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The Pros/Cons of condo living

Condo living can have its perks. However, when contemplating the purchase of a condo instead of a house, it's important to weigh both the pros and cons. Here are some factors to consider.

Cons:
Close quarters. If privacy is important to you, maybe condo living isn't for you. Neighbors are often right across the hall or on the other side of a wall. Unlike a single-family dwelling that may offer trees and a perimeter fence for privacy, expect to share space with others.


Association fees. A monthly fee, independent of your mortgage, goes towards the upkeep of the property. When considering a purchase, it is crucial to factor these fees into your overall budget.
Resale value. When it comes time to move, if there are a lot of units available in your building, expect fierce competition.


Rules and regulations. Unlike a home, condo owners are subject to rules and regulations, and suffer financial or legal consequences for violations. Frequently there are restrictions on renovations, noise and even the size of pets that are permitted.

Pros:
Repairs. Any maintenance or repairs in your building are not your responsibility. Don't worry about the torn shingles, leaking roof or broken furnace, your association fees will cover it.


Security. Many condos offer extra security, such as a doorman and gated entries. Also, with so many neighbors, help is never far away.


Added perks. Some complexes offer amenities that are out of reach to many homeowners, such as a clubhouse, fitness center or a community pool.

Key areas to focus when viewing a home

The necessity of a home inspection cannot be stressed enough. Even in new homes, an inspection is essential to protect the buyer and make them aware of any issues with the home. After the inspection the buyer has the opportunity to negotiate with the seller and reach an agreement to either repair the property or to lower the sales price to compensate the buyer for the cost of the repairs. Alternatively, the seller can decide to sell the home as-is, in which case he or she is declining to make repairs or lower the sales price, and the buyer must decide whether or not to buy the home at the original agreed-upon sales price.

• Essentially, the inspection evaluates and discloses the condition of the structure to the buyers. Three major areas to pay particular attention to in your inspection report are the property's foundation, plumbing and attic.
• Solid foundation. Significant cracks, shifting or sinking of the foundation are serious and often quite costly to repair. Consider hiring a structural engineer to perform a second inspection if you have serious concerns about the inspector or condition of the foundation.
• It's all in the pipes. Leaks, even previous leaks that have been fixed can be problematic. Inspectors will look for signs of mold, mildew or fungus that are the result of water damage.
• Hit the roof. An attic will alert the inspector to rodent damage, previous fire damage, inadequate insulation, leaks, and water damage or structure faults.

Lender Checklist: What You Need for a Mortgage

·     W-2 forms — or business tax return forms if you're self-employed — for the last two or three years for every person signing the loan.

·         Copies of at least one pay stub for each person signing the loan.
·         Account numbers of all your credit cards and the amounts for any outstanding balances.
·         Copies of two to four months of bank or credit union statements for both checking and savings accounts.
·         Lender, loan number, and amount owed on other installment loans, such as student loans and car loans. 
·         Addresses where you’ve lived for the last five to seven years, with names of landlords if 
appropriate.
·         Copies of brokerage account statements for two to four months, as well as a list of any other major assets of value, such as a boat, RV, or stocks or bonds not held in a brokerage account. 
·         Copies of your most recent 401(k) or other retirement account statement.
·         Documentation to verify additional income, such as child support or a pension. 
·         Copies of personal tax forms for the last two to three years.

Common First-Time Home Buyer Mistakes

1. They don’t ask enough questions of their lender and end up missing out on the best deal.
2. They don’t act quickly enough to make a decision and someone else buys the house. 
3. They don’t find the right agent who’s willing to help them through the homebuying process.
4. They don’t do enough to make their offer look appealing to a seller. 
5. They don’t think about resale before they buy. The average first-time buyer only stays in a home for four years

.

Energy Efficiency Tips

You don’t need to be a professional to learn where your home is losing energy. A careful walk-through can help you find the energy-zapping areas in your home and help you prioritize where you need to make efficiency upgrades.

