Home Renovation

The Federal First-Time Home Buyers' Tax Credit has expired but there is still help out there for first-timers. No doubt, the federal tax credit had encouraged people to become home owners and increased home sales. When this assistance ended, sales fell flat and first-time home buyers turned to other sources of help including 'angel investors' (family and friends). Yet there are still 'official' programs in place for first-time home buyers – at least on the municipal level.

Visalia, California

The City of Visalia, CA, is in the habit of helping home buyers. The city has offered assistance for home renovation as well as help with housing for lower-income, working families. Now Visalia is throwing its support (and funding) behind first-time homebuyers. The details of this latest program were spelled out in a recent city report.

"First-time homebuyers or those who have not owned a home in the last three years may be eligible to receive as much as $20,000 to help purchase a brand-new home with a maximum purchase price of $200,000," stated a City Of Visalia report released on November 19, 2010.

Workshops are planned for December 11 allowing Visalia residents to learn more about the program. The city is being supportive of their first-time homebuyers but, ultimately, there is a hope that the initiative will have a positive effect on Visalia's economy. The city expects that first-time home buyer assistance will encourage building in already-approved subdivisions. The program is expected to inspire first-timers and inject energy into the local housing market.

Visalia, builders to aid homebuyers with $20k stimulus program

Cambridge, Massachusetts

The Cambridge Financial Assistance Program offers a grant to potential first-time home buyers. This program helps with their down payment and closing costs. The home must be the buyer's primary residence. As well, the buyer must agree to restrictions limiting the sale of the property. Buyers must have been lived in Cambridge for at least one year.

Applicants must reveal their gross family income, amount of monthly debt, savings for a down payment, and the estimated purchase price of the property. A financial assistance program also allows eligible first-time homebuyers to “buydown” the purchase price of a home. Applications are available through the Cambridge Community Development Office.

Taunton, Massachusetts

The city of Taunton, MA, assists eligible home buyers with down payments (half of 5% down payment cost) and closing costs (up to $10,000). Eligibility is tied to income guidelines set forth by HUD (Housing and Urban Development Department). Applicants must have proof of income and debt. In addition, they must attend pre-purchase and post-purchase home buyer training courses. Applicants must be planning to reside at the property.

First-Time Home Buyer Grants in Massachusetts

Minneapolis, Minnesota

Minneapolis, MN, offers various first-time home buyer programs. The Minneapolis Advantage Program (MAP) offers a $10,000, zero-percent interest loan that is forgiven over five years. The Home Ownership Works (HOW) program gives first-time home buyers an opportunity to move into recently remodeled homes. Check out other programs for first-time home buyers in Minneapolis.

Nationwide

There are excellent programs available across the country for first-time home buyers. The guidelines may vary slightly according to the municipality. Generally, the programs are available to first-time buyers or those who have not owned a home within three years.

Most municipal programs are available on a first-come, first-served basis. The best advice for first-time home buyers is to check into these initiatives at the earliest possible date. Funds can run out for municipal programs. When cities reissue funds for a program, they may change its rates and parameters.

Have You Received Help Through A First-Time Home Buyers' Program?

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Home sellers must get potential buyers to check out their house. Sellers have to be ready for this process. They must prepare their home and themselves for the sale.

Selling a home requires you to detach yourself emotionally from your house. The sale has to be set up to be attractive to home buyers. No monetary value may match your sentimental attachment to a home.

Yet selling a home must be less about sentiment and more about practical concerns. Home sellers need to address various issues including everything from staging a home to budgeting for selling expenses. A home sellers' checklist can help you prepare to sell your home.

Home Sellers' Checklist

Educate Yourself About The Process

Arm yourself with the tools to get the most from the sale of your home – the best price and the most satisfaction. Free home selling seminars are cropping up across the US, Canada, and elsewhere. Home sellers should take advantage of seminars and similar resources such as e-courses, books, and articles from reputable industry sources.

As well, be open to the advice of your real estate agent and trusted family and friends who have gone though the process. By performing 'due diligence' (researching the situation from all angles), home sellers put themselves in the best position to sell their home.

Free Home Seller Seminar

Organize The Information

A ton of resources exists out there for home sellers. Stick to reputable, well-known, and trusted sources for accurate information. Sellers can collect mounds of research. They need to organize the data. Using folders to file the information according to category will simplify the process.

