Real Estate Kingdom

It's officially 2008, and you know what that means. It means we'll probably mess up a bunch of checks by writing 2007 until we remember it's 2008, right? Did 2007 go fast or what? I'm still wondering what happened to November.

The new year also means planning, as the saying goes those who fail to plan - are planning to fail. That saying is especially true if you're a homeowner in 2008. With new housing and banking laws, rules and policies changing by the month, or even day - the best time to create a plan is sooner rather than later.

Here are 5 resolutions every smart homeowner should make and work to keep in 2008.

1. Find Fixed Rate Loan

With the mortgage loan meltdown because of the sub-prime lending mess, fixed rate loans is the best deal in town - if you want to stay safe.

Knowing what future payments you'll have has it's advantages. Are you in an adjustable rate, interest only or worse an option ARM mortgage? Then this is the best time to look for a good fixed rate loan, especially if you've made your payments on time.

Many lenders of fixed rate mortgages will be happy to speak to you. But make sure you shop smart. Believe it or not even in this turbulent real estate market, you're in the drivers seat.

The only way lenders make money is by loaning money to borrowers who pay on time - if that's you ... make them earn your business.

2. Invest in Making Your Home More Energy Efficient.

Depending on what happens in the middle east, Venezuela, Nigeria and other unstable oil producing countries, take heed.

With the price of heating oil expected to go above $100 in 2008 your heating cost could go up 10% or more this year.

Although the tax credits on home improvements expired December 31, 2007 - It's still smart to invest in making your home more energy efficient.

The theme for 2008 is conserve, save and avoid waste. The cost of energy will rise this year, and of course as always the cost will pass on to us. So, whatever you can do to make your home more energy efficient will give you an immediate savings.

3. Plant More Drought Resistant Landscaping.

Another focus smart homeowners will have is finding ways to save water, especially if you live in the southeast, south, southwest or western states.

Low rainfall totals predicted in 2008 could mean water rationing in many states and higher water cost. Planting drought resistant landscaping is quickly growing in popularity in many of these states as homeowners prepare for higher water costs.

4. Learn and Do Routine Maintenance.

Prevention is the best cure. This is an old saying that still rings true today, especially if you're a homeowner in 2008. Despite a construction slowdown in most areas of the country.

Building cost and building supplies continue to skyrocket in cost. Therefore, when something breaks down or you need something repaired around your home it will cost more in 2008 than it did in 2007.

So, the best way to avoid unexpected repairs (the worst kind to have) is by paying attention to routine maintenance around your home.

5. Improve and Preserve a Good FICO Score.

This may seem like an odd subject to place in a newsletter about home management. But having a good FICO score will play an even larger role in your ability to manage your home as well as your other finances.

Did you know all your creditors, including your auto and home insurance companies plus your utility companies check your FICO score each month? Did you know your credit card company can raise your interest rate if you're late on your mortgage payment or car loan?

If you ever have to refinance for a home improvement or repair your FICO score will be one of the first items they look at. So, keeping your FICO score healthy is of primary importance. If your FICO score needs work start doing what you have to do to build it back up as soon as possible.

With the new challenges for 2008 looking at us, it's to your advantage to do as many of these 5 actions as you can. They will help start your new year on the right footing for a prosperous year of homeownership.

As always, with rapid changes predicted for the housing market, the most informed will survive and thrive and the least informed suffer the most. I'll do my best to keep you informed, alerted and aware.

May this new year bring you and your family new opportunities, new joys and new blessings.