Originally designed to help financially struggling owners of Chester County PA homes avoid foreclosure by modifying their loans to a level that is both affordable and sustainable, HAMP’s success is uncertain—or at least arguable.  Critics charge that only 700,000 owners have actually benefitted from the program and claim that while the Treasury initially committed $75 billion of Troubled Asset Relief Program funds to the HAMP initiative, it now appears it will spend only $4 billion on HAMP incentives.

The members of the Congressional Oversight Panel even stated that government’s loan modification program was “ineffective,” and they claimed that the Treasury’s reluctance to address flaws of the program has had “real consequences.”  Their report also states that the Treasury has failed to hold loan servicers accountable when they have repeatedly lost borrower paperwork or refused to perform loan modifications. And TARP has stated “The program has been beset by problems from the outset and, despite frequent retooling, continues to fall dramatically short of any meaningful standard of success."

There are, of course, success stories, and supporters point out that the 700,000 approved loan modifications mean that many fewer foreclosures.  They urge financially-strapped home owners to fully investigate the program, get help to complete the sometimes grueling process, and use websites specifically designed for the potential applicant.  They also maintain that eligible homeowners entering HAMP have a high likelihood of earning a permanent modification and realizing long-term success. The rate of modifications moving from trial to permanent is up to 74 percent, and the average time to convert from a trial to permanent modification is down to 3.5 months.

While many people choose to stay in—or close to—their Chester County PA home during this busy season, a large number of folks travel via plane, train, or car to celebrate with family and friends.  To maximize holiday travel happiness and minimize coal-in-the-stocking disappointment, follow these basic but helpful tips compiled by ASTA (American Society of Travel Agents) as they reveal secrets that will help you and your family arrive at Grandma's house full of holiday cheer.

Before leaving:

• Packing light saves time and energy when it comes to filling the trunk with fragile bags packed with gifts or racing to fill the last empty space in the overhead bin.
• 
  Be sure to secure your Chester County PA home. Lock all doors and windows, and don't forget to set the alarm.
  Also, give your home that lived-in look to repel potential burglars by having a friend collect your mail, setting lights on timers, and omitting details of your trip on the answering machine.

Air travel:

• If possible, have a friend drive you to the airport, or take a shuttle or public transportation.
• Take the worry of getting to the airport completely out of the equation by staying at an airport hotel the night before an early flight.
• As flights are sometimes overbooked during the holidays, it's critical to check in early. Domestic travelers should arrive at the airport at least two hours prior to departure, while international travelers should arrive at least three hours in advance.
• Remember that delays can occur. Bring water and snacks, an inflatable pillow, a good book, your favorite CDs, MP3 player, and a deck of cards to help pass the idle time.

Car travel:

• Before you leave your Chester County PA home, have a qualified mechanic check all the car's vitals: brakes, battery, fluid levels, tire pressure, light bulbs and any parts that need regular maintenance.
• Bring emergency equipment, such as a first-aid kit, flashlight, blankets, drinking water and snacks, along with flares and jumper cables.
• Don't leave valuables in your car. Pack all items, especially brightly wrapped packages, in the trunk. If you’re afraid of squashed bows, wait until you arrive to wrap the gifts.
• If you're travelling with children, get everyone involved by singing or reminiscing about favorite past holidays. The ride will be over before you know it, and you may actually look forward to the drive back home.

Whatever your mode of travel, make sure you take along a large supply of holiday cheer!

Exterior improvements:

• Keep shrubs and trees neatly pruned.  Plant new trees for energy savings and aesthetic value.
• Add low-voltage lighting for pathways
• Pay attention to the front door of your Chester County PA real estate.  Does it need new weather stripping?  A fresh coat of paint? Updated (or at least polished) hardware—knockers, knobs, hinges, and light fixtures?
• Spend $10 to test your lawn for needed nutrients.
• Attend to the garage door.  Use a mixture of one part bleach to three parts water and a soft-bristled brush to give it a thorough cleaning.  Still dirty or stained?  Rent a power washer for about $60.
• Check for faded or peeling paint.  Sand and apply a fresh coat.

