Author Archives: Cari

About Cari

Cari Barron, owner and founder of Contractor Hotline, purchased a home in need of various repairs in 2002. The process to find a quality home remodeling contractor proved to be a complex challenge. The first-hand experience was the inspiration behind founding Contractor Hotline in 2006. Connect with her on Google+

Mortgage Interest Rates & Home Values

Brenda Alfano, guest blogger and mortgage expert, shares some interesting scenarios regarding mortgage interest rates and home values, and how it could affect home sellers and buyers.

Hello from Brenda Alfano, Mortgage Consultant!

Last month I gave you some industry news of the moment. Hope that might have interested some of you.

The news lately is that rates are staying steady but they are expected to start going up slightly next year as the Federal Reserve recently mentioned. What does this mean to the home buyer?

Well basically it means for the same house price you would be paying a higher payment. If the house price goes up as well, as they have been steadily doing, you will have less buying power for the same payment as today. Here is an example of what I mean:

If you bought a home today for $450,000 putting 10% down and loan amount would be $405,000 and “suppose” the rate was 4.25%, Principal and Interest payment would be $1992.36.

If you bought the same house with a price increase of 6% (based on earlier this year, that is a conservative estimate) so the price would be $477,000 and the rate increased to 5.25%, the Principal and Interest payment would be $2370.61. That would be an increase of $378.25 in payment. Significant difference!

Rates are just used for scenario purpose only – actual rates based on credit and market conditions at the time of purchasing.

So the moral of the story is: if you are thinking of buying (or selling then buying) now is really a great time to move on that thought.

I would be happy to work this scenario up with different purchase prices for anyone as well.

Until the New Year, may you have a great Holiday Season, Merry Christmas and Happy New Year!!

Brenda Alfano
Mortgage Consultant
Absolute Mortgage
NMLS 229897
425-330-2039

Seasonal Safety Tips

1. Place candles away from combustible materials and out of reach from pets and children. Before going to bed, turn off all the lights and walk through each room to check for any candles that might still be burning.

2. Avoid overloading electrical outlets. Discard any damaged holiday lights or extension cords.

3. Water the Christmas tree daily to keep it from drying out and becoming a fire hazard. Never leave tree lights burning when away from home or sleeping.

4. Have the chimney inspected and cleaned. On average, your chimney should be cleaned after every two cords of seasoned, dry wood is burned.

5. Use caution when using portable heaters. They should be placed on level, non-flammable surfaces at least three feet from combustible materials. Never leave them unattended.

6. Test all smoke and carbon monoxide detectors to ensure they are working properly. Replace batteries annually or sooner if needed.

7. Purchase a portable fire extinguisher and keep it accessible and fully charged.

8. Make sure pets always have a warm and safe place out of the cold. Keep potentially harmful items like mistletoe, holly, and holiday ornaments and gift wrapping items out of pets reach.

Aging In Place, Safe Solutions for Senior Homeowners

For many senior homeowners, finding a home improvement contractor they can trust can be challenging.

America’s senior population is growing and many are living longer and more active lives. As a result, there is an increasing demand for reliable resources to help seniors connect with trustworthy home service professionals. Whether it is a small job such as installing stability bars in the bathroom or more extensive modifications, senior homeowners need a resource to locate contractors they can trust and who understand their specific needs.

To help meet the increasing needs of our senior population, the National Association of Home Builders (NAHB) and the American Association of Retired People (AARP) developed the Certified Aging in Place Specialists (CAPS) program. The program provides training for contractors to address the needs of home safety and independence for seniors. It teaches contractors Universal Design skills to make functional modifications that blend seamlessly with your current home design and décor.

Universal Design evolved from Accessible Design, which was first introduced to make public buildings and facilities more accessible for people with disabilities. Universal Design has broadened the approach by helping make personal residences more functional and user-friendly for everyone. Certified Aging in Place Specialists will work with you to assess both your current and potential future needs and help you make these important and life-enhancing modifications.

Safety is the primary reason for making home modifications for seniors. Planning ahead and making the appropriate improvements now can help prevent accidents in the future and ensure a more secure and accessible home.

Stability bars in the bathroom; improved lighting in hallways, work areas, and outdoors; and continuous handrails on each side of stairways are simple and relatively inexpensive updates. Specific needs can be met through more extensive modifications to the kitchen, bathroom, or other living spaces. Thoughtful planning and consideration can result in attractive modifications and increase resale value by appealing to a broader market.

It is never too soon to make improvements to increase your home’s safety and functionality. If you are planning a home remodel or even minor improvements, consider incorporating some well thought out modifications to help make your home safer and more functional. Some relatively minor adjustments can make a big difference for a lot of people. This may include friends or family members with disabilities, children, or even senior relatives that visit and may eventually move into the household. Many simple features will make your home more ‘visitable’ and the transition of merging households an easier process.

