Tag Archives: single-family homes

Looking for new houses that don’t give off a McMansion vibe

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A discussion of some new homes in Mt. Airy, Pennsylvania involves which homes do and do not give off a “McMansion vibe“:

“What’s THAT?” she said suddenly. “That’s just not okay.”

She was looking at two identical McMansions near the intersection of Lincoln Drive and Wayne Avenue, tall houses too big for their lots with boring beige stucco and stone that lacked the tell-tale Wissahickon schist sparkle.

I had a similar reaction to a house on the corner of Bryan and Durham, in a close-knit neighborhood known for the quality and variety of its Halloween decorations. It’s a neighborhood where kids play in the streets and everybody lives in almost identical row houses and twins with deep porches and sparkling stone walls. The new house looks like something from a soul-crushing suburban development, and the owners haven’t bothered to plant anything in the huge sunny side yard. The most notable feature of the house is a No Parking sign on the front of it.

So I was relieved when I looked at the listing for a new house being built on one of my favorite streets in Mt. Airy–St. Georges Road. It’s one of two planned homes by Blake Development.

From the looks of the plans, the house suffers a little from a common East Coast malady, multiple siding disorder, where the vertical exterior surfaces have a little too much variety. They’re stone, no they’re stucco, no they’re wood-like planks made out of concrete. But overall the house holds true to the character of the neighborhood. I’m encouraged by the interior shots of the developer’s other projects. The rounded door under the stairs is very Mt. Airy, and the kitchens
are good quality but not overly fancy. They’ve also won a bunch of awards for historic restoration.

It seems that the primary trait of what distinguishes between a McMansion vibe or not is whether the new home fits architecturally with other homes in the neighborhood. So, the definition of a McMansion could then differ quite a bit from place to place depending on whether the new home is near 1950s ranches, early 19th century Cape Cods, or other styles.

This could also lead to an interesting question: should new homes always fit in with existing homes? More broadly, should all new buildings fit in with nearby buildings? What happens when architectural styles change? I suspect the answer in practice is that it depends; not all homes or buildings are perceived as worth preserving and it often requires dedicated groups of residents or local actors to defend existing styles.

By the way, what neighborhood wants to be known primarily for “the quality and variety of its Halloween decorations”?

Housing markets could benefit from Latinos who want to buy their first homes

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The executive director of the National Association of Hispanic Real Estate Professionals says many Latinos want to purchase homes:

Q: Your report (“The State of Hispanic Homeownership” at NAHREP.org), assembles data from a number of private and governmental sources, and contends that the number of Hispanic homeowners has grown to 6.69 million in 2012 from 4.24 million in 2000 and that they represented 51 percent of the total net increase of 694,000 owner-households in the United States in 2012. Considering the nation’s economic circumstances, that sounds pretty good. Yet, you say they’re facing head winds?

A: Even to our surprise, Hispanic homeowners seem to be very resilient, especially coming off the (housing) crisis. Affordability is at an all-time high and a lot of Hispanics have jumped into the market recently. Some of the biggest factors in this are household formation, income trends and overall consumer confidence. They’re forming households at a faster rate than the general population. If you look at the market of Hispanic households, they’re much more likely to be made up of a husband and wife with children, (an arrangement that’s) much more aligned with the purchase of a home.

But there are a couple of major barriers to this trend continuing, and though difficulty in accessing mortgage credit is an important one, even more important right now is the lack of inventory of houses for sale…

The fulfillment of this scenario of Hispanics being a dominant force in future homebuying will require the industry to be able to adapt to cultural nuances. And basically, NAHREP is saying the industry isn’t there yet. Twelve years ago, when we started this organization, we were selling a vision that few people bought into. It’s not really like that anymore — the major players in housing now understand, or are starting to understand, how important the Latino market is.But there are nuances to working with the Hispanic market — there’s language, of course, and the likelihood of so-called “thin” credit files (that limit access to mortgages) within a culture where having debt is not a desirable thing.

