How Landscaping Increases Your Home’s Value

After spending hundreds to thousands of dollars on landscaping, how do you know if you’ll recoup your investment? Homeowners may wonder if their efforts are worthwhile compared to interior projects. In actuality, landscaping comes back in resale value more than you may think.

According to a publication from Virginia Tech, a home landscape has been valued at around 15 percent of a home’s total value. Furthermore, certain landscape aspects add more to the home than others, including:

Design: 42%
Plant size: 36%
Diversity of plants: 22%

The study cited that a $150,000 home could go from $8,300 in worth to almost $19,000 more with the addition of a landscape. That’s a lot for just adding a front yard to your home. Here is more information about these elements and how to increase the value of your home.

Landscape Design

Photo courtesy of Jardin Passion Landscape ConHow you design the landscape is the first step in creating a beautiful and valuable front yard. If you plant shrubs, flowers and trees without a design in mind, you could run into maintenance issues down the road. This is why you might call in a landscape designer to help. Landscape designers have the knowledge when it comes to creating landscapes to match homes and climate conditions. They know which trees, shrubs and flowers mix versus which ones might be troublesome. The end result will be a manageable, uncluttered and beautiful landscape that you can enjoy for little to no hassle.

Plant Size

Photo courtesy of Applegate Landscape Co.On a visual level, adding different plant sizes will make your front yard look more appealing. Adding different shapes and colors complements your home and the lawn. On a maintenance level, mixing small and big plants will cut down on clutter in your yard. If you have too many bushy plants, their roots and branches could get mixed together and cause maintenance issues. So plant different trees, shrubs and flowers to make your landscape colorful and varied to add onto your home’s appeal and save on trouble.

Diverse Plants

Photo courtesy of M&M Garden DesignsIntertwined with the plant sizes you choose are how diverse they should be. You don’t want to plant only shrubs and trees with leaves. Vary it up with fruit trees or shrubs that have flowers to add color to the front yard. You also might choose annual and perennial flowers to sprinkle across your yard. You will need to replace annuals every year, but that gives you the chance to try out different flowers. Perennials, on the other hand, will last for many years and can endure harsh winter conditions.

Conclusion

Whether you hire a landscape designer or decide to tackle the front yard landscape yourself, be sure to include these three elements. Adding them to your front yard will pay back dividends in your home resale value, and it will make your home more attractive to buyers.

Photos courtesy of DesignMine

Andrea Davis is the editor for HomeAdvisor, which helps homeowners find home improvement professionals in their area at no charge to ensure the best service in the shortest amount of time.

WRITTEN BY ANDREA DAVIS

3 Steps To Saving For Your Dream Home

According to Harvard University’s “State of the Nation’s Housing” report, while more people than ever before want to own their own home, fewer feel financially ready to do so yet. Reasons range from high rents to student loan debt.

Millennials, in particular, are waiting longer to get married, start families and purchase their first home. But this is not necessarily bad news for the housing market. In fact, it could mean that the millennial generation has something to teach us all about saving consistently towards a big life goal such as owning your own home!

In this article, learn three important steps to take when you start saving for your dream home.

Step 1: Pay down your debt to clean up your credit.

Your credit score is a tricky business when it comes to saving for your first home. You have no history of carrying a mortgage, so you can’t make any real impact there. What you can do is to clean up your overall credit report so your general credit score is as healthy as possible before you apply for your mortgage loan.

According to the National Foundation for Credit Counseling (NFCC), a surprising number of Americans think they have “above average” (60 percent) to “very good” (41 percent) credit, although a full 48 percent have not seen their credit score in the past three years or ever.

So clearly, this is where you need to start. The best way to differentiate yourself from your competition (other people who are trying to convince a direct lender to give them a mortgage loan) is to pay down your debt, clear up any disputes on your credit report and, in so doing, boost your credit score so you can qualify for the best mortgage at the lowest interest rates.

Step 2: Separate and automate your savings.

Saving money is never going to be the easiest goal you attempt. In fact, according to The Atlantic, one of the chief reasons that nearly half of all Americans have little or no emergency savings to fall back on is taking on too much mortgage debt.

So here is a clear area where you should proceed with caution. First, save. Then, buy a home. The best approach to make saving as painless as possible for you is to automate your savings. You can do this by setting up direct deposit on your paycheck and then regular auto-drafts into a savings account reserved just for dream home savings. This way, you never even touch those funds and feel tempted to spend them instead.

Step 3: Downsize to upsize.

Finally, one effective change many adults today are making to save more towards their dream home is to downsize while they save. This can mean anything from moving to a smaller apartment to getting rid of your cable television subscription. Also, you must continually remind yourself why you have downsized in order for this step to work well.

