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Guest Post by Bill Gassett What is a modular house? If you've always wanted to build your own home, many things can put you off the idea. You would need to hire architects and a team of contractors, as well as manage the build. This could lead to a lot of stress and certainly a lot of expense. However, a modular home offers you the chance to build your own property without many of the problems associated with a traditional build. Lots of folks wonder exactly what is a modular home. Let's take a look at what you need to know about modular homes to help you decide if this type of home is right for you. How are modular homes different? With traditional home building, the construction process can take many months, with delays due to the weather being a common problem. A modular home can be constructed in a matter of weeks, with most of the work being carried out off-site in a factory. These can sometimes be referred to as factory-built or prefab homes. They are then transported to the construction site, where a crane lifts them onto the foundations. The prefab sections fit together, allowing the home to be assembled very quickly. There then needs to be work carried out to finish the home. This means connecting the utilities and adding the finishing touches to the home. They are permanent homes that appraise the same way as traditional home construction. You can expect to pay the same taxes and insurance as you would for a regular house. Are modular homes more expensive? Thanks to how these buildings are put together, there are many cost savings for the owner. Since the homes are built in a factory, this saves a great deal as they can be inspected on the production line. Typical costs for a modular property are around $100 per sq ft. However, this can increase if you opt for a more complex or unusual layout and design. The cost to build a traditional home starts from around $150 per square ft, so the savings are quite clear. Are modular and prefab homes the same thing? Generally speaking, they are the same thing. Prefab, short for prefabricated, refers to homes constructed off-site in sections, which is essentially the same thing as modular buildings. Are modular homes the same as manufactured homes? Manufactured homes, often referred to as mobile homes, aren't the same as modular homes. Manufactured homes aren't permanently located in one place, as modular constructions have to be. You can choose to move your manufactured home to a new location, but this isn't possible with a prefab or modular home. The term mobile home officially refers to manufactured homes constructed before 1976. Though the term is still commonly used, the U.S. Department of Housing and Urban Development officially calls this type of housing manufactured. Do modular homes all look the same? While manufactured homes look very similar, this isn't the case with modular properties. There are many styles of modular homes available, and you can customize as you wish. There aren't any design limits. You can make changes to a manufacturer’s design to create the home of your dreams. What are the pros and cons of choosing a prefab home? There are many reasons this type of housing might be right for you, but they're also negatives you need to consider. Let's take a look at the upsides and downsides of modular construction. The advantages of choosing a modular building If you like the idea of a shorter build time and lower costs to complete the home, a modular build could be more attractive. You also won't have to worry about inspections during the build; this is all done during construction in the factory. You can have the home customized to your specifications without the need to hire an architect. There won't be so many worries about the weather delaying the build process, and the construction will be completed much faster. Since the home sections will be constructed in a factory, they can be built using environmentally friendly materials and methods. They can also be manufactured to a higher energy efficiency standard and higher tolerances. Typically, modular homes are constructed to green building standards. The downsides of modular constructed homes You need to own the land you build the modular home on, but it can't just be any building plot. This type of property is usually harder to be constructed in a stick-built neighborhood. In fact, on many occasions, there will be restrictive covenants prohibiting modular homes. You'll need to check on this situation before moving forward with your plans. There is still some work that needs to be done before the prefabricated home sections arrive at the construction site. There also has to be foundations and connections to utilities, such as plumbing and electrical wiring. Usually, you can't finance a modular build through normal mortgage loans. It is possible to get a construction loan to cover the costs, but this is usually only good for a year. Once the home has been constructed, you can then turn the construction loan into a normal mortgage for a longer period. Before you order your prefab building, you need to do your research on the manufacturer. Though these types of homes have to be built following building code, not all manufacturers produce the same product standard. Like any other builder, there are what would be considered great and not so great modular companies. It will be just as essential to do your due diligence when buying a modular home as you would with a stick-built property. Remember, there are pros and cons to consider when buying new construction. At times, folks regret their decision to build a home versus buying an existing property. Does the modular home stigma still exist? Years ago, when you heard modular home, you would immediately think of a cheap, inferior product. Not surprisingly, it was understandable and, in fact, true. More often than not, a modular was constructed with shallow-pitched roofs that made the home look like an army barracks. The interior had limited quality features like crown moldings, and popcorn ceilings were standard. Today, when people do a little research, they quickly discover these downsides no longer exist. Modular homes are now considered to be an excellent product. Does that mean some people don't incorrectly assume there is still inferior quality? No, they do. Real Estate agents and those in the modular industry often have to educate consumers on how things have changed. How do I buy a modular home? There are many options available if you've decided modular is the right type of property for you. You can order homes that have already been fully designed and only need a few things done to them once they've been assembled. If you have a larger budget or looking for certain features in your home, you can customize the design before manufacture. Like most things these days, you can even buy modular homes on Amazon. Despite this, you will probably be better off going directly to a manufacturer in your area. This will allow you to customize the home as you need it. Final thoughts  Choosing the modular option when building a home has a lot of advantages. You are likely to save money and be able to move into the home faster. You can go to a manufacturer and buy a design off-the-shelf or create something that exactly fits your requirements. Whichever approach you take, you will end up with a home that is a permanent structure that should be equal to any site-built home. It might have cost you a lot less than a traditional home would have cost to build, meaning you can make your money go further. Bill Gassett has been a real estate agent for the past 34 years working for RE/MAX Executive Realty in Hopkinton, Massachusetts. He is also an avid writer for numerous real estate publications including The National Association of Realtors, RIS Media, Inman, as well as his own blog "Maximum Real Estate Exposure."

Are you considering buying a foreclosed home? Perhaps the ROI potential and success stories have enticed you to entertain the idea of fixing and flipping a house in foreclosure. Buying a foreclosed home to fix up for profit is a common strategy that many seasoned real estate investors have. However, a novice investor may overlook some of the complexities and red tape that make foreclosures risky. By understanding the risk, you’ll be more equipped to understand if a foreclosure has potential cash rewards or if it's a financial trap that you should avoid. To help you understand the ins and outs of buying a foreclosed home, we’ve put together this comprehensive guide that answers some of the most basic foreclosure questions: What is the difference between pre-foreclosure and foreclosure? Do banks negotiate foreclosures? Can you get a loan to buy a foreclosed home? Is it a good idea to buy a house in foreclosure? Bonus foreclosure tips What is the difference between pre-foreclosure and foreclosure? It is typical to lump the foreclosure process together, but it is wise to know how different points in the buying process could affect your purchase. Let’s breakdown a foreclosure into three main phases: Pre-foreclosure Foreclosure Post-foreclosure Pre-foreclosure is the phase when you can potentially buy the house directly from the homeowner. It is typical for a homeowner to have 90 days notice before the bank seizes the property. During this time many homeowners are trying to get out of their house quickly and recoup any sort of money that they will potentially lose. This short timeline mixed with a need to pay back the bank encourages homeowners to sell their home for a low price in hopes that the home will be purchased quickly. This type of sale is often referred to as a short-sale. Foreclosure is the stage where the home actually goes to a foreclosure auction. Real estate investor and co-founder of SparkRental, Brian Davis, shares his insight on why this stage of the foreclosure process is often the riskiest and most expensive. “You can buy properties at an actual foreclosure auction, but this rarely happens in practice, for two reasons. First, you can’t inspect the interior of the property, because at that time it’s still legally owned by the homeowner. Second, lenders usually set the starting bid around the total balance they’re owed, which is often higher than the market value given the accumulated late fees, legal fees, etc.” Post-foreclosure is when the ownership of the house transitions from the homeowners to the bank. This is the most common phase that buyers purchase a foreclosed property. At this phase in the process the bank work with local real estate agents to list the house on the public market, making it easily visible for an everyday buyer to purchase. During post-foreclosure you're able to approach the buying process like a normal house — agents can give you tours of the house, and you can receive an inspection before you pull the trigger. Do banks negotiate foreclosures? Banks take on a lot of time, risk, and stress when dealing with a foreclosed home and so they are motivated to sell quickly. Negotiating with the banks over a post-foreclosed home may require a few extra hoopes to jump through, but overall the process is relatively similar to negotiating for any kind of home. Banks don’t love sitting on a property for too long, so they are motivated to negotiate with a potential buyer on the price. If a buyer extends an all cash offer they may be even more inclined to take it.  