Is the future of the Columbia SC housing market going to see online auctions become the norm? The growing popularity of these online marketplaces could potentially transform the way real estate is bought and sold.
Much like their offline counterparts, these auctions often involve selling foreclosed homes. However, the number of auction sites offering to buy and sell non-distressed properties is growing as well. Unlike traditional foreclosure auctions, the entire bidding process is done online rather than at a courthouse or hotel ballroom.
Online Auction Process for the Columbia SC Housing Market
The online auction process may vary depending on the specific site, but the general process will be the same. The first step in the auction process is to register for the auction site on which you will be bidding, which is usually free.
Most auction sites will provide for a pre-auction bidding period. During this period it is possible to place a (usually limited) number of bids before the auction begins. If a pre-auction bid is sufficient and meets the seller's expectations, you can purchase the property before it ever reaches auction.
After the pre-auction period ends, the online auction begins. Online auctions are similar to traditional auctions except the bidding is done from the convenience of your own home or office. Most auctions include minimum bid increments and have set ending dates which can be slightly extended in the case of aggressive last-minute bidding.
If you are the winning bidder, most sites will send you a confirmation email that is shortly followed up by a phone call from a site representative. Unlike traditional auctions where the winner may have to produce the required funds within hours of winning, online auction sites typically only require a deposit upfront.
The potential for online real estate auctions as the future of the Columbia SC housing market lies in their transparency, their level playing field and their convenience. The ability to bid from the comfort of home coupled with the flexibility of payment options upfront makes buying or selling real estate online an attractive option for prospective buyers and sellers.
Also, the way auctions level the playing field by providing the average person the same opportunity to bid for a property as a large institution has added to their popularity. If these online real estate marketplaces continue to grow and develop, there is a strong possibility that they could truly be the future of how real estate is bought and sold in the Columbia SC housing market. We'll keep you posted as this trend either develops, or dies.
If you're in the market to start looking at the Columbia SC housing market, let us be your guide and advocate. Now more than ever, you need to have a broker on your side when looking for Columbia SC homes or condos.
For more on the Columbia SC housing market, check out our other articles and information at the Columbia SC Real Estate link to your right under Columbia SC Real Estate Categories.
A cool down in the Columbia SC housing market could actually be a good thing. It could actually save us from another inflated housing bubble because things got out of hand too rapidly for the market to sustain the growth.
The fact that the Columbia SC housing market is starting to slow down a little means the recovery is sustainable. The appreciation in Columbia SC home values has not been uniform everywhere throughout the area, and certainly not across the entire country. Some areas did phenomenally better than others.
What's important to remember is that some markets that shot up so quickly fell the furthest so they had a lot further to go on the way back up. These markets are starting to find their own footing, some going way up and some not so much.
In 2014, many analysts are predicting a slower rate of home value appreciation, more in the 3 percent range, as opposed to the 5 to 7 percent many markets experienced in 2013.
Interest Rates Affecting the Columbia SC Housing Market
One driving factor in slowing down the Columbia SC housing market is interest rates moving higher in recent weeks.
The increased rates signal that the days of affordable loans may be over. Mortgage rates have been at historic lows in recent years, triggering a home-buying phenomenon and accelerating the recovery process in the industry. But, since May 2013, mortgage rates have shot up a full percentage point. The hike was triggered after the market received signals from the Federal Reserve that it would slow its bond purchases.
The effect of rising rates is still up for debate. Over the past two months, existing home sales slowed down. But, sales of new homes accelerated in October after three months of weaker performance.
Inventory is still constrained. There were a lot of buyers that were sitting on the sideline waiting for the media to tell people that home values have bottomed. We've now declared that, and buyers are trying to act, only to still find that inventory of homes for sale in the Columbia SC housing market are not exactly bubbling over.
How all of this will affect the Columbia SC housing market in 2014 is anyone's guess. We'll keep a sharp eye on things for you and pass along anything that may significantly affect mortgage rates and the overall Columbia SC housing market.
Get more Columbia SC housing market information, along with other Columbia SC real estate news and information by clicking the Columbia SC Real Estate News link to your right under Columbia SC Real Estate Categories.
Taking a look at Columbia SC real estate predictions for 2014, experts from the Urban Land Institute explain how the rest of the housing recovery will play out in their Emerging Trends Real Estate report. The information came from surveys and interviews with real estate developers, investors, lenders, services and builders.
Trulia's chief economist, Jed Kolko, says buying a home in 2014 will be less affordable as prices continue to rise and rental activity picks up in urban areas.
To stay abreast of market changes and conditions that may affect Columbia SC real estate in 2014 and beyond, stay plugged in to our site and check out our other articles by clicking on the Columbia SC Real Estate News link to your right under Columbia SC Real Estate Categories.
Columbia SC homes are selling more quickly than they were a year ago. That, according to a recent report from Zillow.
The article in Propertywire shows the median time Columbia SC homes spent on the market in September was just eighty six days, a reduction of thirty days compared to the September of the previous year when homes took 116 days to sell.
All thirty of the large metro areas covered in the Zillow report saw a faster rate of home sales than in the previous September, not just Columbia SC homes.
Data from Zillow takes into account that homes can be listed, removed from the listings and re-posted with new prices, and considers multiple listings that have occurred within 40 days for the same address as being just one listing. Their data shows that since the beginning of 2010, homes throughout the US have spent an average of 119 days being listed through Zillow before they are either removed from the market or sold.
Don't Get Caught in a Bidding War for Columbia SC Homes
In a separate report from the National Association of Realtors, more people are searching online for their new home. More than half of buyers start looking for a new property online, and just under half actually find the property they'll eventually purchase in this way. During the search for a new home, some 92% will have looked online at some point in the process.
Even though Columbia SC homes are moving more quickly, experts caution against entering into bidding wars or paying over the odds for property. They point out that buyers need to be prepared to move quickly through having pre-approved mortgages, but expect this need to gradually reduce as inventory levels increase and more new construction takes place.
Now more than ever, you need to have a broker on your side when looking for Columbia SC homes.
For continuous news as it may affect Columbia SC homes and home prices, click the Columbia SC Real Estate News link to your right under our Columbia SC Real Estate Categories.
There is a downside to Columbia SC home prices rising. With improved equity comes higher costs for property taxes and insurance.
Rising Columbia SC Home Prices Could Mean Higher Bills
Rising Columbia SC home prices means you can finally breathe a sigh of relief — especially if you're hoping to sell. But there is a cloud behind that silver lining.
Rising Columbia SC home prices might mean higher bills for you in the coming year because:
- Your property taxes will rise unless your tax rate falls.
- You'll need higher limits on your homeowners insurance coverage to compensate for your higher home value.
Fortunately, you have time do a few things now to reduce your tax bite next year, keep your insurance costs as low as possible, and continue your sigh of relief.
You pay your property taxes based on a formula that generally uses your home's assessed value multiplied by the tax rate. When you home value rises, if the tax rate doesn't fall, your taxes rise. In some locales, tax rates are only adjusted every few years, so your increase might or might not be eminent next year.
However, considering that most local and state government budgets are scraping every penny they can, don't count on the past dictating the future as far as re-assessments go.
If you think your taxes have gone up because Columbia SC home prices have gone up, consider filing an appeal.
Homeowners Insurance Discounts
When your homeowners insurance renewal comes in the mail, call your insurance agent and ask if you can earn a discount for:
- Increasing your deductible.
- Installing a security system.
- Membership in an affinity group like AARP or because of where you work.
- Adding features that protect your home during natural disasters (like hurricane-proofing your roof).
If those cost-cutting measures don't work, focus on the silver lining instead of the cloud. An extra couple hundred a year in property taxes and insurance isn't much in exchange for gaining thousands of dollars in home equity that you can use to finance your child's education, start a business, fund your retirement, or just put in your pocket when you sell.
Get more insurance and tax information by clicking the Columbia SC Insurance link or the link to Taxes to your right under Columbia SC Real Estate Categories.