Interior Design: The Craftsman-Style Home

by Alane Jewel

 

There’s so much to love about the Craftsman-style home. The handcrafted stone and woodwork perfectly combined with other natural elements. The large front porches supported with beautiful columns and covered by low-pitched, often gabled roofs and impressive overhanging eves. The attention to detail combined with the feeling of a quintessential, cozy bungalow. The unique beauty of these homes is carried throughout the interior as well, proudly displaying the workmanship involved.

Craftsman Dining Room by Silver Spring Architects & Designers Gardner Mohr Architects LLC

Traditional Architectural Features & Color Palettes

The colors seen in Craftsman-style homes tend to complement the natural surroundings of their locale. Warm, earthy tones are quite popular for base colors, especially shades of beige, brown or green. Accent colors in red, orange and gold are often added to warm up a living space, and cooler colors such as grey or blue may be added to rooms where an abundance of natural light filters through. Colors are carefully chosen to coincide with natural elements while creating balance and harmony in the home.

Natural design elements including stone and wood are proudly exhibited throughout the home as well. Open floor plans effortlessly show off the rich, exposed wood beams, rafters and columns that are reminiscent of the arts and crafts home. Beautifully finished wood floors, trim, molding and wall paneling are typical, as are built-in features such as bookshelves, cabinetry or window seating. In the modern Craftsman home, woodwork may be stained or painted.

Flooring

Natural elements are most prominent when it comes to flooring. Beautifully stained wood floors enhance the craftsmanship of the other wood details in the home. Natural stone can also be an option as well as a variety of tile selections, such as terra cotta. Mosaic tiles are common but seen more in smaller spaces, such as entries or as an accent detail in traditional fireplace design or even countertops and bathrooms.

Windows and Lighting

There is often ample natural light in the traditional Craftsman home due to many large windows. It’s not uncommon to see these windows left undressed. However, simple drapery ensembles such as panels or sheers comprised of natural fibers can be used. Basic valences are also popular and still showcase the craftsmanship of the window design.

Stained glass has been beautifully incorporated into many traditional Craftsman homes in windows as well as wood accent pieces, such as built-in cabinets. When choosing light fixtures, consider stained glass as an option for both table lamps as well as hanging fixtures. They add amazing warmth to a space and are very complementary to the rich wood features prevalent in these homes.

Furnishings and Décor

Remember to consider natural materials when choosing interior décor to coincide with the arts and crafts philosophy. Typical craftsman furniture has defined, straight lines and is often made of wood adorned with natural fibers. Colored glass accents such as end tables are also commonly seen and further enhance the organic character of the home.

As a whole, décor in a Craftsman home should remain simple in order to not detract from the intricate workmanship already incorporated into the home. Standout pieces of pottery or vases make great accents, and large pieces of wall art including mirrors, framed art or canvasses are fantastic in moderation.

As you furnish your Craftsman-style home, remember that you are enhancing a handcrafted work of art to create your own one-of-a-kind, cozy bungalow.

Credit Set to Tighten Mid-November

by Jason Van Steenwyk

Credit for many homebuyers is about to get substantially tighter, come November 16.

No, it has nothing to do with the debt ceiling or the government shutdown or event the Federal Reserve. In this case, it’s a long-scheduled program changeover at Fannie Mae, which is planning to change the code on the “Desktop Underwriter” program. This is the computer software program lenders frequently use in the field to ensure their underwriting is on the same sheet as Fannie Mae’s.

What’s changing? Well, the minimum down payment for Fannie-compliant loans is going up – by 66 percent! That’s the net effect of the planned increase in minimum down payments, which is scheduled to increase from 3 percent to 5 percent.

 

That means buyers looking to own a $200,000 home are going to have to cough up an extra $4,000 down – the difference between a $6,000 down payment and a $10,000 down payment required at that price.

 

To avoid the increased down payment requirement, get those applications in by November 16! Or be prepared to come up with the upfront cash.

Other projected changes include a change in the maximum life of the loan written in the software. The new software will support a maximum life of loan (LOL!) of 30 years. Previously, the DU software allowed underwriters to plug in loan terms of up to 40 years.

The interest-only option – rarely used in recent years after having left lenders with a bad taste in their mouths thanks to overuse during the boom (read: lousy underwriting.) is also disappearing from the DU interface. Getting a Fannie-backed interest-only loan isn’t even on the radar screen anymore.

Fannie Mae is also tightening up the DTI calculations it applies to applicants for adjustable rate mortgages.

On the other hand, Fannie Mae is also cutting some borrowers some slack come November. Effective as of the November 16 update, Fannie Mae’s DU program will no longer automatically reject borrowers who had sold a previous home via a short sale. This was important because according to data from the National Association of Realtors®, 23 percent of agents reported working with buyers who had experienced a foreclosure or short salesince 2005. Nearly half of these agents – 46 percent – reported that these buyers could not obtain financing – usually (65 percent) as a result of the previous foreclosure or short-sale.

Furthermore, some of the rules regarding reestablishment of credit after a foreclosure or bankruptcy are being relaxed.

The change comes on the heels of tightening of FHA requirements earlier this year. The Federal Housing Administration made mortgage insurance premiums payable for the entire life of the loan, rather than shutting off when home equity reaches 22 percent – a rule that made FHA borrowing much more expensive over the life of the loan. The FHA also raised its fees,which effectively negate much of the benefit of having a low 3.5 percent down payment. The premium for mortgage insurance was also jacked up as well, from 1.25 to 1.35 percent for loans up to $635,000.

In addition, FHA made things more difficult for borrowers with FICO scores below 620.

Put the two together, and between FHA and Fannie Mae, the two giant institutions are working to choke off a substantial amount of demand from the housing market.

For the moment, we can afford it – largely because of the intense interest in residential real estate on the part of institutional investors. But the changes are bound to have an effect. We’re seeing it already in the decline of first-time buyers as a percentage of home purchases. While first-time homebuyers by definition don’t benefit from the loosening of credit for those with a previous foreclosure or short sale, they are most directly affected by the increases in down payment requirements. They are younger, on average, and have had little time to save up big down payments. Their biggest asset is time, along with their future earning potential over their working lives. The increases in down payment requirements hit this group right between the eyes.

In contrast, institutional investors generally pay with cash, or get financing from another source.

Deals are getting tighter, as well, as distressed home sales are declining sharply. As of August 2013, distressed sales, defined as the combined sales of foreclosed and short-sale properties were around 12 percent. That’s way down from early 2011 numbers, which neared 40 percent of all sales. Tightening requirements and jacking up fees now that we have a more healthy housing market is one way we have of replenishing capital reserves at mortgage insurance firms and lenders while cooling off demand a bit. Unfortunately, the cooling off of demand is concentrated in the starter-home market.

Preventing and Thawing Frozen Water Pipes

by Karie Fay

Water always expands as it freezes. For some homeowners, this spells trouble come winter. Temperatures drop, water pipes get cold enough to freeze, the water inside expands in the process – and a pipe bursts.

Taking steps now – before anything happens – allows you to avoid the hassle and mess frozen pipes create. If, however, you caught the problem too late and your pipes have already frozen, try thawing the pipes as soon as possible. Knowing how to prevent the problem and what to do if the worst happens will arm you with all the information you need to handle the situation properly.

