Seven Tips to Slash Soaring Home Heating Bills
(ARA) - Consumers will likely pay record prices to heat their homes this winter, up an average of 10.5 percent from last winter, says NEADA, a group of state energy aid officials. Now is the time to give your home a “check-up.” Here are seven tips from the Comfort Institute to make your home an energy sipper instead of a gas guzzler.
Ask your HVAC contractor to test your duct system for air leaks. Many assume that windows and doors are the major cause of a home's energy wasting air leaks. But according to recent research by the Department of Energy (DOE), gaps, joints and disconnections in the typical home's duct system are much more significant. The DOE states that the typical duct system loses 25 to 40 percent of the energy put out by the central furnace or heat pump. Authorities recommend sealing ducts with a brushed on fiber-reinforced elastomeric sealant. Duct tape usually dries out and fails. It turns out duct tape is great for many things, but sealing ducts isn't one of them.
Ask your contractor to perform an Infiltrometer “blower door” test. The blower door is a computerized instrument originally invented by the Department of Energy. It pinpoints where your home's worst air leaks are, such as duct leaks, and also measures how leaky the overall house is.
Most homes have the equivalent of an open window in combined air leaks. Many heating contractors offer an Infiltrometer test as part of a “Home & Duct Performance Checkup” that also checks insulation levels and overall duct performance.
Have your heating system cleaned and tuned. A pre-season tune up is a great investment. It reduces the chances of breakdowns on cold winter nights, improves safety and more than pays for itself through more energy efficient operation. For a free report: “How to Identify a Good Heating and Cooling Contractor,” go to http://www.comfortinstitute.org/.
Replace your furnace or heat pump air filter (or clean it if it is an electronic unit). Most systems need this done every month to ensure safe and efficient operation. Keep forgetting to do it? Ask your contractor for an extended surface area central air filter that only needs to be replaced once a year. It also does a far better job of keeping your equipment and the air in your home clean.
Close your fireplace damper. Did you remember to close it last time you used the fireplace? Shut it now or waste precious warm air all winter long.
Install a programmable set-back thermostat. Turning down the thermostat eight degrees for eight hours a day will save 8 percent on home heating costs. An easy way to take advantage of these savings is to lower the thermostat temperature while away from home or sleeping. Ask your heating contractor about new models which are much easier to program.
Consider replacing your old furnace or heat pump. Just like a car, heating and cooling equipment doesn't last forever. Is your system more than 12 years old? Planning to stay in your home more than a few years?
Many authorities recommend replacing it before it fails permanently. New units can pay for themselves over time as they are up to twice as energy efficient. However, government and utility research has found that over 90 percent of newly installed high efficiency systems have energy wasting mistakes. Today's new equipment is drastically compromised if it is hooked up to bad ducts.
Do some homework before talking to contractors. For more information, visit http://www.energystar.gov/ and http://www.comfortinstitute.org/. Print out the free Comfort Institute report “Tips and Secrets to Buying A New Heating and Cooling System.”
Courtesy of ARAcontent
Friday, February 1, 2008
Tuesday, January 29, 2008
MORTGAGE RATES
AVERAGE MORTGAGE RATES AS OF 1/29/2008
Loan Type Today Last Week
30 Year Fixed 5.45% 5.42%
15 Year Fixed 4.94% 4.93%
1 Year ARM 5.12% 5.29%
30 Year Fixed Jumbo 6.56% 6.46%
5/1 ARM 5.05% 5.12%
3/1 ARM 4.98% 5.08%
Loan Type Today Last Week
30 Year Fixed 5.45% 5.42%
15 Year Fixed 4.94% 4.93%
1 Year ARM 5.12% 5.29%
30 Year Fixed Jumbo 6.56% 6.46%
5/1 ARM 5.05% 5.12%
3/1 ARM 4.98% 5.08%
Saturday, January 19, 2008
Pricing Your Home To Sell
8 tips for pricing your home
article by Cheryl Allebrand
In many cases, making a smart deal and getting the best price comes down to studying your market and being an educated seller.
"You've got to know more than you would have if you'd sold a year ago," says William Poorvu, professor emeritus at Harvard Business School and author of the upcoming book "Creating and Growing Real Estate Wealth." "If you want to protect yourself, you have to become knowledgeable."
