Category Archives: buying

buying, commitment, Communication, education, Inspiration, organizing, selling, Team work, tips

DOES YOUR HOUSE HAVE A SMILE OR A FROWN?

Leave a comment

house 2 beforeListening to a presentation about the correlation between a smiling face and a longer life span of a person reminded me of pictures of homes that are offered for sale.

How many pictures of homes did you see on the internet that showed a genuine smile and how many more do you see that are frowning?

house 2 afterYes…a home can either smile or frown through pictures.

It has everything to do with how you as the owner take care of your house inside and out and how you prepare your home for the photo close-ups. When the decision is made to sell your home, you need to prepare it for its’ best smile for the close-up photos inside and out.

You may need to consider reducing the amount of personal items you have as decorations, including family pictures you have in the house. This would be also a great time to make more money by holding a yard sale or just consider getting a storage unit. I would advise against storing any items in the garage.

Clean the house inside and out. When you don’t have time, hire a cleaning company to help you with the cleaning and I would advise cleaning every nook and cranny on the inside of the house. When needed repairs are made touch up with paint. The bigger the smile on your house during for the photos, the more buyers and potential full price offers you will attract.

buying, commitment, Communication, education, Inspiration, organizing, planning, Team work, tips

Here comes another Tornado Season

Leave a comment

We are here once again. Another tornado Season and the ones who live in Tornado Alley know very well that nothing can be done against Mother Nature, other than being prepared and ready to take cover.

Don’t be complacent when a tornado is heading your way. By that time it’s usually too late to make a plan.

Designate a “Shelter Area” in your home. For a Home that is not a Trailer move to the lowest level of the house such as a basement or under a stairway. When you have no basement available use the smallest room or hallway on the lowest level and put as many walls between you and the storm. The place you choose needs to be away from windows.

When your home is a Mobile home, you need to find a designated storm shelter. A mobile home, even when tied down, will offer little or no protection during a tornado.

Buy a weather radio or download a weather app to your smart phone.

 

Assemble a “Disaster Supplies Kit”. The American Red Cross recommends a “disaster supplies kit” containing the following items:

 

•         A first aid kit with essential supplies and medication
•         A battery powered radio, flashlight, and extra batteries
•         Canned and other non-perishable foods. Don’t forget a hand-operated can opener
•         Bottled water
•         Candles and matches
•         Sturdy shoes and work gloves
•         Cash and credit cards
•         Copies of vital paperwork like driver’s license, birth certificates, insurance papers, credit cards, vehicle keys, medical cards…..

 

Know the Difference between a watch and a warning.

 

•         A tornado watch means that weather conditions are favorable for the development of tornadoes.  Stay alert and keep tuned in for further advisories.

•         A tornado warning means that a tornado has actually been sighted. Warnings are issued for individual counties and include the tornado’s location, direction and speed.

Do not try to outrun a tornado with a vehicle. Take shelter when a Tornado Warning has been issued. Tornado “watching” is best left up to the professional.

buying, commitment, Communication, education, Inspiration, organizing, planning, selling, Team work, tips

CENTRAL INDIANA HOME STATISTICS UPDATE

Leave a comment

Rising profitsThe Central Indiana’s housing inventory remaining low is not surprising. We had an unusually harsh winter and many homeowners were reluctant to list their homes for sale. With the warmer weather we should see an uptrend in available homes. With the interest rates remaining low, and forecasts indicating no huge increases until 2015, we could have a great 2014 selling season.

Here in central Indiana we have seen a slow but sure increase in home pricing based on the local REALTOR Association information. Over the last 6 months the average home price saw an increase of 8.7% and most of the homes sold in Central Indiana received offers that were 91.8% of their original asking price.

In the nearby area of Brown County, the increase of properties available indicated a 41.2% over last year. Morgan County did not perform as well showing a decrease in available listings indicating a 30.1% over last year. Decatur County has seen the largest increase in home pricing over last year with 44.8% in comparison to Putman County where home prices decreased over last year by 10.7%.

buying, commitment, Communication, education, Inspiration, organizing, planning, selling, tips

Tips to keep you home insurance low.

Leave a comment

safe1. Shop around

Take your time before get your home owners insurance. Get referrals from people you know and do your research. The National Association of Insurance Commissioners www.naic.org has great information for you.

 

2. Keep your deductible high

The higher you’re deductible is the better your premium will be. When you can afford a $1000 deductible you can safe up to 25% on your premium, most insurance companies asking for a $500 deductible.

 

3. Don’t include the land in your insurance

The price you paid for your home includes the land it stands on (in most states) and it is not in risk of being stolen or fire (you could just make sure the trees are covered). The land will always be there so consider not including it in the coverage.

 

4. Keep all your policies with one company

When you keep all of your policies with one insurance company, like the house and your auto, you can save with a multi-policy discount. Depending in the insurance company it can vary between 5-15%.

