Common Home Architectural Styles in Minnesota

Common Home Styles in Minnesota

Are you in the process of buying a home and want to know the different styles offered?
You can brush up on your residential architecture with our home buyer quick guide to common home styles. While this guide is not exhaustive, it covers some of the most popular styles of homes in Minnesota, including why some people prefer certain layouts.

 Split Level Style
This style of house became very popular following World War II because of the amount of space and utility provided. Split levels fall into two types: side-to-side and front-to-back.
Split Level Home Style

 Bi-Level Style
This style of house is also referred to as a split ranch and often categorized as a split level in Minnesota. The bi-level house is a modified version of the ranch house, with the major difference being that the lower level is more out of the ground than in the ground. Seldom is there a basement.
Bi-Level Home Style

 Townhouse Style
This style of house takes its name from the type of house which dominated the early residential development of our early cities, notably the row houses.
Townhouse Home Style

 Ranch Style or Rambler
This style of house features often one-level living. There may be a full or partial basement. Generally, a garage is attached to the side of the house.
Ranch Home Style or Rambler



 Contemporary Style
These "casual" houses are usually sheathed in redwood or stained hardwood and come in many sizes and shapes.
Contemporary Home Style


 Cape Cod Style (Other Colonial Traditions: Georgian, Dutch Colonial)
This very practical one and one-half story style of house has been popular for many years, with most capes concentrated in the northern regions. Many resale capes have been expanded over the years for increased living area.
Cape Code Home Style


 Colonial Style
This style of two-story house has been a mainstay of residential architecture for many years. These are generally well-built houses, with many being custom built. Their main appeal seems to be the spaciousness and elegance.
Colonial Home Style

 Victorian Style (Stick Victorian, Queen Anne Victorian, Shingle, Folk Victorian, Gothic)
The Victorian style of house was built in various models during the turn of the last century. Home buyers appreciate the architectural nuances of Victorian houses including large porches and interesting bay windows. The American Victorian typically took the form of a two-story square house with a hip roof disguised behind a variety of two-storied bays, with an assortment of gables as well as octagonal or round turrets and wraparound porches presenting a complex facade.
Victorian Home Style


 American Craftsman style (or the American Arts and Crafts movement)
American domestic architectural, interior design, landscape design, applied arts, and decorative arts style and lifestyle philosophy that began in the last years of the 19th century. As a comprehensive design and art movement it remained popular into the 1930s. However, in decorative arts and architectural design it has continued with numerous revivals and restoration projects through present times. In the United States the Arts and Crafts style incorporated locally handcrafted wood, glass, and metal work creating objects that were both simple and elegant. Featuring clean lines and natural materials.
American Craftsman Home Style


 Tudor Style (Other European Styles: French Country, Chateauesque, Norman)
Tudors and other English style houses were built during the period of the late 1800s through the 1920s. The combination of stucco and distinctive wood trim exterior provides the Tudor style house with a uniqueness which is most appealing.
Tudor Home Style

 Farmhouse is a general term for the main house of a farm. It is a type of building or house which serves a residential purpose in a rural or agricultural setting. Most often, the surrounding environment will be a farm. Many farm houses are shaped like a T. The perpendicular section is referred to as the ell.
These buildings tend to be more pragmatic than aesthetic. Sometimes a farmhouse may refer to a building design style, or a building's former purpose. This may occur when the farming area has been developed for other purposes, but the building itself still stands. Architectural styles vary, but very often they are of Cape Cod or two story design. Most often the style is simplistic so to serve the needs (and the budget) of the owners.


 Log Style House
A log home (or log house) is structurally identical to a log cabin (a house typically made from logs that have not been milled into conventional lumber). The term "log home" is preferred by most contemporary builders; a "log cabin" generally refers to a smaller, more rustic log house such as a hunting cabin in the woods, or a summer cottage. Log houses are especially popular where straight and tall coniferous trees, such as pine and spruce, are readily available.

There are two types of log homes:
Handcrafted: Typically made of logs that have been peeled, but otherwise essentially unchanged from their original appearance as trees,
Milled (also called machine-profiled), made with a log house moulder: Constructed of logs that have run through a manufacturing process which convert them into timbers which are consistent in size and appearance. Many log homes today are of the milled variety, mainly because they require less labor-intensive field work than handcrafted homes. There are about 500 companies in North America which build the handcrafted, scribe-fit type of log home.

Want help in choosing a home that's right for you? Contact Me!

