Vancouver Wa Real Estate Blog

To attract buyers, sellers must up the ante to convince them that their property offers what many want most — top value for dollar expended. Here are eight fast fixes:

1. Buff up curb appeal. You’ve heard it before, but it’s critical to get buyers to want to look on the inside. Be objective. View listings from the street. Check the condition of the landscaping, paint, roof, shutters, front door, knocker, windows, house number, and even how window treatments look from the outside. Add something special — such as big flower pots or an antique bench — to help viewers remember house A from B.

2. Enrich with color. Paint’s cheap, but forget the adage that it must be white or neutral. Just don’t let sellers get too avant-garde with jarring pinks, oranges, and purples. Recommend soft colors that say “welcome,” lead the eye from room to room, and flatter skin tones. Think soft yellows and pale greens. Tint ceilings a lighter shade.

3. Upgrade the kitchen and bathroom. These make-or-break rooms can spur a sale. But besides making each squeaky clean and clutter-free, update the pulls, sinks, and faucets. In a kitchen, add one cool appliance, such as an espresso maker. In the bathroom, hang a flat-screen TV to mimic a hotel. Room service, anyone?

4. Add old-world patina. Make Andrea Palladio proud. Install crown molding at least six to nine inches in depth, proportional to the room’s size, and architecturally compatible. For ceilings nine feet high or higher, add dentil detailing, small tooth-shaped blocks used as a repeating ornament. It’s all in the details, after all.

5. Screen hardwood floors. Buyers favor wood over carpet, but refinishing is costly and time-consuming. Screening cuts dust, time, and expense. What it entails: a light sanding, not a full stripping of color or polyurethane, then a coat of finish.

6. Clean out, organize closets. Get sorting — organize your piles into “don’t need,” “haven’t worn,” and “keep.” Closets must be only half-full so buyers can visualize fitting their stuff in.

7. Update window treatments. Buyers want light and views, not dated, fancy-schmancy drapes that darken. To diffuse light and add privacy, consider energy-efficient shades and blinds.

8. Hire a home inspector. Do a preemptive strike, since busy home owners seek maintenance-free living. Fix problems before you list the home and then display receipts and wait for buyers to offer kudos to sellers for being so responsible.

Crystal Boldt General

The way things used to work aren’t how things work nowadays. Congress scrapped the old rule that required you to reinvest the proceeds of the sale of your home in a new, more-expensive property in order to avoid taxes. The new rules don’t turn on whether you reinvest or not.

 Instead, the new rules require that you own and live in your home for a period of two years within the five years preceding its sale. If you meet the ownership-and-use test, you don’t have to buy a new home and you can exclude up to $250,000 in gain, or $500,000 in the case of a married couple that files a joint return.

In your case, unless the sale is motivated by special reasons, you would not be able to exclude from income the $40,000 in gain ($373,000 minus the $22,000 commission minus $16,000 in improvements minus $295,000 cost). Since you held the property for more than one year, you would pay long term capital gains tax of 15 percent or $6,000 in tax.

If you sell because of special reasons then you would get a partial exclusion.

Special reasons would be:

1. Job-related move
2. Health-related move, or
3. Unforeseen circumstances

The partial exclusion is the $250,000 (or $500,000) maximum exclusion multiplied by a fraction, the numerator of which is the number of months you met the ownership-and-use test and the denominator of which is 24 (the number of months in two years). In your case, if the sale was motivated by these special reasons, the available partial exclusion would be sufficient to eliminate your gain.

Crystal Boldt General

The first step in getting yourself in financial shape to buy a home is to know exactly how much money comes in and how much goes out.

Use this worksheet to list your income and expenses below.

Crystal Boldt General

• Make sure your home is priced right. Many real estate professionals think price, price, price is just as important as location, location, location.
• Take advantage of the lack of competition and work with your real estate agent to make sure your home makes a great first impression.
• Go the extra mile to make sure exterior landscapes are well maintained. Gardens tend to look a bit bare in the cooler months. Brighten up bare garden spots with seasonal plants. Rake leaves, prune back spent plants and shrubs and keep sidewalks and driveways clear of snow or ice.
• Check your heating system as part of your pre-sale inspection. Does it make strange noises, emit odd smells or simply not work very well? If you can’t afford to make repairs in advance, get written bids and share them with potential buyers. It takes away a lot of ‘unknowns’ about potential expenses.
• Repair or reinstall storm windows, if you have them. A warm house is a definite asset during the fall and winter.
• Don’t skimp on holiday decorations. Autumn wreaths and holiday lights make homes look great at this time of year.
• Bring in the light. Wash all windows, open drapes or blinds, and turn on lamps. Buyers are attracted to light-filled homes during the darker months.
• Keep small valuables out of sight, but don’t fret too much about holiday packages disappearing from under a Christmas tree. Agents keep a close eye on prospective buyers who tour homes. Their reputation hinges on keeping your home safe.

Crystal Boldt General