How Women Have Changed Real Estate

March 15, 2021

How Women Have Changed Real Estate

For many years, women found it difficult to break into the real estate industry. It wasn’t until the early 1980s that women could even purchase real estate without a male co-signer. Fortunately, things have changed, and now female agents outnumber male agents 2 to 1. Why? Since March is International Women in Business month, we wanted to take a closer look.

Woman-Owned Business

Research has consistently shown that women in leadership help businesses thrive in many ways. Women-owned companies generate higher revenues than those owned by men. A recent study by Boston Consulting Group found that businesses founded or co-founded by women generate 10% more cumulative revenue over a five-year period than those run by men, even though only a small percentage of U.S. businesses are owned by women.

The reasons why women excel in business are numerous. While men tend focus on discussing problems, women fully evaluate problems to find solutions. Because women tend to communicate better and with higher empathy and co-workers generally find them easier to talk to. Women also tend to be more collaborative than men. This helps them better understand the needs of their team.

When it comes to the real estate industry, women excel. Selling homes requires strong network connections, good communication skills, familiarity with local areas, and firm negotiation skills. All of these attributes come naturally to women. Because of their high level of empathy and persistence, women tend to better understand and be more sensitive to the needs of clients. This helps women in real estate ensure higher customer satisfaction.

Women Make Most Home Buying Decisions

According to Bloomberg, women drive nearly 80 percent of consumer purchases. From vehicles to real estate, women dominate purchasing decisions. In fact, women make around 91% of all home buying decisions. They are the force that turns a house into a home.

When shopping for a new home, women better understand what their family wants and needs. They’re also better at discussing these needs than men. Another huge trends is that women no longer wait for marriage or children to purchase a home, it’s becoming more common for young, single women to purchase homes and investment properties.

Why Strategic?

We create winning sales and marketing programs for communities throughout Southern California. As a female based business, we understand what buyers are looking for and how to properly market homes. We work directly with our developers and builders to maximize budgets and ensure the right message reaches the right buyer.

Strategic Sales and Marketing offers a variety of real estate sales and marketing services. Our team has years of experience working with the real estate industry and understands the steps required to identify and connect with potential buyers.

Impact of Solar Energy On New & Used Homes

February 15, 2021

Impact of Solar Energy On New & Used Homes

As Americans are making environmental efforts, alternative forms of renewable energy are becoming more popular. We see this every day with the rise of electric cars on the road. For homeowners looking to reduce their carbon footprint, solar energy provides many benefits. The right solar panel system can fulfill the electricity needs of an entire household while creating around 80% fewer carbon emissions than fossil fuels.

Installing solar panels does much more than reduce energy bills. Unlike fossil fuels, solar energy is a renewable source which require very little maintenance and have no moving parts. Homeowners only need to clean the panels a couple of times each year and replace the inverter every 5-10 years.

Solar energy may soon replace traditional energy systems in several applications. Scientists continue to improve solar power technology to meet the needs of consumers and businesses. It’s expected that solar panels will be even more efficient in the future.

California Solar Mandate

The California Solar Mandate, which went into effect on January 1, 2020, requires new construction multi-family and single-family homes up to three-stories high to have a solar photovalic (PV) system as an electricity source. In order to comply with the mandate, the solar panel system must be large enough to meet the estimated annual electricity needs of the building.

Mortgage Considerations

While most homeowners understand the benefits of installing solar panels, there are a few things to consider before making this purchase. When homeowners purchase solar panels with anything other the cash, the manufacturer can place a Lien or Uniform Commercial Code filing on the property. Designed to create monthly payments, these liens may make it difficult to refinance or sell the property. Fortunately, many solar panel companies will uninstall the system prior to sale. Another factor is the monthly interest cost for leasing the system verses owning the system, which homeowners should consider. That’s why in many cases homeowners will use an equity line or cash reserves to outright buy the system.

