Kendra Ruminer's Two Cents of Real Estate

Take A Peek At Los Alamos, New Mexico

Tag: Los Alamos County (Page 17 of 17)

Interest Rates & Buying Power

July 29, 2020 /

We all hear the talk. It’s impossible to miss. It might only be a snippet of conversation between some financial analyst and an economist discussing strategies employed by the feds to help boost the economy. But we hear an awful lot about interest rates. What do low interest rates really mean for home buyers and sellers? Let’s take a look.

Now. I’m not going to take you through all of the pieces of the financial puzzle that actually affect mortgage rates. Let’s keep it simple by saying that both banks and the federal government have an interest in how many people are purchasing a home. The bottom line is that in the beginning of 2020, we have seen record lows for interest rates on home mortgages. Yes. Coronavirus has had a negative impact on the economy, but even though interest rates have come up just a bit since the spring, they are STILL lower than they ever have been before.

What does this mean? It means your hard earned dollar can now get you a LOT more house for the money. And here in Los Alamos, this is great news! The basic laws of supply and demand mean our home prices tend to carry a higher than average median value than other areas of New Mexico. But when you have the increased buying power of a record low interest rate, this can go a long way toward bridging the gap.

If you were ever considering the purchase of a home, now is the time!

Remember that your actual mortgage payment includes more than one line item. You are likely paying $ toward your principal balance and another sum for taxes and insurance to an escrow account. You might pay mortgage insurance, and of course, you pay interest. By far the largest piece of your monthly payment is very likely the interest payment. That means, if you’ve set your heart on a house just above your initial budget, you might actually find that your budget is bigger than you thought because a very low interest rate will mean that interest portion each month is much less!

When we talk about interest rates for big ticket items like homes, a single percentage point can make a huge difference to your monthly payment. This is why pre-qualifying and getting a pre-approval from a reputable lender for your new home purchase is such a vital part of the process. Once you have started working with a lender, you will have a better picture of just how much buying power you have. Once you have this information in hand, it’s time to go shopping for that fantastic new home.

Nope. It’s almost never too late to take advantage of record low interest rates!

Don’t worry. If you bought a house in the last ten years or even the last five. Heck, even if you purchased one only a few years back, there are ways that you might be able to benefit from the current low interest rates.

“I love my house! But my interest rate wasn’t nearly as good as I could get now!”

If this is you, then maybe it’s time to refinance. There are several factors that should affect your decision to refinance, but if you love your home and plan to remain in it until you retire from the National Laboratory and head to Florida (or wherever you prefer) it might benefit you to refinance.

Remember that your home has likely appreciated this last year. Homeowners in Los Alamos County are enjoying more equity than ever. And while banks aren’t too keen to do cash out refinancing like they did a decade ago, you might still qualify for a better interest rate. You’ve been a homeowner for awhile now, right? That likely means your credit score has been improving. And now your initial down payment has been supplemented by the market value increase of your home! Equity means a bank might look even more favorably on a loan for your home. Imagine that! More buying power while buying something you already own. You might even look into a fifteen year mortgage and discover a way to pay off your big ticket investment even sooner than anticipated!

“We’ve only been in our house for a short while, but we need something else!”

Low interest rates are great news for you if you fall into this category. And don’t worry. That’s why so many homes fall into what real estate professionals sometimes call “starter homes”. They’re meant to be a start. A place to get your feet wet as a homeowner. Maybe that two bedroom quad was a snug hideaway for you and your spouse a few years ago. But now you have a toddler and another baby on the way and you’re busting at the seams.

Well, this is the perfect time to sell and move into something bigger. Remember, low interest rates mean other people looking for “starter homes” will have the buying power to do just that. Buy your home! Then you’ll be able to turn around and use your equity and that lower interest rate mortgage to purchase a home that better fits your changing needs.

So, don’t wait another minute if you’ve been thinking you can’t possibly afford the home you want. You will never know until you try. Give me a call today and let’s chat about ways to exercise YOUR buying power!

Surprise! You Bought A Home.

July 22, 2020 /

You’ve just purchased the home of your dreams in Los Alamos County. You’ve never been so excited about the prospect of moving. Break out the champagne and celebrate, right?

Welcome Home To Your New Space!

Now. Let me be the first to congratulate you. You’re absolutely right. Finding a home to purchase in our community is a whirlwind ride all on its own and that doesn’t begin to cover the step by step process of actually purchasing this new living space. So, yes. CONGRATULATIONS! But while we enjoy that champagne, let’s talk details shall we?

