Real Estate Information

While many people focus on personal health goals in the New Year, the beginning of the year is also a great time to check your financial fitness. So how can you whip your finances into shape?

South University College of Business, Virginia Beach faculty member Dr. Alan Harper says everyone should adopt these five financial habits in 2015:

1. Establish a budget

Harper says the first step in taking control of your finances is to establish a budget. "It is extremely important to know how much money is coming in, where it's going, and allocating it appropriately," he says. "Having a budget allows you to gain a broader understanding of your spending habits."

Make sure your budget includes allowances for food, clothing, gas, and even entertainment, Harper advises.

2. Start saving

Your budget should also include money set aside for emergencies. Harper says the old rule-of-thumb that three month's salary is enough to have in your bank account no longer applies in our current economy.

"We found in the last recession that people who lost their jobs tended to stay out of work much longer than three months," he says. "You should have six months to a year's worth of income in savings, just in case."

Harper says you should also try to put away 15 percent of your take-home income toward your retirement. Many retirement savings options are available, including 401(k)s, Roth IRAs and individual retirement accounts. It is important to do your homework before deciding on a long-term investment strategy so that you are aware of terms, conditions and any fees associated with your options.

3. Manage your credit

The beginning of the year is a perfect time to check your credit history, and to look for any mistakes on your credit report, Harper advises. Mistakes on your credit report can cost you large sums of money in interest rates, or even keep you from being approved for a loan.

"The law requires the three major credit reporting agencies to provide you with one free credit report a year," Harper says. "Pull those reports and look for discrepancies. If you find one, file a dispute with the credit reporting agency and they will remove the item if it is incorrect."

Harper also says to check your FICO score on the report, make sure you have an understanding of what the score means, and how to improve it if the score is low.

4. Shop smart

Make it a priority to save money while you shop, Harper says. He encourages clipping coupons, and says purchasing membership cards to discount stores like Sam's Club and Costco can help you save money over time.

"Those stores will save you money in the long run on purchases like food, gas, and even personal care items."

5. Check your insurance

Setting aside time at the beginning of the year to check your insurance policies can also save you money. Harper advises that you should review your auto, home and life insurance to make sure you have the proper coverage.

"You want to make sure you aren't paying for coverage that you may no longer need, but you also want to make sure you have adequate coverage in case there is an accident or you need to make a claim," he says.

Many companies also offer discounted rates if you hold multiple policies with them. So, if your auto, home and life insurance policies are with different companies, you may want to explore the benefits of choosing just one company.

"It's also important to make sure your life insurance policies are sufficient to protect your family from a financial crisis in the event that something happens to you," Harper notes.

"Establishing a budget, saving, staying on top of credit and insurance, and shopping smart all take some work," Harper points out. "But the rewards to your personal and household bottom line are well worth the effort." (BPT)

Information courtesy of New Castle County Real Tor Tucker Robbins.

Owning a home is part of the American Dream, yet standards on income, credit and debt are making it tougher to buy a home than it was 10 years ago. Even though requirements are relaxing, only three out of five borrowers get approved.

While stricter standards make it tougher for young families to qualify for a mortgage, millennials said they understand why these standards exist and think the tougher requirements won't stand in their way of buying a home.

Because mortgage lenders use debt-to-income to evaluate a borrowers' ability to repay a loan, student debt is a growing burden on millennials interested in financing a home. Unlike medical debt, student debt carries an equal weight to credit card debt. Nearly half of those surveyed said it's unfair to weigh both types of debt equally.

As for the tougher requirements to getting a mortgage, millennials do think the tougher standards guard against risky loans and will help prevent another mortgage crisis. More than half say making it easier to get a mortgage will result in more foreclosures.

If you have student debt and want to buy your first home, here are a few ideas and tips to help you prepare:

• Lower your debt-to-income ratio (DTI). DTI is your total monthly income as compared to your total monthly debt payments. Most lenders will only lend to you if your DTI is at or below 43 percent. So to lower it, try to increase your income by pursuing a promotion or raise, finding a higher-paying job or taking on part-time work. Decrease your required monthly debt payments by refinancing or consolidating student loans and paying down any credit card balances.
• Get your credit score in order. Analyze your credit report before you start the home buying process. Dispute incorrect derogatory information and ensure all three credit-reporting bureaus list all of your positive information. Pay all your bills on time, reduce credit card balances to 30 percent of the credit limit or lower, and don't open new credit cards if you already have a few.
• Save for a down payment. Make a budget for each month before it starts, with a plan for spending and saving, and stick to it. Stash away extra money from bonuses, overtime or financial gifts on your birthday or holidays. Find a roommate to help pay your rent or move into a less-expensive rental. Do freelance or contract work on the side. Sell unneeded stuff on Craigslist. (BPT)

Information courtesy of Wilmington DE Realtor Tucker Robbins.

