Real Estate Information Archive

This month's featured video discusses Homeowner's Insurance, also commonly called Hazard Insurance.  This is the type of insurance that covers private homes.  It is an insurance policy that combines coverage for various personal insurance protections which can include losses occurring to the home, its contents, loss of its use, loss of personal possessions, as well as liability for accidents that may happen at the home.  Most mortgages require the owner to carry homeowners insurance at all times that the mortgage remains in effect.

The insurance policy is a lengthy contract and lists what will and will not be paid in the case of various events.  Typically losses due to floods or war are excluded, though special insurance can be purchased for these possibilities. The insurance policy is usually a term contract that is effective for a fixed period of time and is provided in exchange for "premium".  The insured (homeowner) must pay the insurer each term.  Anyone with an insurable interest in the property should be listed on the insurance policy.  It is important to review the policy coverages and requirements provided by your insurer. To learn more information about hazard insurance, please contact your insurance agent.

There is a lot to know about owning a home. Working with a knowledgable Realtor can help make sure your most valuable investment is protected.  A Realtor is always your best source of information for all your real estate needs...

If you have not reviewed my monthly Housing Trends Newsletter - you could be missing out. Everywhere I go, people are asking me about the housing market conditions - it's on everyone's mind. Staying abreast of local and national market conditions and factors that can affect the future sale or purchase of your home can make the decision process less daunting. I always tell my clients that in order to make the best decision they need to have all the information they can upfront. My Housing Trends Newsletter is just one of the tools in my arsenal to make sure you keep informed.

The November 2011  Local and National Housing Trends has just been released. This month's newsletter is packed full of local and national housing market statistics and news you need to know to stay current with today's changing housing market.

This month's housing trends issue features:    

Top Ten Reasons to Sell Your Home In Winter

Make Your Home Holiday Hosting Disaster Free

Wall of Glass Not Just for Modern Style Home

9 Ways to Keep Lid on Energy Bills

Three Options for Buying Home After Short Sale

You can view the newsletter here.  

If you wish to receive FREE Housing Trends eNewsletter e-mailed to you monthly, click here to Subscribe.   

If you are considering selling your house or buying a home and need more information, I am never too busy to help, please contact me for more information.

Tips to Get Through the Holidays without Accumulating Debt

According to the National Retail Federation’s (NRF) 2011 Holiday Consumer Intentions and Actions Survey, Americans will spend an average of $704.18 on holiday gifts and decorations, down slightly from last year’s average of $718.98. However, retail sales expectations for November and December show a 2.8% growth to $465.6 billion. Even in a shaky economy, consumers are willing to swipe for the right price.

Declining credit card usage over the past year has credit card companies boosting their reward incentives in hopes of luring customers back. This holiday season consumers are more likely to use cash for purchases, hinting they’re concerned about taking on high-interest debt in a weak economy. Creditors are offering free gift cards, triple bonus points and air miles, but consumers need to understand the broadening restrictions that apply to these rewards.

“People need to read the fine print and speak with the card issuer about details related to bonus points and incentives. If you have the money to pay-off the credit card purchases before payment is due it is OK to use your card to get additional rewards,” says Howard Dvorkin, author and founder of Consolidated Credit Counseling Services, Inc., a financial literacy provider that has helped more than 5 million Americans pay off their credit card debt. “Let’s say you sign up for a Target card which offers 5 percent off every purchase. If you don’t pay the balance within 30 days of the purchase, that 5 percent becomes nonexistent when the 25 percent interest rate is added onto your balance. It is important to know all aspects of your credit card contract and act wisely,” Dvorkin continues.

Tips for managing credit cards this holiday season include:

1. Read the fine print. Become educated about new rewards/bonus points/incentives creditors are offering for swiping a credit card. Shoppers can’t expect to follow rules and guidelines if they don’t know what they are.

2. Only swipe what can be paid off in 30 days. To establish a positive credit score people can use credit to pay for monthly bills such as electric, auto payments, etc. This is a good way to get rewards because the money to pay the bills should be in their monthly budget. Caution: this method can backfire if a person is not saving enough money to pay off the balances each month.

