Jenny4stlouis

 

The title of this post should have a subtitle that reads “How building inspectors give us heart failure.”     Don’t get me wrong, I love the inspectors I usually work with.  They save buyers a lot of remorse and future headaches by uncovering or pointing out issues with a home that can be safety, health or huge maintenance issues.   They also do a good job of letting buyers (especially first timers) know what needs to be monitored and maintained on a regular basis.   I’ve learned a lot from these professionals.  HOWEVER, I just had one of them come into my own home after the recent rains/leaks caused us to take a closer look at our basement in anticipation of finishing it.

A little back story…when we bought our villa almost three years ago, there was a roughly finished workout room in the mostly unfinished basement.   Until this year, we had not one drop of water in the basement.   Then the Christmas flood of 2015 came and the foundation – like so many others in our area- sprung leaks.   As we had the various contractors out to fix/plug and trench drains for us we pulled out the rough paneling in this one work out area because we would be starting to rewire and drywall  as we proceeded with our finish.   Well, well, well…behind one wall was a nice big HORIZONTAL crack in the foundation that had some displacement.  Not good.  This needed inspection by an engineer.   Mike and I collectively held our breath.

So I called one of the inspectors I regularly use who happens to be an engineer and asked him to take a look.   An hour later and $300 poorer, Mike and I as well as our contractor Max listened in stunned disbelief as we were told that the fix for this foundation issue would be in the 10’s of thousands of dollars.  My neighbor’s yard would need to be dug up and all sorts of feats of engineering would have to take place in order to make this wall stable once again.   I don’t know about you guys, but our whole budget for this basement finish is maybe $25,000.  And we were just informed that all of that would probably need to be spent on a wall that no one would ever see.  After the inspector gave us the name of a structural engineering outfit for us to call and left, Max to his credit stated that he wasn’t sure such lengths needed to be gone to in order to stabilize this wall…that it had been there for 40 years and only needed to be kept from moving any further.   We decided to wait and see what the foundation experts had to say.  Max also referred one of his go to companies to us so we would have a second opinion.   At this point the only thing Mike and I could do was have a few drinks to drown our sorrows.

It was with great trepidation I called both of the foundation experts and the following day the one my inspector recommended came out to take a look.   Within 30 seconds of looking at the wall, he determined that one vertical steel beam and some epoxy would be all we would need.   Total cost $1538.00.   He explained that it was not as displaced as the inspector first thought and for something like this, just stopping further movement was the goal.  The second company came out and said basically the same thing.  They suggested more than one vertical beam but even that price was something that we could swallow…not even $5000.  Basically both contractors agreed with our contractor Max in his evaluation when the inspection took place.  Mike and I had more drinks that day but this time to celebrate.   Basement remodel was back on!

The moral of this story?   Don’t start drinking till you have all the facts and opinions.  And know that while an inspector may find something in question,  he/she is not the expert and further evaluation may be needed.   Luckily for us it was not as bad as first thought and an easy (relatively) fix.   But even more important, fixing something correctly and not covering up a major flaw is the right thing to do!    Too bad the original owner of the villa (who we think did the cover up) didn’t live by this.  I hope where ever he is,  Karma has caught up to him.

 

 

Happy New year to all!  I hope everyone had a great holiday season and are now gearing up for the new work year!  I am slowly getting back into the work mode as folks begin to look at property again and sellers are getting their homes ready to go on the market.

As a realtor I have to walk a fine line of telling clients that their purple walls need to go and at the same time not insult them!    I think most folks who have watched HGTV understand that neutralizing a home’s paint/decor is important.  We tell clients we want people to see your house not your stuff!    Getting rid of a lot of personal pictures – not all – most buyers understand people live in homes; but de-cluttering and getting rid of some personal items helps open a space up and won’t distract buyers as they come through.

HOWEVER, the biggest thing you can do when you own a home is to take care of it over time!   A home that needs updating can still be a seller if it is clean and well maintained.    If buyers see a clean and well maintained home, it gives them a sense that the home has been cared for.   This gives buyers peace of mind that they will not have a need for major repairs and they can move in and renovate.   A home that is in poor condition and especially dirty will turn buyers off and send them to other listings.   So lesson one is KEEP IT CLEAN and REPAIRED!

