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7 Important Repairs to Make Before Selling A House

by The Schnoor Team

The most critical things to do to increase your home’s value before putting it on the market.

As a smart seller, you’ll want your home in tip-top shape — but you don’t want to eat into your profits by overspending on home improvements. You won’t be around to enjoy them anyway. The key is to focus on the most important repairs to make before selling a house to ensure every dollar you spend supports a higher asking price.

“Smaller and less expensive updates in combination with good staging will have a great return,” says Colorado Springs agent Susanna Haynie. But how do you know what things to do before putting your house on the market? Prioritize these updates — and consider letting the rest go.

#1 The Most Important Repair to Make Before Selling: Fix Damaged Flooring

Scratched-up wood flooring; ratty, outdated carpeting; and tired linoleum make your home feel sad. Buyers might take one step inside and scratch the property from their list. Want to know how to increase the value of your home? Install new flooring.

“Replace what’s worn out,” says Haynie. “Buyers don’t want to deal with replacing carpet, and giving an allowance is generally not attractive enough. Spring for new, neutral carpeting or flooring.”

If your home already has hardwood floors, refinishing does the job. Expect to spend about $3,000 on the project — and recoup 100% of the cost, according to the “National Association of REALTORS® Remodeling Impact Report.”

Consider swapping any old flooring for new hardwood. This project costs more at around $5,500, but you could recoup more than 90% of that at resale. If that’s not in the budget, any flooring update makes an enormous difference.

#2 Fix Water Stains

You’ve learned to live with the results of a long-fixed plumbing snafu, but for buyers, a water stain suggests there could be a dozen pesky problems hidden beneath the surface. That’s why this is one of the things to do before putting your house on the market.

“No buyer wants to buy a money pit,” says Haynie.

First, make sure the problem is fixed: Bring in a plumber to look for leaky piping or poor yard drainage if your basement is damp. Diverting rainwater from your foundation may cost as little as $800, and repairing a leaking pipe costs approximately $300.

As for the repair work, replacing a water-stained ceiling runs about $670, and drywall costs around $1.50 per square foot.

All are cheaper than a lost sale.

#3 Repair Torn Window Screens

So super inexpensive — and even DIY-able. You can purchase a window screen frame repair kit from a home improvement store for $10 to $15.

Considering the simplicity of this repair, making the fix is always worth it — and so are other small but highly visible issues. When you’re debating how to increase the value of your home, nix any small problems, snags, or ugly spots that might make buyers scrunch up their brows.

#4 Update Grout

Is your grout yellowing or cracked? Buyers will notice. New grout, on the other hand, can make old floors look like they came straight from the showroom.

“The best return-on-investment projects before selling a home involve making a home look like new,” says Malibu, Calif.-based agent Shelton Wilder. She recently sold a home above asking price after a complete re-grout.

This is another small fix with a big impact: Simple bathroom re-grouting may cost just $1 to $2 per square foot, increasing to $10 per square foot for more complicated jobs. And if you’re handy, you can save even more DIY-ing it.

#5 Resuscitate a Dying Lawn

Nothing says, “This one’s gonna take some work” like a brown, patchy, weedy lawn.

Fixing the problem doesn’t cost a ton of money — and you’ll get it all back (and then some!) once you sell. Hiring a lawn care service to apply fertilizer and weed control will cost about $375. Once you sell the home, that comparatively cheap fix could recoup $1,000. That’s an unbeatable 267% return on investment.

#6 Erase Pet Damage

Did your (sort of) darling kitten scratch your bedroom door? Fix the damage before listing your home. Otherwise, buyers may consider the scuffs a canary in the coal mine.

“If you have pet damage, buyers will [then] look for pet stains on the floor,” says Haynie.

Refinishing a door costs between $100 and $215 (or less, if you’re willing to DIY). Replacing pet-damaged carpeting or hardwood may be a bigger job than buffing out some scuffs — but it’s worth the cash.

#7 Revive an Outdated Kitchen

A full kitchen renovation is rarely worth it when it comes time to sell — even though buyers love a fresh look. “Kitchens are still one of the most important features for buyers,” says Haynie.

The problem is, this $65,000 upgrade isn’t something that buyers will pay you back for. Sellers recoup about 62% of a full-on kitchen renovation. If you’re updating the space just for your sale, focus on low-cost, high-impact projects instead.

