Real Estate Information Archive

Throughout the year, your heating and cooling system is pumping out air like nobody’s business, which can make your ducts dirty! Clean ductwork translates to better indoor air quality and up to a 40 percent increase in your HVAC system’s efficiency. Make sure your air ducts are clean by doing this quick inspection:

1. The next time your heating or cooling system turns on (this generally happens about seven times a day), keep an eye on your air vents. If you notice bits of cobwebs, dust or other debris blowing out of your registers, this is a sign that the ductwork further back (that you won’t be able to inspect from your air vents) may be clogged.

2. Grab a flashlight and a point-and-shoot camera (a flash is important!). Locate your vent registers (most rooms in your home should have one on the floor or along the lower half of the wall) and remove the screws holding it in place with a screwdriver. Once the grill plate is off of your register, it’s time to get down to business!
    
3. Reach as far as you can into the duct and take a couple of pictures (you can do this with just a flashlight, but a camera makes it easier to see further into the ducts). If your detective work reveals evidence of dust and debris buildup, your air ducts may need a professional cleaning.
    
4. Mice infestations (especially in the winter) can be common inside ductwork. Check your photos for signs of a mice or bug infestation. Another peek inside your ducts with a flashlight doesn’t hurt, either. You’re mostly looking for rodent droppings or dead insects. If you see signs of an infestation, call an exterminator to resolve the problem.
    
5. Check for mold. If you see substantial mold growth inside your air ducts, they may need a professional cleaning. If your air ducts are insulated, the insulation can sometimes get wet or moldy. If this is the case, the ductwork may need to be removed and replaced.
    
6. If you notice any major problems, contact a qualified professional to have them inspect and clean your air ducts. If you see some build up, but aren’t sure if it warrants a cleaning quite yet, this detailed guide by the EPA can help you decide what to do.

Financing costs are an obvious factor in the decision to buy a home. With mortgage rates rising over the past six months and home prices rising over the past two years, buying a home had become more of a stretch for more people.

Lower mortgage rates will put more homes within reach. A slowing rate of price appreciation will also contribute to continued affordability. On the latter, the National Association of Realtors reports that in August existing home sales were up a strong 4.4% to 5.48 million units on an annualized basis. Sales were driven by higher inventory, and also by slowing price appreciation. The median price of an existing home actually fell slightly to $212,100.

We've reported in recent weeks that we are seeing slowing price appreciation in many markets. But prices are still appreciating, and we expect them to continue to appreciate in most major markets. This is another reason we see risk in procrastinating. Yes, price appreciation is slowly, but prices are still moving higher.

Eventually, rising prices will be coupled with rising lending rates. The home that's affordable today will be less affordable tomorrow, and even less affordable a couple years down the road.

 Courtesy of Jessica Regan.

Search all Harrisburg PA homes for sale.

When you are buying or selling property in today's Harrisburg PA real estate market, it's important to have confidence in your real estate professional. Don’s commitment as your Harrisburg PA REALTOR® is to provide you with the specialized real estate service you deserve.

When you are an informed buyer or seller, you'll make the best decisions for the most important purchase or sale in your lifetime. That's why Don’s goal is to keep you informed on trends in Harrisburg PA real estate. With property values continuing to rise, real estate is a sound investment for now and for the future.

As a local area expert with knowledge of Harrisburg PA area communities, Don’s objective is to work diligently to assist you in meeting your real estate goals.

If you are considering buying or selling a home or would just like to have additional information about real estate in your area, please don't hesitate to call me at (717) 657-8700, complete my online form, or e-mail me at don@donroth.com.

The Federal Reserve's Big Surprise

We should clarify that the “Big Surprise” hit most market watchers and pundits, but not all. Indeed, we weren't surprised at all.

We're referring to the Federal Reserve's decision on tapering – which was not to taper. The Fed has been purchasing $85 billion of Treasuries and mortgage-backed securities (MBS) each month for the past year. Most market watchers had expected the Fed to announce it would reduce these purchases by $10-to-$15 billion each month going forward.

The fallout of tapering would have been higher interest rates. With the Fed reducing its demand – mostly of Treasury notes and bonds – interest rates would rise. This is a key reason why interest rates in general, and mortgage rates in particular, have been rising in recent months. Market participants were anticipating tapering and higher interest rates.

