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Green cleaning secrets

This article is by Terri Bennett, veteran TV meteorologist, eco-expert and author of "Do Your Part: A practical guide for everyday green living" available at DoYourPart.com

Spring is here and that means it’s time for a good spring cleaning. Instead of bringing in chemical cleaners to do the dirty work, opt for a deep, green clean. Using safer cleaning products helps create a healthier home and a healthier family. Today, I’m sharing my top seven green cleaning secrets to help you do your part for your environment.

1. White Vinegar Works Wonders
White vinegar is a natural disinfectant that works just about everywhere. Mix a 50/50 solution of vinegar and water for a germ-busting disinfectant to clean kitchen counters, bathrooms, and most floors. You can bring this mixture to a boil in the microwave to loosen stuck on food and grease. And 1 cup of vinegar to the dishwasher in order to clean its inner workings. One warning: don’t use vinegar on marble or other porous surfaces.

2. Baking Soda Solutions
Baking soda works well on most things in the kitchen because it doesn’t scratch. That makes it a good choice for countertops, oven tops, stainless steel, and the sink. If you have stubborn stains, use a baking soda paste of three parts baking soda and one part water. Let it sit for a while, scrub the area, and then wipe clean.

3. Tackle Bathroom Blues with Borax
Borax is an effective mold killer and works well on hard water deposits. Use a paste to scrub the sides of the tub to a sparkling white, or mix a solution of one cup borax with one gallon of hot water to eat away at mold in tile grout. In addition, a cup of borax left in the toilet bowl overnight leaves it fresh and clean.

4. Chose Air Fresheners That Don’t Pollute
Many popular air fresheners contain a host of man-made chemicals that can contribute to indoor air pollution and the manufacturers aren’t required to list the ingredients on the label. These “air-fresheners” can actually leave dangerous levels of hormone disrupting phthalates or formaldehyde (a known carcinogen) behind. Fresh air, baking soda (sprinkled in everything from garbage cans to tennis shoes), soy candles, or essential oils are healthier options.

5. Green Your Laundry Routine
Green up laundry day by switching to a phosphate-free plant-based detergent. For softer clothes add ¼ cup of vinegar to the rinse cycle as a natural fabric softener (use less for HE machines). The smell of vinegar disappears as the clothes dry.

6. Break the Paper Towel Habit
You can wean your family off paper towels by keeping a drawer of reusable cloths nearby. Whether you choose kitchen towels, washcloths, or cut up old t-shirts, the key is in quantity. Make sure you have plenty of options on hand for wiping down the counters or cleaning up an unexpected coffee spill.

7. Safely Dispose of Household Hazardous Waste
Household hazardous waste refers to items such as old paints, chemical cleaners, used motor oil, and more. These items should never be thrown in the trash where they can contaminate our air, land, and water. Locate a full service recycling facility in your area by using the search engine at Earth911.com.

When you spring clean this year, there’s no need to pollute your home or the planet. Instead, find non-toxic solutions to tackle every project on your list. You can find a complete list of green cleaning recipes at DoYourPart.com/Columns along with my must-have items for every green cleaning kit. It’s an important way to Do Your Part for the environment and your family.

11:51 AM - May. 20, 2012 - comments {0} - post comment

Hot new home designs

The hottest design trends in new homes this year incorporate creative use of materials, layouts and features that provide maximum utility and beauty while being cost-conscious at the same time, according to the National Association of Home Builders (NAHB). In celebration of April’s New Homes Month, NAHB shares the following top trends highlighted by leading home builders and architects during the International Builders’ Show in Orlando, Fla., this past February:

-Reworked Spaces: New homes are being designed to allow plenty of space for family interaction in high-traffic areas such as the kitchen, and to eliminate rooms such as formal dens and home offices that aren’t frequently used. Small spaces devoted to home management, also known as “pocket offices,” are being included in large pantries or spaces nearby the kitchen or family great room. Window seats and alcoves are being used to provide an area for private time, without taking up a lot of space. A popular and efficient location for laundry facilities is now added onto the master bedroom’s walk-in closet.

-Expanded Amenities: Multifamily development designs are increasing the number of resident amenities in order to compensate for smaller unit sizes. Gyms and media rooms have been common for years, but facilities such as libraries and business lounges with individual workspaces are now being offered as well.

-Multigenerational Living: Many families are all living under one roof due to increasing cultural diversity and the state of the economy during the past few years. New single-family home designs reflect this with “shadow” units that are built alongside a home, or separate living units that access the main floorplan through a door, or homes with at least two master suites—often with one located on the ground floor to be more accessible for elderly occupants.

-More Impact, Less Cost: Rectangular home designs are more cost effective, so new homes no longer have the formerly-popular feature of multiple roof lines or the resulting unnecessary interior volumes they created. But home designs now include innovative modifications that are still visually stimulating, such as using two windows in a corner with mitered glass to allow unobstructed views and maximum light to come in. Another example is using a mix of materials in the home’s façade such as metal, wood and stone to give the home a modern look.

The latest new home design trends that support modern lifestyles are just one of the many reasons to buy a newly-constructed home. Safety, energy efficiency and near record-low interest rates and competitive prices make today’s new home market an attractive opportunity for many families.

11:48 AM - May. 18, 2012 - comments {0} - post comment

Getting custom home builder references

This article is by John Kurowski of Kurowski Development Co.

You just left an impressive presentation with a professional homebuilder, one among the few you're considering for your new home project.

In addition to a brochure about his business and highlights of his recent work and the communities in which he builds, he provided you with a list of recent homebuyers for you to call or email to ask about his quality, ethics, skill, and professionalism.

Now the ball's in your court to actually reach out to those references and gain some valuable inside knowledge about your builder before you consider negotiating and signing a contract for your project.

But what to ask? For many prospective homebuyers, we suggest a few questions to solicit the kind of information that will help them make an informed and confident decision. Of course, you may have your own agenda and priorities, which we encourage; if you need them, these questions just may help get the conversation going.

1. Was the company easy to work with? Ask how the builder managed communication with the buyers before and during construction, ideally through one point of contact (typically the site supervisor) with the authority to make or negotiate decisions as opposed to a bureaucratic quagmire that is frustrating and confusing.

