Like buying a fridge or mattress when the savings are the biggest.
Image: CSA Images/Getty
The lazy days of summer officially kick off Memorial Day weekend.
Giving your home a little extra love this month can save you time and money.
#1 Chill With a New Fridge
Image: Liz Foreman for HouseLogic
Is yours leaking water, cooling less efficiently, or just too limited on storage space? May is the best month to buy a new refrigerator.
New models hit the sales floor in the summer, and stores need to clear out the old ones to make room. Need a stove instead? Best to wait until fall for other kitchen appliances. That’s when they go on sale.
#2 Punch Up Exterior Paint
Image: ItchySan/Getty
Winter’s freezing temps and wet weather can be tough on your home’s exterior, making it look a little drab come May. But that’s more of an opportunity than a problem. Because the weather in May (in most regions) offers the optimum temperature range for painting your home’s exterior (50-80 degrees Fahrenheit).
While you’re repainting, also repair damage to trim and siding. You’ll not only have a satisfying sense of accomplishment, you’ll boost your curb appeal.
#3 Get a Deal on a Mattress
Image: Stephanie Jackson/Offset
The older your mattress is, the more dust and mites you’ve got hiding in there. Eeewww. Ditch that yucky mattress for a new one in May when the industry clears the decks to make room for new merchandise.
You can find high-quality ones at deep discounts, saving hundreds of dollars.
Experts estimate we wear only 20% of our wardrobe. So why let that useless 80% take up so much storage space in your home?
Right-size your wardrobe now for tidier closets and faster dressing. Put the sentimental clothes you can’t bear to part with (your college sweatshirt that doesn’t fit anymore) and clothes you rarely use but still need (a suit, formalwear) in storage bins. Under-the-bed bins work.
Look for deals on storage items at Memorial Day sales.
“Visit HouseLogic.com for more articles like this. Reprinted from HouseLogic.com with permission of the NATIONAL ASSOCIATION OF REALTORS®.”
These 5 timeless ideas work because they’re both fun and functional.
Outdoor entertaining spaces aren’t always equal when it comes to home value (think about that house with the falling-down above-ground pool with no curb appeal at all). Homes that get them right, though, have patios and backyards that blur inside and outside spaces.
And the best thing: these outdoor entertaining space ideas have been working for decades — and adapt to most any house today. Here are five reasons why they work (and why you may want to add to your home):
The more outdoor entertaining spaces mimic their indoor equivalents, the more functional they are. And you’ll get more than sunshine and memories: According to the “Remodeling Impact Report” from the National Association of REALTORS®, you’ll recoup 70% of your costs on resale after building a new patio. An outdoor kitchen gets 71%.
A couple of small ways to get more functionality in your outdoor space:
Add built-in benches for seating.
Hang a chandelier or pendant lights for functional lighting over a dining space.
Precast-concrete geometric blocks protect privacy without blocking light or air in outdoor entertaining spaces. Plus, they’re super affordable and durable.
Use them to screen a patio or carport, fence in your patio, or as a vertical element to make small yards feel larger. It’s a small project with big impact.
Large windows help merge inside and outside living. Even if you don’t have the ultimate in window bling like this atrium, you can increase the natural light in your home. Consider:
Trading smaller windows and doors for big accordion, pocket, sliding or swinging doors, or replacing a plain wall with a wall of glass doors.
Adding a corner window, to create the effect of an atrium or courtyard.
The housing market is showing some early signs of normalizing. Contract signings dropped in March, the fifth consecutive month that pending home sales have fallen, the National Association of REALTORS® reported Wednesday. The Northeast was the only major region of the U.S. that saw a monthly increase in contract signings. All other regions dropped.
“The falling contract signings are implying that multiple offers will soon dissipate and be replaced by much calmer and normalized market conditions,” says Lawrence Yun, NAR’s chief economist. “As it stands, the sudden large gains in mortgage rates have reduced the pool of eligible home buyers, and that has consequently lowered buying activity. The aspiration to purchase a home remains, but the financial capacity has become a major limiting factor.”
NAR’s Pending Home Sales Index, a forward-looking indicator of home sales based on contract signings, dropped 1.2% in March to a reading of 103.7. (An index of 100 is equal to the level of contract activity in 2001.) Overall, contract signings fell 8.2% year over year in March.
The drop comes at a time when inflation is running at a 40-year high and living costs are rising. (Read more: Inflation Edges Higher, Affecting Housing.) Yun expects inflation to average 8.2% in 2022. He predicts that it will start to moderate, however, to 5.5% in the second half of the year.
