The Troia Team is supporting the newest initiative instigated by Oprah Winfreyherself.  NO TEXTING WHILE DRIVING! While it’s a nationwide promise, we are honoring it here in Boulder Colorado as real estate agents and concerned members of our city.  It all began in a local community near our county, Fort Collins Colorado when earlier this year, Shelley and Daren Forney, lost their 9-year-old daughter. Erica, who was on her bicycle, just 15 pedals from her front door when she was hit and killed by a driver who was distracted by the cell phone. Erica’s death was senseless and stupid because it was caused by a phone call that just couldn’t wait.  Just recently I was driving next to someone who had both hands on their phone and their elbows were on the steering wheel…….”steering”!!?!?!? I was scared to be on the road next to him.  Read more about this important cause and help to prevent unnecessary deaths and accidents.

Sadly, there are far too many stories like Erica’s.  At least 6,000 people were killed by distracted drivers in 2008, according to the National Highway Traffic Safety Administration.  And if you think that’s a large number, well, it’s only growing.  But hopefully, this will change and work is already being done to do so. President Obama signed an executive order banning texting while driving on federal business. Transportation Secretary Ray LaHood is pushing for tougher laws and more enforcement. States are passing laws, too. Local groups are gaining strength, spurred by too many deaths close to home.  Join the Troia Team in taking the no phone zone pledge.  Remember what life was like before texting existed?  Can we recollect the era of just driving with both hands on the wheel, observant and quick to respond?  I recently saw a study that was performed on drunk drivers and drivers who were texting.  The drunk drivers were quicker to react than the cell phone users when stopping and response time.  That is why we should just drive.  Everything else can wait.  That’s the Troia Team pledge.  So, what about you?  Are you going to take the oath not to text also?  Subscribe to our site and comment on how you feel about it.

Here is the first of many to come.  The Troia team at Coldwell Banker will have frequent market updates for your convenience.  So please visit our blog frequently and stay in the loop. 

1) 30 year fixed conventional loan is at 5.22% with 0 points.  5% with 1 point

2) FHA 30 fixed is at 5.239% with 0 points.  5.149% with one point

For more info or to speak to a professional motgage lender please click here. 

Rates are Climbing

The cycle of mortgage rates tend to consistenly rise slowly with large unpredictable and infrequent drops occuring occassionally.  Most likely, tomorrow’s rate will cost you more than today’s.  So lock in a loan today and you will save tomorrow.  Pick up the phone and call a qualified professional real estate agent with the Troia Team and lets find you a home.

Yes, we can help! Short sales are increasingly common as new government acts have passed to find alternatives to foreclosures.  You are not alone.  The economy is tough in Boulder Colorado and elsewhere;  people are losing jobs and it’s been a difficult time in real estate as property values have dropped below mortgages owed on homes.  This makes it difficult to refinance and when it’s hard to pay on that mortgage, you find yourself in a dire situation.  Often times if you qualify, a short sale is a better solution that foreclosing.  It’s not as hurtful to your credit and the bank is willing to accept a payment lower that the borrowed amount in order to avoid foreclosure costs.  The Troia Team has written many blogs on the topic so if you feel you are a candidate for a short sale, let us know.  We can help.   Because we have covered the positives to a short sale and explained the process in detail, I wanted to use this blog to provide examples of short sale hardship letters.  These are necessary to submit to a lender when simultaneously submitting the other necessary documents that go along with a short sale request to the bank.  Click here for hardship letter examples.

EXAMPLE ONE:

To Whom It May Concern:

This letter is a explanation of our financial hardship for short sale documentation.

At the time I bought a home, my wife and I were full time employees of long standing companies.  Upon the harsh economic times, lay offs were inevitable and my wife and I both found ourselves laid off.  Not to mention, a baby on the way.  We were unprepared for this unknown fate and as a result, have not been able to make our mortgage payments.

The current market conditions resulted in an under appraised home.  We have both been laid off for almost a year, thus depleting our savings.  Although our efforts to find new jobs has been a full time job in itself, no jobs have become available in this area.  I finally received a  job offer in another state, but the pay is much less and my wife is staying home with our new baby.

I feel certain that a short sale is the best option for us to get out of this situation and hopefully move forward with our lives.

Thank you in advance for allowing us this opportunity to short sale on our home.

Please do not hesitate to contact me and our Realtor who is assisting us in this entire transaction.

