denver aurora realtor: Gift Amount Increased for 2022
- 09/28/22 10:04 AM
The limit for tax free gifts for 2022 is $16,000 and no tax is due to the donor or the donee. There are provisions that would allow gifts higher than this amount providing the total lifetime gifts above the annual exclusion of $12.06 million for 2022 has not been met.
The donor and donee can be separate persons so that the aggregate tax-free gift for one-year amounts to more money. For instance, a father and mother can gift $16,000 each to their married son in 2022 and an additional $16,000 each to the daughter-in-law for a total $64,000.
If the son and … (3 comments)
|
denver aurora realtor: Instead of a vision, show them the house
- 04/05/22 07:30 PM
Sellers try to rationalize not making needed updating and repairs to their homes before marketing them by saying they are going to let the buyers make their own personal choices. It is a convenient story to justify not going to the effort for the necessary market preparation to justify achieving the highest possible sales price.
An agent told a story of a home that was structurally sound being on the market, but it needed significant cosmetic work, like paint, floorcovering, updated fixtures, and lots of yard work. The house was vacant with the owner having moved out of town.
The agent explained … (0 comments)
|
denver aurora realtor: The Dynamics of Home Equity
- 03/16/22 09:07 AM
Appreciation and amortization are key factors in building equity for homeowners with mortgages. As the home goes up in value due to appreciation and the unpaid balance goes down due to amortization, the equity increases.
Appreciation is the increase in value of a home and is usually measured year over year. In recent years, appreciation has been robust (19% nationwide in 2021) due to high demand and low inventory. Many times, the news will quote annual appreciation rates from a national or regional level.
Occasionally, you may see a chart that tracks the annual appreciation over a period, but it is more interesting … (0 comments)
|
denver aurora realtor: There's More to it Than You Might Think
- 01/05/22 03:54 PM
There is more to selling a home than you might think. Superficially, a person might think that it will sell itself currently because, nationally, homes for sale receive 3.6 offers and they sell within 18 days.
Any business student can probably list the four Ps of marketing: product, price, place, and promotion. It may appear that there isn't much to selling a home: put a price on it; photograph it; put a sign in the yard; and, put it in MLS but, on closer scrutiny, there is a lot more that the best agents provide.
Long before the home goes … (0 comments)
|
denver aurora realtor: Writing a Successful Offer in a Low Inventory Market
- 05/09/21 06:16 PM
With at least 40% less homes on the market currently than there were a year ago, serious buyers have probably experienced the disappointment of losing a home they wanted to buy from increased competition. Today's buyers are looking for ways to improve their odds of being the best contract without having to use the purchase price as their only tool.
Buyers should reconsider, rethink, and re-evaluate their "must have" features and amenities. It is probably unrealistic in a normal market to think you can have the perfect home at the price you want but in today's market … (0 comments)
|
denver aurora realtor: Say "NO" to FSBO
- 03/30/21 03:14 PM
To understand the reasoning behind why a homeowner should not sell their home by themselves, we need to identify the motivation. Probably, more times than not, the homeowner wants to "save" the cost of the commission. It certainly represents a significant amount of money.
In 1981, homes sold For Sale by Owner represented 15% of the homes closed while 85% were agent-assisted. The percentage of sellers handling their own homes alone has declined over the decades to only 8% of homes sales in 2020. Interestingly, half of the sellers knew the buyers and the other half did not.
The FSBO sellers who knew the buyers, … (1 comments)
|
denver aurora realtor: Some Mortgage Interest May Not be Deductible
- 11/01/20 11:22 AM
… (0 comments)
|
denver aurora realtor: Who Decides Value?
- 07/14/20 12:57 PM
Who Decides Value? The seller can put a price on the home but the value is ultimately, determined by the buyer. Individually, a buyer could pay over market value because they love the location, or the elevation of the home or the proximity to something that is important to them. The shortage of available homes resulting in increased competition among buyers could drive the value higher.
Most experts agree initially pricing it properly will generally result in the highest sales price. If a home starts out too high, it could actually sell for a lower price after it has been on the … (2 comments)
|
denver aurora realtor: Why Have a Mortgage During Retirement?
- 03/16/20 02:33 PM
You don't have to watch TV for long before Tom Selleck, Henry Winkler or Robert Wagner will tell you why seniors should consider a reverse mortgage. However, there are a seniors who are resisting the conventional wisdom of having their home paid for and opting for a mortgage with payments on their home.
In some cases, seniors will downsize into a smaller home and have a large amount of equity to pay cash for the new home. In other situations, they may have their home paid for and decide to do a cash-out refinance which will require making payments.
