Many purchases that you make come with the option to buy a warranty in the event that the product is damaged, such as small appliances and electronics. This helps cover the cost of repair should they break down so you’re not paying out of pocket.

Warranties also apply to home purchases and offer buyers some peace of mind knowing that the major components and systems of the property are covered in case something goes wrong after you take possession. While they’re certainly not mandatory to buy, home warranties can help alleviate any concerns that you might have about anything malfunctioning in the home, and will be of financial assistance should anything go awry.

That said, it’s important to understand exactly what is covered under home warranties before you buy into one, as not necessarily everything under your roof will be covered.

The specific coverage offered will depend on the plan that you choose and the items you want to be covered, as all home warranty plans differ. The warranty company that holds your policy will replace or make any necessary repairs on any covered item that breaks down as a result of normal wear and tear according to the plan’s terms.

It’s critical for homeowners to fully understand precisely what is included in the home warranty in order to avoid the disappointment of a rejected claim.

That said, certain items are typically included in basic coverage, including the following:

• Electrical system components

• Plumbing systems

• Ovens and stovetops

• Dishwashers

• Built-in microwaves

• Water heaters

• Exhaust fans

• Sump pumps

Of course, homeowners may opt to upgrade their coverage in order to have more items included in their home warranties, such as:

• Air conditioner units

• Refrigerators

• Washers and dryers

• Central vacuums

• Pools

• Hot tubs

• Garage door openers

• Septic systems

Have Your Home and its Components Inspected Before Taking Out a Policy

If there’s something wrong with any one of the components in your home that you want covered, it’s possible that the warranty company you’re with will refuse to approve your claim. They’re covered under what’s known as a “pre-existing condition” clause that basically states that the company will not cover any component that already had an underlying condition.

In order to avoid the frustration of having your claim denied, it’s advisable to have your home and its components inspected first if your warranty does not cover pre-existing conditions.

What Constitutes a Denied Claim?

A pre-existing condition isn’t the only thing that could result in a rejected claim. Other issues that could leave you empty-handed include inadequate maintenance, improper installation, excessive and unnecessary wear and tear, and violations of building codes. Make sure none of these apply to you before you attempt to file a claim for a malfunctioning component.

Isn’t a Home Warranty the Same as Homeowner’s Insurance?

After reading about what home warranties are, you might be wondering how they differ from homeowner’s insurance plans. Granted, they do sound somewhat similar, but they’re certainly not the same thing. 

Home warranties are designed to protect the systems and appliances of homes from any malfunctioning that is caused by normal wear and tear. On the other hand, homeowner’s insurance covers damages and loss as a result of issues out of your control, such as fires, natural disasters, or theft. They don’t cover anything that simply breaks down after normal use. That’s where a home warranty enters the picture.

The Bottom Line

It’s always important to look over your home warranty policy in great detail to understand exactly what items in your home will be covered. If you want more coverage for additional items that are not part of your basic policy, you’ll need to pay extra for these to be included. Even if you currently have a home warranty that you’ve been paying for every year, you should still look it over in the event that your coverage changes.

Flipping through home design magazines and catching a glimpse of some extravagant bathrooms can easily get you drooling over the possibilities for your own bathroom redesign. But with bathroom renovations easily tipping into the thousands, it can be tricky to revamp this important little space while sticking to your budget.

Luckily, there are plenty of ways to make your bathroom look posh without the hefty price tag.

1. Install Tiles Diagonally

While a little more complicated than laying them in a square fashion, tiles that are applied diagonally look a little fancier. Not only that, this type of tile arrangement can also make a very small bathroom appear larger than it really is. Just be sure to use the appropriate tile size in relation to the square footage of the space that you’re working with.

2. Add Colorful Glass Tiles

There are tons of different types of tile out there for the choosing, but one you may want to focus on to primp up your bathroom is glass. You can use colored glass tile in all sorts of different ways to create a highly customized, artful look. With all the different colors that glass tiles come in, you can easily create a unique look that will be sure to appeal to the visual senses.

3. Line your Walls With Wallpaper

Wallpaper has made a splash on the home design scene over the past few years, offering homeowners a host of different patterns to choose from. Adding wallpaper to bathrooms, in particular, has become a popular trend, as the right pattern and color combination can truly being this understated space to life.

