Second Home Strategies

While most people buy second homes using conventional financing, some are taking different approaches. Here are a few options:

• Pull equity out of a primary residence to buy a second home. This has become a popular investment diversification strategy in recent years.
• Rent your primary home and purchase your second home. This strategy might work well if you are planning to retire to the second home one day.
• Buy a vacation home and rent it out when you’re not using it, to help pay for it.
• A growing number of people around the West are considering fractional ownership, a fairly new option in which owners purchase fractional shares in a vacation home and use them for a certain number of weeks per year. While it may sound similar to most time-shares, in a fractional ownership program you own a portion of the vacation property and get a deed that appreciates for your share

Measuring Up!!!

Summer will be here soon and some of you may be thinking about a remodeling project. perhaps an outdoor kitchen, updating a bath or even adding a pool or spa. Here are 10 tips to make sure that your contractor measures up.

1. Hire only licensed contractors.
2. Check a contractor's license number online at www.cslb.ca.gov or by calling (800) 321-2752.
3. Get at least three bids.
4. Get three references, review past work.
5. Get a written contract and don't sign anything until you have completely understood the terms.
6. Never pay more than 10% down or $1,000, whichever is less.
7. Don't let your payments get ahead of their work. Keep a record of your payments.
8. Don't make a final payment until you are satisfied with the job.
9. Don't pay cash.
10. Keep a job file of all papers relating to your project.

Fix-It Projects to Speed The Sale of Your House

The interior walls are neutral. The clutter is a distant memory. A shower door has been replaced and even the bedspread has been staged. This San Jose home also got a professional inspection and appraisal to limit any surprises down the road. Now it is ready for sale!

For some sellers, a little extra work can mean not only a difference in how smoothly the sale goes but how much they can ask for their home. Talk to Realtors and they will tell you anything you do cosmetically to increase curb appeal is going to help the resale value.

Here's the bright spot: Many improvements that have an impact on selling a home aren't very expensive at all. And some tasks, such as giving rooms a fresh coat of paint, quickly pay off.

Those planning on adding a "for sale" sign to the front lawn this spring might want to consider these five areas while creating their to-do list.

1. First impressions count - The home's exterior, the shrubbery, the gutters and the front door should all be kept fresh and clean.
2. Neutralize and declutter - Neutral colors can have an added advantage of making a room appear larger. Remove all the clutter, basic spring cleaning: shampoo the carpets, rebuff hardwood floors and oil any wood cabinetry.
3. Consider replacement projects - Home buyers recognize the value of a house that doesn't need major repairs.
4. Kitchens and bathrooms rule - It's no secret that buyers tend to be awed by updated kitchens and bathrooms.
5. Warranty coverage and documentation - Sellers can provide some extra peace of mind to buyers by purchasing a home warranty on their home that will cover such things as heating and plumbing should the buyer run into problems after closing.