The weather in 2008 was hard on people and their homes all over our great Country from hurricane Ike, to deadly tornado’s and ice/snow storms.  Even if you were lucky enough notto  have to endure any of these treacherous storms you most likely new someone that was dealing with it.

In trying to help a friend I learned something new today regarding remodeling projects and wanted to pass the information on just in case you had not heard or might have forgotten.   Contractors are required to register interior renovations on a project that exceed a cost of $10,000.00 with the Texas Residential Construction Commission. The commission charges fees to the contractor/remodeler for the application and for follow up inspections. The TRCC will review the application and do a background check for the registered agent of the contractor/remodeler.

The contractor is also required by law on home improvements/repairs that exceed $5000.00 to deposit your payments in a construction account with a financial institution.  Homeowners can ask for written verification of the existence of the construction account and how the disbursements are being done. Access to the account record should be included as a requirement in your written construction contract.

I hope this helps people become aware of these requirements and if you see or know of  things you would like me to get the word out on please place it on my blog.   Knowledge helps all of us.

As our new President Obama stated earlier today “What is required of us now is a new era of responsibility — a recognition, on the part of every American, that we have duties to ourselves, our nation, and the world, duties that we do not grudgingly accept but rather seize gladly,” Obama said. “This is the price and the promise of citizenship.”

Hello again,  Last time I blogged about Eco-friendly homes.  This time I would like to touch base on the types of “Green-House” products and its’ value.  One major contributions to homeowners is the reduction in the country’s energy usuage and helping to improve the environment. For instance, adding a more efficient, green heating and cooling system will help lower utility cost which you can easily expect the system to pay for itself over a few years. These heating/cooling systems average an extra $2000 over normal systems but save you the home owner an average of $500.00 per year.

Another item to consider for your “green house” would be Bamboo flooring which is a renewable plant and is not killed during harvesting.  Bamboo unlike Wood is a harder more durable and longer lasting product.

When considering going green the homeowner needs to keep in mind that when they place their Eco-friendly home on the market a new buyer may not consider these amenities a value thus not pay for these extras.

As the world shifts toward different eco-friendly amenities it will also help to establish a value for these products. Are these products considered “Value in use” or Value in Exchange”?  Basically does it make a contribution to the market?

For Appraisers who estimate a homes Value in Exchange only this is based on what consumers are willing to pay for a certain amenity.

For Lenders under the current system accepting Green Homes can be of deep concerns.  Most lenders make money when the loan is put together and then they bundle them up to sell.  Green homes are not widely used yet therefore they are not in conformity with other standard type of home loans.

In time these Green homes will become more familiar to consumers and become more acceptable by builders, lenders, and appraisers.

Talk to you soon and let me know your thoughts at www.pattimace.com.

Patti

p.s…another product to look into is Photovoltaic solar electric systems.

How knowledgable are you when it comes to your home and the environment?  Should you decide to build a home you may find that your builder is among many that are now using eco-friendly products in the home building process. Building green can be costly, but home buyers are willing to spend this knowing that they are helping to save the environment along with the anticipation to recover some of these expenses through savings on energy and water bills.

If asked, most people want to go green, but how far are they willing to go?. There has to be a compromise somewhere between what’s ‘over the edge’ green and what can get be placed in the housing market so that people can have a home that’s environmentally safe and attractive.