*Special Advertising Section*
Questions answered by our local Leading Real Estate & Home Professionals of 2024
How should I price my home in this market?
Home sales have dropped 31.57% year to date in Anne Arundel County. This drop is wholly due to a drop in the number of homes listed. There has been a 28.1% drop in the number of homes listed in 2024 versus 2023 year to date. Average sales prices are up 3.7% so values are holding strong and all statistical measures indicate strong buyer demand. Until we see more listing inventory to satisfy or at least counterbalance the buyer demand then we will remain in a solid seller’s market.
The David Orso Team of Berkshire Hathaway Home Services | Pen Fed Realty
Is it best to wait until interest rates are lower before purchasing a home?
Waiting to purchase a home until interest rates drop has potential advantages and drawbacks. Pros include lower mortgage costs, potentially saving money over the loan term. Also, a lower interest rate may increase affordability and improve your purchasing power. However, cons involve the uncertainty of rate movements and the risk of missing out on lower property prices. Waiting also means delaying homeownership and potential equity growth. It’s essential to weigh the potential savings against the opportunity cost of delaying your investment.
Rachel Gontkovic | Annapolis Fine Homes of Long and Foster Real Estate
What do you attribute your success to after being in the business for over 15 years?
A relentless work ethic combined with an unwavering commitment to my clients’ best interests. It has been and always will be the foundation of our business. Over the last couple of years, I have been able to surround myself with like-minded and amazing people on my team that have the same exact vision and philosophy for the business, and that has me very excited for the next 15 years.
Scott Schuetter | Berkshire Hathaway Home Services
Do you expect the Seller’s Market conditions that we have seen for the last couple years will continue throughout 2024?
We have never experienced a time when there were less homes listed for sale. This unprecedented lack of supply coupled with high demand has continued to propel our local market. There are a plethora of cash buyers currently searching for their waterfront escape. If you want to sell your home for top dollar, don’t wait, sell now and catch this hot seller’s market.
Brad Kappel | TTR | Sotheby’s International Realty
What Differentiates a Waterfront Specialist?
Whether you are buying or selling a waterfront home, it’s important to evaluate the skills and qualifications of the real estate agent you are considering. There are many factors that contribute to the total value of a waterfront property – even something that seems simple like water depth is actually more complex when you consider the tides and time of year. Well and septic limitations require an understanding of local zoning codes. This may be your largest transaction ever – make sure you are working with someone who has years of experience not only in real estate but, more importantly, a focus on waterfront.
Reid Buckley | Waterfront Property Specialist | Mr. Waterfront Team of Long & Foster Real Estate | www.WaterfrontHomes.org
Can I shield my deed from public record?
Yes, select buyers can receive shielding of their personal information through the “Maryland Safe At Home Address Confidentiality Program.” The program, run through the Office of the Secretary of State, serves survivors of threatened, attempted or actual domestic violence, sexual assault, human trafficking, stalking, and harassment. Protection is also available for at-risk professions, including attorneys, judges, and safety officers. Using this program completely shields the deed, and any liens, from public view, by providing the purchaser with a legal substitute address and mail forwarding service. Learn more at the AACAR Realtor Conference on April 4, 2024, where I will be teaching a 1.5-hour CE on this subject.
Cheryl Odell-Duffy | Severna Park Branch Manager, Settlement Officer | Eagle Title
What are the current challenges in the Maryland real estate market, and how might they impact buyers and sellers in the coming months?
Presently, our market contends with persistently low inventory and a significant number of potential buyers remaining on the sidelines due to prevailing interest rates. Forecasts for the upcoming year indicate a projected slight decline in interest rates. This anticipated shift is expected to entice buyers back into the market and motivate sellers to list their properties. While the transition is expected to unfold gradually throughout the year, the ultimate outcome is a thriving and competitive real estate market, provided that everything aligns with the projected plan.
Erica Baker | TTR | Sotheby’s International Realty
Are we on the back end of the real estate boom?
