Success Law # 1

The Law of Service and Rewards. Simply stated this means: " Render a true and valuable service and rewards will come to you." The world and particularly the Internet, is full of people that try to gain their wealth and success by dishonest and selfish means. Abundant life does not come to these people. It makes no difference if it is a crook with false claims, who takes precious dollars from trusting people, a bank robber with a gun, or a despot, who gains control of a nation. These people will not have an abundant life.

3 simple ways to increase your home's value

Think like a potential buyer and your mission becomes clear, an expert renovator says. That means fixing what can be seen (or, ugh, smelled) first.

The single most cost-effective investment you can make to increase the value of your home is to buy a roll or two of plastic trash bags. Stuff them with junk outside the house -- from beer cans to raked leaves.

Nothing could be more common sense than cleaning up the yard and exterior, right?

You'd be surprised at how many people don't recognize the importance of doing these kinds of items. When preparing your house for sale, spend money on things a buyer can see.

One of the things that you don’t want the potential buyer to do when they drive up to your house is to have what we refer to as high 'Yikes!' appeal. "Yikes appeal" is the state of a house in which a normal person would drive up, say, "Yikes!" and keep on driving.

What a 'Yikes' house looks like:
A house with high "Yikes!" appeal has weeds, a boat parked in the front yard and an old car transmission on the side of the house, nested amid beer cans. A rain gutter hangs down. Overgrown shrubs obscure the front windows, creating a dreary interior. People actually try to sell their homes in such condition, creating opportunities for bargain-hunters.

A lot of money is at stake. Homeowners spent $166 billion on home remodeling in 2001, according to the Harvard Joint Center for Housing Studies. More than three-quarters of that was spent on what the Joint Center calls improvements, with the rest going to maintenance and repairs. Another $48 billion was spent on the remodeling of rental properties.

Researchers discovered that 6.3% of remodelers spent more than $20,000 on improvements in 2000-2001 and 2.7% spent more than $35,000. Much of that was targeted toward fixing up kitchens and bathrooms.

Protect, improve, and appreciate:
"Families that spent more on home improvements also realize the greatest rates of price appreciation," the Harvard study said. "In many regions of the country, homeowners recover as much as 80% to 90% of the cost of home improvements in the form of higher home values. Little wonder, then, that homeowners spent almost $2,300 on average in 2001 to help protect and improve their most important financial asset."

If you're getting ready to sell a house, you want to be among the homeowners who recover 80% or more of their investments in the form of a higher price. The key is thinking like a buyer. And what do buyers do? They drive up to a house and look at it. If they're not repelled by what they see, they step inside and look around.

Based on that typical experience, here are a few guidelines:
• Spend money on what can be seen vs. what can't be seen.
• Fix up the exterior first, then the interior.
• Focus first on "Yikes!" appeal -- clutter, trash and bad smells that drive down a home's value.

The improvements that are most visible are the things you need to focus on first.

What you see is what pays off:
This means that, if you have $10,000 to spend, and you can either spend it all on a new roof or all on repairing a cracked foundation (but you can't do both), you should replace the roof because it can be seen. Whatever your budget, put a higher priority on improvements that can be easily seen, because those give you the best bang for the buck.

Because an unkempt yard and ugly exterior can cause prospective buyers to drive away without going inside the house, you should work on those first. Clear up clutter. If you want to, hire day laborers to remove that old engine block in the driveway and reattach that rain gutter that fell two years ago and has been lying by the side of the house ever since. Then concentrate on landscaping. Prune hedges, trees and shrubs, especially if they obscure the front of the house. Paint. If the roof is dirty, hire someone to power wash it.

From the curb, the roof takes up 30% of what you see. If you have a nice-looking roof, that goes a long way in curb appeal for the house.

Cut clutter, clean:
I am not recommending that you break the bank -- just that you spend a little time and money to make the place look better. You should do the same inside the house -- reduce clutter and clean everything. If you own a pet, invite a non-pet owner inside the house to sniff around. You might be inured to the smell of your pets urine, but the stench could make a buyer retch.

