Betty Battaglia Lic. RE Salesperson

August 6, 2020

Lowest Mortgage Rates in History: What It Means for Homeowners and Buyers

In July, the average 30-year fixed-rate mortgage fell below 3% for the first time in history.¹ And while many Americans have rushed to take advantage of this unprecedented opportunity, others question the hype. Are today’s rates truly a bargain?

While average mortgage rates have drifted between 4% and 5% in recent years, they haven’t always been so low. Freddie Mac began tracking 30-year mortgage rates in 1971. At that time, the national average was 7.31%.² As the rate of inflation started to rise in the mid-1970s, mortgage rates surged. It’s hard to imagine now, but the average U.S. mortgage rate reached a high of 18.63% in 1981.³

Fortunately for home buyers, inflation normalized by October 1982, which sent mortgage rates on a downward trajectory that would bring them as low as 3.31% in 2012.³ Since 2012, 30-year fixed rates have risen modestly, with the daily average climbing as high as 4.94% in 2018.⁴

So what’s causing today’s rates to sink to unprecedented lows? Economic uncertainty.

Mortgage rates generally follow bond yields, because the majority of U.S. mortgages are packaged together and sold as bonds. As the coronavirus pandemic continues to dampen the economy and inject volatility into the stock market, a growing number of investors are shifting their money into low-risk bonds. Increased demand has driven bond yields—and mortgage rates—down.⁵

However, according to National Association of Realtors Chief Economist Lawrence Yun, “the number one driver of low mortgage rates is the accommodating Federal Reserve stance to keep interest rates low and to buy up mortgage-backed securities.” According to Yun, “we will see mortgage rates stay near this level for the next 18 months because of the significance of the Fed’s stance.”⁶

HOW DO LOW MORTGAGE RATES BENEFIT CURRENT HOMEOWNERS?

Low mortgage rates increase buyer demand, which is good news for sellers. But what if you don’t have any plans to sell your home? Can current homeowners benefit from falling mortgage rates? Yes, they can!

A growing number of homeowners are capitalizing on today’s rock-bottom rates by refinancing their existing mortgages. In fact, refinance applications have surged over the past few months—and for a good reason.⁷ Reduced interest rates can save homeowners a bundle on both monthly payments and total payments over the lifetime of a mortgage.

The chart below illustrates the potential savings when you decrease your mortgage rate by just one percentage point. When it comes to refinancing, the bigger the spread, the greater the savings.

Estimated Monthly Payment On a 30-Year Fixed-Rate Mortgage

Be sure to factor in any prepayment penalties on your current mortgage and closing costs for your new mortgage. For a refinance, expect to pay between 2% to 5% of your loan amount.⁸ You can divide your closing costs by your monthly savings to find out how long it will take to recoup your investment, or use an online refinance calculator. For a more precise calculation of your potential savings, I’d be happy to connect you with a mortgage professional in our network who can help you decide if refinancing is a good option for you.

HOW DO LOW MORTGAGE RATES BENEFIT HOME BUYERS?

The current low rates can save you money on your mortgage payments. But they can also give a boost to your budget by increasing your purchasing power. For example, imagine you have a budget of $1,500 to put toward your monthly mortgage payment. If you take out a 30-year mortgage at 5.0%, you can afford a loan of $279,000.

Now let’s assume the mortgage rate falls to 4.0%. At that rate, you can afford to borrow $314,000 while still keeping the same $1,500 monthly payment. That’s a budget increase of $35,000!

If the rate falls even further to 3.0%, you can afford to borrow $355,000 and still pay the same $1,500 each month. That’s $76,000 over your original budget! All because the interest rate fell by two percentage points.If you’ve been priced out of the market before, today’s low rates may put you in a better position to afford your dream home.

On the other hand, rising mortgages rates will erode your purchasing power. Wait to buy, and you may have to settle for a smaller home in a less-desirable neighborhood. So if you’re planning to move, don’t miss out on the phenomenal discount you can get with today’s historically-low rates.

HOW LOW COULD MORTGAGE RATES GO?

No one can say with certainty how low mortgage rates will fall or when they will rise again. A lot will depend on the trajectory of the pandemic and subsequent economic impact.

Forecasters at Freddie Mac and the Mortgage Bankers Association predict 30-year mortgage rates will average 3.2% and 3.5% respectively in 2021.^9,10  However, economists at Fannie Mae expect them to dip even lower to an average of 2.8% next year.¹¹

Still, many experts agree that those who wait to take advantage of these unprecedented rates could miss out on the deal of a lifetime. “With rates now at all-time historic lows, it’s hard to imagine that people may be holding out for something even better," warns Paul Buege, President and COO of Inlanta Mortgage.¹²  Positive news about a vaccine or a faster-than-expected economic recovery could send rates back up to pre-pandemic levels.

HOW CAN I SECURE THE BEST AVAILABLE MORTGAGE RATE?

While the average 30-year mortgage rate is hovering around 3%, you can do a quick search online and find advertised rates that are even lower. But these ultra-low mortgages are typically reserved for only prime borrowers. So what steps can you take to secure the lowest possible rate?

1. Consider a 15-Year Mortgage Term

Lock in an even lower rate by opting for a 15-year mortgage. If you can afford the higher monthly payment, a shorter mortgage term can save you a bundle in interest, and you’ll pay off your home in half the time.¹³

2. Give Your Credit Score a Boost

The economic downturn has made lenders more cautious. These days, you’ll probably need a credit score of at least 740 to secure their lowest rates.¹⁴  While there’s no fast fix for bad credit, you can take steps to help your score before you apply for a loan:¹⁵

Dispute inaccuracies on your credit report.

• Pay your bills on time, and catch up on any missed payments.
• Hold off on applying for new credit.
• Pay off debt, and keep balances low on your credit cards.
• Don’t close unused credit cards (unless they’re charging you an annual fee).

3. Make a Large Down Payment

The more equity you have in a home, the less likely you are to default on your mortgage. That’s why lenders offer better rates to borrowers who make a sizable down payment. Plus, if you put down at least 20%, you can avoid paying for private mortgage insurance.

4. Pay for Points

Discount points are fees paid to the mortgage company in exchange for a lower interest rate. At a cost of 1% of the loan amount, they aren’t cheap. But the investment can pay off over the long-term in interest savings.

5. Shop Around

Rates, terms, and fees can vary widely amongst mortgage providers, so do your homework. Contact several lenders to find out which one is willing to offer you the best overall deal. But be sure to complete the process within 45 days—or else the credit inquiries by multiple mortgage companies could have a negative impact on your credit score.¹⁶

The above references an opinion and is for informational purposes only. It is not intended to be financial advice. Consult a financial professional for advice regarding your individual needs.

Sources:

1. CNN Business -
   https://www.cnn.com/2020/07/16/success/30-year-mortgage-rates-record-low/index.html
2. Freddie Mac -
   http://www.freddiemac.com/pmms/pmms30.html)
3. Value Penguin -
   https://www.valuepenguin.com/mortgages/historical-mortgage-rates
4. Federal Reserve Bank of St. Louis -
   https://fred.stlouisfed.org/graph/?g=NUh
5. Bankrate -
   https://www.bankrate.com/mortgages/how-interest-rates-are-set/
6. Washington Post -
   https://www.washingtonpost.com/business/2020/06/25/mortgage-rate-remains-historic-low/
7. Yahoo! Finance -
   https://finance.yahoo.com/news/mortgage-refinancing-makes-big-comeback-151500346.html
8. Bankrate -
   https://www.bankrate.com/mortgages/is-no-closing-cost-for-you/
9. Freddie Mac June 2020 Quarterly Forecast -
   http://www.freddiemac.com/fmac-resources/research/pdf/202006-Forecast.pdf
10. Mortgage Bankers Association Mortgage Market Forecast July 15, 2020 -
    https://www.mba.org/news-research-and-resources/research-and-economics/forecasts-and-commentary
11. Fannie Mae July 2020 Housing Forecast -
    https://www.fanniemae.com/resources/file/research/emma/pdf/Housing_Forecast_071420.pdf
12. Washington Post -
    https://www.washingtonpost.com/business/2020/06/25/mortgage-rate-remains-historic-low/
13. Investopedia -
    https://www.investopedia.com/articles/personal-finance/042015/comparison-30year-vs-15year-mortgage.asp
14. Money -
    https://money.com/mortgage-rates-below-three-percent/ 
15. Experian -
    https://www.experian.com/blogs/ask-experian/credit-education/improving-credit/improve-credit-score/
16. Equifax -
    https://www.equifax.com/personal/education/credit/report/understanding-hard-inquiries-on-your-credit-report/

August 5, 2020

Interior Painting Tips and Tricks
Image: Steve Cukrov / AdobesStock

Learning a few tricks of the trade that painters use will assist you in your endeavor toward beautiful walls. Before choosing your paint, figure out how much you need—one gallon of paint covers approximately 350 square feet.

Common Paint Finishes and Primer

Flat paint. This opaque and sophisticated finish doesn't reflect light. However, it's non-washable, so use it on low-touch surfaces like ceilings or bedrooms.

Eggshell and satin paints. These have a low-luster finish but aren't durable enough for areas like kitchens and bathrooms. Use them in lower traffic areas, like a bedroom.

Semigloss and high-gloss paints. With a durable, shiny finish that's easy to clean, these are suitable for kids' rooms, kitchens, bathrooms, baseboards, and doors. Note: High shine means imperfections on the walls will be more noticeable.

Primer. Use on walls or other surfaces that have never been painted, like dry wall or unpainted wood. You don't need to use primer on white, clean walls or when painting dark colors on light walls, but it's essential when painting a light color over a dark wall. Cover stains such as grease spots or crayon markings with primer, or prime the whole wall.

Painting Techniques

• Before painting, shake the can by rocking it in all directions, then stir thoroughly with a paint stick.

• The recommended order to paint a room is ceilings first, then trim, then baseboards, and finally, walls. The first coat of paint should be completely dry before applying a second coat.

• Use painter's tape to make clean lines along baseboards, moldings, and window casings. Use your thumbnail or a credit card to apply tape. Press firmly and don't remove the tape until the paint is completely dry, then peel off slowly.

• Climbing a ladder with a large amount of paint isn't a good idea; pour paint into a smaller container when you need to paint trim near the ceiling.

• Angled brushes and small rollers are special tools that will help you paint up to edges and along ceilings.

Cleanup

Before paint begins to dry on your brushes, soak them in soapy water, then wash until the water runs clear. Dab with paper towels and let dry. Trash used rollers—it may seem wasteful, but washing them for reuse wastes a lot of time and water. Store paint for touch-ups in a clearly labeled small jar with a tight-fitting lid. To store the rest of the unused paint, pound the top of the paint can shut with a mallet or hammer to make sure it's well sealed.

August 5, 2020

Try These Kitchen Sanitizing Tips
Image: Africa Studio / AdobesStock

A dirty kitchen may be an eyesore, but it can also be a breeding ground for harmful bacteria. Here are three tips to maintain a clean kitchen:

Make Your Own Sanitizing Cleaning Spray
To kill bacteria like E. coli and salmonella, you need a cleaning agent that effectively disinfects surfaces. Bleach is an excellent choice for this task because it contains hypochlorite, which destroys bacteria. Many commercially produced household cleaners contain bleach, but you can save money by making your own. Combine 1 part bleach to 10 parts water in a large spray bottle—many spray bottles even come with marks on the side to indicate the ratio of the mix. Add a drop of dish soap and you have the perfect disinfectant spray.

Sanitize or Replace Your Sponge Often
A sponge is the perfect incubator for harmful bacteria because it stays damp, which allows bacteria to multiply. Kill bacteria by microwaving your completely wet sponge for one minute—make sure there aren't any metallic parts. Another way to sanitize your sponge is to place it in the dishwasher and set the machine to dry at the hottest setting and longest run cycle. It's a good idea to replace your kitchen sponges every month.

Don't Forget to Hit Overlooked Spots 
Wiping down countertops with a disinfectant solution is important, but don't forget frequently neglected surfaces. For example, the refrigerator door handle is a prime spot for bacteria—after all, everyone in the house probably touches it once a day. Similarly, your faucet, cupboard handles, and knobs deserve a frequent once-over. If you have a garbage can in your kitchen, don't forget to clean the lid; you can also take the empty can outside, fill it with water and a few squirts of dish soap, rinse, and let it sit in the sun to dry. 

Get into the habit of giving your kitchen a quick sanitizing wipe down before preparing food and a deeper clean once a week. It could be vital to your health, and it will also keep your kitchen—the heart of your home—sparkling clean and fresh.

August 5, 2020

Home Sales Drop, Mortgage Rates Fall to New Lows
Image: Onephoto / AdobesStock

Mortgage rates are hitting historic lows. According to the Freddie Mac Primary Mortgage Market Survey, the 30-year fixed-rate mortgage for the week ending July 2 averaged 3.07%; this is the lowest rate ever recorded in the survey's 49-year history. At the same time last year, the 30-year fixed-rate mortgage averaged 3.75%. According to Sam Khater, chief economist for Freddie Mac, "On the economic front, incoming data suggest the rebound in economic activity has paused in the last couple of weeks with modest declines in consumer spending and a pullback in purchase activity." All of this suggests that the 30-year fixed-rate mortgage could drop below 3% by the end of 2020.

Home Sales Are Down
The coronavirus outbreak led to a decline in existing-home sales over the past three consecutive months. According to the National Association of Realtors (NAR), every sales region in the country experienced drops in both month-over-month and year-over-year sales. "Sales completed in May reflect contract signings in March and April—during the strictest times of the pandemic lockdown and hence the cyclical low point," says Lawrence Yun, chief economist for NAR. As the economy starts up again, Yun expects home sales to increase in the second half of the year.

Housing Inventory Falls Below Last Year's Levels
By the end of May, there were 1.55 million units available for sale, up 6.2% from a month earlier but down 18.8% from May 2019. At the current sales pace, the housing stock would supply the market for 4.8 months; in comparison, there was a 4-month supply in April and a 4.3-month supply a year ago. Of all the homes sold in May, 58% remained on the market for less than a month. On average, properties remained available for sale for 26 days, unchanged from May 2019.

Home Prices Are Up
Home sales might have declined, but home prices are still increasing. The median existing-home price increased in every area except the West. This was the 99th consecutive month of year-over-year price increases.  Yun believes that a boost to new home construction is needed to meet an increase in housing demand; "otherwise, home prices will rise too fast and hinder first-time buyers, even at a time of record-low mortgage rates."

Regional Sales Breakdown

Northeast: Existing-home sales annual rate of 470,000; a decrease of 13% from April 2020 and 29.9% from May 2019. The median sales price increased 7.8% from May 2019.

Midwest: Existing-home sales annual rate of 990,000; a decrease of 10% from April 2020 and 20.2% from May 2019. The median sales price increased 3% from May 2019.

South: Existing-home sales annual rate of 1.73 million; a decrease of 8% from April 2020 and 25.1% from May 2019. The median sales price increased 2.1% from May 2019.

West: Existing-home sales annual rate of 720,000; a decrease of 11.1% from April 2020 and 35.1% from May 2019. The median sales price decreased 0.2% from May 2019.

August 5, 2020

Seven Things to Consider Before Hiring a Contractor
Image: Tomasz Zajda / AdobesStock

Are you thinking about remodeling your home or starting a backyard patio project? If you're not a detailed or ambitious person, you may need to hire a contractor to perform some or all the work. Do your homework and be crystal clear with your remodeling or landscaping contractor to reduce miscommunication and expensive errors. Here are some time-tested tips from FindLaw.com, the world's leading online legal resource:

1. Does it make sense?
Before moving too quickly, ask yourself if it makes sense to remodel. Are other neighbors enhancing the exteriors of their homes and improving their yards? Are you preparing to sell your house or planning to stay a while? While an important move, remodeling and landscaping can be expensive, and you may not fully recoup your investment.

2. Do your homework.
Before calling a contractor, figure out what you want. Visit showrooms, talk to friends and neighbors who have recently remodeled, or read home and landscaping magazines. Start a notebook to collect your ideas, product information, and samples.

3. Build a budget.
Keep in mind, especially when remodeling an older home, there may be unexpected surprises (such as plumbing or electrical) that could drive up costs. To be on the safe side, add 20% to the generally recommended costs of a remodeling project.

4. Get a recommendation.
When searching for a contractor, word-of-mouth is a reliable method. Ask your friends and family if they have worked with a contractor or landscaper recently, or reach out to your real estate agent for a professional they recommend. Make sure the contractor is licensed, bonded, and insured. Always get at least three proposals from different contractors and compare the details.

5. Check your permits.
Be wary of the contractor who says you don't need to pull a permit from city hall for your project. A permit represents the minimum construction standard set by a local community and protects the homeowner from shoddy construction or landscaping practices. If you live in a historic neighborhood, there may be more restrictive guidelines to follow.

6. Get it in writing.
Never agree to hire a contractor, even if it's your brother-in-law, on a verbal agreement. Always insist on a contract. Be precise about what services will be performed and due dates. Specify what products and materials will be used. Spell out when payments will be made to the contractor, and clarify your rights if the work is not completed to your satisfaction. If need be, contact an attorney to review the document before signing.

7. Be completely satisfied.
Never pay for the entire project upfront before construction begins. In most cases, you'll put down 25% of the total project before it starts, then make payment portions at milestones up until its completion. Withhold your final payment until the project is completed to your satisfaction.

August 5, 2020

Shopping for a Home: When a ''Deal'' Isn't a Deal
Image: karamysh / AdobesStock

In many real estate markets across the United States, home affordability is a major obstacle to homeownership. There's a short supply of entry-level starter homes, and oftentimes, homebuyers are in a crunch looking for a "deal"—a home priced below market value or one that doesn't involve a bidding war to buy. However, not every home that appears to be a deal is one. Here's how to know when a deal isn't a deal.

It Needs a Lot of Work
A home that needs a lot of work can be a deal, but only if its expenses are already built into the sales price. For example, a home priced $50,000 below market value because it needs $50,000 of work is fair. But a home priced $20,000 below market value needing $50,000 of work is a bad deal. The seller is asking the buyer to pay over market value, with the costs of repairs considered. Think carefully about buying a house that needs major renovations—the costs often outweigh the savings.

Everywhere Becomes a Drive
Some homebuyers are willing to sacrifice location for a home they can afford. Living near or far away from a city can sometimes be the difference between being a homeowner and not. But if you've added an hour each way to your work commute, those extra two hours a day spent in your car or on public transportation could get old in a hurry. You might wind up regretting buying a home so far away from your job, your family and friends, your favorite restaurant, or your family doctor. You'll have to decide between dollar savings and the inconvenience of traveling long-distance everywhere.

Too Many Compromises
Every homebuyer begins a search with a list of expectations and must-haves. Depending on the price, you might be willing to compromise some of the things on your wish list. But compromising on things that are most important to you—the number of bedrooms, a good school district, a crime-free area—could end up being a daily drain on you. Giving up too many of your priorities might not be worth the savings.

Affordability is an issue in real estate markets, so finding deals on homes sounds great. But a low price doesn't necessarily equal a deal, and it's helpful to recognize those situations. As a skilled real estate professional, I can help you find the home that best fits your lifestyle.

Mortgage rates are at historic lows. Now is a good time to buy or list your home. Contact me today!

July 13, 2020

Buyers: Are You Ready for a Bidding War?

