5 Tips for Saving Energy this Summer

Here are 5 quick things you can do to stay cool and reduce your monthly bills this summer.

1. Change your filters in your heating/cooling system at least monthly.

2. Check your system – before you need it.  This keeps you from making an emergency call when the temperatures soar.

3. Change your old thermostat to a programmable one. New wireless models even allow you to control the system from your phone when you are away.

4. Set your ceiling fans to rotate counter clockwise to better distribute cool air to help reduce your need to use the air conditioner.

5. Grill out!  Keep the cooking heat outside and reduce the heat inside.

Staying One Step Ahead in this Real Estate Market

The following Ask the Experts Q & A features advice from Doug Breaker, the president and CEO of Homefinder.com.

Q: How can agents stay one step ahead in a rapidly evolving industry?

A: With low inventory and low interest rates, the market is heating up, and heating up fast. For agents and brokers, the last few years have meant patience as homes sat for months or even years; now, real estate professionals must learn to turn on a dime, as houses sell in days or even hours. Our 2013 HomeFinder.com Agent Makeover Sweepstakes will focus on that change and help the five winners and thousands of participants understand the changing landscape and adapt to the new normal. Below are a few thoughts on how you can be well positioned to take advantage of the changing landscape:

1. Be the agent you want to work with: As a real estate agent, would you hire yourself? Do you feel like you offer clients experience, knowledge and expertise? Are you establishing a personal rapport and nurturing client relationships before, during and after the sale? If the answer is no, identify your weakest areas and find resources to help you grow as an industry professional.

2. Power of planning: Do you want to improve your marketing strategy, stay in touch with past clients, or increase your commission? Write down how you plan to achieve these goals. If you fall into a rut and think you haven’t made any progress, revisit your plan; you’ll be astonished at how far you've come!

3. Let go of what’s not revenue generating: Hire a full-time, part-time, or even virtual assistant to relieve your task-oriented workload. When you hold on too tightly to parts of your business that someone else can manage, you lose the ability to maximize money- making opportunities.

4. Technology is a necessity, not a convenience: Streamline your workload with apps such as:

Checklist Wrangler: Manages multiple checklists and auto-creates lists; creates templates for tasks you need to do more than once; creates checklists from text copied from emails, websites, etc. 

Brewster: Pulls contact information stored across your email, Facebook, Twitter and LinkedIn databases to create visual, in-depth profiles. Sends updates regarding moves or new jobs, sends reminders when you’re falling out of touch with someone, and has a highlyintuitive search function.

ÜberConference: Minimize your role as the go-between by quicklyscheduling a conference call while on the go. Choose contacts from your address book and UberConference will automatically call, email or text contacts to join, no PIN required.

5. Bring online connections to life: Use social media to connect with clients on a personal level. People like doing business with “real people,” so being genuine on social media enables your clients to see your interests outside of work, helping them see a different side of you.

5 Signs you're Ready for Home Ownership

1.You Stick to a Budget

Financial experts will tell you that creating and sticking to a budget is a sign of financial maturity. With the over 1.5 million foreclosures in the United States, it's easy to understand why this is so important. If you have already created a budget and have stuck to it, you're more ready than the next guy to own your own home. When you follow a budget, you know exactly where your money is going each month. When you know where your money is going, you know whether or not you can afford a home of your own.

2.You Have a Down Payment

The old rule of thumb still stands: Enough money should be saved for a 20 percent down payment on a house. When you put 20 percent down on a home, you immediately have equity built into the property and you negate the necessity of private mortgage insurance. Even with a 20 percent down payment, you should still stay away from home's that are out of your realistic price range. If you've budgeted for a $150,000 house, having 20 percent to put down doesn't mean that you should look for an $180,000 home.

3.Your Income is Stable

Finding a stable job can be tough to do in today's economy, but if you have a stable source of income, you can feel relatively safe making an investment in a home. If you are reliably employed, don't forget to factor in any life-changes that may crop up in the near or distant future. Do you plan to go back to school? Are you going to start a family? Budget for the home you can afford five years from now, not the one you can afford today.

4.Your Credit Score is High

The higher your credit score, the better your interest rate will be. The better your credit score, the more likely you are to be accepted for a loan. If your credit is in excellent shape, you're ready to buy a home. If, on the other hand, your credit needs some work, whip it into shape before you being the home-buying process. Before you buy a house, your debts should be paid off, any collections accounts should be closed satisfactorily, and your credit score should be in the 700's.

5.You Have an Emergency Account

Did you know that you should have enough money in the bank to cover at least three month worth of debt? If you have an emergency account, you can feel safe buying a home. Add your estimated mortgage payment, estimated utilities, and any recurring debts that you have, and multiply that number by three. The resultant number is the amount that you should have stashed away in the case of job loss, illness or other financial emergency.

If you are thinking of buying a home, make sure that you are 100 percent ready. Re-read the tips above and, if they apply to you, the dream of owning your own home is within reach. If one or more doesn't apply to you, you have some work to do. Owning a home isn't a snap decision, it's a process. In the end, you'll be glad that you took your time and did it right.

6 Ways to Get A Response Back Through Emails

Ever sent an email & never received a response back. Here are some tips to help you get your reader to hit the reply button...

