Being "Green," Start The New Year off Right

Happy 2010! Like many of you, I start to think about what I accomplished in the last year and what I want to moving forward into the new year. Goals and resolutions come to mind and one that should be important to all of us, is how we can protect the wonderful world we live in.

That being said, here are 5 steps we can perform to help "green" our home and do our part:

1. Unplug electronics not in use

Be aware of what electronics stay plugged in year round in your home. Plug a power strip into a busy wall outlet and switch off the power when you are not home. That way all of your unused electronics will be off at once. Leaving these items on-like a computer or video game system not in sleep mode uses more power than you would think.

2. Install CFL lightbulbs

Don't just turn off the lights when you leave a room, but replace them with CFL (compact fluorescent) bulbs the next time one burns out. This type of bulb last much longer and are much more efficient than the typical bulb. Remember though, when the CFL bulb finally does burn out, they need to be recycled, not just thrown away because they contain trace amounts of mercury. Often this can be done at a home improvement store.

3. Do not waste water

Saving water is becoming more and more important. There are many ways to make this happen. The easiest option is to take a shorter shower. Install a low flow shower head in your bathroom and sink aerators in your faucets throughout the home. Aerators reduce water use and are inexpensive and will not noticeably change your water pressure. Also, if you are not the handiest, like me, they are easy to screw on to your faucets. If you are in the market for a new washer or dishwasher, many made today are water efficient. Some cities will even give rebates back for buying these types of appliances. Make sure to water your yard in the early morning or evening as necessary, when the sun is still down an will not evaporate before absorbed by the grass and plants.

4. Repair drafty doors and windows

By completing this task, you not only save on your monthly energy bill, but you won't lose cool air in the summer and warm air in the winter.

5. Use eco-friendly household cleaners

Typical house cleaners can be full of toxic ingredients and harmful fumes. Today there are many products widely available for sale that are healthier for us and better for our planet. There are biodegradable cleaning wipes and many brands are making their products with more natural ingredients. There is also the option of creating your own. I have added a site below that provides different ways to make different types of cleaners. Choose natural laundry and dish-washing soaps recycled paper towels to do even more!

http://www.recipegoldmine.com/house/house.html

More Information About Energy Saving Tax Credits

Many buyers will find themselves in the market for a new appliance or two soon after closing. Replacing appliances left behind in a sold home, no appliances in a new purchase or you might just want to upgrade from what currently exists on the property. Often times the plan might even extend further to replacing, upgrading or installing other energy saving measures such as new windows, insulation, HVAC or hot water heaters.

It does not matter if you are a new home purchaser or just looking to make some improvements to a current home, it is important to know that there is cash set aside in the American Recovery and Reinvestment Act passed last February! Here are some of the highlights:

-Tax Credit: 30% of the Cost up to $1,500
Expires December 31, 2010
Must be existing home & principal residence (No rentals)
Includes work to install new or upgrade existing: HVAC, Insulation, Roofing, Water Heaters, Windows and Doors.
Credit can only be taken off the cost of materials- not labor & installation.
Make sure you check out HOW TO APPLY for the tax credit.

-Consumer rebates for new appliance purchases
Over $300 million set aside in stimulus bill for direct consumer rebates
Each state will have its own rebate system and specific requirements.
Rebates will most likely be between $50 - $250 depending on appliance and price.
States will most likely have the program details in Dec. 2009 or early 2010
Most likely these rebates will NOT be retroactive (so you might hold off those purchases for now.)

Don't let these rebates and tax credits pass you by! They can certainly help make those new appliances and home upgrades a little more affordable. For more information and full program details be sure to check out http://www.energystar.gov/ .

How are home sales these days?

Home Sales Surge

A combination of factors helped mortgage rates improve yet again during the short Thanksgiving week. Strong demand for the Treasury auctions, low inflation, and a fragile economy were all positive for mortgage markets. As a result, mortgage rates dropped to the lowest levels since January.

The consensus economic outlook is for a gradual recovery with low inflation, and the economic data released during the week was consistent with this view. Economic growth during the third quarter of the year was revised lower, but both the Fed and private economists raised their forecasts for future growth. This week's economic reports indicated that some sectors of the economy are improving, such as the housing market (see below), while others reflected weakness. Wednesday's data on Core PCE prices continued to show little inflationary pressure, which allows the Fed to keep rates low to assist the economic recovery.

This week's home sales data far exceeded expectations across the board. October Existing Home Sales jumped 10% from September. Inventories of unsold existing homes dropped to a 7.0-month supply, the lowest level since February 2007. October New Home Sales rose 6%, and inventories of new homes declined to the lowest level in decades. Extremely low mortgage rates, high affordability levels, and the first-time homebuyer tax credit boosted sales in October.

Denver-the local view

Denver is projected, by almost every survey and economic forecast, to be one of the primary cities emerging out of this economic climate. It seems apparent that Denver's real estate market is already moving up the north side of this economic curve.