The housing market could benefit from such a reservoir of buyers. For example, those baby boomers who want to unload their homes in the near future may just want to access possible Latino buyers. Plus, the one cited figure above seems to suggest that some of the uptick in housing in the country can be attributed to Latinos. But, assuming different groups in the United States want to or perhaps more importantly can, given the wealth differences in the United States, purchase homes is not a given. There are still big gaps in homeownership rates by race and ethnicity.

It would be interesting to hear how real estate agents and others in the real estate industry are really adjusting their methods for potential Latino customers.

American driving culture can lead to some opulent garages

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Curbed highlights eight fun quotes from a recent Wall Street Journal story on some unusual American garages. Here are four of the quotes:

6. “Once seen as a catchall space to store bicycles, trash cans and lawn tools, garages are being rediscovered as the ideal place—who knew?—to park cars.”…

4. “Mr. DesRosiers recently completed a 6,200-square-foot garage in the suburbs of Detroit that has a 1,800-square-foot detail shop on the lower level with a penthouse above, accessible via elevator.”

3. “There are seven flat-screen televisions throughout the three levels. “I can build a motorcycle and watch a football game at the same time, which is pretty sweet,” he says.”

2. “He put a glass door in between the wine cellar and underground parking space so the owner can “walk into the lift and touch and feel the car from the wine cellar,” he adds.”

The original story also highlights some broader trends regarding garages:

Even if an existing home has a garage, one or two bays may not be enough. “Those garages are not suitable for today’s vehicles. They’re just too small,” says Mr. Pekel of the Milwaukee construction and remodeling firm.

Of new homes built in 2011, 29% have a three-car or larger garage, according to Home Innovation Research Labs. These spaces have more bays, taller ceilings and greater square footage, says Ed Hudson, director of the market research division at Home Innovation Research Labs.

By and large, men are the primary users of garages, at 70% overall, Mr. Hudson says. For some purposes, like maintaining vehicles or working on projects,more than 90% of all users are men.

There is still room to discuss why people would want such garages in the first place, particularly if it comes at the expense of other items, such as spending money elsewhere in their houses. I would argue you could make a broader argument about the general love Americans have for driving and vehicles which then leads to a “need” for large spaces devoted to these vehicles. On one hand, vehicles are very functional – they get you where you need to go, particularly in a sprawling American built landscape that often requires driving. On the other hand, people can get attached to such functional objects and see them as much more than tools.

If some recent survey data is correct in showing that the younger generation of Americans don’t care so much about cars, perhaps we are in or have already passed “the golden age of garages.” If New Urbanists and other like-minded architects get their way, the garage would lose some of its prominence by being moved from the front facade of homes to the rear. In several decades, these opulent garages may look even more unusual and unnecessary.

Claim: America has 40 million McMansions?

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Here is an interesting claim: America has 40 million McMansions.

Americans, especially generations X and Y, want shorter commutes, walkability and a car-free existence. Which means that around 40 million large-lot exurban McMansions, built primarily during the housing boom, might never find occupants.

My guess is that this application of the term McMansion is quite misguided. Look at the original news story about these figures:

America has too many big houses — 40 million, to be exact — because consumers are shifting preferences to condos, apartments and small homes, experts told the New Partners for Smart Growth Thursday, holding its 11th annual conference in San Diego through Sunday.

Relying on developers’ surveys, Chris Nelson, who heads the Metropolitan Research Center at the University of Utah, said 43 percent of Americans prefer traditional big, suburban homes but the rest don’t…

He estimated that this demand suggests a need for 10 million more attached homes and 30 million more small homes on 4,000-square-foot lots or less. By contrast, demand for large-lot homes is 40 million less than currently available.