Sincerely,

EXAMPLE TWO:

We are writing this letter regarding our property at 123 Martin Road.  Even with the willingness from Bank of America to work with us, we have found ourselves unable to make any more mortgage payments and are behind two months already.  We were a two income family until my husband suffered many medical conditions due to the laborous conditions of his job.  His back ailments have left him unable to work and I can not make enough to support the monthly mortgage payments along with the new medical bills we’ve encountered.  Not to mention our other bills are behind and our bank accounts depleted.

Please accept this short sale offer on account that we are experiencing financial hardship and medical issues.  We would like to downsize to a smaller home near family and rent until our conditions approve.

We have tried every possible avenue to cure our struggles and afford our home, but we are not able to maintain payments at this time.  Please help us avoid foreclosure and accept the attached offer presented by our Realtor.

Regards,

…..Yes, this is a hard action to take and often a short sale is a last resort before foreclosure. The Troia Team of Boulder Colorado is an experienced real estate team and we care about your outcome.  Let us assist you with what we do best.  Contact me for further information.

 “Save Spork “  I received an email last week with a link that you were suppose to click  ://www.ipetitions.com/petition/savespork/ .  Spork , a 10 year old miniature Dachshund was taken to Lafayette’s Jasper Animal Hospital to have a bad tooth extracted.   Spork is now up on “vicious animal charges” for biting a veterinarian technician.   The owner said that dog was just in pain and scared, and so far the family has spent over $6000 on fees involved with the ticket.  The courts will be reviewing the case in April 2010 and will decide if the dog should be euthanized or not.  

Thousands of people are rallying around Spork and some are not.  Today, in the local Boulder Camera paper, someone made a funny comment on the story about Spork and said  “the moral of the story is to never trust a dog named after a sharp eating utensil” !

The “Save Spork”  Facebook page has drawn more than 9,000 members, blog posts, mainly in support of Spork, also are proliferating. Click here for more information on pet ownershipo vs pet guardianship and other animal law issues in Colorado.  

Lafayette,   once a part of the Colorado coal-mining boom, is redefining it’s working class roots and rich ethnic diversity as a thriving community with cultural and commercial centers found in the revitalized Old Town District.  As a real estate agent in Boulder Colorado,  trends are showing for the surrounding Boulder areas like Lafayette, inventory coming down and prices up just a little.    For more info on home prices in this area check out our website link:  http://blogtherockies.com/local-stats/.  and visit the City of Lafayette City website: http://cityoflafayette.com/ .   We look forward to hearing your comments about Spork the Dog, and don’t forget to check out our Troia Team blog about the Mork and Mindy house.   Ah, come on…..I think you can admit that you really liked Mork from Ork ! 

Why is this information important? 

For several reasons: Being more conscientious is the way to be.  It’s the right choice.  The eco evolution is not only taking over Boulder but it’s blossoming throughout the world.  We drive Priuses, shop locally, and remodel with the consideration of the environment. 

You’re not only saving mother earth but yourself as well; indoor contamination causes health problems and the community is becoming more aware of its harmful risks. 

 It’s really not that more expensive to do a earth loving remodel and it will positively increase the value of your real estate.  Buyers are looking for those green qualities in a home so here are the basics. 

Part One of “What is an eco friendly renovation?” covered flooring because it’s one of the most important investments in a remodel which can tie the whole look together.  There are so many options, I think you’d be surprised.  Part Two is going to cover everything else -from insultation to paint.

Water efficiency

Why Build An Eco House?states that one of the most popular eco friendly building trends is water efficiency. Techniques used to conserve water are dual plumbing, low flush toilets, low flow shower heads, grey water systems that use rain water, and other eco friendly kitchen trends. 

Don’t forget about the Water Heater Timer, digital programmable thermostat, and Tankless Water Heaters.  These not only save on energy, they SAVE you MONEY!!!!   Also, pertinant to this catergory…… Xeriscaping: xerogardening refers to landscaping and gardening in ways that reduce or eliminate the need for supplemental irrigation. It is promoted in areas that do not have easily accessible supplies of fresh water, and is gaining acceptance in other areas as climate patterns shift.

Insulation

Very important and a great way to begin after demolition because when it comes to keeping heating and cooling costs in check, insulation is the first line of defense. Sierra Club agrees and adds: in the winter, heated air moves from living spaces to attics, garages, and the great outdoors making heating systems fire up to replace all that lost heat. In the summer, air conditioners kick on as heat moves from the outside in. Insulation in the attic, exterior walls, and floors can help resist this heat flow, making homes more comfortable and slashing energy bills and pollution. HA! Environmentally friendly!   Homes built today are usually well insulated, but many older homes–even those built as little as ten years ago–can benefit from added insulation.  Types include cotton, recycled, and non-toxic duct work.

