FSBO Jane

Things have warmed up a little around here (in the 20s or so), but I know that’s not the case everywhere. And if you’re having freezing temps, your pipes could freeze.

How does it happen? When the water in your pipes freezes, it expands, which can make the pipes crack or split in response. So then later, when the temperatures start to get a little better, that frozen (now leaking) water thaws, causing all kinds of damage.

Why is it a big deal? I’ll tell you, this knowledge comes to me firsthand, as I have had my own pipes freeze on me, and, well, let’s just say it was ugly. Like staying-in-a-hotel-for-a-while ugly. Not to mention the financial headaches.

Thing is, your pipes aren’t all underground in the backyard. They are in the walls, underneath the floors, in the ceiling. So when this major amount of leakage comes, it’s happening inside your home. If you want a mental image, imagine leaving the bathtub running while you go to the store, by accident. Then you’re gone all day running errands, and when you come home, it’s been eight hours or so of running water. Imagine that damage, then pair that image with frozen pipes. It’s a big deal.

So what should I do? Prevention is the best tool here. You want to make sure your pipes never, ever freeze. Here are some tips:

*Insulation: Did you know pipes can be insulated? Makes sense, when you consider that you insulate your walls—heck, you even insulate yourself in cold weather, adding layers and coats and hats and gloves. There are specially made sleeves, tubes or even glass strips that can fit on your pipes and insulate them from the cold.

*For Snowbirds: If you leave your home for the winter or even for an extended vacation, leave your thermostat on around 50 degrees and then make sure your pipes will be OK. Turn off the water. Shut down the hot water heater. Drain the water from your system. This way, your pipes won’t be in danger.

*For Vacationers: If you’ll be gone for a shorter vacation during very frigid temps, see if there’s someone who can house-sit for you or even just check on your home regularly. The faster you find out about any problems, the more you’ll be able to minimize damage.

What if it’s too late? If you’ve already had the damage done, your first priority is just minimizing the damage as much as possible.

*Know where the shut-off valve is. Everyone living in your house needs to know this.

*Call a plumber. There are a lot of things I believe in learning to do yourself (like selling a home). But fixing a gigantic water leak that has gone all over your home? That’s not one of them.

It’s amazing how just being prepared can save you from SO MUCH trouble.

Caught this recent post on owner financing - a great way to get buyers’ attention these days - at the Bigger Pockets Blog and thought it worth mentioning over here. This is a clip:

If you absolutely must sell now and are not willing to slash your price, what do you do? What you need to do is stand out in a cluttered and crowded pool of homes for sale. One way to do that is to offer to finance the purchase. The current state of lending makes it difficult for many buyers to obtain acceptable financing. They may not be able to document all of their income or may have some blemishes on their credit reports. I’m not suggesting that you offer financing to anyone with a pulse, but there are plenty of people who would otherwise be credit worthy but may have had a legitimate problem that keeps them from qualifying.

To read the rest of the article, click here.

I started this blog more than a year ago, at a point when the term “social media” meant little more to me than Facebook. I understood that teenagers were online to share pictures and music, but I didn’t understand how that would relate to business. Over the past several months, I’ve been reading more and more about social media.

And you know what I’ve discovered? It is the future. (That, and, I need to catch up.)

This includes the world of real estate. It’s easy to think that we can just keep doing things the way we always have, but, honestly, the Internet has completely changed our ability to communicate and to reach a network of people. If you aren’t participating in the discussion—whether on Twitter or with a blog or at larger networks—you will be left behind.

I realize, obviously, that there are MANY more qualified people out there, blogging and talking about this topic. So here are some excellent resources I’ve come across recently that I can recommend highly. This is a continually changing and expanding field, and I think that’s pretty exciting:

Real Estate Magazine: How to Get Started

Social Media Answers: Social Media Scores and Do They Matter

Social Media Starter Moves for Real Estate

Social Media for Real Estate 101

Want to know how you can market your home aggressively?

(Before you say something about lowering the price, stop. Your home should be priced competitively to begin with. That goes without saying.)

No, what I’m talking about is something crucial to sell your home for the right price. Something that could make the difference between your home and the one next door, that’s priced exactly the same way.

In a word, it all goes back to staging.

Selling your home in a buyers’ market means getting your property in mint condition. Make the inside as close to perfection as is possible, and you have a lure for buyers that can’t be beat. Here are some tips, grouped according to areas in your property.

1. OUTSIDE/CURB APPEAL
From the curb of your home, evaluate the exterior appeal, from the perspective of a buyer. The lawn should be perfectly manicured, the driveway and walkways should be freshly washed, the paint should be in like-new condition. Hang flower pots in front and plant perennials along the exterior. Clean out the gutters. Repair any damags. If it’s winter, shovel. If it’s fall, rake the leaves. And if you live somewhere that’s beautiful year-round, take advantage of it, for heaven’s sake! Do every single thing you can to make the front yard POP at people who drive up. They should be WOWed. Blown away. Emotionally imagining themselves making it their own home. If it helps, pretend you’re about to be photographed for a magazine or featured on your local news. This is the time to pull out all the stops.

