Don't get hurt Spring Cleaning!

Spring cleaning is a great way to spruce up curb appeal and to get your home in tip-top shape for Summer, but some projects come are riskier than others. According to the U.S. Consumer Product Safety Commission, in 2013, more than 35,500 people injured themselves using a stepladder.

Many Spring cleaning projects are labor intensive. They require homeowners to step outside of comfort zones and onto ladders and roofs.

The American Academy of Orthopaedic Surgeons recently released some expert advice on what to do and not to do when performing maintenance on your home.

"We all want a perfectly clean house with the snap of a finger, so we tend to rush through a numerous amount of burdensome tasks in a short period of time, and that's where we put ourselves at risk for injuries," said orthopaedic surgeon and AAOS spokesperson Lana Kang, MD.  "Whether it's a fall caused after making a wrong step on a ladder or straining a back muscle, it's best to pace yourself, complete one task at a time, and take regular breaks."

Here are 10 steps that all homeowners should take to help avoid injury.

1. In order to avoid back injuries be sure to properly lift and carry heavy objects. How does one do this? The AAOS says to "separate your feet, shoulder-width apart and keep your back upright and bend at the knees while tightening the stomach muscles. Lift with your leg muscles as you stand up." Get help lifting heavy objects!

2. If you are dusting hard to reach spots use a step stool. Don't dangle your body off of counters or flimsy furniture!

3. When you use a ladder, be sure to place it on a level surface. Do not lean or reach for objects. Take the time to get down and move the ladder to where you need it.

4. Many tasks will involve using an extension cord. You should inspect all cords prior to their use. Look for gnawed or cut wires. To prevent trips and falls keep cords away from doorways and walkways!

5. If you are working with chemicals, sharp objects, debris, or branches then consider wearing protective gear. This can include such things as protective eyewear, long sleeves, and sturdy shoes. Leave the flip-flops for the beach!

6. The AAOS says, "Read product labels for proper use of chemicals used for cleaning.  Store all chemicals in places indicated on the package. This should be out-of-reach of both children and pets. Never place chemicals into unmarked containers or containers labeled for a different substance."

7. Keep hydrated by drinking plenty of water. It can be hot and sweaty work cleaning gutters, trimming trees, and replacing shingles. Take frequent breaks and keep water handy. Don't wait until you're thirsty to drink. That means you're already dehydrated!

8. Have a cell phone on your person or within reach so you can call for help. Better yet, have another family member present while you are working.

9. When using a mower, use one that has certain safety features. You want one that stops mowing when the handle is released. Never mow when children or pets are in the area. Never disable safety features.

10. Finally, start any intensive project with a good stretching session. Whether you think so or not, these tasks are a workout and your body needs a little time to prep to avoid strains.

5 Reasons to Buy a Home Now Instead of Spring

Based on prices, mortgage rates and soaring rents, there may have never been a better time in real estate history to purchase a home than right now. Here are five reasons purchasers should consider buying before the spring market arrives:

Supply Is Shrinking

With inventory declining in many regions, finding a home of your dreams may become more difficult going forward. There are buyers in more and more markets surprised that there is no longer a large assortment of houses to choose from. The best homes in the best locations sell first. Don’t miss the opportunity to get that ‘once-in-a-lifetime’ buy.

Price Increases Are on the Horizon

Prices are projected to appreciate by over 25% from now to 2018. First home buyers will probably pay more both in price and interest rate if they wait until the spring. Even if you are a move-up buyer, it will wind-up costing you more in net dollars as the home you will buy will appreciate at approximately the same rate as the house you are in now.

Owning a Home Helps Create Family Wealth

Whether you are rent or you own the home you are living in, you are paying a mortgage. Either you are paying your mortgage or your landlord’s. The Fed, in a recent study, revealed that the net worth of the average homeowner is 30 times greater than that of a renter.

Interest Rates Are Projected to Rise

The Mortgage Bankers Association, the National Association of Realtors, Freddie Mac and Fannie Mae have all projected that the 30-year mortgage interest rate will be over 5% by the this time next year. That is an increase of almost one full point over current rates.

Buy Low, Sell High

We would all agree that, when investing, we want to buy at the lowest price possible and hope to sell at the highest price. Housing can create family wealth as long as we follow this simple principle. Today, real estate is selling ‘low’ compared to where it will be next year. It’s time to buy.

