Call your friends who have owned a home for a few years if you experience an attack of buyer’s remorse. Are they bothered by rapidly escalating home prices? Probably not, because that means the value of their home is increasing. Did they feel anxious when they first signed the agreement? They may tell you that they felt just as anxious as you are feeling, but now are really glad that they went through with the purchase. Have they made improvements to the property that heightened their enjoyment of the home? They will probably say they much prefer the creative freedom of being a homeowner compared with having to ask the landlord’s permission to put in a garden or paint the living room.

When you experience a buyer’s panic attack, be strong — you have a great deal to gain! As one of America’s #1 Real Estate Experts™ I can help you with your real estate needs. Please call me at 507-254-0957, or email me at Dan@DanGroteboer.com

Everybody makes mistakes with their money. The important thing is to keep them to a minimum. And one of the best ways to accomplish that is to learn from the mistakes of others. Here is our list of the top mistakes people make with their money, and what you can do to avoid these mistakes in the first place.

1.  Buying items you don't need...and paying extra for them in interest. Every time you have an urge to do a little "impulse buying" and you use your credit card but you don't pay in full by the due date, you could be paying interest on that purchase for months or years to come. Spending money for something you really don't need can be a big waste of your money. But you can make the matter worse, a lot worse, by putting the purchase on a credit card and paying monthly interest charges.

Research major purchases and comparison shop before you buy. Ask yourself if you really need the item. Even better, wait a day or two, or just a few hours, to think things over rather than making a quick and costly decision you may come to regret.

There are good reasons to pay for major purchases with a credit card, such as extra protections if you have problems with the items. But if you charge a purchase with a credit card instead of paying by cash, check or debit card (which automatically deducts the money from your bank account), be smart about how you repay. For example, take advantage of offers of "zero-percent interest" on credit card purchases for a certain number of months (but understand when and how interest charges could begin).

And, pay the entire balance on your credit card or as much as you can to avoid or minimize interest charges, which can add up significantly.

If you pay only the minimum amount due on your credit card, you may end up paying more in interest charges than what the item cost you to begin with. Example: If you pay only the minimum payment due on a $1,000 computer, let's say it's about $20 a month, your total cost at an Annual Percentage Rate of more than 18 percent can be close to $3,000, and it will take you nearly 19 years to pay it off.

2.  Getting too deeply in debt. Being able to borrow allows us to buy clothes or computers, take a vacation or purchase a home or a car. But taking on too much debt can be a problem, and each year millions of adults of all ages find themselves struggling to pay their loans, credit cards and other bills.

3.  Learn to be a good money manager. Also recognize the warning signs of a serious debt problem. These may include borrowing money to make payments on loans you already have, deliberately paying bills late, and putting off doctor visits or other important activities because you think you don't have enough money.

If you believe you're experiencing debt overload, take corrective measures. For example, try to pay off your highest interest rate loans (usually your credit cards) as soon as possible, even if you have higher balances on other loans. For new purchases, instead of using your credit card, try paying with cash, a check or a debit card.

There are also reliable credit counselors you can turn to for help at little or no cost. Unfortunately, you also need to be aware that there are scams masquerading as 'credit repair clinics' and other companies, such as 'debt consolidators', that may charge big fees for unfulfilled promises or services you can perform on your own.

4.  Paying bills late or otherwise tarnishing your reputation. Companies called credit bureaus prepare credit reports for use by lenders, employers, insurance companies, landlords and others who need to know someone's financial reliability, based largely on each person's track record paying bills and debts. Credit bureaus, lenders and other companies also produce "credit scores" that attempt to summarize and evaluate a person's credit record using a point system.

While one or two late payments on your loans or other regular commitments (such as rent or phone bills) over a long period may not seriously damage your credit record, making a habit of it will count against you. Over time you could be charged a higher interest rate on your credit card or a loan that you really want and need. You could be turned down for a job or an apartment. It could cost you extra when you apply for auto insurance. Your credit record will also be damaged by a bankruptcy filing or a court order to pay money as a result of a lawsuit.

So, pay your monthly bills on time. Also, periodically review your credit reports from to make sure their information accurately reflects the accounts you have.

5.  Having too many credit cards. Two to four cards (including any from department stores, oil companies and other retailers) is the right number for most adults. Why not more cards?

The more credit cards you carry, the more inclined you may be to use them for costly impulse buying. In addition, each card you own — even the ones you don't use — represents money that you could borrow up to the card's spending limit. If you apply for new credit you will be seen as someone who, in theory, could get much deeper in debt and you may only qualify for a smaller or costlier loan.

Also be aware that card companies aggressively market their products on college campuses, at concerts, ball games or other events often attended by young adults. Their offers may seem tempting and even harmless — perhaps a free T-shirt or Frisbee, or 10 percent off your first purchase if you just fill out an application for a new card — but you've got to consider the possible consequences we've just described. Don't sign up for a credit card just to get a great-looking T-shirt. You may be better off buying that shirt at the store for $14.95 and saving yourself the potential costs and troubles from that extra card.

6.  Not watching your expenses. It's very easy to overspend in some areas and take away from other priorities, including your long-term savings. Our suggestion is to try any system — ranging from a computer-based budget program to hand-written notes — that will help you keep track of your spending each month and enable you to set and stick to limits you consider appropriate. A budget doesn't have to be complicated, intimidating or painful — just something that works for you in getting a handle on your spending.

7.  Not saving for your future. We know it can be tough to scrape together enough money to pay for a place to live, a car and other expenses each month. But experts say it's also important for young people to save money for their long-term goals, too, including perhaps buying a home, owning a business or saving for your retirement (even though it may be 40 or 50 years away).

