Get documents about "December
Document Sample
HOME DELIVERY
Residential Real Estate Trends, Issues and News for Consumers
The National Association of REALTORS distributes Home Delivery every month to real
estate, personal finance and consumer journalists as a resource for background or story ideas.
The Year in Perspective Putting Your Best Façade Forward Is Bigger Really Better?
Despite flagging confidence in The old adage “don’t judge a book Studies show that about two-thirds
the housing market, 2007 will by its cover” doesn’t hold true in of the United States’ largest cities
end as the fifth best year on home buying, where many buyers now have “McMansions” – new,
record. And although the year purchase a house based on its curb much larger houses built on lots
had its ups and downs, today’s appeal. once meant for smaller homes.
homeowners, buyers, and real While these super mansions can
estate investors are laying the Sellers thinking of upgrading their change the character of a
foundation for building long-term homes would do well to focus on neighborhood, they can also
wealth. exterior remodels, according to the increase area home values.
2007 Cost vs. Value Report.
Over the past three decades, home Realtors provide their insight into However, many cities are adopting
values have risen an average of resale data for the Remodeling regulations designed to control the
more than 6 percent annually. In Magazine report. size of McMansions. According to
2007 in many metro areas, prices a recent study, about 14 percent of
are up. Areas with population or job In 2007, upscale siding replacement cities surveyed limit building
growth are seeing the strongest was the most profitable project on height as a way to keep new houses
home price gains. the national level, recouping an from being too large. About 8
average 88 percent of costs upon percent create design review
Mortgages are still available near resale. Wood deck additions and boards to approve plans for new
historically low rates. If the FHA wood window replacements returned homes, while about 7 percent have
Modernization Act recently passed 85 and 81 percent of costs, set limits on floor-area ratios.
by both houses of Congress respectively. The least profitable
becomes law, more home buyers projects were a back-up power Buyers themselves have begun
would benefit from safer generator, the addition of a sunroom, trending away from oversized
alternatives to risky mortgage loan and home office remodel. houses; builder Toll Brothers Inc.,
products. recently reported that the demand
The Cost vs. Value Report compares for 3,000-square foot houses is
With improved mortgage conditions construction costs with resale values much greater than that for 6,000-
and solid economic fundamentals, for 29 midrange-upscale remodeling square-foot homes.
the 2008 real estate market looks to projects in 60 markets across the
be on firm footing. country. Visit Story Springboard
www.costvsvalue.com/index.html for Large and In Charge
Story Springboard complete results. Interview local Realtor®
All Real Estate is Local associations to find out who is
Learn more about what happened Story Springboard buying and/or building
in 2007 and what is expected in It’s Payback Time McMansions. How are these
the real estate market for 2008 by Interview Realtors and homes affecting property
visiting remodeling contractors in the values? What are the
www.realtor.org/Research.nsf/files community to find out what regulations for McMansions in
/07AnnualResForum.pdf/$FILE/07 remodeling trends are happening your area?
AnnualResForum.pdf in your area. Which projects are
Talk to Realtor associations in the most lucrative? What advice Please contact Meredith Dunn,
your area to find out their are Realtors giving to sellers 202/383-7515, or via e-mail at
predictions for 2008 and how they who are looking to make the mdunn@realtors.org, for additional
compare to the national picture. best upgrade before selling? ideas, sources, data and resources.
Home Delivery
December 2007
Volume IV, Issue 12
Related docs
