Are You in Your Forever Home?

I sometimes ask this question of clients to give, "someday we'd like to move..." some real thought.  There certainly are times in life when moving just isn't in the cards, but it's also true that, like having a baby, it's almost never an ideal time.  Regardless of what's going on in people's personal lives, the market keeps moving and changing, and it's important to really think through the scenarios.

If you have a home to sell, the current low inventory will offer you an opportunity to get the price you want.  Homes that are well-priced and even moderately updated are going under contract within days.  And while the lack of inventory can affect your replacement home search, interest rates are still historically low and offer maximum purchasing power.  The chart below shows how much your options can be affected by waiting until next year to make a move:

	Purchase Price (with 20% down)	30-Year Fixed Rate	Monthly Principal and Interest	Monthly Cost to Wait	Cost Over Life of Loan
Purchase Now	$450,000	4.5% (4.523% APR)	$1,824
Wait (rates rise)	$450,000	5.125% (5.274% APR)	$1,988	$164/mo	$59,040

Or, looked at another way, if you wanted to keep your monthly payment the same while the interest rate rises, your purchase price would be reduced to only $418,758.  That $30,000 jump can mean significant sacrifices to your wish-list.  It's also going to reduce the buyer pool for the house you are trying to sell.

 

Staufer Team has a great reputation in the Louisville/Superior area, and often our agents have clients who are waiting for the right opportunity before they become serious about their move.  There are several homeowners in Louisville who would sell their home if only they could find another replacement nearby.  If this describes you, please let me know.  Our team may be able to match you up with another seller or buyer just waiting for you!

---

I would love to help you with your real estate journey. 

Please contact me at 303-917-7143 or robbin@stauferteam.com

---

The Music of the Street Faire

 

Every summer, the Louisville Street Faire attracts guests from all over the area to enjoy food, drink, vendors and most of all - great music.  This year's lineup is setting a new bar:

June 13 - BoDeans

June 20 - Terrance Simien and the Zydeco Experience

June 27 - March Fourth Marching Band

July 11 - Los Lobos

July 18 - Young Dubliners

July 25 - Iguanas

August 1 - Chuck Prophet & the Mission Express

August 8 - Samantha Fish

August 15 - Subdudes

The event runs from 5-10pm at 824 Front Street, with live music from 6:30-9:30pm.  Come out and join us!

---

I would love to help you with your real estate journey. 

Please contact me at 303-917-7143 or robbin@stauferteam.com

---

Coming Up For Air

Louisville is 17.3%.  Boulder is 11.2%  These are the increases in the median sales price for the first quarter of 2014 over the same time period in 2013, according to the Boulder Area REALTORS® Association.  The S&P/Case Shiller Denver Home Price Index is reporting a year-over year increase of 9.13% in residential real estate prices.

Property values are recovering, more quickly in some markets than others.  This is greatly affecting about a third of the nation's homeowners who are currently in the process of foreclosure - they are discovering that they may no longer be underwater.

During the first quarter of 2013, 26% of all homeowners were seriously underwater (debt equal to or more than 25% of their home's value).  This year, that number is down to 17%.  According to RealtyTrac, that equals almost 2 million homeowners.  That positive equity may help some of them avoid foreclosure with a refinance or short sale.  The Denver metro area is a population where perhaps half of the homeowners in foreclosure may actually have gained equity again.

Many homeowners may not realize their good fortune, some of them having vacated their properties already.  If you'd like to find out if your home's appreciation is significant, please contact me.  My team of experts will get you the right information and help you navigate the process of getting back on the shore.

---

I would love to help you with your real estate journey. 

Please contact me at 303-917-7143 or robbin@stauferteam.com

---

FOR SALE: 411 Smith Circle, Erie

 

Brand new listing in Grandview!  Close to downtown Erie and I-25, this spacious townhouse backs to a common area, is close to walking paths and two parks, and has mountain views!

Freshly painted, custom drapes, 2 bedrooms up with 2 full baths plus a half bath off of the kitchen.  Listing price is $180,000.

Come out and visit me at the Open House Saturday, April 5 from 2-4pm.  Inventory is low - this unit won't last long! 

---

I would love to help you with your real estate journey. 

Please contact me at 303-917-7143 or robbin@stauferteam.com

---

HERS® Ratings Explained

The HERS® Index, or Home Energy Rating System, is how a home's energy efficiency is measured.  The Residential Energy Services Network (RESNET) is responsible for creating and maintaining training and national standards for ratings and industry professionals.  Obtaining a HERS rating can help you determine if you need to make changes to improve your home's energy efficiency, and a good rating can help you get more money when you resell.

As in the game of golf, the lower the number, the better the performance.  A standard new home is given a score of 100.  Each point decrease corresponds to a 1% reduction in energy consumption.  For instance, a home that receives a score of 70 would be 30% more efficient than a new home.  A typical resale home usually scores around 130, or 30% less energy efficient than a new home.

To calculate a home's HERS Score, a certified RESNET Rater looks at many factors, including exterior walls, ceilings and roofs, floors, attics and crawlspaces, windows and doors, HVAC systems and ductwork.  He will conduct several tests to look for issues such as air leaks and the effectiveness of insulation, and compares the data to a "reference home" - a designed model home the same size and shape of your home.

If you'd like to have your home rated, you can find an accredited HERS Provider HERE.

