A shout out to my friend and lender Christian Carr – NMLS #1466899 for posting this information I felt I should share here.
The Federal Housing Administration (FHA) updates its loan limits and the mechanics of its loan programs each year. For 2025, there are key changes that homebuyers—especially first-time and moderate-income borrowers—should be aware of.
FHA Loan Limits in 2025
• Single-family homes: Loan limits range from $524,225 in low-cost areas (floor limit) to $1,209,750 in high-cost counties (ceiling limit).
• Multi-unit properties:
◦ 2-unit: $671,200 – $1,548,975
◦ 3-unit: $811,275 – $1,872,225
◦ 4-unit: $1,008,300 – $2,326,875
• These limits are tied to median home prices and align with conforming loan ceilings set by the FHFA ($806,500 standard / $1,209,750 high-cost).
Why it matters: Higher limits allow FHA financing for more expensive homes without needing a jumbo mortgage.
FHA Repayment Terms & Refinancing Options
✅ Fixed Terms and Gradual Payment Options
• Standard FHA mortgages come with 15- and 30-year terms
• Graduated Payment Mortgages (GPMs) are also available, allowing payments to increase gradually (e.g., 2.5%–7.5% annually) during the first 5–10 years before leveling out en.wikipedia.org.
🔄FHA Refinance Programs (2025 Highlights)
FHA homeowners may refinance under four main options:
1 Simple Refinance – Switch from one FHA loan to another to lower rate or shorten term, requires appraisal.
2 Streamline Refinance – Less documentation, sometimes no appraisal or credit check, must show “net tangible benefit” and have made 6+ on-time payments.
3 Cash‑Out Refinance – Access up to 85% equity for any purpose; requires appraisal.
4 203(k) Rehab Refinance – Finance purchase or refinance plus home improvements; available for primary residences only.
What Buyers Should Know
• Loan limits expanded in 2025—check your county limits via the HUD lookup tool.
• Graduated Payment Mortgages can help match payments to growing incomes—especially useful for younger buyers.
• Streamline refinances are attractive for existing FHA homeowners: minimal paperwork, faster turnaround—but closing costs apply (~3–6%).
• Cash‑out and 203(k) options remain available, but careful consideration of equity use and repayment ability is essential.
Final Thoughts
If you’re shopping for a new home or refinancing in 2025, FHA’s expanded limits can open more opportunities. Whether you’re looking to lower your rate, tap into equity, or finance renovations, FHA offers versatile programs—but it’s important to choose based on your goals and ability to repay. To verify your specific county’s limit, visit the official HUD lookup tool . For details on repayment plan options, review FHA’s official policy handbook or speak to an FHA-approved lender.
Cell| Sabrina 650.799.4333 |Susan 650.796.0654 | EMAIL | WEB| BLOG
We love what we do and would love to help you navigate your sale or purchase of Residential Real Estate. Please reach out for a personal consultation. Please enjoy our free resources below and get to know our team from our TESTIMONIALS.
Effective. Efficient. Responsive. The Caton Team 🏡
Got Real Estate Questions? The Caton Team is here to help.
We strive to be more than just Realtors – we are also your home resource. If you have any real estate questions, concerns, need a referral, or some guidance – we are here for you. Contact us at your convenience – we are but a call, text, or click away!
The Caton Team believes, in order to be successful in the San Francisco | Peninsula | Bay Area | Silicon Valley Real Estate Market, we have to think and act differently. We do this by positioning our clients in the strongest light, representing them with the utmost integrity, while strategically maneuvering through negotiations and contracts. Together we make dreams come true.
A mother and daughter-in-law team with over 35 years of combined local Real Estate experience and knowledge – wouldn’t you like The Caton Team to represent you? Let us know how we can be of service. Contact us any time.
Cell | Sabrina 650.799.4333 | Susan 650.796.0654 | EMAIL | WEB| BLOG
The Caton Team – Susan & Sabrina A Family of Realtors Effective. Efficient. Responsive. What can we do for you?
Caring for our planet is important for The Caton Team. When we saw this service – we knew we had to share it with our people…
Many residents may not start to think about their options for disposing toxic waste—including paints, batteries and fertilizers—until the very last minute when they are moving. Sometimes they even ask their Realtor to take it in, which is actually illegal unless the realtor signs a special waiver.
To help Realtors avoid this issue, San Mateo County Health has provided an informational postcards that you can share with clients, which explains their toxic waste disposal options. Clients of SAMCAR Realtors who bring the postcard to their HHW drop-off event appointment will receive a Home Depot gift card that may help them with the moving process.
It is important we all do our part for our community and planet. THANK YOU!
Got Questions? The Caton Team is here to help.
Cell| Sabrina 650.799.4333 |Susan 650.796.0654 | EMAIL | WEB| BLOG
We love what we do and would love to help you navigate your sale or purchase of Residential Real Estate. Please reach out for a personal consultation. Please enjoy our free resources below and get to know our team from our TESTIMONIALS.
Effective. Efficient. Responsive. The Caton Team 🏡
Got Real Estate Questions? The Caton Team is here to help.
We strive to be more than just Realtors – we are also your home resource. If you have any real estate questions, concerns, need a referral, or some guidance – we are here for you. Contact us at your convenience – we are but a call, text, or click away!
The Caton Team believes, in order to be successful in the San Francisco | Peninsula | Bay Area | Silicon Valley Real Estate Market, we have to think and act differently. We do this by positioning our clients in the strongest light, representing them with the utmost integrity, while strategically maneuvering through negotiations and contracts. Together we make dreams come true.
A mother and daughter-in-law team with over 35 years of combined local Real Estate experience and knowledge – wouldn’t you like The Caton Team to represent you? Let us know how we can be of service. Contact us any time.
Cell | Sabrina 650.799.4333 | Susan 650.796.0654 | EMAIL | WEB| BLOG
The Caton Team – Susan & Sabrina A Family of Realtors Effective. Efficient. Responsive. What can we do for you?
Options range from family loans to outright gifts to help your children buy a home.
If you want to help your children buy a home there are a number of ways to go about it, ranging from family loans to outright gifts. Lofty home prices, rising mortgage rates and a tight inventory of homes for sale have shut many young buyers out of the housing market. In 2023, the median age of home buyers was 49, the highest on record, according to a survey from the National Association of Realtors — which means first-time buyers are delaying their purchases. The typical first-time buyer was 35, one year less than last year’s all-time high.
With that in mind, parents (and grandparents) of would-be home buyers are often interested in helping out. Their options include gifting a down payment, co-signing a mortgage, jointly owning a home, making a loan, and buying a home outright for your children or grandchildren. Each of these avenues of financial support has its own perks and pitfalls.
