Gary Pierpont Blog

Experts have given a few tips that homeowners can use to help cool their homes this summer, and save significant money. Replacing air filters on a regular basis is advised, and can help keep your home cooler while saving electricity. A dirty air filter can decrease the cooling system’s efficiency by 2%. Adjusting the thermostat when you are away from home can also help save money. Also, keeping the shades closed during the heat of the day can decrease heat gain by approximately 45%. Additionally, experts say that sealing all air leaks can help cool your home by around 20%. More here

Two senators are working to change specific reverse-mortgage rules in an effort to keep heirs safer from foreclosure. A growing number of heirs are facing foreclosure after receiving confusing information regarding their parent or grandparent’s reverse mortgage after the borrower has died. Senators Barbara Boxer and Charles Schumer are pushing for the housing department to make heirs’ options more understandable and clear. More here

Profits from flipping homes are increasing. The profit for flipping a home has jumped 30% making the average sales price in this year’s first quarter $55,574 higher than the purchase price from last year, according to RealyTrac. Daren Blomquist, vice president at RealtyTrac said, “slowing home price appreciation early this year in many of the most popular flipping markets put some investors in danger of flying too close to the sun. But investors appear to have recalibrated their flipping strategy, accounting for the slower home price appreciation even if that means fewer flips. This is another good sign that this housing recovery is behaving much more rationally than the last housing boom, which was built largely on unfounded speculation rather than fact-based calculations.” Additionally, the average time to flip a house has increased 9 days from the previous quarter, averaging 101 days to complete the process. More here

Remodeling spending is increasing and currently up 30% from its lowest point, and single-family construction is showing signs of improvement, as well. According to recent data, a home improvement project that cost $50,000 in 2010 has now increased to $60,000-$70,000. The costs of materials and labor have grown, and in order to find the best deal, experts have given a few tips such as asking friends for referrals, deciding what your financial cut-off is, asking for your contractor’s opinion, and maybe most importantly, negotiate. More here

Foreclosure rates in the U.S. have fallen, according to current data. Home foreclosures decreased 37% year-over-year, averaging 720,000, down from 1.1 million in early 2013. CoreLogic’s most recent National Foreclosure Report states that there were approximately 48,000 complete foreclosures nationally last month, down 5,000 from this time last year. Mark Fleming, chief economist for CoreLogic said, “the inventory of homes in foreclosure and serious delinquency status are back to 2008 levels, yet remain elevated from a historical perspective.” More here

Your credit score determines many important aspects of your life such as buying a home, a car, or applying for a credit card. Lenders look at your score to decide if your credit is strong enough to qualify for a loan or line of credit. Experts have offered a few tips to help increase your credit score such as opening a bank account, paying all bills on time with no exceptions, applying for your first credit card, having a stable job, and applying for a small loan to establish credit. Experts also suggest checking your credit report regularly. By staying on top of your credit, you will be knowledgeable of the things that can help and hurt your credit score. More here

Home sales in the U.S. hit the lowest levels seen in more than 1-1/2 years last month, according to the Nation Association of Realtors. Home sales have fallen 0.2% to an annual rate of approximately 4.9 million units. Although sales have slipped, experts do not expect this trend to continue. It is suggested that as the weather improves, home sales will pick up once again. Gennadiy Goldberg, an economist at TD Securities said, “the negative housing momentum, which was exacerbated by severe weather conditions during the winter months, may be starting to fade.” More here

Experts have compiled a list of ways that homeowners can lower their electricity bill, save energy, make their homes more comfortable, and reduce climate change impact and pollution. Doing simple things such as using ceiling fans, drawing the curtains during the heat of the day, and turning down the thermostat when you are not at home will save about 2% on your heating/cooling bill. Installing tankless water heaters and using incandescent lights are simple investments that will save money. Also, unplugging electronics not in use will further curb unnecessary energy expenditure. More here

An increasing number of Americans are feeling financially secure, according to new data. Last year, vacation home sales jumped 13%, the highest level seen since 2006. Overall, annual home sales increased approximately 30%, averaging 717,000. Median home prices increased to $168,700 from 2012. Additionally, the stock market has gained strength, according to Lawrence Yun, chief economist at the National Associaton of Realtors; the S&P 500 had a 30% return last year. More here

Although the housing market has not yet made significant strides this year toward recovery, Fitch Ratings’ Chalk Line report suggests that, as the year continues, more growth and stability will be apparent. As the economy begins to gain momentum and job growth increases, the housing market will follow suit. Some factors that may negatively affect the housing market may be rising prices, low income levels and investor participation. Experts say it may be a slow start, but the housing market will soon level out and make profitable gains once again. More here