 |
 |
Real Estate Blog
|
 |
|
Thursday, April 05 2012
Tax benefits for home owners disappeared at the end of 2011 and no one knows whether Congress will bring them back. How annoying!
Congress was so busy bickering at the end of 2011 that it allowed two important tax breaks for home owners to expire. Beginning with the 2012 tax year:
1. You can no longer deduct the cost of private mortgage insurance premiums.
2. You aren’t getting a tax credit for some of your home energy improvements.
You can take advantage of these provisions when you file your 2011 tax return — but beyond that, who knows.
Now that Congress is back in session, it’s likely going to pick up where it left off — arguing about what programs to cut and what taxes to raise. The programs, deductions, and tax credits supporting home ownership belong at the top their to-do list.
Up until the end of last year, you could deduct your private mortgage insurance premium (PMI) when calculating your income taxes. It was a benefit targeted to lower- and middle-income home owners. Once you made $100,000 or more, it started disappearing and anyone who had more than $110,000 of adjusted gross income couldn’t use it.
The home owners who have to get mortgage insurance are buyers with less than a 20% down payment and refinancers with less than 20% equity. That’s more often first-time home buyers or younger home owners and less often move-up buyers who’ve built up equity in their homes. So in taking away the PMI deduction, Congress is raising taxes paid by first-time home buyers and younger home owners leaving them with less money to spend on housing. That’s especially wrong-headed when the housing market is struggling to recover.
The tax credit for energy efficiency upgrades wasn’t enormous — it was capped at $500 or 10% of the cost for some projects; less for others. But it was a nice incentive to add insulation, new windows, or to upgrade your HVAC system with a more efficient unit — exactly the kind of actions that help decrease our dependence on fossil fuels, leading to a cleaner environment and less outflow of U.S. income to foreign countries. Not to mention, hopefully, smaller utility bills.
In 2012, home ownership and energy independence advocates will fight to get those expired tax rules back on the books and to have them apply retroactively. It’s a familiar fight — they had to do the same thing at the end of 2010.
But this year, the battle is more complicated because there’s a presidential election, discord between the major parties, and a general lack of consensus on any issues.
We home owners certainly don’t all agree on who to vote for, but most of us consider the renewal of those policies is a no-brainer. And we really don’t appreciate it when Congress lets those rules expire at the end of one year and then leaves us to wonder the rest of the next year whether they’ll be renewed.
Read more: http://www.houselogic.com/blog/tax-deductions/home-tax-deductions-2012/?nicmp=hlemail&nichn=solo&niseg=taxdeductions_2012#ixzz1r12GdoqN
Wednesday, April 04 2012
Once you decide that the time has come to sell your house, Evansville’s open houses are one of the most promising ways for you to show off its fine points. And early spring has long proved to be one of real estate’s peak selling seasons. Despite the fact that April can bring unpredictable weather to Evansville, it’s undeniably prime time to use an open house to market your home.
Open houses are popular for the simple reason that they provide maximum exposure to house-hunters, whether they are casual or more highly motivated. Particularly when a home is occupied, open houses invite easy access to a property, side-stepping all the normal hurdles of appointment making, phone tag, calendar syncing, etc. Since vacant homes are easy to show any time, they tend to get more exposure (especially since prospective buyers frequently phone at the last minute to request a tour).
Open houses are a way to even the competition. Held on a Saturday or Sunday afternoon, they provide the easiest way for potential buyers to browse. Prospects can casually pursue their search without having to commit to a day full of appointments. For them and for the seller, it’s a handy tradition.
But what if it turns out to be one of those Evansville rainy days?
Ideally, everyone plans their open houses with a bright, sunny day in mind. But when the clouds gather, you don’t need to let a little inclement weather wreck the opportunity. When it turns gloomy outside, think of it as the perfect opportunity to make your home shine on the inside. Open all the blinds, turn on the lights, throw some upbeat jazz on the stereo, and crank the heat up! Another nice touch (especially if you want to come home to a clean house) will be to place towels or mats by the front door so that attendees can wipe their feet.
Looking to go the extra mile? Provide hot chocolate or hot tea in disposable cups for your agent to offer browsers. At the very least, they’ll be sure to remember your open house!
If you are considering listing your home and are looking for solid marketing support and exposure, today is the day to call me to schedule your consultation…rain or shine! Or why not stop by and meet me in person? The fastest and easiest way to find out open houses in the Evansville area is at http://tinyurl.com/RolandoTrentini
Tuesday, April 03 2012
Buying Evansville real estate as second homes in the buyer's market of today is never a bad idea, pending all the studying that an investment requires. Second homes demand from the prospective buyers a lot of responsibility, and this tends to scare them away sometime. That is a fear, however, that comes unwarranted. Second homes are better investments than most people think.
