Tag: san jose

7 Ways to Get Your Budget Under Control

Since the holiday is upon us….

 

7 Ways to Get Your Budget Under Control

 

Are you watching every penny that comes in and out of your business? Use these tips to get a better grip on your income and expenses.

 

BY GRAHAM WOOD

 

Alex Milshteyn admits that he wasn’t running his real estate business properly. He wasn’t keeping track of the money he earned versus the money he spent, and he wasn’t pocketing as much cash as he thought he should. “I always had the feeling I was making good money, but I was always broke,” says Milshteyn, CRS, GRI, a team leader at Coldwell Banker Weir Manuel in Ann Arbor, Mich., whose team sales volume was $62 million last year. “I had no idea how much money I was making and where the money was going.”

So he started paying closer attention to the numbers, and that’s when he learned some important lessons about budgeting. At the REALTORS® Conference & Expo in Orlando, Fla., on Friday, Milshteyn offered attendees some of his secrets to better budgeting and business planning, not the least of which, he says, is to pay yourself first. “The reason why we budget is to make sure we make some money, so start from the bottom up. Ask yourself what you want to make next year, and then figure out how to lower your expenses first.”

Here are some other tips Milshteyn provided for better annual budgeting for your business:

  • Don’t set goals based on an assumption that the market is going to get better. You have to be realistic about how much you want to earn, and if you had a bad year this year, you can’t overshoot how much you want to improve next year. “If you close $3 million one year, and next year you plan on closing $15 million – is that really going to happen?” Milshteyn says. “Set your expectations based on the market.”
  • Assume a 2 percent annual increase for every line item in your budget. Adjust for rising living expenses and inflation. “Open up your credit card statements from this year, figure out what you spent money on, and use that as a gauge for what to budget for next year,” Milshteyn says. He adds that as you review, you should constantly ask yourself: “What was I thinking?” When you see an expense you wish you hadn’t made, cut it out of your budget for next year.
  • Pretend you can’t rely on credit cards in bad months. Factor in the typically slower sales months into your budget so you can figure out your expenses and the income you’ll need during that time. That way, you won’t be so apt to pull out your credit cards for non-emergencies and get yourself deeper in debt. Milshteyn also suggests leaving credit cards at home or in your hotel room if you’re traveling. “When I walked through a trade show, I was a living credit card,” he says. “Don’t take your wallet to expo floors. It’ll give you a chance to think about what you should and shouldn’t purchase before you act.”
  • Hustle with vendors. Milshteyn says his credit cards expire every 12 months, which forces vendors to call for the expiration date of his new cards at the same time every year. When they call, “I always say, ‘I’ve been thinking about canceling. Is there anything you can do for me to make me stay?’ All of a sudden, they get very creative to keep your business.”
  • Only spend money on products that produce income for you. Review all the things you use to market your business, and count how many clients each has brought you. If you’ve been spending on print advertising for 15 years, but you can’t tie a single client to a print ad in the last few years, it’s probably time to stop taking out print ads. Reviewing your marketing tactics will also give you a chance to reevaluate the effectiveness of new technologies that may promise a big return but won’t work for you. “I bought a drone a year ago,” Milshteyn says. “It’s still in the box.”
  • If you have employees, budget for more than the cost of their wages. More comes out of your pocket than what you pay per hour for an assistant. Remember to factor in unemployment insurance, social security and Medicare taxes, bonuses, and other local employment taxes.
  • Always ask for an extension at tax time. Milshteyn says he learned from his CPA that the IRS hires temporary workers to process tax filings for the traditional April 15 deadline, and they may not be trained well-enough to understand items related to your business. “You have a 75 percent greater chance of getting audited if you file on April 15,” Milshteyn says. He advises real estate professionals to always ask for an extension to file on Oct. 15 – even if you’re ready to file in April. You’re more likely to get more qualified people reviewing your tax filings after the April deadline.

 

I read this article at: http://realtormag.realtor.org/sales-and-marketing/feature/article/2016/11/7-ways-get-your-budget-under-control?om_rid=AACmlZ&om_mid=_BYIjXLB9UYVfE8&om_ntype=BTNMonthly

Remember to follow our Blog at: https://therealestatebeat.wordpress.com/

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

Email Sabrina & Susan at: Info@TheCatonTeam.com

Call us at: 650-568-5522

Want Real Estate Info on the Go? Download our FREE Real Estate App:  http://thecatonteam.com/mobileapp

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

VISIT OUR INSTAGRAM PAGE: http://instagram.com/thecatonteam

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

Connect with us professionally at LinkedIn: https://www.linkedin.com/in/sabrinawendtcaton

https://www.linkedin.com/in/susancatonrealtor

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Berkshire Hathaway HomeServices – Drysdale Properties

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE# 70000218/ Office BRE #01499008

 

Common Mistakes to Avoid When You’re Moving

Common Mistakes to Avoid When You’re Moving

By Gabrielle D.

If you want something done right, you have to do it yourself. This is sound advice for the small things, like managing your Facebook page or transcribing what you’re certain are your pet’s inner-most thoughts, but the stakes are significantly higher on moving day.

