When it comes to buying a house, first looks can be deceiving. As a home buyer who just recently moved into a home that had graffiti inside the house (yes, go ahead and read that again…graffiti inside the house…), I had to literally drag my boyfriend to let me take on the project of fixing this place up. With an overgrown yard, horrible paint colors (graffiti in the living room is pretty bad…especially when it’s grammatically incorrect), a downright terrifying basement and an abundance of flickering fluorescent lights straight out of a zombie horror flick,  it needed a lot of love. Which got me thinking; I wonder how many people passed on this house strictly because of its aesthetic condition. Because they clearly missed out; after only 2 months, this place is the envy of all our friends that advised against it.

So here are a few simple renovation tips. Don’t miss out on a great home when all it needs is a few of these simple solutions!

1.) Paint. Never judge a room based on its current color. A brand new paint job completely transforms a room, and realistically, it only costs about $100, and that’s if you buy all the materials (paint rollers, edging tape, etc.). If you know someone that has a paint roller already, than all you have to buy is the disposable stuff, and if it’s a small room you really only need one gallon of paint, bringing your total to maybe $50 or $60.

2.) Lighting. A dark, poorly lit room is going to look like a dungeon no matter how well it is designed.  Changing our fluorescent, nasty lights with natural, white light is going to give your room an entirely different look. Another great tip is to hang mirrors around the room where light from the windows comes inside. This bounces the light around the room to make it seem larger and brighter. A few decorative mirrors might cost you anywhere from $50 to $100 (search the thrift stores!) but it will make a huge difference in brightening your room. 

3.) Curb Appeal. A well groomed lawn makes all the difference, and it really doesn’t cost all that much. Instead, you’ve just got to roll up your sleeves and get in there. After just a week of weeding, mowing, watering and planting, your house will be unrecognizable…in a very good way!

And while plants can make any home look more luxurious and lived in, they can be expensive. Our advice; hit up plant nurseries for straggler plants. These are the ones that might have broken branches or a dead spot in the back that’s keeping it from selling. A lot of times, nurseries will let these plants go for half price (or more!) and there’s really nothing wrong with them besides their appearance. It might look a bit gnarly this year, but with a little love and good pruning next year it will look good as new.   

Everyone thinks it won’t happen to them. Scratch that; everyone usually thinks every crime won’t happen to them. The fact is, when it comes to being taken advantage of, most people like to think they’re one step ahead of the game. Well, as many folks have found out over the last decade, it’s much easier to be taken advantage of than you think, and predatory lending is a prime example. These are basically lenders that are you luring you in under false pretenses. It can cause you to lose your home or property investments, and the said thing is the lender really doesn’t care. That’s the whole point, you see, for them to end up with your assets.

So how can you protect yourself? Do your research. Here is a list of typically predatory lending practices, and if your lender is offering any of these things, regardless of the reasoning, run like hell and contact the better business bureau in your state or the Affordable Housing Centers of America.

1.) Making a loan for more than the home is worth. Yes, it can be a pleasant surprise to find that your home is only worth $220,000, but your lender is willing to lend you $250,000. Don’t be fooled; this is a common tactic. It may feel like you’re getting extra, but it’s still a loan that you’re going to have to pay back, and it’s going to be a lot more difficult to make payments on a $250,000 than a $220,000 loan. And remember, that’s the whole point…for you to not be able to make the payments. If it’s too good to be true, it probably is.

2.) Pressuring you to take out a high risk loan with penalties on pre-payments. There should never be a penalty for wanting to pay off your loan early…never. Paying a loan off early means you end up paying less interest over time, which is bad news for a predatory lender.

3.) Increasing interest rates or fees based on irrelevant factors, such as your race or nationality. Bottom line: this is illegal.

4.) Pressuring you to accept the offer immediately. This is not a used car that you are buying, this is a home. Pressuring you to sign is a way of keeping you from thinking through the situation. In addition, it’s important to know that you have three days after the signing of a loan to back out for any reason. They may not tell you this, but it’s your right.

