There are programmable thermostats available at home improvement stores that can make the adjustments for specific times during the day and specific days of the week. They’ll allow you to override the setting when needed without tampering with the programming. They’ll even remind you to change your filter.

An exciting development is the Wi-Fi enabled thermostat that allows adjustments from any Internet connection such as computer or Smartphone. Imagine how convenient it can be to change your temperature from the car before you get home.

Reasonably priced under $100 for most models, it makes it easy to recapture the cost of the thermostat quickly. Most of the thermostats are designed for do-it-yourselfers; however, you can always have a heating and cooling professional install it for you.

 Tax breaks. The U.S. Tax Code lets you deduct the interest you pay on your mortgage, property taxes you pay, and some of the costs involved in buying your home.

To calculate whether renting or buying is the best financial option for you, use this calculator courtesy of Ginnie Mae:

http://www.ginniemae.gov/rent_vs_buy/rent_vs_buy_calc.asp?Section=YPTH

photo credit:  Some rights reserved by james.thompson

1.  Storage. Some condos have storage lockers, but usually there are no attics or basements to store belongings.
2.  Outdoor space. Yards and outdoor areas are usually smaller in condos, so if you like to garden or entertain outdoors, this may not be a good fit. However, if you hate yard work, this may be the perfect option for you.
3.  Amenities. Many condo properties have swimming pools, fitness centers, and other facilities that would be very expensive in a single-family home.
4.  Maintenance. Many condos have onsite maintenance personnel to care for common areas, do repairs in your unit, and let in workers when you’re not home.
5.  Security. Many condos have keyed entries and or even door attendants. Plus, you’ll be closer to other people in case of an emergency.
6.  Reserve funds and association fees. Although fees generally help pay for amenities and provide savings for future repairs, you will have to pay the fees agreed to by the condo board, whether or not you’re interested in the amenity or not.
7.  Resale. The ease of selling your unit is more dependent on what else is for sale in your building, since units are usually fairly similar. Single-family homes usually are more individual.
8. Freedom. Although you have a vote, the rules of the condo association can affect your ability to use your property. For example, some condos prohibit home-based businesses. Others prohibit pets. Read the covenants, restrictions, and bylaws of the condo carefully before you make an offer.
9.  Proximity. You’re much closer to your neighbors in a condo or townhome. If possible, try to meet your closest prospective neighbors before making a decision

photo credit :  Some rights reserved by sailorbill

There are Two Reasons For Pursuing Major Home Improvement Projects:

1. Just Want To Do It – You want some new features in a home to improve your family’s quality of life, but you don’t want to leave your current home.

2. Really Need To Do It – You want to make your home more marketable to maximize return (or minimize loss) and speed up the sale process.

In the right market conditions, a project might fit into both categories. Other times, though, the two approaches will conflict:

Just Want To Do It

The project is perceived as a necessary or worthwhile improvement to your family’s lifestyle. Say you have two or three teenagers in the family and the morning bathroom situation is completely out of control. It doesn’t matter if an additional bath generates a 150 percent return on investment or actually decreases the value of the home (unlikely, unless you’re a completely incompetent do-it-yourselfer with a bizarre design sense). The economic impact just doesn’t matter. If you have the money for a new bath and you don’t want to move – you add the bath. It’s that simple.

Or say you’re a barbecue fiend and the only feature missing from the dream home you’ve just purchased is a sprawling backyard patio with a natural-gas grill custom-built with flagstone and river rock. Again, return on investment just isn’t going to be a critical question. The improvement becomes more comparable to purchasing a depreciating asset that you feel is a necessity for your lifestyle – such as an automobile. When the barbecue aficionado adds a deluxe patio to a home that’s already the most expensive property in the neighborhood – perhaps destroying the entire backyard in the process – there’s a good chance that very little of the cost will be recouped in a subsequent sale.