Successfully completing a move is a triumphant feeling, but only because moving is such a huge task. There’s a lot of planning, coordination, routing, packing, and hauling that goes into ensuring your possessions make it safely to their destination. Some opt to put all of that responsibility on the shoulders of professional residential movers, but many decide against it because of the added expense.

It’s understandable, but if you’re looking to change moving day to moving D.I.Y., here are some common mistakes you, your friends, and family should avoid to make your move as seamless and stress-free as possible:

  • Overpacking Boxes: This is important to remember if either you or someone helping you move treats every heavy item like an obstacle in a Strongman competition. You may be able to lift it, but can the box hold everything in it? Before you start packing, reinforce the bottom of each box with several strips of packing tape, then, once you begin adding items, cap the box’s weight around 20-30 pounds.
  • No Breaks: Most moves happen on the weekend, so there’s an immediate shared interest to finish the job as quickly as possible. The problem is savvy movers will load the largest, heaviest, and most awkwardly-shaped items first so they can be unloaded last. If you don’t pace yourself with breaks to rest and hydrate, you’ll be tackling that daunting final stretch and fatigue simultaneously.
  • Unlabeled Items: Your lifting strategy will differ based on what you’re carrying, unless you have no idea what you’re carrying. This goes beyond scribbling FRAGILE on dishware boxes; you should also be labeling boxes that are heavy or contain electronics to ensure they aren’t staged under direct sunlight or in the trapped heat of your moving vehicle’s cargo hold.
  • Bad routing: This comes into play sooner than you think; as soon as you close on your new place, in fact. Most people check the water pressure, the outlets, and assess the square footage, but it’s also important to map out how you’ll actually bring your things in. If you’re moving into an apartment, ask the property manager if you have freight elevator access; if not, assess the parking situation and, if it’s a nightmare, determine if there are side alleys you can park your moving vehicle in for an hour or two. If you’re moving into a home, avoid thin walkways and unevenly paved surfaces to avoid tripping and dolly wheel snagging.

Organizing and executing the perfect move without professional movers is certainly more difficult, but not impossible if you, your friends, and family keep these tips in mind on moving day.

 

I read this article at: https://wikirealty.com/?goal=0_7c4e190e2e-2805d23a8b-224113537#!/discussion/san-francisco-ca-us-20659/

Remember to follow our Blog at: https://therealestatebeat.wordpress.com/

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

Email Sabrina & Susan at: Info@TheCatonTeam.com

Call us at: 650-568-5522

Want Real Estate Info on the Go? Download our FREE Real Estate App:  http://thecatonteam.com/mobileapp

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

VISIT OUR INSTAGRAM PAGE: http://instagram.com/thecatonteam

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

Connect with us professionally at LinkedIn: https://www.linkedin.com/in/sabrinawendtcaton

https://www.linkedin.com/in/susancatonrealtor

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Berkshire Hathaway HomeServices – Drysdale Properties

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE# 70000218/ Office BRE #01499008

Night in Holiday Lights –San Carlos – TOMORROW Dec 2nd

Night in Holiday Lights

The most wonderful time of year starts now! Come to our lovely town of San Carlos for our Holiday festival and tree lighting. Laurel Street will be closed between Olive and San Carlos Ave.

WHEN: Friday Dec 2 – 5:30-9:00pm – 6:30 Lighting Festivities

WHERE: Corner of Laurel Street and Cherry Street in Downtown San Carlos

WHY: Kids Carnival Rides / Lights & Snow / Carolers / Arts & Crafts / Holiday Show with the Grinch & Santa / Performance by Dutch Uncle

Have a magical Holiday Season – with love from The Caton Team

*—–*—–*—–*—–*—–*—–*—–*—–*—–*—–*—–*—–*—–*—–*—–*

Remember to follow our Blog for the local real estate beat, a pulse on the San Francisco Peninsula at: https://therealestatebeat.wordpress.com

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

Email Sabrina & Susan at: Info@TheCatonTeam.com

Call us at: 650-568-5522

Want Real Estate Info on the Go? Download our FREE Real Estate App:  http://thecatonteam.com/mobileapp

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

VISIT OUR INSTAGRAM PAGE: http://instagram.com/thecatonteam

Pintrest: https://www.pinterest.com/thecatonteam/

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

Connect with us professionally at LinkedIn: https://www.linkedin.com/in/sabrinawendtcaton

https://www.linkedin.com/in/susancatonrealtor

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Effective. Efficient. Responsive.  What Can The Caton Team Do For You?

 Berkshire Hathaway HomeServices – Drysdale Properties

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE# 70000218/ Office BRE #01499008

 

Resale Issues Buyers Don’t Think About

Thought this was a great article to share – always important to think of the entire real estate investment picture.  If you have any questions or comments please let us know!

 

Resale Issues Buyers Don’t Think About

 

Remind your clients that even if these “adverse situations” wouldn’t bother them as home owners, they could be the bane of their existence as sellers.

BY MARY MCINTOSH

 

In 2002, when I first got my real estate license, I took a class at my brokerage about how to show properties. Seems silly, right? How hard is it to unlock the door? But this class was about practical ways to make sure the buyer focuses on the most important factors of a home. I still follow some of the tips from this class today. One of them was to advocate caution to a buyer considering a house with an “adverse situation.”

