Cindy's Blog

Well, again I must apologize for the extremely long hiatus once again. This has been something of a weird and wild summer, and the heat just unbearable. However, I think now, as we wind down a bit (despite the heat!), the market does seem to strangely be picking up a bit, with more calls, more showings, more interest and generally more going on.

Despite the media reports about Freddie and Fannie bailouts, mortgage disasters, and the admitted rise in short sales and foreclosures, I would still argue that our market is considerably better than some. Yes, prices have definitely come down, but they are still not at rock bottom, and look, by most accounts, to be leveling off, if not necessarily picking up.

By and large most people who don't have their homes on the market aren't putting them on now until after Labor Day, so there is not too much out there on the market right now- certainly not much new.

If you are one of those people thinking that they might want to do something things to get your house in order, it's definitely not too late to get started! Just make sure that those things that you do that end up netting you the most money at the end of the day.

At the risk of repeating myself (perhaps more than once), the best place to put your money is always going to be in the kitchen and bathrooms. By and large, those are the things that sell a house. Now, having said that, if you have a teeny tiny kitchen, and you're in an are where people are putting on additions with the abandon that they seem to in our area, you may want to price accordingly, and not sink a ton of money into something you know people would perhaps want to take out.

If you're still pondering renovation options, here are a few projects that can give you a better return on your investment.

1. Replace Your Siding

Exterior siding topped the list in Remodeling magazine's 2007 Cost vs. Value report, which compared the construction costs of various projects to estimates of their resale value by members of the National Association of Realtors. Fiber-cement siding replacement came in at No. 1, with an estimated 88.1 percent of the cost recouped, while vinyl siding replacement had the third highest recoupment value at 83.2 percent.

While fiber cement siding is the most "valuable" (and able to hold its paint job for around 20 years!), in some neighborhoods, when vinyl is prevalent, you may not get the full return.

2. Build a Deck

Realtors in the Cost vs. Value survey estimated the average homeowner would recover 85.4 percent of the cost of a new wood deck from resale, giving this project the second highest value in the report. A composite deck addition -- a costlier initial investment -- was estimated to bring a 77.6 percent return.

Another valuable thing to consider here, is the square foot to square foot, you can add a deck for about 25% of what "finished" living area would be.

3. Spice Up the Kitchen

A minor kitchen renovation ranked fourth in the survey, but in the eyes of most agents and home buyers in "real life," this is the thing that really brings in the most "bang for the buck."

Rolling on a new paint color, installing new countertops and putting on new cabinet and drawer handles are three ideas that only take a little out of your pocket but make a big impact.

But if you have your heart set on a total kitchen overhaul at some point, it's probably not a terrific idea to sink a lot of money into "quick fixes". The same holds true if you have a small kitchen, for example, on a house that would be well suited to an addition. If you think most buyers are going to bump out the kitchen, update it so that it looks clean, new and nice, but don't go all out on the bells and whistles. While that may be appealing to a small group of buyers, many may be turned off because they would be paying for something that they didn't order and don't want.

4. Install Energy-Efficient Windows

Both wood and vinyl window replacements were each given about an 80 percent recoupment value in the Remodeling survey.

People are very energy-conscious right now. Especially with energy costs what they are, the cost of heating and cooling a home is definitely on the minds of most purchasers. It's not just the purchase price (that homebuyers consider), it's the cost per month to live in the home.

To ensure your new windows are of the best quality, you should look for the certification label of the American Architectural Manufacturers Association. For energy efficiency, the Energy Star label of the National Fenestration Rating Council is the gold standard.

Don't expect a quick return on your investment if you buy replacement windows, as they can run upward of $10,000 for the whole house. If lowering your utility bills is your goal, it's important to understand that it can take years for the savings to cover the cost of the windows. In most cases, though, you will see a drop in cost with your first bill, and it is a great sales tool!

5. Give the Bathroom a Facelift

Fixing up the bathroom, whether it's an upgrade or simply for maintenance, is another reliable investment. People like to pamper themselves, a nice new, clean bath helps them feel pampered.

A midrange bathroom remodel has an estimated 78 percent resale value, according to the Cost vs. Value report.

6. Crown Your Walls

Crown molding is near the top list of easy, inexpensive upgrades with big impacts.

It just really dresses up a room, and a good estimate for a do-it-yourselfer could outfit a room for less than $100.

Location, Location, Location

The value of any renovation project you choose depends a great deal on where you live and whether your home is in an entry-level or upscale market.

There's one thing I'll definitely say about the Richmond area (particularly the West End)- the real estate market may be a bit slow, prices down, and so on right now, but there really does seem to be loads and loads of renovation going on, everywhere you look! There are at least three homes in our very small neighborhood undergoing major renovation, and I seem to drive past at least one home that's doing a "pop the top" every day. (If you're not familiar with this term, it's where one day there's a ranch, and the next there's a huge colonial, or some other multi storied behemoth).

