Area Real Estate News & Market Trends

You’ll find our blog to be a wealth of information, covering everything from local market statistics and home values to community happenings. That’s because we care about the community and want to help you find your place in it. Please reach out if you have any questions at all. We’d love to talk with you!

Jan. 5, 2019

Things House Hunters Should Do Before Setting Foot in a Home

Once you decide to buy a home, the first thing you (understandably) want to do is pop into open houses and fantasize about your new life in your new digs.

It is a crucial part of the process. But jumping straight into the deep end could land you in trouble—both financially and emotionally.

Take it from me: When my husband and I bought our first house, we launched into the search without prepping properly. We fell in love with a two-bedroom bungalow far too quickly (it was one of the first homes we saw), and spent the entire closing process playing catch-up. We rushed to get a loan approved; we scrambled to understand our contingency options; and in the end, the home turned out not to be exactly what we needed.

I've made a promise to myself: Next time, I'll think things through and prevent buyer's remorse. And I urge you to, too. I talked with real estate pros like Carriene Porter of Precision Realty & Associates, to find out the things you should do before you ever set foot in a home.

1. Get your credit in order

Good credit is essential when buying a home. A poor credit score can lead to a higher interest rate and, by extension, a higher monthly payment. Dings on your credit—e.g., an old debt that's been turned over to a collection agency, or a high credit card balance—can even prevent you from buying a home.

"You would think that, having heard so much about credit, people would know exactly what their credit is, but often they don't."  "Not knowing sets you back—a difference of 10 points can make a significant difference in your loan product."

Before you start house hunting, pull your credit report (AnnualCreditReport.com is a reputable and free service) and address any problems dragging down your score.

2. Get pre-approved

Before setting foot in a home, find a reputable lender and get pre-approved. Let us be clear: This is not a simple pre-qualification; a pre-approval uncovers exactly how much house you can afford and is an essential component of a successful offer letter.

"Your offer means nothing without showing a pre-approval letter," says Carriene Porter of Precision Realty & Associates,

Don't have a lender yet? Don't worry. Your agent can recommend local lenders, or you can seek out recommendations from other homeowners. Once you've settled on a lender you like, have the lender review your finances thoroughly to point out any concerns.

3. Make a list of your must-haves

Finally, the fun part! Now you get to start browsing home listings. In fact, feel free to start obsessively refreshing realtor.com for listings in your desired area months before you start seriously looking.

Just make sure to take extensive notes of everything you love: Do you want to be in a specific school district? Are you eager for an en suite master bathroom? Is a basement a must-have?

"Then, pick your absolute top three and hold firm on those."  "If you get the rest of your longer list, or even a few of them, you're ahead of the game."

If you have this list prepared and in hand when you visit your first home with your agent Carriene Porter of Precision Realty & Associates, you won't be prone to making impulsive decisions based on your gut, or getting starry-eyed over gorgeous architectural details that don't actually meet your needs.

4. Review a residential purchase agreement

It might feel like you're jumping the gun to think about the contract to buy a home before you even start looking for one. But home buying involves a flurry of paperwork, and you should understand what you'll sign before you're under pressure. Review a sample residential purchase agreement with your agent beforehand so you can head into this nerve-wracking process with open eyes.

"Sometimes in the home-buying process, especially in a seller's market, the process can go so quickly that buyers don't know what they are signing and what the contingencies mean," Wilder says.

For instance, if you're selling and buying simultaneously, you might want to include a "home sale contingency," which makes the purchase dependent on successfully selling your own home. Or you might include an inspection contingency, so that you'll have the option to back out if serious flaws are uncovered.

5. Prepare to be flexible

The home-buying process is filled with highs and lows. You might find a home that fits most of your criteria—but misses the mark in one big way. You might be forced to compromise, or move to an area you didn't expect.

Before you dive in, "take a deep breath and promise yourself to be as flexible as possible," Hertz says. "You may fall in love with the kind of place you never thought you would consider."

As an example, she recalls the search for her current home. Early on, she was "set on living in a particular town and only that town." She and her husband spent 10 months looking at homes that didn't fit the bill.

Then, "quite by accident, my husband found a listing ad that looked intriguing, in a neighboring town we had never even heard of," she explains. "You can guess the rest: Not only was it love at first sight, but 28 years later, it still is."

6. Explore all of your loan options

"Often, first-time home buyers automatically sign up for the 30-year fixed," Carriene says. "But often there are alternatives that will work for them, but are not explored."