5.) Encouraging you to lie on the application. There is never a good reason to lie when applying for a home loan. In the end, it will just end up biting you in the butt. And think about it, when it really comes down to it, it’s your word against theirs. Is it going to sound more plausible that you lied on your own or that your lender was encouraging you to lie on their company’s application? Never lie, ever. And if you’re being pressured to lie, get the hell out of there!

And damn…there’s damage. Seeing as you’re getting a great deal on the house though, you might start to think about what damage is worth living with. Well here are three things that should be nonnegotiable…unless you’re literally getting the house for free. And even then, you might want to rethink things.

1.) Water Damage. The thing about water damage, is it’s tough to confine to one area. If the upstairs bathroom has been leaking, causing damage to the upstairs floors, it’s not too far-fetched to think some water has been seeping down to the lower levels. Therein lies the problem; you never really know how much damage has been done. As you start renovating one room, there’s a good chance you could find similar damage in the adjacent room. What started out as a master bathroom renovation can quickly turn into an entire-left-side-of-the-house renovation.

2.) Foundation Cracks. Foundation cracks are never good, but it should be said that a small, isolated crack in your foundation is not necessarily the end of the world. Cracks that have been left unattended, however, are going to be seriously costly fixes.

The main issues is this cannot go unsolved. The foundation is the integrity of the home; as long as it’s faulty your entire house can actually be considered unstable, and therefore unlivable. In addition, if part of the foundation has settled or seems to be sinking, the job calls for a professional, which is only going to add up to more money flying out of your bank account.

3.) Termite Damage. The main issue with termite damage, like water damage, is the probability of more damage than what meets the eye. If you find that termites have been feasting on one area of the home, there is a very good chance they’ve also made it to other areas of the house. This means everything needs to be checked, especially any weight bearing beams and wood floors. You don’t want to think you’ve gotten it all taken care of, just to fall through the floor of your attic 6 months later, do you?

For the most part, if your home inspector notices any of these issues, ask how severe the problem is. If this is, in fact, your dream home, than it’s probably worth it to pay the inspector a little extra to do some serious snooping. Who knows…maybe the upstairs faucet has only been leaking for a week and the water damage that’s been found is really the extent of it, but it’s always better to be safe than sorry!

Let’s paint a little picture; the kids have moved out and you’ve got 2 extra spare bedroom in the house. After the appropriate amount of time where you leave the bedroom untouched (your kids move back home, you’re not past the mourning stage of the kids moving out of the house), you need to figure out exactly what you are going to do with that room.

So let’s say the appropriate amount of time has passed (maybe four years, maybe four days), and you’re ready to address the extra rooms. We’ve gathered a few fun ideas for that extra room of yours.

1.) Guest room. Yes, it’s obvious, but the list couldn’t be made without it. Whether you’re looking to sell or to stay in your home for the next 20 years, a guest room with neutral settings (not the naked girl posters your 18 year old son hung on the walls) will prove extremely useful when the time comes. And that way, even if one of your children still might need to temporarily live at home (maybe during summer break at college), they’ll still be able to use that room.

2.) Home gym. Let’s face it, not all of us can get to the gym every day, and if you are retiring soon (which is often the case when the kids are up and out), it can be enormously convenient to have a space at home to get in a little exercise. No need to worry about furnishing it with expensive gym equipment; a few free weights, exercise balls, a yoga matt and some resistance bands will do the trick.

3.) Hobby room. Think of it as the art studio or the scrapbooking room you never had. All of that hobby stuff you have in storage can now come out in the open. No more digging through buried bins to find your favorite paint brushes, they’re all ready for you!

4.) Game room. When a friend of mine went home she found that her mother, who had been keeping her pretty bedroom in picture perfect condition for the last 2 years, had finally caved and let her husband turn her bedroom into a game room, complete with a poker table and a built in bar. Her parents both say that room gets the most use, by far, out of the other rooms in the house. After all, when the kids move out, it’s time to really enjoy yourself!

5.) Kids playroom. When grandchildren come along, many grandparents find it tremendously convenient to have a room in the house where their 1 year old grandchild can roll about in glee. And no need to make it look like a child’s room; a daybed will create the ability to double as a guest room, and baskets and bins can provide stylish storage.

