Wednesday, February 15, 2012

For Sale by Owner: How to Sell Your Own House Part II

In last week's installment about How to Sell Your Own House, I talked about how to get your house ready to go on the market. This section is all about how to actually put it on the market.

If you sign with a realtor and agree to pay them 3% of your house's selling price, they offer a full range of services, including photographing, marketing, holding open houses, connecting with other agents, and listing your house on the MLS. If you opt to sell your house yourself, you have to undertake all these components on your own. Here are my recommendations:
  • Get a professional photographer: Although professional photography is expensive, good photos will bring in the buyers. Fortunately, we are friends with a professional photographer, so he agreed to snap some shots for us in exchange for a tutorial about how to do Montessori in the home. Even if you have to pay for it, it's worth it. It's one of those upfront expenses that pays off later. You'll need high-quality photos for your MLS listing (research shows: the more photos, the better), your flyer, and your website.
  • Make high-quality signs: We made our signs (a for sale sign, as well as an open house sign) using templates from Build a Sign. We believed that professional, sturdy, customized signs would represent our home better than a sign from the hardware store with a handwritten phone number.



  • Design high-quality flyers: We looked at other realtors' flyers (from our initial meetings) to get inspiration for our flyers. We printed them in color. We opted not to leave these next to our sign outside because they're so expensive per copy. Instead, we posted the link to a website on our sign (for folks who wanted more information) and left the flyers inside on the dining room table, so people could take one with them during a showing.

  • Set up a website: We used Blogger to set up a website (that didn't look like a blog). We included a letter about all the things we love about living in our house.
  • Write compelling copy for your MLS listing: I looked at the listings for other houses in our neighborhood for inspiration (these were the same houses that I had the flyers for and the same houses that I toured during open houses).
  • Get your house listed on the MLS through a company, like whymls.com: If you want to sell your home in the most efficient way possible and reach the widest audience, you need to get it listed on the MLS. However, only realtors have access to the MLS.We used a website company to list our house for us. I don't necessary recommend the company we used, but I did appreciate the option for signing up for Centralized Showing Services. They mailed me a lockbox, so I could put the key on the front door and they would dole out the combination to any realtors who were interested in showing the house. This meant we would get a call a couple hours in advance, and we could completely evacuate the house. The folks at Young House Love did not go this route (they showed the house themselves), but I think this piece was key for us. Realtors are already wary of dealing with For Sale by Owners; I think it's important to make the process as professional and normal as possible.
  • Build relationships with realtors: We did not do this, but I'm convinced we would have sold our house more quickly if we had. In retrospect, I wish that we would have held a special open house just for agents. We would have lured them in with free food and drinks. This practice is common in the real estate world. Realtors like to do a preview before they bring by clients. I'm not sure if this would actually work for an FSBO seller, but it's worth a shot. Additionally, I wish we would have sent flyers to all the local agents and written them a note emphasizing that we were welcoming buyers' agents and were willing to pay the standard 3%. Many agents are reluctant to deal with FSBO sellers because they can be very unprofessional. I think this kind of proactive relationship-building would do a lot to prove that you are, in fact, professional and will be easy to deal with. You want to convince the realtors to bring people to your house.
  • Hold open houses: Many people in the real estate world say that open houses are not actually effective for selling homes (they say they are more effective for realtors to meet new clients). However, I enjoyed dressing up in professional clothes, putting out our open house sign (with balloons), and holding open houses (we did six of them). Although you may not get much bang for your buck, it only takes one buyer to sell a house. Matt and I attended open houses in order to figure out how to run one. We garnered tips from paying attention to what the real estate agents did or did not do.
  • Keep your house spotless: I do not envy those of you who are trying to sell a home in this market. It is extremely stressful to keep your house in show-ready condition. We did it, however, for the sake of trying to sell our house. I have many memories of getting a call from Centralized Showing System letting me know that a realtor wanted to come by in an hour. It would throw Henry in the Ergo on my back and run around the house like a madwoman vacuuming, fluffing pillows, spraying cleaner on the countertops and in the sinks to make the house smell good, checking inside the shower and major closets, moving the dog bed to the car (we really tried to present a de-cluttered home), etc. The more showings you have, the greater chance you have to sell your house (except it means more cleaning!).
  • Know your bottom line: At the FSBO seminar I went to, I learned that you should have a bottom line in your mind--your lowest price. The idea is that if you receive an offer at or above your bottom line, you should accept it. Matt and I received an offer that was slightly above our bottom line (but significantly below our asking price). We negotiated a couple thousand dollars up. Then we had to concede a couple thousand down after the inspection came back. In the end, we were $1,000 above our bottom line.
The rest of the process will vary from state to state. Texas makes real estate transactions very easy. The buyer's agent submits a contract, you negotiate the price via e-mail, you revise the contract by crossing out numbers and initialing next to it, the buyers schedule an inspection, you negotiate again, the buyers schedule an appraisal, the title company contacts you about your next steps, and you show up at the closing to sign papers (and at any step of the way, you can ask the buyer's agent, the title company, or the person who listed your house on the MLS for help). Seriously, the rest of the process was that easy.

