Why Hire a Real Estate Broker Instead of a Salesperson?

Drew Morgan, Corporate Broker of MorganHomes, standing confidently in the company's office, reflecting the leadership and trusted guidance behind the "Helping People Make Good Decisions" philosophy.

Why Should You Hire a Real Estate Broker Instead of Simply Working With a Salesperson?

Most consumers don’t realize there’s an important distinction between a licensed real estate salesperson and a licensed real estate broker.

To the public, both may appear to do the same job.

Both can show homes.
Both can write contracts.
Both can negotiate offers.

So why should it matter which license your real estate professional holds?

Because when one of the largest financial decisions of your life is on the line, experience, education, and accountability matter.

A Broker Has Achieved a Higher Level of Education and Experience

In California, every broker begins as a salesperson.

Before qualifying for a broker’s license, an individual must complete additional education, gain practical experience, and pass a far more comprehensive state examination than the one required for a salesperson’s license.

The broker’s license represents the highest level of real estate licensure in California.

That additional training isn’t just about passing an exam.

It’s about understanding contracts, agency law, risk management, disclosure requirements, negotiations, ethics, financing, and the legal responsibilities involved in complex real estate transactions.

Brokers Are Trained to Manage Risk

Buying or selling a home isn’t simply about marketing or negotiations.

It’s about identifying and managing risk.

Questions such as:

  • What disclosures are required?
  • Are there permit concerns?
  • Could easements affect future improvements?
  • Are there title issues?
  • What contractual protections should be included?
  • What liabilities exist for the buyer or seller?

These aren’t simply paperwork questions.

They’re questions that can affect your financial future.

Experience Helps Prevent Expensive Mistakes

The best transactions aren’t remembered because everything went perfectly.

They’re remembered because problems were identified before they became crises.

An experienced broker has likely encountered hundreds of situations involving inspections, appraisals, financing challenges, disclosure issues, title concerns, and difficult negotiations.

That experience often allows problems to be anticipated and resolved before they become expensive.

You Benefit From Better Judgment

Information is everywhere.

Judgment is much harder to find.

An experienced broker helps clients evaluate more than just price.

We help determine whether a property represents a sound investment, whether repairs make financial sense, whether a neighborhood supports long-term appreciation, and whether the transaction aligns with your personal goals.

Sometimes the best advice we give is:

“This isn’t the right house.”

Or…

“This isn’t the right offer.”

That kind of advice isn’t designed to create a commission.

It’s designed to protect our clients.

Accountability Matters

Every California real estate salesperson must work under the supervision of a licensed broker.

When you hire a broker directly, you’re working with the individual who carries the highest level of responsibility for the transaction—not someone who ultimately reports to another licensee.

For many clients, that provides an added level of confidence and accountability.

The Bottom Line

The question isn’t whether a salesperson can successfully help you buy or sell a home.

Many do an excellent job every day.

The better question is this:

When one of the largest financial decisions of your life is involved, why wouldn’t you want the highest level of education, experience, and accountability available?

At MorganHomes, we believe our role isn’t simply to help clients complete a transaction.

Our responsibility is to help them make good decisions.

Drew & Christine Morgan Signature

Why Work With an Experienced Real Estate Broker? − MorganHomes

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Finding a home is easy. Knowing whether it’s the right home takes experience. Learn how an experienced broker helps you make smarter buying decisions.

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Why Work With an Experienced Broker Instead of Finding a Home Yourself?

Drew & Christine Helping Buyers in Belmont

Finding homes online is easy. Determining whether a home is truly worth the price, understanding disclosures, identifying potential risks, and negotiating favorable terms requires experience. Learn how working with an experienced Broker can help you make informed decisions and avoid costly mistakes when buying a home.

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As Belmont Celebrates 100 Years, the Ghosts of Its Past Still Remain

The Ghosts of Belmont: A Lost Golf Course, a Round Tower, and the Men Who Left Their Names Behind

Have you ever driven through Belmont and wondered who the people behind the street names were?

