I just wanted to thank you for listening today and hope that you enjoy today's show. The real estate market in Indiana has been on a on fire, which most of you are aware of many of you have questions about the market, the best way to buy and sell a home in this type of market. It's just crazy. To help you understand what has happened and what is likely that I have a real estate guru, Jeremy page he's real tour and the assistant manager with carpenter real tours in Zionsville, Indiana, I've known Jeremy for quite some time he graduated from Cedarville University. I think that's an Ohio with a Bachelor of Arts in Business Management Marketing. He's got the marketing credentials that you need. Jeremy graduated from the realtor Institute. He's on the Council of certified residential specialists. And he has a GRI designee and former council member. Jeremy, thanks for joining me. I appreciate it. Thanks for having me. Great. Yeah, I know this market. I really think that that's it's such a crazy market that it's definitely worth talking about. Because I don't think most people have seen this market in their lifetime. Jeremy Page 1:27 No. And I can tell you here in Central Indiana, we have not seen this market ever. It is something that's new to us. It's what we used to joke about, you know, California, you know, being in California and you know, you buy a house today, and it's worth $100,000 more tomorrow, and then the price drops out. And we're seeing that massive appreciation. The good news is here in Central Indiana, there is no forecast of the bottom dropping out like it used to in California all the time. Rick Ripma 1:57 Right. I mean, we used to, it seems like in fact, I have some statistics on it. In Indiana, we saw somewhere around three, three and a half percent a year pretty much year after year after year. Yep, Jeremy Page 2:08 yep. And it didn't very far from that last year. We saw a 19% increase in values. Yes, craziest? Yes. It's awesome. It is if you're a homeowner, Rick Ripma 2:18 if you're a homeowner, when you're a homebuyer, yes. But I gotta back up a little bit. I, I did see I was looking at information. I didn't see that you're a member of the multimillion-dollar club. But I wondered what that what does that mean? Jeremy Page 2:31 It just means I've sold a lot of houses. I've sold well over a multi-million I probably did that my first year. Yeah. So you got lots of experience? Yeah, know what to do. That was 15 years ago, a long time ago. Rick Ripma 2:44 And I also noticed that you're with Carpenter, and that Carpenter has a home marketing system. And how does a system benefit a home? Seller? Jeremy Page 2:56 Well, you had mentioned earlier that I've got a degree in Marketing, and I have some experience working for a marketing company prior to my life in real estate. And that's one of the main reasons I joined carpenter is because of their marketing. And so, the Home Marketing System is it's actually an internationally award-winning system that is been ranked the number one system designed to help people sell their houses. It's a multimedia approach. I mean, I always joke with my sellers and say, hey, I can go into details on all of it and waterboard you with it, but I can, I can guarantee you that there's no one else around that has the ability to market a home like we do. Rick Ripma 3:32 Now. That's awesome. And if somebody needed to get ahold of you would like to talk to you about listing their home buying a home, what's the best way to contact you? Jeremy Page 3:40 Yeah, my cell phone, which is 317-413-5311 and my email, Jay Page, and that's J Page at call carpenter. Com. Rick Ripma 3:53 Yes. Even I can spell that. I can't spell anything. Page like page. Listeners may be hearing that your office is in Zionsville. Correct. But you aren't limited to Zionsville are you? Unknown Speaker 4:07 No, I sell all around the central Indianapolis Central Indiana area. Rick Ripma 4:11 That is what I've noticed. I've worked with you for quite some time and you have expertise in the whole area? In fact, not only do you have expertise in the whole Indianapolis metropolitan area, when you get somebody outside of you the area, you have people you can refer them to because you know your not a guru in that area. So, you the best thing for your client and get them with somebody who is a Guru in that area. Jeremy Page 4:31 Absolutely. I've referred people all over the United States and actually all over the world when they're buying or selling houses. I belong to a network that has great agents like myself all around the United States in the world so they can get great service wherever they're at or wherever they go. Rick Ripma 4:47 That must be very comforting for somebody who is here, but they're moving it doesn't matter if they're moving to Nashville, Indiana, or they're moving to Tokyo, Japan. Absolutely. To know that they have a Solid agent that they can now go work with. And they, because that would be a hard thing to try to get when you're not in that area. Try to find that right