real estate agent will do a comparable market analysis—what similar homes have recently sold for in the last six months—before determining how to price a property.  Southport sold prices have been on the biggest rise since pre 2008!

4. The amenities (and overall appeal) of the home

Size might not be the major factor for in town home, but could be all about have that highly desired Southport Cottage look. Layout and functionality are huge, but curb appeal also affect the sticker price.

5. Age and condition of the home

In town you can have a range of homes from centuries old to a few years old. Expect to always have to do some work unless you are buying new construction. Don’t expect to automatically see a discounted price tag because repairs are needed. It all depends on the home’s location (see No. 2) and other factors listed.  It is a Sellers market now in Southport, Buyer’s have to accept that fact while it lasts longer and longer.

Brunswick County’s residential real estate market is as healthy as you can get, demand on new housing plus shortages slowing down new construction starts. Add in factor of rising existing home costs is vital to increasing our rental demand in our county. Demand is strong and our inventory remains elusive. Continued low interest rates could help make this time still good for making that rental investment. A few tips to consider first from the experts.

– Invest in Single-family Homes. First Invest in single-family homes first since it’s the simplest way to get started as a new real estate investor. The upkeep is easier than multifamily or commercial properties.

– Know Your Marketing Strategy. Before purchasing be sure you know ahead how and who you will be renting with. A vacant rental loses money. The best places to advertise your rental property are going to be major online real estate marketplaces. We have a number of rental agencies that specialize in this area to get you prequalified tenants.

– Have a Written Lease in Place. Have a very clear lease in place with all details written out so that there’s no confusion about the tenant’s expectations, including smoking or pets allowed. Many rentals have been left severely damaged without clear and written agreements in place.

– Invest in a Vacation Rental Property. Evaluate a potential vacation rental property and look at comparable rental rates on sites like HomeAway and VRBO. Additionally, verify local zoning laws how to properly register your vacation rental and any HOA regulations or local ordinance that may limit
renting out your home to guests.

-Bottom Line
Utilize a local and experienced Real Estate Agent to help you avoid costly mistakes and find answers to all the multitude of questions that pop up during the
investment process. No one knows a local area better than an experienced real
estate agent, and for the buyer this priceless service is usually “free”!

Downsizing is both a financial as well as an emotional decision.  Of course, it can be wrenching to consider a move from a home filled with family memories.  Financially, the gains from that sale could add to your nest egg and reduce monthly housing costs thus enabling more enjoyment for adventures outside the home. Memories and experiences actually are quite portable and stay with you forever.

Or downsizing may be one of those future plans, perhaps when a situation forcibly demands. Consider for a moment instead the moves you can make today will save money now and make it easier on your retirement later.  Why gamble with what the market could be in a few years when the current buying market is strong with low interest rates?  From my own personal experience, the younger you are for the move, the less stressful it will be both emotionally and physically. No matter what you have planned, chances are it’ll cost money. And if you’re already spending too much on housing expenses to afford your dreams while you’re working, you’ll have even less cash to spare when you retire.

The decision is a personal one. Crunch the numbers. Calculate the upfront costs of moving, and compare them to the yearly savings you’ll realize. A small gain probably isn’t worth the trouble, but substantial savings might make selling the best option. Talk to your local realtor to do a market comparison of what your home is worth today.  If downsizing makes sense then make that new location somewhere where you can comfortably age in place.  Consider insurance expenses, property taxes, HOA dues, layout,  a lower physical burden in maintenance, and now too …. a place you can quarantine comfortably.  Will this home allow you to stay for as long as like without having to make modifications for your later years?  So when packing up those memories of your well-loved home; do bring that bucket list of dreams too, everything you can now work on making come true with the extra time and funds created.  

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