Store collected research and names of contacts as well as appointment dates in an efficient filing system. In addition, include documents such as household warranties and copies of property tax records and utility receipts. Obviously, you will also need to have easy access to your property deed.

Make Time In Your Calendar

Selling a home takes extra effort and time. Meetings and preparation are inevitable during the process. Plan ahead and arrange free time in your schedule. Sellers must set aside space in their calendar to devote to the selling process. If home owners try to sell their house and still hold down their regular schedule, they will end up stressed and not in the best frame of mind to sell a home.

Budget For Extra Expenses

Of course, home sellers have to budget for the costs of closing a sale. Yet they also have to consider the cost of repairs (major or minor) to improve the saleability of a home. Home sellers must also budget for staging their home.

Staging A Home

Staging your home involves presenting a home so that potential buyers can see themselves living in the space. Staging a home can include removing clutter, making everything sparkle, and adding welcoming touches or even a refreshing neutral shade to your wall. If you figure that staging is not worth the effort, think again. According to a recent survey by The International Association of Home Staging Professionals®, staged homes spend 83% less time on the market than non-staged homes.

Staging a House to Sell provides Big Returns

What Would You Include On A Home Sellers' Checklist?

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Home buyers need to check out their potential homes and that involves more than sizing up the living room colors. They must get down to the basics. In fact, home buyers should check out the foundation and every structural issue between that point and the roof. Enter the home inspector!

Home Inspections

A home inspector can check the home's structure as well as the plumbing, electrical, heating, and air conditioning systems. They will check for fire and safety issues, major problems, and general maintenance concerns. If a home inspector has the specific qualifications, inspections can include everything from water quality to mould, as well as septic and private well inspections, and even checks for WDI (wood destroying insects). Not all home inspectors are experts on every issue, however, such as septic inspections, radon testing, and other specialty areas.

Of course, home inspectors cannot guarantee that they will discover every defect or predict every future issue. Yet a qualified home inspector will conduct an extensive investigation into the current condition of the home. Armed with this information, the home buyer can make an informed decision about a pending purchase.

Home Inspectors

There is a distinction between a home inspector and a home appraiser. Appraising a property involves determining the value of a property. Home inspections focus on the condition of a home's structure.

Home inspection is not a 'pass and fail' system. The process points out the present condition of the home. It falls to the home buyer to decide if they are willing to update the heating system or compile a list of requests for a home seller to complete before closing. Sometimes a second home inspection is required to see if the home meets the agreed upon condition before closing. Generally within the United States and Canada, home inspections are required before a home purchase contract is considered a valid agreement.

Licensed Home Inspectors

Home inspections can give peace of mind and a sense of security to home buyers. Overall, home inspection companies are run by qualified inspectors with a strong commitment to customer service. Yet there is one disturbing fact about U.S. home inspections. Not all states require home inspectors to hold a license.

More than 30 U.S. states, however, regulate home inspectors in some form or another. Meanwhile, home owners in the other states might get an experienced and conscientious home inspector or an inexperienced and unqualified individual. These home owners do not enjoy the benefits and security of having access to a regulated industry. Keep in mind that one's safety, security, comfort, and investment is riding on a home inspection. Home owners deserve the services of licensed home inspectors.

The way it was in home inspection

Divorce-Related Home Inspections

It is not only home buyers who need a home inspection. As well, home owners in the process of divorce need the services of a home inspector. Determining home value depends on the structural condition of the home. Many home inspectors list divorce-related inspections among their services.

Home Inspections during Divorces

Getting A Divorce? Are You Getting A Home Inspection?

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On this Halloween weekend, the more mysterious and creepy your entrance looks, the better kids (and adults) like it. Yet come Monday morning, lose the look! Indeed, if you are planning to sell your home, a mysterious, hidden, or overgrown entryway won't attract buyers. No dead branches or plants in the yard! Without a doubt, a horror of a door will spook your buyers.

Potential home buyers respond to well-tended property and a welcoming entrance. A neat and attractive entryway gives the impression that you care about this home. An inviting door and tidy yard can help to sell your home before the buyers even see the interior.