Real estate professional, Luke Smith, adds that, “the banks often get flooded with inventory so they are willing to negotiate. They are less likely to allow a short sale then they are to negotiate during post-foreclosure so that they can make a little profit.” Plus, if a foreclosed home has been sitting on the market for a while your odds of scoring a great deal with the bank are even better. Can you get a loan to buy a foreclosed home? Yes, you can get a loan to buy a foreclosed home. There are several different types of loans that you could use to pay for a foreclosed home such as a 203K loan, FHA loan, VA loan, conventional loan, HELOC and more. Kenny Dahill, realtor, landlord, and founder of Burbz comments on what the loan selection may look like for your investment property. “Buying a foreclosed home is similar to a non-foreclosed home. Due to the nature of foreclosures being under market value, there are loan options that will allow you to finance the remodeling costs as well. Loans will typically be based off the habitability of the property — a foreclosed home in major disrepair will have challenges getting a loan compared to a foreclosed home that is move-in ready which can easily get a loan.” If you are worried about fronting the cash for a loan and are wondering how you can buy a foreclosed home with no money down, then don’t stress — there are options. Melissa Zavala, real estate broker and owner of BroadPoint Properties, lays out what you should do if you are wanting to put no money down or as little down as possible. “Check with your local lender to see whether no money down programs are currently available. There are many FHA programs available that only require 3.5 percent down and VA loans require no money down. There may be other programs available, so it is good to check with your local lender.” A hard money loan is another option, particularly for real estate investors. These loans are secured by real property and typically offered by private or non-traditional lenders. Hard money loans can be an ideal option for real estate investors fixing and flipping a foreclosed home because funds can be secured quickly. Assuming the individual will turn a profit on the house soon after completing renovations, the loan can be repaid back quickly. Not all lenders offer hard money loans. If you're interested in this lending option, we suggest researching companies that specialize in hard money lending, such as Stratton Equities. There are no money down and some barely money down options, you just have to find the right lender. To help you compare possible lenders and find the right lending solution for you, you can easily compare mortgage lenders at BestCompany.com. (Bonus: LoanDepot is one of the few lenders that offers a 203k loan, which is great for financing foreclosures. Check them out.) Is it a good idea to buy a house in foreclosure? The honest answer — it depends.  It depends on your experience and the homes available. To help you get started on making your pros and cons list for purchasing a foreclosure, you need to look at the good, the bad, and the alternatives. Why is it a good idea? Buying a foreclosed home can unlock the potential for major cash flow. Foreclosed homes often sell for below their market value making them a great investment for buyers that are able to buy low, fix repairs, and sell high. A pre-foreclosed home often sells for below market value when the current homeowner is not able to afford their house. Before the bank seizes the home, the house is sometimes available for a discounted price by the homeowner — known as a short-sale. Additionally, if the bank does seize a home it will often be listed on the market for a reasonable price. The banks are motivated to sell the house quickly, alleviating the risk and and cost of hanging onto it. Potential buyers can benefit from either situation if the home is in good shape and on the market for below its value. Why is it risky? First you need to realize that foreclosed homes play by a different set of rules. For one, if the house does not sell in a short sale the ownership shifts from the personal homeowner to the bank. Real estate professional and owner of CapstoneHomeBuyers Colby Hager, walks through what a bank-owned home may entail: “There is a certain amount of risk because most banks are unaware of the actual condition of the house when they seize it. The bank typically does not allow for a home inspection nor are they usually willing to negotiate for repairs in an auction. Depending on the overall condition of the foreclosed home, financing through traditional sources such as an FHA or VA loan may be difficult.” In addition to the condition of the home posing a risk to your investment, legal red tape and the overall timeline can complicate the process as well. Unexpected time and legal issues can be costly and stressful. What’s an alternative? If you are wanting to buy a foreclosed home but are a little nervous to work through its complexities and risk, try investing in a different kind of property at the start. Get your feet wet by choosing an older home with good bones. You’ll have the luxury of shopping around for the right home and getting an inspection, while lowering your odds of major financial surprises. Real estate agent and founder of Quadwalls, Chuck Stelt, puts it best by advising buyers to avoid foreclosures and instead invest in what is called a grandma’s house. “Grandma's house is usually in really good condition and most everything is in working order, but it is often dated. These are the best homes to look for if you are buying a home to live in and want quick equity.”    Bonus foreclosure tips: Get Homeowners Insurance: “Lenders will almost always require that you have homeowners insurance lined up, make sure you compare quotes and settle on a policy ahead of time to prove to your lender that you are able to purchase insurance for the foreclosure." — Melanie Musson, home insurance expert for USInsuranceAgents.com.   Consider an Eviction Attorney: “If you are buying a foreclosure on the courthouse steps make sure to get a good eviction attorney.  Oftentimes when you buy foreclosures at the courthouse steps, the previous owner is still living there.  If the occupant doesn't leave on their own or doesn't take your ‘cash for keys,’ then you have to go through the eviction process.” — Rick Albert, Broker Associate with LAMERICA Real Estate, and investor/house hacker. Get a Second Opinion: "With every home, you want to do your due diligence—this rings especially true for foreclosed properties. If you are not allowed a formal inspection, then you want to find a local General Contractor to accompany you on your walkthrough. This way you'll have an idea of what costs could be needed.” — Brad, MBA, founder of 401HomeBuyers, a reputable house-buying firm.  

Guest Post by Victoria Araj Buying a house is a difficult, often lengthy, process that requires buyers to consider numerous logistical factors; all while dealing with the emotional stress of making one of the most significant financial transactions of their lives. For a buyer to get the best price on a home, it's extremely important they understand the makeup of the market. There used to be a very particular demographic majority of home buyers: married couples, often with children. The landscape has evolved through the years, however, and more single people are purchasing homes. In fact, single women purchase more homes than single men – though a Yale study revealed those women see a lower return on investment compared to men. This inequality is especially concerning when considering how this financial difference can play out later in life at retirement age. This disparity is known as the women’s housing gap. In this piece, we’ll cover what it is, why it may exist, why it’s significant, and how we can work to close it. What is the women’s housing gap? The women’s housing gap is the difference that single men and women see when buying and selling their homes. The Yale study revealed that single women pay about 2 percent more than men when buying a house, yet sell it for around 2 percent less. That’s an average of $1,600 per year that single women are losing out on, in comparison to their male counterparts in similar homes. The actual difference varies depending on the cost of the house and additional factors. Interestingly, the study showed no difference when women bought from and sold to other women. Possible reasons this gap exists  Some potential reasons that may explain this gap include differences in negotiation results and market timing, as well as looking at the wrong factors when evaluating the value of a home. A number of studies have found that women are less likely to negotiate. A more recent study challenges that idea — finding that even when women ask for just as much, or more than, men, they still receive less. This suggests that if women want to achieve equal or better results, they have to surpass their male counterparts through higher-caliber negotiation skills. The Yale study also suggested that single men had better market timing than single women, providing a better ROI on their home. It is important to note that women may not have as much flexibility when selecting a home if they happen to be single mothers. This group may end up overpaying for a property because they need to quickly provide shelter for their children. While this also applies to single fathers, single mothers outnumber their male counterparts in the United States, which could make it a factor to consider when evaluating this gap. Why it matters Property investments are one of the most frequently mentioned ways to build wealth. As a result, the lead Yale researcher also suggested this difference in real estate returns could contribute to the gender wealth accumulation gap at retirement age — which can affect quality of life and the ability to pay for increasing medical needs. We should be pushing for equity on every front. One of the best things women can do to improve their outcomes in the home buying arena is to educate themselves, so they can stand their ground and get the best value when purchasing their home and the highest price when selling.  10 tips to help decrease the gap   While no one can control another’s’ biases or actions, you must position yourself for the best chance of success by doing thorough research and working to improve negotiation skills. Here are 10 tips to help you achieve a more positive home buying experience and outcome: 1. Be familiar with your rights Know your rights so you can recognize when someone is engaging in discriminatory practices. Being able to identify this can protect you from being taken advantage of when buying a home. Rights vary by state, so you can visit your local Housing and Urban Development (HUD) site for more information. 2. Build your credit score  Improving your credit score can help you secure a great mortgage. It’s important to build good credit before applying for a loan so you can get the best interest rates. Lower interest rates will result in lower monthly payments and an improved cash flow. In order to improve your credit score, make payments on time, stick to a realistic budget, and look into credit repair services if needed. 3. Seek professional advice  Talking to a mortgage specialist can help you make informed decisions when buying a home. To make the most of their services, come prepared with mortgage questions such as “How much home can I afford?” and “What is the interest rate and the annual percentage rate?” Try writing out your list beforehand so you don’t forget any important questions. 4. Focus on investment potential, not aesthetics It’s easy to get caught up in a property’s appearance when you visit it or see a property online. Try to set that aside and consider whether the house can be renovated to boost its value. Disregard changeable things like wall color or kitchen counters and focus on elements like location, home safety and structural integrity.  5. Take statistics into account To discover the true value of a home, look beyond the home itself. When evaluating a home, consider the area’s job and population growth, unemployment rate, school district, and historic price increases for homes in the area. You’ll likely maximize your profits if you’re able to land a property while the neighborhood is still up and coming. Look at year-over-year changes as opposed to just viewing current stats. 