Start by "paying yourself first". That means even before you pay your bills each month you should put money into savings for your future. Often the simplest way is to arrange with your bank or employer to automatically transfer a certain amount each month to a savings account or to purchase a Savings Bond or an investment, such as a mutual fund that buys stocks and bonds.

Even if you start with just $25 or $50 a month you'll be significantly closer to your goal. The important thing is to start saving as early as you can — even saving for your retirement when that seems light-years away — so you can benefit from the effect of compound interest. Compound interest refers to when an investment earns interest, and later that combined amount earns more interest, and on and on until a much larger sum of money is the result after many years.

Banking institutions pay interest on savings accounts that they offer. However, bank deposits aren't the only way to make your money grow. Investments, which include stocks, bonds and mutual funds, can be attractive alternatives to bank deposits because they often provide a higher rate of return over long periods, but remember that there is the potential for a temporary or permanent loss in value.

8.  Paying too much in fees. Whenever possible, use your own financial institution's automated teller machines or the ATMs owned by financial institutions that don't charge fees to non-customers. You can pay $1 to $4 in fees if you get cash from an ATM that isn't owned by your financial institution or isn't part of an ATM "network" that your bank belongs to.

Try not to "bounce" checks — that is, writing checks for more money than you have in your account, which can trigger fees from your financial institution (about $15 to $30 for each check) and from merchants. The best precaution is to keep your checkbook up to date and closely monitor your balance, which is easier to do with online and telephone banking. Remember to record your debit card transactions from ATMs and merchants so that you will be sure to have enough money in your account when those withdrawals are processed by you bank.

Financial institutions also offer "overdraft protection" services that can help you avoid the embarrassment and inconvenience of having a check returned to a merchant. But be careful before signing up because these programs come with their own costs. Whenever possible, use your own financial institution's automated teller machines or the ATMs owned by institutions that don't charge fees to non-customers.

Pay off your credit card balance each month, if possible, so you can avoid or minimize interest charges. Also send in your payment on time to avoid additional fees. If you don't expect to pay your credit card bill in full most months, consider using a card with a low interest rate and a generous "grace period" (the number of days before the card company starts charging you interest on new purchases).

9.  Not taking responsibility for your finances. Do a little comparison shopping to find accounts that match your needs at the right cost. Be sure to review your bills and bank statements as soon as possible after they arrive or monitor your accounts periodically online or by telephone. You want to make sure there are no errors, unauthorized charges or indications that a thief is using your identity to commit fraud.

Keep copies of any contracts or other documents that describe your bank accounts, so you can refer to them in a dispute. Also remember that the quickest way to fix a problem usually is to work directly with your bank or other service provider.

Buying a home may be a dream, but the initial purchase is only the introduction to that dream. There's always something about your house that could be a little better, a little closer to perfect. Now, with a little planning, you can bring your home closer to your dream of perfection.

Reasoning Your Redo

Many home improvement projects begin with someone in the household saying, "Wouldn't it be nice ...?" What follows may be a wish for a remodelled kitchen or a room addition with space to accommodate every family member's needs. However, reality usually intrudes upon this daydream: There's only so much money and so much space. The trick is turning your dreams into reality. Start by evaluating your needs. Most homeowners consider home improvements for one of these reasons.

• You need to update the out-of-date. If your kitchen still sports appliances and decor from decades past, now may be the time to make it current.
• You need to replace fixtures or appliances. Sometimes a home improvement project grows out of an immediate need to replace broken or inefficient fixtures. If the sink, tub or toilet has to be replaced, many people take the opportunity to refurbish the entire bathroom.
• You're selling your home. You want to be sure you'll get top dollar from the sale of your home, and that may be the rallying cry for some home improvement projects.
• You're staying put. You thought about moving, but now you realize that improving your present home is a better option.
• Your family has grown and you need more space.

Improving to Move or Improving to Stay

You need to evaluate your plans carefully if you're improving your home to put it on the market. Cutting corners could hurt rather than help your prospects, but you don't want to go overboard either. Potential buyers may not want to pay for the extras you have included, such as a hot tub or pool. It's best to keep changes simple.

Also keep in mind that people viewing your house may not share your tastes and therefore won't necessarily appreciate the time and effort you put into finding just the right shade of green paint for the walls.

Improving to sell is easier if you mentally put yourself on the other side of the proverbial fence: What is important to the home buyer? Here's a list of remodeling projects that buyers are likely to find valuable:

• Adding or remodeling a bath
• Improving the kitchen
• Adding a new room
• Landscaping
• Adding a bedroom
• Adding or enclosing a garage

If you're remodeling in order to stay in your home, you still need to avoid over improving it. You'll probably sell someday, and even if your house is the best on the block, you may have a hard time convincing buyers to pay extra for the things you found so important. Keep the value of other homes in the area in mind whenever you consider improvements. Your home's value should be no more than 20% above the average. That means a $10,000 kitchen improvement project might be a better idea than a $10,000 hot tub, especially if no other homes in your area have hot tubs.

Home Maintenance

Unfortunately, some home improvement projects get started because something is broken. A leaky plumbing fixture may be the first step to a major bath remodeling. After all, if the tub has to be replaced, why not do the whole room?

While that's certainly one reason to remodel, you'll generally want to avoid basing your home improvement projects on immediate need. Proper maintenance will help to minimize problems. Go over every part of your home at least once a year. Check out the roof, plumbing, electrical wiring, etc. As soon as you notice a problem, fix it. Early attention to repairs will help you avoid a larger expense later on. Remember maintenance does not add to the value of your home. Repairs, generally, are not improvements but necessities.