8 factors to keep in mind as you prepare to sell:
1. Recognize that housing markets are local.
2. Analyze who is buying and selling in your market.
3. Ask the professionals.
4. Know what your house is worth.
5. Consider strategic pricing.
6. Rebate your "commission."
7. Evaluate whether you really have to sell now.
8. Assess the market where you plan to buy.
1. Recognize that housing markets are local.
Home prices are like the weather -- very different in different areas.
In many markets, home prices have actually gone up from last year, says Dick Gaylord, president of the National Association of Realtors.
In addition, demand will change depending on the price range and even the neighborhood. What you need to know: What's the demand for a house like yours in your area?
"You have to look at what's being sold and at what price," says Poorvu. "That's important."
Look at comparables for similar houses. Study prices and sales for one year ago, six months ago, three months ago and current numbers, says Gaylord.
What are the trends? Are prices going up or down -- and by how much? How many days are homes staying on the market? If they are on the market longer, how much of that could be seasonal? In many areas, spring and summer are the busy seasons.
Pay special attention to "the delta between the list price and the sales price," says Ron Phipps, broker with Phipps Realty in Warwick, R.I. That is, look for a meaningful relationship between list price and sales price. Perhaps most homes are selling for 5 percent less than the list price.
"An agent who works the market will be in the best position" to find "the tipping point between nice, attractive and interesting -- and being sold," Phipps says. You want to find the point between, "Hey, that's interesting," and "It's too good to pass up."
If you're not using a real estate agent, it's especially important to use the Internet, visit open houses in your area and study home sales in your Sunday paper, says Greg Healy, vice president of operations for ForSaleByOwner.com.
But you also need to realize that the paperwork alone only tells part of the story. While sales and prices are public, many times seller concessions are not.
2. Analyze who is buying and selling in your market.
What's your competition? Who are the buyers, and why are they shopping?
Do you live in an area like Phoenix, "a growing market with people coming in," says Poorvu. Or are you living in an area that doesn't attract a lot of new residents, where many shoppers are "bottom fishers" who don't have to buy but are "looking to pick up a bargain," he says.
Are you competing against a flood of new houses from builders eager to sell, or are you selling a newer home in an area where most of the housing stock is older?
3. Ask the professionals.
Don't ignore the elephant in the living room. When you interview real estate agents, ask about the market conditions for your area and price range.
Specifically, ask about the "absorption rate" says Phipps. What that means: In the current conditions with the current inventory, how long would it take the market to absorb or sell, all the houses on the market?
If the supply is much larger than the demand, ask potential agents how they would "price to offset that inventory," he says.
4. Know what your house is worth.
Talk to a handful of agents. Get an appraisal from a certified professional appraiser. Look at your comparables. Taken together, that information will give you a pretty good idea of what your home is currently worth.
5. Consider strategic pricing.
Here's how it works: If prices in your area are dropping 1 percent each month, and you want to sell within the next three months, you take 3 percent off your price right off the bat, says Phipps. So if you were going to put your home on the market for $400,000, you set the price at roughly $388,000.
The upside: You'll have the competitive edge over the guy who's dropping his price every month, without the air of desperation. Plus, in a market where prices are falling, you'll make more money if you sell quickly.
The downside: Predicting the market is a tough call, even for the pros. And it's really difficult to raise the price if your market starts to rebound, Phipps says.
6. Rebate your 'commission.'
If you're selling it yourself and need to move quickly, consider subtracting half of what would have been the commission from the sales price, says Healy. The standard commission is about 6 percent, so if you subtract 3 percent, your $300,000 house would go on the market for $291,000, he says.
Listing a home for "$9,000 to $10,000 under that value should create higher interest," especially if it's new to the market, says Healy.
The downside: If the house doesn't sell and you end up hiring an agent, you'll need to cover the commission, which may mean raising your sales price or taking a smaller profit.
7. Evaluate whether you really have to sell now.
If you want to get the best possible price for your home and the local market is tanking, "see if you can delay the sale," says Poorvu. Otherwise, in a lot of markets, sellers have "to be willing to accept a pretty good haircut over what they thought their home was worth last year," he says.
The downside of waiting: The market could decline or your circumstances could change to the point that you might need to sell quickly.
But for situations where the move is optional (or you might be able to rent the property until your local market improves), waiting is a solid option.