Added Attraction

Every house should welcome guests (and buyers) through an attractive and well-maintained front door. No scratches and scrapes or doors that won't open or close without considerable effort! The finish on doors can fade and chip after years of enduring weather conditions. Sometimes it is not necessary to buy a new door. A light sanding and a paint job might do the trick. Follow the manufacturer's instructions to choose the right type of paint.

Complementary Colors

The color of the door must work with the color scheme of your home's exterior. It doesn't have to be the same shade as the house. Yet the color should not provide so much contrast that it draws attention to the door alone instead of the entire home.

A bright color can work if your home is surrounded with brilliant flowers or blazing foliage. Generally, colors that blend with natural hues look welcoming at an entrance. Choose shades that match the natural elements (like stone or brick) of your home and its surroundings (landscape and other buildings).

Brilliant white is not an appealing choice for a front door because it is a stark color. Bright white is a cold tone - not a welcoming color. A white paint with a touch of yellow or pink is a better choice.

Your door should fit the look and style of your house. A small cottage should have a cozy look. A stately home should have a more formal entrance.

Surviving the Storm

Your door must look sturdy enough to survive a storm. You don't want potential home buyers to think that their entry door will blow down at the first gust of wind. If a home has a main door and storm door, both should look their best. If you can't afford to replace the main wood or metal door, buy an affordable and decorative storm door to make a great first impression.

Getting a Handle

When home owners put in the time and effort to make improvements to their entrance, they are 'getting a handle' on the sale. They are setting the stage for the sale of their home. Maybe that will mean having to buy new door handles.

Metal door handles can tarnish and chip over time. If yours look the worse for wear, replace them. Handles and locks are not difficult to install and it could be a DIY project. If there isn't already a deadbolt on the door, it may be a smart idea to install one. It will be safer for you while you're in the home as well as an extra safety feature that will impress buyers.

Decorative Touch

Even though the Halloween decorations are gone, potential home buyers won't mind a glorious fall arrangement or silk flower wreath on your door. It adds a decorative and welcoming touch. Inviting doors 'invite in' guests – and home buyers!

How to Improve the Front Entrance to Help Sell a Home

How to Choose a Front Door Color

Which Inviting Color Did You Choose For Your Front Door?

Ah, home sweet home! Make that home 'small' home for an increasing number of home builders and home buyers. House construction is seeing smaller and less expensive homes because builders are not getting the same price as before for expansive, upscale properties. A few builders claim that they are not making back the construction costs.

Shrinking Size

Some builders are getting rid of homes at a loss and concentrating instead on the business of renovation. Although in uncertain economic times, neither one is a safe bet. Everything has experienced a decrease in this economy (in certain areas more than others). Everything from house appraisals to new homes to house prices is seeing a decline – and now houses are also shrinking in size.

Part of the decision to go 'smaller' is fuelled by varied events that have undermined people's confidence in the market. Such issues as foreclosure rates, flawed foreclosures, lending issues, and more, are causing a build up of anxiety among potential home buyers. Of course, home builders share their anxiety.

"It's slowing the recovery of new construction. It's sapping confidence," says Robert Filka, CEO of the Michigan Association of Home Builders

In a certain Michigan suburb, a 3,600-square-foot home with 10' ceilings, is selling at a loss for the builder at $699,000. In 2008, that same home was priced at $875,000. Within the past decade, homes in that neighborhood had sold for $2,000,000. Times have changed and builders are changing with them.

No Luxury

With unpredictable appraisals that can come in even $80,000 less than expected, luxury homes can be a problem. Appraisers have to factor in recent sales in the neighborhood. At present, neighborhood sales can include anything from a short sale to a foreclosure.

As well, home buyers are often asked for higher down payments (even up to 25%). Luxury homes may start looking less and less appealing to home buyers. Builders who have noticed that trend are opting to construct smaller homes. Maybe a less expensive home will not seem as intimidating to the potential home buyer.

Hard times force home builders to think small

Downsizing

Some people are adamant about the benefit of small houses. Cost-effectiveness, smaller mortgages, and a simpler lifestyle are a few reasons that people give for choosing smaller and less expensive homes. Even environmental reasons play into the desire for smaller homes. They use fewer resources in building and for maintenance.

Of course, buying a 'too small' home is not a wise move. A home can be as small as anything - as long as it suits your needs. If a home does not have sufficient space, it will not work for a growing family.