What’s that? It’s a condition that will affect the resale of the property. I remember the instructor saying, “When my past clients call me up and ask me to sell the house I helped them buy, I don’t want to then explain to them the fact that they back to a major road will affect their value.” That hit me. No, it’s not the agent’s job to choose the home for the buyer, but they do deserve to know that if they purchase a home with an unchangeable adverse situation, it will always sell for less than similar homes and may stay on the market longer.

Selling is stressful no matter what the market is like, but in a flat or down market, it is 100 times worse. So since we can’t predict the future, I prefer to talk to buyers up front about adverse situations — deal killers, I call them — so they know what they’re getting into. And what might those deal killers be? These are the six I run into most often in my business. If you’ve dealt with others, leave a comment at the bottom of the article.

  • Power lines: I hadn’t considered this one a deal killer until one of my first buyers backed out of a sale contract because she feared the power lines behind the home would give her cancer. Then I learned just how popular this myth is, as buyer after buyer has brought up a similar concern ever since. Just like fears about cell phone radiation, people have come to worry that the low-level radiation from high-voltage power lines will make them sick — even though governmental studies have not found such a link. But perception is everything in the pursuit of a sale. Many people also find power lines aesthetically displeasing, so you may want to warn your buyers of the trouble they could face at resale.
  • New subdivisions: Brand-new homes are a big draw for many buyers, but if your clients are looking in a subdivision that will be under construction for years to come, you may want to advise them that resale could be difficult for the foreseeable future. They’ll be competing with brand-new construction for however long developers are building in the area, and that will make their lives difficult for many reasons. Beyond the appeal of new homes, builders also have deep pockets and can offer many incentives to buyers that traditional sellers can’t. Don’t set your clients up to compete with that if they might want to relocate in five years.
  • Neighboring a business: I once had a neighbor whose home backed up to the rear of a grocery store. Guess when grocery stores get their deliveries? All night long. Those delivery people didn’t care who was sleeping at 4 a.m. or whether they were being too loud for the new mom next door with a baby she was trying to put to sleep. Now, not every business is going to be this disruptive all night long, but just let your buyers know that if their neighbors aren’t home owners just like them, they may have issues to deal with.
  • Environmental concerns: In my area in Arizona, the west-facing backyard is an immediate deal killer. During summer sunsets — a time of day when many people are home — the back of the house heats up even hotter than it usually is around this neck of the woods. Not an enjoyable experience when you’re trying to relax after a long day. It also makes barbecuing on the back patio unbearable. Your location may have different adverse situations depending on the environment in your state. In Washington, where my brother sells, he tries to avoid homes in forested areas that might be in danger of burning down.
  • Subtle noises: When buyers tour homes, they’re listening for noise from nearby airports, train tracks, or highways and major roads. They’re probably a little more oblivious to the barking dog next door or the neighbor with parrots and a full aviary in their yard — or a chicken coop. Sometimes these noises are only passing aggravations and aren’t permanent, but you should tell your clients that if they hear it now, they’ll probably hear it in the future. And that can affect the next buyer’s opinion when they’re ready to sell.
  • Peculiar ideas of privacy: Speaking of noise, highways and major roads are an obvious problem at resale, but some buyers prefer backing to a busy road rather than another home for privacy reasons. If your client is one of these people, you should tell them they’re a rare breed. For most people, the privacy benefit won’t outweigh the disturbance of the noise. Make sure your buyers understand the tradeoff they’re buying into.

With all that said, you’ll have buyers who won’t mind any of these adverse situations. My home, for example, is in the flight path of a small nearby airport. It occasionally sounds like these planes are landing on my house. Why would I buy such a home knowing how it will affect my resale? It was an awesome deal — and I mean awesome. I was lucky enough to find it right at the bottom of Arizona’s market in 2011. I knew what I was buying, and I know what I will face when I sell. For me, the value was there. So while you should keep your buyers informed of the challenges homes might pose at resale, at the end of the day, you always follow their lead.

 

I read this article at: http://realtormag.realtor.org/sales-and-marketing/feature/article/2016/11/resale-issues-buyers-dont-think-about?om_rid=AACmlZ&om_mid=_BYIjXLB9UYVfE8&om_ntype=BTNMonthly

Remember to follow our Blog at: https://therealestatebeat.wordpress.com/

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

Email Sabrina & Susan at: Info@TheCatonTeam.com

Call us at: 650-568-5522

Want Real Estate Info on the Go? Download our FREE Real Estate App:  http://thecatonteam.com/mobileapp

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

VISIT OUR INSTAGRAM PAGE: http://instagram.com/thecatonteam

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

Connect with us professionally at LinkedIn: https://www.linkedin.com/in/sabrinawendtcaton

https://www.linkedin.com/in/susancatonrealtor

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Berkshire Hathaway HomeServices – Drysdale Properties

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE# 70000218/ Office BRE #01499008

 

Fall Real Estate Market – For Sellers….

For those of you who follow my blog – you may have read my entry about buying in the Fall. It truly is a great opportunity in the market. So today, let me focus on the sellers because it is still a great time in Silicon Valley Real Estate.

Often sellers feel, in order to get the most bang for their buck, they need to wait and sell in the Spring. Yes, that can be true. Historically that is when the most buyers are out in force and their football spouses are off the sofa!  However, I don’t know about you – but life happens everyday all year round – so often, a seller cannot wait till March to get their home on the market. And I’m here to say – that is ok!

