Top 5 features that home buyers don’t like

Top 5 features that home buyers don’t like

If you are thinking about selling your house and figuring out where to invest for the highest return on your investment, consider these few updates. According to a new Taylor Morrison consumer survey, 70% of new or prospective home buyers report having outdated features in their homes. Here are the top 5 outdated features:

  1. Linoleum floors 40%
  2. Popcorn ceiling 29%
  3. Wood paneling 28%
  4. Ceramic tile countertops 28%
  5. Shag carpeting 19%

Number 6 was listed as avocado green appliances. Does anyone still have those?

  • Linoleum floors 40%
  • Popcorn ceiling 29%
  • Wood paneling 28%
  • Ceramic tile countertops 28%
  • Shag carpeting 19%

…and a few features new home buyers hope for.

  • Better energy efficiency 62%
  • Personalized floor plans 58%
  • Easier maintenance 56%
While you may not be able to change the floor plan, improving efficiency by adding more insulation in the attic, and re-sealing or replacing weather stripping around windows and doors will definitely improve the efficiency. You may even consider replacing older appliances with newer, more energy efficient ones. Also, you may love your blooming flowers in the flower bed, but many buyers will see it as more work. Consider a simple, low-maintenance yard.

The interior

Wood flooring came in as the most essential feature in any home, followed by tech features like USB and Ethernet plugs. In my experience, many buyers were hoping for a few other tech features like a smart thermostat, doorbell, and even garage door opener. According to the study, millenials preferred jetted tubs, a home theatre, and a wine cellar/refrigerator over the older generation. A dining room is still very desirable, however 65% of millennials are using it for other purposes. As for interior color, 77% want soft natural tones. However, deep, rich tones may be taking over, as 59% of millennials want the interior painted with darker colors.

  • Wood flooring 65%
  • USB and Ethernet ports 44%

Whirlpool tub

  • Millenial 39%
  • Older generations 32%

Home theater

  • Millenial 30%
  • Older generations 24%

Wine refrigerator or cellar

  • Millenial 21%
  • Older generations 12%
Source: “Home Is Where the Shag Carpet Is?” BUILDER (Nov. 16, 2017)

Up, Up and Away

Up, Up and Away

Living in Texas, most people have heard about foundation shifting, a house needing a lift. But have you ever wondered how much your house weighs? Or what it would take to get it lifted with balloons?

As a rule of thumb around the construction industry, a single story home weighs about 200 lb/sf.; 2 story – about 275 lb/sf.; and 3 story – about 300 lb/sf.

Based on this little information, here is a fun little game to play. Can you guess how many balloons it would take to lift your house? Don’t forget to include the garage.

Up, Up and Away... SOLD

12 + 2 =

4 Numbers to know before buying a house

4 Numbers to know before buying a house

With the Dallas Real Estate market hotter than a Texas summer, many people are jumping on the band wagon of buying a house. Don’t get me wrong, I thing everyone should own at least one house, if possible even more. However, before you start shopping, there are a few things to consider. Many buyers get too eager to find a house, then often forget about one very important thing, how are they going to pay for the house?

Here is a list of 4 numbers to know before shopping for a house.

Credit Score

  • Having a great credit score is quite important, even if you are not buying a house, or applying for a loan. But when it comes to getting a mortgage to purchase a house, this is where most lenders will start. In today’s market, there are a number of programs offered by lenders, some guaranteed or insured by government. Ideally you will need to get your score above 620 to get the best option. Some lenders will work with as low as 550.
    Lenders will often have their own way to calculate your score, so shopping for a lender may be a good idea. Just be careful not to over do it with too many inquiries, as it may lower your score.