2. Was the jobsite clean? The best builders leave the job site clean at the end of each day. They sweep and haul their trash away, store or take their tools, and stack their materials. Not only does the jobsite look good (as good as anything can under construction), but also is one that's safer should the owners want to check out the progress of the job on their own after work.

3. Did they finish on time? Finishing on time reveals the builder's commitment and organizational skills. If the answer is "no," dig a little deeper into why; it may be that the owner made changes that caused some delays, or that bad weather was an unavoidable factor.

4. Did they finish on budget? Like finishing on time (or within the owner's expectations), finishing on budget indicates a builder's organizational and business acumen, specifically his cost-estimating skills. If the answer is "no," ask why and look for clues about change or special orders by the owners that may have been outside the scope of the original budget, or if the builder neglected to calculate a cost and tried to make the owners pay for it at closing.

5. Did they disappear after move-in? Perhaps a new-home owner's biggest worry is what happens after they close escrow and move in. A builder who has been available to answer questions and respond to reasonable warranty issues is an important indicator of a builder's long-term commitment to the quality of his homes and the ultimate satisfaction of their owners.

This handful of questions probably does not satisfy all of your needs, but it's a start and often will inspire more questions that further reveal whether the builder you're considering is one you can trust and rely on to do the job right.

11:40 AM - May. 16, 2012 - comments {0} - post comment

Homeownership deductions and credits

According to NPR, more than half the nation saw a spike in foreclosures last month. With more and more homeowners facing foreclosures, experts at The Tax Institute at H&R Block offer the following information on credits and deductions, which can provide assistance to individuals prior to and after this unfortunate circumstance.

• Mortgage Debt Forgiveness: homeowners who experienced foreclosure on their primary home may be able to exclude the amount of canceled debt from their taxable income if they meet specific criteria.

• Mortgage Interest Deduction: taxpayers are eligible to deduct qualified mortgage interest on their main home and a second home if they itemize deductions on Schedule A.

o They must be legally liable for repayment of the loan to deduct the loan interest.

o For 2011 filings, taxpayers who could not pay at least 20 percent of their down payment may have been required by their lender to pay for private mortgage insurance (PMI). If the taxpayer qualifies, the PMI may be deductible as mortgage interest.

• Real Estate Taxes: homeowners are able to deduct real estate taxes separately from mortgage interest on Schedule A and from property taxes.

• Non-Business Energy Property Credit: taxpayers may claim energy-efficiency credits for up to 10 percent of the cost of various home energy-efficiency improvements.

• Residential Energy Efficient Property Credit: a nonrefundable personal credit is available for property used to produce energy in a personal residence located in the US .

o The credit is also available for wind energy property and geothermal pumps.

o Real estate taxes must be based on the home’s value and assessed at least annually.

11:37 AM - May. 14, 2012 - comments {0} - post comment

Investment and vacation home sales surge

This article is from the National Association of Realtors.

Sales of investment and vacation homes jumped in 2011, with the combined market share rising to the highest level since 2005, according to the National Association of REALTORS®.

NAR’s 2012 Investment and Vacation Home Buyers Survey, covering existing- and new-home transactions in 2011, shows investment-home sales surged an extraordinary 64.5 percent to 1.23 million last year from 749,000 in 2010. Vacation-home sales rose 7.0 percent to 502,000 in 2011 from 469,000 in 2010. Owner-occupied purchases fell 15.5 percent to 2.78 million.

Vacation-home sales accounted for 11 percent of all transactions last year, up from 10 percent in 2010, while the portion of investment sales jumped to 27 percent in 2011 from 17 percent in 2010.

NAR Chief Economist Lawrence Yun says investors with cash took advantage of market conditions in 2011. “During the past year investors have been swooping into the market to take advantage of bargain home prices,” he says. “Rising rental income easily beat cash sitting in banks as an added inducement. In addition, 41 percent of investment buyers purchased more than one property.”

Yun says the shift in investment buyer patterns in 2011 shows the market, for the large part, is able to absorb foreclosures hitting the market. “Small-time investors are helping the market heal since REO (bank real estate owned) inventory is not lingering for an extended period. Any government program to sell REO inventory in bulk to large institutional companies should be limited to small geographic areas. Even where alternatives are needed, it’s best to rely on the expertise of local businesses, nonprofit organizations and government,” he says.

All-cash purchases have become fairly common in the investment- and vacation-home market during recent years: 49 percent of investment buyers paid cash in 2011, as did 42 percent of vacation-home buyers. Half of all investment home purchases in 2011 were distressed homes, as were 39 percent of vacation homes.

“Clearly we’re looking at investors with financial resources who see real estate as a good investment and who aren’t hesitant to use cash,” Yun says. Of buyers who financed their purchase with a mortgage, large downpayments were typical. The median downpayment for both investment- and vacation-home buyers in 2011 was 27 percent.

“Given the tight credit in recent years, many would-be normal home buyers for owner occupancy declined,” Yun says.

The median investment-home price was $100,000 in 2011, up 6.4 percent from $94,000 in 2010, while the median vacation-home price was $121,300, down 19.1 percent from $150,000 in 2010.

Investment-home buyers in 2011 had a median age of 50, earned $86,100 and bought a home that was relatively close to their primary residence—a median distance of 25 miles, although 30 percent were more than 100 miles away.

“The share of investment buyers who flipped property remained low in 2011, and many of those homes likely were renovated before reselling,” Yun says. Five percent of homes purchased by investment buyers last year have already been resold, up from 2 percent in 2010. The typical investment buyer plans to hold the property for a median of 5 years, down from 10 years for buyers in 2010.

The typical vacation-home buyer was 50 years old, had a median household income of $88,600 and purchased a property that was a median distance of 305 miles from the primary residence; 35 percent of vacation homes were within 100 miles and 37 percent were more than 500 miles. Buyers plan to own their recreational property for a median of 10 years.

Lifestyle factors have consistently been the primary motivation for vacation-home buyers, while the desire for rental income drives investment purchases. Vacation homes purchased last year were more likely to be in suburban or rural areas; investment homes were concentrated in suburban locations.