July 6, 2020

Shopping Locally Helps Support Your Community

Once upon a time, consumers shopped at the butcher for meat, the drug store for pharmaceuticals, and the grocer for vegetables and food staples. Now you can have the tires changed on your vehicle while you shop for groceries and your teenage daughter browses clothing on the clearance rack—all under the same roof. But turning your attention to the mom-and-pop shops just around the corner from your house or the summer farmers market in a local lot on Saturdays can benefit everyone. Keeping these independent small businesses alive is in your community’s best interest. Here’s why:

Increases Property Value
Your neighborhood’s walkability to nearby shops affects your home’s value. Having amenities within walking distance boosts your property value by thousands of dollars. Shopping locally keeps small-town farms, artisans, and employees working. When you buy from the people who live near you, supporting local government and independent businesses, you boost the vitality of your community and make it an attractive place to live.

Boosts Your Local Economy
Frequenting stores within a few miles of your home saves you time and gasoline. When you shop from businesses that sell products from local sources, like small farms, it’s a joint effort of saving your hard-earned money and giving back to your community. Your consistent business to local shops also means the products are there when you need them, virtually a walk or bike ride away. If they don’t carry what you need, ask your local shop if they will stock it for you.

Creates Beneficial Connections
The shops and businesses around your home are part of your community. Independent owners have more freedom to work with a customer and develop a beneficial relationship. A lot can be said for good service and the willingness to make a deal with a business that really knows you. Shopping locally makes a difference not only in helping a community survive but also helping it thrive.

July 6, 2020

Record-Low Mortgage Rates Entice First-Time Homebuyers

The coronavirus pandemic has had a significant impact on the housing market, with social distancing lockdowns disrupting home sales in most states from mid-March through April. However, the pandemic is not deterring some buyers; according to the National Association of Realtors (NAR), first-time buyers accounted for 36% of all sales in April, up from 34% a month earlier. According to the NAR "2019 Profile of Home Buyers and Sellers," first-time buyers were responsible for 33% of all sales in 2019. Individual investors and second-home buyers—two groups who typically account for cash sales—also saw potential in the market, purchasing 10% of all homes sold in April.

Mortgage Rates Near Historic Lows
First-time buyers are entering the housing market due in large part to advantageous mortgage rates. For the last full week in May, the 30-year fixed-rate mortgage averaged 3.15%; this is the lowest rate ever recorded in Freddie Mac’s "Mortgage Market Survey" over the past 50 years. According to Sam Khater, chief economist for Freddie Mac, "These unprecedented rates have certainly made an impact, as purchase demand rebounded from a 35% year-over-year decline in mid-April to an 8% increase as of last week—a remarkable turnaround given the sharp contraction in economic activity." He added that refinance activity remains high, and the average loan size of refinance borrowers this year has declined $70,000 due to the low mortgage rates. This indicates that a broad base of borrowers refinanced while mortgage rates were in record low territory, a situation that will ultimately benefit the economy. Despite a recent rise, mortgage rates are expected to remain at record lows; for the week ending June 4, 2020, the 30-year, fixed-rate mortgage averaged 3.18%. According to Lawrence Yun, chief economist for the NAR, record-low mortgage rates "will be the key factor driving housing demand as state economies steadily reopen. Still, more listings and increased home construction will be needed to tame price growth."

Inventory Remains Low
Although first-time buyers are active in the current housing market, they are having to contend with inventory shortages. There were 1.47 million units available for sale in April, down 1.3% from March and down a significant 19.7% from April 2019. At the current sales pace, this level of inventory would supply the housing market for only 4.1 months, up from a 3.4-month supply a month ago but down from a 4.2-month supply a year ago.

Higher Prices but Lower Sales
"The listings that are on the market are still attracting buyers and boosting home prices," according to Yun. Indeed, every sales region in the country experienced increases in median home prices. What’s more, April marked the 98th consecutive month of year-over-year price gains. Yet while prices increased, overall existing-home sales declined in April—as should be expected during a pandemic. Existing-home sales fell 22.5% month over month, which represented the largest decrease since July 2010. The average property remained available for sale for 27 days in April, down from 29 days a month ago but up from 24 days a year ago. Of all the homes sold in April, 56% remained on the market for less than a month.

Regional Breakdown

Northeast - Existing-home sales annual rate of 540,000; a decrease of 16.9% from March 2020 and 18.2% from April 2019. At $312,500, the median sales price increased 8.7% from April 2019.

Midwest - Existing-home sales annual rate of 1.10 million; a decrease of 12% from March 2020 and 8.3% from April 2019. At $229,200, the median sales price increased 9.3% from April 2019.

South - Existing-home sales annual rate of 1.88 million; a decrease of 17.9% from March 2020 and 16.8% from April 2019. At $249,400, the median sales price increased 6.4% from April 2019.

West - Existing-home sales annual rate of 810,000; a decrease of 25% from March 2020 and 27% from April 2019. At $419,300, the median sales prices increased 6.1% from April 2019.

July 6, 2020

Three Tips to Prevent Pests from Moving In

The ick factor of a pest infestation is understandable—who wants ants crawling all over the kitchen counter? But pests can also cause substantial damage to property that costs time and money to fix. If you want to prevent these unsavory guests from moving in and taking over, try these three basic steps.

Lock Them Out Forever
Pests won’t be a problem if they can’t gain access to your house. Eliminating all entry points takes determination and hard work, but the reward is worth it. Pay special attention to areas like gables near the rooftop and any holes through which wiring comes in. Cable wires should fit snugly in the hole and there should be no extra space around the wires. Make sure each window closes completely and exterior doors don’t have gaps. Seal cracks and holes on the outside of your home, and install screens over chimney vents and openings.

Don't Let Them Find Food
Pests have a keen sense of smell. Eliminate all food sources that attract pests as they will grow and multiply where food is readily available. Keep all food in the kitchen sealed and put away when not in use. Dishes, wrappers, and trash should be dealt with promptly, with outside trash sealed in a container. Make sure floors are swept and vacuumed; keeping the house tidy will eliminate small crumbs that may not be visible to the naked eye.

Remove Their Water Sources
Water is the most sought-after resource by humans and animals, including pests. If water is available, they will find it. Fix any dripping faucets and make sure that your pet’s drinking water is changed daily. Water promotes mold growth and becomes stagnate when left sitting too long. This is an open invitation for most pests, no matter the season.

The best approach to pest control is to stop them from entering your home. Once pests have taken over, it’s too late for prevention—you’ll need to call in a professional.

July 6, 2020

Top Five Tips for Staying Productive While Working from Home

When you work from home, it can be difficult to sustain the same level of focus that you have in the office. Your home is where you relax, play games, and watch movies. All those distractions are within arm’s reach, and it can be difficult to avoid temptation. Follow these tips to remain productive while working from home.

1. Dress for Success
It may feel silly to get dressed when you don’t need to leave your house, but spending days on end in your pajamas will impact your ability to be productive. It’s important that you keep your daily routine. You want to continue activities you would normally do if you were heading to work, like taking a shower and getting ready in the morning. After you get dressed, it will be easier to push yourself into work mode.

2. Set Strict Hours
Just because you’re at home doesn’t mean you don’t need to have consistent work hours. Setting work hours for yourself will keep you on track. Don’t let the day get away from you. Give yourself a regularly scheduled lunch break just like you would have at the office. Maintaining the same work hours you had before you worked from home will help you to retain a sense of normalcy.

3. Set Daily Goals
Each morning before you get started, make a list of goals you want to accomplish during your workday. Every time you do a task on your list, cross it out. Having a physical list and being able to cross off goals when you have finished them is very rewarding. Let your to-do list guide your day. The more you are able to cross off your list, the easier it will be to continue working.

4. Take Exercise Breaks
If you are finding it difficult to focus, take a break, but don't allow yourself to do anything too fun or relaxing when you’re on a work break. Enjoyable activities will only serve to distract you, but exercising should keep you focused and energized. You don’t need to head to the gym to work out; just pull up a quick exercise routine on your phone and use it to center yourself before you get back on task.

5. Hide Your Phone
Unless you use your phone for work, you should turn your phone off until you’ve finished your tasks for the day. Your phone is a huge distraction, and it takes only one text message notification to potentially derail your focus. For the hours when you are working, set your phone aside and keep your focus entirely on your job.

July 6, 2020

Home Improvements That Give the Highest Return on Investment

When you’re selling a house, making improvements beforehand can help maximize the home’s value. Even if you have no plans to relocate in the near future, enhancing your living conditions makes sense. Use this information from Remodeling magazine’s annual "Cost vs. Value Report" to get the best return on your investment when you sell.

Invest In Exterior Upgrades
Improvements to your home’s exterior can pay for themselves by drawing in potential buyers. If you have no plans to sell, they positively change the ambiance of your property and boost curb appeal. Adding manufactured stone veneer increases value the most—up to 95%. This synthetic material installs just like real stone. Upgrading the exterior of a home with low-energy windows and vinyl siding is also a good investment. You can recuperate up to 75% of the cost of this particular home improvement.

Replace the Garage Door
Upgraded garage doors yield a high return (94%), but you’ve got to choose the correct type. The best garage doors feature durable materials, insulation, and energy-saving finishes. Resilient garage door materials include aluminum, fiberglass, and steel. If you want the look of wood, choose composites, as real wood doesn’t stand up to weather challenges.

Add a Deck in Time for Summer
Adding a wood deck usually yields a slightly larger return (72%) than composite materials (66%) because the upfront cost is cheaper. But you’ll want to check with your local home improvement center because a wood deck can be more expensive to maintain. When it comes to sizing, keep the square footage relevant to the proportions of the yard and home. Generally, 300 square feet is an ideal size. Regardless of the measurements you choose, make sure to include a railing to enhance safety.

Remodel the Kitchen, the Heart of the Home
Kitchen remodels rank at the top for homeowners and buyers alike. However, bigger changes aren’t necessarily better. Smaller remodels garner more returns on investments; they can repay up to 27% more compared to major upgrades. Energy-efficient appliances, updated flooring, modern countertops, and upgraded sinks with contemporary faucets make the best improvements. Modernizing the cabinets also allows for good return of costs. If you can’t replace the cupboards, repaint them and add updated hardware.

Overhaul the Bathroom
Bathroom remodels follow the same guidelines as kitchen renovations. Carefully chosen updates yield larger returns than all-out, upscale remodels. It pays to upgrade counters, fixtures, lighting, tiles, and toilets. You can pick and choose, but it’s a good idea to tackle the oldest items first.

July 1, 2020

Add Value To Your Home With These 9 DIY Improvements

Whether you’re prepping your house to go on the market or looking for ways to maximize its long-term appreciation, these nine home improvement projects are great ways to add function, beauty, and real value to your home.

The best part is, once you’ve secured the materials, most of these renovations can be completed over the course of a weekend. And they don’t require a lot of specialized skills or experience. So grab your toolbox, then get ready to boost your home’s appeal AND investment potential!

1. Spruce Up Your Landscaping

Landscaping improvements can increase a home’s value by 10-12%.¹ But which outdoor features do buyers care about most? According to a survey of Realtors, a healthy lawn is at the top of their list. If your lawn is lacking, overseeding or laying new sod can be a worthwhile investment—with an expected return of 417% and 143% respectively.¹

Planting flowers is another great way to enhance your home’s curb appeal. And if you choose a perennial variety, your blooms should return year after year. For an even longer-term impact, consider planting a tree. According to the Council of Tree and Landscape Appraisers, a mature tree can add up to $10,000 to the value of your home.²

2. Clean The Exterior

When it comes to making your house shine, a sparkling facade can be just as important as a clean interior. Real estate professionals estimate that washing the outside of a house can add as much as $15,000 to its sales price.³

A rented pressure washer from your local home improvement store can help you remove built-up dirt and grime from your home’s exterior, walkway, and driveway. Just be sure to read the instructions carefully—and only use it on surfaces that can withstand the intensity. When in doubt, a scrub brush and bucket of sudsy water will often do the trick.

3. Add A Fresh Coat Of Paint

New paint can have a big impact on both the appearance and value of a property. In fact, it’s one of the most effective ways to revitalize a home’s exterior, update its interior, and make it appear larger and brighter. The best part? Painting is relatively easy and inexpensive!

To get the maximum return at resale, stick with a modern but neutral color palette that will appeal to a broad range of buyers. According to a recent survey of home design experts, cool neutrals are a safe bet when it comes to interior paint. And respondents chose white and gray as the best exterior paint colors to use when selling a home.⁴ However, it’s important to consider a property’s architecture, existing fixtures, and regional design preferences, as well.  

4. Install Smart Home Technology

In a recent survey, 78% of real estate professionals said their buyer clients were willing to pay more for a home with smart technology features.⁵ The most requested smart devices? Thermostats (77%), smoke detectors (75%), home security cameras (66%), and locks (63%).⁶

The good news is, many of these gadgets are fairly easy to install. And some of them, including smart thermostats and light bulbs, will pay for themselves over time by making your home more energy efficient. In fact, many manufacturers report that smart thermostats can cut back on heating and cooling costs by 10-20%.⁷  

If you already own a smart speaker, like Amazon Alexa or Google Home, choose devices that will pair with your existing technology. This will enable you to create a truly integrated (and in many cases voice-activated) smart home experience.

5. Modernize Your Window Treatments

Smart—or motorized—blinds are also growing in popularity, and several manufacturers make models you can order and install on your own. But they’re not the only way to modernize your window treatments.

If you have old aluminum blinds, consider replacing them with plantation shutters, which are energy efficient, durable, and have strong buyer appeal.⁸ Roman and roller shades are another stylish alternative, and they come in a variety of colors and fabrics, which you can personalize to meet your design and privacy preferences.

Fortunately, upgrading your blinds has gotten easier and less expensive in recent years. There are a number of retailers that specialize in affordable window coverings that are simple to measure and hang yourself.

6. Replace Outdated Fixtures

Drastically transform the look and feel of your home by swapping out dingy and dated fixtures for contemporary alternatives. Start by assessing your current light fixtures, faucets, cabinet hardware, door knobs, and even switch plates. Then prioritize replacing those that are particularly outdated or in highly-visible areas, such as your entryway or kitchen.

Even if your home is fairly new, consider trading your builder-grade fixtures for higher-end options to give it a more upscale appearance. And forget the old rule about sticking to one metal tone throughout your property. According to designers, mixing metal finishes can add interest and character to a space.⁹

For more designer insights and decor trends, email me for a free copy of “Top 5 Home Design Trends for a New Decade.”

7. Upgrade Your Bathroom Mirror

A minor bathroom remodel offers one of the best returns on investment, with a $1.71 increase in home value for every $1 you spend.¹⁰ We’ve already explored several improvements you can make to your bathroom: new paint, fixtures, and hardware. Now complete the look by upgrading your vanity’s mirror.

Before you purchase a new mirror, examine your existing one to see how it is attached to the wall. Some vanity mirrors are glued to the wall and difficult to remove without shattering the glass or damaging the sheetrock behind it.¹¹

If you prefer to keep your existing mirror, you can paint the frame—or add one if it’s currently frameless. There are several online retailers that will send you the frame components cut to your specifications, which you can assemble and mount yourself. Much like a work of art, your vanity mirror serves as a focal point for your bathroom, so let your creativity shine through!

8. Shampoo Your Carpet

Carpet is notorious for trapping dust, dirt, and allergens. It’s one of the reasons that most buyers prefer hard surface flooring.¹² But if you love your carpet, or you’re not ready to invest in an alternative, make an effort to keep it clean and odor-free.

To properly maintain your carpet, you should vacuum it weekly. Experts also recommend a deep shampoo at least every two years.¹³ Fortunately, this is a cheap and easy DIY project you can knock out in about 20 minutes per room. According to Consumer Reports, you can rent a machine and purchase cleaning fluid and supplies for around $90. With an average return on your investment of 169%, it’s well worth the effort and expense.¹⁴

9. Customize Your Closet

Real estate professionals estimate that a closet remodel can add $2500 to a home’s selling price. And while a professional renovation can cost upwards of $6000, there are many high-quality DIY closet systems you can customize and install yourself.¹⁵

Experts recommend taking a thorough inventory of your wardrobe and accessories before you get started. Make sure frequently-worn pieces are easy to reach, and store seasonal and seldom-used items on high shelves. Place shoe racks near the closet entrance so they are easy to access.¹⁶ A little planning can go a long way toward building a closet that you (and your future buyers!) will love.

 GET A COMPLIMENTARY ANALYSIS OF YOUR PROJECT
 
We’ve been talking averages. But the truth is, the actual impact of a home improvement project will vary depending on your particular home and neighborhood. Before you get started, contact me to schedule a free virtual consultation. I can help you determine which upgrades will offer the greatest return on your effort and investment.

Sources:

1. HomeLight -
   https://www.homelight.com/blog/improve-curb-appeal-landscaping/
2. National Association of Realtors -
   https://www.realtor.com/advice/home-improvement/landscape-renovations-that-pay-off/
3. HouseLogic.com - https://www.houselogic.com/save-money-add-value/add-value-to-your-home/adding-curb-appeal-value-to-home/
4. Fixr -
   https://www.fixr.com/blog/2020/01/14/paint-color-trends-in-2020/
5. T3 Sixty -
   https://blog.coldwellbanker.com/wp-content/uploads/2018/01/CES2018-Smart-Homes-An-Emerging-Real-Estate-Opportunity.pdf
6. Consumer Reports -
   https://www.consumerreports.org/smart-home/smart-home-tech-upgrades-to-help-sell-your-house/
7. American Council for Energy Efficient Economy
   https://www.aceee.org/sites/default/files/publications/researchreports/a1801.pdf
8. Forbes - https://www.forbes.com/sites/trulia/2016/07/05/10-upgrades-under-1000-that-increase-home-values-2/#47b0d3162e60
9. Insider -
   https://www.insider.com/home-design-rules-you-should-be-breaking-2020-1
10. Zillow -
    https://www.zillow.com/sellers-guide/roi-for-bathroom-remodel/
11. Lowes -
    https://www.lowes.com/n/how-to/remove-a-bathroom-mirror
12. HomeLight -
    https://www.homelight.com/blog/what-flooring-increases-home-value/
13. Angie’s List -
    https://www.angieslist.com/articles/how-often-should-i-clean-my-carpets.htm 
14. HomeLight -
    https://www.homelight.com/blog/projects-that-increase-home-value/
15. National Association of Realtors - https://www.nar.realtor/research-and-statistics/research-reports/remodeling-impact
16. EasyClosets -
    https://www.easyclosets.com/tips-ideas/2016/10/02/how-to-plan-your-walk-in-closet/

June 17, 2020

Is Now the Right Time to Buy or Sell a Home?

Traditionally, spring is one of the busiest times of the year for real estate. However, the coronavirus outbreak—and subsequent stay-at-home orders—led many buyers and sellers to put their moving plans on hold. In April, new listings fell nearly 45%, and sales volume fell 15% compared to last year.¹

Fortunately, as restrictions have eased, we’ve seen an uptick in market activity. And economists at Realtor.com expect a rebound in July, August, and September, as fears about the pandemic subside, and buyers return to the market with pent-up demand from a lost spring season.²

But given safety concerns and the current economic climate, is it prudent to jump back into the real estate market?

Before you decide, it’s important to consider where the housing market is headed, how it could impact your timeline and ability to buy a home, and your own individual needs and circumstances.

 WHAT’S AHEAD FOR THE HOUSING MARKET?

 The economic aftermath of the coronavirus outbreak has been severe. We’ve seen record  unemployment numbers, and economists believe the country is headed toward a recession. But people still need a place to live. So what effect will these factors have on the housing market?

