Our collection of waterfront property listings near Stuart, Florida, and along the Treasure Coast offers many choices, including homes with docks, river, bay, canal, or ocean views. Whether you are a boater interested in deep water access, being steps from the sand in a beachfront condo, or relaxing in a serene canal-front home, we can assist you in finding that perfect waterfront property. Browse Waterfront Properties

Florida waterfront homes for sale and houses on the water in Stuart, Florida. Call 772-678-1600 for info or to schedule a private showing today!  Schedule a Tour Today!

National news and local views for the week ending Friday, September 6, 2024

Welcome to this week's talking points on real estate market trends. As always, we are here to answer your questions and concerns about buying, selling, or renting a home on Florida's Treasure Coast. Eric Slifkin, Broker Associate

National Real Estate News

Rate cuts start Sept 18

Fed Chairman Jerome Powell's Jackson Hole speech last Friday made it clear that two things are rising: 1) confidence that inflation is heading towards the Fed's 2% target, and 2) concern that the unemployment rate is rising too quickly. "The direction of travel is clear, and the timing and pace of rate cuts will depend on incoming data." [Source: Federal Reserve]

Home price growth slowing

The seasonally-adjusted Case-Shiller national home price index for June rose 0.2% month-over-month, a slowdown from +0.3% in each of the previous three months and +0.5% in Jan and Feb. That said, national prices are already up 2% year-to-date. Four of the big city indexes saw MoM declines in June: Charlotte, Dallas, Phoenix and Portland. [Source: S&P Global]

Affordability improving

Average 30-year mortgage rates have dropped more than 1% in the last four months - shaving $200-$300 off the typical monthly mortgage payment. And with the Fed set to start cutting rates on Sept 18, mortgage rates are likely to fall further. If you've been thinking about moving, it's time to get organized, set a budget, and get a professional (me!) working for you.

Local Real Estate News

Treasure Coast Market Trends

The Fed is about to cut rates, mortgage rates are falling, and inventory is rising - there's a lot to discuss! Let's talk if you've been putting off a move because of high interest rates. Let's talk if you bought a home in the last two years and have a mortgage rate over 7%. If you're happy where you are but would like a current view on the value of your home, let's talk.

Many prospective homebuyers are waiting for the Fed to initiate rate cuts, which could significantly impact the real estate market. Meanwhile, transaction volumes for new and existing homes remain subdued this spring/summer. However, with the inventory of homes for sale on the rise, buyers are gaining some leverage in negotiations.

Finance

Mortgage rates much lower

With increasing signs that the jobs market is weakening, bond prices rose, lowering bond yields (and mortgage rates). The average 30-year mortgage rate is now 6.33%, the lowest since April 2023, and down 110 basis points (1.1%) in the last four months. Affordability is rising; are you getting closer to making a move? Get Pre-Approved

The down low

One of the most persistent myths in homebuying is that you need to come up with a 20% down payment to get a mortgage. NOT TRUE. The average down payment made by recent first-time buyers was just 8%, and there are programs for eligible applicants (VA, USDA etc.) with much lower minimum down payments.

Contact us today! Thanks for visiting this week's talking points on real estate market trends. As always, we are here to answer your questions and concerns about buying, selling, or renting a home on Florida's Treasure Coast, and we are always happy to meet with you to discuss your wants and needs with no obligation. -Eric Slifkin, Broker Associate at Keller Williams Realty

Have you heard about upcoming changes in the real estate industry?

Lately, there have been news headlines about the NAR Commission Settlement and its impact on real estate agents and their commissions. Home buyers and sellers in Florida must stay updated on the changes in buyer representation, seller commission structure, and other new rules significantly changing the real estate industry.

The new rules can be confusing for both consumers and Realtors. What's important to understand is that a reliable real estate agent's guidance and expertise are invaluable, particularly in today's world. 

Please review the frequently asked buyer representation questions below to learn about the new rules and how we represent buyers under these sweeping regulations. 

CHOOSING A BUYER'S AGENT

Q: What sets you apart from other buyer's agents?

A: As a buyer's representative, I advocate for your interests from the beginning of the home search until the closing day. My responsibilities include finding properties, scheduling showings, providing market analysis, crafting offers, negotiating terms on your behalf, and managing all aspects of the buying process.

Q: I prefer to keep my options open. Why should I work exclusively with one buyer's agent?