Perfect Fit

Yet if the size suits you, a small home might be the right choice. People have found 'small home' ownership to be an exhilarating experience. It frees up savings for travel and it frees up the precious commodity of time.

'Small home' ownership means less time spent cleaning and fewer hours required for maintenance. Smaller homes allow you to have more quality time with family and friends. Maybe though not everyone will want to go as 'small' as this home builder.

Take a look at - World's Smallest House!

Have You Been Dreaming of Building a Small House?

Would A Small Home Suit Your Needs?

'Renovation' is a powerful word. It can send chills down your spine or fire up your creative urges. Yet renovation is not a 'black and white' issue. Even a minimalist style can have a touch of drama! There is always a grey area. Should I or shouldn't I?

A Real Dilemma

Whether you are a home buyer or home seller, nobody escapes the 'renovation' question. Will I renovate before I sell my home? Should I buy a bargain and bring it back to life? Will I be able to afford this home when I factor in improvements? Home renovation poses a real dilemma.

Home Buyers

If you buy a home and plan to fix it up, you have to be prepared to live with chaos. The home buyer must be able to handle the 'process' and renovation can range from a mild inconvenience to an intolerable situation. Bathroom renovations come to mind.

'Fixing up' a home can take its toll. Sometimes home owners have to seek out other accommodations while the work is in progress. If individuals have allergies or breathing problems, hotel costs seem a small price to pay to protect one's health.

Yet all renovations come with a cost – quite possibly, a considerable expense. Home buyers need to think about resale values – especially in an uncertain economy. Before home buyers decide on improvements, they must be clear about the cost.

A home inspector can shed light on that area. Be warned, however, that it can be difficult to get enough financing to handle a massive renovation. FHA 203k loans are available (with certain restrictions) for homebuyers who want to make immediate home improvements.

"In this market, you need to be very careful about how much cash you invest to make sure you get that back in resale value," Valerie Huffman, a regional vice president and manager of the Bethesda-Chevy Chase office of Weichert Realtors.

Cost-saving found in more than price

Home Sellers

Home sellers also have to confront the renovation dilemma. Should they renovate before selling or will they just sell at a bargain? If a house is not up to the standard of neighborhood homes, renovation is a wise idea.

If your home is on the market, you do not want to have the worst house on the street. Even when a home is selling for a lower price, the 'below standard' house might not attract buyers. They might decide to pay a little extra and avoid the hassle of renovations.

Removing 'dated' features is a good plan. A 1970s kitchen will not excite the 2010 home buyer. Of course, kitchen renovations are a huge commitment. You have to consider your budget, time constraints, and willingness to live with the upheaval.

Minor renovations can make a big improvement at a low cost. A 'lighter' look is always appealing to home buyers. A fresh and airy feel is a welcoming touch but go easy on bold and bright shades.

You might think that vibrant red would jazz up your space. Remember though that you are the seller and therein lies the root of the real dilemma. People tend to decorate in their preferred style but home sellers must renovate to attract home buyers.

Renovating to Sell

Are Home Renovations Posing A Real Dilemma For You?

Selling a home has never been an easy process. It requires effort and commitment at the best of times. In today's market, however, selling a home can be much more of a challenge. Yet home sellers can put themselves in a favorable position. They have to know how to adapt to today's economic climate. Many home sellers make serious blunders and end up waiting much longer to sell their homes.

Selling a Home – Top Mistakes

1. Pricing Too High

Although it may be tempting to try to get as much as possible for your home, that strategy can backfire on a seller – especially in the current economy. If similar homes in the neighborhood are going for a lower price, you will be last on everyone's list. The worst scenario - you end up getting less than your neighbors for a home of equal value. Over-pricing in an uncertain economy will not help a home seller – although the neighbors might be more pleased than ever with you. Home sellers must remember that they are still competing against bank-owned homes, short sales, and HUD (US Department of Housing and Urban Development) homes.

2. Expecting Too Much

People have to lower their expectations in poor economic times. Sellers have to look at the situation in the 'here and now' - not last month or last year. Today's sellers may not be able to take home their expected profit. In the midst of financial instability, sellers have to adjust their thinking.