Home Values Projected to Remain Stable

Many Americans recall our last recession and assume we will see another drop in home values. But the 2008 real estate market crash was the cause—not the result—of that downturn. In fact, ATTOM Data Solutions analyzed real estate prices during the last five recessions and found that home prices actually went up in most cases. Only twice (in 1990 and 2008) did prices fall, and in 1990 it was by less than one percent.³

Many economists expect home values to remain relatively steady this time around. And so far, that’s been the case. As of mid-May, the median listing price in the U.S. was up 1.4% from the same period last year.⁴

Demand for Homes Will Exceed Available Supply

 There’s been a shortage of affordable homes on the market for years, and the pandemic has further hindered supply. In addition to sellers pulling back, new home starts fell 22% in March.⁵ In fact, Fannie Mae doesn’t foresee a return to pre-pandemic construction levels before the end of 2021.⁶

This supply shortage is expected to prop up home prices, despite recessionary pressures. Fannie Mae and the National Association of Realtors predict housing prices will rise slightly this year⁷, while Zillow expects them to fall between 2-3%.⁸ Still, that would be a far cry from the double-digit declines that occurred during the last recession.

Government Intervention Will Help Stabilize the Market

Policymakers have been quick to pass legislation aimed at preventing a surge in foreclosures like we saw in 2008. The Coronavirus Aid, Relief, and Economic Security (CARES) Act passed by Congress gives government-backed mortgage holders who were impacted by the pandemic up to a year of reduced or delayed payments.¹⁰

The Federal Reserve has also taken measures to help stabilize the housing market, lower borrowing costs, and inject liquidity into the mortgage industry. These steps have led to record-low mortgage rates that should help drive buyer demand and make homeownership more affordable for millions of Americans.¹¹

HOW HAS THE REAL ESTATE PROCESS CHANGED?

 As the pandemic hit, real estate and mortgage professionals across the country revised their processes to adapt to shifting safety standards and economic realities. While these new ways of conducting business may seem strange at first, keep in mind, military clients, international buyers, and others have utilized many of these methods to buy and sell homes for years.

New Safety Procedures

The safety of our clients and our team members is our top priority. That’s why we’ve developed a process for buyers and sellers that utilizes technology to minimize personal contact.

For our listings, we’re holding online open houses, offering virtual viewings, and conducting walk-through video tours. We’re also using video chat to qualify interested buyers before we book in-person showings. This enables us to promote your property to a broad audience while limiting physical foot traffic to only serious buyers.

Likewise, our buyer clients can view properties online and take virtual video tours to minimize the number of homes they step inside. Ready to visit a property in person? We can decrease surface contact by asking the seller to turn on all the lights and open doors and cabinets before your scheduled showing.

The majority of our “paperwork” is also digital. In fact, many of the legal and financial documents involved in buying and selling a home went online years ago. You can safely view and eSign contracts from your smartphone or computer.

 Longer Timelines and Higher Mortgage Standards

The real estate process is taking a little longer these days. Both buyers and sellers are more cautious when it comes to viewing and showing homes. And with fewer house hunters and less available inventory, it can take more time to match a buyer with the right property.

In a recent survey, 67% of Realtors also reported delays in the closing process. The top reasons were financing and buyer job loss, but appraisals and home inspections are also taking more time due to shifting safety protocol.¹²

Securing a mortgage may take longer, too. With forbearance requests rising, lenders are getting increasingly conservative when it comes to issuing new loans. Many are raising their standards—requiring higher credit scores and larger down payments. Prepare for greater scrutiny, and build in some extra time to shop around.¹³

IS IT THE RIGHT TIME FOR ME TO MAKE A MOVE?

The reality is, there’s no “one size fits all” answer as to whether it’s a good time to buy or sell a home because everyone’s circumstances are unique. But now that you know the state of the market and what you can expect as you shop for real estate, consider the following questions:

Why do you want or need to move?

It’s important to consider why you want to move and if your needs may shift over the next year. For example, if you need a larger home for your growing family, your space constraints aren’t likely to go away. In fact, they could be amplified as you spend more time at home.

However, if you’re planning a move to be closer to your office, consider whether your commute could change. Some companies are rethinking their office dynamics and may encourage their employees to work remotely on a permanent basis.

How urgently do you need to complete your move?

If you have a new baby on the way or want to be settled before schools open in the fall, we recommend that you begin aggressively searching as soon as possible. With fewer homes on the market and a lengthier closing process, it’s taking longer than usual for clients to find and purchase a home.

However, if your timeline is flexible, you may be well-positioned to score a deal. We’re seeing more highly-incentivized sellers who are willing to negotiate on terms and price. Talk to us about setting up a search so we can keep an eye out for any bargains that pop up. And get pre-qualified for a mortgage now so you’ll be ready to act quickly.

If you’re eager to sell this year, now is the time to begin prepping your home for the market. A second wave of infections is predicted for the winter, which could mean another lockdown.¹⁴ If you wait, you might miss your window of opportunity.

 How long do you plan to stay in your new home?

 The U.S. real estate market has enjoyed steady appreciation since 2012, which made it fairly easy for owners and investors to buy and sell properties for a profit in a short period of time. However, with home values expected to remain relatively flat over the next year, your best bet is to buy a home you can envision yourself keeping for several years. Fortunately, at today’s rock-bottom mortgage rates, you can lock in a low interest rate and start building equity right away.

Can you meet today’s higher standards for securing a mortgage?

Mortgage lenders are tightening their standards in response to the growing number of mortgage forbearance requests. Many have raised their minimum credit score and downpayment requirements for applicants. Even if you’ve been pre-qualified in the past, you should contact your lender to find out if you meet their new, more stringent standards.

 Is your income stable?

If there’s a good chance you could lose your job, you may be better off waiting to buy a home. The exception would be if you’re planning to downsize. Moving to a less expensive home could allow you to tap into your home equity or cut down on your monthly expenses.

WHEN YOU’RE READY TO MOVE—I’M READY TO HELP

While uncertain market conditions may give pause to some buyers and sellers, they can actually present an opportunity for those who are willing, able, and motivated to make a move.

Your average spring season would be flooded with real estate activity. But right now, only motivated players are out in the market. That means that if you’re looking to buy, you’re in a better position to negotiate a great price. And today’s record-low mortgage rates could give a big boost to your purchasing power. In fact, if you’ve been priced out of the market before, this may be the perfect time to look.

If you’re hoping to sell this year, you’ll have fewer listings to compete against in your neighborhood and price range. But you’ll want to act quickly. Economists expect a surge of eager buyers to enter the market in July—so you should start prepping your home now. And keep in mind, a second wave of coronavirus cases could be coming in this winter. Ask yourself how you will feel if you have to face another lockdown in your current home.

Let’s schedule a free virtual consultation to discuss your individual needs and circumstances. We can help you assess your options and create a plan that makes you feel both comfortable and confident during these unprecedented times.

 The above references an opinion and is for informational purposes only. It is not intended to be financial advice. Consult a financial professional for advice regarding your individual needs.

 Sources:

1. Forbes - https://www.forbes.com/sites/ellenparis/2020/05/08/latest-housing-market-update-from-realtorcom/#20bf7829113e
2. HousingWire -
   https://www.housingwire.com/articles/realtor-com-housing-market-will-bounce-back-this-year-but-the-rebound-will-be-short-lived/
3. Curbed -
   https://www.curbed.com/2019/1/10/18139601/recession-impact-housing-market-interest-rates
4. Realtor.com -
   https://www.realtor.com/research/weekly-housing-trends-view-data-week-may-9-2020/
5. Money.com -
   https://money.com/coronavirus-real-estate-home-prices/
6. Fannie Mae -
   https://www.fanniemae.com/resources/file/research/emma/pdf/Housing_Forecast_051320.pdf
7. HousingWire -
   https://www.housingwire.com/articles/pending-home-sales-tumble-on-covid-19-shock/
8. HousingWire -
   https://www.housingwire.com/articles/zillow-predicts-small-home-price-drop-through-rest-of-2020/
9. Federal Reserve Bank of St. Louis -
   https://fred.stlouisfed.org/series/CSUSHPINSA
10. Consumer Financial Protection Bureau -
    https://www.consumerfinance.gov/coronavirus/cares-act-mortgage-forbearance-what-you-need-know/
11. Bankrate -
    https://www.bankrate.com/mortgages/federal-reserve-and-mortgage-rates
12. National Association of Realtors -
    https://www.nar.realtor/sites/default/files/documents/2020-05-11-nar-flash-survey-economic-pulse-05-14-2020.pdf 
13. Forbes -
    https://www.forbes.com/sites/alyyale/2020/04/17/buying-a-home-during-the-pandemic-dont-expect-your-everyday-home-purchase/#fadad3d33b0c
14. Washington Post -
    https://www.washingtonpost.com/health/2020/04/21/coronavirus-secondwave-cdcdirector/

June 10, 2020

Simple Home Projects That Won't Break the Bank

Image: valentinrussanov - iStock

These five home-improvement projects are great for a weekend DIY enthusiast and easy enough for an amateur. They also require time dedication, which is perfect if you’re going stir-crazy at home and looking for ways to be productive.

Paint Cabinets: Painting existing cabinets rather than replacing them saves thousands of dollars. The key to doing it yourself is preparation. Doors, hardware, and drawers should be removed and labeled with tape so you remember how they go back together. Cabinets should be cleaned with a degreaser, lightly sanded, wiped with a tack cloth, then primed and painted with a brush and small roller. It’s slow work, but worth the savings.

Install Lux-Look Flooring: The emergence of luxury vinyl tile (LVT) makes it easy for homeowners to spruce up their floors without breaking the bank or hiring an installer—if you’re a little handy. It comes in many styles that mimic hardwood, tile, and even natural stone. As a floating floor, it snaps together without having to be nailed or glued down and can be installed on top of existing hard-surface floors. You’ll need a tape measure, miter saw, and rubber mallets. There’s a lot of measuring and cutting, but it’s a fairly easy job.

Brighten Ceilings: Over time, white ceilings become dingy. A fresh coat of paint makes for a much cleaner look. But it’s not a fast job; painting a ceiling requires moving a ladder often. If you have a two-story great room or foyer, it will likely involve putting together and moving scaffolding. But if you have time on your hands, it’s a great home improvement.

Refinish a Deck: Maintaining a wood deck takes time and effort. Before applying a new coating of stain, the deck must be thoroughly cleaned—either with a stiff-bristle brush or pressure washer—and dried completely. Some stains can be applied with a roller, which saves more time than using a brush, but if you have railings and spindles, staining an entire deck will take a while.

Update Lighting: Changing one light fixture doesn’t take long, but doing a whole house is time-consuming. Replacing eyesores with modern fixtures may take several trips back and forth to your electrical panel to shut off the power breaker by breaker. Replacing incandescent lights with LED fixtures also helps save money on bulbs and energy bills.

June 10, 2020

What You Need to Know About Mortgage Forbearance
Image: AlenaMozhjer - iStock

When the federal government passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act, they included provisions for mortgage forbearance. These provisions make it possible for lenders to pause mortgage payments because of financial hardship. If you are considering requesting mortgage forbearance, here are important things to know:

Forbearance Does Not Mean Loan Forgiveness
The temporarily suspended mortgage payments will eventually need to be repaid. For example, if your monthly mortgage is $2,000 and you miss three months of payments, you’ll owe your bank $6,000. However, no penalties will accrue during the forbearance period, and your credit score will not be affected.

There Are Various Ways to Repay
The options for repaying the forbearance differ based on the loan and lender. If your loan is owned by a private lender, you’ll have to check with them about their repayment terms. For government-backed mortgages owned by Fannie Mae and Freddie Mac, which make up about half of the market, repayment can be made in a lump sum, with a short-term payment plan, or by adding the balance to the loan and extending the loan length by the number of months skipped. The same options are available for mortgages backed by the Veteran’s Administration, the U.S. Department of Agriculture, and the Department of Housing and Urban Development.

Forbearance Periods Differ
According to the CARES Act, government-owned loans may have a 12-month forbearance period. For loans owned by private lenders and nongovernment-backed entities, the forbearance period may be shorter. The CARES Act, passed March 18, 2020, established an immediate foreclosure and eviction prohibition of 60 days. The length of mortgage forbearance periods longer than 60 days is up to the lender for privately owned mortgages.

Contact Your Lender Directly to Avoid Scammers
Find out who owns your loan by contacting your mortgage servicer—the company you make your payments to each month. To see if Fannie Mae or Freddie Mac owns your loan, check their respective websites. In tough times, scammers prey on people looking for help. Don’t give any money or personal information to anyone who contacts you about mortgage forbearance. Be aware and contact your lender directly to make forbearance arrangements.

June 10, 2020

These Beautiful Plants Will Thrive on Your Porch
Image: Anterovium - Adobestock

Container plants are a great way to add instant curb appeal to your home and brighten up a dreary front porch with color. Since many porches are shaded areas that get limited sun, choose flowers, herbs, and greenery that thrive in the shade.

Coleus: Treasured for its beautiful, multicolored foliage, coleus is available in over 600 varieties with leaves ranging in colors including green and white and pink and purple. Easy to grow, coleus is a compact plant that will be right at home in a container on a shady front porch. It can also be easily propagated by rooting stem cuttings.

Impatiens: These flowers are one of the most popular container plants because of their vibrant, profuse blooms. Impatiens come in many colors including white, purple, pink, coral, and red. They do well in full shade and partial sun. To keep them healthy and blooming, plant in well-drained potting mix and water regularly.

Pansy: A gardener’s favorite, this flower grows well in sunny or shady conditions. Pansies come in solid and variegated shades of blue, purple, yellow, pink, and one unusual nearly black variety. Make sure to plant in well-drained soil and let them dry out before watering—they don’t do well with wet feet.

Begonia: Another favorite with lots of variety, begonias are great for hanging baskets, containers, and even do well as indoor house plants. Begonias are prized for their beautiful flowers and showy leaves. Easy to grow, they come in varieties for all lighting conditions. To keep begonias blooming continuously, fertilize with a liquid fertilizer once a month.

Nothing is quite as welcoming as beautiful flowers and showy foliage. By choosing a few shade-loving container plants, you can transform your front porch into a colorful, inviting space.

June 10, 2020

COVID-19 Impacts Home Sales, but Prices Remain Strong
Image: Andrey Popov / iStock

It should come as no surprise that existing-home sales declined in March; economists with the National Association of Realtors (NAR) expected this result due to the impact of the coronavirus outbreak. Yet, despite the uncertainty caused by the pandemic, home prices remained strong in March. The median existing-home price increased 8% year over year; what’s more, every sales region in the country reported price gains. For the past 97 consecutive months, home prices saw year-over-year increases. Lawrence Yun, chief economist for the NAR, believes the trend will continue: "More temporary interruptions to home sales should be expected in the next couple of months, though home prices will still likely rise."

Seller Hesitation Leads to Low Inventory
By the end of March, there were 1.5 million unsold units on the housing market, up 2.7% from a month earlier, but down 10.2% from March 2019’s inventory tally of 1.67 million units. At the current sales pace, unsold inventory would supply the market for only 3.4 months. The average property was on the market for just 29 days in March, down from 36 days both a month ago and a year ago. Of all the homes sold in March, 52% were on the market for less than a month. According to Yun, "Earlier in the year, we watched inventory gradually tick upward, but with the current quarantine recommendations in place, fewer sellers are listing homes, which will limit buyer choices." In the short term, inventory is likely to remain low, but economists feel more listings will become available once the economy reopens.

Social Distancing in the Housing Market
The coronavirus outbreak has led to social distancing directives for which housing industry professionals have quickly adapted to by providing innovative measures like virtual home tours and e-signatures. NAR President Vince Malta sees a positive outlook: "I am confident that Realtors and brokerages will adapt, evolve, and fight," he says, "ensuring the real estate industry will be at the forefront of our nation’s upcoming economic recovery."

Who’s Buying Virtually?
Social distancing might have led to more virtual home tours, but the change did not stop first-time buyers, who accounted for 34% of all sales in March, up from 32% a month ago and 33% a year ago. According to the NAR "2019 Profile of Home Buyers and Sellers," first-time buyers were responsible for 33% of all home purchases in 2019.

Regional Breakdown
Month-over-month sales increased in every sales region of the country, and in the Midwest and South, sales also improved year over year. While every region posted gains in home prices, the largest increases were seen in the Northeast and Midwest.

June 10, 2020

Four Tech Tools for Social Distancing Homebuyers
Image: kupicoo - iStock

Real estate is a face-to-face business. Agents present listings to potential sellers in person and homebuyers attend open houses and guided home tours and sit down with mortgage officers and title company representatives. Social distancing measures changed everything.

Fortunately, the real estate industry has long embraced technologies that make it possible to close a home sale without in-person interaction. For example, foreign buyers of U.S. homes can buy property without ever stepping foot in the country. Now these same tools that make long-distance buying possible are being used by people domestically. Here are four tech tools for social distancing homebuyers:

Virtual Open Houses and Tours
Anyone with a smartphone and internet connection can do an online home tour. Some online platforms allow live video presentations with multiple viewers, which means an owner or agent can host a virtual "open house." Home tours with individual buyers are even simpler, requiring only a video call with apps such as FaceTime or Skype. Buyers can interact one-on-one with agents or owners as they are virtually walked through the property.

Online Mortgage Applications
The mortgage industry is a business that was already moving toward an online model before social distancing went into effect, but now it’s ready to do more. In some cases, applying online for a mortgage can mean less digging up documents yourself, as some lenders—with your permission—can look up necessary information. If you do want to talk to someone in person, loan officers should be able to arrange a video call to answer your questions or walk you through the application process.

Online Signing and Notary Services
Notarization plays a big role in real estate transactions by confirming the identity of those signing legal documents. Online notarization services were available in some states before social distancing, but state governments have taken action to make remote notarization legal in all states. For documents that don’t require a notary, such as listing agreements and offers, there are online platforms that provide secure signature services. Real estate professionals have used electronic document signing for years, so there is already familiarity within the industry.

Virtual Closings
Since online document signing and notarization are possible, the parties involved won’t necessarily need to meet in person at closing. A title company will send documents for both parties to sign either electronically or via regular mail. The company would then use electronic document signing or, for physical signings, online notarization. If all parties must be present at closing, there is video conferencing software, and a title company representative can explain, in real time, what you’re signing.

Social distancing may have changed real estate transactions, but it shouldn’t halt sales. Homebuyers can take comfort in knowing that technology provides tools for just about every step of the buying process.

May 11, 2020

Buying and Selling Homes While Social Distancing
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Housing inventory is very low, which has been driving up property prices, but buyer interest was up prior to quarantine. Now, social distancing rules are severely hampering real estate transactions. If you're a buyer looking for available properties, or if your home is currently listed, here's some advice:

Get Potential Properties Lined Up
Low mortgage rates are an incentive to buy property right now. Unfortunately, very few homes are being listed, so inventory is limited. If you're a serious buyer, which means you're already preapproved for a mortgage, contact your real estate agent and let them know what you're looking for. There may be a listed property that fits your criteria.

The Show Goes On, but Safety First
The COVID-19 pandemic has made in-person showings difficult or even impossible in many cases. First, do a drive-by viewing of promising properties to check out the exterior and location. If you're interested in seeing more but the listing doesn't include a virtual tour, contact your real estate agent about arranging an online showing or a video tour. Also, sellers might be willing to accept offers that are contingent on visual inspections after the stay-at-home orders are lifted.

Pretty as a Picture
If people can find their spouse online, they can find their home online. Buying houses without an in-person introduction is more common for investors, but you get the idea. Great photos and virtual tours do sell a property. Online tools to show your house are more important than ever, so sellers should get savvy with video conferencing and social media apps.

During a public health crisis, local mandates can change at any time. Contact me for a creative, safe solution to buy or sell property right now.

May 11, 2020

Tips to Help You Thrive While Social Distancing
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As everyone tries to practice social distancing, our daily routines have been shattered. Restaurants and stores are closed. Gyms, movie theaters, and schools are shut down. But cabin fever isn't inevitable—there are plenty of ways to keep busy and enjoy your self-isolation.

