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Memorable Dates
June 7-National Chocolate Ice Cream Day
June 14-Flag Day
June 16-Fresh Veggies Day
June 20-Fathers Day
June 25-National Catfish Day
Fore! Etiquette Lessons for Business on the Course
It’s been said that the best business deals are made on the golf course. There’s no doubt that a lot of business happens outside the office, whether it’s golf, lunch or dinner. That’s because people do business with people. A social setting gives you and your prospect the opportunity to get to know each other better, as people. Poor etiquette can turn your prospect off rather quickly so, on National Etiquette Week, we’ve compiled four etiquette tips to help you score more business.
Tee time
If you want to lose a potential customer before you even meet them, then show up late. You should respect the fact that they’ve given you precious time from their busy day to meet with you. Try to be there early if you can. If you show up late, you give the impression that you had something more important than meeting with them. If you are going to be late, let them know as soon as you can.
Flag down the beer cart
Ordering alcohol with a prospect can be a sticky situation. A formal dinner typically calls for a bottle of wine, but for lunch or on the golf course, it isn’t as easy. A good rule of thumb is to allow your guest to order their drink first. If they go for a water or soda, follow suit. If drinks are in order, remember that you are at a meeting so moderation is key.
Par for the course
The number one question most people have is, “Should I let them win?” The answer is no. Intentionally losing can be an insult to a customer, so play to your ability. A golf outing with a prospect is about building a connection. Make sure they have a good time and the business side of things will take care of itself.
Keep the club in your hand
This should go without saying, but be polite. If people are doing business with people, most don’t want to do business with a jerk. The better the personal connect you make with this prospect, the more loyal the customer will be in the long run.
Stainless Steel…Simple Steps To Keep That Special Gleam
Stainless steel appliances have a sharp, professional look that never gets old!
To keep them looking bright and clean use a light mist of wax-based aerosol spray once or twice a week. Don’t put on too much – you don’t want to soak the surface and make it greasy. Wipe the mist with a clean, lint-free cloth, and never use oils to keep away fingerprints – lint will stick to the oil. Also, don’t use cleaners with bleach after you’ve put on the waxy layer, or it will dry out and lose some of the luster. And finally, don’t use anything abrasive, not even products that are advertised as mild and gentle, such as Soft Scrub or Scotch-Brite pads. You don’t want to scratch or ruin the surface.
Five Things Home Buyers Do That Turn Sellers Off (And Kill Deals)
On today’s market, every savvy seller wants to know what turns buyers off, so they can get their homes sold as quickly as possible, for as much as possible. But buyers, take note – there is a minefield of seller turn-offs you can trigger that hold the potential to keep you from getting the home you want at the best price and terms, or to unnecessarily complicate dealings with your home’s seller.
Lest you think all of today’s sellers are under the gun and will just put up with whatever behavior buyers dish out, be aware that there are still many multiple offer situations in which buyers have to compete with each other to get a home – buyers who trigger these turnoffs tend to lose in those scenarios. Also, avoiding these seller turnoffs can create a transactional environment of cooperation and avoid things turning adversarial. That, in turn, can empower you to score a better price, get extra items you want thrown into the deal, and even negotiate more flexibility around your escrow and move-in timelines – all perks that can make your life easier and your budget go further.
For sellers, these turnoffs pose the potential of irritating you out of an otherwise good deal – maybe even the only deal you have!
Here’s a few of the most common buyer-perpetuated seller turnoffs, with tips for sellers on how to keep an emotional (and economic) even keel, even if your home’s buyer makes some of these waves:
1. Trash-talking. Trash-talkers are the home buyers who think they’re going to negotiate the list price down by slamming the house, telling the sellers how little it is really worth, how the house across the street sold for nothing, why the school on the corner should make them desperate to give the place away, etc. This strategy never works; in fact, when you attack a seller and their home, you only cause them to be defensive, and think up all the reasons that (a) their home is not what you say it is, and (b) they shouldn’t sell their home to you!
Sometimes this happens with buyers who actually love a house and just walk around it fantasizing about all the ways they would customize it to their tastes while a seller is there. Sellers: avoid being at home while your home is being shown. Buyers: save your commentary for your agent; if you do encounter the seller in person keep your conversation respectful and avoid critiquing the house or the list price.
2. Being unqualified for mortgage financing. When a seller signs a buyer’s offer, most often the seller agrees to effectively pull the home off the market, forgoing other buyers who might be interested. As such, the only thing worse than getting no offers on your home is getting an offer, getting into contract, then having the whole thing fall apart when the buyer’s loan falls through – especially if that could have been predicted or avoided up front.
Sellers: Work with your agent to vet your home’s buyers’ qualifications, including their loan approval, down payment and earnest money deposit – before you sign a contract. It’s not overkill for your agent to call the buyers’ mortgage pro before you sign the contract and get a level of comfort for how robust their qualifications are. Buyers: Get pre-approved. Seriously. And make sure that you don’t buy a car, quit your job, deposit lottery winnings or do any other financial twitchery between the time you get loan approval and the time you close escrow on your home.
3. Making unjustified lowball offers. No one likes to feel like they are being taken advantage of. And sellers generally know the ballpark amount that their home is worth, as well as what they need to sell it for to get their mortgage paid off. Yes – the price you pay for a home should be driven by its fair market value, rather than the seller’s financial needs, and deals are more available in a market like the current one, in which supply so vastly outpaces demand. But just throwing uber-lowball offers out at sellers hoping one will hit the spot is not generally a successful strategy, especially if you really, really want a given property.
Sellers: Don’t get overly emotional about receiving a lowball offer; counter at the price you and your agent decide makes sense based on the total circumstances, including your motivation level, recent comps and the interest/activity level your listing is receiving. Buyers: Work through the similar, nearby homes that have recently sold (a/k/a comparables) before you make an offer to factor the home’s fair market value into your offer price – also factor in how much you want the place, too. Don’t be amazed if you make an offer far below asking, and don’t get a response.
4. Renegotiating mid-stream. Sellers plan their finances, moves and – to some extent – their lives around the purchase price a buyer agrees to pay for their home. If you get into contract to buy a home, find out during inspections that costly repairs need to be made, then propose a lower sale price, repair credit or even actual repairs to the seller, that’s sensible and fair. But if you were aware that the property needed a lot of work before you made an offer on it, then you come back asking for beaucoup bucks’ worth of credit or price reductions midstream, expect the seller to cry foul. And holding the seller up two weeks into the transaction because you caught a case of buyer’s remorse? Not cool, and not likely to foster the spirit of cooperation you may need to get your deal closed.
Sellers: avoid mid-stream price renegotiations by having a full set of inspection reports and repair bids at hand when you list your home. Buyers: try to avoid renegotiating the entire deal unless you get some major surprises at your inspections or inflating small repairs to try to justify a major price cut.
5. Misleading or setting the seller up. Remember when we talked about buyer turn-offs? Being misled by listing photos or very fluffy property descriptions was high on the list. The same goes for sellers.Offering way over asking with the plan to hammer the seller for a reduction when the house doesn’t appraise at the purchase price? #LAME Making an as-is offer planning the whole time to come back and ask for every penny ante repair called out by the inspectors? Lame squared.
Sellers: If you get multiple offers and are tempted to take a sky-high one or one that claims to be all cash, consider requesting proof that the buyer has sufficient funds to make up the difference between what you think the home will appraise for and the actual sale price, and statements showing the cash truly exists. Buyers: Don’t be lame. I’m not saying you have to tell the seller exactly what your top dollar is, but making offers with terms designed to intentionally mislead is really, really bad form – and can result in losing the home entirely if and when your bluff gets called.
Portland, Maine, named Forbes.com ‘most livable’ city
Portland, Maine, a historic port city that has transformed itself into a vibrant community of posh restaurants and shops and white-collar businesses, has been named the most livable city in America by Forbes.com.
With New England’s sometimes-grueling weather playing no role in the selection process, Portland was joined in the top 15 by three Massachusetts communities: Peabody (14th), Worcester (9th), and Cambridge (7th).
The website advised people looking for a better life to “start your search with these places.”
