Changes are Coming to FHA Home Loans…

Changes are Coming to FHA Home Loans

I am a fan of the FHA home loan because it helps so many first time buyers get a home here on the SF Peninsula where home prices are an the high side.  What saddens me are the recent changes in store for FHA clients.

Newly Originated FHA-Insured Loans Will Become More Expensive Beginning June 3, 2013.

One of the attractive features of FHA mortgages is the low down payment option. In fact, many FHA loan programs require as little as 3.5% down.

Today, mortgage insurance on FHA loans remains in place for a finite period of time. However, on most new FHA loans originated on or after June 3rd, the MI premium will remain for the life of the loan. 

Now sure how this will impact you?  Give The Caton Team a call or email!

If you or someone you care about have considered purchasing a home, please contact us immediately to ensure this new FHA policy doesn’t increase the lifetime cost of the transaction. Beating the June 3rd clock could potentially save thousands over the life of the loan.

And please do not be discouraged – there are several different loan options and programs available!

Thank you Melanie Flynn of First Priority Financial for this information.  If you would like to connect with Melanie – give us a call or email!

Got Questions? – The Caton Team is here to help.

Email Sabrina & Susan at:  Info@TheCatonTeam.com

Visit our Website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

Yelp us at: http://www.yelp.com/biz/the-caton-team-realtors-sabrina-caton-and-susan-caton-redwood-city

Or Yelp me:  http://www.yelp.com/user_details_thanx?userid=gpbsls-_RLpPiE9bv3Zygw

Instagram: http://instagram.com/sunshinesabby/

Pintrest: https://pinterest.com/SabrinaCaton/

LinkedIn:  http://www.linkedin.com/profile/view?id=6588013&trk=tab_pro

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

The home bidding wars are back!

Always nice to find a good article to share.  Enjoy By Les Christie CNNMoney

The home bidding wars are back!

The bidding wars are back. Seemingly overnight, many of the nation’s major housing markets have gone from stagnant to sizzling, with for-sale listings drawing offers from a large number of house hunters.

In March, 75% of agents with broker Redfin said their clients’ offers were countered by rival bids, up from 56% who said so in late 2011.

The competition has been most intense in California, where 9 out of 10 homes sold in San Francisco, Sacramento and cities in Southern California drew competing bids during the month. And at least two-third of listings in Boston, Washington D.C., Seattle and New York generated bidding wars.

“The only question is not whether a new listing will get multiple bids but how many it will get,” said Kris Vogt, who manages 14 Coldwell Banker offices in the Sacramento area. One home in an Elk Grove, Calif., subdivision recently received 62 separate bids. The final sale price was for more than $150,000, well above its $129,000 asking price.

In Cambridge, Mass., two condos that could be combined into one large home hit the market two weeks ago for $800,000 each, according to Pat Villani, president of Coldwell Banker Residential Brokerage in New England.

“The brokers stopped taking names after the number of bidders reached 250,” she said. The winning bidder offered $2 million for both units.

Related: Five best markets to buy a home

Homebuyers eager to purchase before home prices and mortgage rates rise are finding few homes for sale as sellers hold out for better deals, said Glenn Kelman, Redfin’s CEO.

Many homeowners are still underwater, owing more on their mortgages than their homes are worth, and they want to wait until selling becomes profitable again. By doing so, they can avoid short sales, which carry big hits on credit scores, 85 to 160 points, according to FICO.

“Many people have been holding on for a profit and they’re just now getting their heads above water,” said Kelman.

Those who want to sell and buy a new home are encountering a market where it’s difficult to find a new place of their own, said Vogt.

Related: Five best markets to sell a home

Over the past few months, Jackie and Cliff Kaufman have bid on four different homes in St. Petersburg, Fla., including one short sale and a foreclosure.

The pair, who have two adult children and run an online jewelry business, said they bid $5,000 more than the $495,000 asking price on the first home they had their eye on and never heard back from the seller’s agent. They were later told the house sold for nearly $550,000.

Next, they bid on a short sale listed for $600,000. This time, they came in $10,000 above the asking price and again, they were beaten out. The house was only on the market for two days.

