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Homeowners Can Benefit Financially and Emotionally by Remodeling Outdoor Features

March 22, 2023 by chorton Leave a Comment

Most Realtors (92%) recommend that sellers improve curb appeal before selling their home. The largest percentage of Realtors ^(r), suggested that sellers improve the curb appeal of their home before listing it for sale. These were also the most popular projects for which landscape professionals have seen increased demand in the past year. These and other findings are based on a report by the National Association of Realtors and National Association of Landscape Professionals.

Many homeowners have made their backyards their own, creating oases filled with plants, trees, and pools. If the homeowner wants to sell, these outdoor features can be embraced by him or her.

Landscape professionals were most in demand for outdoor projects such as an overall landscape update (61%), maintenance (58%), and a new patio (55%). They saw less demand for a wood deck (15%) or an in-ground swimming pool (25%) as well as tree care (29%).

It is not surprising that most Realtors ^(r/) and homeowners place high importance on a yard’s curb appeal. Green spaces and healthy outdoor living can improve the quality of life, enhance home value, make communities more attractive, and help people’s mental as well as physical health.

Know The Hidden Costs And Fees Involved In Selling Your Home

February 3, 2023 by chorton Leave a Comment

Your home is most likely the biggest and most profitable investment you will ever make. It takes money to make it, as the old saying goes. Maximizing your investment’s value will require you to put some sweat equity as well as literal cash equity into it before it hits market.

Surcharges, fees and taxes can also be a surprise to home sellers. The average selling price of a house is , which is just above $15,000. It can make the difference between a stress-free, satisfying selling experience and one that is frustratingly draining.

When people hear the term “costs to sell your home”, the first thing they think of is the real estate agent commission. A real estate commission is typically 6% of the final sales price. What is the practical value of that commission? According to Zillow, the median home value in America is $229,000. The commission for selling a home at this price would be $13,740. This is a significant amount.

What happens to the 6% seller payout and where does it go? The commission is split between the buyer’s agent and the listing agent, with each taking home 3%. You want to incentivize them to sell the house for the highest possible price by fixing your agent’s compensation to that final sale price. They will make more if you pay them more.

Is it possible? In general, yes. Agent-assisted home sales sell faster and for more money than non-agent-assisted. NAR’s analysis shows that the median home sale value for agent-assisted sales is $250,000. However, the median home sale value for FSBO listings (for sale by owners) is only $190,000. While the real estate commission is one the largest costs in selling your home, it can also bring you the most value.

Closing costs can be described as a broad term that covers many smaller costs. They include the owner’s title fee, half the escrow fee (the buyer splits it), prorated utility costs and document preparation fees.

What is their value? They can vary from one state to the next and from one city to another. It is difficult to know. Closing costs are generally 1% to 2% of the home’s selling price.

You might think that you can just put all your stuff in boxes that you get at the grocery store and then drive it to your new home in your car. You’ll likely find yourself in a difficult situation when you have to sell your house.

There are many options for hiring movers. You can choose from one truck or a full-service interstate shipping firm. You can expect to pay anywhere from a few hundred to several thousand depending on the level of service you choose.

Let’s face it, few sellers will be surprised by moving costs or real estate commissions. The expenses below are less obvious, which can make it more difficult to cover.

Your home is probably where you’ve lived for many years. You may even find its imperfections endearing, just like a beloved t-shirt or your significant other over the years. Strangers will probably not see this. If your house is put up for sale, the shabby hardwood floors and oddly-painted walls will be liabilities. Any experienced real estate professional will tell you to make renovations before you go on your first showing.

It will cost you based on whether your house needs a new coat of paint or a new roof. You can expect to spend several hundred dollars on pre-sale renovations, but almost every house would benefit from a makeover.

Curb appeal refers to how potential buyers see your home as soon as they step out of their cars or drive up your driveway. The curb appeal of your house is as important as the home itself. Your property should be meticulously landscaped before it is listed. This includes trimming the lawn, trimming hedges, pruning trees and even planting flowers.

The size and maintenance requirements of your lawn will determine how much it costs. A manicured lawn is as good as a new kitchen for a home’s sale.

Staging is all about how your home looks inside and out. Landscape is about how your property is presented to the outside world. Staging can be anything from clearing out your shelves to purchasing a new dining table set.