With all of this renovation, it definitely makes me question the practices, or at least wish, that we were all a bit more sustainable in our building, particularly, perhaps, when renovating an older home. Most of the time people think that "green building" is just for new homes, and they don't think about all of the things they can do in a renovation that can be more sustainable.

I may have mentioned that my husband and I completed a major renovation on our home just over a year ago. During the course of that process, I learned a tremendous amount about the good, the bad, the ideal, the expensive, the available, and the unattainable. There really are so many ways to make the renovation process cleaner, more efficient, and healthier, that I'd love to share a few resources that we even have (or will soon) here in Richmond.

Perhaps most exciting- the long awaited opening of Ecologic at 1606 W. Main Street. Check out their progress at their website! They will have loads of green building supplies, sold retail- from sustainable wood products, to flooring, and even AFM SafeCoat paints (already available, even before they open, if you give them a call!). It's going to be terrific!

If you're looking for a great green builder/ renovator, give Cityspace Construction a call. Blue Crump and his team have a great commitment to changing the landscape of Richmond building- they do solar and so much more, and really know what they're talking about.

My next post will be about ways that you can renovate/ restore or decorate more sustainably- in Richmond, or anywhere!

In the second installment of the "bringing your "A Game" conversation, I'd like to talk a bit about loans, and how they've changed from the gold rush "glory days" of a couple of years (or even a year) ago.

"No doc" loans really are history.

If you are getting a loan, and the lender or underwriter asks for documentation of what you said- income, retirement account, etc.- provide it, because they wouldn't be asking for it if they didn't need it.

There are still some creative financing options out there, but it is more important than ever to get that info together before hand (meaning, before you really start looking at homes) and let the lender get the ball rolling. This has always been the case, but moreso now than ever.

Why? First of all, you don't (trust me) want to look at homes that are $400,000, only to discover that you can afford $300,000. This seems obvious, and it also seems possible that you might have spoken to a lender, told them what you make, how much you owe, and they tell you that you can indeed afford $400,000. What you often don't see when that's as far as you get in the process, is the actual payment.

So often lenders will approve you based on the numbers, but sometimes those numbers are not really based on real life (at least your real life). Better to actually sit down with a lender and go through the process beforehand. What are you going to find out there?

• How much can you really afford? (The important, payment part)
• What documentation do you need to provide the lender? (You can start looking for it now, rather than waiting until you've found something, and can't find the tax returns from 2 years ago!)
• Are there any anticipated hiccups or are you ready to go? (Do you have to correct anything on your credit, pay off a bill, etc.?)
• Are you getting a monetary gift from your parents, etc? This may make a difference depending on the type of loan you're going to be getting. Again, knowing in advance makes all the difference in the world!
• How much are your closing costs going to be? Even if your downpayment is all saved up, you may be surprised to find that closing costs are often about 3% of the purchase/ loan amount. Do you have that? Or do you need to step down what you're looking for/ ask the seller to provide some closing costs in the contract on the house you do find. You definitely don't want to get surprised with this!
• Make sure, though, that when you discuss all of this with a lender, they give you a good faith estimate. They are required by the state to provide this info to you, and it should be pretty close to what you'll actually pay.
• Most importantly, if you do all of this in advance, you really can focus on finding the home that ideally fits your needs, and after you write the contract, you can spend more time imagining where your furniture will go than you will scrambling for bank statements and tax returns!

Well, hope you had a great holiday weekend. As you can imagine, the real estate business this weekend is a little slower than it has been. Everyone is barbecuing and on vacation, so there haven't been many showings, for buyers or sellers, at least in my world.

However, with all of the cookouts and parties we've attended in the last few days (I have eaten more burgers in the last few days than I would think I was able! Sort of makes me ill to think about it!), I've had more conversations with people that I know a little, well, or not at all, who are agents, market watchers, sellers, buyers, or wanna be's.

In all of these conversations, the refrain is pretty much the same. So, unfortunately, this post is probably going to be similar to others I've posted before.

There doesn't seem to be any absence of stories in the media about the "horrible, dismal" real estate market. While markets are absolutely, positively, local, it's no secret that the market here in RVA is not really cooking right now... In addition to the typical summer slump we're heading into.

Houses are selling, though. Here is the problem- we are not in the market of 2 years ago. We are not even in the market of 1 year ago. The days of "well, we need to make ___ on our house" are over, in many cases. The average days on market have jumped quite alot, to 90 or so, and buyers are definitely feeling no pressure to jump when they do see something they like. They are shopping more, taking longer, and making lower offers. That's just the fact.

Sellers, though, despite their acknowledgments that they know the market is not what it was, still seem to want to price it like it's a year ago, if not more. I don't know what to say, except- that ship has sailed. It's not like we don't want our sellers to get the most for their homes, but as I've said before, the more realistic we all are with the pricing at the beginning, the closer we are to the reasonable price, the quicker it will sell, and the closer the sales price will come to it.

