My Home Tested Positive for Radon, Now What?

If you are selling or buying a home and a home inspection reveals it to be positive for Radon, fear not. Below are answers to common Radon questions.

What is Radon? Radon is a radioactive gas that is found in homes across the United States. In fact, 1 in 3 homes in Maine will likely have an elevated radon Level. Radon comes from the natural breakdown of uranium in soil, rock and water and it gets into the air we breathe. It moves up through the ground to the air above and into your home through cracks and other holes in the foundation. It can also show up in your well water. Any home, no matter the age, and regardless of how well sealed it may be -can test high for Radon.

What Risks are Associated with Radon? In 1998, a study was done on radon and lung cancer by the National Academy of Sciences. It found that approx. 12% of lung cancer deaths in the United States are linked to Radon. Radon is the second leading cause of death due to lung cancer in the Unites States.

How do I Test for Radon? Testing for Radon requires special equipment because you cannot see or smell radon. Its best to contact a registered Radon tester. Many home Inspectors can do this test for you. Maine law requires that the testing device be placed on the lowest livable level of the home. If you have a full basement that can finished as additional living space it should be placed there however if  you have a crawl space, the first floor should be tested. Test for Radon typically need to remain on site for 24-48 hours.  When testing a house, all windows and doors MUST remain closed.

What is Considered a High Radon Level? Radon test results are reported in picocuries per liter of air ( pCi/L) Maine recommends that your seek radon treatment if your home tests at 4 pCi/L or higher.

How do I Reduce the Level of Radon in my Home?  Lowering the Radon in your home will vary in cost depending upon how your home was built as well as other factors, however most homes can be fixed for approx $1,200 on average. The level on Radon in your home has no bearing on the cost of installing a mitigation system.   The most reliable, durable, and least expensive method for lowering Radon is to install a simple system using pipes and fans. This system is referred to as Sub-Slab Depressurization or Sub-Slab Suction. This system removes Radon gas from below the home before it can enter the home.

How do I Find Someone to Fix my Radon Problem? If you are living in Maine you can call 1-800-232-0842 or visit www.maineradiationcontrol.orgfor a list of registered Radon mitigators in your area.

What About Radon in My Water? If you home gets its water from a well, it is also a good idea to have your water tested for Radon. The Maine Bureau of Health recommends Radon concentrations in drinking water of 20,000 pCi/L or above to be reduced. Testing for Radon in your water is a different test then testing for Radon in the air and you must specifically ask your home inspector to do both tests.

Modern Day Baby Boom Bodes Well for Home Sales

I read an interesting article in  Realtor Magazine this month about  the new baby boom that the United States is currently experiencing and its potential effect on home sales. According to the article called “The New Baby Boom” by Robert Freedman, the US adds one person every 13 seconds. At the start of 2008 the country had almost 3 million more residents then it did at the start of 2007. The US birth rate is now the highest it’s been in more then 40 years. This is great news for the housing industry according to economists, because a new household formation is the first step toward home ownership. The population gains we are currently experiencing point to huge demand in the years to follow.

The article also cites immigrant households as having the highest home ownership rates of all demographic groups, that’s according to the Home-ownership Alliance. After an immigrant family has been in the country for 30 years, their rate of home ownership rises to just below 75 percent.  Economists believe that once consumer confidence returns to the housing market, sales will boom.

www.brettdavisrealtors.com

Updates That Add Value To Your Home

If you think your home needs a few updates before putting it on the market or you just want to make sure your improvements are a good investment, consider the following advise on upgrades.

Upgrades that Add Value

Kitchens:Today people are looking for larger kitchens with new appliances, quality counter-tops, and an open feel. A kitchen update is a great investment, just be sure to stick to the basics. Focus on new cabinets, sink, counter-tops, and flooring. Also add updated, quality appliances. Keep in mind that custom tile work and built in cappuccino makers may be a great luxury  but when you sell it won’t make much difference to the price.

Bathrooms:Updating a bathroom is another great idea. Buyers are often turned off by dated bathrooms. Freshen yours up with a new tub & shower, new vanity, and new flooring. Adding a second bathroom to your home can make a huge difference as there is nothing more essential to a family’s comfort.