1. Perfect the subject line. When it comes to information, it’s hard not to judge a book by its cover. In To Sell Is Human, Dan Pink covers a study showing that people are more likely to read emails with subject lines to create curiosity or provide utility. When people aren't busy, they’re drawn in by subject lines that intrigue them. But when they’re busy, curiosity fades in importance; the emails that get read are the ones with practical subject lines. When you want to grab the attention of someone important, scrap the entertaining subject lines and focus on utility. Here are some of the most effective subject lines that landed in my inbox from strangers:

• Curiosity: “Advice for a fellow teleological people-person,” “I do not want anything from you,” “Your book kept me up all night,” “I will fly up and see you; you interest me,” and “Dan Pink would want me to write a creative subject line here”
• Utility: “Applying your techniques to recovering addicts” and “Getting you to Atlanta”
• Both: “Can you help give away 4 million dollars a year?” [Here, the sender cleverly went on to clarify, “I know the subject sounds like something you'd get from Nigeria, but…”]

2. Tell them why you chose them. On the receiving end, I was surprised by the number of readers who wrote asking for help without explaining why I was the right person to help them. One person reached out looking for advice on how to become a millionaire; another asked for help fighting a malpractice lawsuit. Neither of these requests is easily handled by a management professor. Good emails overcome this barrier by highlighting what drew you to this person and the distinctive value that he or she can add. It’s worth devoting a sentence or two to what you know about the person’s work, and how it has influenced your life. If you are trying to email people to gain business and clients,  talk about why you chose them and why you think they need to use your company. In Real Estate, it is best to talk about location, and how it is a perfect time to buy or sell in your location. Why did you choose this person to represent you or vise versa if your a Realtor why did you chose these clients to represent. 

3. Show that you've done your homework. A sizable number of readers wrote asking for links to articles that were freely available on my public website. As author Tim Ferriss, himself a cold-email virtuoso, writes, “It’s amazing how many would-be mentees or beneficiaries ask busier people for answers Google could provide in 20 seconds.” The psychologist Bernard Weiner has found that people are more motivated to help those who try to help themselves. When you reach out to someone busy, Ferriss advises, “Explicitly state what you've done to get answers or help yourself.”  In our business we truly appreciate this, because it shows that they are serious clients and we can help them to understand the business & market better. Sometimes clients will bring in other comps that we did not pull, by doing so we can explain to them why we did not use the comp and why that one had a flaw. 

4. Highlight uncommon commonalities. I felt a stronger connection to strangers who emphasized something unusual that we had in common. As the psychologist Robert Cialdini sums up the evidence from Influence, “Similarity literally draws people together.” In Give and Take, I elaborate on this principle to point out that similarities matter most when they’re rare. We bond when we share uncommon commonalities, which allow us to feel that we fit in and stand out at the same time. Think of the last time you traveled abroad and met someone from your hometown. If you met at home, the connection wouldn't stand out as unique, but on foreign soil, you’re the only two people from there, so you feel a sense of closeness.  We use commonalities like location, things such as "I once owned a property in your area" or "I just sold your neighbors place".

5. Make your request specific, and keep it short and sweet. Avoid mini-novels, keep it short and to the point. The longer the message, the longer it took me to read and respond, and the more overloaded my inbox, the less patient I was in reading them. As the psychologist Robert Sutton recaps the evidence in Good Boss, Bad Boss, people are more helpful when they’re given clear directions on how to contribute. Ferriss suggests that the best approach is to “send a two- to three-paragraph e-mail which explains that you are familiar with their work, and ask one simple-to-answer but thought-provoking question in that e-mail related to their work or life philosophies. The goal is to start a dialogue so they take the time to answer future e-mails—not to ask for help. That can only come after at least three or four genuine e-mail exchanges.”

6. Express gratitude. Don't make demands, instead express your appreciation. One person wrote, “We should definitely meet,” and another implored, “Please answer this question.” In my research, I've found that people provide more extensive and useful help when it’s an enjoyable choice than when it’s driven by perceived pressure or obligation.

I was excited to help when I felt I could make a difference, not when someone was attempting to coerce me or create a sense of obligation. One of the least motivating strings of emails came from a reader who described a complicated family situation and demanded that I respond “promptly.” Within a week, I sent a three-paragraph reply. I explained that it would be difficult to help without knowing the people involved, but offered a suggestion, attached an article, and recommended a book. The reply from the person said, “I am in receipt of your email” without a single expression of gratitude, and extinguished my desire to be helpful.

Gratitude is more powerful than we realize. In one experiment, Francesca Gino and I asked people to spend some time helping a student improve a job application cover letter. After they sent their feedback, the student replied with a message, “I just wanted to let you know that I received your feedback on my cover letter,” and asked for help with another one in the next three days. Only 32% of the people helped. When the student added just eight words—“Thank you so much! I am really grateful”—the rate of helping doubled to 66%. In another experiment, after people helped one student, a different student asked them for help. Being thanked by the first student boosted helping rates from 25% to 55%. The punch line: a little thanks goes a long way, not only for encouraging busy people to help you, but also for motivating them to help others like you.

*For more on achieving influence and motivating people help, see Adam's new book Give and Take: A Revolutionary Approach to Success, a New York Times and Wall Street Journalbestseller. Follow Adam on Twitter @AdamMGrant

A Basement Remodel - Is It Worth It?

A basement remodel is it worth it?  Yes!  Most definitely!  A basement remodel will give you about a 70%-87%  return on your investment.  A basement remodel is a great way to add living space to your existing home without the cost and hassle of having to build a room addition.

Basements are very common in the North and not very common in the South and West.  So your return on investment will vary depending on where you live.  If you live in the North, a basement remodel will generally bring you 15%-17% less on your return than if you were to do the same remodel somewhere else where basements are not as common.

The biggest potential problem you could face with your basement remodel is moisture.  You need to make sure that your basement does not have a moisture problem before you begin your remodel.  Leaks, condensation or the potential of flooding must be corrected before you can even think about converting your basement.It is much harder to fix moisture issues such as mold after they have occurred than it would have been to just fix them before hand.  Once your home has been labeled as having a mold issue, you will have a hard time selling it without having to jump through hoops.

Tip 1: Don't Start to Work Until You Know It's Dry

Before you do any kind of finished work on a basement, make sure there won't be any water issues that could cause damage. Go outside and inspect the exterior walls for moisture problems. Make sure the ground is sloped away from the foundation walls. Also, check the downspouts, if they're clogged, it could be create a lot of moisture and bring it into the basement.

Tip 2: Check the Code Before You Pound a Nail

Once you have a design plan and you've checked for moisture, the next thing you should do is find out whether you need to get a permit for the proposed renovation. Also, make sure that everything pertaining to electrical work is done to code.

