Tag: summer

Cost of Building Materials, Homebuilders, and the Housing Market – July 2021

The housing market has been as hot as the day is long. Are we finally beginning to see a cooldown?

Although the housing market is still expected to favor sellers, we may be at a tipping point. Prices have risen so dramatically that buyers appear to be backing off, and home sales seem to have slowed.

Market Temperature Is Relative

Even with slowing sales, we still see bidding wars and cash offers over asking price. These will likely continue, especially for valuable properties in desirable locations. What we are seeing now is probably a softening of the housing market. Days on the market for properties is increasing, the amount of price cuts are going up, and properties are sitting for a bit longer, especially if they are not the crème de la crème. All this is thanks to a decrease in demand.

Lack of Affordability Is the Coolant

After experiencing a housing surge through the pandemic, the number of mortgage purchase applications appears to be close to pre-pandemic levels. According to a new Redfin study released earlier this week, home sales fell 1.2% from May to June, the largest drop at this time of year on record since at least 2012. In June, we entered a new phase of the housing market; home sales cooled because prices have increased beyond what many buyers can afford.

Builders Still Deal With High Material Costs

In the meantime, builders struggle with supply shortages, elevated costs for building materials — particularly lumber — which has skyrocketed to more than 500% above its January 2020 level. While lumber prices have decreased slightly, those relative “savings” have not yet been realized by remodelers, builders, or consumers yet.

Bullish Builders?

Why are Builders & Developers being so bullish while unemployment ticks up? Because they recognize an opportunity when they see one. Here are two key factors:

Home price growth in the last 12 months: 15-20% year-over-year growth, according to K. Schiller, gives builders an opportunity to profit by selling new homes while demand is hot, and
Interest Rates are relatively low: It is easier and more affordable to get financing for newly build homes.

Housing is not a “Recession-Proof” Market

Is the housing market immune from the effects of other sectors of the economy? Not exactly. In an effort to support the economy in the face of the COVID-19 pandemic, the government chose to intervene, by means of the following:

Foreclosure and Evictions moratorium: preventing those economically impacted by the pandemic from losing their homes. (expiration at end of July)
Extended Unemployment assistance: to give financial support for those whose jobs may have been lost due to the pandemic.
Stimulus Checks: to lend financial support for the general economy at large.
Lower interest rates: the US Treasury has been buying mortgage-backed securities, creating artificial demand to drive down interest rates.

These factors have made it hard to see the effects of the US having lost 6 million jobs from the nation’s pre-covid levels.

However, not all areas in of the US economy have grown much over the last year. In fact, during the job losses, the accumulated debt, and the decline in legal immigration due to COVID, fundamentally, the demand for homes and apartments is not increasing that much. However, the permitting of New House & apartments and the construction of these is increasing a lot to help give relief to the housing shortage that we have been experiencing for several years. The increased inventory may also help bring balance to an overheated market.

Need a hand navigating the housing market?

If you are interested in buying a new or next home, refinancing your current home, or looking to fund a renovation, Benchmark is ready to be in your corner.

Contact your local Benchmark branch. Contact us today for personalized information. Call me yourself or request a call from me. WeI would be honored to provide you with our famous excellent service.

Benchmark brings you home.

Sources:

https://www.nahb.org/news-and-economics/industry-news?q&sortBy=relevance&sortOrder=asc&page=1
https://www.ghba.org/news/
https://www.nar.realtor/
https://reventureconsulting.com/insights/
https://www.housingwire.com/category/mortgage/
https://www.housingwire.com/category/real-estate/housing-market/

Summer Water Conservation Tips For Your Home and Garden

by I Am Benchmark

Being our most important natural resource, conservation of fresh water is a universal responsibility. Here are four simple ways that you may be able to reduce your fresh water footprint and save on your water bill.