A: Working exclusively with one buyer's agent ensures you have a dedicated professional fully committed to meeting your needs. Unlike listing agents, I will have a fiduciary responsibility to you, providing personalized advice and negotiating the best deal without conflicts of interest.

Q: Are you just there to "get me in the door" for houses listed online?

A: As your agent, I can access the most up-to-date listings, but not all are online. I will guide you through the entire home search process, manage paperwork, and advocate for your interests. I aim to save you time, reduce stress, and help you make well-informed decisions.

OUR VALUE PROPOSITION

Q: What achievements or designations distinguish you from other buyer's agents?

A: As an Accredited Buyer's Representative (ABR®), Certified Residential Specialist (CRS®), and Certified Luxury Homes Marketing Specialist (CLHMS®), I have the specialized training, extensive local market experience, and negotiation skills acquired since becoming licensed in 2003 to provide dedicated and personalized guidance throughout your real estate transaction.

Q: Why should I work with you?

A: My local market expertise allows me to provide personalized service with a curated selection of homes from sources within and beyond the MLS to meet your needs.

Q: How will you help me decide how much to offer for a home I want to buy?

A: I'll provide a comprehensive market analysis and devise a strategy for a competitive offer that aligns with your financial comfort zone.

COMPENSATION

Q: Why do I have to pay for a buyer's agent? 

A: The seller's broker typically covers my commission. If the offer doesn't cover my fee, you can pay the difference or negotiate with the seller. I will inform you if this happens.

Q: How much is your commission? 

A: It's negotiable and detailed in the buyer representation agreement for transparency.

Q: Are there hidden fees? 

A: No hidden fees, additional costs, or exceptions will be discussed and agreed upon upfront.

Q: Do I have to pay if I don't buy? 

A: No, my commission is usually due only upon closing on a purchased house.

Buyer Representation Agreements

Q: Do I need to sign a buyer representation agreement?

A: Yes, it's legally required and sets clear expectations for our working relationship.

Q: What's the difference between customer and client? 

A: A buyer representation agreement ensures dedication and protection for both of us.

Q: Why work with one buyer's agent? 

A: Working with one agent ensures dedication and avoids conflicts of interest.

Q: What does a buyer representation agreement include? 

A: It outlines services, commitments, agreement duration, and compensation details.

Q: Can I terminate our agreement if I'm not satisfied? 

A: Circumstances can change, and we can discuss termination if needed.

DUAL AGENCY

Q: Why do I need a buyer's rep if the agents showing me properties are friendly?

A: The agents showing you properties are committed to helping the seller, not you. As your buyer's rep, I advocate solely for your best interests.

Q: Can you represent me if I'm interested in a home you're selling?

A: This is known as dual agency. Since it could create a conflict of interest, I can arrange for an independent agent to represent your interests alone.

Is an Accessory Dwelling Unit Right for You?

Accessory Dwelling Units, or ADUs, also known as granny flats or in-law suites, are part of a shift toward smaller, more affordable, and energy-efficient homes. Where permitted,  ADUs can be residences for elderly parents or adult children to live in or utilized as home offices and guest homes. In some areas, they can be rented out or provide housing for the owners, renting out the main house.

As a home buyer or homeowner, you may consider adding an accessory dwelling unit (ADU) to your property. For example, you could create an ADU by converting a detached garage or building an apartment above an attached garage. It could be part of a basement, with a separate entrance or a new structure (if the property is big enough).

How ADUs Benefit Homeowners

ADUs Can Increase Property Value

Increasing a property's value or utility is always a primary consideration for homeowners and residential real estate agents. One way to achieve this is by adding an accessory dwelling unit (ADU). These additional living spaces can significantly boost rental income or offer the homeowner's family more space. The financial benefits of ADUs, whether through rental income or increased property value, make them an attractive and potentially lucrative option for property investment.

Above: A 1977 Stuart, FL residence shown with an original attached ADU

An ADU could be a critical decision, depending on your situation. A home with an ADU (or the potential to add one) can benefit families with elderly parents or grandparents, adult children with disabilities, adult children returning home, live-in caregivers, or those needing supplemental income through renting out the space. For instance, a basement apartment in a high-demand area could generate [specific amount] per month. ADUs allow families to offer certain family members or caregivers the privacy they need while remaining together. They can also be an excellent option for those who want to rent out part of their home to help pay their mortgage. Some types of accessory dwelling units (ADUs) that bring additional utility and value to homes:

Basement apartment: This involves a separate walk-out or walk-up basement entrance. It may not be accessible to the main home from the inside but is usually less expensive to construct.