Master Bedrooms: Master bedrooms have become a very sought after feature. If yours is ho-hum, try enlarging it, adding a bath, or a walk-in closet.

Decks & Patios: Outdoor living spaces can be a relatively inexpensive way to improve your home. Decks & Patios that are large enough for the family and entertaining are a big plus.

Renovating a Basement or Bonus Room: If you have an extra room above the garage or a large basement serving as storage space only, consider turning it into additional living space. If done properly it will be an excellent improvement. Just make sure you invest a reasonable amount of money into the project so that it doesn’t appear to be just an old basement posing as a family room.

Curb Appeal– A little updating on the exterior of your home can greatly enhance it’s appeal . Fresh exterior paint, a green manicured lawn, and nice landscaping will draw a buyer to your home. The outside of the home is the first thing a buyer will see when they drive by or see your ad. Keep in mind that elaborate and expensive landscaping will generally not add value.

Home Improvements that may not add Value

Custom Design-You may have always dreamed of a wine cellar, or a built in 300 ft aquarium, but a future home buyer may not be interested. Try to think of improvements that are universally appealing and useful.

Fancy Technology-While having a home movie theatre, or hi-fi stereo system running through the entire house, may be very enjoyable, these items tend to become out-dated very quickly.

Swimming Pools- Swimming pools rarely add value to a home and in some cases they can actually decrease the value of your home. This is because home buyers only see the maintenance cost and liability of owning them.

What is most important to consider when deciding on what home improvements to make is the neighborhood in which you live. What is standard for where you live? You may live in a very high end community where everyone has a pool and custom work galore. In these cases its OK to splurge. However, if you’re in an average home try to stick to the basics. If you’ve gone over board in a neighborhood of lesser quality homes you will not get a return on your investment.

www.brettdavisrealtors.com

How To Sell Your Home Fast! 5 mistakes anxious sellers make.

Need to sell your home quickly?? Want to make sure you get the most money you can for your home? Follow these tips from Barbara Corcoran of the Today Show to sell quickly & get the highest sticker price in a slowing housing market.

5 Mistakes Homeowners Make

1) Making Small Price Reductions Again & Again

The longer a home is on the market the more of a stigma it will have. Dropping the price  frequently by small amounts makes the offer appear even weaker. A home that’s been on the market for a long time with many price reductions will give a buyer the impression that a lot of people have seen and then rejected it. Therefore why bother going to look at it?

The best thing to do in this situation is to slash the price. Find out what similar properties on the market are going for and price yours below theirs. The most enticing homes on the market are the newest and the cheapest. If you can be both your house will sell in no time.

2) Hiring The Wrong Broker:You want a broker who is enthusiastic and professional. In real estate the top selling agents (about 10%) do 90% of the all the business. Make sure your broker  keeps in touch with you and is easily accessible.

3) Waiting It Out: If you decide to wait, you are joining the thousands of other homeowners who have also decided to wait. When a few decide it’s time to take the plunge, you are already too late. If you need/want to sell now, then sell now. There will never be a better time.

4) Showing Your House Before You Get Rid Of The Clutter:  Just as you wouldn’t try to sell your car without cleaning it out first, you shouldn’t sell your house without de-cluttering. A buyer doesn’t want to see your house, they want to see their future house! Find a temporary place for your personal items and let people get a real look at your home.

5) Not Taking The First Bid:Often times when a buyer gets an early bid on their home they get excited & filled with confidence that another, better offer is just around the corner. Unfortunately this is not always the case and you can be left with no bids at all. The longer you home sits the more value it will loose, so work with those early bids!

www.brettdavisrealtors.com

Your Credit Score And What it Means to You as a Prospective Homebuyer

The following information was provided by the Mortgage Office in Yarmouth Maine

Today your credit score is more important then ever for becoming qualified for a loan and getting a good rate.

Credit scores predicts the likelihood of a consumer paying off debt without being more than 90 days late at any time. Scores can range from a low of 350 to a high of 850, where higher is better. Unfortunately, one out of eight prospective home buyers may not qualify for the loan they want because their score falls below 620.

Excellent Score                        Greater than 760

Good Score                                 720-760

Average Score                            680-720

Reason for Concern                   620-680

Reason for Great Concern       Under 620

Credit score is a computerized calculation. Personal factors are not taken into consideration. It is merely a snapshot of today’s credit profile for any given borrower, and it can fluctuate dramatically.

