Archives for February 2014

10 Things That Make a Home a Good Home By Joe Szabo, Scottsdale Real Estate Team

February 27, 2014 Joe Szabo

By Joe Szabo, Scottsdale Real Estate Team

Buyers spend a lot of time looking at properties online, touring homes on the Sunday open house circuit, and talking to their real estate agent. They’re laser-focused on finding the best home that meets their needs. The problem is, buyers sometimes don’t take the long view of a property. They’re only looking at a home as a potential buyer — and not as someone who, years down the road, may also have to sell the property. Given that homes are such a big investment, there should be a little inside your head, picking away at your options and decisions.

As the home buying market starts to heat up again, here are ten things you should consider when choosing your next home.

1. Location, location, location

Perhaps nothing is more important than the three L’s, and there’s a reason why it’s said three times.

Location is extremely important when it comes time to sell. You can have the worst house in the world with the ugliest kitchen and bath. But put it on a great block or in a good school district, and your home will be coveted.

Location location location matters on so many different levels. At the highest level is the town where the house is located, then the school district, then the neighborhood and the block — right down to the location of the lot on the block. Keep all of this in mind when shopping. Also remember that while real estate markets rise and fall, no one can take a great location away from you.

2. The school district

The school district is right up there on the list of what’s most important to many buyers. It’s not uncommon for buyers to start their search based solely on the school district they want to be in. Parents want their kids to go to the best school, which can drive up prices of homes in those districts. Even though you might not have children, buying a home in a good school district is always smart. If the schools are desirable, homes tend to hold their value. As a homeowner, you should always be aware of how the schools are doing, not unlike being aware of your roof’s condition, the neighborhood development or city government.

3. The home’s position on the lot

Where the home sits on the lot in relation to the street or the overgrown oak are key elements in picking out a home. In the case of a condo, an end unit vs. an interior unit is a key consideration. You may have chosen the most beautifully renovated home in the best school district and figure all is good. But if the main living areas are shaded by a neighbor’s extension or the master bedroom looks into the neighbors’ family room, you may have a location problem. Light or privacy may not be a hot button for you, but chances are, they might be concerns for a future buyer.

4. Crime

It’s a good idea to check the latest crime figures for a neighborhood. It can give you a good snapshot about the number and severity of crimes over a time period. So much information is online nowadays that when you find your perfect home, a quick Internet search on the area should provide you with the much-needed information.

Most municipalities post their police blotters or crime statistics online these days. Don’t freak out if you notice more crime than what you’d have expected. Crime, especially petty crime, is everywhere. If you’re new to the area, consult with your real estate agent if you have concerns.

5. Walkability

More than ever, ‘walkability’ is becoming a key factor in the search process. There are entire websites, apps and algorithms that help people figure out how walkable their future home is. As a matter of fact, Zillow even has a Walk Score for most homes. As people get out of their cars and slip into their Keds, they want a home in a walkable neighborhood. People put high value on the ability to walk to a store, school, work or public transportation. The more we move away from cars and the more we see invested in public transportation over the coming decades, the more of a huge value-add walkability will become.

6. The neighborhood’s character

You may have found the absolute most perfect home, on the best block, in the best school district and on a great lot. But there could be circumstances outside your control that may give you pause — specifically, the character of the surrounding neighborhood.

Check out the area late at night, early morning and in the middle of the day. See if there are any odd weather or traffic patterns and try to observe some of the neighbors. You may even go so far as talking to some neighbors. It’s important to walk around, open your eyes and ears and make sure there isn’t anything you’re overlooking. That next-door neighbor practicing drums in the garage at 9 p.m. could be a source of immediate neighbor conflict. Go into it with eyes wide open.

7. Don’t buy the best house on the block

Simply put, avoid buying the best house on the block because there may not be any room for your investment to grow (unless you physically have the house moved to a better neighborhood). It’s better to buy the worst house on the best block, because you can improve the house to add value to an already great location.

8. Is it a fixer-upper?

If you’re buying a fixer-upper, make sure you understand what you’re getting into. Did you set out to buy a home that needed work? Or does the home just happen to be in the most desirable neighborhood, the block of your dreams?

Do your homework upfront. If you want to build an extension or add another story to the property, make sure it is within local zoning or building codes. Have the property inspected so that you know exactly what you’re getting yourself into. Sometimes, what appears to be a simple kitchen needing cosmetic work turns out to be a huge project. Ask yourself repeatedly if your life can support a home renovation. Not only does a renovation take money, it takes time, energy and emotional stress.