The logic behind either … (2 comments)
|
denver aurora realtor: Why Put More Money Down?
- 02/18/20 07:34 PM
The least amount in a down payment is an attractive option when people are thinking of buying a home. A common reason is to have cash available for furnishing the new home and possible unexpected expenses.
Some people don't have any options because they only have enough for a minimum down payment and the closing costs. For those fortunate buyers who do have extra money available, let's look at why you'd want to do such a thing.
Most loans in excess of 80% loan to value require mortgage insurance to protect the lenders for the upper portion of the loan … (0 comments)
|
denver aurora realtor: Your Rate Depends on your Score
- 01/21/20 02:37 PM
Most homebuyers probably know that their FICO mortgage score can determine whether they qualify for a loan, but they may not be aware that it can determine what interest rate they'll pay.
The same $300,000, 30-year, fixed-rate mortgage can have a principal and interest payment that ranges from as low as $1,340 or as high as $1,619 based on this recent picture in time. The variable is the FICO score of the borrower. Use this calculator to see current rates and your loan amount.
While you can get a conventional mortgage with as low as a 620 FICO score assuming the rest of … (4 comments)
|
denver aurora realtor: Mortgage Lock-in
- 01/14/20 04:29 PM
A mortgage lock-in is a lender's agreement to hold a specific interest rate for a stated period for a loan at the prevailing market interest rate. This provides the borrower some protection against the interest rates going up during the lock period.
If you think the rates are going down, the advantage would be to "float" and take advantage of the lower rate. If you think the rates are going up, you could lock when you apply or when the application is approved. Some buyers are marginally qualified at the current rate and if the rates go up, it could keep them from … (5 comments)
|
denver aurora realtor: A Good Time to Buy a Home
- 10/29/19 06:35 PM
You may have noticed that REALTORS® seem to always think now is a good time to buy and they can usually justify it with solid reasoning. While it can be true in general, a good time to buy has more to do with the individual than anything else. There are four things to consider.
It is a good time to buy a home when you have good credit. Since the Great Recession and the housing crisis, lenders have been required to be sure that the borrowers have good credit. This actually benefits not only the lenders but the borrowers because no one wants to … (2 comments)
|
denver aurora realtor: Lighting Conversion Plan
- 11/21/17 01:47 PM
In 2007, Congress passed an energy act that required new energy-efficient standards for basic light bulbs. Standard incandescent bulbs are being phased out and eventually will be unavailable.
The alternative bulbs differ considerably in price. LED bulbs are the most efficient but they also cost the most. CFLs are a less expensive alternative. Interestingly, the more expensive replacements offer lower operating costs and longer economic life.
One approach will be to inventory the different types and quantities of light bulbs you need in your home. Then, research either online or a big box store to find out what each type of bulb … (3 comments)
|
denver aurora realtor: Deductible Dilemma
- 09/07/17 07:00 PM
The purpose of insurance is to shift the risk of loss to a company in exchange for a premium. Most policies have a deductible which reduces the amount of the claim that is paid by having the insured share in the first part of the loss.
In the process of managing insurance premiums, policy holders often consider higher deductibles to lower the premium. Lower deductibles mean less money out of pocket if a loss occurs but also results in higher premiums. Higher deductibles result in lower premiums but require that the insured bear a larger part of the loss.
A small fire in … (0 comments)
|
denver aurora realtor: Save on Home Owner's Insurance
- 03/04/15 03:03 PM
Insurance is a way to hedge the risk of a possible loss on an asset that a person or entity cannot afford. The cost of the coverage is determined by risk and exposure to the insurer and reflected in the premium.
Another way to say it is: don’t buy insurance when you can afford the loss. If you have a mortgage on your home, you must have insurance. It is probably prudent for most people to have property insurance but certain coverage might be avoided because you can afford the loss if you were to have an occurrence.
Call your … (0 comments)
|
denver aurora realtor: Home is Worth the Sacrifice
- 03/04/15 02:55 PM
There are many reasons people want a home with the most frequent responses being a place of their own, to raise their family, share with their friends and feel safe and secure. These are all strong motivations fueling the American Dream of owning your own home.
The motivation is so dominant that buyers are willing to make sacrifices to have their dream come true. According to the 2014 National Association of REALTORS® Home Buyers and Sellers Survey, 72% of first-time buyers cut spending on luxury or non-essential items. They also cut spending on entertainment, clothes and even cancelled vacation plans.
… (0 comments)
|
The limit for tax free gifts for 2022 is $16,000 and no tax is due to the donor or the donee. There are provisions that would allow gifts higher than this amount providing the total lifetime gifts above the annual exclusion of $12.06 million for 2022 has not been met.
;)
;)
;)