The third attempt to make an offer on a bank-owned property was also met with silence.

Related: Buy or rent? 10 major cities

“It was very frustrating,” said Jackie Kaufman. “We felt we were always on the outside of the loop and that people who won the homes had the inside track.”

By the fourth try, the couple successfully bid through a listing agent, who they believe pushed their bid harder in order to earn a double commission since she was representing both the buyer and seller in the deal. And they managed to get the place for $30,000 less than the asking price.

They were lucky. Inventories of homes for sale continue to shrink. In February, the National Association of Realtors reported a 19.2% decline in inventory year-over-year. While the number of homes for sale should rise with the onset of the spring selling season, housing inventory is expected to remain low, pushing prices higher.

Related: Fastest growing boomtowns

And new home construction, especially in markets hit hard by the housing bust, is still moving forward at a snail’s pace, since the cost to build the homes is often more than what the property ends up selling for, said Jeff Culbertson, president of Coldwell Banker’s Southern California operations.

Even though home prices are on the rise, the balance between buyers and sellers has been thrown off balance, said Kelman.

“With buyers out in force and sellers cautious, the market is in an awkward ‘tweener’ phase,” he said.

I read this article at:  http://money.cnn.com/2013/04/04/real_estate/bidding-wars/index.html?source=linkedin

Got Questions? – The Caton Team is here to help.

Email Sabrina & Susan at:  Info@TheCatonTeam.com

Visit our Website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

Yelp us at: http://www.yelp.com/biz/the-caton-team-realtors-sabrina-caton-and-susan-caton-redwood-city

Or Yelp me:  http://www.yelp.com/user_details_thanx?userid=gpbsls-_RLpPiE9bv3Zygw

Instagram: http://instagram.com/sunshinesabby/

Pintrest: https://pinterest.com/SabrinaCaton/

LinkedIn:  http://www.linkedin.com/profile/view?id=6588013&trk=tab_pro

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

The Reality of Real Estate Reality TV – by Sabrina Caton

The Reality of Real Estate Reality TV

Aside from my passion in real estate, I love writing and learning about movie and TV production.  A while back, a high-school friend of mine, Robin, was on one of the popular Real Estate Reality shows that so many of us are addicted too.  As soon as I finished her episode I was online asking her questions about her experience and how it all worked out.

The truth behind “real estate reality” TV was as enlightening as it was awesome.  Why?  Because the truth set me free!  It confirmed it’s an entertainment show and not a true reflection on how buying a home really works.

Robin told me the episode is shot backwards.  They had already purchased their condo, they had spent plenty of weekdays and weekends house-hunting with their agent and doing the real work.  However, after they closed escrow on their new home, the production of the show started.  They walked through their future home and pretended to shop it.  Then the producers found two other properties, ones they may or may not have seen prior to buying and they walked through those too – pretending to pick it apart or discuss their likes and dislikes.

Then at the end of the show, they reveal which unit they bought and it’s all smiles and a shot of signing a one-page contract.  So not a true picture of what it takes to buy a home!

The relief spilled over me.  Of course, I knew these shows were for entertainment.  Going on 10 years as a Realtor myself, I’ve rarely showed a home, drew up a contract, got the contract accepted and closed escrow in 30 minutes, minus the commercial spots.  But the people, the real buyers, are watching the show and not thinking about it as entertainment as much as following a buyer’s journey.

That’s where the hard part starts for us Realtors!  Get a new client in the car, ready to show some homes and they tell you – we only want to do this for about a month. Scrape my jaw off the floor and break the truth to them.  In today’s real estate market, at least here on the SF Peninsula – you’ll be house hunting for months!  Some people can handle it some cannot.  I guess it’s one of those moments where you separate the men from the boys.

So I thought I would write a blog about it and share my ‘Ah-Ha’ moment.  Because we, (myself included before I became a licensed Realtor), would sit down and enjoy these shows and in the back of our minds we believed it was that easy.

In the last year or so, the SF Peninsula has switched from a buyers market, with plenty of inventory in various price ranges and condition, to a sellers market, with limited inventory and even the trashy properties receiving multiple offers and over bidding.