CAN A REMODELED BATHROOM HELP SELL MY HOME?

Written by Phoebe Chongchua on Thursday, 30 January 2014 12:28 pm

Since bathrooms, bedrooms, and kitchens are among the rooms where people spend most of their time, the answer is, yes. But not every remodeled bathroom will help your home sell and it might not recoup the entire investment cost.

However, according to the Cost vs. Value report by Remodeling Magazine, the return on a bathroom remodel investment averaged approximately 62 percent for the years from 2006 to 2012. Not bad! But it gets better.

In 2013, the numbers started to increase, inching up to about 72 percent already for 2014. A room addition is showing 60 percent return on investment.

With this in mind, before you jump into your remodeling project, keep in mind that renovating a home is a big step to undertake. So, you should give it careful consideration. If you’re planning to stay in your home for a while and then looking to sell it in the future, say maybe before you retire and potentially downsize, a remodel now can be worth it because you’ll get to live in the home and enjoy the upgrades before you sell.

But what about if you’re planning to sell in the very near future? Should you remodel? That depends. If there are several homes for sale in your neighborhood and little distinction between yours and the others listed, some custom upgrades and features may likely help sell your home faster than the others. The new amenities can help attract attention and also increase the value and, ultimately, the sale’s price.

When you upgrade and do even minor renovations, you’re likely to attract buyers who are looking for a home to live in for a while. They tend to like when the home is move-in ready with upgrades. When a home isn't kept up, you often attract buyers who are real estate investors and are planning to flip the property. So because they often expect to have to put some cash into to fix it up, they will strive to get a lower price for the home because they have to clean up, repair, and renovate it in order to make a profit.

Whatever the case, remodeling your bathroom, bedroom or kitchen because you plan to stay in the home for a while or because you want to improve it and make it more attractive to buyers, don’t cut corners. If you try to do the remodel yourself it doesn’t improve your home, you could make it much worse and the renovation project could become costly just to restore it.

Keep your remodel appealing to the masses. No purple rooms, no black shag carpet. Make the upgrades energy-efficient and eco-friendly and you’re sure to interest many buyers. You don’t have to make a room renovation so complicated as knocking down walls or tearing up tile. Sometimes simple renovations like a fresh coat of paint can go a long way - making it feel like a brand new room.

If you do plan to do a larger remodel, make sure you include good lighting especially in the bathroom and kitchen projects. Updated appliances are also very attractive to buyers, even if you only change the faucet and the shower head. Also, a dual sink in a home with a single bathroom can be a buyer’s dream. It’s always good to have extra room in bathrooms and kitchens. Finally, before you remodel talk to your real estate agent and remodeling experts for advice.

1280 White St - Des Plaines, IL 60016 - Photography - Real Estate Photography, The VHT Tour, 360 Scenes, Video Production - VHT

1280 White St - Des Plaines, IL 60016 - Photography - Real Estate Photography, The VHT Tour, 360 Scenes, Video Production - VHT

Spike in New-Home Sales 'Negate' Interest-Rate Trouble?

Single-family new-home sales posted a sharp rise in October, up 25.4 percent from September, according to newly released Census Bureau data. That was a similar rate to last spring when the new-home market was taking off in recovery mode. 

Across the country, all regions posted double-digit gains in new-home sales in October. In the Midwest, they jumped 34 percent; 28.2 percent in the South; 19.2 percent in the Northeast; and 15.2 percent in the West. As sales gained, inventory levels fell to a 4.9-month supply. 

"The strong October results return us to the sales levels we saw earlier this year and negate the pause caused by the sudden jump in interest rates," says David Crowe, chief economist for the National Association of Home Builders. "We expect sales to continue to rise as pent-up demand is released and first-time home buyers creep back into the market."

However, some economists and analysts point to several headwinds that persist and could dampen sales in the coming months. 

“The market is stabilizing, but maybe it hasn’t come back to the degree that today’s data would suggest,” says Mark Zandi, chief economist for Moody’s Analytics. Several recent homebuilder surveys have shown new-home sales posting much more modest increases — or even falling. 

Builders have blamed a 1 percentage point rise in interest rates between May and September as one big culprit in slowing new-home sales in their markets. Also, double-digit percentage increases in the price of new homes has sidelined some buyers. 

The average price for a new home was $321,700 in October, according to Census data. That puts it on par with the average price during the 2006-07 boom times.  