Interior improvements:

• If you can’t replace the water heater in your Chester County PA real estate with a tankless model, wrap the one you have in fireproof insulation.
• Install modern light switches and outlets throughout your home.  Add dimmer switches.
• Insulate windows.  (Easy-to-follow instructions.)
• In bathrooms replace dated towel racks, light fixtures, sinks, toilet seats, and hardware.  Purchase a low flow toilet.  Re-grout where needed.  Display matching towels.  If the floor is in poor shape, consider putting easy-to-install vinyl tiles right over the old one.
• Add crown moldings, wood trim, and/or cornices to give room a look of quality.
• Update your kitchen inexpensively by replacing fixtures, faucets, and hardware.  Consider pendant lighting.  Refinish cabinets rather than replacing them.
• Clean and organize all closets. 

What If there Are Errors

What to do if you have a low score and do not qualify for a mortgage on a Chester County PA home? Your first action should be to check your credit report for errors. If you find erroneous information, you need to act immediately by contacting both the credit bureau (the three major ones are Equifax, Experian, and Transunion) and the organization that provided that information.

• The credit bureau/agency: Send a certified, return receipt requested letter to the bureau pointing out each inaccuracy and enclose copies of documents which support your claim as well as the report itself (with the misinformation highlighted). Factually explain why you dispute each item and request a deletion or correction for each one.
• The creditor or information provider: Send the same type of letter and enclose the same documents. Request that the provider notify you of action taken (generally within 90 days) so that you can verify the amended information.

If there are no errors on your report, then you should take immediate steps to improve your credit. Ways to do this include the following:

• Stop using your credit cards. Do not continue to accumulate debt.
• Get current on delinquent accounts. Since payment history makes up 35% of your score, this action will have a great impact on your score.
• Keep accounts with balances open, but don’t apply for more credit.
• Call your creditors. Explain your financial situation and ask about possible hardship programs which will temporarily reduce your monthly payments.
• Begin paying off your existing debts, even if you have to sell some belongings to do so. Come up with a get-out-of-debt plan and stick to it.
• Get professional help. There are resources available to help you reestablish a good credit rating. Contact the National Foundation for Credit Counseling for assistance.
• Be patient. Realize that improving your credit score takes time and that there is no quick-fix --and keep in mind your goal of owning a Chester County PA home.

One practical suggestion from All Surface Clean Company is that it is wise to begin your inspection from the top of your piece of your house and work your way down to ground level, gravity being what it is. Thus, to avoid the need for re-cleaning, remember to start at the roof and gutters, proceed to windows, siding, decks, and fences; then go on to the pavement/driveway of your Chester County PA real estate.

1. ROOFS AND GUTTERS:

Strong winter winds may well have loosened a shingle or two on your roof, and they certainly have deposited unwanted leaves, twigs, etc., in the gutters. Here is expert advice on how to properly clean out that residue and inspect your roof like a professional.

2. EXTERIOR MATERIALS:

No matter the type of material used on the outside of your Chester County PA real estate, you want to check it carefully to preserve the integrity of the house.

• Vinyl siding: Look for loose or missing siding, cracks, or breakage; deterioration or fading; mold/mildew; and punctures. It is generally best to replace any damaged piece.
• Brick: Cracked mortar and/or crumbling or cracked bricks are what you’re looking for.
• Stucco: Cracks, crumbling, and water damage are three problems for which you’ll want to check.
• Wood: Be on the lookout for signs of rot, peeling/blistering paint, mold, and termite damage.  While some of these conditions may be minor and can be fixed by you, other more serious problems may require the assistance of a professional

*Note: If you are considering power washing the exterior of your Chester County PA real estate, consult the above-mentioned website for tips on doing that job.

3. WINDOWS:

Make sure your windows (and doors) are tightly sealed to prevent air leakage. Also repair/replace caulk and weather stripping and repaint trim as needed.

