Category Archives: Seller Information

Home Too Big Now?

Kids all grown up“In every parents life comes the time when the kids have moved on to independent lives of their own.  When that happens, you may look around and decide you don’t need the same home you’ve had while raising your family.  Maybe you don’t need as many bedrooms , or the big yard, or maybe you just want ‘Less’ to maintain.  Downsizing can have many benefits as you prepare for the next stage in your life.”

Denise Buck & Ed Johnson – DC Metro Realty Team

Once the kids are grown, have careers, relationships and get a place of their own, parents find that they may not need their “big” home like they did before. Their lifestyle may have changed and the house just doesn’t “fit” anymore.

Benefits of a smaller home:

  • Easier to maintain
  • Lower utilities
  • Lower property taxes
  • Lower insurance
  • More convenient location
  • Convenience of a single level
  • Possibly more energy efficient
  • Possibly lower maintenance

Moving from a larger home frees equity from the previous home that can be invested for retirement income, purchase a second home, travel, education or just to have a nest egg for unexpected expenses. The profit on the home, in most cases, will be tax-free up to the exclusion limits set by IRS.

There will be expenses involved in selling a home as well as the purchase of a new home. These will lower the amount of net proceeds available to invest in the new home.

Like any other big change in life, it is recommended that you take your time to consider the possible alternatives and outcomes. Your real estate professional can provide information that can be valuable in the discernment process such as what your home is worth, what you will net from a sale as well as alternative properties for your next stage in life.

Invisible, Odor-free and Potentially Hazardous

Radon“Over the years most experienced agents have come to pretty much know where potential issues exist in the area.  However, it is always concerning when we have a test done and find Radon in a home where families have lived for years without knowing there was Radon.  If you aren’t sure about your area, you should get any subterranean basement tested just to be sure.”

Denise Buck & Ed Johnson – DC Metro Realty Team

Most people’s first introduction to Radon is during the inspections of a home. It can be as much a surprise to a seller as it is a buyer. Radon is an invisible and odor-free, cancer-causing radioactive gas.

Radon can get into a home through cracks in solid floors, construction joints, cracks in walls, gaps in suspended floors, gaps around service pipes, cavities inside walls and even the water supply.

It is estimated that one out of every fifteen homes in the United States has elevated radon levels. The EPA recommends that you test your home which is the only way to find out if you and your family are at risk. If the level found is 4 picocuries per liter or higher, the EPA suggests that you make repairs or install a radon reduction system. Even lower levels can have health risks.

The EPA’s interactive map is available to find state and county information but still recommends that all homes should test for radon. More information can be found from the EPA in A Citizen’s Guide to Radon.

Test kits are inexpensive and can be purchased at stores like Lowe’s or Home Depot if you choose to do it yourself. If levels indicate a high enough level, you can contact a qualified radon service professional for another test or to mitigate your home. You can get information on identifying these professionals at www.nrpp.info and www.nrsb.org.

Is Your Home Ready to be Sold?

Welcome to our home“It’s that time of year when many people start to think about selling their home.  Spring is coming and that is when homes look great and everyone is finally coming out of their cocoon to start looking.  But is your home ready to be sold?  We always help our Sellers identify the items that are most important to implement in each home before it goes on the Market.  Here are some good tips that we’ve found, and follow ourselves.”

Denise Buck & Ed Johnson – DC Metro Realty Team

Selling a home doesn’t happen overnight. To maximize your sale price, stand out from the competition and sell quickly, your home needs to go on the market in tip-top condition.

Prepping the home rarely happens in one weekend. It takes time and thoughtful planning. If you intend to sell your home this spring, here are a few steps you need to take now.

Stash your stuff

As you prepare to sell, think of your home as an investment and start to see it through the eyes of potential buyers and the market. When you’re trying to sell your home, the less-is-more approach applies.

Put away big furniture and personal items. Store or put away all the things you won’t be using until you move into your new home. In the kitchen, make space in the cabinets for items you will need to use daily, but will want to put away for showings.

Paint, clean and make small improvements

It’s common for sellers to make cosmetic improvements before they list. Kitchens and bathrooms sell your home. Plan to have the bathroom grout cleaned and have some parts of the house painted to give it a fresh look.

