January 22, 2019

What to Do with “Spot” When Selling Your Home

According to the 2017-2018 National Pet Owners Survey conducted by the American Pet Products Association (APPA), 68% of American households have at least one pet. If you’re one of the approximately 85 million families that shares your home with a four-legged friend, that can be challenging when it comes time to sell your home.

A couple of weeks ago Property Geek Hannah Smith answered a seller’s question on our weekly #GrillTheGeeks segment about how to handle their pets when they had showings. If you missed Hannah’s response, you can watch it here:

#Grill The Geeks – Pets & Showings

Hannah Smith, Realtor chats about why it's so important to have a plan for your 🐕 pets🐈 when selling your home. Have a question for #GrillTheGeeks? Message us on Facebook or send it to info@thepropertygeeks.com.#BHHS

Posted by The Property Geeks on Wednesday, January 9, 2019

Basically, if you’re able, it’s best to make sure your pets are removed from the home when you’re having a showing. Here are our top reasons why:

#1 Pets stink.

We love them and couldn’t live without them, but let’s be honest… most pets have a certain eau de animal about them. If you’re able to find Fido somewhere else to stay while your house in on the market, that would be ideal. But if you can’t temporarily rehome your pets, we do advise removing them from the house during showings. Spray a little Febreze around their preferred areas and take the dog for a walk or the kitty to a friend’s place while prospective buyers are walking through.

#2 Pets can be squirrely.

No matter where you secure your beloved furry friends during a home showing, there’s a chance they could get loose. A buyer might not see the sign you left on the laundry room door and next thing you know, your cat could be hightailing it right through the front door. No agent wants to have to make that call.

#3 Pets get stressed out.

Even if you’ve got your pup nestled into his crate in a corner of the basement, you have no idea how much stress it might cause him to have strangers parading around his house. Spot doesn’t know you’re selling — he just knows there are people there who probably shouldn’t be. If he barks the whole time prospective buyers are trying to tour your home, he might just be the reason they write an offer on a different property.

#4 Pets are unpredictable.

Your cat might be the most loving feline on Earth. But what if she chomps down on a kiddo’s hand who reaches out to pet her? As real estate agents, we’ve heard it all. You’d be surprised how many times a loving four-legged member of the family gets a bad rap for having a natural reaction to a stranger being in their home.

#5 Pets are living allergens.

We’ve seen estimates that 10% of the population has pet allergies, with cats being twice as likely as dogs to cause an allergic reaction. Removing the pets from the home just for a showing won’t eliminate allergens, but it may help. And if you’re able to find a new temporary home for your dog or cat while your house is on the market, it might increase your odds of finding a buyer.

We know it’s not always possible to make alternate arrangements for your pets and buyers do understand that. If you can’t remove them during a showing, try to make sure they’re in a separate area and well-contained for their safety as well as the safety of the prospective buyers.

If you have other questions for #GrillTheGeeks, feel free to send us an email at Info@ThePropertyGeeks.com.

By The Property Geeks

January 8, 2019

Couples Are Prioritizing Home Ownership Over Weddings

‘Tis the season to get engaged! Approximately 40% of couples get engaged during the months of November through February, with December being the most popular by far. Once the confetti has settled from popping the question, the next big decision to make usually revolves around the wedding. Of all the purchases most people will make in a lifetime, two of the most significant—and most expensive—are weddings and purchasing a home.

Because they’re so expensive, it can be challenging for couples to save for both. According to a recent survey, it looks like the majority of couples are prioritizing homeownership over a fancy (and expensive) wedding. Per ValuePenguin, the average cost of a wedding in 2019 will be just shy of $30,000. That could be a sizable down payment on a new home.

According to a recent survey from Open Listings, 64% of couples said they would delay or downsize their wedding if it meant being able to purchase a home sooner, and when asked what big-ticket item they were currently saving for, 29% of couples said a home (compared to just 17% of couples who were saving for a wedding). And the reason? Owning a home is just more important to most Americans couples than dropping tens of thousands of dollars on a wedding—53% of couples and 65% of engaged couples claimed that home ownership was “very important.”

