Does a Kitchen Remodel Provide a Return on Investment?

Does a Kitchen Remodel Provide a Return on Investment?
-Bill Forrest, Atlanta Realtor

The short answer is YES
But the bigger questions are what type of remodel and how much of a return...

As the home owner the actual cost of a remodel is dependent upon your own skill sets and how much of the labor you can complete yourself. A lot of these projects can be a sense of great pride in knowing "I did that."
A lot of our local Home Depots, Lowes, and Ace Hardwares provide free or low cost classes teaching and providing hands on training to expand these skill sets.

But first, CALL ME or another favorite REALTOR to evaluate your proposed project if the return on investment is a major goal or concern. We can help you maximize the return by providing helpful insight into what is a 'real trend' v. a 'fading fad' especially in countertops, finishes, flooring types, colors, etc. We can also make recommendations of subs and service providers that have a proven track record. But, most importantly, We can alert you to market conditions so you do not over-improve and diminish your return.

In a lot of cases a Kitchen Remodel can be defined as minor but impactful

There is a lot of talk about reuse, recycle, and sustainability these days and that can have the biggest impact on defining the scope and costs. In a lot of cases the current kitchen cabinets are very functional and just look dated. Replacing the entire cabinet box and exterior can be very costly and push the project into the "Major" category. Simply refacing the cabinets can be an effective technique to save a lot of money and time without losing the wow factor. Of course knocking out walls and complete reorientation of a kitchen design can in some cases eliminate the ability to reuse the current cabinetry.

Costs and Returns

Research for Atlanta, Georgia has provided some interesting results according to the Remodeling 2014 Cost vs. Value Report (www.costvsvalue.com). They studied minor vs. major kitchen remodels in the area
The findings are that a Minor Remodel has a higher return at 79.7% and a Major Remodel has a 74.9% return.  The average minor remodel had a cost of $18,889 and major tipped the scale at a average cost of $54,798. As you can see there is a big difference in costs.

The question of return is a market and marketability question that only your REALTOR can answer.  Give me a call at 404-353-9233 and I would be happy to help you evaluate your plan, possible options, and provide insightful suggestions.

Home in the Picture is Available for Sale: Click here for Details

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Other costs info and definitions:
MINOR KITCHEN REMODEL DEFINED: In a functional but dated 200-square-foot kitchen with 30 linear feet of cabinetry and countertops, leave cabinet boxes in place but replace fronts with new raised-panel wood doors and drawers, including new hardware.Replace wall oven and cooktop with new energy-efficient models. Replace laminate countertops; install midpriced sink and faucet. Repaint trim, add wall covering, and remove and replace resilient flooring.
MAJOR KITCHEN REMODEL Update outmoded 200-square-foot kitchen with 30 linear feet of top-of-the-line custom cherry cabinets with built-in sliding shelves and other interior accessories. Include stone countertops with imported ceramic- or glasstile backsplash; built-in refrigerator, cooktop, and 36-inch commercial grade range and vent hood; built-in warming drawer, trash compactor, and built-in combination microwave and convection oven. Install
high-end undermount sink with designer faucets and built-in water filtration system. Add new general and task lighting including low-voltage undercabinet lights. Install cork flooring, cherry trim.

Defoor Ferry Townhomes Break Ground

A lot of questions have been bounced around about this project at 2108 Defoors Ferry Road next to the Century 21 Office and the Shell station.

There are 23 to 25 townhouses going in on this deep tract complete with 2 car garages. The exterior is to be brick with other exterior accents. They will be a mixture of 3 and 4 bedroom residences, high-end finishes, and sized 2300 to 2800 sqft.  The floor plans and designs are currently being finalized.  Check back for future updates...

As always, I am happy to answer any of your real estate questions.  I am just one call away at 404-353-9233, email bill@billforrest.com, or on the web at BillForrest.com

Peachtree Hills is having a very interesting market cycle.

Peachtree Hills, like at lot of the neighborhoods inside the perimeter, is in a blended market cycle.  There is a 8 month supply of available homes at current sales levels. This usually denotes a buyers market. But, in this case that is not the whole story. Peachtree Hills is a community that has many different types of homes, many different sqft ranges, and  in many different states of condition. What the trends are showing is that there is ample supply of homes creating a buyer's market if you are looking in the $400,000 to $575,000 price range.  If you get outside of this range it is definitely a sellers market.  But it is a strong market with homes selling for a average of 99% of list price in the last 90 days.