But the key to making downsizing work to serve your greater goals is to make sure you deposit every cent of what you save into your dream home fund. Referring back to Step 2 here, the easiest way to do this is to calculate for yourself exactly what you are saving by paying less rent, giving up cable, etc., and then setting up a monthly auto draft in that amount to deposit directly into your dream home savings account.

By following these three steps, you can make tangible financial progress in saving to buy your dream home. If you can save 20 percent towards a downpayment, you can avoid paying expensive Private Mortgage Insurance (PMI) and you may even qualify for a lower interest rate. Scrimping and saving is never fun or easy, but it will be worth it when your realtor hands you that brand-new set of house keys!

WRITTEN BY DAMIEN JUSTUS

The Third Rule of Home Staging: Add a Splash Of Color

When it comes to staging a home for sale, the classic advice to keep color schemes neutral is still spot-on. White or pale hues make a space feel simple, serene and more expansive. These unobtrusive colors act as a blank canvas; they allow potential buyers to imagine themselves living in the home.

But many homeowners who already have colorful walls or furniture may wonder if it’s possible to keep some color in their staged home. The answer is absolutely yes. You can maintain – or even add – just a pop of color to create the right amount of personality and style in your staging. In fact, a splash of color can make a space feel designed, perhaps allowing it to linger in the memories of prospective buyers. As a bonus, color can also brighten your listing photos. Remember, you’ll want to add the color only after you’ve done the first two steps of home staging, paring down and freshening up. Here’s a game plan for strategically adding color to each staged room of your home.

Brighten the Living Room

Throw pillows are easily found and often cost-efficient. On a sofa, they’re a terrific way to add a burst of color. Select throw pillows that complement the sofa and room. You might go for a bright contrast, like royal blue against white, or bright yellow on a beige sofa. It’s all right to choose patterned, floral, solid or metallic versions. The key is to look for a color or combination of colors that will add visual interest without taking over the room.

Photo by Specht Architects – Browse contemporary living room photos

Color-coordinating your display shelves is another smart and budget-friendly way to infuse your living room with a little color. When editing your bookcase or shelves, try keeping books of the same color or combinations of colors together. You might be surprised how a simple stack of brightly colored red or blue books can transform a shelf or an accent table.

Photo by Camber Construction – Look for contemporary living room design inspiration

If the thought of parting with that pair of brightly colored armchairs gives you trouble, rest assured that you might not have to let them go. Once you’ve given the room a neutral and soothing palette overall, try reinstating that colorful furniture piece or accessory. Perhaps balance it out with a paler counterpart, as with a light-colored throw on a chair, or white books on a colorful table.

Photo by Jeff Schlarb Design – More contemporary living room photos

The rule of thumb is that if it’s a visual distraction, you should remove it. But if your punchy piece complements the space and adds just the right amount of personality, it can stay. A buyer might remember the cool house with the interesting blue velvet ottoman, especially among a sea of all-white homes with nothing memorable about them.

Photo by TreHus Architects+Interior Designers+Builders – Look for traditional kitchen design inspiration

Bring a Splash of Color to Your Kitchen

Look to surfaces such as a countertop, an open shelf or a stovetop as opportunities to add a pop of color here and there in the kitchen. You don’t want to introduce clutter, but you could replace necessary items — teakettle, dish towel, cookie jar — that are neutral with colorful equivalents that tastefully brighten the space.

Photo by KitchenLab Design | Rebekah Zaveloff Interiors – Discover eclectic kitchen design inspiration

A terrific option for adding color to a kitchen is to highlight colorful seating options. Bright bar stools or dining chairs can really make a kitchen come to life.

Another great idea for adding temporary color that many stagers use for both photos and open houses is a simple bowl of fruit on the counter. Try using a single color, such as all green or all red apples. For a warm personal touch at your open house, you might leave a note offering the fruit to your visitors.

Photo by For People design – Browse contemporary bedroom ideas

A Bedroom That Oozes Calm

A well-staged bedroom should feel like a relaxing hotel room, with nothing too personal showing. Pale or white bedding and minimal accessories will contribute nicely to a soothing scheme.

Adhering to a hotel-like feel for your bedroom, however, doesn’t mean that you can’t add a color or two. Your bed wall is the perfect place to feature a different hue. Stick to peaceful or classic colors that will work nicely with your neutral bedding. White or ivory bedding looks sophisticated against a navy wall. Similarly, a soothing aqua or pale blue painted wall would freshen up a drab or dark space, making it more inviting and relaxing. Add a mirror to your painted bed wall to help create an elegant and calming retreat.

Photo by ZeroEnergy Design – Look for contemporary bedroom pictures

As with the living room, you can also opt for colored throw pillows or one colorful piece of accent furniture to add subtle drama to the bedroom. As long as it doesn’t detract from enhancing the room’s size and relaxing nature, a little color can brighten a bedroom nicely.