The Takeaway

If you’ve been putting off saving for a home in order to have a large, fancy wedding, you might want to reconsider. A big wedding is a great day. But buying your dream home? That can give you a great life.

By The Property Geeks

November 7, 2018

When is the Best Time of Year to Buy a Home?

One question that pops up constantly from both first-time and seasoned homeowners alike is “When is the best time of year to buy a home?” Potential homeowners want to know the best time of year to get the best home for the lowest price – and ideally, at a time that makes sense for their life.

It would be great if there were a simple and straightforward answer, like “the best time of year to purchase a home is between April 1 and April 7.” But unfortunately, it’s not that simple.

Let’s take a look at the factors that play into answering the question “when is the best time of year to buy a home?”

Convenience

The first factor to consider when buying a home is convenience. This is particularly important if you have a family.

If you have school-aged children, you ideally want to move in between school years, so sometime between May and August. Pulling a child out of school in the middle of the year can be challenging, and children might have a hard time to adjusting to a new school in the middle of the year.

However, because so many potential homeowners have families that want to move during this time period, it drives up the prices, making the summer the most expensive time a year to buy a home.

So, if your main concern is convenience for your family, then summer is a good time to buy – just be prepared to pay a higher price than you would at other times of year.

Inventory

If your top priority is having a lot of houses to choose from, you’ll want to buy a house during the time of year when the most homes are on the market. That way, you’ll have your pick of multiple properties and are much more likely to find a home that has all the items on your wish list.

In most areas, the highest inventory peaks in the spring, right before the end of the school year. Inventory stays high throughout the summer and then starts to fall in early autumn, with the lowest inventory happening in late autumn and winter.

If you want a variety of homes to choose from, look to buy in the spring.

Price

If your main goal is to get an amazing home at a low price, the best time of year to buy is when competition is low. When there aren’t as many people looking to buy, it drives down the prices of homes, and you can purchase property at a significantly lower rate. On average, homes cost 8.45% less in January and February than they do in June, July, and August.

If you were looking at purchasing a $500,000 property, that would bring the price down $42,250 for a sale price of $457,750. That kind of price drop could save you a significant amount of money over the course of your mortgage and lower your monthly payments.

If you’re looking to get the most house for your money, purchasing a home in the winter is definitely your best bet.

The best time of year to buy a home is largely dependent on your needs and priorities. If you’re looking to buy at a time that’s most convenient for your family (and in particular, your children), buying during the summer is a great option. If you want to see as many homes as possible in order to find a property that has everything you’re looking for in a home, you’ll want to buy a home in the spring, when inventory is at its highest. And if your bottom line is you want to pay the lowest price possible, purchasing a home in the winter, when prices are significantly lower, will be the most advantageous.

Just keep in mind that finding and purchasing a home takes time; while it happens, the chances of finding a property during the first week of looking for a home are slim. On average, people spend 30 – 60 days looking for a home and another 14 – 60 days from contract to close, so make sure to give yourself plenty of lead time to take advantage of the time of year that’s best for YOU to purchase.

And if you want to start looking, check out our Search menu or contact one of our agents. We can set you up on an auto search so you get notified right away when something hits the market that meets your criteria.

Happy House Hunting!

By The Property Geeks

June 12, 2018

A Quick Q&A on Radon

What is radon?

According to the Minnesota Department of Health…
Radon is a colorless, odorless radioactive gas that seeps up from the earth. When inhaled, it gives off radioactive particles that can damage the cells that line the lung.

Where does it come from?

Radon comes from the ground. Most soil contains traces or uranium. As the uranium breaks down over time, it turns into radium. Once the radium disintegrates it releases radon gas that rises into the air we breathe.

Why is it a problem?

Although radon occurs everywhere, it’s most dangerous in places where it accumulates to high levels such as indoors. Radon is the most common cause of lung cancer in non-smokers and the second most common cause in those who smoke. Over 21,000 cases of lung cancer can be attributed to radon each year.

How do you know if you have it?