As I type this post, I count my lucky stars that we were able to sell our house ourselves in a down economy. And, honestly, there were times throughout the process when I didn't think I was going to be able to write this post. I thought we were going to have to sign with an agent.

This post reminds me how many steps were involved in this process. It did take a lot of work. But as I've mentioned before, the hardest parts were things we would have had to do with an agent anyway.

As with any big, scary endeavor, I think the key is taking it one step at a time. I kept a list of everything that had to get done, prioritized the list (in case not everything got done), and scheduled each task on a particular day, so I could just take it one step at a time.

I've tried to share as much as I can think of, but please ask me clarifying questions if there's anything you want to know!

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Tuesday, February 14, 2012

Equal Distribution of Chores


I apologize for not having a more romantic topic on Valentine's Day, but according to this NYTimes article, equally distributing household responsibilities is romantic!

Matt and I try to divide our chores evenly. We divide the weekly and monthly chores into two different groups (#1 and #2) and then we alternate who does them each week/month. Then we have chores that are specific to us every week.

Now that we moved into a new house, it's time to make up new lists to reflect our new environment.

Weekly #1
  • Clean entire kitchen (counters, sinks, refrigerator, microwave, floor, windows)
  • Mop bathroom floors
  • Shake out rugs from kitchen and bathrooms
  • Wipe down dining room table, Henry's table, office desk, desk in front room
  • Get stains out of couch

Weekly #2

  • Clean both bathrooms (counters, sinks, toilets, tubs)
  • Vacuum whole house
  • Vacuum couch

Monthly #1

  • Dust bookshelves and desk in living room
  • Dust bookshelves in Henry's room and master bedroom
  • Wash rugs

Monthly #2

  • Wash duvet cover
  • Sweep front porch
  • Sweep back porch
  • Clean out bowl by front door
Daily/Weekly: Sara
  • Water plants
  • Empty the dishwasher
  • Do general laundry

Daily/Weekly: Matt

  • Take out trash
  • Take out compost
  • Put away dishes from dinner
  • Wash cloth diapers



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Monday, February 13, 2012

Henry's First Birthday

The little Henry Jones is coming up on the one-year mark (February 28). I've been planning his party over at 2000 Dollar Wedding. I'm trying not to fall into the trap of go-all-crazy-and-then-take-lots-of-pictures-for-the-whole-internet-to-ooh-and-ahh-at-and-pin. But I am seizing this milestone as an opportunity to flex my creativity in fun ways (I'm making my first pinata! and we're having a gourmet grilled-cheese bar!) and as a chance to create a fun party for Henry (we'll be in our backyard with balls and dogs!) and as a chance to bring together friends and family.

I love birthdays. The author of Living Passages for the Whole Family: Celebrating Rites of Passage from Birth to Adulthood says, "Birthdays can be sacred portals through which we remember the soulful significance of our lives and relationships." She goes on to explain, "My own childhood birthday memories aren't filled with a bounty of presents, though my family members were thoughtful gift-givers. My memories are filled with presence--the presence of a family, animated with gladness that I was a growing sprig on their family tree." And I love her argument for continuing to celebrate birthdays, even as we age: "As we age, birthdays may continue to be touchstones upon which we affirm our deepening human capacities...my own continue to thrill me with their potential for gratitude expressed, growth acknowledged, and visions ignited."