Not just wondered briefly, but really wondered.

Who was Lyon? Why is there a Monroe Drive? Was Alameda de las Pulgas always called that? And what is the story behind that curious little round turret building that still stands along the roadway like something left behind from another century?

The answers are hiding in plain sight.

Every day, thousands of Belmont residents travel roads named after men they have never met, pass buildings whose original purpose has long been forgotten, and live atop land that once held dreams grand enough to rival the Peninsula’s most exclusive communities.

To uncover the mystery, we need to travel back a century.

A Grand Vision in the Wooded Hills

The year was 1925.

Belmont was still largely undeveloped, a collection of wooded hillsides and open land nestled between San Francisco and San Jose. Yet three men saw something more.

Arthur Lyon.

Lee Monroe.

Lawrence Miller.

Together they formed Belmont Country Club Properties and set out to create what they hoped would become one of the Peninsula’s most prestigious residential communities.

If those names sound familiar, they should.

Their names still appear on Belmont street signs today.

In fact, Mr. Lyon seems to have enjoyed a certain advantage in the naming process. Belmont eventually honored him twice, with both Lyon Avenue and Arthur Avenue preserving his place in local history.

Their plan was ambitious.

Perhaps even audacious.Imagine an elegant country club overlooking the hills, surrounded by an 18-hole golf course called Hillcrest. There would be tennis courts, handball courts, a swimming pool, a children’s wading pool, and beautifully designed homes arranged around manicured fairways.

The centerpiece would be a magnificent clubhouse named Belle Monte.

The price tag?

A staggering $65,000 in 1925.

The Round Tower Mystery

Original Real Estate Sale Office for Belle Monti

Across from the clubhouse stood an unusual little building.

Round.

Compact.

Almost whimsical.

Many Belmont residents have noticed it while driving along Alameda de las Pulgas.

Most assume it was somebody’s odd residence.

It wasn’t.

The tiny structure served as the sales office for the development.

This was where prospective buyers came to imagine their future lives among Belmont’s rolling fairways and elegant homes.

The building still survives today, quietly guarding its century-old secret while traffic rushes past.

Free Beer and Real Estate

Selling homes in the 1920s required creativity.

Or perhaps persuasion.

Belmont Country Club Properties offered free transportation from San Francisco to Belmont.

Prospective buyers would board buses, enjoy refreshments—including beer—and tour the property while salesmen painted pictures of country club living and leisurely afternoons on the golf course.

Purchase a lot and the membership in the country club was included.

For $100, residents gained access to what promised to become one of the most desirable recreational destinations on the Peninsula.

It was a marketing strategy that would probably attract attention from modern regulators.

But in the Roaring Twenties, it worked.

For a while.

The Dream Unravels

Then came 1929.

The stock market crashed.

The economy collapsed.

And Belmont’s grand experiment suddenly found itself fighting for survival.

Memberships dwindled.

Families moved away.

The developers attempted to keep the club alive by opening it to the public, but the economic forces sweeping across America proved too powerful.

The corporation eventually went bankrupt.

The dream was over.

Or so it seemed.

The Fairways Disappear

Stock Market crash of 1929

Today, Belmont residents may have no idea they are living on what was once a golf course.

Following World War II, housing was desperately needed for returning veterans and their families.

The fairways were subdivided.

Homes replaced greens.

Roads replaced cart paths.

The golf course quietly vanished beneath a growing suburb.

Yet clues remain for anyone willing to look.

Street names such as Fairway still hint at the land’s former purpose.

Several stately homes that once bordered the course still stand and are now listed on Belmont’s historic registry.

Like archaeological fragments, they are reminders of a forgotten chapter in Belmont’s story.

But if you know where to look, their fingerprints remain everywhere.