If you can keep a home updated decor wise you will generally sell fast and for a higher price!   Some of the biggest updates that sell homes are in the kitchen and bathrooms.   Stone counters vs. laminate – whether it be granite or quartz or marble give a kitchen a huge facelift.   Stainless appliances or even newer black or white appliances add value as well.  Make sure the appliances all match.   If cabinets are worn, new stain or paint is a relatively inexpensive fix that refreshes and gives a whole new look to a kitchen.   The same holds true in bathrooms.   Cleanliness is most important here.   Mold and mildew in showers or in grout are a HUGE turn off but updating is even more helpful.   Keeping a newer adult height vanity with stone counters and neutral tiles in a shower/tub surround will appeal to most buyers and they will know that they don’t have a ton of work to do in a new home purchase.

If you want to sell your home and it does need some TLC, spending anywhere from a few hundred to a few thousand dollars can translate into a higher sale price.   It is the difference between selling at the low end of the price range or the higher end.   Most sellers are interested in paying off a mortgage and perhaps having a little bit of money left over for a down payment on another home.  So getting the best price is important.   When dealing with a paid off house or the estate of a parent,  often older folks or heirs are involved.   In these cases some minor repairs or neutralization is enough if the sale price can be lower  and not so much an issue.   But either way if a home is dirty or in poor repair, it will sit on the market and get even less than is possible if some maintenance is done.

One of the biggest issues we see as agents is PET ODORS.   If you have animals, DO NOT let them urinate on carpets or floors.   The odors are often impossible to remove and it will require ripping out flooring and sub flooring to eliminate.    Animals often destroy baseboards or walls too.   We love our animals and consider them family members but if you consider them a family member they need to be held to the same standard as their human counterparts.   Poor behavior in both animals and children is not cool.   Nothing is as big a turn off than the odor of ammonia from cat/dog urine.

At this point I have to say thank you to my dream clients who come to me to sell their homes that are fully updated and pristine!   It makes my job easy to show their beautiful homes and generally they sell quickly and with multiple offers.   But more often than not, a home comes to me with some rough spots that need to be polished but if sellers are realistic and willing,  we can smooth out those issues and turn the problem into a selling point!   And a $10,000 investment in fixes can translate into 25,000+ in sale price.   Truly!

So if you are interested in selling your home, talk to an agent (preferably me!) and let me guide you on what you need to do to get market ready!   Keep your house CLEAN and MAINTAINED.  Neutralize decor and de-clutter when getting ready to sell.   And most importantly  KEEP PET ODORS AT BAY.

 

 

Thank God it waited until after Christmas day to begin the Midwest Monsoon of 2015!   Now, I’m from Hurricane country and know a thing or two about torrential rain and high water levels….from no electricity to moldy drywall to finding small sea creatures in your kitchen drawers after storm damage.  It’s not fun.  But in Florida when 12 inches of rain falls,  it drains very rapidly in the sandy ground.   And most folks don’t have basements.

Here in the Midwest we have a love/hate relationship with our basements.  We love them for the extra living space and storage they provide; not to mention shelter in a tornado!  Most folks looking at homes in this area won’t look at a home without a basement for that reason.  But when rainfall of Biblical proportions hits us and those wonderful below ground playrooms flood, it’s a nightmare.

We had such an event beginning Christmas night and lasting three days.  To be honest it was my husband Mike who bore most of that nightmare. (I like to think that it was his penance for not being Santa – see previous blog post)   We have an unfinished basement and are in the process of getting ready to renovate it.  It was a blessing in disguise in a way that we had this happen before we finish it.  We have lived in our home just over 2 years.   This was the first time we had any water in the basement.   For three days as one previously repaired crack began leaking and another new crack appeared and started leaking as well, my husband would empty buckets and mop the floors round the clock every 1-2 hours depending on how hard it was raining.    He heroically kept all of our boxes and extra furniture that is being stored down there, dry.   He was like the little boy in the fairy tales with his finger in the dyke.  He certainly has a new appreciation for what our forefathers and mothers had to go through to wash clothing in years past.  Raw, sore hands from wringing out towels and a sore back from mopping the floor.

