Seaport Real Estate Group Blog

Recent market data tells the real story

Local news sources have been reporting on the positive impact of interstate migration funneling new residents into CT as a distancing measure related to Covid-19. With interest piqued by these developments, we did some research as an attempt to measure the benefits of this peripheral good fortune. What we found is not exactly in alignment with local reporting. 

Channel 3 WFSB 

CT Post

NBC CT 

The Hartford Courant

While it is encouraging to see an influx of newcomers take residence within the nutmeg state, it’s important to note the number of residents currently leaving the state still outnumbers those coming in at this time, rendering an effective net loss in the state’s population and its

NOI = Gross Revenue – Total Operating Expenses 

The NOI, or Net Operating Income, is one metric used to evaluate an income-producing asset. It is defined as the total income that a property generates less than the total operating expenses and losses from vacant units. 

Prior to investing too much time, energy, and money into acquiring a property, it is crucial for investors to have a clear understanding of the amount of revenue an asset can generate. Many people confuse NOI with the amount of money the property is generating before they take expenses into consideration. When looking at financials on a property and all expenses are not being deducted, the numbers become falsely inflated and are essentially meaningless. How much does it actually

Originally published on NBCCT on November 12, 2020 • Updated on November 12, 2020 at 11:26 pm

COVID-19 exposure notifications from the Connecticut Department of Public Health are now available on your phone.

COVID Alert CT, the state's official exposure notification system, is now available for Apple and Android.

Once installed, the app uses Bluetooth to determine if a user's device moves within six feet of someone who has tested positive for the virus for a total of 15 minutes or more in a day. The app does not share personal information.

Contact tracers will ask users who have tested positive will be asked if they are willing to share "close contact" codes the app has

| What is a Cap Rate? | 

A metric used to gauge the approximate risk and rate of return on an income-producing asset, assuming the investor paid cash.  A cap rate is expressed as a percentage and derived by dividing the Net Operating Income (NOI) by the sales price or current market value.

Formula: Capitalization Rate = Net Operating Income / Current Market Value

Example:

Net Operating Income: $150,000

Current Market Value: $2,000,000 

Net Operating Income ($150,000) / Sales Price ($2,000,000) = 7.5% Cap Rate

In short, this means that you would have an approximate return of 7.5% if you paid cash for the property.

You may ask, is this an effective way to value a property? 

There are a handful of variables that are

AUCTION PURCHASE OPPORTUNITY –  102 Town Woods Road Old Lyme, CT.  SALE TO BE AWARDED VIA ONLINE AUCTION PROCEEDING. BIDDING DATES OPENED TO QUALIFIED BUYERS FROM 08/16/2020 - 08/23/2020. Tim Bray and Jamie Molinares of Seaport Auctions and William Pitt Sothebys International Realty are jointly auctioning and marketing the property. Minimum bids starting at $1.5 Million with a Seller Reserve. SCHEDULE A SHOWING TO PREVIEW THE PROPERTY AND CONFIRM STATED INTEREST.

A virtual walkthrough of the property can be accessed by clicking here. 

Gated Estate located within the secluded countryside of Old Lyme. Quiet enclave nestled within an exclusive retreat with over 20 acres of land and privacy. Custom built, impeccably maintained 6,100+ square foot

To Secure the Listing and Blow Away the Competition

• Sometimes It's a Deliberate Lie.
  As the seller interviews each agent, often the estimate of value creeps upward. Maybe the first agent knows there will be two other agents competing for the listing, so the first agent names an astronomical figure. The second agent, upon hearing the first agent's price, beats it. The third agent comes in higher yet.

A seller who chooses an agent based on which estimate is highest can oftentimes become the ultimate loser….but it is human nature to choose the agent who says they can fetch the highest price.

Almost every seller operates in this manner. To the defense of the Agent, sometimes they just “Don’t know what they don’t know”.  The traditional

Serving the Client 

 -The Process-

We are currently in the Advisory stage of consulting with a prospective client who has plans to list their home for sale. Before we can determine if this partnership is a good fit for both Client and Broker, we have some homework to do. Contrary to popular belief in the industry, one size does NOT fit all. Upon collecting all the pertinent data relevant to the property as well as the local market in which it is located, we perform the necessary analysis to ensure that our assessment of this opportunity is in alignment with the client's goals and expectations. Once this task is completed, we are guided by the necessary data to advise all potential clients on what we believe to be the wisest path forward to

In an information age that floods society with excessive content, our focus tends to be diverted to less-tangible distractions, rather than the essential components of a sound game plan. As a result, our level of awareness can become clouded, compromising our ability to execute informed decisions when it comes to the purchase and sale of real estate. In an industry largely predicated upon “marketing”, we are left without concrete reasoning from which to discern the most productive path forward. Ultimately, we are left without the means to implement a calculated strategy that transcends “Sales” or being “Sold”. Add to this, a fiercely competitive playing field largely incentivized by a commission-based pay structure, it becomes easier to see

A Commitment to the Client 

For consumers in the market to buy or sell a home, the model has typically been a straight-forward process. Buyers and sellers contact a local agent to explore their options and sign an agreement. Whether they research and select a top local agent or contract a licensed relative, how they choose the agency that will assist them is of growing importance. In many respects, most traditional brokerages and their offerings are very similar. They all provide “million-dollar marketing”, an endless campaign of open houses, and a gratuitous handshake to affirm their corporate mission statement that says things like “helping you discover your dreams.” While this all sounds wonderful in theory, these dreams can become

The costs of owning a property go far beyond making a monthly mortgage payment. The costs of owning a home, especially by first time owners, can be a shock after realizing that owning a home is much more expensive than anticipated. 

Residential Carrying Costs are also known as “Holding Costs”  and can include the following:

• Mortgage Principle

• Mortgage Interest

• Taxes

• Insurances

• Homeowner Association Fees

• Costs of maintenance, upkeep, and upgrades

• Utilities

It is important for homeowners to understand the cost of ownership and the impact on their discretionary income. Carrying Cost Calculators are important for potential buyers as well as helping sellers to determine the true