To Preserve Home Equity Help Your Neighbor

The following is an article from the Wall Street Journal. I am including it here only because in these times of uncertainty, one thing we can all do is look out for one another.

"With falling house prices in the news every day, many homeowners are asking: What's the best way to preserve my home's equity?

Unfortunately, unless you can quietly buy your neighbor's house before it becomes a short sale, or convince vulture capitalists to purchase all the foreclosures in your neighborhood, there's little you can do to protect property against today's main drags on home prices.

But you're not powerless in this crisis. Just as it's important to keep up personal appearances when you're feeling depressed, it's also vital to keep your house looking spiffy in an economic downturn. It may seem like throwing good money after bad to keep the house repaired and the yard groomed when home prices in your area are sinking. But it's actually a wise business decision, since a sparkling house has an uplifting impact on buyers, appraisers and real estate agents.

While this isn't the time to install unnecessary, expensive upgrades like a hot tub or home theater, you definitely should tackle any maintenance issues that may have been deferred, like overgrown shrubs, leaky roofs or dented siding. Focus on curb appeal, and get professional assistance if the job is too big to do yourself.

But don't just care for your home; care for the community. If you know that someone on your block is in financial trouble, consider getting the neighbors together and lending a helping hand, perhaps by mowing the yard or helping with minor painting and repairs. If your neighbor's place has already gone back to the lender, find out who owns it and make sure that the company keeps on top of maintenance. If it doesn't (lenders are becoming overwhelmed by foreclosures in some places, and some yards are getting scraggly), perhaps you could still make a pass with the lawn mower or plant some flowers in the yard -- with the lender's permission, of course.

I know it seems bizarre: Why help the people who are the most responsible for blighting the neighborhood and bringing down home values? The answer is that communities are only as attractive as their ugliest properties -- so it is in everyone's self-interest to pretty them up."

reprinted from The Wall Street Journal, April 10, 2008 12:53 p.m.