History has a way of disappearing quietly. Fairways become neighborhoods. Sales offices become curiosities. Names on street signs lose their stories. Yet Belmont’s past remains all around us for those willing to look a little closer. The next time you drive down Lyon Avenue, Monroe Drive, or past the round tower on Alameda de las Pulgas, remember that you’re passing through the remnants of a dream nearly one hundred years old.

As always, Thabnk for reading along…

Drew and Christine Morgan are experienced REALTORS and NOTARY PUBLIC located in Belmont, CA, where they own and operate MORGANHOMES, Inc. They have assisted buyers and sellers in their community for over 30 years. Drew and Christine have received the coveted Diamond award, ranking among the top 50 agents nationwide and the top 3 in Northern California by RE/MAX. To contact them, please call (650) 508.1441 or emailinfo@morganhomes.com.

For all you need to know about Belmont, subscribe to this blog right here. You can also follow us on Facebook and on X.

This article provides educational information and is intended for informational purposes only. It should not be considered real estate, tax, insurance, or legal advice; it cannot replace advice tailored to your situation. It’s always best to seek guidance from a professional familiar with your scenario.

BROKER | MANAGER | NOTARY

Belmont’s FAT: Sometimes Bigger Really Is Better

In Belmont real estate, not all square footage is created equal.

Many homeowners have heard the term “FAT” mentioned in conversations about hillside development, additions, or vacant land — but few fully understand what it means or how it can affect property value and future building potential.

In Belmont, “FAT” stands for Floor Area Transfer — a unique zoning tool primarily associated with certain Hillside Residential and Open Space zoning districts, commonly referred to as HRO zones. The program was designed to help balance hillside preservation with reasonable residential development opportunities. Try this link to see Belmont’s interactive zoning map.

For some property owners, FAT can create valuable development opportunities. For others, it may permanently limit future expansion rights. Understanding how it works is important whether you are remodeling, purchasing vacant land, or simply evaluating your home’s long-term potential.

What Is a Floor Area Transfer?

In simple terms, Belmont’s FAT program allows allowable building square footage to be transferred from one property to another under certain conditions.

Some hillside lots in Belmont are steep, difficult to access, environmentally sensitive, or otherwise poorly suited for development. Other nearby lots may be more practical building sites.

The FAT system was created to preserve open space and hillside character, reduce excessive grading and environmental impact, concentrate development in more suitable areas, and provide flexibility for certain homeowners.

Where Does FAT Apply?

Floor Area Transfers are most commonly associated with Belmont’s Hillside Residential and Open Space zoning districts, particularly HRO-2 areas in locations such as portions of the San Juan Canyon and Western Hills neighborhoods. Here’s a link to Belmont’s interactive zoning map,

These areas often involve steep slopes, geological considerations, limited road access, tree preservation requirements, environmental review, and complex grading constraints.

Why FAT Can Benefit Some Homeowners

For certain properties, FAT can create meaningful value.

A homeowner who wishes to expand beyond the normally permitted floor area may potentially obtain additional square footage through a transfer arrangement, subject to City approval and zoning requirements.

Potential benefits may include larger homes in areas with restrictive base limits, greater flexibility for additions or remodels, improved long-term resale appeal, and enhanced usability of otherwise constrained parcels.

Why Some Vacant Lots Sell for Surprisingly Low Prices

One common source of confusion involves vacant hillside parcels advertised online at prices far below typical Belmont land values.

Buyers sometimes assume these lots are bargains when, in reality, many come with substantial development limitations. Some may require additional Floor Area Transfers, extensive engineering, or may already have transferred away their development rights.

Important Considerations Before Buying or Remodeling

Because FAT regulations can involve zoning interpretation, planning approvals, recorded easements, geological review, and design review requirements, homeowners should consult directly with the City of Belmont Planning Department and qualified professionals before making assumptions about development potential.

In Belmont Hillside development, details matter.

The Bigger Picture

Belmont’s FAT program reflects the broader balancing act that defines much of Peninsula real estate: how cities preserve neighborhood character and environmental sensitivity while still allowing homeowners reasonable flexibility and property rights.

