Tuesday, August 21, 2012

Utah's 2012 Economic Summary: GDP, CPI, Interest Rates, and Home Prices

Interest Rates—The 30-year fixed-rate mortgage (FRM) averaged 3.62% for the week ending August 16, 2012 according to Freddie Mac.


Home Prices—According to the Federal Housing Finance Agency (FHFA) House Price Appreciation Ranking, Utah’s house prices were up 3.0% in the first quarter of 2012 from first quarter of 2011. This ranks Utah 8th in the nation.

Foreclosure Rates—At the end of the fourth quarter 2011, 2.45% of all loans were in foreclosure, ranking Utah 16th in the nation.


Source: 2012 Economic Summary, Governor’s Office of Planning and Budget Demographic and Economic Analysis

Monday, August 13, 2012

5 Low-Cost Kitchen Redos Buyers Will Love


5 Low-Cost Kitchen Redos Buyers Will Love


By Erica Christoffer


Kitchen remodeling sales were up 36 percent in the third quarter of 2011 compared with the same time a year earlier, according to the National Kitchen & Bath Association. It’s no wonder: The kitchen is the focal point in many homes.

Kitchens are one of the features buyers compare most closely when they’re shopping for a home. Here are cost estimates for some of the low-cost kitchen upgrades that listing agents often recommend to sellers:


1. Hardware.
Replacing cabinet hardware, such as handles, knobs, and hinges is a quick, DIY way to enhance kitchen space. According to HouseLogic.com, an average kitchen is 200 square feet with 30 linear feet of cabinetry, which equates to about 40 handles and knobs. Averaging between $2 and $20 per knob or pull, a home owner can expect to spend from $80 to $800 for this enhancement.

2. Faucet.
There are myriad options today in terms of height, spouts, pullout hoses, and folding necks, with quality faucets starting at around $200.

3. Lighting.
Adding an LED undercabinet light can have a dramatic effect for about $40.

4. Organization.
Buyers today choose functionality over elaborate decoration, says Jamie Goldberg, a National Kitchen & Bath Association–certified designer. Practical storage in the kitchen will go a long way. Over-the-door hooks, baskets in the pantry, drawer organizers, wall hooks for pots and pans, and stackable shelves for cabinets will add appeal, typically for less than $100.

5. Countertops.
Laminate can mimic the contemporary look of granite at a significant discount. The cost for an average kitchen with 30 linear feet of laminate countertop is roughly $1,575; the same space in granite would be about $2,400.

Source: "5 Low-Cost Kitchen Redos Buyers Will Love," RealtorMag

Wednesday, August 8, 2012

5 High-Tech Summer Energy-Efficiency Boosts for Your Home

5 High-Tech Summer Energy-Efficiency Boosts for Your Home


By Jerry Kronenberg

"Green" technology can turn the hot weather baking much of America this summer from a drag on your home's air-conditioning bill to a source of free solar energy -- if you know what improvements to make.

"[Green upgrades] can give you a good return on investment, a lifestyle that's more pleasant and let you feel good about what you're doing to help the environment," says Harvey Sachs, senior fellow at the American Council for an Energy-Efficient Economy.

Sachs estimates homeowners can recoup the costs of carefully chosen energy improvements over five years -- and enjoy a much more comfortable indoor climate in the meantime.

"By bringing your home's energy systems under control, you'll get rid of drafts, kill a lot of equipment noise and eliminate rooms that are too hot or too cold," he says. "That's worth a lot right there."

Here's a look at five high-tech moves the expert believes every homeowner should consider this summer to maximize their property's energy efficiency:

Cost figures are estimates for a typical four-bedroom home and were provided by Complete Home Evaluation Services, a Maine energy-efficiency consultancy.

Get a home energy audit
Cost: $200 to $750

Sachs recommends getting a "Home Energy Rating System" review or other comprehensive audit of your property's fuel efficiency before even thinking about installing a solar panel or new air conditioner.

"Instead of just blindly throwing money at energy efficiency, you want to invest in a consultant with the right tools and get the right 'road map' of what to do," he says.

Home-energy audits typically take around a half-day and involve checking your home's heating and cooling systems, as well as using high-tech infrared heat detectors and negative-air-pressure machines to find gaps in your property's insulation.

Audits typically cost a few hundred dollars, but your local utility or state energy commission will sometimes offer them for free or at a reduced cost.


Fix your home's "envelope"
Cost: $4,000 to $5,500

Once you've done an energy audit, you should fix any gaps the review has uncovered in your home's "envelope" -- the insulation that separates heated or cooled living spaces from unheated attics or the outdoors.

"Getting the envelope right is the first step toward getting the smallest energy bills possible," Sachs says. "Fix the envelope and you've maximized your freedom to do anything else you want, whether you're just improving the air conditioning or putting in solar heat."

DeWitt Kimball of Complete Home Evaluation Services says air leaks account for 50% or more of a property's energy loss, and sealing them helps heat and cool a property more efficiently.