“Updating the kitchen doesn’t need to be expensive,” says Wilder. “Painting wood cabinets, updating hardware, or installing new countertops or appliances could be enough.”

Setting up your home for selling success doesn’t have to be expensive. Focus on the most important repairs to make before selling a house by picking projects that do more than look pretty. Choose updates that get your home in selling shape and justify a higher asking price.

Source: "7 Important Repairs to Make Before Selling A House"

Little-Known Ways You Can Buy A House With No Down Payment

by The Schnoor Team

The city where you plan to buy a home may offer loans with no money down.

Can you buy a house with no down payment?

Yes, you can.

“Paying 20% down is, quite frankly, a myth,” says Karen Hoskins, vice president at NeighborWorks and bearer-of-great-news. “Most buyers pay only 5% to 10% down — some even pay zero.”

The key to finding a no-money-down home loan is finding the right assistance program. And there’s no shortage of them if you qualify.

Of the roughly 2,500 home-buying programs tracked by Down Payment Resource, a nationwide database of home ownership programs that helps match buyers and properties, 69% offer down payment assistance.

Even better: The average amount of assistance from those programs nationwide tops $11,000 — though amounts would vary greatly between disparate cost-of-living markets like Southern California and Iowa, according to Down Payment Resource. Some 87% of properties are eligible for some kind of assistance.

Here’s where to find the financial help you need to buy a home:

National Government Programs

Because they’re at the national level, they’re often the ones people turn to first:

  • FHA. Helps first-time buyers — especially those with lower credit scores — buy with down payments as low as 3.5% (low-down).
  • USDA Rural Development Loans. For low-to-middle income families buying homes in towns with populations of 10,000 or fewer people or that are “rural in character.” That means some areas with bigger populations have been grandfathered into the program (zero down).
  • VA Home Loans. Helps service members, veterans, and eligible surviving spouses (zero down).
  • Government-sponsored enterprises. Fannie Mae and Freddie Mac, which set the rules for mortgages nationwide, both offer programs allowing eligible buyers to put down as little as 3% of the purchase price. That’s even lower than FHA (low-down).

But those aren’t the only options. Too often, buyers neglect to look for help locally, which may offer even better assistance.

State and Local Home-Buying Programs

Responsible homeowners are vital to a community’s stability and economic health, so municipalities and states have a vested interest in helping you buy a home — even if you don’t have the down payment.

Qualifications vary based on the agency or the community requirements, but assistance programs generally:

  • Have income limits
  • Have purchase price limits
  • Require participants to take home buyer counseling

Other requirements — like whether you’re a first-time buyer, how good your credit is, where you have to buy, whether you have to rehab the home, or if you need to be part of a group, such as active military, veterans, or teachers — depend on the program.

Assistance comes in these forms (Note: Specific programs named as examples below may change or close over time.):

Forgivable loans and grants. These are literal gifts for some or all of the down payment and closing costs, which means there’s no recorded lien or mortgage on that money. Eligibility and terms will vary and funds are limited. Example: The National Home Buyers Fund, Inc. offers down payment and closing cost assistance up to 5% of the mortgage loan amount as a gift or zero-interest second mortgage that’s forgiven after three years.

Second mortgages. As the name suggests, these loans are in addition to your primary home mortgage. They take a variety of forms, and the differences can be confusing. The most important thing isn’t the terminology, though; it’s knowing they exist, because they can offer substantial down payment assistance (DPA) and favorable terms.

  • Soft mortgages. These DPA loans are deferred for some period of time based on a particular program’s requirements. Occasionally, they’re forgivable. Example: The Home Purchase Assistance Program in Washington, D.C., defers payments for five years for moderate-income borrowers.
  • Silent seconds. DPA repayment is deferred until you sell or refinance. The city of Napa, Calif., for instance, offers eligible first-time buyers up to $58,000 or 30% of the purchase price, whichever is less, at 1% interest. The loan can be deferred for the 30-year term if you stay in the home.
  • Hard seconds. You start paying off the DPA loan as soon as you close. Programs offer a variety of loan amounts and interest rates (some below-market) depending on your eligibility.

