Here is the second part of yesterday's post: the Top 5 Hidden Costs of Renting! Provided by Trulia...
1. Opportunity Costs. When you rent, you lose out on the equity -- which can mean an increase in your home's value but, even in a down market, can also mean the chance of ever owning the place you live free and clear.
2. Income Taxes. If you earn above a certain level of income, the income taxes you're paying as a renter will be substantially higher than they would be if you owned a home and could deduct your property taxes and mortgage interest.
3. Storage. Many a renter simply has too many personal belongings to stuff into their small apartment, so it's not uncommon for tenants to also pay for a storage space, without calculating that expense into their "housing" budget.
4. Costs of Improving the Property. Long-term renters may paing, replace the flooring, and do other improvements to make the place livable. But since it's not technically "their" home, when they DO move out, all the cash they invested is lost. In fact, some landlords may require them to pay or forfeit deposit money to bring the place back to its original, neutral decor.
5. Lost Deposits. Anyone who has rented more than a couple of apartments is well aware of the chances of losing some or all of your security or pet deposits, no matter how well you care for your home.
http://www.trulia.com/blog/taranelson/2011/01/hidden_costs_of_owning_and_renting_hold_until_rvb_012411?ecampaign=cnews201101C&eurl=www.trulia.com%2Fblog%2Ftaranelson%2F2011%2F01%2Fhidden_costs_of_owning_and_renting_hold_until_rvb_012411
Friday, January 21, 2011
Thursday, January 20, 2011
Own vs. Rent?
I came across a great article today from Trulia discussing the Top 5 Hidden Costs of Owning and the Top 5 Hidden Costs of Renting. It's great information, and I thought I'd pass it on! Today will be the owning portion of it and tomorrow will be about renting! Enjoy!
1. Special Assessments. HOA dues to maintain the complex come as no surprise to condo owners, but hefty special assessments to make unexpected (and unbudgeted) repairs to the roof, windows, boiler, or even foundation often catch unit owners unawares. Even if your home doesn't belong to an HOA, don't be surprised to see special assessments tacked on top of your property tax bill, covering public services including things like street lighting, tree trimming, pest control, libraries, and even schools.
2. Utilities and services you didn't need while renting. Many renters have never had to pay for things like gas, garbage, water and pest services, and they've also looked to their electric, gas, garbage, alarm, water, pest, home warranty - which mitigates larger surprise costs of unexpected major repairs, gutter cleaning/maintenance, snow removal/winterizing, etc.
3. Private Mortgage Insurance. Today's savvy homebuyers are well aware that they'll have to pony up for private mortgage insurance, or PMI, if they're putting less than 20 percent down on their mortgage. But the cost of PMI has spiked over the last year, and the amount definitely catches buyers off guard.
4. Penalties and fines. HOA rule violations, like parking in the wrong spot, installing hardwood floors in an upstairs unit, or painting your home a forbidden hue can result in surprising fines, on top of the costs of remediating the issue. Even single-family homeowners can get ticketed and/or fined by their city or town for violations like having overgrown weeds or other building code violations - especially those which create fire and safety hazards.
5. Items you didn't need while renting, but you do as a homeowner. This varies based on your climate and the type of home you own, as well as on the services you outsource, but can include landscaping equipment (e.g., lawn mower, snow/leaf blowers), washer/dryer, fridge, window treatments, and light fixtures.
http://www.trulia.com/blog/taranelson/2011/01/hidden_costs_of_owning_and_renting_hold_until_rvb_012411?ecampaign=cnews201101C&eurl=www.trulia.com%2Fblog%2Ftaranelson%2F2011%2F01%2Fhidden_costs_of_owning_and_renting_hold_until_rvb_012411
1. Special Assessments. HOA dues to maintain the complex come as no surprise to condo owners, but hefty special assessments to make unexpected (and unbudgeted) repairs to the roof, windows, boiler, or even foundation often catch unit owners unawares. Even if your home doesn't belong to an HOA, don't be surprised to see special assessments tacked on top of your property tax bill, covering public services including things like street lighting, tree trimming, pest control, libraries, and even schools.