Summer is rapidly approaching, and we all know what summer in New York often brings: heat. And not the dry, somewhat manageable heat that Vegas lays claim to, but humid, sticky, oh-my-god-what-did-I-ever-do-to-deserve-this heat. And what’s worse, sometimes air conditioning isn’t an option. Whether you just can’t afford to install Central Air (or just a window air conditioner for that matter), or you’re landlord isn’t allowing you to make any changes to your apartment, there are a few things you can do. And take it from me, someone who avoids heat at all costs, something is better than nothing.

1.) Know where extra heat in your home is coming from. There are a number of things in your home that create heat, and when you are trying to cool things down any extra heat can be incredibly frustrating. Your dishwasher, for example, can get pretty hot as it’s running, so make a decision to only run it in the evenings. Same goes for your oven. If you have to use it you have to use it, but if your friend wants to make cookies and his/her house has air conditioning, do the baking at their place.

2.) Increase air flow throughout the house. It doesn’t take a genius to realize that a slight breeze will make things feel slightly cooler. Having a ceiling fan or even just a small side fan running will help your home feel a bit more livable.

3.) Run a dehumidifier. Ever wonder why it feels so hot in New York on an 85 degree day? If you have, the answer is humidity. As stated in the first paragraph of this article, New York is a merciless place when it comes to humidity, and the more humid it is the warmer we feel. So running a dehumidifier in your home will make sure that 80 degrees actually feels like 80 degrees and not 95.

4.) Have heat-reflecting curtains. Having dark, heat-absorbing curtains is only going to make it easier for heat to be transferred indoors. Curtains with a white, reflective backing that faces outward will reflect light, thereby making it harder for the resulting heat to make its way into your home.

5.) Create shade where you can. If your window is facing direct sunlight, it’s naturally going to be much warmer than the window on the other side of the house. Not because of the temperature outside, mind you, but because sunshine is pounding directly on it. Try to shade any window that gets nonstop sunlight. Create a small awning or plant a tree outside your window. Heck, the owner might even pay for it themselves.

You may not be too worried about whatever is floating around in your house, but the fact is other family member (like children, the elderly or pets) may be in greater danger than you think, so here are a few ways to make sure your home is the safest sanctuary you can possibly make it.

1.) Clear the air. People tend to forget about what’s in their air as soon as they step in the door. It’s a common thought that outside pollutants don’t make it inside your home unless you’ve got all the windows open. Not true. Outdoor pollutants can make it inside on your clothes and through drafty windows. In addition, indoor pollutants (cigarette smoke, radon or carbon monoxide) can be even worse. Make sure to have a carbon monoxide detector installed, as well as picking up a radon test kit at your local hardware store. Another great change, in addition to sending smokers outside (yes, even you), is to have an abundant amount of houseplants (spider plants, Boston ferns, rubber plants, etc.) to help clear the air of harmful toxins.

2.) Re-think your furnishings. Carpet is notorious for holding onto bacteria and a plethora of cleaning chemicals that made their way into the air and then settled on the carpet. If you’re set on carpet, make sure to use a “chemical free” one that will be safer for your home. The same goes for your mattress; make sure to buy one that is “chemical free” and, in turn, much safer.

In addition, try to buy used furniture. Brand new furniture has often been freshly processed, meaning all of those chemicals used to treat it are still leaching out.

3.) Watch what you clean with. It used to be that if a cleaning product was “all natural” it probably didn’t work very well. Not anymore. There are now countless green cleaning products that safe to use as well as easy on the planet.

4.) Get rid of moisture. Moisture and heat are the most significant contributors to mold, and while we’re sure you’re going to want to live in a warm house, we’re also sure that you aren’t going to want to live in one swarming with bacteria, so eliminating moisture is your best bet. Install vents in the bathroom for shower time, and make sure to have one in the kitchen as well to clear the air after boiling a pot of water.

5.) Clean up! It seems like common sense, but if it were common sense, I would’ve left it off this list. If you want your home to be clean and healthy, you’ve got to clean it! That means wiping the counters off with a disinfecting spray after you use the kitchen, vacuuming at least once a week, and changing your sheets (recent research shows once a week is optimal, but no less than once a month).