First, consider how any assistance could affect family relationships. Your children or their spouses may be anxious or uncomfortable about accepting financial help from parents or in-laws. Siblings feelings matter, too. “If you have multiple children, spend some time upfront to understand how giving or loaning to one child might affect family dynamics,” says Mitchell Kraus, a certified financial planner based in Santa Monica, Calif. “We’ve seen years of resentment coming from a small loan to one family member when it was not available to another.”
Intra-family loans
One option that could benefit both parties is an intra-family loan. You may be able to offer your child a lower interest rate than a conventional mortgage lender would while still earning a higher interest rate than you could earn from a savings account. For example, if you provide your child with a mortgage at a 4.5% interest rate, you’ll earn almost four percentage points more than the 0.55% average yield for a bank savings account. Your child, meanwhile, will pay significantly less than the national average for a 30-year fixed-rate mortgage.
An intra-family loan works especially well for well-off individuals who can afford to give their children the money but prefer the financial discipline that comes with a loan, says Tim Burke, chief executive officer of National Family Mortgage, a family lending agency. “For many parents, the motivation to lend money over gifting it is just about personal accountability,” he says. “Parents feel the responsibilities that come with homeownership, and the satisfaction that comes with meeting these responsibilities builds character.”
That was the case for Mary and Terry Shaffer of Pittsburgh, who lent money to both of their children to buy homes in that city. “Our son and our daughter do not like things handed to them, although they deserve to be helped,” says Mary, 68. “They have worked hard, and they both had accumulated savings for their closing costs.”
If parents need assurance that their child can afford the monthly payments, they should ask the child to get preapproved for a conventional mortgage, Burke says. However, that could be difficult for some children, especially if they’re self-employed borrowers. Even if a self-employed individual’s debt-to-income ratio — the amount of debt you owe as a percentage of your monthly income — may support a loan, a single year in which income declines may cause a bank to reject the application.
If your child can’t get preapproval, it comes down to your judgment. “If you think your family member is not going to repay you, then don’t go through the exercise of setting up a loan that isn’t going to work,” Burke says.
Put the terms of the intra-family loan in writing so they’re clear and it’s an arm’s-length transaction, says Brian Lamborne, senior director of advanced planning at Northwestern Mutual. Putting the terms of the loan in writing can also help you deal with instances in which your children are unable to make payments. For example, you can agree ahead of time that should your child suffer financial hardship, payments will be deferred for a certain period of time — perhaps six months or up to a year — and moved to the end of the loan.
The loan agreement should contemplate worst-case scenarios as well. For example, you may want to state the conditions under which the parents could foreclose on the property so they can sell it and pay off the loan.
It’s also important to understand the tax implications for intra-family loans. Borrowers who itemize can only deduct interest on a loan secured by a mortgage if the mortgage has been properly recorded. In order to do that, families need to obtain a deed of trust and file it with the borrower’s local government authority, such as the registrar of deeds or country clerk’s office. A real estate attorney can help you draw up these documents.
If the loan exceeds $10,000, the IRS requires you to charge an interest rate equal to or above the Applicable Federal Rate (AFR), which the IRS publishes monthly. The interest must be reported as income on your tax return.
If you don’t want to act as the loan servicer, you could use National Family Mortgage to set up, document and service the loan. It will email payment reminders and monthly statements, collect and credit payments, and issue year-end IRS 1098 and 1099-INT tax forms. Cost: a one-time fee of $725 to $2,100, depending on the size of the loan, and optional loan servicing starting at $15 per month.
Making a gift
For some families, the easiest solution is to give children enough money to make a down payment or buy a house outright. Gifting spares families the hassle of a loan and damage to their relationships if a loan can’t be repaid. Mortgage lenders generally allow a relative to supply the entire down payment, but they will require a letter that provides the name of the giver, the amount of the gift and a statement that the giver doesn’t expect to be repaid.
As is the case with a loan, it’s important to understand the tax implications of this transaction. In 2024, you can give up to $18,000 per person to as many people as you’d like without having to file a gift tax return. Married couples can give up to $36,000 per person.
Any amount over the annual limit will reduce your exemption from the federal estate and gift tax. This isn’t a problem for most families because the federal estate tax exclusion is $13.61 million for 2024 or $27.22 million for married couples. However, if Congress fails to extend the 2017 Tax Cuts and Jobs Act, the exclusion will drop to about $6 million in 2026.
In any event, parents or grandparents should only give a gift they can afford without jeopardizing their own financial security. “There are no loans when it comes to your own retirement,” says Jennifer Weber, a CFP in Lake Success, N.Y. “So only help in ways that you can afford now and in the future.”
Other options: co-signing and co-borrowing
If your child can’t qualify for a mortgage based on their own income and credit record but can afford monthly payments, co-signing a mortgage is one way to help them buy a home. However, it can be risky.
A co-signer acts as a guarantor for the primary borrower, promising to assume responsibility for repayment if the primary borrower doesn’t pay as required. The lender will review your sources of income and your credit to ensure your income is high enough and your credit strong enough to qualify for a mortgage.
If your child falls behind on monthly payments, your own credit could suffer. Plus, co-signing for a mortgage will increase your own debt-to-income ratio which could make it more difficult for you to borrow for your own purposes. Also, some lenders don’t allow co-signers.
In another arrangement, a co-borrower or joint applicant shares ownership of the loan and assumes responsibility for payments from the start. In general, you and your child combined must put down at least 20%, and your child must cover the first 5% of the down payment from their own funds. Otherwise, the property may qualify as an investment, in which case you’ll be charged a higher interest rate for the loan and be required to have more financial reserves. But If your child fails to pay the mortgage, property taxes or insurance on time, that could ding your credit history or result in a lien against the property.
Cell| Sabrina 650.799.4333 |Susan 650.796.0654 | EMAIL | WEB| BLOG
We love what we do and would love to help you navigate your sale or purchase of Residential Real Estate. Please reach out for a personal consultation. Please enjoy our free resources below and get to know our team from our TESTIMONIALS.
Effective. Efficient. Responsive. The Caton Team 🏡
Got Real Estate Questions? The Caton Team is here to help.
We strive to be more than just Realtors – we are also your home resource. If you have any real estate questions, concerns, need a referral, or some guidance – we are here for you. Contact us at your convenience – we are but a call, text or click away!
The Caton Team believes, in order to be successful in the San Fransisco | Peninsula | Bay Area | Silicon Valley Real Estate Market we have to think and act differently. We do this by positioning our clients in the strongest light, representing them with the utmost integrity, while strategically maneuvering through negotiations and contracts. Together we make dreams come true.
A mother and daughter-in-law team with over 35 years of combined, local Real Estate experience and knowledge – wouldn’t you like The Caton Team to represent you? Let us know how we can be of service. Contact us any time.
Cell | Sabrina 650.799.4333 | Susan 650.796.0654 | EMAIL | WEB| BLOG
The Caton Team – Susan & Sabrina A Family of Realtors Effective. Efficient. Responsive. What can we do for you?
Buying a home is one of the biggest financial decisions you’ll ever make. It’s exciting, but it can also feel overwhelming if you don’t have the right guidance. The key to navigating the homebuying process with confidence is understanding the steps involved and working with the right professionals. Here’s how you can make your journey smoother and more successful.
1. Get Pre-Approved for a Mortgage
One of the first steps to take when buying a home is getting pre-approved for a mortgage. This gives you a clear understanding of your budget and strengthens your position when making an offer. Lenders will review your credit, income, and financial history to determine how much you qualify for. Having a pre-approval letter in hand signals to sellers that you are a serious buyer.
2. Work with a Knowledgeable Real Estate Agent (like The Caton Team)
A real estate agent can be your best ally in the homebuying process. They have access to market insights, negotiation expertise, and a deep understanding of the home search and purchase process. Choose an agent with experience in your preferred area who can help you find the right home and guide you through each step of the transaction.
3. Understand the Market and Set Realistic Expectations
Before you start house hunting, take the time to research the local real estate market. Look at property prices, neighborhood trends, and inventory levels. This helps you set realistic expectations about what you can afford and what’s available within your budget. Your real estate agent can provide valuable insights to help you make informed decisions.
4. Make a Competitive Offer
Once you find the right home, it’s time to make an offer. Your agent will help you determine a fair price based on comparable properties and market conditions. In competitive markets, you may need to act quickly and include strong terms, such as a larger earnest money deposit or a flexible closing timeline, to make your offer stand out.
5. Conduct a Thorough Home Inspection
A home inspection is a crucial step that helps uncover potential issues with the property. Hiring a professional inspector ensures you know about any hidden problems before closing. If significant issues arise, you may have the option to negotiate repairs or reconsider your purchase.
6. Secure Financing and Prepare for Closing
Once your offer is accepted, work closely with your lender to finalize your mortgage. This involves submitting required documents, locking in your interest rate, and reviewing loan terms. Additionally, you’ll need to secure homeowners insurance and complete any final paperwork. Your real estate agent and lender will guide you through this process to ensure a smooth closing.
7. Close the Deal and Move In
The final step is closing day, where you’ll sign the necessary documents, make your down payment, and receive the keys to your new home. Before moving in, do a final walkthrough to confirm the property is in the agreed-upon condition. Then, celebrate—you’re officially a homeowner!
Final Thoughts
Buying a home doesn’t have to be stressful. With the right preparation, professional guidance, and a clear understanding of the process, you can confidently navigate your homebuying journey. If you’re looking for expert assistance, reach out to experienced mortgage professionals who can help you every step of the way.
Cell| Sabrina 650.799.4333 |Susan 650.796.0654 | EMAIL | WEB| BLOG
We love what we do and would love to help you navigate your sale or purchase of Residential Real Estate. Please reach out for a personal consultation. Please enjoy our free resources below and get to know our team from our TESTIMONIALS.
Effective. Efficient. Responsive. The Caton Team 🏡
Got Real Estate Questions? The Caton Team is here to help.
We strive to be more than just Realtors – we are also your home resource. If you have any real estate questions, concerns, need a referral, or some guidance – we are here for you. Contact us at your convenience – we are but a call, text or click away!
The Caton Team believes, in order to be successful in the San Fransisco | Peninsula | Bay Area | Silicon Valley Real Estate Market we have to think and act differently. We do this by positioning our clients in the strongest light, representing them with the utmost integrity, while strategically maneuvering through negotiations and contracts. Together we make dreams come true.
A mother and daughter-in-law team with over 35 years of combined, local Real Estate experience and knowledge – wouldn’t you like The Caton Team to represent you? Let us know how we can be of service. Contact us any time.
Cell | Sabrina 650.799.4333 | Susan 650.796.0654 | EMAIL | WEB| BLOG
The Caton Team – Susan & Sabrina A Family of Realtors Effective. Efficient. Responsive. What can we do for you?
Buying a home is a major milestone, but it also comes with challenges. Whether you’re navigating financial hurdles, competitive markets, or unexpected repairs, overcoming these obstacles can make homeownership even more rewarding. Here’s how you can turn challenges into triumphs.
1. Financial Preparation
Budgeting for homeownership goes beyond the down payment. Plan for closing costs, maintenance expenses, and emergency repairs to avoid financial stress down the road.
2. Competing in a Competitive Market
In hot markets, multiple buyers may be vying for the same property. Strengthen your position by getting pre-approved, making a strong offer, and working with a skilled real estate agent.
3. Managing Home Maintenance
Owning a home means taking care of ongoing maintenance. Set aside funds for routine upkeep and unexpected repairs to keep your property in top shape.
4. Long-Term Value
Think beyond the purchase—homeownership is a long-term investment. Keep up with property improvements, understand market trends, and consider refinancing opportunities to maximize your home’s value over time.
5. Embracing the Homeownership Mindset
Homeownership is not just about buying a property—it’s about creating stability, building wealth, and making memories. Approach challenges with a proactive mindset and embrace the journey to turn your home into a valuable and fulfilling asset.
By preparing for these challenges and staying proactive, you can turn homeownership into one of your greatest financial and personal achievements.
Cell| Sabrina 650.799.4333 |Susan 650.796.0654 | EMAIL | WEB| BLOG
We love what we do and would love to help you navigate your sale or purchase of Residential Real Estate. Please reach out for a personal consultation. Please enjoy our free resources below and get to know our team from our TESTIMONIALS.
Effective. Efficient. Responsive. The Caton Team 🏡
Got Real Estate Questions? The Caton Team is here to help.
We strive to be more than just Realtors – we are also your home resource. If you have any real estate questions, concerns, need a referral, or some guidance – we are here for you. Contact us at your convenience – we are but a call, text or click away!
The Caton Team believes, in order to be successful in the San Fransisco | Peninsula | Bay Area | Silicon Valley Real Estate Market we have to think and act differently. We do this by positioning our clients in the strongest light, representing them with the utmost integrity, while strategically maneuvering through negotiations and contracts. Together we make dreams come true.
A mother and daughter-in-law team with over 35 years of combined, local Real Estate experience and knowledge – wouldn’t you like The Caton Team to represent you? Let us know how we can be of service. Contact us any time.
Cell | Sabrina 650.799.4333 | Susan 650.796.0654 | EMAIL | WEB| BLOG
The Caton Team – Susan & Sabrina A Family of Realtors Effective. Efficient. Responsive. What can we do for you?
This year’s home design trends are all about warmth and comfort, personal touches that tell a story, and vintage design details that evoke a sense of nostalgia. To help you capture the charm of the vintage decor aesthetic, industry experts are giving us the scoop on what they’re most excited to see in 2025.
“The 2025 vintage aesthetic isn’t just about looking back—it’s about adding pieces to your home that feel fresh, curated, and uniquely personal,” says Margaret Carroll, founder and principal designer at Margaret Carroll Interiors.
The year’s Color of the Year announcements have served as a hint of what’s to come in the world of home decor—namely the color brown, which fits into a larger vintage-inspired color palette of rusty tones and deep eggplant hues. Wallpaper continues to be popular, with all-over pattern drenching and nostalgic block print patterns maximizing the vintage charm factor. Keep reading for this year’s hottest vintage trends, along with expert tips for implementing them in your own space.
Framed Vintage Items as Art
For a unique way to add vintage character to your walls, frame vintage items and create a meaningful gallery wall with them. “Consider framing vintage maps, quirky game boards, or even antique book pages for a look that feels layered and storied,” Carroll says. Choose frames carefully to create an intentional blend of the old and new. “Frames can lean contemporary with sleek burlwood or simple white matting, but mixing and matching wood tones adds an effortless, collected-over-time charm,” Carroll suggests.
Shades of Brown
There is a nostalgic warmth about the color brown. Design experts predict the color trend will continue into 2025, introducing vintage-inspired sophistication and a welcome reprieve from cool tones. “We’re seeing the color brown seep back into kitchens, furniture, and bathrooms for its rich, moody, natural vibe,” says Teri Simone, head of design and marketing at Nieu Cabinet Doors. Brown is a timeless neutral that ranges from dramatic chocolate tones to soothing sandy hues, proving it’s a versatile color whose vintage appeal translates well into modern interiors.
Vintage Lighting
Lighting presents a great opportunity to add vintage style and personality to a room. “The vintage lighting trend is gaining even more momentum as we head into 2025,” says Jennifer Jones, principal designer at Niche Interiors. She shares that one-of-a-kind vintage chandeliers are having a moment, as are midcentury modern floor lamps, antique desk lamps, and retro-style wall sconces. “Vintage lighting adds so much character to a space and doesn’t have to break the bank,” Jones says. She recommends checking local flea markets, thrift stores, and online shops like Etsy to find hidden lighting gems.
Vintage Linens Featuring Classic Patterns
When it comes to home textiles, Alecia Taylor, interior designer at CabinetNow, says vintage linens featuring classic patterns will be a big trend in 2025. The best part is, you can incorporate it in as big or small a way as you like; For a quick and inexpensive way to infuse your table setting with vintage charm, use fabric napkins with a classic gingham pattern or a pretty floral print tablecloth. For a larger-scale way to channel the trend, opt for a vintage-inspired fabric on window shades or curtain panels. “Look for classic patterns and colors that complement your existing decor,” Taylor says. This way, you can add a touch of nostalgic charm while enhancing the room’s character in a seamless manner.
Vintage-Inspired Color Palette
A warm and inviting vintage-inspired color palette is a big trend in 2025, as evidenced by most of the 2025 Color of the Year choices. Camilla Masi, interior designer at Otto Tiles & Design US, says this color trend can be seen in both kitchen and bathroom design right now. “Homeowners are looking towards nostalgia to add a sense of comfort and familiarity to their home and that is why vintage style interiors and decor are having a moment right now,” Masi explains. When piecing together a vintage-inspired color palette, she suggests shades such as classic steely blue, eggplant, nostalgic forest and olive greens, muddy browns, and creamy off-whites.
All-Over Pattern Drenching
When it comes to wallpaper, all-over pattern drenching is another big vintage trend to watch out for in 2025, according to Elizabeth Rees, CEO and co-founder of Chasing Paper. “When considering where and how to apply the wallpaper, the all-over pattern drenching approach can further elevate a space and create an all-encompassing design with the patterns of block print wallpaper,” she says. To give your home a warm and cozy makeover with ample vintage charm, Rees suggests installing going for all-over pattern drenching in a space like a bedroom. “Bedrooms are the most personal rooms in a home and block print wallpaper can help bring an enhanced sense of individuality to the space,” she says. To truly embrace the vintage trend, complete the space with soft accents and thoughtfully curated heirloom furniture.
Block Print Wallpaper
“Block print wallpapers are going to make a mark in 2025 with their artisanal hand-stamped charm, striking the perfect balance between timeless tradition and modern simplicity,” Rees says. She points out that block printing is one of the oldest printing techniques, which often features repetitive, imperfect patterns of geometric shapes, florals, botanicals, and other natural elements. This year, Rees says block print wallpaper is the vintage trend you’ll want to embrace if you want to evoke a sense of nostalgia.
Cell| Sabrina 650.799.4333 |Susan 650.796.0654 | EMAIL | WEB| BLOG
We love what we do and would love to help you navigate your sale or purchase of Residential Real Estate. Please reach out for a personal consultation. Please enjoy our free resources below and get to know our team from our TESTIMONIALS.
Effective. Efficient. Responsive. The Caton Team 🏡
Got Real Estate Questions? The Caton Team is here to help.
We strive to be more than just Realtors – we are also your home resource. If you have any real estate questions, concerns, need a referral, or some guidance – we are here for you. Contact us at your convenience – we are but a call, text or click away!
The Caton Team believes, in order to be successful in the San Fransisco | Peninsula | Bay Area | Silicon Valley Real Estate Market we have to think and act differently. We do this by positioning our clients in the strongest light, representing them with the utmost integrity, while strategically maneuvering through negotiations and contracts. Together we make dreams come true.
A mother and daughter-in-law team with over 35 years of combined, local Real Estate experience and knowledge – wouldn’t you like The Caton Team to represent you? Let us know how we can be of service. Contact us any time.
Cell | Sabrina 650.799.4333 | Susan 650.796.0654 | EMAIL | WEB| BLOG
The Caton Team – Susan & Sabrina A Family of Realtors Effective. Efficient. Responsive. What can we do for you?
When it comes to enhancing your home, a family room addition can be one of the most rewarding projects you undertake. By expanding your living space, you can create a warm and inviting environment for your family to gather, entertain, and relax. If you’re considering building an addition, here are five creative family room addition ideas to inspire your project.
1. Open Concept Family Room One of the most popular trends in home design is the open concept layout. By removing walls and expanding your family room into adjacent spaces, you can create a seamless flow between the kitchen, dining area, and living room. Benefits: This design encourages interaction and allows natural light to fill the entire space, making it feel larger and more inviting. Room Addition Plans: Work with experienced home addition contractors to develop room addition plans that optimize your layout and maintain structural integrity. Cost Considerations: While the cost of adding a room can vary, an open concept addition can increase your home’s value significantly.Is your living room ready for a makeover?
2. Sunroom Addition A sunroom is a fantastic option for those who love natural light and the outdoors. This type of room addition allows you to enjoy the beauty of your backyard while being sheltered from the elements. Design Features: Incorporate large windows and glass doors to maximize views and sunlight. Consider using energy-efficient glass to help regulate temperature and reduce energy costs. Functionality: A sunroom can serve multiple purposes, from a cozy reading nook to an entertaining space for family gatherings. Home Addition Services: Consult with room addition contractors near you to explore the best design and materials for your sunroom.Ready to enhance your living room’s appeal?
3. Second Floor Addition If you’re looking to expand your home without sacrificing yard space, a second-floor addition is an excellent solution. This option adds significant square footage and can provide stunning views of your surroundings. Room Extension Ideas: Consider creating a loft-style family room with an open floor plan, or divide the space into separate zones for various activities. Planning and Permits: Building a second-floor addition requires careful planning and adherence to local building codes. Partner with reputable home addition builders near you who understand the complexities involved. Cost Considerations: The cost of adding a room on a second floor can be higher than a ground-level addition due to structural requirements, so be sure to budget accordingly
4. Outdoor Living Room For those who enjoy outdoor entertaining, consider extending your family room into an outdoor living space. An outdoor room can be a versatile area that allows you to enjoy your backyard while providing shelter and comfort. Design Elements: Use sliding glass doors to connect your indoor family room with the outdoor space. Include comfortable seating, a fire pit, or a kitchen area for cooking and dining. Room Addition Floor Plans: Work closely with room addition contractors to create plans that maximize usability and integrate with your home’s existing design. Home Addition Contractors: Seek out experienced contractors who specialize in outdoor living spaces to ensure your addition is both functional and durable.Ready to elevate your bathroom and increase your home’s value?
5. Multi-Functional Family Room As families grow and change, the need for versatile spaces becomes essential. A multi-functional family room can serve various purposes, from a play area for kids to a home office or guest room. Design Flexibility: Use furniture that can be easily rearranged or folded away to make the most of your space. Consider built-in storage solutions to keep the area organized. Consultation with Contractors: When building an addition, consult with home addition contractors to create a layout that accommodates different activities without feeling cramped. Room Addition Plans: Incorporate room addition plans that allow for future modifications as your family’s needs evolve.
Cell| Sabrina 650.799.4333 |Susan 650.796.0654 | EMAIL | WEB| BLOG
We love what we do and would love to help you navigate your sale or purchase of Residential Real Estate. Please reach out for a personal consultation. Please enjoy our free resources below and get to know our team from our TESTIMONIALS.
Effective. Efficient. Responsive. The Caton Team 🏡
Got Real Estate Questions? The Caton Team is here to help.
We strive to be more than just Realtors – we are also your home resource. If you have any real estate questions, concerns, need a referral, or some guidance – we are here for you. Contact us at your convenience – we are but a call, text or click away!
The Caton Team believes, in order to be successful in the San Fransisco | Peninsula | Bay Area | Silicon Valley Real Estate Market we have to think and act differently. We do this by positioning our clients in the strongest light, representing them with the utmost integrity, while strategically maneuvering through negotiations and contracts. Together we make dreams come true.
A mother and daughter-in-law team with over 35 years of combined, local Real Estate experience and knowledge – wouldn’t you like The Caton Team to represent you? Let us know how we can be of service. Contact us any time.
Cell | Sabrina 650.799.4333 | Susan 650.796.0654 | EMAIL | WEB| BLOG
The Caton Team – Susan & Sabrina A Family of Realtors Effective. Efficient. Responsive. What can we do for you?
Learn from a homeowner’s experience and remodeling pros about what to do, and not do, in hiring a contractor.
Jody Costello was eager to begin a two-story addition to her 1940s home, including a new owner’s suite and an upper deck with a view of the San Diego skyline and waterfront. She gathered bids from four remodeling contractors, chose the middle-priced bid from a company that radio ads called the “No. 1 remodeling firm in San Diego” with “guaranteed customer satisfaction.” She thought she had done everything right.
But then came the shoddy work, water leaks, and mold. On top of that were regular failed inspections, mismeasured doors and windows, hard-to-reach contractors, a carbon monoxide gas leak that sent Costello to the ER, and home renovation costs that inched higher than her $150,000 budget.
Everything went wrong that could go wrong, she recalls. “ I remember standing in the hallway looking at the mess. A doctor had just ordered me to stay away from my home because of the mold, and I was thinking, ‘This is crazy.’”
Ultimately, Costello took her contractor to court to recoup some of the $240,000 in accumulated bills. She ended up with a settlement (for an amount she can’t disclose), but she was left with an unfinished project for years.
Costello learned a tough lesson: Hiring the wrong home remodeling contractor can cost you dearly. Now, as the creator of the “Contractors from Hell” website, Costello fields messages from desperate homeowners who’ve had similar experiences. She helps educate them about better protecting themselves.
“The foundation for a successful outcome is vetting to ensure you hire an ethical, competent contractor.” But many people trust a referral or online review, she adds. “You will pay the price if you don’t take the time to know fully who you’re working with.”
How to Find a Home Remodeling Contractor
Referrals — from neighbors, friends, or others —are a common source when looking for a remodeling contractor. Real estate professionals also recommend contractors and may offer extra assurance from their well-vetted network.
Before you hire a contractor, schedule three to five in-person interviews, gather bids, and thoroughly check the background of any you’re considering. “Google the contractor’s name and their business,” she says. “See what turns up and if they have any complaints or lawsuits” filed against them.
Check online reviews on Yelp, Angi, NextDoor, and elsewhere, but don’t base your decision only on those, cautions Josh Rudin, owner of ASAP Restoration in Tempe, Ariz. “Review sites are not all made equally, and not all reviewers are actually customers,” he says. “Some review sites let anyone post reviews about the company.”
Instead, Rudin recommends focusing on Better Business Bureau reviews and ratings. “Companies pay to be a part of the BBB, and when the customer complains about services rendered, the BBB has to do an actual investigation of the situation,” he says. “If the company has a bad BBB rating, this means they likely have failed to satisfy real customers who had real experiences.”
You can also find out whether a contractor you’re considering has been certified by an industry organizations. For example, certification by the National Association of the Remodeling Industry recognizes highly experienced remodeling professionals who are capable of planning and managing complex remodeling projects. NARI offers a consumer search tool at its site to find remodelers in your area who’ve also agreed to abide by NARI’s code of ethics for professionalism.
Questions to Ask a Remodeling Contractor
Erin Hybart, a real estate pro in Baton Rouge, La., helps investors flip houses. “Finding a good contractor is by far the hardest part,” she says. Hybart suggests that you explore these areas and ask the following questions to vet remodeling contractors:
Download as a PDF
Experience
How many properties have you remodeled/flipped?
How long have you renovated homes?
How did you learn this trade?
What do you specialize in?
What makes you different from other renovation professionals?
Licensing, Insurance, and Bonding
What type of license do you hold?
How much insurance do you carry, and what does it cover?
Does your insurance cover anyone you hire as a subcontractor?
Are you bonded?
Project Costs
How detailed are your quotes?
Can you share a quote from a project you recently worked on so I can see how detailed it is?
Does your quote include materials and labor?
If your quote includes materials, do I have a say about the material selection?
Work History
Do you have pictures of projects?
Do you have at least three references?
Have you ever had a project go over money and time budget? If so, tell me about it.
Have you ever had an unhappy client, and how did you deal with it?
The Scope of the Project
Is there anything you can’t do regarding the project I’m proposing?
Do you subcontract anything to others?
Who do you hire as subcontractors?
How do you ensure the quality of your subcontractors’ work?
Do you pull permits?
How are you paid?
What percentage do you put into the project for possible incidentals?
Why do you think I should hire you for this job?
Why Remodeling Contractors Should Be Licensed, Bonded, and Insured
Being licensed, bonded, and insured can lend credibility to contractors and offer protection to homeowners, but these credentials come with some limitations, according to Rudin.
Licensed: The company has registered their business operations with the state contractor’s registrar. But states offer different type of licenses. “Some licenses allow a contractor to do one kind of work, but not another,” Rudin says. “It’s important to know the differences between these levels of licensure and what your specific project requires.” Each state has different requirements and rules, with some even limiting contractor licenses by the cost of the project. You may want to view contractor licensing rules in your state.
Bonded: This means they have a surety bond, so if your home is damaged, the bond will cover the loss. “This is important because if the company isn’t bonded and an accident occurs, you’ll be on the line for the cost of repairs,” Rudin explains.
Insured: The company is protected against various risks and liabilities, such as if a worker has an accident on the job site or if they caused some sort of professional mistake.
8 Red Flags to Look for in a Remodeling Contractor
When you’re interviewing, background checking, or starting a relationship with a remodeling contractor, be leery of these eight red flags:
Vague contracts: A written contract should spell out the scope of the work, materials, payment schedule, change orders, etc. “If a contractor gives you a contract that is only one or two pages, that’s a red flag,” Costello warns.
Lack of consumer protections: A contract should protect you, the homeowner, as well as the contractor. Offer a contract addendum if needed. Costello recommends a clause that allows you to fire a contractor for shoddy work or for failing to show up at the jobsite for a specified time. Also, she recommends the contract calls for a change order to be signed by both parties for any added fees. That will help avoid surprise invoices.
Large down payments: The contract should outline a payment schedule based on work milestones, such as when framing is completed or rough plumbing or electricity is installed. Costello’s red flag: having to pay $30,000 before work even started. “Every state is different, but in California, all that is required is 10% or $1,000, whichever is less,” she says. “Negotiate that upfront cost if your state requires a lot more, because if you give away too much money right off the bat, they could drag their feet or use your money for another project.”
Refusal to pull permits: Many remodeling projects — like for fireplaces, outdoor kitchens, and room additions — require a permit from the city or county to ensure they’ll be completed up to code. Most remodeling contractors will file these on your behalf, but be cautious of those who don’t; it may be a sign they’re unlicensed, Costello says. She advises having the contractor pull any permits because “whoever obtains and signs for the permit is responsible for everything, including fees and fines if something ever goes wrong,” she adds.
Lack of communication: Costello says she never spoke to the contractor until after she hired him and had to communicate through a salesperson first. Her contractor would often not show up for days or weeks and rarely returned phone calls or messages. She recommends the contract detail the frequency of communication.
Failure to address lien waivers: A lien waiver can help protect homeowners in large remodeling projects. This ensures a contractor’s supplier can’t place a lien on your property if the contractor fails to pay the supplier. (Costello says a “mechanics lien” was placed on her home during the remodel for this reason.) Liens can affect a homeowner’s ability to sell their home until they’re resolved.
Low estimates: Homeowners may be tempted to choose the contractor with the lowest bid, but be skeptical: “Low bids tend to be vague,” Costello says. “They tend to just offer vague references to painting, plumbing, and electrical, with nothing broken out about the scope of work or materials used. Make sure costs are detailed.”
Lack of professionalism: “It may seem judgmental to assess the quality of a contractor by their appearance and first impressions, but it can be one indicator in your toolkit,” Rudin says. If the contractor arrives late or is continually difficult to reach, that reflect on how they’ll handle your project, he adds.
What to Do If You Notice Problems With Your Remodeling Contractor
Looking back, Costello says she likely could have avoided some of her remodeling nightmare by spotting the red flags. Those include the lack of communication, vague contracts, and the requirement to put down too much money upfront. “If you start to notice something isn’t right, communicate that right away to the contractor,” Costello says. “Always follow up with a written letter that summarizes what you said and uses language like, ‘I appreciate your help,’ or ‘I appreciate your attention to this,’ and ‘I look forward to getting this resolved.’ Document and take photos.”
Costello credits documentation for helping her to receive a settlement from the contractor. Even then, it took about 15 years to get her two-story renovation completed the way she originally envisioned, she says.
“I just wish I knew back then what I know now,” she says. “Educate yourself, understand your rights, vet your contractors carefully, and learn to read contracts.” It paid off: Her remodeling experiences ever since —for the two-story addition’s reconstruction and later a kitchen — went smoothly, and she credits hiring well-vetted, professional contractors for the results.
Cell| Sabrina 650.799.4333 |Susan 650.796.0654 | EMAIL | WEB| BLOG
We love what we do and would love to help you navigate your sale or purchase of Residential Real Estate. Please reach out for a personal consultation. Please enjoy our free resources below and get to know our team from our TESTIMONIALS.
Effective. Efficient. Responsive. The Caton Team 🏡
Got Real Estate Questions? The Caton Team is here to help.
We strive to be more than just Realtors – we are also your home resource. If you have any real estate questions, concerns, need a referral, or some guidance – we are here for you. Contact us at your convenience – we are but a call, text or click away!
The Caton Team believes, in order to be successful in the San Fransisco | Peninsula | Bay Area | Silicon Valley Real Estate Market we have to think and act differently. We do this by positioning our clients in the strongest light, representing them with the utmost integrity, while strategically maneuvering through negotiations and contracts. Together we make dreams come true.
A mother and daughter-in-law team with over 35 years of combined, local Real Estate experience and knowledge – wouldn’t you like The Caton Team to represent you? Let us know how we can be of service. Contact us any time.
Cell | Sabrina 650.799.4333 | Susan 650.796.0654 | EMAIL | WEB| BLOG
The Caton Team – Susan & Sabrina A Family of Realtors Effective. Efficient. Responsive. What can we do for you?
You’ll never regret these timeless decorating decisions.
Many of us have been there: You splurge on a pricey pair of jeans or a handbag one season, only to find that it seems to fall out of fashion quicker than an episode of “What Not to Wear.” The same holds true with home decor. (In case you missed it, these five design details can make your home look dated.)
Still, certain decorating choices stand the test of time and will serve you well regardless of the year on the calendar. Keep in mind that it’s much easier to usher your home through the eras if you start smart: “The better the interior architecture, the easier it is to decorate—and the less likely you’ll ever tire of it,” believes Stephanie Sabbe, interior designer in Nashville, Tennessee. “Colors and patterns change, but when the bones are good, the house can carry the decor through the decades.”
Once the foundation is set, the fun part begins: sprucing things up and making a space your own. A well-planned space—one that respects the style of the house and reflects the owner’s vibe—never goes out of style, if you ask Adrianne Bugg, principal designer for Pillar & Peacock interior design in Florence, Alabama (which she co-founded with Brandeis Short).
Natural Stone Countertops
Carmel Brantley
Stone countertops like marble, quartzite, and soapstone have a timeless appeal because they offer both beauty and durability, explains Amanda Reynal, interior designer in West Des Moines, Iowa and Palm Beach, Florida (and the designer of the Lilly Pulitzer-inspired room in the 2025 Kips Bay Decorator Show House Palm Beach). They’re also versatile. Since natural stones come in neutral tones, they integrate beautifully into a variety of design styles, from traditional to contemporary, making it a quality investment for any home.
“Each slab has unique veining and texture; bringing depth and organic elegance to a space,” she says. “Natural stone ages gracefully, too, and develops more character over time.”
The one exception: Granite, which Leah Harmatz, founder of Field Theory Design in San Francisco and the designer of Hotel Lilien in Tannersville, New York, tells us lacks the “interesting veining and movement” that other natural stones offer.
Layers of Color and Texture
David Tsay
Without a nice mix of color and texture, a room can feel one-dimensional, and, well, boring. To combat this, Kellie Sirna, owner and principal of Studio 11 Design in Dallas, Texas, recommends adding “a mix of natural materials like wood, stone, and metal to create a balanced, organic feel.” She adds, “Then layer in soft textures and pops of color to add warmth and personality while keeping the space open, cohesive, and, most importantly, welcoming.”
Layering adds depth, character, and complexity to a space by developing a nuanced stylistic narrative. Plus, this allows you to evolve the room’s aesthetic over time by switching out or adding new elements you gather from travels, acquire, or fall in love with throughout the course of your life. Pillows, art, accessories, and books are all prime candidates to help add a personal punch.
“Keeping it classic with a slight twist feels curated and personal,” Bugg says.
A Fireplace (Feel Free to Fake It!)
William Waldron
If you ask David Kaihoi, interior designer and owner of Redd Kaihoi in New York City, “A home always feels more complete if it has a fireplace. The fire has been the center of our existence and captured our imagination since the beginning of time. Having a fireplace gives immediate comfort and focus. It’s the ideal center of a home.”
In an existing home, townhome, condo, or apartment without a wood fireplace, Kaihoi says, “Go ahead and fake it! Nothing beats a real wood-burning fireplace, but the ease and upkeep of a gas unit is amazing.”
If you don’t have a chimney flue, go faux and install a fireplace look-alike. Even the mere suggestion of fire lends a layer of comfort, Kaihoi believes. The key is to “make it look architecturally convincing. Aim for a realistic firebox depth and the appearance of a chimney breast.”
Nick Olsen, an interior designer in New York City notes that a simple bolection fireplace mantel—“basically a simple, curvy molding profile that can be rendered in wood, stone, plaster or even mirror”—is also classic. This is a much wiser choice than a style that’s “overwrought, historically incorrect, or just plain tacky,” as many modern-day mantels can be, Olsen admits.
Well-Made, Well-Maintained Furniture
Alison Gootee for VERANDA
Your chairs, tables, bed frames, and couches need not all be brand new to feel current. Well-made furniture from any era will stand up to the test of time, Harmatz says. She edits her own space, and the homes of clients, based on the quality of the pieces. Often, all it takes to make antique and vintage items feel refreshed and ready to integrate into the space:
New upholstery
Oiling wood
Sealing stones or ceramics
Polishing metal
Bonus: “Many of these upgrades help preserve their beauty of antiques,” Sirna explains.
Unlacquered Brass Hardware
Annie Schlechter
Speaking of metals, Olsen is forever swooning over unlacquered brass hardware—be it on bathroom fixtures, kitchen cabinet pulls, or door knobs and hinges.
“The finish ages beautifully and feels appropriate in the city, country, and at the beach. Changing out existing door hardware or bath elements is a lot more difficult than swapping in new cabinet knobs, but no matter where you integrate unlacquered brass, you’ll appreciate it every day,” he says.
Olsen actually just took his own advice to upgrade his upstate New York bathroom with brass fixtures, and he tells us, “my dream is installing a matching brass shower enclosure!”
A Mindful Furniture Map
Max Kim-Bee
A thoughtfully arranged furniture plan ensures a space is visually balanced, functional, cohesive, and comfortable, explains Reynal.
“Considerate layout design prioritizes flow, comfort, and conversation, making a room feel inviting and effortless to navigate. Whether in a formal living room or a casual family space, the right furniture placement enhances usability and allows design elements—such as color, texture, and pattern—to shine,” she adds.
If you feel like your space could potentially use a refresher, press pause before you start rearranging. Try plotting things out virtually via a platform like RoomStyler 3D Room Planner or Floorplanner to play around with the format to see which feels most natural to you.
Classic Furniture Silhouettes
Douglas Friedman
If you discover that you have a gap in your layout, Olsen says you can’t go wrong with leather or suede seating with elegant lines.
“Just look at rooms by David Hicks and Billy Baldwin—case closed,” Olsen says. “But to elaborate, the elegant lines of Louis XV and Louis XVI furniture look so fresh and handsome in leather or suede, especially compared to mumsy silks. French furniture makers knew what they were doing in the 18th century, these chairs can actually be super comfortable.”
Whether you add them to a contemporary or a traditional room, they’ll fit right in “as long as the scale and quality are solid,” Olsen believes. He adds that a quality reproduction is A-OK if you can’t find a solid antique version. He quips, “Who really lives with museum quality antiques, anyway?”
Unexpected Sculptural Touches
Annie Schlechter for VERANDA
Whether it’s via curvy furniture, an architectural light fixture, or a piece of art with dimension, “One of my favorite ways to elevate a room’s design story is through sculptural elements,” Sirna says. “Innovative shapes and textures showcase a certain level of design prowess and confidence.”
Atypical shapes and textures create depth and dimension and imply more conceptual thinking, all of which are inherently tied to elevated design, she adds.
Curtain Panels on a Rod with Rings
Annie Schlechter
Slatted blinds feel ultra-industrial and blackout shades can feel aggressive outside of a bedroom or nursery. But curtain panels hung on a rod via rings feels refined and versatile, enhancing the overall design without overpowering it, according to Reynal.
She says that curtain panels hung on a rod with rings add “softness, height, and sophistication to a room.” She adds, “It works with nearly any aesthetic, from tailored and traditional to breezy and casual, depending on the fabric choice. The rings allow the curtains to glide smoothly, making them both functional and elegant.”
Karla Walsh is a Des Moines, Iowa-based freelance writer, editor, freelance writing coach and level one sommelier who balances her love of food and drink with her passion for fitness (or tries to, at least!). She has over 15 years of professional experience covering food, wine, travel, nutrition, health, fitness, psychology, beauty, relationships and beyond.
Cell| Sabrina 650.799.4333 |Susan 650.796.0654 | EMAIL | WEB| BLOG
We love what we do and would love to help you navigate your sale or purchase of Residential Real Estate. Please reach out for a personal consultation. Please enjoy our free resources below and get to know our team from our TESTIMONIALS.
Effective. Efficient. Responsive. The Caton Team 🏡
Got Real Estate Questions? The Caton Team is here to help.
We strive to be more than just Realtors – we are also your home resource. If you have any real estate questions, concerns, need a referral, or some guidance – we are here for you. Contact us at your convenience – we are but a call, text or click away!
The Caton Team believes, in order to be successful in the San Fransisco | Peninsula | Bay Area | Silicon Valley Real Estate Market we have to think and act differently. We do this by positioning our clients in the strongest light, representing them with the utmost integrity, while strategically maneuvering through negotiations and contracts. Together we make dreams come true.
A mother and daughter-in-law team with over 35 years of combined, local Real Estate experience and knowledge – wouldn’t you like The Caton Team to represent you? Let us know how we can be of service. Contact us any time.
Cell | Sabrina 650.799.4333 | Susan 650.796.0654 | EMAIL | WEB| BLOG
The Caton Team – Susan & Sabrina A Family of Realtors Effective. Efficient. Responsive. What can we do for you?
While rent prices for apartment buildings are flattening out because of a supply increase, single-family rentals did not see that same level of construction.
That dynamic has kept available supply of single-family rentals low, and prices higher.
“Single family rentals are detached homes, perhaps with a yard,” said Jessica Lautz, deputy chief economist at the National Association of Realtors.
Renters looking for a better deal may need to rethink the kind of properties they’re focused on in their search.
As of January, median single-family home rent prices are up about 41% since before the pandemic, according to a recent report by Zillow. Meanwhile, multi-family rents are up 26% in the same timeframe.
But single-family rentals did not see that same level of construction, keeping the available supply low. Single-family rent growth also remains strong amid high demand, as high mortgage rates keep would-be buyers out of the for-sale market, Zillow noted in the report.
Multi-family housing often includes many units or separated dwellings within the same building, whereas a single-family rental is often in the form of a detached house.
The typical asking rent price for a single-family home in January was $2,179, up 0.3% from a month prior, and up 4.4% from a year ago, Zillow found. Meanwhile, the typical asking rent for a property in a multifamily home was $1,820, up 0.2% from a month ago and up 2.7% from a year prior.
The gap between the costs to rent a single-family home versus a unit in a multi-family apartment is the largest difference Zillow has recorded since it began tracking the metrics in 2015.
But while there’s a lack of single-family rentals compared to multi-family properties, “demographics play a huge role here,” said Jessica Lautz, deputy chief economist at the National Association of Realtors.
If you can’t afford to buy a home yet, but need the space, here’s what the high cost of single-family rental housing means for you.
‘Renters are stuck renting for longer’
The millennial generation — those born between 1981 and 1996 — has had a tough time getting into homeownership.
“Renters are stuck renting for longer,” said Orphe Divounguy, an economist at Zillow.
This means many people are staying renters for longer. Zillow found in a separate 2024 report that the median age of renters in the U.S. is 42, and millennials make up about 31% of renters in the U.S. In Zillow’s analysis, millennials were those age 30 to 44 at the time of the survey.
As homeownership has become “so unaffordable and out of reach,” the cohort has had to find bigger rental properties to accommodate major life changes, such as getting married, and having kids or pets.
watch now
VIDEO04:49
Bad housing starts in January due to weather, says Zillow’s Orphe Divounguy
The appeal of single-family rentals, experts say, is a homeownershipexperience without the same costs. That can be meaningful for buyers who are faced with affordability challenges in the for-sale market. Coming up with the down payment can be a hurdle, as well as navigating volatile mortgage rates and rising home prices.
The median sale price for homes nationwide was $375,475 in the four weeks ending February 16, up 3.7% from a year prior, according to Redfin.
Meanwhile, the average 30-year fixed rate mortgage inched down to 6.87% the week ending Feb. 13, per Freddie Mac data. That’s the lowest so far in the year, and down from the latest peak of 7.04% in January.
What to do in the meantime
Factors like “having a strong income, strong credit score and lower debt-to-income ratios” are essential for renters in looking into single-family rental homes, Divounguy said.
Paying down debt can help improve your debt-to-income ratio, which measures your debt repayment obligations relative to your income.
When landlords look at your financials, it helps them gauge how easily you can afford the rent based on your current income.
This measure is even more important for renters looking into single-family rental properties, Divounguy said. If you plan to buy a home in the future, keeping this in check will increase your chances of having an approved mortgage application.
Cell| Sabrina 650.799.4333 |Susan 650.796.0654 | EMAIL | WEB| BLOG
We love what we do and would love to help you navigate your sale or purchase of Residential Real Estate. Please reach out for a personal consultation. Please enjoy our free resources below and get to know our team from our TESTIMONIALS.
Effective. Efficient. Responsive. The Caton Team 🏡
Got Real Estate Questions? The Caton Team is here to help.
We strive to be more than just Realtors – we are also your home resource. If you have any real estate questions, concerns, need a referral, or some guidance – we are here for you. Contact us at your convenience – we are but a call, text or click away!
The Caton Team believes, in order to be successful in the San Fransisco | Peninsula | Bay Area | Silicon Valley Real Estate Market we have to think and act differently. We do this by positioning our clients in the strongest light, representing them with the utmost integrity, while strategically maneuvering through negotiations and contracts. Together we make dreams come true.
A mother and daughter-in-law team with over 35 years of combined, local Real Estate experience and knowledge – wouldn’t you like The Caton Team to represent you? Let us know how we can be of service. Contact us any time.
Cell | Sabrina 650.799.4333 | Susan 650.796.0654 | EMAIL | WEB| BLOG
The Caton Team – Susan & Sabrina A Family of Realtors Effective. Efficient. Responsive. What can we do for you?
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Carmel Brantley
David Tsay
William Waldron
Alison Gootee for VERANDA
Annie Schlechter
Max Kim-Bee
Douglas Friedman
Annie Schlechter for VERANDA
Annie Schlechter
The Real Estate Beat 
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