Loudoun County VA real estate: April 2013

Tuesday, April 30, 2013

Helena Talbot's blog - Don’t Lose The Sale

You are ready to move and have found the perfect home for you and your family. The only thing left to do is to sell your current home. Sounds simple right? Well, it can be, but there are several things that you may be doing that are making your buyers run for the door.

Here are a few surefire ways to lose the sale
Keep reading so you don't make these common mistakes

• Make sure you are not at home while your buyer is viewing your house. Don't take this personally. A buyer will not feel comfortable with you around because they cannot envision themselves living in your home - they will see you living in your home. The buyer will not be comfortable opening the drawers and closets. Additionally, your buyer will not feel comfortable talking about what they would like to change about your home in fear of offending you. The buyer doesn't need you lurking around hanging on to their every word. Give them the space they need to fall in love with your house.

• Keep your home in tip top shape. Showing a messy home is a surefire deal breaker. The buyer may see your messy home and assume that you have not taken care of the routine home maintenance either. When we say clean - we do not mean stuff everything in the closet - the buyer will be looking there also. We know your busy and with kids and pets it's hard to keep your house spotless for possibly months at a time. So talk to your family and have a plan to keep everything as neat and orderly as possible.

• Do not overprice your home thinking that you can lower the price later. It is a buyers' market right now. Your buyer has a multitude of homes to choose from and if you overprice your home, potential buyers will not even stop to consider yours, they will be onto the next one that they don't have to work so hard to get. Talk with your realtor to go over fair market values for your area before deciding on a price. You don't want to lose out on a serious buyer just because of a few pricing mis-conceptions.

Any good real estate agent will be able to help you and guide you through the entire sales process from start to finish. So take advantage of their knowledge and the tools they have available to them to help you sell your home quickly.

Ispecialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

I have over 25 years experience in the real estate industry. As a Broker/Owner with Exit Realty Talbot and Company, I bring special tools and solutions that enable me to exceed the expectations of my clientele. If you are considering listing your property in Loudoun County or the nearby areas, ask me about our latest internet marketing systems. I would appreciate the opportunity to earn your business. I am experienced in listing and selling short sales. For information on the short sale process, please visit www.LoudounShortSaleSolutions.com.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

My past awards and designations include – 2003 President of the Dulles Association of Realtors, 2003 Dulles Area Assoc Realtor of the Year, Salesperson of the year 2000 Dulles Area Assoc of Realtors, Top Producer awards from both the Dulles Area Association and the Northern Virginia Association of Realtors. I am a member of the Top 5 in Real Estate Network.

I have lived in Loudoun County since 1979. I am married with two grown children and two grandchildren. My son in law is my business partner in real estate. I love to jog in the mornings and spend time relaxing on my Trawler during the summer months.

Loudoun County and Northern Virginia Real Estate Sales and Solutions – Helena Talbot, Broker. I specialize in helping buyers and sellers invest in real estate in the Northern Virginia area to include Loudoun County and surrounding areas including Fairfax, Clarke, Fauquier, Prince William Counties. Our local neighborhoods includeLeesburg, Ashburn, Sterling, Potomac Falls, Brambleton, Broadlands, Lansdowne, River Creek, Belmont Country Club, Beacon Hill, Shenstone, Waterford, Lovettsville, Purcellville, Hamilton, Round Hill and Bluemont. Cell 703.727.9885 Office 703.574.3800

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.

Monday, April 29, 2013

Helena Talbot's blog - Helpful Tips For First Time Investors

If you are just starting out as a real estate investor, you basically have two types of investing options. You can buy and hold a property and sell when the value goes up or you can buy a property, remodel it and then flip it.

Obviously, the safer risk is to buy a property and hold it until the value increases. If this is the route you have decided to take, then there are a few things you need to keep in mind.

1. Look for a property that is close to where you live. It will be much easier for you to inspect and supervise the remodel if it is close enough for you to inspect the progress throughout each day.

2. Look for a property that is in a neighborhood that is on the rise as far as future development. This will allow you to benefit from the increase in the property value as it goes up.