Truthfully every day homes come on and off the market. Life has its moments – job transfers, babies, weddings and funerals. There are always buyers in the mix – it’s just that most of them are on board in the Spring. It can be a frenzy and in that frenzy some homes can get overlooked. Making the Fall a great opportunity to stand out.

Today, we are in a very interesting Fall Real Estate market. We truly have the lowest interest rates in history. 3% at the moment! Now, for several years I know we’ve been saying these are the lowest rates in history – because they have continuously gone down. However, it is forecasted to change. Many people feel our market is fueled by these lowest of low rates and that once rates go up – purchase power will go down. Well that is truly the brass tacks of it – they are right. That is how the math works. Yet there is one thing that keeps our Silicon Valley Real Estate market strong – demand. We have the most demand in the country and that keeps our values up.

So what does this mean for sellers? If you wait to sell your home next year in the Spring – and interest rates go up – you could loose a chunk of your potential buying pool. And how home prices keep soaring up – is demand and multiple offers on homes. Without multiple offers the catbird seat is handed over from the seller to the buyer. Really it comes down to this – you will sell your home for the best price the current market will hold. So no matter what happens – keep that in mind. And right now – market values are still up and with demand to boot.

Usually I do not see many homes come on the market in the Fall. However in recent weeks, that opposite is true. I am actually seeing homes listed every day – along with many price reductions for homes that may have been lost in the shuffle over the Summer. (Happy to chat about how that happens if you are interested – reach out.)

So, if you are considering a move – chew on this – each client has unique Real Estate needs. I cannot, nor my Realtor constituents, foretell the future. What we can do is plan on the market today. With so many eager buyers still in the market, holding their awesome pre-approval letters and dying to lock at 3% interest rate – they are ready, willing and able to buy NOW. Which makes this a unique and wonderful time to sell!

Do you have questions or concerns – please contact The Caton Team, we’re happy to sit down with you, listen your needs and goal and devise a plan of action. Maybe we sell today, maybe tomorrow – either way The Caton Team is dedicated to your financial needs and goals. Let’s end this year on a positive note. How can The Caton Team help you?

Remember to follow our Blog for the local real estate beat, a pulse on the San Francisco Peninsula at: https://therealestatebeat.wordpress.com

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

Email Sabrina & Susan at: Info@TheCatonTeam.com

Call us at: 650-568-5522 Office: 650-365-9200

Want Real Estate Info on the Go? Download our FREE Real Estate App:  http://thecatonteam.com/mobileapp

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

VISIT OUR INSTAGRAM PAGE: http://instagram.com/thecatonteam

Pintrest: https://www.pinterest.com/thecatonteam/

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

Connect with us professionally at LinkedIn: https://www.linkedin.com/in/sabrinawendtcaton

https://www.linkedin.com/in/susancatonrealtor

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Effective. Efficient. Responsive.  What Can The Caton Team Do For You?

 

Berkshire Hathaway HomeServices – Drysdale Properties

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE# 70000218/ Office BRE #01499008

 

How President Trump Will Change the U.S. Housing Market

To say the least – this has been the hottest topic around the water cooler – so what are your thoughts?  Mine – Real Estate is always a sound, long term investment….  Share you opinions!

 

How President Trump Will Change the U.S. Housing Market

By Clare Trapasso

By now everyone on the planet knows that the majority of polls were wrong. Dead wrong! Donald Trump was elected the 45th U.S. president in a stunning upset. And his presidency is expected to have a profound impact on the nation and world.

Sure, everyone right now is obsessing over what kind of impact the new president-elect will have on immigration, taxes, international relations, and trade policies. But we have a more specific query: What will the real estate mogul turned most powerful man in the world mean for the future of residential housing? (We are realtor.com® after all.)

In the short term, probably not all that much.

However, we do know that the incoming president will limit the federal government’s role in the real estate market, as was outlined in the 66-page Republican Platform 2016. So, longer term, the implications of this for home buyers, sellers, and owners could be sweeping.

As for now, “our November elections come at one of the slowest time of the year for sales, so I doubt we will see much disruption to the normal seasonal pattern” of home buying and selling, says realtor.com’s chief economist, Jonathan Smoke. “However, one short-term risk could be if the [election] has a big impact to financial markets that lasts more than a few days.

“About half of voters got what they wanted,” he adds. “If this does impact purchases, it is more likely to be in blue states and not the red heartland.”

Could Trump make the housing market ‘great again’ for buyers?

A Trump presidency could be a boon for home buyers struggling to save up for a hefty down payment.

That’s because he has promised to cut taxes and shrink the number of tax brackets from seven to three. This could, in theory, leave buyers with more money to spend on the homes of their dreams.

And it could give the luxury market, which has been slowing down as of late, a boost, says James Harris, one of the star real estate agents on “Million Dollar Listing Los Angeles.”

“For the high-end, luxury market, it may turn into something very positive,” he says.

But real estate analysts were quick to point out that some of the reforms laid out in the Republican platform could potentially force buyers to plunk down larger down payments or pay higher interest rates. That could be problematic for those without a few extra million dollars in their bank accounts.

