Lake Norman North Carolina Real Estate

365 days of vacation

2008-03-04T20:04:00.000-05:00

Living in the Lake Norman area is like being on vacation every day!

About the Author: Mary S. Seifried is a luxury and new home specialist and knowledgeable resource for Lake Norman Real Estate. She is also an Accredited Buyer Representative for Lake Norman Real Estate. Mary also provides full real estate services for Statesville, Mooresville, Davidson, Huntersville, Denver and Charlotte NC.
For more information visit http://www.finehomesofcarolina.com/.

What really is tax deductible for new home owners?

2007-11-08T11:34:00.000-05:00

Everyone is always reminding potential buyers about all of the tax advantages that come with home ownership. For instance, a homeowner can deduct mortgage interest, property taxes, and points used to obtain a mortgage. Yes, these things are true, but most people do not realize the guidelines to such deductions, and as a result many people are caught a little off guard when tax time comes around.The first question to answer for most people is "what are points anyway?" Points are an expression of the loan origination fee. This fee is part of the cost of getting a mortgage. One point on a $200K loan would be $2,000 (or 1 percent). There are also discount points, which are a percentage of the balance of the loan. Both of these kinds of points are considered tax deductible by the federal government, however deductions on loan origination fees will only be considered if they are expressed in the value of points.Points are deductible only in the year that they are paid. The mortgage must be secured with the home of your current residence and this home must be used for the actual purchase of the home. If your points are higher than average, but you end up not having to pay the insurance fees, property taxes, settlement fees, and other various fees that are associated with home buying, you might not be able to deduct those points. The money that is put into buying the home must be more than the amount of points. Lenders can inflate the loan so that it covers your points, but in this will make a "points" tax deduction impossible. Other than this, as long as the points are clearly stated on the HUD1 Settlement Statement received from closing, there should be no problem submitting those for tax deduction.If the points are paid for by the seller, the buyer can still deduct them. When a seller pays the buyers' closing costs, this reduces the net gain of the home for calculating capital gains tax, so the seller will not claim the closing costs. Second home deductions must be done over the life of the loan, rather than the year in which they are paid.Almost all other closing costs (besides taxes and loan origination fees) are not tax deductible. Pre-paid interest and pro-rated property taxes are the few exceptions. Most mortgage brokers want to see the loan close at the beginning of the month to make you pre-pay the interest for the remainder of that month. Though this is more money up front, all of this pre-paid interest and all future interest is tax deductible.It is good to do your own research so that you really understand the loan process as well as all of the things you can claim as tax deductible, and it is important to keep track of these things so that you do not forget to report them. There is no use in paying more taxes than you really owe. Though tax deductions alone are by no means reason for buying a house, you should take advantage of what breaks you can get.

About the Author: Mary S. Seifried is a luxury and new home specialist and knowledgeable resource for Lake Norman NC Real Estate. She is also an Accredited Buyer Representative for Lake Norman Real Estate. For more information visit http://www.finehomesofcarolina.com/.

The Timing of Home Buying!

2007-11-08T11:32:00.001-05:00

One of the most concerning factors for people investing in a new home is the market timing. Is it s good time to buy? or a good time to sell? It is obvious that there are times in our American economy when things are booming. People are buying cars, buying houses, going out to eat, and taking vacations. Other times, the economy declines and people are loosing jobs, making careful money decisions, and putting what little they have left over in the bank for safe keeping. It is the general feeling of most homebuyers and sellers that timing is extremely important. Attempting to read the market and make an educated guess about where it will go next is a very popular strategy for those involved in real estate, but unless you are making real estate a career, versus buying a home for your family to live in, timing is less important than you might think. Similar to stocks, day traders need to be masters of reading news and media and understanding the ebb and flow of the market, while long term investors just need to choose a stock they believe in and hold on to it. Obviously when the amount of houses on the market is larger than the amount of potential buyers, the appreciation of homes will lessen or even drop. It is almost certain that the economy will rise again, presenting the reason so many people attempt to take advantage of low economic periods. However, first time buyers are almost the only people that really capitalize on buying a house during an economic recession. If you are moving from one home to another, the low economy will give you a great price on the new home, but you will lose money on the old one. The same is true if you are selling your house in an economic boom, the new house you purchase will likely quite expensive. It is important to realize that if you are really looking for a place to live, timing should be left up to finding the right house for you and your family to enjoy.No one can accurately predict the future, even when it comes to the economy. No matter how much research and economic understanding anyone has, there are always events and circumstances that can change the way money goes. Even if you are able to buy a home during a depressed period, it is common for interest rates to be higher due to the larger risk financial institutions will be taking. For this same reason, fewer people qualify for loans. The bottom line is the sooner you buy a house the better because the more payments you can make, the more equity you own in the house, and the more your investment will be worth. No one that is trying to find a long term home should wait to buy based on their premonitions of the market rising or falling. In the end, it almost always evens out. Regardless, your property will increase in value, and the home you choose will almost always be your most valuable financial asset.