The primary concern that prevents people from taking a chance with second homes is the price. With the current trend of the American economy, images of bankruptcy tend to influence the average buyer's decision. Look at it from a different perspective: if a lot of people are looking at real estate purchases in the same way, then that would significantly lower the current demand for it. The market would then have to adjust itself to lower prices, and financial institutions are doing a similar adjustment: mortgage rates are much lower than a couple of years back. When thought of the real estate market this way, you'd realize that now is the perfect time to buy, as it would be much easier on your bank account.
The additional tax benefits alone pile up to help you cut down on your current expenses. Take, for example, a situation wherein you decide to have your second home rented. If the renting period has gone beyond 14 days (as per IRS regulations) then you can write off the expenses incurred by the property.
A lot of buyers are looking at Evansville real estate as investment properties that can earn them passive income. This thought requires a bit of introspection. What would be best is if your intended investment property is somewhere that invites a lot of potential renters. Investment properties close to business districts would not be a bad idea. The same goes with beachfront properties. Think of it this way: why pay for the mortgage of your second home when you can have the renters do it for you?
Speaking of location, if you choose a particular type of investment property, like a beachfront property, then that could spell not just rental opportunities for you (hello, extra income), but also a vacation home for your personal use.
And of course, there's the usual increase in value when it comes to real estate. Remember today's buyer's market with Evansville real estate, you have to know that not only are prices down by significant margins (with the number of foreclosures and bank auctions out there). Sellers are now also highly motivated, so their flexibility when it comes to price negotiations should let you make an even smaller investment--that spells higher returns in the future.
With the help of a credible realtor, you can begin your search for your second home. This is not simply about your needs (that's for your first home, after all). A second home is about making an investment that will serve you as it appreciates in value in the future. As it appreciates, the rental opportunities that a well thought out second home offers will generate a steady flow of extra income for you--it's like making an investment for free.
I hope you have found this information helpful. If you need any help with buying, selling or renting a home in Evansville, Indiana please contact me at any time. TYou can reach me on my cell phone 812-499-9234 or email at Rolando@RolandoTrentini.com
Friday, March 23 2012
Economists say the housing market is starting to heal, but too many people aren't aware of it because they're judging a housing recovery on the wrong sign: What’s happening with home prices.
Paul Dales at Capital Economics says higher prices won’t be the sign that the housing market is on the mend — that can be a lagging indicator — but rather an increase in overall home sales. And that's showing signs of improvement: Existing home sales in 2011 rose to 4.26 million compared to 4.19 million in 2010. In the last six months alone, home sales have increased 13 percent.
As a recent article at Fortune points out, “The evidence reminds us that perhaps we should change our expectations of what a housing recovery might look like, particularly following a crisis marked by record foreclosures and a financial crisis that sent the economy into one of the deepest recessions. The recovery we have been anticipating is defined more on the rate at which the glut of vacant properties comes off the market as opposed to any steady rise in prices, which some think won't happen for another few years.”
Source: “The One Number to Watch for a Housing Recovery,” Fortune (March 20, 2012)
Thursday, March 22 2012
Nothing ruins your garden or yard like weeds, those uninvited guests that rob your plants of space and nutrients. So murder those weeds most foul, but without harmful chemicals that can do you in, too.
Here are 7 ways to kill weeds with weapons you already have around your house.
1. Newspaper: A carpet of newspaper, which blocks sunlight and oxygen from reaching the soil, will smother weeds already sprouted and prevent new ones from growing. Throw down newspaper in 10-sheet layers, wet to hold it down, and cover with an inch or two of mulch. If weeds begin to grow in the mulch, add more layers, making a mulch-newspaper lasagna, which eventually will decompose and nourish the soil.
2. Old shower curtains and carpet samples: Spreading these useless items in garden paths or between rows will keeps weeds from ever showing their unwanted heads. Cover with mulch.
3. Corn gluten meal: This corn by-product stops seeds from growing into weeds. Since the meal will prevent germination, spread it around established plants, and after seedlings and transplants have taken hold in the soil. After harvest, spread the meal to prevent late-season weeds.
4. Vinegar: The acetic acid in 5% vinegar is a desiccant that sucks the life out of plant leaves. It’s most destructive to young plants with immature roots, though it just rolls off weeds with waxy leaves, like pennywort or thistle.
Make sure you cover desirables before spraying, because vinegar is an equal opportunity killer. Keep your spray on-target by removing the bottom from a 2-liter plastic soda bottle, and placing it over the weed. Spray vinegar into the mouth of the bottle, which will keep it from splattering on your vegetables.