Is Your Home at Risk?
In colder climates, homebuilders generally enclose water pipes inside the house’s insulation to protect them from extreme cold. Unfortunately, that’s not always enough. If temperatures drop low enough or a problem exists that allows cold air to reach the pipes, it can lead to a burst pipe. Cracks, holes, gaps or inadequate insulation can still lead to frozen pipes.

Homes in southern climates are more vulnerable than their northern neighbors due to the tendency to run pipes outside the building insulation, often in unheated crawlspaces and similar areas. Residents are less likely to be conscious of the problem, and the conditions under which their pipes are likely to freeze only happen a time or two each year, so it has likely never been an issue before … until it happens.

When is it Cold Enough for Pipes to Freeze?

Since plumbing pipes typically run inside the building envelope in colder climates, it usually takes colder outdoor temperatures to freeze. In more moderate regions, the “temperature alert threshold” is 20 degrees Fahrenheit, in contrast to about zero degrees F the cooler regions.

Temperature isn’t the only factor, however. Wind chill – the perceived temperature that results from the combination of temperature and moving air or wind speed – can accelerate freezing water or penetrate deeper into the home than air that is frigid but still. The pipe location also plays a role: A pipe running through the ceiling of an un-insulated basement, for example, would require colder temperatures to freeze completely than a pipe running along an outside wall in the same basement.

Which Pipes are Most Vulnerable to Freezing?

While any pipe or plumbing accessory can freeze, some are more likely to experience problems than others. Pay particular attention to these pipes and locations while performing preventative measures to protect them.

• 
  Outdoor hose bibs – In the fall while temperatures are still mild, detach any water hoses or accessories. Drain water from the hose, coil and store in a safe place. Next, turn off the water supply to the hose bib if possible. Many homes have a shut-off valve that controls only the outside faucet. Look in the basement or wherever the water first enters the home, from which point it routes throughout the house in various pipes. Turn on the bib outside and allow any remaining water to drain out.
  
  If you’re able to stop the water to the outdoor faucet, allow the bib to remain open until warmer temperatures in spring. This ensures that any water present in the pipe won’t expand and break it. If you’re unable to turn the water supply off, fit the bib with an insulated cover.

• 
  Swimming Pool and Water Sprinkler Lines – Before cold weather hits late in the fall, drain the water from your supply lines leading to the pool, sprinkler system or other item. Follow the manufacturer’s instructions for best results. Do not flush or fill the lines with automotive antifreeze.

• 
  Crawlspaces, Attics and Other Unheated Areas – Even if the pipes are in an insulated area, if there’s no heat, they could get cold enough to freeze and burst. Insulate pipes running through un-insulated or unheated areas, both hot and cold water pipes. (Hot water pipes can also freeze if they stand long enough in cold enough weather.) Make a habit of looking over your pipes every autumn to ensure the insulation in good shape.

• 
  Pipes Running Along Exterior Walls – Any air penetration in a wall, or a poorly insulated wall, leaves your plumbing lines vulnerable to freezing temperatures. Not only is this a hazard during winter weather, it also means higher heating and cooling bills due to air leaks and lack of insulation. So while insulating pipes in these areas makes good sense to prevent them from freezing, the wise choice is to seal and insulate the walls whenever possible. Expanding foam insulation is an excellent choice for sealing larger gaps or filling in around door and window framing. Other winterizing and weatherproofing measures will ensure you save energy while also protecting your water pipes.

When Frigid Temperatures Strike

Even in the coldest, most miserable weather, you can further protect your plumbing by taking a few additional steps. Even if you’re not home at the time, you can still protect your pipes.

• 
  Turn on your faucets. Probably the single most important preventative action during a subfreezing spell is to turn on a faucet – or one faucet per water line. It doesn’t have to be much: Even a slow trickle of water ensures the water remains flowing, and flowing water freezes with more difficulty.

• 
  Open Doors. Underneath kitchen and bathroom sinks, inside cabinets, the temperature can be much lower than in the room. Open up the doors to allow air to circulate. This also applies to bathroom doors or any room in which you have a faucet or water-filled appliance. Keep the doors open to help battle frozen plumbing lines.

• 
  Close up the garage. If you have water lines running through your garage, keeping the garage doors shut helps keep the temperature and wind chill higher.

• 
  Raise your thermostat. Keep your thermostat setting a little higher when the temperatures drop below freezing. If you normally lower the temperature at night, leave it at the daytime setting. If you have a high-efficiency home that’s super-insulated, this may not be necessary.

• 
  Prepare for an absence. If you will be away from home for an extended period of time, plan for your pipes. First, keep your thermostat set at a minimum of 55 degrees F. This will prevent the inside temperature from plummeting into the danger zone.

• 
  Ask someone you trust to visit daily. Have them flush the toilet, run a couple of faucets, and look around to ensure your pipes are fine.

• 
  Consider draining your water system. If you can’t have someone come by your house, this is another option. Shut off the water supply and drain the lines and fixtures. An empty pipe will not burst.

How Do I Turn Off My Water Supply?

Typically, residential water has two main water shut-off valves: The first, called a corporation stop, is underneath the street. You will find the second near the water meter. Depending on your location, this may be on the side of your home, buried in the ground near the street, in your basement, or another location readily accessible to you. You probably have other shut-offs on the lines leading to the fixture.

When Pipes Freeze

What you need to do to treat a frozen pipe varies depending on whether it’s simply frozen – a pain, but not a tragedy – or whether it burst and possibly caused water damage in your home. The sooner you recognize the problem and take action the better. A pipe with a 1/8-inch crack will spray up to 250 gallons in 24 hours, reports Goodfellow Air Force Base. At that point you don’t simply need a plumber to replace the plumbing, you also have a flood on your hands. Floors, walls, furniture, personal items – all can be destroyed in the process. Then there’s the mold that can quickly start to grow. While burst pipes make the problem obvious, if you’re lucky, you’ll find out before an eruption. You’ll turn on a faucet and nothing will flow. That’s when you’ll know a pipe’s frozen.

• 
  Turn off the water. If you can’t access your home’s water shut-off valve, call the local water company and ask for emergency service.

• 
  Open your faucets. Not only does this help relieve pressure in conjunction with shutting off the water source, it also gives soon-to-be-melted water a place to go. It also encourages the ice to melt.

• 
  Turn off your water heater. Allowing an empty water heater to run is damaging, and your water supply may be off for quite some time.

• 
  Start thawing your pipes. You have several options when it comes to thawing your plumbing lines. The only option you don’t have is to wait, doing nothing. Time is of the essence – the longer the ice sits undisturbed, the more likely the pipe will break, if it hasn’t already. Even if you’re dealing with a flood inside your home, you can work to melt the ice at the same time.

How to Thaw Frozen Water Pipes

Choose the methods that work best for you. If you try your faucet and it still appears clogged with ice, be patient. De-icing your water lines may take longer than you expect. Most important, never hurry the process by using unsafe methods. Open flames and extremely high temperatures such as blowtorches, charcoal stoves and kerosene or propane heaters are dangerous. Using them on frozen pipes may result in melting plastic pipes, boiling the water inside and causing an explosion, igniting fumes or worse. Also, to prevent shock, never stand in water while handling any electrical item.

• 
  Turn up the temperature. Raise the temperature inside your home. Open doors and use fans as necessary to direct warm air into the room or area containing the frozen pipe.

• 
  Use a space heater. Be especially cautious if using a space heater inside the home. Keep the heater at least 3 feet away from the pipe and any surrounding materials. Observe during use.