Most importantly, you have got to bring your A game to this market. What am I talking about, you ask? If you are thinking you'd like to put your home on the market, and you talk to an agent (for example, me!), we should be telling you what, if anything, you need to do to make your home more saleable.

Unfortunately, so many people think that these are just suggestions, or recommendations- that when we tell you that things need to be done, we don't really mean they "need" to be done. Or, you determine that we're being overly critical, and that a few of those things could be done, but you just don't have time, money, interest, or you just plain don't feel like it.

Case in point- I was speaking to someone the other evening whose home has been on the market for quite a while (not with me), and has just done all sorts of things- flooring, windows, decluttering, etc. Unfortunately, even though they've sunk a load of money into the house, they've had only a few showings since then.

The funny thing about the market is that it really is like a parade. If you don't get the main part of the parade when it comes by, it doesn't come by again. There will always be a few stragglers (this is not to say at all that stragglers don't buy homes- they do) but your buyer pool is obviously much more limited after those first few weeks on the market, when you have the pent up buyers who have been looking, plus the ones just getting into the market. After this, you only have those getting into the market, and that (especially right now) is not a tremendous number of people.

So, if you are bored, and I'm rambling, I apologize, but here is the part you can skip to:

Listen to your agent! We really have done this before. If we tell you your house smells like pets, trust us- it does. That is not easy to say to someone, and we would not say it if it wasn't important. (The same is true with many of these things!)

If your carpet is old, clean it, stretch it, or replace it, if at all possible. If it would only cost $1000 to replace, do it- a potential buyer is going to mentally deduct far more than that!

If your kitchen is out of date, freshen it up- sometimes cleaning and decluttering will do, sometimes it will take new hardware, flooring, or appliances...

If your bathroom is out of date, same thing.

CLEAN! Again, this is very hard for us to say! I'm not the best housekeeper, but I can live with my family's clutter- I know other people don't want to. Imagine you are having the best, most important party in the world, and the queen, the president, Sting, whoever, is coming over...and keep it that way!

Pick up the cases of beer, water, juice, or anything else that came from Costco and move them out of the way- if you don't have room for your water, where are potential buyers going to put theirs?

Mow the grass, or have someone else do it. Curb appeal, and the instant "flash and sparkle" that people see and feel as they first arrive, are a huge part of the battle.

I could go on, but I think you get the picture. It will probably, unfortunately, be a while before the market really rebounds. Until then, you have got to price your home right, and make it look that much better than ever home in its price range. Who's not going to want to buy yours??

Well, at long last, there's an answer to the folks who reject the idea of the compact flourescent bulb because they don't know what to do with them when they do finally burn out! (Better, perhaps than those who use them, then toss them in the landfill, potentially causing mercury to leach into soil and groundwater over time.)

Home Depot has just launched a massive initiative to recycled the used/ burnt out cfl bulbs. All you need to do is collect your expired, non working (but not broken) bulbs and bring them to the Home Depot returns desk. It's a totally free service, and all you need to do is drop them off and they will make sure that they go through the proper disposal channels. How terrific is that!?

Well, this has been a tremendously busy week, and I have LOADS of things to blog about. Unfortunately, there's that time thing, and the working thing, and oh, yeah, that sleeping thing. Hopefully I'll get back on track and at least be able to get a few posts in over the next few days. The first thing I want to mention is that tomorrow is the big VSBN Anniversary Celebration and Annual Meeting, with the theme "One Planet Living". I actually was so excited that I forwarded the information to not only everyone I know, but also the broker of pretty much every real estate company in town, and loads more people.

Unfortunately, I was so busy doing that (and my darling husband, who "manages my network" decided to scrub the hard drive of one of the desktops, including redirecting the network, and the printer) that I never printed out and sent in my own registration, and now it's totally FULL! I cannot believe it! It's terrific for them, but I'm so crushed that I won't be able to attend. And how embarrassing to be the one to promote it to so many people and to not be able to go! I will definitely be more on top of things next time! Again- the Virginia Sustainable Building Network is doing great work to help Virginia be more sustainable. Check them out at www.vsbn.org.

Well, I think that we can safely say that we are slowly, but surely, starting to grow a bit of a sustainable building culture and a fostering environment in the Richmond area. More and more people are becoming aware of what an energy audit is, and more and more home builders are starting to realize that people are becoming more aware and more interested in sustainable, more energy efficient homes.

It sure is slow going, though. I don't remember if I've referenced this before, but there was an old joke saying that "Richmond is the best place to be in a nuclear war, since it takes everything 10 years to get here." As much as I love Richmond, and don't get me wrong, I do love Richmond- I've lived up and down the East coast and came back here very purposefully. It certainly does have it's little quirks, though- one of them is the length it time it takes things to really "catch on" here.