An even better example might be a pool. If you’re a person who simply has to have one – fine. Put in a pool. But it’s probably worth checking with a real estate professional first, just to make sure you fully understand that addingthe pool might actually lessen the property’s value and make it more difficult to sell should you later decide to move.

That’s the reality in many markets. That doesn’t necessarily mean you shouldn’t do it, especially if you’re planning to live in the home for the rest of your life. It just means it’s worth knowing the cost and salability impacts at the front end – even if they’re not going to deter you from pursuing the project.

Really Need To Do It

This home improvement project is pursued primarily to increase the property’s salability. In turn, this often increases your return on investment. A good real estate agent can advise you of possible improvements that will attract more potential buyers and also pay for themselves either through increasing the home’s value or through shortening the time it takes to sell the home.

Here we’re typically talking about projects such as:

• Repairing or replacing the roof.
• Painting – either because the existing paint is in bad shape or is an unusual color; replacing carpets – again because of age, col
  or or style.
• Repairing or resurfacing a cracked driveway or sidewalk.
• Refacing kitchen cabinets.
• Trimming or removing overgrown or unattractive landscaping.

While spending several thousand dollars on your home right before you sell it might not sound very appealing, it’s not uncommon for the right work to more than pay for itself in a higher selling price and shorter marketing time.

Consult with an experienced real estate agent to learn what improvements will make your home more marketable in comparison to similar properties that are now – or recently have been – on the market in your area.

photo credit: Some rights reserved by tornatore

Fixed Rate Mortgages

Consider a fixed rate mortgage if either of the following describes you:

• You plan on living in your new home for many years, and/or
• You are not a risk-taker and prefer the stability of knowing how much your payment will be each month.

Since most home loans are for a period of 30 years, if you want a payment you can count on for that long of a period of time, a fixed rate mortgage may be what works best for you. Once your loan amount and interest rate are calculated and locked in, a fixed rate mortgage will guarantee that you will have the same payment over the life of the loan. Making extra payments to principal will allow you to pay your loan off sooner.

This may not always be the best choice, however. If interest rates are very high at the time you take out your loan, with a fixed rate mortgage you’ll be stuck with that high interest for the life of the loan (unless you choose to refinance). Conversely, if interest rates are very low, you’ll come out the winner with interest rates that will stay low no matter how high interest rates go in the future.

The following are descriptions of the varying lengths and terms of fixed rate mortgages:

• 15-Year Fixed-Rate: You to pay off the loan in half the time of a 30-year loan. Equity builds up more quickly than in a 30-year loan. Payments are higher (which may be a problem if you lose your job or become unable to work).
• 20-Year Fixed-Rate: You to pay off the loan in 2/3 the time of a 30-year loan. The overall interest paid is considerably less than for a 30-year loan.
• 30-Year Fixed-Rate: The most common choice, especially for first-time home buyers, as it is easiest of the fixed-rate loans to qualify for.

Monthly payments are lower than for 15-year and 20-year loans. (Especially helpful if you don’t have a lot of “padding” between the amount you can afford to spend & the monthly payment for your desired property). More desirable if you plan on staying in the same home for years, since equity builds more slowly than for shorter term loans. For income tax purposes, this term provides the maximum interest deduction.

Adjustable-Rate Mortgages (ARMs)

If you are more comfortable in taking a risk with your money, or if interest rates are very high at the time you take out your loan, an adjustable-rate mortgage (ARM) may be the type for you. You might also choose this type of loan if your planned ownership of the property is short-term or if you expect your income will increase to cover any potential rise in the interest rate.

Generally, the interest rate when you take out your loan will be lower than a fixed-rate mortgage. Please note that this is true initially, not necessarily long-term. Since an ARM rate rises and falls depending on the prevailing interest rate, your mortgage payment will rise and fall accordingly. If your income isn’t sufficient to cover the highest possible payments, then this option isn’t for you. On the positive side, the lower initial payments will allow you to qualify for a larger loan than if you chose a fixed-rate type. The downside is that your payments will increase if/when the rates go up.