• 
  Wrap the frozen pipe with a heating pad. Use an electric model or use your imagination. A towel, heated in the microwave and wrapped around the pipe will work, as will towels soaked in hot water (just make sure you don’t allow it to freeze to the pipe).

• 
  Turn on the hair dryer. Directing the heat at the pipe from a distance of about 6 to 8 inches away. Give the hair dryer breaks to prevent overheating.

• 
  Use electric pipe heating tape. Available at home improvement stores, it will thaw the ice safely.

• 
  Call a plumber. Licensed plumbers have a special tool that melts the ice via an electrical charge.

Help! My Drain is Frozen!

If you’re dealing with a frozen drainpipe, try the same methods as those mentioned above. Alternatively, try pouring very hot water down the drainpipe. Do it slowly to prevent an overflow. A snake may knock the ice free in some instances. Goodfellow Air Force Base advises you can even attach a section of rubber tubing to a kettle’s spout, insert the other end into the drain, and allow water to boil, creating steam. The steam will gradually melt the ice. At least, that’s how the GIs do it!

Retirement Planning: Will Owning A Home Help You Retire?

There was a time when nobody had doubts about the value of owning a home. It was considered an incredible long-term investment and ideal for retirement. Today we know that real estate isn’t as safe as we once thought it was, at least as a short-term investment, and Americans, young and old, are leery of sinking their life savings into a home as an investment. Knowing this, will owning a home help you retire? That depends on a number of factors, including when you purchase the home.

If you buy the home in advance of retirement, when you have the time to build equity, then yes, the home may help you retire. If you are thinking of buying your first home in retirement, there could be problems.

Timing

Ideally, a home purchased to help you financially during retirement is one that will be paid off by the time you bring in the shingle. Unfortunately, that doesn’t happen for many homeowners. Forbes.com claims that although almost half of Americans aged 50 to 70 say they plan on using their home’s equity to fund their retirement, 37 percent of them are not anywhere near having their mortgages paid off.

That’s OK, though, according to Sydney Lagier, former certified public accountant. “With interest rates so low right now,” she says, “a mortgage can be an excellent hedge against inflation.”

Lagier claims that inflation is expected to soar in the near future, eroding the worth of today’s dollar. While this hurts those with savings and investments, it does the opposite with debt.

“A mortgage enables you to lock in today’s home price, but pay for it with tomorrow’s inflated dollars,” Lagier claims.

If inflation is a concern, Lagier suggests taking the money that you would have used to pay off the mortgage prior to retirement and investing it in Treasury Inflation-Protected Securities.

Reverse Mortgage

If you have paid off the mortgage, or at least a significant chunk of it, pre-retirement, there’s always the reverse mortgage to fall back on should you need to tap your equity. Of course, you won’t realize as much as you would were you to sell the home, but it’s “money you get to use while you are alive and pay back when you’re dead,” according to Lagier.

Offered to Americans 62 years of age or older, the reverse mortgage doesn’t come without risks. Although you won’t be making house payments, you’ll still be required to keep up the property tax payments, HOA fees, and homeowners insurance. Default on any of those and you risk foreclosure. Which is why, according to Lagier, the reverse mortgage is considered a “loan of last resort.”

Income Property

Many experts claim that the purchase of income property is a far better retirement investment than depending on being able to tap into your primary home’s equity. This investment property could even be your retirement home, rented out until you stop working.

The best time to buy this home is at least five to 10 years before you retire, according to Michele Lerner in an Associated Press article. She also cautions about the risks you take in losing liquidity when you tie up your money in a second home.

The ideal candidate for this scenario is one who has built up an emergency cushion of at least one year’s worth of expenses – both current expenses and those they’ll take on with a second property.

Don’t disregard other risks, such as the maintenance costs for two homes. Appliance and major system failures can be costly to remedy, and if you lack liquidity, they could be catastrophic.

Rent or Buy?

Whether to purchase or rent a home is a common question when folks near retirement. Since rents are rising 5 to 6 percent a year on average, and interest rates are still incredibly low, it appears on the surface that buying is a better option. Dig a little deeper, and it is even more apparent.

With a fixed-rate mortgage your monthly house payment won’t change over the life of the loan. Rent? At least once a year or whenever the lease is up for renewal, you’ll face a possible rent hike.

Whether or not owning a home will help you retire depends on variables such as your current financial situation, your investment portfolio, and how many years you plan on working. A good financial planner is your best source of information.

Inviting everyone to our open house Tomorrow, 10/25/13 on this beautiful Home in Anchorage, AK

Come see all its amazing features Today, October 25, at 4pm-6pm. This event will be hosted by Miki Davis and you may reach her at

907-229-9103. Please bring your friends and buyers. Appetizers will be served.

 

We also have vacant lots available:

 

 

Brought to you by:

Les Bailey & Associates Real Estate Team

Keller Williams Alaska Group

Direct: 907-694-1234

Toll Free: 1-800-784-2912

DIY Toolkit: Essential Tools For Minor House Repairs

DIY Toolkit: Essential Tools For Minor House Repairs

It takes time to build a complete DIY toolkit. Start with the essentials, and build on your collection as you take on new projects. Eventually, you will become proficient at a wide range of DIY home projects – and your toolkit will reflect this (as will your wallet, considering the money you will save on hiring someone to do it for you!).

 

A Basic DIY Tool Collection

• Hammer: From hanging a picture to replacing wall molding and millions of DIY projects in between, a hammer is probably the most-used tool there is. Don’t choose just any hammer. Select a claw hammer – a hammer with a claw on one end for pulling nails and prying material – with a flat peen (the surface which drives nails) rather than rounded.

• 
  Tape Measure: Many home repair and improvement tasks require a tape measure. Get a retractable tape measure, which is made of a rigid metal and snaps back into the case when you push a button. For most jobs, a 25-foot tape measure is sufficient.

• 
  Carpenter’s Level: With a good level you have a straightedge for cut lines and a tool to tell you if an item is flush (straight up and down) or level (perfectly flat). Don’t let the store’s selection overwhelm you – a basic 4-foot bubble level, which uses air bubbles inside a liquid-filled cavity, is basic but dependable.
  

• Carpenter’s Square: Get both a speed square, which is hand-held, and a larger framing square when possible. Squares are great straightedges, tape measures and right-angle testers.
  

• Utility Knife: Whether you call it a box cutter, razor knife, or any of several common terms, a utility knife is a DIY tool essential. Your utility knife makes quick work of slicing through drywall, carpet, linoleum, rigid foam insulation and many other materials. Keep a supply of razor blades in the knife’s hollow body.
  

• Flashlight: From peering underneath your foundation to working in the dark to restore power to your breaker box, your flashlight will shed some light on various tasks.
  

• Screwdrivers: If you plan to limit your DIY ventures to basic carpentry and fixture installation, a handful of screwdrivers will get you started. Choose both Phillips-head screwdrivers (which have a cross-shaped tip) and flat-head screwdrivers (with a knife-shaped tip). More advanced repairs may require different heads. To save money, consider a multi-bit screwdriver with interchangeable tips.
  

• Pliers: If you need to pull staples, cut wire, or loosen tight connections, pliers will help. Look for three basic types: needle-nose pliers (which have a pointed end), side-cutting pliers (which look much like scissors) and adjustable flat-nose pliers (aka flat-head pliers).
  

• Wrenches: When pliers won’t get the job done, look for your wrench. Grip or remove pipes, nuts, bolts and other stubborn household items. Start with a set of adjustable crescent wrenches for all-around usefulness.
  

