Good home staging is one of the most important things you can do to help sell your Pacific Northwest home — in many ways it helps the home sell itself, without a word needing to be said.  It allows potential homebuyers to picture themselves living in your home, which is often that first step to buyers really falling in love with a property.

Unfortunately, not everyone knows how to properly stage a home for sale.  The following home staging blunders are common . . . are you unknowingly driving good buyers away because your home isn’t looking its best?

Here are seven common Home Staging Blunders:

1. Your home isn’t spotless/deep-cleaned (especially rugs, floors, kitchen & bathrooms).

A spotless home communicates that the house has been well taken-care-of. A dirty home communicates the opposite and can often cause a potential buyer to walk right back out the door. All sinks, counters, and cabinets should be in absolutely pristine condition. Rugs and carpets should be either steam-cleaned or replaced.

2. Your home is cluttered.

Clutter is like kryptonite when it comes to selling your home. A disorganized home full of junk makes it hard for buyers to picture themselves living in your home. They will be so distracted by all the “stuff” lying around, they’ll miss the home’s best features. In addition, clutter makes your home appear much smaller than it is. Not good!

3. Your home is full of personal knick-knacks and photos.

This is a very common mistake. People think they should make the home appear lived-in and cozy, but personal memorabilia often has a negative impact on buyers visiting the home, because they get so distracted by your life in the home that they can’t imagine their own life in the home. You don’t want the home to appear lived-in — you want it to look “ready to move in.”

4. You haven’t re-painted using neutral colors.

People’s tastes vary when it comes to color and style, so your best bet is to go with neutral shades (on both the interior and exterior) when preparing to sell. You may love a pink kitchen, for example, but it may be so distracting and unattractive to a potential buyer that they can’t picture anything else. Same goes for that wallpaper pattern you loved. Neutral is the way to go!

5. Your windows are dirty.

Dirty windows are very distracting to people who are visiting your home! Just like with carpets, it’s best to pay professionals to take care of this for you. You’ll be amazed at what a difference it makes — both in the look of your home, and in potential buyers’ reactions.

6. Your pets — and their belongings — are in sight.

Make sure your pets aren’t around when buyers stop by the house. In addition, hide their crates, their food, their toys, everything. And whatever you do, don’t have a litter box out. In general, the presence of your beloved pet is a turn-off for potential buyers. Even if they happen to be animal lovers, you’re still distracting them from objective #1 — falling in love with your home.

7. Your landscaping isn’t neat and well-maintained.

Just think — before they ever see the inside of your home, buyers see your yard. Does it make the first impression you want? Pretty flowerbeds and a healthy, trimmed lawn do more than you might think. If you don’t have time to do this yourself, enlist the help of a professional landscaper or gardener. It will pay off when buyers instantly warm to your home before they’ve even set foot in the door!

I am an Accredited Home-Staging Specialist, and I can suggest the best (and most affordable) ways to get your home ready to sell. If you’re looking to sell a Pacific Northwest home in Whatcom, Skagit, Island or San Juan County, get an expert Realtor on your side! Call (360) 319-4939 or toll-free (888) 319-4939 today!

Photo Credit: REAL ESTAGING

One of the amazing perks of living in Bellingham, WA, is the opportunity to take advantage of all the great live music throughout the summer season! The recreational activities throughout Whatcom County are endless.

From Celtic music to Salsa, Classic Rock to Jazz, music enthusiasts of every kind will find live local concerts to enjoy throughout the summer. Every concert is free and fun for the whole family!

Here’s a list of park venues and times:

At Elizabeth Park in the Columbia Neighborhood:

Thursdays June 24-August 26, 6-8 p.m.

At Boulevard Park in the South Hill Neighborhood:

Saturdays June 19-August 14, 7-9 p.m.

At Big Rock Garden Park in the Alabama Hill Neighborhood:

Selected Sundays June 20-August 15, 3:30-5 p.m.

Children’s Concert Series at the Bellingham Library Lawn in Downtown Bellingham:

Fridays July 16-August 13, noon-1 p.m.

To get more specific details on each concert date, please visit the City of Bellingham.

Important news for Pacific Northwest homebuyers currently in the closing process — it looks like you may have an additional three months to finish closing the deal and still be eligible to claim the federal homebuyer tax credit.