Don't get carried away with slight improvements in the economy. When a country is coming out of a recession, people are still nervous about their financial future. Obviously, home sellers share that concern. Yet they must be realistic about the situation. It might help if sellers consider how they would react if they were home buyers. That mental exercise may help sellers to get a realistic view of today's marketplace.

3. Selling A Loser

Don't try to sell a loser! Of course, there is nothing to stop you from putting a home in poor condition on the market. Just don't expect to get a good price for it!

Condition matters in selling homes and no hefty price tag is going to hide that fact. If it isn't a winner, don't price it in that category. People will see right through that scheme. Sell for a fair value or make improvements and be able to sell for an increased profit.

Actually with FHA appraisals, major repairs have to be fixed up-front. Home buyers won't be eager to buy houses with bad roofs or safety issues. If sellers want to get rid of a home in poor condition, they can expect to have to accommodate buyers. Sometimes sellers decide to give a credit for a major repair (such as roof repair) after pricing it out. Generally though, a home in bad condition has to either sell for less or the home seller has to be willing to invest in improvements.

4. Neglecting Curb Appeal

Many sellers overlook the definite appeal of "curb appeal." Some sellers seem to think that it is just a term from a home decorating television show. Curb appeal, however, deserves more than a passing mention. The TV decorators are right about this one. Curb appeal matters to potential home buyers and it can translate to extra cash.

Traditional sellers: Strategize before selling, say Realtors

What Do You Think Is A Home Seller's Top Mistake?

Buying a home should not start on the day that you begin looking at houses. Surprisingly, some home buyers go that route and do not prepare to make the purchase. If individuals don't get ready for a home purchase, they will find home buying much more stressful than the prepared buyer.

Buying A Home = Hopes and Dreams

Everyone recognizes home buying as a major commitment. Yet purchasing is a home is also tied in with emotions and hopes and dreams. Some potential home buyers let their emotions get the better of them. They do not focus on the financial and other practical details involved in buying a home.

The unprepared buyer can end up finding the perfect home and then realizing that nothing is in place for the purchase. When the prepared buyer finds the perfect home, everything that needs to be in order is organized at that point. The prepared buyer can enjoy the experience of finding their dream home and will proceed with relative ease through the home buying process.

Preparing to Buy a Home

1. Down Payment

Most home buyers cannot put together a down payment at a moment's notice. A down payment is a substantial expense. The amount varies according to the loan, lender, and loan program. It can be as low as 3.5% of the home's purchase price for FHA (Federal Housing Administration) loans. Down payments, however, can also be as high as 20% of the purchase price. Wherever the amount falls, the down payment reflects a percentage of the sale price of a house so home buyers have to be prepared to pay a hefty sum.

2. Closing Costs

Often first-time home buyers are surprised by the closing costs. Of course, sometimes the seller will offer to help with this expense but this scenario happens mostly in a buyer's market. Home buyers are advised to include closing costs in their budget. They can expect to pay in the range of $2700 in the US market.

3. Credit Rating

Home buyers should enter into the process with the best possible credit rating. If an individual is thinking about buying a home in the near future, they should check their credit rating – preferably, a few months in advance. Being prepared with that information means that a potential buyer has the chance to improve their credit rating.

4. Pre-approval

Pre-approvals for loans give a positive edge to home buyers. Having a pre-approved loan makes it easier to negotiate and arrive at a deal. Home sellers respond well to potential buyers with pre-approvals in hand.

5. Moving-in Expenses

Obviously, home buyers have to factor moving-in expenses into their budget. These costs can include the actual 'moving' as well as new furniture expenses or necessary renovations. Some shopping for furnishings and changes to a house can be deferred until after a home buyer settles into their new home. Yet some things have to be taken care of before a buyer moves into a new property. If basic furniture is needed or renovations are necessary to accommodate young children, these concerns have to be looked after before the move.

What Do You Think Is The Most Important Step In Preparing To Buy A Home?

With the official start of autumn shortly upon us, home fall shows are showing up everywhere and these annual events draw huge crowds. Some things about fall home shows always stay the same. You are bound to see warm touches and shades of pumpkin. Yet every fall season brings a new and bountiful crop of home décor trends. Surprisingly, some fall home shows even emphasize spring designs.