Hiring Help

Let's face it, home projects can be expensive. You may be tempted to tackle them yourself as a way to save money. For small projects, that may be a smart move. You don't have to wait for someone else to fit your house into their schedule, and you can take pride in doing the work yourself. Unless you're particularly handy, however, large home improvement projects are better left to the pros. If you're remodeling the kitchen, ask yourself if you can handle the plumbing, electrical and carpentry work. And don't forget that you need to finish it all quickly, because in the meantime you'll be without a kitchen and eating out can be costly. Keep in mind, do-it-yourself jobs generally take more time and you're responsible for obtaining the necessary permits and inspections.

Hiring people who have experience can save you money and time, too. For example, these professionals can help you get a custom look using stock products, and that can be a significant savings. Getting something done right--the first time--will give you value that lasts for years.

Word-of-mouth is a good way to start looking for home improvement specialists. Check with friends, business associates and neighbors for recommendations. Always ask for at least three references - and check them out. Check, too, with your local chapter of the Better Business Bureau or Chamber of Commerce. You can find the number in the community services section of your telephone book. Make sure everyone is in agreement about design, schedule and budget. Get the details down in writing in a signed contract. You'd also be wise to check on professional certifications and licenses, where required, and insist that any contractors you hire are fully insured and bonded. Contact your town or city Building Department for information. In particular, make sure contractors carry workers' compensation insurance so that if any workers are injured on the job, you won't be held liable. Ask for a copy of their insurance certificates. Also make sure that you or the contractor secure any necessary permits before beginning the work. Contact your local Planning and Zoning Commission for information.

Here's a quick overview of some of the pros you may work with in remodeling your home:

Architect: These professionals design homes or additions from the foundation to the roof. If you're planning structural changes--adding or taking out walls, for example--or anticipate a complex design, you'll probably want an architect. You may pay an hourly fee or a flat fee. Be sure to get an estimate of the total cost: It can take 80 hours or more to draw up plans for a major remodeling project.

Contractor: This person oversees the nuts-and-bolts aspects of your home improvement project, such as hiring and supervising workers, getting permits, making sure inspections are done as needed and providing insurance for work crews. You may wish to get proposals from one or more reputable contractors, based on specific details of your project. Be sure each contractor bids on exactly the same plan for comparison purposes. Once you've chosen a contractor, make sure your contract specifies that you will pay in several stages. It's customary to pay one third when the contract is signed so that the contractor can buy supplies. The number and timing of other payments depends on the size of the job, but do not make final payment until all work is successfully completed, inspected and approved.

Interior Designers: These specialists offer advice on furnishings, wall coverings, colors, styles and more. They can help save you time (by narrowing down selections) and money (from the professional discounts they might receive). When meeting with an interior designer, be sure to talk about your personal style and preferences. Expect to pay anywhere from $50 to $150 per hour, or you may negotiate a flat fee of perhaps 25% of the total project cost.

Financing Repairs

Depending on the scope of your home improvement plans, finding funding may be a project itself. If the project is small, you may be able to save for it from your regular household budget. For larger projects, you'll probably need to borrow money. If you participate in a 401(k) or 403(b) plan at work, you may be able to get a short-term loan from your account. To find out if this option is available to you and to learn about any tax implications, talk to your benefits administrator. Another possibility is borrowing against the cash value of your life insurance policy. If you're interested in finding out more about this type of loan, talk to your life insurance agent.

To take out other types of home improvement loans, head to your local bank, savings and loan, or credit union. Compare interest rates, repayment options and penalties from lending institutions before deciding on one of the following options:

Second mortgage: This is a loan against the equity in your home. It is, in essence, an additional mortgage. Typically, financial institutions will let you borrow up to 80 percent of the appraised value of your home, minus the balance on your original mortgage. For example, if your home is appraised at $100,000 and your current mortgage balance is $70,000, you may be able to borrow $10,000 by way of a second mortgage. You may also incur all the fees normally associated with a mortgage - closing costs, title insurance and processing fees. Talk to your tax advisor about whether the interest on a second mortgage may be tax-deductible.

Refinancing: This involves paying off your old loan and taking out a new mortgage on your home. To refinance, generally you'll need to have equity in your home, a solid credit rating and a steady income. You'll incur all the closing costs that go along with getting a new mortgage, so unless you're doing extensive remodeling and can get a mortgage interest rate at least two points less than you're currently paying, this type of loan may not be for you.

Home Equity Line of Credit: Like a second mortgage, a home equity loan lets you tap up to about 80 percent of the appraised value of your home, minus your current mortgage balance. Since it's set up as a line of credit, you won't be charged interest until you make a withdrawal, but you will have to pay closing costs. You can make withdrawals gradually as you start paying contractors and suppliers. The interest rate charged is usually variable and may be based on the outstanding balance. Make sure you understand the terms of the loan. If, for example, your loan stipulates that you need to pay interest only for the life of the loan, you'll have to pay back the full amount borrowed at the end of the loan period or you could lose your home. The interest on home equity loans may be deductible; talk to your tax advisor.

Unsecured Loan: Although the interest rates charged are often higher and you generally will not be able to get a tax deduction for the interest paid, the costs of obtaining an unsecured loan are usually lower. The relative ease of obtaining this type of loan makes it popular for small projects costing $10,000 or less. The lender will evaluate your application based on credit history and income.

Be House Smart: You'll be happiest with the outcome of a home improvement project if you plan carefully and do your homework. Armed with the information in this pamphlet and a realistic idea of your needs and budget, you'll find your home getting closer to your dream of perfection.

Everything is going to be fine.  The agent has called in advance and you have made your last minute preparations as indicated in “Preparing For A Showing”.

RELAX  There is nothing more to do.  Pick up a magazine while you are waiting.  Try to understand; the agent may have several home showings scheduled and he or she may be a bit early or late.  It’s very difficult to be perfectly precise.