Staging is, at its core, about presenting your home in the best possible light. Sometimes literally. It is important to let as much natural light as possible into your home. This means that you should remove heavy drapes and other window coverings. Visual clutter can be distracting and even cause anxiety. Therefore, you will need to remove all family photos and collectible plates and store them. You may have to dispose of any old or damaged furniture and buy new ones.

An agent can help you with staging. You can also hire professional home stagers to prepare your home for open house. Sellers should expect to spend between $100 and $400 on staging their homes. Professional home stagers will charge a fee around the four-figure range. In 2018, the median staging cost was $400.

It’s a fact that prospective buyers have already seen photos online before they set foot in your home. It is therefore important to include high-quality photos in your home listing. It is not easy to take a flattering, good-looking photo, as any Instagram user will tell you.

Unambiguous means listings with high-quality photos sell quicker than listings with poor photos. Listings with more photos are also more popular. Although professional photographers are not cheap, they can be a great investment.

Capital gains taxes may be due to the federal government if your home sells at a higher price than what you paid for it. This can be a significant amount of money. A 20% cut of capital gains profits wouldn’t cause a tax professional to raise eyebrows.

Many home sellers can exempt profits up to 25% (or half million for married couples filing jointly) and from tax liability. This exemption is subject to two conditions. The home must have been your primary residence for at least two of the five previous years. You also cannot have used capital gains exempt on any other home sale within the past two years.

This list shows that not all expenses can be reduced.

Taxes are not easy to lower. The following taxes are non-negotiable: property taxes, title fees, transfer taxes. Capital gains taxes are exempted from tax, but restrictions apply to how often this exemption can be used. Sellers who are facing a large capital gain tax bill might consider delaying the sale of their home to take advantage this exemption.

However, there are some expenses that can be reduced. You can save money on staging, landscaping, or renovations, especially if your family and friends are willing to paint, mow and buff. Even moving can be affordable if you don’t consider sweat and time.

This brings us to the real-estate commission. Although there are many low-cost agents, sellers need to remember that they often get less service for the same amount of money. You may save $13,000 by not using an agency, but your home will sell for $40,000 less if you use an agent.

There are increasing numbers of companies that offer a complete service selling experience for a flat rate. Full disclosure: We are one of them. These companies enable sellers to work with top agents in their market and receive all the benefits of their expertise for a fraction of the normal price. You might wonder why a top agent would sell a house for a flat fee when they could make 6% on another property? The agent is getting high-quality referral leads, which means that they spend less time hustling. It’s a win-win situation. Flat-fee realty companies are the best option for home sellers looking to reduce their costs, as the 6% commission is often the biggest single cost in selling a house.

Original Blog: https://realtytimes.com/archives/item/1032282-understanding-the-hidden-fees-and-costs-of-selling-your-home?rtmpage=

Starter Home… What Does That Mean?

January 17, 2023 by chorton Leave a Comment

It is common to hear the term “starter home” quite often. But, as a buyer, you might wonder what that actually means.

You need to understand the basics of buying a home, as well as whether you should invest in your forever home.

You can choose to buy a starter home as a single-family or multi-family home, or even a condo. The average buyer will be able to afford a starter home, but they are likely to outgrow it. The cost of a starter home will be lower relative to the local market.

These homes can be small or large, and may also be older. These homes can also be brand new, but they are still designed to satisfy the needs of entry-level buyers.

While there aren’t all the features that you might want, you can see how a starter home would suit your needs in the short-term.

It is possible that you will stay in your starter house for life. On the other hand you might decide to move on to a better home or a more expensive one.

A forever home can be larger than a regular home, but it may also have more outside space or be updated. Some of the most desirable features in a forever home are those that make it attractive and competitive. For example, it might have a large, private yard or be located in a great school area.

However, the definition of a forever home can be subjective. Some people may find that the home is where they can imagine raising a family. Others might prefer a fixer-upper in a great location that is in need of some TLC, but is still a permanent home.

While a forever home does not have to be extravagant, it is more spacious than a starter house.

There are pros and cons to both a starter or forever home if you are at the point of deciding whether it is worth your time.

A starter home is typically less expensive so that you can save more money for your down payment. This will allow you to start building equity faster. You’ll spend more time renting than you do investing in equity if you wait until you can afford a forever house. Once you are ready to purchase your forever home, the equity that you have will be able to use it as a financing source.

A starter home has the downside that it will likely be outgrown as you move on to a new phase of your life. A starter home may not be sufficient for your needs if you get married or have children.