Portland’s Commercial Street was recently voted one of the country’s great streets by the American Planning Association. The red-brick buildings and cobblestone streets of the tony Old Port district dazzle shoppers and gourmands alike. The city economy is bolstered by the presence of medical services, banking, and educational institutions, the Globe reported in February.
But the city’s port has suffered the worst in the deep recession, and Portlanders are taking a hard look at how to preserve their city’s heritage and keep fading marine industries alive.
The magazine said it looked at measures such as income growth per household, cost of living, crime data, a leisure index, and unemployment statistics in making its rankings.
5 Mortgage and Foreclosure Myths
In a mortgage market that changes as quickly as this one, today’s fact is tomorrow’s fiction. For buyers, misinformation can be the difference between qualifying for a home loan or not. Sellers and owners, knowledge is foreclosure-preventing, smart decision-making power! Without further ado, let’s correct some common mortgage misconceptions.
1. Myth: Buyers with bad credit can’t qualify for home loans. Obviously, mortgage guidelines have tightened up, big time, since the housing bubble burst, and they seem likely to tighten even further over the long-term. But just this moment, they have relaxed a bit. In the last couple of weeks, two of the nation’s largest lenders of FHA loans announced that they’ve dropped the minimum FICO score guideline from 620 (which allows for some credit imperfections) to 580, which is actually a fairly low score.
At a FICO score of 620, buyers can qualify for FHA loans at many lenders with only 3.5 percent down. With a score of 580, the lenders are looking for more like 5 to 10 percent down – they want to see you put more of your own skin in the game, and the higher down payment lowers the risk that you’ll default. However, if your credit has taken a recessionary hit, like that of so many Americans, this might create a glimmer of hope that you’ll be able to take advantage of low prices and interest rates without needing years of credit repair.
2. Myth: The Mortgage Interest Deduction isn’t long for this world. Homeowners saved over $85 billion in 2008 by deducting their mortgage interest on their income tax returns. A few months ago, the National Commission on Fiscal Responsibility and Reform caused a massive wave of fear to ripple throughout the world of real estate consumers and professionals when they recommended Mortgage Interest Deduction (MID) reform, which would dramatically reduce the size of the deduction.
Fact is, the Commission made a sweeping set of deficit-busting recommendations to Congress, a few of which are likely to be adopted. Fortunately for buyers and sellers, MID reform is not one of them. Very powerful industry groups and economists have been working with Congress to plead the case that MID reform any time in the near future would only handicap the housing recovery. Congress-folk aren’t interested in stopping the stabilization of the real estate market. As such, the MID is nearly universally thought of as safe – even by those who disagree that it should be.
3. Myth: It’s just a matter of time before loan guidelines loosen up. The US Treasury Department recently recommended the elimination of mortgage industry giants Fannie Mae and Freddie Mac. I won’t get into the eye-glazing details of it here, but the long and the short is that (a) this is highly likely to happen, and (b) it will make mortgage loans much harder and costlier to get, for both buyers and homeowners. It’s possible that loans are as easy to get as they’re going to get. So don’t expect that if you hold out, zero-down mortgages will come back into vogue anytime soon. Fortunately, Fannie and Freddie aren’t likely to disappear for another 5-7 years, so you have a little time to pull your down payment and credit together. If you want to get into the market, the time to get yourself ready is now!
4. Myth: If you don’t have equity, you can’t refi. Much ado is being made about how stuck so many people are in their bad loans, because they don’t have the equity to refinance their way out of them. If you’re severely upside down (meaning you own much, much more than your home is worth), stuck may be the situation. But there are actually a couple of ways homeowners can refi their underwater home loans. If your loan is held by Fannie or Freddie (which you can find out, here), they will actually refinance it up to 125% of its current value, assuming you otherwise qualify for the loan. That means, if your home is worth $100,000, you could refinance a loan up to $125,000, despite the fact that your home can’t secure the full amount of the loan.
If your loan is not owned by Fannie or Freddie, you might be a candidate for the FHA “Short Refi” program. While most mortgage workout plans are only available to people who are behind on their loans, the Short Refi program is only available to homeowners who are current on their mortgages and need to refinance up to 115 percent of their homes’ value. So, if you owe $250,000 on your home, you can refinance via an FHA Short Refi even if your home’s value is as low as $217,000. If you think you’re a good candidate for a short refi, contact your mortgage broker, stat – there are some in Congress who think that this program is so underutilized (only 245 applications have been submitted since it rolled out in September – no typo!) that its funding should be diverted to other needy programs.
5. Myth: If you’ve lost your job and can’t make your mortgage payment, you might as well mail your keys in. Until recently, this was essentially true – virtually every loan modification and refinancing opportunity required that your economic hardship be over before you could qualify. And documenting income has always been high on the requirements checklist. But there are some new funds available in the states with the hardest hit housing and job markets, which have been designated specifically for out-of-work homeowners.
The US Treasury Department’s Hardest Hit Fund allocated $7.6 billion to the states listed below – all of which are now using some portion of these funds to offer up to $3,000 per month for up to 36 months in mortgage payment assistance to help unemployed homeowners avoid foreclosure. Contact the state agency listed below if you need this sort of help:
- Alabama: http://www.hardesthitalabama.com/
- Arizona: https://www.savemyhomeaz.gov/
- California: https://www.keepyourhomecalifornia.org/
- Florida: https://www.flhardesthithelp.org/
- Georgia: http://www.dca.state.ga.us/housing/homeownership/programs/hardesthitfund.asp
- Illinois:http://www.ihda.org/
- Indiana: http://www.877gethope.org/
- Kentucky: http://www.kyhousing.org/
- Michigan: http://www.michigan.gov/mshda/buyers/save_the_dream/helping+hardest+hit+homeowners+-+contact+your+mortgage+servicer+for+assistance
- Mississippi: http://www.mshomecorp.com/firstpage.htm
- Nevada: http://www.nahac.org/
- New Jersey: http://www.state.nj.us/dca/hmfa/home/foreclosure/homekeepers.html
- North Carolina: http://www.ncforeclosureprevention.gov/
- Ohio: http://www.savethedream.ohio.gov/
- Oregon: http://www.oregonhomeownerhelp.org/
- Rhode Island: http://www.hhfri.org/
- South Carolina: http://www.scmortgagehelp.com/
- Tennessee: http://www.thda.org/
- Washington D.C.: http://www.dchfa.org/
7 Energy-Efficient Solutions For Spring
Spring is a season of sunshine, flowers and most importantly, home improvement projects. If you’ve found your way to this article, it’s likely that you have big plans around the house. Maybe it’s time to build that deck or clean your garage. Maybe you’re not sure what to do, and you’re just ready to do something.
No matter your plans, consider optimizing your home’s energy efficiency. With time and strategy on your side, your projects can help you trim the baggage off your bills. Here are some ideas to get you started:
1. Buy an energy use monitor.
While surprises are nice, it’s pretty terrible when you get a surprise on your energy bill. As much as you may try to save money by turning off the lights, the task is tough if you’re not setting concrete goals for yourself. So, figure out how much you’re spending, and set goals to reduce those costs over time. You’ll be in a better position to save if you can see the numbers in action.
2. Replace your power strips.
Even when you’re not using your computers, televisions, and other appliances, they are still using energy – what a waste! Don’t let your zombie appliances cost you more money than you need to spend. A smart power strip can be purchased for as little as $30, but keeps your vampire appliances from sucking you dry all year long.
3. Rethink your water bottle.
Many people buying bottled water for its convenience and clean taste. Instead, opt for a water bottle with a self-filtering mechanism so you can filter the water that comes from your tap and enjoy it for pennies a glass.
4. Be smarter about your utilities.
If your utility bills are climbing the best way to cut those costs is to find out what’s causing them. Use an online electric, gas and water monitor to keep track of how you’re spending. Start out with Google PowerMeter, which is available for free.
5. Replace your light bulbs.
Take a moment to count the number of light bulbs in your home. You’ve probably never thought about your ceiling and floor lamps from that perspective, have you? Now, imagine how much energy you might be wasting. Next time your bulb reaches the end of its lifespan, upgrade it with an energy-efficient compact fluorescent model. In addition, utility companies occasionally offer rebates for energy efficiency projects. Contact your provider directly, and check to see if any programs are available in your area.