3. If you are trying to decide whether to buy a newer built home, a remodeled home or a less expensive home that needs some cosmetic repairs - buy the fixer upper and put some upgrades into it. This will give you a better return on your investment in the long run.

4. Buying a home as a real estate investment could provide you with some tax savings

5. Get a personal financial advisor to help you set your investment goals

6. Your real estate agent can help you find a property that will match your investment plans

7. Your realtor can help you with a myriad of questions such as: why a particular property would be considered a solid investment. Why certain features make a home easier to rent. What kinds of maintenance expenses you could encounter. What kind of cash flow you can expect and how the tax savings can add to your investment.

8. Your realtor can also give you the history of pricing trends for any particular market area so that you can use that information to achieve your investment goals.

Real estate investing is something that you do not want to learn the hard way. The most important things you can do to make sure you don't make a rookie mistake is to find an experienced realtor and personal financial advisor to guide you through the entire process as smoothly as possible.

Ispecialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.

Friday, April 26, 2013

Helena Talbot's blog - 11 Ways to Move on a Budget

Whether you are planning an out-of-state move, or even moving across town, the costs associated with moving your possessions from one location to another can be a significant burden, especially given today’s economy. If you are planning on moving during the busy summer season, the following tips from Two Men and a Truck will help you save both time and money.

1. Pack all items into boxes and tape all boxes closed with packing tape. Do not use duct, Scotch or masking tapes.

2. Label all boxes by room and contents to save time when movers unload them from the truck into your new home.

3. To reduce load time, as you pack your boxes, take them to the garage or to a common area on the main floor.

4. Disassemble and reassemble items such as beds, cribs, entertainment units, etc., yourself.

5. Make sure all electronics are disconnected and wires are removed or taped tightly to the item.

6. Be prepared for the movers. Packing or disassembling items while the movers are present will increase load time and costs.

7. Move all miscellaneous unboxed items such as lamps, pictures, toys, yard tools, etc., yourself.

8. Disconnect washers/dryers/refrigerators and other large appliances to save time.

9. Reserve ample parking for the moving trucks, as long walks add to the load and unload time.

10. Make sure there is a clear walkway for the movers to get to and from the truck.

11. Be at the new location on the day of the move so movers know where to place furniture and other items.

Ispecialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.

Thursday, April 25, 2013

Helena Talbot's blog - Home Staging And What You Don't See

You have all heard of "home staging" and you probably know how important it is when you are trying to sell your home. However, what you may not have thought of is what home staging can mean when you are trying to buy a home. If you are buying a home, you need to be especially aware of what lies underneath all of that beautiful and distracting decor.

Here are the most common home staging cover up techniques.

1. Small Scale Furniture. Quite frequently, when a stager sees a room that is clearly too small and wants to create the illusion of being larger than it is - they use smaller furniture to decorate. This makes any room look larger than it really is

2. The Camouflage Technique. You know that we all use scent to cover up smells. Well, just like scent a stager will use soft music and window covering to hide what they don't want you to see. When viewing a home ask to have the music turned off and open all of those beautiful window coverings. What do you hear? Road noise, a barking dog, airplanes or perhaps some really noisy neighbors. Additionally, it is equally important to look out every window. What do you see? Power poles, a trash dump, another home in complete disrepair, a hoarders paradise complete with rats? Needless to say - look and listen - then decide

3. What's Behind That Door? Just like the camouflage technique, stagers will use decor to distract you from giving the home a thorough inspection. Many people feel uncomfortable about opening the cabinet doors, the pantry door and the linen closet. Don't be. It is extremely important that you look through everything. What would you do if you moved in and discovered that none of your cabinets had shelves or if that linen closet you needed so desperately was so tiny that it was practically useless

4. Emotional Props. Stagers know that certain items draw out emotion in people. Look for things like a beautiful baby crib, a craft table, yoga mats etc. Things that give you a peaceful picture and get you visualizing yourself living there. These types of rooms may very well be something you need but more often than not they are just things on your wish list so don't let the power of suggestion sway you

5. Something Looks Out Of Place. Look under that area rug - check the floors, are there any doors missing that should be there-there may be a foundation issue or they are trying to hide a bad floorplan , look behind that extra large picture, is there a curtain on one window but not the others

Here is the short list of home staging cover ups. This will give you a good idea of how it is done. So the moral of the story is to look up, down, in, out and all around. Look at everything and then step back and look at it again from a different perspective minus any emotional thoughts you may have about the house.