4. DECKS:

Secure loose nails/fasteners. If replacing them, use galvanized or stainless steel deck screws. Reinforce loose stairs and railings and check to make certain that the deck has not pulled away from your house. Clean the deck with a biodegradable detergent and a brush to remove debris and stains and apply a preservative if needed.

5. FENCES:

Ascertain that posts are firmly implanted and that no wood is showing signs of rot or termites. Think about treating fence wood with a fresh coat of preservative.

6. DRIVEWAYS AND PAVEMENT:

Check for cracks, crumbling, and erosion and remove moss and debris. Here are excellent tips for cleaning the driveway of your Chester County PA real estate, be it concrete, asphalt, brick, or pavers.

Nearly all Realtors will tell you that a house which has been well maintained and needs few, if any, repairs, even cosmetic ones, will sell faster than others. While some renovations/repairs may be relatively expensive, such as installing a new roof, repaving the driveway, or upgrading appliances, most agents advise a seller not to undertake major renovations, especially in the kitchen or bathrooms. They advise not spending more than you’ll recoup in the sales price and understanding that major renovations are generally a matter of personal taste..

Remodeling is for buyers, not sellers. Major renovations usually don’t pay for themselves, let alone add enough value for you to make a profit. So why would you want to go through the hassle and the expense right before you move? Concentrate instead on smaller fixes with bigger impact and let your buyers remodel to suit themselves. In addition to removing all clutter from your Chester County PA real estate, thoroughly cleaning the whole house, and downsizing in regards to furniture and personal items, you should also seriously consider:

• Adding a fresh coat of paint (in a neutral shade) where needed
• Presenting a well-tended yard
• Fixing dripping faucets and checking all caulking

If you are prepared to invest some money to improve your home’s presentation, start with the most cost-effective projects and remember to keep a journal of jobs and receipts. Home improvement costs are often deductible (when costs are incurred 90 days before the sale and paid within 30 days after the sale). While lawn-mowing and  weekly cleaning bills do not qualify according to IRS regulations, new paint, a new water heater, or new gutters usually do apply. Some hints:

• Replace broken gutters and shutters.
• New paint indoors or out is usually approved by the IRS for deduction if completed and paid for near the time of sale.
• New floor coverings (in neutral shades) on kitchen and bathroom floors may be another affordable investment which can speed a sale by appealing to buyers’ desire for a property that is ‘ready to move in,’ particularly if the current style of colors are dated.
• Repair broken woodwork, loose planks, and creaky stairs. No buyer wants a home that needs structural repairs.
• Hardwood floors are a plus. If you have hardwood floors, consider removing anything covering, them up, especially if the carpet is worn. Refinish the wood if necessary.

So if you want a quick sale and hope for top dollar, take steps in advance of listing to convince potential buyers that your home is move-in ready and definitely one worthy of an “HGTV” buyer!

For the latest Chester County PA real estate market conditions in your neighborhood, please call me at 610-564-SCOT or visit ChesterCountyHomeSource.com.

A home warranty plan is essentially a service contract that covers a major housing system, for example, plumbing or electrical wiring -- for a set period of time from the date a house is sold. The warranty guarantees repairs to the covered system and is renewable.

How Much Does a Home Warranty Cost?

They are fairly inexpensive, typically ranging from $250 to $400, depending on coverage. Home warranty companies sometimes run special sales and either discount policy prices or offer additional coverage for the same price. The policies are prepaid for a year in advance, at which time they expire or can be renewed.

How Do They Work?

Although specific plans provide for specific types of coverage, most operate the same way.

• If a home system or appliance breaks or stops working, the home owner calls the home warranty company.
• The home warranty company calls a provider with which it has a business arrangement.
• The specific provider calls the home owner to make an appointment.
• The provider fixes the problem. If an appliance is malfunctioning and cannot be repaired, depending on contract coverage, the home warranty company will pay to replace and install the appliance.
• The home owner pays a small trade service fee (less than $100).　

