The Clear Choice

With higher than expected prices for our 26 replacement windows, we had to sharpen our pencil and modify our expectations if we wanted to stay within our $6,000 window allotment.

After reevaluating our needs, we decided to install a handful of the windows ourselves - 8 total - including four basement, three attic, and one bath window fitted inside the shower/tub area.   We found tilting double pane hopper windows at Lowes for $68/window (4 basement windows at $272), vinyl double pane single hung windows for $92/window (3 attic windows at $276) and one frameless replacement glass block window (vented) for $150 (main bath).  Our total Lowes investment = $698. 

Next, I contacted the two suppliers who followed up on our initial consultation and asked if either could rework their original Proposal.   Thermo Twin rebid the job at $7,800, but in the end, Window World held to the most competitive pricing for 18 white windows at $3600.  We paid an additional $1430 for custom premium white exterior trim (22 windows, excludes basement) for a grand total of $5728.  Window World also bumped up its install timeframe from 6 weeks to 4 weeks.

Tax Credits and Return on Investment

According to the U.S. Department of Energy, heat loss through windows can account for anywhere from 10% to 25% of a homeowners’ heating bill.  Before you replace your home’s windows, it’s worth looking into the 2011 Energy Tax Credit.   The new energy-efficient tax credit is only a 10% credit, up to a maximum of $500 (the prior cap had been up to $1500, but that expired on December 31, 2010).  To ensure that the window you are ordering qualifies, check for the NFRC label or check the NFRC’s directory of certified products (many suppliers post rating information on their website).

Even if you don’t qualify for the Tax Credit, a window upgrade is well worth the investment.  According to Remodeling Magazine (2011), new mid-range replacement vinyl windows pay back 69.5% of the estimated $11,729 average price tag. 

Other quick fixes that give a great return on your investment: replacing an entry door with a midlevel 20-gauge steel door.  That pays back 73% of the estimated $1,238 average price tag and greatly improves curb appeal.   

A midrange garage door replacement may not be high on your wish lists; it's one of those jobs that you do because it's needed. But it adds curb appeal and function, and it pays back 71.9%, on average, of the $1,512 average cost.

A high-end garage door replacement recoups almost as much: 71.1% of the $2,994 average cost.

A new wood deck earns back 70.1%, on average, of its $10,350 cost at resale in 2011.

So, What Now?

Now that we’re the official new owners of 711 Ohio – it’s time to answer the question, “so, what now?”
There’s much to consider when you take on a huge renovation project that includes gutting a 2-story interior, replacing every window, replacing and redesigning the kitchen and bath, a partial basement renovation (and possibly a half bath addition), rewiring, and of course, since the home was purchased “as is” (and sat vacant for more than a year), bracing for the unexpected.

Step One: The Renovation Budget & Timeline

We designed our Renovation Budget to include Projections, Estimates and Actual Expenses. Categories include big ticket items like a complete kitchen install with appliances, to smaller fixes like lighting, paint and permits. Our Budget is $25,000 for the entire project (excluding landscaping and a new driveway), but unfortunately our Projections came in $3,200 over Budget. We’re already in the red and we haven’t even unlocked the front door yet. With a four-month Timeline, we have no time to waste on this Renovation Reality.

Step Two: Estimates

We decided to start with Estimates for our biggest Projected Expense: replacement windows, which we Projected to be $6,000.   The only thing I knew for sure was that I wanted beige widows to give this overhaul a more classic feel.  Having never worked with a window replacement company, I began online with a Google search for “replacement windows in Erie, PA.” About 15 Erie and regionally-based dealers gave me a good starting point. I scheduled a consultation with the top four companies I’m most familiar with: Deniziak Windows & Siding, Window World, Inc., Seaway Manufacturing and Thermo-Twin Windows. The first three respectively scheduled an in-home consultation, while the fourth priced the job by only viewing the property from the outside. Interesting twist, but I didn’t argue since each consult, on average, took just over an hour.