9. Will the home hold its value?

A good real estate agent who’s been working the neighborhood for some time can vouch for the long-term value or investment potential of the property. But be sure to find ways to add value, or at least be certain the home will hold its value.

The market may be strong when you purchase, but ask yourself, “Am I in a seller’s market?” “What would happen to this property if the market changed tomorrow”? Check out the median home value in the neighborhood as it compares to neighborhoods around it. The Zillow Home Value Index gives you one, five, and 10-year snapshots of how home values have gone up or down in neighborhoods and cities.

10. Taxes, dues and fees

Many people overlook the monthly fees associated with homeownership. Nearly every property will have taxes, and any sort of planned community or homeowners association (HOA) will have regular assessments.

Be sure that the amount of property tax and assessments are clear from the get-go. If in doubt, go to city hall or do research online. If you’d be buying into a condo complex, be sure to get your hands on the meeting minutes, financials of the HOA and the condo documents. Any mention of changes coming down the pike? Does the HOA seem well funded? It could take one quick $10K assessment to immediately affect property values if you need to turn around and sell your new home. And any uncertainty about the building, its integrity or the financials could scare off buyers when it’s time to sell.

Please note that this Scottsdale Real Estate Blog is for informational purposes and not intended to take the place of a licensed Scottsdale Real Estate Agent. The Szabo Group offers first class real estate services to clients in the Scottsdale Greater Phoenix Metropolitan Area in the buying and selling of Luxury homes in Arizona. Award winning Realtors and Re/MAX top producers and best real estate agent for Luxury Homes in Scottsdale, The Szabo group delivers experience, knowledge, dedication and proven results. Contact Joe Szabo at 480.688.2020, [email protected] or visit www.scottsdalerealestateteam.com to find out more about Scottsdale Homes for Sale and Estates for Sale in Scottsdale and to search the Scottsdale MLS for Scottsdale Home Listings.

The Anatomy of a Real Estate Purchase By Joe Szabo, Scottsdale Real Estate Team

February 24, 2014 Joe Szabo

By Joe Szabo, Scottsdale Real Estate Team

The steps, process and details of buying real estate can be intimidating and overwhelming to the first-time (and even the veteran) buyer. If you’ve never done this before, you likely have no idea how the process begins or what to expect.

Every market does things a little differently, and you should ask your real estate agent how the process works in your community. For the most part, however, the transaction should follow these seven steps.

Make an offer and write up a contract

When you love a place and think it could be your future home, it’s time to take a serious and legally binding step toward purchasing it. This means writing up a purchase offer and signing a real estate contract.

Yes, at this early stage of the game, you need to sign a legally binding contract. By signing on the bottom line, you’re committing to moving forward on the purchase with the seller. There are contingencies, or “outs,” to many real estate contracts, however. Most contracts will be contingent on inspections, disclosure review, loan approval, appraisal or other matters. These “contingencies” are ways to exit the contract should something not go as anticipated.

Disclosure review

By law, the seller must provide the buyer with disclosure documents, a preliminary title report, copies of city reports and any specific local documents. For example, in California, an earthquake hazards report or a geological survey is required. In areas of the South, near the Gulf or on a riverbed, flood maps and floor reports should be provided to the buyer.

Aside from any mandated reports, the seller needs to disclose to the buyer any issues or flaws with the property that would affect the value or habitability. Generally, sellers are required to answer a series of yes or no questions about the property, the neighborhood and their experience there via a transfer disclosure statement. If there were leaky windows in the past, violations from the city, work done without permits or plans for a major nearby development, the seller is required to disclose them. This provides additional color about the property you’re considering purchasing. If there are major flaws, the seller’s agent would likely have brought them up before the contract signing. However, if something is disclosed here that is a negative factor for you, this is your out.

Appraisal

Most buyers will put a certain amount of money down toward the purchase price. The balance will come as a loan from the bank. But the bank isn’t going to hand over that money without doing its due diligence. The appraisal is the financial institution’s way of making sure the contract price is the right price. The bank sends out a third-party appraiser, which the buyer pays for, to confirm that the contract price is in line with the neighborhood’s comparable sales. If it’s not, the bank can deny the loan or change the terms.