Consider cleaning rugs, refinishing hardwood floors or painting kitchen cabinets. If you plan to list in the spring, you likely have a good local real estate agent on your side by now. Get their advice and ask for referrals to do the work. There are lots of inexpensive contractors who can help spruce up your home quickly.

Research like a buyer

Today’s buyers have research in their DNA and will investigate all they can. Check with your local building department and ensure there are no outstanding issues with your home.

Verify that property records reflect your home accurately, and prepare to remedy any discrepancy. Make sure your title report is clean, and talk about potential disclosure items with your agent. Banks won’t lend if there are outstanding issues, and you don’t want to jump through hoops at the eleventh hour. Researching now will keep you one step ahead of the buyers.

The sale of your home is likely one of your biggest financial transactions. Get a real estate agent on your team early, and make a list of all the tasks you need to complete before listing this spring. Now is the time to have those discussions. Smart planning and a good strategy will ensure a quick, painless and profitable home sale.

Originally Published by Brendon DeSimone from Zillow

Downsizing Might Make Sense

Downsizing“As many of us are getting older, we are starting to realize just how much effort it takes to take care of all our ‘stuff’.  Downsizing might be the right answer for you if you’ve reached this stage in life.  You could free up some cash by reducing your monthly costs, as well as freeing up your time with less home to manage.”

Denise Buck & Ed Johnson – DC Metro Realty Team

 

With roughly 12.5% of the population over 65 years of age, it is understandable that some of them are thinking of downsizing because they may not need the amount of space they did in the past. There is something to be said for the freedom acquired by divesting yourself of “things” that have been accumulated over the years but are no longer needed.

Moving to a less expensive home, could provide cash that could be invested for additional income or savings for unanticipated expenditures.

Savings can also be recognized in the lower utility costs associated with a smaller home, not to mention, the lower premiums for insurance and property taxes.

Going from the home where you reared your family to one of the new tiny homes may be a bit extreme but downsizing to 2/3 or 50% of your current home may certainly be reasonable. In some situations, your interests may have changed so that a different area or city might be a possibility.

At one time, IRS had a once-in-a-lifetime exclusion of $125,000 of gain from a principal residence but it was changed so that homeowner’s are eligible for an exclusion of $250,000 of gain for single taxpayers and up to $500,000 for married taxpayers who have owned and used their home two out of the last five years and haven’t taken the exclusion in the previous 24 months.

Homeowners should consult their tax professionals to see how this may apply to their individual situation.

Being a Good Neighbor

Be a good neighbor“Ever wish you had more good neighbors?  Maybe it starts with YOU being a good neighbor first.  It’s amazing how kindness can be contagious.  Just doing a few nice things that take a small amount of effort could go a long way in creating more good neighbors.”

Denise Buck & Ed Johnson – DC Metro Realty Team

A good neighbor might be characterized as someone who’ll look after your home when you’re out of town by picking up your mail and watering your plants. You’d most likely reciprocate for anyone who’d be so generous toward you.

In some cases, you might only be able to name one or two of your neighbors who would step up to that level of service. Wouldn’t it be nice if more people on your street would be happy to make that offer?

The solution may just start with being a better neighbor first. The following suggestions go a long way to improving your neighborhood and making new friends at the same time.

  • Meet your neighbors and exchange phone numbers and email addresses. Agree with each other that you’ll let them know if you see something strange going on at their home.
  • Slow down when driving through the neighborhood; it will make it safer and everyone will appreciate it.
  • Control your dog: keep it on a leash; pick up after it; don’t let it bark too much.
  • Don’t park in front of your neighbor’s home.
  • Notify your immediate neighbors when you’re having remodeling done and ask them to let you know if any of the contractors cause damage to their property.
  • Let your neighbors know when you’re having a party and that there will be more cars on the street than usual.
  • Maintain your home and yard so that it adds to the beauty of the neighborhood.
  • Put your garbage out for collection on the correct day and bring the containers back in promptly.

In reality, it is fairly obvious; you just have to think of the things that you’d want from your neighbors. Be friendly; don’t be noisy; offer a helping hand when available and respect each other’s boundaries. Having a sense of community and that you all share the neighborhood can be underlying principles that will guide your behavior.

