Remodelers vs. General Contractors and Who is Best Fit for Your Project?

By Warren O’Shea

The primary difference between a remodeler and a general contractor lies in the scope of their projects. It is important to know the differences between the two professions when it comes to planning your project.

** A remodeling contractor specializes in transforming pre-existing areas of the home rather than creating new ones. Due to the specialized nature of the profession, a remodeling contactor can tailor projects to specific tastes and needs. They understand interior design and layout and are focused on attention to detail and finishing. They tend to possess artisan-like craftmanship and produce high-quality and skilled solutions with a keen eye for style, performance, and visual appeal because no one wants an ugly remodel.

A subset of remodelers, known as design-build remodelers, go beyond the traditional scope of their role by offering design services. This comprehensive approach brings design and construction under one roof and has the unique advantage of streamlining communication, potentially lowering overall project costs, and making it clear who is accountable for the success of the project. In contrast, a general contractor typically works with pre-existing plans and focuses more on project management than design.

** In many ways, remodeling can be more difficult than new construction. Remodeling requires navigating pre-existing conditions, which can be complex and unpredictable, especially in older homes where nothing may be plumb, level or square. The process involves adapting to the limitations and idiosyncrasies of the existing structure and working within the limits of existing floor plans often leading to creative problem-solving, meticulous planning, and adaptive design.

** Unlike new construction projects, where plans can be executed with fewer constraints, remodelers must carefully assess and work within the confines of what already exists, balancing the desire for modern updates with the realities of the existing home.

** Discovering hidden problems like outdated wiring or plumbing.

** Seamlessly blending new additions with the existing home, both structurally and aesthetically.

** Adhering to building codes, which may have changed since the original construction.

** Maintaining the integrity and character of the original home while updating.

A general contractor, as the name suggests, has a broad skillset and can take on a wide range of building projects. However, many GCs specialize in a particular type of project, like new home construction, commercial build outs, or even something as specific as building apartment buildings. While many GCs are adept at managing large-scale construction projects and extensive renovations, their approach likely differs from specialized remodelers who focus on detailed home improvements.

One analogy from the world of medicine would be to compare the broad knowledge of a general practitioner to the specialized knowledge of a neurosurgeon. Both have a broad base of medical knowledge, but the surgeon has spent extra time learning a very particular set of skills.

Of course, when it comes to actual skill levels for contracting and remodeling, there aren’t as many barriers to entry as there are in medicine. That’s why, when comparing the various skill levels of any professional working on your home, you should check references, study reviews, and interview at least three companies.

As far as having a remodeling project commence in your home, you need to be prepared for some disruption to your daily routine. It’s not fun. Noise, dust, or your kitchen being out of commission during construction are commonplace. The hallmark of a skilled remodeler lies in their adeptness at minimizing disruptions to the homeowner’s daily life, their strategies to control dust, noise, and ensuring the safety and comfort of the residents during the renovation process. Inquire about how the contractor works to minimize inconveniences like creating a temporary kitchen or starting a little bit later in the day.

Even if the remodeler does everything right, nothing sours homeowner happiness like having a troop of tradespeople in your house at 7am while you’re in your bathrobe drinking bitter, instant coffee. A precarious stack of empty pizza boxes will probably take up residence in a corner by the door and at the end of the fourth week you may have sampled every imaginable pizza topping known to man. A general contractor who is more accustomed to new construction may not have processes in place to keep your home livable during the building phase.

Choosing a specialized remodeler over a general contractor might help minimize these disruptions, and it should be one of the primary ways you evaluate who you might hire for the job.

Warren O'Shea is the owner of O’Shea Builders LLC, Maine’s most award-winning remodeling contractor. He has 35-plus years of residential remodeling experience. He is a certified home inspector and has been featured on HGTV, Food Network, and Maine Cabin Masters. He is a recipient of the Portland Police Department’s “Citizen Award,” and is a staunch consumer advocate. Warren has, and continues to, co-author articles for nationally distributed trade magazines. <

MEREDA’s Forecast Conference highlights Maine’s Real Estate Industry

Submitted by Larry Eliason

Nearly 1,000 of Maine’s real estate and development professionals gathered at the Holiday Inn By the Bay in Portland on Feb. 27 to learn about the latest trends and outlooks for the development and real estate economy at the Maine Real Estate & Development Association’s (MEREDA’s) Forecast Conference and Member Showcase.

The Forecast Conference featured a lineup of industry experts – heavy hitters from all corners of the industry. The day kicked off with a presentation from Chris Mallett, EdD, the Chief Administrative Officer at Northeastern University’s Roux Institute. His talk was entitled “Partnering for Maine’s Next Frontier” and focused on the forces shaping the economy of today and tomorrow in Maine. Mallett spoke about how Maine can continue to be a compelling place for people and business to move to, outlining the advantages the state has for competing in a global marketplace, as well as Portland’s potential for becoming a global tech hub like Seattle or Toronto. With the room full of real estate professionals, Mallett extolled the audience to think about how to create more professional opportunities for students. He explained that the Roux Institute and other higher ed organizations bring a wealth of diverse talent to the state, but “we need help retaining them.” Mallet urged the audience to think about how they can help create more economic opportunities to keep young people here. He then provided an overview of the new Portland campus, an exciting reenvisioning of the historic B&M Beans factory site. He concluded by encouraging more collaboration, saying that when we work together, “the possibilities are unlimited.”

With 86,000 housing units needed in Maine by 2030, Elizabeth Frazier of Pierce Atwood highlighted the legislative roadmap for housing production in Maine, calling out the need for government processes and capacity to be streamlined. For the upcoming legislative session, she explained that MEREDA will focus on three areas: workforce housing density, historic tax credits, and statutory subdivision review.

James Marple, a Senior Economist from TD Bank provided an economic outlook for 2025.