But the Fed announced yesterday it wouldn't taper. It's reasoning for not tapering corroborated the reasons we've given repeatedly: a sluggish economy and anemic job growth.

Fed officials will meet again in late October, and tapering will surely be the lead agenda. Unless the economy and job growth materially improve between now and then, we would expect the Fed to stay the current course.

When the Fed announced there would be no tapering, mortgage rates fell, which is to be expected. According to data from Freddie Mac, the 30-year fixed-rate mortgage averaged 4.5% for the week ending September 19 – seven basis points lower than the previous week. We expect mortgage rates to fall further in the coming week.

Looking further afield, we see Freddie Mac's weekly average fluttering between 4.25% and 4.5% going forward. We would be surprised if the average fell much lower, though. We say that because there is still pent-up pressure for rates to rise over the long term.

The point we want to emphasis is that borrowers have been given an opportunity to borrow at a more favorable rate. We recommend not getting greedy. Too often we see borrowers' propensity to extrapolate a developing trend indefinitely.

It doesn't work that way. All it takes is one month of unexpectedly strong economic and job growth data, and talk of taper will once again dominate the credit markets. Should that occur, mortgage rates will very likely head for higher ground.

Since the beginning of the year, we've been warning on the risk of procrastinating. To be sure, mortgage rates are lower this week than they were last week, but we don't think they'll be materially lower next week... or even beyond.

So keep in mind that the long-term imperative is for interest rates to rise, so the risk of procrastinating remains.

Courtesy of Jessica Regan.

Search all Harrisburg PA homes for sale.

When you are buying or selling property in today's Harrisburg PA real estate market, it's important to have confidence in your real estate professional. Don’s commitment as your Harrisburg PA REALTOR® is to provide you with the specialized real estate service you deserve.

When you are an informed buyer or seller, you'll make the best decisions for the most important purchase or sale in your lifetime. That's why Don’s goal is to keep you informed on trends in Harrisburg PA real estate. With property values continuing to rise, real estate is a sound investment for now and for the future.

As a local area expert with knowledge of Harrisburg PA area communities, Don’s objective is to work diligently to assist you in meeting your real estate goals.

If you are considering buying or selling a home or would just like to have additional information about real estate in your area, please don't hesitate to call me at (717) 657-8700, complete my online form, or e-mail me at don@donroth.com.

If moving all by yourself sounds downright awful, it’s time to hire a moving company. Professional movers will help make the entire process faster, safer and easier – but only if they’re top-notch! Hiring the right movers is crucial to making sure you have a happy move instead of a horrible one.

Here is a six-point checklist for hiring a great moving company:

1. Look beyond the hourly rate.

When choosing a moving company, it may be tempting to pick the one with the lowest hourly rate. Resist the urge! If a mover is charging less than the competition, they’re probably going to cut corners wherever they can, which means your furniture could wind up sporting a new scratch or two.

2. Do your homework.

Before you call a company, go online to see if you can dig up any dirt – or at least read positive reviews. Check the moving company’s complaint history, as well as their standing with the Better Business Bureau.

3. Ask for credentials.

Whether you’re moving out of state or just down the road, the moving company should have some type of moving license, period. Always ask to see their proof of insurance and proper licensing. Moving license requirements will vary state by state, but any company that moves across state lines should have a specific Department of Transportation (DOT) number assigned to them. Tip: You can check for a moving company’s license at ProtectMyMove.gov.

4. Get several estimates.

Once you’ve narrowed the search down to a few companies, ask for a written estimate from each. This estimate should be based on an actual inspection of the stuff you want to move. If a business isn’t willing to send a person to your home to do an estimate, cross them off the list! Movers that only offer to give quotes over the phone can often underestimate the total and may try to charge you for the difference.

5. Avoid hidden fees.

Make sure the movers are aware of everything that needs to be moved to avoid any added charges. The cost of your moving fee may increase if any big furniture gets added at the last-minute, so make sure the movers have an itemized list before they show up. Also, if the moving truck has trouble finding parking by your place, they can charge for the extra distance, so plan ahead!

6. Ask questions about the contract.

Take a few minutes and read the moving contract carefully before you sign. It should detail specific rates, liability, delivery dates and claims protection. If you see something that looks suspicious, trust your instincts and ask about it. Once you’ve signed, keep your copy of the contract until the move is complete, and you’ve fully unpacked.