5. Vodka: Don’t know if vodka makes weeds fall down dead or drunk, but 1 ounce mixed with 2 cups of water and a couple of drops of dish soap will dry out weeds that live in the sun. Doesn’t work that well on shade-loving weeds. Protect desirables, because vodka will dry them out, too.
6. Soap: The oil in soap can break down waxy or hairy weed surfaces, making them vulnerable to desiccants. So add a few drops of liquid dish detergent to vinegar or vodka sprays to keep the solution on leaves. The soap also makes leaves shiny, which will help you keep track of what you’ve sprayed.
7. Boiling water: After you’ve made yourself a cup of tea, take the kettle outside and pour the boiling water on weeds, which will burn up. This is a particularly good way to whack driveway and walkway weeds, because the boiling water can run off impervious surfaces and cool before it reaches border plants.
Read more: http://www.houselogic.com/home-advice/landscaping-gardening/how-to-get-rid-of-weeds-naturally/#ixzz1pgaGDfcJ
Wednesday, March 21 2012
A lot of prospective homeowners have already been taking advantage of today's real estate buyer's market. The benefits of larger profit margins, tax deductions, and the simple joy of ownership outweigh the expenses of doing so.
There are certainly a lot of perks when you begin your search to buy real estate online as opposed to doing it the old-fashion way.
Offline
|
Online
|
You can't filter your options according to what you need. You might have to physically go through a lot of listings to find what you need.
Your choices for buying real estate become extremely limited.
While some photos are available in printed real estate listings, a lot of them don't feature images of the interior.
|
You can easily access a treasure trove of information regarding realtor credibility
Contacting a trusted realtor relevant to your search in terms of property type and location comes much faster.
Virtual tours of the property are a definite possibility, making the decision to physically visit property sites much more informed. You don't want to waste time driving only to find that the property type does not suit your needs.
|
This is not to say that you should go through the entire process of buying real estate online. The biggest risk of completely buying real estate online is that of misrepresentation. Note though that that risk is easily addressed by checking with a reliable realtor in the area you are eyeing, and by doing the final walkthrough yourself.
A lot of other people are now taking advantage of the real estate buyer's market. Prices are down, more properties (read: more investments) are up for sale. Start your search to buy real estate online now, before someone else beats you to the punch.
I hope you have found this information helpful. If you need any help with buying, selling or renting a home in Evansville, Indiana please contact me at any time. You can reach me on my cell phone 812-499-9234 or by email at Rolando@RolandoTrentini.com
Tuesday, March 20 2012
Advanced technology has become such a prominent feature in our everyday lives it is no surprise that it’s increasingly affectingEvansville home values. As “Home Automation” features grow in importance, bottom-line home values are following suit. It’s a new phenomenon, one that motivated home sellers (as well as homeowners heeding long term home values) should understand.
Home automation – the inclusion of luxury technological features like temperature control, lighting control, security systems and the like – are becoming more commonplace, increasing home values in the process. A few years ago, adding such bells and whistles to an existing home would probably have been more pricey than the return would justify -- but that is becoming ever less true. Think hi def flat screen TV and you’ll have a good example of the direction home automation is headed: ever-improving features for lower and lower prices.
As automated features become more widespread and their prices lower, some of them are growing increasingly simple to add. And the scope of home systems and their effect on home values can be quite varied. For some, adding an ‘automation system’ might consist of something as simple as installing remote or automatic control of a few lights. Others might make electronic security the key, choosing to install a full-fledged central system.
Where wireless home Internet networks are already in place, home values can easily be raised by the addition of remote operation. Right now that may sound like an unnecessary futuristic feature, but it may turn out that being able to control lights or heating systems from afar could substantially increase energy efficiency (along with home values).
Matthew Berman, one of the owners of New York design firm Workshop/apd, was recently quoted in the New York Times describing a “whole-home” lighting system.
“A popular feature of this kind of system is the ability to hit one button when you're leaving your house to turn off all the lights." As a practical matter, he also recommended keeping automated systems separately controllable, making them less complicated to operate and less subject to breakdown.
It's important to think long-term as well as short-term -- especially for anyone looking to increase home values, whether for future or immediate sale. Home automation is looking like a worthy candidate for the Next Big Thing, and buyers might be ready to gravitate toward advanced features that distinguish one Evansville seller's home from the competition. Call me if you would like to discuss how home automation might come into play when it comes to selling your home. You can call me on my cell phone 812-499-9234 or email Rolando@RoalndoTrentini.com
Monday, March 19 2012
Market Watch
I have one important message in this month’s Market Watch: If you or someone you know is thinking about selling their house, list it NOW. Seriously, I know that sounds like a Realtor talking but it is also the truth. Let me tell you why.