The previous blog about preventing identity theft during a move dealt primarily with precautionary steps to take from your old residence to thwart clever criminals.  So you’re now safely ensconced in your new  home. And you can breathe a sigh of relief, right?

Actually, no.  Unfortunately, there are clever identity thieves waiting at that end of your relocation, also, and your efforts to outwit them must continue at your new address.  Read on for more advice:

• Once you have reached your new home, check to make certain that you have all the important papers and documents you carried with you—and immediately put them in a safe, secured place.
   
• Locate and unpack the box containing your electronic possessions—tablet, IPhone, computers, etc.  Account for each one and consider changing your passwords.
   
• Carefully look through your bank statements to make certain that there are no unauthorized charges.  You might also think about requesting new credit reports to be sure that your status hasn’t changed significantly.
   
• Make certain that you are receiving your mail at your new address.  If you are missing any statements, checks, and the like, report those losses immediately.
   
• Contact your old neighbor to verify that he/she is collecting any mail that arrives to the prior address.  Arrange for it to be mailed to you or go by and pick it up, if possible.
   
• If you have to cancel any bank accounts or credit cards because of your relocation, close the account, cut up any cards associated with the account, and shred unneeded papers.
   
• Replace the locks on immediately- preferably before you even move in, as the old tenants could still have keys.
   
• Be diligent and cautious when providing personal information, especially your social security number, to new doctors, organizations, or schools. 
   
• After the move set up a “safe zone” where you store important papers and can work on private matters away from the eyes of visitors to your new home, repairmen, utility workers, and strangers.

Although you may not be able to protect your identity 100%, you can go a long way in ensuring peace of mind by being proactive, diligent, and aware, especially during a move.

Information provided by Wilmington Real Estate Expert Tucker Robbins.

With all the news concerning retailers databases being compromised and resulting in consumer identity theft, you need to be acutely aware of the increase of identity theft during a move and take precautions to prevent your becoming a victim of enterprising criminals. Moving often makes it easier for identity theft to occur: we leave information behind that others can use---mail that is not rerouted to our new address, important papers that aren't shredded but left in the trash, or through hiring rogue movers. The following steps are essential to ensure your protection:

• If you are using a moving company, be sure that you know it is a trusted and reliable firm.  Sometimes simply getting recommendations from friends, family members, and real estate agents is not enough.
   
• Make a change of address checklist.  Before you move, make sure you take the time to list all companies, institutions, and subscriptions that you receive through the postal system. Click here for a list of those you should include.  Personally notify all financial institutions of your plans to leave your home.  One of the easiest ways that someone can obtain your personal identity is through mail theft.
   
• Submit a change of address form to the U.S. Post Office.  Once your form has been filed, double-check the confirmation from the Postal Service to make sure that they list your new address correctly. Your mail should start being delivered to your new residence within seven to 10 business days after you submit a change-of-address filing.  Ask a current neighbor to take in any mail that comes to your old address after you move.
   
• Although moving is a good time to discard unwanted personal files, records, and documents, don’t just throw them away; shred them!
   
• Make sure your technological “toys”---computers, cell phones, tablets, and the like—are secured by passwords and packed in unmarked boxes.  Better yet, take the computers, hard drives, and other external storage devices with you when you travel to your new home.
   
• Stay in your current home as much as you can while movers are there.

Information courtesy of New Castle County Realtor Tucker Robbins.

Curious about your home's current value? Get an instant market valuation here!

Information courtesy of Wilmington Realtor Tucker Robbins.

Selling your own home might sound like a good idea at first, but many  FSBO sellers quickly realize they’ve gotten in over their heads or may have sold their home for much less than they would have had they worked with a Realtor®. Take a look at the stats below and contact me if you would like information about working with a Realtor to sell you home.

A new year has begun and it seems to me that time goes faster and faster each day. The economy is predicted to grow around 3% in 2015 and as you can guess that is good news for the real estate business!  The real estate market holds a few more predictions for 2015…

• Interest rates are still low compared to what they have been in years passed but Freddie Mac is predicting that interest rates will rise above the low 4% they had dipped to in 2014 to up to 5% by the end of 2015.  Still these interest rates are extremely low so if you are in the market for a new house you should go ahead and plan on making a purchase sometime in the year of 2015. 
• Prices for houses by the end of 2015 are predicted to be a little higher than in years passed but not so high that they won’t still be affordable.  Home appreciation will likely move to 4.5 percent instead of 9.3 percent as in 2014.  It may be that home appreciation will drop to 3 percent by the end of 2015.
• If building a home is in your plans then you are apparently on target with a lot of other folks. The building of new homes is expected to rise 20 percent from 2014.  If you don’t find the house that fits your every need this coming year on the market, it will be a great year to build it to your own specifications. 
• Not as many folks will be refinancing in 2015.  As a matter of fact refinances will drop to make up only about 23 percent of single family orientations this coming year.  In 2014 refinances made up roughly more than half of single family orientations. 
• It will be a bit easier to get a loan for your new home purchase in 2015 as some of the restrictions that were once placed on new home buyers will be eased.  Funding sources will grow for new home buyers in 2015 as well. 

