Seven reasons to own a home

I found an article recently that outlines good reasons to buy a home. I will share it here. The source comes from Realtor Magazine.
1. You get federal tax deductions when you own a home. You can deduct the interest you pay on your mortgage, your property taxes and some of the costs involved in buying the house.
2. Real estate appreciates. According to the National Association of Realtors, median existing home sale prices increased on average 6.5 percent each year from 1972 through 2005 and 88.5 percent over the last 10 years.
3. Money paid on a mortgage builds equity interest in a home. Paying rent builds nothing.
4. Building equity in a home is like building a savings account. When you sell you can generally take up to a $250,000 gain without owing any federal income tax. That amount increases to $500,000 for a married couple.
5. You have predictability with a mortgage. Your mortgage payments will not rise over the years like your rent will.
6. You have freedom. The home is yours and you can decorate how you choose.
7. Remaining in a neighborhood for several years gives you and your family stability. You can build lasting friendships and give your children educational continuity.

Now is the time to get your house on the market

I’ve said it before but I can’t stress it enough. If you want to sell your house, now is the time. The market in Lincoln is hot right now. Houses aer selling fast and many are receiving multiple offers.

A few days ago I spoke with a colleague in my office who told me that the past two listings she had sold right away with multiple offers. The inventory of new houses for sale is lower than it was a year ago, making the selection less for people who are looking to buy.

In many cases, gone are the days when buyers could throw out a lowball offer and expect it to be considered. Buyers in many cases will need to pay close to list price if not at or above list price.

This is great news for selles. Not so much for buyers. But on the plus side for buyers, today’s low interest rates make this a great time to buy as well. You will be able to buy more house for your money and have lower payments.

So if you want to sell your house, get off that fence and get it listed. Now is the perfect time.

Good time to sell your house

This is a great time to sell your house. If you have been considering moving up, downsizing or just getting something different, consider now.

I learned this week that in Lincoln, there were 300 more housing sales this year than at the same time last year and 900 fewer houses for sale. The inventory of houses is low and the competition for those that are available can be fierce.

Just this month, we have had at least two experiences where our buyers wanted to buy a house but were outbid because there were multiple offers. The buyers are out there. Spurred by low interest rates, nice weather, or whatever reason, buyers are looking to buy.

So don’t be afraid to put your house on the market if you have been considering it. It may sell sooner than you would have ever expected.

Bigger isn’t always better

I’ve been hearing a lot lately that people are looking for smaller houses. New home buyers, particularly those who are building homes, I think have always thought bigger is better. Builders say are showing, that people are moving in the other direction.

Builders I recently interviewed for an article that I wrote pretty much all said that the trend today is to build smaller. People realize they don’t need the sprawling space they once thought they needed,

Tony and I work in a lot of new construction, and most of the new houses I see being build are under 2,000 square feet. Our own newly built house is about 1,850, and it still seems very big. The thing is, when you put all that square footage in a ranch house, you don’t need a lot of square footage. And ranch houses are the most in demand today.

So don’t think that bigger is always better, because it isn’t necessarily so.

Renovation loans

Have you ever thought about buying an older house but were scared away by all the work that needed to be done? There is a loan program out there that can help in situations like this that I think a lot of people don’t know about.

 

It is called an FHA 203K or conventional renovation loan. This provides financing for renovation projects in a house. Any qualified customer who wants to buy or refinance a house and plans to makek renovations can apply for this loan.

 

Qualified buyers can choose a fixed or adjustable-rate loan that is based on the value of the house after the improvements are completed. The loan will covedr all the costs of minor and major repairs, additions and renovations along with the purchase price for the house.

 

This will allow prospective homebuyers to buy a house that needs some work and turn it into just the home they want or expand a home to meet their needs

 

Current homeowners can improve the equity in their current home by making valuable changes and upgrading without tapping into their personal finances.

 

There is a man in our company who specializes in these types of loan. If you’re interested, let me know.

 

It’s heating up

I can tell already. It’s heating up in Lincoln, and I’m not just talking about the weather. The residential real estate market is gaining strength. The number of houses for sale is less than it used to be and houses seem to be selling faster than they used to. Many agents are reporting multiple offers on properties.

Our office learned this week that the number of houses listed for sale in Lincoln is 200 less that it was at this time last year. The demand from buyers is up. I think the nice winter and early spring has helped increase interest of buyers as have low interest rates., Buyers are out there.

If you have been thinking about selling your house, now may be the time. The competition is less and home values are strong.

Sellers need to be patient

Home sellers can be an impatient bunch. It’s understandble that they want their house to sell soon,but in today’s market that usually doesn’t happen. It can take months to sell a house.

We’ve had a couple sellers in the last year that listed their homes for short periods and when it didn’t sell they gave up. Then we had a seller who was patient, waited it out and is now realizing the benefits of a sold house.

It took numerous months to get this house sold. We lowered the price, made some improvements in the house, and it eventually sold.This owner was extremely patient, never complaining about how long it took to sell the house. When the offer finally came in, it was very exciting.

The point I wanted to make with this article is that if you want to sell your house, please be patient. If you give up after a couple of months without an offer, I think you probably aren’t that motivated to sell your house.

Be patient and the end goal will eventually come.