“It’s a difficult time to be an economic forecaster,” he began in reference to the current environment of uncertainty. Highlighting how the economy has outperformed expectations in the last two years, Marple said the recent administration’s focus on tariffs and immigration will have an impact on the economy. He predicted that the economy will still grow in the year ahead, but it will likely be slower with some quarterly volatility. On mortgage rates, Marple’s expectation was that the Fed will cut rates if we don’t see a trade war.

The second afternoon session featured a presentation on Municipal Trends with Mark Adams of Sebago Technics, and Dan Stevenson of the City of Westbrook. Moderated by Gary Vogel, the group examined impediments to development at the municipal level and what some municipalities are doing to support growth.

Adams, whose firm works with many municipalities on about 1,200 projects each year, talked about how staffing shortages and high turnover at the municipal level have impacted the ability to move projects forward. Citing the recent changes in federal funding sources, Stevenson predicted that there will be problems for projects with longer time financing horizons and recommended that municipalities “be careful from this point forward what federal funding you rely on.”

The final group of afternoon sessions included a Financing Trends panel with Steve deCastro of Maine Community Bank, Andrew Silsby of Kennebec Savings Bank, and David Hulit of Port 51 Lending. Moderated by Kim Twitchell of NBT Bank. The group discussed the regulatory environment and the impact of the new administration, along with the changing yield curve and how banks review financing requests and talked about how borrowers can educate themselves

At the end of the day, as MEREDA members continued to gather in conversation, it was clear that this is a group that will continue to find ways to work together to develop a responsible and sustainable future for Maine.

Larry Eliason is a Commercial Broker with Butts Commercial Brokers, 1265 Roosevelt Trail, Raymond. He can be reached at 207-415-2112 or by email at LarryEliasonBCB@gmail.com. Visit www.ButtsCommercialBrokers.com <

Make sure you have a clear title when you buy your new home

By Richie Vraux

What Is a Clear Title?

A clear title is a title without any type of lien from creditors or other parties that would pose a question as to legal ownership. For example, an owner of a home with a clear title is the sole undisputed owner, and no other party can make any kind of legal claim to its ownership. A clear title is also called a "clean title," a "just title," an "absolute title," and a "free and clear title.”
A clear title is necessary for any real estate transaction because it firmly establishes who is the property owner. Title companies must do a title search to check for claims or liens of any kind against a title before it can be deemed clear. Erroneous surveys and unresolved building code violations are two examples of blemishes that can make a title "dirty."

 

How a Clear Title Works

A clear title helps to show whether there are any outstanding financial responsibilities attached to the property and is necessary to demonstrate that an owner has the right to sell the property. The sale of a property can be disputed if legal ownership is not represented through a clear title. The presence of liens can create a cloud on the title when a claim or an unreleased lien invalidates or impairs the owner's title to the property. For example, the current owner may still owe payments on an outstanding mortgage or owe contractors for refurbishment work they performed on the property.

The title would not be clear, and the new owner would then be held responsible for resolving those liens. Once a title is cleared, the deed can be registered in the homeowner’s name. The deed is the legal document showing who owns a property. If someone is buying a home, the title must be clear before the new owner's name can be put on the deed. It's important to note that a property could potentially be sold while liens are active.

Reasons Why a Tide Isn't Clear

There are many reasons why a title search might come back listing the title as “unclear.” Just because someone currently lives in a home doesn't mean that the home has been titled or vested to that person, and when it comes time to sell the home, the buyer can run into problems with the title, meaning who owns the property is unclear.

Heirs

Complications can arise with older properties where the heirs of a prior owner may still have some claim to the real estate. For instance, prior owner may have granted a portion of a property to an heir who never took an active role as an owner. The said heir's rights as a partial owner may have passed on to their descendants, who might not be aware of the circumstance. Title problems can also arise if the heir to the property never filed the deed with the county clerk's office to transfer ownership.

When the heir goes to sell the property, title problems will occur, as the deed would still show the family member who willed the property to the heir.

Separation or Divorce

Title problems can occur in situations where a couple separated but never went through divorce proceedings. If the couple owned the home jointly and one person moved out following the separation, they would still own the house without a divorce.

As a result, title problems could arise when the person living in the home goes to sell the house because two people would be listed on the deed.

A Trust Ownership might have been transferred to a trust or another body with a legal claim to the property. This is why title searches are performed – to identify such issues before a potential buyer has committed funds to acquire a property.

Can I Buy a Home Without Clear Title?

No. You cannot purchase a home if it does not have a clear title. It is possible to identify any issues and try to correct them if you still want to purchase the home

What Are Some Reasons for an Unclear Title?

There are many reasons why an unclear title might not show up in a title search. It could be the property is old and the heirs to the property never properly filed the deed upon their inheritance. During a marital separation for example, a jointly owned home can cause a problem if two people are listed on the deed. In cases of fraud, a title may show up as unclear, as well.

Fraud

Possession of a clear title is also important to prevent instances of fraud. It's possible that a false deed may have been entered into the public record. A fraudster might attempt to use a false deed to engage in the illegal sale of properties.

Beware

There are many cases popping up today where scammers will steal your identity, steal your property and steal your money. Make sure your agent works with trusted companies that will work in your best interest.

Richie Vraux is a Real Estate Broker with Pine Tree Realty of Maine, 76 Tandberg Trail, Windham. If Richie can help you with your real estate needs, feel free to contact him at 207-317-1297. <

Homeowner's Guide to Spring Home Maintenance

Compiled By Jonathan Priest

OUTDOOR SPRING CLEANUP

Roof & Exterior

Do a ground-level inspection of the roof and home exterior to check for signs of winter weather damage. If you spot problem areas, you may need to schedule a professional inspection.