For full details of your neighborhood's 90 day market trend visit MyIntownHomeValue.com  This is a really cool interactive report that shows everything going on in your community market wise (or the one you want to move to) Like a 401K report for your home. Best of all its free and no spam!

As always, I am available to answer any and all of your Atlanta real estate questions, Just give me a call at 404-353-9233 or email Bill@BillForrest.com

Decluttering - Is so important when preparing to sell your home - here's how

One of the most difficult tasks in getting a home ready for sale is decluttering.  Decluttering is crucial to presenting your home at its best to perspective buyers. The only thing more important is cleanliness. So to help with this I wanted to share this great article from one of our great service providers Drab to Fab Organizing.  -Bill  

Organizing 101: Using the 3 M’s to C.O.P.E.

In a world filled with so much information, literally at our fingertips, how do we narrow our focus to practical and applicable tools for our daily lives?  And how is that different in the world of ADHD?

The solution I use with my clients: the 3 M’s will help you COPE.

Clutter represents deferred decisions. Nowadays, we move so fast we are often distracted. We can’t or don’t exercise the discipline needed to make quick, in-the-moment decisions and follow-through on making them happen. This is especially true of the flood of stuff in our homes. Consequently, surfaces are covered and piles accumulate.

When we do decide to buckle-down and get organized, many of us lack the ability to create order out of chaos, to choose the right system of containers & tools. We are overwhelmed by the merethought of where to start.

To reduce clutter and create some breathing room, set a goal to tackle the 3 M’s: Minimize, Maximize, & Maintain.

Minimize To find some peace in your hectic life, you must minimize. This is easier said than done with ADHD in the mix, so consider finding a “Body Double” who will help you purge, and then you do the same for her. This can be a friend, or a paid organizer. Think in terms of 4 piles: trash, recycling, keep or donate.

Maximize Learn to maximize the way space is used and take advantage of the available space you have. Start small, with one area at a time, and tackle your home surface by surface, closet by closet.

Maintain Order is a constant process, fluid and changeable, and there is joy in the journey. When we continually minimize the amount of items in a space, maximize the use of the available space, and pay attention to keeping it maintained, we have a plan to keep things organized and peaceful.  Once you’ve decided what to keep, and are on the path to maintenance, it’s time to take things to the next level of detail and C.O.P.E:

• Categorize (group like items together)
• Order (put things in order)
• Proximity (put things near where they will be used)
• Ease of Use (make sure things are easy to access)

Don’t underestimate how simple this sounds—it’s really effective to put a little bit of extra thought into where and how to store items you decide to keep.

Now, some people would prefer to have someone else handle organization, leaving them free to do other things that are more natural and enjoyable, and there’s no shame in that! When you have ADHD it can be particularly helpful to have support and assistance in the process. Just in case you want to tackle organization on your own – and remember to consider a body double if you do — here are a few more tips to keep you on track:

1. Set boundaries around when, where, and for how long you are going to “get organized.” Set an appointment with yourself, use a timer, and be specific about where you are going to focus your energy. If you tend to get caught in “zigzag organizing” — jumping from room to room or area to area – then take on two projects at a time and when one gets boring, move to the other. But limit yourself to only those projects! Set a timer for 15 minutes before the end of your scheduled session, and begin to straighten up so that you can leave the space livable until your next session.
2. Start with the obvious by working with items that are already out in the open, on the floor, countertops, entry-ways, spilling out of baskets/containers, etc. Do not go pulling stuff out of drawers and closets before you have cleared out the obvious clutter. It could lead to overwhelm and possibly abandoning the effort entirely.
3. Set yourself up for success by making sure you are free from distractions. Turn off the phone, get coverage for the kids (or give them a job), don’t plan to leave in the middle of the process for another appointment, and be sure to have supplies like sorting containers, big trash bags, sticky notes for labeling, a big black marker, cleaning stuff, and the vacuum for those dust bunnies that will pop up during the process!
4. Make sure the organizing session is fun by playing inspirational music (whatever that means for you), making sure there is enough light in the space to see what you are doing, having scheduled breaks with special goodies to snack on, and having a reward in place for when you complete the task!

Finally, remember that there is no shame in asking for help, either from a professional or from a trusted friend who will keep you on track, without judgment. It helps make organizing happen more quickly, and with greater success.

The simple skills outlined above are applicable to numerous areas of life, not just getting organized. Learning them and teaching them to your children will have wide-reaching and lasting benefits.  Good luck and Happy Organizing!