Use Less On Lawn Care

Did you know that nearly 60% of a person’s water consumption may be used on lawn and garden care?* Having a great lawn can really keep your home looking its best, but are you giving yours too much love? By just watering at the right time of day, you can prevent evaporation, with means the water sprayed is actually held in the soil to keep your plants and lawn watered throughout the day. It is recommended to water early in the morning, and to avoid watering during windy weather. It also makes sense to limit the amount of time spent watering, and during rainy seasons, it isn’t necessary to water every day. By cutting down on just a few minutes of watering, you’ll save money on utilities, several gallons of water, and your garden will still look stunning!

* http://www.nationalgeographic.com/environment/freshwater/water-conservation-tips/

Mulch Is Soil’s Best Friend

By adding a layer of mulch, you prevent evaporation, keeping soil is kept moist for longer. Not only is mulch water efficient, but it contributes by adding visual contrast to landscaping. Since it comes in a variety of materials and colors, you can also choose a color to accent your house and landscape. Synthetic mulch and wood mulch are the two most popular kinds. Synthetic mulch made from recycled products last for many years, and are a popular choice for playgrounds. Natural wood mulch will need to be replenished annually as it breaks down, improving soil by adding organic matter and slow release compost. If your garden has a lot of water runoff, which mulch is important since some wood mulches can wash away more easily than synthetic (rubber) mulch. Many homeowners prefer wood chips because of their natural look and tendency to stay grounded on windy days.* As wonderful as mulch is, there is another way to be water smart in the garden. You can also use rain barrels to collect rainwater, which is free of chlorine, plus a little added nitrogen picked up in the atmosphere on its way down. Every drop counts!

* http://homeguides.sfgate.com/comparison-between-rubber-mulch-wood-chips-51700.html

Water For Washing

Do you enjoy a relaxing bath at the end of a long day? Did you know that it takes ~70 gallons of water plus the energy required to heat it? Showers are a great water smart alternative since they don’t use nearly as much water, especially with a low flow shower head.*

This goes for washing dishes, too. Typically, water usage for washing dishes isn’t very high, but every little bit adds up. A completely full dishwasher prevents the need to hand wash every dish individually, with the following rinse in the kitchen sink. Modern automatic dishwashers are designed to be efficient and use a minimal amount of water.* Not to mention the time and energy it saves!

* http://www.nationalgeographic.com/environment/freshwater/water-conservation-tips/

Drinking Water

Since bottled water is transported great distances before it is consumed, it is better to avoid it when possible. Many bottled water companies also use a reverse osmosis system to produce their products. Even though Reverse Osmosis (RO) is a popular option for taste and quality, the bigger picture effects on conservation may be surprising. For every gallon purified by RO, four gallons (up to 12) are wasted. By using an inline or gravity water filter, you only use the water you drink, and no water is wasted. Most vendors offer water filters at a reasonable price with many only needing to be replaced once every six months or more. Other kinds of water wise treatments include UV filters, Alkaline Water Ionizers, and others. By finding what works best for you, you can keep your lifestyle and help conserve our most important natural resource.

* http://www.softwaterfiltration.com/water-filters/

7 Summer Home Maintenance Tips

by Benchmark

Summer home maintenance tips to keep your home in top condition:

1. The laundry room

These summer home maintenance tips are often neglected and skipping them leads to increased power usage from dirty filters and possible damage from water or fire.

– Washer

Check hoses for cracks or bubbles
Clean filters and door gaskets
Look for any signs of leakage around the base of the washer

– Dryer

Clean accumulated lint from duct
Remove lint from under and around dryer
Clean vent
Remove filter and wash with dish soap to remove build up

2. Gas Grills

Check for damaged lines or fittings
Ensure there are no leaks
Examine the burners for rust or damage

3. Exterior surfaces

– Driveway and patio

Look for signs of deterioration
Clean and fill in any cracks in concrete or asphalt

– Deck and porch

Check for rot or damage
Replace or repair any damaged wood
Tighten loose planks
Check for loose or missing screws or bolts
Stain or seal exposed wood

4. Security

Examine locks on windows and doors for proper functioning
Replace missing or damaged keys

5. Roof

Inspect from ground
Look for branches or other debris that need removal
If necessary, contact a professional to inspect or repair

6. Weatherproofing

Inspect and clean caulk around doors and windows
Repair or replace as necessary

7. Gutters

These summer home maintenance tips protect your roof and walls from water damage caused by overflowing gutters.