2. Utilities and services you didn't need while renting. Many renters have never had to pay for things like gas, garbage, water and pest services, and they've also looked to their electric, gas, garbage, alarm, water, pest, home warranty - which mitigates larger surprise costs of unexpected major repairs, gutter cleaning/maintenance, snow removal/winterizing, etc.
3. Private Mortgage Insurance. Today's savvy homebuyers are well aware that they'll have to pony up for private mortgage insurance, or PMI, if they're putting less than 20 percent down on their mortgage. But the cost of PMI has spiked over the last year, and the amount definitely catches buyers off guard.
4. Penalties and fines. HOA rule violations, like parking in the wrong spot, installing hardwood floors in an upstairs unit, or painting your home a forbidden hue can result in surprising fines, on top of the costs of remediating the issue. Even single-family homeowners can get ticketed and/or fined by their city or town for violations like having overgrown weeds or other building code violations - especially those which create fire and safety hazards.
5. Items you didn't need while renting, but you do as a homeowner. This varies based on your climate and the type of home you own, as well as on the services you outsource, but can include landscaping equipment (e.g., lawn mower, snow/leaf blowers), washer/dryer, fridge, window treatments, and light fixtures.
http://www.trulia.com/blog/taranelson/2011/01/hidden_costs_of_owning_and_renting_hold_until_rvb_012411?ecampaign=cnews201101C&eurl=www.trulia.com%2Fblog%2Ftaranelson%2F2011%2F01%2Fhidden_costs_of_owning_and_renting_hold_until_rvb_012411
Wednesday, January 12, 2011
New Listing!
Here's a listing I JUST listed in Anaheim. It's a 3 bedroom 1 bath home in the heart of Anaheim. The flooring has just been replaced throughout and the paint is fresh as well! The home is in an older, but well-maintained neighborhood! It is perfect for a starter family or investors! If you, or anyone you know may be interested, give me a call at 714.928.1757...This is definitely a great home for a great price :)
PRICE HAS JUST BEEN REDUCED TO $345,000!! (2/1/11)
Corona Home
HEY EVERYBODY! Hope everyone is having a great 2011 so far! I just relisted the home in Corona from a few months ago. It is a GORGEOUS home in Corona in the Eagle Glen Community. It is almost 3,000 square feet, 3 bedrooms, 3 FULL baths and a huge loft! The home was built in 2001 and is in fantastic condition. It is also a STANDARD SALE, which is rare these days, especially in Corona! This is a nice, well-kept community in a great school district! For more information and pictures, click on the link below!
Monday, January 3, 2011
92835 December Market Update
HAPPY NEW YEAR!! I hope everyone had a spectacular holiday season! I know I did! 2011 is here and it is going to be a great year! Here is your local 92835 market update for December...
Active Listings: 80 Total, 47 of these are standard sales
61 Single Family Homes, with the average list price of $838,967
19 Condos, with the average list price of $231,635
Pending/Backup Position: 28 Total, 11 are standard sales
23 Single Family Homes
5 Condos
Sold Since 12/1/2010: 14 Total, 7 are standard sales
11 Single Family Homes
3 Condos
Price Ranging from $140,000-$1,374,000
Numbers seemed to slow a little bit, due to the holiday season, but prices in all categories rose slightly! Until next time! Make it a GREAT year :)
Active Listings: 80 Total, 47 of these are standard sales
61 Single Family Homes, with the average list price of $838,967
19 Condos, with the average list price of $231,635
Pending/Backup Position: 28 Total, 11 are standard sales
23 Single Family Homes
5 Condos
Sold Since 12/1/2010: 14 Total, 7 are standard sales
11 Single Family Homes
3 Condos
Price Ranging from $140,000-$1,374,000
Numbers seemed to slow a little bit, due to the holiday season, but prices in all categories rose slightly! Until next time! Make it a GREAT year :)
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