Look for:

Loose or broken shingles

Cracks or signs of wear on the chimney

Damaged wood around windows and doors

Signs of animal/pest intrusions or nesting

Although a home exterior is designed to withstand exposure to the elements, periodic cleaning can improve the appearance and, in some cases, prolong the life of siding and other exterior details, according to the National Association of Home Builders (NAHB).

Lawn Mower

Before firing up your mower for the first time this spring, inspect the blade. If it needs sharpening, have a professional sharpen it. Set the blade height at 1.5 inches to 2 inches for the first cutting. (Cutting more than one-third of the leaf blade when mowing can “shock” the lawn and cause browning.) After the first cut, set the blade height to 3 inches, which can help promote grass color and root growth.

Gutters

Carefully remove debris that can clog gutters. Water overflow from a clogged gutter can damage fascia boards and the foundation, as well as cause leaks across walls and ceilings.

Deck

Hammer or tighten nails or screws that have popped from deck boards. Look for loose or cracked boards and repair as needed. Wash wooden or composite decks with a cleaning solution designed for the material.

Pool

Inspect valves, filters and equipment for signs of wear or damage, and change or clean as needed. Or schedule an opening date with a pool service.

INDOOR SPRING CLEANUP

Kitchen

Even with the best range hood, grease can build up on the tops (and fronts) of kitchen cabinets. Feel around for stickiness and use a good degreaser on the surfaces.

Freshen up the garbage disposal by grinding ice cubes (even better, lemon/vinegar ice cubes or rock salt and ice cubes), then flushing with hot water and baking soda.

Vacuum dust buildup from refrigerator coils to restore its efficiency. Clean seals and change the water filter.

Clean the range hood; clean filters (if you can, remove and run them through the dishwasher).

Attic

Attics need a post-winter once-over to check insulation for dampness (replace any that's wet) and seal cracks and leaks. Look for mold, insects or animals that may have crept in. Assess the area around vents to ensure nothing is blocking vents before summer heat builds.

Basement

Dampness loves a dark, underground space. Look for moisture and mold around the bottom of the foundation and seal any cracks. Check for excess humidity (consider a dehumidifier if needed). Open vents. Look for evidence of insect tunneling in any wooden framing.

Heating & Cooling

The heat has been running all winter and the air conditioner needs to be ready to go. Replace HVAC filters and check the drain pan to make sure it is draining and hoses are sound and connected. (Or schedule a biannual checkup/servicing.) If you use window air conditioners, it's time to install them.

Plumbing

The most common type of water damage to homes isn't caused by hurricanes or floods. It's caused by the dishwasher, hot water heater and other appliances or plumbing. Spring is a good reminder to give toilets, sinks and connecting pipes and hoses a good once-over for signs of cracks, leaks or dampness. Replace anything that appears worn or loose.

Check ceilings for telltale water stains and track leak.

Fix drippy faucets and showerheads and replace worn toilet flappers.

Electrical

Check all outlets and cords for frayed wires, loose outlet covers or cracked plugs. Make sure extension cords and outlets aren't overloaded. Put surge protectors where needed to protect electronics.

Appliances

Draining the hot water heater to remove sediment can help prolong its life. If you have a water pressure gauge, test the temperature/pressure relief valve. Most plumbing codes state that the maximum water pressure in a home should be 80 PSI or less (ideally between 50 and 60 PSI).

With snow melting and spring rains starting, it's a good time to run the sump pump through its paces. Clean out any debris. Pour in water and make sure it starts. Check the outflow hose.

Chimney

Even if you don't regularly use your fireplace, an annual chimney inspection can ensure the flue is clear and sound, according to the Chimney Safety Institute of America.

This article was brought to you courtesy of Farmers Insurance agent, Jonathan Priest, with an office at 57 Tandberg Trail, Suite 7, Windham and StaySafe.org. Call him at 207-893-8184 or send him an email at jpriest1@farmersagent.com <

Love Thy Neighbor

By Nicole Foster, Broker/ REALTOR

Traditionally most of the single-family homes in our area do not belong to a Homeowner’s Association (HOA) but that is all changing with each passing year as a growing segment is held in this type of ownership. The rules, regulations and restrictions can help to ensure that all the homes and their yards are kept at a similar level of maintenance and spells things out, so that everyone is on the same page with what the collective expectations will be.

The governance and procedures provide a pathway for a “feedback loop” to exist between residents who may need an occasional reminder for compliance. When you purchase a property that does not belong to an association, there are much fewer guidelines in place for homeowners, and the communication between neighbors and abutters must be handled directly (there is no landlord or association president to complain to, you have to do it yourself).

Being proactive about researching and assessing a neighborhood or an area before purchasing a home can prevent future disappointments and help you make an informed decision. Buyers sometimes are not willing to limit their home search to only a handful of neighborhoods that best suit them and instead leave their geographic parameters broader just to get into a house, but location is key, as many repeat buyers can tell you from experience.

Understanding the culture and atmosphere of an area can help determine if it aligns with your lifestyle. Some parts of the community are known for their social and interactive residents, while other areas may prioritize privacy and quiet.

Choosing a location that matches your preferences will contribute to a positive living experience but may require a bit more patience. When buying a home, the surrounding neighborhood and your future neighbors play a crucial role in determining your overall satisfaction. A great location can enhance your living experience, while a problematic one may lead to stress and challenges. Knowing the dynamics of a neighborhood or area is just as important as evaluating the features of a property.

Whether you’re looking forward to getting involved with your new neighborhood and are eager to meet everyone or you have zero intentions of ever interacting with the one neighbor a mile away, it’s important to be a good neighbor. Little acts like making eye contact, waving or smiling are worth the effort it takes usually. It can be challenging to be self-aware and may feel easier to complain, so be sure to ask yourself: “Are you a good neighbor to have?”