If you can, repainted wall-to-wall and have the carpets and vinyl flooring replaced. You might think that by offering a flooring allowance, a family could move in and select their own flooring. Buyers don't want to select their own flooring. They want to move into a house that they don’t have to do too much work to. It delays their move in time. People don't want to fool around with painting and replacing carpet and fixing the house up. In the world of fast food and instant gratification, people just want to buy a house and move in."

When you're trying to decide how to spend remodeling money, seek the advice of an experienced real estate agent who is familiar with your neighborhood. A licensed appraiser should be able to provide guidance, too.

Spring Cleaning Checklist

With spring selling season arriving, take the time now to polish your home to perfection.

1. Let the sun in. Make any room look brighter with clean blinds and windows. Mix a solution of one part white vinegar to eight parts water, plus a drop or two of liquid dishwashing liquid, for a green window cleaner. Spray on and wipe with newspaper to avoid streaks. (Washing on a cloudy day also reduces streaking.)

Showing tip: Replace heavy drapes with lightweight shears during warmer months to give a room a brighter, lighter feel for prospective buyers.

2. Sniff out smells. Check the drip tray underneath your refrigerator and wash out any standing water from defrosting. Remove inside odors by washing the inside of the fridge with a baking soda and water solution. Boil lemon juice in your microwave and add it to your dishwasher to eliminate bad smells. Also, put the lemon rinds down the disposal. Add activated charcoal in the fridge to keep odors at bay.

Showing tip: Make the fridge smell fresh instantly with cotton balls soaked in vanilla extract or orange juice.

3. Make your bed better. Vacuum mattresses and box springs, and then rotate and flip over. Do the same for removable furniture cushions. This is also a great time to wash or dry-clean the dust ruffle and mattress pad.

Showing tip: Add new loft to a lumpy comforter by having two people vigorously shake the quilt up and down to redistribute stuffing.

4. Clean those coils. Improve energy efficiency by vacuuming grates, coils, and condensers in your furnace, stove, and refrigerator (either underneath or in back). If a vacuum won’t reach, try a rag tied to a yardstick.

Showing tip: Shut some air conditioning vents on the first floor or basement so that more air will reach and cool the second floor. Reverse the process in winter for heat vents.

5. Wash the walls. Grease, smoke, and dust can adhere to walls and make even the best decorating look dingy. Wash walls using a general-purpose cleaner with hot water. Start at the top of the wall to avoid drips and in a corner so that you wash one wall at a time. Rinse the mop head frequently in clean water. And don’t press too hard because flat latex paint won’t absorb too much water.

Showing tip: Resist the temptation to spot-clean walls since it will make the rest of the wall look dingy.

If you have any questions, give me a call.

FHA Raised Their Limits!

Great news for people living in Salt Lake County, FHA raised their limits to $729,750!! That's HUGE.

This should dramatically increase activity in the $350,000-$750,000 range, and especially from $420,000 up, as people will not need Jumbo loans in this price range, and people with less than perfect credit can use the FHA program.

Give me a call so we can talk about what this means for you.

TIME Magazine report on Real Estate

Excerpt from TIME Magazine: February 2008. At last someone in the media who understands how real estate (and investing) works! This is not your typical "scary ski-is-falling" article, but finally a reporter uses reason and logic to analyze the buying and selling of real estate.

To read the artical, click here.

Top Way’s to Avoid Mortgage Fraud

Get a referral for real estate and mortgage professionals. Check the licenses of the industry professional with State, County or City regulatory agencies.

If it sounds to good to be true, it probably is. An outrageous promise of extraordinary profit in a short period of time signals a problem.

Be wary of strangers and unsolicited contracts, as well as high-pressure sales techniques.

Look at written information to include recent comparable sales in the area, and other documents such as tax assessments to verify the value of the property.

Understand what you are signing and agreeing to – if you do not understand, re-read documents or seek assistance from an attorney.

