Real Estate News & Local Happenings in Grundy and Will County, IL

$8,000 First Time Home Buyers Credit as a Down Payment?

2009-05-13T09:40:00.001-05:00

Shaun Donovan, secretary of the U.S. Department of Housing and Urban Development, said that the Federal Housing Administration is going to permit its lenders to allow homeowners to use the $8,000 tax credit as a downpayment. Donovan said that important changes, which the National Association of Realtors (R) has been calling for, will help consumers purchase a home. "We all want to enable FHA consumers to access the home buyer tax credit funds when they close on their home loans so that the cash can be used as a downpayment," Donovan said.
According to Donovan, the FHA's approved lenders will be permitted to "monetize" the tax credit through short-term bridge loans. This will allow eligible home buyers to access the funds immediately at the closing table.

According to my colleague, Rick Williams, a mortgage broker with Bancgroup: 'This loan can be used to pay the down payment, closing costs, and pre-paid (escrow) items on a new home purchase. What remains to be seen is WHERE this money is going to come from exactly, but that seem to be a somewhat minor detail, as it seems that the following entities will be able to make these loans available: Federal, state, and local governmental agencies and nonprofit instrumentalities of government, FHA-approved nonprofits and FHA-approved mortgagees.'

This could be a HUGE lift to home sales nation-wide.

A Horrible Sellers Market

2009-05-12T12:30:00.003-05:00

Many will tell you that this is a horrible sellers market, and for many, it is.

My second to last listing sold for sold for 97% of its list price on its first showing (day one). My latest listing was put into the Multiple Listing Service on Friday morning and by the end of business today will have had 11 showings and a minimum of 3 contract offers- should be under contract tomorrow. 5 total days to sell my last two listings???

How does he do it? "Tricks" of the trade revealed this week. But the hints are:

price
commission

A follow-up report, for fun

2009-05-08T08:03:00.003-05:00

What are some of the silly catch phrases REALTORS use to market properties? I probably know them all.....instead of poking fun of them, I've decided to embrace them. Here's what I used for my latest listing:

Hi! I'm your new brick fronted, mostly vinyl sided ranch on a nice
sized lot. I have 3 bedrooms, 1.5 baths (the half's in my master), a 2 car
garage and big eat-in kitchen with plenty of possibilities. I do have some
obsolesence, so be prepared to install new flooring and paint me- but for the
price, what I'm a deal, right? Call my matchmaker today to set up a
date!

What do you Thinko de Mayo

2009-05-05T08:53:00.005-05:00

Happy Cinco de Mayo to everyone out there (especially those that actually know what is celebrated on this day)!

I'm a little (lot) rusty with this, so I'm going to pose a couple of questions and hope for some response. As a home seller with his/her home on the market or a buyer reading through listings, do any of the following phrases attract you and which? Also, do any of them turn you off a house?

This one won't last long
Location, location, location
New roof in '99
Hurry!!!
Just perfect
Cozy
Charming

Sorry

2009-05-01T13:38:00.003-05:00

I owe you all a huge apology for the lack of blogs as of late, and as of late is basically all of 2009 to this point.

If you did not know, I've been waiting on a new website to be completed.....it was going to combine the best of this blog with my www.JimLudes.com into one-stop-shopping, so to speak. I feel there's no sense in promoting two or three sites when I SHOULD be able to offer you all of it at one.

BUUUUUUUUUUUT- it's taking a LOT longer than I anticipated. I was weening myself off of this site during what I thought were critical times to complete the new site, but ended up neglecting you.....if you'll still have me, I'd love to start blogging consistently for you again!

Local Elections

2009-04-08T08:10:00.003-05:00

I trust you all exercised your right to vote yesterday. IF you'd like to track the Grundy County elections, check out this site that allows you to do so:

http://www.grundyco.org/electionresults/election1.shtml

Need a REALTOR?

