Is Yesterday’s Starter Home Making a Comeback?

Remember the starter home: that first house young couples dreamed of, saved for and finally purchased? It represented their first – but likely not their last – entry into the real estate market. Modest in terms of size, price and furnishings, the starter home was seen as a stepping stone on the way to bigger and better things. A couple could build up some equity, accumulate some “good pieces,” and become accustomed to the responsibilities of home ownership in a way that was seen as an “easing in” to the market. Then, as children came along and the family needed more room, the starter home became that stepping stone. It was  traded up for increased square footage, more bedrooms and bathrooms, maybe even a bigger yard – something more suitable to the needs of a growing family.

Is Yesterday’s Starter Home Making a Comeback?

In recent years, when cheap financing and low or no down payments ruled, the starter home became just so very yesterday. For many North Americans – especially first-time buyers – the only kind of home worth owning was big and beautiful with all the fancy upgrades and probably a three-car garage.

Many first-time buyers had expectations of starting their home ownership journey in the same sorts of houses they’d grown up in, with family rooms and bonus rooms, walk-in closets and cathedral ceilings. And given the easy money and lack of credit restrictions, they saw no reason they couldn’t have them.

How times have changed. The U.S. housing meltdown and global economic uncertainty created an environment where starter homes are beginning to make a comeback. According to recent media reports, builders have begun testing a new line of smaller, starter-type homes. The target demographic: 20-somethings who either prefer to or must rent.

Will it work? Is our society ready to abandon the dream home for a stepping stone? Only time will tell.
If you would like a detailed list of new listings in Ukiah CA, Willits CA, Cloverdale CA or anywhere else in Mendocino County, Sonoma County or Lake County, just ask. There’s no cost or obligation, just the information you want when you want it. Click Here to Sign Up!

Til next time… May all your deals be easy ones!
Follow me on Twitter @yourmendorealty

Clint Hanks                                   707-391-6000

Ukiah Market Watch and Sales Stats March 2015

What happened in the Ukiah Real Estate Market in the month of March?

Ukiah Market Watch and Sales Stats March 2015

Active: 93  Pending: 3  Sold: 15  Other: 0  Total: 111
 Bedrooms  Bathrooms  Square Feet  List Price  Selling Price  DOM/CDOM
 Minimum  1  1.00  480  $159,900  $205,000  0/0
 Average  3  2.31  1,903  $546,893  $438,267  105/124
 Median  3  2.00  1,600  $364,500  $290,000  56/64
 Maximum  5  5.00  5,500  $3,950,000  $1,350,000  828/916
 Total Dollar Value  $6,574,000

The real estate juggernaut marched on through March. 15 homes closed escrow during the month and inventory swelled to 93 homes up from 70 last month. There are some fantastic homes on the market right now and as it typically happens, the good ones go quickly. It’s more important than ever to be pre-approved for  a home loan. With the market heating up and multiple offers being presented it only makes sense that you would want to have your loan approval ready to present to the Seller. Sometimes that is the difference between getting your offer accepted and losing your dream home to another Buyer. Believe me when I say missing out on a good deal or the home of your dreams because of a simple loan approval is painful. Get your pre-approval here!

These are the Ukiah Market Watch and Sales Stats March 2015. If you would like to see market numbers for another town or area just ask! Contact Clint.

Clint Hanks    707-391-6000

Follow me on Twitter @yourmendorealty

 Til next time… May all your deals be easy ones!