Yes, the “Covid Years” are completely in the rear view mirror. In 2023, there were 6970 homes sold in Anne Arundel County which is slightly below the 25 year average of 7560 per year. The peak occurred in 2021 with 12,152 homes sold and then started to decline in 2022 with 9139 homes sold. Naturally the number of homes sold is related to the number of listings being presented to the market. Here’s the catch; demand is still outpacing supply so we remain in a seller’s market and pricing is holding firm. The 43% decline in sales could be very misleading on the surface without a deeper understanding of all market factors. Data leaves clues!!!
The David Orso Team of Berkshire Hathaway Home Services | Pen Fed Realty
What do you need to consider when searching for a lot or land to build a custom home?
When building on a vacant lot or raw piece of land, we advise that any contract include the ability and time to perform a feasibility study, usually 60 days. This is so important to help you determine if the lot is buildable, the associated lot preparation costs, along with any critical area restrictions. All of these factors will heavily impact the design of your home. Before moving forward on any lot or piece of land, download the free checklist at MuellerHomes.com/checklists.
Paul Mueller Jr. | President | Mueller Homes
How can home sellers maximize their property’s value in the 2024 real estate market?
Guided by an experienced realtor, sellers should focus on pricing accurately, making home improvements strategically to add value, and marketing centered on excellent professional photography. Our team’s high-energy process starts by connecting with our clients’ unique goals, from finding a buyer through a Private Exclusive to getting nationwide exposure. Building on Compass’ technology platform and the Annapolis office’s extensive local and national resources, we are proud to provide every seller with outstanding value.
Jen Holden | The Jen Holden Group of Compass
What do we do if we think we need to make repairs or do updates before our home goes on the market?
Before undertaking repairs or doing any updates consult an experienced local realtor to best advise you on the most up to date marketing recommendations. Sometimes an item that you think is an issue may not be. We have even partnered with companies that will do renovations, make licensed repairs and delay the cost until after closing. You get valuable marketing expertise and expert guidance of what is necessary or recommended to increase your property value and help you avoid wasted time and money.
Christy Bishop | Berkshire Hathaway HomeServices PenFed Realty
Can I sell my investment real estate using a 1031 exchange and buy a vacation home that I can enjoy with my family during the summer months?
No. You can sell your investment real estate and reinvest the gain, tax deferred, to purchase your vacation or second home, the challenge is making sure it will qualify as a 1031 investment property. Meaning that during the initial 24 months of ownership there are strict rules to follow regarding personal use. The important rule is that you can only use the property for 14 days each year or 10% of the actual days that you rent it out. For example, if you lease it for 200 days each year, your personal use can be up to 20 days. If you are able to abide by these rules, after two years the dream vacation home is yours to use as often as you like without any more requirements.
Jack Papaleonti, GRI/Realtor® | The Anchor Team of Academy Realty
How do you anticipate the upcoming Presidential election will effect the local real estate market?
Regardless of which way the political pendulum swings, history shows that the stock market typically sees an uptick after the election passes and consumers also feel a sense of relief which in the past has led to robust real estate market conditions and increases buyer demand.
Brad Kappel | TTR | Sotheby’s International Realty
What is Werrlein Services?
Werrlein Services is the one stop shop for all your home service needs. You no longer will have to look around for different trustworthy and affordable home professionals anytime something goes wrong. We solved that by having it all under one roof. We provide you with the great convenience of only needing to call one number for all your home service needs. Each home is assigned to one of our Home Specialist. We will be working directly with you each time to provide an easy and reliable experience. We like to call it “Home Services, Made Easy.”
Jonathan Werrlein | Werrlein Properties
What can I do to attract more showings and possibly receive multiple offers on my home?
Taking the time to get your home in prime condition is so important. A qualified Realtor will have the resources to guide you to be the hottest house in town. Buyers want new paint, new flooring, upgraded baths, and great new upgraded kitchen with updated appliances.
Giving your home a facelift prior to entering the market will pay off in price, a short time on the market and the possibility of multiple offers.
Christina Janosik Palmer | Christina Janosik Palmer Group of Keller Williams Flagship of Maryland
Why do you feel staging is so important?
In an occupied home, there is a very important transition from living in the home to selling the home. The owner can only see the home in one way, as the home they live in. Therefore, it is extremely critical for a staging professional to come into the home to help them make that transition. That is exactly why we pay for staging for every one of our listings. We want our sellers to get top dollar, so it was an easy business decision for us many years ago.