agent for you. Jeremy Page 5:09 Yeah, a quick example, one of my best friends just bought a home out of my area. I referred him to a great agent and my friend is extremely happy. They really appreciated having a great agent working for them even before they meet them in person. Rick Ripma 5:16 I don't think people really understand. We really need to get back to the market. Yes, we know that. So tell us about what the real estate market was in 2000 22,021. Okay. Jeremy Page 5:30 Yeah. So, the last couple years, you know, looking back at 2021, in particular, I mentioned you know, the values are up 19%, we hit a record number of sales, you'll hear a lot of people talking about the inventory, and there is no inventory. And though that is true, they're relating that to, there aren't any houses for sale. And that's not true. So actually, we sold more houses last year than we ever have before in recorded history here in Indiana. So, the problem is a buyer problem, as we say it's supply and demand, the supply is actually out there just not near as much as the high demand from buyers. The millennials are out in the forest right now all statistics are pointing to they're the number one buying generation right now. We also have a lot of investors that are buying up properties here in Central Indiana, a lot of big investors, a lot of investors that are Wall Street type investors have been buying up properties here. And then builders, they're doing their best, but they can't keep up. So that the buying side, I feel like it's loosened up a little bit. I mean, there was times where you had to be on a waitlist, and they would just say we're gonna call down this list, you know, whenever we're ready to release lots of in six months or whatever. And if you answer your phone will give you 24 hours to say you're in or you're out, no contingencies, nothing like that. You're just you're either in or you're out. So that's loosened a little bit. Rick Ripma 6:59 So that's on the builder side, but I know they're still having problems with product. Absolutely. You know, getting when they get down to the end, they can't get the appliances some I mean many times there's they are having issues there. Jeremy Page 7:13 I know that there's a lot of things factoring in on the build side, both land available and for them to build. The supply chain, as I'm sure most people know, is just kind of crazy right now. It gets frustrating for people who are looking to build sometimes because builders are just having a real hard time pinpointing when it'll be done because of the supply chain issues. Rick Ripma 7:36 Yeah, I have a customer right now who is building a home. And they think they're going to be done in March. But they said it could be as late as late May, early June. Yeah. And they're trying to plan. But you know, it's interesting, because we all know that that's the situation. People are much more patient with it than I've seen in the past where they just okay, it is what it is, right. I mean, even when you go to a restaurant, my wife and I went out last night, we went to a nice restaurant, no big deal. No, right. You know, we just, it was we sat, we sat down and I'll bet it was seven, eight minutes before. Wait, actually, the waiter didn't come over. We were sitting in the bar, the bartender came out from behind the bar and came to our table. Okay, he waited on us. And they just said they can't they just can't get people. Jeremy Page 8:28 Yeah. And that's the world we're in. I think some people are kind of understanding but I try to live my life by be kind to others and, and show love. Yeah, regardless, there's a lot of stuff that is outside of the control of who we're actually interacting with. Whether that's in real estate, or like you said at a restaurant or whatever the case might be, just be kind, right? Be kind and actually, you're not only being kind to them, but it actually is kind of you, you can you can ruin your let's take the dinner you can ruin your dinner by being upset that they're slow to get to you and they're slow to get your food and all that or you can just accept that's the way it is right now. Be happy be nice. Enjoy the moment. Right? And then you end up with you know, everything like we had a great evening. Yeah. It was a great deal. Yeah, yeah. And it really went timing it was it didn't take too long really write it and they were bending over backwards trying to make it all work. Well after the break. We're going to talk more about Indianapolis, his housing market and actually get started on what it's going to look like in 2022. Ad: 9:48 Credit cards, student loans, car payments, when is it going to stop run shouted Karen just shrugged and look defeated. Their debts were literally killing their marriage in them. They tossed and turned every night pet stress headaches all day long and snapped at each other constantly all over the stress of out-of-control debt payments. Then the Debt Crusher mortgage came into their lives. They can now sleep in their debt stress disappeared. This is Rick Ripma You're Hard Working Mortgage Guy at Advisors Mortgage Group and if you have debt stress, we have the solution the Debt Crusher debt consolidation mortgage, call us to see if you qualify. 