 

5. Disaster proof your home for your area.

You may be able to save on your premium when you retrofit your home to make it more resistant to windstorms. Older homes may get a break when they are being modernized with new heating, plumbing, and electric. You need to contact your insurance agent for further assistant on this.

 

6. Add to your home security

Adding a smoke detector, fire extinguisher, deadbolt locks and a monitored security system could get you a possible insurance discount of 5%. Before you do any modifications like this contact your insurance agent for recommendations.

 

7. Look for other discounts

Non-smokers can get you a discount with some insurance companies. When you are 55+ and retired, and you live in the home most of the year, you could qualify for another discount.

 

8. Credit Score

Keep a good credit score, the better your credit the better will be your insurance premium. Make sure you check your credit on an annual basis.

 

9. Don’t move from insurance company to insurance company

Some insurance company give special discounts for long term policy holders. The longer you stay with the company the higher the discount will be. You could be eligible for discounts from 5-10%.

 

10. Annual policy review

Did you add a floater for the high end computer you no longer owned or grandma’s jewelry you have sold at auction? Check and see if you had something included in your policy that you no longer own. Have it removed and save the difference.

 

11. Private insurance VS. Government plan

Government plans are higher than private insurance plans, especially in high risk areas. Check for possible private insurance carriers who might insure homes in a high risk area. A high risk area is for instance along the coast or areas of high crime.

 

12. Shop for insurance before you buy

Call your insurance company before you buy and they will let you know what type of home will have a more reasonable insurance premium.  Some things the insurance company will take in to account are the age of the home, the age of all of the systems (plumbing, heating), age of the roof, and possibly the type of siding.

 

13. Check the CLUE Report

For many homes you can find a report which shows the insurance claims history of the home. With this you could decide what potential problems the property might have.

 

14. Other insurance

Remember that when your future house is in a flood plain you have to get flood insurance. That could add in an average of about $400 annually to your insurance premium. When your house is in an earthquake prone area you also need to buy a separate earthquake policy. Earthquakes are not covered under a standard policy.

 

Disclaimer: I am not an insurance agent or an attorney. For legal advice or any advice regarding this topic contact your insurance agent or legal counsel.

buying, commitment, Communication, education, Inspiration, organizing, planning, selling, Team work, tips

Stage the vacant home……for safety reasons.

Leave a comment

DSC_0008When selling a vacant home it you should have it staged to look as if it is lived in. From the outside, with curtains and a light or two turned on, it will look lived in to a potential drive by thief. Also, when placing you home on the market, try to find pictures of the inside showing furniture. When you do not have pictures with furniture you could have it staged with rented furniture or add a few pieces from your own collection. It will keep the potential thief guessing. We do not want to invite thieves or potential squatters. Each picture posted on the MLS of an empty room might invite the copper and wire “collectors” of the area.

 

The other invitation might be the disclosure “bank owned” on the MLS, but due to having to disclose this to the potential buyer there is not much we can do. I have seen listings where agents leave the “bank owned” part out of the public disclosure but have it written into the Agent-to-Agent remarks. I am not certain if this is kosher but that might be an answer.

 

Many times the under the public remarks is the verbiage used “vacant, OK to show, lock box code XZYT, call for feedback.

 

…..just don’t do that, you are inviting squatters and others who will use this house for their illegal reasons.

buying, commitment, Communication, education, green, Inspiration, organizing, planning, recycle, Team work, tips

Remodelers and Lead base Paint

Leave a comment

paintOn April 22nd 2010 a EPA ruling went into effect that has not only affected the homeowner but also the contractor who is remodeling or entering into remolding contract with a homeowner for a home that is build before 1978.

http://www.epa.gov/lead/pubs/renovation.htm

 

Each Remodeler has to hand the new EPA pamphlet called “Renovate Right” to their clients.

http://www.epa.gov/lead/pubs/renovaterightbrochure.pdf

When the rule took affect each firm that planned on working on homes built prior to 1978 must be certified and need to follow the EPA outlined work practices to prevent the lead contamination. All work completed on a home build before 1978 needs to be recorded and the contractor needs to test the area after clean up. The test has to match 100% to the EPA test card. When the test appears darker or dirtier than the card, the clean up must be repeated. In the new ruling, a contractor must use only equipment with a HEPA filter (example: grinder/sander). Also, a remodeler should not use a high-heat gun that exceeds 1100F.

Last but not the least a contractor needs to post warning signs for occupants and visitors and establish a containment area using disposable plastic drop cloths and clean the work area with HEPA vacuuming and wet washing.

Just keep this in mind when you buy your investment properties and you perform any restorations.

buying, commitment, Communication, education, Inspiration, planning, Team work

Selling your home to today’s buyer.

