Dallas Real Estate News

 

June 4, 2019

Smart Homes Increase Property Values

Cast your mind back to the ’90s when home automation was still very much the preserve of sci-fi movies.

Are you turning off your lights with a few sharp words?

Are you locking or unlocking your door with a mini-computer smaller than a 90s pager?

Answering your doorbell when you’re not even at home?

All unthinkable, yet now a commonplace and pedestrian part of everyday life a couple of short decades down the track.

If you’re a convert to home automation, you’ll be only too aware of the benefits it brings. Convenience and security are the twin pillars upon which domotics is constructed as some of the statistics below will bear out.

How has the explosive growth of smart home technology impacted the real estate industry?

What we’ll look at today is how smart technology extends far beyond a smart speaker for streaming music or organizing your day.

Before we fire into a few statistics, we’ll briefly highlight core areas where smart tech meets the real estate industry head-on.

5 Ways Smart Home Technology Has Changed The Real Estate Game

  1. Smart Home Tech Can Increase Value of Investment Properties
  2. Automated Homes Can Attract More Tenants or Buyers
  3. Fully-Laden Connected Homes Often Spend Less Time on The Market
  4. Virtual Reality Has Transformed Marketing Real Estate
  5. The Emergence of New Smart Developments

 

1) Smart Home Tech Can Increase Value of Properties

Potentially the most significant single influence of home automation on real estate is the way the price of a house for sale can be boosted.

If you think about any real estate listing, the features and amenities on offer are vital when determining how much a property will fetch on the market. According to Chad Curry, MD of the National Association of Realtors (NAR), when a home is smartened up, it can fetch 5% more than dumb alternatives in the same neighborhood.

A 2015 CNET-Coldwell Banker survey yielded some interesting statistics. Although easy to remove smart wireless devices when moving home, 66% of those surveyed said they would gladly leave these gadgets behind to expedite a sale. In this same survey, fully 81% of those already invested in smart home tech said they would be more likely to buy a home if it was automated. Beyond this, 71% said they were specifically seeking a home with smart home technology already onboard.

Pricing trickles down beyond sales to impact both investment properties and rentals.

 

2) Automated Homes Can Attract More Millennial Tenants or Buyers

As millennials start entering the property market in droves, this is a market homeowner looking to sell or landlords looking to rent ignore at their peril.

A Home Advisor survey showed that 77% of millennials had purchased a smart device compared to just 50% from the previous generation and a paltry 25% of over 55s.

What does this mean, though?

Well, since it’s projected millennials will own 30 million homes by the end of next decade, the extent to which they are driving smart home tech is impacting the real estate industry.

Millennials are far more likely to buy or rent a home when it’s kitted out with the tech that attracts them.<br>

3) Fully-Laden Connected Homes Often Spend Less Time on The Market

If you’re selling a home, the last thing you want is a long hiatus when it sits on the market and hamstrings your next move.

Remember, 81% of smart device owners admitted to being more likely to buy a home if it was already automated and shows that it’s not just the price that can be influenced but also the amount of time it takes to sell your home.

Now, many variables come into play when selling a house, many entirely unrelated to smart devices. That said, if you’re finding it awkward to shift your property, you might be amazed at the impact of a few gadgets.<br>

4) Virtual Reality Has Transformed Marketing Real Estate

While perhaps more tangentially linked to smart home technology, virtual reality has altered the landscape for realtors looking to shift homes, whether for sale or rent.

Virtual tours offer potential buyers the chance of guided walk-throughs with 360-degree video and an immersive, interactive element.

When properties are still under construction, VR can help with staging and visualization. Trying to imagine what an empty shell will look like can be challenging. Virtual reality can fill in the blanks correctly.

10 Smart Home Devices That Most Improve The Value of Your Home

Smart devices are capable of increasing the value of homes for sales; these ten areas offer the maximum return on investment:

  1. Smart Locks
  2. Smoke Detectors
  3. Sprinklers
  4. Home Security System
  5. Smart Security Cameras
  6. Covert Cameras
  7. Light
  8. Thermostats
  9. Smart Appliances
  10. Automated Garage Door Openers

Visit us at www.DallasHomeExperts for further information on anything discussed here.

 

Go HERE to get a great discount on your >>>>10% off Home Automation at smarthome.com use Coupon Code SMARTSUN10

 

 

 

Posted in Smart Home
July 31, 2017

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We can definitely fill you in on details that are not listed on the report and help you determine the best home for you. If you are wondering if now is the time to sell, please try out our INSTANT home value tool. You’ll get an estimate on the value of your property in today’s market. Either way, we hope to hear from you soon as you get to know our neighborhoods and local real estate market better.

Posted in Market Updates
Feb. 27, 2013

What Makes a Good Rental Property?

Ideal Rental Properties

  • Cash flow.  Difference between house payment (Principal, interest, taxes and insurance) and rent.  Obviously the bigger the cash flow the better
  • Future equity potential. If you buy a property in an area that should be gaining in equity or popularity in the future.  This is always a guess.
  • Good schools. You will always have demand.
  • 4 bedrooms is better than 3 if you are renting to someone with children.
  • No pool.  Added expense and liability.  Although these do seem to be rented faster
  • Easy access to highways
  • Newer the better because you do not have deferred maintenance.  This is obviously not always possible.
  • Really good price in a popular area.
  • Driving distance from your home if you are going to manage it yourself
  • Low crime/few sex offenders
  • Near shopping, parks, public transportation
  • Master downstairs. 2 car garage, more than one bathroom
  • Areas where history shows rental properties rent quickly

Should I buy a home that needs repairs?

You will almost always find a better bargain on a home that needs repairs.  If you are paying cash and the home needs a roof or foundation, it should be severely discounted because non-cash homebuyers will not be able to get a loan on the house.

You will need a trusted contractor to do the work.  The most important thing to remember is that you are not going to be living there.  Repair the house in a manner that fits the socio-economics of the area.  A cheap pergo type floor might be ok in some areas of town and not so good in others.

Obviously the cost of repairs should be rolled into your financial analysis to determine if it is a good investment property.

Who do you want your tenants to be?

The ideal tenant is one who takes care of the property well, has no pets or children that damage it, wants to live there for a long time and has a stable job where they pay rent on time and they have great credit.  Obviously this type of person would probably buy instead of rent and there aren’t many people like this.  How close can you get to this is the question.

We cannot discriminate against people based on the items below.  However, know what your preferences are will help you get started in selecting the best part of town.

  1. Students.  You will have high turnover and possible problems with maintenance. But there will always be another tenant right around the corner.
  2. What ethnic demographic?  Some people have preferences on ethnicity.  None are good or bad but knowing your preference might help you with a particular part of town.
  3. What income demographic.  Do you want blue collar or white collar?
  4.  Do you want younger or older , single, married with no kids, married with kids, roommate situations, straight vs gay?

How do I get the property rented?

1.You can hire a property management company who will rent the property for you and take care of the property for typically 10% a month.  The rental fee for the property is usually 1 month’s rent.

2. You can hire a Realtor to put it in MLS and market it for rent.  The fee is typically one months rent.  You then  manage the property yourself.

3. You run an ad on craig’s list and put a sign in the yard and maybe an ad in newspaper

Who runs the credit check?
The property management company or Realtor use companies to run credit checks and criminal background checks.  If you prefer to do it yourself, they can give the names of companies to call.

In today’s world expect to see a lot of applicants with credit issues.  Ask for a letter of explanation and then decide if the risk is too high or not.  We often ask for 2 months rent as deposit for people with poor credit.

Posted in News