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Consider the following concept of price versus value when your home is appraised:

“An orange is a banana that meets the following conditions:

·         A fruit that is round; and

·         A fruit that is green or orange

There is as much logic in defining an orange as a type of banana as there is in defining value using the term price!

Cost, price, and value are different concepts that stand on their own.”

You can obtain more information on Price vs. Value at AppraisalBuzz.com, Fifth Edition, p. 52-54 by George Mann

All the Best to You for the Coming New Year!

Happy Holidays!

Inside Your Home

• Have your furnace system serviced to ensure it's working efficiently and not emitting carbon monoxide.
• Clean permanent furnace filters and replace paper or disposable filters.
• Replace the batteries in smoke and carbon monoxide detectors.
• If you have a wood stove or fireplace, have your chimney swept thoroughly. It should be cleaned before the soot build up reaches one-fourth inch thickness inside the chimney flue.
• Check your hot water heater for leaks and maintain proper temperature setting (120 degrees recommended by Department of Energy). On older water heaters with less insulation, for every 10 degrees Fahrenheit you lower the temperature, you save 6 percent of your water heating energy.
• Check the attic to see if insulation needs to be added or replaced. This is the most significant area of heat loss in many homes, so it is also important to see that it has proper ventilation. Inadequate ventilation could lead to premature deterioration of the insulation materials. You may also need to check insulation in exterior walls, crawl spaces and along foundation walls.
• Check all windows and doors for air leaks. Install storm windows and putty, caulk or add weather stripping as needed.
• Check basement and cellars for seal cracks or leaks in walls and floor.
• Make sure all vents are clean and operating properly.
• Clean and vacuum baseboard heaters, heating ducts and vents.
• Remove or winterize air conditioning units.

Outside Your Home

• Store or cover outdoor furniture, toys and grill.
• Purchase rock salt for melting snow and a shovel or snow blower if you don't already have one. Make sure you have the right kind of gas and oil on hand for your snow blower in the case of an unexpected snowstorm.
• Caulk joints and minor cracks on exterior walls and siding.
• Look for deteriorating finishes. Minor problems can be patched to preserve the wood. Put bigger jobs, such as scraping and refinishing painted or stained areas, on the calendar for next spring or early summer.
• Drain and shut off sprinkler systems and other exterior water lines to avoid frozen and broken pipes. Leave all taps slightly open.
• Insulate exterior spigots and other pipes that are subject to freezing but can't be drained or shut off.
• Rake and compost leaves and garden debris, or put out for yard-waste pickup.
• Clean storm drains, gutters and other drain pipes.
• Check the foundation for proper drainage. To do this, spray yard with a hose to see if water runs away from the house. A little shoveling to reshape the earth next to the house may make the water run away from the foundation.
• Make sure dirt or piles of wood don't come into contact with or touch siding, inviting termites and carpenter ants into the house.
• Seal driveway and walkway cracks, if needed, before ground freezes regularly.
• Inspect the roof for loose, damaged or missing pieces.

Three Approaches to Value

There are three ways to determine the value of anything, and each plays a part in property appraisal:

• Sales Comparison Approach--based upon the value of what similar properties have sold for in the vicinity with appropriate adjustments to time, acreage, living area, amenities and so on.
• Cost Approach--based upon the cost of replacing the property minus accrued depreciation.
• Income Approach--based upon the income a property may generate.  May not be applicable to owner-occupied residential property.

Start with a To-Do List when Selling Your Home

• Buyers love clean and attractive homes.
• Make it spacious by removing all clutter.
  
• Consider re-painting rooms that need some TLC.
  
• Curb appeal is important; trim trees, flowers, fix broken steps, etc--mow the lawn for Fall!
  
• Eliminate personal items, such as that stuffed bear in the family room.