First mortgages at below market interest rates. Local and state agencies subsidize a mortgage to make it more affordable for the buyer by reducing the interest rate, or offering 100% financing (which means no down payment), and sometimes waiving mortgage insurance, too.

Mortgage credit certificates (MCCs). Issued by some state or local governments, MCCs allow taxpayers to claim a tax credit (Form 8396) for some portion of the mortgage interest paid during a given tax year. A credit, unlike a deduction, is a dollar-for-dollar savings on your tax liability.

You don’t have to itemize to use this credit, according to Greg Zagorski, senior legislative and policy associate at the National Council of State Housing Agencies. It’s capped at $2,000 per year, and you can claim it throughout the life of the loan.

A cool tax benefit of MCCs is that if your tax liability one year is lower than the credit, you can roll over the amount you can’t claim to the next year. If you make more the next year (and therefore have more tax liability), you can claim what you couldn’t before.

How to Find a Program You Qualify For

  • Housing counselors, who are free (!) and can discuss what mortgage options are best for you, are available through housing finance agencies and organizations like NeighborWorks. Find HUD-approved housing counselors by state here. Or contact your state’s housing finance agency.
  • Check your eligibility for a host of DPA programs at Down Payment Resource.
  • Find a good mortgage broker, who should have information about down payment programs in your area and can help you determine your eligibility.
  • Talk to your real estate agent.

A final note: When you put down less than 20%, you pay private mortgage insurance (PMI) each month to protect the lender’s interest. On the other hand, not having to save up for a 20% down payment can get you into a home a lot faster. And you can cancel PMI (except for FHA loans) once you reach 20% equity.

Source: "Little-Known Ways You Can Buy A House With No Down Payment"

8 Lesser-Known Fees That Factor Into the True Cost of Home Buying

by The Schnoor Team

Application fees, appraisal, inspection … a lot of little costs start to add up. Here’s how to be prepared.

This article was contributed by financial expert and blogger Mary Beth Storjohann, CFP, author, speaker, and founder of Workable Wealth. She provides financial coaching for individuals and couples in their 20s to 40s across the country, helping them make smart, educated choices with their money.

With your focus on building your down payment fund and figuring out what your mortgage payment will be, it’s easy to overlook some of the smaller fees that come along with a home purchase. Here are eight and what they could cost you.

#1 Home Inspection

A home inspection helps protect you from purchasing a home that could be a lemon. So you don’t want to forgo it. Inspectors will look for signs of structural issues, mold, and leaks; assess the condition of the roof, gutters, water heater, heating and cooling system; and more. Inspections cost between $300 and $500, and whether or not you end up purchasing the property, you still need to pay this fee.

#2 Appraisal Fee

This appraisal report goes to your lender to assure it that the property is worth what you’re paying for it. This report worked in our favor a couple of years ago when our home came back appraised for $10,000 less than our bid; the sellers had to reduce their asking price in order to move forward. An apprasial can take about 2 hours and costs between $200 and $425

#3 Application Fees

Before ever approving you for a loan, the lender is going to run your credit report and charge you an application fee, often lumping the credit report fee in with the application fee. This can run $75 to $300. Be sure to ask for a breakdown of the application fees to understand all costs.

#4 Title Services

These fees cover a title search of the public records for the property you’re buying, notary fees for the person witnessing your signature on documents, government filing fees, and more. These can cost between $150 and $400, and it’s important to get a line item for each cost.

#5 Lender’s Origination Fees

Your lender will charge you this upfront free for making the mortgage loan. This includes processing the loan application, underwriting the loan (researching whether to approve you), and funding the loan. These fees are quoted as a percentage of the total loan you’re taking out and generally range between 0.5 to 1.5%.

#6 Survey Costs

This report ($150 to $400) confirms the property’s boundaries, outlining its major features and dimensions.

#7 Private Mortgage Insurance (PMI)

When you put down less than 20% on your new home, the lender requires that you purchase PMI, which is a policy that protects the lender from losing money if you end up in foreclosure. So PMI is a policy that you have to buy to protect the lender from you. PMI rates can vary from 0.3% to 1.5% of your original loan amount annually.

#8 Tax Service Fee

This is the cost (about $50) to ensure that all property tax payments are up to date and that the payments you make are appropriately credited to the right home.