317 215 7600. That's 317 215 7600 and let the Debt Crusher mortgage crush your debt. Rick Ripma hurt every weekend at 3:30pm on freedom 95 branch NMLS number 33041 Ripma NMLS number 664589 equal housing opportunity some restrictions apply Welcome back and I appreciate it very much. I'm here with Jeremy Paige. He's a real estate agent with carpenter. Real tours, it is so hard for me because that used to be a carpenter Better Homes and garden. Yes. Long time ago. Yeah, I would go. But I've been here a long time. And that's in my mind. That's that's what always pops up when I when I do it. It's just I don't it's hard to get out of those habits at times. We talked about the real estate market in 2021. And get what you what I got out of what you said is there are homes on the market. It's just that we have so many buyers, that they're out there the supply demand, there's more buyers than there are than their houses in the market. We had we set a record in home sales in Indiana last year. Jeremy Page 11:18 Right? Right. So, inventory would technically be kind of what's on the shelf, if you go to get bread, the inventory is what's on the shelf. But that doesn't mean they aren't selling bread. If there's nothing on the shelves, they may have just sold more in a day than they've ever sold before. And that's exactly what's happened to us in real estate. Rick Ripma 11:36 Yeah, that's unbelievable. So, what do you think is going to happen as we look forward into 2022, maybe even into 2023? Jeremy Page 11:46 Well, I think 2022 is going to be a lot of the same. I do think and obviously you're the expert on this, but uh, it's projected, I mean, almost certain that interest rates will go up this year. That's gonna affect some of the buyers and maybe, especially like the first-time-homebuyers. So, I think there'll be, you know, an increase in values of, you know, a modest guests would be six 7%, this year in 2022. So, I think the affordability combined with the raising interest rates will take some of the buyers out of the market. But I think the rest of this year, we're going to continue to see a lot of the same. I mean, I've just listed several houses here in the last couple of weeks. Like I sold five houses in January. And I'll tell you, we're seeing 1015 2030 offers on properties within days. So, I don't foresee that changing. It would take something very drastic and unforeseeable for that to actually happen. Rick Ripma 12:49 Yeah, I noticed. I see it not nowhere near as much as you do, but I certainly see it and I on rates. I've talked about that on the show several times. And you know, not only are we going to so we already have seen interest rates go up, you know, it's that that's what's happened. So, it's just been a crazy time. Now it's time for questions with the gurus. I wanted to go over this question, because I think it fits in exactly with what you were saying. James wants to know, since it's a seller's market, should buyers wait until the market changes to neutral or maybe becomes more of a buyer's market. Specifically, he's worried about, you know, home prices, and if he bought now and it was likely to if it would if he thinks it's going to drop? How would you address that question? Jeremy Page 13:36 James? That's a great question. However, I don't foresee the market becoming a buyers’ market anytime soon, or even really balancing out. I think the next three to five years is going to continue to be a seller's market. I do think it won't be as strong of a seller's market, you know, the further out in that timeline we get, but I don't perceive values dropping. In fact, I had that same conversation, that same question asked of me, by many different people 234 Or five years ago, some of them bought then some are still waiting for the market to drop. And those who bought now have a substantial amount of equity because they bought when they did. And when I say substantial, some of them it is $100,000 plus, just because they bought two, three years ago. Rick Ripma 14:28 It's one of those things it's hard to get people to understand and nobody really knows what the market right now is Knox you make trades you just never really know for sure when they're 100% What's going to happen. However, when you look at the market, and you and you see what's going on currently, you know last year you said we are we increased by 19%. Jeremy Page 14:54 Right? That's $19,000 on $100,000 home. You're right and it's really hard to find a $100,000 home now, right so take that to 200, 300, 400, 500,000 whatever price of the house average of 19% increase in that value in one year. Rick Ripma 15:06 It's incredible. Yeah, Jeremy Page 15:08 It is credible. It is. Rick Ripma 15:09 I can tell you. I mean, I was shocked at what my house was valued. Right. When I had it appraised. I was shocked at what it value? Absolutely. It's, and