Summer guide
- 1. Repeat after us: Thereis no better TIME TO BUY than right now! Go green and save greens summer homebuyers guide July 2011
- 2. great place Rancho Verde NewHomes in Elk Grove – 1,657 - 3,000+ sq. ft.
- 3. WHY RENT WHENYOU CAN OWN? VINEYARD POINT KAVALA RANCH LAUREL GROVE AT WESTPARK From the upper $100s† From the mid $200s† From the upper $200s Call 866-823-6722 for more information or visit Lennar.com today!
- 4. Heyyyyyy! Get amove on! oom! Hear that? That was the housing market for the bottom of the real estate market. B reaching the bottom. There’s no sense waiting for home prices to go any lower. You just heard it loud and clear. So what are you waiting for? The time to buy is now! Who cares about the bubble of 2006? Who cares what Mortgage rates at presstime were 4.5 percent for a 30-year fixed-rate mortgage. During the go-go days of the housing boom, Coldwell Banker Realtor Rich Cazneaux said, the average rate was 6.25 percent. Once again, the time to buy is now! caused the crash? Resale. New. Condo. “There is plenty of money available right now at Single-family. There’s plenty of inventory attractive rates to those people who are minimally and not enough people willing to take qualified,” Cazneaux said. “If you’re looking to purchase advantage of the best buyers’ market in long-term, you’ve found that perfect house, then a generation. The time to buy is now! you must take advantage of these low, low If these sentences aren’t enough to interest rates.” nudge you in the homeownership Cazneaux said an increase in the annual direction, consider the wisdom of percentage rate of one point or one- someone in a big-picture position: John and-a-half points can price some people Orr, president and chief executive officer out of the market. of the North State Building Industry “When I purchased my first home, Association. the interest rate was 16.75 percent “If there is any way you can make that variable,” said Doug Covill, president of the Sacramento Area Association of purchase, do not wait, do it now,” Orr said. Realtors. “As a Realtor, I sold homes at “Look for the features that suit you and your homebuyers guide • summer 2011 a time when the lowest rate the buyers family. If you plan on being in one area, in one could find was 19 percent. I also pur- house for awhile, there is no better time to buy.” chased properties myself with a credit The California Association of Realtors reported that card, because, at the time, there was very the number of pending home sales statewide increased little difference between a mortgage and a credit in May, the first year-over-year increase in 18 months. card when it came to rates. In the Sacramento area, sales increased 8.3 percent in “Today, interest rates are artificially low, between 4.5 May over April. At the same time, the median home and 5.5 percent,” he said. “That’s almost like free money. price in May decreased 1.2 percent from April, from If you’re on the fence about buying a home, thinking you $169,000 to $167,000. Compared with May 2010, median might wait six months to a year, you need to consider home-sale prices have decreased 12.1 percent. interest rates could be a lot higher down the road.” So plenty of great buys are out there. So, let’s repeat the mantra: Cha-ching! That’s the sound of someone buying one of The time to buy is now! the homes on your dream list, because you were waiting — Mark Billingsley 4
- 5. SMART GROWTH. SMARTBUILDER. The Islands at Riverlake, located in the prestigious, Some builders just build homes. But, at Regis Homes established Riverlake community, offers low-maintenance of Sacramento, we create attractive new housing living in traditional single story and two-story detached opportunities that integrate into existing communities, homes with five different floor plans from the $300,000s. allowing homeowners to enjoy an urban lifestyle where SALES OFFICE: 8002 Linda Isle Lane shopping, work, and entertainment are often within Sacramento, CA 95831 916-422-2202 walking distance. For us, this concept is natural. It’s about smart growth� Ironworks at the Triangle in West Sacramento, offers building for the needs of today and the preservation new, unique lofts and traditional urban homes with up to of tomorrow. We build on empty or underused sites in 4 bedrooms. Near Raley Field and the Sacramento River. existing neighborhoods instead of on rural lands. Buyers Priced from the $200,000s. attracted to Regis Homes are tired of long commutes, SALES GALLERY: 832 Boron Ct. endless yard work, and strip malls. The results are urban West Sacramento, CA 95691 916-372-4521 villages near existing commercial development and transit lines to encourage walking, the use of public transportation, Our newest community, Verona at Mace Ranch in Davis, and just driving less. features traditional detached and duet homes from 2 to 4 bedrooms, built in an innovative, eco-friendly environment. Priced from the high $200,000s. SALES CENTER: 3622 Santo Terrace OF SACRAMENTO, LLC Davis, CA 95618 530-757-7726 www.RegisHomesSacramento.com