There is no explicit mention of McMansions in this original story. There can’t really be 40 million McMansions. In 2000, there were just under 70 million total detached housing units. So roughly half of all American houses are McMansions? Also, there are 40 million houses in the exurbs? (You may have to define all suburbs as exurbs to get close to this.) At the same time, one could argue that the average new home, around 2,400 square feet is still too big for what many Americans want. But, a home at the average or even slightly over is not automatically a McMansion.

Millennials want smaller, smarter, purposeful, customizable homes

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A new real estate survey from Better Homes and Gardens suggests Millennials have different tastes in homes:

Better Homes and Gardens® Real Estate today released national survey findings of 18-35 year-old Americans that reveal the next generation of homeowners are rewriting the rules to homeownership and reinterpreting traditional norms to fit their values. Results indicate that the next generation of homeowners seeks essential, purposeful homes (77%) equipped with the technological capabilities they have grown accustomed to, as opposed to stereotypical luxury homes preferred by many in their parents’ generation. The findings also demonstrate that 82 percent of “Millennials” surveyed embrace their independence with gusto and prefer to handle home improvements on their own instead of turning to their parents for money; a stark contrast to the general misconception that paints young Americans as coddled or entitled.

“It’s critical that real estate professionals understand what embodies a quintessential home for the Millennial generation, which vastly differs from the traditional norms of generations before them,” said Sherry Chris, president and CEO of Better Homes and Gardens Real Estate LLC. “These survey findings allow our brand to continue to best serve the next generation of homebuyers and find homes that can or do appeal to their lifestyles and unique spirit. Understanding technologies to communicate with this generation is now only one piece of the puzzle for agents; ‘smart’ technological capabilities must now be ingrained into the home itself.”…

Unlike their Baby Boomer parents, 77 percent of Millennials surveyed would prefer an “essential” home compared to a grand stereotypical luxury home. This generation wants their living quarters to be as unique as they are; more customized and less “cookie cutter” (43%). To that end, Millennials seek for each room of their home to serve a purpose fit for their lifestyle. For instance, 1 in 5 of survey respondents agree that “home office” is a more appropriate name for their dining room based on what they typically use it for, and 43 percent would like to transform their living room into a home theater.

If this is true across the board for Millennials, what sort of current housing options appeal most to them? Gentrifying neighborhoods? Urban lofts? New Urbanist developments? It would be fascinating to see some builders and developers go after this age group like they might with Dell Webb type communities that are clearly intended for a certain age range. However, this might not be as lucrative as providing housing for older buyers and such a sales pitch might go against the independent streak of Millennials…

The most common words found in American real estate listings

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A new analysis looks at the 100 most common words found in American real estate listings with “beautiful” sitting at #1:

Point2Homes, which provides marketing services to real estate agents, ran the numbers on 300,000 active listings in the United States in the first half of 2012 to see which household features and characteristics were thought by their listing agents to attract buyer interest. Though such chestnuts as “must see” and “spacious” pervade the listing verbiage, it was interesting to note which other specifics appear to merit singling out, according to Roxana Baiceanu, a spokesman for the company…

But she said the analysts were a bit surprised to see the emphasis on such specifics as hardwood floors and stainless steel, which placed second and third, respectively, on the overall frequency list.

In all, the top 100 terms aren’t particularly surprising — nearly every listing in the history of American real estate would have you believe that there’s no such thing as an unappealing home. That list includes such predictables as “stunning,” “sunny,” “finest,” “perfect,” “super” and “spectacular,” along with more concrete features such as “home office,” “soaking tub” and “dishwasher.” But when Point2 started breaking the findings into geographic regions and price segments, it was a little more revealing…

Geographically, homes for sale in the Midwest and along the East Coast seem stuck in that “beautiful” rut, where that word held the No. 1 spot. But on the West Coast and in the South, “stainless steel appliances” went to the top of the heap, she said. Midwesterners also liked “fireplaces,” which showed up with two variations in the top 10; Eastern states placed a premium on “move-in condition;” the South was the only region to put the legendarily coveted “granite countertops” in its top tier of listing terms.