Locate and seal air leaks. You could save 5%-30% on your energy bills by reducing drafts. Look for gaps along baseboards and where walls join ceilings. Check the exterior for leaks that can occur where two different building materials meet. Once you pinpoint the problem areas, seal them by caulking all holes and cracks around faucets, pipes, electrical outlets and wiring. Seal leaks in the mortar, siding, doors, windows and foundations as well.

Check the insulation. If your home has less than the recommended minimum amount of insulation, you could be losing large amounts of energy through your walls and ceilings.

·      Check to see if the attic hatch is as insulated as the attic.

·      Make sure pipes, ducts and chimneys are sealed with permanent sealers.

·      Your water heater, hot water pipes and furnace ducts should all be insulated.

·      Check for insulation on exterior walls.

·      Turn off the circuit breaker and unscrew any fuses. Once you’re sure the outlets aren’t conducting electricity, remove the cover plate from one outlet and burrow into the wall with a thin stick or tool. A plastic crochet hook works well. If you feel any resistance, you have insulation.

Inspect heating and cooling equipment. Ideally, you should have this equipment professionally checked and serviced once a year.

Appliances and electronics. To reduce the amount of energy your appliances and electronics use, think about

Unplugging an item when it’s not in use
Using an item less often. 
Changing the settings on the item.
Buying a new product that’s more energy efficient. 

5 mortgage market insights

The vast majority of homebuyers in the U.S. are also borrowers. Poorly regulated and predatory mortgage lending fueled the real estate bubble. As many pundits have noted since the real estate market collapse, regaining traction has been stalled by lender overcorrection. Thus, the moniker for our recent economic situation: the “credit crunch”.

After nearly six years of severely stunted mortgage lending, lenders are loosening their purse strings once again, according to a recent Wall Street Journal report. Check out these five must-knows about the future of our mortgage markets.

1. Low down payment loans are coming back. True, the 3.5% Federal Housing Administration (FHA)-insured loan never totally went away. But 2008 saw the FHA’s market share balloon to an unsustainable size as FHA-insured loans were the only option for buyers with little savings, post-bust. The share of all non-FHA-backed loans with a down-payment of 10% or less reached a 5-year high last year, according to Black Knight Financial Services.

2. No-money-down mortgages still exist. The VA still offers no-down-payment loans. Veterans can also get special loan privileges through the Navy Federal Credit Union. The USDA insures some no-down-payment loans in certain rural areas. The fact is, however, we ought to be thankful such loans are no longer available to wider public. Having some skin in the game vastly decreases the chances of default and thus protects against another foreclosure tsunami.

3. The return of low-down-payment loans does not necessarily mean another bubble. True, low- and no-down mortgages were the accelerant of the real estate wildfire in the early 2000s. However, it’s important to remember that it wasn’t the lack of down payment alone that led to the mortgage market’s flammability.

The preponderance of loans that went belly up were no- and low-doc loans. New qualified mortgage (QM) and ability-to-repay (ATR) rules ought to prevent another subprime crisis of the same or similar character to the last one.

Adjustable rate mortgages (ARMs) remain a threat to the real estate market’s stability, however. Very little has been done to specifically regulate these products even though the combination of low teaser rates on ARMs and poor financial literacy was a huge impetus for the mortgage crisis. QM/ATR does address ARMs. They are to be underwritten at the maximum allowable interest rate after five years from the date of the first payment. So the ARMs threat has been eased but not neutralized. 

4. Credit standards are easing, but remain tight.Fewer than 0.2% of mortgage borrowers had a credit score less than 620 last year. This is compared to 2001 when more than 13% of borrowers fell below this threshold. The tighter credit score standards means the millions of Californians still recovering from foreclosure and short sale will have a harder time qualifying for mortgage funds. However, the new ATR rules do not include any specific credit score minimums. Thus, lenders may have an opportunity to focus more on an applicant’s ability to repay based on their current financial situation rather than their tainted credit history.