• Staple Gun: A staple gun comes in handy for installing faced fiberglass batt insulation, hanging plastic sheeting and other projects around the home. Manual staple guns require a little more muscle but eliminate the need for electricity.
  

• Drill: Once you have a drill, you’ll wonder how you ever got along without one. From simple tasks such as hanging curtains to more complex jobs like replacing wood flooring, a drill – cordless or not – makes it easier. A cordless drill is more convenient but has a limited battery life.
  

• Saws: Two basic saws will see you through most general DIY home projects. First, select a handsaw for places where you don’t have power or for situations where a power saw just isn’t practical. Next, decide on either a table saw or a circular saw. A table saw is sturdy and makes cutting boards and other material easy. However, a circular saw is portable and hand-held, making it more convenient. When you’re ready for a new saw, consider a jigsaw or reciprocating saw.
  

• Stud Finder: A stud finder will help you quickly find the framing members in your walls, ceiling and floor.

• 
  Orbital Sander: Small enough to easily control with one hand, an orbital sander is perfect for basic work. Keep a supply of sandpaper, of various grits, on hand.

• 
  Ladder: Depending on the jobs you anticipate tackling, you might prefer a stepladder instead of an extension ladder. Extension ladders are useful outdoors and reach higher, but stepladders work inside or outside.

All of the tools in the world won’t help you if you don’t have accompanying supplies. Keep wood glue, superglue and caulk in your supplies. Add an assortment of nails, screws, bolts and nuts to your tool collection as well. Don’t forget tape: masking tape, electrical tape and duct tape in particular. A heavy-duty extension cord is essential. Your collection will continue to grow over the course of your DIY adventures.

DIY Flooring Installation

in Home Improvement

Installing a new floor is a great way to liven up your house. Before you change your floor, however, you need to decide what type of flooring is best suited to your budget and lifestyle. Hardwood floors are a classic choice, while many homeowners prefer the ease of tile or the affordability of laminate flooring. While some floors can be installed by an inexperienced homeowner, other floor types require the services of a professional or an experienced handyman.

Hardwood Flooring

Hardwood floors have always been a popular choice. Beautiful, traditional wood floors can last a lifetime if properly maintained and, because hardwood floors are more hygienic than carpet, they are a good choice for people with allergies. The National Wood Flooring Association, points out that wood is:

• Low-maintenance
• Renewable
• Recyclable
• Varied
• Enduring

Hardwood floor types can be new or salvaged and might be smooth, distressed, or hand-scraped for an antique look. Stains give you a variety of color choices, even allowing oak to masquerade as rare exotic lumber. Research all your options before investing in a hardwood floor, as each of the many choices offers advantages of its own.

Maintaining Hardwood Floors

Prefinished hardwood flooring can be expensive, but it is easy to maintain. To keep your hardwood floor looking its best, you should put down area rugs in places that get a lot of foot traffic. You should also damp mop your floor frequently to remove dust and dirt. If your hardwood floors get a few minor scratches, you can repair them with a touch-up stick. Solid hardwood floors can be refinished if they have a lot of scuffmarks, which is one advantage over other products like laminate flooring.

Installing Hardwood Flooring

If you have never installed any type of flooring, you might want to hire a professional to lay your hardwood floors. Get an estimate, ask for references and never pay for the entire job upfront. If you do decide to do it yourself, do your homework because installing flooring can be tricky. The following tools are needed for installing hardwood floors:

• Circular saw
• Measuring tape
• Nail gun or hammer
• Table saw
• T-square
• Floor sealant
• Nails
• Safety glasses

According to Steve Seabaugh, director of technical education for the NWFA, installers of wood floors must take care to:

• Check the subfloor for flatness.
• 
  Avoid laying over particleboard, which does not hold nails well.
• Acclimatize wood to the space in which it will be installed.

Laying hardwood floors takes time, and this last step adds several days to your project calendar. The flooring should sit in your home for at least 48 hours before installation in order to expose it to the room’s environment. This allows it to expand or contract according to the temperature and humidity of the room. If this takes place after the floor is laid, you’ll wind up with shifting boards and uneven flooring. In addition to this brief period of acclimatization, plan to spend at least a few full days installing hardwood floors, depending on the size of your home.

Quick-Growing Alternatives to Hardwoods

Some homeowners choose cork or bamboo floors as an alternative to hardwood. These faster-growing products can be “green” in more ways than one – gentle on the planet and on your wallet. Prefinished bamboo is made from a grass and performs much like hardwood when it’s used as flooring. Cork is a wood-bark product that can also make an attractive floor. According to BuildGreen’s independently published Environmental Building News, the most eco-friendly bamboo floors are those with Forest Stewardship Council (FSC) certification.

Tile Flooring

Tile is another beautiful choice and a great option for DIY flooring. The price of tile varies greatly because there are so many choices, from ceramics and terra-cotta to marble and slate. Regardless of the price, tile is extremely durable and will last for decades with proper care.

Before installing new floors, you should first learn as much as you can about how to tile. Many hardware stores and home centers offer classes in tiling. You can also hire a professional to install your tile floor, but this will greatly increase the price of your total flooring expenses.

When you do undertake a tiling job, be sure you already understand the process. You’ll need to be sure your subfloor is suitable and then create a level bed of mortar. Tiles will be set according to a careful plan, with room left between for grout. After the mortar has set, you’ll fill the gaps with grout, carefully wiping the surface of the tiles as you go. Finally, a week or more later, you’ll seal the grout to protect it from stains.

Tile-Laying Supplies

The basic supplies for laying tile include:

• Grout floats
• Mortar trowels
• Sponges
• Tile cutters
• Tile grout, mortar, and sealant
• Tile saw
• Tape measure
• Pencil
• Level
• 
  Rags and a sponge

Installing tile flooring will take time, as grout and mortar take several days to dry. You should expect to get your hands dirty during this process, but the end result will be one of the most easily maintained flooring options out there.

Laminate Flooring

Laminate flooring is made from a synthetic material that looks like hardwood or tile. Laminate flooring is a great choice for anyone who wants the look of hardwood or tile but doesn’t have a big budget to work with. Laminate flooring is usually less than half the cost of hardwood floors.

Another advantage of laminate flooring is that almost anyone can install it. For most types of laminate flooring, the manufacturer’s instructions are easy to follow and the pieces snap into place for “lock and click” installation. According to the North American Laminate Flooring Association, glue and fasteners are usually not required. Durability and affordability are listed by NALFA alongside ease of installation as reasons to consider a laminate floor.

Eco-friendly Laminates

Environmental concerns can sway consumers towards laminates, too. A product with NALFA’s green seal will have the following features, according to the association’s website:

• Natural ingredients such as wood chips
• Recyclability
• Low emissions
• Recycled content
• No VOC-producing installation adhesives

Easy to Buy, Install and Maintain

Caring for and maintaining laminate floors is very easy – simply sweep or wet-mop regularly. With excellent care, laminate floors can last up to 20 years. The time and skill required to install a laminate floor are relatively low, making this a popular choice for first-time DIY floor installations.

A Floor for Every Lifestyle

Whether you choose easy laminates, classic hardwoods, or beautiful tile, your floor will help define your home’s personality. By matching your budget, taste, and skill to the best product for you, you can find a DIY flooring solution that will make your home more comfortable, beautiful, and valuable.

