Beverly Hills 48025: The Gem of Metro Detroit

Welcome to Beverly Hills! Nestled in Oakland County, Beverly Hills, Michigan 48025, is a thriving community known for its picturesque landscapes, excellent schools, and vibrant local culture. As a highly sought-after area, Beverly Hills offers an ideal environment for families, professionals, and retirees alike. In this blog, we'll delve into the real estate market of Beverly Hills, providing valuable insights for both buyers and sellers. Community Overview Beverly Hills boasts a population of approximately 10,000 residents. The village is home to around 4,200 housing units, ranging from charming mid-century homes to luxurious new constructions. This mix of housing options attracts a diverse group of residents who appreciate the community's suburban feel and proximity to the amenities of nearby Birmingham and Detroit. Real Estate Market Insights On average, Beverly Hills sees approximately 200 housing units sold annually. Here is a breakdown by year: 2023: 199 2022: 190 2021: 242 2020: 231 2019: 225 2018: 196 This steady turnover indicates a healthy real estate market with a consistent demand for homes. The current real estate market conditions are favorable for both buyers and sellers, with several key metrics pointing towards a robust market. While the market is dynamic, low inventory of available homes for sale continues to push home prices up. What does this mean for home buyers? For buyers of real estate in Beverly Hills, MI, home buyers need to move quickly and be decisive. As a buyer you may need to buy your new home in Beverly Hills first before you sell your current home; homes sell too quickly in Beverly Hills for you to wait. We look to months supply of inventory to determine if the housing market is a seller’s market or a buyer’s market. If the months of supply is greater than 3 months, we term it a buyer’s market and under 3 months of supply, we label it as a seller’s market. (Note: many real estate experts have traditionally used 6 months of supply instead of 3 months. We haven’t seen anything close to six (6) months supply in decades so we feel the above definition is more fitting for today’s world.) After looking at the data, the current housing market in Beverly Hills 48025 is a seller’s market with approximately 10 days of supply for condos and 30 days for houses. Said differently, ten days from now we will have a shortage of condos and we will see that shortage of houses for sale in Beverly Hills in about 10 days. The ten (10) days months supply is nearly the lowest recorded figure since 2014 and the same came be said of the 1 month supply of houses in Beverly Hills. If you are a home buyer active in the market in Beverly Hills, you need to move quickly and be decisive. This is not a market you can put in a contingent offer, meaning the offer you make on the new home in Beverly Hills is contingent on the sale of your current home. You need dry powder so to speak to move quickly in this market. What does this low inventory market mean for sellers? The obvious is it is a good time to sell. I always say you can’t time the market – and you really can’t. And selling is typically a personal decision and often triggered by a life event, such as your family getting smaller or larger or maybe you are downsizing or maybe you retired. Regardless, the decision to sell your home is a personal decision. However, the market dynamics in Beverly Hills are pointing that it is a good time to sell. You have a great window of opportunity today to sell but we do see some headwinds that prices are starting to soften a bit. Now make no mistake – we do not see the inventory situation meaning the number of houses or condos for sale in Beverly Hills changing any time soon and expect the seller’s market in Beverly Hills 48025 to continue into next year and perhaps into 2026. But what about the softening I mentioned? The average home price in Beverly Hills, Michigan is $550,991, which is up 6.4% versus May 2023. The peak of the market was in December 2022 and the average home price was $583,357. The average home price is down slightly since December 2022. High interest rates and the low inventory situation may lead to home buyer fatigue and we may see home buyers drop out of the market which would create downward pressure on home price in Beverly Hills. With any of our private clients that own homes in Beverly Hills that are thinking about selling in the next 24 months, we are encouraging them to reconsider and sell in the next 6 months if their situation allows it. Prices are near their all-time high and we don’t want any Beverly Hills homeowner to miss this window of opportunity to maximize the sales price of their home and unlock their home equity. Monthly Market Report: What’s Happening Now? - Days on Market (DOM): The average days on market (DOM) for homes in Beverly Hills is currently 18 days. This is a decrease from last year's average of 28 days, indicating that homes are selling faster. This is an overall average for Beverly Hills with higher price points taking longer and homes that are move-in ready at