Whether one agrees with every aspect of the system or not, Belmont’s approach has helped preserve significant portions of the city’s hillside character while allowing selective development opportunities in appropriate locations.

Final Thoughts

Real estate value is not determined by square footage alone.

In Belmont, zoning, usability, topography, and development potential can dramatically affect a property’s long-term value and possibilities.

At MorganHomes, we believe informed homeowners make better long-term real estate decisions.

And in a city as nuanced as Belmont, local knowledge matters.

Thank for reading along.

Drew and Christine Morgan are experienced REALTORS and NOTARY PUBLIC located in Belmont, CA, where they own and operate MORGANHOMES, Inc. They have assisted buyers and sellers in their community for over 30 years. Drew and Christine have received the coveted Diamond award, ranking among the top 50 agents nationwide and the top 3 in Northern California by RE/MAX. To contact them, please call (650) 508.1441 or emailinfo@morganhomes.com.

For all you need to know about Belmont, subscribe to this blog right here. You can also follow us on Facebook and on X.

This article provides educational information and is intended for informational purposes only. It should not be considered real estate, tax, insurance, or legal advice; it cannot replace advice tailored to your situation. It’s always best to seek guidance from a professional familiar with your scenario.

BROKER | MANAGER | NOTARY

Are Belmont Homes Still Getting Multiple Offers in Today’s Market?

The Hidden Opportunity: Why Some Belmont Sellers Are Winning Right Now

You may have heard that higher interest rates have “slowed the market.” But here in Belmont, the story on the ground looks very different.

Just last week, a home on Francis Court — where we were writing an offer for our buyers — received 27 offers. That’s not a slowdown. That’s serious demand.

What’s Really Driving the Market?

The biggest factor today isn’t interest rates — it’s low inventory.

Many homeowners are staying put because they have low mortgage rates or aren’t sure where they’d move next. The result? Fewer homes for sale. And when a well-prepared home in a good Belmont location hits the market, buyers don’t have many options — so competition can be intense.

Today’s Buyers Are Serious

Buyers right now are:

  • Well qualified
  • Well funded
  • Focused on the long term

When the right home comes along, they act quickly — and often aggressively.

But here’s the key:
Not every home gets multiple offers.

The homes that win typically have:

  • Smart, realistic pricing
  • Strong preparation and presentation
  • Clear value compared to recent sales
  • A desirable micro-location (flat streets, walkability, commute access, etc.)

In today’s market, strategy matters more than ever.

The Hidden Opportunity for Sellers

Because inventory is so limited, prepared sellers currently have:

  • Less competition
  • Highly motivated buyers
  • Strong negotiating leverage
  • The potential for multiple offers

The Francis Court property is a perfect example of what happens when strong demand meets limited supply.

Should You Wait for Rates to Drop?

Many homeowners ask this question.

The reality is: when rates fall, more buyers will enter the market — but so will more sellers.
That means more competition.

Right now, the environment is unusual:
Strong demand with limited competition.

Belmont Is a Local Market

Home values here depend on the details — street location, lot usability, expansion potential, commute access, and neighborhood feel. Understanding how buyers see these factors often makes the difference between a good result and a great one.

Curious What Your Home Might Do Today?

The headlines may sound uncertain, but locally, well-positioned homes are still performing very well.

If you’re wondering what your home might sell for — or whether this market makes sense for you — we’re always happy to provide a local, no-pressure analysis.

Because in today’s Belmont market, success comes from preparation and strategy — not timing the headlines.

Enjoy the day!

Drew & Christine Signature


Drew and Christine Morgan are experienced REALTORS and NOTARY PUBLIC located in Belmont, CA, where they own and operate MORGANHOMES, Inc. They have assisted buyers and sellers in their community for over 30 years. Drew and Christine have received the coveted Diamond award, ranking among the top 50 agents nationwide and the top 3 in Northern California by RE/MAX. To contact them, please call (650) 508.1441 or emailinfo@morganhomes.com.