Solar Panel Installation – New Home vs. Used Home

When it comes to solar panel installation, the age of the roof makes a big difference. Roofs generally last between 20 and 30 years. Solar systems last at least 25-30 years. Used homes with older roofs may require analysis by a structural engineer. This isn’t a problem when installing solar panels on a newer home.

While new homes will now require solar, buying a used home with solar panels provides benefits as well. Purchasing a used home with a fully owned system provides the greatest benefits. Because the prior owner purchased the solar panels up front, the homeowner avoids problems caused by an existing lease or finance contracts.

What Are 2021 Home Buyers Looking For?

January 15, 2021

What Are 2021 Home Buyers Looking For?

As homebuyers look back at 2020, many are excited to make positive changes in the New Year. The global health emergency impacted people around the globe. In addition to changing the way we interact with others; it also changed the way in which people look at their homes. As stay-at-home orders kept most of us inside, homeowners everywhere realized their existing home didn’t quite meet their needs or the needs of their family. This has led to an increase in people looking to buy in 2021.

Homebuyers today want specific features that will make their life more comfortable. Before selling, homeowners may want to consider making upgrades and improvements. Most prospective buyers will pay a higher price for homes in desirable neighborhoods with the features they need.

Eat-In Kitchens

A recent study conducted by the FMI Foundation found that 94% of U.S. adults are cooking the same amount or more than they did before the pandemic. Of those surveyed, 78% reported they have positive feelings about family meals. In fact, 85% plan to eat family meals more often after the pandemic. It only makes sense that homebuyers want a space for eating with family.

In addition to providing enough space for family to dine together, an eat-in kitchen makes it easier for family members to participate in other activities as well. This large space allows children to complete school assignments, parents to work from home, and family to gather for board games or other activities.

Outdoor Living Space

As people spend more time at home, outdoor living space becomes more important. This is especially true in warmer parts of the country like Southern California. Even a small patio or balcony provides homeowners with a welcome escape from indoors.

In addition to upgraded outdoor lighting fixtures, fire pits and BBQs, and outdoor ceiling fans, homeowners want a fenced-in backyard. A well-constructed fence provides privacy and keeps kids and pets safely inside.

Garage

An increasing number of millennials and first-time buyers are looking to make the switch from apartment life to owning a home. These buyers are looking for something their apartment didn’t offer – a private garage. Parking in a garage extends the life of vehicles and helps keep them at a comfortable temperature during hot weather. A private garage also provides additional security and storage for homebuyers.

Energy Efficiency

An increasing number of homebuyers want energy efficient features. These buyers understand that energy efficient appliances and newer doors and windows reduce energy costs and help protect the environment.

Reasonable Commute

Homebuyers are choosing homes they can live in for many years to come. They want a home located close to everything they may need both now and in the future. These buyers gravitate towards homes located close to shopping, entertainment, good school districts, and employment opportunities.

Holiday Home Safety

December 8, 2020

Holiday Home Safety

The holidays are here and Orange County residents are excited for the opportunity to celebrate. While many people are busy decorating their homes and planning their holiday vacations, it’s important to remember that this time of year presents safety hazards as well. Fortunately, there are some things homeowners can do to protect their home and their family this season.

Holiday Lights

According to the National Fire Protection Association (NFPA), electrical problems are the leading cause of holiday fires. Homeowners that enjoy decorating with lights indoors or outdoors need to take care to ensure proper safety. Before decorating, homeowners should carefully inspect each string of lights for any signs of damage. String lights with exposed wires, corroded sockets, or loose connections should be replaced. When changing bulbs, make sure the new bulbs have the same voltage rating. Using bulbs with a different rating increases the chance of overheating and fire.

Another important safety precaution, homeowners should limit strands to no more than three strings per link. Linking more strings of lights could increase the risk of fire.

Candles

Candles add a magical glow to festivities and play an important part in many holiday traditions. Before lighting candles, check that they are properly mounted on a non-flammable base and that they are kept at least one foot from anything flammable including walls and furniture.

