Real time real estate

Life is not a reality TV show.

In real estate I hear about HGTV all the time. I even started watching the channel so I could better estimate what expectations were.

In House Hunters we have a thirty minute search of properties which yields a "find" and a "decision" but we don't follow that purchase to the closing table. We have no idea how many days, weeks, months were consumed while filming the search as I totally doubt that only three properties were viewed. It is good TV to show us the final three but in real life? Depending on the market, buyers will have more options or no options at all.

I like Love it or List it because the realtor on that program does start to show you how difficult it is to find some one's dream location. That program also starts to show how difficult it is to reconstruct a house. The contractor almost always finds some major "issue" that needs to be solved eating away much of the reno budget. But, see...that's what real life is really like. In reno jobs you must expect set backs and budget sucks. Otherwise you are just living in Oz.

Property Brothers shows us some real life negotiations and how they fall through, plus, more importantly, this program shows some hard reality with pricing....sometimes you have to pay more than you wished to get the house you want. I'm actually partial to this show, too, because we always see a diva whining about the cost of the fixer-upper they are going to buy. "Why's it so expensive? I don't wanna pay more than this. This place is a dump." Yeah, well, that's what the market will bear, sweetie, so either pay up or keep renting.

If you aren't an HGTV watcher but want to buy some real estate, I do suggest you start to watch these. Also take the time for House Hunters International -- there's a wake up for you. Other countries where people live without central air and heat, where water heaters have to be turned on, where there is no such thing as a Master Bedroom much less a Master Suite. This show, I like to point out to my clients, is more like house hunting in SoIL. Because there are plenty of little houses in our small towns and cities that have a lot of charm but no master bedroom and no dining room. You have to make do with what's there in your price range.

Especially now.

Interest rates took a big leap up over the weekend. Starting about Wednesday of last week they started to climb and now they are hovering around 5%. This is going to be the new norm. These low interest rates where not going to last forever and those who waited? Maybe waited too long.

If you keep waiting; riding that fence waiting for even lower prices: ((foreclosures and short sales are getting scarce and, although you will still get a steal, you will not get a $200,000 house for $20,000 anymore)) AND you will pay a higher interest rate for the money you borrow. Housing prices are going up.

Bidding wars are a real thing now, not just in California, but here in SoIL.

Interest rates bottomed and are rising again.

If you want that house -- be prepared to buy it.