Bathrooms Are for Color

Fresh and clean is how you want your bathroom to read to any prospective buyer. Crisp white towels and a sparkling shower or tub do wonders to brighten an outdated or worn bathroom. Surprisingly, so does a little color on the walls.

So if your bathroom still feels a bit drab after cleaning and updating the space with new hardware and a fresh glaze on the tub, try painting one or more walls in a classic or fresh color. This can add a bit more style to the room, with the added perk of helping to conceal aging walls and distract the eye from other outdated features.

Photo by Hanson Fine Building – More traditional bathroom ideas

Look to classic colors like navy or charcoal gray to pop against your fluffy white towels or help make white tiles look brighter. Alternatively, a refreshing color such as pale aqua can evoke the palette of clean water, resulting in a soothing feeling.

Colors you might steer clear of for a painted bathroom wall are nonsoothing brights such as orange or emerald green. While these primary colors can make a fun statement, they don’t evoke a serene or clean feeling for the purposes of a bathroom.

Dress Up Your Exterior

Last but not least, it’s time to address accenting the exterior of your home with a burst of color. Painting your front door and shutters in a color that coordinates with the rest of your house will add curb appeal.

Photo by Fluidesign Studio – Search traditional exterior pictures

Bright and classic colors such as red, green and blue are great options, especially to coordinate with planters and brightly colored flowers.

Photo by Beth Goldfarb – More traditional entryway photos

As an added element, look to the season to dictate your choice of flower and splashes of color. Red tulips are fantastic in the springtime, while orange and yellow give a sunny glow to a home in the fall.

WRITTEN BY NEILA DEEN, HOUZZ

Quick Question: What’s The Right Price?

Important real estate questions can often be asked quickly —”What’s the right sale price?” or “What’s the right list price?”— however, the answers may take a while. A question may be simple to ask, but the answer is usually complex because real estate is complicated.

Even when the person answering is very familiar with the subject, arriving at the “right”— best fit, complete, and accurate — answer may first require asking questions of the quick-question asker, because:

Context is vital: Asking these questions is necessary to clarify location, property type, relevant ownership details, time-frames (seller and buyer), current market, and on it goes depending on what the asker wants to understand and why. For instance, has the asker just started thinking about selling, is the property already listed, or is an offer pending?

Point of View is highly relevant: The questioner may be asking from their point of view, or asking about the other parties involved, asking for a friend or relative, asking out of curiosity…and on that goes. The questioner’s perspective, which may be a buyer’s, seller’s, or professional’s viewpoint, is linked to their intent in asking the specific person they chose to question. This intent is tied to their connection with and potential gains from the real estate in question.

Level of understanding is essential: The questioner’s level of real estate knowledge and experience determines how a complex answer to a “simple” question should be framed for maximum understanding. The answer must take into account the asker’s knowledge of the law, finances, the real estate industry, and related factors like vocabulary.

And all this must be processed quickly. The person asked is expected to respond almost immediately.

As a speaker, writer, and author, I am regularly asked: “May I ask you a quick question?” My answer is as quick as the question may have been: “Yes, of course. I’d be delighted, however, the answer may not be as quick as the question.”

A quick question is often a closed question which grammatically begs a short, factual, even “yes or no” or “either or neither” answer. However, there can be a lot for the answerer (me in this case) to consider before beginning to formulate an answer. For instance here’s a quick question I was asked recently:

“I have a quick real estate question for you, PJ,” began Bill, a stranger who had heard I write this column. “Is it better to list a house at a lower price to entice buyers [into a bidding war] or set a price more compatible with what the hoped-for sale price might be?”

Yes…or no…or either…or neither. The answerer may have an opinion from past experience or a personal preference for the same reasons. However, the accurate answer to the question lies in transforming this general query into a specific response relevant to the asker — Bill in this case — and his intent in asking that question and in choosing me to answer it.

The general answer to Bill’s general question? “That depends on how desirable to identified target buyers Bill’s property is and whether there is a buyers’ or sellers’ market in that location.” At the same time, Bill’s goals regarding the sale are just as important to consider in choosing a marketing strategy for price — list and sale.

The specific answer for Bill’s specific question would first involve collecting property and ownership details, then determining market conditions, then creating a marketing strategy that reflects Bill’s goals. That’s what real estate professionals do. One that is familiar with Bill’s specific property and market, would have a knowledgeable answer for Bill. If this were Bill’s listing professional, Bill would receive specific, high-level details regarding each pricing option, so he could make a confident decision about all aspects of price. Along with market data on actual sales, this information would include details regarding listings competing with Bill’s for target buyer offers.