(ATR rules =ABILITY-TO-REPAY AND QUALIFIED MORTGAGE RULE)

5. Mortgages move the real estate market. There would have been around 200,000 more mortgages made in 2012 if credit standards had returned to pre-bubble levels, according to the Urban Institute.

Economists at Goldman Sachs estimate new home sales will rise to 800,000 homes in 2017, compared with about 430,000 in 2013. This increase ought to occur based on improving economic fundamentals such as job growth and household formation.

Tips for Lowering Homeowner’s Insurance Costs

1. Review the Comprehensive Loss Underwriting Exchange (CLUE) report on the property you’re interested in buying. CLUE reports detail the property’s claims history for the most recent five years, which insurers may use to deny coverage. Make the sale contingent on a home inspection to ensure that problems identified in the CLUE report have been repaired.

2. Seek insurance coverage as soon as your offer is approved. You must obtain insurance to buy. And you don’t want to be told at closing that the insurer has denied your coverage.

3. Maintain good credit. Insurers often use credit-based insurance scores to determine premiums.

4. Buy your home owners and auto policies from the same company and you’ll usually qualify for savings. But make sure the discount really yields the lowest price.

5. Raise your deductible. If you can afford to pay more toward a loss that occurs, your premiums will be lower. Avoid making claims under $1,000.

6. Ask about other discounts. For example, retirees who tend to be home more than full-time workers may qualify for a discount on theft insurance. You also may be able to obtain discounts for having smoke detectors, a burglar alarm, or dead-bolt locks.

7. Seek group discounts. If you belong to any groups, such as associations or alumni organizations, they may have deals on insurance coverage.

8. Review your policy limits and the value of your home and possessions annually. Some items depreciate and may not need as much coverage.

9. Investigate a government-backed insurance plan. In some high-risk areas, federal or state government may back plans to lower rates. Ask your agent.

10. Be sure you insure your house for the correct amount. Remember, you’re covering replacement cost, not market value.

What a Home Inspection Should Cover

Home inspections will vary depending on the type of property you are purchasing. A large historic home, for example, will require a more specialized inspection than a small condominium. However, the following are the basic elements that a home inspector will check. You can also use this list to help you evaluate properties you might purchase.

For more information, try the virtual home inspection at www.ASHI.org, the Web site of the American Society of Home Inspectors.

Structure: A home’s skeleton impacts how the property stands up to weather, gravity, and the earth. Structural components, including the foundation and the framing, should be inspected.

Exterior: The inspector should look at sidewalks, driveways, steps, windows, and doors. A home’s siding, trim, and surface drainage also are part of an exterior inspection.

·  Doors and windows
·  Siding (brick, stone, stucco, vinyl, wood, etc.)
·  Driveways/sidewalks
·  Attached porches, decks, and balconies

Roofing: A well-maintained roof protects you from rain, snow, and other forces of nature. Take note of the roof’s age, conditions of flashing, roof draining systems (pooling water), buckled shingles, loose gutters and downspouts, skylight, and chimneys.

Plumbing: Thoroughly examine the water supply and drainage systems, water heating equipment, and fuel storage systems. Drainage pumps and sump pumps also fall under this category. Poor water pressure, banging pipes, rust spots, or corrosion can indicate problems.

Electrical: Safe electrical wiring is essential. Look for the condition of service entrance wires, service panels, breakers and fuses, and disconnects. Also take note of the number of outlets in each room.

Heating: The home’s heating system, vent system, flues, and chimneys should be inspected. Look for age of water heater, whether the size is adequate for the house, speed of recovery, and energy rating.

Air Conditioning: Your inspector should describe your home cooling system, its energy source, and inspect the central and through-wall cooling equipment. Consider the age and energy rating of the system.

