5 Costly Kitchen Problems That First-Time Homebuyers Often Overlook

 
 

Probably the most exciting part of home shopping is when you spot a house that makes you swoon.

And more often than not, it’s the gleaming, glorious kitchen that does people in.

Maybe it’s the French doors in the kitchen leading to the patio. Or the shiny backsplash that extends up to the skylit ceiling. Or that ample farmhouse sink that conjures fantasies of your living a Chip and Joanna Gaines–charmed life.

While it’s understandable, even exciting, to fall in love with a home, watch out: Love has a way of blinding buyers to some considerable problems.

To help you spot these kitchen flaws before they dupe you, too, we asked real estate agents and designers to point out these hidden issues that first-time homebuyers often miss. Here are some easy-to-overlook blind spots to check, lest you wind up with some major regrets and costly renovations once you’ve moved in.

1. Illogical layouts

Efficient workstations and smooth traffic flow are crucial in a kitchen, yet it might be hard for newbies to assess how well a layout will work for them.

Will that peninsula, for example, be a helpful food prep station—or a clutter magnet? A galley-style kitchen may look fantastic, but if you’re constantly bumping into others as you prep for dinner, it’ll get on your nerves, fast. Or if you need a ton of counter space, that tiny peninsula might not be enough for you and your kids.

How to avoid buyer’s regret: Focus on how much counter space you use in your current home or would like to use when making a meal. Bring your measuring tape when you tour homes. In particular, scope out the kitchen work triangle where you’ll be spending the bulk of your time.

Ideally, the sink, fridge, and stove should all be within the same general vicinity to keep you from running to and fro.

2. Entertainment space

Also, go beyond meal prep considerations and imagine how you’ll really use the space.

“A kitchen layout might be practical for everyday cooking but lack the entertaining aspect, like wine storage or a proper place to make drinks,” points out Allie Mann, senior designer with Case Architects & Remodelers, in Falls Church, VA.

How to avoid buyer’s regret: Evaluate the basic layout, keeping in mind your wish list. Check if that kitchen island has an overhang, which makes for more comfortable seating for guests. Or do you need to knock down a wall to make room? Just know that opening up a kitchen can be pricy or even impossible if the wall in question bears weight, so make sure to know what you can (and can’t) remove.

3. Insufficient storage

Open shelving in kitchens is all the rage today. But unless you’re an austere minimalist, all your dishes might not fit—or if they do, do you want them all on display for all to see?

How to avoid buyer’s regret: If you’re swooning over a kitchen’s open shelves, just make sure there’s enough cabinet space elsewhere for your bigger or less attractive items such as pots and pans.

If you need to replace the cabinets or build a pantry, calculate the cost. To add a pantry, for instance, you might be looking at stealing 30 inches for a 2-foot-deep closet, as well as spending anywhere from $2,000 to $6,000, says Mann.

4. Missing appliances

Realtor.com quotes, “The couple just assumed that there’d be one, but this was an older house and the seller dined out a lot, so never bothered to put one in,” they say. “That’s why multiple visits [when possible] are important. Something you missed the first time may reveal itself the next time.”

How to avoid buyer’s regret: First-time homebuyers benefit from being methodical. Create a checklist of appliances/features and keep it on your phone as you tour, or download an app that helps you take notes.

Dishwasher, check? Washer/dryer in working order, check?

These details are all too easy to overlook as you walk through a house and soak in its vibe. Each could add at least hundreds, if not more, to your budget.

5. Appliances that are too small or too large

Shiny appliances are always exciting, but don’t forget to think about their size, too.

“People can be so enamored by the finishes of a kitchen that they don’t consider that perhaps the 30-inch stovetop is inadequate,” says Mann.

In the same vein, the fabulous fridge with a “Brady Bunch” capacity could be far more than what a singleton or young couple with no kids needs.

How to avoid buyer’s regret: Even if you are impressed by a kitchen and think it’s fabulous, stop, look, and size up those appliances.

Will you have room for three different pots boiling on the cooktop? Is the fridge and freezer as wide and deep as what you have now? Know this before you reach “accepted offer” status.

Read more at Realtor.com

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Selling Smart: Why a Real Estate Agent Makes All the Difference

 
 

If you’re considering selling your house on your own as a “For Sale by Owner” (FSBO), you want to think about if it’s really worth the extra stress.