Make sure the name on the application matches the name on your identification.

Know and understand the terms of your mortgage. Check your information against the information in the loan documents to ensure they are accurate and complete.

Never sign and loan documents that contain blanks – this leaves you vulnerable to fraud.

Foreclosure Fraud Schemes

Perpetrators mislead the homeowners into believing that they can save their homes in exchange for transfer of the dead, usually in the form of a Quit Claim Deed, and up-front fees. The perpetrator profits from the schemes by re-mortgaging the property pocketing fees paid by the homeowners without preventing foreclosure. The victim suffers the loss of the property as well as the up-front fees.

Be aware of offers to “save” homeowners who are at risk of defaulting on loans or whose houses are already in foreclosure.

When listening to the little voices, pay the most attention to the ones coming from your heart. Seek a qualified Credit Counselor or Attorney to assist. Check with the State to make sure they are licensed or approved.

Mortgage Debt Elimination Schemes

Be aware of emails or web-based advertisements that promote the elimination of mortgage loans, credit card, and other debts while requesting an up-front fee to prepare documents to satisfy the debt. The documents are typically entitled "Declaration of Voidance", "Bond for Discharge of Debt", "Bill of Exchange", "Due Bill", "Redemption Certificate", or other similar variations. These documents DO NOT achieve what they purport.

There is NO magic cure-all to relieve you of your debts you incurred.

Borrowers may end up paying thousands of dollars in fees without elimination or reduction of any debt.

Check the licenses of the professional with State, County or City regulatory agencies.

Do you qualify for a better rate?

The Economic Stimulus Act of 2008 is a $168 billion plan intended to jumpstart the sliding U.S. economy. While a lot of media attention has been focused on the $600-$1,200 rebate checks that millions of taxpayers will begin receiving this spring, the new bill is also designed to help certain "high-cost regions" of the struggling housing market by:

• Temporarily increasing the "conforming loan limit" from $417,000 to as high as $729,750 in specified areas; and
  
• Temporarily increasing the size of loans the Federal Housing Administration (FHA) can insure from $362,000 to as high as $729,750 in specified areas.

If you're looking to purchase or refinance a home in a "high-cost region," this is great news. These temporary increases could help you avoid the higher interest rates associated with "non-conforming," or jumbo, loans. Although these new limits only apply until the end of 2008, the legislation does not exclude the refinancing of any past mortgages into these new "conforming loans." That means, if you qualify, you can take advantage of the new limits no matter how many years have passed since you obtained your mortgage.

While this is great news, I should remind you that qualification standards are tougher than ever. So your credit score and credit worthiness are more important than ever. Give me a call today. I can review your options and discuss if I can make this legislation work for you.

Best Cities For Couples

Best And Worst Bets
Long-term couples looking for community might find Salt Lake City appealing. At 885 marriages per 1,000 people, Salt Lake City far outranked the two closest cities in this category, Kansas City, Mo., and Dallas, which had 823 and 816 marriages, respectively. At the bottom of the list was Buffalo, N.Y., where there are only 573 marriages per 1,000 people. The differences between Salt Lake City and Buffalo are numerous, but two factors affecting marriage rates might be the cultural emphasis on the family unit in Salt Lake City and a beleaguered economy in Buffalo.

City Rankings:

To view the entire story, go here
Forbs

Payback Time!

Selected remodeling projects with average estimated percentage of costs recovered when home is sold.