Eighty-two percent of vacation-home buyers said the primary reason for buying was to use the property themselves for vacations, or as a family retreat. Thirty percent plan to use the property as a primary residence in the future, and only 22 percent plan to rent to others.

Half of investment buyers said they purchased primarily to generate rental income, and 34 percent wanted to diversify their investments or saw a good investment opportunity.

Sixteen percent of vacation buyers and 14 percent of investment buyers purchased the property for a family member, friend or relative to use. In many cases the home is intended for a son or daughter to use while attending school.

Forty-two percent of vacation homes purchased last year were in the South, 30 percent in the West, 15 percent in the Northeast and 12 percent in the Midwest; 1 percent were located outside of the U.S.

Forty-four percent of investment properties were in the South, 23 percent in the West, 17 percent in the Midwest and 15 percent in the Northeast.

Eight out of 10 second-home buyers said it was a good time to buy. Nearly half of investment buyers said they were likely to purchase another property within two years, as did one-third of vacation-home buyers.

Currently, 42.1 million people in the U.S. are ages 50-59—a group that has dominated second-home sales since the middle part of the past decade and established records. An additional 43.5 million people are 40-49 years old, while another 40.2 million are 30-39.

“Given that the number of people who are in their 40s is somewhat larger than the 50-somethings, the long-term demographic demand for purchasing vacation homes is favorable because these younger households are likely to enter the market as their desire for these kinds of properties grows, and individual circumstances allow,” Yun says.

NAR’s analysis of U.S. Census Bureau data shows there are 8.0 million vacation homes and 42.8 million investment units in the U.S., compared with 75.3 million owner-occupied homes.

NAR’s 2012 Investment and Vacation Home Buyers Survey, conducted in March 2012, includes answers from 2,241 usable responses about home purchases during 2011. The survey controlled for age and income, based on information from the larger 2011 NAR Profile of Home Buyers and Sellers, to limit any biases in the characteristics of respondents.

11:29 AM - May. 12, 2012 - comments {0} - post comment

The economy is on the rise

This article is by David A Lereah, president of Reecon Advisors.

It is becoming increasingly clear that the U.S. economy is improving, creating a more favorable backdrop for residential real estate investment. Our nation’s economy is kicking into second gear; monthly job gains have exceeded 200,000 for three consecutive months, providing the necessary fuel to create modest economic growth. An improving economy translates into positive wage growth, boosting consumer confidence which in turn, boosts home buying.

Sales of existing homes registered 4.59 million annualized units in February, reflecting a housing recovery that began in mid-2011. Similarly, sales of new homes registered 313,000 annualized units in February, compared to 295,000 annualized units in July of last year. Home sales are firming as job growth has stepped up over the past half year. In addition, housing affordability remains high due to historic low mortgage rates, creating pent-up demand for homes. This provides a favorable long term outlook for future property values, creating opportunities for investors.

The current U.S. foreclosure situation has created unprecedented property acquisition opportunities. I expect about 1 million residential properties will move from delinquency into REO in 2012, returning to levels experienced before the robo-signing slowdown. This should keep property values down for investors seeking discounts on foreclosures and short sales throughout most of this year. The combination of distressed property price discounts in the near term, relatively strong rent growth and improving property values (due to improving housing conditions) in the longer-term, bodes well for residential property investors.

Regionally, Florida’s housing situation represents one of the most favorable residential property investment markets in the nation. Many existing Florida homeowners possess underwater mortgages and have struggled to stay current on loan payments. This has generated a serious distress property sale situation in Florida- perhaps even worse than the dire foreclosure situations in Arizona and Nevada. In addition, Florida has a large backlog of foreclosures because the foreclosure process takes longer in Florida than it does in most other states.

Florida home values have plummeted almost 50 percent since the meteoric highs of the housing boom in the mid-2000s. Since Florida is a primary “destination” for baby boomers seeking retirement/vacation homes, the outlook for long-term property demand is favorable. Florida property values are projected to stay depressed or just modestly rise over the next year. However, when Florida’s foreclosure situation bottom’s out, relatively strong housing demand due to the state’s “destination” tag, is expected to raise home values over a longer-term investment horizon (5 years and greater).

Looking forward, the outlook for our nation’s housing markets is brighter than it has been for some time, but the housing recovery will proceed at a slow pace. The upward trend in existing and new home sales over the past six months has been modest relative to the plummet in sales between 2005 and 2009. Downside risks for housing are lessening, but high gas prices, troubles in the euro zone, and the potential for rising mortgage interest rates still muddy the outlook. In summary, 2012 offers favorable investment opportunities to investors seeking competitive annual returns (rents) and significant price gains over a longer term time horizon.

11:20 AM - May. 10, 2012 - comments {0} - post comment

Commuting by bike

Ths article is by Terri Bennett, a veteran TV meteorologist, eco-expert and author of “Do Your Part: A practical guide for everyday green living” available at DoYourPart.com

Do you wince when you fill up your gas tank? Don’t expect the pain at the pump to end anytime soon. That makes it the right time to grab your bike and use it to get to work and run errands. You’ll save money and Do Your Part for the planet at the same time. To make sure you have everything you need to get started, I’m collaborating with Ellen Stoune, former president of the Rock Hill Bicycle Club in South Carolina to share our “Top 7 Secrets to Commuting by Bike.”

1) Ride the Right Bike

The right bike will make all the difference in the world. There are simple mountain bikes or ones made with commuting in mind. You can find ones that will have everything from chain guards to fenders to hardwired lights. There are even bikes with skirt guards so you can wear your favorite dress or skirt without worry.

2) Ride Responsibly

In places where there are no designated bike lanes, position yourself as far to the right as is practical. And, be on the watch for the so-called “door zone” with cars parked on the street. That’s the space where drivers open up their doors that can cause serious injury to cyclists. Try not to ride on sidewalks that are for pedestrians or on the left side of the street where drivers may not see you.

3) Select Safety Accessories

A bike mirror mounted on your left handlebar will be your best friend. You can use it to scan traffic behind you. Another good idea is a set of lights for the front and rear. If you’re going to be riding early in the morning, at dusk or at night, lights are mandatory as it is almost impossible to see a bike clearly during these times. You’ll also want to invest in a bike lock.