Understanding Septic Tanks: Waste Treatment For Rural Homes

Understanding Septic Tanks: Waste Treatment For Rural Homes

 

If you’re buying property in an urban or suburban setting, chances are good that the home is connected to a municipal sewage system. If, however, you’re looking at purchasing a home on acreage or in a rural setting, waste may be handled through a septic tank. Proper care and maintenance is key to keeping your household sewage disposal system running properly, and with a bit of knowledge, you can avoid the expense and hassle of a poorly functioning septic system.

 

Septic Systems: A Common Waste Handling Strategy

Septic systems rely on bacteria to digest organic solid waste while fluid waste is gradually leached into porous surrounding soil. Homeowners who use septic tanks are completely responsible for the upkeep and maintenance of these sewage systems, and most states have laws requiring that the systems be maintained in order to protect human and environmental health.

Septic systems include a pipe that connects the home plumbing to a septic tank. In the septic tank, wastes are separated by gravity. Solids (also called sludge) settle to the bottom of the tank. Oils and grease float to the top. The remaining wastewater exits into a drain field where microbes in the soil remove most remaining contaminants.

Types of Septic Systems

There are a variety of septic systems for a range of soil types, and they vary widely in terms of cost, complexity, and maintenance requirements. All systems start with a tank for holding solid waste and grease and end with some sort of drainfield for liquid effluent, but these drainfields can look very different depending on soil composition and depth. A percolation test, which determines how much water the soil can filter, will probably be needed by property owners wishing to install a new septic system.

According to King County in Washington state, there are four common septic system types:

• Gravity drainfields. These rely on gravity to carry liquid waste through a series of pipes, situated below the tank, where it is allowed to leach into permeable soil. When the pipes are located above the tank, a pump is required to move waste uphill.
• 
  Pressure distribution drainfields. These include a pump, which puts fluid waste into the system intermittently, using pressure to fill all sections of piping evenly. This type of system is better for systems where the soil depth and quality is insufficient to handle gravity-fed waste.
• 
  Sand filter systems. These use added sand, usually held in a box of concrete or plastic, as a pre-soil filtering step and are useful when soil is not of the right depth or type for absorbing unfiltered fluid waste. These systems include a pump and pipes, laid in gravel above the sand, to distribute the waste across the length and breadth of the filter.
• 
  Mound systems. These are another option for sites with insufficient topsoil, and include a mound of sand, gravel, and pressurized piping above or, occasionally, beneath the ground surface. Sewage is filtered through this man-made hill before it enters the soil below.

Septic System Inspections

Many states require septic system inspections whenever a property is sold. If you’re shopping for a rural home in a state that doesn’t require this step, you should have an inspection performed for your own safety. A faulty septic system can be an expensive and troublesome problem, so hire a professional to evaluate the system before you buy.

Once you own a home, the septic system should continue to be professionally inspected on a regular basis. Some local health departments require annual inspections, while others rely on homeowners to decide when an inspection is warranted. Your state or county environmental health department can help you plan an inspection schedule for your own septic system.

Septic System Maintenance

Septic systems can work very effectively, provided they are regularly maintained. Sludge should be pumped out by a professional every three to five years, on average. These pump-outs, which need to take place before the tank is over 50 percent capacity, are important and would be impossible without the right equipment, so leave this dirty job to a licensed professional. Observing the process is a good way to learn more about your septic system’s maintenance needs.

Septic System Dos and Don’ts

Homes using septic systems should follow certain guidelines to keep the septic tank working properly. Failure to do so can cause waste to seep up through the drainfield or back up into the home. The EPA publishes a guide to septic systems for homeowners, which includes a lot of information about looking after your tank and drainfield.

To help maintain septic systems, homeowners should:

• Avoid pouring household cleaners and chemicals down drains. These can damage microbial activity in the septic tank.
• 
  Flush only bodily wastes and toilet paper. Things like sanitary napkins will not break down and can cause harm to your septic system.
• Only use plants with shallow roots over their septic drain field, as shrub and tree roots can damage the system. Contact your own local agricultural extension office for information that’s specific to your growing conditions.
• 
  Practice proactive water conservation. Dripping taps and leaky toilets can overwhelm a septic system, which relies on a normal balance between solid and liquid matter to function.

Important Questions for Homebuyers

If you’re considering a home that is not connected to a municipal sewage treatment system, ask a lot of questions before you buy. First, find out whether your state or county requires regular inspections or time-of-transfer inspections. If it doesn’t, have the system inspected anyway. The Connecticut Department of Health recommends asking the following questions:

• 
  “What does the existing septic system consist of?”
• “Is it working properly?”
• “How long will it last?”
• “If it fails, how much will a replacement system cost?”

It is also important to know exactly where the parts of the septic system are located, when the system was last inspected or pumped, and whether the homeowner has ever had any trouble with the septic system’s performance. By learning more about these common sewage-treatment systems, you can make septic system ownership a simple, headache-free experience.

Factors Affecting Mortgage Interest Rate Changes

Factors Affecting Mortgage Interest Rate Changes

 

There's more to the cost of owning that dream home than the price the seller is asking for. The interest rate on your mortgage loan affects the price and how much you'll pay every month to your mortgage company.

 

Comparing mortgage interest rates is important because they may change daily, and different rates may be associated with different types of loans. With variable-rate or adjustable-rate mortgages, it is understood from the outset that the loan's interest rate will change over time, becoming higher or lower depending on the current economic climate.

Let's look at why mortgage interest rates fluctuate so frequently.

The Federal Reserve and Interest Rates

The Federal Reserve System ("The Fed"), although considered our country's central banking system, is independent of the federal government. In essence, the Fed controls the movement of money throughout the U.S. financial system.

The Federal Reserve System is composed of a Board of Governors and 12 Federal Reserve Banks, spread throughout the country. The seven members of the Board of Governors, the president of the Federal Reserve Bank of New York and four other reserve bank presidents serve on the Federal Open Market Committee (FOMC), the policy-making body that determines, among other things, the interest rate charged to commercial banks.

The FOMC controls inflation by tightening or loosening the country's money supply. One way they do this is by raising interest rates to control inflation. When borrowing money costs more, consumers tend to shy away from taking out loans, hopefully leading to lower prices.

By the same token, lower interest rates encourage consumers to borrow and spend, which in turn boosts the economy. Overall, the fluctuations in mortgage interest rates reflect an attempt to keep a balance in the economy, and to prevent inflation without bringing the economy into a recession.

Mortgage Investors and Changing Interest Rates

The Federal Reserve is not the only player affecting changing mortgage rates. To create more money to lend, banks often sell their loans on the secondary market, now controlled by the federal government. Banks and other mortgage lenders sell mortgage-backed securities to investors. The return on investment for these investors is generated by interest paid by mortgage holders on their loans. For the investors to realize a return, banks must charge a higher interest rate.

Homebuyers (the mortgage loan borrowers) want low interest rates on their mortgages. This force drives interest rates back down. In addition, when investors know rates are going to drop, they purchase these securities, increasing demand and eventually sending interest rates back down. Banks must balance these two opposing forces, and the resulting push-and-pull drives mortgage interest rates.

The Effect of Changing Mortgage Interest Rates on Loans

Though they are locked-in once the application process is completed, fixed-rate mortgage rates are constantly changing. Interest rates for variable-rate loans fluctuate as well, and continue to change throughout the term of the loan. Another impact on interest rates occurs when lower interest rates attract homeowners wishing to refinance their mortgages.