Factors of Credit Scoring:

1) Payment History-35% Impact:

Paying debt on time and in full has the greatest positive impact on your score. Missing a high payment will have a more severe impact then missing a low payment, and delinquencies in the past two years carry more weight then older ones.

2) Outstanding Balances- 30% Impact

This factor calculates the ratio between outstanding balance and available credit limit on revolving debt (credit cards, home equity loans. )Ideally, keep the open balance at less than 40% of the credit limit on all accounts.

3) Credit History- 15% Impact

This portion indicates the length of time since a particular credit line was established. the longer the account has been open, the better.

4) Type of Credit-10% Impact

A mix of auto loans, credit cards and mortgages is more positive than a concentration of debt from credit cards only.

5) Inquiries-10% Impact

Each inquiry can cost from 2 to 25points on a credit score. However, 10 inquiries within a six-month period is the most that are counted- additional hits have no impact. If you runa  credit report on yourself from the on-line sources, it will have no affect on your score.

How Do Lenders View Your Score?

Lenders estimate your ability to pay back a loan based on your credit score. The risk factor they take on is built in to your interest rate, so a low credit score results in a higher interest rate. The underwriter who is making the decision on your loan is looking at scores from all three credit bureaus, and will use the middle score as a barometer.

Credit Remediation: If you would prefer to work with a credit repair service, call an mortgage broker who can refer you to a reputable agency.

Your best solution is to review your report and correct errors directly with the credit bureaus.

Do’s and Don’ts

When you apply for a mortgage, a credit report is run fro the underwriter. you should not do anything that will have an adverse affect on your credit score while your loan is in process.

-DON’T APPLY FOR NEW CREDIT OF ANY KIND , no new car, credit cards, store accounts, or anything!

-DON”T PAY OFF COLLECTIONS OR CHARGE-OFFS generally, paying off an old collection causes a drop in the credit score, as it makes the negative information current. Resolve these accounts after the closing.

-DON’T CLOSE CREDIT CARD ACCOUNTS- this will affect your ratio of debt to available credit, which will lower your score.

-DON’T MAX OUT OR OVER CHARGE EXISTING CREDIT CARDS- running up your credit cards is the fastest way to bring your score down, and it could drop up to 100 points quickly!

-DON’T CONSOLIDATE DEBT TO ONE OR TWO CARDS- once again, this will change your ratio of debt to available credit. It will also create red flag new accounts.

-DO STAY CURRENT ON EXISTING ACCOUNTS- late payments on your existing mortgage, car payment, or anything else can cost you dearly. One 30-day late payment can cost anywhere from 30-75 points on your credit score.

www.brettdavisrealtors.com

Reasons To Hire a Buyer’s Agent

 

If you’re thinking about buying a home, you may be wondering whether or not you should hire a Buyer’s Agent. Buying a home is one of the biggest financial decisions you’ll have to make, are you sure you’re ready to handle the transaction on your own? Below are some great reasons to hire a Buyer’s Agent.

Purchasing a home is a big decision. The average person spends around 1/3 of their income on their home.  When Buyers attempt to “go at it alone” they risk the possibility of making mistakes. A good Buyer’s Agent can mean the difference between a wonderful transaction, and a nightmare.

Access to the Multiple Listing Service (MLS)

The MLS is a powerful resource that all Realtors have access to.  It’s a database of homes and represents approx.  99% of the homes for sale in any given market. The MLS has  evolved into a very precise search engine that allows an agent to enter in search criteria to produce the homes that match those specific parameters. While its true that buyers can use real estate search engines, the information they provide is minimal to what the MLS has and the criteria used for searching is minimal in comparison.

Your Time in Important to You

While driving through neighborhoods is an one way of deciding which locations you prefer, its not very time efficient. Gas prices are going up, and how much time do you really have to spend? A Buyer’s Agent can ask questions to find out what it is you’re looking for and then provide you with a list of homes that are the best match. A buyer’s agent has significant experience finding homes for buyers, and they can help narrow down your choices.

