Home Sales Best Since 2006

2013 was a rebound year for the real estate industry that marked the highest level of sales since the housing boom year of 2006.

A report from the National Association of Realtors showed that there were 5.1 million previously owned homes sold in the year, up 9.2% from 2012 and up nearly 20% from 2011.

December sales were up slightly from November, the first month-over-month rise in the reading since July. Mortgage rates have been rising steadily since hitting record lows in May, raising the cost of purchases for home buyers.


Realtors attributed the full-year gain to rising prices, lower unemployment, a drop in foreclosures and pent-up demand, as well as mortgage rates that are still low by historical standards, even with the steady increases most of the year.


The sharp drop in distressed home sales has contributed to the impressive gain in the number of sales. Only 14% of the homes sold in December were in foreclosure or were short sales for less than the amount owed on the existing mortgage. A year earlier, nearly a quarter of sales were distressed home sales. 

Nancy Puder is a real estate broker in Arroyo Grande, CA. with Nancy Puder &Associates. If you have any questions or concerns regarding your property, you may contact Nancy to arrange a no-cost consultation at (805)710-2415 or Nancy@NancyPuder.com.  Go to Facebook.com/NancyPuderRealtor and "like" her page to access other real estate related articles.

 

Do TV Real Estate Shows Affect the Market?

 

Real Estate "Reality TV" shows have become so popular over the past several years.  Typically, these shows will portray a potential homebuyer or a real estate agent walking through someone's home and making rude (sometimes nice) comments about different features of the property.  The seller then shows slight dismay and gets to work to fix up their home so that it will sell.

While I do agree these shows can be insightful and assist homeowners on how to make their home attractive to a potential buyer, I feel that it is also important to remember these are TV shows and programmed for our entertainment.  They should not necessarily be considered a blueprint for selling or buying a home,.  Remember, if these shows are not entertaining, ratings will go down. Sensible options can be boring and not really good for entertainment, but they may be the right option for you.

I meet people all the time that take these shows a little more seriously than they should. Not everyone is going to get a remodeled kitchen and it is perfectly fine to purchase a home and live in one that has not been remodeled.  Really!

Of course, if your kitchen has not been upgraded and does not have the amenities that your neighbor's house had when it sold, you are not going to get the same price. That should go without saying.

My advice to buyers who are working on a "beer budget with champagne taste" is to loosen up a little and find a home within their budget.  There is plenty of time to plan and remodel.  I have been in lots of homes with older kitchens that are cozy and charming.  Sometimes it takes a little imagination to make them that way, but it can be done. Old-timers may remember when imagination, creativity and working with what you have was considered intelligent.

The most important thing that a seller should do is to make their home as uncluttered and as clean as possible.  Consider having it professionally cleaned inside and out.  After that cost is factored into the budget, then move on to upgrades if there are funds left to do so.  A clean and uncluttered home will sell as fast as a remodeled home in most cases.

 If you have any questions or concerns about your property, call Nancy anytime at (805)710-2415 or email Nancy@NancyPuder.com.  She always enjoys hearing from you!  Nancy Puder is a real estate broker with Nancy Puder & Associates in Arroyo Grande, CA.  Follow Nancy on Facebook.  Go to her page at Nancy Puder Realtor and click like.

 

 

 

Adjustable Rate Mortgages Making a Comeback

 

 

Adjustable rate mortgages (ARMs) are making a comeback as lenders and consumers begin to relax a bit after the housing bubble.  It's important to note that ARM's, in general, should not be considered a bad product and should not be confused with the high risk loans that some lenders flooded the market with. 

During the housing bubble, some lenders encouraged low-income borrowers to take on high-risk loans. Sometimes these loans were set up so that the borrower was actually paying less than what the interest payment should have been. This caused the loans to have a negative cash flow and the amount owed on the loan grew.  In addition, some of these loans were structured with risky adjustable rate schedules which made it impossible for many to keep their homes within a relatively short period of time.

The truth is that a conservative ARM can be attractive, beneficial and manageable in certain instances.  A good lender will access your situation and if applicable, may suggest an ARM to help you accomplish your goals.  If that happens, don't bolt for the door.  Just listen to what he or she has to say and then make an informed decision on the type of loan that will work best for you.

One scenario where an ARM can work well, for instance,  is when a parent takes a year or two leave of absence from work to stay at home and care for a child.  While the family is receiving one income only, it would make sense that they would want a smaller house payment. 

Another reason to consider an ARM would be the length of time that you plan to keep the property.  If you are planning to sell within a few years, an ARM may be the best choice for your situation.

To be on the safe side, be sure to use a lender who has an established reputation in your area. If you need a recommendation, I have several lenders that I've had good success with and will be happy to share their names and contact information.

Nancy Puder is a real estate broker with Nancy Puder & Associates in Arroyo Grande, CA.  If you have any questions or concerns regarding your property, contact Nancy at (805)710-2415 or Nancy@NancyPuder.com  She always enjoys hearing from you!  Follow Nancy on Facebook at www.Facebook.com/NancyPuderRealtor and "like" the page to receive more insightful and current information on the real estate market.

 

Top 10 Kitchen Trends

 

 

If you are gearing up for a kitchen remodel this year, here are the 10 top remodeling trends.

 

1. Chef Stove - a stove with a flat griddle or area to place a searing pan or an extra burner ranks top choice. Even people who don't cook are attracted to a cool looking stove.

 

2.  Eco-Friendly features - Energy star and green certified appliances were among the most popular as people are becoming more environmentally conscious.

 

3.  Granite or Quartz Countertops - Granite still ranks most popular, but quartz is beginning to emerge as a top choice because it is stain resistant and doesn't burn as easily if a hot pan is set on it.

 

4.  Tile Backsplash - Tile is the number one choice for the backsplash in the kitchen  rather than other choices that are available. Many people consider the backsplash the "jewelry" of the room.  This is where you can add a pop of color if you choose or get a little creative.

 

5.  Flooring  - Hardwood is still the number one choice of flooring with tile coming in at a close second. 

 

6.  Stainless Steel - Stainless steel appliances continue to be the number one choice among buyers and homeowners when thinking about their dream kitchen.  

 

7.  Islands -  Islands are desirable but if you don't have adequate room for one, don't do it.  Having to squeeze around an island because the kitchen is not large enough to accommodate one will make you regret spending a big part of your budget on this item.

 

8.  Transitional Style - Transitional design has elements of the past, but presents them in an updated, fresh way.

 

9.  White Cabinetry- White or off-white cabinets continue to grow in popularity.  White kitchens look clean and un-fussy and continue to gain in popularity

 

10. Shades of Grey - Although it is hard to go wrong with a white kitchen, grey tones have been very popular over the past couple of years.

 

Remodeling a kitchen can be exciting. The best advice I can give you is to keep these trends in mind when remodeling but be sure not to get carried away.  What might seem exciting and cool to you now, may not seem that way to a buyer purchasing your home in a few months or a few years.  You do not want to ask yourself down the road "What were we thinking?"

 

If you are thinking if selling or remodeling your home and would like a free consultation and perhaps a little direction before spending your hard earned money, call me at (805)710-2415.  I always enjoy hearing from you!

 

Nancy Puder is a real estate broker in Arroyo Grande, CA. Nancy Puder & Associates. If you have any questions or concerns regarding your own property, contact Nancy at (805)710-2415 or Nancy@NancyPuder.com.  Go to Facebook.com/NancyPuderRealtor and "like" her page to access other real estate related articles.