1. Know about exclusion to coverage. For example, most insurance policies do not cover flood or earthquake damage as a standard item. These types of coverage must be bought separately.
2. Know about dollar limitations on claims. Even if you are covered for risk, there may be a limit on how much the insurer will pay. For example, most policies limit the amount paid for stolen jewelry unless items are insured separately.
3. Know the replacement cost. If your home is destroyed you’ll receive money to replace it only to the maximum of your coverage; so be sure you insurance is sufficient. For example, if your home is insured for $150,000 and it costs $180,000 to replace it, you’ll only receive $150,000.
4. Know the actual cash value. If you chose not to replace your home when it was destroyed, you’ll receive replacement cost, less depreciation. This is called actual cash value.
5. Know the liability. Generally your homeowner’s insurance covers you for accidents that happen to other people on your property, including medical care, court costs, and awards by the court. However, there is usually an upper limit to the amount of coverage provided. Be sure that it’s sufficient if you have significant assets.

The Multiple Listing Service is an important part of the home-sale process. This database contains all of the homes for sale. Real estate agents use this tool to find homes for prospective buyers as well as list the homes of sellers. Once the house is part of the database, selling agents will show a copy to their sellers for review, explaining that this is what the public will see. The seller will proof for accuracy at that time as well.

However, sellers may find it wise to know how to optimize their listing. There are thousands of entries in the database and they all compete for the attention of active agents. Listings with certain elements–photography, complete information, and strong details–will attract more attention. More information provides the agent with a better understanding of the property and if it meets the clients’ needs. Photography and strong details will interest the buyers when they receive a copy of the MLS listing.

Since humans rely greatly on visual observation, photographs are an important part of the sale. A listing without pictures or with only a few will not attract as much consideration. This makes sense. The buyer wants to see the property, examine its tiled kitchen, explore its spacious bedrooms, and enjoy its lakefront view. This is to be someone’s home and they want to see as much as they can which usually comes in the form of the MLS listing. Those first impressions are crucial.

Thus, a seller should look at the kind of pictures in his or her listing. What story do these images tell? A picture cannot capture the lazy contentment experienced while resting on a deck and gazing into a span of green forest. Nor can it fully explain the warmth of watching a movie with family by the stone fireplace. Nevertheless, through this option the seller and agent should demonstrate the kinds of memories to be gained. A simple shot of the front of the house is unlikely to reveal the personality of the property and its capacity to be lived in.

Another area that can encourage a sale is the data provided in the General, Listing, Interior Features and Room Information sections. These sections are the nuts and bolts of the house; they are the details that let a buying agent know whether or not the property meets clients’ requirements. For instance, a wrap around deck might be a wonderful bonus, but the agent needs to know if there are three bedrooms or just two. In addition, these sections reveal what is beneath the carpets and if the home features extra storage space, views, garden space, or other unique features.

Again, the MLS entry is handled by the selling agent. But the seller will want to peruse the listing for accuracy. Trust is an important part of selling a home; all parties and their agents need to know that the information provided is correct. Purchasing a home is a big decision and it would be unfortunate for a prospective buyer to be disappointed by a minor typographical error in a listing. The entry should also be complete. Missing information could potentially make an agent wary of a property, as it may falsely contribute to questions at to whether it was the right property or not.

Adequate pictures and accurate, complete information improve a listing’s chances of success. One other way to do this is in the Remarks section. If the details and pictures have caught the eye of a searching agent, the Remarks section is another lure. The real estate agent can give words to the potential memories hinted at in the images. A balance must be struck in the Remarks section; there must be charming description and pertinent information. It is also a good area to include considerations that are not necessarily easily depicted in the rest of the listing. The overall possibility of the property can be remarked upon, such as the potential for a mother-in-law residence or possible financial gains after sweat equity.

All of the aforementioned items are suggestions that improve the attractiveness of a listing. With the right agent, a seller can know that these considerations are being handled. Please do not hesitate to contact Seattle Real Estate Association if you feel your listing is under-performing. We will ensure that your MLS entry has all of the important elements it needs to allow your property to be seen and sold.

Want to get familiar with the plethora of Real Estate terminology? Here are some commonly used terms to hopefully help define and clarify some meanings for you and to alleviate some confusion.

• Multiple Listing Service (MLS) – The MLS is an enormous database that organizes home that have been listed by real estate agents. The MLS acts as a portal for all licensed real estate agents to find and list homes for home buyers and home sellers.
• Real Estate Agent – A real estate agent is a real estate professional who’s job it is to make sure a person looking to buy a home, or a person looking to sell a home is represented.
• Seller’s Agent – A seller’s agent will make sure that information posted on the MLS is accurate and complete. He/she will ensure that images of the property or home are taken in a way that showcases the best aspects of a home in order to entice a potential buyer’s agent to view the home.
• Buyer’s Agent – A buyer’s agent represents a potential home buyer. The buyer’s agent will take into account the parameters set by the buyer and endeavor to find homes that meet the qualifications of the buyer. A buyer’s agent will work with and negotiate with the selling agent on the buyers behalf.
• Escrow – Escrow is money that is held by a third party, (usually an escrow agent) who works for both the lender and the borrower. The escrow agents role is to carry out instructions agreed upon by both parties. The money is released when all terms of the agreement are met.
• Lender – Any company or bank that provides money on loan to a borrower.
• Borrower – Any individual or group entity that contracts money from a lender.
• Equity – The market value of a real estate property less the amount of existing liens.
• Lien – A lien is a legal claim against an asset which is used to secure a loan and must be paid when the property is sold.
• Mortgage – A mortgage is a loan that is secured against a real property. Usually placed on a schedule of repayment.

