Real Estate Information Archive

Landscaping can add tens of thousands of dollars to the value of your property. In fact, it is one of the few home improvements that not only adds value immediately, but also increases in value as the years go by. Although the term is typically associated with lawns, trees, bushes, and flowers, items such as fire pits, decks, patios, waterfalls, stone walls, gazebos, arbors, and outdoor lighting can also add to your landscape design and increase the value of your home by as much as 7% to 15%.

Research has found that the number-one thing that buyers are looking for in landscaping is a sophisticated design. Close behind is plant size and maturity. A lesser factor, but one still worth considering, is the diversity of plant life within the landscaping design.

Landscaping gurus offer the following advice for your yard:

• Have a coherent plan/design before you begin.  Consider factors such as use, cost, climate, color, ecological advantages, environmental effectiveness, variety, and maintenance.  Scour the Web for landscaping ideas and sample designs, consult with professionals in the field, peruse magazine articles, and/or check out what your neighbors have done to enhance their yards.
   
• Avoid common landscaping mistakes.  Don’t plants tress in tight spaces--or too close to your house--or introduce invasive plants because both will result in expensive removal labor eventually. It is also important to heed the information re: watering, sunlight, soil, and climate needs of the plants you purchase.
   
• Perform regular yard maintenance.  Mow, edge, prune, trim, weed, and mulch as needed to keep your curb appeal at its best.  According to the Appraisal Institute, a home with lackluster or overgrown landscaping will likely be unappealing to both prospective buyers and an appraiser and could definitely affect the home’s potential resale value in a negative way.
   
• Add a splash of color.  Plant a border of bright blossoms. Dig a flowerbed by the mailbox and add some pansies. Place a brightly colored bench or Adirondack chair on the front porch and put colorful pots on the steps.  Select bushes and trees that will lend different hues to your overall design.

Information courtesy of Wilmington DE Realtor Tucker Robbins, Berkshire Hathaway HomeServices.

If you're looking to sell in today’s real estate market, you have most likely already read numerous articles advising you to set a realistic price, pay attention to curb appeal, thoroughly clean and de-clutter, remove large pieces of furniture, repaint in neutral colors, remove personal mementos, and the like.  All of this information is valid and useful, but there are other, less-publicized ways to appeal to potential buyers.  Read on for some creative tips on how to generate interest and get the best price possible.

1. Arrange for a pre-listing home inspection.  In addition to facilitating the sale of your home by reassuring potential buyers, an inspection helps you comply with full-disclosure real estate laws.  You can also have a termite inspection done.
    
2. Use online venues and your personal networks to market your house.  Put an ad on Craigslist, use sites like Zillow.com or Trulia.com, get your own URL with the house’s address, promote the house through social media like Facebook and Twitter, and send out a copy of your listing to people on your email list.  Sometimes word of mouth is one of the best ways to market a house.
    
3. Replace all brass fixtures.  Today’s buyers dislike this “cheap” look that may have been fashionable a couple of decades ago, but it has to go if it’s in your home today.  Switch out each light fixture, switch plate, door hinge, knob, and faucet with for ones with a modern oil-rubbed bronze or nickel finish.
    
4. Add power outlets with USB ports in rooms that lack them, especially in the kitchen, bathrooms, and bedrooms where they’re most needed.  Also, find a place for a wireless router for use with the Internet and flat-screen TVs.
    
5. Offer more unusual incentives.  Paying a buyer’s closing costs, taking care of HOA fees for the first year,  giving a “redecorating” credit, or providing a home warranty for a set time period have become almost expected perks, but you can consider landscaping services, personalized gift certificates (home supply store or a plant nursery, e.g.) or a flexible closing date.

• For equally effective, but more expensive buyer magnets, look into outfitting closets for extra storage (top contenders are an entry closet, a kitchen pantry, and a linen closet) or removing much-maligned “popcorn” ceilings.  Click here for DIY instructions or get estimates from a professional.