1. Start a Garden
According to the American Horticultural Therapy Association, gardening is beneficial and therapeutic. Starting a garden of your own may help relieve pandemic stress. If you don't naturally have a green thumb, start by planting easy-to-grow picks—like sunflowers or marigolds—in a sunny corner of your backyard. Expert gardeners can experiment by ordering new varieties of seeds online. If you live in a small space with no room for a garden, pick up some herbs to grow in a container in your kitchen.

2. Family Game Night
Dust off some classic board games. If you can't tolerate another argument over the proper way to play Monopoly, have everyone make up new rules. And with the World Health Organization recently giving their seal of approval to video games, don't be afraid to pick up a game controller. Your kids will love feeling like an expert as they teach you how to play their favorite games.

3. Stay Connected Online
Social distancing doesn't have to mean social deprivation. Apps like Zoom and FaceTime can help you continue to spend quality time with your friends and loved ones. If you usually meet your friend for coffee every Monday, keep up the tradition; brew a cup at home and catch up via FaceTime. If you love hosting dinner parties in person, host a virtual one instead. Invite everyone to your "home" through Zoom. Ask them to prepare their favorite meals in their own homes, then dine together.

4. Learn a New Skill or Teach One
If you always wanted to learn how to paint or speak a new language but never had the time, now is your chance. There are hundreds of virtual online classes that teach subjects such as painting, writing, and dance. Several apps can help you learn a new language, such as Duolingo, which is reputable and offered for free. Seek out local schools or studios charging for online classes in drawing or fitness—your support could help keep them in business. If you have a hidden talent, consider filming yourself and posting the content online to teach the world the art of origami or wood whittling.

5. Stay in Shape
If you can, safely leave the confines of your home for a walk, or run in your neighborhood or nearby park—just remember social distancing rules. If you'd rather exercise indoors, download a fitness app or find free YouTube workout videos; there are options for both beginners and experts. Keep yourself motivated by trying a new workout routine each week.

6. Get Gourmet
Instead of watching cooking shows on TV, try to make some of those recipes yourself. Pull five ingredients out of your pantry and see what you can make for dinner; try recreating your favorite restaurant meal at home; or find a new type of cuisine on a YouTube cooking channel and follow along. Younger kids can help with mixing and stirring, while older ones can help with chopping.

The COVID-19 pandemic will eventually be behind us. Until then, get creative to make the most of your time at home. For the latest information on symptoms and prevention measures, visit the CDC website.

May 11, 2020

Household Cleaning Supplies You Should NEVER Mix
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Mixing and matching cleaning supplies may seem like a good idea, but there are some cleaning products that should never be combined.

• Bleach and Vinegar. Useful for lots of household cleaning chores including scrubbing the toilet and polishing the sink, bleach and vinegar should be kept separate. Mixing these two chemicals creates a chlorine gas that is a potent respiratory tract irritant.

• Ammonia and Bleach. These are two more common household cleaning products that are potent chemicals. If combined, the chemical mixture creates chloramine gas, which is even more dangerous than chlorine. Inhaling even a small amount of chloramine gas could trigger breathing problems, chest pain, and shortness of breath.

• Vinegar and Hydrogen Peroxide. Although these are two common, effective cleaning products, when combined they create an acid that irritates the skin, eyes, and lungs.

• Drain Cleaners. These are corrosive, powerful chemicals that clear out clogged pipes. If one drain cleaner isn't effectively unclogging, don't try adding another. Mixing two different brands of drain cleaners could trigger dangerous fumes or even an explosion.

Whether you are deep-cleaning your home or just removing a few stains, knowing which cleaning products you can safely mix—and which ones you can't—will make cleaning day safer and healthier. It's important to note that a sparkling-clean home does not equal a properly disinfected one. The CDC recommends using a diluted bleach solution (five teaspoons bleach per quart of water) or a product that is at least 70% alcohol as a disinfectant to kill COVID-19. Always do a small patch test to make sure a cleaning product won't damage countertops or other surfaces.

May 11, 2020

Housing Sales Climbed Before COVID-19 Quarantines
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After declining slightly in January, existing-home sales rebounded in February, according to the National Association of Realtors (NAR). Except for the Northeast, all regions in the country reported sales gains; increases were particularly high in the West. Over five million homes were sold across the country, marking the strongest February market since 2007. According to Lawrence Yun, chief economist for the NAR, it should be attributed to "the incredibly low mortgage rates and the steady release of a sizeable pent-up housing demand that was built over the years."

Pandemic Takes Its Toll
While sales were on the upswing, that growth is not expected to continue due to the current coronavirus and social quarantines; the economy and the stock market have taken a significant hit due to the pandemic. According to Yun, the sales figures "show that housing was on a positive trajectory, but the coronavirus has undoubtedly slowed buyer traffic, and it is difficult to predict what short-term effects the pandemic will have on future sales."

Low Inventory and Fast Sales
By the end of February, there were only 1.47 million homes available for sale; this was up 5% from a month ago but down 9.8% from a year ago. At the current sales pace, all unsold inventory would supply the market for only 3.1 months, unchanged from January but less than the 3.6-month supply recorded in February 2019. The average time a property remained on the market was 36 days. In comparison, properties remained available for sale for 43 days a month ago and 44 days a year ago. Of all the homes on the market in February, 47% sold in under a month.

More People Were House Hunting
According to NAR, the past couple of months have seen more people entering the market. These buyers may be in it for the long haul. "Once the social distancing and quarantine measures are relaxed," says Yun, "we should see this temporary pause evaporate and will have potential buyers return with the same enthusiasm." First-time buyers still see positives in the housing market, since this group accounted for 32% of all purchases in February, unchanged from both a month ago and a year ago. All-cash sales, meanwhile, made up 20% of all transactions. Individual investors and second-home buyers, who often make all-cash offers, accounted for 17% of all home purchases in February.

Housing Is a Good Investment
For the 96th month in a row, home prices climbed; in February, the median existing-home price rose 8% from a year earlier. Every region in the country saw price increases. The trend is expected to continue, even with the current pandemic. According to Yun, "Unlike the stock market, home prices are not expected to drop because of the on-going housing shortage and due to homes getting delisted during this time of crisis."

Regional Sales Breakdown

In February, existing-home sales climbed in the Midwest, South, and West, and year-over-year sales increased in all four regions. Median home prices saw year-over-year gains, with the Northeast and South recording the strongest price growth.

Northeast: Existing-home sales annual rate of 700,000; a decrease of 4.1% from January 2020 but an increase of 2.9% from February 2019. The median sales price increased 8.2% from February 2019.

Midwest: Existing-home sales annual rate of 1.29 million; an increase of 0.8% from January 2020 and 4% from February 2019. The median sales price increased 7.9% from February 2019.

South: Existing-home sales annual rate of 2.52 million; an increase of 7.2% from January 2020 and 8.2% from February 2019. The median sales price increased 8.2% from February 2019.

West: Existing-home sales annual rate of 1.26 million; an increase of 18.9% from January 2020 and 11.5% from February 2019. The median sales price increased 8.1% from February 2019.

May 11, 2020

Six Things to Know about the CARES Act

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Amid a pandemic that has the entire nation struggling with its effects, the federal government has approved a $2.2 trillion relief package aimed at helping millions of Americans. The Coronavirus Aid, Relief, and Economic Security (CARES) Act includes provisions for unemployment, cash stimulus payments, student loan debt, retirement accounts, and more. Here are the highlights:

1. Grace Periods for Mortgages. Homeowners with federally backed mortgages can apply for grace periods of up to 180 days if they suffer a coronavirus-related hardship. During any forbearance period, no fees, penalties, or additional interest will accrue. There is a 60-day foreclosure moratorium that began March 18 for federally backed loans. Contact your lender for more details.

2. Eligibility for Cash Payments. Every adult earning $75,000 or less per year ($150,000 for married couples) will receive a one-time stimulus payment of $1,200 each. For every child under 16, households will receive an additional $500. For example, a family of four earning less than $150,000 a year would receive $3,400. Qualification is based on the adjusted gross income on your 2019 tax filing. If you haven't yet filed for 2019, your 2018 return will be used.

3. Enhanced Unemployment Benefits. Those who have lost jobs remain eligible for state unemployment benefits. In addition, the coronavirus rescue package will add $600 per week in federal aid to the state benefit for a period of four months. Unemployment benefits have been expanded to include independent contractors and freelancers—groups that are normally not eligible for unemployment. The expanded coverage will continue through the end of the year.

4. Deferred Student Loans. Approximately 90% of all current student loans are federally backed loans and are eligible for deferral. The government is already deferring payments and interest on student loans; the coronavirus aid bill extends the grace period through September 30.

5. Relief for Small Businesses. The Paycheck Protection Program, which is intended to help businesses retain their employees for the duration of the crisis, will provide loans for up to two and a half months of payroll and full loan forgiveness if the loan is used for payroll, mortgage, rent, and utilities. The loans will come from banks and will be backed by the Small Business Administration.

6. Changes to IRA Regulations. If you have a tax-deferred individual retirement account (IRA) or workplace plan such as a 401(k), you'll be able to withdraw up to $100,000 in 2020 without the usual 10% penalty. Any taxes triggered by a withdrawal can be paid over three years.

April 4, 2020

Market Volatility Is Affecting Mortgage Rates

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In early March, the 30-year rate plunged to its lowest level in 50 years, at 3.29%, when the Fed dropped the federal funds rate to zero. Market fears stoked by concern over the global outbreak of COVID-19 helped drive down bond yields, which are tied to mortgage interest rates.

More Homeowners Are Refinancing
Homeowners scrambled to refinance and lock in the low rate. Surging mortgage applications overwhelmed lenders. The wave of mortgage applications caused an imbalance in the secondary mortgage market—there were more mortgage-backed securities to be sold than there were investors ready to buy them. Mortgage rates quickly rose to nearly 4 percent.

The Federal Reserve Is Acting to Stabilize the Market
The Federal Reserve began buying mortgage-backed securities in an effort to settle the lending market. Rising mortgage rates quickly dropped 15 points. According to Freddie Mac, the average rate on a 30-year, fixed-rate mortgage fell to 3.5% for the week ending March 26.

The dramatic swings back and forth are a result of the volatility in financial markets caused by the global coronavirus pandemic. The Fed's quantitative easing policy, which includes unlimited bond-buying, appears to have calmed the secondary market somewhat.

"The Federal Reserve's swift and significant efforts to stabilize the market were much needed and helped mortgage rates drop for the first time in three weeks," said Sam Khater, Freddie Mac's Chief Economist, in a news release. "Similar to other segments of the economy, real estate demand is softening. However, the combination of the Fed's actions and pending economic stimulus will provide substantial support to the mortgage markets."

Mortgage rates are pegged to the yield on 10-year Treasury notes, which had climbed for three weeks after the Fed first announced the federal funds cut. After the bond-buying announcement, the benchmark 10-year yield fell below 1%, to .800%, down 1.8 points from the week before.

Lenders Have to Work Through a Backlog of Applications
Another deluge of mortgage applications could again push mortgage rates upward as lenders try to keep up with demand. As lenders' ability to keep up with volume ebbs and flows, mortgage rates could continue to rise and fall. Keep in mind, too, that any backlog of applications could be affected by lenders' staffing as employees get sick or stay at home because of COVID-19 concerns.

March 13, 2020

Do You Know the Warning Signs of Mold and Mildew?

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Mold and mildew problems are common in areas with high moisture. When left unaddressed, the tell-tale black or gray splotches can rapidly spread out of control. Mold will damage your health and your home. When you see any of these warning signs, it's important to act quickly so the damage doesn't spread.

• Musty smells. A musty odor in your basement, attic, or crawl space is often the first sign of a mold or mildew problem, so let your nose be your guide.

• Water leaks. Damp spots on the walls or ceilings could be signs of water leaks, and if left unaddressed, they could lead to mold and mildew.

• Discolored paint. When mold and mildew start to take hold, you may notice discoloration and staining on your walls. Any discoloration should be cause for concern.

• Dark stains. The presence of dark stains in your bathroom, especially on the tiles, is a common early warning sign of mold and mildew.

• Mold-related health issues. Mold exposure symptoms include sudden wheezing, coughing, itchy or watery eyes, and unexplained rashes.

• Dampness. A damp basement can predispose your home to mold and mildew, which is especially likely if your basement has flooded in the past. Take steps to check for contamination before it spirals out of control.

• Standing water. The presence of standing water around your home can also predispose the property to mold and mildew. Look for ways to improve drainage, and check for puddles and other standing water after heavy rain.

The sooner you address a mold or mildew problem, the easier it will be to fix. If you suspect the problem is already beyond your control, your next phone call should be to a mold remediation expert.

March 13, 2020

Now Is a Good Time to List Your Home for Sale

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The lack of inventory is leaving potential buyers with fewer options; this results in increased competition among buyers, which ultimately drives up home prices. At the end of December, there were 1.4 million units available for sale, down 14.6% month over month and 8.5% year over year. At the current sales pace, December's unsold inventory would supply the housing market for only three months. In comparison, there was a 3.7-month supply both a month ago and a year ago. What's more, for the past seven months, unsold inventory totals have declined year over year. According to Lawrence Yun, chief economist for the National Association of Realtors, "Home sellers are positioned well, but prospective buyers aren't as fortunate. Low inventory remains a problem, with first-time buyers affected the most."

Low Inventory Means Higher Home Prices
The lack of inventory that has been plaguing the housing market for the past few years is showing no sign of letting up. This puts sellers in an ideal position; the tight inventory is causing home prices to climb rapidly. For the 94th consecutive month, home prices have risen year over year. Every sales region in the country posted price gains in December. According to Yun, "Price appreciation has rapidly accelerated, and areas that are relatively unaffordable or declining in affordability are starting to experience slower job growth." To avoid this unfavorable outlook, price appreciation should slow down to around 3%, which would be in line with wage growth.

Who's Buying?
According to NAR's "2019 Profile of Home Buyers and Sellers," first-time buyers accounted for 33% of all home purchasers. Individual investors and second-home buyers, who typically buy homes with cash, made up 17% of the buying public in December; this was up from 16% a month earlier and 15% a year earlier. In total, all-cash sales accounted for 20% of all home transactions in December, which was unchanged from November but down from 22% in December 2018. The average property remained on the market for 41 days in December. This is longer than the 38 days on market recorded a month earlier but shorter than the 46 days on market recorded a year earlier. Of all the homes sold in December, 43% were available for less than a month.

Regional Sales Breakdown
Month-over-month sales increased in the Northeast, South, and West regions of the country in December. Every region reported gains in year-over-year sales. Median home prices also climbed in all regions, with the Midwest showing the strongest price gains.

March 13, 2020

Seven Functional Updates to Make Your Kitchen More Efficient
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If your kitchen could use some updating, consider these functional upgrades that make your kitchen a more efficient workspace and give it a beautiful new look.
 
1. New Faucet – Modernize your kitchen by replacing your faucet. Don't just settle for something basic. Try something that's designed for adding convenience, like a faucet that also functions as a pullout sprayer. Or, maybe you want a high-tech faucet you can turn on or off with the wave of your hand. Faucet finishes are available in stainless steel, chrome, bronze, and many other finishes, so you're sure to find a fabulous fit for your kitchen.

2. Pot Filler – If you cook large dinners for family and friends, then nothing beats the convenience of having a pot-filler faucet right over your range. Select a finish to match the sink faucet or choose a bold finish that stands out (it's on-trend right now to mix and match several different metal finishes in the kitchen).

3. Pull Handles and Knobs – Change out the hardware on your cabinetry to instantly give your kitchen a new look. Match the finish of your handles and knobs to your faucet, or select a contrasting color or finish.

4. Pendant Lighting – Install two or three pendant lights over your kitchen island to give your space a chic, modern look. For a small kitchen, choose slender pendants that won't overwhelm the space. For a large kitchen, select a more substantial design that will serve as a focal point.

5. Under-Cabinet Lighting – Highlight your countertops and provide extra lighting with under-cabinet lights. These lights add a lovely, soft glow to your kitchen and help boost kitchen brightness, making reading labels and recipes easier on the eyes.

6. Utensil Rack – Kitchen tasks go faster when everything is within reach. Install a utensil rack under a cabinet or above your range. Place hooks along the center rod. Hang your most frequently used utensils on the hooks so you won't waste time rifling through cluttered drawers the next time you need to find your favorite ladle.

7. Pot Rack – Hanging a decorative rack for your pots is an on-trend look for modern kitchens that frees up cabinet space and saves you time searching through your cabinets for the right-size pot. Pot racks are available in many different sizes and finishes, so shop around to find the perfect match for your kitchen.

If you have a hard time deciding on styles or finishes for your upgrades, it's helpful to look in magazines or online for beautiful kitchens that you can use as inspiration.

March 13, 2020

These Three Space Savers Help Corral Clutter
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If you've run out of places to put your things, then it's smart to invest in some new storage options to help corral the clutter and keep your home organized. Consider these three space-saving items.
 
Under-Bed Storage
Utilizing the space under your bed as storage is perfect for items you don't use very often. Plastic containers that slide under the bed are great for storing out-of-season shoes, bags, and clothes. If your bed is too low to the ground to put things underneath, consider getting a bed riser to lift it. Many bed risers come with outlets, so you can easily charge your electronic devices near your bed.
 
Over-the-Door Organizer
Keeping your footwear in an organizer on the floor takes up precious floor space. Be creative and get yourself an over-the-door organizer. This wonder tool will make choosing shoes easier. You can even use some pockets to hold items like T-shirts, umbrellas, and small bags.
 
Double-Purpose Ottoman
If you love stuff that serves many purposes, you'll adore a storage ottoman. When visitors drop in, the ottoman functions as a comfortable seat and provides storage for extra items like blankets and pillows. You can even transform it into a coffee table by putting a pretty wood or metal tray on top.

March 13, 2020

Five Ways a Real Estate Professional Can Help Sell Your Home and Make More Profit
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Statistics consistently demonstrate that when homeowners sell their houses through a professional real estate agent, they get a higher price than if they do it themselves. If you're considering listing your house for sale, here are five ways a real estate agent will help you sell and maximize your profit:

1. More Marketing Power
Most buyers start their search for a home by going online. When you go through an agent, your house automatically gets listed on multiple listing services. Real estate agents also share your listing with other agents to have them market your house among their clients.

2. The Right Price
It's difficult to set the correct sale price for a home. If a house is overpriced, it lingers on the market, becomes known as a non-selling home, and loses its appeal. A real estate agent with years of experience is able to set the price in a sweet spot: not too high to turn buyers off and not too low to leave money on the table.

3. Home Improvement Intuition
A remodeled home will appeal to a broader audience, but how do you know how much to spend on improvements? Refreshing worn paint or fixing a loose door are inexpensive fixes that help sell a home, but overhauling your kitchen and bathroom are expensive investments. An experienced agent with an eye for detail knows what you need to spend on and what you don't. Making only essential improvements will ensure the most profit from the sale.

4. Informative Home Showings
When you hire a real estate agent, they will talk to potential buyers, schedule open houses, and make sure there's always someone at the house to show people around. They can also collect feedback from home viewers who don't buy. Those viewers wouldn't be comfortable telling the homeowner why they didn't like their house, but wouldn't mind telling the real estate agent. This valuable feedback can be used by the agent to make listing tweaks.

5. Piles of Paperwork
Closing a home sale involves dozens of pages of complex paperwork. Someone who isn't experienced with real estate contracts and law could find themselves in over their head. For instance, if a home was built earlier than 1978, the law requires you to put in an addendum about the use of lead-based paint. In some states, you need to fill out a release to declare that your home has carbon monoxide detectors. Someone who isn't familiar with relevant laws for their community could leave themselves open to future lawsuits. A real estate agent can take care of all the important paperwork, whether it's property disclosures or documentation, and guide you through the legalities of home selling.

Want to know more about getting the best price for your house in the current market? Contact me today.

