Avoiding Costly Mold Problems In Your Home

How homeowners can avoid costly mold problems Whether you’re buying or selling a home, mold has become a hot issue. Health concerns and potential damage make mold a red flag for buyers. And even if you’re not planning to sell any time soon, taking care of mold problems now can help prevent bigger problems in the future. Contrary to what some people think, mold is not a geographic problem—it can occur anywhere, no matter where you live. Here is some basic information about mold and how to deal with it. What is mold? Molds are microscopic organisms that are found virtually everywhere, indoors and outdoors. There are thousands of different kinds of mold. Their natural function is to help break down dead materials such as stumps and leaves so the nutrients can be used by the environment. For molds to grow, they need two things: an organic food source—such as leaves, wood, paper or dirt—and moisture. Problems associated with mold Mother Nature uses mold to decompose plant material. Unfortunately, when present indoors, it can be equally destructive. Mold growth can damage furnishings, such as carpets, sofas and cabinets. Left unchecked, it can also cause serious damage to walls and structural elements in your home. Mold is present everywhere, and most people tolerate exposure with no adverse effects. If allowed to spread, however, it may cause problems. As molds grow, they release thousands of tiny spores that travel through the air. When inhaled in large enough amounts, these spores may increase the risk of adverse health effects in some people, particularly respiratory problems. A less-common strain of mold called “black mold” can be particularly troublesome to those who are especially sensitive. Common causes of mold problems Don’t think that just because you live in a hot, dry climate, your home is not vulnerable to mold. There are many sources of mold problems, from faulty air conditioners to poorly positioned sprinkler systems. Federal standards for energy-efficient home-building have even contributed to the problems. By making homes more airtight, construction techniques in newer homes also trap moisture inside. Here are the most common sources of mold inside the home: · Flooding · Leaky roofs or damaged gutters · Heating or cooling system problems · Poor drainage next to foundation · Plumbing leaks from toilets, refrigerators and dishwashers · Damp basement or crawl space · Leaking windows or doors · Steam from shower or cooking · Indoor exhaust from clothes dryers What to look for If you can see or smell mold inside your home, it’s time to take measures. Any area that has sustained past or ongoing water damage should be thoroughly inspected—you may find hidden mold growth in water-damaged walls, floors or ceilings. Walls and floors that are warping or discolored can also indicate moisture problems, as can condensation on windows or walls.

Preventing mold in your home Since mold is always present, there’s no way to eliminate it completely. You can control indoor mold growth, however, by controlling moisture. 1 Remove the source of moisture by fixing any leaks or other water problems. 2 Make sure bathroom fans and dryers are properly vented to the outside. Always use the exhaust fan when cooking or showering. 3 Use a dehumidifier or air-conditioning system. Make sure your AC system is well maintained and is the correct size for your home. A faulty AC system can cool the air without removing the water vapor, creating high humidity. 4 Insulate your home well to prevent indoor condensation. 5 Have your heating, ventilation and cooling systems professionally cleaned annually. Air-duct systems can easily become contaminated with mold. 6 Regularly clean moist areas such as the bathroom with products that treat mildew. 7 Dry-clean, rather than wet-clean, your carpets. 8 Avoid carpeting bathrooms and basements. 9 Clean any moldy surfaces as soon as you notice them. Mold clean-up Mold is a manageable problem. Unless it is dealt with correctly, however, it will continue to come back. If your mold problem is severe or if you have extensive water damage, it’s best to call an experienced, professional contractor who specializes in mold removal. If you have a mold problem that is isolated to a small area, less than a square yard or so, you can try to resolve it yourself. Porous items that are hard to clean, such as carpet and drapes, should be discarded. Moldy Sheetrock and ceiling tiles can be removed and replaced. Hard, nonabsorbent surfaces such as glass, plastic and metal can be thoroughly cleaned with soap and water. Allow to dry completely. For solid items that are semi-porous, such as floors, cabinets and wood furniture, scrub with an ammonia-free cleaner and hot water to remove all mold. Rinse with water and dry thoroughly. After cleaning, apply a mildewcide to kill mold and spores. When cleaning mold, remember to wear gloves, a mask and eye protection, and work in a well-ventilated area. Throw away any sponges or rags that you use for cleaning.