More comprehensive list of Architectural Styles:

Adirondack, A-frame, American Craftsman American Foursquare, Antebellum, Arcachon Villa, Bay And Gable, Broch, Bungalow, California Bungalow, Cape Cod, Castle, Catslide Cottage, Central-Passage House, Chalet, Châteauesque, Colonial, Colonial Revival, Conch House, Creole Cottage, Dingbat, Dutch Colonial, Farmhouse, Federal, Federation,
French Colonial, French-Canadian Colonial, Garrison, Georgian Colonial, Georgian Revival, Gothic Revival, Greek Revival, Hall And Parlor, Hut, Igloo, I-House, Indian Veranda, International, Italianate, Lanai Style, Log House, Longhouse, Manor House, Mansion, Mar Del Plata, Mediterranean Revival, Mid-Century Modern, Mobile Home, Moderne, Neoclassical, Neo-Eclectic, Octagon, Pacific Lodge, Palladian Style, Patio, Populuxe, Post-Modern, Prairie Style, Pueblo Style, Queen Anne, Queenslander, Rammed Earth House, Ranch, Saltbox, Second Empire, Semi-Detached, Shingle Style, Shotgun Style, Southern Plantation, Spanish Colonial, Split Level, Stick Style, Stone Ender, Storybook, Swiss Chalet, Tipi, Tudor, Tudor Revival, Unspecified, Victorian, Villa

House Styles from www.bobvila.com

Should You Use Your 401k to Buy A Home in the Twin Cities?

Is Your 401k  Better Spent on a Home?

Many people look at their 401k and they imagine all the things they could be doing now with that retirement money.  Using use this money for all the mounding credit card debt, school loans or even a home down payment often feels like the answer to life's immediate problems. But is it?

When it comes to home ownership, a 401k loan to help you achieve a 20% down payment could be to your benefit if you can afford to pay back both the loan and the new mortgage because it will help you avoid costly mortgage insurance.  It could also help you with closing costs so that you are not cashing out your entire savings right before you take on the potential hidden expenses of a new home.

In Short, The Math Always Wins.

A younger worker who has made a lot on stock funds in their 401(k) in recent years might want to temporarily tap that money to establish themselves as a homeowner.  Or, some workers closer to retirement might find themselves retirement-plan heavy with their eyes on a retirement home. To buy it, they might have to sell investments and eat a sizeable capital gains tax.

Read More: FINANCES | HOME BUYING TIPS |

PLEASE SEEK APPROPRIATE ACCOUNTING AND LEGAL ADVICE BEFORE MAKING YOUR DECISIONS. Make sure you understand the rules and risks before tapping your retirement savings to pay for a home.


Sources: 
http://www.msn.com/en-us/money/home-loans/should-you-tap-your-401-k-to-buy-a-house/ar-BB6Qmcl
http://www.kiplinger.com/article/real-estate/T010-C001-S001-borrowing-from-a-401-k-to-make-a-down-payment.html

Considerations When Purchasing a Lakefront Home

Considerations For Buying a Lake Home in the Twin Cities Area

Lakes in the North East Metro Area

If you are thinking about buying or selling a waterfront home in the Lino Lakes, Centerville, Forest Lake, White Bear Lake, or Shoreview area, it would be my pleasure to help you accomplish your goals.

Lakefront homes fit a particular lifestyle choice that is incredibly exciting for many people. However, when you are pursuing a property you really want it is more important than ever to think rationally. You can have a lakefront lifestyle, but you need to be aware of all the considerations that go into purchasing a lakefront property. Buying a lakefront home is very different on a number of levels compared to your traditional purchase. It is important to understand these differences before making the leap into lakefront living.

All things being equal homes located on a lake are typically more valuable than homes that aren’t. While your initial expense will be greater, the potential for greater appreciation is common with a lakefront home. When the real estate market drops Minnesota lakefront homes also tend to keep more of their value. What you should know however when buying a lakefront property is far more involved than your typical home.

Decide if This is a Vacation Home on the Lake or a Primary Residence

If you are purchasing this home as a vacation property you may have different needs from the property than if it is a primary residence. The weather patterns and seasonal temperatures may not matter as much for a vacation home, because you will only be visiting during the ideal seasons. If you want to live here year-round though, you will need to pay more careful attention to what the seasons will bring – especially if you are an older buyer that may struggle with more severe weather.

Current State of The Home

Living on a lake can be a lot of fun, but it is not without its drawbacks. The moisture in the air, the weather patterns created by the lake and the rise and fall of the water level can all lead to degradation of a property. If it is not kept in good repair with regular maintenance by professionals, the close proximity to the lake can lead to property damage. Wood, metal and stone can all be affected by the unique conditions created by the lake.

Like any other property you are going to want to go through it with a fine tooth comb. Make sure you hire a qualified home inspector who will take the time to go through the property from top to bottom. Specifically look out for the top home inspection problems especially bug infestation and water issues that can be found more readily near lakes.