If you're buying a small home or studio, you likely won't stay for 30 years. Perhaps a shorter mortgage term could be useful. Or, if you have big pockets but can't quite afford an all-cash offer and find yourself repeatedly losing in bidding wars, Carriene recommends the delayed financing option, which lets you pay cash upfront for the house—and then get a mortgage for the home after closing.

7. Fill your cash reserves

Don't just save up for a down payment. Make sure you've stuffed your emergency fund, too.

In addition to having the down payment in your bank account, Wilder says, you should have an emergency fund that amounts to several months of what the mortgage payments would be.

Having this money before you start the home search will help the loan process—it proves you're fiscally sound. And, of course, it also buffers against any potential surprises once you get the house, like a brand-new water heater going kaput.

Don't set foot in a home without preparing yourself emotionally and financially. Laying the proper groundwork guarantees good decisions—and a home you'll adore.

Are You Ready to get Started? When you work with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  

 

#Lease #UtahRealEstate #Homeownership

Posted in Buying
Jan. 4, 2019

Better Housing Days Coming in 2019?

Pending home sales slipped in November, but a reversal is in sight, according to the National Association of REALTORS®’ latest housing report.

NAR’s Pending Home Sales Index—a forward-looking indicator based on contract signings—decreased 0.7 percent to a reading of 101.4 in November. Contract signings are down 7.7 percent year over year.

However, “the latest decline in contract signings implies more short-term pullback in the housing sector and does not yet capture the impact of recent favorable conditions of mortgage rates,” says Lawrence Yun, NAR’s chief economist. Freddie Mac reported another drop in mortgage rates last week.

The 30-year fixed-rate mortgage averaged 4.55 percent, with an average 0.5 points.

Yun says that pending contracts have reached their lowest mark since 2014, but he still predicts solid growth over the long term in the housing market.

Lawrence Yun discusses November pending sales, effects of the government shutdown on flood insurance and contracts, and gives his 2019 forecast.

Rising Inventories

More inventory is coming to the market as more homeowners put their home up for sale. The markets seeing the largest year-over-year increases in inventories are: Denver-Aurora-Lakewood, Colo.; Seattle-Tacoma-Bellevue, Wash.; San Francisco-Oakland-Hayward, Calif.; San Diego-Carlsbad, Calif.; and Providence-Warwick, R.I.

The Outlook

Overall, the housing industry looks to close out the year with 5.3 million home sales, which is similar to the year 2000. “But given the 17 million more jobs now compared to the turn of the century, the home sales are clearly underperforming today,” Yun says. “That also means there is steady longer-term growth potential.”

Are You Ready to get Started? When you work with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  

 

#Lease #UtahRealEstate #Homeownership

Posted in Market Updates
Jan. 3, 2019

Smart Reasons to Get Renters Insurance

If you’re a renter, you may think that you don’t need renters insurance. Technically, it’s your landlord’s building and that makes the landlord responsible for anything that happens. Right?

Not exactly. Of your landlord’s many responsibilities, covering your losses typically isn't one of them. But that's why renters insurance exists: to protect renters from natural disasters, stolen property, and anything in between.

"Landlords strongly recommend—and in most cases, require—that their tenants purchase renters insurance.

Think renters insurance is a frivolous expense? Think again. Here are the most compelling reasons why you should have a renters insurance policy.

1. Renters insurance is inexpensive

The amount you pay for renters insurance ultimately depends on where you live—but it’s only a drop in the bucket compared with how much you'll spend on rent in a year.

“The average renters insurance policy could cost under $150 per year for $30,000 of property coverage and $100,000 of liability coverage.”  “This is a relatively small price to pay to ensure your personal belongings are protected.”

That’s why Carriene Porter at Precision Realty & Associates, says she always recommends renters insurance to clients after they sign a lease whether or not the building requires it.

Renters insurance is a no-brainer because it’s so cheap, yet it covers so much.” 

She says the payout could be in the thousands if something happens to your belongings.

2. Your landlord's insurance won't cover you

It’s a common misconception that, in the event of a fire or flood, your landlord’s insurance will cover your belongings.

“The truth is that a landlord's coverage does not extend to the personal property of their tenants,”  a licensed real estate salesperson at Precision Realty & Associates. “So, if your neighbor across the hall leaves a candle burning and a fire spreads and damages your home, replacing your electronics, clothes, and furniture is strictly your financial responsibility.”

Or, suppose there’s an issue with a burst pipe.

“If the water damages your possessions, you won’t get any compensation for your belongings through the landlord's policy.” “Your landlord will only have to pay to repair the pipe, not for the damage that it caused to your possessions.”

