Upsizing on the Upswing: The Big Decision More Homeowners Are Making By Joe Szabo, Scottsdale Real Estate Team
“People want these larger houses”
The couple’s story may not seem like much of an anomaly these days. They’re part of an uptick in upsizing: More homeowners are opting for a bigger home and larger price tag, skipping the traditional starter home altogether. Millennials are especially part of this movement, according to Zillow research. What’s more? A new analysis of census data shows that the median square footage of new homes is up 20 percent since 2000, from about 2,000 square feet to about 2,500 square feet. The data corresponds with what sociologists are seeing firsthand, says Brian Miller, an associate professor of sociology at Wheaton College, just outside Chicago. Miller, who studies cities, suburban migration and culture, argues that several factors could be impacting the shift in housing trends, including the strength of the national economy. “I see a lot about tiny houses and micro apartments in Seattle, San Francisco, and New York — these cities who are really grappling with housing issues and trying to fast-track 200- or 400-square-foot apartments,” Miller says. “And yet the overall pattern across America is that people want these larger houses. “The economy has gotten better over the last few years,” he continues, with a nod to cities like Dallas, one of the hottest housing markets in the country. “It seems it’s enabled people to [buy large houses] again.” Popular culture may be influencing this decision as well, Miller adds, pointing to how homes are depicted on television, in both the reality and scripted genres. “The typical home on TV is huge. Think about the ‘Friends’ apartments, which were impossibly large,” he says. “I’m thinking of HGTV shows I’ve seen over the past few years, where the dining room seats 10 or 12. I don’t have those parties, but if you’re watching HGTV, it just seems like everything is huge.”Growing home size, guided by research
The abundance of larger homes in popular entertainment isn’t by accident. Home design shows are rooting their programming in extensive research, says Julie Link, director of research and consumer insights for Scripps Networks, which owns HGTV, the Food Network, and others. The company recently conducted an in-depth, comprehensive study they called Dynamics Shaping the Future of Home. The study’s goal was to better understand what is going on in the lives and in the homes of Scripps Networks’ audience in order to cater programming to them. The network asked consumers to complete video journals, diary entries, collages, and even Pinterest boards. “We don’t want to be showing million-dollar homes when we’re in a recession,” Link adds. “We want to be reflective of what’s going on in the homes of our viewers.” The results? Both surprising — and not. Younger consumers (adults between 25 and 39 years old) are beginning to prioritize space, the study found. Fifty-six percent of millennials said that having a large home is important to them, compared with 42 percent of Gen Xers and just 35 percent of baby boomers. As millennials move into larger homes, they often delay buying new furniture and decorative pieces until they find just the right item. Once young homeowners find the perfect space, many are biding their time until they find items that are multi-functional and carry meaning, Link continued. They might wait to fill an empty wall until, say, they can frame Instagram photos from a favorite trip, or afford to purchase a high-tech yoga mat that can also double as an elegant carpet. “Millennials want a story behind [what they buy]. They’re doing this to create a sanctuary,” Link explains. “The world is a chaotic place right now, no matter what your views on politics are. [Millennials] really look inward, and they want to control something. The easiest thing for them to control is their home.”Open floor plans reflect modern lifestyles
Add that focus on intentional buying to the shift in how homes are designed, with a nod to larger, open spaces. Gone are the days of rigid, closed-off eating spaces or television rooms. In their place are open floor plans and shared spaces, says Mary Dignan Hill, a real estate agent with John Aaroe Group in Southern California. “Definitely I would say a home design trend is happening. People don’t have formal dining rooms, or aren’t interested in formal dining rooms anymore,” says Dignan Hill. “A more casual lifestyle is becoming more common, and I can see that reflected in home design.” Dignan Hill, who has worked in real estate for a decade, recently noticed more clients seeking out open floor concepts or renovating older homes to take down walls to create larger, open spaces. “People want to be able to be in their kitchen and cook, but also be with their family,” she notes. “Where you used to have a separate kitchen, a separate dining room and a separate television room, it’s all becoming one big space.”Room to stretch
Two years after upsizing from 700 square feet into her 4-bedroom, 3-bathroom home, space is still a novel idea to Kruse — and one she doesn’t take for granted. “Now that I have the extra space, I understand it. I understand why people want to do it,” she says. “I really don’t miss living in the condo, and I thought I would.” She mentions the give-and-take of their old, cramped quarters: How, when she lived in the small condo, if she bought a shirt, she’d have to get rid of an old one. A new pair of shoes meant donating a worn-out pair to charity. It was a dance of space. Most importantly, her new 2,700-square-foot home — with backyard raspberry bushes, fire pit, and private recording space — just brings her peace, she says. “I had felt so tense living downtown,” Kruse recalls. “When we finally got to space and we could stretch and everything — a lot of that tension was alleviated.” Please note that this Scottsdale Real Estate Blog is for informational purposes and not intended to take the place of a licensed Scottsdale Real Estate Agent. The Szabo Group offers first class real estate services to clients in the Scottsdale Greater Phoenix Metropolitan Area in the buying and selling of Luxury homes in Arizona. Award winning Realtors and Re/MAX top producers and best real estate agent for Luxury Homes in Scottsdale, The Szabo group delivers experience, knowledge, dedication and proven results. Contact Joe Szabo at 480.688.2020, [email protected] or visit www.scottsdalerealestateteam.com to find out more about Scottsdale Homes for Sale and Estates for Sale in Scottsdale and to search the Scottsdale MLS for Scottsdale Home Listings.This Pool Noodle DIY Puts Summer Refreshment Within Reach By Joe Szabo, Scottsdale Real Estate Team