While all of this may seem complicated to the average homebuyer, an awareness of what drives interest rate changes can help you know when the ideal time has arrived to apply for a loan.

The Advantages of Getting a Mortgage Preapproval

The Advantages of Getting a Mortgage Preapproval

The homebuying process can be exciting, but also stressful. When there are a large number of buyers in the market for real estate, the odds of being able to purchase your desired home can be low. However, getting a mortgage preapproval prior to home shopping can dramatically increase the odds of success.

Make Mortgage Preapproval Your First Step

A mortgage preapproval should be a homebuyer's first step when purchasing a home. A borrower can choose to meet with a lender or get an initial preapproval via the Internet. The preapproval process is similar to the actual mortgage process and will, in fact, eliminate a lot of time after a home has been chosen.

When obtaining a mortgage preapproval, the borrower will complete a mortgage application and submit the necessary documentation to the lender. The lender will pull a credit report and examine the borrower's credit.

Based on all of this information, the lender will determine the amount of funds that the borrower qualifies for. The borrower will receive a Conditional Commitment, which states the amount of funds that the lender agrees to lend provided that the conditions are met. While a preapproval is an important first step, it is not the final mortgage approval.

Impress Homesellers With Your Mortgage Preapproval

One of the advantages of having a preapproval is that this letter can be shown to real estate agents and sellers when looking for a home. By doing so, both the agent and the seller know that the borrower can qualify for a certain amount of funds. It is proof of the borrower's financial standing and ability to proceed with the home purchase.

Another advantage is that some of the work that is involved in obtaining a mortgage is already done. The lender has already examined the borrower's financial situation, including credit, income and assets. During the preapproval process, the lender will also discuss the most appropriate type of mortgage program that fits the borrower's needs, whether it is a conventional loan or a government loan.

This is significant because not all sellers will accept a buyer who is using a government loan. Knowing the details of what type of loan is appropriate for the borrower, the agent can then show them homes that will fit their preapproval both for cost and type of funding.

How Mortgage Preapproval is Determined

The preapproval is determined by putting the information given to the lender through automated underwriting. In most cases, the preliminary loan file goes through a preprocessing before the preapproval is given to the borrower. Since there is an actual examination of the borrower's documentation, the borrower will also receive a list of additional information that may be needed. The borrower can then submit this information while shopping for a home.

Once a home is found and the sales contract is signed, processing the loan is faster since most of the work for the credit file has been done. The final process involves verifications, ordering and receiving the appraisal, ordering title documents, obtaining insurance, etc. The final underwriting is the last step before the loan file is sent for closing.

The preapproval process is an important part of a home purchase. Since there is a lot of information involved in obtaining a mortgage, it eliminates many last minute problems that can arise. Obtaining a mortgage preapproval helps the home purchase process go smoothly.

Buying a Foreclosure

Buying a Foreclosure

 

Foreclosed and foreclosing

properties dominate many of today’s U.S. real estate markets—more than four years after the sharpest observers saw the market shift coming, and more than two years after the reality hit home for millions of American home owners.

The recent Keller Williams Distressed Property Buying Survey unearthed great information about where the opportunities are, how big they are, and how smart, capable buyers are leveraging the current market.

First-time home buyers make up almost half of all buyers of bank-owned foreclosures and soon-to-be foreclosed short sale properties. They’re followed closely by investors seeking rental properties, and a third important group—homeowners who find they can move up to a bigger or better home they previously could not afford.

To help more consumers win as buyers, Keller Williams agents are now offering a workshop, “Winning with Foreclosures," that shows buyers how to prepare to be successful buying the “distressed" properties—homes that offer, according to the survey, a 10 percent to 40 percent price advantage, depending on the local market.

The truth is: these markets demand most of the same things an ordinary market demands of buyers—only more intensely and pointedly:

• Money: Buyers must be financially qualified and ready to buy. The best properties go quickly. Buyers must look strong to lenders.

• Motivation: Buyers must be motivated to compete successfully. Keller Williams agents urge their buyers in this market to be clear about both their “motivating why" and their criteria for the property itself (size, location, condition, floor plan, etc.)

• Location: Contrary to the rumors, prime buying opportunities exist in almost every neighborhood and price range.

• Condition: Buyers should understand that repair costs are not necessarily large. The Keller Williams Distressed Property Buying Survey shows the average cost to repair to be $5,000—that’s less than 3 percent of the median purchase price in the U.S. today.

• Expert Help: Finally, smart buyers know they need to be even smarter—they become a team with a local expert agent who knows local property, pricing, lenders, and the best listing agents. A strong listing agent can be a critical advantage in seeing a distressed property through from contract to close.

So, bottom line—if you think you want to buy, have a talk with yourself first, check your financial readiness, and get with an expert and learn everything you need to know, in order to get what you want in this market.

 

From Keller Williams

Understand the difference between "listing prices" (what sellers are asking for) and "sold prices" (what buyers are willing to pay).

Price Trends - Sold vs. Listed

Understand the difference between "listing prices" (what sellers are asking for) and "sold prices" (what buyers are willing to pay).

By comparing these price trends, you'll have a good idea of where the market is heading. The median listing and sold property prices are calculated based on the market activity each month.

Some sales are not immediately available from public records. As they become available, the data are updated.

Creating an Efficient and Comfortable Home Office

by Alane Jewel

In recent years, modern technology has allowed more people the convenience of working from a home office as opposed to dealing with long commutes, traffic delays and the daily office grind. Although it’s hard to rival the comforts of one’s own home, long days will still undoubtedly be spent in the home office. So designing this space to be efficient and functional as well as comfortable is imperative. Designing a work area you will love is key to enjoying the hours spent there and increasing productivity.

Picture via elledecor.com

Establishing a Theme

Because so much time will be spent in this space, it is absolutely critical to establish what décor you find to be most comfortable and inspiring.

Traditional décor is still a favorite when it comes to designing the home office.  Large wooden desks are complimented with dark woodwork and warm accents. Gorgeous oriental throws compliment natural flooring, and desk lamps offer a warm, calming glow, collectively creating a comfortable workspace.

The more contemporary home office welcomes a brighter workspace. Whites and neutrals establish a great energetic base, and splashes of color are often added via décor or painted accent walls. Furnishings can vary from rustic to modern. Anything goes! Most importantly, select these furnishings based on personal interest and comfort. It’s important to create an inviting space that you want to spend time in. Know what you love and roll with it.

Designing Within Your Space

It’s important to design the space you have in an efficient manner. Select furnishings that fit the space, and consider going vertical if you have limited space. Added shelving can house items that otherwise may occupy precious floor space. An example of this might be files, books or paperwork often stored in filing cabinets that can be easily accommodated loosely on shelves or in baskets.

For studio spaces or in homes where a separate room is simply not available for an office space, consider creating a separate corner space in the family room or even utilizing a portion of a spare bedroom as office space. Choose a location where privacy is increased and noise levels are reduced.

Furnish it With Organization

The home office is the one room in the home where organization cannot be sacrificed! It’s important to choose furnishings bearing this in mind.

Your most important purchase is the desk. Select this piece according to your personal needs, keeping comfort in mind. The size should be adequate to accommodate whatever technical equipment your work dictates, such as printers, computers or phones. It should also leave enough surface space to comfortably write and organize paperwork for current projects. Make sure the desk you choose is sturdy enough to support your demands and also offers plenty of drawer space to keep all your necessities tidy and conveniently stored.