Let me be frank. There are a few hidden costs associated with purchasing a home. I know. I can hear you right now. “Kendra,” you say. “Believe me! I’ve already gone through multiple inspections. I’ve paid insurance premiums and set up an escrow account with my lender. I have this in the bag!”

Right. The details about closing costs were probably a surprise if you’re a first time homebuyer. I always try to walk my buyers through the entire process and keep them aware that these things are coming. But there are just a few more things to talk about. And honestly, they CAN be pretty fun. After all, who doesn’t like the part where you move in and make this new house your home?

Remember That First Walkthrough?

No. Not the walk through that happens just before closing. Although, if your new home was professionally staged when you first decided to purchase it, that last walkthrough might have been a bit of an eye opener if the place was bare boards and stark walls. That was the moment you got to actually picture your things inside the house. How did it look? Don’t worry. There are plenty of ways to make this new space feel like your home.

Now, go back to the very FIRST time you saw this home. For those of you who have already purchased or those considering selling and moving into another home, keep in mind that in this Covid-19 market, many of these walkthroughs are taking place virtually. There are so many home buyers who have NEVER physically been inside the new home they’re purchasing before they’ve got the keys in their hand and the mortgage payment coupon in their mailbox.

Stop for just a moment. The Los Alamos market is unlike anywhere else. The good news is that you’ve got your house! Love that! Give yourself permission to be thrilled with that! And remember that the rest is just cosmetic. Even if its quite possible that your new house hasn’t been updated since the seventies, who cares? This is your chance to make this house YOURS. Keep in mind that in other cities you might be peeling off the nineties, the eighties, and the seventies before putting your stamp on it. A few less layers can be a good thing!

Remember all of those improvements you knew needed to be made on this home before you became convinced that this was the ONE? There’s nothing wrong with some can do DIY attitude. But now that you’ve come through the home buying process, I don’t want some of the basic foundation stones for actually LIVING in your home to get lost in the shuffle.

Start Small

Yes. Small. As in, blinds or shades, or some kind of window coverings. You need to be able to cover your windows for privacy and also, in a bigger way, to maximize heating and cooling. So many homes in our area are lacking in modern double paned windows. I can think of a few homes that are missing screens on the windows, much less blinds. And we’re talking trading pretty for functional right now. Start with examining all of the blinds or shades in your new home. Count them, measure them, and then start looking for good deals on decent window coverings. You’ll be surprised how quickly the cost grows. But, you’ll also be thankful you handled this small task when that brutal summer sun starts creeping into your home and sending the temperature toward the roof. Good blinds can save plenty of pennies in cooling costs. And those are the pennies you’ll use to improve your new home in other exciting ways!

It may take a while for your new house to look like a real homey haven.

Now, The Kitchen

No. Don’t look at the cabinets. That’s a project you’ll be tackling soon enough. What I would suggest instead, is to look at the appliances. Check them for functionality. Does the refrigerator actually keep things cold? Does it freeze your produce solid? Does the dishwasher clean the dishes, or does it recycle your food leavings before flinging them back onto the plates and glasses? Does that snazzy built in microwave work? How about the oven? Did the house come with a washer and dryer? Do they get the job done or are you looking for a clothesline to finish your dry cycle outdoors?

Appliances are a vital part of our lives. Modern families are hard to manage without these work reducing beauties. But, as with everything else in a home, there is a decision that has to be made here. Is now the time to replace them or not? Do not let the avocado green or brilliant red or goldenrod yellow color of these make your decision for you. If an ancient refrigerator does its job and does not require you to call a repairman every day, then bump it down the priority list. If you’re dreading the purchase of the new fridge with its $3300 price tag, don’t let that keep you from replacing an older model that is costing you an extra $100 or $200 per month in electric and repairs. Think energy efficient and prioritize your list of renovations. Then assess each appliance with the decisiveness of a general making strategic battle plans. And by the way, take your time and enjoy making this space all yours!

Plumbing

Next, let’s take a look at the bathrooms and every faucet in your new home. Are the toilets making weird noises? Do the faucets drip? Does the shower head hit everything BUT your hair? Replace or repair these little things. The cost of doing them all at once may take more of your budget than you’d like. But making sure that you’re not increasing your water bill or driving yourself insane every time you take a shower is a must. And speaking of shower, you might want to replace the shower curtains or doors depending on how that door track looks. And what about the toilet seat? A new seat can refresh the toilets in your home in ways you probably never imagined possible.

