Many times home owners ask real estate agents what improvements they can make that will add value to their home when it comes time to sell.  Given that the average American moves every 4 years, it is important to think about increasing the resale value of a house.

There are 5 key areas to look at when adding value to a home: kitchens, bathrooms, flooring, landscaping and structural improvements.

The most valuable home improvements include kitchen and bathroom remodels.  Updates in these areas are the number one requirement of most buyers.  Not all updates have to be expensive, for older houses, a coat of paint, new hardware, and new countertops make a big difference.  For newer houses, upgraded countertops and lighting, custom backsplashes and modern appliances can make your home a stand out.

Next, consider the flooring. Replace vinyl with tile. Replace carpet in high traffic areas with tile or hardwood floors. Wood flooring can easily be repaired or looking fresh with buffing and refinishing.  Always replace worn or nasty carpet, but don't spend too much, get a nice pad, so that you can lift and replace just the carpet in 5 years. 

The landscape is an often overlooked item.  If the yard is all rock or lawn consider adding a few perennial planting beds.  Put in a simple drip system and plant a tree or two and in a few years you can have some nice shade.  Landscaping doesn't have to be elaborate, but it needs to be something.

Consider improving more structural items like increasing the overall square footage.  Examples include adding an additional bathroom, bedroom or sunroom.  Think about renovating a carport to a garage, building a covered patio or adding a deck.  Simply replacing old windows and sliding glass doors can add value to a home.Finally, over-improving a home can be a bad investment when it comes to resale.

For example, a home in a neighborhood with $250,000 homes doesn't necessarily increase in value because it has lead-crystal chandeliers or a 6-car garage. Even if the home is "worth" $350,000, buyers looking to purchase a $350,000 home want to buy in a neighborhood with comparably priced homes. Values are determined not only by the condition of the home but also the value and type of houses which surround it.

Your goal when the time comes to sell your home is to make it look better than the competition without overspending for the area.

According to a study conducted by the Social Issues Research Centre the Internet can be bad for your health.  When you are surfing the net do you sometimes experience a rapid heart rate...increased sweating...furious clicking of the mouse...cursing at your computer screen?  If so, you may be experiencing the first signs of "mouse rage."

The study combined data from a poll of 2,500 internet users and measured the physical and physiological reactions to website experiences, looking at brainwaves, heart-rate fluctuations, muscle tension and skin conductivity.

Results indicated that badly designed and hosted websites created stress and anger which included "bashing the mouse", causing what the researchers referred to as ‘Mouse Rage Syndrome'.  The top five defects researchers found we detest in websites were slow loading pages, confusing layouts, excessive pop-ups, unnecessary advertising and site unavailability.

Did we really need a study to tell us that? I doubt it, though I wonder how long it will take for the phrase "mouse rage" to enter our computer lingo.

The southern and eastern parts of New Mexico have a new area code.  575 went into effect on Monday, October 7, 2007.  We have a year to get our letterhead, business cards and advertising changed.  Mandatory use of the new 575 area code begins October 5, 2008.  If a number is incorrectly dialed at that point a recording will notify callers of the new area code.  In January 2009 the call will no longer be completed.  Every one with a business phone system will need to get busy making sure their phone systems will convert, cell phone users will need to reprogram their cell phones to dial the area codes for all local numbers.  Equipment such as automatic dialers, fax machines, life safety systems, alarm and security systems, security gates, voice-mail, call forwarding settings or computer modems will have to be reprogrammed.

Fun fun!

At today's Silver City Chamber of Commerce Workshop I learned several things about marketing.  First of all it was a very well attended Chamber luncheon.  Secondly, any Chamber member that does not regularly attend the Chamber luncheons is missing out as it is a great networking opportunity.

The topic was about Internet marketing and responsible tourism.  The points that came across to me was that everyone in a community is impacted by tourism.  Many readily appreciate tourism such as hotels, restaurants, destinations, etc.  But the point that was made is that every one has a stake in promoting tourism because if the hotel has a good year they could potentially expand their business and bring more business to the building and furniture trades.  If a restaurant has a great year the owner could buy more advertising and bring money to the newspapers or web designers.  If an organization puts on a great festival or production that brings in out-of-towners the REALTORS could potentially get home buyers.

The discussion was about marketing a communities history, geography and culture.  If many businesses market the community then together the community benefits.  Any organization that markets their town it is a thing of value to the community and to the business.  There was discussion about building a marketing plan and implementing it using print, radio, television and Internet.  Word-of-mouth advertising is not to be counted on because generally it is the negative things that get repeated, very rarely do people comment on positive experiences.

In the discussion about websites one of the key points I heard that I could relate to is "Today people assume you have a website if you are in business."  A website is nearly, if not as important as having a business card.  Keep your website information current and fresh.  There was discussion about using keywords,  use keywords that YOU would type into a search engine if you were looking to find your business.  On your website set yourself up as the expert in your business and the community.

The keynote speakers for today's program were the ladies at Southwest Blend Magazine.