As far as other traditions go, we'll be hanging the birthday bunting. If Henry wasn't going to be in a Montessori school, we would do the Celebration of Life at home. I thought about getting the Waldorf birthday ring, but it seems really expensive to me, and I'm wondering if there's another way to represent the passage of time.

As far as gifts go, I tried to think of something that Henry would like and would be meaningful. I've already been planning to turn all of his old clothes from the first year of his life into a quilt, but that won't have much meaning for him now. So in addition to the quilt, I also decided to make him a board book. I found a company that does it for about $20. I was able to upload eight different photos and type the text. I kept the book as simple as possible because I want him to be able to use it as an early reading book when he's older. Henry is at an age where he loves "reading" his board books. He takes them out of the basket, flips through them, and makes low, drawn-out noises as he looks at each page. His two favorite books are Global Babies and Smile, I think because they are full of pictures of babies. My brain is guessing that he will love a book with his own pictures, as well as the pictures of friends and families.

When the book arrives, I'll share photos of it and let you know if I recommend the company or not.

What birthday traditions and rituals do you love?




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Thursday, February 9, 2012

For Sale by Owner: How to Sell Your Own House Part I


We did it, friends. Matt and I sold our house by ourselves without listing it with an agent, which saved us approximately $7,500.

I have to confess that I wasn't sure we were going to be able to pull it off. Our house was on the market for 3.5 months. At the three-month mark, we started connecting with a realtor. We came very close to signing with them. In fact, their forms were in my e-mail inbox; I just didn't have time to deal with them because I was scurrying to meet my book deadline. And then we received an offer.

Selling a house is hard, hard work, but it's hard whether you work with a realtor or not. The hardest parts of selling our house included:
  • Getting our house ready to go on the market (purging, decluttering, organizing, and cleaning)
  • Keeping our house in show-ready condition constantly (daily vacuuming, clearing off the bathroom sink, putting away Henry's changing table, etc.)

And we would have had to do those things even if we went with a realtor.

If you're on the cusp of wondering whether or not you should try to sell your home yourself, this series is for you. I'm going to do a couple posts about how to sell your own home (including things I wish we would have done but didn't). An important point to remember is that trying to sell your house yourself does not mean that you can't later list it with an agent. The only things you have to lose are the money you spend making signs, the small commission you pay to list your house on the MLS, and the extra time it might take.

Step One: Get Your House Ready to Go on the Market

Oh, boy. The pretty much joyless process of selling your house begins. Whether you list your house with an agent or not, you still need to get your house ready to go on the market, which entails the following:

  • Make a list of everything you want to fix before listing your house. You don't need to fix everything that's wrong (just be prepared to disclose the things that are wrong), but you should repair obvious things.
  • Once you make your list, reorder everything from most important to least important, since you might not be able to get to everything. Then start working on the projects or calling folks to get quotes. For us, we needed to fix things like a broken outlet on our front porch.
  • Go through every room and purge, purge, purge. I can't emphasize this enough. Even though Matt and I try to purge pretty regularly and keep an ongoing "Donations" box to collect stuff, we still had to get rid of a lot of unused junk.
  • Once you've pared down your stuff to things you actually use and need, then it's time to declutter and reorganize. For us, this looked like stripping down nearly every surface of our home to the bare minimum. In the bathroom, for example, we put away our toothbrushes, soap, and other personal belongings every single day, so that the counter looked clear, clean, and beautiful. In the kitchen, we stopped storing our cutting board on the counter. We moved a basket of Hoss's toys from the dining room to the attic (sorry, Hoss!). We stopped storing Henry's carseat in the house (which we had to do all summer long to keep it cool). In other words, we tried to make our home look like a model home, even though all six of us were still living in it day in and day out (Matt, me, Henry, bloodhound, plus two chickens in the backyard).
  • Go through your home and try to depersonalize it as much as possible. Apparently, it's hard for people to envision themselves in other people's homes if the owners leave out too much of themselves. To combat this problem, we replaced all of our framed photos with pictures cut out of magazines. We also stopped hanging things like bathrobes on a hook in our bedroom.
  • Make more space in your home by taking things out. You honestly might have to store large pieces of furniture elsewhere. The goal is to make your house feel as light, airy, and spacious as possible.
  • Once your home is purged, decluttered, organized, and de-personalized, it's time to clean it like your life depends on it. We did things like scrub the baseboard edge with a toothbrush (and by "we" I mean "Matt").
  • Focus on the curb appeal of your home, since it matters tremendously. We hired professional landscapers to spruce up our front yard. We also hired someone to pressure-wash our house and repaint the front of it.
  • Once you think your home is as beautiful as possible, ask an honest friend or neighbor to walk through and give you additional suggestions for how to make it even less cluttered and more organized and beautiful.