February 12, 2020

Four Things to Think About When Selecting a Tax Preparer

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It happens every year. Like ants at a picnic, pop-up storefronts for tax-prep firms are suddenly everywhere. The airwaves are saturated with advertisements for the latest tax software and commercials for tax pros promising fantastic returns. Even some car dealerships get in on the frenzy, promising to prepare your tax return if you'll just use your refund to purchase one of their vehicles.
 
With so many tax preparers, how do you know which one to choose? When you're searching for a tax preparer you can rely on, keep these four things in mind:
 
1. Preparer Tax Identification Number
Anyone can prepare a tax return. The IRS does not have any requirements regarding qualifications, and many people choose to complete their returns themselves. However, if someone is accepting payment for tax preparation, there is one credential that is an absolute must: a preparer tax identification number.
 
Commercially preparing tax returns without this IRS-issued number is against the rules. If a potential tax preparer is willing to break this rule, can you trust them to prepare your return accurately? Remember, if the IRS discovers a problem with your return, you'll be the one stuck paying for it.   
 
2. Professional Qualifications
There isn't one specific qualification that signifies excellence in a tax pro, and their professional backgrounds can vary widely. Employees of big-box tax firms may simply have a few weeks training in how to complete simple returns. Bookkeepers and other financial professionals may have extensive experience but lack formal credentials.
 
Certified public accountants, enrolled agents, and tax attorneys typically have the greatest amount of training, so if your situation is complex, you might want to select one of these professionals. CPAs hold a college degree, have passed a rigorous exam, and are required to complete regular continuing education coursework. However, not all CPAs specialize in taxes, so you'll want to check that the professional you have in mind is willing to tackle your tax return before taking it to them. Enrolled agents have demonstrated their mastery of the tax code by either passing the IRS's Special Enrollment Exam or having spent five years working directly with taxes as an IRS employee. Tax attorneys are highly educated professionals who have passed the bar exam and chosen to specialize in complicated tax matters.  
 
3. Accessibility
Will you want to talk with your tax preparer again after your return is complete? Would discovering that you're being audited change your answer? While interactions with the IRS are mostly limited to tax season, they aren't always, so it's worth discovering whether your tax preparer will be available at other times of the year.
 
Why would you want to talk with your tax preparer outside of the traditional tax season? The IRS might contact you to request more information or notify you of an audit. Alternately, you might want to talk about steps you can take to reduce your tax burden, a discussion that most tax pros don't have time for during the hustle and bustle of tax time. This can be especially true if you buy a house, start a business, get married, or become a parent, because the way you handle these major life changes can affect your taxes.
 
4. Areas of Focus
No one would mistake the tax code for light reading, so it's smart to find a tax professional who is well versed in the sections of it that apply to your particular situation. While some tax preparers handle all kinds of returns without breaking a sweat, others focus on returns for one segment of the population. Do you want someone who's a master of individual returns, a preparer who specializes in returns involving complicated financial investments, or a pro who's an old hand at business returns? For the best results, identify your needs and select a preparer who focuses on meeting them.
 
Geography should also influence your choice of a preparer. While the guidelines for federal tax returns remain the same, crossing state lines can shake things up for your state return. Have you moved to a different state? Do you reside in one state and have a business or property in another one? If so, things quickly become more complicated, so you'll want to make certain that your tax preparer is capable of dealing with all the ins and outs of your locale.  
 
At tax time, finding someone to prepare your taxes isn't hard. But finding the right person to do the job is a more difficult task. Keeping these factors in mind will help you select a tax preparer you can trust.

February 12, 2020

Monthly Home Sales Decline, but Sales Still Higher Than Last Year
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Existing-home sales might have climbed in October, but the momentum failed to continue into November. According to the National Association of Realtors (NAR), month-over-month sales declined in November—the drop was largely confined to the South and West, as the Northeast and Midwest reported growth. Yet year-over-year sales for the country were up 2.7%.

A Healthy Economy
There was evidence of more positive market signs in November. Median home prices in every sales region climbed higher from a year ago, with the West showing the largest increase in prices. In addition, at a year-end real estate forecast summit, the NAR predicted that the country will avoid a recession in 2020, and 14 leading housing and financial industry economists forecasted that the economy would grow by 2% throughout the year. Considering all these factors, Lawrence Yun, chief economist for the NAR, was not concerned by November's decline in home sales. "Sales will be choppy when inventory levels are low," he said, "but the economy is otherwise performing very well with more than two million job gains in the past year."

Continuing Problems with Inventory
The lack of inventory, however, continued to plague the housing market. By the end of November, there were 1.64 million units available for sale, down 7.3% from October and 5.7% from November 2018. At the current sales pace, it would take just 3.7 months for all inventory to sell. This was down from the 3.9-month supply recorded a month ago and the 4.0-month supply a year ago. For the past five months in a row, unsold inventory totals have fallen. This lack of inventory was largely responsible for the constricting home sales. According to Yun, "New home construction seems to be coming to the market, but we are still not seeing the amount of construction needed to solve the housing shortage." He believes the housing shortage could be solved through innovation in the building industry by using more factory-made modules to increase the number of affordable homes on the market.

Better Affordability
The economists at the summit also predicted that any mortgage rate increase in 2020 would be incremental. In addition, Yun believes that home price affordability will improve as well. "This year we witnessed housing costs grow faster than income, but the expectation is for prices to settle at a more reasonable level in the coming year in line with average hourly wage growth of 3% on a year-over-year basis."

More Showings
Low mortgage rates seemed to have piqued buyer interest. According to SentriLock’s foot traffic index, home showings remained stable from October to November at 47.1. Another measure of home showings—the "Realtors Buyer Traffic Index"—remained quite steady month to month, climbing to 56 in November from 55 a month earlier; in comparison, the index was at 44 a year ago. The increase in foot traffic led to homes being sold at a quick pace. The average property remained available for sale for 38 days in November; in comparison, properties remained on the market for 36 days in October and 42 days a year ago. Of all the homes sold in November, 45% were sold in less than a month.

Regional Sales Breakdown

Northeast - Existing-home sales annual rate of 700,000: an increase of 1.4% from October 2019; a decrease of 1.4% from November 2018. The median sales price increased 3.9% from November 2018.

Midwest - Existing-home sales annual rate of 1.32 million: an increase of 2.3% from October 2019; an increase of 1.5% from November 2018. The median sales price increased 5.9% from November 2018.

South - Existing-home sales annual rate of 2.24 million: a decrease of 3.9% from October 2019; an increase of 3.7% from November 2018. The median home price increased 4.8% from November 2018.

West - Existing-home sales annual rate of 1.09 million: a decrease of 3.5% from October 2019; an increase of 4.8% from November 2018. The median home price increased 7.1% from November 2018.

February 12, 2020

Ready to Buy? Here's Some Real Estate Terms to Know
Photo: © Delmaine Donson - iStockphoto

Buying a home is a complex process, and it's important to understand the terminology before you start looking for a property. Here's just a few real estate terms to get you started:

Fixed Mortgage Rate: With a fixed mortgage rate, you will keep the same interest rate throughout the loan's term. Markets can change, but the rate is for the life of the loan.

Adjustable Rate Mortgage: An adjustable rate mortgage (ARM) has an interest rate change after a fixed period of time and on a predetermined schedule. Because the homeowner's interest rate changes every year on the loan's anniversary, it is considered to be a riskier choice. Sometimes the top interest rate is capped in this type of loan.

Appraisal: Lenders need to know the value of a home before they can approve a loan. A professional appraisal determines the value of the home, including the condition, upgrades, location, and selling prices of comparable homes in the neighborhood.

Earnest Money: A sum that is paid when you enter a buying agreement is called earnest money. It indicates you are serious about your intentions to purchase the home. The amount can vary, and your real estate agent will advise you on this matter. If you change your mind and do not go through with the sale, the seller will get to keep the earnest money.

Offer and Counteroffer: When you find a home you want, your real estate agent will assist you in making an offer. Buyers seldom offer the asking price and usually offer a lower amount.

Acceptance: When you and the seller agree to the terms of an offer, it is an acceptance. And you are "under contract." You can lose your "earnest money" or deposit if you decide to back out after you have reached the acceptance point in the sale.

Under Contract: When the buyer and seller have agreed on an offer for the home, but the closing has not taken place yet, they are under contract. Before the closing can take place, any "contingencies" must be met.

Contingency: When certain conditions are written into the contract and must be met before the sale can close, they are called contingencies. Everyone should include passing a home inspection as a contingency. If contingencies are not satisfied, you can void the contract without financial consequences.

Closing and Closing Costs: When the closing takes place, the ownership of the home is transferred to the buyer. In addition to the home's cost, you will pay closing fees that may include appraisal fees, escrow fees, points, credit check cost, loan origination fees, and similar associated charges. Sometimes negotiation with the seller can result in them paying a portion of the closing costs. An example might be: in the case of a necessary repair, the seller pays the amount in closing costs.

Want to know more? If you have questions about buying a home, listing your home for sale, or if you need help finding a lender, contact me today!

February 12, 2020

Bathroom Design Trends That Will Rule in 2020
Photo: © Thanyakan - iStockphoto

Are you planning a bathroom renovation or adding a new bathroom in 2020? As you consider your options, take a look at these up-and-coming design trends:

1. Linear Design
What is linear design? Think layouts and fixtures that emphasize unbroken straight lines for an overall smooth and minimalistic look.

For example, floor and wall tiles that are large slabs rather than small squares and hexagons, with closely fitted seams and little-to-no visible grout. Or rectangular vanities with matching storage drawer hardware that is either recessed or long, skinny handles instead of round knobs. Also, shower enclosures that feature frameless glass, with or without doors.?

Subtly rounded accents can add contrast. Consider a rectangular wall mirror with rounded corners; a wide, round showerhead; or a sleekly curved soaking tub.

2. Color Trends
Grays, blacks, and whites remain very popular as color schemes. This goes perfectly with the trend toward marble and marble-looking tile. White marble walls collect and reflect light, setting off dramatic dark gray fixtures. If you want more color, add pops of shades, like teal, pumpkin, or jade green, with changeable decor pieces and linens rather than incorporating them into the main decor.

3. High-Tech Toilets
Wall-hung toilets have become very popular and for good reason: They take up less space and are much easier to clean around and under than standard designs. High-tech features like seat-heating and motion-activated lighting are pricey luxury options. But even in the lower price ranges, features like dual flushing for water conservation have become standard.

4. Floating Vanities
Like wall-hung toilets, floating vanities are easier to clean under, and since they don't touch the floor, there are fewer seams to collect bathroom grime. Storage can still be incorporated in the form of wide, deep drawers, in which you can use bins and dividers to organize.

5. Matte Hardware
Steer clear of shiny chrome and brass; matte black is where it's at for sink and shower hardware. If you prefer a metallic look, opt for subtle shades like brushed nickel or pewter. 

6. Natural Elements
The trend toward sleek, modern design could feel a little cold or sterile, so including natural elements provides a nice contrast and touch of warmth. Reclaimed old wood is popular for tub surrounds and vanities or for accessories like towel racks. Houseplants that thrive in a humid environment are another option. If you have windows with no line of sight for neighbors or passersby to look in, leave them unobstructed to invite in lots of natural light and allow you to contemplate the view. 

7. Go Small
While master baths have grown larger, often with separate shower and tub installations, the trend toward compact fixture options means that you can make a small powder room or half-bath appear more spacious. Wall-hung toilets and open console sinks with narrow profiles can open up a small room, and even allow you to convert a tiny space like a closet into an extra bath, which can significantly raise your home's future value. There are even toilets with integrated sinks to take up even less space!

An updated bathroom with a modern design can make a big difference when you decide to sell your home. So as you consider your bathroom renovation, explore the ways you can incorporate these on-trend design elements into your own design.

February 12, 2020

Report: Millennial Homeowners Are Looking for Return on Investment
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Millennials get a lot of flak, and though they may be the "Instagram selfie" and "avocado toast" generation, they are more like calculating investors than self-absorbed spenders when it comes to putting money into their homes. The home improvement website HomeAdvisors revealed in its annual "State of Home Spending" report that millennial homeowners—more than any other generation—tend to look for a return on investment when it comes to home improvement projects. The report showed that millennials are twice as likely than Gen Xers to list "adding value" to their home as a reason for a home project. And they were almost four times as likely to be concerned about ROI than baby boomers and their predecessors, the silent generation.

What Does This Mean for Home Sellers?
Millennials are the largest generation of people in the United States, and they have the most buying power of any generation. So if they are looking for home improvements that add value, anyone thinking of selling a home might want to keep that in mind.

Consider These Home Improvement Projects
Home projects that add to a home’s value tend to be ones that create more living space, such as finished basements or outdoor areas like decks and patios. But the report found that millennial homeowners also consider the value in improvements, such as new windows, roofs, and HVAC systems. So there is, apparently, some practicality to millennials’ outlook on the value of a home. And if millennial homeowners are making those improvements, it’s likely that millennial homebuyers looking for turnkey homes will have an eye for those things too.

Bathroom Makeover
For years, the annual home improvement report showed that kitchens were the rooms that were remodeled the most by homeowners, but not anymore. According to the 2019 report, bathrooms got more makeovers than any other space in the house.

Kitchen Updates
While bathroom remodels were popular across all generations, the report showed that millennials were more likely than any other generation to redo a kitchen. While bathroom renovations are cheaper, which adds to their popularity among homeowners of all ages, kitchen projects usually return more value. That, plus the emphasis put on entertaining and eating healthy by younger homeowners, is likely why, the report theorized, millennials are renovating more kitchens than older generations.

January 8, 2020

National Home Sales Increase Despite Fewer Homes for Sale
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According to the National Association of Realtors (NAR), existing-home sales climbed slightly higher in October. Lawrence Yun, chief economist for NAR, saw this as an encouraging sign: "Historically low interest rates, continuing job expansion, higher weekly earnings, and low mortgage rates are undoubtedly contributing to these higher numbers." He adds that as long as there is enough of a housing supply to satisfy the demand from potential buyers, sales should continue to grow in the coming months.

Home Inventory Continues to Fall
Unfortunately, the housing shortage is showing no signs of abating. By the end of October, there were 1.77 million homes available for sale, down 2.7 percent from a month earlier and 4.3 percent from a year earlier. At the current sales pace, inventory levels would last only 3.9 months. This was down from the 4.1-month supply in September 2019 and the 4.3-month supply in October 2018. The average home was available for sale for just 36 days in October; in comparison, homes were on the market for 32 days in September 2019 and 36 days in October 2018. Of all the homes sold in October, 46% remained on the market for less than a month. According to Yun, the issuance of more housing permits should help ease the inventory shortage across the country. However, "In order to better counter and even slow the increase in housing prices, home builders will have to bring additional homes on the market."

Climbing Home Prices
The housing market would benefit from a slowdown in home price increases. The median existing-home price rose 6.2% from October 2018. All regions of the country recorded increases in prices. What's more, this was the 92nd consecutive month of year-over-year price gains.

Regional Breakdown
When compared to a month ago, the Midwest and the South both experienced sales increases; however, every region saw their sales improve year over year. In terms of home prices, all housing regions in the country reported gains, with price increases the strongest in the West.

Northeast - Existing-home sales annual rate of 690,000; a decrease of 1.4% from September 2019, but unchanged from October 2018. Median home prices increased 5.7% from October 2018.

Midwest - Existing-home sales annual rate of 1.29 million; an increase of 1.6% from September 2019, and an increase of 2.4% from October 2018. Median home prices increased 6.7% from October 2018.

South - Existing-home sales annual rate of 2.35 million; an increase of 4.4% from September 2019, and an increase of 7.8% from October 2018. Median home prices increased 6% from October 2018.

West - Existing-home sales annual rate of 1.13 million; a decrease of 0.9% from September 2019, and an increase of 3.7% from October 2018. Median home prices increased 7.8% from October 2018.

January 8, 2020

Three New Year's Resolutions Tips
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You love 'em. You hate 'em. Either way, it's New Year's resolutions season and people all over the world have resolved to be a better version of themselves. Want to make sure that the ones you choose are a success? Here are three tips to make sure this year is your best year yet:

1. Bite-sized goals. Don't bite off more than you can chew. To do that, you'll have to look at the entire year. It’s a marathon, not a sprint. There's a reason gyms are packed on January 2. By the middle of February, however, everyone left in the gym is waiting for the January gym-goers to leave. Plan out where you want to be a year from now. Then write it down. Tell a friend. Keep yourself accountable. Now, month by month, write down where you want to be next. Make the small goals realistic. It will help make the end goal seem much more achievable.

2. Find measurable markers. This is extremely important for your end success. If your goal is to lose weight, think about the things that you can measure to accomplish it. These measurable markers must be things that you can directly influence. In our example, losing weight can be measured by overall caloric intake versus caloric burn and how many minutes you walk in a day. Both of these measurable markers will affect your weight loss. If your goal is to save for a big trip, two measurable markers are how much you're placing into a savings account and how much you're spending on dining out each week. Get the picture?

3. Celebrate small successes. It's easy to get down on yourself when you don't see immediate success. However, success doesn't just mean your end goal. It means celebrating the mile markers each time you notice a small improvement. Pro tip: If your end goal is to get healthy or lose weight, don't celebrate with a sugary cupcake! Find another tangible celebration that won't get in the way of your final success.

With these easy-to-follow tips for New Year's resolutions, you're destined for success. Here's to a better year; here's to a better you!

January 8, 2020

Enjoy the Hygge Decorating Trend This Winter Season
Photo: © KristianSeptimius - iStockphoto

The hygge tradition celebrates a break from the stresses of life. This Danish concept of all things cozy and calm is appealing to people who are overwhelmed by a busy world. Bring a little hygge into your home through your interior decorating.

Start with neutral colors.
Hygge-style decorating is very simple and neutral. Start with walls and floors that are a neutral color. Furniture should be subdued as well. Think of colors that help your mind relax.

Use baskets for storage.
The natural look of a woven basket is perfect for creating a comfortable, relaxed atmosphere in your home. Use small baskets to hold small household items like television remotes or coasters. Bigger baskets can hold blankets, board games, and just about anything else.

Decorate with candles.
Candles bring a sense of warmth to a room, even when they aren't lit. Use candles around your space to promote tranquility. Scented candles can also help set the mood.

Bring in natural materials.
Surround yourself with natural elements that keep your mind free from stress. Natural wood is the most common choice for furniture and trim, but you can also use stone and metals.

Add texture wherever possible.
When choosing pieces that are plush, keep texture in mind. Fabrics like velvet, herringbone, and wool are wonderful to touch and will add complexity to your décor.

Light a fire.
If you have a fireplace, make it the focus of your living area. The warmth and flickering light are perfect for creating a cozy space. If you don't have a fireplace, consider a wood stove, a faux fireplace, or even an electric version.

Pile up blankets.
Keep plenty of blankets handy for snuggling and snoozing. You should have neutral throws folded up at the end of the sofa or draped over the back of a chair.

String some white lights.
Place beautiful white lights around your space to bring a soft glow into the darkness of evening. They will shine like stars and help you relax.

Keep tableware simple.
To keep the hygge flowing even during meals, set your table with understated dinnerware. White is a perfect color for plates. Silverware should be muted and free of extra decoration. A single bud in a vase is the perfect detail as a centerpiece.

Overstuff your seating.
Comfort is the most important aspect of hygge decorating, so make sure your furniture is the kind you can sink into. Sofas and chairs should be soft and full, as if they were waiting for someone to curl up with a book.

The hygge tradition celebrates warmth, relaxation, and a break from the stresses of life. Give yourself a slice of this amazing lifestyle by creating a home that will truly calm your soul and spirit.

January 8, 2020

Beware of These Risks with Home Equity Loans
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If you're a homeowner, you may be eligible to take out a special loan known as a home equity loan, or HEL. An HEL may allow you to borrow 80% of the value of your home minus the current balance of your mortgage.