As you’ll remember from past posts, the original deadlines were as follows: you had to be under contract to buy by April 30th, and you had to finish closing by June 30th. An amendment to HR 4213, the “American Jobs and Closing Tax Loopholes of 2010,” extends the closing deadline to September 30th to allow lenders to clear a large backlog of thousands of homebuyers nationwide.

The National Association of Realtors supports the amendment to the bill, as they have had widespread reports that one-third of qualified applicants have been told their loans won’t close before June 30th because there are so many loans in the pipeline. This gives homebuyers an added opportunity to take advantage of the valuable tax credits.

The amendment was approved, but a Senate vote still remains on the amended bill itself. So far it looks likely to pass. We’ll keep you posted as we learn more!

If you’re looking to buy a Pacific Northwest home, my team and I can walk you through each step of the process. In times like these, it’s vital to have knowledgeable experts on your side! Call the Susan Stecher team of Real Estate professionals today at (360) 319-4939 or toll-free at (888) 319-4939!

Photo Credit: BAR Photography

Pacific Northwest home buyers-if you are searching the Pacific Northwest MLS for your dream home right now, you will want to try to find it before the end of April 2010, so you can take advantage of the First Time Home Buyers Tax Credit. The tax credit has already been extended twice, and so far I have heard no news about extending it for a third time, so this may be the last chance you have to get the credit.

While you shouldn’t rush out to buy a home just because of the tax credit, if you happen to be already in the process of looking, or feel ready to make a purchase now, then it would be a shame to miss the benefit of the tax credit by only a few days.

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The credit does not have to be repaid unless the home is sold or ceases to be used as the buyer’s principal residence within three years after the initial purchase and offers a great way to save some money.

Are you not sure you can take advantage of the tax credit? Though the tax credit is for first time home buyers only, which the IRS defines  as someone who has not owned a principal residence during the three-year period prior to the purchase, there are some other restrictions so be sure to contact me to learn all the details.

Pacific Northwest Real Estate For Sale

What is also great? The tax credit can be taken for THIS YEAR, but simply submitting and amendment to your 2009 taxes, so you should get your tax credit before the end of the summer. The tax credit is for 10% of the home’s purchase price up to a maximum of $8,000 on homes priced at $800,000 or less. That is quite a nice sum of money to put towards your house, decorating your house, or even saving for a rainy day or a new roof down the road.

For homes purchased on or before April 30, 2010, single taxpayers with incomes up to $125,000 and married couples with incomes up to $225,000 qualify for the full tax credit. Additionally, so long as a binding contract is signed by April 30, 2010, the IRS will also grant the tax credit, so long as you close by June 30, 2010, so if you are already to start the Pacific Northwest home buying journey now, then you still have plenty of time.

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So while I don’t want you to feel pressured or rushed into buying Pacific Northwest homes for sale, if you have been searching for your perfect dream home, or feel ready to buy now, then it would be great to squeeze in on the tax credit deadline.

Contact Your Pacific Northwest Realtor

If you have questions, or want to put your Pacific Northwest MLS home search into high gear, simply contact me, Susan Stecher, your trusted Pacific Northwest real estate agent, to learn more about Pacific Northwest home buying and make sure you can get the Federal Housing Tax Credit.

Until next time,

Susan

I’ve recently received word that some of our local Pacific Northwest mortgage lenders are a part of Fannie Mae’s HomePath Mortgage Financing program. If you’re the market for a great deal on a Pacific Northwest home purchase, this program might be for you.

About the HomePath Mortgage Financing Program:

Here is the basic information (please contact me for further details)…

Fannie Mae works with its lending partners to help homeowners avoid foreclosure; however, sometimes it is unavoidable. When foreclosures occur on mortgages in which Fannie Mae is the investor, it is their goal is to sell properties as soon as possible in order to minimize the impact on the local community. The HomePath Mortgage from Fannie Mae eases financing requirements to help facilitate a sale and protect home prices.