“The heart of Republican support—blue-collar, middle-aged workers—are the people who will [be affected] the most,” says Bob Edelstein, co-chair of the Fisher Center for Real Estate and Urban Economics at the University of California, Berkeley. “It may be harder to get mortgages, and those that will be available will be less advantageous.”

Adios, Fannie Mae and Freddie Mac?

It appears that the Republican Party, now led by Trump, wants to do away with—or substantially shrink—both Fannie Mae and Freddie Mac, although the language in the platform was a bit vague. It referred to the business models of the pair as “corrupt” and allowing “shareholders and executives [to] reap huge profits while the taxpayers cover all losses.”

Trump hasn’t yet provided a replacement plan for the current system, which relies heavily on both Fannie and Freddie.

The Republicans will also stop the FHA from providing taxpayer-guaranteed mortgages to wealthy home buyers. The FHA typically insures loans for low-income, first-time, and other buyers who don’t have enough for a 20% down payment.

Hit the road, Dodd-Frank?

The Republicans have also said they want to repeal—or at the very least, limit—the Dodd-Frank Wall Street Reform and Consumer Protection Act. The act provides more oversight of financial institutions in the wake of the housing bust that plunged the nation into a recession.

Trump’s party also wants to get rid of the Consumer Financial Protection Bureau (or subject it to congressional appropriation). The bureau, created through Dodd-Frank, is charged with protecting consumers against predatory financial services companies, including those providing mortgages.

Dodd-Frank and agencies such as the CFPB are key to ensuring financial markets are kept in check and act fairly, says Edelstein.

However, Republicans allege that its “regulatory harassment of local and regional banks, the source of most home mortgages and small business loans, advantages big banks and makes it harder for Americans to buy a home” in the platform.

Unfortunately, no one at realtor.com has a crystal ball to see into the future of residential real estate under America’s new commander in chief. But it doesn’t look like demand from aspiring home buyers will taper off any time soon.

The election is “going to absolutely create a short-term uncertainty like Brexit,” says Harris. “But in the long run, I think everything will be fine.”

Clare Trapasso is the senior news editor of realtor.com. She previously covered finance for a Financial Times publication and wrote for the New York Daily News. Clare also teaches journalism at a local college, loves food festivals and bike trips, and enjoys playing with her dog..

 

I read this article at: http://www.realtor.com/news/trends/donald-trump-mean-for-housing/?identityID=9851214&MID=2016_1111_WeeklyNL&RID=353497822&cid=eml-2016-1111-WeeklyNL-blog_1_trumpandhousing-blogs_trends

Remember to follow our Blog for the local real estate beat, a pulse on the San Francisco Peninsula at: https://therealestatebeat.wordpress.com

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

Email Sabrina & Susan at: Info@TheCatonTeam.com

Call us at: 650-568-5522 Office: 650-365-9200

Want Real Estate Info on the Go? Download our FREE Real Estate App:  http://thecatonteam.com/mobileapp

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

VISIT OUR INSTAGRAM PAGE: http://instagram.com/thecatonteam

Pintrest: https://www.pinterest.com/thecatonteam/

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

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Connect with us professionally at LinkedIn: https://www.linkedin.com/in/sabrinawendtcaton

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Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Effective. Efficient. Responsive.  What Can The Caton Team Do For You?

 

Berkshire Hathaway HomeServices – Drysdale Properties

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE# 70000218/ Office BRE #01499008

No, We’re Not in a Housing Bubble, and Yes, Home Prices Could Keep Soaring — Here’s Why

Hottest topic I’ve been talking about…  happy to chat – contact The Caton Team – info@TheCatonTeam.com

 

No, We’re Not in a Housing Bubble, and Yes, Home Prices Could Keep Soaring — Here’s Why

Housing bubble 2.0 is probably more myth than reality.

 

By Sean Williams

 

If you own a home and you’ve visited real estate information websites Zillow, Trulia, Redfin, or any of the like recently, you’ve probably noticed an interesting trend: Your home is increasing in value at a rate that’s far and away higher than the national rate of inflation.

Is housing bubble 2.0 around the corner?

According to the S&P Case-Shiller Home Price Index, which tracks residential real estate prices nationally, as well as within 20 large metropolitan regions, residential real estate prices rose 5.3% between Aug. 2015 and Aug. 2016. By comparison, the national measure of inflation, the Consumer Price Index, has moved higher by a little more than 1% over the trailing 12-month period.

If we back the data out a bit further, the outperformance of housing prices becomes even more apparent. Real housing prices — essentially home price increases with inflation backed out — have risen by 25% just since 2012, and are now sitting at their highest point since the Great Recession. This is noteworthy considering that in the 107 years between 1890 and 1997, housing prices generally tracked the national inflation rate very closely, at least based on data from Robert Shiller in the book Irrational Exuberance. Only over the past two decades have we witnessed a diversion from the mean, with the first diversion leading to a massive housing bubble that’s still fresh in the minds of many homeowners.

This latest outperformance in housing prices, as well as the fresh memory of the recent housing collapse less than one decade prior, has some pundits predicting that housing bubble 2.0 could be right around the corner. A Dec. 2015 interview with 66 industry experts conducted by Zillow found that more than 10 believed the Boston, Los Angeles, and Miami markets were at risk of entering a bubble, while even more pundits believed New York and San Francisco were already there.