Tip 3: Put Some Furring on Your Walls

Install furring strips on the wall so you'll have a 1/2-inch of space between the interior wall and the moisture on the outside wall. You can use a Chicago bar, which is basically 1/2-inch thick metal strips.

Tip 4: Keep the Vapor Out and the Warmth In

Polyurethane sheeting is great for keeping moisture from seeping in. Consider insulation that's completely enclosed in a vapor barrier, it is easy to work with since you don't have to deal with itchy insulation fibers

Tip 5: Give Your Lighting a Recess

Recessed lighting is great for basements since you don't want fixtures hanging from a low ceiling. Because there's limited natural light, basement lighting is essential to brighten up the place.

Tip 6: Build Up the Floor Before You Lay Anything Down

Since the basement is below ground, it gets a lot of coolness and moisture, so you need to warm it up. Put down a vapor barrier to protect the space between the wood and the cement. Next, lay 2x4s and frame it every 16 inches. Lay a strip, and between the 2x4s, place an insulation board and a piece of 3/4" plywood on top. This type of floor is giving and resilient, and it's warm enough that you can walk barefoot on it.

Pesky Plumbing Issues And How To Stop Them

If you own a home, you know that plumbing leaks can occur at any time.  Sometimes they develop slowly over time and sometimes they are a sudden occurrence.   The cost involved in repairing a major plumbing leak can get expensive.  Not to mention if you develop mold and the clean up involved with that.  But with some good preventive measures you can avoid most disasters.
Here are some preventive measures you can take to avoid as many plumbing disasters as possible.

• Locate your main water shut off valve.  Your entire family should know where it is and how to use it.  If you ever have a leak or any other type of plumbing emergency, you can turn off the water to your entire house from the main water valve.  This will stop the water and help prevent any further damage until you can get the leak repaired

• Have shut off valves installed on your appliances and fixtures.  You can do this yourself or you can have a professional do it for you. This will allow you to turn off the water to a specific area of your home while allowing the water to flow to the other parts of your house

• Have a flow sensor installed.  A flow sensor will automatically shut off the water to your house if it detects a leak

• During the winter months, remove your hoses from the exterior faucets of your home.  This will prevent them from freezing and cracking the pipes.  It is a good idea to install a hose bib over the exterior faucets of your home during the winter months as well

• Add insulation to the pipes in cold parts of your house like the garage, basement, exterior laundry room or any crawl spaces.  Pipe insulation tubes are fairly cheap and you can find them at your local home improvement store

• Don't hang anything on your exposed pipes such as laundry or home decor.  This will loosen the pipes joints and could cause them to burst or leak

• Don't over stuff the items you put underneath your kitchen and vanity cabinets.  This could cause the pipes to loosen and leak and you may not notice this right away which will cause even further damage

• If you notice a leak, fix it immediately.  If you don't, not only will it cost you more money on your water bill,  but it will also cause your pipes to corrode and could create a dangerous mold issue as well

• You should always turn off your sprinkler system when the temperatures are going to be below freezing for more than three hours at a time.  Some  systems come with freeze sensors already installed.  You should check your system so you know whether or not you have that feature so you can act accordingly
A plumbing leak that is not fixed can cause extensive damage.  So never procrastinate when it comes to your plumbing.

Enjoy the Weekend!

The Inman Team

What Are The Best Upgrades For Your New Construction Home

Building a new construction home can be very exciting.  But there are so many upgrades to choose from.  And some of those upgrades are very expensive.   So how do you decide which options are practical and which options you should pass on.

The best way to decide which upgrades to say yes to and which ones you should say no to is to think about how it will affect the resale value of your home should you decide to sell in the future.  Ask yourself  "will this upgrade add to the value of my home in the future?"  If the answer is yes, then go for it!
But the resale money is not the only thing that is important when making decisions about which upgrades to choose.  Aside from adding value to your home, you should ask yourself what are the most important things to you and your family.  Where do you spend all of your time.

Do you need a large family room or does each family member prefer their own spaces.  Do you spend a lot of time in the kitchen?

Here are a few things that may help you decide which upgrades to choose.

• You'll never go wrong when opting for the upgraded kitchen cabinets.  Consider selecting the custom cabinets.  They are better built, have better finishes and will last longer.  Additionally,  opt for the taller uppers.  You know, the ones that go all the way to the ceiling.  This will give you that much needed extra storage space that you will definitely need the longer you have lived in your house

• Opt for premium hinges and drawer slides as well.  Your kitchen cabinets will take a lot of abuse over the years and it is very expensive if you have to replace your cabinets only after a few years

• Choose the top quality carpet.  It will hold up better in the high traffic areas and keep you from having to replace it sooner than you would have if you had gone with the cheapest carpet. Generally the more quality the carpet is - the easier it is to get clean when dirt and spills occur

• The same goes for your carpet padding.  A thicker, better quality pad will increase the life of your carpet

• Wood or ceramic tile flooring is always considered a good upgrade.  It is durable, practical and will never go out of style.  Most people prefer wood or ceramic tile flooring to carpet for those very reasons

• Ceiling fans and light fixtures.  An upgraded ceiling fan and light fixture package will not only add some energy efficiency to your home but it will also add a more quality look as well.  Nothing spells cheap more than seeing cheap ceiling fans and light fixtures and they are not that expensive of an upgrade

• Add some skylights.  This is especially important if your new homes floor plan does not allow for much natural lighting.  Natural lighting will give your home that light, bright feeling and will help save on your energy costs as well.

The most important thing is to make sure that you choose the upgrades that are the most important to you.  If you have the things you want the most, you will more than likely remain happy with your new home choice for years to come.

8 Tips on Gaining Listings in a Low Inventory Market

1. Go Deep. Try to uncover potential listings before they exist. Scour rentals, and expired or withdrawn listings.  Try using the “make me move” feature on Zillow.  Circumstances may have changed or the market may have finally caught up with a previously overpriced home. Try not to devote too much time to chasing pre-foreclosures, as those homeowners are most likely already bombarded with solicitations.

