This Real Estate Market Is the Strongest of Our Lifetime

When you look at the numbers today, the one thing that stands out is the strength of this housing market. We can see this is one of the most foundationally strong housing markets of our lifetime – if not the strongest housing market of our lifetime. Here are two fundamentals that prove this point. 

1. The Current Mortgage Rate on Existing Mortgages

First, let’s look at the current rate on existing mortgages. According to the Federal Housing Finance Agency (FHFA), as of the fourth quarter of last year, over 80% of existing mortgages have a rate below 5%. That’s significant. And, to take that one step further, over 50% of mortgages have a rate below 4%.

Now, there’s a lot of talk in the media about a potential foreclosure crisis or a rise of homeowners defaulting on their loans, but consider this. Homeowners with such good mortgage rates are going to work as hard as they can to keep that mortgage and stay in their homes. That’s because they can't go out and buy another house, or even rent an apartment, and pay what they do today. Their current mortgage payment is more affordable. Even if they downsize, with today’s higher mortgage rates, it could cost more.

Here's why this gives the housing market such a solid foundation today. Having so many homeowners with such low mortgage rates helps us avoid a crisis with a flood of foreclosures coming to market like there was back in 2008.

2. The Amount of Homeowner Equity

Second, Americans are sitting on tremendous equity right now. According to the Census and ATTOM, roughly two-thirds (around 68%) of homeowners have either paid off their mortgage or have at least 50% equity.

In the industry, the term for this is equity rich. This is significant because if you think back to 2008, some people had to make the difficult decision to walk away from their homes because they owed more on the home than it was worth.

But this time, things are different because homeowners have built up so much equity over the past few years alone. And, when homeowners have that much equity, it helps us avoid another wave of distressed properties coming onto the market like we saw during the crash. It also creates an extremely strong foundation for today’s housing market.

Bottom Line

We are in one of the most foundationally strong housing markets of our lifetime because homeowners are going to fight to keep their current mortgage rate and they have a tremendous amount of equity. This is yet another reason things are fundamentally different than in 2008.

Summer Soirees: How to Celebrate the Little Things This Season

Courtesy of The Scout Guide

While we’re all for celebrating major milestones—weddings, graduations, birthdays—there’s something to be said for honoring life’s more modest moments. Recently labeled as alt-bashes, the trend to revel in even the most mundane of gaieties seems to resonate with many in this post-pandemic world. Whether toasting to a hard-earned work promotion or throwing a backyard barbecue to mark the start of the baseball season, there’s no occasion too insignificant to not warrant a celebration with loved ones. Four event experts share the low-down on these mini-fetes to help you dream up your next pickleball and Palomas party!

Table decorations by Laurel & Rose. Photography by Mi Belle Photographers.

Take a cue from Mother Nature. Shaun Teague, curator of happiness at Cue The Champagne Event Planning and Design in Chattanooga, Tennessee, considers summertime to be the ideal season for diving head first into the alt-bash trend. She recommends taking advantage of warm summer evenings and hosting a glamorous sunset soirée. “Set up an outdoor lounge and create a sophisticated menu featuring handcrafted cocktails, gourmet hors d’oeuvres, and decadent desserts, and as the sun sets, the ambiance will become even more enchanting,” Teague says. Shawn Cossette, owner of Be Just in Charlottesville, Virginia, agrees that bringing in nature as part of the entertainment is never a bad idea. Her gatherings have included everything from celebrating the return of the goldfinches to river floats at dusk to witness the parade of fireflies and the summer symphony of insects.

Keep it cozy. There is no need to invite the multitudes to these bashes. Tessa McAuliff, owner and creator of Tessa’s Table in Winter Park, Florida, shares that keeping these get-togethers on the smaller side is preferred. “If you choose to entertain often, in honor of smaller occasions, it’s best to keep your guest list selective,” she advises. “It makes it so much easier to set a table and cook for a smaller group.” A more intimate gathering also allows for more quality time spent with your guests.

Party decorations by Laurel & Rose. Photography by Kelli Christine Photography.

Be intentional about your gatherings. The beauty of the alt-bash is in its casualness, but that doesn’t mean you have to sacrifice purpose. “While it’s not necessary to obsess over every detail, it is important to be intentional with the guest list and remind everyone why spending time together is so important,” Jolene Greenbaum Peterson, owner of Laurel & Rose in Boulder, Colorado says. She goes on to tout the importance of conveying to your guests exactly what you’re celebrating, keeping in mind that no milestone is too small, and that their attendance makes the gathering all the more special.

