Say Goodbye to the Mini Mansions

Looks like home builders will start building smaller new homes in 2011, according to the National Association of Homebuilders. And it's about time. I always get a chuckle when I hear a first-time homebuying couple (no kids) say they need 3,000 plus square feet. Why so much space? Unless you are the Octomom with 14 kids, that is just a lot of space to clean and collect stuff.

Many of my friends and I (I'm 43) grew up in homes around 1,500 square feet and three plus/minus kids. I never felt while growing up that I needed more space. As much as my sisters annoyed me, it was nice having lots of people close together in the house. I always had my own room, so I could get away when needed.

Here's to going back to more manageable home sizes!

New Homes are Flying Off the Shelf

Yesterday I went new home shopping with clients. The atmosphere at the new homes has changed 100% since this time last year. A year ago, agents in the offices were just happy to see a human. Now, thanks to the new home buyer credit of $10K and the potential $8K for first time buyers, all standing inventory in Elk Grove is sold and the agents are getting their high self-esteem attitudes back -- good for them, it's about time.

Some new home builder prices are still ridiculously high and they shall remain unnamed; however, many others are offering incredible deals with prices competitive to resale homes in the same neighborhood -- mainly foreclosed homes of those who bought in 2005 when lots were first sold.

Shoppers interested in the new home tax credit better hurry. It's expected to run out by mid-July. Nearly 75% of the money allocated for the credit has already been applied for in just 13 weeks of it being available. However, with very little standing inventory left and it taking approximately 5-6 months to build a home, buyers may have already missed the boat on the $10K tax credit.