An alternative to modifying your existing home is to sell and purchase a home that is already more suitable for your needs. However, it is often less expensive to modify your existing home and save on real estate commissions, closing costs, moving costs, and decorating. Depending on your particular situation, a home equity loan or reverse mortgage may be an option to finance a more extensive remodel. Some long-term care or private insurance policies cover special equipment such as ramps and stability bars.

Consulting with a Certified Aging in Place Specialist is the first step in helping you determine your specific needs and the many options and related benefits available to you. We are pleased to be able to recommend professional contractors that are not only CAPS certified, but also part of our network of dependable, pre-screened home improvement professionals.

If you or a loved one are interested in consulting with a Certified Aging in Place Specialist, we can help you make that connection. We will be available for you throughout the entire process from the initial consultation appointment throughout completion of your project and beyond. To get started, simply call Cari at 425-775-9085 or submit a work request.

Happy Thanksgiving!

This Thanksgiving eve I wanted to take a moment to reflect and say how grateful I am for each and every one of you. We are very blessed to have such terrific customers, home service professionals, and an amazing support team of friends, family and talented entrepreneurs and local businesses. Each of you are so appreciated, I know we couldn’t do it without you.

I hope you all have a wonderful Thanksgiving!

Water Leak Detection

Leak detection device

Leak detection device

Water leaks can cause extensive damage to your home and potential health risks.  In a matter of minutes, a burst pipe or hose can flood a room with several gallons of water. Slow and undetected leaks can also cause significant damage and oftentimes harmful mold and bacteria growth.

We hear regularly from folks who have had the unfortunate event of failed plumbing or hot water heaters. The process to demo, dry out, clean, and reconstruct a home as a result of water damage is messy, time consuming, and costly.

Ask any home insurance provider and they will tell you how expensive these kinds of home repairs can be. Unless it’s a sudden and unexpected occurrence, often homeowner’s insurance will not cover the cost of repairs. Slow leaks in hidden areas like crawl spaces, attics, and closets can go undetected for a long time.

Detecting a leak quickly is key to minimizing damages. One of the simplest and inexpensive ways to help avoid this kind of problem is to have a leak detection alarm. These inexpensive devises can be placed in many locations where a leak is likely to happen including under sinks and near hot water tanks and washing machines. It won’t help if the problem is somewhere in the walls or difficult to access, but many times damages are caused by a failed water line to the refrigerator, a burst washing machine hose, or leaking hot water tank.

After receiving an unusually high number of calls this fall from customers needing water damage related repairs, it really got me thinking about looking into something to help protect my own home. I live in an upper level condo. If I have a water leak I am not only responsible for my home, but if it causes damage to the unit below me, I am responsible for their repairs too. My hot water tank is hidden behind a panel in a closet in the spare bedroom and has always been a worry. If this fails, it could easily cause significant damage to my unit and the unit below.

Purchasing the Watchdog Water Alarm at Home Depot has got to be the best $10 I have spent in a long time and could potentially save thousands of dollars in home repairs. I decided to purchase two and placed one by the washing machine (also in another out of sight location) and the other in the pan where the hot water tank sits. It may not help if I’m not home or some other plumbing fixture or piping fails, but these two locations have the highest risk of failing in my home. I feel much better knowing I have increased my chances measurably of detecting a leak quickly and before it becomes an expensive home repair.

I wanted to share this with all of you too. Do yourself a favor and play it safe!

If you need the services of a contractor who specializes in water, smoke, and sewage damage, we can help. We have trusted emergency responders in our network who specialize in restoring your home from damage caused by water, fire, and sewage.

Home for the Holidays

I keep hearing people say, “I can’t believe it’s already Thanksgiving!” If you are one of them, and you have guests coming to your home for the holidays, you may be wondering how you will possibly be ready in time.

Don’t worry, you can do it! This coming weekend try and get as many of these tips completed. You’ll be amazed what you can do in a day with a little planning and organization.

1. Spruce up the Front Entry. Remember the saying: You’ll never get a second chance to make a first impression? This is so true when it comes to your home’s main entrance. Sweep off the entire front porch/entry area from tip to toe. Hose it down if needed. Put away any unused hoses or planters that won’t be needed until spring. Hang a holiday or winter wreath on the front door. Add a festive potted plant or flowers to either side of the entry.

2. Clean the Carpet. Whether you rent a carpet cleaning machine and do it yourself, or hire someone to do it for you, few things can change a homes appearance as quickly and inexpensively as a clean carpet. Your guests will want to kick their shoes off and relax in the comfort of your clean home.