My answer to Bill — after he answered a few of my questions — was directed to what information and support he could expect to receive from the real estate professional he selected to sell his home. Bill had intended to use the “right” answer to his quick question to select a listing salesperson.

My quick answer concentrated on explaining how either strategy could work. However, I stressed that only a professional with local market knowledge and experience, could provide the information to help him see which alternative would achieve his goals. The question Bill really wanted an answer to was: “How do I identify and select the best real estate professional to sell my home and achieve my goals?” That’s the quick question I answered. Bill told me the answer was exactly what he needed.

My Quick Question: Does this make you afraid to ask me or anyone else a “quick question?” It must not. Sorting out what you don’t know about real estate will ensure your selling or buying success. Real estate professionals are trained to answer quick questions and every other type, so ask away. Listen to the answers. You’ll learn a lot very quickly.

Remember, there are no “stupid questions” in real estate, except those questions you don’t ask and later wish you had.

Resource:

Here is a sampling of articles from my RT column “Decisions & Communities” that explain complexities in simple terms regarding price and selling your real estate:

• What Price Location?
• 6 Home Seller Procrastinations: What Are You Waiting For?
• 3 Key Pre-Offer Home Seller Actions
• Quiz: Are You A Hot Seller?
• There’s More to It Than Price

WRITTEN BY PJ WADE

7 Reasons You Should Buy Your Next Home Right Now

Get off the fence. This might be the best time to buy a home you’re going to see for a while. Here’s why.

Less competition for homes

Tired of having to duke it out for available homes and then losing out to higher offers? That’s a reality in many of today’s hot real estate markets, where bidding wars are the norm. In some micro-markets, all-cash offers are king. It’s hard to compete in that kind of environment, which is what makes the holiday season attractive to home buyers. Less activity during this season diminishes the competition, and can also help you get a deal.

“Since fewer people overall are looking to buy houses, you will have less competition for your preferred house — and this gives you leverage,” said moneytips. “Holiday home sellers often have to adjust their price downward or make other concessions if they want to sell. Keep this in mind as you search for homes. Bargains may be available, and listed prices may be more open to negotiation.”

Ben Carson

President-elect Trump’s nominee for the Secretary of Housing and Urban Development (HUD) post has previously made a number of comments about the agency that could spell wide-sweeping changes for buyers, and not for the better.

Carson referred to Fair Housing as “communism in a 2015 Washington Times op-ed, saying that fair housing policies “mandated social-engineering schemes” that repeated a pattern of “failed socialist experiments in this country,” said the Wall Street Journal. That has housing insiders worried that affordable housing programs, and, specifically, low-rate mortgages from Fannie Mae and Freddie Mac may take a hit.

Chaney CapitalPrivatizing Fannie Mae and Freddie Mac would greatly limit available mortgages and have an especially detrimental effect on low-rate mortgages that many buyers depend on to get into the market. “Carson’s appointment could also affect taxpayer-supported subsidized housing, which primarily helps homeless, low-income, and even senior Americans”, according to Kristen Clarke, president and executive director of the Lawyers’ Committee for Civil Rights Under Law, said Realtor.com.

Interest rates are on their way up

Even if you’re not ready to pull the trigger right this second, get pre-approved to lock in that interest rate now. That’s because rates have already risen some since the election, and all indications are that they’ll continue to rise after the new year.

And, of course, getting pre-approved will allow you to move quickly when you find a home you love instead of being held up by the bank and risking losing the home when someone who is pre-approved swoops in.

Because you’re ready to get your Joanna Gaines on

How badly do you want to rip out a kitchen and start over with something chic and pretty and chef-y in a place of your own? If you’re currently living in an apartment, you may not even have permission to paint the walls, let alone update the kitchen.

The good news about renovations, other than achieving a great new look, is that you can actually get loans to pay for them – and, the interest is a writeoff. “The IRS considers the interest on a home-improvement loan fully deductible, up to $100,000 in debt,” said MarketWatch.

DecoistLoans to look for include the FHA’s 203(k) program and Fannie’s HomeStyle Renovation Mortgage. “Unlike credit lines, these renovation loans require borrowers to show that the money was spent on the house,” said Bankrate. “In the standard FHA 203(k) program, the borrower hires a consultant to assess the construction plan and to perform an inspection before each draw is made. A ‘draw’ happens when a portion of the money is disbursed to the contractor. Borrowers have up to six months to finish the project and are allowed up to five draws. The HomeStyle program does not require a consultant to monitor the work, only an initial and final inspection.”

The FHA 203(k) can be easier to qualify for, as credit scores can be as low as 660. The HomeStyle mortgage require a minimum 740 credit score for the best rates.

Tax savings

Unless you find a house tomorrow and close much more quickly than is standard today, you won’t be able to reap the tax benefits this year. But there’s always next year—and every year after that. And tax savings can be substantial, amounting to thousands of dollars you’re not saving now.