4. Swap Out Your Clear Shower Curtain

Sliding glass shower doors are the ultimate in opulence, but if you don’t have the budget for them, the right shower curtain just might be enough to boost the luxury factor in your bathroom. Get rid of those typical plastic shower curtains in favor of silk or silklike curtains that can infuse an element of affluence in the space. You can even use curtains that are made for bedrooms, just as long as you add a fabric shower liner underneath to ward off the wetness.

5. Use Posh Accessories

Accessories can never be underestimated, no matter what room you’re using them in. You can easily create a luxe look by sprinkling your bathroom with opulent accessories such as candles, perfume bottles, soap dispensers, and others to make your bathroom look fit for royalty.

6. Hang an Exciting Mirror

Nothing brightens up a space more than the reflective properties of a mirror. To give your bathroom a luxurious boost, hang an oversized mirror in an interesting frame that takes up the majority of the space on the wall that it’s hanging on. Install a couple of wall sconces on either side and you’ll really have something that will stand out and enhance the richness of the room.

7. Decorate in All White

If you’ve looked through home design magazines or stayed at 5-star hotels, you may have noticed that the more expensive-looking spaces are those that are spa-inspired. These bathrooms tend to have a monochromatic look that exudes feelings of luxury. Typically, an all-white bathroom is used to create an elegant space. From the wall color, to the vanity, to the linens, all white in the bathroom provides the feeling of richness despite its incredible simplicity.

8. Add Extravagant Lighting

Don’t underestimate the power of good lighting. One of the easiest and fastest ways to introduce extravagance into the bathroom is to install gorgeous light fixtures, particularly a chandelier. This type of light fixture can make a dramatic impact in the room without occupying any space, which is important when dealing with small areas like the bathroom.

9. Use Luxurious Towels

Linens play a huge role in bathrooms, so don’t cheap out on them if you’re going for a luxurious look in this space. Get yourself some towels made of plush fabrics that are adorned with extravagant details.

10. Add Painted Wainscoting

The addition of wainscoting on the walls in your bathroom can instantly give the space an enhanced look. For this project, you might need to enlist the help of a contractor to make sure the job is done right. Once it’s up, paint the wainscoting in a neutral color, such as white, grey, or steel blue to completely change the look and feel of your bathroom.

The Bottom Line

Who says you can’t have luxury in your bathroom without spending a pretty penny? With these crafty ideas, you can take your bathroom from outdated to opulent in no time, without making a dent in your wallet.

Plenty of factors impact the value of a property. From its location, to its size, and everything in between, a home’s value is determined by a multitude of components, and bank appraisers will come up with this value according to current market conditions before a sale is made.

Sellers will want to know how much to list their properties for, and buyers will want to know what a fair offer price would be on a home they have their eye on.

But how exactly do banks determine the value of a property? Many times, a “BPO” is ordered for this purpose.

What is a BPO?

A BPO stands for “Broker Price Opinion,” which is a report that a real estate broker prepares for banks that provides their opinion of the value of a property in a given market.

After the housing crisis of 2008 when millions of foreclosures and short sales occurred, BPOs became very important and highly used in the industry to establish approved short sale prices and minimum bids for foreclosure auctions. However,  many different companies order BPOs as well in order to come up with a loan-to-value ratio for a refinance or loan modifications.

Why Do Banks Request BPOs?

Banks request BPOs in order to have a property value estimated for a variety of reasons, most importantly to determine how much equity they may have in a specific property. Combined with Automated Valuation Models (AVM) that can be used to determine a rough estimate of a property value, BPOs can give banks a sufficient estimate of how much a certain property is worth.

Two of the more common reasons for BPO requests is to obtain the value of a foreclosure or short sale. Determining the value of a property can help a bank to steer clear of lower values that can sometimes be placed on short sales.

That said, the value obtained from a BPO isn’t taken as actual market value. Instead, banks use the value provided by the BPO to gauge how much they can expect to get back after the short sale or foreclosure process has been completed.

What’s the Difference Between a BPO and an Appraisal?

The process of a BPO is similar to a typical real estate appraisal. The real estate broker who is preparing the BPO will compare at least three similar properties that have sold over the recent past to the subject property. The value is then adjusted based on any differences between them.

However, the two are different in that an appraisal is performed by a licensed appraiser while a BPO can be prepared by any real estate agent, include newbies. BPOs are also typically cheaper than appraisals because they are usually much less complicated than a typical appraisal, the latter of which involves a full interior inspection, square footage measurements, and floor plan sketches.

What Criteria Do BPOs Use to Determine the Value of a Home?