Benefits of using the HomePath program to purchase your next Pacific Northwest home:

• Low down payment and flexible terms for fixed-rate or adjustable-rate mortgages
• Borrowers may qualify even with less-than-perfect credit
• Available to both owner-occupiers and investors
• Down payment (at least 3% – primary residence, 10% – second home, 15% – investment) can be funded by borrower’s savings; a gift; a grant; or a loan from a nonprofit organization, state or local government, or employer
• No mortgage insurance
• No appraisal

Limited Time Closing Cost Assistance

Fannie Mae is offering a 3.5% incentive* for buyers who purchase and close on a Fannie Mae-owned home between January 28 and April 30, 2010. Buyers who purchase eligible properties that are closed within this period may receive up to 3.5% of the final sales price for:

• Closing costs;
• The purchase of new Whirlpool® appliances by Fannie Mae; or
• A mix of closing costs and appliances, at the buyer’s discretion, up to the maximum 3.5%*.

To be eligible for closing cost incentives:

• Offers must be accepted on or after January 28, 2010
• Property sales must close before May 1, 2010
• Buyers must be owner-occupants — investors are excluded from the 3.5% incentive

*Some limitations on the use of the 3.5% incentive may apply so buyers should consult their loan officer for guidance.

To find a Pacific Northwest home that qualifies for the Fannie Mae HomePath program and closing cost incentives, please give me a call! An expert Pacific Northwest Real Estate agent, I can help you find an affordable home in Whatcom, Skagit, Island, or San Juan County!

Photo Credit: TheTruthAbout...

This past year has been incredibly challenging for many families, not only for Pacific Northwest homeowners, but for owners throughout the United States. I’m sure you’ve heard the term “Short-Sale” often in recent months, but you may not know the guidelines or implications. Let me walk you through some of the basics.

Short-Sales Defined

In short sales, the lender agrees to let homeowners facing financial difficulties sell their home for less than the mortgage owed on the home. For those facing potential foreclosure, this is often a better alternative, though it does have consequences both for the homeowner’s credit score and their taxes. After other efforts to keep homeowners in the home have been exhausted, this is often a last effort to avoid foreclosure on their Northwest home.

Short-Sale vs. Foreclosure

A short sale, though it does seriously ding the owner’s credit, is usually far less damaging to their score. The owner can qualify for a mortgage from Fannie Mae or Freddie Mac for another home within two years, which is far sooner than if the home had been foreclosed on. Short sales also help protect property values for the rest of the community by keeping the house from falling into disrepair.

Standardization for Short-Sales

With many families struggling during the after-effects of the economic downturn, there was a need for standardization in the process, and the US Treasury has now issued guidelines to streamline the process for homeowners. 75% of American mortgages are now governed by the new rules.

Under the US Treasury’s Foreclosure Alternatives Program, mortgage lenders have 10 business days to respond to a short-sale offer. Usually, a lack of timely response has been one of the reasons short-sales haven’t gone through. Paperwork and documentation are now also standardized, as are deadlines.

Benefits for Homeowners, Benefits for Lenders

Successful short-sales releases the borrower fully from their primary mortgage obligation, and the lender will not pursue a judgment against them. Homeowners can also qualify for $1,500 to offset moving expenses.

Lenders, on the other hand, are able to determine a minimum acceptable offer for the property under US Treasury guidelines. Though the lender still faces a loss on the loan, the loss is usually not as bad as if the property had gone into foreclosure. Through the program, mortgage servicers receive $1,000 for every short-sale they close.

I know it can be easy to feel completely overwhelmed if you’re behind on your payments and you know foreclosure may be looming —  but don’t let yourself become paralyzed.  Usually the worst thing you can do in this situation is nothing.

There is help available! I am a Certified Short-Sale Professional, and I’ve walked other Northwest homeowners through this challenging process. If you have any questions about what a short-sale on your Pacific Northwest home could mean for you and your family, please don’t hesitate to call me!

—Susan

The first-time homebuyer’s credit has gotten a lot of attention in recent months, but did you know that repeat homebuyers can also get in on the savings?

When the homebuyer’s tax credit was extended, it was also expanded to include repeat homebuyers who meet certain requirements. That’s good news if you’re searching for a Pacific Northwest home that better meets your family’s needs.

In this market, the buyer is king (or queen); interest rates have fallen to historic lows, and fantastic Northwest homes are available at extremely affordable prices throughout Whatcom, Skagit, Island and San Juan Counties.

