5 Ways to Increase Your Home’s Value

There are many reasons why one may want to increase the value of their home.

Perhaps you want to sell your home and downsize, or maybe you want to make home additions or improve its efficiency. Regardless of the reason, there are many ways to increase the value of your home. In this post, we will help you learn proven ways to consider if you want to increase your house's value.

Give It Some Fresh Paint
One of the easiest yet effective ways of increasing the value of your home is by giving it a fresh coat of paint. The good thing about painting is that it doesn't require a high budget or time. If you are a DIY enthusiast, all you'll need is paint and a brush. However, there are some situations where you'll need the input of a professional. For example, if you want to paint an extension or a room that is not accessible. Also, ensure you select colors that make bold statements and complement your home's architecture.

Build an In-Ground Pool
In-ground pools have become a growing trend over the past years. It is also one of the fastest ways to increase your home's value. Although it will require substantial money and time, they unconsciously trigger a sense of relaxation. There are different types of pools you can consider. To get the most suitable and cost-effective, feel free to contact a professional fiberglass pool builder.

Upgrade to Energy Efficient Appliances
Installing energy-efficient appliances can greatly improve your home's value. Therefore, focus on projects that lower the cost of energy bills. For example, consider installing central air conditioners, which can significantly decrease the cost of your energy bills. Also, you can replace the old, leaky windows with energy-efficient ones.

Give the Kitchen Updated Look
The kitchen is ultimately the central feature of any home. Therefore, if it has outdated components, it will definitely impact your overall home value. As such, upgrading the kitchen will help you increase your house value as fast as possible. Whether installing a new cooker or replacing the old tired countertops, updating your kitchen ensures it looks contemporary and helps keep up with the latest trends.

Work on Your Landscape
Improving your landscape also means improving your home's value. There are a lot of things you can work on in the landscape, but it depends on what fits best for your home. First, you can consider fencing your compound in case it lacks one. Also, you can consider adding up a garden, planting some flowers in the yard and trimming up your bushes. Also, don't forget to add a deck or a patio that's well-lit.

Final Thought
Whether you want to sell your home fast or make it more appealing, applying these tips will help you do just that. As such, we encourage you to take some time out and contemplate the ideas above and apply what you consider relevant.

Keep reading.

Related Links

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• Homes Are Lingering on the Market, But These Tricks Have Proven to Speed Things Up

• Are Luxury ADUs the House Hack This Tight Economy Needs?

If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

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Are Luxury ADUs the House Hack This Tight Economy Needs?

Who would want to live in a tiny home in their parents’ backyard? As it turns out, a lot of people.

The writer, director, and millennial antihero recently opened the doors of her newly built 1.5-bedroom forever home to Architectural Digest. The twist? It’s situated 10 feet behind her parents’ house in Connecticut.

For the uninitiated, Dunham is a married 36-year-old woman who created HBO’s “Girls,” one of the most successful TV shows of her generation. She has made the Time 100 list of most influential people in the world and considers Taylor Swift a close personal friend. She could presumably live just about anywhere, but she opted to move into an accessory dwelling unit on her parents’ New England compound.

With distinctive design and sumptuous details just a stone’s throw away from Mom and Dad’s lasagna, laundry services, and warm hugs, it’s easy to see why someone like Dunham would love to live here. But what about the rest of us?

For young would-be homebuyers who don’t mind sharing a yard with their family, is designing and living in an ADU the next hot housing trend? And—perhaps more timely—is multigenerational living a solution to the current real estate affordability problem?

The rise of ADUs for ‘normal’ people

Few of us have Dunham’s budget or access to the kind of architects and designers who could make a pencil box feel roomy and look chic. But the average person can also make an ADU a lovely space to be.

“You definitely don’t need to be rich to build and design a luxury ADU,” says Ryan Fitzgerald, owner of UpHomes in Charlotte, NC.

You just need to approach the ADU as you would a regular home, just on a smaller scale, he explains.

In other words: Choose the best materials, craftsmanship, and design that you can reasonably afford.