Hands down, by far the number one complaint by neighbors is regarding noise, whether it’s barking dogs, out of control parties, loud music, screaming kids or fireworks, nobody wants to listen to it from where they sit. Especially late at night when they are trying to sleep. It is a good measure to let neighbors know when you are planning to hold an event which may be deemed noisy and extend an invite or at least exchange contact information. They may reach out to you prior to calling the authorities to complain but often people do not feel comfortable or want to take on the risk of confrontation.

Another common complaint is about neighbors who routinely do not clean up after pet waste when walking their dogs. If you speak to your neighbors about your concerns remember that their pets are beloved family members of theirs.

Boundary disagreements are also a common source of contention between abutters. If you see that your neighbor is planning to place or construct something like a fence or a shed in an area that you understand to be on your property it is best to approach them to further discuss this as soon as possible. You may very easily be able to clear up any confusion or come to an agreement that everyone feels good about or, at least know what to expect as next steps or when one of you plans to sell.

Using a little extra empathy and compassion when considering how and when to best approach your neighbor about concerns or issues can truly go a long way for both of you. Keeping the lines of communication open should be the goal, so leaving a kind note is a great place to begin. If you are hoping that your neighbor will make large changes to their space to help support a higher property value for yourself, consider if it is realistic that they have the necessary resources. You may also consider offering to help support them in some way or contribute to their efforts as an incentive for them to cooperate as an investment you make.

Many people have never met or spoken to their neighbors but each day is another opportunity to make a connection with them and the best way to prevent problems.

Nicole Foster is a Broker in Falmouth and a Windham parent who loves people and real estate follow facebook.com/sellingmaine or @207nicolefoster. <

Your First Step to Homeownership: 2025’s Essential Guide for First-Time Buyers in Maine

By Lisa DiBiase

Buying your first home can feel like stepping into the unknown – exciting, a little overwhelming, but absolutely worth it. It’s not just about the house; it’s about laying a strong foundation for your future. When buying your first home, this isn’t just a transaction – it’s a milestone. Having buyer representation will help to make the process as seamless and rewarding as possible.

Here are a few tips and tricks to help guide you home.

Step One: Know Your Numbers

Before you start house-hunting, it’s essential to know where you stand financially. Understanding your budget range guarantees you’re making decisions with confidence.

• Down Payment Options: You don’t need 20 percent down to get started. Many first-time buyers qualify for programs offering down payments as low as 3 percent, like MaineHousing’s First Home Loan Program. Research your eligibility for grants and first-time homebuyer programs.

• Check Your Credit Score: A strong credit score can lead to better loan rates and terms. If you’re unsure about yours, pull a free credit report and address any errors before applying for pre-approval.

• Pre-Approval Matters: Speaking of pre-approval, getting pre-approved for a mortgage signals to sellers that you are serious about finding a home. It also gives you a clearer understanding of your budget range and what you’re able to afford comfortably.

Step Two: The Value of a Local REALTOR®

A REALTOR® is the key to unlocking the best opportunities. The housing market varies by location, so having a local expert with you from start to finish makes all the difference.

• Neighborhood Insights: Your REALTOR® understands market trends at a hyper-local level, helping you to find hidden gems or avoid overpriced areas. They know the ins and outs of every neighborhood, from the up-and-coming areas to the more established communities that will match your lifestyle and can provide you with invaluable insights into what it is like to live there – schools, amenities, traffic, and even the overall vibe.

• Tailored Recommendations: Everyone’s dream home looks different. Think about your priorities: school districts, walkability, commuting distance, or proximity to parks and shopping centers. Your REALTOR® can help you evaluate all your options and match you to an area that aligns with your priorities.

• Networks and Resources: Your REALTOR® often has a robust network of contacts, from home inspectors to contractors, they can help connect you to the right people through every step of the buying process.

Step Three: Partner with the Right REALTOR®

Buying your first home is easier with the right team by your side. A great REALTOR® is more than a guide – they’re your advocate throughout the entire home buying process. They can provide you with:

• Local Expertise: Our Realtors® know the market inside and out, which is a necessity for helping to find you the best neighborhoods and homes within your budget. Here are some questions you might want to ask when buying your first home.

• Negotiation Skills: From opening the front door the first time to closing, your REALTOR® ensures you’re getting the best value for your budget range.

• Reduces Stress: This is not a relaxing process, but an experienced REALTOR® can help streamline everything. Let them guide you home by handling all the details for a stress-free experience.

Step Four: Leverage First-Time Buyer Resources

There are so many resources designed specifically for the first-time buyer, and knowing how to take advantage of them will save you time and money.

• Grants and Assistance Programs: There are programs available that provide down payment assistance, low-interest loans, or tax benefits.

• Local Lenders: Working with your Realtors® preferred lenders ensures you’re getting the best and most competitive financing and personalized advice.

• Educational Tools: Many programs offer workshops or consultations to help you better understand the buying process.

Step Five: Let Us Guide You Home

When you’ve found the perfect home, it’s time to move forward with confidence. This is where all your research and preparation pays off! From making an offer to closing, your REALTOR® will guide you home.

That first moment you walk into your new home isn’t just about unlocking a door – it’s about starting your next chapter.

Why is 2025 the perfect time to buy?

House hunting is exciting, but it can also be overwhelming and with the ever-evolving housing market, first-time home buyers have more resources and tools than ever before. Whether it’s securing favorable financing to finding the absolute right neighborhood that complements your lifestyle, 2025 is the year to take the leap into homeownership.

As I have said before, please call a local REALTOR® for all your real estate needs no matter how big or small. We are trained professionals here to make your life easier. It›s best to surround yourself with the right team of professionals that can continuously give you the right advice for all your circumstances.