Spring in Fall

People who look at home furnishings in fall might be preparing to build a home in the coming spring. Therefore, it is not that unusual to see fall home shows include some spring-like styles. Maybe a few pale pastels might find themselves in the company of autumn orange.

Autumn Green

Yes, green is the color of renewal and rebirth, but fall home shows are going 'green' in more ways than one. Of course, shades of green remind those future home owners about the joys of spring. As well, autumn shows are becoming friendlier to the environment.

More stores like "ReStore' in Vancouver have booths at these events. 'ReStore' sells high-quality used (and new) building supplies such as kitchen and bathroom counters, lighting, and appliances. Home owners can find similar 'green' outlets at home shows all across Canada and the US. You will always find the latest green cleaning supplies like AspenClean - the first cleaning product in Canada to be certified by Ecocert (the European regulator of organic cosmetics and food).

Prices at home shows can be more than 50% lower than department store prices. Yet the merchandise can include top quality materials. Shoppers might pick up a cool and classic black granite countertop because someone preferred a lighter shade of granite.

If 'used product' stores did not exist, these building supplies would end up in the landfill. Since more and more people are adopting a green lifestyle, these outlets can now take their rightful place at the fanciest fall home show. 'Used' outlets are becoming the new 'cool' shopping experience with the 'green' crowd.

Design Books

Design books are now the darling of home shows. The design book booths cater to those who 'want' to learn more about design as well as those who 'need' to learn more about design. If you can't afford the designer pillows, you can buy a good interior design book that tells you how to make your own autumn pillows.

Designer books offer support and ideas to home owners. These books are an invaluable resource especially for people on a limited budget. A good quality design book is worth the investment because they offer tons of ideas for every season. Sometimes using the latest trendy colors or fabric can do wonders in recreating a designer look.

Customized Design

Home shows shine the spotlight on local artisans who produce one-of-a-kind products. Custom orders are part of the thrill of home shows. Shoppers can choose from a wide selection of unique items. Customize your home for fall and show off your harvest colors.

What Did You Fall For At Your Local Autumn Home Show?

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Every home owner should keep up-to-date regarding the value of their home. Today's worth is not necessarily last year's value or even last month's worth. Whether home owners have moved in recently or are planning to move out soon, they should be aware of home value.

The market - in the immediate neighbourhood and the marketplace at large - affects home value. A home owner is stuck with that reality to a point. Yet home owners can take things into their own hands and try to increase the worth of their home.

It helps to work with a skilled professional to determine home value. Home owners should review strategies that will improve their home's worth. They should understand about the current market – especially in their neighbourhood. Home owners should decipher the factors that impact the worth of their home. Although all renovations are not equal as to how they affect home value, certain home improvements can make a big difference to home value.

Adding Value To Your Home

. Spruce Up The Exterior

First impressions apply to homes as well as home owners. The house that makes a good impression will be a fast seller. It is just common sense that potential home buyers are affected by the state of a home's exterior and the outdoor setting.

Home buyers are looking for a house to suit their needs. If the exterior and surroundings are a disappointment, the stage is set for this house to stay on the market for a longer period. The home's exterior has to look its best for the "open house." The outdoor area and entryway has to be safe and the location has to look appealing to buyers.

. Remodel The Kitchen

Remodelling a kitchen is a major investment ($15,000-$80,000) as well as a true hassle and definite source of stress. Yet a kitchen renovation is one of the best things you can do to add to a home's worth. The intense effort and hefty expense can translate into a high return on a home sale.

Of course, home owners can impress home buyers without having to spend huge sums of money. Most importantly, the kitchen must have a friendly atmosphere and safety has to be a priority. Even a fresh coat of paint or a clean-up and 'declutter' session can make a dramatic improvement to a kitchen.

. Redo The Bathroom

Redoing the bathroom to reflect more comfort and extra style is a wise move for every home owner. Redecorating a bathroom can come with a substantial cost. Keep in mind that an extensive bathroom renovation is a time-consuming project.

Redoing a bathroom can involve plumbing – a costly and labour-intensive process. Yet a bathroom renovation can get a home seller a return equal to or greater than the cost of remodelling. If a major project is beyond your budget, a thorough cleaning and new coat of paint can work wonders for your home. Even simple things can help to add a slight value to your home. The difference might be the deciding factor for a home buyer.

How Do You Plan To Add Value To Your Home?