Understanding Your Electrical System Can Help You Spot Problem Areas

Electricity is the kind of power we love when it’s working and hate when we’re having problems with it. Understanding some basics about electricity and homes can help you, whether you’re checking out a home to buy or getting ready to put your home on the market.

I spent some time with David Zedaker, owner of Zed Electric, getting current on a few basic electric areas to check out in your home.

Check out the electrical panel. It’s a good idea to explore a home’s electrical panel. Here you can discover just how much oomph the home has.

“Typically a 50 or 60 amp electrical service was all that older houses needed and today’s standards call for a minimum of 100 amps and, depending on the size of the home or the amount of electrical appliances installed, a 200 amp would be advisable,” says David Zedaker owner of Zed Electric.

He says a good rule of thumb to apply to determine if you need a 100 or 200 amp service is to consider the size of the home; if it’s 3,000 square feet or larger, a 200 amp service is an absolute necessity. “A 100 amp service can only support up to two large electrical appliances [such as] electrical water heaters, whole-house air conditioners, electric stoves, electric cook tops and ovens, electric dryers, and portable electric spas,” says Zedaker.

Here’s how you can check on the amps. “As you open the circuit breaker panel where the electrical meter is located, there will be a number of black switches inside known as circuit breakers and one of those will be larger than the others and it’s known as a main disconnect. That main disconnect will have numbers on the side of it or on the face of it displaying the rating of that electrical service,” says Zedaker.

Get grounded. “Many homes built before the sixties feature a two-wire system — an ungrounded wiring system with two-prong outlets. That is still acceptable by the code today as many of our devices that we plug in have a two-prong cord anyway — things like table lamps, floor lamps, clock radios, television sets, and those sorts of things. However, many new devices like computers or large kitchen appliances and laundry appliances require a grounded plug or a three-prong plug and that would then require a third-wire in the [electrical] system,” explains Zedaker.

He says that many homeowners will attempt to change the outlet by simply changing the faceplate of the electrical outlet from two prongs to three prongs without actually having it rewired properly. “That in fact creates an even bigger problem because then you have a false sense of security with a three-prong outlet in the wall that really in truth is not grounded,” says Zedaker.

You can check to see if the outlet is properly grounded by using a very inexpensive outlet polarity tester. “It cost about $3.50 at your hardware store. You can plug it into an outlet and it will tell you by a series of illuminated lamps on the front whether or not the outlet is properly grounded or if it has what we call a ‘reverse polarity’ where the wires are actually switched backwards,” says Zedaker.

Look for damaged outlets and exposed wiring. See if you spot damaged outlets, worn or loose switches, or unprotected or exposed wiring. “Under the eaves of a new home, [or a home that's on the market], or in the garage area, you can see a lot of ‘weekend warrior’ type wiring — if it’s exposed then it hasn’t been installed properly and it’s subject to damage that way,” says Zedaker.

Check for ground fault interrupt (GFI) protection. “GFI outlets can be installed very quickly by a licensed electrician in bathrooms, kitchens, garages, and the home’s exterior,” says Zedaker. He says this upgrade is inexpensive but important for safety reasons.

The GFI outlet has two push buttons in it. “This outlet senses a shock hazard. Say, for instance, you go to pick up your hairdryer and your hands are wet or slightly damp, this device senses that shock potential and shuts the outlet off before the circuit breaker could trip,” says Zedaker.

Electrician certification. Finally, if you find you need work done, don’t just hire anyone or you may run the risk of getting a shoddy job.

Many states are now requiring that electricians be certified. Zedaker says it’s important for consumers to ask to see the electrician’s certification. “Most certified electricians are required to carry a card in their wallet,” says Zedaker.

Written by Phoebe Chongchua

Real Estate Outlook: Prices Stabilizing

The economy continues to send mixed messages — some encouraging for real estate, some not — but this week the positive are edging out the negatives.

Take housing prices for example. The research company with the largest database of ongoing real estate transactions – First American CoreLogic, which tracks property values in thousands of Zip codes and neighborhoods – reports that nominal price drops have “stabilized” in 883 core-based statistical areas, showing no declines in the past two months.

Why’s that important? Because flattening out is what we need before we can see a cyclical turnaround — in other words, where even in the hardest hit local markets in California, Florida, Arizona and Nevada, prices have hit bottom.

They’re not likely to drop much further, and in some parts of California are now at such bargain levels that large investors are prospecting for entire packages of houses — ten or more in some cases — to buy in bulk and rent out.