Home buyers are also facing higher borrowing costs. Yun predicts the 30-year fixed-rate mortgage to average 5.3% by the fourth quarter of this year. He expects rates to average 5.4% by 2023.
Higher mortgage rates and sustained price appreciation has led to a year-over-year increase of 31% in mortgage payments in March, according to NAR’s data.
“Overall existing-home sales this year look to be down 9% from the heated pace of last year,” Yun says. “Home prices are in no danger of decline on a nationwide basis, but the price gains will steadily decelerate such that the median home price in 2022 will likely be up 8% from last year.”
Rental costs are also surging higher. Monthly payments have soared, and Yun predicts more renters will explore homeownership as a result to the higher costs.
“Fast-rising rents will encourage renters to consider buying a home, though higher mortgage rates will present challenges,” Yun says. “Strong rent growth nonetheless will lead to a boom in multifamily housing starts, with more than 20% growth this year.”
These 10 money- and time-saving steps can help you craft a winning bid.
Image: HouseLogic
Ah, the offer!
Cinematically speaking, this is the iconic moment — we’d forgive you if you imagined, say, putting a hand on your agent’s shoulder and whispering (in your best Vito Corleone) that you’re going to make them an offer they can’t refuse.
Think Before Making Unreasonable Demands
People like to do business with people they trust. Don’t nitpick over small items like a torn window screen or a $50 valve on a hot water heater. That will just anger the seller.
In reality, it’s not that simple (or dramatic). Your offer marks the beginning of a back-and-forth between you and the seller, typically with real estate agents advising you both.
The more intentional you are about your offer, the better your chances of making a successful bid. Follow these nine steps, and you’ll be well prepared — that’s a true story. (“The Godfather” again. We couldn’t resist.)
#1 Know Your Limits
Your agent will help you craft a winning offer. You can trust your agent’s advice on price, contingencies, and other terms of the deal: It’s a mutually beneficial relationship. The more collaborative you are with your agent, the more quickly you’ll be able to move.
But ultimately, it’s you who decides what the offer will be — and you who knows what your financial and lifestyle limits are. Buying a home means mixing strong emotions with business savvy, so now is also a good time to reflect on your “musts.”
HOAs Mean Business
Don’t fudge Fido’s weight if there’s a weight restriction where you’re buying. If you move in based on a fib, the condo or homeowners association can make you get rid of your dog or move. Really.
Have a top limit to your offer price because you’re also saving for retirement and love beach vacations? Stick to it.
Want a vegetable garden or to paint your home’s exterior purple? Make sure your homeowners association rules permit it.
Besides reading HOA rules, find out how much the HOA has in reserves to cover common area repairs. You don’t want to be slapped unexpectedly with a special assessment.
Want a dog-friendly community? Make sure there are no pet weight limits preventing you from sharing space with your (extra-large) canine bestie.
Popular Reads
#2 Learn to Speak “Contract”
Essentially, an offer is a contract. The documents and wording vary across the country.
In the spirit of due diligence, take time to review sample offer forms before you’ve found a house. (LawDepot.com has purchase agreements for each state.) If you’re high-maintenance, a real estate attorney can explain the documents to you so you’re familiar with their vocabulary when you’re ready to pull the trigger on an offer with your agent. Your agent will have offer forms for your state.
#3 Set Your Price
Homes always have a listing price. Think of it as the seller’s opening bid in your negotiation to buy a home.
As the buyer, your offer will include an offer price. This is the first thing home sellers look at when they receive a bid.
Your agent will help you determine whether the seller’s listing price is fair by running comps (or comparables), a process that involves comparing the house you’re bidding on to similar properties that recently sold in the neighborhood.
Several factors can also affect your bargaining position and offer price. For example, if the home has been sitting on the market for a while or you’re in a buyer’s market where supply exceeds demand, the seller may be willing to accept an offer that’s below the list price. Or if the seller has already received another offer on the home, that may impact the price you’re willing to offer. Your agent will help you understand the context here.
Most Popular in Buy a Home: Step-by-Step
#4 Figure Out Your Down Payment
To get a mortgage, you have to make a down payment on your loan. For conventional loans (as opposed to government loans), making a 20% down payment enables borrowers to avoid having to pay private mortgage insurance, a monthly premium that protects the lender in case the borrower defaults on the loan.
But 20% isn’t always feasible — or even necessary. In fact, the median down payment in 2021 for buyers overall was 13%, and 7% for first-time buyers, according to the National Association of REALTORS®. Your lender will help you determine what the best down payment amount is for your finances. Depending on the type of loan you get, you may even be able to put down as little as 0% on your mortgage.