Once you have prepared your home as much as possible, I suggest that you meet with a realtor. When we met with a realtor, we honestly didn't know whether we were going to sign with her or sell it on our own. Here are the questions we asked:

  • How is the market doing right now in this neighborhood? Is it improving or worsening?
  • How many comparable listings are there? What does our competition look like?
  • What would be the best time to put our house on the market?
  • What changes would you recommend we make in order to help our house show as well as possible?
  • What do you think are the best features of our house?
  • What do you think would hold someone back from purchasing our home?
  • At what price would you recommend we list our house?
  • What percentage do you charge?
  • We're thinking about trying to sell our house ourselves at first. What are the benefits and drawbacks to selling it ourselves?

We only met with one realtor, but I would recommend meeting with at least three. That way, you get diverse perspectives and as much information as possible. Also, even if you decide to sell your house yourself, I don't think it's sneaky or dishonest to meet with realtors during the information-gathering stage. Just because you try to sell your house yourself doesn't mean that you won't ultimately sign with a realtor. You'll need to have these meetings anyway, so you might as well do it early in the process.

The three parts of selling a home are price, condition, and location. You absolutely have to get the price right. If you set your price too high, you will struggle to get showings. At the same time, there will likely be negotiation involved (both with the initial offer and then once the inspection report comes back), so try to set the price above your bottom line if possible.

At the end of the day, the market determines the price of your home. Nothing else. It doesn't matter how much you love your home or how beautiful it is to you. The only thing that matters is what someone else is willing to pay for it. The folks over at Young House Love described their process, which included setting the price too high initially.

Many realtors will do a free analysis of the comps in your area to recommend a listing price. If you talk to three different realtors, you should get a good sense of what price to start with. I also recommend that you scour the MLS website for your area and spend a Sunday going to open houses in the neighborhood. Open houses will help you get a sense of what's available in your area, will give you ideas about how to host your own open house, and will help you set a fair and reasonable price tag for your house.

After you meet with the realtors, spend some time implementing any suggestions they have for staging your home even better. For example, the realtor we met with recommended that we replace the plastic panes on our front door with glass and repaint the whole door.

This first part is really time-consuming and difficult (and potentially expensive) if you do it right. However, investing upfront will pay off later down the line. During this stage, I recommend that you learn as much as possible about how to sell your own home. I read For Sale by Owner, as well as House Selling for Dummies. Also, I connected with someone in my neighborhood who had sold her own home (way more informative than the books!) and attended a free seminar hosted by For Sale by Owner (also very helpful, although this book looks even better).

It's true that it takes extra legwork to sell it yourself, but for a stay-at-home mom, the legwork was worth $7,500.

Stay tuned for Part II next week!



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Wednesday, February 8, 2012

Chocolate Fondue Recipe

We had friends over for dinner at our new house in Austin last Friday night (it's part of my "Build Community Crusade"). Our guests requested gluten- and cheese-free options, so I cooked:

For dessert, I made chocolate fondue with strawberries and pineapples. I actually botched the fondue because I didn't follow my own recipe, but I wanted to write this post anyway. I've made this recipe in this past, and it's delicious. Plus, I discovered my new favorite chocolate chips at Central Market: Guittard Semi-Sweet. I may or may not have snacked on several handfuls before making the fondue.

I found this recipe on the box of my fondue pot, which has traveled with me from house to house, city to city, for the past 11 years. I don't make fondue all that often, but when I do, I'm sure glad to have my trusty fondue pot.

Ingredients:

  • 1/4 c milk
  • 6 oz. butterscotch chips
  • 6 oz. semi-sweet chocolate chips
  • 1 can (14 oz.) sweetened condensed milk
  • 1 t vanilla

Directions:

  • Combine milk and chips in fondue bowl.
  • Set temperature to low.
  • Stir until chips are melted.
  • Add sweetened condensed milk and vanilla.
  • Stir to combine.
  • Serve with pieces of angel food, sponge, or pound cake, fresh fruit, pretzels, etc.