Just because you've already planted that "for sale" sign doesn't mean you can't change your mind if you're not seeing the interest you anticipated.
"If you know there are no sales or sales are decreasing, and you have the opportunity," taking it off the market is a decent solution, says Healy. "I think we're seeing a lot of that."
8. Assess the market where you plan to buy.
If you're selling one house and buying another, look at the market where you plan to move. Says Poorvu, "It might be that, with the housing there, it's a great time to buy."
article by Cheryl Allebrand
In many cases, making a smart deal and getting the best price comes down to studying your market and being an educated seller.
"You've got to know more than you would have if you'd sold a year ago," says William Poorvu, professor emeritus at Harvard Business School and author of the upcoming book "Creating and Growing Real Estate Wealth." "If you want to protect yourself, you have to become knowledgeable."
8 factors to keep in mind as you prepare to sell:
1. Recognize that housing markets are local.
2. Analyze who is buying and selling in your market.
3. Ask the professionals.
4. Know what your house is worth.
5. Consider strategic pricing.
6. Rebate your "commission."
7. Evaluate whether you really have to sell now.
8. Assess the market where you plan to buy.
1. Recognize that housing markets are local.
Home prices are like the weather -- very different in different areas.
In many markets, home prices have actually gone up from last year, says Dick Gaylord, president of the National Association of Realtors.
In addition, demand will change depending on the price range and even the neighborhood. What you need to know: What's the demand for a house like yours in your area?
"You have to look at what's being sold and at what price," says Poorvu. "That's important."
Look at comparables for similar houses. Study prices and sales for one year ago, six months ago, three months ago and current numbers, says Gaylord.
What are the trends? Are prices going up or down -- and by how much? How many days are homes staying on the market? If they are on the market longer, how much of that could be seasonal? In many areas, spring and summer are the busy seasons.
Pay special attention to "the delta between the list price and the sales price," says Ron Phipps, broker with Phipps Realty in Warwick, R.I. That is, look for a meaningful relationship between list price and sales price. Perhaps most homes are selling for 5 percent less than the list price.
"An agent who works the market will be in the best position" to find "the tipping point between nice, attractive and interesting -- and being sold," Phipps says. You want to find the point between, "Hey, that's interesting," and "It's too good to pass up."
If you're not using a real estate agent, it's especially important to use the Internet, visit open houses in your area and study home sales in your Sunday paper, says Greg Healy, vice president of operations for ForSaleByOwner.com.
But you also need to realize that the paperwork alone only tells part of the story. While sales and prices are public, many times seller concessions are not.
2. Analyze who is buying and selling in your market.
What's your competition? Who are the buyers, and why are they shopping?
Do you live in an area like Phoenix, "a growing market with people coming in," says Poorvu. Or are you living in an area that doesn't attract a lot of new residents, where many shoppers are "bottom fishers" who don't have to buy but are "looking to pick up a bargain," he says.
Are you competing against a flood of new houses from builders eager to sell, or are you selling a newer home in an area where most of the housing stock is older?
3. Ask the professionals.
Don't ignore the elephant in the living room. When you interview real estate agents, ask about the market conditions for your area and price range.
Specifically, ask about the "absorption rate" says Phipps. What that means: In the current conditions with the current inventory, how long would it take the market to absorb or sell, all the houses on the market?
If the supply is much larger than the demand, ask potential agents how they would "price to offset that inventory," he says.
4. Know what your house is worth.
Talk to a handful of agents. Get an appraisal from a certified professional appraiser. Look at your comparables. Taken together, that information will give you a pretty good idea of what your home is currently worth.
5. Consider strategic pricing.
Here's how it works: If prices in your area are dropping 1 percent each month, and you want to sell within the next three months, you take 3 percent off your price right off the bat, says Phipps. So if you were going to put your home on the market for $400,000, you set the price at roughly $388,000.
The upside: You'll have the competitive edge over the guy who's dropping his price every month, without the air of desperation. Plus, in a market where prices are falling, you'll make more money if you sell quickly.
The downside: Predicting the market is a tough call, even for the pros. And it's really difficult to raise the price if your market starts to rebound, Phipps says.
6. Rebate your 'commission.'
If you're selling it yourself and need to move quickly, consider subtracting half of what would have been the commission from the sales price, says Healy. The standard commission is about 6 percent, so if you subtract 3 percent, your $300,000 house would go on the market for $291,000, he says.