3. Know interest rates and credit balances before holiday shopping begins. In order for people to be successful managing their credit, they must be up-to-date about their credit card balances, interest rates, payment due dates, and how long specific interest rates last.

4. Seek out cards with the best rewards. Find a credit card that offers double or triple points. One resource to find the best credit card is creditcards.com.

5. Pay credit card bills on time every month. By paying credit card bills in full and on time each month, people can prove they are trustworthy.

Source: Consolidated Credit Counseling Services, Inc.

Lorna Calder is a RE/MAX REALTOR® helping home buyers and sellers in Kingwood, Atascocita, Humble, The Woodlands and Houston.

Licensed content reprinted with permission.

If you are thing about making a move consider that Real Estate impacts are local....

Think there's any "moral crisis" going on in our country right now? What about in our city? Our schools? Our neighborhood? Where did it come from, and why are we facing these challenges?

We are a country - city - neighborhood - blessed with peace and prosperity. Our daily choices range from which SUV we will drive, to where we will dine next, to how we will redecorate our home this year. Our concerns include our child's upcoming soccer match, whether or not to refinance the house, making "Salesperson of the Year," and taking more time for golf or tennis.

With all the choices complemented by our affluence, we have also become compliant, accepting, and politically correct. We strive to please everyone, avoid "rocking the boat," and prefer the status quo. It's so much easier that way, isn't it?

In doing so, however, we may also abdicate responsibility for teaching our children the value of principle-centered living. What principles should we be teaching - and practicing? Why not adopt and teach the value of courage, diligence, faithfulness, generosity, cleanliness, honesty, encouragement, frugality, humility, industry, justice, moderation, order, resolution, silence, honesty, sincerity, temperance, and tranquility?

Imagine how the world around us would change if we taught and participated in more of these time-honored values. Remember that our country IS our cities, our neighborhoods, and our homes. What begins at the grass roots level - literally in our own backyards - can be spread throughout the world. Abandon neutrality and you can change the world!

The Boy Scouts have long espoused the same set of principles. It goes like this: "A scout is trustworthy, loyal, helpful, friendly, courteous, kind, obedient, cheerful, thrifty, brave, clean and reverent." How simple life could be if we all practiced just that short list. Each in itself denotes a wonderful trait. When put into action, all can make the world a better place.

So, what happens between the age of scouting and age 30, 50, or 75? How is it that we turn from being a friendly 12-year-old to a suspicious, stand-offish adult? How do we turn the corner from being obedient to our elders to challenging the authority of our employers or government? Why won't we open the door for someone who can't? Did simple courtesy die with our youth?

Perhaps experience has taught us that others are not always friendly, courteous and kind. "Turn-about is fair play," we may respond. Why should we be thrifty, taking care to save for our future, when everyone around us has "maxed out" their credit cards? Reverence for all we know to be of value seems to have become the victim of political correctness. Why should we be any different?

The greatness of our country was built on the solid rock of "principles." The soft, easy life of an affluent society may be our undoing. Our forefathers had it tough. Most of us living today had a cake-walk, comparatively speaking. Our forbearers had to live their principles - or face the defeat of poverty, ill-health, and despair.

Our children can bring us back if only we will take the time to teach them those simple principles. More than teaching, we might help them practice those principles in their daily lives until habit makes them permanent. Begin while they are still playing in the sandbox. They will grow soon enough into men and women who live principle-centered lives!

Ever hear someone say, "I have good credit"?  They are probably referring to their credit "rating" - a score bestowed upon them by creditors, banks or rating agencies.  Simply stating, "I have good credit" changes nothing, nor does the statement merit the attention of creditors.  Credit can only be given by others for service to them, i.e. paying them on time.

So, credit is the result of serving others - in many ways.  You cannot claim education, victory, experience, success, reputation, or a suave demeanor.  Each of these is a gift from others, as a result of your service to them.  Friends recognize your courage as a result of your being cool under pressure.  Your success is recognized by others only once you have served them well.  Knowledge of your career field is recognized by others only after it's been applied to situations in the form of more service.

In the accounting world of income and expense, a debit is something paid out, while a credit is something received.  Thus all credits are received from others - not by our own making.  The debits - what we pay out - are our efforts, persistence, and service.  How they are rated is not under our control, but is determined by those served.