Information courtesy of New Castle County Realtor Tucker Robbins, Berkshire Hathaway HomeServices.

You probably already know that you can invest your IRA money in stocks and bonds and even in mutual funds if you so desire, but did you know that you can also invest those IRA funds in real estate?  Doing so, however, is a bit complicated, and IRS rules concerning such purchases must be followed to the letter.  

Usually, when you take money out of an individual retirement account before you reach age 59 1/2, the IRS considers these premature distributions. In addition to owing any tax that might be due on the money, you'll face a 10 percent penalty charge on the amount.  This is not the case, however, when you use the money to buy your first investment real estate.  (Note: Technically, you don't have to be purchasing your very first home or building. You qualify under the tax rules as long as you, or your spouse, didn't own a principal residence at any time during the previous two years.)  You can use up to $10,000 in IRA funds toward this purchase. If you're married, and you and your spouse are both first-time buyers, you can each pull from retirement accounts, giving you $20,000 to use.

The restrictions are many (and perhaps time-consuming) and include the following:

• You will need to find an IRS custodian who handles these investments (and the options are currently limited).  Generally banks and brokerage firms do not handle IRA distributions for real estate transactions.
   
• Only the custodian may handle your IRS funds.
   
• The type of property you buy must be for investment only and may not be used by you or by relatives. 
   
• All proceeds from the investment will go back into your IRA fund.  Likewise, however, all expenses must be paid from that fund, so you must have enough liquidity in your IRA to cover such costs.
   
• You must let the IRS know that you used the retirement money early for a tax-acceptable purpose by filing Form 5329.
   
• You must use the IRA funds within 120 days of withdrawal to pay qualified acquisition costs. This includes the costs of buying, building or rebuilding a home, along with any usual settlement, financing or closing costs.

The above information applies only to traditional IRSs.  To learn about the procedure for an Roth IRA, click here.

Information courtesy of New Castle County Realtor Tucker Robbins, Berkshire Hathaway HomeServices.

Information courtesy of New Castle Realtor Tucker Robbins, Berkshire Hathaway HomeServices.

Buying or selling real estate is a complex procedure, so it’s important to select a competent, honest agent who will skillfully represent your best interests throughout the entire process.  As you begin your search for property or for a new owner of your home, keep your eyes and ears open.  Notice the names on real estate signs in your neighborhood, ask friends and relatives for referrals, attend open houses in your target area to meet the agent on duty, and check the real estate section of your community newspaper,

Once you have compiled a list of names, you will next want to determine if the person is a Realtor, agent, or broker.  A Realtor is someone who is licensed by the National Association of Realtors (NAR), is bound by a Code of Ethics, and has access to the Multiple Listing Service (MLS). 

As you prepare to interview the New Castle County real estate agents on your list, be sure to discuss the following topics:

• The price range of most of their transactions.  Some agents specialize in high-end properties and won't give their best effort on properties under a set value. If they usually deal in fixer-uppers, they may not have the experience to navigate "Millionaire's Row".
   
• Their familiarity with and experience in your target area.  If you're buying, a Realtor should be able to provide you with information on the community, the schools, taxes, traffic, nearby amenities .and other facts. If you're selling, you want your agent to be able to talk to prospective buyers about these details.
   
• The amount of time they can give you—and availability to meet at your convenience.  If you need someone on weekday evenings or can meet only in the morning, will the agent be able to accommodate you?
   
• What services can you expect from them? In addition to helping you buy or sell real estate, interviewing potential clients, previewing and showing property, discussing sales conditions, drawing up and presenting offers, holding open houses, and writing contracts—all the while meeting deadlines and hand-holding when necessary—you should also expect your agent to be current on marketing strategies, federal/state programs, and area real estate trends and comps.
   
• References from previous clients.  Listen to what their past customers have to say. Google their names, too, and check the state for any licensing or disciplinary information.

Information courtesy of New Castle County Real Estate Expert Tucker Robbins.

While many people focus on personal health goals in the New Year, the beginning of the year is also a great time to check your financial fitness. So how can you whip your finances into shape?