Home prices can continue to soar

However, it’s possible these industry experts could be completely wrong. Based on the evidence available at the moment, I’d contend that we’re not even close to a bubble in housing prices, and that home prices could very well outpace the national rate of inflation for many years to come.

Let’s have a closer look at why home prices could keep soaring.

  1. Supply constraints

The biggest factor that could push home prices continuously higher is the trade-off between homebuilder supply and homeowner demand. According to Jesse Edgerton, an economist at J.P. Morgan, most national markets simply don’t have the homebuilder supply to meet demand, and that’s unlikely to change anytime soon.

In an interview with Yahoo! Finance, Edgerton had this to say:

One might wonder if these high prices reflect growing demand that could soon elicit a wave of construction that would prove our forecasts wrong. We find, however, that high prices are concentrated in markets where supply is constrained by geography or regulation, suggesting there may be little room for additional construction.

Data from J.P. Morgan indicates that while housing prices are rebounding rapidly from their recessionary lows, homebuilders appear content in increasing their supply at only a modest pace. Furthermore, the areas where an expansion of construction would appear to be beneficial — San Jose, Los Angeles, San Francisco, and so on — are also the areas that are the most limited in their ability to respond to an increase in demand.

It’s tough to predict how homebuilders will respond if prices continue to climb. For some builders, the allure of profits may be too great to ignore. However, if homebuilders can prudently manage their supply growth, they’ll likely encourage home prices to head higher at a rate that handily outpaces inflation.

  1. A continuation of the low-lending-rate environment

Secondly, the ongoing low-lending-rate environment should continue to spur demand for new homes.

A home is arguably the largest purchase Americans will make during their lifetimes, and historically low mortgage rates could be the catalyst that coerces prospective homeowners to pull the trigger. Even more appealing is the fact that many Americans have far better FICO credit scores than they had a decade prior, meaning they’d probably qualify for sweeter deals from lenders.

Based on data released by FICO last year, the national average FICO score of 695 was an all-time high. Comparatively, the national average FICO score in Oct. 2005 was 688. FICO’s data showed a 3% increase in the number of consumers with a FICO score above 800 compared to the prior decade (FICO scores max out at 850), with a 2.1% decline in consumers with a FICO score under 550. Long story short, Americans appear to be in better shape than ever when it comes to getting a mortgage.

Though the Federal Reserve is the “X factor” here, and it can be completely unpredictable, the case for raising the federal funds target rate isn’t that strong. Inflation remains below the Fed’s target level, job creation has been up and down in 2016, and external factors, such as Brexit and China’s slowing GDP growth, could weigh on the growth outlook in the United States. After aiming for four interest-rate hikes in 2016, it’s quite possible the Fed ends the year without making a single move, which favors the continuation of a low-lending-rate environment.

  1. The “rent” vs. “buy” trade-off

Over the longer term, the trade-off between renting and buying a home would also seem to favor rising housing prices.

If interest rates do normalize over the long term and head back to around 3%, it would presumably work in favor of the rental market. Higher interest rates mean higher mortgage rates, which in turn should push on-the-fence homebuyers back into renting. When this happens, landlords become privy to significant rental pricing power and are able to increase rental rates well above the national rate of inflation. Just the expectation of rising interest rates at some point soon has been pushing rental prices around the country higher, at a pace that’s well above the national inflation rate.

However, there comes a tipping point in the renting vs. buying trade-off where rental prices increase enough that buying a home actually becomes the cheaper option on a monthly basis. It happened to me in 2007, and it could very well happen to millions of Americans as rental inflation increases.

While rising home prices might be a bit concerning, given the recency of the last housing bubble, the data would appear to suggest that home prices could continue to advance for many years to come.

 

I read this article at: http://www.fool.com/mortgages/2016/11/07/no-were-not-in-a-housing-bubble-and-yes-home-price.aspx

Remember to follow our Blog at: https://therealestatebeat.wordpress.com/

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

Email Sabrina & Susan at: Info@TheCatonTeam.com

Call us at: 650-568-5522

Want Real Estate Info on the Go? Download our FREE Real Estate App:  http://thecatonteam.com/mobileapp

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

VISIT OUR INSTAGRAM PAGE: http://instagram.com/thecatonteam

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

Connect with us professionally at LinkedIn: https://www.linkedin.com/in/sabrinawendtcaton

https://www.linkedin.com/in/susancatonrealtor

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Berkshire Hathaway HomeServices – Drysdale Properties

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE# 70000218/ Office BRE #01499008

 

Why Fall Real Estate is the Best Kept Secret! – By Sabrina Caton of The Caton Team

I love autumn. The air is crisp – we’ve got this rain thing happening from time to time. It is magical here in the Silicon Valley. But what I truly appreciate about the end of the year is the opportunity in Real Estate. Time and time again I see the market cool after summer ends and school starts.  After all, we are habitual creatures.

As some of the leaves turn colors, some of the buyers change their focus. Who can blame them – after a competitive Spring and Summer – those looking to buy can feel a little beat up and bent out of shape. However, if you can muster the courage to read another set of 500 disclosures in 36 hours – then you might just be open to an opportunity.