Interiors: An inspection of the inside of the home can reveal plumbing leaks, insect damage, rot, construction defects, and other issues. An inspector should take a close look at:
·  Walls, ceilings and floors
·  Steps, stairways, and railings
·  Counter tops and cabinets
·  Garage doors and garage door systems

Ventilation/insulation: To prevent energy loss, check for adequate insulation and ventilation in the attic and in unfinished areas such as crawlspaces. Also look for proper, secured insulation in walls. Insulation should be appropriate for the climate. Excess moisture in the home can lead to mold and water damage.

Fireplaces: They’re charming, but they could be dangerous if not properly installed. Inspectors should examine the system, including the vent and flue, and describe solid fuel burning appliances.

Source: American Society of Home Inspectors (www.AHSI.org)
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Common Closing Costs for Buyers

You’ll likely be responsible for a variety of fees and expenses that you and the seller will have to pay at the time of closing. Your lender must provide a good-faith estimate of all settlement costs. The title company or other entity conducting the closing will tell you the required amount for:
·  Down payment
·  Loan origination
·  Points, or loan discount fees, which you pay to receive a lower interest rate
·  Home inspection
·  Appraisal
·  Credit report
·  Private mortgage insurance premium
·  Deed recording
·  Title insurance policy premiums
·  Land survey
·  Notary fees
·  Pro rations for your share of costs, such as utility bills and property taxes·  Insurance escrow for        homeowner’s insurance, if being paid as part of the mortgage
·  Property tax escrow, if being paid as part of the mortgage. Lenders keep funds for taxes and         insurance in escrow accounts as they are paid with the mortgage, then pay the insurance or taxes for you.

A Note About Pro rations: Because such costs are usually paid on either a monthly or yearly basis, you might have to pay a bill for services used by the sellers before they moved. Pro-rotation is a way for the sellers to pay you back or for you to pay them for bills they may have paid in advance. For example, the gas company usually sends a bill each month for the gas used during the previous month. But assume you buy the home on the 6th of the month. You would owe the gas company for only the days from the 6th to the end for the month. The seller would owe for the first five days. The bill would be prorated for the number of days in the month, and then each person would be responsible for the days of his or her ownership.

The Pros/Cons of buying a fixer upper

A fixer upper can be very a tempting choice when you are looking to buy a home. Whether you are a first-time home buyer or real estate veteran, here are some pros and cons to consider before purchasing a property that needs major renovating.

Pros:
A less-than-perfect house often allows buyers to own in a neighborhood they otherwise couldn't afford. A fixer upper located in a desirable neighborhood may often sell for less than the surrounding homes.

When redoing a home there is the opportunity to create a space all your own and make it exactly how you would like.

There are a lot of variables specific to each property, but often, there is a possibility for profit in resale once the property is renovated.

Cons:
You may be overwhelmed with the amount of work, time and money it takes to renovate. (This is why it may be wise to bring professionals with you to walk through the property before you buy to avoid underestimating the work and cost.) Always have a back up plan to access funds or credit if any unforeseen hurdles are discovered during the renovation.

There is always a possibility that you could lose money on your investment. It is common to go over budget on repairs and renovations. The housing market is another variable that can be unpredictable.

Whether you're hiring with a contractor or doing the work yourself, the renovation process is often stressful. Consider the commitment before you buy, especially if you plan on living on the property while doing the renovation.

5 Things to Know About Homeowner’s Insurance

1. Know about exclusions to coverage. For example, most insurance policies do not cover flood or earthquake damage as a standard item. These types of coverage must be bought separately. 

2. Know about dollar limitations on claims. Even if you are covered for a risk, there may be a limit on how much the insurer will pay. For example, many policies limit the amount paid for stolen jewelry unless items are insured separately.

3. Know the replacement cost. If your home is destroyed you’ll receive money to replace it only to the maximum of your coverage, so be sure your insurance is sufficient. This means that if your home is insured for $150,000 and it costs $180,000 to replace it, you’ll only receive $150,000.

