BJ Conner's Monthly Newsletter
June 2018  

 

The summer calendar for Hot Springs Village is loaded with fun and exciting events from Tri-the-Village triathlon to a multi-day 4th of July celebration. Make your plans to visit soon!

Remember, I can help you get luxury accommodations at HUGE discounts.

Just give me a call at 501-915-2297 or email me at  bjconner@remax.net.

BJ

Will Home Prices Fall as Mortgage Rates Rise?

Mortgage interest rates
have increased by more than half of a point since the beginning of the year. They are projected to increase by an additional half of a point by year's end. Because of this increase in rates, some are guessing that home prices will depreciate.
However, some prominent experts in the housing industry doubt that home values will be negatively impacted by the rise in rates.

Mark Fleming, First American's Chief Economist:
 "Understanding the resiliency of the housing market in a rising mortgage rate environment puts the likely rise in mortgage rates into perspective - they are unlikely to materially impact the housing market...
The driving force behind the increase are healthy economic conditions...The healthy economy encourages more home ownership demand and spurs household income growth, which increases consumer house-buying power. Mortgage rates are on the rise because of a stronger economy and our housing market is well positioned to adapt."

Terry Loebs, Founder of Pulsenomics:
   "Constrained home supply, persistent demand, very low unemployment, and steady economic growth have given a jolt to the near-term outlook for U.S. home prices. These conditions are overshadowing concerns that mortgage rate increases expected this year might quash the appetite of prospective home buyers."

Laurie Goodman, Co-director of the Housing Finance Policy Center at the Urban Institute:
   "Higher interest rates are generally positive for home prices, despite decreasing affordability...There were only three periods of prolonged higher rates in 1994, 2000, and the 'taper tantrum' in 2013. In each period, home price appreciation was robust."

Industry reports are also calling for substantial home price appreciation this year. Here are three examples:
  • The Home Price Expectation Survey says that prices will appreciate by 5.8% this year.
  • The Freddie Mac Outlook Report is looking for home prices to appreciate by around 7% in 2018.
  • The CoreLogic HPI Forecast indicates that home prices will increase by 5.2% on a year-over-year basis.
Bottom Line
As Freddie Mac reported earlier this year in their Insights Report, "Nowhere to go but up? How increasing mortgage rates could affect housing,"
   "As mortgage rates increase, the demand for home purchases will likely remain strong relative to the constrained supply and continue to put upward pressure on home prices."
Selling Your House on Your Own Could Cost You

In this extremely hot real estate market, some homeowners might consider selling their homes on their own which is known as a For Sale by Owner (FSBO). They rationalize that they don't need a real estate agent and believe that they can save the fee for the services a real estate agent offers.

However, a study by Collateral Analytics reveals that FSBOs don't actually save anything, and in some cases may be costing themselves more, by not listing with an agent.

In the study, they analyzed home sales in a variety of markets. The data showed that:
   "FSBOs tend to sell for lower prices than comparable home sales, and in many cases below the average differential represented by the prevailing commission rate." (emphasis added)

Why would FSBOs net less money than if they had used an agent?
The study makes several suggestions:

"There could be systematic bias on the buyer side as well. FSBO sales might attract more strategic buyers than MLS sales, particularly buyers who rationalize lower-priced bids with the logic that the seller is "saving" a traditional commission. Such buyers might specifically search for and target sellers who are not getting representational assistance from agents." In other words, 'bargain lookers' might shop FSBOs more often.

"Experienced agents are experts at 'staging' homes for sale" which could bring more money for the home.

"Properties listed with a broker that is a member of the local MLS will be listed online with all other participating broker websites, marketing the home to a much larger buyer population. And those MLS properties generally offer compensation to agents who represent buyers, incentivizing them to show and sell the property and again potentially enlarging the buyer pool." If more buyers see a home, the greater the chances are that there could be a bidding war for the property.

Conclusions from the study:
FSBOs achieve prices significantly lower than those from similar properties sold by Realtors using the MLS. The data suggests the average price was near 6% lower for FSBO sales of similar properties.

Bottom Line
As Dave Ramsey, America's trusted voice on money, explains:
"Research has shown that, between mistakes, lack of negotiating skills, pricing errors and general exposure on the market, you'll cost yourself more than the real estate commission...You'll come out slightly better and with a lot less hassle if you use a top-shelf agent."




RE /MAX of Hot Springs Village 
presents...

Hot Springs Village. It's a great place to live.

"Escape to the Ouachitas" is a resource to learn more about all that Hot Springs Village and the Ouachita Region have to offer. From our nine world-class golf courses and more than 30 miles of trails, to 11 beautiful lakes and various sporting clubs, we think you'll find something that appeals to you. Our residents are an eclectic bunch, hailing from across the country and around the world.

Visit Hot Springs Village once and we think you'll want to stay for a lifetime.

Click on the image above to begin your Ouachita Adventure. Stop by our office to pick up a copy today.
Community Events

Friends and neighbors get together throughout the year for community events and holiday celebrations including dances, karaoke, Rock Porch sessions, Farm-to-Table events, and more. The Woodlands Auditorium is the performing arts center and has musicals, dramas, and dance, vocal and choral presentations. Way Point at DeSoto Marina is home to Basecamp and the setting for events such as Rock Porch sessions, Crawfish boils and more. Grove Park is an outdoor venue and home to the farmers' market, artisan market, live outdoor concerts, holiday celebrations and community events. 
 
Check out the event calendar or buy tickets by clicking the image. 
Discover Hot Springs Village this Summer!
Discover Hot Springs Village this Summer!
Jun/Jul 2018
Hot Springs Village Homes Magazine The RE /MAX Collection

Click the magazine picture to view the latest Hot Springs Village Homes Magazine.
 
The Ouachita Mountain area's natural beauty: Breathtaking vistas, blossoming forest and gleaming lakes, combined with its mild climate, reasonable property taxes and low cost of living make it the perfect place to call home. 
 
Available real estate spans from very affordable to affluent, with homes priced from under $100,000 to over $1 million. The variety of homes ranges from golf-front to lake-front, mountain-view or wooded. RE/MAX offers an assortment of quality property lots for sale, commercial real estate and long-term rental properties too. 
 

Check out my
Featured Listings for this month below
Email to schedule a private tour or learn more about these great properties.
MLS # 16005621

 4 Bd., 3Ba.,  4,464 Sq. ft.

   $448,000
194 Empinado Way

French country dream home! Professionally designed colors & window treatments, beautiful exposed beams in living & kitchen areas, 4 fireplaces, master suite on main level, guest suite & office upstairs, guest suite, wet bar, game room, downstairs! Custom features throughout! Gourmet kitchen with upscale appliance package, new roof, Bennett bros. Landscape, underground fence, lovely wooded area with fall and winter mountain/lake view! 

Link to Listing
MLS # 18012109

2 Bd., 3 Ba.,  3,223 Sq. ft.

 $389,900
27 Asombroso Lane

Come see this gorgeous home built by Ben White, that provides panoramic views through walls of windows of the #5 Fairway of the beautiful Granada Golf Course. It offers a lovely chefs kitchen with center island, granite, stainless steel appliances, pull out cabinets, walk-in pantry, bay window in master bedroom, wood
 floors, split bedrooms, study,
volume & tray ceilings, built-ins,
open floor plan, oversized 2-car
garage plus golf cart storage,
workshop, & tons of storage
on lower level.

Link to Listing
MLS # 18012478

 3 Bd., 3 Ba.,  3,942 Sq. ft.

 $339,000
15 Loyola Place  

This all brick 3 BR, 3 Bath beauty is located on a cul-de-sac on the 13th fairway of Diamante Golf Course. The home has everything including volume ceilings, huge game room, jetted tub, separate shower in master suite, split floor plan with Jack-n-Jill Guest Bath, skylights, Pro Ice Maker, Sub-Zero Refrig., many built-ins, lots of storage, beautifully landscaped with irrigation system and large circular drive.