Inspections

A home is a huge purchase — likely the biggest of your lifetime. And so, as part of the real estate contract, you have the right to a property inspection.

The most common is a “general” property inspection. The inspector will check the home from the foundation to the roof and investigate all major systems and components. You, as the buyer, should follow alongside the inspector to learn more about the property. You’ll want to know about the components (such as the water heater) and have a plan in place for maintenance.

As a result of the general property inspection, the inspector may suggest having a specialist come out. This could be a roofer, electrician, HVAC specialist or even an engineer. Listen to the inspector and have any follow-up inspections as necessary. This is your one chance to approve the property from top to bottom. If issues arise, you might go back to the seller and negotiate some sort of fix or credit. If something major arises and it’s just not what you signed up for, you can exit the contract via your inspection contingency.

Loan approval or commitment

In addition to making certain the property appraises at no less than the contract price, the bank will want to fully approve your credit, debt and income history. It’ll also want to approve the property’s preliminary title report to make sure there aren’t any liens recorded against the property that might affect its value. The bank can take up to a month to do its full review, which should result in a loan commitment or full loan approval. Once that’s completed to the bank’s satisfaction, you’re guaranteed a loan, and you’re one step closer to closing.

Final walk-through

A day or so before closing, you’ll want to walk back through the property to make sure it’s in the condition it was when you last saw it. You want to be certain that the seller didn’t remove any fixtures, make modifications or leave behind garbage or debris. You also want to make sure any fixes you negotiated with the seller were indeed completed.

The closing

Depending on the market, the closing may happen at an attorney’s office or with an escrow officer at a title company. In some jurisdictions, the buyer and seller don’t ever meet. Each goes in to sign their closing papers separately, and the property closes in the background. In others, the buyers and sellers sign the closing documents together.

Regardless of how a closing happens, if you’re a buyer and getting a loan, plan on signing dozens of documents at closing. You’ll have to show up to the closing with a photo ID, as your signature will be notarized. Prior to the closing, your real estate agent, attorney or escrow officer should send over a closing statement to review. This will spell out your final closing numbers and what money you need to bring to closing. The funds can be wired in or paid with a cashier’s check on closing day. Be sure to ask for the statement early, so there aren’t any last-minute surprises.

What Do Buyers and Sellers Pay in Closing Costs? By Joe Szabo, Scottsdale Real Estate Team

February 20, 2014 Joe Szabo

By Joe Szabo, Scottsdale Real Estate Team

If you’ve never been through a real estate closing before, you might imagine convening around a large table where, at the end of escrow, you’re presented with an itemized list of big expenses required to close the deal.

But that’s not always the reality. While people still do meet around a table at the closing, today some closings happen virtually. The buyers and sellers can sign the necessary documents remotely and wire money for the closing.

More importantly, it’s unlikely that a buyer or seller would show up to closing without any idea of what their costs will be. If you’re new to real estate, or haven’t bought or sold in a while, here’s what you need to know about closing costs.

Buyers have more costs, but usually pay less than sellers

In a closing, both buyers and sellers have costs. Usually, the buyer is faced with more line-item expenses than the seller. For starters, most buyers are getting loans to make the purchase; many of the charges stem from the loan.

A buyer should receive a “Truth in Lending” statement early on in the sale process. This document spells out all the approximate costs the buyer will face when making the purchase, so there aren’t any surprises at closing. Some buyers use the “Truth in Lending” statement to shop for different lenders, interest rates and costs.

Aside from the costs of getting a loan or buying a home, some expenses, such as property taxes or homeowners association dues, are pro-rated and paid at the time of closing. For example, if you’re buying a home and you close toward the end of the property tax period, you’ll likely need to pay the balance of taxes upfront. The same holds true for pre-paid loan interest. If you close toward the end of the month, the lender may ask for the first month’s payment upfront.

Typically, buyers getting a loan will see some of the following costs:

Appraisal fee
Origination fee
Pre-paid interest
Pre-paid insurance
Flood certification fee
Tax servicing fee
Credit report fee
Bank processing fee
Recording fee
Notary fee
Title insurance

Be sure to go through these fees line by line with your mortgage professional to understand exactly what they are and how they apply to your loan.

Sellers pay the commission

For sellers, there are always fewer line items on an estimated closing statement. But the seller generally bears the biggest brunt of the fees: the real estate commission.