Going this route means shouldering a lot of responsibilities by yourself – and, if you’re not an expert, that opens the door for mistakes to happen and can quickly become overwhelming.

A report from the National Association of Realtors (NAR) shows two key areas where people who sold their own house struggled the most: pricing and paperwork.

Here are just a few of the ways an agent makes those tasks a whole lot easier.

Getting the Price Right

Setting the right price for your house is important. And, if you’re selling your house on your own, two common issues can happen. You might ask for too much money (overpricing). Or you might not ask for enough (underpricing). Either can make it hard to sell your house. According to NerdWallet:

“When selling a home, first impressions matter. Your house’s market debut is your first chance to attract a buyer and it’s important to get the pricing right. If your home is overpriced, you run the risk of buyers not seeing the listing.

 . . . But price your house too low and you could end up leaving some serious money on the table. A bargain-basement price could also turn some buyers away, as they may wonder if there are any underlying problems with the house.”

To avoid these problems, team up with a real estate agent. Agents know how to figure out the perfect price because they have a deep understanding of the local housing market. And they’ll use that expertise to set a price that matches what buyers are willing to pay, giving your house the best chance to impress from the start.

Understanding and Performing Paperwork

Selling a house involves a bunch of paperwork and legal documentation that has to be just right. There are a lot of rules and regulations to follow, and that makes it a bit tricky for homeowners to manage everything on their own. Without a pro by your side, you could end up facing liability risks and legal complications.

Real estate agents are experts in all the contracts and paperwork needed for selling a house. They know the rules and can guide you through it all, reducing the chance of mistakes that might lead to legal problems or delays. As an article from First American explains:

“To buy or sell a home you need to accurately complete a lot of forms, disclosures, and legal documents. A real estate agent ensures you cross every ‘t’ and dot every ‘i’ to help you avoid having a transaction fall through and/or prevent a costly mistake.”

So, instead of dealing with the growing pile of documents on your own, team up with an agent who can be your advisor, helping you avoid any legal bumps in the road.

Bottom Line

Selling a house on your own can cost you a lot of time and stress. Connect with a local real estate agent so you have help with all the finer details, including setting the right price, handling all the paperwork, and so much more. That way you can take that stress off of your plate.

Read more at KeepingCurrentMatters.com

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What to expect from the housing market in the second half of 2024, according to real estate experts

 
 

Experts are torn about where exactly the housing market is headed in the latter half of the year.

“Mostly, we think the housing market is going to improve over the next half of the year,” Glenn Kelman, chief executive of Redfin, a real estate brokerage site, said on a May 22 appearance on CNBC’s “Money Movers.”

“We’ve hit rock bottom in the first quarter of 2024 and I would expect the housing market to do a little bit better,” Kelman said.

Other experts are less sure about the market’s prospects for improvement.

“It’s a very strange market, and it’s kind of hard to predict,” said Jeff Ostrowski, a housing analyst at Bankrate.com.

Here are some of what Ostrowski, Kelman and other real estate experts say could shape the real estate market in the second half of 2024:

More homes are coming on the market

The mortgage rate lock-in effect seems to be wearing off, said Orphe Divounguy, senior economist at Zillow.

The mortgage rate lock-in effect, or the golden handcuff effect, kept any homeowners with extremely low mortgage rates from listing their homes last year as they didn’t want to finance a new home at a much higher interest rate. 

During the week ended June 1, newly listed homes grew 2.1% from a year ago, according to a weekly housing trends report by Realtor.com. In the same period, available inventory of homes for sale grew 35.5% compared with last year, Realtor.com found.

In his CNBC appearance, Kelman also pointed out that demand for homeownership remains high, especially among buyers who have been putting off the home purchase for a long time.

While the market is seeing more listings, the boost in supply is not enough to attract buyers, according to Doug Duncan, senior vice president and chief economist at Fannie Mae.

“Listings have trended generally upward of late, suggesting to us that a rising number of current homeowners can no longer put off moving,” said Duncan in a release earlier this month. “However, we believe the ongoing affordability challenges are likely to weigh on how quickly these new listings convert to actual sales.”