The only way to tell if you have radon is to perform a radon test. Test kits are available online and are simple to perform. A short-term test can take just a few days and a long-term test measures levels over a period of ninety days or more. Since radon levels can fluctuate greatly over time, most experts recommend a long-term test for the most accurate reading. It’s also best to test over multiple seasons.

What do you do if you’ve got it?

The good news is that mitigating a radon problem is a fairly easy and relatively inexpensive fix. In most cases you’ll want to hire a professional who’s licensed in radon mitigation. They’ll most likely install some sort of piping that will vent the radon from the lowest level of the home up and out of the attic. Even after your system is installed you’ll still want to check periodically to make sure the radon levels in your home stay below dangerous levels.

If you’d like more information about radon, check out these resources:
Minnesota Department of Health
U.S. Department of Health & Human Services
United States Environmental Protection Agency

By The Property Geeks

June 5, 2018

The Lifespan of 20 Essential Household Items

Has your air conditioner ever failed on a hot summer day? It’s a struggle no homeowner wants to deal with. When you own a home it’s important to budget annually for repairs that might be needed and anticipate when things might need to be replaced.

If you take care of your home, your appliances and fixtures should last longer. This means keeping them clean, performing regular maintenance and preventing unnecessary wear.
Even the most well-kept homes will need repairs at some point and it helps to know how long you should expect your items to last. We’ve put together a list of how long certain household fixtures and appliances should hold up.

Check out each of the rooms below!

Exterior:

Fixtures outside your home can suffer the most wear and tear of anything you own because they are constantly exposed to the elements. However, they are usually some of the most sturdy and are typically built to last. These are the items you will likely have to pay more for but luckily not as often.

Window Unit Air Conditioner: 10 Years

The typical window unit air conditioner can last anywhere from 8–12 years depending on how much it’s used and how well it’s taken care of. Be sure to turn the unit off when it’s not needed and clean the air filter often.

Garage Door: 12 Years

You can expect 10–15 years of reliable service from a garage door depending on how often it’s used. To prolong its life, apply lubricant spray to door springs every three to six months.

Siding: 30 Years

Siding can last anywhere from 20–40 years depending on the material used, weather conditions in your area and how well it’s taken care of. For instance, aluminum siding will last 15 years but needs to be repainted when it fades every five or so years.
Wood siding that is painted or stained every five years should last decades. But vinyl siding is a popular choice because it can last up to 40 years and is virtually maintenance free!

No matter what material you use to keep your siding clean to prevent dirt and mildew that can shorten its lifespan.

Roofing: 25 Years

Most homeowners will need to re-roof their house every 20–30 years, although the type of shingles you use will impact this number. A metal roof can last even longer, up to 50 years, although it’s more expensive upfront and therefore less common.

To get the longest life out of your roof ensure you check it after inclement weather and be sure to repair it quickly to avoid more damage.

Deck: 35 Years :

Depending on the type of wood, your deck can last anywhere from 20–50 years. However, the average deck lasts around 35 years.

Seal your deck and keep up with minor repairs to keep it strong and sturdy for many years.

Interior:

Maintaining the interior of your home can keep it looking stylish and new. Even the most diligent cleaners will at some point have to replace worn out fixtures. Doing so proactively can help you avoid an emergency situation.

Carpet: 10 Years

Carpet in your home typically has a 5– 15-year lifespan. It will eventually begin to wear out (in the most traveled areas) and it will need to be evaluated. If you notice it’s starting to look dirty, matted or has a foul odor, it’s time to replace it.

It’s a maintenance best practice to steam clean your carpet often (before it becomes visibly dirty).

Faucets and Fixtures: 15 Years

Properly cleaned and maintained faucets and fixtures can last anywhere from 10–20 years. However, if they are not properly cleaned they can last less than 10 years. If you want to make them last, clean out hard water residue often.

HVAC System: 20 Years

It’s best to replace your system around 15 years which means saving up the money and having a professional in mind to fix it.

To get the longest life out of your HVAC change the filters often to avoid overworking your system.

Windows and Skylights: 30 Years

Windows and skylights last so long that often people forget they need to be replaced at all. Good windows will last most people from 25–35 years or more, but you will know it’s time to change them when they start looking warn, begin to suffer damage or are not insulating your home properly.