IN PICTURES: 6 Ways To Save Money This Summer
6. Install low-flow shower heads.
From sprinkler systems to showers, it’s easy to run up a water bill. A low-flow shower head is an affordable way to cut down your home’s water use. In a nutshell, these work by reducing the pressure on flowing water. Less pressure means less flowing water that ultimately costs you money. If you don’t want to spend $40 on a new shower head, you can start by making an effort to stop using water at full blast.
7. Use a fan.
Even though springtime means sunshine, the weather doesn’t necessitate an air conditioner. Save the luxury for the summer when you really need it and stick to a fan this spring. If you’re revamping your home’s climate system, consider investing in a programmable thermostat. This will help you monitor your home’s energy use when those air conditioning expenses start to grow.
The Bottom Line
Plan your goals before delving into a home improvement project. Do you want to save money? Do you want a more environmentally efficient home? How about both? Once you answer these big questions, you’ll be ready to work through the small details. Even if a project is easy and inexpensive, the investment will take you further when you have the big picture in mind.
Making Your Home Picture Perfect
They say a picture is worth a thousand words. Well, in real estate, that picture’s worth translates to dollars and then, if it’s an excellent picture, you can add a few more zeros to that number. That’s why getting the right photos of your home are critical.
Before having your home photographed or, in some cases, videotaped, you’ll want to make sure that it’s in the best possible shape. But what exactly does that mean?
Getting your home ready for a photo shoot is not quite the same as getting it ready to have dinner guests. Yes, there’s the same cleaning rituals such as dusting, and picking up items lying around the house. But making a home picture perfect is about creating an atmosphere that’s welcoming, interesting, and even beckoning viewers and then capturing that with your lens.
How is that done? Professional home photographers use the right equipment to get the job done. Wide angle lens to make the home look larger and show off adjacent rooms in a single photo are one good method. Early morning and late afternoon photo shoots make use of the best lighting times in the day.
Whether you’re going to photograph your home or have a professional do it, adding some props and taking away the clutter will be top priorities.
Let’s start with empty rooms. Showing an empty house isn’t ideal for in-person visits or pictures. Why? You can’t get a feel for how to use the space and when you see an empty room in a picture and it’s hard to grasp its size. The Wall Street Journal suggests bringing in props such as furniture (even just a chair and small table) that will help give the viewer a sense of scale.
If at all possible, rent, borrow, or beg your friends for furniture to have at least a few objects in the room. You don’t need as many pieces of furniture as you would have if you’re living in the home, just some nice tables, lamps, and chairs to create a homey mood.
If you have to photograph the room empty, use a wide-angle lens and capture a bit of an adjoining room like a bathroom–this adds depth and interest. And always use a tripod.
Kitchen comfort. Here’s where you get to have some fun. Think of yourself as a set designer. Your job is to look closely at your kitchen and tuck away all the unnecessary objects. If you leave out an appliance (maybe a good-looking stainless steel one) hide the cord. The appliance isn’t there for use–it’s just a prop.
Now, add some other props–a basket of colorful fruit in a clear glass bowl (nothing too distracting). A plate of cheese and bread with a wine bottle nearby helps set a scene to make the viewer feel welcome.
Clouds are our friends. When you’re shooting outside, a bright sunny day isn’t always the photographer’s friend. If there are big trees and the sun is creating dark shadows, that can make parts of your photo look dreary. Clouds can greatly add mood to the photo without distracting from the exterior shot of a home. On an overcast day, the shadows aren’t as strong and the flowers can actually show up better.
But before you snap that exterior photo, put away those unsightly garbage cans, the seasonal decorations, and those “no soliciting” signs. Remember, you’re making your home not only picture-perfect but model-home perfect too… and that could just be priceless.
11 Stocks Poised for Gains in 2011 and Beyond
In an uncertain economic environment, your best investment opportunities are in the stocks of solid companies with proven business models, strong balance sheets and steady profits. Even after the market’s gains from the March 2009 bottom, many stocks remain attractively priced and yield more than the ten-year Treasury bond’s current yield of 3.3%.
With most of the world’s growth currently coming from outside the U.S., it’s best to invest in companies that derive a major part of their revenues overseas. Developing nations are the fastest growers, so companies expanding in emerging markets should generate superior profits and offer the best opportunities for capital appreciation.
SEE THIS STORY IN SLIDES:
11 STOCKS FOR 2011
McDonald’s
McDonald’s
Despite a challenging environment for restaurants, McDonald’s (symbol MCD) continues to boost sales and generate excellent returns with the rollout of new products, such as smoothies and a line of specialty coffee drinks. The Oak Brook, Ill., fast-food giant has significant bargaining power over its suppliers, so it can keep costs low. Its strong brand name, convenient locations and international expansion opportunities should drive growth for years. Analysts see earnings rising 9% in 2011. Over the past five years, McDonald’s has boosted its dividend at an annualized rate of 29%. The stock, at $77.56, yields 3.1% and trades at 15 times 2011 profit forecasts. (All prices and related numbers are as of market close on December 10, 2010.)
ConocoPhillips
Oil giant ConocoPhillips (COP) is in the midst of a restructuring program that includes the sale of low-returning assets, including a nearly 20% stake in Russia’s Lukoil. The Houston-based company will use the proceeds from the sales to trim debt and finance the capital investments needed for long-term growth.
As global economic conditions improve, demand for oil will increase, boosting its price and Conoco’s profits. Already, crude’s price has jumped 12% since August. Moreover, because oil is priced in dollars, crude will probably rise should the greenback continue to slide. At $64.58, Conoco trades at ten times estimated 2011 earnings (a low figure relative to its peers) and yields 3.4%.
Polo Ralph Lauren
Polo Ralph Lauren (RL), the New York City-based designer of luxury lifestyle products and apparel, is expanding into emerging markets, with stores in Chile, China, South Korea and Malaysia. Yet with only 40 stores outside North America, Polo has a lot of room to expand internationally, especially among China’s growing middle class. Because newly affluent people in emerging markets want to buy luxury goods with strong brand names, the company should be able to boost prices pretty easily. Polo is also extending its product line beyond clothing into such things as watches, jewelry and sunglasses. At $112.99, Polo trades at 21 times estimated 2011 earnings, which are expected to be up 13% from 2010.
hhgregg
A domestic play, electronics retailer hhgregg (HGG) is jumping into the void left by Circuit City’s demise. Having doubled its store total, to 173, over the past three years, the Indianapolis-based retailer hopes to become a 500-store national chain by decade’s end. Capitalizing on the downturn in commercial real estate, the company locked in low rents on the more than 90 stores it has opened since 2008. Analysts expect profits to jump 30%, to $1.34 a share, for the fiscal year that ends this March. The stock trades at $25.72. Unlike Best Buy, which pays its salespeople by the hour, hhgregg hires commission-based salespeople who can negotiate prices. Just the kind of store you want when times are tough.
Discovery Communications
Discovery Communications (DISCA), the leading producer of nonfiction content on cable TV, is focusing on expanding overseas. Best known for the Discovery Channel, TLC and Animal Planet, it’s launching the Oprah Winfrey Network in 2011. The Silver Spring, Md., company has the ability to broadcast the same programs across many markets, and that is spurring growth. Discovery receives a steady revenue stream from subscription fees, which account for 49% of total sales; advertising makes up 43%. With its networks distributed in 180 countries, foreign lands provide 33% of revenues, and about 40% of that comes from emerging markets. Analysts expect earnings to rise 19.9% in 2011, to $2.11 a share. The stock trades at $42.48.
Oracle
In a challenging economy, companies don’t want to hire, but they’re willing to spend on technology that can boost productivity. After its 2009 purchase of Sun Microsystems, Oracle (ORCL) looks poised to capitalize on that strategy.
Combining hardware and software, Oracle’s new Exalogic Elastic Cloud seeks to be the premier system for cloud computing, the trend of using the Internet to maintain applications and data. Analysts expect the Redwood City, Cal., company’s profits to climb 18.6%, to $1.98 a share, for the fiscal year that ends this May. At $29.95, the stock trades at 15 times that number. Oracle, which instituted its first dividend in 2009, yields just 0.7%, but it has the muscle to easily boost the payout.
Genuine Parts Co.