THE DOG  Keep Fido away.  Pet lovers will be distracted by your fun pet.  For those who do not have pets, it may be bothersome.

CHILDREN SHOULD BE SEEN AND NOT HEARD  This is a new experience for the kids.  Naturally, they are excited, but they will disturb the professional flow of the showing.  Ask them to remain away from the agent and buyers, to go outside, or to watch TV.

DING-DONG  Answer the door as you would for any welcome guest.  The agent will take care of the introductions.  If there is a situation that needs mentioning, perhaps a sick child in the second bedroom, do so now.  You may invite the agent to begin showing the home and then you may excuse yourself.

LOW PROFILE  Discreetly remain away from the buyers.  As helpful as you wish to be, your presence will be intimidating.  They need to be able to discuss the home freely with one another.  And the agent needs to learn from the buyers how they are responding to your home.  Your presence can limit that free communication.

WHAT SHOULD YOU DO?  Read a magazine; watch a TV program; take a walk outside; continue with a chore.  Pick a room and settle down.  When they stop to preview that room, you may leave, but it’s not really necessary.  After all, they don’t want to feel that they are chasing you around the house.  If there’s a room that you should try not to be in, it would be the kitchen since buyers, generally, spend more time there as they evaluate appliances, counter space, cabinets. etc.

CONVERSING WITH THE BUYERS  If you are asked a question about the neighborhood, schools. etc., by all means answer pleasantly.  However, avoid becoming engaged in a conversation.  Questions regarding terms of sale should be referred to the agent.  If the agent is a cooperating broker and does not have the answers, advise him or her that I, your agent, will contact him. 

INCLUSIONS  The listing sheet should clearly identify items that are included and excluded in the offered property.  Don’t initiate conversations about other personal property that you may be interested in negotiating.  It rarely is a deal clincher, may be distracting, and besides, there will be time to discuss this at the offer presentation time.

LET THE “PRO” WORK  As much a you love your home, don’t be tempted into doing the agent’s job.  He or she has been working with the buyers and should know what is important to them.  Whether the agent mentions your new refrigerator now, or after they leave, is in his hands.

NOTE:  You’ve done all that you can.  Now, relax as we do our job. 

Soon, I’ll be calling you to say, “Congratulations…we have an offer

to present to you.”

Good curb appeal is a major plus when it comes to marketing a home. A little bit of work on the front of your home can pay big dividends.

When a potential buyer pulls up in front of your house, their first impression is absolutely crucial. Sometimes buyers won’t even look at a home with droopy shutters, sagging gutters, peeling paint and a bumper crop of dandelions in the front yard. Or they might go in expecting to find a “fixer-upper” that could be purchased at a bargain price.

If a house looks neat and cared for from the street, the initial good impression will carry over as the buyers step inside. It is not necessary to hire a professional landscaper, but listen to your real estate agent’s suggestions when you list your home.

Local nurseries can help you select blooming plants that will thrive in your area. Keep the lawn mowed, and regardless of the season, take care of exterior maintenance. Strong curb appeal will help your home sell more quickly and for top dollar. As one of America’s #1 Real Estate Experts™ I can help you with your real estate needs. Please call me at 507-254-0957, or email me, Dan@DanGroteboer.com

".....you have to sell your present home at exactly the right time in order to avoid either the financial burden of
owning two homes or, just as bad, the dilemma of having no place to live during the gap between closings."

Because your home may well be your largest asset, selling it is probably one of the most important decisions you will make in your life. To better understand the homeselling process, a guide has been prepared from current industry insider reports. Through these 27 tips you will discover how to protect and capitalize on your most important investment, reduce stress, be in control of your situation, and make the most profit possible.

1. Understand Why You Are Selling Your Home

Your motivation to sell is the determining factor as to how you will approach the process. It affects everything from what you set your asking price at to how much time, money and effort you're willing to invest in order to prepare your home for sale. For example, if your goal is for a quick sale, this would determine one approach. If you want to maximize your profit, the sales process might take longer thus determining a different approach.

2. Keep the Reason(s) You are Selling to Yourself

The reason(s) you are selling your home will affect the way you negotiate its sale. By keeping this to yourself you don't provide ammunition to your prospective buyers. For example, should they learn that you must move quickly, you could be placed at a disadvantage in the negotiation process. When asked, simply say that your housing needs have changed. Remember, the reason( s) you are selling is only for you to know .

3. Before Setting a Price - Do Your Homework

When you set your price, you make buyers aware of the absolute maximum they have to pay for your home. As a seller, you will want to get a selling price as close to the list price as possible. If you start out by pricing too high you run the risk of not being taken seriously by buyers and their agents and pricing too low can result in selling for much less than you were hoping for.

Setting Your Home's Sale Price

If You Live in a Subdivision - If your home is comprised of similar or identical floor plans, built in the same period, simply look at recent sales in your neighborhood subdivision to give you a good idea of what your home is worth.

If You Live in An Older Neighborhood - As neighborhoods change over time each home may be different in minor or substantial ways. Because of this you will probably find that there aren't many homes truly comparable to your own. In this case you may want to consider seeking a Realtor ® to help you with the pricing process.

If You Decide to Sell On Your Own - A good way to establish a value is to look at homes that have sold in your neighborhood within the past 6 months, including those now on the market. This is how prospective buyers will assess the worth of your home. Also a trip to City Hall can provide you with home sale information in its public records, for most communities.

4. Do Some "Home Shopping" Yourself

The best way to learn about your competition and discover what turns buyers off is to check out other open houses. Note floor plans, condition, appearance, size of lot, location and other features. Particularly note, not only the asking prices but what they are actually selling for. Remember, if you're serious about getting your home sold fast, don't price it higher than your neighbor's.