Make sure the bathrooms in your new home are liveable.

This community is unlike anywhere else. We love living here. We love the fact that our homes are unique and sometimes dated. Okay. Maybe we don’t LOVE the dated part. But you’re going to do something amazing with that space. I know you will. Until then, remember that its about functionality, energy efficiency, and not draining your bank account penny by penny each month. Making sure your home is your refuge even while you’re rehabbing your heart out to make it the haven of your dreams will make the DIY rehab project that much more fulfilling.

Ready to Make a Move? Call or Email Kendra Today!

Using Zillow Responsibly…

July 15, 2020 /

Is there anyone left on this planet who has NOT heard of Zillow? Okay. Maybe planet is a pushing it. Is there anyone in the United States who has not clicked their way around Zillow taking a peek at the housing market in their area? Whether you’re an enthusiastic Zillow user or not, let me give you three tips for using Zillow responsibly in the Los Alamos County real estate market.

Tip # 1 – Pre-Foreclosure Homes Are Not Actually For Sale

That’s something I get a lot of in the real estate business. Especially here in Los Alamos where homes come on and go off the market with a record low number of days on market. I get calls from excited clients who just saw something perfect pop up on Zillow as “pre-foreclosure”. They want to hop in their car and go look at this fantastic property. They’re ready to make an offer! This is the home of their dreams.

Except… Pre-foreclosure is just a term that comes from a homeowner getting slightly behind on their mortgage payments. When this happens, the lender has a legal obligation to file a public notice. It’s an attempt – an early attempt – to collect on a debt. There are a whole lot of steps between public notice and actual foreclosure. In the meantime, the house is NOT on the market. You CANNOT go and take a peek at it. It’s still someone else’s home. No wonder it’s perfect for your family, right?

Tip # 2 – Just Because Zillow Suggests a Home Value, Doesn’t Make It So

This goes back to tip number one. Zillow is a database that gets information from public records. Even on their website they tell you this. Hence the public notice that results in a pre-foreclosure listing on Zillow. But this is where home valuation gets really tricky. New Mexico is a non-disclosure state. That means our home values are not made public record. 

Not that this actually slows Zillow down. The database is filled with what they refer to as “zestimates”. Basically, Zillow has algorithms that come up with what a computer estimates to be the best possible guess for a home’s value. But that isn’t necessarily based on recent sales prices.  A homeowner can go in and input the value of their home, but that’s up to the homeowner. As a realtor I would never make that information public.

Tip # 3 – Don’t Believe Everything Zillow Has to Say About Mortgages

This is not to say that the mortgage calculator on Zillow is wrong. It’s not. It’s actually a very useful tool. Zillow has multiple tools to help you figure out what it might cost to own the home of your dreams. Insurance, HOA fees, mortgage, mortgage insurance, they’ve got a little line item for everything. What I ask people to keep in mind is that this is all perfect world thinking. And no. I don’t believe that the word “perfect” applies to anyone trying to scrounge up a down payment for the home of their dreams. But what this doesn’t take into account is the actual funding process for purchasing a home. This is a complex process that has a lot of variables Zillow can’t anticipate for you.

This is why you call a Real Estate Agent!

Please. Give me a call. If you’ve got questions about your current home’s value or are looking to sell and get something bigger or downsize to something smaller, talk to an actual human being who will walk you through the realities of this process. Sure. Zillow is useful. I would never say that it isn’t. But please use a common sense approach when surfing the Internet for the home of your dreams. It makes the transition from dream into reality a whole lot smoother!

Call or Email Kendra

Could You Quarantine In This Space?

July 1, 2020 /
The Coronavirus Has Changed What Buyers Are Looking For In a House

I think we’ve all come to the honest realization that the world we once lived in is gone. Things have changed. Everything has changed. The way that we hang out with our friends. The way that we hang out with our family… Wait. The way that we ONLY hang out with our family.

All of that togetherness is changing the way people live their lives and the things they value in a home. Let’s look at a few things that are becoming far more important to Average Joe Buyer.

Kitchens

So many times in the past, I’ve seen busy families who purchase homes because of their proximity to a school district or because the bedrooms are big or the garage and driveway has extra slots for the extra cars belonging to a family full of teenagers. Kitchens were useful because they contained conveniences like the toaster over, the microwave, and that mega juicer you just had to have but rarely use.