Without service, there are few rewards.  Yet, you've seen those who insist on getting more attention than they deserve.  They feel they're being short-changed, that they are not appreciated, that they are always the victim.  If you look more closely at their contributions, you are also likely to see the dearth of service they are offering.

With service, credit follows.  It may be subtle or quite visible - but it always follows.  Concentrate on what you have to offer and forget the rewards.  Those who are served will pick up the tab!

One question many buyers will ask me is how do I get started.... they know they want to purchase a home but are at a loss as to where the process actually begins. Rather than start looking at homes, buyers should get pre-approved so that their level of purchasing comfort and affordibility is established up front.

1. Be a Pre-Approved Buyer: A pre-approved buyer always has the advantage in an offer situation. Becoming pre-approved is very easy: you complete your loan application with a credit check prior to beginning your home search process. Pre-approval means that you have actually been approved for the purchase by a lender after they have checked your credit and debt and also verified income and assets in writing (this means you have provided supporting documentation). This gives you the edge in home purchase negotiating over a buyer who is just pre-qualified - meaning they have only had their credit checked by the lender.

2. Beat The Competition to The Best New Listings: The search process can be both fun and trying. You will notice that some homes sell very fast and others hang around for long periods of time. The best homes at the best prices sell fast. Keeping on top of this is essential. Connect with a professional Real Estate agent that knows the market and keeps you updated.

3. Do The Research: Make yourself a "home value expert." Investigate the areas and price ranges for the kind of home you are looking for. Get a good idea of the price ranges these homes sell for and how long the market time is for them. Your agent is a great asset here.

4. Have Your Offer Presented in Person: Your agent represents you and your best interests. To adequately do this, make sure that your home offer is presented by them directly to the seller. The personal touch will give you the edge. Your agent also might pick up critical information during this meeting.

5. Prove That You Are a Serious Buyer: The best way to accomplish this is with strong earnest money. This might mean that you put 5% or more down to get the sellers attention.

6. Don't Go Crazy: Even in a hot market, be cool and calculated with your decisions. A knowledgeable agent can really help you here. Your home purchase may be your single largest investment. It is important to make sure that you get the best deal possible. Overpaying now will make it harder to get your value back when you sell.

7. Keep Your Offer Simple and Clean: Make sure that your contract to purchase is simple, clean and not bogged down with unnecessary contingencies, especially repairs. Keep the time frames of repairs and responses to a minimum. The cleaner your offer, the more interested the seller will become. This may help you purchase the property at the best price.

8. Don't Wing It Alone: What you need most in today's complex marketplace is an experienced and professional real estate agent who represents your interests only. No matter how heated the competition or the negotiations, a professional agent will represent your best interests, keep you from paying too much and help you maximize your investment.

Are you looking for a RE/MAX buyer's agent to represent you and your best interests? You, the home buyer, pay nothing for a professional buyer's agent. Their fees are paid for by the seller. Click here to contact us today and find out how we can help you find the most house for the best price.

Lorna Calder is a RE/MAX REALTOR® helping home buyers and sellers in Kingwood, Atascocita, Humble, The Woodlands and Houston.

Question of the Day

 
Q: Should I hire a home inspector for a new home?

A: You would think not since it is new and the developer has to adhere to local construction guidelines. However, err on the side of caution – always hire an inspector, whether the home is old or new.

You can ask the builder to provide copies of any inspection reports on the property, architectural plans, surveys and pertinent construction documents for your inspector to review.

The inspector should either be a professional home inspector, an engineer, an architect or a contractor. When hiring a professional inspector, look for one who belongs to a home inspection trade organization, such as the American Society of Home Inspectors (ASHI).

This group has developed formal inspection guidelines and a professional code of ethics for its members. Membership in ASHI is not automatic. Proven field experience and technical knowledge about structures and their various systems and appliances are required.

As for rates, they vary greatly. Many inspectors charge about $400, but costs increase based on the scope of the inspection.

Lorna Calder is a RE/MAX REALTOR® helping home buyers and sellers in Kingwood, Atascocita, Humble, The Woodlands and Houston.

Licensed content reprinted with permission