lower price points are selling in days. Overall, it depends on the price point, location within Beverly Hills, the condition of the home and other factors to determine days on market (DOM) and overall we are saying approximately 30 days is a good general number. - Average Sales Price: The average sales price for a home in Beverly Hills is now $555,991. This represents a 6.4% increase from the previous year. As stated earlier, this is down from the peak of $583,557 in December 2022. These statistics suggest that Beverly Hills remains a desirable location with a competitive housing market. Homes are selling quickly, and prices are on the rise, benefiting sellers while still presenting opportunities for buyers. Market Data Analysis To provide a detailed market analysis, we have studied the data on properties that are Coming Soon, Active, and Sold in Beverly Hills over the past 180 days. Below are some key insights derived from this data: For Beverly Hills Home Buyers 1. Affordable Luxury: Beverly Hills offers a range of housing options, including affordable luxury homes. With an average sales price in the mid $500's, buyers can find high-quality homes at competitive prices compared to nearby affluent areas including Birmingham where the average sale price is over $825,000. 2. Quick Turnover: With an average DOM of 30 days, homes in Beverly Hills sell quickly. Buyers need to act fast and be prepared to make competitive offers. 3. Rising Home Values: The 6.4% increase in average sales price over the past year highlights the potential for strong return on investment for buyers, making Beverly Hills a wise choice for those looking to build equity. 4. Prime Location: Beverly Hills' proximity to major highways and thoroughfares makes commuting easy, whether you're heading to downtown Detroit or exploring other parts of Michigan. Beverly Hills is perfectly situated whether you want to head to downtown Birmingham or need to be close to Corewell Beaumont. (Author's note: Still getting used to saying Corewell. It will be forever Beaumont to me.) For Beverly Hills Home Sellers 1. Seller's Market: The current market conditions, characterized by rising prices and decreased DOM, create a favorable environment for sellers. Homes are likely to attract multiple offers, driving up final sale prices. 2. High Demand: The consistent demand for homes in Beverly Hills means that sellers can expect their properties to garner significant interest, especially if priced and marketed effectively. 3. Community Appeal: Highlighting the village’s excellent schools, green spaces, and community spirit can be powerful selling points. Emphasizing these aspects in marketing materials can help attract motivated buyers. 4. Exclusive Offerings: Due to high buyer demand, some homes sell even before hitting the market. Working with an experienced real estate agent can ensure your home reaches potential buyers through exclusive networks. Property Data Insights Based on the latest data from the past 180 days, here are some additional insights: - Coming Soon Listings: There are several properties poised to enter the market soon, ranging from $350,000 to $600,000. These upcoming listings indicate a healthy pipeline of new inventory despite being in a low inventory of available homes market. - Active Listings: Current active listings show a diverse range of homes available, with prices spanning from $300,000 to over $1 million. This variety caters to different buyer segments, from first-time homebuyers to those seeking luxury residences. In my opinion, the diverse range of home price and offerings drives this dynamic market leading to an overall increase in home prices in Beverly Hills. Variety is the spice of life and the secret sauce of why the Beverly Hills Michigan real estate market is so strong. - Sold Listings: Recent sales data reveals that homes in Beverly Hills have been selling close to their asking prices, further emphasizing the competitive nature of the market. Summary Beverly Hills, Michigan, continues to be a desirable community with a strong real estate market. Whether you're looking to buy or sell, understanding the current market trends and leveraging the unique attributes of Beverly Hills can help you make informed decisions. As an experienced real estate professional specializing in Beverly Hills, I am here to assist you with all your real estate needs. From navigating the buying process as your buyer's agent in Beverly Hills to effectively marketing your home for sale as a listing agent in Beverly Hills, my goal is to provide you with expert guidance and support and unparalleled personal service. Feel free to reach out if you have any questions or need personalized advice. Interested in finding out what your Beverly Hills home is worth? Don’t rely on an internet estimate. Get our Equity Review Report and I will tell you what your home is worth in today’s market and in turn how much equity you have in your home. Contact Information Jeff Higgins  Real Estate Expert  Higgins Partners powered by Real  Phone: (248) 233-6165 Email: jeff@higginspartners.com  Website: HigginsPartners.com