In addition to home equity loans, banks also offer homeowners home equity lines of credit (HELOCs). Home equity lines are different from home equity loans. With HELs, you receive your money all at the same time in one lump sum. HELOCs, on the other hand, are more like credit cards because they offer borrowers a set credit line that they can dip into over time. Each month, the borrower can pay the monthly minimum or as much as they want. Home equity lines typically have variable interest rates that change on a monthly or yearly basis, while home equity loans are usually fixed.

As with anything else, there are risks that come along with an HEL or an HELOC. If you fail to make your home equity loan payments on time, you could risk losing your home and you'll still have to pay back the remaining balance. Just like HELs, failure to keep up with HELOC payments can result in having your home repossessed. And unlike equity loans, equity line lenders can drop your credit limit to whatever you currently owe and prevent you from using any more credit.

As you can see, despite the convenience, borrowing money via a home equity loan or line of credit can be risky. If you're considering one of these options, you should be aware of a few things.

? Watch Out for Variable Rates. Offers with adjustable interest rates are tempting because they can be so low during the first year of the loan. But watch out, because these variable rates are infamous for skyrocketing during the second and subsequent years. Ask your lender about the interest rates including how much you can expect them to increase over time and a worst-case scenario.

? Understand Tax Breaks. One of the nice things about HELs and HELOCs is that the interest you pay may be tax deductible. If you're using the money to pay for home improvements, the interest is tax deductible up to $750,000.

? Look Out for Fees. Many lenders charge hundreds or even thousands of dollars in initial or ongoing fees when you borrow using a home equity loan or line of credit. In some instances, though, these fees can be waived, so keep an eye out. Always factor in fees before deciding whether it makes sense to borrow via an HELOC or HEL.

? Shop Around for the Best Deal. Before deciding on a home equity lender, you should know what options are available. Contact me with your questions so I can help you find the best fit for your needs.

January 8, 2020

Get a Great Start to the New Year with These Five Tasks
Photo: © Just images - AdobeStock
The beginning of a new year is prime time to position yourself for success. Accomplishing the following five household tasks in January will set the stage for success in other areas of your life for the rest of the year.

Change Furnace Filters
Begin the year with a breath of cleaner air by changing the filters in your furnace. This will help your heating system work more efficiently, which prolongs the life of the system and saves on energy costs. The cleaner air will also help your respiratory system better fight off seasonal colds. While you're at it, purchase enough filters for the coming quarter or year, and put the dates for changing the filters on a calendar where you will see it.

Use Up Pantry and Refrigerator Items
After the food excesses of the holiday season, give your pantry and refrigerator a good cleaning in January. Plan to use what you can this month, especially items with a shelf life that will expire in the next few months. Throw out anything that is not edible or that might spoil soon. A purged and organized pantry and freezer will help establish good eating habits and wiser grocery shopping in the coming months.

Make Up a New Budget
Budgeting can show you where you may have to cut back, beginning with the simplest fixes such as changing your phone plan or reining in entertainment expenditures. Bigger choices might include downsizing to a more manageable home, looking for a different job, or obtaining new job skills. Include a realistic monthly savings plan in your budget also.

Plot Household Tasks on a Yearly Calendar
Whether it's an electronic or paper calendar, make sure it's one you look at regularly. Begin by making a list of household tasks to include in the areas of personal finance: yard and outdoor tasks, interior cleaning chores done occasionally, monthly or quarterly maintenance tasks, and upgrades or repairs you want to do this year. Spread them out so it will be possible to get everything accomplished without feeling overwhelmed by trying to do too many things in a short time frame.

Take Time to Set Goals for the Coming Year
Thoughtfully reflect on what you'd like to accomplish by this time next year. Think about your list over a workout or brisk walk. Chat with family or close friends for their input. Be bold, be realistic, and be proactive.

January 1, 2020

4 New Year’s Resolutions To Improve Your Home

December 9, 2019

Fun Holiday Gift Idea: Homemade Seasoned Butter
Photo: © Barbara Pheby - AdobeStock

Do you spend hours baking cookies for the holiday season? Worse, do you feel guilty for showing up at the company party with store-bought products, while your coworkers clearly took extra time preparing that scrumptious casserole? Maybe you're wondering how you can possibly buy gifts for everyone on your list this year. Whatever the case, seasoned homemade butter is a tasty gift your recipients will simply eat up.

Sure, anyone can buy butter at the store, but they will never be able to purchase these butters. Just one quart of heavy cream and a bit of creative flavoring will make nearly a pound of the delectable stuff. Better yet, it's easy to do!

How to Make Fresh Butter from Cream

Pour the entire carton of heavy cream (16 oz.) into a large mixing bowl. Using a whisk attachment, start with low speed. As the liquid thickens, increase the speed gradually to avoid spatter. Experienced cooks will recognize the "soft" and "firm" peak stages, but even if you've never heard of them, you'll be fine. Just keep mixing.

The frothy white mix will progress from a creamy liquid to a whipped-cream consistency to a clumpy glob that starts yellowing. The mixer will churn this into butter quickly. Turn your speed back down to low to prevent giving your kitchen a milk shower.

You'll notice buttermilk separating from the butter. This isn't quite the same as buttermilk sold in stores, but it can be used in place of regular milk in other recipes you may be making. Once it appears that most of the buttermilk has been removed from the butter, you'll want to rinse the butter in cold water and massage it gently with your fingers or the back of a spoon to squeeze out any remaining milk, which can cause your butter to sour prematurely.

Not feeling adventurous enough to make butter from scratch? Skip that step and buy a pound of unsalted butter to create your seasoned ones.

Soften the Butter. Let the butter come to room temperature, then whip it with a spoon or an electric mixer until it is soft.

Add Flavors. Now comes the fun part—adding flavor. Garlic and herb seasoning can be added to taste if you'd like to create an elegant addition for the dinner table. Brown sugar and cinnamon produce a delectable toast spread to brighten any day. A tiny bit of honey makes a fantastic biscuit topping. Experiment with finely chopped chives, nuts, or fruit, but be careful about changing the consistency of the butter.

Make a Pretty Present. Now you're ready to wrap your seasoned butter. Buy decorative, small glass jelly jars and fill each jar with the seasoned butter. Use the back of a teaspoon to smooth and press the butter. Cut a square of fabric and tie it around the lid with a pretty ribbon.

Note: To ensure freshness, butter may be frozen for weeks before gifting.

Find more seasoned butter recipes at www.tasteofhome.com/article/easy-flavored-butter-recipes.

December 9, 2019

Mortgage Rates Are Low, but Home Prices Are Rising

Photo: © Maksymiv Iurii - AdobeStock

By the end of September, there were 1.83 million homes available for sale; this figure is unchanged from a month earlier but is 2.7% lower than the 1.88 million homes that were available a year ago. At the current sales pace, it would take only 4.1 months to sell the current supply of homes, up from four months in August but down from 4.4 months in September 2018. The average home remained available for sale for 32 days, unchanged from a year ago but a day longer than a month ago. Of all the homes sold in September, 49% were available for less than a month.

Equity Gains
This lack of inventory is leading to an increase in home prices. In September, the median existing-home price climbed 5.9% year over year to $272,100. Every major sales region recorded price increases. What's more, September marked the 91st consecutive month of year-over-year price gains. This combination of lack of inventory and increasing home prices is leading to a decline in home sales. After two months of increases, existing-home sales declined in September. While every sales region in the country reported declines, no area was as hard hit as the Midwest. According to Lawrence Yun, chief economist for the National Association of Realtors, "We must continue to beat the drum for more inventory." Yun has been calling for an increase in new home construction for the past year, which should be enough to alleviate the pains associated with the housing shortage.

Foot Traffic
Despite the climbing home prices, buyers still see the potential in the housing market. Mortgage rates are currently under 4%, an attractive incentive for would-be buyers. And according to Yun, "The rise in foot traffic, as evidenced by the open rates of SentriLock key boxes, shows growing buyer interest." Some of this increased foot traffic is coming from first-time buyers. This group accounted for 33% of all home sales in September; this is up 2% month over month and 1% year over year. According to NAR's "2018 Profile of Home Buyers and Sellers," first-time buyers made up 33% of the buying public in 2018. However, the high prices might be discouraging individual investors and second-home buyers from entering the market; these two groups typically purchase homes using cash. These groups accounted for 14% of all home purchases in September, unchanged from August but down 2% from a year earlier. Of all transactions in September, 17% were all-cash sales. In comparison, these types of transactions accounted for 19% and 21% of all sales in August 2019 and September 2018, respectively.

Regional Breakdown

Northeast - Existing-home sales annual rate of 690,000; a decrease of 2.8% from August 2019 but an increase of 1.5% from September 2018. Median prices increased 5.2% from September 2018.

Midwest - Existing-home sales annual rate of 1.27 million; a decrease of 3.1% from August 2019 but relatively unchanged from a year ago. Median prices increased 7.2% from September 2018. 

South - Existing-home sales annual rate of 2.28 million; a decrease of 2.1% from August 2019 but an increase of 6% from September 2018. Median prices increased 6.3% from September 2018. 

West - Existing-home sales annual rate of 1.14 million; a decrease of 0.9% from August 2019 but an increase of 5.6% from September 2018. Median prices increased 4.5% from September 2018.

December 9, 2019

Healthy Ways to Handle Stress

Photo: © Drobot Dean - AdobeStock

With all the fun and joy, the holiday season can bring along a load of stressors as well. The first and most effective line of defense against stress is to identify stressors and find ways to minimize or eliminate them. Life usually comes with seasons of ease and seasons of stress, so eliminating stress isn't always an option. If you are particularly stressed around the holidays, consider the following effective, all-natural methods for managing stress.

Focus on Solutions
It's healthy to communicate your thoughts, but instead of focusing your attention on the problem, write down at least two solutions to remedy your stressful situation. State the problem succinctly in a sentence or two, then spend the next five minutes writing out the best-case scenario for your problem. It's both productive and cathartic.

Perform a Calming Exercise
When you deal with stressful situations, you need something to "calm your nerves." Expend the extra energy by going for a walk. Light exercise is a great drug-free method for managing stress. You don't need to speed-walk. Sometimes a leisurely walk to the end of the block and back is sufficient to expend nervous energy and help you to reestablish both physical and emotional balance.

Breathe in Your Favorite Scent
It is no secret that certain scents help the body to relax. Deep breathing also helps manage stress. Find your favorite scent—a scented candle or a favorite fruit (orange peel is great for this)—and just inhale deeply. Focusing your attention on a rhythmic, involuntary function like breathing redirects your thoughts and energy away from your problem.

Aim for Proper Nutrition
Often, the temptation is to choose fatty sweets or so-called comfort foods to help us through the tough moments, but instead of reaching for sugar, fat, and carbs, opt instead for protein, calcium, and iron. Why? The amino acid in protein helps increase your dopamine levels; iron helps your body battle fatigue; and calcium, which stress depletes, is necessary for neurological health. Instead of a slice of cake, you would fare better with grilled chicken and cheese on iron-enriched wheat bread.

December 9, 2019

Style Your Walls with Eye-Catching Accents
Photo: © Ivan Kmit - AdobeStock

Styling your living space with wall art is actually as exciting as choosing furniture or other accents for a home. Here are some simple and smart modern wall décor ideas that are truly inspirational.

Do-It-Yourself Wall Décor

Designing a home involves a lot of aspects, including furnishings, flooring, and beyond. It's why walls are often an afterthought. Keep these wall décor DIY projects in mind and you will instantly bring that space to the forefront.

1. Invent your own art gallery on any wall by printing and grouping together favorite photos from your smartphone. Use inexpensive, different-sized frames and turn any room into a showplace.

2. Tap into your inner traveler and give life to old maps by placing them in frames and arranging them in groups.

3. Hang baskets or hats to create three-dimensional wall accents. This looks chic behind a headboard, in a stairwell, kitchen, or foyer.

4. Antique plates and bowls or those with sensational colors or patterns make for delightful wall décor in a kitchen, foyer, bathroom, or bedroom.

5. Take one of your favorite photos and make a large print. Then, divide it into two or more sections. Put each section in a different frame and that big empty space is suddenly an attention-getter.

Pretty As a Picture

Another simple way to complement your room design and take away a blank space is to decorate the walls with works of art. The key here is to choose art that speaks to you personally. Art doesn't have to be pricey to be valuable. A painting merely needs to bring you pleasure. You can find a great painting at a garage sale. If the painting warms your heart and it fits with your decorating style, then go for it.

Wall décor paintings can be hung individually or grouped together. Just like with printed photos, you can stage an art gallery of sorts right in your own living room.

Remember, paintings should always be hung at the eye level of an individual that stands between 5 feet, 6 inches and 5 feet, 8 inches tall. Basically, paintings should be enjoyed without having to look up.

Say It with Shelves

If you're staring at a blank wall and coping with storage issues, think shelves. A functional and stylish arrangement of shelves gives the open space a purpose. Pick shelving that complements room and furniture choices. Once the shelves are up, decorate them accordingly with books, photos, and more, being careful to avoid overstuffing them. Packed shelves look cluttered, not inviting.

When it comes to bold wall accents, it is okay to think outside the box. Sure, classics like framed photographs and paintings will always look fabulous, but remember it is also okay to dare to be different by dressing up blank wall space with a funky floor lamp, a chic tapestry, or even a classic wooden ladder.

Don't let empty walls intimidate you; let them inspire you instead.

December 9, 2019

Avoid These Six Serious Mistakes During Closing
Photo: © Photosoul - iStockphoto

After a long search, you've found your ideal home. Your offer has been accepted, your mortgage approved, and the legal process is underway. Perhaps now you can relax and start making plans for your new chapter in life, right?

Unfortunately, things aren't quite that simple. Until closing has completed, you still need to ensure you do not derail your purchase. Here are six vital mistakes to avoid until you're firmly settled in your new home.

1. Switching Jobs
Avoid switching jobs between your mortgage approval and actually getting the keys in your hand. Taking a new position is a major change in status and could invalidate your approval.

2. Switching Banks
You may be able to get a better savings rate or less expensive overdraft fee by moving banks, but now isn't the time to take advantage of any attractive offers. Changing the details of your bank muddies the waters of your financial situation, and a lender will need to begin their verification processes over again.

3. Applying for New Credit
Your mortgage was approved in the light of your existing credit availability. If you suddenly take on new debt or even just an unused credit line, it will alter the overall picture. Even small changes could have a big impact if your approval was borderline.

4. Paying Off Debt
You may think clearing a debt could only have a positive effect on your finances. Unfortunately, every change in your credit status can be enough to trigger a reevaluation of your loan eligibility, and this includes clearing previous debt.

5. Changing Marital Status
Getting married and buying a new home often go together, but all changes in marital status will have an impact on your credit rating. It may trigger a minor or major change, depending on how closely your individual files match up, but it's best to avoid any disruption at all during this sensitive period.

6. Making Major Purchases
Resist the temptation to shop for furnishings for your new home or make any other major purchases until your mortgage is signed, sealed, and delivered.

If you have questions about home buying or if you need help finding a lender, contact me today!

November 17, 2019

Spotlight on Home Loan Benefits for Veterans

November 13, 2019

Hosting Thanksgiving Dinner? Read These Tips
Photo: © Fahrwasser - AdobeStock

If you are inviting family and friends over for dinner on Thanksgiving, then you've got a lot on your hands. The stress involved with planning, preparing, and executing Thanksgiving can be a bit overwhelming, so here are five tips for hosting a successful holiday dinner:

Offer Simple Appetizers.
You've already got a lot on your plate in terms of the food you have to cook and prepare, so skip the fancy appetizers and offer something simple before dinner such as mixed nuts, olives, or a cheese plate.

Don't Test Out Recipes.
Stick to what works. Even if it's a side dish or a dessert, Thanksgiving is not the time to try out new recipes. If it turns out poorly, then the taste of that failed dish is what's going to stick in your guests' taste buds.

Keep Dietary Restrictions in Mind.
If you're having friends and family over for Thanksgiving dinner, find out if anyone has dietary restrictions. You may want to have a few alternative dishes available for anyone that's vegan or vegetarian or has dietary restrictions or allergies.

Set the Table the Night Before.
Even though it may not take that long to set the table, you may find yourself with very little time to do so on the day of—especially if you're the one in charge of cooking Thanksgiving dinner. Spend some time the night before setting up each place and adding a centerpiece to create a festive atmosphere. You may even want to create a seating chart for your guests to make things more organized come dinnertime.

Ask Your Guests to Bring Side Dishes.
You can make things a little easier on yourself if you ask guests to bring side dishes or desserts. This way you can focus on the main course. Your guests should have no problem doing this—in fact, they'll be happy to help out. By having them bring desserts or side dishes, you'll make them feel like they had a hand in a successful Thanksgiving dinner.

Hosting Thanksgiving dinner can be a lot of fun, but it comes with a lot of pressure as well. Use these tips to help your Thanksgiving dinner go smoothly.

November 13, 2019

Easy Seasonal Cranberry Desserts
Photo: © JJAVA - AdobeStock

Cranberries are a cherished part of American holiday traditions. Many Americans can't imagine the Thanksgiving holiday without a bowl of cranberry relish on the table or a dab of cranberry sauce on their plate.

But cranberries deserve a star turn on the dessert menu, too. Try adding cranberries to one of these classic dishes for a holiday treat that could become one of your favorites.

Cranberry-Apple Crisp
A fruit crisp is a simple, homespun dish that's a snap to make. Give this family favorite a holiday twist by adding whole or chopped fresh cranberries.

Ingredients for streusel topping:

1 1/2 cups quick-cooking oats
1/4 cup chopped walnuts
1/2 cup all-purpose flour
1/2 cup butter, melted
1/2 cup brown sugar
1/2 tsp cinnamon

To make the fruit crisp: Toss together 2 cups fresh cranberries, 3 cups apples (peeled and either sliced or chopped into pieces), 3 tablespoons all-purpose flour, 1 cup sugar, and a pinch of salt. Place the mixture in a 9- or 10-inch buttered baking dish. Cover the fruit with the streusel and bake in a 350-degree oven for 40–50 minutes. You'll know the dish is ready when the fruit filling is soft but not mushy and the topping is crisp. Serve your cranberry-apple crisp warm or cooled, and either on its own or accompanied by whipped topping or vanilla ice cream.

This dish is easy enough and good enough that you'll want to make it more than once. Experiment with the amount of sugar you use to bring out the best in the cranberries. Try pairing the cranberries with different types of apples, too. Tart baking apples like Granny Smiths and Jonathans will push the dish in a pucker-inducing direction, while sweet varieties like Golden Delicious and Honeycrisps will provide a mellow contrast.

Cranberry Upside-Down Cake
Few homemade desserts look better than an upside-down cake. For the holidays, try replacing the traditional pineapple-and-maraschino-cherry topping with a layer of ruby-red cranberries sweetened by butter and brown sugar.

Making an upside-down cake is much easier than it looks. You'll begin with the topping. Melt 4 tablespoons unsalted butter and 3/4 cup brown sugar together in a saucepan. Heat the mixture, stirring constantly, until it just starts to bubble. Remove the mixture from the burner, let it cool slightly, and stir in 12 ounces of fresh cranberries. Spread this mixture evenly across the bottom of a well-greased cake or springform pan. Pour a simple yellow or white cake batter over the fruit, pop the whole thing into the oven, and bake as directed.

The one tricky part in making an upside-down cake is getting the finished dessert out of the pan without leaving any of the topping behind. You'll increase your chances of success by greasing the sides and bottom of your pan generously before adding the fruit or batter. It also helps to run a knife around the outside of the baked cake to separate it from the pan before inverting everything onto a platter. Finally, let the pan sit on the inverted cake for a moment before removing, so that gravity has a chance to help keep the topping where it belongs.