This article was brought to you by Lisa DiBiase, the Broker/Owner for Landing Real Estate. She and her company represent buyers and sellers in the Greater Portland area and surrounding areas. For all your real estate needs contact Lisa at lisa@landinghomesmaine.com or call 207-775-SOLD. <

Smart Home Tech You Can Expect in 2025

By Carrie Colby

Artificial Intelligence (AI) is revolutionizing everyday household tasks, seamlessly integrating into our most common tools and appliances. Through small yet powerful updates, AI enhances convenience, prevents potential disasters, and optimizes home efficiency. Here’s how AI is set to transform home living in 2025.

AI is Making Laundry Day Smarter

AI-powered washing machines and dryers are already making a significant impact. Modern washing machines now use advanced sensors to detect fabric types and load sizes, automatically selecting the optimal cycle and adjusting water usage accordingly. This ensures efficiency, conserves water and minimizes the need for excessive hot water.

Similarly, AI-enabled dryers detect the weight and moisture level of clothes, adjusting drying times and heat settings to prevent over-drying and fabric damage. These intelligent adjustments help save energy and extend the lifespan of clothing, making laundry day more efficient and cost-effective.

AI Can Prevent Costly Home Disasters

One of the most valuable AI-powered smart home innovations is the water flow detector. This device attaches to a home’s main water supply, learning unique water usage patterns and monitoring for anomalies. If it detects unusual flow – often a sign of a leak – it automatically alerts the homeowner and can even shut off the main water supply to prevent damage.

When paired with smart faucets, these systems can also purge pipes to relieve pressure or prevent freezing during cold weather. Given that water damage accounts for roughly a quarter of all homeowner insurance claims, this AI-driven prevention can save thousands of dollars in repairs.

AI Advances in Home Security

AI is revolutionizing home security, offering smarter, more efficient monitoring. Modern smart home cameras now feature object detection and recognition, helping homeowners stay informed about relevant activity while filtering out routine movements, such as a passing pet or family member.

Smart locks are becoming more sophisticated, incorporating tracking technology and built-in screens that function as digital peepholes. Video doorbells are also advancing, with dedicated displays providing instant visual access to visitors, enhancing security and convenience.

AI is Making Homes More Energy-Efficient

Smart thermostats have evolved far beyond simple programmability. Devices like the Google Nest Learning Thermostat now analyze daily habits and automatically adjust temperatures based on user preferences. For instance, if you prefer cooler temperatures at night and warmer conditions during the day while working from home, AI adapts to maintain optimal comfort.

Using geofencing technology, these thermostats can detect when residents leave the house—either through smartphone location tracking or motion sensors—and adjust the temperature accordingly. Additionally, AI-powered thermostats can connect to other smart devices, including HVAC systems, air purifiers, smart fans, and even solar panels, further optimizing energy usage.

Many smart thermostats are also compatible with utility companies’ virtual power plant programs, helping homeowners contribute to energy conservation efforts while lowering electricity costs. Though not the flashiest gadget, a smart thermostat is one of the most impactful AI innovations, reducing energy consumption, cutting utility bills, and shrinking a home’s carbon footprint.

The Future of Smart Homes

AI-powered home technology is making everyday life more convenient, efficient, and secure. From optimizing laundry routines and preventing costly water damage to enhancing security and reducing energy waste, these innovations are shaping the future of smart homes. As AI continues to evolve, we can expect even more intelligent integrations that further streamline household management and improve overall quality of life.

Carrie Colby is a Broker with Allied Real Estate, 909 Roosevelt Trail in Windham. She can be reached at 207-232-5497. <

2025 looks like another solid year for real estate

By Matt Trudel

I am feeling very optimistic about 2025 being a solid year for the Real Estate Market. Prices are holding steady for the most part and we are seeing a slight drop in interest rates, especially with some of the more common loan programs. Some of those programs are FHA, Rural Development, and your Maine Housing First Time Home Buyer programs. 

There are lots of new loan programs out there, so make sure you know what your options are. Hopefully you have an experienced team working with you if you are in the market to purchase a new home. That team should include a REALTOR® with plenty of experience in your area and hopefully years of negotiation strategy. Another important piece is having an experienced mortgage broker who not only knows the different programs available, but more important is being able to put you in the right program to save you as much as possible.

So, if you are thinking about buying a house in 2025, now is really a good time to purchase or should you wait until we get closer to springtime to make that purchase? That is a good question and not always an easy one to answer. Everyone is different and has different goals and motivational factors that need to be considered. Some people really don’t like their current living situation and want to move as soon as possible. Other people may not want to move in the middle of February in zero-degree weather, with ice and snow all around. There are those who also know almost exactly what they are looking for in a house that fits their specific needs.

All the above should probably be looking now and not wait until April to start looking. The reason for looking now is that you just don’t know when that property you are looking for will come on the market for sale. Even the person that doesn’t want to move in the winter should be looking. You can always negotiate out a 90-day closing so you are not moving in the cold and snow, problem solved.

Here is another tip for buyers that might help them when selecting a REALTOR® to be their buyer’s agent. We already know you should have a REALTOR® with a lot of experience and years of working as a real estate agent. When you sit down to talk with your prospective buyer’s agent, they should explain how they plan to be compensated for working for you, and more importantly how much they expect to be compensated.

How much they want to be compensated is where you might find some very big differences. I am not just talking about whether they want 2 percent, 2.5 percent, or 3 percent. Those differences are obvious. The real difference is when you are looking at homes, and the seller is offering out compensation to buyer agents that is greater than what you and your buyer agent agreed that they would work for.