you're thinking that we're going to be looking at in 2022. In the six 7% range? Jeremy Page 15:27 Yeah, increase in value of six to 7% by the end of the year and year over year. I think that is a modest estimate. But that's kind of what I've been telling people. I'm the type of guy I like to shoot low. And we overperforming everybody said, Rick Ripma 15:45 Yeah, because everything I've seen is higher. Yeah, that's why I was I just want to make sure I've heard it, right. I've seen most people even being conservative or thinking 9% to 10%. Yeah. But it's so hard. Because when you just came out of 19%, right? It's very difficult to think it's gonna be something much, you know, tremendously lower than that. But even then, six or 7% is still on, if you could get 100,000, let's take a $200,000. Home, that's 12 to $14,000. In value in your house, and you're just living there, you didn't do anything, you didn't do anything. It is a it's why a homeowner is worth the average homeowner is worth like $600,000 more than the average renter. Right? Right. I think there's some other reasons for that, mostly renters tend to be younger, just starting out, right. But owning a property Owning a home is your way is one of the ways and maybe the surest way to wealth, Jeremy Page 16:45 It could be a substantial, it's also a great, you know, inflation hedge. So, you know, we've seen this massive inflation here recently, I don't know if I mean, go anywhere and compare that price to five years ago, and it blows your mind. But the values in real estate have done the same. So, it's kind of protecting that money as Wall Street and the stock market dips a little bit. It has not affected real estate, and in fact, just the opposite. So it is an inflation hedge for for those that are trying to be smart with their money. Rick Ripma 17:17 Yeah, so that just came out a few days ago, or a week and a half ago, something like that. Inflation for January was 7.5%, the highest in 40 years. Right? It went up point 6%. Now I personally believe inflation is next month will be kind of the top and it may. And it may even it may go up a little bit even next month. And the reason I say that is when we're talking about the inflation we're talking year over year, in the fall off the February of 2021, is it was only at point 4%. Yeah, then all of a sudden, jumps to point 6%. And right. And so, if you look at a rolling 12, it looks like we're going to start to then simmer down, then if the feds do what they say they're going to do. And there's a lot of it's amazing all the different things that you hear about what the Feds gonna do. And even the different members of the Fed will come out and say what they're going to do. But if they they're going to raise the federal fund rate. And when they raise their federal fund rate, most people think that's going to be terrible for mortgage rates, that in and of itself is actually very good for mortgage rates because it stops inflation. If you look back in history, you look back in the late 70s, early 80s, one of the one main thing they did is they they they raise the federal funds rate, they cut off the inflation was going crazy, right back then, in the late 90s, early 2000s. The same thing, it works every time they did it again in 2007 and eight. So they it's it's a proven method of doing that. There’re other things they may do that could mess that up, and they may not want to follow through. But we think interest rates, even if they go up a little bit from where they are today. Right? They're still going to be in historic terms extremely good this year. Oh, absolutely. Jeremy Page 19:15 Yeah. Isn't the historic average, like six or 7%? Something like that? I mean, and we're, I mean, what are we at today? 3.5. Maybe Rick Ripma 19:25 I don't inflate it, retrace? Yeah, yeah, I'm not legally so sorry. No, that's okay. I'm not legally supposed to get in trouble. Without you. So, interest rates are still extremely good in the scheme of things. They're very low, but we just came out of the lowest rates I've ever seen. You know, it's kind of like coming out of a market. If the housing market goes from a 19% appreciation to a 7% appreciation. You could look at that and go that's terrible. You and I've been around a long time. And Indiana that's fair. TAs, there you go, because 19% is not sustainable. No, no, we can't have we can't continue that. Jeremy Page 20:06 No, we've been saying that for a couple years. And it keeps on happening. Rick Ripma 20:10 But it's part of what I want to get across to people. So that they understand it, and we've talked about it last week, is that we're not in a bubble. We're not in the same situation, as we were in 2007. And 2008. Do you remember the housing market in 2007 and 2008. Jeremy Page 20:32 That’s right, when I started, I, it's very vivid in my memory, and what and compare it, it's the exact opposite of the problem we have now the back then a house could be on the market for a year, year and a half, two years, you know, you have a buyer that wants to