Garage conversion: These can be detached or attached. This option deducts parking value, so other parking solutions should be considered. Clients should know it may be expensive if the existing structure needs to be heavily modified.

-Detached ADU: This stand-alone facility can offer homeowners the most flexibility and value, allowing you to maximize the potential of your property. While constructing a new structure can be more expensive, the long-term benefits and versatility of a detached ADU make it a compelling option.

Junior ADU: These are attached to the main home but smaller. A typical example is a sun porch or home addition. These may share some spaces and utilities with the rest of the house.

Research ADU Regulations

Determine if your area is ADU-friendly by visiting your city’s planning and zoning website or calling or visiting the local office. Some areas encourage ADUs, and others don’t. Even if your city’s regulations seem to discourage ADU construction, you may be able to secure a waiver to build one. Ask. Study: ADUs Can Add 35% to Your Home’s Value. Get the Report

Do a Cost Evaluation

If you want an ADU to bring in rental income, look at the total cost for permits, construction, and the increase in annual property taxes. Compare this to the monthly payment you expect to receive to determine how long it will take for the ADU to pay for itself before you realize any income.

Consider Your Lifestyle and Needs

Important considerations include:

Privacy vs. Company – If you are a private person, having a renter on your property may present difficulties. However, you may need to find the right renter if you are looking for more social interaction. Assistance – If you have special needs, consider trading maintenance, cleaning, or personal services for part or all of the rent on your ADU. It may be economical to retain your independence, even with physical limitations.

Aging in Place – If you want to age in place, an ADU built with universal design concepts may help you stay on your property while improving your financial situation. For example, you could rent out a house that is too large or unsuitable for aging in place while staying in the ADU and the neighborhood you know and love.

Adult Children – If you have adult children who have returned home to live with you, an ADU may be economical to keep your children (and possibly grandchildren) close while maintaining privacy.

Talk to Your Real Estate Specialist

ADUs may not be suitable for everyone, but adding an accessory dwelling unit to your property can increase its value and utility. These additional living spaces can provide extra income through rentals or offer more space for your family. For more perspectives,  talk to an SRES® in your area who knows the rules in their local market and can help you determine if this is a good option for you!

-

This post is by Eric Slifkin, REALTOR® serving South Florida’s Treasure Coast. You can reach Eric at 772-288-1765.

-

Gain Insight into the Perfect Real Estate Agent

The selection of the right real estate agent to work with can be as important as which Treasure Coast home to purchase. If your expectations are not aligned with the real estate agent's skills, experience, and personality, the results can be anywhere from ineffective to disastrous.

A Guide to Choosing the Right Agent for You

When buying or selling a home, working with a qualified real estate agent is crucial. Not just a professional but a fantastic agent and a market expert. So, how do you ensure you're hiring an excellent real estate agent? According to the National Association of Realtors®, trust and reputation are the Top deciding factors consumers use when hiring an agent. In this guide, we've outlined the top attributes outstanding agents possess and the questions you can ask to ensure you're working with the right market expert to achieve your real estate goals.

In this guide, we've outlined the top attributes outstanding agents possess and the questions you can ask to ensure you're working with the right market expert to achieve your real estate goals. Learn More

How We Market Treasure Coast Homes

Download Our Listing Presentation PDF

Although the inventory of available homes has improved across South Florida and the Treasure Coast, our local market continues to experience historically low inventory. That said, buyers may need to remain flexible regarding "must-have" or desired features, location, or price. Whether or not buyers are willing to compromise, they still need assurance they are not overpaying.

Selling can be problematic as well despite low inventory. With the abundance of online housing information, buyers are better informed than ever, so sellers must price correctly or risk losing out to a listing that looks like a better deal.

Homebuyers' expectations in today's market may be demanding despite present inventory issues, but none have to stop you from buying or selling at the right price. If you're considering buying or selling, treat yourself to the best advice you can get. Call me today for a free initial consultation.

