John Rice, Broker Associate and REALTOR with Berkshire Hathaway HomeServices Michigan Real Estate has earned the The Pricing Strategy Advisor (PSA) certification. The focus of the PSA certification is to deepen the knowledge and skills set for pricing properties and working through complicated property cases with appraisers. Enhancing pricing skills and practices when advising and serving each buyer and seller.
East Grand Rapids at its finest. This timeless Tudor presents the pinnacle of custom quality, beauty and craftsmanship. Rare custom features such as the slate roof, solid walnut doors and the hand-cut herringbone end-cut block floor showcase the attention to detail throughout this incredible floor plan. Updated with inviting warm colors that showcase the plaster relief ceilings and highlight special details such as the hand carved stone fireplace, cast cornices, and crown moulding. Modern luxuries can be found throughout the home. The 3 stall garage features epoxy floor and finished walls maximizing the space for best use and organization. The half acre double lot offers the perfect mix of sun and shade, with outdoor sitting areas offering a relaxing and private backyard experience. East Grand Rapids at its finest. This timeless Tudor presents the pinnacle of custom quality, beauty and craftsmanship. Rare custom features such as the slate roof, solid walnut doors and the hand-cut herringbone end-cut block floor showcase the attention to detail throughout this incredible floor plan. Updated with inviting warm colors that showcase the plaster relief ceilings and highlight special details such as the hand carved stone fireplace, cast cornices, and crown moulding. Modern luxuries can be found throughout the home. The master suite features a spacious walk-in master closet, heated tile floors, custom tile shower and jet tub. The well-appointed kitchen lets the light shine with ample cabinets and pull out drawers finished in warm satin white, tile floor with complementing granite countertops, double ovens, cook top, Sub-Zero refrigerator, pantry and additional storage spaces. The 3 stall garage features epoxy floor and finished walls maximizing the space for best use and organization. True Tudor touches define every inch such as the Four-centred archways and cantilevered second story, exquisite details in the brick and stone, copper gutters, slate patio and decorative garden parapet. Notice the upper level diamond brick pattern and the complementing diamond window mullions, positioned perfectly to soak in the rising sun. The half acre lot offers the perfect mix of sun and shade, with outdoor sitting areas offering a relaxing and private backyard experience. Impeccably maintained this home offers the smooth transition of ownership you desire.
Location, location, location! This excellent ranch located on the quite cul-de-sac of Oriole Ct, is right next to the 12.5 acre Oriole Park featuring tennis courts, basketball, splash pad, walking trails, playground and more. Enjoy 3 Bedrooms, finished basement, 2 fireplaces, fenced backyard, garage, sidewalks and more! A few of the more recent updates include: newer furnace, newer water heater, and updated electrical. Easy access to major highways, only a few minutes to downtown Grand Rapids and Tanger Outlets. Right down the road from Rivertown Mall, restaurants, movie theater, shopping and entertainment. Schedule your time to see this one today!
The perfect combination of location and floor plan you’ve been looking for! This 3 bedroom 2 full bath home with open floor plan offers living room cathedral ceilings and fireplace, finished walkout basement, loads of natural light, 2 stall attached garage, main floor master, wonderful backyard, cul-de-sac street and sidewalks! Close to many desirable amenities including near Knapp Corner shopping and entertainments, restaurants, Huff Park, only 15 minutes to downtown, easy access to main highways. Schedule your tour today!
This is the location and floor plan you’ve been looking for…This exceptional 2 story features 3 bedrooms 2.5 baths modernized in today’s hottest color pallet, with updated flooring, incredible cathedral ceilings, inviting living room fireplace, private fenced in yard, featuring play equipment, large deck, shade trees, under ground sprinkling, storage shed and a lot that runs 271′ feet deep to the meandering creek. The quiet cul-de-sac street offers sidewalks, and connecting developments allowing for excellent walking and biking riding and connection to the Kent Trails. The convenient location offers easy access to Grandville schools, the Rivertown mall, shopping, entertainment, dining and easy access to major highways. Virtual tour and video walk through available in the photos section. NOTE: DEEP lot goes beyond the fence to the creek
A good look at the numbers and the next step…
Last Friday, the Bureau of Labor Statistics (BLS) released its latest jobs report. It revealed that the economic shutdown made necessary by COVID-19 caused the unemployment rate to jump to 14.7%. Many anticipate that next month the percentage could be even higher. These numbers represent the extreme hardship so many families are experiencing right now. That pain should not be understated.