6. Research comparable sales  Researching comparable properties can provide you with a better idea of a fair price for the house you’re looking at so you don’t overpay. You may even stumble upon better-valued properties that pique your interest. Look for properties of a similar size, location, number of rooms and big-ticket amenities (i.e. pool, over-sized garage, etc.). 7. Get a professional home inspection  Always pay for a professional home inspection. It will allow you to ascertain any existing issues. This helps you identify potential repair costs, allowing you to negotiate the sale price to account for serious repairs that need to be completed. Skipping or skimping on your inspection is not an option — those who have, deeply regretted doing so. 8. Understand the seller’s motivation  Understanding the seller’s motivation helps you tailor your negotiation tactics. Doing your research can provide you with information about how badly the owners want to sell and how much you can negotiate the price down. For example, try a public record search — you may discover insights into how quickly the seller is trying to move as well as the reason behind their relocation.  9. Use targeted negotiation tactics Equip yourself with a variety of negotiation tactics so you can adapt your strategy to fit the specific market, property, seller and their personal situation. Come prepared with your completed research of comparable listings, sales and exact numbers to show you’re informed. You should also know your max price ahead of time. Depending on the situation, you may want to start 15 percent below that top number. Consult with your real estate agent, who has detailed knowledge of the area, to decide the best negotiation strategy. Negotiation tactics to add to your tool kit: Tailor wording to the seller’s individual situation  Include a personal letter detailing why you would like the house Support your claims and offers with statistics and data Find ways to save money in places other than the house’s price Use home inspection findings to your advantage Begin negotiations around market value, not asking price Aim for a reduced price by offering to close quickly 10. Show you’re a serious buyer (but know when to walk away) Make it clear that you have the resources to purchase the home and are ready to act quickly. This can help expedite the home buying process. On the other hand, you don’t want to come across as too eager. It’s a fine line to walk because while you want to show that you are a serious buyer, you should also keep a healthy emotional distance. Be prepared to walk away from the home should the negotiations surpass what you’re willing to spend. Remember that there are other viable options out there! The bottom line The women’s housing gap can put women at a financial disadvantage and limit their opportunities. To combat this gap and achieve better outcomes, women should stay informed, conduct ample research, practice negotiating ahead of time, hold their ground, and know when to walk away. For more tips on home buying and information on the women’s housing gap, check out the visual below (provided by Rocket Mortgage):   Victoria Araj is a Section Editor for Quicken Loans and held roles in mortgage banking, public relations and more in her 15+ years with the company. She holds a bachelor’s degree in journalism with an emphasis in political science from Michigan State University, and a master’s degree in public administration from the University of Michigan.

Guest Post by G. Brian Davis If you've never bought a rental property before, it feels incredibly overwhelming. Between choosing a town and neighborhood, learning how to score good deals, analyzing cash flow, finding financing, advertising vacant units, screening tenants, signing lease agreements and beyond, there are a lot of moving parts. Rental investing comes with a steep learning curve, and new investors inevitably make mistakes. But in the beginning, focus on the fundamentals: the core investing skills that prevent you from losing money. That starts with knowing what to look for in a good rental property, both at the neighborhood level and the property level. Not all cities or neighborhoods make for profitable places to invest. Before buying properties in your local area by default, evaluate your local market carefully, and consider investing elsewhere if you don’t like what you find. 1. Low vacancy rates Vacancies are expensive for landlords. It sounds obvious, but you should look for cities and neighborhoods with strong demand for rental housing, so you don’t have trouble filling vacancies. In fact, the quality of your tenants largely determines the quality of your returns. The more rental applications you get for a vacant property, the better your odds of choosing a high-quality renter who will treat your property well, pay the rent on time, and stay long-term. You can check vacancy rates through the Census Bureau, but for the most up-to-date information, ask around among other landlords and property managers who operate in that city and neighborhood. Ask a professional real estate agent or property managers who operate in that city and neighborhood for rental reports. Ask them for data on vacancy rates, tenant turnover rates, days on market, and the quality and quantity of rental applications It helps if the area already sees strong demand, but you can also keep an eye on future demand. 2. Population growth Areas with healthy population growth indicate not only good demand right now, but growing demand moving forward. Again, you can check the Census Bureau, but also check other local resources for indications of population growth. Also keep an eye on job growth. Because where local economies thrive and generate new jobs, they draw workers from elsewhere, driving population growth and therefore demand for housing. You can find job growth data at the BLS. 3. Diverse job market with low unemployment With vibrant job growth comes low unemployment and reduced odds of rent defaults. Where residents are earning money, they can and do generally pay their rents. But beyond local unemployment rates, also look at the diversity of the local job market. If most of the town depends on one employer or industry, the entire economy of the town could collapse alongside them. Look no further than old steel mill towns in the rust belt, after steel largely moved overseas. Check resources like City Data or Area Vibes to read up on local cities’ economic diversity. Also consider investing in towns with military bases, as they tend to provide extremely stable employment and demand for housing. Resources like AHRN.com can help you specifically rent to military families. Here’s an interactive map showing unemployment rates by county for Spring 2020. Speaking as a landlord who spent years hassling with rental properties in high-crime areas, let me offer some simple advice: don’t do it. Sure, the rental cash flow numbers can look more attractive in these areas (more on cash flow calculation shortly). But those numbers exclude hidden costs like high crime rates. Crime affects landlords in multiple ways. Sometimes directly, in the form of vandalism or theft of your appliances or fixtures. But crime also drives away good tenants, leaving you with high vacancy rates and high turnover rates. And remember: the quality of your renters determines the quality of your returns! You can check local crime rates through City Data and Area Vibes as well. 4. Landlord-friendly regulations The local landlord-tenant laws play a greater role in your returns than you realize. I’ve had “professional tenants” draw out the eviction process to nearly a year, in one tenant-friendly jurisdiction. After a year without rents, I was left with a nearly-destroyed property. Invest in areas with laws that make it easy for you to remove tenants who damage your property, harass the neighbors, or break the law. The last place you want to find yourself is paying for your tenants to live for free for an entire year because the local landlord-tenant laws favor tenants so heavily that you can’t evict bad tenants. 5. Cash flow While you can stress endlessly about choosing properties with the most popular amenities at any given moment, keep it simple and look for properties that clearly meet local renters’ expectations. But physical amenities make up only one piece of the puzzle. Most important of all is learning how to calculate rental cash flow — a skill too many new investors gloss over. New investors tend to ignore infrequent-but-inevitable expenses like vacancy rate, repairs, maintenance, accounting costs, and so forth. But when you run cash flow numbers, you need to calculate the long-term average of all expenses, not just regular monthly expenses like the mortgage payment. Use a rental cash flow calculator to run the numbers, and be sure to include all expenses including: Repairs and maintenance Vacancy rate Property management fees (not just the monthly fee, but the new tenant placement fee too) Property taxes Property insurance Mortgage principal and interest Accounting, bookkeeping, legal, and other miscellaneous expenses For any given property, calculate both the monthly cash flow and the annual yield, in the form of cash-on-cash return. That refers to your net annual income divided by your personal investment, to calculate your personal return on investment. It is also recommended you create a line item expense called reserves. This allows you to save up funds on a monthly basis to be used at a later date for a big project, like replacing the roof, buying new appliances, or paying the mortgage when the property is vacant. Think of it like a rainy day fund for your rental property. To use simple numbers, imagine you put down $10,000 in a down payment and closing costs, and you earn $1,000 in net annual income from the property. That would leave you with a cash-on-cash return of 10 percent. When you know how to accurately calculate rental cash flow, you never make a bad investment again in your life, because you know the return before shelling out a cent. A good general rule of thumb is that if the monthly rental amount is equal to or greater than 1% of the purchase price, the property should provide a decent positive cash flow. 6. Manageable repairs Many real estate investors opt to buy fixer-uppers, in order to “force equity” by renovating them. It works great — for investors who know what they’re doing. But new investors don’t typically know what they’re doing, and often get themselves in over their heads with renovation projects. If you’ve never managed a renovation before, and want to buy a fixer-upper rather than a turnkey property in rent-ready condition, start with a property that needs only cosmetic repairs. You can work your way up to more complex mechanical repairs like replacing HVAC systems, or structural repairs like fire damage restoration, which usually require you to pull permits. But start with cosmetic repairs only. That lets you build experience hiring, screening, and managing contractors, which proves one of the most difficult tasks that real estate investors undertake. Start with smaller-scale projects to limit costly mistakes. As you develop confidence and trust with certain contractors, you can then gradually start tackling larger renovation projects. But keep it simple in the beginning, while you learn the ropes of real estate investing. Begin your rental investing career focusing on the fundamentals, and you’ll avoid the costly mistakes that so many new investors make! G. Brian Davis is a real estate investor and co-founder of SparkRental.com, which helps everyday people build passive income from rental properties on the side of their full-time jobs. Brian’s goal is simple: to help as many people as he can reach financial independence, so they can cover their living expense entirely with rental income. Connect with him through SparkRental at any time.