Sluggish demand for new autos suggests that many drivers will be holding on to their old cars for at least another year, and maybe longer. Meanwhile, the recovery in the manufacturing sector has boosted industrial spending. Both trends bode well for Genuine Parts Co. (GPC), a supplier of replacement parts for both the auto and industrial markets. Car parts account for half the sales of this Atlanta-based company, which operates stores under the NAPA name. Analysts expect earnings to advance 10.9%, to $3.25 per share, in 2011. At $50.55, the stock, which yields 3.2%, looks attractively valued at a price-earnings ratio of 15, on the lower end of its historic range. Genuine Parts has boosted dividends 54 straight years.
Freeport-McMoran Copper & Gold
Freeport-McMoran Copper & Gold (FCX), the world’s largest publicly traded copper miner, is a play on surging demand for minerals in emerging markets — especially in China. Copper prices are volatile, but the slowing rate of new copper discoveries, the decline in average ore grades, and concern that many mines will be depleted by 2021 mean that the metal’s price should stay high. With copper prices currently near record highs and demand expected to outstrip supply in 2011, Freeport’s profits are expected to grow 17% for the year. The Phoenix, Ariz., miner brings in so much cash that in October it boosted its dividend by 80%, to an annual rate of $2 a share. At $112.87, the stock yields 1.8% and trades at 11 times expected earnings.
VF Corp.
Either way the economy breaks, VF Corp. (VFC) stands to benefit. In hard times, it makes money by selling what many consumers consider a low-priced necessity: jeans. With its Lee and Wrangler brands, VF holds 20% of the U.S. jeans market. When the economy picks up, consumers spend more for VF’s upscale brands, such as John Varvatos, Nautica and The North Face. The Greensboro, N.C., company receives 30% of revenues from outside the U.S. and expects that figure to hit 40% in five years, with the bulk of the increase coming in Asia. At $86.04, the stock sells at just 13 times the $6.80 per share that VF is expected to earn in 2011. VF has raised its dividend 38 straight years and yields 2.9%.
Honeywell
After adding money to its underfunded pension plan, paying down debt, cutting costs and improving productivity, Honeywell (HON) should see profits jump 13% in 2011. A diversified industrial company based in Morristown, N.J., Honeywell is a player in such cyclical businesses as aerospace products, automotive turbochargers and energy-efficient environmental-control systems. If the economy picks up steam, those businesses will do well. At $51.98, the stock trades at 14 times estimated 2011 earnings (compared with an average PE ratio of 16 for the industrial-goods sector) and yields 2.3%.
Danaher
The primary growth strategy of Washington, D.C.-based Danaher (DHR) has been to buy companies in niche industrial markets at attractive prices. The disciplined management team focuses on cutting costs, which leads to higher profits. Danaher, which makes, among other things, environmental controls — such as water filters and gas meters — tools, and medical and dental instruments, earns half of its revenues outside the U.S. Its water-treatment business in particular is doing well in emerging markets. Profits are expected to grow 15% in 2011, to $2.64 per share. The stock trades at $45.87.Read more: http://www.kiplinger.com/columns/picks/archive/stocks-poised-for-gains-in-2011-and-beyond.html##ixzz1BV4YSvnh
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Where to Invest in 2011
To understand the investing outlook for 2011, it helps to review the year just past. Despite emerging from a long and brutal recession, the economy could muster only an anemic expansion. The most notable manifestation of the tepid recovery was a high unemployment rate that scarcely budged over the course of the year. And yet, over the past year (through November 5), the U.S. stock market managed to post an impressive 17.3% return.
We think the same pattern — a stagnant economy but decent stock performance — may repeat in 2011. The economy should grow by little more than 2.5%, and the jobless rate could even tick up to 10%. But stocks could still return 7% to 10% over the next year, in line with corporate earnings growth and the market’s current dividend yield of 1.9%. The Dow Jones industrial average should finish 2011 above 12,000.
(See Risks to Watch below, and What to Buy Now after the jump.)
SEE OUR SLIDE SHOW: 11 STOCKS FOR 2011
A number of factors explain the apparent disconnect between the muddle-through economy and the perky stock market. Interest rates are already at rock-bottom levels, and the Federal Reserve Board says it plans to buy $600 billion in Treasuries by the middle of 2011 to keep rates low. The balance sheets of U.S. companies, unlike those of our government and households, are in excellent shape. Profits should continue to rise moderately in 2011 and match or exceed the record level, set in 2006. With Standard & Poor’s 500-stock index selling at 13 times projected 2011 earnings, stocks do not appear to be excessively valued, especially relative to bonds and cash.
And let’s not forget that the canvas on which S&P 500 companies paint differs from that of the domestic economy. These firms earn 40% of profits abroad, where growth is higher than at home. David Bianco, chief stock strategist of Bank of America Merrill Lynch, calculates that profit margins of U.S. companies are far higher overseas than at home. Bianco says that four sectors in the S&P index — energy, materials, technology and industrials — are already generating more than half of their profits abroad. In 2010, profit increases at global companies such as Boeing (symbol BA), Caterpillar (CAT) and Coca-Cola (KO) were powered by buoyant growth in developing countries — economies that Merrill Lynch projects will generate no less than 75% of the world’s economic growth in 2011.
One thing that will change in 2011 is control of Congress, which will be split between a Republican House and a Democratic Senate. This will quite likely produce political gridlock in the nation’s capital. Although some observers think that gridlock will be good for stocks because Congress won’t be able to enact laws that could harm business, it could be a negative if lawmakers are unable to address a financial emergency.
Risks to Watch
We’d be remiss if we didn’t outline some of the risks and lingering structural weaknesses in the economy. Recognizing risks as they come to the fore may help you make mid-course corrections in 2011 and beyond.
Volatility should remain high in 2011 because of contradictory signals from an economy that is expanding in fits and starts. Even Federal Reserve chairman Ben Bernanke frets about an “unusually uncertain” environment. He and most Fed governors think inflation is too low and clearly seek to engineer higher price increases through ultra-loose monetary policy. Because the Fed’s gambit is untested, there is a risk that the inflation genie will escape the bottle. “The issue in 2011 is inflation expectations, not where inflation ends up,” says Dean Junkans, chief investment officer for Wells Fargo Private Bank. “We’re trying to inflate our way to growth.”
Government monetary and budget policies are helping to drive the dollar lower, which aids U.S. corporate profits. The trouble is that many other governments are also cheapening their currencies to juice exports and job growth. There is a chance this race to the currency bottom, which is a form of protectionism, could degenerate into a trade war.
After years of delivering stunning gains, bonds may be a less-comfortable resting place for your money in 2011. During 2009 and 2010, individual investors poured more than $600 billion into bond funds. But a rise in long-term interest rates — a distinct possibility in 2011 — could result in losses for many bondholders (see our fixed-income outlook — The Best Bets for Income in 2011).
Surveying the risks stemming from currency wars, and from rising inflation, interest rates and the sluggish domestic economy, Junkans concludes that investors must embrace global investing. “A lot of U.S. investors need to make a paradigm shift in 2011,” he says. “Think of yourself as a global investor living in the U.S. rather than as a U.S. investor with some global exposure.” In his portfolios, Junkans says, he’s increased foreign exposure “permanently” by 50% over the past four years (for more on investing overseas, see The Best Ways to Profit from Emerging Markets.)
Why do we remain dour about the prospects for the U.S. economy in 2011? Our pessimism stems largely from that familiar trinity of linked problems — housing, banking and busted household balance sheets — that will dog us for a few more years.
In a normal economic recovery, housing is a key driver of expansion. But home building today remains in a depression. The housing market groans under the weight of a huge backlog of unsold and vacant homes.
Government-encouraged loan-modification programs are not working, and the foreclosure pipeline is clogged. So foreclosures continue to back up, implying that yet more houses will be dumped into a weak market. One of the more pessimistic mortgage analysts, Laurie Goodman, of Amherst Securities, thinks that ultimately 11 million borrowers — a frightening 20% of the total — could lose their homes absent a change in government policy.
