Credit scores range between 200 and 800, with scores above 620 considered desirable for obtaining a mortgage. The following factors affect your score:

1. Your payment history. Did you pay your credit card obligations on time? If they were late, then how late? Bankruptcy filing, liens, and collection activity also impact your history.
2. How much you owe. If you owe a great deal of money on numerous accounts, it can indicate that you are overextended. However, it’s a good thing if you have a good proportion of balances to total credit limits.
3. The length of your credit history. In general, the longer you have had accounts opened, the better. The average consumer’s oldest obligation is 14 years old, indicating that he or she has been managing credit for some time, according to Fair Isaac Corp., and only one in 20 consumers have credit histories shorter than 2 years.
4. How much new credit you have. New credit, either installment payments or new credit cards, are considered more risky, even if you pay them promptly.
5. The types of credit you use. Generally, it’s desirable to have more than one type of credit — installment loans, credit cards, and a mortgage, for example.

Visit www.myfico.com to further evaluate and understand your credit score.

1. Find the right agent who’s willing to help you through the home buying process ~ no matter how long this process takes.
2. Ask your lender a variety of questions so you don’t end up missing out on the best deal.
3. Carpe Diem – When you make your decision to buy a home do not delay before someone else buys the house.
4. Make sure your offer looks appealing to a seller.
5. Don’t forget about resale before you buy.   This is a very common mistake for the first-time buyer.   Remember that the average first-time buyer only stays in a home for four years.

Source: Real Estate Checklists and Systems, www.realestatechecklists.com.

It’s important to understand what legal responsibilities your real estate salesperson has to you and to other parties in the transaction. Ask what type of agency relationship your agent has with you:

Seller’s representative (also known as a listing agent or seller’s agent)

A seller’s agent is hired by and represents the seller. All fiduciary duties are owed to the seller. The agency relationship usually is created by a listing contract.

Buyer’s representative (also known as a buyer’s agent)

A buyer’s agent is hired by prospective buyers to represent them in a real estate transaction. The buyer’s rep works in the buyer’s best interest throughout the transaction and owes fiduciary duties to the buyer. The buyer can pay the licensee directly through a negotiated fee, or the buyer’s rep may be paid by the seller or through a commission split with the seller’s agent.

Subagent

A subagent owes the same fiduciary duties to the agent’s customer as the agent does. Subagency usually arises when a cooperating sales associate from another brokerage, who is not the buyer’s agent, shows property to a buyer. In such a case, the subagent works with the buyer as a customer but owes fiduciary duties to the listing broker and the seller. Although a subagent cannot assist the buyer in any way that would be detrimental to the seller, a buyer-customer can expect to be treated honestly by the subagent. It is important that subagents fully explain their duties to buyers.

Disclosed dual agent

Dual agency is a relationship in which the brokerage firm represents both the buyer and the seller in the same real estate transaction. Dual agency relationships do not carry with them all of the traditional fiduciary duties to clients. Instead, dual agents owe limited fiduciary duties. Because of the potential for conflicts of interest in a dual-agency relationship, it’s vital that all parties give their informed consent. In many states, this consent must be in writing. Disclosed dual agency, in which both the buyer and the seller are told that the agent is representing both of them, is legal in most states.

Designated agent (also called appointed agent)

This is a brokerage practice that allows the managing broker to designate which licensees in the brokerage will act as an agent of the seller and which will act as an agent of the buyer. Designated agency avoids the problem of creating a dual-agency relationship for licensees at the brokerage. The designated agents give their clients full representation, with all of the attendant fiduciary duties. The broker still has the responsibility of supervising both groups of licensees.

Nonagency relationship (called, among other things, a transaction broker or facilitator)

Some states permit a real estate licensee to have a type of nonagency relationship with a consumer. These relationships vary considerably from state to state, both as to the duties owed to the consumer and the name used to describe them. Very generally, the duties owed to the consumer in a nonagency relationship are less than the complete, traditional fiduciary duties of an agency relationship

• Get replacement estimates. Do you have big-ticket items that are worn our or will need to be replaced soon, such your roof or carpeting? Get estimates on how much it would cost to replace them, even if you don’t plan to do it yourself. The figures will help buyers determine if they can afford the home, and will be handy when negotiations begin.