- 6. Something old, somethingnew ... consider new ? f you’re looking for a home, you’ll first year of a home loan or no down I discover plenty of great deals in today’s market. You’ll see reduced prices and help with financing or new carpeting and appliances. You might consider short sales and “ We believe providing the estimated monthly energy costs will not only payment. One builder may pay as much as $10,000 toward closing costs on homes in certain communities, and another may provide a bonus for a buyer referral that results in WHY BUY NEW? Homebuyers choosing new construction appreciate the open floor plans, energy-saving features and choice of paint foreclosures offered on resale homes, but a sale. colors, flooring and other design elements, these can be lengthy, complicated transac- empower our homebuyers Many home builders have quick-move-in according to the National Association of homes among their inventories. These tions and may not be the best choice if but also change the way might be speculation homes or homes that Home Builders. They enjoy being the first to you’re a first-time buyer. cook in a new kitchen and having a newly Although price, location and floor plan people shop for a home. are available because of contract cancella- landscaped yard. are still the prime factors in selecting a tions, either because a buyer decided Other pluses of buying new versus resale: home, you may be enticed to look at new homes, because many builders now are offering attractive incentives, extra services, amenities and paid fees. Standard Pacific Homes is offering a ” — Jeffrey Mezger, KB Home against moving or may not have qualified for a loan, so the home is back on the market. Homes available for quick move-in are usually tied to large incentives and are New homes have updated wiring and enough outlets for today’s electronics. There’s no need to remodel, replace appliances, reroof, redecorate, repair or repaint. New homes are turnkey-ready. Summer Stimulus Package of $10,000 to KB Home is emphasizing the savings often discounted. Buyers can usually move in within 30 days. New communities offer perks such as homebuyers, who can apply the funds to that buyers can expect on their utility bills Among other builder incentives are parks, pools, bicycling and walking trails and anything they want. by providing a Home Energy Performance backyard pools, free Internet service and children’s play areas. “Buyers can upgrade amenities, add Guide, or EPG. That’s a numerical rating of One-year complete warranties and 10-year the builder paying the buyers’ homeown- homebuyers guide • summer 2011 backyard landscaping or solar or they can a home’s energy efficiency and an estimate ers association fees for a year. structural warranties provide protection for buy down financing through Standard of monthly electricity and gas costs. Community attractions may be the buyers that they don’t get from resale homes, Pacific Mortgage,” said Holly Auwinger, KB posts the EPG in all of its model impetus for some people to buy. marketing manager for the builder. said Mary Lou Hovie, director of marketing homes and gives it to buyers when they Retirement communities, for example, for K. Hovnanian Homes. There’s no The package can be applied at any of the make a purchase. attract buyers because of their clubhouses, builder’s communities in Folsom, Rocklin, obligation to disclose deficiencies. “We believe providing the estimated tennis courts, swimming pools, spas and Home builders may offer bumper-to- Lincoln and Woodland. lifestyle directors, who plan and oversee K. Hovnanian Homes is staging its “100 monthly energy costs will not only bumper warranties with personalized service. empower our homebuyers but also change special programs, arts and crafts lessons Resale properties have only an insurance Days of Summer” sale through Labor Day. and group trips. Buyers who purchase a new home during the way people shop for a home,” said policy purchased by the buyer to cover When shopping for a new home, be sure the promotion can choose a new refrigera- Jeffrey Mezger, president and chief mechanical items. to carefully check and compare offers and tor, a washer and dryer, two-tone interior executive officer of KB Home. incentives. You’ll be living with your Builders offer financing programs and may paint or faux-wood window blinds — for Other home builders offer incentives choice for years. pay closing costs — services not offered in just $100 on selected homesites. such as below-market interest rates for the — Tinka Davi short-sale and foreclosure purchases. 6