I am not in any way complaining.  While a huge pain, we didn’t have to rip out carpeting or have anything ruined in a finished basement and we certainly didn’t lose our house as some in these parts did with all the rivers over flowing etc.  Others have suffered devastation.  From homes floating down river having been pushed off their foundations to lives lost when cars were swept away and everything in between.  We have a warranty on the one previously repaired crack and we discovered that someone put in a partial french drain and sump pump in our basement and we only need to extend the french drain to fully cover the areas we plan to fix and hopefully this won’t happen again.  So our situation was in the grand scheme of things, minor.   

As a realtor, we often deal with basement leaks and what to do about them.   Sellers must disclose knowledge of leaks etc.  What we tell our clients is that all basements will have foundation cracks at some time and some of these will leak.  The clay soil holds so much moisture and doesn’t drain quickly.  It has nothing to do with flood plains. It’s just the way it is. Vertical cracks are normal and easily dealt with.   Horizontal are more worrisome.  These suggest foundation instability and need more shoring up.  It’s not a deal killer but engineers need to be involved in repairs.   So buyers beware!

When you prepare to finish a basement,  spending money on sump pumps and french drains is money well spent. Especially when your basement is completely below grade.  But I would do it for walkout basements too.   And consider what you do on your floors.   I have decided to stain and seal my concrete floor instead of putting down wall to wall carpet.  That way if at any time we have any water in the basement, it won’t destroy the floor. Ceramic tile is also waterproof.   I will keep all my readers posted as we move forward with our renovation.

In the meantime, let us all hope that the deluges are over for a while and our saturated ground can dry up.    I suppose it could have been much worse, if we had temperatures cold enough for snow, we would have had over 120 inches!   Imagine St. Louis with that kind of snow.  If it wasn’t so dangerous a situation, it would be funny to witness.   So as we begin 2016 let us all toast to drier weather in the coming weeks and happy renovating!

 

 

Well…it’s been a while since I had a chance to sit down and write.   After the disappointing end to baseball season (SO PLEASED FOR THE KC ROYALS!)  we were off to Boulder, CO  to visit our older son and celebrate Thanksgiving and now…it’s three weeks til Christmas and I can’t be bothered to care – much.  Seriously.

First let me say that I can’t wait for both of my kids to be home and in the house with us!  That’s the most fun…their youthful energy and humor wakes up our house and keeps us laughing!   I love every minute of that.

What I am finding that I like less and less is the decorating of the house, the shopping for gifts for everyone and the proverbial Christmas meal planning.   Mainly because I have to do all of this.   Therefore, it is my humble opinion that Santa Claus is a woman…not a fat old man.

My husband will take offense stating his assistance with getting the tree up  and the lights outside working.   And he does do those things.  But that’s pretty much it.  I even have to help him with his gift to me!

I would love to see him have to spend time thinking of gifts for his children, our extended families, our six god children and their families PLUS think of where the decorations are going to go, and plan where and with whom we will eat.

Forget about going out to buy said food/gifts…mail them to the appropriate people and OH lets not forget the holiday card.   He doesn’t do ANYTHING to help with that – save posing for the family photo.   Shutterfly?  What’s that?

I don’t mean for this to be a husband bashing post at all.  In fact it makes me laugh to think of my poor, hapless husband trying to think of what to buy for his great nephew and niece, both under the age of 6.  He would go to the store and call me 4-5 times to ask me my opinion on what to buy.  I am sure he is like so many other men who are clueless.  Women are the engines of the American Christmas Express.  And that is a fact.  St. Nicholas must forgive me.

And perhaps we do it to ourselves.  I know my motivations were my kids when the were small…wanting the “magic” of the season to stay with them as they grew.  And when they were small it was truly magical, waking up on Christmas morning and seeing their sweet little faces so full of excitement and wonder.   But now, at 24 and 20 we are hard pressed to get those sweet, stubbly faces out of bed before noon.  Presents or no.   So why continue the efforts?   Is it just habit?