South University College of Business, Virginia Beach faculty member Dr. Alan Harper says everyone should adopt these five financial habits in 2015:

1. Establish a budget

Harper says the first step in taking control of your finances is to establish a budget. "It is extremely important to know how much money is coming in, where it's going, and allocating it appropriately," he says. "Having a budget allows you to gain a broader understanding of your spending habits."

Make sure your budget includes allowances for food, clothing, gas, and even entertainment, Harper advises.

2. Start saving

Your budget should also include money set aside for emergencies. Harper says the old rule-of-thumb that three month's salary is enough to have in your bank account no longer applies in our current economy.

"We found in the last recession that people who lost their jobs tended to stay out of work much longer than three months," he says. "You should have six months to a year's worth of income in savings, just in case."

Harper says you should also try to put away 15 percent of your take-home income toward your retirement. Many retirement savings options are available, including 401(k)s, Roth IRAs and individual retirement accounts. It is important to do your homework before deciding on a long-term investment strategy so that you are aware of terms, conditions and any fees associated with your options.

3. Manage your credit

The beginning of the year is a perfect time to check your credit history, and to look for any mistakes on your credit report, Harper advises. Mistakes on your credit report can cost you large sums of money in interest rates, or even keep you from being approved for a loan.

"The law requires the three major credit reporting agencies to provide you with one free credit report a year," Harper says. "Pull those reports and look for discrepancies. If you find one, file a dispute with the credit reporting agency and they will remove the item if it is incorrect."

Harper also says to check your FICO score on the report, make sure you have an understanding of what the score means, and how to improve it if the score is low.

4. Shop smart

Make it a priority to save money while you shop, Harper says. He encourages clipping coupons, and says purchasing membership cards to discount stores like Sam's Club and Costco can help you save money over time.

"Those stores will save you money in the long run on purchases like food, gas, and even personal care items."

5. Check your insurance

Setting aside time at the beginning of the year to check your insurance policies can also save you money. Harper advises that you should review your auto, home and life insurance to make sure you have the proper coverage.

"You want to make sure you aren't paying for coverage that you may no longer need, but you also want to make sure you have adequate coverage in case there is an accident or you need to make a claim," he says.

Many companies also offer discounted rates if you hold multiple policies with them. So, if your auto, home and life insurance policies are with different companies, you may want to explore the benefits of choosing just one company.

"It's also important to make sure your life insurance policies are sufficient to protect your family from a financial crisis in the event that something happens to you," Harper notes.

"Establishing a budget, saving, staying on top of credit and insurance, and shopping smart all take some work," Harper points out. "But the rewards to your personal and household bottom line are well worth the effort." (BPT)

Information courtesy of New Castle County Real Tor Tucker Robbins.

The previous blog about preventing identity theft during a move dealt primarily with precautionary steps to take from your old residence to thwart clever criminals.  So you’re now safely ensconced in your new  home. And you can breathe a sigh of relief, right?

Actually, no.  Unfortunately, there are clever identity thieves waiting at that end of your relocation, also, and your efforts to outwit them must continue at your new address.  Read on for more advice:

• Once you have reached your new home, check to make certain that you have all the important papers and documents you carried with you—and immediately put them in a safe, secured place.
   
• Locate and unpack the box containing your electronic possessions—tablet, IPhone, computers, etc.  Account for each one and consider changing your passwords.
   
• Carefully look through your bank statements to make certain that there are no unauthorized charges.  You might also think about requesting new credit reports to be sure that your status hasn’t changed significantly.
   
• Make certain that you are receiving your mail at your new address.  If you are missing any statements, checks, and the like, report those losses immediately.
   
• Contact your old neighbor to verify that he/she is collecting any mail that arrives to the prior address.  Arrange for it to be mailed to you or go by and pick it up, if possible.
   
• If you have to cancel any bank accounts or credit cards because of your relocation, close the account, cut up any cards associated with the account, and shred unneeded papers.
   