However, the long-term toll the pandemic will cause should not be overstated either. There have been numerous headlines claiming the current disruption in the economy is akin to the Great Depression, and many of those articles are calling for total Armageddon. Some experts are stepping up to refute those claims.
In a Wall Street Journal (WSJ) article this past weekend, Josh Zumbrun, a national economics correspondent for the Journal explained:
“News stories often describe the coronavirus-induced global economic downturn as the worst since the Great Depression…the comparison does more to terrify than clarify.”
Zumbrun goes on to explain:
“From 1929 to 1933, the economy shrank for 43 consecutive months, according to contemporaneous estimates. Unemployment climbed to nearly 25% before slowly beginning its descent, but it remained above 10% for an entire decade…This time, many economists believe a rebound could begin this year or early next year.”
What makes this time so different?
This was not a structural collapse of the economy, but instead a planned shutdown to help mitigate the virus. Once the virus is contained, the economy will immediately begin to recover. This is nothing like what happened in the 1930s. In the same WSJ article mentioned above, former Federal Reserve Chairman Ben Bernanke, who has done extensive research on the depression in the 1930s, explained:
“The breakdown of the financial system was a major reason for both the Great Depression and the 2007-09 recession.” He went on to say that today – “the banks are stronger and much better capitalized.”
What about the families and small businesses that are suffering right now?
The nation’s collective heart goes out to all. The BLS report, however, showed that ninety percent of the job losses are temporary. In addition, many are getting help surviving this pause in their employment status. During the Great Depression, there were no government-sponsored unemployment insurance or large government subsidies as there are this time.
Today, many families are receiving unemployment benefits and an additional $600 a week. The stimulus package is helping many companies weather the storm. Is there still pain? Of course. The assistance, however, is providing much relief until most can go back to work.
We should look at the current situation for what it is – a predetermined pause placed on the economy. The country will recover once the pandemic ends. Comparisons to any other downturn make little sense. Bernanke put it best:
“I don’t find comparing the current downturn with the Great Depression to be very helpful. The expected duration is much less, and the causes are very different.”
Source: Michigan Real Estate Updates
Will Home Values Appreciate or Depreciate in 2020?
With the housing market staggered to some degree by the health crisis the country is currently facing, some potential purchasers are questioning whether home values will be impacted. The price of any item is determined by supply as well as the market’s demand for that item.
Each month the National Association of Realtors (NAR) surveys “over 50,000 real estate practitioners about their expectations for home sales, prices and market conditions” for the REALTORS Confidence Index.
Their latest edition sheds some light on the relationship between seller traffic (supply) and buyer traffic (demand) during this pandemic.
The map below was created after asking the question: “How would you rate buyer traffic in your area?”The darker the blue, the stronger the demand for homes is in that area. The survey shows that in 34 of the 50 U.S. states, buyer demand is now ‘strong’ and 16 of the 50 states have a ‘stable’ demand.
The index also asks: “How would you rate seller traffic in your area?”As the map above indicates, 46 states and Washington, D.C. reported ‘weak’ seller traffic, 3 states reported ‘stable’ seller traffic, and 1 state reported ‘strong’ seller traffic. This means there are far fewer homes on the market than what is needed to satisfy the needs of buyers looking for homes right now.
With demand still stronger than supply, home values should not depreciate.
What are the experts saying?
Here are the thoughts of three industry experts on the subject:
“We note that inventory as a percent of households sits at the lowest level ever, something we believe will limit the overall degree of home price pressure through the year.”
“Housing supply remains at historically low levels, so house price growth is likely to slow, but it’s not likely to go negative.”
“Two forces prevent a collapse in house prices. First, as we indicated in our earlier research report, U.S. housing markets face a large supply deficit. Second, population growth and pent up household formations provide a tailwind to housing demand.”
Looking at these maps and listening to the experts, it seems that prices will remain stable throughout 2020. If you’re thinking about listing your home, let’s connect to discuss how you can capitalize on the somewhat surprising demand in the market now.