I blame two things….adult children and lack of estrogen.   My adult children have no children of their own yet – as they shouldn’t.  But grown kids are so much less fun to surprise on Christmas and they don’t want cute toys anymore, they want $300.00 head phones by Dr. Dre.  or a clothes steamer (really?)  What happened to the days of the Power Rangers “mega-ninja-falcon-zord?” (say that fast three times).  Or Thomas the Tank Engine?

No estrogen?   No problem!  Just don’t ask me to care. About anything remotely maternal.   This includes Christmas and all it’s accoutrements. It’s appalling really.   “Cook your own damn roast”  and “Here’s a wonderful gift card”   because I cannot bring myself to care about getting you  a thoughtful gift.  LOL!  Maybe when I do have grandchildren it will go back to being magical.   I pray that it is.

Christmas is supposed to be a celebration of the birth of Jesus Christ and as a Christian I want to celebrate this Holy Day.   But I think we often lose the true meaning in all of the hustle and bustle and worrying about gifts and food.   We think more on ourselves than the birth of Christ.   As I get older I think this becomes the issue.   After years and years of doing the planning, shopping, sending, cooking, I want someone else to take the reins so I can ponder the true meaning instead of worrying about lumpy gravy.

But alas…until a daughter in law comes along who I can pass my Santa crown on to…I will have to persevere.

 

 

 

Well….it’s over.   Baseball season in St. Louis, that is.  The fact that it was the Cubs that ousted us Cardinals makes that a bitter pill to swallow.   And it doesn’t help that Chicagoan’s are acting like they are SOOOO superior because of it.   I mean really….come and talk to us when you have at least 6 World Series wins under your belt!!!  Then you can begin to gloat.   On the other hand, I am happy for my friends from Chicago – it’s a nice feeling to win and heaven knows that they don’t get a lot of that up there at Wrigley.

Will I root for them in the upcoming Pennant races?   Maybe.   The Mets are POND SCUM after all.   But if it becomes a Chicago/KCity World Series…I may have to give my allegiance to the Kansas City team.   If the Mets win, I will certainly be rooting for the Royals.   If the Mets and Blue Jays are the two teams…I’m not sure I will care.  I secretly hope it is Chicago and Kansas City…then the media will have to leave their left and right coast perches and condescend to come to the – GASP– MIDWEST to cover the World Series.  (read this line with sarcasm and scorn)

So as the Cardinals have discovered, having the best record in Baseball doesn’t mean you will win the Pennant or the Series.  Sometimes 100 wins isn’t enough.  Is it fair?  Probably not.   But as we can all recall, when they won in 2011 they were down in August by 20+ games if I am recalling correctly….and in the end delivered such a blow to the Texas Rangers that I don’t think that club has recovered to this day.  When I re-watch footage of David Freese’s triple that tied the game and the home run that guaranteed another game,  I almost feel sorry for them .  Almost.

The Cardinals were unbelievable this year with injury after injury to key players.   They managed to persevere.   And as usual, the sports world becomes a metaphor for real life.   We don’t always get a perfect scenario do we?   And yet we have to find it within us to succeed anyway.   Or at least make the effort to not fail.  No one expected the Cards to succeed the way they did and I think that is why the media and other teams/cities secretly hate on them so much…because they do NOT FAIL.  They made it to the playoffs in the face of adversity.  How many of us can apply this to our own lives?

It can be applied to anything in life.  Work.  Weight. Relationships. Kids.   Have I succeeding in raising my kids?   I would like to think so…but when I visit my son in Boulder and see the condition of his home (with two other roommates in all fairness) or my younger son’s car interior…its hard to think “SUCCESS” but one is gainfully employed and the other is not failing University so “not totally failing”….and maybe that’s okay.

