Geek's Number Talk: Going green earns you more green

Did you know? According to the Environmental Protection Agency (EPA), an average home produces about twice as much greenhouse gas pollution as the average car.

Meanwhile, a recent study showed that a $1 reduction in annual energy bills resulted in more than a $10 increase in home resale value. Indeed, appraisers account for efficiency improvements because they contribute to the livability and economic stability of the home.

Additionally, the Federal Housing Administration (FHA) has ruled that the cost of energy efficiency measures can be added to a mortgage. And homebuilders find that homes with efficiency upgrades sell faster and at higher prices than similar homes nearby. All the more reason to invest in an upgrade!

Breaking News: It’s hot.

Last week’s heat wave was historic, and that’s not hyperbole. Scorching temperatures broke records around the Bay Area, including a high mark of 116 degrees in Livermore, the highest mark EVER RECORDED by the National Weather Service in our region.

Get the story hot off the presses from SFGate.

Geek's Number Talk: Market Snapshot - Santa Clara County

As expected, Santa Clara County home sales were down in July, dipping nearly 50% under last year. Meanwhile, prices remain high, though with little change year over year. One thing to watch is the time properties spend on the market, which is stretching out and providing more opportunity for negotiation.

Geek's Number Talk: ADUs raise property values

According to a new analysis by Porch.com, ADUs are becoming a trendy response to the housing affordability crisis in California and the Bay Area. As of 2019, there were 1.4 million homes with an ADU nationwide, and that number is growing by 100,000 per year.

One reason for the rise is the impact that ADUs have on property values. Across America’s largest cities, homes with ADUs averaged 35% higher prices than those without. But with the average cost of an ADU in the range of $180,000 — and as much as $400,000 in the Bay Area — it may not make dollars and sense for you.

Learn more from the National Association of Realtors and contact us for a consultation.

Geek's Number Talk: The Impacts of Rising Mortgage Rates.

It should come as no surprise that rising mortgage interest rates have a direct impact on home buyers and sellers. These two charts help make those impacts crystal clear, especially when it comes to purchasing power, inventory, and selling price. As you can see, an interest rate increase of just 0.5% triggers a 4.4% increase in home price but also a 4% decrease in active listings.

Meanwhile, the median house price is down 4.7% month-over-month but still up 4.5% over last year. This means home affordability is tracking down, so the time to act is now, or you risk waiting out the current economic fluctuations.