You might qualify for one of the more than 2,400 down payment assistance programs nationwide. Many of them make funds available to households earning as much as 175% of area median income. In other words, middle-income households. And the savings can be substantial: Home buyers who use down payment assistance programs save an average of $17,766 over the life of their loan, according to real estate resource RealtyTrac. Find out more about down payment assistance programs in your state.
You can use an online mortgage calculator to see how different down payments would affect your mortgage premiums and how much you’ll pay in interest.
#5 Show the Seller You’re Serious: Make a Deposit
An EMD — short for earnest money deposit — is the sum of money you put down as evidence to the seller that you’re serious (read: earnest) about buying the house. If the seller accepts your offer, the earnest money will go toward your down payment at closing. However, if you try to back out of the deal, you might have to forfeit the cash to the seller.
A standard EMD is 1% to 3% of the sales price of the home (so, that would be $2,000 to $6,000 on a $200,000 loan). But depending on how hot the market is where you live, you may want to put down more earnest money to compete with other offers.
In most cases, the title company is responsible for holding the earnest money in an escrow account. In the event the deal falls through, the title company will disperse the funds appropriately based on the terms of the sales contract. Title companies also check for defects or liens on a seller’s title to make sure it can be transferred cleanly to you.
#6 Review the Contingency Plans
Most real estate offers include contingencies — provisions that must be met before the transaction can go through, or the buyer is entitled to walk away from the deal with their EMD.
For example, if an offer says, “This contract is contingent upon a home inspection,” the buyer has a set number of days after the offer is accepted to do an inspection of the property with a licensed or certified home inspector.
If something is wrong with the house, the buyer can request the seller to make repairs. But most repairs are negotiable; the seller may agree to some, but say no to others. Or the seller can offer a price reduction, or a credit at closing, based on the cost of the repairs. This is where your real estate agent can offer real value and counsel on what you should ask the seller to fix.
Just remember to keep your eye on the big picture. If you and the seller are bickering over a $500 repair to the hardwood floors, keep in mind that’s a drop in the bucket in relation to the size of the bid.
In addition to the aforementioned home inspection contingency, other common contingencies include:
A financing contingency, which gives home buyers a specified amount of time to get a loan that will cover the mortgage.
An appraisal contingency, where a third-party appraiser hired by the lender evaluates the fair-market value of the home to ensure the home is worth enough money to serve as collateral for the value of the mortgage.
A clear title contingency, where the buyer’s title company verifies that the seller is the sole owner of the property and can legally convey ownership to the buyer.
A home sale contingency, where the transaction is dependent on the sale of the buyer’s current home.
Although contingencies can offer protection to buyers, they can also make offers less appealing to the seller because they give buyers legal ways to back out of the sale without any financial repercussions. So, if you’re going up against multiple offers, making an offer with fewer contingencies can potentially give you an edge over the competition.
In other words: A chill offer is an attractive offer. But keep in mind you have to be comfortable with the risks that come with this strategy. If you don’t have a financing contingency, for example, and you can’t get a mortgage, you’d likely lose your earnest money deposit since you’re on the hook. (An outcome that’s decidedly un-chill for you.)
#7 Read the Fine Print About the Property
The sales contract states key information about the property, such as the address, tax ID, and the types of utilities: public water or private well, gas or electric heating, and so on. It also includes a section that specifies what personal property and fixtures the seller agrees to leave behind, like appliances, lighting fixtures, and window shades. The seller provides prospective buyers with a list of these items before they submit an offer. This can be another area of negotiation.
Carefully reviewing the property description also helps you know, for example, if the seller plans to take that unattached kitchen island with them when they move. (Stranger things have happened.)
#8 Make a Date to Settle
The sales contract you submit to the seller must include a proposed settlement date, which confirms when the transaction will be finalized. The clock starts as soon as the purchase agreement is signed. If you don’t close on time, the party that’s responsible for the delay may have to pay the other party compensation in the form of “penalty interest” at a predetermined rate.
A 30- to 60-day settlement period is common because it gives the typical home buyer time to complete a title search and obtain mortgage approval, but settlement periods can vary. Some sellers, for example, prefer a longer period so they have more time to move or look for their next house. Being flexible, with respect to the closing date, could give you more negotiating power in another area of the deal.
One thing that’s the same no matter where you live is that you’ll have a three-day period prior to settlement to review the Closing Disclosure, or CD — a five-page form that states your final loan terms and closing costs.
Once the sales contract is signed, the parties can change the settlement date if they both sign an addendum specifying the new day.
#9 Brace Yourself for a Counteroffer
If you’re making a lowball bid or going up against multiple offers, the seller may decide to make you a counteroffer — a purchase agreement with new terms, such as a higher sales price or fewer contingencies.