Fireplace Safety

Most of us enjoy warming up next to a fire during the cold months of winter. However, it’s important to make sure your fireplace is properly maintained before and after use. It’s a good idea to have your chimney checked and cleaned each year. This helps remove creosote build-up, which can catch fire during normal use.

Before lighting a fire, make sure the flue is open and remove any decorations surrounding the fireplace. Using a screen helps protect flying embers from entering your home. Always use quality firewood and never throw paper in the fireplace as this can start flash fires.

Keep Living Spaces & Walkways Safe

While most of us in Southern California don’t have to worry about snow, for those living in cooler areas snow and ice can cause a major safety hazard. It’s important that homeowners shovel and scrape driveways and walkways regularly.

It gets dark much earlier in the winter. Make sure all of the lights in the front of your home work properly. In addition to helping you see better when you return home, outside lighting may also deter intruders.

Top 5 Things Homebuyers Are Looking for in New Homes in 2020

October 15, 2020

Top 5 Things Homebuyers Are Looking for in New Homes in 2020

As more people make the switch to working from home and distance learning, many Americans are finding their current home simply does not meet the changing needs of their family. In addition to requiring adequate space to complete work privately, private spaces are becoming more necessary within homes for schooling and connecting to family, even if small. Having a space to relax away from the responsibilities of work or school allows families to separate home and office. This mental separation improves productivity and strengthens relationships.

While some things remain the same, many of the features prospective homebuyers look for in a new home have changed during the pandemic. The following details the top 5 things homebuyers are looking for in a new home this year.

More Rooms

Remote work and school is driving homebuyers to search for more square footage and separate bedrooms for every member of the family. Plus, homebuyers are looking for homes designed with office spaces and larger great rooms.

Wireless Connectivity

In 2020, more than ever, strong internet connection is not just a luxury, it’s a necessity when buying a home. In addition to enabling control of smart home features, internet connectivity and strong cell service allows for easy communication and fast connection.

Wireless connectivity makes it possible for remote learners to access classes and virtual calls. It allows remote workers to complete tasks and collaborate with teams. Wireless connectivity is required to run streaming services like Hulu and Netflix.

Updated Kitchens & Bathrooms

Regardless of the pandemic, one thing remains the same – new homebuyers want upgraded kitchens and bathrooms. This is especially true for Millennials and first-time homebuyers. According to a study conducted by Metropolitan Regional Information Systems, Inc., 81% of prospective homebuyers believe that updated kitchens and bathrooms are the most important feature when buying a new home.

With many restaurants closed, families are spending more time in the kitchen. In addition to upgraded flooring, countertops, and appliances, homes with large, open-floor kitchens are selling quickly this year.

Yards or More Community Amenities for Relaxation

As statewide restrictions to flatten the curve evolve, many homebuyers are keen to look for private yards, rooftop decks and private community amenities that provide them with outside spaces to relax in. It’s not likely the above-mentioned features will become less important.

Low Maintenance and Energy Efficient Features

Buying a new home is one of the largest purchases a person can make. After purchase, the last thing new homebuyers want is to put a lot of money into maintenance. Prospective homebuyers are looking for low maintenance, move-in ready homes. This also encompasses money spent following the purchase of a new home, an increasing number of homebuyers are looking for new homes with energy efficient features. Features like insulation, double-paned windows, low-flush toilets, energy efficient lighting and appliances can save homeowners a considerable amount of money over time.

Final Thoughts

Especially since the pandemic began, people everywhere have had to adjust and adapt to multiple changes. Businesses have realized that remote working saves money and often makes teams more productive. Schools and parents have discovered the many benefits of virtual learning. Throughout this time, most of us have figured out what we need to move forward.

How Smart Technology Helps Keep Homes Safe and Cool

September 15, 2020

How Smart Technology Helps Keep Homes Safe and Cool

From the cell phones we use to connect with one another to the computers used to complete important tasks, technology plays an important role in most of our lives. While you’re probably familiar with smart phones and computers, homeowners have many more options when it comes to technology for their home.