Be sure to clean window tracks twice yearly to prevent buildup and prolong their life.

Countertops: 15-100+ Years

It’s smart to invest in stone countertops such as granite or quartz because they last so much longer than laminate or cement countertops. Laminate countertops will last anywhere from 10-12 years, while a well-maintained stone countertop can last over 100 years!

Keep your investments safe by avoiding contact with hot surfaces or cutting directly on them. Reseal your stone countertops often and they can last a lifetime.

Appliances:

The appliances in your home are some of the easiest things to fix and some of the more inexpensive to replace. While some people replace appliances as newer technology emerges, it’s most cost-effective to use them for the duration of their lifespan.

Microwave: 9 Years

A microwave can last a long time if properly cared for. Usually, they last anywhere from 5–15 years and sometimes even longer depending on usage. When using your microwave, clean it often and avoid slamming the door. Never run your microwave without something inside, as it can cause serious damage.

Dishwasher: 10 Years

Depending on the make and model, a dishwasher can last anywhere from 7–12 years. If you start to notice your dishwasher isn’t washing well, give it a good cleaning before giving up on it.
To properly clean it, unscrew the drain and clean the filter monthly to prevent clogging. Once the filter is clean, empty the dishwasher completely (racks and all) and running it with a cup of distilled white vinegar inside it.

Washing Machine: 12

The average washing machine lasts between 10–15 years depending on the brand and how well it’s maintained.
To stretch its usable years further, check your washing machines water hoses for signs of wear or weakness a few times each year.

Dryer: 12 Years

Similar to your washing machine, your dryer should last anywhere from 10–15 years. If you buy them together, they likely will be ready to replace around the same time. If you notice it’s making strange noises or emitting strange smells, it might be nearing the end of its life.
A good maintenance best practice is to clean your lint trap before every drying session.

Oven: 14 Years

Ovens these days will last anywhere from 10–20 years. Don’t wait until you start ruining meals to replace your oven.

To ensure it’s running properly, inspect coil burners for deformities and replace any damaged ones.

Miscellaneous:

There are other household items that may not necessarily be fixtures or appliances but are important and should be maintained nonetheless. Things like your mattress and sprinkler system are more obvious because you use them often. However, smaller things like smoke alarms, fire extinguishers and electrical wiring can cause damage if not properly maintained, so it’s important to keep your eye on them.

Mattress: 8 Years

Your mattress is typically used more than most other things in your house and can collect dirt, dust and grime. It’s important to get a new mattress if yours starts to look or smell dirty, or if it’s losing its firmness.

Most people get a new mattress every 7–10 years which is a good rule to follow. Make your mattress last longer by rotating it 180 degrees from head to foot every two to six months.

Smoke alarms: 9 Years

Three out of five home-related fire deaths occur in a house that has malfunctioning smoke detectors. It’s important to not only replace batteries every year but to replace the detectors and alarms every 8–10 years.

Fire extinguisher: 10 Years

It can be tough to tell how old your fire extinguisher is if you didn’t buy it yourself as some don’t have expiration or purchase dates on them.

A good way to tell if it’s working properly is to check its pressure gauge monthly to ensure the needle is in the green area of the pressure scale. If it’s damaged, has low pressure or you think it might be older than 10 years, it’s probably best to replace it.

Sprinkler System: 20 Years

If you’re lucky enough to have a good quality sprinkler system it can last you anywhere from 10–30 years! Take good care of it to ensure you’re on the high end of that scale. Get your backflow checked annually and drain the system of water during the winter if you’re in an area that freezes.

Electrical Wiring: 100+ Years

Old wiring can cause serious safety issues for you and your family. The good news is that wiring systems can last a lifetime if properly maintained. Buy an electric socket tester and routinely test your electrical outlets’ voltage.

If you start to notice low voltage, get a tingling sensation when you touch the walls, smell burning anywhere in your home or have ungrounded outlets around your house it might be time to replace it.

In general, as long as you properly maintain your appliances, fixtures and household items you should get fairly long lives out of most of them. If you also save the recommended 1% of your home’s value every year for repairs you won’t be blindsided when a costly repair does need your attention. Use this list to anticipate your product’s lifespans and enjoy stress-free home repairs.