As an example, you decide to hire my agency Five Star Realty to be your buyer’s agent. We both agree that I will work for 2 percent commission on the purchase and hopefully we can get the seller to pay that. We find your house, and the seller is offering out 3 percent commission to buyer agents. That extra 1 percent should go back to you the buyer in the form of a credit toward your closing cost or just a check directly to you. That 1 percent should not go to me or my agency because we agreed I would work for 2 percent, not 2 percent or however much more I can get. Not all real estate companies handle this the same way. I feel if we agreed to a price or percentage then that is what we should stick to.

Sellers should know that scenario very much applies to them as well. When it comes to listing your house for sale you are very much in the driver’s seat. There are vast differences now between agencies and their compensation policies. Sellers can decide how much the listing agency is going to be compensated.

This would generally be the percentage they are going to charge you for listing your home for sale. Then the seller can also decide if they want to offer out any compensation to other agencies who are representing a buyer who wants to purchase the home. That amount or percentage does not have to be the same as the listing percentage. They can also decide not to offer out any compensation. This all plays into the marketing of your home and there are a lot of factors to consider.

My point is to explain that there are a lot of options out there for both buyers and sellers, and you should know what those options are before making any decisions.

This article was written by Matt Trudel, Broker/Owner of Five Star Realty in Windham. For all your buying and selling needs, call him at 207-939-6971or email: matt@fivestarrealtymaine.com <

What Is Home Equity?

By The Libby Starnes Team, Signature Homes Real Estate Group

Home equity is one of the most valuable assets a homeowner can have, yet it’s often misunderstood. Simply put, home equity is the portion of your home that you truly “own”—it’s the difference between the current market value of your home and the balance remaining on your mortgage.

For example, if your home is worth $300,000 and you still owe $200,000 on your mortgage, your home equity is $100,000. This figure represents a powerful financial tool that can grow over time and provide benefits in the future.

How Home Equity Builds

There are two primary ways to build equity in your home:

Paying Down Your Mortgage

Every mortgage payment includes a portion that goes toward the loan’s principal (the amount you originally borrowed). Over time, as you reduce your loan balance, your equity grows. Early on, a larger portion of your payment covers interest, but as your loan progresses, more of each payment goes toward the principal. This gradual shift accelerates equity growth in the later years of your mortgage.

Appreciation (Increasing Property Value)

When your home’s market value increases, so does your equity. Factors such as a strong housing market, local developments, and strategic home renovations can boost your home’s value. For example, if your home appreciates by $50,000 over five years, that increase directly adds to your equity, assuming your mortgage balance remains the same or decreases.

How to Build Home Equity Faster

While equity naturally grows as you pay down your mortgage, there are strategies to speed up the process:

1. Make Extra Mortgage Payments:

By making additional payments toward your loan’s principal, you can reduce the balance faster and build equity more quickly. Even a single extra payment each year can make a significant impact over time. Be sure to specify that any extra payments go toward the principal, not interest.

2. Increase Your Property Value with Renovations:

Strategic home improvements can increase your property’s market value, which, in turn, boosts your equity. Focus on upgrades with high return on investment (ROI), such as updating kitchens or bathrooms, enhancing energy efficiency, or improving curb appeal. Not only do these changes add value to your home, but they also make it more enjoyable to live in.

3. Avoid Tapping Into Your Equity Prematurely:

Taking out home equity loans or lines of credit can reduce the equity you’ve built. Use these options sparingly and only for worthwhile investments, like renovations that further increase your home’s value.

Why Home Equity Matters

Building equity in your home is more than a financial milestone; it’s a foundation for long-term wealth and security. Here’s why it’s essential:

1. Financial Security:

Home equity serves as a safety net. Whether you face unexpected expenses or need to fund a significant project, equity can be a valuable resource, often at lower interest rates than other borrowing options.

2. Leverage for Loans:

Home equity can be used as collateral for a home equity loan or line of credit (HELOC). These tools are ideal for financing home improvements, consolidating high-interest debt, or covering other major expenses.

3. Higher Returns When Selling:

The more equity you have, the larger your profit when selling your home. For instance, if you sell your home for $350,000 and owe $150,000 on your mortgage, the remaining

$200,000—minus selling costs—is yours to reinvest or use as you see fit. Tapping Into Your Home Equity

Once you’ve built a significant amount of equity, you can access it in a few ways:

Home Equity Loans: Borrow a lump sum using your home’s equity as collateral. This option is great for predictable, one-time expenses.

Home Equity Line of Credit (HELOC): A HELOC acts like a credit card, allowing you to borrow as needed up to a set limit. You only pay interest on the amount you use.

Cash-Out Refinancing: Replace your current mortgage with a larger one and pocket the difference, giving you immediate access to your equity while refinancing your loan terms.

The Bottom Line

Building home equity is a powerful way to grow your wealth as a homeowner. Whether you choose to accelerate your equity growth through extra payments and renovations or let it build naturally over time, equity is a financial asset that opens doors to future opportunities.

When managed wisely, home equity can provide financial security, serve as a tool for investment, and help you achieve significant milestones. If you’re interested in learning more about how to maximize your home’s value or build equity faster, the Libby Starnes Team at Signature Homes Real Estate Group is here to guide you every step of the way.

Let us help you make the most of your investment and secure your financial future through smart real estate decisions.

Pamela Starnes and Tiffany Libby are the Libby Starnes Team with Signature Homes Real Estate Group. Call them at 207-838-8051 or 207-712-2424 or visit them online at www.libbystarnesteamhomes.com. <

Winter Blues and How Decorating Your Home Can Help

By Theresa Bouchard

The cold and dark days of winter are here, and many people find themselves feeling a bit down or lacking energy. The phenomenon known as the “winter blues” is a real issue, affecting individuals emotionally, mentally, and even physically. Shorter daylight hours, colder weather, and isolation can lead to feelings of sadness, fatigue, and a general sense of being less motivated.

