The Real Deal Newsletter - January 2024

Real Estate & Other Fun Nuggets of News & Information!

Author

Joe Frank
January 27, 2024

The Real Deal Newsletter for January

Happy 2024 - Here’s to an amazing New Year!

In this month’s Newsletter we’ll look at the following:

  • Purpose & Passion - How can we discover ours?

  • How Amazing is the Brain - See for yourself!

  • Local Snohomish County Real Estate Trends

  • The Broader Economy - Economic & Real Estate News

  • Financial Investing Tips & Tricks

  • January Home Maintenance & Safety Tips

  • AI - Artificial Intelligence

  • Other fun nuggets

If you don’t currently receive my monthly mailed newsletter, “Front Porch News” and would like to, please email me at [email protected] and I’ll get you added!
Joe Frank - Real Estate Broker | REALTOR® | eXp Realty
(425) 501-6901 (text or call)

Purpose & Passion 😊 

Happy New Year! It’s that time of year again where we turn our attention to soul-searching and goal setting. If you're inspired by the quote above, you're not alone. Many of us want to feel a greater sense of purpose driving us forward each day. It’s a wonderful feeling, but it can be surprisingly hard to discover, much less develop and give away.

According to Anthony Robbins, two things prevent people from finding their purpose: Predictability, which helps us stay comfortable but can keep us in unfulfilling jobs and relationships, and limiting beliefs, which are stories we tell ourselves about our capabilities. 

For instance, a woman might be brilliant at math but stuck in an accounting job she doesn't enjoy. The security of her job prevents her from moving on. She tells herself she can't do any other job anyway and doesn't have time (limiting beliefs).

Not everyone experiences "purpose" the same way. The accountant could feel passionate about serving corporate clients, or she could feel a need to help low-income micro-businesses. Or perhaps she can contribute more as the CFO of a political campaign, or maybe as a math teacher helping kids. One of those will inspire her more than the others.

Of course, there's a practical side to all this. You must make money. The adage "Do what you love, and the money will follow" isn't always accurate. You need to discover your gift, then develop it in a direction that helps you earn a living by doing something that others will value. The trick is to find environments that fill you with excitement, then explore your gift in those contexts. Focus outward, not just on what you love, but on what the world would value getting from you. 

Wishing you a year filled with passion and purpose...Happy New Year! 

Look How Amazing Your Brain Is!

Here’s an interesting experiment in brain function sometimes used to test if a person has Alzheimer’s. Warning:  If English is not your native tongue, you may naturally have problems with this exercise, not
because you might have Alzheimer’s.

I cdnuolt blveiee that I cluod aulaclty uesdnatnrd what I was rdanieg. The phaonmneal pweor of the hmuan mnid, aoccdrnig to a rscheearch at Cmabrigde Uinervtisy, it dseno't mtaetr in what oerdr the ltteres in a word are, the olny iproamtnt tihng is that the frsit and last ltteer be in the rghit pclae. The rset can be a taotl mses and you can still raed it whotuit a pboerlm. This is bcuseae the huamn mnid deos not raed ervey lteter by istlef, but the word as a wlohe. Azanmig huh? Yaeh and I awlyas tghuhot slpeling was ipmorantt!

Local Snohomish County Real Estate Trends

Looking at the Snohomish County real estate scene for December 2023, it was a bit of a chilling month for the housing market. Home prices and the number of homes for sale both took a bit of a tumble from November. But that's pretty standard for December with all the holiday hustle, winter weather, and folks jetting off to visit family.

Homes were also enjoying a bit more of a lounge on the market, hanging around for an average of 27 days in December compared to November's 22 days. For buyers, this is like finding an extra cookie in the jar – more days on market means a more balanced market to choose from (and less price appreciation, and potential price cuts). Sellers, on the flip side, love it when homes sell faster – it's like a hot cake sale!

Now, let's talk about mortgage interest rates. They were like a roller coaster, reaching a peak in October and November (hello, 8.03% in mid-October!) and then coasting down to a cozy 6.6% by the end of December. This wild ride was likely another factor nudging home prices and sales downward.

Peeking into 2024, things are looking up for the housing market in Snohomish County. More homes, more buyers, and probably some price increases – just your typical New Year's market buzz. And with interest rates hanging out in the mid to high-6% range, we might see more buyers jumping in, giving the market some extra juice (much better than the 7 to 8% rates witnessed during the fall).

But, as we all know, predicting the housing market is like trying to guess the next big TikTok trend – you never really know (or like a box of chocolate for you non-TikTok’ers, which is me btw 😁). It's all about interest rates, health of the economy, market expectations, and, of course, any surprise world events. Wars, elections, pandemics – you name it, they can all stir the pot.