The commission is based on a percentage of the total sale price, so it tends to be the biggest fee. In addition to the real estate commission, sellers may have to pay the balance of their property taxes, if they haven’t done so already.

There’s some room for negotiation

All fees and charges can be negotiated during the real estate transaction. For buyers, coming up with an extra 1 to 2 percent in closing costs can be a bigger deal than a $5,000 reduction in the purchase price. A credit for $5,000 to go toward closing costs will be a much bigger bang for your buck for the buyer. The price reduction won’t amount to much more than a few dollars per month over the length of the home loan. Saving $5,000 at the closing will be money right back in the buyer’s pocket.

How to Approach Real Estate in 2014 & Beyond By Joe Szabo, Scottsdale Real Estate Team

February 17, 2014 Joe Szabo

By Joe Szabo, Scottsdale Real Estate Team

The current real estate recovery is like a marathon. Last year, buyers and sellers sprinted out of the gates at full speed, fueled by low interest rates and affordable home prices. The press and social media were full of stories about limited housing inventories, bidding wars and multiple offers. In 2013, real estate was sexy and headline-worthy.

As we move into 2014, it’s clear we’ve only run the first few miles of this marathon. Last year’s excitement will surely wear off, and there will be a lot less flashy magazine covers, posts, tweets or evening news stories about real estate. Most experts predict a slower, steadier, more even “pace” this year in most of the country, even as interest rates and home values inch up.

This doesn’t mean 2014 won’t be as good a time to buy real estate. It helps to look at the bigger picture and not get caught up in the micro stats or the latest headlines. Sure, we likely won’t see interest rates as low in 2014 as we did in 2013. But to put that into perspective, interest rates were as high as 18 percent in the 1980s, yet people still bought homes.

As you approach buying a home this year, it helps to focus on the long term by keeping the following five best practices in mind. These were best practices for home buying a generation ago. And they’ll most likely still be practical when the next generation of home buyers sprints out of the gate.

Buy when you’re ready

Just because you didn’t buy last year when the market was super hot doesn’t mean you’ve missed out. Could you have gotten in when the rates were at their lowest and values near the bottom? Sure. But were you ready to buy then? Probably not. The main thing to remember is that you should buy a home when you can afford it, you have your financing and you’ve found a home that meets your needs. That will always be the best time to buy.

Home buying is a journey

Despite how quickly the world works today, you can’t force a home purchase. It’s not like buying a television or a laptop. A home is a much more expensive and complicated purchase. It’s where you can feel safe and calm from the outside world, a place you can customize to your needs, and where you will make lasting memories. Because of this, buying a home comes with emotional and practical implications on top of the financial ones. Remember that a home is your place to live first and an investment second. Take the time you need to find the right home.

Don’t be driven by data

If you watch the nightly news or read news online, you’ll hear real estate market predictions and numbers on a national level. And at any given time, you’ll likely get conflicting real estate forecasts. A lot of information and data will come at you from many different angles — including social media. Don’t take anything to be an absolute. Keep your own goals and needs top of mind at all times.

Real estate is local

The national real estate news headlines may be about multiple offers and bidding wars. But that situation may only be relevant to one part of the country or even to just a handful of cities. Meanwhile, the neighborhood where you want to buy a home still has distressed sales and is more of a buyers’ market.

All that really matters in real estate is what’s happening in your own community. If you’re interested in getting into the market, follow the local economy and housing markets. Go to open houses and learn. Get connected to a real estate agent who has “feet on the street.”

Go with your gut

You know your financial situation better than anyone. You know your down payment amount, credit score, amount of savings and the upper limits of what you can afford to put toward homeownership every month. Apply what you know about your finances to your local real estate market. You know the neighborhoods, the commercial districts and the types of homes for sale. By merging these two, your gut will inform you on what’s a good buy, when it’s the right time to buy and how to approach a purchase.

In 2014, stay focused on what you know, stay local, take your time and don’t let outside forces sway your decision to buy a home. People have bought and sold homes for years, at higher prices and with higher interest rates. If you’re in it for the long haul, consider yourself at mile 3 of a 26-mile marathon.

How to Find and Keep a Real Estate Agent You’ll Love By Joe Szabo, Scottsdale Real Estate Team

February 13, 2014 Joe Szabo

By Joe Szabo, Scottsdale Real Estate Team

In some ways, the buyer-real estate agent relationship is similar to a romantic one. In either situation, the relationship’s success or failure depends a lot on picking the “right” partner from the beginning. Chemistry and communications also play an important role.