look at it, we could go take a look at 20 houses, you know, take a month to decide, that's fine. That's the exact opposite of now you see a you got a buyer that wants to look at a property or show it to him. A lot of times, there's deadlines, you know, we're gonna give people three days to look at the house, and then we want offers and seller will decide at that point. Rick Ripma 21:06 Is the average time on the market right now under 30 days. Jeremy Page 21:10 I don't have that right in front of me. Builders are starting to put a lot of their stuff in that kind of, in those sells, it shows a lot longer days on market than they actually are selling in, because I put it up when it's just an empty lot. And, and so that thoughts the data a little bit, as well as now. I mean, every listing I've had, you know, except for maybe one or two, in the last, you know, six months or a year, I probably could have sold in a day or two we had offers in a day or two. But sometimes we're given, you know, three, four or five days. So, days on market is something it's quick, it's something that we've never seen that low of days on market and are, you know, in central Indiana ever! Rick Ripma 21:57 Right? I'm guessing that the reason you don't want to cut it off in a day and sell it is because you want to get everybody's offers so that your seller is getting the very highest price. Jeremy Page 22:12 I think offer I think, honestly, you know, finding out that timeframe, it's a case-by-case scenario. But oftentimes giving it a timeframe is best for buyers and sellers, it gives buyers the opportunity to go out and see the property, they know they have to make a decision by whatever that deadline is. As well as for the sellers, you get more people in. Now there are times where your first offers your best. But if you have multiple offers, then a lot of times you will find that they get higher later on sometimes. Rick Ripma 22:45 Are you getting a lot of offers from investors? Jeremy Page 22:50 Yes, we are. It depends on what kind of property you put on the market. But yes, I mean, we are seeing quite a bit of investor offers. Rick Ripma 22:59 So, what is the strategy? Obviously, the seller doesn't need much of a strategy. Jeremy Page 23:05 No, I mean, timing and their timeframe and that kind of stuff that is part of the strategy for sellers. And then when you get down to having the offers, you know, getting those compared, and most of the time, we all know it's about the money, you know which ones gonna give me the most money. But that's not always the case. That's not always the case. So, there are times where a seller will give up part of that money if they get possession after closing, or if they can close sooner or close later, or there's just different things. And that's what I love about real estate. It's a very relationship game, you know, hey, what's best for you, Rick, not what's best for your neighbor? What's best for you? And let's figure out how to do that. Rick Ripma 23:44 Exactly. Of course, the seller has some strategies. Yeah. What about the buyer what strategy do should they have? Jeremy Page 23:57 Well, as a buyer's agent, if I'm representing a buyer, my first thing is to get a hold of the other agent on the house that my people like and see what the seller is looking for. Because once again, I might be thinking, Oh, they just want the top dollar when maybe you find out that's not the case at all. Maybe they want to close in two weeks, or maybe they want to close in eight weeks or 10 weeks. Maybe they want a couple days possession afterwards. So, I'd say the biggest strategy is just finding out what the seller actually wants, and then seeing how much information you can get about what other offers are already out there. So that you put your buyer in the best position to compete. Rick Ripma 24:34 Right. And I it's my guess is that it is essential to work with a top agent in this market. Jeremy Page 24:43 Absolutely. Absolutely. I mean, and even the best of the best, they don't always win, you know, and that's the thing. You need someone that's going to give you the honest truth, tell you what you need to do, and see if it's the best scenario for you. Rick Ripma 24:57 Right and it's not that you're not telling them that the markets hot? And it's not you're telling them it not. Just to get them to do something that you want them to do. I've been in sales most of my life, I think I might have a little swayed but I really what people to have the facts and then make their own decision. And I see things and I think I don't want to tell somebody something that sounds like it's a sales pitch. Yeah, but this isn't a sales pitch. Jeremy Page 25:19 No, it isn't. In fact, I think it's the exact opposite. It's being honest with your people for the good, the bad and the ugly. That's important. If you really care about him, you're going to tell him I mean, what, what would happen if you went to a doctor, and there was some bad news? And he's like, well, I don't want to I don't want to upset Rick today. So, I'm