Real estate, as all things are, is cyclical.  What goes up, goes down, then up again.  That’s when I remind my buying clients that life is not like those TV shows, not even close to the ones branded as Reality TV.  If you truly want to own a piece of the Silicon Valley, it is going to take work, patience, and flexibility.  And the view from my drivers seat is fantastic.  There are opportunities out there for each buyer, they just have to open their eyes and their mind – and drop the ‘reality’ from those TV shows.

So get off the couch and in my car – we’ll take you on a real Real Estate journey – just a bit longer than 30 minutes.

Thanks for reading!  Sabrina
Got Questions? – The Caton Team is here to help.
Email Sabrina & Susan at:  Info@TheCatonTeam.com
Visit our Website at:   http://thecatonteam.com/
Instagram: http://instagram.com/sunshinesabby/
Please enjoy my personal journey through homeownership at:
Thanks for reading – Sabrina

Bay Area Real Estate Market is Sizzling!

Found this great article by Carolyn Said of the San Francisco Chronicle.  Had to share and add my 2 cents are in italics.

Tight inventory – a dearth of homes for sale – is driving bidding wars throughout the Bay Area, sending prices up and leaving scores of disappointed would-be buyers. Homes that do hit the market sell within days.

So few homes are listed for sale that agents are resurrecting old ways of drumming up business – going door to door, leaving cards and flyers and writing personal letters, asking owners if they’re interested in selling. Social networking and e-mail blasts are being used to increase inventory as well.

This is all too true.  The Caton Team has started targeting areas, condo complexes, neighborhoods and individual homes to find the right home for our buying clients.  It’s that tough!  And with some first time buyers, the window is closing as prices creep up.  Not to mention we are on the edge of our seats worried if interest rates rise.

“People are going old-school, farming their territory,” said Lynda D, an agent in the East Bay, using real estate agent slang for canvassing neighborhoods.

While tight inventory is a national trend, it’s especially pronounced in the Bay Area.

Alameda County, for instance, had 949 homes for sale in February, down 64 percent from the 2,617 on the market at the same time last year, according to data from Realtor.com, the listings website of the National Association of Realtors. Contra Costa County had 899, down 58 percent from 2,152 in February 2012.

“Those are striking reductions in inventory,” said Errol Samuelson, president of Realtor.com.

While inventory numbers did tick up slightly from January to February, that was a normal seasonal change, not an indication of the logjam loosening.

“After seasonal adjustments, inventory is still falling; the underlying trend is still downward,” said Jed Kolko, chief economist with real estate site Trulia.com.

However, he thinks the rate of decline is slowing.

“Inventory tends to fall the most sharply after prices bottom, as no one wants to sell at the bottom, they just want to buy,” he said. Trulia shows that Bay Area prices bottomed more than a year ago.

Price a factor

Sellers remain reluctant and elusive for several reasons. Those who are still underwater – owing more than their house is worth – have the obvious impediment of not wanting to do a short sale.

But many others “feel underwater based on the price they paid,” Samuelson said. That is, someone who paid $700,000 for a home in 2007 won’t feel good about selling it for $625,000 right now, even though the sale would cover their remaining mortgage.

Some potential sellers, seeing prices surge, are hoping to hold out for more. Others who might want to move up to a bigger house fear that the market frenzy means they won’t be able to find or afford anything else.

This is such a dilemma.  If a seller has enough equity, finally, to sell – the next question is – Where do we go?  If a seller wants to stay in the Bay Area, selling now means jumping into the buying pool – and that pool is man eat man!  So this truly creates a problem.

Now that it’s spring, the busiest real estate season, more homes should start hitting the market. But many agents have been taking matters into their own hands, making pitches directly to potential sellers about why it’s time to get off the fence.

Although there are numerous online sites to track homes for sale, “the way the market is set up now is forcing us to go back to the beginning where (agents) walk up to a door and knock and say, ‘Hi, how are you, my name is … ‘ ” said Adelaida M, a Realtor in San Francisco.