Gary Crabtree, an appraiser in Bakersfield, California, told Realty Times that he knows of one investor who has a standing order for 20 houses that fit specific price and locational characteristics that he wants to purchase.

The National Association of Realtors sees similar bottoming out — even the first signs of turnaround — in a number of key markets in the U.S. In its latest quarterly report, home sales were up year-to-year in 26 percent of all states and 35 percent of metropolitan statistical areas.

Biggest price jumps were in Yakima, Washington, where the median was up 8.9 percent, Binghampton, New York, up 8.7 percent, and Amarillo, Texas, up by 7.2 percent.

On the other hand, the Realtors also reported the national median sales price was down by 7.6 percent from the second quarter of 2007, and now stands at $206,500.

In other key economic developments: New housing starts fell by three percent last month – which is only logical given builders’ still bulging unsold inventories.

And mortgage rates took a dip this week to an average 6.47 percent for 30 year fixed. Fifteen year rates slipped below 6 percent to 5.99 percent. New loan applications for FHA mortgages to purchase homes rose slightly, according to the Mortgage Bankers Association of America — even while applications for conventional home purchase mortgages from Fannie Mae and Freddie Mac dropped for the week.

Written by Kenneth R. Harney

Energy Efficiency Windows

 Windows add beauty and elegance to a home. But windows are also the black hole of thermal energy in a home. In cold and warm seasons you can lose a substantial amount of heating and air-conditioning through your windows. If you’re interested in saving money on your energy costs, there are ways to make your windows more energy efficient.

You might consider planting trees or shrubbery outside your windows. This can help spruce up your yard and block a portion of harsh sunlight from entering the home. A little shade can go a long way in keeping indoors cooler. If you own an older home with wood-framed windows you might try replacing them with new ones. Modern materials such as vinyl and fiberglass provide much more insulation than wood.

Adding drapery and blinds to windows can have a huge impact aesthetically and practically. In the summer you should close your draperies or blinds on windows receiving direct sunlight. According to a study conducted at the University of Florida, medium-colored drapes with white plastic backings can reduce heat gains by up to 33 percent. And when drapes are drawn during the winter or colder months, you can reduce the amount of heat loss by up to 10 percent.

If you’re building a new home, approach your window decisions from a greener perspective. First, window placement is not something to be overlooked. By placing your larger windows facing north and south you can greatly limit the amount of direct sunlight which enters the home. Also purchase windows with double or triple panes. This is more energy efficient and it can also help reduce noise pollution. When shopping for windows look for those with the “Low-E Glass” coating sticker.

The United States Department of Energy recommends windows with this special type of coating to keep windows insulated and protected from ultraviolet light. The government also has a designated logo, Energy Star, for products that offer distinct ecological advantages. And here’s the real clincher, the federal government offers some tax breaks for those who want to invest in energy efficient windows.

Some states also offer tax incentives to make these type windows more attractive to buyers. Check with tax officials to get the specifics for your area.

Written by Tara Darby

Understanding the Housing and Economic Recovery Act of 2008

Don’t be frightened by the title – this is really good news for the first time homebuyer that has been converted to “user-friendly” language!  So, why should you be interested in this information?  Read on . . .

If you have purchased, or plan to purchase, a home between April 9, 2008 and July 1, 2009, and have not owned a principal residence for a period of three years prior to this purchase, you are considered to be a first time homebuyer and may be eligible for up to a $7,500 tax credit.  This means now is the time to buy! 

This sounds too good to be true, right?  Well, let’s take a look at the requirements:

·         Your home must be purchased in the timeframe noted above – 4/9/08 to 7/1/09

·         There are income requirements (modified adjusted gross income level of $95,000 for singles or $170,000 for marrieds)

·         If you are over these income levels, you may still qualify for partial tax credits

Now, don’t worry that you will have to go through a ton of paperwork and meet with a financial guru to set things in motion.  You simply claim the tax credit on your federal income tax return.  According to the NAHB, “Buyers who believe they qualify for the tax credit are permitted to reduce their income tax withholding. Reducing tax withholding (up to the amount of the credit) will enable the future home buyer to accumulate cash by raising his/her take home pay. This money can then be applied to the downpayment. Buyers should adjust their withholding amount on their W-4 via their employer or through their quarterly estimated tax payment. IRS Publication 919 contains rules and guidelines for income tax withholding.”

Still think there must be some kind of catch?  This is really very straightforward, but you need to realize that we’re talking about a tax credit here.  That means you will eventually repay the government, interest-free, over the next 15 years from the date of your purchase (closing date), or when you sell your home (if there are sufficient capital gains from the sale.)

