Email Elizabeth
JaCi Wallace
Realtor Ethics in Sacramento Real Estate
Realtor ethics in Sacramento real estate, either you have them, or you don’t. A fiduciary relationship requires honest and fair dealings between a Realtor and clients. In fact, an agency relationship is, in essence, not putting your needs in front of another. It is why you can’t double end your own home if you are acting as the Realtor/Seller. How can you put a buyer’s needs above your own when it’s your home? Make this blunder, and your E&O may not cover it, should your escrow go awry. That being said, our code of ethics requires us to treat everyone, including other agents, buyers, and sellers, honestly and fairly. Simply put, do unto others as you would have them do unto you, or Karma may come to a calling, and there may not be a footbridge back.
All too often, I see agents who don’t always take the high road if something can benefit them; principles and high standards simply fly out the window when it comes to them praying to the money goddess. Appreciation and gratitude for what others have contributed are short-lived when it comes to WIFM. No, folks, WIFM is not a radio station. It is an acronym that stands for “what’s in it for me.”
I have met some outstanding Realtors who have never sold out their principles for money. I don’t think ethics have anything to do with how much money you make as Realtor. Ethics in Sacramento real estate you either have them, or you don’t, I believe, is a fair statement. There are times where I’m very surprised at a Realtor’s business behavior. The most distasteful dealings are when someone has an entitlement attitude. I see it all too often. Gratitude, appreciation, and respect become foreign concepts. It is disappointing but then when leopards show their spots, believe it and dont forget it.
There are many fine agents who I’ve known for over 20 years. One example, I was about 5 years in the business, and I showed another agent listing in my office. The buyer tried to go around me and called this listing agent, asking her to write an offer for them. The agent said,” you will only buy this house with JaCi Wallace as I won’t represent you. JaCi did the work, she introduced you to the property, and she deserves the commission.” Needless to say, as a newer agent, I knew right then, I wanted to be that kind of Realtor as I was so impressed that she didn’t sell out to earn a double commission.
Sitting on the ethics committee for the Sacramento Association of Realtors, I hear astonishing things. Sometimes though a Realtor may not be technically in violation of the code, it doesn’t always mean they took the high road. I think big egos in our business often create monsters who seem to rub other agents the wrong way. When I managed agents for a previous real estate company for about 10 years, I often told agents who started to have a level of success after 6-7 in the business to please remember they are not Hollywood movie stars.
Honest and fair dealings, Realtor ethics in Sacramento real estate are important. Please call Weintraub & Wallace Realtors with RE/MAX Gold at 916-233-6759, as our ethics and standard of care are reflected in our business model at all times.
JaCi Wallace
What Is The Average Down to Purchase A Home?
What is the average down to purchase a home? This is a wonderful and informative blog written by our preferred loan partner, Dan Tharp. Enjoy! –JaCi Wallace. According to a Nerd Wallet 2019 Home Buyer Report, 62% of Americans think you need at least a 20% down payment to buy a home. Well, I am glad to report this is not true.
This myth may stem from something you have read about called private mortgage insurance. PMI is a type of insurance put in place if you put less than 20% down and default on your loan. PMI is arranged by the lender and protects the lender—not you—if you stop making payments on your loan.
Even though PMI may sound like a bad thing, there are benefits to putting less down in exchange for this added monthly fee. For many first-time homebuyers, saving 20% is herculean as it can take several years to build. For many, it’s more prudent to keep a 6-month reserve in the bank for emergencies or maybe some additional money for needed repairs and updates to your new home.
The good news, if you get a conventional mortgage (non-government, i.e., FHA or VA), once you reach 20% to 25% equity in your home, you can request to cancel your insurance – So it’s not there forever!
What Is The Average Down Payment On A House?
According to data from Attom Data Solutions, the average American pays about 6% for their down payment. Remember, there is no right or wrong or answer to how much you should put down. But here are some things to consider:
- Do you have an emergency/reserve fund?
- Are you a multiple-income-earning family, and what if one of you loses your job?
- The condition of your home, and does it need repairs?
- Look at your other debts.
- Talk to your financial planner or mortgage advisor about what is best for you based on the loan program and your financial well-being.
While the average down payment is equal to about 6%, depending on your loan type and credit score, it’s possible to buy your home with as little as 3% down. Or, if you qualify for a USDA loan or a VA loan, you may be able to buy your home with no money down. So What is the average down to purchase a home? It is much less than what most buyers think.
Why Does Credit Matter?
Along with a low debt-to-income ratio and a solid financial history, you’ll want a high credit score to obtain the best mortgage rates. It’s a pretty simple formula – If you have demonstrated a history of managing your debt responsibly, then you are more likely to get the best rates and terms on your home loan. A good score, according to MyFICO, is 700. For the best rates, however, a score of 740 or higher is needed.
What if you have no credit? I have clients that are good at not taking on debt because they choose not to have credit cards and pay for things in cash. For these folks, it may be impossible to obtain a mortgage. To start building a responsible credit history, consider a low-limit credit card or a secured loan.