You can either rent or sell your starter home if you decide to move. You will need to find a new home, apply for a mortgage and pay the closing costs.

There are many benefits to moving from the starter home to your forever home. You can feel secure knowing that you will be able to live in your home for the long-term without worrying about moving or selling.

It is possible to take your time and adjust slowly.

A forever home is more expensive. This means that you will need to save more money and delay building equity.

It is important to only spend what you can afford when buying a house. It is a good rule of thumb to not spend more than 28% on housing costs. Not only should you not pay 36% for debt, but also other loans and credit card debt.

It can be a wise move to buy a home that will last forever. If you sell your home too quickly after purchasing it, you might have to pay capital gains tax if its value increases. If you file your taxes separately, you can get a $250,000 exclusion and $500,000 if you are married filing jointly to capital gains on real property. If you have owned the property for less than 2 years, this exclusion is removed.

Before you purchase a home, consider the long-term potential value. It is important to find properties that are well-respected and have a high potential for resale, regardless of their price. You have to realize that sometimes what seems forever now may not be forever.

Original Blog: https://realtytimes.com/archives/item/1043899-what-should-you-know-about-buying-a-starter-home?rtmpage=

Cash Out Refinance or Home Equity Loan

January 12, 2023 by chorton Leave a Comment

You may be able to get cash if you have substantial home equity.

A cash-out refinance or a home equity loan let you borrow against the equity in your home, with your home as collateral. A cash out refinance replaces your current mortgage with a new one. A home equity loans are additional loans that you take out over your mortgage. Consider the pros and cons of each option before deciding which home equity product is best for you.

Both a home equity loan or a cash-out refinance mortgage can be used to fund similar projects, such as home improvements and paying off high-interest debt. Both loans use your property as collateral. If you default on one of them, it could be foreclosed.

Although cash-out mortgage refinances serve the same purpose as home equity loans, there are important differences. Cash-out refinance refers to taking out a loan in order to pay off your remaining mortgage balance. This will effectively replace your mortgage with a new loan. A home equity loan, which is a second mortgage, comes with its own terms and interest rate.

A cash out refinance repays the principal balance of your first mortgage loan and provides a new loan to pay for it. The amount of the newly refinanced loan is the balance due on your first mortgage and the amount that you are “cashing out” with the equity.

The interest rate for cash-out refinancing might be higher than the current one. The loan term can generally last up to 30 year.

Certain lenders and federal programs might have lower requirements for cash-out refinancing . In the event of default, the refinancing lender will assume the first mortgage in a cash-out refi. Lenders might offer lower rates than what you would get with a home equity loan because they have easier access to your house as collateral.

Home equity loans are often used to finance large-ticket items, home improvements or consolidate high-interest debt.

This is a second mortgage against your house that has its own terms and interest rates. It’s separate from your original mortgage. Refinance using a home equity loan means you borrow against your home’s equity, which is the difference between your home’s market value and your mortgage debt. You can borrow up to 85 per cent of the equity in your home. Your income, credit history, and other financial factors will also affect your loan amount.

Home equity loan rates might be higher than other options for refinancing. However, the differences can vary from one bank to another and over time. The repayment term for home equity loans can be up to 30 year.

Lenders may not charge origination fees. This results in closing costs that are lower or even zero. In contrast to some cash-out refinance loans, home equity loans don’t require mortgage insurance.

This scenario is where refinancing with cash-out refinance loans can be cheaper, despite the higher loan amount and closing costs. Because the cash-out refinance rate is much lower than that of a home equity loan, this is why.

Home equity loans have a higher interest rate than cash-out refinancing. While home equity loans are generally cheaper than home equity loans due to lower closing costs, their interest rates can be more costly over time.

A home equity loan is a good option if you have excellent credit and can find a loan with low interest rates or waive closing costs. The cash-out refinance offers a significant advantage, with lower interest rates.

It’s ultimately a personal decision. This will depend on how much equity you have in the home and your credit rating. To determine which option you are most likely to be approved for, it is equally important to review the qualifications for each option.

If you have strong credit and want to draw out large amounts of equity, a home equity loan may be an option. If you are looking to lower your mortgage payments and withdraw funds from your equity, a cash out refinance might be a better option.

Cash-out refinances and home equity loans are two strategic options to access the equity in your home. To determine which approach is best for you, consider your financial situation and goals. To determine which option you are most likely to be approved for, it is equally important to review the qualifications for each option.