Read more about NBKC's home loans. Read Full ReviewVisit Site NBKC has earned the title as the best mortgage lender of 2020, standing out among 156 other home loan companies. To be ranked as one of the top mortgage lenders, a company needs to separate itself from the competition from a number of different vantage points — NBKC does just that. NBKC thrives when it comes to customer service and care, with an overall rating of 4.9/5.0 stars from hundreds of its customers. Director of Mortgage at NBKC, Chad Cronk, highlights three more unique characteristics that have contributed to NBKC's success in the eyes of its customers: "There is one point of contact throughout the entire process and an entire team behind the scenes.  We leverage the latest technology to save our customers time and money. Customers receive highly competitive rates and fees." Check out the infographic below to see why NBKC has earned the Consumer's Choice Award for home loans in 2020!  Take some time to explore this awesome home loan company if you are currently on the hunt to buy or refinance a house. Read more about NBKC's home loans. Read Full ReviewVisit Site  

If you find yourself twiddling your thumbs with extra time spent at home, perhaps you need a small push to help make your days at home more meaningful and productive. Cleaning, organizing, and DIYing offer endless at-home activities to help keep your mental and physical spirits high. Below are 17 ideas to help you fill your spare time with some meaningful activities. Master organizing tips In-home projects DIY cleaning hacks Outdoor projects 18 bonus self-care tips Master organizing tips 1. Organize messy areas Jenna Haefelin, professional organizer and owner of SPIFF: "Now is the time to purge! Trust me, you’ll want to after sitting home for a while! Try tidying up sink cabinets, closets, and your pantry: Under the sink — Clear out what you don’t need — move excess items, if you have any, in the basement or a cleaning closet. Organize the remaining ítems with stacking drawer options and turntables. Keep it simple and label!  Closet — Matching hangers are a must! Place a quick online order for some hangers, 100+ are usually sufficient. Fold items that lay nicely (ex: chunky sweaters and jeans, not flimsy shirts) and hang up the rest. If you only have shelving, invest in some lined baskets with labels — file fold your clothes, color coordinated, so you can easily see what you have. Pantry — Stackable canister options mixed with baskets is my go to for the pantry. Consider what is functional for you and your home. For example, kids snacks would be more accessible in baskets vs a canister."  2. Declutter cramped spaces Vinay Amin, health expert and CEO of Eu Natural: "Now is the perfect time to get to all those little annoying projects done that you only remember when you are in the middle of something else. That cluttered space in: The kitchen junk drawer Under the bathroom sink The top shelf of the hall closet The spice containers — are all the perfect fodder for your new found extra time at home. Bonus: If you have already tackled those cluttered areas, I would suggest trying out new and different furniture/room/decor arrangements. You may not be able to obtain supplies for other DIY projects, but you already have everything you need to simply try out a new look in your living room or home office." Better yet, don’t let those areas keep piling up as commonly cluttered areas. Make it a daily, weekly, or monthly habit to regular keep these areas clean and neat. 3. Working from home? Take a second look at your desk Sofia Wilson, CEO of Daily Detox Hacks: "Ask yourself, 'What will have the most impact?' For me, my answer was my living environment. I had been busy and my house had become neglected with excess clutter. I started a project to declutter my desk and I felt great after, increasing my productivity with my newly organized desk space. The great thing about this type of action is that you feel great afterward and it really does not cost much to reorganize and find a home for you excess things. I recommend using containers that you already own before you give into the urge to buy more containers." 4. Good, better, best: Closet edition Abe Navas, general manager of house cleaning service Emily's Maids: "Do you feel like your closet is never quite tidy enough?  Shoes tend to make closets feel especially messy. If you are the kind that has many shoes, then let’s start there — I have the perfect DIY solution for decluttering your closet, a DIY shoe shelf. Stop putting your shoes one on top of the other. A shelf is easy to create, very customizable, and a fun project that you could extend to a couple of weeks. Take the opportunity to rearrange your closet to be more space-efficient with your new, custom shoe rack.” 5. Know when it’s time to let go Amanda Clark, owner of full-service home organizing company Ever So Organized: "When deciding what items to let go during your closet purge, ask yourself these questions: When was the last time this was worn? If it's been over a year, it's time to let it go.  Would I purchase this again if given the choice?  Would I want to run into an ex while wearing this?  Not willing to leave the house for a Goodwill run right now? Also, take some time to really go through your clothes and shoes to see what you don’t need. Most people wear 20% of their clothes and shoes 80% of the time. Find those 80% of items you don’t often use and either sell or donate them. Instead, order a free bag from ThredUp. You fill it up and leave it out for your USPS carrier to pick it up. ThredUp will pay you for items they sell and donate the rest for you. Win, win!"  In-home projects 6. Bring the outdoors in Matt Daigle, CEO and founder of home improvement company Rise: "Ever wonder why windows and plants make you so happy? Apparently it's only natural that humans look to nature, hence the love of biophilic design in the home. Here are some easy ways to boost your mood by bringing the outdoors in: Add plants, plants, and more plants in your home! Succulents are easy in-home plants. Plants help filter the air in your house and can make your home smell better too. Improve your view of the outside by granting more access to your windows — remove obstructions like furniture and unnecessary wall coverings. Build your next shelf, table, or accent wall with natural materials like wood or stone. The sound of water makes us happy. Making a small indoor water fountain is a very quick one-day project."  7. Write a meaningful note Heidi Bender, owner and blogger for company Tons of Thanks: "To help past the time, I suggest writing thank-you notes. Focusing on gratitude and sharing those feelings with others can be a very positive distraction. Start by making lists of what you are grateful for as a way to help you identify who exactly you want to thank. Who keeps showing up in your list and needs to hear words of gratitude and appreciation from you?"  Buy a box of 50 standard thank you cards and envelopes every month. Make it a goal to write and mail two thank you cards every business day of the month. Write a card to whomever you are thankful for: friends, family, coworkers, clients, or a random connection. People will absolutely open (and most likely keep!) a handwritten, mailed thank you card. 8. Reuse wicker baskets Channa Alvarez, interior designer at Living Spaces: "There’s just something about wicker storage baskets that infuses a space with so much character. If you have a set of old baskets you want to recycle and give new life to, try painting them with a color that matches your room. With wicker baskets you can create a stylish and practical storage solution that can add a layer of color and texture to a room while helping you stay tidy." 9. Sleep a little sounder Matt Clayton, founder of Pet Hair Patrol: "Being stuck at home is a great opportunity to make sure your bed is clean and hygienic — especially for the 68 percent of U.S. households that own a pet! Soley washing the bed linens is not enough. All the sweat, dirt, and dander penetrates all the fabrics on your bed and ends up in your pillow, mattress, and comforter as well. To ensure maximize bed cleaning, I recommend the following: Vacuum your mattress Toss your pillow and comforter into the washing machine, if possible Use the dryer to remove more dust and dander Having a clean bed will help you sleep like a baby and promote your well-being!" There’s nothing better than the feeling of falling asleep in bed on clean sheets day.  10. Easy bathroom renovation project Lisa Torelli-Sauer, editor of home investment website Sensible Digs: "Replacing old and discolored grout can upgrade the appearance of your bathroom or shower within a week's time. Replacing stained/damaged grout can not only make a dingy bathroom shine, it can also prevent water damage in your home. When water seeps through run-down grout, it can cause serious damage to the floor beneath your tiles. Grout replacement only requires a few tools and supplies, plus it is not a very difficult task to complete. You will need the following supplies:  Grout (either ready-made or powdered) Grout saw Grout float or spreader Grout finisher A few soft cloths or rags A large sponge A bucket Be sure to let the grout dry for at least 24 hours before you use the wet spaces again to ensure the maximum hold on the grout. DIY cleaning hacks 11. Make your own cleaning products Jennifer Willy, Editor of travel company Etia: "DIY cleaning products consist of on-hand ingredients that can most likely be found in your pantry. For a natural, all-purpose cleaner all you need to do is mix the ingredients below: One part of white vinegar One part water Lemon rind and rosemary sprigs (simply for smell) Then pour the mixture into a spray bottle and let the concoction sit for a week before using.  After a week, you can use this to remove hard water stains, clean trash cans, wall smudges, and much more.  Bonus: If you want to make a homemade glass cleaner, the process is very similar. This mixture requires: 2 cups of water 1/2 cup of white/cider vinegar 1/4 cup of rubbing alcohol with 70% concentration Like the above-mentioned DIY cleaner, mix the ingredients together and pour it into a spray bottle."  12. Give your couch a deep clean Joshua Miller, Director of Technical Training at Rainbow International Restoration: "Furniture is often the culprit behind persistent unpleasant smells in the home, as upholstery often retains odors from past stains. If the upholstery can be cleaned with water, use a water-based solution for the simplest and fastest option.  1. Clean the spots with an easy, homemade mixture of: 1 oz. dishwashing detergent 12 oz. water 2. Blot to dry.  3. Add to spray bottle: 5–10 drops of essential oil (lavender can be a great choice here) in the spray bottle 1 cup of water  4. Spray and saturate the stained area with the solution. The oils will help eliminate the odor and leave a pleasant scent behind. Pretest solution in an inconspicuous location and allow to dry to test for colorfastness before using on the rest of the upholstery." 13. Scrub-a-dub-dub your tub Erin Ford, writer for travel website Hotels4Teams: “I’ve tried every cleaning supply that I could get my hands on in an attempt to get the tub white and shiny again. No matter what I used, nothing seemed to work. That's until I discovered this immensely simple, two-ingredient bathtub cleaner: Mix equal parts warmed-up white vinegar to dish soap Pour evenly on the bottom of your tub.  