In many ways, the rise of ADUs is a win for both younger people in need of an affordable home—and their parents.

“The skyrocketing cost of housing has sparked a national housing crisis,” says Kerry Sherin, consumer advocate at Ownerly in Myrtle Beach, SC. “Rents are rising, so millennials are looking for long-term and affordable housing. ADUs can be a better investment than renting—and an investment that appreciates, not just in value, but in long-term utility.

“For both parents and their millennial children, there’s no reason not to consider adding an ADU to their property,” says Sherin.

Where are ADUs being built, and what does it entail?

ADUs are on the rise everywhere, but more than half of the estimated 1.4 million ADUs in the U.S. are in California, Florida, Texas, and Georgia, according to Freddie Mac. The metro areas with double-digit ADU growth include Seattle, Los Angeles, and Miami.

Rules vary from state to state and town to town, but you will definitely need a permit before you can begin construction.

“ADUs may be subject to specific rules in your city or county, such as height restrictions. You will need to show detailed plans drawn to scale for your project,” says Sherin. “An architect or ADU designer may be able to help you figure out what permits you need and prepare your application. Depending on your jurisdiction, you may also need electrical, plumbing, and mechanical permits.”

Size rules will vary. too. In California, the minimum space requirement is 150 feet, and the average cost to construct one is $150,000, or $250 per square foot, according to a report from the Terner Center for Housing Innovation at the University of California, Berkeley.

“ADUs can cost anywhere up to $400,000,” says Sherin. “The cost depends on the area where you live and the size of the ADU you want. ADU construction costs can reach $350,000 to $390,000 in the San Francisco Bay Area.”

When it comes to the cost of interior design, it’s going to depend on the materials. If you’re going the way of Dunham and building your dream home, it may be worthwhile to invest in high-quality appliances and furnishings.

ADU in spirit, if not in fact

If zoning restrictions or the realities of your property’s layout prevent the construction of an ADU, there are still plenty of options.

“With current housing market conditions, we will see more and more multigenerational living,” says Denise Supplee, a licensed real estate agent in Philadelphia and the founder of SparkRental.com. “I have already been seeing it in my market area of Philadelphia and the suburbs.”

However, Supplee acknowledges that adding or converting a building on a property to be used as a separate living quarter can be tricky in any area, especially urban and suburban neighborhoods.

In situations like that, where there is still a need for a separate living space, Supplee suggests converting a basement or garage, where having a different entry is still possible.

Lear more on Realtor.com.

Related Links

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• Homes Are Lingering on the Market, But These Tricks Have Proven to Speed Things Up

• 5 Types of Wall Art That Real Estate Agents Never Want to See in Your Home

If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

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Home equity loan vs. HELOC – What’s the difference?

While mortgage rates are high and economic uncertainty looms, there is good news for borrowers who already have a mortgage and may be looking to tap into their equity. 

According to Black Knight’s mortgage monitor report, the country’s housing equity position remains strong compared to its position at the beginning of the pandemic, with equity positions $5 trillion, or 46%, above pre-pandemic levels. The average mortgage holder is up by more than $92,000 compared to the start of the pandemic.

Home equity loans and home equity lines of credit (HELOCs) are both loan products that are secured by the equity on a borrower’s home. 

But which is the best option for your borrower? Read on to find out.

What is a home equity loan?

A home equity loan – also referred to as a second mortgage, a home equity installment loan or an equity loan – is a fixed-term loan based on the equity in a borrower’s home. Borrowers apply for a set amount of money that they need and receive that money as a lump sum if approved. Home equity loans have a fixed interest rate and a set schedule of fixed payments for the life of the loan.

The equity in your borrower’s home serves as the collateral for a home equity loan, so there needs to be enough equity in the home for the borrower to qualify. The loan amount is based on several factors, including the combined loan-to-value ratio and whether the borrower has a good credit history. Typically, a home equity loan amount can be 80-90% of the property’s appraised value. 

The interest rate on a home equity loan is fixed and so are the payments, meaning the interest rate doesn’t change with time and the payments are equal over the life of the loan. The term of an equity loan can be between five to 30 years, and the borrower will have predictable monthly payments to make for the life of the loan. 

