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Jan. 19, 2022

Tennessee receives $130,000,000 for home energy assistance as part of American Rescue Plan

Tennessee receives $130,000,000 for home energy assistance as part of American Rescue Plan

As a result of the American Rescue Plan being passed, Tennessee received $130,400,000 for the Low Income Home Energy Assistance Program (LIHEAP) available from October 2021 to September 2022.  Tennessee typically gets TN Home Energy Assistance$66,100,000 annually towards LIHEAP, but the American Rescue Plan added $64.3 million in funds to the LIHEAP.  Nationally LIHEAP money doubled because of the American Rescue Plan. This is the largest appropriation in a single year since the program began.  The American Rescue Plan has also bolstered utility relief programs as part of the Emergency Rental Assistance Program (ERA).  The ERA program can help with past due utility bills as well as with ingoing assistance with energy costs. State & Local Fiscal Recovery Funds can also be deployed to help deliver energy relief to families.

Get information about the TN ERA program by clicking here.  Rent Relief Application

 

Call Nathan Walldorf of The Group Real Estate Brokerage LLC to buy a home or sell a home.  Pass this article along to anyone whom it might help. 423-544-7700

Posted in Market Updates
Dec. 29, 2021

Chattanooga Home Sales in November 2021

Closed home sales in Chattanooga were up by 15.2% in November after having been down slightly the previous 2 months.

Pending Chattanooga home sales were up by 16.4% meaning that December home sales should be good.  The Chattanooga median home sale price is $280,000 (up 13.6%). Newly listed homes went up in November by 5.7%, but there is still only .9 months worth of supply of Chattanooga homes.  At least we ended November with 1,012 homes for sale instead of being under 1,000 like last month.  Call Nathan Walldorf to buy or sell a home at 423-544-7700. 

Posted in Market Updates
Dec. 28, 2021

Chattanooga Home Sales in October 2021

Take a look at how homes sold in October 2021. 

Newly listed homes were down 2%.  The inventory of homes available was down 41.2%. The Chattanooga real estate market only has 1 month of inventory as of the end of October. Pending home sales were up 17.6%, so homes are still selling well. Closed sales were down slightly in September and October by 2.3% and 5.8%.  We've gone from 6 multiple offers on a home to 3 multiple offers on a home, so home buying in Chattanooga is still competitive.  The median home sale price in Chattanooga is up 10% from last year.  Home buyers need to make competitive offers.  For a home seller, it is a great time to sell your Chattanooga home, but you either need a home picked out when you put your home on the market or you need to be prepared to rent a home until you find a new home to buy.  Call or email Nathan Walldorf is you have any questions. 423-544-7700.  NWalldorf@Walldorf.com. 

Posted in Market Updates
Sept. 2, 2021

Experience Matters When Negotiating Multiple Offers

Experience Matters When Negotiating Multiple Offers on a Home

Mary is a friend of mine who I just sold a home to.  After working at Erlanger Hospital for 20 years, she told me that she "wanted something to show for all of her work."  Mary wanted to buy a home, but she was a first time home buyer who was having a hard time getting to an accepted offer during multiple offer situations.  She called me after she had worked with an agent for several months who was not meeting with her fast enough to make offers on homes and who did not know how to make the contract as "skinny" on the extra costs to the seller as possible in order to get an accepted offer.  She was frustrated and had been home shopping for homes since early Spring (it's now September).

Mary had some of the odds stacked against her.  The type of loan she was using sometimes requires repairs to be made, which sellers do not want to do if they do not have to.  She also was not a cash buyer who could waive the appraisal.  She was not in a place to waive the inspection, like some buyers have been doing lately. 

At times when I was representing home sellers in other sales, I saw contracts that escalated the sales price by $2,000 over of the best offer, but then asked the seller to pay for $2,000 worth of title policies for the buyer.  That buyer's agent complained to me that he was not able to get any of his buyer's offers accepted all Spring.  I suggested that he change that practice of asking the seller to pay for the buyer's title policies.  If your agent does not know how to draw up a net proceeds of the sale sheet for you, that agent will not be able to lead you to an offer that will be accepted by a seller. Chattanooga's real estate market is competitive with really low inventory, and you have to make your offer ask for the least amount of concessions as possible in order to buy a home in a multiple offer situation.

Mary closed on her home this week.  A few hours after the closing, she called me.  I though, "Ut oh, what's going on?"  I stepped away from what I was doing and answered her call.  She then told me how clean the house was.  She also told me that the buyer left the refrigerator, that the buyer said she was going to take with her.  It ended up that Mary went to her new home, and she started crying tears of joy.  Then Mary thanked me for helping her get her new home.  Her gratitude made this one of my favorite sales of 2021. 