For all you need to know about Belmont, subscribe to this blog right here. You can also follow us on Facebook and on X.

This article provides educational information and is intended for informational purposes only. It should not be considered real estate, tax, insurance, or legal advice; it cannot replace advice tailored to your situation. It’s always best to seek guidance from a professional familiar with your scenario.

BROKER | MANAGER | NOTARY

How to Stop Agents from Behaving Badly at Your Expense

If you’re considering selling your home, you’ve probably also been thinking about how to go about finding the right real estate agent to help.

Choosing precisely the right real estate representation makes a bigger difference than you might ever imagine. So where does one begin?

 

THE MEET

Once you’ve found an agent you’d like to meet with, reach out and set up an initial meeting. Don’t call three of four agents all at once. It takes hours to prepare for a meeting and you’re wasting agents’ valuable time.

If you’re not happy with the first agent you meet, by all means contact another.

No two REALTORS are the same and each one acts essentially as their own independent contractor. They develop a business plan on their own and so you’re really hiring the agent, not the company they work for.

Are their differences in the companies’ agents work for? Sure, but far less important than the agents you’re hiring.  Most agents will focus on how big (or small) their company is—how much “market share” and how much “technology” they have but how does that really benefit you?

The fact is most agents are capable of selling your home in this seller’s market, but the service they offer and the attention to detail and marketing varies greatly.

With that invariably comes differing degrees of success and results.

SELECTING AN AGENT—WHAT QUESTIONS TO ASK

These are the questions most sellers are prepared to ask:

  • How much do you charge?
  • What do you think my home is worth?

More detailed sellers might throw in a few more:

  • How long have you been in business?
  • In what cities do you specialize?
  • Do you work with mostly sellers, or buyers?
  • Do you have referrals with whom we may speak?

And that’s pretty much the extent of most sellers’ questions. The two which paradoxically seem to carry the most weight are two sellers always ask—how much is my home worth and what do you charge. These are two very important questions, but they should have little to do with choosing an agent. You can always find a discount agent to sell your home and you will most certainly get cut rate service and results as well.

The price the agent tells you your home is worth should also have little to do with whether you hire them. You get to pick the asking price for your home and if you’ve watched sales in your neighborhood, you probably have a pretty good idea at what price homes are selling.

Be careful not to decide on your agent based solely on the highest estimated sale price you hear, since that agent may not know your market or could be trying to “buy” your listing—meaning they are trying to get you to list with them under the pretense that they can magically get more for your home just by asking for it. Unfortunately, it just doesn’t work that way.

Buyers choose the price they are willing to pay for your home—not you as a seller or your agent!

We’ve heard sellers say, “We’re going to hire the REALTOR that sold our friends house—they said that they liked him and felt that he did a good job.”

And perhaps they did do a good job, but then again maybe the seller just thought because they received multiple offers well over the asking price that they must have done a good job. But could they have done better? 

THE MOST IMPORTANT QUESTION

Results. Before you’d consider having any important surgery done, wouldn’t you like to know what your Doctor’s survival rate is for his patients? How many operations has she performed? How much they charge would probably be the least of your concerns, so long as you survive to pay the bill.

Wouldn’t it be nice before booking a flight to know how long the pilot has been flying and how many hours they’ve logged?

Any agent can proclaim to be the best, or sell their listings for more in a shorter period of time, but you need to ask for proof. 

IT DOESN’T GET UGLIER THAN THIS

These sellers probably thought their agent did a good job as well. After all, they received $126,000 over asking!

When the sellers hired these agents, they no doubt never expected this shoddy work product would be what they received—and we can all but guarantee that it’s not what was promised.

REAL ESTATE AGENTS BEHAVING BADLY

This is what is referred to as a Moral Hazard—wherein, under the contractual protection of a listing agreement, an agent takes advantage of their client, promising one thing and doing another.