Home Orientation
When living on a lake you one of things you will want to take into consideration is the orientation to the sun and how it sets. Does the home get morning or afternoon sun? If you are getting afternoon sun does the deck have any sun protection? How do the winds coming off the lake effect both your enjoyment of the property and the heating costs?

Get Specific Information About The Lake (MN DNR LakeFinder)

Does The Lake Offer Recreation 

Lakes can vary considerably, meaning one lake might be perfect for you while another is completely undesirable. You do not want to discover that the lake you bought a home on is nothing like what you want. Find out as much information as you can about the lake. Here are some excellent questions to ask when considering buying a lakefront home:

• Does the lake flood? How close is your home to the flood line?
• Are you required to carry flood insurance?
• Is the bottom rocky, sandy or muddy?
• Is the shoreline sandy, rocky or muddy? How easy is it to access the shoreline from your home?
• How busy is the lake during each season?
• What recreational opportunities are available on the lake? Kayaking, boating, fishing, swimming, snorkeling, water skiing, jet skiing, waterfowl hunting, ice fishing? Some lakes are better suited than others for specific types of activities.
• What is mosquito season like?
• Is there any wildlife on the lake such as ducks or geese that could become a nuisance?
• Does the lake maintain it’s water level or go up and down with the seasons?
• Is the lake stocked with fish?
• Does duckweed ever become a problem? Does the lake have invasive species?
• If you boat, how easy is it to get your boat in and out of the lake? Are you allowed to have a dock right off of your house, or is it OK to travel around the lake for an access point?
• Are there any specific things that are not allowed on the lake?
• Are there any local ordinances about noise or having parties in or around the lake?
• Are the roads plowed quickly in the winter?

These are all questions that may or may not pertain to the lake you are considering buying on but are great things to consider in the back of your mind to ask.

Is There a Lake Association?
Find out if there is a homeowner’s association or other organization that controls the lake area where you plan to buy – It is always a good idea to find out the nature of any organization you will be required to join to enjoy your property and the lake it sits on. These kinds of organizations can vary a great deal in how they handle issues.

Make sure you are able to do what you want to do and able to enjoy your property as you like before you buy into an area. The last thing you want as a buyer is to find out there are things you were counting on being able to do and are not allowed.

Having a Lake association is generally a good thing as they are formed to protect the lake’s future and resolve any issues that potentially could threaten the lake’s health. The members of a lake association meet when it is necessary to discuss lake issues and determine courses of action to remedy any problems. Often times members attend town meetings to be a voice for the lake, apply for grants to protect or improve the lake, as wells as monitor the lake for any invasive species. Most of the time having a lake association is of great benefit to those living on the lake.

Are There Modern Conveniences Nearby/What's Nearby The Lake 

Another thing to consider if you are planning to live here year-round is access to important things like medical care, grocery stores and dining options. Getting out of town into the middle of nowhere may be great for a few weeks at a time, but not everyone enjoys such isolation on a year-round basis. How easy is it to get to major routes? Will getting in and around the area be difficult during times of inclement weather?

Size is another factor that may vary based on your planned usage for the home. If you want to live in the home and have company during the high season you will probably want a larger home with extra bedrooms for guests. If you just want to bring the spouse and kids out during the summer a smaller home might be fine.

Make Sure The Home is Designed For Winter Use

Some lakeside homes are setup to be used during the warmer months of the year and to be left empty when winter comes around. If you want to use the home during the cold weather you will want it to have proper insulation and heating options so you can remain comfortable. Make sure the house is equipped for winter living if this is something you need.

Expansion Possibilities
On many lakes there is a wide variety of housing. In some lakefront locations the housing has started out as small vacation style cottages only to be expanded upon and turned into more permanent residences. Often times local zoning can vary quite a bit on a lake – sometimes the size of the lots are a lot smaller than lot sizes in non water front location. It is important to find out what you can and can’t do before purchasing. You may have grand visions of putting on a second story or adding a large addition and find out it’s just not possible. Better to find out before than after you have made your purchase.

Serviced by a Septic System or Public Sewer
Whether or not there is town sewer available is an important consideration to many home buyers. Septic systems can be very costly to replace especially when they are located so close to a lake. Many communities will at some point in the future install a sewer system do to the sensitive nature of the quality of the lake. This is an added expense you should consider planning for if public sewer is not currently available.

Legal, Conservation and Zoning Restrictions
When living on a lake there may be certain regulations that are not as strict elsewhere. Lakes are considered wetlands so they are afforded different protection under the Wetlands protection act. The local conservation board is more than likely going to want to know anything you do to the property that is within 100 feet of the lake. The vast majority of cities and towns also have strict “no disturb” rules that apply to areas directly bordering the lake  – most of the time 25 feet. In most locales this restricts building, clearing, planting, etc. The purpose is to maintain a natural buffer for the lake but could also impact any future plans you may have. Make sure you keep this in mind.