If there are any more real estate related terms that you may want defined, please let us know.

Now that summer is nearing, the plants are starting to grow quickly. Seattle Public Utilities has asked that customers keep their meter accessible for their staff. This ensures that the meter reader can quickly and accurately record your usage. By doing this, it will help keep utility costs down, and maintain stable rates.

Here are some things you can do to help Seattle Public Utilities.

Trees, bushes and plantings

• Trim bushes, trees, and grass that block the way or cover the meter. During the growing season, plants can quickly overtake and block meters.
• Minimize plantings that are in the way of meters.

Pets

• Keep pets away from the area that leads to the meter.
• If you have a protective or guard dog, let Seattle Public Utilities know so that the meter staff is aware.
• It may be required to confine pets during the day that your meter will be read.

Objects in the way

• The meter staff needs to have access to the meter. If there are objects in the way such as garbage cans, construction equipment, or landscape tools and materials the meter reader won’t be able to access the meter.

Locked gates

• If you have a gate that you prefer to keep locked Seattle Public Utilities will often obtain keys from customers so that they’ll have access to the meter. As long as the lock is accessible from the exterior of the gate, this doesn’t present a problem.

Address

• Make sure your address is clearly visible and displayed on your residence.
• This also assists emergency personnel in finding your home quickly.

By making sure the above points are attended to should ensure accurate reading of meters. If you have further questions don’t hesitate to contact Seattle Public Utilities.

The after-tax season and the U.S. Census may bring out scam artists. Beware.

Tax refund Scams–Watch out for phony e-mail saying you’re eligible for a refund. According the IRS, the scam asks consumers to open an attachment or click on a link to a claim form. The form requires personal and financial information. Taxpayers do not need to complete a special form to obtain their federal tax refund, according to the IRS. Refunds are triggered by the tax return you submitted to the IRS.

U.S. Census: Scam artists may get in touch via phone, e-mail or in person in an effort to steal confidential information. A legitimate representative from the Census Bureau will never:

• Ask for your full social security number
• Ask for money or a donation
• Send requests on behalf of a political party
• Request PIN codes, passwords or similar access information for credit cards, banks or other financial accounts.

The Census Bureau also doesn’t conduct the Census via the Internet or send e-mails.

Why Own?

There are a number of benefits to owning your home. Primarily, the home is an investment and asset. Over time, the house’s value will appreciate. Appreciation can accommodate future investing such as a vacation home, education or retirement.

Paying a Mortgage Builds Equity

Equity is the difference between the current market value of your home compared to your mortgage loan balance. According to the amortization schedule, the longer you own your home, the more of your mortgage payment goes to pay the principle versus interest.

Great Tax Benefits

Owning your own home is a great tax shelter. You can deduct all interest paid on your Mortgage Loan on your tax return. Any first home buyer can fully deduct all loan related costs on their taxes.

Equity Loans

The interest rate for home equity loans can also be deductible versus over-priced credit card debt. Again, you can borrow against your home for home improvements, medical bills, starting a business or debt consolidation.

Capital Gains Exclusion

If you end up selling your home, as long as you’ve lived there for two of the past five years you can exclude up to $250,000 if you’re single or $500,000 if you’re married. This exclusion can be used every two years allowing you to be free from taxation on those monies.

Synopsis

You’re making an investment. Working to own your home seems to make the most sense for people looking for a place to live long term. Focusing on paying a loan off early means you won’t have to make such large interest payments. Investing in a home can afford you security, and peace of mind that your investment will appreciate, and you’ll have something you can call your own.

Taking time to prepare your home increases the homes desirability, provides a marketing edge, and ultimately results in taking less time to sell.

Below are some things a home seller can do to entice potential buyers to have a look at your house.

Before Buyers Come To Your Home

• Turn on all inside lights. Keep the inside clean, light, and bright. Turn on lights even during the day.
• At night, make sure all outside lights are on.
• Play soft music to give your home a welcoming atmosphere.
• Ensure that the temperature is kept at a comfortable 68-69 degrees.
• If you have pets, make sure they are kept in a separate area and clean litter boxes daily to prevent odors.
• Keep money, prescriptions, and other small valuables out of site or hidden.
• Keep shades and blinds open to allow the most light to come in.
• Open all doors inside the home except for closets.

During the Showing

• If the home owner is not in the home, the potential buyer will likely spend more time previewing it.
• If you can’t leave the home, have the children play outside or group them in front of the tv and watch quietly with the volume on low.
• If you are following or preceding a prospective buyer, you may make them feel uncomfortable, as if their presence is an intrusion.
• Let the agent show and sell the home.