Bridge Loan: The Tool to Buy and Sell at the Same Time

In the world of real estate, timing is everything. Whether you're upgrading to a larger space, downsizing, or simply seeking a change of scenery, the transition between selling your current home and purchasing a new one can be fraught with financial and logistical challenges. In fact, buying a new home before selling your current home or timing the sale and purchase is often the biggest challenge our clients face. This challenge is exacerbated in this low-inventory housing market. We have several tools we use when our clients want to a buy a new home before they sell their current home or want to seamlessly sell and buy simultaneously. One tool that we are now recommending our clients consider is the bridge loan. As a real estate expert, I want to delve into what bridge loans are, their benefits, and some of the drawbacks to consider. What is a Bridge Loan? First off, a bridge loan is a short-term financing option designed to bridge the gap between your current home's sale and the purchase of your new home. This type of loan allows homeowners to borrow up to 70-80% of their current home's value. The funds from a bridge loan can be used in two main ways: to pay off the existing mortgage and use the remaining money as a down payment for a new home, or as a second mortgage to directly finance a down payment for your next home. Each mortgage lender has their own requirements and be sure to consult a trusted mortgage loan professional. Interest payments on bridge loans are typically limited to the interest itself, with the principal due at the end of the loan term, which usually does not exceed one year. The idea is to pay off the bridge loan quickly, often with proceeds from the sale of your current home, aligning perfectly with the loan's purpose to "bridge" your financing needs temporarily. I emphasize to my clients that a bridge loan is a short-term financing strategy and not a long-term mortgage option. Advantages of a Bridge Loan 1. Flexibility in Home Buying and Selling: Bridge loans offer the flexibility to make a down payment on a new property before selling your existing home. This can be particularly advantageous in our current low-inventory, hyper-competitive housing market, where you need to act immediately to secure the home you want. 2. Immediate Access to Funds: Since bridge loans are designed for short-term financing, they are often, not always, processed more quickly than traditional mortgages. This rapid access to money means you can move forward with purchasing a new home without waiting for your current home to sell. 3. Interest-Only Payments: With a bridge loan, you're typically only required to make interest payments until the loan is paid off. I think this is one of the best features of a bridge loan. There is no free-lunch but the interest-only nature of a bridge loan is not budget-busting during the transition between selling and buying homes. Disadvantages of a Bridge Loan 1. Higher Interest Rates: Due to their short-term nature and increased risk to lenders, bridge loans come with higher interest rates compared to traditional mortgages. This means you'll pay more for the convenience and flexibility that bridge loans offer. 2. Risks of Paying Two Mortgages: To me, this is the biggest risk we see in a bridge loan. If the sale of your current home is delayed, you may find yourself in the position of paying two mortgages - both your original mortgage and the bridge loan. The key to mitigate this risk is to have a full understanding of what your house will sell for and more importantly how long it will take to sell and close on the sale of your home. 3. Short Repayment Term: The typically one-year term of a bridge loan means that you'll need to repay the loan relatively quickly. This pressure can be compounded if the sale of your current home takes longer than anticipated. If our client is considering a bridge loan we do a full analysis and pricing strategy to ensure that the home can be sold in a timeframe that meets our client’s budget and is less than 1 year. Conclusion Bridge loans can be an effective tool for buying your new home before you sell your current home.  A bridge loan paves the way between selling your current home and purchasing a new one, offering flexibility, immediate access to funds, and the convenience of making interest-only payments. However, the higher interest rates, potential for double mortgage payments, and the short repayment timeline are important factors to consider and manage. As with any financial decision, it's essential to weigh the pros and cons and consider your unique situation before proceeding with a bridge loan. Be sure to work with a real estate professional, do your homework and know how much your home will sell for and all expenses associated with a bridge loan, including how long it will take to sell your home. If all of the disadvantages and risks associated with a bridge loan are managed and mitigated you may find that the bridge loan is the ideal tool for you to buy a new home before you sell your current home stress-free. Questions about how to transition from your current home to your next home? Contact Jeff Higgins at jeff@higginspartners.com or call/text at (248) 233-6165