Scott Schuetter | Berkshire Hathaway Home Services
If I bought title insurance when I bought my house, why do I need to buy it again when I refinance my mortgage?
There are two different types of title insurance policies: owner’s insurance, and lender’s insurance. An owner’s title insurance policy covers you, the consumer, for as long as you own the home. The lender’s policy is specific to the mortgage that is being insured. Therefore, when you refinance your loan, the original lenders policy is no longer valid, and a new policy must be issued to insure your lender’s lien priority on the property. You should, however, be able to benefit from the highly discounted rates for refinance transactions that are now widely available.
Brooke Silard | Settlement Officer | Eagle Title
It seems like waterfront homes have become unaffordable and uber luxury is the new norm. Is that true?
A very passionate NO!!! Don’t be fooled by advertising of luxury homes by realtors trying to build a personal brand. I’d offer three statistics to encourage potential waterfront homebuyers: (1) The average sales price for waterfront homes in 2023 was $1,486,834, which was $40,000 more than 2022. (2) 79% of waterfront homes sold in 2023 were under $2m. (3) 2 out of 3 waterfront homes purchased in 2023 were purchased with a loan NOT cash. My advice for anyone seeking to live on the water but feeling a bit intimidated by the pricing is to meet with a true professional and have a consultation to share your dreams and visions.
The David Orso Team of Berkshire Hathaway Home Services | Pen Fed Realty
What would you say is the most important factor to consider when selling a waterfront property?
In order to generate the sizzle when you first list your home you need to price it right, make sure your home is polished up so it shines and don’t forget high quality aerial photos. That said, the key factor is to make sure you hire a brokerage that effectively targets the Washington D.C. / Metro market. Recent sales data indicates that most premier waterfront properties are sold to buyers who are migrating this way to experience the Annapolitan lifestyle.
Brad Kappel | TTR | Sotheby’s International Realty
Do I have to sell my home prior to buying?
Various programs and financial strategies can aid homeowners in acquiring a new home before selling their existing one, which is crucial in competitive real estate markets. Common solutions include: Bridge Loans - short-term cash flow for purchasing a new property before selling the current one. Home Equity Line of Credit (HELOC) - permits borrowing against significant home equity. Home Sale Contingency - allows making an offer on a new home contingent on selling the current one. Leaseback Arrangements - involves negotiating to rent the sold home until seller finds a new property. Buy Before You Sell Programs - offered by certain companies, they can purchase a new home on your behalf before you sell the current one, facilitating a smoother transition.
Jennifer Chino | Team Lead, Stahley Thompson Homes
What are the qualities I should look for in selecting a Realtor to work with?
An agent’s dedication as a full-time Realtor and their dedication to making your real estate goals a reality. Request the agent’s track record for the last 12 months, don’t be afraid to ask for references and what their reputation is in the industry. Ask for a 90-day business plan in writing. Keep in mind this is a business transaction so you should handle it exactly that way. Ask for a realistic “days on the market” strategy/marketing game plan when listing your home. When buying a home, make sure you meet and interview to decide if all the personalities mesh. Most of all, make sure you select an adequate and knowledgeable advisor to one of your largest purchases or sales.
Christina Janosik Palmer | Christina Janosik Palmer Group of Keller Williams Flagship of Maryland
What changes have you seen in the market?
The market has reacted and changed in many ways that me and my peers expected. We are honestly experiencing a very normal market. Demand has gone down, but inventory remains low so they are now balanced creating a very healthy market. Homes that are prepared well, priced well and brought to market properly are finding great success.
Scott Schuetter | Berkshire Hathaway Home Services
When is the best time to list a waterfront home?
To really understand this question starts with an understanding that most waterfront buyers have specific criteria and take their time to find a home which meet their requirements. Therefore, it is less about timing the market and more important to present the home properly with content rich information for the discerning buyers. The fact is 65% of waterfront homes were listed in the first half of the year so the competition is heaviest in the spring market. The reason for the early presentation of inventory is simply because most waterfront home sellers think their home presents the best in the spring with landscape in full bloom and the strong desire of buyers to be out on the water.