• Find your warranties. Gather up the warranties, guarantees, and user manuals for the furnace, washer and dryer, dishwasher, and any other items that will remain with the house.

• Spruce up the curb appeal. Pretend you’re a buyer and stand outside of your home. As you approach the front door, what is your impression of the property? Do the lawn and bushes look neatly manicured? Is the address clearly visible? Are pretty flowers or plants framing the entrance? Is the walkway free from cracks and impediments?  A wreath on the front door can work wonders!

Reprinted with permission of the NATIONAL ASSOCIATION OF REALTORS®

1.  You’ll have an expert to guide you through the process.   Buying or selling a home usually requires disclosure forms, inspection reports, mortgage documents, insurance policies, deeds, and multi-page settlement statements.   A knowledgeable expert will help you prepare the best deal, and avoid delays or costly mistakes.

2.  Get objective information and opinions.   REALTORS® can provide local community information on  utilities, zoning, schools, and more.   They’ll also be able to provide objective information about each property.   A professional will be able to help you answer these two important questions:   Will the property provide the environment I want for a home or investment?   Second, will the property have resale value when I am ready to sell?

3.  Find the best property out there.   Sometimes the property you are seeking is available but not actively advertised in the market, and it will take some investigation by your REALTOR® to find all available properties.

4.  Benefit from their negotiating experience.   There are many negotiating factors, including but not limited to price, financing, terms, date of possession, and inclusion or exclusion of repairs, furnishings, or equipment.   In addition, the purchase agreement should provide a period of time for you to complete appropriate inspections and investigations of the property before you are bound to complete the purchase.   Your agent can advise you as to which investigations and inspections are recommended or required.

5.  Property marketing power.   Real estate doesn’t sell due to advertising alone.   In fact, a large share of real estate sales comes as the result of a practitioner’s contacts through previous clients, referrals, friends, and family. When a property is marketed with the help of a REALTOR®, you do not have to allow strangers into your home. Your REALTOR® will generally prescreen and accompany qualified prospects through your property.

6.  Real estate has its own language.   If you don’t know a CMA from a PUD, you can understand why it’s important to work with a professional who is immersed in the industry and knows the real estate language.

7.  REALTORS® have done it before.   Most people buy and sell only a few homes in a lifetime, usually with quite a few years in between each purchase.   And even if you’ve done it before, laws and regulations change. REALTORS®, on the other hand, handle hundreds of real estate transactions over the course of their career.   Having an expert on your side is critical.

8.  Buying and selling is emotional.   A home often symbolizes family, rest, and security — it’s not just four walls and a roof.   Because of this, home buying and selling can be an emotional undertaking.   And for most people, a home is the biggest purchase they’ll ever make.   Having a concerned, but objective, third party helps you stay focused on both the emotional and financial issues most important to you.

9.  Ethical treatment.   Every member of the NATIONAL ASSOCIATION of REALTORS® makes a commitment to adhere to a strict Code of Ethics*, which is based on professionalism and protection of the public.   As a customer of a REALTOR®, you can expect honest and ethical treatment in all transaction-related matters.   It is mandatory for REALTORS® to take the Code of Ethics orientation and they are also required to complete a refresher course every four years. 

Reprinted with permission of the NATIONAL ASSOCIATION OF REALTORS®

*  For an updated copy of the Code of Ethics from the NATIONAL ASSOCIATION OF REALTORS®, click under About Us on our menu.

Whatever your heritage and traditions, have a very happy and safe holiday season!