It is interesting to see stainless steel and hardwood floors up there. While these might be desirable features, they are relatively quick fixes to homes while other features, such as “open concept,” are harder to change.

This list suggests several things to me:

1. Selling a home involves a lot of marketing. This is obvious but seeing this list full of vague and positive words is an extra reminder.

2. This list is like a set of code words. If you aren’t familiar with real estate listings, these may strike you in one way but if you commonly see such words, you can read between the lines.

3. I wonder what happens to homes whose listings don’t feature these common words. Is there a penalty? Would this help the home stand out to a particular kind of buyer?

State of the housing market: spring here but inventory of homes for sale still down

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Even though spring is often the time when the housing market picks up, inventory is still down as we approach March:

But a return to healthy inventory levels could take years. Many homeowners can’t afford to sell because they don’t have enough equity to put into buying another house — or would have to write a check to sell. The supply of distressed houses for sale is thinning as the foreclosure crisis recedes, especially in some states. Home building, while improving, is still at low levels. And, after years of holding on, few homeowners want to sell when prices are just coming off the bottom, Realtors say.

“We’re making a painful transition from a market dominated by distressed sellers to a market in which the only people selling are people who want to sell,” says Glenn Kelman, CEO of online brokerage Redfin.

The nation now has a 4.2-month supply of existing homes for sale. A healthy market, defined as a six-month to seven-month supply, will arrive when home prices rise another 20%, estimates John Burns, CEO of John Burns Real Estate Consulting.

A jump that size will lure enough sellers to match demand pouring in from renters and investors, he says. Rising prices will also drive more home building, he says…

Nationwide, almost 28% of homeowners with a home loan owe more on their loan than their home is worth, data from market watcher Zillow show. That’s 13.8 million homeowners. They’d likely have to write a check to sell, especially if they have to pay a Realtor.

In other words, a housing recovery will still take some time. Even with foreclosures easing, prices have not recovered to the point where more people want to or can sell.

One thing I like about this article: it doesn’t engage in speculation about when the market will be back to “normal.” Too often, real estate articles are full of people making predictions about when the tide will turn. Shouldn’t years of more uncertainty like the last few years make us at least a little more conscious about making such predictions? Also, we might be closer to recognizing that perhaps times like this might be “normal” for a while.

I wonder how much this data/information is related to lower levels of mobility in the United States…

How a developer of big homes differentiates his homes from McMansions

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Few builders are aiming to have their new big homes labeled McMansions. Here is how one developer describes how his new homes differ from McMansions:

According to brothers Taylor and Milton Chamberlin, the goal for the Georgian style homes is for them to be an alternative to “McMansions.”

“We really take our time to design the homes to fit in the neighborhood. We’re not builders that come in and put this huge McMansion in a small neighborhood where it doesn’t fit. That’s not what we do,” said Taylor. “All of this is really thought through and it’s really livable, usable space. It’s not those McMansions where you walk in and wonder, ‘What do you do in this room?’”

The base model runs around $1.4 million and features four bedrooms and 4.5 bathrooms, with the possibility of another bedroom and bathroom on an additional level. Costs will vary based on the different lot sizes and individual add-ons the purchasers want in their homes…

Another goal is to foster a 1950s sense of community among the owners of the nine properties, in which everybody knows and interacts with their neighbors. The homes will only be accessible via a private road and there will be a small fence around the subdivision…

The brothers noted The Barrett Companies’ effort toward green building and energy efficiency. From better insulation and caulking to installing appropriate outlets in the detached garages for plugging in an electric car, the Chamberlins believe small touches make their properties stand out.

These are big new homes that at first glance might fit several traits of McMansions. But, here is the argument the developer uses to say their homes are not McMansions:

1. The homes will fit the neighborhood. Critics argue McMansions, particularly teardowns, can disrupt the character of existing neighborhoods.

