December is a crazy busy month for most people. In the first few weeks of December, many people find themselves scrambling to buy gifts, send out Christmas cards and put up holiday decorations.

As the middle of the month approaches the holiday parties move into full swing. The last week of December brings family gatherings and holiday travels for many.

It’s a whirlwind month.

But December is also your last chance to take the steps that will save you money on your income taxes that you will be paying in just a few months. Take a few minutes from your holiday activities to consider if you should spend some money now on things that will lower your taxes later.

2 Best Tax Credit Opportunities for MO Homeowners:

Energy Efficient Home Upgrades

By upgrading your home’s energy efficiency this month, you will reduce the cost of the home improvements by taking advantage of a tax credit that expires this year AND you will continue to save for as long as you live in the home.

If you are thinking of selling your home in the next few years and you roof, hot water heater, furnace or air conditioner is more than 15 years old, you should consider upgrading them now.

Buyers get very nervous about buying homes that will likely result in expensive repairs in the first few years.

Some buyers simply walk away when they learn a house has older systems. Others demand a lower price to get them to move forward with a purchase. But waiting until you are ready to put your home up for sale or you are in contract negotiations means you are unlikely to recoup the cost of the improvements.

If you replace inefficient systems now, you can take advantage of the tax credits and have lower utility bills until you are ready to sell. When you are ready to move, a home with new energy efficient systems will typically sell faster  (which almost always results in a higher sale price).

The bottom line is that you have a much better chance of recouping your full cost of installing energy efficient improvements if you do them now rather than waiting until you are ready to put a “For Sale” sign in the yard.

Energy efficient upgrades that are eligible for federal tax credits that expire on December 31, 2011 are:

• HVAC (heating, ventilation and air conditioning equipment)
• insulation
• roofing
• water heaters
• windows, doors & skylights
• biomass stoves

Tax credits go as high as $500 on many of these items.

See more details…

Missouri State Youth Opportunity Tax Credit

If you will be paying income taxes to the State of Missouri, you have an opportunity to make a large donation to a charity with most of the donation refunded back to you by the state.

MO’s Youth Opportunity Tax Credit program offers an amazing opportunity to have your charitable dollars make a big impact.

I recently made a Youth Opportunity Tax Credit donation to Sherwood Forest Camp. By making a $1000 donation through this program, the camp got a full $1000 donation but it will only cost me about 25% of that after I file my taxes for 2011.

Here’s an excerpt from the SFC website to explain how the YOP tax credit works.

Missouri Tax Credits enable you to give twice as much with less out-of-pocket cost!

For a donation of $1,000 or more, you can receive a 50% Missouri State Tax credit against any Missouri taxes you owe.   Combined with normal federal and state charitable deductions*, you could receive up to 75% back on your donation.

Without tax credits, a donation of $5,000 can send five children to camp for a life-changing experience.  But with no additional cost to you, you can double that gift to $10,000, take advantage of the tax credit, and transform the lives of ten disadvantaged children in the St. Louis Region.

 Too good to be true?

$500 Gift, No YOP State Tax Credit
Cash/stock gift to SFC	$500
Missouri YOP tax credit	$0
Federal income tax deduction (35%)	-$175
State income tax deduction (6%)	-$30
Federal tax (following year) on state savings/refund	$0
Net cost to you	$295

 

$1,000 Gift WITH YOP State Tax Credit
Cash/stock gift to SFC	$1000
Missouri YOP tax credit	-$500
Federal income tax deduction (35%)	-$350
State income tax deduction (6%)	-$60
Federal tax (following year) on state savings/refund	196
Net cost to you	$286

 

 NOTE: Example is for someone in a 35% federal tax bracket.  Benefits vary depending on your tax bracket.  Check with your tax advisor to learn how the deductions will work for you.

Why Sherwood Forest Camp?

There are certainly plenty of deserving charities that could use your financial contribution. But if you are looking for a way to break the cycle of poverty for a child, you can’t do better than Sherwood Forest Camp.

Sherwood Forest serves up to 450 children and adolescents ages 7 to 16 each summer, predominantly from families living in poverty. Children have the opportunity participate in the 4 year Leadership Program after they complete 6th grade. Of the 68% of leadership program graduates who have stayed in touch with camp, 94% have risen out of poverty as adults.

When I make a donation, I want it to have a long-term impact. What better long-term effect than helping kids to understand the need to stay in school, further their post-secondary education and have healthy relationships as adults.

For some moving testimonials from former campers, read the comments on my last article about Sherwood Forest Camp.