Avoid Seller’s Remorse

From professional photography to pricing strategy, you’re choice of REALTORS® can affect how your home is marketed to qualified buyers. Choosing Common Ground Real Estate to list your home for sale is the first step to a faster closing and a higher return on your property investment.

As REALTORS® who keep a watchful eye on the real estate market, we’ve seen what happens when sellers choose the wrong agent: amateur photographs that don’t show homes in the best light, pricing strategies that make homes unattractive to buyers and unprofessional marketing that can damage a buyer’s opinion of a home.

 It’s what Common Ground Real Estate calls seller’s remorse. Here’s how we avoid it:

Elite Marketing

Home Photography

Common Ground Real Estate is one of the few (if not the only) full-service real estate company in Atlanta that offers professional, HDR-merged photography for homes at every price point. Check out several examples of our work.

Property Books

Metro-Atlanta’s two major listing services, FMLS and GAMLS, allow 25 photos and a property description no longer than 756 characters, even though some homes have so much more to say. See some of our marketing booklets we’ve made for our clients.

Custom Websites

While many agents may purchase domain names linked to templated fliers and a few additional photos, we design interactive sites with beautiful slide shows and professionally written property descriptions  that can elevate even the finest of homes.Learn more about the custom sites we design for our high-end listings.

Want to learn more?  just reach out to Bill Forrest at 404-353-9233 or Bill@BillForrest.com 

BillForrest.com

Collier Hills is in a Seller's Market

It is not surprising that Collier Hills is in a seller's market cycle.  Location is the basis for real estate values and Collier Hills has it.  There is only a 3.8 month supply of available homes at current sales levels. This denotes a very strong market.  What is even more telling is the sold to list pricing ratio.  In the last 90 days homes have sold for a average of 99% of list price.

The good news for Collier Hills is that the neighborhood is showing solid price gains but is not over heated. This is a sustainable trend.

For full details of your neighborhood's 90 day market trend visit MyIntownHomeValue.com  This is a really cool interactive report that shows everything going on in your community market wise (or the one you want to move to) Like a 401K report for your home. Best of all its free and no spam!

As always, I am available to answer any and all of your Atlanta real estate questions, Just give me a call at 404-353-9233 or email Bill@BillForrest.com

Five Compelling Reasons to Buy a House Right Now

I Thought this is a really good article about why buying is better than renting - Bill

Buying a house is a highly individual decision—and a local one—but current trends are creating a favorable situation for many would-be homeowners.

Interest rates are low, employment is rising, home prices—in most markets—are still well below their peaks, and rents are through the roof.

Every family and each individual has various factors affecting the ability and the decision to buy a home. If you live in a market where studio apartments are $2,400 per month—while nearby condos sell for $300,000—it might make sense to buy a house instead.

(Remember, a local REALTOR® always is your best resource in helping you assess market conditions.)

Five Compelling Reasons to Buy a House Right Now

1. Interest Rates Are Still Low

Mortgage interest rates are still low—for now.

A 30-year-fixed-rate loan now averages 4.16%, according to Freddie Mac, but many economists believe we will see 5% rates next year. As interest rates increase, so do your monthly payments.

A $300,000 house at 4.16% with 20% down would have a monthly payment of $1,168. With a 5% interest rate, that payment increases to $1,288.

2. There’s More Inventory

As more houses enter the for sale market, prices stabilize.

“Inventories are at their highest level in over a year, and price gains have slowed to much more welcoming levels,” said Lawrence Yun, chief economist at the National Association of REALTORS®.

The upside is consumers now have more choices, if they are looking at existing homes.

New homes are another story: Yun says new construction needs to double its current production to meet market demand.

3. Home Prices Are Going Up

Home prices are rising.

The median price of an existing home was $223,300 in June, or 4.3% higher than June 2013. That’s the 28th consecutive month of year-over-year price gains, and economists expect that trend to continue. However, we are still at least 20% off the peak prices of 2006.

“Attempting to buy a home when the market is at its lowest point—or to sell at the peak—is tricky,” said Jonathan Smoke, chief economist for realtor.com®.

He compares it to trying to time the stock market.

“You might get lucky one or two times, but overall, timing the market does not work,” Smoke added. “It all points to purchasing power, and that’s a reflection of price and interest rates, which will both be higher in the future.”

4. Rents Are Sky-High

If you live in a big city, then you know rent is astronomical. In San Francisco, many people are spending 42% of their monthly income to pay the rent. Nationwide, rents are rising at a 4% annual clip.