2. Be Sociable.  One REALTOR® we spoke with throws two big client events a year, a family-friendly summer carnival at her own home, and a holiday party for grownups. Offering each guest a goodie bag on their way out is a great way to distribute your business card along with notepads or other collateral materials. Be sure to include a note in each bag reminding them to send referrals your way. The same REALTOR® also invites clients to lunch on their birthday and asks them to invite their coworkers. Conversation will inevitably lead to how you originally met and what a great experience the home buying/selling process was. Be sure to bring plenty of business cards for your new referrals and collect their email addresses for your database.

3. Go Back to Your Database. Take a fresh look at your contacts, especially those who have been underwater. If they haven't entered foreclosure or gone through a short sale, they might have gained enough equity to consider selling. Offer to go over the numbers with them, they might not be aware of the increase in their home's value.

4. Showcase Your Listings. Create must-attend open house “events” by sending out deluxe invitations to neighbors. Treat it as a real invitation, using a high quality paper and beautiful photographs, or email the link to a virtual home tour.  For high end properties, try a luncheon by the pool or a piano performance. For fixers, set up a full service open house by partnering with related industries who also rely on referrals. Arrange for a loan officer to be on hand to discuss pre-qualifying and financing options, and invite a contractor to help potential buyers envision their dream home. Since open houses are typically held afternoons, try a wine and cheese event at 5:00 on a weekday and invite people to stop by on their way home from work. The extra care you use in showcasing your listings will show potential clients what they can expect from you.

5. Be Seen.  Establish yourself as an expert by getting out there and talking about what you know. Host seminars, teach classes and offer to speak to community groups. Host a monthly coffee klatch with a real estate based theme. Try topics like: “Why this is a good time to sell your home,” “What do you need to do before you sell?” or “The selling process: how to avoid common mistakes.”

6. Stress the Advantages of Making a Move Now. In your outreach work, try being part educator and part therapist, emphasizing why now is a good time to take action. Let sellers know about the high prices their property can fetch and talk to buyers about historically low interest rates. After the recent shaky market, clients might appreciate some extra hand holding to let them feel that acting now is smart and financially sound.

7. A Fresh Twist. Instead of handing out a note pad or refrigerator magnet, try something locally relevant like seed packets for a plant that thrives in your area. Come up with creative ways to get your name out there, like hosting an annual block party, or sponsoring a neighborhood softball team -- your company name will be seen on players’ uniforms and a ballpark banner for each game. Try prospecting in places where the majority of visitors are most likely homeowners already, like a local dog park. Leave inexpensive dog treats on car windows accompanied by a postcard listing “5 Reasons Why Fido Needs a New Home.”

8. Create a Virtual Community? Write a neighborhood newsletter, blog or Facebook page focusing on local news, establishing yourself as the go-to person for your neighborhood. Get more readers via open house sign-ups, and be sure to ask for “likes” on Facebook. Take advantage of the viral (and free!) nature of social media and share your content over a variety of networks, asking friends and readers to share as well. Compelling content like hyper-local news, and fun info about a neighborhood will draw more loyal readers than just a business page about you or general real estate news.

For more innovative marketing ideas, try using C.A.R.’s One Cool Thing infographics in your collateral materials. They’re stylish, relevant, and FREE for C.A.R. members to copy, use, and share.   

5 Ways to make a Real Estate Comeback

By Verl Workman
The last several years have been filled with challenges associated with too much inventory, distressed properties and even more distressed sellers, agents working hard only to have deals fail, and so on. During this time, I discovered that there are two types of agents: those who adjusted their business accordingly and put themselves in the middle of the available business, and those who did not. Those who excelled helped a lot of people out of difficult situations and assisted the banks in getting properties back on the market and sold. The other group cut their spending, tightened their belts and went into survival mode. Now the wind is blowing in a more favorable direction and it’s time for the ultimate comeback.

Today, the game is all about gaining listings in order to control market share. When you list a home, every agent with buyers is scrambling to get their offers in. On the flip side, if you have a buyer, you sometimes must compete with dozens of other buyers and agents that want that same house. It’s not rocket science that if you have the listings, you have a greater chance of success in this ever-changing market.

So, how do we stage our own personal ultimate comeback? We list! If you want more
listings, you may want to follow a few of these proven strategies:

1. Really work your database. Be in constant contact with your real relationships so they know how strong the market has become and that you’re ready and willing to help. In addition, increase the touches you have with your “A” clients so you stay top of mind.

2. Work your farm at a higher level. A postcard every other month is not enough. Focus your mailings on the seller and what’s in it for them. Work the neighborhoods and become part of the fabric of the community

3. Work expired listings and FSBOs. There are sellers out there who have a desire, at some level, to sell their home. Change your scripts and dialogue to offer real value and follow up until they list. Consistent follow up and value wins; don’t give up after one phone call. Deliver items of value, and remember that you’ll probably hear “no” seven times before you get a “yes.”

4. Ask every buyer if they need to sell their home. I know this sounds simple, but we are so good at generating buyer leads from sign calls, floor time, the Internet and social media that we often fail to realize that many of these buyers need to sell their homes as well. So ask the question, “Will you be selling a home in order to purchase your next one?”

5. Reach out to investors. Call on For Rent signs and find property owners to see if they would consider an offer and then follow up.

Mortgage Rates Rise Again, To Nearly 4%

By Marcy Gordon

WASHINGTON — Fixed U.S.mortgage rates rose for the sixth straight week, putting the average rate on the 30-year loan just shy of 4 percent. Mortgage buyer Freddie Mac said Thursday that the rate on the 30-year loan increased to 3.98 percent. That’s up from 3.91 percent last week and the highest since April 2012.

The average rate was last at 4 percent or higher in March 2012. The rate on the 15-year loan advanced to 3.10 percent from 3.03 percent. That’s also the highest since April 2012.