At that point, it’s up to you to accept the new contract, make your own counteroffer to the sellers, or walk away.
Don’t panic: The next part of our guide walks you through the counteroffer process, and it offers strategies to give you more negotiating power.
“Visit HouseLogic.com for more articles like this. Reprinted from HouseLogic.com with permission of the NATIONAL ASSOCIATION OF REALTORS®.”
Freaky weather happens. Here’s how to protect your home when severe storms strike.
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Brown lawns. Flooded basements. Piles of snow dumped on your doorstep. Topsy-turvy weather can test your patience, and even put your home at risk.
If a freak storm drops in your area, will your home be up to the challenge? Consider this:
The median age for U.S. homes is 37 years — getting up there when it comes to handling severe storms.
But a few value-adding improvements provide some peace of mind. Here are five home improvements to consider to protect your investment:
#1 Get a Cool Roof
It can make your home more comfortable when the temperatures spike — and reduce your cooling costs. A traditional dark-colored roof can heat up to almost 190 degrees, creating sweltering indoor conditions. A lighter-colored cool roof stays 50 to 100 degrees cooler since it reflects sunlight instead of absorbing heat. As a bonus, keeping your roof cooler can extend its life.
There are a ton of roofing materials. Among the options:
Cool roof coating. It’s like a very thick white paint that can be applied to different roof types. Coatings can offer additional perks such as water and chemical protection.
Cool-colored roofing tiles. They look like traditional tiles but have a higher solar reflectance. Tiles like these also come in a wide range of shades. Keep in mind darker colors like black will be less reflective than a lighter shade like terra cotta.
Tip: If you have a flat or shallow-pit roof, a green roof could be an option. They reduce storm water runoff because the plants absorb the water that would otherwise flow into the gutter.
#2 Install a Standby Generator
You’ll have electricity to run essential appliances and your central air system. A standby generator can even reduce your chances of flood damage by keeping your sump pump running.
It’s permanently installed outside your home and fueled by liquid propane or natural gas. Since it’s wired directly into your home’s electrical system, it can automatically restore power in seconds. Price depends on the size of your home and the amount of wattage needed.
Tip: If the ticket price is too high, you can opt for a portable generator. They’re fueled by gasoline or propane, and are powerful enough to keep a few appliances and some lights running. Prices range from a few hundred dollars to a couple thousand dollars. “Consumer Reports” publishes a generator-buying guide with product reviews.
#3 Hurricane-Proof Your Home
Powerful windstorms and hurricanes can cause weak places in your home to fail. Hurricanes are responsible for eight out of the 10 most expensive natural disasters to have hit the U.S. High winds (and water) can wreck your stuff and, at worst, rip the roof off your house.
Even if you don’t live in a hurricane-prone area, making your home impact resistant can protect against tornadoes and other high-wind storms. Here are ways you can windproof:
1. Add truss bracing to homes with gabled roofs, which are more prone to hurricane wind damage. The bracing uses wood beams to attach the rafters at the ends of gable roofs to boost stability.
2. Install impact-resistant windows, doors, and garage doors. These can inhibit high winds that cause structural damage from entering your home. Impact-resistant features like these come with additional perks. They can:
Protect your home from intruders
Reduce outside noise
Stop warm or cool air from escaping
Entitle homeowners to a discount on home insurance
If you’re considering shutters, keep in mind, they may not be the best long term investment:
They’re not convenient. You have to put up the shutters and brace your garage door whenever a storm is coming, and that can be potentially dangerous. Most homeowners don’t have the tools, time, or experience to properly install them.
They may not resist high wind pressures as effectively during Category 4 or 5 hurricanes. This is especially true for older, less wind-resistant homes, and if your garage door is made of wood.
New windows and garage doors, in general, have more value when it’s time to sell.
Tip: Hurricane-proofing your yard can also protect your home. Proper tree maintenance can prevent diseased or weakened branches from falling and damaging property. In addition, remove anything in your yard that’s not secured in place — wind chimes, outdoor furniture, garbage cans, garden equipment, and toys — which can become projectiles.
#4 Landscape With Fire-Wise Plants
Drought not only makes lawns look scruffy, it also creates ideal burning conditions for wildfires, especially in Western states.
Incorporate fire-wise landscaping to put a damper on kindling by limiting the amount of flammable vegetation and materials around your home.
The right materials can act as fuel breaks. Here are just a few:
Replace mulch with pebbles or gravel.
Replace a wood deck with a concrete patio.
Add pavers and rocks.