4. Know the actual cash value. If you chose not to replace your home when it’s destroyed, you’ll receive replacement cost, less depreciation. This is called actual cash value.

5. Know the liability. Generally your homeowner’s insurance covers you for accidents that happen to other people on your property, including medical care, court costs, and awards by the court. However, there is usually an upper limit to the amount of coverage provided. Be sure that it’s sufficient if you have significant assets.

Lender Checklist: What You Need for a Mortgage

W-2 forms — or business tax return forms if you're self-employed — for the last two or three years for every person signing the loan.

Copies of at least one pay stub for each person signing the loan.

Account numbers of all your credit cards and the amounts for any outstanding balances.

Copies of 2 to 4 months of bank or credit union statements for both checking and savings accounts.

Lender, loan number, and amount owed on other installment loans, such as student and car loans.

Addresses where you have lived for the last five to seven years, with names of landlords if appropriate.

Copies of brokerage account statements for two to four months, as well as a list of any other major assets of value, such as a boat, RV, or stocks or bonds not held in a brokerage account.

Copies of your most recent 401(k) or other retirement account statement.

Documentation to verify additional income, such as child support or a pension.

Copies of personal tax forms for the last two to three years.

Borrowing from a 401(k) to Make a Down Payment

Make sure you understand the rules and risks before tapping your retirement savings to pay for a home.

It looks like I’m going to need to take money from my retirement savings to make a down payment on a house. Which is better to tap for a down payment -- a 401(k), a Roth IRA or a Borrowing from a 401(k) to Make a Down Payment.

Your best bet is to tap your 401(k). You can generally borrow up to half of your balance, up to a maximum of $50,000, from the account at any age and for any reason without tax or penalty. The interest you pay on the loan (generally the prime rate plus one or two percentage points) goes back into your account.

Loans from 401(k)s usually must be paid back in five years, but your employer may give you up to 15 years to repay a 401(k) loan if you are borrowing the money to buy a home. Your employer will usually start deducting the monthly loan payments from your paycheck right away.

There is one major drawback to borrowing from a 401(k): If you lose or leave your job, you generally have just 60 to 90 days to pay back the loan or it will be considered a distribution -- and subject to taxes, plus a 10% early-withdrawal penalty if you’re under age 55 when you leave your job.

Taking the money from a Roth for a down payment is your next-best choice. You can’t borrow from the account and return the money to it, as with a 401(k), but you can withdraw up to the amount of your contributions tax-free and penalty-free for any reason and at any age. If you withdraw earnings from a Roth before age 59½, you generally must pay taxes and a 10% penalty; after age 59½, you can withdraw earnings penalty- and tax-free (as long as you have had a Roth IRA for at least five years). But if you’re using the money to purchase your first home, you (and your spouse) can each withdraw up to $10,000 in earnings from your Roth IRAs without the 10% early-withdrawal penalty even if you’re under age 59½. You’ll also avoid a tax bill on that withdrawal if you’ve had a Roth IRA for at least a five-year period. If you don’t meet the five-year test, you’ll owe taxes on that $10,000, but not the 10% penalty.

First-home rules are least advantageous for traditional IRAs. You and your spouse can each take up to $10,000 from your traditional IRAs for a first-home purchase without the 10% early-withdrawal penalty, but the withdrawal is still taxable.

You don’t literally have to be a first-time homebuyer to qualify for the first-time-home buyer exceptions, but you can’t have owned a home in the previous two years. If you already own a home, you can still take the 401(k) loan or withdraw your contributions to a Roth IRA without penalties or taxes, but you won’t qualify for the $10,000 penalty-free IRA withdrawals.