If you were thinking of making a donation to charity this month so you could deduct it on your taxes, please consider making a donation of $1000 or more to Sherwood Forest Camp. Take advantage of the Youth Opportunity Tax Credit and have your dollars go much farther.

But don’t delay. The website says they have only $24,000 left in tax credits available to donors for 2011 donations.

Possibly Related Posts:

1. Are there Rebates or Tax Credits for Energy Star Products?
2. Missouri Tax-Free Shopping Weekend
3. Your Credit Score Impacts More than Just your Credit Card Rates
4. Home Improvement Tax Tips for 2007

See U.S. interactive map

Did you know that high levels of radon, a naturally occurring gas that we breathe every day, is the 2nd leading cause of lung cancer?

Did you know that it is easy to find out if the radon rate in your home is dangerous?

Did you know that it is easy to fix elevated radon levels in your home?

For years, we’ve been testing radon levels for our home buyers before they purchase a new home. The good news is that radon is easy to test and fix.

Compared to other problems you might discover in your home, the cost is fairly reasonable if you do find a problem and need to have a radon mitigation system installed.

For about $150, you can have your home professionally tested to know if you have a problem that needs to be addressed. If you do have elevated levels of radon in your home, you can have it mitigated, eliminating dangerous radon gas levels, for around $650-700 (extremely large homes will be a little more expensive).

There are also DIY test kits (affiliate link) available for a lot less money. I wouldn’t use these during a real estate transaction, as there would be no way of knowing if the home seller carried it outside during the test to reduce the radon level for the results. But, it is a good inexpensive solution to testing your home for yourself.

What are the Radon Levels in St. Louis?

Missouri is identified by the EPA as having moderate risk. This means that there is good chance that any given home will have radon levels in their home that is higher than 4.0 pCi/L, the level established by the EPA as putting your health at risk.

NOTE: The World Health Organization sets the acceptable level of radon at 2.7 pCi/L.

What does this mean?

If you live in St. Louis County, almost 1 in 3 homes has radon levels that are above the level the E.P.A. defines as safe.

Your risk of living in a home with high radon levels is lowest in St. Louis City, and highest in Jefferson County, MO or the Illinois counties of St. Clair or Monroe.

Does this mean that St. Louis City homeowners don’t need to test their homes?

Absolutely not.

While your chances of having a home with a radon issue is lower, if you happen to live in the 1 in 5 home that DOES have a dangerous radon level, you are putting yourself and your family at risk for lung cancer even if you do not smoke. If you are a smoker or former smokers, your risk for getting lung cancer is even higher.

People who live in rental homes or ground level condos should also have their homes tested.

Dr. Oz, made famous by the Oprah Winfrey show, has a video that does a great job of explaining what radon is, how it gets into your home, and how it can cause lung cancer. Pop over to watch the video and then give us a call if you want us to connect you with an inspector to test for radon.

If you do find high levels of radon in your house, contact us so we can get you our Realtor discount through a local radon mitigation company.

Possibly Related Posts:

1. 2 Best Tax Credit Opportunities for Missouri Homeowners
2. Missouri Home Buyers ~ Get $1750 after Closing from the State of MO
3. Missouri Property Tax Credit for Buyers
4. Home Inspection Guide for Buyers

The kitchen remodel was actually finished about 6 weeks ago, but the real estate business got busy and simply had to take priority. After all, real estate is how I pay my bills and our clients always come first.

So after teasing you with before video and pictures of the project in progress, below are pictures of it all finished.

I’m really happy with how it turned out and wouldn’t change a single thing.

Click on the pictures to see larger images.

I like it during the daytime, but I LOVE it at night.

Here’s a close up of the light. It was the hardest item to find. Lighting is simply so expensive and there aren’t a lot of options in pendant lights that don’t require transformers and have low voltage bulbs. This light fixture was super inexpensive from Lowe’s.

See the Transformation:

The kitchen really does look completely different. See for yourself.

Karen’s Kitchen Remodel – Before Video
Karen’s Kitchen Remodel – Progress Report 1
Karen’s Kitchen Remodel – Progress Report 2

Product & Contractor Specifics:

I shopped around looking for the perfect materials while being careful to not to break the bank. Every product and contractor exceeded expectations. As such, I’m happy to share what I bought and where I got it.