Always ask questions when it comes to understanding the fees you’re paying. If possible, print out documents and go through them with a highlighter to indicate any areas you have concerns about. Discuss them with your lender or real estate agent and determine if you can negotiate any of them down.

Don’t be afraid to price shop to ensure you’re getting the best value. Just because you’re spending hundreds of thousands on a home doesn’t mean you should be comfortable throwing thousands of dollars at fees.

Source: "8 Lesser-Known Fees That Factor Into the True Cost of Home Buying"

Cleaning Your House for Guests: A Checklist

by The Schnoor Team

Countdown to a perfectly clean guest-ready home no matter how much — or little — time you have.

It feels great to have a clean, organized, well-functioning home when you’ve got guests coming. Especially around the holidays. It’s like your gift to you.

Here’s how to get that satisfying feeling — no matter how much time you have. Just choose your starting point on this checklist:

Three (or More) Weeks to Go

Think big picture. Get anything that requires a pro or installation out of the way now. No one wants calamity to strike when guests are pulling into the driveway.

  • Get your HVAC maintained if it’s overdue.
  • If you have a self-cleaning oven, clean it now. An oven is most likely to break down during the cleaning cycle, so don’t save this task for last.
  • Replace any appliance on its last legs. You don’t want your hot water to go out or fridge on the fritz with a houseful of guests.
  • Steam-clean upholstery. (Or hire a pro. It’s a big job)
  • Hire a handyman for those repairs you’ve been putting off.
  • Check outdoor lighting. Replace old bulbs and call an electrician to address any bigger issues.

Two Weeks to Go

It’s not panic time yet. Focus on decluttering and a few deep-cleaning tasks now, and you’ll have a more manageable to-do list when the clock really starts ticking down.

  • Do a deep declutter. It’ll make things easier to keep clean.
  • Dust ceiling fans, light fixtures, and high-up shelves.
  • Wipe down baseboards.
  • Clean out and organize the fridge.
  • Wash windows to make the entire house feel brighter and cleaner.
  • Toss washable shower curtains and drapes in the washing machine and re-hang. Easy.

​​

One Week to Go

It’s strategic cleaning time. Here’s what to tackle now — things your family won’t easily undo before your guests arrive.

  • Declutter again.
  • Vacuum and dust guest rooms. If they’re low-traffic, the cleanliness should hold with just a quick wipe-down right before they arrive.
  • Wipe down walls.
  • Wipe down kitchen and dining room chairs and tables, including the legs. You’d be surprised how grimy they get.
  • Deep clean the entryway — and make room for your guests’ stuff.

72 Hours to Go

The final cleaning stretch is on the horizon.

  • Do another declutter.
  • In the kitchen, toss stove burners, drip pans, and knobs into the dishwasher for an easy deep clean.
  • Wash kitchen cabinet fronts.
  • Scrub the kitchen floor.
  • Clean and shine appliances.

48 Hours to Go

Now it’s time to get serious.

  • Clean and sanitize garbage cans to banish mystery smells.
  • Wipe down doorknobs, faceplates, and light switches. They’re germ magnets.
  • Clean the front door.
  • Deep clean the bathroom your guests will use, and close it off if possible.
  • Wash guest towels and linens.

24 Hours to Go

Your guests’ bags are packed. Time for final touches.

  • Do a final declutter - by now it shouldn’t take more than five minutes.
  • Give one final wipe-down to toilets, tubs, and bathroom sinks.
  • And another final wipe-down in the kitchen.
  • Do all the floors: mop, vacuum, sweep, etc.
  • Make guest beds and set out clean towels.
  • Plug in nightlights in guest baths.
  • Put out guest toiletries so they’re easy to find.
  • Add a coffee or tea station in the guest room or kitchen.
  • Get your favorite smell going, whether it’s a scented candle, spices in water on the stove, or essential oils.
  • Use rubber gloves to wipe off pet hair and dust from furniture. It works.
  • Do the full red carpet: Sweep or shovel porch, steps, and outdoor walkways

​​Source: "Cleaning Your House for Guests: A Checklist"

4 Funky Odors In Your House Only Your Guests Can Smell

by The Schnoor Team

You could be nose blind. Here’s how to find and eliminate the funk you can’t smell.