Your very best resource in helping to uncover a home staging cover up is your real estate agent. Your realtor sees this kind of thing every day and will probably be able to spot a cover up in a New York minute!

Ispecialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.

Wednesday, April 24, 2013

Helena Talbot's blog - Increase Your Home's Curb Appeal in 4 Easy Steps

Now that spring has arrived, homeowners across the country are taking advantage of the longer days and warmer weather by tackling their to-do lists. Whether you’re in the market to sell or simply looking to change your home’s appearance, the following tips from Handyman Connection will help you enhance your home’s curb appeal.

A grand entrance. The front door is the gateway to your home and can often be an easy and inexpensive way to add a different dimension to your home's curb appeal. You can paint the door a different color to accent the exterior paint on the house or you can get an entirely new door. When choosing a color for the door, be sure to pick something that stands out from the rest of the house, but that meshes well with the entire color scheme.

Add a splash of color. Painting or re-painting your house can drastically alter your home's curb appeal, giving your house a brand new look. Give your exterior walls some flair by picking a color different than what was previously on your house and accentuate it by finding a nice color for the trim.

Pay attention to privacy. Fencing around your yard is a great way to increase your home's appeal. A small white-picket fence is a simple way to give your house a nice, cozy look. Putting up a fence on the sides of your yard is a practical way to increase your privacy and your curb appeal at the same time.

Increase your space. Adding a deck—or even a wing onto your existing deck—can increase your home’s curb appeal, especially if you enjoy spending time outdoors. Adding a wing to your deck is easier than enlarging it and gives you two areas to gather instead of one. Painting or staining your deck is crucial to adding the curb appeal you seek, so dedicate a weekend or two every other year to make your deck look as good as new.

Ispecialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.

Tuesday, April 23, 2013

Helena Talbot's blog - First Impressions Count: 4 Easy, Inexpensive Ways to Attract Prospective Buyers

If you’re in the process of getting your home ready to be put on the market—or you’ve recently listed your home for sale—you know just how crucial a positive first impression can be when it comes to attracting prospective buyers. While first impressions are everything in this day and age, creating a positive one doesn’t have to cost an arm and a leg.

Here are four easy and inexpensive ways to create an inviting home environment for potential buyers.

1. Trim it right. It’s amazing what a fresh coat of paint can do for your home’s interior. While $100 won’t allow you to repaint every room in your home, it will get you enough to freshen up the trim, and any spots on the walls that need a touch up. Be sure to stick with clean, warm colors.

2. Focus on the front. The first thing a prospective buyer sees when they arrive for a showing is the front of your home. For $100 or less, you can repaint the door, plant a fresh flowerbed, and make sure your lawn is neat and tidy. Don’t forget to shine up details like your house number and mailbox, and repaint or replace anything that looks tired or old.

3. Squeaky clean. Your home should be clean and clutter free for a showing. While you can tackle the process yourself, hiring a cleaning service is a great way to get things gleaming before a showing.

4. Appeal to the senses. You don’t want to turn off potential buyers with a musty smell or dim lighting. Take the time to air out your home before a showing and, if necessary, light a lightly scented candle—or bake a batch of cookies. Make sure rooms—especially the first room a buyer will enter—are well lit and bright by opening curtains and blinds. Bring in an extra floor lamp if necessary.

Ispecialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.

Monday, April 22, 2013

Helena Talbot's blog - 5 Great Tips to Close the Deal

In our market, competition for buyers is high and sometimes the seller may need to look at sweetening the pot, so to speak, to get the deal done.

As a member of the Top 5 in Real Estate Network®, sellers often ask me what they can do to help make their home stand out among the sea of homes currently listed. The following are five creative ideas that I believe might just help close the deal.