If you're looking at financing energy performance improvements either for your existing home or one you are considering purchasing, energy mortgages can help finance the upgrades using the monthly energy savings.  Tax credits for certain home improvements also exist that can provide significant savings on your annual return.  Need to speak to a mortgage lender or accountant to find the best approach for your situation?  Give me a call, I know a guy.

---

I would love to help you with your real estate journey. 

Please contact me at 303-917-7143 or robbin@stauferteam.com

---

The Lowdown on DELO

DELO, or Downtown East Louisville, is an urban infill project on the site of an old concrete batch plant, adjacent to the train tracks between Griffith and South Streets.

N ↓

244 townhouses and condos are planned within the development, as well as 15,000 sqft of commercial and office space.  The atmosphere is intended to be open and balanced, with pedestrians, bicycles, cars, retailers, residents and renters all sharing the same space with walkability to downtown's restaurants and shops.

The site was originally going to include a FasTracks train station, which may remain as part of the final plan in the hopes that future decades may still bring the commuter rail through DELO.

The developers promise to feature green and/or LEED construction standards and recycled materials whenever possible.  The preliminary plans have been submitted to the city, who could give final approval as early as April for a May start.

Residents of Louisville have voiced concerns over the impact DELO and other potential developments will have on the city, specifically on enrollment at Louisville Elementary and Middle School.  Discussion over short- and long-term options for rapid growth included continued restrictions on open enrollment, portable classrooms and even boundary changes.  For more specifics, click HERE for recent City Council meeting summaries and minutes.

---

I would love to help you with your real estate journey. 

Please contact me at 303-917-7143 or robbin@stauferteam.com

---

To Renovate or Not To Renovate?

One of the issues I am running into with my Louisville clients who want to upgrade but stay in the city is that they have nowhere to go - the low inventory keeping them from finding a replacement home is also keeping them from listing their own house and perpetuating - yes, the low inventory.  I am not above knocking on stranger's doors and asking them if they are willing to sell, and have created several letter-writing campaigns to ferret out dormant sellers.

At some point in the house search, potential buyers have to decide if it's worth it to keep going or stay where they are.  I always advise my clients to seriously consider their best alternative to the desired solution - if you can't find a new place, what are you really willing to live with instead?  I also give this advice when we are knee-deep in negotiations.  It's easy to get emotional and upset with the other side, sometimes digging into a position.  But if you're alternatives are worse than the offer on the table, it's important to revisit your goals and not cut off your nose to spite your face.

One solution to the low inventory is renovating a current property.  This can make your home meet your family's needs better, even temporarily, and also add sweat equity for when you can finally make that move.  Potential sellers always want to know which improvements will give the most bang for their buck - what makes their home more marketable, and which renovations actually recoup the most for their investment?

Check online or design books for current color trends.

At the inexpensive end, paint can make the biggest impact for the least cost.  While it won't add dollars to the price of the home, it will make it more attractive to buyers.  Replacing hardware on cabinets and doors is another small investment that refreshes the space and gives the impression that the house has been maintained and updated.  Spending a few bucks on the front landscaping is generally a good idea, as well.  Improving the curb appeal doesn't have to be expensive and is important for getting people in the door - they won't buy if they don't go in.

For bigger projects, the answer will depend to some degree on the specifics of the particular house - the location, the price range, the market trends.  For instance, if you have an older home that only has one bathroom, figuring out how to construct even another half bath is a smart investment; many people won't even bother to look at homes with only one bath.  But if you already have three bathrooms, adding a 5-piece luxury master bath may not be the best place to put your bucks.  

An expensive upgrade may be overkill
when a gas insert will do the trick.

There are some guidelines to help you decide which projects are worth tackling.  For a midrange home in the Denver metro area, the renovations that will give you the biggest return for your money are kitchen remodels, basement remodels, deck additions, window replacements and garage door replacements.  Generally speaking, these improvements will recoup 70% or more of their initial investment upon resale, not counting any energy savings that might be realized through replacing low-efficiency materials and appliances with high-efficiency ones.  Again, you need to do your research (or talk to your Realtor® who already has) to determine how far to take the renovation.  Do buyers in your neighborhood expect to see cherrywood floors, triple-glazed windows or media rooms?  You may choose to do these upgrades anyway because you like them, but it's good to know what to expect from the market.

Wood shake shingles are a red flag for buyers,
and some cities are already banning them.

Bathroom remodels, roof and siding replacement, garage additions and front door replacements fall into the next tier, usually recouping 55% or more.  Another consideration when deciding on your renovation priorities - is the current situation functional and adequate or broken and obsolete?  In other words, if the roof is at the end of it's life and buyers are going to request a new one anyway, you might as well get it done before it becomes an inspection and negotiation item.

Projects that are probably best avoided?  Anything too unique or custom that won't appeal to a larger audience.  Wine cellars and hot tubs may be an integral part of your lifestyle, but just as many people will rip them out as keep them when they move in.  Also, large room additions like master suites or family rooms generally prove too costly to pursue.  However, if the homes around you are popping the top and getting top-dollar for it, your home may be an exception to this rule of thumb.  If you'd like a professional contractor to give you estimates and advice on the projects you're considering, give me a shout; I've got several trustworthy recommendations I can give you.

---

I would love to help you with your real estate journey. 

Please contact me at 303-917-7143 or robbin@stauferteam.com

---