4) Research Your Route

Your usual way of getting someplace by car may not be the safest way to go by bike. A higher level of comfort will only come with time and experience so if you are new to commuting by bike, plan your route carefully. Goggle maps offer a fantastic tool for this that factors in your mode of transportation and will filter out bike unfriendly roads.

5) Stash Your Stuff

You’ll also need some way to carry your stuff. Backpacks or messenger bags are good options especially ones with a waist strap. You could also use a basket or rear racks. You might be surprised to see how much you can actually transport with the right equipment.

6) Use a Helmet

Make sure your helmet fits properly. It should be snug but comfortable and the bottom edge of the helmet should be two finger widths above your eyebrow. And remember, ones with more vents are better in the summer and less vents will make you more comfortable in winter.

7) Stay Strong

At some point, somebody is going to tell you that you are crazy for using a bike to get around. Keep in mind that they are the ones paying those shocking gas prices. You, on the other hand, are Doing Your Part by reducing your dependence on foreign oil and contributing less pollution to our planet.

11:17 AM - May. 8, 2012 - comments {0} - post comment

The beauty of natural light

This article is by John Kurowkski of Kurowski Development Co,

Walk into most new homes and you'll notice a big difference from many older homes: an abundance of natural light. In older homes, poor thermal performance forced builders to scale down the size of windows and glass doors.

Today's builders, however, are able to maximize the capture of natural light by taking advantage of advanced technologies and materials, a wider range of sizes and styles, and a number of new products and creative applications.

For clients who prefer a modern look, glass walls can be used to maximize natural light. For those preferring traditional housing design, professional builders usually work within historic housing forms to increase interior natural light. Window manufacturers have helped this effort by providing a wide variety of products to match traditional house styles.

For example, a roof window (or series of these units) over the center of the kitchen can bring in a tremendous amount of natural light without having an adverse impact on a traditional façade. This is especially true if that room is on the back or side of the house and thus out of view from the street. Unlike skylights, roof windows can open to vent stagnant or hot air and odors. They have a flat design, only slightly raised above the roof finish, which further reduces any intrusive appearance.

For smaller interior rooms, such as a water closet, walk-in shower, or storage area, traditional approaches to bringing in natural light are almost impossible, or at least impractical. Tubular skylights offer a solution. From a small, unobtrusive opening in the roof, light enters a tube lined with mirrors and reflective material that magnify available light into the room below. These small devices pour large quantities of light into tight spaces, making them feel more spacious and comfortable.

Fixed or operable transom windows may also be used to bring natural light into interior rooms. Set above passage doors to bedrooms and bathrooms or even in interior walls, transom windows can carry natural light from rooms on the outside perimeter into otherwise dark, inner spaces.

A kitchen backsplash can be used creatively to increase natural light. Glass block or fixed panes of glass may be installed in the space between the countertop and the wall cabinets. Light is brought onto the work surface without sacrificing kitchen cabinets for a large window expanse.

When homeowners prefer traditional architectural styles, experienced home builders will assist homeowners with design and product solutions, made easier with the wide array of technologically advanced windows now available. With new products to choose from and some creative design work, homeowners are able to enjoy both their home style of choice and the aesthetic and cost-saving benefits of natural light.

5:36 PM - May. 6, 2012 - comments {0} - post comment

Real estate market improving

This article is from ReMax.

For the first time in 18 months, home prices in February rose higher. With a median price of $171,881, prices in the 53 cities surveyed by the RE/MAX National Housing Report rose by 1.1% over February 2011.

Home sales were even higher, up 8.7% from one year ago. With a positive sales trend of 8 straight months above the previous year, it’s looking like 2012 will witness a very strong home-selling season, RE/MAX reports. As a result of reduced foreclosure activity, inventory continued a downward trend for the 20thstraight month, 22.4% lower than the housing inventory in February 2011.

Consumer sentiment appears to be rising, and record low mortgage rates coupled with favorable home prices are attracting homebuyers and investors who don’t want to miss a historic opportunity.

“All the data is pointing to a very active spring and summer selling season this year, which is great news for a recovering housing market,” said Margaret Kelly, CEO of RE/MAX, LLC. “As sales numbers have trended higher for several months, we have been anticipating a turnaround in home prices, and it looks like it’s finally starting.”

Home Sales in February were 8.7% higher than sales in February 2011. This was the 8th straight month year-to-year sales have risen. February home sales were also 8.1% higher than sales in January. Of the 53 metro areas included in the survey, 45 saw increases over February last year and an impressive 26 metro areas saw double-digit jumps, including: Albuquerque, NM +46.6%, Providence, RI +36.7%, Raleigh, NC +33.8%, Boston, MA +30.5% and Chicago, IL +27.5%.

Median Sales Price

The Median Sales Price of homes sold in February was $171,881. This price represents a 1.4% increase from January, and a 1.1% rise from the median price seen in February 2011. February is the first time in 18 months that the year-to-year home price has increased. Of the 53 metro areas included in the February survey, 24 experienced price increases from February 2011, including: Miami, FL +20.5%, Orlando, FL +15.8%, Phoenix, AZ +12.5%, Tampa, FL +11.1%, St. Louis, MO +9.8% and Detroit, MI +8.9%.

Dayson Market–Average of 53 Metro Areas

The average Days on Market for properties sold in February was 103, the same as for the month of January, and the same average seen in February 2011. Only two months in the last 12 months saw a Days on Market average below 90: July and September both reported 88. Days on Market is the number of days between first being listed in an MLS and when a sales contract is signed.

Months Supply of Inventory–Average of 53 Metro Areas

In the month of February, the average inventory of homes-for-sale in the 53 surveyed metro areas dropped 0.8% from January and also dropped 22.4% from February 2011. Month-to month inventories have now fallen for 20 consecutive months. Given the current rate of sales, and the size of the active inventory, the resulting Months Supply is 6.6 months, a drop from the 7.3 month supply seen in January, and significantly lower than the 9.3 month supply reported in February 2011. Months Supply is the number of months it would take to clear a market’s active inventory at the current rate of sales. A six-month supply is considered a balanced market between buyers and sellers.

5:32 PM - May. 4, 2012 - comments {0} - post comment

For new homeowners - money saving ideas

This article is by Danny Lipford and Honeywell.