Your Very Own Advocate

Listing Agents have a legally binding agreement with their sellers that require them to have the seller’s best interests in mind at all times. This means, that they have no interest in helping you get a good deal. However, a buyer’s agent is there to help you and only you in the transaction. With a buyer’s agent on your side, you have someone who will make sure you’re getting a fair price, guide you, and advise through the entire transaction.

Negotiating

A Buyer’s Agent can provide you with a Comparable Market Analysis using the MLS’s stored sales data. With this in hand they can help you make an offer that is supported by firm, clear data- allowing you to get the best price possible.

 Experience

How many homes have you purchased? The average person owns 3-5 homes in their lifetime. A Realtor helps with the purchase of 3-5+ homes every month! They have the experience to know what can go wrong, and how to make things go right. Things that may be a deal breaker to the un-represented buyer can actually be dealt with and overcome with an experienced Realtor assisting.

Contacts

There are a lot of people involved in the purchasing process and your Realtor knows who will do the best job. Whether it’s a loan officer, home inspector, title company, or appraiser, your Realtor will put you in touch with someone they trust the transaction with. This is vital for a smooth transaction.  

 They Will Put you at Ease

Purchasing a home is one of the biggest financial decisions you will every make. Knowing you have someone who is looking out for your best interests and is prepared to handle whatever arises can help you sleep easy at night.

10 Steps to Prepare Your Home for Sale

In a challenging market where home inventory has increased by 100% in just 3 years, getting your home in tip top shape is increasingly important. Your goal should be to make your home appealing to a wide range of shoppers. Follow these 10 simple steps to beat out the competition:

1) De-Clutter     

                                 

                                                                                    

 Pack up all your knickknacks! You may love them but a buyer probably won’t.                 Keep your kitchen counters clean! All bills and receipts should be tucked away in a drawer.                                                                                                                                            Put any personal products you ususally keep on the bathroom counter neatly hidden away under the sink or in a closet.

2) De-Personalize

Limit the amount of family photos hanging on your walls and take down any animal heads you may have mounted

3) Rearrange Bedroom Closets & Kitchen Cabinets

Buyers & agents love to snoop. If all closets & cabinets are organized and neat,  it sends a message to the buyer that you probably take good care of the rest of the home as well.     Some things to consider: hang shirts together all facing the same direction, line up shoes, neatly stack dishes & glasses.  Also, you want a buyer to think that you have plenty of storage, so toss out anything that you don’t need to free up space.

4) Rent a Storage Unit

     

Almost every home shows better with less furniture. Rooms should be clearly defined with just enough furniture for buyers to know it’s purpose. You don’t want home-buyers scratching their head wondering “What is this room used for?” Less furniture will also make the rooms appear larger.

5) Remove & Replace Things You Intend to Keep

If you have a special chandelier hanging over your dining room table or a wood-stove that was once your great grandmother’s, remove it now! If the buyers don’t see it, they won’t want it. Doing this can save you from numerous problems that can arise after the home goes under contract.

6) Make Minor Repairs

Patch holes in walls, fix leaky faucets,  and adjust doors & cabinets so they close properly. Replace burned out light bulbs, & consider a fresh coat of paint, especially if a room has  a mural.

7) Make the House Sparkle

   

Wash the windows inside and out, clean any cobwebs hiding in the corners of the ceiling, re-caulk tubs, showers & sinks, polish chrome faucets & mirrors, keep the appliances clean and dust all surfaces. Odors are a big No No so clean your cat box on a regular basis, take out the trash often, and fa-breeze the furniture your pets love most. Sellers may not even realize there’s a smell if they’ve gotten used to it themselves.

9) Be Objective

Take a look at every room & imagine how your home will look to a prospective buyer. Try to take the emotions out of it and ask yourself, is this home really worth what I’m asking? How does it compare to other homes on the market right now?

10) Curb appeal

This is the most important part of selling your home!  If you can’t get a buyer into your home you’ll have 0% chance of selling it. Keep the sidewalks & walkways cleared, mow the lawn, trim the bushes, paint faded window trim & siding, plant flowers and make sure your exterior lights are working for early evening drive-bys or showings.

Staging your home can make all the difference in the time your home is on the market and the price you’ll actually get. If your not quite sure where to begin, consider hiring a professional.

We Recommend: Home Charmers’s Kristin McClellan. Check out her website: www.HomeCharmers.net  or give her a call at 207-899-1239.