2009-04-04T10:30:00.003-05:00

Sorry for the lack of updates, friends. My new site will be ready shortly- and possibly up and running as soon as this weekend (though that's a bit of a pipe dream).

Many of you probably know that I've been a die-hard Denver Broncos fan since age 7.....23 years later I can't stand what the organization has become and LOVE that my favorite player is now a a Chicago Bear and that we can all join in unison as one, big, happy football family.

Welcome to the area Jay! If you need a REALTOR, I'm at your service!

A first-time buyer must read

2009-02-24T16:35:00.003-06:00

As you may have heard, significant improvements in the temporary First-Time Homebuyer Tax Credit were signed into law on Feb. 17 as part of the American Recovery and Reinvestment Act of 2009 to provide a housing stimulus for first-time home purchases that occur between Jan. 1 and Dec. 1, 2009. This is even better news for first-time homebuyers than the tax credit announced in April 2008 because not only has the tax credit maximum increased from $7,500 to $8,000 – but more significantly – it does not need to be repaid unless the individual re-sells the home within three years. There are several notable points about this federal income tax credit:

Credit maximum was increased from $7,500 to $8,000. The credit is calculated as 10% of the purchase price. Example: If the purchase price is $70,000, the credit is $7,000.
Removed the repayment requirement, provided the homebuyer does not resell the home for three years.
Eligibility remains for first-time homebuyers only. In this case, a first-time homebuyer is defined as an individual who has not owned a primary home at any time during the three years prior to purchase, but who may have done so prior to that time. Although certain income limits do apply, the amount of the credit is the same for all taxpayers, married or single.
To be eligible for the full tax credit, the homebuyer can have an annual adjusted gross income of no more than $75,000 ($150,000 on a joint return). A homebuyer with an annual adjusted gross income above that level and up to $95,000 ($170,000 on a joint return) is eligible for a reduced tax credit.
The tax credit can be claimed on one’s individual or joint tax return for the purchase of any single-family home between Jan. 1, 2009 and Dec. 1, 2009. It can be claimed on a 2008 tax return (to be filed by April 15, 2009), an amended 2008 tax return, or a 2009 tax return. Individuals should consult a professional tax advisor for exact tax calculations and timing.

Now, I am not a tax or legal professional, and of course you should use your own advisors. Keep in mind that this tax credit is retroactive. Any recent first-time homebuyers who closed on or after Jan. 1, 2009 or are currently under contract to close in the near future will also receive the credit.

January '09

2009-02-03T10:37:00.002-06:00

As I said in my monthly newsletter, I simply cannot believe it's already February. (By the way, if you don't subscribe to that- sign up for it!)

If you're looking for bright pots, silver linings, potential hints at the real estate market for 2009 check out the single family market of 2008 to 2009 in January:

January 2008:

5 homes sold
Average price: $204,840
Median price: $205,000

January 2009:

8 homes sold
Average price: $157,750
Median price: $153,500

So the number of homes sold is up so far....which is a good sign. Average and median prices are down from last year's numbers....but when you're dealing with so few sales in a given month, the average and median sales prices aren't a good stat to go by....those are much better in quater, half year and full year analysis.

If you want promise, check out the numbers from January 2005 (during the boom):
7 homes sold
Average price: $118,753
Median price: $124,000

*Now, by no means am I (or anyone) expecting '09 to compare to '05 when all is said and done.....but we are off to a healthy start.

Homebuyers Seminar

2009-01-16T15:34:00.002-06:00

It's been ridiculously cold the last few days and I apologize for lack of updates on our ongoing series on first time seller's tips. My computer was frozen- nah, not really....I'm working on a new website and got carried away with it.

I recommend you checking this event out. More on first time sellers tomorrow:

First Time Seller Tips #6

2009-01-14T07:00:00.001-06:00

We've already covered basics on getting your house ready to be listed. Supposedly you're good to go and ready to show show show and sell sell sell. I'll gloss over signing listing paperwork, because everyone's got a different idea on how that should be handled and whatnot- and it's not really important....just make certain you are, indeed, selecting the proper agent and that you're pricing the home correctly.