But with a slight pullback recently in interest rate increases and a small increase in economic confidence, some buyers have come off the fence this fall. 

“It’s more active now,” Brendan Wright, a real estate professional at Atlanta Fine Homes Sotheby’s International, told The Wall Street Journal. “There was so much activity in the spring and summer that the people who missed the boat then are circling back now as opposed to waiting for next spring.”

Source: National Association of Home Builders and “Boost in New-Home Sales Greeted With Skepticism,” The Wall Street Journal (Dec. 4, 2013)

Top 10 Reasons To Hire A Real Estate Agent 

After hitting the highest level in nearly four years, existing-home sales declined in September, but limited inventory conditions continued to pressure home prices in much of the country, according to the National Association of Realtors®.

Total existing-home sales¹, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, declined 1.9 percent to a seasonally adjusted annual rate of 5.29 million in September from a downwardly revised 5.39 million in August, but are 10.7 percent above the 4.78 million-unit pace in September 2012. Sales have remained above year-ago levels for the past 27 months.

Lawrence Yun, NAR chief economist, said a decline was expected. “Affordability has fallen to a five-year low as home price increases easily outpaced income growth,” he said. “Expected rising mortgage interest rates will further lower affordability in upcoming months.  Next month we may see some delays associated with the government shutdown.”

According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage rose to 4.49 percent in September from 4.46 percent in August, and is the highest since July 2011 when it was 4.55 percent; the rate was 3.47 percent in September 2012.

The national median existing-home price² for all housing types was $199,200 in September, up 11.7 percent from September 2012. This is the 10th consecutive month of double-digit year-over-year increases.

Distressed homes³ – foreclosures and short sales – accounted for 14 percent of September sales, up from 12 percent in August, which was the lowest share since monthly tracking began in October 2008; they were 24 percent in September 2012. Lower levels in the share of distressed sales account for some of the growth in median price.

Nine percent of September sales were foreclosures, and 5 percent were short sales. Foreclosures sold for an average discount of 16 percent below market value in September, while short sales were discounted 12 percent.

Data from realtor.com,⁴ NAR’s listing site, show some of the strongest increases in listing price from a year ago are in the Detroit area, up 44.6 percent; Las Vegas, up 30.7 percent; and Sacramento, up 28.9 percent.

Total housing inventory at the end of September was unchanged at 2.21 million existing homes available for sale, which represents a 5.0-month supply⁵ at the current sales pace, compared with a 4.9-month supply in August. Unsold inventory is 1.8 percent above a year ago, when there was a 5.4-month supply.

NAR President Gary Thomas, broker-owner of Evergreen Realty in Villa Park, Calif., said there are far-ranging consequences from the repeating stalemates in Washington. “Just one impact of the recent government shutdown – delays in tax transcripts needed for approval of mortgage loans – put a monkey wrench in the transaction process and could negatively impact sales closings in next month’s report,” he said.

Thomas said flood insurance also is a concern. “Realtors® report that approximately 10 percent of transactions in September were located in flood zones, and that nearly one out of 10 of those transactions were delayed or canceled due to concerns over rising insurance rates.”  Notably higher flood insurance rates went into effect on October 1, and could impact future sales in flood zones.

The median time on market for all homes was 50 days in September, up from 43 days in August, but much faster than the 70 days on market in September 2012. Short sales were on the market for a median of 93 days, while foreclosures typically sold in 43 days, and non-distressed homes took 49 days. Thirty-nine percent of homes sold in September were on the market for less than a month.

First-time buyers accounted for 28 percent of purchases in September, unchanged from August, but down from 32 percent in September 2012.

All-cash sales comprised 33 percent of transactions in September, up from 32 percent in August, and 28 percent in September 2012. Individual investors, who account for many cash sales, purchased 19 percent of homes in September, up from 17 percent in August, and 18 percent in September 2012. Last month, 74 percent of investors paid cash.

Single-family home sales slipped 1.5 percent to a seasonally adjusted annual rate of 4.68 million in September from 4.75 million in August, but are 10.9 percent above the 4.22 million-unit pace in September 2012. The median existing single-family home price was $199,300 in September, which is 11.4 percent higher than a year ago.
Existing condominium and co-op sales fell 4.7 percent to an annual rate of 610,000 units in September from 640,000 in August, but are 8.9 percent above the 560,000-unit level a year ago. The median existing condo price was $198,600 in September, up 14.2 percent from September 2012.

Regionally, existing-home sales in the Northeast declined 2.8 percent to an annual rate of 690,000 in September, but are 15.0 percent above September 2012. The median price in the Northeast was $240,900, up 2.3 percent from a year ago.

Existing-home sales in the Midwest fell 5.3 percent in September to a pace of 1.25 million, but are 12.6 percent higher than a year ago. The median price in the Midwest was $158,400, which is 9.0 percent above September 2012.

In the South, existing-home sales declined 1.4 percent to an annual level of 2.10 million in September, but are 9.9 percent above September 2012. The median price in the South was $171,600, up 13.9 percent from a year ago.

Existing-home sales in the West rose 1.6 percent to a pace of 1.25 million in September, and are 7.8 percent higher than a year ago. With ongoing inventory restrictions, the median price in the West rose to $286,300, which is 16.8 percent above September 2012.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1 million members involved in all aspects of the residential and commercial real estate industries. For additional commentary and consumer information, visitwww.houselogic.com and http://retradio.com. 

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NOTE:  For local information, please contact the local association of Realtors® for data from local multiple listing services. Local MLS data is the most accurate source of sales and price information in specific areas, although there may be differences in reporting methodology.

¹Existing-home sales, which include single-family, townhomes, condominiums and co-ops, are based on transaction closings from Multiple Listing Services. Changes in sales trends outside of MLSs are not captured in the monthly series. NAR rebenchmarks home sales periodically using other sources to assess overall home sales trends, including sales not reported by MLSs.

Existing-home sales, based on closings, differ from the U.S. Census Bureau’s series on new single-family home sales, which are based on contracts or the acceptance of a deposit. Because of these differences, it is not uncommon for each series to move in different directions in the same month. In addition, existing-home sales, which account for more than 90 percent of total home sales, are based on a much larger data sample – about 40 percent of multiple listing service data each month – and typically are not subject to large prior-month revisions.

The annual rate for a particular month represents what the total number of actual sales for a year would be if the relative pace for that month were maintained for 12 consecutive months. Seasonally adjusted annual rates are used in reporting monthly data to factor out seasonal variations in resale activity. For example, home sales volume is normally higher in the summer than in the winter, primarily because of differences in the weather and family buying patterns. However, seasonal factors cannot compensate for abnormal weather patterns.

Single-family data collection began monthly in 1968, while condo data collection began quarterly in 1981; the series were combined in 1999 when monthly collection of condo data began. Prior to this period, single-family homes accounted for more than nine out of 10 purchases. Historic comparisons for total home sales prior to 1999 are based on monthly single-family sales, combined with the corresponding quarterly sales rate for condos.

²The median price is where half sold for more and half sold for less; medians are more typical of market conditions than average prices, which are skewed higher by a relatively small share of upper-end transactions. The only valid comparisons for median prices are with the same period a year earlier due to a seasonality in buying patterns. Month-to-month comparisons do not compensate for seasonal changes, especially for the timing of family buying patterns. Changes in the composition of sales can distort median price data. Year-ago median and mean prices sometimes are revised in an automated process if additional data is received.

The national median condo/co-op price often is higher than the median single-family home price because condos are concentrated in higher-cost housing markets. However, in a given area, single-family homes typically sell for more than condos as seen in NAR’s quarterly metro area price reports.

³Distressed sales (foreclosures and short sales), days on market, first-time buyers, all-cash transactions and investors are from a monthly survey for the NAR’s Realtors® Confidence Index, posted at Realtor.org.

⁴Realtor.com, NAR’s listing site, posts metro area median listing price and inventory data at:http://www.realtor.com/data-portal/Real-Estate-Statistics.aspx.

⁵Total inventory and month’s supply data are available back through 1999, while single-family inventory and month’s supply are available back to 1982 (prior to 1999, single-family sales accounted for more than 90 percent of transactions and condos were measured only on a quarterly basis).

The Pending Home Sales Index for September will be released October 28 and existing-home sales for October is scheduled for November 20. The2013 National Association of Realtors® Profile of Home Buyers and Sellers, a large survey that evaluates the demographics, preferences, motivations, plans and experiences of recent home buyers and sellers, will be published November 4; all release times are 10:00 a.m. ET.