5. When Getting an Appraisal is a Benefit

Sometimes a good appraisal can be a benefit in marketing your home. Getting an appraisal is a good way to let prospective buyers know that your home can be financed. However, an appraisal does cost money, has a limited life, and there's no guarantee you'll like the figure you hear.

6. Tax Assessments - What They Really Mean

Some people think that tax assessments are a way of evaluating a home. The difficulty here is that assessments are based on a number of criteria that may not be related to property values, so they may not necessarily reflect your home's true value.

7. Deciding Upon a Realtor ®

According to the National Association of Realtors, nearly two-thirds of the people surveyed who sell their own homes say they wouldn't do it again themselves. Primary reasons included setting a price, marketing handicaps, liability concerns, and time constraints. When deciding upon a Realtor ® , consider two or three. Be as wary of quotes that are too low as those that are too high.

All Realtors ® are not the same! A professional Realtor ® knows the market and has information on past sales, current listings, a marketing plan, and will provide their background and references. Evaluate each candidate carefully on the basis of their experience, qualifications, enthusiasm and personality. Be sure you choose someone that you trust and feel confident that they will do a good job on your behalf.

If you choose to sell on your own, you can still talk to a Realtor ® . Many are more than willing to help do-it-your-selfers with paperwork, contracts, etc. and should problems arise, you now have someone you can readily call upon.

8. Ensure You Have Room to Negotiate

Before settling on your asking price make sure you leave yourself enough room in which to bargain. For example, set your lowest and highest selling price. Then check your priorities to know if you'll price high to maximize your profit or price closer to market value if you want sell quickly.

9. Appearances Do Matter - Make them Count!

Appearance is so critical that it would be unwise to ignore this when selling your home. The look and "feel" of your home will generate a greater emotional response than any other factor. Prospective buyers react to what they see, hear, feel, and smell even though you may have priced your home to sell.

10. Invite the Honest Opinions of Others

The biggest mistake you can make at this point is to rely solely on your own judgment. Don't be shy about seeking the honest opinions of others. You need to be objective about your home's good points as well as bad. Fortunately, your Realtor ® will be unabashed about discussing what should be done to make your home more marketable.

11. Get it Spic n' Span Clean and Fix Everything, Even If It Seems Insignificant

Scrub, scour, tidy up, straighten, get rid of the clutter, declare war on dust, repair squeaks, the light switch that doesn't work, and the tiny crack in the bathroom mirror because these can be deal-killers and you'll never know what turns buyers off. Remember, you're not just competing with other resale homes, but brand-new ones as well.

12. Allow Prospective Buyers to Visualize Themselves in Your Home

The last thing you want prospective buyers to feel when viewing your home is that they may be intruding into someone's life. Avoid clutter such as too many knick-knacks, etc. Decorate in neutral colors, like white or beige and place a few carefully chosen items to add warmth and character. You can enhance the attractiveness of your home with a well-placed vase of flowers or potpourri in the bathroom. Home-decor magazines are great for tips.

13. Deal Killer Odors - Must Go!

You may not realize but odd smells like traces of food, pets and smoking odors can kill deals quickly. If prospective buyers know you have a dog, or that you smoke, they'll start being aware of odors and seeing stains that may not even exist. Don't leave any clues.

14. Be a Smart Seller - Disclose Everything

Smart sellers are proactive in disclosing all known defects to their buyers in writing. This can reduce liability and prevent law suits later on.

15. It's Better With More Prospects

When you maximize your home's marketability, you will most likely attract more than one prospective buyer. It is much better to have several buyers because they will compete with each other; a single buyer will end up competing with you.

16. Keep Emotions in Check During Negotiations

Let go of the emotion you've invested in your home. Be detached, using a business-like manner in your negotiations. You'll definitely have an advantage over those who get caught up emotionally in the situation.

17. Learn Why Your Buyer is Motivated

The better you know your buyers the better you can use the negotiation process to your advantage. This allows you to control the pace and duration of the process.

As a rule, buyers are looking to purchase the best affordable property for the least amount of money. Knowing what motivates them enables you to negotiate more effectively. For example, does your buyer need to move quickly. Armed with this information you are in a better position to bargain.

18. What the Buyer Can Really Pay

As soon as possible, try to learn the amount of mortgage the buyer is qualified to carry and how much his/her down payment is. If their offer is low, ask their Realtor ® about the buyer's ability to pay what your home is worth.

19. When the Buyer Would Like to Close

Quite often, when buyers would "like" to close is when they need to close. Knowledge of their deadlines for completing negotiations again creates a negotiating advantage for you.

20. Never Sign a Deal on Your Next Home Until You Sell Your Current Home

Beware of closing on your new home while you're still making mortgage payments on the old one or you might end up becoming a seller who is eager (even desperate) for the first deal that comes along.

21. Moving Out Before You Sell Can Put You at a Disadvantage

It has been proven that it's more difficult to sell a home that is vacant because it becomes forlorn looking, forgotten, no longer an appealing sight. Buyers start getting the message that you have another home and are probably motivated to sell. This could cost you thousands of dollars.

22. Deadlines Create A Serious Disadvantage

Don't try to sell by a certain date. This adds unnecessary pressure and is a serious disadvantage in negotiations.

23. A Low Offer - Don't Take It Personally

Invariably the initial offer is below what both you and the buyer knows he'll pay for your property. Don't be upset, evaluate the offer objectively. Ensure it spells out the offering price, sufficient deposit, amount of down payment, mortgage amount, a closing date and any special requests. This can simply provide a starting point from which you can negotiate.

