Does Flooring Add to the Value of the Home?

Choosing flooring that adds value!

Real estate agents and brokers from Palm Springs, Calif. to Nashville, Tenn. and Garden City, N.Y. can be found online encouraging homeowners to rip up the carpet and replace it with tile or hardwood flooring to increase the value of their homes. But does flooring really add value? New flooring can add a ton of perceived value, encourage higher offers, and even make a home sell faster, but it may not add dollars to your appraisal. Buyers may like the updated flooring and offer more as a result, but don't expect a higher appraised value. The potential exception to this is if an appraiser considers the overall condition of the home has been raised from poor or average to good with the addition of new flooring.  So sellers, be warned. However, it is important to point out that some picky buyers have been known to run from homes just because they didn't like the pink carpet in the third bedroom.

WHAT FLOORING ISSUES SHOULD BUYERS LOOK FOR?

The lesson here for home buyers is not to fall head over heels in love with the flooring and end up over bidding for a home only to lose the deal because the appraisal won't support it. Flooring is probably one of the easiest and most inexpensive home improvements of its size. So if you love the rest of the home, pause and do the math. What is critical for buyers to pay attention to is the quality of the flooring installation. If shoddy work was done, who knows what else was skimped on that could cost you more money later. Underlay is especially important - it may look great from the surface, but if underlay wasn't properly installed, your flooring could quickly become a nightmare.

WHAT SHOULD SELLERS DO TO THEIR FLOORS?

Sellers should of course consider repairing or replacing the flooring when it is badly damaged. However, this doesn't mean you should go overboard. Depending on the circumstances and condition of the flooring, offering to install custom flooring or giving buyers a credit at closing could make more sense, especially if you are tight on funds.

WHICH FLOORING OPTIONS HAVE THE BEST RETURN ON INVESTMENT (ROI)?

If you really must replace your flooring and budget isn't an issue, does a specific type of flooring add more value? Of course, the best answer really comes down to where you live, the styles of the moment and which rooms you are remodeling. Debbie Gartner, aka "The Flooring Girl" of Westchester, N.Y., tells her clients with hardwood floors that refinishing them is one of the best moves they can make, adjusting the flooring to fit their style with new tones and finishes. Insiders of the house flipping game will probably tell you that switching to Berber carpet in the bedrooms, affordable tile or laminate faux wood flooring in the living areas, and possibly higher grade marble in small bathrooms makes for the perfect recipe for both rentals and resales - delivering a high visual impact, great ROI and best value for the new owners.

4 HOT FLOORING TRENDS TO CONSIDER -- If money is not an issue

          1.      Concrete (stained, colored or stamped)

          2.     Bamboo

          3.     Cork

          4.     Sustainable, ethical or healthier flooring ideas including Marmoleum and recycled carpet.

4 TIPS TO MAKE YOUR FLOORING PROJECT MORE AFFORDABLE

If you've decided to upgrade your flooring, these ideas may help you maximize your budget:

1               1.  Ask contractors if they have access to cheaper flooring.

                 2.  Shop online.

                 3.  Look for specialty warehouses and clearance centers.

                 4.  Learn how to install it yourself.

    Start looking for your next dream home now for free at WheatonHomes4Sale.com!

    Service and information provided by Katie Oakes with Keller Williams. 

Bloomingdale Housing Market: August 2012

Signs and data are looking up for the year over statistics coming in from Bloomingdale, IL. From July 2011 to July 2012, homes for sale in Bloomingdale are down about 33% indicating a shrinkage of the general inventory. In the same time frame properties under contract (waiting to close) are up about 215% and housing units that have closed are up about 92%. These are staggering numbers showing that properties are selling at a much higher rate year over than a year ago. Over the coming months as the large number of homes under contract begin to close, we can only expect that the percentage of homes sold will continue to increase. This information indicates that we may have hit rock bottom in pricing, so if you are looking to take advantage of these low interest rates before prices increase stop by WheatonHomes4Sale.com now and start browsing homes for free!

Information and services provided by Katie Oakes with Keller Williams Premiere Properties.

Buying a Home Debt-Free

Really want to own a home of your own, or take advantage of the many great real estate investment opportunities available here in Wheaton and Glen Ellyn and the surrounding areas but don't want to join the ranks of the millions of underwater homeowners out there or have the stress of meeting a mortgage payment every month?

The Pros and Cons of Saving to Buy a House With Cash

During the hot housing market of the early 2000s, trying to save up enough money to buy a home with cash seemed like an exercise in futility as home prices frequently jumped tens of thousands of dollars. Now things are a little different.

Paying cash for a home can be a smart move, especially for those who are extra sensitive to stress and can't handle the knocks on the door or endless harassing phone calls from lenders when the monthly bills can't be met. Who wants to be afraid to check their own mail?

Perhaps the one great thing that has come out of the foreclosure crisis is the availability of so many inexpensive homes. There are homes and condos all over the country, even in some of the hottest resort areas on the market for as little as $10,000. Even just saving $1,000 a month for the next year could solve your problem of how to buy a house debt free. Plus, coming in with a cash offer and being able to close quickly normally means more bargaining power and even lower prices.

However, not everyone is going to be satisfied with living in a $10,000, one-bedroom condo. Plus, the biggest con of waiting and trying to save up the cash to buy a home outright is that rising prices can quickly mean paying far more for the same home or being priced out of the market altogether. Make sure you weigh carefully the benefits of waiting versus taking out a mortgage now.

How to Buy a House Debt Free Next Weekend!

If waiting just isn't an option, or you simply lack the patience, there is a way you could land a home for less than this week's paycheck by this weekend - real estate auctions.

We aren't talking about the typical auctions in every county, which have been hyped up by real estate "gurus" and are no longer a great source of deals. If you really know what you are doing, have plenty of cash and are willing to risk buying a complete tear-down, okay. Otherwise, you will want to seek out auctions in specific areas of the country where the housing market has been hit the hardest.

In some areas, you could own half a block for less than taking the family out to dinner. You'll just have to sit on the investment for 10 years until the area is revitalized, or try to turn around and sell quickly.

How to Buy a Home and Get Debt Free Quickly

If you already own a home and have equity in it you could decide to sell, downsize and purchase a new home for cash. If this isn't an option, and you are tired of making your landlord rich, there are a number of ways to buy a home now and pay off a mortgage faster.

Leveraging your home purchase with a mortgage isn't always a bad thing. With interest rates and home prices so low this is the optimal time to buy, and locking into a great deal now can help you accumulate a lot of equity through appreciation. In fact, some homeowners who could afford to be debt free choose to maintain a mortgage for the tax benefits and deductions. Just recognize the difference between good debt and bad debt, and don't sink yourself with too much of it.

There are a number of ways to pay down your loan faster to become debt free far sooner than 30 years from now. Maybe one of these ideas is right for you.

1. Make bi-weekly mortgage payments.
2. Take a shorter loan term with a lower rate. Ask about 20- or 15-year fixed loans.
3. Take out an interest-only loan and do one of the following:
a. Pay down principal with commissions or bonuses.
b. Put the difference in a higher yielding investment, and use the proceeds to offset the interest.
c. Purchase a multifamily property and apply the rents directly toward principal each month.

Start looking for your next home purchase now and visit WheatonHomes4Sale.com to view the current inventory in Illinois including parts of Indiana and Wisconsin.

Service provided by Katie Oakes at Keller Williams Premiere Properties.