The Fall season is a unique situation. Excess inventory from the Spring and Summer is still available and clearly with a need to sell. Perhaps it was overlooked, over priced, under priced – who knows. If it is for sale – it needs to sell. Currently, we’ve got the most inventory we’ve had in the past two years. But don’t be fooled – a normal SF Bay Area Peninsula Real Estate market has 3 months of inventory – compared to the whopping 1.5 months of inventory today. What does that mean? We still have demand and the well priced homes are moving relatively quickly. That is what has fueled our local Real Estate market for the past couple of years. High Demand and Low Inventory. Add amazingly, historically low interest rates and boom – local Real Estate health.

To make a long story short (and if you’ve like the long story – please contact me) the Fall is a great time to buy Real Estate. Even with the fear of a “bubble” – it is still an opportunity. Real Estate is a long-term investment. And like all investments, it will fluctuate with the market demand. It would be realistic to say appreciation will slow down. It cannot keep this breakneck speed forever. A normal market does not appreciate double digits month over month into perpetuity! So price correction is part of the conversation.

Truly, each persons journey with Real Estate is unique. And it is part of your investment and life plan. The Caton Team is happy to sit down with you and explore your opportunities. Contact us anytime. Info@TheCatonTeam.com / 650.799.4333

By Sabrina Caton, November 2016

 

Remember to follow our Blog for the local real estate beat, a pulse on the San Francisco Peninsula at: https://therealestatebeat.wordpress.com

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

Email Sabrina & Susan at: Info@TheCatonTeam.com

Call us at: 650-568-5522 Office: 650-365-9200

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Connect with us professionally at LinkedIn: https://www.linkedin.com/in/sabrinawendtcaton

https://www.linkedin.com/in/susancatonrealtor

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Effective. Efficient. Responsive.  What Can The Caton Team Do For You?

 

Berkshire Hathaway HomeServices – Drysdale Properties

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE# 70000218/ Office BRE #01499008

 

How to Clean Up After Halloween Pranks

As a homeowner – the day after Halloween can be a mess!  So I thought I would share this article on how to clean it all up.  I truly HOPE none of you will need to use this.

Egging, Toilet Papering: How to Clean Up After Halloween Pranks

By: Lisa Kaplan Gordon

Halloween cleanup can be the scariest thing about the holiday. Here’s a tip sheet on how to remove eggs, toilet paper, wax, and other messes that go bump in the night.

Halloween can be a messy holiday. With pranksters about, you may end up with egg yolks dripping down your siding and toilet paper hanging from your trees. Inside, you might drip candle wax on your carpet, and your little ones could leave makeup stains on your furniture. Hey — it’s the price of having fun.

But when the fun is over, the cleanup begins. Here are some tips from the American Cleaning Institute and others on removing the Halloween mayhem that little tricksters leave behind.

Egg Splatters on Your House

Time is your enemy when your house has been egged, because sunbaked yolks can stain your siding. Also, micro-shards of shell can become embedded in paint or act as an abrasive when you clean off the gunk.

Instead of scrubbing, spray away the egg with your garden hose. But don’t aim the hose full blast at the yolk, which will splatter the mess. Instead, Popular Mechanics magazine suggests first wetting the siding below the egg, then gently spraying the siding above the egg; the water will fall in sheets and flush away the mess.

If you need more cleaning oomph, dip a brush into a bucket of warm water (never hot, which will bake on yolks) and dish soap, and then scrub away the mess.

Toilet Paper in Your Trees

Wet toilet paper is a beast to remove from trees. So wait until the sun evaporates dew; or, if rain is predicted, start removal right away.

Use a rake to grab and pull the TP down, a leaf blower to blast it, or a telescoping reacher/grabber to pluck it.

Start at the top and work your way down. Immediately throw paper away: Leaving it on your lawn can smother grass.

Candle Wax on the Carpets

Never try to remove hot wax from carpeting. Not only can you burn yourself, but you’ll likely spread the wax, making a bigger mess.

When the wax has cooled, break it with a dull knife or Popsicle stick. Throw away the pieces.

Cover remaining bits with a paper towel or rag, and press a warm iron to the area. Replace the towel frequently to avoid spreading the wax.

Halloween Makeup on Upholstery and Carpet

Many commercial carpet and upholstery cleaners remove makeup from unwanted places. The only tricky part is applying these cleaners.

Always test the cleaner on an inconspicuous spot. Apply a dab of cleaner on a white cloth, then hold it to the test area for about a minute. If no color is transferred to the white cloth, the cleaner is safe.

Never rub cleaner on a stain. Rather, blot the stain starting from its outer edge and work to the center.

What pranks and Halloween messes have you had to clean up? Got some good cleaning tips?

 

I read this article at: https://members.houselogic.com/articles/egging-toilet-papering-how-clean-after-halloween-pranks/preview/?cid=eo_em_mkt_rcrnewsletter

Remember to follow our Blog at: https://therealestatebeat.wordpress.com/

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

Email Sabrina & Susan at: Info@TheCatonTeam.com

Call us at: 650-568-5522

Want Real Estate Info on the Go? Download our FREE Real Estate App:  http://thecatonteam.com/mobileapp

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

VISIT OUR INSTAGRAM PAGE: http://instagram.com/thecatonteam

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

Connect with us professionally at LinkedIn: https://www.linkedin.com/in/sabrinawendtcaton

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

 

Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Berkshire Hathaway HomeServices – Drysdale Properties

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE# 70000218/ Office BRE #01499008

 

Make Your Home More Appealing to Young Buyers

If you are thinking of selling your home in 2017 – now is a good time to think about what your future buyer wants. Great article from Consumer Reports! What are your thoughts?