• Replace the locks on immediately- preferably before you even move in, as the old tenants could still have keys.
   
• Be diligent and cautious when providing personal information, especially your social security number, to new doctors, organizations, or schools. 
   
• After the move set up a “safe zone” where you store important papers and can work on private matters away from the eyes of visitors to your new home, repairmen, utility workers, and strangers.

Although you may not be able to protect your identity 100%, you can go a long way in ensuring peace of mind by being proactive, diligent, and aware, especially during a move.

Information provided by Wilmington Real Estate Expert Tucker Robbins.

With all the news concerning retailers databases being compromised and resulting in consumer identity theft, you need to be acutely aware of the increase of identity theft during a move and take precautions to prevent your becoming a victim of enterprising criminals. Moving often makes it easier for identity theft to occur: we leave information behind that others can use---mail that is not rerouted to our new address, important papers that aren't shredded but left in the trash, or through hiring rogue movers. The following steps are essential to ensure your protection:

• If you are using a moving company, be sure that you know it is a trusted and reliable firm.  Sometimes simply getting recommendations from friends, family members, and real estate agents is not enough.
   
• Make a change of address checklist.  Before you move, make sure you take the time to list all companies, institutions, and subscriptions that you receive through the postal system. Click here for a list of those you should include.  Personally notify all financial institutions of your plans to leave your home.  One of the easiest ways that someone can obtain your personal identity is through mail theft.
   
• Submit a change of address form to the U.S. Post Office.  Once your form has been filed, double-check the confirmation from the Postal Service to make sure that they list your new address correctly. Your mail should start being delivered to your new residence within seven to 10 business days after you submit a change-of-address filing.  Ask a current neighbor to take in any mail that comes to your old address after you move.
   
• Although moving is a good time to discard unwanted personal files, records, and documents, don’t just throw them away; shred them!
   
• Make sure your technological “toys”---computers, cell phones, tablets, and the like—are secured by passwords and packed in unmarked boxes.  Better yet, take the computers, hard drives, and other external storage devices with you when you travel to your new home.
   
• Stay in your current home as much as you can while movers are there.

Information courtesy of New Castle County Realtor Tucker Robbins.

Curious about your home's current value? Get an instant market valuation here!

Information courtesy of Wilmington Realtor Tucker Robbins.

A new year has begun and it seems to me that time goes faster and faster each day. The economy is predicted to grow around 3% in 2015 and as you can guess that is good news for the real estate business!  The real estate market holds a few more predictions for 2015…

• Interest rates are still low compared to what they have been in years passed but Freddie Mac is predicting that interest rates will rise above the low 4% they had dipped to in 2014 to up to 5% by the end of 2015.  Still these interest rates are extremely low so if you are in the market for a new house you should go ahead and plan on making a purchase sometime in the year of 2015. 
• Prices for houses by the end of 2015 are predicted to be a little higher than in years passed but not so high that they won’t still be affordable.  Home appreciation will likely move to 4.5 percent instead of 9.3 percent as in 2014.  It may be that home appreciation will drop to 3 percent by the end of 2015.
• If building a home is in your plans then you are apparently on target with a lot of other folks. The building of new homes is expected to rise 20 percent from 2014.  If you don’t find the house that fits your every need this coming year on the market, it will be a great year to build it to your own specifications. 
• Not as many folks will be refinancing in 2015.  As a matter of fact refinances will drop to make up only about 23 percent of single family orientations this coming year.  In 2014 refinances made up roughly more than half of single family orientations. 
• It will be a bit easier to get a loan for your new home purchase in 2015 as some of the restrictions that were once placed on new home buyers will be eased.  Funding sources will grow for new home buyers in 2015 as well. 

As you can see there is a lot of good news for the real estate market in 2015.  If you are considering buying a home, don’t wait another day longer…get on the phone and call a qualified Real Estate agent today to get you started in the right direction.

Information courtesy of New Castle County Realtor Tucker Robbins!