Selling Your Home

Energy efficiency is the deal maker for home sales.

BEST™ – Benefits of Energy Saving Technology

energy expertGreater resale value.  A house sold as-is requires full disclosure of conditions to potential buyers.  At a low price, some energy inefficiency can be overcome.  Sellers need to ask themselves:  If I make no improvements, will the amount I have to discount my asking price be greater than the cost of improvements?  Are the energy problems also code violations or deficiencies that an appraiser will include in their report?  If home A is correctly insulated and has Energy Star windows, and house B does not, which house will sell first or at a higher price?  Energy efficiency is scrutinized not just by prospective buyers but also appraisers and mortgage companies because an energy efficient home is more affordable to own and has greater resale value than a comparable house without green features.

Increasing utility costs.  Energy costs continue to rise in many parts of the country.  The price for propane, natural gas, and fuel oil are increasingly volatile.  Heating fuel prices drop one week and skyrocket the next for a number of reasons:  an oil spill, a hurricane, political upheaval, or evidence of environmental damage due to different mining or extraction methods.  If your home has a $300 monthly energy bill you will spend $36,000 over 10 years, excluding inflation. The average increase across all heating fuel prices is about 11% per year.  That equates to $72,000 in 10 years.  Rising utility costs is the most often cited reason homeowners seek energy efficient improvements.

Comfort.  A house that is not energy efficient is easily recognized.  Rooms become too hot or cold as seasons change.  Inconsistent temperatures shrink living space and reduce productivity.  An energy audit will reveal air leakage, inadequate insulation, or an inefficient HVAC system.

Curb appeal.  Realtors know that smart upgrades such as insulated vinyl siding or Energy Star windows distinguish quality listings from comparables.  Take notice of the better homes your neighborhood to see what realtors look for.

Assessing Reviews

Fact or Fiction:
Tips on How to
Assess Reviews

thumbs

CONSUMERS WANT GOOD AND BAD REVIEWS
     90% read online reviews.
     72% trust positive reviews.
     30% suspect censorship when there are no negatives.
     81% say negatives make positives more believable.

Reviews can guide purchase decisions, especially when no one in your circle can offer a recommendation.  Since only a fraction of consumers post online, it’s important to recognize that those opinions are far from representative of the whole.  Endless opportunities to voice opinions online create a cacophony of conflicting views that can be more confusing than helpful.  Here are some considerations to discern the valid from invalid.

Businesses feature reviews to promote products or services.  Amazon is among many to include both the positive and negative.  Those that filter negative comments do so for the same reason hospitals don’t advertise the fact that every day, 1 in 25 patients will suffer from at least one healthcare-associated infection.  Broadcasting the possibility of an unsatisfactory outcome may elevate concern disproportionate to need.  Life-saving treatment should not be avoided for fear of secondary risks.  Similarly, retailers accept that products may contain a manufacturing defect, become damaged during installation, or lost in transit.  Yet publicizing the chance of disappointment is not nearly as helpful to consumers as providing relief for those situations.

Biased Reviews

Overwhelmingly consumers award the highest ratings to premium brands, indicatting marketing campaigns have stronger impact than product testing.  Consumer Reports, the non-profit publisher of product tests and reviews has declined in authority thanks to consumer reviews posted directly on seller sites.  This is disturbing given the magazine’s esteemed reputation for factual reporting versus unverified reviews allegedly posted by consumers.

Negative sites encourage angry reviewers to vent or seek revenge.  They are not in the business of consumer education, advocacy, or protection.  Like the film industry, they know that drama sells.  Sites dedicated to negativity have grown in number, though not in popularity.  Professional product reviewers are pragmatists who shun the ilk of haters and rage-quitters populating negative forums for being uninformative.

Yelp is criticized for filters that can exclude positive reviews, resulting in an extremely skewed purview.  PissedConsumer mimics RipOffReport, a site that strictly prohibits positive reviews.  Plagued by lawsuits over defamation and disclosure, RipOffReport launched a Corporate Advocacy Program.  As the name makes clear, the program is not for consumers.  To change negative reviews to “verified” status requires a hefty initial fee plus monthly fees for the lifespan of the company.  The tactic preys on business owners who have had the misfortune of having their brand named on RipOffReport.  Little scrutiny is required to determine whether RipOffReport reviews are legitimate or manufactured to market its highly lucrative exploit and extort scheme.  The backlash in promoting retribution is that the number of complaints against RipOffReport on competitor PissedConsumer’s site continue to climb.

