Home Improvement Corner

Americans spend almost 200 billion dollars annually on home remodeling improvements and repairs. Most contractors, who perform this work, do so in a professional manner. Yet year in and year out home improvement contractors (used car salesmen a very close second) top the list in consumer complaints. Complaints range from substandard work to unnecessary work. Some even collect deposits and never perform the work. Under the best circumstances home improvement projects can present some unforeseen situations. As a homeowner or renter the last thing you need is starting a project with an unscrupulous contractor.

Following a few simple steps will help avoid problematic contractors. These steps will not guarantee a "problem-free" project but rather increase the probability of a successful project.

* Determine the exact scope of the work. Know beforehand precisely what you want.

* Shop for a contractor. Use word of mouth, suppliers (tile, kitchen cabinets, flooring), Coop/Condo Boards (contractors who have previously worked in your building). Ascertain their area of expertise; in other words, if their company title is "Joes Plumbing" don't use them to redo your hardwood floor, even at that "rock bottom" price.

* Obtain a minimum of three written estimates. Perform a license check on the bidders. NYC.gov has an instant license check on the Consumer Affairs webpage. NYC law stipulates criminal background checks, written exam, license fee, mandatory bond or contribution to trust fund by license holders. Ask to see their insurance documentation when they present their estimates. They must also provide three references with their contact telephone numbers. Research complaints through BBB, and local DCA.

* Pick the top two bids and call their references. If possible ask the reference if you can visit and see first hand the quality of work? Ask if the contractor adhered to the projects timeline? Did the contractor clean up on a routine basis and did they take reasonable precautions in dust/damage protection at the residence? Was the contractor present during most of the project? Was the material received in a timely manner? Did the contractor adhere to the payment schedule?

* Choose the successful bidder. Prepare a detailed contract with terms and payment schedule.

In my next article I will discuss the contract details and project management during the job.

Nick Sosa Contractor. nicksosa@aol.com 914-837-9913

Does My Beautiful Home Really Need Advice From a Home Stager?

This interesting article from the real estate blog Active Rain by Margaret Oscilia is one of the clearest explanations of home stagings goals and effects we've ever seen. Margaret is a Home Stager in Salem, Oregon.

Dear Home Staging Expert:

My home is beautifully decorated and I receive many compliments on my style and taste in furnishing and decor. I'm preparing to sell in the near future and my real estate agent advised I hire a "home staging expert" to give me some advice. I can't imagine what benefit I would receive from this service. (I actually find it a bit insulting.) Please advise.

Sincerely,

Divine Design Diane

Dear Diane:

Thanks for taking the time to ask this important question before dismissing your agent's recommendation. First and most importantly please keep this in mind: We decorate our homes to create a beautiful environment for us to enjoy. When selling, we create a neutral palette for someone else to paint their story upon.

How we decorate our homes to live in and how we decorate to sell are two different things. This should not be considered an insult on your design style. Staging for sale is merely a different design concept. You home's decor may need to be modified to appeal to the general public and so the photos look spacious and inviting. Have you ever been to a model home? They has limited furniture and decor so buyers can move around easily and enjoy the home, but not be distracted by the decor.

You mentioned that your home is beautifully decorated with your style, this may be different than what is appealing to some potential buyers. Can you afford not to appeal to every person who views your home? Now is the time to remove some of the personalization and make it easy for someone else to see them living there, placing their own style in this home.

Usually a beautifully decorated home is easy to prepare to appeal to the broadest number of home buyers possible. For example:

* Remove smaller furniture pieces and decor, to make the room appear more spacious and improve traffic flow.

* Remove decor that draws attention to itself, rather than the architecture or purpose of the room.

* Remove custom draperies that have a style not consistent with current home buyer's desires or that block light from entering the room.

* Keep a neutral palette throughout the home with accents of color.

For example, in the above photo, what do you remember most - the beautiful window or the window coverings? If someone likes a sleek style, will they be able to feel comfortable in this room which contains lots of furniture and patterns? While this is a beautiful room, a few changes could make it more appealing to home buyers.

This room also is well decorated in neutral tones. Removal of a few furniture pieces and decor would improve traffic flow and make it appear spacious in photos and in person which is important to home buyers.

While hiring a home staging expert for a consultation may seem unnecessary for beautiful homes, their fresh perspective and knowledge of what home buyers perceive and are looking for can be a valuable tool to be used when preparing your home for sale.

Alexander Hamilton's Harlem Home

Hamilton Grange, the only home ever owned by Alexander Hamilton has been moved to Saint Nicholas Park @ West 141st Street. The Federal style country home is temporaily closed due to phase 2 of construction and restoration project. Alexander Hamilton was the first United States Secretary of the Treasury, a Founding Father and political philospher.

To read more, click on the link.

An Aerie Straight out of the Deco Era

http://www.nytimes.com/2009/10/18/realestate/18livi.html?_r=1&ref=realestate

New Harlem Condos

PS 90 Condominiums: A Test Case in Harlem

"Lowballingturnspredatory"

The Real Deal is one of our more widely read trade magazines. The recent article "Lowballing Turns Predatory" paints a picture of buyers being in control at all times. This piece talks about offers being made 40% below the ask price and buyers making offers on multiple properties. How accurate is this picture? Generalizing can obscure the facts. As a downtown specialist under $1M I can safely say the reality is much closer to the following:1) Inventory has remained somewhat stable, particularly in the sub $500K range. We have not seen the normal influx of new apartments on the market at the beginning of the year. This doesn't mean the existing inventory is moving, just that the number of new properties coming on the market is less than the average for this time of year.2) Interest rates have moved much lower in the past few weeks - as of this writing below 5%. Several buyers I've been working with have noticed how much more they can afford now per month, and of course this makes a big difference. 3) Sellers have begun to realize they really can't ask any price they want and hope to get traffic, let alone bids. There have been some significant price reductions and some apartments must be considered fairly priced. 4) There are some buyers out there. These are generally people who have not been directly effected by Wall Street's meltdown, both because they didn't work in a bank and also because they haven't lost significant money in the stock market. 5) As the weather improves more people decide to look for apartments. During the colder months of the year less buyers are inclined to shlep out in the snow to look. The other important point the article makes is about how 'trigger-shy' buyer are even after an offer has been accepted. Reports of people walking away from deposits or simply not signing contracts are common. This piece also doesn't mention the ever growing challenges even qualified buyers can face in getting a mortgage or gaining board approval. It would seem the stage has been set for some activity in the next several months. What is completely clear is that the seller's margin for error has never narrower. There simply isn't room for bad marketing, incorrect pricing or other various mistakes far to numerous to mention.