It’s probably still cheaper than renting

The tax savings associated with homeownership isn’t the only way to save money. “It’s cheaper to own rather than rent in all but eight states and Washington, D.C., according to a GOBankingRates.com study of rent and mortgage costs,” said MSN.

When calculating the difference between renting and owning, make sure you look at as much of an apples-to-apples comparison as possible. Oftentimes, when people are looking at rent, they fail to factor in renter’s insurance, security deposits, pet deposits, and annual rental increases. Those numbers can add up.

Predictable payments

Tired of that rent going up every year? Yeah, that stinks. If you live in Seattle, your rent is forecasted to rise another 7.2% this year, according to Business Insider. In Portland, it’s 6% and Denver 5.9%. Those are the cities that are predicted to have the sharpest rises across the country.

Unless you have an adjustable rate mortgage, which isn’t popular in today’s low-interest-rate, 30-year-fixed mortgage world, or you cash out your equity and raise your principle at some point, your mortgage payment will remain your mortgage payment through the life of your loan. With so many other unknowns and intangibles, it’s nice to know that what’s probably your largest monthly payment is always the same.

WRITTEN BY JAYMI NACIRI

Staging vs. Decorating: What’s the Difference?

Selling your home means selling a lifestyle, but not necessarily your own. In home staging, you’re striving for a look that is fresh and welcoming yet not really taste specific. People with varying tastes need to feel that they can make the home their own if they purchase it.

This is the distinction between decorating your home and staging it to sell. It can be hard to understand at first, but if you don’t know the difference, you might not sell your house as quickly as you like.

Although everyone has different tastes in decor and furnishings, most people want a home that is welcoming, functional, peaceful and organized. Tailor your house so that buyers will describe it in those terms rather than by your style of decorating. Getting rid of clutter and having fewer but larger accessories is a great place to start.

Making sure your home isn’t taste specific doesn’t mean your rooms should be devoid of color. Instead, keep color schemes simple and dose them with an on-trend neutral, like a clean tan, a soft gray or a warm white.

Photo by Kristie Barnett, The Decorologist – Discover contemporary living room design inspiration

If you have a distinctive decorating style — whether it’s Tuscan, shabby chic or modern — you’re going to need to scale it back a bit. If you don’t, your home will appeal to the small percentage of potential buyers who love your chosen style. Staging is about strategic editing and depersonalizing, rather than decorating and personalizing.

Photo by Kristie Barnett, The Decorologist – More traditional bedroom photos

Dated is dreary. Strive to stage your space with a current and fresh feel. Use updated neutrals on the walls and furnishings that are clean-lined and simple. Punches of color are great; just use them sparingly. A room arranged symmetrically and centered on the architecture reads as peaceful — one of those important aesthetics every buyer is drawn to.

Photo by Andrea May Hunter/Gatherer – Browse eclectic home design ideas

This guest bedroom is full of great staging ideas. It has lots of on-trend design details, but it’s sparse on accessories and other distractions. The color palette is simple, easy on the eyes and would be attractive to both men and women. Most potential buyers would remember this appealing room long after leaving the house.

Photo by Warline Painting Ltd. – Search traditional hallway design ideas

This clever arrangement draws attention to the unique architecture in the space and illustrates a smart use for the area under the stairs: an office nook. This area is nicely decorated, not staged.

If I were staging this area, I would keep the desk, chair and lamp, remove overly personal items such as family photos, and leave a few pieces of art and an attractive notebook and pen. Simple accessories can help draw attention to a functional space.

If you are updating a kitchen or bath before putting your home on the market, keep the finishes neutral and classic. This is not the time to show off your personal style. You want to broaden your buying audience by appealing to a wide variety of tastes and preferences. This bathroom would definitely appeal to buyers with either traditional or contemporary taste, and could later be personalized with the new homeowner’s preferences for color and accessories.

Photo by HomeTech Renovations, Inc. – More traditional bathroom photos

Sure, this may not be what normally sits on your countertop, but doesn’t it look better than the usual bills and coupons? Remember, you are selling an idealized lifestyle, not your reality.

The bottom line is that you have to get outside your head and inside the mind of a potential home buyer. It’s very difficult to be objective about your own home, but it’s crucial if you want to sell it.

Photo by René Zieg – Look for traditional entryway pictures

WRITTEN BY KRISTIE BARNETT, HOUZZ

The 4 Things Home Buyers Really Want in Kitchen Cabinetry

A great kitchen design can dramatically increase your property value – if you want to attract prospective buyers, your kitchen is the perfect place to invest money. The trick is to get it to appeal to the majority of people by spending your money on what most of them really want.