Downsizing Myth: Smaller Home Means Cheaper Living

If you're considering selling your current home and downsizing into a smaller one, you might have heard the common misconception that a smaller house or condo automatically translates to a cheaper, budget-friendly lifestyle. But hold on – let's unravel the truth behind downsizing costs and make sure you don't fall into this misleading trap. The Size-Cost Fallacy You've probably heard the idea that a smaller home equals lower costs – less maintenance, lower utility bills, and reduced property taxes. But here's the deal: the size-cost fallacy doesn't capture the full financial picture. Let's break it down together. Considerations Beyond Square Footage: 1. Location Matters – Especially for You Smaller homes in desirable neighborhoods might come with a higher price tag. Proximity to amenities, good schools, and a safe community can significantly influence property prices. Take, for example, a couple who recently traded their 2,500 sq ft house for a 3,000 sq ft condo in Bloomfield Hills – a move that saw a significant increase in property taxes. Downsizing meant something bigger for them, emphasizing how location plays a crucial role. 2. Upfront Costs – You Might Face Them Downsizing could mean investing in new furniture or storage solutions for your smaller home. These initial expenses need to be part of your overall downsizing budget. Many of our clients, excited to furnish their new space, sometimes find it hard to let go of sentimental items. Storing these treasures can come at a cost. 3. Transaction Costs – What You Need to Know Selling and buying involve transaction costs such as closing costs, transition expenses, and moving costs. These expenses are often tied to the property value, not just its size. In our process The Rightsizing Method, we help clients plan for these hidden costs, ensuring they're prepared for every step of the downsizing process. Avoiding the Downsizing Pitfall – Here's How You Can Do It: 1. Financial Planning – Your Key to Success Before you dive into downsizing, conduct a comprehensive financial analysis. Consider all potential costs – from the sale to the purchase and even lifestyle adjustments. Our consultation in The Rightsizing Method ensures you're on top of your financial game. 2. Define Your Priorities – What Matters to You Matters What's important to you? Identify must-haves and deal-breakers for your new home, be it location, amenities, or the overall community vibe. Prioritizing these factors will guide your decisions based on your unique needs. 3. Explore Hidden Costs – Uncover Them for Your Peace of Mind Research the real costs associated with potential smaller homes, like property taxes, utility rates, and any additional fees not immediately apparent. We focus on property taxes, helping you plan for potential surprises when transitioning to a new home with different tax dynamics. Downsizing can be a savvy financial move, but it's all about making informed decisions. By busting the myth that smaller homes are always cheaper, you can navigate the downsizing process successfully. Take the time to plan, research, and consult with experts – it's your journey to a smaller, more manageable home, and we're here to ensure it's a smooth transition that aligns with your budget and lifestyle goals. Happy downsizing!

3 Disadvantages of Condo Living

Condominiums have become a popular housing choice for many home buyers, especially for empty nesters, retirees or those homeowners looking to downsize. This is due to the convenience and amenities offered by condo living. However, like any housing option, condos come with their fair share of disadvantages. We have helped several buyers of condos in Birmingham, Bloomfield, Rochester-Rochester Hills and Oakland Twp. During our exclusive homebuying process The Buyer Advantage, we make sure we explain the advantages and disadvantages. Many of our clients love the lock-and-go lifestyle of condo living. That said, the top 3 disadvantages of condo living include: 1. Limited Privacy One of the most significant disadvantages of condo living is the limited privacy compared to single-family homes. Condos are typically situated in multi-unit buildings, which means you'll be sharing walls, ceilings, and sometimes even floors with your neighbors. This close proximity can lead to noise disturbances from adjoining units, making it challenging to maintain a peaceful and quiet living environment. Common areas are also shared spaces where you may encounter your neighbors regularly. While some people enjoy the sense of community this can foster, it may also feel intrusive to those who value their privacy and solitude. If you're a private person, you might find condo living less than ideal. 2. Homeowners Association (HOA) Rules and Fees Most condo communities are managed by homeowners associations (HOAs) that establish rules and regulations to maintain the common areas and overall appearance of the property. While these rules are intended to create a harmonious living environment, they can also be quite restrictive for some residents. HOA rules can dictate everything from exterior paint colors and landscaping to pet restrictions and parking arrangements. If you're someone who values personal freedom in your living space, you might find these rules cumbersome. Furthermore, HOA fees are an ongoing financial commitment that condo owners must budget for. These fees are used to cover shared expenses, such as building maintenance, landscaping, and amenities. If the HOA mismanages funds or unexpectedly raises fees, it can strain your finances and lead to disputes within the condo community. It's essential to carefully review the HOA's rules and financial health before committing to condo living. 3. Limited Control Over Maintenance and Renovations In a condo, you have limited control over maintenance and renovations compared to a single-family home. While the HOA takes care of exterior maintenance, you're often responsible for maintaining the interior of your unit. However, there may be restrictions on renovations or changes to the unit's structure. These limitations may be frustrating for homeowners who have specific visions for their living space and want to make substantial modifications. Additionally, you may need to seek approval from the HOA before making any alterations, which can be time-consuming and result in delays. If you're someone who enjoys complete creative control over your living space, condo living may not be the best choice. Condo living offers several advantages, such as low maintenance and shared amenities. However, it's important to consider the disadvantages, such as limited privacy, HOA rules and fees, and restrictions on renovations, before making your decision. Condo living is not suitable for everyone, and it's crucial to weigh these drawbacks against the benefits to determine whether it aligns with your lifestyle and preferences. If you are curious about condo living, contact Jeff Higgins today at jeff@higginspartners.com.