The NAHB explains it this way – “A home buyer claiming a $7,500 credit would repay the credit at $500 per year. The home owner does not have to begin making repayments on the credit until two years after the credit is claimed. So if the tax credit is claimed on the 2008 tax return, a $500 payment is not due until the 2010 tax return is filed. If the home owner sold the home, then the remaining credit amount would be due from the profit on the home sale. If there was insufficient profit, then the remaining credit payback would be forgiven.”

All things considered, this is a great deal for the first time homebuyer and something that should stimulate the economy. 

 

Kris Kombrink has been working in his family-owned real estate business since 1995.  Specializing in Geneva, St Charles and Batavia Illinois residential real estate his team stays on top of the latest trends while maintaining superior customer.  Learn more about his team at http://www.kombrink.com or email kris@kombrink.com

 

 

Is It Time To Go Tankless?

Before we head into the winter months when people start taking longer showers or baths to warm up on a cold winter day, stop and think about how your water is getting heated and if you could be saving money.

I’m talking about your water heater. Heating water accounts for about 25 percent of all the energy used in a home. Many homeowners have a traditional tank-storage-style water heater. But a growing trend is to go tankless and save between 20 to 30 percent in the energy used to heat water.

Marty Fischbeck, owner of In Line Plumbing has installed more than one hundred of the Noritz tankless water heaters since he launched his company three years ago. He says homeowners love them and so does he. Fischbeck has one in his own home.

“They’re a lot smaller than your traditional tank-storage water heater. So you save on space,” says Fischbeck.

Tankless water heaters get bolted on the wall in place of a tank-storage water heater. Then the unit heats the whole water system for the house, but it is the unique way that water is heated that allows it to save you money. Here’s how.

“As you turn on the hot water faucet, as water runs through it, that’s when it heats the water. It’ll never heat water until water is actually running through the system,” says Fischbeck.

However, the way the typical tank-storage water heaters work “is they heat water and then re-heat and re-heat and re-heat,” says Fischbeck.

Tankless water heaters essentially heat water on demand using a heating element (heat exchanger). The heating begins when a flow-activated switch is triggered. The heat can be from electricity or gas. Typically the gas units have a more significant heating capacity and are better for whole-house heating. Because tankless water heaters heat the water without the use of a storage tank, they avoid any standby loss of heat that occurs with the traditional tank-storage water heaters. Standby heat loss happens with traditional tank-storage water heaters when energy is wasted to heat the water and then have it sit in the tank. This is why installing a tankless water heater is touted as an energy-efficient system and cost-saver to homeowners. However, the upfront cost can be double to triple that of a traditional tank-storage water heater.

“The biggest scare is the price,” says Fischbeck. But he says the amount you’ll save in your gas bill will make it worth while. “You’re going to pay it off in probably five years.”

However, tankless water heaters aren’t something that you should just jump right into. If for instance you’re selling your home and need to replace the water heater, then this is an option you might want to consider. Fishbeck says he believes it adds value to the home and should be pointed out to potential buyers.

Keep in mind that the tankless water heater has some special considerations that you need to be aware of, such as how to properly size the tankless water heater unit for your home. You need to consider the amount of water the unit will need to heat, the temperature of the cold water that will enter the unit, and then the temperature of water that you want the unit to produce for your house. These factors will help you decide which unit is best for your household needs a point-of-use tankless water heater or a whole-house water heater.

The point-of-use style can be installed for several hundred dollars in places such as under a kitchen sink and can enable you to have hot water instantly.

The whole-house-style unit provides higher gallons per minute flow-rate capacity to ensure that your entire water-heating needs are met. For instance, you need to make sure that you get a unit that can handle two showers running, a dishwasher, and the washing machine. This could mean that you need more than one whole-house tankless water heater installed. These units typically run thousands of dollars.

Either way, going tankless could keep the cash flow from flowing out of your pocket and into the utility company’s hands.