Kitchen cabinetry can do much to attract the right buyers. There are four key factors to consider: quality, symmetry, color and layout. If you can get these key elements right with your cabinetry, you’re bound to have a higher home value.

The 4 Things Most Buyers Want in a Kitchen

1. Quality

The number of cabinets you have is not as important as the quality of the cabinetry. The fewer cabinets you add to your kitchen renovation, the less expensive it will be. Choose quality over quantity.

Do: Choose quality hinges and runners, including soft-close drawers, and custom-made cabinetry.

Don’t: Go for large fillers and ill-fitted modular cabinetry.

Photo by – More contemporary kitchen ideas

Keep the cost down by keeping the cabinet count down. Design the kitchen layout to keep it light, bright and with an open plan, without using tons of cabinets.

Note: Excessive internal organizers aren’t essential if you are planning on reselling your home. They are wonderful in adding value to your personal use of the kitchen but are not always a wise choice if you are renovating purely to sell. Internal drawer and cabinet fit-outs are often expensive, and the extra money you spend on these accessories may not come back to you when you’re selling your property.

2. Symmetry

The eye is naturally drawn to appreciate symmetry and repetition. When you’re renovating to sell, keep your kitchen cabinetry simple and appealing. Elegance has a way of being understated, and simplicity is key when you are trying to appeal to the majority of buyers.

Do: Keep the wall cabinetry sizes the same where possible. Drawers look nice when they are large and expansive – if you have multiple sets, keep them the same size, with the same proportion of drawers.

Photo by Archipelago Hawaii Luxury Home Designs – Browse tropical kitchen photos

Don’t: Add multiple cabinets in varying sizes. Try to keep the look and feel consistent in the whole space.

3. Light, Bright Spaces

Many buyers here in Australia want an open, light and airy space. A kitchen that is white makes the space feel bigger. White is also a universally appealing color and leaves a blank slate so buyers can reenvision the space.

Photo by Amitzi Architects – More modern dining room ideas

Do: Keep the space open, bright and light with white cabinetry. If you want some contrast, go for a darker bench top. Backsplashes should be kept fairly neutral too – try to introduce texture instead of color into the backsplash. The more neutral and elegant the space is, the more potential buyers you will attract.

Don’t: Use darker-color cabinetry, which can make the space feel closed. While adding a strong color may suit your taste, it may not be to everybody’s liking. You want to attract as many potential buyers as possible, and while white may not be the most daring color for your cabinetry, it’s the most popular.

4. An Open Layout

Designing your kitchen to have a sensible and open layout is pivotal to increasing property value when you’re renovating to sell. In Australia, the trend is moving toward open-plan living and multifunctional spaces.

Photo by Hobus Homes – Search contemporary kitchen design ideas

Do: Have a large open-plan space with a kitchen island if possible. Buyers often want to multitask in the kitchen. They want to cook, have their kids do their homework and socialize in it.

Don’t: Place your kitchen in a small and poky room. The kitchen is now often the hub of the house, and buyers want to see a kitchen that is interactive and sociable.

Related Articles:

• Expert Tips on How to Paint Kitchen Cabinets Like a Pro
• Replace Your Kitchen Cabinetry Today
• Install Undercabinet Lighting

Houzz is the leading platform for home remodeling and design, providing people with everything they need to improve their homes from start to finish – online or from a mobile device. From decorating a small room to building a custom home and everything in between, Houzz connects millions of homeowners, home design enthusiasts and home improvement professionals across the country and around the world.

WRITTEN BY HOUZZ.COM

4 Trends Affecting Millennials and Homeownership

If you’re under the age of 35, everything you know about owning a home could be wrong; but it’s not your fault. Parents of millennial children have taught them what was financially sound when they were the same age — go to college, get married, buy a home and have children; the formula for the American dream.

The American Dream is still real for many, but the details are murkier in 2016. The rising costs of college tuition are making it a riskier investment, young people are marrying later and having fewer kids and the appeal of buying over renting is now less obvious than it was for their parents. Blaming the shift on “a changing economy” is a cop-out, as the trends in millennial home ownership are just as cultural as they are economical. Here are some of the reasons why the nation’s youngest buyers are having an affect on the housing market:

1. Millennials Love Mobility

Economists are calling millennials the “job-hopping generation,” because they are more likely than previous generations to frequently change jobs, even if it requires moving. As unions are in decline and pensions are shrinking, job loyalty is on the fall and millennial workers are free to take their 401(k) accounts elsewhere. Because the next job, and next city, is always on the horizon, more millennials are opting for short-term apartment leases, which allow for freedom of mobility.

2. Millennials Love Cities

Millennials are more likely to buy their first home in the suburbs, not the city. Even outside of price-inflated cities like New York and San Francisco, urban housing costs are skyrocketing and forcing new homeowners outside the city limits. However, renting — still on the rise — is more manageable and gives young people the option to keep living in the city.