While there are many ways to address these challenges, one effective and surprisingly accessible way to improve mood during the winter months is through decorating your home. Research has shown that our environment plays a significant role in shaping our emotions, and creating a warm, welcoming, and aesthetically pleasing space can be a powerful tool for combating the winter blues. Here’s why decorating your home can make a big difference in how you feel, and some practical tips for making your home a winter sanctuary.

Your home is your sanctuary, and its appearance can directly affect your mental and emotional state. The science of environmental psychology suggests that we are strongly influenced by the spaces we inhabit. When you spend most of your time in a dreary or cluttered space, it can contribute to feelings of stress, discomfort, and even sadness. On the other hand, decorating with intention can elevate your mood, create a sense of calm, and promote well-being.

During winter, the lack of sunlight and outdoor time can leave you feeling disconnected. But incorporating bright, warm colors and inviting textures into your home can mimic the sun’s positive effects, helping you feel more energized and content. Colors like yellow, orange, and red are known to promote happiness, while calming blues and greens can create a peaceful atmosphere. The key is to design your environment in a way that supports the mood you want to cultivate, whether that’s comfort, joy, or peace.

Here are some tips to help you combat the winter blues:

 Maximize Light
During winter, natural light is limited, so use mirrors and light-colored decor to reflect and amplify available light. Supplement with warm artificial lighting like daylight bulbs or string lights for a cozy atmosphere.

 Add Warm Textures
Incorporate soft, plush items like blankets, pillows, and rugs to make your home feel warm and inviting. Layering textiles adds both comfort and visual interest.

 Use Uplifting Colors
Bright colors like mustard, burnt orange, or soft pink can add warmth and cheer to your space. Earthy tones like green and brown also help bring nature indoors.

 Create a Cozy Atmosphere
Incorporate candles, soft lighting, and cozy blankets into your space. A relaxed, peaceful environment can help you unwind and enjoy winter more.

 Bring Nature Indoors
Indoor plants, pinecones, or branches can add life to your home. Connecting with nature indoors reduces stress and lifts your spirits.

 Infuse Pleasant Scents
Scent plays a big role in mood. Light candles or use essential oils like lavender for calm or citrus for energy. Scents like cinnamon and clove can also create a cozy, wintery atmosphere.

Conclusion

Winter doesn’t have to mean a season of sadness or immobility. By focusing on home decor and creating a space that reflects warmth, comfort, and positivity, you can turn your home into a refuge that helps combat the winter blues. Whether it’s adding a splash of color, surrounding yourself in soft textures, or bringing in the beauty of nature, the act of decorating with intention can profoundly influence how you feel during the colder months. With a little creativity and thoughtful design, your home can become an uplifting retreat where the winter blues have little chance of taking hold.

If you're unsure where to begin with the tips provided, contact TS Staging and Design to help transform your home into a comfy, cozy, and uplifting space that will chase away the winter blues! Their expert team can guide you in creating a warm, inviting environment that reflects your personal style and boosts your mood all season long.

Theresa Bouchard is the owner and designer of TS Staging and Design. If you would like more information regarding staging services, please contact TS Staging and Design at 207-400-9393 or by email at tsstaginganddesign@gmail.com or check us out on Facebook, Instagram or our website at www.tsstaginganddesign.com. We are an award-winning professional home staging company that provides superior customer service and beautiful designs that attract buyers to your home. <

Facts about 1031 Like-Kind Exchanges for Commercial Real Estate

By Larry Eliason

A 1031 like-kind exchange is a tax planning tool for deferring tax on capital gains. You can sell an investment property and reinvest the proceeds in a new property. This essentially postpones the tax liability from the sale.

The term “like-kind” refers to the nature or character of the property. There is a wide variety of property types that you could consider to be like-kind, as long as they qualify as investment type properties.

A good example is an investor who owns a small shopping center in Windham valued at $1 million. The investor has held this rental property for many years and has accumulated substantial appreciation. Now, the investor wants to diversify his/her portfolio, and they’re eyeing a mobile home park in North Windham for $1.5 million as they see considerable upside potential.

The investor decides to utilize the 1031 like-kind exchange. They sell the small shopping center and use the proceeds to acquire the mobile home park. The 1031 like-kind exchange can help defer paying capital gains tax on the sale of the shopping center.

This transaction should qualify as a like-kind exchange because it involves similar types of real estate assets. The net market value increases from one property to the next. The 1031 like-kind exchange allows the investor to seamlessly transfer their real estate investment while deferring tax liabilities.

If you are considering a sale with the intent to use the 1031 like-kind exchange, identify the property you want to sell. This must be a qualified investment property and not your primary residence. Again, personal residences don’t qualify for a 1031 like-kind exchange. The subject properties must be held for investment or used in a trade or business.

Before you sell your property, hire a Qualified Intermediary. This step is instrumental because the IRS doesn’t allow the seller “you” to touch the money between the sale and the purchase of the new property.

Once your property is sold, the proceeds minus any closing costs and debt pay-off go to the Qualified Intermediary. Again, the sale proceeds cannot go to you. If you were to receive the proceeds directly, this would be the basis for a disqualification and result in a tax event that you wanted to avoid in the first place.

You have 45 days from the date of sale to identify up to three potential replacement properties. To fully avoid paying any tax, the net market value and equity of the property acquired must be the same as, or greater than, the property sold. This is regardless of their total value or as many properties as you want, as long as their combined value doesn’t exceed 200 percent of the sold property’s value. You must document this in writing and deliver it to your Qualified Intermediary.

From the date of sale of your initial property, you have 180 days to complete the purchase of any property or properties identified in the previous step. The Qualified Intermediary then transfers the funds from the initial sale to the seller of the replacement property.

When you file your taxes for the year the 1031 like-kind exchange took place, include Form 8824 in your tax return, notifying the IRS of the exchange and informing them what property you sold and what property you purchased as part of the exchange.