Types of Coverage

Because all plans differ, you will want to ask specifically what is covered. Ask your real estate agent to recommend a proven plan and inquire if upgrades are available for your Chester County PA home. Pay close attention to whether the home warranty company will pay for repairs to make certain types of systems or appliances compliant with new regulations and be aware that they won’t pay for pre-existing conditions. Usually covered are heating and cooling systems, water heaters, appliances, electrical systems, inside plumbing stoppages, ductwork, ceiling fans, and garbage disposals.

Advantages Of Offering a Warranty Plan

Home warranty companies profess that in addition to providing buyer peace of mind, the protection plan you provide for your Chester County PA home prevents many post-sale disputes, speeds up the sale, and helps to bring in a higher price. They also suggest that you take out such a policy during the listing period to provide peace of mind to you, the seller, too!

“This is absolutely the story of the market, “ says real estate agent Beth Freed. “It seems buyers will pay a premium , engage in a bidding war, and even overpay just to avoid buying a ‘project’ house.” So what does this mean for you as a seller of Chester County PA real estate? Nearly all Realtors will tell you that a house which has been well maintained and needs few, if any, repairs, even cosmetic ones, will sell faster than others. While some renovations/repairs may be relatively expensive, such as installing a new roof, repaving the driveway, or upgrading appliances, most agents advise a seller not to undertake major renovations, especially in the kitchen or bathrooms. They advise not spending more than you’ll recoup in the sales price and understanding that major renovations are generally a matter of personal taste..

Remodeling is for buyers, not sellers. Major renovations usually don’t pay for themselves, let alone add enough value for you to make a profit. So why would you want to go through the hassle and the expense right before you move? Concentrate instead on smaller fixes with bigger impact and let your buyers remodel to suit themselves. In addition to removing all clutter from your Chester County PA real estate, , thoroughly cleaning the whole house, and downsizing in regards to furniture and personal items, you should also seriously consider:

• Adding a fresh coat of paint (in a neutral shade) where needed
• Presenting a well-tended yard
• Fixing dripping faucets and checking all caulking

If you are prepared to invest some money to improve your home’s presentation, start with the most cost-effective projects and remember to keep a journal of jobs and receipts. Home improvement costs are often deductible (when costs are incurred 90 days before the sale and paid within 30 days after the sale). While lawn-mowing and weekly cleaning bills do not qualify according to IRS regulations, new paint, a new water heater, or new gutters usually do apply. Some hints:

• Replace broken gutters and shutters.
• New paint indoors or out is usually approved by the IRS for deduction if completed and paid for near the time of sale.
• New floor coverings (in neutral shades) on kitchen and bathroom floors may be another affordable investment which can speed a sale by appealing to buyers’ desire for a property that is ‘ready to move in,’ particularly if the current style of colors are dated.
• Repair broken woodwork, loose planks, and creaky stairs. No buyer wants a home that needs structural repairs.

Hardwood floors are a plus. If you have hardwood floors, consider removing anything covering, them up, especially if the carpet is worn. Refinish the wood if necessary.

So if you want a quick sale and hope for top dollar, take steps in advance of listing to convince potential buyers that your home is move-in ready and definitely one worthy of an “HGTV” buyer!

• 

  Ants, Wasps, & Mosquitoes: Do-No-Harm Defense or All-Out War?

  This week we’ve been helping you make patios and decks more comfortable during hot and humid days. Today, we’re focusing on how to prevent ants (try Cream of Wheat), yellow jackets, and mosquitoes from ruining your outdoor fun this summer. Read

• 

  Got Leaky Windows? 3 Low-Cost Tips to Fix Them

  I used to hang an extra woolly robe in my bathroom because my post-shower route took me past a window so drafty it made me wonder about the etymology of “window.” Turns out it comes from the Anglo-Saxon “vindr” and “auga,” which translates as “wind eye.” How appropriate. Read

• Prune

For early blooming shrubs such as forsythia and viburnum, prune them as soon as blooms have passed. Early spring is also an ideal time to prune your roses.

• Deadhead

Remove spent flowers from bulbs, but leave the rest of the plant as is for the time being.