Trees

1. When purchasing an artificial tree, look for the label “Fire Resistant.” When purchasing a live tree, check for freshness.  A fresh tree is green, needles are hard to pull from branches and when bent between your fingers, needles do not break. The trunk butt of a fresh tree is sticky with resin, and when tapped on the ground, the tree should not lose many needles. When setting up a tree at home, place it away from fireplaces, radiators or portable heaters. Place the tree out of the way of traffic and do not block doorways. Cut a few inches off the trunk of your tree to expose the fresh wood.  This allows for better water absorption and will help keep your tree from drying out and becoming a fire hazard.
2. Be sure to keep the stand filled with water, because heated rooms can dry live trees out rapidly. 

Lights

1. Check all tree lights–even if you’ve just purchased them–before hanging them on your tree.  Make sure all the bulbs work and that there are no frayed wires, broken sockets or loose connections.  Never use electric lights on a metallic tree. The tree can become charged with electricity from faulty lights, and a person touching a branch could be electrocuted. Before using lights outdoors, check labels to be sure they have been certified for outdoor use.  To hold lights in place, string them through hooks or insulated staples, not nails or tacks.  Never pull or tug lights to remove them.  Plug all outdoor electric decorations into circuits with ground fault circuit interrupters to avoid potential shocks.
2. Turn off all lights when you go to bed or leave the house. The lights could short out and start a fire.

Decorations

1. Use only non-combustible or flame-resistant materials to trim a tree. Choose tinsel or artificial icicles of plastic or nonleaded metals. Never use lighted candles on a tree or near other evergreens. Always use non-flammable holders, and place candles where they will not be knocked over. In homes with small children, take special care to avoid decorations that are sharp or breakable.  Keep trimmings with small removable parts out of the reach of children to prevent them from swallowing or inhaling small pieces.  Avoid trimmings that resemble candy or food that may tempt a young child to eat them. Wear gloves to avoid eye and skin irritation while decorating with spun glass “angel hair.” Follow container directions carefully to avoid lung irritation while decorating with artificial snow sprays.
2. Remove all wrapping papers, bags, paper, ribbons and bows from tree and fireplace areas after gifts are opened.  These items can pose suffocation and choking hazards to a small child or can cause a fire if near flame. 

Toy Safety

1. Select toys to suit the age, abilities, skills and interest level of the intended child.  Toys too advanced may pose safety hazards for younger children. Before buying a toy or allowing your child to play with a toy that he has received as a gift, read the instructions carefully.  To prevent both burns and electrical shocks, don’t give young children (under age 10) a toy that must be plugged into an electrical outlet.  Instead, buy toys that are battery-operated. Children under age three can choke on small parts contained in toys or games. Government regulations specify that toys for children under age three cannot have parts less than 1 1/4 inches in diameter and 2 1/4 inches long. Children can have serious stomach and intestinal problems – including death — after swallowing button batteries and magnets.  Keep them away from young children and call your health care provider immediately if your child swallows one. Children under age 8 can choke or suffocate on uninflated or broken balloons; do not allow young children to play with them. Remove strings and ribbons from toys before giving them to young children.  (This goes for pets too.  Be sure to watch out for ribbons, twist ties, rubber bands and the like.)  Watch for pull toys with strings that are more than 12 inches in length. They could be a strangulation hazard for babies.  
2. Parents should store toys in a designated location, such as on a shelf or in a toy chest, and keep older kids’ toys away from young children.

Food Safety

1. Bacteria are often present in raw foods.  Fully cook meats and poultry, and thoroughly wash raw vegetables and fruits. Be sure to keep hot liquids and food away from the edges of counters and tables, where they can be easily knocked over by a young child’s exploring hands. Be sure that young children cannot access microwave ovens. Wash your hands frequently, and make sure your children do the same.  Never put a spoon used to taste food back into food without washing it.  Always keep raw foods and cooked foods separately, and use separate utensils when preparing them.  Always thaw meat in the refrigerator, never on the countertop.
2. Foods that require refrigeration should never be left at room temperature for more than two hours.                          