Step Three: Dissecting the Bids

Deniziak Siding and Windows was my first appointment. My sales guy Myles was pleasant and concise. While he counted every window, he took no measurements and did not advise me of the potential dangers of lead-based paint and how that might affect our window removal process. (Federal law requires contractors to be certified and follow specific practices in the removal of painted surfaces in all homes built prior to 1978 ~ this home is circa 1939). Myles did offer me a Military Discount, but was quick to say he could approve the $1500 price reduction even if no one in my family qualifies. So, points scored for offering a Military incentive but major points lost for cheating the system. For the record, we did legitimately qualify - my husband is an Army Veteran serving in both Operation Desert Shield and Desert Storm. Myles presented me with only one sheet of information on his brand of replacement window (manufactured in Pittsburgh) and bid our job with a Thermal Industry 585 DH brand window, double-paned with double low E and argon enhanced insulation. The Proposal included an aluminum trim cap on each window’s exterior and the option for beige-colored windows (interior/exterior) for an added fee. Install Timeline: 4 to 6 weeks.

Deniziak Price                       
26 white windows, installed               $ 8,376
Addt’l fee for beige                              $     838
                                                                 $ 9, 214

The following day I met with Jim from Window World, Inc.  My consultation was concise and informative. Jim left me with several Window World catalogs and brochures and began our consult with an actual lead paint test on a kitchen window. He gave a brief demonstration of the security features and cleaning capabilities of the Window World 4000 double hung window, and explained that his company offers stock pricing on this line of window. At $189 per window plus shipping and handling (totaling $200/window), window measurements weren’t necessary. Window Word adds $35/window for the beige-colored (interior/exterior) option. Install Timeline: 6 weeks

Window World Price                       
26 white windows, installed                     $ 5,200                                                                       
ComfortWorld Solarzone Glass Option $ 2,054
Custom Exterior Trim                                 $ 1,690
Addt’l fee for beige                                     $    910
                                                           $ 9,854

My third consultation with Seaway Manufacturing came with all the bells and whistles of an iPad product demonstration and enough literature to wipe out a small forest. (Buyer Beware: it also came with an eight page Seaway customer list arranged by zip code, so if you purchase from Seaway - your name and address is handed out to every prospect). My sales guy Al was informative, but his consult was the most consuming taking up nearly two hours of my time. Most of Al’s time was spent measuring windows and testing a kitchen window and sash for lead paint. His product demonstration included a brief lesson on his product's screens (according to Al, a high-quality screen will not bend and screen quality is directly related to window quality). Seaway windows are manufactured in Erie and installed by Seaway employees (no subcontractors). Al bid our job at 22 two-coats Low E & Argon Energy Star Qualified double hung windows, but, unfortunately, Al missed four windows in his tour through the home (we have 26 windows total). Seaway charges an additional fee should the existing windows contain lead paint. The Proposal included an aluminum trim cap with a brick bend reveal on each window’s exterior and a beige-colored window (interior/exterior) for an added fee. Install Timeline: early January 2012.

Seaway Manufacturing Price
22 white windows, installed   $ 10,764
Lead removal fee                      $   1,296 ($65/window)
Addt’l fee for beige                  $    4,400 ($200/window)
                                                     $ 16,460

*Note: this Proposal does not quote the entire job, which is 26 windows total

Since I didn’t personally meet with a representative from Thermo-Twin Windows, I can offer no insight into their sales presentation.  Thermo-Twin’s Emailed Proposal included all labor and material to remove & haul away 26 windows in compliance with the EPA Lead Renovation Regulations. Pricing included 23 (interior and basement) Series 600 white vinyl single hung window (the top sash only slides up and down and does not pull in, which makes cleaning more difficult) with ½ screens and 3 Series 600 white vinyl hoppers with full screens (attic). All window openings would be wrapped with fiberglass insulation, capped on the exterior on all wooden areas and caulked with high-grade 100% silicone caulking.  Although I asked for beige windows, pricing for that option was not included.  Install Timeline:  Not provided.

Thermo Twin Price
26 white windows, installed               $12,000

Step Four: Sorting Out the Bids

To help sort out the Proposals, I ranked each company in terms of what made the most sense for this project:  Price; Quality & Value; Delivery, Install & Warranty; Personalized Service & Belief in Product.  Since we’ll likely flip or rent the property, price reigned supreme. In terms of Quality & Value, each company offered welded windows (higher quality than glued and screwed), and each offered a lifetime window replacement warranty with a similar install timeline, so I called it a wash.   Only Thermo Twin did not include an additional price for beige windows and chose single hung windows rather than double.