Remember though, real estate is a marathon, not a sprint. Buying a house is usually a long-term play, so don't sweat the small stuff (especially if you plan to live in, or rent out the house for 5 or more years).

So, that's the scoop on Snohomish County real estate!. Keep smiling and happy house hunting (or selling)! 🏡✨

If you're interested in learning more about our local housing market, getting an accurate value for your home, or any other real estate help, please contact me any time: [email protected] or 425-501-6901 (text or call)

Economic & Real Estate News

  • National Housing Market Update: 

    • According to an article from Forbes, the housing market is experiencing a unique dynamic: many homeowners are reluctant to sell due to being "locked in" at low interest rates or deterred by high home prices. This reluctance is contributing to a persistent imbalance between demand and the limited housing supply, a situation that is expected to continue for some time. Rick Sharga, CEO of CJ Patrick Company, believes that a significant increase in the availability of existing homes is unlikely until mortgage rates fall to the low 5% range, which he doesn't foresee happening in 2024. Current housing stock, particularly at the entry-level, remains near historic lows, maintaining high demand and keeping home prices exceptionally high…. Full article

    • Mortgage Rates Tick Up, and Purchase Applications Drop from previous week, but still positive. Mortgage purchase applications have been positive since the first week of the new year - indicating increasing home buyer demand due to interest rates that have been trending down from December, along with transitioning out of the holiday time period. Full details.

    • Boomers won’t part with their homes, and that’s a problem for young families according to a recent article from CNN.
      The real estate market is witnessing a significant shift. Millennials with children, once able to afford family-sized homes, are now struggling due to rapidly increasing home prices, high mortgage rates, and a nationwide housing shortage. Gen Z families find it even more challenging. Meanwhile, Baby Boomers are opting to age in their larger homes, leading to a scarcity of smaller homes in desired neighborhoods. This trend has led to Baby Boomers owning 28% of large homes, while Millennials with children own just 14%. The situation contrasts with a decade ago when young families were as likely as empty-nesters to own large homes. The report highlights the changing dynamics in home ownership across different generations, with Boomers showing little motivation to sell their large homes. Read the full article from CNN Business.

Financial Investing Tips & Tricks

Are you feeling the affects of inflation? It seems that everywhere we turn these days, prices are rising. What are some ways to combat inflation? Here are nine ideas from TIME.com that may help you combat or get out in front of the inflation impact:

  1. Review Your Budget: Create or reassess your budget to control spending and identify areas for cost reduction, especially in non-essential categories like subscriptions and entertainment.

  2. Diversify Income: Increase your income through side hustles or part-time jobs to keep up with rising costs and provide a safety net in case of layoffs. Utilize your skills or assets, like renting a room on Airbnb or starting a blog.

  3. Pay Down High-Interest Debt: Aggressively tackle high-interest debts, such as personal loans and credit cards. Consider balance transfer credit cards with 0% introductory rates to save on interest, but be aware of terms and fees.

  4. Consider a Cash Back Credit Card: Use a cash back credit card for regular purchases to earn extra money. Opt for cards with no annual fees and good returns on categories that align with your spending.

  5. Open a High-Yield Savings Account (HYSA): Protect your savings from inflation by using a HYSA, which offers higher interest rates, especially from online banks.

  6. Create a Meal Plan: Address rising food costs by planning meals in advance, shopping accordingly, and reducing food waste.

  7. Batch Errands: Save on transportation costs by combining multiple errands into one trip, whether using a car, public transit, or ride-sharing.

  8. Invest in Treasury Inflation-Protected Securities (TIPS): Protect against inflation with TIPS, which adjust the principal based on the Consumer Price Index. They offer terms of 5, 10, or 30 years, with a guarantee of at least the original investment at maturity.

  9. Speak to a Financial Advisor: Consult a financial advisor for personalized advice on budgeting, saving, and investing, considering your financial goals and situation. Tools like SmartAsset’s quiz can help match you with suitable advisors.

For the full article and details, you can check it out here: TIME.com

JANUARY Home Maintenance & Safety Tips.

Hopefully we’re well through the severe cold weather for this year, but if it makes another guest appearance soon, or next year, be prepared!

Cold Weather Tips to Prevent Frozen Pipes, AND Steps to Take if they Do FREEZE! 😨 

  1. Keep the Heat On: Even if you're away, maintain your home's temperature above 55°F to prevent pipes from freezing.

  2. Open Cabinet Doors: This allows warmer air to circulate around plumbing, especially in the kitchen and bathroom.

  3. Let Faucets Drip: Allowing a trickle of water to run through the pipes can prevent freezing. Even a slow drip can provide relief from the pressure buildup between the faucet and an ice blockage.