But as bad as the photo of the home on its side may be, the agents went on to boast in the private comments (in red) to all agents, that had they waited to hear offers, they would have received three more—and one back-up offer was for $25,000 more than the early offer they may have steered their seller into accepting. To add insult to injury, when they went back into the listing to amend the comments with self-aggrandized accolades once it closed, they still never took the time to fix the photo. So great job, Dino!

This may be a gross example of agents taking advantage of a seller, but many agents are guilty of taking the path of least resistance (e.g., work) to get paid.

We can’t count how many times we’ve represented a buyer, delivered an offer only to receive a call late at night that the seller accepted a different offer. Many times, if the agent had reached out to us, our buyers would have stepped up in price and the seller would have received even more for their home.

We often download disclosures for our buyers which is an indication that we have a very interested party. An offer date is set and we rarely if ever receive a call from the listing agents asking if our buyers are interested in making an offer, and if not, why.

BROKER TOUR, OPEN HOUSES & ADVERSE SELECTION

Agents will probably tell you they will hold an open house for all agents to view on a special day called “Broker Tour Day”. They may even tell you that they will serve food to attract the masses. And unless you ask if they will be present, they usually won’t. Agent Teams that have someone different for every aspect of the job are especially guilty of this. Many times, they don’t even go that far—they have a vendor, such as a mortgage company, hold the home open so they don’t have to be present. Other times, we’ve seen the “Catered Broker Tour Lunch” promised to the seller relegated to a tray of stale sandwiches on a counter, with the agent nowhere to be found. Being present at an open house is critical to answer other agents’ questions about the home. 

Unfortunately, these breaches in moral behavior are more common than not.

YOU CAN DO BETTER

Do your homework. Research agents organically online to see what work product they are capable of and delivering. Then, be armed with the best questions most agents are ill-prepared to answer.

If you’re interested in receiving a list of questions every seller should be asking, we’d be glad to deliver 35 of the best questions when we meet in-person for our initial visit.

EMAIL US to arrange a convient time for us to answer your questions.

email:info@morganhomes.com

Drew & Christine Signature

Drew and Christine Morgan are experienced REALTORS and NOTARY PUBLIC located in Belmont, CA, where they own and operate MORGANHOMES, Inc. They have assisted buyers and sellers in their community for over 30 years. Drew and Christine have received the coveted Diamond award, ranking among the top 50 agents nationwide and the top 3 in Northern California by RE/MAX. To contact them, please call (650) 508.1441 or emailinfo@morganhomes.com.

For all you need to know about Belmont, subscribe to this blog right here. You can also follow us on Facebook and on X.

This article provides educational information and is intended for informational purposes only. It should not be considered real estate, tax, insurance, or legal advice; it cannot replace advice tailored to your situation. It’s always best to seek guidance from a professional familiar with your scenario.

BROKER | MANAGER | NOTARY

 

Fed Interest Rate Hikes and Your Mortgage

By now you’ve probably heard that interest rates will soon be rising. The media reports simple sound bites such as, “Interest Rates Rise” which is of little help in understanding to which interest rates they are referring—credit card debt, student loan, small business loans or home loans?

Why are the Feds Raising Rates and What will it Mean?

The Federal Reserve rate making the news is set by the Federal Open Market Committee, which is part of the Federal Reserve. It is used as part of a monetary policy to attempt to help smooth the inevitable business cycles that the economy experiences. 

When we hear “The Feds are going to raise rates”, it’s important to note that specific change to the Federal Reserve overnight rate affects adjustable-rate mortgages. One must also watch Treasury Notes and Bonds for volatility in fixed rate mortgages.

The Federal Reserve keeping interest rates low helped us all through the 2007-2009 recession and again was employed during the Pandemic to help keep the economy from wild market force swings.

After the housing bubble burst in 2007, conforming loans actually had higher interest rates due to their greater propensity for default, while Jumbo loans enjoyed smaller rates of default as they were often tired to a properties with more equity.