Painting

According to the EPA, the concentration of pollutants inside your home is several times higher than what you’ll find outside, due to the lack of ventilation in rooms compared to the open spaciousness of the great outdoors.  Without proper ventilation, airborne chemicals collect indoors and eventually cause damage to our bodies.  Headaches, dizziness, fatigue, asthma, cancer, and heart disease are all potential side effects of indoor air pollution.  Although the contamination cannot be attributed to any single source, paint and paint-related chemicals play a significant role inside a typical home. 

The airborne chemicals released during painting, after the paint is dry, and as paint is removed, fall into a category of pollutants known as volatile organic compounds (VOCs)—potentially carcinogenic carbon-based chemicals that evaporate easily and contribute to indoor air pollution.  Harmful compounds in the VOC category range from formaldehyde to pesticides to cleaning chemicals.  They can be up to ten times more concentrated indoors than outdoors, in both rural and industrial locations.  However, VOCscontribute significantly to air pollution out of doors as well.  VOCs are released in the highest concentrations during paint application, but most paint will continue to emit harmful fumes for years afterwards.

You’ve got to be convinced by now.  Remodelling with the earth in mind will also increase the value of your real estate.  It’s healthy and trendy.  To learn even more about buying and selling green property, let us know.

The fallowing are all definition of a buyers’ market: 1) When the demand for property is less than supply so the advantages shift to the buyer.  2) A market which has more sellers than buyers. Low prices result from this excess of supply over demand.  Also soft market or opposite of seller’s market. 3) When a buyers’ market exists in commodities, the buyer is able to be selective in purchasing contracts, as there are many individuals wishing to sell. Furthermore, these buyers will generally be able to purchase contracts at lower prices than those that were previously prevalent. 

Basically the key elements of a buyers’ market are these: lots of inventory (or homes for sale) and buyers willing to buy them up at competitive prices.  That being said, Boulder is a buyer’s market.

One good reason for Boulder’s buyers’ market is the tax credit. With the tax credit extension about to expire, offered to not only first time home buyers but move up buyers as well, now is a good time to take advantage of this offer. The deadline was moved from November 30, 2009 to April 30, 2010, with any contracts closing before July 1st.  Close before then and guarantee yourself some money back from uncle Sam at the closing table.  Weather that is $8,000 for first time buyers or $6,500 for move up buyers, this offer is one that can’t be wasted.  There is a household income cap and maximum purchase price buyers must obey in order to qualify. HERE for more details.

What if I told you I could save you close to $4,000 if you were to buy a home today instead of down the road? You could use that to pay for this years’ heating, electric, cell, and cable bills. “How?”, is what I hoped you would say.

First off I would refer you to Coldwell Banker mortgage.  Here our loan agents can offer you ZERO closing costs at a value of $1,500.  Now comes the big deal, locking in a rate today that is better than a rate tomorrow.  The life of interest rates is this: a gradual increase over a long period of time and then a big decrease all of a sudden.  With rates once again gradually increasing, you can count on tomorrow’s rate being worse than today’s.  On a $300,000 loan, if you lock in a rate today at 5 3/4 and tomorrow it goes to 6 1/4, which it eventually will, you will be saving $200 per month.  On 360 payments over 30 years that is $72,000 dollars you will save. More immediately it is $2,400 per year.  That plus the money CB mortgage will save you on closing costs puts you in the green $3,900.00.  Not bad for buying sooner than later.  Also remember, that is not including the tax credit if you qualify for it.

If you are a buyer, get out there and take advantage of this market.  The Troia team has agents specializing in all sorts of homes in all sorts of areas.  Give us a call and find your dream home.

  So you are in the market for a HUD home.  What is HUD, where do I find the, how do I get one??????  This can overwhelm you and may seem confusing but trust me it’s not. 

Confused? Don't Be

If a loan insured by the Federal Housing Administration or FHA goes in default, the FHA takes certain steps to collect on their loan.  This may result in the lender taking possession of collateral real estate. If this happens the lender may submit a claim against the FHA insurance fund and convey ownership to the United States Department of Housing and Urban Development or HUD.  HUD then in turn lists the property at market value and sells it as fast as possible.  Click this link for more info.  This is the exciting part.

Anyone can buy a HUD home, as long as they have an insured loan or are paying with cash.  To go and look at these homes call a local realtor who has NAID membership and a HUD key to get you into the home.  COLORADO REALTORS WHO WANT TO APPLY FOR A HUD KEY CLICK HERE. Just ask your realtor for details.  After seeing the home and deciding you want to make an offer on it consider yourself “in auction”, only electronically.  Your realtor will make an electronic bid for you within the bidding time frame.  Have your HUD contract 9548 (1/99) in front of you and get on the Internet.  Along with some basic buyer and broker information, this is all you will need to make your electronic bid.

