Market update with your friendly realtor Eric Fideldy 11.6.2024

Dated: November 7 2024

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Eric Allen Fideldy
REALTOR®
209-898-8619
eric.fideldy@bhhsdrysdale.com
www.ericfideldy.bhhsdp.com/
DRE#: 02091066

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November 2024 Newsletter

Whether you own a home or are looking to buy or sell, here are the latest Good to Know® articles for when you’re ready to take the next step in finding your forever home.

Smaller New Homes:
A Cost-Effective Trend

Rising home prices and borrowing costs are making large homes less affordable, leading to a trend of smaller new homes. After years of increasing sizes, buyers might need to adjust to homes with less square footage and fewer rooms—but this shift could be beneficial.

For the first time, new homes are cheaper than pre-owned homes by $3.50 per square foot. Not only would you save money, but you won’t have remodeling costs for years to come, not to mention that the home will be move-in ready.

Other good news is that more homes are being built in the affordable range between $200,000 and $350,000 which is saying a lot, considering that the latest national median home price was $439,950 in July 2024. According to the U.S. Census Bureau, new single-family homes had a median 2,140 sq. ft. in Q1-2024—that’s 116 square feet smaller than the median new home size in 2023.

Smaller homes also offer economic benefits, including lower utility and insurance costs, as well as easier maintenance.

Avoid These 3 HOA Nightmares

If you’re planning to buy a home in a community managed by a homeowners association (HOA), you’ll need to join, pay fees, and adhere to the association’s rules as a member. Your purchase contract should include a contingency that gives you the right to review the HOA’s financial records and its covenants, conditions, and restrictions (CC&Rs) so you’ll know whether the HOA is in good financial health and has sensible rules and regulations.

Be on the lookout for the following:

High monthly dues: HOA fees can affect your mortgage qualification by reducing the amount you can borrow. Only consider properties with amenities you'll genuinely use to avoid unnecessary costs.

Not enough reserves: Reserves are fees set aside for future maintenance, but if the HOA doesn’t charge enough in fees, you may be hit with “special assessments” to cover unplanned costs. Look at how and when reserve monies will be used.

Too many regulations: Rules should only address personal safety, home values and the HOA’s financial health—not limit front doors to three bland paint choices.

How to Sell Your Home This
Holiday Season

If you really need to sell your home, you don’t have to wait until after the holidays. While there are fewer homebuyers, those actively searching are often committed to making a swift move due to reasons such as lease endings, job relocations, or military transfers.

You can make your home stand out in several ways:

Price it right. A lower price will excite buyers, but only accept a fair offer.  

Clean and declutter. For a few hundred dollars, a cleaning crew will make your home look spotless. Pack away anything you don’t need in moving boxes and store them in a seldom-used room.

Keep holiday decor simple. String lights and evergreen branches. Skip the big tree and place a small one on a tabletop instead. Bake cookies and serve cinnamon cider for showings.

Prioritize the exterior. Make sure leaves are picked up, snow is shoveled, and walkways are safely de-iced.

Let someone else host dinners and parties. You can still enjoy holiday festivities without doing all the cooking and planning yourself. Friends and relatives will understand.

What is a Loan Estimate?

When you apply for a mortgage loan, you’ll receive a standardized form called a loan estimate within three working days. The purpose is to give you the opportunity to compare multiple offers from lenders and to negotiate terms where applicable. Once you choose a lender, this pre-approval allows you to shop for a home with confidence, but keep in mind that the loan estimate is not a final approval, nor does it mean you’re locked into the loan.

A loan estimate is exactly that—an estimate of the interest rate, monthly mortgage payments, fees, closing costs and the cash needed to close. The reason that the estimate isn’t final is that things change. The loan can’t go through the lender’s underwriting until you’ve put a contract on a home with a closing date. Underwriting examines your credit more thoroughly and ensures that the home you’re buying, the loan and its terms meet government lending guidelines.

Once approved, your lender will prepare your final closing documents three days before close of escrow.

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Eric Fideldy

About Me:With a name synonymous with integrity and trust, I, Eric Fideldy, am proud to be part of the renowned Berkshire Hathaway HomeServices Drysdale Properties and the "DREAM HOME" Team. My unwaver....

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