The same can be said if someone breaks into your home. Let’s say someone kicks in your door, and steals your belongings.

“Your landlord will only be liable to pay for the damages the burglar caused to the property—like the broken door—but you won’t get any compensation for the belongings that were stolen.” 

So without renters insurance, you’re on your own to replace your valuables.

3. It protects you against personal liability

Renters insurance doesn't cover just you; it also covers what could happen to someone else.

“It would protect you against personal liability for the injury you cause to someone else because of negligence,” according to Hank Wilson, founder of Wilson Insurance and Financial Planning in Philadelphia.

For example, let's say someone slips and falls inside your home and takes legal action against you. Your renters insurance could help cover any liability.

But your liability isn’t limited to you and your immediate surroundings.

“This would include your pets or even your children causing harm to someone due to negligence,” Wilson says. “Your renters policy would even provide coverage for damage you accidentally cause to someone else’s property elsewhere.”

We are Ready to Help! When you’re working with real estate professionals like Carriene Porter at Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  

 

 

#LeasePurchase #UtahRealEstate

Posted in Rental
Jan. 2, 2019

Are you Sabotaging the Sale of Your Home

So you've finally decided to put your home on the market. You've planned your first open house, begun searching for new digs, and even made a mental packing list. Now all you have to do is sit back and wait for the offers to roll in, right?

Well, sellers, we don't mean to freak you out, but we've got bad news: You just might be sabotaging your home sale. Obviously, it's the last thing you'd want to do, but one wrong turn—or wrong decision—could hurt your chances of landing a buyer. And the most unsettling part? You probably have no idea you're doing anything wrong.

Below are some of the ways you may be turning off buyers without even knowing it.

1. Bad color schemes

When your house is on the market, you want to make it appeal to as many people as possible. And while your kitchen done in your favorite shade of neon green might be attractive to you, it could repel buyers.

“When a buyer comes into your home, you want them to imagine it as their future home. The more difficult it is, the less likely they are to buy,” says Carriene Porter of Precision Realty & Associates in Salt Lake City Utah. “The more muted the decorations and color schemes, the broader the reach and the better off you are.”

2. Too much personal taste

It's not just bold colors you should avoid; beware of showing off too much of your style—at least while your home is on the market. (Yes, we're even talking about your beloved lion statues on the front porch.)

“Odd decorations divert buyers' attention away from the home itself,” says Carriene Porter of Precision Realty & Associates in Salt Lake City Utah. “I once saw a home with a stuffed peacock in the bedroom, and every buyer would go in and note the peacock, but not the bedroom itself."

When in doubt, think neutral: Replace loud patterns with muted ones, and put eccentric decorations and personal knickknacks in storage before your next open house.

3. Bad odors

You might have become nose-blind to cigarette or pet odor, but savvy buyers will instantly pick up on funky smells—and that's a sure way to drive them away.

If you smoke—or used to smoke—inside your home, know this: Residual nicotine can still be present in the drapes, furniture, carpets, and on walls and other objects long after you’ve put out the last cigarette, according to the Centers for Disease Control and Prevention.

And this isn’t a problem that can be solved with air freshener. You’ll need to either wash or dry-clean your fabrics, shampoo your carpets, and wash your walls. If washing the walls doesn’t work, you’ll need to repaint.

Pet urine on baseboards and in carpets and rugs is also problematic. Bleach, vinegar and water, or specially formulated cleaners can combat these smells. No matter what, expect to do a deep, deep clean before you list your home.

4. Not being flexible for showings

The real estate market moves quickly, so if you want to sell your home you need to cater to the potential buyers' schedules.

“I get it, getting kicked out of your house for showings isn't fun, but to maximize the activity on your home, you have to be accommodating to potential buyers,” says Carriene Porter of Precision Realty & Associates in Salt Lake City Utah.

If possible, require only a few hours' notice before showings, he recommends.

“It's so much easier for me and my buyers if we're able to schedule a showing when it's most convenient for us,” Stevenson says. “The sooner a buyer can see your house, the sooner they can make an offer, which lessens the chance of finding something else."

And remember: One thing buyers definitely shouldn’t see during a showing is you.

“When owners are home during a showing it adds a layer of uneasiness since buyers don’t really feel free in the space,” says says Carriene Porter of Precision Realty & Associates in Salt Lake City Utah. “They feel like a guest in someone’s home, and ... you want them to feel like it’s their home.”