By The Property Geeks

May 22, 2018

70%+ of 1st Time Buyers Bought With Less Than 20% Down

Most first time buyers believe that in order to purchase their first home, they need to come up with a sizeable down payment—typically 20%.

But the truth is, you can buy a home for a lot less and, in fact, most first time buyers are.

According to the most recent REALTORS® Confidence Index from the National Association of Realtors®, a whopping 72% of first time buyers purchased their home with a down payment of less than 20%.

So what’s changed? While 20% used to be the standard in order to secure a loan, options like FHA loans are more lenient with their requirements. As long as a first time buyer has the financial stability to support their mortgage payments in the long term, they can get approved—even if they aren’t able to save a substantial amount for their down payment.

The Takeaway

If you’re thinking about purchasing a home but have been putting it off to save a substantial down payment, there’s no reason to wait. With the flexible loan options on the market, you can secure a loan with a far smaller down payment than you’d imagine—and make your dream of owning a home a reality.

Chat with one of our Property Geeks today if you’d like to learn more about your financing options!

By The Property Geeks

April 17, 2018

5 Ways to Buy a House in a Seller’s Market

Spring market is here but it’s a tough one if you’re on the buying side of a transaction. Inventory remains low and properties are receiving multiple offers within hours of being listed on the MLS. Lucky for you we’ve survived markets like this before and have some tips on how our buyers can come out ahead of the competition.

1. Act fast.

In a market like the current one, speed is of the essence. Houses are selling almost as soon as they hit the MLS. If you’re serious about buying, make sure you have an idea of what you’re looking for so you’ll know it when you see it. Then work with an agent to get set up on an auto search so you’ll know as soon as possible when a property meeting your criteria comes on the market. If something piques your interest, go see it as soon as possible. Even a couple of hours can make the difference between being an only offer or finding yourself in a multiple offer situation.

2. Write a “Dear Seller” letter.

For some sellers, getting the highest price isn’t the most important part of an offer. They may have lived in the house for decades, it might be where they raised their kids, or it might be a cherished parent or grandparents’ home. In a multiple offer situation, they might take comfort in knowing the buyers love the deck they built by hand or appreciate the perennial gardens. A buyer could mention how much they’re looking forward to big family dinners in the gorgeous kitchen, giving the sellers comfort knowing their home is going to someone who will appreciate the same things they loved in their home.

3. Keep it simple.

If sellers are evaluating multiple offers, they’re probably going to be inclined to favor the ones that ask the least of them. If you’re able to, submit your offer without contingencies, especially the sale of another property. If you’re not comfortable excluding all contingencies, make the time periods short. If it’s standard to take two weeks for an inspection, offer to hold one in seven. Don’t try to include any personal property. You may love the granite-topped dining table but if another offer comes in and those buyers aren’t asking for anything, it may make your offer look less attractive. If other things are equal, the sellers may be swayed to go with the offer that is the least restrictive.

4. Bring your best to the table.

Don’t hold back. If you absolutely love a property, submit your best offer right off the bat, especially if you know you’re in a multiple offer situation. You can also offer a higher amount of earnest money (above the typical 1-2%) to make your offer stand out. If you’re offering over market value and can afford to remove the appraisal contingency, consider using that to your advantage. You can also ask your agent about including an escalation clause. That means that if another offer comes in, you’ll top it by a certain amount up until your max is reached. You’d hate to lose out on a house you love if someone came in a few hundred dollars above you and you didn’t have a chance to increase your offer.

5. Show them the money.

In a tight market, anything you can do to make yourselves look more attractive as a buyer will work in your favor. The vast majority of buyers are pre-qualified for up to a certain amount, but it’s not as common to be fully pre-approved for a mortgage. This means your paperwork is submitted ahead of time and your financials have been verified. It makes you a stronger buyer since there are fewer things that could go wrong when the mortgage company starts submitting paperwork. If you’re able to make a larger down payment, that can work in your favor as well. Ask your agent for other ideas that will make you look like a strong buyer. If two offers are comparable, the seller will typically accept the one with the least amount of risk to them.