Read more: http://www.kiplinger.com/magazine/archives/where-to-invest-in-2011.html##ixzz1BV3wP2co
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Budget for Your Peace of Mind
Are your finances keeping you up at night? You’re not alone. Almost three-quarters of adults say money has them feeling stressed, according to the American Psychological Association. That’s not surprising, especially in today’s economy with skyrocketing energy and food costs, tepid investment performance and rising unemployment rates.
The remedy? Tackle that tension with a budget.
If the mere mention of the “b” word raised your blood pressure, take a deep breath and consider this: Budgeting is simply a way to make sure you have enough money to reach your goals.
A budget isn’t constricting. It sets you free. When you have a plan, know how much money you have and where it’s going, you don’t have to worry about it. Knowledge really is power.
Here are the five basic steps to building a budget that’ll put your mind at ease. It’ll take a bit of time and effort, but it’s well worth it.
1. Take inventory
Before you can make a plan, you need to know how much money you have and where you spend it.
For at least one month, track all your expenses. And not just the biggies like your rent payment and grocery bill. Make a note of smaller purchases, too, especially cash purchases that may not show up on your bank or credit card statement. You can carry a small notebook to jot them down, or collect every receipt and toss them in a shoebox when you get home to sort through once a week.
You should also make note of large annual expenses, even if they don’t happen to fall in the month you’re tracking. For example, if you usually pay $600 every six months for car insurance, jot down $100 this month for that cost.
2. Make a diagnosis
At the end of the month, examine your spending habits and look for red flags. Organizing your purchases into categories — such as housing, transportation, clothing, entertainment, food, dining out, etc. — will help.
This exercise can be eye opening. When I did this with my expenses, I found that I was spending almost as much on “quick trips” to the grocery store each month as I was on my main weekly shopping trip. You may discover you’ve been spending too much time at the coffee shop, or that you didn’t save a single penny for a rainy day.
(Or you may find that your finances are doing just fine and that you had no reason to worry. Good for you.)
3. Put your eyes on the prize
What are your financial goals? Perhaps you’d like to get out of debt, buy a new car, take a vacation or simply stop living paycheck to paycheck. If you have a specific goal, you know there will be a reward for taking the time to create –- and follow — a budget.
4. Cut costs and boost income
This isn’t so painful when you stay focused on your goal. Look at the problem areas you identified in step two and find ways to fix them. For example, if you found that dining out was eating away too much money, take your lunch to work instead of eating at restaurants. That act alone could save about $100 a month.
That’s money you can use to pay down debt, save toward something you want or use as a cushion for rising gas and food costs. Almost everyone has fat they can cut from their spending. See Save Money on Practically Everything for simple ways to trim thousands of dollars of dollars on food, utilities, entertainment, investing and more.
One problem you may need to address: You simply need more money. Start by checking your tax withholding. If you receive a tax refund every year (and most of you do), file a new W-4 form with your employer to get you more money each month, instead of in one big chunk when you file your tax return. Use our easy withholding calculator to help you figure out what to put on the form.
If your expenses and goals drastically exceed your income, you may need to take more dramatic action. For example, getting a part-time job on nights or weekends, selling your car and using public transportation, getting a roommate to cover housing costs, moving to a cheaper city or even moving back in with Mom and Dad. (Find out more ways to live rent-free.) Again, remind yourself of your goal to motivate yourself to do the right thing. Sacrifices today can add up to big rewards tomorrow.
5. Stick with the plan
There’s not just one way to budget. Some people choose to do all their spending with a debit card so they can monitor their spending through their online bank statements. Others go the opposite route and stick strictly to cash. They place fixed amounts of money into envelopes for each spending category — and when the money’s gone for the month, no more spending.
You could even join an online community, such as Wesabe.com, to track your expenses and get feedback and support from other users. Or put your goals on autopilot — arranging with your bank to make automatic contributions from your checking account to your savings or investments each month. (See Ten Sneaky Saving Strategies for more tips.)
The key is to make your budget personal. Find a method that works for you, and consistently monitor your progress. You’ll soon find your stress replaced by confidence — and you’ll rest easier, too.
Read more: http://www.kiplinger.com/columns/starting/archive/2008/st0604.htm##ixzz1BV3NSSyl
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Ten Tips for Healthy Holiday Eating
- Be realistic. Don’t try to lose pounds during the holidays, instead try to maintain your current weight.
- Plan time for exercise. Exercise helps relieve holiday stress and prevent weight gain. A moderate and daily increase in exercise can help partially offset increased holiday eating. Try 10- or 15-minute brisk walks twice a day.
- Don’t skip meals. Before leaving for a party, eat a light snack like raw vegetables or a piece of fruit to curb your appetite. You will be less tempted to over-indulge.
- Survey party buffets before filling your plate. Choose your favorite foods and skip your least favorite. Include vegetables and fruits to keep your plate balanced.
- Eat until you are satisfied, not stuffed. Savor your favorite holiday treats while eating small portions. Sit down, get comfortable, and enjoy.
- Be careful with beverages. Alcohol can lessen inhibitions and induce overeating; non-alcoholic beverages can be full of calories and sugar.
- If you overeat at one meal go light on the next. It takes 500 calories per day (or 3,500 calories per week) above your normal/maintenance consumption to gain one pound. It is impossible to gain weight from one piece of pie!
- Take the focus off food. Turn candy and cookie making time into non-edible projects like making wreaths, dough art decorations or a gingerbread house. Plan group activities with family and friends that aren’t all about food. Try serving a holiday meal to the community, playing games or going on a walking tour of decorated homes.
- Bring your own healthy dish to a holiday gathering.
- Practice Healthy Holiday Cooking. Preparing favorite dishes lower in fat and calories will help promote healthy holiday eating. Incorporate some of these simple-cooking tips in traditional holiday recipes to make them healthier.
- Gravy — Refrigerate the gravy to harden fat. Skim the fat off. This will save a whopping 56 gm of fat per cup.
- Dressing — Use a little less bread and add more onions, garlic, celery, and vegetables. Add fruits such as cranberries or apples. Moisten or flavor with low fat low sodium chicken or vegetable broth and applesauce.
- Turkey – Enjoy delicious, roasted turkey breast without the skin and save 11 grams of saturated fat per 3 oz serving.
- Green Bean Casserole — Cook fresh green beans with chucks of potatoes instead of cream soup. Top with almonds instead of fried onion rings.
- Mashed Potato — Use skim milk, chicken broth, garlic or garlic powder, and Parmesan cheese instead of whole milk and butter.
- Quick Holiday Nog — Four bananas, 1-1/2 cups skim milk or soymilk, 1-1/2 cups plain nonfat yogurt, 1/4 teaspoon rum extract, and ground nutmeg. Blend all ingredients except nutmeg. Puree until smooth. Top with nutmeg.
- Desserts — Make a crustless pumpkin pie. Substitute two egg whites for each whole egg in baked recipes. Replace heavy cream with evaporated skim milk in cheesecakes and cream pies. Top cakes with fresh fruit, fruit sauce, or a sprinkle of powdered sugar instead of fattening frosting.
Enjoy the holidays, plan a time for activity, incorporate healthy recipes into your holiday meals, and don’t restrict yourself from enjoying your favorite holiday foods. In the long run, your mind and body will thank you.
It’s a Good Time to Buy a Vacation Rental
Right now, the languishing housing market offers some lingering upsides for those who have a pot of investment dollars to burn.
Home prices are low, financing is cheap and inventories are bulging.
The planets have aligned over vacation rental acquisitions.
The road’s been rocky for real estate in recent years, but that means it’s a buyer’s market and good time to grab a piece of the American Dream as a solid, long-term investment.
“Vacation homes are almost always a good investment,” says vacation rental guru Christine Karpinski, director of Owner Community for HomeAway.com, the global leader in vacation rentals, hosting some 540,000 vacation rental listings.
“First, if you’re looking for a good long-term investment, real estate tends to be a good bet. Second, vacation properties have the ability to pay for themselves, and owners often earn a profit in rental income. Third, the investment comes with the desirable perk of having a place at the beach or in the mountains to call your own,” says Karpinski, a vacation rental owner herself and author of “How to Rent Vacation Properties by Owner, 2nd Edition: The Complete Guide to Buy, Manage, Furnish, Rent, Maintain and Advertise Your Vacation Rental Investment” (Kinney Pollack Press, $26.00).