After talking to a number of people who have moved here from out of state/ out of town, they've noticed this as well, in the sense that there is definitely a "waiting" period before anyone really fully lets you in. It's not that we're not nice, here, it's just that we as a community seem to want to wait for things to gel before we fully engage them.

At any rate, the one thing I think that is fortunate about the often irritating "hipness" about the wave of "greening" that has been sweeping the nation, is that it has perhaps pushed Virginia, and the oh so conservative Richmonders to be a bit greener than they would have been had they just waited to do it on their own because it's a good idea.

I digress a bit- what I really wanted to mention was that the Virginia Sustainable Building Network is having their Annual Meeting and Celebration here at the University of Richmond's Jepson Center this Wednesday. Very exciting! It should really prove to be a great event, and hopefully we'll have a good local representation. I believe that the registration is closed now, but check out www.vsbn.org for more information about what they do and how you might get involved and learn more!

Well, the market in Richmond, at least, seems to be picking up a bit. There are more showings on listings, and more buyers- in effect, anecdotally, things appear to be looking up. It is still a terrific time to buy, and time to get a great deal, but things do seem to be moving a bit more.

Summer is here, though, and particularly with 100 degree + heat, things usually do slow down a bit.

One thing that I would really like to mention here, in this very short post, is the upcoming annual meeting of the Virginia Sustainable Building Network coming up on the 25th of June. The theme for the speakers and the event this year is One Planet Living, or How to Build Zero Energy/ Zero Waste Communities That Use Only One Planet's Worth of Resources. It should be a great event, with terrific speakers and lots of exciting people and resources. Check out more at www.vsbn.org. Hope to see you there! Let's help move Richmond into the 21st century!!

Well, I'm certainly a few days late posting on the Brookings institution study, but better late than never, I suppose. In case you haven't heard by now, the study released last week by the Brookings Institution, "Shrinking the Carbon Footprint of Metropolitan America", Richmond definitely does not fare well at all.

In the study, Brookings took a look at the per capita energy consumption in the largest metro areas based on the amount people drive and their home sizes, and used the logic that people who drive farther burn more gasoline and those who live in bigger houses consume more electricity on heating and air conditioning. Out of the 100 largest metro regions, Richmond rankekd 86th in efficiency, effectively placing us in the 15th spot of worst culprits in the battle to lower energy usage, at home and on the road.

I suppose I'm not surprised, but it is still very disheartening. Having been born and raised in Richmond, then moving away for years to return, I have some perspective on this, my hometown (and there is really no place I would rather live...except New York, if I had tons of money and was friends with Regis, or Paris, pretty much anywhere).  Anyway, I digress.

Richmond definitely has some "issues." As much as I love it, I know that there are lots of things that make it more difficult for folks coming from other areas to figure it out, and we are, as a city/ region pretty stubborn in our traditions. One of those traditions is, unfortunately, driving. We seldom seem concerned with the distance of our commutes, and it seems that 20- 30 minutes has become more or less the norm. Given that the commute is not usually downtown, where public transportation is at least more accessible, there is not very much carpooling, and even less use of public transportation.

What the report determined was that the average resident in metropolitan Richmond emitted 3.039 tons of carbon from highway transportation and residential energy in 2005, earning us the less than distinguished ranking of 15th worse. Our carbon emissions compared to an average of 2.24 tons of carbon emitted by residents of all 100 metro areas.

There are a few things that, in my opinion, cause much of this. Part of it is that there has been (up till very recently) little interest in green building on any sort of consumer scale in this area- There are so many ways to make a home more energy efficient, but they don't often dovetail with the "ideal" palatial master bed/ bath, huge bedrooms, two story foyer, and countless other areas of wasted space that everyone seems to not only just want, but feels that they need.

Combine these things with the fact that everything has to be bigger, better, and further west, and we end up with quite alot of inefficient housing at a great distance from where folks work, no public transportation to get to work, and having to drive a fair distance to get just about anywhere.

Couple this with the depressing shells of past development, and the way companies will build a brand new store a mile down the road from a shopping center that's 1/2 empty and a year old. (One of my major pet peeves)

I don't mean to rant, but I think that it is pretty shameful that we are as wasteful as we are, without thinking, as a community, of ways to make it better, or pay more attention to smart development.

I do think we are starting, I hope, to make some inroads, but it's slow going. Most of the builders building new "green" homes, are doing it out west, so there is a plus and minus to that. The homes themselves will be better on the environment, but there will still be a significant amount of driving to get anywhere at all. Our public transportation is not great, and in the counties, where many of the businesses are, it's more or less non existent. Until we as a community and a metro region stand up and make a significant change, we won't see one. If everyone still wants to move further west, builders will still build there, and it will be a cycle that continues.