We don’t know what the future real estate market will bring, but right now we know buyers need to do whatever they can to make their offers the most appealing. Hopefully some of these tips will help. If you have questions about how to make your offer stand out, give us a call or tune in to #GrillTheGeeks every Thursday at 12pm on our Facebook page where we’ll answer your questions LIVE.

By The Property Geeks

April 16, 2018

Geek of the Week: Hannah Smith

Welcome Hannah Smith into the spotlight as our Geek of the Week! She’s headed to warmer weather tomorrow–one day late thanks to the unexpected winter storm that dumped over a foot of snow in the south metro this weekend. She can’t wait to get outside without a jacket and catch sight of some greenery. Spring is one of her favorite seasons and it’s taking way too long to get here.

Hannah’s been on a travel streak lately, having had the chance to travel to Amsterdam and Paris late last year with her significant other. Experiencing her first trip to Europe was amazing and she’s now dying to go back and collect even more stamps on her passport.

When she’s not chasing her travel dreams around the globe, she’s chasing her daughter right here in Minnesota who seems to be three going on thirteen. She’s getting a kick out of the phrases Anora is picking up at Spanish school and trying to stay just one step ahead of her busy toddler. Hopefully she’ll get to plan a kid-friendly trip in the near future… maybe even a Disney cruise!

With Spring market in full swing, Hannah’s been busy fielding questions about buying and selling. She says her friends laugh at how animated she gets when she’s talking about real estate, especially investment properties. “I get excited talking about investing and helping others come up with creative ideas to get their own investments into reality.” Her dreams include building an extensive investment portfolio of her own in the not-so-distant future.

Now that she’s got several years under her belt she’s grateful for the many wonderful referrals she’s been receiving from past clients, friends and family. She loves experiencing new transactions every day and working with people in all stages of life.

We hope you have a great time on vacation, Hannah! Bring some of that sunshine home with you, please!

By The Property Geeks

March 13, 2018

Ever thought about investing in real estate?

Have you ever wondered what it takes to get started investing in real estate? Are you addicted to those rehabbing and home flipping shows? Do you dream of owning your own cabin or lake home but don’t know how you’d ever be able to afford it?

The Property Geeks are thrilled to be partnering with Profiting On Property to bring you an absolutely FREE Introduction to Real Estate Investment class. Over the course of a couple of hours, you’ll learn about the many options potential investors have when considering a real estate investment. The class will focus on three main avenues… long term rentals, flipping/rehabbing and vacation rentals.

Considering your options can be overwhelming and confusing…

Where do you find properties?
How do you figure out whether a property would work better for a rehab or a long-term rental?
Who do you turn to for financing?
What’s a Contract for Deed?
Why would you even want to invest in real estate… isn’t the marketing going to tank again soon?

We’ll look at answers to all of these questions and more.

Profiting On Property was created to educate first-time and novice investors. There are so many benefits to investing in real estate assets, but wading through the information on how to get started can be tough. The intro class offers a high level overview of the pros and cons and will even go through a case study of an actual investment property, including the numbers.

After potential investors attend the Intro class they can come back for more in-depth information. Profiting On Property will offer more intensive classes on Long-Term Rentals, Flipping/Rehabbing a Property, and Vacation Rentals.

For the class schedule, bios of the speakers and to sign up for notifications on future offerings, visit ProfitingOnProperty.com.

By The Property Geeks

February 20, 2018

Grand Opening Recap

What a week it’s been for the geeks! Last Thursday we celebrated our official grand opening with a ribbon cutting and open house. It was a fantastic evening and the love and support we received overwhelmed us! We wanted to share some photos from the event and sincerely thank everyone who attended or sent their well wishes. It’s because of you… our clients, colleagues, vendors, mentors, and supporters that we’re able to do what we do. A huge thank you to the city officials, other local business owners, Lakeville Chamber members, fellow real estate professionals, and teammates from the Berkshire Hathaway HomeServices Lovejoy Real Estate offices who came out in support. We appreciate each and every one of you!