Turning the key in a lock that no landlord has access to, playing football in your own backyard and painting your living room bright yellow— what could be more exciting than making the jump from renter to first-time homeowner? Getting swept up in all the excitement is a wonderful feeling but then comes the scare of “what should I do now?”

 Right now is the perfect time to walk through a checklist of ways to make your home (and wallet!) comfortable right from the get go.Veteran contractor and home expert, Danny Lipford, has teamed up with Honeywell to offer added comfort and money savings tips for new homeowners.

Here are few tips:

DIY Safety
Volatile Organic Compounds (VOCs) are harmful gases that can be emitted by some paints, solvents, cleaners, adhesives, furniture, and shelving. When using products that contain high levels of VOCs, open windows or, better yet, turn on an air purifier that has a VOC pre-filter to help remove VOCs from the air that passes through the unit.

Things Are Heating Up!
Set back your thermostat about 10 degrees when you’re away from home for 8 hours or more. You could shave as much as 10 percent off of your energy bill without sacrificing comfort. When you are at home, try turning down the thermostat a few degrees and use a portable heater in the rooms you are in the most. You’ll save money and stay warm!

Quench Your Thirst
Don’t forget homes need water too—that’s where humidifiers help. Humidifiers offer solutions during the dry winter months to help protect valuable wood furniture from drying out and cracking and prevent wood floors from buckling and separating.

Dormant Dust?
Pollutants like dust and mold that settle in the home can be attributed to poor air circulation. A whole room fan should be used to ventilate the home properly.

12:53 PM - May. 2, 2012 - comments {0} - post comment

Recouping your renovation dollars

This article is from National Association of Home Builders.

Homeowners are ready to make 2012 a banner year for remodeling and the latest cost-for-value research suggests that getting the most bang for every buck is more important than ever.

The Remodeling Market Index (RMI) hit a five-year high at the end of 2011, indicating that residential remodeling should continue to grow in 2012, according to panelists at a press conference at NAHB’s International Builders’ Show. After a slow start, home improvement spending is expected to trend up later this year, according to the Leading Indicator of Remodeling Activity (LIRA) released by the Remodeling Futures Program at the Joint Center for Housing Studies of Harvard University. If this momentum continues to build during the second half of the year, remodeling activity is on course to end 2012 on a positive note.

However, consumers want to get the most for their money.

Remodeling Magazine’s annual Cost vs. Value report for 2011-2012 found that the trend right now is replacement over remodeling—swapping out the old for the new rather than doing a total gut job, which can be much more costly. Exterior replacement projects—such as new garage doors and a new entry door—offer some of the best returns at resale, allowing home owners to recoup close to 70 percent or more of the costs of the project at times of resale.

The following are the top, mid-range projects from this year’s report, based on what home owners stand to recoup at time of resale:

1. Replacing the entry door to steel
Estimated cost: $1,238
Cost recouped at resale: 73 percent

2. Attic bedroom (converting unfinished attic space into a bedroom with bathroom and shower)
Estimated cost: $50,148
Cost recouped at resale: 72.5 percent

3. Minor kitchen remodel (including new cabinets and drawers, countertops, hardware, and appliances)
Estimated cost: $19,588
Cost recouped at resale: 72.1 percent

4. Garage door replacement
Estimated cost: $1,512
Cost recouped at resale: 71.9 percent

5. Deck addition (wood)
Estimated cost: $10,350
Cost recouped at resale: 70.1 percent

6. Siding replacement (vinyl)
Estimated cost: $11,729
Cost recouped at resale: 69.5 percent

12:51 PM - Apr. 30, 2012 - comments {0} - post comment

Turn that spare bedroom into a craft room

This article is by Lowes.

Here’s a great way to turn a spare bedroom into a special craft room that’s free of clutter and full of inspiration.

Problem: The homeowner is an avid quilter who uses a spare bedroom as a craft room. Unfortunately, the room lacked the necessary work surfaces and storage options for her craftwork. Plus, it featured drab decor that wasn’t conducive to creativity.

Solution: We outfitted the room with copious counter space to keep the work area open, added affordable cabinetry to keep everything in its right place, and used clean, airy colors to keep the creative juices flowing. The result? A functional and inspirational workspace and a very happy homeowner.

Work Center
Abundant counter space provides a sizable, solid work surface for any craft project. For this work station, we used affordable laminate countertop. For storage, we painted and installed in-stock, unfinished cabinetry and drawers that offer big space at a small price. The room also boasts a wall-mounted ironing board that stays up and out of the way when not in use—and new, airy wall colors to foster a more creative atmosphere.

Cabinets feature handy pull-out drawers and waste containers installed for easy access. We also replaced the room’s original carpet with cost-effective laminate flooring that makes clean-up simple.

Sewing Station
The sewing station’s laminate countertop offers plenty of room to work, and features an opening in the back so fabrics can flow freely rather than getting bunched up by the wall. The workspace also includes cabinets galore, some without doors for visual variety and a high-end look, and under-cabinet lighting so you can see while you sew.

Closet Organizer
Who knew closet organization systems could work so well outside the bedroom? Home Options closet organizer kits helped corral the clutter with ample space to contain fabrics, notions, pillows and more, while still leaving space for a flat-screen TV. They are easy to install and adapt to meet your storage needs.

Step 1: Before installing a closet organization system, remove all items from the closet, including shelves and hanging rods. Home Options closet organizer kits come in 18-inch, 27-inch, and 36-inch widths. Measure your closet to determine the best size for your space.

Step 2: Assemble starter kits, following the manufacturer’s instructions, and place in the closet.

Step 3: Choose from a variety of add-ons, drawers, shelving units, etc., to customize the system for your specific crafting needs.

12:46 PM - Apr. 28, 2012 - comments {0} - post comment

Short sales - the devil is in the details

This article is by George “Gee” Dunsten, president of Gee Dunsten Seminars, Inc., who has been a real estate agent and broker/owner for almost 40 years.

Short sales are enjoying a much-needed resurgence as lenders become more motivated to move short sale transactions through the pipeline more quickly. While a lot of us think that banks are against short sales, the reality is, they just don’t have the time to handle the volume.