As you can see there is a lot of good news for the real estate market in 2015.  If you are considering buying a home, don’t wait another day longer…get on the phone and call a qualified Real Estate agent today to get you started in the right direction.

Information courtesy of New Castle County Realtor Tucker Robbins!

Be sure to download this informative report, Things To Consider When Buying a Home! The report covers:

• 4 reasons to buy your home now.
   
• Do you need a professional when buying a home?
   
• 4 demands to make on your real estate agent.
   
• Future home prices: A look into the crystal ball!
   
• Where are mortgage rates headed?
   
• Getting a mortgage: Why so much paperwork?
   
• Harvard: 5 financial reasons to buy a home.
   
• Homeownership's impact on your net worth.

This report is a must read for anyone thing of buying a home in 2015.

Download your FREE report here!

Information courtesy of New Castle County Realtor Tucker Robbins.

Yes, it’s true…real estate activity slackens during the holidays. But, many home owners really don’t have a choice because of a necessity to relocate. You may find yourself in that same situation as a buyer. Or you may simply want to take advantage of some extra time off during the holidays to look for your dream home.

Most of us do tend to want to have our time free to enjoy all the activities that surround the year-end holidays. But, it can actually be a very advantageous time of year to be a buyer. Realtors will all tell you that many folks have vacation time during the holidays that make it a good time for both marketing and hunting to buy.

Right now is a good time to be looking to buy a home before 2015? Home prices are expected to rise in 2015, although not at the same rate as in 2014. Therefore, it is definitely a good time to be buying with prices continuing to climb. Here are some other considerations about housing hunting during the holidays…

• Lower seasonal prices are likely before the anticipated increases in 2015. Many homes on the market during the holidays are being offered because the sellers are being transferred. January is a high workplace transfer month. Transferees are trying to sell their homes during the holidays because they feel they have to.
• Less competition among buyers is common because many are concentrating on holiday activities. If they don’t have to move for some reason they tend to wait until after the year-end holidays. That means fewer competing offers and less likelihood of bidding wars.
• Seller anxiety begins to set in during the holidays. That means potentially better deals can be had. Sellers who need to move get more willing to bargain during the holidays because there is less demand from buyers.

Additional advantages of house hunting during the holidays before 2015 include:

• Cold weather means that you can experience first hand how efficient heating systems and fireplaces are in the cold months of the year.
• Realtors can be more attentive because the number of buyers in the marketplace is diminished during the holidays.
• Less competition from other buyers means you can do your house hunting being a little more relaxed about the potential of losing a house that you really are interested in.
• The winter landscape provides an opportunity to see the property and assess its privacy without the foliage on trees being in full bloom.

No matter what your motivation for house hunting during the holidays, it is a time to enjoy touring homes for sale when they are decorated and looking their best for the holidays. That can turn your holiday house hunting into a fun activity at a festive time of year.

Information courtesy of New Castle County Realtor Tucker Robbins.

If your home is currently on the market, you may be tempted to take it off during the busy December holiday season that is currently upon us.  I would suggest that you leave your home on the market regardless of what time of year it is and do your best to make sure that it shows better than any of the other houses out there for sale.  Selling your home during the holidays  doesn’t have to be overwhelming.  Here are a few tips for selling your home during the busiest time of the year!

• Decorate your home like you have never decorated it before to make it stand out above all the other homes that are for sale during the holiday season.  You may not feel like doing this because you are most likely ready to move out and get on with your life, but if you take the time to make your home look beautiful for the holidays, it is most likely going to get the attention of several buyers that might not otherwise take a second look at your home.  Be sure to have a few showings during the evenings if your Realtor will agree so that you can show off your awesome light display.
   
• Have tea or hot cocoa waiting for your potential buyers when they walk through your door for a showing.  You may also want to have holiday music playing throughout your home as well.
   
• Offer some sort of small gift if your potential buyer is willing to purchase your home during the holiday season.  You can make this gift as small or as elaborate as you wish and may want to gear it towards your buyer’s personality.  Your Realtor will be able to help you know what your buyer likes and what kind of incentive will get their attention. 
   
• If anything in your home needs updating, you may want to go ahead and make these improvements,  However if you don’t have enough money in your pocket to take care of the holiday for your family and make the updates at the same time, you may want to take that into consideration when setting an asking price.  You don’t have to jump through hoops to sell your home, however you DO want to get the best price you possibly can, so weigh the pros and cons of going ahead and taking care of updating versus lowering your price and then figure out which one works best for you and your family. 

Don’t let the holidays overwhelm you and make you think that you can’t sell your home during this time of year.  There is no reason to take your home off the market in December.  All you need to do is bling out your home like a huge Christmas present and I am sure folks will take notice! 

Information courtesy of Wilmington Realtor Tucker Robbins.