Pros and cons

In terms of pros, a home equity loan has a fixed amount – decreasing the likelihood of impulse spending – and a fixed monthly payment amount, which makes it easier for the borrower to budget their payments. This type of loan can also be good for those who need a set amount of cash for something due to the lump sum payout. 

The largest potential downside to a home equity loan is that the borrower can lose their home if they can’t make their payments on time. Additionally, tapping all of their equity at once can work against them if property values in their area decline. Home equity loans also require refinancing to get a lower interest rate, and the borrower can’t take out more money for an emergency without taking out another loan.

What is a HELOC?

A HELOC is a revolving credit line that allows the borrower to take out money against the credit line up to a preset limit, make payments on that line of credit and then take out money again. Rather than receiving the loan proceeds as a lump sum, with a HELOC the borrower can tap into their line of credit as needed. That line of credit remains open until its term ends. The amount borrowed can change, which means the borrower’s minimum payments can also change based on the credit line’s usage.

HELOCs are also secured by the equity in a borrower’s home. While it shares characteristics with a credit card due to being a revolving credit line, a HELOC is secured by that asset, while credit cards are unsecured. HELOCs have a variable interest rate, which can increase or decrease over time. That means the minimum payment can increase as rates rise. Additionally, the rate will depend on the borrower’s creditworthiness and how much they’re borrowing.

HELOC terms have two parts –  a draw period and a repayment period. The draw period is the time during which borrowers can withdraw funds. During this period, the borrower will have to make payments, but they tend to be interest-only and therefore typically small. When the draw period ends and the borrower enters the repayment period, they cannot borrow any more money, and their payments now include the principal amount borrowed along with the interest. 

Pros and cons

HELOCs come with a few advantages. The borrower can choose how much or how little of their credit line to use, and that credit line will be available for emergencies and other variable expenses. Variable interest rates mean that a borrower’s interest rate and payments could potentially go down if their credit improves or market interest rates go down. The borrower pays the interest compounded only on the amount they draw, not the total equity available in the HELOC. And HELOCs have a lower interest rate compared to other options to get cash, such as credit cards or personal loans. 

However, because the HELOC is secured by the borrower’s home, they could go into default and lose their home if they stop making their payments on time. It’s also harder to budget for fluctuating payment amounts, and easy for the borrower to accidentally spend up to their credit limit. Variable interest rates mean that the interest rate and payments could potentially increase if a borrower’s credit worsens or market interest rates increase. And the transition from interest-only payments to full, principal-and-interest payments can be difficult for borrowers.

How to choose between a home equity loan and a HELOC

The best way to approach the choice between a home equity loan and a HELOC is to ask the borrower about the purpose of the loan.

If they know exactly how much they need to borrow and how they want to spend the money, a home equity loan can be a good choice. Many borrowers use home equity loans for big expenses such as a college fund, remodeling or debt consolidation.

If the borrower is unsure exactly how much they need to borrow or when they’ll need to use it, a HELOC may be the better choice. The borrower will have ongoing access to cash for a set period, and can borrow against the line, repay it partially or in full and borrow that money again later, provided they are still in the HELOC’s draw period. HELOCs also generally process slightly faster than a home equity loan, if the borrower needs money more quickly. 

Visit HousingWire to learn more.

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If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

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5 Types of Wall Art That Real Estate Agents Never Want to See in Your Home

There’s a reason why people say art is subjective — it’s because what looks like an amazing piece of work to you might look like a bunch of blobs and smudges to someone else.

Normally there’s nothing wrong with that, but when it comes time to list your home for sale, real estate agents become quite clear on what pieces of art are wall-worthy and which need to be stashed way in the back of your closet. These are the five types of wall art agents say you need to take down ASAP if you want to make a sale sooner rather than later. 

Family Photos

You’ve probably heard that it’s not a good idea to have too many photos of your family hanging on the walls, but you may not know why it’s a real estate no-no. Brian Worthman, a licensed real estate salesperson with The Corcoran Group says the wrong personal items can make potential buyers feel like outsiders. 