Information provided by BrightNest.com.

Search all Harrisburg PA homes for sale.

When you are buying or selling property in today's Harrisburg PA real estate market, it's important to have confidence in your real estate professional. Don’s commitment as your Harrisburg PA REALTOR® is to provide you with the specialized real estate service you deserve.

When you are an informed buyer or seller, you'll make the best decisions for the most important purchase or sale in your lifetime. That's why Don’s goal is to keep you informed on trends in Harrisburg PA real estate. With property values continuing to rise, real estate is a sound investment for now and for the future.

As a local area expert with knowledge of Harrisburg PA area communities, Don’s objective is to work diligently to assist you in meeting your real estate goals.

If you are considering buying or selling a home or would just like to have additional information about real estate in your area, please don't hesitate to call me at (717) 657-8700, complete my online form, or e-mail me at don@donroth.com.

The payroll numbers were another disappointment last week. This is bad news. Sluggish job growth, more than anything, will derail housing. We've noted numerous times that rising interest rates aren't a big concern. That is, they're not a big concern with a caveat: Rising interest rates must be accompanied by rising job growth.

Unfortunately, this hasn't been the case. Mortgage rates are up 30% this year while job growth has stagnated.

The fact young adults between the ages 25 and 34 are still struggling is particularly discouraging. Only 74.8% of young adults are working, which is far below normal. During the 2008-2009 recession, between 73% and 74% of young adults were employed. In other words, young adults haven't made much progress – in both the job and housing markets.

This isn't to say we're concerned or have turned bearish on housing. We remain housing bulls, but we'd be a little more bullish if the economy were growing to enable more people to get into the market and to service a higher mortgage rate.

 Courtesy of Jessica Regan.

Search all Harrisburg PA homes for sale.

When you are buying or selling property in today's Harrisburg PA real estate market, it's important to have confidence in your real estate professional. Don’s commitment as your Harrisburg PA REALTOR® is to provide you with the specialized real estate service you deserve.

When you are an informed buyer or seller, you'll make the best decisions for the most important purchase or sale in your lifetime. That's why Don’s goal is to keep you informed on trends in Harrisburg PA real estate. With property values continuing to rise, real estate is a sound investment for now and for the future.

As a local area expert with knowledge of Harrisburg PA area communities, Don’s objective is to work diligently to assist you in meeting your real estate goals.

If you are considering buying or selling a home or would just like to have additional information about real estate in your area, please don't hesitate to call me at (717) 657-8700, complete my online form, or e-mail me at don@donroth.com.

Are We Still Trending in the Right Direction?

The answer to the above question depends on what trend is being referred to.

When referring to mortgage rates, many market pundits will tell you that we've been trending in the wrong direction. After all, rates are up more than a full-percentage point since April. For the past 12-weeks, though, the rate on the 30-year loan has held steady. For the most part, it has bobbed about within a 25-basis-point range.

Rates have held in limbo, anticipating the Federal Reserve's next move. Fed officials meet next week, and credit markets expect to receive additional information on its plans for “tapering.” Opinion among Fed watchers is split: Some expect the Fed to announce a cutback on its Treasury notes and mortgage-backed securities (MBS) purchases. Others expect the Fed to continue purchasing these securities at the current rate of $85 billion a month.

Forced into a bet, we'd have to side with the Fed continuing buying Treasuries and MBS at the current rate. We say that because job growth is certainly not trending in the right direction.

Despite the unemployment rate dropping to 7.3% from 7.4%, businesses increased payrolls by only 169,000 in August. The number fell short of the consensus estimate for 175,000. The drop in unemployment was the result of lower labor participation: More people simply gave up seeking work.

Economic growth remains sluggish, as it has been for the past five years. Sluggish growth, in turn, points to the Fed maintaining its low-interest-rate policies.

That said, if we were to hedge our bet, we'd add that any tapering will be “very modest” at best. Modest tapering suggests to us that mortgage rates won't move materially higher.

As for home prices, we're seeing signs the trend is peaking.

A survey generated by John Burns Consulting shows far fewer homebuilders raised prices in August. Nearly half held steady, while 5% actually lowered prices – the largest percentage since March 2012.