Personal touch

She recently worked with a client seeking a home in San Francisco’s Clarendon Heights neighborhood, above Cole Valley. After losing out with bids, she walked the neighborhood with him and identified houses he particularly liked. Mejia looked up the homeowners and wrote personal letters to each, explaining that her client loved the area and was seeking a house there.

“Three weeks later, one person called me back and said ‘We loved your letter, we’d love to talk even though we’re not on the market, come on over,’ ” she said.

Rich and Renee G, the homeowners, said they received two or three agent solicitations a week after unsuccessfully trying to sell the house last year, but ignored them because they were form letters.

I couldn’t agree more.  The Caton Team has taken this stance and only solicits a seller when we have an actual buyer for their home.  We’re not trying to just get listings.  We are trying to unit buyers and sellers.  I personally experienced what it feels like to be a seller for the past three years.  Back and forth with my loan modification paperwork, we placed our home on the market and with no offers, pulled it off the market for a spell.  During that time I got stacks and stacks of form letters.  Truthfully, it was starting to frost my cookies.  It was evident all us Realtors are trying to drum up business, but the form letters were bothering me.  They were heartless and actually hurt me – because we didn’t really want to sell – but had to.  In the end we listed our home in October of 2012 and sold it within weeks!  Now, on the other side of the fence, I consider how a homeowner would feel when they get a form letter.  Therefore The Caton Team takes the time to write a real letter, talk about the buyers we are representing and take it from there.

“Adelaida’s note was different; more personalized,” Rich said. “We were planning to put the house on the market again, but the note just pre-empted that.”

Her client ended up visiting the house, making an all-cash offer and buying it. “It was a really stress-free experience for both” the buyer and seller, she said.

If you do ask The Caton Team of your Realtor to solicit homes for you – be prepared to pay fair market value or more because if you aren’t willing too – the seller will simply put the home on the market, get multiple offers and sell for top dollar.  So in other words, you need to ‘make them an offer they cannot refuse.’

Beating the bushes for sellers is an about-face from just 18 months ago, when the challenge was to find people who wanted to buy.

A corresponding trend is that homes are selling very quickly.

‘Unbelievable’

“The median days on market in Contra Costa is 13 days – that’s unbelievable,” Samuelson said. A year ago it was 33 days.

Redfin has identified another trend it calls “flash sales” – homes that sell within 24 hours of being listed, usually because a buyer swoops in with an offer too good to refuse. Often, those are buyers who have lost other bidding wars and are determined to land a property.

In the past six months, almost 1,000 Bay Area properties went under contract within one day, Redfin said.

That’s the truth.  The Caton Team has started showing homes the day they come on the market and are prepared, right then and there, to write an offer if our client likes the home.  Gone are the days, for now at least, that you could see a home, think about it, maybe sleep on it, then write the offer.  Lately it’s felt like – ‘you like it – let’s write’!   And with each offer we write for each buyer, we’re doing everything we can to make the offer more likable to the seller.  We are using every tool in our toolbox and the toolbox of our clients. 

“I just had that experience at a house in the Oakland hills,” DiVito said. “I held the brokers’ tour just before putting it on the market. A buyer and agent walked in and offered us our list price in cash on the spot.”

Underscoring how much the market has changed, she said her sellers had tried to sell the house a year ago “and could not move this property, even though they lowered the price three times.”

Been there done that.  It is amazing how much our real estate market has changed in one year alone.  In 2010 and 2011 I had my own condo to sell, and nobody was interested.  October 2012 – put it on the market and within days I had several offers.  In the end, 20 offers on the same condo.  Amazing what a year can do.

Same-day offer

The sellers, who were buying a new home and needed to sell quickly, were happy to take the same-day offer since a cash deal meant it couldn’t be derailed by problems with financing or appraisals.

“Flash-sale terms tend to be really good because (buyers) really want to lock down that property quickly,” DiVito said. “They’re more willing to meet the sellers’ needs to scoop it up before anyone else gets it.”

What happens next with inventory is a big question hanging over the real estate recovery.

“My best guess is that you’ll see an orderly return of inventory to the market,” Samuelson said. “I don’t expect that you’ll see the floodgates open and torrents of properties hit the market. But for each percentage point increase in price, there will be some people who for life reasons have wanted to sell for the past five years – their kids moved out, they got divorced – and now feel that the time is right and they have enough equity.”