I appreciate when sellers are not home standing over my shoulder when I'm showing their home. I advise all my sellers to no be home. Take a walk, a bike ride, do whatever- just don't bug the potential buyer. WHY? Your presence makes buyers uneasy in most cases. They feel like they're intruding on you in your home and don't take the proper amount of time to look at your house.

Other things to do for a showing:

Make it bright. Let all the natural light in that you can, substitute with electric light where need be. The best and most productive agent I've ever met told me once, as a rookie when I hosted an open house for him, "Light this mother****** up!" While the obscenity was unnecessary, it has since become my mantra on all showings and open houses.
Make sure it's comfortable...too hot and too cold is no good.
Make sure the home smells good. You already know to have it clean (spotless would be nice) but make it smell good. Cliche's are candles or baked goods....I stay away from candles because of allergies and I don't know how many people want to buy a house because of chocolate chip cookie smell....just make sure the air is clean more than scented- no pet or smoke odors!
Provide an info packet. A lot of times you cannot fit all you want to say about your home on an MLS listing, here's a shot to put out additional info- ideally at a place where the prospective buyer can find it early in the showing and take notice of what you're pointing out.

Radon

2009-01-13T07:00:00.000-06:00

As of January first of LAST year, it became Illinois law to include a Radon Disclosure in all non-exempt Illinois property listings.

Radon is a radioactive element that is part of the radioactive decay chain of naturally occurring uranium in soil. You can’t see radon. You can’t smell radon and you can’t taste radon. Unlike carbon monoxide and many other home pollutants, radon's adverse health effect, lung cancer, is usually not produced immediately. Thus you may be exposed to radon for many years without ever suspecting its presence in your home. The USEPA action level for radon is 4.0 picocuries per liter of air (pCi/L). The risk of developing lung cancer at 4.0 pCi/L is estimated at about 7 lung cancer deaths per 1000 persons. That is why USEPA and IEMA recommends reducing your radon level if the concentration is 4.0 pCi/L or more.

Illinois residents may receive a FREE radon test kit by filling out a form HERE. It will take up to 30 days to for the kit to arrive, but I'll take 30 days over possible lung cancer, how about you?

First Time Seller Tips #5

2009-01-12T07:00:00.004-06:00

You've followed all the proper steps and have a great curb appeal now you're ready to get the inside of your home looking "showing ready." The first thing you may want to know is that there are people out there (non-REALTORS) that do this for a living. They are called home stagers. Like all professions, I imagine some are significantly better than others (and you probably pay a premium for that) but they are definitely worth a call and consultation.

Going with a home stager or not, the first thing you need to do is get rid of the clutter!! I understand as well as anyone that most people are still LIVING in their home while attempting sell and they need to LIVE. That's good and great- but you still need to get rid of the junk. This is priority numero uno! Right behind that is good, old-fashioned cleaning. If it sounds logical, you'd be SHOCKED at the number of homeowners that don't take time to clean their home before showings (or, in some cases- in general). Please, keep it clean! Vacuum, do the windows, dust, the whole nine yards (which is a stupid phrase- you need ten yards).....the whole ten yards please!

Next step is to step back and survey the house as if you were a buyer....I'm assuming it's very clean and "flows" very well within rooms and from one to the next thanks to the de-cluttering. But are the carpets filthy or torn up? Do hardwood floors have scuffs? Are the walls dinged, dented and marked? These are things than not only a) make buyer think, "I'll have to fix or replace this" but also b) make them wonder, "what else has the seller not cared for in this home?" These are questions you'd rather not have them ask. Those questions impact your offer price as well as if someone will even give said offer.

