Dear Edith: In today's market, is an initial offer of 10 to 20 percent below list price considered reasonable and acceptable? -- K.

Answer: There's no way I can judge what a particular seller would consider reasonable. Some homeowners are desperate for a quick sale and list below real market value. Others are emotionally attached to a house and don't care if they sell this year or next. Some hate bargaining and set a rock-bottom price to start with. A few stubbornly hold out for some unrealistic "true value."

In today's market, as always, value is determined by the buying public. Only one thing I can say for sure: If a place has been widely exposed on the market for a reasonable length of time and hasn't sold, buyers have voted it's not worth whatever is being asked.

Early Payoff Possible

Ms. Lank: Is it possible to pay off a 30-year mortgage in five to seven years? -- K.L.

Answer: Sure. Just send in extra money clearly marked "to be applied entirely to reducing the principal." If you could scrape together enough cash, you could pay off your mortgage next week.

In some states and with certain mortgages, you might owe a prepayment penalty during the early years of a loan. If your mortgage carried such a provision, it would be stated in the mortgage document.

Timeshare Report

Dear Ms. Lank: Twenty years ago we bought two timeshares and have enjoyed them. Now we are getting older and would just as soon sell. I did just what you said not to do, and paid some money up front but the company didn't sell them.

However, in response to an offer from a company promising to buy one, we went to see what they offered. The deal was they would take our timeshare if we paid them slightly more than $3,000. And of course, the timeshare had to be completely free of debt.

Needless to say, it was a learning experience. What do you think? -- J.H.

Answer: I think it was a learning experience. After they buy timeshares, they probably just let them go in a tax foreclosure sale.

Worth Renovations

Dear Mrs. Lank: I plan to move closer to my children within the next few years. My kitchen and one bathroom need to be renovated and some carpet needs replacing. Will I recuperate my investment when I sell or will I be better off just selling my house in the present state? -- E.W.

Answer: Local real estate agents can judge better than I can. Call several nearby brokerages and ask for free advice. You can be frank about not being ready to put your house on the market yet. I'll bet you'll find agents ready to give you the benefit of their expertise, and perhaps even come over to look at your place and make suggestions. Continued...