5. Disguising problem areas

In your quest to have a show-ready home, don’t cut corners. A fresh coat of paint might temporarily hide the appearance of mold, but it'll likely crop up in the home inspection.

“Savvy buyers know to look for mold, which is a fungus that could be toxic,” says Carriene Porter of Precision Realty & Associates in Salt Lake City Utah. "If they don’t find it, a home inspector will.”

Structural issues are another concern for buyers.

“Hairline cracks over doorways could be a sign of settling, but they could also be a sign of structural issues,” Carriene explains.

Instead of trying to hide these problem areas, be sure to address them before you put your house on the market—and be upfront with buyers if you decide to sell the home as is.

Bottom line: Don't try to use paint, rugs, or fancy lighting to mask problems that a buyer will probably uncover.

We are Ready to Help! When you’re working with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

Tell you Family and Friends that we have a new way to qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  

 

 

 

#LeasePurchase #UtahRealEstate

Posted in Buying, Selling
Jan. 1, 2019

Happy New Year

Did you notice? We have a new website! We’ve streamlined the new site to run with as little overhead as possible resulting in a much faster and more responsive site.

Our website features the best real estate search for homes, condos, land and Lease to Purchase properties. It is the only site you will ever need! It is easy-to-use and updated by the official Realtor®’s database every 15 minutes. 


Curious about what’s happening
 in your neighborhood? You can create a custom market report to see what’s active, under contract, and sold in your neighborhood!

Considering selling or refinancing your home? Get an INSTANT property valuation now!

Mortgage Calculator so you can instantly see what your mortgage payment could be on a home that may interest you.

School information as to ranking and locations and much much more. 

Also a new and exciting program that could help many more buyers get into a new home its called Lease with right to Purchase.

You can save searches, and get daily email alerts of new listings, price changes, sold data, and market reports. Our Interactive Map Search allows you to view properties on a map or refine your search by drawing the boundaries around the area you desire. 

We hope you enjoy the new site, please login and start your home search where it be Selling or Buy you can get a lot of information and if you don't fine what you looking for there, just reach out to Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

 

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  

 

 

#Lease #UtahRealEstate #Homeownership

Posted in Buying, Holidays, Selling
Dec. 31, 2018

Steps to Achieve your Homebuying Resolution

The new year is a time for new beginnings and, of course, resolutions. If one of your resolutions for 2019 is to become a homeowner, we have a list of 6 things you can do to get prepared and make the homebuying process easier.

  • Evaluate your finances: Before you start house hunting, you need to get a firm handle on your finances. What do you earn?  What do you spend?  How much do you have in savings? Answering these questions will help you determine if you are financially ready for homeownership.  
  • Get Credit Smart: Find out what your credit score is. Credit is key to getting a mortgage and determining your interest rate. You can take steps to improve your credit by paying your bills on time, working with a housing counselor, and taking our free CreditSmart® online training.
  • Stay focused on your goal: After evaluating your finances, you'll be able to see where there is room for improvement. If you're trying to save money, work on reducing optional expenses at the start of the year and set up a monthly, automatic deposit into your savings account.
  • Get preapproved for a loan: A pre-approval letter from your lender will tell you the maximum amount you are qualified to borrow for a home loan. Based on the information in your loan application, the lender will determine the amount you are qualified to borrow by evaluating your four Cs. Having a pre-approval letter while shopping for homes can help you move faster, with greater confidence, in competitive markets.  Keep in mind that you should only borrow what is comfortable for you and within your budget, making sure not to overextend yourself.
  • Gather paperwork ahead of time: There is a lot of paperwork involved in the buying process so it's important to get organized as early as possible. When applying for a home loan, you will need copies of your tax returns, paycheck stubs, bank and asset statements, W-2 information and your credit report. There are going to be additional documents to finalize the sale, transfer the deed and compile your mortgage information. Starting the process organized will minimize mishaps down the road.
  • Lean on Your Team: The better prepared you are the better your experience will be. Considering hiring a trusted team of industry professionals to help you navigate the homebuying process. The expertise of a trusted agent, attorney and home inspector can save you money in the long run.

Visit Carriene Porter of Precision Realty & Associates for more information on planning to buy.

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.

 #LeasePurchase #UtahRealEstate #Mortgage

Posted in Market Updates
Dec. 29, 2018

Holiday Gift for Home Buyers, Sellers

Mortgage Rates Continue to Fall: Home buyers and sellers are in for even more holiday cheer this season as mortgage interest rates continued to fall. That makes it more affordable for folks to purchase properties as their monthly mortgage payments will be a little lower. Plus, it may lead to more buyers in the market eager to snap up properties before rates go back. That's a win for sellers, too.