Attention Real Estate Agents.....2005 is over, 2006 will be different!

As we launch off on a new year I'm amazed at how many agents I work with that think they dialed in their business last year. They are busy congratulating themselves of their brilliance when in fact all they have done is confused market for genius.

Last year was a great year, for many real estate professionals it was their best year. The challenge is that they can not expect to conduct their business this year as they did last year and get the same results. Why......because the market has changed. New market conditions will require a new or different approach. And, not only is the market changing, but so are our buyers and sellers.

One of the exciting aspects of being a real estate agent is that we have to be adaptable. I liken our agents to the down hill skiers we've been watching on the Olympics. Each day they race down the same hill yet each day it is different. The temperature, wind direction, texture of the snow.....all conditions they have to deal with yet over which they have no control. Much like the real estate agent who has no control over market, interest rates, inventory or clients timing, they too must adapt to the conditions.

The importance of face to face real estate offer presentations.

In the age of fax and e-mail, we tend to know one another by the color of our print and not by the content of our character. Hats off to modern technology, but there is no substitute for doing business face-to-face. This holds true….most especially…in making an offer on a house.

It is unfortunate that in today’s high tech, low touch environment we find real estate agents doing the old “drop and run” or “fax and forget” approach to delivering an offer to the other party. With low commissions comes low service and face to face communications upfront can off set problems down the road.

Meeting the seller and listing agent face to face improves communication and leads to more successful negotiations. Most communication is non-verbal. Body language, tone of voice and nuances of the negotiating process cannot be faxed. Presenting an offer personally to the seller improves the opportunity to provide important supporting details such as flexibility in timelines for inspections and closing. And if the buyer’s agent has his or her client on stand by or nearby, the seller’s counter-offer can be addressed on the spot and the transaction inked that hour. No waiting; no chance that a higher offer might come the next morning to trump your bid.

The risk of miscommunication is lowered when all the parties are present to ask and answer questions and clarify intent. “We weren’t sure what you meant by that” doesn’t end as a fly in the ointment of the agreement.

The additional benefits of a personal presentation to the seller are that his or her agent can provide data supporting the offering price and provide advocacy in the event of multiple offers. Conversely, the listing agent can provide additional background on the seller and the offer that don’t’ find their way into the ink.

Lastly, a tremendous value flows from the agents meeting face-to-face. Nothing serves the interests of the clients more than a smooth working relationship between their respective agents. In many real estate sales these days, the agents (let alone their clients) never are in the same room together. When rough spots appear, and with no feel and empathy for the other agent, it’s difficult to smooth the way for solutions.

Best advice……always have your agent present all offers personally. If they can’t present to both the listing agent and the seller then the agents should at least meet face to face to review the terms of the contract. Though this takes a little extra effort on your agents part the advantages to both the buyer and seller far outweigh the impersonal convenience of the fax. An enthusiastic and warm human being looking you in the eye sells a home or a buyers perspective better than sterile print staring at you from a cold page.

This should be a discussion you have up front with your real estate agent even before you hire them.

Kitsap County Real Estate Statistics for 1/28/2006

Watching stats like these will help you determine what kind of a market you are in.
For Kitsap County Washington as of 1/28/2006

875 Active Listings
52 Homes went Pending last week
53 Average Days on Market

$280,040 Average List Price
$278,093 Average Sale Price

99% List price to sale price ratio

16.8 weeks of inventory

Learn more about Defining Your Market.

Kitsap County Washington Real Estate Market Trend

We've been talking about the real estate market, not only in Kitsap County but through out the U.S. Here is a good graphic represetnation showing the trend in our neck of the woods since January of 2000. This may well apply to your area as well.

The top, magenta line shows number of active listings on the market.

The middle, darker line shows the number of new listing which came on the market that month.

The bottom yellow line shows the number of transactions that went pending in the month.

As you can see the overall trend is downward for number of listings available for buyers to see even though the number of buyers, represented by the transactions that went pending, the dark line, has stayed constant.

It will be interesting to see what happens over the next 30 to 45 days as our annual spring market developes.

Kitsap County Housing Snap Shot

Kitsap County home owners saw on average a 20% increase in their investment last year. Will it continue in 2006???