Happy Visiting

1. Clean up immediately after a holiday party.  A toddler could rise early and choke on leftover food or come in contact with alcohol or tobacco.  Remember that the homes you visit may not be childproofed.  Keep an eye out for danger spots.  Keep a list with all of the important phone numbers you or a baby-sitter are likely to need in case of an emergency. Include the police and fire department, your pediatrician and the national Poison Help Line, 1-800-222-1222. Laminating the list will prevent it from being torn or damaged by accidental spills.
2. Traveling, visiting family members, getting presents, shopping, etc., can all increase your child’s stress levels. Trying to stick to your child’s usual routines, including sleep schedules and timing of naps, can help you and your child enjoy the holidays and reduce stress.

Fireplaces

1. Before lighting any fire, remove all greens, boughs, papers, and other decorations from fireplace area.  Check to see that the flue is open.
2. Use care with “fire salts,” which produce colored flames when thrown on wood fires. They contain heavy metals that can cause intense gastrointestinal irritation and vomiting if eaten. Keep them away from children.

Do not burn gift wrap paper in the fireplace. A flash fire may result as wrappings ignite suddenly and burn intensely.
 

Copyright 2011 – American Academy of Pediatrics

What You Can Do to Improve Your Credit 

Credit scores, along with your overall income and debt, are big factors in determining whether you’ll qualify for a loan and what your loan terms will be.  So keep your credit score high by doing the following:

• Check for and correct any errors in your credit report.  Mistakes happen, and you could be paying for someone else’s poor financial management.
• Pay down credit card bills.  If possible, pay off the entire balance every month.  Transferring credit card debt from one card to another could lower your score.
• Don’t charge your credit cards to the maximum limit.
• Wait 12 months after credit difficulties to apply for a mortgage.  You’re penalized less for problems after a year.
• Don’t order items for your new home on credit — such as appliances and furniture — until after the loan is approved.  The amounts will add to your debt.
• Don’t open new credit card accounts before applying for a mortgage.  Too much available credit can lower your score.
• Shop for mortgage rates all at once.  Too many credit applications can lower your score, but multiple inquiries from the same type of lender are counted as one inquiry if submitted over a short period of time.
• Avoid finance companies.  Even if you pay the loan on time, the interest is high and it will probably be considered a sign of poor credit management.

This information is copyrighted by the Fannie Mae Foundation and is used with permission of the Fannie Mae Foundation. To obtain a complete copy of the publication, Knowing and Understanding Your Credit, visit www.goodmortgage.com.

The following safety tips are provided by the St. Louis Park Police Department.

Halloween Safety Tips

1)   Be sure that children are accompanied by a TRUSTED ADULT when “trick or treating.” Have older kids go out with friends in groups (safety in numbers)

2)   Accompany children to every door they approach and make sure you are familiar with the homes you are going to.

3)   Teach children to NEVER enter a home without prior permission from their parents or guardians.

4)   Teach children to NEVER approach a vehicle, occupied or not, unless they are accompanied by a parent or guardian.

5)   Make sure children wear reflective clothing and carry a flashlight after dark.

6)   Make sure children can see and breathe properly if they are wearing a mask, consider makeup instead.

7)   Teach children if someone tries to grab them to make a scene. Talk about yelling loudly that this person is not my father/mother/guardian and make every effort to escape by screaming, kicking, and resisting.

8)   Block Captains, consider patrolling your block and coordinating with other Block Captains to patrol your entire neighborhood.

9)   Make your home inviting for trick or treaters by turning on outside lights and remove objects from your yard that may pose a hazard.

10)  As always, report suspicious or criminal activity to the police.

• Make sure the weight your ladder is supporting does not exceed its maximum load rating (user plus materials). There should only be one person on the ladder at one time.

• Use a ladder that is the proper length for the job. Proper length is a minimum of 3 feet extending over the roofline or working surface. The three top rungs of a straight, single or extension ladder should not be stood on.

• Straight, single or extension ladders should be set up at about a 75-degree angle.

• All metal ladders should have slip-resistant feet.