Combined January and February closed transactions are up 5% from last year and up 17% from 2010. The number of homes currently listed is down 10.1% from last year and down 17.6% from 2010. When sales increase, as they have, and listings decrease, as they have, the month’s supply of homes also decreases. It will then be no surprise that average month’s supply has also declined significantly. The average month’s supply this year is 16.2% less than last year and 30.7% less than 2010. The absolute number of active listings is down over 33% from its peak. If we close the same number of homes this March as we did last year in March and active listings don’t increase we will only have 6.28 month’s supply of homes on the market. The supply of homes has been that low for exactly one month since June of 2006. That was for the month in which the last home buyer tax credit expired, clearly an aberration.
Winter decided to skip us this year. The home buying season has already started. Home affordability (a calculation based on average household income, median home price and mortgage interest rates) is at an all time high. Homes have never been more affordable and there are not too many on the market.
No one has better tools to market your house and FCTuckerEmge.com is the best local website for shoppers in our market. Opportunity is knocking. Call me now and take advantage of today’s housing environment. You can reach me on my cell phone 812-499-9234 or by email Rolando@RolandoTrentini.com
Kathy and I wish you a happy and safe spring season.
Friday, March 16 2012
There's time this month to do the prep work before the planting and growing season gets going.
March may find you sighing with impatience as you watch yet another snowfall cover your barren container boxes, but it's one of the most important months for gardeners.
There's still time to do all of your prep work, from honing tools to starting seeds, as you imagine the shapes, tastes and colors of your next garden. Spring begins with the vernal equinox on March 20.
Tool cleanup
If you didn't do so in the fall, it's time to give your lawn mower and other tools some tough love.
Get ahead of the spring crowds by dropping off your lawn mower now to have the oil changed, bolts tightened and blades sharpened.
Remove soil from your tools' metal parts using sandpaper or a hose.
- Sand rough edges on wooden tool handles, then coat them with linseed oil.
- Sharpen your tools. A file will sharpen tools of all sizes, from shovels and hoes to trowels and clippers. A Carborundum wheel will work on smaller tools. Pruning shears can be sharpened with a whetstone. After sharpening, use a rag to apply a thin, penetrating oil to metal tool parts; follow with a heavier oil on tools that have moving parts.
Lawn doctoring
The green, green grass of home doesn't get that way by accident, and March is a perfect time to assess your lawn's health.
- Pluck a 4- to 5-inch square from your yard to see what's going on down there. If your area has crane flies, count the larvae. Fewer than 35 per square foot means less work for you: Your lawn should be able to withstand that number.
- If you're not sure what to look for, take your lawn sample to an expert at your garden store and ask for a diagnosis; then just press your sample back into its "bed."
- Lime, treat moss and, finally, reseed as needed. (Overseeding can be done after midmonth.)
- Fertilize your lawn now or start a new lawn using seeds or sod.
Read more here: http://ht.ly/9yLMA
Thursday, March 15 2012
Is now really the best time to buy real estate? Let's try to rephrase that: is now the best time to buy real estate for you? The real estate market fluctuates every now and then, but it's pretty much a rule of thumb that property values always go up in the long run. This little article will go on about a few signs that indicate when you should absolutely make that home purchase.
You love your job and it pays off well - Job and income security are definitely two things that we all strive for. With this moving-up-in-the-world, you should definitely start thinking about making that real estate investment.
The prospect of having a family is in the not-so-distant horizon - Living spaces are typically bigger in houses as opposed to apartments or condos and hence serve better avenues to raise families in. Though there might be exceptions to this, the ownership of your own home might serve you better in terms of the little ones painting on the walls and other adorable vandalisms. At least you wouldn't have to answer to any landlord.
Relocation isn't all too probable - If you believe you will be calling an area your home for 5 years or more then contact your realtor as soon as possible. Staying that long at a certain location without investing in that area's real estate is a missed opportunity!
The property is closer to places you frequent - Apart from being a major convenience, this sign can also save you a lot of gas money accumulated over time. After all, real estate is still about location, location, location. If this place is close to hospitals, shopping centers and schools, then that would just make this investment all the sweeter.
If you can see these signs working in your life, then it’s time to take a chance and get in touch with a trusted realtor in the area your eyeing. Things might just be lining up for you to make that investment!
I hope you have found this information helpful. If you need any help with buying, selling or renting a home in Evansville, Indiana please contact me at any time. You can call me at 812-499-9234 or email at Rolando@RolandoTrentini.com
|
|
 |