About the Author: Mary S. Seifried is a luxury and new home specialist and knowledgeable resource for Lake Norman NC Real Estate. She is also an Accredited Buyer Representative for Lake Norman Real Estate. For more information visit http://www.finehomesofcarolina.com/.

The Bonuses of Buying a Home

2007-11-08T11:30:00.000-05:00

It seems like investments are the best way to get ahead of the game in finances, but who wants to take the kinds of risks that so many investments involve? Real Estate is one of the most secure investments a person can make. Yes, strange things can happen and property values can go down, but it is only a matter of time before they climb right back up. The simple mathematics of the growing population of the world should be enough to convince anyone of this. In the next thirty years, there will be another three billion people on our planet that need a place to live. Imagine what the average house will be worth. As a general rule, homes appreciate in value by five percent or so per year. Though this may seem small compared to watching the stock exchange, when you consider the investment you are making, five percent is a huge return. Especially once the house is paid off. If you made a $40,000 dollar down payment on a home and it increased in value five percent from the original price of $200k. That is a $10k dollar return on your $40k investment. This does not take into account property taxes and some other costs, but it gives you an idea of the great investment buying a home can be.The tax savings on buying a home are another great bonus. The government allows homeowners to deduct property tax and interest amounts from their gross taxable income, therefore lowering the amount of tax you will then have to pay at the end of the year. In other words, the government is subsidizing your home purchase, not to mention all of the money your are saving for the future by pumping your monthly housing payments into your own equity rather than throwing it away into someone else's bank for rent. This is like forcing you to save your money but giving you a great place to live at the same time, and these are savings you will be really glad you have. Not only do your payments continue to add to your largest asset, but they will also stay at a fixed rate. Ten or fifteen years into the future, you will still be making the same size payments for your housing!Though these monetary positives of home buying are very appealing, nothing is more valuable than the freedom you will achieve from buying your own home. Home improvements are completely up to you (as long as you have the necessary permits for larger scale projects). The environment that you live in is almost completely up to you, and every time you make an improvement it simply adds to the value of your investment. You will almost always have more space at your own property as well. Apartment complexes are often cramped and have very little privacy. There really is something to be said for "the privacy of your own home," because there is really no place that should be more comfortable, secure, and private.Think about taking the leap and making the best investment choice you can by buying your first home! You won't be disappointed in the long run, guaranteed.

About the Author: Mary S. Seifried is a luxury and new home specialist and knowledgeable resource for Lake Norman NC Real Estate. She is also an Accredited Buyer Representative for Lake Norman Real Estate. For more information visit http://www.finehomesofcarolina.com.

The House next door..What did it sell for?

