Latest from Zillow

Zillow has some great research tools and puts out regular research reports available for free to anyone interested in learning more about our housing market. They have reported that the three most perceived barriers to homebuying among renters are: inability to finance the down payment, qualifying for a mortgage, or dealing with existing debt. By far, the biggest concern in every major market was coming up with the down payment.

There are so many financing programs available for first-time homebuyers that it is truly remarkable that this fear exists. Many conventional financing programs allow for a down payment as low as 3-5.5%; allow for gifts from parents or loved ones; or even provide state-subsidized grants and tax credits that do not need repayment. Some programs such as VA loans for veterans and USDA for buying in rural areas provide 100% financing. The best way to find out if you can qualify for a mortgage is to speak with a mortgage lender.

In Seattle, home values are up 11 percent, while the selection of homes is down 10.5% from last year. "Low inventory, strong demand and tough competition will be the defining characteristics of this year's home shopping season," according to Zillow Chief Economist Dr. Svenja Gudell.

Zillow also reported that the median mortgage payment in the US takes 15.8 percent of the median monthly income, while the monthly median rent payments takes 29.2 percent of the median monthly income. These statistics come from the largest-ever survey of US home buyers, sellers, owners and renters.

Zillow also analyzed the mortgage costs of moving to a three-bedroom home from a two-bedroom home, an estimated 50% increase on average in their monthly mortgage payout. In many coastal cities or hotter markets like Seattle, a family might expect this move to nearly double the monthly mortgage payment.

Bathroom count can also impact a home's price. Nationally, upgrading to a house with one extra bathroom, but the same number of bedrooms, can increase the monthly mortgage anywhere from $386-$838, depending on the size of the house. Adding an extra bedroom or bathroom to an existing home may be a cost-effective option for some families.

According to Zillow, 90% of the sellers who sold quickly and for more than list price worked with an agent, and two out for three began working with an agent from the very beginning of their sales effort.

The full 200-page Zillow Group Report on Consumer Housing Trends is available free at www.zillowgroupreport.com.

Happy Investing!

Finding Good Contractors

Every real estate investor and every homeowner, at one point or another, will be searching for good and dependable contractors. There are many resources for finding reputable contractors who are licensed, bonded and insured.

Here is one you may not know about: Puget Sound Energy (PSE).

PSE maintains a Contractor Alliance Network (CAN) of member contractors who are licensed, bonded and insured; knowledgeable on current energy codes, high efficiency equipment and product applications; and continually trained and educated on the latest technology.

These certified specialists help the homeowner make safe, dependable, and efficient choices for nearly any energy-efficient improvement project. Residential, multifamily and commercial contractors available through CAN can help with

• Heating and cooling 
• Solar
• Water heating
• Natural gas conversion
• Weatherization
• Windows
• Roofing
• Generators
• Lighting
• Home Performance evaluation

PSE offers a free HomePrint Assessent, which is a free overview of your home's energy use provided by an independent, PSE-qualified specialist. This assessment will give the homeowner a better understanding of the home's energy consumption, while learning great energy-saving tips. PSE also provides on-the-spot installation of hig-efficiency light bulbs, and up to two high-performance showerheads during this assessment.

To create your own referral for qualified contractors, visit pse.com/can. For more information on these referrals, call 1-800-562-1482 Monday - Friday, 8a - 5p.

Happy Investing!

Real Estate Improvement Tips

Here are a few good real estate links for my loyal blog followers:

Tax time is here. What are the Top 6 Legal Tips of 2013? This link also helps you Avoid the 5 Most Common Scams.

Here are some ideas for Budget Home Makeover Tips.


And finally, here are some Clever Uses for Common Household Items.


Happy Investing!