Here are the details that apply to Repeat Buyers:

Eligibility
-Existing homeowners who have been residing in their principal residence for five consecutive years out of the last eight and are purchasing a home to be their principal residence (“repeat buyer”), may be eligible for up to a $6,500 tax credit.
-All U.S. citizens who file taxes are eligible to participate in the program.

Income Limits
Homebuyers who file as single or head-of-household taxpayers can claim the full credit ($6,500 for repeat buyers) if their modified adjusted gross income (MAGI) is less than $125,000.
-For married couples filing a joint return, the combined income limit is $225,000.
-Single or head-of-household taxpayers who earn between $125,000 and $145,000, and married couples who earn between $225,000 and $245,000 are eligible to receive a partial credit.
-The credit is not available for single taxpayers whose MAGI is greater than $145,000 and joint-filers with a MAGI that exceeds $245,000.

Effective Dates
-The eligibility period for the tax credit is for homes purchased after Nov. 6, 2009, and before May 1, 2010. However, home purchases subject to a binding sales contract signed by April 30, 2010, will qualify for the tax credit as long as closing occurs prior to July 1, 2010.

Types of Homes that Qualify
-All homes with a purchase price of less than $800,000 qualify, including newly-constructed or resale, and single-family detached, townhomes or condominiums, provided that the home will be used as their principal residence. Vacation home and rental property purchases do NOT qualify.

Tax Credit is Refundable
-A refundable credit means that if the amount of income taxes you owe is less than the credit amount you qualify for, the government will send you a check for the difference.

-For example:  A repeat buyer who owes $5,000 would pay nothing to the IRS and receive $1,500 back from the government. If you are due to get a $1,000 refund, you would get $7,500 ($1,000 plus the $6,500 repeat buyer tax credit).
-All qualified homebuyers can take the tax credit on their 2009 or 2010 income tax return.

If you’re looking for a dream home in the Pacific Northwest, I’m here to help! Contact me or feel free to browse my free, no-hassle Northwest MLS search.

One of the reasons Pacific Northwest home sellers should seek advice from an expert home stager when they’re getting ready to sell is that some of the principles of good home staging are a little counterintuitive.

One major thing to remember: To make your home interesting to potential buyers, it needs to look its absolute best and accentuate its best features, but the interior decor should be a little generic.

What I mean is that, while your home should look gorgeous, the decor should be indistinct enough that buyers aren’t picturing what it’s like for you to live in the home — they’re picturing themselves living in your home, as in: “Oh… here’s where I could put my couch/lamp/armoir.” Staged homes should be inviting and warm, but not necessarily personal (i.e. family photos, family artwork, clutter).

Here are a some good steps to start with to stage your home effectively:

• CLEAN.  Clean, clean, clean.  All surfaces should shine. Everything, from furniture to counters to the wall moulding, should be completely dust, dirt, and scuff-free. Take extra special care on windows and window sills.

• GET RID OF CLUTTER. Pack up magazines and books that are overflowing the magazine rack and bookshelf. Get rid of stacks of paper and old mail. Pack away family photos and family artwork, and get rid of the magnets on the fridge.

Clutter is one of the number one killers of successful home showings… don’t let it hurt your home sale!

• CONSIDER COLOR AND LIGHTING. Dark rooms look smaller, so consider a lighter, neutral paint. Open curtains and turn on lights in darker rooms.

• THINK LIKE A BUYER. View each room from the doorway. What are the room’s best features? What is the focal point? There should be only one focal point in each room, so, for example, if you have a fireplace and a TV, get rid of the TV.

• SIMPLIFY YOUR FURNITURE. Many rooms have far too much furniture, which also makes rooms look smaller and less appealing. Take all pillows off the couch, or use an odd number (3 is popular). Pack away afghans and blankets. Reduce the number of paintings on the walls or, ideally, replace them with more neutral pallettes.

Staging tips for every room in your home

• DINING ROOM. Take the leaves out of your table and only use four chairs. Set the table for a meal, and use an attractive centerpiece.

• KITCHEN. The front of your refrigerator should be bare. Store as many appliances as you can out of sight and keep counters as clear as possible. Hide the trash can, and put the dishrag and any cleaning supplies under the sink. Replace any outdated or worn handles, knobs, etc.

