Angie’s List has one, Service Magic has one, even the online YellowPages has one – it’s a rating system representing consumer confidence.  From low to high, how does this company treat their clients? 

The Better Business Bureau is now applying the same thought to their rating system.  The old ratings were based on how a company resolved its complaints.  But the limited information provided often left consumers in the dark and reputatble companies were misrepresented.  Replacing “satisfactory” and “unsatisfactory”, are insightful ratings shown as letter grades A+ thru F.  The new system provides more specific information.  Where Imperial Kitchens and Baths, Inc. once had a “satisfactory” rating we now have a more meaningful “A+.”

“In today’s tight economic times, these ratings not only spotlight the honest and ethical companies customers look for, but the ratings components also assist companies to see where their operations may be improved.” Says Steve J. Bernas, president and CEO of the BBB of Chicago and Northern Illinois.

The new ratings take into account 17 weighted factors, using objective information and actual incidences concerning the business.  For more information about the BBB’s new rating system and specific rating factors, visit www.bbb.org.

Advertisements

There are many benefits to remodeling your home; at the top of the list is pride of homeownership.  But for so many of us, we have to remodel our home in stages – we don’t have unlimited funds to changes everything at once.  If you do not have an urgent need to remodel a particular space over another (ie. leaking roof, structural damage, etc.), how do you decide what takes priority?  If you are looking for tax deductions, then you may want to consider these remodeling projects first.

Current Tax Breaks

Cash for Clunker Appliances

Starting this fall, as part of the economic stimulus plan under the American Recovery and Reinvestment Act, the “Cash for Clunkers” extends to Appliances.  Basically, purchase a new energy efficient appliance and get a tax credit of $200.  Just like the “Cash for Clunker Automobiles” there is a set dollar amount set aside for this program and once the money is gone, the program is over.

Appliance companies should have available to you the list of products they carry that qualify.  You may have to surrender your existing appliance in order to receive the benefit.

Energy Efficiency Tax Break

Install a solar panel to provide your home energy and not only will you see a substantial tax credit and your electric usage drop, but you may even be able to sell energy back to the electric company. 

For those of us who are less adventurous – upgrade your boiler, heater, furnace, air conditioner, windows, roof, or insulation and you will not only see savings on your gas and electric bills.  

The credit covers 30% of the energy saving improvements, capping at $1,500 for 2009 and 2010.  The credit will no longer be available after 2010.  When you complete your tax return be sure to include Form 5695.  The IRS website gives more information.

Potential Future Tax Breaks

The Home Improvements Revitalize the Economy (HIRE) Act of 2009

Provides a tax deduction of up to $2,000 per family, or a tax credit of $500, for the purchase of certain materials and home furnishings.  If you use green products that meet LEED (or other recognized standards) the tax deduction would actually double.  Purchases excluded from the HIRE Act are major appliances, housewares and electronics.

The lead sponsors of the HIRE Act are Rep. Henry Johnson and Rep. Nathan Deal from Georgia.  (Be sure to contact them and your local representatives if you feel this benefit would have a positive effect on the American economy.)

Canada has had a similar program in place since January and has seen a positive effect in stimulating the home improvement industry with one in three Canadians planning to take advantage of the program. (Home Channel News, 9/21/09, pg 35)  For more information visit the HIRE Act of 2009.

Like the auto industry, the home improvement industry is huge.  This is a service industry rooted in American workers and the US economy.  In the past couple years over 270,000 Americans have lost their jobs in the building products and home furnishings sector, and a loss of over 290,000 jobs are expected for 2009.  Keeping Americans working is not only a short term tax relief for homeowners, but it is a way to help us all weather the long term effects of this stormy economic climate.

Whatever you do, when you remodel your home, keep documents of everything.  Think of each contract not as a receipt of purchase but a proof of investment.  Give a copy of what you did for the year to your accountant.  When you sell your home, have these documents on hand, you may be able to deduct these expenses from any capital gains.

* Consult your accountant to see what tax benefits you qualify for before you start a remodeling project.

Written by Imperial Kitchens and Baths Designer, Stephanie Bullwinkel, CBD.

I Blog, Therefore I Am

September 22, 2009

I see a lot of blogs about remodeling and what is starting to come to mind are the TV commercials where someone stays at a particular hotel and that immediately makes them an expert in everything.

Blogging is a wonderful way to spread information quickly and easily, but there are no checks and balances as to who is authoring them.  Just because you write a blog does not make you an expert.