Let the mixture sit for at least an hour When you wipe it up, it easily eradicates all soap scum! When I first found this cleaning hack on Pinterest, I thought it was too good to be true. But ever since I started using it, I haven't looked back. With this mixture around, you can bet I have a clean tub to relax in.”  Outdoor Projects 14. Try out your green thumb Shawn Breyer, owner of Atlanta House Buyers: Head to your local nursery to try out your green thumb.Going to the local nursery not only lets you support small businesses in your community, they also provide better service and lower prices than the big box stores. "When you are buying plants for your home, make sure that it suits your lifestyle: If you have bad allergies, don't buy flowering plants, but do buy air purifying plants.  If your home is dark because you keep your blinds shut then don't buy plants that need full sun. Buy plants that thrive in the shade.  No matter what your lifestyle is, you can find plants that can enhance your life and wellbeing.  If you have old plants that have not received new soil in one to three years, then consider buying larger pots for them and re-soil the plants. As old soil runs out of nutrients, the plants will stop growing. Plants can outgrow their containers as well. Giving a plant a larger container and new soil can allow it to be more healthy and grow larger." Don’t have a green thumb at all? Not to worry! Try something quick and easy like adding fresh mulch to an existing flower or garden bed. 15. Give the earth some love Brent Campton, director of partnerships at recycling company Hillside: “In the same way that people are thinking about how to have more resilient practices at home like water filters and bidets, starting a composting pile is a great family activity that will also support the planet.  As long as you have space in your backyard, there’s a way to do it without spending a dime, without any smells or bugs (apart from your curious dog), and with things you have already laying around the home. Check out this great video for a step-by-step process on how to start composting in your backyard.”  A great tip to make composting even easier is to have a dedicated box or container in your kitchen - preferably somewhere that’s out the way - that allows you to collect your kitchen composting materials. That way, you can collect your leftovers and scraps over a period of a few days and make one trip to the compositing piling, without having to go outside every time you have leftovers. 16. Spring-clean the exterior of your home Sara Bendrick, landscape contractor, author, and TV personality for STIHL: “Homeowners and renters should head outside for a few minutes a day to exert some control over their outdoor spaces. Working outside has proven therapeutic benefits, and it’s the perfect time to do some of those outdoor tasks. Below are five garden tasks that you can start tackling today: Clean your gutters Pressure wash Clear weeds and debris Get planting Start composting" 17. At-Home pest prevention Arrow Exterminators team, pest control company: “Pest-proofing the home does not always have to be a professional endeavour. Below I've provided a list of activities people can do from the comfort of their own home in order to prevent pests as the weather changes: Kitchen: Do a quick inventory of food and make sure everything is stored in airtight containers Bedrooms and bathrooms:  Run fans and dehumidifiers to eliminate damp conditions Living spaces:  Wipe down and clean the furniture Give the family pet a bath and ensure their flea and tick prevention is current  Garage:  Reorganize seasonal items in airtight plastic storage bins, storing them off the floor if possible Sweep or blow dirt and debris out of the garage as much as possible. Dust, dirt, grass, and all sorts of things accumulate on your garage floor. Outdoors:  Seal all cracks and small openings around the foundation of the home, including entry points for wires and pipes Eliminate sources of standing water and moisture Clean (and keep clean) garbage collection areas and ensure all receptacles are tightly closed Trim back branches and shrubbery away from the house" Bonus: 18 self-care tips In addition, here are 18 quick bonus tips provided by Liana Pavane, digital wellness coach and founder of TTYL. Here she gives an array of ideas on how to spend your time at home. This list will inspire you take care of yourself — mentally, physically, and emotionally: Get fresh air as much as possible, even if it's just for a walk around the block or sitting on your balcony/backyard if you have one. Keep your body active by going outside for a walk, run, or even following a YouTube workout video. Have an indoor cycling bike? Even better. Keep a schedule for yourself and keep up with your normal routines. Don't allow yourself to sleep in too much or binge too much as a means of distraction. Put upbeat music on and have your own dance party! Break out a sheet of blank paper (or coloring book if you have one) and doodle your heart out. Download a meditation app (like Insight Timer or Headspace) and hold space for yourself. Create a vision board with old magazines. Declutter/organize your space! Giveaway clothes and throw out unnecessary items. Practice a foreign language for 10 minutes a day. Read a new book (or a few!) Start a giant puzzle. Go around your house and order anything that needs replacing/fixing. Write out your fears to get them off your chest, read them, and rip them up. Light a candle and take a hot bath (bubbles optional!) Have a FaceTime sesh with all your family or friends (maybe try Zoom!) If you have roommates, have a game night! Make a decadent meal for yourself that you never had time to do before. Sleep! Catch up on those zzzz's

It is no secret that Accessory Dwelling Units (ADUs) are popping up all over, especially in areas where the population is growing rapidly, such as in the south or on the west coast. Homeowners who are looking to make passive income, expand their square footage, or host friends and family are turning to ADUs as a way to address these pain points.   Even though there has been a huge rise in popularity, many people who may be interested in exploring the possibilities of ADUs may feel intimidated by the perceived ambiguity in the industry. Maybe this sounds like you? We've asked experts in the real estate and mortgages industry to answer your questions about the following ADU basics: What is an ADU? What are ADUs used for? How much does an ADU cost? How can ADUs provide additional income? What are ADU pros and cons? Bonus: Testimonial of a ADU homeowner/real estate broker 1. What is an ADU? An Accessory Dwelling Unit, or ADU, is a secondary unit either attached or detached to a single-family home. ADUs typically tap into the utilities of the primary house located on the same property. For a space to be considered an ADU it must have its own kitchen, living area/bedroom, and a private entrance. Common ways to refer to an ADU may be an in-law unit, secondary dwelling unit, guest house, granny flat, pool house, converted garage, etc.  While standard ADUs can vary in square footage, a homeowner may choose to create a Junior Accessory Dwelling Unit (JADU), which is a living unit with a maximum of 500 square feet, generally converted from within the walls of the primary residence. A Junior ADU may include a small kitchen and usually have interior access to the primary home. Given the liberalization of ADU permitting across the West Coast, professionals in the housing market, such as Unison, expects the number of ADU units to grow over the coming months and years. Renters want the housing, and homeowners want the income and flexible living to help combat the housing crisis. Building an ADU is one way that people are attempting to combat the housing crisis. 2. What are ADUs used for? Accessory dwelling units work so well because their use is flexible. Real estate experts Brian Davis and Paul Dashevsky give a comprehensive list of what ADUs are typically used for: Guest space In-law unit Adult child housing Long-term rental housing Short-term Airbnb-style rental housing Fitness studio Home office Home for returning college kids Additional source of income onto a rental property Even folks looking to help pay for reitrement are turning to ADUs as an option. Dashevsky observes that the industry is seeing more "seniors build ADUs with the intention of moving into the ADU and are renting out their main houses as a source of income to finance their retirement." The options go as far as your unique situation and imagination. The purpose and utility of your ADU does not have to remain stagnant; it can transform overtime to meet your circumstances. Perhaps your ADU starts as an office space, but then turns into a rental property. Whether you are wanting extra space, extra income, or both, there is a lot of initial appeal attached with ADUs. However, how you're going to use the space could influence whether or not you create a detached ADU or an attached ADU. For example, renters may appreciate some extra privacy, so if your intention is to rent then a detached ADU could be a good choice, whereas an attached ADU could perhaps serve your purposes otherwise. 3. How much does an ADU cost? The general estimate is that an ADU will cost typically around $100,000-$140,000, although this cost could extend up to $180,000. The cost however will vary greatly by region, labor expenses, square footage, materials etc. For example, in regions where the cost of living is more expensive, like California, the average cost per ADU tends to be more expensive. Dashevksy explains that, "in Los Angeles, you can expect costs to average about $300-$400 per square foot; so a new 500 square foot one-bedroom ADU might cost $150,000-$200,000." It is important to note that besides the general geographical location of your property, the cost of labor is the second most varying cost factor to take into consideration. The bulk of your money will be going to pay contractors and laborers. If you are looking to cut costs, consider the opportunity cost of taking the time to do some of the labor yourself that doesn't require specialty training. Another way to cut the cost of labor is to buy prefabricated ADUs. Prefabricated ADUs are built in a highly streamlined, factory-like process, similar to how products are developed by an assembly line. While prefabricated ADUs will help to mitigate the cost of labor, you will lack major customizable elements. ADU expert Davis adds that, "the cost (of a prefabricated ADU) can range anywhere from $15,000 kits on Amazon up to $100,000 or more for custom stick-built structures."  Davis continues, "Whether your ADU is more high end or not, given their popularity and income potential, ADUs often pay for themselves relatively quickly if you rent them out. Sometimes the income from them can cover these costs within a few years. And they often add instant equity, as the value of your property spikes upward given its extra living space and income potential."  Contact your local real estate agent or contractor for a better understanding of what an ADU may cost to construct in your neighborhood on your property.  4. How can ADUs provide additional income? One of the most appealing things about an ADU is the income potential. Some people build an ADU with the intention of renting it out to others, some consider building an ADU to live in themselves, then rent out their main house as a way to both downsize and provide a steady source of income. Davis explains this additional income source as house hacking: "Homeowners who rent out their ADU, whether long-term or to short-term vacationers, add an income stream to cover some or all of their housing costs. It’s a strategy known as house hacking — finding a way to reduce/eliminate your housing costs through someone else paying them.”  