With weight/health….Not failing is a way of life.   I will succeed when I drop a pants size or three.   I mean it is so unfair that being healthy and trim is so DAMN hard and being a lazy ass sloth is so easy.   So I am happy to NOT FAIL completely and will dazzle myself when I do get into the lower sized pants.   (Part of succeeding is being optimistic and delusional)

Relationship:   That is one area where I can say I have succeeded.   Overall.   On a day to day basis one has to realize that not failing is okay too.   And not becoming a murderer.   I love my husband very much but sometimes I wonder what crazy hormones caused me to think he was a great choice!   Or maybe it’s lack of said hormones that are the problem.   I don’t know its kind of confusing.   One day he’s prince charming, the next day he’s Archie Bunker and the next he’s become a version of his father or mine.   I wish he’d make up his mind.   I would, of course prefer Prince Charming.   Archie Bunker is much more fun to argue with though.

Work is a daily struggle…not in a bad way, just dealing with the normal ups and downs and the different clients I serve.   This year has been the year of “not making everyone perfectly happy.”   Clients were either elated and enthralled with me and my services or they were moody, and unhappy . A fellow agent laughed at me when I told her this and said “you sound like a seasoned agent!”   Much of what makes clients unhappy are things I have little or no control over.   I am the middle person trying to smooth everyone’s feathers and put out fires that I didn’t start.    One buyer purchased a car in the midst of underwriting for a loan (I had the seller).    One seller changed closing time to later in the day and that ruined my buyer’s plans for getting started with the move in.  Both situations resulted in schedule changes and much angst.  In the end both deals closed.   Did I feel successful?  Not really, but I didn’t fail.  And I have to keep telling myself that.

Sometimes, like the Cardinals, no matter what we do…no matter what our record for the year we cannot make everyone happy and win.   But the Cardinals didn’t fail…they didn’t give up in the face of much adversity.   And we should all follow their example.   Everyday.   (Now, if I just had Adam Wainwright’s salary…..)

So as a 55 year old woman, I am beginning to feel my age in the day to day aches and pains in my joints!   Sometimes getting up from a seated position or laying on the couch is a lot like unfolding a difficult beach chair!   Once I’m up I’m fine but the getting there is NOT pretty.

Of course this is appalling to me…I always prided myself in being thin and not having to worry about my figure.   That all ended at age 30 when I had my first child (you’re welcome Tommy).  It was a shock to realize that the baby fat doesn’t just fall away as you blissfully breast feed your child.    Enter the gym membership.   And not just the gym membership but the personal trainer.  A former Marine who kicked my butt.  Thankfully, with a combination of running 2-3 miles a few days a week and a good weight lifting program, I managed to get back into fighting pre-baby shape after the first and second pregnancies.  Oh and I also moved in 1996 – that process alone caused me to lose 20 lbs.   Keeping the house showing clean with a dog and two very small kids…great diet plan!  NOT.

Now, the weight has slowly crept back up.  Back injuries and hip pain have caused me to stop running and it’s been a rude awakening to find myself fighting to get back into shape!   And as one ages extra weight is harder on joints etc.  Sadly, my running days are over due to my hip and back issues but I have started walking on the treadmill at an incline that I gradually increase and as I do I keep the mph steady.   At first I found myself hanging on for dear life which is terrible form…if you can’t walk normally its too hard for you, you need to adjust….but with time and perseverance I can now walk into the incline up to 21%.   I may not be able to speak to anyone at that upper level, but I don’t have to hang on !   30 minutes nets me around 400 calories without the pounding of running.   I also love yoga/pilates for strength, flexibility and balance.  I find myself unable to balance as well as I used to…not only from extra weight throwing me off but also from aging.  I almost think this is more important than the cardio as I age.   How many older folks get hurt from balance and falling?   I urge everyone…even men…to do a regular yoga class.   Men have a harder time with flexibility and don’t feel comfortable in these classes often times, but this is exactly why they need to go.  My husband still has not attended.  I’m working on him.  I secretly want to see him in this class so I can laugh at him – but don’t tell him I said that.   One poor man I attended with once was having such a hard time achieving lotus position he farted several times in the process.   It’s poor form to laugh in class when this happens.