A good neighbor would be aware of suspicious activity and would call their neighbors and the police if warranted. This might be something you can discuss with your neighbors. Click here for a template to record your immediate neighbor’s contact information and keep readily available if needed.

Home Improvements that Pay Off

Home Improvements“Everyone thinks that upgrading and improving different areas in the home will add value.  Unfortunately that’s not always true.  Sometimes you need to do upgrades in order to prepare you home for Sale, but that’s so you can compete in the market, not add value. Sometimes you want to change something so that it will meet your personal desire or taste, again, it may not add value.  Be aware of what adds value so that you have realistic expectations on the return for your investment.”

Denise Buck & Ed Johnson – DC Metro Realty Team

Despite what you see on TV and what the conventional wisdom says, most of the home improvement projects with the greatest return on investment are unglamorous. According to Remodeling Magazine’s 2014 Cost vs. Value report, you’ll recoup the greatest percentage of your investment on projects such as replacing the front door with a steel one, adding a wood deck, replacing old siding, replacing the garage door and replacing old windows. Also contrary to conventional wisdom, most home improvement projects do not return more than your investment when you sell. In fact, the average remodeling project only recoups 66 cents for every $1 you spend on it. To get the highest percentage of your remodeling dollars back when you sell, here’s what to improve, what not to improve and why.

Best Options: Practical, Midrange Projects

Do you want to get back 96.6% of what you spend on a home upgrade? Then replace your old front door with a new, mid-range steel door with a clear dual-pane half-glass panel and a new lockset. You’ll spend an average of $1,162 for this project, but you’ll get back $1,122 when you sell, Remodeling Magazine reports. Another project in the same price range is replacing your garage door for $1,534; you’ll recoup $1,283, or 83.7%. You won’t need a home-equity loan to tackle these projects, and their low cost and high impact on curb appeal make them smart choices.

“Curb appeal is the biggest selling factor,” says Diana George, founder of Oakland, Calif.,-based Bay Area real estate brokerage Vault Realty Group. “If the house looks unkempt on the outside, buyers automatically assume the same will apply to the interior of the house.

If you can afford to spend more, consider projects such as adding a 16’ x 20’ wood deck, which costs $9,539 on average but recoups 87.4% of its cost; replacing 10 old 3’ x 5’ windows with new, double-hung, wood or vinyl ones, which costs close to $11,000 for wood and nearly $10,000 for vinyl but recoups about 79%; or replacing vinyl siding, which costs $11,475 for 1,250 square feet but should bring back $8,975 when you sell.

“Windows, garage doors and decks aren’t necessarily big-ticket items in terms of price or luxury,” George says, but “updating these items gives the home an instant facelift and contributes to a modern aesthetic, which is exactly what potential homebuyers want to see when they drive up to look at a new home.”

Pricier Projects

Two of the priciest – but still relatively worthwhile – improvements include attic bedrooms and basement remodels. These projects will set you back tens of thousands of dollars, but are a relatively inexpensive way to increase your home’s useable square footage compared with an addition. Minor and major kitchen remodels also make the cut, as do bathroom remodels. However, while it may be true that kitchens and bathrooms sell houses, forget about doubling your money. You’re likely to recoup just 82.7% of your $18,856 cost on a minor remodel of a functional but dated 200-square-foot kitchen; 74.2% on a $54,909 major kitchen remodel and 72.5% on a $16,128 remodel of a 5’ x 7’ bathroom. These are the types of expensive projects you might be tempted to finance with a home-equity loan, but you should think twice before borrowing money and paying 6% interest or more to finance a project with a negative return.

The costs Remodeling Magazine provides are averages. If you can get a project completed well for less, you might be more satisfied with the percentage of its costs you get back when you sell your home. Costs vary by geographic region, project size and scope, and the quality of finishes you choose.

“Bathroom upgrades can be done for a minimal cost using materials that look expensive, but are quite affordable,” says Jeff Dumas, owner and broker at Home Ventures Realty in Tempe, Ariz., where he’s rehabbed and sold residential properties for more than 10 years. “Most of the time, I can take an average starter home, put in a new tub with a porcelain tile backsplash, new toilet and vanity, tile the floor, and use some decorative hardware for about $1,500 to $2,000. The results are amazing and help the wow factor when potential buyers are viewing the property,” he says.

