National Flood Insurance

Information from Kansas City Association of Realtors

Earlier this afternoon, both the United States House and Senate overwhelmingly passed a long-term, five-year reauthorization of the National Flood Insurance Program (NFIP).  Once the President signs the bill sometime in the next few days, this will ensure that flood insurance will continue to be available for your clients over the long term horizon.  Under this bill, Congress will not need to reauthorize the program again until September 2017.

Most importantly, the passage of this bill puts the program back on solid ground and ensures that over 46,000 real estate transactions per month will not be cancelled or delayed due to the unavailability of flood insurance coverage.  Having said that, the bill did make several key changes to the flood insurance coverage provided by the program, including the following:
• Deletes a proposed mandate that all home owners who live behind levees and other flood control structures must purchase flood insurance;
• Allows the Federal Emergency Management Agency (FEMA) to increase flood insurance premiums up to 20 percent annually to cover increased flood insurance claims;
• Mandates that rates for second and vacation homes, properties with repetitive flood claims and commercial properties will go up 20 percent over the next five years;
• Allows FEMA to purchase private reinsurance coverage to backstop the program’s losses; and
• Requires lenders to accept private flood insurance coverage if that coverage meets all the same requirements as NFIP-backed flood insurance policies.

http://www.propertycasualty360.com/2012/06/29/after-years-of-delays-congress-passes-long-term-nf

How Sellers Can Prepare For a Buyer's Home Inspection

(Courtesy of WIN Inspection)

How Sellers Can Prepare For a Buyer's Home Inspection

Home sellers quite frequently ask, "What will a home inspector be looking for in my home and how can I be more organized for the home buyers inspection?" Informed sellers can make the home inspection process easier and faster, ensuring a more thorough and accurate inspection.
Here is a list that may be helpful for you in preparing your house for a home buyer's inspection. Many of these items can be done at little or no cost and are part of a regular maintenance program for any home.

• House Exterior
• Remove soil or mulch from contact with siding. Six or more inches of clearance is best.
• Clean out dirty gutters and any debris from the roof.
• Check to make sure all water from downspouts, sump pump, condensation and basement entry drains is diverted away from the house.
• Trim trees, roots, and bushes back from the foundation, roof, siding and chimney.
• Paint weathered exterior wood and caulk around the trim, chimney, windows and doors.
• Repair any failing mortar in brick or block.
• Remove wood and/or firewood from any contact with the house.
• Caulk all exterior wall penetrations.

• House Interior
• Clean or replace heating and cooling filters, clean dirty air returns and plenum.
• Test all smoke detectors to ensure that they are working.
• Have the chimney, fireplace or wood stove serviced and provide the buyer with a copy of the cleaning record.
• Replace any burned out light bulbs.
• Have clear access to attic, crawl space, heating system, garage and other areas that will need to be inspected.
• If the house is vacant, make sure all utilities are turned on. This includes water, electricity, furnace, A/C and the water heater because they will need to be inspected.
• Ensure ready access to all rooms and crawl spaces. Clear all furniture, boxes, clothes, toys and other personal items that may block access to the furnace, water heater and electrical panel.

• Basement, Crawl Spaces and Attics
• Check to ensure that the crawl space is dry and install a proper vapor barrier if necessary.
• Remove paints, solvents, gas, wood and similar materials from crawl space, basement, attic and porch.
• Update attic ventilation if none is present.
• If windows are at or below grade, install window wells and covers.

• Doors and Windows
• Ensure that all doors and windows are in proper operating condition, including repairing or replacing any cracked windowpanes.

• Kitchen and Bathrooms
• Ensure that all plumbing fixtures such as the toilet, tub, shower, and sinks are in proper working condition. Fix any leaks and caulk around fixtures if necessary.
• Ensure GFCI receptacles are functional.
• Check bath vents to see if they are properly vented and in working condition.
• Clear out areas under sinks so they can be inspected.

© 2012 WIN Home Inspection is a registered trademark of World Inspection Network International, Inc. and franchisor of home inspector services.
WIN | 9238 Madison Boulevard, Suite 750 | Madison, AL 35758 | 800-309-6753

The 10 Most Common Home Concerns

(Courtesy of WIN Inspections)

The 10 Most Common Home Concerns

Buyers and sellers may believe that every home is unique, but home inspectors find that most homes' defects are strikingly similar. In fact, there are 10 common home defects that inspectors can typically identify. It's a good idea to familiarize yourself with them so you can learn to recognize signs of trouble that an inspector might identify and start planning ahead for repairs or work you might need to do if you buy a property with some of the most common issues.

