101005 You Can't Do Everything

Page 1

You Cant Do Everything Not Enough Wow?

? Is It Worth It?

Too Much Wow?

? ?

?

Will It Sell?

? Can I Afford That?

Will I Get A Reasonable Appraiser?

G r e e n E a r t h E q u i t i e s . C o m

? ?

? ? Š 2010

Saving The Planet One House At A Time


Realities We Live With 1. What I bought it for. 2. What I can sell it for. Of course I want #1 as low as possible and #2 as high as possible ... But they are finite numbers and determine the “Spread”

G r e e n E a r t h E q u i t i e s . C o m

© 2010

Saving The Planet One House At A Time


5 Olympic Rings - All Important 1. Buy it right 2. Design it right 3. Build it right 4. Market it right 5. Sell it right All are important. Do them all and win the gold! Missing any of these can be expensive.

The Art is knowing When to hold ‘em When to fold ‘em

G r e e n E a r t h E q u i t i e s . C o m

© 2010

Saving The Planet One House At A Time


Designing It Right Lipstick on a Pig house flippers have an easier decision process. Their only question is will making it pretty bring more return than it costs. Our Mission of Saving the Planet, One House at a time requires a lot more than that. We cram in as much Energy Savings as the Free Market will allow. It’s Challenging and Rewarding G r e e n E a r t h E q u i t i e s . C o m

Š 2010

Saving The Planet One House At A Time


Mission Critical: The Energy Package Our determination to do the right thing and produce projects that conserve energy, & leave a lighter carbon footprint brings more complexity to our renovation and decision making process. How much Energy Package can we include and still make the sale and some profit? G r e e n E a r t h E q u i t i e s . C o m

Š 2010

Saving The Planet One House At A Time


Trojan Horse Remodeling Very few buyers were familiar with the Energy Package items before visiting the home they eventually bought. They still dont know the technical details. ... But they all like them and are happy with their homes and their utility bills, and send referrals ... They wouldn’t have bought the Energy without the Wow! ... But they are glad they did. G r e e n E a r t h E q u i t i e s . C o m

Š 2010

Saving The Planet One House At A Time


Where To Cut? Energy? - Wow? - Done? Note: ANY Energy improvement is better than none at all. No guilt here. Some omissions in each package damage the marketability, Some damage the Energy usage ... Others, Not so much ... The Art is Strategic Cost Cutting & Getting the Bang For The Buck! G r e e n E a r t h E q u i t i e s . C o m

Š 2010

Saving The Planet One House At A Time


Balancing Act Not enough Wow! The Buyers wont buy Too much Wow! (Or Energy) You’ll have to sell too high Or your profit will shrink. Not enough Energy You wont feel right... Too much, No profit It’s a Balancing Act.

G r e e n E a r t h E q u i t i e s . C o m

© 2010

Saving The Planet One House At A Time


Distractions & Detractors Enemies of our Mission I’m sure these are all nice people and their mothers loved them....... 1. The Appraisal System 2. The Banking System 3. Government Regulation All these are Protectors of the Status Quo = Slow Change We are all about CHANGE (So we must get used to Detractors) G r e e n E a r t h E q u i t i e s . C o m

Š 2010

Saving The Planet One House At A Time


Wow! Cut Carefully Keep The Bang!

Wow! Honey, Look at this kitchen!

Granite Non Negotiable Save on the backsplash Learn the trade. Solid Cabinets. Beat Home Depot & Lowes Stainless Steel Appliances Look for deals, ask for discounts G r e e n E a r t h E q u i t i e s . C o m

Š 2010

Saving The Planet One House At A Time


Wow! Bulk Buying & Special Pricing Tile, Travertine, Carpet Tile Showers & Floors Crown Molding, Base Board Doors & Trim, (Maybe)

G r e e n E a r t h E q u i t i e s . C o m

Š 2010

Saving The Planet One House At A Time


Notice the High- Low Disconnect!

Energy: When You Cant Buy Everything Item

Cost

Seal Attic

500 500 1500 2000 5000 4000 1500 1000 200 500 18,000 5,000

Seal Floor Treat Crawl New Ducts New HVAC New Windows Attic Insulation Wall Insulation Estar Lites Add Estar Appl Add Solar PV Solar DHW

Value (Kw per $) High High High High Medium Medium Medium Medium High High Low Low

G r e e n E a r t h E q u i t i e s . C o m

Value (perception) Low Low Low Low High High High Low High High High Saving The Planet high One House Š 2010

At A Time


Did You Notice? The highest bang for the buck items were not the highest priced items? Especially not Solar! Windows and HVAC gain value from their familiarity in the marketplace in addition to what they really save. Same with Solar, even more...

G r e e n E a r t h E q u i t i e s . C o m

Š 2010

Saving The Planet One House At A Time


Done: The Place To Save (Without Hurting The Mission Or The Sale Too Badly) Item Fence Blinds Gar Drywall Sprinklers Landscape Pool 2 wire Romex Garage Door Ext Lighting Cement Outdoor Living

High

Medium

Replace Repair All New Some Full & Paint Walls, Taped Full & Timer Front Full with drip Grass only Plaster & Equip Used Replace Replace Some New & Opener No Opener New & Motion Front only Walks, Drive Some Patio & Covers Patio G r e e n E a r t h E q u i t i e s . C o m

Low Original None None Original Original Clean Only GFI only Just Paint Original None Saving The Planet None One House Š 2010

At A Time


Famous Home Performance & Green Quote The Greenest Brick Of All, Is The One That’s Already In The Wall. This can apply: An Air Conditioner less than 10 years old. But almost never to ducts. Doors & Trim (maybe) * Roof with more than 10 years of life left

?

*The art is to keep the Wow and Energy Bang For The Buck! G r e e n E a r t h E q u i t i e s . C o m

© 2010

Saving The Planet One House At A Time


I Cant Cut Any More, What Else Can I Do? Options 1. Sell it yourself 2. Refinance and Rent 3. Refinance and Lease-Option 4. Connect a Buyer with a Direct Lender

G r e e n E a r t h E q u i t i e s . C o m

Š 2010

Saving The Planet One House At A Time


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