This sounds great, but maybe you're a bit skeptical about how easy it is to actually rent out an ADU? Real estate expert Connie Heintz  dives into the appeal of ADUs from a potential renter's point of view. "Because an ADU is an entire dwelling space, you can easily rent it out for additional income as a home, but charge accordingly. You might take a few hundred off the price because it’s on your property, so your renters won’t have the privacy that they’d get from having a property to themselves. But in most places, the cost of rent will still pay for the cost of the ADU in less than a decade. If you do plan on renting out your ADU, I recommend not to attach it to your house. As long as you have the space for a standalone unit, it’s a much better option. You’ll save some money because you won’t have to pay to attach it to your house, but renters are likely to pay more for it because they’ll have extra privacy.”  If you price your ADU according to the size and privacy restraints that often are characterized by ADUs then yes, renting out your ADU is a very appealing option for many renters. Think newlyweds, single professionals, or even empty nesters as prime renter candidates. 5. What are ADU pros and cons? If an ADU sounds like a potential solution to your situation, consider weighing these basic characteristics as you begin looking into building an ADU more seriously: ADU Pros ADU Cons Endless potential uses to the space Increases property value Improves housing affordability Can function as a source of passive income Nearby utilities to tap into (water/sewer/gas/electric) Property taxes may increase Possible issues with renters and maintenance Diminishes privacy Not all jurisdictions or homeowners associations allow ADUs Prone to NIMBYism Issues of zoning, permits, and property laws seem to be the biggest roadblock that homeowners face when trying to build an ADU. Heintz warns that “the downsides of ADUs are mostly related to insurance and zoning laws, which can vary greatly by state, county, or neighborhood. There are all kinds of rules and regulations related to adding structures onto your property. For example, if you add a standalone unit, you might also have to add parking for another car. This is common in some areas, so you should do your research before you commit to building an ADU.”  In addition, if you decide to rent out your space, short or long-term, you take on the role of becoming a landlord. You are now responsible to pay for any damages that renters may cause to the space, as well as relinquish a bit of your privacy to your close ADU renters. Whether you are running a short-term Airbnb-style rental or a long-term rental, the stress and lack of control that is common with the role of a landlord can be a major deterrent for many. Bonus: Testimonial of an ADU homeowner/real estate broker Broker, investor, and house hacker in Los Angeles, Rick Albert, is not only a real estate expert but an ADU owner and dweller himself. He shares below his unique perspective on turning his garage into a converted ADU. “The main reason I own and live in an ADU unit is because it offsets the cost. By living in the ADU and renting out the main house, 69.5 percent of my mortgage, property taxes, and insurance is covered by the tenant.  In an expensive city like Los Angeles, it is a creative way to make it work. The cost is up to about $100,000 for our garage conversion. You are spending close to $10,000 alone on permits, architectural fees, engineering, and utility fees before even touching the garage. I am the only one out of everyone I know that is actually living in the ADU. Otherwise, everyone I know is renting theirs out.   The major pro is the rental potential. I know people who are renting out their converted garages as ADUs for anywhere from about $1,500 to almost $2,200 per month depending on location. The main con, besides lack of storage, is making sure that you do the conversion right. This includes no windows facing the main house, adding washer/dryer hook ups, and creating a yard space for the unit.  When these things lack, it makes it tougher to rent out for a good price. This is especially true for studios, because you may get higher turnover versus a true one to three bedroom place.”   The bottom line If you are looking for additional space and/or income, building an ADU is worth looking into. Download our free ADU guide to help you decide whether or not an ADU is right for you. Another mainstream trend in the affordable housing market is the rise of tiny homes. Tiny homes are an up and coming solution to the housing affordability crisis as well. Check out this article if you're interested in finding other non-traditional ways to make your housing more affordable.   Expert Contributors:  Paul Dashevsky, co-founder of GreatBuildz, a Los Angeles-based free service that simplifies the contractor search by directly connecting homeowners with reliable renovation contractors. Rick Albert, Broker Associate with LAMERICA Real Estate, and investor/house hacker in Los Angeles.  Connie Heintz, real estate agent working in Toronto and founder of DIYoffer. Brian Davis, real estate investor and co-founder at Spark Rental, where we focus on financial independence, personal finance, real estate investing, and passive income.  

Guest Post by Ben Mizes Whether you're selling your home, or just looking to freshen up your living space, paint is one of the easiest and most cost-effective ways to do it. And while you may be tempted to set yourself apart by choosing a zany color for an accent wall, you might want to think twice. Neutral colors can help the aesthetic of your home transform into a timeless, spacious, and attractive space. Before you consider painting your bathroom candy-apple red, consider these four paint-like-a-pro tips below to help steer you in the right direction. Instead of going wild with paint, amp up your space by using pops of your favorite colors in other features — like a bold lamp, bright shower curtain, or fun wall art. This way, when you’re two months in and aren’t as in love with the shade, it’s easy to swap out. Not to mention that if you decide to sell later down the road, that’s one less item to add to your to-do list. If you’re painting multiple rooms and areas, consider how the colors may work in tandem. By using the same paint color in adjoining rooms — like a dining room that leads into a living room — you can create the illusion of a roomier space. You can also use paint color to play up accent features or hide flaws. If you have gorgeous crown molding or sparkling wood floors, choose a contrasting color that makes these features stand out with a darker (but not too dark!) color. On the other hand, if your baseboards are in need of some TLC, it's best to stick with a light neutral that keeps them playing second fiddle. Keep in mind that if you’re painting to sell, buyers generally prefer some variety (in neutral shades, of course) from room to room. Also carefully consider the lighting in each room when choosing how light or dark to go. Light shades are generally best for small bathrooms, while you may get away with a dark navy as an accent wall in a bedroom if the space is well-lit. There are different types of paint finishings: flat, eggshell, semigloss, and gloss. Each finish has different pros and cons, and each finish may make the color of the paint appear different Still not convinced that neutrals are the best accessories to your walls? Here is a quick list of some of the best neutrals to paint the interior of your home. White — bright and clean It doesn’t get more neutral than white! Painting your interior walls white gives everything a fresh, clean feel and can work wonders for brightening up your space. Not to mention that if you’re looking to sell your home in the near future, white gives potential buyers the feeling of a blank slate and a fresh start. They may keep the white or can easily paint over with another color with not too much effort. While you may think white is just white, there are endless shades — pure white, off white, simply white, and white with cool or warm tones. Especially if you have other features in your home you’re not looking to replace, but would like to neutralize (a wood banister or eccentric tile) white is the way to go.  A word of caution: While you may be tempted to give your kitchen a fresh feeling by painting it white, it can be hard to keep this high-traffic area of your home clean. You may be better served choosing a gray-blue for your kitchen. You’ll still have the brightness, without having the headache of trying to keep the walls pristine. Same goes for bathrooms. Consider using an eggshell finish on your paint in these places that are often used and in need of constant cleaning. Gray — sophisticated Gray brings an air of elegance and sophistication to any space. Since gray matches any accent color, it can be a great complement to louder pops of color in decorations or furniture fabrics. Interior designers rely on gray because of its versatility and timelessness, especially in well-used and often-seen areas like living or dining rooms. For a subtle warmth, consider a “greige” tone — a mixture of gray and beige. This pairs nicely with any accent color since it can be warm or cool depending on the colors presented around it. Greiges look especially nice with white trim. Got a wall with a lot of bumps and imperfections? Try using a flat paint finish. That will hide a lot of those imperfections. Brown — warm and inviting Brown can be warm, cozy, and inviting. But, we’re not necessarily talking about crayon-color brown — more like a medium tan or beige, unless you’re using a darker shade for an accent wall. Browns also pair well with white trim and accents, but if your trim is already a wood color, the two shades of brown may not play well together. No matter what shade, generally it’s best to keep browns to large areas like living rooms or basements. Steer clear of them for dining rooms or bathrooms. Gray-Blue — refreshing Gray-blue is a great neutral, particularly for bathrooms. This soft, refreshing color is light enough to keep the room bright (especially important in a small bathroom), but dark enough to hide scuffs and stains from lots of use. According to a Zillow study, homes with a gray-blue tint on bathroom walls sold for an average of $2,786 more than a white bathroom. You, or whoever buys your home in the future, can be inspired by enjoying soft, ocean-inspired walls each morning as you get ready in your serene, peaceful oasis. Gray-blues are also great for kitchens — increasing a home’s price by an average of $1,800 according to another Zillow study. Blue — calm and organized If all other features of your living room are white or neutral, a nice, strong blue or even a navy may be the way to go. While often overlooked as a neutral, blues can bring a calm, organized feel to a room. Blues are great for dining rooms, especially if you have white trim and are a fan of the clean, formal look. The same two Zillow studies mentioned above also found that dining rooms painted blue generate almost $2,000 more when the home is sold and homes that featured light blue bathrooms sold for $5,440 more than anticipated. Ben Mizes is the Cofounder and CEO of Clever Real Estate, the free online service that connects you with top Real Estate Agents who can help you save thousands on commission. Ben is also an active real estate investor with 22 units in St. Louis, and a licensed Real Estate Agent in the State of Missouri.