Despite the Federal Reserve jacking up its own federal interest rates this month, mortgage rates slid down to 4.55% as of Dec. 27, according to Freddie Mac data. That's down from 4.62% just a week ago—and a nearly nine-year high of 4.94% in November of this year.

Even a single percentage point rise in mortgage rates can add more than $100 a month to a $293,000 home, which is the median home price nationally. And unfortunately for buyers, that little rise can turn into extra tens of thousands of dollars over the life of a 30-year, fixed-rate loan.

However, these lower rates are likely only a temporary reprieve, according to Chief Economist Danielle Hale of realtor.com®. That's because the Federal Reserve plans to raise its rates twice more next year—and mortgage interest rates usually follow suit. The Fed hiked rates four times in 2018, by 0.25% in each instance.

"Would-be home buyers should prepare for higher rates but keep an eye out for lower-rate opportunities like we’re seeing right now," Hale said in a statement.

The lower rates may be good for the slowing real estate market. As prices and rates have risen, fewer buyers could afford their dream homes and neighborhoods. So many chose smaller, cheaper abodes; moved to less desirable communities; or were reluctant to pull the trigger. This has led to fewer home sales than expected in 2018, aka a seller's worst nightmare.

Now that rates are down a bit, more buyers may decide to jump back into the market.

"The negative headlines around the financial markets are concerning, but the economy remains healthy, so the drop in mortgage rates should stem or even reverse the slide in home sales that occurred during the second half of 2018,” Sam Khater, Freddie Mac’s chief economist, said in a statement.

Visit Carriene Porter of Precision Realty & Associates for more information on planning to buy.

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.

 

 #LeasePurchase #UtahRealEstate #Mortgage

Posted in Financing
Dec. 28, 2018

Buying, Selling Myths Clients Believe

Home buyers and sellers may have false assumptions about the real 

 estate transaction process, believing in myths that could rob them of a purchase opportunity or keep them from selling for more money.

1. The longer a home has been on the market, the more negotiable the deal is. There are many reasons a property may be on the market for a long time that have nothing to do with price or condition. Buyers shouldn’t automatically assume time on market indicates the sellers are more willing to haggle over the price.

2. An open house must be part of the marketing plan for a home. Open houses actually aren’t terribly effective when looking for potential buyers. In reality, o

nly 7 percent of buyers find the home they buy through an open house, according to a 2017 survey by the National Association of REALTORS®.

3. A 30-year fixed-rate mortgage is the best form of financing. Every buyer’s situation is different, and not everyone will benefit from a 30-year fixed-rate mortgage. “If you don’t plan on staying in your home for 30 years, you need to evaluate other options, like a 7-year fixed-rate. 

4. Overpricing your house leaves room for negotiation. While negotiations are a part of most real estate transactions, if you price your home too high, you run the risk of not getting buyers to the table at all.

5. Online evaluations can give you an idea of home value. Automated valuation models don’t take every factor into consideration when determining the value of a property. Environmental hazards, recent nearby sales, and renovations, for example, aren’t calculated into AVMs, but they can certainly affect the home’s price. “The best way to check your house’s value is to ask a real estate professional,” Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

6. You have to put 20 percent down on a home purchase. While buyers can save money on financing costs by bringing a higher amount to the table, it’s not necessary to buy a home. Conforming loans will enable your clients to buy a home with as little as 3 percent down. There are other resources for buyers struggling with down payments.

Are You Ready to get Started? When you work with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  

 

 

#Lease #UtahRealEstate #Homeownership

Posted in Buying, Selling
Dec. 27, 2018

We Invite You to Cozy Up to these Wonderland Homes

Some homes are ideal venues for a Christmas break—we all aspire to spend a holiday in a house that's warm and cozy on the inside with a blanket of white, fluffy snow on the outside. Feeling the holiday spirit, we set out to find a few picturesque homes so magnificent in winter that they're just waiting to be featured on the front of a Christmas card.

If you're on the hunt for a winter escape of your own, grab a mug of hot cocoa, and cozy up with these nine incredible properties, each ideally suited to spending the holidays watching the snow fall. Happy holidays!

74 White Pine Canyon Rd, Park City, UT 

Price: $12,950,000

Park City paradise: Forbes magazine has described it as the "granddaddy of all estates." This posh, nine-bedroom mansion is enormous, with almost 16,000 square feet of living space. Stocked with every amenity imaginable, the contemporary ski-in and ski-out home is the ultimate in high-end winter vacationing. Santa had better bring his A-game when delivering toys to this luxe address.