Do your own homework when you see property advertised as having “lake access” or “right of way to lake”. While these advertisements certainly could be accurate on occasion there have been mistakes made which were complete misrepresentations. When these kind of representations are made it is always smart to consult an attorney who can do a title search to check the accuracy.

Make Sure The Lake View is Adequate

Will The Lake View Stay The Same 
One of the best parts of living on the lake is looking out over the water every morning. Unfortunately not every home labeled as a lake home offers this kind of view. Depending on your needs or your budget, the view might not be a priority. However, if you want to get the most out of lakefront living you should make certain that the view you have from your home fits your desires.

You might also want to find out if the lake has been completely developed as well. The view you have at the time of your purchase could change if there are still building lots either surrounding the property or on the other side of the lake. At a moments notice you could be looking at something completely different than you planned on. I personally know of a few lakefront owners who have had views impaired or changed by others residing on the lake.

Determine How Easy it is to Get to The Lake
Some lakefront homes are technically on the lake, but the lots are so steep that getting down to the water can be a real challenge. If you plan on growing old with the home then you will want a flatter lot. As you get older it will become harder and harder to climb up and down a steep lot to get to the water. This is one of the considerations for buying on a lake that many people don’t think about.

Decide on How Much Privacy You Want
The closer you are to the water the easier it is for boaters and lake users to see your home. This may or may not be a problem for you but it is worth thinking about when looking at different properties. Lots with more distance between the home and the water – distance that still offers a clear line of sight to the water – are usually more expensive than those that are right on the water. The extra cost may be worth it though if you want to sit out on your front porch in your underwear and still be able to watch the sunset.

Hire a Realtor You Can Trust
Whether buying or selling a lake front home you want to work with a Realtor that understands the complexities of selling a home on a lake. Avoid picking a real estate agent randomly when you want to buy a lakefront home. Interview agents to find out how well they do at finding lakefront homes that satisfy their clients.

You want a person on your side that can find you a good home within your budget – a home you can enjoy for decades. Lakefront homes are naturally more challenging to find at a good price due to higher demand. With the right agent, the search becomes easier and you are more likely to get a good deal on a house. This is more than worth the commission an agent will charge for his or her help.

When buying a home understand that lakefront property will carry a certain premium over non-lakefront property. How much of a premium is something a qualified real estate agent should be able to help you with. There are a number of factors that come into play including the town, the type and size of lake, the size and characteristics of the lot, neighboring properties, water quality, privacy, proximity to amenities, and highway access.

When selling a lake front home understand that marketing the property well becomes vital. Choose an agent that is easily found on the internet, does an exceptional job with photography and real estate descriptions. The Realtor you select should have excellent marketing skills that can differentiate between what buyers are looking for in a lakefront property vs a more traditional property.

Other Helpful Lake Home Buying Resources

Check out information on specific lakes across the United States via The Army Corps of Engineers.
The National Lakes Assessment resource on lake information provided by the Environmental Protection Agency.

[VIDEO] What is Title Insurance?

Do I Need Title Insurance?

What is Title Insurance?

An insurance policy that is issued by a title company to protect and indemnify the property owner against any financial losses resulting from title defects, once the purchase is complete.

What is the purpose of Title Insurance?

A title insurance policy provides coverage in the event that some person asserts a legal claim against your property. Some common risks that it will insure you against include property liens for unpaid taxes, forged title deed, missing or undisclosed heirs, impersonation of the property's true owner or mistake made while recording legal documents.

What Does Title Insurance Cover?

There are the two main types of title insurance

An owner's title insurance policy - Insures the property owner up to the purchase price paid for property. A new title insurance policy is issued each time there is a change in property ownership. The coverage it provides cannot be transferred or assigned to subsequent owners of the same property.
A lender's title insurance policy - Insures the lender up to the amount of the loan issued. The policy's value decreases over time as the loan is paid off. The lender's title policy insures the lender's valid and enforceable lien in the property. It can be assigned to any other party that owns the loan.

How much is Title Insurance?

There is a one time fee for the insurance premium due at closing of escrow.

Need more information?

Contact us!

Packing for a Move: Where do you get the boxes?

Packing and Unpacking

Finding moving boxes that fits both your needs and budget takes some preparation. It includes assessing what kind of assortment and how many boxes you will need and researching the costs. And being prepared with moving box knowledge saves time - you won't be running out at the last minute to buy more boxes and good organization helps save time during the loading and unloading process for your movers.

And don't forget, after the move, compress your boxes, remove the tape, and find place to stash them, like a storage unit or an overhead closet. You will have exactly what you need for the next time move.