Here's a look at the ten most common home defects identified by inspectors:

1. Poor drainage: Inspectors will review whether water moves away from the house properly and whether the roof needs new gutters and downspouts or if ground-level drainage systems have been properly graded.
2. Faulty electrical wiring: If electrical wiring hasn't been properly installed or grounded, a home may be vulnerable to fire and inhabitants may risk electrical shock. Older homes often need electrical upgrades, including new wiring and circuit breaker panels which replace old-fashioned fuse boxes.
3. A leaking roof: Leaking roofs result from poor flashing (intersections where parts of the roof are joined) or aging shingles and roofing materials. If the roof has leaked, repairs could range from minor (replacing shingles) to extensive (replacing an entire roof).
4. An aging or defective heating system: Older heating systems require maintenance and may be energy-inefficient. Non-electrical heating systems also run the risk of emitting carbon monoxide fumes, making a carbon monoxide detector advisable.
5. Poor maintenance: A do-it-yourself seller's bandaid fixes to plumbing, electrical or other problems can sometimes do more harm than good.
6. Structural damage: A leaking roof or settling foundation may mean doorways, walls and support beams are off-kilter. You'll need to fix these problems to remain safe.
7. Plumbing problems: Inspectors look for faulty pipes and fixtures, and also look at whether plumbing parts are made of compatible materials. Leak-prone polybutylene (PB) plumbing pipes, popular in the 1970s till the mid-1990s, may have to be replaced.
8. Water seepage through windows and doors: If there's evidence of water damage or intrusion, then re-caulking windows and doors, adding weather-stripping or other more extensive repairs may be necessary.
9. Poor ventilation:  If moisture has accumulated in a home, it may be most obvious in bathrooms. Installing ventilation fans and keeping windows open can help, but buyers may find they need to replace walls or other structural aspects of a home.
10. Hazardous materials: Older homes may contain lead-based paint and asbestos materials. Depending on structure and climate, homes may also contain unhealthy levels of carbon monoxide, radon gas, or toxic molds. Homes with oil heat typically store fuel in underground tanks which need to be checked for leakage.

© 2012 WIN Home Inspection is a registered trademark of World Inspection Network International, Inc. and franchisor of home inspector services.
WIN | 9238 Madison Boulevard, Suite 750 | Madison, AL 35758 | 800-309-6753

Tax Refunds as Assets

Another great article by The Mortgage Experts:

Tax Refunds as Assets

by Chris and Debbie Thomas

It's almost tax refund time. Many people ask us if tax refunds can be used to pay for a mortgage down payment or closing costs.

The answer is YES! All a borrower needs to do to document the tax refund is to provide a copy of the refund check and a bank statement showing that the refund has been deposited into their account. If the refund was automatically deposited into their account, they won't have a copy of the check, but the notation on their bank statement will show that it is a tax refund. In the case of automatic deposits, the only documentation necessary is the bank statement.

The money does NOT have to be "seasoned", meaning it has been in their account for 60 days. As soon as the refund has been deposited, it can be used to pay the down payment or closing costs.

Getting a loan approved is easy - if you know what to do. The Mortgage Experts know what to do!!!

Make sure you check out our web site:
www.mtgsupportservices.com

Hidden Dangers

You take steps to protect you home from intruders, fire and other disasters, but there could be other unseen dangers lurking in your home. These dangers include carbon monoxide and radon.

Carbon monoxide is a colorless, odorless gas, which is why it can be so deadly; rarely do its victims have any warning, but low levels of poisoning cause flu-like symptoms. Gas hot water heaters, gas and oil furnaces, fireplaces and wood stoves all generate carbon monoxide as do any other appliances that burn gas or solids. Cars also generate the deadly gas, causing many deaths and injuries when people warm up their car motors in closed garages.

Radon, much like carbon monoxide, is a gas that you can't smell or see. It is a radioactive gas emitted through the natural breakdown of uranium in soil, rock and water. It's also everywhere as part of the natural environment, but usually in insignificant amounts. Since the gas comes to the earth's surface from underground, it may build up to harmful levels in poorly ventilated basements. It enters your home through such small spaces and openings as unsealed crawl spaces, cracks and wall/floor joints in the basement, floor drains, sump pumps and other plumbing penetrations.

To protect your home and family from these unseen dangers, purchase detectors and home testing kits. If you suspect the presence of carbon monoxide, radon, natural gas or any other harmful gas, call 911 to report it. Also, be sure you know the warning signs of carbon monoxide and radon poisoning. If anyone in your home experiences any of these symptoms, ventilate your home and seek medical attention immediately:
- Headache
- A persistent cough that doesn't get better
- Difficulty breathing, shortness of breath, wheezing or hoarseness
- Recurring bouts of such respiratory infections as pneumonia or bronchitis
- Nausea or vomiting
- Dizziness, fainting or fatigue

(Information courtesy of <em>Today's Living</em>)

Little Luxuries

Looking for ways to add luxurious extras to your home, but don't have much of a budge to work with? Here are some inexpensive amenities and custom features that will make your home look like a million bucks:

- <strong>Begin with your entryway</strong> - it can be both the first and last impression people will have of your home. Add a fresh coat of paint to the front door, accessorize by updating the knocker and welcome mat, and decorate with planters filled with colorful flowers.