Listing a home for "$9,000 to $10,000 under that value should create higher interest," especially if it's new to the market, says Healy.
The downside: If the house doesn't sell and you end up hiring an agent, you'll need to cover the commission, which may mean raising your sales price or taking a smaller profit.
7. Evaluate whether you really have to sell now.
If you want to get the best possible price for your home and the local market is tanking, "see if you can delay the sale," says Poorvu. Otherwise, in a lot of markets, sellers have "to be willing to accept a pretty good haircut over what they thought their home was worth last year," he says.
The downside of waiting: The market could decline or your circumstances could change to the point that you might need to sell quickly.
But for situations where the move is optional (or you might be able to rent the property until your local market improves), waiting is a solid option.
Just because you've already planted that "for sale" sign doesn't mean you can't change your mind if you're not seeing the interest you anticipated.
"If you know there are no sales or sales are decreasing, and you have the opportunity," taking it off the market is a decent solution, says Healy. "I think we're seeing a lot of that."
8. Assess the market where you plan to buy.
If you're selling one house and buying another, look at the market where you plan to move. Says Poorvu, "It might be that, with the housing there, it's a great time to buy."
Wednesday, January 9, 2008
Rates drop again...
Real estate rates drop for 5th night
30-year fixed rate at 5.55%; 10-year Treasury yield at 3.78%
Wednesday, January 09, 2008
Long-term mortgage interest rates continued to fall Tuesday, and the benchmark 10-year Treasury bond yield dipped to 3.78 percent.
The 30-year fixed-rate average sank to 5.55 percent, and the 15-year fixed rate slid to 5.06 percent. The 1-year adjustable rate, however, was up at 5.34 percent.
The 30-year Treasury bond yield slipped to 4.31 percent.
Rates and bonds are current as of 7:15 p.m. Eastern Standard Time.
Mortgage rate figures are according to Bankrate.com, which publishes nightly averages based on its survey of 4,000 banks in 50 states. Points on these mortgages range from zero to 3.5.
In other economic news, the Dow Jones Industrial Average tumbled 238.42 points, or 1.86 percent, finishing at 12,589.07. The Nasdaq lost 58.95 points, or 2.36 percent, closing at 2,440.51.
30-year fixed rate at 5.55%; 10-year Treasury yield at 3.78%
Wednesday, January 09, 2008
Long-term mortgage interest rates continued to fall Tuesday, and the benchmark 10-year Treasury bond yield dipped to 3.78 percent.
The 30-year fixed-rate average sank to 5.55 percent, and the 15-year fixed rate slid to 5.06 percent. The 1-year adjustable rate, however, was up at 5.34 percent.
The 30-year Treasury bond yield slipped to 4.31 percent.
Rates and bonds are current as of 7:15 p.m. Eastern Standard Time.
Mortgage rate figures are according to Bankrate.com, which publishes nightly averages based on its survey of 4,000 banks in 50 states. Points on these mortgages range from zero to 3.5.
In other economic news, the Dow Jones Industrial Average tumbled 238.42 points, or 1.86 percent, finishing at 12,589.07. The Nasdaq lost 58.95 points, or 2.36 percent, closing at 2,440.51.
Wednesday, January 2, 2008
Price reductions
HOME SELLER TIP: The best time to make a price reduction is as soon as you discover that your home is priced too high for the market. Waiting too long to lower the price can cost money in the long run if the market is moving lower. Reducing too little, too late can lead to a series of further reductions and ultimately to a lower selling price. Ideally, you should avoid such an unpleasant downward spiral.
The goal is to sell without having to reduce the price. To do this, you must accept current market conditions. You also need to recognize that no matter how wonderful you think your home is a buyer will find fault with it.
To be a successful seller in this market -- and to some extent in any market -- requires separating pride of ownership in the property from the task as hand, which is to sell for the highest price possible. It's not easy for most sellers to put their emotional feelings about their home on ice. It helps to stop thinking of the property as "home" and to start looking at it as a commodity you want to sell.
Before listing a property for sale, sellers should seriously consider their motivation. Successful sellers in today's more difficult marketplaces have a compelling need to sell. They don't simply want to sell if someone will make it worth their while. Many of today's prospective home buyers have a wait-and-see attitude about the market. They are looking, but it will take a fabulous home offered at a great price before they'll commit to buy.