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Tuesday, February 7, 2012

Montessori Home Tour: Living Room




When Matt and I were unpacking and moving into our new home in Austin, we tried to keep Montessori principles and ideas at the forefront of our minds as much as possible. I went back to this post about how to set up each area of the home. Of course we had to make adjustments based on the space we have and the set-up of our new rental house.

The living room is the hub of our home. We don't need a separate "play room" for Henry because we spend most of our time in the living room, and he wants to be where we are. We intentionally devoted all of the low shelves to Henry's toys, so we can create "an environment of yes's." We don't want to waste a lot of energy saying "no" all the time. As a side note, Henry used to listen to us when we said no. Now he doesn't, which means we have to exert even more energy removing him from the forbidden object (he loves to stuff fistfuls of Hoss's dog food in his mouth). We try to be as consistent as possible. Matt and I say no to the same things, and if he doesn't listen, we remove him from the object and explain why he can't have/touch it.


We intentionally turned this IKEA bookshelf on its side to create as much space as possible for Henry. In Montessori environments, we avoid big baskets full of toys. Instead, we create a distinct spot for every object. Having a separate spot for everything fosters order. Order in the physical environment is very important because children are absorbing their environment and it impacts the organization and development of their brain. Also, it usually reduces the number of toys in the environment. The "absorbent mind" takes everything in, so it's important not to provide too much stimulation.

Henry's toys include this puzzle and this puzzle to encourage the development of his hands (although something more simple would be more aligned with Montessori). He also has this drum, these wooden toys, and a basket of three balls (including a puzzle ball). We devote one shelf to a food object. Ideally, we would have a separate shelf in the kitchen for Henry to explore new fruits and vegetables, but we don't have the space. Instead, we just set aside a spot in the living room, since this bookshelf is right next to the kitchen. This week is had a pineapple, but I just cut it up to make fondue, so I quickly put in some tangerines.


This shelf includes this alligator, a toy from Pottery Barn, and this xylophone.


We decided to put our coffee table in the little front room and instead just use our ottoman from IKEA with a DIY slipcover that used to be in Henry's room.

His weaning table and chairs are in the living room, again since we don't have room in the kitchen. I placed them as close to the kitchen as possible, while intentionally placing it in a well-lit and beautiful spot by the window overlooking the park. My plan is to get one of those plastic mats (that go under desk chairs) at the office supply store, so clean-up will be a snap.


Henry's wooden walker with blocks (similar to these) sits in the corner, ready for use at any time (although I wish we would have bought this wagon instead; it's not as pretty, but I think it's more functional in the long-term since kids can push each other in it).

And that's it! The space is intentionally calm, orderly, de-cluttered, and organized. Once we de-cluttered and organized our last house before putting it on the market, I vowed to maintain a more minimalist aesthetic for future homes (of course it's even easier now that we live in a 3/2 with a garage!).



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Monday, February 6, 2012

Reflection & Rejuvenation: February



Long time, no talk! I apologize for my unscheduled break last week. We found out on the previous Tuesday that our closing was actually going to happen on Thursday. Although Thursday, 1/26 was on our original contract, we assumed it wasn't going to be that early, since the title company was still working on financing stuff with the buyers.

So Tuesday to Thursday isn't much time to pack. Although I did attempt to follow my moving project plan as much as possible, I didn't start the packing part until we knew we were officially moving. Two days to pack up your entire life (2.5 people + bloodhound + 2 chickens) is a bit stressful. On top of the sheer physical demands of packing and loading boxes, there was also the emotional stress of leaving my beloved city (even though I want to move to Austin to make my dreams happen). Matt and I tend to fight more when we're under stress, so we found ourselves arguing about packing (I thought we should stay up late packing every night; he wanted to go to bed and "just pack the boxes when we're loading the truck.") and fighting about asking for help (I wanted to throw a little party and invite lots of good friends to help carry boxes; Matt thinks it's rude to ask other people to help you move). We stayed up until 3:30am getting the truck packed (after the battery died and we had to unpack almost the entire truck to find our checkbook for the closing).

