Why You SHOULD OWN a Home - 5 Reasons

It's a Great Time to Buy Real EstateDee Sufnar,  Realtorwww.DeeSufnar.com

5 Reasons YOU Should OWN a Home

1.) Housing is typically the one leveraged investment available.

“Few households are interested in borrowing money to buy stocks and bonds and few lenders are willing to lend them the money. As a result, homeownership allows households to amplify any appreciation on the value of their homes by a leverage factor. Even a hefty 20 percent down payment results in a leverage factor of five so that every percentage point rise in the value of the home is a 5 percent return on their equity. With many buyers putting 10 percent or less down, their leverage factor is 10 or more.”

 NOTE: You do not have to put 20%, 10%, or even 5% down on a home, especially is you are a first-time homebuyer. There are many mortgage programs that offer 100% financing including VA, Rural Housing, and My Community programs.

2.) You're paying for housing whether you own or rent.

“Homeowners pay debt service to pay down their own principal while households that rent pay down the principal of a landlord.” 

 NOTE: Owning a home has tax advantages as well as equity options. When you rent, you are giving those incentives to the owner.

3.) Owning is usually a form of “forced savings”.

“Since many people have trouble saving and have to make a housing payment one way or the other, owning a home can overcome people’s tendency to defer savings to another day.”

NOTE: Forced savings can also mean spending less money when you own a home versus renting a home. Rents are consistently going up year after year. If you opt for a fixed rate mortgage, your mortgage payment is the same for principal & interest.

4.) There are substantial tax benefits to owning.

“Homeowners are able to deduct mortgage interest and property taxes from income...On top of all this, capital gains up to $250,000 are excluded from income for single filers and up to $500,000 for married couples if they sell their homes for a gain.”

NOTE: Consult a tax advisor for all the benefits available including energy savings advantages, home improvement advantages, and homestead advantages.

5.) Owning is a hedge against inflation.

“Housing costs and rents have tended over most time periods to go up at or higher than the rate of inflation, making owning an attractive proposition.”

NOTE: A fixed rate mortgage stays the same while your landlord will increase your rent year after year.

Bottom Line

We realize that homeownership makes sense for many Americans for an assortment of social and family reasons. It also makes sense financially. If you are considering a purchase this year, give us a call to help evaluate your ability to do so. We have several local mortgage lenders that will help get you prequalified. 

Dee Sufnar Real Estate Consultant

Use your IRA for Real Estate Investment

The US housing market is rebounding and the economic recovery strengthening.  Real estate is an increasingly attractive for investors looking to save for retirement. Investing in real estate can provide portfolios with much-needed diversification as well as the potential for capital gains

Personal retirement funds, like those held in self-directed IRAs, may not be at the top of your list as a source of capital.   Did you know that is possible to invest IRA funds beyond stocks, bonds and mutual funds?  REAL ESTATE.  Self-directed IRAs give you the control over choosing your investments.  You can use IRA funds to participate in almost any form of real estate investment; from residential properties to commercial properties; including farmland and boat slip.

Using an IRA to invest in real estate provides you with the added benefit of investing with tax-advantaged dollars. When you, the investor uses retirement dollars, in most, if not all cases, capital gains are avoided and taxes on income from return on investment are deferred until it's time to take distributions.

If you invest a Roth IRA, in many cases you can avoid paying taxes on distributions or profit generated by the sale of the property entirely. (In all cases, reviewing the investment with a tax professional is always a good idea.)

Buying and maintaining real estate in an IRA differs from traditional property investments in a few important ways. Regardless of the asset type, the investment purchased by IRA funds, will remain in the name of the IRA custodial for that account.

There are also certain regulations that you need to be aware of when it comes to investing in real estate with a self-directed IRA. One example is that self-directed IRAs are prohibited from holding any assets that are used for the owner’s personal benefit – so you client cannot buy a home with IRA funds and then live in it.

Build your retirement wealthy now by investing your IRA funds in to REAL ESTATE.

National Root Beer Float Day

In observation of National Root Beer Float Day… 

I think it’s appropriate to discuss the best way to make a root beer float.

We all know the ingredients are Root Beer and Vanilla Ice cream, but how do you make yours?

Do you add the root beer to the glass and then add in your scoops of delicious vanilla ice cream?  Creating the plop… plop… type foam … that you slip through the straw.

Or … you first add the yummy vanilla ice cream and slowly pour the rich brown root beer over the ice cream creating a very large foam that you eat off the spoon?

Some I have heard stir theirs after either way of making it….

And the ice cream… do you have a favorite brand or type of vanilla ice cream?   Breyers... Ben & Jerry’s… Haagen Dazs… Blue Bell…

What about the root beer???  Do you have a favorite… there are several out there! A & W… MUG… DADS… ICB…  Shasta… ????

What every your favorite root beer is, and what every way you add your favorite vanilla ice cream… 

Enjoy todays National Quirky holiday….

Root Beer Float Day! 

     

 

Trust Platinum Blog: What you may not have known about the Month of May...

Trust Platinum Blog: What you may not have known about the Month of May...: What you may not have known about the Month of May Everyone knows that May is known for Cinco de Mayo, Mother's Day  and Memorial day...

What you may not have known about the Month of May

Everyone knows that May is known for Cinco de Mayo, Mother's Day 
and Memorial day, 

BUT did you know..... 

According to the early Roman calendar, May was the third month. Later, the ancient Romans used January as the first month and therefore, became the fifth month and it always had 31 days. 

May was first named for Maia, the Roman goddess of spring and growth. In the North Temperate Zone, may is one of the most beautiful months of the year. Usually, the snow and ice are gone by this time but the hot temperature hasn't arrived yet. 

In May, the first garden begins to sprout and the wild flowers start to bloom and the trees and grasses turn green. Wild flowers such as forsythia, dogwood, violets, and jack-in-the-box bloom and many birds build their nests to sit on the eggs that will soon hatch. 

Question of the Day

Question:   How important is marketing your on the internet?

Answer: It is very important!!!! 

92% of all consumers use the internet to search for their real estate purchase.    

Most of sellers the internet to compare their home to their neighbors’ homes features.  .  They know what internet web site the home across the street showed up on.

Did you know that 48% of Buyers look on the internet web sites to find their home, before calling an agent to schedule a showing?   They narrow down the home searches based on the pictures and information on easy access websites.

Platinum Real Estate Associates has access to market your real estate on over numerous internet web sites.  We know where the buyers are going to look for their home; we know the market in your neighborhood, and we can help you sell your home. 

How important is marketing your Real Estate on the internet?

Question of the Day:

How important is marketing your Real Estate on the internet?

Answer:  It is very important!!!! 

92% of all consumers use the internet to search for real estate.   Platinum Real Estate Associates has access to market your real estate on over 900 web sites.   

48% of Buyers will find their home on the internet first before viewing it in person. 

What site do you use to look at real estate?