Q & A with Johnathan Wolk
These are interesting times in the real estate sector—not just in the Greater Raleigh-Durham area, but throughout the country. Mortgage rates have continued to inch up and are significantly higher now than a year ago. Earlier this month, the Fed hiked rates by 75 basis points (for the first time since 1994). That will, of course, impact banks and lenders, and thus potential homebuyers. Add to that very limited housing inventory, fluctuating costs for materials and labor, along with unpredictable supply chain setbacks, and many potential home buyers are left scratching their head. And though it is still very much a seller’s market, there is still encouraging news for buyer—if you exercise caution and sound judgement. We recently sat down with Johnathan Wolk of Wolk360 to discuss buyer options in the current market environment.
Q. Johnathan, what advice do you give potential buyers this summer?
A. Don’t panic! (laughs) Above all, I want buyers to understand there are options. An uncertain market can produce some of the biggest opportunities if you know what to look for. The real estate market is never static—it is dynamic, in a state of constant flux. That’s important to remember. And sellers have the upper hand and often try to pit buyers against one another in a bidding war. My advice to buyers is: don’t fall for that. Take your time, be smart, and get creative. There are still great deals out there if you know where and how to look.
Q. So how does one recognize these opportunities Johnathan, and how does a potential buyer know where to look?
A. That’s a great question and I’ve got an answer for you. There are two keys to finding, or creating, a good buying opportunity. First, be open minded and consider the end goal—the means to get their might vary so be flexible. Secondly, work with someone who not only has experience, but also has the resources to help you get the best deal possible. For instance, at Wolk360, we aren’t merely a broker or a contractor. We offer a holistic approach that considers multiple variables. Because of our background and expertise, we have the ability to offer buyers turnkey services to evaluate and provide guidance throughout the entire process. We have the resources to provide solutions that a typical agent or builder can’t.
Q. Give us an example of that if you could.
A. Ok, well with all of our in-house resources, we look at the big picture at Wolk360. We corral a lot of moving parts at once. We have real estate agents, contractors, architects, and so forth. That enables us to look at each customer individually to determine what resources they need to get the best value for their situation. Let’s say a potential buyer comes to us and says they want a house in X neighborhood for around 500,000. That’s their top-end limit. Well, there may not be any available houses at that price—or a buyer has hiked up the cost to the point it is not a good long-term deal. So, we might suggest to the prospect, look for a house in the 350s or 400s, and that gives us 100-150k to renovate and upgrade. At the end of the day, the buyer gets the type of house they wanted, we just took a creative route to get there. And many times, that house they bought in the 350s and renovated, ends up worth even more than that 500k they started with as their goal. The bottom line is we have the resources and capabilities to help a buyer get exactly what they want because we have more options at our disposal to help them get there.
Find Out What Wolk360 Can Do For You
If you have been thinking of buying, selling, or building a home in the Raleigh-Durham area, come talk to us. We’re good listeners. And we can provide you with advice or input that helps you make an informed decision—whether you work with us or not. After all, it certainly won’t hurt to talk…and chances are we can provide a custom solution that maximizes the value of your transaction.