- 8. Get real: Commonsense trumps the deal wning that first home is a think, ‘What if?’ And if you get that extra in buyers’ minds that promote the keys. The fixes typically are cosmetic, as O major accomplishment, the American dream fulfilled. But scratching the goal off the bucket list can be difficult if you don’t follow some simple rules and watch out $5,000, what does that really do for you? On a 30-year loan at 5 percent interest, that’s $27 a month — the cost of a typical delivery pizza. “I believe that the hype has impacted short-term financial gain versus the long-term benefits of homeownership. This is something we continually discuss with homebuyers so they make the best decision possible when buying the place long as you took the advice in point No. 3. Rather than running up the credit cards or stressing out, have cash dedicated for this purpose. It will help you sleep well at night, knowing the problem has been for pitfalls. people’s confidence and has planted seeds they will soon call home.” solved without blowing up the budget. Buy a house you know you’ll want to 1. Friends and family are your best live in for the next three to five years. Not 5. Be aware of extra fees. Figure on resource. Those in your closest circle only will you begin to build equity, but budgeting $100 to $250 a month on top who have already gone through the you’ll have a house that feels like home. of the mortgage to cover property taxes process are valuable sources of informa- and home insurance. These will likely be tion to help you get through the process 3. Pay more for a home inspection. escrowed into your house payment, but and into the home. They can recommend This doesn’t apply as much in a just because the mortgage says $1,250 a the best lenders, the best real estate new-home purchase, although it’s still a month, figure on $1,400 to $1,500 in agents and the best home-inspection good idea, as problems can occur in new actual cash outlay on the first of every construction, but builders will rectify them. month. And don’t forget about homeown- businesses. Word of mouth is almost A resale home, however, should be ers association dues. Newer homes are always more reliable than an ad in that looked at thoroughly inside and out by a often in special assessment areas that yellow tome doubling as a doorstop. qualified home inspector. Use that may tack on another $100 to $400 a 2. Be sure it’s the home you want. network of friends and family to help month in dues. Sometimes people get so caught up in the you find one. “We advise first-time homebuyers to homebuyers guide • summer 2011 deal, trying to chisel another $2,500 off You want that pro to be brutally honest. make sure that they are getting into the price or holding out for the best Would saving $100 on an inexperienced something within their means,” said Jon inspector be worth it if the person misses Nicholson, Standard Pacific Homes’ interest rate, that they lose sight of what something that costs you thousands Sacramento and Central Valley division the house will mean to them. later? So pay top dollar. Inspectors president. “We remind them not to “Homebuyers are too focused on commanding those fees and the endorse- stretch their limits too far. They should getting the deal and are forgetting to look ments of others are worth it. have clarity around the terms of the loan for what is ultimately most important: Is and the life of the loan. It’s also important this the house you want to live in?” said 4. Keep cash in reserve. Don’t blow all to let first-timers know that new homes Pat Morgan, vice president of sales for the of the nest egg on the down payment. save energy and require less upkeep. Northern California division of Pulte You want to celebrate your purchase with Another piece of advice is to investigate Homes. “It’s all well and good to get the a nice meal, not a bowl of Top Ramen. any possible tax incentives for purchasing best deal out there, but at what cost? Are Invariably, you will face some minor a home as a first-time buyer.” you going to buy something, then always fixes within a few weeks of taking the — Mark Billingsley 8
- 9. Homeownership is Waiting forYou... You’ve Earned it! Homes available There’s never been a better time to move from renter to owner! in Orangevale, Visit today and learn more about: Roseville & · Incredibly low prices · The written Wells Fargo Closing GuaranteeSM1 Rancho Cordova · Historically low interest rates · The power of a PriorityBuyer® preapproval From the low $200’s · Low or No Down Payment programs for · Financing solutions that help to meet your qualified homebuyers needs and budget · Extra savings with energy-efficient · Mention this ad for a FREE ENERGY STAR® SolarSmart homes Washer & Dryer with purchase Prices, terms and availability subject to change without notice. · FREE solar and huge energy savings available at many communities Let’s work together. You’ll receive a personalized Purchase Plan and the guidance SOLAR ! you need to become a homeowner sooner than you may have ever imagined. HOMES visit visit TimLewis.com TimLewis.com (916) 955-7664 (877) 578-2785