‘Some movement’ on interest rates

The 30-year fixed-rate mortgage slid to 6.99% on June 6 after climbing to 7.22% on May 20, according to Freddie Mac data via the Federal Reserve.

“Mortgage rates are down a bit from May highs, but that hasn’t spurred a surge of competition among buyers in the housing market,” Divounguy said.

Affordability remains a top priority for buyers and rates stayed above 7% for long.

 
 

Many experts believe the Federal Reserve will likely hold interest rates in the upcoming board meeting on June 12. However, the National Association of Realtors forecast a potential interest rate cut by the fall of this year, according to Jessica Lautz, the NAR’s deputy chief economist.

By late September, “perhaps we will start seeing movement on the Fed funds rate,” she said. “That’s at least what our hope is.”

While mortgage rates are forecasted to come down to 6.5% in the fourth quarter, homebuyers may not see much relief given rising home prices amid limited housing inventory, noted Lautz.

“It’s very possible that they’re ending up paying the same mortgage payment because they’re purchasing a home that while has a lower interest rate, has a higher price point,” she said.

‘It’s hard to foresee prices really cooling’

While the housing market has slowed in terms of the number of transactions, prices haven’t soften despite broader expectations, Ostrowski explained.

The median home sale price across the U.S. increased to $392,200, a 4.4% jump from a year earlier, according to Redfin.

“It’s hard to foresee prices really cooling or declining nationally,” said Ostrowski. “It seems likely we’re going to see another record high for home prices this summer.”

Some metropolitan areas in the U.S. have seen prices soften. Home-sale prices declined 2.9% in Austin and 1.2% in San Antonio and Fort Worth, Texas, according to Redfin data. Home prices cooled 0.9% in Portland, Oregon, the firm noted.

However, many of these areas saw major price growth during the Covid-19 pandemic, with prices jumping as much as 45%, said Lautz. Buyers might not see much relief in affordability despite recent price declines given those pandemic-era runups.

About 90% of metro markets posted home price gains in 2024, according to NAR data. While price points may be softening in some local markets, the “vast majority of markets are seeing home price growth,” said Lautz.

Correction: The 30-year fixed-rate mortgage slid to 6.99% on June 6 after climbing to 7.22% on May 20, according to Freddie Mac data via the Federal Reserve. An earlier version misstated the moves.

Read more at CNBC.com

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Savings Strategies Every First-Time Homebuyer Needs To Know

 
 

If homeownership is on your goal sheet for your future, you’re probably working on your savings.

And a big priority is making sure you’ve got a plan in place for things like your closing costs, down payment, and more.

Here are a few strategies that can help speed up that process.

Budget and Track Your Expenses: To start, create a detailed budget that tracks the money you’ve got coming in and the money going out. This’ll give you a better look at your finances as a whole.

Cut Down on Unnecessary Spending: Now that you have your budget sheet done and you know how you’re spending your money, look for any line items that aren’t absolutely essential. If you cut down on those, you can re-allocate that cash toward buying a home. Even the little things can add up. As the National Association of Realtors (NAR) says:

“The majority of first-time buyers did make financial sacrifices to purchase a home. For those who did, the most common sacrifices buyers reported were cutting spending on luxury goods, entertainment, and clothes.”

Automate Your Savings: Once you know how much you want to set aside for your homebuying budget, look for ways to make it easy. If you have to transfer money manually, you may forget to do it. But getting some automatic transfers set up helps drive consistency and removes the temptation to spend it elsewhere. Realtor.com explains:

“If you’re struggling to put enough money away because of the constant temptations to blow your paycheck, consider automating the process. Ask your employer if you can have your paycheck deposited into multiple accounts—if so, instruct it to send a certain percentage of your salary directly into your savings account. Or go through your bank . . .”

Lean into Any Side Hustles You Have: Do you have a gig you do (or have done before) to net some extra cash? Taking on part-time work, freelance jobs, or picking up a side hustle can help give your savings a boost.

Put any Unexpected Cash To Good Use: If you get any sudden windfalls, like a tax refund, bonus, inheritance, or cash gift from family, put it toward your house fund.