We can't say we're surprised: We've seen some let-up in home-price growth in recent data from S&P/Case-Shiller, CoreLogic, and others. This suggests the days of double-digit year-over-year price gains is close to over (if not over already) in many markets.

This isn't a bad thing. We've said repeatedly that double-digit year-over-year price growth is unsustainable. A normal market is marked by 3%-to-5% annual price gains.

At the same time, slower price growth will draw more inventory into the market. More potential buyers, believing they've capture the lion's share of price appreciation, will be willing to list their homes.

So the verdict is split: Home prices are trending in the right direction. Given the current state of economic growth, mortgage rates are (or least have) trended in the wrong direction.

Courtesy of Jessica Regan.

Search all Harrisburg PA homes for sale.

When you are buying or selling property in today's Harrisburg PA real estate market, it's important to have confidence in your real estate professional. Don’s commitment as your Harrisburg PA REALTOR® is to provide you with the specialized real estate service you deserve.

When you are an informed buyer or seller, you'll make the best decisions for the most important purchase or sale in your lifetime. That's why Don’s goal is to keep you informed on trends in Harrisburg PA real estate. With property values continuing to rise, real estate is a sound investment for now and for the future.

As a local area expert with knowledge of Harrisburg PA area communities, Don’s objective is to work diligently to assist you in meeting your real estate goals.

If you are considering buying or selling a home or would just like to have additional information about real estate in your area, please don't hesitate to call me at (717) 657-8700, complete my online form, or e-mail me at don@donroth.com.

Turning a cold basement into a cozy spot isn’t impossible! Even better, it can be done for far less than you’d pay for a full remodel.

Here’s how:  

1. Stop the Moisture

The biggest anti-cozy factor in most unfinished basements is moisture. Nobody likes that damp, wet sock smell, and you can’t put nice things down there if they’re just going to get wet. That means that before you do anything else, you need to handle the moisture issue. Sometimes this is as simple as purchasing a dehumidifier (about $200) and letting it rip.

If your moisture problems are more serious (i.e. leaks or puddles), you’ll need to employ a more aggressive basement waterproofing strategy. Note: A basic waterproofing will run you $200-$500, but if any changes need to be made to your foundation, it can cost $2,000 or more. 

2. Add Some Area Rugs

Now that your basement is moisture-free, you can cozy up that concrete floor. Area rugs are a cost-effective way to do just that. If you happen to have a few unused rugs, put them to good use  downstairs (an eclectic look totally works, so don’t be afraid to mix and match). Tip: No extra rugs? No problem. We recommend using Amazon’s handy rug finder to locate a size, pattern and price that works for you.

3. Throw Down Some Pillows

When in doubt, add throw pillows. Even a second-string sofa with feel cozy if it’s covered with soft cushions. We recommend choosing ones that are pretty big for some extra comfort. These 20x20 Isabella Ikat pillows might do the trick, or maybe these 24” Knit Fringed pillows are more your style? Tip: If you like the bohemian look, try arranging on a bunch of throw pillows on your new, awesome rug.

4. Add Tasteful Lighting

Nothing kills the mood faster than a bunch of naked bulbs hanging from the ceiling. Make them irrelevant by adding lamps, string lights or both. You can find a lot of nice floor lamps for less than $50, like this IKEA lamp for $20.

5. Hide Unsightly Spots

It’s going to be hard to make that water heater in the corner look chic, but it’ll be easy to hide that ugly beast. Simply hang up a colorful sheet or even a shower curtain in front of it! If you want to help separate out different areas of your basement in a tasteful fashion, try a room divider. Wine crates, bookshelves and window frames all make good, cheap room dividers.

6. Paint the Ceiling

Those pipes, joists and air ducts definitely take away from your cozy basement vibe. But if you paint everything a dark color – like a charcoal gray – you can go a long way towards disguising all the stuff going on up there. Plus, it’s a lot cheaper than covering your ceiling with drywall ($4,000 or more). Note: Doing this yourself is very labor intensive, since a lot of the painting may need to be done by hand. There may also be some special considerations for electrical wiring or heating pipes. Unless you’re an experience painter (or are up for a challenge) we recommend hiring a professional for this.

Information provided by BrightNest.com.

Search all Harrisburg PA homes for sale.