Here’s how you can find the best real estate agent “match” and nurture that relationship to achieve your goal: buying your dream home.

Do your homework

Today, buyers start researching properties online well before they contact an agent. This early research period should also be the time to have your feelers out for a good agent. In fact, the best time to connect with an agent is when you’ve got some knowledge of your local market but need more input, a second opinion and a professional’s guidance.

Asking friends, family and coworkers for referrals can be helpful for finding an agent. Posting what you’re looking for in an agent on social media might also help lead you to the best real estate “mate.”

Take it slowly

Would you introduce to your parents someone you’ve only had one or two dates with? Probably not. Before getting serious with a potential mate, you’d get to know them, learn about their history and understand your compatibility.

It’s not too different in the real estate agent-buyer relationship. Buying a home is an extremely emotional time. Your real estate agent will be front and center with you through ups, downs and trying times. Through the buying process, your agent might learn a lot about your personal life as well as your finances. For these reasons, take the time to ensure you have the best person by your side. If you rush into a relationship with the wrong agent, you’ll regret it later.

Pay attention to chemistry

An agent could come highly recommended and be thoroughly experienced. But with any relationship, chemistry (or lack of it) comes into play. When you first talk to an agent, ask yourself: Is this someone you’d want to spend time with? Does the agent “get” you? Will you feel comfortable sharing your financial and other personal information with him? If you answer “no,” keep looking for someone you click with.

Avoid the blame game

In today’s often-competitive real estate markets, it’s extremely unlikely you’ll get the first or even the third home you try to buy. This may cause buyers to get stressed out or upset after losing in a bidding situation or when faced with a seller who’s just “not that into you.”

Unfortunately, buyers sometimes take out their anger and frustration with the market on their real estate agent. But don’t assume that the fact your bid wasn’t accepted is your agent’s fault. The agent can’t control the seller or the seller’s agent any more than you can. Pick the best agent for your needs; trust your agent to do the job; treat the agent as you’d want to be treated; and chalk up a losing bid to experience.

Practice patience

As with romantic relationships, there may be times when your agent tries your patience. Maybe you’ve been looking for a month now and still haven’t found your dream place. Whatever the situation, keep in mind that buying the right home shouldn’t be rushed. Give the process, and your agent, time. On the other hand, if your agent seems to be neglecting you, speak up.

Communicate clearly

This is probably the most important step to any successful relationship: maintaining open, honest communications. With your real estate agent, be upfront from the start about how you like to work and what you might expect from them. Express concerns you have along the way. Above all, give the agent constructive feedback that will help him succeed.

In most cases, you’ll be spending a lot of time with your agent during the home buying process. So choose wisely. Picking the wrong agent can add to the stress, frustration and uncertainty of buying a home. On the other hand, choosing the right agent can make the process significantly easier and more successful.

January 2014 Paradise Valley Arizona real estate market update

February 13, 2014 Joe Szabo

One month down in 2014! January was a busy month here in the valley of the sun with events such as the Barrett Jackson Auto Auction as well as the Phoenix Open. While the Phoenix metropolitan area bustled with activity the real estate market stayed busy as well! The median home price in Paradise Valley Arizona dropped in January 2014 and now sits at $1,050,000, a 33.3% drop. However, this is up almost 8% from January 2013. New listings, new contracts soared this past month with 119.6% and 45.5% growth, respectively. Closed sales settled in at 31 total sales in January, this is down a bit from December, but with the high number of new contracts we anticipate a very high Closed Sales number in February and March. The hot seller’s market is starting to cool off and balance out the market. Would be a great time for buyers on the fence to make a move! We anticipate and active first quarter 2014!

Considering a purchasing or selling a property in Paradise Valley? Take advantage of the great market conditions and get your home listed for sale.

We hope that you enjoy reading and analyzing the Paradise Valley Luxury Home Report and should you have any questions or comments, please feel free to Contact Joe Szabo at 480.688.2020 or email him directly at [email protected] or [email protected]. You can also visit https://www.AZLuxuryHomes.com or https://scottsdalerealestateteam.com to find out more about Paradise Valley Homes for Sale and Estates for Sale in Paradise Valley and to search the Paradise Valley MLS for Scottsdale Home Listings.