Avoid fire-prone plants that have volatile oils that burn easily. One way to identify plants in the pyrophytic family: Crush their leaves to see if they produce a strong smell. Examples include: sagebrush, rosemary, and pine trees.
Plant high-moisture annuals and perennials native to your area. You can find lists of plants appropriate for your area at firewise.org.
Tip: Wire mesh offers some protection by reducing the risk of nearby embers entering or hitting vulnerable parts of your home. You can use wire mesh to:
Cover soffit, attic, and under-eave vents
Cover openings in areas below patios, desks, and porches to prevent the collection of combustible materials like dried leaves and other flammable debris
#5 Retrofit for Flooding
The best way to physically protect your property from flooding is with a flooding retrofit. FEMA and the National Flood Insurance Program have strict guidelines on what would work (and they aren’t cheap). Here are a few:
Elevate your home so that the lowest floor is at or above flood level.
Dry flood-proof your home so it can withstand floodwaters for at least 72 hours. This involves making the portion of a home that’s below flood level watertight using materials like concrete.
Wet flood-proof your house, which involves making changes that will allow floodwater inside a home’s structure to minimize damage.
Tip: Regular homeowners insurance doesn’t cover flooding. And when you consider that almost 25% of all flood insurance claims come from moderate-to-low risk areas, you may discover you need it. You can find out what your flood risk is at FloodSmart.gov.
Finally, remember that regular preventive maintenance is the cornerstone of home protection. So if you’re not cleaning your gutters or sealing your home against water and air leaks, add-ons won’t make much difference.
“Visit HouseLogic.com for more articles like this. Reprinted from HouseLogic.com with permission of the NATIONAL ASSOCIATION OF REALTORS®.”
You can make a successful offer on a home even in a competitive market — with the right information and help.
Image: Marko Geber/Getty
When you’re house hunting, the pressure of competition can move you from “Hmm, I like that, but it’s too pricey,” to “I have tohave that!” You think, so what if paying for this house will put me way over budget? I can cut back somewhere else, right? But that kind of thinking can get you into trouble. Trouble that’s totally avoidable.
Whether you’re in the middle of a home bidding war or facing down a list of must-haves, don’t lose sight of your budget and the risks. That way, you can own a house without home buyer’s remorse. And you’ll have money left to enjoy things like new furniture, entertainment, and just plain having fun.
Who Has Home Buyer’s Remorse and Why?
A competitive real estate market can set buyers up to purchase a home that’s either beyond their budgets — sometimes hugely beyond — or doesn’t meet their needs, according to a 2021 survey by Bankrate and YouGov. The survey found that recent home buyers, including 64% of millennials, had regrets about their home purchase. The top reason? They were unprepared for maintenance and other home ownership-related costs. On top of that, 13% percent of millennials said they think they paid a higher sales price than they should have.
“Things in homes always break down, so people should put aside a budget for anything that will need fixing,” says Lawrence Yun, chief economist at the National Association of REALTORS®. “A rule of thumb is to anticipate 1% or 2% of the home price for potential maintenance,” he explains. “So, for a $300,000 home, that means setting aside $3,000.”
One reason home buyers may be tempted to go over budget is they’ve been influenced by the beautiful homes on TV, according to an NAR report on home staging. “The shows can create unrealistic expectations for the home buying process and how homes should look,” says Brandi Snowden, NAR director of member and consumer survey research. Over time, buyers can view features that used to be luxuries as necessities. They believe everyone has them and they should too. One solution: Work with a REALTOR® as early as possible in the process. “Make sure your agent knows your budget, so they can help you set expectations and stick to them,” she advises.
How to Navigate House Hunting in a Competitive Market
In addition to pressure to exceed their budgets and rising interest rates, buyers are facing hurdles like these five:
1. Requests to Waive Contingencies
Tamara Suminski, a real estate agent at Beach Real Estate Group in Manhattan Beach, Calif.,is seeing not only bidding wars but also sellers wanting buyers to waive contingencies. “With an appraisal contingency, if the appraisal comes in low, the buyer has choices. They can choose to try to renegotiate with the seller, bring in the difference, or cancel. When they remove that contingency and its protection, and if the home doesn’t appraise at the right level, the seller is not very likely to renegotiate with them. And the buyer has waived their right to cancel. If they cancel anyway, they’re risking their deposit.”
Some buyers are also waiving contingencies related to home inspections. These investigations are an opportunity to have a home inspector view the home based on disclosures and for the buyer to use findings as a bargaining tool, Suminski says.
Eliminating these protections can end up costing money for buyers. And the more offers the buyer writes and loses, the more risk they’ll tolerate. So, they may waive contingencies and regret it later, says Suminski. Talk to a buyer’s agent who will guide you through this and explain the risks of removing protections and unknown variables, she advises.