3. Millennials Love Incentives

The 2008 recession was a tragedy for homeowners who bought under inflated prices, but a silver lining for anyone buying after the fact. To help boost the economy and the new housing market, the IRS offered a hefty tax credit to first-time buyers until 2011. Just like a tax credit for electric cars, this was just the bump young people needed to buy homes after the biggest recession in nearly 70 years.

But now that the Federal Reserve is expected to raise interest rates for the first time since the recession, that boost in young home ownership could see a sharp turn in the other direction.

4. Millennials Do Not Love Student Loans

Perhaps the biggest hurdle standing in the way of homeownership, student loans account for the largest debt in the United States and are especially harsh on younger people. The more you owe in student loans, the less likely you are to buy a house. However, some programs like Income Based Repayment (IBR), which allows graduates to pay a lower monthly amount until the balance is forgiven in 20 years (10 for public sector workers), is helping ease this burden.

However, now that taxpayers could be on the hook for $108 billion in student loan relief, the future of this program could be in question under the new presidential administration. But if interest rates do go up and IBR is eliminated, the rate of buying from America’s 20- and 30-somethings could go downhill fast.

WRITTEN BY REALTY TIMES STAFF

How To Sell Your Home In 2017

It’s 2017. Now what? Yes, the new year is typically a time for hope and renewal and for those who are looking to sell – and simultaneously buy – a home, it can represent a fresh start. But this year, political and social realities are giving some would-be home sellers pause.

Thankfully, the real estate market continues to show real strength, with many housing experts projecting home sales prices and inventory to rise in 2017, replacing doubts with consumer confidence.

“Housing prices rose nationally by around 6% in 2016, but the expected increase in 2017 ranges from 3% to 5%,” said 24/7 Wall St. “With inventory of existing homes at historic lows and a rise in interest rates thanks to the Federal Reserve, housing inventory for 2017 is almost certain to rise. For prospective sellers that means that if you were planning to sell your home this year, it’s time to get cracking.”

If you’re thinking about selling this year, these tips will help.

Be patient

Sales have been swift in many parts of the country for several years now. That can make sellers who don’t get offers on day one feel antsy. Despite some ultra-competitive markets where multiple offers and offer-asking-price sales skew the national numbers, across the country, the average days on market of a home for sale is 50.

Price it right

You may be tempted to price your home at the top of the market – or set a new top if you’re in an especially desirable area and if inventory is low. But overpriced homes don’t sell, which is probably why your real estate agent is recommending a lower listing price.

padrerealestate.comIf you’re insistent about your price, don’t be surprised if you get zero bites or the nibbles you do get are far below what you’re asking. Your agent’s pricing strategy will be based on market conditions and designed to get you the most money in the least amount of time. What it won’t be based on: What you owe on the home, what you think it’s worth based on your own estimation, or what you need to get out of it to buy your dream home.

Don’t be afraid to loan shop

If you’re selling your home to buy another, like most people, you might be concerned about rising mortgage rates. Rates are still near historic lows despite The Fed raising interest rates at the end of 2016 and indicating that further increases are in store for this year.

“Because the mortgage rate makes a big difference in how much you’ll pay for your home, it makes financial sense to shop around for the lowest rate you can qualify for,” said Investopedia. But many people don’t look beyond the first offer. According to a mortgage borrowers survey, “Almost half of borrowers seriously consider only a single lender or broker before deciding where to apply,” and “Seventy-seven percent of borrowers only end up applying with a single lender or broker, instead of filling out applications with multiple lenders or brokers to see which can offer the best deal,” said the Consumer Financial Protection Bureau.

Asking your real estate agent for a few different trusted referrals could make a big difference. “Getting an interest rate of 4.0% instead of 4.5% translates into approximately $60 savings per month,” they said. “Over the first five years, you would save about $3,500 in mortgage payments. In addition, the lower interest rate means that you’d pay off an additional $1,400 in principal in the first five years, even while making lower payments.”

whiteorchidinteriors.comMake sure your home is clean and lean

It’s more important than ever to make sure your home is as close to perfect as possible before you put it on the market. Unless your agent is planning to market the home as a “project,” it needs to be spotless. You’d be surprised how much better your home can look just by applying some simple staging secrets.

Listen to your agent’s advice

Staging may only be the beginning of what your home requires to get it sold, and your agent’s advice will be critical to getting it where it needs to be. “Sure, you no doubt know more about your home than anyone else. But your real estate agent knows more about how to sell it,” said Realtor.com. “And your agent may make some suggestions you might not like to hear. It’s tempting to take offense or just ignore this advice, but if you do, you could risk seeing your house sit on the market and grow stale.”