Written by Phoebe Chongchua

218 N Water St, Batavia IL

218 N Water St #201, Batavia IL
2BR/2BA Condo
$499,900

Come fall in love with this sophisticated end unit condo that boasts stunning views of the Fox River! This home has been richly appointed to include crown molding throughout and Brazilian Cherry hardwood floors in the hallway, kitchen, living and dining rooms. Step inside this luxurious home with its open flowing floor plan. Follow the beautiful hardwood floors to gourmet kitchen that will surely be a cook’s dream. The top of the line kitchen includes stainless steel appliances-dual fuel GE Monogram range, Jenn-air refrigerator, U-line wine cooler and Bosch dishwasher. The kitchen also includes cabinetry with crown molding that goes all the way to the ceiling for plenty of storage space, easy care Silestone countertops, and pendant lighting that illuminates the island. The light and bright living room has a door that leads to the enclosed screen porch where gorgeous views of the river can be enjoyed. Generously sized, the master suite offers a large walk-in closet with organizers and luxurious master bath. Giving it a spa like feel, the master bath boasts a soaking tub, separate shower, and birch vanity with granite counter. Additional features of this home include a heated underground parking garage with two parking spots and large storage area, a den with double door entry, and a convenient location right on the bike path and walking distance to restaurants, the library, and downtown. What a spectacular home with views to match!

For more information call The Kombrink Team at REMAX Excels 630-262-4321 or visit us online at http://www.kombrink.com

785 N Van Nortwick, Batavia IL

785 N Van Nortwick Ave, Batavia Illinois
3BR/1.1BA Colonial
$249,900

Roomy family home in a great neighborhood!  Beautiful landscaping greets you as you enter this 3BR/1.1BA two story.  Step into the open foyer with parquet flooring and prepare to be amazed.  The clean, neutral décor is sure to please in this light & bright home.  There’s a large inviting living room with views of both the front and back yard.  The formal dining room offers a great place to gather for those special dinners.  You’ll love preparing meals in the bright and open kitchen with ceramic tile floor, new countertops, eating area and views into the family room.  Perfect for entertaining and relaxing, the spacious family room includes gleaming Pergo flooring, brick fireplace with gas logs for those chilly nights, and a sliding glass door to the brick paver patio.  Upstairs, room sizes are generous and include the master with private vanity and walk-in closet.  The shared master bath includes ceramic tile floor.  All bedrooms boast hardwood flooring and the second bedroom also has a walk-in closet.  You’ll find tons of storage space in the clean and painted basement with laundry area including utility sink.  Spend hours enjoying the outdoors in the peaceful fenced backyard with mature landscaping, gorgeous brick paver patio and rock garden with small fountain.  Additional updates include a new roof, driveway, furnace, A/C and water heater.  With easy access to parks, schools, shopping and transportation – this is truly the perfect family home!

For more information, call The Kombrink Team at REMAX Excels 630-262-4321 or visit us online at http://www.kombrink.com

Granite Countertops Not Deadly

Think twice about ripping out that granite countertop because you think it’ll give you cancer.

Chances are, one of the most durable, easy-to-maintain and fashionable kitchen countertop materials to come along in decades really won’t “heat up your Cheerios” with radiation.

The Marble Institute of America says such comments are “ludicrous” because, while granite is known to contain uranium (which can produce radon) and other radioactive materials like thorium and potassium, the amounts in countertops are not enough to pose a health threat.

Alarms set off by a recent New York Times story “What’s Lurking In Your Countertop?” can be quickly silenced by a 2008 report the newspaper failed to mention: “Radon Testing of Various Countertop Materials,” by the University of Akron (Ohio) Department of Geology and Environmental Science.

The school sells education. Not granite. Not newspapers.

The analysis of radioactivity in 13 granite samples concluded flatly “Adapting the 4 picocuries per liter of air as recommended by the U.S. Environmental Protection Agency (the EPA recommends taking action if the number is higher) as a reference and the house is not in active use, Crema Bourdeaux (a type of granite) countertop raises less than 7 percent of this action level. The second and third highest radon count stone, Tropic Brown and Baltic Brown can add only approximately 1 percent of this action level. All other countertops adds only insignificant amount of radon to the house. If normal air exchange rate is applied or the house is actively used, then the radiation should be much smaller….If proper resealing is applied once a year or at other frequencies recommended by the industry, the radon emanation can further be reduced.”

Here’s the scoop.

The late July Times’ article begins with the story of a New Jersey woman who purchased a summer home in New York state. An inspection of the kitchen revealed elevated levels of radon, a radioactive gas that can cause lung cancer.

The homeowner, concerned about her pregnant daughter’s exposure, immediately has the granite ripped out.

The story reports the comments of the inspector the homeowner hired, “It’s not that all granite is dangerous, but I’ve seen a few that might heat up your Cheerios a little.”

But it’s not until half way through the story that readers learn the readings in the kitchen were 100 picocuries per liter, only enough to add a fraction of a millirem per hour (a measure of energy absorbed by the body) “provided you were a few inches from it or touching it the entire time,” the story says.

