Build Your Custom HomehomeHome ImprovementHome OwnershipNew ConstructionRemodelingSave Money August 26, 2011

Building or Remodeling? Study of Life Expectancy of Home Components

– What is the longest-lasting Deck for the back yard?

– Are Granite Counters worth the high price tag in the long run?

– How long will it be before we really MUST paint the house again?

– Should we spring for the Hardwood Flooring or go with the Laminate?

– Is the  “50 Year Roof” only the stuff of legend?

Find out what materials stand the test of time, and which ones bite the dust too quickly.

If you’re thinking of building or remodeling your home, you might appreciate the information included in this study by the National Association of Home Builders & Bank of America Home Equity.

Visit

http://www.nahb.org/fileUpload_details.aspx?contentID=99359&fromGSA=1

for a thorough evaluation of the life expectancy of various home components.

AcreageBuild Your Custom HomeCoeur d'Alene ListingsHaydenHayden ListingsHome ImprovementHome OwnershipNew ConstructionOur ListingsRathdrumRathdrum ListingsReal Estate January 27, 2011

On The Level: Hire the Right Contractor!

Here’s another great article from our friends at Hibbard Construction, offering 
valuable advice on on hiring and working with contractors.

Considering a home remodel in the near future?  If you are thinking of hiring a contractor to do the job for you, it is important to have a plan before you embark on your home improvement journey. 

It is no secret that the success of any home remodel project will depend significantly on qualified craftsmen, quality materials and an experienced contractor that can adequately deal with the unforeseen obsticals that almost always arise during these projects. 

To ensure the most affordable and succesful outcome, it is vitally important to hire the best contractor for your project. Follow these steps to help you select the right contractor for the job.

Do your homework…
Start by getting written detailed bids from three reputable contractors. When comparing bids, make sure you are comparing apples to apples and not apples to oranges.  It is in your best interest to ask lots of questions. This is where you will flush out the details that are most important in identifying the specifics of your project and the scope of work the potential contractor can perform. 

Don’t assume that the lowest bid is the best deal.  Differences in materials will have a huge impact on the price of your project.  Make certain your bids are based on the same quality materials.  Also take into consideration the time frame it will take to complete the project.  There is nothing more frustrating than a project that takes longer to complete than originally anticipated.

Verify that the contractor’s license is active and check to see that the contractor is in good standing with the Bureau of Occupational Licenses. You can visit the web site at www.ibol.idaho.gov to see if your contractor is in good standing or has had complaints, liens or other derogatory claims filed against them.

Ask for and then check references. Look at other jobs the contractor has completed. Ask if you can speak directly to past clients.  Are they current with their vendors?  How long have they been in business?  Longevity is a good indicator that a contractor is good at what they do and that they conduct business with honesty and integrity.

Ask the contractor questions…
Do they have the experience and expertise to do the work you want done?  Ask for past examples similar to the type of project you are considering.  What makes them qualified to do this type of work.

Who will do the actual work: the contractor, subcontractors, or employees?  Desirable results are most often achieved if the contractor has his own employees on the job site.  Quality control is easier achieved in this manner.  If some of the work is to be performed by a subcontractor, ask how long that contractor has been doing business with the sub.  Be sure to ask for references and check to see if the subcontractor is in good standing with the Bureau of Occupational Licenses.

Other important questions to ask are: who is responsible for obtaining any necessary building permits?  Are architectural plans necessary for this project? How many other jobs will the contractor be working on at the same time as yours? 

It is important to know what written warranties are offered.  These can vary from project to project. If you plan on purchasing appliances, tubs, sinks and miscellaneous hardware for the project, are warranties available for those items, too? 

Lastly, it is important to know who you can call if you have questions or concerns during the project.  Is there a foreman or superintendent that can address concerns and is easy to contact?

Ask yourself…
Can I communicate with this contractor? Communication is vital during the project.  If the contractor cannot communicate before a contract is even agreed upon, the likelihood of having successful communications during the project is pretty slim.  Important decisions will be hard to make during the project process.  This can lead to a stressful home life during the project, and the overall project outcome may be less than desirable.

Does this contractor seem honest and forthright?  Is he looking out for your best interest?  A good contractor will tell you if your home improvement project is an over-improvement.  They will keep in mind that a good return on investment is key to keeping the value of your home in line with the surrounding homes in the neighborhood.

Do I have reasonable expectations, including being prepared for unexpected costs and delays?  This is a tricky one — Depending on the age of your home and the scope of work being performed, the unexpected can take a project in an entirely different direction.  It is important that a contractor keeps this in mind and communicates any unusual circumstances immediately and thoroughly to the homeowner.

A carefully written contract includes at least…
A list of materials to be used including quality, quantity, weight, color, size, brand names, etc. It is important and it needs to be concise in order to clarify the scope of work to be performed. 

A list of allowance items and the budgeted amount should be included as well. An allowance is a specific amount of money to buy items not yet selected. When these items (such as light fixtures) exceed the allowance, the homeowner pays the additional amount.

Agree in advance to a payment schedule that coincides with work as it is completed.  Be sure that your contract contains an agreement that the contractor and the homeowner will sign all “change orders”.  Each change order should be dated and include the nature and cost of the change. The change order will include who is responsible for any additional cost.

Workmanship warranties and specifically what they cover are also important to have outlined in your contract.  We live in an imperfect world and sometimes things don’t always work they way in which they were intended.  If it’s a manufacturing defect, does the manufacturer cover it?  A reputable contractor will use materials that have these types of warranties and provide warranties for work performed by his crew.