“Family photos and portraits can make a home feel like it belongs to someone else,” he says, adding that anything that gives too much of your personality away could turn someone off. “If someone identifies as a ‘dog person’ they might be put off walking into a home with cat paintings.” 

Anything About Religion or Politics

It’s important to avoid potentially alienating buyers by displaying items that could create mixed feelings. Overtly religious or political signs are a wall art no-go according to Sharika Nichole Giddens, senior commercial and residential brokerage partner at DTSpade Specialized Real Estate. She says keeping these things on the walls could unconsciously cloud a buyer’s judgment. 

Fan Art

Sorry, but Jacob Brenyo, a real estate agent with Awning.com, wants you to ditch the pictures of your favorite rock stars and A-listers. “There is a new trend of full wall portraits of celebrities, which look great in photos but absolutely terrible in person,” he says. “There is very little an agent can do to help a home sell when there is a giant photo of Madonna towering over the living room.” Sorry, Madge! 

Anything of Value

If you’re lucky enough to have a piece of art that’s worth a bit of money, Ken Sisson, a Studio City real estate agent with Coldwell Banker, wants you to take it down ASAP. “It’s always best to be safe and remove valuable wall art from the home, in advance, and store it somewhere safe and secure,” he says. You’ll already have enough on your mind with getting your property ready to list, the last thing you want to worry about is your valuable artwork getting damaged… or worse! 

Common Commercial Prints

There’s a reason why you see some of the same imagery over and over again in homes across the country. Not only are mass manufactured prints generally pleasing to the eye, but they’re also very affordable, making them a win win. But Martin Boonzaayer, CEO of The Trusted Home Buyer, says not so fast.

“How often do you see posters of the Eiffel Tower or the Brooklyn Bridge?” he asks. “I recognize the photo’s aesthetic value but cringe at the idea of its current misuse. The low cost comes from the fact that there are so many of them.” Sorry, but unfortunately Boonzaayer says these IKEA mainstays have got to go.

Get more tips like this here.

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If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

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Homes Are Lingering on the Market, But These Tricks Have Proven to Speed Things Up

Sometimes it’s as simple as a statement rug.

The sizzling real-estate market has simmered down, so much so that the median time for homes on the market is up 45 percent since last year, according to a recent report from Zillow. The data also revealed that nearly half (46 percent) of all listings are lingering for more than 60 days. As demand softens, it’ll take more than a “For Sale” sign in the yard to get the bids flowing, so the ball is back in the sellers’ court to woo prospective buyers. Fortunately, there are several ways to boost your space’s appeal and home value, starting with these three statistically supported upgrades.

Speed Things Up With Sustainability 

Thanks to more research from Zillow, we also know that listings with energy-efficient, eco-friendly details can help move a home off the market 10 days faster than expected. For West Coasters especially, features like having your property retrofitted for earthquakes may not only speed up the closing process by 19 days, it might also boost your house’s value by 2.4 percent. For the rest of the nation, having an EV charging station installed also topped the list, fast-tracking deals by a week and a half.  

Up the Timeline and Final Price With Staging 

Homes with a bit of professional sprucing sell 88 percent faster and for 20 percent more than ones that haven’t, according to a report from Realtor.com. Some of the easiest updates, according to seasoned stager and designer Kirsten Blazek, include adding a few statement rugs, unmounting TVs, and removing anything super-personal, which means you might want to stash your summer vacation photos away until you get moved into your new place.

Tempt the Senses With Aromas From the Kitchen

Turns out, sticking a batch of cookies in the oven just before an open house is no longer the key to convincing strangers your house can feel like their home.  A survey from GetAgent revealed that it might pay to skip the sweets. Out of 1,500 people polled, nearly 40 percent responded that they’d be more enticed to buy a place that’s filled with the aroma of just-out-of-the-oven bread. Fresh laundry and brewed coffee were also front-runners in the race to earn a “Sold” sign.

Get more tips like this on Domino.

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If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.

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