Lower Operating Costs Mean New-Home Buyers Can Afford More House

shared from NHBA.org A newly published study from NAHB’s Economics and Housing Policy Group looks at how operating costs vary depending on the age of the home, using data that has recently become available from the American Housing Survey (funded by the U.S. Department of Housing and Urban Development and conducted by the U.S. Census Bureau). Basic findings include operating costs (fuels, other utilities, maintenance, property taxes and insurance) that average $6,900 a year, $3.77 per square foot, and 4.24 percent of the home’s value.   However, some of these numbers vary significantly depending on how old the home is.  For example, operating costs as a fraction of value decline regularly as the structure becomes newer, from nearly 5 percent of the home’s value for structures built before 1960 to just under 3 percent for homes built after 2008. The implication of the difference in operating costs is that buyers can purchase a higher-priced home  and achieve the same annual operating costs if the home is newer.  The article provides an example that takes mortgage payments and income tax savings for a typical buyer of a $200,000 new home into account.  The example shows that, if annual costs during the first year of ownership are the constraint, this buyer can afford to pay $37,655—or 23 percent—more for a new house than for one built before 1960. The difference is a little more than enough to cover the price of an extra full bathroom.  For more information, including an explanation of the details underlying the calculations, see the complete study, available online.

February is National Builder Designation Month

Buying a new home or remodeling your existing house is not a decision many families take lightly. Not only is buying a home a significant financial expenditure, your home has strong emotional ties as well. For many families, homeownership is the most valued long-term investment they’ll ever make, and it builds a sense of pride, accomplishment and stability. So it’s not a job you want to entrust to someone who may not have the training or experience to do the job right.    One way you can achieve confidence in your selection of a builder or remodeler is if they have earned a professional designation from the National Association of Home Builders (NAHB).       NAHB offers comprehensive training programs to builders, remodelers and other industry specialists that lead to professional credentials in specific topic areas. The professional designations in NAHB’s program are aimed at helping home builders and remodelers improve their skills, advance their careers and to recognize industry expertise and commitment to professional growth for the home building industry.   Some of the professional designations builders and remodelers can earn include:  Certified Aging-in-Place Specialist (CAPS)  Certified Graduate Builder (CGB)  Graduate Master Builder (GMB)  Certified Graduate Remodeler (CGR)  Graduate Master Remodeler (GMR)  Certified Green Professional™ (CGP)  Master Certified Green Professional (Master CGP)    Earning an NAHB professional designation is a challenging and enriching process. Designation students learn the latest technology, building methods and business practices through a series of relevant courses taught by expert instructors. In addition to the required courses, they stay current by investing in continuing education to keep abreast of the latest building techniques and emerging industry trends, and to maintain their active designations.   For example, choosing a professional who has earned the Certified Aging-in-Place Specialist (CAPS) designation ensures that your remodeler will know how to address common age-related barriers. They will modify your home so that you, or an elderly resident of your home, will be safe and comfortable by widening doors to accommodate wheelchairs or other mobility aids, installing shower bars to improve safety, and making other modifications.    Builders or remodelers who have earned designations will also perform the work to the latest safety standards. If you live in a house built before 1978, federal law requires that contractors performing renovation, repair and painting projects that disturb lead-based paint in homes must be certified and follow specific work practices to prevent lead contamination.    Home buyers and owners can be confident that a credentialed professional has superior training, practical experience and in-depth knowledge. Designation-earners are qualified specialists who are ready to meet your specific needs, have passed rigorous coursework and are committed to being among the best in the business. Each year, hundreds of builders and remodelers from around the country make the effort to earn professional credentials.     To find out more about what builders and remodelers who have earned designations can do to help you achieve your housing goals, go to nahb.org/forconsumers and select Work with a Certified Professional.  Sean Sullivan is an Accredited Master Builder and past president of the Asheville HBA.  He is currently the Region X VP of the NCHBA.  His firm, Living Stone Construction, is a first-tier builder of fine custom homes in Western North Carolina, and recently won “Best in Black Mountain in Custom Homes 2011” by the US Commerce Association.  Source – www.NAHB.org

Fireplace Safety Tips

Fireplaces, whether they are wood-burning or gas, are both fashionable and functional additions to many homes. Families gather around decorated hearths for holiday celebrations as they build lifelong memories. During the cooler winter months, fireplaces, wood stoves and other fuel-fired appliances are often used as primary heat sources in homes. But sadly, fireplace safety can be neglected, sometimes with tragic results. Everyone has seen the news stories about homes burned to the ground and lives lost due to improperly disposed-of fireplace ashes. According to the U.S. Fire Administration (USFA), heating fires account for 36 percent of residential home fires in rural areas every year. Here are some tips to make sure your fireplace remains a safe, enjoyable feature of your family’s home:  Have your chimney thoroughly cleaned once a year. Flammable residue that accumulates in the flue can lead to fires in the chimney, and cracks or gaps in the flue can decrease the draft required both for combustion and to carry toxic gases away from your home. You can find a certified chimney specialist at csia.org. Use either a metal mesh screen or glass doors—or both—as a barrier between the fireplace and hearth. If you have glass doors, leave them open while burning a fire so that the fire receives enough air to ensure complete combustion and keeps creosote from building up in the chimney. Always keep the mesh screen closed when a fire is burning to keep embers or sparks from getting into the room.  Never use flammable liquids to start a fire, or burn cardboard boxes, trash or debris in your fireplace. Use only seasoned hardwood, non-seasoned (or green) wood tends to smoke more and burn less efficiently, and can leave significantly more resin and soot in your chimney. Never burn any part of fir or pine trees in a fireplace. The sap can explode, and the needles can ignite quickly which could send sparks into the room or into the chimney where creosote deposits could catch fire. Never leave a fire unattended, and make sure the fire is completely out before going to bed or leaving the house. Douse and saturate ashes with water, and never empty ash directly into a trash can. Place completely cooled ashes in a tightly covered metal container and keep the container at least 10 feet away from any building.  Cover the top of your chimney with a mesh screen spark arrester, and keep the roof clear of leaves, pine needles and other debris. Also cut away any branches that are hanging above the chimney.   You can find more fire safety tips on USFA’s website at usfa.fema.gov.    Taking these steps will help to ensure that the time you spend around your fireplace is enjoyable, and your family and home is safe.

Understanding HERS (Home Energy Rating System)

The RESNET HERS Index is the industry standard by which a home's energy efficiency is measured. The HERS or Home Energy Rating System was developed by RESNET and is the nationally recognized system for inspecting and calculating a home's energy performance. Certified RESNET Home Energy Raters conduct inspections to verify a home's energy performance and determine what improvements can be made to increase it. For more information click on RESNET HERS Index Across the nation state and local governments are adding a HERS Index Score target as a performance compliance option to their building energy code. The reasons why a HERS Index Score is being tied into energy codes include: The inspection and testing protocols are established in RESNET's national home energy rating standards. RESNET is a national not-for-profit membership standard setting organization. It is accredited by the American National Energy Standards Institute (ANSI) as a Standard Development Organization. The professionals that undertake the inspection and performance testing are certified following RESNET's standards stringent training and testing procedures. All certified RESNET home energy raters are subject to RESNET's quality assurance oversight procedures. The RESNET national home energy rating standards are recognized by the federal government (U.S. Department of Energy, Environmental Protection Agency, Internal Revenue Service) and the mortgage industry. The HERS Index is a trusted measurement of the energy performance of a home. Over one million homes have been issued a HERS Index Score in the US. Every home that Living Stone Builds is certified through the Home Energy Rating System to save YOU money.