2. Speed Showings and Decisions
Bryan Yap recently bought a home in an expensive and highly competitive market — Orange County, Calif. He found that with the pandemic, each showing lasted only 15 minutes. That was one of the biggest hurdles. “We’d see three, four, or five homes in one day. It’s hard to keep track of what you like and don’t like with each house. What I would do differently is take notes immediately after viewing a home. If you’re able to prepare beforehand, create a list of wants and requirements in priority order. Immediately after seeing each home, rank it based on the list.”
3. Focusing on the Top of Your Price Range
“If you’re looking in a micromarket where listings are achieving multiple offers and homes are going above asking price, don’t set your heart on houses at the top of your price range,” Suminski says. If $300,000 is your upper limit, look at houses priced at $250,000 or $275,000. Otherwise, you’re going to be outbid from the gate every time.”
That was the process Yap used when he was looking. “I would look for homes $25,000 under my max budget. I went on Zillow and looked at homes that were sold recently and tried to calculate the average over-listing price those homes were being sold for and factor that into my offer price.”https://play.libsyn.com/embed/episode/id/21707390/height/128/theme/modern/size/standard/thumbnail/yes/custom-color/0c5494/time-start/00:00:00/playlist-height/200/direction/backward/download/yes
4. The Need to Compromise
Yap’s must-haves were three bedrooms, two baths, and being closer to the city center of Anaheim. “I was able to get three beds and two baths, but I did have to compromise on location. I also had to compromise on price, which was doable because I could still afford it. To compete with all the potential buyers, I knew that we had to either offer an over-list price or remove some contingencies.”
Suminski advises adjusting your search outward geographically, even if it means a longer commute. Buyers might also have to compromise on property types and features. In addition, they should consider doing some DIY projects instead of wanting everything to be move-in ready. “They may have to be willing to look at townhouses instead of single-family homes or install carpet and paint on weekends.”
5. Information Overload
In the two years before he started searching for a home, Yap did a lot of reading. “It was a massive plan I had to come up with and stick to so that I’d be able to afford buying a home.”
Because of how hot the Orange County market is, agents scheduled showings as soon as a house was listed or showed “coming soon” status. Yap treated the home search as “almost a second job,” using lunch breaks and evenings to check emails, do online searches, and text his real estate agent about what he wanted to see. “I had to make a lot of sacrifices. People wanted to set plans with me for the weekend, but I said, ‘Sorry, I have to go view homes that day.’”
He primarily credits his real estate agents, including Sumiski, for keeping him informed. “They made all this possible. I learned a lot from them.”
Some agents, like Suminski, hold an accredited buyer’s representative designation but usually work with sellers as well as buyers. “An agent with an accredited buyer’s representative designation has taken extensive buyer’s representation training,” Suminski says. “They’ll provide education to buyers so that they’re learning as much as they can about the market, including the risks involved with different negotiations. If buyers are going to shorten terms or remove protections, they need to be well informed about the pitfalls.”
Learn from Experiences
That access to information and guidance will help buyers making an offer on a home especially in a competitive market. “Today’s buyer has seen and written offers on many properties before they get their offer accepted,” Suminski says. “That’s common across the country. Each is a learning opportunity for buyers about what information they might need to be researching so they can move more quickly.”
When you act on advice from recent buyers and agents, you can stay well informed and get good results even in a tough market. And that’s the best way to prevent home buyer’s remorse.
“Visit HouseLogic.com for more articles like this. Reprinted from HouseLogic.com with permission of the NATIONAL ASSOCIATION OF REALTORS®.”
With this super-simple breakdown of loan types, you won’t get overwhelmed — you’ll find the right mortgage.
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When it comes to buying a house, most people know what they prefer: a bungalow or a condo, a hot neighborhood or a sleepy street.
Mortgages, too, come in many styles — and recognizing which type you should choose is just slightly more involved than, say, knowing that you prefer hardwood floors over wall-to-wall carpeting.
First things first: To pick the best loan for your situation, you need to know what your situation is, exactly. Will you be staying in this home for years? Decades? Are you feeling financially comfortable? Are you anxious about changing loan rates? Consider these questions and your answers before you start talking to lenders. (And before you choose a lender, read this.)
Next: You’ll want to have an understanding of the different loans that are out there. There are lots of options, and it can get a little complicated — but you got this. Here we go.
Mortgages Are Fixed-Rate or Adjustable, and One Type Is Better for You
Let’s start with the most common type of mortgage, that workhorse of home loans — the fixed-rate mortgage.