Typically, ARM interest rates are tied to a specific financial index (such as Certificate of Deposit index, Treasury or T-Bill rate, Cost of Funds-Indexed Arms or COFi, or LIBOR [London Interbank Offered Rate]) and your payment will be based on the index your lender uses plus a margin (generally two to three points). Get the formula used by your lender in writing and make sure you understand what it means.

Fortunately, the amount an ARM can rise is not unlimited. There are “caps” on how much your lender can increase your rate, both for a period of one year and for the life of the loan. Plan ahead, and have your lender calculate what the maximum payment would be if your rate went to the highest amount allowed by the cap for your particular mortgage. If you’re not confident you’ll be able to pay that amount on a monthly basis, perhaps you should reconsider this type of loan.

Convertible ARMs

If neither the fixed-rate nor the adjustable-rate mortgage seems the best option, perhaps the convertible ARM will be right for you. This alternative combines the initial advantage of an ARM with a fixed rate after a predetermined number of years. Obviously, this type of mortgage has more advantages when the initial interest rate is low and the future rate is not guaranteed.

Government VA & FHA Loans

Another mortgage option for some people is a government loan, providing that you meet the qualifications for these loans.

• VA Loans: Veterans may qualify for a loan from the Veterans Administration. There is a limit on the amount you can borrow, so this option works best for those buying a lower priced home.
• FHA Loans: The Federal Housing Association offers loans to lower-income Americans. Look for the phrase “FHA approved” when looking at ads for houses.

photo credit:  Some rights reserved by 401K

How to Calculate Gain

In real estate, capital gains are based not on what you paid for the home, but on its adjusted cost basis. To calculate this:

1. Take the purchase price of the home: This is the sale price, not the amount of money you actually contributed at closing.

2. Add adjustments:

• Cost of the purchase including transfer fees, attorney fees, inspections, but not points you paid on your mortgage.
• Cost of sale including inspections, attorney’s fee, real estate commission, and money you spent to fix up your home just prior to sale.
• Cost of improvements including room additions, deck, etc. Note here that improvements do not include repairing or replacing something already there, such as putting on a new roof or buying a new furnace.

3. The total of this is the adjusted cost basis of your home.

4. Subtract this adjusted cost basis from the amount you sell your home for. This is your capital gain.

A Special Real Estate Exemption for Capital Gains

Since 1997, up to $250,000 in capital gains ($500,000 for a married couple) on the sale of a home is exempt from taxation if you meet the following criteria:

• You have lived in the home as your principal residence for two out of the last five years.
• You have not sold or exchanged another home during the two years preceding the sale.

Also note that as of 2003, you also may qualify for this exemption if you meet what the IRS calls “unforeseen circumstances,” such as job loss, divorce, or family medical emergency.

photo credit:  Some rights reserved by Images_of_Money

 Owners manuals for items left in the house.

Photo Credit:  Some rights reserved by adelle roux

What is the assessed value of the property? Note that assessed value is generally less than market value. Ask to see a recent copy of the seller’s tax bill to help you determine this information.

Photo credit:  Some rights reserved by 401K

Raise your deductible. If you can afford to pay more toward a loss that occurs, your premiums will be lower.

photo credit: Some rights reserved by Hoboken Condos

For buying and selling purposes, appraisals are usually based on market value what the property could probably be sold for. Other types of value include insurance value, replacement value, and assessed value for property tax purposes.

Appraised value is not a constant number. Changes in market conditions can dramatically alter appraised value.

Appraised value doesn’t consider special considerations, like the need to sell rapidly.

Lenders usually use either the appraised value or the sale price, whichever is less, to determine the amount of the mortgage they will offer.

Used with permission from Kim Daugherty, Real Estate Checklists and Systems(http://www.realestatechecklists.com).

photo credit:  Some rights reserved by Sheep purple