So, why would someone write about something they know nothing about?  Google has a product called AdWords.  If you want to advertise your product or service online, AdWords is an easy way to do it.  Not only can you get top listing on Google Search engine, but you can have your ads placed on other websites that are registered with Google.

If you are a blogger you can set yourself up with Google to have advertising placed on your blog.  Every time someone clicks on the ads listed, the blogger makes some money.  So to make money, the blogger writes articles on hot topics hoping to draw an audience – not to educate you and help you, but to hopeful get you to click an ad.

The downside is that many of these blogs are not only poorly written, but they give bad, and potentially damaging advice.  This is very much the case in remodeling, where DIY projects are all the rage.

Next time you are reading a blog that tells you how to do something, research the author.  Are they an expert in their field or are they just a billboard.  Most of the time these authors won’t even list their name.  If they are listed, what else has they written about?  If the topics don’t coincide, chances are they don’t know what they are talking about.

If you are looking to remodel any part of your home, get expert advise from someone in the field.

Written by Imperial Kitchens and Baths Designer, Stephanie Bullwinkel, CBD.

Dynamic Chicago Kitchen

August 26, 2009

The current trend of dark cabinets doesn’t mean you have to have a dark kitchen.  Pair black cabinets with stainless appliances for an edgy urban look.  The space could easily be softened by using doors fronts/panels to cover the appliances and a stone tile backsplash.

Fast forward to the 4 minute mark to see the incredible space designed by Larry Rych of Imperial Kitchens and Baths. 

(Note: the fireplace surround was incorporating into the project to create a flowing space between the kitchen and family room.)

Reface, recover, renew, refresh – these are all words used to define a technique commonly used to update kitchen cabinets.  I prefer to use the term “recover,” since it most accurately describes the process.

A recover involves removing the old doors and drawer fronts from your existing cabinetry and replacing them with new doors of your choice, wood or laminate.  The faces of the boxes are then covered in wood veneer or laminate to match the new doors.  The cabinets themselves are rarely distrubed.  The result is a brand new look wihtout undergoing major construction.  The video below is a time-lapse of a recover in process that we did in our showroom.

Can a kitchen recover really save you money?  Yes, but not every kitchen is a candidate for a recover.  The majority of cabinets in the space must be stable and solidly constructed.  Poorly constructed cabinets are better off being replaced with new cabinets.  The layout of the kitchen needs to remain approximately the same.  Appliances and sinks will remain in their current location.

Removing a wall and/or changing the floor will not necessarily exclude a kitchen from being recovered, but it may incur some expenses that you would not necessarily have if you replaced the cabinets entirely.

Adding and replacing select cabinets to the existing layout may be a problem depending on the limits of your contractor.  This is a question you should ask when getting estimates on your project, especially is you suspect your a cabinet.  As in all remodeling projects, it is common for the less skilled laborer to charge less.  Look for longevity, ask for referrences from other “recover” clients.  Recovering cabinets is an art equal to that of a custom tailor.

If you do add cabinets to your existing layout, be prepared – the interior of the cabinets will not match the interior of the existing (as they are not part of the recover process unless specified).  But the exteriors should be a seamless design vision between old and new.

Will the savings of a recover be half of what would be spent on new cabinets?  It could that significant of a savings.  The best way to find out is to have your contractors quote the project both ways.

Is a recover truely a” green” remodeling option?  When you factor in the existing cabinets going to a land-fill, new cabinets being made from new timber, and then transporting those new cabinets in large cardboard boxes, which are mainly filled with air unless the cabinets are not ready-assembled.  Yes, it is a greener option.  Just the doors off the exisitng cabinets are going to waste and the new doors take up considerable less space on a frieght truck than cabinets.  Then add to it that several door manufacturers and laminate companies in the US are taking the “green” initiative to heart and you have something you can feel good about.  (Many cabinet companies are offering sustainable cabinetry options as well.)  However, the glues used to apply the new veneer to the cabinets can cause irritation in senesitve people.  The outgasing of these product is typically fast-occuring.

Will a recover be less of a headache than a “typical” remodel?  Since the existing cabinetry will not be removed, a lot of time is saved in carrying in and out large casework.  If the floors and walls are not distrubed then there is even less mess in your home.

While there is no reason this process can’t be used in a bathroom, it’s just not as common.  Sometimes it is actually cost prohibitive.  In the case of a single 36″ vanity, it can be less expensive, and less hassel, to just replace the whole thing.

Written by Imperial Kitchen and Baths Designer, Stephanie Bullwinkel (CBD).