Surprising Disappointments

Backup power generators and roofing replacements are among the projects on which homeowners will recoup the least at resale. You might get back just 67.5% of the $11,742 you spend on a generator and 67.6% of the $18,913 you spend on a roof. Also at the bottom of the list are sunroom additions, bathroom additions and master-suite additions. These projects are expensive and involve weeks or months of disruptive construction, so don’t take them on unless they’re for your personal enjoyment and you’re planning to stay in your home for years to come. Remodeling a home office is the least worthwhile project on the list, recouping just 48.9% of the $28,000 it’s likely to cost.

That being said, some of these projects are more valuable if you live in areas where they’re in higher demand. In the West South Central region, which includes storm-prone areas in Texas, Oklahoma and Louisiana, a backup generator will recoup 86% of its cost, on average.

By Amy Fontnellie, Originally Published on Yahoo Homes

What to Know about Home Appraisals

Home Apprasails“Whether buying, selling or refinancing, when you use a mortgage, a home appraisal will usually play a major role in in the transaction.  You’ll want to understand how the appraisal process works and how an appraiser determines a home’s value.”

Denise Buck & Ed Johnson – Dc Metro Realty Team

What Is a Home Appraisal?
An appraisal is an unbiased professional opinion of a home’s value.  Appraisals are almost always used in purchase and sale transactions and commonly used in refinance transactions.  In a purchase and sale transaction, an appraisal is used to determine whether the home’s contract price is appropriate given the home’s condition, location and features.  In a refinance, it assures the lender that it isn’t handing the borrower more money than the home is worth.

Lenders want to make sure that homeowners are not over-borrowing for a property because the home serves as collateral for the mortgage.  If the borrower should default on the mortgage and go into foreclosure, the lender will recoup the money it lent by selling the home.  The appraisal helps the bank protect itself against lending more than it might be able to recover in this worst-case scenario.

The Appraisal Process and How Appraisal Values Are Determined
Because the appraisal primarily protects the lender’s interests, the lender will usually order the appraisal.  According to the Appraisal Institute, an association of professional real estate appraisers, a qualified appraiser should be licensed or certified (as required in all 50 states) and be familiar with the local area.  Federal regulations state that the appraiser must be impartial and have no direct or indirect interest in the transaction.  Fannie Mae requires appraisers to certify that they have experience appraising similar properties in the same geographic area.

A property’s appraisal value is influenced by recent sales of similar properties and by current market trends.  The home’s amenities, number of bedrooms and bathrooms, floor plan functionality and square footage are also key factors in assessing the home’s value.  The appraiser must do a complete visual inspection of the interior and exterior and note any conditions that adversely affect the property’s value, such as needed repairs.

Typically, appraisers use Fannie Mae’s Uniform Residential Appraisal Report for single-family homes.  The report asks the appraiser to describe the interior and exterior of the property, the neighborhood and nearby comparable sales.  The appraiser then provides an analysis and conclusions about the property’s value based on his or her observations.

The report must include a street map showing the appraised property and comparable sales used; an exterior building sketch; an explanation of how the square footage was calculated; photographs of the home’s front, back and street scene; front exterior photographs of each comparable property used; and any other information, such as market sales data, public land records and public tax records, that the appraiser uses to determine the property’s fair market value.  An appraisal costs several hundred dollars, and generally the borrower pays this fee.

What Homebuyers Need to Know
When you’re buying a home and you’re under contract, the appraisal will be one of the first steps in the closing process.  If the appraisal comes in at or above the contract price, the transaction proceeds as planned.  If the appraisal comes in below the contract price, however, it can delay or derail the transaction.

Chances are neither you nor the seller wants the transaction to fall through.  As the buyer, you have an advantage in that a low appraisal can serve as a negotiating tool to convince the seller to lower the price so the transaction can move forward.  The bank won’t lend you or any other prospective buyer more than the home is actually worth.  While appraisals help buyers avoid overpaying for homes, a seller may feel that a low appraisal is inaccurate and be reluctant to drop the price.  If a bad appraisal is standing between you and your home purchase, look into getting a second opinion via a second appraisal.  Appraisers can make mistakes or have imperfect information.