1 Comment

familyWhen you thinking of selling your home you should not only make it shine from the inside and out, you should think about what type of buyer is in the market. It also depends what type of buyer would be looking at your house in the area where you are located.  For example you will not see young buyers in a 55 and over neighborhood.

61% of today’s buyers are between 20 and 48 years old, 30% of the buyers are boomers, and the other 9% are the 68 and older generation. The younger buyer is attracted more often to the older homes. It might be due to pricing or they might not be turned off by having to make possible renovations or updates. Where the boomer generation is ready to retire and they are looking at homes that don’t need such repairs. While most of the buyers that are under 60 are attracted to the single family freestanding rather than the condo, the younger buyers are tending to look at connectivity and convenience to the job, shopping, entertainment, good schools, community, cost, and community conveniences.

Most all buyers regardless of what age group started their search for a new home online and very few contacted a mortgage professional. However, most of them purchased their home with the help of a real estate professional.

There is nothing you can do about the location of your home but you should consider who you are selling to and decide whether or not to update your home prior to selling. When you don’t make any renovations or updates to your home be prepared to attract a first time buyer who is not willing to pay much for the home compare to a buyer that is willing to pay a close to full price when your home is renovated and updated.

buying, commitment, Communication, education, Inspiration, planning, Team work

Many homeowners are becoming first time investors

Leave a comment

office_deskWith low mortgage rates and still many “want to be homeowners” not being able to buy a property, the rental market is still a great investment for someone who is considering getting into the rental market. There are also many homeowners, who when buying their move-up house, see the opportunity to offer their previous home for lease rather than selling, and often rent it out for more than their current mortgage payment.

2014 shows great signs that it could become a strong buying market. The huge difference between buyers from 2012/2013 to a 2014 buyer is that today’s buyer is a much more patient buyer. When the house is not priced right they are willing to postpone the purchase and wait until the price is within the range for which they are willing to work. When the house would sell at a price higher than they were willing to pay, they have no trouble moving on and looking for the next opportunity. The 2014 buyer is not falling in love with the house they are falling in love with the deal. And when the deal is not right they move on.

Buyers are worried about the low inventory and that is what has taught them to be patient and wait for their right deal to come across their desk.

What does this mean for a seller?

Just putting your house on the market and hoping it will sell will no longer be enough. Your home has to be the seductresses to attract buyers and it needs to be priced right. Today’s buyer is well informed through the use of the internet and with the help of their buyer’s agent. When a property is priced to high they are more than willing to walk away and wait for the seller to lower their price. They are not in the mood to deal with long negotiations.

buying, commitment, education, tips

Freddie Macs perspective on multifamily housing

Leave a comment

House and Keys in Female HandsIt looks as though Freddie Mac has a positive outlook for multifamily housing in 2014. The expectation is that the rents and vacancy rates will keep up with the average growth momentum and for some of the more depressed areas to improve.

Here is the full Freddie Mac 2014 Multifamily outlook (PDF).

In their opinion a strong employment growth has fueled a strong demand for multifamily housing. I do not agree with this assessment. Many past homeowners who lost their home between 2009 and 2012/13 have been the main fuel for the growth in multifamily housing.  Many of the families are still not able to afford buying and many were forced to move in together due to the lack of income of either the parents or kids.

I do see continued growth of the multifamily market sector and the single family sector is beginning to improve.

buying, commitment, Communication, education, Inspiration, organizing, planning, tips

Vacation time is a great time to scope out retirement areas.

Leave a comment

DSC_0002This winter has been brutal and ruthless to all of us and we are seeking the warmth and relaxing times of spring break, or just a plain vacation.

Many of us who are in the colder climates are talking about retiring in a warmer area but many just don’t take action until the clock hits 5 minutes until noon.  How about getting an earlier start on choosing places where you think you may like to retire and vacationing there to so you can see what they are like ahead of time.

A retirement area may look great in their advertising but as soon as you take a weekend or longer to spend time in the area you might find out that it is really not as good as you had hoped. It happened to me. I picked an area that sounded like it might be a great spot to retire. They had a lot to offer and many things to do so I decided to spend a weekend there to scope things out. I discovered that the traffic in the area, even in an off season, is so horrendous that even going to the grocery store just down the road would take over 3 hours.

You might also find out that home prices are affordable but the overall cost of living is much higher than advertised. Things like this you only find out when you spend time in the area and see what they are not telling you.

Another example I can think of right now is an area that is located at the Atlantic. I visited another beautiful historical area but found out the hard way with my dog at the veterinarian clinic that the area is heavily infested with flees. Dealing with this would be a constant battle. Do you think you find this out by just looking at pictures? No. You have to go there and find out for yourself or find someone who has already been there and are willing to tell you.

When you find an area you like, you might want to return several times for vacation and scope out areas where you may like to buy or rent a home. Just be sure to visit the area during different times of the year. This will give you a more well rounded picture of the area.