At this point....this is all that might be required of your home. It MUST be clean. It MUST NOT have serious cosmetic defects such as filth or wear. It may be difficult to maintain this appearance 24-7....but make sure it's close enough to show the home on short notice.

Going beyond this requires just a little bit more- but it's almost always worth it. Have walls that are pink and orange? Might want to tone them down. Neutral is most-often advised and probably the best bet in terms of appealing to the MOST potential buyers....a little color isn't going to hurt, especially if it pulls the house together. Often times it doesn't. An example....check out MY BATHROOM (side pics). We bought our house a couple months before our kids were 1 and 2 years old....we went cutesy with a Nemo theme.....Would I EVER consider selling my house with this? Not a chance. In fact, I'll sometimes pee outside so as to not have to look at it (KIDDING).

In all seriousness, your personal tastes in decorating are no longer of matter....it's more of what would appeal to people who are going to potentially purchase your home. A few years ago, people would buy a house and throw new paint on walls and flooring down; now buyer's have the option to be picky. There's a plethora of homes available and they don't feel that they should have to put out the extra money to do it. As one buyer told me about a month ago, "For this money, this house should be a finished product; not something that I need to come into and repaint and whatnot." He's right- and now you know how they feel!

Market stats 2008 (attached homes)

2009-01-11T07:00:00.000-06:00

These are the final market statistics for sold attached housing in Coal City/ Diamond/ Carbon Hill for 2008. Attached housing meaning duplexes, townhouses and condos.

16 homes sold
average listing price $167,762
average sold price $162,156 (97% of last list price)
average market time 80 days

....and, of course, I need to include the median statistics as well (for exlanation why- see yesterday's post)

16 homes sold

median sold price $160,000

median market time 38 days

**Another tip as to why median values are so important, especially in small areas like ours...the average time on the market is 80 days- DOUBLE what the median market time is. WHY?? The two lowest market times were one day each whereas the two longest market times were 296 and 302 days!!! That'll skew some numbers VERY quickly....

Market Stats 2008 (detached homes)

2009-01-10T07:00:00.000-06:00

I usually take the weekend off of blogging, but I feel you can't get too far into 2009 without letting your readers know how 2008 shaped up.

Detached sales in Coal City/ Diamond/ Carbon Hill for 2008:

79 homes sold

average listing price $201,228

average SOLD price $191,966

average market time 137 days

you know me and that I think average doesn't tell a whole story (sometimes):

79 homes sold

median SOLD price $184,900

median market time 89 days

Why do I like to include median statistics as well as averages??

Simple. I think it gives a second-opinion of sorts and in some cases depicts a more accurate representation of what's happening in a market-place. Still need convincing? In the reported for areas of this post, the lowest sold price was $56,120 (on short sale) and the high price was $412,000. Now if that house didn't sell for 412k, but for say, 1.5 million (on Goose Lake perhaps)the average sold price would have gone up significantly to $205,768. In that scenario the average price would increase by almost $14,000 but the median level would be the exact same. With 79 homes sold, 39 homes sold for less than the median and 39 homes sold for more than the median......or middle statistic.

Friday Funday

2009-01-09T12:32:00.003-06:00

Rest your brains for the day and enjoy a fun Friday. Today, we kick off the fun Fridays of 2009 with a photo (of poor quality- SORRY).This is a spider walking around in the snow. I'd never seen that before. Logic would tell me that it has to happen from time to time. I'd imagine that not all spiders find a home for the winter. I'm not a HUGE animal lover. I like many of them, adore some and try to treat all the others fairly and cannot stand animal abuse. That's where fact #1 of things you didn't know about me pops up:

I'm a spider advocate. I won't kill them. The misses and kids have no trouble swatting rolled up papers or shoes at them, but me- catch and release outside. In fact, I ignore them more than I catch and release....that's only for when I hear the "KILL IT" shrieks of a loved one. Nope, won't have any of that. Why won't I kill spiders?