2. The home is not just about space; it is about well-designed and usable space. One argument about McMansions is that they provide lots of square footage but this is often contained in cavernous rooms or in poor layouts that are difficult to utilize in day-to-day life.

3. They are hoping to promote a community atmosphere in their small development. I wonder if this is primarily a function of size; the fenced-in neighborhood with a private road will only contain nine homes.

4. These homes will be greener than normal big homes. McMansions are often said to about excessive consumption and part of sprawl.

5. There will be a consistent design scheme with Georgian architecture and detached garages on the private road away from the streets surrounding the neighborhood. McMansions are criticized for mixing architectural styles.

In the end, I wonder if a majority of buyers and critics would think these reasons are enough to separate these homes from McMansions. These are still big homes in the midst of suburban neighborhoods. They may be more consistent and be less mass-produced but are they different enough?

“Exporting the McMansion” to China

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A principal in an American architecture firm discusses the McMansions his company has designed in China:

Market researchers in China say that these buyers prefer styles (derived from) the old houses in France and England. The people feel that the styles of the English and French are more “wealthy looking” than Spanish or Mediterranean styles. Think of “Downton Abbey” or Fontainebleau. Those are perceived as the homes of royalty. Homes in Spain or Italy, they perceive those homes as more casual…

The villa houses we’re building are generally 3,500 square feet to 7,000 square feet, and that excludes the basement, which isn’t usually included in the salable square footage…Some of these homes are being purchased by investors and some of them will be second homes. Lagoon Manor, for example, is a 600-unit development we’re doing that’s in the northeast part of Beijing, though from the heart of the city it’s about an hour-and-a-half drive because of the traffic…

The homes are of concrete construction. Even the roof pitches are concrete panels — there’s almost no wood in the construction.

The interiors are built to a European construction model. You buy the shell and finish the interior yourself. The outsides of the homes are completely finished, but you open the front door and it’s a light bulb.

This discussion suggests there are some similarities between American and Chinese McMansions. They are purchased by people who want to show wealth and the architecture is intended to connect the style of the new home to established “high-class” styles. The homes are quite large and expensive. However, they are constructed differently: it is more of a concrete shell that the buyer can then customize in pieces (IKEA is mentioned). While the discussion doesn’t mention this, I assume these homes are less common in China than the United States and so are still more unusual.

Indeed, it would be interesting to see what remains the same and what changes and why when the American McMansion becomes another global export.

First passive house in Illinois completed

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The Chicago Tribune profiled a River Forest home that is the first in Illinois to be certified as a passive house:

To earn certification, the house had to pass a third-party audit that included a blower-door test to detect air leaks, a visual inspection to make sure specified products were used, and an air-flow test of the ventilation system to ensure that incoming and outgoing air was balanced.

Including the finished basement, the house has 3,800 square feet plus a detached, two-car garage. That includes three upstairs bedrooms, an open living area plus in-law suite for Corinna’s parents on the main level and a recreational room on the lower level.

The first thing a visitor notices about the Lemas’ house is its 18-inch-thick exterior walls. They contain the key to keeping the house airtight — Logix insulated concrete forms, which are Lego-like panels of concrete and foam. Outside of that is a 2-inch rigid foam layer, an air cavity and SmartSide engineered wood siding…

The Lemas figure they spent about $175 per square foot on the house, including site work and demolition of the house that used to occupy the property. That is on par with custom residences that are not passive houses, said Bassett-Dilley.

Interesting article though I wish more time was spent on the process of building the home, such as passing inspections and hearing from neighbors, rather than the particular pieces that went into the home.

While this is the first passive home in Illinois, I wonder what the resale market for such homes might look like in the near future. Is there a premium homesellers can ask for since such homes are rare?

Also, I have read a number of articles about such homes but haven’t really seen anyone discuss possible downsides. What happens if the air exchanger, needed to bring in air since the house is so sealed, goes out? Are there longer-term issues that come up amongst homeowners in such houses?