It’s not unusual to see adults rooming together in expensive cities like New York, San Francisco and Chicago, but everyone needs his or her own space at some point.

Buying a home would lock in your monthly payment and stabilize your finances with a fixed-rate mortgage. This is, of course, assuming you don’t live the San Francisco area, where the average price of a home is $1 million.

(If you’re renting and never thought you could afford to buy a house, try our Rent vs. Buy calculator to see what’s possible.)

5. Employment on the Rise

Perhaps nothing is as important to the financial stability you need to buy a home as steady employment. The U.S. economy is finally adding jobs—about 200,000 new jobs per month.

The next generation of home buyers—the Millennials—has been particularly affected by the nation’s job slump. Saddled with student loans and tight lending restrictions, many in this generation have been living with their parents to save money until the economy picks up.

If your employment prospects look good these days and the other four factors check out, then it may indeed be the right time for you to buy a home of your own.

From Realtor.com reprinted by permission

Now Under Contract - Elysian Townhome

Just heard this from my friend and fellow Realtor Max, that the $162,000 2/2.5 townhome listed on Elysian is Officially Undercontract... It just keeps getting better in 'TheCreek'

www.CrossCreekATL.com

5 Reasons to Buy Bigger Now

Thinking about selling and buying a bigger home?
You can’t afford to wait.

By Bill Forrest

We hope you’ve heard the good news: Atlanta’s real estate market is booming, largely due an increase in available loans with reasonable credit requirements and stabilized interest rates.

While it’s easier to for buyers to get the funds they need, there’s an incredible shortage of move-in ready homes. That’s where you, awesome homeowner, can help the market… and yourself.

It’s time to sell your house and buy a bigger one. Here’s why.

 1. Your property is probably more valuable now than it has been in the past seven or so years.
Source

Home prices in the metro-Atlanta area have jumped up in the past several years. In the past year alone, according to the popular property search site Trulia, price per square foot is up 20%, median home sales prices increased 14.6% and the number of home sales increased 23%. Your property probably benefited from this boost, and here’s the best way to find out.

2. The “market recovery” is really a “market correction.”

If you bought your home at the top of the market — before the crash in the mid-2000s — you’re probably worried that you’ll lose money on investment. Waiting for “recovery” to those levels really means waiting for the market to re-inflate to bloated pre-crash levels, which could take years. You don’t have to spend that long in an uncomfortable house you no longer want.

3. Finding out what your home is really worth takes seconds.

No matter what your situation, the first step to selling is to find out what your home is actually worth in today’s market. Click this link to do that for free online. You’ll have your results in about half an hour.

4. Regardless of where you stand, there are options.

Depending on your home’s value and what you currently owe on your mortgage, you’ll either be able to sell outright, sell at a loss or not be able sell because you owe more than your home is worth.

If you sell at a loss, you might be able to write it off your taxes. It could take a while to recoup the cash, but it’s worth it in the long run. If that’s your situation, I’ll put you in contact with a tax professional who can help.

If you’re underwater — owing more on your loan than what your home is worth — short sale might be your best option. It doesn’t mean you made a bad choice, or that you shouldn’t buy another home. Short sale is better than foreclosure, and my team and I can help you through it.

5. You’ll save money if you buy bigger now.

It might make sense to wait until home values improve so you can make more on the sale of your house, but the money you’ll make waiting to sell will be outpaced by what you’ll spend to upgrade later.

Say your current home is worth $155,000, but you’ve outgrown it and your dream home currently costs $225,000. That’s a $70,000 upgrade.

Prices have appreciated more than 15% in the past year (it’s actually 16.9% according to the AJC, but we’ll use 15% for simplicity’s sake.)

If the trend continues — and through early 2014 it has — this time next year, your current home would be worth $178,250 and your dream home would be worth $258,750. That’s now an $80,500 upgrade.

Sure, if you wait, your home will be worth $23,500 more than it is today. But the dream home you’ve been looking for will cost $33,750 more. That means if you wait, it will cost you $10,500 more than today and you’ll have spent ANOTHER year in a home you’ve outgrown.

And none of this takes into account the fact that interest rates are rising, which means it’ll be more expensive to get the money for your dream home as well, and you may not qualify for as much.

Let’s talk about it.

You won’t find all the answers to questions you have about selling in this blog. Every situation is different, but every seller has options. Reach out today to discuss your next move, let me earn your business and we’ll get you in an upgraded home in no time.

Call ME today to discuss 404-353-9233 Bill Forrest
BillForrest.com