Stand in your kitchen and take a deep breath. Smell that? From last night’s fish to your son’s nasty lacrosse pads (why did he leave them on the table?), you probably can’t detect any of your home’s rankest odors. You’ve got nose blindness.

“You adapt to the smells around you,” says Dr. Richard Doty, the director of the Smell and Taste Center at the University of Pennsylvania.

On a sensory level, your processing mechanism becomes less sensitive to the continuous stimuli. Or, on a cognitive level, you can become habituated to the smells and basically learn to ignore them. Or you can do both.

Here are some of the most common nose blindness culprits, and how to ban them from your home.

#1 Pet Funk

There’s one easy way to tell if your home smells like pets: Do you have them? Then yeah, unless you’re an obsessive cleaner and groomer, your abode has at least some Fido funk.

It could be pee, but more likely it’s just hair, gunky ears, and weeks-old slobber.

The first step to cleaning up pet smells is — sorry, pets — cleaning the pets themselves. Bathe and groom them regularly.

Then, vacuum, vacuum, vacuum. If they have a favorite couch or cushion, cover it with a blanket and run it — and the cushion cover — through the wash weekly. Every time you vacuum, start with a hearty sprinkle of baking soda on the carpet.

And use that crevice tool liberally; pet hair loves tight spaces like the border between the carpet and the wall, the edges of your steps and that little crack of space between the stove and your cabinets.

Hopefully urine isn’t the issue, but to be sure, you can use a black light to out any dried stains your pet was hoping you’d never notice.

Use more of that baking soda followed by a half-water, half-vinegar solution to neutralize the odor. Lots of people also swear by store-bought neutralizers, like Nature’s Miracle.

#2 Mustiness

Fortunately, nose blindness only affects one of your senses, and you don’t need your nose to verify a basement with a musty smell.

Mustiness is caused by mildew and mold, which — for better or for worse — your eyeballs can easily detect. Do a careful inspection of your basement, from the darkest corner to the surface of every cardboard box or bookshelf. If you find gray or white splotches anywhere, it’s probably mildew. If it’s fuzzy, (oh no!) it’s mold.

First, you’ll want to bust up those existing odors. Then, you’ll want to make sure they never return. Some elbow grease with regular household cleaner will scrub away mildew. Bleach isn’t the cure-all for mold. If often can exacerbate the problem.

To prevent mildew and mold from returning, consider running a dehumidifier or improving air circulation and sunlight exposure in the affected area if possible.

For chronic mustiness, you can deodorize rooms by setting out bowls of vinegar, cat litter, baking soda, or — as crazy as this sounds — an onion also will do the trick. Cut one in half and let it sit in a bowl in the room. The onion smell goes away in a few hours, and so will the dankness.

#3 Smelly Bedding

Similar to pet odors, knowing if your mattress could smell is easy: Do you have a human body with skin and oils? Do you sleep on it?

Eventually, all the dead skin and body oils you shed while sleeping are going to build up, and stink they will, especially if your bedding is older.

You can’t exactly toss your mattress in the washing machine, so you’ll have to deal with it where it lies.

But it’s an easy fix: Sprinkle baking soda on it, let it sit for an hour or more, and then vacuum up the soda. (This works for memory foam, too.) Add a couple drops of essential oil to the soda (drip directly into the box and shake it well to mix evenly) for a pleasant smell. Bonus: Lavender has been shown to help you sleep.

#4 Fridge and Freezer Grime

It’s your fridge and freezer’s job to keep your food fresh, but they need a little help staying fresh themselves.

Itty bitty food bits hang out long after you’ve tossed the item from which they came. Although you might not notice the odor creep, you may notice your ice starting to taste funny or see those food morsels start to accumulate in the corners of your fridge shelves.

If you see or taste something icky, you can bet others can smell something icky.

To zap odors from from your freezer and fridge, unplug and empty them and do a thorough cleaning with a mix of hot water and baking soda.

You can sanitize with a solution of one tablespoon bleach and one gallon of water. Let it air out for 15 minutes. Try wiping it down with vinegar for extra odor eliminating, or even leave the door open for a few days.

What better excuse is there for a long weekend away, or to treat yourself to takeout?

Source: "4 Funky Odors In Your House Only Your Guests Can Smell"

 

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