Inspect from ground for damage
Remove accumulated debris
Check downspouts for blockages
Be sure water moves freely through gutters and downspouts, check for leaks

Use these summer home maintenance tips to keep your home safe and in good condition all year round.

Five of the Best Places for Families to Vacation This Summer

by bmadmin

Summer family vacations can be a blast, but picking the right get-away spot can make the difference between a vacation to remember and a vacation you wish you could forget. The following five vacation spots should help you lay the groundwork for summer fun and relaxation.

Walt Disney World (Orlando, Florida)

You can’t go wrong with the happiest place on earth! Your kids will meet their favorite Disney characters, ride classic roller coasters like Space Mountain, see live performances, and more. DisneyWorld is spread out over 30,000 acres and features multiple theme parks, water parks, and golf courses. That’s more fun than you’ll know what to do with.

Hawaii

If your family is willing to brave a long airplane ride, Hawaii should be at the top of your list. There are a host of child-friendly beaches, not to mention a wide range of activities such as snorkeling, whale watching, swimming with dolphins, and the Hawaiian Adventures Water Park. Aloha ʻOe!

The Grand Canyon (Arizona)

The Grand Canyon ranks with DisneyWorld as one of the most popular vacation destinations. 277 miles long and 18 miles deep, this natural wonder is a must-see for the whole family, especially if you’ve never been. When you’ve gotten your fill of this titanic chasm, you can also go hiking, kayaking, rafting, and ride the Grand Canyon Railway.

Circus Circus (Las Vegas, Nevada)

Despite its reputation, Sin City can be a great place to take the family, especially if you stay at Circus Circus. It’s Vegas’s fifth largest casino, and offers a variety of entertainment such as acrobatic shows, arcades, and carnival games. Last but not least, Circus Circus is home to Adventuredome, an indoor theme park with over 20 rides.

Atlantis Resort and Casino (Paradise Island, Bahamas)

Who can say “no” to the Bahamas, especially if you’re combining the Bahamas with a fantasy-adventure experience? This $850 million resort is a recreation of the mysterious lost continent of Atlantis. You’ll have access to beaches, pools, water slides, and exhibit lagoons. You’ll also come across over 50,000 different types of animals, including sharks and stingrays

What places would you recommend for the perfect summer family vacation? Let us know in the comments section.

The 8 “Hottest” Indoor Summer Activities for Kids

by bmadmin

August is here and summer is heating up, so we’re bringing you the 8 “hottest” indoor summer activities. Everyone loves going to the park, throwing a Frisbee, or swimming, but here are some ideas for those days you want to stay inside:

Have a Movie Day – Your kids will love the time spent cuddled up on the couch watching their favorite movie and eating popcorn. Who knows, you might enjoy it so much, it becomes a regular thing.

Paint a Picture – 2 pieces of posterboard and some kids paint can make an afternoon fly by. Take a snack break and have a special treat.

Go Bowling – Many bowling alleys have specials during the week or during work hours. Strap those ugly shoes on and go for it.

Taste Test – Put on blindfolds and figure out what different sauces are. This is fun with fruit too.

Put Together a Puzzle – Dig one of those old puzzles out of the back closet and get everyone to the dining table to help.

Cook Something New – Help your kids be self sufficient and teach them how to cook. Today is great day for a new recipe.

Go Window Shopping at the Mall – Walking around the mall can be fun and great exercise. If you can resist the sales, it can be very cheap too!

Play Go Fish – Do you have any Jacks? No, go fish. This is an all time favorite.