Generally, lenders order a low-cost electronic valuation—based on publicly available statistical data—to review the accuracy of the information submitted by the appraiser. If there is a discrepancy between the electronic valuation and the appraiser’s report, the lender’s underwriters may reduce the appraisal figure.

 ~ Barry Ripp

From:  Calif. Assoc. of Realtors & LA Times

1-   Remove the top set of cabinets doors, then paint them inside & out with a fresh coat of gloss paint.

2-   Hang matching pendant lamps on each side of the couch. This will free up space on the end tables.

3-   Create cubbies in a bookcase, by cutting vertical dividers to the depth of the unit. Secure them with glue & finishing nails.

4-   Paint your front door a vibrant color. Welcome your friends with a new color, like a rich red or another. Use exterior semi-gloss.

5-   Change the hardware in your kitchen. Give it a new look with new polished nickel knobs and handles.

Well, if it’s built before 1978, you may be in for a surprise. That’s because lead-laced paint was used in more than 38 million homes before being banned for residential use in 1978. And starting in April 2010 (next week), the EPA’s Renovation Repair and Painting (RRP) rule takes effect; it requires that anyone paid to do a job that will disturb lead paint must:

• Be EPA certified
• Follow specified safety practices to contain and properly clean the work area, minimizing the generation and distribution of lead-paint dust
• Pass a final cleaning inspection
• Provide homeowners with proper documentation, including the Renovate Right pamphlet and a pre-renovation form

The bad news: Renovation prices may go up, what with more certifications, work requirements and inspections. The good news: Job sites will be safer for contractors and homeowners.

If you’re hiring a remodeler or painting contractor, know what to expect from them. Check these important facts about the dangers of lead, checking for lead in your home and keeping your family safe.

Good luck with your painting project.

This information was obtained from the “Handyman Club of America”

A home protection plan, also called a home warranty, is an insurance policy that insures homeowners against defects in the major systems of their home. Most policies cover the heating, plumbing and electrical systems as well as built-in appliances like the stove, dishwasher and garbage disposal. Some companies will cover movable appliances like the refrigerator, washer and dryer for an extra charge. And some policies even include roof coverage-if you pay an additional fee.  The basic warranty plan costs about $300. per year.

Home protection plans are popular in the real estate industry because they provide a relatively inexpensive way to take care of home defects that develop soon after the home sale closes. For example, let’s say the water heater quits working the day after closing. That could be a fairly high expense for a new homeowner; however, if there is a home warranty in place, the hot water heater will probably be replaced for the nominal cost of a service charge…about $45 per call.

Some sellers offer to pay for a home protection plan to cover the home for the buyer for one year. If problems arise during that year, the buyers simply call the warranty company and pay the service charge. The warranty company pays for the repair or replacement.

Seller coverage is also available to cover the home during the listing and sale period. Seller coverage works the same as buyer coverage except that there are usually more limitations on the coverage. For example, the furnace is usually covered under both buyer and seller coverage. But, the amount of coverage offered under seller coverage is often less than the amount that’s available to the buyer if the furnace breaks down after closing.

One seller who had signed up for seller coverage was able to have some of the defects that were discovered during the buyer’s inspections fixed by the home protection plan company for the cost of a service charge. This was a great deal for the seller because it saved him money and he didn’t have to pay the policy premium until closing. Seller coverage is usually charged by the day.

If the seller of a home you’re buying does not offer to pay for a home protection plan, you can pay for one. Be sure to order it before the closing date.

 ~ Barry Ripp

Information was obtained in part by the CAR & Dian Hymer (who is a nationally syndicated real estate columnist.)

When the inspector checks the outside of the house, they will be looking for the following things: drainage conditions, roof, chimney, and more. Inside the house they will examine: doors, windows, plumbing, electrical, appliances, heating system and water heater. They will also crawl under the house and up in the attic as well.

The home inspector will provide a detailed report (about 30 pages) regarding the condition of the home. They might even recommend what steps to take to correct an issue.