Place your desk near a window for natural lighting, ventilation and outdoor views. Add additional desk lamps to ensure efficient lighting options are available any time of day.

Consider purchasing ergonomically designed furnishings such as chairs or wrist rests for your home office. Adjustable components are offered that can be tailored to modify your workspace according to specific job requirements. Keeping ergonomics in mind when designing for your home office can lead to increased health benefits as well as efficiency.

Aside from your desk, additional storage is often required. Filing cabinets, baskets and shelving are all great options to help maintain organization.

Personalize Your Space

Hours upon hours are often spent in the home office. Aside from function and efficient design, comfort is also essential. Add personal touches such as photos, travel memoirs, plants or flowers, and even scented candles that invoke a relaxed, contented feel. Create an atmosphere that contributes to a more productive workspace.

Whether you occupy your home office for eight hours per day or simply utilize the space to pay bills and hop online for some retail therapy, consider the tips above to ensure efficiency, function and comfort.

New Listing: Perfect East Side location, anchorage. With quick access to Northern Lights, Bragaw and Boniface.

New Listing: Perfect East Side location, anchorage. With quick access to Northern Lights, Bragaw and Boniface.

 

 

2231 Nash Circle

Anchorage, AK 99508

Price: $275,000

Phone#: 907-694-1234

 

 

Just Listed

 

• Property Type: Single Family; Style: Multi-Level
• Bedrooms: 3; Total Baths: 2; Garage: 2
• Year Built: 1986; Sq. Feet: 1,712;
• Heat: Forced Air; Lot Size: 0.10
• See a quick tour of this property!

Click here for more exciting features!

Perfect East Side location,

with quick access to Northern Lights, Bragaw and Boniface.

Home is open with vaulted ceiling and skylight, yet has a cozy feel.

Fireplace is great in the winter.

Backyard gets sunrise from the east and is great for entertaining and gardening.

Arctic entry is perfect for Alaskan living.

We also have vacant lots available.

Brought to you by:

Les Bailey & Associates Real Estate Team

Keller Williams Alaska Group

Direct: 907-694-1234

Toll Free: 1-800-784-2912

www.LesBaileyAndAssociates.com

Enjoy this elegant yet simple condo with many great features and upgrades!

Enjoy this elegant yet simple condo with many great features and upgrades!

 

100 Bunnell Street

Anchorage, AK 99508

Price: $158,500

Phone#: 907-694-1234

Just Listed

Property Type: Condo/Townhouse/Co-Op

• Bedrooms: 2; Total Baths: 2; Garage: 1
• Year Built: 1981; Sq. Feet: 1,066;
  • Heat: Forced Air
• See a quick tour of this property!

Click here for more exciting features:

Enjoy the many features that are found inside this condo.

Some of the features include an elegant fireplace,

a master bedroom with a master bathroom

and a spacious walk in closet. From the master bedroom you can walk out onto the deck to enjoy some fresh air.

The open kitchen with vaulted ceilings add to the beauty of this home.

 

We also have vacant lots available.

Brought to you by:

Les Bailey & Associates Real Estate Team

Keller Williams Alaska Group

Direct: 907-694-1234

Toll Free: 1-800-784-2912

www.LesBaileyAndAssociates.com

New Listing: Relax in this lovely home with zero monthly homeowners dues in Anchorage.

New Listing: Relax in this lovely home with zero monthly homeowners dues in Anchorage.

 

9100 Ticia Circle

Anchorage, AK 99502

Price: $195,000

Phone#: 907-694-1234

Just Listed

Property Type: Single Family; Two-story Traditional

• Bedrooms: 3; Total Baths: 1.5; Garage: 1
• Year Built: 1984; Sq. Feet: 1,128; Lot Size: 0.09
  • Heat: Forced Air
• See a quick tour of this property!

Click here for more exciting features:

Relax in this lovely home with zero monthly homeowners dues.

Enjoy this convenient floorplan with all bedrooms on the same level and updates throughout, including laminate flooring,

custom tile backsplash in kitchen,

fenced backyard, etc.

Great starter home in South Anchorage at an amazing price.

We also have vacant lots available.

Brought to you by:

Les Bailey & Associates Real Estate Team

Keller Williams Alaska Group

Direct: 907-694-1234

Toll Free: 1-800-784-2912

www.LesBaileyAndAssociates.com

Energy Efficiency at Home Part 3: Windows, Insulation and Leaks

by Karie Fay

In part one of our energy efficiency series, we looked at ways to reduce your heating and air conditioning costs. Part two focused on methods to reduce resource consumption with your electricity, water and appliance usage. In this final installment, we take a look at your home’s “shell” or “envelope,” as well as materials that can help boost your home’s energy efficiency. Think of your building envelope as the outer layer that stands between you and the environment – the windows, walls, roof and floor.

Windows and Doors

Many of the steps to increase your window and door efficiency take little money or expertise, but some measures do require more of an investment. Always research large investments. When buying new windows or doors, take your time and shop around. Also, if you choose to hire a contractor for any of the work, make sure to get an estimate and look into the contractor’s reputation. Careful planning, getting plenty of information and taking your time generally help any job turn out better.

• Close your doors completely whenever you run your heat or air conditioning.
  

• Replace non-working doorknobs, poor latches and faulty striker plates. Repair anything that prevents your door from closing and sealing properly.

• Install weatherstripping around your door frame. This prevents air from leaking around the door when it’s completely closed. With age and use, weatherstripping may deteriorate.
  

• Attach door sweeps to every entry door and storm door. Made from rubber or a variety of metals, sweeps prevent air leakage when the door is closed.
  

• Hang storm doors if possible to help insulate your entry door.

• Replace old, poorly fitting doors with newer, more energy-efficient doors. Wood doors in particular are fairly inefficient, transferring temperature differences readily. Insulated steel or fiberglass doors tend to be more efficient. A storm door helps insulate your wood door if you prefer to keep the wood.
  

• Build an overhang or install awnings above your doors and windows. Not only will it block much of the hot summer sun, but it also helps break the wind and shelter the openings from rain, which can lead to mildew and rot.

• Check each window in your home to ensure it closes properly and completely. Do the window locks pull the sashes together tightly?

• Look for mildew and rot surrounding the window. Inspect for broken or missing locks, cranks or other window elements. Clean, repair or replace as necessary.
  

• Weatherstrip windows to reduce airflow around the moving parts.

• Stand back from each window and door and look closely: Can you see daylight around the window or door? For smaller gaps, run a bead of caulk down the length to fill and seal the void. Expanding foam insulation works well for larger areas as it fills, seals and insulates. Use a special window-and-door formula that expands less than regular types. Follow the product instructions and trim any overflow to eliminate protruding foam.

• Repair or replace broken or cracked glass panes on older windows. Apply putty to the seams between the framing and glass panes as appropriate.

• Replace old, single-pane windows with newer, energy-efficient double-paned windows as your budget allows. While the cost can easily add up, you will actually recoup the investment over time.
  

• When purchasing windows, doors or skylights, look for ENERGY STAR® rated products. Other features to note with windows are a low-e (emissivity) coating, inert gas filling between the panes, insulated sashes, and spectrally selective coatings. A U-value (a measure of resistance to heat transfer) rating of 0.30 or less and a Solar Heat Gain Coefficient (SHGC) rating of the same or less also translate to high energy efficiency. (Note: this is in contrast to the R-value of insulated products, where the higher the R-value – or measure of heat transfer – the better.)