Following is a typical lender short sale package. When it comes to short sales, the devil is truly in the details.

Required Items: Before the Sales Contract
1. Cover letter
2. Table of contents (this lets the lender know right away that everything they need is included)
3. Third-party authorization
4. Seller’s tax returns from the previous two years
5. Seller’s bank statements from the previous two months (six months is even better)
6. Most recent paystubs
7. Seller’s hardship letter
8. Bank worksheets (financial situation)
a. Current
b. Projected in next three months
c. Projected in next six months
9. Listing agreement

Required Items: After the Sales Contract
10. Necessary short sale addendums
11. History of listing – market report
12. Sales activity report
13. Local community economic report
14. CMA/absorption rate
15. Sales contract
16. HUD-1
17. Buyer’s pre-approval letters
18. Earnest money verification
19. Damage report with photos
20. Carry cost estimate
21. Agent personal letter

By providing banks with the right information the process will be shorter and much easier on everyone.

12:40 PM - Apr. 26, 2012 - comments {0} - post comment

Upgrade your laundry room

This article is by Prudential Sterling Properties.

One of the most dreaded chores around the house is laundry. Maybe that’s why when selling a house, the laundry room is one of the most forgotten areas to get in shape. The machines are often dusty, with detergent dripping down the sides and lint and old socks on the floor.

Yet it’s an area that doesn’t take too much time to clean and can really make a difference when showing your house to prospective buyers.

The easiest way to make a statement with a laundry room is by adding more energy-efficient washing machines and dryers. Recent statistics by the U.S. Department of Energy show that installing machines with the ENERGY STAR label will decrease water costs by up to 50 percent. There are also machines that automatically adjust the water temperature and the amount of water used for each load to prevent excess and waste.

Many new models are available with designer colors, pedestals and sleek designs, which can make a bold statement. When purchasing a new washer, you’re also going to need to choose between a front- or top-loading machine.

While a top-loading machine requires enough water to cover all the clothes in its drum, a front-loading washer needs only a third of that amount because its drum is set horizontally in the machine. It requires less water and allows for larger loads, and it looks great.

On the downside, a front-loading washer is more expensive and can develop mold because it doesn’t empty dirty water as efficiently as a top-loading machine.

When it comes to dryers, new sensor technology is the rage. Dryers with moisture sensors recognize when laundry is dry more quickly than traditional machines and shut down sooner. This saves energy, cash and wear and tear on your clothing.

The use of steam washers and dryers for greater energy and water efficiency is also a growing trend. Steam machines offer enhanced clothing-care options such as short, steam-only cycles that help to reduce wrinkles and remove odors from clothing without using water and detergent.

Laundry rooms used to be relegated to the basement, but today, people are finding space for washers and dryers in more convenient areas of the house like the kitchen or upstairs, near bedrooms. Housing experts agree that installing a laundry nook will raise the value of a home, and make it more convenient as hauling baskets of clothing up and down flights of stairs become a thing of the past.

12:36 PM - Apr. 24, 2012 - comments {0} - post comment

What happens when a lender forgives debt

This article is by NAR Real Estate Services Group.

A lender will, on occasion, forgive some portion of a borrower’s debt. The general tax rule that applies to any debt forgiveness is that the amount forgiven is treated as taxable income to the borrower. Some exceptions to this rule are available, but, until recently, the borrower was required to pay tax on the debt forgiven. A new law enacted in December 2007 provides relief to troubled borrowers when some portion of mortgage debt is forgiven. However, this relief expires on December 31, 2012 and NAR will be working to obtain an extension throughout the year.

Below is some general information you need to know about this law and cancellation of mortgage debt.

General Rule for Debt Forgiveness
If a lender forgives some or all of an individual’s debts, the general rule is that the forgiven amount is treated as ordinary income and the borrower must pay tax on the forgiven amount. Exceptions apply for bankruptcy, insolvency and certain other situations, including mortgage debt.

Current Law for Mortgage Debt
(Jan. 1, 2007 through Dec. 31, 2012): A borrower can be excused from paying tax on forgiven mortgage debt. The debt must be secured by a principal residence and the total amount of the outstanding obligation may not exceed the original mortgage amount plus the cost of any improvements.

Does the relief apply only to a sale?
No. The provision has broader application. Lenders might forgive some portion of mortgage debt in a short sale (when value at sale is less than the amount owed) or in a foreclosure where the debt is wiped out. In addition, if a borrower still living in the home is able to make an arrangement with a lender that reduces the principal balance of a mortgage, the amount forgiven in that workout will not be taxed.

Can the homeowners in a short sale or foreclosure claim a loss?
No. The loss is considered a personal loss and is, therefore, ineligible for either capital loss or ordinary loss treatment.

What happens to the seller when mortgage debt is forgiven?
Until January 1, 2013, the homeowner will pay no tax on any forgiven amount.

Does this provision apply to a refinanced mortgage?
Only in limited circumstances. The relief provision can apply to either an original or a refinanced mortgage. If the mortgage has been refinanced at any time, the relief is available only up to the amount of the original debt (plus the cost of any improvements). Tax relief is generally not available for second mortgages or home-equity lines of credit where the funds are not used for home improvement. Any amount that is not eligible for the relief provision will be taxed as ordinary income.

How does the homeowner get the correct information to the IRS?
The lender is required to provide the homeowner and the IRS with a Form 1099 reflecting the amount of the forgiven debt. The borrower/homeowner must file a Form 982 to reflect the amount forgiven and to show the reason why the forgiven amount is not taxable. Any taxable portion of forgiven debt will then be reported on the homeowner’s Form 1040 for the tax year in which the debt was forgiven.

What if a property declines in value but the owner stays in the house?
The provision would not apply. The provision applies only at the time of sale or other disposition or when there is a workout (reduction of existing debt) with the lender.

Do all lenders forgive mortgage debt when property values decline or the home is in foreclosure?
No. Some states have laws that allow a lender to require a repayment arrangement, particularly if the borrower has other assets. Forgiveness of debt is always at the lender’s discretion.

11:45 AM - Apr. 22, 2012 - comments {0} - post comment

New construction should also have an inspection

This article is by Pillar to Post Inspection Services.