Sellers should also check out the temperature of the local market. Residential real estate is a localized business. Even if you live in a city where prices are down, that might not be the case in your neighborhood. The supply of homes for sale and demand for housing are critical variables, as is the local employment picture.
There is a common theme to the listings that sell well now. These listings look great, are in good condition, don't have incurable defects and are priced right for the market.
Being realistic about what to expect is half the battle.
The goal is to sell without having to reduce the price. To do this, you must accept current market conditions. You also need to recognize that no matter how wonderful you think your home is a buyer will find fault with it.
To be a successful seller in this market -- and to some extent in any market -- requires separating pride of ownership in the property from the task as hand, which is to sell for the highest price possible. It's not easy for most sellers to put their emotional feelings about their home on ice. It helps to stop thinking of the property as "home" and to start looking at it as a commodity you want to sell.
Before listing a property for sale, sellers should seriously consider their motivation. Successful sellers in today's more difficult marketplaces have a compelling need to sell. They don't simply want to sell if someone will make it worth their while. Many of today's prospective home buyers have a wait-and-see attitude about the market. They are looking, but it will take a fabulous home offered at a great price before they'll commit to buy.
Sellers should also check out the temperature of the local market. Residential real estate is a localized business. Even if you live in a city where prices are down, that might not be the case in your neighborhood. The supply of homes for sale and demand for housing are critical variables, as is the local employment picture.
There is a common theme to the listings that sell well now. These listings look great, are in good condition, don't have incurable defects and are priced right for the market.
Being realistic about what to expect is half the battle.
Wednesday, December 26, 2007
US braces for baby boom retirement wave
The first of the vast US baby boom generation goes into retirement in January, setting off a demographic tidal wave with wide-ranging economic, political and social implications.
Kathleen Casey-Kirschling, born on January 1, 1946, is acknowledged as the nation's first baby boomer and the first to apply for social security benefits, for which she will be eligible in 2008.
The New Jersey grandmother is the first of an estimated 80 million Americans born between 1946 and 1964, a generation that led a social revolution in the 1960s and changed the fabric of most facets of society.
The cost for government-funded social security and medical care for the boomers leaves a funding gap of between 40 and 76 trillion dollars for next 75 years, according to various estimates.
"America is facing a demographic juggernaut," says Brent Green, a marketing consultant and author, in his "Boomers" blog.
"An unprecedented number will soon be entering the retirement stage of life. One-third of the population will be over 50 by 2010. One in five will be over 65 by 2010."
Leonard Steinhorn, an American University professor and author of "The Greater Generation: In Defense of the Baby Boom Legacy," says the generation often wrongly maligned as latte-sipping Yuppies has transformed most of American society.
He wrote that boomers have led or sustained most of "the great citizen movements that have advanced American values and freedoms -- the environmental movement, the consumer movement, the women's movement, the civil rights movement, the diversity movement, the human rights movement, the openness in government movement."
He told AFP he expects this transformation to continue as boomers age. "It's not going to be a generation that's going to go off to the golf courses and do nothing."
He said boomers will push politics to a more progressive bent even though that has not yet happened because the more conservative over-60 generation still carries much weight in the electorate.
"Once younger voters begin to replace them, the socially conservative vote will dwindle," he said.
The generation is a ripe target for marketing of everything from travel to real estate to computer games for keeping minds fit.
"In the whole way we think about aging and the way companies develop products, we have traditionally been a country of the young," said David Baxter, senior vice president at Age Wave, a California-based research and consulting company focused on the over-50 population.
"If you look at the hottest products, companies think the youth market is the most important."
Baxter said marketers are still using "the myth that older consumers are stuck in their brands and not very interesting consumers. But it's the mature consumer who has all the money."
Americans aged 50 and over have a collective one trillion dollars in disposable income and control 67 percent of the US wealth, according to the over-50 social networking website Eons.
Members of the baby boom generation are big users of technology and the Internet. A Pew Internet Life Project report showed two-thirds of those between 50 and 58 had Internet access as of 2004, similar to the number of 28- to 39-year-olds.
Many are gravitating to social networking sites, especially those geared to their generation with names like TeeBeeDee and BoomerCafe.
About half of Americans will buy new homes after retirement, and many will continue to work in some capacity or become involved in social activism.