1. Cardboard boxes 
Cardboard boxes are convenient because they can be bought virtually everywhere -- from Amazon to Home Depot to Sam's Club) The downside is that they are usually sold in one-size packs and you may end up with a surplus of unused, wasted boxes. 
Some online moving supply companies, like directmovingboxes.com and usedcardbordboxes.com, have solved this by selling "moving kits," which include a variety of box sizes and other necessities, such as bubble wrap, packing tape and markers. The benefit of buying a package is that the supplier helps you estimate how many boxes you will need, based on the size of your place.

2. Grocery store boxes (apple boxes, plastic milk crates, and glass or wine boxes)
Best to stow small, heavy items for the move. It's a cheap, eco-friendly way to get boxes for your move; however, it requires a little extra work on your part to get chummy with the manager of a local grocery and start accumulating a set of boxes. Restaurants and coffee shops are your best bet for finding plastic milk crates, free of charge.

3. Banker boxes (boxes that usually store paper or legal files; roughly a foot wide and high, by 2 feet long) 
They have handles for easy transport and lift-off lids. Best for little or heavy items, such as books, DVDs and cooking utensils or children's clothes.

4. Wardrobe boxes (the tall, slender boxes that come with hinged holes and a metal bar) 
Works well for light, bulky belongings such as pillows, comforters, sleeping bags, etc). Do NOT put heavy things in these boxes.

5. Eco-friendly boxes (eco-conscious moving boxes). 

You can rent these storage boxes for a couple of weeks to pack and move, and then they are picked up once your move is complete. The downside of this is usually cost.

Read More: DONATE YOUR STUFF
 9 Ways to Save on Moving Expenses
Five Must Have Moving Supplies

• Packing Supplies for a Smooth Move
• Green Moving Guide

• Packing Your Home for Moving Day
• Best Ways to Unpack After Moving

• Move with Storage Containers: Packing and Unpacking Made Easy

How Do You Get the LOWEST Mortgage Interest Rate?

What is the  SINGLE BEST WAY to get the LOWEST INTEREST RATES on your MONTHLY MORTGAGE PAYMENT?

Although it may seem obvious,  many people do not know that their credit score will dictate their monthly mortgage payment. The lower the score, the higher the payment.

Bad credit can cost you thousands, if not hundreds of thousands of dollars over the lifetime of your loan. Do not wait until you are trying to get qualified to take care of this vital piece of information, as it may be too late by that time to do anything about it.

Contrary to many beliefs you CAN raise your credit score in as little as 60 days. 

Many lenders have suggestions and programs. CONTACT ME for a list of lenders that may be able to help you get on track!

More Topics That May Interest You:

Search for Homes  |  Get A Mortgage  |  What is Your Home Worth?  |  Home Buying Help  |  Increase Your Appraised Home Value

Should I get that tested?

What should I have tested in the house I own or the house I am buying?

Every few years, it seems there is a new big concern about something that is causing a health issue. Asbestos, Lead, Carbon Monoxide, Radon... the list goes on.  So what items should you really worry about?

In short, if you are asking about whether something specific should be tested, the answer is probably yes.
Especially when buying a house.  Here are some common things people get tested and some resources to help you learn more about this areas.  Of course, this list is not comprehensive, only touches on common items.  For the sake of your health, it's good to educate yourself and proceed with caution though I would recommend obsessing about any of these items.

• Lead Paint - MN has statutes about the disclosure of lead paint, remodeling a home with lead paint, etc. Learn more: http://www.health.state.mn.us/divs/eh/lead/rule.html
• Radon - Effective in 2014, radon disclosures are required in real estate transactions. Learn more: http://www.health.state.mn.us/divs/eh/indoorair/radon/index.html
• Water - Safe water is important to your health. Learn more: http://water.epa.gov/drink/
• Meth Labs - This can be a particularly high concern in some areas.  Learn More: http://www.health.state.mn.us/divs/eh/meth/lab/property.html
• Mold - This is more concerning to some people than others. Learn More: http://www.health.state.mn.us/divs/eh/indoorair/mold/
• Septic/Private Subsurface Sewage Treatment Systems - These systems are regulated by Minnesota statutes. Learn more: http://www.pca.state.mn.us/index.php/water/water-types-and-programs/subsurface-sewage-treatment-system-ssts/index.html

These are common concerns when buying home in Minnesota.  Other states have additional issues with things like termites that are not as common here.  My point in bringing these up it not to freak you out but simply make you aware.

You should also have the overall condition of a home inspected before buying or selling a home. Read more about home inspections here and find out about having the structure, electrical, plumbing and more inspected.

10 Reasons To Hire a Buyer's Agent

1. Knowledge of real estate contract writing
Entering into a real estate contract is legally binding and not to be taken lightly. A buyer’s agent has written and reviewed purchase agreements before. She will make sure that it includes contingencies in the right places to allow you to walk away from the contract to purchase if you are not satisfied.