Please note that this Paradise Valley Real Estate Blog is for informational purposes and not intended to take the place of a licensed Paradise Valley Real Estate Agent. The Szabo Group offers first class real estate services to clients in the Scottsdale and Paradise Valley Greater Phoenix Metropolitan Area in the buying and selling of Luxury homes in Arizona. Award winning Realtors and Re/MAX top producers and best real estate agent for Luxury Homes in Paradise Valley, The Szabo group delivers experience, knowledge, dedication and proven results.

January 2014 Scottsdale Arizona real estate market update

February 13, 2014 Joe Szabo

One month down in 2014! January was a busy month here in the valley of the sun with events such as the Barrett Jackson Auto Auction as well as the Phoenix Open. While the Phoenix metropolitan area bustled with activity the real estate market stayed busy as well! The median home price in Scottsdale Arizona dropped slightly in January 2014 and now sits at $370,500, a 1.2% drop. However, this is up almost 11% from January 2013. New listings, new contracts soared this past month with 117.7% and 61.7% growth, respectively. Closed sales settled in at 404 total sales in January, this is down a bit from December, but with the high number of new contracts we anticipate a very high Closed Sales number in February and March. The hot seller’s market is starting to cool off and balance out the market. Would be a great time for buyers on the fence to make a move! We anticipate and active first quarter 2014!

January 2014 Scottsdale Arizona real estate market update

Considering a purchasing or selling a property in Scottsdale? Take advantage of the great market conditions and get your home listed for sale before the snow birds and students return in the fall.

We hope that you enjoy reading and analyzing the Scottsdale Luxury Home Report and should you have any questions or comments, please feel free to Contact Joe Szabo at 480.688.2020 or email him directly at [email protected]. You can also visit https://scottsdalerealestateteam.com to find out more about Scottsdale Homes for Sale and Estates for Sale in Scottsdale and to search the Scottsdale MLS for Scottsdale Home Listings.

Pros & Cons of Baseboard Heating Systems By Joe Szabo, Scottsdale Real Estate Team

February 10, 2014 Joe Szabo

By Joe Szabo, Scottsdale Real Estate Team

Baseboard heat vs. forced air

Baseboard heat offers several advantages over the average forced-air system. For one thing, baseboards operate almost silently, in contrast to the noisy blowers of forced-air heating. Another advantage of baseboard heat is that it requires no ductwork. That means two things: One, it’s relatively easy to install, particularly in older homes, where adding ducts can be so problematic. Two, whereas forced-air heating ducts should be serviced regularly, there’s little ongoing maintenance to do with baseboard heat. Last but not least is a matter of preference: Many homeowners like how baseboard heat comes out evenly, not in intermittent blasts.

Electric

Technically speaking, electricity plays a role in all baseboard heating systems, but there are some that run exclusively on electricity. You can put these in every room of the house if you want, but it’s far more customary for an electric baseboard to provide supplemental heat for individual rooms on an as-needed basis. One common usage is turning on baseboard heat in a bedroom overnight, while the whole-house heating system is put on a budget-friendly low setting.

Did you ever wonder why baseboard units typically appear beneath windows? In a word, the answer is: science. Baseboard heat works through convection. As cold air falls from the window, it enters the baseboard unit through a vent. Within the baseboard, the air is warmed by a series of metal fins that have been heated through electricity. The warm air then rises from the baseboard, and the pattern repeats itself, creating a circular flow known as a convection current.

Plug-in portable baseboard heaters exist, but the best baseboards are hardwired into the circuity of a home (with 120-volt or 240-volt supplies, either of which calls for the installation services of an electrician). Some electric baseboard heating units feature an integrated thermostat; others are set by an in-wall controller.

Though inexpensive to purchase, electric baseboards are somewhat infamously inefficient, meaning they can be costly to run for any prolonged period of time. It’s for this reason more than any other that homeowners typically choose not to rely on electric baseboard heating units as full-time solutions for the whole house.

Hydronic

In a hydronic baseboard unit, the mechanics are similar but slightly different. Electricity still generates the system’s heat, but it does so indirectly. First, the electrical current warms up an enclosed fluid, either oil or water, and then that fluid radiates heat into the room where the unit has been installed.

Hydronic baseboard heating systems operate more efficiently than do electric units, because once the fluid has been warmed, it takes longer to cool down (the metal fins in an electrical baseboard, by comparison, cool down very quickly). That’s why if you come across a home in which baseboard heat is the one and only system of delivering heat, chances are high that it’s a cheaper-to-run hydronic system.