Michael Falcon, head of the retirement group at Merrill Lynch, says the nation must prepare for a "new model" for retirement.
"Multiple generations report cycling in and out of work and pursuing a new career in later life as the retirement ideal," he said in a 2006 report. "Companies need to be aware of this new concept of retirement."
A Merrill Lynch survey found 71 percent of adults surveyed plan to work in some capacity after their formal "retirement."
Carol Orsborn, a public relations executive who writes a "Boomer Blog," said the generation appears to be pursuing its dreams rather than dropping out to a quiet retirement.
"If we were hippies in the 1960s and 1970s and yuppies in the 1980s and 1990s, what are we now?" she wrote.
"At an age where expectations that our generation pull back, instead of 're-tiring' we are 're-upping' for another tour of duty in life. We are changing careers, finally getting around to taking risks with our dreams, advancing into new psychological and spiritual terrain, not only new to us as individuals, but for society as a whole. We are, in fact, Re-uppies."
On the economic side, some fear the "silver tsunami" will drain the country of its wealth, but Baxter says the United States has some advantages.
"It's true that everything in our society is built on the idea of continued growth, it's kind of a giant Ponzi scheme with every generation prior to this one having given birth to a larger generation," he said.
The problems are even more acute in some European countries and Japan which face a similar demographic time bomb. But Baxter said "the US is cushioned to some extent by a more liberal immigration policy" and because "there is more flexibility in our workforce. It's illegal to have mandatory reitirement and that's not the case in most countries."
The first of the vast US baby boom generation goes into retirement in January, setting off a demographic tidal wave with wide-ranging economic, political and social implications.
Kathleen Casey-Kirschling, born on January 1, 1946, is acknowledged as the nation's first baby boomer and the first to apply for social security benefits, for which she will be eligible in 2008.
The New Jersey grandmother is the first of an estimated 80 million Americans born between 1946 and 1964, a generation that led a social revolution in the 1960s and changed the fabric of most facets of society.
The cost for government-funded social security and medical care for the boomers leaves a funding gap of between 40 and 76 trillion dollars for next 75 years, according to various estimates.
"America is facing a demographic juggernaut," says Brent Green, a marketing consultant and author, in his "Boomers" blog.
"An unprecedented number will soon be entering the retirement stage of life. One-third of the population will be over 50 by 2010. One in five will be over 65 by 2010."
Leonard Steinhorn, an American University professor and author of "The Greater Generation: In Defense of the Baby Boom Legacy," says the generation often wrongly maligned as latte-sipping Yuppies has transformed most of American society.
He wrote that boomers have led or sustained most of "the great citizen movements that have advanced American values and freedoms -- the environmental movement, the consumer movement, the women's movement, the civil rights movement, the diversity movement, the human rights movement, the openness in government movement."
He told AFP he expects this transformation to continue as boomers age. "It's not going to be a generation that's going to go off to the golf courses and do nothing."
He said boomers will push politics to a more progressive bent even though that has not yet happened because the more conservative over-60 generation still carries much weight in the electorate.
"Once younger voters begin to replace them, the socially conservative vote will dwindle," he said.
The generation is a ripe target for marketing of everything from travel to real estate to computer games for keeping minds fit.
"In the whole way we think about aging and the way companies develop products, we have traditionally been a country of the young," said David Baxter, senior vice president at Age Wave, a California-based research and consulting company focused on the over-50 population.
"If you look at the hottest products, companies think the youth market is the most important."
Baxter said marketers are still using "the myth that older consumers are stuck in their brands and not very interesting consumers. But it's the mature consumer who has all the money."
Americans aged 50 and over have a collective one trillion dollars in disposable income and control 67 percent of the US wealth, according to the over-50 social networking website Eons.
Members of the baby boom generation are big users of technology and the Internet. A Pew Internet Life Project report showed two-thirds of those between 50 and 58 had Internet access as of 2004, similar to the number of 28- to 39-year-olds.
Many are gravitating to social networking sites, especially those geared to their generation with names like TeeBeeDee and BoomerCafe.
About half of Americans will buy new homes after retirement, and many will continue to work in some capacity or become involved in social activism.
Michael Falcon, head of the retirement group at Merrill Lynch, says the nation must prepare for a "new model" for retirement.