Counters - Cambria Quartz counters from Henry Plumbing

Back splash tile - Oceanside Glasstile from Henry Plumbing

Sink - Blanco chocolate granite sink from Appliance Connection

Cabinet hardware - Gatehouse Satin Nickel Pulls from Lowe’s

Lighting - Pendant, recessed and under cabinet from Lowe’s

Trash can - roll out trash can for under the sink cabinet from Lowe’s

Appliances - Frigidaire Gallery Series (gas range, microwave & dishwasher) from Lowe’s

Cabinets - I didn’t replace these. It’s possible to completely change the look without getting new cabinets!

I also stuck with my old faucet, refrigerator, blinds and wood floors.

The entire project was managed by Justin Turnbaugh, owner of Greentree Construction. Justin and his team did all of the work except for installing the counters and sink, which was handled by Stone Masters.

Justin did a great job for me, and he has helped a number of our clients get their homes ready for sale. Give him a call if you need a contractor you can trust.

Possibly Related Posts:

1. Karen’s Kitchen Remodel ~ Progress Report 2
2. Karen’s Kitchen Remodel ~ Progress Report 1
3. Karen’s Kitchen Remodel ~ BEFORE Video
4. Transform Your Kitchen through New Lighting

For those of you who are regular readers, you’ve seen the articles I’ve posted telling you about my kitchen remodel project.

Part of why I decided to chronicle the transformation of my kitchen is to show that you can save money and still get an all new look by reusing as much as possible. In my kitchen, the cabinets, flooring, faucet, the light over the kitchen sink, garbage disposal and the refrigerator were all fine.

It’s been 2 days now with Justin Turnbough of Green Tree Construction running the show, and while the transformation isn’t complete, you can already see where it is headed.

Projects completed in the last 2 days:

• New appliances installed
• New quartz counters installed
• Adjoining living room/dining room, hallway & staircase painted
• Old light fixtures removed
• New under cabinet lights halfway in

There is still a lot to do, but 2 more days is all that it should take.  Here are a few pictures of the transition.

No, the under cabinet lights are not staying that way. They were just taped up temporarily so I could decide if I wanted them closer to the front of the cabinets, centered or towards the wall. I went for towards the front to get as much light on the counters rather than on the wall.

Stay tuned for the finished project later this week!

Possibly Related Posts:

1. Karen’s Kitchen Remodel ~ AFTER Pictures
2. Karen’s Kitchen Remodel ~ Progress Report 1
3. Karen’s Kitchen Remodel ~ BEFORE Video
4. Transform Your Kitchen through New Lighting

Visit the ENERGY STAR website to enter your zip code and identify current rebates for your area.

Learn more about how ENERGY STAR products save you money…

In St. Louis, there are currently rebates available for:

• Furnaces
• Boilers
• Water heaters
• Central air conditioners
• Electric heat pumps
• Dehumidifiers
• Doors
• Windows
• Window components
• Skylights
• CFL light fixtures and bulbs
• Refrigerators
• Freezers
• Dishwashers
• Water coolers

Some of these rebates expire as soon as the end of this month, so don’t delay in checking the list if you are planning home projects or need to buy light bulbs.

There are also federal tax credits available.

The majority of the tax credits that will be beneficial to the typical St. Louis homeowner expire on Dec. 31, 2011. These tax credits reimburse you 10% of the cost (maximum $500) or a set amount for the item between $50-300 on:

• Biomass stoves
• HVAC (heating, ventilation, air conditioning)
• Insulation (including weather stripping, spray foam in a can designed to air seal, caulk designed to air seal & house wrap)
• Roofs (metal or asphalt)
• Non-solar water heaters
• Windows, doors & skylights

In addition, there are federal tax credits that don’t expire until Dec. 31, 2016 for geothermal heat pumps, small wind turbines, solar energy systems and fuel cells.

Find information on all of the current federal tax credits here.

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1. 2 Best Tax Credit Opportunities for Missouri Homeowners
2. Why Buy Energy Star?
3. 12 Tips to Make Your Home More Energy Efficient
4. Home Improvement Tax Tips for 2007

For almost 20 years, appliance shopping means deciding if we want to spend extra money for ENERGY STAR products.

Today, you can find ENERGY STAR labels on many of the products which otherwise would be energy-hogs, and these products are not necessarily more expensive than their non-Energy Star competitors.

In fact, one of the requirements for a product to obtain ENERGY STAR certification is that if it costs more than a less-efficient counterpart, purchasers will recover their investment in increased energy efficiency through utility bill savings within a reasonable period of time.

The Energy Star Australia website does a great job of summarizing the major points in understanding why using ENERGY STAR products is important.

What is ENERGY STAR?

ENERGY STAR is an international standard for energy efficient electronic equipment. It was created by the US Environmental Protection Agency in 1992 and has now been adopted by several countries around the world, including Australia.