  4. Seal Cracks and Openings: Insulate your home properly, especially around doors, windows, and places where pipes run through the walls.

  5. Add Extra Insulation: Pipes in attics, basements, or garages are more susceptible to freezing. Use foam rubber or fiberglass sleeves to keep them warm.

  6. Use Heating Tape: For particularly vulnerable pipes, apply heat tape or a heated cable to keep them warm.

If Pipes Freeze, Here’s What To Do:

  1. Keep the Faucet Open: As you treat the frozen pipe and the ice begins to melt, water will flow and help melt ice in the pipe.

  2. Apply Gentle Heat: Use a hair dryer, heating pad, or portable space heater to warm the pipe. You can also wrap pipes in towels soaked in hot water. Never use open flames, like a blowtorch or propane heater.

  3. Check All Other Faucets: If one pipe is frozen, others may freeze too. Check all faucets in your home to assess if there are more frozen pipes.

  4. Call a Plumber if Needed: If you cannot locate or thaw the frozen pipe, call a professional plumber.

  5. Prevent Future Freezes: Take measures to add insulation or use heating tape to prevent the issue from recurring.

Remember, prevention is key to avoiding the inconvenience and potential damage from frozen pipes! Stay warm and safe!

Post-Holiday Clean Up & Organization Ideas

1. Kitchen Cleanup Time!

  • Post-holiday? Your kitchen needs a break. Order takeout, then tackle these:

    • Clean that range hood filter with boiling water and baking soda.

    • Vacuum those dust bunny-loving fridge coils.

    • Use a flexible vent brush for fridge and dryer vent cleaning.

2. Organize Your Space

  • Post-holiday clutter? Let's fix that.

    • Create a home inventory list for insurance purposes, including new holiday items.

    • Update home files: Manuals, warranties, and tax paperwork. Recycle what's online!

    • Pack decorations neatly (DIY tip: Use cardboard and plastic cups for ornament storage).

    • Declutter those closets and donate what you don't need.

    • Check flashlight batteries in prep for winter storms.

3. House Maintenance Hacks

  • Inspect plumbing pipes and valves, look out for leaks.

  • Clean furnace filters and vents.

  • Check attic and basement for structural issues.

  • Boost your attic insulation to save on energy bills.

4. Bathroom Blues Be Gone

  • Stock up medical supplies.

  • Run water in unused bathrooms to avoid pipe issues.

  • Battle bathroom mold, ensure vents are working.

5. Safety First!

  • Test smoke and CO detectors.

  • Check fire extinguishers (green gauge = good to go).

  • Review your emergency plan with the family.

6. Outdoor Upgrades

  • Replace outdoor light bulbs for safety.

  • If you don’t already have one, research home security systems and cameras.

  • Clean gutters to protect your roof and siding.

7. Tech Check

  • Monthly tech to-dos:

    • Review Wi-Fi device list for security.

    • Change Wi-Fi password regularly.

    • Update apps, check security systems and devices.

And there you have it! A fun, easy guide to keeping your home happy and healthy this month.

Be prepared for winter travel - especially over the passes. Checklist

  • Good All-Season or Winter Tires

  • Tire Chains or Cables

  • Snow Scraper

  • Jumper Cables

  • Road Flares

  • Winter Clothes (warm jacket, hat, gloves, boots)

  • Extra Blankets

  • Food

  • Water

  • Phone and Extra Battery / Charger

AI - Artificial Intelligence

  • With the upcoming presidential elections, be wary of AI-generated fake news. Read the article from WIRED.

  • Have you heard of “AGI” or Artificial General Intelligence? Some say it’s near, others say it may never be truly achieved. A February 2023 blog article from Sam Altman (Founder of OpenAI) provides some insight on what AGI is and the massive potential impact - both good and bad (if not done right). OpenAI Blog

Other Nuggets

It is often the small steps, not the giant leaps, that bring about the most lasting change" – Queen Elizabeth II

If you or someone you know is seeking expert advice on buying, selling, or understanding the real estate market in Snohomish County or beyond, don't hesitate to get in touch. I'm here to provide the insights and support you need. Reach out to me at [email protected], or call/text at 425-501-6901. Your real estate journey is my priority!

Have we worked together in the past? If so, and you’d like to share your experience with others, please consider leaving me a review on Google. I donate $50 to the Make-A-Wish foundation for each review (positive or negative) - many thanks! 🙏

DISCLAIMER: This content is for educational and entertainment purposes only.

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www.JoeFrankRealtor.com | [email protected] | 425.501.6901
Joe Frank, Real Estate Broker | REALTOR® | eXp Realty

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