Planning on purchasing a fixer upper house?

Purchasing a fixer upper house can be a worthwhile, money making undertaking or could be a nightmare waiting to happen.  Consider these things before you purchase a fixer upper house.

What you can do yourself?

Attempting a remodeling job that you do not have the skills for will take longer than you think, lead to less-than-professional results and cost you more money in the end.

     Do you have the skills set?

     While tasks like stripping wallpaper and painting are fairly straightforward, others like electrical work can be dangerous when done by amateurs.

      Do you have the time?

      Are you able to take time off work and away from other responsibilities to renovate a fixer  upper.  If not, will you be living in construction for months while you complete projects on the weekends.

Do the numbers before you make an offer.

     Have your contractor do a walk-through of the house, so he can give you a written cost estimate on what he will do.

     If you are doing the work yourself, make a detailed list and price of the supplies.

     There are always unforeseen issues that will arise with a fixer upper house.  To cover these add on 10 or 20% to the costs of repairs.

Will you need any permits? 

Do you require a permit for the work that needs to be done?  How much money and time will this take to acquire? Doing work without a permit may save money, but will cause problems when you resell your home.

Decide if you want to get the permits yourself or have the contractor arrange for them. Permits take time and can be frustrating if you are unsure of how to obtain them. You may have to do additional work, or change the way you want to do a project, before they give you the permit.

Factor the time of obtaining permits into your plans.

Structural work.

Get written estimates for repairs before you commit to buying a home with structural issues. Shy away from homes that needs major structural work unless:

It can be purchased at a price that once the work is done there will still be profit

You have uncovered the extent of the problem and it can be fixed    

You have a binding written estimate for the repairs

Calculate your fair purchase offer.

Take the fair market value of the property (what it would be worth if it were in good condition and remodeled) and subtract the upgrade and repair costs.

This is where we, as Realtors, come in.  We can help you decided what market value of the house would be once it is fixed up and what a fair purchase price in it's current condition would be.

Call us at 519-495-1541 anytime and let us assist you!

Richard Thyssen, Broker of Record

Colleen Thyssen, Sales Representative

Direct: 519-495-1541

Email: rthyssen@rogers.com

www.thyssengroup.com

4 Home Hazards You May Not Know About

You have smoke detectors. Your doors have good locks. The bathtub has a

slip-free pad. By all accounts, your home is a safe and secure place for your
family to live.

However, there are some hazards that many homeowners don't consider or
even know about. For instance:

1. Blocked eavestroughs. Eavestroughs clogged with leaves and

other debris can cause rainwater to overflow next to your foundation
and create a basement leak.

2. Clogged dryer vents. High temperature air combined with lint is a

near ideal condition for a fire. Check and clear the dryer vent at least
once a year.

3. Dirty faucet heads. Kitchen and bath faucets often have built-in

screens to spray the water evenly. Unfortunately, dirt and other
contaminates can build up on these and, possibly, affect the quality of the water. Clean faucet heads regularly.

4. Tripping hazards. You could step around a loose
section of carpet for years and then one day, in a moment of distraction, trip over it and fall. When you see a potential tripping hazard in your home, don't ignore it.  Fix it!

Being diligent about home safety takes a little more time. But, if it prevents one injury or illness, it's worth the effort.

Safety first!

As always, if you have any friends or co workers we could help to either buy, sell or invest in Real Estate you can always call us with their name & number, and rest assured we will give them the best service possible!!!


Richard Thyssen, Broker of Record
Colleen Thyssen, Sales Representative
Direct: 519-495-1541
Email: rthyssen@rogers.com
www.thyssengroup.com
 

The importance of reading and understanding an offer

When you make and offer to buy a property or receive an offer for a property you have for sale, it's important that you read and understand the content. It is especially important to understand
any conditions or any changes that are made to the standard offer.

An offer may contain several types of conditions. The most common are "conditional upon arranging financing", "conditional upon a professional home inspection" and conditional upon obtaining property insurance, however, there may be other conditions as well.

You should be aware of – and fully understand – all of them. In addition, the wording of an offer may change during the back and forth negotiations that often happen. Aside from changes to the price, other clauses may be added, removed or reworded as well.  Your agent will always ask you to initial changes. This is done primarily to ensure you know and approve of what you're signing.