Offer a Decorating Allowance
There may be a buyer that likes your home but just has different decorating tastes. To seal the deal, offer a decorating allowance (for painting, new carpets or wallpaper). You can also offer cash at closing, or put money in escrow to reimburse decorating and remodeling expenses made within 90 days of closing, up to a maximum amount.
Do a Pre-Sale Inspection
This actually works for both the seller and the buyer. By having a whole house inspection done before listing the home, you get a chance to address any issues before prospects see the home. That means you increase the home's salability. Display the report during open houses and highlight the repairs that have already been addressed. It's like seeing the repair history when you buy a used car; it makes you feel better about making an offer because you know the car is in good shape and exactly what has been repaired in the past. By having the home inspected before listing it, people don't have to guess what kind of condition it is in -- they can see it in writing.
Offer a Home Warranty
A home warranty reassures the buyer that the property is in top condition and gives them comfort knowing that certain future repairs will be covered by insurance. Buyers fear that as soon as they buy the house, the dishwasher, dryer or stove will go on the fritz. A home warranty is an inexpensive way to offer peace of mind to the buyer.
Cover Closing Costs
Sometimes, it takes a little nudge to close the deal. You can offer to pay the buyer's half of the title and escrow fees or prepaid interest charges. Paying the points on the loan may also be a tax deduction for you. Many lenders may limit how much of the closing costs you can pay, but if the buyer is short on cash, offering to pay some closing costs can make a difference.
Offer Seller Financing
There are many ways to offer seller financing. Options include putting funds in escrow to cover several months of mortgage payments, buying down the mortgage rate or carrying a second mortgage to cover the down payment. It is wise not to offer seller financing unless you have consulted a real estate attorney and your real estate agent. Make sure the buyer has good credit. Although this is the least attractive option to the seller to get a deal closed, sometimes it takes creativity and going the extra mile to get your home sold.

Ispecialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.

Friday, April 19, 2013

Helena Talbot's blog - Rent or Buy? How to Make the Right Decision

With persistently low interest rates and desirable prices—even bargains in some locations—there are a lot of great reasons to buy a home in the current real estate market. However, deciding whether to buy or rent is a serious, often complicated decision, which should be weighed carefully.

A professional, experienced real estate agent can help guide you through a rent vs. buy analysis based on your particular circumstances. In the meantime, the American Bankers Association (ABA) suggests asking yourself the following critical questions when considering a home purchase:

How much can you afford to put down? Can you afford the monthly payment? A mortgage down payment of 5 - 20 percent of the selling price is typical, but can vary depending on the situation. The size of the down payment will impact the monthly cost. Assess your financial health, determine how large of a down payment you can afford and consider if you can then afford the monthly cost.
What other debt do you have? Consider all of your current and expected financial obligations and ensure you are able to make all the payments. Aim to keep total rent or mortgage payments plus other credit obligations less than 35 - 40 percent of your monthly income. If you can't keep payments below that, you may be better off renting for a while or searching for a more affordable home.
What is my credit score? Can I qualify for a good interest rate? A high credit score indicates strong creditworthiness, which qualifies you for better interest rates on a mortgage. Maxing out your credit lines and paying bills late will lower your credit score, and the impact of a credit score on interest rates can be significant. For instance, a borrower with a score of 760 could pay nearly 2 percentage points less in interest than someone with a score of 620. That equates to over $3,000 less in mortgage payments each year. If your credit score is low, you may want to delay buying a home and take steps to raise your score.
How much will taxes, monthly maintenance or other fees cost? Owning a home means you will have to pay real estate taxes and other costs like insurance and maintenance. However, owning a home can bring tax savings at the end of the year. Remember to factor in these costs and incentives. Renters have neither these costs nor tax advantages.
How many years will I stay here? Generally, the longer you plan to live someplace, the more it makes sense to buy. Over time, you can build equity in your house. For renters, there is no equity or investment value. Yet, renters have greater flexibility to move as they don't have to worry about finding new tenants.