3. Clear out the Clutter and Clean the House. While you are at it, make room in the coat closet for your guests’ bulky coats and scarves. This is also a good time to clean out the fridge. You will be filling it up with a lot of extra dishes and will need to make room for extra beverages and dishes that your guests may be bringing. A few special touches like plush guest towels in the bathroom and scented candles will make your guests feel special and make your home smell inviting.

4. Inventory your Dinnerware. This includes plates, glasses and silverware and make sure you have enough for all of your guests. If you find yourself running short, make arrangements in advance to borrow from a friend or purchase some inexpensive spares.

5. Count your Chairs. Make sure you have enough places for everyone to sit for dinner. If you’re running short on seats at the table and have kids coming, set up a special table just for them. A card table, covered with a nice cloth, and folding chairs will work fine and the kids will have love it!

6. Remember your Pets. Make sure your pets have a safe and quiet place to exit from the festivities. Your bedroom is a good place to move their beds for the evening, and a spare bathroom works great for food and water bowls.

7. Prepare in Advance. Last but not least, do as much of your meal planning and shopping as possible the weekend before. Prepare as many dishes as you can the day before so you can relax and enjoy the holiday alongside your guests.

Have fun and enjoy the holidays!

 

Mortgage and Real Estate Trends

If you are considering purchasing, selling, or re-financing a home, having some knowledge about mortgage interest rates and home value trends is important. Guest blogger and mortgage expert, Brenda Alfano, shares some interesting facts.

Brenda Alfano here, bringing you Mortgage news and info for November. I thought this month I would share what is going on in the Mortgage and Real Estate world. Here is a brief synopsis:

Economy:

  • New international trade numbers show the negative impact of struggling world economies on U.S. growth. A slower recovery could keep rates low.
  • The European Central Bank announces stimulus measures and maintains low policy rates. U.S. interest rates are likely to respond positively.

Housing:

  • Private residential construction spending improved in September after an August drop. Single-family construction led the charge.
  • October’s rate drop led to an increase in mortgage purchase applications during the last week.
  • 2015 predictions are coming in. NAHB expects near-normal new home sales by 4th quarter 2015. Fannie Mae expects slow but steady growth in overall sales.

Home-price info for October:

  • King County: Median Sales price – $447,250. Up $21,250 from a year ago.
  • Snohomish County: Median Sales price – $328,000. Up $41,750 from a year ago.

If you are thinking of buying or selling, now might be a good time to get serious!

Happy Thanksgiving everyone
Gobble, Gobble

Brenda Alfano
Mortgage Consultant
NMLS# 229897
425-330-2039

 

First Mortgage Low Down Loan Options

If you’re in the market to purchase a home with less than 20% down, following is some very useful information. Brenda Alfano of Absolute Mortgage does a great job of sharing her wealth of knowledge in layman’s terms.

Wow, is it October already?!? So last month I mentioned that I would talk about Purchase 1st Mortgage options that do not require a 20% down payment – so here they are:

CONVENTIONAL
A Fannie Mae or Freddie Mac Conventional 30 year fixed mortgage requires as little as 5% down payment, a bit easier to come up with than 20% down, don’t you think?

Depending on your income you may qualify for a My Community (a Fannie Mae loan program) mortgage that only requires 3% down in many cases.

With either of the above mentioned options, you will be required to purchase Private Mortgage Insurance. Cost of this depends on the Loan to Value (LTV) and your credit score.
Conventional loans are greatly driven by the credit score of the borrower.

GOVERNMENT
Loans in this category are not given by the Government, just either insured or guaranteed by them.

FHA – Requires 3.5% down payment and also has upfront and monthly Mortgage Insurance.

USDA – 100% financing with an upfront funding fee allowed to be financed into the loan and an annual fee paid monthly. This program is driven by income and location of property to qualify.

VA – for the eligible American Veteran and their surviving spouses (if they have not remarried). 100% financing, an upfront funding fee allowed to be financed into the loan and NO other mortgage insurance. Limited closing costs allowed to be paid by the Veteran. Truly a great loan option!

These are the basics – many banks or mortgage companies have proprietary programs with their own guidelines so you might want to check into those options also.

Until next month, have a ghoulishly good Halloween!

Brenda Alfano
NMLS#229897
425-330-2039
http://balfano.absoluteloans.com
Absolute Mortgage, a division of Pinnacle Capital Mortgage Corp, nmls81395

Contest Winner!!

Congratulations Anna R. of Lynnwood! Anna won the toolkit we were giving away at the Everett Home Show last weekend. She guessed 288 packing peanuts, and the actual number was 287! Way to go Anna!!

Everett Fall Home Show and Everett Gift & Food Show

The Everett Fall Home Show and Everett Gift & Food Show at Comcast Arena is coming soon – Sep 26, 27 & 28. Two shows – one admission price! The show is a fun place to gather information for future home improvement projects, as well as shop for the holidays. Click for show details and to download free tickets. It’s all happening at the same time and the same place!