As for-profit enterprises, sites that permit positive reviews are inherently bias toward advertisers.  The merger of Angie’s List and Home Advisor created an advertising behemoth for home improvement contractors.  Partiality is unmistakable when companies are permitted to incentivize consumers with discounts or giveaways to receive 5 star ratings.  Spending marketing dollars on an industry-specific site for favorable ratings and page positioning effectively converts consumer reviews to paid advertising.

Fake Reviews

Search “pay for reviews” and discover a plethora of businesses that post fake reviews for a fee.  By paying a team of individuals or using bots it is easy to populate numerous sites with fictitious or anonymous reviews, and to do so repetitively.  Ghost reviews can successfully advance a product, service, individual, or political agenda.  As the IT community continues its quest to advance data algorithms that learn, adapt, and predict, the ability to discern an authentic opinion remains a human function.

Google’s sophisticated algorithms cannot determine whether a comment is prompted by a disgruntled employee, contractor, competitor, or personal grievance unrelated to the product or service but privy to details.  Nor can it track the number of times the same reviewer posted under alternate identities.  Many sites have policies against fictitious identity and falsified statements but given the volume of posts these violations are rarely enforced.

Worth Remembering

Just as reviewers comprise a mix of personalities and expectations, a company is a group of working people with feelings about their efforts and reputations—collectively and individually.  Consumers and businesses must not forget that some members do not represent the whole.  It would be unreasonable to treat all customers like the one who could never be satisfied, or to assume that all carpenters track wood glue through the house.  Poor reviews are costly in terms of lost income or jobs and unfair when fault lies elsewhere.  Such was the case when Martina Lowell-Suarez lost her supervisory position of 16 years at a major cosmetics manufacturer in New Jersey.  “An employee was terminated from my department for publishing a trade secret.  It appeared in a review that we had taken down, but it took me and my family down, too.”

Few genuinely aggrieved customers give venting priority.  The majority seek resolution in the form of restitution or change assuring future improvement.  Savvy consumers and businesses alike understand that collaboration achieves better results faster than a flurry of online posts or a team of lawyers.

In life each of us receives both positive and negative reviews.  It depends on who you ask and when.  As one kindergartener explained, “She was my friend, but not today, and on Saturday she’s coming to my birthday!”  Opinions and relationships really do ebb and flow.  The best we can do is learn from constructive criticism and let the remainder roll off our backs like water from ducks.

When evaluating the opinions of others, keep these factors in mind:

Relevance     How closely does the review align with your needs?  The salon with low ratings from color or perm treatments may provide outstanding haircuts at great prices.

Time     Products and services change, so recent reviews have the greatest value.

Quality     Is the review truly intended to help others?  It’s hard to be practical when upset.  Look for rational comments that set forth facts.  If attempts to resolve the issue failed, the reason should be clearly stated.

Quantity     A boutique will never match the number of reviews received by a retail chain.  Keep comparisons proportional as in Home Depot and Lowe’s.

Authenticity     Manipulations are difficult to detect, even for sophisticated web crawlers.  Before reading reviews, determine which sites merit your time by searching “complaints about [site name]”.  Disregard sites that permit anonymous reviews as they are likely to be marketing platforms.  A comment from “John D.” lacks any credibility, so ask the business if you can speak with that customer.  If a review seems helpful but you question its veracity, search for other posts from that user.  Red flags include multiple reviews on different sites or incongruent details.  Did that person really purchase 4 camcorders this year, or is it a bot?  Suspicious, too, are reviewers who rave about one business and trash competitors.

Video Testimonials     This is an excellent opportunity to see and hear the reviewer and is most reliable when the full name is included.  It is much easier to weigh words while gauging the speaker’s tone and body language.  Even the most camera-shy person conveys a naturalness that few Oscar-winners can replicate.