For one, they kill other disease spreading bugs I don't like.
Spider venom is used in neurological research and may prevent permanent brain damage in stroke victims.
The silk produced by spiders is used in many optical devices including laboratory instruments.
And the most important reason that I don't kill spiders...............(drumroll), I'm pretty sure one will bite me and pass along a super-power someday.

First Time Sellers Tips #4

2009-01-08T07:00:00.003-06:00

You've decided to sell, possibly selected that right gent or gal to help you market the home, hopefully taken care of a pre-inspection and fixed the issues (or priced accordingly)....what next?

Get the house ready!!!

I'll break this into 2 parts exterior and interior. Today we do the outside, which you will have and will continue to recognize by the term "curb appeal." Here's the thing...if your house looks

like crap on the outside no one is going to
look beyond the first picture they see on the 'net
get out of the car and grab a flyer
call their (or your) agent to get more info
WANT TO SEE THE HOUSE!

I hate to be the guy that breaks that to some of you....but it's true. If you're not appealing enough to do any of the above- who is going to go INSIDE the house? If potential buyers aren't going in the house...I'm pretty certain they're not buying it. (Now- all of this advice goes out the window if the house is a rehab, tear-down, fixer upper, etc. There- price matters more than anything else.)

So what can you do to make the house look nice and appealing?

I'd say trust your eye, but that might be part of the problem....so make sure you get a second opinion (like the expert one that your REALTOR can offer). There's dozens and dozens of things you COULD do to make the home more appealing but let's cover some of the basics....

Clean it! There's no harm in making sure you've power washed the home, right? I don't think there's any sort of mandate that says you cannot clean your windows. This should go without saying, but keep it clean. This extends to having picked up the newspapers and kids toys....if people think you can't even keep your font yard clean, imagine what they think of the interior of the home (where you spend most of your time).
Keep your lawn mowed and looking decent. Keep your landscaping looking good too....overgrown and dead bushes will hurt significantly more than poor/ different tastes.
Is your driveway full of cracks? Has the blacktop not been sealed in about a decade? People WILL notice this...it's probably best that you remedy it.

Photo taken by Phoenix area Realtor Leif Swanson. I used house pretty far away to protect the local guilty!

First Time Sellers Tips #3

2009-01-07T07:00:00.002-06:00

You've opted to sell your home and may or may not have selected a REALTOR. The next step I'm going to give you is optional....but HIGHLY suggested.

Get a home inspection!

What? Get real. Home inspections are what buyers get when they like my house enough to put in and/or negotiate a contract for sale.

That's CORRECT. But you can also get a pre-inspection. Why wait for your house to be sold (under contract) to find out about problems within it? Isn't it a better idea to have the home inspected and remedy the problems beforehand?

I think it's definitely worth checking into, take this scenario I had with a client a year or so back: Nice, little house. Needed some updating/ personal decorating touches but many houses do. It was priced accordingly and put out with my typical marketing blitz. It showed. There were interested buyers....and ta-dah! Foundation issues below, mold issues in the attic. Blew a potential sale to bits and pieces. Eventually the home sold as the mold was remedied and foundation repair was taken from the sale price, but for tens of thousands below it's original value and after months and months of headache.

Now, if it were inspected beforehand, both issues would have been out in the open and could have been addressed before setting the listing price and putting out marketing efforts, just to be found later on. The mold would have been a non-issue (disclosed, yes....but with proof of remedy and warranty) and the home could have been priced with the foundation issue in mind- and would have sold months earlier (thus saving my seller time and money to pay for and 'run the house' for those months).

Don't tell me your house is perfect. It's not. I can find 10 things in MINE right now, that I want to/ need to/ at least should consider remedying before I sell. Even if your house is a year old, I promise it's imperfect.

The REAL trick of the trade is picking the home inspector that's going to do the job well enough to find the issues for you! I'd be glad to refer you to him!