If your bid is accepted you will know the day after the bidding stops by 4 p.m. eastern standard time.  It is now time to get your signed sales contract, lender’s qualification letter, and any addendas signed and delivered to the MCB headquarters in California.  www.mcbreo.com for details.  Get all these signed and taken care of before your submit a bid so you will be ready to send them in when your bid is accepted.  An escrow will be set up to take care of any issues the HUD home may have.  Such as: plumbing, heating, electrical, foundation……..Bad news these need to be fixed out of your pocket, good news you can use your FHA loan to help pay for them. 

Wheather you are first time home buyer or investor, get out there and find your HUD home today.  Call someone at the Troia Team for more details on this process.  You and your fam could be in a HUD home very soon.

Just what defines a home remodel going eco friendly?  It’s important to know if you are a home buyer and a home seller.

If you are a home buyer then this will help you know what to look for when house shopping.  Sellers wanting to increase the value of their home and attract more buyers, need to be aware of what the new earth loving trends are.

Being a real estate expert in Boulder Colorado and Boulder County, we are witnessing a revolution in green building.  This is not a passing trend, but in my opinion, a change in how we build and remodel.

This blog is dedicated entirely to flooring! Yes, aren’t you lucky?  Eco flooring options are numerous and fun to talk about so let’s get started!

From my experience, an eco friendly renovation would be defined as any home improvement that uses sustainable and natural materials.  Supplies were bought locally and independently owned contractors were hired.  Recycled items are used as much as possible . Disposal of items should also be earth friendly; recycling old materials and reselling them as well.  For starters, choosing to remodel instead of building a bigger home somewhere else, is a great start.  That in itself is environmentally friendly.  I see more and more people every day and all around the world becoming more conscientious about the safety of their home and how the earth was considered in its reconstruction.

Floors - a huge selling point in a home.  Do you prefer carpet, tile, or hardwood?  Let’s start with carpets. One brand of green carpeting is called Smartstrand and its made from corn sugar!  Can you believe it?  And it takes 30% less energy to produce than the old nylon carpeting.

Other carpets to consider are made from recycled bottles.  I love it!  Listen to this, according to Mohawk Flooring, they developed a manufacturing process to turn PET containers into carpet. The making of everSTRAND™ starts out by sorting PET bottles and then grinding them into small chips. The cleaned chips are then melted down and extruded into fiber before being spun into carpet yarn. Mohawk also uses the labels and caps from the PET containers to make the carpet core, the roll that carpet is wrapped around on showroom floors. According to their website, since 1999 they have recycled over 17 billion plastic bottles and that’s saved landfills 1 billion pounds of waste.

And what about that cork?  It’s one of my favorite choices.  Surely everyone knows about this ecofriendly flooring by now.  But in case you didn’t know, it’s harvested from a cork tree grown along the Mediterranean.  It’s harvested on a living tree, which is not harmed.  It’s not only a conscientious choice but it’s texture is unique and trendy looking.  Don’t worry….cork comes in over 50 colors and over 5 textures, you won’t compromise style.  Because cork is considered a renewable and sustainable natural resource, they can run a little pricey and their installed cost per square foot can be close to a good quality ceramic tile floor.  To me, the cost is worth it.  You’ll maximize the value of your home with these floors, be the envy of the neighbors, and mother earth will love you.

Next is bamboo.  Yes, the grass that pandas love.  There is enough for everybody because it grows so darn fast.  And, like cork, it can be harvested without harming the roots.  I think bamboo is beautiful and I love when people use it for cabinets as well.  Let the picture speak for itself.

Not so commonly heard of and the latest trend in flooring is eucalyptus.  According to durodesign, plantation-grown eucalyptus comes from sustainable, managed and PEFC-certified European forests. Eucalyptus has a smooth and refined grain with the depth and shimmer of an exotic wood and eucalyptus is 65% harder than white oak.  Sounds fascinating.  HGTV continues to explain that eucalyptus has the appearance of a fine tropical mahogany, yet it has all the “green” benefits of rapidly renewable hardwood. The eucalyptus tree is amazingly renewable and fast growing. Ready to harvest in as little as 14 to 16 years, the eucalyptus tree can grow to 14 inches in diameter and 120 feet tall in that short period of time.

Here are some excellent ideas to get you started.  And if you’re buying or selling a home and would like to know more.