What Home Sellers Need to Know
As a seller, a low appraisal, if accurate, means you will have to lower your home’s price to get it sold.  Lenders won’t approve loans for more than a home is worth, and holding out for an all-cash buyer who doesn’t require an appraisal as a condition of completing the transaction is unlikely to net you a higher sales price.  No one wants to overpay for a home.

Unfortunately, recent distressed sales in the surrounding area can lower your home’s appraisal value.  If you feel that your home’s value has been dragged down by the sales prices of nearby foreclosures and short sales, you may be able to convince the appraiser that your home is worth more if it’s in significantly better condition than those properties.  Sellers should also know that federal guidelines (intended to eliminate the inflated appraisal values that contributed to the housing crisis) sometimes cause appraisals to come in below fair market value and can make low appraisals difficult to challenge.

What Refinancing Homeowners Need to Know
If you’re refinancing a conventional mortgage, a low appraisal can prevent you from refinancing your home.  The home needs to appraise at or above the amount you want to refinance for your loan to be approved.  However, if your existing mortgage is an FHA mortgage, you can refinance without an appraisal through the FHA Streamline program.  FHA Streamline is a great option for underwater homeowners.

The Bottom Line
When everything goes smoothly, the home appraisal is just another box to tick on a loan-closing checklist.  When the appraisal value is lower than expected, the transaction can be delayed or even canceled.  Regardless of which situation you encounter in your home buying, selling or refinancing experience, a basic understanding of how the appraisal process functions can only work in your favor.

5 Factors That Influence a Home’s Value

Housing Questions“While Sellers always hope to get top dollar for their home, several factors will enter into what a buyer is actually willing to pay for it.  Calculating the right listing price is complex and requires evaluation of the multiple homes for comparison as well as an analysis of the current market condition and recent selling trends.  Recently ‘US News and World Report’ interviewed a number of real estate professionals to gain a better insight into the process.”

Denise Buck & Ed Johnson – DC Metro Realty Team

1. Location. The classic real estate refrain says, “location, location, location.” Location includes factors such as the price of recent nearby transactions, the quality of local schools and whether the area has a strong sense of community. “Buyers increasingly value community in the community where they’re buying,” says Amy Anderson, an agent with Davidson Realty, Inc. in St. Augustine, Florida. “They come to me not looking for a house for four years, but focusing much more on the community, the activities and the school district.”

As Americans scale back their dependence on automobiles, some homebuyers seek out communities that don’t require cars to get around. One resource is WalkScore.com, which rates neighborhoods throughout the U.S. based on access to public transit and proximity to grocery stores, parks and more.” I think walkability has become more important in many markets, especially amongst millennials,” says Ken Wilson, president of the Appraisal Institute, a professional association for real estate appraisers, and founder of Wilson Realty Advisors in Dallas. “You’re also finding empty nesters that are looking into properties that have walkability.”

But as Zillow.com chief economist Stan Humphries points out, location encompasses many other considerations. “Does it have a view? Is it a waterfront home?” he asks. “What’s it next to? Is it near retail establishments? Or a highway?”

2. Size and layout. While homebuyers used to swoon over ample square footage, many have fallen out of love with the McMansion. “I think people realize when they buy a 3,300-square-foot house, they’re not getting what they thought they were,” Anderson says. “There’s more upkeep and a lot more involved with taking care of these huge houses.”

Layout is a key factor because an open-concept design can look much more spacious than a boxy space of the same size. The number of bedrooms also influences a home’s value, so think twice before putting up a wall and subdividing one room into two. “Adding a bedroom will take away value,” Humphries says. “Fewer but larger bedrooms tend to boost value.”

3. Age and condition. Historic homes (assuming they’re livable and well-maintained) and new homes are typically more valuable than homes built somewhere in the middle. “Generally, as a home gets older, it becomes less valuable,” Humphries says. “Then there’s a U-shape where, at some point, homes become so old that they have historical significance. A home that’s built in 1910 is probably more valuable than one built in 1970.”

Age aside, condition matters too. “Someone will pay $15,000 more for a well-kept house that’s move-in ready than they will for a house that needs $5,000 worth of work,” Anderson says.

