Hope Leitner, Realtor®, CRS

Banks are concerned about making loans that will be repaid not about making loans that are tax deductible for homeowners.   It is good business for the bank but how is the homeowner supposed to know? Most homeowners and potential homeowners are aware there are tax benefits associated with ownership.   For instance, mortgage interest and property taxes have been deductible expenses from federal income tax since it was enacted in 1913.   The current law provides that homeowners can deduct the interest on Acquisition Debt which is the amount of debt incurred to buy, build or improve a first or second home up to $750,000.   The amount of acquisition debt decreases as payments are made and it cannot be increased unless the additional funds borrowed are used for capital improvements. It is not uncommon for a homeowner to refinance their home for any number of reasons.   It could be to get a lower interest rate that would lower the payments or remove mortgage ins...

The concern today when putting your home on the market should not be whether you'll get a contract; it's whether you are going to recognize the majority your net proceeds without any unnecessary delays. What you realize from the sale of your home has to do with maximizing the sales price while minimizing the sales expenses.   Interestingly, the buyers will be trying to minimize the price they have to pay for your home and possibly, have you pay some of their expenses. Taking a few pictures with a cell phone and putting a sign in the yard may be enough to get a buyer but successfully selling a home in today's market requires expert marketing and expert negotiations.   Marketing begins with the preparation of the property to optimize the first impressions it makes to potential buyers.   A skilled professional can make recommendations that can help the home sell for the most money and in the shortest amount of time.   Cleaning, painting, depersonalizing, removing ...

Just like buyers should be pre-approved before they begin to look at houses, Sellers should have their home pre-approved.   The reasons are similar: appeal to the "right" buyers, discover issues with the home early, improve marketability, increase negotiations position and close quicker. For the seller, there are few things that need to be done before the sign goes in the yard and definitely before prospective buyers see the home.   The first is to understand that once you decide to sell the home that it needs to appeal to the broadest base of buyers and that means depersonalizing your home. Once the home is sold, you will need to pack your things for the new home.   Think of this as starting the process early.   Get moving boxes and make decisions on what you intend to give away or discard in each room and closet.   Identify and pack those items before the home goes on the market. This will be the first wave of making your home more marketable. When your ...

More and more homeowners are employing smart home technology within their homes.  It may start with a video doorbell or lights and progress to other devices.  The smart-home device market is rapidly growing and Forbes research expects it to grow from $55 billion in 2016 to $174 billion in 2025. The popularity of these high-tech features will require a few additional steps to consider when selling a home.  The seller should determine which items will and will not stay with the sale of the home and identify them in the listing agreement. Confusion can arise when a home's marketing mentions its smart-home technology and is unclear if a piece like the hub, which is easily considered personal property but is integral to the working of the system.  Some might consider it an accessory and others a component. A smart home can contain multiple technology devices connected to the Internet that allow them to be controlled or accessed from computers, tablets or most commonly, on...

  Why Pricing Your House Right Is Essential In today’s real estate market, setting the right price for your house is one of the most valuable things you can do. According to the  U.S. Economic Outlook  by the  National Association of Realtors  (NAR), existing home prices nationwide are forecasted to  increase 4.7% in 2020  and  4.1% in 2021 . This means experts anticipate home values will continue climbing into next year. Today, low inventory is largely keeping prices from depreciating. Danielle Hale,  Chief Economist  at  realtor.com ,  notes : “Looking at the sheer number of buyers, low mortgage rates, and limited sellers, the strength of home prices–which are now growing at the highest pace since January 2018–makes sense.” When it comes to pricing your home, the goal is to increase visibility and drive more buyers your way. Instead of trying to win the negotiation with one buyer, you should price your house so that  dem...

  Information is brought to you by Hope Leitner Berkshire Hathaway HomeServices California Properties How FICO 9 May Increase Credit Scores How medical debt and other collection items are tallied in a credit score is changing, potentially increasing the credit scores of millions of people. Called the FICO 9, the new credit score changes how medical collections are treated from non-medical changes, such as credit cards. A medical debt will now damage a credit score less than paying a credit card bill on time, for example. FICO 9 came out in 2014, but the improved credit scores could just now be coming to fruition for many consumers because it can take a few years for banks and other lenders to implement the new system. The new FICO 9 score should give responsible borrowers better access to credit and lower rates on existing credit once the changes are accepted by the industry. Part of the thinking behind the changes is that for many people facing medical debt collections, it isn’t s...

  Information is brought to you by Hope Leitner Berkshire Hathaway HomeServices California Properties How to Lower Your Homeowners Insurance You’ve probably seen thousands of ads for Geico or Aflac on television talking about the latest savings you can get for car insurance. But how often do you see companies talking about lowering your home insurance?  Probably not regularly. Obviously, people know they need home insurance. But typically, those who own homes don’t understand the policies the same way that they would their car insurance, and that’s why many people pay more than they need to. Typically, a policy will cover the actual dwelling and some of the other structures on the property, such as a fence, garage and driveway. Personal property is also usually covered, and regularly covers the contents inside the home, although there will be a higher cost for high-value items like jewelry or antique paintings. Thankfully, there are some steps one can take to lower their homeo...

Information is brought to you by Hope Leitner Berkshire Hathaway HomeServices California Properties What Couples Should Discuss Before Retiring Compromise is an important part of marriage. From deciding how much to spend on a new living room set to what to watch on TV tonight, compromise is constant. It can also be a big part of retirement conversations. While agreeing on the financial and logistical issues around retirement is great if you can get there, chances are, there are some aspects of a life together without work that will be a compromise. Getting on the same page before retirement can make it a lot easier. Here are some topics couples should talk about before retirement: When to Retire Do you both plan on retiring at the same time? Maybe one person wants to wait until age 70 to receive the most Social Security benefits, while the other wants to collect them when they’re first eligible at age 62. What Are Your Retirement Goals? Each person may have different dreams of what ret...

  Buyers Are Finding More Space in the Luxury Home Market A year ago, additional space and extra amenities had a very different feel for homebuyers. Today, the health crisis has brought to light how valuable more square footage and carefully designed floorplans can be. Home offices, multi-purpose rooms, gyms, and theaters are becoming more popular, and some families are finding the space they need for these upgrades in the luxury market. The  Institute for Luxury Home Marketing  (ILHM)  explains : “With quarantine concerns still top of mind for many luxury buyers, we see large, sprawling estates making their comeback. For instance, the last six months have seen a resurgence in the buying of mega mansions and estate-size homes – specifically properties that offer space (both inside and outside), separate home offices, gyms, and private amenities such as swimming pools, yoga studios, and recreation rooms.” This was not the case at this time last year, as the most recen...

More and more homeowners are employing smart home technology within their homes.  It may start with a video doorbell or lights and progress to other devices.  The smart-home device market is rapidly growing and Forbes research expects it to grow from $55 billion in 2016 to $174 billion in 2025. The popularity of these high-tech features will require a few additional steps to consider when selling a home.  The seller should determine which items will and will not stay with the sale of the home and identify them in the listing agreement. Confusion can arise when a home's marketing mentions its smart-home technology and is unclear if a piece like the hub, which is easily considered personal property but is integral to the working of the system.  Some might consider it an accessory and others a component. A smart home can contain multiple technology devices connected to the Internet that allow them to be controlled or accessed from computers, tablets or most common...