For more information about IRA withdrawal rules, see IRS Publication 590, Individual Retirement Arrangements (NOTE: IRS rules change, please seek the latest rules fro your tax adviser and/or attorney)

Common First-Time Home Buyer Mistakes

1. They don’t ask enough questions of their lender and end up missing out on the best deal.
2. They don’t act quickly enough to make a decision and someone else buys the house.
3. They don’t find the right agent who’s willing to help them through the home buying process.
4. They don’t do enough to make their offer look appealing to a seller.
5. They don’t think about resale before they buy. The average first-time buyer only stays in a home for four years.

How Big of a Mortgage Can I Afford?

Not only does owning a home give you a haven for yourself and your family, it also makes great financial sense because of the tax benefits — which you can’t take advantage of when paying rent.

The following calculation assumes a 28 percent income tax bracket. If your bracket is higher, your savings will be, too. Based on your current rent, use this calculation to figure out how much mortgage you can afford.

Rent: _________________________

Multiplier: x 1.32

Mortgage payment: _________________________

Because of tax deductions, you can make a mortgage payment — including taxes and insurance — that is approximately one-third larger than your current rent payment and end up with the same amount of income.

For more help, use Fannie Mae’s online mortgage calculators. 

Top 10 Do’s and Don’ts When You’re Applying For a Loan. (Mortgage)

Fives do’s: 
1. Make loan and other debt payments on time, especially over the months leading up to the filing of your mortgage application. Every 30-, 60- or 90-day delinquency on a loan or credit card is going to reduce the credit score the lender ends up considering as part of the loan file. That score, in turn, will determine how good a loan you get — if you get one at all.
2. If something has to be missed, miss the credit card payment first, followed by the payment on any installment loan you might have and finally, the payment for an existing mortgage. That’s because credit scoring systems look at the performance of similar loans first when deciding what type of score to assign.
3. Consider paying off more debt and putting down a smaller amount at closing. The move leaves borrowers with larger mortgages, but it will allow them to replace non tax-deductible, high-interest rate debt with lower-rate mortgage debt that features deductible interest.
4. Get the mortgage first if multiple financial obligations are going to pop up in the near future. Numerous credit inquiries, such as new applications for credit cards, can hurt a borrower’s credit score, especially if they’re filed in the months prior to the home loan review process.
5. Increase the size of the down payment you’re able to make by saving as much as possible, as often as possible. Evaluate money market or other accounts that offer reasonable rates of return, automatic payroll deductions or other financial incentives to save.

Five don’ts:
1. Don’t make any big purchases over the next couple of months. It makes less money available for the down payment and it might require you to get yet another loan.
2. Lenders consider what’s known in the industry as “payment shock” when approving loans. Somebody who goes from a relatively small monthly housing payment to a huge one either won’t qualify for a mortgage or will end up having to cover too much loan with too little money.
3. Don’t just get pre-qualified for a mortgage, get pre-approved. Home buyers must allow their lenders to pull credit reports, check debt-to-income ratios and perform other underwriting steps. But that puts a borrower much closer to obtaining a loan and locking in a rate and term.
4. Don’t forget what kind of money personality you have when getting a mortgage. By taking out a 30-year fixed rate loan rather than a 15-year mortgage and investing the money saved on monthly payments, you might earn a higher return on your money in the long run.
5. Don’t forget that homeownership brings with it many burdens. The cost of defaulting on a loan is much greater than the penalty of missing a rent payment.

First things to do after buying a new home!

You closed on your new property. The boxes are off of the moving truck, the furniture is in the right rooms and you are wondering what to do first. Here is a checklist of important tasks that are high priority.