- <strong>Fix your fixtures</strong> - while you may not have the time nor money for a complete bathroom or kitchen remodel, you can give these rooms an instant update by installing high-qualify fixtures. Also, replacing the hardware on cabinets may seem like a little task, but it can offer big rewards.

- <strong>Give your bathroom the spa treatment</strong> - there are many indulgent options for your bathroom, including extra-deep soaking tubs, whirlpool jets, even chromatherapy (color therapy), but if you prefer a quick shower to a long, how bath, you might consider installing a rain shower head. And don't overlook the little extras, like a warming towel rack and fragrant candles.

- <strong>Touchable textures </strong>- make your home an oasis of comfort by placing plush pillows in the living room, using crisp linen sheets for the beds and soft, thick towels in the bathrooms.

(information courtesy of <em>Today's Living</em>)

Kansas City Restaurant Week

Friday January 20th starts Kansas City Restaurant Week. This is a great way to try out many of the great restaurants in Kansas City for discounted prices!

Check out Kansas City Restaurant Week for a list of the participating restaurants!

Several Housing Markets Head for Appreciation in 2012

Daily Real Estate News | Tuesday, January 03, 2012

A boom in farm prices has caused many Midwest cities to emerge as leaders for some of the strongest predictions for housing appreciation in 2012. Kansas City, Kan., came in the top spot in HousingPredictor’s annual survey, forecasting an appreciation of 5.8 percent for this year.

“The recovery is starting in housing with these cities and will eventually spread to other communities throughout the nation as the U.S. recovers from the worst collapse in real estate since the Great Depression,” according to HousingPredictor.

Here are the top cities expected to have housing appreciation in 2012 and by how much, according to HousingPredictor’s latest report:

1. Kansas City, Kan.: 5.8%
2. Topeka, Kan.: 4.7%
3. Charleston, W.V.: 4.5%
4. Oklahoma City, Okla.: 4.3%
5. Minot, N.D.: 4.2%
6. Overland Park, Kan.: 4.2%
7. Wichita, Kan.: 4.1%
8. Huntington, W.V.: 4%
9. Wheeling, W.V.: 3.9%
10. Bismarck, N.D.: 3.6%
11. Casper, Wyo.: 3.5%
12. Lake Charles, La.: 3.4%
13. Rapid City, S.D.: 3.2%
14. El Paso, Texas: 3.2%
15. Cheyenne, Wyo.: 3.2%
Source: “Best Housing Markets 2012,” HousingPredictor (January 2012)

Decluttering - January 2012

I have found so much great stuff on Pinterest that I just have to share it!! One of the things I found was a Decluttering calendar for 2012! It has one small item you can do daily to help declutter your life. I hope you enjoy it as much as I do. You can check out <a href="http://www.mysimplerlife.com/2012.htm" title="My Simpler Life - Decluttering Calendar for 2012" target="_blank">My Simpler Life</a> to see the entire years calendar.

Here are a few Declutter & Organizing Tips from the website:
- If you don't have a certain item or area in the calendar, take a break or finish one that's incomplete.
- These organizing tips aren't the only way to organize things. If your current way works - leave it. And if you want other ideas do a search for the area you are playing with.
- Clean areas after you declutter. for instance, if you are decluttering a shelf take everything off the shelf, clean it and then put back what you are keeping.
- If you are unsure about an item, put it in a box labeled with the room and date in 6 months. If you need an item from the box you can get it. In 6 months, you can safely declutter the box.
- Declutter with boxes/bags - give away, put away and trash bag.
- Absolutely no beating yourself up if you don't finish a day. Just start again the next day.
- Visualize an area as you want it to be, before decluttering.
- Declutter with a friend, music or other ways to make it more fun.
- Put things you use most often in the easiest places to access.
- Organize based on how you do things. If you always dump your keys on the front table, don't create a key rack. Instead, put a key bowl on the front table.

You can do this!!


<a href="http://homewithjodi.com/wp-content/uploads/2012/01/Jan-2012.jpg"><img src="http://homewithjodi.com/wp-content/uploads/2012/01/Jan-2012-300x205.jpg" alt="" title="Jan 2012" width="300" height="205" class="aligncenter size-medium wp-image-565" /></a>

5 Things To Do NOW If You Want to Buy A Home In 2012

(Courtesy of Trulia & Tara-Nicholle Nelson)


At this point in December, it can start to feel like the New Year – along with all our hopes, dreams, wishes and expectations for it – are barreling down on us. Personally, I’m a rabidResolution-setter, and I have a pretty strong track record of making New Year’s changes actually happen – and stick.  But what I know after years of using the New Year as a great excuse to set and meet some goals is that it’s very, very helpful to get a head start, ramping-up to new habits, behaviors and target goals achievements starting in December.