1. Gather some rope, a plastic bin, and a pool noodle.
2. Cut the noodle into four pieces that will cover the perimeter of the plastic bin.
3. Thread the rope through the cut pool noodles, ensuring that each noodle is snug against the sides of the bin.
4. Knot a handle in the rope, leaving about a foot between the bin and the knot.
5. Tie noodles tightly around the plastic bin to secure.
6. Fill with ice and drinks to top off your day of fun in the sun!
Please note that this Scottsdale Real Estate Blog is for informational purposes and not intended to take the place of a licensed Scottsdale Real Estate Agent. The Szabo Group offers first class real estate services to clients in the Scottsdale Greater Phoenix Metropolitan Area in the buying and selling of Luxury homes in Arizona. Award winning Realtors and Re/MAX top producers and best real estate agent for Luxury Homes in Scottsdale, The Szabo group delivers experience, knowledge, dedication and proven results. Contact Joe Szabo at 480.688.2020, [email protected] or visit www.scottsdalerealestateteam.com to find out more about Scottsdale Homes for Sale and Estates for Sale in Scottsdale and to search the Scottsdale MLS for Scottsdale Home Listings.Hidden Costs of Homeownership Typically Top $9,000 a Year By Joe Szabo, Scottsdale Real Estate Team
Unavoidable costs
Nationally, homeowners pay an average of $6,059 a year in unavoidable costs, which include homeowners insurance, property taxes and utilities. Since nearly half (47 percent) of home shoppers today are first-time buyers, many of these extra costs may come as a surprise. San Francisco homeowners pay the most of the metros analyzed ($13,019 on average), primarily due to the market’s high home values and property taxes. Indianapolis homeowners pay the least ($4,699).Maintenance expenses
Nearly all homeowners (96 percent) have made some kind of improvement to their homes, according to the 2016 Zillow Group Report on Consumer Housing Trends. While many complete these projects themselves, those who pay professionals can expect to spend an average of $3,021 for the six most common hired home projects requested by Thumbtack users: carpet cleaning, yard work, gutter cleaning, HVAC maintenance, house cleaning and pressure washing. Labor costs can vary significantly by region, with Seattle homeowners paying as much as $4,052 a year on average for those six projects, while San Antonio homeowners pay an average of $1,962.Budget planning
More than a third of buyers go over budget on a home purchase. To help buyers better understand the total cost of homeownership, Zillow Group launched RealEstate.com, a website that allows people to search by the “All-In Monthly Price” of owning that home. In addition to the mortgage, the price includes estimated property taxes, insurance, PMI, utilities, taxes, HOA fees and closing costs. Curious how much these hidden homeownership costs are in your area? Here’s a breakdown of the metros analyzed in the report: Please note that this Scottsdale Real Estate Blog is for informational purposes and not intended to take the place of a licensed Scottsdale Real Estate Agent. The Szabo Group offers first class real estate services to clients in the Scottsdale Greater Phoenix Metropolitan Area in the buying and selling of Luxury homes in Arizona. Award winning Realtors and Re/MAX top producers and best real estate agent for Luxury Homes in Scottsdale, The Szabo group delivers experience, knowledge, dedication and proven results. Contact Joe Szabo at 480.688.2020, [email protected] or visit www.scottsdalerealestateteam.com to find out more about Scottsdale Homes for Sale and Estates for Sale in Scottsdale and to search the Scottsdale MLS for Scottsdale Home Listings.‘I Wasn’t Looking to Sell My Home, But for the Right Price…’ By Joe Szabo, Scottsdale Real Estate Team
Showing the home
Out of the 20 or so hits I got over the two-year period, I showed the house to seven people. When they wanted to check it out, I set up a time for them to walk around the house for 20 minutes. During the showings, I spoke very frankly about the home’s condition. And I didn’t feel the need to give a hard sell, because I had the benefit of not being in a rush to move. I could have gone either way between, “Oh yeah, I can stay here,” or “I’ll take the offer.” I ended up with a cash offer, but it wasn’t enough. I got another cash offer that was pretty high, but then a couple whose friends lived on the street approached me with an even better offer. We sealed the deal on the condition that closing day would be after that official two-year mark so I could avoid the capital gains tax. This was a pretty easy decision to make, because I knew I could buy my sister’s condo. That was really the deciding factor: I knew I could take the cash offer and buy a condo at a good price, without competing in the market with everyone else. At some point, you have to say to yourself, “OK, this is enough money to feel comfortable and happy moving from this investment to another one.”The process