PROJECT
Deck addition (wood) Build a 16-by-20-foot deck, including a built-in bench, planter, stairs and rail system.
COST - $10,347
AMOUNT RECOUPED - 85.40%

PROJECT
Siding replacement Replace 1,250 square feet with new vinyl siding, including trim.
COST - $9,910
AMMOUNT RECOUPED - 83.20%

PROJECT
Minor kitchen remodel Includes new laminated countertops and fronts for 30 linear feet of cabinetry, oven, cooktop, sink and faucet, flooring.
COST - $21,185
AMOUNT RECOUPED - 83%

PROJECT
Window replacement wood Replace 10 3-by-5-foot double-hung windows with new insulated windows.
COST - $11,384
AMOUNT RECOUPED - 81.20%

PROJECT
Bathroom remodel Includes new tub and tiling, solid-surface counter and sink, recessed medicine cabinet, vinyl wallpaper.
COST - $15,789
AMOUNT RECOUPED - 78.30%

PROJECT
Basement remodel Includes a 5-by-8-foot bathroom and a wet bar with under-counter refrigerator.
COST - $59,435
AMOUNT RECOUPED - 75.10%

PROJECT
Two-story addition A 24-by-16-foot wing including family room with prefabricated fireplace and a bedroom with full bath.
COST - $139,297
AMOUNT RECOUPED - 73.90%

PROJECT
Master suite addition A 24-by-16-foot bedroom with walk-in closet and bathroom with shower and raised whirlpool tub.
COST - $98,863
AMOUNT RECOUPED - 69%

PROJECT
Sunroom addition Build a 200-square-foot room with 10 large skylights, casement windows with movable shades and quarry tile floor.
COST - $69,817
AMOUNT RECOUPED - 59.10%

PROJECT
Home office remodel Convert a 12-by-12-foot room with custom cabinetry including 20 linear feet of laminated desktop, computer workstation, wall storage and rewiring for computer, telephone and other electronics.
COST - $27,193
AMOUNT RECOUPED - 57%

Source: Remodeling 2007 Cost vs. Value Report. Cost data from HomeTech Information Systems; includes labor. Recoup values are based on a 2007 survey of 2,700 members of the National Association of Realtors.

Jan Salt Lake County Sales Trend Report

Here is the sales trend report for Salt Lake County for the month of January.

Days on Market

01 -30 = 177
31 - 60 = 119
61 - 90 = 96
91 - 120 = 56
121 and older = 59

Average days on market = 58

Renoir's Montmartre House Is for Sale in Paris

A longtime Parisian home of Impressionist painter Pierre-Auguste Renoir is on the market for €3.75 million (about $5.5 million), reduced from its listing last year of €4.5 million.

Known as the Château des Brouillards (mists), the 18th-century stone house was also the childhood home of famed filmmaker Jean Renoir, the painter's second son. The house is in Montmartre, the Bohemian enclave that lured Pablo Picasso, Vincent van Gogh and many other artists. The neighborhood figures in Renoir's 1876 masterpiece "Le Moulin de la Galette," as well as the work of Henri de Toulouse-Lautrec.

The four-floor, 3,200-square-foot stone house has four bedrooms and a concierge's apartment. There's a front garden and a 1,200-square-foot interior garden. The current owner's family has held the property for about half a century and hasn't renovated the interior, says listing agent Xavier Attal, of Immobest International in association with Quintessentially Estates and Prestige Properties.

Jean Renoir, who directed "Grand Illusion," wrote extensively about the Château in a memoir of his father, who died in 1919 at 78, calling it an "odd conglomeration" of buildings "perched high above the Paris mist" whose hedge let its inhabitants live "in a world apart."

I just thought I would pass this along :)

Mortgage rates are the lowest since summer of 2005

Rates on 30-year mortgages dropped for a third straight week to the lowest level since the summer of 2005 as worries intensified about the current economic slowdown.
Freddie Mac, the mortgage company, reported Thursday that 30-year, fixed-rate mortgages averaged 5.69 percent this week.

It marked the second week that 30-year mortgages have been below 6 percent and the third straight weekly decline since rates closed out 2007 at 6.17 percent. This week’s average was the lowest since 30-year mortgages were at 5.66 percent the week of July 14, 2005.
Other types of mortgages also showed declines this week.

Rates on 15-year mortgages, a popular choice for refinancing, dropped to 5.21 percent this week, down from 5.43 percent last week.