In today’s age, it seems everything has the possibility of scamming you, and renting a hoe is no exception. Here are a few rental scams you need to be cautious of.

1.) The Money Order Scam. This scam uses your sense of comfort against you. The renter (the scammer), typically posts a nice apartment for rent at an extremely low price. When you email to inquire about the place, the renter claims to be out of the country on business (or in some way unable to meet with you or speak over the phone). He or she agrees to rent you the place, but in order to verify that you are able to pay the rent, they will ask you to wire a given amount of money (usually over $1,000) to one of your friends. Typically, the renter feels safe doing this since the money is going to their friend. Next, the scammer will have you show them a copy of the receipt to prove the transaction when through, and since a money order can be picked up anywhere (literally anywhere in the world), the scammer can use the information from the receipt to pick up the funds.

2.) The WHO Scam. The WHO (World Health Organization) scam starts off with a house that is available to live in, but one that doesn’t require any rent. The “owners” typically claim to have been transferred out of the country for their job building shelters and helping the poor in 3^rd world countries. They claim to be looking for someone who will simply do upkeep on the house, like cleaning tasks and yard maintenance in exchange for a place to live.

They will claim to have the keys and essential documents with them, but will often give you an address to drive by and see the house. This is going to be an address of a very nice house, one that you would absolutely want to rent. Instead of asking for rent, all they are asking for is a one-time deposit (usually around $1,000) to ensure you won’t trash the house. After you deposit the money you never hear from them again.

Ways to Notice a Scam:

- The email is addressed to a Sir or Madam. This is usually because they are using a generic email.

- The email has multiple misspelled words and grammatical errors. Any professional email isn’t going to have misspelled words, so that is a dead giveaway, but the main issue is phrases that don’t quite sound right. For instance, instead of saying, “The only person we trust died last year in a place crash,” it might say, “The only person we trust was dead last year on plane crash.”

- The email contains an excessive amount of capitalization. These people want to get their point across that they are requiring NO RENT, or that the money needs to be transferred TO A FRIEND. These are words that would not be capitalized in a normal email.

- The emails references many known trustworthy identities. If the email constantly references God, if the sender claims to be a Reverend or a doctor doing work with their church or claims to be part of an established national organization (World Health Organization, for example), it could be a scam.

- The sender claims to have an abundance of funds to pay you. If you keep seeing phrases like, “We are a multi-million dollar company” or “I have inherited money in the millions” they are most likely a scammer.

Do you have any tips for avoiding a rental scam?

It’s actually surprising how many people don’t shop around for the best deal when it comes time to get a home loan. Many banks and credit unions offer different rates, and you by no means are required to choose your personal bank as the lender for your home loan. It’s important to call a number for places to make sure you’re getting the best deal possible. After all, we’re possibly talking about a 30 year commitment here; wouldn’t you want to do a little research before making a definite decision?

The answer is yes, you probably would. So here are the top five questions you should be asking every potential lender:

1.) What are your rates? This is referring to the interest rates. Rates tend to change for a variety of reasons (the market, the economy, your credit score, etc.) and each lender offers different rates. What you are looking for is their APR (or Annual Percentage Rate). This includes all the lender’s fees plus the interest, so they don’t end up quoting you a low interest rate then piling on fees on top of it. Since fees can be very different from lender to lender, you’ll want to know the total amount to be able to best compare between them.

2.) What is the minimum down payment for this loan and how can it help me? You want a down payment that is at least 5% of the purchase price of the home, but more than that can qualify you for lower interest rates or better terms of the loan. If it is less than 5% (sometimes more or less, depending on the lender), you may be required to purchase PMI, or private mortgage insurance, which will add up to another cost.

3.) What other fees and expenses will I need to pay? This question not only ensure you’re getting all the right information from each lender, so no “surprises” show up at signing, but it also shows how knowledgeable this person is about this process. Do you really want someone handling your loan that has only been working there for 3 weeks, or someone that has been doing this for 24 years?

4.) Is there anything that would qualify me for a better rate? Each lender probably has a different answer to this question. You may qualify for a better rate if you’re a single parent at one place, and then qualify for better terms if you are a student at another. And since the person you are talking to might not remember all the qualifications that could be beneficial, getting all the information ahead of time could remind them of something they might have otherwise missed.