Now? The lack of restaurant options, especially in small communities like Los Alamos, means that homeowners are using their kitchens in ways they’ve not had to in ages. Even if you’re getting takeout and bringing it home, the kitchen is seeing far more traffic (or the dishwasher is!) than ever before. Suddenly, kitchens matter. Buyers want big eat in kitchens with tons of space, pantries that can handle kids who are no longer eating at school, and up to date appliances. The kitchen has suddenly become important to everyone and not just to a few home gourmets.

Home Office

Telecommuting is the new normal. No doubt about it. And considering the direction things are moving, there’s no doubt that this isn’t likely to change anytime soon. That means the home office has become the most important thing that anyone thinks about. The availability of any space that could be turned into a home office in a pinch has just become your home’s biggest selling point. Have an atrium or a little breakfast nook? Boom! Extra office. Have a spare bedroom? Boom! Instant school room. Yeah. Don’t forget those kiddos. Homes are now doing triple duty. Schoolroom. Workplace. And my personal favorite. Daycare.

Multiple Living Areas

All of a Sudden One Family Room Just Isn’t Enough!

In newer homes in places like Albuquerque, Rio Rancho, and Las Cruces, and even some of the newer housing developments here in Los Alamos County, a second living area or a bonus room is a given. Most of the homes in our community were built long before this was a popular concept. Not that there haven’t been tons of renovations or rehab projects with just that idea in mind, but all of a sudden buyers are VERY interested in homes that boast a second living area. After all, families that live and work together eventually need a break! What a great thing to have a basement or an upstairs loft where you can send the kids to enjoy their screen time while you binge watch Outlander and try to relax from your long day of pretending that you were super productive while working at home in a job that was never designed for a telecommute.

Outdoor Living Spaces

The backyard or side yard in some cases, has become a viable new place to hang out when all of the living space inside becomes either full of kids, or just boring. Patios and decks are suddenly far more attractive to potential buyers than ever before. Want to wow them when they come to view your house? Arrange your outdoor furniture to invite a buyer to imagine lounging after work with a book. Add a barbeque grill and I bet you’ll hook them in a second.

At the end of the day, our lives will never go back to the way that they were. And that means the real estate market – even the one in Los Alamos – is going to have to change too.

All of Life (and Real Estate)is a Stage

June 19, 2020 /

Staging is a term that we use a lot in the real estate market. If you’re a buyer or a seller and you’re wondering how that applies to YOU, stick around and let’s talk about how staging can help a house put its best foot forward, figuratively speaking of course!

Does this bedroom look lived in? Or, does it look like a dream come true?

Staging to Sell

You might be thinking to yourself that the idea of hiring a professional company to stage your home for sale is a preposterous idea. You might be right. Sort of. The market here in Los Alamos is almost certainly a seller’s market. But even in a seller’s market when there are buyers lining up to get a peek at your house before you’ve got the sign fully planted in the yard, staging could still be the difference between having a bidding war that gets you top dollar and just selling your house.

Now. If you’re not interested in hiring a pro to fully stage your home for sale because you’re still living there and your stuff is still necessary for your day to day activities, there are still some things that can be done to make your home really shine.

Buyers Buy Space Not Stuff

You’re moving, remember? Pack your out of season clothes and store them somewhere else. Let your closets look emptily huge because let’s face it, we don’t have a ton of closet space in the Los Alamos area and whatever we do have needs to look amazing! That goes for any built in drawers, cabinets, or other spaces too. Staging is all about space. Space is inviting. Buyers want to be invited. Therefore, help your home by showing off every single room to its spacious advantage.

Make Them Envision Themselves At Home in Your Home

The other part of staging is doing everything that you can to make that buyer want to live in your home. Leave a folded newspaper on the coffee table with a tray that makes it look as though someone is about to sit and enjoy a fresh cuppa. The kitchen should be clean and ready for the preparation of a gourmet meal. The entire set up of furniture should encourage flow. Flow from one room to another. Encourage your potential buyer to wander through your space in a way that invites them to imagine their idyllic life if they should purchase your home.

Your Grandkids are Cute, but Not Helpful to Buyers

It’s been proven time and time again that photos and personal items are a distraction. You want any potential buyers to keep their mind on your house. The beautiful space, the light, the spacious rooms, the amount of storage, those hardwood floors you just refinished, whatever your home’s selling point, don’t let buyers get distracted by your family photos. Remember, you’re selling the house, not your stuff. So all of the things that make it uniquely yours have no place in someone else’s fantasy.