I also have started using an iphone app called MY FITNESS PLAN….this allows me to track my calories and exercise so I know pretty accurately what my calorie intake is for the day and I can stay on top of my eating.   LOVE this app.  It allows me to input my own home recipes too…and it has a huge library of restaurant food and grocery foods.   The biggest challenge is figuring out amounts.   Often they list grams instead of cups for certain things.   But for the most part it’s easy and thorough.  One just has to be honest and input EVERYTHING one eats.  Minor detail.

The last thing I have been doing is making one meal a day a smoothie/juice drink.   Usually I do this around brunch time using fruit, spinach ( which is a vegetable that blends well and you don’t taste it) almond milk, whey powder (if you use regular milk or yogurt you don’t need extra protein).  I often add a bit of coconut milk yogurt or flax seeds.  Another favorite is pumpkin puree, almond milk, coconut yogurt, dash of ginger and nutmeg and ice.   It tastes like pumpkin pie!  Many smoothie recipes call for bananas…and I am allergic to them…so I have to find recipes without them.   Pineapple works well in alot of recipes and adds natural sweetness so I don’t have to add honey or any other sweetener.  The protein powder and frozen fruits make the smoothies thick like a milk shake…and they satisfy my hunger.   I usually have a small snack mid afternoon and then a normal dinner.   If I eat a lunch as I am as I write this (chili, guacamole and some yummy desserts at the office)  I will drink my smoothie for dinner.  But since dinner is usually the meal my husband and I share, I try to make dinner my normal meal.  I have experimented with these a bit and I’m one of those who has texture issues with food….if it’s gritty and grainy, I’m not going to drink it.   So there have been some that have gone down the drain fairly quickly.  Taste, I know is also subjective so folks need to try what they like and what works for them.   The NINJA blender is a must for these or some other professional style blender.

I have started to see some slow progress in my waist line…frankly, I’m more concerned with health than weight loss but I wouldn’t mind getting down in pounds a bit.    As I recently joked with a friend “I have a turn of the (20th) century figure that I need to maintain”.   A figure from a time when weight on women was a sign of affluence and money….and women who were tanned and stick thin were the lower classes that had to work hard in the sun everyday to eat.   Now it’s the other way around – of course.

So as we slide into Fall and in anticipation for the feasting of the upcoming holidays….I thought a health oriented blog post would be appropriate.   And as I am enjoying my chili and guacamole I can feel less guilty.

Recently got back from a trip up to Connecticut to visit family.  While there, we visited NYC as we usually do when we are in that area.   Since we have been there many times, we don’t need to visit the usual tourist sites ( Statue of Liberty, etc.).  We like to visit neighborhoods to get a taste of what each has to offer.

This time, however our objective was to go to Ground Zero and see the finished park and visit the 9/11 museum.   The anniversary is around the corner too – it’s hard to imagine it’s been 14 years since that horrible day.   We had figured on 2 hours of time to see the grounds and museum.   We purchased our tickets on line the night before and thus when we arrived off the subway at Fulton Station, we were happy to go right past all the lines waiting to get tickets and got right into the museum.   If you go, make sure you do this.   Save TONS of time.

Once inside we were immediately struck by the lack of noise.   Very little talking even though there were hundreds of folks inside along with us.   You first encounter a beautiful photograph of the NYC Skyline taken from Brooklyn the very morning before the attacks.  It was really a gorgeous pre-fall  morning, with clear blue skies that made the Twin Towers really stand out on the skyline.  Then you see a dark piece on the wall that shows the flight path’s of the planes that were hijacked- (photo included here).  It is there that you hear the voices of people telling you where they were when they heard the towers had been hit and what people were thinking.   It brought that day back very vividly for me.  Not only was it horrible to witness what was happening to all those in NYC and Washington…but it was the first time in my life (and I was almost 41 at that time) that I felt unsafe in my own country.   No one knew what was coming next and it was frightening.  I suppose I was blessed to live 41 years without ever feeling insecure in the U.S.