Guest Post by Robyn Flint For many homeowners, there will come a time when they consider purging their belongings and buying a smaller home. Often times this is true for those who are retired or who are about to retire. But is that the only good time to downsize? Should you consider buying something like a mobile home or even a tiny house while you’re still in the prime of your life? There are many reasons for wanting to downsize and many benefits to living smaller. One of the greatest benefits is the potential for positive financial gains. Another is the process of finally decluttering. Regardless of your reasons, here are some considerations that make the case for why downsizing could be your best move. Accept the empty nest You may be able to relate: You’re sitting at home staring at the mess and dreading the task of cleaning up. You start second-guessing the decision to purchase a larger home.  Maybe you are experiencing an empty nest. You no longer need four bedrooms and three bathrooms. You may have brilliant ideas for turning the empty rooms into a gym or home office, but in reality, the rooms will probably become catch-all rooms for the clutter.  You may be at the point of retirement. The thought of caring for a large home seems daunting. Maybe new health concerns are knocking at the door and decisions need to be made to prepare. Downsizing may be the first step in preparing for a healthy and peaceful retirement.  → Pro tip: Regardless of your current situation, the constant clutter and collection of dust bunnies taking over the unused space in your home may signal the time to downsize. Let go of the junk There is more to downsizing than just decreasing the square footage of a home. Purging the junk is also a satisfying feeling. Nothing can close the walls in more than piles of unused junk. You don’t have to be a hoarder to know that feeling.  → Pro tip: A good rule of thumb is if you haven’t used it in the last year, you don’t need it. If an item in your home is so worn out that it no longer functions, it no longer has a purpose in your home. Trash it or donate it.  If you have more than enough of an item to meet your needs realistically, then get rid of the rest. Consider what your family uses every day and what you can really live without. Decluttering is a great feeling and can also relieve the stress caused by messy homes. The real reason for purging junk is to see just how much of your house is empty once the clutter is gone. The empty unused rooms are now wasted space and could be costing you wasted income. Plus you won’t have to waste money on storage units. 6 Quick tips to help you downsize: 1. Hire a pro: To many, the process of downsizing their homes is easier said than done. If you find yourself in this group, the benefits of hiring a professional can never be overemphasized. A professional in this field can help get moving very quickly. 2. Get your furniture right: Downsizing could bring up a lot of emotions because it’s the time you have to let go of some of the things you hold dear. Visualize your future space, then see how you can replace the larger furniture with smaller, more compact pieces.  3. Repurpose and give: There is joy in giving. Plus, what’s more fulfilling than knowing that the stuff you gave away is used and loved? While it’s okay to hang on to some things with sentimental value, you can let go of other pieces to be loved by others.   4. Digitalize where possible: It’s normal to find stacks of papers kept in cabinets around your house. These could be old documents, books, files, etc. You can choose to scan vital documents for future reference and then discard the less needed items.   5. Tidy up: After you identify the things you want to move, make sure that these items are grouped in an orderly way. Similar items should be grouped together with labels to identify them. If you want a hassle-free transition to your new home, don’t procrastinate this step until moving time.(Tips brought to you by Alex Romanov, co-founder of a real estate investment company in Seattle, Washington.) Enjoy the savings There are many benefits to downsizing. There’s peace of mind, less to take care of, and less clutter to take care of. But the most beneficial perk of going smaller is the savings you will see in your bank account and the ability to have financial freedom without something like a reverse mortgage. A smaller home also usually means a smaller mortgage or even none at all. Your monthly mortgage payments will decrease, leaving you more money in your bank account. → Pro tip: With a smaller mortgage payment, you may also see a decrease in your property tax and home maintenance expenses. Who doesn’t want that? Larger homes are harder to heat and cool. It doesn’t matter what type of systems you have in your home, the size of the home will determine the cost. In addition to heating and cooling, electric bills and water bills are generally more expensive for larger homes. In a smaller home, the costs will generally decrease for utility bills. Smaller properties also bring savings. Smaller properties cost less to maintain. Large parcels of land require costly maintenance such as mowing, landscaping, and tree trimming. We won’t even cover the cost of maintaining farmland. But if you no longer use your land or acreage the way it was intended, it may be time to downsize. Expect financial gains If you are looking for positive financial reasons that justify buying a larger home, there doesn’t seem to be many. Financially speaking, smaller is better. The savings come from many areas including mortgage savings, tax savings, and an overall decrease in maintenance and utility costs. You may also find that selling your larger home means you won’t have to forsake the equity you’ve built over time. With extra money in the bank, there is more financial security, especially for retirees with limited income. More money means more investment potential. Those extra savings each month can go to work for you. → Pro tip: Talk with your financial advisor to help you maximize your investment potential based on your needs and goals.  Robyn Flint writes for MobileHomeInsuranceQuotes.org. She is also an entrepreneur, owning three small businesses including a real estate rehab company. She is a licensed realtor, freelance writer, and published author.