Don’t be discouraged if you are a buyer out there.  Don’t sit back either.  The best education a buyer can have is living the market.  So if you are thinking of buying a home, get pre-approved, call The Caton Team or your Realtor and come up with a plan.  The more active you are today – the better prepared you will be tomorrow.

I read this article at: http://www.sfgate.com/default/article/Homes-sell-faster-than-ever-in-Bay-Area-4375058.php

Got Questions? – The Caton Team is here to help.

Email Sabrina & Susan at:  Info@TheCatonTeam.com

Visit our Website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

Yelp us at: http://www.yelp.com/biz/the-caton-team-realtors-sabrina-caton-and-susan-caton-redwood-city

Or Yelp me:  http://www.yelp.com/user_details_thanx?userid=gpbsls-_RLpPiE9bv3Zygw

Instagram: http://instagram.com/sunshinesabby/

Pintrest: https://pinterest.com/SabrinaCaton/

LinkedIn:  http://www.linkedin.com/profile/view?id=6588013&trk=tab_pro

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

Home Buyers Face Dilemma with Housing Shortage – SF GATE sheds some light…

After a great open house yesterday with candid discussions with the buyers out there.  It was great to find this article this morning in the Sunday paper regarding what Realtors in the Bay Area were already thinking.  If you want to call our glorious SF Peninsula home – now is the time.  We hit bottom, whether it was 2009 or 2012.  With limited inventory and low rates driving renters from out under their rock – homes are selling with multiple offers and for over their listed price.  And with demand this strong – we don’t feel prices are going to fall anytime soon.  Take a read and let me know your thoughts.  Comment or email us at info@thecatonteam.com!  Enjoy!

Home Buyers Face Dilemma with Housing Shortage

The sharp drop in homes for sale poses a tough choice for buyers: Jump in now and compete with hordes of others or wait until inventory improves.  If you buy now, you might have to pay above asking. But if you wait, you could end up paying an even higher price and a higher interest rate if you need a loan. That’s because inventory won’t improve until prices rise enough to get more homeowners to sell and more builders to break ground.

The inventory shortage is especially acute in California. Of the 30 largest housing markets, the four with the biggest drops in homes listed for sale on Zillow in February compared with February of last year were Sacramento (48 percent), Los Angeles, San Francisco (41 percent) and San Diego.  Although listings are increasing on a month-to-month basis as the busy spring season gets under way, Trulia Chief Economist Jed Kolko predicts they won’t start rising on a year-over-year basis for a year or more.

An example of that: “In all of Millbrae, there was one listing two months ago. There are about a dozen now,” says Roger Dewes, a Coldwell Banker agent on the Peninsula. In a normal market, there might be 20. “We are not there yet, but going from one to 12 is quite a leap,” he says.

Experts cite five factors contributing to the inventory shortage:

Fewer foreclosures are hitting the market. “California did a good job of disposing of its backlog” of distressed properties, says Zillow Chief Economist Stan Humphries.

In California, where most foreclosures are handled out of court, the process is taking about 11 months on average, according to RealtyTrac. In New York and New Jersey, where foreclosures go through a court proceeding, the process is taking 36 and 32 months, respectively.

Many people still owe more than their homes are worth. If they sold now, they would have to come up with extra cash to pay off their loan. Although prices have rebounded from their lows, 23.3 percent of homes with a mortgage in San Francisco, San Mateo and Marin counties were still underwater in the fourth quarter of 2012, according to Zillow.

Even if they are not underwater, many owners won’t sell for less than they paid. If they bought near the peak, it may take a while before they are ready to budge.

The median price paid for a new or resale home or condo in the nine-county Bay Area was $415,000 in January. That’s less than halfway between its low of $290,000 in March 2009 and its high of $665,000 set in June/July 2007, according to DataQuick.

Many people, even if their homes are worth more than they paid, won’t sell because they are afraid they won’t be able to buy another house. “It becomes a game of musical chairs; they are afraid to get out because they can’t get back in,” Humphries says. This becomes “a self-reinforcing cycle” that keeps homes off the market.