A typical home inspection will cost approx $400. And it’s well worth the money, because it can save you thousands of dollars in possible problems.

 ~ Barry Ripp

In December, the median price of an existing, single-family home rose to $306,820, an 8.4% rise from Dec.’08, the second consecutive year-over-year increase, and the 10^th  straight month-over-month increase, according to C.A.R.’s December sales and price report.

 With affordability near-historic highs, low interest rates, and home buyer tax credits, many properties in California are receiving multiple offers and sparking bidding wars. Home buyers who find themselves in bidding wars should work closely with their REALTOR® to ensure they are crafting realistic offers that are more likely to be accepted by the seller.

  ~ Barry Ripp

Great new for the real estate market. November stats are in and they look impressive. The number of transactions are up almost everywhere you look. That’s partly due to low inventory and new tax credit incentives. 
To give you an idea about the housing inventory; in November 2008, Fremont had 367 active listings; compared to now, Nov.2009 there were 199…that’s 45% less.In the smaller city of Union City, there were 172 listings in 11/08 and now only 51 in 11/09, that’s a 70% reduction. It’s no wonder you’re hearing stories of 10 to 20 offers on the good deals…everyone is looking for one.

What about home sales? Well, Fremont had 67 in Nov.2008 and 92 in Nov.2009. That’s a 37% increase. Union City had only 28 in Nov. 2008 and 40 in Nov. 2009. That’s a 43% increase.

Overall the California median house price rose 5.8% in November. And California home sales increased 4.7%. (compared to a year ago). The median home price in California has risen nine consecutive months in month-to-month comparisons, but November marked the first time California’s median home price has risen in year-to-year comparisons since August 2007.

If you are waiting for the real estate cycle to hit bottom, it’s here now. And, in my opinion, it will stay fairly flat for a year or so before it starts going up again. I’ve seen this market before…it will go up.

 So get ready and start looking to buy your next home…investment or personal use. Don’t get left behind.

 ~ Barry Ripp

www.barryripp.com

Helping buyers and sellers since 1985. I’d love to help you too.

Recent good news about the housing market has many home buyers wondering whether now is a good time to buy. For example, home sales activity increased 9.4 percent nationally in September, a 26 percent increase from a low point in January, according to the National Association of Realtors.

The $8,000 first-time buyer tax credit has stimulated the market, and it has been extended. A credit of up to $6,500 is now available to repeat home buyers who qualify.

Many buyers are having difficulty finding a home to buy. The inventory of good listings on the market is low in many areas because prospective sellers who don’t have to sell now are waiting for a better market. To aggravate the situation, many sellers who need to sell now often take their home off the market after Thanksgiving and will bring it back on the market next year.

Buyers may find there’s very little on the market to choose from for the next several months. However, they may also find that some buyers will drop out of the market over the holiday season, leaving less competition for the listings that are on the market during this period.

 ~ Barry Ripp
Information provided by C.A.R and used with permission.
Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2009/12/06/REAI1ARGC5.DTL&type=realestate#ixzz0ZnrVz7Rf

Start with your gift giving. Giving an experience, like tickets to a movie or ballgame can create much less waste than toys and gadgets. And some of the best gifts can be homemade like cookies and cakes.

As you do begin wrapping up those presents for family and friends, consider reusing gift bags, tissue paper, and bows.

If you need to ship your presents this year, avoid Styrofoam packing peanuts and try using crumpled up newspaper instead.

As you search for that perfect tree, keep in mind that if you purchase a tree from a tree farm you’re not damaging forests. Artificial trees are also a good choice since they are reused every year and that saves on the gas you would use driving to the tree farms.

If you’re buying lights, be sure to purchase Christmas lights made with light-emitting diodes, or LEDs. These lights have been around a few years and are 90% more efficient than traditional Christmas lights. They also last longer.

And start the New Year off on the right foot try treecycling. By recycling your fresh tree you can make a huge difference in reducing holiday waste. Instead of ending up in a landfill, Christmas trees can be ground into wood chips and be reused as mulch gardens, or to prevent erosion.

And remember….have a very Merry Christmas