Here is what we are seeing today.
Absorption rate has gone from 10 weeks of inventory to 20 weeks over the last 6 months. This represents a slowing of the market, longer market time, not as many mulitiple offer situations and if this trend contiunues perhaps a shift from a sellers market to more of a buyers market.

Will it shift....too soon to tell. The slowing could be a result of the holidays, this effect is not uncommon. We will know more by the end of February which is when the spring market typically starts.

Stay tuned and I'll let you know.

FHA Eases Requirements on Mandatory Repairs

Buyers often find themselves in a catch 22. They find a house that they can afford but it needs repair, which is why it is priced low enough for them to even look at in the first place. The repairs are identified, the buyers are ready and willing to make the repairs but FHA or VA will not allow the buyer to participate in the repair work and seller is unwilling to make them. What is a buyer to do?????

This article in Realtor Magazine is good news for FHA buyers, we can only hope the VA follows suit.

FHA Eases Requirements on Mandatory Repairs

(January 13, 2006) -- The Federal Housing Administration hopes that easing rules on property conditions and mandatory repairs will allow the agency to reclaim a larger share of the overall housing market.

Lenders, real estate professionals, home buyers, and sellers should welcome the move because it will now allow a mortgage to close on a previously owned home even if minor defects—such as leaky faucets, cracked sidewalks, soiled carpeting, and missing handrails on stairways—have not been fixed beforehand. The mandatory repair rule for FHA loans—which turned many away from the agency—now will apply only to more serious defects such as structural problems, foundation damage, poor roofing, and electrical hazards.

The FHA currently has a 3 percent share of the mortgage financing market, compared with 11 percent less than a decade ago; but the change might allow the agency to loosen the grip that subprime lenders have taken on first-time, moderate-income buyers.

Source: New London Day (CT) (01/13/06); Harney, Kenneth

New Increase for VA Loan Limits

New Increase for VA Loan Limits

Last week I reported that the maximum VA loan amount was $359,650 in Kitsap County WA. I’m happy to report that the VA has just increased this amount for Washington and Oregon to $417,000.

This means that our service members if qualified, have a better chance of keeping up with the housing market as prices have gone up significantly over the past year. As a whole Kitsap County home prices have gone up 20%.

VA and FHA Loan Limits in Kitsap County WA

VA and FHA Loan Limits in Kitsap County WA

The VA and FHA loan limits are different throughout the U.S. This is the upper amount that a buyer can go to when using an FHA or VA loan.

VA $359,650
FHA $215,650

For more information about qualifying for a government loan see your Realtor or a Lender.

New Real Estate Loan Limits

New Real Estate Loan Limits

Fannie Mae just raised its loan limits:

Single Family       Was $359,650     Now $417,000
Two Family       Was $460,400     Now $533,850
Three Family       Was $556,500     Now $645,300
Four Family       Was $691,600     Now $801,950

Loans greater than this would fall into the jumbo loan category and will usually require different qualifications and higher interest rate.

Real Estate Statistics for Kitsap County 12/11/2005

Watching stats like these will help you determine what kind of a market you are in.
For Kitsap County Washington as of 12/112005

925 Active Listings
49 Homes went Pending last week
51 Average Days on Market

$277,488 Average List Price
$275,681 Average Sale Price

99% List price to sale price ratio

18.9 weeks of inventory

Learn more about Defining Your Market.

Remodeling your home: Cost vs. Value Report

Remodeling your home: Cost vs Value Report

Did you know that on average remodeling your bathroom may recoup 102.2% of your investment? On the other end of the spectrum remodeling your home office may only garner a 72.8% return of your money spent.

Here is a brief list:Bathroom 102.2%
Minor Kitchen Remodel 98.5%
Siding Replacement 95.5%
Adding an attic bedroom 93.5%
Deck addition 90.3%
Basement remodel 90.1%
Window replacement 89.6%
Roofing replacement 84.7%
Family room addition 83.0%
Home office remodel 72.8%

Please note….these are national averages. Contact your Realtor for a copy of Decembers Realtor Magazine which has more detail as well as a break down based on region and city.

Though you may often only consider needing your Realtor when it comes time to buy or sell a home here is an example where they can offer an ongoing service.