2. Market knowledge
A buyer’s agent will know how much the homes you are looking for should cost. They will have experiencing putting together a CMA, or comparative market analysis, so you can also know how the market is behaving.

3. Know what to look for in homes
Because a buyer’s agent regularly helps buyers find homes, she will have an experienced eye when attending walkthroughs. Tell-tale signs of damage or modifications will stand out to buyer’s agent and she will pass that information to you. Armed with what the buyer’s agent’s trained eye has noticed, you’ll be able to make an informed choice.

4. Local listing agent contacts
The best way to get the best deal on a house is to know about it before it hits the market. Buyer’s agents use their network of listing agents to locate homes that match your needs. Some will also be able to draw from their company’s research tools. Keller Williams Agents have team meetings where they announce upcoming listings and an internal posting forum where we can share listings before they are listed in the multiple listing service (MLS) and often days before they are available on public websites.

5. Industry Contacts
Unless you are involved in the real estate industry yourself, you probably don't have a rolodex of mortgage brokers, title closers, real estate attorneys, inspectors, movers, contractors, etc.  Your agent can connect you to these professionals.

6. Emotional filter
Buying a home is an understandably emotional time. Having an agent who is not emotionally attached to the purchase will ensure you have a voice of reason when you fall in love with a home’s layout and don’t notice a decaying roof. Your buyer’s agent will also help you make sure you find the home you need instead of getting side tracked by wants.

7. Help you understand financing options
Finding the best mortgage for your situation is the key to being a successful homeowner. It could mean the difference between being able to afford your mortgage payments and finding yourself underwater or foreclosed. Your buyer’s agent will be able to not only explain each financing option to you but also help you find a great lender.

8. Professional negotiation
Regardless of your price point, negotiation is going to factor into buying a home. Since most homes are listed with a listing agent experienced in negotiating, you want to make sure your financial interests are equally represented in the negotiations. Aside from straightforward negotiations, buyer’s agents employ certain tricks like offering or receiving concessions to make sure you come out ahead or happy, depending on the current market’s behavior.

9. It costs you next to nothing
As the buyer, you will not have to pay your agent’s commission. It is the seller’s responsibility to pay both the listing agent and buyer’s agent a commission. Basically, you have the opportunity for free representation. Take advantage of it.

10. The seller is represented, you should be too
Why would you go up against a seller and their agent on your own?  After all, two heads are better than one, right?

Protecting yourself against any unseen problems with your future home and to make sure you get the best deal on the best house is top priority for the buyer’s agent you hire. Don’t make the mistake of entering into a contract without a professional to guide you through the nuances.

Is it a good idea to buy a new construction home?

Five reasons to buy a new build home

Like most of the real estate industry, there’s been major growth in new home construction. Here are five reasons to consider building a brand new home.

• Design your dream home 
• When you’re in on the home building process from the very start, you get to pick the floor plan that ‘s perfect for you and your family. It’s the best way to get the exact home you want.
• Save on energy costs
• While older homes can have inefficient heating, cooling, insulation, and appliances, new homes are typically built for energy efficiency from the very start. Your utility bills could be dramatically lower.
• Community amenities
• If your new home is part of a planned community, you can take advantage of amenities like swimming pools, fitness centers, and other recreation areas that might not be available otherwise.
• Fewer worries, fewer surprises
• With a new build, it’s less likely that you’ll run into maintenance and repair issues compared to what you might experience with an existing home.
• Enjoy it from the start
• No need to endure the frustration that might come with a fixer-upper. With a new home, you can enjoy your new space the day you move in.

Click HERE to read more about New Construction homes?

Looking for reasons to think twice before choosing to build a brand new home? 

Want to search for new homes? Visit this LINK to search.

Here are some additional Tips for Buying New Construction.

Why You Might THINK TWICE about Choosing a New Construction Home

Five reasons you may hesitate to buy a new build home

Like most of the real estate industry, there’s been major growth in new home construction. Here are five reasons to think twice before choosing to build a brand new home.

• Logistics
• Can you get the move coordinated? If you already have another home, do you have a place to go if yours sells before the new home is complete? Do you qualify for the new home without selling your current home?
• Limited negotiating room on price
• The advertised price is based on certain features - usually the entry level pricing but what you see in the model is usually all the upgrades.  Many buyers that choose new construction experience a bit of heartbreak when they have to settle for less than what they saw in the model or realize there are features they want but can't afford.  
• Headaches
• Are you ready for all the builder meetings and decisions that come with planning and building a new home? These meetings often require weekday appointments. What if there are unforeseen changes or delays?
• Cookie-cutter design. 
• Frequently less character, or homogenous design. Often you will pick a from the same selection of model designs that your neighbor chose from but in slightly different color combinations.
• Potential for homeowners association dues. 
• Frequently, new neighborhoods have a homeowners association or covenants that can put limits on how you use your property and may include dues.