Celebrate individual differences. Variety is the spice of life! Celebrating non-traditional milestones is the perfect opportunity to shine the light on the many beautiful and equally special paths individuals can choose to take. “Why not throw a bash to celebrate your decision to travel the world instead of buying a house?” Peterson says. “I love to celebrate unique life decisions. It reinforces the belief that there is no one-size-fits-all and we can feel good about celebrating things that may have once felt alternative to others.”

Embrace spontaneity. Unlike the extensive planning that more traditional celebrations call for, the allure of an alt-bash lies in its inherent spontaneity. “Allowing guests to come together for more unexpected moments of joy, an alt-bash tends to be more impromptu, based on an urge to share an exciting mini-milestone or achievement with friends and family,” Peterson explains. Thanks to the unscripted nature and shorter planning timeline, some of the pressure of party planning is removed, allowing hosts to be fully present in their gatherings.

Elevate outdoor dining. There’s something about dining al fresco on a blanket that just feels special. Presentations matters even when you’re outdoors, some of Cossette’s tricks to turn a basic picnic into a celebratory experience include presenting guests with individual bento boxes with chopsticks and serving a family-style meal on colorful bamboo plates. Avoiding the common practice of using plastic or paper, and opting for a more elevated and greener approach, is her biggest go-to. “It might sound crazy, but I always serve beverages in glass, wrapping each vessel in a linen napkin,” she shares. “And I always use ceramic, bamboo, and enamel for tableware.”

Party decorations by Laurel & Rose. Photography by Ashley Sawtelle.

Pick your splurge. One of the many perks of throwing a smaller soiree is escaping the financial burden that some larger celebrations can put on the host. If you’re looking to elevate a few party elements, McAuliff recommends areas where your dollars may make the most impact. “I would splurge on good food, lots of candles or string lights, and good wine or cocktails. I consider lighting and music to be two of the most important elements of a party,” she says. “And having fabulous food and drinks is just the icing on the cake, which by the way, you can actually just pick up at your favorite local bakery!”

Boca Raton Ranked 12th Suburb in the Country

By AMBER BONEFONT | arandall@sunsentinel.com | South Florida Sun Sentinel

Boca Raton is one of the cities offering the best mix of urban and suburban living, as it boasts a booming downtown and city-like environment, a new study concludes.

The city of Boca Raton ranked 12th nationally out of almost 1,000 cities across the country due to its ability to provide the privacy and safety of suburban life as well as access to lifestyle and amenities, according to the study from Storage Cafe, a division of Yardi Matrix, a provider of research and data on housing, real estate, apartments and commercial properties.

“The lines between urban and suburban living are getting blurry across the country. People have been seeking the comfort and privacy of suburbs while also craving city-like amenities – and it has driven a massive redesign of the suburban environment,” the report noted.

To calculate the ranking of the top 20 suburbs in the United States, Storage Cafe looked at a few key metrics such as transportation options, home prices, housing affordability, commute times, business opportunities, among other factors.

Based on those metrics, Boca Raton came in at No. 12 out of the 912 cities that were analyzed in the study, offering one of the best mixes of a private suburban feel and access to city-like amenities.

“It’s the quality of life. We have great weather, beautiful beaches. We have a wide-range of recreational activities and the city is known for its parks, golf courses and tennis,” said Bonnie Heatzig, executive director of luxury sales at Douglas Elliman in Boca Raton. “It’s home to cultural venues that offer a range of arts and entertainment as well.”

The downtown corridor has seen a lot of redevelopment over the past few years in Boca Raton, bringing with it numerous high-rise condos, apartment buildings, as well as new restaurants and commercial spaces. Luxury projects such as the Royal Palm Residences and Alina Residences are a big draw for out-of-state buyers, while the Boca Raton Resort serves as a cultural landmark that also draws in much of the hospitality industry.

The Boca Raton Resort “is a huge source of employment for hospitality,” noted Ignacio Diaz, owner of Group P6, a developer based in the city. “For employment, it’s very well-balanced. It has always been rich in law firms, but it’s growing with the younger sector. There’s health care professionals, traditional white collar and now with the tech companies.”

Edina, Minnesota, took the top spot on the ranking, noted for its business sector and transportation, with Falls Church, Virginia, and Palo Alto claiming the second and third spots.

Other metrics that also allowed Boca to stand out: Its housing diversity, offering an almost even split between single-family homes and multi-family ones, a 4% growth in population over the past five years, and the commute time to work, with the typical commute averaging about 21 minutes.

“Our population is growing. The local residents within Boca that are looking to upsize or downsize, they don’t want to leave, and then we have the buyers from out of state,” added Heatzig. “There’s also affordable options in the western parts of the city.”