When you are buying or selling property in today's Harrisburg PA real estate market, it's important to have confidence in your real estate professional. Don’s commitment as your Harrisburg PA REALTOR® is to provide you with the specialized real estate service you deserve.

When you are an informed buyer or seller, you'll make the best decisions for the most important purchase or sale in your lifetime. That's why Don’s goal is to keep you informed on trends in Harrisburg PA real estate. With property values continuing to rise, real estate is a sound investment for now and for the future.

As a local area expert with knowledge of Harrisburg PA area communities, Don’s objective is to work diligently to assist you in meeting your real estate goals.

If you are considering buying or selling a home or would just like to have additional information about real estate in your area, please don't hesitate to call me at (717) 657-8700, complete my online form, or e-mail me at don@donroth.com.

The quick answer is that war is good for nothing, at least according to the 1969 Edwin Starr song. We won't argue that there are many “bads” associated with war and that the associated costs – both monetarily and in personal suffering – are very high.

But if the United States does go to war with (or simply strikes at) Syria, there is one upside – interest rates will very likely fall further. We say this because more investors will seek havens in U.S. Treasury notes and bonds and mortgage-backed securities. Demand for these securities will keep mortgage rates from rising, and will likely force them lower.

We're not saying we relish the thought of another military conflict, but it's important to deal in market reality. And the reality is that borrowers will likely see a reprieve in mortgage rates over the next week or two. But how long the reprieve lasts is anyone's guess. Therefore, we don't suggest waiting long to act.

Courtesy of Jessica Regan.

Search all Harrisburg PA homes for sale.

When you are buying or selling property in today's Harrisburg PA real estate market, it's important to have confidence in your real estate professional. Don’s commitment as your Harrisburg PA REALTOR® is to provide you with the specialized real estate service you deserve.

When you are an informed buyer or seller, you'll make the best decisions for the most important purchase or sale in your lifetime. That's why Don’s goal is to keep you informed on trends in Harrisburg PA real estate. With property values continuing to rise, real estate is a sound investment for now and for the future.

As a local area expert with knowledge of Harrisburg PA area communities, Don’s objective is to work diligently to assist you in meeting your real estate goals.

If you are considering buying or selling a home or would just like to have additional information about real estate in your area, please don't hesitate to call me at (717) 657-8700, complete my online form, or e-mail me at don@donroth.com.

Slow, But Steady

Thanks to the long Labor Day weekend, the flow of housing and mortgage news was reduced to a trickle this week. That said, there were still a few news items worthy of mention.

Mortgage rates were one such item. They continued to ease this week, with the 30-year fixed-rate mortgage down roughly 10 basis points. This marked the second-consecutive week of noticeably lower rates, which, in turn, stimulated refinance activity.

It's no secret that refinances have plummeted this summer on rising interest rates. Should rates hold steady or continue to ease (no sure thing), we'd expect refinances to gain further ground. Our optimism is based on rising home-equity values, which are pulling more mortgage-indebted owners above water, thus enabling them to refinance their higher-rate loans.

Mortgage rates have easily dominated financial headlines over the past few months. Many market watchers have wondered aloud if rising rates will slowdown, if not derail, the housing recovery? (We wonder if we should still be calling it a recovery at this point?)

To be sure, there is reason for concern: Real estate firm Redfin reported in its Real-Time Homebuyer Survey that 63% of its respondents say rising rates are making it more difficult to buy a home.

We don't doubt that's true. But we think the main issue is still sluggish economic growth. We've frequently mentioned that rising interest rates wouldn't necessarily be bad if accompanied with higher economic growth (and job growth, in particular). If we go back a decade ago – when lending rates were 150-to-200 basis points higher than they are today – buying and financing activity was brisk. Not coincidentally, economic growth was also brisk.

Unfortunately, today we've got higher interest rates and economic growth still hasn't fully kicked in. This is another reason we remain unconvinced that Federal Reserve tapering of Treasury notes and bonds and mortgage-backed securities is imminent. Our skepticism suggests to us that mortgage rates are unlikely to move materially higher in the near term.

Another topic we've frequently hashed over is market composition. Specifically, the need for the housing market to be driven more by owner-occupied buyers instead of investor/landlords.