The IRS rules for 1031 exchanges are very strict, so be sure to follow them closely. If done correctly, a 1031 like-kind exchange can be a powerful tool for deferring tax and building wealth through additional real estate investment.

The tax return and name appearing on the title of the property being sold must be the same as the tax return and title holder that buys the new property. Today, many properties are bought and sold using LLC’s or Trusts so keep this in mind and be consistent.

No additional value received in an exchange can be allowed that isn’t like-kind property, such as cash, property improvements or debt relief.

When you sell a property as part of a 1031 like-kind exchange, all of the equity you receive from the sold property must be reinvested into the replacement property.

When you sell and buy property as part of a 1031 like-kind exchange, both the sale and purchase need to be arm’s length transactions. Family related transfers can certainly come under a lot of scrutiny by the IRS so consult with your advisors.

A Reverse 1031 like-kind exchange is another option that allows you to purchase your replacement property before selling the property you intend to replace. This has many of the same rules and requirements as a normal exchange.

As always, consult with your professional team such as your Lawyer, Accountant, Banker, Qualified Intermediary and Commercial Broker early in the process so that you may take full advantage of this very useful tax planning and real estate investment tool.

Larry Eliason is a Commercial Broker with Butts Commercial Brokers, 1265 Roosevelt Trail, Raymond. He can be reached at 207-415-2112 or by email at LarryEliasonBCB@gmail.com. Visit www.ButtsCommercialBrokers.com <

Finding Your Maine Paradise: A guide to choosing the perfect recreational land

By Richie Vraux

Maine is a recreational paradise and buying and selling a property can be a complex process, but with the right strategies, you can enhance your property's market potential and achieve a successful sale.

Price it Right

Setting the right price is crucial for attracting buyers. Work with a real estate professional to conduct a comparative market analysis and determine a competitive price based on recent sales of similar properties in your area.

Enhance Curb Appeal

First impressions matter. Maintain the lawn, add fresh plants, and ensure pathways are clear and clean. A well-kept exterior can entice buyers to see what’s inside.

Stage for Success

Staging your home can make a significant difference. Arrange furniture to highlight the best features of each room, remove personal items, and declutter to create a neutral and welcoming environment.

Leverage Online Marketing

Utilize high-quality photos, virtual tours, and detailed descriptions to showcase your home on real estate websites and social media platforms. Engaging content can attract more buyers and generate interest.

Choose the perfect recreational land when buying

When selecting recreational land in Maine, several key factors will influence your decision when buying property.

Here are some handy tips to guide you along the way and assist in avoiding pitfalls.

Recreational Interests

Hunting and Fishing – Identify areas with abundant wildlife populations and suitable habitats. Research local regulations and hunting/fishing seasons.

Boating and Kayaking – Consider access to lakes, rivers, or the coast. Check water depths, navigation hazards, and boating regulations.

Swimming – Look for properties near beaches, ponds, or lakes with safe swimming areas and clean water quality.

Skiing and Snowmobiling – Choose locations with proximity to ski resorts or groomed snowmobile trails. Consider snow accumulation and trail maintenance.

Hiking and Biking – Select properties with access to hiking trails, nature preserves, or scenic bike paths. Evaluate terrain, elevation, and trail conditions.

Land Rights and Access

Public Land Rights – Maine's strong public land rights offer excellent access to recreational areas. Research specific land management policies and regulations.

Easements and Rights of Way – Ensure the property has adequate access for vehicles, boats, or other recreational equipment. Verify any easements or restrictions.

Local Amenities

Convenience – Consider proximity to local amenities like grocery stores, gas stations, restaurants, and medical facilities.

Community – Evaluate the local community's character, amenities, and social activities.

Schools – If you have children, research the quality and accessibility of local schools.

Location

Climate – Consider your preferred climate and weather conditions. Maine offers diverse climates, from coastal to inland.

Privacy – Determine your desired level of privacy and seclusion. Consider factors like neighboring properties and road traffic.

Accessibility – Evaluate access to major highways, airports, and other transportation options.

Commute Time

Work – If you have a daily commute, consider the distance and travel time to your workplace.

Factor in commute times to other important destinations like family, friends, or entertainment venues.

Investment

Budget – Determine your budget for land purchase and ongoing expenses like property taxes, maintenance, and insurance.

Potential Returns – Research property values and market trends in the area. Consider factors like land appreciation potential and future development plans.

Resale Value – Evaluate the property's resale potential, especially if you plan to sell it in the future.

Additional Tips

Consult with Local Experts – Seek advice from real estate agents, land surveyors, and local recreational enthusiasts who are familiar with the area.

Visit the Property – Spend time on the property to assess its suitability for your recreational activities and lifestyle. Consider factors like views, wildlife, and overall atmosphere.

Consider Long-Term Goals – Think about your long-term plans for the property. Will you build a cabin, use it for seasonal recreation, or simply hold it as an investment?

If a property is priced appropriately, it won’t be on the open market for very long. As a result, be very prepared. Unless you are making a cash offer – always, always, always have a pre-qualification letter in hand so it can be presented to the seller’s agent, at the time of the offer. Be aware that if there has been a lot of activity on a property, it has become commonplace that agents are submitting offers well above asking price.

Also, other things you should know about houses and properties include if they are: occupied, vacant, in foreclosure, short-sale or bank owned. You should know as much information as possible about each property before making an appointment. Make sure you tell your real estate professional about your timeframe for buying or selling. If you need advice about choosing which way you should go, feel free to contact me. Richie Vraux is a Real Estate Broker/Realtor with Pine Tree Realty of Maine, 76 Tandberg Trail, Windham. Call him at 207-317-1297 or reach him by email at richardjvraux@gmail.com <