What are the cons? In a whole-house hydronic system reliant on water circulated from the water heater, the lines can be disturbed by an intrusion of air. Fortunately, there’s an easy fix: bleeding the pipes. Another drawback is that compared with electric baseboards, hydronic units take longer to heat up. For many homeowners, however, the efficiency of hydronic baseboards amply makes up for their slow start.

The bottom line is if you only need to heat your house for a fraction of the calendar year, or if on occasion you want to make one or two rooms more comfortable, electric or hydronic baseboard heat may be the solution you’ve been seeking.

Three Favorite Central Scottsdale Golf Courses By Joe Szabo, Scottsdale Real Estate Team

February 6, 2014 Joe Szabo

By Joe Szabo, Scottsdale Real Estate Team

Central and downtown Scottsdale are near three beautiful golf courses that are the favorites of both tourists and locals alike. They are affordable, challenging and have great views of the McDowell Mountains to the north and Camelback Mountain to the east.

Starfire Golf Club

Located at the corner of Hayden and Shea in McCormick Ranch, this public course was designed by Arnold Palmer, and has three nine hole layouts. The King, the Hawk and the Squire are the names of the three courses, and all have their special challenges. Sporting great mountain views in all directions, this lush executive course has plenty of trees and water hazards to challenge the serious golfer.

Formerly the Scottsdale Country Club, the course includes putting and chipping areas, rental clubs and golf carts, pro shop and the Starfire Grille, a great eatery with both food and drink and plenty of televisions for sports fans. The beautiful site has manicured lawns, large patio areas, banquet facilities and it a great spot for a special event. The atmosphere is friendly and casual and the convenient central Scottsdale location outstanding!

McCormick Ranch Golf Club

There are two championship golf courses at this location on East McCormick Parkway, and pre-qualification for the Waste Management Open takes place on these courses. The Palm course features ten water holes and is dotted throughout with Palm trees and great views of both the McDowell Mountains to the North and the iconic Camelback Mountain to the West.

The Pine course has many mature pine trees, with narrow fairways, which makes it more challenging. Both courses were designed by renowned golf course designer Desmond Muirhead in 1972. Since then many improvements to greens, tee boxes, sand trips and bridges have taken place. McCormick Ranch Golf Club is located in the heart of Scottsdale and is one of the area’s most challenging golf experiences.

Scottsdale Silverado Golf Club

Nestled in the middle of the Indian Bend Wash, with spectacular Camelback Mountain views to the West, this relative golfing newcomer was built in 2000 by the Gilmore-Graves Architectural Design Company. Silverado Golf Club is now central Scottsdale’s most popular 18 hole golf course with reasonably priced green fees and a welcoming Grille for 19th hole fun at the end of the round.

Both ladies and men’s leagues play here each Monday and is a favorite of the locals. For a great and affordable golfing experience in central Scottsdale book online at www.golfnow.com or go directly to the course website at www.scottsdalesilverado.com for a tee time.

30-Year Fixed Mortgage Rate Drops to 4.09 Percent — Lowest Rate in 10 Weeks By Joe Szabo, Scottsdale Real Estate Team

February 4, 2014 Joe Szabo

By Joe Szabo, Scottsdale Real Estate Team

Mortgage rates for a 30-year fixed mortgage fell this week, with the current rate borrowers were quoted on Zillow Mortgage Marketplace at 4.09 percent, down from 4.18 percent at this same time last week.

The 30-year fixed mortgage rate steadily declined last week, dropping to as low as 4.07 percent on Monday before rising to the current rate this morning.

“Recent weakness in emerging markets helped push rates down last week to 10-week lows as investors turned toward more reliable assets like mortgage-backed securities,” said Erin Lantz, director of mortgages at Zillow. “If Friday’s jobs report is strong enough, it has the potential to pause a downward slide in rates and offset emerging market concerns.”

Additionally, the 15-year fixed mortgage rate this morning was 3.10 percent and for 5/1 ARMs, the rate was 2.72 percent.

What are the interest rates right now? Check Zillow Mortgage Marketplace for mortgage rate trends and up-to-the-minute mortgage rates for your state.

*The weekly mortgage rate chart illustrates the average 30-year fixed interest in six-hour intervals.