The moral of the story is that you need an experienced Chattanooga Realtor to help you buy a home right now, not the brand new buyer's agent who called you after you gave Zillow your information.  Call the Chattanooga Realtor who can lead you to a successful home purchase.  Call Nathan Walldorf at 423-544-7700.

Posted in Buying a Home
May 7, 2021

The Difference that Staging a Home to Sell Makes

The Difference that Staging a Home to Sell Makes

I put a home on the market for a good friend of mine and an investor for less than 24 hours before I told her that we could get more money for the home without it looking like a bachelor pad and with it staged.  She agreed to take the home off the market, to let the ten tenants find a new home, and to pay $1,300 for staging.   We were able to put the home back on the market and sell it for $20,000 more than what it would have sold for looking like a bachelor pad.  Take a look at the transformation.  Staging pays off even if you don't hire professionals and simply clean up, pick up, and pack up before selling your home.  Home buyers needs to be able to imagine themselves  in your home with today's style of furniture. 

 

Posted in Selling Your Home
April 15, 2021

What's Best for You When Selling Your Home? Part 2

What's Best for You When Selling Your Home? Part 2

In part 1, we looked at presenting, pricing, and marketing your home professionally as being key to getting you multiple offers on your Chattanooga home.  We also looked at the value of having a professional presentation and at the value of having professional help to interpret your multiple offers.

Today we'll look at 3 other unprofessional pitfalls in selling your Chattanooga home

1) Don't fall for the agent who offers to throw your house in Facebook for you, and see if they can get you a bight.  You may get 1 bight, but you may miss the rest of the market that is dying to buy your home.  That one Facebook bight could cost you the chance to have multiple offers and a sale above the price you are asking in today's Chattanooga real estate market

2) Don't become one of those "MLS only" listings.  If you pay a Realtor less money to simply put your home in the MLS for you, you miss out on all of the professional guidance that you would have along the way when you receive offers, negotiate those offers, negotiate repairs after an inspection of your home, managing your transaction from start to finish, and negotiating your appraisal.  That "MLS only" listing agent will give you no help with this process, because they aren't being paid to give you that help.  Did you know that Realtors have to work extra hard today to make sure your Chattanooga home appraises for the contract price?

The scary thing is that only a few excellent agents, like the Walldorfs, are presenting appraisers with a packet to help the property appraiser for the contract price.  I sold one of these "MLS only" listings, and the seller had no idea what was going on.  His agent collected paperwork for his file but did nothing else for his seller.  It was sad to see that he had no one helping him negotiate or helping him to keep his side of the sale on track.

3) Don't set sail without a captain.  You wouldn't set off to sail around the world without an experienced captain.  Why set off to sell your home without an experienced professional? 

One thing I have found about myself is that I am a leader and an innovator.  I use my innovation and creativity to be sure a home looks its best when it goes up for sale.  For some reason, God has made me a leader.  Everywhere he drops me, I seem to end up in a leadership role in that community.  Part of what I love to do as a Realtor is lead people through their home sale or purchase.  I like making people's Chattanooga home purchase or Chattanooga home sale as smooth as I can for them.  I love to help them solve problems and reach the best agreement possible.  Call me, Nathan Walldorf, to sell your Chattanooga home at 423-544-7700.  Get industry leading and innovative real estate service.

 

Posted in Selling Your Home
April 9, 2021

What's Best for You When Selling Your Chattanooga Home? Part 1

What's Best for You When Selling Your Home?

You will have many options today when you think about selling your Chattanooga home.  You can throw it on Zillow using a Zetimate to guide your asking price (that is self-admittedly up to 20% off).  You can sell by owner.  You can do an MLS listing only.  Finally, you can sell your home with a professional Realtor.  What is the value of Realtor anyway?

You want to put your best foot forward when you sell your Chattanooga home.  Part of receiving multiple offers on your home today is how well the home is presented and staged.  If your home looks really sharp on-line, you will have people falling all over themselves to see your home and hopefully get multiple offers.  Multiple offers means a higher sales price for you.  The last thing you want in this great Chattanooga real estate market is to let one person that you know into the home and only have that one person to negotiate with.  A client of mine was able to turn down an offer that was lower than the asking price, because we created so much activity around the house.  What you think you will save in not paying a commission, you will actually get back and more with a good Chattanooga Realtor doing professional marketing for you.

Most people who sell a home by owner either leave money on the table or out price the market.  A 20% margin of error in pricing is $40,000 on a $200,000 home.  Do you want to get $40,000 less than what your home is worth because of a Zestimate or pay a professional somewhere around $12,000 and probably get $50,000 to $60,000 more than you would have on your under priced home?

What if you get multiple offers selling your Chattanooga home by owner?

Will you know how to break down those offers and evaluate the terms of each offer?