How does it work?

ENERGY STAR reduces the amount of energy consumed by a product by either automatically switching it into a ‘sleep’ mode when it’s not being used and/or reducing the amount power used when in ‘standby’ mode.

Office equipment

While most office equipment now has the potential to save energy in this way (i.e. it is ENERGY STAR compliant), not all machines, particularly PCs, have actually been enabled so that the energy saving features are activated. Ask your IT or maintenance staff to help, or check out our Step-by-step instructions on enabling ENERGY STAR features on computers.

Home electronics products

ENERGY STAR compliant home electronics products have their energy saving features already activated when you buy them. If your TV, VCR or DVD complies with the ENERGY STAR standard, it will consume around 75% less energy in standby mode than standard products do. Because products like these spend more than 60% of their time on standby, this can add up to a significant reduction in energy use.

What is standby power?

Standby power is the electricity consumed by appliances when they are switched off or not performing their primary function. It’s sometimes called leaking, vampire or phantom electricity.

If your computer, printer, fax or photocopier complies with the ENERGY STAR standard, it can automatically switch itself into a power saving sleep mode after a certain amount of idle time. In the case of computers, the monitor will go dark and other components, such as the hard disk and main processor, will reduce the amount of power they’re using by about two thirds.

The time it takes for equipment to ‘go to sleep’ can easily be set to suit the way you work. And as soon as you need to use the equipment again, you can simply press a key or move the mouse and it ‘wakes’ up, ready to operate, with all your settings, programmes and documents exactly as you left them.

Why is it important?

Obviously, the best way to make sure a product is not consuming electricity when idle is to switch it off at the power point. Not only will this save you money; it can also reduce the risk of accidental fire.

But the fact is, standby power accounts for an increasing proportion of the world’s energy use. In ‘developed’ countries, it can represent up to 12% of household electricity consumption. In Australia, standby power could be costing consumers around $500 million every year — and resulting in greenhouse gas emissions of more than 5 megatonnes (CO₂ equivalent) annually. Worldwide, standby power is estimated to account for as much as 1% of global greenhouse emissions.

Most of the energy used by products on standby is not performing any useful function. A small amount can be needed for maintaining memory or an internal clock, remote control activation or other features. But most standby power is wasted energy. ENERGY STAR enabled products minimise this waste.

Did you know?

• A computer and monitor (without ENERGY STAR enabled) left on for a year generate the same amount of CO₂ as a car travelling from Sydney to Perth.
• Printers spend approximately 95% of their time sitting idle.
• Fax machines are often left on continuously, but their actual use time amounts to only about 1 hour per day.
• Screensavers do not reduce the power consumption of a computer monitor unless they actually turn the monitor off.
• Home electronics products currently use anywhere between 1 watt and 20 watts on standby, and can be in this mode for between 16 and 22 hours per day.

My computer and satellite receiver have ENERGY STAR labels on then, but I’m not sure about everything else.

What do you own that is ENERGY STAR?

Possibly Related Posts:

1. Are there Rebates or Tax Credits for Energy Star Products?
2. 12 Tips to Make Your Home More Energy Efficient

I know it’s been almost 2 months since I told you that I was going to chronicle my kitchen remodeling project.

Deciding on what to buy turned out to be harder than I anticipated.

I went back & forth between stainless vs black appliances (watch the video to see what I ended up picking!).

I stumbled into a sale at Home Depot and ended up buying Silestone quartz counters at a great price. Then, I stopped by Henry Plumbing to look at sinks and fell in love with the Cambria quartz counters. After some serious soul searching and a major attempt to get Henry Plumbing to match the price of the Silestone counters on sale, unsuccessfully, I finally gave in and spent about $1500 more to get the counters I really wanted (Home Depot said I could cancel the order at no cost as long as I did it before they came to my house to make the template).

The counters are still under $4500 installed, which really isn’t a lot of money to get the granite-look in my kitchen. Not only will the kitchen look better, but I should get all of the money back if I were to sell the house.

I also settled on a custom tile blend for the back splash between the counters and the cabinets. This one really had my confused, but I’m thrilled with what I chose and can’t wait to see how it turns out.

Cabinetry handles have been chosen and my new chocolate granite sink has arrived.

I’ve decided on lighting too. I definitely am putting in a recessed light in the middle of the kitchen and undercabinet lights under some of the cabinets. The struggle has been on what to do over the island. I found something online that I really liked, and Metro Lighting was able to get a sample glass pendant from the manufacturer since they didn’t carry it in stock. Unfortunately, the sample looks nothing like the online picture and the colors just aren’t right.