The comparable properties that are part of the BPO must meet a number of criteria when comparing them to the subject property.

• Date sold – Ideally, comparables should have been sold no more than 6 months earlier.

• Distance – All comparable properties should be located within 1 mile of the subject property.

• Property type – Only the same style and type of homes should be compared to the subject property. For instance, if the subject property is a two-story detached home, then the comps should be the same.

• Age – The age of the comps and the subject property should be within 10 years of each other. However, if the home is over 50 years old, this range can expand somewhat.

• Size – The square footage of the comparables should be no more than 2% larger or smaller than the subject property.

• Number of bedrooms and bathrooms – These figures should be the same between the subject property and the comparables.

Once the real estate agent has collected the appropriate comparables based on the above criteria, the necessary adjustments are made against the subject property. These adjustments are made to the comps to identify whether they are inferior or superior to the subject property.

Any negative features of the comps compared to the subject property would result in a lowered price adjustment, while positive features would result in a raised price adjustment. Once all adjustments are made, a new price will be arrived at that essentially dictates what the subject property would be worth in the current market.

The Bottom Line

While BPOs certainly look like appraisals, they’re not nearly as in-depth. As such, they are usually not taken as true market value of a subject property and are instead used by banks to get an idea of what it might be worth, particularly short sale and foreclosure properties. This gives banks some insight about whether or not they would walk away with any monies from the proceeds of a sale, or if they would be taking a loss.

Today’s modern kitchen backsplash is no longer limited to the traditional types of materials. These days, the options for backsplashes are seemingly endless and provide a plethora of choices for homeowners to create a truly unique kitchen space.

Here are 10 unique types of materials that are increasingly being used to create stunning backsplashes in kitchens across the country.

1. Wood

Wood doesn’t just have to be reserved for flooring. These days, homeowners and interior designers are getting crafty with their backsplashes and are incorporating this natural material in this part of the kitchen. Wood is not only attractive, it’s also able to warm up a kitchen that has man-made materials, such as stainless steel on the appliances or ceramic tile on the floors.

2. Wallpaper

Considering the seemingly endless number of designs and colors that wallpaper offers, you can create a truly unique backsplash by adding a roll to this small but critical space in the kitchen.

3. Mirrors

A great way to brighten up the kitchen is to add some reflective mirrors in the space, especially if the kitchen is on the small side. Mirrors not only brighten up the area, but they also make a room feel even bigger than it really is.

4. Stamped Concrete

Concrete is not a material that is necessarily reserved for outdoor spaces. Savvy homeowners are introducing it to their interiors as well, including their kitchen backsplashes. By embossing the concrete to include some patterning, this material can create an exclusive backsplash you won’t find in any other home.

5. Tin Sheets

Tin sheets can come in all sorts of patterns, and they make a great material for backsplashes to create visual interest and make this area pop.

6. Stainless Steel

This material has long been a favorite in kitchens when it comes to appliances, but stainless steel is now being looked at for backsplash surfaces as well. Perhaps it might be overkill to add a stainless steel backsplash if the appliances are already covered in the same material, but contrasting it with white or black appliances and dark cabinets can make for a very sharp kitchen space.

7. Finished Bronze

Bronze hasn’t played a major role in the world of interior design over the recent past, but it’s steadily making some strides. This material can be used for a variety of applications in the home, including kitchen backsplashes, especially when embossed with a decorative pattern.

8. Chalkboard

Nothing lets you change up the look of your backsplash on a daily basis like chalkboard. Whether you want to post a recipe to easily follow, write your grocery list for this week, or simply draw on it for fun, chalkboard lets you do just that. As soon as you’re done with what’s up there, just wipe it down and you’ve got a clean canvas to start from scratch on.

9. River Stone

An increasing number of shower floors have been infused with river stones, but this type of unique and attractive idea can be applied to other surfaces in the home, including the kitchen backsplash. Not only do river stones that are applied in a decorative manner look great, they’re easy to install too.

10. Brick

Another material that can be used indoors is brick. In fact, exposed brick inside the home is thought to be very modern and attractive, so why not carry on this look on kitchen backsplashes?

The Bottom Line

The sky’s the limit in terms of the types of materials that you can use for your kitchen’s backsplash. One thing’s for sure: a beautifully designed backsplash can provide an instant update in the look of a kitchen. Carefully choosing the right type of material to complement your kitchen cabinets and countertops can easily take the space from drab to fab in no time.