2. ENTRYWAY
The entry to your home, right after curb appeal, makes a first impression you only get one shot at. Put an attractive welcome mat in front of the door. Polish the doorknob. By all means, make sure the doorbell works. If you have a sitting area or a porch in front, clean everything and make it look showcase-new.

3. OVERALL CLEAN FEELING
I shouldn’t have to tell you this, but your home needs to be spotless. Like, you should be able to eat off the floor, that’s how spotless I’m talking. If I were helping you sell your home, I would come through with my glasses on and a white glove. If that glove gets anything on it, your home isn’t clean enough. The floors, the walls, the counters, the cabinets: everything.

4. NO CLUTTER
While we’re on the subject of cleaning, get rid of clutter. All of it. Get everything that you don’t need (you’re moving soon anyway, right? think of this as getting ahead of schedule) and put it away somewhere. No more knicknacks. No personal photos. Get your college degrees off the wall. This is not your home anymore. It’s a showcase in a magazine, and you’re in charge of getting it ready.

5. FURNITURE
Whether you’re moving immediately or waiting until the home sells, one principle remains: every room in the home should only have furniture that emphasizes its use. What I mean is this—the bedroom should have a bed, a dresser, maybe twin nightstands. Don’t keep your desk/office in there anymore. Put away the playroom you created in the corner. Would you see those out-of-place things in a magazine?

Likewise, if you have already moved, you have two options in terms of furnishings: either leave just enough to stage the home, or rent furniture. Either way, you’ll want to make the interior look like a home catalog, no more, no less.

6. KITCHEN
The general principles above should help you with all your bedrooms and living areas, and, actually, it should be enough for the kitchen, too. But because the kitchen is such an important selling point in a home—many buyers consider it in the top five of importance level—I feel it must be emphasized. Put everything away. Organize the pantry. Clean the refrigerator. If you can put away your additional appliances (blender, toaster, mixer, etc.), do so. Buyers should notice the hardware of the kitchen, the amount of counterspace, the easiness of being able to use it. This will be best accomplished by your keeping it in mint condition.

OH, and if you have those happy little plugins that smell warm and comforting, you might like those throughout, too. Just be sensitive to overpowering smells and potential allergies of buyers.

I think it’s still early enough in 2009 to talk about redecorating. I don’t know about you, but every new year, I feel the urge for change. And with the brand-new President freshly in office, it seems particularly fitting. Let’s talk about ways to redecorate, or refurnish!, on the cheap.

Especially if you are looking into brand-new pieces, whether at Ethan Allen or your local department store, refurnishing your home can get expensive. But if you are willing to search out the best deals on groceries, clothing or car insurance, why not apply the same rational thinking to your home’s furniture? You can still find tasteful, trendy pieces for much cheaper prices… or sometimes for free!

Neighborhood Dumpsters/Curbs
As the saying goes, “Someone’s trash is another person’s treasure.” On trash day, take a drive or a walk around your neighborhood and keep your eyes peeled for pieces of furniture. Many people like to do some spring cleaning, so look out for items between April and June. Sometimes, all you may need is a sander and a few coats of paint to make a piece seem brand-new!

Garage Sales
How many times have you passed by a sign that says “Garage Sale?” Instead of strolling past it, check out your neighbor’s garage for furnishings. As you are shopping, look for scratches, tears and any other kind of defects. Be prepared to negotiate. Chances are, if people are trying to unload their bad pieces on another person, they will be willing to settle for anything they can get. Another tip… bring cash!

Flea Markets
Similar to garage sales, flea markets offer discount prices, and the vendors are ready to haggle. However, most flea markets are only open on weekends, so be prepared to fight the crowds. You might not find what you are looking for, but you need to go with an open mind. Remember that things can be fixed with little touch-ups.

Model Home Furnishings
Many times, designers are contracted to decorate and furnish model homes. All you have to do is ask the sales rep when they will remove the furnishings and where they sell their pieces. You might be able to buy an entire room’s worth of furniture! And if you can’t buy the furniture directly from the model home, you may be able to find the pieces at a nearby discount furniture store.

Furniture Store Clearance Outlets
Many furniture stores have outlet centers with discounted prices. Furniture in these stores may be damaged, but often the damages aren’t too difficult to remedy. And the best part? The prices should reflect these imperfections! You may even be able to hide a scratch on a coffee table with some candles, a book or candy dishes!

Trade with Other People
I once gave a friend a rollaway stand for his TV. In return, I got the biggest beanbag chair I have ever laid eyes on! It now sits in my basement, and it’s a great place to relax while reading a book, watching TV or even taking a nap. And the best part about this idea… it’s usually free!

You can also check out the furniture section of Craigslist to find people selling, trading or even giving away furniture they no longer want. Just keep your eyes open!

Nowadays, you hear a lot of talk about the rough market and how it’s such a bad economy and so on. There are those who say you should wait to buy a home, some suggesting next year, some even later than that.

In my opinion, there is never a *perfect* time, except in hindsight. And when all the dust settles, there will be a lot of reasons to look back at 2009 as a time we should’ve made a buy.