Vacation rental space is the place more and more travelers opt for when they want a bargain getaway with accommodations that provide all the comforts of home.
According to Karpinski, here’s why you want to move on that vacation rental now.
Prices are as low as they are going to go.
Property prices are as low as they’ve been in ten years. Procrastination won’t keep them low. Analysts say the housing market is scraping bottom and poised to move up.
“I don’t take the plunge now, I’ll look back ten years from now and say, ‘Why the heck didn’t I buy back in 2010?’” says Karpinski
Interest rates are likewise as low as they are likely to go.
Erate.com had the interest rate for 30-year, conforming fixed rate mortgages at 4.23 percent on Oct. 25 and says rates on non-owner occupied properties is about a half a percentage point higher — with a virtually mandated 20 to 30 percent down payment.
Markets are flush with inventory.
The slow economy and even slower housing market has left vacation markets brimming with buying opportunities, from sellers looking to move on or up, to foreclosures that warrant careful scrutiny.
“One caveat: Before you let yourself fall in love with a property, make sure it is legal to rent it out as a vacation home. Some areas and homeowners’ associations do not allow short-term rentals,” Karpinski warns.
Good help is easy to find.
The recession weeded out incompetent, fly-by-night real estate people who jumped on the booming market bandwagon. Those who survived have been around the block a few times and know the game.
Say Karpinski, “Real estate professionals still working today are the top in the business,” says Karpinski.
Renting a vacation property is easier than ever.
Vacation rentals are more popular than ever, thanks to their home-away-from-home allure but also because the Internet has made them eminently more visible.
“More and more consumers are choosing to stay in cozy condos, cabins, and chalets instead of cramped, impersonal hotel rooms when they travel. And as market demand has surged, organizations like HomeAway.com have sprung up to help connect vacation homeowners with these potential renters,” Karpinski said.
The online vacation rental portals help owners market homes by posting photos, descriptions, testimonials and other marketing information to attract vacationers.
HomeAway.com also offers vacation rental owner support. It’s Owner Community offers property owners expert information about proven best practices, setting up your business, upgrading amenities on a budget, handling complaints and cancellations and more.
After the Gulf oil disaster, HomeAway.com set up the unique HomeAway Gulf Coast Response Center to fill a void left by major media and to help Gulf area vacation property owners through the lost income claims process, to provide insight from experts and to offer a forum for sharing concerns, stories and frustrations.
“Ten years ago vacation rental owners were on an island, but now it’s easy to get the support you need,” said Karpinski.
Buy now, beat the 2011 peak season rush.
The longer you wait to buy, the more likely mortgage rates and prices will rise and the good properties will be snatched up.
Buy now and you’ve got plenty of time to prepare yourself and your property for the peak rental season. Seasoned vacation property owners’ rental fees generated during the twelve weeks between Memorial Day and Labor Day pay their mortgages for an entire year. Most inquiries come in between January and March.
“By buying now, you will have a cushion of time to get the home ready for your guests, take great photos for your property listing, and start marketing it to potential renters,” said Karpinski.
10 Best Cities to Work Remotely
AOL’s Daily Finance looks at what it considers the top-10 best cities for working remotely.
The list reflects cities with more than 1 million people that offer educational resources, an abundance of public libraries, resources that encourage good health, low crime, and – in most cases – modest cost of living. Here are the winners:
1. Austin
2. Cincinnati
3. Atlanta
4. St. Louis
5. Cleveland
6. Pittsburgh
7. Charlotte, N.C.
8. Kansas City, Miss.
9. Nashville, Tenn.
10. Milwaukee, Wis.
Top 10 Tips for Selling Your Home During the Holidays
By FrontDoor.com | Published: 11/07/2008
The holiday season from November through January is often considered the worst time to put a home on the market. While the thought of selling your home during the winter months may dampen your holiday spirit, the season does have its advantages: holiday buyers tend to be more serious, and competition is less fierce with fewer homes being actively marketed. First, decide if you really need to sell, really. Once you’ve committed to the challenge, don your gay apparel and follow these tips from FrontDoor.
- Deck the halls, but don’t go overboard.
Homes often look their best during the holidays, but sellers should be careful not to overdo it on the decor. Adornments that are too large or too many can crowd your home and distract buyers. Also, avoid offending buyers by opting for general fall and winter decorations rather than items with religious themes.
Staging tips for the holidays - Hire a reliable real estate agent.
That means someone who will work hard for you and won’t disappear during Thanksgiving, Christmas or New Year’s. Ask your friends and family if they can recommend a listing agent who will go above and beyond to get your home sold. This will ease your stress and give you more time to enjoy the season.
How to choose a great listing agent - Seek out motivated buyers.
Anyone house hunting during the holidays must have a good reason for doing so. Work with your agent to target buyers on a deadline, including people relocating for jobs in your area, investors on tax deadlines, college students and staff, and military personnel, if you live near a military base.
Learn why selling during the holidays is not all bad - Price it to sell.
No matter what time of year, a home that’s priced low for the market will make buyers feel merry. Rather than gradually making small price reductions, many real estate agents advise sellers to slash their prices before putting a home on the market.
Price low to sell high - Make curb appeal a top priority.
When autumn rolls around and the trees start to lose their leaves, maintaining the exterior of your home becomes even more important. Bare trees equal a more exposed home, so touch up the paint, clean the gutters and spruce up the yard. Keep buyers’ safety in mind as well by making sure stairs and walkways are free of snow, ice and leaves.
Tips for winter curb appeal - Take top-notch real estate photos.
When the weather outside is frightful, homebuyers are likely to start their house hunt from the comfort of their homes by browsing listings on the Internet. Make a good first impression by offering lots of flattering, high-quality photos of your home. If possible, have a summer or spring photo of your home available so buyers can see how it looks year-round.
How to take better real estate photos - Create a video tour for the Web.
You’ll get less foot traffic during the holidays, thanks to inclement weather and vacation plans. But shooting a video tour and posting it on the Web may attract house hunters who don’t have time to physically see your home or would rather not drive in a snowstorm.
10 tips for filming your own home tour video - Give house hunters a place to escape from the cold.
Make your home feel cozy and inviting during showings by cranking up the heat, playing soft classical music and offering homemade holiday treats. When you encourage buyers to spend more time in your home, you also give them more time to admire its best features.
Attract buyers with an inviting atmosphere - Offer holiday cheer in the form of financing.
Bah, humbug! Lenders are scrooges these days, but if you’ve got the means, then why not offer a home loan to a serious buyer? You could get a good rate of return on your money.
Learn more about owner financing - Relax — the new year is just around the corner.
The holidays are stressful enough, with gifts to buy, dinners to prepare and relatives to entertain. Take a moment to remind yourself that if you don’t sell now, there’s always next year, which luckily is only a few days away.
Tips to ease your holiday selling stress
10 Expenses You Don’t Need
Confession: I hate to pay for parking. Unless it’s as hot as Iraq or raining cats and dogs, I will do whatever it takes to find a legal space on the street, preferably free. And I’m good at it. It mainly takes faith, patience and experience. Recently, I found a spot on Chicago’s North Avenue next to the famous Second City comedy club on a Saturday night, saving the $17 the building’s garage demanded — and the half-hour wait to climb the ramp after the show. I’ve done these kinds of things for years.
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In the spirit of trading personal convenience for cold cash that remains in your wallet, here are nine other everyday expenses you don’t need:
Banking Fees of All Sorts
Banking fees are generally small — a couple dollars here, a couple dollars there — but they can add up to hundreds throughout the year if you’re not careful. Don’t pay money just to manage your money. You can take easy steps to avoid these fees:
• Overdraft fees. Sign up for low-balance alerts via e-mail, and link your checking account to your savings account to move money as necessary to avoid $35 fees for insufficient funds.
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• Checks and postage. Pay your bills electronically instead. You’ll also avoid any late fees and black marks on your record if the postal service loses your payment.
• ATM fees. Know where your own bank’s ATMs are located, even in other states, so you can save $3 every time you get cash out of the wall. Or consider switching to a bank that offers free ATM usage regardless of which bank’s ATM you tap.