According to data from InsideRealEstateNews.com; in 1999 (from 1/1 to 10/31), Denver metro had 39,867 homes sold. The peak was in 2004 when 45,397 homes were sold in the first 10 months. So far this year, metro Denver has had 35,512 sales (and climbing).

Home sales in the 7 county Denver area were up 11 percent from October 2008. The median price, for the same period, grew more than 4.5 percent.

Sales in price ranges above $250,000 were also improving as move-up buyers surfaced over the past few months. Expect this to continue into 2010, especially with the new $6,500 tax credit.

Our foreclosure activity was down over 6% from last month from 10/08, however Colorado ranked #11 in foreclosures nationally, down from being #1 two years ago.

Metro Denver's active listing inventory fell below 20,000 homes last month, down 15% from 10/08, and down over 30% from 2005.

The average price of a home sold in October was $261,771, which is almost 5% higher than in 10/08.

Absorption rates changed for the better, with single family rates down from 5.5 months to 4.9 months of supply. Also, homes in the under $300,000 price ranges are moving significantly faster than the upper ranges.

How staging your home to get top dollar in the market

If you are concerned about getting a reasonable offer price for your home when selling in today's more challenging market, there are several things you can do to position your home in the best light to make it the last home buyers see and want to put in an offer on.

Staging your home is an easy, cost effective way to get top dollar when an offer comes in on your home. Statistics have shown homes that are staged bring in up to 5 percent more than if the home is vacant. Sellers should also declutter, touch up the interior with a fresh coat of paint if needed and enhance street appeal through landscaping and outside maintenance.

Less is more when it comes to staging. Also, it is good to have at least one item of bright color to lighten up a room such as fresh flowers, painting, or a colorful vase. Take everything off the kitchen counter except the coffeemaker. Also, take down personal pictures. Often, I have clients I take to homes and they do not remember the house, but what pictures were in the home of the people that lived there. Take extra seasonal clothing out of closets so they seem more spacious. Have window treatments cleaned and leave open to make rooms seem as light and bright as possible.

Another good idea before listing your home to sell is having a cleaning professional come and also a yard service clean up the lawn if you are too busy to do this yourself.

What is changing in the Denver market?

Home prices in the Denver area rose in August for the sixth straight month, and prices are now nearly where they were a year ago, according to Standard & Poor's closely watched S&P/Case-Shiller Home Prices Index.

Home prices in Denver rose 1.0 percent in August from the previous month, according to the index report, released Tuesday. That follows a 1.5 percent rise in July, a 2.5 percent month-over-month rise in June, a 1.3 percent increase in May and a 1.5 percent rise in April.
Denver home prices were down 1.9 percent in August compared with the same month in 2008.
Denver’s year-over-year decline in August was the second-smallest of any of the 20 U.S. cities tracked by the Case-Shiller Index, bested only by Dallas (a 1.2 percent decline from August 2008). All 20 cities declined to some extent. The steepest declines were in Las Vegas (down 29.9 percent year-over-year), Phoenix (down 25.1 percent) and Detroit (down 22.6 percent).

“Broadly speaking, the rate of annual decline in home price values continues to improve” David Blitzer, chairman of the Index Committee at Standard & Poor’s, said in a statement Tuesday.
“While many of the markets remain down versus this time last year, the relative rate of decline has shown some real improvement,” Blitzer said. “California, in particular, has seen some real positive prints in recent months. We see this general trend whether you look at the as-reported data or the seasonally adjusted figures.

“Once again, however, we do want to remind people of the upcoming expiration of the Federal First-Time Buyer’s Tax Credit in November and anticipated higher unemployment rates through year-end. Both may have a dampening effect on home prices.”
The index is compiled by comparing matched-price pairs for thousands of single-family homes in each market. Standard & Poor’s and Fiserv Inc. publishes it.

How do I select the best neighborhood?

The first step in selecting the best neighborhood that will best fit your needs is determining the lifestyle you prefer.

There are several options including a single family home, high rise condo, mid-rise condo, townhome, patio home, or loft living. You may want to be in a more urban area or suburban area. We have the luxury here in Colorado to even find a home in the mountains.

Some other important factors to consider are:

• Neighborhood parks, bike paths, libraries, etc.
• Commute time to work, airport, functions
• Distance to schools, church, health clubs, physicians
• Access to shopping, restaurants, movies
• Transportation needs such as public or if you will need a car

Your next consideration could be the type of neighborhood you prefer. Do you want a new neighborhood or an old one? An older, existing neighborhood is usually more centrally located and has mature landscaping and charm. Typically, a newer neighborhood tends to be more suburban with a fresh, clean look to it, but little mature vegetation.

School districts can be an important factor. Is a private or public school important? With either, it is good to research options and look at test scores, ratings, and make a trip to the schools.

Look that the crime statistics. Is the crime in the area increasing over time or decreasing?

Is there a Home Owner's Association? If so, what are the rules and regulations you must follow?

It is a good idea to drive around the neighborhood during the day and at night. Do you feel a sense of community and pride of ownership? Remember, when you buy a home, you buy the neighborhood as well.