Seeking Satisfaction

After conducting research and making your purchase, should you experience less than 100% satisfaction, pause before posting.  Contact the business directly and promptly.  Waiting to address an issue dilutes its importance.  A refund policy, satisfaction guarantee, or established procedure like Ebay’s successful dispute resolution process offer consumer protection.  Gruffly informing a waiter that the soup arrived cold is immature and may get you hot soup with an added ingredient.  Present your concern respectfully so that it can be taken seriously.

Hostility can backfire with waitstaff, and even small companies have the resources to extinguish consumer heat.  If you believe you can leverage a deal thinking Tim’s Tree Trimming is competing with Larry’s Landscaping, think again.  They are likely friendly competitors who service each other’s customers during peak season.  Calling Larry a loser online could get you shut out of local help from his cousin Pete’s Plumbing.  Know that frustration occurs on both sides.  When businesses respond to reviews, few disclose how uncooperative a customer is.  Vinny Scialpi of Marinetti On Top said “Three times they scheduled us to fix the chimney but were never home!”  Companies need resolution as much as consumers do.

Anyone who has said the wrong thing to a loved one (hopefully) learned that hurtful words can cause lasting damage.  Publicly airing a dispute makes problem solving much harder.  Review sites are the worst venue for dispute resolution.  To get what you really need, set aside emotion and take a conciliatory approach.  Be prepared with helpful information such as original packaging, dates of calls with name of representative spoken to, photos, and suggestions to move both sides toward a solution.  You’ll be pleased by how effective this is, and how much better you’ll feel.  As Chicago Bears founder George Halas said, “Nobody who ever gave his best regretted it.”

Handshake

Energy Improvements

DIY ENERGY IMPROVEMENTS

Attic Fans and Ventilation  Mold causes serious health problems, so proper ventilation is critical.

Programmable Thermostat  The Department of Energy reports homeowners can reduce utility bills up to 20% by varying temperatures during off peak hours.

Appliances  Energy Star appliances lower the cost of operating these machines with timers set to off peak usage.  Discard the old “back-up” fridge that costs $50-150 per year to run.  If needed, replace it with an Energy Star fridge that costs half as much to run.  Note that a model with the freezer on top has less usable space and requires 25% more energy than a side-by-side.

Water Conservation  Pumping and heating water is costlier than most people realize.  Lower the expense and conserve this precious commodity by monitoring how it gets used.

Lights  The cost to run an incandescent bulb is far greater than the bulb itself.  Energy efficient bulbs cost more to buy but less to use, and are a simple upgrade that everyone can make.  Start by replacing the 60 and 100 watt bulbs that get the most use.

Landscape  A house with upgraded insulation and windows is a sealed shell.  Without these energy efficient systems, planting deciduous trees to provide shade from the west will help block infrared radiation in summer and permit warming in winter.

Hot Water  Install low-flow shower and bath fixtures.  Set water temperature to 120°F.  Insulate the lines to keep heater water from cooling too fast.  On-demand hot water circulating loops pump heated water faster, and is highly effective in conjunction with low-flow fixtures.  Activated when a tap is opened, it shuts off when hot water reaches the tap.

PRO ENERGY IMPROVEMENTS

Doors  Weather stripping an old door certainly helps, but for the most noticeable impact choose an Energy Star thermal door and enjoy the added curb appeal.

Windows  Add comfort and beauty to your house with energy efficient windows for instant gratification.

Insulation  The correct type and proper installation of insulation slows the rate of heat escaping in winter and penetrating the house in summer.  An attic with old insulation makes the house much more expensive to heat and cool.  Conventional stud walls are continuous cavities, and blown-in insulation saves so much energy that it doesn’t make sense not to have it.  An energy audit locates air leaks in unseen and inaccessible areas, and an energy expert knows the best type of material and installation method needed.

Furnace  Standing pilot units built before 1992 waste one-third of the fuel used.  Replacing it with a condensing unit rated for 90% efficiency per year lowers your fuel bill by 25%.  Maintain that efficiency with annual service.  A house with a boiler and hot water distributors such as baseboards and radiators benefits greatly from a condensing boiler with feedback controls or outdoor reset because the condensing unit can reduce circulating loop temperature.

Renewable Energy  The most efficient means for saving is to use nature’s free resources such as solar.

OC pink is green 2