Buying a Staged Home

Now, when you’re on the buying end of that staged home, please don’t forget that you’re buying a space and not the furniture. Remember that your stuff is going to be taking the place of that beautiful lounge chair in the cozy reading nook and likely all of your kitchen gadgets will be cluttering up the countertops.

This is not to say that you’re not to love the idea of a quiet morning cup of coffee on the deck staring out across the valley at the Sangre De Cristos. You can! But take a look around when you walk through a beautifully staged home and focus on what they’re trying to get you to focus on. The space. Take that opportunity to picture YOUR stuff in the rooms. Imagine how well you and your personal items would fit. That is what you’re trying to discover. Right? A new place to call home.

Summer Gardens In The Desert

June 6, 2020 /

You may be scratching your head at my title because anyone who has been around Los Alamos County in the summertime knows that by the end of June, the sun has become like a laser beam in the sky. Monsoons are right around the corner and even the promise of rain doesn’t mean an easier time of it for anything resembling a garden. But there is plenty of beauty in the desert. So, here are a few ideas to perk up your yard this summer!

Bring the Beauty of the Desert Into Your Own Yard

Colorful Accents

This could mean a few flowers, but if you’ve got any interest in water conservation, it doesn’t have to mean growing things at all. Ceramic planters in shades of bright red. Maybe a pot of chili peppers strategically placed near the front steps. Or even better, find some large turquoise colored tiles and work them into your flower beds. The Southwestern color palette has dozens of bright blues and reds to work with. Get creative and let your inner artist out to play!

Grass

Okay. Let’s talk about grass. Nothing says summer like a sweeping green lawn bordered by leafy shrubs and a welcoming patio where you can fire up the grill and hang out with friends. And if you’re still longing for big areas of grass in your front or back yard, don’t despair. Artificial turf has made huge strides. You can buy rolls of turf and install them yourself if you’re into DIY projects. There are even specific varieties designed for your pets to use and abuse.

Here’s the catch. Artificial grass isn’t the cool green carpet it appears. Distributors of artificial grass will openly tell you that when the heat rises, so does the temperature of your artificial lawn. Real grass is cool to the touch. Artificial turf is not. You can purchase fill products to lower the temperature of your artificial lawn, but that’s probably not going to help when the UV factor crawls toward the “ohmigod I’m gonna die” zone. So to increase your green and maximize the coolness factor, use patches of grass placed in shady spots protected from the afternoon sun and interspersed with areas of rock and flowerbeds. Because you know what else can be hotter than artificial grass? Yep. You guessed it. Rock.

Dry Creek Beds

If you’ve lived in and around Los Alamos County for any period of time, then you’re plenty familiar with this idea of rock in the yard. Xeriscaping is super popular with water conservationists and it can look rather attractive. The problem is that it’s also HOT! Instead of carpeting your yard with contrasting colors of rock, try using shrubs, flower beds, rock beds, and patches of grass for a result that will really add value to your home.

Rocks are a great conductor of heat. If you’re looking for the most attractive and functional landscape ideas, try forming a dry creek bed around your patio area. Following the natural terrain will allow the “creek bed” to act as a channel for all of that crazy excess rain during monsoon season, as well as the spring melt. Having a rock barrier around your patio means that at night when the temperature plummets and the stars come out, you might enjoy some of that residual heat coming off the rocks as you lounge with friends on the patio for drinks and conversation.

Water

Yes. Water. Sometimes water can be a wonderful and refreshing way to liven up your landscaping when there’s not a cloud in the wide blue sky.

Circulating fountains are a great way to add a peaceful, cooling atmosphere to your outdoor area without using too much water. It doesn’t have to be a huge fountain either. You could purchase a simple pond form from a hardware store and place a few lights and a pump inside it. Prop the pond up on landscape bricks or utilize some of the hilly and rocky terrain that’s so prevalent around Los Alamos to stage your homemade water feature. Then plug it in and enjoy!

No matter what you choose to do with your outdoor living space this year, remember to group any plants by water requirements to keep them healthy and thriving, and don’t forget the Water Rule here in Los Alamos County. If you’re living in an odd house number please water before 10AM or after 5PM on Sun, Wed, and Fri. If you’re an even house number, your days are Tues, Thurs, and Sat. Nature is a huge part of living in Los Alamos. Whether its in your yard, around one of our beautiful public spaces, or out enjoying the National Parks that border our county. Get outside and ENJOY!

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