By ensuring that potential buys have plenty of time to preview the home, you greatly increase your chances of making a great first impression which will generate a lot of interest from the buyer.

One of the most difficult aspects of selling a home is determining the selling price. Especially in this market there are a number of considerations that need to be reviewed.

Accurate Pricing Strategy

The pricing strategy that you choose to employ relies heavily on what the current market is like. In a buyer’s market, there are more homes available than there are buyers. This would cause home prices to be lower. In a seller’s market, there are more buyers than there are homes available. This causes home prices to rise. It’s supply and demand.

Once the house is on the market, a well priced home will sell. If a house is overpriced the majority of offers will be low offers that may not be considered, when in actuality, the low offers could be more accurate than the inflated price. A well-priced home will entice people to offer what the home is worth as they can see that the value represented in the price is accurate.

Pricing a home accurately maximizes your opportunity to reach the most potential buyers. Often, when qualified buyers are looking for a home the first thing they evaluate is the price. Before they consider any aspects of a home, they want to know how much they have to spend. When your home is marketed at a price that is similar to other comparable properties in the buyers price range, they will have the opportunity to view it.

Targeting the Right Buyer

A home receives it’s best exposure during it’s first several weeks on the market. Statistically, the longer a home spends on the market the lower the selling price. People will see that it’s been on the market for awhile and may start to assume there is something wrong with it, when in reality it’s the price that has kept it on the market so long. If your price is too low, you could lose thousands of dollars of one of the largest investments in our lifetime.

Let Your Agent Help You Price Your Home

With many years of experience a good agent will be able to accurately price your home and make sure the price represents the value. If you need help pricing your home, please don’t hesitate to contact us.

On the way to save your planet and your home.  . . . “green” investments can start with the obvious; a programmable thermostat, heating/HVAC system tune-up, energy efficient light bulbs and pressure regulated shower heads.  All of these are the beginning “investments” in your home that can be tax incentives.  See http://www.greenandsave.com/homecheckup/

A programmable thermostat can save between $200 to $500 annually for heating and or cooling costs.  The benefits of a programmable thermostat are that it’s cost effective, time saving , and provides convenience and comfort at the times you need them.

Heating/cooling system tune-ups can save money and up to 90% return on investment in the first year.  If your system is older than 15 to 20 years then consider replacing it with a high efficiency system or heat pump.

Pressure regulated shower heads and tank inserts can help to reduce water flow by 2.5 gallons per minute (GPM) to about 1.6 GPM.  That is up to a 40% savings of water required.  The new pressure regulated shower heads are state-of-the-art and have the similar feeling of a traditional shower head yet helps to reduce  wasted water.

GreenandSave.com offers links to reports, research, carbon counter, green job training and a forum for community involvement.  Their data is used for education and  curriculums by industries like the AIA (American Institute of Architects)and the National Association of REALTORS®(NAR).

When trying to determine whether or not you should buy a house you’ve been looking at, you will come across a point where you will need to have it inspected. The following will hopefully help you ask the questions that are important, and relative to what you need.

1. What are your qualifications? Are you a member of the American Society of Home Inspectors or National Association of Home Inspectors? It is very important to establish whether or not the inspector has credibility. The safest bet is to go with a inspector who is a member of the American Society of Home Inspectors or the National Association of Home Inspectors.
2. Do you have a current Washington State Home Inspector Licencse? While this may seem like an obvious question, when it comes to an accurate inspection, it is still worthwhile to ask.
3. How many inspections of properties such as this do you do each year? If they are not familiar with the type of home that you would like them to inspect, it may be better to look for an inspector who has experience with your type of home.
4. Do you have a list of past clients I can contact? Before you hire someone to inspect your home, always make sure they have a happy client base. Listening to what others have said about an inspector is often a good gage of how well they perform their job.
5. Do you carry professional errors and omission insurance? May I have a copy of the policy? If the inspector isn’t covered with insurance, then it would be difficult to hold them accountable for any mistakes made during inspection. It’s always a good idea to make sure that whoever you hire is licensed and bonded.
6. Do you provide any guarantees on your work? If an inspector can’t guarantee their work, it may be difficult to trust them to do the job right.
7. What specifically will the inspection cover? Always know what will be covered and inspected. Not knowing what is not the best way to ensure a quality inspection.
8. What type of report will I receive after the inspection? There would be little point to an inspection if there wasn’t documentation to define and outline what was inspected, as well as an explanation of the results. Don’t accept a sticky note that says “good to go” on it. Get the facts.
9. How long will the inspection take and how long will it take to recieve the report? Your time is important. Ensure that the process will be done efficiently, and with awareness of your time needs.
10. How much will the inspection cost? Agree upon cost before-hand.

There’s a good deal that you will need to ask the inspector, and hopefully, all these important questions will be answered to your satisfaction. Following the above questions will hopefully help you obtain a quality, efficiently done inspection, and will help you move forward on your potential new home.