"People think you just insulate a home for the winter, but I get rave reviews in the summer from customers who say: 'It's unbelievable how much more comfortable my house is,'" he says. "Good insulation keeps the summer heat out and the cool in."

In addition to cutting your energy bills, eliminating air leaks will allow you to install smaller heating or air-conditioning systems -- saving you even more cash.

Sachs added that you won't have to fix insulated air ducts, which typically let some 30% of your system's heat or coolness escape. If you have a well-sealed home, hot or cold air that leaks from these ducts will simply stay inside the house.

Add a high-efficiency heater/air conditioner
Cost: $10,000

Sachs advises installing a high-efficiency combination heater/air conditioner if your home has an older, inefficient model.

Consider replacing any furnace or boiler that's more than 15 years old and has an 80% or lower annual fuel utilization efficiency rating.

You also want to think about replacing older forced-air or hot-water systems that lack modern "condensing" capabilities. That's where your furnace or boiler recaptures heat from the system's hot water or flue gases as they cool and condense.

Also replace any aging air-conditioning system with a new unit that includes a variable-speed fan and either a two-stage or variable-modulating-speed compressor (also called an "inverter drive compressor").

Basic central-air systems have just "on" or "off" positions, but two-stage units have "high" and "low" settings and variable-modulating systems essentially have an infinite set of speeds. Coupled with a variable-speed fan, such advanced systems can independently control your home's temperature, humidity or both -- keeping you comfortable whether it's warm and muggy or hot but dry.

Best of all, Sachs says, such units also typically run at low speeds 80% or 90% of the time. That will save you big bucks over single-speed systems, which run full blast even when it's only a tad hot out.

Install a solar water heater
Cost: $10,000 to $12,000

You can take advantage of the summer sun by installing a solar water thermal heater on your rooftop to heat water for free.

These units basically pipe water onto your home's roof where the sun heats it, then transfers water to an indoor water tank for later use.

"A solar thermal water-heating system will give you free hot water all summer long -- and most of the winter, too," Sachs says.

The only downside is its hefty cost -- around $10,000 and up, according to Complete Home Evaluation Services.

Sachs concedes that at that price, installing a solar water heater is "not likely to be quickly cost effective."

Add photovoltaic electricity
Cost: $14,000 and up

The sunlight baking so much of the country this summer contains more than enough energy to meet many homeowners' needs -- if they install photovoltaic roof panels to turn it into electricity.

These systems are expensive, but Sachs says you can cut costs significantly by installing photovoltaic panels that produce enough electricity for most but not all of your power consumption.

"Trying to meet your home's entire electric load with solar power instead of relying on your local utility for the last little bit can easily double the cost of a system," he says. "You might only have a couple of hundred hours a year when you use the maximum amount of air conditioning. But if you decide to size your [solar unit] to meet that load, you'll need a much larger photovoltaic system."

Source: “5 High-Tech Summer Energy-Efficiency Boosts for Your Home,” The Street (July 27, 2012)

Thursday, August 2, 2012

4 Home Showing Tips in the Hot Weather

4 Home Showing Tips in the Hot Weather


By Jerry Kronenberg

Sizzling 100 degree temperatures have been blanketing the country in recent weeks, but some potential buyers may be more reluctant to go house shopping in the heat. How can you still draw the buyers out?

"Even though buyers have air conditioning in their cars, you have to convince them to get into their cars -- then out of their cars -- to check places out," Brad Knapp, a National Association of REALTORS® regional vice president, told The Street.

Here are four showing tips for the hot weather, according to Knapp in a recent article at The Street.

1. Keep it cool. It’s not the time to penny-pinch on the air conditioning. Knapp says home owners without central air conditioning will be at a big disadvantage, and he says they might even consider keeping their home off the market until the cooler days of fall. As for home owners who do have central air, he recommends keeping the thermostat around 72 degrees.

2. Watch the smell. The warm weather can cause odors in the home to become even stronger, such as pet smells and musty basements, Knapp says. Have your sellers remove the kitty litter box, relocate the pets for showings, and clean any musty basements with bleach. He also recommends using a dehumidifer to make sure the home stays dry.

3. Tend to the lawn. Curb appeal is important but Knapp acknowledges it can be a challenge in sizzling hot weather and when a city has water restrictions in place. "Try to keep the front yard as green as possible -- but you can forget about the backyard if you have to," he says. "Most buyers are astute enough to know that if all of the backyards up and down the street are brown, there really isn't a problem if yours is too."

4. Pay attention to doors and windows. Front doors can be filled with summer pollen so make sure your sellers give it a nice clean at least once a week, Knapp suggests. He also suggests regularly cleaning the windows — both the inside and out — to make sure they sparkle.

Read more tips from Knapp at The Street.


Source: “8 Tips for Selling a Home in Summer,” The Street (July 20, 2012)