24. Turn That Low Offer Around

You can counter a low offer or even an offer that's just under your asking price. This lets the buyer know that the first offer isn't seen as being a serious one. Now you'll be negotiating only with buyers with serious offers.

25. Maybe the Buyer's Not Qualified

If you feel an offer is inadequate, now is the time to make sure the buyer is qualified to carry the size of mortgage the deal requires. Inquire how they arrived at their figure, and suggest they compare your price to the prices of homes for sale in your neighborhood.

26. Ensure the Contract is Complete

To avoid problems, ensure that all terms, costs and responsibilities are spelled out in the contract of sale. It should include such items as the date it was made, names of parties involved, address of property being sold, purchase price, where deposit monies will be held, date for loan approval, date and place of closing, type of deed, including any contingencies that remain to be settled and what personal property is included (or not) in the sale.

27. Resist Deviating From the Contract

For example, if the buyer requests a move-in prior to closing, just say no. That you've been advised against it. Now is not the time to take any chances of the deal falling through.

Homebuyers Want to Know Your Home Inside and Out

While homebuyers are as individual as the homes they plan on purchasing, one thing they share is a desire to ensure that the home they will call their own is as good beneath the surface as it appears to be. Will the roof end up leaking? Is the wiring safe? What about the plumbing?  These, and others, are the questions that the buyers looking at your home will seek professional help to answer.

According to industry experts, there are at least 33 physical problems that will come under scrutiny during a home inspection. We've identified the 11 most common of these and, if not identified and dealt with, any of these 11 items could cost you dearly in terms of repair.

In most cases, you can make a reasonable pre-inspection yourself if you know what you’re looking for. And knowing what you’re looking for can help you prevent little problems from growing into costly and unmanageable ones.

11 Things You Need to Know to Pass Your Home Inspection

1. Defective Plumbing

Defective plumbing can manifest itself in two different ways: leaking, and clogging. A visual inspection can detect leaking, and an inspector will gauge water pressure by turning on all faucets in the highest bathroom and then flushing the toilet. If you hear the sound of running water, it indicates that the pipes are undersized. If the water appears dirty when first turned on at the faucet, this is a good indication that the pipes are rusting, which can result in severe water quality problems.

2. Damp or Wet Basement

An inspector will check your walls for a powdery white mineral deposit a few inches off the floor, and will look to see if you feel secure enough to store things right on your basement floor. A mildew odor is almost impossible to eliminate, and an inspector will certainly be conscious of it.

It could cost you $200-$1,000 to seal a crack in or around your basement foundation depending on severity and location. Adding a sump pump and pit could run you around $750 - $1,000, and complete waterproofing (of an average 3 bedroom home) could amount to $5,000-$15,000. You will have to weigh these figures into the calculation of what price you want to net on your home.

3. Inadequate Wiring & Electrical

Your home should have a minimum of 100 amps service, and this should be clearly marked. Wire should be copper or aluminum. Home inspectors will look at octopus plugs as indicative of inadequate circuits and a potential fire hazard.

4. Poor Heating & Cooling Systems

Insufficient insulation, and an inadequate or a poorly functioning heating system, are the most common causes of poor heating. While an adequately clean furnace, without rust on the heat exchanger, usually has life left in it, an inspector will be asking and checking to see if your furnace is over its typical life span of 15-25 yrs. For a forced air gas system, a heat exchanger will come under particular scrutiny since one that is cracked can emit deadly carbon monoxide into the home. These heat exchangers must be replaced if damaged -they cannot be repaired.

5. Roofing Problems

Water leakage through the roof can occur for a variety of reasons such as physical deterioration of the asphalt shingles (e.g. curling or splitting), or mechanical damage from a wind storm. When gutters leak and downspouts allow water to run down and through the exterior walls, this external problem becomes a major internal one.

6. Damp Attic Spaces

Aside from basement dampness, problems with ventilation, insulation and vapor barriers can cause water, moisture, mould and mildew to form in the attic. This can lead to premature wear of the roof, structure and building materials. The cost to fix this damage could easily run over $2,500.

7. Rotting Wood

This can occur in many places (door or window frames, trim, siding, decks and fences). The building inspector will sometimes probe the wood to see if this is present - especially when wood has been freshly painted.

8. Masonry Work

Re-bricking can be costly, but, left unattended, these repairs can cause problems with water and moisture penetration into the home which in turn could lead to a chimney being clogged by fallen bricks or even a chimney which falls onto the roof. It can be costly to rebuild a chimney or to have it repainted.

9. Unsafe or Over-fused Electrical Circuit

A fire hazard is created when more amperage is drawn on the circuit than was intended. 15 amp circuits are the most common in a typical home, with larger service for large appliances such as stoves and dryers. It can cost several hundred dollars to replace your fuse panel with a circuit panel.

10. Adequate Security Features

More than a purchased security system, an inspector will look for the basic safety features that will protect your home such as proper locks on windows and patio doors, dead bolts on the doors, smoke and even carbon monoxide detectors in every bedroom and on every level. Even though pricing will vary, these components will add to your costs. Before purchasing or installing, you should check with your local experts.

11. Structural/Foundation Problems

An inspector will certainly investigate the underlying footing and foundation of your home as structural integrity is fundamental to your home.

When you put your home on the market, you don't want any unpleasant surprises that could cost you the sale of your home. By having an understanding of these 11 problem areas as you walk through your home, you'll be arming yourself against future disappointment.

Perhaps you have no plans to buy or sell a home right now, but you are curious about your possibilities. Real estate professionals can answer any questions you may have about the complexities of a real estate transaction and provide you with information to help you make a decision.

Call or send an email if you would like to discuss the local real estate market and determine whether it is a good time for you to buy or sell. If you are a first-time buyer, you may have questions about legal descriptions, fair housing laws or sources of financing. You may be curious about how sales prices are set.