What some great reasons to buy new?  Watch for an article in the next week! Five Reasons you SHOULD build a new home!

More Tips for buying NEW construction homes.

Should I Get a Home Warranty?

Sometimes warranties are included upfront by a home seller or negotiated in the purchase agreement. Sometimes buyers would like a warranty added after the home inspection when they realize the home is not perfect.

When buying a home, the last thing you want to worry about is costly repairs. By purchasing a home warranty through Home Warranty of America, you’ll get comprehensive coverage on the mechanical systems and many appliances in your home, offering you peace of mind.

While many service contracts offer only repairs to failed systems, the HWA 13 month Home Warranty plan goes above and beyond other service contracts to include repair and replacement coverage on many of the mechanical systems and appliances that fail due to normal wear and tear. This warranty also covers more systems, like plumbing and electrical, than your energy company.

HWA provides reliable customer service representatives 24/7 so they can work to resolve your issue as soon as possible. You also have the opportunity to renew your contract each year, protecting the systems and appliances in your home for as long as you own it.

Learn more about the buyer benefits of a home warranty from HWA. 

VISIT: http://www.hwahomewarranty.com/Before-You-Buy  

EMAIL: Send order details to (or Reply) sjohnson@hwahomewarranty.com

CALL: Shelley at 763-221-1098 to place your order

How Does My Real Estate Agent Get Paid? True and False

How Does My Real Estate Agent Get Paid? True and False
By +Sarah Marrinan - Keller Williams Premier Realty 

False: Real Estate Agents have a salary or hourly wage from their Brokerage.
True: Agents only get paid when a deal closes.

False: Real Estate Agents make a huge commission on every closing.
True: The commission paid at the closing, mostly by the seller, is split four ways (more if an agent is part of a team).

False: The brokerage covers all the agent's operating costs.
True: While some brokerage agreements may cover an agent's expenses, more commonly, in addition to "the cut" the brokerage takes from each transaction for general brokerage overhead, the Minnesota agent is an independent contractor and still pays all their own business expenses from office space and copies to signage, insurance and association fees.

False: Getting into real estate is quick and easy cash.
True: While it may not sound like a lot of mandated classroom hours before you can start doing transactions, it is common for an individual new agent to take years to start making a livable wage.  You hear stories of agents that hit superstardom in their second year but out of nearly 100,000 Realtors in the US in 2013, there are only a handful that went big quickly.  Real Estate is a relationship business built largely on referrals, connections and KNOWLEDGE so naturally, agents that have had more successful transactions have more referrals (if they ask for them of course).

More You Might Enjoy Reading:
11 Shocking Facts You May Not Know About Real Estate Agents

FAQs

On that note, I am truly grateful for ALL referrals and if there is any way I can return the favor, please let me know!

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BUYERS MUST KNOW: Eight Things Your Mortgage Lender Evaluates

During the years preceding the mortgage crisis, too many mortgages were made to consumers without regard to the consumer’s ability to repay the loans.

The “ability to repay” rule, effective January 10th, 2014, requires lenders to take into account the following minimum underwriting factors:

1. current or reasonably expected income or assets; 
2. current employment status; 
3. the monthly payment on the covered transaction; 
4. the monthly payment on any simultaneous loan; 
5. the monthly payment for mortgage-related obligations; 
6. current debt obligations, alimony, and child support; 
7. the monthly debt-to-income ratio or residual income; and 
8. credit history.

Plus, in 2014, lenders will also be aiming to increase the number of loans considered “qualified mortgages.” While not all lenders plan on sticking to qualified mortgages, most will in order to avoid the liability challenges inherent in riskier loans. Here are three things that they will be going for:

1. A mortgage that keeps the borrower’s debt below 43 percent of monthly income unless it’s government backed (Fannie, Freddie or the FHA).
2. Clean loans. Loans free of extended terms, interest-only payments and loans that don’t meet the full amount of interest.
3. Loans above $100,000 with less than 3 percent in upfront points and fees.

Need help finding a lender that will help you navigate your options under the new underwriting rules?  Please contact me and I will make sure you are in good hands!