If you need a few pointers to improve your scores, call me. We can review a more detailed analysis of tricks and methods we have learned over the years. Also, we work with some very talented and local credit specialists that we can refer you to. You would be surprised at the big difference a small change can make. I hope you enjoyed this blog titled, what is the average down to purchase a home.
If you want to work with a knowledgeable Realtor, please call Weintraub & Wallace Realtors, with RE/MAX Gold. You can reach us at 916-233-6759. Our Loan Partner, Dan, can help you through the loan process, so give him a call.
March 2021 Sacramento Area Housing Market Update
March 2021 Sacramento area housing market update is another interesting blog, written by Josh Amolsch; these are his views and agree or disagree the data always tells a story. Remember, these are merely opinions as none of us have a crystal ball on the real estate market; at best we are guessing about the future. Sacramento is a much different market compared to many other cities in the US, due to the proximity of migration here from the bay area and how Covid-19 fundamentally changed the workplace to home offices from brick and mortar. The record-low interest rates and how long they last perhaps will have the greatest impact on the current housing demand. Enjoy–JaCi Wallace.
Diving right into the meat of what everyone wants to know about the March 2021 Sacramento area housing market update, we see that the Median single-family home price spiked yet again. We are now at $485,000 in March, about a $39,000 increase just since January. When was the last time you made almost $40K in two months? As the affluent people reading this chuckle to themselves, just wait when the dips start occurring. While no seasoned professional sees a 2008 style crash coming, there most certainly should be a correction. My guess is within the next 12 months. I wonder if anyone is tracking where these small amounts of Sacramento area sellers are going once they sell. Yeah, it is great to make a pile of cash on your home in this epic, once-in-a-generation seller’s market, but then they step into buyer hell of trying to find a decent home in a decent neighborhood for a decent price. Aha, decency in California must be eroding just as fast as affordability. I crack myself up.
The graph above shows an average of 14 days on the market for single-family homes in Sacramento County. But man, let me tell you, the real number is probably 4-5 for homes most buyers are chasing. It is the “new normal” to pay over 10% above asking in some cases for a home that is decent. Gather those gift funds and get ready to swing a hammer. Sacramento has changed forever. New money is here and that sweet smell of trickle-down inadequacy from the state, county, and city planning will be with us for years to come. I have said it before and I will say it again, let the builders build. Incentivize the builders so that we can gain a supply of homes. Encourage vocational learning, build up the skilled worker stock. What, are we going to be expected to call a hipster software programmer to fix a leaky pipe in the future? It would be foolish to fix a flat tire by hammering another nail into it.
Weintraub & Wallace Realtors
In Escrow And The Seller Doesn’t Respond
In escrow and the seller doesn’t respond, yes folks, as strange as it sounds, it happens. We sent in documents over a week ago and called every day, and no response from the seller. The buyer doesn’t understand why the seller is not communicating. The seller’s agent said he had tried everything, calls, text, email, and no response from his client. The buyer has an option to cancel, but she already cashed in her investment funds and paid thousands of dollars on inspections and an appraisal.
I don’t think this will end well. The buyer really wants this property, so my guess we will end up in court. The buyer has nothing to lose and has performed on every level. At this point, the buyer may go ahead and sign the loan documents and send the seller a demand to close escrow.
The seller’s agent is dumbfounded on what to do here. I am not sure the seller understands the process nor the consequences of not responding. I can not say in 25 years I have never seen this happen. We are supposed to close this Friday. Well, that’s not going to happen. I set an addendum extending the escrow’s close; however, I’m not sure he will sign anything as the seller is not responding.
Stay tuned, and I will let you know next week what happened.
If you want to buy or sell a property, please call us today at RE/MAX Gold. (916)-233-6759
JaCi Wallace
What Is The Future of Sacramento Real Estate?
What is the future of Sacramento Real Estate? This blog was written by our very own exclusive buyer’s agent, Josh Amolsch. We think you will enjoy this blog as it points to a continuing busy real estate market with a population explosion in Sacramento, for decades to come. Enjoy– JaCi Wallace.
Many people are asking themselves: what is the future of Sacramento real estate? Well, one can probably look to other places as models for what the future of Sacramento could be. Sacramento, once considered a “cow town,” has grown into a big city. According to Worldpopulation.review.com, the population was 369,000 in 1990 and now is 525,000. If you take into account the Sacramento Metropolitan region — which is typically considered Elk Grove, Arden, Roseville and everything in between — we have about 1,500,000 people. That number is estimated to grow by 54%, up to 2.2 million by 2060.
In looking at other big cities, what do they have? Well, what about art on buildings (check), unreasonably high real estate prices (definitely getting there) and an explosion in homelessness and crime (check, check). But large cities also have fun things like museums, major sports teams (hopefully our soccer team can win as we have all given up on the Kings) and branded districts that pull in the tourists. Expanded public transportation should be expected in Sacramento’s future as well.
Affordability will likely be an issue, too. I think the future of Sacramento has the potential to be bright. I keep seeing all of these programs to help buyers buy homes such as Down Payment Assistance and imposing income limits for certain areas of town, but what about actually fixing the problem — which is a lack of homes and jobs? Let the builders build and let the job creators create more jobs. The free market is a wonderful thing. We hope this revival in Fair Housing and fair living extends to everyone.