In comparison to a traditional real estate transaction, the Make Me Move experience was surprisingly straightforward. If you’re not in a big rush and you find a buyer that’s willing to work with you, drawing up a contract is relatively easy. If you’re hesitant to do it alone, don’t let the paperwork intimidate you, because it’s all boilerplate and very sensible. If you’ve gone through buying a house once, you can handle the paperwork without any issues. Listing your home pre-market is a great way to test the market and buy or sell in a low-pressure way — and potentially save money. The best thing about selling a house on your own is that everyone can just be honest about their expectations — whether it’s the buyer or the seller. For the buyer, it’s more transparent if the seller is serious. And then you can say, “OK, can I afford this? And is that what I want for that price?” versus just going into a blind bidding situation. For the seller, you’re not on any hard timeline, and you don’t have to stage a house or lose money on a mortgage for a house that’s just sitting there. You can plan the logistics a little better when it’s all on your terms. Please note that this Scottsdale Real Estate Blog is for informational purposes and not intended to take the place of a licensed Scottsdale Real Estate Agent. The Szabo Group offers first class real estate services to clients in the Scottsdale Greater Phoenix Metropolitan Area in the buying and selling of Luxury homes in Arizona. Award winning Realtors and Re/MAX top producers and best real estate agent for Luxury Homes in Scottsdale, The Szabo group delivers experience, knowledge, dedication and proven results. Contact Joe Szabo at 480.688.2020, [email protected] or visit www.scottsdalerealestateteam.com to find out more about Scottsdale Homes for Sale and Estates for Sale in Scottsdale and to search the Scottsdale MLS for Scottsdale Home Listings.Understanding the Role of the Real Estate Agent By Joe Szabo, Scottsdale Real Estate Team
9 Easy Ways to Cut Your Electric Bill by up to $750 By Joe Szabo, Scottsdale Real Estate Team
Reduce hot water usage
Don’t worry — you don’t have to take a low-flow shower! But heating up hot water does require energy, so take the simple and painless route:- Adjust the water heater’s temperature. Lower your water heater to 120 degrees F (49 degrees C). An added bonus — you’ll lower the risk of scalding accidents.
- Don’t overuse the dishwasher. Try to run your dishwasher only once a day or when it’s completely full. See if your utility company offers savings for running appliances at off-peak times.
- Wash clothes in cold water. Most modern detergents clean clothes very well with cold water. If you have items that you really need to wash in hot water, save them up and do one hot load every few weeks.
Turn it off
Little things add up! An easy way to save money on your energy bill is turning off the lights, electronics, and other energy users when you’re not using them.- Leave a room, switch lights off. Make a habit of turning off everything in the room when you leave it — the TV, lights, your computer, etc.
- Get the kids involved. Make a game out of turning off the lights instead of constantly reminding them to do it. Offer some sort of small, nonmonetary reward for remembering to turn off their bedroom lights for a week.
- Install countdown timer light switches. For intermittently used rooms, such as the bathroom or laundry room, install a countdown timer light switch that will turn off the lights after a specified period, so you don’t ever have to worry about it.
Heating and cooling bill savings
Generally speaking, the furnace and air-conditioner are the big energy hogs in your home. Here are some easy ways to reduce your dependence on them — and save money!- Use windows strategically. Install heavy drapes or blinds on windows located in sunny areas of your home. Open the blinds on cold days to take advantage of the sun’s warmth, and close them on warm days to block out the sun.
- Install ceiling fans. This one takes a bit more effort than the others, but the payoff can be quite large. Run ceiling fans counterclockwise or downward during the summer to force cool air down into the room. Run them clockwise and upward in the winter to better distribute the warm air.
- Adjust the thermostat. Yes, this sounds obvious, but one of the best ways to save on heating and cooling bills is simply lowering the thermostat in the winter and raising it in the summer! A programmable thermostat is ideal, but you can save money even with a traditional thermostat. In winter, lower your thermostat by 10 to 15 degrees for at least eight hours — when you leave for work, before you go to bed, or both — then raise it when you’re back. If you have air-conditioning, do this in reverse come summer.