If, despite all your best efforts, some topping remains stuck to the pan, don't worry. Just use a spatula or a knife to remove the stuck bits and put them back in place on the cake. An added advantage of using cranberries instead of pineapple slices is that the small round berries lend themselves more easily to this type of repair work. You're the only person who will ever know the cake didn't come out of the pan looking perfect.

Fresh Cranberry Topping
Imagine a slice of creamy, classic cheesecake paired with a delicious cranberry topping, and not the kind that comes out of a can, but rather, a sauce you've made yourself from fresh or frozen cranberries, sugar, and possibly a splash of orange juice, cider, or your favorite liqueurs.

This topping can be made ahead of time. Combine 3/4 cup water, 1 1/4 cups granulated sugar, and 1/2 cup honey in a saucepan and bring the mixture just to boiling point. Reduce the heat and stir in a 12-ounce bag of fresh cranberries. Reduce the mixture to a simmer and let it cook until the cranberries have split their skins. Remove the sauce from the heat and allow it to cool.

Store the cranberry topping in a covered container in the refrigerator.

To serve, let the topping come up to room temperature and spoon or drizzle it over slices of homemade or store-bought cheesecake. Return any leftover sauce to the refrigerator to use the next morning on waffles or pancakes, or the next night with vanilla ice cream.

November 13, 2019

Existing-Home Sales Increase, but Inventory Shortages Continue

Photo: © Gorodenkoff - AdobeStock

For the second month in a row, existing-home sales increased, according to the National Association of Realtors (NAR). Of the four major regions in the country, three saw their total sales figures climb; only the West reported a slight decline. The rise in sales can be partly attributed to declining mortgage rates. According to Lawrence Yun, chief economist for NAR, “The desire to take advantage of these promising conditions is leading more buyers to the market.”

Prices Climb Higher
Home buyers will need these lower mortgage rates because home prices are continuing to climb. The median existing-home price increased 4.7% year over year to $278,200. This was the 90th month in a row where year-over-year price gains were recorded. The average property stayed on the market for 31 days in August, two days longer than both a month ago and a year ago. Of all the homes sold in August, 49% were available for sale for less than a month.

Ongoing Inventory Shortages
One of the reasons for the higher home prices is the housing market’s continuing lack of inventory. Total housing stock fell to 1.86 million homes; this was down from the 1.9 million in inventory available in July. At the same time last year, there were 1.91 million homes available. At the current sales pace, it would take only 4.1 months to sell the housing stock, down from the 4.2-month supply and the 4.3-month supply recorded a month ago and a year ago, respectively. According to Yun, “Homebuilders need to ramp up new housing, as the failure to increase construction will put home prices in danger of increasing at a faster pace than income.”

Who’s Buying?
First-time buyers continue to make up a significant segment of the buyer market, with many tempted by low mortgage rates. First-time buyers accounted for 31% of all home sales in August; this was down 1% from July but unchanged from a year ago. According to NAR’s 2018 Profile of Home Buyers and Sellers, first-time buyers were responsible for 33% of all home purchases for the year. Investors and second-home buyers—two groups who typically purchase homes with cash–also saw investment opportunities in the current market. These two groups accounted for 14% of the buyer market in August, up from 11% a month ago and 13% a year ago. All-cash sales represented 19% of all home transactions in August, unchanged from July and down slightly 1% from August 2018.

Regional Breakdown

Northeast - Existing-home sales annual rate of 710,000; an increase of 7.6% from July 2019 and 1.4% from August 2018. The median sales price decreased 0.3% from August 2018.

Midwest - Existing-home sales annual rate of 1.31 million; an increase of 3.1% from July 2019 and 2.3% from August 2018. The median sales price increased 6.6% from August 2018.

South - Existing-home sales annual rate of 2.33 million; an increase of 0.9% from July 2019 and 3.6% from August 2018. The median sales price increased 5.4% from August 2018.

West - Existing-home sales annual rate of 1.14 million; a decrease of 3.4% from July 2019, but an increase of 1.8% from August 2018. The median sales price increased 5.7% from August 2018.

November 13, 2019

Use These Tips to Sell Your Home in the Fall and Winter
Photo: © Tab62 - AdobeStock

Although studies show that April through June are the most prolific months for selling properties in many areas of the country, life doesn’t always cooperate. When you have to sell a home in the fall or winter, you can use the following tips to help quickly turn an open listing into a closed one.

Adjust Your Thermostat
Keep the home temperature comfortable for house hunters. The good news is that you usually don’t have to blast the air conditioning when listing in the fall or winter. Buyers want to know that their new home can keep them cool when it’s hot and warm when it’s cold. Replace air filters before listing the home, and make sure to have a well-maintained HVAC system. If you have a fireplace, have the chimney cleaned and inspected beforehand.

Enhance Seasonal Curb Appeal
People love the growing season, but yards can turn bare or boring in fall and winter. That’s why it’s important to maintain curb appeal even when days get shorter. Remove fading flora and keep the yard clean and maintained. Make sure that you play up any outside entertaining areas by adding suitable outdoor furniture. If you have fantastic pictures of what your home looks like in the spring or summer, add them to the online portfolio.

Add Tasteful Holiday or Seasonal Elements
When you list a home, it should lack personalization. However, you do want to create a homey atmosphere. Set the scene with tasteful seasonal décor and add pleasant smells. Options for the latter include cinnamon, pine needle, peppermint, and pumpkin spice.

Price Your Home to Sell
Although there are usually fewer people looking to buy a home over the holidays and in the winter, these buyers tend to be more serious. People who are serious about buying a home are looking for a well-priced house that’s in line with market value. So, it’s important to set the correct price from the start. Work with your real estate agent to price your home close to the sales value of similar properties in the area.

Although the spring market seems favored by many, you can successfully list and sell your home in the fall and winter months. When you choose to go this route, your home should stand out to draw more house hunters. Please contact me for more tips on how to successfully list and sell your home over the fall and winter seasons.

October 14, 2019

Try These Tips to Cozy Up Your Home for Fall
Photo: © Photographee.eu - AdobeStock

The start of a new season is the perfect time to refresh your home décor for the months ahead. As the season changes and the days grow shorter, family and friends alike will look forward to gathering in the dining room for hot meals and curling up in the living room to watch football. A few simple décor changes will go a long way toward creating a cozy home environment this fall.

Add a Few Candles.
Candles are a quick, inexpensive way to add comfort and warmth to any room in the house. Swap out your summer fragrances for fall scents, such as cinnamon and bonfire. Experiment with grouping candles of different sizes to create visual interest amid your home décor. Always make sure to smell candles before purchasing them, as many candles are strong and not suited to everyone's tastes. Place candles out of reach of young children and pets, and extinguish them before going to sleep or leaving the house.

Put Out Throw Blankets.
A generous selection of throw blankets in the living room, den, finished basement, or other hangout space encourages everyone to tuck in for movie night or the big game. Choose seasonal colors and patterns to play up the autumn aesthetic in your home. Store blankets in an ottoman or basket when they aren't in use so they don't clutter up your living spaces.

Switch Up the Throw Pillows.
Once you've stocked up on throw blankets, select throw pillows to coordinate for the autumn season. Investing in high-quality pillow inserts and then swapping in new covers periodically is a simple way to keep your décor fresh for a fraction of the price. It's also a lot easier to store pillow covers than full pillows. Look for throw pillow cover designs with warm fall colors, seasonal themes, and fun patterns, such as chevrons and circles.

Layer Your Blankets and Throw Rugs.
Layering blankets on the sofa and beds and throw rugs throughout the house creates visual interest while making the house warmer. Your feet will appreciate the extra layers, and you'll always have a blanket handy on chilly nights. Be careful not to mix too many patterns, otherwise it will look cluttered and be distracting. If you have one blanket with a vivid pattern, pair it with a solid-colored blanket.

Change Out the Curtains and Drapes.
Lightweight bamboo Roman shades and breezy curtains are ideal for the summer months. As the weather cools down, though, think about swapping out your lighter window coverings for heavier alternatives, such as thick, full-height curtains and drapes in darker colors. Many draperies also layer perfectly over lighter window treatments, such as hanging drapes over bamboo shades.

Prepare Warm Soups and Desserts.
Nothing is more inviting than coming home to the smell of beef stew or apple pie. Most soups and stews can be prepared in a Dutch oven or slow cooker, both of which are staple appliances worth the investment if you don't own them already. When you're hosting a family dinner or a night in, set aside time to make pumpkin pie or hot chocolate from scratch so the house smells amazing and you have a delicious treat ready when your guests arrive.

Display a Wreath on the Front Door.
Switching up your front door wreath each season is a simple way to keep your home décor fresh and inviting with very little effort. For fall, look for wreaths that feature pumpkins, plaids, burlap, or brightly colored leaves. If you're crafty, an autumn wreath is a fun DIY project that will add a personalized touch to your home. Big box stores and big box craft stores also feature an extensive assortment of beautiful autumn wreaths.

Prep the Fireplace.
In most areas of the country, the fireplace doesn't get used much from March through October. Before you run the gas fireplace or build a fire in the wood-burning one, hire a professional to perform a seasonal maintenance check. You'll be able to get any leaks and other issues taken care of before you have a fire, greatly reducing the risk of an incident. For wood-burning fireplaces, stock up on firewood and repair or replace any worn-out or broken fireplace tools.

Cozy Up the Patio.
Most people get so focused on getting their indoor living areas ready for fall that they neglect their porches and patios. Fall often brings beautiful weather, perfect for enjoying a fire and a glass of wine outside after dinner. Keep an outdoor basket with throw blankets, pillows, and candles handy for comfy autumn evenings in the yard.

As you cozy up your home for fall, focus on the areas of the house that are most important to your family. If you spend all your time hanging out in the den instead of the living room, make sure to put a few seasonal touches in the den.

October 14, 2019

Home Sales Up, but Affordable Homes Still in Short Supply
Photo: © Deyan Georgiev - AdobeStock

After dropping slightly in June, existing-home sales climbed in July to 5.42 million, as reported by the National Association of Realtors (NAR). Every region of the country—with the exception of the Northeast—experienced sales gains. According to Lawrence Yun, chief economist for NAR, "Falling mortgage rates are improving housing affordability and nudging buyers into the market."

Shrinking Supply
Yet the gains in existing-home sales might have been even more impressive had it not been for the housing market's continuing inventory woes. Total inventory fell at the end of July to 1.89 million existing-homes available for sale, down from 1.92 million both a month ago and a year ago. At the current sales pace, housing inventory will last only 4.2 months; there was a 4.4-month supply and a 4.3-month supply a month ago and a year ago, respectively. Of all the homes sold in July, 51% were on the market for less than a month. The average time a home spent on the market was 29 days, up from 27 days in both June and July 2018. According to Yun, an increase in new home construction is necessary to improve the housing stock. "Some new apartments could be converted into condominiums, thereby helping with the supply, especially in light of new federal rules permitting a wider use of Federal Housing Administration (FHA) mortgages to buy condo properties."

High Price Impact
The lack of inventory, especially on the lower end of the market, is leading to higher home prices. For the past 89 months in a row, home prices have increased. July's median existing-home price climbed 4.3% from June. Unfortunately, one group in particular is being impacted by the supply shortage and resulting price increases on affordable homes: first-time buyers often purchase homes priced at the lower end of the market, but this group accounted for only 32% of all home purchases in July, down from 35% in June and unchanged from July 2018. According to NAR's 2018 Profile of Home Buyers and Sellers, first-time buyers represented only 33% of the home buying public in 2018.

Confident in the Economy?
Consumer confidence is important to home buyers. According to Yun, "Home buying is a serious long-term decision, and current low, or even lower, future mortgage rates may not, in themselves, meaningfully boost sales unless accompanied by improved consumer confidence." Home buyers will be looking to the nation's economic outlook when deciding to purchase a home in the next few years.

Regional Breakdown

• Northeast - Existing-home sales annual rate of 660,000; a decrease of 2.9% from June 2019 and 4.3% from July 2018. Median home prices decreased 1% from July 2018.

• Midwest - Existing-home sales annual rate of 1.27 million; an increase of 1.6% from June 2019 and 0.8% from July 2018. Median home prices increased 8.1% from July 2018.

• South - Existing-home sales annual rate of 2.31 million; an increase of 1.8% from June 2019 and 2.7% from July 2018. Median home prices increased 5.2% from July 2018.

• West - Existing-home sales annual rate of 1.18 million; an increase of 8.3% from June 2019 and a decrease of 0.8% from July 2018. Median home price increased 3.7% from July 2018.

October 14, 2019

Hot Front Door Trends for Autumn
Photo: © dpproductions - iStockphoto

Make a statement by updating the look of your front door. Whether you opt for a brand-new entry or add a decorative arrangement as a focal point, the key is to attract eyes to your home décor style. The following are favorite front door trends for fall you can consider.

Bold Front Doors
One hot trend this season is to paint your front door with a bold and unexpected color. Mustard tones are particularly popular for the fall and winter, but you can choose anything from olive green to a vibrant cherry red. Pick a color you love that enhances your home's curb appeal.

Topiary Trees
Framing your front door with topiary trees will give the exterior of your home a fresh look. Match the pots to the paint color of your house, or choose a vibrant accent color to make your new topiary trees pop. An added benefit to this front door trend is that you can adorn your new trees with seasonal accents for the holidays.

Decorative Wreath
Choose a wreath in autumn colors to accent the look of your home's exterior. Colors like burgundy, mustard, and burnt orange are fabulous options to add a touch of autumn color to your home's front door.

October 14, 2019

Should You Remodel or Move?
Photo: © scyther5 - iStockphoto

Maybe your house was the perfect size when you first moved in, but as your family expanded you've since outgrown the space. Regardless of the reasons your home is no longer ideal, you now have two choices: remodel or move. Consider these important points to help you make a decision.

Is Your Location Desirable?
If you live in a neighborhood with a great sense of community and you've settled into the area, then moving would uproot you from your community ties, but perhaps you would benefit in other ways. For example, if you've changed jobs and your new commute time is significant, then living closer to your workplace would give you a better quality of life. Another factor to always consider about a neighborhood is the crime rate. Everyone wants a stylish, functional home, but it's more important that it's in a safe neighborhood.

Is Your Home Functional?
Perhaps your house is large enough, but you'd prefer a different layout. For example, if you want an open-floor plan, then you may need to tear down a divider wall, or if you need more kitchen space, adding taller cabinets could improve storage. Each functional change made to your home will cost money, though, so it's helpful to make a list of all the things you would like to change about your current home or find in a new one.

What Is the Cost Analysis?
Selling your current home and moving to a new home may make more financial sense than going through the cost and stress of a remodel. To help you analyze the costs, you should speak with a real estate agent to get a valuation of your current property and an idea about what the home of your dreams would cost you. You could also get a remodeling estimate from a contractor. Choose the option that makes the most sense for you and your family.

October 14, 2019

Five Ways to Buy a House with Little or No Money Down
Photo: © Stevecoleimages - iStockphoto

Many people believe that you must have a huge down payment saved up to get your foot on the property ladder. However, this is not the case. There are a number of programs in place that will allow you to buy a home with little or no money down.

VA Loans
If you're active-duty military or were honorably discharged, the U.S. Department of Veterans Affairs (VA) has a no-money-down program that's worth a look. The qualification process is straightforward, and unlike private lenders, the VA doesn't require mortgage insurance, which can be a major expense depending on the size of your loan.

USDA Loans
If you're not in the military, consider the U.S. Department of Agriculture (USDA), which runs a no-money-down program for low-to-moderate income homebuyers in rural and suburban areas nationwide. Unlike the VA, the USDA requires mortgage insurance in the form of an upfront fee and an annual amount, but both can be rolled into the loan and paid monthly.

FHA Loans
The Federal Housing Administration (FHA) guarantees loans made by private lenders. This arrangement enables borrowers with a poor credit history or few available funds to get approved for home loans. The FHA requires 3.5% down, but that money can come from friends, family, or other qualified benefactors.

The Conventional 97 Program
For a less expensive option, try the Conventional 97 program. It requires only 3% down and also accepts payment in the form of a gift?so long as the contributor is a relative by blood or marriage, a guardian, a domestic partner, or a fiancé.

The HomeReady Mortgage
If you don't earn enough to qualify for a traditional home loan, check out the HomeReady mortgage from Fannie Mae. This program is best for low-to-moderate income borrowers living with other people who work, as it will sum the earnings of each household member to qualify you. Like Conventional 97, HomeReady requires only 3% down.

October 5, 2019

Spotlight on new Alpine Ridge Townhomes Coming to Pittsford, NY

September 29, 2019

Spotlight on Union Place Coffee Roasters in Rochester, NY

September 17, 2019

15 Tips for a Seamless Back-To-School Transition
Photo: © candy1812 - AdobeStock

Whether you're looking forward to a new beginning or you're in end-of-summer denial, there are some things you can do now to make the back-to-school transition as smooth and positive as possible.

1. Set Goals
With a fresh school year comes an opportunity to set new goals. Pick something important to you and keep track of your progress throughout the year.

2. Clear the Decks
Enlist the kids to help find unused items and re-purpose, donate, or dispose of them. You will clear clutter and identify any clothing needs.

3. Take Stock
Back-to-school shopping can put a dent in any wallet. Schools often send out supply lists well in advance, so cross-reference that against what you already have. Take advantage of sales for what you still need.

4. Culinary Experiments
You know how, during the school year, you see recipes that look delicious and save them for "another time" when things aren't so hectic? Now is the time! Try out some new dishes and add successful meals into your rotation.

5. Smart Shopping
Everyone loves new ensembles for back-to-school, but it's even better when individual pieces work with the rest of a wardrobe to create multiple "new" outfits. Be strategic with your purchases.
 
6. Get Organized
This could be as simple as designating a "What's Happening?" area in a high traffic location of the house where you post a giant calendar, important phone numbers, and some kind of in/out system for papers and notices.

7. Meal Planners Save Sanity
There are many meal-planning apps and paper systems available, or you can devise your own. Not only will you save time and brain cells, but you will probably save some money, too. Now's the perfect time to start using one.

8. Schedule Extra-Curricular Activities
Register well before an activity starts to ensure a spot. Early registration for something like piano lessons will also mean there are more choices available for lesson times.

9. Ease Back into Routines
Night owl habits can be rough to transition out of, making school a rude awakening (pun intended) for many. Reel in the bedtimes (yours, too) and start getting up at a consistent time each morning. This will go a long way towards lessening the zombie effect.

Many schools tend to frown on all-day grazing, so try to start regulating meals and snack times to correspond with the school schedule.

10. Get (Back) into the Habit of Prepping
Do whatever you can to prepare in advance for chaotic school mornings. Getting the coffee ready to go and picking clothes the night before are good ways to ease back into the groove.

11. Add to the "Fun" Bin
Road test some new family board games or other activities that can be enjoyed throughout the school year. You can use them on nights when the family needs some fun bonding time (but everyone is too tired to learn something new).

12. Summer Bucket List
Have you done all the activities you wanted to this summer? If not, are there any you can fit in before school starts? Make a list and start checking things off.

13. Re-establish Social Connections
In the summer, social networks tend to fan out as everyone goes their separate ways on individual adventures. Now is a good time to reconnect and swap stories. Seeing their friends can help kids face the uncertainty of a new class, teacher, etc. with more confidence.

September 17, 2019

National Home Sales Decline
Photo: © smolaw11 - AdobeStock

The gains in existing-home sales in May were not repeated for a second month, as June recorded a slight decline in sales. According to the National Association of Realtors (NAR), two regions—the South and the West—were responsible for the drop in sales. While sales climbed in the Northeast and Midwest, all regions posted sales that were lower than the previous year.