The David Orso Team of Berkshire Hathaway Home Services | Pen Fed Realty
Are home valuation websites accurate?
Online tools offer a basic estimate using public data, but they may not include recent upgrades or neighborhood nuances. Real estate agents, armed with the latest data and market trends, provide a more accurate valuation. They consider subjective factors, such as recent upgrades, unique design details or community amenities that algorithms can overlook. While home valuation websites serve as a starting point, a professional’s localized knowledge ensures a comprehensive evaluation, factoring in both quantitative and qualitative aspects. Trusting real estate agents leads to a more informed and precise understanding of your property’s true value in this dynamic real estate market.
Rachel Gontkovic | Annapolis Fine Homes of Long and Foster Real Estate
Do Waterfront Properties Have Unique Regulations?
Waterfront properties can offer incredible amenities yet it’s important to understand the challenges and limitations, especially for buyers thinking of a major renovation or new construction. Flood zone maps are top of mind: when was a home built (elevation) and how does that impact insurance costs. The Chesapeake Bay Critical Area overlay is another guide to what’s allowed on properties within 1,000 ft of the water. Working with a Waterfront Specialist enables buyers to understand their options and helps owners properly market their home when it’s time to sell.
Reid Buckley | Waterfront Property Specialist | Mr. Waterfront Team of Long & Foster Real Estate | www.WaterfrontHomes.org
In 2023 you were voted Best Luxury Realtor on the Eastern Shore. What does Luxury mean to you?
Multimillion-dollar properties aren’t the only ones that I would describe as “luxury”. Luxury can be the quality of the build, a desirable location, or features like wine cellars (a favorite), pools, or landscaping. It’s anything that adds pleasure, comfort, or enjoyment to a space beyond what is essential. The beauty of luxury is that it is different for everyone. I love working with clients to identify what luxury means to them, regardless of price point. As we enter 2024, my focus is to continue helping my clients buy and sell their dream homes; whether it’s a townhome on Kent Island or a waterfront estate on the Wye River!
Biana Arentz of Coldwell Banker Realty
What are the three most common features that buyers look for in a top tier waterfront property?
Privacy is paramount, many of the buyers coming to the Annapolis area in search of a retreat to relax and escape from the hectic city life. Waterview is also extremely important. Unobstructed panoramic views always fetch a premium in this market and the most coveted feature is the waterfront pool. The local critical area laws are very restrictive and having a pool on the waterside can be a challenge to have permitted, so an existing waterside pool is a major value add.
Brad Kappel | TTR | Sotheby’s International Realty
What terms other than price should I be asking for when selling my home?
In a low inventory market where there are often buyers competing for your home, it's an opportunity to ask for things in addition to the highest price. Other things to consider are asking to be able to stay in the home after settlement to ease the moving process. If a buyer does a home inspection, ask them to agree to accept the home as-is (not asking for repairs). Ask the buyer to cover some or all of your transfer taxes. Having more money, not having the hassle of completing repairs, and being able to stay longer to have time to move and clean - all of these are wonderful things to have to work in your favor and can be negotiated.
Kristi Neidhardt | Kristi Neidhardt Team of Northrop Realty
What are you seeing in the local real estate market and what do you predict?
Anne Arundel County real estate is HOT! There is a huge pool of ready, willing and able buyers who are anxious to purchase a home and enjoy our extraordinary lifestyle. As a result, the average sales price in Anne Arundel County has increased drastically from 2020. The average residential sales prices are as follows- 2020 - $450,546, 2021 - $493,726, 2022 - $531,131 and 2023 - $563,477 - an increase of over 25% in just 4 years. Meanwhile, the number of sold properties decreased from 11,310 in 2020 to 7,034 in 2023. If we had crystal balls, we all would be billionaires but for today, there has never been a better time to sell your home!
Alex Tower Sears | The Tower Team of TTR | Sotheby’s International Realty
What is important to consider when choosing a roofing contractor?