Debt to Income

  • While a good credit score is important, many buyers forget about their other obligations. Even with the best credit score, if your debt is too high, the lender may still not approve the loan. The lender wants to make sure that you will be able to add another installment payment to your monthly obligation, and keep it up. Debt To Income ratio is a percentage number you get when you divide your monthly payments with your monthly income.
    Front End Ratio: Add up Principal, Interest, Taxes and Insurance (PITI), some lenders may also include HOA dues; then divide with your monthly income. Generally you want this number to be below 28%. Some loans will qualify with a little higher percentage.
    Back End Ratio: Take PITI and add all other debt payments you may have, Credit Card, Student Loans, car payment… then divide with your monthly income. This number should be below 45%. On an FHA loan, below 56%.

Down Payment

  • The Down Payment will be one of the first things to consider to determine the type of a loan you will qualify for. Some of the more popular loans are FHA, VA, USDA and Conventional.
    There are several options when considering a loan, one thing is constant. The lower the down payment – the higher the risk. Every lender will consider this when reviewing your application. While there are some loans with 0% down, these usually require some sort of mortgage insurance and often a higher interest rate.

 Assets

  • Having a great credit score, low debt to income ratio and high down payment, you may still want to reconsider getting a loan. Why? Not having any assets. While lenders will not check on your bank account, unless you are buying a second or a third home, you may sill want to keep a little cushion. It is always a good practice to have a financial cushion of 3-6 months savings.

Whatever you do, the best thing is to contact a lender before you start shopping. This will help you set a realistic goal and avoid surprises and/or disappointments.

Oh yea, before you get unhinged on me about being a cash buyer, reality is, the majority of us will need a loan to buy a house. However, the truth is that a number of buyers that could pay cash will often get a mortgage to purchase a house. It’s called leverage, and it is a good thing.

Got another question?

1 + 1 =

Hot Home Trend: Edison Bulbs

By Melissa Dittmann Tracey, REALTOR® Magazine Does your listing’s lighting need a contemporary makeover? Edison bulbs may be the answer. These clear glass light bulbs, in which the center is exposed, have a nostalgic-like appearance and let out a nice warm glow. They stand out, instead of allowing your lighting to blend in. Edison bulbs […]

read more

March 2018 Housing Affordability Index

At the national level, housing affordability is down from last month and down from a year ago. Mortgage rates rose to 4.42 percent this March, up 8.2 percent compared to 4.28 percent a year ago. Housing affordability declined from a year ago in March moving the index down 7.0 percent from 150.4 to 161.7. The […]

read more

Property Values By State from 2005-2017

Home price appreciation is an important topic in today’s economy. Using data from the American Community Survey (ACS), we can analyze the gains and losses of property values over time. I estimated the median property values by state in 2017 using the FHFA index and the median property values from the (ACS). I then calculated […]

read more

5 ways to make money in Real Estate

5 ways to make money in Real Estate

5 ways to make money in Real Estate

If you want to get wealthy, just do what the wealthy do…nothing illegal. Name any well-to-do person or a corporation you want, and you will soon find out that they have some interest in real estate.

As shocking as it may sound, McDonald’s is considered one of the largest real estate companies in the world. In 1956, Harry Sonneborn got on board and convinced the owners to lease and then sub-lease property to their franchisees, or just flat out buy the land and build a store, then lease it out. McD got into real estate, and has not looked back since. McDonald’s, according to some sources, owns over $28 billion in land and buildings. They are applying some of the 5 principles I will mention below. They are not done either, still actively pursuing more land.

Owning real estate has tremendous advantages over any other commodity.

  1. It cannot be moved, thus can’t be physically stolen.
  2. Everyone needs a home, thus always in demand.
  1. Don’t Rent

One of the simplest ways is to stop renting and buy a property. You can purchase with as little as a 3.5% down payment. A portion of your payment will go toward the principle, so eventually you will own a property outright, plus you will get some tax benefits while paying it off.

  1. Renovate

This is for the little more adventurous type, but ton of fun. Find a property that may need some work, and fix it up.

  1. Flip

Flipping homes is not for everyone. There are in general, two ways to flip homes. In both cases you would purchase a property and fix it up, but one option would be to live in it for a year or two, and other is to sell it right away.