Concerns that the Federal Reserve will scale back its bond purchases have pushed rates higher. Still, mortgage rates remain low by historical standards. Cheap mortgages have helped sustain a housing recovery that began last year, encouraging more Americans to buy homes or refinance existing loans.

Mortgage rates are rising because they tend to follow the yield on the 10-year Treasury note. The yield on the 10-year note climbed as high as 2.29 percent this week from a low of 1.63 percent last month. It has since declined to 2.20 percent in early trading Thursday.

The Fed’s $85-billion-a-month in bond purchases have pushed down long-term interest rates. As speculation has grown that the Fed will slow those purchases, investors have driven rates up. That has decreased the value of bonds with lower yields. Fed policymakers hold a two-day meeting next week that will be closely watched for signals that the Fed may soon slow the bond purchases.

To calculate average mortgage rates, Freddie Mac surveys lenders across the country on Monday through Wednesday each week. The average doesn't include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount. The average fee for 30-year mortgages was unchanged at 0.7 point. The fee for 15-year loans also was steady at 0.7 point.

The average rate on a one-year adjustable-rate mortgage held at 2.58 percent. The fee for one-year adjustable-rate loans was unchanged at 0.4 point. The average rate on a five-year adjustable-rate mortgage rose to 2.79 percent from 2.74 percent. The fee edged up to 0.6 point from 0.5.

Designing on a Budget

Think your design ambitions are bigger than your budget? Think again.

Here are 11 ways to achieve the look you want

1. Paint
Though painting is the cheapest investment you can make, it’s also the one with the most dramatic result. Go ahead and put some color on those walls for a fresh — and inexpensive — new look.

2. Do It Yourself
The biggest budget buster is hiring others to do things you could do. Consider what you'll save by taking on some relatively simple projects: painting, tiling, installing a new floor, sewing curtain panels or throw pillows — whatever you feel up to trying.

3. Call in Family and Friends
You may not have a wad of cash or a lot of home-improvement know-how, but you have other resources that can help get your decorating project off the ground: the people you know. Call on a group of relatives, friends and neighbors who can supply the muscle to rip down wall paneling, roll on paint or assemble a room of flat-packed furniture. Just don’t forget to feed them lunch.

4. Shop Secondhand Stores
Thrift stores, consignment shops, church rummage sales, online auction sites, estate sales and even salvage yards offer a bounty of discount decorating booty. Look for furniture with solid construction and classic lines that new upholstery or paint will bring back to life.

5. Look for Less-Than-Perfect Merchandise
You may be able to snag super deals on slightly damaged items, floor models and seconds (such as towels from a dye lot that was slightly off), so be sure to check stores’ "as is" areas or to ask the manager about fire-sale items. Chances are, no one but you will be any the wiser, and you’ll save big bucks.

6. Save With Stock Items
Custom framing, sewing, upholstering and other skilled labor can add a bundle to the bottom line. Instead, stick with stock items whenever you can: Buy off-the-shelf frames and mats, and trim non-valuable art prints to fit them. Buy standard blinds that are a bit larger than your windows and mount them outside the frames. Snap up stock cabinets and finish them with moldings for a custom look. Order that sofa in a neutral, ready-to-ship fabric and use the money you save to splurge on colorful throw pillows.

7. Wait Patiently for Sales and Discounts
Wait to find what you really love at a price you really love. While you shop, ask if items will be discounted any time soon. Store and department managers are usually the best sources for this insider info and may even offer you the discounted price before it goes into effect.

8. Mix, Don’t Match
Not only is a "matchy-matchy" look boring, but buying entire suites of furniture tends to cost more than putting together a creative, eclectic look. Mix it up by opting for a couch and chairs upholstered in complementary fabrics, flanking a bed with unmatched nightstands and decorating with other diverse items unified by color, form, material and tone. Or try pairing a stately wood table with shiny aluminum or brightly colored plastic chairs. And don’t be afraid to mix high-end and low-end or modern and traditional.

9. Sew Your Own Linens
If you have a sewing machine, you can quickly and easily transform patterned flat sheets into curtain panels, pillow and duvet covers, tablecloths, and even slipcovers — and pay a small fraction of what you’d shell out for fabric yardage. Of course, this assumes you've had successful sewing experience or are good friends with a seamstress.

10. Add Unexpected Accessories
Almost anything can serve as an accessory, and that goes for found objects and household items that cost practically nothing. Architectural corbels rescued from a salvage yard make great bookends, while seashells and driftwood collected at the shore create a lovely natural grouping. A bowl filled with crisp green apples lends a bright pop of color to just about any surface, and a stack of vintage hardbacks adds height, dimension and character to an occasional table.

11. Reuse Items You Already Have
You don’t have to buy new pieces to turn your tired domicile into a hip space. Instead, turn a fresh eye to what you already have and think about how it might be camouflaged, re-purposed or re-imagined. Reinvent a drab dresser in a guest bedroom as a dramatic dining-room sideboard with a few coats of glossy black paint and sparkling new hardware. Make over that old couch with a slipcover in a fabulous fabric. Turn plain pillows into eye-catching accents by stenciling simple designs on them. After all, there’s no better budget stretcher than your imagination.

2013 Keller Williams San Pedro/RPV Sales

Keller Williams LA Harbor unsurprisingly takes the lead again for 2013's Sales in San Pedro & Rancho Palos Verdes.

Beating the #2 spot with over 50 sales!!

What Did We Learn From The Housing Bubble

Oh those golden years we thought would never end.  Those wonderful years in the early 2000's.   The housing prices kept rising and seemed like they would never go down.  But then came 2007 and the housing bubble burst.  Everyone was shocked and horrified by the 30% drop in housing values.   The housing market tragedies continue today and are being compounded by other defining factors such as the robo signing scandal just to name one.

So what did we learn?  Well, hopefully enough to make sure that it never happens again.  But here are a few things that we can all use as a "what to do and what not to do" guide to avoid another housing bubble.

1.  Remember that housing prices don't just go up.  Housing prices go up and down and they always will. Adjust your expectations, many people buy a house expecting it to increase in value about 5 or 10% in just a couple year. “You will never sell at the all-time high and you’ll never buy at the all-time low by planning it,” says Tim Burrell, a real-estate agent for Re/Max United in Raleigh, N.C. “The market will time you. You will sell, and on occasion you may happen to hit the all-time high or happen to hit the all-time low, but to study it and plan it and figure out and actually do it — it doesn’t happen.”

2.  Think long term financing. You must put a significant amount of money down on your new home.  Don't count on the appreciation of your home to get you out of a bind when it comes time to sell.

3.  Your home is not your piggy bank.  Do not borrow money against your home in order to finance other things such as a new car or your next vacation etc - ever! At the height of the real-estate market boom, “We had a whole bunch of people refinancing high-interest credit cards with a low-interest second mortgage on their homes,” Olefson says. Today, some of those people have lost their homes or are in danger of doing so because they were unable to handle the mortgage debt. “As a country, we’ve all gotten way too comfortable with credit and having debt in our lives,” Olefson says. “But the problem really came when that morphed into our homes." We need to promote the value of owning your home free and clear again, because residential real estate really is the backbone of our country. It’s the biggest asset for most people,” Olefson says. Likewise, instead of depending on your home for all of your wealth, continue to build up your cash reserves, Burrell suggests.

4.  Don't make improvements expecting a huge increase in value.  Only make the renovations if you have the cash to pay for them, you plan on staying in your current home and will be there to enjoy them and never over improve beyond the value of the neighborhood.  If you do, you will never get your money back.

5.  If you buy a home "as is", the worst thing you could do is not to make the necessary repairs.  You should always keep up with home repairs and maintenance.  So when it comes time to sell, you will not have to drop the price of your home in order  to cover the cost of the repairs.  Additionally, most people are looking for a home that is "move in ready" and do not want to be hassled with a bunch of repairs.

4 Emotional Mistakes the Seller Makes

Overpricing
Overpricing often occurs because of emotional reasons. So many sellers make the mistake of thinking that their home is special and that a special buyer will pay more because they also fell in love with the property. Many people become emotionally attached to their homes, which is understandable but you will not sell your property based on how much money you want to make or how much you think your home is worth. Pricing has nothing to do with the sellers emotional affinity for the property; its more important to understand this as soon as possible. Pricing is solely based on the market and comparables in your area. It is a buyers market right now.

Going to a Showing
There are a lot of legitimate reasons why a seller might want to be present for the home's showing, but having a seller there tends to make the buyer uncomfortable and can ruin the experience for the buyers. Getting the seller out of the house is key, always make sure to explain this in advance to the seller. Sellers can become very sensitive when the buyers start to nit pick every little flaw in the house.  The observations the buyers make can be sometimes harsh but they have nothing to do with the person selling the home. Having the seller present make the buyer feel uncomfortable in asking questions and stating their opinions therefore; making their experience not as productive. There is a reason for having a Realtor and that reason is so the sellers do no have to go to every showing and the Realtor can filter the irrelevant information, and only pass on the information from a potential buyer.

Rejecting Early Offers
The longer a property sits on the market, the worse the offers are likely to get, says Nick Jabbour a New York City real estate agent.  Once a property is marketed it will receive the most attention during the first two weeks. Sometimes Early Bids can scare the seller into thinking they under priced their property. Jabbour says you can tell the home was priced correctly when an early offer is near the asking price, and as long as the asking price is in line with the market.

Don't Take Offers personally 
It is a big mistake to take everything personally when your selling your home, because it is not a personal exchange. In order for a smooth transaction the seller needs to become emotionally detached from their homes. Real Estate transactions are aggressive and confrontational since the seller wants the highest price and the buyer wants the lowest price, that being said within the negotiation the buyer will try to point out every flaw with the property. Although you may not see it as a flaw, the buyer might. The seller needs to be ready to hear criticism of their home and see it as a negotiating tool and not take it personal or walk away from a potential sale for emotional reasons.

How To Master Social Media

Social media isn’t going anywhere. Oh wait, yes it is… it’s going everywhere! Social media is one of the fastest and most cost effective ways to share your brand with a large audience. Data suggests that a rising number of real estate agents are leveraging the power of social media to connect with their clients and
expand their professional networks.

In fact, the California Association of REALTORS® found that agents cited the following reasons for using social media in an effort to grow their real estate businesses:
67 percent staying in touch with clients
54 percent be more accessible to myclients
50 percent respond to clients faster
44 percent market my business to a younger demographic
The study also found that while 66 percent of California REALTORS® consider social media an “integral tool in a marketing plan,” a full 62 percent of respondents deem themselves social media beginners. So let’s change that, shall we? Today we’ve rounded up a handful
of social media dos and don’ts for real estate that will have you socializing (and building
your brand) like a pro in no time at all.

DO

Pick Your Poison
Be wary of spreading yourself too thin. There are literally hundreds of social media
platforms out there. It’s better to be good at a few than to be bad at all, so choose one or
two places to start and focus on posting consistently. You can always expand your presence
later. Facebook, Google+, Twitter and LinkedIn are great options for real estate because
they have a critical mass of users and a good mind share of the general public.
Stay Positive
No one wants to follow a Negative Nancy. We all have bad days and tricky clients from time
to time, but it’s important to project a positive image of yourself and your business. Instead
of sharing what’s going wrong for you, focus on what’s working in your favor. Share good
news, inspiring photos and helpful tips. And never miss an opportunity to publicly say ‘thank
you’ via social.
Interact
Interaction is key to creating a social media personality that attracts connections and
referrals. If someone tweets you, reply promptly. If you like a post, let the author know by
taking the time to share it or leave a thoughtful comment. What goes around comes around
in the world of social media. The more you reach out to others now, the more likely they are
to reach out to you in the future.

DON’T

Only Post Listings
Many agents see Twitter and Facebook as exciting new avenues for sharing listings – and
they’re right to a degree – but don’t forget the bigger picture. If you only post listings, you’re
not being social, you’re being a salesman, or even worse, a bulletin board. And, like all
other obvious advertising, it won’t be long before your intended audience tunes you out.
Overshare
On the other end of the social media spectrum is the agent who overshares – broadcasting
every moment of his or her day, whether it’s real estate related or not. Remember that you
are communicating with potential clients every time you post. The topics of your public
posts, and the language you use, should be similar to what you would say in the workplace.
Give Up
Even if you follow all of these pointers, if you’re charming and consistent and you share
useful content, you probably won’t gain thousands of followers in the first week. But don’t
quit! Slow and steady growth builds a strong and loyal network. Review your history to see
which posts on which platforms created the most engagement and tweak your future social
media actions accordingly.
Geneva Ives is the marketing writer for Point2

The Top 5 Mistakes Sellers Make

There are so many things that need to be done before listing your home for sale.  Unfortunately, many sellers are making the same costly mistakes.  Mistakes that could have saved them thousands if they had only known "what not to do".  Let's talk about the top five mistakes that cost sellers thousands.

1.  Do not put your home on the market before it is ready.  Make sure that the painting is done, the carpet has been replaced and everything is clean and organized.  If you show your home to potential buyers while you are in the middle of renovating, this will lower the perceived value of your home in the minds of your buyers. Presentation is everything- so get the work done before marketing the property.

2.  Do not over improve your home versus the norm for your neighborhood - you will not recoup this money .  Do not spend money on something that you think your buyers will insist on.  Every buyer is different and has different wants and needs.  So you will only be throwing your money into the wind. Don't start adding absurd renovations, not every buyer wants/needs these upgrades, plus it will most likely not increase the value of your home.

3.  Do not over price your home because of what you "need" to get for it - otherwise it will sit and then become an aged listing in the minds of your potential buyers.  Your market should always control the sale price. Never price your home based on what you want to net, this strategy will always end in failure. Although you can control the asking price the market should always control the sales price. The price should be determined by the black and white, matter of fact reality of the market.

4.  This one should probably be number one - don't get emotionally involved in the sale of your home.  Most sellers have lived in their homes for years and have become quite attached.  What you like about the home is not necessarily what your buyers will like about it.  So don't get offended if your buyer wants to change something or says something negative about your home.  Once you sell it - it is not your home anymore.  Think about your new home and all of the potential it has to offer.

5.  Don't try to cover up or hide the homes problems.  Most states have and require a property disclosure form.  You must disclose the homes problems to your potential buyers.  If you don't, that does not mean that you cannot be sued for it later on down the line when that problem surfaces for the new owner.

6. Do not hire just any Realtor, based on non-business factors. Make sure you hire a professional with a proven track record. Check there website, read reviews, have a meeting to see if you and the Realtor are on the same page. Make sure you both have the same ideas and expectations.


Before listing your home, talk to your Realtor about the pitfalls that can occur when selling your home. Take advantage of your Realtors years of knowledge and the next thing you know you will be moved and enjoying your new home!

A Diamond In The Rough

Searching for your new home can be very exciting.  But exactly how do you go about finding that "diamond in the rough"?

The number one thing to remember is that cosmetic issues are easy to fix.   So is the home you are considering a diamond in the rough or a nightmare that should cause you to turn and run?

Here are a few things to consider:

1.  Don't look at things like:  bad decorating, dirty walls and floors, no grass or no landscaping.  Not everyone is a good housekeeper so don't let cleanliness get in the way of a potentially good home.
2.  Don't look at minor repair items such as:  bent mini blinds, ripped carpets or linoleum, drippy faucets,  broken light fixtures or holes in the walls (unless they have been opened to complete some type of major maintenance issue) etc.
3.   Do look at the floorplan.  If the floorplan does not suit you, look a little closer and see if the space can be reworked or if you can add on a room addition.
4.  Remember that all surface issues are usually cosmetic.  A little paint, carpet and linoleum can go a long way to making a home look as good as new.  You can even ask the homeowner for a carpet allowance as a condition of the sale.  Most homeowners realize that the carpet will need to be changed and are more than happy to accommodate you just to get the deal.
5.  If the home lacks storage due to a converted garage, ask yourself if that space can be easily converted back to its original use.
6.  If you don't like the kitchen, don't let that stop you from buying the home if you like everything but the kitchen.  You can spruce up the kitchen later by adding new cabinets, countertops, flooring and some new appliances.  These things will do wonders for the appearance of a kitchen.
7.  If you want a pool, but the home you are looking at has a pool that needs repairs, the cost of a new pool will far exceed the cost of repairing an existing pool.  So buy the house with a pool versus one without a pool.  This will save you money in the long run.  A pool is something that will not bring you a good return on your investment when you go to sell.

The very best advice we can give you is this - unless you build your dream home from scratch, you are probably not going to find everything you want.  So make a list of the things that are the most important to you and make an offer on a home that has those qualities.

How To Recognize A Home That Will Hold Its Resale Value

Buyers who are looking for a new home are often very excited.  It is that excitement that can sometimes cloud their judgment when it comes to buying a home that will retain its resale value.  So what can you do to make sure that your excitement does not overcome your good judgment and common sense?

Here are some things to keep in mind when you are trying to buy a home that will retain its resale value.

1.  Location, location, location!  Is this home on a busy street or does it have some other undesirable factor about it?  If so, make sure the price is adjusted accordingly.

2.  Consider all defects that are not correctable.  Things like location, traffic, floor plan etc. Then make sure the selling price reflects these non -correctable items.  Remember, you may have to sell this home with these same defects in the future.  So you don't want to be left holding the bag.

3.  Does this home suit your long term needs.  If so and you plan on living in the house for a very long time, then resale value may not be as big of a determining factor for you.

4.  Don't be bullied.  If you are looking in a hot market, don't overlook the issues that could cause you to lose money if you have to sell in a future market downturn.

5.  Look for a home that has a broad appeal.  A home that is suitable for most people.  One that has a good floor plan and amenities that the majority of people are looking for is important.

6.  Think about the size and the space.  Is this home going to be very expensive to maintain due to its home or yard?  Are there any other factors that could influence someone's decision to buy.

7.  It is best to buy a home that is in good condition -one that someone clearly took the time to maintain over the years.  Routine maintenance is a huge factor when it comes to future repairs.

8.  Convenience - how convenient is this home to schools, banks, day care centers, shopping, gas and restaurants.

9.  Look for an easy commute - is this home located in an area where the major thoroughfares are easily accessible.  Is there a bus line nearby etc.

10.  Find a home that has a good resale value and not one that is just a good deal.

Talk to your realtor about buying a home that has a good resale value and they will be able to help keep you on the right track.  Resale value should be one of the major deciding factors when buying a home.  Remember, most people do not live in the same house their entire lives.  So plan accordingly!

Things To Consider When Designing Your New Construction Home

t is very exciting to have a new home built.  But in all of that excitement there are things you should consider before finalizing your plans.  You will need to look to the future needs of your home and family then plan accordingly; rather than just thinking about your current lifestyle and how you want your home to perform for you now - in the present.

Here are a few things that you may not have thought about when starting the beginning phases of building your new home.

1.  When deciding whether to go with the large open spaces, less walls etc.  Think about your life now and in the future.  Currently you may have a toddler and need those wide open spaces to keep an eye on them.  However, remember that they don't stay toddlers for long.  Before you know it that toddler will be a teenager and you will then need as many separate rooms / spaces as you can get.  Because once you have some teenagers on your hands, you will quickly learn that everyone is going to want their own space.

2.  Don't downsize a room or a closet to make a space for a newborn or toddler.  Once again, they do not stay newborns for long and you will be left with little or no space.  Downsizing a room or eliminating a closet just doesn't make sense in the whole scheme of things.  Remember, your newborn is only going to be a newborn for a little while.  But you will more than likely live in your home much longer than that.

3.  Don't give up kitchen cabinet space for a pass through bar just so you can keep an eye on your kids.  Your small children will grow quicker than you can blink an eye but once your home is built your kitchen will have to stay that way forever.  And before long your children will be grown and you will no longer need that pass through bar but you sure could use that extra cabinet space.

4.  Consider a downstairs den that could be converted into a bedroom in the future as your family grows.

5.  Think about having your attic roughed-in with plumbing and electric for a future bedroom or living space.

6.  Perhaps adding a bathroom and kitchenette to your basement for possible future living quarters.  This will also add value to your home when it comes time to sell.

7.  Think ahead to when your toddler turns 16 and gets a car.  You will need more garage space.  So consider having a three car garage included with your home building plans.

8.  It is always a good idea to have grab bars installed in all of your bathrooms.  These are not just for seniors.  These are great for kids and for adults who have over extended themselves and need a little assistance getting in and out of the bathtub or shower.

It is hard to know exactly what you are going to need in the future.  But try a little forward thinking and build your house according to what you think you will need.

If you have built a house that is no longer suitable for you and your family.  Call your realtor and ask them to help you find a home that fits your new lifestyle.  Your realtor would be more than happy to assist you in any way they can.

The Future of Mortgages

The current trend in real estate has been quite positive. For an extended period of time, we have seen pretty consistent growth in sales and home prices. After years of dealing with poor market conditions, we are all breathing a sigh of relief. Nevertheless, the industry must be vigilant in ensuring that nothing is done to impede or reverse the housing recovery, particularly by Congress and the regulators in Washington. Despite the improved sales numbers, however, mortgage credit remains tight. Nowhere is this more evident than in the consistently high percentage of cash purchasers in the National Association of REALTORS® (NAR) monthly existing home sales numbers. While sales are improving overall, it is those with cash who seem to be driving the numbers higher, even though interest rates remain historically low.

We have seen the tightening of credit through higher effective minimum credit scores for FHA and conventional conforming loans. Lenders are already avoiding risk, begging the question: What will happen when numerous Dodd-Frank rules take effect? What will happen if major changes are made to the FHA program? What will happen if the role Fannie Mae and Freddie Mac play in mortgage financing is fundamentally changed or even eliminated? With so much change and potential change on the horizon, it is at times overwhelming, even to industry experts. In talking to many industry experts, one gets the sense they are simply living for today until truly confronted by tomorrow. That is the wrong strategy because bad outcomes tomorrow can be prevented by action today.

Here are some of those actions:
• Tell your Congressman to support HR 1077, The Consumer Mortgage Choice Act, which
will prevent reduced access to Qualified Mortgages (QM) for many consumers.
• Tell them to oppose major changes to FHA, such as reduced loan limits, increased down
payments, limiting to first-time homebuyers, or people of certain income levels.
• Tell them to oppose efforts to do away with the function the Government Sponsored
Enterprises play in establishing a securities market for mortgages.
• Tell them to oppose Basel III capital rules that discriminate against mortgages as secure
instruments.
• Tell them to oppose a Qualified Residential Mortgage (QRM) that establishes a down
payment standard and extremely tight debt-to-income and credit standards.
• Tell them to support equal treatment for condos under the FHA program.
• Tell them to support opening FHA 203K for investors to help rebuild communities one
home at a time.
These are a few of the actions you can take to keep the housing recovery going. While you
are telling Congress these things, you should also weigh in with the regulators, such as the
Department of Housing and Urban Development (HUD) and the Consumer Financial
Protection Bureau (CFPB). HUD plays a key role in the QRM and FHA rules, while CFPB is
responsible for the QM, RESPA, TILA, Loan Officer Compensation, and a host of other
rules. Congress, the regulators, and the administration can all help to ensure a sustained
housing recovery, but only if they do the right things.
This column is brought to you by the NAR Real Estate Services group.