Our closing went smoothly, and the buyers are a delightful couple. We are so, so fortunate to have sold our house in this economy (and at a price significantly higher than we paid for it 3.5 years ago, thanks to the desirability of our neighborhood). After the closing, we trekked to Austin. Matt drove the truck, while I schleped the baby and the chickens (in a box) in my car. We arrived in Austin around 10pm and started unloading the truck.

And I have to say that our first week in Austin was hard. In some ways, it was awesome. I went to the grocery store on our first day here, and I ran into someone I know. The next day, I took Henry to his first birthday party. On Sunday I went to a cohousing potluck and met up with an awesome blog reader and her partner. On Monday, I met Kelly for lunch and a walk around the lake. On Tuesday, I met this cool lady at the park behind our house, and met a woman for dinner who is interested in Montessori For All. On Thursday I had a playdate with someone I met for the first time through a friend. On Friday we had a playdate with someone else and we hosted a dinner party.

But there was also the sinking realization that my life was better in Houston. I thought that Henry was going to start childcare right away, so I thought I would have time for work meetings. It turns out that the teacher isn't ready to take him yet, so I'm left feeling trapped. We moved here so I could start a school, but I don't have any time to get out into the community. I also thought that Matt would work from home, but he's been choosing to work out of the Austin office instead.

As I type all of this, I am overwhelmed with forgiveness. I want to say to myself, "Of course you are feeling this way! Look at all you've been through in such a short amount of time! Transitions are always hard. Things will look up soon."

But I'm also pushing myself to feel overwhelming gratitude for everything I have in my life. All the really important things are right here by my side.

And then I'm also generating next steps. I've connected with three different babysitters who will be able to give me the time that I need to meet with people in the community to talk about my idea for a school. It will be expensive, but it's what we have to do, so I can continue to be a patient and present mother when I'm with Henry. As I write that sentence, I worry that I'm going to regret my eagerness to go back to work when I'm old and gray. I don't want to think to myself, "Why was I in such a hurry? Henry was young for such a short time."

It's a delicate balance, for sure. I want to savor this time with Henry, prioritize family, and create space for connection, but I also want to feel like a complete, passionate person.

So, February, you are upon us. Let me go back and see how I did with my January goals (I'm afraid to look).

  • Select at least three people for the Montessori For All Board of Directors. I selected two.
  • Follow our project plan for getting our house ready for our move to Austin. I followed it for purging and organizing, which was good.
  • Find a good rental house in Austin. Yes! It's right on a park.
  • Get unpacked and settled in Austin fast. We're getting close. We already hosted a dinner party, so I'm feeling good.
  • Read Strengths Based Leadership. Yep.
  • Read Raising Cain: Protecting the Emotional Life of Boys. I borrowed the documentary from the library so Matt and I could watch it together.
  • Help Henry build his iron supplies with a green smoothie every day (he's slightly anemic). Yes.
  • Publish consistently on my two blogs. Nope. I couldn't keep up when we didn't have internet connection and we were busy, busy, busy.
  • Finish my sections for the Montessori book I'm working on with Kylie. No! This project has been pushed to the back burner. Sorry, Kylie! Hopefully I will get to it this month.
  • Participate daily in the Purposeful Conception e-course. Yep, I've been participating a lot.
  • Read Love Medicine. I started it but it was too depressing for me.
  • Run at least three times per week. I only ran two times this month. But I'm still really proud of myself because I didn't run for almost two years. When I picked it up again, I was able to run three miles without stopping.
  • Do one sun salutation before bed every night. No. Now that our new house has carpet, this is going to be even easier. I'm realizing that I never responded to the yoga teacher's comment about picking a more relaxing posture. I Boldhear you, but I love sun salutations! They stretch me out really well, and the breathing is so soothing to me.
  • Send birthday cards. Big fail.
  • Plan my birthday party. Tried to but the Portland idea got nixed.

Oh, February, you are a short month, and I'm already late getting to these goals. I need to be very careful with myself this month.

  • Create a project plan for the year for Montessori For All
  • Host Henry's first birthday party
  • Get an Austin library card
  • Change everything to our new address
  • Do one sun salutation before bed every night
  • Practice my mantra "let it go"
  • Update our scrapbook
  • Seek out joy in my new city



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