By connecting home appliances, security systems, and other everyday devices to the internet, homeowners can activate and inactivate just about anything with the click of a button on their cell phone. This smart technology makes life more convenient, reduces energy bills, and increases the security of a home.

Years ago, smart home technology was out of reach for many people. In addition to the high cost of devices and deployment, smart technology was difficult to use. Fortunately, things have changed and smart technology has become more affordable and user-friendly in recent years. In fact, according to a new study by the Consumer Technology Association (CTA), 69% of U.S. households now own at least one smart home device.

Keeping Homes Safe With Smart Technology

Smart technology allows devices to communicate their status throughout the day. This makes it possible for homeowners to take a proactive approach to a wide range of situations. Some of the more impressive smart home options include plugs with auto turn-off, water leak and monitoring devices, and connected security devices with live video feed capabilities.

Smart technology can help homeowners catch leaks faster, preventing mold and damage of property. Connecting security devices to the internet increases home security and helps prevent theft. Smart devices like motion detectors and security cameras can set off a chain of events. When triggered by a potential intruder, smart devices can activate alarms, security lights, and notify the homeowner and/or authorities immediately. These features might prove especially beneficial to rental property owners. Smart technology gives homeowners eyes on their property, regardless of their physical location in the world.

Another benefit of smart home technology, smart doorbells and smart locks alert homeowners when someone is at their front door. In addition to a cell phone alert, some of these smart devices even let homeowners view and communicate with visitors through their doorbell.

Smart Technology Keeps Homes Cool in the Summer

One of the most common smart technology devices, smart thermostats allow homeowners to control the temperature of their home or rental property from a smart phone or computer. During the summer, homeowners can turn on the air shortly before they return home. This ensures a cool and comfortable living space, while avoiding the high energy bills associated with leaving the air running when no one is home. For rental property owners, smart technology makes it possible for owners to set the thermostat to a comfortable temperature for tenants. This ensures an enjoyable experience for tenants while protecting the property owner from energy bill spikes.

Smart Technology Provides Numerous Benefits

Smart technology makes life more convenient, improves safety and security, and increases the value of a home. Many insurance companies even offer discounts to homeowners that implement smart features in their home. Homeowners and homebuyers are strongly encouraged to learn more about smart home technology.

Thinking of Buying a Home? Here’s Why Your Credit Score Matters

August 7, 2020

Thinking of Buying a Home? Here’s Why Your Credit Score Matters

Buying a new home takes careful planning. In addition to deciding on location, features, and appearance, homebuyers must also think about their financing options. While most prospective buyers focus on finding the right home, choosing a mortgage to pay for the purchase is equally important.

Homebuyers will want to secure a mortgage with the lowest interest rate possible and a monthly payment that fits within their budget. In order to accomplish this, it’s recommended that prospective buyers start by cleaning up their credit report and boosting their credit score before applying for a loan.

Prospective Buyers Should Check Their Credit Score

Even buyers that don’t plan to shop for several months or even years could benefit from checking their credit reports periodically. This not only makes you more aware of your credit health, it also helps you catch and resolve issues sooner before they impact your ability to purchase a new home.

Although many people believe it’s better to have no credit than a bad credit score, this isn’t actually true. While having a mediocre credit score could raise the costs involved with buying a home, having no credit could make it impossible to get a mortgage at all.

FICO Score Determines How Much Borrowers Pay For a Home

Lenders look at a borrower’s FICO score to determine interest rates and the resulting interest payments. The higher the score, the lower the interest rate and interest payments will be. For example, let’s look at a $350,000 30-year fixed rate mortgage in California. A homebuyer with a credit score between 760 and 850 might see an APR of 3.778%. Whereas, a homebuyer with a credit score between 620 and 639 will likely see an APR closer to 5.374%. Although it doesn’t sound like a big difference, the second homebuyer will actually pay $119,956 more for the same home. In fact, they’ll pay a whopping $355,485 in interest alone, which is more than the original value of the home. This not only affects the homebuyer in the long run, it also makes their monthly mortgage payments higher.