• Metal ladders will conduct electricity. Use a wooden or fiberglass ladder in the vicinity of power lines or electrical equipment. Do not let a ladder made from any material contact live electric wires.

• Be sure all locks on extension ladders are properly engaged.

• The ground under the ladder should be level and firm. Large flat wooden boards braced under the ladder can level a ladder on uneven ground or soft ground. A good practice is to have a helper hold the bottom of the ladder.

• Do not place a ladder in front of a door that is not locked, blocked or guarded.

• Keep your body centered between the rails of the ladder at all times. Do not lean too far to the side while working.

• Do not use a ladder for any purpose other than that for which it was intended.

• Do not step on the top step, bucket shelf or attempt to climb or stand on the rear section of a stepladder.

• Never leave a raised ladder unattended.

• Follow use instruction labels on ladders.

Finally, remember that a ladder is a tool.  Do not use a ladder if you are not feeling well.  Make sure that the weather is cooperating, and that your ladder is in good working order.  Three-points-of contact will help minimize the risk of falls by keeping you more stable (American  Ladder Institute, 2011).   Enjoy the fall season!

For more information visit:

www.cpsc.gov/cpscpub/pubs/ladder.html

www.homesafetycouncil.org/SafetyGuide/sg_ladder_w001.asp

www.laddersafety.org

 References

American Ladder Institute (2011).  Basic ladder safety. www.laddersafety.org

Ross, M. (2011).  CPSC offers safety tips to prevent ladder injuries.  US Consumer Product Safety Commission.  www.cpsc.gov

Water damage is a leading cause of property damage.  Between 2007 and 2009, water caused approximately $9.1 billion in annual homeowner policy property losses.   In fact, according to the American Insurance Association, water damage claims are the leading claim of homeowners insurance (www.leakdefensesystem.com/Water_Damage_Stats/;  http://www.propertyinsurancecoveragelaw.com/2009/01/articles/insurance/why-causes-of-loss-are-important-to-you/).  

These leaks can be slow and gradual, such as a leaking faucet, or they can be on a sudden and large scale as with a broken water pipe.  Either way, water can create a variety of problems for you and your property in terms of financial and emotional cost,  and the resulting cleanup.

Has your home been damaged by water?  As a homeowner you will need to decide if you can manage this type of cleanup on your own, or if you should hire a professional.  The answer is up to you, however in order to to make an informed decision you should know some important information about water cleanup.

Water can cause a myriad of damage to floors, ceilings, and walls.  It can cause mold to develop, and clean up can be quite dangerous.    Before the water cleanup can be started, it is important to determine all the areas that will need to  be cleaned.  If you have carpet, it will need to be pulled up to remove the water underneath it.  At this point, you will need to consider if it can be cleaned or if it should be replaced.    A second consideration is to check the ceilings for sagging, dampness and brown stains.   In some cases, ceilings will have to be replaced.  Insulation will also have to be discarded if it is wet.   This will allow the joists to dry.  At this point, new insulation will need to be installed.  You will also need to watch for water in the walls.   Mold and bacteria can develop without proper sanitation.  This is very unhealthy for anyone living in your home.  This is knowledge that you will have to take time to learn before you can do cleanup if you want to ensure that it is done properly and safely. 

No matter where the water cleanup needs to be done, always be conscious of the wires and electrical outlets.   Water around these areas can easily cause electrocution!!   Many homeowners hire professional clean up companies for this reason alone.  Professionals have the knowledge and expertise to cleanup water from anywhere.  Water damage cleanup professionals know the complexities and dangers of this type work.  They are prepared to manage these risks without injuring themselves or someone else.  

Please take the time to consider these issues before attempting any type of water cleanup on your own.  Hiring a professional team can be well worth the investment for a variety of reasons, most importantly is your safety and well-being.

For more information please visit the websites cited above, or contact

Mike Collins

ICC Restoration & Cleaning Services

www.icchelps.com

mike@icchelps.com

651-739-4289 (office)

952-457-4902 (cell)