Cost Of Owning A Home Over The Decades

Cost-across-the-decades

The Top 5 Benefits of Buying and Holding Residential Investment property

buying-and-holding-residential-investment-property

Real Estate: BEST Long-Term Investment Americans Believe [INFOGRAPHIC]

RE-Best-InvestmentFrom our friends at KCM

 

Why Now Is The Time To Buy A New Home

time-to-buy-a-new-home

Seattle Real Estate Market Review

Screen Shot 2014-04-22 at 1.39.41 PMJanuary home prices in Seattle down 0.8 percent:

Home prices in the Seattle metro area dipped for the fourth month in a row in January, in line with a nationwide decrease, according to the S&P/Case-Shiller 20-city index released Tuesday. The average price of existing single-family homes in King, Snohomish and Pierce counties dropped 0.8 percent from the previous month, after a 0.5 dip in December. By comparison, the 20-city index dropped 0.1 percent in January, as it did the previous two months.

Source: The Seattle Times, March 25, 2014

Home price rising more slowly, but for-sale signs remain scarce:

The median price of single-family homes in King County rose in March to $414,950, an increase of 6 percent from a year ago, the Northwest Multiple Listing Service said Thursday. Prices surged in Snohomish and Pierce counties: The median price rose 9 percent to $314,975 in Snohomish, and 13 percent to $230,000 in Pierce. A continuing tight inventory of homes for sale kept pressure on prices. “Everyone’s waiting for the spring bounce in listings,” said Seattle economist Matthew Gardner.

Source: The Seattle Times, April 3, 2014

Rising rents, rising towers push out tenants of modest means:

When a developer demolishes the century-old Williamsburg Court Apartments in downtown Seattle this year, 49 households will have to find new homes. They include a high-school math teacher, hotel concierge, classical trumpeter, restaurant manager, theater coordinator, a writer and two executive chefs. Across the street at the high-rise apartment tower Aspira, a one-bedroom unit starts at just under $2,000 — more than twice what many residents pay at the three-story Williamsburg Court.

Source: The Seattle Times, April 5, 2014

Severe inventory shortage sends Seattle-area housing prices higher:

Homeowners, if you’re thinking about selling, real estate agents have a message for you: Get off the dime already. A report from the Northwest Multiple Listing Service on Thursday said housing prices in the metro Puget Sound area rose in March compared with a year ago. The main reason is an inventory shortage. The listing service said that in King County, there’s only a 1.8-month supply of houses and condos for sale. Industry analysts say a four- to six-month supply is needed for a balanced market.

Source: Puget Sound Business Journal, April 3, 2014

2 Puget Sound-area neighborhoods on ‘green’ homes list:

Two Puget Sound communities have been named to a list of the top 10 U.S. neighborhoods that have the largest number of “green” homes. Downtown Bellevue was fourth on the list, with 36 percent of its residential home listings having green features, and Seattle’s Columbia City neighborhood was No. 8 on the list, with 30 percent of its residential listings having green features.

Source: Puget Sound Business Journal, April 17, 2014

What 1% Will Save You on Your Mortgage [infographic]

An interesting look at what 1% savings on your mortgage could be used for.

MortgageComparisonInfographic

Canadians Home Buying Preferences

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A Guide to 1031 Exchanges

In a 1031 Exchange, money from the sale of an investment property can be put towards another “like-kind” property. This means that an investor can exchange a commercial property for another, or a residential rental property for a commercial property. But, be careful! This deal is time-sensitive. You only have forty-five days to identify possible replacement properties, and one hundred and eighty days to close escrow on the actual replacement property. (The IRS is very strict about this timeline.)

And unfortunately, your own personal residence or vacation home cannot be used in the 1031. These properties are not considered to be of “like kind” to any real estate held for investment or business purposes (even if you conducted business from inside your home).

Check out the detailed guide below to sell as smartly as possible! Your heirs just might thank you.

1031Exchange

What Impact Will Increasing Mortgage Rates Have On Prices?

3d diceMany pundits are warning that there will be a drop in real estate values because mortgage rates are beginning to increase. The logic makes sense. However, history shows that increasing rates have not negatively impacted home values in the past.

Four times over the last 30 years mortgage interest rates have dramatically increased. Here is the impact the increases had on home values at the time:

Dates

Mortgage Rate

Home Values

May ‘83 – July ‘84

12.63 – 14.67

+ 6.6%

March – Oct ‘87

9.04 – 11.26

+ 5.2%

Oct ’93 – Dec ‘94

6.83 – 9.2

+ 1.2%

April ’99 -May 2000

6.92 – 8.52

+ 10.9%

Perhaps the impact of increasing rates on future home prices won’t be as dramatic as some are predicting.