2007-11-08T11:28:00.000-05:00

So you are ready to buy a house and the time as come to make an offer. It sounds simple enough, but many people find themselves baffled by how much they should really offer and how they will go about determining that amount. Of course you already know the seller's asking price. If you don't mind possibly losing a little money, then taking their asking price is fine, but remember, buying a home is not like going to the mall. Most prices are negotiable. There are basically three major steps to figuring out your offer price; comparing the sales of similar properties, considering the condition of the home and seller's motivation, and negotiating with the seller after determining a fair price. Comparing the sales of similar properties is the most overlooked strategy in this list, even though it really can be a huge factor in your negotiations. Not only do comparable sales give you insight into the approximate value of the house, but they also give you a reference point for understanding the range of prices that should be considered. The houses that you compare should be similar in the number of bedrooms and bathrooms, lot size, construction type, garage space, and square footage. It is also extremely valuable to consider the most recently sold houses you can find. The public service record and the Multiple Listing Service are two ways to find this kind of information. The public record is an open record, but without knowledge of this system, finding comparable sales can be quite difficult. The public record, recorded in the local county recorder's office, includes the deed from the seller to the buyer as well as other information known about the property. However, this information is about two months behind due to the pending time of a sale, and is often delayed even farther than that due to escrow. By the time the deed is recorded, the prices may already have shifted in a particular area or in the market in general.The Multiple Listing Service (MLS) is designed for those carrying a real estate license, that have joined MLS, to gather information about properties for sale and those sold. The MLS records are much more up to date, recording sales of listed properties when they close. Though the public can now view some parts of the MLS listing, only a realtor can see the amounts properties were sold for along with more property information. For this reason, it is important to have a real estate agent while looking to buy a home so that they can provide you with this information. Even though the MLS can show sale prices before the deed is recorded, this information is still somewhat delayed because of pending sales, waiting to become closed sales.Many agents have other methods for determining the sale prices of comparable properties. Professional courtesies in the real estate business are common as long as it is for comparable research purposes. Obviously a selling agent cannot disclose the sale amount on a pending property to another potential buyer, but for someone interested in another similar property, this is sometimes acceptable. Also, some brokerage firms post their sales on a board in their offices. These resources are not usually necessary in comparable analysis, but sometimes in tight markets you will want to find the most recent, similar property sold. Comparable property research is only one of the steps that should be taken in determining an offer price. When used in conjunction with a property condition analysis, research of current market values, and the seller's circumstances, it can give the buyer a great understanding of what kind of offer is most reasonable as well as beneficial, while also supplying the buyer with a little verbal ammunition for the negotiation process. It is very possible the buyer will end up knowing more about the value of the house than the seller himself.

About the Author: Mary S. Seifried is a luxury and new home specialist and knowledgeable resource for Lake Norman Real Estate. She is also an Accredited Buyer Representative, providing the best properties Mooresville Real Estate has to offer. For more information visit http://www.finehomesofcarolina.com.

Closing on a Home

2007-11-08T11:26:00.001-05:00

Buying a home should be an exciting experience. However, many buyers find themselves stressed and feeling symptoms of buyer’s remorse because they have not educated themselves enough on home buying and they have not been organized about getting ready to move in to their new home. The more organized and educated you are, the more exciting the home buying experience can be. Be prepared for closing on your new house, it will make the experience so much better.First of all, do not do anything that might put your loan at risk. This means that making large purchases of any kind is out of the question. You should remember that lenders run a second credit check just prior to closing on the loan to check for new charges. Many people, not realizing this, find themselves in a different loan or losing the loan all together. This can really be devastating after all of the work and planning you have done to find the home and secure a loan. So just hold off a little while longer on that new car, furniture, or large credit card charges.When it is time to close on the loan, the lender will need you to pay the interest on your loan in advance from the closing day to the end of the month. This is a very good fact to know because closing towards the end of the month will save you from having to prepay as much on the interest. If you close at the beginning of the month, you might find a pretty hefty charge for interest in your closing costs. Be sure to verify this with your specific lender and know the rules that they apply to their closing costs so that you can keep yourself at the minimum. Before you can actually close, you will have to have the funds for closing deposited in escrow. Escrow is a third party agent that holds money in trust so that the receiving party can be assured they will receive the funds immediately upon closing. Making sure that you have those funds is also very important.The final walk through of your new house should happen as close to the closing sign off as it can be. Thoroughly check everything inside and outside of the home such as appliances, outlets, light switches, water faucets, and toilets. All promised cleaning and repairs should be finished, and all objects that are included in the purchase agreement of the home should be found. Be sure and review the contract to verify that everything is there and in working order. If you are buying a brand new home, there may be things that are incomplete. If so, get the builder to sign a written list of those things that need to be completed and when they will be completed. You don’t want to move into a new home that is not finished. Odds are, it will never get finished.Now you are ready to close on your new home. Notify the utility companies and any other services you will need so that you can begin enjoying your new home as soon as possible. Make sure this is an exciting experience instead of a stressful one.