1. Test the smoke and carbon monoxide detectors. Install new alarms or change the batteries if necessary.
2. Establish an escape plan and safe meeting place with your family in the event of a fire.
3. Make sure you know where the main water, gas and electrical shutoff valves are, in case of an emergency such as a burst pipe or gas leak.
4. Determine which outlets serve which circuits and then label the breakers.
5. Change the alarm system code, garage code, and any other password-sensitive devices.
6. Change all of the locks and make a few sets of spare keys.
7. Update your car insurance, driver’s license and voter registration to reflect your change of address.
8. Have all your mail and magazine subscriptions forwarded to your new address. Keep a close eye on your bank accounts and credit cards, because during a move you are especially susceptible to identity theft if mail is not delivered to your current address.
9. Unpack any and all medication that may be needed. Also, make sure you have a first aid kit readily available and a fire extinguisher in the kitchen pantry.
10. Add any child locks that are necessary, on toilets, kitchen appliances, medicine cabinets, and any doors that lead outside. Do not forget to place child safety gates and safety plugs in outlets if you have small children.

Why you should plan multiple visits to a home before buying!

For most of us, a home is usually the largest single investment of a lifetime. Such a large purchase warrants multiple visits before making a purchase and it is recommended that you stagger the times of these visits to get a comprehensive experience of the property. Here are some things to pay attention to when viewing a property.

 1. Wall-to-wall windows coupled with an open floor plan may seem picturesque midday. Schedule a visit at sunset to get an idea of how light floods through the home and think about how you would ensure privacy at night. It still may be an ideal choice but it is wise to get a realistic view and calculate the cost of window treatments.
2. Visit or drive by a prospective home at different times of the day. That seemingly quiet residential street may be a noisy, highway-feeder street during morning or evening rush hour. The same may be true for the morning commute but if you only visited the property midday, you would have no idea.
3. The adjacent school may seem like a nice perk, but during school hours, the daily playground noise and extra traffic may be more than you bargained for. If you are viewing the home in the summer, ask your REALTOR® or even neighbors about what you can expect.
4. It may be nice to be within walking distance to bars and restaurants, but consider the amount of pedestrian traffic. Will late night foot traffic lead to noise or disorderly conduct? Also, remember you can always visit the local police department to get crime statistics of an area.

8 Kitchen Trends to watch in 2013!

Kitchens are a popular spot that home shoppers judge in a home. So what are the trends in the kitchen for 2013? HomeThangs.com, a home improvement superstore, offers up some of the following kitchen design predictions for the New Year:

1. Modern style: Kitchens are getting more modern in style, boasting simplified lines and offering up big, open spaces perfect for entertaining.

2. Tucked-away appliances: Appliances designed to blend in with the rest of the kitchen, like with the same wood of the cabinets, are becoming more popular. Also, some appliances, like under counter or mini refrigerators or trash compactors, are being tucked away into a kitchen island.

3. Lots of lights: Great lighting in the kitchen is becoming more important, with lighting being layered with a mixture of task lighting and ambient lighting. Under-cabinet LED lights are becoming more commonplace.

4. Super sized kitchen islands: “2013 kitchen design trends are moving away from dining rooms and toward eating, drinking, and interacting in the kitchen itself, and a large kitchen island complete with bar stools is the perfect way to make this happen,” according to HomeThangs.com. this helps to create “a nice open-air feeling – especially if one can be used to bridge kitchen and living areas, another major 2013 kitchen design trend.”

5. Neutral color schemes: The use of neutral colors in the kitchen is on the rise, particularly in shades of grays and greens and a variety of wood tones. Bright colors are being reserved for only small accents in the kitchen.

6. Fancy appliances: Professional gas ranges and induction cook tops are popular kitchen appliances for making a more gourmet kitchen.

7. Decorative range hoods: Trends are moving away from a conventional stainless steel trapezoid-shaped hood to more decorative range hoods. These hoods may have built-in LED lights and are even serving almost like a decorative chandelier for a kitchen island.

8. Glass back splashes: High gloss is “in” for cabinets, appliances, and back splashes. A single-sheet, back-painted glass black splash is growing in popularity, which are also known for being easy to clean. These glass back splashes are also reflective, adding a polished decorative touch to kitchens. Glass mosaic tile sheets are also increasing in popularity.