• Coin-counting commissions. Save the 5% it can cost you to cash in your nickels and quarters at the supermarket. Coin counting is gratis at hundreds of TD Bank branches in the Northeast, Mid-Atlantic and Florida, whether or not you have an account. (Just pray the machine, called Penny Arcade, isn’t down for service. That seems to happen a lot.)
Basic Investing Advice
There are plenty of wise reasons to engage a financial planner or adviser — but there are also pointless ones. If all you want is help choosing mutual funds, especially if your choices are basic index funds inside a retirement plan, it’s silly to fork over as much as 1.5% of your savings each year for someone to run a common software program to do this for you. You can arrange your money among different investments yourself or build a simple portfolio with little effort. Then rebalance every quarter or six months to restore your weightings.
By all means, get an excellent estate planner or an accountant when it’s time to think about taxes and bequests. But you don’t need help for everything.
Help Applying for Financial Aid
Commercial sites like FAFSA.com will help you complete and submit the important application for student aid for $79.99. But at the U.S. Department of Education’s site, www.fafsa.ed.gov, you can fill out the application for free — with all sorts of guidance on how to assemble the proper personal information.
Pet Care
Pet-sitting is big business these days, with brand names, franchises, uniforms, logos, and even lobbyists and consultants. But if your little guys are healthy, you can save the $50-a-day boarding fee while you’re on vacation by asking a responsible neighbor, friend or family member to feed, walk (if needed) and hang out for a bit with your cats and dogs — provided you volunteer to do the same when they’re away. Make sure your helper knows who your vet is, and, obviously, don’t be so informal if your animals have health problems that mean you should board them with the doctor.
Insurance on Rental Cars
The rental-car clerk will offer you a collision-damage waiver (sometimes called a loss-damage waiver), which can cost $10 to $20 per day. The CDW shields you if the rental car is damaged or stolen. But as long as the rental is for personal use and you have collision coverage in your own auto-insurance policy, you’re covered without the CDW (with the same deductibles that apply to your own car).
Your credit-card benefits supplement your auto coverage. Most cards will pick up your deductible, and premium cards offer beefier coverage. Keep in mind that credit-card protection doesn’t include liability. And if you’ve dropped comprehensive or collision coverage on your policy, the rental car will not be covered if it is stolen or damaged in an accident.
Credit Reports
Don’t fall for sites that offer “free” credit reports, which often end up enrolling you in expensive credit-monitoring programs that you usually don’t need. You can get a free copy of your credit report from each of the three credit bureaus (Experian, Equifax and TransUnion) once every 12 months at www.annualcreditreport.com. It’s a good idea to stagger your reports — getting a free one from each bureau every four months — to keep an eye on the status of your credit and spot potential ID theft throughout the year.
Warranties
The other day I bought the snazziest new Samsung smart phone from T-Mobile at the fair price of $249. The sales rep couldn’t let me go, however, without asking me to pay $125 more for insurance against me dropping the unit or otherwise ruining it. The cheaper electronics get, the less these warranties make sense. Same’s true with appliances. Now, if I could insure the suits I take to the dry cleaners — or the luggage the airlines throw around — we might have something to talk about.
Shipping for Online Shopping
At www.FreeShipping.org, you can find coupons and codes to secure free (or deeply discounted) mailing or delivery from hundreds of retailers. Some of these are constant offers as long as you make a minimum order. Others are occasional deals with a limited life. And if there’s no cost for mailing, you can’t get hit with that mysterious charge for “handling,” right?
Water
There are times you’ll pay anything for a cold bottle of premium H2O. If you’re driving through the desert, riding your bicycle on a hot day or dealing with grimy yellow stuff in your pipes, price is no object. Once while on vacation in Florida, a construction crew accidentally cut the water lines to our residence. Off to Wal-Mart it was — or we would’ve been unable to cook, wash or even make coffee for 12 hours. But why pay for bottled water all the time? Is it actually safer? Bottled-water makers aren’t required to test their water or make their test results public. And few brands reveal important details about the source of their water and what it contains. Heck, about 25% of bottled water actually comes from the same municipal sources that deliver water to your home.
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Complete List of Foreclosure/REO/Auction/Bank Owned Properties in Maine
Contact Brett Davis Real Estate for an updated list at (207) 846-0085.
Over 400 homes listed!!!
Some of the homes listed are in the following towns:
Cumberland – $125,000
Cape Elizabeth – Auction
Falmouth – $165,000
Freeport – Auction
New Gloucester – $114,900
Pownal – Auction
and MANY more!!!!!!!!
How To Roast Pumpkin Seeds
1. Rinse pumpkin seeds under cold water and pick out the pulp and strings. (This is easiest just after you’ve removed the seeds from the pumpkin, before the pulp has dried.)
2. Place the pumpkin seeds in a single layer on an oiled baking sheet, stirring to coat. If you prefer, omit the oil and coat with non-stick cooking spray.
3. Sprinkle with salt and bake at 325 degrees F until toasted, about 25 minutes, checking and stirring after 10 minutes.
4. Let cool and store in an air-tight contain
Bedbugs!!! An Itchy Subject..How To Avoid These Nasty Little Critters!
Bed bugs are small parasitic insects that subsist on human blood. Bed bugs typically feed late at night and hide in tiny cracks and crevices during the daytime. Their bites form small red welts similar to mosquito bites, sometimes in a distinctive linear pattern.
Bed bugs can show up anywhere there are people, including hotels, theaters, trains and buses, coatrooms, libraries, and many other public places. And they can easily hitch a ride home on clothing or bags.
While bed bugs do not spread disease, they can cause severe psychological distress.
The insects are fairly small, extremely flat, adept at hiding, and can make a home anywhere there are small cracks and crevices. They can also go for long periods of time without feeding. This cryptic behavior makes them difficult to get rid of.
Our resources page will help if you think you’ve been exposed to bed bugs, or would like to learn how to avoid them.
Over the past few years, a number of cities have reported an alarming rise in bed bug numbers, but there is still very little public awareness of the problem.
In addition to our resource page, you can read more about the bugs at the University of Kentucky’s informative site, and find out about how to deal with them in this primer on bed bug control.
The Bedbug Registry is a free, public database of bedbug sightings in the U.S. and Canada. We have about 20,000 bedbug reports dating back to 2006.
This site helps you check whether other people have encountered bedbugs at a hotel or in an apartment building so you can avoid them when you travel or rent.
The site FAQ explains how the site works in more detail.
Please read our posting guidelines before you submit a bedbug report.
Because our bedbug reports come directly from users, we can’t guarantee their accuracy. If you feel a location has been reported in error, you can file a dispute.
This site is administered by Maciej Cegłowski, a writer and computer programmer, as a way of getting vengeance against bedbugs after a traumatic experience in a San Francisco hotel.
Serious Questions Raised about the Validity of Foreclosures
In September and October 2010, several lenders suspended foreclosures in two dozen states due to questions about whether foreclosures were being processed consistent with applicable state law requirements. Concerns are being raised by state and federal elected officials, as well as consumer and fair housing groups, about the validity of ownership of mortgages that have been securitized and resold. At the center of the controversy is Mortgage Electronic Registration Systems (MERS). This firm is responsible for electronically tracking the transfer of assignment of mortgages. Class-action suits are being brought against MERS alleging that the use of the system circumvents state laws.
On October 1, 2010, Fannie Mae and Freddie Mac released statements regarding servicer compliance with foreclosure processing of Fannie and Freddie loans. In the releases, both organizations reiterated that servicers must comply with applicable state laws governing foreclosures. Although nearly all of the foreclosures in question are expected to be fixed eventually, the current situation is creating difficulties and a new hurdle to the recovery of the housing and mortgage markets. NAR members are reporting that upcoming sales have been delayed indefinitely or cancelled, to the detriment of all involved. Additionally, homes on the market without clear title will make sales much more difficult. While banking executives focus their attention on this problem, it is possible that servicers may be somewhat more receptive to approving loan modifications and short sales, since they avoid the foreclosure procedural problems altogether.
http://www.freddiemac.com/news/archives/corporate/2010/20101001_foreclosure.html
10 Reasons Why To Buy A Home This Year!!!
1. You can get a good deal. Especially if you play hardball. This is a buyer’s market. Most of the other buyers have now vanished, as the tax credits on purchases have just expired. We’re four to five years into the biggest housing bust in modern history. And prices have come down a long way– about 30% from their peak, according to Standard & Poor’s Case-Shiller Index, which tracks home prices in 20 big cities. Yes, it’s mixed. New York is only down 20%. Arizona has halved. Will prices fall further? Sure, they could. You’ll never catch the bottom. It doesn’t really matter so much in the long haul.