- 10. Bright idea: Gogreen and save greens oing green is more than just homeowners on their utility costs. percent on their energy costs with G saving energy and reducing your impact on the environ- ment. These days it’s also about saving your hard-earned greens by incorporating energy- and water-saving At K. Hovnanian’s Settler’s Ridge and Stone Mill communities in Roseville, for example, the typical energy savings from a high-performance home versus a typical and similarly sized 10-year-old home is SolarSmart features. These include solar systems to generate electricity, high- efficiency gas forced-air heating systems with clock thermostats, and radiant- barrier roof sheathing that keeps heat out features in your home. And if you’ve more than $1,000 a year, said Mary Lou of the attic in the summer and retains recently purchased a new home or are Hovie, director of marketing. heat in the winter. looking for one, you know that Sacramen- “That’s almost a monthly mortgage Elliott Advantage features include to-area builders are helping you go green. payment worth of energy savings,” she exterior wall insulation, insulated air and Builders are making it easy with said. heating ducts and a cool-roof system that standard features such as solar panels that Green features include efficient heating elevates the roof tile and allows for air generate electricity, tankless water and air conditioning; sealed and insulated circulation. heaters that conserve energy and irriga- ductwork; sealed gaps to prevent drafts; Elliott also features insulated entry tion systems that shut off when it rains. programmable thermostats; extra doors, tankless water heaters and KB Home is the first builder in the insulation in ceilings and attics; windows dual-pane windows with low-emissivity nation to earn the U.S. Environmental with low-emissivity glass and vinyl-coat- glass to maintain comfortable home Protection Agency’s WaterSense label, a ed frames; and low-flow, water-saving temperatures. designation for water-efficient new plumbing fixtures. Energy Star products offered by Elliott homes that help homeowners save water The builder also offers compact Homes and other builders include light and energy. fluorescent lighting, which uses 75 fixtures that are hard-wired for fluores- homebuyers guide • summer 2011 the average household more than 2,300 The homes can save a family of four as gallons of water a year. percent less electricity, as well as Energy cent lighting, decorator-selected light much as 50,000 gallons of water annually, Star appliances and high-efficiency water fixtures, recessed ceiling and under-cabi- Other standard WaterSense products both inside and outside, compared with heaters, which use as much as 50 percent net lighting and solar tubes in kitchens. are faucets, toilets and landscaping water use in a typical American home. less electricity. The EPA reported that families living in That’s enough to fill five residential irrigation systems with weather-based Elliott Homes and the Sacramento controllers rather than clock timers. Energy Star-qualified homes in 2010 swimming pools. Municipal Utility District have partnered K. Hovnanian Homes also offers saved more than $270 million on their The first WaterSense homes are at to build the first SMUD SolarSmart energy-saving features at all of its utility bills and avoided greenhouse-gas KB Home’s Springwood community in communities in Folsom, including the communities. emissions equivalent to those from Roseville. New Riata at Empire Ranch. Elliott uses The builder recycles materials during 370,000 vehicles. WaterSense features include a hot- Energy Star-rated products, water-saving construction, manages storm-water Lennar homes are built with several water distribution system that saves features and energy-saving components water as well as the time spent waiting runoff from construction sites and builds that are part of the Elliott Advantage energy-efficient features, such as SunPow- for hot water to reach a tap or a tub. The homes that reduce the carbon footprint package. er Sun Tile solar-electric systems, See GREEN, Page 14 10 system’s low-flow shower heads can save and provide long-term savings for Homeowners can save as much as 60
- 11. Buy now andget our Summer Buyer’s Bonus! New Centex homes are energy efficient and save on utility costs every month. Take advantage of incredible prices and low interest rates. there’s no place like own Five great communities to choose from in , and . New homes from the mid 200’s /sacramento