25 S. Yuba Dr, Soda Springs, CA

Price: $349,000

Tinsel in Tahoe: This quaint chalet sits in the middle of the woods surrounding Lake Tahoe. The rustic interiors will appeal to a buyer in search of lodgelike charm. Outside, there's every winter activity imaginable: line skiing, snowshoeing, snowmobiling, sledding, and more than 50 feet of frontage on the Yuba River. Buyer, be aware: The road to the home is only open in the summer, which means you'll need to ski, snowshoe, or snowmobile in during the winter months.

Are You Ready to get Started? When you work with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  

 

#Lease #UtahRealEstate #Homeownership

Posted in Holidays
Dec. 26, 2018

Should Snowbirds Rent or Buy Second Home?

How to Decide: The question of whether to buy or rent is a common one for snowbirds. There's no clear-cut, one-size-fits-all answer on whether buying or renting is better. It varies by family situation, income, and whether you're ready to consider your winter home, well, home.

Here are some considerations for when it's best to rent and when it's best to buy, along with some tips if you're planning to buy a winter home.

3 times snowbirds should rent

Although buying a home makes sense for some, it's not always the be-all and end-all it's made out to be. For some snowbirds, renting simply makes more sense. Snowbirds should consider renting in the following situations:

  • It's your first year flying south. "I wouldn't buy before I rent." "I would rent the first year and make sure it's exactly what you thought it was." For instance, you might think you'll enjoy the peace and quiet of a remote house in the woods, but once there, you may realize you'd rather be in the middle of a bustling neighborhood. If you're still in the audition phase of your snowbird experience, you should also rent until you narrow down your geographic preference.
  • You're nervous about market volatility. The real estate market is unpredictable. If you think you may need to sell quickly and you'd lose money with a home purchase, it makes more sense to rent.
  • You're concerned about upkeep costs. Homeownership costs money. Even with proper maintenance and upkeep, it doesn't take much to end up with a large, unexpected bill. Rentals offer predictable costs, suggests caution when deciding whether to rent or buy: "Owning a secondary home is an extra expense. Make sure you can carry this additional financial obligation."

3 times snowbirds should buy

Living out of suitcases gets tiring after a while, as does lining up a new rental for each winter. Eventually, you may be ready to settle down. Buying a home makes sense for snowbirds in these situations:

  • You're ready to call someplace home. You've fallen in love with an area, and now you're ready to get hitched. Instead of piling all your worldly goods into a car twice a year, you can step on a plane with a suitcase and land in a home that's painted, arranged, and decorated as you like it.
  • You're thinking about your legacy. Your legacy goes beyond leaving your home to your family, although that should be a consideration, too. You may want to buy once you've found the perfect spot and want to host your grandchildren. "That's how traditions get started." 
  • You're able to qualify. Some retirees have a challenging time qualifying for a second mortgage. "These types of home buyers often have plenty of assets, but they may not have enough income to qualify for a new mortgage."  So make sure you can carry two mortgages before moving ahead.

The decision to buy a winter home is both financial and emotional. If you think you're ready, though, here are some tips for making the most of your winter home purchase.

Snowbird home-buying advice

Unfortunately, buying a second home can be just as involved as buying your first home. Here are some ways to keep the process moving along smoothly:

  • Get pre-approved before you go. "I get calls all the time from people visiting Florida who found a home they want to buy far sooner than expected."  "Suddenly, they need a pre-approval letter to make a strong offer, but all their financial documents are back home." If you're planning to buy, make sure you have mortgage pre-approval, and all your financial documents readily available.
  • Find the right real estate agent. There are lots of great real estate agents who specialize in snowbirds. A snowbird real estate agent can help you with everything from your home purchase to your cable hookup.
  • Check if you can rent it out when you're not there. You may assume you can rent out your second home during the months you aren't there, but make sure—your homeowners association may have rules about that. Some HOAs don't allow rentals, while others require any potential tenants to be screened. There's also the factor that places that have a great climate in the winter can be miserable in the summer, so you may have trouble finding someone who will rent your home during the off season. If being able to rent out your purchase is important to you, discuss that with your real estate agent. "Don't buy a property and expect to rely on rental income when you're not using it."  "Future rent is no guarantee."

Are You Ready to get Started? When you work with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  

 

 #Snowbirds #UtahRealEstate #Homeownership

Posted in Market Updates