Investors and first-time homebuyers are often aiming for the same goal: great resale.  I witness it all the time; buyers who need a place to live who also want to make money someday.  It’s important to know the difference in real estate investment.  It’s not always for those of us who need to buy in  order to have a place to call home.  Yes, you should buy a place in which your investment will grow over the years.  However, you need a place that’s livable and suitable to your specific needs.  On the other hand, if your angle is profits and returnsand not necessarily a place to live, then you are an investor.  This blog with help you either way.  The do’s and don’ts of real estate investing in a nutshell.

DO: hire a real estate professional like the Troia Team in Boulder Colorado to assist you in evaluating an investment property.

DONT: buy something with poor sale value such as a  location in an area with a high crime rate or near the railroads tracks.

DO: You’ve seen it on HGTV…the “fix and flip”.  Investors like to flip a property by buying a property with TLC (but not too much – nothing structural), then quickly renovating it.  After promptly putting in back and the market and selling it, the investor profits.  Luck is sometimes a factor in this deal but the success mostly comes from market expertise.

DON’T: choose something that needs a lot of structural work or an expensive new roof because these expenses add to your cost.

DO: keep your investment low so you can make a good profit.

DON’T: forget to calculate every expense before you buy.  This is how you truly know if you can afford the property and all its unexpected costs.

DO: obey all rules and regulations governed by the Colorado Real Estate Commission.  Make sure your actions are legitimate and by the book.  Again, a great reason to hire a real estate professional to handle the logistics.

Do you like the idea of being a landlord?

DO: calculate in the expenses how long you plan to own the rental.  If you only intend on owning it for five years, then you don’t necessarily have to worry about paying for a new roof. 

DON’T: forget to add it up.  If you want to hold on to the property for 15 or more years, account for that new roof, appliance updates, furnaces, and water heaters.  Make sure you’re going to recoup the cost.

DO: develop a network.  This is how you find your best deals.  Ask your friends, family, and co-workers about preforeclosures, bank-owned, and fixer uppers they may know about. 

DON’T: rule out vacant homes you see around the neighborhood and other rentals.  Give the owner a call, they just may want to get that property off their hands and sell it to you. 

DO: plan for a loan accordingly.  Investors need better credit and less debt that other borrowers.

DON’T: underestimate the money you need.  A large cash reserve is highly recommended for after the purchase of the home, as well as having a line of credit and one month’s rent for each unit.

Photo by Bryan Bowen

Photo by Bryan Bowen

For starters, a renewable retrofit is not only economical and promotes energy efficiency but in Boulder Colorado, it is also trendy.  Picture an older home built in the 50’s or 60’s with its original appliances, outdated insulation, and air leaks.  In addition to adding solar panels, retrofitted homes include programmable thermostats, energy efficient appliances, icynene insulation, and heat recovery ventilators.  These photos are of a pop-top home in South Boulder Colorado that converted its 40’s built property to double the size while reducing overall utility bills.  Continue to read about home energy efficiency.

Energy Audit

According to Molly Rettig of Home and Garden magazine, rising energy costs make it essential to target residential emissions.  Buildings for example, account for about 50% of Boulder’s total carbon footprint, with nearly 1/3 of that from homes.  Boulder County adopted one of the nation’s strictest building codes in spring 2008 with Build Smart.  However, only about 100 new homes are built in Boulder every year so it’s the city’s 51,000 existing homes that represent the bulk of the problem. 

Ken Regelson, owner of a Boulder Retrofitted home, further explains that we need to figure out what to do with these older homes and that insulating, sealing leaks, and upgrading appliances only reaps about 30% of energy savings.  If you want to get to zero net energy, he suggests further insulation and solar electric roof panels. 

Because these panels can be over the budget of some homeowners, have an energy audit first.  If you are losing a good percentage of energy due to leakage, first seal the foundation, weather strip the doors and insulate the walls.  These improvements run about $2000 and can save the owner around $360/year in energy bills, paying for themselves in less than 6 years.  I have to agree with many Boulder locals however, it’s not about the money  and what your payback will be.  It’s about choosing a quality of life that supports environmental sustainability and doing the right thing.

In conclusion, a retrofitted home is one that makes changes by re-using materials rather than buying new ones.  It means insulating or updating the insulation, replacing the thermostat, upgrading the windows, and sealing leaks.  It is a practical and affordable way to reduce building emissions and cut energy costs.  And from a real estate perspective, the resale of a retrofitted home could increase dramatically due to lower fuel costs.  And most importantly, a renewable retrofit for your older home is the right thing to do! Contact me to talk more about retrofits.