If you have good credit and want to draw out large amounts of equity, a home equity loan may be a viable option. A cash out refinance might be a better option if your goal is to lower your mortgage payment and withdraw funds from your equity with one loan product.

Compare offers from different lenders, regardless of the path you choose. You can also request an itemized list of the lending fees from your chosen lender to estimate how much the loan will cost.

Original Blog: https://www.bankrate.com/home-equity/refinance-vs-home-equity-loans/

Change Is Good

January 2, 2023 by chorton Leave a Comment

New Year. New Possibilities. New Start.

If your thinking of making a move this new year, it would be our pleasure to be your real estate resource.

We would love to connect with you and talk more about your options.

Call Preferred Properties of Texas today to schedule a walkthrough.

Keep Diversity In Mind When Searching For Land

November 1, 2022 by chorton Leave a Comment

Many land buyers make the common mistake of not considering diversity when searching for land. A 500-acre hardwood bottom is what many buyers envision. While it is beautiful and could be a great investment, it doesn’t offer the variety necessary to make the property livable all year without major improvements. Land is not an investment that can be used only once. Buyers should look for properties that offer a variety of recreational and entertainment uses throughout the year.

Before a Certified Land Specialist begins walking properties, it is crucial for buyers to identify and prioritize the intended uses of a property. Buyers often get caught up in the property’s aesthetic appeal and forget to consider their needs and wants. Land is a long-term investment. It is best to not act on impulse or rush to make a purchase.

After you have identified your priorities and walked on the property, it’s time to review the property to ensure that the property meets your expectations. If you are interested in a large dove farm, how much land is available to allow for one? You may need to consult an outside consultant such as a forester, wildlife biologist or other expert to make these decisions and get a clear picture of how the property will fit your needs.

Hunting is still the most popular recreational land use. Each year, over 20 million Americans go outdoors to hunt. Most first-time land buyers don’t consider the potential hunting-based uses of a tract. While they know their favorite two or three types of game, they don’t realize the other game animals that can be used to fill in the gaps between seasons. One prime example is dove hunting. Dove hunting is a wonderful way to get out on your property and improve your wing-shooting skills. Dove hunting is a social hunting option that allows you to invite more people than you could with a turkey or deer hunt. Although dove fields may not be successful in every area, they can give landowners another way to enjoy their property. Trapping or predator hunting can be an exciting way to have fun while helping the game species on your property survive. There are many ways to hunt 365; it all depends on the land you have and who is hunting it.

Diversity of the tract is the key to a variety of hunting opportunities. A healthy balance of open and covered land is essential for a tract. The ideal balance of open and covered land is difficult to determine as buyers may have different hunting preferences. It is important to find property that is flexible, meaning it can grow many crops or timber as needed to meet your management goals. A soil map of the property is one way to find out. These are available at the National Resource Conservation Service office . They may be able help you determine the soil productivity of the tract.

Water is an essential natural resource. We depend on it for our survival. A property with a sufficient water supply may have many uses. The water source could be used by waterfowl as a wintering ground. This could make it an attractive hunting area.

A body of water can enhance the beauty and value of rural land. Landowners can also enjoy the opportunity to fish from their property, especially in the off-season. I evaluate the existing ponds and lakes on the land I am interested in buying when I look at it. I will verify that the property has access to a stream or river. High banks can make it difficult to get your boat into the water to fish the creek or river.

Water has many recreational benefits. It is vital to keep in mind that water is essential for wildlife to thrive on any piece of land. Make sure you understand the water situation before you buy a property. Sometimes water rights can be separated from the bundle rights that are included with a parcel, particularly in the west United States.

There are many activities that a property can support or offer. The landowner must be creative and enthusiastic enough to take part in these activities. Many landowners have begun to build sporting clay courses on their properties for the same reasons that dove hunting: to improve their shooting skills and have fun. While the courses vary in cost and style, all offer shooting practice and enjoyment. The same purpose is served by both archery and rifle ranges. They are great fun, especially in the summer when you get the desire to hunt.

Land is one of the most versatile and valuable investments a person can make. Only the land itself and the buyer’s imagination limit the number of possible uses for a parcel of land. Diversified properties will provide buyers with a lot of options. If you decide to sell your property, the tract’s diversity will increase its value. You can make a strong investment in rural America by focusing on your priorities and looking long-term.

Original Blog: https://www.landthink.com/maximize-your-investment-buy-a-diverse-property/