• BATHROOMS. Replace bar soap with liquid soap. Buy new towels and make sure they’re color coordinated. Clear out the shower except for one bottle of shampoo and one bottle of liquid soap. Replace the shower curtain if it’s not in prime condition. Grout should be spotless. Remove toilet lid covers, and leave the lid down. Pack away most personal toiletries (such as toothbrushes, hair dryers, etc.) and medications. Hide the garbage can.

• BEDROOMS. Update your bedspread. Clear off any clutter from nightstands and dressers. In your closets, pack up anything you’re not wearing this season and get rid of non-essential items stored in closets.

• YARD. Keep the lawn mowed, edges clean. Trim shrubs and trees that can impact light coming into the house. Put flowering pots or an evergreen tree on the front porch. Consider painting the house if it needs a new coat, or maybe just painting the door to add some visual interest to the front entryway. Clear out flowerbeds. Get rid of anything that’s just “hanging out” in your yard, such as garden tools, unused ground cover materials, etc.

Believe it or not, these steps are just the start! If you’re selling your Whatcom, Skagit, Island or San Juan county home, I can help! For expert help with successfully staging your Pacific Northwest home, please contact me for economical, effective guidance.

The answer is an emphatic, “YES! STAGE!” Staging is an often-overlooked but vital part of the home selling process.

If you’ve never heard of home staging before, please do yourself a favor and read this two-part post… you’ll be glad you did!

Reasons to stage your Pacific Northwest home

Staging your home is an investment that puts more money in your pocket when selling your Northwest home. Good or bad, the impression your home makes directly impacts its selling price, so — the better your home shows, the more money you will make on the sale.

Homes that aren’t staged are more likely to sell for less than their asking price, but well-staged homes more often enjoy multiple offers, sometimes even a sale above the original asking price if multiple buyers show interest.

A few years ago, a study of 2,800 properties by a brokerage in California found that staged homes sold in almost half the time, and on average, they sold at 6.3% over their asking price.

Whether you decide to stage your Pacific Northwest home yourself, or hire others to do it for you, it’s important to have the advice of an expert home stager before you begin. Much of home staging is a little counterintuitive, as we’ll explain in the next post, so don’t go it alone, or you may be spending your money in the wrong places!

An Accredited Home Staging Specialist for Whatcom, Skagit, Island, and San Juan Counties, I can work with you to stage your home effectively — making your home-selling experience easier, quicker, and more profitable.

Call me today for more information, and check back in a few days for more helpful tips on staging your home!

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Please note: this post is merely intended as a broad overview of information found on the IRS.gov website and is not intended to substitute for the advice of a tax professional.

As we’ve mentioned in prior posts, the first-time homebuyer tax credits were extended and expanded back in 2009, allowing even more people to take advantage of the program. But if you bought your home in 2009, how do you make sure you actually see that credit on your upcoming tax return?

According to the IRS, there will be even more compliance checks this coming tax season because of the numbers of people applying for the credit, so it pays to have all your paperwork in order.

Tax guidelines for first-time homebuyers

Taxpayers who claim the credit on their 2009 tax return must file a paper return (no electronic submissions) and attach Form 5405, “First-Time Homebuyer Credit and Repayment of the Credit,” along with one of the following forms of documentation:

• For purchasers of conventional homes, a copy of Form HUD-1, Settlement Statement, or other settlement statement, showing all parties’ names and signatures, property address, sales price and date of purchase.
• For purchasers of mobile homes who are unable to get a settlement statement, a copy of the executed retail sales contract showing all parties’ names and signatures, property address, purchase price and date of purchase.
• For a newly constructed home where a settlement statement is not available, a copy of the certificate of occupancy showing the owner’s name, property address and date of the certificate.

Long-time homeowners who have purchased new homes

For long-time homeowners who have purchased a new main home, they first must qualify by living in their old homes for five consecutive years out of the last eight year period ending on the purchase date of the new home. According to IRS recommendations, these homebuyers should also attach these additional documents to prove their prior home ownership:

• Form 1098, Mortgage Interest Statement, or substitute mortgage interest statements,
• Property tax records or
• Homeowner’s insurance records.

More information, including how to file for the refund on 2008’s taxes, is available at the irs.gov article here.

If you haven’t yet taken advantage of the first-time homebuyer tax credit and homeowner extension, talk to Susan Stecher about finding a Pacific Northwest home that’s just right for you and your family!

Photo credit: Steve Wampler