Source: Michigan Real Estate Updates
April 29 2020 Real Estate Update John Rice REALTOR Berkshire Hathaway HomeServices Michigan Real Estate
Available now: Lifestyle Planning Guide from John Rice REALTOR Berkshire Hathaway HomeServices Michigan Real Estate.
No two people have the same lifestyle needs or financial situation. That’s why, as part of the Berkshire Hathaway HomeServices network of Real Estate Trusted Advisors we’ve created this guide to help you to determine which lifestyle factors are most important when making your future real estate decisions.
Whether it’s health and wellness, estate planning, your career, or other crucial life events, plans provide clarity and utility.
The Berkshire Hathaway HomeServices Real Estate Lifestyle Planning Guide is designed to help you take the first step in developing a plan that is right for you.
Your real estate asset is important. As you do with other important things in your life, plans and strategies create valuable road maps that you can use to aid in future decision making.
By developing a plan and working together, we can help you maximize your real estate ownership and help you fully realize your goals.
Take a peek inside the guide now:
Yes! John, please email me my FREE copy of the Real Estate and Lifestyle Planning Guide
Going Forward what will the economic recovery be shaped like?
Many American businesses have been put on hold as the country deals with the worst pandemic in over one hundred years. As the states are deciding on the best strategy to slowly and safely reopen, the big question is: how long will it take the economy to fully recover?
Let’s look at the possibilities. Here are the three types of recoveries that follow most economic slowdowns (the definitions are from the financial glossary at Market Business News):
- V-shaped recovery: an economic period in which the economy experiences a sharp decline. However, it is also a brief period of decline. There is a clear bottom (called a trough by economists) which does not last long. Then there is a strong recovery.
- U-shaped recovery: when the decline is more gradual, i.e., less severe. The recovery that follows starts off moderately and then picks up speed. The recovery could last 12-24 months.
- L-shaped recovery: a steep economic decline followed by a long period with no growth. When an economy is in an L-shaped recovery, getting back to where it was before the decline will take years.
What type of recovery will we see this time?
No one can answer this question with one hundred percent certainty. However, most top financial services firms are calling for a V-shaped recovery. Goldman Sachs, Morgan Stanley, Wells Fargo Securities, and JP Morgan have all recently come out with projections that call for GDP to take a deep dive in the first half of the year but have a strong comeback in the second half.
Is there any research on recovery following a pandemic?
There have been two extensive studies done that look at how an economy has recovered from a pandemic in the past. Here are the conclusions they reached:
1. John Burns Consulting:
“Historical analysis showed us that pandemics are usually V-shaped (sharp recessions that recover quickly enough to provide little damage to home prices), and some very cutting-edge search engine analysis by our Information Management team showed the current slowdown is playing out similarly thus far.”
2. Harvard Business Review:
“It’s worth looking back at history to place the potential impact path of Covid-19 empirically. In fact, V-shapes monopolize the empirical landscape of prior shocks, including epidemics such as SARS, the 1968 H3N2 (“Hong Kong”) flu, 1958 H2N2 (“Asian”) flu, and 1918 Spanish flu.”
The research says we should experience a V-shaped recovery.
Does everyone agree it will be a ‘V’?
No. Some are concerned that, even when businesses are fully operational, the American public may be reluctant to jump right back in.
As Market Business News explains:
“In a typical V-shaped recovery, there is a huge shift in economic activity after the downturn and the trough. Growing consumer demand and spending drive the massive shift in economic activity.”
If consumer demand and spending do not come back as quickly as most expect it will, we may be heading for a U-shaped recovery.
In a message last Thursday, Chris Hyzy, Chief Investment Officer for Merrill and Bank of America Private Bank, agrees with other analysts who are expecting a resurgence in the economy later this year:
“We’re forecasting real economic growth of 30% for the U.S. in the 4th quarter of this year and 6.1% in 2021.”
His projection, however, calls for a U-shaped recovery based on concerns that consumers may not rush back in:
“After the steep plunge and bottoming out, a ‘U-shaped’ recovery should begin as consumer confidence slowly returns.”
The research indicates the recovery will be V-shaped, and most analysts agree. However, no one knows for sure how quickly Americans will get back to “normal” life. We will have to wait and see as the situation unfolds.
Source: Michigan Real Estate Updates