About the Author: Mary S. Seifried is a luxury and new home specialist and knowledgable resource for Lake Norman NC Real Estate. She is also an Accredited Buyer Representative for Lake Norman Real Estate. For more information visit http://www.finehomesofcarolina.com.

Selling Your Home

2007-11-08T11:24:00.001-05:00

Presenting your property at its very best can make a huge difference in the response of prospective buyers. Obviously remodel and expensive decoration will increase the value of the house, but there are other inexpensive, simple things that can put a little polish on what is already there. First impressions are the most important part of any sales strategy. If a buyer drives up to the property and is unimpressed from the beginning, it will take a lot to change their minds. Where as, if they approach the house with a good first impression, they are more likely to be pleasantly surprised rather than critically analyzing everything they see. The outside of the house functions as more than a protection from the elements, it embodies the sense of the house itself.The lawn should be well mowed and edged, the shrubs neatly trimmed, and the windows clean. You would be surprised how much clean windows can brighten a place. Flowers or other nice plants can really improve the lawn appeal as well. Even if they are a meager effort, it makes the property appear that someone has cared for it. Fifteen to twenty days before putting the house for sale, fertilize and water the lawn and plants well so that they have a chance to revive if they are looking weak. Obviously all junk or construction materials need to be cleaned up and hauled away before showing the house, and any oil spots or stains on the driveway should be cleaned. A swimming pool is a huge asset to a house, so why not let it really make a difference by making sure it is very clean and the water looks nice. Cleaning the exterior can help make the house look much better if you cannot afford a new paint job. Hose the exterior off from top to bottom and then maybe repaint the trim to really make a difference. The porch area should be cleaned up and repainted if possible, and the door should open and shut easily.Once you have made it past the front door with the potential buyer, the interior should be completely clean and spotless. A fresh coat of paint on the walls, new paint on the door trim, oiled door hinges, and replaced light bulbs are a good start and will really serve to brighten up the place. It is completely worth it to spend at least $100 on someone doing a very thorough cleaning and also paying for a good carpet steaming. The bathroom needs to shine. All dirt build up, mildew, or anything else should be cleaned from the floors, walls, and tub surround. People love clean bathrooms, and it doesn't take much more than a little elbow grease to make it clean. Remember that most buyers are affected most by the kitchen, bathrooms and closets. Focus on making these rooms as amazing as possible, and the others will not matter so much.By using a few of these ideas, you can really impact the sale value of your house without getting into a huge remodel project that might gamble away your money on the market. By just making it clean and neat, buyers will be much more responsive.

About the Author: Mary S. Seifried is a luxury and new home specialist and knowledgable resource for Lake Norman NC Real Estate. She is also an Accredited Buyer Representative for Lake Norman Real Estate. For more information visit http://www.finehomesofcarolina.com.