- 12. Loan looking? Inquireat Bank of Mom and Dad J ust a few short years ago, getting a relatives helping with down payments on unaffordable in the near future.” too easy for the receivers to walk away loan to purchase a home was easy. FHA programs. The parents know that Some banks that aren’t run by the if something happens, such as a job loss. Got a job? You could get a house. this is an excellent window of opportuni- buyers’ parents don’t like to ty to buy, and that window may get The Internal Revenue Service allows After the housing and financial see gifts used as down crashes, banks have tightened their smaller or more payments, because it’s each parent to gift $12,000 per year lending practices, and amassing enough See BANK, Page 14 money for a down payment has become increasingly difficult for many people. But one financial institution, perhaps as old as human civilization itself, often is still open for business: the Bank of Mom and Dad. There are four main ways that a prospective homebuyer can make a withdrawal from the Bank of Mom and Dad: PROVIDE DOWN PAYMENT The fat 20 percent down payment that banks prefer is extremely difficult for homebuyers guide • summer 2011 most young people to come up with by themselves, even if they have great jobs. That’s where the parental loan special- ists at the Bank of M&D come in handy. “There are many programs out there that give buyers choices on how to handle their down payments,” said Pat Morgan, vice president of sales for Pulte Homes’ Northern California division. “Programs such as the Platinum Program (through the California Homebuyers Fund) that offers a grant of 3 percent of the down payment based on certain qualifica- 12 tions. We are seeing a lot of parents or
- 13. Soak up thesavings with our $100 bundles at these neighborhoods! DAYS New Release! Single-Level Living! OF Sheldon Grove Rio del Sol SUMMEREVENT in Elk Grove in Rancho Cordova 2,152 to 2,583 Sq Ft 1,768 to 2,100 Sq Ft From the high $200s From the low $200s (866) 978-3443 (866) 927-0660 Large Lots Just Released! K. Hovnanian Homes is celebrating the long, lazy days of summer with hot deals and cool savings on homes at your favorite new neighborhoods. Purchase your new home before Labor Day to enjoy incredibly low prices and your choice of: Settler’s Ridge and Scan this with REFRIGERATOR FOR JUST WASHER/DRYER FOR JUST WINDOWJUST FOR BLINDS Stone Mill in Roseville 1,854 to 2,789 Sq Ft your smartphone’s QR code app for $100!* $100!* $100!* From the high $200s more information. (866) 921-1328 Looking for a new home, khov.com/100days but not sure where to start? Brokers Welcome Contact our friendly K. Hovnanian Homes reserves the right, at its sole discretion, to make changes or modifications without prior notice to any and all content set forth in this advertisement and/or other ancillary information upon which this advertisement is based, including, but not limited to, prices, special offers, maps, plans, specifications, materials, features and exterior elevation/colors. Square footage is approximate. Please see a sales consultant for the latest information concerning the availability of amenities and facilities, New Home Specialists if any, and for an assessment fact sheet. Pricing and product availability are subject to change without notice. Please see a sales consultant for details. *Offer valid on select homes only. Not all options available at all communities; see sales consultant for details. Homebuyer may select one of the available options for $100. Window blinds included in offer are faux wood and do not include blinds on sliding glass doors. at (888) 408-6590
- 14. Green Continued from Page 10 Bank divorce comes, and the young couple can’t make the payments, so they take down the credit of Mom and Dad, too.” Continued from Page 12 dual-zone heating and air condi- before the IRS bean counters get involved. HELP WITH CLOSING COSTS tioning with digital thermostats, That means Mom and Dad can gift a child Parents can help by giving enough quick-recovery gas water heaters, $24,000 a year and not have to worry about money to pay points and lower the interest insulated air ducts and dual-pane tax consequences. rate on the home purchase. This will save Solar Ban windows with low-emis- If the child is married, suddenly that the child thousands of dollars over the life sivity glass. The builder also down payment can reach $48,000, without of the loan. provides energy-efficient applianc- any tax penalties. Parents also can help out by paying for es and improved insulation to CO-SIGN THE LOAN the frequently required private mortgage maximize eco-friendly homes. Based on parents’ good credit, insurance. Lenders require this insurance if Although many area home builders offer green features, the child will likely get better a down payment is less than 20 percent. fixtures and appliances that help mortgage rates and more loan Other common closing