The story concedes, “The average person is subjected to radiation from natural and manmade sources at an annual level of 360 millirem , according to government agencies … . To put this in perspective, passengers get 3 millirem of cosmic radiation on a flight from New York to Los Angeles.”

A rebuttal from the Marble Institute of America says the story “follows the playbook used by two of the largest synthetic stone manufacturers who seek to increase their own sales by raising fears about natural stone.”

The institute also says the story fails to mention venting as an EPA recommended solution for and radon infiltration. The institute also says the story seeks to excite rather than provide academic or scientific information.

Says the institute, “The piece fails to point out that repeated studies have found that granite most commonly used in home countertops is safe. Instead, it vaguely mentions one or two stones that someone deemed to be problematic, then goes on to suggest that the only solution is to remove granite from the home.”

The EPA calls radon “The Health Hazard with a Simple Solution” and suggests anyone with concerns take the sensible approach and contact their nearest state or regional Indoor air-quality agency for help with radon testing and remediation.

Written by Broderick Perkins

Tips for First-Time Home Buyers

Purchasing your first home is a big step that comes with some serious decisions.  When you rent, instead of own, you are just buying the home for your landlord.  Buying a home today is so easy there is no reason to wait, especially since home prices have come down.  But, hurry!  They are beginning to increase due to buyers rushing to get into the market at the lowest prices.    Mortgage rates are also good, so the time is now.  Here are some tips to get you started.

 

Before You Begin, Ask Yourself . . .

Will you live in the home for at least 3 years?  If the answer is yes, then buy now. You can break even selling after 2 years the way that homes appreciate in this area, so moving anytime after 2 years is profitable for you.  Considering tax advantages, you will more than break even; and, you can write off real estate taxes and the mortgage interest.  Rent payments are generally the same as your mortgage payment, so it really doesn’t cost you.

 

No Down Payment!

Did you know you can buy a home with no money down?  Mortgage companies are eager to loan you money if you have good credit and your salary justifies the loan payment.  Don’t believe it if you are told you need a big down payment to buy a home . . . that is yesterday’s thinking.

 

Get Pre-Qualified

This is an easy process.  Just call a mortgage company and discuss your situation.  You can call your present bank or a mortgage Broker.  Ask friends or family for a personal referral.  Use someone with a good reputation.  Interviewing lenders can be done over the phone, so interview a couple to find the right one for you.  Besides asking the current rate, ask about closing costs.  Once you select your lender, meet with them personally and get a pre-qualification letter that spells out what you can invest, interest rate and closing cost.  You will now use this letter to shop for a home.

 

Consult a Real Estate Professional ASAP

The most important person in this transaction is the Realtor that you use.  Be selective on how to choose your Realtor.  Look on the web to find some possibilities.  Do not just use the first one you come into contact with.  Talk to a few and meet in person with a couple of agents before you look at homes.  Make sure your agent sold at least 50 homes in the last year.  Anything less than that means you are working with a new agent or one that does not have the experience that will best serve you.  This agent represents you, so the agent you choose needs to know the area, have a lot of experience negotiating, and be committed to finding the best home and neighborhood that will meet your needs.

 

Make a list of “Must Haves” & “Wants”

It’s very important your Realtor know your criteria in order to find homes that meet your needs.  You can go to www.realtor.com to view homes that fit your specifications.  This will give you an idea as to what is possible in your price range and in the location you want.  Once again, select your Realtor right away so if you become interested in new construction your agent can negotiate for you.  You do not want to not be represented by a Realtor when you are purchasing your first home.  This is very risky because this is a complicated purchase and no representation puts you at a major disadvantage.

 

Make a Decision

Once you find the best home that meets your needs, take action.  Homebuyers often hesitate and this could mean you miss the best home that meets your needs.  If you have chosen a good mortgage broker and a good Realtor, you should have the facts to make the right decision.

 

The time is right to buy your first home, so do not wait.  If you have the right team of professionals assisting you, it is an easy, wise and exciting process! 

St Charles IL Real Estate Market Trends

There are currently 790 single family and townhomes listed for sale in St Charles. The average home is priced at $459,958 which is down 23% from last year. Closings are down 32% with 364 YTD. The median sale price of $355,000 is up 5% from last year. This information was pulled from the Multiple Listing Service of Northern Illinois on Friday, August 15th, 2008.

Information provided by The Kombrink Team at REMAX Excels.  For more information, call 630-262-4321 or visit us online at http://www.kombrink.com