A real estate agent’s job is diverse, and the best agents are excellent sources of information. Each day, real estate agent’s are actively involved with mortgage lenders, attorneys, surveyors and taxing authorities, discussing the latest developments in our ever-changing marketplace. Finding the right real estate agent is like finding the right physician. The help of a professional can help satisfy your curiosity. Call or email with your real estate questions. As one of America’s #1 Real Estate Experts™ I can help you with your real estate needs. Please call me at 507-254-0957, or email me.

While we don't like to talk about it - or even think about it - crime is on the increase in North America, and throughout the world. The number of burglars, muggers, auto thieves, robbers, purse snatchers, etc., is growing at an alarming rate. Now you, as a resident, working with neighbors can help reduce the crime rate.

How? By organizing and/or joining a neighborhood program in which you and your neighbors get together to learn how to protect yourselves, your family, your home and your property. Working together, you can get the criminals off your block and out of your area.

There's safety in numbers and power through working with a group. You'll get to know your neighbors better, and working with them you can reduce crime, develop a more united community, provide an avenue of communications between police and citizens, establish on-going crime prevention techniques in your neighborhood, and renew citizen interest in community activity.

"Citizens Safety Projects" are set up to help you do this. It is a joint effort between private citizens and local police. Such programs have been started all over. Maybe one already exists in your community.

These organizations don't require frequent meetings (once a month or so). They don't ask anyone to take personal risks to prevent crime. They leave the responsibility for catching criminals where it belongs - with the police. This is NOT a "vigilante" group.

These groups gather citizens together to learn crime prevention from local authorities. You cooperate with your neighbors to report suspicious activities in the neighborhood, to keep an eye on homes when the resident is away, and to keep everyone in the area mindful of the standard precautions for property and self that should always be taken. Criminals avoid neighborhoods where such groups exist.

Through cooperation with local law enforcement agencies, some of the things you will learn - and all free - are:

1. What to do in an emergency.
2. How to best identify a suspicious person.
3. How to identify a vehicle being used in a suspected criminal activity.
4. Signs to watch out for before entering a house or apartment that may be in the process of being burglarized.
5. What to do in case of injury.
6. What to do about suspicious people loitering on your street.
7. How to identify stolen merchandise.
8. How to recognize auto theft in progress.
9. How to protect your house or apartment.
10. How to recognize a burglary in progress.
11. How to protect yourself and family - and much more.

It's easy to get your group started. All you have to do is contact your neighbors and arrange a date, place and time for the first meeting. Hold the meetings at your home or that of a neighbor. Try to plan a time that is convenient to most of your neighbors - preferably in the evening.

Then call your local police department. They will be happy to give your group informal lectures, free literature - and in many instances, window stickers and ID cards. Remember, police officers can't be everywhere. Your cooperation with them is for the benefit of you, your family, your neighbors and your neighborhood.

Step 1. Find a Local Lender You Can Talk To in Person
Local lenders understand your market and know of loan programs that might be beneficial to you. Check with your lender on any local programs that might help with closing costs or in other ways. Even though the media have pronounced the 100-percent-financing option dead, this is not always the case. Check it out for yourself and then get preapproved for a loan so you know how much house you're able to buy.

Step 2. Be Specific in the Area You Want To Live
Educate yourself. Familiarize yourself with the neighborhoods you're interested in, the taxes and school districts. This not only helps you narrow down your search when you need to move fast, but also helps you figure out potential mortgage payments. Search for homes in your desired neighborhoods.

Step 3. Find an Agent Specializing in the Area You Want to Live
This will save you time and effort. Once you've identified an agent, trust him or her to do the job. Agents who are thriving in this challenging market have proven their worth. They have the resources and skills to help you find your next home.

Step 4. Don't Shy Away From Houses That Need Some Work
Just because a house needs some paint or cosmetic fixes doesn't mean it's not a good buy. Most real estate agents have an address book full of trusted businesses they work with to help you fix up your new home. There’s a HUD program known as 203(k) that enables you to fold repair money into a primary mortgage; ask a RE/MAX agent in your market about the program. Read more about the 203(k) program.

Step 5. Be Prepared To Act
Sometimes the first home you see is the right one for you. Don't discount it. Remember, good deals still go fast. Take advantage of the electronic tools your real estate agent has to offer. In many instances, real estate agents have access to better information than what you can find in a standard Internet search.

Feel free to give me a call if you have any home buying or selling questions.

Be Green. Be Giving. Be Doubled. Be Great.

Helping Kids BE-lieve Looking back at the growth of the Club there is one constant that threads through every year, every day, every hour; Boys & Girls Club is here. We provide over 1,700 hours each year for youth who need a place to go after school; a place to find a caring adult to be their counselor, their life guard, their tutor, their mentor; a place that provides a sense of stability; a place that provides each youth a positive environment where basic needs are met. — Larry Kent, Executive Director, Boys & Girls Club of Rochester Click here to hear about how the Club helps kids to BE-lieve...

This e-campaign will help the Club "go green" and allow stewarding of resources more efficiently. Boys & Girls Club's e-campaign is one component of its KidStock fundraiser, striving to help all kids Be Great. The e-campaign allows community members to donate online TODAY thru July 31st! During that time, Think Mutual Bank will match dollar for dollar all online donations up to $20,000!! Throughout the overall KidStock campaign, Think Mutual Bank will match every donation up to $40,000. "We're confident that our full pledge to this campaign will be matched and ultimately donated to the Boys & Girls Club to help them meet the needs of kids in the Rochester area," said Paul Mackin, Think Mutual Bank's President and CEO. "The Boys & Girls Club is one of many organizations we support because of its positive impact in this community. They do a great job of helping the youth in our area reach their full potential. We're very proud to be a supporter and partner." Help all kids Be Great by supporting Boys & Girls Club of Rochester programs and services by giving online. Donate Now

• Helping Kids BE-lieve

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Many of you have been asking questions.