costs are origina- save money on utilities, homeown- choices and can afford a bigger tion fees, home inspections and title and better house because of a assessments. ers also can earn federal tax larger loan amount. credits if they purchase Energy Star windows, doors and skylights. But the Bank of Mom and BUY AND THEN RENT BACK Dad is putting its fiscal future This option is great as long as the Bank of The program, part of the Tax at risk if the offspring defaults. Mom and Dad can financially swing the Relief, Unemployment Insurance Mom and Dad have to ask Reauthorization and Job Creation purchase of a second home. While the child themselves if their children are Act of 2010, provides a tax credit stable — as well as how much lives in the home, he or she pays rent to homebuyers guide • summer 2011 equal to 10 percent of the product they are willing to risk. the Bank of Mom and Dad. cost, to as much as $200 for “Co-signing is another issue, Here’s where taking advantage of the IRS eligible windows and skylights especially with the divorce rates rules pays off. A parent can gift a child and $500 for eligible doors. so high,” said Michele Dilling- $12,000 of equity in the home every year Federal tax incentives also are ham, a senior loan consultant until the child fully owns the property. available for residential heating with Big Valley Mortgage who’s But this option is not without risk. It may and cooling systems, water known as the “First Lady of be a good idea to have a lawyer draw up a heaters, insulation, solar energy Finance” in the Sacramento systems and high-efficiency clear understanding between the Bank of area. refrigerators, clothes washers and “I’ve seen parents put their Mom and Dad and the child. dishwashers. For details, go online money in and co-sign, the couple Money should never break a family apart. at www.energystar.gov and gets divorced, and suddenly the in-laws But a smart investment can certainly bring www.energysavers.gov/financial. get the house and their child has nothing,” one together — in a cozy new home. 14 — Tinka Davi Dillingham said. “Or they co-sign, the — Mark Billingsley
- 15. Marysville r 4 Bedroom, 3 Bath 3-Cage From the $100,000’s Ga ra L Lincoln 3 Bedroom, 2 Bath From the $100,000’s Roseville 3 Bedroom, 2 Bath From the $200,000’s Elk Grove 4 Bedroom, 2.5 Bath From the $300,000’s , Move-in Read� Homes with lots of extras at record low prices! jmchomes.com ©2011 JMC Homes Inc. All rights reserved. Specifications, pricing and availability are subject to change without notice. JMC Homes is an equal opportunity builder. Prices and availability subject to change without notice. See agent for details. lder. d availlabili subjject change without notice. See agent f details. i bility b h ih i il
- 16. Have you Heard… You Can Own For The Price Of Rent! It’s true, you can own a beautiful home for the price of rent. Plus, with the superior amenities and thousands in savings, you’ll wonder why you ever rented! LARIAT RIDGE II AT RIVAGE AT THE EQUINOX & MERIDIAN ACACIA & CYPRESS AT WHITNEY RANCH PARKWAY AT LINCOLN CROSSING HUNTINGTON SQUARE 2103 Ranch View Drive 201 Rodin Court 1012 Landmark Circle 1364 Cox Drive Rocklin, CA 95765 Folsom, CA 95630 Lincoln, CA 95648 Woodland, CA 95776 Phone: (916) 543-4732 Phone: (916) 984-4775 Phone: (916) 253-6624 Phone: (530) 402-1032 1,776-3,678 square feet 1,324-1,760 square feet 1,413-2,426 square feet 1,516-3,104 square feet 3-6 bedrooms, 2-4 bathrooms 2-4 bedrooms, 2.5 bathrooms 2-5 bedrooms, 2.5 bathrooms 3-6 bedrooms, 3-4 bathrooms Priced from the low $300s Priced from the low $200s Priced from the high $100s Priced from the low $200s PRSRT STD To advertise with The Sacramento Bee U.S. POSTAGE call (916) 321-1373 PAID THE BEE P.O. Box 15779 Sacramento, CA 95852 Bring IN this AD for a free gift* 866-815-2444 STANDARDPACIFICHOMES.COM ©Standard Pacific Homes.*Visit any of the participating Standard Pacific Homes sales office located in Northern, CA to receive your free gift. Giveaway ends August 31, 2011, while supplies last. Once all gifts are distributed, there will be no substitute prize given away. NO PURCHASE OR PAYMENT NECESSARY TO ENTER OR WIN. A purchase or payment will not improve one’s chances of winning. Must be legal resident of California and at least 18 years of age to enter. Void where prohibited by law. Limit 1 prize per household. Sponsor: Standard Pacific Homes 3650 Industrial Blvd., Suite 140 West Sacramento, CA 95691 **Model photos shown. Human models and/or photography shown do not reflect racial preference. Softscape, hardscape, landscape and other items featured in and around the model homes are decorator suggestions and not included in the purchase price. All square footage is approximate. Prices, plans and terms are effective date of publication and are subject to change without notice. 7/11/11