Every home—whether it’s a resale or new—has some kind of an issue, and the reality is that there is no “perfect” house. Many homebuyers embark on their search for a home with the belief that new homes should be flawless, when this is never actually the case.

Problems are found in all homes, but the issues with new homes are totally different than the defects found in resale homes. When evaluating a resale home, most problems are often related to older systems that are near the end of their service life. On the other hand, problems in new homes typically involve incomplete work, damaged systems, missing pieces of key materials and imperfect workmanship.

Unfortunately, many people who purchase new construction homes put a lot of trust in their builder and opt not to perform a home inspection. REALTORS® can help their clients take a proactive approach to identifying underlying problems in new homes by recommending a reliable home inspection company that goes beyond the basics to provide thorough home inspections that catch even the smallest of problems. Hiring a home inspection company prior to the closing of a new home can help save homebuyers money and prevent headaches due to unexpected home repairs down the road.

New home construction problems primarily fall into four categories:

1. Incomplete work: Many new home construction projects aren’t completed properly. The incomplete work may be as simple as a layer of paint on a wall that was accidentally skipped, or a room that has no air ducting. In many cases, the unfinished or imperfect work isn’t detected until the homebuyer moves in. A home inspection company will uncover these issues prior to the move-in date.

2. Damaged systems and finishes: Homes often incur damage during construction as a result of rain, snow, impact damage and stacking and storage damage. An example of this is ducting that gets compacted under attic insulation.

3. Missing elements: Oversights during construction due to human error are more common than many REALTORS® and homebuyers think. For example, the construction team may have forgotten to install insulation in the attic. Taking a proactive approach to identify issues before moving in can prevent costly problems that could arise in the future.

4. Imperfect or sloppy workmanship: While perfect workmanship is ideal, it’s nearly impossible. In reality, any number of things can go wrong on the construction site of a new home. A contractor could get delayed by work on another site and has to hurry to finish the current home he’s working on; rain and other elements can damage a home before it’s closed in; tradesmen could be diverted to another site, etc.

Other common problems with new homes include interior and exterior finish issues, tile and floor damage, water damage, buckled siding, roofing issues and structural problems. All new homes should be inspected to uncover possible defects. Knowing upfront what issues might arise in the future can save homebuyers thousands of dollars in the long term. The most reliable way to uncover problems is by hiring an unbiased third-party home inspector.

1:28 PM - Apr. 20, 2012 - comments {0} - post comment

Streamlining your FHA mortgage

Recently, Acting Federal Housing (FHA) Commissioner Carol Galante announced significant price cuts to FHA’s Streamline Refinance Program that could benefit millions of borrowers whose mortgages are currently insured by FHA. Beginning June 11, 2012, FHA will lower its Upfront Mortgage Insurance Premium (UFMIP) to just .01 percent and reduce its annual premium to .55 percent for certain FHA borrowers.

To qualify, borrowers must be current on their existing FHA-insured mortgages which were endorsed on or before May 31, 2009. Late last month, FHA also announced it will increase its upfront premiums on most other loans by 75 basis points to 1.75 percent. In addition, FHA will raise annual premiums 10 basis points and 35 basis points on mortgages higher than $625,500.

“This is one way that FHA can make a real difference to help homeowners who are doing the right thing, paying their bills on time and want to take advantage of today’s low interest rates,” says Galante. “By significantly reducing costs for these borrowers, we can make certain they cut their monthly mortgage burden, which will benefit the housing market and the broader economy in the process.”

Currently, 3.4 million households with loans endorsed on or before May 31, 2009, pay more than a five percent annual interest rate on their FHA-insured mortgages. By refinancing through this streamlined process, it’s estimated that the average qualified FHA-insured borrower will save approximately $3,000 a year or $250 per month. FHA’s new discounted prices assume no greater risk to its Mutual Mortgage Insurance (MMI) Fund and will allow many of these borrowers to refinance into a lower cost FHA-insured mortgage without requiring additional underwriting. FHA-insured homeowners should contact their existing lender to determine their eligibility.

Last month, the Obama Administration announced a broad package of actions and legislative proposals to help responsible homeowners save thousands of dollars through refinancing. This includes the changes announced today that will benefit current FHA borrowers—particularly those whose loan value may exceed the current value of their home. By lowering monthly mortgage costs for home-owners, FHA hopes to help more borrowers stay in their homes, thereby decreasing the potential for future default and reducing losses to the Mutual Mortgage Insurance (MMI) Fund.

The changes outlined in today’s mortgagee letter apply to all mortgages insured under FHA’s Single Family Mortgage Insurance Programs except:
• Title I
• Home Equity Conversion Mortgages (HECM)
• Section 247 (Hawaiian Homelands)
• Section 248 (Indian Reservations)
• Section 223(e) (Declining Neighborhoods)

1:25 PM - Apr. 18, 2012 - comments {0} - post comment

Housing Affordability Index

^]Housing affordability conditions have reached the highest level since recordkeeping began in 1970, according to the National Association of REALTORS®.

NAR’s Housing Affordability Index rose to a record high 206.1 in January, based on the relationship between median home price, median family income and average mortgage interest rate. The higher the index, the greater the household purchasing power.

An index of 100 is defined as the point where a median-income household has exactly enough income to qualify for the purchase of a median-priced existing single-family home, assuming a 20 percent downpayment and 25 percent of gross income devoted to mortgage principal and interest payments. For first-time buyers making small downpayments, the affordability levels are relatively lower.

NAR President Moe Veissi, broker-owner of Veissi & Associates Inc., in Miami, says this latest data underscores buyer opportunities in today’s market. “This is the first time the housing affordability index has broken the two hundred mark, meaning the typical family has roughly double the income needed to purchase a median-priced home,” he said. “For buyers who can qualify for a mortgage, now is a very good time to become a homeowner.”

NAR projects the affordability index for all of 2012 will be at an annual high, with little movement in mortgage interest rates or home prices during the year. “Housing inventory levels have declined to a point where conditions are becoming much more balanced in much of the country,” Veissi said. “If access to credit improves, we could see a much more meaningful increase in home sales and broader stabilization in home prices with modest gains in areas with stronger job growth.”