gonna just tell them everything's fine. Then you walk out. And you don't know, right? A good doctor is gonna say, hey, you know, unfortunately, here's what we found, you know, and at this point, we're having some of those conversations, and buying a home in this market isn't necessarily right for everybody right now. And that's fine. That's fine. But those who had his right for need to know the honest market conditions and what they're going to face to buy their first home. Rick Ripma 26:03 Right, and I'm sure it may be harder for somebody who it's not their first home because they remember a different market. Jeremy Page 26:10 Yeah. Or people moving from other towns where, you know, maybe it's somewhere that is not experiencing a market like this or so well, we just sold our house and it was something totally different there. Rick Ripma 26:20 Yeah, I've, I've talked to a variety of Agents around the country, because I'll have people that I that I work with, and I'll talk to an agent, and everybody's like, well, I don't know how your market is. But our markets on fire most places are right now. I mean, if you look at the national news, most places across the United States right now is on fire, unless it's really rule. A rule area seems to be not around here, though. Yeah, I know. But those are the areas I tend to see. But even then, like I said, that doesn't mean they're going to be alright. And then a single house could be very, very hot. Yeah. And it's one of those areas that the houses have tended to be a little less expensive, right? So, it's a great one for first time homebuyers. That's that type of thing. So, financing in all these cases makes a big difference, because financing is one of those things that seller is looking at, how are they financing this house? Can they close? Can they get past certain situations? The seller wants to know the buyer can close on the home. Jeremy Page 27:16 It’s definitely a factor right now, having strong financing. And obviously, I've worked with Rick a lot and highly recommend him and all my clients that have used them but happy but you know, having a solid lender give a solid pre approval letter. And then there's even stuff on financing now where people are guaranteeing the difference between a purchase price and appraisal and, and that's a whole different show on in and of itself there. But yeah, but yeah, their financing is very important to have that squared away. And you want to have that squared away before you find the house you love. If you get that squared away afterwards, that your house is sold to somebody. Rick Ripma 27:52 Yeah, you don't have time. Jeremy, if somebody wants to get ahold of you, they're looking to buy a home… sell a home? How do they get ahold of you? Jeremy Page 28:00 My cell phone is 317-413-5311. And my email is Jpage that’s PAGE @ call carpenter.com. Rick Ripma 28:12 And I'm Rick Ripma, your Hard Working Mortgage Guy with Advisors Mortgage Group, and you can contact me at Hard Working Mortgage Guy.com That's Hard Working Mortgage Guy.com. All my contact information is there on my website. And if you have any questions on real estate, mortgages, actually any questions. Jeremy, thank you so much for joining me. I appreciate it very much. Thanks, Jeremy Page 28:46 Rick. I always enjoy it. I enjoy hearing your knowledge of the mortgage industry and I enjoy helping out with some of the real estate stuff. Yeah, but you're awesome at the real estate. That's why you're here and we appreciate it very much. Rick Ripma 28:57 I hope you enjoyed this today. If you have any questions on mortgages, you want to talk to me, or you need a recommendation. You can go to my website hardworking mortgage guy.com That's Hard Working Mortgage Guy.com follow up with me there my phone numbers, my email, you can contact me direct from the website. I'll do my best to get back with you in a timely fashion. I appreciate you joining me. I hope you have a great weekend. Ad: 29:10 The four year old gays that is weeping mother worried. Why was she crying? This wasn't normal. Mom was always happy always. She turned look thoughtfully into his worried blue eyes and burst out laughing. The four year old was befuddled. Mom pulled him close whispering into his tiny year. These are tears of joy. Tears of joy. He asked Yes. Your dad and I just bought a home. It's our home. We'll make wonderful memories there. Mom was right for 38 years our family made wonderful memories in that home. Our lives revolved around that home. I've never forgot that moment with my mom. Hi, this is Rick Ripma The hard work and mortgage guide advisors Mortgage Group. I'm here to help you finance the home where your memories will be made. Call me at 31767 to 1938 that's 31767 to 1938 Let's get your memory started today you know a lot of folks do what we hear at advisors Mortgage Group Do we just do it better licensed by the Indiana Department of Financial Institutions NMLS number 33041 recruitments NMLS number 664589 equal housing opportunity programs very cool for details