5.) What other information do I need to know when comparing you to other possible lenders? It might not be advertised, but maybe the lender you are talking to hasn’t foreclosed on a home in 6 years, meaning they are probably very easy to work with if something comes up (a medical problem, for example) that would require you to adjust your current payment agreement. In addition, this is where you might learn of issues that would delay your qualifying for a loan which might be different with other lenders.

If you’ve never bought a home before (and even if you have), hearing all of the terminology that gets throw around can be a bit confusing. Sure we all know what a mortgage is (it’s my monthly payment, right? No? That’s my mortgage payment? Oh…), but even if you don’t here is a quick list of words you might be hearing a lot of lately. Learn these, and the whole process should simplify itself a little bit.

1.) Mortgage. Your mortgage is actually your loan that you used to buy your home. They are paid back to the lender through scheduled payments (your monthly mortgage payment) over long periods of time, typically between 15 and 30 years. The term fixed-rate mortgage, as in a “30 year fixed” mortgage, means that the interest rate on the loan remains the same throughout the entire life of the loan. An ARM (or Adjustable Rate Mortgage), means the interest rate is subject to change. You may be able to get a better interest rate at first with an ARM, but later it may be adjusted to a higher rate. An ARM is typically considered more of a risk for a homebuyer. A Conventional Mortgage is not insured by the government.

2.) Principal and Interest. Principal is the initial amount of the loan that you are awarded. This doesn’t include interest amounts or additional fees. If you qualified (and accepted) a $200,000 loan, than your principal would be $200,000. Anything added on (the amount charged to you in order to use the lender’s money) is considered interest. It is usually calculated using a percentage of the principal balance.

3.) Amortization. Amortization is the act of gradually paying off a loan. Your monthly payments are a form of amortization. Part of your payment is applied to your principal balance while another portion is applied to the amount of interest accrued. Since the interest is calculated using the principal balance, initial payments pay more toward interest, while later payments (when your house is almost paid off) pay more toward the actual principal balance.

Many times, when considering a potential home, all the positive features of the home will be offered right up front. And while this sounds like a good thing, it can often become a little overwhelming. It’s located in a fantastic school district! It’s close to public transportation! It comes with a free parking space! It has a tree in the yard!

That’s all fine and good, but when you need to make a decision between a few houses you’re looking at, all these extra amenities could come into play. One house has a free parking spot; another has better access to public transportation. If you don’t own a car, it’s easy to see which one you’re going to go with. However, as far as for the house itself, here are a few amenities that you should always consider.

1.) Central Air. Unless you live in a perfectly even climate (like some lucky people in southern California), central air is more significant than you think. A window air conditioner can only get you so far, but when they’re running for 24 hours a day, months on end, their life expectancy tends to shorten. Plus, they could be quite large depending on the size of your home, and they take up coveted window space. What’s the point of paying for that amazing view when it’s blocked by a large, gray, humming box?

The cost of installing central air ranges anywhere from $3,000 to $7,000, depending on the size of your home. It has a much longer life expectancy (roughly 10 years when being run 24 hours, 365 days a year), it’s quiet, and it doesn’t block any windows. Paying for a house that already has central air installed could be a huge bargain in the long run.

2.) Up-to-date kitchen appliances. Kitchen appliances are expensive, and top of the line appliances are even more so. If you’re considering a home that has just installed brand new, stainless steel appliances, you know they are not only going to last, but will also make a great selling point if you’re looking to sell in the next 5 years or so. In addition, many newer appliances are eco-friendly, meaning you could also end up with a lower utility bill, saving you even more money on monthly costs.

3.) Whether it can be made handicap accessible. Turning a traditional home into one that is handicap accessible is an enormous and incredibly expensive financial burden, but many newer home are being built with this in mind. Doorways are made larger, for example. You might not be thinking about it now (no one ever wants to envision what life would be like in a wheelchair or with other forms of assistance), but it’s an important point that shouldn’t be overlooked, for both yourself and any family and friends that might be frequently paying you a visit.