We put a nice duplex on the market recently and had 8 offers in less than 24 hours.  More offers came later, but those offers were too late.  We helped our client look at 12 different terms in the contract to truly evaluate which offer was the best.  It ended up that the highest price offer being contingent upon an appraisal was actually going to net the seller less money in the end all than an offer that was slightly lower but was not contingent upon an appraisal.  Would you be able to pick the terms of a contract apart and see which one is the best value for you?

Get professional help to make the most money off of your Chattanooga home sale.  Call Chattanooga Realtor, Nathan Walldorf, at 423-544-7700.

Posted in Selling Your Home
April 5, 2021

Housing in Biden's Infrastructure Proposal

President Biden's Infrastructure Proposal includes plans to "build and rehabilitate more than 500,000 homes for low- and middle-income home buyers." The White House called it "a pathway for more families to buy a home and start building wealth."  The National Association of Realtors (NAR) thanked President Biden saying the following; "NAR thanks President Biden and his administration for recognizing that housing represents a critical piece of our nation's overall infrastructure. While a lack of inventory and rising prices continue to limit opportunities for homeownership – especially for younger Americans and minority populations – policies that support nationwide housing affordability are now more important than ever."

Broadband internet expansion is also a part of President Biden's Infrastructure Proposal.  As many Americans are now working from home due to the pandemic, it is crucial that Americans have access to broadband internet.  On a state of Tennessee level, Realtors have pushed legislators to continue to expand broadband throughout the state as well.  Most home buyers require good internet availability as part of their home search right now. 

The President of NAR, Charlie Oppler, ended his statement of thanks to the President saying, "We look forward to working with Congress and the administration to ensure these proposals are funded responsibly while continuing to promote additional housing inventory,"

 

Call Nathan Walldorf to buy or sell your home at 423-544-7700.

Posted in Market Updates
March 24, 2021

Active First Quarter in Chattanooga Real Estate

Active 1st Quarter of 2021 in Chattanooga Real Estate
The Chattanooga real estate market in the first quarter of 2021 was great as Chattanooga continues to gain national notoriety as a great city to work from home.  Tennessee was Uhaul's number 1 growth state for one way truck rentals coming into the state in 2020.  The low inventory of homes that we have for sale in the Multiple Listing Service supports this fact.  As of March 23rd, there were only 664 homes available for sale.  In mid-March, the number of homes for sale in Chattanooga was down by 65.4% from 1 year ago.  The newly listed Chattanooga homes for sale are down by 8.2%.  The low inventory has lead to homes selling very close to their asking price if not over their asking price (most homes are selling for more than the asking price right now).  The percent of the original list price that people are receiving in February was 99%.  The average days that a home is on the market right now is only 39 days. The median sales price for Chattanooga homes was up by 10.4% in February.  The market has been very active in the first quarter of 2021 with home buyers waiting for homes to come on the market like what they are looking for.  It is a great time to sell a home. Call Chattanooga Realtor, Nathan Walldorf, to help you find a home. 423-544-7700

Posted in Market Updates
March 23, 2021

How to Invest in Real Estate

How to invest in real estate

My wife and I have invested in Chattanooga real estate for the past 8 years.  I have also helped many investors buy investment property that still makes them money today.  These are some of my tips on how to invest in real estate.

    1.    It’s all about the numbers. If you are buying a property to rent it (sometimes called fix and hold or buy and hold) you have to be sure the monthly rent will be more than the monthly expenses to hold the proper so you have some profit. If you are making $200 or more a month after all expenses on a rental, you are doing well.
    2.    Obviously if you are buying a property to remodel and resell it (fix and flip), you have to be able to to fix the property and sell it for more than the amount money that you have in it.
    3.    Consider commission, cost to remodel, and how much you want to make off of the remodel (how much you want to be paid for your work), the cost of insuring the property while you own it, and be sure there is enough profit in the property.
    4.    Do you want multi-family or single family? With multi family you will make $ on the rent collected and not as much on appreciation of the property over time. You also will typically have at least 1 side of a property making money even if the other side is vacant. With a single family home, you should make sure you will still make money off of the rent than what it cost to hold the property, but you should also reap the greatest profit when you re-sell the home down the line. Obviously, the less expensive the house is the better the return that you get. The flip side is the worse the area the worse the tenant will be (most likely).  Think about the kind of tenant you want when you choose to buy a property.  You want the tenant who pays the rent and does not destroy your property.

    5.    Make sure that you have a lease agreement and a way to check a potential tenant's credit.
    6.    Lastly, if you decide to be a landlord, please remember that you cannot decide to not rent to someone based on race, color, creed, national origin, gender, age, familial status, and disability. If you do that, you could end up in a large law suite. If you can’t do that, hire a property manager to rent the property for you or don't get in the rental business at all.

Nathan Walldorf has a system to help you set up your rental property business.  Call him and see how he can help you. 423-544-7700