Start and completion dates are also important to include in your contract.  This is your insurance that the project will be completed in a timely manner.  If the completion date changes because of unforeseen obstacles, a change order should be created depicting the change.  Then a new completion date should be set.

And finally, the total price of the project should be clearly outlined in the contract as well.  A thorough contractor will create a budget for the entire project and operate within those amounts.  A detailed list of all expenses is important in understanding the entire scope of work being contracted. It helps both the homeowner and contractor keep the project on track financially.

With our extensive knowledge of the building industry, impressive list of professionals whom we’ve come to trust over the years, and expertise in guiding our clients through all kinds of Real Estate transactions, we are uniquely qualified to help you build your home.  

As REALTORS®, we’ll help you through every phase of building your new house, so you can build your life.  We can help you find Builders, Floorplans, and Land for your Dream Home or Estate.

Put us to work for you!

Curb AppealhomeHome ImprovementMarket NewsMarket ValueSellStaging December 16, 2010

Most Bang for Your Buck: Replace the Front Door in 2011!

Daily Real Estate News  |  December 16, 2010  |  

Owners Recoup More with Exterior Home Projects
As part of the 2010-11 Remodeling Cost vs. Value Report, Realtors® recently rated exterior replacement projects among the most cost-effective home improvement projects, demonstrating that curb appeal remains one of the most important aspects of a home at resale time.

“This year’s Remodeling Cost vs. Value Report highlights the importance of exterior projects, which not only provide the most value, but also are among the least expensive improvements for a home,” said National Association of Realtors® President Ron Phipps, broker-president of Phipps Realty in Warwick, R.I. “Since resale value can vary by region, it’s smart for home owners to work with a Realtor®through the remodeling and improvement process; they can provide insight into projects in their neighborhoods that will recoup the most when the owners are ready to sell.”

Nine of the top 10 most cost-effective projects nationally in terms of value recouped are exterior replacement projects. The steel entry door replacement remained the project that returned the most money, with an estimated 102.1 percent of cost recouped upon resale; it is also the only project in this year’s report that is expected to return more than the cost. The midrange garage door replacement, a new addition to the report this year, is expected to recoup 83.9 percent of costs. Both projects are small investments that cost little more than $1,200 each, on average. Realtors® identified these two replacements as projects that can significantly improve a home’s curb appeal.

Curb appeal remains king – it’s the first thing potential buyers notice when looking for a home, and it also demonstrates pride of ownership,” said Phipps.

The 2010-11 Remodeling Cost vs. Value Report compares construction costs with resale values for 35 midrange and upscale remodeling projects comprising additions, remodels and replacements in 80 markets across the country. Data are grouped in nine U.S. regions, following the divisions established by the U.S. Census Bureau. This is the 13th consecutive year that the report, which is produced by Remodeling magazine publisher Hanley Wood, LLC, was completed in cooperation with REALTOR® Magazine.

Realtors® provided their insight into local markets and buyer home preferences within those markets. Overall, Realtors® estimated that home owners would recoup an average of 60 percent of their investment in 35 different improvement projects, down from an average of 63.8 percent last year. Remodeling projects, particularly higher cost upscale projects, have been losing resale value in recent years because of weak economic conditions.

According to the report, replacement projects usually outperform remodel and addition projects in resale value because they are among the least expensive and contribute to curb appeal. Various types of siding and window replacement projects were expected to return more than 70 percent of costs. Upscale fiber-cement siding replacement was judged by Realtors® the most cost effective among siding projects, recouping 80 percent of costs. Among the window replacement projects covered, upscale vinyl window replacements were expected to recoup the most, 72.6 percent upon resale. Another exterior project, a wood deck addition, tied with a minor kitchen remodel for the fourth most profitable project recouping an estimated 72.8 percent of costs.

The top interior projects for resale value included an attic bedroom and a basement remodel. Both add living space without extending the footprint of the house. An attic bedroom addition costs more than $51,000 and recoups an estimated 72.2 percent nationally upon resale; a basement remodel costs more than $64,000 and recoups an estimated 70 percent. Improvement projects that are expected to return the least are a midrange home office remodel, recouping an estimated 45.8 percent; a backup power generator, recouping 48.5 percent; and a sunroom addition, recouping 48.6 percent of costs.

Although most regions followed the national trends, the regions that consistently were estimated to return a higher percentage of remodeling costs upon resale were the Pacific region of Alaska, California, Hawaii, Oregon and Washington; the West South Central region of Arkansas, Louisiana, Oklahoma, and Texas; the East South Central region of Alabama, Kentucky, Mississippi and Tennessee; and the South Atlantic region of the District of Columbia, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia and West Virginia.

The regions where Realtors® generally reported the lowest percentage of costs recouped were New England (Connecticut, Massachusetts, Maine, New Hampshire, Rhode Island, and Vermont), East North Central (Illinois, Indiana, Michigan, Ohio and Wisconsin), West North Central (Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota and South Dakota), and Middle Atlantic (New York and Pennsylvania).

“It’s important to remember that the resale value of a particular improvement project depends on several factors,” said Phipps. “Things such as the home’s overall condition, availability and condition of surrounding properties, location and the regional economic climate contribute to an estimated resale value. That’s why it is imperative to work with a Realtor®who can provide insight and guidance into local market conditions whether you’re buying, selling or improving a home.”

Results of the report are summarized in the January issue of REALTOR® Magazine. To read the full project descriptions, access national and regional project data, and download a free PDF containing data for any of the 80 cities covered by the report, visit www.costvsvalue.com.

Source: NAR

http://www.realtor.org/press_room/news_releases/2010/12/home_owners_recoup