The housing bust put new construction on hold.

The shortage comes at a time when demand is rising in the Bay Area, not just from regular buyers but from investors, second-home buyers and foreign buyers, especially from Asia.

‘Heck of a wreck’

The result is stories like this: A 1,500-square-foot home on Clipper Street on San Mateo’s east side, advertised as a “heck of a wreck,” attracted 97 offers in the first eight days, says listing agent Claire Haggarty of NBT Realty Services.

The home was listed in mid-January at $375,000, which Haggarty considered “a little under market.” It sold for $510,000 in an all-cash deal with no inspections, no contingencies and a 10-day close.

At some point, prices will rise enough to shake lose more inventory, but it won’t happen immediately.  Based on what’s happening around the country, Kolko says inventory tightens fastest in the first 12 months after prices hit a bottom. “Everybody wants to buy at the bottom and nobody wants to sell at the bottom,” he says.

About 12 months after hitting bottom, inventory continues to decline, albeit at a slower pace. But it won’t increase on a year-over-year basis until at least two years after hitting bottom, he predicts.  If you adjust for the mix of homes sold, Kolko says prices bottomed in February 2012 nationwide and in most parts of California and the Bay Area. (The San Jose metro area bottomed earlier, in June 2011.)

Although DataQuick shows Bay Area home prices bottoming in 2009, that’s when most homes being sold were low-priced. The middle and upper end of the market bottomed in early 2012, says DataQuick’s Andrew LePage.

If you believe Kolko’s two-year rule, inventory won’t begin increasing on a year-over-year basis until at least early 2014 in most areas.  Humphries says it might improve earlier, by the end of the year, but “this spring will still be challenging from an inventory perspective.” If you wait until next year to buy, the market may be cooler but prices are likely to be higher. There’s also a risk that interest rates will be higher, he says.

Sweet spot 

The sweet spot for buyers might be this summer. Even though inventory is falling year-over-year, “the seasonal pattern means there will be more homes on the market in the summer,” Kolko says. “Search traffic peaks in the spring, but inventory peaks in July.”  Many buyers also go on vacation in July and August, Dewes says.

The decision to buy or wait “really comes down to a fundamental decision about how long you will be in a home,” Humphries says. “If you want to be in a home long enough to make buying better than renting, make that decision as soon as you can.”

In the city of San Francisco, the breakeven point where it makes more sense to own is 3.7 years, Humphries says. “If you will be there more than 3.7 years, I’d say buy now.”

By Kathleen Pender SF GATE

I read this article at: http://www.sfgate.com/business/networth/article/Home-buyers-face-dilemma-with-shortage-4342162.php#page-2

Got Questions? – The Caton Team is here to help.

Email Sabrina & Susan at:  Info@TheCatonTeam.com

Visit our Website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

Yelp us at: http://www.yelp.com/biz/the-caton-team-realtors-sabrina-caton-and-susan-caton-redwood-city

Or Yelp me:  http://www.yelp.com/user_details_thanx?userid=gpbsls-_RLpPiE9bv3Zygw

Pintrest: https://pinterest.com/SabrinaCaton/

Instagram: http://instagram.com/thesabby

Please enjoy my personal journey through homeownership at:

 

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

Top 10 Home Remodeling Projects – Get More Bang for Your Buck!

I love helping my clients buy and sell their home.  But what really gets my blood pumping is home renovation.  I truly enjoy seeing a home before and after a client puts their touches into their space.  However, home renovation is costly and sometimes it doesn’t add up.  Please enjoy this article about which home projects get the most bang for your buck!   Let me know what you think!

Top 10 Remodeling Projects That Offer the Biggest Returns

Home owners are investing in their homes once again, according to recent industry surveys that point to a strong rebound taking hold in home remodeling. Home owners also may be seeing higher gains from some of these remodeling projects at resale, according to the most recent Cost vs. Value Report, which reviews the top remodeling projects that offer the highest returns at resale. The Cost vs. Value Report is conducted each year by Remodeling Magazine, in conjunction with REALTOR(R) Magazine.