Link to Listing
MLS # 17029165

3 Bd., 2.5 Ba.,  3,086 Sq. ft.

$284,000
27 Loyola Drive

Enjoy wonderful outdoor space & unlimited golf with this 3086 sf home located on #11 Fairway of Diamante Golf Course-covered & uncovered patio & hottub for those cool nights. Volume Ceilings, Split Bedrooms, skylight, kitchen island, built-in cabinets & two built-in desks with pullouts, huge master bedroom plus a bonus room upstairs, 3-car garage,with common property on both sides for added privacy. Zoned heat, workshop, new roof-2009, new HVAC-2013 & new leaf guards in 2017 makes this a perfect retreat.

Link to Listing
MLS #  18004740
 
4 Bd., 3  Ba., 2,538  Sq. ft.

$224,900
126 Santistaban Way

Come See this Immaculate Cream Puff - just waiting for you. Built in 1999, this one owner home offers beautiful low maintenance landscaping with inviting water feature, & lots of privacy with common property on one side & vacant lot next door available for purchase. Other features include safe room, craft room, crown molding throughout, wood floors, granite counter tops, pull out cabinets, walk-in shower, split bedrooms, two master suites, inviting sunroom, and site built
storage building.

MLS #  18004740

2 Bd., 2 Ba., 1,800  Sq. ft.

$139,900
31 Alicante Road

You will fall in love with this charming, light & bright Bungalow situated in the middle of Hot Springs Village-gated community! The second floor offers one bedroom & bath, plus game room or could be third bedroom, This one-owner home has an open floor plan, new roof in 2017, HVAC in 2000, a two-car carport & a storage shed, The balcony stairway overlooks the great room, & ceramic tile countertops, ceramic tile in the bathrooms, ceramic tile floors & vinyl exterior complete this low maintenance home.

Community Calendar

Check out the Hot Springs Village Community Calendar (click on the image)  
Outdoor Adventure

Hot Springs Village Basecamp is your launching point to outdoor adventure. 
 
If you enjoy life outside, you'll want to be part of Basecamp. Keep an eye on the calendar and Facebook announcing upcoming events, local activities and road trips. Then, grab your gear and get ready to enjoy the great outdoors!

Sporting Traditions

The Ouachita Rod & Gun Club is focused on bringing folks together to celebrate sporting traditions. We believe in good fun, food and fellowship in the great outdoors. It doesn't matter if you are seasoned by years in the outdoors or just want to meet some new friends. There is a place for you in the Ouachita Rod & Gun Club.
Mortgage Calculator

There are two types of mortgages popular in Arkansas. Fixed-rate mortgages, or FRMs, are those that include principle and interest in the monthly payment amount and are stable throughout the life of the loan, and adjustable-rate mortgages, or ARMs, are loans that include principle and interest that change periodically throughout the life of the loan. Both FRMs and ARMs are available in 10, 15, 20, 30, and even some 40 year increments, and can be either first mortgages, second mortgages, or refinance options.
 
Click on the image above to connect to the Mortgage Calculator and learn more about mortgages in Arkansas.
State Weeks

The Hot Springs Village State Weeks promotion allows guests from across the country to enjoy our amenities at reduced rates during their state week. 

While here, discover all that Hot Springs Village has to offer; schedule a community tour with me!

Check out the State Week calendar by clicking the USA image.

remax

Visit our RE/MAX of Hot Springs Village office conveniently located at
1400 DeSoto Boulevard
on the corner of Desoto Blvd. & Ponce de Leon Drive.
 
***FREE***
Village Information
 Cup of STARBUCKS!  


Recipe of the Month
 
Tomato and Burrata Salad  
 
Ingredients
  • 1 vine-ripened tomato, cored and cut into 1/2-inch slices
  • sea salt and freshly ground black pepper to taste
  • 1/4 cup Burrata cheese, or more to taste
  • 1 tbsp torn fresh basil leaves, or to taste
  • 1 tbsp extra-virgin olive oil
Instructions
Place bottom tomato slice onto a plate and season with sea salt and black pepper. Spread burrata cheese over tomato slice and top with torn basil leaves. Drizzle with olive oil. Top with next tomato slice. Repeat cheese-tomato layering process with remaining slices, finishing with top tomato slice.
BJ Conner Associate Broker GRI, RCC |  RE/MAX of Hot Springs Village
STAY CONNECTED: