Putting Money Into Your Home -- Smartly

Home Improvements: 'The Good, the Bad, and the Ugly'

Pornography is hard to define, but I know it when I see it.

--Supreme Court Justice Potter Stewart

Oddly, I could say the same thing about good home improvements: they're hard to define, but you know one when you see one (ditto for home improvements that are bad or otherwise "off").

If you forced me to come up with a definition, it would be that a good home improvement is organic and accretive; the "acid test" is whether, when it's done, it seems like it's always been there.

In that vein, a neighbor on my block is in the middle of what looks like a $15k or so landscaping project.

The focal points: neatly defining the (formerly scruffy) perimeter of the front yard with a limestone retaining wall, which subtly picks up the decorative stone highlights in the nearby Tudor home (and takes the home's already strong curb appeal from a "7" to a "10"); and a decorative stone walkway from the home's front entrance to the sidewalk.

When it's done, no one -- excepting the owner and perhaps a few neighbors -- will be able to tell it wasn't original.

Nice. Very nice.

P.S.: as I've written previously, late Fall (around Halloween in MN) is a good time to get a landscaping deal.

"Location, Location, Condition"

"Not a Drive-By"

Quick, test your knowledge of Twin Cities real estate, and guess how much the single family home pictured above is listed for:

A. $149,000
B. $249,000
C. $419,900
D. $599,900

Give up?

Here are three more, very significant clues: 1) the home has been completely remodeled; 2) it's located in Minneapolis' tony Kenwood neighborhood (just east of Lake of the Isles, and close to downtown; 3) appearances to the contrary, it's over 3,000 FSF.

Correct answer: D

As they say, "the curb appeal is deceptive" (also commonly billed as "not a drive-by").

P.S.: and yes, curb appeal matters: the home has been on the market for over one year.

Where's the House? Behind the Garage

"Not a Drive-By," Illustrated

In contrast to the Hopkins home discussed in the next post ("It's Listed for HOW MUCH??"), there's no hiding the garage on this Linden Hills home.

Which would explain the lead shot on MLS -- a pretty, azalea-framed shot of Lake Harriet -- combined with this comment in both the Public and Agent Remarks fields: 'To fully appreciate this one, you must come inside!'

The Beauty of an Ugly House

Making Sure That "Ugly is Only Skin Deep"

No matter the price bracket -- OK, maybe not at $5 million-plus locally -- virtually every home represents a list of trade-off's for prospective Buyers.

Better location, smaller size. More square feet, worse condition. Great condition, not as good location.

And so on.

So, of the various attributes on most Buyer's lists, which is one of the best to be flexible on?

My personal candidate is curb appeal.

Buyer Trade-off's

Home Buyers naturally flock to homes that have curb appeal -- and tend to avoid ones that don't.

The resulting discount spells opportunity for Buyers who otherwise couldn't afford a particular neighborhood, or are willing to trade curb appeal for, say, extensive updates.

The only trick is just to make sure that, to paraphrase that famous line, "ugly is only skin deep."

Housing Trend 2010: Grand(er) Entries

From More Square Feet to More Volume, Cont.

I've discussed previously the trend toward homes not necessarily with more square feet, but more "volume" (higher ceilings, more and larger windows, wider stairs and halls, etc. -- see, "Not More Square Feet, More per Square Foot"; "Cranking Up the Volume").

That trend applies to the exterior of homes, too.

So, builders (and their clients) are designing homes with wider and more generous front doors, steps, porticoes (if consistent with the house style), and even wider walkways from the sidewalk to the front door.

The cumulative effect is enhanced curb appeal -- and the suggestion of grand, sweeping spaces inside.

All those features are vividly on display at 3812 Chowen Avenue, in Minneapolis' Linden Hills neighborhood (pictured above).

The home was built by Elevation, a division of Streeter, and is being listed by Edina Realty's Sheila Cronin for $1.449M.

(Oh -- and the inside's stunning, too!)

"I Want What They Got"

Ordering Off the Real Estate "Menu"

No, it's not what waiters in restaurants are hearing.

It's what would-be Sellers are telling their Realtors. "They," of course, are the owners of a neighboring home that sold a year -- or three -- earlier.

Aside from selling in similar market conditions, if you "want what they got," you also need to "have what they had": same condition, finished square feet, floor plan, curb appeal, etc.

Great Location, Cheap -- Why?

What's the Catch? (Hint: There's 2)

Where: 31xx East Calhoun Parkway in South Minneapolis

What: 5 BR/4 BA with 4,500 FSF on .29 acre lot

How Much: originally listed for $925k on 9/21; just dropped to $825k yesterday

Who: Broker - Edina Realty; Agent - James Keane

Even in a soft market for upper bracket homes, a 4,500 square foot home, on a .29 acre lot -- overlooking Minneapolis' Lake Calhoun, no less -- stands out.

So what's the catch, besides what some might say is the plain curb appeal?

Looking for Catches

The home doesn't appear to be dated or run-down; in fact, the interior pictures are actually quite flattering.

And no, it's not a foreclosure or short sale.

So what, then?

There is a high-rise tower immediately to the north looming over the home (and no, it's not in the pictures).

Not a huge deal, perhaps, but not exactly an amenity, either,

Catch #2

The other catch -- at least until the taxes catch up to the lower valuation? (Like many expensive Twin Cities homes now, this one is listed for well below the tax assessed value.)

An almost $17,000 annual property tax bill.

In truth, property taxes are a looming issue for many, many other upper bracket homes as well, but particularly in Minneapolis (by way of comparison, you'd expect an $800k Edina home to have a $10,000 property tax bill, give or take).

A Curb Appeal "10"

"You Know it When You See It"

"Curb appeal" is one of those real estate terms that you really can't define, but "you know it when you see it," as they say. (That unscientific formulation also happens to be the Supreme Court's definition of pornography -- really!).

At any rate . . . this brick, center hall Colonial -- located just south of Minneapolis' Lake Calhoun -- has curb appeal in spades. Note that the photo was taken at dusk, with the interior lights on, to create an especially dramatic impression.

The price was just reduced to $1.396M; Lakes Sotheby has the listing.