Two Ways To Upgrade

Have you ever overdressed for an event? Perhaps you understood the dress to be formal, but when you arrived in your sequin dress or black tuxedo, everyone else was wearing jeans and turtlenecks. You may recall how everyone stared as you entered the room, looking a bit out of place.

That happens to homeowners too, but it's not called overdressing - it's called over-improving. It happens when property owners remodel a home to the point where its new value far exceeds all others in the neighborhood.

Let’s say that your family has grown, and you begin your improvements by adding a wing with two more bedrooms and another bath. You expand to a three-car garage, and install an outdoor deck. In the process, you add $55,000 in improvements to your $100,000 home.

As long as you continue living in the home, that's not a problem. When it's time to sell, however, you'll face an unexpected challenge. You’ve spent $55,000 on improvements, but buyers are unlikely to be impressed as they compare the prices of other homes in the area, and expect yours to be in line.

Before beginning a major project, determine the impact on your home's value. Consider “upgrading” to a larger home vs. remodeling, getting advice from a lender and a real estate agent. When it's time to sell, you'll be glad you did.

Low Offers: Prevention Is The Cure

It takes an innovative marketing plan to cause a home to sell, but to attract serious buyers, it must also be priced fairly. What else must be done to successfully sell your home?

Buyers are in search of their dream home. If priced reasonably, they will purchase the home that best reflects their idea of that dream, and it’s the sellers who are in charge of making it happen.

Experience has shown that buyers often reduce their offers by as much as $2 for every $1 in uncompleted repairs. Sellers won't have to face those disappointing offers if attention is given to their home before it is ever shown.

The best method for improving buyer appeal is a "walk-through" by the sellers' real estate agent. The agent plays the part of a prospective buyer, and then suggests upgrades, repairs, and cosmetic improvements.

Then the sellers should complete all the work before the home is placed on the market. Neither a prospective buyer, nor another agent, should ever see the home until it is in 100% marketable condition.

Excuses made at a showing are an open invitation to a reduced price. When a buyer is disappointed, no explanation will suffice to bring the price back up. When selling, ask your agent for advice, and then take action. Buyers will often compete for such a good value.

277 New Home Permits So Far This Year

Home building in Midland has been on the rise for the last 8 years. March and May have been the busiest since 2001 with 64 permits issued in each of these months. Building has not been limited to Northwest Midland, nearly as many homes are being built on the East and Southwest side of Midland within the boundaries of Loop 250.
Info from Texas A&M Real Estate Center
~Sandy

New Energy Options

With energy costs rising more rapidly than most of our salaries have, I've taken a greater interest in alternative energy sources. I came across this website today. Obviously it won't make a huge impact immediately in energy consumption, but it's a start and it looks rather nice! Imagine having one of these solar shades around your pool, or as a rest stop on the golf course, there are lots of possibilities, and we definitely have enough sunshine in West Texas!
Click here to see what I'm talking about!
http://www.buronorth.com/
~Sandy

FHA Loans - Take Another Look

Suzanne Smith of HNB Mortgage has an interesting article on her website this month outlining the advantages of an FHA loan and what the government has done recently to expand loan limits in many parts of the country. If you are in the market to purchase a home you should seriously look at an FHA loan. For the complete story follow this link:
http://www.hnbmortgage.com/Newsletter.htm

Don't forget the tax deadline April 15th!!
~Sandy

Downtown Project - Permian Plaza

Basic Energy Services, Inc. has announced a $10 million dollar project to house it's national headquarters in downtown Midland. The project includes the demolition of the "Belt Buckle Building" to make way for a parking structure and the renovation of two other downtown buildings to create Permian Plaza 1 and Permian Plaza 2. The project will add an addition 65, 525 sq. ft of office space. For more information on this project click here:
http://recenter.tamu.edu/mnews/mnsearch.asp?AID=16
~Sandy

Housing Permits Rise in 2007

New statistics for housing permits were release recently for the year 2007. The City of Midland issued 28 single-family building permits with a total construction value of $3,430,812 in December 2007. The city issued the same number of permits in December 2006. The city granted 514 new residential permits in 2007 and 470 in 2006.
courtesy of the City of Midland, TX

Don't forget Improv at the Yucca Friday and Saturday
~Sandy