I went with my gut to rate Personal Service & Belief in Product and ranked each supplier based on my salesperson’s follow up method. Jim from Window World followed up with me in person at my office one week after our initial consultation. Myles from Deniziak called me four days after we met. I told him I had several questions and I would call him back later that afternoon; we didn’t connect and he never called me back.  Al from Seaway never called me once.  Paul from Thermo-Twin called immediately following his submitted Proposal and again a day later with an offer to resubmit his original proposal based on a few minor changes.

As expected, choosing the best supplier to fit our needs proved a tough decision especially since the lowest Proposal came in $3,000+ over our Projection.   After a weekend to mull it over, John and I made our decision.  We know what we’re going to do (I’ll let you know next time) but for now, ask yourself – who would you choose?

711 Ohio ~ Introduction & The Bidding War

My love affair with 711 Ohio, located smack dab in the backyard of my workplace, started over a year ago. The home sat vacant for what seemed like forever and the ominous sign on the front door warning any would-be intruder to simply “stay out” made me feel as though bad things might have happened in there. Turns out, the owner had walked away from the mortgage on this home and another on Kahkawa Boulevard four streets over. I’d be lying if I said I cared much for that warning and on more than one occasion my faithful 4-legged friend and I ventured into the front and backyard to look for any sign of human activity (this also meant that Daisy and I had peeked into every window that I was tall enough to reach). For about a year and a half the home sat still until the first week of October 2011 when a large green dumpster stopped our afternoon walk short. Fearing the worst, I assumed the property was purchased at Sheriff Sale although I was pretty sure my research was correct when it showed that sale was cancelled in mid September. Four days later the dumpster was gone and a For Sale sign took up most of the tiny front yard. Our week-long Bidding War for 711 Ohio had officially begun.

Placing a bid on a foreclosed property is a daunting task. If you’ve never done it, you simply don’t know what to expect other than to expect the unexpected.

Climbing The Steps
Step One: Contact our Realtor and find out the sale price. This property was listed at $49,900 and, in my mind, a steal for a 3 bedroom brick home located in the City of Erie’s Frontier area. Step Two: get my husband’s blessing and Step Three: get inside as quickly as possible to see exactly what we might be dealing with. Step Three proved to be challenging because my husband John and I don’t live in the same state, but fortunately, he was scheduled to return home late Thursday night. With all our ducks in a row – enough money in the bank to make a cash purchase and a open line of credit for improvements – we were ready to see the home and place our bid.

Before we could even get inside, a call to our Realtor (who is also my mother) brought bad news. On Thursday, Day One of the listing, the bank apparently accepted an opening bid of $48,000 and closed down the bidding process in less than 12 hours! That seemed to end a host of possibilities on a project that had once seemed totally possible.

Day Two: Early Friday morning, our luck changed and a call from our Realtor brought great news. The potential buyers had an apparent change of heart and backed out of the deal. Bids on lucky 711 were open once again and our bidding challenge ignighted. With no time to waste, John and I made a quick property inspection and agreed on an opening bid of $48,000. The bank was accepting bids online through a secure website accessible only through a Real Estate agency. Our bid was registered at 12-noon on Friday, the Friday before Columbus Day. With no indication of the bank’s decision date, we didn’t find out until the following Tuesday that the bank was considering four bids, and, no, they wouldn’t disclose each bid amount. John and I decided to rebid at $55,100 – the additional $100 as a “Price Is Right” strategy to slightly outbid any potentially close competitor. Note: in a foreclosure sale, the bank will literally accept the highest bid and cash is king. Two days later we were notified we outbid our closest bidder by $2,100.

The Closing
After a rather interesting sale, the closing was uneventful and that was fine by us. The Closing was 10 days after our bid was accepted and took about 20 minutes. Note: unlike a Sherrif sale, when purchasing a foreclosure, the bank wipes away all liens or back taxes so, although a title search is still necessary prior to closing, the potential danger doesn’t exist.