4. Upgrades. Renovations play into a home’s value, but if your home is considered “over improved” compared with other properties in the neighborhood, it can actually hurt the property’s value. “You want it to be common for the neighborhood or subdivision,” Wilson says. “It wouldn’t hurt to visit neighbors’ homes or visit a home via an open house to see what people are marketing [before undertaking big improvements].” You could also hire an appraiser to prepare a feasibility analysis that will help you determine the impact of renovations on your home’s value.

Unless you live in an area where granite countertops and built-in wine fridges are the norm, Humphries says you might be better off saving the money and choosing more basic finishes. “It’s harder to recoup [your investment] if you guild the lily, if you will, on granite this and chrome that in your kitchen,” he says. “You’re spending a lot of money on something that might have a lot of personal taste attached to it.”

However, you should keep records of repairs and upgrades to show potential buyers that the home has been well-maintained.

5. Negative events. If your property has issues like mold or experienced a fire or was the site of a violent crime, it could be a harder sell – and command a lower price. “Nowadays, people are very concerned if there was a fire, prior mold damage or even if there were some sort of death or crime at the property,” Wilson says. Federal law requires the disclosure of all known lead-based paints, but state laws vary in whether the seller must disclose issues related to natural disasters or crimes committed on the property.

Originally published in US News and World Report, by Susan Johnston

5 of the Most Profitable Renovations

Home Renovations“Quite often we are contacted by homeowners to consult on what they should, or shouldn’t do to their homes.  Small upgrades can be done just because you want to make your house feel more like ‘home’.  Larger ones should be carefully considered, so that you spend your money wisely.”

Denise Buck & Ed Johnson – DC Metro Realty Team

From 2009 to 2011, Census data indicates homeowners spent a combined total of nearly $360 billion on home improvements, with a median cost of $3,200 per venture. When deciding on a home renovation project, most homeowners search for one that will increase both the visual aesthetic and the value of the property.

Some renovations, of course, add more value to a home than others. Everyone has different tastes, but some features such as higher quality materials generally offer a higher return. The key is finding a project that offers the most future benefits, while also being a feature you can enjoy. Some of the more common remodels that do not fit the bill are home office renovations, with an average cost of $28,000. According to Bankrate, home offices only bring in around a 49 percent return when you sell your home.  The same applies for sunroom additions. Priced at over $73,000, sunrooms only recuperate around 52 percent of that back when you sell. While you may enjoy your new sunroom or home office, you have to ask yourself if that current enjoyment is more important to you than future profitability.

1. Steel Door for Entryway

This renovation heightens the curb appeal of your home and also comes with a low price tag. Although a small project, this minor improvement ranked number one on The National Association of Realtors list of remodels that pay off. According to their cost versus value report, this renovation comes with an investment cost of $1,162 and you can get around 97 percent ($1,122) of that cost back when you resell.  Steel doors are also said to increase energy efficiency and durability and they are more secure than other types of entry doors.

2. Garage Door Replacement

Also increasing security, garage door replacements come with a price tag of between $1,500 and $2,800. You can expect to get back around 83 percent of your investment cost. When prospective buyers first walk up to your home, features like a new garage door are more likely to entice them. When the outside is up to par, it leads buyers to believe the inside is in good shape as well. An old garage door is often unattractive. Older models also may not offer the insulation that newer models provide so your new door may save on your heating and air conditioning costs.

3. Kitchen Remodels

The Census bureau reports the median cost of a kitchen remodel at $5,000. In 2011, Americans took on 3.7 million kitchen remodels.  These kitchen adventures can, however, become pricey in terms of up-front investment cost. Many remodels exceed the $100,000 price point. A major kitchen remodel generally returns around 80 percent of its investment costs at resale. This, however, varies significantly based on the project, your home’s value, and your location. As with any project, the way it looks in the end has a large impact on its return.

For Sale by Owner suggests that you stay with the theme of your home and turn to an expert designer for advice when needed. On the same token, modern kitchens with the newest features are usually a big hit. Back splashes, granite and marble materials, stainless steel, and energy efficient appliances are, in many cases, attractive to buyers as long as the design matches the rest of your home.