Housing Shortage Continues
According to Lawrence Yun, chief economist for NAR, "Home sales are running at a pace similar to 2015 levels—even with exceptionally low mortgage rates, a record number of jobs, and a record high net worth in the country." The sluggish sales pace could be due to a lack of inventory. While the housing shortage saw some relief in June—with inventory increasing from 1.91 million in May to 1.93 million in June—the total housing stock was still unchanged from a year earlier. At the current sales pace, the supply of homes would stock the market for just 4.4 months. In comparison, there was a 4.3-month supply of homes on the market both a month ago and a year ago. The average home sold in just 27 days in June, a day sooner than in May and in June 2018. Of all the homes that sold in June 56% remained available for less than a month.

Rising Prices
The lack of inventory is affecting more than just home sales. According to Yun, "Imbalance persists for mid- to lower-priced homes with solid demand and insufficient supply, which is consequently pushing up home prices." The median existing-home price increased 4.3% from June 2018. This is the 88th month of year-over-year increases.

First-Time Jitters?
However, other factors could be at play when it comes to explaining the drop in home sales. The recent reduction in the homeowner tax incentive might be having an effect on the market. According to Yun, "Either a strong pent-up demand will show in the upcoming months, or there is a lack of confidence that is keeping buyers from this major expenditure." Yet some buyers do not seem put off from making such a major purchase. First-time buyers accounted for 35% of all sales in June. A month ago and a year ago, first-time buyers made up 32% and 31% of the market, respectively.

Regional Breakdown

Northeast - Existing-home sales annual rate of 680,000; an increase of 1.5% from May 2019 but a decrease of 4.2% percent from June 2018. The median home price increased 4.8% year over year to $321,200.

Midwest - Existing-home sales annual rate of 1.25 million; an increase of 1.6% from May 2019 but a decrease of 1.6% from June 2018. The median home price increased 6.7% month over month and year over year to $230,400.

South - Existing-home sales annual rate of 2.25 million; a decrease of 3.4% from May 2019 and a decrease of 0.4% from June 2018. The median home price increased 4.9% month over month and year over year to $248,600.

West - Existing-home sales annual rate of 1.09 million; a decrease of 3.5% from May 2019 and a decrease of 5.2% from June 2018. The median home price increased 2.3% year over year to $410,400.

September 17, 2019

Should You Lease Solar Panels?
Photo: © Wayhome Studio - AdobeStock

The cost of solar panels has come down greatly in recent years, prompting more homeowners to consider going solar. Properly sized panels can slash energy expenses by 50% or more and generate extra income during peak months. These are just two of many benefits of adding solar panels to your home. One of the first decisions you must make is whether to buy or lease the panels.

What Are the Advantages of Leasing Solar Panels?
Solar panel leases offer many advantages, including:

No upfront cost. Solar panels cost tens of thousands of dollars to install, even with a decrease in manufacturing and installation costs. Therefore, many homeowners who would benefit from lowered utility expenses do not have enough money to buy panels outright. Leasing puts solar panels within everyone's reach.

Some utility savings. Depending on the company you choose to lease panels from, you will receive a 10% to 20% reduction on your electricity costs. While the savings are not as great as when you own solar panels, it's better than nothing. When you can pay nothing up front, lower your energy expenses, and make green home improvements, what's not to love?

You don't have any maintenance costs. When you own solar panels, you need to pay for routine maintenance and repair. When you lease solar panels, the company takes care of this for you, so you never have to worry about unexpected repair costs.

What Are the Disadvantages of Leasing Solar Panels?
The downside of leasing solar panels relates primarily to their inability to provide value as a long-term investment. Consider the following:

You won't get the tax credit. Federal tax credits for green energy improvements are a big incentive to go solar. However, when you lease panels, you will not get the credit, which can run up to 30%. The company that owns the panels will get it on your behalf.

You save less and own nothing. If you plan to live in your home for decades to come, you may be better off purchasing solar panels. You'll save the most money on your utility bill and begin paying off the installation cost right away. Once you recoup your initial expenses, you can start earning money from your home and even sell extra power back to the grid. With leased solar panels, you own nothing at the end of the lease term and save less money over the long run than if you were to buy the panels.

If you decide that leasing solar panels is a good option for you, ask several companies for quotes. Then review the fine print of their contract to see how much you can expect to save on your utility bill. Find out what happens if you want to sell your home. Will the new homeowners assume the solar lease? Will you be responsible for a lease termination fee or any fees associated with removing the panels? Then weigh the pros and cons to decide on your own whether buying or leasing solar panels meets your needs.

September 17, 2019

How to Find Original Artwork for Your Home on a Budget
Photo: © Lighthunter - Shutterstock

Art transforms a home, gives it character and beauty, and serves as a little window into the souls of the people who live there. The art you choose for your home should thrill and inspire you. Unfortunately, most of us don't exactly have a budget for serious art collecting. Even posters and prints can get really expensive, especially once you factor in the framing. But all isn't lost. There are a number of ways to procure original art for your home that don't involve having to spend a ton of money.

The University Art Department
Colleges and universities in your town that have an art department probably also have student art shows and art sales, especially at the end of the semester. Haunting these events can net you some of your favorite art ever, and there's always a chance you'll end up with a piece by a future master.

A Talented Friend
We all have that friend who's a great artist. If your artistic friend sells her art, why not buy or commission a piece? It's always fun to have your friends' artwork in your home. If she doesn't sell it, ask her if she'd make something for you to buy anyway, or work up a trade of some sort.

The Monthly Art Walk
If your town has a thriving art scene, it probably has a monthly art walk where all the galleries and artists' studios are open. These events can be art gold mines because you're likely to stumble on some really great unknown artists who have undeniable talent, create stuff you love, and who don't charge a lot for their work.

Etsy and Similar Sites
Online marketplaces for the artistic and crafty are all over the place, and you can find some wonderful art at reasonable prices.

Make It Yourself
Even if you're not an artist, you're probably perfectly capable of creating some pretty great art for your walls. Try your hand at drawing, painting, photography, or printmaking. You might surprise yourself and end up with a piece you love.

Frame Your Kids' Art
It's amazing how a frame can transform a child's drawing into a work of art for the walls. Look for inexpensive frames at thrift stores and garage sales and frame your favorite pieces by your beloved.

September 17, 2019

Today's Boomer: Four Sure Signs It's Time to Downsize
Photo: © Stevecoleimages - iStockphoto

Today's boomer generation is eying retirement more critically and more creatively than any generation before it. One of the most independent generations in history, boomers have always worked hard to better their lives, and that principle shows no signs of diminishing as these free-thinking individuals approach retirement. If you're a boomer, chances are good you've had occasion to rethink retirement—on a practical, financial, and quality-of-life level—and you may have decided that selling your current home and downsizing to a more affordable and easier-to-maintain dwelling could actually improve your life. Here are four sure signs the time is right to downsize:

1. The Nest Is Empty
Your youngest has just embarked on the great adventure of making her own way into the world. Once the nest is empty, many boomers realize they no longer need the large home where they raised their children. While having a spare bedroom is always nice when out-of-town guests arrive, two or three extra bedrooms are usually not necessary for most people and can often end up creating extra work with little or no return on the energy expended.

2. You Want to Spend Less on Housing
You're approaching retirement—or are already there—and would like to spend less on housing and more on the things you enjoy. If you're still making mortgage payments on your current home, the lower monthly payments a smaller home will bring can make a significant difference to your standard of living, allowing you more disposable income each month to spend as you like.

3. You Think Golfing Is More Fun Than Maintaining a Large Home
Many boomers and retirees agree with this sentiment and they are trading their larger, single-family dwellings for worry-free condos, where they aren't required to do yard maintenance. This housing option frees these adventurous souls to travel and enjoy a wide range of other pleasurable activities closer to home the rest of the year.

4. You Want to Use Your Home Equity to Improve Your Retirement
By selling your larger home and replacing it with a more modestly sized dwelling, you'll be able to sock away the difference and fatten your retirement account. If you purchased your home years ago at a significantly lower price than its current market value, you can really come out ahead, providing for a far more comfortable retirement.

If you are among the adventurous group of baby boomers who are ready to reward themselves for the years spent raising their families, today's housing market offers many opportunities for you to "right-size" your life by finding just the right home for the brand-new lifestyle you crave.

August 11, 2019

Deter Insects with Essential Oils
Photo © Andres Victorero - iStockphoto

Pesticides are highly toxic and detrimental to humans and pets alike. The next time you see a pest in your home, reach for essential oils instead of the can of insect spray. These recipes for homemade insecticides contain absolutely no dangerous chemicals, are highly effective, and as an added bonus, smell wonderful.

Cockroaches: Instead of spraying your kitchen with dangerous chemicals or laying down roach motels in the same cupboards you keep your food in, mix one-half cup of water, two tablespoons of salt, ten drops each of clove, cypress, and peppermint essential oils in a tinted spray bottle, and shake well. Spray in areas frequented by cockroaches. As a double-whammy, soak a few cotton balls with five drops of clove oil and place them in the back of your cupboards, behind the stove, and under the fridge.

Ants: Ants navigate by smell, leaving scent trails that other ants follow, which is why you often see them entering your home in a long line. Peppermint oil is highly effective at blocking the scent trail and killing existing ants. Fill a spray bottle with water and add about fifteen drops of peppermint oil. Spray around the areas where ants seem to frequent, and spray the ants themselves to kill them. If you can find the location where the ants are entering your home, apply some peppermint oil to a cotton swab and draw a line around the entry point to prevent more ants from coming in.

Mosquitoes: DEET, or N,N-diethyl-meta-toluamide, is the most common ingredient in insect repellant sprays, and it's a nasty chemical that requires a number of safety precautions when using it. Fortunately, there is an alternative to the toxic bug sprays you find in the stores. This concoction of essential oils is highly effective at repelling mosquitoes and other flying insects, it's completely nontoxic, and it smells delicious. In a tinted spray bottle, add four drops each of citronella, lemongrass, rosemary, eucalyptus, and mint essential oils to one-quarter cup of witch hazel. Spray it on your skin and clothes to repel mosquitoes, flies, and other flying pests.

Silverfish: These creepy, silvery creatures love high humidity, sugar, and flour and often take up residence in dusty old books and newspapers. Eucalyptus citriodora essential oil is very effective at eliminating silverfish and preventing further infestation. Mix ten drops of the oil with a cup of water and spray the areas where you see the insect.

When purchasing essential oils, make sure to choose the therapeutic grade oils, which are generally pure and highly concentrated. Quality essential oils are always sold in a tinted glass bottle to prevent deterioration of the chemicals in the oils. Store your essential oil concoctions in a tinted bottle away from sunlight and heat sources.

August 11, 2019

Home Sales and Prices Increased in May, but Inventory Remains Low
Photo: © Monkey Business Photos - Shutterstock

For the first time in two months, existing-home sales saw an increase. May's home sales climbed 2.5% from a month earlier to reach 5.34 million. When compared to a year earlier, sales were slightly down by 1.1%. According to the National Association of Realtors (NAR), every region across the country experienced growth in sales, with the Northeast taking the lead. Favorable market conditions were responsible for the increase, according to Lawrence Yun, chief economist for NAR: "The purchasing power to buy a home has been bolstered by falling mortgage rates, and buyers are responding."

Inventory Near Historic Lows
By the end of May, there were 1.92 million homes available for sale. In comparison, the housing stock consisted of just 1.83 million homes a month ago and 1.87 million homes a year ago. At the current sales pace, unsold inventory could supply the market for 4.3 months, up from 4.2 months both a month and a year ago. Despite the increase in inventory, total housing stock levels remained near historic lows. In addition, properties sold quickly; the average property remained available for sale for only 26 days in May, unchanged from a year ago but up from 24 days in April. Of all the homes sold in May, 53% were sold in under a month. Given the quick sale time and low inventory levels, there are calls to increase new construction. "Otherwise, we risk worsening the housing shortage, and an increasing number of middle-class families will be unable to achieve homeownership," says Yun.

First-Time Buyers Not Afraid of High Prices
The lack of inventory had an impact on home prices. According to Yun, "Solid demand along with inadequate inventory of affordable homes have pushed the median home price to a new record high." The median existing-home price climbed 4.8 percent from a year ago to $277,700. This was the 87th month in a row of year-over-year price increases. Yet despite the high prices, first-time buyers still found a way to enter the housing market. First-time buyers accounted for 32% of all sales in May, unchanged from last month and up 31% from last year. According to the NAR 2018 Profile of Home Buyers and Sellers, first-time buyers made up 33% of the market in 2018.

Regional Sales Breakdown

Northeast - Existing-home sales annual rate of 670,000; an increase of 4.7% from April 2019, and unchanged from May 2018. The median price of $304,100 is an increase of 6.6% from May 2018.

Midwest - Existing-home sales annual rate of 1.22 million; an increase of 3.4% from April 2019, and a decrease of 3.9% from May 2018. This median price of $220,500 is an increase of 5.6% from May 2018.

South - Existing-home sales annual rate of 2.32 million; an increase of 3.4% from April 2019, but a decrease of 3.9% from May 2018. The median price of $241,400 is an increase of 3.6% from May 2018.

West - Existing-home sales annual rate of 1.13 million; an increase of 1.8% from April 2019, but a decrease of 3.4% from May 2018. The median price of $409,100 is an increase of 4.1% from May 2018.

August 11, 2019

Six Ways to Brighten Up Your Summer Evenings with Outdoor Lighting

Photo © KatarzynaBialasiewicz - iStockphoto

A comfortable and welcoming outdoor space is as good as an extra room in your home. But if it's time to go indoors once the sun sets, you'll probably not make the most of it outside of high summer.

Adding lighting to your yard, patio, or garden is a great way to increase both atmosphere and practical illumination. Here are six ideas for doing it with the best effect:

1. String Lights
Quick and easy to install, string lights bring an extra sense of magic and romance to a warm evening. Drape them around garden structures to soften their hard lines, or use them to enhance and highlight natural features.

Try using a mixture of smaller lamps for decoration and larger ones for useful illumination. Also mix in a few twinkling lights for even more atmosphere.

String lighting is also available as a solar-powered option, meaning it's easy to install without any electrical work required.

2. Landscape Lighting
For larger areas, try using floodlights and lamps, which illuminate relatively brightly and widely. This is particularly effective if placed a little ways away from your main seating area, as it'll increase the overall brightness without spoiling the feeling of an evening outdoors.

This kind of lighting also has security advantages, especially if you add motion sensors and timers to activate it when you're not around. However, be sure to use softer, warmer lighting rather than harsh industrial security lamps.

3. Hanging Lanterns
Try hanging single lanterns from trees or walls for decoration and ambiance, or cluster a few together for brighter illumination of a particular spot. Lanterns and other hanging lights make a wonderful addition to a pergola or other covered space.

4. Fire Pits
Illumination doesn't always need electricity. A fire pit provides warmth as well as an atmospheric, flickering brightness. Fire pits are perfect for autumn evenings when the weather is cooler but you're not quite ready to call the outdoor season over.

5. Centerpiece Chandeliers
A chandelier isn't just for a ballroom or medieval hall. If you have a covered seating area, an impressive chandelier hanging above it provides both illumination and a talking point.

6. Wall-Mounted Lamps
Also known as sconces, wall-mounted lamps are ideal for lighting doorways, pathways, and patios. A variety of designs is available, such as rustic and streamlined modern, and they're also versatile enough to form statement pieces or blend into the background.

For a perfect sultry evening atmosphere, candle-effect sconces provide a flickering glow without the risks, mess, or hassle of the real thing.

No matter which type of outdoor lighting you choose, always keep safety in mind. If in any doubt, hire a qualified electrician to handle the installation, and make sure they're experienced in outdoor work. The slight extra costs involved in hiring a professional will pay off with years of atmospheric and safe outdoor illumination throughout every season.

August 11, 2019

Which Home Updates Are Worth It?
Photo © marchello74 - iStockphoto

If you're eager to sell—or just want to make some changes to test reactions—now's the time to save yourself some grief by learning which upgrades increase your house's value in potential buyers' eyes and which leave them stone cold.

And while you're at it, never forget the first rule of upgrades, according to Remodeling magazine's Cost vs. Value Report for 2019: "Think like a real estate broker." Read on to see why that includes focusing heavily on curb appeal and first impressions.

Worth It: A New Garage Door
It ranked first on the magazine's list of projects, with a 97.5% return on investment thanks in part to its relatively low cost.

Not Worth It: Upscale Bathroom Remodeling
Want an easy way to save $60,000 or so? Don't spend it on installing the whirlpool tub, heated towel bars, and stone countertops of your dreams. Why? Because they're your dreams. And as Remodeling magazine notes, "Because of the vast differences in aesthetic tastes, one person's elegant new bath will be viewed by a range of other prospective buyers as ‘tacky and outdated and in desperate need of a reset.'"

Worth It: A Bigger Rug
At least some buyers will judge the size of a room based on the size of the rug. Going bigger is actually a trick some real estate moguls have been known to use. Since the living room is likely the first interior part of the house buyers will see—and, remember, first impressions matter—bet on them extrapolating from it to guesstimate the entire size of the house.

Not Worth It: A Midrange Backyard Patio
It's in the backyard, right?—emphasis on "back." Which explains why it only garnered a 55.2% return on investment.

Not Worth It: A Major Upscale Kitchen Remodel
Another of those "differences in aesthetic tastes" issues. Better off to stick to repainting the walls or resurfacing cabinets, if need be.

Worth It: A New Roof
In fact, given that it's such a prominent part of the house, you might call the roof the ultimate curb enhancer: If buyers like what they see, you're halfway home; if they don't, they may look for even more things to hate and certainly won't be quick to open their wallets. Or, as Remodeling magazine says about curb appeal: "The impact these impressions make is critical in setting the stage for what a buyer is willing to pay for a home." If your roof needs replacing, check out GAF (gaf.com), North America's largest roofing manufacturer.

August 11, 2019

Four Things You Might Not Know About Home Staging
Photo © KatarzynaBialasiewicz - iStockphoto

The National Association of Realtors conducted a survey of active agents to research the benefits and disadvantages of staging a home. Here is a look at four statistics taken from this survey that suggest that staging your home is a good idea.

1. Staging Your Home Increases the Selling Price
The results of the survey show that 48% of the respondents found that home staging increases the sale price by a value of 1–20%. The agents determined their answers by comparing the selling prices of staged homes with those of similar homes that did not undergo this type of preparation. Buyers' agents also suggested that a sale was more likely if the staging decor matched the homebuyers' preferences.

2. Viewing a Staged Home Online Increases a Buyer's Willingness to Visit
According to 77% of the survey's respondents, staged homes helped buyers imagine moving into them. Potential buyers are also more likely to complete a walkthrough with an agent if the home is staged.

3. Home Staging Decreases a Property's Time on the Market
The study found that buyers are more likely to view and buy a home when it has been staged for its online listing. Moreover, buyers are quicker to set up an appointment when the home has been staged according to their personal preferences for colors and styles of furniture and accessories.

4. Staging Your Home May Simplify Moving
When a homeowner takes on the task of staging a room, the first chore is to get rid of the clutter. Doing so also makes it easier to pack up once the home sells. Most real estate agents do not ask sellers to stage every room of a home. Instead, they suggest that homeowners tackle the living room, kitchen, and master bedroom. However, sellers can stage more rooms if they believe it will lead to a quicker sale. If sellers choose to do more, survey respondents suggested staging the dining room, primary bathroom, and yard.

If you want to sell your home and are considering home staging, you should start by decluttering each room to prepare for the process. If you'd like more help with staging your home to sell, please contact me today. As an experienced real estate agent, I know what buyers are looking for in a home. I can also help you with home staging advice or connect you with a professional home stager.

July 31, 2019

3 Expert Insights On Inventory In The Current Market