There was so much to see in the museum – the stairs that survived the collapse of the North Tower….pieces of twisted metal from the superstructure…what was left of the cell tower on one of the buildings…a semi-flattened fire truck…a wall behind which reposed the remains of those who were never recovered.   There was a room with the photograph of every victim – including those who died in the planes as well as those who perished when the towers were bombed in 1993.  I met an older couple whose son worked on the 96th floor of one of the towers.   He went in late that day, Thank God.   What struck me was how young most of the people of wall were.  They were working people.   Many of them with young families. They were educated.   The best and brightest of our world.   Struck down by barbarians.

Then hardest of all was the exhibit of artifacts that were found in the rubble.   Credit Cards, ID lanyards, wallets, purses, glasses.   Pieces of the airplanes, children’s clothing, money, cell phones…signs left from the buildings and surrounding businesses that were damaged or destroyed.   While looking at the pieces of the lives of those lost, you were hearing phone messages from the towers begging for help.   Firemen and police trying to reassure folks that help was coming.  The dispatchers calling for all the fire trucks and engine companies.   There were so many named and still it wasn’t enough and certainly we know now, so many of those sent to save lives lost theirs as well.   All the news feeds from that morning…the Today show hosts trying to make sense of what was going on that day.  It was overwhelming.  A horrible and wonderful tribute.

We were there for 3+ hours and we could’ve stayed longer.   The infinity pools outside that mark the footprint of the two towers were peaceful and fitting tributes.  Names of all the victims carved in brass around the pools had flowers stuck in the lettering here and there as folks who knew victims left them in remembrance.   The Freedom Tower nearby stands 1776 ft tall with gleaming glass and stainless steel.  It’s a wonderful museum that everyone should visit so that we teach our children about the bravery and perseverance of the American people and so that we never have to witness something so horrific again.  NEVER FORGET.

So…thrill of thrills, I attended a seminar today at the St Louis Association of Realtors to delve into the coming changes to the lending practices that will affect every home purchase.  This was supposed to begin on August 1 but has been delayed until October 3 so the busiest time in the real estate year will be winding down.   So here is what I learned….caveat…this is as I understand things that were presented today.

This is a change mandated at the Federal level to further protect the consumer….buyers mainly…in the home buying and lending process.   This change comes as a direct result of the Dodd Frank bill SO this is FEDERAL LAW.

CFPB has taken over HUD (Housing and Urban Development) as well as other lending like student loans. It is going to provide a simpler one page CLOSING DISCLOSURE which will be easier to read for the consumer.   This is a good thing.   The Closing Disclosure will be generated from the lender not the title company – right now this is just the opposite…the lender would send “numbers” to the title company and then the title company would generate a HUD statement often less than 24 hours before closing.   Now, the borrower MUST receive this a minimum of 3 days prior to closing or closing must be changed.  I also believe that the “pre approval” that buyers have gotten up to this point will be more in depth and this will be better in the long run for overall execution of the contract.  ( we will know more about buyer up front -hopefully)

The problems that will arise are longer time periods from contract to closing.  Right now we are usually 30-45 days out.   With these new regulations it will be closer to and maybe longer than 60 days.  Any major changes (change in loan type, APR increases, addition of pre payment penalties) will require a 3 day “reset” which will potentially delay closings.  And the time from the LOAN COMMITMENT DATE to closing will be longer – at least 2 weeks, maybe longer.   Walk through will need to occur earlier and thus sellers will probably not be out of their homes when the buyer walks through.  This can become complicated if damage is done when seller does move and buyer has already closed.

Sellers must be mindful of contracts that they accept – and the timelines to make sure the proper time frames are accounted for in new contracts.   Using different Title Companies might also complicate things…so if a seller is paying closing costs then they can dictate which title company can be used.   This will help matters from that end.  Cash deals of course are not affected but often a buyer will say they are a cash deal and opt to take a loan out after the contract is accepted.  Once again, timeline will change and closing will take longer.

I am having lunch with one of my lenders – Corey White at USA Mortgage next week to further discuss and understand what is coming.  SO if you are thinking of buying a home… or selling one, NOW is the time to do it and avoid the uncertainty.  Any loan application taken before October 3 will not be subject to these new rules and thus will not be affected.

Oh….and the most awkward change of all…”CLOSING” will now be call “CONSUMMATION”….hmmmm. No comment.