5 Steps to Get You Closer to Owning A Home While Renting.

5 Steps to Get You Closer to Owning A Home While Renting.

If you’re a renter and intend to one day own your own home, the being prepared is one of the best things you can do to ease the process. Buying any type of property isn’t easy,  but you can avoid some of the pitfalls by having all your ducks in a row ahead of time. Here are 5 things that will advance you in the transition from renter to homeowner: UNDERSTAND COSTS When renting, all you pay is your rent in most case, but as a homeowner a mortgage purposes satisfies several things. A mortgage payment is broken down by four things, P.I.T.I. (Principal, Interest, Taxes, Insurance). This is very vital to know because some towns have higher tax rates than others which will ultimately increase your monthly payment no matter how good of a deal your realtor gets for you. You also are responsible for the things that go wrong on your home, and the repairs that go along with them. This is a very overlooked aspect as many people arent ready for the things that tend to go wrong. KNOW HOMEOWNER TAX BENEFITS Mortgage interest and property taxes are both deductible when you file your annual tax returns and reduce taxable income. These deductions significantly lower the cost of home ownership. This is one of the best benefits to owning property. KNOW THE RENT VS. BUY NUMBERS In most areas of the country it is becoming cheaper to buy a home rather than rent a place. Most people are scared of the down payment required for a house but fail to realize, the average rental in Connecticut...
The 5 Pillars Of Buying An Investment Property

The 5 Pillars Of Buying An Investment Property

Real estate is usually the surest and best way to become wealthy in America. Its all around us and the need is always there. Those that have learned and are learning this understand that the first investment property is usually residential of some type. Here are the 5 key things to focus when buying an investment property. Financing (Down payment and interest rates) Funds to purchase the property is usually the first thing that should be determined and factored in. There are a few different avenues one can take, in purchasing. You can buy your first home as an owner occupant (2-units) and put down up to about 3.5% of the purchase price down. You will usually have to live there for about a year, being its a owner occupant. If you’re looking to buy more than 4 units, you’re likely looking at anywhere from 20%-25% down. Interest rates are higher for non owner occupant loans, so that is something you want to discuss with your loan officer. Decide if you’re looking to rent or flip the property Buying and holding versus buying to flip are two separate strategies. Flipping a house will cost you more upfront money to get the home sell-able and ready for the market. Getting your initial investment back on a buy-hold will take a little longer but you’re starting to build equity and a portfolio. Renting the property for income is the smarter route for a beginner until they fully learn the ins and outs of the flipping business. Understand where you’re buying Knowing what is selling and renting in the area is vital for...

The 5 Reasons You Should Buy Your Home This Fall

With all the beautiful Connecticut foliage, happenings, and fairs going on during another New England fall season, real estate is something else you should have an eye on. While spring is the most popular buying season, here are 5 reasons you should buy a house this fall. What’s left of Spring Inventory may work for you As stated before Spring is when most sellers list their home initially, but what happens when they don’t sell? Most sellers stay on the market in hopes of selling and may end up with a home that sells less than its market value. Less Buying Competition A biy motivation in buying is closing before school starts, and now that time has come and gone. Many are also hesitant to buy in the fall and cooler months of the year. Many Sellers want to close by years end Some properties aren’t homes and investments for some owner, so the tax consequences can be motivation for a seller to make a deal. Some agents even convince sellers to offer incentives and extra discount to buyers whom can close by years end. Homes on the market during holidays usually have motivated sellers Many don’t like their home to be viewed or open during holidays and disrupting their family gatherings and events. If a seller is listed during this time, then in most cases they’re motivated and likely to work harder to put the deal together. The great landscaping is gone Flowers are starting to die and trees losing their leaves so the beauty of the landscaping for homes is going away. This will let you know...
5 Areas To Focus On To Add Value To Your Home

5 Areas To Focus On To Add Value To Your Home

Once you make your house a home, the value of it multiplies to you. You’ve raised your family there, likely grew in many areas of life, and it may have even been your first taste of home ownership. While all of these are great things and views on why your home is great, that doesn’t necessarily add monetary value to your home. The next buyer won’t really look at your home that way and rightfully so, being real estate transactions are a business. If you’re looking for some areas to focus on to add value in the eyes of buyers to your home, here are the 5 places to do so. Kitchen This is usually the biggest and best place to add value to that home. Whats usually the first thing people fall in love with in a home? Its usually the kitchen. While a major renovation can and will be costly, doing minor projects can get you there and to the same place. Maybe choosing to refinish existing cabinets as opposed to replacing the entire space of cabinets, can save you thousands and have the same look. Step by step is always the best way to go for somebody on a budget. Shopping around and tying all your ideas together will get it done and get that kitchen ready to make your home that much better. Bathroom Updates The smallest room can add big value to every other space in that house. Being that it is the smallest, it usually doesn’t cost too much to make it shine. Less floor space make it easier to re-tile the floor,...
5 Steps To Start Improving Your Credit

5 Steps To Start Improving Your Credit

Credit is a vital part to success and ease in your adult life. Having bad credit will result in you having to pay more in interest rates on cars, homes, credit cards, and even personal loans. If your credit score is really low, you’ll likely come across a denial in more cases than not. So what do you need to do to start on the path to improving your credit? Here are my first 5 Steps to Improve Your Credit KNOW WHERE YOU STAND In order to solve the problem, you must first know where you stand. There are several places online that offer a free estimate of where your score is (most popularly www.creditkarma.com). Visit Annualcreditreport.com to pull a report from all three bureaus. Although you wont have a score, you will see the things that are reporting and things you need to address and have possibly disputed. START TO BUILD YOUR CREDIT HISTORY While removing bad or inaccurate items off your reports are helpful, they wont necessarily make your score rise. You have to maintain and have all credit accounts in good standing. The easiest and best type of credit to get is a revolving credit or secured credit card. They usually report monthly to all three bureaus and if used correctly will lift your score. The biggest rule of thumb is to keep every balance under 30% of the available limit. RESEARCH CREDIT OPTIONS AND DON’T JUMP AT FIRST OFFER Just because you get a card offer, don’t just accept. Most people don’t read the fine print of the card info. Be careful to see what the...

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