TAGS: The Dodd-Frank Act, Ability to Repay, Mortgage Underwriting Standards

See Also:  MORTGAGE  |  FINANCES  |  HOME BUYING TIPS  |

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Your Home Maintenance Toolkit

Your Home Maintenance Toolkit
By +Sarah Marrinan
Have you just purchased a new home?  Here is an excellent idea for your housewarming warming gift registry! Run through these lists to ensure that you have all the tools you need:

Basic Equipment

• Bucket, 5-gallon
• Caulking gun
• Circular saw
• Clamps
• Claw hammer
• Combination square or speed square
• Drill, cordless, 3/8-inch variable-speed reversible
• Drill bit set
• Flashlight
• Flat scraper or putty knife
• Glue, wood and all-materials (not Super Glue)
• Hand saw, small, multipurpose
• Ladder, 6-foot fiberglass
• Level, 36- or 48-inch aluminum
• Pliers, standard (slip-joint), 
• long-nose, 
• Channellock, 
• and wire-cutter (diagonal)
• Prybar
• Gloves, rubber gloves and leather
• Safety goggles
• Sandpaper and sanding block
• Sawhorse
• Scissors, utility
• Screwdrivers, several sizes of both flathead and Phillips
• Tape measure, 25-foot
• Utility knife and extra blades
• Wrenches, 
• basic set of open-ended crescent wrenches, 
• set of ratcheting socket wrenches, 
• and set Allen wrenches

Now that you have all the tools, what do you do with them?  Check out this Basic Home Maintenance Checklist.

 Cleaning or Organizing supplies make great gift ideas for new home owners too!

How To Save Money for Buying a Home

Unfortunately the down payment remains among the greatest obstacles to buying a home, so start planning for it... Along with closing costs, moving expenses, insurance and incidentals. 

The larger down payment remains the industry-underwriting staple. Lenders prefer to loan money to borrowers who share as much of the risk as possible. A larger down payment generally means better interest rates and less (or zero) mortgage insurance. Mortgage insurance is money you'll never get back...

Here are a few ways to save more money, faster.

• Stop impulsive and compulsive spending habits. Skip the fancy drive-thru coffee and use a coffee maker at home. 
• Cancel subscriptions to magazines, the gym (get a friend and a video and do it at home), reduce your cable television channels and cut back on other services you can buy for less.
• Stream movies or grab a Red Box and microwave your popcorn at home or have a game night at home instead of going out every Friday night.
• Bag your lunch, go generic at the supermarket, reduce data gigabytes from 10 to 5 on your smart phone and wait until you have with-fi to Tweet and share.
• Plan to save. You won't know where you can cut costs if you don't know where your money goes. Make a budget to track your income and your expenditures.
• Auto-Save. Transfer that money directly from your paycheck into a savings or other interest bearing account using an automatic program at your bank or credit union.
• Bonus: The more you save, the more options you'll have to diversify savings into investments for a better return on your money.
• Dump credit accounts. Stop the "emergencies only credit card" nonsense. If you are saving money, there's your emergency fund. Any kind of credit allows you to spend more than you have and then pay through the nose for high credit card interest rates.
• Liquidate valuable hobby assets. What's more important? Buying a home or hockey gear? Something's got to give.
• De-clutter your garage, attic and closets. Gain a little cash plus when you move, you'll have less stuff to move and a smaller mortgage to boot.
• Get a(nother) job. A second job, maybe even a third. Finding additional sources of income can really help speed up that home buy.   Seasonal work, a home-based business, working half a night shift. If you're working you're not as likely to be spending. 
• Stop loaning money to the federal government. A tax rebate is nothing more than a loan to Uncle Sam, until tax return filing time, but you get zero interest. Adjust your W-4 to match your true tax liability and save the difference.

See Also: Home Buying Tips  |  Homes for Sale  

Should I Care About Radon?

The latest buzz in the housing market... and activist groups... and cancer research is radon.  But what do we know about radon?
Well, here is what the government wants us to know:

CLICK HERE TO VIEW FULL BROCHURE

How does this pertain to the sale or purchase of a home in Minnesota?

Effective January 1, 2014, the Minnesota Radon Awareness Act requires additional disclosure and education be provided to potential home buyers during residential real estate transactions in Minnesota. Before signing a purchase agreement to sell or transfer residential real property, the seller shall disclose in writing to the buyer any knowledge the seller has of radon concentrations in the dwelling.


Need help buying, selling or investing?

Smart Homebuyers Are Locking In Ultra Low Rates Before The Fed Hike

Are you a smart home buyer?
By +Sarah Marrinan - Keller Williams Premier Realty 
The recent mini spike in mortgage rates has homeowners scrambling to save thousands over the next several years by locking in a rate today. Many homeowners are just now recuperating from seeing their home values plummet in the past, to finally seeing positive equity, so now is the time to take advantage of low-rate mortgages before rates begin climbing higher.

The Fed lowered short term rates several years ago to near zero in an effort to revive the economy. Now that we are seeing a recovery it's expected we will begin to see rates escalate to normal levels. Historically, rates on 30 year loans are usually between 5.50%-7.25% and higher. Below is the difference on a $200,000 mortgage for a 30 year term at an available rate today of 3.25% vs 6.75%.