A lack of understanding of any clause in an agreement may cause misunderstandings or worse a legal dispute.

You don't want that to happen to you. Take the time to carefully review and understand any offer.

Having a knowledgeable Realtor working for you will assist in making sure everything goes smoothly with your next move.

Richard Thyssen, Broker of Record
Colleen Thyssen, Sales Representative
Direct: 519-495-1541
Email: rthyssen@rogers.com
www.thyssengroup.com

Your front door..

Your front door is one of the first features that prospective buyers will see when they drive up to your home.  Most buyers have already looked at the photos on the home’s listing before choosing which homes they would like to view. Your front door makes a first impression that could either make your home stand out in the crowd or fade away, possibly making the home look dated.

The colour that you select to paint your door should depend on the style of your home as well as complement the colour of your brick and trim.

There is something to be said about "red" doors.  They stand out and create an inviting and classic look.

The “red” door can have many meanings:

In Feng Shui, a red door means Welcome and positive energy.

In traditional America, if someone saw a red front door, they would know it was a safe and welcome place to rest.

In Catholicism, the red door means protection, signifying that beyond the door was holy, and a sanctuary from evil.

In Scotland, a red door often meant that the owner's mortgage was paid off. 

In Ireland, a red door was thought to ward off ghosts or evil spirits. 

Who knew?

Richard Thyssen, Broker of Record

Colleen Thyssen, Sales Representative

Direct: 519-495-1541

Email: rthyssen@rogers.com

www.thyssengroup.com

How to Avoid Buying a Money Pit

If you are house hunting, it's easy to be swayed by design features and miss the red flags that signal the home may just be a money pit.

Evidence of Deferred Maintenance

Get ready to learn a whole new language as you go through the real estate transaction. One of the terms you may frequently hear, especially from your agent and home inspector, is "deferred maintenance."
Deferred maintenance is, simply, the putting off of routine home maintenance. Whether because of procrastination or lack of funds, many homeowners fail to perform the tasks that a house requires to remain in good condition.
For instance, failing to replace a cracked or broken wax ring on a toilet can lead to huge repair bills. Caught early, it's a relatively inexpensive fix. If not attended to, however, moisture will seep from the toilet, intruding into the flooring and even the sub floor. Mold may form. Before you know it, you're looking at not only fixing the toilet but replacing the flooring as well.

Let's take a look at some signs that a homeowner has put off performing routine but critical maintenance:

Cracks in the walls – Although this may be just a result of natural home shifting, a crack in the wall may be a symptom of a larger problem. Vertical cracks are typically harmless. Horizontal cracks, or jagged cracks that run at an angle, on the other hand, deserve closer inspection. These may indicate foundation shifting or water damage.

Ceiling stains – Stains on the ceiling are common and indicate a problem somewhere above the stain. The problem may be a roof leak or defective chimney flashing, allowing rain and snow to seep through.
Ceiling stains may also indicate condensation. If the stain is near the bathroom's exhaust fan, condensation is most likely the culprit, and an  uninsulated duct in the attic may be the cause.
Then, there is the obvious plumbing leak. If an upstairs bathroom is located above the stain there may be a leak in the tub, toilet or sink. Press your toes around the floor along the edge of the toilet's base. If it feels spongy, the toilet may be leaking. A dry stain means that the problem no longer exists while a wet stain means the problem persists.


Musty odors – Many houses contain hidden health hazards, and one of the biggest is indoor air pollution.  Mold,  sometimes visually evident or you can smell it. Mold is one of the most common indoor air pollutants, and we inhale the spores every time we take a breath. If the air smells musty, there is most likely mold somewhere in the home. This may require further investigation before signing on the dotted line.

Sticking doors and windows – Open and close all interior windows and doors in the house. If they stick, it may be an indication of the foundation shifting. Look at the top of the sticking doors for a gap. This is another indication of the same problem.

While you can never completely eliminate risk when you buy a home, you can reduce it by exercising "due diligence," another of those terms you will hear during the home-buying process. Due diligence simply describes your duty to investigate the condition of the property before you buy it. Many home buyers rely on professional home inspectors to fulfill this aspect of their investigation, and there is nothing wrong with that. By knowing what to look for, however, you can guide your home inspector to those areas of the home that you think require extra scrutiny.