1:21 PM - Apr. 16, 2012 - comments {0} - post comment

Universal Design

This article is by John Kurowski of Kurowski Development Co.

Universal Design, or UD, is an architectural practice that allows occupants of all ages and capabilities to live independently and comfortably over a long period of time in the same house.

Thanks to changing demographics, UD is gaining mainstream acceptance. In addition to Baby Boomers looking for well-designed conveniences as they enter their retirement years, an increasing number of multigenerational and blended families (now one-third of all households) seek new homes that accommodate a wide range of ages and capabilities.

Done well, the UD elements of a new home are subtle, almost undetectable ... until you need them. Then you'll thank your builder for having the forethought and concern for your needs, whether for a young child, an elderly parent, or someone recovering from a short-term injury or long-term disability.

While you may have to look closely, here are some strategies that incorporate good universal design:

Wider hallways and doors. It doesn't take much square footage and certainly no more construction time or cost to design and build slightly wider hallways and doorways. Not only does that subtle change make a home feel larger and more comfortable, but also easier to navigate.

Cabinet features. Long desired for bigger base cabinets, pull-out (or roll-out) shelves are an increasingly popular option for tall and upper wall cabinets, making their contents more visible and accessible. Regardless of age or physical capabilities, accessories such as lazy susans, door shelves, slotted drawers, and flip-down fronts enhance the storage capacity and accessibility of kitchen cabinets and bath vanities. Soft-close drawers, meanwhile, protect against pinched fingers.

Hard-surface flooring. Yes, it's slightly more expensive than wall-to-wall carpeting, but a combination of hardwood, polished flat tiles, colored concrete, and resilient floor surfaces throughout the house is not only easier to clean and promote healthier indoor air quality, but also easier to traverse. Where needed, area rugs can soften the surfaces.

Lever handles. For doors, sinks and showers, a single-lever handle instead of a knob (or two) is both fashionable and easier to manipulate. A lever is a better option when you have an armful of groceries, are just able to reach the handle, or lack the strength for gripping. For faucets and showers, levers also allow easier temperature control, which mitigates scalding hazards. Also look for "D"-shaped handles or grips on cabinet doors and drawers instead of conventional knobs.

Appliances. Wall ovens and warming drawers, dishwasher and refrigerator drawers (set side-by-side, not stacked), French-door style refrigerators, and microwave ovens with flip-down doors are just a few examples of appliances that are not only popular but also deliver UD benefits of accessibility and safety.

The market for products and systems that enable attractive yet more accessible home design and function is growing. Professional builders and their home-buyers have many options to create a more accessible, beautiful and contemporary home that suits a wider variety of lifestyle needs now and in the future.

1:17 PM - Apr. 14, 2012 - comments {0} - post comment

Preparing for a home inspection

This article is by Pillar to Post Inspection Services.

For buyers and sellers alike, home inspections are a crucial part of the home-buying and -selling process. While setting up a home inspection once you have an offer on your home is an important piece of the puzzle, taking the time to prepare for the inspection can be just as essential. In fact, Jay Gregg, director of marketing at Pillar To Post, strongly believes that home sellers who take the time to get ready for the inspection will pave the way for a smoother inspection and, therefore, a smoother transaction. The good news is that preparing your home for inspection doesn’t have to cost a lot of money, as the items that need to be addressed are things that homeowners typically take care of on a recurring basis.

“Preparing for a home inspection doesn’t have to be a huge expenditure,” says Gregg, who goes on to say that the most important thing to keep in mind is timing. “Taking the time to prepare your home for inspection is crucial for sellers who have an offer on their home, as this signals a pending home inspection, so they know the buyer and inspector are coming to the home.” Once the inspection is scheduled, sellers should plan to spend the week before the appointment getting the home ready.

Pillar To Post home inspectors are trained to provide a thorough visual assessment of the home, a process which typically takes three hours. During this time, the home is examined from top to bottom, both inside and out. While the inspector will look at and evaluate more than 1,600 items inside and outside the home, including its systems and structural components, there are numerous small things the seller can do beforehand to make the job easier on everyone involved. The most important items that should be addressed prior to the inspection include:

• Clearing all walkways of debris and obstacles so the inspector can easily move around.

• Providing clear access to the attic hatch, which is oftentimes in a closet, so be sure to clear shelves, etc.

• Replacing dirty furnace filters.

• Making sure all lights and receptacles are operational. This includes changing any burnt-out light bulbs.

• Clearing a path in the basement, whether it’s finished or not, so the inspector can walk around the perimeter of the wall.

• Making sure there is access to any mechanicals, such as the furnace, air conditioner and water heater.

“Taking care of the little things, like changing burnt-out light bulbs, is a simple and inexpensive way to eliminate any big suspicions that are totally unnecessary,” says Gregg. In addition, paying attention to the items above will enable the inspector to access every part of the home that needs to be addressed in order to thoroughly inspect a home and see if there are any issues that need to be taken care of.

“Sellers should also consider printing out paperwork that documents any recent service in order to eliminate any mechanical issues,” Gregg adds.

As we continue to adapt to the “new normal” and make our way through today’s challenging market, home inspections are becoming more prevalent, whether they’re performed once a potential buyer has made an offer on the home or to lay the groundwork for future negotiations before the home is even listed.

“No matter what the economy and housing market look like, there is always a sense of worry among potential buyers in regard to what will be found during the inspection,” says Gregg. “However, a little preparation goes a long way toward eliminating that worry from the equation entirely.”

Not only will taking the time to prepare your home for an inspection be worth it in the long run, it will give buyers peace of mind while eliminating doubt and suspect. “If a home inspector isn’t able to access a specific area of the home, they’ll have to put a question mark on the inspection report, which causes suspicion in the buyer’s mind; and nine times out of 10, there’s nothing wrong.”

Pillar To Post understands the importance of educating sellers about the realities of home inspections and how a little work on their own time can help facilitate a successful real estate transaction. The company has created a document, titled “Preparing a Home for Home Inspection,” which is discussed during training sessions and also used as a constant-contact email piece. “This piece is a great tool that REALTORS® can use with their clients and listing agents in order to show how a little due diligence can make a big difference when it comes to the home inspection process.”

1:15 PM - Apr. 12, 2012 - comments {0} - post comment

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