The quality of the work also has an impact on your return, and your personal satisfaction with the remodel. The last thing you want is any leaks, misplaced appliances, or malfunctions. Its essential that you work with a contractor you can trust will produce excellent work.

4. Wood Deck Addition

Ideal for cookout, gatherings, and outdoor conversation, a deck can benefit you both now and when you sell. When potential buyers see a new deck out back, it often brings about thoughts of the activities they can do out back at their new house. A deck also increases the amount of living space you have for a low price tag. According to data published on House Logic, the average cost of construction for a two-story, 2000 square foot home is $85 per square foot. With a deck, however, you’re looking at a cost of around $35 per square foot — $50 per square foot less.

With a price tag of just under $10,000 for a pressure-treated wood deck, you can expect to get back around 87 percent of your investment cost for the addition. This cost represents a 16 foot by 20 foot sized deck. A composite deck in the same size costs upward of $15,000, and offers just over 74 percent of this cost back at sale.

5. Go Energy Efficient

According to recent Census data, nearly one out of every four renovations are designed for energy efficiency. Before taking on an energy saving remodeling project, US News suggests you perform an “energy audit.” This means that you examine your home for areas of improvement.

A common find is windows, doors, or an attic that need sealing, which will save you money on your energy bills.  Maybe you have really old windows and you want to go ahead and just replace them all. Is it really cold upstairs? US News also indicates that around 50 percent of U.S. homes are under-insulated, so insulating upstairs may be a project you want to take on. Heating ducts may need attention or you may have an old hot water heater.

If you are really looking to make your house energy friendly, adding an alternate energy source, such as a wind turbine, will not only save you money on energy costs, it will also provide you with tax benefits. These tax benefits generally provide 30 percent of your investment cost back as a one-time tax credit on your return.

Originally posted by Erika Rawes in Personal Finance of Wal St CheatSheet

Quick Fixes Before You Sell Your Home

Curb Appeal“When you’re going to put your home on the Market, it pays to put a little time into sprucing it up a bit.  There are so many little things that go unnoticed around your home, even though you walk by them every day.  We can help you with this, and most of these don’t cost much, but have a big pay off in buyer appeal.”

Denise Buck & Ed Johnson – Dc Metro Realty Team

If you are selling your home, nothing matters more than making a good first impression. Get potential buyers to stop and notice your property by amping up its curb appeal. With a few inexpensive fixes, you can help your home stand out.

If you are selling your home, nothing matters more than making a good first impression. Get potential buyers to stop and notice your home by amping up its curb appeal. With a few inexpensive fixes, you can help your home stand out.

The #1 thing to keep in mind: Make sure your home looks well cared for. Achieving a fresh, modern look doesn’t have to be difficult or expensive. 

Spend a Little, Change a Lot

1. If your house numbers are weathered, buy new ones in a style that matches your home’s character. Or paint the old ones to give them new definition.

2. Has your mailbox seen better days? Paint it for a fresh pop of color or swap it out for a new one. You’ll notice an instant difference.

3. If the lighting fixtures near your front door scream “dated,” look for some trendy, inexpensive replacements that are available at most hardware stores.

4. If the hardware on your doors, windows and other areas has been painted over, is getting rusty or is coming unhinged, repair or replace it.

5. Want to take your home’s exterior from drab to fab? Add plants, whether they’re in window boxes, containers or a garden, their color and lushness can transform your house into something special.

6. If you’re lucky enough to have a porch, show it off with comfortable furniture, like a glider or Adirondack chair, to add a friendly, welcoming touch.

Common-Sense Fixes

1. Repair anything that is chipped, peeling or cracked, including garage doors, fences, gutters, sidewalks and more. Sand, patch and repaint as needed.

2. Wash your windows. Simple enough, right? It’s amazing how appealing cleanliness can be! Plus, natural light is a major selling point.

3. Pick up debris on your lawn and edge the grass. A manicured edge shows you care about the details. Prune bushes and trees to maintain their shape. 

4. Remove weeds growing between the cracks in your driveway. While you’re at it, seal the cracks and clean up any oil spills, too!

5. For night showings, put your outdoor lights on a timer to warmly welcomebuyers. If you can, install a spotlight and aim it at a tree or an especially nice feature of your house.

Originally published in American Home Shield Newsletter