Here is a great place to look.

http://www.federalhousingtaxcredit.com/

Feel free to give me a call if you have any questions.

".....you have to sell your present home at exactly the right time in order to avoid either the financial burden of owning two homes or, just as bad, the dilemma of having no place to live during the gap between closings...."

1. The existing home loan must be guaranteed by Fannie Mae or Freddie Mac.
2. Your home must be a 1- to 4-unit property
3. You must have a perfect mortgage payment history going back 12 months. No 30-day lates allowed.
4. Your first mortgage balance must be 125% or less of your home’s market value

INSIDE 

CLEAN!  CLEAN! – Have the carpet shampooed; wax the floors, wash the walls, windows, blinds, drapes and lighting fixtures.  Consider engaging a cleaning service, recognizing that it is a justified moving expense.

KITCHEN AND BATHROOMS – Clear off counter tops.  Leave your canisters and little else.  Maximize the available counter space.  These rooms should be gleaming.  If unsightly, have the tub re-caulked and remove mineral deposits and grime from the shower walls.  Clean the stove, microwave and refrigerator.

PRIMARY STORAGE AREA – like the garage, its time has come to be liberated.  Remember, you can do it now and benefit with a more attractive home on the market, or you can do it several months from now, in the process of moving when there is no advantage.  Do it now.

REPAIRS – Identify and repair dripping faucets, sticking or creaking doors, etc. 

When people see areas of disrepair they begin to wonder whether there may be other unseen problems. 

CLOSETS – Remove out of season clothing.  Organize your clothing and the shoes on the floor.  Remove all clutter from cabinets and closets.

FURNITURE – The less furniture, the larger a room appears to be.

A LIGHT APPEARANCE – As a rule, do everything to lighten the appearance of the home.  Raise the blinds, open the drapes and use light colors.  Repaint any room beginning to look shabby.

OUTSIDE 

Walk the property with a pad and pencil. List anything that you think is less than satisfactory without regard to cost or time.  You can review the list afterwards to determine what you can and can’t repair.

THE HOUSE – Take a close look as you walk the property.  Clean anything that looks unkempt or dirty; repair or replace anything that looks loose, dingy, rusted or broken.  Make sure the door bell works.  Replace a tired-looking mailbox; clean the exterior light fixtures and wash the windows.  Try to spot hanging or rusty gutters, crooked antenna, loose shingles or shutters.

THE YARD – Turn and weed the beds; trim the trees and shrubs.  Lay in ground cover.  Mend the fence, fix the gate latch.  Pick up litter.  Consider a landscaping/lawn service. 

OUTDOOR FURNITURE – Examine and spot paint your out door furniture.  If it’s rusty or un-repairable consider disposing of the pieces. 

FRONT ENTRY – It’s the first thing our buyers see as they stand and wait for the door to open.  It’s worth the extra effort to spruce it up.

THE GARAGE – The time has come.  Discard virtually everything in the garage that hasn’t been used for a year.  Wash it down.

NOTE:  Think in terms of a home that is sparkling clean and uncluttered.

Take advantage of the tools on my website, ie: using the search tools, buyer and seller information, etc.

www.federalhousingtaxcredit.com/

Please feel free to give me a call at 507.254.0957 if you have any questions.

"...you need to beware of agents who set the list price on homes at unrealistically high levels simply to get listings..."

• First-time home buyers who purchase homes between November 7, 2009 and April 30, 2010.
• Current home owners purchasing a home between November 7, 2009 and April 30, 2010, who have used the home being sold or vacated as a principal residence for five consecutive years within the last eight.

To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase.

If you or your client purchased a home between January 1, 2009 and November 6, 2009, please see: 2009 First-Time Home Buyer Tax Credit.

Which Properties Are Eligible?

The Extended Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.

How Much Is Available?

The maximum allowable credit for first-time home buyers is $8,000.

The maximum allowable credit for current homeowners is $6,500.

How is a Buyer's Credit Amount Determined?

Each home buyer’s tax credit is determined by two additional factors:

1. The price of the home.
2. The buyer's income.

Price

Under the Extended Home Buyer Tax Credit, credit may only be awarded on homes purchased for $800,000 or less.

Buyer Income

Under the Extended Home Buyer Tax Credit, which is effective on November 7, 2009,  single buyers with incomes up to $125,000 and married couples with incomes up to $225,000—may receive the maximum tax credit.

These income limits have changed from the 2009 First-Time Home Buyer Tax Credit limits. If you or your client purchased a home between January 1, 2009 and November 6, 2009, please see 2009 First-Time Home Buyer Tax Credit.

If the Buyer(s)’ Income Exceeds These Limits, Can He/She Still Get a Credit?

Yes, some buyers may still be eligible for the credit.

The credit decreases for buyers who earn between $125,000 and $145,000 for single buyers and between $225,000 and $245,000 for home buyers filing jointly. The amount of the tax credit decreases as his/her income approaches the maximum limit. Home buyers earning more than the maximum qualifying income—over $145,000 for singles and over $245,000 for couples are not eligible for the credit.

Can a Buyer Still Qualify If He/She Closes After April 30, 2010?

Under the Extended Home Buyer Tax Credit, as long as a written binding contract to purchase is in effect on April 30, 2010, the purchaser will have until July 1, 2010 to close.

Will the Tax Credit Need to Be Repaid?

No. The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during this three-year period, the full amount credit will be recouped on the sale.