Downsizing can help you save money and live a simpler life. It's a great option if you're tired of maintaining a large house and want to lighten your load. Whether your kids have left for college or you're looking for a way to avoid the chores and maintenance of a large house, downsizing can be a smart move toward a happier future.

If you are tired of maintaining a large house and want to move to a smaller place, downsizing could be a great option. It can help you save money and live with less. Downsizing is often considered by people with kids who have left for college, those who want to move closer to their friends and family, or those who want to buy a condo to avoid the chores and maintenance of a large house.

Scaling Down

Before you decide to downsize, you should consider a few things. Firstly, you need to determine whether you are ready to move and when you want to move. Secondly, you should have your home appraised to determine the potential proceeds from a sale. 

Thirdly, you should look for opportunities to relocate or buy a smaller home. Fourthly, you should research locations of active adult retirement communities. Lastly, you should estimate how much you can save in reduced housing costs and how much money you should spend. You can also consider possible additions to ease life in your home, such as an elevator or ADU (accessory dwelling unit).

Tips for Downsizing

If you plan to downsize, here are some helpful tips to make the process easier.

• Decluttering and selling unwanted stuff can help you make extra cash while creating more space.
• Consider renting a storage unit to store things that you're not ready to part with.
• Organizing donations can give you a sense of fulfillment and help you eliminate things you no longer need.
• Embrace minimalism; it may be difficult, but it can also be liberating.
• Remember to measure the space in your new home.
• Be ruthless when deciding what to keep or get rid of.

These tips will help you simplify your life and maximize your new space.

Contact us to schedule a free consultation. Whether you are buying or selling a home, we are always happy to meet with you to discuss your wants and needs without obligation.

Do you wonder what to expect from the Treasure Coast real estate market in 2024? Here's what you need to know:

Existing Home Sales should reach a sales rate exceeding 4.5 million in 2024. Lower mortgage rates will likely attract more buyers and sellers and increase listings and sales.

The Fed's interest rate policy is the main factor influencing the current marketplace. As the Fed has frequently changed rates, buyers have hesitated to make purchases, waiting for a return to lower rates. However, at some point, the desire to change their housing circumstances will overcome the wait for lower rates, as a return to rates in the 3% range is unlikely.

It is worth noting that rates have remained relatively high since the pandemic, and it would probably take another event like the pandemic to produce rates similar to that range. Over time, the percentage of people with a 3% range mortgage rate will decline, reducing the impact of the lock-in effect.

As for home prices, the real estate market is turning towards slow growth. While the number of homes available for sale was low in 2021 and 2022, it improved slightly in 2023 and 2024; we expect modest increases in the number of homes available for purchase, transaction count, and home prices, as well as a gradual recovery back to a regular market. It is important to remember that all real estate is local, and local market conditions may skew national statistics.

The supply of housing inventory will continue to affect home prices. The month's supply represents the amount of time it will take to sell the current inventory of homes based on the current sales rate. The supply is still well below the six-month supply, which is historically considered a balanced market. We haven't seen the supply exceed six months since the Great Recession. For home prices to decline significantly, the supply needs to spike.

Regarding mortgage rates, while rates may not be as low as 3%, we can still expect them to fall below what they are now. Rates did go up at the start of the year; they are anticipated to go down by the end of the year. With the Fed's recent pivot in policy, rates have dropped significantly since December. Rates will likely be in the 6% range, potentially dipping into the high 5% range.

Finally, lower mortgage rates and new homes will lead to more new listings in 2024. While the inventory won't reach 2019 levels, inventory levels between 2019 and 2023 are a reasonable assumption.

In summary, moderating rates and an ongoing housing inventory shortage will affect home prices as supply increases and the real estate market turns towards slow growth. Things will get better, but they will get better slowly as we gradually return to a normalized market.

Treasure Coast Top Communities

Palm City, Florida, is a beautiful bedroom community with a small-town feel perfect for people who love access to excellent schools, outdoor activities, and the town's central hangout spot, Panera Bread, which has become the town hall and a place where kids gather to do their homework. 

Despite its great South Florida weather, excellent beaches, boating, and golf courses, this community's biggest draw is an indoor attraction: its top-rated schools, particularly elementary schools. 

Palm City maintains a small-town feel with leafy neighborhoods and wide sidewalks, making it a great location for outdoor enthusiasts. Families find the newer gated communities especially appealing, and the average home sales prices are lower than those in Palm Beach County.