A new year is fast approaching, which means it’s time to make your New Year’s resolutions.  Among your goals to exercise more, binge-watch less, and take time for meditation, don’t forget about those home improvement projects you’ve had on the back burner for years now. It can be easy to let your home improvement plans fall by the wayside — they can be expensive and time consuming. But why live one more year disliking and complaining about features in your home? Instead of putting your home improvements off until it comes time to sell, make some plans and enjoy the improvements yourself! Home Improvement Guide & Workbook Tackle home improvement plans by choosing some small tasks and prioritizing them with a helpful chart and budget. Download We've teamed up with Utah realtor Laurie Stauffer (@MsLKS) to identify the top New Year’s resolutions your house wants you to make this year as well as a panel of productivity experts to share their best motivational tips for making changes happen.  Make an extra mortgage payment Weight loss is a common New Year’s resolution for Americans, providing an interesting paradigm in which to view your mortgage. “To take some of the weight off of homeownership, make one extra mortgage payment this year — and every year,” Stauffer advises.  Consider this: If you can pay half of your mortgage payment every two weeks, rather than paying monthly, that results in 26 half-payments — which equals 13 full monthly payments each year. That extra payment can knock eight years off a 30-year mortgage, depending on the loan's interest rate, saving you tens of thousands of dollars over the life of the mortgage.  Stauffer explains that it may not sound like a lot up front, but any direct principal payment is basically putting equity directly into your pocket. It’s a big return on a small investment.  To switch to biweekly mortgage payments, first make sure your loan doesn’t have a penalty for prepaying your mortgage. If it doesn’t, switching your payment schedule may be as simple as asking your lender or loan servicer to alter your current payment plan accordingly.  If there’s not a biweekly payment option, you can make an extra mortgage payment each year by dividing your monthly mortgage payment by 12 and adding that additional amount to each of your monthly payments to amount to an additional full payment by the end of the year. Or, you can make one lump sum mortgage payment, perhaps with a tax return or bonus.  Check easy-to-do tasks off your list Stauffer recommends prioritizing simple, safety-enhancing maintenance tasks such as replacing smoke detector batteries and purchasing separate C02 detectors.  “So many smoke detectors and carbon monoxide detectors are conveniently combined into one device,” Stauffer explains, “but the problem is, smoke rises, and C02 falls.” For optimal safety, place your C02 detectors no higher than bed level.    Here are a few other simple tasks you can complete in less than an hour:  Change air filters Install weatherstripping on doors and windows Apply WD-40 to squeaky hinges Update cabinet and drawer hardware Paint or update outlet and switch plate covers Shampoo carpet in one or more rooms Wipe down cabinets and appliances Vacuum and wash baseboards While these tasks might not contribute to the new vanity and bathtub you’d like, they can help you feel like you’re making some improvements, perhaps keeping you motivated to tackle bigger projects. Service your HVAC system Heating, ventilation, and air conditioning (HVAC) is one of the most expensive home systems to replace, so it’s imperative to have it checked and serviced regularly. Stauffer advises ensuring it’s working at full efficiency to get the best performance and to get the most out of it for years to come. In addition to changing filters monthly, make sure your air conditioner compressor is sitting level to avoid wear and tear.  Schedule a time to have a professional clean/service and test your system annually. This will run you anywhere from $59–$150, depending on your area, a small price to pay versus replacing components or even your whole system. Plus, your annual check-up may even be free with a certain provider, depending on the purchase agreement of the homeowner who bought the system.  Make simple DIY upgrades to rooms In the kitchen, consider organizing your pantry, which may include installing a new shelving system. This will minimize clutter, making space for the foods you actually want to eat and cook with. You might also update light fixtures and install a backsplash.  In the bathroom, you can frame your bathroom mirror and update the lighting. In a bedroom, consider accenting one wall with fresh paint or wallpaper. Do a closet renovation by installing new lighting, double rods, and new shelving.  Turn your hallway into a mudroom or add storage to your entryway by utilizing hooks, installed shelves, or a furniture organization system.  Give your home exterior and yard some attention There are several things you can do this year to improve the aesthetics, function, and longevity of your home exterior and yard. First, check the direction of your downspouts and water drainage. Rain gutters and downspouts do a fine job in their own respect, but often we don't consider the water once it's off the roof. “It is best to divert the water away from the house with gutter extensions, pushing it out to five feet away from the foundation,” Stauffer advises. “There is no greater enemy to a house than water.”  While you’re taking inventory of your gutter situation, take a close look at your roof and make a habit of checking it periodically, especially after a big windstorm. In the spring or during mild weather, go up on your roof and do a walk around inspection.  Look specifically for curling or missing shingles, soft spots, or any flashing that may have pulled away. These very minor things should be taken care of immediately, so they do not turn into the monster that roof replacement can be. Stauffer explains that she sees most roof replacement costs ranging from $8,000 to $20,000. Properly maintained, an asphalt shingle roof should last you around 30 years and a metal roof can last longer when installed correctly.   Here are a few other outdoor projects you may want to tackle this year:  Paint your front door a color that you love Power wash your walkway Build a raised garden or flower bed Add or update outdoor lighting Wash window exteriors Plant sod Service your automatic garage door Build a shed or shop (in accordance with property lines and local building codes) 1. Batch small projects Instead of making a list of home improvement tasks that you want to tackle when you can, choose a specific day to address these smaller projects. This allows you to save time and be more effective overall because you are less likely to be distracted by other daily tasks.  Focusing on non-urgent tasks such as simple home improvement projects should not be part of your daily planning cycle. Instead, schedule a day to handle these all at once. As my executive coach Stever Robbins once told me, these projects, while often low priority in the grand scheme of things, create psychological drag. Being reminded of these unfinished projects and tasks, whether that's seeing the burned-out bulb when you head down to the basement or the unmended pair of pants in your laundry room, pulls you out of your flow and introduces little bits of stress in your day that build up over time. Scheduling a day to take care of all these often smaller projects helps remove the psychological drag and makes you more effective overall, even if the individual tasks and projects don't have a huge impact.  — Trevor Lohrbeer, founder of time management app, Day Optimizer 2. Avoid procrastination The author Mark Twain once said, “If you eat a frog every morning, nothing worse will happen to you the rest of the day.”  While this quote could be taken literally (although we wouldn’t recommend it), it teaches us a good lesson of not putting off bigger tasks or projects that may seem daunting. The tip is to do the hardest thing right away. It makes the rest of the day go more smoothly and eliminates all of the wasted anxiety and stress we create when we procrastinate and worry about all that we have to do. . . even when we’re not doing it. — Sharon Danzger, productivity consultant and founder of Control Chaos 3. Reward yourself In conjunction with tackling the hard tasks first, Danzger recommends rewarding yourself when you complete a project on your list: When there is a project you have been avoiding, create an incentive for doing it using an ‘if/then’ statement. For example: If I vacuum the house, then I get to watch a show on Netflix. — Danzger 4. Start small Organizing your house or tackling improvement projects can be daunting — the project might be big and require certain expertise, or perhaps there are just lots of organization tasks to complete. Instead of looking at everything head on and trying to figure out how to accomplish it all at once, Danzger also recommends getting some small tasks out of the way first. Doing so can allow you to feel less overwhelmed and more motivated to tackle larger projects: We often put off things that seem difficult, big, or overwhelming. The hardest part is getting started. So, rather than tackling the entire project, start with something small and manageable. For example, instead of committing to organizing your entire house, decide to start by cleaning out one drawer. — Danzger 5. Set a timer Break large projects into smaller tasks and set a time limit for yourself to accomplish each task. When I have items to finish around the house that I don't really want to do, or the project is dragging on longer than I thought, I create one-hour periods where I work fast and furious on it, then I come back a different day and do another hour. Quickly, that project gets done by breaking it into smaller pieces. — Camille Finan, licensed contractor and host of Remodel Your Life podcast 6. Display a picture   If you’re lacking motivation or vision for what you want to accomplish, Finan also recommends displaying a picture of what you’d like to achieve, providing a reminder and inspiration for your project: If I'm remodeling something in my own house but not sure how to start or find motivation, I will rip out a magazine page and tape it to the wall or area that needs to be fixed. Seeing the finished version often will propel me to find the motivation and do the work. 7. Banish perfectionism Your improvement or renovation may not look as perfect as something you see on HGTV, and that’s okay! It’s important to manage your expectations and try to let go of wanting everything to be perfect. If you’ve been putting off renovating your kitchen or writing that book because you’re worried that you’re unprepared to do it exactly right, try to let go of that fear. Wanting to do a task perfectly can hold you back from accomplishing the task at all. — Mitch Chailland, president of Canal HR 8. Visualize the future To persevere through the enjoyable tasks, Chailland recommends visualizing how you’ll feel once that task is complete: Visualize how you will feel when the task is complete. Some tasks are simply not enjoyable. But imagine how you’ll feel once you’ve finished the task. Visualize the specific positive benefits that this finished task will provide in the long-term. This tactic can increase your positive feelings towards even the dullest or longest of tasks. — Chailland 9. Write it down  When you have multiple tasks or projects on the go, it can be easy to forget one or two along the way. Thus, it can be helpful to write your tasks down. In our experience and research, most people procrastinate doing their home projects because they keep that list in their head. You walk by that bathroom that needs a remodel or the appliances that need fixing and you say to yourself “I really need to tackle that project.”  But two minutes later your brain is off to more immediate issues around work, family, travel, etc. and those projects get quickly forgotten. The practice of writing those projects down in either a list or a digital organizing app helps many people stay motivated to do those projects, especially if once you document the project, you get reminders to yourself that you really need to tackle it.  We have observed this behavior with our users who use HomeZada’s projects and tasks features to document everything they want to do in their home. — John Bodrozic, cofounder of HomeZada 10. Hire out If you find that you can’t harness the motivation to do a project yourself, it may be time to make a call and hire out the task to someone else.  Licensed general contractor Shannon Battle of All American Construction & Restoration suggests DIYers first outline the project phases and create a schedule for completion — then don’t take on another project until finishing the one they’ve already started.  But her top tip for homeowners lacking motivation? Stop watching YouTube and seek professional help, paying skilled people to do it the right way. The final word However you approach house projects, don’t neglect your home as you set your resolutions for the coming year. Your home will thank you and you will thank yourself for the renewed pride of ownership.  Home Improvement Guide & Workbook Tackle home improvement plans by choosing some small tasks and prioritizing them with a helpful chart and budget. Download