By using these strategies and focusing on your savings over time, you can make sure you’re well on the path to having what you need to buy your first home. As Ramsey Solutions says:

“Budgeting shows your money who’s in charge (that’s you). It gives you the power to tell your money where to go instead of having to wonder where it went. It’s how you make any money goals happen—like saving for a down payment.”

Bottom Line

If you need more strategies for getting ready to buy, connect with a local real estate professional.

Read more at KeepingCurrentMatters.com

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5 Steps to Transforming Your Back Porch Into an Indoor Patio

 
 

Transforming your back porch into an indoor patio is a fantastic way to maximize your home's available space while creating a cozy area to enjoy throughout the year.

This blog post will guide you through the steps to turn your porch into a functional and inviting indoor patio. From adding walls and windows to selecting the right furniture and enhancing lighting, you'll find practical tips and advice to help you every step of the way. Whether you're looking for a peaceful retreat or a stylish spot to entertain guests, these suggestions will help you achieve your goals.

Adding Walls and Windows
Enclosing your back porch with walls and windows is the first step in creating an indoor patio. By adding walls, you provide a sense of privacy and protection from the outside elements, making the space usable year-round. There are various options, including traditional walls made of wood or drywall. For something more fun, you can try glass walls and even retractable walls that can be opened up to create an open-air feel on warmer days. Consider the overall aesthetic you want for your space and choose materials that complement it. 

Windows are just as if not more than, essential as the walls you place around the room. They provide natural light, ventilation and a view of the outdoors. You can choose from various styles such as sliding windows, casement windows or even skylights to bring in more natural light. When selecting your windows, think about the direction of sunlight and how you want it to enter the room. If you're unsure on where you'd like them, window installation professionals can also help you determine the best placement and type of windows for your indoor patio.

Improving Insulation and Climate Control
To ensure your new indoor patio is comfortable in any season, proper insulation and climate control are necessary. Insulation in the walls, floors and ceiling helps keep the space warm in the winter and cool in the summer, reducing energy costs. Additionally, installing a heating and cooling system allows you to maintain a stable temperature throughout the year. Whether you choose a portable unit or a more permanent solution, climate control ensures that you can enjoy your indoor patio regardless of the weather outside. Proper insulation also aids in soundproofing, making the space a quiet retreat.

Getting New Furniture
Choosing the right furniture is key to creating a functional and inviting indoor patio. You'll want to opt for pieces that are both stylish and comfortable, keeping in mind the purpose of the space. It's always best to find a brand that specializes in outdoor/patio furniture, like Afra Furniture, so that you can rest easy knowing your furniture is made to stand to the elements. Durable materials such as wicker, rattan or treated wood are ideal as they withstand daily use and offer a natural look. Cushions and throws can add a layer of coziness and can be swapped out to reflect seasonal changes. Remember to consider storage options like shelves or cabinets to keep the area tidy and organized.

Enhancing Lighting
Proper lighting enhances the ambiance of your indoor patio, making it a welcoming space at any time of day. During the daytime, natural light from windows should be maximized, but as dusk falls, a variety of lighting sources can create a warm atmosphere. Overhead lights, floor lamps and string lights are popular choices that add both functionality and charm. Dimmer switches allow you to adjust lighting according to your mood or activity. Decorative lighting pieces can also serve as focal points, adding to the overall aesthetic of the patio.

Adding Personal Touches and Décor
The final step in transforming your back porch into an indoor patio is adding personal touches and décor. This could include artwork, plants, rugs and other decorative elements that reflect your style and personality. Plants, in particular, are a fantastic addition as they bring a touch of nature indoors and improve air quality. A cozy rug underfoot can delineate the space and add warmth. By incorporating items you love, you create a space that is uniquely yours, inviting and perfect for relaxation and entertaining.

Transforming your back porch into an indoor patio can significantly enhance your living space, offering you a cozy retreat that you can enjoy all year round. By adding walls and windows, improving the insulation and climate control, getting the right furniture, enhancing lighting and adding personal touches, you can create a beautiful and functional space that suits your needs. Whether you're looking to entertain guests, relax with a good book or simply enjoy a cup of coffee while gazing outside, your new indoor patio will provide the perfect setting. With a bit of planning and creativity, you can turn your vision into reality and create a space that you'll love for years to come.

Read more at Rismedia.com

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