First Time Sellers Tips Part 2

2009-01-06T16:10:00.003-06:00

Your mindset is good, you know you want to sell your home and have taken as much precaution as possible to 'detach' yourself from its sentimental value to you. Now you need to find the right person to help you along your journey.

The REALTOR- homesellus maximus.

Now, you don't HAVE to hire a REALTOR. You can choose to do his/her/their job on your own. If that's the option you'd like to take, come back tomorrow to continue the selling tutorial.

If you would like to chose a REALTOR, there's many routes you can go and many questions you should have in your arsenal. I recommend that you INTERVIEW at least two, probably multiple.

"Say whuuu? A REALTOR suggesting that we interview competition for him?" No doubt about it! I'm confident that if you interview other agents, you will see more vividly the value of hiring me. If you do not agree, I promise that you'll be happy that you interviewed (and chose) another.

Who should you interview?

Ask your friends and loved ones who have sold a house how their agent was. If he/ she was excellent, that's someone to strongly consider.
Call Jim Ludes- he's great. That's a joke....but seriously, if I'm good enough to provide info on a blog, I might just meet the rest of your real estate needs.
An offshoot of #2 is, search the web. You cannot guarantee you'll find a 'winner' there...but you;ll probably find some names of folks that are up to date on technology, like yourself.
You can always blindly call a real estate office (or multiple). This will be your highest percentage of finding the 'bad ones' because it leaves a whole lot up to chance....but you WILL find some winners this way too.

Once you have selected a REALTOR (or several) to interview, you need to know what to ask them. This is a job interview for us and you should treat it that way. Ask questions and look not only for professionalism, but a good match for your personality. Trust your gut on the agent's preparation and knowledge of subject matter. Be advised, those agents that are worth their salt are interviewing you too.....it can, will and does happen that you select a REALTOR but that individual does not think he/she will mesh with you as a seller. Obviously, as with all things, openness and honesty will provide for the best working environment and ease of transaction.

What questions to ask a potential agent? Or, more specifically, topics that you probably want to touch on...

Everybody wants to know production. That's good....you may want someone with many transactions behind him/her. Keep in mind, Before I got to 50 transactions, I needed to do one and two. Before the highest/mightiest of all REALTORS got to 5,000 transactions, she had to do number 1-5....newness isn't necessarily a deth knell- though I believe it's tough to compare on a lot of levels.
Certainly a top-notch agent will have a pricing plan and data to back up his/her numbers.
The biggest thing to touch on is marketing plan. Anyone can pick a price and stick a sign in the yard....that's not selling real estate. You should know what your chosen agent is going to be doing on a daily basis, behind the scenes, to sell your home for you. WHERE WILL IT BE ADVERTISED? WHY is this effective? Do you do anything cutting edge? What do you do better than the competition I'll be interviewing?
Commission. You're going to ask it so I don't even know why I bother putting it in. But you should be most interested NOT in the number....but in what that individual or team will be doing to earn it!

Then there are other questions that too few sellers realize they should ask...

How about references? Does anyone vouch that you do the job well? (This is probably inapplicable if the agent IS a referral from someone)
What if you stink? What do we do if we're not happy with each other? What have you done in these instances in the past? Why does this happen? Have you ever had a complaint filed against you?
What sets you apart? Certainly you do something better than the others I'll interview, what would that be?
Who else works with you? Do you have service partners? Will folks from your office call here? Do you do your own open houses or will someone be sitting them for you?
Is this your full-time job? Will I be able to reach you when I need you or do I need to wait till 5:00 everyday?
How do you communicate? Do you have one line that you never answer? Voicemail? Do you text? Email? Instant message?

There's a few questions that you probably want to be on top of. And more than anything at this point....trust your gut. And ALWAYS go for service of price.....You can't get Steak and McDonald's for the same price....and I can just about promise you're always happier with a steak.

Tomorrow- prepping the home.