If it turns out that it may be better to wait a bit before buying a home, keep in close contact with your real estate agent, who can help you make the move to homeownership as soon as possible.

I specialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.

Thursday, April 18, 2013

Helena Talbot's blog - 3 Tips for First-Time Investors

There isn’t a worker in America who doesn’t know he or she should be saving money—especially given today’s economic conditions. Whether you're saving for a home down payment, college tuition or a retirement nest egg, investing in the future is a wise financial decision. Understandably, the two most pressing questions usually are: “How much can I afford to save?” and “What is the best way to make my money grow?”

Financial experts agree that long-term investing is the surest way to build savings—and also that you do not need a lot of money to get started. What is critically important, however, is that you save on a consistent basis.

There are classes you can take, books you can read, and experts you can consult in order to learn the finer points of investing. To begin with, however, there are three fundamental steps you must take:

1. Determine your savings goals. You need to know what your savings goals are in order to figure out how to get there. Let’s say you want to retire at age 65 with the same standard of living you have now. You can find retirement calculators online to help you determine how much money you will need in order to reach that goal.

2. Evaluate the stock market. Guaranteed investments and savings bonds are great for reaching short-term goals. They generally return about 2% to 5% at best. But if you have some time to reach your goal, investing in the market will likely be your best approach. Averaged out over the last 25 years, despite some trying times, DOW returns have paid around 9% or 10%. Here’s the difference: Over 25 years, a $10,000 investment at a 3% rate of return will grow to $26,000. A 9% return will give you $86,000.

3. Understand that time is money and plan accordingly. To be successful at saving money, it must be approached as a long-term plan—get-rich-quick schemese rarely, if ever, work. Therefore, the earlier you start to save, the more money you will have down the road. In these scenarios, assume a 10% rate of return compounded annually:

Begin investing $100 per month at age 30 until you reach age 65. At that point, you will have about $345,000 in investments. You will have put in $42,000 over the 35 year span. The other $303,000 is from the growth of your money over time.
Begin the same $100-per-month saving plan at age 20. At age 65, you will have about $916,000. You will have invested $54,000. The other $862,000 is from the growth of your money over time.

I specialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.

Wednesday, April 17, 2013

Helena Talbot's blog - How to Make Real Connections with Buyers During an Open House

In today's technology-centric world, the idea of hosting an open house to help find a buyer for your home may seem antiquated. As a Member of the Top 5 in Real Estate Network®, however, I have learned from experience that an open house -- when done correctly -- can go a long way toward getting your home sold quickly for an optimal price.

Why? Because while technology is integral to marketing your home, no video or virtual tour will ever compare to viewing a home in person. That's why it's essential to focus on the very tangible assets of your home during an open house -- the things that will connect with a potential buyer's senses. Work with your real estate agent to make sure you emphasize the following areas of your home so that open house visitors can connect in a very visceral way:

Fragrance - Move beyond the played-out strategy of baking cookies in the oven and instead, seek to emphasize potential natural fragrances associated with your home. Have your open house while your magnolia tree, hyacinths, lilacs or rose bushes are in bloom. Make sure your lawn is freshly mowed. Open windows to let in sea or lake breezes. Arrange some freshly cut pine branches from a tree in your yard decoratively in a vase. Make sure your hardwood floors are cleaned and polished. All of these are subtle, yet powerful, scents associated with the true meaning of home.
Warmth - Nothing says home better than a room basking in sunlight. Make sure curtains are pulled aside and blinds raised to let natural sunlight bathe key rooms in the home. Take advantage of a home's woodstove or fireplace when appropriate.
Touch - Open house visitors will open all sorts of doors, cabinets and drawers and come in contact with banisters and window frames. Make sure all metal substances, like brass door knobs, and wood finishes, such as your master staircase, are brilliantly polished, clean and smooth to the touch.
Sound - Every home has certain sounds associated with it -- good and bad. Take advantage of any natural water nearby by keeping a strategic window or two open, or install indoor and/or outdoor fountains. Hang a birdfeeder in close proximity to an open kitchen window. If you own a grandfather or cuckoo clock, make sure it's wound. Conversely, unplug any electronics that might make disturbing humming or beeping noises, and close any windows that let in displeasing street noise.
Sight - While odds are most visitors have already seen your home online, nothing compares to this in-person visit. Inspect your house from all angles, starting at the front curb or driveway, all the way through to the basement, attic, and back door. Make sure your home looks its best from every angle -- even inside closets and cupboards. As you can imagine, less is more. Clean out the excess and arrange subtle vignettes that help visitors envision themselves living life in the various nooks and crannies of the home.

I specialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.

Tuesday, April 16, 2013

Helena Talbot's blog - 3 Tips for First-Time Investors

Begin investing $100 per month at age 30 until you reach age 65. At that point, you will have about $345,000 in investments. You will have put in $42,000 over the 35 year span. The other $303,000 is from the growth of your money over time.
Begin the same $100-per-month saving plan at age 20. At age 65, you will have about $916,000. You will have invested $54,000. The other $862,000 is from the growth of your money over time.

I specialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.

Monday, April 15, 2013

Helena Talbot's blog - Who's Under Your Roof? The Real Risks of Unlicensed Labor

Who's that working under your roof? Or on top of your roof…or way, way up in your maple tree pruning branches? If it’s an unlicensed worker you are facing unaffordable perils—both personal and financial. Here are a few reasons why you should never employ unlicensed labor, even for the smallest job:

- You are exposing yourself to the risk of an unknown person entering your home. Someone purporting to be Mr. Fixit could, in reality, be casing your home for a later break-in, assault or home invasion. The likelihood of these horrors occurring is far less if you are dealing with a licensed contractor with ties to the community.
- You could lose thousands of dollars if the work is shoddy or incomplete. Here's where using a licensed contractor can really pay off. State licenses require contractors to have trade experience, often requiring performance tests to ensure competency, and they also require contractors to be knowledgeable about local home improvement laws. Best of all, many states have a home improvement guaranty fund from which homeowners can recover money if they suffer a loss as a result of work done by a licensed contractor.

- It’s illegal! Unlicensed workers who perform work for you are committing a misdemeanor and can be arrested, which means you are out of luck in terms of any deposit you may have put down and may well be liable for any materials bought from stores or sub-contractors by the unlicensed contractor.
- You could be exposed to enormous damages in court if the unlicensed contractor is injured on the job. State courts have found that an unlicensed worker cannot, by definition, be an independent contractor—and if he’s not a contractor, he must be your employee. This means he or she can sue you if injured on the job. In one instance in California an unlicensed worker, injured after only a few hours working on a roofing job, successfully won damages claiming he was an employee of the homeowner! In another case in West Virginia, a licensed cable installer won a $1,000,000+ settlement for injuries he sustained from a fall off a power pole attached to a home, claiming that work performed by an unlicensed electrician on the home's circuit breaker box was the cause of his injury.

These ruinous risks are avoidable. Using licensed contractors may cost more now but you can't place value on peace of mind. When embarking on contractor work, here are the top five do's and don'ts to consider:
2. Do ask for references from customers and suppliers who have worked with the contractor; and check for complaints on file with your state's contractor office and the Better Business Bureau.
3. Do check to make sure a contractor's insurance coverage is complete and up-to-date, and includes worker's comp, property damage and liability.
4. Do pay by credit card if possible, or, if paying by check, make it out to a company, never to "cash."
5. Don't pay cash. Don't pay in full in advance. Don't buy "left over supplies". Don't make a final payment until a thorough inspection of the work is complete.

1. Do ensure your contractor is licensed. The status of a contractor’s license can often be checked through your state’s Licensing Board Website or have the contractor show you a copy of the license.

I specialize in helping buyers and sellers invest in real estate in Loudoun County and Northern Virginia.

For a free market analysis on the value of your home, please visit http://www.LoudounHomeValues.com

Free iPhone/Android Mobile App to search Northern Virginia real estate. 2 easy ways to get the App: Text “Exit9” to 87778 or enter http://87778.mobi/Exit9 into your browser.