Improve Your Credit Score Before Shopping for a Home

Once you’ve determined your credit score, it’s important to take the steps needed to boost your score if necessary. The fastest and easiest way to accomplish this is by making sure all accounts are in good standing and by lowering your credit utilization by making larger payments and/or paying off debt. Prospective homebuyers may also benefit from requesting a higher credit limit on the cards used most frequently. As long as you don’t spend against the increased limit, this is one of the fastest ways to reduce credit utilization.

The Problem With Too Much Available Credit

While making regular payments and keeping credit utilization under 30% can increase your credit score and improve your chance of obtaining a favorable interest rate, having too many outstanding credit lines, even if you do not use them, can hurt your FICO score by making you look more risky to lenders.

Borrowers with several open credit accounts often find it difficult to control their spending and keep track of due dates. Even if you have no plans to use open credit accounts, lenders may still see you as a risk. This is why it’s so important to close any credit accounts you do not use before applying for a loan.

Creating the Perfect Outdoor Living Space

July 17, 2020

Creating the Perfect Outdoor Living Space

Summer has officially arrived and many of us are looking forward to spending more time outdoors. Whether you plan to spend your summer reading on your patio, or grilling up delicious meals, it’s important to make sure you create an atmosphere that promotes relaxation and tranquility.

It doesn’t have to take a lot of effort to create the perfect outdoor living space. You don’t even need a lot of room to work with. You just need to maximize the space you have, no matter how big or small.

Create an Indoor-Outdoor Connection

Homeowners can create a comfortable and stylish outdoor living space by adding many of the same luxuries they enjoy in their living room. To create this look, select outdoor furniture with plush cushions and stylish indoor-outdoor lighting fixtures. Homeowners can also add weatherproof artwork, storage units, an overhead fan, bright colored pillows, and gorgeous linens to create a space that’s both stylish and comfortable.

Focus on Color

A little color can make a big difference to the look and feel of an outdoor living space. Consider adding a large, brightly colored patio umbrella to your outdoor area. In addition to providing much needed shade, umbrellas provide an excellent vertical element to patio spaces. You can further enhance this look by matching a boldly colored umbrella with plush chair cushions.

Add Big, Bold Houseplants

Indoor plants grow quickly outdoors, making them perfect for creating a wonderful display and providing shade and privacy. Indoor plants that thrive outside include Fiddle Leaf Ficus, Peace Lily, Philodendron, Croton, Lady Palm, and Sansevieria.

Fix Up Your Old Furniture

A little spray paint can transform old patio furniture, bringing color and excitement to your outdoor living space. You can find a variety of colors and finishes at your local hardware store. Just make sure the color you choose doesn’t clash with the exterior of your home. Using a variety of colors creates or a truly unique look.

Divide the Space

Dividers add privacy and make it possible to create multiple “rooms”. This can work even with relatively small spaces. Strategically place fences, structures, or plants to create walls separating eating spaces, garden areas, and spaces meant for relaxation and rejuvenation.

Let Nature Be Your Guide

Create a gorgeous and inviting open airspace by surrounding it in colorful, fragrant, and cooling plants. Complete this look with wicker furniture and simple patio pavers.

Investing in Real Estate – Is Investment Property Right for You?

July 2, 2020

Investing in Real Estate – Is Investment Property Right for You?

When done right, investing in real estate offers significant benefits. In addition to predictable cash flow and excellent returns, investing in real estate provides tax benefits and portfolio diversification. Real estate investors earn money through multiple sources including:

Rental income
Appreciation
Profit generated by business activities that depend on the property

Savvy investors understand the unique benefits of real estate investing. With a little knowledge and experience, even novice investors can earn significant returns.