First Time SELLER Tips

2009-01-04T07:00:00.002-06:00

"There should be a class for first time sellers! Everyone always offers it for
first-time buyers, but what about the sellers?"

My friend posed that to me in chatting the other day. She's definitely correct. I have even covered first-time buyer's steps (in an 8 part blog series here) but neglected the sellers. Well no more. I hearby give you the first time seller's guide to selling a home.

Realistically, the first step you should take isn't necessarily interviewing REALTORS. The very first thing you need to do is get yourself in the right mind set to sell. The fact is the thing you call home is now just another property. The place where your children grew up and most of life's major moments happened is just another piece of inventory to buyers (and part of a TON of it right now). The sooner you can detach yourself from the sentiment of the home, the sooner you'll be able to sell it.

The next step is: forget what you paid for the house and forget how many dollars you put into it. It doesn't matter! The most illogical means of setting a price or negotiation tactic is the price you paid for something. A house is worth what a buyer is willing to pay for it.

The logic that you bought a home for $200,000 and put $20,000 into it does not mean that you will sell it for $220,000 or more. Your REALTOR will help you along with the pricing...but you have to pick the right one first. More on that tomorrow!

Happy New Year

2008-12-31T12:55:00.004-06:00

Happy new year everyone. If 2008 wasn't what you expected, put a little more into '09 and get what you want.....I've taken a week or so off of blogging to spend time with family and friends, get goal setting done for next year and work on a new website.....for you!

See ya next year.

8 quick fixes

2008-12-22T07:00:00.003-06:00

8 Quick Fixes to Increase Value

per the National Association of Realtors

With buyers more and more scarce, sellers must up the ante to convince them that their property offers what many want most — top value for dollar expended. Here are eight fast fixes:

1. Buff up curb appeal. You’ve heard it before, but it’s critical to get buyers to want to look on the inside. Be objective. View listings from the street. Check the condition of the landscaping, paint, roof, shutters, front door, knocker, windows, house number, and even how window treatments look from the outside. Add something special—such as big flower pots or an antique bench — to help viewers remember house A from B. No one has a chance to buy a house if they won't even walk through the door.

2. Enrich with color. Paint’s cheap, but forget the adage that it must be white or neutral. Just don’t let sellers get too avant-garde with jarring pinks, oranges, and purples. Recommend soft colors that say “welcome,” lead the eye from room to room, and flatter skin tones. Think soft yellows and pale greens. Tint ceilings a lighter shade. Though I truly believe that going neutral is a pretty good idea, I don't mind the alternatives.

3. Upgrade the kitchen and bathroom. These make-or-break rooms can spur a sale. But besides making each squeaky clean and clutter-free, update the pulls, sinks, and faucets. In a kitchen, add one cool appliance, such as an espresso maker. In the bathroom, hang a flat-screen TV to mimic a hotel. Room service, anyone? I agree with upgrading the kitchen and bath but would probably stop short of the flat-screen.....but that's probably because I don't even have one in my family room or bedroom let alone bathroom!

4. Add old-world patina (a film on the surface of bronze or similar metals, produced by oxidation over a long period, sheen on wooden furniture produced by age, wear and polishing, or any such acquired change of a surface through age and exposure) Install crown molding at least six to nine inches in depth, proportional to the room’s size, and architecturally compatible. For ceilings nine feet high or higher, add dentil detailing, small tooth-shaped blocks used as a repeating ornament. It’s all in the details, after all. Old world charm works for some- not so much for others, proceed with caution.

5. Screen hardwood floors. Buyers favor wood over carpet, but refinishing is costly and time-consuming. Screening cuts dust, time, and expense. What it entails: a light sanding, not a full stripping of color or polyurethane, then a coat of finish. A cleaner, shinier floor is much more appealing than your dusty, dingy floor. Just because you have a wood floor doesn't mean it's an upgrade...if it's not cared for, it's as much a detriment as a grungy carpet- maybe even more so with the cost of fixing.