2. Mortgages are cheap. You can get a 30-year loan for around 4.3%. What’s not to like? These are the lowest rates on record. As recently as two years ago they were about 6.3%. That drop slashes your monthly repayment by a fifth. If inflation picks up, you won’t see these mortgage rates again in your lifetime. And if we get deflation, and rates fall further, you can refi.
3. You’ll save on taxes. You can deduct the mortgage interest from your income taxes. You can deduct your real estate taxes. And you’ll get a tax break on capital gains–if any–when you sell. Sure, you’ll need to do your math. You’ll only get the income tax break if you itemize your deductions, and many people may be better off taking the standard deduction instead. The breaks are more valuable the more you earn, and the bigger your mortgage. But many people will find that these tax breaks mean owning costs them less, often a lot less, than renting.
4. It’ll be yours. You can have the kitchen and bathrooms you want. You can move the walls, build an extension–zoning permitted–or paint everything bright orange. Few landlords are so indulgent; for renters, these types of changes are often impossible. You’ll feel better about your own place if you own it than if you rent. Many years ago, when I was working for a political campaign in England, I toured a working-class northern town. Mrs. Thatcher had just begun selling off public housing to the tenants. “You can tell the ones that have been bought,” said my local guide. “They’ve painted the front door. It’s the first thing people do when they buy.” It was a small sign that said something big.
5. You’ll get a better home. In many parts of the country it can be really hard to find a good rental. All the best places are sold as condos. Money talks. Once again, this is a case by case issue: In Miami right now there are so many vacant luxury condos that owners will rent them out for a fraction of the cost of owning. But few places are so favored. Generally speaking, if you want the best home in the best neighborhood, you’re better off buying.
6. It offers some inflation protection. No, it’s not perfect. But studies by Professor Karl “Chip” Case (of Case-Shiller), and others, suggest that over the long-term housing has tended to beat inflation by a couple of percentage points a year. That’s valuable inflation insurance, especially if you’re young and raising a family and thinking about the next 30 or 40 years. In the recent past, inflation-protected government bonds, or TIPS, offered an easier form of inflation insurance. But yields there have plummeted of late. That also makes homeownership look a little better by contrast.
7. It’s risk capital. No, your home isn’t the stock market and you shouldn’t view it as the way to get rich. But if the economy does surprise us all and start booming, sooner or later real estate prices will head up again, too. One lesson from the last few years is that stocks are incredibly hard for most normal people to own in large quantities–for practical as well as psychological reasons. Equity in a home is another way of linking part of your portfolio to the long-term growth of the economy–if it happens–and still managing to sleep at night.
8. It’s forced savings. If you can rent an apartment for $2,000 month instead of buying one for $2,400 a month, renting may make sense. But will you save that $400 for your future? A lot of people won’t. Most, I dare say. Once again, you have to do your math, but the part of your mortgage payment that goes to principal repayment isn’t a cost. You’re just paying yourself by building equity. As a forced monthly saving, it’s a good discipline.
9. There is a lot to choose from. There is a glut of homes in most of the country. The National Association of Realtors puts the current inventory at around 4 million homes. That’s below last year’s peak, but well above typical levels, and enough for about a year’s worth of sales. More keeping coming onto the market, too, as the banks slowly unload their inventory of unsold properties. That means great choice, as well as great prices.
10. Sooner or later, the market will clear. Demand and supply will meet. The population is forecast to grow by more than 100 million people over the next 40 years. That means maybe 40 million new households looking for homes. Meanwhile, this housing glut will work itself out. Many of the homes will be bought. But many more will simply be destroyed–either deliberately, or by inaction. This is already happening. Even two years ago, when I toured the housing slump in western Florida, I saw bankrupt condo developments that were fast becoming derelict. And, finally, a lot of the “glut” simply won’t matter: It’s concentrated in a few areas, like Florida and Nevada. Unless you live there, the glut won’t have any long-term impact on housing supply in your town.
50 South Casco Village Rd., Casco, ME | Powered by Postlets
House of the week at Brett Davis Real Estate!! Contact Brett Davis to view at 207-318-5874.
50 South Casco Village Rd., Casco, ME | Powered by Postlets.
Fall Decorating Tips
The classic, earthy colors associated with Fall decorations are an homage to Mother Nature herself. The burnt oranges, browns, and golden wheats are the colors we witness first-hand as the seasons change.
But the changes in color aren’t just for out of doors. These days, the most savvy of decorators bring the season inside.
How can you makeover your home for Fall?
Here are some simple ways to capture the spirit of the season, without turning off potential home buyers!
Changing Tablescapes:
When staging your home, your dining room does wonders for setting a mood. And in the Fall, that mood is magnified by family dinners and the holidays. To take advantage of the season, change up your tablescape.
The first step can be to change your tablecloth or runner to richer, more earthy tones. If you are a true do-it-yourselfer, you can find seasonal fabrics at your local fabric store. A runner is as simple as cutting a straight line and making neat edges!
Next, invest in gold or jewel color chargers that will accent your family china. A charger is simply the decorative “plate” that is used to dress up your dining table.
And finally, don’t be afraid to set a theme. Mini-pumpkins can be used to hold name-cards. Use the florals of the season, such as holly berries and decorate branches to create a festive centerpiece. And accent the table with beautiful leaves.
Scents:
Fall is a great time for warm, rich scents, such as apple-cinnamon, French Vanilla, and anything related to cookies or baked goods! Just keep them away from your dining table, so that their scent doesn’t overpower the tantalizing aroma of your home-cooked meal!
Welcome Wagon:
The first thing your buyer sees is your front door. So, make this space inviting. Use mats, wreaths, or a simple hanging cornucopia as a seasonal display.
Swap out Fabric:
It’s time to get cozy on the couch. Bring out your favorite throws, especially those in luxurious chenille or velvet! And don’t forget to add a cozy blanket to your guest rooms as well.
Fall colors are a fun way to welcome guests, so take advantage of the season!
BB&T Tops Customer Satisfaction Rankings
A study of customer satisfaction with mortgage servicers by J.D. Powers and Associates found — not surprisingly — that customers were more likely to be satisfied with the loan-origination process than they were with the loan-modification process.
Here are the rankings among servicers based on a 1,000-point scale:
• BB&T (Branch Banking & Trust), 795
• SunTrust Mortgage, 767
• U.S. Bank, 755
• Wells Fargo, 744
• Fifth Third Mortgage, 740
• Regions Mortgage, 740
• PHH Mortgage, 735
• MetLife Home Loans, 731
• CitiMortgage/Citibank, 730
• Flagstar Bank, 730
• GMAC, 726
• HSBC Mortgage Corp. (USA), 726
• Chase, 721
• Industry Average, 720
• PNC/National City Mortgage, 716
• Bank of America, 705
• Aurora Loan Services, 647
• OneWest, 619
• American Home Mortgage Servicing, 617
• Ocwen Loan Servicing, 551
5 Reasons Homeownership Trumps Renting
The seemingly endless run of bad housing news is discouraging some potential home buyers from considering a purchase. But the truth is that the advantages of homeownership have very little to do with investment gains. The best things about owning a home have a lot more to do with personal comfort and satisfaction.
Here are five of them:
· Be your own landlord. The bank can only kick you out if you don’t pay; a landlord can be much less dependable – deciding to sell the property or choosing to live there themselves.
· Paying the principal is forced savings. Yes, it’s possible that home prices will fall further. It is also possible that your 401(k) will lose value. But over the long haul, both are likely to enjoy modest gains in value.
· Fixed-rate mortgages never rise – and eventually you pay them off. With mortgage rates at record lows, people who buy now are locking in real bargains.
· Good schools. Family-sized rentals are harder to come by in areas with excellent public schools.
· Spacious properties in pleasant neighborhoods. Sizable homes in attractive communities are almost always owned – not rented.