Many people wonder if investing in real estate is the right choice for them. Although there is some risk, there are numerous benefits as well. When done right, investment properties provide years of passive income. However, it’s important that individuals looking to invest in real estate do their research and purchase properties in desirable locations. They should also consider seeking out property within California’s Opportunity Zones. This can help ensure the greatest returns.

Generate Cash Flow

Perhaps the greatest benefit of real estate investing is the ability to generate cash flow. Unlike other types of investments which can lose value over time, the money earned from investment properties only gets stronger as owners pay down their mortgage. This make real estate investment an extremely attractive option.

Appreciation

Real estate values increase over time, providing the opportunity for investors to make a sizeable profit when they decide to sell. Another benefit, rental rates increase as well, boosting the amount of income investors earn each month.

Take Advantage of Tax Breaks & Deductions

Real estate investors can take advantage of several tax breaks and deductions. Almost all of the money spent on the cost of owning, operating, and managing investment property is deductible. Investors may even be able to defer capital gains by using a 1031 exchange. This can end up saving investors a considerable amount of money at tax time.

Build Equity

As real estate investors pay down their mortgage, their equity grows. This is important as investors can turn their equity into cash should an unexpected expense occur. In addition to making regular mortgage payments, putting down a larger amount of money at the time of purchase can instantly boost home equity.

Diversify Your Investment Portfolio

Diversification is important for a number of reasons. Spreading funds into different types of investments reduces overall risk. Real estate has a low correlation when compared to other major asset classes. This means that adding a real estate investment to an already diversified portfolio can reduce volatility and provide a higher return per unit of risk.

Increasing the Curb Appeal of Your Home

June 1, 2020

Increasing the Curb Appeal of Your Home

“If all of your remodeling is on the inside but the outside of the house is challenging, you’ll never have a chance to even show the inside.”
– HGTV

In addition to making your home more attractive to potential buyers, increasing the curb appeal of your home increases its value and gives you something you can truly feel proud of. Your home’s exterior is the first thing you see each time you come home. It’s also the first thing your guests see before they walk through your front door. Even if you don’t plan on selling your home anytime soon, taking some time to boost your curb appeal can provide significant benefits.

Upgrade Your Landscape

One of the most effective ways to boost your home’s curb appeal is by adding some fresh greenery and flowers to your landscape. It’s also important to regularly care for your lawn as well. Having a nice landscape can have a huge impact on the overall look and feel of your home.

Even if you don’t have the money to hire a professional landscaper, you can still improve your curb appeal by adding planters and window boxes to the front of your home. However, you’ll want to be careful not to overdo it or combine plants or planters that clash or look out of place.

Choose plants that accentuate and frame key visual points like windows and entryways. If you don’t have room for a standing planter, consider adding a hanging one. Even adding a few carefully planned arrangements can add to your home’s exterior appearance.

Make Your Door Stand Out

Perhaps one of the fastest and easiest ways to boost your curb appeal, painting your front door a bold color can accentuate and enhance your home’s exterior. When selecting a color, make sure it doesn’t clash with the paint of your home. It’s a good idea to check with a paint swatch prior to painting.

Add Outdoor Lighting

A dark entryway not only looks uninviting, it creates a safety issue for your family. Adding carefully planned outdoor lighting can significantly boost your home’s curb appeal while improving the safety and security of your home. This may have an especially positive impact on your home’s value.

Spice Up Your Front Door

Adding a wreath to your front door can add elegance and make guests feel more welcome. This simple touch isn’t just for Christmas or other holidays. You can purchase wreaths year round. For the best results, select a wreath made from preserved or dried greens and florals. Avoid dating the wreath by selecting one that works all season long.

Clean It Up

Many people don’t realize the amount of dirt and grime that builds up on the exterior of their home. Using a power washer, homeowners can remove years of buildup from their siding, porch, walkway, and driveway. If you don’t own a power washer, you can rent one from most big box hardware stores.

Improving the curb appeal of your home doesn’t have to cost a lot of money or take a lot of time. Most of the steps listed above can be completed in just one weekend.