6. Clean out and organize closets. Get sorting—organize your piles into “don’t need,” “haven’t worn,” and “keep.” Closets must be only half-full so buyers can visualize fitting their stuff in. Definitely! Clean, clutter free houses sell better than those with junk- expand this thought from the closet out.

7. Update window treatments. Buyers want light and views, not dated, fancy-schmancy drapes that darken. To diffuse light and add privacy, consider energy-efficient shades and blinds. People notice dirty, cheap blinds too. Upgrade to a nice wood or faux wood blind (properly fitted) and you'll be happy you did.

8. Hire a home inspector. Do a preemptive strike, since busy home owners seek maintenance-free living. Fix problems before you list the home and then display receipts and wait for buyers to offer kudos to sellers for being so responsible. I promise this will work and save you many possible headaches later on!

Frozen Friday

2008-12-19T11:34:00.003-06:00

...baby it's cold outside...

Today's the day that kids look forward to- the start of Holiday (what used to be Christmas) vacation. Thanks to whipping winds, rain and ice pellets falling from the sky all night; Coal City and all its surround areas got to start break a day early!

I wish it was good snow on the ground. I'd love to play football, build a snowman or fort or take my kids sledding....but alas, I'm blogging and learning more about my craft before I view and analyze about a million statistics.

I hope everyone has an awesome, SAFE weekend and comes back ready for good blogs on Monday!

What do I get back?

2008-12-18T07:00:00.000-06:00

One of the bigger questions people have when considering selling their home is: "How much will I get back for various improvements?"

It really depends on what the improvement is and what region your home is in. Different areas of the country produce different results....for all intents of this article, prices reflected will be based on the Chicagoland or midwest areas (my market region) and data is collected from REALTOR Magazine's December Issue in which a survey were sent to 150,000 appraisers, sales agents and brokers to tabulate results.

The following is a Top 10 list of improvements in this area, per the report (percentage wise in either upscale or midrange homes):

Fiber Cement siding 79.3% (upscale replacement)
Vinyl Siding 74.4% (upscale replacement)
Kitchen 73.9% (midrange upgrade)
Vinyl Siding 73% (midrange replacement)
Attic-to-bedroom 71.5% (midrange remodel)
Kitchen 69.1% (minor midrange remodel)
Wood deck 68.9% (midrange addition)
Vinyl window 68.5% (upscale replacement)
Wood window 67.3% (midrange replacement)
Vinyl window 67.1% (midrange replacement)

So there you have it. That's what paid in 2008. To figure out dollars simply multiply the cost of you job by the percentage to see how much it'll get you back house value ex: $5,000 on vinyl windows at 67.1% will return you $3,355.

Keep in mind that these are averages and you may experience more or less turnaround on your improvements- but this is a pretty nice place to start when considering upgrades.

Always Educating

2008-12-17T07:00:00.000-06:00

I wonder how many out there know that we need to take continuing education courses to keep our licenses active. Believe it or not, we as REALTORS, are continually looking to keep up to date on everything we can. Like it or not, if a real estate salesperson want to keep his/her lisence he/she must complete continuing education.

Today, I'm going to take my exam to make sure I paid enough attention and learned something in the courses of ethics, agency (license, law and escrow), fair housing and antitrust. I've blogged about a number of these issues and find it helps a little to know what I'm talking about.

In 2009, I plan to take classes to obtain my Green Designation. As you know by reading, "going green" is something I very much believe in and want to be as educated on it as possible, especially in terms of my business. I have looked into some similar designations but The National Association of REALTORS® (NAR) Green Designation is the definition of green professionalism, excellence, and leadership for today’s real estate practitioners. Specifically designed to address the educational needs of practitioners in residential, commercial, and property management markets, this training program is a true cross-over designation and the only green designation recognized by NAR.

Wish me luck and have a great day!