The Single Family Home

2007-11-08T11:22:00.001-05:00

A majority of citizens in the United States live in single family homes. This means they are taking residence in a detached home of approximately 600 sq. ft. to 6K sq. ft., whose foundation sits on its own plot of land. Single family homes are not attached to any other home or residence, and the land is sold in combination with the home. Possibly the reason single family homes still house the majority of North Americans is due to a large amount of personal control in single family homes. Other than neighborhood or city regulations, single family homes can be altered in almost any way an owner wishes, that means remodels, landscaping, and almost anything else. If you want to paint your garage a new color or add on a new room, you have complete decisive jurisdiction (within the limits of permits, codes, etc). The American dream is somewhat based on this same idea, that the individual has control over their destiny and circumstances, and so, the single family home is a very popular living scenario. However, even though single family homes are very popular, it is very important to recognize the positives and negatives to owning a single family home before making the decision to purchase. Make sure it is the right situation for you and your family.Every repair that needs to be made on a single family home will fall on the owner of the home, whether that means fixing it or paying for it. This includes any interior or exterior damage or simple wear and tear on the home. This may not seem like much, but sometimes circumstances change quickly, and this can become quite a financial or time consuming burden. In an apartment complex, the repairs will be paid for and carried out by the management and their maintenance crew. Apartments and town homes also have amenities often times, such as playgrounds, pools, exercise facilities and more, which you may or may not be able to afford at a single family residence. In an apartment, condo, or town homes, these things are often included as part of your bought share of rent. Maintenance on a single family home carries over to the land the house sits on. This means maintaining the lawn or other landscaping needs the property may have. Along with these maintenance responsibilities, single family homes are also much more expensive than most town homes or condominiums.These things should not discourage a buyer too much, because there are also some great advantages to buying a single family home. As we said before, the house is yours to change and make your own, and any work you do on the home should increase the value. The re-sale values of single family homes are also much better than those of town homes or condominiums. Single family home prices often climb at a rate that is slightly faster than condos and town homes. And though you're payment may be larger, so is your investment into something that will almost undoubtedly be worth more money than what you purchased it for. Plus, think of the money saved on property management and other fees associated with the grounds of a community style arrangement. The biggest issue that divides a single family home from other living arrangements is space. Americans like to have their space, and for this reason, many choose to buy their own home on its own property. If the idea of this kind of living space seems appealing, as well as doing things like keeping up with the lawn and having control over future changes or additions, a single family home may be the right choice for you. If you enjoy a community setting with amenities provided, and not having to worry about a lawn or any kind of maintenance, then condo or town home living might work better. Think about what it is you want in the place you call home.

About the Author: Mary S. Seifried is a luxury and new home specialist and knowledgeable resource for Lake Norman Real Estate. She is also an Accredited Buyer Representative, providing the best properties Mooresville Real Estate has to offer. For more information visit http://www.finehomesofcarolina.com.

Looking for a Home? What you're looking for?

2007-11-08T11:15:00.000-05:00

The average home buyer usually considers the size of the kitchen, size of the lot, interior esthetic appeal, and the number of bathrooms, but when trying to make a wise investment decision as well as picking something for your family, there are other factors that need attention. By including a few of these aspects in the decision making process, you will find yourself in a much better situation. Location is possibly the most important home investment factor. Regardless of the condition, size, etc of the house, the location can increase or decrease the value exponentially. For example, if someone purchases a home in a growing area and that area does become more popular, the property alone (regardless of the home) might double or even triple in value. When it comes to livability, the location and neighborhood can make all of the difference, even in a less than desirable structure. Everything about a home can be changed or remodeled, but the initial property that was bought remains the same. Think about how close the home will be to work, or the kids' school campuses, and don't forget to consider entertainment, restaurants, shopping, and public transit. The location of a home on the lot can also be very important. Does it have a view? Is it on a slope? What about privacy?Another step in determining the right location is checking out the neighborhood for your self. An old adage suggests that a wise investor should buy the smallest house in the nicest neighborhood possible. When someone owns a house in this type of situation, they paid the least amount to be in the best area, and the location is what will increase the value of the home quickly. Drive around and look at the sizes of the other houses. Also, check out the lawns of the other houses and determine whether they are well kept or if they are trashed out.The initial curbside appeal is the next big home buying feature. First of all, does it fit your current lifestyle? What about maintenance? Wood exterior will need to be repainted regularly while bricks are prone to earthquake disaster. Are you looking for a more Victorian, ornamented style home, or should you find something simple with new construction? Think about how difficult it will be to maintain the grounds. Is there a huge lawn? What kinds of pruning and trimming will be necessary? All of these factors affect the on going costs of living in a particular home and also change the home's value.The actual size of a house is the first and last step to home buying. In the beginning, you should figure out the minimum number of square footage, rooms, and bathrooms you and your family need to enjoy the house. This will narrow your search considerably so that you can concentrate on the location, curb appeal, etc. After narrowing the search with these factors, the size and floor plan can seal the deal, and you will be ready to move into a home that feels comfortable and financially secure.

About the Author: Mary S. Seifried is a luxury and new home specialist and knowledgeable resource for Lake Norman Real Estate. She is also an Accredited Buyer Representative, providing the best properties Mooresville Real Estate has to offer. For more information visit http://www.finehomesofcarolina.com.