The Real Deal Newsletter - September 2023

Hi there and welcome to my first email newsletter - “The Real Deal” 😀 

I’ll continue to mail the “Front Porch News” newsletter, but I thought it would be helpful to also offer an emailed version that includes most of the Front Porch News articles and insights, but also contains more information about our local market, as well as other major events and technologies shaping our local economy and housing market.

Please let me know what you think about this format. Of course if you’d prefer not to receive this newsletter you can unsubscribe at the bottom.

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!

What has someone said to you that changed your life instantly?

Have you ever had someone say the right thing to you at just the right moment, and it changed your life? Teacher Tony Acevedo gives an example: “I saw a freshman girl trip in front of a group of seniors. They laughed and she was dying of embarrassment. I took her aside and said, ‘It’s only embarrassing if you're embarrassed. Years later she told me how from that moment, embarrassment never held the same power over her. My advice might have been ignored at any other time. But that was the magic moment for her.”

A similar thing happened to a friend of mine early in her career. On her first project, she finished late, but thought it was a good effort. Instead of rewarding her, her manager criticized her. She complained to a co-worker who surprised her by saying, "Joe is judging you by your results, not by your intentions." That moment shifted her work habits, which has made all the difference in her career.

Another friend says that at her first networking event, she confessed to someone about being nervous. He leaned over and whispered, “Don’t try to interest them in you. Just be interested in them.” That advice made her into a networking queen.

Now it’s your turn. What’s something that someone said in just the right moment that forever changed your way of thinking?

If you need a reason to buy a home vs. rent, here's one

I read about a woman in her fifties who said, "I am single and I'm saving to buy a house. But prices and rates keep rising! I'm worried about where I will stay when I get old. I don't want to be kicked out of a rental when I'm an old lady." 

That's a scary thought, right? Yet it's a situation faced by millions of elderly folk every day. It's one reason I advise people to buy a home or condo when they're as young as possible, and then hang onto it. Rent it out if you don't want to live there. Just keep it so that you have a place to go or sell in the future (not to mention rental income is an amazing hedge against inflation and can really help your cash flow, especially once you get into fixed income territory).

Even if you currently own a home, consider buying an extra unit on the side. Properly purchased and managed, that unit is an invaluable asset for the future. Call or text to discuss. 425-501-6901

Which is better: Pay extra on our mortgage monthly or annually?

“We want to pay our mortgage down faster, and we've seen different ways to do that. Our question is, should we pay a little more each month, or save it up and pay a lump sum at the end of the year?”

The goal of paying extra on your mortgage is to reduce your principle faster, so that you reduce the interest you are paying. If you wait until the end of the year to make a lump payment, then you've allowed an entire year to pass without any extra reduction of the principle.

It's better to pay extra monthly so you’re reducing the principle a bit each month, and thus reducing the interest a little each month as well. Before you start making extra payments, you need to ask your lender if they have penalties for overpayment, how to indicate any extra funds only go to principle, and if there is a limit to the amount you can overpay monthly or annually.

Need more real estate answers or help? Send me your questions!

Local Snohomish County Real Estate Trends

1. Average Sales Price: For August, the average home price decreased to $764,000 from $787,000 in July. This decline is typical as we transition out of summer and head into fall. There are generally fewer people listing their homes for sale as kids head back to school and we head toward the holidays. Couple that with sticky / high mortgage rates, and many people can no longer afford homes in our area (the issue is widespread across the US). This is an “affordability” issue, and will likely drive home prices lower into the fall and winter months. Now, if mortgage rates head back down into the 6% (or lower) range, that will no doubt change the housing dynamics we’re currently witnessing.

2. Average Days on Market: For August, homes took slightly longer to sell, with an average of 14 days on the market, which is up slightly from 13 days in July. Again, this is par for the course as we enter the slower fall season.

For more details and insights on real estate trends for Snohomish Count, visit https://www.joefrankrealtor.com/post/august-2023-snohomish-county-real-estate-trends

Economic & Real Estate News

• Housing Market Update: Prices Go Up While Demand Goes Down 

• Are we in a recession or potentially heading toward one? Opinions definitely vary - here are a couple of articles for some insight.

Financial Investing Tips & Tricks

• 7 Money Management Tips

Fun Facts

• 32 interesting things about Seattle that you may (or may not) know!

AI - It’s Coming, and Coming Fast (actually it’s here, and has been for a while! 😀!

For those unfamiliar with AI (Artificial Intelligence), and how it’s already impacting our daily lives, check out the following (full disclaimer, I had Open AI - Chat GPT write this by asking “provide me a 100 word summary of what AI is and how it's already affecting people's every day lives.”)….

Artificial Intelligence (AI) is a branch of computer science that empowers machines to learn, think, and perform tasks like humans. AI is already deeply embedded in everyday life. Voice assistants like Siri and recommendation systems on platforms such as Netflix use AI to understand and cater to user preferences. In healthcare, AI aids in disease diagnosis and treatment planning. Autonomous vehicles, guided by AI, are shaping the future of transportation. AI-driven algorithms also optimize financial decisions, while chatbots enhance customer service. As AI continues to advance, it plays an increasingly vital role in simplifying tasks, personalizing experiences, and transforming various industries.

• The Government has taken notice, and recently introduced an “AI Bill of Rights”. You can read it here: https://www.whitehouse.gov/ostp/ai-bill-of-rights/

• Here are 9 AI Tools You Will Actually Use

Other Nuggets

• Love to read? Here are 38 Reading Rules from Ryan Holiday

• Upcoming events and things to do and see in Snohomish County

Inspirational Quote:  "Success is not final, failure is not fatal: it is the courage to continue that counts." - Winston Churchill

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If you have any real estate questions, help needed, or looking for insight on the current market outlook for Snohomish County (or beyond), please feel free to email me at [email protected] or call / text, 425-501-6901

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