February 2, 2018
Existing Home Sales declined 3.6% in December, falling 2.1% more than expected. The National Association of Realtors® attributed the sales decline in December, which followed three straight months of gains, to a perennial shortage of houses at the lower end of the market. At December’s sales pace, it would take a record low 3.2 months to exhaust the current inventory.
New Home Sales declined 9.3% to a seasonally adjusted annual rate of 625,000 units last month, the largest decrease since August 2016. Unseasonably cold temperatures and hurricane reconstruction efforts likely impacted the decline, as the labor market is strong and homebuyers are eager to purchase. At December’s sales pace it would take 5.7 months to clear the supply of new houses on the market.
Pending Home Sales held steady as homebuyers signed 0.5% more contracts to buy existing homes in December compared to November, as strong demand quickly buys up the few listings available, according to the National Association of Realtors®. The supply of homes for sale at the end of December fell to the lowest level since the NAR began tracking it in 1999.
Supercharge Your Real Estate Lead Generation With These 4 Core Lead Sources
With a finite number of hours in the day, we all want to know how best to use our time for lead generation. Focus on these four core lead sources:
- Your database. Are you maximizing the use of your database? Have you created a map of homes you’ve sold to identify where your plan is working?
- Geographic farm. Do you focus on winning business in specific areas?
- Online marketing. Two-thirds of your digital marketing should feature direct response ads with an immediate call-to-action. One-third should be branding (advertising and Just Sold ads).’
- Open houses. Holding open houses is a tried and true method for winning new leads, and should be part of your lead generation mix.
6 Tips For Nailing The Post-Close Follow-Up
Certainty Home Loans knows the importance of having long-term relationships with our clients. One of the ways we stay connected to our clients after a loan has closed is with a 5-year post-close campaign built and distributed through our CRM. Realtors should also consider the sale as the beginning of a long-term relationship between agent and client. Here are some ideas to continue marketing yourself after the sale:
- A creative follow-up gift doesn’t have to be expensive to be memorable
- Adds clients to your social media and if they’re willing, take a picture with them at closing to post
- Remember each client’s important milestones, such as when they purchased their home from you
- Handwritten “thank you” notes and holiday cards
- Promote informational seminars to past clients so they can bring friends and family
- Newsletters sent quarterly or monthly can be informational, provide neighborhood sales and news
The Construction Numbers To Track To Make A Profit
The following numbers you must know, track and review on an ongoing weekly and monthly basis to keep on track. Without this ongoing, up-to-date knowledge, you’ll never know your costs, be able to track your jobs, estimate the next bid accurately or make a profit.
- Know how much markup you need to cover your overhead and profit for the year.
- Bidding work starts with knowing accurately how much it costs to actually build work.
- Know how much revenue at what markup you need to cover your overhead and then make a profit.
- Invest in a fully integrated accounting package that gives you weekly and monthly job cost updates, so you know your numbers are accurate and timely
Material Trends to Watch in 2018
The following biobased products and technologies inspired by living organisms are predicted to make a splash in design and construction this year.
- Reclaimed Wood provides the visual and tactile warmth of wood with a lower ecological footprint than other materials, including virgin wood
- Bioplastic from Algae creates a pelletized feedstock ready for injection-molding, extrusion, or other typical plastic fabrication processes
- Photovoltaic Glass for use in curtain walls, skylights, spandrels, canopies, walkways, and street furniture
- Biomimetic Insulation has three distinct layers: the inner layer is a black PLA designed to absorb heat; the middle layer is a dense honeycomb of white PET that traps the heat; and the outer layer is a synthetic fur made from translucent recyclable polyamide, which captures stationary air.
- Drones are primarily being used in visual documentation, but the next generation is expected to complete additional tasks, such as traversing difficult terrain or connecting materials in mid-air.