Organic lawn care tips
This spring and summer, consider organic lawn care. Chemicals used on grass can potentially harm children, pets, and communities. Run-off water will carry these chemicals into sewers and streams, thereby posing a danger to indigent wildlife and the larger ecosystem. Many homeowners are more environmentally conscious today than ever before, but some are reluctant to buy organic products, doubting their effectiveness. Howdini.com talks with expert gardener Scott Meyers, who debunks the myth that natural products won’t produce a robust lawn.
Fewer homeowners are defaulting
Mortgage delinquencies are down, reports Forbes. Based on data released by the Mortgage Bankers Association, newer delinquencies and loans one payment past due as of March 31 fell to their lowest point since mid-2007. Severe delinquencies, loans that are three months or more past due, were also down from their lowest point at the end of 2008.
MBA’s quarterly study indicated that 7.4% of all loans on 1-unit to 4-unit properties were past due at the end of the quarter, down from 7.58% at the end of the fourth quarter and 8.32% one year ago. Additionally, homes in foreclosure represented 4.39% of all homes, up from 4.38% in the fourth quarter but down from 4.52% a year earlier. New foreclosures were initiated on 0.96% of all homes during the first quarter, down from 0.99% last quarter and 1.08% in the prior year.
The time required to process foreclosures varies by region, depending on whether proceedings are handled in or out of court. In non-judicial states like California and Arizona, the number of homes in foreclosure proceedings were 3.3% and 3.6%, respectively. By contrast, Florida and New Jersey, which are judicial states, showed foreclosure proceedings of 14.3% and 8.4%, respectively.
Consumer confidence appears to be inching upwards, more homeowners are paying their mortgages on time, and fewer are defaulting. Michael Fratantoni, MBA’s vice president of research and economics, says the fact that new delinquencies are down bodes well for housing’s future.
Remodeling is good for the house and the economy
May is National Home Remodeling month. The arrival of warm weather means that homeowners have started on this year’s improvement projects, many of which focus on the home’s exterior — roofing, siding, windows, decks, and landscaping. These projects add value and instant curb appeal.
The top 5 remodeling projects based on the amount of cash recouped by the homeowner when a home is sold are the following, according to cashmoneylife.com.
- Entry Door Replacement (steel) – 102.1% return
- Garage Door Replacement - 83.9% return
- Deck Addition (wood) – 72.8% return
- Minor Kitchen Remodel - 72.8% return
- Siding Replacement (vinyl) – 72.4% return
The economic benefits of such projects are bigger than the individual homeowner. In fact, the National Association of Home Builders estimates that for every $10 million spent in total remodeling activity in a metropolitan area, 78 local jobs are created, income is boosted by the tune of $6.9 million in local wages and business, and the local governments get an increase of $577,000 in taxes and fees to provide public services. The NAHB bases its estimates on a typical building model of 100 single-family units, 100 multi-family units, and $10 million worth of residential remodeling in one area.
If it’s time for your household to get busy this spring, check out the newest remodeling products and trends available at remodeling.com.
Remodeling is good for the house and the economy
May is National Home Remodeling month. The arrival of warm weather means that homeowners have started on this year’s improvement projects, many of which focus on the home’s exterior — roofing, siding, windows, decks, and landscaping. These projects add value and instant curb appeal.
The top 5 remodeling projects based on the amount of cash recouped by the homeowner when a home is sold are the following, according to cashmoneylife.com.
- Entry Door Replacement (steel) – 102.1% return
- Garage Door Replacement - 83.9% return
- Deck Addition (wood) – 72.8% return
- Minor Kitchen Remodel - 72.8% return
- Siding Replacement (vinyl) – 72.4% return
The economic benefits of such projects are bigger than the individual homeowner. In fact, the National Association of Home Builders estimates that for every $10 million spent in total remodeling activity in a metropolitan area, 78 local jobs are created, income is boosted by the tune of $6.9 million in local wages and business, and the local governments get an increase of $577,000 in taxes and fees to provide public services. The NAHB bases its estimates on a typical building model of 100 single-family units, 100 multi-family units, and $10 million worth of residential remodeling in one area.
If it’s time for your household to get busy this spring, check out the newest remodeling products and trends available at remodeling.com.
Will Congress remove the refinancing obstacles?
The U.S. government continues to wield its influence on the housing market or, at the very least, it will try. Shawn Donovan, secretary of Housing and Urban Development (HUD), provided a preview of the home refinancing options that the President has placed on a “To Do List” for Congress, which he presents today in Reno, Nev.
Since Congress has removed or mitigated some of the obstacles to refinancing, applications have increased 50 percent from a year ago, one out of three being for a HARP loan. In states that have experienced the worst decline in property values, refinancing applications have skyrocketed (240 percent in Nevada, 180 percent in Arizona, and 125 percent in Florida), according to data from the Mortgage Bankers Association. The success of these applications hinges on effective processes. This week, legislators proposed three bills they hope will increase chances for underwater homeowners.
- Remove the barriers to refinance government-backed mortgages by helping borrowers with second liens, cutting red tape and costs, and possibly eliminating manual appraisals.
- Provide simple, low-cost refinancing options to non-GSE (government-sponsored entities) borrowers.