  1. Rent

Yes, Rent. Purchase a property and rent it out. This is a big part of McD’s portfolio. While you may be holding a note, someone else is paying it off by paying you rent. Plus you get some tax benefits.

  1. Build

This is the most stressful and you must commit to it all the way, or else you will lose the money and property. But you will get the satisfaction of building a house to your specs.

 

Real Estate – “I’m lovin’ it”. Would you like fries with that?

Hot Home Trend: Edison Bulbs

By Melissa Dittmann Tracey, REALTOR® Magazine Does your listing’s lighting need a contemporary makeover? Edison bulbs may be the answer. These clear glass light bulbs, in which the center is exposed, have a nostalgic-like appearance and let out a nice warm glow. They stand out, instead of allowing your lighting to blend in. Edison bulbs […]

read more

March 2018 Housing Affordability Index

At the national level, housing affordability is down from last month and down from a year ago. Mortgage rates rose to 4.42 percent this March, up 8.2 percent compared to 4.28 percent a year ago. Housing affordability declined from a year ago in March moving the index down 7.0 percent from 150.4 to 161.7. The […]

read more

Property Values By State from 2005-2017

Home price appreciation is an important topic in today’s economy. Using data from the American Community Survey (ACS), we can analyze the gains and losses of property values over time. I estimated the median property values by state in 2017 using the FHFA index and the median property values from the (ACS). I then calculated […]

read more

Front Door

Front Door

Front Door

Over the last decade, I have visited countless homes and one thing that always stands out is the front door. The front door can set the tone for what the house is like on the inside, it is the first impression of a house, and many times the ONLY impression a house will make.

There are several options on how to improve this first impression and sell your house for the higher price.

Here are a few suggestions on how to improve the first impression on any budget.

  1. Just a simple cleaning and adjusting of the door will make a huge difference.
    • Make sure door is easy to open and close, as well as lock and unlock.
    • If you have a set with dual lock, make sure the keys match, and is easy to turn, not sticking.

Taking a step further, for just around $200, you can repaint or re-stain the door, especially if you have replaced the hardware, as most of the time you will see the outline of the old hardware. While you can do the job yourself, I would recommend calling a professional. Our friends at DFW Painting will be glad to take care of this for you, and maybe help with painting all the way around.

  1. The next option would be the replace the door altogether. Depending on what your budget is:
    • you can get this done for about $300-500, with a simple metal door
    • fiber glass will be closer to around $500-800
    • and a wood door is somewhere between $800-1500
      Note: A wood door will need adequate cover from sun and elements to last longer.

Most doors are standard 36” width and will fit in the same space. Depending on the condition of the frame, you may be able to just switch the panel.

  1. Third option would be a full custom door. This may not be in everyone’s budget or for every house, but if you truly want to make a statement, check out “Love That Door”, this is a great company to work with that sells some impressive wrought iron doors, and other home accessories. They will custom build and install it for you.

The front door… that first handshake.

Resources


DFW Painting

(972) 633-2592

 

Love That Door

(214) 705-6222

Hot Home Trend: Edison Bulbs

By Melissa Dittmann Tracey, REALTOR® Magazine Does your listing’s lighting need a contemporary makeover? Edison bulbs may be the answer. These clear glass light bulbs, in which the center is exposed, have a nostalgic-like appearance and let out a nice warm glow. They stand out, instead of allowing your lighting to blend in. Edison bulbs […]

read more

March 2018 Housing Affordability Index

At the national level, housing affordability is down from last month and down from a year ago. Mortgage rates rose to 4.42 percent this March, up 8.2 percent compared to 4.28 percent a year ago. Housing affordability declined from a year ago in March moving the index down 7.0 percent from 150.4 to 161.7. The […]

read more

Property Values By State from 2005-2017

Home price appreciation is an important topic in today’s economy. Using data from the American Community Survey (ACS), we can analyze the gains and losses of property values over time. I estimated the median property values by state in 2017 using the FHFA index and the median property values from the (ACS). I then calculated […]

read more

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