• Weed

Pull weeds from your beds and borders before they have a chance to take hold and spread.

• Compost

Tend to your compost if it has been neglected over the winter. If you do not have a compost bin, spring is a great time to start one.

• Prepare tools

Spring is a good time to prepare your tools for the oncoming gardening season and to make any necessary repairs or new purchases. You will be happy you have done so when summer sets in.

• Plant

Spring is a great time to add new plants to your garden. Be sure, however, that all threat of frost has past. Plant such things as trees, shrubs, hardy annuals, and summer blooming bulbs.

• Fertilize & Mulch

Fertilize and mulch beds and borders. Spring is also a good time to fertilize fruit trees. If you applied heavy winter mulch for protection from the cold, you will need to clear it away.

• Stake

Stake plants that may be prone to wind damage during the unpredictable spring weather.

One type of gardening which appeals to many environmentalists is organic gardening, the incorporation of the entire landscape design and environment to improve the soil and maximize plant production without using synthetic materials.

Another gardening philosophy which is gaining in popularity is “no till” planting. Proponents of this system insist that not tilling the soil of your Chester County PA real estate improves the quality of the dirt by not disturbing it and thus not bringing buried weeds, bacteria, and carbon to the surface. Layers of mulch and other organic materials not only “feed” the soil, but also control weed growth.

Whatever method you select, may your gardening days be happy and your blooms rewarding!

• 

  How to Use Comparable Sales to Price Your Home

  Before you put your home up for sale, use the right comparable sales to find the perfect price. Read

        1. Down payments: Requirements will be higher. Generally speaking, to get the best interest rate you need to put down at least 20% of the purchase price of the Chester County real estate. FHA loans are available for a down payment of only 3% to 5% but these loans will include additional costs for insurance and a slightly higher interest rate.

        2. Credit scores: You will most likely need a score of 730 for the best rates, whereas the average score for an FHA borrower is about 690. Financial advisors strong urge you to obtain a copy of your credit report six months before loan shopping (you are entitled to one free report from each of the three bureaus annually at www.annualcreditreport.com) and examine it carefully to detect any errors/misinformation.

        3. Documentation: Be prepared! Lenders will ask for a great deal of documentation regarding your salary, savings, job stability, debts, and the like. You will need to provide pay stubs for the past 30 days; W-2 forms for the past two years; bank, retirement, and investment account statements; and a listing of debts and monthly expenses. Monthly housing expenses should not exceed 28% of your gross monthly income, and total debt should be less than 37% of that amount. If you are self-employed, you will also have to submit two years of tax returns and possibly a profit-loss statement.

        4. Appraisals: Gone are the days of a sure-thing, easy appraisal. Lenders today want a thorough inspection of both the interior and exterior or your Chester County real estate, and the less money put down, the more extensive the scrutiny of the home’s market value. It is wise to include an appraisal contingency in your offer so that your earnest money deposit will be returned to you if the appraisal fails to meet the negotiated price.

How can you find the best rates? Check out available interest rates daily and discloses the best “par rate.” In addition, if you provide contact information, the site will forward that information to the local lender offering the best rate.

If you are considering refinancing your Chester County real estate, take advantage of this calculator to help determine if this is a good financial move for you.

You should also avail yourself of the consumer-friendly good faith estimates (GFE) that lenders are required to give you and with which you can compare offerings. (Search online for “HUD + good faith estimate” for an example.) This form clarifies the type, rate, and features of the loan for which you’re applying. These rates are guaranteed, and if the charges are underestimated, the lender, not you, if responsible for the difference.

• 

  The Granite Look for Kitchen Countertops Is Just a Spray Away

  Updating the kitchen is probably the costliest project on most home owners’ lists. If it’s not in the budget, we hear all about the quick fixes you can do in your kitchen. Read

• 

  Under-Stairs Storage Stomps Out Clutter

  Sweep out the dust bunnies. Clear away the clutter. Time to put wasted space beneath the staircase to work with customized storage solutions. Read