- Allow borrowers to choose to take the reduced interest for a lower monthly payment or to apply the savings to rebuilding their home equity. Households who choose the second option would not be required to pay their closing costs, an average savings of about $3,000.
The President feels a sense of urgency in moving these proposals through, says Donovan.
Why the home inspection is important
The home inspection evaluates the health of a property’s major structural components from the chimney or roof to the foundation and everything in between. Joe Corsetto, a residential home inspector for 30 years, shares why the inspection is an important aspect of the home buying and selling process. If fixes are recommended, home buyers have the opportunity to decide whether to move forward. Home inspections are intended to protect buyers but also prove educational for sellers, particularly those who want to address issues before putting their properties on the market.
http://money.cnn.com/video/pf/2012/05/01/pf-ate-home-inspector.cnnmoney/
It’s time to buy the vacation home
The market for vacation houses may be on its way to recovery. Prices plummeted between 2006 and 2010, when sales of such properties fell 56%, according to the Wall Street Journal. But in 2011, sales rose 7%, based on the National Association of Realtors survey. Because prices remain low (the median price on vacation homes dropped over 19% in 2011 to $121,300), 2012 may be a prime year to buy that second home.
Currently the market supports low mortgage rates, bargain prices, and shrinking inventories. The talk is making some buyers antsy.
“People feel like they might miss the window,” says Pam O’Connor, president of Leading Real Estate Companies of the World, a broker network.
Wise buyers look for hot spots where prices show real signs of stabilizing, meaning that even if properties are not up to what they once were, their descent has slowed considerably. MSN Real Estate and CNBC.com suggest a look at the following cities.
- Myrtle Beach and Hilton Head, S.C.
- Palm Springs, South Lake Tahoe, and Napa, Calif.
- Miami and Tampa, Fla.
- Phoenix, Ariz.
- Las Vegas, N.V.
Vacation home prices have returned to levels seen in or around the year 2000. Households that have the cash and credit to buy may want to act sooner than later. The current rate on a 30-year fixed-rate loan is at 3.88%, according to Mortgage News Daily.
Don’t stress about small spaces
Lea and Chad Steen purchased their first home in 2003, an early 1900′s house that was sturdy but lacked style. Because they paid a premium for their Seattle house, there was little left in the budget for decorating. The Steens solved the problem by being very choosy about furnishings, paintings, and accent pieces. Sunset Magazine showcases their 16 creative strategies for maximizing a 1,300-square foot house.
- Pair contrasting colors
- Mix high and low pieces
- Update secondhand furnishings and shop at thrift stores
- Create multi-purpose areas in the home
- Reinvent or repurpose materials
Additional methods for enlarging small spaces include furnishing rooms with larger-scale pieces, keeping out the clutter, choosing light color paints, and utilizing mirrors and illumination. Find details on these and other strategies and the reasoning behind them at the nest blog and Fresh Home.
Who should pay for vacancies?
When houses become vacant, who should be responsible for securing and maintaining them? The city of Chicago has traditionally managed vacant or abandoned properties. In 2010 alone, taxpayers spent as much as $36 million footing the bill, according to the NPR (National Public Radio) article, “Should Banks Maintain Abandoned Properties?”
All this changed in November 2010. Now lenders are required to investigate properties of owners who are at least 45 days delinquent on payment. If the homes are truly abandoned, lenders must secure, maintain, and register them with the city for $500 or risk paying hefty penalties. But the issue continues to be debated. The Federal Housing Finance Agency sued Chicago on behalf of Fannie Mae and Freddie Mac, owners of 250,000 mortgages in the Windy City.
Minneapolis has had its share of troubles too. A 2008 article featured on MPR News (Minneapolis Public Radio) highlights a similar strain on city resources. Abandoned properties require routine inspection, maintenance, and cleanup, not to mention monitoring by police and fire departments that respond to calls on theft, vandalism, and fire. Vacant houses also take a toll on homeowners and their property values. Bankrate.com outlines proactive measures households can take to hold neglectful owners responsible for adequate maintenance.
- Research local land laws
- Check with the local municipality
- Contact the homeowner
- Don’t trespass on the property
- Enlist the real estate agent’s help
Chicago’s story of vacant properties continues to unfold. Its conclusion could affect the policies of other cities and who, ultimately, will have to cover the expenses of keeping these houses afloat.
Happy Mother’s Day
Choosing the perfect gift for the special woman in your life — mentor, sister, aunt, mother or grandmother — seems like a near impossible feat. There are a million and one ways to celebrate the season of Mother’s Day. The key is to match the gift, whether handcrafted or purchased, to the unique recipient.
Websites like Etsy, Real Simple, and Martha Stewart offer a host of suggestions. To kick-start your shopping, here are three ideas that honor the chef, resident green thumb, and home decorator, respectively.
- Simplify her cooking and baking with Anthropologie’s milk bottle measuring cups (shown here).
- For the plant lover, consider a tillandsia kit, complete with the tools required for creating an indoor air garden. The whimsical terrarium is available at shopterrain.com.
- If you’re looking for something that will burn bright throughout the year, Red Envelope’s “year of wishes” includes 12 colorful candles, each complete with a positive message and a small keepsake.
Still stumped? Be practical and purchase a certificate for a favorite store and remember that “the excellence of a gift lies in its appropriateness rather than in its value” (Charles Dudley Warner).