If you’re one of the millions who has an eye on 2012 as the year in which you’ll buy a home (first or not), here are five things you can do now to put yourself on the right path:

1.    Check your credit. Take my word for it: there is no bad surprise worse than a bad credit surprise. Okay, maybe there is one thing worse – a credit surprise you receive while you’re in the midst of trying to buy a home! 

Recent studies have revealed that a record high number of real estate transactions are falling out of escrow, and that credit “issues” are a leading cause of these dead deals. Your best chance at catching and correcting score-lowering errors and other derogatory items before they destroy your personal American Dream is to start checking and correcting while you still have time on your side.

2.    Do your research.  The more rapidly the real estate market changes, the more it behooves smart buyers to study up before they jump in.  And now’s the time – you can start doing online and in-person research into topics ranging from: 

·    Target states, cities and neighborhoods. Whether you’re relocating or simply trying to narrow down the local districts to focus on during your 2012 house hunt, December is a great time to start your online research into decision-driving factors like tax rates, school districts, neighborhood character and even prices in various areas. Resident ratings and reviews sites like Trulia and NabeWise can help you make the neighborhood-lifestyle match. 

Once you narrow things down and start speaking to local agents, ask them to brief you on the local market dynamics, including how long homes typically stay on the market and whether they generally go for more or less than the asking price, so you can be smart about how you search. (And yes, Virginia, there are areas where homes sell for more than asking, even as we speak!)

·    Real estate and mortgage pros. If you don’t already have your pros picked out, now is the time to get on the horn or drop an email or Facebook message to your circle of contacts, asking them for a referral to a broker or agent they love.  Follow up by: checking whether these pros are active in answering questions on Trulia Voices, searching for their name and seeing what sort of feedback on them you can cull from the web, then giving them a ring and launching a conversation about whether you and they might be a good partnership.

·    Short sales and REOs. Distressed property sales are not for the unwary. If you want to target upside down or foreclosed homes, or are planning to house hunt in an area where many of the listings are described as short sales or foreclosures, get educated about what you can expect from a distressed property purchase transaction before you get your heart set on a short sale.

·    What you get for the money. Online house hunting is a powerful tool – especially when it’s cold and wet! But there comes a point in your house hunt where you’ve got to just get out into the actual physical homes you’re seeing online in order to get a strong, accurate sense of what home features, aesthetics and location characteristics correlate with what price points.

·    Mortgage musts. You can read a bunch of articles about mortgages and get yourself pretty far down the path toward qualifying for a home loan, but you can only get a personalized action plan for a smooth road ‘home’ by talking with a local mortgage broker and having them assess your basic financials.  They might say you need to move funds around, pay a bill down or off or produce some sort of documentation from your employer.  And the time to start all that is now.

3.    Fluff up your cash cushion. So, you’ve saved up your 3.5 percent down payment. Perhaps you saved a little extra for closing costs.  Or maybe you’re even one of those uber-aggressive 20-percent-down-ers.  No matter how much you’ve saved, you’ll find that you could use more once you activate your home buying action plan. Mark my words – after closing, you’ll crave extra cash to do some repairs, upgrade a couple of things, buy appliances or even just to hold onto in order to minimize your anxiety about depleting your savings!  

So, if homebuying is on your personal 2012 action plan, don’t go hog wild on holiday gifts. Instead, wait until next year and give yourself the gift of a home.

4.    Shed some stuff.  Sell it. Donate it. Give it to relatives who’ve always coveted it.  Just get rid of it. If you do it before year’s end, you can kill three birds with one stone: (a) getting some cold hard cash to go toward your savings, (b) getting some tax receipts so you can deduct the value of your donations in January, (c) minimizing money spent on holiday gifts for loved ones and these two bonus birds – clearing the mental clutter that physical clutter creates and prepping for your move in advance.

5.    Sit very, very still.  Sometimes, the best way to further our goals is to stop tripping ourselves up.  In that vein, commit right now to refrain from making any major financial moves until you buy your home.  Don’t quit your job to start that personal chef business (yet), don’t pull a bunch of cash out of your savings account (without getting clearance form your mortgage pro first), and don’t start buying cars and boats on credit – even if you do love the idea of putting the red bow on the car you give your wife, like in the commercials. 

I assure you, the bow you’ll be able to put on that house or condo will be much bigger, redder and more tax-advantaged!