Richard Thyssen, Broker of Record
Colleen Thyssen, Sales Representative
Direct: 519-495-1541
Email: rthyssen@rogers.com
www.thyssengroup.com

Home Buyer/Seller July 2014

Richard Thyssen, Broker of Record
Colleen Thyssen, Sales Representative
Direct: 519-495-1541
Email: rthyssen@rogers.com
www.thyssengroup.com

Go Green: 5 Ways to Cut Your Energy Costs

Go Green: 5 Ways to Cut Your Energy Costs

Implementing energy-saving measures in your home will reduce your utility usage and costs. Every bit you save has a far wider impact, however. You'll also lessen your consumption of the Earth's natural resources and eliminate a portion of the air, water and soil pollution that occurs in the process. Start with five methods to cut your energy costs and create an impact.

1. Change Your Light Bulbs

While lighting may not be your biggest drain on electricity in the home, it accounts for approximately 10 percent of your electricity bill,  By switching from traditional incandescent light bulbs to compact florescent lights (CFLs), you can save electricity for every bulb replaced.  That can be a significant savings when you multiply it by the number of bulbs you use. Look for CFLs displaying the Energy Star logo for best results.

Tip: Install motion sensor switches in rooms where family members often forget to turn off the lights.

2. Perform Regular HVAC Maintenance

Up to half of the energy used in your home goes to your heating and air systems, depending on where you live and the condition of your home. Short of buying a new HVAC system with a better energy rating or fueled with an alternative energy source such as a heat pump – which requires a large upfront investment – proper maintenance will help your furnace or air conditioner use less energy. Clogged air filters force the system to strain and run more, driving up energy use and leading to more frequent breakdowns and repairs. Change your filters at least every three months or sooner if needed. If it looks dirty, it's time. Also, hire a qualified HVAC repair technician to give your system an inspection and "tune up" at least once a year to maintain efficiency and proper operation.
Tip: Install a programmable thermostat to regulate home temperatures. Lower the temperature whenever you will be gone more than a few hours.

3. Seal and Insulate Your Duct work

An efficient furnace, good insulation and thermostat temperature settings only go so far to save you money. If your HVAC air ducts leak, you could be losing 20 percent or more of your heated or cooled air – you might as well leave a window open all year round! Not to mention that leaky ductwork can circulate fumes and gasses, such as carbon monoxide. This can lead to poor indoor air quality, aggravated health problems or worse. Sealing and insulating your ducts is the solution. Use mastic (a glue-like sealant) and metal-backed foil tape to seal each joint and seam. Afterward, wrap the ducts with special insulation designed for duct work.
Tip – Insulate water pipes, especially the hot water, with pipe insulation for greater energy savings and comfort.

4. Stop Air Leaks

Where is air invading and escaping from your home? Prime problem areas include around electrical outlets and light switches, door and window frames, entry points where cables and lines of any type run into the house through the walls or floor, and surrounding wall- or window-mounted air conditioning units. Also check around gas lines or pipes, fireplaces, attic access doors or hatches, and around any vent or fan. Outside the home, use caulk to seal corners in the siding and wherever two materials meet, such as around water faucets and dryer or stove vents, chimney-to-roof joints and the foundation top. Inside, weatherstripping, caulk and expanding foam insulation can work wonders.
Tip – Don't stop here. Take a look at your insulation and determine if it's degraded and needs replacement or if it's adequate to reach your area's minimum R-values.

5. Unplug It!

Perhaps 10 percent of your energy cost goes to "energy vampires" or "ghosts" that steal your electricity. These are appliances and items that use power even when they aren't actually on and working. Think of anything with a clock, timer, LED light or digital display. Even your phone charger keeps pumping electricity long after the phone is full if you leave it plugged in. To stop this useless drain, turn off non essentials when you're done with them. Consider using power strips to plug in items and simply turn off the strip when you're finished.

Tip – Look for the Energy Star label, which indicates energy efficiency, when purchasing home appliances large and small.

Every little bit helps when saving energy that leads to saving money!

Richard Thyssen, Broker of Record
Colleen Thyssen, Sales Representative
Direct: 519-495-1541
Email: rthyssen@rogers.com
www.thyssengroup.com