• Install storm windows to boost the energy efficiency of any window, especially older ones.
  

• Consider investing in window film. Specially designed window films will block ultraviolet (UV) light transmission and insulate the glass. You can also find films that increase your home security, making windows shatter-resistant.
  

Home Insulation

Chances are, if your home was built before 1980, it isn’t insulated to today’s energy efficiency standards. Only about 20 percent of such homes are, reveals the Department of Energy. However, insulation’s value goes beyond simply keeping you warm in the winter. In the summer, it keeps the heat out as well. It also helps muffle sound from the outdoors. It also pays for itself over time.

How do I Know if I Have Enough Insulation?

A professional energy audit will use special tools to determine exactly where air leaks and heat loss occurs. You can hire a company to perform one for you, or you might even find a local utility or governmental agency that offers one free of charge or at low cost.

You can also measure the existing insulation if you have access to it. Find the depth or thickness of the insulation, multiply it by the R-value it offers, and you have the total R-value present. Compare your insulation total to ENERGY STAR’s recommended levels of insulation or use the Department of Energy’s R-value Recommendations calculator.

What Insulation Should I Choose?

What works best for you and your home may not be what works best for your neighbor. When selecting an insulation product, you need to factor in where you are installing it, how much of the product it takes to provide the R-value you desire, whether you can install it yourself or need a professional, and any other special features.

The most common insulation forms for the DIYer are rigid foam insulation – basically a sheet of foam that is 4 feet wide and 8 feet long – and fiberglass batts or rolls (which are simply cut to length and either stapled in place through the paper facing or friction-fit between framing). Spray foam in a can is an option for smaller areas, and in larger areas you can hire professionals for spray foam installation. Blown-in insulation in different forms is another option, but generally requires professional installation as well. For more information on insulation types, advantages and R-values, consult the Department of Energy’s information on types of insulation.

Energy-Efficient Measures in Other Areas of the Home

So far we’ve looked at windows, doors and insulation in the walls, floors and attic, but there are a few other areas that may need your attention.

• Install foam or rubber gaskets around light switches and wall outlets located on an exterior wall. Inexpensive and easy to DIY, they will block a significant source of heat and air loss.
  

• Find any opening in your wall or floor, such as around cable and phone lines, and seal around it. Expanding foam or even fiberglass shoved inside the hole will block air while allowing you to remove the line or cord when desired.
  

• Weatherstrip and insulate your attic hatch or door. To insulate it, generally all you need to do is attach a sheet of foam insulation on the attic-side of the door and allow it to overlap the opening so it seals against the frame when closed.
  

• Fill foundation cracks and openings with caulk.
  

• Check kitchen and bathroom vent dampers, along with laundry vents and other openings, to ensure they close tightly. Repair as necessary.
  

• Install a chimney block to eliminate heat loss through your fireplace if you don’t use it often. Make sure the damper closes tightly.
  

• Weatherstrip your garage door and insulate the door as well. Reflective insulation or rigid foam board work best.
  

• Landscape your property. The careful placement of deciduous trees and shrubbery can help block sunlight and insulate your home’s walls.
  

• Winterize and weatherproof your home annually.
  

As you follow the energy efficiency tips in our series, you’re sure to notice a difference. Lower bills, better air quality, and more comfortable temperatures – the advantages of making your home energy efficient far outweigh the drawbacks in time and hassle.

What Will a Government Shutdown Do to Real Estate?

by Jason Van Steenwyk

Once again, we find ourselves at the precipice of a government shutdown. Unless Congress comes to an agreement with the President to pass at least a continuing resolution, all nonessential federal government functions will grind to a halt today. Federal employees will be furloughed – possibly never to make up the wages lost.

This also means that key bureaucracies in the IRS, Department of Housing and Urban Development, and the bodies that regulate Fannie Mae and Freddie Mac will have to take some involuntary time off.

So what does that mean for the individual real estate investor or hometown agent?

I’m not anticipating weeping, wailing and gnashing of teeth. Yes, if a temporary shutdown lasted long enough, it could send some families living from paycheck to paycheck over the edge, and force a few defaults on mortgages.

But the key sources of credit for the real estate market writ large will not be directly affected. The Federal Reserve, for example, is actually a private entity, and does not rely on Congress for funding. In turn, the Federal Reserve will be able to keep the discount window open, to provide banks with emergency overnight liquidity to stay open and keep lending.

However, some market disruption could occur downstream. If lenders have trouble getting their VA and FHA loans processed, for example, we may see a temporary dry-up in these loans if the shutdown proves to be lengthy. That said, much of the system is electronic, and so I expect federal employees to leave the computers up and running when they (don’t) report for work today.

In some cases, lenders may go ahead and fund any loans pending hiccups from the federal agencies. Other lenders may opt not to close until they receive a formal notification from the VA or FHA that the federal guarantee is in place.

If the 2011 shutdown is any guide, don’t count on the U.S. Department of Agriculture clearing their loans through the shutdown, but VA and FHA business should still mostly go through, because these aren’t federally funded. They are, however, federally guaranteed. The funding itself won’t be interrupted directly by the shutdown. But some lenders may not want to lend without a guarantee already in place. To minimize chances of disruption, go with a larger lender that is in a better position to fund these loans even absent a guarantee. During the 2011 fiscal battle, the Navy Federal Credit Union, Bank of America and Wells Fargo, for example, each indicated they intended to go ahead and close on and fund FHA and VA loans during a brief shutdown, even without a priori government approval for the guarantee.

Problem Areas

Now, the FHA system is mostly digital. If the lender can get a case number from the FHA, you should be OK even through a shutdown. A lot depends on whether the Department of Housing and Urban Development shut down their computers on the way out the door on September 30. There are mixed signals about whether they will or not.

Loan approvals could be disrupted, because current guidelines require lenders to verify at least one tax return via a 4506 Transcript with the IRS. If the IRS office shuts down, they won’t be able to do this.

If, however, we do have some delays, that could cause preapproved loans to expire, and force some borrowers to pay a higher interest rate. Of course, some deals could fall apart, as a result of the delays.

The budget battle to avoid a government shutdown is just the first of the hurdles Congress faces this season. Within a few weeks, Congress will bump up against the statutory limit on borrowing. This would put the federal government on a cash and carry basis, and by some estimates would force a reduction in federal spending of 40 percent. I don’t think Congress can abide that for long, however, and predict that we will shortly have an agreement that allows the borrowing to continue, for good or for ill.

HUD Scraps Dual Agency Rule

In other Washington news, the Department of Housing and Urban Development has nixed a new regulation that would have prevented agents representing the buyer and the seller on the same pre-foreclosure deal from coming from the same agency. HUD was concerned that there was an opportunity for fraud.

The National Association of Realtors® opposed the rule, however, stating it created just another hoop for sellers to jump through, and they may be forced into foreclosure if they aren’t able to find an agent well-versed in the pre-foreclosure process. “Some real estate brokers have hundreds of agents across multiple offices. If one of those offices chooses to list a short sale, under HUD’s new policy, none of the other agents can bring a buyer to that property.” Wrote NAR President Gary Thomas.

With a million members, the NAR carried the day – and the rule was absurd, in that it simply didn’t take into account the realities of how real estate transactions are handled day-to-day. It was also a needless restriction on liquidity and a source of market distortion, and I’m glad to see it go.