Let’s talk about boundaries…
Do you set real boundaries or do you let your clients run your life?
It took us a while to learn how to set good boundaries. We used to feel this constant pressure to always be available, 24/7, no matter what we were doing. We’d pick up every call, even if we were in the middle of family dinner. We’d answer every text and email the moment it came in. Clients got our best, and everyone else got the rest.
But later in our careers we learned that, really, our clients respect us more when we set realistic, healthy boundaries. You can still offer excellent service, even if you don’t pick up the phone during dinner!
- James & David
Forbes asked several housing market experts how they think the market will change over the next five years. Between now and 2027, they expect the market to be impacted by these key factors:
Overall, we agree with these predictions. Another factor that we’d add to this list: more aggressive buyers. While supply remains low, buyers will keep angling any way they can to get their hands on property, and this will give sellers more leverage. If they can pick from dozens of offers, they’re going to choose the cash buyer, the pre-approved buyer, or the buyer with the strongest offer.
Let’s say “Timberrrr” because lumber prices are dropping fast. Much to the relief of home builders, lumber is down to just $829 per thousand board feet. That’s a 39% drop just since March, and a huge decline from last May when lumber peaked at $1,733 per thousand board feet. Business Insider chalks this sharp decline up to inflation weakening the home improvement market and putting a halt to renovations.
According to The Real Deal, March’s declining lumber prices could spark a new-build frenzy among developers. New housing starts for privately owned homes were already up 22.3% in February.
This is great news for developers. Cheaper lumber lowers their cost basis, which means they can afford to pay more for tear-down properties. That’s going to further stimulate demand from developers and builders. While this could increase inventory in the long term, right now, more builders with more cash means that we’ll likely see an increase in the competition for potential development properties.
During the pandemic, the demand for second homes soared as people wanted to escape crowded cities and explore remote work. But in the past two months, that demand has plummeted. Forbes attributes the drop to these factors:
We believe the rising lending fee for vacation homes is the biggest reason behind the drop in demand. Unless your buyers are using all cash, this is an expensive fee charged on top of rising rates. But the drop in second-home buyers probably won’t impact prices anytime soon. Primary home demand is still very high, even in neighborhoods where second-home buyers used to look. With such a severe housing shortage, this shouldn’t impact the market at all.
The news that just missed the cut
Advice from James and David to win the day
Building your business through social media is crucial these days. We try to maximize our time and our reach by using these three strategies:
Want more social media tips? Check out our in-depth strategy article here.
You ask, James and David answer!
Keep the latest industry data in your back pocket with today’s mortgage rates:
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Have a great weekend!
- James and David
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