So, which remodeling projects offer the potential for some of the biggest pay-backs at resale? The following mid-range remodeling jobs offer the highest returns, according to the 2013 Cost vs. Value Report.

1. Entry door replacement (steel)

Estimated job cost: $1,137

Return on investment at resale: 85.6%

2. Deck addition (wood)

Job cost: $9,327

ROI: 77.3%

3. Garage door replacement

Job cost: $1,496

ROI: 75.7%

4. Minor kitchen remodel

Job cost: $18,527

ROI: 75.4%

5. Window replacement (wood)

Job cost: $10,708

ROI: 73.3%

6. Attic bedroom

Job cost: $47,919

ROI: 72.9%

7. Siding replacement (vinyl)

Job cost: $11,192

ROI: 72.9%

8. Window replacement (vinyl)

Job cost: $9,770

ROI: 71.2%

9. Basement remodel

Job cost: $61,303

ROI: 70.3%

10. Major kitchen remodel

Job cost: $53,931

ROI: 68.9%

Home Trends, Remodeling Adviser, by Melissa Tracey

By Melissa Dittmann Tracey, REALTOR(R) Magazine 

I read this article at: http://styledstagedsold.blogs.realtor.org/2013/02/18/top-10-remodeling-projects-that-offer-the-biggest-returns/?om_rid=AACmlZ&om_mid=_BRImwmB8w5t6jo&om_ntype=RMODaily

Got Questions? – The Caton Team is here to help.

Email Sabrina & Susan at:  Info@TheCatonTeam.com

Visit our Website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

Yelp us at: http://www.yelp.com/biz/the-caton-team-realtors-sabrina-caton-and-susan-caton-redwood-city

Or Yelp me:  http://www.yelp.com/user_details_thanx?userid=gpbsls-_RLpPiE9bv3Zygw

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

For-Sale Home Inventories Remain Tight – From the Daily Real Estate News

I find it important to share articles related to our real estate market.  Please enjoy this one about our low inventory.

For-Sale Home Inventories Remain Tight – Daily Real Estate News

Inventory levels in 2012 reached an 11-year low and fell yet again last month, further limiting the number of homes for sale nationwide. Inventories of for-sale homes were down by 16.5 percent in January year-over-year, and fell 5.6 percent from December, according to the latest data compiled from Realtor.com.

Inventories typically fall in December and January in preparation of the spring buying season.

“But the shortage of homes for sale in a growing number of U.S. markets is maddening for would-be buyers who frequently complain that there aren’t enough good choices,” The Wall Street Journal reports. “Bidding wars are becoming more common.”

At a time when buyer demand is strong, inventories remain constrained as banks slow their pace of foreclosures and home owners delay selling until they regain more equity in their homes.

Metro areas posting some of the largest monthly declines in inventory levels are San Francisco (where inventory levels are down by 21 percent in January compared to December and down 47 percent year-over-year) as well as Seattle (where levels dropped 9 percent from December). The two have also seen some of the largest price increases in the nation. Median asking prices have risen by 16.4 percent and 23.7 percent in those places, respectively.

My 2 Cents

Inventory is tight – across the board – across each price point on our beloved SF Peninsula.  Which is great news for sellers who’ve been waiting on the fence for recovery.  If you or someone you know is thinking about selling – let us know.  We’ll show you what your home is currently worth and with all the information – you can make a better decision on your next steps.

I read this article at: http://realtormag.realtor.org/daily-news/2013/02/18/for-sale-home-inventories-remain-tight?om_rid=AACmlZ&om_mid=_BRImwmB8w5t6jo&om_ntype=RMODaily

Got Questions? – The Caton Team is here to help.

Email Sabrina & Susan at:  Info@TheCatonTeam.com

Visit our Website at:   http://thecatonteam.com/

Visit us on Facebook:   http://www.facebook.com/pages/Sabrina-Susan-The-Caton-Team-Realtors/294970377834

Yelp us at: http://www.yelp.com/biz/the-caton-team-realtors-sabrina-caton-and-susan-caton-redwood-city

Or Yelp me:  http://www.yelp.com/user_details_thanx?userid=gpbsls-_RLpPiE9bv3Zygw

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina