Archives for April 2021

Property Taxes On Vacant Land

April 17, 2021 by chorton Leave a Comment

Property taxes apply to all property investments, irrespective of whether you’re living on the land, building on it, or earning an income from it. Meaning that if you own vacant land, you are going to need to pay property taxes on it though you can also be qualified for some fairly decent deductions.

Property taxes are calculated on vacant land, the amount of property taxes that you owe on vacant land are calculated from your county tax assessor and are generally based on the”highest and best use” potential of the plot–i.e. its most rewarding use. Nevertheless, you can anticipate the amount you’ll spend for vacant land is a lot less than the quantity you’d owe for enhanced land.

Based on where you live, you might have state-specific rules that govern land taxes on vacant property and just how much they can increase every year. In California, for example, Proposition 13 dictates that the assessed value of your empty land cannot go up by more than 2 percent in any given year, regardless of other changes which might have impacted its usage and profit potential.

Imagine if you disagree with the appraised value of your land? It’s not unusual for property owners to locate themselves facing higher property taxes than they anticipated. As a good guideline, it’s always a fantastic idea to examine the real estate tax history of a plot of property before buying it so that you can find a heads up on what you’re in for. But should you purchase vacant land and think the assessed value is too high–or if you believe it’s gone up a lot in the past year–then you’ve got some potential recourse.

To appeal your property tax assessment, start by digging to the data. Pull up your property’s record card and search for discrepancies in the description of your land, since if they exist you should have no trouble obtaining a fast adjustment. If that does not work, look to the comps and your land itself to make a case for why the appraised value is too high. You can then take this information to your county, where you’ll go through a formal appeal procedure.

Be aware you will probably face limitations on when you can appeal your vacant property taxes. As an example, expect that you won’t have the ability to place an appeal before a new assessment comes out after buying, which from that you might have between 30 and 90 days to launch your circumstance.

Vacant land tax deductions, on the bright side, as a property investor you are qualified to write off certain expenses related to owning your vacant property, and that includes your property taxes. You might also write off the interest that you pay in your own land loan. Both of these expenses will proceed in your Schedule A tax type, which insures personal itemized deductions.

Keep in mind that under the Tax Cuts and Jobs Act (TCJA), certain deductions which are standard for investors of empty land–believe developments, maintenance fees, and legal and accounting charges –are no more workable write-offs unless you’re a land dealer purchasing land for a fast turnaround purchase.

Upgrade Your Fence For A Private Relaxation This Summer

April 15, 2021 by chorton Leave a Comment

Creating a place that’s relaxing and inviting can make balmy weekday evenings feel like a mini-vacation, especially when a barbecue or bonfire is involved. But using an at-home retreat also means taking steps to ensure that your backyard is secure and private, especially if there’s a pool or water feature involved.

Wood fence, they look elegant, offer fantastic privacy, and are simple to install. The drawback, of course, is upkeep and with our warm summers and brutal winters, a wood fencing will need regular staining or painting, a project which every homeowner dreads. On the flip side, should you prefer to upgrade the look of your backyard frequently, wood can be painted in any color possible and it is one of the most affordable choices on the market. A six-foot panel will probably operate around $25-$50 depending on the form of wood.

Composite fencing, consists of engineered timber, and while it mimics the expression of the organic substance, its lifespan is much more with very little upkeep requirements and no worry it will rust, splinter or warp. The price will vary based on the design and kind, but you can expect to pay $100-$150 per cent segment.

Chain link fence, might be a fantastic option for you. While they generally are not the most trendy concerning design, a chain-link fence will maintain your backyard protected and they are sometimes slightly customized in various colors and gauges. Should you need more privacy, you can update a chain-link fence with metal slats. On top of that, it is the cheapest of options, coming in at $100 or less for a 50-foot roll. If you prefer the concept of a metal fencing, but prefer something a bit more upscale, go for an aluminum alternative, which can be powder coated and needs very little maintenance. A six-foot panel will run you $50-$75 depending on the elevation.

Glass or Plexiglass panel fencing, is beautiful for a lawn with a opinion or to enclose a pool with no shutting out the remainder of your premises. Glass fences are lasting, but they do tend to scratch easily and need to be cleaned frequently. They are also generally the most expensive fencing alternative, especially if they need to enclose a large area or in-ground pool.

Making a Backup Offer on a Home

April 10, 2021 by chorton Leave a Comment

So, you’ve found the home of your dreams, but in a cruel twist of fate, it already has an offer on it. Though it can be that you’ll just have to take the loss and proceed in your search, all hope isn’t lost.

Home buy transactions fall through for all kinds of motives, from contingencies not being met to funding issues, so it can’t hurt to place yourself to possibly pick up the bits of a busted deal and get to a house you’d had your eye on. This is where the backup deal comes in.

In home buying, a backup offer is made in acknowledgment of an present offer and guarantees a contract with the vendor if that offer falls through. It’s a legally binding contract which, if accepted by the seller, will place you in line to purchase the house should the initial buyer back out.

If the original offer successfully closes, you’ll be released from your contract along with some earnest money which you put to escrow will be returned. Additionally, you should be able to withdraw from the backup offer while the initial offer is still active in case you decide to proceed; however, you need to double-check your realtor to make sure, and be aware that you should only make a backup offer on a house if you are intent on shutting on it. If the principal offer does fall through, your offer will move into the primary position and the procedure to close on the house will start.

Making a backup offer is much like creating a normal offer. A seller considers and takes a backup offer just as they would a key offer, therefore it’s important to strategize in case you want yours to be accepted.

Pricing your backup offer can be somewhat tricky. After all, you want to price it so it’s likely to be accepted by the vendor. How much you need to offer is dependent on the property market in your region .

If you are buying in a cooler market where homes typically spend longer than average on the market before being sold, you could be able to offer listing price or slightly less. The reasoning behind this is that your backup offer gives the seller a security net that prevents them from having to reenter the marketplace if their principal offer falls apart. That security could be worth accepting a slightly lower cost than the current deal.

On the other hand, you may have to offer more. If you are buying in a hot market, at which bidding wars are frequent, you’ll want to create a competitive offer to have the best odds of your backup offer being accepted. In some really popular markets on exceptionally sought-after properties, it’s possible for a vendor to take multiple backup supplies, lined up in the order in which they were approved. But it’s already unlikely that the first backup offer will wind up coming into play — farther backup offers are highly unlikely to go into the primary position.

Work with a skilled real estate agent to negotiate a decent price, as they will be the professional in the regional marketplace and also have a much better grasp of what a competitive offer resembles.

Contingent Offers and How They Affect Your Deal

April 9, 2021 by chorton Leave a Comment

The real estate market is hot today, and bidding wars are the standard in many parts of the nation. For buyers, that means more competition — as well as less leverage in negotiations. It’s just one of many reasons to think long and hard about creating a contingent offer.

The truth is, most sellers may have their pick of buyers at this time, and if your offer is not exactly what they need, they will choose another buyer. Are you currently contemplating adding contingencies to a offer you’re filing?

A contingent offer ensures that you intend to purchase the home — but only if specific conditions are fulfilled first.

A number of these conditions (contingencies) allow you to:

Get a House inspection and be satisfied with the results — or negotiate repairs or a lower sales cost to make up for any findings.
Ensure your home appraises for your Entire offer (your lender will only Allow You to borrow so much).
market your present house before going through with the deal.
Get approved for a mortgage loan at the full amount needed.

These contingencies are all made to protect you as a debtor — to make certain that you’re getting a safe and habitable property, that you have the funds to cover it, and that you’re not stuck paying two mortgage payments at once.

But they’re also an extra hassle for sellers. They imply a more sales process, potential repair costs, and perhaps even a missing deal altogether. For all these reasons, you will want to be cautious about making a contingent offer in today’s red-hot market — not to mention choosy about which contingencies you choose.

Sellers may contain contingencies, too. They might ask to rent back their house for a certain quantity of time, hold off the bargain until they find a new home, or ask you to assume a solar panel rental or loan, if there’s one in place.

They may also include what’s called a”kick-out” clause. This allows them to keep marketing their home even after accepting your offer. Should they receive a better deal or an offer that doesn’t hinge on contingencies, they could back out and go with the new buyer instead of you.

If you’re confronting a deal with contingencies, always talk to your broker about what it means for the house purchase, as well as your budget. If one of those contingencies is not met, it could mean losing out on the deal entirely.

Contingencies are complicated. Making a contingent offer can protect your interests, but hurt your chances as a buyer. Accepting a seller’s contingencies? That can help your case, but put the deal at risk. Our agents will be happy to help and answer any real estate question you may have, just give us a call.

A Seller’s Market Doesn’t Mean To Sell On Your Own

April 8, 2021 by chorton Leave a Comment

At a sellers’ market, a few homeowners might be tempted to sell their home on their own instead of working with a trusted real estate professional. When the inventory of houses for sale is as low as it is now, buyers are eager to snatch up any house that comes to market. That makes it even more inviting to FSBO. Because of this, some sellers believe selling their house will be easy and see today’s marketplace as an opportunity to FSBO. That can be a major mistake and might actually cost you more in the long run.

According to the Profile of Home Buyers and Sellers published by the National Association of Realtors (NAR), 41 percent of homeowners that tried to sell their house as a FSBO did so to avoid paying a commission or fee. In reality, in a sellers’ market, selling on your own likely means you will net a lower profit than when you market with the assistance of an agent.

Despite the benefits sellers have in today’s market, it is still crucial to have the support of an expert to lead you through the procedure. Real estate professionals are trained negotiators with a whole lot of housing marketplace insights that average homeowners might never have. A broker’s expertise can alleviate much of the stress of selling your home and help you close the very best possible deal when you’re doing.

If you’re prepared to sell your home this year and you are considering doing this by yourself, make sure you think through that choice carefully. Odds are, you stand to gain the most by working with a knowledgeable and professional real estate agent.

Contact our office today to learn more about how our agents can you, especially in today’s market.

Happy Easter!

April 4, 2021 by chorton Leave a Comment

Are you in the hunt this Easter?
If you are searching for the perfect home this Spring, let our agents help you find what you’re looking for!
There is no better time then NOW to hop in the real estate market and find a sweet deal!

Whether you’re hunting for a house or eggs, our team at Preferred Properties of Texas in Stephenville, TX
wishes you a HAPPY EASTER!!

For new listings in Stephenville text HOMES to 877-965-7775
For farm/ranch listings text RANCH to 877-965-7775