I would approach any remodeling project the same way. Is the contractor licensed and insured? Do they have an established business with a strong history in the community? Does this company offer a long-term warranty on their workmanship? Does this company offer references of their past work? I’m pleased to say that Bowie Siding & Roofing has been offering top notch service since my dad started in the industry in 1971. We approach every home as if it is our own and try to give our best advice. We offer an honest up-front quote in writing for your consideration. There will never be any high pressure sale tactics and we make ourselves available for personal attention to our customers via a variety of different outlets. We would love to earn your business and appreciate our excellent long standing relationships within the community.
Jocelyn Turpin-Anderson | Bowie Siding & Roofing
Is Now a Good Time to Buy a Home?
Determining the optimal time to buy a home involves evaluating various factors. In 2024, factors such as interest rates, housing inventory, and economic stability play pivotal roles. If you can get a favorable interest rate, it could be considered a good time for you to buy a house. Local market conditions and personal financial readiness should always be considered. Consulting with a real estate professional can provide personalized insights, helping individuals make informed decisions aligned with their specific circumstances.
Bill Franklin | Long & Foster Real Estate Crofton/Bowie Sales
What is the mortgage industry outlook for 2024?
During the early part of the year, expect some bumpiness in rates as new economic data are released and as more buyers get back into the market. However, the overall outlook for mortgage rates in 2024 suggests more rate drops, with Bright MLS forecasts predicting rates to hit 6.2% by the fourth quarter.
Ryan Furhman | Prosperity Home Mortgage
What is the biggest mistake a seller can make when interviewing agents?
Focusing solely on price. Agents can toss out any number they want but what is behind it is more important. Sellers should be wary of ’the highest bidder’ and instead seek substance. Most importantly, everything starts with IMAGE. High quality professional photography/videography and professional staging are crucial in crafting an overall image that draws buyers in. Buyers create their short list of properties by what is online. Your agent also has to understand your target audience and how to market to it. Any agent can stick a sign in your yard but not every agent understands all the many intricate layers. Make sure you ask the tough questions.
Tricia Wilson | Chaney Homes
Should I order a home inspection prior to listing?
Absolutely! Ordering a home inspection before listing is a strategic move. Since no home is perfect, it allows you to identify and address potential issues upfront, preventing surprises during negotiations. A pre-listing inspection also boosts buyer confidence, showcasing transparency and maintaining trust. This proactive approach not only streamlines the selling process but often leads to smoother transactions and can even justify a higher asking price. In the competitive real estate market, a well-inspected home stands out, making it extraordinarily enticing for prospective buyers. Take properties on the Eastern Shore for example – many times crawlspaces can be a big problem and is why I always suggest having then inspected and remediated prior to listing. Ultimately, investing in a pre-listing inspection is a wise decision to maximize your property’s market appeal and minimize post-offer hiccups.
Cornelia C.Heckenbach | Long & Foster Real Estate | Forbes Global Properties Specialist
The real estate market in 2024 is returning to more normal levels than the past 3 years. What are the most important factors a seller should consider when putting their home on the market now?
Price: Buyers are very savvy and it is critical not to overprice. Review the comparables provided by your agent and understand that you’ll actually attract more interest if buyers feel the value is justified. If so, there are still a large pool of buyers in the market and you may end up with multiple offers.
Staging & Photography: I can’t stress the importance of having your home show its best when it is first put on the market. Declutter, organize, and stage appropriately is the key! Hiring a professional stager when necessary can make all the difference, especially when a house is vacant. The same goes for a photographer/videographer; remember the first impression is often the difference between the potential buyer wanting to see a property or not.
Laura Carney | TTR | Sotheby’s International Realty
How is Lakeside at Trappe unique from other Eastern Shore communities?
Lakeside at Trappe sets itself apart from other communities with its diverse selection of living options, including spacious new townhomes and single-family homes, some featuring convenient main-level living, that are available to either purchase or lease. The community offers a rich lifestyle with onsite resort-style amenities including a swimming pool, bathhouse, playground, and sports court opening this summer, along with a planned lake, dog park and green space. Located just 8 miles from Easton and a short drive to Annapolis and Maryland's beautiful beaches, this unique combination of home variety, financial flexibility, on-site amenities, and ideal location makes Lakeside at Trappe a standout choice for those seeking a vibrant lifestyle on the Eastern Shore.
Diane Dougherty | New Home Counselor, Brookfield Residential at Lakeside at Trappe