Make Your Home More Appealing to Young Buyers

By preparing now, you may sell your home faster and at your asking price

By Daniel Bortz

Millennials are powering the housing market. For the third year in a row, Generation Y (age 18 to 35) comprised the largest group of homebuyers, making up 35 percent of all buyers, according to a March report by the National Association of Realtors.

Partly for this reason, homebuilders are increasingly including the attributes that the millennial generation covets when designing new homes, according to a joint survey by the National Association of Home Builders and Better Homes and Gardens.

But what if you’re trying to sell your home—one that may have been around for decades? You may find that figuring out what millennials want can be pretty difficult. “They’re picky,” says Peggy Yee, a supervising broker at Frankly Realtors in Vienna, Va. “Millennials have specific needs, and if your home doesn’t meet them, they’re going to move on to the next house.”

If you’re considering putting your home on the market, you may want to think about doing some renovation work so that your home has greater appeal to younger homebuyers. That way, you may be able to sell your home more quickly and at the price that you want.

Create a Separate Laundry Room

According to the survey from the National Association of Homebuilders, a separate laundry room topped millennials’ wish lists. In fact, 55 percent of respondents said they wouldn’t buy a new home if the laundry wasn’t separate. Since this can be a deal breaker for younger homebuyers, consider converting a small existing room into a laundry room or even building one. Consumer Reports, found that manufacturers are making washer/dryer sets with a matching fit and finish that can integrate into living space—so you could consider having the laundry machines on the second floor. We like the Maytag Bravos ­MVWB855DWHE top-loader and Maytag Bravos ­MEDB855DW electric dryer, $1,050 each.

Buy New Kitchen Appliances

You don’t have to do a major kitchen remodel to sell your home for more—but if your refrigerator, oven, stove, and dishwasher are old, replace them. What should you buy? Consumer Reports rates the best appliances for your kitchen, but one novel idea is to look for new versions of black stainless steel that come from KitchenAid, LG, and Samsung.

Make Your Home Energy Efficient

If your home is energy efficient, you’ll likely sell your home for more. Millennials say they’re willing to pay up to 3 percent more if they think a home’s energy efficiency upgrades will help cut utility costs, according to the NAHB’s survey. But you don’t have to shell out thousands for solar paneling. You can do this inexpensively by adding or improving attic insulation, insulating ductwork, and plugging air leaks around doors and windows with weatherstripping and caulk.

Make Your Home Smart

More than two-thirds of millennials think “smart home” technology is a good investment, the NAHB survey found. But keep in mind that high-tech features can quickly become poor investments because technologies evolve quickly.

While the Nest Thermostat ($250), a heating and cooling control system is popular, Consumer Reports found that the Honeywell RTH9590WF, $300, proved easier to use. Both models can be controlled from a smartphone or computer. You could also consider buying an Amazon Echo ($180), a hands-free speaker system (with a Siri-like virtual assistant) that you can use to play music, make restaurant reservations, and get weather reports—all without having to get up from the couch. These two items, alone, will make your home seem “smart.”

Keyless entry is another attractive home feature for tech savvy millennials, says Yee; August Smart Lock ($200), for example, lets homeowners control door locks via a smartphone app.

Turn a Room Into a Home Office

More employers are allowing workers to telecommute—a shift that’s largely driven by millennials. According to a recent survey from Flexjobs, a job search site, about 85 percent of younger buyers say they want to work remotely full time. Create a home office that appeals to that desire and offers homeowners a nice tax break. It’s also relatively inexpensive to convert a room into an office; a basic desk, office chair, and door should do the trick.

Build a Low-Maintenance Deck

Many millennials don’t want to spend their weekends doing home repairs or maintaining a garden. But they do want to be outside. To sell your home more quickly, Consumer Reports recommends adding a deck or patio, with room for seating and a built-in or freestanding grill. Similarly, since landscaping requires upkeep forgo planting seasonal flowers in favor of perennials, which last for more than two years; peony plants, for example, can survive for decades with minimal care.

I read this article at: http://www.consumerreports.org/money/make-your-home-more-appealing-to-young-buyers/

Remember to follow our Blog at: https://therealestatebeat.wordpress.com/

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

Email Sabrina & Susan at: Info@TheCatonTeam.com

Call us at: 650-568-5522

Want Real Estate Info on the Go? Download our FREE Real Estate App:  http://thecatonteam.com/mobileapp

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

VISIT OUR INSTAGRAM PAGE: http://instagram.com/thecatonteam

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

Connect with us professionally at LinkedIn: https://www.linkedin.com/in/sabrinawendtcaton

Please enjoy my personal journey through homeownership at:

http://ajourneythroughhomeownership.wordpress.com

Thanks for reading – Sabrina

The Caton Team – Susan & Sabrina – A Family of Realtors

Berkshire Hathaway HomeServices – Drysdale Properties

Sabrina BRE# 01413526 / Susan BRE #01238225 / Team BRE# 70000218/ Office BRE #01499008