A fixed-rate mortgage:
The Big Picture
The interest rate is only part of your borrowing story. Use the annual percentage rate to figure the total cost of your loan (or to compare two loans), because APR reflects your interest rate and loan fees.
Lets you lock in an interest rate for 15 or 30 years. (You can get 20-year loans, too.) That means your monthly payment will stay the same over the life of the loan. (That said, your property taxes and insurance premiums will likely change over time.)
It’s ideal when: You want long-term stability and plan to stay put.
Here’s what else you need to know about fixed-rate mortgages:
A 30-year fixed-rate mortgage offers a lower monthly payment for the loan amount (for this reason, it’s more popular than the other option, the 15-year).
A 15-year fixed-rate mortgage typically offers a lower interest rate but a higher monthly payment because you’re paying off the loan amount faster.
Now let’s get into adjustable-rate, the other type of mortgage you’ll be looking at.
An adjustable-rate mortgage (ARM):
Offers a lower interest rate than a fixed-rate mortgage for an initial period of time — say, five or seven years — but the rate can fluctuate after the introductory period is over, depending on changes in interest rate conditions. And that can make it difficult to budget.
Has caps that protect how high the rate can go.
It’s ideal when: You plan to live in a home for a short time or you expect your income to go up to offset potentially higher future rates.
Here’s what else you need to know about adjustable-rate mortgages:
Different lenders may offer the same initial interest rate but different rate caps. It’s important to compare rate caps when shopping around for an ARM.
Adjustable-rate mortgages have a reputation for being complicated. As the Consumer Financial Protection Bureau advises, make sure to read the fine print.
A general rule of thumb: When comparing adjustable-rate loans, ask the prospective lender to calculate the highest payment you may ever have to make. You don’t want any surprises.
“Visit HouseLogic.com for more articles like this. Reprinted from HouseLogic.com with permission of the NATIONAL ASSOCIATION OF REALTORS®.”
By the way, bleach doesn’t work. And don’t try to scrape it off, either.
Image: Bonnin Studio/Stocksy United
Ugh. Mold. It’s ugly. It’s tenacious. It’s the uninvited guest that keeps visiting — no matter how rude you are to it. But, unwittingly, you may be setting up the perfect conditions for mold’s return: a food source, lots of moisture, and a pleasant temperature.
“You’ve got to eliminate one of those three legs of the stool so mold won’t grow,” says Pete Duncanson, senior director of training and development at ServiceMaster Brands. “And it’s always easier to prevent than to remediate.”
Assuming you like warm showers and a comfy thermostat setting, there’s not much you can do about the temperature mold loves. But you can get rid of mold — and permanently prevent it — by controlling the other two factors: food and moisture. Here’s how.
Starve It Out
Mold is a horror flick cliché. It’s everywhere. It’s alive. It spreads by spores floating in the air. And it can grow on any surface — porcelain, plastic, copper, silicone — as long as that surface is coated with organic matter.
“Mold doesn’t live on your shower walls or the grout or caulk; it actually lives on the deposited skin cells and soap residues (which have your skin cells in them),” Duncanson says. So. Gross. So, yes, if you want to get rid of mold, you gotta break out the cleaning bucket. There’s no way around it. But the good news is that you don’t need toxic cleaners. Soap and water works just fine with some elbow grease, says Bob Justewicz, vice president of marketing at IMS Laboratory, part of the National Association of Mold Professionals. But two warnings:
Don’t bleach it. Online chat rooms and myriad websites might have you believe that bleach kills mold. Both professionals say it’s not true. “Bleach or peroxide removes the stain, but they don’t kill the mold,” Duncanson says.
Don’t scrape it. Remember, mold is alive (it’s ALIVE!) and reproduces through microscopic spores. “If you brush [mold spores] with your hand, they just go into the air and look for new places to colonize,” Duncanson says.
What about those daily shower sprays? Will they work? There are of some benefit, says Duncanson, in that they help push mold’s food sources down the drain. But as a solo act, no, they won’t keep your bathroom clean.
Dry It Out
How? Use your exhaust fan. “Running the fan any time the bathroom is in use is a good idea,” Duncanson says. “Then leave it on for 30 minutes after or at least as long as the shower ran.”
But make sure your fan actually exhausts outside through the roof or a side soffit and not into the attic. “If it’s going into the attic, you’re causing moisture to go into an unconditioned space, and you can cause mold growth there.”
No exhaust fan? “Any movement of air will help dry out the bathroom,” says Justewicz. “Even a desk fan on the vanity will help.”