We have nothing against investors or landlords, but a normalized healthy housing market is driven by the owner-occupied buyer. We say that because communities composed mostly of owner-occupied buyers tend to be more stable and better maintained than communities of renters.

A new research paper from the University of North Carolina at Chapel Hill underscores our contention. In particular, the paper focuses on the adverse effects of “renter's disconnect,” which includes less property upkeep, fewer property improvements, and more aloofness with neighbors. None of these are conducive to rising property values.

The good news is we're seeing a return to a more normalized market: Despite talk of the United States becoming a nation of renters, surveys from Fannie Mae, Freddie Mac, and other sources point to a populace that overwhelming wants to own. That's good news that ensures housing will remain an important economic driver for years to come.

Courtesy of Jessica Regan.

Search all Harrisburg PA homes for sale.

When you are buying or selling property in today's Harrisburg PA real estate market, it's important to have confidence in your real estate professional. Don’s commitment as your Harrisburg PA REALTOR® is to provide you with the specialized real estate service you deserve.

When you are an informed buyer or seller, you'll make the best decisions for the most important purchase or sale in your lifetime. That's why Don’s goal is to keep you informed on trends in Harrisburg PA real estate. With property values continuing to rise, real estate is a sound investment for now and for the future.

As a local area expert with knowledge of Harrisburg PA area communities, Don’s objective is to work diligently to assist you in meeting your real estate goals.

If you are considering buying or selling a home or would just like to have additional information about real estate in your area, please don't hesitate to call me at (717) 657-8700, complete my online form, or e-mail me at don@donroth.com.

Next time someone close to you buys a house, stand out from the “standard bottle-of-wine” crowd with one of these useful gifts. They’ll guarantee you barbecue invites for life.

Their favorite magazine (in subscription form). Some may call print magazines old school, but who doesn’t secretly appreciate any real, not-a-bill mail? Give your friends a positive reason to check their new mailbox with a magazine subscription. If you aren’t sure what they’d like, a home-related ‘zine is always a safe bet as a housewarming gift. Think Dwell or Better Homes and Gardens.

A “favorite things” jar. Wine and flowers are great, but sometimes all a new homeowner needs is a good cleaning product. Give them the gift of your favorite things – like cleaning products that you swear by – in a large jar like Julie at Coordinately Yours. They’ll be able to use the jar for decoration and organization and use the jar’s contents around the house. Bonus: This gift comes across as really personal and is usually a bargain (depending on the price of the “favorite” items you gift).

Address stamp. Even if the internet is your friend’s most frequent form of communication, they’ll have to address a letter or package eventually. Why not help them do it in style? Give them a stamp of their new address, so they’ll be ready to write their housewarming gift thank you cards. There are a ton of unique options on Etsy, so you can choose one that fits your homebuyer’s personality.

Handy toolkit. If this new home is a first home, chances are your friends don’t have the necessary tools to tackle every little issue. Step up to the plate and be the home-disaster hero by gifting a tool kit. We like this one from Stanley because it has just about everything under the sun (65 pieces!). Tip: If your friend or family member could use some help figuring out where they should use their tools, give them the BrightNest New Homeowner Guide, too.

Counter-top compost bin. Compost bins are better than a flower bouquet for three reasons: you want the contents to be dead, you can reuse everything inside and they help Mother Earth. A countertop compost bin works just as well as its backyard brethren and is an affordable gift at about $25 a pop.  If your friend is new to the compost scene, give them this list of 10 items to avoid composting and send them on their eco-friendly way.

Information courtesy of BrightNest.com.

Search all Harrisburg PA homes for sale.

When you are buying or selling property in today's Harrisburg PA real estate market, it's important to have confidence in your real estate professional. Don’s commitment as your Harrisburg PA REALTOR® is to provide you with the specialized real estate service you deserve.

When you are an informed buyer or seller, you'll make the best decisions for the most important purchase or sale in your lifetime. That's why Don’s goal is to keep you informed on trends in Harrisburg PA real estate. With property values continuing to rise, real estate is a sound investment for now and for the future.

As a local area expert with knowledge of Harrisburg PA area communities, Don’s objective is to work diligently to assist you in meeting your real estate goals.

If you are considering buying or selling a home or would just like to have additional information about real estate in your area, please don't hesitate to call me at (717) 657-8700, complete my online form, or e-mail me at don@donroth.com.