Dream Homes Vary By Generation

What's your dream house? A marble manse stuffed with art? A swinging pad where the stereo's always thumping and the hot tub's always bubbling? A clean, well-lighted place … that also has a Viking range and a Sub-Zero fridge?

Your answer says a lot about your values and attitudes — and may have a lot to do with when you were born. So say the authors of a new study of 1,000 home owners nationwide. The market research company GfK Roper Reports asked Americans to prioritize the amenities they'd have in their dream home — not necessarily amenities they already have, or will have in their next home. The different responses, from baby boomers through first-time generation-Y buyers, reflect how different features appeal to different ages and also how tastes have shifted over time.

Take a look at the different value sets among the generations…

Home Buying Advice by Sunvestor's

"A Sunvestor's Guide to Owning a Great Home AND a Great Investment" offers street-smart preparation for buying the right property at the right price, while avoiding financial pitfalls along the way. The step-by-step format guides you through each phase of the process, but goes way beyond the basics.

Taking an investor's approach to purchasing residential real estate, it's perfect for both first-time home buyers and seasoned professionals.   Written by a real estate appraiser and broker, the book emphasis how doing your research and buying in a methodical, value-oriented way can really pay off.

Most homes won’t appreciate in value the way they have in past few years so buying mistakes will be more evident upon re-sale. The reader will learn how to make money at purchase and 20 ways to find the type of property that goes up in value faster than average.

Find out more about Sunvestor’s Guide…

Income Tax Savings

Because of income tax deductions, the government is basically subsidizing your purchase of a home.  All of the interest and property taxes you pay in a given year can be deducted from your gross income to reduce your taxable income.

For example, assume your initial loan balance is $150,000 with an interest rate of eight percent. During the first year you would pay $9969.27 in interest.  If your first payment is January 1st, your taxable income would be almost $10,000 less – due to the IRS interest rate deduction.

Property taxes are deductible, too.  Whatever property taxes you pay in a given year may also be deducted from your gross income, lowering your tax obligation.

As always, we advise you consult with a tax professional about your tax situation.  If you have a comment or question, please feel free to leave that below.

Questions to Ask a Home Inspector

Detailed and carefully conducted home inspections are a priority before buying any property.  Here are a few questions future homeowners should ask a home inspector:

“How long have you been in business and how many home inspections have you performed?”

It is recommended you hire a home inspector with substantial work experience, such as someone working as a home inspector for at least 5 years.  A homebuyer should also ask an inspector about his professional certifications with nationally recognized industry organizations. It’s good to interview at least three inspectors and ask for a sample report and references from each.

“Can you tell me exactly what will happen during the inspection?”

This will eliminate any unpleasant surprises.  Ask your inspector whether you can follow him during the inspection. (But promise to stay out of his way.)  If the inspector is brief in the phone interview or personal interview, he may be hurried in his work as well.

“What will be included in my report and what type of format will you use for it?”

Too much information is never a problem in an inspection report. A professional home inspector should provide a homeowner with: 

•  an action checklist

• a customized narrative on the condition of all the home's major components and areas that are in need of maintenance

• the estimated repair and replacement recommendations

•  costs that will be involved if any work is needed.

“How soon will I get my report?”

Expediency is important with so many dates and deadlines to adhere to.

“If problems are found and then repaired, how quickly can you re-inspect the property so you can modify the original report?”

If time is a crucial factor for a homebuyer this information will be very helpful.

A professional home inspection can save a homebuyer thousands of dollars later.  Therefore, it is advisable to invest more before buying a house and don't necessarily hire the inspector offering the lowest prices on the market.

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Don't Try to Time the Real Estate Market

Although many economists predict that nationally, housing still has a way to go to reach bottom, you don't have to wait for that to happen to get a good deal.  In fact, it's better to buy when housing is trending down than when it reaches the floor, since at that exact moment, the balance of power begins to shift toward the seller again.

All a seller can do is suggest an asking price. The real price is whatever a buyer pays for it. 

In 2004 and 2005, home prices rose because buyers flooded the market –  now prices are falling because many buyers are sitting on the sidelines.  Meanwhile, the number of homes being built hasn't changed drastically; rather, supply is growing because existing-home sellers can't figure out what buyers are now willing to pay, so their homes are sitting on the market.

So if you see a house you like and can afford, make a bid now. And don't worry about insulting sellers with a "lowball" offer.  They may be desperate to move because of a new job, marriage, divorce, overstretched bank account or other motive.  Yours may be the only bid they've received in months and they may be very glad to have it.

Contact us now about buying a home… or leave us your comment below.. we'd love to hear from you.