I recently returned from the REALTORS^® Association of New Mexico annual convention.  After many formal and informal discussions my conclusion is that real estate really is local!  I know that the National Association of REALTORS^® has been pushing that theme for the past year or so and I bought in to it, but not wholly.  However, at the convention there seemed to be a reported disparity of markets between communities in New Mexico.  While some commented that the market is sluggish, many stated that their market was only showing minute slowdowns.  The northern and central markets seem to be seeing the highest decrease in sales while the southern half of New Mexico is reporting a slight softening of the market.  All areas show an increase in inventory of homes.  Most stated that prices are coming down but generally these price reductions are on the high end homes and builder track homes.  It has been reported that New Mexico dodged a bullet in the subprime market.  Generally, the players in the secondary market didn't purchase many loans in New Mexico. 

One of the highlights of the conference was a session on risk reduction.  The speaker covered the basics of disclosure, loan fraud what to look for, HUD rules on flipping and RESPA.  The new Attorney for the state association talked about Deeds of Trust, Domestic well regulations, regulations relating to Meth Labs, fractional ownerships and FIRPTA.  Our great friend and colleague Al Winklejohn was recipient of this years state REALTOR^® of the Year award.  Overall it was a good conference!

Thanks to another AR blogger I was reminded today of two property tax exemptions and rebates for homeowners in New Mexico. 

First, is a property tax rebate for residents age 65 and older.  Their modified gross income cannot exceed $18,000 for the tax year and they cannot have been claimed as a dependent on another taxpayer's return.  According to statute 7-2-18 "If a taxpayer's modified gross income is zero, the taxpayer may claim a tax rebate based upon the amount shown in the first row of the appropriate table. The tax rebate provided for in this section shall not exceed two hundred fifty dollars ($250) per return, and, if a return is filed separately that could have been filed jointly, the tax rebate shall not exceed one hundred twenty-five dollars ($125). No tax rebate shall be allowed any taxpayer whose modified gross income exceeds sixteen thousand dollars ($16,000) for taxpayers whose principal place of residence is in a county that does not have in effect for the taxable year a resolution in accordance with Subsection J of this section and twenty-five thousand dollars ($25,000) for all other taxpayers. "

Secondly, state statute section 7-37-5 (Veteran exemption) allows up to four thousand dollars of the taxable value of property, including the community or joint property of the husband and wife, subject to the tax is exempt from the imposition of the tax if the property is owned by a veteran or the veteran's unmarried surviving spouse if the surviving spouse is a New Mexico resident or if the property is held in a grantor trust.  In 2004 the exemption was $3000, in 2005 it was $3500 and in 2006 $4000. The veteran exemption shall be applied only if claimed and allowed in accordance with Section 7-38-17 NMSA 1978 and regulations of the department. As used in this section, "veteran" means an individual who: (1)  has been honorably discharged from membership in the armed forces of the United States; and 2)  except as provided in this section, served in the armed forces of the United States on active duty continuously for ninety days.

Click here for a 2005 Property Tax Facts document from the New Mexico Taxation and Revenue Dept.  To contact the NM Taxation and Revenue Department Property Tax Division PO Box 25126, Santa Fe, NM  87504-5126. Phone 505-827-0870.  You may also contact your local county assessor for more information.

In an effort to better serve their members the Silver City Grant County Chamber of Commerce is providing a special workshop for free.  Learn about creative and cost effective marketing and responsible tourism.  At the Red Barn Restaurant on Wednesday, October 10th from noon to 1:30 p.m.

The workshop will be put on by SouthWest Blend Magazine.  The workshop will include discussion on Internet marketing and responsible tourism.  Learn how to develop a creative and cost effective Internet marketing strategy for your company or organization and learn how to promote responsible tourism for our area.

The Silver City Grant County Chamber of Commerce and SouthWest Blend Magazine have partnered together to promote Silver City and Grant County as a year-round destination and ideal community.

Thursday, September 27th from 6 to 8 p.m. at the Grant County Admin Bldg (1400 Hwy 180 E).  If you are interested in Silver City's zoning and land use issues, please join the Silver City Planning Dept and planners form Architectural Research Consultants  of Albuq for a community meeting to discuss: existing zoning, the development approval process - to improve ease in its use, proposed mixed use zoning and other recomendations, as included in the Comp Plan.  The meeting will provide opportunities for community members to convey their opinions, ideas and concerns.  For more info contact Steve Burstein or Ingrid Biel at ARC in Albuq at 1-877-842-4800 (toll free).

The Red Hot Children's Fiesta will be held from 10 a.m. to 2 p.m. this Saturday at Penny Park in Silver City, New Mexico.  This family event will feature games, prizes and good times.  It is billed as the greatest family event in Grant County.  There will be 34 booths with activities such as an obstacle course, coloring contests and crafts.  Every child gets a prize and a chance to win one of two Toy Town gift certificates and a $50 savings bond.  The fiesta is offered at no charge.  Call 388-1198 for more information.  Planning partners include WNMU early childhood program and Grant County Community Health Council.