Be careful of over improvements

Getting your home in great shape may mean making some improvements, updates, and upgrades. But be careful not to go too far.

“Dying to install new kitchen cabinets or retile your master bath? Home sellers often assume any upgrades they make to their home will pay them back in full once they sell, but that’s rarely the case,” said Realtor.com. “On average you will recoup just about 64% of the money you spend on renovations once you sell—and certain improvements can actually work against you if they’re unusual or undesirable in your market, Jason Shepherd, co-founder of Atlas Real Estate Group, told them.

WRITTEN BY JAYMI NACIRI

To Buy Or Not To Buy: Is Now The Time?

The US Census Bureau recently revealed that the US homeownership rate declined to 62.9%, the lowest level reported in 51 years of Census tracking.

This statistic does not signal impending doom. Since 2006, there has been a decline from peak ownership rates which is attributed in part to responsible lending practices and shifting demographic patterns. What is significant about this statistic is that it can give those intent on homeownership the false impression that they are fighting a losing battle.

If you’re on the non-homeowner side of this statistic, does this spell opportunity for you? With the economy and employment gaining strength, and predicted home-buying demographic shifts, homeownership may start an upward swing.

If you don’t own your own home, you know there are reasons why not. Since my work dictates I challenge the best to become better, I ask you, “How sure are you that those reasons are still valid or insurmountable?”

Repeatedly, when I speak to audiences about becoming their own futurist and creating strategies to achieve the future of their choice, I frequently meet people – individuals, couples, families, groups – who did not realize that their future could include homeownership.

Because they did not consider ownership a possibility, they gave up investigating, learning, strategizing, acting, and dreaming to make it happen. So it did not.

Ask any real estate or financial professional, and they won’t hesitate to tell you that home ownership is, rarely if ever, achieved by those who make no effort or take no action in that direction.

Any “short cuts” lie in understanding exactly what effort and action are required for the most direct path to ownership success. That’s what real estate professionals are trained to know all about. They understand how to relay that information to willing buyers and sellers.

Interview real estate professionals until you find one with the right mix of experience and determination to assist you with your ownership goals.

Listen and take notes or record when this professional explains your options and how to achieve your ownership goals. If you ask questions, you will also receive details about various ownership options, including cooperatives, condominiums, and other alternatives available in your area and price range. More questions and you’ll discover how the purchasing process works.

Consider the full range of neighborhoods and communities within your area. Prices tend to go down the further out you go from city center. With good public transit, moving to the suburbs may not require as many sacrifices as you might think.

If you’d like to own your own home, this may be the right time for action.

There are a number of ways to increase your purchasing power and bring real estate ownership within reach. The important thing is not to give up on making an effort before you have explored opportunities available to you in this real estate market:

Interest rates have not risen as dramatically as they are predicted to do in the future. Waiting until rates rise will limit the size of mortgage you qualify for. Mortgage brokers can explain how much you’ll qualify for and how you may be able to improve that level of financing. When you purchase, aim for the longest term you qualify for without seriously compromising purchasing power. That way you’ll have years at a rate you can afford while the mortgage debt is declining.

Debts can reduce the size of mortgage you qualify for, but financial professional advisers can suggest do-able debt-reduction strategies to improve borrowing power.The first step may be reducing the accumulation of new debt by ending discretionary spending like impulse shopping, eating out, and holiday travel.

The real estate you purchase may become a “financial partner” in achieving ownership. For instance, buying a one or two-unit rental income property may raise your qualifying income by some or all of the rent the rental unit or units would bring in. This financial leverage may also be possible in a non-rental property if you can prove you have boarders who will move in with you, pay rent, and share expenses.

Uncertainty abounds, but the economy continues to build momentum and job prospects continue to improve. Untapped income opportunities may exist. When was the last time you explored new employment and education opportunities with your current employer or within your community? Having a job that is “just enough” to keep you going can create inertia that defeats your belief that there’s more out there for you if you persist.

Realtytimes.com contains a rich library of articles to answer your questions and help you explore alternatives. Below are a few from my ongoing column “Decisions & Communities” that reveal the range of opportunities available to those on the path to homeownership:

• “Five Core Matching Questions For Buyers“
• “Home Buyers: Seven Insights Into Confident Decision Making“
• “Joint Ownership: Proceed with Equal Parts of Creativity and Caution“
• “New Online Education Empowers Home Buyers“

As you research ownership ideas and opportunities, stay skeptical. Ask for details and persist until you understand exactly what you and others involved will be responsible for. Beware of anyone promising overnight success or cheaper-than-believable housing. Stick with professionals who have verifiable credentials and proven expertise.

Since the downturn, you’ve had years to consider homeownership. Is it time for action before rising interest rates and increasing demographic demand move real estate ownership further out of reach?

WRITTEN BY PJ WADE