"Multiple generations report cycling in and out of work and pursuing a new career in later life as the retirement ideal," he said in a 2006 report. "Companies need to be aware of this new concept of retirement."
A Merrill Lynch survey found 71 percent of adults surveyed plan to work in some capacity after their formal "retirement."
Carol Orsborn, a public relations executive who writes a "Boomer Blog," said the generation appears to be pursuing its dreams rather than dropping out to a quiet retirement.
"If we were hippies in the 1960s and 1970s and yuppies in the 1980s and 1990s, what are we now?" she wrote.
"At an age where expectations that our generation pull back, instead of 're-tiring' we are 're-upping' for another tour of duty in life. We are changing careers, finally getting around to taking risks with our dreams, advancing into new psychological and spiritual terrain, not only new to us as individuals, but for society as a whole. We are, in fact, Re-uppies."
On the economic side, some fear the "silver tsunami" will drain the country of its wealth, but Baxter says the United States has some advantages.
"It's true that everything in our society is built on the idea of continued growth, it's kind of a giant Ponzi scheme with every generation prior to this one having given birth to a larger generation," he said.
The problems are even more acute in some European countries and Japan which face a similar demographic time bomb. But Baxter said "the US is cushioned to some extent by a more liberal immigration policy" and because "there is more flexibility in our workforce. It's illegal to have mandatory reitirement and that's not the case in most countries."
Thursday, December 6, 2007
Curb appeal projects return most value for homeowners
Curb appeal projects return most value for homeowners
Remodeling report details most profitable home projects
A home's curb appeal is at the top of most profitable remodeling projects, according to a report out this week that details remodeling costs versus value.
Every penny counts for homeowners and home sellers in a slumping housing market and those looking to remodel will consider the return on value of specific projects.
Three of the four projects with the highest national percentage of costs recouped this year were exterior upgrades, according to the report produced by Hanley Wood LLC in cooperation with Realtor Magazine.
The most profitable project on the national level was upscale siding replacement, recouping 88 percent of costs upon resale. Wood deck additions and wood window replacements also returned more than 80 percent of costs, at 85 percent and 81 percent, respectively. On a national average, the only interior project to return more than 80 percent of remodeling costs this year was a minor kitchen remodel, returning 83 percent of project costs at resale.
The 2007 Remodeling Cost vs. Value Report compares construction costs with resale values for 29 midrange and upscale remodeling projects comprising additions, remodels and replacements in 60 markets across the country. Data are provided for nine U.S. regions, following the divisions established by the U.S. Census Bureau. (See www.costvsvalue.com.)
Four new projects were added this year: the aforementioned wood deck addition, a back-up power generator, and both a midrange and upscale garage addition.Nationally, the back-up power generator only returned 58 percent of the investment on resale, although the return was highest in the West South Central region, which comprises Arkansas, Louisiana, Oklahoma, and Texas, at 68 percent.
Buyers in the Pacific region of Alaska, California, Hawaii, Oregon and Washington value their garages: The midrange garage addition returned nearly 70 percent nationally but 88 percent in this region, while the upscale garage addition returned approximately 65 percent nationally but 78 percent in this area.
Homeowners in the Pacific region could also expect to see some of the highest percentages of remodeling expenses returned at resale, with 13 of the 29 projects returning 90 percent or higher of project costs.
Homeowners in the East North Central region of Illinois, Indiana, Michigan, Ohio and Wisconsin might expect some of the lowest returns; only one project -- upscale fiber cement siding -- returned more than 80 percent upon resale (82 percent of costs recouped), while nine projects returned less than 60 percent of project costs.
The least profitable projects were a back-up power generator, sunroom addition, and home office remodel. The back-up power generator returned the lowest percentage of initial cost in the East North Central, New England (Connecticut, Massachusetts, Maine, New Hampshire, Rhode Island, and Vermont), Pacific, and West North Central (Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota and South Dakota) regions.
Sunrooms are least popular in the East South Central (Alabama, Kentucky, Mississippi and Tennessee), Mountain (Arizona, Colorado, Idaho, Montana, Nevada, New Mexico and Wyoming), and West South Central regions.
Home office remodels return the lowest percentage of project costs in the Middle Atlantic (New Jersey, New York and Pennsylvania) and South Atlantic (Delaware, District of Columbia, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia and West Virginia) regions.
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