Rates on five-year adjustable-rate mortgages declined to 5.40 percent, compared to 5.63 percent last week while rates on one-year ARMs fell to 5.26 percent, down from 5.37 percent last week.

It marked the first time that the 15-year rate has fallen below one-year adjustable-rate mortgages in seven years.

A year ago, 30-year mortgages stood at 6.23 percent while rates on 15-year mortgages were at 5.98 percent. Five-year adjustable-rate mortgages averaged 6.04 percent and one-year ARMs were at 5.51 percent this time a year ago.

Salt Lake County Sales Activity Trend Report

I am going to be posting on a weekly bases the previous weeks sales activity trend for Salt Lake County. If you have any question, please call me.

Time Period: January 1, 2008 through January 11, 2008

Days on Market
01 - 30 - 70
31 - 60 - 48
61 - 90 - 32
91 - 120 - 18
121 or Over - 19

Average - 54

Days on Market is calculated by counting the days between the Listing Date and the Contract Date (the date the home goes under contract).

This information is deemed to be reliable, however WFRMLS, and daledansie.com does not guarantee accuracy.

If you're selling in spring, clean now!

If you want to sell you home in spring, don't wait until then to clean, do it now!

If you know you want to move by summer, now is not too early to bring somebody in. Now -- not when the tulips are poking from the ground -- is the time to de-clutter, clean, make repairs, get paperwork together and interview real estate agents. Homeowners with a lot of junk can take two to four weeks just to get through this step. You want to make it look sparse, unpersonalized, but not empty. Boxes should be out of sight. Keep workstations or hobby areas such as sewing machines organized and neat.

When cleaning, pay attention to the stairs, molding, windows and appliances. Replace any old or missing light bulbs. Also make sure no light bulbs are burned out. You need to have someone else look at the house, perhaps a home inspector, or a neighbor. A second pair of eyes can see something you've been purposely overlooking for years.

Replacing light fixtures and faucets is a relatively inexpensive way to freshen up rooms. You should consider having the roof inspected and certified to reassure buyers it is in good repair. You should start pulling paperwork together. If there is a mortgage on the property, ask the lender for payoff figures, including any penalties for paying the loan off early. List upgrades and repairs done in the past five years and gather warranties for appliances and the roof; having that information in hand speeds up the process.

I would be happy to come look through your home if you would like.

Some Home Fix-Up Tasks Are Worth Skipping

If your New Year's resolution is to sell a home in 2008, it's probably time to start thinking about how to make that home stand out from the rest.

But before planning any projects, beware: Homeowners aren't recouping as many improvement costs as they could in recent years, according to a recent study by Remodeling magazine. In fact, real-estate agents advise clients not to overdo it, regardless of what the local market conditions are like.

It's more important that it's neat, it's clean and it looks spacious, rather than making sure it's the top of the line, bypass projects that aren't necessary.

If you do a lot of remodeling, DON'T take the cost of the remodeling and add it to the cost of the home and ask the buyer to pay for it, you won't get that higher price.

To keep costs down and spend remodeling dollars wisely, consider the following tips.

1. Ask for advice. Before making any remodeling plans, clear your home of clutter and rent a storage unit, if necessary, to hold extra stuff while the home is on the market. Then, get some advice from a local real-estate agent on how the home stacks up against the competition.

2. Dig deeper. It also could pay to look below the surface by getting a home inspection before listing the property. That way, problems that could hold up a sale are addressed in advance.

3. Look outside. Pay attention to exterior details like the condition of siding and windows.

4. Spend time in the bathroom. Freshening up the bathroom doesn't have to be expensive, but it could be important. It's most important for the bathroom to be clean, but sellers should also consider replacing the fixtures, tub, sink and toilet. Replace cracked tiles and curled linoleum.

5. Keep it small in the kitchen. The other room that often sells a house is the kitchen, but it might be best to keep renovations modest. Remodeling magazine's report found that homeowners could recover 83% of the cost of a minor kitchen remodel at resale, compared with 78.1% of a major kitchen remodel.