Totally at a loss at what to put over the island that keeps me from spending a fortune (lights get REALLY expensive!), I ended up buying something at Lowe’s this week which can be returned if I don’t like how it looks. I’ll wait and see how it works once the counters come in and then make a decision.

Speaking of counters, they get installed in 2 weeks.

Here’s a rundown via pictures of what I’ve picked so far:

My new Cambria counters (Oxford color) with my cabinets and the tiles that will make up the new back splash.

Here’s the way the tiles for the back splash will look when they are mixed together.

The Oceanside back splash tiles with the counters and the lights I almost bought (but in reality were more brown than rust). The counters and back splash was purchased with the amazing help from Shannon at Henry Plumbing.

Blanco kitchen sink ordered from Appliance Connection

I’m keeping my current faucet minus the soap dispenser that never seems to work.

Next week my contractor will be at my house painting the adjoining living room/dining room, installing appliances and lighting. I’ll give you another update soon.

Possibly Related Posts:

1. Karen’s Kitchen Remodel ~ AFTER Pictures
2. Karen’s Kitchen Remodel ~ Progress Report 2
3. Karen’s Kitchen Remodel ~ BEFORE Video
4. Transform Your Kitchen through New Lighting

If you live in St. Louis or an area served by Ameren Missouri, you can lower your utility bills by getting rid of your old spare fridge or freezer…and earn $35 too!

You really can’t beat this program if you have an energy hog refrigerator or freezer that you don’t need.

Benefits:

• Ameren will come pick up the refrigerator or freezer
• Ameren will pay you $35 per appliance (up to 3 per household per year)
• Your electric bill should drop by $100 per year
• Help the environment since the appliance will be recycled instead of ending up in a landfill

The Fine Print:

Eligibility requirements for the program:

• you are an Ameren Missouri residential customer
• the appliance was manufactured prior to 2002
• the appliance is a spare…not your primary kitchen refrigerator
• you own the appliance and it is located at the address on your bill
• it is 10-27 cubic feet in size
• it works and was plugged in the night before they pick it up (so they can confirm it works)
• it isn’t one of the rare older models that contains SO2 (they won’t be able to tell until they see it)

That’s it.

Here’s the website with information on how to schedule a pickup.

No related posts.

Every since I bought my house in 6 years ago, I’ve toyed with the idea of remodeling the kitchen. I long ago abandoned some of my early ideas, but I’ve always though it needs at least a few changes.

Kitchens have such an impact on the value of a home. In a house like mine, I expect that my new kitchen will completely change the feel of the living space too. I plan to chronicle the transformation of my kitchen in this blog so you can see how easy it is to make a big difference with minor (and some not so minor) changes.

Take a look at the before video below which shows you the kitchen as it looks today.

The first step is for me to decide on new appliances and a new counter top so I can get them ordered. I’ve already visited 4 stores and now just need to research reviews and make some decisions.

If you haven’t already, consider subscribing by email or RSS and follow along through the entire kitchen makeover.

Possibly Related Posts:

1. Karen’s Kitchen Remodel ~ AFTER Pictures
2. Karen’s Kitchen Remodel ~ Progress Report 2
3. Karen’s Kitchen Remodel ~ Progress Report 1
4. Transform Your Kitchen through New Lighting

Last week when I stepped outside to head to work, I discovered melting snow and ice. I realized that I had failed to follow the advice I give to clients all the time.

Clean your gutters, or you might end up with water in your basement.

Watch the video above to see how a serious problem can be caused by debris filled gutters.

If you do have water in your basement when it rains, the first thing you should check is if your gutters need cleaning.

Then check the grade of the soil at the spot in the foundation where the water comes in. Make sure that it slopes slightly way from the house. If the slope is either flat or slopes toward the house, and you get a puddle next to the foundation when it rains, water can find a way in the basement. Before you hire an expensive contractor, try adding some soil and changing the slope so water is directed away. You may also need to add extended piping to your gutter downspouts so water doesn’t pool at the edge of the house.

If none of these easy modifications fix the problem, it’s time to call a foundation specialist. If you want a suggestion for someone who can help you in the St. Louis area, simply contact me and give me as many details as you can so I can connect you to the right resource.

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1. Karen’s Kitchen Remodel ~ BEFORE Video
2. Home Improvements: How Do they Affect Resale Value?
3. Don’t Let Winter Weather Damage Your Home
4. Would Your Roof Pass a Roofing Inspection?