After a shower, use a towel or squeegee to wipe down shower walls. Open the shower curtain to let it dry. Mop any water spills on the floor and counters. Avoid piling in too many shampoo and body wash bottles. They’re a perfect place for moisture and mold spores to hide.
Here are a few more tips if your bathroom mold seems especially strong-willed:
Recaulk. Mold adores crevices — probably because it knows you can’t reach it there. If lots of mold has built up on your caulking, it’s probably because it’s spread deep into unseen spaces behind it. If so, recaulking may solve the problem. Just be sure to follow these tips to keep the problem from getting worse:
Once you’ve removed the compromised caulk, thoroughly clean and dry the area before putting down new caulk.
Use caulk labeled specifically for the bathroom, which means it will be mold resistant.
Let it cure for at least 24 hours (or as long as it needs to) before taking a shower or bath. If it’s not dry, it’ll allow moisture to creep back in, undoing all your hard work.
Check everywhere for mold. If it keeps coming back, it may have a colony somewhere you haven’t found. Check behind the toilet and under the sink. Moist drywall and wallpaper are tasty treats for mold.
Install a humidity monitor. Affordable at around $10, they can let you know when moisture is building before it turns into an indoor rain forest.
Know when to get help. If it keeps coming back, or you see areas of mold the size of a quarter or bigger you want professional help. “You’re dealing with excessive moisture or a food source that needs to be controlled,” Duncanson says.
How to Get Rid of Bathroom Mold
Use soap and water, not bleach. Bleach only discolors it; it does not get rid of mold.
Keep your bathroom as dry as possible. Use squeegees on shower walls and doors. Use an exhaust fan religiously. Wipe wet areas with dry towels.
Recaulk your tile if necessary. Be sure to get caulk intended for humid and wet areas, like bathrooms.
Get a humidity monitor to let you know when moisture is building up to mold-friendly levels.
“Visit HouseLogic.com for more articles like this. Reprinted from HouseLogic.com with permission of the NATIONAL ASSOCIATION OF REALTORS®.”
Battle bugs before they bite (or sting!) you — and check the attic for problems.
Image: Trifonenko/Getty
Tackling five simple tasks now gives you a head start on spring. That leaves you plenty of worry-free time to enjoy the warmer weather.
#1 Tell Insects to Bug Off
Image: Mojoje/Getty
Early spring warmth awakens insects, so start to protect your home now. Seal openings in eaves, decks, and other structures to keep out carpenter bees.
Nix mosquitoes by eliminating standing water or treating it with larvicide. Call a pro to destroy wasp and yellow jacket nests, unless you’re experienced enough to engage in a bee battle.
Ladies and gentlemen, start your mowers. April’s the month to get this vital piece of equipment ready to roll. An unmaintained machine can cost money, slow you down, and leave your lawn vulnerable to disease. So, before you pull the starter rope:
Replace spark plugs and the air filter.
Change the oil and sharpen blades.
Fill the tank with fresh gasoline.
While you’ve got your gloves on, clean, sharpen, and repair your garden tools. When your azaleas are ready to prune, you’re not going to want to keep them waiting.
#3 Tune Up the Air Conditioner
Image: Michele Rosenthal/Offset
With flip-flop weather comes another summer tradition: cranking up the air conditioning. Tune up your AC in April, before the mercury and service rates rise.
Ask your HVAC company if they have a twice-a-year maintenance plan. Often, you can get discounted rates if you join, and you don’t have to worry about finding someone to do it each spring and fall.
Now you only have to worry about which pair of Havaianas to wear.
How long has it been since you looked in the attic? Yeah, us too.
April’s the time to inspect this oft-ignored space — before it gets too hot. Look for signs of animal activity (raccoons love attics), and repair or replace damaged insulation or wiring.
Ensure stored items are still secure; tighten container lids and dust covers and replace moth repellents.
While we’re talking storage, how’s the garage? If soccer balls, bikes, and luggage have taken prime parking space, regain control with a storage system. Your car (and your partner) will thank you.
Besides spreading diseases to birds, dirty bird feeders attract rodents and hurt curb appeal. Gross.
Give your bird feeders a deep clean — not just a rinse-out.
Empty them, take them apart, and wash with a solution of one part bleach to nine parts hot water. Rinse well to remove all traces of bleach, air dry, and refill with seed.
Clean under feeders, too, because moldy or spoiled seed on the ground can make pets sick. Don’t forget the bird bath.
A pretty yard that’s a healthy haven for birds makes a good impression — one that says “this is a well-cared-for home.”
“Visit HouseLogic.com for more articles like this. Reprinted from HouseLogic.com with permission of the NATIONAL ASSOCIATION OF REALTORS®.”
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