Every so often, our clients ask themselves, “What will I gain by remodeling my home?”
or “Does it make sense to remodel our home?”
or “Which home improvements pay off?”
or “Is it better to remodel or to move?”
We set out to answer these questions and came across the latest report on this topic published by the National Association of Realtors®. It will answer the first three questions. And for the last question there, it is very dependent on where you live.
Every year, The National Association Of Realtors® Research Department conducts a study that involves remodeling projects. They look at the effect of the project(s) on financial gain and compare it to the joy that homeowners derive from the undertaking.
This infographic reveals that the happiness home owners receive from home improvement projects and how much money they get back at resale isn’t the same for every project.
Read the entire article- with reader comments- here at the source:
And here is an article on HGTV. It explains the value of regular maintenance of homes when weighed against bigger remodeling projects. It was published in the earlier part of 2015. But it is pretty relevant even now, almost a year later.
Are you in the market for a remodel project in your home this year? Find reliable contractors, handymen, plumbers and any other real estate- based service providers you will need, at Angie’s list.
And if you’re in the market to BUY or SELL your home this year, check out Menlo Atherton Realty’s unique Rebate Program here. Call Todd Beardsley at 650-630-3313.
To understand the housing trend, let us first look at the overall economy:
After solid GDP growth of 3.9% in the second quarter, nearly all economic indicators in recent months have pointed to a sizable slowdown. Industrial production has been falling for several months, retail sales are barely rising, and exports fell while imports rose in the most recent month from a combination of a strong U.S. dollar and some big countries either already falling into a recession or very close to it. The GDP in the third quarter, therefore, may barely muster positive growth of only 1%, enough to start the flashing yellow warning lights for the risk of a recession.
As such, how is the real estate market playing out and what is the housing trend / outlook? In short there is plenty of pent-up housing demand to keep the positive momentum rolling. Home sales, new construction, and home prices have all been rising and will continue to rise. In fact, it will be housing market gains that will enable the broad U.S. economy to avoid a recession.
Here are the numbers on this year’s growth over last year’s on a year-to-date basis:
All figures are solidly positive. The smallest gain is in rents, but even they are rising at a near 8-year high. What explains such gains, and are there more left to keep the momentum up?
The simplest explanation, but a powerful one, is that the U.S. population is rising. If we go back to the turn of the century, there were 282 million people living in America. Today there are 322 million, according to the Census population clock, with one live birth occurring every 8 seconds and one death every 12 seconds, and one international immigrant arriving every 33 seconds. The net impact is that about 2 to 3 million additional residents live in America every year, and shelter is one of the most basic of human needs.
As we know, the housing market went through a frenzy bubble and hard crash before the current recovery. This big boom-bust cycle spanned roughly from 2004 to 2010. Back 15 years ago in 2000, the housing market did not garner too much media attention because it was boring. Boring also meant it was probably fairly normal without any hint of excesses. Well, back in 2000 the combined existing and new home sales totaled 6.05 million home sales.
Today, even with the solid gains in home sales, the total is expected to reach only 5.8 to 5.9 million home sales. That’s fewer home sales now compared to the boring year of 2000, when there were 40 million fewer people living in the country.
As long as Americans believe in the American Dream of steadily moving up the economic ladder – from renting to a starter-home to a better home to eventually a retirement comfort home – there are plenty of legs in America that will be moving around in the upcoming years to further boost the housing market.
Re-posted from Forbes.com – read the original article HERE.
Dear friends and clients,
However, since we’ve entered October, the market has practically frozen! Take a look at the chart (for Menlo Park) below showing how many months of inventory we have based on the current sales pace. As you can see, we now have an unusual imbalance between buyers and sellers – inventories are not any higher, the buyer’s just aren’t buying!
So what’s going on here? Why aren’t homes selling well like they typically do in the fall? Here are a few answers and theories based on some research and discussions with other area agents:
there isn’t really one clear answer to why homebuyers have disappeared this month. Seasonal trends, public policy, and economic uncertainty all seem to be playing a part, converging in such a way that we are now seeing the slowest October in many years. However, October is just one month- and it’s only half over! Time and time again we see that these patterns are cyclical, and that periods of stagnation are often followed by periods of strong activity. So, to the sellers out there – take heart! Better times are coming. And to the buyers – you have a great opportunity to buy a home without having to fight a multiple offer battle. Now is a great time to act! Get out there and find that perfect house that’s been eluding you for so long! Don’t wait too long, there is always a strong breeze which blows sometime between labor day and thanksgiving and I fully expect it to blow again very soon.
Menlo Atherton Realty is a paperless, all electronic signature brokerage. We use the real estate industry standard DocuSign platform to go paperless. This tool allows you to sign contracts and documentation from any device. You can use your phone, tablet or computer from anywhere in the world.
It’s often difficult to get both signers in the same place at the same time. With DocuSign buyers can send documents and sign contracts just as if they were sitting in the same room. This flexibility saves a lot of time and effort which is part of what enables us to offer commission rebates.
This way, buyers or sellers can share a virtual workspace with their realtors. They can share documents and signatures. They can keep all the interested parties connect through a reliable notification system. Bonus: all the data is protected. DocuSign uses two factor authentication, encryption, backups and cloud storage.
Docusign has partnership with many real estate associations across the country. The National Association of Realtors and the California Association of Realtors are among them. You can find out more information about the DocuSign on its website.
Do you want to buy or sell you home? You should add DocuSign to your must-have wishlist when looking for a realtor. Menlo Atherton Realty can give you expert guidance and advice through the entire process. You even get a commission rebate back. Contact us today.
Multiple Offer Situations are pretty common in the Silicon Valley and the Peninsula Bay Area- they are a really competitive marketplace! Most of properties are receiving many offers and often offers way above the list price. Navigating these multiple offer situations to a successful conclusion is often a daunting task.
“We are in a Multiple Offer Situation…” These are the last words we want to hear after making a offer. All the effort to find a good home. You analyzed all the disclosures and inspection reports. Did all the research about pricing and wrote a great offer, only to be let down.
It is difficult to win a multiple offer situation without applying the brute force of money. Your offer can be wonderful but if there is another buyer offering more money, you don’t stand a chance. No one wants to throw money at a multiple offer situation but without it you cannot win the battle. But what can you do to cut the amount of money you throw at it?
If you have the best combination of price, terms and a savvy agent, you’ll win!