Spring Remodeling Projects to Start Saving For

 As cold weather and snow continue through mid February, it is hard to imagine when Spring will come. Soon enough the warm weather will return and home improvement projects will be in full swing. According to CNBC, builder sentiment has remained in mid-to-upper-50’s (over 50 is positive) for the past 8 months, with February at a score of 55. This is a great score in comparison to last February, in which we experienced similar weather and builder sentiment was at a score of 46. The National Association of Home Builders’ Chief Economist David Crowe described the scores as “a modest, ongoing recovery,” predicting that “Solid job growth, affordable home prices and historically low mortgage rates should help unleash growing pent-up demand and keep the housing market moving forward in the year ahead.”

With a growing economy and improving weather, CF Funding expects remodeling projects to surge this spring. Many may be remodeling this year to increase their home’s appeal in order to sell it.

You may be wondering what is the best remodeling project for your home. Which improvement will provide a large return on investment? What can I afford this Spring? CF Funding is here to help.

According to Power Home Remodeling Group, the 4^th largest home remodeling company in America, “Giving your home some added curb appeal with an exterior makeover will automatically boost the resale value of your property... If you plan to stay put, focus on cost effective renovations that make your home more comfortable, functional and low maintenance for your family. Either way, enhancing your home this spring will help protect your greatest investment.” Examples of exterior improvement projects include updating siding, replacing windows, and painting or replacing entry doors.

If you plan to sell your home in the near future, these projects are important because they may make a great first impression on homebuyers. If you are worried about the cost, consider this: according to Steve Brown, the president of the National Association of Realtors, “Projects such as entry door, siding and window replacements can recoup homeowners more than 78 percent of costs upon resale.” The association also rated exterior projects among the most valuable home improvements in their Remodeling Cost vs. Value Report. Examples included deck addition, garage door replacement, and roofing replacement.

Looking to start remodeling indoors before the weather permits outdoor projects? CF Funding suggests a kitchen or bathroom remodel, as they also provide large return on investment. Be sure to contact us if you are considering a refinance, as you could receive cash back to help pay for your Spring projects. Visit www.cffunding.com for more info or call (888)-344-4080 to speak to a specialist today!

For more home improvement ideas, visit our Pinterest page at www.pinterest.com/cffunding. 

Housing Market Index at Highest Since Q1 2008

The National Association of Home Builders released their 55+ Housing Market Index yesterday, and CF Funding is pleased to share that the Q1 2014 rating is now at its highest level since 2008. The 55+ HMI has now seen improvements for 10 consecutive months year-over-year. According to Steve Bomberger, chairman of the 50+ Housing Council, “Rising house prices and low interest rates are helping baby boomers sell their existing homes at a favorable price and in turn, purchase a new home more suited to their current lifestyles.” As CF Funding has mentioned previously on their blog, rising equity and low rates have also allowed many 55+ homeowners to buy second homes or remodel.

The Housing Market Index measures builder sentiment in regards to current sales, prospective buyer traffic, and anticipated six-month sales for both the single-family home market and multifamily condominiums. The results are measured on a scale of 1-100, so a result above 50 means more builders than not view conditions as “good” or traffic as “high.” This quarter, present sales rose 6 points (year-over-year) to reach 52. Expected sales for the next six months rose by 9 points (year-over-year) to reach 62. Traffic of prospective buyers remained the same from the previous quarter and year-over-year at 41.

The multifamily condo HMI rose one point to reach 39, which is the highest first-quarter reading in the 55+ HMI’s history. In Q4 2008 the multifamily condo HMI was as low as 12, and the all-time low was reached in Q2 2010 at a score of 7. Present Sales in multifamily condos saw a year-over-year increase of 4, and sales expected in the next 6 months saw a year-over-year increase of 5. Unfortunately, traffic of prospective buyers decreased year-over-year by -6, however, this quarter held steady with Q4 2013’s score of 32.

Multifamily rental indices saw a slight decrease in present production to reach 42 this quarter. Future demand increased one point to reach 59. CF Funding agrees with NAHB Chief Economist David Crowe’s statement that “The 55+ segment of the housing market is stronger now than it was a year ago… but there are still some headwinds hampering a stronger recovery.” Crowe also stated in a press release that “builders in many markets are facing tight credit conditions and lack of lots and labor.” CF Funding would like to remind those who are looking to refinance or remodel that credit guidelines have changed and those who were previously not eligible may qualify for a new mortgage or construction loan. Contact the lender today at (888)344-4080 for more information.