But the Fed needs room to maneuver and raising the rate to more normal levels gives them some ammo in their arsenal in the event they need to employ their interest rate weapon again.

Since the attack on Ukraine, the feds have already signaled that they will slow any rate hikes this year for fear of stalling the economy. Once they begin raising rates it will serve to slow down the current high inflation by dampening spending.

This is a good illustration of how the Feds use this tool during recessions to stimulate or suppress the economy.

What Effect Interest Rate Hikes will have on Home Loans?

As we discussed in an earlier blog,  the Federal Reserve rate—does not necessarily mean home loans will follow suit—though some often do. 

  • The 10 year Note (typically affects 15 year fixed rate mortgages)
  • The 30 year Bond (typically affects 30 year fixed rates)
  • The Federal Funds Rate (affects Adjustable Mortgage rates)

As interest rates on Treasury notes rise, banks can raise the interest rates on new fixed rate mortgages. That means home buyers will have to pay more each month for a loan which in turn takes away purchasing power. Typically, when interest rates rise, home prices fall. When housing prices fall, the economy slows.

One of the rates most often discussed is the 10-year note. This frequently serves as a benchmark for setting long-term rates like commercial and residential mortgages. This rate is not directly set by the government. It is determined by market forces, often as simple as supply and demand.

Although today’s rates aren’t crazy by historical standards, they are higher than they have been in years, and that’s likely to have a small effect in the housing market — though we don’t see housing prices to declining significantly.

“More than a decade of chronic underbuilding and millions of millennials moving into the homebuying stage of life has created a significant imbalance between housing supply and demand,” McBride from Bank Rate said.“While rapidly rising mortgage rates may temper the demand somewhat, don’t expect home price appreciation to come to a halt. A more modest pace of appreciation is the likelier outcome.

More About Mortgages

Conventional mortgages fall into two main categories: “conforming” and “nonconforming” loans.

Conforming loans are home loans that are purchased by government entities such as Fanny Mae and Freddie Mac and must meet their guidelines such as the amount of down payment. These organizations make the access to more mortgage loans available. These tend to be smaller loans.

The Federal Housing Finance Agency (FHFA) raised the 2022 Conforming loan limits in California. This allows some mortgage loans that were previously labeled “Jumbo” to now be placed in the Conforming loan limit category. Conforming loans in California generally come with better mortgage rates and easier underwriting requirements.

A ”Jumbo” loan is considered a non-conforming loan, when it is in excess of the loan limits allowed for a conforming loan. 

What Are The 2022 Conforming Loan Limits in the Bay Area?

San Francisco, San Mateo & Santa Clara all have the highest limits available—$970,800 for a conforming loan.

What Does this Mean for You?

If you’re a homeowner thinking of selling, higher rates could impact the amount buyers can overbid for your home, as higher rates impact purchasing power.

If you’re a buyer, it means money will cost you more going forward so finding a home sooner rather than later could save you thousands of dollars. Every time there’s a tick up in interest rates buyers get more anxious about completing a purchase—so expect more short-term competition.

Our belief is that a modest rise in the fed rate will have a nominal effect on interest rates, but since lenders can react in any way they choose, all bets are off to definitively say how the upcoming rate hikes will impact our local housing market.

Drew & Christine Morgan are REALTORS/NOTARY PUBLIC in Belmont, CA. with more than 25 years of experience in helping sellers and buyers in their community. As Diamond recipients, Drew and Christine are ranked in the top 50 RE/MAX agents nationwide and the top 3 in Northern California.  They may be reached at (650) 508.1441 or emailed at info@morganhomes.com.

For all you need to know about Belmont, subscribe to this blog right here. You can also follow us on Facebook at https://www.facebook.com/Morganhomes and on Twitter @ https://twitter.com/morganhomes

The information contained in this article is educational and intended for informational purposes only. It does not constitute real estate, tax, insurance or legal advice, nor does it substitute for advice specific to your situation. Always consult an appropriate professional familiar with your scenario.