Here are two quick reasons why I’d be willing to buy now:

1. First-time buyers get a $7500 tax credit.

If you’ve never bought a home before, you will receive a $7500 tax credit for buying one before July 1, 2009. That’s a significant incentive, available NOW.

2. All this talk about a “rough market” benefits buyers.

As a buyer, you couldn’t have more negotiating power than when every doomsdayer is shouting from the rooftops about how bad things are. Sellers do want to sell, and you’re in the driver’s seat, NOW.

What do you think?

An ongoing American dream is to buy a house, raise a family in this house and grow old in this house. Of course, obstacles stand in the way. With the current economic and housing crisis, are we losing touch with this American dream, or is a new dream emerging to rent a house? CBS News discussed this idea in more detail last October here.

It’s hard to say. No one knows what lies ahead. I’m sure some of our past relatives felt that they lost touch with the American dream too. Some never did get to own their own home. But others did. Just because it seems impossible for some right now, it may become possible again in our future.

But for now, the possibility of owning a house really depends on where this house is located. Mortgages for homes on the coast are six percent less when renting. Add all the other costs, like taxes and insurance, and you could be paying three times more to own the home than to rent it! However, in states like Michigan, prices have fallen relatively steady with salaries. Perform some research on your area. To help, there are multiple online calculators to help you out. I found this one to be simple and fast.

Now it’s time for you to decide whether you should try renting your house instead of selling it, if you should find someone to buy your home and rent it to you, or if you should sell your home and start renting elsewhere. It’s a hard decision, but one with many options! You could just rent until the economy gets better, or you could just wait it out in your home as best you can. Just keep in mind, owning a home is not the only American dream that you can strive toward!

As always, let me reiterate the fact that whatever you decide to do, FSBO companies like Buy Owner will stand behind you 100 percent! Even if you decide to rent your home or to start renting a home, you can still use Buy Owner to advertise or to search! And the FSBO method saves so much money, making your American Dream just a little bit more in reach.

Did you hear the latest about Trulia.com? Hat tip to the Sellsius blog for pointing out the Craigslist ad Trulia recently posted, looking for a “rockstar” salesperson to get ads from Fortune 500 companies.

The reason this is so fascinating should be obvious, but in case it isn’t: Trulia.com exists as a site for real estate listings, viewable directly by consumers, even the ones who are searching without agent representation. Homes posted on Trulia, though, compete with advertising for all kinds of other things—apparently sometime soon, they’ll be competing with products of Fortune 500 companies.

BUT, after all, the way Trulia makes its money is through advertising, so this only makes sense, right?

It’s a simple choice, really: 1) Invest in advertising on a site with only homes for sale, such as BuyOwner.com or another real estate marketing service, OR 2) put your property up somewhere where it will compete with the site’s actual income-producers. Which makes more sense to you?

The University of Illinois at Urbana-Champaign just recently created a very helpful website for people going through tough financial times right now. It is so needed! They offer advice on how to cut everyday costs, how to relieve stress after a job loss, and lots of helpful ways to reduce costs in your home or how to deal with foreclosure. If you feel like you aren’t too knowledgeable in that area (most people are unfamiliar with their homeowner or rental rights and how a foreclosure process works) then you should definitely check out this website.

Here are some samples of their advice that I found to be the most helpful advice for homeowners:

*Definitely talk to the people you pay your bills to. Whether it is a landlord, a lender or a utility company, it’s always a better idea to discuss your current situation than to just fail to pay a bill.

*When talking with these people, have a financial plan ready. Show them how you plan on cutting costs and that it will be possible for you to pay this money at a later date. Believe it or not, this way is easier for them too than putting together a foreclosure!

*If you can’t pay your mortgage for months to come, plan ahead. Move in with family or friends in order to save on energy bills and food. Move to a cheaper home and rent your current home out for extra income. This site offers tons of ideas!

*You can save on insurance costs by making little changes like installing security systems. The same goes for utility costs.

*Check out all the advice this website offers by clicking here.

Old habits die hard. Before you sell your home in 2009, make a New Year’s resolution: Forget hiring a Realtor; sell FSBO! Although it is slow, the real estate market has come a long way in the past 25 years. Thanks to FSBO companies like Buy Owner, you can sell your home on your own, and you will save thousands of dollars by not having to pay commission to an agent.

Buy Owner cooks up a recipe for success when it comes to selling your home. Here’s why:

1. You can do everything from the comfort of your own home: meet a Buy Owner sales rep, choose a package, speak to potential buyers, etc.

2. You get high-quality professional photographs.

3. Your ad is written by highly trained professional writers.

4. You can have the photos and the text altered at any time.

5. You can contact customer service seven days a week.

6. You can monitor the views of/matches to your property.

7. You will be given referrals for mortgages, titles and attorneys.

8. Buyers call you directly.

9. Your home is viewable on-line NATIONWIDE, taking the marketing of your property to places you cannot easily reach.

10. The Buy Owner Blog offers tons of tips for selling your home including articles about staging your home, holding an open house and more!

So in 2009, make the switch from the old days of agent-sold properties to a modern day era of home-selling and sell your home FSBO with Buy Owner!